DSHW-1998-002328 - 0901a0688013da39

N
MORTON THIOKOL INC.
DSHW TN
1988.10144 .LK
Arthur E Slesinger
Direcior
Environmenlal Alfairs
CERTIFIED MAIL - RETURN RECEIPT REQUESTED
September 23, 1988
State of Utah
Solid and Hazardous Waste Committee
Utah Department of Health
P.O. Box 2500
Salt Lake City, Utah 84110-2.500
Dear Sir or Madam:
Updated financial test documentation including financial
information for the Fiscal Year ended June 30, 1988 is
enclosed. These statements have been modified to comply
v/ith the September 1, 1988 Federal Register (50 FR 33938
et. seq.) v/hich is effective on September 30, 1988.
S. Jay Stev/art, President and Chief Operating Officer,
has signed the Letter From the Chief Financial Officer as
John R. Bov/en, Vice President Finance and Treasurer, will
not be available in a timely fashion.
Very truly yours.
QJK.JL.^
Arthur E. Slesinger
Director, Environmental Affairs
AES/vt
cc: R.J. Taylor
Enclosure: Letter from Chief Financial Officer
Morton Thiokol, Inc. 1988 Annual Report
Form lOK
Report from Ernst & Whinney
110 North Wacker Drive. Chicago. Illinois 60606-1560 [phone]
MORTON THIOKOL, INC.
.ohnR Bowen DSHWTN
Vice President Finance •] 988.101 42
and Treasurer
September 23, 1988
State of Utah
Solid and Hazardous Waste Committee
Utah Department of Health
P.O. Box 2500
Salt Lake City, Utah 84110-2500
Dear Sir or Madam:
I am the chief financial officer of Morton Thiokol, Inc., 110
North Wacker Drive, Chicago, Illinois 60606. This letter is
in support of the use of the financial test to demonstrate
financial responsibility for liability coverage and closure
and/or post-closure care as specified in Subpart H of 40 CFR
Parts 264 and 265.
The firm identified above is the owner or operator of the
following facilities for which liability coverage for both
sudden and nonsudden accidental occurrences is being
demonstrated through the financial test specified in Subpart
H of 40 CFR Parts 264 and 265:
Morton Chemical Division
3 35 McLean Blvd.
Paterson, NJ 07504
NJD051274348
and facilities listed in Paragraph 3.
1. The firm identified above owns or operates the
following facilities for which financial assurance for
closure or post-closure care or liability coverage is
demonstrated through the financial test specified in
Subpart H of 40 CFR Parts 264 and 265. The current
closure and/or post-closure cost estimate covered by
the test are shown for each facility: None.
110 North Wacker Drive. Chicago. Illinois 60606-1560 (31?) 807-2308
2. The firm identified above guarantees, through the
guarantee specified in Subpart H of 40 CFR Parts 264
and 265, the closure and post-closure care or liability
coverage of the following facilities owned or operated
by the guaranteed party. The current cost estimates
for the closure or post-closure care so guaranteed are
shown for each facility: None.
3. In States where EPA is not administering the financial
requirements of Subpart H of 40 CFR Parts 264 and 265,
this firm is demonstrating financial assurance for the
closure or post-closure care of the following facili-
ties through the use of a test equivalent or
substantially equivalent to the financial test
specified in Subpart H of 40 CFR Parts 264 and 265.
The current closure or post-closure cost estimates
covered by such a test are shown for each facility:
COST-ESTIMATES
Closure Post-Closure Care
Morton Chemical Division $ 61,255 N/A
5005 Barnard Mill Rd
Ringwood, IL 60072
ILD062410550
Ventron Division $ 61,774 N/A
Chicago Plant
1645 S. Kilbourne Avenue
Chicago, IL 60623
ILD096787049
Elkton Division $ 146,150 N/A
P.O. Box 241, Route 40
Elkton, MD 21921
MDD003067121
Morton Chemical Division $3,179,301 $953,792
Moss Point Plant
P. O. Box 666
5724 Elder Ferry Road
Moss Point, MS 39563
MSD008186587
Dynachem Division $ 85,098 N/A
P.O. Box 12047
2631 Michelle Drive
Tustin, CA 92680
CAD008334260
- 3 -
Closure Post-Closure Care
Wasatch Division $1,296,654 $1,999,347
P.O. Box 524, Route U-83
Brigham City, UT 843 02
UTD009081357
The firm identified above owns or operates the
following hazardous waste management facilities for
which financial assurance for closure or, if a disposal
facility, post-closure care, is not demonstrated either
to EPA or a State through the financial test or any
other financial assurance mechanism specified in
Subpart H of 40 CFR Parts 264 and 265 or equivalent or
substantially equivalent State mechanisms. The current
closure and/or post-closure cost estimates not covered
by such financial assurance are shown for each
facility: None.
This firm is the owner o;i: operator of the following UIC
facilities for which financial assurance for plugging
and abandonment is requi.red under 40 CFR Part 144. The
current closure cost estimates as required by 40 CFR
144.62 are shown for each facility:
Cost Estimate
for Plugging
and Abandonment
Morton Chemical Division $ 62,090
Moss Point Plant
P. O. Box 666
5724 Elder Ferry Road
Moss Point, MS 39563
MSD008186587
UIC Permit No. MSI1005
This firm is required to file a Form lOK with the Securities
and Exchange Commission (SEC) for the latest fiscal year.
The fiscal year of this firm ends on June 30. The figures
for the following items marked with an asterisk are derived
from this firm's independently audited, year-end financial
statements for the latest completed fiscal year, ended
June 30, 1988.
4 -
ALTERN.ATIVE II
1. Sum of current closure and post-closure cost estimates
(total of all cost estimates shown in the four para-
graphs above) $ 7,845,461
2. Amount of annual aggregate liability coverage to be
demonstrated $ 8,000,000
3. Sum of lines 1 and 2. . . $15,845,461
4. Current bond rating of most recent issuance of this firm
and name of rating service (Standard & Poor's) A+
5. Date of issuance of bond October 1, 1975
6. Date of maturity of bond October 1, 2000
* 7. Tangible net worth (if any portion of the closure and
post-closure cost estimates is included in "total liabili-
ties" on your firms financial statements, you may add the
amount of that portion to this line).. $ 804,354,000
* 8. Total assets in U.S. (required only if less than 90% of
firms assets are located in the U.S.) . $ 1,563,100,000
YES NO
9. Is line 7 at least $10 Million? X
10. Is line 7 at least 6 times line 3 X
*11. Are at least 90% of firms assets located
in the U.S.? If not, complete line 12 ... X
12. Is line 8 at least 6 times line 3 X
I hereby certify that the wording of this letter is identical
to the wording specified in 40 CFR 264.151(g) as such regula-
tions were constituted on the date shown immediately below.
JpfmRi BOwen
Vice President Finance
and Treasurer
Date: September 23, 1988
Ernst &Whinney l so south wacker Drive
Chicago, Illinois 60606
312/368-1800
Mr. John R. Bowen
Vice President Finance
and Treasurer
Morton Thiokol, Inc.
We have audited the consolidated financial statements of Morton
Thiokol, Inc. and subsidiaries for the year ended June 30, 1988,
and have expressed our unqualified opinion thereon in our report
dated July 28, 1988.
At your request, we have compared the tangible new worth ($804,354,000)
and total assets in the United States ($1,563,100,000), as set forth
in your letters dated September 23, 1988 to representatives of
environmental agencies, to corresponding data included in or derived
from such audited consolidated financial statements, and have found
such data to be in agreement. Furthermore, no matters came to our
attention which would require the following data to be adjusted.
This letter has been prepared solely to assist you in complying with
the applicable requirements of environmental agencies and is not
to be used for any other purpose.
)yK^
Chicago, Illinois
September 23, 1988