PACE Union Warns Customers of Continental Carbon Company About Problems With Carbon Black

NASHVILLE, Tenn., June 10 -- The Paper, Allied-Industrial, Chemical and Energy Workers International Union in a letter to customers has warned of problems with carbon black manufactured by Continental Carbon that could lead to defective products and serious injury.

The warning was based on a Goodyear Tire news release on May 14, 2003, stating that Continental Carbon "had abandoned its responsibility to Goodyear to provide quality product." Goodyear has accused Continental Carbon of supplying it with defective carbon black from its main plant in Ponca City, Okla.

Carbon black is a major bonding and filler material used in the manufacture of tires, hoses and other rubber products. Research indicates that faulty or contaminated carbon black can lead to tread separation in tires and failure in hoses and belts. Included among the major customers of Continental Carbon are: Bridgestone-Firestone, Cooper Tire and Rubber, Michelin U.S.A., Continental Tire North America, Rice-Chadwick Rubber Company (Division of ALCO Industries, Inc.), Acadia Polymers, Inc., Associated Rubber Company, PolyOne, and Trelleborg.

"We have repeatedly warned Continental Carbon customers that purchasing carbon black manufactured at the company's Ponca City plant, where experienced union workers were replaced two years ago by a less skilled and transient work force, could lead to product defects," said Dr. Joseph Drexler, Special Projects director of PACE International Union.

The lockout of PACE union members began in May 2001 when workers were removed from the plant after they refused to take wage and benefits cuts amounting to between $15,000 and $20,000 per year. Negotiations for a new agreement to end the lockout have continued. According to Drexler, the company has continued to demand even further cuts that mirror the wages and benefits of its transient replacement workers.

"We believe that Continental Carbon has been willing to risk product quality with a transient work force in a failed attempt to break the union and reduce its costs," said Todd Carlson, chairman of the locked-out workers. "Continental Carbon's customers and the public may pay the ultimate price if products fail because they are manufactured with defective carbon black from Ponca City."

PACE represents 320,000 workers in the paper, oil, chemical, automotive parts, industrial minerals, atomic energy and cement industries. More information on the labor dispute can be found at www.fightbackonline and www.paceunion.org