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                                                                                                                                                       ~     EXHIBIT
                  Fm.      ae      (8821110) 81-80&                                                                                                    iNHS1-       8
                                       NEWPORT NEWS                         SHIPBU~LDING                                    AND DRY DOCK COMPANY
                                                                                                                                       I'u.. 50. _ _ _ _ __

                                                                                NEWPORT nWB. VIRGINU.
                                                                                September 13, 1967
                  MEMORANDUM POt                                      Mr. C. W. Myers
                  Subject:                   Problem of Asbestos Exposure

                            The lung disease known as asbestosis has been recognized
                  for several decades as an occ~pational disease arising from the
                  inhalation of asbestos particles. More recently, medical litera-
                  ture is burgeoning with reports implicating asbestos fibers deposited
                  in lung structures as a cancer-causing agent.

                            In brief, there appears to be a statistical relationship
                  between the presence of asbestos fibers in lung tissue and an
                  increased frequency of lung cancer, pleural mesothelioma. gastro-
                  intestinal cancer and peritoneal mesothelioma.

                            We have recently become aware of cases of Shipyard employees
                  which bear these diagnoses; al~(r,. ·"asbestos- bodies If have been demon-
                  strated in lung tissue~   ~

                            Recently NASA has been confronted with a claim for wrongful
                  death due to malignant tumor, said to be arising from the stimulus
                  of asbestos. This claim was allowed as an occupational disease.

                            Despite the wide-spread dooumentation of the statistical
                  validity of the relationship between asbestos and tumor, it is
                  my feeling that we cannot accept such evidence as whole cloth. All
                  of these studies have been made with the avowed purpose of demon-
                  strating a relationship between this agent and the disease entity;
                  none have been slanted in the opposite direction, i.e., to demon-
                  strate that there is not. It is thus my feeling that these
                  researchers carry an observer's bias and are, therefore, not
                  necessarily valid outside of their own context.

                            Because there is a long delay (average given in different
                  articles from 27.4 to 38.5 years) between the onset of exposure
                  to asbestos and the appearance of tumor. A unique problem exists.

                            I would propose in preparing a solution to this problem
                  that two avenues must be utilized:

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                                - 2 -

    (1)    Environmental survey and control - the use of asbestos
           falls easily into two major categories in the Shipyard.
           l"irst, the preparation of and installation of irwula-
           ting material in shapes" usually prepared in the Pipe
           Coverer's Shop. Second" the removal and replacement
           of old insulation with new in ship repair.

           Sample studies need to be made to estimate the current
           airborne burden of asbestos particles and the environ-
           ment where they may represent an inhalant hazard. From
           present studies, some conclusion may be drawn as to past
           experience in these areas. Control measures should then
           be instituted" based on the indicated need, but which
           should include specific protection of the respiratory
           tract by preventing the particles from becoming air-
           borne in the ambient breathing air or that the particles
           from the work place be removed by draught ventilation
           and \'Jet collection, use of vacuum cutting tools, and
           meticulous house cleaning procedures, whether for new
           or old work. Actual use of respirators may prove to
           be necessary in many instances. This is essentially
           a problem for an industrial hygienist.

     (2)   An appraisal of whatever defensive position we may assume
           will also involve the historical study of individuals who
           have been exposed to asbestos in the course of their
           employment. Rather than explore the fringes of this
           relationship, it is proposed that death certificates
           of individuals employed in Pipe Coverer's Shop be
           reviewed. A ready source of review would arise from
           the records kept at the Aetna Insurance Office to which
           access would be required. This would produce certificates
           only for those individuals who retired, became disabled,
           or died while still in the employment of the Company.
           If this sample is not statistically significan~ it is
           suggested that the review be extended further backwards
           in time, utilizing other sources of death certificates,
           including the Bureau of Vital Statistics at the p1ace of
           death. This may be facilitated by utilization of social
           security records and a valid search could be made without
           undue difficulty back to 1935. Prior to that, more
           difficulty would be encountered and this should not be
           attempted unless sufficient information has not been

          After review of these records, a statistical correlation of
our own records can be made and an evalua'tion of our own situation can
thus be presented.

                                                                                                                          - 3 -

          The accumulation of cases in the past year and one-half
has been sufficiently large for me to represent this to you as a
problem for emergent attention.

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                                                                             j     EXHIBIT
Fm. 26·1 (3321126) 33.1532

                                                             FU.E NO. _ _ _ __

                                 NEWPORT NEWS. VffiGINIA
                                 February 14, 1969
MEMORANDUM For               Mr. C. W. Myers

     There are now known to me aeveral cases of asbest08is
arising 1n shipyard employeea. Theae have been associated with
tuberculos1s 1n 80me in8tances~ and 1n several caaes w1th
mesothe110ma~ a malignant tumor.  In all luch instances
albeltoaia, a diaeale ot recognized ocoupat1onal or1g1n, haa
been diacovered in also01ation with the other dil.alel ment10ned
and at preaent no caBe ot ex1.t1ns alone and as a
proven d1agnosia is known to me. Nev.rthele •• , there are Itrong
1ndications po1nt1ng to the dev~pment ot th1. d1 ••aa. in
Newport Newl .h1pyard worker. and I ant1cipate that IIOre oa.ea
w11l cont1nue to 00.. to light a. the1r .,.pta.. beoo.. .evere
enough to reault 1n diaoa.tort.
     S1derol11, another oocupational d1Ie ••e, i. al.o prevalent
among shipyard employe... Although thil d1 ••••• whioh 1. prt.&rilJ
due to ablorption ot iron oxide i. relat1ve17 ·benisn. the pre •• noe
or abaence ot l,mpta.a i. related to the d.cree ot involY..ent
ot the lung. plUS the pre.eno. or ab.ence ot other ~ditr1ng
factorl, 1noluding laok., ohronio bronch1t11, ..phJ.... , or heart
d1sea ••      a.
           well al the oonoa.itant pre •• noe ot other dUlt.,
including 1111'0&' and expoaUN to 1rritat1ng IIIIOkW, 't"UMa and
galel wh10h 1nclude at lea.t, hydrocarbons, partioulate
carbon, ozone, oxide. ot n1trogen, and .. tal ru.e •.
     No one department oont1rma allot the oa••a ot the.e
oooupational d1Iorder.. They appear in expo.ed ind1vidual.
regardle •• ot their departaental al.ignmentl.
     The Medioal Department 1. approaohing the ab1lity to deal w1th
an expanded program of period1c examinations. Atter dilcuss1on,
1t will be my recommendation that exposed groups ot ind1viduals
be subjected to periodio exam1nation, inolud1ng at the very lease
an annual or lem1-annual chest tilm. Some attent1onw1ll need to
be g1ven to the env1ronment it.elt plus the pos.ibility of
personal protection aga1nst injurious agents.

                                                 C. W. stallard, Jr., M.D.
co: Pile


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