Co-Conspirator Threatens Retaliation If Others Don't Agree To Proposed Market Allocation Scheme

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OCTOBER 25, 1993



Segment 6 - October 25, 1993, Irvine, California - Video Tape

 ANDREAS:            There's another thing though you gotta keep in mind and these, these                     people have to keep in mind too.  We have a lot more capacity than                     we're usin'.  YAMADA:             (ui).  IKEDA:              Yeah, I, we understand.  ANDREAS:            And and uh if in fact there becomes a a a free for all if they don't agree                     and there becomes a free for all, and we start that up again, our                     numbers are liable to be a lot larger than five thousand tons.  YAMADA:             Hum.  ANDREAS:            Because we'll grow at twenty thousand tons instead of five.  So they                     have choices.  Their choices are that we'll agree to only grow five if                     everything is good.  YAMADA:             I don't know but in a form of a meeting in Tokyo you know.  WHITACRE:           Or twenty thousand (ui).  YAMADA:             We proposed...  ANDREAS:            Or twenty.  YAMADA:             We propose to other uh four you know uh I mean among the uh Asians                     and...  ANDREAS:            Um um, um um.  YAMADA:             I propose that uh so far as ADM concerned, we propose to ADM that                     uh we uh uh agree to give the uh major part of the growth to ADM and                     I asked the opinion of MIWON and KYOWA and CSA and CSA                     was not very uh uh clear at this moment, but MIWON said if the                     agreement is on the very reasonable proportionate basis they already                     agree to accept it, and uh KYOWA also you know.  So uh I don't                     know if they hundred percent agree that to my proposition that uh that                     is uh we are going to give ADM the major part of the growth for a                     certain period so that ADM can contain it's potential capacity to a                     certain level.  So uh uh that means all people KYOWA, MIWON,                     CSA are very much concerned about the unlimited increase of your                     capacity.   ANDREAS:            Um hum.  YAMADA:             So, uh if you agree that uh uh if you were start over with, with this figure                     for the uh nineteen ninety-three then uh we uh come back again to the                     starting point so uh...  WHITACRE:           Yeah, but if they already think we're, we're already here...  YAMADA:             Yes.  IKEDA:              Um hum.  WHITACRE:           And we talk about a fourteen ta fifteen thousand tons growth.  YAMADA:             Yes I, yes.  WHITACRE:           And we take the two two and two and three and five.  IKEDA:              So if you say...  WHITACRE:           It shouldn't be a problem should it?       IKEDA:              ...ninety-four is sixty-eight or sixty-seven if you say.  WHITACRE:           Plus five.   

Updated September 17, 2015