35 



$200 million in environmental, energy efficient and operational up- 

 grades. How does that break down? Some of the environmental 

 work you are already undertaking, is that correct, pursuant to the 

 court decisions 



Mr. Lewis. That is correct. 



Mr. Miller, [continuing] — and your agreements with the Justice 

 Department and others? 



Mr. Lewis. Yes, that is correct. That is a small part of the dollar 

 part of this, but those are some of them that we are doing. 



Mr. Miller. And that is 



Mr. Lewis. The spill containment. 



Mr. Miller. That is financed how? 



Mr. Lewis. That is financed through Louisiana Pacific Corpora- 

 tion, who is our parent. 



Mr. Miller. In your lOQ file that you refer to. Exhibit C refers 

 to the pollution control related measures estimated costs up to $20 

 million. That is encompassing possible cleanup at Ward Cove and 

 compliance with Justice Department and what else? 



Mr. Lewis. Yeah, that was the spill containment and basically 

 taking all of our tanks that we have and building and lifting them 

 all up and putting concrete foundations under them and putting 

 concrete barriers around all of them in case there would be an 

 earthquake and one of those tanks would split, that they would 

 have been totally contained. 



Mr. Miller. But that $20 million is a 



Mr. Lewis. Combination economics. 



Mr Miller. That is the environmental package? 



Mr. Lewis. No. No, that is just the small part that we kind of 

 call a consent decree. Some of those items we were doing already 

 when we went through those negotiations. We were doing some of 

 those and upon negotiations and with the Justice Department that 

 we finish and complete those packages. But the rest of the environ- 

 mental is doing the ECF, which is elementary chlorine free. That 

 is not part of the consent decree. That project we are probably 

 maybe 75 percent completed on, not tied together. We have outfall 

 that is yet to be approved by the State. We have — and there is also 

 a mixing zone. We have a lot of some of the other small items. We 

 have — what we need to do is to upgrade all of our computerization 

 for the ECF, which is 



Mr. Miller. Just let me — I don't mean to cut you off, but there 

 is 



Mr. Lewis. Sure. 



Mr. Miller. In terms of, like, chlorine free, the decision to do 

 that was made some time ago, right? That part you sent away. 



Mr. Lewis. Yeah, that part 



Mr. Miller. '93? 



Mr. Lewis. That was started — the project was started, I believe, 

 in '94, late '94, and being spent during '95. It will be kind of set 

 aside. And that is a part 



Mr. Miller. I guess the question I sort of have is if the figure 

 is $200 million, and I assume that is the environmental and the 

 modernization. 



Mr. Lewis. Uh-huh. 



