ML20062K588

Forwards Proprietary Slides from 931214 Info Exchange on Results of Perry Fuel Failure Task Force.Encl Withheld (Ref 10CFR2.790)

ML20062K588
Person / Time
Site:	Perry
Issue date:	12/17/1993
From:	Klapproth J GENERAL ELECTRIC CO.
To:	NRC OFFICE OF INFORMATION RESOURCES MANAGEMENT (IRM)
Shared Package
ML19311B264	List: ML20062K588
References
JFK93-53, MFN-237-93, NUDOCS 9312230049
Download: ML20062K588 (5)

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- GE Nuclear Energy

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e 2 .' f December 17,1993 JFK93-53 MFN-237-93 ,

Document Control Desk U.S. Nuclear Regulatory Commission Washington, DC 20555

Subject:

Perry Fuel Failure Task Force Enclosed are the slides from the December 14,1993 information exchange on the results of the Perry fuel failure task force.

information contained in the enclosure is of the type which GE maintains in confidence and withholds from public disclosure. It has been handled and classified as proprietary by GE as indicated in the attached affidavit. We hereby request that it be withheld from public disclosure in accordance with the provisions of 10CFR2.790.

Sincerely, 3 *E N-J.F. Klapproth  ;

Fuel Licensing Manager (408)925-5434 Mail Code 188 cc: R.C. Jones, Jr. (NRC)

G.A. Potts (GE)

C.B. Patterson (GE)

P. Bordley (CEI)

L.S. Gifford (GE)

D.J. Robare (GE) 2100J'l F

GENERAL ELECTRIC COMPANY PROPRIETAIG /

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93122g=0049"931217Bn pm c' L ,

s' GENuclear Energy Affidavit I, James E Klapproth, being duly sworn, depose and state as follows:

(1) I am Manager, Fuel Licensing, General Electric Company ("GE") and have been delegated the fimction of reviewing the information d~cribed in paragraph (2) which is sought to l~

withheld, and have been authorized to ap; o . its withholding.

(2) The information sought to be withheld is co%uned in the GE Nuclear Energy proprietary letterJ. E Klapproth (GE) to USNRC, Pmy FuelFailure Task Force JFK93-53, dated December 17,1993.

(3) In making this application for withholding of proprietary information of which it is the owner, GE relics upon the exemption from disclosure set forth in the Freedom ofInforma-tion Act ("FOIA"),5 USC Sec. 552(b)(4), and the Trade Secrets Act,18 USC Sec.1905, and NRC regulations 10 CFR 9.17(a)(4), 2.790(a)(4), and 2.790(d)(1) for " trade secrets and commercial or Unancial information obtained from a person and privileged or confidential" (Exemption 4). The material for which exemption from disclosure is here sought is all" con-fidential commercial information," and some portions also qualify under the narrower defi-nition of" trade secret," within the meanings assigned to those terms for purposes of FOIA Exemption 4 in, respectively, Critical Mass Enerev Proiect v. Nuclear Reculatory Commis-sion. 975F2d871 (DC Cir.1992), and Public Citizen Health Research Groun v. FDA.

704F2dl280 (DC Cir.1983).

(4) Some examples of categories of information which fit into the definition of proprietary information are:

a. Information that discloses a process, method, or apparatus, including support-ing data and analyses, where prevention ofits use hy General Electric's competi-tors without license from General Electric constitutes a competitive economic advantage over other companies;

h. Information which, if used by a competitor, would reduce his expenditure of resources or improve his competitive position in the design, manufacture, ship-ment, installation, assurance of quality, or licensing of a similar prc, duct;

c. Information which reveals cost or price information, production capacities, bud-get levels, or commercial strategies of General Electric, its customers, or its sup-plier s;

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d. Information which revealc aspects of past, present, or future General Electric f customer-funded development plans and programs, of potential commercial r

value to General Electric- '

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e. Information which dist mses patentable subject matter for which it may be desir- .j able to obtair' pent protection, i The information sought to be withheld is umsidered to be proprietary for the reasons set forth in both paragraphs H)a, and H)b.. abme.

f (5) The information sought to be withheld is being submitted to NRC in confidence. The infor- ,

mation is of a sort customarily held in wnfidence by GE, and is in fact so held. Its initial des- ,

ignation as proprietarv information, and the subsequent steps taken to prevent . its  ;

unauthorized disclosur e, ar e as set forth in (6) and (7) following. The information sought to -

he withheld has, to the best of my knowledge and belief, consistently been held in confi-dence by GE, no public disclosure has been made, and it is not available in public sources.

All disclosures to third parties including any required transmittals to NRC, have been made. [

or must be made, pursuant to regulatory provisions or proprietary agreements which pro- i vide for maintenance of the information in wnfidence. ,

t (6) Initial approval of proprietary treatment of a document is made by the manager of the origi- l nating component, the person most likely to be acquainted with the value and sensithity of. l the information in relation to indusuy knowledge. Access to such. documents within GE is limited on a "need to know" basis. l (7)- The procedure for approval of external release of such a document typically requires review l by the staff manager, project manager, principal scientist or other equhalent authority, by-the manager of the cognizant marketing function (or his delegate), and by the Legal Opera-tion, for technical content, competitive effect, and determination of the accuracy of the pro- -

prietary designation. Disclosures c,utside GE are limited to regulatory bodies, customers, and potential customers, and their agents, suppliers, and licensees, and others with a legiti-mate need for the information, and then only in accordance with appropriate regulatory l r

provisions or proprietary agreements. 1 I

(8) . .The information identified in paragraph (2) is classified as proprietary because it contains detailed results of the investigation of failed fuel rods at Perry Nuclear Power Plant.

The development of the evahtation process along with the interpretation and application of the results is derived from the extensive experience database that constitutes a major GE ,

asset. i

'i (9) Public disclosure of the information sought to be withheld is likely to cause substantial harm ij to GE's competitive position and foreclose or reduce the availability of profit-making oppor- .I tunities. The information is part of GE's comprehensive BWR safety and technology base, and its commercial value extends beyond the original development cost. The value of the technology base goes beyond the extensive physical database and analytical methodology-

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and includes development of the expertise to determine and apply the appropriate evalua. - l tion process. In addition, the technology base includes the value derived from providing ,

analyses done with NRC-approved methodt i The research, deselopment, engineering, analytical, and NRC review costs comprise a sub- l stantial investment of time and money by GL i The precise value of the expertise to devise an evaluation process and apply the correct ana- I lytical methodology is difficult to quantify, but it clearly is substantial.

GE's competitive advantage will be lost ifits competitors are able to use the results of the GE ,

experience to normalize or verify their own process or if they are able to claim an equivalent l mderstanding by demonstrating that they can arrive at the same or similar conclusions. j i The value of this information to GE would be lost if the information were disclosed to tiie  !

i public. Making such information available to competitors without their having been  ;

required to undertak.e a similar expenditure of resources would unfairly provide competi- -;

tors with a windfall, and deprive GE of the opportunity to exercise its competitive advantage i to seek an adequate return on its large investment in developing these very valuable analyti- -

cal tools.

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State of California )

Gunty of Santa Clara ) ss:

James E Klapproth, being duly sworn, deposes and says:

That he has read the foregoing affidavit and the inattens stated therein are true and wrrect to the best of his knowledge,information, and helief.

Executed at San Jose, Califoi nia, this I7 day M ,

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James E Klapprotn  ;

General Electric Company Zbday of b[j9 9 $ '

Subscribed and sworn before me this /7 i

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Notm) lic, State of California l

6 A A A *2 A A 2 m A A A ,_ a e MARY L KEP'DALL

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COMM. # 037tM E i f }y-l- Notary Public - Califomro E j 1 SANTA CLARA COUMY P y; My Comm. Expi es MAR 26,1797

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