Opinion ID: 305865
Heading Depth: 1
Heading Rank: 2

Heading: INTERPRETATION OF PARAGRAPH 2(b).

Text: 46 Another important issue is also here on the cross-appeal of Cyprus. This issue concerns the determination of the price to be paid for the copper contained in Rome's inventories on October 31, 1967, the date of closing. It also turns on the interpretation of the sales contract of October 2, 1967, in this instance paragraph 2(b). On this issue we are in agreement with all aspects of the lengthy and detailed district court opinion. 47 Paragraph 2(b) provided, inter alia, that the copper content of inventories shall be valued at the higher of market value or cost thereof on the Closing Date-with cost being determined on a first-in first-out basis, without deduction of reserves for Lifo. Emor, Inc., supra, 325 F.Supp. at 937. Since the amount of Alcoa's cost was agreed upon, the only question was the market value of the copper content of Rome's inventories. 48 The district court found as a fact that the 'copper content' to be valued had been expressed by Alcoa and acquiesced in by Cyprus in terms of wire bar. Emor, Inc., supra at 942. (emphasis supplied). In other words, the district court found that the term copper content, as used by the parties meant: . . . the total weight of copper recorded in Rome's copper metal value account in its basic raw material form of electrolytic wire bar even though the copper might be, in fact, presently in other forms because of processing. 8 49