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~nn~ri~ of tIp~ 3~Tnit~?i ~tati~ma~1,ingtzt, ~ 20515

March 29, 2012

The Honorable Hillary Rodham ClintonSecretaryU.S. Department of State2201 C Street NWWashington, DC 20520The Honorable Timothy F. GeithnerSecretaryU.S. Department of Treasury1500 Pennsylvania Avenue, N.W.Washington D.C. 20220Dear Madam Secretary and Mr. Secretary:We write to express our serious concerns regarding the behavior of US corporation Renco Groupand i ts Peruvian subsidiary Doe Run Peru. We believe that the poor environmental record of thiscompany reflects negatively on the image of the United States in Peru and Latin America andjeopardizes the credibility of American efforts to promote responsible foreign investment. Weurge the State Department to take timely action to promote resolution of the severe leadcontamination problems that affect the city of La Oroya, where Doe Run Peru operates.La Oroya has been identified by Time Magazine and other sources as one of the mostcontaminated places in the world. The principal cause of the contamination is Doe Runssmelting operation, which processes lead and other metals. According to a 2005 study by St.Louis University, in collaboration with the Centers for Disease Control, Ninety-seven percent ofchildren in the town under age 6 were found to have elevated blood lead levels. The studyauthors concluded that conditions amounted to an extremely serious environmental healthcrisis affecting La Oroya.Rencos American subsidiary Doe Run Resources has a similarly poor environmental t rackrecord. The company has been the target of repeated fines and enforcement actions by the USEnvironmental Protection Agency. In 2010, the company reached agreement with the EPA topay $65 million fo r violation of environmental laws at i ts operations in Missouri as well as a $7million civil penalty.In Peru, Doe Run Peru has asked fo r four extensions fo r environmental remediationcommitments it made upon purchasing the La Oroya site from the Peruvian government in 1997.Despite th is addit ional t ime, the company still has not taken adequate steps to reducecontamination in its area of operations.

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In December 2010, Renco Group filed an $800 million claim against Peru under the US-PeruFree Trade Agreement. Through this act ion, the company has sought to shift blame fo r LaOroyas environmental problems onto the Peruvian government. This action also represents aworrying trend of multinational companies abusing investor-state provisions in trade andinvestment agreements. Even when no ruling is issued, the mere threat of an order to paydamages fo r lost future profits can cast a chill on environmental and health regulation. Rencosinvestor-state claim seems to be one of several tactics it is utilizing to pressure the Peruviangovernment into granting Doe Run Peru reprieve from meeting its environmental commitments.Doe Run Perus smelt ing opera tion in La Oroya has been suspended fo r two years due to afinancial dispute with the Peruvian government. The operation may reopen within months, andthe company has again requested an extension for complying with environmental remediationcommitments. The granting of such an extension would be unfortunate, given Doe Run Peru srepeated pattern of noncompliance and the grave risks to human health, especially that ofchildren and expectant mothers, that result from the contamination produced by its operation.The United States government should not invest its resources in defending irresponsiblecompanies like Renco Group and its affiliates, particularly Doe Run Peru. In this regard, we urgethe State Department and the Treasury Department to refrain from supporting the company in itsFTA arbitration proceedings with the government of Peru. If anything, the United StatesGovernment should be urging Renco to drop its investor-state claim. We further urge thedepartment to work with Peruvian authorities and civil society organizations and relevant USagencies, including USEPA and the CDC, to promote timely and just resolution of theenvironmental and public health problems in La Oroya.We thank you fo r your prompt attention to this matter.Sincerely,

~Ra M. rijalva Danny K. DaMem - r of Congress Member of C ~ ~ress

/Peter DeFa . Keith EllisonMember of ongress Member of Congress

FBarney Frank am FarrMember of Congress Member of Congress

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II. jI~xdh._~~~Aurice HincheyMe ter of Congres~Jesse Jackson Jr.Member of Congress

Barc . aLeeMember of Congress

d.i~A VI~nW.O1verember of Congressr Schakowskyember of Congress

iiush HoltMember of Congress

Hank Jo. sonMember of Congress

4 Aes P. Moranember of Congress

4~S_A~ ~Arobby RushMember of Congress

Edo ehus TownsMe ber of Congress

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Lyn / oolseyMember of Congress Maxine WatersMember of Congress