Based on the testimony of Michael Webb ("employee") and the medical records and reports admitted, I find as follows:
At the time of the hearing, the employee was 59 years old and began working for Pepsi MidAmerica Company ("employer") on a part time basis in 2002. The employee was later promoted to territorial manager covering six (6) stores. While working for Pepsi MidAmerica Company, the employee's duties included pulling pallets of cases, stocking high and low shelves, putting up store displays, ordering product and removing empty pallets which required constant kneeling and crawling. The employee has a high school diploma and a bachelors of science in education from Southeast Missouri University. His prior work history includes working as a manager at Kmart, a storekeeper, a Frito Lay route salesman, a manager at Brookshire Brothers, and a manager at Albertsons. According to the testimony and evidence, the employee had no stiffness, limitations or functional problems with his knees prior to December 1, 2005.
On December 1, 2005, the employee was removing empty pallets and organizing products at a store in Sikeston, Scott County, Missouri. As he was walking down the aisle, the employee slipped on some spilt sugar and fell down pinning his right leg behind his back. The employee immediately reported the incident to the store and his company. Although the right knee was swelling, the employee received no medical treatment. As his knee became more painful and symptomatic, the employee began requesting medical treatment. The employee initially received treatment on his knee at Ferguson Medical Group where he received an x-ray that indicated loss of joint space in the medial compartment which could be associated with a chronic tear of his medial meniscus (Employee Exhibit A). The employee was then referred to Dr. Jimmy Bowen who ordered an MRI. The MRI performed on October 9, 2007, indicated that the employee had a markedly abnormal medial meniscus with degeneration, extensive tear and essential disintegration of most of the meniscus. Further, it showed that there was a likely tear of the lateral meniscus and severe osteoarthritis, particularly of the medial compartment (Employee Exhibit B).
The employee was then referred to Dr. Herbert Haupt for treatment on November 15, 2007. At the initial visit, Dr. Haupt noted that "it is likely that this patient will have disability regarding his knee both as a direct result of the work related injury for the acute injury process and certainly related to what are likely chronic and pre-existing conditions about the knee as well" (Employee Exhibit C, Page 3). On December 5, 2007, Dr. Haupt performed a right knee arthroscopic partial medial meniscectomy with a debridement of areas of chrondromalacia to repair both the posterior horn and the medial aspect of the medial meniscus. At that time, Dr. Haupt noted significant Grade III and IV changes in the femoral trochlea (Employee Exhibit C, Pages 3-4 \& 10-11). Following the surgery, the employee underwent physical therapy until
January 31, 2008 (Employee Exhibit D). The employee continued to have swelling and soreness. Dr. Haupt opined that the employee was at maximum medical improvement on March 31, 2008 and noted that the employee would continue to have discomfort with activities at work but it is more a result of his chronic degenerative condition. On June 8, 2008, Dr. Haupt opined that the employee had sustained a permanent rateable disability of ten percent ( 10 % ) at the level of the right knee, but that only three percent ( 3 % ) would be considered a direct result of the work related injuries of December 1, 2005 (Employee Exhibit 8-9).
On January 21, 2009, the employee was evaluated by Dr David Volarich. Following his examination of the employee and a review of the employee's medial history, Dr. Volarich opined that the December 1, 2005 work accident was the substantial contributing factor, as well as the prevailing factor causing the torn medial meniscus and aggravation of chondromalacia that required arthroscopic repair and resulted in a 50 % permanent partial disability of the right knee. Further, Dr. Volarich opined that the employee would require future medical care in the form of medications, injections, physical therapy, and additional repairs possibly another debridement procedure but more likely a knee replacement. (Employee Exhibit F). On June 30, 2009, the employee was evaluated by Dr. Michael Milne who opined that the employee's current complaints are primarily of an arthritic type of knee pain and that the work related injury was not the primary or prevailing factor or a substantial factor in his knee complaints regarding arthritis. After concluding that the employee was at maximum medical improvement, Dr. Milne opined that the employee had an impairment of approximately 15 % of his right knee with only 5 % permanent partial disability as a result of the work related injury (Employer-Insurer Exhibit 2, Deposition Exhibit 2).
On October 19, 2009, Dr. Volarich testified at his deposition that there was enough time for post-traumatic arthritis to set in since eighteen months went by before treatment on his right knee (Employee Exhibit F-2, Deposition Page 15). Dr. Volarich further clarified that the employee's pre-existing chondromalacia was an impairment but not a disability since a disability requires symptoms (Employee Exhibit F-2, Deposition Page 42). Finally, Dr. Volarich opined that the employee's degenerative condition was actually post-traumatic arthritis caused by the work accident (Employee Exhibit F-2, Deposition Page 47).
Dr. Haupt testified at his deposition on December 10, 2009, and noted that the employee had significant progressive degenerative conditions approaching end stage with no articular cartilage left even to break down (Employer-Insurer Exhibit 1, Deposition Pages 15-16). After opining that the Naprosyn and brace were needed due to the degenerative condition, Dr Haupt testified that there was no Grade IV arthritis in any other part of the femur (Employer-Insurer Exhibit 1, Deposition Pages 19-20 \& 25). Further, Dr. Haupt testified that a tear in the meniscus can propagate, get larger, with persistent wear and tear, walking, or other activities, but that he did not know if it occurred in this situation or how much the tear had changed following the December 1, 2005 work injury (Employer-Insurer Exhibit 1, Deposition Page 32). In addition to testifying that degenerative and traumatic arthritis will alter the articular surface, Dr. Haupt opined that there is a probability that the employee will need a knee replacement (EmployerInsurer Exhibit 1, Deposition Pages 44-45 \& 46).
On January 18, 2010, Dr. Milne testified at his deposition that he would expect the employee to have a knee replacement in his lifetime but not as a result of this injury (EmployerInsurer Exhibit 2, Deposition Pages 14-17). In addition to noting that he had no records of symptoms in the employee's knee prior to December 1, 2005, Dr. Milne admitted that when a
meniscus is injured there can also be injury to the articular cartilage of the knee (EmployerInsurer Exhibit 2, Deposition Pages $23 \&$ 29). Finally, Dr. Milne noted that he could not tell exactly how long it took the arthritic change to occur, but he would expect it to take years and years and not just a couple of years (Employer-Insurer Exhibit 2, Deposition Page 35).
At the time of the hearing, the employee testified that his right knee reacts to the weather, causes him to limp, causes him to have problems walking and stepping, goes numb after riding in a vehicle, occasionally locks, bows out in a different direction, causes him pain, and swells. In addition to testifying that his left knee had no problems, the employee stated that his right knee had no problems prior to December 1, 2005. According the employee, Dr. Volarich actually took the time to examine the employee and Dr. Milne never touched his knee or did any measuring. Finally, the employee testified that he is now working at a less demanding job of delivering bread.