ex_1035.htm


    DRAFT


    


    


    AGREEMENT

    


    


    


    between

    


    


    


    EL DORADO
CHEMICAL COMPANY

    


    and

    


    UNITED
STEELWORKERS OF AMERICA INTERNATIONAL UNION AFL-CIO

    AND ITS
LOCAL 13-434

    


    


    


    Effective:
August 1, 2007

    


    


    


    


    


    EL DORADO
CHEMICAL COMPANY

    El
Dorado, Arkansas

     

     

    


    



    
      
         


      

      
         


        
          

        

      

      
         


      

    


    TABLE OF CONTENTS

    


    


    PREAMBLE   1

    


    ARTICLE
I                            TERM
OF AGREEMENT   1

    


    ARTICLE
II                           MANAGEMENT
RIGHTS CLAUSE   1

    


    ARTICLE
III                          RIGHT
TO ARBITRATE   2

    


    ARTICLE
IV                          GRIEVANCE
PROCEDURE AND ARBITRATION   2

    


    Section
1   2

    Section
2   4

    Section
3   4

    


    ARTICLE
V                           CLASSIFICATION
CHANGES   4

    


    Section
1   4

    Section
2   4

    Section
3   5

    Section
4   5

    Section
5   6

    


    ARTICLE
VI                          HOURS
OF WORK   6

    


    Section
1   6

    Section
2   7

    Section
3   7

    Section
4   7

    Section
5   7

    


    ARTICLE
VII                         CALL-OUT
OVERTIME AND LOCAL NOTIFICATION   7

    


    Section
1   7

    Section
2   8

    Section
3   8

    Section
4   9

    


    ARTICLE
VIII                       SHIFT
MEN - DAY MEN   9

    


    ARTICLE
IX                         HOLIDAY
PAY   9

    


    ARTICLE
X                          VACATIONS 
10

    


    Section 1  10

    Section 2  11

    Section 3  11

    Section 4  11

    Section 5  12

    Section 6  12

    Section 7  12

    


    ARTICLE
XI                          SENIORITY 
12

    


    Section
1        Eligibility for Seniority 
13

    Section
2        Seniority Credits 
13

    Section
3        Progression Chart 
13

    Section
4        Bargaining Unit and Area
Seniority  13

    Section
5        Vacancies of More than Ninety (90)
Days  14

    Section
6        Vacancy Posting and Bidding
Procedure  14

    Section
7        Filling Vacancies of Ninety (90)
Days or Less  15

    Section
8        Classifications and
Shifts  18

    Section
9        Reduction in Forces 
19

    Section
10      Status of Employees Laid Off 
21

    Section
11      Seniority Lists  21

    Section
12      Seniority - Outside Assignments 
21

    Section
13      Layoffs and Reemployment 
21

    Section
14      New Operations and Existing Operations 
22

    Section
15      Promotional Requirements 
22

    


    ARTICLE
XII                                PHYSICAL
EXAMINATIONS  22

    


    Section
1         Periodical
Examinations  22

    Section 2  22

    Section 3  23

    


    ARTICLE
XIII                                AUTHORIZED
DEDUCTIONS  23

    


    Section
1         Union Dues 
23

    Section
2        Political Contributions 
23

    


    ARTICLE
XIV                      DISCHARGE 
24

    


    Section 1  24

    Section 2  24

    Section 3  24

    


    ARTICLE
XV                        MILITARY
LEAVE  24

    


    Section
1            Leave
of Absence  24

    Section 2  24

    


    ARTICLE
XVI                       BULLETIN
BOARDS  25

    


    ARTICLE
XVII                      SAFETY
& HEALTH  25

    


    Section 1  25

    Section 2  25

    Section 3  25

    Section 4  26

    Section 5  26

    Section 6  26

    Section 7  26

    Section 8  26

    Section 9  27

    Section 10  27

    


    ARTICLE
XVIII                     WORKMEN'S
COMMITTEE CONFERENCES  27

    


    ARTICLE
XIX                        SEVERANCE
PAY  28

    


    ARTICLE
XX                          CONTRACT
WORK  28

    


    ARTICLE
XXI                        DISCRIMINATION 
28

    


    ARTICLE
XXII                       LEAVE
OF ABSENCE  28

    


    Section
1                       Personal
Business  28

    Section
2                       Union
Business  29

    Section
3                       Sickness
or Accident  30

    


    ARTICLE
XXIII                   JURY
DUTY  30

    


    ARTICLE
XXIV                   WAGE
RATES AND CLASSIFICATIONS  30

    


    ARTICLE
XXV                     VALIDITY 
31

    


    ARTICLE
XXVI                   NOTICES 
31

    


    ARTICLE
XXVII                  FUNERAL
LEAVE  31

    


    ARTICLE
XXVIII                 MEDICAL
INSURANCE BENEFITS  32

    


    Group Insurance and Pension 
32

    


    ARTICLE
XXIX                    NO
LOCKOUT - NO STRIKE  34

    


    EXHIBIT
"A"                        OPERATING
DEPARTMENT PROGRESSION CHART  36

    


    EXHIBIT
"B"                         WAGE
RATES AND CLASSIFICATIONS  36

    


    SHIFT DIFFERENTIAL 
37

    


    CLOTHING ALLOWANCE 
37

    


    EMERGENCY SQUAD PREMIUM 
37

    


    EXHIBIT
"C-2"                     5-2
SHIFT SCHEDULE  38

    


    EXHIBIT
"C-3"                    
UNIFORM SHIFT SCHEDULE  38

    


    EXHIBIT
"D"                        CONSOLIDATION
POLICY  39

    


    LETTER OF
UNDERSTANDING  42

    


    EXTRA
CREW LETTER OF UNDERSTANDING  44

    


    AMERICANS
WITH DISABILITIES ACT LETTER OF UNDERSTANDING  46

    


    TWELVE
HOUR SHIFT LETTER OF UNDERSTANDING  47

    


    LETTER OF
UNDERSTANDING  48

    


    LETTER OF
UNDERSTANDING  50

    



    
      
        
          


           

          


          


          (iv)

        

         


      

      
         


        
          

        

      

      
         


      

    


    PREAMBLE

    


    Articles of Agreement between EL DORADO
CHEMICAL COMPANY (hereinafter referred to as "Company") and UNITED STEELWORKERS
OF AMERICA INTERNATIONAL UNION AFL-CIO AND ITS LOCAL 13-434 (hereinafter
referred to as "Union"), whom the Company recognizes as the exclusive bargaining
agency for all production, chemical, and operating employees included in the
bargaining unit at its chemical plant located North of El Dorado, Arkansas, for
the purposes of pay, wages, and other conditions of employment.  There
is excepted from the bargaining unit described all Maintenance employees not
otherwise described within the Preamble, guards, shipping attendants, janitors
and common laborers, office and clerical employees, non-working Foremen, and all
supervisory employees.

    


    Our future success and security
requires that we foster a plant culture which underscores the importance of
teamwork and focuses on customer satisfaction, methods improvement, demands
mutual respect and promotes high morale.  We must be prepared to meet
the needs of changing circumstances and seize opportunities
provided.  The Company, the Union and all employees are committed to
doing so.

    


    We appreciate qualities and values such
as pride in what we do, taking ownership of responsibility, dedication,
cooperation, efficiency and optimism.  Everyone who depends upon EDC
recognizes the importance of creating and maintaining a safe and clean workplace
and wants a plant which promotes fair treatment, quality work, and productive,
profitable and efficient operations.  We each accept and share the
responsibility to do our parts to make that happen.

    


    ARTICLE
I

    TERM
OF AGREEMENT

    


    This Agreement shall remain in full
force and effect for a period beginning at 12:01 a.m., August 1, 2007, and
ending at 12:00 Midnight, July 31, 2010.  At reasonable times after
June 1, 2010, the parties will meet for the purpose of negotiating a new
contract to be effective for the period commencing after 12:01 a.m., August 1,
2010.

    


    ARTICLE
II

    MANAGEMENT
RIGHTS CLAUSE

    


    The Union expressly recognizes that the
Company has the exclusive responsibility for and authority over (whether or not
the same was exercised heretofore) the management, operation and maintenance of
its facilities and, in furtherance thereof, has, subject to the terms of this
Agreement, the right to determine policy affecting the selection, hiring, and
training of employees; to direct the work force and to schedule work; to
institute and enforce reasonable rules of conduct, to assure discipline, and
efficient operation; to determine what work is to be done, what is to be
produced and by what means; to determine the quality and quantity of
workmanship; to determine the size and composition of the work force; to
determine the allocation and assignment of work to employees; to determine the
location of business, including the establishment of new locations or
departments, divisions, or subdivisions thereof; to arrange for work to be done
by other companies or other divisions of the Company; to alter, combine, or
eliminate any classification, operation, service or department; to sell, merge,
or discontinue the business or any phase thereof; provided, however, in the
exercise of these prerogatives, none of the specific provisions of the Agreement
shall be abridged.

    


    The Company will not use the vehicle of
subcontracting for the sole purpose of laying off employees or reducing the
number of hours available to them.

    


    ARTICLE
III

    RIGHT
TO ARBITRATE

    


    All grievances and disputes as to
classifications, hours of work, and other working conditions, arising between
the Company and the employees shall be governed in manner of settlement by the
terms of this Agreement.  Whenever any grievance or dispute arises
which cannot be otherwise adjusted, the parties hereto agree that the same shall
be decided in the manner provided for in Article IV.  Only a matter
concerning the interpretation or application of a provision of this Agreement
shall be the subject of arbitration.

    


    ARTICLE
IV

    GRIEVANCE
PROCEDURE AND ARBITRATION

    


    Section
1.

    


    Grievances shall be limited to matters
concerning the provisions of the Agreement.  A "grievance," as that
term is used in this contract, means a claim by an employee, or the Union, that
a term of this contract has been violated.  All time limits in the
first, second, third, and fourth steps listed below shall be to "working days"
which shall be interpreted to include only Monday through Friday, but shall not
include holidays.  Time limits specified herein may be extended by
mutual written agreement of the parties in unusual cases.

    The Company agrees to investigate
situations which may warrant discipline promptly after it learns of the
situation.  It also commits to administer any discipline warranted
within 10 working days after it completes its investigation and assesses
relevant facts. If its factual determination and decision whether/how to
discipline cannot be completed within 10 working days of the completion of its
investigation, the Union will be advised of the need for a reasonable extension
of time within which the Company expects to complete the process.  The
Union’s agreement to extend this time will not be unreasonably
withheld.

    


    


    First Step

    


    The aggrieved employee, and/or his
Steward, shall verbally discuss the grievance with his foreman and/or
supervisor.  If the foreman and/or supervisor's verbal reply is not
satisfactory, the employee and/or his Steward shall submit the grievance in
writing to his foreman or supervisor.  No grievance shall be
considered unless it is filed within fifteen (15) days after the occurrence of
the event complained of.  The supervisor to whom the grievance is
submitted in writing shall provide his written reply within fifteen (15) days
after receipt of the grievance.

    


    Within five (5) days after the receipt
of the written decision of the supervisor, the Steward shall notify the
supervisor as to whether his decision is satisfactory.

    


    Second
Step

    


    If the written decision of the
supervisor is not satisfactory, the Chief Steward shall submit the grievance in
writing, within ten (10) days, to the head of the department in which the
grievance arose.  He shall  give his reply in writing within
fifteen (15) days after receipt of the grievance.

    


    Within five (5) days after the receipt
of the written decision of the department head, the Chief Steward shall notify
the department head as to whether the decision is satisfactory.

    


    Third
Step

    


    If the decision of the appropriate
department head is not satisfactory, it shall be submitted in writing, within
ten (10) days, to the Plant Manager, who shall then have ten (10) days after
receipt of the grievance in which to render his decision.

    


    Within ten (10) days after receipt of
the written decision of the Plant Manager, the Workmen's Committee shall notify
the Plant Manager, in writing, as to whether his decision is
satisfactory.

    


    Fourth
Step

    


    If the procedure is not adjusted
satisfactorily through the procedure hereinbefore mentioned, the matter may be
referred to an arbitrator.  If the Union desires to submit such
grievance to an impartial arbitrator (providing the grievance is one which does
not involve matters on which arbitration is specifically prohibited under the
terms of this Agreement, and which the Company and the Union have mutually
agreed to submit to arbitration) it must notify the other party of that fact, in
writing, within thirty (30) days after the date the Plant Manager, or other duly
authorized representative, advised the Workmen's Committee of his
decision.

    


    The Union and the Company shall make
written application to the Federal Mediation and Conciliation Service requesting
a seven-name arbitrator panel from which the parties shall select an
arbitrator.  The parties shall alternately each strike three names,
one at a time.  After striking, the remaining name shall act as
Arbitrator.  It is understood that, starting with the first
arbitration case following the date of the execution of this Agreement, the
Union shall strike the first name.  In the next case, the first name
stricken will be by the Company and, alternately, the Union and the Company
thereafter.  Both the Company and the Union shall have the right to
reject two panels submitted by the Federal Mediation and Conciliation
Service.

    


    When the Arbitrator has been selected,
he shall meet for the consideration of the grievance as soon thereafter as is
practical.  Any such meeting of an Arbitrator shall be held in El
Dorado, Arkansas, unless the parties unanimously decide otherwise.

    


    Any such Arbitrator shall decide only
the grievance submitted to him upon testimony presented to him by the Union and
the Company, and shall render his decision in writing.

    


    Except as otherwise specifically
provided in this Agreement, the Arbitrator shall have no power to change the
wages, hours, or conditions of employment set forth in this Agreement; he shall
have no power to add to, subtract from, or modify any of the terms of this
Agreement; he shall deal only with the grievance which occasioned his
appointment.  He will require that the Union has the burden of
establishing its position on behalf of the employee, except in a discipline
and/or discharge case when the burden will be on management.

    


    The parties hereto shall comply fully
with the award or decision made by any such Arbitrator, and the decision of the
Arbitrator will be final and binding on both parties.

    


    The expense of the Arbitrator shall be
paid equally by the Company and the Union.

    


    Section
2.

    


    No provision of this Article IV, or of
any other Article of this Agreement, shall deprive any employee covered by the
terms of this Agreement of any rights to which he may be entitled under Section
9(a) of the Labor Management Relations Act of 1947, or any other Statute of the
United States.

    


    Section
3.

    


    In the event a grievance arises over a
discharge or layoff, the first and second steps of the grievance procedure may
be bypassed.

    


    


    


    ARTICLE
V

    CLASSIFICATION
CHANGES

    


    Section
1.

    


    


    An employee who has been trained and is
functioning independently (without the need for regular contact with an
accessible, certified trainer on the shift) but has not yet been certified as
qualified for the position will be paid the rate for the position while he is
doing so.  This provision will not apply when the trainee is assisted
by another employee assigned to that position for purposed of
training.  The employee will be expected to complete the certification
process of the position for which he is training without undue
delay.  The expected time frame for doing so will vary by such factors
as position and skill level required, employee ability, availability of other
employees and production load of the facility.

    


    Section
2.

    


    Subject to the provision of Article XI,
Section 10, when an employee is transferred to a classification paying a smaller
wage rate than the classification from which he was transferred, he shall
receive the rate of pay of the new classification at the end of ninety (90)
calendar days.

    


    If an employee is shifted to any
classification paying a smaller wage rate than his regularly assigned
classification due to the temporary shutdown of equipment, no reduction in rate
shall be made during the first ninety (90) calendar days.

    


    If an employee is transferred to a
lower classification due to the exercise of seniority provisions of this
Agreement, he shall receive the rate of his new classification on the date of
transfer.

    


    Section
3.

    


    An employee who is to be laid off, due
to reduction in the work force shall be given two (2) weeks' notice of the date
of the layoff.  In the absence of such notice, the employee shall be
given two (2) weeks' pay at his rate at the time of his layoff.  It is
provided, however, if an employee is temporarily laid off and is reemployed
within less than two (2) weeks of the date on which he was temporarily laid off,
he shall be paid only a sum equal to the number of hours he would have worked
during the period of the layoff on his regular schedule, multiplied by the
hourly wage rate which he was earning at the time he was laid off.

    


    Neither notice nor pay in lieu of
notice referred to in this Section 3 shall be required with respect to a
temporary layoff which is due to a reduction in forces caused by fire, storm,
explosion, Act of God, production emergency due to manpower shortage, or by a
strike of any employees of the Company at the Chemical Plant (which employees
are in another bargaining unit), or by a strike of any employees of any other
employer.

    


    Section
4.

    


    All work peculiar to any classification
shall normally be done by employees regularly assigned to that classification
except in cases of emergency.  An employee called out or assigned to
fill that vacancy will be considered regularly assigned to that
classification.  However, operating personnel in operating areas may
perform any other duties and routine process control analyses related to the
operation of the Unit.  No arbitrary changes in present
classifications or duties thereof will be made with the purpose or result of
reducing the pay of any classification.  Any man who has available
time over and above his normal duties shall assist other employees in his
area.

    


    When an employee's area duties are down
and there is to be no work for him at all on his shift, he may be assigned
to:

    


    
      	
               
      

            	
              1.

            	
              Fill
      other operating vacancies within his
area.

            


    

    


    
      	
               
      

            	
              2.

            	
              Assist
      in maintenance efforts anywhere in the
plant.

            


    

    


    
      	
               
      

            	
              3.

            	
              Perform
      yard maintenance work anywhere in the
plant.

            


    

    


    
      	
               
      

            	
              4.

            	
              Perform
      minor maintenance in his unit.

            


    

    


    
      	
               
      

            	
              5.

            	
              Perform
      any other duties as directed by his supervisor so long as it does not
      require the performance of an immoral or unsafe
  act.

            


    

    


    (Under this condition, an employee may
be notified to change shifts and, if so notified sixteen (16) hours or more in
advance of the beginning of his new shift, will not be entitled to pay in lieu
of short notice under Article VII of the current agreement.)

    


    When an employee's assignment is down
only part of the shift, he may be assigned to:

    


    
      	
               
      

            	
              1.

            	
              Assist
      in maintenance efforts in his unit.

            


    

    


    
      	
               
      

            	
              2.

            	
              Perform
      yard maintenance work in his unit.

            


    

    


    
      	
               
      

            	
              3.

            	
              Perform
      minor maintenance in his unit.

            


    

    


    
      	
               
      

            	
              4.

            	
              Perform
      any other duties as directed by his supervisor so long as it does not
      require the performance of an immoral or unsafe
  act.

            


    

    


    An Operating Department employee shall
perform minor maintenance functions while his unit is operating if he has time
available over and above his primary operating duties.

    


    Section
5.

    


    Except in cases of emergency and for
training purposes, no foreman, supervisor, or employee not covered by this
Agreement shall do any work peculiar to any classification covered by the
bargaining unit.  However, Maintenance employees may from time to time
perform minor operating functions when accompanied by operating
personnel.  The Company shall use technical employees from time to
time to make tests and inspections requiring engineering skill.

    


    


    


    ARTICLE
VI

    HOURS
OF WORK

    


    Section
1.

    


    The regular hours for work shall be
eight (8) hours per day and forty (40) hours per work week.  One and
one-half (1-1/2) times the applicable hourly rate will be paid for all work in
excess of eight (8) hours in any one day, in excess of eight (8) hours in
succession, or forty (40) hours in any one week.

    


    Section
2.

    


    The work week shall begin at 11:00 p.m.
on Sunday and end at 11:00 p.m. the following Sunday.  The work day
shall begin at 11:00 p.m. and end at 11:00 p.m.

    


    Section
3.

    


    The work schedule and shift schedules
which are presently in effect and which are made a part of this contract as
Exhibit "C" shall remain in full force and effect for the terms of this
Agreement.  Regular hours of work for laboratory personnel shall be
8:00 a.m. to 4:30 p.m.

    


    Hours of work may be changed to 7:00
a.m. to 3:00 p.m. as dictated by the needs of the production or production
accounting departments and will not be considered a change in
shift.  Laboratory personnel may be assigned to work other shifts
periodically as necessary to meet the needs of the production
department.

    


    


    


    


    Section
4.

    


    The payment of additional compensation
for any hours worked in excess of eight (8) hours in any one day, or forty (40)
hours in any one work week, shall be in satisfaction of the obligation of the
Company under this Agreement.  There shall be no duplicate payment for
daily overtime and weekly overtime.  If daily overtime is greater in
any one work week, only daily overtime shall be paid, or if weekly overtime is
greater in any one work week, only weekly overtime shall be paid.

    


    Section
5.

    


    Notwithstanding any other provision of
this Agreement to the contrary, no employee, except in case of emergency, shall
be allowed or required to work more than sixteen (16) consecutive
hours.

    


    ARTICLE
VII

    CALL-OUT
OVERTIME AND LOCAL NOTIFICATION

    


    Overtime shall initially be
distributed, as equitably as practicable, to employees regularly assigned within
the area where the overtime is required.  The Company may then offer
such work to employees in other areas who are qualified.

    


    Section
1.

    


    Work that is required beyond the end of
the shift (or end of the day) that is expected to be four (4) hours or less in
duration will be performed by a holdover, whereby the overtime will be offered
to the employees on duty who are qualified for the work in the order that their
names appear on the respective area call-out list.  If the work will
exceed four (4) hours, Company shall have the option of holding an employee over
four (4) hours and calling a qualified oncoming employee in four (4) hours early
to complete the overtime, or calling an employee out from the appropriate
call-out list.

    


    An employee held over for as much as
one (1) hour in a case in which his relief is not late, shall be paid a minimum
of four (4) hours at straight time at his regular rate even though the full four
(4) hours may not be worked.  However, in the case of a holdover due
to a Company meeting, individuals will be paid time and one-half (1-1/2) for
hours worked.

    


    An employee called for work outside his
regular schedule shall be paid a minimum of four (4) hours at time and one-half
(1-1/2) his regular rate even though the full four (4) hours may not be worked
or he does not work at all.

    


    An employee called out for work outside
his regular hours will not be deprived of completing his daily schedule of hours
on account of the extra hours worked on such call-out.  An employee
called out for work who works continuously until the beginning of his regular
hours of work and continues to work the regular hours of his scheduled work
shall not be considered to have had a change in shift within the meaning of
Section 3 of this Article VII.  Notwithstand­ing the fact that an
employee has been called out for work, such employee shall be required to
perform his regular work schedule during the remainder of the work week in which
such call-out occurs unless excused by the Company.

    


    In the event overtime distribution
and/or call-out procedures do not provide the Company with sufficient qualified
personnel to perform the overtime work, the Company shall have the right to
assign qualified personnel, or at its option, assign the work to a salaried
employee.

    


    Section
2.

    


    If an employee reports to work on time
as scheduled, he shall be given the opportunity of working a full 8-hour
shift.  If an employee reports to work late for a scheduled work day
and arrangements have been made to have an employee work overtime in his place,
the Company shall allow the employee who reported to work late to work the
remainder of his regular schedule, and the employee who is working overtime due
to such employee being late will be relieved of duty.

    


    Section
3.

    


    No employee shall lose any time from
his normally scheduled 40-hour week occasioned by any shift
change.  However, any employee who is working extra to complete his
forty (40) hours per week may be used for filling vacancies in his area in
accordance with his seniority.  The Company further agrees that each
employee shall receive twenty-four (24) hours' notice prior to any change in his
shift, or in lieu thereof, the employee shall receive time and one-half (1-1/2)
for the first shift worked; however, no such extra pay shall be paid when an
employee's shift is changed incident to his promotion to a higher vacancy or
when he is returned to his regular assignment from an
advancement.  However, if an employee's assignment is temporarily shut
down and, as a result, there is no work for him on his regular assignment, he
may be so notified and reassigned to fill other operating vacancies on another
shift or to work with Maintenance on another shift.  If the employee
is so notified sixteen (16) hours or more in advance of the beginning of his new
shift, he will not be entitled to pay in lieu of short notice for shift
change.

    


    If an Operator Trainee (in order to
complete his forty (40) hours per week) must work outside the regularly
scheduled hours of a day employee, he will be assigned to work extra and may be
used as a relief man for filling vacancies in the operating area in which he
last worked in accordance with his seniority.

    


    


    


    


    


    Section
4.

    


    If an employee is instructed to work
and does work continuously for as much as two (2) hours before or beyond his
regular shift or schedule, he shall be paid a sum equivalent to thirty (30)
minutes at straight-time pay in lieu of meal time.

    


    ARTICLE VIII

    SHIFT MEN - DAY MEN

    


    The term "shift employee" as used
herein shall be deemed to mean one who is employed for specific periods in the
course of continuous operations regularly carried on during two (2) or more
shifts per day, five (5) or more days a week; each other employee is a "day
employee."

    


    ARTICLE
IX

    HOLIDAY
PAY

    


    Each of the following days is a
holiday:

    


    New
Year's Day

    Good
Friday

    Memorial
Day

    July
Fourth

    Labor
Day

    Columbus
Day

    Thanksgiving
Day

    Day after
Thanksgiving

    Christmas
Eve

    Christmas
Day

    


    Each of the above-mentioned holidays
shall be deemed to begin at 11:00 p.m. on the day immediately preceding the
holiday and end at 11:00 p.m. on the holiday, except when the holiday falls on
Sunday, in which case those employees who are working a 6-day week will observe
the holiday on the following Monday.

    


    An employee may elect to take a
personal holiday in lieu of Columbus Day.  To do so, it must be
scheduled with supervisory approval not less than 14 days prior to the date
requested.

    


    Employees who are regularly scheduled
to work 12 hour shifts will receive 12 hours’ pay at his straight time rate for
each recognized holiday.  Other employees who work on a holiday will
be paid eight (8) hours' holiday pay at his straight time rate.  In
addition, all employees will be paid one and one-half (1-1/2) times his straight
time rate for each hour worked on the holiday.

    


    Each employee covered by this Agreement
who does not work on a particular holiday shall be paid, with respect to that
holiday, a sum equal to his regular straight time for either eight (8) or 12
hours worked, depending upon his regular work schedule, provided that no such
payment shall be made to an employee, with respect to a holiday, if such
employee (a) is scheduled to work on that holiday and, without permission of the
Company, fails to report for work; or (b) is on leave of absence; or (c) is on
layoff; or (d) is on sick leave and has not worked or does not work at any time
during the 2-week pay period in which the holiday occurs.

    


    Holiday Pay -- Employee will be off on
a holiday if so notified that his services are not needed.  Employees
who fail to receive proper notification will receive time and one-half (1-1/2)
for the first shift worked after the said holiday.  Proper
notification will be twenty-four (24) hours.  Such notification shall
not be required in the event of unit or equipment mechanical failure, fire,
storm, explosion, or Act of God.

    


    Employees will have the option, by
seniority, to elect to work or leave if less than all can be
excused.

    


    Day Employees -- assigned to the
Operating areas -- who normally work Monday through Friday, shall observe a
holiday falling on Saturday the preceding Friday, and a holiday falling on
Sunday the following Monday, and not report for work unless
notified.  However, the Christmas Eve holiday shall be observed on the
last scheduled work day prior to Christmas Day holiday.

    


    ARTICLE
X

    VACATIONS

    


    Section
1.

    


    Normal vacation accruals will be
computed in accordance with the following provisions:

    


    
      	
               
      

            	
              (a)

            	
              Two
      weeks (80 hours) after having accrued one (1) year's Company
      seniority.

            


    

    


    
      	
               
      

            	
              (b)

            	
              Three
      weeks (120 hours) during the calendar year after having accrued six (6) or
      more years' Company seniority.

            


    

    


    In computing length of service for
vacations, time spent working at the El Dorado Plant will be used.

    


    Section
2.

    


    Those employees who had previously
accrued or who will accrue, during the term of this Agreement, twelve (12) years
or more Company seniority shall be entitled to a vacation accrual of four weeks
(160 hours).  Thereafter, and for all other employees, the maximum
vacation accrual shall be as provided in Section 1.

    


    Section
3.

    


    Each employee must take his vacation
during the calendar year in which it falls due.  However, when an
employee is absent from work due to authorized occupational injury or illness or
personal sick leave and has not returned to work by December 31, he may, at the
Company's option, be permitted to take his vacation or receive vacation pay
between January 1 and April 1 of the following year.  An employee may
elect to split his vacation in 40-hour periods, or he may take all his vacation
in one period.  However, an employee that works the Uniform shift
schedule (Exhibit "C-3") may elect to schedule his vacation in either 40-hour
periods or 56-hour periods, or a combination of the two.  Any
remaining vacation of less than forty (40) hours must be scheduled in a single
period.

    


    Section
4.

    


    Vacation schedules must be prepared and
submitted to the department head by March 1, if
possible.   Scheduling of vacations will begin immediately after
November 1 each year and no employee shall be allowed more than forty-eight (48)
hours after being contacted by his Foreman or supervisor in which to select his
vacation date.  Vacation preferences will be determined within an area
by bargaining unit seniority.  Employees who have not indicated their
preference of vacation dates at the end of this 48-hour period will be assigned
vacation dates by their supervisors.  No employee may change his
vacation dates after the schedule has been prepared except with his supervisor's
permission.  Vacations taken before March 1 will be on a first come
basis.

    


    An employee will not be eligible for
overtime or call-out after 11:00 p.m. of his last scheduled work day prior to
the start of his vacation and until his first scheduled shift to return to work
following completion of his vacation.

    


    If any employee is not permitted to
take his vacation in the calendar year in which it is due because the Company
finds it not convenient to excuse him from work, such employee shall be paid a
sum equal to the sum to which he would have been entitled if he had taken his
vacation within the period of time immediately preceding the end of the year
which period is equal to his vacation period.  No more than five (5)
employees from the Operating Department and one (1) in the Laboratory may be on
vacation at one time.

    


    Section
5.

    


    If an employee so requests at least
five (5) days prior to the beginning vacation, the Company shall, prior to his
beginning vacation, pay him in advance for all vacation being taken, in 5-day
increments only.

    


    Section
6.

    


    An employee who (a) resigns, (b)
retires, (c) is laid off as part of a reduction in forces, (d) is discharged for
cause, or (e) is granted a military leave under the provisions of Article XV, at
a time when he has earned vacation to that date but has not taken or previously
received pay in lieu of, shall be paid in lieu of any vacation he has earned to
that date but has not taken nor previously received pay in lieu of.

    


    Computation of vacation under this
section will be earned at the rate of one-twelfth (1/12th) for each month from
employee's anniversary date.  Sixteen (16) or more calendar days of
employment in any calendar month will be considered a full month in computing
vacation accruals.

    


    Section
7.

    


    Vacation pay shall be based upon the
straight time rate of an employee's regular classification at the beginning of
the vacation and will be taken in accordance with his established work
schedule.  If a holiday, as defined in Article IX, occurs during an
employee's vacation period, the employee will receive pay for said holiday as
defined in Article IX.

    


    In the event of the death of an
employee who (as of the last day on which that employee worked) had earned but
not taken a vacation, a sum of money, in lieu of such vacation, computed on the
basis herein stated, shall be paid to the executor or administrator, to the
surviving spouse of that employee or, if there is no such representative or
surviving spouse, to the next of kin of such employee.

    


    ARTICLE
XI

    SENIORITY

    


    Subject to Article XI, Section 15,
seniority shall be adhered to in vacancies within an area, shifts, and layoffs
as outlined below in this Article XI, other than discharge for
cause.  It is understood the Company shall have the right to retain
sufficient numbers of qualified personnel in such event and may assign personnel
to particular shifts when required temporarily for training.

    


    Section
1.  Eligibility for Seniority.

    


    An employee shall be first entitled to
seniority when he has been continuously employed for 180 days within the
bargaining unit, his seniority dating from the date of the beginning of such
employment.

    


    The Company shall have the right to
layoff or discharge, without cause, any employee who has not worked in the
bargaining unit a sufficient length of time to be entitled to seniority, and
such action on the part of the Company shall not be the subject of a grievance
on the part of the Union or the employee involved under any provision of this
Agreement.

    


    Section 2.  Seniority
Credits.

    


    In applying the seniority provisions of
this Agreement, each employee shall be credited with the seniority, if any, to
which he is entitled as shown on the records of the Company at the time of
execution of this Agreement.

    


    Section
3.  Progression Chart.

    


    Attached hereto as Exhibit "A" and made
a part hereof is a Progression Chart showing all classifications in the various
areas of the Operating Department.  Only those employees covered by
the terms of this Agreement and included in the bargaining unit shall be
entitled to exercise their seniority in their respective areas.

    


    Section
4.  Bargaining Unit and Area Seniority.

    


    (a)           Subject
to the provisions of Section 1 of this Article XI, bargaining unit seniority
shall be cumulative and shall be continuous from the date on which the employee
enters the bargaining unit as shown on Exhibit "A" attached hereto.

    


    (b)           Subject
to the provisions of Section 1 of this Article, area seniority shall be
cumulative and shall be continuous from the date on which the employee enters
any particular area by bidding or by assignment to a vacancy of more than ninety
(90) days.  In the event that two (2) or more employees have the same
area seniority date, area seniority will be determined by bargaining unit
seniority.

    


    (c)           In
the event an employee is permanently assigned to an area by reasons of (i)
shutdown, (ii) reduction in force in an area, (iii) the return of an employee to
that area after an absence in excess of ninety (90) days, or (iv) the
application of Section 9 of this Article, he shall continue to be considered a
part of the area from which he was so transferred until he has failed to accept
a vacancy in the area from which he was so transferred.

    


    The last employee to enter an area
shall be the first employee reduced from an area upon the termination of an
authorized leave in the area.  All other reductions from the area will
be made by area seniority.

    


    (d)           If
an employee in any area elects to bid to another area of the Operating
Department and is the successful bidder, upon his transfer, he shall then lose
his accrued seniority in the area from which he bid.  Should he fail
to qualify in the area to which he transferred, he will be transferred to
Operator Trainee position and will lose any seniority he has accrued in the area
where he failed to qualify.

    


    Section
5.  Vacancies of More Than Ninety (90) Days.

    


    (1)           Pursuant
to Section 15 of this Article, when a vacancy of more than ninety (90) days
occurs in any area, the vacancy will be filled by the bidding
procedure.

    


    (2)           Pursuant
to Section 7(1)(a) of this Article, if there are employees not in the area who
have retained seniority in the area in which the vacancy occurs, the employee
with the most retained seniority shall be assigned without bidding, to the
vacancy or forfeit his seniority in the area.

    


    (3)           Area
seniority shall be adhered to in all shift vacancies of more than ninety (90)
days within an area.

    


    Section
6.  Vacancy Posting and Bidding Procedure.

    


    (a)           The
Company shall post promptly and keep posted on the appropriate bulletin board
for ten (10) days the notice of any vacancy.  It shall be the duty of
any employee who feels himself entitled to such vacancy, based on his seniority,
to file his signed bid in the manner hereinafter stated.

    


    (b)           In
order to be considered valid, a bid must be signed, dated, and the original must
be deposited in a locked box marked " USWBids for Company," and the duplicate
must be deposited in a locked box marked "USW Workmen's
Committee."  Each of said boxes will be provided at or near the main
entrance gate.

    


    (c)           Immediately
upon expiration of the posting period of ten (10) days, the names of all bidders
will be posted on the bulletin board for a period of five (5)
days.  Within this 5-day period, each bidder who still wants the
vacancy must sign an acceptance notice to this effect and deposit in the box
marked "USW Bids for Company" and place a copy of the notice in the " USW
Workmen's Committee" box at the clock house.  However, if an employee
is going to be off from work for the duration of this 5-day period, he may leave
his acceptance notice with the personnel department.

    


    (d)           At
the end of this 5-day period, the employee with the most bargaining unit
seniority who has turned in an acceptance notice will be assigned the vacancy,
and he will be transferred to the new vacancy as soon as
possible.  The successful bidder's seniority in the area to which he
is transferred will start on the sixteenth (16th) day after the vacancy was
originally posted.  An employee accepting a promotion by either the
area realignment or the bidding procedure to a vacancy with a higher rate of pay
will not receive the higher rate of pay until qualified for the
vacancy.

    


    In cases where more than one (1)
vacancy is posted, a bidder must indicate his order of preference on all
vacancies he is willing to accept when he turns in his acceptance
notice.

    


    (e)           In
the event no one wishes to accept the posted vacancy, Company may elect to
employ a qualified operator or to assign an Operator Trainee to the
vacancy.

    


    (f)           Notwithstanding
any other provisions of this Section 6, it is agreed that the Company shall have
the right at any time during said 10-day posting mentioned above, to withdraw
that posting in the event the Company decides that such vacancy need not be
filled.  The provisions of this paragraph will not apply to filling
normal vacancies.

    


    Section
7.  Filling Vacancies of Ninety (90) Days or Less.

    


    (1)           Pursuant
to Section 15 of Article XI, when a vacancy exists for a period up to and
including ninety (90) days, it shall be filled by promoting the senior employee
of the next lower classification who is working the same shift in the area in
which the vacancy occurs.  If no Operator Trainee, with retained area
seniority, is available, this lowest vacancy will be filled on an assignment
basis by an Operator Trainee assigned to that area with the most bargaining unit
seniority who is available and qualified to perform the work.

    


    In the event the vacancy(ies) cannot be
filled by this procedure, the vacancy(ies) will be filled by overtime procedures
and will normally be the vacancy which existed in the area before any
reassignment.

    


    (a)           However,
if an employee is removed from the active payroll, the vacancy caused by this
action will be filled according to Section 5 of this Article on the first (1st)
day after this action.

    


    (2)           In
the event an Operator Trainee is not available and overtime is required, the
following procedure will be used:

    


    (a)(i)  When overtime is
required other than holdover or early call-in overtime, set forth in Section 1
of Article VII, call-outs will be made from the appropriate call-out
list.  Overtime call-outs may start up to forty-eight (48) hours in
advance of the actual time required.  Call-out lists will be
maintained for Operator Trainees, Area II, Area III, Area IV, Emergency Squad,
and a Master List.  Call-outs will be made starting at the top of the
list for the area where the overtime is required and proceeding to the bottom,
calling those individuals possessing the necessary qualifications for the
work.

    


    In the event there will be a vacancy as
the result of vacation or other scheduled absence, Company may assign qualified
employees to cover such absences up to seven (7) days in advance of such
need.  Company may also utilize hold-over and call-in, or fill such
vacancy by regular call-out procedures.

    


    Upon acceptance or rejection of a
call-out, the individual's name will be placed at the bottom of the
list.  If the call-out is canceled, the employee shall be offered
makeup overtime without his name moving on the call-out list.  Makeup
overtime is defined as: Work of the nature encountered in normal operations but
not normally done on overtime.  At the time the makeup overtime is
offered, the employee must accept or reject the makeup
overtime.  Makeup overtime will be offered for a full 8-hour
shift.

    


    Employees are ineligible for call-outs
that interfere with previously arranged call-outs or their normal
schedule.

    


    The master call-out list will consist
of a list of names of regularly assigned employees on Area II, Area III, and
Area IV call-out lists who desire to work overtime.  Employees called
on this list will rotate on this list, but will not rotate on the area list
their name appears on for any overtime worked on a master
call-out.  Master list call-outs will terminate when the work is
completed.

    


    (a)(ii)  Each call-out will
terminate at the end of the shift during which the work on that call-out
began.  An employee working a call-out, except for filling shift
vacancies, will be expected to do the work for which that person was called and
other operational work, excluding housekeeping work, in the area that may arise
after the individual reports to work, for which that person is
qualified.  A call-out will end when the work for which the person was
called, plus the additional operational work, is completed.

    


    (a)(iii)  Individuals' names
will not be moved on the call-out lists for any overtime associated with Safety
and Housekeeping Inspection Teams, or Accident Investigation Teams, or Safety
Meetings, or Emergency Squad Training, or for overtime set forth in Section 1 of
Article VII.

    


    (a)(iv)  Employees who work
the Uniform Shift Schedule will have their names moved to the bottom of their
respective call-out lists at the beginning of the 7-3 shift of the day which is
their sixth (6th) work day in the same work week.

    


    (a)(v)  Operator Trainees may
have their names appear on the list in the area where they possess
qualifications.  For employees with retained area seniority, the
call-out list to which their names will be assigned will be the area where they
have retained seniority.  Upon acceptance or rejection of a call-out,
an individual's name will be moved to the bottom of each list where his name
appears.  An Operator Trainee's name will be moved from one area
call-out list to another, at the beginning of the day of transfer of that
individual to another area in which the Operator Trainee holds
qualifications.

    


    (a)(vi)  Any time an
employee's name is entered on an area call-out list, his name will be entered at
the bottom of that list.

    


    (a)(vii)  An employee may,
for personal reasons, have his name removed from the call-out
list(s).  At such time as he desires, he may return his name to the
bottom of the appropriate call-out list(s).  An employee who is off
for vacation, sick leave, or leave of absence will not be available for
overtime.  His name shall be turned over on the call-out
list(s).  Upon return, he will be available as though he had no
opportunity during his absence.

    


    (a)(viii)  The call-out lists
will be maintained under the direction of the area supervisors or Foremen, and
it will be their responsibility to keep such records as are necessary to
administer the call-out procedure and to present the proper information to the
shipping attendants for execution.  Copies of the daily call-out
sheets will be furnished to the Union representatives.

    


    (a)(ix)  Any employee who
accepts an assignment outside the bargaining unit will have his name placed at
the bottom of the appropriate list(s) for the duration of the
assignment.

    


    (a)(x)  An employee must have
a telephone in his residence or be available at the plant in order to be
eligible for a call-out.  Only one (1) telephone may be listed for
each employee.

    


    (a)(xi)  Employees will not
be eligible for overtime in an operating area until they have qualified on a
vacancy in that respective area.  Upon qualifying on a vacancy in an
area, a new employee's name will be placed on the bottom of that area call-out
list and the master call-out list.

    


    If, at the time of each bi-monthly
meeting, it is brought to the attention of the Company that an inequity exists
between areas in the distribution of overtime, an attempt will be made to
equalize overtime.

    


    When an employee is held over due to
negligence in providing relief and proper notice has been given, the employee
held over will be paid a minimum of two (2) hours at his straight-time
rate.

    


    The above procedure may be modified by
mutual agreement between the Union and the Plant Manager or his designated
representative.

    


    (b)(i)  Any employee who has
been off duty due to illness, injury, or an unauthorized leave will be required
to give his supervisor eight (8) hours' notice of his intention to return to
work or secure permission of the Company to return to work earlier.

    


    (b)(ii)  When an employee's
shift is changed for any reason so that he will have only eight (8) hours off
between shifts, he will not be eligible to double over from the first shift, and
he will not be eligible for call-out during the 8-hour interval between
shifts.

    


    (b)(iii)  When an employee
who is temporarily working in a higher classification, other than his regular
classification, accepts the opportunity to work over, his classification will
revert to his regular classification.  At the end of his regular
shift, said employee who has stayed over onto a shift may exercise his seniority
to receive any temporary upgrading that occurs on that shift.

    


    (b)(iv)  When a unit or piece
of equipment is temporarily shut down and as a result there is no work for an
employee on his regular assignment, such employee may be required
to:  (a) perform the duties of other assignments within his area, (b)
assist in maintenance efforts anywhere in the plant, or (c) perform minor
maintenance in his area.  If such employee is absent from work during
such temporary shutdown, the Company shall not be required to fill his
position.

    


    (b)(v)  Notwithstanding any
other provisions of this Section, if notice of an employee's absence is not
reported, the employee not receiving relief will be required to work over if
relief is not available; however, if said employee does not desire to work over,
he may waive this work provided there are other employees on the same shift who
desire to work over.  The employees in the same classification will be
given the opportunity to work over in order of their seniority.  If no
employee in that classification accepts the opportunity to stay over, the
overtime will be offered to the other employees on that shift in accordance with
their seniority.  In case a relief man is not found within thirty (30)
minutes, he may not be used to fill such vacancy.  If an Operator
Trainee does not report on schedule, this paragraph is not
applicable.

    


    An employee not eligible to work over
in accordance with (b)(iii) of this Section will be required to work over only
until relief can be obtained.

    


    The same procedure will be applicable
to all employees if proper notice is given that an employee will be less than
three (3) hours late.  Such employee will be relieved when his relief
reports.

    


    Section
8.  Classifications and Shifts

    


    (a)           Each
employee returning to the service of the Company or an area from an authorized
leave without pay or from sick leave, or temporary shutdown of equipment of
sixty (60) days or less, shall resume his duties uninterrupted service in the
area from which he left on the same lettered shift, or any shift that has become
vacant during his absence, and has been filled by a man younger in area
seniority.  Notwithstanding any other provisions of this contract upon
(1) the termination of an authorized leave, or (2) the temporary shutdown of
equipment of sixty (60) days or less, each employee who was promoted or changed
shifts shall revert to the same classification (area), and the same lettered
shift from which he moved, or any shift within his area that has become vacant
during the leave or shutdown of equipment and is filled by a younger man in area
seniority.

    


    (b)           Any
time a new vacancy is established within an area, the employee with the most
area seniority shall have the right to this vacancy if he so
desires.

    


    (c)           Any
new operating facility for products not now being manufactured will be filled by
the bidding procedure before being transferred to any area.

    


    (d)           When
employees return to an area because equipment is started up after a shutdown of
more than sixty (60) days, all shifts within a classification will be chosen by
area seniority.

    


    (e)           Any
time that it becomes necessary for an employee to be demoted to a lower
classification, other than a demotion caused by the termination of an authorized
leave, he shall be given an opportunity to pick his shift within the
classification in accordance with his seniority.

    


    (f)           Subject
to the provisions of Subsection (e) of this Section 8 of this Article XI, an
employee displaced from his shift has been discontinued, shall have the right to
displace any other employee in that area in accordance with his area
seniority.

    


    (g)           Any
shift changes made in accordance with this Section shall be made on Monday
following the determination of employees' choices provided that the
determinations are made by noon on the preceding Friday and will be made without
involving any overtime pay.  Determination of employees' choices of
shifts must be made within one (1) week after the shift is declared vacant,
except as specified above.

    


    Section
9.  Reduction in Forces.

    


    1.           Effective
August 1, 1986, employees who are permanently assigned in areas of the Operating
Department who may be transferred from their regularly assigned classifications
and thereby assigned, in accordance with the seniority provisions of the
Agreement, to a vacancy with a lower rate of pay, shall continue to receive the
higher rate of pay until they have had an opportunity to bid on and are the
successful bidder to another vacancy calling for the same or higher rate of
pay.

    


    When there is more than one (1) bidder
receiving the frozen rate of pay, all except the youngest employee in seniority
shall have the right to refuse the vacancy.  An employee who accepts a
vacancy in order to protect a frozen rate or his retained seniority shall have
the right to return to the vacancy from which he vacated if the vacancy he takes
does not last for more than ninety (90) days.

    


    Any question arising pertaining to
safety due to reduced personnel in any area will be subject to Article XVII,
Section 2.

    


    2.           Reduction
in personnel and reduction in rate can, however, result from the fact that the
operation of all or part of the equipment being operated in area is shut down
either permanently or temporarily.

    


    Any layoff will be in accordance with
Article XI, Section 13.  No employee will be reduced in pay for ninety
(90) calendar days because of temporary shutdown.

    


    3.           Bumping
Procedure - Employees permanently assigned to an area who are transferred to the
Operator Trainee classification due to the shutdown of equipment will be allowed
to replace other employees as follows:

    


    (a)           An
equivalent number of vacancies permanently filled by employees with least
bargaining unit seniority in any classification with less bargaining unit
seniority, than employees reduced back to the Operator Trainee classification,
will be declared vacant.  The declaring of vacancies will be made
within ninety (90) days after area shutdown and the assignments will be made on
the ninety-first (91st) day.

    


    (b)           The
vacancies declared vacant by the application of Item (1) above will be filled in
accordance with bargaining unit seniority by those employees reduced to the
Operator Trainee classification, or by the employees whose assignments were
declared vacant.

    


    (c)           Employees
reduced to the Operator Trainee classification who bid on and are the successful
bidders before vacancies are declared as provided in Item (a) above will
not be included in the number of assignments to be declared vacant.

    


    4.           Any
employee who has replaced another employee under the provisions of subsection
9(2) above must return to the area from which he was originally reduced when he
has an opportunity to do so on a vacancy of more than ninety (90) days or
forfeit his seniority in the area to which he was transferred under subsection
9(2) above and go to the Operator Trainee classification.

    


    5.           The
Bumping Procedure, as set forth in this Section, will not apply as a result of
consolidation of assignments, automation, or change in shift
schedules.

    


    Section
10.  Status of Employees Laid Off.

    


    The accrued seniority, both bargaining
unit and area, of an employee who has been laid off through no fault of his own
shall continue to exist as of the date of the layoff for the following
periods:

    


    
      	
               
      

            	
              Length of
      Service

            	
              Period Seniority to
      Exist

            


    

    


    
      	
              Less
      than 180 days

            	
              0

            


    

    


    
      	
              180
      Days to 2 Years

            	
              Length
      of Previous Service

            


    

    


    
      	
               
      

            	
              2
      Years or More

            	
              2
      Years

            


    

    


    Section
11.  Seniority Lists.

    


    Seniority lists shall be complied and
be kept at all times available to the Workmen's Committee, and the Workmen's
Committee shall also have access to daily time reports to verify disputed
seniority lists and service records.

    


    Section
12.  Seniority - Outside Assignments.

    


    Any employee, after having established
seniority under the provisions of this Agreement, who is temporarily assigned to
another classification by the Company, outside of the bargaining unit, shall
continue for not more than ninety (90) working days per calendar year on a
cumulative basis to accrue seniority on his regular classification during such
period of temporary assignment.  If such employee works more than
ninety (90) days per calendar year on a cumulative basis, he shall forfeit one
(1) day of bargaining unit seniority for each day in excess of ninety (90) days
worked outside of the bargaining unit during that calendar year.  This
paragraph is not applicable to employees who transfer to the Maintenance
Department.  Such employees forfeit both area seniority and bargaining
unit seniority on the date which they transfer to Maintenance.

    


    Section
13.  Layoffs and Reemployment.

    


    The last employee hired shall be the
first employee to be laid off on the basis of bargaining unit
seniority.  The last employee laid off shall, if he still has
seniority, be the first employee rehired (notwithstanding any provisions of
Section 9 of this Article).

    


    An employee who has worked in the
bargaining unit sufficiently long to be entitled to seniority in that
department, and who was laid off through no fault of his own, has kept his
current address on file with the Company and continues to be entitled to
seniority under the terms of this contract, shall, subject to the provisions of
this Section, be given first opportunity for reemployment.

    


    If reemployment is available for any
such person, the Company shall so notify him by letter (with copy of such letter
to the Chairman of Workmen's Committee), addressed to him at his address then on
file with the Company.  He shall be allowed ten (10) days from the
date upon which said letter was mailed, or until he no longer retains his
accrued seniority as provided in Section 10 of this Article XI (whichever is the
shorter period), in which to notify the Company in writing of his desire to
return to work.  In the event he delivers such notice, he shall be
allowed ten (10) days from the date of delivery thereof to report for work;
provided, however, if the employee involved is, on the date which he would
otherwise be required to report for work, totally disabled to work, he shall, on
or before that date, deliver to said Company a statement in writing from a
licensed physician stating that he is so disabled, in which event the period
within which he shall be permitted to return to work shall be extended ninety
(90) days.

    


    Section
14.  New Operations and Existing Operations.

    


    The classification to be established in
any new operations and the area in which new operations will be incorporated
shall be discussed with the Workmen's Committee not less than thirty (30) days
prior to the posting of new vacancies in that area.

    


    Section
15.  Promotional Requirements.

    


    The minimum qualifications required in
order for an employee to be eligible to bid on a classification posted as a
vacancy will be the ability to write and to read and comprehend written and
verbal operating instructions.

    


    ARTICLE
XII

    PHYSICAL
EXAMINATIONS

    


    Section
1.  Periodical Examinations.

    


    The Company may, from time to time,
require all employees to have periodical physical examinations by a doctor
selected by the Company.  However, as long as an employee is
physically fit, such examination shall not be used as a cause for
termination.  Each employee shall receive his regular rate of pay for
all time required for him to be examined at the request of the
Company.

    


    Section
2.

    


    In the case of an employee being absent
from work due to illness or physical impairment, he may be required to present a
certificate of physical fitness, signed by a licensed physician, before being
readmitted to work.  This rule, however, shall not limit the right of
the Company to require physical examination by a physician in the Company's
service in exceptional cases of constantly recurring absence from
duty.

    


    Section
3.

    


    Notwithstanding any of the provisions
of Article II or Article IV of this Agreement, in case a dispute arises over the
physical fitness of an employee to return to work or continue to work, a board
of three (3) physicians shall be selected, one by the Company, one by the
employee, and one selected by the two so named.  The decision of the
majority of this board shall be final and binding.

    


    ARTICLE
XIII

    AUTHORIZED
DEDUCTIONS

    


    1.  Union
Dues.

    


    Upon receipt of a signed authorization
by an employee in the form provided herein, requesting deductions from his or
her wages of his or her monthly Union dues, the Company agrees to honor such
authorization according to its terms during the life of this
Agreement.  The form of such individual authorization shall be as
follows:

    


    
      	
               
      

            	
              "Until
      further notice you are hereby requested and authorized to deduct from
      wages due me and payable on the first regular pay day of each month, the
      sum equal to my monthly dues as set by , UNITED STEELWORKERS OF AMERICA
      INTERNATIONAL UNION AFL-CIO AND ITS LOCAL 13-434 , for my account on or
      before the 15th day of the month following the calendar month for which
      said deductions are made."

            


    

    


    The Financial Secretary of Local
Union  13-434and an International Representative of the Union shall,
from time to time, notify the Company in writing the amount of the monthly
deduction to be made, from time to time, under this authorization.

    The
Company shall remit to the Union the amount so deducted on or before the 15th
day of the calendar month following that for which deductions are
made.

    


    
      	
              2.

            	
              Political
      Contributions

            


    

    


    The Company hereby agrees to honor
contribution deduction authorizations from its employees who are Union members
in the following form:

    


    
      	
               
      

            	
              "I
      hereby authorize the Company to deduct from my pay a yearly specified sum
      and forward that amount to the UNITED STEELWORKERS OF AMERICA
      INTERNATIONAL UNION AFL-CIO AND ITS LOCAL 13-434 Political
      Committee.  This deduction should be made and remitted to the
      Union on the first regular pay day of February each year.  This
      authorization is voluntarily made on the specific understanding that the
      signing of this authorization and the making of payments to the UNITED
      STEELWORKERS OF AMERICA INTERNATIONAL UNION AFL-CIO Political Committee
      are not conditions of membership in the Union or the employment with the
      Company and that the UNITED STEELWORKERS OF AMERICA INTERNATIONAL UNION
      AFL-CIO Political Committee will use the money it receives to make
      political contributions and expenditures in connection with federal,
      state, and local elections."

            


    

    


    The Union agrees to indemnify the
Company for any loss the Company may suffer as the result of this deduction
taken by the Company from an employee's pay to be remitted to the
Union.

    


    ARTICLE
XIV

    DISCHARGE

    


    Section
1.

    


    An employee shall not be discharged if
physically and mentally capable of continuing his duties on account of any
accident unless the accident was caused by negligence, carelessness, or
malicious intent of the employee.

    


    Section
2.

    


    The company shall expect all of its
employees to adhere to its rules and regulations.

    


    Section
3.

    


    The question as to whether a person who
is discharged was rightfully discharged shall be a proper subject of
arbitration.

    


    The Company and the Union will share in
the expenses of arbitration equally.

    


    ARTICLE
XV

    MILITARY
LEAVE

    


    Section
1.  Leave of Absence.

    


    The rights of employees of the Company
who enter military service during the term of this Agreement will be governed in
all respects by the Military Selective Service Act including
amendments.

    


    Section
2.

    


    An employee, upon return to work from
Military Leave, will be allowed to claim any assignment that became vacant
during his term of Military Leave to which his area seniority would have
entitled him had he not been on Military Leave.

    


    ARTICLE
XVI

    BULLETIN
BOARDS

    


    The Company shall maintain a bulletin
board to be placed on the property where it may be seen by employees entering
and leaving their place of employment.

    


    Such bulletin board may be used by the
Workmen's Committee of the Union for any matters pertaining to its membership
provided the material posted shall contain nothing of a political or
controversial nature nor reflect upon the Company or any of its employees or
products.

    


    Any notices other than notices of Union
meetings, results of elections, sample ballots of Union elections, social events
shall be approved in writing by Plant Manager or his representative before
posting.

    


    This bulletin board will be locked with
keys, released to the Chairman of the Workmen's Committee, the Chief Steward,
and the Chairman of El Dorado Chemical Company Group of Local 14-434of the Union
and to the Company.

    


    ARTICLE
XVII

    SAFETY
& HEALTH

    


    Section
1.

    


    The Company shall institute and
maintain all reasonable precautions for safeguarding the health and safety of
its employees, and all employees are expected to cooperate in the implementation
thereof.  Both the Company and the Workmen's Committee recognize their
mutual interest to assist in the prevention, correction, and elimination of all
unhealthy and unsafe working conditions and practices.

    


    Section
2.

    


    No employee shall be required to
perform services that seriously endanger his physical safety, and his refusal to
do such work shall not warrant or justify discharge.  In all such
cases, an immediate conference between the Company and Union shall be held to
settle the issue in question.

    


    Section
3.

    


    The Company recognizes the Workmen's
Committee to be a Union Health and Safety Committee that will discharge this
responsibility at a scheduled session as held under Article
XVIII.  Discussion of Safety and Health topics will be included in
minutes issued from that session.  The Health and Safety Committee
will have the responsibility of making constructive recommendations for changes
to eliminate unhealthy and unsafe conditions and
practices.  Recommendations of the Health and Safety Committee will
not be subject to the Grievance Procedure under Article IV.

    


    Section
4.

    


    The Company will provide and maintain
adequate health and safety equipment, monitoring devices, and personnel
protective equipment.  Additionally, the Company will provide employee
training to ensure that employees are knowledgeable in use and maintenance of
health and safety equipment and personnel protective equipment.

    


    Section
5.

    


    The Company will provide appropriate
routine medical examinations at its discretion.  A report of the
medical findings will be made to the affected employee.

    


    Section
6.

    


    Inspection of all equipment throughout
the plant or place of employment shall be continued by the Plant Manager or
other persons designated by the Company from time to time.  An
inspection of any equipment may be secured upon the recommendation of the
Workmen's Committee or the workmen employed on such equipment.  The
Union Workmen's Committee may make written suggestions to the Plant Manager or
his representatives as to the elimination of hazards in order to prevent
accidents.

    


    Section
7.

    


    A Safety and Housekeeping Inspection
Team will be maintained for purposes of making periodic inspections of the plant
premises and recommendations to improve Safety and Housekeeping.  This
team will consist of not more than two (2) members of this Workmen's Committee,
or two (2) other members of the bargaining unit, and other persons outside the
bargaining unit as designated by the Company.  Those members of the
bargaining unit who serve on the team will be excused from work, with pay, on
the day of the inspection, and the vacancy created will be filled in accordance
with Article XI, Section 8.

    


    Section
8.

    


    Two (2) "at-large" employees will be
selected by the Company to participate in the Manufacturing Department Safety
Planning Committee.  The term of service will normally be one (1) year
for these employees.  The Company will maintain a list of those
employees agreeing to serve.

    


    Section
9.

    


    One (1) "at-large" employee from the
area in which the accident occurred, selected by the Company, will be asked to
serve on formal Accident Investigation Teams as formed.  The Company
will maintain a list of those employees agreeing to serve.

    


    Section
10.

    


    The Company may, at its discretion,
maintain a plant Emergency Squad for preserving the well-being of both employees
and the physical facilities within the plant.  The Company may assign
employees to the Emergency Squad by classification and classification
qualification.

    


    The Emergency Squad shall be trained in
first aid, personal rescue, fire fighting and other emergency training under the
overall direction of the plant Safety Supervisor.  Other selected
personnel will be expected to attend training sessions to complement the makeup
of the Emergency Squad, emergency equipment, and substitute as Emergency Squad
Leader.

    


    The Emergency Squad will be called in
the event of an emergency, consistent with the Plant Emergency Plan, and shall
be considered the primary crew to perform the duties and direct the operation
during the emergency.  However, should the need arise, other available
employees, including salaried employees, may assist the Emergency
Squad.  If a need arises during an emergency, the Emergency Squad
Leader may, at his discretion, call out additional Emergency Squad
members.

    


    The Company will maintain relationships
with local emergency service groups so that, if available and if required, these
groups may assist the Plant Emergency Squad.

    


    ARTICLE
XVIII

    WORKMEN'S
COMMITTEE CONFERENCES

    


    Workmen's Committee, composed of five
(5) members from the employee work force, and management representatives, shall
hold regular meetings on a bi-monthly basis.  It shall be the
responsibility of both parties to submit a written agenda of each subject it
wishes to discuss no less than forty-eight (48) hours before the day of any such
meeting.  In the event the aforementioned day occurs on a holiday, the
day preceding the holiday shall be the day of the meeting.  This date
may be changed by mutual agreement.

    


    The members of the Workmen's Committee,
when scheduled to work the graveyard shift on the day after any such regular
meeting, will be excused from work on that graveyard shift with
pay.

    


    ARTICLE
XIX

    SEVERANCE
PAY

    


    Any employee covered by the terms of
this Agreement whose services are terminated through no fault of his own shall
be granted severance pay after one (1) year of continuous service of one (1)
week's pay, equivalent to forty (40) hours' straight-time pay at his regular
rate; after two (2) years' service, two (2) weeks' pay equivalent to eighty (80)
hours straight-time pay at his regular hourly rate.

    


    If the services of an employee who has
been continuously employed by the Company for one (1) year or longer is
terminated through no fault of his own, and he has not been notified by the
Company (by notice given at least two (2) weeks prior to the date upon which his
services are terminated) that his services will be terminated on that date, he
shall be paid, in addition to the amount to which he is entitled under the
provisions of the first paragraph of this Article, two (2) weeks' pay equivalent
to eighty (80) hours straight-time pay at his regular hourly rate.

    


    ARTICLE
XX

    CONTRACT
WORK

    


    It is agreed that any work or operation
as covered by this Agreement will not be contracted out if the Company has men
and equipment available for such work.

    


    ARTICLE
XXI

    DISCRIMINATION

    


    There shall be no discrimination by the
Company against any employee on account of his membership in this labor union or
on account of any activity undertaken in good faith in his capacity as a
representative of other employees.  The Union shall not discriminate
against any employee who is not a member of the Union.

    


    Where the male gender is used in this
contract, it is intended to refer to both male and female.  It is a
continuing policy of the Company and the Union that the provisions of this
Agreement shall be applied to all employees without regard to race, color,
religion, sex, physical disability, national origin, or age.

    


    ARTICLE
XXII

    LEAVE
OF ABSENCE

    


    Section
1.  Personal Business.

    


    If an employee desires to be off on
personal business (not emergencies), he may do so with written consent of the
Company, signed by the Plant Manager or his representative, so long as he does
not desire to be off work over two (2) work weeks and provided that he gives the
Company forty-eight (48) hours' notice of his desire to be absent and the length
of time he desires to be off.  Upon completion of such leave, he will
resume employment on the basis of uninterrupted service.  The
provisions of this Section 1 shall not be extended to more than two (2)
employees in each area at any one time.

    


    Section
2.  Union Business.

    


    (a)           The
Company shall grant a leave of absence, without pay, extending not longer than
thirty (30) days to employees in order to engage in any work pertaining to the
business of the Union, local or otherwise, upon sufficient notice so that the
employee's absence will not cause overtime employment.  Upon
completion of such leave that employee will resume employment with previous
seniority retained.  This privilege will not be extended to more than
four (4) employees at any one time.  This privilege will not be
extended to any one (1) employee for more than an aggregate of sixty (60) days
in any one (1) calendar year.  This does not apply to
negotiations.

    


    (b)           Notwithstanding
the provisions of the foregoing subdivision (a), the Company agrees that upon
written request of the President of the Union (addressed to El Dorado Chemical
Company, P. O. Box 231, El Dorado, Arkansas, Attention:  Plant
Manager) one (1) employee will be given a leave of absence not to exceed one (1)
year, without pay, to work as an employee of the Union, or any of its
affiliates, with the provision, however, that such leave of absence shall, upon
the written request of the President of the Union (addressed in like manner) be
extended for a period of time not to exceed one (1) additional
year.

    


    It is provided, however, that not more
than one (1) employee at a time may be on leave of the character mentioned in
the paragraph immediately preceding.

    


    No employee shall be granted a leave of
absence pursuant to this subsection who has not, immediately preceding the date
upon which such leave of absence is to begin, worked for a period of one (1)
year continuously.

    


    Upon completion of the leave of absence
mentioned within this subsection, or upon completion of the extended term of
such leave of absence, if the term thereof is extended pursuant to this
subsection, the employee involved will resume employment with previous seniority
retained, provided such employee reports to the Company for work within one (1)
day following the expiration of said leave of absence or within one (1) day
following the extended term of such leave of absence if the term thereof is
extended pursuant to this subsection.

    


    An employee who fails to report for
work within one (1) day following the end of such leave of absence shall thereby
forfeit all of his seniority and his services with the Company shall be
terminated; provided, however, if the employee involved is (on the date which he
would otherwise be required to report to work) totally disabled to work, he
shall, on or before that date, deliver to the Company a statement in writing
from a licensed physician stating that he is so disabled, in which event the
period within which he shall be permitted to return to work shall be extended
thirty (30) days.

    


    Company shall have the right to require
such employee to be examined by a physician of its choice before extending such
leave.

    


    Section
3.  Sickness or Accident.

    


    If an employee who has established
seniority is out of service due to occupational injury or occupational disease
suffered or contracted while he is in the employ of the Company, he shall retain
his seniority accrued at the date of his disability and continue to accrue
seniority for a period of twenty-four (24) months or length of previously
accrued seniority, whichever is less, during the period of his disability as a
result thereof, notwithstanding any provisions of Article XI.  If an
employee who has established seniority is out of service due to nonoccupational
injury or disease suffered while he was in the employ of the Company, he shall
retain his accrued seniority for a period of twenty-four (24) months and will
accrue seniority in the department in which he was last regularly employed for a
period of one (1) year.

    


    Under either of the above conditions,
if an employee should accept an equal or better assignment elsewhere, his
seniority shall be canceled.

    


    When an employee is out of work for the
reasons set forth in this section, FMLA and relevant insurance coverage will be
applied for the initial 12 weeks of the leave.  After the initial 12
weeks, the employee will be entitled to continue health insurance coverage and
at costs pursuant to his COBRA rights which will begin upon completion of the
initial FMLA coverage.

    


    ARTICLE
XXIII

    JURY
DUTY

    


    Each employee of the Company who is
called to serve upon any grand jury, petit jury, coroner jury, or jury
commission shall, after furnishing to his Foreman, a certificate in evidence of
his jury service, be paid by the Company for each day which he serves upon said
jury a sum equal to the difference between the amount which he would have earned
if he had been required to work for the Company on that day for the number of
hours of his regular work schedule and the jury pay received, with the provision
that no such payment shall be made to an employee for jury service on any day
during which, in accordance with his regular work schedule, he would not have
worked for the Company.

    


    ARTICLE
XXIV

    WAGE
RATES AND CLASSIFICATIONS

    


    Each employee who works during the
period beginning 12:01 a.m., August 1, 2007, and ending 12:00 midnight, July 31,
2010, in one of the classifications shown on Exhibit "B" attached hereto,
shall be paid for his work in that classification in accordance with the
applicable wage rate, shift differential, and clothing allowance in accordance
with Exhibit "B".

    


    Notwithstanding any other provision of
this Agreement to the contrary, the question of wages to be paid shall not be
construed to include any allowance which results in an increase in the
compensation of an employee or of employees.

    


    ARTICLE
XXV

    VALIDITY

    


    If any court shall hold any part of
this Agreement invalid, such decision shall not invalidate the entire
Agreement.

    


    ARTICLE
XXVI

    NOTICES

    


    Any notice required to be given an
employee under Article V, Section 3, or under Article XIX, may be given by
posting a notice on the bulletin board of the Union, with a copy of said notice
to the Chairman of the Workmen's Committee.  If any employee named in
such notice is on vacation or on leave of absence, a copy of said notice will be
mailed in a sealed envelope, registered, and addressed to him at his address as
shown on the records of the Company.  Each employee named in any such
notice shall be deemed to have received the notice at the time said notice is
posted on the bulletin board or mailed to him at his home address.

    


    Any notice to the Company provided
herein may be given by depositing same in the U.S. Mail in a sealed envelope,
registered, postage prepaid, and addressed to El Dorado Chemical Company, P. O.
Box 231, El Dorado, Arkansas 71731, Attention: Plant Manager.

    


    Any notice to be given to the Union may
be given by depositing the same in the U.S. Mail in a sealed envelope,
registered, postage prepaid, and addressed to the  UNITED STEELWORKERS
OF AMERICA INTERNATIONAL UNION AFL-CIO AND ITS LOCAL 13-434, El Dorado, Arkansas
71731, with a copy of the notice to the Secretary, Local 13-434, of the Union,
El Dorado, Arkansas 71731.

    


    ARTICLE
XXVII

    FUNERAL
LEAVE

    


    Any employee in the bargaining unit
shall be allowed to be absent from work to arrange for or to attend the funeral
or any of the relatives of the employee hereinafter mentioned for the time
hereinafter stated:

    


    (a)           If
the deceased relative was the husband, wife, child, father, mother, brother,
sister, grandfather, grandmother, or grandchild of the employee, the employee
shall be permitted to be absent from work for a period not to exceed two (2)
days.  One of these days shall be the day of the
funeral.  If either or both of these days are scheduled working days,
he shall be allowed pay for day(s) off during his regular working
schedule.

    


    (b)           If
the deceased relative was the father-in-law, mother-in-law, brother-in-law,
sister-in-law, son-in-law, or daughter-in-law, grandmother-in-law or
grandfather-in-law of the employee, the employee shall be permitted to be absent
from work with pay for the purpose stated for one (1) scheduled working day if
the funeral is held on a scheduled working day.  Brother-in-law and
sister-in-law will be interpreted as (i) the spouse of an employee's brother or
sister; (ii) the brother or sister of an employee's spouse; or (iii) the spouse
of an employee's spouse's brother or sister.

    


    (c)           If,
to attend the funeral for a deceased relative, the employee travels to a point
more than 100 miles from El Dorado, Arkansas, he shall be allowed such leave for
an additional day with pay.

    


    The pay for each day's leave which the
employee receives under the provisions of this Article shall be a sum equal to
straight-time for his regular schedule of work on the day
involved.  There shall be no duplication of payment under provisions
of this Article for any other employee benefits such as:  vacation
pay, holiday pay, or sickness benefits payments.

    


    ARTICLE
XXVIII

    MEDICAL
INSURANCE BENEFITS

    


    Group
Insurance and Pension.

    


    The Company and employees will share
the entire cost of group insurance benefits for employees and employee
dependents on the following basis, in the following employee enrollment
categories, payable bi-weekly:

    


    a.           Employee

    b.           Employee
and Children

    c.           Employee
and Spouse

    d.           Family

    


    Medical claims utilization and fixed
costs will determine the cost shareassigned to each enrolled employee by
enrollment category.

    


    
      	
               
      

            	
              (1)

            	
              Effective
      January 1, 2008, the employee’s cost share of 22%, per pay period, will be
      based on the total claims utilization and fixed costs commencing November
      1, 2006, through October 31, 2007.

            


    

    


    The
specific cost share amounts to be effective January 1, 2008, will be constant
throughout that year.

    


    
      	
               
      

            	
              (2)

            	
              Effective
      January 1, 2009, the employee cost share of 23%, per pay period, will be
      based on the total claims utilization and fixed costs during the period,
      commencing November 1, 2007, through October 31,
  2008.

            


    

    


    
      	
               
      

            	
              The
      specific cost share amounts, per pay period, to become effective January
      1, 2009, will be constant throughout that
year.

            


    

    


    
      	
               
      

            	
              (3)

            	
              Effective
      January 1, 2010, the employee cost share of 23%, per pay period, will be
      based on the total claims utilization and fixed costs, during the period
      commencing November 1, 2008, through October 31,
  2009.

            


    

    


    The
specific cost share amounts, per pay period, to be effective January 1, 2010,
will be constant throughout that year.

    


    


    


    


    


    Effective
January 1, 2008, 2009, and 2010, of each year, the maximum employee cost share
amounts, per pay period, are as follows:

    


    2008                                22%

    2009                                23%

    2010                                23%

    


    If the total claims percentage cost
share, per pay period, exceeds the capped rates shown below, the capped rates
will apply.

    


    2008                                2009                                2010

     22%                                 
23%                                 
23%

    Capped Rates:

    Employee                                                               $28.00                                          $33.60             $40.32

    


    Employee &
Children                                                               $52.00                                          $62.40             $74.88

    


    Employee &
Spouse                                                               $86.00                                          $103.20           $123.84

    


    Family                                                               $110.00          $132.00          $158.40

    


    


    Employees should refer to Summary Plan
Descriptions for details of EDC Health Plan co-payments, deductibles,
co-insurance coverage and periodic amendments as may be made from to time to
time.

    


    Effective with the date of this
Agreement, the Company agrees to pay the cost of employee long-term disability
insurance and basic life insurance (twice an employee's annual
income).

    


    Dental insurance coverage will be made
available as an option.  The employee may elect to purchase the
insurance by paying the premium each month, or by increasing the deductible
amounts of the current group medical plan.

    


    The Savings Incentive Plan for
Employees, adopted effective December 1, 1985, shall be continued during the
term of this Agreement.

    


    


    


    ARTICLE
XXIX

    NO
LOCKOUT -- NO STRIKE

    


    The Company agrees that there shall be
no lockout and the Union agrees there shall be no strike, sympathy strike, or
interruption of production during the term of this Agreement.

    


    


    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    


    IN WITNESS WHEREOF, this instrument is
executed on the 1st
day of August, 2004, to be effective as of 12:01 a.m. on the 1st day of August,
2004.

    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg

            


    

    Plant Manager

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    


    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville


    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    EXHIBIT
"A"

    OPERATING
DEPARTMENT

    PROGRESSION
CHART

    


    AREA
II                                AREA
III                                AREA
IV

    


    "A"
Operator                                           "A"
Operator                                           "A"
Analyst

    


    "B"
Operator                                           "B"
Operator                                           "B"
Analyst

    


    "C"
Operator                                           "C"
Operator                                           "C"
Analyst

    


    *"D"
Operator                                           "D"
Operator                                           "D"
Analyst

    


    * (First 180 Days)

    


    


    


    EXHIBIT
"B"

    


    WAGE
RATES AND CLASSIFICATIONS

    


    08/01/07                      08/01/08                      08/01/09

    


    "A"
Operator/"A"
Analyst                                                        $19.88          $20.38            $20.89

    


    "B"
Operator/"B"
Analyst                                                        $18.51           $18.97           $19.44

    


    "C"
Operator/"C"
Analyst                                                        $17.57           $18.00            $18.45

    


    *"D"
Operator/"D"
Analyst                                                                             $14.58                      $14.58            $14.58

    


    


    * (First
180 Days)

    


    


    


    Rates for
Control Board Operator, Boiler House Board Operator and certain A Lab
Analysts:

    


    Supplemental
pay will increase from $0.50/hour to $2.50/hour when an operator is functioning
in that capacity.   The increased premium will be paid to
eligible employees immediately upon the beginning of the new term of
agreement.

    


    The
premium does not apply to Board Operators in training who have not been
certified as required and who are functioning with a certified Board Operator as
a resource on his shift who is receiving the supplemental pay on that
shift.

    


    The
Company and the Union representatives will meet again as a committee not later
than August 30, 2007 to continue its focus on and efforts to resolve operational
and administrative issues related to this initiative.  The group will
meet as needed to insure that all relevant information is collected and a plan
is completed as soon as possible.

    


    Management shall have the right to use
casual labor for periods of employment not to exceed ninety (90) days per year
for a given individual.

    SHIFT
DIFFERENTIAL

    


    In addition to the foregoing hourly
rates, there shall be paid a shift differential of forty cents ($.40) for each
hour worked on the 3:00 p.m. to 11:00 p.m. shift and eighty cents ($.80) for
each hour worked on the 11:00 p.m. to 7:00 a.m. shift.

    


    For payroll purposes, shift
differential pay will be averaged over all three (3) shifts (7:00 a.m. to 3:00
p.m., 3:00 p.m. to 11:00 p.m., and 11:00 p.m. to 7:00 a.m.) - forty cents ($.40)
per hour will be paid for each hour worked.  Shift differential will
be paid to operating personnel assigned to rotating shifts.

    


    CLOTHING
ALLOWANCE

    


    In addition to the foregoing hourly
wage rates, there shall be paid a clothing allowance of nine cents)
($.16)  per hour for each hour worked by an
employee.  Effective August,1, 2007 through the term of this Agreement
the clothing allowance will be sixteen cents ($.16) per hour worked by an
employee.  An alternate choice to the employee is to use the
contractor service to supply them with uniforms.   For those who
use the uniform service will be assured of the current level of shirts,
pants,  jackets and winter work jacket at the $0.16/hour cost to
employees with no cost to repair or cost increase for the term
of  Agreement  unless the employee terminates use of
uniforms and returns damaged goods.  The company will move the
location for uniform pick up and drop off to the old guard house
entrance.   The new location will be implemented not later than
September 1, 2007.

    


    EMERGENCY
SQUAD PREMIUM

    


    In addition to the foregoing rates,
there shall be paid a rate of ten cents ($.10) per hour for each hour worked to
employees working classifications designated for inclusion on the Plant
Emergency Squad.


    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    EXHIBIT
"C-2"

    5-2
SHIFT SCHEDULE

    


    M T W T F S
S        M T W T F S
S        M T W T F S S

    ­_______________________________________________________________________

    


    SHIFT

    7-3                                       X
X X X
X                                                  Y
Y Y Y
Y                                                 Z
Z Z Z Z

    _______________________________________________________________________

    


    SHIFT

    3-11                                                 Y
Y Y Y
Y                                                  Z
Z Z Z
Z                                                 X
X X X X

    _______________________________________________________________________

    


    SHIFT

    11-7                                       Z
Z Z Z
Z                                X
X X X
X                               Y
Y Y Y Y

    _______________________________________________________________________

    


    DAYS
OFF                                                  X
X                                       X
X                                               X
X

           Y
Y                                       Y
Y                                               Y
Y

           Z
Z                                       Z
Z                                               Z
Z

    


    


    


    EXHIBIT
"C-3"

    UNIFORM
SHIFT SCHEDULE

    


       M T W T F S
S                                           M
T W T F S S   M T W T F S S     M T W T
F S S

    _______________________________________________________________________

    


    SHIFT

    11-7              A
A A A A D
D                                        D
D D D D C C   C C C C C B
B                                                                           B
B B B B A A

    _______________________________________________________________________

    


    SHIFT

    7-3              D
D D C C C
C                                                        C
C C B B B
B                                      B
B B A A A AA A A D D D D

    _______________________________________________________________________

    


    SHIFT

    3-11              C
C B B B B
B                                                        B
B A A A A
A                                      A
A D D D D DD D C C C C C

    _______________________________________________________________________

    


    OFF              B
B C D D A
A                                                        A
A B C C D
D                                      D
D A B B C CC C D A A B B

    


    



    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    EXHIBIT
"D"

    CONSOLIDATION
POLICY

    


    During their negotiations, the Company
and the Union discussed the procedures to be followed by the Company in its job
consolidation program and agreed as follows:

    


    The Company will accomplish
consolidation of jobs in each operating department whereby each employee will be
trained through the training program announced by the Company.

    


    As soon as an employee has demonstrated
the technical knowledge and qualifications to properly perform all duties of
each job within an assigned area (II), (III), then such employee will be
promoted to the classification of "A" Operator at the appropriate increase in
pay.

    


    (a)           The
length of training will be determined by the individual's ability to learn and
perform the skills required by consolidation.  To become qualified and
entitled to "A" Operator pay and classification, an employee must have the
skills and knowledge to perform any job duty within his/her work
area.

    


    (b)           Areas
and shifts will not be changed as a result of consolidation.

    


    (c)           Company
shall have the right to determine the frequency of rotation, (not more often
than weekly) in order to accomplish job consolidation.  Such rotation
shall normally be on a regular basis with exceptions made only because of
justifiable business needs such as unplanned personnel absence, Acts of God, and
production equipment failure.

    


    (d)           The
parties have discussed the possible impact of consolidation on a limited number
of employees who are not yet "A" Operators because:

    


    1.           They
do not possess the necessary ability to learn, retain, and satisfactorily
complete the requirements of job knowledge and demonstrated skills required for
promotion to "A" Operator.  (This does not mean physical fitness which
is provided for in Article XII.)

    


    2.           A
very limited number of employees who allege they currently have medical
conditions which limit their assignment to perform all the duties of the "A"
Operator classification.

    


    3.           Those
who allege they do not possess the necessary ability to learn, retain, and
satisfactorily complete the requirements of job knowledge and demonstrated
skills required for promotion to "A" Operator and with whom the Company
disagrees.

    


    4.           Those
who have neither alleged nor requested disqualification, but who are nominated
by the Company.  Following negotiations, a joint committee shall meet
for the purpose of discussing the above individuals subject to the
following:

    


    (a)           Each
employee in categories 1-3 must, no later than September 30, 1989, submit a
signed, dated request to the Manager of Manufacturing, requesting consideration
for one of the above reasons.  This procedure is offered on a one-time
basis during such period.

    


    (b)           In
the event the joint committee agrees that such an employee is disqualified for
the reason alleged, such person shall then be "red-circled" at the rate of the
employee's present classification as provided by Exhibit "B".  The
Company may utilize such individual in any job he/she is qualified to perform in
his/her area.

    


    (c)           An
employee who has submitted a request to be disqualified, due to physical
reasons, for assignment to perform all duties of the "A" Operator classification
may be required to submit to a physical examination by the Company's physician
pursuant to the provisions of Article XII.  In case of a disagreement
over such employee's physical fitness for such work assignment, the procedures
of Section 3 of Article XII may be resorted to by the employee within three (3)
working days or the decision of the Company's physician shall be final and
binding.

    


    (d)           In
the case of an employee who has alleged that he/she does not possess the ability
to learn, retain and satisfactorily complete the requirements of job knowledge
and demonstrated skills required for promotion to "A" Operator and the joint
committee cannot reach a mutual agreement, the Company shall have the right to
require such employee to proceed with its job consolidation and training program
until the employee either qualifies or the Company agrees that such individual
does, in fact, lack such ability.  Such individual shall then be
"red-circled" at the rate of the employee's present classification as provided
by Exhibit "B" and assigned any duties qualified to perform within his/her
area.

    


    (e)           In
the event the joint committee does not agree that a person nominated by the
Company under paragraph 4 is not qualified for training for promotion to "A"
Operator, the individual may grieve the Company's decision.

    


    (f)           The
above procedure is available only on a one-time basis, limited to those
individuals who have submitted written request for consideration under the
provisions of paragraphs 1, 2, or 3, or who were nominated by the Company during
the 60-day period commencing August 1, 1989.

    


    It is understood that there may be a
situation where, because of training needs, it is necessary to train someone
other than the senior operator and shift.  In this case, as soon as
such individual has been promoted to "A" Operator, the most senior operator will
be placed in training for advancement to "A" Operator or paid at the rate of "A"
Operator.

    


    DATED this first day of August,
2004.

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    


    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    


    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville

    



    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    LETTER
OF UNDERSTANDING

    


    The parties have agreed that not
withstanding any other clause or provision of the agreement the following
procedures shall apply during the life of the Agreement, effective August 4,
2001:

    


    
      	
              (a)

            	
              Commencing
      August 1, 1990, each employee shall be limited to one bid during each
      12-month period commencing with the date the successful bidder is informed
      of the bid award.  A successful bidder will be transferred as
      soon as a qualified replacement is available to fill his
      vacancy.

            


    

    


    
      	
              (b)

            	
              Skills
      balancing, by shift within each area.  Company shall have the
      right to balance assignment skills in each area on each shift in order to
      maintain production efficiency and to accomplish training
      needs.

            


    

    


    
      	
               
      

            	
              A
      shift is considered not balanced until each operating assignment has
      available a minimum of two qualified
operators.

            


    

    


    
      	
               
      

            	
              The
      Company has the right to balance skills on each shift in each
      area.  Whenever three (3) or more employees are qualified on any
      one assignment within a shift and another shift has only one person
      qualified for that assignment, the Company may transfer one person to the
      shift having only one trained person in that assignment in the following
      manner:

            


    

    


    
      	
               
      

            	
              Company
      will offer the transfers first by area seniority to such qualified
      personnel and in the event the senior qualified employees decline, there
      by assignment of the qualified employee(s) with the least area seniority
      necessary to achieve shift skill
balancing.

            


    

    


    
      	
               
      

            	
              When
      more than one shift exceeds minimum skill balancing personnel numbers, the
      initial offer of transfer opportunity or assignment, will be by area
      seniority and qualifications from all shifts in the
  area.

            


    

    


    It is understood that the same
individual may not be involuntarily transferred for the purpose of skills
balancing more frequently than once each twelve (12) months.

    


    Skills balancing between shifts takes
precedence over bidding procedures.

    


    In the event the transfer of an
employee from one shift to another creates a surplus on the receiving shift, the
surplus employee shall then be assigned to the shift from which the transferred
employee came.  If an employee is not surplus the bidding procedure
will be followed.

    


    When there is a conflict between terms
of the Agreement and this Letter of Understand­ing, this document shall
control.

    


    DATED this first day of August,
2004.

    


    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    


    


    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville

    


    



    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    


    EXTRA
CREW

    LETTER
OF UNDERSTANDING

    


    


    During their negotiations, the parties
discussed the Company's objective of facilitating its commitment to job
consolidation training, recognizing the need for extra personnel who could be
used for purposes of relief, training, or replacement of employees who are
absent or for overtime assignment.

    


    The parties have agreed that the
Company shall have the right to utilize certain lowest seniority individuals who
will be designated as "Extra Crew" and assigned as the Company may
elect.  Such "Extra Crew" personnel will not be assigned to a shift or
area until there is a vacancy after the completion of the realignment and
bidding procedures, even though the employee has completed 180 days of
service.

    


    Such "Extra Crew" members will be drawn
from the lowest senior employees in the plant or from "new hires."  No
regular assignment will be deleted to provide employees for this "Extra
Crew."

    


    The Company will utilize four (4)
current employees to establish the "Extra Crew," or new hires as attrition takes
place.

    


    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    


    


    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville

    


    


    



    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    AMERICANS
WITH DISABILITIES ACT

    LETTER
OF UNDERSTANDING

    


    


    The Company and Union recognize the
provisions of the American's with Disabilities Act may impact the terms of this
Agreement, and thus agree to discuss each instance individually in order to
reach a mutual understanding.

    


    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    


    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville


    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    TWELVE
HOUR SHIFT

    LETTER
OF UNDERSTANDING

    


    


    There is presently an operating
practice of a twelve hour shift schedule.  All matters regarding the
twelve hour shift policy are governed by the policy which is contained in
Standard Operating Procedures Manual No. A002.

    


    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    


    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville


    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    LETTER
OF UNDERSTANDING

    


    


    During their negotiations in July and
August, 2001, the parties discussed a proposal which would permit a limited
exercise or bargaining unit seniority in the event of a reduction in force from
either Area II, Acid, or Area III, Nitrates.  The parties recognize
the continuing right of the Company to rely on the provisions of Article XI,
Seniority, including the first paragraph of Article XI and agreed that Section
4, Bargaining Unit and Area Seniority, subparagraph (c) provides for reducing
the numbers of employees from an Area on the basis of area
seniority.

    


    The Company agrees, that in the event
of a reduction in force from either Area II, or Area III, on the basis of Area
seniority, an effected employee must first seek to displace an employee who
holds a classification of "D" Operator, on the basis of bargaining unit
seniority, within the Area he is presently assigned.

    


    In the event there is no "D" Operator
in the Area from which such employee was reduced, he may then request permission
to displace an employee who is classified as a "D" Operator from the production
area (II or III) he was not displaced from, on the basis of Bargaining Unit
Seniority.

    


    The Company shall have the right to
give priority over Bargaining Unit Seniority to an employee who seeks to
displace a "D" Operator from Area II or III, which he was not displaced from, on
the basis of previous qualifications in such Area.

    


    Employees may not displace an employee
from a classification wage rate higher than the employee who seeks to retain
employment on the basis of Bargaining Unit Seniority.

    


    DATED this first day of August,
2004.

    


    


    EL DORADO
CHEMICAL COMPANY

    


    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    APPROVED:

    


    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    


    BY:           

    Danny Eakin

    


    


    BY:           

    Duane Yerina

    


    


    BY:           

    Ed Tuma

    


    


    BY:           

    James Turberville


    
      
        
          


           

          


          


          


           

        

         


      

      
         


        
          

        

      

      
         


      

    


    LETTER
OF UNDERSTANDING

    


    The
parties have discussed the use of past disciplinary events of employees who
commit violations of Company policies, rules, work procedures, poor work
performance, negligence, errors, etc., which do not involve offenses for which
the penalty is immediate discharge, and agree, that a written disciplinary
record, issued to an employee who does not receive a subsequent written letter
or disciplinary notice, within twelve (12) months of the date of the first
written notice, then such notice will not be used as evidence in an arbitration
hearing in support of a disciplinary event occurring at a later
date.

    


    If an
employee receives an additional disciplinary warning, at any point in time,
commencing with date of the first written warning, an additional twelve (12)
months, commencing with date of the most recent disciplinary incident, must
lapse with no disciplinary event, before the previous notices become unavailable
as evidence in future arbitration hearings.

    


    DATED this first day of August,
2004.

    


    EL DORADO
CHEMICAL COMPANY

    


    BY:           

    
      	
               
      

            	
              George
      Hogg, Plant Manager

            


    

    


    PAPER,
ALLIED-INDUSTRIAL, CHEMICAL & ENERGY WORKERS

    INTERNATIONAL
UNION AFL-CIO AND ITS LOCAL 5-434

    


    BY:           

    
      	
               
      

            	
              Barry
      L. Strange, Representative

            


    

    


    APPROVED:

    


    
      	
              BY:

            	 	 


    

    Kenneth Booker

    


    BY:           

    Danny Eakin

    


    BY:           

    Duane Yerina

    


    BY:           

    Ed Tuma

    


    BY:           

    James Turberville