Document:

ROAC Union Contract_GCA

 

 

 

 

 

 

 

 

 

 

 

Agreement Between The

 

 

 

 

 

GRANITE CUTTER'S ASSOCIATION  

 

 

 

 and

 

 

 

ROCK OF AGES CORPORATION

Manufacturing Division

 

 

 

 

 

April 25, 2009 - April 29, 2011

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Table of Contents

 

 

AGREEMENT .....................................................................................................     
2

ARTICLE 1 - TERM ...........................................................................................     
2

ARTICLE 2 - HOURS OF WORK...................................................................... 
    2

ARTICLE 3 - EXTRA SHIFTS............................................................................      3

ARTICLE 4 - WAGES.......................................................................................... 
    3

ARTICLE 5 - OVERTIME..................................................................................      5

ARTICLE 6 - HOLIDAY PAY............................................................................. 
    5

ARTICLE 7 - VACATIONS................................................................................      8

ARTICLE 8 - BEREAVEMENT PAY/BIRTH OF A CHILD..........................       13

ARTICLE 9 - INSURANCE...............................................................................       13

ARTICLE 10 - PENSION PLAN AGREEMENT.............................................       17

ARTICLE 11 - 401K PLAN................................................................................       19

ARTICLE 12 - NOTICES...................................................................................       19

ARTICLE 13 - LAYOFF AND RECALL..........................................................        19

ARTICLE 14 - UNION SECURITY..................................................................        20

ARTICLE 15 - CHECK OFF.............................................................................         21

ARTICLE 16 - DISPUTE SETTLEMENT.......................................................         22

ARTICLE 17 - PLANT ACCESS......................................................................         23

ARTICLE 18 - NONDISCRIMINATION.......................................................         23

ARTICLE 19 - GOVERNMENT REGULATIONS........................................         23

ARTICLE 20 - SUBSTANDARD OPERATIONS..........................................         24

ARTICLE 21 - LABOR MANAGEMENT TEAM.........................................         24

ARTICLE 22 - SAFETY MEASURES.............................................................         25

ARTICLE 23 - NEW MACHINERY................................................................         27

ARTICLE 24 - APPRENTICE TRAINING PROGRAM...............................         27

ARTICLE 25 - LEAVES OF ABSENCE..........................................................         28

ARTICLE 26 - PROBATIONARY PERIOD...................................................         29

ARTICLE 27 - NEW EMPLOYEES.................................................................         29

ARTICLE 28 - SUBCONTRACTING..............................................................         29

ARTICLE 29 - JURISDICTION.......................................................................         30

GRANITE CUTTERS' PROVISIONS.............................................................          30

SIGNATURE PAGE..........................................................................................          32

HOLIDAY CALENDAR....................................................................................         33

SIDE LETTER AGREEMENT

  

 

  

	
  1

  

  

AGREEMENT

            This
Agreement entered into this 25th day of April, 2009 by and between ROCK OF AGES CORPORATION (the Company) and the GRANITE CUTTERS' ASSOCIATION
(the Union).

 

ARTICLE 1

Term

            1.1 
     This Agreement shall be effective April 25, 2009, and shall continue in
full force and effect through April 29, 2011, and from year to year thereafter,
unless either party gives notice to the other, not less than sixty (60) days
prior to April 29, 2011, or prior to April 29 of any year thereafter, that it
desires to alter, amend or terminate any or all of the terms thereof.

 

ARTICLE 2

Hours of Work

             2.1       Eight (8) hours shall constitute a day's work, five (5) days shall
constitute a week's work with Saturday a full holiday.  Work shall be regarded
as being performed on Saturday only if an employee's shift begins on Saturday. 
Daily working hours will begin not earlier than 7:00 a.m. and end not later
than 3:30 p.m., and any work performed by employees on the first shift prior to
7:00 a.m. or after 3:30 p.m. shall be paid for at time and one‐half the
regular rate of pay, except as modified pursuant to either paragraph (a) or (b)
listed below.

            (a) 
      Should the Company or Union desire a change of working hours for seasonal
conditions it must be agreed by the Company and by a majority vote of the
employees represented by the Union and by a majority of employees represented
by any other union provided, however, that between January 1 and March 15, an
eight (8) hour shift to end no later than 5:00 p.m. may be established for all
employees of a saw plant or for the sawyers in a manufacturing plant having a
saw which is subject to outdoor weather for periods during which the Company
has a reasonable expectation that inclement weather will otherwise adversely
affect its operations.  On such a special shift, overtime shall be paid before
8:00 a.m. and after 5:00 p.m.

            (b) 
     If the Company desires to change the regular daily working hours to begin
no later than 7:30 a.m. and to end no later than 5:00 P.M. during the period in
which Eastern Standard Time is in effect, the Company has the option to make
such change if a majority of its employees represented by the Union and a
majority of its employees represented by any other local Union, voting separately
in a vote conducted by the respective union representatives approve that change
in hours.  If the daily working hours are changed pursuant to this paragraph,
overtime shall be paid before the starting time and after the finishing time of
that eight (8) hour shift.

 
  

	
  2

  

  

            2.2 
     Employees
are obligated to give notice on the day, as soon as possible, to the Company
when they are unable to report for work, stating reason.   Failure to provide
reasonable notice may be the basis for standard progressive discipline,
separate for each day, up to and including discharge.

             2.3 
    If the Company desires to change the regular lunch period from one‐half
(1/2) hour to one hour or vice versa, the Company has the option to make such
change if a majority of its employees represented by the Union and a majority
of its employees represented by any other union, voting separately, approve
that change in hours.

 

ARTICLE 3

 

Extra Shifts

            3.1 
     It is agreed that the employer shall have the privilege of operating three
(3) shifts.  One (1) shift to be the established working day and to be paid as
per Article 4 of this Agreement.  The second shift shall be of eight (8) hours
duration.  In addition to payment for work performed in accordance with Article
4 of this Agreement, employees working on the second or third shift shall
receive a shift premium of one dollar and seventy-five cents ($1.75) per hour. 

            

            3.2 
     In the interests of safety, the Company may require any employee engaged
in production work on the floor to work any shift as long as any other person
is present on the floor.  There must be at least two employees engaged in
production work on the floor at all times.  A telephone must be readily
available on the premises.  A single employee may work alone to monitor,
correct or restart equipment (including associated work) provided he or she is
equipped with a beeper and automatic safety call‐in every 15 minutes
unless deactivated by the employee.

            3.3 
     In assigning employees to work on the second and/or third shifts, the
employer shall first seek volunteers with preference being given on the basis
of length of service (seniority) with the employer subject to demonstrated
ability to perform the work on those shifts.  If there are not sufficient
volunteers, employees shall be assigned on the basis of inverse seniority,
subject to demonstrated ability to perform the work on those shifts.

 

ARTICLE 4

 Wages

            4.1       Minimum Wages

            The
following are the minimum wage rates for all journeymen granite cutters,
polishers, tool sharpeners, sandblasters and draftspersons in effect during the
term of this Agreement:

 
  

	
  3

  

  

                                                 
                                                                                           Rate Per Eight (8)

                                              
Effective Date              Rate Per Hour                 Hour
Day

                                               April 26, 2009                $18.80                         $150.40

                                               May 2, 2010                   $19.30                         $154.40

          4.2 
     Wage Increase

            (a) 
      Effective April 26, 2009, each employee in the bargaining unit shall
receive a wage increase of zero cents ($.00) per hour.

            (b)
      Effective May 2, 2010, each employee in the bargaining unit shall receive
a wage increase of fifty cents ($.50) per hour.

           
 

          
4.3 
    Apprentice Wage Rates

             Apprentice
wage rates for apprentices employed after April 28, 1997, shall be the following percentage of the applicable journeyman rate:

    Start:                                   70%                 After 1
year:                  90%

    After 3 Months:      80%                 After 18 Months:          95%

    After 6 Months:      85%                 After 2 years:              100%

            

               
4.4       Infirm
Employees

             Employees
who through infirmity or other reasons are not able to earn the wage given in
this Agreement may work for such wages as may be satisfactorily agreed upon
between the Union Business Agent, the employee and the Company. This section
shall be administered in compliance with applicable laws governing the
employment rights of disabled or handicapped employees.

 

           
    4.5       Payment
of Wages

                (a)        Wages may be paid by cash or by check in an envelope at the
option of the Company.  In the event of a default in payment of such check by
the Company, such option shall be revoked and payment shall thereafter be in
cash. Wages must be paid in full weekly within five (5) working days of the
time they become due.  Payment to be made during working hours.

              (b) 
     An employee having once accepted his pay, his rate of pay can only be
changed by mutual consent of employee and the Company, the rate in no case to
be below the established minimum rate of wages.

  

	
  4

  

  

            (c) 
      Any employee discharged shall receive his pay immediately.  Any employee
leaving shall notify his employer two weeks in advance and, having complied
with this requirement and worked the two‐week period, shall receive his
pay in full (earned vacation and bonus, if any, included) on the regular payday
for the week of separation in person (or by mail if preferred by the
employee).  The
employer will provide the employee with a written form that the employee will
be asked to sign to confirm notice.

            (d) 
     The Company shall be required to furnish employees with written
information weekly which shall designate the total earnings, total
withholdings, number of hours worked at straight time and number of hours at
overtime and rate of pay.

            

            
4.6 
     Report Pay

            In the
absence of a notice not to report to work, should an employee report to work
and be discharged before work begins or during the first two (2) hours of the
day, he or she shall be paid no less than two (2) hours' pay, except in the
case of a cutter intentionally or negligently spoiling a stone.

 

            
4.7 
     Wage Adjustments and Discretionary Management Programs

            (a)        If at
any time during the existence of this Agreement a wage increase should be
granted, any employee receiving more than the minimum wage as provided in this
Agreement shall receive the same wage adjustments but for no reason shall his
wages be reduced before making said adjustments.  There shall be at least two
months notice before any reduction in pay above the bill; the Company will also
provide that notice to the Union.

            (b)       The Company
has the right to institute, modify and/or withdraw discretionary management
programs for the payment of additional compensation in money or benefits beyond
that provided by this Agreement without bargaining with the Union.  Notice of
such discretionary management programs, and any modification or withdrawal of
such program, shall be provided to the Union.  This clause does not affect the
requirement that the Company must negotiate any other changes in the
compensation, benefits, or other terms or conditions established by this
Agreement.

            

           
 4.8 
     Workers' Compensation

            If an
employee has to leave work because of a workers' compensation injury and is
unable to return, he or she shall suffer no loss of straight time pay for that
day.

 

           
4.9       Jury
Duty     

       
An employee who is required to report for jury duty on a day when he
or she otherwise would have worked

  

	
  5

  

  

 shall receive a day's regular straight‐time pay for
up to a maximum of thirty (30) days per calendar year.  The Company can
require verification of jury duty served.  It is understood that if an employee
is released from jury duty so that he or she can reasonably report for work at
least two hours before the end of his scheduled shift, he or she must report
for work on that day.  If jury duty commences in the afternoon, the employee
shall report to work at the start of his or her shift, and shall leave work at
a reasonable time so that the employee can return home, and then travel to
court. If an employee reports to work for part of a workday, he or she shall be
paid his regular wages for the time worked, and shall be paid the appropriate
fraction of a day for jury service.  All work done outside of the regular work
hours shall be paid at the appropriate overtime rate, regardless of whether
part of the day was spent in jury service.

 

ARTICLE 5

Overtime

            
5.1 
     All work done outside of the regular hours shall be paid at the rate of
time and one‐half.  The Company may schedule two hours of overtime in a
regular work day and five hours on Saturday.  Any additional overtime shall be
subject to the approval of the Business Agent.  No employee shall be required
to work overtime.

            
5.2  
    The Company shall offer overtime to employees performing that category of
work in order of seniority, unless it is demonstrated that the senior employee
lacks ability to perform that overtime work.  It is understood that the
employees will cooperate to assure adequate staffing of the Company's overtime
requirements.  The Company may assign overtime work on a particular job,
without any regard to seniority, to an employee who has previously worked on
that job.

            Repeated refusal
to work overtime will allow management to offer the overtime to others with
less seniority.  Management shall issue a notification that the overtime shall
be offered to others.  The employee's rights to overtime shall be terminated
until the employee gives notice that he or she will accept overtime.  

            Management should provide
reasonable advance notice of overtime.  Absent extraordinary circumstances,
notice of overtime on Saturday will be provided no later than Thursday at
noon.  

 

 

ARTICLE 6

Holiday Pay 

             6.1       Paid
Holidays

           
 (a) 
The eleven (11) paid holidays shall be:  New Years' Day, the day preceding Town
Meeting Day, Town Meeting Day, Memorial Day, July Fourth, Labor Day, Employee
Appreciation Day (the Tuesday following Labor Day), Veterans' Day, Thanksgiving
Day, Friday after Thanksgiving Day and Christmas Day, and shall be paid
regardless of whether the holiday falls on a Saturday or Sunday. 

 

  

	
  6

  

  

                (b)
      The holidays for the term of this contract will be observed in accordance
with the holiday calendar attached hereto.

                (c)
       Employees who are laid off during either of the weeks in which Town
Meeting Day or Thanksgiving falls shall not be eligible for holiday pay in
those weeks.  Instead, such employees must as individuals report for work on
the first work day following the conclusion of any such layoff and such
employees may collectively and mutually agree with the Company on days when
they will, as a group, take personal days off with pay if they are otherwise
eligible for the holiday pay.  Such personal days must be taken within thirty
(30) days after the first work day following the conclusion of the layoff in
question and if mutual agreement is not reached, the employees will receive pay
in lieu of any holidays to which they are entitled.

            
    6.2 
     Eligibility

                (a)        The employee must have at least thirty (30) working days'
accumulated service to be eligible for paid holidays.  After completing thirty
(30) working days' service, any paid holiday that fell within the thirty (30)
working day period becomes payable.  If an employee quits before he or she has
accumulated thirty (30) working days' service, no holiday pay is due. If he or
she is laid off or is discharged through no fault of his own before he or she
has accumulated thirty (30) working days' service, any holiday which fell
within the period of his employment and discharge becomes due and payable.     

               (b) 
     Subject to 6.1(c), any employee who works to within four (4) working days
of a paid holiday and who has thirty (30) working days' accumulated service
with the Company and is then discharged or laid off will nevertheless receive
the holiday pay. 

           
   (c) 
      When a holiday falls in an employee's vacation, the employee shall have
the option of receiving pay for that day at straight time in addition to
vacation day, or taking a personal day at full pay within ninety (90) days of the
original date of the holiday.

               (d)
      During the week of a paid holiday, the employee must work a minimum of a
full scheduled work week excluding the holiday or holidays less one (1)
scheduled workday.  Exceptions to the above ruling can be made only by prior
arrangements with management.  Sickness during the week of holiday shall not
disqualify an employee if he or she has notified the Company.

                (e) 
      Apprentices are to be eligible for paid holidays.

 

 

 

 

 

  

	
  7

  

  

            (f) 
      No employee shall be entitled to the holiday pay as provided in this
Article if such employee is not working and is receiving compensation or
benefits during such period in which he or she is not working, whether he or
she is receiving such compensation or benefits under the State Unemployment
Compensation Act, State Workers' Compensation Act, Granite Group Insurance
Trust, or from any similar source to which the Company contributes.

            
6.3 
     Holiday Work

            For all
work done on Sundays or on the following holidays, double time plus the holiday
(if applicable) shall be paid:  January First, the day preceding Town Meeting
Day, Town Meeting Day, Memorial Day, July Fourth, Labor Day, the Tuesday
following Labor Day, Veterans' Day, Thanksgiving Day, Friday after Thanksgiving
Day and Christmas Day.

            
6.4 
     In the event of a state or federal law affecting the date on which
holidays are celebrated, the parties hereto will negotiate with respect to
appropriate changes in this Article with the understanding that the number of
holidays shall remain the same as set forth above.

            
6.5 
     Any paid days off to which an employee is entitled under this Article
shall include second and/or third shift premiums, as the case may be, if the
employee is assigned to such shift on the day(s) for which he or she is
entitled to such pay.

 

ARTICLE 7

Vacations

 

           
7.1       Vacation
Period

The vacation
period shall be May 1 to April 30.  There shall be a staffing goal of no more
than 20% absent for vacation in each GCA category of work at any time.  

Beginning in
2010, the first full week of vacation shall be taken during the week of July 4th
if the Company closes operations that week. In the unlikely event employees are
needed, the union will be consulted and volunteers will be requested first.  The
second week of vacation shall be taken in not less than a one week segment. 
Employees shall select the second week of vacation on the basis of the
seniority roster in each work area.  After all employees have selected the second
week of vacation, employees shall select the third and fourth week of vacation
on the basis of the seniority roster in each work area.  Requests for one-week
segments will take priority over requests for single days for the third and
fourth week of vacation, regardless of seniority.  In all other conflicts in
requested dates, seniority shall govern unless the Company can show that the
senior employee's presence in the requested period is indispensable.  Employees
required to report for national guard or similar military duty shall have priority
over requests for vacation.

  

	
  8

  

  

The Company shall
provide a vacation selection form on the first payday an employee works after
January 1 of each year.  An employee must complete the form by March 1 to
preserve seniority privileges for selecting vacation.  The form should state
that March 1 is the deadline for return of the form, and that failure to
complete the form by March 1 will result in loss of seniority privileges for
selecting vacation.  On approximately February 15, the Company shall post a notice
and a reminder with paychecks that failure to complete vacation forms by March
1 will result in loss of seniority rights for selecting vacation.  The
company will notify employees of their intention to close the plant for the
week of July 4th prior to the March 1st vacation request
deadline.  If vacation form is not returned in
thirty days with written explanation for rejecting the request, the vacation
request is approved.

An employee
shall have the option of taking the third or fourth week's vacation as a bonus
on the first payday in December. 

 

 

           
 7.2 
     Vacation Payments

 

            Payment
of vacation pay to employees will be made in advance.  If an employee resigns,
vacation pay or fraction thereof shall be payable in cash or check on the
regular pay day for the week of separation.  If an employee is permanently laid
off, his vacation or fraction thereof shall be payable in cash or check in the
week in which he or she is permanently laid off.

 

           
 7.3 
     Requirements

 

            (a)        Vacations will be granted to employees who have fulfilled the
following requirements prior to May 1:

                        (i)         An employee must have worked
ninety percent (90%) of the regular hours worked by the plant during his period
of employment for the twelve (12) months preceding May 1, the start of the
vacation period, to be eligible for full vacation earned.

                        (ii)        Three‐fifths (3/5ths)
of full vacation earned if employee has worked eighty percent (80%) of the
plant hours scheduled.

                        (iii)
      No vacation earned if employee has worked less than eighty

            percent
of the plant hours scheduled.

                        (iv) 
     Overtime hours worked shall be included in determining whether an

            employee
has met the requirements of the subsection (i) and (ii).

            (b) 
     For the purpose of determining whether the requirements above have been
fulfilled and in computing the amount of vacation to which an employee is
entitled under Section 7.4 below, the following additional rules shall govern:

  

	
  9

   

  

  

                        (i)         Time lost due to layoff of
thirty (30) calendar days or more, resignation, discharge or strike will not
count as time worked or earned, but shall not break industry service should the
employee re‐enter the industry except as provided in Section 7.4(e).

                       (ii)        An employee who has been
employed by the Company for at least six (6) months shall be credited, with up
to a maximum period of one (1) year, time lost by employee's sickness or
accident or absence sanctioned by management in writing, as earned time and
accordingly the employee will be paid vacation pay.

             Example:  An employee works two (2) years and three (3)
months for one employer and then is absent from work for nine (9) months
because of sickness.  At the end of the nine (9) months' sickness, he or she
returns to work. The earned time is three (3) years.  If, after receiving
vacation pay, he or she then only works another two (2) months, he or she is
entitled to two‐twelfths (2/12ths) of two weeks' vacation; six (6)
months, six‐twelfths (6/12ths) of two weeks, and so forth.

                       (iii)       Apprentices do
not accrue vacation until after completing six months of employment.  Once an
apprentice completes six months, accrual of vacation time is retroactive to the
first day of employment.

 

 

            
7.4 
     Amount of Vacation

 

 

            Vacations
will be granted to employees as follows:

            (a) 
      First Week.  One (1) week's vacation or fraction thereof will be granted
employees with less than one (1) year of industry service on May 1 based upon
the number of months he or she has been employed in accordance with the table
below.  This will establish him on a May 1 to May 1 basis for future vacation
calculations.

 

    Length of Industry Service               
Vacation

      1 mo.        1/12 of a week              3.3 hours

      2 mos.       2/12 of a week              6.6 hours

      3 mos.       3/12 of a week            10.0 hours

      4 mos.       4/12 of a week            13.3 hours

      5 mos.       5/12 of a week            16.5 hours

      6 mos.       6/12 of a week            20.0 hours

      7 mos.       7/12 of a week            23.1 hours

      8 mos.       8/12 of a week            26.4 hours

      9 mos.       9/12 of a week            30.0 hours

     10 mos.      10/12 of a week          33.3 hours

     11 mos.      11/12 of a week          36.3 hours

     12 mos.      1 week                        40.0 hours

            

  

	
  10

  

  

            (b)       Second Week.  Employees with one (1) or more years of industry
service on May 1 shall be entitled to two (2) weeks' vacation or any fraction
thereof computed in accordance with the following table:

    Length of Industry Service                
Vacation

      1 mos.       1/12 of 2 weeks              6.6 hours

      2 mos.       2/12 of 2 weeks            13.3 hours

      3 mos.       3/12 of 2 weeks            20.0 hours

      4 mos.       4/12 of 2 weeks            26.6 hours

      5 mos.       5/12 of 2 weeks            33.3 hours

      6 mos.       6/12 of 2 weeks            40.0 hours

      7 mos.       7/12 of 2 weeks            46.6 hours

      8 mos.       8/12 of 2 weeks            53.3 hours

      9 mos.       9/12 of 2 weeks            60.0 hours

     10 mos.      10/12 of 2 weeks          66.6 hours

     11 mos.      11/12 of 2 weeks          73.3 hours

     12 mos.      2 weeks                         80.0 hours

            (c)
       Third Week.  Employees will be granted a third week's vacation or
fraction thereof computed on a May 1 to May 1 basis beginning with the second
May of his continuous employment in the industry as follows:   

                2nd May  ‐  1 day    ‐   8 hours

                3rd May  ‐   2 days  ‐ 16 hours

                4th May  ‐   3 days  ‐ 24 hours

                5th May  ‐   1 week ‐ 40 hours

            (d) 
     Fourth Week.  Employees will be granted a fourth week's vacation computed
on a May 1 to May 1 basis beginning with the twenty‐fifth May of his
continuous employment with the Company as follows:

                21st May ‐  1 day  ‐    8 hours

                22nd May ‐ 2 days ‐ 16 hours

                23rd May ‐  3 days ‐ 24 hours

                24th May ‐  4 days ‐ 32 hours

                25th May ‐  5 days ‐ 40 hours   

            (e) 
      Such vacation (time off) or vacation pay shall be paid at the straight
time hourly rate of pay in effect for the employee at time of taking vacation
or receiving fractional vacation pay upon separation from employment.  In
figuring all earned vacation, a percentage of the regular straight time hours
worked during the year proceeding May 1 will be used to determine the vacation
pay.  Overtime is not to be used in computing vacation time.  Employees may not
be forced to use a vacation day for unanticipated absences, unless that is
appropriate discipline.

            Vacation pay and vacation bonuses shall include shift premiums for
employees regularly assigned to the second or third shifts, as the case may be,
when such vacation or bonus pay becomes due and payable. Subject to the
advance approval of management (which approval shall not be unreasonably
withheld), employees may occasionally take one-half day of vacation.  Half-days
cannot be scheduled on the annual vacation calendar.

  

	
  11

  

  

            (f) 
      For the purpose of this Article, an employee's industry service shall be
deemed terminated in the event the employee voluntarily leaves the industry. 
If an employee on layoff secures work in another field while waiting for an
opening in the granite industry, but continues to maintain union membership and
contact with the union and applies for industry employment, his service shall
not be considered terminated for the purposes of this article until twelve (12)
months from the date of layoff.

            (g) 
      For the purpose of computing vacation pay or fraction thereof, an
employee hired on or before the fifteenth (15th) of a month shall be credited
with the full pro rata vacation pay otherwise attributable to that month, and
an employee hired after the fifteenth (15th) day of a month shall not be
credited with any pro rata vacation pay for that month.  An employee whose
employment terminates on or after the fifteenth (15th) of the month shall be
credited with full pro rata vacation pay otherwise attributable to that month. 
An employee whose employment terminates before the fifteenth (15th) of the
month shall not be credited with pro rata vacation pay for that month.

            Example: 
An employee comes to work on February 13, 1980.  On May 1, 1980 he or she has completed three (3) months employment and he or she is entitled
to fractional vacation pay of three‐twelfths (3/12ths) of one (1) week. 
On May 1, 1981, the second May of his employment, he or she is entitled to two
(2) weeks vacation pay payable at vacation time and one (1) day of vacation pay
payable at Christmas.  On May 1, 1982, he or she would be entitled to two (2) weeks and two (2) days; May 1, 1983 ‐ two (2) weeks and three (3) days; and May 1, 1984 ‐ three (3) weeks.  It is assumed in this Example that
the employee worked at least ninety percent (90%) of the scheduled hours worked
by the plant during each of the applicable twelve (12) month periods.  If he or
she has worked eighty percent (80%) of the time, he or she will receive three‐fifths
(3/5ths) of the vacation pay otherwise due.

 

            

           
7.5 
     Severance of Employment

            

 

           
A new employee or an employee who is laid off, discharged or quits is to be
allowed the vacation benefit to which he or she is entitled under Section 7.4
above, prorated according to his months of service; for example, one (1) month =
1/12th; three (3) months = 3/12ths; ten (10) months = 10/12ths etc. 

 

 

 
        7.6 
     Special Employment

 

 

       
The
vacation pay of employees, who by the specialized nature of their work are
employed by two (2) or more employers in the course of the year, shall be paid
by each employer in proportion to the time he or she has employed the
specialist.

 

 

 

            

  

	
  12

  

  

      

ARTICLE 8

Bereavement Pay/Birth of an Employee's Child

 

             8.1      Employees shall receive bereavement pay following the death of the
relatives listed in this Article, and the funeral and its arrangements occur
during the employee's scheduled workday.  There shall be five days bereavement
leave for the death of a parent, spouse or child/stepchild. There shall be
three days bereavement leave for the death of a, brother, sister, stepmother,
stepfather,  spouse's father, spouse's mother, spouse's stepmother, stepfather,
or grandchild.  There shall be one day bereavement leave for the death of a
grandparent, the grandparent of a spouse, a brother-in law, a sister-in-law or
a "significant other."  If an interment is postponed to a later date and occurs
during the employee's scheduled workday, the employee may take one of the three
foregoing days off with pay on the day of interment.

             8.2 
    Any paid days off to which an employee is entitled under this Article shall
include second or third shift premiums, as the case may be, if the employee is
assigned to such shift on the day(s) for which he or she is entitled to such
pay.  Employees who are on vacation when a death occurs will receive the
bereavement benefit, and may use the affected vacation days at a later date.

            
8.3
      An employee will be entitled to a day off with pay for the birth of the
employee's biological child or the adoption of a child.

  

 

ARTICLE 9

 

Insurance

 

 

             9.1      The Company agrees to provide group insurance to employees and
dependents as set forth herein.

 

 

9.2     Benefits   

            (a)        The health and welfare plan administered by the Company or its
administrator as selected by the Company shall provide for benefits as follows:

                        

 

 

  

	
  13

  

  

                         (i)         Group life insurance ‐
$70,000.

The Group Life Insurance/ADD Benefit shall increase by $5,000 in year one
and $5,000 in year two of the contract to a total of $80,000.00

                        (ii)        Sickness and accident
insurance ‐ The current sickness and accident insurance benefit is $370.00. 
The sickness and accident insurance benefit shall be increased by $10 in each
year of the contract to a total of $390.00 per week for 52 weeks with a Social
Security offset for the last 26 weeks thereof; eligibility commences on the
first day of accident or hospitalized sickness and the fifth day of non‐hospitalized
sickness. If an employee qualifies for sickness and accident insurance because
of five (5) days of non‐hospitalized sickness and remains qualified for
at least one additional week, the Company will pay the employee  the benefit
described in this Article for the unpaid five‐day qualifying period.

                        (iii)       Accidental death and
dismemberment insurance ‐ the benefit level shall be the same as the
Group Life Insurance/ADD Benefit.

(iv)      Paid‐up Term life insurance.   

            1.         Employees with ten (10) or more years of
service retiring on a regular or early retirement pension will be given a fully
paid $8,000 life insurance policy.  Any employee with ten (10) or more years of
service becoming totally disabled will continue to receive coverage for the
full amount of life insurance then in effect until he or she becomes
substantially employed, as determined by the Company or insurance
administrator, at which time the insurance will be eliminated completely; or
until age sixty‐five (65) when it will be eliminated and replaced by a $8,000
insurance policy that has been fully paid by the Company.    The full amount of
life insurance shall apply to employees with at least 10 years service, and the
amount of insurance shall be prorated down by years of service for employees
with less than 10 years of service.

                        (v) 
      Health Insurance ‐

 
1.         The Company will
provide J or equivalent plan (including vision), with employee contributions of
19% going to 20% beginning January 1, 2010

 2.         The Company will
provide VHP or equivalent plan (including vision and dental) with employee
contributions of 18% going to 20% beginning January 1, 2010.

 3.         The Company will
provide VFP 100 or equivalent plan (including vision) with employee
contributions of 17% going to18% beginning January 1, 2010.

 4.         The Company will
provide VFP 500 or equivalent plan (including vision) with employee
contribution of 3% going to 7% beginning on January 1, 2010.

 5.         The Company has
the right to rate the health plans separately.

 6.         New employees may
not enroll in VHP or J plans.  If they take health insurance, they must take a
VFP plan.  They will be eligible to take other plans, if they are offered,
after they are with the company for six (6) years.

 

 
  

	
  14

  

  

 

 7.         Employees who are
enrolled in the J or VHP plans cannot switch between these two plans, but may
switch to a VFP plan when it is available.  Once an employee selects a VFP
plan, the employee is not eligible for a VHP or J plan.

 8.         Employees on the
VFP may purchase dental by paying 50% of the premium

 9.         Employees
may choose to opt out of health plans and obtain a monthly stipend of $300.00 per
month through payroll.

                        (vi)       The Company will pay the full
premium for health insurance for one month per five years of continuous service
(up to a maximum of three months) for retirees, provided they are not eligible
for health insurance from another employer.

            (b) 
     The insurance benefits which are provided shall be described in a brochure
which shall be distributed to employees.  The terms and conditions under which
such benefits are provided are governed by insurance agreements between the
Company and its insurance carriers. The Union and the Company shall work
together in good faith to help preserve quality benefits, control costs, and
provide information to employees.

 

             9.3 
    Contributions

            The
Company shall continue its contributions for the health insurance coverage,
life insurance and accidental death and dismemberment insurance of a laid‐off
employee for three (3) calendar months (provided the employee makes his
contribution if any is required).  If the employee is laid off on or before the
fifteenth (15th) of a month, that month shall be considered the first of the
three months; and if the employee is laid off after the fifteenth (15th) of a
month, the following calendar month shall be considered the first of the three
months.  If an active employee dies, the Company will continue health insurance
for the survivor(s) on the employee's health plan for three (3) months at no
cost to the deceased employee's family.  To keep policies in force, both the
Company and employee must pay his share while the employee is off the job
because of sickness and accident, strike or lockout or any other suspension in
the industry beyond the control of either management or labor.

 

 

 

 

 

 

  

	
  15

  

  

 

           
 9.4       Disability

 

 

            (a) 
      If an employee is permanently and totally disabled, the Company shall
continue its contribution for up to six (6) months, as described in the
previous section "Contributions."  Thereafter, the Company will
provide such health insurance contributions (provided the employee makes his
contribution, if any is required) for five (5) years from the date when he or
she ceased to work due to such disability.  At the end of such five (5) year
period, the Company shall thereafter continue its contributions for individual
coverage only, as long as the employee makes his contribution and is
permanently and totally disabled, or until he or she reaches age 65, whichever
occurs sooner; provided, that the Company will not make any contributions
described in this subsection (a) during any period when the employee or his
spouse is employed and group health insurance benefits are available to them,
or after he or she reaches age 65. The Company and the Union may amend this subsection
in their discretion.

 

            9.5 
     Retired Employees  

   

            Effective
 May 2, 1981, any employee who has retired after April 30, 1975 under the provisions of the Barre Belt Granite Employer‐Union Pension Plan shall be
allowed to continue group insurance coverage in the amount of $3,000 of term
insurance, subject to any applicable insurance carrier rules and regulations. 
The full cost of such coverage will be paid by the retired employee at the
group rate applicable to the term life insurance including such insurance for
retired employees being provided through the Company.  The premium to be paid
by such retired employees shall be deducted from the monthly retirement payable
to him under the Pension Plan.

 

            
9.6 
     The Company is authorized to utilize the services of an impartial
professional consultant as deemed necessary to advise concerning the proper
operation of the insurance program.

 

            
9.7 
     The parties agree to consider and implement by agreement health insurance
cost containment measures with a view to improving and increasing the quality
and efficiency of health care.

 

            
9.8       The
Company shall provide the Union with any notices threatening or canceling any
insurance coverage provided for Union employees under this Agreement.  Immediately
upon cancellation, the Union and the employees may withhold all services until
such time as the insurance has been fully reinstated with retroactive coverage.

 

  

  

	
  16

  

  

ARTICLE 10

 

Pension Plan Agreement

 

   

           
10.1     Merger
of the Pension Plan 

 

            The Barre
Belt Granite Employer-Union Pension Plan (the "Plan") has merged with and into
the Steelworkers Pension Trust (the "Pension Trust") pursuant to the terms of a
certain merger agreement (the "Merger Agreement") between the Plan and the
Pension Trust, the terms of which are incorporated herein by reference. 
(Hereafter, the merger of the Plan and the Pension Trust is referred to as the
"Merger".)

 

 

10.2     Incorporated
Documents

 

            This Article
10 incorporates by reference the terms of a Merger Agreement between the Plan
and the Pension Trust, and the provisions of the documents governing the
Pension Trust, including the "UIU Declaration of Trust, Effective December 5, 1997." 

 

 

            
10.3     Contribution
Rate

 

            The month for
which the contribution is due is referred to as the "benefit month," and the
month prior to the benefit month is referred to as the "wage month."  The
Employer shall contribute to the Pension Trust each and every benefit month a
sum of money equal to $1.70 per hour for each hour worked by all Covered
Employees during the wage month.  The pension contribution shall increase by
$.05 in year two of the contract to a total contribution of $1.75 per hour.

 

 

           
 10.4     Covered
Employees

 

            Covered
Employees are all employees employed within the Union's Bargaining Unit who
were actively employed by the Employer for any length of time during the wage
month.  The Employer is required to make a contribution on an employee whose
employment is terminated during the wage month.

 

 

            10.5      Hours Worked

 

            The term
"Hours Worked" means not only hours actually worked by Covered Employees but
also hours not actually worked but for which Covered Employees were paid
because of vacation, holidays, jury duty or bereavement leave.

            

   

  

	
  17

  

  

 

10.6     Payment
of Contributions

 

            Contributions are due from
the Employer on the fifteenth (15th) day of the benefit month,
commencing with the benefit month of February 1999 and each and every month
thereafter so long as this agreement is in force. 

 

 

            
10.7     Coverage--Newly
Hired Employees Not Previously Covered

 

            Newly hired
employees not previously covered by the Pension Trust are not considered
Covered Employees until the first day of the first calendar month immediately
after the commencement of employment.  Such calendar month is the new
employee's first benefit month.  The immediately preceding calendar month is
the employee's first wage month.

 

 

           
10.8     Coverage--Newly
Hired Employees Who Were Previously Covered

 

            Newly hired
employees previously covered by the Pension Trust are considered Covered Employees
as of the first day of the first calendar month immediately after the
commencement of employment.  This calendar month is the employee's first
benefit month and the immediately preceding calendar month is the employee's
first wage month.

 

 

           
10.9     Contribution
Reports and Data

 

The
Employer shall transmit to the Pension Trust with each contribution a
contribution report on the form furnished by the Pension Trust on which the
Employer shall report the names, status, hire and termination dates as applicable,
as well as the total hours paid to each covered employee during the wage
month.  The Employer shall provide a copy of this report to the Union.  The
Employer further agrees to supply to the Pension Trust such further information
as may from time to time be requested by it in connection with the benefits
provided by said Pension Trust to said employees, and to permit audits of its
books and records by the Pension Trust for the sole purpose of determining
compliance with the terms and conditions of this agreement.

 

 

            10.10 
 Delinquent Employers

 

In the event that an Employer fails to maintain
affiliation in good standing with the Pension Trust, the Employer shall be in
violation of this Article 10, in addition to all other applicable standards. 
Immediately upon termination of the Employer's affiliation with the Pension
Trust, the Union and the employees may withhold all services from the
delinquent Employer until such time as the default has been cured to the
satisfaction of the Pension Trust and the Union.

 

 

  

	
  18

  

  

ARTICLE 11

 

401K Plan

 

 

            The
Company will establish a Section 401(k) plan for all its union employees.  The
Company will match contributions at 35% of the first $1,000 and 10% of the
excess up to the maximum contribution level allowed under the plan.

 

 

ARTICLE 12

 

Notices

 

 

           
12.1     The Company shall install a bulletin board for joint use of the
Company and Unions.

 

 

            
12.2 
   Before suspending operations the day before or the day after a scheduled
holiday, at least three (3) working days' notice must be posted on the bulletin
board.

 

 

            
12.3 
   At least twenty‐four (24) hours' notice of any other suspensions of
operations must be posted on bulletin boards stating when plant will close as
well as when work is to be resumed.

 

 

            
12.4 
   An employee who gives his employer two (2) weeks' written notice before
resignation will not be dismissed during the notice period without just cause
which shall include the employee's failure to perform the work assigned or to
report to work on time as that employee would normally do.  An employee who
gives notice of resignation shall remain subject to layoff during the notice
period. The
employer will provide the employee with a written form that the employee will
be asked to sign to confirm notice.

 

 

            
12.5     If an
employer decides to meet and speak to an employee because the employer believes
that any further infraction will lead to discharge, the employer shall inform
the union and invite the union business agent to attend the meeting.  If the
business agent is unavailable, notice can be provided to a Union officer or
shop steward.

 

 

 

 

ARTICLE 13

 

Layoff and Recall

 

  

	
  19

  

  

           
13.1     Layoff and recall shall be on the basis of seniority with the
Company, with most senior employees enjoying preference to avoid layoffs and to
be recalled.  Unless it is demonstrated that a senior employee lacks
proficiency to perform work in another category, the senior employee shall have
the right to move to another category to avoid layoff.  A layoff shall not
interrupt the accrual of industry service.  Employees shall have recall rights
for twelve (12) months from the date of layoff.

 

 

            
13.2 
   The Company shall provide the Union with a seniority roster semi‐annually,
in April and October.  There shall be a single seniority roster for all GCA
employees of the Company.

 

 

ARTICLE 14

 

Union Security

 

 

           
14.1     Employees covered by this Agreement shall, as a condition of
employment, be or become members of the Union on the thirty‐first
calendar day following their date of employment or the effective date of this
Agreement, whichever is later.  As a condition of continued employment,
employees must remain members of the Union in good standing with respect to
payment of initiation fees (if not already a member) and periodic dues
uniformly required as a condition of acquiring or retaining membership.

 

 

            
14.2 
   Operators of all granite, marble or other stone working machinery shall be
members of the Union such as:  computerized stencil cutting machines,
sandblast, surface cutters, carbos, planers, lathes, die sinkers, polishing
wheels, saws, paper rolls, sharpening machines, surface plates, guillotines,
sandblast stencil cutting machines, carvers, etchers,  auto etchers and wire
sawing on granite when detached from the quarry.  Operation of machinery
includes on-the-premises creation of the job file that guides or controls a
machine in the sawing, cutting, polishing or other manufacture of granite.  The
operation of machinery that performs functions substantially similar to the
functions performed by the machinery listed in this Article shall be by members
of the Union.  

 

            Except as specified
otherwise in this Article, all work that is assigned to the jurisdiction of the
various trades and specialties within the union by the terms of this agreement
shall only be performed by Union members.  The Union agrees that jurisdictional
restrictions will not apply to: 1) incidental operation of machines for
expediency; 2) coverage due to an absence caused by sickness or vacation, or 3)
coverage when a machine operator is busy with other job responsibilities.  To
ensure 40 hours of pay, the worker may be assigned to duties outside of their
traditional jurisdictional duties for a period not to exceed 16 hours per week
for items 1, 2 and 3 above.   In each facility, there may be no more than one
owner operating machinery that is assigned to Union members under the terms of
this agreement; any other owner may operate machinery only if they are Union
members. Only
foremen and management shall have the authority to discipline, hire or fire
union employees.  Foremen shall not perform union work, but shall limit their
responsibilities to supervision and instruction.

             

            The Company agrees to
maintain an average union staffing level of approximately 70% GCA.

            

  

	
  20

  

  

 

            
14.3 
   GROUP LEADER‐LEADMAN.   

 

            A group
leader or leadman is a bargaining unit employee who has responsibilities under
a foreman in a specific work area or section.  He or she is in charge of that
area in the absence of a foreman. Following instructions of the foreman, he or
she directs employees in routine work including priority and movement of work
in process.  He or she has the responsibility to inspect and reject units if
they do not meet quality standards.  He or she can instruct employees and
answer routine questions about work.  He or she does not have the power to
hire, fire or adjust wages for personnel, or effectively recommend the same.

 

 

 

ARTICLE 15

 

Check‐Off

 

 

           
15.1     It is agreed that Union initiation fees, membership dues, and
assessments uniformly imposed on all members, in accordance with the
Constitution and By‐Laws of the Union, shall be deducted monthly from the
pay of each employee who executes or has executed the following
"authorization for check off" form:

 

    "I, the undersigned, an employee of Rock of Ages Corporation,
hereby authorize and direct the Company to deduct from my wages as checked
below:

 

    (  )  Initiation fees

    (  )  Monthly union dues

    (  )  Assessments uniformly imposed on all members as designated

     by the Union, and pay same to the Granite Cutters' Association.

 

    "I understand that this authorization is irrevocable for a
period of one year or until the expiration of the Agreement between the Union
and the Company, whichever occurs sooner, and shall be automatically renewed
for successive periods of one (1) year each or for the period of each
succeeding applicable collective agreement between the Company and the Union,
whichever shall be shorter, unless I notify the Company and the Union in
writing by registered mail, return receipt requested of my desire to cancel and
revoke this assignment, within ten (10) calendar days prior to the expiration
of each period of one year, or of the expiration of each applicable collective
agreement between the Company and the Union, whichever occurs sooner."

 

 

 

 

 

 

  

	
  21

  

  

            
15.2 
   Deductions shall be remitted by the end of each month to an officer
designated by the local union along with a list of the employees from whom
deductions are made.

 

 

ARTICLE 16

 

Dispute Settlement  

   

           
16.1     Any difference which may arise as to the meaning of this Agreement
or any memorandum agreement between the parties as to compliance with the terms
of such agreements shall be resolved as follows:

             Step
1:  Between the foreman and employee involved and/or Union Steward
and/or other Union representative.  Grievances must be submitted within ten
(10) workdays of the time the subject of the grievance becomes or should have
become known to the aggrieved employee or Union.

             Step
2:  Between the Union Steward and/or other Union representatives and
the Plant Manager.  If the matter is not settled within five (5) workdays of
initiating this step, it may be referred to Step 3.

             Step
3:  Between the Union Business Representative and/or Union Steward and
the Division Vice President and/or the Plant Manager.  If the matter is not
settled at this step, then a formal written grievance will be submitted within
five (5) working days.

             Step
4:  Between the Granite Cutters' Association Staff Representative,
Local Union Business Agent, the President of the Company, the Division Vice
President and/or the Plant Manager.

             Step
5:  Submit the grievance to arbitration and pursuant to existing
voluntary labor arbitration rules of the American Arbitration Association
within thirty (30) days following the Step 4 answer.  The Arbitrator shall have
no authority to alter in any way the terms and conditions of this Agreement and
shall confine his decision to a determination of the facts and an
interpretation and application of this Agreement.  The decision of the
Arbitrator shall be final and binding on all parties.  The fees and expenses
associated with arbitration of the grievance shall be borne equally by the
parties to the grievance or dispute.

          In the
event a difference is not appealed to the next succeeding step of the above
procedure within the time limit specified, the right of appeal shall be lost.

          The
aggrieved employee may attend any steps of the grievance procedures. Time
limits may be extended by mutual agreement.

 

  

	
  22

  

  

 

            
16.2 
   Grievances may be initiated by the Company.  The grievance shall be
discussed between the Company representative and the Steward, Local Union
President and/or Union Business Agent or other Union representative. In the
event such difference is not settled through such discussion, the dispute will
be further processed in accordance with the provisions of Section 16.1, Steps
3, 4 and 5.

 

 

           
 16.3 
   Grievances processed in accordance with the provisions of this Article must
be in writing and signed by the grieving party for submission to Step 4 and
succeeding Steps.  It is mutually understood that the words "Foreman"
or "Plant Manager" may be replaced by the word "Company"
where appropriate.  Time limits may be extended by mutual agreement.

 

 

           
16.4     The Union agrees that during the term of this
Agreement neither the Union nor its members shall encourage or engage in any
strikes, stoppages, slowdowns or other interruption of work, and the Company
agrees that there shall be no lockouts.

 

 

ARTICLE 17

 

Plant Access

 

 

            It is
agreed that a Business Agent and/or Union official shall be permitted to enter
any plant during working hours or during hours when such agent or official has
reason to believe employees are working, for the purpose of administering the
provisions of this Agreement.  A committee wishing to enter the plant during
working hours must first get permission at the office.

 

 

ARTICLE 18

 

Nondiscrimination

 

 

            The parties
shall comply with all applicable laws governing equal employment opportunities
for employees covered by this agreement.  This shall include laws prohibiting
discrimination against employees on account of race, color, gender, religion,
national origin, age, sexual preference, protected handicap or union
activities.

 

 

ARTICLE 19

 

Governmental Regulations

 

 

            The
Company will comply with all applicable laws, including workers' compensation
and unemployment compensation laws, enacted for the betterment of wages and
working conditions in the granite trade.  All employees must utilize safety
equipment required by applicable law.

 

  

	
  23

  

  

ARTICLE 20

 

Substandard Operations

 

            It is
acknowledged by the parties that production of granite products under
conditions less favorable than those contained in this Agreement represents a
threat to the prosperity of the industry and the health and living standards of
the employees working herein. If a full-time employee works for another person or
firm in the industry which competes with his employer, it shall constitute just
cause for disciplinary action, leading to discharge for subsequent or
continuing offenses. Work performed on the premises of the Company on projects
in which the Company has some interest shall not be considered moonlighting,
and shall not subject the employee to discipline or discharge.   The parties
acknowledge that such moonlighting by full-time employees is generally harmful
to the industry and to the employees.  It should be discouraged.  An employer
found to have engaged or employed a moonlighter shall be required to pay time
and one half for all hours worked by the moonlighter; shall be required to make
all fund payments for such hours worked to the Barre Belt Pension Fund to the
extent permitted by such funds; and shall be subject to other sanctions as a
grievance committee or arbitrator deems just.

 

 

ARTICLE 21

 

Labor Management Team     

 

It is mutually agreed to form a Labor Management Team (LMT) composed equally of Union representatives and management representatives in such total
number as may be agreed from time to time by the Union and Company. The LMT may meet on mutually agreeable occasions to discuss and resolve issues of safety, health,
betterment, interdivisional job opportunities, productivity and other items as
may be appropriate.

            The LMT is intended to increase joint cooperation and develop an active employee involvement
process.  These efforts shall not interfere with any provisions of this
agreement nor circumvent the grievance procedure, nor interfere with
management's rights, but it is a goal of the LMT to avoid circumstances or
practices which could give rise to a claim by either party that the provisions
of this agreement were not adhered to and to create an atmosphere of
cooperation so as to minimize events leading to grievances.

            The LMT may have various divisions or advisory groups as mutually agreed and may meet jointly with
LMTs formed in other divisions and with other unions of the Company.

 

  

	
  24

  

  

            The
objectives of the LMT will also focus on increasing customer service and
satisfaction, more effective methods of operation, enhancing employee morale
and creating and assuring full and open communication among employees and the
Company.  The LMT will analyze and solve identified problems and participate
and support in the implementation of agreed solutions.  The LMT will also investigate and recommend actions to the Company and Union to increase employee
involvement and responsibility in the areas of production, production teams,
and quality control.

 

ARTICLE 22

 

Safety Measures

 

 

          22.1     Suction
Devices

             The
Company shall maintain its plants with suction equipment as described below:

 (a) 
      All bankers using pneumatic tools and surface machines shall be equipped
with suction devices.

 (b) 
     Every employee cutting granite shall be provided with an adequate suction
device.  No granite shall be cut unless this requirement has been met.

 (c)       
All emery wheels, in the blacksmith's shop and plant, shall have suitable safety
and suction devices.  All rounding of edges and other operations, with a
pneumatic or electric machine, shall only be done with the added use of a
suction device.

 (d)      
All sandblast rooms shall be equipped with suitable suction devices so that they
shall be in a dustless condition, both inside and outside.

 (e) 
      All suction equipment shall be of the vacuum type complete with adequate
dust arrestors, which will filter the air before discharge into the atmosphere.

 (f) 
      All surface cutting machines in the cutting section of the plant shall be
equipped with proper suction devices and shall immediately cease operations
when a breakdown in the air suction or other devices occurs or when such air
suction or other attachments become defective.  Workers must, at all times, be
amply protected from chips, grit or water from any machine. Proper screens,
butty‐boards or any other suitable method must be furnished and used. 
Bumpers must not be used.

 (g) 
      The Engineer for the Department of Labor and Industry for the State of
Vermont shall confer with the Company and the Business Agent concerning the
proper function of all suction equipment in granite plants.                

  

	
  25

  

  

 

 

22.2     Safety Glasses

 

            The
Company shall provide safety glasses for its employees, upon the request of
such employees.  If an employee needs prescription safety glasses, he or she
shall pay for his own eye examination and shall furnish the prescription to the
Company.  The Company shall then provide such prescription glasses at no
additional cost to the employee.  Broken safety glasses shall be replaced by
the Company on a reasonable basis.

 

 

            
22.3 
   Plant Heat

 

            Cutting
plants and air for pneumatic machines is to be heated to at least sixty (60)
degrees.  Hot water must also be provided.  If the Union initiates a grievance
for the Company's failure to heat the plant to 60 degrees, the arbitrator is
authorized to impose a penalty of two (2) hours' pay for time lost due to lack
of heat.  The arbitrator shall be authorized to impose a penalty of up to four
(4) hours' pay in situations where the Company has been found to have
repeatedly failed to heat the plant as required under this Section and if the
arbitrator finds that the circumstances of such violations warrant an
additional penalty.

 

 

           
 22.4 
   Miscellaneous

 (a) 
     No employee shall be permitted to operate automatic and manual sandblast
at the same time, except under conditions mutually agreeable to the union and
the Company.

 (b) 
     In turning down grindstones, water in sufficient quantities or other
suitable devices must be used at all times to keep down the dust.

 (c) 
      Toilets connected with running water must be furnished in every plant and
must be always kept in sanitary conditions, thoroughly boxed in and ventilated
so as to eliminate all odors in conformity with health laws.

 (d) 
     Drinking water with sanitary bubblers must be furnished in every plant.

 (e) 
      A device to give ample warning when stones are being carried through the
plant will be used with the operation of each traveling crane.

 (f) 
      The Company shall, at its expense, replace chalk and chalk lines, pencils
and sandblast knives, tapes, rulers, handles, aprons, rubbers and similar
equipment on a reasonable basis.  The Company shall make safety footwear (steel
toe) available to requesting employees from the Company supply room.  For each
requesting employee, the Company will contribute once a year to defray the
costs of safety footwear (i.e., steel toe).  The Company shall pay the full
cost of the safety footwear, up to a maximum of eighty ($80.00) dollars, paid
once per year without proof of purchase; employee must still wear safety
footwear on the job.

 

             

  

	
  26

  

  

            
22.5 
   Consultation and Enforcement    

            The
Company will confer with the Union regarding safety and other rules and
regulations affecting the health, safety and comfort of the employees. The
parties agree to cooperate with each other in enforcing safety rules and
practices in an effort to reduce hazards and insure safe working
conditions.       To assure safety, if an employee is not adequately trained or
qualified to operate a piece of equipment, the employee will not be required to
operate the equipment.                      

 

ARTICLE 23

 New Machinery 

 

            23.1     The Company and the Union agree that, for the best interest of the
employees, the Company and the community as a whole, they favor and will
encourage the progress and growth of the Granite Industry in Vermont.    The
Company has the right to introduce new machinery into the plant, and the
assignment of an operator to new machinery will be made on a reasonable basis
with appropriate consideration for safety, workload, existing practices, and
operational requirements including production efficiency and flexibility.

             The
Company agrees that, in the operation of granite working machinery, the present
jurisdiction of the union will be preserved.  The Company further agrees that
employees covered by the agreement shall be given reasonable opportunity to
become proficient with new granite working machinery.  It is understood that
the employees of a manufacturer displaced because of the introduction of new
machinery into the plant shall be given such first opportunity.

 

ARTICLE 24

 Apprentice Training Program

 

           
24.1     The
Program

             The
Apprentice Training Program for Granite Cutters, Polishers, Tool Sharpeners and
Draftspersons, as developed and approved by the Barre District Granite
Manufacturers and the Unions, shall govern the training of apprentices.  No
provision in the Apprentice Training Program of the Granite Cutters, Polishers,
Tool Sharpeners and Draftspersons shall operate in violation of any provisions
of this agreement.   

            

  

	
  27

  

  

 
        24.2 
   Records

 

(a)        The Company shall keep a record of all apprentices in their
employ. Records shall show full name, date of employment; trade; social
security number; age; and date of leaving.  Records shall be open to inspection
by the Business Agent of the Union.

 

 (b) 
     Within thirty (30) calendar days of employment, the Company agrees to
supply the Business Agent with names of each apprentice employed, the date of
employment, the trade, the apprentice's social security number and age. The
Company also must state if the apprentice comes within the quota as per this
Agreement.

 

 

 
        24.3 
   Job Training Partnership Act

 

             The
Union agrees to give the necessary approval and to join with the Company in any
future applications for funds under the Job Training Partnership Act, subject
to the understanding that the Union may withhold such approval in the event of
a substantial change in the present employment situation in the industry.

 

 

 

 
        24.4
    Apprentices shall not replace a journeyman and unemployed journeymen who
apply for an apprenticeship position shall be given first consideration for
employment.

 

 

 

ARTICLE 25

 

 Leaves of Absence

 

 

 
        25.1 
   Unpaid leaves of absence may be taken only with prior written approval of
the Company, and copies of same shall be given to the Union. Applicable
federal and state statutes governing family and medical leave shall apply to
any leaves which were within their purview.

 

 

 
        25.2 
   Any employee newly hired to perform the work of an employee on leave of
absence will be notified by the Company that continued employment is temporary.

 

 

        25.3 
  Any
person holding office in the Union as a full-time Business Agent shall accrue
seniority in his or her former position while holding such office for a period
of three years.  Any such Union officer can accrue additional seniority, up to
a maximum of six years, that is equal to the officer's length of service with
the Company. If the Union officer does not return to employment with the
Company during the period that he or she or she is accruing seniority under
this paragraph, then the officer shall forfeit that seniority.

 

  

	
  28

  

  

            Upon completion of his or
her Union service, a Union officer may exercise any accrued seniority rights to
return to employment within his or her former trade. Any Union officer who
wishes to return to service with the Company after the expiration of his or her
seniority rights shall have first preference for the first available opening in
the Company within the officer's trade for which the officer is qualified.

            Any Union employee who is
assigned to a management position shall accrue seniority in his or her former
position for a period of three years.  If such person does not return to his or
her position as a Union employee within three years, such seniority shall be
forfeited.  During the three year period provided by this paragraph, such person
may exercise any accrued seniority rights to return to a Union position within
his or her former trade. 

 

ARTICLE 26

 

Probationary Period

 

           
26.1     There shall be a probationary period of thirty (30) calendar days for
journeymen and sixty (60) calendar days for apprentices with a right to extend
such probationary periods by mutual agreement. The probationary period for a
journeyman who is a new hire, and is changing trades to a new trade, shall be
sixty days.   A discharge during the
probationary period shall not be subject to the grievance or arbitration
provisions of this agreement.  Upon completion of the probationary period, the
employee's seniority date shall be retroactive to his most recent date of
hire.                                 

 

ARTICLE 27

 

New Employees

 

            27.1     In the event of a permanent vacancy which the Company intends to fill
with a journeyman, the Company will call or otherwise notify the Union in
advance and will consider the names of any journeymen submitted by the Union.  In the event of
any permanent vacancy within the Company, the Company will make a reasonable
effort under the circumstances, subject to the Company's need to fill the
position promptly, to post the vacancy within the Company. Nothing herein will require the employer to
interview or hire any applicant.

 

ARTICLE 28

Subcontracting

 

  

	
  29

  

  

            The
Company will subcontract bargaining unit work only if its plant lacks the
physical capacity or human resources to accommodate the work and not to avoid
the terms of this contract; provided, however, that the Company may subcontract
work to other entities that employ GCA members to perform the work that is
subcontracted.  The Company will notify the Union in advance of an intent to
subcontract bargaining unit work which will result in (or prolong) either
layoffs or a reduction in the work week below forty hours; and, upon request,
will bargain with the Union about the decision and its impact upon the
employees.

 

ARTICLE 29

 

Accidents

 

            A
workman must report any accident or defect in any stone immediately on
discovering it; otherwise he or she shall be subject to appropriate
disciplinary action.  Sufficient room at all times must be given to granite
cutters and other workers. If an employee is injured on the job and formal notice
(i.e., the employer's first report of injury) is provided to the State of
Vermont, a copy of the written notice will be provided to the union business
agent.

 

GRANITE CUTTERS' PROVISIONS

 

ARTICLE 1

 

Jurisdiction   

 

            It is
mutually agreed that the Union shall have jurisdiction over the following job
functions involved in the Company's plant operations: drilling (including paper
rolls and saw blocks at the plants), cutting, lettering, finishing, surface
plate finishing, carbo sawing, sandblasting, carving, etching, planing, lathe
operating, channeling for crosses or any similar work building or monumental,
polishing (whether by hand or machine), sawing (of rough blocks into slabs,
dies, etc.), bedsetting, plastering, pinning up, steeling and grinding of granite;
tool sharpening (by hand or machine) of all hand tools used in the plants; and
drafting including layouts, tracings, patterns and making shop cards requiring
drafting.  All employees will be classified by the above job functions for
purposes of the provisions on layoff in Article 12.  The Union and Company
agree that employees covered by this agreement may be assigned to any other job
functions within the jurisdiction of the Union or as allowed by Paragraph 14.2 as
may be necessary to assure available work is completed in a timely and
efficient manner.

 

                                  

  

	
  30

  

  

 

 

ARTICLE 2

 

Apprentice - Journeyman

 

 

            Apprentices
must work a period of two years to achieve the status of journeymen.

 

 

 

 

ARTICLE 3

 

Apprentice Quotas

 

 

            The
apprentice quota for all positions except draftspersons, lathe operators and
sawyers shall be:  1 for 2,  2 for 5 ,  3 for 8,  4 for 11, 5 for 14,  6 for
17.    One apprentice lathe operator is allowed for each two lathes operated.
One apprentice sawyer shall be allowed to every two sawyers.  One apprentice
draftsperson for one journeyman draftsperson and two apprentice draftspersons
for three journeyman draftspersons shall be allowed, but owners, partners and
office managers shall not be considered journeymen.

 

 

 

 

ARTICLE 4

 

 

           
4.1       All employees covered by this contract shall not disclose any
confidential information obtained from contracts worked in any office.    All
custom drafting done outside of a regular eight (8) hour day shall be charged
at the rate of time and one‐half plus ten percent (10%) extra for
materials used.  All custom work to be governed by the Business Agent.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

  

	
  31

  

  

 

            IN WITNESS WHEREOF, the undersigned
have executed this Agreement effective April 25, 2009.

 

                               
FOR GRANITE CUTTERS' ASSOCIATION

 

                                    _______________________________________                               

Matthew Peake, Business Agent

 

_______________________________________      

Sandy Conti, Committeeman

 

_______________________________________

Randy Copping, Committeeman

 

_______________________________________ 
                                

Harold Wood, Committeeman

 

 

 

 

                               
 ROCK OF AGES CORPORATION

 

                                    __________________________________________                               

Robert Pope, Chief Negotiator

 

__________________________________________

Donald Labonte, CEO

 

__________________________________________

Rob Boulanger, Operations Manager, Manufacturing Division

 

__________________________________________

Paul Hutchins, Vice President of Administration

 

 

 

 

 

 

  

	
  32

  

  

MANUFACTURING
DIVISION

CALENDAR OF
HOLIDAY OBSERVANCES

DURING 2009 - 2011
CONTRACT

 

 

2009

Memorial Day                                    May
25                       Monday

Independence Day                             July
3                           Friday  

Labor Day                                         September
7                Monday

Employee Appreciation Day               September
8                Tuesday                       

Veterans Day*                                   November
16              Monday

Thanksgiving Day                               November
26              Thursday

Day After Thanksgiving                      November
27               Friday

Christmas Day                                    December
25               Friday

 

 

 

2010

New Years Day                                 January
1                     Friday

Day Before Town Meeting                 March
1                       Monday

Town Meeting Day                            
March
2                      Tuesday

Memorial Day                                    May
31                        Monday

Independence Day                              July
5                          Monday

                        Alternative
for shut down        July 12                        Monday

Labor Day                                         September
6                Monday

Employee Appreciation Day               September
7                Tuesday

Veterans Day*                                   November
15              Monday

Thanksgiving Day                               November
25              Thursday

Day After Thanksgiving                      November
26              Friday

Christmas Day                                   December
24               Friday

 

 

 

2011

New Years Day                                 December
31               Friday

Day Before Town Meeting                 February
28                 Monday

Town Meeting Day                            March
1                       Tuesday

 

 

 

*Veteran's Day will be observed on the
first day of rifle season.

 

 

 

 

 

  

	
  33

  

  

 

 

Granite Cutters'
Association

107 N. Main Street

Barre, Vermont   05641

 

April
25, 2009

 

Donald Labonte, President                                                                 

Rock of Ages Corp., Manufacturing
Division

PO Box 482

Barre, Vt. 05641-0482

 

SIDE LETTER
AGREEMENT

 

Gentlemen:

            The terms and conditions
of the collective bargaining agreement between the Granite Cutters' Association
and the Rock of Ages Corporation are hereby modified by this side letter
agreement, dated as of April 25, 2009

Seniority

            Article 13.2 provides
that there shall be a single seniority roster for all GCA employees of this
Company.  To implement this provision, we have agreed that the existing
seniority lists for all four entities involved in a merger with the Company
(i.e., Anderson-Friberg, Lawson Granite, Rock of Ages and Associated Saw Plant)
as of January 1, 1996, shall be merged into a single seniority list.  The date
of hire with each of the four entities involved in this transaction shall be
used to measure seniority on the merged seniority list.  If an employee has
continuous service with two or more of the entities involved in that merger,
all of that continuous service shall be counted in calculating seniority.

            Article 13.1 provides
that layoff and recall shall be on the basis of seniority, subject to ability. 
We agree that if there is a short-term layoff (meaning no more than two
consecutive weeks or a total of four weeks in a single calendar year) in any of
the Rock of Ages plants, that the seniority roster within the affected plant
shall be used to implement the layoff.  For such short-term layoffs, affected
employees will not have the right to bump employees in another plant.  If the
layoff is of any greater duration, then the Company-wide seniority list, which
shall be merged as provided in this Letter, shall control the layoffs.

           
Article 7.4(d) grants employees additional vacation based upon length of service
with the Company.  We agree that continuous service with any of the four
entities involved in the merger shall be included in calculating eligibility for
this benefit.  Thus, for example, an employee with 25 years of service with
Lawson Granite shall be entitled to the four weeks of vacation.  If an
employee has 10 years of continuous service with Lawson Granite, immediately
followed by 15 years of continuous service with Rock of Ages or Anderson-Friberg, that employee would also qualify
for this additional vacation.

 

 

Side Letter Agreement

GCA--Rock of Ages

April 25, 2009

Page 2

           

            Article 5.2 addresses
overtime.  The company shall offer overtime on the basis of seniority within
the category of work in each plant, subject to ability and experience on the
particular job, as provided in Article 5.2.  Employees cannot use seniority to
claim a right to overtime offered in another plant.

Work Rules

            The Union will not
seek to assert Section 22.4(a) of the collective bargaining agreement and/or
the Memorandum dated August 22, 1979, with respect to operations covered by
such documents unless the Union believes in good faith that such operations
would be unsafe or would constitute an unreasonable workload on any employee.  In
any such situation,, the Union will provide the Company with a written
statement setting forth its specific objections regarding safety and workload
issues.  If the Company and the Union are unable to resolve the issue, either
party may submit it directly to arbitration under the arbitration provisions of
the collective bargaining agreement.

Sympathy
Strikes--Picket Lines

            The union agrees that
it will not call or condone a strike against employer's signatory to this
agreement in sympathy with a GCA union strike at the signators to a
multi-employer agreement with the Barre Granite Association ("downtown
employers") or Swenson Granite, Hillside Granite, or International Stone
Products ("other companies").

            Nothing contained in
this agreement shall prevent members of the GCA from honoring a primary picket
line, and they shall suffer no disability as a result of so doing.  However,
the GCA shall not permit its members to establish a picket line at Rock of Ages
as a result of a strike against downtown employers or other companies.  Nothing
contained in this agreement shall prevent members of the GCA from refusing to
perform "struck work" (i.e., work that has been subcontracted to Rock of Ages
from the downtown employers or other companies during any union strike against
the downtown employers or other companies, or work that has been transferred to
Rock of Ages in Barre from affiliates who are the subject of any union strike),
and they shall suffer no disability as a result of so doing.

            In the event that the
union calls or condones a strike against Rock of Ages in sympathy with a
Granite Cutters' Association union strike at the downtown employers or other
companies, Rock of Ages may by-pass the grievance and arbitration provisions of
this agreement, and seek an immediate injunction or other relief from the
courts.

 

 

 

Side Letter Agreement

GCA--Rock of Ages

April 25, 2009

Page 3

 

Extension of
Apprentice Period

            If the Company neglects to request an extension
in the first sixty days of the apprentice period, there shall be an additional
thirty day period in which the Company can request an extension of the
apprentice period from the union.  The Union shall not unreasonably withhold
approval of a request for an extension.

Second Shift

            The Company may desire to implement a change in
the shifts, work schedules, additional compensation, or related concerns on the
second shift which would require changes in the Contract. During the term of
this Contract, the parties agree to negotiate and bargain in good faith on this
subject.

Worker Compensation

            The Company shall provide coverage for employees
who are paid worker compensation benefits for the time period that is not
covered by worker compensation.  The Company may, in its sole discretion,
withdraw this benefit if the Company determines that it is being abused.

Jib Cranes 

The GCA supports
the use of jib cranes, car systems, and similar handling systems that do not
fundamentally infringe upon the respective jurisdiction of the two unions.  The
GCA will work with management to reasonably accommodate the use of such devices
by its members where appropriate.

            This side letter
agreement shall be in effect for the balance of the collective bargaining
agreement, which is scheduled to expire on April 29, 2011.

 

 

 

 

 

 

                                                                        

Side Letter Agreement

GCA--Rock of Ages

April 25, 2009

Page 4

 

 

 

Dated at _____________, Vermont, 
this ____ day of __________________, 2009.

 

 

                                                                                    GRANITE
CUTTERS ASSOCIATION

 

 

                                                                        BY:     _________________________________

                                                                                    Matthew
Peake, Business Agent

 

 

 

 

 

Dated at ____________, Vermont,
this ____ day of ___________________, 2009.

 

 

                                                                                    ROCK
OF AGES CORPORATION

 

                                                                        BY:     ________________________________

                                                                                    Robert
Pope

                                                                                    Chief
Negotiator

 

_________________________________

                                                                                    Donald
Labonte

                                                                                    CEOexhibit10_41-0209.htm

 

 

Exhibit 10.41

RESTRICTED STOCK AGREEMENT

granted pursuant to the

PHOTOMEDEX, INC. 2005 EQUITY COMPENSATION PLAN

THIS RESTRICTED STOCK AGREEMENT (the “Restricted Stock Agreement”) is made and entered into as of June 15, 2009 by and between PhotoMedex, Inc., a Delaware corporation (the “Company”) and the following individual:

Name: Dennis M. McGrath (the “Purchaser”)

Address: 2 Colonial Court, Medford, NJ 08055

Capitalized terms used but not otherwise defined herein shall have the meanings set forth in the PhotoMedex, Inc. 2005 Equity Compensation Plan (the “Plan”). The Purchaser agrees to be bound by the terms and conditions of the Plan, which are incorporated herein by reference and which control in case of any conflict with this
Restricted Stock Agreement, except as otherwise specifically provided in the Plan. The Purchaser has an Employment Agreement, dated September 1, 2007, with the Company.

SECTION 1  ACQUISITION OF SHARES.

 

(a)           Issuance. On the terms and conditions set forth in this Restricted Stock Agreement, the Company agrees to issue Seventeen Thousand Five Hundred (17,500) shares
to the Purchaser. The issuance shall occur at the offices of the Company on the date set forth above or at such other place and time (but not in a calendar year other than the current calendar year) as the parties may agree.

(b)           Consideration. The Purchaser agrees to pay to the Company the sum of $.01 (the “Per Share Purchase Price”) for each of such Shares, representing
the par value thereof. Payment shall be made on the issuance date by delivery to the Company of the Purchaser's check in the amount of the aggregate purchase price.

(c)           Defined Terms. Certain capitalized terms are defined in Sections 2 and 3 of this Restricted Stock Agreement.

 

SECTION 2  RIGHT OF REPURCHASE.

 

(a)           Scope of Repurchase Right. Until they vest in accordance with Section (b) below, the Purchased Shares shall be Restricted Shares and shall be subject to the
Right of Repurchase. The Company may exercise its Right of Repurchase only during the earlier to occur of: (i) the Repurchase Period following the termination of the Purchaser's Service, or (ii) the Repurchase Period following the failure of the Restricted Shares to vest as of December 31, 2010. The Right of Repurchase may be exercised automatically under Section 2(d) below.

 

 (b)           Lapse of Repurchase Right.

(i)           Except as otherwise provided in Section 2(b)(ii), the Right of Repurchase shall lapse with respect to all Restricted Shares, and the Purchaser’s rights in such Shares shall be vested, if the Company has  adjusted
net income (“2010 Adjusted Net Income”) equal to or greater than zero for the Company’s fiscal year ended December 31, 2010. For purposes of this Section 2(b)(i), the 2010 Adjusted Net Income shall be “net income after income taxes”, based on the audited financial statements of PhotoMedex, Inc. and Subsidiaries for the year ended December 31, 2010, excluding income or expense, on a post-tax basis, from stock options or warrants on the Company stock. In the event that the Company
does not achieve 2010 Adjusted Net Income, then the Company shall have until June 30, 2011, to repurchase the restricted shares.

(ii)           Notwithstanding Section 2(b)(i), the Restricted Shares may vest, and the Right of Repurchase may lapse, sooner under Sections 6(c)(6) and 10(a) of the Purchaser’s Employment Agreement with the Company.

(c)           Escrow. Upon issuance, the certificate(s) for Purchased Shares shall be deposited in escrow with the Company to be held in accordance with the provisions of
this Restricted Stock Agreement. Any additional or exchanged securities or other property described in Section 2(f) below shall be delivered to the Company to be held in escrow. All ordinary cash dividends on Purchased Shares (or on other securities held in escrow) shall be paid directly to the Purchaser and shall not be held in escrow. Purchased Shares, together with any other assets held in escrow under this Restricted Stock Agreement, shall be (i) surrendered to the Company for repurchase upon exercise of
the Right of Repurchase or (ii) released to the Purchaser upon his or her request to the extent that the Purchased Shares have ceased to be Restricted Shares (but not more frequently than once every six months). In any event, all Purchased Shares that have ceased to be Restricted Shares, together with any other vested assets held in escrow under this Restricted Stock Agreement, shall be released within 90 days after the termination of the Purchaser's Service.

 

(d)           Exercise of Repurchase Right. The Company shall be deemed to have exercised its Right of Repurchase automatically for all Restricted Shares as of the commencement
of the Repurchase Period, unless the Company during the Repurchase Period notifies the holder of the Restricted Shares pursuant to Section 9 that it will not exercise its Right of Repurchase for some or all of the Restricted Shares. During the Repurchase Period, the Company shall pay to the holder of the Restricted Shares the purchase

  

  

  

price determined under Section 2(a) above for the Restricted Shares being repurchased ( i.e. , $.01 per Share, as adjusted for stock splits, stock dividends and similar corporate transactions). Payment shall be made in cash or cash equivalents and/or by canceling indebtedness to the
Company incurred by the Purchaser. The certificate(s) representing the Restricted Shares being repurchased shall be delivered to the Company (if not already held by the Company).

 

(e)           Termination of Rights as Stockholder. If the Right of Repurchase is exercised in accordance with this Section 2 and the Company makes available the consideration
for the Restricted Shares being repurchased, then the person from whom the Restricted Shares are repurchased shall no longer have any rights as a holder of the Restricted Shares (other than the right to receive payment of such consideration). Such Restricted Shares shall be deemed to have been repurchased pursuant to this Section 2 whether or not the certificate(s) for such Restricted Shares have been delivered to the Company or the consideration for such Restricted Shares has been accepted.

 

(f)           Additional or Exchanged Securities and Property. In the event of a merger or consolidation of the Company with or into another entity (other than a Change in
Control Event), any other corporate reorganization (other than a Change in Control Event), a stock split, the declaration of a stock dividend, the declaration of an extraordinary dividend payable in a form other than stock, a spin-off, an adjustment in conversion ratio, a recapitalization or a similar transaction affecting the Company's outstanding securities, any securities or other property (including cash or cash equivalents) that are by reason of such transaction exchanged for, or distributed with respect
to, any Restricted Shares shall continue to be subject to the Right of Repurchase. Appropriate adjustments to reflect the exchange or distribution of such securities or property shall be made to the number and/or class of the Restricted Shares and to all of the provisions of this Section 2, including the price per share to be paid upon the exercise of the Right of Repurchase, provided that the aggregate purchase price payable for the Restricted Shares shall remain the same. In the event of a merger or consolidation
of the Company with or into another entity or any other corporate reorganization that does not constitute a Change in Control Event, the Right of Repurchase may be exercised by the Company's successor.

 

(g)           Transfer of Restricted Shares. The Purchaser shall not transfer, assign, encumber or otherwise dispose of any Restricted Shares without the Company's written
consent (which consent may be withheld with or without any reason therefor), except as provided in the following sentence. The Purchaser may transfer Restricted Shares to one or more members of the Purchaser's Immediate Family or to a trust or partnership established by the Purchaser for the benefit of the Purchaser and/or one or more members of the Purchaser's Immediate Family, provided in either case that the Transferee agrees in writing on a form prescribed by the Company to be bound by all provisions of this
Restricted Stock Agreement. If the Purchaser transfers any Restricted Shares, then this Restricted Stock Agreement shall apply to the Transferee to the same extent as to the Purchaser.

 

(h)           Assignment of Repurchase Right. The Board of Directors may freely assign the Company's Right of Repurchase, in whole or in part. Any person who accepts an assignment
of the Right of Repurchase from the Company shall assume all of the Company's rights and obligations under this Section 2.

 

(i)           Part-Time Employment and Leaves of Absence. If the Purchaser commences working on a part-time basis, then the Company may adjust the vesting schedule set forth
in Section 2(b) above in accordance with the Company's part-time work policy or the terms of an agreement between the Purchaser and the Company pertaining to his or her part-time schedule. If the Purchaser goes on a leave of absence, then the Company may adjust the vesting schedule set forth in Section 2(b) above in accordance with the Company's leave of absence policy or the terms of such leave. Except as provided in the preceding sentence, Service shall be deemed to continue while the Purchaser is on a  bona
fide  leave of absence, if (i) such leave was approved by the Company in writing and (ii) continued crediting of Service is expressly required by the terms of such leave or by applicable law (as determined by the Company). Service shall be deemed to terminate when such leave ends, unless the Purchaser immediately returns to active work.

 

SECTION 3  OTHER DEFINITIONS.

“Immediate Family” shall mean any child, stepchild, grandchild, parent, stepparent, grandparent, spouse, sibling, mother-in-law, father-in-law, son-in-law, daughter-in-law, brother-in-law or sister-in-law and shall include adoptive relationships.

“Purchased Shares” shall mean the Shares purchased by the Purchaser pursuant to this Restricted Stock Agreement.

“Repurchase Period” shall mean a period of 180 consecutive days commencing on the earlier to occur of: (i) the date when the Purchaser's Service terminates for any reason, including (without limitation) death or disability; or (ii) the last date when the Restricted Shares
might vest (viz. December 31, 2010), but in fact do not vest at that time. 

 “Restricted Share” shall mean a Purchased Share that is subject to the Right of Repurchase.

“Right of Repurchase” shall mean the Company's right of repurchase described in Section 2.

“Securities Act” shall mean the Securities Act of 1933, as amended.

 

“Service” shall mean service to the Company or its subsidiaries as an Employee or, following a Change in Control Event, service to the New Employer (as defined in Section 2(b)) or its subsidiaries as an employee.

  

  

  

“Share” shall mean one share of Stock

“Stock” shall mean the Common Stock of the Company, par value $0.01 per Share.

“Transferee” shall mean any person to whom the Purchaser directly or indirectly transfers any Purchased Shares.

SECTION 4  OTHER RESTRICTIONS ON TRANSFER.

 

(a)           Purchaser Representations. In connection with the issuance and acquisition of Shares under this Restricted Stock Agreement, the Purchaser hereby represents
and warrants to the Company as follows:

 

(i)           The Purchaser has received a copy of an offering memorandum relating to the sale of the Purchased Shares to the Purchaser hereunder.

 

(ii)           The Purchaser acknowledges his or her understanding that if he or she is an “affiliate” of the Company, the Purchaser's right to resell the Purchased Shares after the Company's Right of Repurchase lapses is restricted under the Securities Act.

 

(iii)           The Purchaser will not sell, transfer or otherwise dispose of the Purchased Shares in violation of the Securities Act or the rules promulgated thereunder, including Rule 144 under the Securities Act. The Purchaser agrees that he or she will not dispose of the Purchased
Shares unless and until he or she has complied with all requirements of this Restricted Stock Agreement applicable to the disposition of Purchased Shares and he or she has provided the Company with written assurances, in substance and form reasonably satisfactory to the Company, that (A) the proposed disposition does not require registration of the Purchased Shares under the Securities Act or all appropriate action necessary for compliance with the registration requirements of the Securities Act or with any exemption
from registration available under the Securities Act (including Rule 144) has been taken and (B) the proposed disposition will not result in the contravention of any transfer restrictions applicable to the Purchased Shares under state securities law.

 

(b)           Securities Law Restrictions. Regardless of whether the offering and sale of Shares under this Restricted Stock Agreement have been registered under the Securities
Act or have been registered or qualified under the securities laws of any state, the Company at its discretion may impose restrictions upon the sale, pledge or other transfer of the Purchased Shares (including the placement of appropriate legends on stock certificates or the imposition of stop-transfer instructions) if, in the judgment of the Company, such restrictions are necessary or desirable in order to achieve compliance with the Securities Act, the securities laws of any state or any other law.

 

(c)           Rights of the Company. The Company shall not be required to (i) transfer on its books any Purchased Shares that have been sold or transferred in contravention
of this Restricted Stock Agreement or (ii) treat as the owner of Purchased Shares, or otherwise to accord voting, dividend or liquidation rights to, any transferee to whom Purchased Shares have been transferred in contravention of this Restricted Stock Agreement.

 

SECTION 5  SUCCESSORS AND ASSIGNS.

Except as otherwise expressly provided to the contrary, the provisions of this Restricted Stock Agreement shall inure to the benefit of, and be binding upon, the Company and its successors and assigns and shall be binding upon the Purchaser and the Purchaser's legal representatives, heirs, legatees, distributees, assigns and transferees
by operation of law, whether or not any such person has become a party to this Restricted Stock Agreement or has agreed in writing to join herein and to be bound by the terms, conditions and restrictions hereof.

SECTION 6  NO RETENTION RIGHTS.

Nothing in this Restricted Stock Agreement shall confer upon the Purchaser any right to continue in Service for any period of specific duration or interfere with or otherwise restrict in any way the rights of the Company (or any Parent or Subsidiary employing or retaining the Purchaser) or of the Purchaser, which rights are hereby expressly
reserved by each, to terminate his or her Service at any time and for any reason, with or without cause.

SECTION 7  TAX ELECTION.

The acquisition of the Purchased Shares may result in adverse tax consequences that may be avoided or mitigated by filing an election under Code Section 83(b). Such election may be filed only within 30 days after the date of purchase.  The Purchaser should consult with his or her
tax advisor to determine the tax consequences of acquiring the Purchased Shares and the advantages and disadvantages of filing the Code Section 83(b) election. The Purchaser acknowledges that it is his or her sole responsibility, and not the Company's responsibility, to file a timely election under Code Section 83(b), even if the Purchaser requests the Company or its representatives to make this filing on his or her behalf.   CIRCULAR
230 DISCLAIMER: Nothing contained herein concerning certain federal income tax considerations is intended or written to be used, and cannot be used, for the purpose of (i) avoiding tax-related penalties under the Internal Revenue Code or (ii) promoting, marketing, or recommending to another party any transactions or tax-related matters addressed herein.

  

  

  

 

SECTION 8  LEGENDS.

All certificates evidencing Purchased Shares shall bear the following legend:

“THE SHARES REPRESENTED HEREBY MAY NOT BE SOLD, ASSIGNED, TRANSFERRED, ENCUMBERED OR IN ANY MANNER DISPOSED OF, EXCEPT IN COMPLIANCE WITH THE TERMS OF A WRITTEN AGREEMENT BETWEEN THE ISSUER OF SUCH SHARES AND THE REGISTERED HOLDER OF SUCH SHARES (OR THE PREDECESSOR IN INTEREST TO SUCH HOLDER OF SHARES). SUCH AGREEMENT
GRANTS TO SUCH ISSUER CERTAIN REPURCHASE RIGHTS UPON TERMINATION OF SERVICE WITH THE COMPANY. THE SECRETARY OF SUCH ISSUER WILL UPON WRITTEN REQUEST FURNISH A COPY OF SUCH AGREEMENT TO THE HOLDER HEREOF WITHOUT CHARGE.”

 

 

If required by the authorities of any state in connection with the issuance of the Purchased Shares, the legend or legends required by such state authorities shall also be endorsed on all such certificates. 

SECTION 9  NOTICE.

 

Any notice required by the terms of this Restricted Stock Agreement shall be given in writing and shall be deemed effective upon (i) personal delivery, (ii) deposit with the United States Postal Service, by registered or certified mail, with postage and fees prepaid or (iii) deposit with a recognized overnight courier service, with shipping
charges prepaid. Notice shall be addressed to the Company at its principal executive office and to the Purchaser at the address that he or she most recently provided to the Company in accordance with this Section 9.

 

SECTION 10  ENTIRE AGREEMENT.

 

This Restricted Stock Agreement, together with the Plan and the Purchaser’s Employment Agreement with the Company, constitutes the entire contract between the parties hereto with regard to the subject matter hereof and supersedes any other agreements, representations or understandings (whether oral or written and whether express
or implied) which relate to the subject matter hereof.

 

SECTION 11  CONFLICITS OF LAW.

 

This Restricted Stock Agreement shall be governed by, and construed in accordance with, the laws of the State of Delaware, without regard to conflict of laws principles.

 

IN WITNESS WHEREOF, each of the parties has executed this Restricted Stock Agreement, in the case of the Company by its duly authorized officer, as of the day and year first above written.

 

	  	
PURCHASER:
	  	
PHOTOMEDEX, INC.
	  
	  	  	  	  	  
	  	  	  	  	  
	  	
 /s/ Dennis M. McGrath
	  	
By:  /s/ Richard J. DePiano
	  
	  	
Name: Dennis M. McGrath

 
	  	
Name: Richard J. DePiano

Title: Chairman of the Board of Directors

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00162-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00162-of-00352.parquet"}]]