Document:

exv10w8

 

EXECUTIVE MANAGEMENT SERVICES AGREEMENT

THIS EXECUTIVE MANAGEMENT SERVICES AGREEMENT (the “Agreement”) is made by and
between JCM Partners, LLC, a Delaware limited liability company (“JCM”), and
Computer Management Corporation, a California corporation (“CMC”), and is
effective May 1, 2004 (the “Effective Date”).

In consideration of the promises made herein and on the terms and subject to
the conditions contained herein, JCM and CMC hereby agree as follows:

1.0 Engagement

JCM hereby retains CMC to provide executive management services for JCM
as provided herein (the “Management Services”) for the period commencing
on the Effective Date and continuing through June 30, 2007 (the
Engagement Period), subject to termination as provided under Section 4.0
below.

2.0 Management Services

	2.1	 	CMC will employ Gayle M. Ing (“Ing”) to act as the Chief
Executive Officer, President, Tax Matters Partner and Secretary of
the Company and cause Ing to report directly to JCM’s Board of
Managers (“Board”). Ing will have day-to-day responsibility and
authority for the management and direction of JCM, as well as such
other duties and responsibilities commensurate with the position of
Chief Executive Officer.
	 
	2.2	 	Ing will perform her duties in conformity with the reasonable
and appropriate directions of the Board. Ing will devote her full
working time, attention and energies to the business and affairs of
JCM, provided that Ing may engage in outside activities so long as
such outside activities do not conflict with her obligations as
Chief Executive Officer of JCM or her other positions, if any, with
JCM.
	 
	2.3	 	Ing will, subject to reasonable travel requirements on behalf
of JCM, work at JCM’s offices in Concord, California.

3.0 Compensation

	3.1	 	Management Services Fee — JCM will pay to CMC a fee for the
Management Services (the “Fee”) at the monthly rate of $31,250 per
month, payable semi-monthly on the 15th and last day of each month.
Because this is a fee for independent contractor services and not
wages, JCM will not withhold taxes from the Fee.
	 
	3.2	 	Benefits — JCM will not be responsible for the cost of any
employment benefits provided to Ing.

PAGE 1 OF 5

 

 

	3.3	 	Directors and Officers Insurance and Indemnity — JCM will
maintain at all times a minimum of $10,000,000 of directors and
officers insurance coverage and $10,000,000 of liability insurance
coverage, and will list CMC and Ing as insured parties at the same
coverage level as other JCM officers and executives. A copy of the
applicable insurance policies naming CMC and Ing as insured parties
and listing the then-current coverage levels shall be provided to
CMC. Subject to the exceptions specified in JCM’s standard form of
Indemnification Agreement, JCM will indemnify, defend and hold CMC
and Ing harmless against any claims, costs (including legal fees) or
liabilities respecting CMC’s and Ing’s actions on behalf of JCM.
	 
	3.4	 	Reimbursement — JCM will reimburse CMC for its reasonable
JCM-related expenses.

4.0 Termination

	4.1	 	Termination at Will by Either Party — Either JCM or CMC may
terminate this Agreement, for any reason or for no reason, upon 90
days written notice to the other party.
	 
	4.2	 	Death or Permanent Disability of Ing — This Agreement will
terminate automatically upon the death or permanent disability of
Ing. Ing will be deemed permanently disabled for the purpose of
this Agreement if in the good faith determination of the Board,
based on the opinion of a physician or other medical professional
mutually agree to by CMC and JCM, Ing has become physically or
mentally incapable of performing her duties hereunder for a
continuous period of 120 days, in which event Ing will be deemed
permanently disabled upon the expiration of such 120-day period.
	 
	4.3	 	Compensation upon Termination — In the event that either JCM
or CMC terminates this Agreement for any reason, including without
limitation because of the death or disability of Ing, CMC will be
entitled to receive the Fee provided for in Section 3.1 for the
period of time ending on the date the Agreement terminates, plus
reimbursement for such expenses as CMC may have properly incurred on
behalf of JCM, as provided in Section 3.4 above, prior to the date
the Agreement terminates.

5.0 Assignment and Transfer

	5.1	 	This Agreement may not be assigned by JCM to any purchaser of
all or substantially all of JCM’s business or assets without the
written consent of CMC.
	 
	5.2	 	CMC’s rights and obligations under this Agreement will not be
transferable by CMC by assignment or otherwise, except with the
prior written consent of JCM.

6.0 Confidentiality

	6.1	 	Proprietary Information — CMC agrees that all trade secrets,
confidential or proprietary information with respect to the
activities and businesses of JCM including, without limitation,
personnel information, non-public information regarding the
Company’s investors, business plans, marketing plans, forecasts,
strategies and information which are acquired by CMC, or its agents
or employees, during the course of CMC’s engagement by JCM
(“Proprietary Information”) will be

PAGE 2 OF 5

 

 

kept and held in confidence and trust by CMC, provided that
Proprietary Information will not include any information that (i) is
in the public domain at the time of disclosure, (ii) though
originally Proprietary Information, subsequently enters the public
domain other than by breach of CMC’s obligations hereunder or by
breach of another person’s or entity’s confidentiality obligations,
or (iii) is shown by documentary evidence to have been known by CMC
prior to disclosure to CMC by Company. CMC will not use or disclose
Proprietary Information except as necessary in the normal course of
the business of JCM for its sole and exclusive benefit, unless CMC
is compelled to so disclose under process of law, in which case CMC
will first notify JCM promptly after receipt of a demand to so
disclose. CMC agrees and acknowledges that it will cause all agents
and employees of CMC to comply with the terms of this subsection
6.1.

	6.2	 	Ownership of Inventions — Discoveries, copyrightable
materials, developments, designs, ideas, improvements, inventions,
formulas, processes, techniques, know-how, manuals, software,
written or recorded materials or information, and data (whether or
not patentable or registerable under copyright or similar statutes)
that are made, conceived, or reduced to practice by CMC, or its
agents and employees while performing services for Company for which
CMC is expressly engaged and compensated by the Company
(“Inventions”), shall belong to and shall be the sole property of
Company. CMC represents and warrants that CMC will not claim any
intellectual property rights in any such Inventions. To the extent
that Company uses intellectual property owned by CMC, or its
employees or agents, and such intellectual property is not assigned
to Company, then CMC agrees to grant to Company and agrees to cause
its employees or agents to grant to Company a non-exclusive
transferable, worldwide, royalty-free perpetual license to use all
of CMC’s discoveries, copyrightable materials, developments,
designs, ideas, improvements, inventions, formulas, processes,
techniques, know-how, manuals, software, written or recorded
materials or information, and data (whether or not patentable or
registerable under copyright or similar statues) made, conceived, or
reduced to practice, while performing services for Company
(“Licensed Inventions”) under this Agreement. CMC agrees to take
reasonable and necessary steps to cause its agents and employees to
comply with and adhere to the provisions of this subsection 6.2
	 
	6.3	 	Return of Materials — CMC agrees that, upon the request of
the Company, and in any event upon termination of this Agreement,
CMC shall deliver to Company (or have confirmed in writing to the
Company that the Company already has) the originals of all
memoranda, notes, records, drawings, manuals, papers, computer
software, listings and other documents or materials (or copies of
same if originals are not available): (a) generated or developed by
CMC under this Agreement; or (b) made available to CMC in connection
with providing services to the Company under this Agreement. CMC
agrees to take reasonable and necessary steps to cause its agents
and employees to comply with and adhere to the provisions of this
subsection 6.3
	 
	6.4	 	Survivability — This Section 6.0, and each of its
subsections, shall survive termination of this Agreement.

PAGE 3 OF 5

 

 

7.0 Arbitration

Any dispute hereunder will be submitted to binding arbitration before a
single arbitrator in accordance with the Commercial Dispute Resolution
Rules of the American Arbitration Association (“AAA”), provided that:

	7.1	 	the arbitrator will be instructed and empowered to take
whatever steps to expedite the arbitration as he or she deems
reasonable;
	 
	7.2	 	each party will pay fifty percent (50%) of the costs and fees
of the arbitration, including without limitation the administrative
fees charged by AAA and the fee of the arbitrator;
	 
	7.3	 	the arbitrator’s judgment will be final and binding upon the
parties, except that it may be challenged on the grounds of fraud or
gross misconduct; and
	 
	7.4	 	the arbitration will be held in San Francisco, California.
Judgment upon any award in the arbitration may be entered in any
court of competent jurisdiction. The parties hereby consent to the
jurisdiction of, and proper venue in, the federal and state courts
located in San Francisco, California. The procedures specified in
this Section 7.0 will be the sole and exclusive procedures for the
resolution of disputes and controversies between the parties arising
out of or relating to this Agreement; provided, however, that a
party may seek a preliminary injunction or other provisional
judicial relief if in its judgment such action is necessary to avoid
irreparable damage or to preserve the status quo. Despite such
action, the parties will continue to participate in good faith in
the procedures specified in this Section 7.0.

8.0 Independent Contractor

It is the express intention of the parties that CMC is an independent
contractor and neither it nor Ing are employees of JCM. CMC reserves the
right to determine the method, manner and means by which the services
will be performed. CMC shall not be entitled to employ anyone other than
Ing to perform the Management Services without the express written
consent of JCM. Nor shall CMC be required to employ anyone other than
Ing to perform the Management Services without its express written
consent. CMC is not required to provide the Management Services during a
fixed hourly or daily time.

9.0 Miscellaneous

	9.1	 	Governing Law and Interpretation — This Agreement will be
governed by the substantive laws of the State of California
applicable to contracts entered into and fully performed in such
jurisdiction. The headings and captions of the Sections of this
Agreement are for convenience only and in no way define, limit or
extend the scope or intent of this Agreement or any provision
hereof. This Agreement will be construed as a whole, according to
its fair meaning, and not in favor of or against any party,
regardless of which party may have initially drafted certain
provisions set forth herein.
	 
	9.2	 	Notices — Any notice, request, claim or other communication
required or permitted hereunder will be in writing and will be
deemed to have been duly given if delivered by hand or if sent by
Federal Express to CMC at the address set forth below its signature,
or to JCM at its address as set forth below its signature, or to

PAGE 4 OF 5

 

 

such other address or addresses as either party may have furnished
to the other in writing in accordance herewith.

	9.3	 	Entire Agreement and Amendments — This Agreement constitutes
the final and complete expression of all of the terms of the
understanding and agreement between the parties hereto with respect
to the subject matter hereof, and this Agreement replaces and
supersedes any and all prior or contemporaneous negotiations,
communications, understandings, obligations, commitments, agreements
or contracts, whether written or oral, between the parties
respecting the subject matter hereof. This Agreement may not be
modified, amended, altered or supplemented except by means of the
execution and delivery of a written instrument mutually executed by
both parties.
	 
	9.4	 	Attorneys’ Fees — In the event it becomes necessary for any
party to initiate arbitration or any other proceeding to enforce,
defend or construe such party’s rights or obligations under this
Agreement, the prevailing party in such arbitration or proceeding
will be entitled to its reasonable costs and expenses, including
attorneys’ fees, incurred in connection with such arbitration or
proceeding whether or not brought to final judgment, except as
provided in Section 7.2 of this Agreement. For purposes of the
enforcement of this section, the “prevailing party” will be the
party receiving substantially the benefits or relief sought by that
party. The arbitrator or decision-maker under this Section 9.4
shall determine the prevailing party or parties in any such
arbitration or proceeding.

IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be duly
executed as of the Effective Date.

	 	 	 
	JCM PARTNERS, LLC,

	 	COMPUTER MANAGEMENT CORP.,
	a Delaware limited liability company

	 	a California corporation
	 
	 	 
	By:  /s/
Marvin Helder

	 	By:  /s/ Gayle M. Ing
	
 

	 	
 
	Marvin Helder,

	 	Gayle M. Ing,
	Vice Chairman

	 	Vice President
	2151 Salvio Street, Suite 325

	 	614 Castro Street
	Concord, CA 94522-3000

	 	San Francisco, CA 94114
	Fax: (925) 676-1744

	 	Fax: (415) 431-8758

PAGE 5 OF 5exv10w1

 

EXHIBIT 10.1

MEMORANDUM OF AGREEMENT

     This Agreement, effective March 27, 2004, and expiring January 31, 2007,
represents the joint commitment of Greyhound Lines, Inc. hereinafter referred
to as the “Company,” and Amalgamated Transit Union National Local 1700,
hereinafter referred to as the “Union,” to the continued growth of their
relationship with the goals of superior customer service, stable employment,
and the success of the business. The parties recognize that the Company
continues to face enormous challenges to its long-term success. A major factor
in that success will be providing passengers with cost effective, timely and
efficient service. The business of the Company is customer service and the
Company and the Union agree to direct their efforts so quality customer service
becomes and remains the paramount consideration. The parties believe that the
way to achieve success will be to continue to work together in a pro-active
relationship based upon mutual gains, cooperation, open communications,
flexibility, and informal resolution of issues.

     As part of their efforts to establish and maintain a constructive
relationship in which the Company, the Union, and the represented employees
work together to achieve joint and shared success, the parties will meet
regularly, no less than biannually, separate from the meetings called for
otherwise in this Agreement, to review and resolve any concerns, to plan for
future developments, and to develop mutual solutions. These special meetings
will be reserved for enhancement of the parties’ working relationship, not for
grievances.

	•	 	No contract language, award, adjustment, interpretation letter, practice,
memorandum of understanding, or right
agreed to before the effective date of this Agreement remains in effect unless expressly agreed to herein or
subsequently agreed to and incorporated.

	•	 	Written communications by and between the Company and the Union will be answered promptly in writing.

	•	 	If the Company is sold, there will be included in the documents related
to such sale a requirement that the purchaser
recognize and bargain with the Union. The Company will not be a guarantor or
be held liable for any breach by the
purchaser.

     Whenever “he” or “his” or their related pronouns appear in this
Agreement, they are used for literary purposes and include both females and
males.

GENERAL

ARTICLE G-1. SENIORITY — Full-time and part-time employees, other than
operators, will have their seniority measured from the hour and date of first
work performed in the department to which they are assigned. Should two or
more employees commence service on the same date and hour, the date and hour
of the application for employment will determine the order of their seniority.

     Seniority of operators hired on or after the date of this Agreement will
be determined by the scheduled completion date of the school the operators
participate in, regardless of the date the operators actually complete their
training or commence work. Operators graduating on the same date will have
their seniority determined by a lottery mechanism mutually agreed to by the
Union and Company.

     Seniority and service of employees who were in the employ of Greyhound
prior to the effective date of this Agreement will remain unchanged from
previous collective bargaining agreements.

     Any merger of either operator or mechanic seniority rosters must be
approved by referendum vote and approved by a majority vote of those voting
from the respective operator and mechanic ranks. Referendum votes will be
conducted by the Union.

     Only full-time employees accrue seniority. Separate seniority rosters
will be maintained for part-time and seasonal employees only for the purpose
of establishing seniority among those employees. Part-time operators who
become seasonal operators, and seasonal operators who become part-time
operators will carry their seniority with them. Part-time and seasonal
operators may not exercise their seniority to bid on runs, other than those
designated for part-time and seasonal operators or as hold-downs for the extra
board.

     All employees will be permitted to submit letters of intent to transfer
to any department when new employees are required. Employees who have
submitted a letter of intent will be given preference over outside applicants
provided

1

 

they are qualified either to perform the work or enter the training program
offered to outside applicants.

     Employees electing to transfer will be given seniority in their new
department ahead of outside applicants who start
on the same date, and they will use their original service date for all
benefits tied to years of service.

     Maintenance employees voluntarily transferring from one location to another
will have their bidding seniority start
on the first day of work at the new location. The bidding seniority will be
used for bidding shifts and vacation slots at
that location. They will retain but not accumulate seniority at their departing
location.

ARTICLE G-2. SENIORITY RIGHTS OF UNION REPRESENTATIVES — Employees of the
Company, used in the service of ATU Local 1700, national or state AFL-CIO, the
Amalgamated Transit Union, or trust administration will, while in such
service, retain and accumulate all seniority rights enjoyed by other
employees.

ARTICLE G-3. FURLOUGH AND RECALL — Furlough and recall will be by location.
Furloughed operators may elect to exercise seniority at any other location
where there is a working junior operator or open position.

     Involuntarily furloughed maintenance employees may elect to exercise their
seniority at any other ATU-represented location where there are vacancies. If
no vacancies exist, furloughed maintenance employees may submit a letter of
intent to their preferred location. Maintenance employees who fail to accept
the first available vacancy at the preferred location will be removed from
future consideration for transfer to that location. Maintenance employees who
transfer to another location and later reject a recall to their home location
will forfeit all future recall rights to their home location.

     When forces are reduced, the Company will provide affected employees and
the Union seven days written notice. This notice is not required for employees
displaced as a result of another employee returning from voluntary furlough.
Employees will be furloughed in reverse order of their seniority and retain all
seniority rights and privileges. The Company will solicit voluntary furloughs
prior to any involuntary reduction-in-force. The Company will notify
employees by postings at locations where opportunities exist for employees to
take voluntary furlough. Employees requesting voluntary furlough must submit
their request within seven days of the posting according to the instructions on
the posting. Voluntary furloughs will be awarded by seniority within each
location. Employees awarded voluntary furlough have the following options:

	•	 	At the time of the furlough, specify a return date which is 30 days or
more after the beginning of the furlough. The
employee will be expected to return to work on this date unless the employee requests an extension or there are no
junior employees at that location to displace.

	•	 	Leave the return date open in which case normal recall procedures will apply.

     Employees on voluntary furlough may return on or after 30 days after the
beginning of the furlough. Prior to their return, operators must first submit
a written notice to return to work to the Driver Planning Department in Dallas
15 days prior to the date an operator wishes to return to work. Maintenance
employees must submit a written request to return to work to their garage
manager 15 days prior to the date they wish to return to work.

     Furloughed employees retain their seniority except mechanics hired on or
after January 1, 1984, will be removed from the seniority roster after one
year of furlough. Furloughed employees must maintain their current mailing
address on record with the Company. The Company will recall employees in
seniority order by certified or registered United States mail, return receipt
requested or by telegram. A copy of such recall notice will be furnished to
the Local Union. Employees receiving a notice of recall will immediately
acknowledge receipt of the same by certified or registered United States mail,
return receipt requested or by telegram, and will report for work on the
seventh day of the recall notice, unless a different date is agreed to by the
Company and employee.

     Employees having other employment, who are recalled for a period of work
less than 45 days, may reject the offer without loss of seniority if
sufficient employees are available to meet the Company recall needs.
Furloughed employees failing to comply with these provisions will forfeit
seniority rights and will no longer be considered employees of the Company.

ARTICLE G-4. LEAVES OF ABSENCE

(a) Employees on Extended Sick Leave Employees must provide medical
documentation concerning their condition every 90 days. Failure to comply may
result in termination of employment. The Company will notify employees in
writing that their failure to provide the required medical documentation will
result in their discharge. Employees on extended sick leave will cease
accruing seniority after two years from the date their leave began. Such
employees, upon

2

 

return to active duty for a period of 60 consecutive days, will commence
accruing seniority retroactive to the date of their return from extended sick
leave. Employees hired after 1983 that have been on extended sick leave for
five years or longer will be removed from seniority roster. The Company will
advise such employees in writing that their failure to return to work will
result in their discharge.

(b) Family Leave The Company agrees to adhere to the Family and Medical Leave
Act of 1993 (FMLA) and its
regulations for all eligible employees. Eligible employees include employees at
locations with less than 50 employees.

(c) Unpaid Leave of Absence Employees may be granted an unpaid leave of absence
of up to 90 days without loss of
seniority. Longer leaves may be granted if they are mutually agreed to by the
Company and the Union. Employees
requesting leaves under this provision must submit a written request to their
supervisor and will specify that the request
for leave is under this provision.

(d) Union Officers and Committee Members Employees who are full-time officers
of Local Union 1700, national or
state AFL-CIO, the Amalgamated Transit Union or the plan administrator of a
Greyhound/Local 1700 trust will be
granted the necessary leave of absence to permit the performance of their
duties and will continue to accumulate
seniority during such leave. Employees who are full-time officers of Local
Union 1700 or the plan administrator of a
Greyhound/Local 1700 trust will continue to be covered by the Greyhound-ATU
Health and Welfare Trust plan on the
same terms as active employees. Co-payments for such health benefits will be
received by the Greyhound-ATU Health
and Welfare Trust by the 10th day of each month of such coverage.

     Employees who are on official Union business will be granted the
necessary leaves of absence to permit the performance of their duties,
provided reasonable notice, in writing, is given and the number of granted
leaves does not interfere with the business of the Company. Such employees
will suffer no loss of rights or benefits enjoyed by other employees by reason
of their absence from duty. The Union agrees its members will not abuse the
rights granted under this provision.

(e) Work Related Disability Employees on work-related disability may be
required to be examined by a physician, at
the request of and paid for by the Company, to substantiate such disability.
Failure of employees to make themselves
available for such examination, or failure to report for duty immediately after
an examination which determines that an
employee is fit for duty, may result in discipline up to and including
termination.

     The Company will determine the availability of light duty work. If more
than one light duty job is available, seniority will prevail. An employee who
fails to report to light duty will be terminated.

     Employees on workers’ compensation who are not fit for regular duty but
are fit for light duty must report for such duty in any position or department
in which the Company offers it in the same commuting area, or, for operators,
at the domicile closest to their home address, without loss of seniority. If
work is not available for operators at the domicile closest to their home
address, operators may choose to work at another location where light duty
work is available, if agreed by the Company and the Union.

     Mechanics who are fit to work on light duty will work their regular shift
at their home maintenance location. However, the Company may assign a light
duty mechanic to an alternate shift if the light duty mechanic is the only
mechanic assigned to his regular shift.

     Employees returning to duty status after leave of 30 days or longer may
be required to pass a physical examination and drug test at Company expense.

  ARTICLE G-5. PROBATIONARY PERIOD — Employees other than operators will be
given a probationary period of 90 days from the date of employment. For
operators, the 90-day probationary period will commence with the date of
placement on the extraboard or the day of assignment to a regular run,
whichever comes first. Operators will not be allowed to bid to another
location during their probationary period. Unless probationary employees are
notified to the contrary within the 90-day period, it will be understood that
the application for employment is approved, unless it later develops that
false information materially affecting the acceptance of the application for
employment was given, in which event such employee will be subject to
dismissal.

     Except as stated below, the grievance procedure is applicable to
probationary employees.

3

 

     The grievance procedure is not applicable to the dismissal of employees
during the 90-day probationary period or the dismissal of employees for
providing false information on the application for employment except that the
grievance procedure will be applicable to contest whether the information on
the application was false or whether the reason given for the discharge was
pretextual. The probationary period for any employee may be extended by mutual
agreement between the Company and the Union.

ARTICLE G-6. MANAGEMENT OF OPERATIONS — It is not the intent of this Agreement
to include matters of management herein, and the Company reserves to itself the
management, conduct and control of the operations of its business, including:

	•	 	The determination of the type, kind, make and size of equipment and when,
how and where such equipment will be used;

	•	 	The number and qualifications of employees employed by it and their standards of conduct;

	•	 	The route and run structure, including additions, eliminations and changes to existing routes and runs;

	•	 	The assignment of work to the extent not specified herein;

	•	 	Except as otherwise limited under this Agreement, the use of leased operations, joint ventures, independent
contractors and franchised operations;

	•	 	The prescribing of reasonable rules, instructions and regulations for the safe, proper and effective conduct of its
business in a competitive environment not inconsistent with the terms of
this Agreement.

     The term “reasonable” will have its commonly understood meaning as any
rule that is reasonably related to a legitimate objective of management and
not the meaning ascribed to it in any arbitration prior to this Agreement.

ARTICLE G-7. DISCIPLINE — Employees will neither be disciplined nor will
entries be made against their records without just cause. Use of the term
“just cause” in lieu of “sufficient cause” herein is not intended to and will
not be interpreted to raise the standard for discipline historically applied
under Article G-7. Just cause includes violation of Company rules, regulations
and instructions not inconsistent with this Agreement. When discipline is
issued, employees will be given written notice specifying the charges and
penalty by hand delivery with signed acknowledgement of receipt or U.S. Mail
postmarked within contractual time limits. Notification will be furnished to
the appropriate assistant business agent and the designated shop steward of
the Union.

     When disciplining employees, complaints, discipline or records which have
been brought to the attention of the Company 24 months prior to the incident
will not be used to determine guilt or penalty. This provision will not apply
to safety-related activities, including speeding violations, chargeable
accidents (only preventable accidents will be charged against a driver’s
record), damage to property, personal injury, use of alcohol or illegal
substances.

     Customer complaints are a serious matter and operators are expected to
treat customers with courtesy so as to avoid complaints. Complaints will be
discussed with operators as soon as practicable so corrective action can be
taken. A complaint made in writing or in person identifying the customer,
operator, date of the incident, and details of the conduct complained of may
be the basis for discipline up to and including discharge. The complaining
customer may appear at the third step hearing either telephonically or in
person. If the complainant fails to testify at a third step hearing, the
complainant is prohibited from appearing at arbitration. If the complainant
appears at the third step hearing, the Union agrees to allow the complainant
to testify at the arbitration hearing by telephone, live, or in the form of a
pre-arbitration deposition. The same procedures regarding appearing at step
three hearings and arbitrations will apply to complaining parties other than
customers with the exception of supervisory personnel and regulatory
authorities acting in their official capacity.

          Except in the case of DOT log violations, discipline must be taken within
20 days after the Company’s knowledge of the incident or in cases of dishonesty
or substance abuse, within 20 days after completion of the investigation. In
the case of DOT log violations, the Company must issue discipline within 40
days from receipt of such logs at the operator’s home domicile. Discipline
based on mystery rider reports or statements from commission agents must be
issued within 30 days of the incident, not the date it was reported to the
Company.

ARTICLE G-8. GRIEVANCE PROCEDURE

(a) Grievance All differences, disputes, suspensions, and discipline cases
hereinafter collectively referred to as “grievances” between the parties
arising out of this Agreement will be handled in the manner set forth below.
All days

4

 

referred to within this provision will mean calendar days.

     Step 1. Employees covered by this Agreement who have a complaint under
this Agreement will, when possible, discuss the complaint with their
supervisor within 15 days from the date of the occurrence in an effort to
resolve the complaint without resort to the formal grievance procedure. This
Step 1 procedure will not extend the Step 2 time limits to file a written
grievance. Final disposition at this step is non-precedent setting and may not
be relied upon by the Union or the Company in any arbitration hearing for any
purpose.

     Step 2. Failing resolution at Step 1, an employee or Union grievance may
be presented in writing by the employee, union shop steward, or ABA to the
employee’s supervisor which must be within 30 days from the date of the
occurrence of the incident upon which the grievance is based or within 30 days
from the date a pay claim denial is received. Discharge grievances must be
initially filed at Step 2.

     Within 15 days after receipt of the written grievance, the employee’s
supervisor must respond with a written decision on the grievance to the
appropriate vice president/assistant business agent. The Company will also
forward a copy of its written decision to the grievant and the appropriate
steward. Final disposition at this step is non-precedent setting and may not be
relied upon by the Union or the Company in any arbitration hearing for any
purpose.

     Step 3. Failing satisfactory disposition of such grievance at Step 2,
within 15 days of the receipt of the supervisor’s written response, the
grievance may be appealed in writing by the union president or his designee to
the appropriately designated Company representative. Within 15 days after the
receipt of this appeal, a Step 3 conference will be held at the home location
of the employee, unless otherwise agreed between the parties. Within 15 days of
the conference, the Company representative must respond with a written decision
to the appropriate vice president/assistant business agent. The Company will
also forward a copy of its written decision to the grievant and the appropriate
steward. Final disposition at this step is non-precedent setting and may not be
relied upon by the Union or the Company in any arbitration hearing for any
purpose.

	(b)	 	Arbitration

1. In the event a grievance is not resolved at Step 3, the grievance may be
referred in writing to arbitration by the
union president or his designee within 45 days after the Union’s next
regularly scheduled executive board meeting
not to exceed 135 days from the date the Step 3 decision is rendered. The
issue to be arbitrated must be clearly
stated.

2. All contract interpretation and discipline grievances not involving
discharge will be handled under an
expedited procedure as follows:

a. Expedited arbitration sessions will be conducted twice a year in each
of the Union’s six regions in
mutually agreed upon cities. Additional arbitration sessions may be held
by mutual agreement of the parties.

All pending grievances that have been referred to arbitration in the
respective union regions will be heard at the
next expedited arbitration session.

b. Three permanent panels consisting of five arbitrators mutually agreed
to by the parties will be established
for the Eastern Area (Union Regions 1 and 2), the Central Area (Union
Regions 3 and 4) and the Western
Region (Union Regions 5 and 6). Subject to their availability,
arbitrators will be assigned in the order of their
selection through an agreed upon lottery process. In the event that an
arbitrator is not available within the
calendar month of the time he is selected to serve, the grievance will be
handled by the next available arbitrator
in the order assigned through the lottery process. Each arbitrator will
preside over a full session. Either party
may exercise its right to remove one arbitrator from each of the three
permanent panels on March 1, 2005, and
again on March 1, 2006. Additionally, the Parties may mutually agree to
remove an arbitrator from a
permanent panel at any time. The Parties will agree to a replacement for
each removed arbitrator within 30
calendar days of the arbitrator’s removal.

c. The arbitrator will issue a letter award within seven days of the
hearing.

d. Either party may arrange for a transcript to be prepared of the
arbitration at its own expense. Any such
transcript may not be used in any grievance or arbitration procedure under
this Agreement.

e. No post-hearing briefs will be allowed.

f. Telephonic witnesses will be allowed. Either party may have a
representative present with the telephonic
witness during his or her testimony.

g. All awards issued through this expedited arbitration procedure will be
non-precedential.

3. Cases will be moved from the expedited arbitration procedure to the
formal arbitration procedure described
below under the following conditions:

5

 

a. Discipline cases by mutual agreement of the parties.

b. Discipline cases involving a suspension of six days or more at the
request of either party.

c. Contract interpretation cases upon request by either party.

4. Except as provided below, all discharge grievance arbitrations will be
administered by the American
Arbitration Association (AAA) and conducted under its labor arbitration
rules. All arbitrators will be selected
from those admitted to the National Academy of Arbitrators.

a. A discharge grievance may be handled through the expedited
arbitration procedure set forth above by mutual agreement of the parties,

5. Arbitration awards are final and binding on the parties.

6. The compensation of the arbitrator and any administrative costs will be
shared equally. Each party will pay
its own expenses.

(c) Grievance Pay Claims A disputed pay claim, paid by grievance settlement,
will be paid in the employee’s next available regular paycheck. The Company
will notify the Union monthly of all paid grievance claims.

ARTICLE G-9. CHECK-OFF — The Company agrees to check-off and remit to the
financial secretary or president of the Union, at least every two weeks, all
dues, initiation fees, regular assessments and authorized voluntary
contributions from the pay of each employee who is a member, fee payer or
financial core member who has authorized the Company to make such deductions.
Request for the check off of assessments must be signed by either the financial
secretary or president of the Union.

ARTICLE G-10. BULLETIN BOARD — The Union will be allocated bulletin boards on
Company property where notices pertaining to meetings and other union
business, social events, and other proper matters are permitted. Such notices
must be on Union letterhead, dated, and signed by an accredited Union
representative. Notices not complying may be removed.

     Copies of all bulletins relating to employees covered by this Agreement
will be promptly furnished to a properly accredited officer of the Union.

ARTICLE G-11. DISABLED AND FURLOUGHED — When new employees are required by the
Company, disabled employees and employees who have been furloughed due to lack
of work and who are applicants for employment will be given preference in
employment over new outside applicants if qualified to perform the available
work. The Company has no obligation to notify such employees of any such
vacancies.

ARTICLE G-12. BAIL BONDS — Employees incarcerated because of their actions
while engaged in the performance of their assigned duties with the Company,
and acting within the scope of such duties, will promptly be furnished bond by
the Company, when such is required.

     Employees will have the legal assistance of the Company in any legal
proceedings brought against them and the Company, provided the employees acted
within the scope and course of their employment. Additionally, the Company
will provide legal assistance to employees who are sued as a result of acting
within the scope and course of employment.

ARTICLE G-13. CONTRAVENTION OF LAWS — It is understood and agreed that the
provisions of this Agreement are subordinate to any present or subsequent
federal, state, or municipal law or regulation, including family leave and
military leave, to the extent that any portion hereof is in conflict
therewith, and nothing herein will require the Company to do anything
inconsistent with the orders or regulations of any competent government
authority having jurisdiction to issue the same. Because of the parties’ joint
commitment to safety, nothing in this Agreement or in the parties’ practices
will preclude the Company from complying with findings and recommendations of
any governmental safety agency with 14 days prior notice to the Union. Upon
request, the parties will meet and confer on such findings and
recommendations. Except in the case of emergency, the Company will make no
changes pursuant to such findings and recommendations before 14 days, but in
no event is the Company precluded from making any such changes after having
given the Union 14 days notice if the Company was available to meet and confer
during that period.

ARTICLE G-14. NO STRIKE/LOCKOUT — The parties having provided for the final
disposition of all disputes, differences and grievances which may arise
between them under this Agreement, the Union agrees that it will not, nor

6

 

will the employees, members of the Union, participate in any strike, slow
down, work stoppage, or interruption of service for any purpose or reason
whatsoever, nor will there be any interference with the free right of
employees or passengers to enter or leave the Company’s property unmolested.
The Company agrees that it will not lock out its employees under any
circumstances during the life of this Agreement. This no strike/no lockout
commitment remains in full force and effect for the entire term of this
Agreement and the parties waive their rights to engage in such actions to
support any mid-term bargaining position.

     If another union recognized by the Company establishes a legal picket
line at a Company terminal, garage, or other facility, the employees covered
by this Agreement are permitted to honor such a legal picket line only at the
facility where work of the other union local is or was being performed during
a regular shift.

     If a union representing employees at a terminal operated by another
company or by a commission agent establishes a legal picket line at a
terminal, employees covered by this Agreement will be permitted to honor such
a legal picket line, but only at the terminal where work of the other union
local is or was being performed during a regular shift. In all such instances,
operators involved may be required to drive their bus up to the picket line.

     The exceptions to the no strike clause set forth above will be strictly
construed.

ARTICLE G-15. RECOGNITION OF THE UNION — The Company recognizes the Union as
the duly designated, sole and exclusive collective bargaining representative
for its operators and for maintenance employees not otherwise represented by
the International Association of Machinists and Aerospace Workers. Supervisory
employees with the power to hire or fire or with the power effectively to
recommend hiring or firing, managerial employees and confidential secretaries
are excluded from this provision. It is expressly agreed that this Agreement
does not cover terminals which may be operated by the Company or the service
islands that may be associated with some terminals.

ARTICLE G-16. COURT INQUEST AND INVESTIGATION — Employees who witness but are
not involved in an accident while on duty and, as a result, are required to
make a report of the accident to the Company and who are later required to
attend court or an inquest by subpoena, or employees who at the direction of
the Company are required to attend court, an inquest or an investigation
called by the Company attorney, or employees who are subpoenaed and are
required to attend court or an inquest as a result of an action arising out of
carrying out the specific orders of the Company, will be paid eight hours per
day at their regular rate. Regular operators will receive the greater of eight
hours or their missed regular run pay. The hours compensated will not be less
than the amount of actual time lost plus reimbursement for any expenses
incurred while making such appearance. Employees will not be required to
report for duty for any portion of the day when the appearance occurs during
their shift. Employees not able to obtain reasonable rest before the start of
their shift will not be required to report for work on such shift. Operators
returning from making an appearance on a date when their regular run is out of
town may position themselves to pick up their run at the layover point, if
possible. Operators who elect not to position themselves will not receive
guaranteed earnings for that day.

     When such service is required of employees on their regular assigned days
off, or on vacation, employees will be paid at one and one half times their
regular rate for hours so used with a minimum of eight hours.

     The hourly rate for operators for this provision is their driving rate.

ARTICLE G-17. CREDIT UNION — The Company agrees to permit biweekly credit union
deductions from payroll for one certified credit union for each employee.
Signed authorizations for deductions are to be in the same amount each payroll
period, and requested changes in such amount for the certified credit union
will be made only at the beginning of a calendar month. The Company has no
obligation to establish a credit union.

ARTICLE G-18. SAFETY

(a) Employees Injured on Duty Employees injured on the job will be paid in
full for the day of the accident provided the attending physician advises an
employee not to return to work for the balance of the day. If able to work,
employees must return to their duties. Employees failing to do so will not be
paid for the hours not worked. -Employees requiring further medical treatment
as a direct result of said accident will not lose time while receiving
treatment, provided the treatment requires only a nominal amount of time.
Maintenance employees requiring further treatment during working hours will be
reimbursed for the cost of Company approved transportation to and from the
garage plus time lost for treatments.

7

 

(b) Medical Examination Physical examinations required as a condition of
continued employment must be performed
by a physician selected by the Company and paid for in full by the Company,
except as provided for in the appropriate
leave of absence clauses. Initial examinations will be paid by the applicant
for employment and reimbursed after the
employee commences to accrue seniority.

     When the Company requires employees to take examinations not required by
the rules or regulations of the Department of Transportation or other
regulatory body, employees affected will be paid for their time. The
provisions of this paragraph do not apply to employees who have physical
disqualifications determined in accordance with the first paragraph of this
section, conditions requiring physician-required medical re-checks, absences
covered by workers’ compensation, long-term illnesses, or disabilities.

     Employees who refuse to submit to a medical examination when instructed
to do so by the Company are subject to termination. Employees who fail medical
examinations by a competent medical authority approved by the Company may be
disqualified for service. The disqualified employee or the Union may within 45
days after such examination, provide the Company with the written opinion of a
physician selected and paid for by the employee. In the event the physician
selected by the employee disagrees with the opinion rendered by the
Company-approved physician, the Company and Union may meet within 45 days and
select a third physician acceptable to both parties. This same procedure will
be applied to employees returning from sick leave who fail to pass their
return-to-work or DOT physical. The third physician will examine the employee
and render an opinion binding on the parties. If the third physician
determines the employee suffers a condition correctable by treatment which is
not otherwise disqualifying under the DOT regulations, the employee may
continue working. If able to work, the employee will be permitted to return to
work upon certification of fitness by the third physician. Expenses of the
third physician will be borne equally by the Company and the employee.

     Employees separated from service because of physical disability will be
returned to their proper places if and when the cause of disability is
removed.

     Employees required by the Company to travel to take a medical exam will be
reimbursed for their travel expenses.

(c) Safe Maintenance of Equipment and Machinery The Company agrees to maintain
all equipment and machinery in
a safe and sanitary condition at all times.

     Supervisors will not require operators to operate a motor coach that
fails to comply with FMCSR 392.7 (Equipment, Inspection, and Use) and FMCSR
392.8 (Emergency Equipment, Inspection, and Use). The Company is responsible
for any fines, tickets or court costs, in relation to faulty equipment that
the Company has directed to be utilized.

     Employees who intentionally and negligently damage or cause damage or
disablement to any safety device may be terminated.

     The Company may provide awards for safety and service.

ARTICLE G-19. WORK PROHIBITION, SUPERVISORY EMPLOYEES — Supervisory employees
are not permitted to do any work performed by employees covered by this
Agreement, with the exception that supervisory employees may perform such
work, up to a maximum of 16 hours per month, for the purpose of understanding
the dynamics of the work or where there are no employees available and
customer needs require that the work be performed. In the latter case only, if
employees were available and fit to perform the work, they will be paid as if
they had performed the work.

ARTICLE G-20. SUPERVISORY SENIORITY — Represented employees who accept
supervisory positions with the Company retain but do not accumulate seniority
during the first 12 months in such positions, and suffer no loss of seniority
if they return to the bargaining unit within that time.

     Employees in supervisory positions who desire to return to contract
positions must do so under the provisions applicable to those employees on
indefinite leave with a 15-day notice to the Company and the Union. Employees
may only exercise their right to retain their bargaining unit seniority when
accepting a supervisory position on one occasion. Employees who choose to
return to supervision a second time immediately forfeit their bargaining unit
seniority.

          Supervisors who accepted supervisory positions prior to the effective date
of this Agreement will be allowed to continue to retain their seniority during
the first 24 months in their position.

ARTICLE G-21. EMBLEMS — Union members are permitted to wear the emblem of the
Union. Emblems will be of a size and shape so as not to detract from the
uniform.

     An appropriate decal jointly agreed upon by the Company and the Union
which integrates the separate emblems of the Company and the Union may be
placed on all Company-owned coaches operated by members of the Union, and on

8

 

all coaches operated by members of the Union that are leased by the Company on
a lease of 120 days or more. The decal will be placed where designated by the
Company and in full view of the traveling public. The Company and the Union
will jointly share the cost of developing such decals.

ARTICLE G-22. NON-DISCRIMINATION — There will be no discrimination in hiring,
promotion, or other aspects of employment because of race, creed, color,
religion, national origin, age, sex, or disability. No employee will be
discriminated against because of affiliation with or activity in the Union.

ARTICLE G-23. PART-TIME/SEASONAL DEFINED — Except as provided in Article B-3,
part-time and seasonal employees, as defined below, will not receive the
benefits covered in this Agreement. Part-time employees and seasonal operators
are hired to work less than 1,500 paid hours per calendar year. Seasonal
operators are operators hired to work only during the summer season (May 15 -
September 15) and/or for the following specific peak periods: Memorial Day,
Thanksgiving, Christmas and Easter. Part-time and seasonal operators may not
exceed 10 percent of the full-time operator workforce.

ARTICLE G-24. REIMBURSEMENT — All moneys spent by employees, which are
chargeable to the Company, will be reimbursed immediately.

ARTICLE G-25. NOTICE OF REPRESENTATIVES — The Union agrees to notify the
Company in writing of the names and addresses of its respective, duly
accredited representatives and committees immediately upon their election or
appointment to such office.

ARTICLE G-26. NOTIFICATION OF PERSONNEL ACTIONS — The Company agrees to
promptly furnish the properly accredited officer of the Union with a copy of
forms prepared covering the employment, classification, resignation, transfer
and leaves of absence of each employee who is covered by the terms of this
Agreement.

ARTICLE G-27. PROMOTIONS — Equal consideration will be given to employees when
making promotions.

ARTICLE G-28. UNION SECURITY — To the extent permitted by law, all full-time,
part-time and seasonal employees covered by any portion of this Agreement must
become and remain members of the Union not later than the 31st day following
completion of their probationary period, or the date of this Agreement, as a
condition of their continued employment with the Company. Initiation fees for
part-time and seasonal employees will not be more than $50 and monthly dues
will be one and one-half times their hourly rate of pay. Seasonal employees
will be offered withdrawal cards during offseasons, which will entitle them to
discontinue paying monthly dues for up to 12 consecutive months so long as
they do not work for the Company during off-season time and to commence
working for the Company thereafter without paying back dues for that period or
a new initiation fee.

ARTICLE G-29. SUBCONTRACTING — The Company reserves the right to subcontract
no more than five percent of its mileage in any one year and the right to
subcontract for service on routes abandoned for more than one year as of the
date of this Agreement. The Company agrees that no more than 10 percent of its
mileage, measured from the annual mileage driven in 1997, will be
subcontracted during the term of this Agreement. Notwithstanding any other
language in this Agreement, upon notice to the Union, the Company has the
right to subcontract service work, parts room work, and truck driving work.

BENEFITS

ARTICLE B-1. BEREAVEMENT LEAVE — In the event of a death in the immediate
family the employee will be entitled to one three-day paid bereavement leave
in each calendar year to attend the funeral. Employees will receive their
leave rate (as defined in Leave Rate) for each day of leave except regular
operators will receive missed earnings. Employee’s immediate family is defined
as their spouse, son, daughter, sibling, parent, current father-in-law, and
current mother-in-law. Employees who fail to attend the funeral will be
ineligible for benefits.

9

 

ARTICLE B-2. EMPLOYEE ASSISTANCE PROGRAM — The Company will provide an
employee assistance program to employees covered by this Agreement on the same
basis as other employees of the Company.

ARTICLE B-3. 401(K) PLAN — With the plan year beginning January 1, 1999, the
Company will make a contribution
of 50 cents, in cash or stock, for each dollar contributed of the first five
percent of an eligible employee’s pay. Prior to the Company selecting cash or
stock, it agrees to meet and confer with the Union. Additional matching
contributions of Company stock may be made at the discretion of the Company’s
Board of Directors. Company matching contributions will be made no later than
June 30th of the year following the year for which contributions are being
matched; the stock contributed will be valued as of the date the matching
contribution is made. Employees who work 1,000 hours or more in a calendar year
are eligible for Company matching contributions in the 401(k) Plan. Company
matching contributions vest after an employee has completed three years of
actual service with the Company. The Company will bear the administrative costs
associated with the 401(k) Plan, retain the right to choose the plan
administrator and exercise all shareholder rights with respect to such stock.
The Company retains the right to distribute the portion of a participant’s
account held in the Company stock fund in the form of stock.

ARTICLE B-4. HEALTH AND WELFARE — All full-time employees who have completed
their probationary period and meet the eligibility criteria set forth by the
Trustees of the Greyhound Lines, mc./Amalgamated Transit Union Health and
Welfare Trust (“the Plan”) shall be eligible for benefits provided by the
Plan. Health benefits provided by the Plan will be funded by monthly
contributions from the Company and participants.

(a) Maximum Monthly Contributions. Effective July 1, 2004, the Company and each
participating employee shall
be required to make the monthly contributions at the levels set forth in
Exhibit 1 attached hereto depending upon the
coverage each participant selects. The Company’s contributions shall be on a
per participant basis. Exhibit 1 sets forth
the Company’s Maximum Monthly Contributions for the life of this Agreement and
the employee contributions for the
period commencing July I, 2004 and ending December 31, 2004. Employee
participant contribution levels after
December 31,2004, shall be determined in accordance with Section (c) below.

(b) Maximum Total Contribution. The Company’s Maximum Total Contribution to
the Plan shall not exceed
$41,594,036 over the life of this Agreement.

(c) Level of Benefits and Contributions. The levels of contributions that are
set forth in Exhibit 1 have been
calculated to result in a Company contribution percentage of 64 percent based
on reasonable actuarial assumptions
regarding the range of coverage elections that may be selected by participants
and the premiums that are likely to be
collected as a result. Prior to the end of each calendar year during which this
Agreement is in effect, the Trustees of the
Plan shall determine the levels of employee premiums for the various coverage
options and the required Company
contributions for the forthcoming calendar year, based upon reasonable
actuarial assumptions and the Plan’s experience
during the prior calendar year. In determining the contributions, the
Trustees shall preserve the 64 percent Company
contribution; provided, however, that the Company’s Maximum Monthly
Contribution set forth in Exhibit 1 shall not be
exceeded, and provided further that in no event may the Company’s Maximum Total
Contribution set forth in Section
(b) of this Article B-4 be exceeded during the life of this Agreement. In the
event the Trustees of the Plan determine
that premiums may be lowered to fund the Plan benefits, both the employees and
the Company shall share in the
lowered premiums in a manner that maintains the 64 percent Company
contribution. The level of benefits set forth in
Exhibit 1 shall remain constant through December 31, 2004, and the Trustees
will use their best efforts to maintain this
level of benefits during the life of this Agreement, In the event the Plan’s
actuaries determine that the Company’s
Maximum Monthly Contributions provided for in Exhibit 1 are insufficient to
fund the level of benefits provided under
the Plan after December 31, 2004, the Trustees shall either (i) reduce the
level of benefits, or (ii) increase the employee
contributions, to maintain the financial integrity of the Plan. Notwithstanding
any other provision in this Agreement,
the Trustees shall have no authority to increase the Company’s Maximum Total
Contribution to the Plan set forth in
Section (b) of this Article B-4.

(d) Waiver of Health Care Coverage. Employees who elect to opt out of health
care coverage provided for under
this Article B-4 shall be entitled to an annual lump sum payment of $500
payable within forty-five (45) days following
the effective date of their Waiver of Coverage. An employee’s Waiver of
Coverage shall be effective for a period of one
year, or the remainder of the applicable Plan year, whichever is shorter.
Employees hired during a Plan year may elect
to waive coverage once they become eligible for benefits and receive a pro rata
share of the $500 Waiver of Coverage

10

 

payment based on the number of months remaining in the Plan year; provided,
however, that the full $500 amount will be paid to an employee who waives
coverage for calendar year 2004 if the employee was a full-time employee who
had completed his or her probationary period by January 1, 2004. An employee
who executes a Waiver of Coverage for a Plan year shall only be permitted to
revoke the Waiver prior to the end of the Plan year if (i) there is a change of
circumstances or status involving loss of other health plan coverage, a change
in marital status, a change in the number of dependents, a change in employment
status or certain other factors that would meet the Internal Revenue Service
criteria for permissible mid-year election changes in a cafeteria plan; and
(ii) the employee first repays a pro rate share of the $500 Waiver of Coverage
payment based on the number of months remaining in the Plan year.

(e) Dental, Vision, and Other Supplemental Coverage. Full-time, non
probationary employees may elect to receive dental coverage, vision coverage,
and/or any other supplemental group insurance or fringe benefits provided
through the Plan. The cost of any such dental coverage, supplemental group
insurance, or fringe benefit shall be borne entirely by the participant
electing the coverage.

(f) COBRA Coverage. Any participant receiving benefits pursuant to
COBRA shall pay 102 percent of the total cost of such coverage. The Company
shall not be required to pay any portion of a participant’s COBRA coverage.
Further, participants shall pay 100 percent of the cost of any Direct Pay or
Reimbursement Account benefits, and the Company shall not be required to pay
for any portion of such benefits.

(g) Transition. Notwithstanding the foregoing, for the period ending June 30,
2004, the Company will make Plan contributions pursuant to Article B-4 of the
1998 Agreement.

ARTICLE B-5. HOLIDAY PAY — There will be eight recognized holidays: New Year’s
Day, Martin Luther King’s Day, Friday before Easter, Memorial Day, Fourth of
July, Labor Day, Thanksgiving and Christmas. Employees’ holiday pay will be at
their leave rate. In order to receive holiday pay, employees must
work a full
shift on the last scheduled work day prior to the holiday; the holiday if they
are scheduled to work the holiday; and the first scheduled work day
immediately after the holiday, unless an active employee has been properly
excused for leave without pay on such day(s). Approval of such leave must be
requested in writing and, if granted, granted in writing.

     Holiday pay is intended to ensure that all employees, whether they work
on the holiday or not, receive an additional day’s pay for each holiday,
provided all such employees who are not available as required by this
Agreement will not receive holiday pay.

     Employees must have a minimum of 90 days service to qualify for holiday pay.

ARTICLE B-6. JURY DUTY — The Company will pay operators on jury duty the
difference between missed earnings for regular operators or the leave rate (as
defined in Leave Rate) for extraboard operators and the daily amount paid for
such jury duty. Operators returning from jury duty on a date when their
regular run is out of town may position themselves to pick up their run at the
layover point if possible. However, if they elect not to position themselves,
earnings guarantee will not apply for that day.

     Maintenance employees on jury duty will be allowed the difference between
their leave rate and the daily amount paid for such jury duty.

ARTICLE B-7. LEAVE RATE — Unless otherwise specified, the leave rate for
operators will be calculated as 1/6 of 1/52 of their earnings during the
previous 12 calendar months. Any operator off for 30 consecutive days or more
without pay because of illness, workers’ compensation injury, furlough, or any
new operator with less than one year of service will have their leave rate
calculated on a prorated basis, based only on actual weeks worked in the
previous 12 calendar months.

     Missed earnings will mean the amount of earnings that an employee would
have normally earned on a regularly scheduled work day. Employees are not
entitled to missed earnings for any scheduled day off.

     The leave rate for maintenance employees is calculated as eight hours’ pay
at the applicable hourly rate.

ARTICLE B-8. PASSES — Employees passing their probationary period will be
granted an annual pass to be used in accordance with Company policy.

11

 

ARTICLE B-9. RETIREMENT PLAN — The Company and the Union agree to continue the
existing Greyhound Lines, Inc./Amalgamated Transit Union National Local 1700
Retirement and Disability Plan hereinafter referred to as “Plan” subject to the
following modifications: (1) In the event the Plan actuary notifies the Plan
Trustees on or before November 1 of any plan year that a contribution to the
Plan is likely to be required for the succeeding plan year (e.g., by reason of
an expected change in actuarial assumptions or methods or otherwise)
hereinafter referred to as the “Notice,” the parties will meet to negotiate a
method of avoiding such required contribution, but upon the failure of the
parties on or before the December 8 following receipt of the Notice to agree
upon a method to avoid such contribution, all future benefit accruals under the
Plan will be frozen effective December 31 of the year of the Notice; (2) if,
after the Plan has been frozen, any subsequent annual actuarial valuation by me
Plan’s actuary reports that the market value of the assets of the Plan exceed
115 percent of the actuarial present value of accumulated plan benefits, the
parties agree to negotiate retroactive benefit increase(s), in accordance with
the pre-freeze benefit formulas, for those participants whose future benefit
accruals were frozen as a result of (1) above, but in no event will such
benefit increase(s) cause the market value of the assets of the Plan to be less
than 115 percent of the actuarial present value of accumulated Plan benefits,
determined after the benefit increase(s) described above.

ARTICLE B-10. RETIREMENT (EARLY) LEAVE OF ABSENCE (RLOA) — Operators in the
Greyhound Lines, Inc./Amalgamated Transit Union National Local 1700 Retirement
and Disability Plan (other than highly compensated employees as defined by
law) will be allowed to take a RLOA prior to age 55 and retire without penalty
at age 55. Years of service and average earnings will be frozen at the time
the RLOA is granted. Operators will not be subject to recall, but will be
allowed to return to work one time only before age 55 providing they meet all
applicable requirements at the time. At age 55 operators must return to work
or retire. Operators returning to work will not be credited with years of
service during the RLOA but will resume the accumulation of years of service
upon the date of return. Operators taking RLOA are not eligible for health and
welfare benefits except under COBRA and other applicable laws.

     Forty operators
per year, selected on a seniority basis, will be offered an opportunity to
elect RLOA. No more than five percent of the operators at any location are
eligible for RLOA and locations with fewer than 25 operators are limited to
one driver taking RLOA.

ARTICLE B-11. SICK LEAVE — After one year of service, employees are eligible
for paid sick leave for days missed in cases of non-work-related injury and
illness, not to exceed six days per year, subject to the following exclusions:

	1.	 	Sick leave claims are limited to those days excluded from coverage and
not eligible for retroactive coverage by
state workers’ compensation law.
	 
	2.	 	No employee will receive sick leave payments for the first three
consecutive days, whether or not work days,
except if an employee is hospitalized during the three-day waiting period,
sick leave benefits commence as of the
first day of hospitalization.
	 
	3.	 	Employees are not entitled to sick leave benefits for any time lost by
reason of sickness while on vacation.
	 
	 	 	Sick leave for extraboard operators will be paid at the leave rate as
follows:

	1.	 	The first three days will not be paid and will be considered a waiting
period.
	 
	2.	 	The next six days will be paid.
	 
	3.	 	The seventh day is a day off and will not be paid.

	4.	 	Thereafter six days will be paid followed by one unpaid day.

     Regular operators will be paid missed earnings less the three-day waiting
period. Sick leave for maintenance employees will be missed earnings for
regular hours after the three-day waiting period.

     Employees may accumulate unused sick leave from year to year. Accumulated
sick leave may be used only for a period of sickness exceeding 10 consecutive
days, but will be paid in accordance with the above, retroactive to the fourth
day of such sickness.

     In order to receive sick leave benefits, employees must submit medical
evidence of their illness from a licensed medical doctor or other satisfactory
evidence on forms provided by the Company. The expense of this medical
evidence will not be borne by the Company. At its option, the Company may
require a special examination of an employee by a designated doctor paid for
by the Company. Employees will notify their supervisor of absences on account
of sickness as soon as possible. An application for sick leave benefits will
be made within five days after return to work.

12

 

ARTICLE B-12. VACATIONS — Vacations are earned and granted in the following manner:

	•	 	Employees who complete one year but less than 11 years of continuous employment will be granted two weeks’
paid vacation.

	•	 	Employees who complete 11 years but less than 21 years of continuous
employment will be granted three weeks’
paid vacation.

	•	 	Employees who complete 21 or more years of continuous employment will be
granted four weeks paid vacation.

     Employees will be paid their leave rate for each day of paid vacation
except regular operators will be paid missed earnings (as defined in Leave
Rate). Each week of vacation for extraboard operators includes six days of
paid leave and one day of unpaid leave.

     Employees with less than 21 years of service are allowed to bank one week
of vacation each year up to a maximum of 30 days. Employees with 21 or more
years of service may bank two weeks of vacation each year up to a maximum of 60
days. Mechanics will bank five paid days per week and drivers six paid days per
week of vacation. All remaining vacation must be bid and taken in the year
earned. Banked vacation can then be sold, taken as extra week(s) of bid
vacation, or taken as personal time off one day at a time (VPTO) subject to
Company approval, provided 24 hours advance notice is given.

     When selling vacation days or taking VPTO, employees will be paid the
leave rate as defined in the Leave Rate provision for each day sold or taken
as VPTO.

     Employees
wishing to take VPTO because of illness must comply with the
provisions governing sick leave, e.g., three-day waiting period, medical
evidence, and so forth.

     The annual posting date of vacations will be during November and December,
with vacations to be taken the following calendar year. The Company will
designate periods when vacation must be taken and will post at each location a
list showing same and the number of employees who can take vacations during the
same period. Employees will bid on vacation periods in accordance with their
seniority. Employees may, in bidding on vacation dates, divide vacation in
units of weeks. Employees will bid their vacation at vacation bidding time
regardless of their anniversary date. Employees who are inactive at the time
their bid is due must contact a supervisor to submit their bid which will be
placed on the vacation bid sheet by the supervisor. Employees must elect to
bank vacation by October 15th of each year for the next calendar year.

     In the event of death of an employee, his beneficiary will receive any
vacation benefits due him at the time of his death. Employees leaving the
service of the Company will be paid for all earned and unused vacation or
days. Earned and unused vacation will be paid for at the leave rate as defined
in the Leave Rate provision.

     To the extent allowed by law, employees leaving the service of the Company
will be charged, and appropriate amounts will be taken out of any moneys due
the employee, for the number of days vacation not earned for which they have
been paid.

     Operators who move from one location to another will carry their
scheduled vacation time with them to their new location. Non-operators who
change their locations will retain any previously scheduled vacation times
only to the extent practicable, as determined by the Company.

     Vacations for non-operators commences the day after their scheduled day
off. Operators will start their vacations on Monday unless they are on a run
where they are away from their home location on Monday; in which event, they
will start their vacation on either the commencement or after completion of
their run. Regular run operators whose run is away from home on the first day
following their vacation will be allowed one of the following options:

	•	 	Use one day of VPTO at the end of their vacation (black-out dates and Company approval will be waived in these
instances).

	•	 	Position themselves at the away-from-home location to pull their run.

	•	 	Pull their regular run on the last day of vacation with no loss of vacation pay.

Regular operators must notify their supervisor prior to the posting of the
hold-down which option, if any, they elect.

     Employees who have a leave rate of $50 or less may request to sell all of
their vacation and continue working through their scheduled vacation period.

     Maintenance vacation weeks becoming open or available during the months
of June, July, August and the last two weeks of December (prime weeks) will be
rebid. For maintenance employees, such prime weeks of vacation vacated by the
successful bidder will be rebid.

13

 

OPERATORS

ARTICLE O-1. BIDDING

(a) Displaced Operators Operators displaced by senior operators, or who for
any reason are deprived of their
assignment through no fault of their own, must displace a junior operator on a
regular run at their home location or
place themselves on their home extraboard. Operators must displace a junior
operator within 48 hours of the time they
have been advised that their run has been canceled, materially changed, or they
have been displaced; not when the
change takes place. Operators on sick leave or off for other approved cause
will be notified of their displacement upon
their return.

     Operators exercising their right to displace another operator are
required to give at least 12 hours notice to the Company prior to the
departure from their home terminal. Notification will be attempted first by
telephone. If the operators cannot be contacted by telephone, a VRU message
will be left.

     Displaced operators upon completion of their last assignment, with proper
notice, may displace any junior operator at their home location. The
displacement is effective on the first outbound trip after proper notice is
given as described above.

(b) Extraboard Positions The Company will determine the number of extraboard
positions at each location. Should
extraboard positions be posted between general bids, all active extraboard
operators will be eligible to bid on such
positions. Assignments will be by seniority from among those who bid except
inactive operators will be awarded
positions at the location they last worked ahead of active operators from
another location. Operators will be responsible
to be aware of such postings and the Company is not obligated to notify
operators of any such postings. Operators must
sign such bid in person and be available on the effective date. Successful
bidders for the posting of extraboard positions
under this provision waive the seven-day recall language.

(c) Hardship Transfer Operators may request a transfer to a new location if
their continued work at their home location
creates a hardship. Hardship transfers are subject to Company and Union
approval. Operators granted a hardship
transfer forfeit all hold-down bidding and displacement rights for the duration
of the current bid at their new location.

(d) Hold-Downs and Vacancies New runs and vacancies between general bids will
be posted as hold-downs at the
extraboard location covering the work. Hold-downs will be subject to bid by
all operators on the extraboard at the
location and will be awarded to the senior extraboard operator bidding.
Hold-downs consist of new runs, permanent
vacancies or temporary vacancies due to vacations or other leaves.

     The successful bidder of a hold-down posted because of a new run or
because the regular operator vacated the run permanently, either voluntarily
or due to resignation, retirement, or death will be considered the regular
operator for the duration of the bid and will be subject to all rules of a
regular operator, including displacement

     Temporary vacancies will be posted only when there are five or more known
working days included in the hold-down posting. Operators may elect to utilize
any scheduled days off immediately at the end of the hold-down as if they were
their regular days off.

     Hold-downs will be posted each week on Wednesday, Thursday, or Friday and
awarded the following Thursday at 3:00 p.m. local time (six to nine days
later). The regular runs of operators booking off sick or on Worker’s
Compensation Wednesday through the following Tuesday (a seven-day period) will
be posted on the following Wednesday, Thursday, or Friday. Operators who are
off sick and whose runs are awarded as hold-downs will be required to pick up
their run at their home locations after notifying the Company 24 hours or more
in advance of their next sign-on time. Regular operators whose runs have not
been awarded as hold-downs will be required to pick up their-runs at their home
location after notifying the Company six hours or more in advance of the next
sign-on time. If a hold-down is posted and not bid, it will be assigned to the
junior operator on that board, or may at the Company’s discretion, be worked
off the extraboard.

     Successful bidders of a hold-down will take the first outbound trip at
the home location with a sign-on time nine hours or more after the hold-down
is awarded, provided they are available and have sufficient rest. These
operators will be removed from the board nine hours before the time required
to report for the assignment. Successful bidders out on an assignment at the
time they should have been removed from the board must complete their
assignment and pick up the hold-down at their home location, after they have
secured their rest. Earnings guarantee will not apply.

14

 

     Operators called for an extraboard assignment and instructed to report 12
hours or less before the time required to report for the hold-down assignment
may, at the time of the call, decline the report for an assignment if
sufficient operators are available. Operators who decline such assignments
will be removed from the board and placed on the hold-down at that time. If
sufficient operators are not available, the assignment must be accepted. If
unable to pull the first trip of the hold-down, operators will be paid the
greater of the first day of the hold-down or the work performed. Operators on
hold-downs, vacation or leave of absence bidding a new hold-down must be
available to perform the hold-down’s first trip. Hold-downs will be awarded
only to active operators. To be considered active, operators must be on the
extraboard available for call, on assignment, or on their time off at the time
the hold-down is awarded.

     Operators working hold-downs of driver instructors who temporarily return
to their regular runs from instructor duties may elect to return to their
hold-downs provided the driver instructors work five days or less (regular
assigned work days) on their regular run before returning to instructor duties.
Hold-down operators must be informed of the date they can return to the
hold-down and must elect at the time they are notified, whether or not they
wish to return to the hold-down. Hold-down operators electing to resume the
hold-down will be placed onto the extra board without hold-down bidding rights
during the time the driver instructors are working their regular run.

     All hold-downs bids must be signed in ink. Once the hold-down is signed,
it may not be altered in any manner. Completed hold-down posting sheets will be
maintained by the Company for 60 days. Operators bidding a hold-down will not
have a claim to any guarantee for wages lost as a result of their bid.

	(e)	 	Material Change The following are considered material changes:

	1.	 	Change of location of assignments.
	 
	2.	 	Change of run destination (excluding garage and/or terminal changes within
the same city).
	 
	3.	 	Change of more than an aggregate of one-hour sign-on or sign-off time in
the assignment at the operator’s home location in a three-month period.
	 
	4.	 	Change of more than one-hour sign-on or sign-off time in the assignment at
the operator’s home location.
	 
	5.	 	Change of days off.
	 
	6.	 	Change of assignment resulting in a decrease of $160.00 or more per month
in earnings.

	 	 	When the working conditions of regular runs are materially changed, operators
have the following options:

	1.	 	Remain on their run.
	 
	2.	 	Displace their home extraboard.
	 
	3.	 	Displace any junior regular operator at their home location.

	 	 	Runs vacated under this provision will be handled under the Hold-downs and
Vacancies provision.

(f) Regular Runs and Extraboard Selection The Company will conduct a minimum of
four nationwide general bids for
all regular runs and extraboard positions to be effective in January, March or
April, June, and August or September. All
operators who have worked during the current bid period and prior to the new
bid closing are eligible to bid. Eligible
operators who fail to bid forfeit rights to displace except to the extraboard
at the operator’s home location; such
operators may fill any open positions or displace a junior operator on that
extraboard. Runs will be awarded on a
seniority basis.

	       Operators bidding regular runs and hold-downs must qualify themselves to
work the bid job. Qualified includes, but is not limited to, proper licenses
and knowledge of the route bid.
	 
	       In recognition of a business need for all operators to be
available during the busy summer season, the following applies to the June and
August/September general bids:

	•	 	Operators changing locations with the March/April or June general bid
must assume their new assignment effective on the first day of the bid.
Operators with legitimate reasons for an extension on their arrival date
must secure an authorized leave of absence from a Company supervisor at
the new location. Operators who do not change locations must pull the
first cycle of their new run unless it would cause a loss of earnings
between the pay for the old and new assignment.

15

 

	•	 	Operators changing locations with the January or August/September general
bid must work through the final work
day prior to the effective date of the August/September bid. Operators who
do not change locations must work the
last complete cycle of the June run bid unless it would cause a loss of
earnings between the pay for the old and new
assignment.

     Whenever there are permanent vacancies, as the result of regular
operators vacating their runs for any reason, or the addition of new runs in
an aggregate of ten percent of the current number of runs during any 45-day
period between general bids at a location, a full location bid will be
conducted at the affected location. There must be 30 calendar days remaining
until the effective date of the next general bid, at the time the 10 percent
threshold is reached. There will not be more than one full location bid at any
location in a 30-day period regardless of the number of vacancies. Operators
who change cycles due to a run bid change are not entitled to lost wages or
overtime. Operators returning to work from authorized leave or reinstated will
be assigned in the following manner:

	•	 	Operators with a prior assignment within the current run bid must return to their prior job.

	•	 	Operators who have not held a job in the current or upcoming bid may displace any junior operator or open
position at their home location.

	•	 	Operators eligible to bid who failed to do so may only bump the extraboard or any open position at their home
location.

     Operators on a qualifying FMLA, Military, or Workers’ Compensation Leave
during any open regular run selection period who do not bid, will be allowed
to displace any junior operator at any location. Operators displaced as a
result of this displacement will be allowed to displace any junior operator at
their home location regardless of time to the next bid.

     Extraboard positions are bid by seniority. Operators who do not receive
their bid choice on a general bid will be assigned to a vacancy nearest their
present location. If no vacancies exist, they will be furloughed immediately.
Operators furloughed or who are assigned to a location (which they did not bid)
will be allowed to return to their previous home location (last bid location)
when positions become available, in seniority order.

ARTICLE O-2. EXTRABOARDS —The Company reserves the right to establish,
maintain, alter, alleviate, or change extraboards at locations where the
necessity of the service requires. Seniority choice will determine the
operators who are assigned to the extraboards. The extraboard to which a new
operator is assigned will be designated by the operator’s seniority bid.
Seasonal operators will rotate on the extraboard and will be eligible to bid
on designated runs and hold-downs only. Part-time operators will rotate on a
separate extraboard and will not rotate on the full-time extraboard. The order
of assignment for extraboard work is full-time/seasonal extraboard operators,
regular operators who have declared a willingness to work extra, part-time
operators, regular operators required to work extra, and rentals. Regular
operators who have declared a willingness to work extra and regular operators
required to work extra include pre-assigned regular operators.

     Full-time extraboard operators who are available for service 12 days in a
payroll period will receive a biweekly guarantee of $375.00. Available for
service means that an operator must be promptly accessible by telephone or be
present at the garage or terminal if directed by the Company. Holiday pay is
in addition to the biweekly guarantee.

     When an extra operator transfers from one board to another after learning
two routes of the board to which the operator transfers, the operator will be
placed on the extraboard for work. Extra operators must qualify for all runs
serviced by their extraboard within 30 days from the date assigned. An extra
operator who fails to become qualified within such period will be removed from
the board and must learn all routes.

     Extraboard operators entitled to an assignment over a route they have not
learned may be removed from the board and required to ride the trip and learn
the route. This provision will not apply to an operator at any away-from-home
location.

     If business plans indicate a potential operator or equipment shortage,
the Company may assign a regular operator, part-time operator, or rental bus
ahead of available extraboard operators. This will permit the Company to
assign regular operators to assignments that will allow them to work and
return home to be available to pull their next scheduled run. It will also
permit the Company to assign rentals or part-timers to assignments that will
allow them to work and return home before their available period ends. The
first-up extraboard operator missing an assignment under this provision is
entitled to a claim under the runaround provision.

16

 

(a) Extraboard Run Assignments Extraboard operators assigned to a regular run
will be paid for protection up to the
sign-on time of the run. Extraboard operators assigned to an extra section, a
charter, a deadhead, or to DHOC will be
paid for protection from report time according to instructions up to the actual
time of departure. Protection will be paid
at the protection rate. Extraboard operators placed on protection who are
released without receiving an assignment will
be guaranteed a minimum of two hours pay at the protection rate.

     Runs will be assigned at the specified assignment time in the Run Guide
or 30 minutes prior to departure time. Doubles, deadheads, and DHOC will be
assigned at least 15 minutes prior to scheduled departure time, if known, or
when they develop. When simultaneous assignments occur, the first-up operator
will make his choice on available work, the second-up operator will make his
choice of the remaining available work, and so on. If, after making a
choice, the run or work the operator selected is canceled, he will remain
first-up for the next known assignment after the other simultaneous
assignments occur, without a bump.

     Extraboard
operators assigned to straight-away runs (a run that requires
operators to secure their rest before returning to their home terminal) will
be assigned the entire run. However, upon arrival at the away-from-home
location where an extraboard is established, operators may elect to vacate the
run and be placed on the extra board by notifying Operations Support Center at
the time they sign in at the layover location. Operators will then fall under
all provisions of the First-In, First-Out language except that the Layover and
Meal Allowance provisions will not apply. This does not apply to extraboard
operators assigned to a turn-around run (a run in which the operator is not
required to secure his rest before returning home).

     Open regular runs will be assigned to the first-up extraboard operator
from the location where the run originates. If no extraboard operators from the
location where the run originates are available, the run will then be assigned
board-to-board under normal first in, first-out rules.

     When operators deadheading buses are required to secure their rest at or
near an extraboard location, they will be relieved according to the provisions
of First-In, First-Out language.

(b) First-ln, First-Out Extraboard assignments will be made on the basis of
first-in, first-out.

Operators returning to their home location, who have secured their rest at an
away location, and who still have available driving time within their 10
hours, may be first-up for assignment. The Company, at its option, may release
such operators and place them on the bottom of the board or on protection
within two hours after arrival. Four hours after being placed on protection,
operators who have not received an assignment will be placed on the bottom of
the extraboard. If an assignment is received, the assignment must be round
trip or operators will be returned home immediately upon completion of a
one-way assignment, either DHOC or other available work. No runarounds will
apply when returning operators to their home location under this provision.

     Operators returning to their home extraboard within eight hours of the
original report at their home extraboard who still have available driving time
may be first-up for an assignment if they have sufficient hours to complete
the assignment. At the Company’s option, operators may be placed on the bottom
of the board or placed on protection within two hours after arrival. If placed
on protection, an operator who has not received an assignment within eight
hours of his original report will be released and placed on the bottom of the
extraboard.

     Extraboard operators at an away-from-home location without an assignment,
and not on temporary transfer, will be worked first-in, first-out to or
towards their home terminal except in the following two circumstances:

	•	 	When the extraboard is depleted, in which case operators may be used on any assignment in any direction.

	•	 	An extraboard operator put to bed at an away-from-home location will not be called to work after two hours
following his release from duty until he has secured his nine-hour rest,
unless the extraboard is depleted. The
runaround provision (Article O-2 § b) will not apply to the extraboard
operator securing his rest from the end of the
second hour through the ninth hour.

     Operators will be first-out for assignments going directly to their home
terminal ahead of drivers going toward their home terminal. However, all
operators based in locations beyond the maximum driving distance will be
considered as home terminal operators of the location at the maximum driving
distance. An assignment that takes operators to a location closer to their
home location in terms of distance or time will be considered “toward.” When
the extraboard is depleted, operators may be used on any assignment in any
direction.

     Upon completion of an assignment, an extraboard operator will be placed
on the extraboard at the scheduled arrival time of the assignment unless the
operator is more than 60 minutes late. Extraboard operators arriving more than
60 minutes late will be placed on the extraboard at their actual
arrival time.
For multiple-section SOBOs and charters, the

17

 

first operator arriving and signing in at the completion of the assignment
will set the extraboard placement/schedule time which sets the 60-minute
window. Operators on deadheads will have their extraboard placement time set
by the scheduled deadhead driving time. Extraboard operators on
multiple-section charters, SOBO’s, schedules, deadheads or DHOC assignments
that arrive within 60 minutes of the set arrival time of the multiple-section
assignments will be placed on the extraboard in the order assigned at the
point of origin.

     When two or more operators arrive at their home board at the same time,
they will be placed on the bottom of the extraboard or remain first-up in the
following order:

	1	 	The order of the previous report for assignment.
	 
	2.	 	The operator who had the first report time on that day.
	 
	3.	 	If the report times were the same, the operator returning from the most
distant location.
	 
	4.	 	If the report times were the same and traveling the same distance, the order
they left their home location.

     Extra operators who, through no fault of their own, are runaround will
receive runaround compensation for this occurrence. In no instance will
runarounds apply to regular operators including regular operators working on
the extraboard. Extra operators will ascertain that they are on the extraboard
and in the correct position and immediately notify their supervisor when they
have been placed in the wrong position on the board or left off the board.
Regardless of circumstances, an operator will not be considered as having been
runaround more than once in any 24-hour period.

     Runarounds will be paid at the fixed rate of $50.00 per occurrence per
approved runaround. If an operator is runaround and does not work within the
next 12 hours, the operator will be entitled to a fall runaround payment for
the assignment missed, and will not receive the $50.00 penalty. Only the
first-up operator at the time of occurrence will be entitled to a runaround
payment.

(c) Overtime for Extraboard Operators Overtime will be paid at the rate of
time and one half for all paid hours worked
(does not include benefit compensation) over 50 hours in a seven-day period and
at double time rate for all paid hours
worked over 70 hours in a seven-day period. The overtime periods begin 12:01
a.m. Monday and end 11:59 p.m. Sunday.

     Hours worked on charters of 36 hours or more or hold-downs of seven days
or more will be excluded when calculating overtime under this article.

(d) Reporting Time Extraboard operators will protect all runs and schedules.
Extraboard operators are responsible for
keeping themselves advised of their status on the extraboard and all operators
must provide themselves with telephone
service. To be considered available for service, extra operators must have
sufficient rest and must be able to reach the
garage or terminal within two hours at their home location and one-hour at an
away location, unless otherwise extended.
The Company will cooperate and upon request furnish information as to
extraboard standing and the probable call times. Operators are responsible for
all messages transmitted through or to other parties.

     First-up extraboard operators who are unavailable and cannot be notified
by the Company to receive instructions to report to work will be removed from
the extraboard for 12 hours, Extraboard removal is not considered discipline.
Operators with an assigned report time who report late may be assigned work;
may be placed at the bottom of the extraboard, if an extra operator; or
returned home until the next assignment, if a regular operator.

     Extra operators booking off sick or fatigued will be removed from the
extraboard for a minimum of 24 hours and placed on the bottom of the board
when they are physically able to call in and perform work. If the extraboard
is depleted, operators may be placed on the extraboard before the end of the
24 hours. Operators will not be permitted to drop to the bottom of the board.
All book-offs must be in 12-hour increments.

(e) Temporary Transfer Assignment Method A voluntary temporary transfer list
will be established at each extraboard
point for the purpose of assigning temporary transfers. Extraboard operators
may sign this list at any time after
becoming a member of the extraboard at such location. Assignments from the
voluntary list will be made according to
the operator’s position on the regular extraboard on a first-in, first-out
basis. Extraboard operators who have signed the
temporary transfer list and refuse an assignment will be removed from the
voluntary transfer list and will not be eligible
to sign up on the list again for a period of 30 calendar days. In the event no
operators sign the list, or if the list is
depleted, transfers will be assigned to the junior operator currently on the
board at the time of the assignment. All
assignments will be made nine hours before the operators are scheduled to leave
their home terminal.

18

 

     Temporary transfer operators moving from one extraboard to another are
responsible for learning the new routes at the new extraboard location. The
Company may require the temporary transfer operators to pad on schedules to
learn the route. Temporary transfer operators will be paid $12.00 per day
while learning routes.

(f) Temporary Transfers - Extraboard Operators The Company has the right on an
emergency basis to order extraboard operators onto the extraboard at another
location. If the temporary transfer is mandatory, the temporary transfer will
not exceed seven days. Voluntary temporary transfers may extend up to 30 days.
Temporary transfers must be for a predetermined period of time. Any extension
in time must be mutually agreed upon between the Company and the employee. Any
extension exceeding 30 days is considered a permanent transfer except that an
operator on assignment on the 30th day may complete the assignment and return
to his home terminal and will not be considered a permanent transferee. During
the transfer period, the temporary transfer operator’s home terminal will not
change unless the transfer becomes permanent. If a transfer becomes permanent,
the operator will be placed on the extraboard at the new location and will work
first-in, first-out from the new location for the entire period without bidding
or bumping rights at the new location.

     Temporary transfer operators will be placed on the other location’s
extraboard in the same order as they vacated their home boards. The Company
has the right to work operators to the temporary transfer location on
deadheads or DHOC only. Deadhead buses must go to the temporary transfer
location. Other types of assignments may be made only if the board is
depleted. Temporary transfer operators must be sent home immediately at the
end of the predetermined time period or, if on assignment, immediately upon
the completion of the assignment. The Company may return the operators to
their home location prior to the expiration of the predetermined time.

     The Company may work the temporary transfer operator home after arrival
at the temporary transfer location, if the driver plugs the foreign
extraboard at the temporary location behind drivers from his home location,
and works under the First-in, First-Out provisions of the contract. The
operator may be cushioned home immediately ahead of other operators on the
extraboard.

     The Company will provide temporary transfer operators a room and will
pay operators a meal allowance as outlined under the Meal Allowance provision
for the first 30 days. The meal allowance period commences when temporary
transfer operators leave their home terminal and continues until they return
to their home terminal or the transfer becomes permanent.

(g) Layover Upon being released from an assignment at an away-from-home
location, an extraboard operator becomes eligible for meal allowance 16 hours
after securing eight hours rest. Meal allowances will be calculated under the
Meal Allowance provision.

     An extraboard operator held away from home without work will receive a
layover penalty of $5.00 per hour or fraction thereof for each hour after the
16th hour for the next eight consecutive hours. After the first 24 hours, the
operator will be paid $5,00 per hour in eight-hour cycles—eight hours off,
eight hours paid, eight hours off, and so forth until he reports for an
assignment/protection. This does not apply to temporary transfer operators.

     Operators held away from home without work for more than 24 hours may
request an assignment to or towards their home terminal. If this request is
denied, and the operator has not worked after another 12 hours, he may again
request to be assigned on the first schedule to or towards his home terminal
after the 36th hour. The second request must be granted immediately.

     The layover penalty and meal allowance will not apply to extraboard
operators on regular run assignments or hold-downs.

(h) Days Off-for Extraboard Operators An extraboard operator may request time
off in half-day increments: one-half day (12 hours) off, one day (24 hours)
off, one and one-half days (36 hours) off, two days (48 hours) off and so
forth. The Company will grant time off, as requested, manpower permitting.

ARTICLE O-3. CHARTERS

(a) Charter List There will be a charter list for all charters at each
location. All extraboard operators are eligible to place themselves on the
charter list at any time. Operators must choose one of three options to
establish their status on the list. They may place themselves on the list to
operate charters of 36 hours or more, charters of less than 36 hours, or
both. Once on the list, operators may make one status change every 30 days.
Any operator on the list who refuses a

19

 

charter of 36 hours or more will be removed from the option to operate any
charter of 36 hours or more for a period of 30 days.

(b) Notice of Assignment Charters of less than 36 hours will be assigned to
the first-up operator on the extraboard
that is on the charter list with a designation that includes less than 36-hour
charters. These charters will be assigned,
when possible, at least 30 minutes in advance.

     Charters of 36 hours or more will be assigned to the first-up operator on
the extraboard on the charter list with a designation that includes charters
of 36 hours or more. When possible, charters of 36 hours or more will be
assigned nine hours in advance. If a nine-hour call is not possible, the
assigned operator must elect at assignment time to either accept the entire
charter or be relieved at the next extraboard location where there is
available manpower.

     If no operators are available on the charter list for any charter
assignment as described above, the charter will be-assigned to the first-up
extraboard operator with sufficient hours to operate the charter.

     All charters will be operated by operators from the nearest extraboard,
unless a specific operator is requested by the customer or chartering party in
writing or by email. If an operator is requested for a charter, that operator
will be given the option to perform the charter, unless the charter is denied
or the operator is unavailable.

     Upon request by a vice president/assistant business agent, the Company
will provide a copy of the correspondence pertaining to the request of
specific operator(s) on a charter to that vice president/assistant business
agent the next business day.

(c) Charter Pay All charters will be paid at a single charter rate. Pay begins
at the time an operator reports for an
assignment. Pay continues until the bus is dropped at the conclusion of the
assignment or at the start of the period when
the operator is released to obtain rest at a room provided by the Company or
charter party. Pay will commence again
when the operator is required to report back on duty.

     If a charter of less than 36 hours requires an operator to secure rest
(nine hours or more), away from his home location, the operator will be paid a
minimum of eight hours of pay at the charter rate. On charters of 36 hours or
more, operators will receive a guarantee of eight hours at the charter rate in
each complete 24-hour period. The 24-hour period commences at the time of
assignment of the charter. If such charter is canceled through no fault of the
operator, after the operator reaches the pick-up point, the operator will be
paid a minimum of eight hours at the charter rate and placed on the bottom of
the board.

     Meal allowance will only be paid on charters of 36 hours or more as provided
in the Meal Allowance section.

     If regular operators are assigned a charter they will be guaranteed an
amount equal to their regular earnings for the duration of the charter, unless
requested; in which case, there is no guarantee.

     Operators accepting request charters from a city other than their home
location must position themselves at no cost to the Company.

(d) Charter Sales Incentive The Company will pay a six percent commission to
operators and mechanics who sell
charters without the assistance of a travel agency, provided they are accepted
by the Company. The commission will be
paid after the charter is paid for and operates. The Company reserves the right
to operate or reject any charter and
charters operated will be limited during peak periods. It is also understood
only one commission will be paid for a
charter and no commission will be paid on discounted charters.

ARTICLE O-4. GARAGE PAY — At all locations where the garage is separate and
apart from the terminal, a garage allowance will be paid to the operator
driving to or from the garage at the protection rate with no duplication of
pay.

ARTICLE O-5. REST — Extraboard and regular operators working extra who are
required to secure their rest must have nine hours off between sign-off time
and the time of a call to report. However, operators may be assigned to the
second half of a regular straight-away run if they completed the first portion
of the same run, subject to DOT limitations.

     Unless extended, the standard call to report for duty will be two hours
at a home terminal dispatch point and one hour at away-from-home terminal
dispatch points. Call times will be consistent within each location, based on
commute times, traffic patterns, etc., and may be changed from time to time by
mutual agreement between the Company and the Union.

     Extra operators who do not have sufficient DOT hours of service remaining
will revert toward the bottom of the board, one plug at a time, until they
have secured sufficient hours to resume service.

20

 

ARTICLE O-6. LATE ARRIVAL AND CANCELLATION.

(a) Cancellation When the Company cancels service for any reason, regular
operators who have reported will be paid
that day’s work or be placed on the extraboard, and if used, guaranteed the
same amount as if they had worked their
regular run on that day. The operators placed on the extraboard may be passed
over for assignments that would make
them miss their next run. If released, these operators will not be recalled to
work that day.

     If service is canceled, the Company will attempt to notify regular
operators of the cancellation as soon as possible. Notice must be given to the
operators at their home location at least two hours prior to sign-on time or at
least one hour at an away-from-home location. Notification will be attempted
first by telephone. If the operators can not be contacted by telephone, a VRU
message will be left. Operators so notified-will not be entitled to any pay for
canceled service.

     When regular operators arrive at a point other than their normal
away-from-home location and are held, they-will fall under Late Arrival
provisions unless they receive their rest at that location. The operators will
be guaranteed their run pay for that day. Regular operators held at this
location receiving their rest will be paid eight hours out of each 24-hour
period at the protection rate. The first eight-hour period commences one hour
after completing eight hours rest. Reasonable room expenses and meal allowances
as defined in the Meal Allowance section will be paid. The Company may use the
operators to or towards their home terminal or on any portion of their regular
run. In the event no extraboard, regular drivers working extra, or part-tune
operators are available at that location, the regular operators may be used for
any open assignment.

     Regular operators held at their normal away-from-home location on Company
orders due to cancellation of service will be guaranteed eight hours pay at the
protection hourly rate in the first 24-hour period commencing at their normal
schedule departure tune. During the next 24 hours, regular operators will be
guaranteed 12 hours at the protection hourly rate. The third and any subsequent
24-hour period regular operators will be guaranteed 15 hours at the protection
hourly rate. Reasonable room expenses and meal allowances as defined
in the
Meal Allowance section will be paid. The Company may use these operators to or
towards their home terminal or on any portion of their regular run. In the
event no extra operators are available at that location, these regular
operators may be used for any open assignment.

     These provisions do not apply to charters.

(b) Late Arrival Operators delayed on any schedule, through no fault of then-
own, who arrive at a terminal too late to
operate the next portion of their run, are guaranteed compensation no less than
they would have earned. The Company
reserves the right to position operators without additional compensation so
they can perform as much of their regular
work as possible.

     Operators delayed on any schedule, through no fault of their own, will be
paid the driving rate for any time in excess of 45 minutes of the scheduled
arrival time. However, late arrival pay will not be due on any subsequent
schedules when created by any previous late arrival on an operator’s run. Late
arrival pay is not due if operators are notified of a revised report time two
hours prior to scheduled report time at their home terminal or one hour prior
to report time at layover. A layover point means a location at which operators
are required to secure their rest. Extraboard drivers paid protection until
departure will not receive late arrival pay unless more than 45 minutes is lost
en route.

ARTICLE O-7. MANNING OF OPERATOR WORK — All motor coaches operated by the
Company under its certificates and permits, except wrecking equipment,
maintenance service, and delivering equipment to and from garages, will be
driven by operators holding seniority at the point of origin for the operation
if such operators are available.

     This article does not apply to equipment or operators leased or chartered
during peak periods or during
emergencies, or to runs using equipment of 35 feet or less.

     It is understood that wrecking equipment does not include any equipment
except that used in repairing and towing. It is understood that maintenance
service as used in this article means those cases where the garage dispatches
a bus driven by a maintenance employee for the purpose of replacing another
bus which is broken down and those cases where a maintenance employee takes a
bus out for testing purposes. Nothing in this Agreement limits the right of
the Company, subject to DOT limitations, to determine the daily time and
distance to be driven by an operator without regard to any formal or informal
geographic division of the Company or the Union. The Company will notify the
Union of major changes and the parties will meet promptly to confer, upon
request, but in no event is the Company precluded from making such changes
after giving the Union 14 days notice if the Company was available to meet and
confer during that period.

21

 

ARTICLE O-8. MEAL ALLOWANCE — Meal allowance will be paid in each 24-hour
period when specified in this Agreement as follows:

	 	 	 	 	 
	6 - 7 hours
	 	$	4.00	 
	8 - 15 hours
	 	$	12.00	 
	16 - 24 hours
	 	$	20.00	 

     There are no exceptions to the above regardless of location.

ARTICLE O-9. BOOKING OFF
— Regular operators voluntarily booking off will
be required to pick up their runs at their home locations after notifying the
Company six,or more hours in advance of the next sign on time.

ARTICLE O-10. OPERATOR’S COMPARTMENT — The Company will meet and confer with
the Union prior to designing new driver’s compartments or making changes in
the design of existing driver compartments, including the driver’s seat.

ARTICLE O-11. OPERATOR’S EQUIPMENT — Certain equipment necessary in the
conduct of an operator’s work, including badge, punch, rule book, and working
flashlight will be furnished by the Company. Operators must sign a receipt
for all equipment furnished by the Company. Operators must safeguard such
equipment, and if any is lost or damaged beyond use, operators must make
immediate application for replacement, at their expense, unless such damage
is the result of unusual circumstances during the performance of their
duties. Operators must turn in all equipment to the Company upon termination
of service or demand.

ARTICLE O-12. REPORTING TO COMPANY — Operators will not be instructed to
report by the Company on their days off, after leaving their assignment or
more than 20 minutes prior to the normal report time except in cases of a
serious nature or to complete an accident report. Operators may be required
to report for training on their days off and they will be compensated at one
and one-half times the protection rate for actual training hours. The Company
will endeavor to post upcoming training dates at the earliest
opportunity.

ARTICLE O-13. SPEEDOMETERS — In cases of speeding charges, if requested, the
bus speedometer will be checked when the bus is next at a garage with
speedometer test equipment. Operators must make their request during the day
of the alleged speed charge to the Maintenance Response Desk and in writing to
their own supervisor when they return to then’ home location. Copies of the
speedometer check will be furnished to an operator within 15 days of an
operator request to the Company or the operator’s record will not be charged.
If the degree of error in the speedometer equals or exceeds the clocked miles
per hour in excess of the speed limit, the operator’s record will not be
charged.

ARTICLE O-14. UNIFORM ALLOWANCE — Newly hired full-time operators are required
to purchase their initial set of Company specified uniforms.

     The Company will award full-time operators who work 1, 200 hours in a
calendar year a uniform allowance of $100 on January 1 of the following
calendar year. Unused amounts of credit may be carried over from year to
year. Any allowance amount that remains unused upon termination of employment
is forfeited. Lost, stained, soiled or damaged uniforms are to be replaced at
the operator’s expense. The Company will reimburse operators for cleaning and
repair of their uniforms when soiled or damaged as a result of unusual
circumstances during the performance of their duties. Operators must submit a
cleaning bill indicating it is for the cleaning of Greyhound uniforms.

ARTICLE O-15. READY LINE — Buses will be placed on a ready line so operators
are able to pick a bus up without danger to the operator’s safety record.

ARTICLE O-16. REGULAR LAYOVER ROOM — The Company will provide and arrange for
suitable rooms for out-of-town operators at regular layover points. The cost
of such rooms will be paid by the Company.

22

 

 ARTICLE O-17. REGULAR OPERATORS WORKING EXTRA — All protection will be
performed by extra operators and regular operators placed on the extraboard
under other provisions of this Agreement except when there are no extra
operators available, qualified regular operators may be used. Regular
operators so used may not be bumped from such an assignment. Regular
operators used under this provision who are assigned an open straight-away
run may be given priority over the extra operators at the foreign board for
an assignment back to their home location or cushioned home.

     Regular operators working on their relief days will be paid time and one
half their applicable rate of pay.

     Regular operators at a terminal other than their home location will be
assigned on a first-in, first-out basis among other regular operators
working on their relief days.

     The Company will establish a superboard for regular operators who wish to
work on their days off. Sign up will be date specific. Superboard operators
may be used only when the regular extra board is exhausted or under the
provisions of Article O-2. Superboard operators will be used prior to requiring
junior regular operators to do the work.

     All operators who place their name on the superboard seven or more days
in advance of the day(s) they are available, will be assigned in seniority
order. Pre-assignments will not be made more than five days in advance of an
assignment. Pre-assignments will be made by calling operators in seniority
order and allowing them a choice of available assignment options. However,
operators may be passed on any assignment that would cause them to miss their
next assignment on their regular run.

     Regular operators who do not have proper rest or DOT hours to pull
their regular run, as a result of working extra or on their day(s) off, are
guaranteed regular earnings for one day and it is their responsibility to
position themselves to pick up their regular run for subsequent days.
Operators must notify the Company of their desire to pick up their run at an
away-from-home location far enough in advance to allow for proper
assignments to extraboard operators.

ARTICLE O-18. SCHEDULE CHANGES — The Company will notify the Union whenever
schedule changes are made. Upon request, the Company will then meet and
confer with the Union regarding changed running times.

MECHANICS

ARTICLE M-1. CHANGE OF SCHEDULE NOTICE — The scheduled hours of employees
will not be changed without at least 24 hours prior notice. This will not be
used to circumvent the use of overtime.

     The Company will keep posted in a conspicuous place the various work
schedules of each garage. Such schedules will show the hour work begins, the
period of relief for lunch, the quitting time and the days of work per week.
Said lunch period will not commence before the beginning of the fourth hour
and will be completed by the beginning of the sixth hour, from the beginning
of the shift. If an employee’s shift schedule is changed more than one hour,
except for training purposes, the employee may exercise his bumping rights
to displace a junior employee or remain on the shift.

ARTICLE M-2. COMMERCIAL DRIVERS’ LICENSE — All mechanics are required to
have a commercial driver’s license as a condition of employment with the
following exceptions:

	•	 	At locations with 15 or more employees, mechanics who are not able to
obtain a commercial driver’s license or lose
their commercial driver’s license for any reason, will be allowed to
continue to work; however, the Company may
assign them to a specific shift where a commercial driver’s license is not
necessary.

	•	 	At locations with less than 15 employees, mechanics who lose their
commercial driver’s license for any reason will
be given an unpaid leave of absence not to exceed one year.

ARTICLE M-3. COVERALLS — The Company will provide four sets of coveralls or
four sets of pants and shirts for maintenance employees each year. Where
coveralls are rented, the Company will pay 70 percent of the rental cost.

ARTICLE M-4. COMPANY TOOLS AND EQUIPMENT — Company owned tools and equipment
will be issued from the stockroom or tool room on a custody receipt and must
returned to the stockroom or tool room. In the event the Company owned tools
or equipment are lost, the employees to whom the equipment was last issued
will be responsible and will be charged for the loss of the lost article.
Forms will be maintained at each garage location for the purpose of the
mechanics reporting missing or broken company tools and equipment.

     Each maintenance employee will provide, at the employee’s own expense, the
hand tools necessary to enable the

23

 

employee to properly perform the mechanical duties of the employee’s
classification. A working flashlight and rubber gloves will be furnished to
those employees whose work requires such equipment. Employees will be required
to turn in new or worn out flashlights, and rubber gloves to the stockroom
and/or tool room before securing replacements. When leaving the employ of the
Company, equipment will be returned or paid for, reasonable wear and tear
expected.

     The Company will cooperate with the Union in investigating and attempting
to correct and improve security measures for safeguarding maintenance
employees’ tools at locations brought to the attention of the Company.
Surveillance cameras will be installed in the employees’ tool storage area at
major garages.

ARTICLE M-5. FOUL WEATHER GEAR — The Company will furnish all maintenance
employees, when exposed to foul weather, proper foul weather gear, which will
consist of rain suits and individual boots where the shoeless type is used.

ARTICLE M-6. GENERAL BIDS — Each year every garage will have least two general
bids within each work classification. Job bid sheets on general bids will be
posted at least seven days prior to the start of bidding.

     In the event of a reduction in force or closure at a garage, laid-off
maintenance employees will have preferential transfer rights, to existing
vacancies without a bump, into any ATU Local 1700-represented garage.
Transferred maintenance employees will carry their seniority with them as
provided in the seniority section of this Agreement.

     This preferential transfer right will terminate 60 days after notice of
layoff. A maintenance employee exercising transfer rights under this provision
will have recall rights to his original garage.

ARTICLE M-7. HEAVY WORK — The Company agrees it will not create an unnecessary
burden upon any employee that would be injurious to the employee’s health by
requiring the employee to do heavy work alone, such as heavy work on springs,
transmissions, reline, repacks, batteries, etc. Heavy work will be distributed
as equally as possible.

     Employees will be required to use safety equipment while working under
coaches, such equipment to be made available by the Company.

ARTICLE M-8. LACK OF WORK — In the event there is a lack of work which
necessitates either the reduction of hours or the furloughing of employees, or
both, the Company agrees to confer with the Union before determining which
method will be used.

ARTICLE M-9. MANNING OF WORK — It will be the Company’s policy to have
maintenance work historically performed in its garages on Company operated
vehicles continue to be performed in its garages. Nothing in this Agreement
will be construed or interpreted to prevent the Company from taking its buses
to non-Company facilities for washing, cleaning, dumping, and fueling where the
Company elects not to have facilities in operation for those services or in
peak periods or emergencies, and nothing in this Agreement will be construed or
interpreted to prevent the Company from having maintenance work on road
failures and running repairs performed at non-Company facilities if those
facilities are closer to the location of the vehicle needing repair than the
nearest Company maintenance facility.

ARTICLE M-10. MOVING EXPENSE — In the event that employees are moved by the
Company from one garage to another garage on account of work being moved to
that particular garage, financial assistance will be allowed to married
employees in the amount of $300 and to unmarried employees in the amount of
$150, such amount to be payable at the time the employee reports for work at
the new location. In addition, the employee so moved will be allowed up to
five working days (40 hours) with no loss of earnings in effecting their
relocation. Such employee will report to work at the new location upon
completion of the five days referred to above:

ARTICLE M-11. OVERTIME DISTRIBUTION — Overtime will be distributed among
employees qualified to do the work of each department without discrimination.

     An overtime board in each department at each location will be maintained
and posted on a monthly basis. When an employee accepts or declines overtime,
it will be recorded on the overtime board. Overtime will be distributed
equally utilizing a rotation system. Active employees with the exception of
employees on vacation will be on the overtime board and in the overtime
rotation.

24

 

ARTICLE M-12. OVERTIME PASS UP — Any employee will have the
right, if the employee so desires, to pass up the overtime when called upon
by the Company to work overtime, provided another qualified employee in that
department is available and willing at the time to take the employee’s place.

ARTICLE M-13. POSTING OF VACANCIES AND NEW POSITIONS — When vacancies are to
be filled or new positions are created, or when desirable to train an
employee for a position, the employees will be notified by bulletin posted
for three continuous days so that any employee may apply for the position.
Employee applicants will be given the same consideration as other applicants
and if qualified to perform the work without training, the senior qualified
employee applicant will be preferred over the outside applicant. Employee
applicants, if selected, will be subject to the probationary provisions of
this Agreement.

     When positions are discontinued, the Union will be given notice in
writing. The exercising of displacement privileges must be done within 16
work hours of the date when the position was awarded or vacated.

     An employee who is entitled to a displacement will indicate his choice
within 48 hours of notice if displacement is made within the garage affected
or within 72 hours if outside of the garage location Notices to the displaced
employee and subsequent notice of his displacement will be in writing.

     New employees in a classification may be assigned to any shift on a
temporary basis for up to 60 days.

ARTICLE M-14. REST PERIODS — Each employee will be allowed two rest periods
of 10 minutes during the employee’s tour of duty and the second will be
during the second half of the tour of duty. There will be no abuse of this
privilege by the employee.

ARTICLE M-15. ROAD FAILURE — Road failure work will be performed by a Company
mechanic if available and qualified. However, the paramount consideration
will be speed and efficiency of repair, and outside mechanics may be used if
doing so would better accomplish those objectives. For the purpose of this
Agreement, a road failure will be defined as any time a bus is delayed due to
a mechanical problem on the road. Terminal calls and buses with mechanical
problems in close proximity to the terminal and garages will be handled in
the most expeditious manner.

     Off-duty mechanics will not be called in to do road work if there are
qualified mechanics on duty at the garage. If necessary to call in an off-duty
mechanic, the mechanic on duty will have the preference of taking such road
call if qualified.

     Employees returning from road call work will be allowed 10 hours off
duty between clock-out time from the road call to clock-in time on their next
regular shift at no loss in straight time earnings.

     Mechanical road failure work on buses when the Company uses the Company
mechanics will be handled as follows:

	1.	 	It will be the policy of the Company not to deprive a mechanic on the road
call board of such work:

	a.	 	For the express purpose of avoiding the payment of overtime where
such eligible mechanic has not been
working six hours of his shift. At locations where arrangements provide
for an eligible mechanic to be used
who has worked for a period greater than six hours of his work shift,
such arrangement will be continued.
	 
	b.	 	For the express purpose of favoring some particular mechanic to the
detriment of the eligible mechanic.

	2.	 	Reasonable expenses for meals and lodging will be paid by the Company.
Necessary expense money will be
advanced by the Company upon request of the employee before leaving for road
failure work.
	 
	3.	 	Employees used in road call work will not be relieved from such work in
order to prevent the accumulation of
overtime when continuous duty would complete the same. However, they may
be relieved for proper rest.
Employees will not be paid for time relieved for rest.
	 
	4.	 	All reports made regarding the cause of road failure will be
substantiated by facts and, on request, such-reports will
be made available to the Union. Maintenance supervisors may include their
opinion in such reports.
	 
	5.	 	Road call boards will be established in each garage. Qualified employees
who desire to perform road call work
should advise their Supervisor who will place their names on such boards and
they will be called when it becomes
necessary to call employees not on duty.
	 
	6.	 	The Company may have towing performed by outside towing companies.
	 
	7.	 	The Company will provide mechanics on road calls with cell phones.

ARTICLE M-16. WORK ENVIRONMENT — Suitable sanitary conditions will be provided
in all garages of the Company for the use of employees. An assembly room will
be provided by the Company at all garages and sufficient lockers will be
available for the accommodation of the employees. Wash basins with soap and
paper towels will also be provided.

25

 

Mechanics are allowed to wear neatly trimmed beards. Facial hair growth of an
extreme style is not permitted. Radios are permitted in work areas. Headphones
are not allowed. Volume must be maintained at a level not offensive to other
employees. Radios cannot be played in public areas or where customers or
non-maintenance employees can hear them.

ARTICLE M-17. SHIFT TRADING — Mechanics will be allowed to trade shifts under the following terms and conditions:

	•	 	There will be no overtime involved.

	•	 	The request will be made at least 48 hours in advance.
	 
	•	 	The request will be in writing and signed by both parties
involved in the requested trade.
	 
	•	 	The trade will be approved by a supervisor.
	 
	•	 	The trade will involve no more than two consecutive days.

     This
accommodation will not be abused by the employees. The Company will
attempt to approve such requests.

ARTICLE M-18. SPRAY PAINTING — No employees other than painters and painters’
helpers will be required to work in close proximity to equipment on which
spray painting is being done. The Company agrees that diesel motors will not
run excessively in the garage. Garages will be equipped with sufficient
ventilating equipment so that exhaust fumes will be speedily exhausted.
Mechanics required to spray paint will be provided necessary protective
equipment and professional spray guns. If any problems arise with this
process, the Union and Company will meet to resolve.

ARTICLE M-19. TEMPORARY ASSIGNMENTS — Employees temporarily assigned to
classifications paying a higher rate than their own, upon performing such new
duties, will immediately receive the rate in such classification that is
higher than the rate being paid such employee in the classification the
employee is leaving.

ARTICLE M-20. TEMPORARY TRANSFER — Employees may be transferred from one
Company garage to another for a temporary period not to exceed 30 days during
which time an employee so transferred would retain and accumulate seniority in
the garage from which the employee was transferred. The Company agrees that,
in the event it requires employees to transfer temporarily, it will pay
reasonable living expenses during the term of transfer. If the location
transferred to has a higher rate, the employee will receive that rate. This
does not apply for the purposes of training.

ARTICLE M-21. WORKING
FOREMAN — Working foreman will be considered a
supervisory position and appointed by the Company. However, the Company agrees
it will give every consideration to the senior qualified employees at the
location where the vacancy exists, but will not be required to post the
working foreman’s position for general bid provided for by this Agreement.
Working foremen will remain members of the Union. The employee appointed a
working foreman must spend a substantial portion of his time working with the
tools to be classified as such.

     Working foremen will not be permitted to bid a unit job or shift. Working
foremen will be paid at a rate of 105 percent of the mechanic’s wage in their
location.

ARTICLE M-22. WORK WEEK AND OVERTIME — The regular work week will be 40 hours,
consisting of either five consecutive eight-hour days or four consecutive
10-hour days. The Company will have the right to determine the percentage
between the work schedules at each location after consultation with the Union.
Work performed in excess of 40 hours per week or 10 hours in one day will be
paid at the rate of time and one-half.

     A mechanic called in on his off day will be paid a guarantee of four
hours’ pay at the overtime rate. A building maintenance employee will receive
two hours minimum pay at the overtime rate for each call in.

     Vacation hours for an employee returning to work from vacation during the
current pay period will be counted as part of the 40 hour work week when
computing overtime.

ARTICLE M-23. TRAINING — Training will be provided to all maintenance
employees. Training may require employees to travel to other garage locations.
If travel is required the Company will provide transportation, lodging and
reimburse meal expenses up to $20.00 per day. Employees will be required to
successfully complete any course provided by the Company. Additional technical
training will not be provided until the employee successfully completes the
last course provided.

26

 

ARTICLE M-24. MAJOR ACCIDENT REPAIRS — Notwithstanding any provision in this
Agreement, the Company reserves the right to outsource the repair of buses
involved in major accidents where the Company estimates the repair will require
750 or more hours, not to exceed five buses per year. The decision to outsource
such repairs will not adversely affect staffing levels or work schedules and
will not be undertaken for the purpose of avoiding overtime at any body shop
location. In the event of a furlough in the body shops the Company will not
outsource any such repairs.

WAGES

ARTICLE W-1. MARKET WAGES — The Company reserves the right to offer additional
compensation at any location in order to maintain an adequate work force.

ARTICLE W-2. INCENTIVE PAY — The Company may offer incentive pay or non-cash
incentives at its discretion. Upon request, the parties will promptly meet and
confer over such incentive pay.

ARTICLE W-3. PAY PERIODS — All employees will be paid every two weeks except
where prohibited by state law.

ARTICLE W-4. OPERATORS — The following rates of
pay will apply to all operators working under this Agreement:

	 	 	 	 	 
	 OPERATORS WAGES	 	 	 	 
	 Top Schedule Rate
	 	 	 	 
	January 1,
2004 – February 28, 2006
	 	$	19.85	 
	March 1, 2006 – January 31, 2007
	 	 	20.25	 

     Schedule pay will be the total trip tune as reflected in the Company’s
System Timetable in effect when the trip is made, minus scheduled rest stops of
30 minutes or more. Operators must report for duty at their sign-on time to
pre-trip and check their assigned buses, load passengers, and complete other
assigned duties. Operators must be ready to depart on schedule and complete
post-trip duties. Schedule pay covers pre-trip and post-trip duties, without
additional pay. Minimum day pay may be established for specifically identified
runs.

The following rates will apply to all operators for work other than schedule driving:

	•	 	Protection at 50 percent of their schedule driving rate.

	•	 	Deadhead at 70 percent of their schedule driving rate.

	•	 	Charters at 68 percent of their schedule driving rate.

	•	 	New York shuttle at 65 percent of their schedule driving rate.

     Operators required by the Company to perform the following duties will
be paid according to the following schedule with no duplication of pay:

	•	 	Extra Stop. Additional scheduled time required to make the extra stop at the
operator’s driving rate.

	•	 	Cleaning Pay. Thirty minutes at the operator’s protection rate. Operator
must sweep and mop the bus. Except in
emergencies, operators will not be required to clean their buses at
locations where the Company normally has other
arrangements for performing this function.

	•	 	Fuel Pay. Fifteen minutes at the operator’s protection rate. Operator
must physically fuel the coach. Operators
will not be required to physically fuel their buses where prohibited by law.

	•	 	DHOC Pay. When cushioning, the operator will be paid at their protection rate.

27

 

Full-time operators hired after March 26, 2004 will be paid according to the
following schedule:

	 	 	 	 	 
	 Length of Service
	 	Percentage of Schedule Rates

	Less than 6 months
	 	 	80	%
	More than six months but less than 12 months
	 	 	82	%
	More than 12 months but less than 18 months
	 	 	84	%
	More than 18 months but less than 24 months
	 	 	86	%
	More than 24 months but less than 30 months
	 	 	88	%
	More than 30 months but less than 36 months
	 	 	90	%
	More than 36 months but less than 42 months
	 	 	92	%
	More than 42 months but less than 48 months
	 	 	94	%
	More than 48 months but less than 54 months
	 	 	96	%
	More than 54 months but less than 60 months
	 	 	98	%
	More than 60 months
	 	 	100	%

     The Company reserves the right to modify this wage progression schedule
and rates. Notwithstanding this provision, operators hired before March 27,
2004 will continue on the wage progression in effect at the time they were
hired.

     Length of service for pay purposes will be determined by full-time
continuous years of actual service as an operator with the Company.

     Part-time and seasonal operators will be paid market rates as determined
by the Company. The market rate of pay may not exceed the full-time hourly rate
for operators.

ARTICLE W-5. OPERATORS PAY CLAIMS — Pay claims must be submitted within 120
days from the date of the paycheck, which should have included payment for the
claim. The Company will respond to all claims within 30 days from the date the
claim was submitted. The grievance time limits will apply beginning at the
time of the Company’s response, or at the end of the 30 days, whichever comes
first. The Company’s response is defined as the printed earnings recap
provided with the paycheck showing either payment or denial of the claim.

     The Company will have 180 days, from the date of payment, to correct
overpayments. However, should state or federal laws extend the period for
filing claims, an equal extension will be provided for correcting
overpayments.

     The Company will provide a list of those states that allow a longer period
for filing of pay claims upon request.

ARTICLE W-6. MAINTENANCE EMPLOYEES — Maintenance employees working under this
Agreement will receive area wages as set forth in the following table:

MECHANIC WAGES

	 	 	 	 	 	 	 	 	 
	Location
	 	3/27/04-2/28/06
	 	3/1/06-1/31/07

	Albany
	 	$	18.17	 	 	$	18.53	 
	Atlanta
	 	 	18.35	 	 	 	18.72	 
	Atlantic City
	 	 	21.42	 	 	 	21.85	 
	Billings
	 	 	15.85	 	 	 	16.17	 
	Boston
	 	 	21.70	 	 	 	22.13	 
	Charlotte
	 	 	18.35	 	 	 	18.72	 
	Chicago
	 	 	21.96	 	 	 	22.40	 
	Cleveland
	 	 	19.28	 	 	 	19.67	 
	Columbus
	 	 	19.28	 	 	 	19.67	 
	Denver
	 	 	20.01	 	 	 	20.41	 
	Jackson
	 	 	17.82	 	 	 	18.18	 
	Jacksonville
	 	 	16.43	 	 	 	16.76	 
	Las Vegas
	 	 	18.66	 	 	 	19.03	 
	Louisville
	 	 	21.46	 	 	 	21.89	 
	Memphis
	 	 	16.36	 	 	 	16.69	 
	Milwaukee
	 	 	18.11	 	 	 	18.47	 
	Minneapolis
	 	 	18.36	 	 	 	18.73	 
	Nashville
	 	 	18.42	 	 	 	18.79	 
	New Orleans
	 	 	16.76	 	 	 	17.10	 
	New York
	 	 	19.81	 	 	 	20.21	 
	Philadelphia
	 	 	21.42	 	 	 	21.85	 
	Pittsburgh
	 	 	18.52	 	 	 	18.89	 
	Richmond
	 	 	18.56	 	 	 	18.93	 
	Salt Lake
	 	 	18.89	 	 	 	19.27	 
	Seattle
	 	 	22.13	 	 	 	22.57	 
	Syracuse
	 	 	15.43	 	 	 	15.74	 
	Washington
	 	 	19.75	 	 	 	20.15	 

28

 

     The Company and Union agree to establish a wage progression for new
employees as defined below. However, the Company reserves the right to hire
fully qualified mechanics at the full wage rate.

     For the 90-day probationary period, the wage rate will be 70 percent of
the current hourly wage rate; on the 91st day of employment the wage rate will
increase to 80 percent of the current hourly wage rate. During
the 15th month
of employment any employee hired at the reduced entry-level wage rate will be
required to take a mechanical skills test. The employee must successfully
complete the course to receive 100 percent of the current hourly wage rate.
This hourly wage rate will begin the first day of his 19th month of employment.
If the employee fails to successfully complete the test in the 15th month he
will be tested again in the 18th month. Any employee who fails to successfully
complete the test a second time will be re-tested every month thereafter until
he successfully completes the course.

29

 

DURATION OF AGREEMENT

     This Agreement will be in effect from March 27, 2004, until and including
January 31, 2007, and remains in effect from year to year thereafter unless
changed or terminated as herein provided.

     Either party desiring to make any changes or modifications in this
Agreement to become effective at the end of its initial term or any annual
extension, or desiring to terminate the Agreement at its expiration, will
notify the other party in writing of its desire to negotiate modifications or
to terminate the Agreement at least 60 days prior to the expiration of the
initial term or any extension. In the event that any change or modification so
requested by either party is not mutually agreed upon prior to the expiration
date of the Agreement (or any extension), the Agreement will terminate at such
expiration date unless the parties agree to extend it by mutual agreement.

     In Witness whereof, the parties have set their hands by their respective
duly authorized representatives, this 27th day of
March 2004.

	 	 	 	 	 
	 	Greyhound Lines, Inc.

-s- Stephen E.
Gorman

Stephen E. Gorman

President and CEO

 	 
	 	 	 
	 	 	 
	 	 	 
	 

	 	 	 	 	 
	 	Amalgamated Transit Union National Local 1700

-s- Greg Herbold

Greg Herbold

President

 	 
	 	 	 
	 	 	 
	 	 	 
	 

30

 

Exhibit 1 to Article B-4

	A.	 	Employee Monthly Contributions for the Period July 1, 2004 through December 31, 2004:

	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	Employee
	 	Employee + 1
	 	Family

	PPO Plan
	 	$	127.79	 	 	$	242.80	 	 	 	S322.02	 
	Major Medical Plan
	 	$	89.45	 	 	$	169.96	 	 	 	S225.42	 

	B.	 	Company’s Maximum Monthly Contributions Per Participant for Health Plan Coverage:

	 	 	 	 	 
	 Time Period
	 	Maximum Monthly Company Contribution

	July 1, 2004 through December 31, 2004
	 	$	340.01	 
	Calendar Year 2005
	 	$	390.78	 
	Calendar Year 2006
	 	$	437.01	 
	Calendar Year 2007
	 	$	479.95	 

	C.	 	Summary of Plan Benefits Commencing July 1, 2004 and Guaranteed Through December 31, 2004:

	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	 	 	PPO	 	Major Medical	 	 
	 Plan	 	
	 	
	 	Opt-Out Cash
	 Feature
	 	In-Network
	 	Out-of-Network
	 	In-Network
	 	Out-of-Network
	 	Payment

	Deductible
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Individual
	 	$	500	 	 	$	500	 	 	$	4,000	 	 	$	8,000	 	 	 	 	 
	Family
	 	$	1,500	 	 	$	1,500	 	 	$	12,000	 	 	$	24,000	 	 	 	 	 
	Hospital Copay
	 	NA	 	NA	 	NA	 	NA	 	$	500	 
	Office Visit
	 	$	25 co-pay	 	 	 	50	%	 	$	30 co-pay	 	 	 	50	%	 	Per Employee
	Coinsurance
	 	 	70	%	 	 	50	%	 	 	70	%	 	 	50	%	 	Per Year
	Out-of-Pocket

Maximum
	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 
	Individual
	 	$	3,500	 	 	$	3,500	 	 	$	8,000	 	 	$	16,000	 	 	 	 	 
	Family
	 	$	10,500	 	 	$	10,500	 	 	$	24,000	 	 	$	48,000	 	 	 	 	 
	Lifetime Maximum
	 	$	1,000,000	 	 	$	1,000,000	 	 	$	1,000,000	 	 	$	1,000,000	 	 	 	 	 
	Drugs
	 	$20/$35/$50 Retail	 	$20/$35/$50 Retail	 	 	 	 
	 
	 	$30/$60 Mail Order	 	$30/$60 Mail order	 	 	 	 

31

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00066-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00066-of-00352.parquet"}]]