Document:

Exhibit 10.51

            
            SEVERANCE AGREEMENT

            
            THIS SEVERANCE AGREEMENT (this
            “Agreement”) is made and entered into on the 25th day of October, 2007, to
            be effective as of November 1, 2007 (the “Effective Date”), by and
            between REMINGTON ARMS COMPANY,
            INC., a Delaware corporation (the “Company”),
            and JEFF COSTANTIN (the
            “Employee”).

            R
            E C I T A L S:

            
            1.          The
            Employee will be employed by the Company as of the Effective Date as a key
            employee.

            
            2.          The
            Company is engaged in the business of designing, manufacturing, marketing, and selling
            (a) sporting goods products, including, by way of illustration, firearms and
            ammunition, as well as hunting and gun care accessories and clay targets, for the
            global hunting and shooting sports marketplace, and (b) products with law
            enforcement, military and government applications, including, by way of illustration,
            surveillance technology products and powdered metal products (the
            “Business”). Following the Effective Date, the Employee will become
            knowledgeable concerning the important aspects of the Business.

            
            3.          The
            Employee’s employment with the Company as of the Effective Date will create a
            relationship of confidence and trust between the Employee and the Company with respect
            to the Business of the Company and its affiliates and to the business of any client or
            customer of the Company or its affiliates.

            
            4.          The
            Company has determined that it is essential and in the best interests of the Company
            and its shareholders to secure the services, and to ensure the undivided dedication and
            cooperation, of the Employee from and after the Effective Date. To that end, the
            Company has determined that it is in the best interests of the Company and its
            shareholders to provide a Severance Benefit (as defined below) as provided
            herein.

            
            5.          This
            Agreement will become effective as of the Effective Date, assuming the Employee becomes
            employed by the Company as of the Effective Date.

            
            NOW, THEREFORE, in consideration of the
            foregoing and of the mutual covenants and obligations hereinafter set forth, the
            parties hereto, intending to be legally bound, hereby agree as follows:

            
            Section
            1.        
            Definitions.
            Whenever used in this Agreement, including the Recitals and this
            Section 1, the following terms shall have the meanings set forth below (unless
            otherwise indicated by the context), and such meanings shall be applicable to both the
            singular and plural form (except where otherwise expressly indicated):

             

             

            

            

            

            

             

             

            
            1.1        
            “Base Salary” means the amount
            the Employee is entitled to receive from the Company as base wages or base salary on an
            annualized basis as in effect immediately prior to his Termination. Base Salary does
            not include bonuses, commissions, overtime pay, shift pay, premium pay, cost of living
            allowances or income from stock options, stock grants, phantom stock awards or other
            similar types of incentive compensation.

            
            1.2        
            “Beneficiary” means the
            surviving spouse of the Employee or, if he leaves no surviving spouse, then the
            Employee’s estate.

            	
                        
                        1.3

                    	
                        
                        “Board” means the
                        Board of Directors of the Company.

                    	
                        
                         

                    
	
                        
                        1.4

                    	
                        
                        “Business” has the
                        meaning indicated in the first recital above.

                    

            
            1.5        
            “Cause” means one or more of
            the following, in each case as determined by the Company, in its sole discretion:
            (a) the Employee’s conviction of, or pleading guilty or no contest to, any
            crime that constitutes a felony, regardless of its demonstrable impact on the Company,
            or any other crime involving moral turpitude that results, or is reasonably likely to
            result, in material harm to the Company, (b) the failure of the Employee
            substantially to perform the duties of his position or any other duties reasonably
            assigned to him by the Company (other than any such failure due to physical or mental
            illness) or other material breach by the Employee of any of his obligations owed to the
            Company, after a demand for substantial performance or demand for cure of such breach
            is delivered, and a reasonable opportunity to cure is given, to the Employee by a
            Responsible Person, which demand identifies the manner in which the Company believes
            that the Employee has not substantially performed his duties or has breached his
            obligations, (c) the Employee’s willful misconduct or gross negligence that
            has caused or would reasonably be expected to result in material injury to the Company
            or any of its affiliates, (d) any diversion by the Employee for his personal gain
            of any viable and significant business opportunity from the Company (other than with
            the prior consent of the Board), (e) violation of any provision of the
            Company’s Corporate Governance Guidelines, the Company’s Code of Business
            Conduct and Ethics or any covenant contained in this Agreement. For purposes of this
            Section 1.5, “Responsible Person” shall mean the executive officer or
            other employee of the Company who is the direct or indirect supervisor of the
            Employee.

            
            1.6        
            “Code” means the Internal
            Revenue Code of 1986, as amended, and all rules, regulations and other written guidance
            issued thereunder.

            
            1.7        
            “Company” means Remington Arms
            Company, Inc., a Delaware corporation with its principal offices at Madison, North
            Carolina.

            
            1.8        
            “Confidential Information”
            means all trade secrets and other information concerning the Business of
            the Company and its affiliates that is confidential, proprietary or otherwise not
            generally available to the public. By way of example, Confidential Information
            includes, without limitation, customer lists, drawings, designs, information regarding
            product development, marketing plans, sales plans, manufacturing plans, any information
            covered by the Uniform Trade Secrets Act of Delaware or any other similar legal
            protections that may be applicable (or any successor thereto), management organization
            information (including data and other information relating to members of the Board, the
            Board of Directors of RACI Holding,

             

            	
                        
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            Inc. (“Holding”) and management of the Company or Holding),
            operating policies or manuals, business plans, financial records, packaging design or
            other financial, commercial, business or technical information relating to Holding, the
            Company or any of their respective subsidiaries or affiliates or that Holding, the
            Company or any of their respective subsidiaries or affiliates may receive belonging to
            suppliers, customers or others who do business with Holding, the Company or any of
            their respective subsidiaries or affiliates. The parties expressly agree that
            Confidential Information does not exist in written form only. Notwithstanding the
            foregoing, Confidential Information does not include information that (a) is or
            becomes generally available to the public other than as a result of a disclosure by the
            Employee in violation of the provisions of the Agreement, or (b) is received by
            the Employee from another party that did not receive such information directly or
            indirectly from the Company or any of its affiliates under an obligation of
            confidentiality.

            	
                        
                        1.9

                    	
                        
                        “Effective Date”
                        means November 1, 2007.

                    

            
            1.10      
            “Good Reason” means, without
            the Employee’s express written consent, (a) the reduction by the Company in
            the Base Salary of the Employee; or (b) the transfer of the Employee’s
            primary work location to a location that is more than fifty (50) miles from the
            Employee’s primary work location as of the Effective Date.

            
            1.11      
            “Person” means any individual,
            partnership, limited liability company, joint venture, corporation, company, firm,
            group or other entity.

            	
                        
                        1.12

                    	
                        
                        “Restricted Area”
                        means the United States and Canada.

                    

            
            1.13      
            “Restricted Period” means the
            period commencing on the Effective Date and ending on the Termination Date; provided,
            however, that in the event the Employee’s employment is terminated as a result of
            a Severance Event and the Employee becomes entitled to receive the Severance Benefit
            pursuant to Section 2, or the Company otherwise elects to pay the Severance
            Benefit pursuant to Section 2, the Restricted Period shall also include the 365
            day period following his Termination Date.

            	
                        
                        1.14

                    	
                        
                        “Severance Benefit”
                        means the payment described in Section 2.

                    

            
            1.15      
            “Severance Event” means the
            Termination of the Employee (a) by the Company other than for Cause, death or
            Total Disability or (b) by the Employee for Good Reason. In no event shall any one
            of the following events be treated as a Severance Event:

            	
                        
                        (i)

                    	
                        
                        Termination of the Employee as a result of his
                        death;

                    	
                        
                         

                    
	
                        
                        (ii)

                    	
                        
                        Termination of the Employee by the Company for
                        Cause;

                    	
                        
                         

                    
	
                        
                        (iii)

                    	
                        
                        Termination by the Employee for any reason other than Good
                        Reason; or

                    
	
                    	
                    	
                    	
                    

            
            (iv)        Termination of the
            Employee as a result of his Total Disability, unless, and to the extent, the Company
            exercises its rights under Section 2.1.

             

             

            	
                        
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            1.16      
            “Termination” and any
            derivative of that term means the termination of the Employee’s employment with
            the Company or an affiliate.

            	
                        
                        1.17

                    	
                        
                        “Termination Date”
                        means the date of the Employee’s
                        Termination.

                    

            
            1.18      
            “Total Disability” means the
            total disability of the Employee as determined in accordance with the terms of the
            insured, group long-term disability plan sponsored by the Company.

            	
                        
                        Section 2.

                    	
                        
                        Severance
                        Benefit.

                    

            
            2.1        
            Eligibility Amount of Severance Benefit.
            Subject to Sections 2.2 and 2.1 and Section 3, in the event
            the Employee is Terminated after the Effective Date as a result of a Severance Event,
            the Employee, as replacement for the compensation the Employee would have received had
            his employment with the Company continued, shall receive his Base Salary for twelve
            (12) months through the Company’s regular payroll (the “Severance
            Benefit”). No Severance Benefit shall be paid to the Employee in the event the
            Employee is Terminated by the Company for Cause, on account of the death or Total
            Disability of the Employee, or by the Employee for any reason other than Good Reason or
            as a result of a Severance Event; provided, however that the Company shall have the
            right to elect to pay the Employee the Severance Benefit in the event of a termination
            by the Company for Cause or by the Employee without Good Reason in exchange for the
            Employee’s compliance with the covenants set forth in Sections 3.3 and 3.4.
            In the event the Employee becomes entitled to receive a Severance Benefit due the
            occurrence of a Severance Event but dies prior to receiving the Severance Benefit, then
            such amount shall be paid to his Beneficiary. Notwithstanding anything to the contrary
            in this Agreement, this Agreement shall be null and void and of no effect if the
            Employee does not commence his employment with the Company as of the Effective
            Date.

            
            2.2        
            Release of Claims. No Severance Benefit
            shall be provided to the Employee unless the Employee has properly executed and
            delivered to the Company a release of claims substantially in the form attached to this
            Agreement as Exhibit A and that release of claims has become irrevocable as
            provided therein. Such release of claims shall not be accepted by the Company unless it
            is executed on or after the Employee’s Termination Date. Prior to the occurrence
            of a Severance Event, the release of claims may be revised by the Company. The Company
            may in any event modify the release of claims to conform it to the then current laws of
            the local jurisdiction applicable to the Employee.

            
            2.3        
            Exclusive Payment. The Severance Benefit is
            intended to constitute the exclusive payment in the nature of severance or termination
            compensation that shall be due the Employee upon Termination due to the occurrence of a
            Severance Event, and shall be in lieu of any such other severance or termination
            compensation under any other agreement, plan, program or policy of the Company.
            Accordingly, if the Employee is a party to an employment, severance, termination,
            salary continuation or other similar agreement with the Company, or is a participant in
            any other severance plan, practice or policy of the Company, any Severance Benefit paid
            to the Employee shall be reduced (but not below zero) by the amount of severance pay to
            which he is entitled under such other agreement, plan, practice or policy. The
            Severance Benefit shall not

             

            	
                        
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            be
            reduced, however, by any benefits paid or payable under the tax-qualified retirement
            plan and non-qualified retirement plan sponsored by the Company.

            
            Section
            3.        
            Employment and Post-Termination Obligations of
            Employee. All payments to the Employee under this
            Agreement shall be subject to the Employee’s compliance with the following
            provisions during the Restricted Period and, except as otherwise provided in this
            Section 3 following the Termination of the Employee’s employment:

            
            3.1        
            Assistance in Litigation. The Employee
            shall, upon reasonable notice, furnish such information and assistance to the Company
            as may reasonably be required by the Company in connection with any investigation,
            inquiry, litigation or other proceeding in which it is or may become involved, and
            which arises out of facts and circumstances known to the Employee (and without regard
            to whether the Employee is a party thereto). The Company shall promptly reimburse the
            Employee for his reasonable out-of-pocket expenses incurred in connection with the
            fulfillment of his obligations under this Section 3.1.

            
            3.2        
            Confidential Information. As a consequence
            of his unique position with the Company, the Employee acknowledges and agrees that he
            will have broad assess to Confidential Information, that Confidential Information will
            in fact be developed by him in the course of performing his duties and responsibilities
            with the Company, and that Confidential Information furnishes a competitive advantage
            in many situations and constitutes, separately and in the aggregate, a valuable,
            special and unique asset of the Company. During the Restricted Period and at any time
            thereafter, and except as required by any court, supervisory authority or
            administrative agency or as may be otherwise required by applicable law, the Employee
            shall not, without the written consent of the Board, or a person authorized thereby,
            communicate, furnish, divulge or disclose to any Person, other than an employee of the
            Company, or a Person to whom communication or disclosure is reasonably necessary or
            appropriate in connection with the performance by the Employee of his duties as an
            employee of the Company, any Confidential Information obtained by him while in the
            employ of the Company, unless and until such information has become a matter of public
            knowledge at the time of such disclosure. The Employee shall use his best efforts to
            prevent the removal of any Confidential Information from the premises of the Company,
            except as required in connection with the performance of his duties as an employee of
            the Company. The Employee agrees that all Confidential Information (whether now or
            hereafter existing) conceived, discovered or developed by him during the period of his
            employment with the Company belongs exclusively to the Company and not to
            him.

            
            3.3        
            Non-Disparagement. During the Restricted
            Period and at any time thereafter, the Employee shall not make any statement, written
            or oral, whether expressed as a fact, opinion or otherwise, that disparages, or could
            reasonably be construed as disparaging, the Company, or its officers, directors,
            employees, shareholders, representatives or agents. Except as is reasonably necessary
            or appropriate in connection with the performance of his duties as an employee of the
            Company, the Employee shall not knowingly take any action or knowingly provide
            information or issue statements, to the media or otherwise, or knowingly cause anyone
            else to take any action or provide information or issue statements, to the media or
            otherwise, regarding the Company or its officers, directors, employees, shareholders,
            representatives or agents.

             

             

            	
                        
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            3.4        
            Noncompetition and Non-Solicitation. The
            Employee acknowledges and agrees that the duties and responsibilities to be performed
            by him for the Company are of a special and unusual character which have a unique value
            to the Company, the loss of which cannot be adequately compensated by damages in any
            action in law. The Employee further acknowledges and agrees that the unique and
            proprietary knowledge and information possessed by, or which will be disclosed to, or
            developed by, the Employee in the course of his employment will be such that his breach
            of the covenants contained in this Section 3.4 would immeasurably and irreparably
            damage the Company regardless of where in the Restricted Area the activities
            constituting such breach were to occur. Thus, the Employee acknowledges and agrees that
            it is both reasonable and necessary for the covenants in this Section 3.4 to apply to
            the Employee’s activities throughout the Restricted Area and for the Restricted
            Period. In recognition of the special and unusual character of the duties and
            responsibilities of the Employee and as a material inducement to the Company to employ
            the Employee as of the Effective Date in this special and unique capacity, the Employee
            covenants and agrees that, during the Restricted Period, the Employee shall not,
            directly or indirectly:

            
            (a)        perform services for,
            engage in or be engaged in, assist, counsel, advise or otherwise support any business
            within the Restricted Area which is competitive with the Business;

            
            (b)        call upon any Person
            who is, or was at any time during the twelve (12) month period ending on the
            Termination Date, a customer of the Company for the purpose of providing services or
            manufacturing, selling or distributing products similar to, or competitive with, the
            services provided by the Company or the products manufactured, sold and distributed by
            the Company;

            
            (c)        solicit, divert, or
            take away, or attempt to solicit, divert or take away, any Person who is, or was at any
            time during the twelve (12) month period ending on the Termination Date, a customer of
            the Company for the purposes of providing services or manufacturing, selling or
            distributing products similar to, or competitive with, the services provided by the
            Company or the products manufactured, sold and distributed by the Company;
            or

            
            (d)        employ or induce or
            attempt to induce any employee of the Company to terminate his employment with the
            Company for the purpose of performing services for, assisting, counseling, advising or
            otherwise supporting any business within the Restricted Area which is competitive with
            the Business.

            
            3.5        
            Failure to Comply. In the event of a breach
            by the Employee of the provisions of this Section 3, the Company shall have and
            may exercise any and all rights and remedies available to the Company at law or
            otherwise, including, but not limited to, obtaining an injunction from a court of
            competent jurisdiction enjoining and restraining the Employee from committing such
            violation. The Employee hereby consents to the issuance of such injunction and agrees
            to submit to the equitable jurisdiction of any court of competent jurisdiction, without
            reference to whether the Employee resides or does business in that jurisdiction at the
            time such injunction is sought or entered.

             

             

            	
                        
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            3.6        
            Reasonableness of Restrictions. The
            Employee and the Company have each carefully read the provisions of this Section 3
            and, having done so, agree that the restrictions set forth in this Section 3
            (including, but not limited to, the Restricted Period restriction and the Restricted
            Area restriction set forth in this Section 3) are fair and necessary to prevent
            the Employee from unfairly taking advantage of contacts established, nurtured,
            serviced, enhanced or promoted and knowledge gained during the Employee’s
            employment with the Company, and are necessary for the reasonable and proper protection
            of the Company’s interests. The Employee agrees and acknowledges that the Company
            and its affiliates are engaged in the Business and sell and distribute their products
            throughout the United States and other jurisdictions throughout the world, and that it
            would not be reasonable to limit the geographic scope of these covenants to any
            particular geographic location. The Employee acknowledges that the covenants contained
            in this Section 3 will not cause an undue burden on the Employee. Notwithstanding
            the foregoing, in the event any part of the covenants set forth in this Section 3 is
            held to be invalid or unenforceable, the remaining parts thereof shall nevertheless
            continue to be valid and enforceable as though the invalid or unenforceable parts had
            not been included therein. In the event that any provision of this Section 3 is
            declared by a court of competent jurisdiction to be overbroad as written, the Employee
            specifically agrees that the court should modify such provision in order to make it
            enforceable, and that a court should view each such provision as severable and enforce
            those severable provisions deemed reasonable by such court.

            	
                        
                        Section 4.

                    	
                        
                        Tax
                        Consequences.

                    

            
            4.1        
            Deductions and Withholding; No Representations.
            The Employee agrees that the Company or its affiliates, as applicable,
            shall withhold from the payment of the Severance Benefit, all federal, state, local
            and/or other taxes which the Company determines are required to be withheld in
            accordance with applicable statutes or regulations from time to time in effect. The
            Company makes no representations or warranties to the Employee with respect to the tax
            consequences (including, but not limited to, income tax consequences) related to the
            payment contemplated by this Agreement, and the Employee is in no manner relying on the
            Company or its representatives for an assessment of such tax consequences.

            
            4.2        
            Code Section 409A. To the extent
            applicable, the parties hereto intend that this Agreement comply with Section 409A of
            the Code (“Code Section 409A”). The parties agree that this Agreement shall
            at all times be interpreted and construed in a manner to comply with Code Section 409A
            and that should any provision be found not in compliance with Code Section 409A,
            the parties are contractually obligated to execute any and all amendments to this
            Agreement deemed necessary and required by the Company’s legal counsel to achieve
            compliance with Code Section 409A unless such action results in substantial additional
            costs to the Company. By execution and delivery of this Agreement, the Employee
            irrevocably waives any objections he may have to any amendments required by Code
            Section 409A. The parties also agree that in no event shall any payment required to be
            made pursuant to this Agreement be made to the Employee unless compliant with Code
            Section 409A. In the event amendments are required to make this Agreement compliant
            with Code Section 409A, the Company shall use its best efforts to provide the Employee
            with substantially the same benefits and payments he would have been entitled to
            pursuant to this Agreement had Code Section 409A not applied, but in a manner that is
            compliant with Code Section 409A and does not result in substantial
            additional

             

            	
                        
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            costs to the Company. The manner in which the immediately preceding
            sentence shall be implemented shall be the subject of good faith negotiations between
            the parties.

            
            Section
            5.        
            Notices.
            Any notice or other communication required or permitted to be delivered
            under this Agreement shall be (a) in writing, (b) delivered personally, by courier
            service or by certified or registered mail, first-class postage prepaid and return
            receipt requested, (c) deemed to have been received on the date of delivery or on
            the third business day after the mailing thereof, and (d) addressed as follows (or
            to such other address as the party entitled to notice shall hereafter designate in
            accordance with the terms hereof):

            
            If to the Company:

            
             

            
            Remington Arms Company, Inc.

            
            870 Remington Drive

            
            Post Office Box 700

            
            Madison, NC 27025-0700

            
            Attention: Mark Little

            
             

            
            If to the Employee:

            
             

            
            Jeff Costantin

            
            9 Rice Lane

            
            Long Valley, NJ  07853

             

            
            Section
            6.        
            Entire Agreement.
            This Agreement (including Exhibit A hereto) constitutes the entire
            agreement between the parties hereto with respect to the subject matter hereof, and all
            promises, representations, understandings, arrangements and prior agreements relating
            to such subject matter (including, without limitation, those between the Employee and
            any other person or entity) are merged into and superseded by this Agreement, and the
            terms of any prior employment agreement or arrangement shall, from and after the date
            of this Agreement, be of no further force or effect.

            
            Section
            7.        Governing Law; Consent
            to Jurisdiction.

            
            7.1        This
            Agreement shall be governed by and construed in accordance with the laws of the State
            of Delaware (without regard to conflict of law principles thereof) applicable to
            contracts made and to be performed therein, and in any action or other proceeding that
            may be brought arising out of, in connection with or by reason of this Agreement, the
            laws of the State of Delaware shall be applicable and shall govern to the exclusion of
            the law of any other forum.

            
            7.2        Any
            action to enforce any of the provisions of this Agreement shall be brought exclusively
            in a court of the State of Delaware or in a Federal court located within the State of
            Delaware, and by execution and delivery of this Agreement, the Employee and the Company
            irrevocably consent to the exclusive jurisdiction of those courts and the Employee
            hereby submits to personal jurisdiction in the State of Delaware. The Employee and the
            Company irrevocably waive any objection, including any objection based on lack of
            jurisdiction, improper venue or forum non conveniens, which either may now or hereafter
            have to the bringing of any

             

            	
                        
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            action or proceeding in such jurisdiction in respect to this Agreement
            or any transaction related hereto. The Employee and the Company acknowledge and agree
            that any service of legal process by mail in the manner provided for notices under this
            Agreement constitutes proper legal service of process under applicable law in any
            action or proceeding under or in respect to this Agreement.

            
            Section
            8.        
            Binding Effect; Assignability; Merger or
            Consolidation. This
            Agreement shall be binding upon and inure to the benefit of the parties hereto. The
            obligations of the Employee hereunder may not be delegated, and the Employee may not,
            without the Company’s written consent, assign, transfer, convey, pledge,
            encumber, hypothecate or otherwise dispose of this Agreement or any interest herein.
            Any such attempted delegation or disposition shall be null and void and without effect.
            The Company and the Employee agree that this Agreement and all of the Company’s
            rights and obligations hereunder may be assigned or transferred by the Company to and
            shall be assumed by and be binding upon any successor to the Company; provided,
            however, that the Company will not consolidate or merge into or with another Person, or
            transfer all or a material part of its assets to another Person (a “Successor
            Entity’) unless the Successor Entity shall assume this Agreement, and upon such
            assumption, the Employee and the Successor Entity shall become obligated to perform the
            terms and conditions of this Agreement.

            
            Section
            9.        
            Severability.
            In the event that any one or more of the provisions of this Agreement
            shall be or become invalid, illegal or unenforceable in any respect, the validity,
            legality and enforceability of the remaining provisions contained herein shall not be
            affected thereby. Specifically, in the event any part of the covenants set forth in
            Section 3 is held to be invalid or unenforceable, the remaining parts thereof
            shall nevertheless continue to be valid and enforceable as though the invalid or
            unenforceable parts had not been included therein. In the event that any provision of
            Section 3 is be declared by a court of competent jurisdiction to be overbroad as
            written, the Employee specifically agrees that the court should modify such provision
            in order to make it enforceable, and that a court should view each such provision as
            severable and enforce those severable provisions deemed reasonable by such
            court.

            
            Section
            10.      
            Amendment: Waiver.
            Except as otherwise provided in Section 4, no provision of this
            Agreement may be modified, waived or discharged unless such modification, waiver or
            discharge is approved by the Board or a duly authorized committee thereof. No waiver by
            any party hereto at any time of any breach by any other party hereto of, or compliance
            with, any condition or provision of this Agreement to be performed by such other party
            shall be deemed a waiver of similar or dissimilar provisions or conditions at the same
            or at any prior or subsequent time. No delay in exercising any right or remedy shall
            constitute a waiver thereof, and no waiver of any provision of this Agreement shall be
            implied from any course of dealing between or among the parties hereto or from any
            failure by any party hereto to assert its or his rights hereunder on any occasion or
            series of occasions.

            
            Section
            11.      
            Headings.
            All headings herein are inserted for convenience and ease of reference
            purposes only and are not to be considered in the construction or interpretation of
            this Agreement.

             

             

            	
                        
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            Section
            12.      
            Counterparts.
            This Agreement may be executed simultaneously in counterparts, both of
            which shall be deemed an original but all of which together shall constitute one and
            the same instrument.

            
            Section
            13.      
            No Duty to Mitigate.
            The Employee shall have no obligation to take any action to mitigate or
            offset any amounts payable by the Company pursuant to this Agreement by seeking other
            employment or otherwise, nor shall the amount of any payment provided for in this
            Agreement be reduced by any compensation earned by the Employee as the result of
            employment by another employer after the date of the Employee’s Termination or
            otherwise.

            
            Section
            14.      
            Source of Payments; No
            Trust. The obligations of
            the Company to make payments hereunder shall constitute a liability of the Company to
            the Employee. Such payments shall be from the general funds of the Company, and the
            Company shall not be required to establish or maintain any special or separate fund, or
            otherwise to segregate assets to assure that such payments shall be made, and neither
            the Employee nor his Beneficiary shall have any interest in any particular asset of the
            Company by reason of its obligations hereunder. Nothing contained in this Agreement
            shall create or be construed as creating a trust of any kind or any other fiduciary
            relationship between the Company and the Employee or any other person. To the extent
            that any person acquires a right to receive payments from the Company hereunder, such
            right shall be no greater than the right of an unsecured creditor of the
            Company.

            
            Section
            15.      
            No Right to Continued
            Employment. Nothing
            contained in this Agreement shall be construed as conferring upon the Employee the
            right or imposing upon him the obligation to continue in the employment of the Company
            after the Effective Date, nor shall it be construed as imposing upon the Company the
            obligation to continue to employ the Employee after the Effective Date. The Company and
            the Employee acknowledge that the employment of the Employee is and shall continue to
            be “at will” and may be terminated at any time by either party, with or
            without Cause.

            
            Section
            16.      
            No Conflicts.
            The Employee represents that he is entering into this Agreement
            voluntarily and that the Employee’s employment hereunder and his compliance with
            the terms and conditions of this Agreement will not conflict with or result in his
            breach of any agreement to which he is bound.

            
            Section
            17.      
            Employee
            Acknowledgment. The Employee
            (a) has had a reasonable amount of time in which to review and consider this
            Agreement prior to signature, (b) has in fact read the terms of this Agreement,
            (c) has the full legal capacity to enter into this Agreement and has had the
            opportunity to consult with legal counsel before signing this Agreement, (d) fully
            and completely understands the meaning, intent and legal effect of this Agreement, and
            (e) has knowingly and voluntarily executed this Agreement.

            
            Section
            18.      
            Recitals.
            The Recitals to this Agreement are incorporated herein and shall
            constitute an integral part of this Agreement.

             

             

            	
                        
                        10

                    

             

            

            

            

            

            
            IN WITNESS WHEREOF, the parties hereto have
            duly executed this Agreement as of the date first written above.

            
            REMINGTON ARMS COMPANY, INC.

             

             

            
            By: /s/ Thomas L. Millner

                   ——————————————————

            
            Name: Thomas L. Millner

            
            Title: CEO

            
             

            
            EMPLOYEE

            
             

            
            /s/ Jeff Costantin

            
            ———————————————————–

            
            Jeff Costantin

             

            	
                        
                        11

                    

             

            

            

            

            

             

             

            
            EXHIBIT A

            
            REMINGTON ARMS COMPANY, INC.

            
            SEVERANCE AGREEMENT

            
            GENERAL RELEASE AND WAIVER OF CLAIMS

            
            In consideration of the payment by Remington Arms Company, Inc.
            (“Remington”) of the Severance Benefit to me pursuant to that certain
            Severance Agreement dated __________, _______, to which this Exhibit A is attached
            (the “Agreement”), I, Jeff Costantin agree to and do finally and completely
            release and forever discharge Remington and its parents, subsidiaries and affiliates,
            and any one or more of their employees, shareholders, officers, directors or agents
            (the “Releasees”) from any and all liabilities claims, obligations, demands
            and causes of action of any and every kind or nature whatsoever, in law, equity or
            otherwise, known or unknown, suspected or unsuspected, disclosed and undisclosed, which
            now have, own or hold, or claim to have, own or hold, or which I may have, own or hold,
            or claim to have, own or hold, against each or any of the Releasees arising from or
            relating to my employment with Remington and termination of that employment.

            
            This General Release and Waiver of Claims (this “Release”)
            includes, without limiting the generality of the foregoing, claims arising under any
            provision of federal, state federal or local law, any federal, state or local
            anti-discrimination statute, ordinance or regulation, the Age Discrimination in
            Employment Act of 1967 (the “ADEA”), the Americans with Disabilities Act,
            the Family and Medical Leave Act, Title VII of the Civil Rights Act of 1964 and the
            Civil Rights Act 1991, or the Employee Retirement Income Security Act of 1974, all as
            amended, or any similar federal, state or local statutes, ordinances or regulations, or
            claims in the nature of a breach of contract, claims for wrongful discharge, emotional
            distress, defamation, fraud or breach of the covenant of good faith and fair dealing,
            tort and wage or benefit claims (other than the Severance Benefit to which I am
            entitled under the Agreement); provided, however, that this Release does not include
            actions brought to enforce the terms of this Release, including my right to the
            Severance Benefit, or to secure benefits under any other employee benefit plan or
            program of Remington of which I am a participant unless expressly excluded by the
            Agreement. If I violate the terms of this Release, I agree to pay the Releasees’
            costs and reasonable attorneys’ fees.

            
            I acknowledge that, among other rights subject to this Release, I am
            hereby waiving and releasing any rights I may have under the ADEA, that this Release is
            knowing and voluntary, and that the consideration given for this Release is in addition
            to anything of value to which I was already entitled as an employee of
            Remington.

            
            As provided by law, I have been advised by Remington to carefully
            consider the matters outlined in this Release and to consult with such professional
            advisors as I deem appropriate, including a lawyer of my own choice. I acknowledge I
            have had at least twenty-one (21) days from my receipt of this Release to consider the
            terms and conditions set forth herein, and I understand that I have seven (7) days
            following my execution of this Release to revoke my signature, in which event this
            Release shall not be effective or binding on the parties, and I will

             

             

            

            

            

            

             

            not
            receive the Severance Benefit described in the Agreement. I further understand fully
            and acknowledge the terms and consequences of this Release, and I voluntarily accept
            them.

            
            ACKNOWLEDGED AND AGREED TO,

            
            INTENDING TO BE LEGALLY BOUND HEREBY:

	Dated:______________________________	 ___________________________

        EmployeeExhibit 10.52

             

             

             

             

            
            REMINGTON

             

            
            COLLECTIVE BARGAINING

            
            AGREEMENT

             

            
            Between

             

            
            REMINGTON ARMS COMPANY,

            
            INC.

            
            ILION, NEW YORK

             

            
            and

             

            
            INTERNATIONAL UNION,

            
            UNITED MINE WORKERS OF

            
            AMERICA

            

             

            
            1

             

             

            

            

            

            

             

             

            
            Table of Contents

             

            	
                        
                        Article I - Enabling Clause

                    	
                        
                        5

                    
	
                        
                         

                    	
                        
                        Section (a) Prior Agreements, Practices and
                        Customs

                    	
                        
                        5

                    
	
                        
                         

                    	
                        
                        Section (b) Recognition

                    	
                        
                        5

                    
	
                        
                         

                    	
                        
                        Section (c) Non-Discrimination

                    	
                        
                        5

                    
	
                        
                         

                    	
                        
                        Section (d) Definitions

                    	
                        
                        5

                    
	
                        
                         

                    	
                        
                        Section (e) Payroll Deduction

                    	
                        
                        6

                    
	
                        
                         

                    	
                        
                        Section (f) Successorship

                    	
                        
                        6

                    
	
                        
                        Article II – Scope and Coverage

                    	
                        
                        7

                    
	
                        
                         

                    	
                        
                        Section (a) Work Jurisdiction

                    	
                        
                        7

                    
	
                        
                         

                    	
                        
                        Section (b) Exemptions Clause

                    	
                        
                        7

                    
	
                        
                        Section (c) Supervisors Shall Not Perform Classified
                        Work

                    	
                        
                        7

                    
	
                        
                         

                    	
                        
                        Section (d) Management of the Plant

                    	
                        
                        8

                    
	
                        
                         

                    	
                        
                        Section (e) UNION’S Rights

                    	
                        
                        8

                    
	
                        
                         

                    	
                        
                        Section (f) Contracting and Subcontracting

                    	
                        
                        9

                    
	
                        
                         

                    	
                        
                        Section (g) Job Security

                    	
                        
                        9

                    
	
                        
                        Article III - Wages and Hours

                    	
                        
                        10

                    
	
                        
                         

                    	
                        
                        Section (a) Basic Workday

                    	
                        
                        10

                    
	
                        
                         

                    	
                        
                        Section (b) Basic Workweek

                    	
                        
                        10

                    
	
                        
                         

                    	
                        
                        Section (c) Overtime Pay and Premium Pay

                    	
                        
                        10

                    
	
                        
                         

                    	
                        
                        Section (d) Standard Daily Wage Rate

                    	
                        
                        13

                    
	
                        
                         

                    	
                        
                        Section (e) Hourly Wage Rates and Shift
                        Differential

                    	
                        
                        13

                    
	
                        
                        Article IV – Holidays

                    	
                        
                        15

                    
	
                        
                         

                    	
                        
                        Section (a) Holidays Observed

                    	
                        
                        15

                    
	
                        
                         

                    	
                        
                        Section (b) Saturday and Sunday Holidays

                    	
                        
                        15

                    
	
                        
                         

                    	
                        
                        Section (c) Plant Floater and December 24

                    	
                        
                        16

                    
	
                        
                         

                    	
                        
                        Section (d) Pay for holidays Worked

                    	
                        
                        16

                    
	
                        
                         

                    	
                        
                        Section (e) Pay for Holidays Not Worked

                    	
                        
                        16

                    
	
                        
                         

                    	
                        
                        Section (f) Birthday Holidays

                    	
                        
                        16

                    
	
                        
                         

                    	
                        
                        Section (g) Time of Payment

                    	
                        
                        17

                    
	
                        
                        Article V – Vacation

                    	
                        
                        17

                    
	
                        
                         

                    	
                        
                        Section (a) Regular Vacation

                    	
                        
                        17

                    
	
                        
                         

                    	
                        
                        Section (b) Plant Shutdown

                    	
                        
                        17

                    
	
                        
                         

                    	
                        
                        Section (c) Staggered Vacation

                    	
                        
                        18

                    
	
                        
                         

                    	
                        
                        Section (d) Work During Shutdown

                    	
                        
                        18

                    
	
                        
                         

                    	
                        
                        Section (e) Time of Payment

                    	
                        
                        18

                    
	
                        
                         

                    	
                        
                        Section (f) Obligation for Payment

                    	
                        
                        19

                    
	
                        
                        Article VI – Allowance

                    	
                        
                        19

                    
	
                        
                         

                    	
                        
                        Section (a) Bereavement Pay

                    	
                        
                        19

                    
	
                        
                         

                    	
                        
                        Section (b) Jury Duty

                    	
                        
                        20

                    
	
                        
                         

                    	
                        
                        Section (c) Reporting Pay and Call - In Pay

                    	
                        
                        21

                    
	
                        
                         

                    	
                        
                        Section (d) Military Duty

                    	
                        
                        21

                    
	
                        
                        Article VII – Joint Labor – Management
                        Communication Committee

                    	
                        
                        21

                    
	
                        
                        Article VIII – Health and Safety

                    	
                        
                        22

                    
	
                        
                         

                    	
                        
                        Section (a) Right to a Safe Working place

                    	
                        
                        22

                    
	
                    	
                    	
                    	
                    

            

             

             

            
            2

             

             

            

            

            

            

             

             

            	
                        
                         

                    	
                        
                        Section (b) Health and Safety Committee

                    	
                        
                        22

                    
	
                        
                         

                    	
                        
                        Section (c) Settlement of Health or Safety
                        Disputes

                    	
                        
                        24

                    
	
                        
                         

                    	
                        
                        Section (d) Drug and Alcohol Testing

                    	
                        
                        24

                    
	
                        
                        Article IX – Seniority

                    	
                        
                        24

                    
	
                        
                         

                    	
                        
                        Section (a) Definition of Seniority

                    	
                        
                        24

                    
	
                        
                         

                    	
                        
                        Section (b) Termination of Seniority

                    	
                        
                        24

                    
	
                        
                         

                    	
                        
                        Section (c) Probationary Period

                    	
                        
                        25

                    
	
                        
                         

                    	
                        
                        Section (d) Filling Vacancies

                    	
                        
                        25

                    
	
                        
                         

                    	
                        
                        Section (e) Reduction Realignment Procedure

                    	
                        
                        25

                    
	
                        
                         

                    	
                        
                        Section (f) Panel

                    	
                        
                        27

                    
	
                        
                         

                    	
                        
                        Section (g) Panel Custodians

                    	
                        
                        27

                    
	
                        
                         

                    	
                        
                        Section (h) Panel Members Accrue Seniority

                    	
                        
                        27

                    
	
                        
                         

                    	
                        
                        Section (i) Right to be Recalled

                    	
                        
                        27

                    
	
                        
                         

                    	
                        
                        Section (j) Recall of Persons on Layoff Status

                    	
                        
                        28

                    
	
                        
                         

                    	
                        
                        Section (k) Job Bidding and Posting Procedure

                    	
                        
                        28

                    
	
                        
                         

                    	
                        
                        Section (l) Temporary Assignments

                    	
                        
                        31

                    
	
                        
                         

                    	
                        
                        Section (m) Separation Pay

                    	
                        
                        32

                    
	
                        
                        Article X – Settlement of Disputes

                    	
                        
                        33

                    
	
                        
                         

                    	
                        
                        Section (a) Grievance Committee

                    	
                        
                        33

                    
	
                        
                         

                    	
                        
                        Section (b) Grievance Procedure

                    	
                        
                        34

                    
	
                        
                         

                    	
                        
                        Section (c) Finality of Decision or Settlement

                    	
                        
                        37

                    
	
                        
                         

                    	
                        
                        Section (d) Waiver of Time Limits

                    	
                        
                        37

                    
	
                        
                        Article XI – Discipline and Discharge

                    	
                        
                        37

                    
	
                        
                         

                    	
                        
                        Section (a) Just Cause Required

                    	
                        
                        37

                    
	
                        
                         

                    	
                        
                        Section (b) Procedure

                    	
                        
                        37

                    
	
                        
                         

                    	
                        
                        Section (c) Suspension

                    	
                        
                        38

                    
	
                        
                         

                    	
                        
                        Section (d) Compensation for Lost Earnings

                    	
                        
                        38

                    
	
                        
                         

                    	
                        
                        Section (e) Removal of Employee Disciplinary
                        Records

                    	
                        
                        38

                    
	
                        
                        Article XII - Benefits and Practices

                    	
                        
                        38

                    
	
                        
                         

                    	
                        
                        Section (a) Eligibility

                    	
                        
                        38

                    
	
                        
                         

                    	
                        
                        Section (b) Benefits of Choice

                    	
                        
                        38

                    
	
                        
                         

                    	
                        
                        Section (c) Length of Service

                    	
                        
                        39

                    
	
                        
                         

                    	
                        
                        Section (d) Practices

                    	
                        
                        39

                    
	
                        
                         

                    	
                        
                        Section (e) Administrative and Design Matters and
                        Uniformity

                    	
                        
                        39

                    
	
                        
                        Article XIII – Miscellaneous

                    	
                        
                        40

                    
	
                        
                         

                    	
                        
                        Section (a) Pay Day

                    	
                        
                        40

                    
	
                        
                         

                    	
                        
                        Section (b) Bulletin Boards

                    	
                        
                        40

                    
	
                        
                         

                    	
                        
                        Section (c) Safety Shoes

                    	
                        
                        40

                    
	
                        
                         

                    	
                        
                        Section (d) Eye Examinations

                    	
                        
                        40

                    
	
                        
                         

                    	
                        
                        Section (e) Disability Accommodation

                    	
                        
                        41

                    
	
                        
                         

                    	
                        
                        Section (f) Medical Appointments

                    	
                        
                        41

                    
	
                        
                        Article XIV – No Strike or Lockout

                    	
                        
                        41

                    
	
                        
                         

                    	
                        
                        Section (a) Union Not to Strike

                    	
                        
                        41

                    
	
                        
                         

                    	
                        
                        Section (b) Union to Halt Breach

                    	
                        
                        42

                    
	
                        
                         

                    	
                        
                        Section (c) Discipline for Breach

                    	
                        
                        42

                    
	
                        
                         

                    	
                        
                        Section (d) No Lockout

                    	
                        
                        42

                    
	
                    	
                    	
                    

             

             

            
            3

             

             

            

            

            

            

             

             

            	
                        
                        Article XV – Maintain Integrity of the Contract and
                        Resort to Courts

                    	
                        
                        42

                    
	
                        
                        Article XVI – Modification and Severability
                        Clause

                    	
                        
                        42

                    
	
                        
                         

                    	
                        
                        Section (a) Modification

                    	
                        
                        42

                    
	
                        
                         

                    	
                        
                        Section (b) Severability

                    	
                        
                        43

                    
	
                        
                        Article XVII - Ratification and Termination of this
                        Agreement

                    	
                        
                        43

                    
	
                        
                        SHORT TERM DISABILITY PAY PLAN

                    	
                        
                        45

                    
	
                        
                        APPENDIX A

                    	
                        
                        46

                    
	
                        
                        APPENDIX B

                    	
                        
                        48

                    
	
                        
                        APPENDIX C

                    	
                        
                        49

                    
	
                        
                        APPPENDIX D

                    	
                        
                        51

                    
	
                    	
                    	
                    

            

             

            
            4

             

             

            

            

            

            

             

             

            
            AGREEMENT

             

            
            Article I - Enabling Clause

             

            
            Effective this 23rd
            day of October 2007, the Ilion Plant of REMINGTON ARMS COMPANY, INC.,
            situated at Ilion, New York, hereinafter referred to as the PLANT or the EMPLOYER, and
            the INTERNATIONAL UNION, UNITED MINE WORKERS OF AMERICA, hereinafter referred to as the
            UNION, in consideration of the mutual covenants herein contained have agreed and do
            agree as follows:

             

            
            Section (a) Prior Agreements, Practices and
            Customs

             

            
            This agreement supersedes the collective bargaining agreements
            previously executed by the parties. There shall be no prior practices and customs
            observed at the Ilion Plant, unless identified in Appendix C. All previous agreements
            not contained in this agreement, will be superseded by this Agreement and to remain in
            effect must be signed and dated on or after the effective date of this
            Agreement.

             

            
            Section (b) Recognition

             

            
            The UNION has been and is recognized as the exclusive bargaining agency
            for the Employees of said Ilion Plant. This agreement pertains to only the unit to be
            recognized; it does not create any rights or obligations not expressly stated herein.
            All Employees shall be or become members of the UNION, to the extent and in the manner
            permitted by law.

             

            
            Section (c)
            Non-Discrimination

             

            
            The PLANT and the UNION affirm the policy of nondiscrimination against
            any Employee or applicant for employment because of age, disability (within the meaning
            of the ADA), race, creed, religion, color, sex, national origin, ancestry or political
            activity (whether intra-UNION or otherwise) with respect to wages, hours and working
            conditions.

             

            
            Section (d) Definitions

             

            
            Wherever the following terms are used in this Agreement, they are
            defined as follows:

             

            
            (1)       The term “PLANT”
            shall mean the Ilion Plant of Remington Arms Company, Inc. located at Ilion, New
            York.

             

            
            5

             

             

            

            

            

            

             

             

            
            (2)       The terms “Employee”
            or “Employees” shall mean any or all of those employees at the Plant
            included within the bargaining unit covered by this Agreement.

             

            
            (3)       The terms “Current
            Employee” or “Current Employees” shall mean only those employees
            hired before September 11, 1997.

             

            
            (4)       The terms “New
            Employee” and “New Employees” shall mean only those employees hired
            on or after September 11, 1997.

             

            
            (5)       When the term
            “Employee(s)” or a personal noun or pronoun appears in this Agreement, it
            shall be understood to refer to either the masculine or feminine gender or both as
            applicable in the context in which it appears.

             

            
            Section (e) Payroll
            Deduction

             

            
            (1)  The PLANT will deduct the membership dues, including
            initiation fees and assessments, or the legally required equivalent thereof, of the
            UNION and its various subdivisions, prescribed by the UNION, and other authorized
            deductions, from the salary payable within the month of an Employee who authorizes the
            PLANT to make such deductions on a form entitled United Mine Workers of America
            Checkoff Authorization Form.

             

            
            (2)  All sums deducted in this manner shall be turned over by
            the PLANT to the designated representatives of the UNION, together with a statement
            listing the names and social security numbers of all unit Employees and the amount
            checked off for each authorized deduction.

             

            
            Section (f) Successorship

             

            
            In consideration of the UNION’S execution of this Agreement, the
            EMPLOYER promises that the PLANT covered by this Agreement shall not be sold, conveyed,
            or otherwise transferred or assigned to any successor without first securing the
            successor’s agreement to assume the EMPLOYER’S obligations under this
            Agreement including Appendix A. Immediately upon the conclusion of any such sale,
            conveyance, assignment or transfer of the PLANT, the EMPLOYER shall notify the UNION of
            the transaction. Such notification shall be by certified mail to the
            Secretary-Treasurer of the International Union and shall be accompanied by
            documentation that the successor obligation set forth herein has been
            satisfied.

             

            
            

             

            
            6

             

             

            

            

            

            

             

             

            
            Article II – Scope and Coverage

             

            
            Section (a) Work
            Jurisdiction

             

            
            All current bargaining unit work including processes related to the
            production and processing of firearms and routine repair and routine maintenance work
            normally performed at the PLANT, and work of the type customarily related to all of the
            above shall be performed by bargaining unit Employees of the EMPLOYER covered by and in
            accordance with the terms of this Agreement, except as otherwise specified
            herein.

             

            
            Section (b) Exemptions
            Clause

             

            
            It is the Intention of this Agreement to reserve to the EMPLOYER and
            except from this Agreement an adequate force of supervisory employees to effectively
            conduct the safe and efficient operation of the PLANT and at the same time, to provide
            against the abuse of such exemptions by excepting more such employees than are
            reasonably required for that purpose.

             

            
            Exempt employees under this provision are salaried employees exempt
            under the Fair Labor Standards Act including the Plant Manager, his assistants and
            their staff, Supervisory employees, with authority to hire, discharge, promote,
            transfer, or otherwise effect changes in status of Employees or effectively to
            recommend such action. All non-exempt employees excluded from the bargaining unit will
            retain such status. All other Employees working in or around the PLANT shall be covered
            by this Agreement, except as otherwise specified herein.

             

            
            The UNION will not seek to organize or ask recognition for such exempt
            employees during the life of this Agreement. The EMPLOYER shall not use this provision
            to exempt from the provisions of this Agreement more persons than are necessary for the
            safe and efficient operation of the PLANT.

             

            
            Section (c) Supervisors Shall Not Perform
            Classified Work

             

            
            Supervisory employees shall perform no classified work covered by this
            Agreement except in emergencies and except if such work is necessary for the purpose of
            training or instructing bargaining unit Employees. Plant Management retains the right
            to audit operations which may include measuring and gauging components and auditing
            finished product as well as engineering support for product development and
            troubleshooting so long as the number of bargaining unit Employees currently performing
            such work is not eliminated or reduced. When a dispute arises under this section, it
            shall be adjudicated through the grievance and arbitration procedures covered by this
            Agreement and in such proceedings the following rule will apply: the burden
            is

             

            
            7

             

             

            

            

            

            

             

            on
            the EMPLOYER to prove that classified work has not been performed by supervisory
            personnel.

             

            
            Section (d) Management of the
            PLANT

             

            	
                        
                        (1)

                    	
                        
                        Management Rights

                    

            
             

            
            The UNION recognizes and agrees that, except as specifically limited by
            the express provisions of this Agreement, the PLANT maintains the sole and exclusive
            right to manage its business in such a manner as the PLANT shall determine to be in its
            best interest. The exercise or nonexercise of the rights retained by the PLANT shall
            not be deemed to waive any such rights or the discretion to exercise any such rights in
            some other way in the future.

            
             

            
            (2) Most Favored Nations

            
             

            
            During the term of this Agreement should the UNION either (A) enter into
            an agreement with any other competing firearm manufacturer (with comparable gross
            sales) other than Remington Arms Co., Inc. or any of its component divisions, the terms
            or conditions of which agreement are more advantageous to the other employer than those
            contained in this Agreement; or (B) Countenance a course of conduct by any other
            comparable competing firearms manufacturer signed to an agreement with the UNION, which
            course of conduct enables the other employer to operate under more advantageous terms
            and conditions than are provided for in this Agreement, the PLANT shall be privileged
            to adopt such advantageous terms and conditions upon written notice to the UNION of its
            intent to do so.

             

            
            Section (e) UNION’S
            Rights

             

            
            (1) Authorized representatives of the District and the International
            will be allowed access to the PLANT property to insure compliance with this Agreement,
            after giving notice and their reason for seeking access. The President, International
            Vice Presidents, Field Representatives and International Safety Representatives and
            Secretary-Treasurer of the International Union will be granted access to the PLANT
            provided that such officials have given a minimum of 48 hours advance notification and
            reason of their desire to visit, provided there is no interference with production. The
            EMPLOYER shall provide candidates for UNION office reasonable opportunity to campaign
            among its Employees during their non-working hours and in non-working areas, provided
            there is no interference with production. The EMPLOYER further agrees to provide space
            on PLANT property for the holding of UNION elections and the ratification of collective
            bargaining agreements. However, the UNION agrees that there shall be no solicitation or
            UNION meetings or promotional UNION activity on PLANT time.

            
             

             

            
            8

             

             

            

            

            

            

             

             

            
            (2) The Local Union President, Vice President, Financial Secretary,
            Recording Secretary and Employees who are either elected or appointed to the Joint
            Labor-Management Communications Committee, the Health and Safety Committee, and the
            Grievance Committee shall have the right of movement throughout the PLANT in the
            performance of their official duties, provided the UNION officials noted above do not
            unreasonably interfere with the production of Employees. Local Union Officers and
            committee member shall seek permission from their supervisor to leave their work area
            in order to meet their responsibilities as outlined within this Agreement. Permission
            will be granted unless there is a justifiable business reason for denying such
            permission. Once permission has been granted, the Employee will be paid their regular
            rate as long as the responsibilities are carried out during the Employee’s
            regular work hours.

             

            
            (3) UNION officials noted above in subsection (2), with proper advance
            notification to Human Resources, will be excused to participate in UNION activities. In
            cases where multiple UNION officials noted above in subsection (2) are requesting to be
            excused for multiple days, the request shall be submitted as far in advance as possible
            but no less than two (2) working days prior to the requested time off. In cases of
            District or International Conventions or conferences, no more than ten (10) Employees
            shall be excused to attend. Employees who have an official request for a leave of
            absence shall be granted leave to serve as District or International officers or
            representatives and shall retain their seniority and accrue seniority while they are on
            such leave. Employees who have an official request for a leave of absence shall be
            granted leave to accept a temporary UNION assignment, not to exceed four (4)
            consecutive months, and to return to their former jobs and shifts. No more than two (2)
            Employees may accept such temporary UNION assignments at the same time. Permanent UNION
            appointees and those Employees who are elected to District or International office
            shall be entitled to return to a job, provided that Employees with greater seniority at
            the PLANT are not on layoff.

             

            
            Section (f) Contracting and
            Subcontracting

             

            
            Notwithstanding anything to the contrary in this Agreement, the PLANT
            has the unlimited right to contract out or transfer work.

             

            
            Section (g) Job Security

             

            
            During the life of this Agreement, and based on market demand, the M/7,
            M/700, M/7600, M/7400, M/1187, M/1100, M/870, SP10, M/552, M/572, M750, M7615 and
            105CTi will continue to be produced only at the Ilion Plant; however, in accordance
            with Article II, Section (f), the PLANT retains the right to purchase and/or procure
            component parts and services for the foregoing models.

             

            
            

             

            
            9

             

             

            

            

            

            

             

             

            
            Article III - Wages and Hours

             

            
            Section (a) Basic Workday

             

            
            The regular or basic “workday” shall begin at 7:00 am and
            end the following day at 7:00 am. The EMPLOYER may designate other
            “workdays” for individual Employees or groups of Employees following
            discussion of the need to do so with the Local Union.

             

            
            Section (b) Basic Workweek

             

            
            The regular or basic “workweek” shall begin Monday at 7:00
            a.m. and shall end the following Monday at 7:00 am. The EMPLOYER may designate other
            “workweeks” for individual Employees or groups of Employees following
            discussion of the need to do so and agreement by the Local Union. An Employee’s
            basic “workweek” will not be changed without seven days prior notice. In
            the event the parties are unable to reach agreement regarding the work week change, the
            EMPLOYER may implement the change, subject to the UNION’s right to file a
            grievance and submit the matter to arbitration for final resolution. In cases where the
            change is of a single week duration, the agreement and notice provisions of this
            section shall not apply, but the affected Employee(s) will be given as much notice as
            possible.

             

            
            Section (c) Overtime Pay and Premium
            Pay

             

            
            (1)        Overtime pay at one and
            one-half times the Employee’s regular rate will be paid for:

            
             

            
            (A)           
            All hours worked at the direction of management in excess of eight (8)
            hours in any period of twenty-four (24) consecutive hours. This provision shall not be
            applicable if the excess hours worked are at the request of the Employee.

            
             

            	
                        
                        (B)

                    	
                        
                        All hours worked in excess of forty (40) in the regular
                        workweek.

                    

            
             

            	
                        
                        (C)

                    	
                        
                        All hours worked on the Employee’s sixth consecutive
                        day off.

                    

            
             

            
            (D)         
            All hours worked on Saturday unless Saturday is included in the
            Employee’s regularly scheduled workweek.

             

            	
                        
                        (2)

                    	
                        
                        Overtime pay at double the Employee’s regular rate
                        will be paid for:

                    

            
             

            	
                        
                        (A)

                    	
                        
                        All hours worked on the Employee’s seventh consecutive
                        day.

                    

            
             

             

            
            10

             

             

            

            

            

            

             

             

            
            (B)               
            All hours worked on Sunday unless Sunday is included in the
            Employee’s regularly scheduled workweek.

             

            
            (3)                          For
            the purpose of determining whether an Employee has worked a sixth or seventh day within
            the regular workweek as set forth in this Article, such Employee shall be considered to
            have performed a day’s work when:

             

            
            (A)               
            The Employee works the regularly scheduled hours in a day.

            
             

            
            (B)               
            The Employee is off work due to a Holiday or other Contractual
            day.

            
             

            
            (C)               
            The Employee is excused for part of the day by management.

            
             

            
            (D)               
            The Employee is absent a full day as a result of being sent home due to
            lack of work without prior notification not to report.

             

            
            (4)        Work on the seventh
            consecutive day and all holidays is optional. In the event all Employees refuse such
            work, management retains the right to assign the least senior Employees in the needed
            job title to work.

            
             

            
            (5)        An Employee who is
            required to work on one of his scheduled days of rest shall not be required to take
            compensating time off.

            
             

            
            (6)        Overtime opportunities
            shall be distributed on an equitable basis. The EMPLOYER is responsible for scheduling
            overtime and determining qualified Employees to perform overtime work. Weekend (and
            sixth and seventh day worked) overtime hours shall be distributed by the EMPLOYER among
            the Employees qualified to perform the work involved pursuant to the following
            guidelines:

            
             

            	
                        
                        (A)

                    	
                        
                        All shifts on a particular assignment working
                        overtime:

                    

             

            
            (i)                 
            Ask regular operator(s) of that primary assignment on the shift that
            will be running.

            
             

            
            (ii)                
            If he refuses, ask other operators in the same Department, on the same
            shift, who are qualified to perform the work.

             

            
            (iii)               
            If they refuse, ask other operators in the same Area Manager’s
            area, on the same shift, who are qualified to perform the work.

            
             

             

            
            11

             

             

            

            

            

            

             

             

            
            (iv)               
            If they refuse, the EMPLOYER may assign the work to the least senior
            employee in the Area Manager’s area qualified to perform the work.

             

            	
                        
                        (B)

                    	
                        
                        Only one shift of a multi-shift job working
                        overtime:

                    

             

            
            The overtime opportunity will be offered to all regular operators of
            that assignment on all shifts on an equitable basis. Management reserves the right to
            schedule the specific hours of such overtime work. If there are an insufficient number
            of volunteers, the EMPLOYER may assign the work to the least senior regular operators
            of that assignment.

             

            
            Note that in emergency
            situations, the EMPLOYER will take whatever steps are necessary to keep
            a job running and assure no break in the production flow.

             

            
            (7)      When more than one rate is
            applicable to the same hours of work, the rates shall not be pyramided, but only the
            highest single rate applicable shall be paid. Any hours paid for at any overtime rate,
            except hours worked on Holidays, shall not be used again for the purpose of determining
            any other overtime hours. When time and one-half (1 1⁄2), two (2), or two and one
            half (2 1/12) times rates are paid for hours worked, such hours shall be considered
            overtime hours.

             

            
            (8)      If there are an insufficient
            number of volunteers for overtime pursuant to Subsection (6) of this Article III(c),
            then the EMPLOYER may require mandatory overtime of up to ten (10) hours per work week
            consisting of work shifts not to exceed:

            
             

            
            i.               
            Up to ten (10) hours on the first five (5) days of any scheduled work
            week (i.e., not to exceed two (2) hours of mandatory overtime per shift).

            
             

            	
                        
                        ii.

                    	
                        
                        Six (6) hours on the sixth
                        (6th) day
                        worked.

                    

             

            
            (A)       
            The EMPLOYER has the right to determine the hours of work and
            determining qualified Employees to perform overtime work.

            
             

            
            (B)       
            Employee absences during mandatory overtime and voluntary overtime once
            accepted by the Employee shall be logged on the Employee’s work history and
            counted as an unexcused absence in the Attendance Policy.

            
             

            
            (C)      
            Overtime shall not be applicable for the Short Term Disability Pay Plan
            or vacation considerations.

            
             

            
            (D)       
            Employees shall be given twenty-four (24) hour advance notice of
            mandatory overtime scheduled on the sixth
            (6th). By way of

            
             

            
            12

             

            
             

            

            

            

            

             

            
            example, if an Employee is going to be scheduled for mandatory overtime
            on a Saturday, the Employee shall be informed of the assignment by the end of his shift
            on Thursday.

             

            
            Section (d) Standard Daily Wage
            Rate

             

            
            The Employee’s Standard daily wage rate as used herein shall be
            calculated in accordance with the following formula:

             

            
            Employee’s Established

            	
                        
                        Monthly Salary x 12

                    	
                        
                        =

                    	
                        
                        Straight Time Rate

                    
	
                        
                        52 Weeks x 40 Hours Per Week

                    	
                        
                        (Per hour)

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    	
                    

             

            The
            term regular rate as used herein shall mean the straight time rate plus shift
            differential, if any, but excluding all other payments.

             

            
            Section (e) Hourly Wage Rates and Shift
            Differential

             

            (1)
            Hourly Wage Rates

             

            
            (A)               
            The four (4) Level Pay Structure is included in this Agreement as
            Appendix A. This structure will remain the same during the life of this Agreement
            however, all Employees actively employed on the effective date of this Agreement will
            receive:

             

            	
                        
                        
                        Effective Date

                    	
                        
                        
                        Amount

                    
	
                        
                        
                        October 29, 2007

                    	
                        
                        
                        3.5%

                    
	
                        
                        
                        November 3, 2008

                    	
                        
                        
                        3%

                    
	
                        
                        
                        November 2, 2009

                    	
                        
                        
                        3%

                    
	
                        
                        
                        November 1, 2010

                    	
                        
                        
                        3%

                    
	
                        
                        
                        November 7, 2011

                    	
                        
                        
                        3.5%

                    

             

             

            
            (B)               
            Appendix B lists each of the pay levels and the job titles and job code
            numbers incorporated within each pay level. The EMPLOYER shall not introduce additional
            pay levels or job titles during the life of this

            
             

            
            13

             

            
             

            

            

            

            

             

            
            Agreement or combine existing job titles or pay levels without
            discussions with and agreement by the Local Union. In the event the parties are unable
            to reach agreement regarding the appropriate pay level and job code number, the
            EMPLOYER may implement the change, subject to the UNION’s right to file a
            grievance and submit the matter to arbitration for final resolution.

             

            (2)
            Shift Differential

             

            
            An Employee permanently scheduled or temporarily assigned to work
            between the hours of 3:30 p.m. and 7:00 a.m. shall receive a night shift differential
            amounting to ten percent (10%) of the applicable rate for Current Employees and $0.75
            per hour for New Employees for such hours, according to the procedures in paragraphs
            (A) through (E) of this Section. No shift differential shall be paid when such hours
            worked at the request of the Employee.

             

            
            (A)               
            A day shift Employee shall receive shift differential when the hours
            worked in a workday amount to four or more* between the hours of 3:30 pm and 7:00 am,
            and provided the Employee worked his normal shift and the hours qualifying for shift
            differential are an extension of that shift.

            
             

            
            *Employees scheduled to begin work at 4:00 a.m. will receive shift
            differential for those hours worked between the hours of 4:00 a.m. and 7:00
            a.m.

            
             

            
            (B)               
            A day shift Employee shall receive shift differential for all hours
            worked between 3:30 p.m. and 7:00 a.m. provided the Employee worked his normal shift
            and a break in work of one hour or more occurs between the normal shift and those hours
            qualifying for shift differential.

            
             

            
            (C)               
            If the majority of hours worked by a day shift Employee are worked on a
            night shift (3:30 p.m. to 7:00 a.m.), he will be paid according to paragraph (D) of
            this Section.

            
             

            
            (D)               
            A second or third shift Employee shall receive shift differential for
            all hours worked on his normal shift, as well as for all hours worked which are an
            extension of his normal shift, provided he works his normal shift.

            
             

            
            (E)               
            If the majority of hours worked by a second or third shift Employee are
            worked on the day shift (7:00 am to 3:30 pm), he will be paid according to paragraphs
            (A) and (B) of this Section.

             

            
            (F)               
            Night shift Employees may be temporarily assigned by the EMPLOYER to
            work the day shift. When these Employees are reassigned to days, they will continue to
            receive their night shift differential for a

            
             

            
            14

             

            
             

            

            

            

            

             

            
            period not to exceed two (2) regular work weeks unless an extension of
            time is deemed necessary by both parties.

             

            
            This policy will not apply when:

             

            
            (i) The request to work the day shift is originated by the
            Employee.

            
             

            
            (ii) Supervision determines a need for retraining due to a lack of
            performance on the part of the Employee.

            
             

            
            (iii) An Employee who is a successful bidder to a night shift job which
            requires training on the day shift and is accordingly assigned to days for initial
            training.

            
             

            
            (iv) An employee is moved pursuant to a medical restriction.

            
             

            
            Article IV – Holidays

             

            
            Section (a) Holidays
            Observed

             

            	
                        
                        (1)

                    	
                        
                        In each year of this Agreement there shall be eleven paid
                        Holidays:

                    

            
             

            
            New Year’s Day

            
            Good Friday

            
            Memorial Day

            
            July 4th

            
            Labor Day

            
            Thanksgiving Day

            
            Day after Thanksgiving

            
            December 24 – day before Christmas

            
            Christmas Day

            
            Employee’s Birthday

            
            Plant Floater

             

            
            (2)        With the exception of
            the Employee’s Birthday and the Plant Floater, foregoing Holidays shall be
            celebrated on the legally designated days.

             

            
            Section (b) Saturday and Sunday
            Holidays

             

            
            (1)        When any of the foregoing
            Holidays falls on Saturday, the preceding Friday will be observed as the
            Holiday.

             

             

            
            15

             

             

            

            

            

            

             

             

            
            (2)        When any of the foregoing
            Holidays, except December 24, falls on Sunday, the following Monday will be observed as
            the Holiday.

             

            
            Section (c) Plant Floater and December
            24

             

            
            (1)       The date of celebration of the
            Plant Floater Holiday will be selected by each individual Employee to be scheduled in
            accordance with the provisions for scheduling vacations as set forth in Article
            V.

             

            
            (2)       When December 24 falls on
            Friday, the preceding Thursday will be observed as the Holiday. When December 24 falls
            on Sunday, the following Tuesday will be observed as the Holiday.

             

            
            Section (d) Pay for Holidays
            Worked

             

            
            Employees who work on the foregoing Holidays, including designated
            birthday Holidays, shall be paid at one and one-half (1 1⁄2) times the
            Employee’s regular rate for all such hours worked, and in addition, will be paid
            a Holiday allowance calculated at the Employee’s regular rate for the hours
            normally scheduled on the day of the workweek, or the Employee shall be paid overtime
            pay at two and one-half (2 1⁄2) times the Employee’s regular rate for such
            Holiday hours worked, whichever yields the greater pay.

             

            
            Section (e) Pay for Holidays Not
            Worked

             

            
            Employees who do not work on the foregoing Holidays will be paid their
            regular earnings for such day, including regularly scheduled overtime rates. In order
            to qualify for Holiday pay for Holidays not worked, the Employee must work both on the
            Employee’s last scheduled day prior to the Holiday and on the Employee’s
            next scheduled day following the Holiday, unless excused from work on such days by
            PLANT management.

             

            
            Section (f) Birthday
            Holidays

             

            
            With supervisory approval, an Employee may elect to float his/her
            birthday to any regularly scheduled workday within the calendar year in which the
            birthday falls except for Sunday, a day of vacation or a recognized PLANT wide
            holiday.

             

            
            (1)       Employees will be asked in order
            of seniority to schedule their birthday Holiday prior to any vacation scheduling each
            year.

             

             

            
            16

             

             

            

            

            

            

             

             

            
            (2)       Employees who choose not to
            float their birthday Holiday and elect to take the day of their birthday off, will have
            preference over any employee floating the Holiday or scheduling a split day of
            vacation.

             

            
            (3)       If an Employee elects not to
            schedule the birthday Holiday floater prior to vacation scheduling, the birthday
            Holiday will not take preference over vacation days but will be granted on a first-come
            first-served basis. The birthday Holiday will be given consideration along with any
            late vacation requests.

             

            
            (4)       If the Employee’s birthday
            falls during a scheduled week of vacation, the Employee may reschedule the extra
            vacation day at some other time during the calendar year following established split
            vacation guidelines.

             

            
            (5)        Employees will
            observe their birthday Holiday on the day selected. In emergency situations, however,
            an Employee’s birthday Holiday may be granted or changed with approval of Area
            Supervision prior to the start of the shift during which the Holiday was to be
            celebrated.

             

            
            Section (g) Time of Payment

             

            
            Payment for Holidays not worked shall be included with pay for the pay
            period in which the Holiday occurs.

             

            
            Article V – Vacation

             

            
            Section (a) Regular
            Vacation

             

            
            Employees will qualify for up to five (5) weeks of regular vacation
            under the following formula:

             

            	
                        
                        Two weeks after one (1) year of service

                    	
                        
                         

                    
	
                        
                        Three weeks after five (5) years of service

                    	
                        
                         

                    
	
                        
                        Four weeks after ten (10) years of service

                    	
                        
                         

                    
	
                        
                        Five weeks after twenty (20) years of service

                    
	
                    	
                    	
                    	
                    

             

            
            Section (b) PLANT Shutdown

             

            
            The EMPLOYER shall have the option of declaring a vacation shutdown for
            up to 10 working days during any calendar year of this Agreement. If the EMPLOYER
            elects this option it will notify the Local Union President by January
            15th of the year so elected. One
            of the two weeks elected for shutdown shall occur during the time period of June 1 -
            August 31. If the EMPLOYER elects to exercise the right to shut down the PLANT, up
            to

             

            
            17

             

             

            

            

            

            

             

            10
            working days of an Employee’s regular vacation may be assigned to these shutdown
            periods. Vacation shutdown weeks may include observed Holidays covered by this
            Agreement. In such cases the EMPLOYER may assign vacation only to those days not
            covered by Holidays for a combined total of five (5) days during the shutdown
            week.

             

            
            Section (c) Staggered
            Vacation

             

            
            Any vacation other than vacation described in Section (b) above, shall
            be scheduled by the EMPLOYER at times desired by the individual Employees provided the
            Employee requests the vacation two (2) working days prior to the actual vacation.
            Notwithstanding the foregoing, an Employee may request to use no more than three (3)
            vacation days per calendar year with less than two (2) working days notice prior to the
            actual vacation. The EMPLOYER may excuse the two (2) working day prior request
            requirement in the event of a verifiable severe weather condition. Vacations shall be
            scheduled by Employees in accordance with the past practice of vacation scheduling,
            recognizing production needs and the Employee’s right to schedule vacation in
            weekly segments or split action of single day or 1⁄2 day segments.

             

            
            Section (d) Work During
            Shutdown  

             

            
            In the event the EMPLOYER declares a vacation shutdown between the
            months of June 1 – August 31, Employees who are required to work during the
            shutdown shall be assured of scheduling equal days off during the months of June, July,
            or August, if they so desire.

             

            
            Section (e) Time of Payment

             

            
            (1)       Vacation payment for three
            (3) or more consecutive days vacation shall be made by separate check no later than the
            last pay day immediately preceding the beginning of the respective vacation periods,
            providing advanced vacation forms are turned into the Payroll Department in a timely
            fashion. Any vacation of less than three (3) consecutive days will be paid in the same
            pay period in which the regular work for that week will be paid.

             

            	
                        
                        (2)

                    

             

            
            (A)               
            Employees who leave their employment (for reasons other than discharge
            for just cause) prior to receiving vacation pay shall receive their pro rata share of
            vacation payment earned for each of the qualifying years (i.e., first, fifth, tenth,
            and twentieth) by their second regular pay period from the time their employment is
            severed according to the following guidelines:

            
             

             

            
            18

             

             

            

            

            

            

             

             

            
            - If the Employee leaves employment during or after their anniversary
            month, they will receive full pay for the additional week of vacation
            earned.

            
             

            
            - Should the Employee leave employment before their anniversary month,
            their additional week of vacation pay will be reduced by 1/12 of a week for each month
            the Employee leaves prior to the anniversary month. For example, an Employee with an
            anniversary month of July who wants to leave in February of a qualifying year will be
            leaving five (5) months prior to his anniversary month and will therefore have the
            additional week’s vacation pay reduced by 5/12’s of a week.

            
             

            
            (B)               
            Employees who leave their employment (for reasons other than discharge
            for just cause) prior to receiving vacation pay in the years between qualifying years,
            shall receive full vacation pay based on their years of service outlined in Section (a)
            of this Article.

            
             

            
            (C)               
            Any vacation previously paid during the calendar year will be considered
            part of total allotment.

             

            
            Section (f) Obligation for
            Payment

             

            
            Failure of the EMPLOYER to make full and prompt payment of the amounts
            required hereby, in the manner and on the dates herein provided, shall at the option of
            the UNION, be deemed a violation of this Agreement. This obligation shall be a direct
            and continuing obligation of the EMPLOYER during the life of this Agreement; and it
            shall be deemed a violation of this Agreement if the PLANT, to which this Agreement is
            applicable, shall be sold, leased, subleased, assigned or otherwise disposed of for the
            purpose of avoiding the obligation hereunder.

             

            
            Article VI – Allowance

            
             

            
            Section (a) Bereavement Pay

            
             

            
            (1)        An Employee who is excused
            from work because of death in the Employee’s immediate family, shall be paid the
            Employee’s regular rate of pay for the Employee’s scheduled working hours
            excused for a maximum of three (3) scheduled working days, starting on the day of death
            or on the day following death to and including the day after the funeral, but in no
            event extending beyond the day after the funeral. A member of the Employee’s
            immediate family shall be limited for the purpose of this Section to Mother, Father,
            Step-Parent, Mother-in-law, Father-in-law, Sister, Brother, Husband, Wife, Son,
            Daughter, Step-child, Grandparent and Grandchild of the employee. No pay allowance
            shall be granted in the case where, because of distance or other cause,

             

            
            19

             

             

            

            

            

            

             

            the
            Employee does not attend the funeral of the deceased. In instances of distant death,
            where a local memorial service is held, Employees will be excused with pay, for up to
            eight hours, on the day of the service.

             

            
            (2)       Spring interment or split time
            off (funeral and interment at a later date) may be granted as long as it does not
            exceed three (3) working days in total time off. If an Employee is on vacation and a
            death occurs in the family, days used under the above provisions may be rescheduled at
            a later date.

             

            
            (3)       In case of death of a
            Brother-in-law*, Sister-in-law*, Son-in-law, Daughter-in-law, an Employee may be
            excused from work up to eight (8) hours on the day of the funeral and shall be paid the
            Employee’s regular rate of pay for the working hours excused. No pay allowance
            shall be granted in the case where, because of distance or other cause, the Employee
            does not attend the funeral of the deceased. Notice of such deaths must be given to the
            Employee’s supervision as soon as it is reasonably possible. In instances of
            distant death, where a local memorial service is held, Employees will be excused with
            pay, for up to eight hours, on the day of the service.

             

            
            (4)        The hours thus paid for
            but not worked shall not be used in computing overtime pay for hours worked in excess
            of forty (40) in the workweek, nor shall Such days be counted as days worked in
            determining whether the Employee has worked a sixth (6th) or seventh
            (7th) day in the regularly
            scheduled workweek.

            
             

            
            (5)       The EMPLOYER may require
            verification of death and relation to the Employee.

             

            
            *Brother-in-law and Sister-in-law are defined as the spouse of the
            Employee’s Brother or Sister and the Brother or Sister of the Employee’s
            spouse.

             

            
            Section (b) Jury Duty
             

             

            
            When an Employee is called for jury duty service, he shall be excused
            from work for the hours he is required to appear in court and for time granted by
            supervision for the Employee to prepare for jury duty (travel time, clothes change,
            etc.). The amount of this time will be determined at the discretion of the
            EMPLOYER’s supervisor. Employees attending jury duty will be paid their regular
            rate for the excused hours they would have been scheduled to work, not to exceed eight
            (8) hours for any one day and shall be allowed to retain jury fees received for jury
            duty service. Time absent for jury duty will be paid as excused jury duty. An Employee
            called to jury duty while on vacation (other than previously scheduled vacation
            shutdown) will be permitted to reschedule vacation beginning with the first day of jury
            duty. Employees who have been selected to jury duty must complete proper PLANT forms
            and return them to their supervision each week of jury duty service.

             

            
            

             

            
            20

             

             

            

            

            

            

             

             

            
            Section (c) Reporting Pay and Call - In Pay

             

            
            (1)       An Employee who reports for
            scheduled work, without prior notification not to report, shall be retained for the
            half-day period and given such useful work as may be at hand at the Employee’s
            regular rate. If the Employee is offered and does not accept substitute work, the
            Employee will be paid only for the time spent at the PLANT until such work is offered.
            This provision does not apply to cases where work is not available for reasons beyond
            the EMPLOYER’s control, such as power failure, fire, or serious mechanical
            difficulties affecting an entire area, or in cases where Employees return to work
            following unexcused absences without notifying their supervision. Disability pay shall
            not be paid during periods of PLANT shutdown beyond the EMPLOYER’s
            control.

             

            
            (2)       An Employee who is called
            in and reports for work between regular shifts with less than eight (8) hours notice
            shall receive a call-in allowance of two (2) hours pay at the Employee’s regular
            rate, in addition to any other pay to which may be entitled.

             

            
            Section (d) Military Duty

             

            
            Employees required to perform military service will receive
            compensation, rights and benefits per the Remington Military Leave Policy, as amended
            from time to time by the EMPLOYER.

             

            
            Article VII – Joint Labor –
            Management Communication Committee

             

            
            The parties recognize that the prosperity and efficiency of the PLANT
            are dependent upon their ability to work cooperatively. In order to further implement
            this expression of purpose, Joint Labor-Management Communication Committee shall be
            established at the PLANT. The UNION representation on this committee shall be the Local
            Union Executive Board. The EMPLOYER shall designate its representatives to the
            Committee. Neither party shall have more than six (6) representatives on the Committee.
            The Committee shall meet at mutually agreeable times, but no less than once a month.
            The function of the Committee shall be to identify problem areas, exchange information
            and to seek to develop a good working relationship within the PLANT. Representatives
            from the UNION or the EMPLOYER may suggest areas of special concern or interest as
            topics of discussion during these Committee meetings, as long as they are consistent
            with the purpose of this Committee and the provisions of this Agreement.

             

            
            

             

            
            21

             

             

            

            

            

            

             

             

            
            Article VIII – Health and Safety

             

            
            Section (a) Right to a Safe Working
            place

             

            
            Every Employee covered by this Agreement is entitled to a safe and
            healthful place to work, and the parties jointly pledge their individual and joint
            efforts to attain and maintain this objective. Recognizing that the health and safety
            of the Employees covered by this Agreement are one of the highest priorities of the
            parties, the EMPLOYER and UNION will continue to cooperate to reach the objective of
            eliminating accidents and health hazards, and will encourage Employees to use the
            procedures stated herein to reach that objective.

             

            
            Section (b) Health and Safety
            Committee

             

            
            (1)        At the PLANT there shall
            be a Health and Safety Committee made up of nine (9) UNION members employed at the
            PLANT who are qualified by experience or training and selected by the Local Union. The
            Local Union shall inform the EMPLOYER of the names of the Committee members. Committee
            members shall be deemed to be acting within the scope of their employment at the PLANT
            within the meaning of the applicable workers’ compensation law, while in the
            performance of their duties as outlined within this Agreement. The Health and Safety
            Committee shall select, from among its members, a Chairman who shall coordinate the
            activities and functions of the Committee and who will serve as their representative on
            the Central Safety Committee and the joint Labor-Management Communications
            Committee.

             

            
            (2)       A member of the Health and
            Safety Committee, assigned by the Committee Chairman, may participate with Management
            in the existing inspection program and scheduled Serious Potential Incident
            meetings.

             

            
            (3)      Employees should first report health
            and safety complaints or conditions to their immediate supervision. Members of the
            Health and Safety Committee will make every effort to ensure that the Employee has
            first brought the complaint to the attention of their immediate supervision before
            presentation to the Plant Safety Supervisor. Upon presentation of alleged health and
            safety complaints or conditions by the Chairman of the Health and Safety Committee or
            his designee to the Safety Supervisor, the UNION and the Safety Supervisor will
            schedule a joint investigation of the complaint or condition.

             

            
            Management will notify the Chairman of the Health and Safety Committee
            or his designee of a complaint or accident as soon as practicable, using its best
            efforts to do so. The Chairman of the Health and Safety Committee or his designee shall
            be given a copy of any incident report generated as a result of an injury to an
            Employee. A member of the Health and Safety Committee shall participate with the Safety
            Supervisor in the initial

             

            
            22

             

             

            

            

            

            

             

            
            formal safety investigation if the Safety Supervisor determines that an
            investigation is necessary.

             

            
            (4)       PLANT Management and up to three
            (3) members of the Health and Safety Committee shall meet regularly at times arranged
            by the parties for the purpose of discussing health and safety matters. Meetings shall
            be held on a monthly basis or more frequently if needed. No more than three (3) members
            of the Health and Safety Committee shall be compensated, at their regular rate of pay,
            by the EMPLOYER for any lost time spent in these meetings.

             

            
            (5)       A member of the Health and
            Safety Committee, and an authorized representative of the International Union, shall be
            allowed to accompany a representative of any State or Federal agency regarding health
            and safety on an inspection of the PLANT.

            
             

            
            (6)       A member of the Health and
            Safety Committee, assigned by the Health and Safety Committee Chairman, shall be
            invited to attend Serious Potential Incident meetings, Joint Complaint Investigations
            and other scheduled safety sub-committee meetings. Time spent performing the above
            recognized Committee activities will be compensated at his regular rate of pay, by the
            EMPLOYER, if performed during the member’s regularly scheduled work hours. Off
            shift employees will be scheduled to attend safety meetings as part of their regularly
            scheduled work hours.

             

            
            (7)       The UNION and the EMPLOYER agree
            that, prior to requesting intervention from a federal or state agency on any matter
            relating to employee health and safety, the UNION will present the issue to the
            EMPLOYER, which will then be given a reasonable period of time within which to respond.
            Only after receipt of the EMPLOYER’s response, or the EMPLOYER’s failure to
            respond, will the UNION seek such outside intervention.

             

            
            (8)       The Safety Supervisor shall each
            month provide the Health and Safety Committee with two copies of a list of all (i)
            first aid treatment cases and (ii) accidents reported to OSHA, which shall include, but
            not limited to the OSHA 200 log. Such report will reflect the nature of the injury and
            the location of the accident.

             

            
            (9)      The Health and Safety Committee shall
            attend annual Health and Safety Training of up to five (5) working days as agreed to by
            the UMWA International Union and the EMPLOYER. The training will be designed to improve
            Health and Safety knowledge skills. Committee members attending and participating in
            such training shall be paid at their regular rate of pay for lost working time by the
            EMPLOYER for attendance at the training.

             

            
            

             

            
            23

             

             

            

            

            

            

             

             

            
            Section (c) Settlement of Health or Safety
            Disputes

             

            
            When a dispute arises at the PLANT involving Health and Safety, an
            immediate, earnest and sincere effort shall be made to resolve the matter. If the
            dispute is not resolved by the Employee and his immediate supervisor, nor with the
            assistance of the Health and Safety Committee, the dispute will be adjudicated through
            the grievance procedure.

             

            
            Section (d) Drug and Alcohol
            Testing

             

            
            (1)        During the
            Probationary Period, Employees shall be subject to the Remington Drug Free Workplace
            Policy, as amended from time to time by the EMPLOYER.

            
             

            
            (2)        Employees shall be
            subject to the drug and alcohol testing policy set forth in Appendix C.

            
             

            
            Article IX – Seniority

             

            
            Section (a) Definition of
            Seniority

             

            
            Seniority of Employees employed in the bargaining unit shall be the
            Employee's most recent date of hire at the PLANT adjusted for any previous period of
            unbroken seniority provided such seniority was not terminated in accordance with
            section (b) below.

             

            
            Section (b) Termination of
            Seniority

             

            
            Seniority shall be terminated upon the Employee's termination for just
            cause; voluntary resignation; transfer to a job outside the bargaining unit, expiration
            of recall rights after termination for lack of work; or failure to return to work as
            scheduled after completion of a leave of absence agreed to by the PLANT or the failure
            to return to work as return to work as scheduled. Employees who transfer to a job
            outside of the bargaining unit will lose their seniority and in the event the employee
            returns to the bargaining unit will be treated as a new employee.

             

            
            

             

            
            24

             

             

            

            

            

            

             

             

            	
                        
                        Section (c) Probationary Period

                    

             

            
            During the first one hundred twenty (120) calendar days of employment, a
            new Employee will be subject to demotion, transfer, or termination by the PLANT and
            such action shall not be subject to Articles X and XI of this Agreement. After one
            hundred twenty (120) days probationary period, the Employee's seniority will be
            established in accordance with the provisions of Section (a) of this Article. Any
            discipline in the first 120 days will carry into the next sixty (60) days.

             

            
            Section (d) Filling
            Vacancies

             

            
            When vacancies occur, they will be filled in the following
            order:

             

            
            (1)        To Employees qualified for
            the job, per provisions of the Job Bidding and Posting Procedure.

             

            
            (2)       To reasonably available former
            bargaining unit Employees laid off due to reduction of force and on a panel and
            possessing the necessary qualifications to step in and perform the work of the job at
            the time the job is awarded.

             

            
            (3)       To new applicants qualified to
            step in and perform the work of the job.

             

            If
            opportunities arise to bring products of any type currently manufactured elsewhere to
            the Ilion facility, Management reserves the right to permanently fill jobs associated
            with those products without regard to the provisions of Article IX section (d), Filling
            Vacancies, and such placements will not be subject to the Grievance Procedure under
            Article X section (b). Any openings that occur after the first year of production will
            be filled in accordance with the provisions of Article IX, section (d). During the
            first year of production, employees placed under this provision will not be subject to
            displacement under Article IX, section (e), Reduction Realignment Procedure, unless a
            PLANT-wide excess creates a reduction in force. This section does not apply to product
            designed and developed to be produced at Ilion.

             

            
            Section (e) Reduction Realignment
            Procedure  

             

            
            In the event the EMPLOYER determines that there is an "excess" of jobs
            within a job code in the bargaining unit, representatives of the EMPLOYER shall notify
            the Local Union and the parties will follow the process covered within this section. In
            all cases where the work force is to be reduced, Employees with the greatest seniority
            at the PLANT shall be retained provided that they have the required qualifications (as
            would normally be posted) and the ability to perform the available work. If at any time
            there is an excess within a training progression, those Employees in level 03 of the
            training progression will be added to the excess list and Employees on temporary
            assignments

             

            
            25

             

             

            

            

            

            

             

            will
            be returned to their primary assignments for purposes of regression. When an excess
            occurs in normal progression positions, the least senior person in the progression will
            be excessed. Prior to any excess process, all open jobs will be posted one cycle.
            Employees considered excess will be given twenty four (24) hour written notice prior to
            posting, if the business conditions indicate that the excess condition could reverse
            within the next six (6) months, which may allow some or all of the operators to return
            to their primary assignment, management may place the group of employees on Temporary
            Assignments during that period. Realignments or reductions of the work force shall be
            in accordance with the following guidelines:

            
             

            
            (1)        Once excess assignments
            are determined, if the Employees in those assignments are not the lowest senior
            Employees, they will have the option to replace the lowest senior Employees within the
            Department, level, job code and shift.

             

            
            (2)        Excessed employees will be
            given options, by seniority, providing their choice does not result in a higher pay
            level:

             

            
            (A)               
            Accept any open position and receive immediate bid rights and retain
            preferential treatment or:

            
             

            
            (B)               
            Bump the lowest seniority person in the PLANT in the same pay level and
            shift. If Employee(s) cannot preserve pay level and
            shift, or:

            
             

            
            (C)               
            Bump the lowest seniority person in the PLANT in same pay level
            or same shift. When neither (A) nor (B) is
            satisfied, Employee(s) will be advised of their options to preserve (C), prior to
            choosing shift or level.

             

            
            (3)        When Employee(s) have no
            options in their pay level, they will drop one (1) pay level at a time until their need
            is satisfied maintaining their shift.

             

            
            (4)        When an excess is
            declared, all open jobs will be posted one cycle.

            
             

            
            (5)        Bidding restrictions will
            be removed for excessed Employees only. If an excessed employee is successful in
            bidding they will receive immediate bid rights and retain preferential
            treatment.

             

            
            (6)        In a bumping situation if
            shift and level are preserved, the Employee will not have bid rights restored for six
            (6) months following the date an excess offering was awarded.

             

            
            (7)        For purposes of
            regression, all Employees within code 742 (Department Specialist) will return to code
            741 (Machine Line Operator).

             

            
            (8)        Employees transferring for
            any reason between production and support departments will receive the second step of
            the pay level and will progress depending on performance. If the Employee left the
            support department within twenty-four (24)

             

            
            26

             

             

            

            

            

            

             

            
            months and at the top of the rate of pay, the Employee will return to
            the support department at the top rate of the job.

             

            
            (9)        During any excess
            resulting in a layoff, the Volunteer Leave of Absence (VOLA) procedure will be followed
            as per current practice.

             

            
            Section (f) Panel

             

            
            Employees with seniority who are laid off because of a reduction in the
            work force shall be placed on a panel from which they shall be returned to employment
            on the basis of seniority as outlined in Section (d)(2) of this Article.

             

            
            Section (g) Panel
            Custodians

             

            
            A designated representative of the EMPLOYER and the Recording Secretary
            of the Local Union shall retain panel records. It shall be the obligation of laid off
            Employees, with seniority, to keep the custodians of the panel informed of any change
            of address and/or phone number where they may be regularly reached. Notice to the last
            known address of the laid-off Employee by certified mail shall be sufficient notice of
            recall. The Employee so notified may either accept or reject the job which is
            available; but if the Employee rejects a job which he has the ability to perform, or
            fails to respond within five (5) working days after receipt of such notice, or accepts
            but fails to report for work in a reasonable amount of time, his name shall be removed
            from the panel and he shall sacrifice his seniority rights at the PLANT.

             

            
            Section (h) Panel Members Accrue
            Seniority

             

            
            Employees who are placed on the panel shall retain the seniority earned
            prior to their layoff, and, in order to protect their relative seniority standing, will
            continue to accrue seniority while on the panel.

             

            
            Section (i) Right to be
            Recalled

             

            
            (1)        Employees, with seniority,
            laid off for lack of work shall retain their seniority for five (5) years. Employees
            laid-off for lack of work may exercise their seniority in accordance with the
            provisions of this Article.

             

            
            (2)        Any person on the panel
            list who secures other employment during the period when no work is available for him
            at the PLANT shall in no way jeopardize his seniority rights while engaged in such
            other employment. However, any person on the panel list who secures other employment
            and does not return to work when there is

             

            
            27

             

             

            

            

            

            

             

            
            available employment at the PLANT, shall sacrifice his seniority rights
            at the PLANT and shall have his name removed from the panel list.

             

            
            Section (j) Recall of Persons on Layoff
            Status

             

            
            When a job at the PLANT exists that is not filled by Employees within
            the active working force, the panel custodians will review the list and the EMPLOYER
            shall recall the appropriate person from the panel list to the job to be
            filled.

             

            
            Section (k) Job Bidding and Posting
            Procedure

             

            
            (1)        Eligibility:
            Employees with one year or more of service will be eligible to bid open jobs unless the
            employee is not available to return to work within 30 work days from time of bid. All
            open jobs will be posted at the appropriate pay level for the job title as listed in
            Appendix B. The senior Employee, among those eligible bidders, with the required posted
            qualifications and ability to perform the job will be awarded the job. If an excess
            situation exists, and an excess Employee has less than one year of service, the
            excessed Employee will be allowed to bid. If an employee has been shift realigned, they
            will be able to bid for shift.

             

            
            (2)        Job Progressions: All open
            jobs will be posted at the level of the opening. If there is no successful bidder who
            meets requirements stipulated, a training bid (when appropriate) will then be offered
            at the training bid level (the training bid level is one step below the normal entry
            level for the position). In the event of a training bid, some minimal established
            requirements will be necessary to fill the opening. The successful bidder of a training
            bid will then take the responsibility to get education, etc. and demonstrate
            improvement in order to progress.

             

            
            (3)        Posting Procedure: Open
            jobs will be posted PLANT wide for three (3) working days. Open jobs within a
            progression will be filled by qualified people in the progression prior to posting.
            Each posting will include:

             

            	
                        
                        •

                    	
                        
                        job title

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        rate level

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        shift

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        department

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        brief description of the job

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        qualifications and experience needed.

                    
	
                    	
                    	
                    	
                    	
                    	
                    	
                    	
                    

             

            	
                        
                        (4)

                    	
                        
                        Bidding Procedure:

                    

             

            
            (A)               
            Open jobs, not filled by normal progressions, will be posted PLANT wide.
            Any Employee interested in the position must bid during

            
             

            
            28

             

            
             

            

            

            

            

             

            
            the posting period. Skilled jobs will be awarded by seniority following
            successful interviews and demonstrations of skills and abilities. With the exception of
            skilled jobs, no job will be reposted waiving restrictions. Skilled jobs may be
            reposted to provide for training bids when appropriate. Training bids will be awarded
            by seniority upon successful demonstrations of abilities and interviews. Any Employee
            restricted from bidding otherwise shall be allowed to bid on training bid positions.
            Once the posting has been removed from the boards the job posted cannot be withdrawn
            without agreement between the UNION and the EMPLOYER.

            
             

            
            (B)
                          
            If the Employee is the senior qualified bidder, meets qualification and
            medical requirements to more than one job at a given time, the Employee will be given
            24 hours from the time notified to select which bid to accept. The Employee will also
            have the option of rejecting any or all successful bids during that 24 hour
            period.

            
             

            
            (C)               
            Successful bidders will be moved to the new assignment within 20
            production days following the award of the bid, unless an extension of time is agreed
            upon by both parties. If the new job involves transferring to a higher level of pay,
            and an extension beyond 20 production days is required, the Employee will receive the
            higher level of pay, at one step above crossover, beginning on the twenty-first day.
            Employees transferring, for any reason, between Production and Support Departments will
            receive the second step of the pay level and will progress depending on
            performance.

             

            
            (D)               
            Preferential treatment shall be awarded to Employees who were "excessed"
            from a job back to the same primary assignment he/she was "excessed" or "bumped" from,
            for a period of 24 months from the date of the "excess", provided the Employee has not
            successfully bid to another job opening in this 24 month period.

            
             

            
            (E)               
            If there are no qualified bidders (including Employees entitled to
            preferential treatment) or other bargaining unit personnel in need of a permanent
            assignment, the job may be filled by posting a training bid (if applicable) or by a
            qualified person from the layoff panel. If there are no qualified persons on the panel
            list, the job may be filled by hiring a new Employee.

            
             

            
            (F)               
            Employees will be restricted to one (1) bid per 24 month period
            throughout the term of this Agreement.

            
             

            
            (G)
                         
            Training of Employees shall take place on their normal shift, unless
            such training is not reasonably available on that shift.

             

             

            
            29

             

             

            

            

            

            

             

             

            
            (5) Training: Appropriate training periods for successful bidders,
            excessed placements, new hires, and all other transfers should not exceed the
            following:

            

            	
                        
                        •

                    	
                        
                        Three (3) weeks for level three (3) jobs.

                    
	
                        
                        •

                    	
                        
                        Level four (4), level five (5) and level six (6) jobs will
                        allow for reasonable amounts of training appropriate for the specific
                        assignment.

                    
	
                        
                        •

                    	
                        
                        Training time for job moves will be determined by management
                        based on the complexity of the assignment and the training required to
                        operate the job safely.

                    

             

            
            Employees who are unable to satisfactorily perform jobs after the
            appropriate amount of training will, at the discretion of management, be declared
            non-performers and will be placed according to the Non-Performance section of this
            Agreement.

             

            
            (6) Non-Performance: An Employee, not capable of performing all the
            requirements and duties of a job, will be placed by the Employment Office to an open
            job. This procedure will be available two (2) times per affected Employee during the
            duration of this Agreement upon the third time the employee is not capable of
            performing all the requirements and duties of a job, the employee will be
            discharged.

             

            
            (7) Medical Placement Procedure: Employees with permanent medical
            impairments will be placed on jobs best suited for their permanent work restrictions
            and which are equal to or less than their existing rate of pay in accordance with the
            following procedure:

            
             

            
            (A)               
            Permanent medical impairment and work restrictions will be determined
            after consultation with the Medical Department.

            
             

            
            (B)
                          
            Employees with a permanent medical impairment will be placed in the
            first job for which they have the required skill and which meets their work restriction
            following the sequence outlined in Article IX, Section (e)(2).

            
             

            
            Employees displaced by this process will also be handled in accordance
            with the same provisions as outlined in Article IX, Section (e)(2).

            
             

            
            (C)               
            This procedure does not apply to Employees who are temporarily
            impaired.

            
             

            
            (D)               
            Once employed, an Employee cannot be terminated or refused recall from
            the panel for medical reasons over his objection without the concurrence of a majority
            of a group composed of an EMPLOYER approved physician, an Employee-approved physician,
            and a neutral qualified third party (if necessary), that there is a permanent medical
            condition or physical restriction which prevents the Employee from performing an
            established job, within the bargaining unit, which their

            
             

            
            30

             

            
             

            

            

            

            

             

            
            seniority would entitle them to hold. Each party shall bear the cost of
            examination by the physician it designates and shall share equally the cost of
            examination by the qualified third party. Where the EMPLOYER challenges the physical
            ability of an Employee or panel member to perform his regular work and is subsequently
            proven wrong, the Employee shall be compensated for time lost due to the EMPLOYER's
            challenge.

             

            
            Section (l) Temporary
            Assignments

             

            
            It is understood that to meet production needs operators may be moved to
            other assignments within their Area Manager’s area.

            
             

            
            All primary assignments in an area may not have full time operators
            assigned. Assignments requiring less than a full time person every day or is not
            operated on a full time basis will be covered by the flexibility of the operators in
            the area.

            
             

            
            Additionally flexibility in the area will be used to cover for absences,
            short term bottlenecks, short term fluctuations in the schedule and back filling for
            cross training. The parties recognize that there are instances where such assignments
            are necessary, and agree that temporary assignments may be made under the following
            guidelines:

            
             

            
            Only if the reassignment is outside the Area Manager’s area will
            it be considered a temporary assignment.

             

            
            (1)        The temporary assigning of
            an individual Employee shall not exceed one hundred eighty 180 working days in a
            rolling 12 month period.

             

            
            (2)        Employees filling
            temporary assignments shall be compensated at the higher of the two rates involved (the
            regular rate of his normal job or the regular rate of his temporary
            assignment).

             

            
            (3)        Notification of temporary
            assignments of more than 10 consecutive work days duration will be made to the Chairman
            of the Grievance Committee.

             

            
            (4)        All regular full time job
            openings that are determined to be greater than six (6) months in duration will be
            posted according to the provisions of the Job Bidding and Posting Procedure unless
            mutually agreed to by the EMPLOYER and the UNION.

            
             

            
            (5)        DCSI or its replacement
            will be the official record keeping system for tracking of temporary moves. The
            Grievance Committee Chairman will have access to this information when
            requested.

            
             

            
            

             

            
            31

             

             

            

            

            

            

             

             

            
            Section (m) Separation Pay

             

            
            (1)      The receipt of separation of pay
            provided under this Article is conditioned upon the separation of an Employee from the
            active workforce employment rolls as laid-off due to lack of work during the term of
            this Agreement.

             

            
            (2)       An Employee who has one (1) year
            or more of service shall be paid separation pay each time he is terminated because of
            lack of work, except that such pay will not be paid when:

             

            
            (A)               
            He accepts, before his separation becomes effective, a job at any
            REMINGTON ARMS COMPANY, INC’s location;

            
             

            
            (B)               
            He is pensioned;

            
             

            
            (C)               
            He resigns his employment;

            
             

            
            (D)               
            He is scheduled off from work temporarily due to curtailment or
            cessation of operation caused by;

             

            
            i.                   
            Fire, flood, power failure, transportation difficulties, material
            shortages, and the like; or

            
             

            
            ii.                  
            Any emergency condition beyond the direct control of the EMPLOYER. When
            an Employee is “scheduled off” for such reason for a definite or indefinite
            temporary period, he shall not be considered as terminated for the purpose of this
            Article; or

             

            
            (E)               
            A buyer or recipient of Remington assets offers an Employee continued
            employment.

            
             

            
            (3)       The PLANT may elect to pay
            separation pay in a lump sum or weekly installments.

             

            
            (4)       Separation pay, if being paid in
            weekly installments, shall be discontinued when a former Employee is re-employed at any
            REMINGTON ARMS COMPANY, INC.’s plant, or is offered and refuses re-employment at
            the Ilion Plant.

             

            
            (5)       The amount of an
            Employee’s separation pay, subject to the foregoing provisions in this Article,
            shall be:

             

            
            (A)               
            One (1) week’s pay for each of the first four (4) years of
            service, plus,

            
             

             

            
            32

             

             

            

            

            

            

             

             

            
            (B)               
            One (1) week’s pay for each year of service over four (4) reduced
            by the amount of any separation pay previously paid at any REMINGTON ARMS COMPANY,
            INC’s location for service after December 1, 1993 over four (4) years. However,
            this reduction shall be reduced in monthly increments to zero over a forty-eight (48)
            month period of re-employment from last termination for lack of work.

            
             

            
            A fractional part of a year, after his first year of service, shall be
            computed at the rate of one-twelfth (1/12) of one (1) week’s pay for each month
            of service. In such computation, if, in addition to full months of service an Employee
            has accrued fifteen (15) or more days on the date he is terminated, he shall be
            credited with a full month.

            
             

            
            For separation pay purposes, a week’s pay shall be the
            Employee’s current “straight-time” rate per hour multiplied by the
            number of hours, not to exceed forty (40) hours, constituting his normal weekly hours
            of work at the time of his termination.

            
             

            
            (C)               
            Any other provisions of the Article to the contrary notwithstanding,
            separation pay shall never exceed twenty (20) weeks.

             

            
            (6)        An employee who has
            received separation pay shall not be required to return any portion of such pay to the
            PLANT in the event he is reemployed.

            
             

            
            (7)        Separation pay shall be in
            addition to any vacation allowance and any employment compensation benefits to which
            the Employee may be entitled.

            
             

            
            (8)        Nothing contained in the
            Article shall be deemed to qualify, limit or alter in any way the PLANT’s rights
            to reduce hours of work to avoid terminations because of lack of work.

            
             

            
            (9)        Wherever the term
            “service” is used in this Article, it shall mean the total length of time
            an Employee has been actively employed by the PLANT.

             

            
            Article X – Settlement of
            Disputes

             

            
            Section (a) Grievance
            Committee

             

            
            (1)      A Grievance Committee consisting of
            fifteen (15) members shall be elected by the members of the UNION employed at the
            PLANT. Each member of the Committee shall be an Employee at the PLANT and shall be
            eligible to serve as a Committee member only so long as he continues to be an Employee
            of the PLANT who is not on layoff. The duties of the Grievance Committee shall be
            confined to the adjustment of disputes arising out of this Agreement that the PLANT and
            the Employee

             

            
            33

             

             

            

            

            

            

             

            or
            Employees, with the assistance of the Grievance Committee, fail to adjust. The
            Grievance Committee shall have the authority on behalf of the grievants to settle or
            withdraw any grievance at step 2 or proceed to step 3 of the grievance
            procedure.

             

            
            (2)       The Grievance Committee shall
            have no other authority or exercise any other control, except as outlined in this
            Agreement, nor shall the Committee in any way interfere with the operation of the
            PLANT.

             

            
            A Grievance Committee member who violates this provision shall not be
            suspended or discharged for official actions as a Committee member, but may be removed
            from the Committee by the PLANT. If the PLANT seeks to remove a Committee member for
            violation of this section, it shall so notify the affected Committee member and the
            other members of the Committee. If the Committee objects to such removal, the matter
            shall be submitted directly to arbitration. If the other members of the Committee so
            determine, the affected member shall remain on the Committee until the case is settled
            or decided by an arbitrator.

             

            
            (3)       The Grievance Committee shall
            select a Chairman from among its members to coordinate its activities and to sit as
            their representative on the joint Labor-Management Communication Committee.

             

            
            Section (b) Grievance
            Procedure

             

            
            Should differences arise between the UNION and the PLANT as to the
            meaning and application of the provisions of this Agreement, an earnest effort shall be
            made to settle such differences at the earliest practicable time. If differences arise
            about matters not specifically mentioned in this Agreement, those matters are to be
            referred to the Joint Labor-Management Communication Committee set forth in Article VII
            and are not subject to grievance/arbitration provisions found in Article X of this
            Agreement. At all steps of the complaint and grievance procedure, the grievant and the
            UNION representatives shall disclose to the PLANT representatives a full statement of
            the facts and provisions of the Agreement relied upon by them. In the same manner, the
            PLANT representatives shall disclose all the facts relied upon by it. The grievant
            shall have the right to be present at each step of the grievance procedure until such
            time as all evidence is taken. Disputes that remain unresolved despite such effort
            shall be resolved as follows:

             

            
            (1)       Step 1 – The Employee will
            make his complaint to his immediate Supervisor who shall have the authority to settle
            the dispute. The Employee shall make the complaint within ten (10) working days of when
            he first knew or should have known of the complaint. Where an Employee makes a
            complaint during work time, the Supervisor shall, if possible without interrupting
            production, discuss the matter briefly on the spot. The Employee shall be entitled, at
            his request, to have a member of the Grievance Committee present to assist him at any
            discussion with his supervisor. If the PLANT so chooses, the supervisor shall be
            entitled to have another representative of the PLANT in attendance. The
            Employee’s immediate supervisor will notify the Employee

             

            
            34

             

             

            

            

            

            

             

            of
            his decision by the end of the Employee’s second regular scheduled shift
            following the complaint. Settlements or withdrawals at this step shall not constitute a
            precedent in the handling of other grievances.

             

            
            (2)       Step 2 – If no agreement
            is reached between the Employee and his supervisor, the complaint will be reduced to
            writing and shall be submitted on the Standard Grievance form and shall be taken up
            within five (5) working days of the supervisor’s decision by no more than two (2)
            members of the Grievance Committee and the President of the Local Union and the
            PLANT’s Step 2 representative(s). At the step 2 meeting the Grievance Committee
            and the PLANT representative(s) will complete the standard grievance form and, if the
            complaint is not settled, the grievance shall be referred to a representative of the
            UMWA District and the PLANT’s representative(s) for step 3.

             

            
            (3)        Step 3 – Within
            seven working days of the time the grievance is referred to them, the District
            representative and the representative(s) of the PLANT, who shall be different from the
            PLANT’s step 2 representative(s) shall meet and review the facts and pertinent
            contract provisions in an effort to resolve the grievance. No more than three (3)
            members of the Grievance Committee and the President of the Local Union and the
            PLANT’s step 2 representative(s) shall have the right to be present. No verbatim
            transcript of the testimony shall be taken nor shall either party be represented by an
            attorney licensed to practice law in any jurisdiction in steps 1 through 3 of the
            grievance procedure except by mutual agreement applicable to a particular
            case.

             

            
            (4)       Step 4 – In cases where
            the District representative and the representative(s) of the PLANT fail to resolve the
            grievance at step 3, the matter shall, within 10 working days after referral to them,
            be referred to the appropriate arbitrator who shall decide the case without delay.
            Cases shall be assigned to arbitrators in the following manner:

             

            
            (A)               
            The District representative and the Company representative shall attempt
            to select an arbitrator. In the event the parties do not agree on the selection of an
            arbitrator, the District representative shall request from the Federal Mediation and
            Conciliation Service (FMCS) three panels of seven (7) arbitrators (including
            biographical sketches) by fax or mail with a copy of the request provided to the Plant
            Human Resources Manager.

            
             

            
            (B)               
            Within ten (10) working days after receipt of the three panels of
            arbitrators from FMCS, the parties shall alternately strike names of the seven
            arbitrators on each panel so as to end up with a single name from each panel. The
            parties shall alternate the right of first strike.

            
             

            
            (C)               
            The parties shall then jointly contact each of the three (3) arbitrators
            so selected to determine who among these three who has the earliest available date to
            hear the case within two weeks to sixty days, and the case then shall be scheduled by
            FMCS

             

            
            35

             

             

            

            

            

            

             

             

            
            with the arbitrator who has the earliest available date.

            
             

            
            (D)               
            Both the PLANT and the UNION shall have the right to cross-examine all
            witnesses.

            
             

            
            (E)
                          
            The arbitrator shall render his decision as expeditiously as possible.
            Failure to do so within sixty (60) days after the record is closed shall be reported to
            the FMCS.

            
             

            
            (F)               
            The arbitrator shall have no authority to change, add to or subtract
            from, or to modify any provisions of this Agreement. The arbitrator shall make his
            decision based on the provisions of the contract and the evidence before
            him.

            
             

            
            (G)
                         
            The decision and or award of the arbitrator shall be final and binding
            on both parties and enforceable in a court of law.

            
             

            
            (H)               
            Compensation and expenses of the arbitrator and general expenses of the
            arbitration shall be shared equally by the parties, except that each party shall bear
            the expenses of its representatives and witnesses.

            
             

            
            (I)                 
            Hearings shall take place at a location mutually agreed upon by the
            parties.

            
             

            
            (J)
                           
            In cases in which the parties have agreed that there is no question of
            fact involved in the grievance, the arbitrator may decide the case upon the basis of a
            joint statement of the parties and such exhibits as they shall submit.

            
             

            
            (K)              
            The hearing shall be recorded by the arbitrator and shall be closed upon
            the completion of testimony, except for the purpose of filing post-hearing briefs
            (copies of which will be provided to all parties). The arbitrator shall render his
            decision as soon after the close of the hearing as may be feasible. If the arbitrator
            is unable to make his decision within 60 days of the close of the hearing, he shall
            promptly advise the parties of the reasons for the delay and the date when his decision
            will be submitted. Either party may make an official transcript of the hearing. A copy
            of such transcript shall be provided to the other party at no charge.

            
             

            
            (L)
                          
            In cases involving compensation, in no event may the arbitrator award
            compensation for more than ten (10) working days prior to the date the grievant(s) knew
            or should have known of the complaint.

             

            
            

             

            
            36

             

             

            

            

            

            

             

             

            
            Section (c) Finality of Decision or Settlement

             

            
            Settlements reached at any step of the grievance procedure shall be
            final and binding on both parties and shall not be subject to further proceedings under
            this Article except by mutual agreement. Settlements reached at steps 2 and 3 shall be
            in writing and signed by appropriate representatives of the UNION and the
            PLANT.

             

            
            Section (d) Waiver of Time
            Limits

             

            
            By agreement the parties may waive the time limits set forth in each
            step of the grievance procedure. Absent a mutual agreement, if the PLANT’s answer
            is not appealed (i) within fifteen (15) calendar days of the EMPLOYER’s response
            in Step 2, or (ii) within twenty (20) calendar days of the EMPLOYER’s response in
            Step 3, then the answer made by the PLANT at that step shall be final.

            
             

            
            Article XI – Discipline and
            Discharge

             

            
            Section (a) Just Cause
            Required

             

            
            No Employee covered by this Agreement may be disciplined or discharged
            except for just cause. The burden shall be on the EMPLOYER to establish grounds for
            discipline or discharge in all proceedings under this Article. In no event, will the
            EMPLOYER initiate any form of discipline, beyond ten (10) working days of the time it
            knew, or should have known of the infraction, or against an Employee without a member
            of the Grievance Committee present, if the Employee requests UNION
            representation.

             

            
            Section (b) Procedure

             

            
            Where the EMPLOYER concludes that the conduct of an Employee justifies
            discharge, the Employee shall be suspended with the intent to discharge and shall be
            given written notice stating the reason, with a copy to be furnished to the Grievance
            Committee. After 24 hours, but within 48 hours, the Employee shall be afforded the
            right to meet with the PLANT’s Step 3 representative(s). At such meeting, no more
            than three (3) members of the Grievance Committee and the President of the Local Union
            shall be present and, if requested by the Employee or the Grievance Committee, a
            representative of the District shall also be present. Upon request by the Employee, the
            Grievance Committee, or the District representative, the forty-eight hour time limit
            will be extended by an additional 48 hours. The EMPLOYER shall be entitled to have an
            equal number of representatives at the meeting. Full disclosure of all information
            relied upon by the parties shall be provided at the 24/48 hour meeting.

             

            
            

             

            
            37

             

             

            

            

            

            

             

             

            
            Section (c) Suspension

             

            
            If within 24 hours after the conclusion of the 24/48 hour meeting, the
            EMPLOYER informs the Employee and the Grievance Committee that it still intends to
            discharge the Employee (or if no meeting was requested) the Employee shall have five
            (5) working days to file the grievance. If the Employee does not file a grievance
            within five (5) working days of the notice of suspension with intent to discharge, the
            discharge shall become effective immediately. Grievances involving discharge shall
            bypass steps 1 through 3 and shall proceed directly to step 4 of the grievance
            procedure.

             

            
            Section (d) Compensation for Lost
            Earnings  

             

            
            In all arbitration cases where it is determined that just cause for
            discharge has not been established, the Employee shall be reinstated and compensated
            for lost earnings at his applicable regular rates and any regularly scheduled mandatory
            overtime prior to discharge less monies earned during the back pay period. Nothing in
            this section shall be construed to, in any way, limit the arbitrator’s right to
            modify or mitigate the penalty of discharge.

             

            
            Section (e) Removal of Employee Disciplinary
            Records

             

            
            All records of Employee discipline issued during the term of this
            Agreement may be used as the basis for subsequent progressive disciplinary action no
            later than fifteen (15) months following the date of issuance and shall not be used in
            subsequent disciplinary action against the Employee. However, all records of Employee
            discipline only shall remain in an Employee’s file in Human Resources.

             

            
            Article XII - Benefits and
            Practices

             

            
            Section (a) Eligibility

             

            
            Employees, except as set forth below, shall be entitled to participate
            in the following benefit plans and practices of the EMPLOYER.

             

            
            Section (b) Benefits of
            Choice

             

            	
                        
                        •

                    	
                        
                        Remington Arms Company, Inc. Pension and Retirement
                        Plan

                    
	
                        
                        •

                    	
                        
                        Remington Savings and Investment Plan

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Remington Arms Company Welfare Plan

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                        •

                    	
                        
                        The Remington Medical Plan

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    	
                    	
                    

             

             

            
            38

             

             

            

            

            

            

             

             

            	
                        
                        •

                    	
                        
                        The Remington Dental Plan

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Vision Care

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Employee Life Insurance

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Optional Life Insurance

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Dependent Optional Life Insurance

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Long Term Disability Insurance

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Accidental Death & Dismemberment

                    
	
                        
                        •

                    	
                        
                        Flexible Spending Accounts

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Employee Assistance Program

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    	
                    	
                    	
                    	
                    	
                    	
                    

             

            
            The specifications for the structure of the benefit arrangements are set
            out in Appendix D and are incorporated herein as though fully stated in this Article
            XII.

             

            
            Section (c) Length of
            Service

             

            
            With the exception of the Remington Arms Company, Inc. Pension and
            Retirement Plan as provided below, a Current Employee on the old Remington payroll on
            November 30, 1993 and hired on the new Remington payroll on December 1, 1993 shall have
            his length of service at DuPont recognized for consideration of the benefits and
            practices set forth in Sections (b) and (d) herein.

             

            
            Section (d) Practices

             

            
            Service Recognition Plan

             

            
            Section (e) Administrative and Design Matters
            and Uniformity

             

            
            The EMPLOYER (or appropriate fiduciary of the applicable plan) in its
            sole and exclusive discretion, may modify the benefits (consistent with the terms set
            forth in Appendix D), change the administrator, add or delete investment options
            offered to participants and beneficiaries, change funding vehicles, investment advisers
            and managers, and service providers and/or (without any limitation arising from the
            foregoing enumeration) make any other changes as it determines in its sole and
            exclusive discretion provided that any such amendment, modification, change or
            termination shall apply equally to employees and non-unit employees unless otherwise
            agreed to by the UNION and the EMPLOYER.

             

            
            

             

            
            39

             

             

            

            

            

            

             

             

            
            Article XIII – Miscellaneous

             

            
            Section (a) Pay Day
             

             

            
            All Employees will be paid on a weekly basis. Payment shall be made by
            check, or by Direct Deposit if elected by the employee, with recognition for legitimate
            deductions. The Employee shall receive, with his pay, a plain statement itemizing the
            number of hours worked during the pay period and setting forth straight time, overtime
            and premium time hours worked during the pay period. The statement shall also itemize
            all payroll deductions.

             

            
            Section (b) Bulletin Boards

             

            
            The PLANT will provide and maintain bulletin boards at mutually
            agreeable locations for exclusive use by the UNION on which the UNION may post notices.
            Such notices shall not be offensive in nature to any individual or group of persons.
            Such notices shall show a removal date and shall be delivered to the Human Resources
            Manager or their designee prior to posting. An Employee designated by the President of
            the Local Union to post notices only will be compensated by the EMPLOYER for time spent
            posting notices on bulletin boards for up to two (2) hours per posting no more than
            twelve (12) postings per month on the first
            (1st) shift or as otherwise
            agreed upon by the Local Union and the Human Resources Manager.

             

            
            Section (c) Safety Shoes
             

             

            
            Each calendar year of this Agreement’s term, the PLANT will
            provide each Employee the option of electing either (i) an allowance per current
            practice up to $125.00 for the purchase of safety shoes, or (ii) a cash allowance of
            seventy five dollars ($75.00).

             

            
            Employees may purchase shoes from the “Shoe Truck” Program
            or from an authorized dealer(s) in this area.

             

            
            Section (d) Eye
            Examinations

             

            
            Each Employee requiring an eye examination within an eighteen (18) month
            time period, upon presenting a paid receipt to the Plant Medical Department, will be
            reimbursed for the expense of such examination up to a maximum of $50, but in no case
            is the reimbursement to exceed the cost of the examination. This section shall not
            apply to any employee participating in the EMPLOYER’s vision care benefit
            plan.

             

            
            

             

            
            40

             

             

            

            

            

            

             

             

            
            Section (e) Disability Accommodation

             

            
            This Agreement shall not prevent the PLANT from making a reasonable
            accommodation of disabled persons as required by state and/or federal law, including
            the Americans With Disabilities Act. In the event a proposed accommodation would
            conflict with an express provision of this Agreement, the parties, at either’s
            request, shall meet to discuss the proposed accommodation. Nothing in this section
            shall require the UNION to agree to modify terms of this Agreement or to waive
            seniority rights under this Agreement. In the event the PLANT and the UNION, in
            settling a grievance or litigation would agree, or a court or arbitrator would order
            that the PLANT make an accommodation that otherwise conflicts with the terms of this
            Agreement, that accommodation shall supersede such conflicting terms of this Agreement.
            The parties agree that any accommodation made by the PLANT with respect to job duties
            or any other term or condition of employment made pursuant to settlement of a grievance
            or litigation (whether formal or informal), or arbitral or court order, shall not, in
            any way, become applicable to any other individual, class, or group of Employees but
            shall apply only to the person or persons accommodated in the particular situation. The
            fact that such person(s) was accommodated, the manner and method of such accommodation
            shall be without precedent and therefore may not be used or relied upon by any person
            for that purpose at any time in the future.

             

            
            Section (f) Medical
            Appointments

             

            
            Employees shall make every attempt to schedule medical appointments
            during non-working time. With prior approval, Employees will be excused from work and
            paid for up to four (4) hours up to twelve (12) times per calendar year for the
            Employee to report for a medical appointment during work hours. Such medical
            appointments must be for diagnosis, follow-up to a recent problem or diagnostic
            testing. Dental appointments will be covered only for tooth extractions and root
            canals. Routine visits are not covered by this procedure and must be scheduled during
            non-working hours. Where that is not possible, the supervisor may excuse the employee
            without pay. The EMPLOYER reserves the right to deny the granting of time off for a
            medical appointment. Employees are required to provide verification from a licensed
            healthcare provider of the medical appointment, including the time of the appointment
            and the time the employee arrived and left the appointment.

             

            
            Article XIV – No Strike or
            Lockout

             

            
            Section (a) UNION Not to
            Strike

             

            
            Under no circumstances will the UNION or Employees participate in,
            instigate, cause, or encourage, any strike during the term of this Agreement, including
            economic,

             

            
            41

             

             

            

            

            

            

             

            
            unfair labor practice strikes, sympathy strikes, jurisdictional strikes,
            slowdown, walkout, sit-down, mass absenteeism, retarding of work or boycott or work
            stoppages.

            
            Section (b) UNION to Halt
            Breach

             

            
            In the event of a breach of Section (a), the UNION shall use reasonable
            means to end the breach, including advising the involved Employees that their conduct
            may be in violation of the Agreement, and if it is they may be disciplined up to and
            including discharge, and that they should immediately cease the offending
            conduct.

             

            
            Section (c) Discipline for
            Breach

             

            
            The PLANT has the right to discipline, up to and including discharge,
            any Employee who violates this Article and such discipline shall be deemed to be for
            good cause. Any such discipline or discharge under this Section shall be subject to the
            grievance procedure.

             

            
            Section (d) No Lockout

             

            
            The PLANT agrees not to lockout the Employees during the term of this
            Agreement.

             

            
            Article XV – Maintain Integrity of the
            Contract and Resort to Courts

             

            
            The UMWA and the EMPLOYER agree and affirm that, except as provided
            herein, they will maintain the integrity of this contract and that all disputes which
            are not settled by agreement shall be settled by the machinery provided in the
            “Settlement of Disputes” Article of this Agreement. Nothing in this
            provision, however, is intended to diminish any individual rights an Employee might
            enjoy by law. In addition, the EMPLOYER expressly authorizes the UNION to seek judicial
            relief, without exhausting the grievance machinery, in cases involving
            successorship.

             

            
            Article XVI – Modification and Severability
            Clause

             

            
            Section (a) Modification

             

            
            If during the life of this Agreement there shall be in existence any
            applicable law, rule, regulation or order issued by Governmental authority, which shall
            be inconsistent with any provision of this Agreement, the parties will meet to modify
            such provision to the extent necessary to comply with such law, rule, regulation or
            order.

             

            
            42

             

             

            

            

            

            

             

             

            
            Section (b) Severability

             

            
            In the event that any provision of this Agreement shall at any time be
            declared invalid by any court of competent jurisdiction, such decision shall not
            invalidate the entire Agreement, it being the express intention of the parties hereto
            that all other provisions not so declared invalid shall remain in full force and
            effect.

             

            
            Article XVII - Ratification and Termination of
            this Agreement

             

            
            This Agreement shall become effective at 12:01 am on the day following
            notification to the Remington Arms Co., Inc., by the International Union, United Mine
            Workers of America, that this Agreement has been ratified and approved by the
            membership covered hereby.

             

            
            This Agreement shall not be subject to termination by either party
            signatory hereto prior to 12:01 a.m. October 28, 2012, provided, however, that either
            the party the first part or the party of the second part may terminate this Agreement
            on or after 12:01 a.m. October 28, 2012, by giving at least sixty days written notice
            to the other party of such desired termination date.

             

            
            IN WITNESS WHEREOF, each of the parties signatory hereto has caused this
            Agreement to be signed, effective this 27th day of October 2007, the Agreement having
            been ratified and approved by the membership covered hereby on October 26,
            2007.

             

            On
            Behalf of:

            
            UNITED MINE WORKERS OF AMERICA

             

             

            	
                        
                         

                        
                                   /s/
                        Edward D. Yankovich
                        Jr.                     

                    
	
                        
                        By:

                    	
                        
                        Edward D. Yankovich Jr.

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    

            
            International District 2 Vice President

             

            On
            Behalf of:

            
            LOCAL UNION 717

             

             

            	
                        
                         

                        
                                     /s/
                        Stu
                        Kennedy                                        

                    
	
                        
                        By:

                    	
                        
                        Stu Kennedy

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    

            
            President

             

            
            43

             

             

            

            

            

            

             

             

             

            On
            Behalf of:

            
            REMINGTON ARMS COMPANY, INC.

             

             

            	
                        
                         

                        
                                    /s/
                        Joseph B.
                        Gross                                    

                    
	
                        
                        By:

                    	
                        
                        Joseph B. Gross

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                        Plant Manager

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    	
                    

             

            
            

             

            
            44

             

             

            

            

            

            

             

             

            
            SHORT TERM DISABILITY PAY PLAN

             

            
            The Short term Disability Pay Plan for Ilion hourly Employees shall be
            amended as of the effective date of this Agreement to read as follows:

             

            
            Disability Pay

             

            
            All Employees will be entitled to participate in the Company’s
            Short Term Disability Plan as outlined in the Health and Welfare Summary Plan
            Description, starting on the Employee’s first calendar day of disability. The pay
            structure will be as follows:

             

             

            	
                        
                        Duration Per
                        Occurrence

                    	
                        
                        Percentage of regular
                        rate of pay*

                    
	
                        
                        First calendar
                        day

                    	
                        
                        0%

                    
	
                        
                        Consecutive Days 2
                        through 9

                    	
                        
                        50%

                    
	
                        
                        Consecutive Days 10
                        through 180

                    	
                        
                        100%

                    

             

            *Or
            awarded State Workers Compensation, whichever is higher.

             

            
            All Employees will be expected to see a doctor on the second calendar
            day of illness and must report to the Plant Medical Department on any absence which
            extends to the third day.

             

            
            To receive disability pay, an Employee must submit medical documentation
            explaining and confirming: (1) the date the Employee became disabled, (2) the medical
            reasons why the Employee is unable to work, (3) the cause of the disability, if known,
            and (4) the nature, severity and expected duration of the disability. The EMPLOYER, at
            its expense, may require an examination by a second health care provider designated by
            the EMPLOYER. If the second health care provider's opinion conflicts with the medical
            documentation submitted by the Employee, the EMPLOYER, at its expense, may require a
            neutral qualified third party to conduct an examination and provide a final and binding
            opinion. If an Employee fails to provide the medical documentation required under this
            provision, or fails to submit to the examinations specified herein, the
            Employee’s claim for disability pay may be denied.

             

             

             

            
            

             

            
            45

             

             

            

            

            

            

             

             

            
            APPENDIX A

             

            	
                        
                        Effective October 29, 2007

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Level

                    	
                        
                        Start

                    	
                        
                        6mos

                    	
                        
                        12mos

                    	
                        
                        24mos

                    	
                        
                        36mos

                    	
                        
                        48mos

                    	
                        
                        51mos

                    
	
                        
                        3

                    	
                        
                        $10.77

                    	
                        
                         

                    	
                        
                        $11.63

                    	
                        
                        $12.06

                    	
                        
                        $12.49

                    	
                        
                        $15.30

                    	
                        
                         

                    
	
                        
                        4

                    	
                        
                        $12.22

                    	
                        
                         

                    	
                        
                        $13.08

                    	
                        
                        $13.51

                    	
                        
                        $13.92

                    	
                        
                        $15.71

                    	
                        
                        $16.20

                    
	
                        
                        5

                    	
                        
                        $15.71

                    	
                        
                        $16.20

                    	
                        
                        $16.42

                    	
                        
                        $16.89

                    	
                        
                        $17.37

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        6

                    	
                        
                        $16.89

                    	
                        
                        $17.37

                    	
                        
                        $17.83

                    	
                        
                        $18.26

                    	
                        
                        $18.66

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Effective November 3, 2008

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Level

                    	
                        
                        Start

                    	
                        
                        6mos

                    	
                        
                        12mos

                    	
                        
                        24mos

                    	
                        
                        36mos

                    	
                        
                        48mos

                    	
                        
                        51mos

                    
	
                        
                        3

                    	
                        
                        $11.10

                    	
                        
                         

                    	
                        
                        $11.98

                    	
                        
                        $12.42

                    	
                        
                        $12.87

                    	
                        
                        $15.76

                    	
                        
                         

                    
	
                        
                        4

                    	
                        
                        $12.59

                    	
                        
                         

                    	
                        
                        $13.47

                    	
                        
                        $13.91

                    	
                        
                        $14.34

                    	
                        
                        $16.18

                    	
                        
                        $16.68

                    
	
                        
                        5

                    	
                        
                        $16.18

                    	
                        
                        $16.68

                    	
                        
                        $16.91

                    	
                        
                        $17.40

                    	
                        
                        $17.89

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        6

                    	
                        
                        $17.40

                    	
                        
                        $17.89

                    	
                        
                        $18.37

                    	
                        
                        $18.81

                    	
                        
                        $19.22

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Effective November 2, 2009

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Level

                    	
                        
                        Start

                    	
                        
                        6mos

                    	
                        
                        12mos

                    	
                        
                        24mos

                    	
                        
                        36mos

                    	
                        
                        48mos

                    	
                        
                        51mos

                    
	
                        
                        3

                    	
                        
                        $11.43

                    	
                        
                         

                    	
                        
                        $12.34

                    	
                        
                        $12.79

                    	
                        
                        $13.25

                    	
                        
                        $16.23

                    	
                        
                         

                    
	
                        
                        4

                    	
                        
                        $12.97

                    	
                        
                         

                    	
                        
                        $13.88

                    	
                        
                        $14.33

                    	
                        
                        $14.77

                    	
                        
                        $16.67

                    	
                        
                        $17.18

                    
	
                        
                        5

                    	
                        
                        $16.67

                    	
                        
                        $17.18

                    	
                        
                        $17.41

                    	
                        
                        $17.92

                    	
                        
                        $18.42

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        6

                    	
                        
                        $17.92

                    	
                        
                        $18.42

                    	
                        
                        $18.92

                    	
                        
                        $19.37

                    	
                        
                        $19.80

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Effective November 1, 2010

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Level

                    	
                        
                        Start

                    	
                        
                        6mos

                    	
                        
                        12mos

                    	
                        
                        24mos

                    	
                        
                        36mos

                    	
                        
                        48mos

                    	
                        
                        51mos

                    
	
                        
                        3

                    	
                        
                        $11.77

                    	
                        
                         

                    	
                        
                        $12.71

                    	
                        
                        $13.18

                    	
                        
                        $13.65

                    	
                        
                        $16.72

                    	
                        
                         

                    
	
                        
                        4

                    	
                        
                        $13.36

                    	
                        
                         

                    	
                        
                        $14.30

                    	
                        
                        $14.76

                    	
                        
                        $15.21

                    	
                        
                        $17.17

                    	
                        
                        $17.70

                    
	
                        
                        5

                    	
                        
                        $17.17

                    	
                        
                        $17.70

                    	
                        
                        $17.94

                    	
                        
                        $18.46

                    	
                        
                        $18.98

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        6

                    	
                        
                        $18.46

                    	
                        
                        $18.98

                    	
                        
                        $19.49

                    	
                        
                        $19.95

                    	
                        
                        $20.39

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    

            

             

            
            46

             

             

            

            

            

            

             

             

             

            	
                        
                        Effective November 7, 2011

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Level

                    	
                        
                        Start

                    	
                        
                        6mos

                    	
                        
                        12mos

                    	
                        
                        24mos

                    	
                        
                        36mos

                    	
                        
                        48mos

                    	
                        
                        51mos

                    
	
                        
                        3

                    	
                        
                        $12.19

                    	
                        
                         

                    	
                        
                        $13.16

                    	
                        
                        $13.64

                    	
                        
                        $14.13

                    	
                        
                        $17.30

                    	
                        
                         

                    
	
                        
                        4

                    	
                        
                        $13.82

                    	
                        
                         

                    	
                        
                        $14.80

                    	
                        
                        $15.28

                    	
                        
                        $15.74

                    	
                        
                        $17.77

                    	
                        
                        $18.32

                    
	
                        
                        5

                    	
                        
                        $17.77

                    	
                        
                        $18.32

                    	
                        
                        $18.57

                    	
                        
                        $19.10

                    	
                        
                        $19.64

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        6

                    	
                        
                        $19.10

                    	
                        
                        $19.64

                    	
                        
                        $20.17

                    	
                        
                        $20.65

                    	
                        
                        $21.11

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    

            

            
            

             

            
            47

             

             

            

            

            

            

             

             

            
            APPENDIX B

             

            
            JOB CODES & TITLES

             

            	
                        
                        •

                    	
                        
                        Production 100 series

                    	
                        
                        (103,104,105,106)

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Maintenance 200 series

                    	
                        
                        (203,204,205,206)

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Arms Service 300 series

                    	
                        
                        (303,304,305,306)

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Custom Shop 400 series

                    	
                        
                        (403,404,405,406)

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Production Support 500 series

                    	
                        
                        (503,504,505,506)

                    	
                        
                         

                    
	
                        
                        •

                    	
                        
                        Technical 600 series

                    	
                        
                        (603,604,605,606)

                    
	
                    	
                    	
                    	
                    	
                    	
                    	
                    

             

            
            

             

            
            48

             

             

            

            

            

            

             

             

            
            APPENDIX C

             

            
            Practices, Customs and Agreements

             

            
            [Subject to revision by the sub-committee on Appendix C]

             

            	
                    	
                        
                        •     

                    	
                        
                        VLOA (with adjustment
                        to medical and dental) 9/13/90

                    

            	
                    	
                        
                        •     

                    	
                        
                        Direct Deposit of
                        Weekly Payroll Checks 4/11/95

                    

            	
                    	
                        
                        •     

                    	
                        
                        Reporting of Absence to
                        Plant Medical 8/1/95

                    

            	
                    	
                        
                        •     

                    	
                        
                        ROI’s
                        Probationary Employees reverting to verbal on end of probation
                        2/11/00

                    

            	
                    	
                        
                        •     

                    	
                        
                        Selection of Machine
                        Setters 9/8/95

                    

            	
                    	
                        
                        •     

                    	
                        
                        Employer Obligation to
                        Provide Union Representation

                    

            	
                    	
                        
                        •     

                    	
                        
                        Ability to progress in
                        recognized Job Codes based on Organization Needs and employee
                        skills

                    

            	
                    	
                        
                        •     

                    	
                        
                        742 memo of
                        Understanding 7/24/95

                    

            	
                    	
                        
                        •     

                    	
                        
                        Shift Realignment
                        Procedure 6/17/98

                    

            	
                    	
                        
                        •     

                    	
                        
                        Re-evaluate jobs based
                        on significant change Memo of Agreement Undated

                    

            	
                    	
                        
                        •     

                    	
                        
                        FMS Progression Memo of
                        Agreement 7/24/95

                    

            	
                    	
                        
                        •     

                    	
                        
                        Jury Duty Guidelines
                        letter 8/17/87

                    

            	
                    	
                        
                        •     

                    	
                        
                        Military Training &
                        Service Guidelines Letter 8/17/87

                    

            	
                    	
                        
                        •     

                    	
                        
                        Overtime combined with
                        1⁄2 day vacation practice      letter
                        9/9/99

                    

            	
                    	
                        
                        •     

                    	
                        
                        Job Code 767/766
                        Issue     Letter of Understanding
                        10/13/99

                    

            	
                    	
                        
                        •     

                    	
                        
                        Medically Prescribed
                        Footwear Practice     letter 2/27/84

                    

            	
                    	
                        
                        •     

                    	
                        
                        Birthday Scheduling
                             Memo of Agreement 12/5/00

                    

            	
                    	
                        
                        •     

                    	
                        
                        Preferential Treatment
                        for Bidding     Memo of Understanding
                        5/27/99

                    

            	
                    	
                        
                        •     

                    	
                        
                        Employee Treatment in
                        machine Moves or Regrouping Phillips 4th Step Grievance Answer
                        1/28/90

                    

            	
                    	
                        
                        •     

                    	
                        
                        Normal Shift
                        Schedules

                    

            	
                    	
                        
                        •     

                    	
                        
                        Apprentice Program
                        Agreement (latest version)

                    

            	
                    	
                        
                        •     

                    	
                        
                        Procedure for Call In
                        during Vacation Periods 1/15/90 letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Paid Time off for
                        Dental/Doctor Appointments 10/31/89 letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Responsibilities of
                        Supervision/Employees Concerning Reporting of Medical and Other Absences
                        1/29/90 letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Verbal
                        Warnings/Absentee Records 7/13/89 Letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Records of Interview
                        (ROI’s) in Floor Files     letter
                        5/13/90

                    

            	
                    	
                        
                        •     

                    	
                        
                        Holiday’s with
                        Religious Meaning – Not Recognized as Plant Holidays 1/5/90
                        letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Leaves of
                        Absence     1/15/90 Letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Rates of Pay –
                        New Hires/Re-Hires undated letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Rates of Pay –
                        Progression/Regression undated letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Service Awards undated
                        letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Filling Job Vacancies
                        created by disability

                    

            	
                    	
                        
                        •     

                    	
                        
                        Union rights to pagers
                        and unrestricted telephone

                    

             

             

            
            49

             

             

            

            

            

            

             

             

            	
                    	
                        
                        •     

                    	
                        
                        Letter of Understanding
                        – Calculating Seniority Dates 12/2/98

                    

            	
                    	
                        
                        •     

                    	
                        
                        SAP Transaction
                        Specialist Agreement 2/16/2000 letter

                    

            	
                    	
                        
                        •     

                    	
                        
                        Memo of Understanding
                        Doctor Appointments 9/11/2002

                    

            	
                    	
                        
                        •     

                    	
                        
                        Letter Agreement on Job
                        Classification Modernization dated 10/4/07

                    

            	
                    	
                        
                        •     

                    	
                        
                        Letter Agreement on
                        Precision Shop dated 10/4/07

                    

            	
                    	
                        
                        •     

                    	
                        
                        Letter Agreement on
                        Miscellaneous Matters dated 10/4/07

                    

            
             

            

             

            
            50

             

             

            

            

            

            

             

             

            
            APPPENDIX D

            	
                        
                        1.

                    	
                        
                        Remington Arms Company, Inc. Pension and
                        Retirement

                    

            	
                        
                        a.

                    	
                        
                        No Employee hired after September 11, 1997, shall be
                        eligible to participate in the Remington Arms Company, Inc. Pension and
                        Retirement Plan (the “Pension Plan”).

                    
	
                        
                        b.

                    	
                        
                        The Pension Plan will be amended effective December 31, 2007
                        to provide that no Participant will earn any further benefit accruals after
                        December 31, 2007. As a result, each Participant’s accrued benefit
                        will be determined based on the Participant’s compensation and period
                        of employment as of December 31, 2007 and compensation and employment after
                        December 31, 2007 will not be taken into account. This means that the
                        ten-year period used in calculating Average Annual Earnings shall not
                        extend past December 31, 2007.

                    
	
                        
                        c.

                    	
                        
                        Specifically, the computation of Average Annual Earnings is
                        unchanged. It is the greater of 1) the highest annual average Earnings
                        received during any 36 consecutive calendar months during the last 10 years
                        of Credited Service, or 2) the highest average annual Earnings based on the
                        Total Earnings for the highest 3 calendar years of the last 10 years of
                        Credited Service. The 10 years period ends on December 31, 2007 for
                        computation of Average Annual Earnings.

                    
	
                        
                        d.

                    	
                        
                        Participants in the Pension Plan that are active Employees
                        with the EMPLOYER on or after January 1, 2008, shall continue to be
                        credited for service under the Pension Plan for purposes of (i) vesting,
                        (ii) eligibility for early retirement benefits under Section 6.1 of the
                        Pension Plan, (iii) eligibility for ancillary disability benefits under
                        Section 8.1 of the Pension Plan, (iv) Vested Deferred benefits under
                        Section 7 of the Pension Plan, and (v) Forms of Payment under Section 9 of
                        the Pension Plan.

                    
	
                        
                        e.

                    	
                        
                        Current Employees who retired under the DuPont plan have
                        been automatically vested under the Pension Plan although only their
                        Remington service and earnings beginning December 1, 1993 is recognized.
                        For all Current Employees employed by old Remington on November 30, 1993
                        and by new Remington on December 1, 1993, who did not retire under the
                        DuPont plan, the Pension Plan will continue to recognize all service earned
                        at Remington while owned by DuPont and will continue to take into account a
                        Current Employee’s earnings at Remington while owned by DuPont in
                        addition to the Current Employee’s service and earnings at
                        Remington.

                    

             

             

            
            51

             

             

            

            

            

            

             

             

            	
                        
                        2.

                    	
                        
                        Remington Savings and Investment Plan

                    

            	
                        
                        a.

                    	
                        
                        Employees will participate in a retirement savings
                        contribution that will be a part of the Remington Savings and Investment
                        Plan (SIP).

                    
	
                        
                        b.

                    	
                        
                        Upon becoming eligible to participate in the SIP, Employees
                        hired after September 11, 1997 who have completed 12 months of eligibility
                        service, as defined in the Plan, will also be eligible to receive a
                        discretionary Profit-Sharing Contribution from the EMPLOYER. An account
                        will be created within the SIP in each eligible Employee’s name,
                        regardless of whether or not the Employee chooses to contribute to the SIP.
                        The EMPLOYER’s discretionary Profit-Sharing Contribution will be
                        credited to the Employee’s account, provided that the Employee is an
                        active Employee of the EMPLOYER on the last day of the plan year for which
                        the contribution is attributed. The amount of the discretionary
                        Profit-Sharing Contribution, which the EMPLOYER will make, will be
                        determined each year by the Board of Directors of the EMPLOYER and will be
                        allocated to the accounts of such employees who are eligible under the
                        terms of the SIP. Effective January 1, 2008, the Profit-Sharing
                        Contributions shall be subject to a three-year vesting schedule (the five
                        year vesting schedule will no longer apply regardless of what Plan Year the
                        Profit-Sharing Contribution was made).

                    
	
                        
                        c.

                    	
                        
                        An Employee will have flexibility to direct any
                        contributions allocated to his or her account in the SIP among the various
                        investment funds offered within the SIP.

                    
	
                        
                        d.

                    	
                        
                        Effective January 1, 2008, Employees that make contributions
                        to the SIP will be eligible to receive a Company Matching Contribution of
                        50% on the first 6% of compensation deferred, with no additional match on
                        higher levels of deferrals.

                    
	
                        
                        e.

                    	
                        
                        Effective January 1, 2008, for the purpose of calculating
                        contributions to the 401(k) Plan, the definition of an Employee’s
                        compensation shall include overtime pay.

                    

            	
                        
                        3.

                    	
                        
                        Remington Arms Company Welfare Plan  

                    
	
                        
                         

                    	
                        
                        a.

                    	
                        
                        Remington Medical Plan

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    	
                    

            	
                        
                        i.

                    	
                        
                        The EMPLOYER shall provide medical benefits for all
                        Employees covered by this Agreement and their eligible dependents pursuant
                        to the Remington Arms Company Welfare Plan.

                    
	
                        
                        ii.

                    	
                        
                        Effective January 1, 2008, Employees will be given the
                        opportunity to elect Medical Coverage from Plans A, B or C.

                    

             

             

            
            52

             

             

            

            

            

            

             

             

            	
                        
                        1.

                    	
                        
                        Combined benefits for inpatient and outpatient drug and
                        alcohol abuse to a Lifetime Maximum of $25,000 total plan
                        benefit.

                    

            	
                        
                        2.

                    	
                        
                        Exclude coverage for Gastric Bypass Surgery.

                    

            	
                        
                        3.

                    	
                        
                        Adopt the company policy for Pre-existing condition for
                        Employees hired after January 1, 2008.

                    

            	
                        
                        iii.

                    	
                        
                        Prescription Drugs:

                    

            	
                        
                        1.

                    	
                        
                        Adoption of a 3 tier formulary at retail and mail order.
                        Added to the current 2 tier program is a 3rd tier for Non- Preferred
                        Brands.

                    
	
                        
                        2.

                    	
                        
                        Increase Mail order co-pay for Generic, Brand, and
                        Non-preferred brand drugs.

                    

             

            	
                        
                        Retail

                    
	
                      	
                        
                        Plan A

                    	
                        
                        Plan B

                    	
                        
                        Plan C

                    
	
                        
                        Generics

                    	
                        
                        $15

                    	
                        
                        $15

                    	
                        
                        $15

                    
	
                        
                        Brand

                    	
                        
                        $25

                    	
                        
                        $25

                    	
                        
                        $25

                    
	
                        
                        Non-Preferred
                        Brand

                    	
                        
                        $45

                    	
                        
                        $45

                    	
                        
                        $45

                    

             

            	
                        
                        Mail Order (for a
                        maximum 90 day supply)

                    
	
                      	
                        
                        Plan A

                    	
                        
                        Plan B

                    	
                        
                        Plan C

                    
	
                        
                        Generics

                    	
                        
                        $20

                    	
                        
                        $20

                    	
                        
                        $30

                    
	
                        
                        Brand

                    	
                        
                        $30

                    	
                        
                        $30

                    	
                        
                        $50

                    
	
                        
                        Non-Preferred
                        Brand

                    	
                        
                        $50

                    	
                        
                        $50

                    	
                        
                        $90

                    

            

            	
                        
                        iv.

                    	
                        
                        Details of Plans A, B and C are contained in the Summary
                        Plan Description.

                    
	
                        
                        v.

                    	
                        
                        The Monthly Employee Premiums for these plans are as
                        follows:

                    

             

            	
                        
                        Plan
                        A

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $40

                    	
                        
                        
                        $80

                    	
                        
                        
                        $95

                    	
                        
                        $120

                    	
                        
                        $135

                    	
                        
                        $150

                    
	
                        
                        EE+1

                    	
                        
                        $86

                    	
                        
                        
                        $126

                    	
                        
                        
                        $146

                    	
                        
                        
                        $176

                    	
                        
                        
                        $196

                    	
                        
                        
                        $216

                    
	
                        
                        Family

                    	
                        
                        $105

                    	
                        
                        
                        $145

                    	
                        
                        
                        $170

                    	
                        
                        $205

                    	
                        
                        $230

                    	
                        
                        $255

                    
	
                      	
                      	
                      	
                      	
                      	
                      	
                      

            

             

            
            53

             

             

            

            

            

            

             

             

             

            	
                        
                        Plan B

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $80

                    	
                        
                        $120

                    	
                        
                        $135

                    	
                        
                        $160

                    	
                        
                        $175

                    	
                        
                        $190

                    
	
                        
                        EE+1

                    	
                        
                        $172

                    	
                        
                        $212

                    	
                        
                        $232

                    	
                        
                        $262

                    	
                        
                        $282

                    	
                        
                        $302

                    
	
                        
                        Family

                    	
                        
                        $210

                    	
                        
                        $250

                    	
                        
                        $275

                    	
                        
                        $310

                    	
                        
                        $335

                    	
                        
                        $360

                    
	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    	
                        
                         

                    
	
                        
                        Plan C

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        n/a

                    	
                        
                        $55

                    	
                        
                        $70

                    	
                        
                        $85

                    	
                        
                        $100

                    	
                        
                        $115

                    
	
                        
                        EE+1

                    	
                        
                        n/a

                    	
                        
                        $105

                    	
                        
                        $125

                    	
                        
                        $145

                    	
                        
                        $165

                    	
                        
                        $185

                    
	
                        
                        Family

                    	
                        
                        n/a

                    	
                        
                        $130

                    	
                        
                        $155

                    	
                        
                        $180

                    	
                        
                        $205

                    	
                        
                        $230

                    

             

            	
                        
                        vi.

                    	
                        
                        Medical – deductibles

                    
	
                        
                         

                    	
                        
                        (1)

                    	
                        
                        In network

                    	
                        
                         

                    

             

            	
                        
                        Plan A

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $350

                    	
                        
                        $350

                    	
                        
                        $350

                    	
                        
                        $350

                    	
                        
                        $350

                    	
                        
                        $350

                    
	
                        
                        EE+1

                    	
                        
                        $700

                    	
                        
                        $700

                    	
                        
                        $700

                    	
                        
                        $700

                    	
                        
                        $700

                    	
                        
                        $700

                    
	
                        
                        Family

                    	
                        
                        $1,050

                    	
                        
                        $1,050

                    	
                        
                        $1,050

                    	
                        
                        $1,050

                    	
                        
                        $1,050

                    	
                        
                        $1,050

                    

             

            Plan
            B – no deductible

             

            	
                        
                        Plan C

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        n/a

                    	
                        
                        $600

                    	
                        
                        $700

                    	
                        
                        $700

                    	
                        
                        $800

                    	
                        
                        $800

                    
	
                        
                        EE+1

                    	
                        
                        n/a

                    	
                        
                        $1,200

                    	
                        
                        $1,400

                    	
                        
                        $1,400

                    	
                        
                        $1,600

                    	
                        
                        $1,600

                    
	
                        
                        Family

                    	
                        
                        n/a

                    	
                        
                        $1,800

                    	
                        
                        $2,100

                    	
                        
                        $2,100

                    	
                        
                        $2,400

                    	
                        
                        $2,400

                    

             

            	
                        
                        (2)

                    	
                        
                        Out of network

                    

             

            	
                        
                        Plan A

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    
	
                        
                        EE+1

                    	
                        
                        $2,000

                    	
                        
                        $2,000

                    	
                        
                        $2,000

                    	
                        
                        $2,000

                    	
                        
                        $2,000

                    	
                        
                        $2,000

                    
	
                        
                        Family

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    

             

            	
                        
                        Plan B

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $500

                    	
                        
                        $500

                    	
                        
                        $500

                    	
                        
                        $500

                    	
                        
                        $500

                    	
                        
                        $500

                    
	
                        
                        EE+1

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    	
                        
                        $1,000

                    
	
                        
                        Family

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    

             

             

            
            54

             

             

            

            

            

            

             

             

             

            	
                        
                        Plan C

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        n/a

                    	
                        
                        $1,800

                    	
                        
                        $2,100

                    	
                        
                        $2,100

                    	
                        
                        $2,400

                    	
                        
                        $2,400

                    
	
                        
                        EE+1

                    	
                        
                        n/a

                    	
                        
                        $3,600

                    	
                        
                        $4,200

                    	
                        
                        $4,200

                    	
                        
                        $4,800

                    	
                        
                        $4,800

                    
	
                        
                        Family

                    	
                        
                        n/a

                    	
                        
                        $5,400

                    	
                        
                        $6,300

                    	
                        
                        $6,300

                    	
                        
                        $7,200

                    	
                        
                        $7,200

                    

             

            
            vii. Out of Pocket Maximums

            	
                        
                        (1)

                    	
                        
                        In network

                    

             

            	
                        
                        Plan A

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    	
                        
                        $1,500

                    
	
                        
                        EE+1

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    	
                        
                        $3,000

                    
	
                        
                        Family

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    

             

            	
                        
                        Plan B

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $1,250

                    	
                        
                        $1,250

                    	
                        
                        $1,250

                    	
                        
                        $1,250

                    	
                        
                        $1,250

                    	
                        
                        $1,250

                    
	
                        
                        EE+1

                    	
                        
                        $2,500

                    	
                        
                        $2,500

                    	
                        
                        $2,500

                    	
                        
                        $2,500

                    	
                        
                        $2,500

                    	
                        
                        $2,500

                    
	
                        
                        Family

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    

             

            	
                        
                        Plan C

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        n/a

                    	
                        
                        $2,250

                    	
                        
                        $2,250

                    	
                        
                        $2,250

                    	
                        
                        $2,750

                    	
                        
                        $2,750

                    
	
                        
                        EE+1

                    	
                        
                        n/a

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $5,500

                    	
                        
                        $5,500

                    
	
                        
                        Family

                    	
                        
                        n/a

                    	
                        
                        $6,750

                    	
                        
                        $6,750

                    	
                        
                        $6,750

                    	
                        
                        $8,250

                    	
                        
                        $8,250

                    

             

            	
                        
                        (2)

                    	
                        
                        Out of network

                    

             

            	
                        
                        Plan A

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    	
                        
                        $4,500

                    
	
                        
                        EE+1

                    	
                        
                        $9,000

                    	
                        
                        $9,000

                    	
                        
                        $9,000

                    	
                        
                        $9,000

                    	
                        
                        $9,000

                    	
                        
                        $9,000

                    
	
                        
                        Family

                    	
                        
                        $13,500

                    	
                        
                        $13,500

                    	
                        
                        $13,500

                    	
                        
                        $13,500

                    	
                        
                        $13,500

                    	
                        
                        $13,500

                    

             

            	
                        
                        Plan B

                    
	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    	
                        
                        $3,750

                    
	
                        
                        EE+1

                    	
                        
                        $7,500

                    	
                        
                        $7,500

                    	
                        
                        $7,500

                    	
                        
                        $7,500

                    	
                        
                        $7,500

                    	
                        
                        $7,500

                    
	
                        
                        Family

                    	
                        
                        $11,250

                    	
                        
                        $11,250

                    	
                        
                        $11,250

                    	
                        
                        $11,250

                    	
                        
                        $11,250

                    	
                        
                        $11,250

                    

             

             

            
            55

             

             

            

            

            

            

             

             

             

            	
                        
                        Plan C

                    
	
                        
                         

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        n/a

                    	
                        
                        $7,800

                    	
                        
                        $7,800

                    	
                        
                        $7,800

                    	
                        
                        $9,300

                    	
                        
                        $9,300

                    
	
                        
                        EE+1

                    	
                        
                        n/a

                    	
                        
                        $15,600

                    	
                        
                        $15,600

                    	
                        
                        $15,600

                    	
                        
                        $18,600

                    	
                        
                        $18,600

                    
	
                        
                        Family

                    	
                        
                        n/a

                    	
                        
                        $23,400

                    	
                        
                        $23,400

                    	
                        
                        $23,400

                    	
                        
                        $27,900

                    	
                        
                        $27,900

                    

             

            
            viii. Under any option the employee’s spouse must elect coverage
            (at least single) under their separate employer’s medical plan as primary
            coverage if the employer offers a medical plan with a single coverage monthly cost of
            less than:

            
            Plans A, B & C

             

            	
                      	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                      	
                        
                        $139

                    	
                        
                        $139

                    	
                        
                        $139

                    	
                        
                        $139

                    	
                        
                        $139

                    	
                        
                        $139

                    

             

            	
                        
                        b.

                    	
                        
                        Dental

                    

            
            Monthly premiums

            
             

            	
                        
                         

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $2

                    	
                        
                        $4

                    	
                        
                        $6

                    	
                        
                        $6

                    	
                        
                        $6

                    	
                        
                        $8

                    
	
                        
                        EE+1

                    	
                        
                        $4

                    	
                        
                        $8

                    	
                        
                        $12

                    	
                        
                        $12

                    	
                        
                        $12

                    	
                        
                        $16

                    
	
                        
                        Family

                    	
                        
                        $6

                    	
                        
                        $12

                    	
                        
                        $18

                    	
                        
                        $18

                    	
                        
                        $18

                    	
                        
                        $25

                    

            
            Deductible – applies to other than Class A Expenses for Preventive
            and Diagnostic Care

             

            	
                        
                         

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $0

                    	
                        
                        $50

                    	
                        
                        $50

                    	
                        
                        $50

                    	
                        
                        $50

                    	
                        
                        $50

                    
	
                        
                        EE+1

                    	
                        
                        $0

                    	
                        
                        $100

                    	
                        
                        $100

                    	
                        
                        $100

                    	
                        
                        $100

                    	
                        
                        $100

                    
	
                        
                        Family

                    	
                        
                        $0

                    	
                        
                        $150

                    	
                        
                        $150

                    	
                        
                        $150

                    	
                        
                        $150

                    	
                        
                        $150

                    

             

            	
                        
                        c.

                    	
                        
                        Vision

                    

            
            Monthly Premiums

             

            	
                        
                         

                    	
                        
                        2007

                    	
                        
                        2008

                    	
                        
                        2009

                    	
                        
                        2010

                    	
                        
                        2011

                    	
                        
                        2012

                    
	
                        
                        EE

                    	
                        
                        $6.76

                    	
                        
                        $6.76

                    	
                        
                        $6.76

                    	
                        
                        $6.76

                    	
                        
                        $6.76

                    	
                        
                        $6.76

                    
	
                        
                        EE+1

                    	
                        
                        $11.76

                    	
                        
                        $11.76

                    	
                        
                        $11.76

                    	
                        
                        $11.76

                    	
                        
                        $11.76

                    	
                        
                        $11.76

                    
	
                        
                        Family

                    	
                        
                        $17.06

                    	
                        
                        $17.06

                    	
                        
                        $17.06

                    	
                        
                        $17.06

                    	
                        
                        $17.06

                    	
                        
                        $17.06

                    

             

             

            
            56

             

             

            

            

            

            

             

             

            	
                        
                        d.

                    	
                        
                        Employee Life Insurance/Optional Life Insurance
                        /Dependent Optional Life Insurance

                    

            
                         Anticipate
            that Employee premiums will not increase for years 2008 -2010 but they may increase in
            years 2011 and 2012 pending identification of the insurance carrier. The amount has not
            yet been determined.

            	
                        
                        e.

                    	
                        
                        Long Term Disability Insurance

                    

             

            
            The following amendments will be added to the coverage:

            	
                        
                         

                    	
                        
                        1.

                    	
                        
                        Family social security offset.

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                        2.

                    	
                        
                        Disability to Social Security age

                    	
                        
                         

                    
	
                        
                         

                    	
                        
                        3.

                    	
                        
                        Accept the 99 enhancement provision

                    
	
                        
                        f.

                    	
                        
                        Accidental Death & Dismemberment

                    	
                        
                         

                    
	
                    	
                    	
                    	
                    	
                    	
                    

            
            Monthly Premiums for contract years 2008 – 2012:

             

            	
                        
                        Options

                    	
                        
                        Employee

                    	
                        
                        Emp.
                        and Spouse

                    	
                        
                        Emp.
                        and Child(ren)

                    	
                        
                        Family

                    
	
                        
                        Option
                        50

                        $50,000 for you

                        $25,000 for your spouse

                        $10,000 for each child

                    	
                        
                        $1.15

                    	
                        
                        $1.58

                    	
                        
                        $1.68

                    	
                        
                        $2.04

                    
	
                        
                        Option
                        100

                        $100,000 for you

                        $50,000 for your spouse

                        $25,000 for each child

                    	
                        
                        $2.30

                    	
                        
                        $3.15

                    	
                        
                        $3.50

                    	
                        
                        $4.20

                    
	
                        
                        Option
                        250

                        $250,000 for you

                        $150,000 for your spouse

                        $50,000 for each child

                    	
                        
                        $5.75

                    	
                        
                        $8.40

                    	
                        
                        $8.40

                    	
                        
                        $10.80

                    

             

            	
                        
                        g.

                    	
                        
                        Flexible Spending Accounts

                    

            
            Healthcare Flexible Spending Account: Effective January 1, 2008, the
            annual limit on Flexible Spending Accounts will be increased to $3,000.

            
            Dependent Care Flexible Spending Account

            	
                        
                        h.

                    	
                        
                        Employee Assistance Program

                    

            

             

            
            57

             

             

            

            

            

            

             

             

            	
                        
                        i.

                    	
                        
                        Retiree medical

                    

            
            As of September 11, 1997, the EMPLOYER will not provide either retiree
            medical or dental benefits and not offer participation in the Remington Arms Company,
            Inc. Pension and Retirement Plan to any Employees hired after that date and the
            Remington Arms Company, Inc. Pension and Retirement Plan shall be amended to so
            state.

            
            Furthermore, the EMPLOYER continues to retain the right to modify,
            including reduce, the existing retiree medical or dental benefits in its sole and
            exclusive discretion.

             

             

            
            58

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00139-of-00352.parquet"}]]