COLLECTIVE BARGAINING
AGREEMENT

COLLECTIVE BARGAINING AGREEMENT

of January 11, 2007

BETWEEN

GKN AEROSPACE CHEM-TRONICS INC

and

INTERNATIONAL ASSOCIATION OF MACHINISTS
AND AEROSPACE WORKERS, AFL-CIO

............................................................................... Page

PREFACE / PREAMBLE......................................................... 8-9

ARTICLE 1 – BARGAINING UNIT.......................................... 10

1 Union Recognition.................................................. 10

ARTICLE 2 – UNION SECURITY............................................ 10

1 Union Membership.................................................. 10

2 Satisfaction of Obligation....................................... 11

3 Failure to Satisfy Obligation................................... 11

4 Explanation to Employees...................................... 11

5 Payroll Deduction for Union Dues & Init Fee........... 12

6 Payroll Deduction for GDA & MNPL........................ 12

7 Indemnification....................................................... 12

ARTICLE 3 – BUSINESS REPRESENTATIVE........................ 13

1 Union to Furnish List of Representatives............... 13

2 Business Representatives – Access to Plant....... 14

3 Union Activity During Working Hours..................... 14

ARTICLE 4 – RIGHTS OF MANAGEMENT........................... 15

ARTICLE 5 – WAGES............................................................ 15

1 Wages.................................................................... 15

2 Definitions.............................................................. 16

3 Wage Increases and Bonuses.............................. 16

4 Job Progression Increases.................................... 17

5 Cost-of-Living Allowance...................................... 18

6 Performance Bonus Plan....................................... 20

7 Lead Pay Premium.................................................. 21

8 Certifications.......................................................... 22

ARTICLE 6 – REGULAR HOURS OF WORK.......................... 22

1 Regular Hours........................................................ 22

2 Overtime Rate for Regular Hours........................... 23

3 Regular Hours for Alternate Work Week............... 23

4 Overtime Rate for Alternate Work Week................ 24

5 Premium Rate for Alternate Work Week................. 25

6 Shift Differentials................................................... 25

7 Report Time............................................................ 25

8 Call Back Pay......................................................... 26

9 Pay Day.................................................................. 26

10 Overtime Scheduling.............................................. 27

ARTICLE 7 – DETERMINATION OF DISPUTES.................... 27

2 Grievance Steps.................................................... 27

ARTICLE 8 – LEAVE OF ABSENCE, SICK PAY,

JURY DUTY, FUNERAL LEAVE........................ 31

1 Leave of Absence................................................. 31

5 Leave for Military Reserves................................... 32

6 Sick Leave............................................................. 33

7 Funeral Pay............................................................ 34

8 Jury Duty................................................................ 35

ARTICLE 9 – SENIORITY...................................................... 37

3 Layoff.................................................................... 37

7 Shift Preference..................................................... 39

ARTICLE 10 – LOSS OF SENIORITY.................................... 43

1 Loss of Seniority.................................................... 43

ARTICLE 11 – HOLIDAYS..................................................... 45

1 Dates on Which Observed..................................... 45

2 Unworked Holidays................................................ 46

3 Alternate Work Week Holidays.............................. 47

4 Worked Holidays.................................................... 47

ARTICLE 12 – VACATION.................................................... 47

ARTICLE 13 – GROUP INS. & RETIRE. PLANS.................... 49

ARTICLE 14 – HEALTH AND SAFETY.................................. 49

ARTICLE 15 – MISCELLANEOUS........................................ 51

1 Inventions............................................................... 51

2 Sabotage................................................................ 52

3 Investigatory Interviews........................................ 52

4 Bulletin Boards....................................................... 53

5 No Discrimination.................................................... 53

6 Subcontracting....................................................... 54

ARTICLE 16 – STRIKES AND LOCKOUTS........................... 54

ARTICLE 17 – PERIOD OF AGREEMENT.............................. 55

ARTICLE 18 – SCOPE OF AGREEMENT.............................. 57

1 Waiver of Barg. Unit Rights & Amend. to Agree.... 57

2 Separability............................................................ 58

SCHEDULE A – WAGE RATES CHART................................ 59

SCHEDULE A – TECH A JOB DESCRIPTION........................ 60

SCHEDULE A – TECH B JOB DESCRIPTION........................ 63

SCHEDULE B – SUBSTANCE ABUSE POLICY..................... 66

BENEFITS CHARTS

Rep. Emp. Hired on the Effective Date of the 2002 Agree................... 86

Rep. Emp. (Active) Hired After the Effective Date

of the 2002 Agreement..................................................... 87

PPO Benefits at a Glance................................................... 89

Dental Benefits at a Glance............................................... 91

Vision Benefits at a Glance.............................................. 91

COLLECTIVE BARGAINING AGREEMENT

of January 11, 2007

Between

GKN AEROSPACE CHEM-TRONICS INC

And

INTERNATIONAL ASSOCIATION OF MACHINISTS

AND AEROSPACE WORKERS, AFL-CIO AND ITS DISTRICT LODGE 751

PREFACE

Company and Union Cooperation, Technology and Teaming

A. The parties to the following Agreement recognize that the Company must compete in a highly competitive global economy and commit to achieving the highest level of quality and productivity possible. Both parties recognize that ultimate job security can only be realized in a work environment that creates operational effectiveness, continuous improvement and competitiveness. This Agreement has been constructed so as to maximize the likelihood of realizing these objectives and is to be interpreted accordingly.

B. Consistent with the objectives set forth above, the Company and Union will work together to achieve advances, improvements and significant changes in methods, materials and technology. The Company and the Union will share information regarding significant developments, including purchases of major capital equipment.

C. Also consistent with the objectives set forth above, the Company and the Union agree to work together to establish teams.

PREAMBLE

THIS AGREEMENT, dated as of the 11^th day of January, 2007, is made and entered into by and between GKN Aerospace Chem-tronics Inc. a Delaware Corporation (hereinafter referred to as "the Company"), and the International Association of Machinists and Aerospace Workers, AFL-CIO, and its District Lodge 751 (hereinafter referred to jointly as the Union).

ARTICLE 1

Bargaining Unit

Section 1. Union Recognition.

Effective on the Effective Date as defined below in Article 17, Section 1, the Company recognizes the International Association of Machinists and Aerospace Workers Union, AFL-CIO, and its District Lodge 751 as the sole and exclusive bargaining agent for all employees working in the job classifications in Schedule A employed by the Company at its 20231 72nd Avenue South, Kent, Washington facility, excluding office and clerical employees, plant clerical, part-time, temporary and contract employees, professional employees, guards and supervisors as defined in the National Labor Relations Act.

ARTICLE 2

UNION SECURITY

Section 1. Union Membership.

All employees within the bargaining unit as defined in this Agreement, shall become members of the Union within thirty-one (31) days following the beginning of such employment or within thirty-one (31) days following the execution of this Agreement, whichever is later, and shall thereafter maintain their membership in good standing in the Union during the life of this Agreement, as a condition of continued employment.

Section 2. Satisfaction of Obligation.

Employees who are required either to become members of the Union or maintain membership in good standing in the Union may satisfy that obligation by periodically tendering to the Union an amount equal to the Union's regular and usual monthly dues.

Section 3. Failure to Satisfy Obligations.

In the event an employee who, as a condition of continued employment, is required to become a member of the Union, or maintain his/her membership in good standing therein, but in any such case does not do so, the Union will notify the Company in writing, or through such other office as may be designated by the Company, of such employee's delinquency. The Company agrees to advise such employee that his/her employment status with the Company is in jeopardy and that his/her failure to meet his/her obligation within five (5) days will result in his/her termination of employment.

Section 4. Explanation to Employees.

Either the Company or the Union may explain to any employee or call to his/her attention, at any time, his/her rights and obligations under any or all provisions of this Agreement.

Section 5. Payroll Deduction for Union Dues and Initiation Fee.

Whenever an employee shall so request in writing, the Company will deduct from such employee’s pay each month dues payable by such employee to the Union in a sum specified by the Union. The Union will promptly notify the Company of any changes in the rate of dues during the term of this Agreement. The agreed forms for use by employees in making a request for deduction, as well as form of notice of withdrawal, will be furnished by the Union.

Section 6. Payroll Deduction for Guide Dogs of America and the Machinists’ Nonpartisan Political League.

Upon receipt by the Company of a signed voluntary authorization by an employee, on an approved form, requesting that there be deductions made from his/her wages, in a monthly amount designated by the employee, such deductions to be forwarded to the Union for use by the Machinists' Nonpartisan Political League or Guide Dogs of America. Such authorization will remain in effect for the duration of this Agreement, unless earlier canceled in writing by the employee.

Section 7. Indemnification.

The Union shall indemnify, defend and save the Company harmless against any and all claims, demands, suits or other forms of liability that shall arise out of or by reason of action taken by the Company under Section 3 in reliance upon representation by the Union that an employee may be lawfully discharged under Section 3 of this Article. Such requests for discharge shall be made by registered mail from the Directing Business Representative (or his/her designee) to the Vice President-Human Resources (or his/her designee).

ARTICLE 3

BUSINESS REPRESENTATIVE

Section 1. Union to Furnish List of Representatives.

The Union shall inform the Company in writing of the names of its Grand Lodge representatives, officers, business representatives and stewards (not more than one (1) steward per shift) who are accredited to represent it, which information shall be kept up to date at all times. Only persons so designated will be accepted by the Company as representatives of the Union. In the event of significant future growth the Company agrees to discuss additional appointments with the Union.

Section 2. Business Representatives - Access to Plant.

The Business Representative of the Union shall have reasonable access to the Company’s facility during normal working hours. The Union will provide advance notification to the Company of such visits, when feasible. Such visits shall be subject to such regulations as may be made from time to time by the U.S. Army, the U.S. Air Force, the U.S. Navy, NASA or other governmental agency, or the Company. The Company will not impose regulations which exclude the Business Representative from the plant or render ineffective the intent of this provision.

Section 3. Union Activity During Working Hours.

Solicitation of Union membership or collection or checking of dues will not be conducted during working time. The Company agrees not to discriminate in any way against any employee for Union activity, but such activity shall not be carried on during working time, except as specifically allowed by the provisions of this Agreement.

ARTICLE 4

RIGHTS OF MANAGEMENT

Section 1. Management of Company.

Management Rights

Except as expressly modified or restricted by a specific provision of this Agreement, all statutory and inherent managerial rights, prerogatives, and functions are retained and vested exclusively in the Company, including, but not limited to, the rights in accordance with its sole and exclusive judgment and discretion to: establish reasonable rules and regulations, manage the plant; direct the workforce; promote, demote, transfer and/or assign its employees; discipline (up to and including discharge) employees for just cause; determine the number of employees to be employed; hire employees, determine their qualifications and assign and direct their work.

ARTICLE 5

WAGES

Section 1. Wages.

It is agreed that it is the right and responsibility of Management to establish new job classifications and to grade employees in accordance therewith. Any such changes will be reviewed and discussed with the Union at least thirty (30) days in advance of the establishment of the new job classifications. Should a dispute arise concerning the exercise of this right and responsibility of Management, it shall be treated as a grievance and handled in accordance with Article 7 of this Agreement.

Section 2. Definitions.

The meanings of certain terms used in this Article 5 and elsewhere in this Agreement are stated below:

A. Base Rate. An employee's hourly rate of pay, excluding all allowances, differentials, adjustments, bonuses, awards, and premiums.

B. Base Rate Ranges. The minimum and maximum rates of pay for each labor grade are established under Schedule A.

Section 3. Wage Increases and Bonuses.

A. Year 2007 range minimums and maximums are set according to the markets for which we compete (See Schedule A).

B. On or before December 22, 2006, all bargaining unit employees, including those on leave of absence, will receive a ratification bonus of $1,250.

C. Effective January 11, 2007, all bargaining unit employees, including those on leave of absence, will have their base rates increased with a three (3) percent general wage increase.

D. Effective January 11, 2008, all bargaining unit employees, including those on leave of absence, will have their base rates increased with a three (3) percent general wage increase.

E. Effective January 11, 2009, all bargaining unit employees, including those on leave of absence, will have their base rates increased with a three (3) percent general wage increase.

Section 4. Job Progression Increases.

On their six (6)-month anniversary of the date of hire or date of the last job progression increase, all employees below the rate range maximum for their job classification will, subject to such maximum, receive a job progression increase to their base rate of fifty (50) cents per hour. Employees on approved leave of absence will continue to accrue time toward their next six (6)-month progression increase for the first ninety (90) days of the leave. Employees recalled from layoff within one (1) year will be credited with any time they had prior to their layoff toward their next six (6)-month progression increase.

Section 5. Cost-of-Living Allowance.

Employees on the payroll for a minimum of ninety (90) days will be eligible to receive Cost of Living Allowance (COLA) increases as defined below. This payment will be based on months of active service and prorated accordingly. COLA calculations will continue in the cumulative fashion as the prior Agreement.

A. In order to protect the buying power of its employees against changes in consumer prices, the Company agrees to a Cost of Living Allowance (COLA) which shall be adjusted, as set forth in Subsection C of this Section, for changes in the cost of living during the life of this Agreement.

B. Eligibility for the Cost of Living Allowance is extended to employees in the Bargaining Unit in accordance with Section 3 above.

C. The basis for determining Cost of Living Allowance adjustments will be as follows: The Cost of Living Allowance (COLA) will be determined in accordance with changes in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W) (United States City Average, All Items, 1982-84 = 100), published monthly by the Bureau of Labor Statistics (BLS), United States Department of Labor, and hereinafter referred to as the “BLS Consumer Price Index”.

D. The COLA shall be calculated and paid on a semi-annual basis, in the form of a Lump Sum Payment, and will not be folded into one's Base Rate. Said payment will be paid in the first pay period of the second month following the end of July and January of each calendar year. (e.g., the first payment would be made commencing with the payroll on September 3, 2007. The second payment would be made commencing with payroll on March 3, 2008, etc.) The COLA generated for the second half of 2006 shall be paid on or before March 3, 2007.

E. The amount of the COLA which shall be effective for the periods provided above shall be based on the percent of increase between the average for the prior six (6) months and the Peg Point (152.3 or less = $.00) with one-cent ($.01) adjustment for each full 0.075% change in the average BLS Consumer Price Index for the appropriate six (6) month period indicated. In no event will a decline in the average of a quarterly period of the BLS Consumer Price Index cause a reduction in the Pure Base Rate.

F. No adjustments, retroactive or otherwise, shall be made due to any revision, which may later be made in the published figures of the BLS Consumer Price Index for any base month.

The parties to this Agreement agree that the continuance of the Cost-of-Living Allowance is dependent upon the availability of the official monthly BLS Consumer Price Index in its present form and calculated on the same basis as the BLS Consumer Price Index for March, 1996.

Section 6. Performance Bonus Plan.

Employees on the payroll for a minimum of ninety (90) days will be eligible to receive Lump Sum Performance Bonus increases as defined below. This bonus will be based on months of active service and prorated accordingly.

The Company will implement an annual (calendar year) Performance Bonus Plan for the life of this Agreement. Under this plan employees will be eligible to receive a Lump Sum Payment equal to a designated percentage (Target Bonus Percentage) as determined by Management, of one's ~~Base Rate wages~~annual earnings~~earned by the employee~~ during the period covered by the Performance Bonus Plan. At the beginning of each calendar year Management will share with the Union and its employees Performance Targets and objectives. Lump Sum Payments will only be made if all performance targets are achieved. While the amount of the Target Bonus Percentage will be established by Management at the beginning of each calendar year, the Target Bonus Percentage for achievement of the plant’s Performance Targets will not be less than three (3) percent for any calendar year during the course of this Agreement. The Target Bonus Percentage and corresponding Lump Sum Payments may be increased if plan Performance Targets are exceeded.

These Lump Sum Payments will be based on the plant's annual business performance. An advance payment, if any, may be made on about July 31^st for the performance period January 1st - June 30th, with the amount of the advance payment to be determined at the sole discretion of Management.

Section 7. Lead Pay Premium.

Anyone required to act as a Lead person shall be notified in writing by his/her Supervisor and will be paid one dollar ($1.00) per hour above his/her current Base Rate, and will continue as Lead person until notified in writing that he/she is no longer to act as such.

Section 8. Certifications.

The Company will provide a list of required certifications. Anyone who, as approved by Management, obtains and maintains the required certifications, and is not in Classification A, shall move into it upon obtaining such certifications. All other things being equal, seniority will be the deciding factor for utilizing attained certifications and promotion into Classification A.

ARTICLE 6

REGULAR HOURS OF WORK

Section 1. Regular Hours.

The regular schedule of hours shall be as follows: First (daylight) Shift: Starting time will be from 5:00 A.M. to 8:30 A.M.; Second Shift: Starting time will be from 1:30 P.M. to 6:00 P.M.; and Third Shift: Starting time will be from 10:00 P.M. to 1:30 A.M., (eight (8) hour shift, thirty (30) minute unpaid lunch) on Monday, Tuesday, Wednesday, Thursday, and Friday. Requests by individuals for deviation from the set times based on hardship will be considered. The Company shall assign the initial starting times as stated above. Any time in excess of eight (8) hours on a day of rest shall be accomplished according to the Overtime Section 10 below. A minimum of nine (9) hours is required between shifts. Each employee who is scheduled to work overtime after his/her regular shift shall receive a ten (10)-minute rest period prior to the start of the overtime and an additional ten (10)-minute break every two (2) hours thereafter.

Section 2. Overtime Rate for Regular Hours.

Time worked in excess of eight (8) hours in one (1) day or forty (40) hours in any one (1) week, shall be paid for at one and one-half (1 ½) times one’s Base Rate. Time worked on one’s Saturday will be paid at a rate of one and one-half (1 ½) times one’s Base Rate. Time worked on one’s Sunday will be paid at a rate of two (2) times one’s Base Rate.

Section 3. Regular Hours for Alternate Work Week.

A. Alternate work week assignments shall be on a voluntary basis and such assignments shall be communicated to the Union in advance.

B. The regular schedule of hours shall be as follows: First (daylight) Shift: Starting time will be from 5:00 A.M. to 8:30 A.M.; Second Shift: Starting time will be from 1:30 P.M. to 6:00 P.M.; and Third Shift: Starting time will be from 10:00 P.M. to 1:30 A.M., (ten (10)-hour shift, thirty (30) minute unpaid lunch). Saturday and Sunday shall be two (2) of the three (3) days of rest. Requests by individuals for deviation from the set times based on hardship will be considered. The Company shall assign the initial starting times as stated above. A minimum of nine (9) hours is required between shifts. Each employee who is scheduled to work overtime after his/her regular shift shall receive a ten (10)-minute rest period prior to the start of the overtime and an additional ten (10)-minute break every two (2) hours thereafter.

C. Any time in excess of eight (8) hours on a day of rest shall be accomplished according to the Overtime Section 10 below.

Section 4. Overtime Rate for Alternate Work Week.

Time worked in excess of ten (10) hours in one (1) day or forty (40) hours in any one (1) week, will be paid at a rate of one and one-half (1-1/2) times one’s Base Rate. Time worked on one’s first (1^st) day of rest will be paid at a rate of one and one-half (1-1/2) times one’s Base Rate. Time worked on one’s second (2^nd) day of rest will be paid at a rate of two (2) times one’s Base Rate. Time worked on one’s third (3^rd) day of rest will be paid at a rate of one and one-half (1-1/2) times one’s Base Rate.

The length of a vacation day for employees working the Alternate Work Week will be eight (8) hours, or ten (10) hours at the employee’s discretion.

Section 5. Premium Rate for Alternate Work Week.

A premium of $0.75 per hour for all hours worked will be paid to all employees working the alternate work week.

Section 6. Shift Differentials.

The second and third shift shall be paid a shift differential of seventy-five (75) cents per hour.

Section 7. Report Time.

If an employee reports for work in accordance with instructions, he/she shall receive a minimum of four (4) hours pay at his/her Base Rate, including shift differential, alternate work week premium pay and Lead Pay, where applicable. Report time will not apply in case of emergency shutdowns arising out of any condition beyond the Company's control. An employee who leaves work of his/her own volition, or because of incapacity (other than industrial injury or illness), or is discharged or suspended after beginning work, will be paid only for the number of hours actually worked during that day. An employee who leaves work because of incapacity due to industrial injury will be paid eight (8) hours pay, or ten (10) hours pay if working alternate work week, at his/her Base Rate, including shift differential, alternate work week premium pay and Lead Pay, where applicable.

Section 8. Call Back Pay.

A minimum of four (4) hours’ pay at the applicable overtime rate will be paid for any emergency work performed outside of one's regularly scheduled hours except in case of a continuation without interruption of work on the employee’s regular shift.

Section 9. Pay Day.

First and third shift employees shall be paid on Friday. Second shift employees shall be paid on Thursday. If Thursday and Friday are recognized holidays in a workweek, all employees shall be paid on Wednesday. If Thursday is a recognized holiday in a workweek, second shift employees shall be paid on Friday. Paydays and pay times shall remain in the future as are now in effect, unless unforeseen conditions arise in the Payroll Department making change necessary. Paychecks may be issued at any time after the start of the employee’s shift. Any discrepancies found in an employee’s paycheck will be rectified within three (3) business days, if possible.

Section 10. Overtime Scheduling.

It is the intent of the Company to distribute overtime as equally as practicable in light of the work to be performed by shift, classification and skill. Both the Union and the Company recognize that the employees who perform the work must be qualified for and familiar with the specific work. The Company will strive to meet its overtime requirements on a voluntary basis when practical. In the event there are insufficient volunteers to meet the requirement Management may designate and require the necessary number of employees to work overtime.

ARTICLE 7

Determination of disputes

Section 1.

Definition: The term “grievance” shall mean a complaint involving the interpretation or application of this Agreement. A grievance includes a complaint about any act, communication or omission, which occurs during the time frame of this Agreement.

Section 2. Grievance Steps.

A. Step 1. (Oral). Any employee having a complaint shall first bring it to the attention of his/her immediate supervisor. A shop steward may be present if requested by the Company or the employee.

B. Step 2. (Written). The immediate supervisor’s decision will be final and binding unless the Union forwards, in written form, a grievance to the Senior Site Manager, within five (5) working days of the issuance of that decision. The grievance should identify the alleged facts giving rise to the complaint, the Article or Sections of this Agreement alleged to have been violated, and the remedy requested. Within twenty (20) days of the receipt of the grievance, the Senior Site Manager or his/her designee will meet with the aggrieved employee and the Union steward or designee in an effort to adjust the grievance and shall give a written answer to the Union within three (3) working days after the meeting.

C. Step 3. (Pre-Arbitration). The Senior Site Manager’s decision will be final and binding unless, within five (5) working days of the issuance of that decision, the grievance is appealed in writing to the Senior Site Manager. If so appealed, within twenty (20) days of the Senior Site Manager’s receipt of appeal, the Senior Site Manager or his/her designated representative will meet with the aggrieved employee and Union Business Representative and designated Human Resource representative. The Senior Site Manager or his/her designated representative will give a written answer to the employee with a copy to the Union within five (5) working days from the date of such meeting. All parties attending such meetings shall have full authority to make final and binding settlements.

D. Step 4. (Arbitration). The decision of the Senior Site Manager will be final and binding unless, within ten (10) working days of the issuance of his/her decision, the grievance is appealed in writing to arbitration. Such appeal shall be directed to the Senior Site Manager. An impartial arbitrator shall then be appointed by mutual agreement of the parties or, failing such agreement, a request shall be initiated by the parties to the Federal Mediation and Conciliation Service to submit a panel of seven (7) names from which a selection shall be made by the parties striking one person on the panel alternately with the Union striking first, then on an alternative basis thereafter with the Company, with the last person remaining to serve as the impartial arbitrator. The fees and expenses of the arbitrator and any other joint expense incurred in connection with the arbitration proceedings shall be shared equally by the Company and the Union. The decision of the arbitrator will be final and binding on the Company, the Union, the Union’s membership and the aggrieved employee or employees.

Section 3.

The jurisdiction and authority of the arbitrator shall be confined exclusively to the interpretation of the explicit provision or provisions of this Agreement at issue between the Union and the Company. The arbitrator shall have no authority to add to, detract from, alter, amend or modify any provision of this Agreement or impose on any party a limitation or obligation not explicitly provided for in this Agreement. The arbitrator shall have no authority or power to limit or impair any right that Article 4 of this Agreement reserves to Management as a Management prerogative.

Section 4.

The Company shall not be required to consider or process any grievance not presented in Step 1 within ten (10) working days of the alleged violation or knowledge of the alleged violation, whichever is later. Any time limits may be extended by the parties by mutual agreement. Absent an extension, the Company shall not be required to consider or process any grievance which is not processed within the time limits established in this Article. If the Company is not timely in responding to a grievance, the grievance will be considered to have merit and the requested remedy will be granted. Extenuating circumstances will be considered.

Section 5.

Unless otherwise mutually agreed to by the Company and the Union, each grievance appealed to arbitration shall be the subject of a separate and distinct arbitration hearing and decision and no arbitrator shall be selected by the parties to hear or decide more than one grievance in any one arbitration proceeding.

Section 6.

In the case of termination, suspension, or resignation, the Union may skip Step 1 and may begin the grievance procedure at Step 2.

ARTICLE 8

LEAVES OF ABSENCE, SICK PAY,

JURY DUTY, FUNERAL LEAVE.

Section 1.

A leave of absence may be granted to any employee with a minimum ninety (90) days active service for any reason deemed satisfactory to the Company or as required by law. Where practical, a request for a leave of absence must be made in writing to the Senior Site Manager or one's supervisor five (5) working days prior to the beginning of the leave.

Section 2.

Leaves of Absences will be granted in accordance with the Family and Medical Leave Act.

Section 3.

Seniority shall accumulate during an approved leave of absence not in excess of four (4) weeks.

Section 4.

An employee accepting other employment or engaged in business for himself/herself while on leave of absence shall be discharged by the Company unless the Union and the Company have jointly, prior to the commencement of such leave of absence, agreed in writing that it could be done. In the case of leaves for physical disability, an exception can be made by joint agreement between the Company and the Union before the commencement of such work.

Section 5.

An employee who is a member of a reserve component of the Armed Forces, who is absent due to required active annual training duty or temporary special services duty, shall be paid his/her normal straight time earnings, including shift differential and Cost of Living Adjustment where applicable, up to a maximum of ten (10) workdays each calendar year. An employee who, because of schedule adjustments by the reserve component, receives orders to report for two (2) training periods in one calendar year may receive time off with pay in excess of the ten (10)-day annual maximum provided that the total time off with pay does not exceed twenty (20) workdays in a two (2) consecutive year period (either current and previous calendar years or current and following calendar years) and the employee was a member of the reserve component during both of the applicable consecutive years. Employees with military orders to serve additional days of duty will be excused on unpaid authorized leave of absence. The amount due the employee under this Section shall be reduced by the amount received from the government body identified with such training duty or services, for the period of such duty (up to the maximum period mentioned above). Such items as subsistence, uniform and travel allowance shall not be included in determining pay received from state or federal government.

Section 6.

An employee, on his/her one (1) year anniversary and each year thereafter, will be granted, forty (40) hours of sick leave. Sick leave shall be allowed to accumulate for a two (2)-year period. Upon reaching their anniversary date, unused hours in excess of eighty (80) hours will be paid out to the employee within thirty (30) days. Sick leave pay shall be calculated and paid at the employee’s Base Rate including shift differential and alternate work week premium pay, if applicable.

Section 7.

Up to four (4) days of bereavement leave with pay will be granted to an employee on the active payroll for a minimum of ninety (90) days who, because of death in his/her immediate family, takes time off from work during his/her normal work schedule. Such pay shall be for the hours of his/her normal work day at his/her straight time Base Rate, including shift differential, alternate work week premium pay and Lead Pay, where applicable, for each such day off; however, such pay will not be applicable if the employee receives pay for such days off under any other provisions of this Agreement. Bereavement leave must be taken on consecutive workdays as selected by the employee within twenty (20) calendar days following the death (or evidence of belated notification of death). For purposes of this Section the “immediate family” is defined as follows: spouse, mother, father, mother-in-law, father-in-law, children, brother, sister, son-in-law, daughter-in-law, great-grandparents, grandparents, grandchildren, stepmother, stepfather, stepchildren, stepbrother, stepsister, half brother, half sister, and spouse’s grandparents. In addition, an employee will be granted bereavement leave for a stillborn child if the employee provides a certificate of fetal death which has been certified by the attending physician.

Section 8.

A. When an employee is required to and actually does serve on jury duty on his/her regularly scheduled working day, he/she shall receive eight (8) hours pay at his/her Base Rate (plus shift differential and alternate work week premium pay, if applicable). Employees shall receive holiday pay if a holiday occurs while on jury duty. Such payments shall be limited to twenty (20) days in any one calendar year except for grand jury duty when such payment shall be limited to thirty (30) days in any one calendar year. Proof of such service satisfactory to the Company must be given before this Section shall apply.

B. When an employee is subpoenaed as a witness in a Federal court, or state court of law in the state in which he/she is working or residing, he/she shall receive eight (8) hours pay at his/her Base Rate (plus shift differential and alternate work week premium pay, if applicable). Such payment shall be limited to twenty (20) days in any calendar year. Proof of such service satisfactory to the Company must be given before this Section applies. However, an employee will not receive wages under the above provision if he/she:

- Is called as a witness against the Company or its interests or

- Is called as a witness on his/her own behalf in an action in which he/she is a party or

- Voluntarily seeks to testify as a witness or

- Is a witness in a case arising from or limited to his/her outside employment or outside business activities.

C. Time spent on jury/witness duty is not to be counted as absenteeism for purposes of disciplinary action or adjusting vacation or sick leave anniversary dates.

ARTICLE 9

SENIORITY

Section 1.

Seniority as used herein designates an employee’s length of service within the bargaining unit covered by this Agreement, the possession of which entitles him/her to certain rights hereinafter provided. Company service as used herein designates an employee's length of service within the bargaining unit covered by this Agreement minus any adjustment(s) made for any leave of absence in excess of four (4) weeks. Time spent on an industrial injury/illness will not result in loss of seniority.

GKN will recognize Boeing Service for vacation, sick leave and permanent layoff for those former Boeing employees hired into GKN on the Effective Date of the 2002 Agreement.

Section 2.

Seniority shall be by job classification. In case of identical seniority dates, the employee with the lower clock number will be the senior employee.

Section 3. Layoff.

In case of a layoff within a job classification, the sequence of layoffs in the job classification shall be in reverse seniority order.

A. An employee subject to layoff in a job classification shall be afforded the right to return to another job classification, or segment thereof, he/she previously held, provided the employee has greater seniority over another employee in that job classification. In the event an employee qualifies to return to another job classification, he/she shall retain their Base Rate of pay for forty-five (45) days and then will be subject to the maximum rate for that job classification. If an employee is at a Base Rate of pay that is below the maximum of the lower job classification they are moving to, the employee will retain that same Base Rate of pay and will follow the job progression that they are moving to until the maximum Base Rate of pay is attained.

B. A less senior employee may be protected from layoff if he/she possesses critical skills that the more senior employee does not possess, and where lack of these skills would be a hardship to the Company. All such cases will be discussed with the Union at least one (1) week prior to any employee notification of a pending layoff and will, where practicable, attempt to transfer those skills to a more senior employee.

Section 4.

Any new employee, hired after the Effective Date, may be terminated within the first ninety (90) days if the employee’s documented work performance is determined to be unsatisfactory by Management. The Union agrees not to contest such action provided Management has documented such unsatisfactory performance and reviewed such documentation in advance with the Union.

Section 5.

The Company shall keep a Seniority List by job classification and, whenever the Union requests such list, the Company will make such list available for inspection. One (1) copy of the revised Seniority List will be forwarded to the office of the Directing Business Representative.

Section 6.

Laid off employees shall be called back to work in accordance with their seniority within their job classification. Seniority preference will be in effect for a period not to exceed twenty-four (24) months.

Section 7. Shift Preference.

A. Senior employees who have a shift preference form on file shall be given preference over: junior employees who are assigned to the same job classification and shift, junior returning non-bargaining unit employees, new hires, recalls from layoff, and promotional candidates for placement in openings in their job. Shift preference rights are not applicable over employees: being downgraded, laterally reclassified on their current shift, laterally transferred on their current shift or over senior employees who are in their job classification. Employees who have requested downgrades will not be given preference over senior employees who have shift preferences on file. Shift preferences must be filed more than three (3) working days prior to a shift change or declaring a job opening by submission of a dated open requisition. If an employee does not file a shift preference form, it shall be assumed that he/she is on his/her preferred shift. Under no circumstances will the provisions of this Section 7 be construed to enable an employee, at his/her instance and request, to displace a less senior employee from his/her job and shift.

B. Shift preferences, as defined, will not apply in instances where the exercise of such rights would affect the efficiency of Company operations on any shift. When such instances arise, they shall be discussed with the Union prior to submittal to the Senior Site Manager for final approval.

C. When staffing a new shift, the Company maintains the right to assign employees necessary to accomplish the work, including the right to assign employees with key skills regardless of their shift preference. The Company will attempt to complete such staffing from volunteers, assignments from other shifts in reverse seniority order, promotions, and new hires.

The Company will de-staff a shift in the following order: first, by shift preference filings, and second, in reverse seniority order among remaining employees. In cases where the shift is to be eliminated, employees will be notified in advance and given the opportunity to file a timely shift preference.

Section 8.

An employee who has been or will be transferred from a job classification covered by this Agreement to a supervisory position not within the bargaining unit, and who is or will be supervising other bargaining unit employees, will retain his/her previous seniority and will assume such seniority limited to a cumulative total of five (5) years in case he/she returns to the bargaining unit. However, any employee in a supervisory position over bargaining unit personnel who is promoted to a third line or higher supervisory position will lose all credited Union seniority rights.

Section 9.

An employee covered by this Agreement who is elected or appointed to one of the following Union Offices: President, Business Representative, Secretary Treasurer, or other full time staff member, or becomes a Representative of the Grand Lodge, and leaves the employ of the Company to serve in this office for full time and full pay will retain previous seniority and accumulate seniority while serving in these positions, for the purpose of reemployment only, provided he/she immediately notifies the Company of his/her intent to return to the bargaining unit.

Section 10.

With the approval of the Union, a member of this bargaining unit who is temporarily appointed to a salaried position and stationed at vendor or customer facilities shall accumulate seniority while he/she is assigned, providing he/she maintains his/her good standing in the Union.

Section 11.

Temporary layoffs shall be made without regard to seniority and shall not exceed ten (10) days in any one (1) year period. Such layoffs shall be made for but not limited to the following reasons: an act of God, cancellation or reduction of contract by the customer, supply chain disruption that is beyond the control of the Company.

Section 12.

The Company will attempt to give at least a two (2)-week written notice prior to layoff to the employees affected, except when the layoff is caused by termination of a Government or other production contract, temporary layoff or when the affected employees are absent.

ARTICLE 10

LOSS OF SENIORITY

Section 1. Loss of Seniority.

An employee shall lose seniority rights for the following reasons:

A. Resignation. (Note: An individual who, while on leave of absence, engages in other employment or fails to report for work after being medically released to return to work or to obtain renewal of his/her leave on or before its expiration, will be considered as having resigned.)

B. Discharge for cause.

C. Failure to Respond. Failure to respond with his/her acceptance within five (5) regular workdays after dispatch by certified mail, return receipt requested, of a recall from layoff unless such period is extended by the Company.

D. Failure to report to work. Failure to report for work within five (5) working days after acceptance of recall or on such later date as may be designated by the Company.

E. Layoff. Layoff for a continuous period of twenty-four (24) months.

F. Absenteeism. An employee absent two (2) consecutive working days, unless medically incapacitated, without notifying his/her supervisor will be considered to have resigned and automatically will be terminated.

G. Retirement.

ARTICLE 11

HOLIDAYS

Section 1. Dates on Which Observed.

The Company and the Union agree that there will be twelve (12) scheduled holidays each contract year.

The holidays granted to each employee shall be:

2007 Holidays	Day	Date of Observance
New Year’s Day	Monday	January 1, 2007
Memorial Day	Monday	May 28, 2007
Independence Day	Wednesday	July 4, 2007
Labor Day	Monday	September 3, 2007
Thanksgiving Day	Thursday	November 22, 2007
Friday following Thanksgiving	Friday	November 23, 2007
Holiday Schedule	Monday	December 24, 2007
Holiday Schedule	Tuesday	December 25, 2007
Holiday Schedule	Wednesday	December 26, 2007
Holiday Schedule	Thursday	December 27, 2007
Holiday Schedule	Friday	December 28, 2007
Holiday Schedule	Monday	December 31, 2007
2008 Holidays	Day	Date of Observance
New Year’s Day	Tuesday	January 1, 2008
Memorial Day	Monday	May 26, 2008
Independence Day	Friday	July 4, 2008
Labor Day	Monday	September 1, 2008
Thanksgiving Day	Thursday	November 27, 2008
Friday following Thanksgiving	Friday	November 28, 2008
Holiday Schedule	Wednesday	December 24, 2008
Holiday Schedule	Thursday	December 25, 2008
Holiday Schedule	Friday	December 26, 2008
Holiday Schedule	Monday	December 29, 2008
Holiday Schedule	Tuesday	December 30, 2008
Holiday Schedule	Wednesday	December 31, 2008
2009 Holidays	Day	Date of Observance
New Year’s Day	Thursday	January 1, 2009
Memorial Day	Monday	May 25, 2009
Independence Day	Friday	July 3, 2009
Labor Day	Monday	September 7, 2009
Thanksgiving Day	Thursday	November 26, 2009
Friday following Thanksgiving	Friday	November 27, 2009
Holiday Schedule	Thursday	December 24, 2009
Holiday Schedule	Friday	December 25, 2009
Holiday Schedule	Monday	December 28, 2009
Holiday Schedule	Tuesday	December 29, 2009
Holiday Schedule	Wednesday	December 30, 2009
Holiday Schedule	Thursday	December 31, 2009
2010 Holidays	Day	Date of Observance
New Year’s Day	Friday	January 1, 2010

Section 2. Unworked Holidays.

Employees shall receive eight (8) hours pay for unworked holidays (those holidays designated above), at their Base Rate, including shift differentials, alternate work week premium pay, and Lead Pay, if applicable, in effect at the time the holiday occurs, plus applicable shift differential, provided however the employee works his/her last full working day prior to and after the holiday(s), unless excused by his/her supervisor (i.e. full vacation day, full sick day, funeral leave, jury duty).

Section 3. Alternate Work Week and Holidays.

When a Company-designated holiday falls on an employee’s normal day off, the employee will need to schedule the corresponding holiday with the appropriate supervisor. This holiday is to be taken during the same week as the Company-designated holiday.

Section 4. Worked Holidays.

Employees who are required to work on their designated holidays shall receive the pay due them for the holiday, plus double their Base Rate for all hours worked on such holiday, plus shift differential, alternate work week premium pay and Lead Pay, if applicable.

ARTICLE 12

VACATION

Section 1.

All vacations must be approved in advance by one’s supervisor. The amount of vacation depends on the amount of seniority. Employees may take vacation time in increments of two (2) hours or more, or full-day vacations with pay at the Base Rate in effect for each day of the vacation period, including shift differentials, alternate work week premium pay, and Lead Pay, if applicable, up to maximum accrual per the appropriate schedule. Years of service for former Boeing employees hired on or before the Effective Date shall apply.

A. Employees Hired Prior to the Effective Date of the 2002 Agreement.

Seniority	Vacation Days Earned	Vacation Pay (Hours)
1 – 5	15	120
6 – 10	16	128
11 – 15	20	160
16 – 20	22	176
21 – 25	24	192
26 +	26	208

B. Employees Hired After the Effective Date of the 2002 Agreement.

Seniority	Vacation Days Earned	Vacation Pay (Hours)
1 – 5	11	88
6	12	96
7	13	104
8	14	112
9	15	120
10	16	128
11	17	136
12+	20	160

Section 2.

Up to ten (10) vacation days may be carried over into the succeeding vacation year. Those vacation days carried over must be taken before the expiration of twelve (12) months after the new vacation year anniversary date.

Section 3.

All vacations shall be taken at a time when they will not seriously interfere with scheduled operations, and so far as practicable, the Company will attempt to schedule all vacations for the period for which employees express a preference, those who have the most seniority being given the first consideration.

Section 4.

Employees will receive vacation paychecks on the last scheduled payday prior to going on full week vacations, provided they complete and submit the appropriate request form within the time required.

ARTICLE 13

Group Insurance & Retirement Plans

See applicable Benefit Plan Summary(ies).

ARTICLE 14

HEALTH AND SAFETY

Section 1.

It is the desire of both parties to this Agreement to maintain high standards of safety and health in the plant in order to eliminate, as far as possible, industrial accidents and illness.

The Company shall maintain on all full shifts an emergency first aid station and will provide access to emergency medical care.

Section 2.

A. The Company will continue to furnish personal protective equipment in particular situations where it is now the practice to do so unless circumstances in such situations change, making the use of such personal protective equipment unnecessary.

B. Two (2) pair of OSHA-approved prescription safety glasses shall be furnished by the Company for the duration of this Agreement. This benefit will apply only to employees who are required by the Company to wear safety glasses on their job.

C. The Company is committed to a smoke-free work environment based on the evidence that tobacco smoke and second-hand smoke is detrimental to employee health. Accordingly the Company’s facilities are smoke-free.

Section 3.

The drug and alcohol-testing program is attached in Schedule B.

ARTICLE 15

MISCELLANEOUS

Section 1. Inventions.

A. Employees shall be permitted to retain ownership of an invention conceived or developed by them if the invention (a) was developed entirely on the employee’s own time and the invention is one for which no equipment, supplies, facilities, or trade secret information of the Company was used; and (b) does not (i) relate directly to the business of the Company or to the Company’s actual or demonstrably anticipated research or development, or (ii) result from any work performed by the employees for the Company. All other inventions shall be the property of the Company, and employees shall assist the Company in the protection of such inventions as directed by the Company.

B. No employee shall be required, as a condition of employment or continued employment, to sign an invention agreement, which contravenes the provisions of Article 15 (A).

Section 2. Sabotage.

The Union agrees to report to the Company when it has knowledge of any acts of sabotage or damage to or the unauthorized or unlawful taking of Company, government, customer or any other person’s or employee’s property. The Union further agrees, if any such acts occur, to use its best efforts in assisting to identify and apprehend the guilty person or persons.

Section 3. Investigatory Interviews.

Each employee has the right, during an investigatory interview, which the employee reasonably believes may result in discipline, to request the presence of his/her shop steward, if the shop steward is available. If his/her shop steward is not available, such employee may request the presence of another immediately available shop steward. If a shop steward, pursuant to the employee’s request, is present during such an interview, the shop steward, in addition to acting as an observer, may, after the Company has completed its questioning of the employee, ask additional questions of the employee in an effort to provide information which is as complete and accurate as possible. The shop steward shall not obstruct or interfere with the interview.

Section 4. Bulletin Boards.

A. The Union shall have the right to use designated bulletin boards on the Company property for the purpose of posting notices of Union meetings and other activities which are officially approved by the Union and the Company prior to posting. The Company will act promptly on such notices sent to them by the Union.

B. No other notices or distribution of pamphlets, advertising matter of any kind of literature will be permitted in the plant or on Company property excepting matter the distribution of which is protected by Section 7 of the National Labor Relations Act as amended. Violators of this rule shall be subject to immediate disciplinary action up to and including discharge.

Section 5. No Discrimination.

In the administration of this Agreement, neither the Company nor the Union shall discriminate against any employee because of that employee’s race, color, sex, religion, national origin, age, Union membership, Vietnam era veteran status or against qualified individuals with a disability. Use of any male noun or pronoun throughout this Agreement shall refer to both male and female employees.

Section 6. Subcontracting.

The Company shall inform the Union of any subcontracting of typical bargaining unit work prior to the writing of the contract for the subcontracted work and discuss it with the Union.

Section 7.

Both parties agree to establish a safety committee, which will meet on a regular basis.

ARTICLE 16

STRIKES AND LOCKOUTS

Section 1.

A. During the term of this Agreement, and regardless of whether an unfair labor practice is alleged, there shall be no slowdowns, picketing, boycotts, cessation of work, strikes (sympathy or other), interference with the business of the Company or other disruptive activities by employees or the Union, and no lockouts by the Company.

B. Any employee violating this provision shall be subject to whatever disciplinary action may be warranted.

Section 2.

The Union will not directly or indirectly authorize, encourage or approve any refusal on the part of employees to proceed to the location of normal work assignment where no rare or unusual physical hazard is involved in proceeding to such location.

Section 3.

Subject to Article 17, Section 3, the above prohibition on strikes shall not be binding on the Union sixty (60) days after notice has been served on the Company pursuant to Section 8(d) of the National Labor Relations Act, as amended, when no agreement for a new contract has been reached.

Section 4.

Recognizing the unique relationship of the GKN facility within the BOEING operation, the IAM commits that any labor dispute involving any union and BOEING in the Puget Sound Area operation will have no effect on the GKN facility or operation thereof.

ARTICLE 17

PERIOD OF AGREEMENT

Section 1.

This Agreement shall be effective for a three (3)-year period and shall become effective on 11^th of January, 2007, and shall remain in force from year to year thereafter, unless either party shall notify the other, in writing by registered mail, not more than seventy (70) calendar days nor less than sixty (60) calendar days prior to the anniversary of the Effective Date in the year in which contract termination is desired. Unless terminated, this Agreement shall remain in full force and effect from year to year thereafter.

Section 2.

Notice under Section 1 above shall be served on the Vice President-Human Resources for the Company and the Directing Business Representative for the Union. Notification of termination/ modification of the Contract must be accompanied by a written proposal. The party receiving such proposal must submit its written counter-proposal within one (1) week. The first negotiation meeting shall take place within two (2) weeks of the receipt of notice of contract termination/ modification.

Section 3.

If proper notice is made of the desire to modify or terminate this Agreement and agreement on such requested modification or termination is not reached by the expiration date, then either party at any time thereafter may terminate this Agreement by giving seven (7) days advance notice as provided in Section 2 above to the other not earlier than the expiration date.

ARTICLE 18

SCOPE OF AGREEMENT

Section 1. Waiver of Bargaining Rights and Amendments to Agreement.

These Articles of Agreement constitute the total agreement between the two parties. All other Agreements and understandings between the Company and the Union are rescinded. Therefore, the Company and the Union, for the life of this Agreement, each voluntarily and unqualifiedly waives the right and each agrees that the other shall not be obligated to bargain collectively with respect to any subject not specifically referred to or covered in this Agreement, even though such subject or matter may not have been within the knowledge or contemplation of either or both of the parties at the time they negotiated or signed this Agreement. Each party waives any obligation during the term of this Agreement to negotiate further or bargain collectively about any subject or matter which is specifically referred to or covered by this Agreement, provided, however, that grievances will be processed and resolved pursuant to the provisions of the grievance/arbitration procedure. Furthermore, the parties agree that any amendments, changes, or qualified exceptions shall be by an instrument in writing and duly signed by the parties hereto.

Section 2. Separability.

If any term or provision of this Agreement is, at any time during the life of this Agreement, adjudged by a court or administrative body of competent jurisdiction to be in conflict with any law, such term or provision shall become invalid and unenforceable, but such invalidity or unenforceability shall not impair or affect any other term or provision of this Agreement.

Signed this 11^th day of January, 2007.

GKN Aerospace District Lodge 751

Chem-tronics, Inc. IAM&AW, AFL:CIO

By: By:

_______________ ________________

Jim Price Mark A. Blondin

VP, Human Resources President/DBR

_______________

Kevin Nash

VP Thermal Joining Center

_______________

Brian Smith

Chief Financial Officer

Schedule A

JOB DESCRIPTION

Title: Technician – A

Job Code: CWT

General Statement:

Responsible for the set-up, support and production of high quality products and to help create a high productivity work environment. Supporting responsibilities include but are not limited to: planning, checking, developing a sequences of work to fabricate, assemble and inspect hardware; developing new or improved methods of production, delivery of finished product to the next operation, equipment maintenance and repair, maintaining a clean and safe work area, employing safe work practices, and compiling with Company instructions and directives.

Duties:

The Company will provide appropriate job training to enable employees to perform all necessary job functions including but not limited to the following:

1. Operate CNC controlled machine tools (Interim machining and final machining of assemblies).

2. Operate stationary numerically controlled inspection equipment such as or similar to LK/Fanamation CMM.

3. Possess fluorescent Penetrant inspection certifications of level II or higher.

4. Operate any equipment used to fabricate, assemble or process work assignments, including the operation of multiple machines.

5. In preparation for or after welding, tacking, brazing or hand soldering, the employee will clean, etch, chip, grind, wire brush, and repair defects, as required to complete the work assignment.

6. Perform all welding processes as directed.

7. Support and actively participate in Company-sponsored continuous improvement initiatives.

8. Effectively communicate and cooperate with other operations personnel.

9. Collaborate with customers and suppliers to facilitate the development new and / or improved assembly techniques and the testing of processes, materials, methods, and equipment.

10. Perform any pickup, rework, incorporation of changes, etc. as required.

11. Use hand, power tools and equipment to complete work assignment.

12. Work from prints, sketches, specifications, verbal or written information.

13. Maintain certifications, qualifications, licenses or permits as required to performed work assignments.

14. Coordinate pertinent information with customers, suppliers and employees, including those on other shifts.

15. As directed, assist any employee in the performance of his/her duties.

16. Responsible for in process inspection and all finished work.

17. When assigned as Lead person: Assist and direct personnel to meet quality, cost delivery and schedule requirements. Coordinate production problem resolutions and process improvements. Communicate with production and support personnel. Instruct and train personnel. Perform shop work.

18. Perform any other duties as directed.

Minimum Qualifications:

Prefer experience in machining welding or other relevant skills. Must be able to work from drawings, sketches, charts and handbook formulate. Requires the ability to effectively communicate and work with others.

Schedule A

JOB DESCRIPTION

Title: Technician - B

Job Code: CWT

General Statement:

Duties:

The Company will provide appropriate job training to enable employees to perform all necessary job functions including but not limited to the following:

1. Operate any equipment used to fabricate, assemble or process work assignments, including the operation of multiple machines.

2. In preparation for or after welding, tacking, brazing or hand soldering, the employee will clean, etch, chip, grind, wire brush, and repair defects, as required to complete the work assignment.

3. Perform all welding processes as directed.

4. Support and actively participate in Company-sponsored continuous improvement initiatives.

5. Effectively communicate and cooperate with other operations personnel.

6. Collaborate with customers and suppliers to facilitate the development new and / or improved assembly techniques and the testing of processes, materials, methods, and equipment.

7. Perform any pickup, rework, incorporation of changes, etc. as required.

8. Use hand, power tools and equipment to complete work assignment.

9. Work from prints, sketches, specifications, verbal or written information.

10. Maintain certifications, qualifications, licenses or permits as required to performed work assignments.

11. Coordinate pertinent information with customers, suppliers and employees, including those on other shifts.

12. As directed, assist any employee in the performance of his/her duties.

13. Responsible for in process inspection and all finished work.

14. When assigned as Lead person: Assist and direct personnel to meet quality, cost delivery and schedule requirements. Coordinate production problem resolutions and process improvements. Communicate with production and support personnel. Instruct and train personnel. Perform shop work.

15. Perform any other duties as directed.

Minimum Qualifications:

Schedule B

SUBSTANCE ABUSE POLICY

PREAMBLE

WHEREAS, the parties have a joint interest in workplace safety and in job performance; and

WHEREAS, the parties recognize that illegal drug use/prescription drug and alcohol abuse create serious problems for workers, their families, the workplace and the community, that drug/alcohol use and abuse acknowledge no boundaries of age, race, or socioeconomic status, that punishing the employee will not eradicate the problem, and that efforts must focus on treatment, education and restoration of the employee to a meaningful productive life, and

WHEREAS, the parties recognize that a cooperative and constructive effort is needed to overcome the impact of drug/alcohol use and abuse on safety, productivity, quality of work, and morale, and that such a policy must apply to abuses of alcohol and certain prescribed medicines, as well as illegal drugs, and

WHEREAS, the parties have zero tolerance for drug pushers and providers or those persons who are in control of these activities or those who knowingly assist in permitting such activities by acting as couriers, dispensers, bankers, or as any other key participant in a drug trafficking operation, and

WHEREAS, the parties recognize the national concerns related to drug abuse, as demonstrated by the Drug Free Workplace Act and regulations promulgated pursuant to that Act by the U. S. Department of Defense and other Federal agencies, and

WHEREAS, the parties recognize the keys to this effort will be the providing of education, assistance to employees and their families, encouraging the employees to receive treatment as needed, fostering and encouraging an environment which is free of drug/alcohol use and abuse and which deters the use and abuse of drugs/alcohol.

THEREFORE, in implementing the general principles stated above, the parties agree as follows:

1. EDUCATI0N AND TRAINING

A. Employees are to be advised in writing of the GKN Aerospace Chem-tronics Inc. Drug and Alcohol Education, Testing and Rehabilitation Program. Information is provided to cover various aspects of the Program including the reasons for the Program, benefits for employees and the Company, Employee Assistance Services ("EAP"), effects of drugs/alcohol on individuals and their families, and drug/alcohol tests.

B. Management officials, medical professionals, designated Union officials, supervisors, plant security personnel and other selected employees are to be trained on the following issues:

(1) Drug/alcohol abuse recognition, symptoms and effects;

(2) Methods of visually identifying employees who may be under the influence of drugs/alcohol;

(3) Methods of referring employees who might be suffering from personal problems that could signal possible drug/alcohol problems to the EAP;

(4) Procedures related to handling employees who appear to be under the influence of drugs/alcohol;

(5) Documenting observations and impressions of persons who may be under the influence of drugs/alcohol;

(6) Drug/alcohol testing program, procedures, and safeguards;

(7) Benefit programs and alternatives that are available; and

(8) Safety aspects of drug/alcohol problems in both work and social environments.

2. DRUG AND ALCOHOL TESTING

A. REASONABLE SUSPICION DRUG AND ALCOHOL TESTING POLICY

(1) This policy covers any employee who exhibits abnormal behavior at an employee's worksite, such as Company owned or leased property, vendor or customer facilities, or in any vehicle while on Company business. Following reasonable suspicion that an employee has exhibited abnormal behavior within the scope of this policy, the Company may require that employee submit to drug/alcohol testing. Union steward or plant chairman will be notified immediately.

(2) Initial suspicion will be followed by a confirmatory evaluation. Testing will be administered as soon as practicable following suspicion of drug/alcohol use or being under the influence.

(3) The requirements of this policy constitute conditions of employment and refusal or failure to submit to testing following an order or instruction will be treated in the same manner as a positive test result under Section 5 of this program subject to the terms of the grievance and arbitration provisions of the Articles of Agreement.

(4) The consequences related to drug/alcohol use or influence in the workplace or on Company business are set forth in Section 5 of this program.

(5) For the purposes of this testing policy, "abnormal behavior" may include, but is not limited to, sudden, unexpected changes in physical appearance, difficulty in maintaining balance, difficulty in speech, gait, engaging in an unsafe practice which endangers the employee or others, the distinct odor of drugs/alcohol, engaging in physically aggressive behavior or in unusual emotional behavior such as uncontrollable laughter or uncontrollable crying.

(6) When the Company has reasonable suspicion that an employee is demonstrating signs of abnormal behavior, the employee shall be escorted to the Company designated offsite medical/testing facility for evaluation by a medical professional. A management official trained under provisions of subsection 1.B above shall complete a written report of the observed signs of impairment.

(a) If judged appropriate by a medical professional, after assessment of the employee, tests for drugs/alcohol shall be required. The employee's visit to the designated testing facility will be conducted in a manner consistent with any other medical conditions, i.e., privacy, confidentiality of records.

(b) A trained management official will determine whether the employee should be escorted to a Company designated offsite medical/testing facility for evaluation by a medical professional.

B. POST‑ACCIDENT DRUG AND ALCOHOL TESTING POLICY

(1) As soon as possible following a "work-related accident" the Company will require the employee to submit to drug/alcohol testing if the employee's action or inaction either contributed to the accident or cannot be completely discounted as a contributing factor. No testing will be necessary if the Company determines that the employee's action or inaction could not have contributed to the work-related accident using the best information available at the time of the accident. For the purposes of this testing policy, the following definitions shall apply:

"Work‑related Accident" is defined as an occurrence arising out of or in the course of employment in which any person suffers death or serious bodily injury requiring immediate medical care, or where there is damage to hardware or facilities.

(2) The Company may require employees involved in accidents not covered by this subsection to submit to drug/alcohol testing under the terms of the Reasonable Suspicion Drug and Alcohol Testing Policy.

(3) An employee covered by this policy who is injured at the time of the work-related accident shall authorize the Company to obtain records, reports, and other documents that would indicate the presence and extent of drugs/alcohol in the employee's system. If the employee is unable to submit to drug/alcohol testing after the work-related accident, the employee shall authorize testing of any samples taken by examining or treating medical facilities. If the employee refuses to grant such authorization outlined above, such refusal will be treated in the same manner as a positive test result under Section 5 of this program subject to the terms of the grievance and arbitration provisions of the Articles of Agreement.

(4) The requirements of this policy constitute conditions of employment and refusal or failure to submit to testing following an order or instruction will be treated in the same manner as a positive test result under Section 5 of this program subject to the terms of the grievance and arbitration provisions of the Articles of Agreement.

(5) The consequences related to drug/alcohol use or being under the influence in the workplace or on Company business are set forth in Section 5 of this program.

C. RANDOM DRUG AND ALCOHOL TESTING POLICY

Random drug and alcohol testing will only apply to jobs where required by law. The Union will be notified of such requirement(s).

D. RETURN TO DUTY DRUG AND ALCOHOL TESTING POLICY

(1) This policy covers any employee who commences or returns to work after failing a required drug/alcohol test. Such employee shall be subject to unannounced drug/alcohol testing consistent with the provisions of Section 5 of this program.

(2) The requirements of this policy constitute conditions of employment and refusal to submit to testing following an order or instruction will be treated in the same manner as a positive test result under Section 5 of this program subject to the terms of the grievance and arbitration provisions of the Articles of Agreement.

(3) The consequences related to drug/alcohol use or being under the influence in the workplace or on Company business are set forth in Section 5 of this program.

E. REHIRE/REINSTATEMENT DRUG

AND ALCOHOL TESTING POLICY

(1) This policy requires any employee whose employment with the Company was terminated and who returns to employment more than ninety (90) days after such termination to be tested prior to returning to work unless otherwise agreed to by the parties or as ordered by an arbitrator.

(2) If prior to rehire/reinstatement an employee has any record of positive drug/alcohol test results while employed by the Company, these results will be carried forward as positives under this policy.

(3) The requirements of this policy constitute conditions of employment and refusal or failure to submit to required testing following an order and instruction will be treated in the same manner as a positive test result under Section 5 of this program subject to the terms of the grievance and arbitration provisions of the Articles of Agreement.

(4) The consequences related to drug/alcohol use or being under the influence in the workplace or on Company business are set forth in Section 5 of this program.

3. PROCEDURES FOR DRUG OR ALCOHOL TESTING

A. PRETESTING PROCEDURE

(1) A representative of the Union will be notified prior to testing unless employee requests otherwise. If a representative is not immediately available, the Union will be given a reasonable opportunity to obtain one. In the interest of privacy, the Union representative will not be present during medical examination or sample collection.

(2) Employee Refusal of a Drug/Alcohol Test ‑ An employee's refusal to submit to testing following an order or instruction will be treated in the same manner as a positive test result under Section 5 of this program subject to the terms of the grievance and arbitration provisions of the Articles of Agreement.

(3) Precollection Interviews ‑ Prior to the administration of an alcohol test and/or the collection of a urine specimen for drug testing, individuals will be thoroughly interviewed to determine if there may be any medications (over‑the‑counter or prescription) or other substances that may have been inhaled, ingested, or injected, which could result in a positive test. Such information will be considered part of an employee's medical record and will be treated with the same level of confidentiality.

(4) Any employee who alters a specimen, submits a false specimen or assists anyone else to alter or submit a false specimen will be terminated.

(5) The President‑Directing Business Representative or the Assistant Directing Business Representative will have access to drug/alcohol test results upon obtaining a release from an individual IAM‑represented employee. In addition, the President or his/her designee will have access to information on a "no‑name basis" for all IAM employees and will have access to such statistical information as number of employees participating in drug/alcohol referrals to EAP, the number of employees subjected to drug testing, the number of employees who test positive for drugs/alcohol. Employees will have the right to obtain copies of their drug/alcohol test results.

B. TESTING PROCEDURE

(1) Alcohol Testing - The administration of an alcohol test shall be in accordance with the test equipment manufacturer's instructions and the procedures and in accordance with Washington law and regulations. Upon a positive alcohol test by Breathalyzer, an employee may take a second Breathalyzer test within fifteen (15) minutes of the first test. In lieu of a Breathalyzer test, an employee may request a blood test upon the signing of a release. Any blood alcohol test will be in accordance with Washington law and regulations for such tests.

(2) Collection Site - Any employee subject to drug testing must be allowed to provide a split double urine specimen in private and in an enclosed room. Both sealed specimen bottles will be shipped to the laboratory.

(3) Chain of Custody ‑ Collection and shipment of all samples will follow strict chain of custody procedures documented in writing. The employee will be given an opportunity to verify the handling and sealing of their samples at the collection site.

C. ANALYTICAL LABORATORY PROCEDURE

(1) Laboratory ‑ The Company will select only laboratories certified by the National Institute on Drug Abuse for drug testing. The Company will provide two other laboratory choices if the employee requests the second portion of the sample tested.

(2) Confidentiality - The identities of employees who have tested positive shall be limited to those persons having a "need to know." Information and records regarding positive drug/alcohol testing will be considered part of an employee's medical record and will be treated with the same level of confidentiality.

(3) Retention of Sample - All urine samples confirmed positive will be frozen by the testing laboratory and retained for one year except that where the results of a test are subject to arbitral or legal challenge, the specimen will be retained until final resolution of such challenge. Blood samples will be retained in accord with acceptable medical practices.

D. PROCEDURES FOR RESULT NOTIFICATION

(1) Notification ‑ A Medical Review Officer (MRO) reviews and interprets positive test results to assure a scientifically valid result and to determine whether a legitimate medical explanation could account for the confirmed positive drug test result. All individuals who test positive shall be so notified by the Company and given an opportunity to provide the Company any reasons he/she may have which would explain the positive test. If the individual provides a reasonable explanation that can be substantiated to the satisfaction of the MRO, the test result will be reported as negative to the employee and the employee's supervisor and the record will be retained.

(2) Employees have the right to have the same sample drug specimen retested within seventy‑two (72) hours of the employee's notification of test result at the same lab at their expense, or to have the second split specimen tested at their expense at another laboratory in accordance with paragraph 3(C) (1) above. Should the outcome of the tests differ, the negative test will be assumed correct and the employee will be reimbursed for the actual cost of the negative test.

(3) Drug Test Results ‑ All positive test results and records will become a part of the employee's medical records. Negative test results will be retained only if the employee has also had a prior positive test result.

(4) The Company is responsible for the actions of its employees and agents, including the MRO and the laboratories used in the administration of this program. The Company shall hold the Union harmless against any and all claims against the Union arising out of selection of MRO or laboratory used in administration of this program. This Hold Harmless provision shall not apply to any Duty of Fair Representation claim unless the claim relates solely to selection of the MRO or the laboratories.

4. DEFINITIONS

A. Alcohol ‑ A colorless, volatile, and flammable liquid that is the intoxicating agent in fermented and distilled liquors. Includes, but is not limited to, beer, wine and liquor.

B. Alcohol Test ‑ A scientifically valid test utilizing detectors to determine the percent (%) blood alcohol content. The test is non‑invasive and requires the test subject to exhale into the detector chamber. If employee requests, a scientifically valid method utilizing a measurement of an actual sample of blood of employee to determine a percent of blood alcohol present will be used.

C. A Positive Test for Alcohol or Drugs ‑ Means to have the presence of alcohol, a drug or a drug metabolite in an employee's system as determined by appropriate testing of a bodily specimen that is equal to or greater than the levels specified below for the confirmation test. This shall be referred to as a "positive level," "prohibitive level," or "positive screen."

The presence of any of the below listed drugs in an amount equal to or greater than what is identified constitutes a positive drug test:

		Initial Test Levels	Confirmation Test Levels
1	Alcohol	0.04%	0.04% *
2	Marijuana metabolite	100 ng/ml	15 ng/ml **
3	Cocaine metabolite(s)	300 ng/ml	150 ng/ml ***
4	Opiates	300 ng/ml	300 ng/ml
5	Phencyclidine (PCP)	25 ng/ml	25 ng/ml
6	Amphetamine and/or methamphetamine	1000 ng/ml	500 ng/ml
* Percent blood alcohol content Delta-9-tetrahydrocannabinol-carboxylic acid * Benzoylecgonine, ecgonine methyl ester, and/or ecgonine

D. Drug Test ‑ A multiple step urine test enzyme multiplier immunoassay test screening method (EMIT) screening method and a confirmation by use of Gas Chromatography and Mass Spectrometry (GC/MS).

E. Drug ‑ Means a controlled substance as defined by Section 802 (8) of Title 21 of the United States Code, the possession of which is unlawful under Chapter 13 of that Title: marijuana, cocaine, opiates, phencyclidine (PCP), amphetamine and/or methamphetamine.

F. Medical Review Officer ‑ A physician knowledgeable in the medical use of prescription drugs and the pharmacology and toxicology of illicit drugs. MRO will be reviewed on an annual basis upon request by either party.

5. PROCEDURES FOLLOWING TESTS FOR DRUGS OR ALC0HOL

A. The following procedures describe the rehabilitation opportunities and consequences which shall apply to employees who test positive for the presence of drugs/alcohol under the following Drug Testing Policies:

(1) Pre‑Employment

(2) Reasonable Suspicion

(3) Post‑Accident

(4) Random

(5) Return to Duty

(6) Rehire/Reinstatement

B. Employees who have been tested under the Reasonable Suspicion and Post‑Accident policies will be suspended, without pay, pending receipt of test results. Employees testing under the Random policy shall not be suspended pending receipt of test results. Suspended employees who test negative for the presence of drugs/alcohol will be reimbursed for straight time and overtime wages lost by virtue of their removal from service. The parties agree that when an employee has violated Company rules other than those relating to drug/alcohol use that the Company may impose appropriate discipline for those rule violations.

C. Employee discipline and/or discharge under this section are subject to the grievance and arbitration provisions of the labor Agreement.

6. LEAVE OF ABSENCE

In the event that an employee enters a drug/alcohol treatment program, the employee will be granted such leave of absence as is necessary to allow the employee to complete the rehabilitation program in accordance with Article VII of the Articles of Agreement.

7. FIRST POSITIVE TEST RESULT

(1) Following notice of an individual's initial positive drug/alcohol test result under any of the listed policies, the employee's suspension, without pay, will be initiated or continued for a minimum of ten (10) working days. The time lost due to removal from service pending receipt of test results under Reasonable Suspicion and Post‑Accident policies shall be applied against the suspension. The employee will be made aware of the Company EAP and will be encouraged to use the services of the program.

(2) If the employee selects the option of using the Company EAP services after a positive drug/alcohol test, the use of such services shall be considered as a management‑referred entry rather than a self‑referred entry. This would result in the referral being termed "Adverse Information" which must be reported to the government for employees holding security clearances.

(3) The employee will not be allowed to return to active employment until a negative test result is obtained from a Company‑directed drug/alcohol test, given no later than sixty (60) days from the date of receipt by the Company of the initial positive test.

(4) Employees who fail to make themselves available for retesting within this sixty (60)-day period shall be deemed to have resigned their employment from the Company. Employees who retest in this sixty (60) day period and test positive again will fall under subsection 5.G, below, describing the second positive test result except as set out in paragraph 5.F (5) below.

(5) After receipt by the Company of a negative drug/alcohol test result, the employee may return to active employment, subject to the following condition:

Employee will be subject to four (4) unannounced drug/alcohol tests during the twelve (12) months after the employee returns to work.

If an employee tests between .040 ‑ .059 for alcohol on his/her first positive test, the employee will not be given a disciplinary suspension but the test will be considered as a positive test under this program and the employee will be sent home for the remainder of the shift. Employees testing .06 or greater will be given a disciplinary suspension in accordance with this policy.

8. SECOND POSITIVE TEST RESULT

If an employee tests positive a second time under this policy, the employee will be terminated.

9. CONFORMITY TO LAW

In the event this Agreement is in violation of any applicable law, the parties will negotiate such changes as are necessary to conform this Agreement to such law. Additionally, the parties agree that this Agreement shall not diminish the rights of individual employees under state and federal law.

Represented Employees

Hired on the Effective Date of the 2002 Agreement

Pension Plan
Normal Retirement Benefit (NRB)	Accrued Benefit as of closing date under Boeing formula (rolled up with earnings escalator) plus future service benefit under Chem-tronics formula
Benefit Formula	.75% x FAE x SVC plus .60% x [FAE - CC] x SVC (Max 35 yrs)
Earnings Definition	Base Pay Only
Early Retirement (ER)	Accrued benefit under Boeing plan subject to Boeing ER factors. Future service benefit -Chem-tronics plan payable at age 55 with 10 years of service, reduced 6% per year from age 65 to early retirement
Payout Options	Annuity only for Boeing benefit; lump sum or annuity for Chem-tronics benefit
Savings / 401(k) Plan
Employer Match	50% of employee deferrals (maximum 8%) for maximum match of 4% of salary
Medical (Active and pre-65 Retirees)
Plan Design	Refer to Plan Summary
Employee Cost	18% of the monthly premium

Contribution to FSA	$100 annual minimum / $5,000 annual maximum

		PPO Plan Enrollees	%
Year one contribution for EE Only		$60.23	18%
Year one contribution for EE+Children		$114.44	18%
Year one contribution for EE+Spouse		$126.48	18%
		PPO Plan Enrollees	%
Year one contribution for EE+Family		$186.71	18%
Dental (Active and pre-65 Retirees)
Plan Design	Refer to Plan Summary
Employee Cost	18% of the monthly premium
Vision (Active and pre-65 Retirees)
Plan Design	Refer to Plan Summary
Employee Cost	50% of the monthly premium (same as Chem-tronics percentage)
Ancillary Benefits
Company Paid Life Insurance	1 x Base Annual Earnings
Optional Life Insurance	Up to $1,000,000 (employee paid)
Company Paid Short Term Disability	66-2/3% Base Annual Earnings (w/offsets ie, workers’ compensation, federal/state disability)
Company Paid Long Term Disability	66-2/3% Base Annual Earnings (w/offsets ie, workers’ compensation, federal/state disability)

Represented Employees (Active)

Hired After the Effective Date of the 2002 Agreement

Savings / 401(k) Plan
Employer Match	50% of employee deferrals (maximum 8%) for maximum match of 4% of salary
Medical (Active and pre-65 Retirees)
Plan Design	Refer to Plan Summary
Employee Cost	18% of the monthly premium

Contribution to FSA	$100 annual minimum / $5,000 annual maximum

		PPO Plan Enrollees	%
Year one contribution for EE Only		$60.23	18%
Year one contribution for EE+Children		$114.44	18%
Year one contribution for EE + Spouse		$126.48	18%
Year one contribution for EE + Family		$186.71	18%
Dental (Active and pre-65 Retirees)
Plan Design	Refer to Plan Summary
Employee Cost	18% of the monthly premium
Vision (Active and pre-65 Retirees)
Plan Design	Refer to Plan Summary
Employee Cost	50% of the monthly premium (same as Chem-tronics percentage)
Ancillary Benefits
Company Paid Life Insurance	1 x Base Annual Earnings
Optional Life Ins.	Up to $1,000,000 (employee paid)
Company Paid Short Term Disability	66-2/3% Base Annual Earnings (w/offsets ie, workers’ compensation, federal/state disability)
Company Paid Long Term Disability	66-2/3% Base Annual Earnings (w/offsets ie, workers’ compensation, federal/state disability)

PPO BENEFITS AT A GLANCE – HIGHMARK BC/BS

Plan Basics	In Network	Out-of-Network
Deductible § Individual § Family – maximum of 2 times individual deductible	$100	$250
Annual Out-of-Pocket (OOP) maximum (does not include deductible) § Individual § Family – maximum of 2 times individual deductible	$1,000	$2,000
Outpatient Care
Surgery/Diagnostics Tests/X-Rays If treatment is sought at an in-network facility, benefits will be covered at the in-network level for radiologist/pathologist/ anesthesiologist.	90%*	70%*
Physician Office Visits	$15 copay	70%*
Inpatient Care
Hospital Room & Board Physician Services	90%* 90%*	70%* 70%*
Emergency Care
Emergency Room (waived if admitted) Benefits will be reduced if services are received for a non emergency	$50 copay	$50 copay
Ambulance or other emergency related charges	90%*	70%*

*After deductible

Mental Health/Chemical Dependency

Inpatient -30 day annual maximum, only 2 chemical dependency treatments per lifetime

· &nb

3 Year►			2007	2008	2009
		Increase	3% GWl	3% GWI	3% GWI
Job Code	Job Class.	Range Min.	Range Max	Range Max	Range Max
CWT	Tech A	$14.00	$31.00	$31.93	$32.89
CWT	Tech B	$12.00	$25.00	$25.75	$26.52

TABLE OF CONTENTS

SUBSTANCE ABUSE POLICY

PREAMBLE

8. SECOND POSITIVE TEST RESULT

Pension Plan

Savings / 401(k) Plan

Medical (Active and pre-65 Retirees)

Dental (Active and pre-65 Retirees)

Savings / 401(k) Plan

Medical (Active and pre-65 Retirees)

Dental (Active and pre-65 Retirees)