THIS AGREEMENT, dated 12:00 AM, April 25, 2014, by and between AIM Aerospace Sumner, Inc., (the term "the Company" being hereinafter deemed in each instance to refer to such corporation), and the International Association of Machinists and Aerospace Workers, AFL-CIO, District Lodge 751 and Local Lodge 751-A, hereafter representing employees of the Company in the units described in Article 1 (the term "the Union" being hereinafter deemed in each instance to refer to the International Association of Machinists and Aerospace Workers, AFL-CIO).

The purpose of this Agreement is to provide for wages, benefits, terms and conditions of employment for employees in the bargaining unit. The parties agree to promote mutual understanding, respect, harmony and cooperation among employees, between employees and the Company, and between the Union and the Company.

Nothing in this Agreement limits or waives any rights of the employee or employer under any applicable state or federal law.

NOW, THEREFORE, the parties agree as follows:

Article I. BARGAINING UNIT

Section 1.01 Union Recognition:

The Company recognizes the Union, its designated agents and representatives, its successors and/or assigns, as the sole and exclusive collective bargaining agent for the unit certified in NLRB Case No. 19-RC-107737, which includes all full-time hourly and regular part-time hourly kit cutters, team leaders, laminators, paint preppers, production control coordinators, mold makers, painters, tool preppers, water striders, assemblers, maintenance helpers, document control clerks, inventory clerks, trimmers, quality administrators, quality inspectors, clerk 1, oven operators, core cutters, trainers, tool repairers, autoclave operators, shipping and receiving clerks, inventory leads, drivers, lab tech A, continuous improvement administrators, tool coordinators, and maintenance employees. Drivers and quality inspectors based in Sumner are considered part of the bargaining unit even though they may be assigned work away from the Sumner plant.

Article II. MANAGEMENT RIGHTS

Section 2.01 Basic Rights.

The Company retains all rights to manage and direct the operations except to the extent such rights are specifically limited or modified by the terms of this Agreement. Nothing in this Agreement is intended to limit the Company’s sole and exclusive right to manage the business and direct its work force.

Section 2.02 Changes.

The Company specifically reserves and the Union recognizes the Company’s right to implement, maintain, cancel or modify any benefit, program, policy, practice or procedure not specifically controlled by the language of this Agreement.

Section 2.03 Subcontracting.

The Company, in its discretion, may subcontract work.

Article III. UNION SECURITY

Section 3.01 Union Membership.

All employees shall have the right to choose whether they want to become Union members. The Union has an obligation to represent in good faith all employees covered by this Collective Bargaining Agreement. Any employee who is or becomes a member of the Union during the life of the Agreement, must remain a member as a condition of continued employment during the life of the Agreement. Any employee may satisfy this requirement by payment of current monthly dues and initiation or reinstatement fees, if any, or by the payment of representational fees as allowed by law.

Section 3.02 Failure to Satisfy Obligations.

The Company shall have no obligation to take any action under this provision until it receives a certified letter from the Union that an employee is not in compliance with the employee’s membership obligation. The Company shall have up to five (5) days from that date to terminate an employee who is not in compliance. The certified letter requesting termination shall also be copied to the employee affected by the notice.

Section 3.03 Company Protection.

The Union shall defend and indemnify the Company from any claim brought by an employee related to this Article. In no event shall the Company have any financial liability for actions taken related to this Article.

Section 3.04 Employee Protection.

The Union agrees that neither it nor its members or officers will intimidate or coerce employees into membership in the Union. The Union shall support disciplinary action taken by the Company against any employee engaged in intimidation or coercion relating to Union membership. The Company will not act in any way to intimidate or coerce employees in their membership decision.

Section 3.05 Payroll Deduction for Union Dues and Initiation Fees.

The Company shall make payroll deductions for the Union's initiation fee and regular and usual monthly dues twice monthly on a bi-weekly basis upon receipt by the office designated by the Company of a voluntary written authorization from the employee covering such deductions on a form provided by the Union. The list of such deductions will be itemized to include each such employee's social security number or permanent employee number, name, and amount of deduction, and such itemization will be forwarded to the Union. The initiation fee or regular and usual monthly dues shall either be in amounts that are specified on such assignments, or pursuant to a written formula, submitted by the Union to the Company which, in either case, the Company has approved in writing in advance as being administratively practicable. All payroll deductions shall be remitted to the Union once per month.

Article IV. UNION REPRESENTATIVES

Section 4.01 Union to Furnish List of Representatives.

The Union shall inform the Company in writing of the names of its Union Representatives and Union Stewards who are accredited to represent it; such 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.

Section 4.02 Bulletin Boards

The Company shall provide two (2) bulletin boards, one for each lunch room on the Company property, for the purpose of posting notices of Union meetings and other activities that are officially approved by the Union. New and replacement boards will be at least three (3) feet by four (4) feet in size. The Union may maintain the boards for the purpose of notifying employees of matters pertaining to Union business. All notices shall be signed by a representative of the Union who is authorized by the Union to approve Union notices.

Section 4.03 Access to Plant (General).

A designated representative of the Union may visit the AIM-Sumner Plant twice per month for each shift during the normal lunch break of bargaining unit employees. Visits should be scheduled in advance by contacting and making arrangement with the Plant Manager. The designated representative will be allowed to visit either of the employee lunchrooms the duration of the thirty (30) minutes lunch break.

Section 4.04 Access to Plants (Grievance Administration).

A Union Representative of the Union may enter the shop when necessary to investigate or resolve a grievance, if the representative has obtained management’s prior approval from a management designee (list to be provided). Approval will not be unreasonably denied. The Business Representative will comply with all normal requirements for visitors in effect at that time, e.g., sign-in, escort in work areas, confidentiality agreement. The Union reserves all other rights of access it may have under federal law.

Section 4.05 Conditions Relating to Access.

(a) Before entering the Sumner Plant, the designated representative shall sign in at the designated visitor entrance location. Upon leaving the Plant, the designated representative shall sign out and return any ID badges that were issued during the visit.

(b) The designated representative of the Union will not disrupt work, engage in any activity that might pose a safety hazard, or any activity that otherwise might disrupt the Employer’s operations. The designated representative of the Union will comply with all requirements for visitors to the plant, such as maintenance of confidentiality and safety procedures.

Section 4.06 Union Stewards.

The provision and rules regarding Union Stewards shall be as follows:

(a) The Union may designate one (1) employee as a Union Steward for each thirty (30) employees, or fraction thereof. Where the shift population is less than thirty (30) employees, the Union may designate a minimum of one (1) employee as a Union Steward. In the absence of the regular Union Steward for any reason, the Union may designate a temporary Union Steward to act for the regular Union Steward. Such designation shall be in writing.

(b) The Union Steward will retain his/her Union steward status while on approved medical leave of absence, provided that he/she has not been replaced as the Union Steward by the Union prior to expiration of such leave.

Section 4.07 Departure from Work Assignment by Union Stewards to Investigate Complaints or Claims of Grievance.

In order to permit a well-regulated shop, each Union Steward shall notify and obtain permission from his/her supervisor before leaving his/her work assignment for the purpose of investigating complaints or claims of a grievance on the part of employees or the Union or contacting the Union Representative in regard to such claim or grievance. Approval from the supervisor or manager will not be unreasonably withheld. The Union and the Company agree that such Union Steward activities shall be conducted in a diligent and expeditious manner, so as to limit the disruption of production.

Article V. NEW EMPLOYEES

Section 5.01 Probationary Period.

New employees must complete a probationary period of 90 days, within a 12 month time period, to the satisfaction of the Company before they become eligible for any rights or benefits under this Agreement. When new employees satisfactorily complete the probationary period, they will be credited with their hire date for purposes of seniority and other benefits in accordance with the requirements of any benefit plan or program.

Section 5.02 Temporary Employees.

The Company may contract for an individual as a temporary employee for up to 75 calendar days. Temporary employees are not entitled to any rights or benefits under this Agreement. This provision will not be used to cause or prolong the layoff of any employee covered by this Agreement. The number of temporary employees may not exceed twenty-five (25%) percent of the number of employees in the bargaining unit, unless the parties mutually agree otherwise.

Section 5.03 New Employee Orientation.

The Company will provide the Union with a list of AIM new hires with phone numbers and addresses after each new employee orientation.

Article VI. HOURS OF WORK

Section 6.01 Hours of Work and Work Schedules.

The Company currently follows a work schedule of forty (40) hours per week, eight (8) hours per day and five (5) days per work week, and the employees will be assigned to one of three (3) shifts, 1^st, 2^nd or 3^rd. The Company reserves the right to implement schedules of ten (10) hours per day, and schedules that include Saturday and/or Sunday as part of a normal work schedule, and to assign employees shifts pursuant to the needs of the business. Changes of shift assignment shall be made on the first of a new work week with forty-eight (48) hours’ notice unless an emergency situation arises.

An employee’s supervisor or manager will assign actual work days and scheduled hours of work. Based on the Company’s needs, an employee’s shift may be adjusted. An employee may be required to work overtime as business conditions dictate.

Section 6.02 Current shifts.

(a) First shift: Eight (8) consecutive hours beginning anytime between 4:00 a.m. to. 8:00 a.m.

(b) Second shift: Eight (8) consecutive hours beginning anytime between 1:00 p.m. to 4:00 p.m.

(c) Third shift: Eight (8) consecutive hours beginning anytime between 10:30 p.m. to 1:30 a.m.

The parties agree that the Company may, on a temporary basis, assign start times to employees outside these beginning windows for various purposes, such as training or exigent business needs, for up to 90 days.

Section 6.03 Lunch and Rest Periods.

Each eight (8) hour shift shall include a thirty (30) minute unpaid lunch period, where the employee is not required to perform work assignments related to their employment at the Company. All employees shall receive two (2) 15-minute (which includes travel time to and from work areas) rest periods on each 8 hour shift. Rest periods shall be scheduled as near as possible to the mid-point of the work period. No employee shall be required to work more than three hours without a rest period.

Any additional rest periods during longer shifts or overtime hours will be scheduled as determined by law.

All eating and drinking shall be confined to the appropriate areas, as defined by the Company, both during lunch and rest periods. The Company shall provide such appropriate areas, and they shall be maintained in a clean and sanitary manner. Employees shall also be responsible for keeping such areas clean and sanitary. Any employees that cannot take a break during their specified rest period because of work assignment will be allowed a break at the earliest practical time.

Section 6.04 Wash-Up Time.

Five (5) minutes wash-up time will be provided at the end of each shift. The five (5) minute wash-up time is intended for employees to wash up prior to the end of each shift. If an employee is assigned to exceptionally dirty work, the Company at its discretion may allow the employee more than five (5) minutes to clean up.

Section 6.05 Overtime.

Overtime is hours worked in excess of 40 hours worked during a pay week. Employees will receive one and one-half (1½) times their regular rate of pay for every hour worked in excess of 40 hours in the work weeks (please see section one for explanation of work week), or as required by applicable state law. Holidays and vacation are considered actual time worked when calculating hours worked for overtime purposes. Sick leave is not considered time actually worked when calculating hours worked for overtime purposes. No overtime shall be worked except by direction of appropriate Company management and the Company will make every effort to give as much notice as possible.

The Company will first attempt to meet its overtime requirements on a voluntary basis among the employees who perform the work on a straight time basis through the week. Reasonable effort will be made by classification and shift to equalize overtime. An employee who has pre-approved vacation on a Friday preceding or a Monday following shall not be designated overtime on that weekend. The Union and the Company will discuss a fair system for the assignment of overtime.

Section 6.06 Call Back Pay.

Employees called back after working a scheduled shift or to report in on a scheduled day off will receive a minimum of four (4) hours pay at their applicable rate of pay (hourly rate + shift premiums, etc.).

Article VII. COMPENSATION

Section 7.01 Base Rate Definition.

An employee's hourly base rate of pay is determined under the applicable provisions, excluding all allowances, differentials, adjustments, bonuses, awards, and premiums.

Section 7.02 Wage Increases.

Wage increases will be granted as specified in Appendix B.

Section 7.03 Wage Rate in New Classification

Employees who are selected to fill a job in their current classification (category) will, upon the commencement of the new job, be paid the wage rate contained in the job posting. (See Appendix B.).

Employees who are selected to fill a job in a new classification (category) will, upon the commencement of the new job, receive either the entry level rate for the job classification in which it falls, or their current rate, whichever is greater. (See Appendix B).

Section 7.04 Ratification Bonus.

For employees covered by this Agreement and on the active payroll on the date of ratification (including those on an approved leave of absence), the Company agrees to pay a lump sum payment of three hundred and twenty-five dollars ($325) less applicable withholdings, no later than thirty (30) days after ratification.

Section 7.05 Company Discretion.

The Company may for legitimate business reasons, in its discretion, pay an employee above the rates in this Agreement. Those reasons may include, but are not limited to the following: retention of needed skills, exceptional performance, consistent demonstration of skills above expectations, excellent dependability, quality of work, leadership, mentoring and demonstrated collaborative behavior.

Section 7.06 Shift Differentials.

Shift premiums shall be seventy-five cents ($0.75) per hour for second shift and seventy-five ($0.75) per hour for third shift.

Section 7.07 Lead Pay.

Lead employees shall receive one ($1.00) dollar above their normal straight-time hourly wage, including shift premium.

Section 7.08 Pyramiding of Rates.

There shall be no pyramiding of premiums under this Agreement.

Section 7.09 Incentive Plan

The Company and the Union will form a committee of Management and Union members to explore and identify problems and solutions to reduce scrap including discussing an incentivizing performance plan within nine (9) months of ratification.

Article VIII. Classifications

Section 8.01 Job Posting

Employees with six or more months in their current position will be eligible to apply for any internal job postings.

Section 8.02 Classifications.

(a) Manufacturing Classification Summary. With minimal supervision will have the ability to select correct parts, materials, tools, assemblies, standards, hardware, etc., to accomplish processes such as Layup, Trim, Paint and Assembly utilizing shop order work instructions to perform the necessary sequence of operations to accomplish a work assignment. Report job constraints such as: errors caused by workmanship, defects in parts, materials, fixtures, assembly procedures, tools, and sequences in accordance with procedures. Perform any repairs, rework, functional checks and the incorporation of authorized changes, etc., as outlined by production planning instructions and routers. Personnel will perform basic predictive and preventative maintenance procedures for their area. Be safety conscious and utilize appropriate PPE.

Required Technical Skills

• Ability to respond to unforeseeable problems when they arise and deal with them in a timely manner.

• Manage own work flow and assist others in job responsibilities.

• Possess the knowledge, ability and willingness to train other employees on the operations and responsibilities of their processes.

• Understanding that everyone enters the process group at different skill levels and is willing to teach and train others to become more skilled in their positions and day-to-day operations.

• Communication skills and ability to relay thoughts to supervisors, engineers and other necessary personnel.

• Ability to perform operations on the most complex and intricate products to produce a quality product.

• Understanding on how other upstream processes affect their process and how their processes affect downstream operations.

(b) Quality Classification Summary. Inspects manufactured, purchased parts, assemblies and materials for conformity to standards, specifications and processing requirements. Completes inspections to work instructions, checklists, routers and engineering requirements using such measuring equipment such as check fixtures, micrometers, calipers and other gages. Visually inspects for obvious defects or damage such as scratches, delams, fractures, and FOD, etc., per customer specifications and engineering planning and routers. Be able to read and interpret Engineering requirements in the form of specifications, drawings, models and planning. Makes pass or fail decisions on inspected parts or assemblies and able to record results. Ability to work effectively in a team oriented environment, assist plan production and administration as required, perform other work-related duties as assigned. Possess understanding and knowledge of basic computer systems and programs

Required Technical Skills

• Ability to read all engineering drawings.

• Ability to inspect product for compliance to product configuration and process specifications.

• Ability to use, read and interpret all precision measurement instruments on the shop floor and in the Quality Laboratories.

• Ability to communicate with all personnel to convey thoughts, methods and recommendations.

• Willingness and ability to train others on day-to-day operations.

(c) Support Classification Summary. Support personnel will have the advanced knowledge necessary to support production in their applicable job function including: training, shipping and receiving, production control, maintenance, etc. They must have the ability to track part movement throughout production to ensure contractual obligations are being met. Support personnel may require knowledge of routine maintenance requirements within the facility. Personnel will perform tasks including materials handling, receiving, inventory control, expediting, line loading, material tracking, auditing and troubleshooting. They will ship, receive, store and move materials using motorized and manual materials handling equipment, hand tools and other equipment. They will have a basic knowledge of policies and procedures and the communication skills necessary to alert the correct personnel when unforeseen problems arise. Personnel will possess a basic knowledge of shop processes to include Foreign Object Damage/Debris (FOD) prevention, material handling and safety requirements. Demonstrate proficiency and knowledge of basic computer systems and programs. Some personnel may be required to perform basic predictive and preventative maintenance procedures for their area. They will have a basic knowledge of how to prepare product for movement to internal and external customers and suppliers. Support personnel may work with customers and other team members as needed to clarify customer expectations and standards and respond to customer concerns related to all instructional development and improvements. Support personnel may be required to perform other work-related duties as assigned.

Required Technical Skills

• Understanding of lean manufacturing concepts and calculations.

• Ability to respond to emergent facility maintenance needs in a timely manner.

• Prepare and develop training materials on a variety of production processes.

• Ability to read, interpret and understand customer specifications to produce training materials, research production processes and make recommendations for change to improve flow, reduce scrap and cost, minimize rework and improve quality.

• Prepare reports and maintain records such as employee training records, certificate expirations and training activity details.

• May participate in conferences, seminars and training sessions to keep abreast of developments in the field and integrate relevant information into training programs.

• Great communications and interpersonal skills and ability to convey messages to others that is engaging and understood.

• Knowledge on many complex production operations and ability to provide assistance to production to meet customer demands when problems or shortages arise or demands increase.

• Observe and evaluate work of personnel at lower levels or categories to determine progress, provide feedback and make suggestions for improvement.

(d) Lead. A Lead is an employee that has been assigned the task of overseeing the day-to-day assignments and tasks of a group of employees in an assigned area or areas. The decision to create a Lead position, and the selection of an employee to serve as a Lead, is within the sole discretion of the Company.

In order to qualify for, or to continue as a Lead, an employee must be from the area they are to lead and there must be at least three (3) employees (inclusive of the Lead employee) working in the assigned area.

In addition to overseeing the day-to-day tasks and assignment in their area, Lead employees will be expected to relay and carry out working instructions and directions from the Supervisors and may be required to perform a minimum amount of paper work and routine record keeping. Leads are also responsible for discussing and resolving technical issues with internal personnel and ensuring required training is completed within their area(s) of responsibility. Except for time spent performing Lead functions, employees selected as Leads are expected to perform their regular work in their respective jobs.

A Lead’s duties shall not include assignment of overtime, scheduling of hours, determining rate of pay or other similar tasks that require the use of sole independent judgment and decision making. Nor shall anything herein provide a Lead with the right to hire, fire, take or cause disciplinary action, nor will such employees take part in the adjustment of complaints or grievances.

The Company will not assign other employees to perform a Lead’s duties on a regular and consistent basis, except in circumstances relating to an extended absence (such as one that is expected to last more than ten (10) consecutive business days) of the assigned Lead. In which case, the assigned employee will receive the Lead differential for the assigned period. Promotion to Lead status will be subject to the normal promotional procedures.

An employee serving as a Lead shall receive one dollar ($1.00) per hour above their wage rate. If a Lead position is no longer needed due to production changes, lack of work, or if the job status changes, a Lead employee will return to their regular rate of pay.

Article IX. TRAINING

AIM strives to provide the training and education necessary to enhance employees’ skill levels in their present positions and prepare them for new jobs or promotions. AIM may require additional training or skills upgrading when changes in structure, production technology skills or health and safety procedures occur. Employees have the right to refuse a recommendation for additional training and education, but each refusal will be noted in the employee’s personnel file.

Training and education will also be offered to selected employees qualified for the first-line managerial positions as a means of identifying those ready for promotion. AIM does not discriminate against race, color, religion, sex, age, national origin, sexual orientation, marital or military status, physical, mental, or sensory disability, gender identify and genetic information or any other bases protected by federal, state or local law in offering educational or training opportunities.

Article X. HOLIDAYS

Section 10.01 Holidays.

Scheduled Holidays for the Company are:

New Year’s Day

Memorial Day

Independence Day

Labor Day

Thanksgiving Day

The Day after Thanksgiving

Christmas Eve Day through New Year’s Eve

A holiday schedule will be posted each year. Temporary employees are not eligible for holiday pay. Part Time employees will be eligible for a pro rata Holiday benefit.

Section 10.02 Conditions.

To qualify for holiday pay, employees must be on the payroll at least ninety (90) calendar days prior to the holiday and must work their full scheduled shift on the regularly scheduled work days which immediately precede and follow the holiday.

Pre-planned, pre-approved vacation will be considered a regularly scheduled work day for holiday pay eligibility.

In addition to holiday pay, hourly employees shall be paid 2 times their hourly rate for hours worked on a holiday.

Employees receiving paid benefits while off work on disability or Workers' Compensation will not receive holiday pay. Employees on a leave of absence (personal, FMLA, etc.) will not receive holiday pay.

Section 10.03 Employees on Third Shift

Employees who are assigned to work on third shift shall observe Independence Day on the fifth of July when it falls on a Monday, Tuesday, or Wednesday.

Article XI. Vacation

Section 11.01 Eligibility

Employees must work one (1) full year of continuous service with AIM prior to receiving paid vacation benefits. After twelve (12) months of continuous service, each full-time employee earns eighty (80) hours of vacation. Part-time and temporary employees are not eligible for paid vacation benefits.

Vacation will be credited to an employee on the employee’s anniversary date with AIM for use in the upcoming year. Employees may not "borrow" vacation in advance of their anniversary date. Unused vacation balances of up to eighty (80) hours will be paid out after the employee’s subsequent annual awards. Any unused vacation over eighty (80) hours will be forfeited. No vacation will be carried over into subsequent years unless the employee’s department manager and AIM’s President determines that extraordinary circumstances are present and approve a carryover of up to forty (40) unused hours.

If a paid holiday occurs during an employee’s scheduled vacation, the holiday will not count as vacation time and will not be subtracted from the employee’s vacation balance.

Section 11.02 Vacation Amounts

The following schedule specifies the amount of vacation earned for a corresponding period of continuous service:

Year of Continuous Service Vacation Time Awarded per Year

One - Four Years 80 hours

Five - Nine Years 120 hours

Ten or More Years 160 hours

Vacation time is not earned during a personal leave of absence or a medical leave of absence that exceeds thirty (30) calendar days and is not FMLA-qualifying.

If AIM rehires an employee within thirty (30) days of a reduction in force (RIF), the employee’s original hire date will be used to calculate vacation eligibility. If a previous employee is rehired by AIM more than thirty (30) days after their prior employment terminated, the employee rehire date will be used to calculate vacation eligibility.

Section 11.03 Scheduling

Vacations are to be scheduled in advance by department managers based on workload and coverage. Management will attempt to notify employees of approval within twenty-four (24) hours of the request. Generally, no more than one (1) week can be taken at a time. Vacation may be taken in increments no shorter than four (4) hours.

Vacation time may not be added to extend personal leaves, and each supervisor will maintain a department schedule of upcoming vacation absences to ensure proper work coverage.

Vacation may not be used to work at a second job or for other outside employment.

Article XII. SICK LEAVE

Section 12.01 Eligibility

Upon completion of six (6) months of continuous employment with AIM, full-time hourly employees will be eligible for up to twenty (20) hours of paid sick leave.

Upon completion of one (1) year continuous employment, an employee will be credited with a pro-rated share of eighty (80) hours of paid sick leave to be utilized between the one (1) year anniversary of their full-time hire date and the following December 31st. Eligible employees will then be awarded eighty (80) hours each subsequent January 1st.

Eligible hourly employees, with at least one (1) year continuous employment and who are active as of December 31st will be paid for any unused portion of their sick leave on or before the end of January each year.

Section 12.02 Conditions

(a) The Company will provide a paid sick leave benefit to all eligible employees (see eligibility) for periods of temporary absence due to illness, injury or health care related appointments (when they cannot be scheduled outside of the employees working hours).

(b) Pursuant to Washington State’s Family Care Act, employees may use any paid leave including sick leave to care for health conditions that require treatment or supervision for family members that are incapable of self-care. Family members are defined as spouse, registered domestic partner, child, parent, parent-in-law or grandparent.

(c) Employees on leave under the Family and Medical Leave Act (FMLA) are required to use sick leave until exhausted.

(d) Employees who are receiving Workers’ Compensation loss time benefits for on-the-job injury or illness may not use sick leave benefit.

(e) All sick leave must be utilized in one (1) hour increments

(f) Available sick leave is not to be used to extend vacation periods or weekends.

(g) Sick leave is provided as a benefit for use during your employment. It is not payable during the resignation notice period, upon termination, retirement or death.

(h) AIM may require employees to provide medical certification confirming an employee’s need for sick leave or leave pursuant to the Washington Family Care Act after three (3) continuous days of absence.

Article XIII. LEAVES OF ABSENCE, JURY DUTY, BEREAVEMENT LEAVE

Section 13.01 Leave of Absence.

The Company will comply with applicable state and federal laws relating to family or medical leave. Employees who need family or medical leave should advise Human Resources in advance when possible to do so. The Company may also grant extended personal leaves in unusual circumstances, subject to its policy at the time of the leave request.

Section 13.02 Military Leave.

Military leave is available in compliance with the Company’s policy at the time of the leave and with state and federal law.

Section 13.03 Bereavement Leave.

Employees who are on the active payroll and take time off work during his/her normal work schedule will be given twenty four (24) hours off with pay at his/her straight time base rate, including shift premium and applicable premium pay for each occurrence. The purpose of this benefit is to allow the employee sufficient time to take care of personal matters related to the death of a member of your immediate family and/or to attend memorial services. Documentation of proof of the death may be required. Eligibility begins after ninety (90) days of employment. Days of employment through a temporary agency shall be counted as days of employment at the Company for the purposes of this benefit.

Bereavement leave must be taken on consecutive workdays as selected by the employee within twenty (20) calendar days following the death.

Immediate family includes the employee's spouse, domestic partner, child, sister, brother, mother, father, grandparents, grandchildren, or corresponding step relation, and the employee's mother-in-law and father-in-law.

At the Company’s discretion, additional unpaid time off may be arranged with a supervisor or department manager.

Section 13.04 Jury Duty.

If an employee is called to serve on jury duty, the Employer will give leave for the time the employee is required to be away from work to serve on a jury. The Company will pay an employee up to eighty (80) hours of their regular wages for jury duty.

If an employee is subpoenaed to provide testimony or other evidence in a criminal prosecution, the Company will give leave for the time the employee is required to be away from work. The Company will pay an employee up to eight (8) hours of their regular wages for each subpoena in a criminal prosecution.

Employees are required to call the attendance line each day of their absence. An employee may only receive up to eighty (80) hours per year for any time paid for jury duty or to honor a subpoena in a criminal prosecution. Jury duty or time away from work pursuant to a subpoena beyond these times will be unpaid. Eligibility begins after ninety (90) days of employment. An employee, who has been summoned for jury duty or subpoenaed, must present a copy of the summons or subpoena to their supervisor as soon as possible after receipt.

If an employee (regardless of shift assignment) is called for jury duty or subpoena, his/her shift assignment will be considered as first shift, with a start time of 8:00 a.m. The effect of this would be if an employee is called for jury duty and released before noon, he/she would be required to return to the plant and work until 4:30 p.m.

Section 13.05 Union Business.

The Company will make employees available on an unpaid basis for Union related training, as long as it is consistent with the business needs and will not impact production. Absence request will not be unreasonably denied.

Section 13.06 Leave Verification.

The Company may request written verification and/or documentation of the need for any leave under this Article.

Article XIV. HEALTH, WELFARE, RETIREMENT AND OTHER BENEFITS

Section 14.01 Health and Welfare and other Insurance.

The Company agrees to make available for eligible bargaining-unit employees life insurance, accidental death and dismemberment benefits, short term disability benefits, medical benefits, dental benefits and vision benefits. The Company will pay the full cost of Life Insurance, Accidental Death and Dismemberment benefits, and short term disability benefits, for eligible bargaining unit employees for the duration of the Agreement. The benefits and employee contributions for 2014 are listed in Appendix A.

(a) Continuation of Benefits during Leave of Absence. An employee’s health, dental, vision and life insurance benefits may continue while he or she is on leave of absence for the month in which the leave begins. The employee must still pay the employee portion of the premium while on leave.

Section 14.02 Modifications.

The Company retains full discretion to modify or discontinue benefits in Article at any time. The Company commits that the benefits provided will not, for the term of this agreement, be less than provided for non-bargaining unit employees.

Section 14.03 Quality Health Care Commitment.

The Company and the Union will meet at least annually to assess health care costs and quality.

Article XV. Retirement Plan

Section 15.01 401(k).

Eligible employees may also participate in the Company’s 401(K) Retirement Plan. See AIM AEROSPACE, INC. 401(K) Retirement Plan—5-24239 Plan Summary. This will include the Company’s traditional match at no less than any other AIM employee(s).

Article XVI. SENIORITY

Section 16.01 Attainment of Seniority.

Employees shall not attain seniority until they have completed ninety (90) days, after which time their seniority shall date from their date of hire. The ninety (90) day probationary period may be extended by mutual agreement in writing between the Company and the Union. Grievances of probationary employees and employees who have lost seniority are not subject to the grievance procedure.

Section 16.02 Application of Seniority.

The seniority of all bargaining unit employees shall be plant-wide with respect to other employees in the respective classifications. Seniority shall apply in terms of lay-off, provided the senior employee is best qualified to perform the available work, including interdepartmental skills, as determined by the Company. Recall shall use the same criteria as lay-off.

Section 16.03 Loss of Seniority.

An employee shall lose seniority if s/he:

(a) Has been on lay-off for more than 180 days; or

(b) Fails to respond to the Company within three (3) working days of the employee receiving notice of lay-off recall by certified mail, return receipt requested; or

(c) Fails to report to work without giving proper notification for two (2) or more consecutive workdays (does not include weekends); or

(d) Voluntarily quits, is terminated, retires, or fails to return within three (3) working days from an authorized leave of absence (LOA).

Employees are responsible for keeping the Company informed of current address and contact information, for purposes of this Article.

Article XVII. OPEN DOOR AND GRIEVANCE PROCEDURE

Section 17.01 Open Door.

When an employee has a concern, complaint, or an idea for improvement, employees are encouraged to first seek assistance from his or her immediate supervisor. If an employee's complaint involves his or her supervisor, employees are encouraged to discuss complaints with the next higher level of management. The employee may discuss a complaint at any time with the HR Department or may ask a HR representative or another manager to be present during a complaint discussion with any level of management. The Company and the Union will support informal and prompt solutions to problems that employees might encounter prior to involving the Union. This does not preclude a member’s right to Union Representation under the law or grievance procedure.

Section 17.02 Definition.

A grievance is a dispute over the interpretation or application of this Agreement including whether the Company had just cause to discharge an employee. The parties agree that just cause, as used in this agreement, does not require progressive discipline prior to discharge in all instances. The procedure for considering and resolving grievances is as follows.

Section 17.03 Grievance Steps.

(a) Step 1

Grievances must be submitted to the Company in writing by the Union within fourteen (14) work days from the first occurrence on which the grievance is based or from when it could have first been discovered by the affected employee or Union. The written grievance must specify the nature of the alleged violation and the provision(s) of the Agreement that are involved and the resolution sought. The Company shall have ten (10) work days to respond in writing to the grievance.

(b) Step 2

If the grievance is not resolved in Step 1, or the Company does not provide a timely response, the Union may, within seven (7) work days after the Company’s response is due, request the Company, in writing, to convene a meeting to discuss the issue. Present at the meeting shall be the grievant, if available, a Union Business Representative, and a senior management representative. In cases of employee termination or suspension without pay, the parties will waive Step 1 of the grievance process and begin with Step 2. This does not waive the requirement that the Union file a grievance within fourteen (14) work days.

The grievance meeting shall take place within seven (7) work days after the Company receives the Union’s notice. The meeting shall be scheduled with reasonable consideration to preserve the Company’s normal work schedule. The meeting shall be informal and efficient.

The Company may give a written answer to the Union within seven (7) work days from the date of such meeting.

(c) Step 3

If the Company does not provide a written answer, or the Company’s decision is unacceptable to the Union, the Union may, within twenty (20) work days, notify the Company of its decision to appeal the decision to arbitration. An impartial arbitrator shall then be appointed by mutual agreement of the parties, or failing such agreement within seven (7) work days, a request shall be initiated to the Federal Mediation and Conciliation Service to submit a panel from Washington and Oregon of eleven (11) names from which a selection shall be made by the parties striking one person on the panel alternately with the last person remaining to serve as the impartial arbitrator. If the parties agree, a permanent collection of nine (9) arbitrators may be retained for this purpose.

The fees and expenses of the arbitrator will be paid by the losing party. The parties agree that the arbitrator has the authority to determine appropriate proration of this cost in the event of a split decision and award. Each party is responsible for the cost and expenses (including attorney’s fees) of their own witnesses and representatives. The decision of the arbitrator will be final and binding on the Company and the Union.

The arbitrator shall not have authority to modify, expand, or limit the provisions of this Agreement, or to impose any obligation on the Union or the Company not expressly contained in the terms of this Agreement. The parties agree that the arbitrator’s authority is limited to interpretation of the express terms of this Agreement.

The arbitrator shall deny any grievances that are initially untimely, and shall deny those that are not moved to the next higher step within the time limit prescribed. Time limits may be extended by written agreement of the Company and the Union.

The arbitrator may not render an award that requires the employer to pay a discharged or suspended employee for time that the employee has not actually worked in excess of the wage and benefits the employee would have earned had he worked his normal schedule during the one hundred twenty (120) calendar days immediately following the date of discharge or suspension.

The arbitrator shall issue its decision within thirty (30) calendar days of close of the hearing or receipt of briefs.

A Union Representative may enter the facility when necessary to investigate or resolve a grievance, if the representative has obtained management’s prior approval from a management designee (list to be provided). Approval will not be unreasonably denied. The Union Representative will comply with all normal requirements for visitors in effect at that time, e.g., sign-in, escort in work areas, confidentiality agreement. The Union reserves all other rights of access it may have under federal law.

Article XVIII. SAFETY RULES

Section 18.01 Mutual Objective.

The Union and Company recognize the value of working together to maintain high standards of occupational health and safety throughout the Company. Both parties commit to work together to create an environment which promotes a positive approach to processes, attitudes and activities that bring about the changes necessary to achieve a workplace free of incidents, accidents and injuries. It is our intent that no employee shall be required to perform work that involves an imminent danger to health or physical safety.

(a) Health and Safety in the Workplace.

The Union and the Company are committed to working together to maintain a healthy and safe workplace. Both parties agree that all employees should be actively involved in creating a safe workplace and complying with all applicable safety and health policies and procedures. It will be the responsibility of all employees to ensure that all areas of the facility are maintained in a clean, safe and sanitary condition.

Section 18.02 Safety Committee.

There shall be a Safety and Health Committee organized and operated in accordance with state requirements. This Committee shall meet on a monthly basis at a minimum, and in a manner that allows for participation from employees working all shifts, and will be responsible for resolving safety concerns. The Company and the Union shall each appoint two (2) focals of the Company to the Safety Committee.

The Union may also designate a Union Representative or appropriate delegate as the Union’s focal point. The Union’s focal point will represent the Union at health and safety regulatory agency site reviews when required by the safety regulatory agency.

The Company shall provide reasonable administrative support for the Committee. Time spent by members of the Committee at the request of the Company shall be considered paid work time. The Committee shall perform its tasks during normal work hours, to the extent possible.

Section 18.03 Use of Safety Devices.

(a) The Company will furnish proper, modern, and sanitary safety devices for all employees working on potentially hazardous work. The Company agrees to provide reasonable accommodations for an employee requiring special safety needs. The Company will replace employee prescription safety glasses (that conform to OSHA requirements) accidentally and irreparably damaged while performing their job assignment.

(b) The Union and the Company have a longstanding commitment to individual employee safety and regulatory compliance. This commitment extends to issues regarding personal protective equipment and safety devices and the value of working together to create an injury free workplace. The Company and the Union will meet to discuss a reimbursement program if the use of personal protective equipment is mandated.

Section 18.04 First Aid Stations

The Company will maintain emergency first aid stations/service.

Section 18.05 Transportation of Injured Employees.

When an employee at work requires immediate medical attention due to an industrial injury/illness or exposure to hazardous agents in the work environment, the Company will provide the transportation to and from the appropriate medical facility if necessary. If such an employee is returned to his/her work location and is unable to use his/her normal transportation home, the Company will provide that transportation.

Section 18.06 Drug and Alcohol Testing.

The Company may require any applicant or employee to undergo drug and/or alcohol testing at any time, and may deal with positive test results under the terms of the Company’s policy, as in effect at that time. Any drug and alcohol testing program will include generally accepted testing procedures. An employee who tests negative will be fully compensated for any time spent on a testing procedure.

The Employer agrees to make available information on an Employee Assistance Program available to employees.

Article XIX. MISCELLANEOUS

Section 19.01 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 19.02 Quality, Efficiency and Productivity.

The Union and the Company are both committed to promoting quality, efficiency and productivity. Any employees of the Company, including supervisors, may be assigned to work on any tasks without restriction. This provision shall not be used to intentionally cause a layoff of any employee or a reduction in the regularly scheduled hours of any employee covered by this Agreement. Additionally, non-bargaining unit employees will only do bargaining unit work on an extended basis for legitimate training or quality control purposes, when bargaining unit staff are not available due to weather, illness or unexpected staff shortages, to meet compelling business demands. Non-bargaining unit employees may also work on special lean events or projects such as department 6S activities, and engineers and technicians who are working on research, and new program development projects conducted at Company expense. The Company will notify the Union of any material, new, special lean projects and discuss the effects on employees, if requested.

Section 19.03 Company Access.

The Union acknowledges that property provided by the Company (such as, but not limited to desks, file cabinets, computers, computer files, e-mail, locker, and Company vehicles) is subject to Company access from time to time as the need arises, with or without prior notice. It further acknowledges that the Company may search any personal property an employee chooses to bring to work, if it has a legitimate business reason. The Company will not use this provision for the purpose of harassment of any employee.

Section 19.04 Facility Access.

Employees are not allowed inside any Company facility other than during their normal work. No employee is to be in any facility alone.

Section 19.05 Equal Employment Opportunity.

Both the Employer and the Union are committed to giving equal opportunity to all qualified persons. Therefore, all individuals will be recruited, hired, assigned, advanced, compensated and retained on the basis of their qualifications and performance and will be treated equally in these and all other respects without regard to race, color, religion, sex, age, national origin, marital or military status, sexual orientation, physical, mental or sensory disability, gender identity and genetic information or any other bases protected by federal, state or local law. It shall be considered the responsibility of all supervisory employees to further implement this policy and ensure conformance by their subordinates by taking all necessary steps to eliminate the possibility of any improper discrimination against employees and applicants in all categories and levels of employment. All personnel will work actively to maintain a work place that is free of arbitrary discrimination in all categories and at all levels of employee relations. All employees are expected to refrain from any activities that are discriminatory in nature.

Section 19.06 Driving & Personal Vehicle Use

It is the responsibility of any AIM employee who drives his or her own vehicle on official AIM business to provide proof of license and current insurance coverage prior to use, this information will be kept on file. Use of a personal vehicle for AIM business is allowed only with the direct supervisor or manager’s approval. To obtain mileage reimbursement, submit an approved reimbursement form to the account Department. All employees driving on AIM business must follow the phone policy below:

(a) Cell phones can be a valuable tool for servicing our customers. However, all employees using cell phones (whether AIM-provided or personal) may not be used to conduct AIM business while driving. If you have a hands-free telephone device you may use it while driving, otherwise, should you need to use your cell phone, you must pull off the road, park and make or receive the call. Reading, typing or sending a text message, while driving, is strictly prohibited by law.

Article XX. NO STRIKE, NO LOCKOUT

Section 20.01 No Strike.

During the term of this Agreement, neither employees, the Union nor any of its agents will call, sanction, authorize, or engage in any strike, interruption of work, sympathy strike, unfair labor practice strike, picketing (including any refusal to cross any other labor organization’s or other party’s picket lines), slowdown, or concerted or individual interruption of the functions of the Company.

(a) In the event of any conduct in violation of the above, the Union shall be subject to financial liability for such violation unless the Union does the following:

(i) Immediately after the beginning of such violation, declare publicly that such action is unauthorized and is a violation of this Agreement; and

(ii) Promptly order its members to return to work, notwithstanding the existence of any picket line.

(b) The Company retains the right, and may freely exercise it, to hire replacements for those who are disciplined or discharged for conduct in violation of this Article.

Section 20.02 No Lockout.

The Company agrees that it will not initiate or maintain a lockout of employees. Any action of the Company in closing the plant during a general strike, riot, or civil commotion for the protection of the plant, operations, property and/or employees shall not be deemed a lockout. The Company also retains the right to close the plant for other legitimate business reasons.

Article XXI. SEPARABILITY

If any term or provision of the Agreement is, at any time during the life of the 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.

Article XXII. SUCCESSORS AND ASSIGNS

If ownership of the Company is transferred, the Company will provide the Union with any necessary contact information for any successor owner that plans to operate the business. Nothing in this provision shall limit or reduce other rights or obligations of the parties under the National Labor Relations Act.

Article XXIII. EFFECTIVE DATE AND DURATION

This Agreement shall become effective as of 12:00 AM, April 25, 2014, (which date is the date as of which this Agreement was executed, sometimes referred to as the “effective date of this Agreement”) and shall remain in full force and effect until midnight at the close of May 1, 2018, and shall automatically be renewed for consecutive periods of one (1) year thereafter, unless either party shall notify the other in writing at least sixty (60) days, but not more than ninety (90) days, prior to May 1, 2018, of any calendar year, beginning with 2018, of its desire to terminate the Agreement, in which event this Agreement shall terminate at midnight at the close of May 1, 2018, unless renewed or extended by mutual written agreement. In the case of such notice, the parties agree to meet immediately thereafter for the purpose of negotiating a new Agreement or written renewal of this Agreement.

On behalf of the collective bargaining unit for which, respectively, the undersigned is the certified collective bargaining agent, each of the undersigned as of the date stated above and as a party to the foregoing Agreement hereby accepts and agrees to the terms and conditions thereof.

AIM AEROSPACE SUMNER, INC. IAM&AW DISTRICT LODGE 751

_________________________ _____________________________

John Feutz, President Jon Holden, District President

AIM Aerospace Sumner, Inc. And Directing Business Representative

_________________________ _____________________________

Randy Zeiler, President Brett Coty, Business Representative

Allied Employers, Inc.

_____________________________

Christie O’Farrell

Committee Member

_____________________________

Grant Billups

Committee Member

_____________________________

Gregory Clark

Committee Member

_____________________________

Timothy Rivera

Committee Member

Appendix A

Additional Benefits--Please see Summary Plan Descriptions for actual details:

A. Group Benefit Programs:

Company agrees to provide IRS Code 125 benefits for employees-this includes pre-tax dollars for the employee’s portion of health and benefit premiums (POP). This does not include pre-tax flexible spending accounts.

B. Cost Sharing:

The Company agrees to maintain the following employee contribution percentages for the term of the Agreement:

· Employee-5%

· Employee + Spouse-15%

· Employee + Children-15%

· Employee + Family-20%

C. Dental:

Deductible--$50 per individual/$150 max per family

Preventive--100%--deductible waived

Basic Services--80%

Major Services--50%

Annual maximum--$2,000 per individual

D. Basic Life and AD&D:

Employee Basic Life--2 X base annual earnings up to $200,000

AD&D--Up to the basic life amount

Age Reduction Schedule--65% at age 65/50% at age 70

E. Short Term Disability: (for non-work related injury or sickness)

Benefits Begin-- After 7 days disability

Benefits Payable-- Up to maximum of 26 weeks

Percentage of Income Replaced—60% of base salary

Maximum Benefit--$350 per week

F. Vision:

Part of medical plan—see Medical comparison document)

G. Tables:

Table 1. 2014 Base Plan

	2014 Base Plan Share
	Monthly
Coverage	Total Premium	Company	Employee
Employee	$ 479.41	$ 456.78	$ 22.63
Employee+Spouse	$ 990.85	$ 846.25	$144.60
Employee+Family	$1488.53	$1196.20	$292.33
Employee+Child(ren)	$ 977.09	$ 834.56	$142.53

Table 2. 2014 "Buy Up" Plan

	2014 Buy-Up Plan Share
	Monthly
Coverage	Total Premium	Company	Employee	Buy-up
Employee	$ 515.63	$ 456.78	$ 58.85	$ 36.22
Employee+Spouse	$1068.63	$ 846.25	$222.38	$ 77.78
Employee+Family	$1606.48	$1196.20	$410.22	$117.89
Employee+Child(ren)	$1053.43	$ 834.56	$218.87	$ 76.34

Table 3. 2014 Base Plan and Buy-Up Plan Deductibles

2014 Base Plan Yearly Deductibles
Employee	$1,000
Family	$2,000

2014 Buy-Up Plan Yearly Deductibles
Employee	$350
Family	$700

Appendix B

Wages

	Category	Tenure	Category maximum wage
		Milestone	1^st Year (4/28/14)	2^nd Year (TBD)	3^rd Year (TBD)	4^th Year (TBD)
	Contractor	0 to 2 Months	N/A	N/A	N/A	N/A
	Trainee, mfg - AIM direct hire	Conversion	$ 10.25	$ 10.35	$ 10.45	$ 10.55
	Trainee, mfg	3 Months	$ 10.50	$ 10.60	$ 10.70	$ 10.80
	Manufacturing	6 Months	$ 11.00	$ 11.10	$ 11.20	$ 11.30
	Manufacturing	9 Months	$ 11.10	$ 11.20	$ 11.30	$ 11.40
	Manufacturing	12 Months	$ 11.60	$ 11.70	$ 11.80	$ 11.90
	Manufacturing	18 Months	$ 12.10	$ 12.20	$ 12.30	$ 12.40
	Manufacturing	2 Year	$ 12.60	$ 12.70	$ 12.80	$ 12.90
	Manufacturing	3 Year	$ 13.30	$ 13.40	$ 13.50	$ 13.60
	Manufacturing	Annual, 4+ Years *		*	*	*

	Contractor	0 to 2 Months	N/A	N/A	N/A	N/A
	Trainee, QA - AIM direct hire	Conversion	$ 10.25	$ 10.35	$ 10.45	$ 10.55
	Trainee, QA	3 Months	$ 10.65	$ 10.75	$ 10.85	$ 10.95
	Quality	6 Months	$ 11.35	$ 11.45	$ 11.55	$ 11.65
	Quality	9 Months	$ 11.65	$ 11.75	$ 11.85	$ 11.95
	Quality	12 Months	$ 12.50	$ 12.60	$ 12.70	$ 12.80
	Quality	18 Months	$ 13.50	$ 13.60	$ 13.70	$ 13.85
	Quality	2 Year	$ 14.65	$ 14.75	$ 14.90	$ 15.05
	Quality	3 Year	$ 15.90	$ 16.00	$ 16.20	$ 16.35
	Quality	Annual, 4+ Years *		*	*	*

	Contractor	0 to 2 Months	N/A	N/A	N/A	N/A
	Trainee, Support - AIM direct hire	Conversion	$ 10.25	$ 10.35	$ 10.45	$ 10.55
	Trainee, Support	3 Months	$ 10.50	$ 10.60	$ 10.70	$ 10.80
	Support	6 Months	$ 11.00	$ 11.10	$ 11.20	$ 11.30
	Support	9 Months	$ 11.20	$ 11.30	$ 11.40	$ 11.50
	Support	12 Months	$ 11.70	$ 11.80	$ 11.90	$ 12.00
	Support	18 Months	$ 12.20	$ 12.30	$ 12.40	$ 12.50
	Support	2 Year	$ 12.95	$ 13.05	$ 13.15	$ 13.25
	Support	3 Year	$ 13.70	$ 13.80	$ 13.90	$ 14.00
	Support	Annual, 4+ Years *		*	*	*
		* Annual increase:		2.75%	2.75%	2.75%
Notes and conditions:
	- These are base wages, any shift and/or lead differential is added on top of the base wage
	- Employees who are over scale or at the Annual, 4+ year step will receive an annual increase using the percentage applicable to the year as noted above.

	- At Ratification employee wages will be adjusted to the applicable rate noted above, or awarded a 3.5% increase whichever is greater.