The Union and the Employer mutually covenant and agree hereto as follows: ARTICLE 1 PURPOSE

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1 THIS AGREEMENT entered into this 1st day of November, BETWEEN: AND: MAINLAND PAINTING LTD Anvil Way Surrey, British Columbia V3W4H7 (hereinafter referred to as the "Employer" or the "Company") CANADIAN IRON, STEEL AND INDUSTRIAL WORKERS' UNION, LOCAL 1 P.O. Box RPO Centre Point Mall Vancouver, British Columbia V5T 4E7 (hereinafter referred to as the "Union") WHEREAS the Employer and the Union desire to establish and maintain conditions which will promote an harmonious relationship between the Employer and the employees covered by this Agreement and to provide methods of fair and amicable adjustments of disputes which may arise between them; The Union and the Employer mutually covenant and agree hereto as follows: ARTICLE 1 PURPOSE 1.01 The purpose of this Agreement is to establish and maintain an orderly collective bargaining relationship between the Company and its employees, to set forth all agreements concerning rates of pay, hours of work and working conditions to be observed by the parties hereto, and to provide an amicable method of settling any differences that may arise in the interpretation, application, administration or alleged violation of the Agreement.

2 2 ARTICLE 2 SCOPE AND RECOGNITION 2.01 The Company recognizes the Union as the sole bargaining agent for all bargaining unit employees, excluding supervisors, office, and engineering staff of the Company Employee or employees wherever used in the Agreement shall mean respectively an employee or employees in the bargaining unit described in Article ARTICLE 3 UNION SECURITY 3.01 All employees covered by this Agreement must make application to become members in good standing of the Union and the Union agrees to issue membership. All new employees covered by this Agreement must apply to become members and must maintain membership in good standing in the Union as a condition of employment Upon written authorization from each employee, the Company agrees to deduct from the first pay of each month, from the earnings of every employee covered by this Agreement, a sum equal to the monthly dues set forth herein and remit same to the Financial Secretary of the Union not later than the fifteenth (15th) of the month in which the deduction is made, with a list, in duplicate, of the names of the employees to whom said monies are to be credited. Should any employee have no earnings due him or her on the first day of any month, such deduction shall be made from the next succeeding pay of the employee in question. Upon receipt of such deduction and list, said Financial Secretary shall receipt and sign one copy ofthe list and promptly return same to the Company. The Union dues are an amount equal to one and one-quarter (1-114) hours of pay received by each employee to whom this Agreement is applicable (it being understood that any employee who receives forty (40) hours payor more in any month shall have full dues deducted). Such dues shall not be changed except in

3 3 accordance with the provisions of the Constitution and By-laws of the Union, and in such event, said Financial Secretary shall notify the Company and Shop Steward in writing The Union recognizes the right of the Employer to hire its own employees. The Employer shall give the Union the opportunity to refer suitable applicants for employment. The Company shall give preference to laid-off employees. Employees seeking re-employment must maintain a current telephone number and address with the Company All new employees are subject to a forty-five (45) working day probationary period within the first six (6) month period. The Company may discharge a probationary employee if it considers the individual to be unsuitable, unqualified or for unsatisfactory performance. ARTICLE 4 MANAGEMENT RIGHTS 4.01 The Union acknowledges that all management rights and prerogatives are vested exclusively with the Company except as specifically limited by the provisions of the Agreement. The Company reserves any and all of its prior rights which have not been modified, limited, restricted or released by specific wording elsewhere in this Agreement. Employees who have completed their probationary period shall receive at least one written warning prior to disciplinary action resulting in dismissal. ARTICLES UNION REPRESENTATION 5.01 The Union will appoint a Shop Representative ("elected Representative") elected by shop employees who, in turn, may appoint one further alternate who shall not be discriminated against with respect to carrying out their lawful duties as elected Representatives. The Company shall be notified by the Union ofthe name of the elected Representative. When the elected Representative's immediate supervisor is notified, the Company agrees to pay reasonable time to the elected Representative to carry out his lawful and reasonable duties, during working hours, on site.

4 The Company agrees to allow other Union Representatives reasonable access to the Company's work premises, subject to site restrictions, provided that the request for such entry has been made to the Company prior to the entry. That permission shall not be unreasonably withheld. Union Representatives shall not in any way interfere with the normal operations Bulletin Board: The Union will have use of one bulletin board at the shop for the purposes of posting official Union notices. Such material may be posted only on the authority of the elected Representative or Union official. ARTICLE 6 GRIEVANCE PROCEDURE 6.01 The elected Representative and/or his alternate shall constitute the Shop Committee. They shall not be discriminated against for performing duties as hereinafter provided for. The Union shall notify the Company within fifteen (15) days after the signing of this Agreement of the names of its members who are appointed and shall within three (3) days notify the Company when changes occur Grievance as used in this Agreement is a complaint or unsatisfied request involving any matter relating to wages, hours or working conditions, including questions of interpretation or application of, or compliance with, the provisions of this Agreement The Company, employee or Union must present all grievances within five (5) calendar days from the date there is evidence of a grievance having occurred. Unless otherwise stated, the word "day" or "days" wherever used herein shall be deemed not to include Saturdays, Sundays, and paid holidays observed by the Company. The procedure for the adjustment of a grievance shall be as follows: Any employee who believes that he has a justifiable complaint or unsatisfied request may discuss the matter with management, with the elected Representative or his alternate present. At this stage the employee must clearly state that he is initiating a Grievance Procedure. Management shall give a reply within two (2) working days, or at a time mutually agreed upon.

5 Grievances not processed within five (5) working days shall be deemed to be settled on the basis of the last written reply to the Grievor. Failure to reply to the grievance within the agreed time limit shall mean that the grievance is conceded or abandoned and, in no circumstances unless mutually agreed in writing, shall time limits be extended or abridged All settlements arrived at under this Article shall be final and binding upon the Company, the Union and the employees or group of employees concerned The Union or the Company shall have the right to initiate a group grievance or a grievance of a general nature Insofar as possible, all grievances and disputes not settled as provided for in Step 1 of this Article shall be taken up on the same one day of each week to be mutually agreed upon. Grievances necessitating immediate action shall be handled during working hours without loss of pay to the Shop Committee The elected Representative or his alternate provided for and mentioned in this Article 6 shall have and possess power and authority to act for and bind the Union only in connection with those functions, rights, obligations and matters provided for in this Agreement. They shall not have, or be deemed to have, any other authority to act for or bind the Union. ARTICLE 7 ARBITRATION 7.01 Any differences or disputes between the Company and the Union, or between the Company and an employee or employees, relating to the interpretation, application, administration or alleged violation ofthis Agreement, including any question as to whether or not a matter is arbitrable, that has not been satisfactorily settled pursuant to the grievance procedure as set forth in the preceding section of this Agreement shall upon the written request of either party, which request must be made within fifteen (15) calendar days after the dispute in question has been processed pursuant to Step 3 of Section 6.03 of the preceding Article of this Agreement, be submitted to an Arbitrator, to be mutually agreed upon.

6 The Arbitrator shall hear and determine the difference or allegation and shall issue a majority decision in writing, such decision shall be final and binding upon the parties and upon any employee affected by it. The Company, the Union and the employees covered by this Agreement shall do or refrain from doing anything required of them by the decision of the Arbitrator. The expense of the Arbitrator shall be borne equally by the Company and the Union The foregoing provisions for arbitration are not intended and shall not be construed as in any way qualifying or making subject to change, any telid or condition of employment specifically covered by this Agreement, nor shall the Arbitrator have any authority to alter or change any of the provisions of this Agreement, or substitute any new provisions in lieu thereof, or make any decision inconsistent with the tenus and provisions of this Agreement. It is expressly understood and agreed that the foregoing provisions for arbitration shall not apply to any dispute as to tenus or provisions to be incorporated in any proposed new agreement between the parties. Any dispute between the parties as to the interpretation or construction to be placed upon the award made as hereinabove provided for shall be submitted to the Arbitrator who made the award, who may thereupon construe or interpret the award so far as necessary to clarify the same, but without changing the substance thereof, and such interpretation or construction shall be binding upon all parties. ARTICLE 8 NO STRIKE - NO LOCKOUT 8.01 The Company agrees that it will not cause or direct any lockout of its employees for the duration of this Agreement. The Union agrees that neither it not its representatives will, during the telid of this Agreement, authorize, call, cause, condone, or take part in any strike, picketing, sit-down, stand-in, slow-down or cwtailment or restriction of or interference with work in or about the Company's plant, premises, or places of work. The Union further agrees that any employee or employees participating in, taking part in, instigating or assisting in instigating such strike, picketing, sit-down, stand-in, or curtailment or restriction of production or interference with work in or about the Company's plant, premises, or places of work, for the duration of this Agreement, shall be subject to discipline or discharge. The tenu "slow-down" shall mean a condition of willful restriction or

7 7 reduction of production by an employee which is within such employee's reasonable contro!. ARTICLE 9 RE-ENGAGEMENT 9.01 The Company will make a reasonable effort to re-engage those employees on layoff who have previously been employed by the Company for more than sixty (60) working days by a telephone call to their last known telephone number and by a Security Registered and Acknowledgment of Receipt letter to their last place of residence on the records of the company. Employees must respond within twentyfour (24) hours of receipt ofletter by telephone A right to re-engagement under Article 9.01 shall be automatically terminated if the Employee: (a) quits; or (b) is discharged, and not reinstated in accordance with the provisions of this Agreement; or (c) is absent from work for three (3) or more consecutive days without notifying the Company, unless he gives reasons satisfactory to the Company for his failure to so notify; or (d) is absent from work due to illness or injury for a period of twenty-six (26) weeks or less without providing the company with a medical certificate from a qualified medical practitioner upon his return to work, certifying that the employee was incapable of working due to such illness or injury for a specified period of time which coincides with his absence from work; or (e) is laid offfor a period in excess of six (6) months; or

8 8 (t) fails to return to work within two (2) days after being given notice of recall; or (g) works for another employer while absent from his employment with the Company, except while on layoff; or (h) uses an authorized leave of absence for a purpose other than that for which the leave was granted; or (i) fails to return to work upon the expiration of an authorized leave of absence or vacation unless a reason satisfactory to the Company is given. ARTICLE 10 LEAVE OF ABSENCE The Company may grant a leave of absence to an employee without pay if, in the judgment of the Company, the proposed leave of absence can be arranged without undue inconvenience to normal operations, or in the case of emergency. ARTICLE 11 BEREA VEMENT LEAVE Bereavement pay of three (3) days only will be paid by the Company for a death in the immediate family: spouse, children, mother, father, brother, sister. One (1) day will be paid by the Company for the death of mother-in-law, father-inlaw. These days will be paid provided the employee attends the funeral. ARTICLE 12 LEA VE-OF-ABSENCE FOR UNION BUSINESS The Company may grant a leave of absence without pay to not more than two (2) employees, for a combined total period not exceeding thirty (30) days in any calendar year, to represent the Union at Union conventions, seminars and

9 9 education classes provided the Company is given thirty (30) days advance notice in writing by the Union and, in the judgment of the Company, such leave of absence can be arranged without undue inconvenience to normal operations The Company may grant a leave of absence without pay to not more than one (1) member ofthe Grievance Committee for the purpose of preparing for arbitration under Article 7 or other Union business provided the Company is given at least two (2) days advance notice in writing by the Union The Company may grant a leave of absence without pay to members of the Union's negotiating committee for purposes set out in Article 5.02 provided the Company is given at least two (2) days advance notice in writing by the Union. ARTICLE 13 HOURS OF WORK AND OVERTIME The standard hours of work for which each employee shall receive his regular basic hourly rate shall be eight (8) working hours in a day and forty (40) working hours in a week. Overtime at time and one-half(i-ii2) shall be paid for all hours worked in excess offorty (40) hours in a week A day shall commence at the start of an employee's shift and shall end twenty-four (24) hours later. A standard work week shall commence at 12:01 a.m. Sunday and end at 12:00 midnight on Saturday. All Saturday and Sunday work shall be paid at time and one-half (1-112) provided the employee has worked all available hours during the standard work week If the Company decides to work two (2) shifts per day with the second shift commencing in the afternoon, the employee on the shift commencing in the afternoon will be paid one-half (112) hour at the regular basic hourly rate upon completion ofthe full shift An employee who works more than four (4) hours in a day shall be entitled to a thirty (30) minute unpaid meal period and two (2) fifteen (15) minute coffee breaks at mutually agreeable times during such day. An employee who works four (4) hours in a day shall be entitled to one (1) fifteen (15) minute coffee break during such day at a mutually agreeable time. By mutual agreement

10 10 employees may leave fifteen (15) minutes early in place of one (1) coffee break Each employee is expected to work a reasonable amount of overtime if requested to do so by the Company and the employee is available to perform such work. An employee who works overtime shall not be required to take time off one (1) or more of his scheduled days of work to offset the work performed at the overtime rate, except by mutual agreement between the Company and the employee The Company shall endeavor to distribute overtime equitably among qualified employees except where in the Company's opinion it is not practical to do so An employee may, with Company approval, exchange a shift with another employee provided that the Company is given at least twenty-four (24) hours' notice in writing by both of the employees concerned. In the event that either or both of the employees fail to work the exchanged shifts, both employees shall lose their shift exchange privileges for thirty (30) days The Company does not guarantee hours of work or days of work per week; however, an employee who reports for work as scheduled is entitled to two (2) hours' pay if no work is available and he has not been advised in advance, except in cases beyond the Company's control. An employee who reports for and commences work as scheduled is entitled to a minimum offour (4) hours' pay. ARTICLE 14 VACATION AND PAID B OLIDA YS Employees shall be entitled to four (4%) percent statutory holiday pay based on total wages or salary earned, paid on every pay cheque. For employees having more than five (5) years continuous service with the Company the rate shall be six (6%) percent, and for those with ten (10) years or more the rate shall be eight (8%) percent The following are recognized statutory holidays for the purpose of this section:

11 11 New Year's Day Good Friday Victoria Day Canada Day Labour Day Easter Monday British Columbia Day Thanksgiving Day Remembrance Day Christmas Day Boxing Day An employee, to qualify for the above holiday pay, must comply with all of the following three conditions: (a) Have worked thirty (30) working days prior to the holiday; (b) Have worked his last scheduled shifts before and after the above noted holiday, and (c) Notwithstanding (ii) above, the employee must have worked on one (1) day before and one (1) day after the holiday, both of which must fall within a period of thirty (30) working days Recognized holidays will be paid at the employee's regular straight-time rate of pay The parties may agree to designate a day other than the calendar day for the observance of a paid holiday provided that when an alternative day is so designated the provisions of this Article shall apply to the alternative day and not the calendar day of the holiday An employee who is required by the Company to work on any of the above holidays shall be paid one and one-half (1-112) times his regular basic hourly rate for the time worked on such holiday in addition to the statutory holiday. ARTICLE 15 SAFETY AND HEALTH The parties hereto recognize the importance of safety provisions on the job for the welfare ofthe employees and the protection of the Company's property.

12 12 The Company agrees to make reasonable provisions for the safety and health of its employees during their hours of employment Any employee suffering injury while in the employ of the Company must report immediately to the Company, or as soon thereafter as possible. Employees injw ed on the job shall be paid for the balance of the work day. ARTICLE 16 TOOLS AND BOOTS Shop employees shall provide their own hand tools. CSA safety boots must be worn. A $60.00 boot and clothing allowance shall be paid annually on April 1st to all non-probationary employees Field work employees shall provide their own safety boots, white coveralls or pants and tool kit containing a clean pair of painters whites, pair of soft soled shoes, putty/broad/olpha knives, combination screwdriver, hammer, pull scraper (employer supply replacement blades), pair of pliers and duster. The Company may supply same and charge them to the Employee at cost. ARTICLE 17 TECHNOLOGICAL CHANGE 17.0 I In the event that the Company introduces a technological change which results in: (a) Displacement of employees from employment with the Company, the Company will cooperate with Canada Manpower training facilities to train such employees, if there are job openings within the Company and such employees have the necessary potential to fill the positions; (b) An employee being tenninated as a result of technological change will receive one (1) week's pay for each year of seniority in excess of three (3) years seniority to a maximum of eight (8) weeks. The above section does not apply when an employee retires, resigns or is discharged for just cause, nor does it apply when plant closure follows a labour

13 13 dispute. ARTICLE 18 WORKING FOREMEN The Company will be entitled to use working foremen who shall be members of the Union. ARTICLE 19 SA VJNG CLAUSE It is assumed by the parties hereto that each provision of this Agreement is in conformity with all applicable laws of Canada and the Province of British Columbia. Should it later be determined that it would be a violation of any legally effective federal or Provincial Order or Statute to comply with any provision or provisions of this Agreement, the parties hereto agree to renegotiate such provision or provisions of this Agreement for the purpose of making them conform to such federal or Provincial Order or Statute, and the other provisions of this Agreement shall not be affected thereby. ARTICLE 20 WAGES The Company and the Union agree that the wage schedule effective during the term of this Agreement shall be attached hereto as Appendix "A" The Company may create new classifications and assign duties for the classification; however, the wages shall be mutually agreed to, in writing, between the Company and the Union prior to implementation. ARTICLE 21 HEALTH AND WELFARE The Company agrees to pay 50% of each employee's premium for medical (MSP) plan, dental plan, and for $25, group life insurance and extended health.

14 The Company agrees to pay 50% of medical (MSP) for one month immediately following month of lay-off RRSP: The Employer will contribute $80.00 per month for all employees with at least one year of employment with the Company who themselves contribute a minimum of$50.00 per month to their RRSP The Company will pay an additional $0.50 per hour to any employee who signs, and adheres to, a contract stating that he/she will not smoke during working hours. ARTICLE 22 NOTICES Any notice in writing which either party gives to the other shall be by registered mail, postage prepaid, addressed as noted on the front of this Agreement Any notice provided in this Agreement to be mailed by registered mail shall be deemed given as of the next day after the date of mailing. The registration receipt shall establish the date of mailing The Company or the Union may change its address for service of notice at any time by notice as set out in this Article. ARTICLE 23 INTERPRETATION Unless otherwise stated, the word "day" or "days" wherever used herein shall be deemed not to include Saturdays, Sundays, and paid holidays observed by the Company.

15 15 ARTICLE 24 TERM The Agreement shall be effective November 1,2010 to October 31, 2013 and shall continue in force thereafter unless ninety (90) days' written notice is given to either the Company or the Bargaining Unit to commence collective bargaining for a new amended collective agreement. IN WITNESS WHEREOF the parties have executed this 51 Agreement at Surrey day of 6 c Io /J I::?Z-,2011., British Columbia, this a I MAINLAND PAINTING LTD. CANADIAN IRON, STEEL AND INDUSTRIAL WORKERS' UNION LOCAL # 1 /:l/' Per: ~~I'~~ Authorized Signatory

16 16 APPENDIX" A" WAGE RATES CATEGORY RATE May 1,2011 May 1,2012 May 1,2013 LEADHAND PAINTER $ PAINTER WITH TICKET PAINTER (NO TICKET) SANDBLASTER HELPER 1: HELPER 2: CLEANER 1: CLEANER 2: It is understood and agreed that the foregoing rates are minimum and do not preclude the Company from, at its sole discretion, paying more than the minimum rates. The above positions are not intended as work guidelines or trade guidelines, and employees may perform work in other positions or classifications in the event that work is, on an ongoing basis, performed in other classifications or positions. There will be no roll-back of wages for any employee as presently employed. The contract may be reopened in the second year to renegotiate wages only in light of the current economic climate.