It is agreed at 12:01 am on May 1, 1995, to establish a three (3) tier chain gang pool at Superior, Wisconsin to handle all service currently handled by the unassigned chain gang pool.

It is understood that the three (3) tier freight pool system is not intended to change or modify existing schedule rules and/or Memorandum of Agreement's between the Carrier and the BLE organization.

Engineers will be allowed to bid on A, B, or C, pool by job selection. Engineers must specify chain gang A, chain gang B or chain gang C on job selection. The entire pool will be regulated between 4133-4788 miles. Regulation will be made at 12 noon on Thursday's jointly by the Carrier and the BLE Local Chairman. Emergency adjustments may be made, if required.

Pool size will be determined before implementation.

Engineers cannot make seniority moves within the same pool.

1). One of the pools will always be on five days rest. Each pool 'A', 'B' and 'C' will have the same five days rest every half. 'A' pool the first through the fifth and the sixteenth through the twentieth, 'B' pool the sixth through the tenth and the twenty-first through the twenty-fifth and 'C' pool the eleventh through the fifteenth and the twenty-sixth through the thirtieth. Example; April 1995 (Attach A). B & C pools will work April 1 through 5, then 'B' pool will start their five days rest as they will have completed their ten days active service which they started on 3/26. 'A' pool would then be activated at 0001 on 4/6 for their ten days. On 4/10 at 0001 C' pool would be put to their five days rest and 'B' pool reactivated. There will always be a pool on five days rest and at the close of each five day rest period there will be a fresh pool reactivated. Active pools will be subject to call until 2359 of he tenth day of their active period. If a turns trip runs into their rest days they must complete the round trip. Any active crews remaining on the board on the tenth day at 0000 or returning for rest will be placed on days off in the order in which they tied up from active service.

'D' POOL

2). When crews start their rest days they may elect either in writing or via fax, their individual desire to be placed on the 'D' pool. They could then be called for emergency chain gang service during their rest period. (Emergency chain gang service is work that would have normally gone to chain gang under the current system). The 'D' pool runs in rotary fashion, first-in, first-out. A person opting for 'D' pool service must stay in the pool until they have made at least one round trip and bidding off or until the completion of the five days rest. If a person lays off for any reason or misses a call while on the 'D' pool they will not be allowed to mark to the pool again until their next five day rest period. Engineer's must mark to 'D' pool upon tie up before their rest period or must enter the 'D' pool between the hours of 10:00am and 11:59pm during their rest cycle.

3). The process regarding the additions to, and reductions of Engineer assignments in the 3 tier (10/5) through freight pool service is to keep three pools as evenly staffed as possible. It will be necessary, and it is the intention of this document, to assure that the crews within the pools will not vary by more than one (1) turn at any given time.

4). Seniority rules of the Memorandum of Agreement, etc. Refer to Article 700 - Seniority Rules; rules numbers 701.3(4), 701.3(5), 701.3(6)1701.3(9).

Vacations will be handled with current procedures in place.

ADDING OR REDUCING CREW TURN FOR THE 3 TIER POOL SYSTEM

Side letter - Board placement when adding truns, when crews return from rest cycle.

5). If it is necessary to pull one turn from the 3 tier pool system and the crew turns are even, the youngest engineer will be displaced in accordance with existing schedule rules pertaining of the prevailing agreement under which he/she is currently working. This will apply to the most recently activated pool.

If it is necessary to pull one turn from the 3 tier pool system and the pools are uneven; two pools have the same number of turns and one pool has a greater number of turns, then the youngest person will be pulled in accordance with existing schedule rules pertaining to the craft in which he/she is currently working, from the pool with the greater number of turns regardless of status, (i.e., whether it is activated or deactivated).

If it is necessary to pull one turn from the 3 tier pool system and the pools are uneven; 2 pools have the same number of turns and one pool has a fewer number of turns, then the youngest person will be pulled in accordance with existing schedule rules pertaining to the craft in which he/she is currently working, from the most recently activated pool only if the two pool that have the same number of turns are in active status. However, if only one pool of the two pools with the greater number of turns is in active status and the other pool of the two pools that have the greater number of turns is in deactivated status, then the pool in the activated status will have one turn pulled.

If it is necessary to add a turn to the 3 tier pool system and the pools are even; then the turn will be added in accordance with existing schedule rules to the pool which was the most recently activated pool.

If it is necessary to add a turn to the 3 tier pool system and the pools are uneven, whereas one pool has a greater number and the other two pools have a lesser but even number; then the turn will be added in accordance with existing schedule rules to the most recently activated pool if both of the two pools that have the lesser number of turns are in activated status. However, if only 1 of the two pools with the lesser number is in active status and the other is in deactivated status, then the turn will be added to the pool in active status. If it is necessary to add a turn to the 3 tier pool system and the pools are uneven, whereas two pools have a greater but even number of turns and one pool has a lesser number; then the turn will be added to the one pool of a lesser number in accordance of the existing schedule rules regardless of it's status. (i.e., whether it is in activated or deactivated status).

ADDING OR REDUCING 2 TURNS FOR THE 3 TIER POOL SYSTEM

If it is necessary to pull 2 turns from the 3 tier pool system and the pools are even; then the two turns will be pulled in accordance with the existing schedule rules pertaining to the each craft, from the one pool in deactivated status, and from one turn in active status which stands to be the next pool to be deactivated.

If it is necessary to pull two turns from the 3 tier pool system and the pools are even, then the two turns will be pulled in accordance with the existing schedule rules pertaining to the each craft, from the one pool in deactivated status, and from one turn in active status which stands to be the next pool to be deactivated.

If it is necessary to pull two turns from the 3 tier pool system and the pools are uneven, whereas two pools have a greater but even number and one pool has a lesser number; then the two turns will be pulled in accordance with the schedule rules pertaining to each craft, from the two pools with the greater number of turns regardless of its status (i.e., whether or not it is activated or deactivated). The second turn will be pulled from the pool that stands to be next for deactivation, only if the first turn that was pulled in the pool with the greater number of turns, was in a deactivated status. However, if the first turn that was pulled in the one pool with the greater number of turns, and that pool was in activated status, then the second turn to be pulled will be from the two pools with the lesser but even number of turns that also is in activated status.

If it is necessary to add two turns to the 3 tier pool system and the pools are even; then the two turns will be added in accordance with the existing schedule rules, to the two pools that are in activated status.

If it is necessary to add two turns to the 3 tier pool system and the pools are uneven, whereas the two pools have a greater but even number of turns and one pool has a lesser number of turns; then the first turn will be added in accordance with existing schedule rules for each craft to the one pool with the lesser number of turns regardless of that pools status. (i.e. whether it is activated or deactivated). The second turn will be added to the most recently activated pool of the two pools with the greater but even number of turns, in accordance with the existing schedule rules for each craft, only if the pool with the lesser number of turns is in activated status then the second turn to be added will be to one pool of the two pools with the greater number of turns in activated status.

If it is necessary to add two turns to the 3 tier pool system and the pools are uneven; whereas one pool has a greater number of turns and the other two pools have a lesser but even number of turns; then the two turns will be added to the two pools with the lesser but even number of turns regardless of their status, (i.e. whether they are activated or deactivated).

It is understood this Agreement may be canceled by either party upon 5 day written notice to the other party of their desire to do so.

Q. When would the crew office use the 'D' pool?

A. When the active pool is exhausted or there are no rested active crews.

Q. What if there are no crews available in the 'D' pool and a crew is needed?

A. The current normal procedures in place for securing extra people will be used.

Q. If an individual lays off from the 'D' pool for any reason, when would he/she be allowed back in the 'D' pool?

A. They would be disqualified from 'D' pool service for the remainder of their five day rest period.

Q. If a person on rest days is working the 'D' pool and returns from 'D" pool service after their regular turn has been activated and called or they are not rested for their turn, would they be paid difference in earnings?

A. Yes.

A. Just as they normally are, which is for lay offs, personal leave, vacation vacancies, outlying point and for short dogcatches up to a basic day and work trains six days or less. (Short dog catches and work trains are the only change here).

Q. What becomes of the six hour rule at Staples and Northtown?

A. The six hour rule will remain in effect.

Q. How do we prevent runarounds?

A. Crews would have to be managed in the same manner as they currently are.

Q. What would the anticipated rest away from home be?

A. 0 to 12 hours at Cass Lake and Staples and 0 to 14 hours at Northtown.

A. Hours of service are unchanged - Rests may be shorter but will always comply with the Hours of Service Law.

Q. How will the pools be regulated in regard to GN/NP when adding to and reducing the pools?

A. When reducing and one pool has a greater number of crews than the other two pools, the youngest GN/NP will be pulled from the pool with the greater number of turns regardless of its status. If it is necessary to pull a turn and the pools are even the youngest turn GN/NP will be pulled from the most recently activated pool.

Q. How many miles will crews make under this system?

A. Miles will be regulated as they currently are, within the agreed to mileage limitations. Miles per half should be unchanged.

Q. Will engineers be allowed to bid to each pool through the job selection system?

A. Yes. (refer to Article 700 - Seniority Rules #701.3(1) #701.3(5). Each pool is a permanent regular assignment and the days off are considered a point of preference.

Q. How will an engineer displacing into the 3 tier through freight pool system to be placed?

A. An engineer displacing in to the 3 tier pool system will displace the junior engineer in the pool in which the senior engineer shows preference on their job selection sheet.

Q. In the event the engineer's extra board is exhausted, what process will be followed in filing a temporary vacancy?

A. In the even the engineer's extra board becomes exhausted this will be the process in filling the job.

1 - For yard assignments the yard engineers on regular assignments desiring emergency work will place themselves to the hog board where seniority will prevail. If no engineers are available on the hog board, then the work will go to the senior demoted engineer working at that location.

2. For road pools such as the 3 tier pool system, the emergency work will first go to the senior demoted engineer working at that location. If there is no demoted engineer available in Superior then the work will go to the 'D' pool engineers.

Q. What procedure is used to add and/or pull an engine turn(s) to the 3 tier pools, "A", "B", or "C".

A. Each pool is a regular permanent vacancy, to which turns added will go to the senior engineers showing preference to each pool on their job selection card. Each turn that is pulled will be the youngest engineer in the pool(s) that are being reduced and will be immediately reassigned upon notification to their next assignment according to their job selection card.