November 5, 2007

Re: Facility Closing Agreement Reached

Dear CWA Local 1365 & 1366 Members,

Late in the afternoon of Friday, November 2^ND the Union and company reached an agreement on the terms for the closing of the North Andover facility and how our Members will be impacted by the closing.

First though, we really have to thank the C&T Office for their support, guidance and direction they afford us throughout this most difficult process and especially C&T Staff Rep Laura Unger, who worked with our Locals and was a driving force on our Bargaining Team in bringing forward, what we believe, is a very comprehensive agreement for all our Members. Without the assistance of all our great people at the CWA and C&T offices the bargaining process would have been much more difficult.

The highlights of the Agreement are:

• All CWA Represented Employees actively employed and affiliated with the Merrimack Valley Works will receive the MOA as per the 2004 Collective Bargaining Agreement (CBA).
• Exceptions will be those employees who may have been terminated for cause, terminated under long-term disability or death of employee.

• All downsizings will be done, initially, by volunteers as far as the company gets enough volunteers to complete the downsizing, if the company cannot get the numbers they need by volunteers; then involuntary reductions will be utilized.
• But, regardless of how a Represented Employees leave, voluntary or involuntary, the MOA will be applied.

• All voluntary and involuntary downsizing actions, dates and numbers, will be determined by the company.

• The company will buy back up to three (3) weeks of Represented Employees 2007 vacation. Once an employee advises the company of their intent to sell back their vacation time, such decision is irrevocable. If an employee chooses not to sell their vacation time then normal CBA conditions will apply; i.e.: carryover into 2008 or use at employees’ discretion through 2007.

• The local CWA ERC position/office will remain open for twelve (12) months following the last scheduled workday for all other CWA Represented Employees.

• During a downsizing in any corridor, Production & Maintenance (1365) or Clerical (1366), if any Member who would otherwise be involuntarily laid off will have the opportunity, at the company’s discretion, to volunteer for placement in the subsequent corridor (Local 1365 or Local 1366) where a vacancy exists. Under no circumstances can a Member from one Local Union bump or otherwise displace a Member from the other Local Union.

• In return the company will be allowed the use of the Temporary Worker Agreement to the extent necessary for their business needs. Business needs will be determined by the company.
• All Temp Workers must be removed from a particular universe before the company can initiate an involuntary downsizing within that particular universe.
• For the Temporary Worker Agreement purposes there are three (3) employee universes; Production & Test, Trades and Clerical.

• The company retains their right to identify employees who have “critical needs” to the operation of their business and delay such employees from voluntary or involuntary downsizings. Such action is current to our CBA and the company has the responsibility of providing the basis for critical needs decisions to the Union.

• The company expects the first downsizing event to happen before the end of 2007 with several to follow in 2008.

• The company’s plan is to have the facility closing completed sometime late 2008.

• The company will be arranging to have “all employee” meetings to explain to employees the impact and processes of the MOA and exit decisions.

If you have any additional questions that may have not been answered here please feel free to contact the Local Union office(s) or any Local Union Steward.

We do thank you for your patience through this very trying process.

Fraternally,

Gary Nilsson, Marcie Vincent,

President CWA Local 1365 President CWA Local 1366