ITF CRUISE SHIP MODEL AGREEMENT FOR CATERING PERSONNEL April Words in the masculine gender shall include the feminine.

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1 ITF CRUISE SHIP MODEL AGREEMENT FOR CATERING PERSONNEL April 2003 This Collective Bargaining Agreement ( the Agreement ) sets out the standard terms and conditions applicable to all Seafarers serving in any Ship in respect of which there is in existence a Special Agreement ( the Special Agreement ) made between the International Transport Workers Federation ( the ITF ) &... ( The Unions ) and... ( the Owners ). This Agreement is applicable and of full force and effect whether or not the Owners have entered into individual contracts of employment with any Seafarer. Words in the masculine gender shall include the feminine. Discrimination and harassment on the basis of gender, creed, race or sexual orientation are prohibited. The ITF Special Agreement requires the Owners/Company (inter alia) to employ the Seafarers on the terms and conditions of this Agreement, and to enter into individual contracts of employment with each Seafarer which incorporate the terms and conditions of this Agreement ( the Employment Contract ). The Owners/Company have further agreed with the Unions to comply with all the terms and conditions of this Agreement. The words Seafarer, Ship, Special Agreement, Union, ITF and Owners/Company when used in this Agreement shall have the same meaning as in the ITF Special Agreement. Article 2 - Employment, Mustering and Traveling Expenses 1. The Seafarer shall be engaged for a specific period that shall be stated in the Employment Contract, during which the Seafarer will serve on vessels covered by this Agreement. Prior to engagement, the Seafarer shall be interviewed and medically examined for fitness. Employment and mustering expenses and traveling from the place of hire to the place of embarkation shall be paid by the Owners/Company. The Seafarer shall be reimbursed for authenticated outlays for the medical

2 certificate. 2. After completion of service in accordance with the Employment Contract, the Owners/Company shall pay all repatriation expenses, except as stated in Article 2.3. Travel expenses consists of: airline, train and bus tickets, and, reasonable taxi, hotel and food expenses. Travel expenses paid by the Owners/Company shall not include the Seafarer s baggage in excess of the normal weight allowed by the air carrier. Any such excess baggage shall be paid for by the Seafarer. 3. The Owners/Company obligation to repatriate ceases if a Seafarer has been lawfully dismissed according to Article 5. Article 3 - Pay, Working Hours, Rest Hours and Overtime 1. General rules; The Seafarers pay rates are set out in the Pay Scale, Annex 1. The pay shall be in US dollars (USD). Pay accrues from and including the day the Seafarer commences service on board, and up to and including the day when the Seafarer signs off the ship. Each month the Seafarer is on board, the Seafarer shall be entitled to payment of one-hundred (100) percent of the Seafarers Monthly Total Consolidated Pay (Group A) and Monthly Total Guaranteed Pay (Group B) and any Extra Overtime Compensation (Groups B) remaining after approved deductions have been made. The wages shall be paid monthly. Any Seafarer, if he so desires, shall be allowed an allotment note, payable at monthly intervals, of up to 100% of his Wages after allowing for any statutory deductions. Each Seafarer shall have at least ten (10) hours off duty in each period of twentyfour (24) hours and seventy-seven (77) hours off duty in any seven (7) day period. The ten (10) hours of rest may be broken into no more than two (2) periods, one (1) of which shall consist of at least six (6) consecutive hours off duty. The interval between consecutive periods of rest shall not exceed fourteen (14) hours. This period of twenty-four (24) hours shall begin at the time a Seafarer starts work immediately after having had a period of at least six (6) consecutive hours

3 off duty. Musters, fire-fighting and lifeboat drills, and drills prescribed by national laws and regulations and by international instruments shall be conducted in a manner that minimizes the disturbance of rest periods and does not induce fatigue. 2. Seafarers covered by this Agreement shall be divided into four groups: Group A: Supervisors: The Monthly Total Consolidated Pay is calculated to include all regular work and work performed on Saturdays, Sundays, and Public Holidays, irregular work hours, overtime work, vacation pay and food allowance. Group B: Skilled Personnel: The Monthly Total Pay includes Basic Pay for a fourty (40) hours ordnnary work week, compensation for work between fourty (40) and fifty-six (56) hours per week, sixty-point-sixty-two (60.62) guaranteed overtime hours per month, compensation for work on Saturdays, Sundays & Public Holidays, Vacation Pay and Food Allowance. Extra overtime shall apply after an average of seventy (70) hours of work per week, subject to the provisions in Article 3.5. Extra overtime shall be paid at the rate in Column 9 in the Pay Scale. Group C: Service Personnel: The Monthly Total Guaranteed Pay includes Basic Pay for a fourty (40) hours ordnnary work week, compensation for work between fourty (40) and fifty-six (56) hours per week, sixty-point-sixty-two (60.62) guaranteed overtime hours per month, compensation for work on Saturdays, Sundays & Public Holidays, Vacation Pay, Food Allowance and Guaranteed Service Money. Extra overtime shall apply after an average of seventy (70) hours of work per week, subject to the provisions in Article 3.5. Extra overtime shall be paid at the rate in Column 9 in the Pay Scale. Group D: Utility Personnel: The Monthly Total Pay includes Basic Pay for a fourty (40) hours ordnnary work week, compensation for work between fourty (40) and fifty-six (56) hours per week, sixty-point-sixty-two (60.62) guaranteed overtime hours per month, compensation for work on Saturdays, Sundays & Public Holidays, Vacation Pay and Food Allowance. Extra overtime shall apply after an average of seventy (70) hours of work per week, subject to the provisions in Article 3.5. Extra overtime shall be paid at the rate in Column 9 in the Pay Scale.

4 3. Seniority: Not Applicable 4. A watch list shall be made available showing all ordinary working hours for all Seafarers covered by this Agreement, except for Seafarers in Group A. Ordinary working hours in this respect is the eight (8) hours per day, seven (7) days per week. 5. Overtime shall be recorded in duplicate by the Seafarer on a daily basis and signed by a designated supervisor at least once per week after which the record is final. One copy shall be handed over to the Seafarer. All hours in excess of eight (8) per day shall be included in this record and the sixty-point-six-two (60.62) Guaranteed Overtime hours per month deducted before the additional hours are paid on a monthly basis according to the extra overtime rate as set forth in Column 9 of the Pay Scale. If the Seafarer does not serve onboard for the whole calendar month, then the number of Guaranteed Overtime hours shall be prorated with two (2) hours per day. 6. Any break, as approved by the Seafarers supervisor, during the work period of less than one-half (½) hour shall be counted as working time. 7. Any hours worked during an emergency directly affecting the immediate safety of the Ship, its passengers and crew, of which the Master shall be the sole judge, or for safety boat drill, or work required to give assistance to other Ships or persons in immediate peril shall not count for overtime payment. Article 4 - Duration of Service 1. All Seafarers shall be engaged on either a mutual thirty (30) days notice Employment Contract, or on a fixed period Employment Contract. 2. The Service Period shall not in any circumstance exceed ten (10) months. Article 5 - Termination 1. The first ninety (90) days of service shall be considered a probationary period, which entitles the Owners/Company or its representative, i.e. the Master of the vessel, to terminate the Employment Contract by giving fouteen (14) days notice.

5 During the probationary period the Seafarer may terminate the Employment Contract by giving fourteen (14) days notice. The probationary period shall not apply to Seafarers previously engaged by the Owners/Company within a one (1) year period prior to being re-hired. If the Employment Contract is terminated within the probationary period by the Owners/Company, the repatriation costs shall be paid by the Owners/Company. If the Employment Contract is terminated within the probationary period by the Seafarer, the repatriation costs shall be paid by the Seafarer. 2. a) A Seafarer may terminate the Employment Contract by giving one (1) month s notice of termination to the Owners/Company or the Master of the Ship, either in writing or verbally in the presence of a witness. b) If the Seafarer was employed for a specified voyage, and if the voyage is subsequently altered substantially, either with regard to duration or trading pattern, he shall be entitled to terminate the Employment Contract as soon as possible. c) A Seafarer may refuse to sail into a warlike operations area as defined by Lloyd s. d) A Seafarer shall be entitled to terminate the Employment Contract immediately if the Ship is certified substandard in relation to the applicable provisions of the Safety of Life at Sea Convention (SOLAS) 1974, the International Convention on Loadlines (LL) 1966, the Standards of Training Certification and Watchkeeping Convention (STCW) 1978, as amended, the International Convention for the Prevention of Pollution from Ships 1973, as modified by the Protocol of 1978 (MARPOL) or substandard in relation to ILO Convention No. 147, 1976, Minimum Standards in Merchant Ships, as supplemented by the Protocol of In any event, a Ship shall be regarded as substandard if it is not in possession of the certificates required under either applicable national laws and regulations or international instruments. e) The Owners/Company shall be entitled to terminate the Employment Contract of a Seafarer prior to the expiration of his period of engagement (as specified in Articles 4.1 and 5.1) in the event of the following: (i) (ii) (iii) (iv) upon the total loss of the Ship, or when the Ship has been laid up for a continuous period of at least one (1) month, or upon the sale of the ship, or Upon the misconduct of a Seafarer giving rise to a lawful

6 (v) entitlement to dismiss, or for any reason at the Owners/Company s sole discretion upon payment of two (2) months Basic Pay Severance. 3. Upon the misconduct of a Seafarer giving rise to a lawful entitlement to dismiss, the Owners/Company shall, prior to dismissal hold a hearing before a Committee consisting of the Master as Chairman, Chief Officer, Hotel Director and a fourth member. The fourth member shall be, depending on whether the Seafarer is an Officer or from the remaining crew, an Officer or a fourth member appointed by the Seafarer from among the remaining crew. In special cases, the Committee may be appointed by the Owners/Company and the hearing held ashore if considered necessary in order to best elucidate the factual basis for the dismissal. The composition of the Committee shall if possible be as stated in the previous paragraph. The Chairman shall question the Seafarer and any witnesses who might be able to provide information in the case. The remaining members of the Committee and the Seafarer may ask questions either through the Chairman or directly with the Chairman's consent. If the Master makes a decision in the matter, he/she shall state the ground for it, and the decision shall be entered into the log book or the special protocol. The members of the Committee shall verify by signature the accuracy of the statements. The Seafarer shall be given a copy of the Dismissal Form. A decision on dismissal shall be made as soon as possible and, at the latest, within fourteen (14) days after the circumstances of the case became known, unless special conditions necessitate a longer time limit. The Seafarer shall, if possible, be informed of the decision immediately. In the event that the above procedure has not been adhered to, the Seafarer shall be entitled to the Severance Pay provided for in Article The Owners/Company shall be entitled to terminate a Seafarer s Employment Contract for any reason at the Owners/Company s sole discretion upon payment of two (2) months Monthly Total Consolidated Pay for Seafarers in Group A and two (2) months Monthly Total Guaranteed Pay for Seafarers in Group B, Severance. No Severance is due if the termination is a result of any of the following: (i) (ii) the termination is as a result of the expiration of an agreed period of service in the Employment Contract; or the termination is as a result of notice given by the Seafarer as aforesaid; or

7 (iii) the Seafarer is lawfully and properly dismissed by the Owners/Company as a consequence of the Seafarer s own misconduct, such as but not limited to, violating the Company s Alcohol and Drug, Policy, Annex 5, or the Sexual Harassment Policy, Annex For the purposes of this Agreement refusal by any Seafarer to obey an order to sail the Ship shall not amount to misconduct of the Seafarer where: (i) the Ship is unseaworthy/or otherwise substandard as defined in Article 5.2, sub-paragraph d); or (ii) for any reason it would be unlawful for the Ship to sail; or (iii) the Seafarer has a genuine grievance against the Owners/Company in relation to implementation of this Agreement or the Employment Contract; or (iv) the Seafarer refuses to sail into a warlike operations area. 6. The Owners/Company shall consider a special request of early termination of the service period on compassionate grounds. If such termination is requested in the case of death or serious illness of the immediate family, the repatriation costs will be at the Owners/Company discretion. 7. Any disputes concerning dismissal may be appealed either through the Grievance Procedure, Annex 3 or through the Owners/Company s internal Complaint Resolution Process, Annex 4, at the Seafarer s discretion. Article 6 - Transfer of Seafarers The Owners/Company shall have at their discretion, the option of transferring Seafarers from one vessel to another vessel, provided that there will not be any interruption of time for calculation of leave benefits nor increase in length of service. Article 7 - Vacation Pay and Food Allowance 1. The Vacation Pay and Food Allowance is included in the Monthly Total Consolidated Pay, Column 6 of the Pay Scale. 2. The Company may specify vacation schedules. Vacations shall begin and end on the dates set forth in the vacation schedule.

8 Article 8 - Breach of Agreement If the Owners/Company breach the terms of this Agreement, the Union and/or the ITF, for themselves or acting on behalf of the Seafarers and/or any Seafarer, shall be entitled to take such measures against the Owners/Company as may be deemed necessary to obtain redress. Article 9 - Teaching and Training The Owners/Company agrees to undertake a teaching and training program so that a continuous and systematic training is conducted on board, enabling promotion or higher paid positions. Article 10 - Cargo Handling The Seafarers shall not be required or induced to carry out cargo handling and other work traditionally or historically done by dock workers without the prior agreement of the ITF dockers' union concerned and provided that the individual Seafarers volunteer to carry out such duties, for which they shall be adequately compensated. Compensation for such work performed during the normal working week, as specified in Article 3, shall be by the payment of double the overtime rate (Column 9 of the Pay Scale) for each hour or part of an hour that such work is performed, in addition to the Basic Pay. Any such work performed outside the normal working week will be compensated at triple the overtime rate (Column 9 of the Pay Scale) for each hour or part of an hour that such work is performed in addition to the payment of the normal hourly rate. Any Seafarer shall be entitled to act lawfully in respecting any dock workers= trade dispute including but not limited to respecting any picket line or complying with any lawful request not to enter any premises, dock, pier or ocean terminal. The Owner/Company will not take any punitive measures against any Seafarer who respects such dock workers= trade dispute and any such lawful act by the Seafarer shall not be treated as any breach of the Employment Contract. Article 11 - Sickness, Injury and Maternity 1. During the period of employment and at the time of disembarking, the Seafarer shall be liable to medical examination when requested by the Company or its

9 representative. 2. A Seafarer, who is discharged owing to sickness or injury, shall be entitled to medical treatment (including hospitalisation) at the Owners/Company s expense for as long as such treatment is required. The Owners/Company shall be liable to defray the expense of medical treatment and maintenance until the sick or injured person has reached maximum medical improvement (MMI). 3. When a Seafarer is signed off and landed at any port because of sickness or injury, the Seafarers wages shall continue until the Seafarer has been repatriated at the Owners/Company s expense or has arrived at the Seafarers home or place of the Seafarers original engagement, whichever place is more convenient for the Seafarer. Thereafter the Seafarer shall be entitled to Sick Pay at a rate equivalent to the Monthly Total Pay (Group A), Monthly Basic Pay (GroupB & D) and Montly Guaranteed Basic Pay (Group C), while the Seafarer remains sick or injured up to a maximum of one-hundred-and-twenty (120) days, provided satisfactory medical certificates are submitted. 4. Seafarers that become pregnant during the service period are entitled to two (2) months Maternity Pay at a rate equivalent to the Monthly Total Pay (Group A, B & D) and Monthly Total Guaranteed Pay (GroupC). 5. In the event of sickness, injury or maternity necessitating signing off, the Seafarer shall be entitled to free repatriation in accordance with the provisions in Article 2. Article 12 - Death and Disability Insurance 1. Loss of life in service: If a Seafarer dies whilst in the employment of the Owners/Company, including accidents occurring whilst traveling to and from the vessel, or as a result of marine or similar peril, the Owners/Company shall pay the sums specified in the attached Schedule of Cash Benefits, Annex 2, to the spouse and to each dependent child up to a maximum of four (4) under the age of 21. If the Seafarer does not leave a spouse, the aforementioned sum shall be paid to the Estate of the deceased Seafarer to be administrated by the person or body authorized by law to act on behalf of the deceased Seafarer s Estate. Any payment effected under this clause shall be without prejudice to any claim for compensation made in law.

10 2. Disability: A Seafarer who suffers injury as a result of an accident from any cause whatsoever whilst in the employment of the Owners/Company, regardless of fault, including accidents occurring whilst traveling to or from the Ship and whose ability to work is reduced as a result thereof, shall in addition to his sick pay, be entitled to compensation according to the provisions of this Agreement. The compensation which the Owner/Company, Manager, Manning Agent, and any other legal entity substantially connected with the vessel shall be jointly and severally liable to pay shall be calculated by reference to an agreed medical report, with the Owners/Company and the Seafarer both able to commission their own and when there is disagreement the parties to this Agreement shall appoint a third doctor whose findings shall be binding on all parties. The aforesaid medical report determines the Degree of Disability and the table below the Rate of Compensation. Degree of Disability: Rate of Compensation: Groups B, C & D Group A % USD USD , , ,000 90, ,000 72, ,000 60, ,000 48, ,000 36, ,000 24, ,000 12,000 with any differences, including less than 10% disability, to be pro-rated. Regardless of the degree of disability an injury or illness which results in loss of profession will entitle the Seafarer to the full amount of compensation, USD eighty-thousand (80,000) for Ratings (Group B, C & D) and USD one-hundredand-twenty-thousand (120,000) for Officers (Group A). For the purposes of this Article, loss of profession means when the physical condition of the Seafarer prevents a return to sea service, under applicable national and international standards and/or when it is otherwise clear that the Seafarer s condition will adversely prevent the Seafarer s future of comparable employment on board ships.

11 3. Any payment effected under any section of this Article shall be without prejudice to any claim for compensation made in law. Article 13 - Uniforms The Owners/Company shall provide uniforms and laundering of same free of charge to the Seafarers. In case the Seafarer has to use personal uniforms the Seafarer shall be compensated with a monthly allowance of USD seventy-five (75). Article 14 - Crew s Effects When any Seafarer suffers total or partial loss of, or damage to, his personal effects, due to whatever cause, either whilst serving on board the Ship or travelling to and from the Ship, he shall be entitled to recover from the Owners/Company compensation up to a maximum specified in the attached Schedule of Cash Benefits, Annex 2. The Seafarer shall certify that any information provided with regard to lost property is true to the best of his knowledge. Jewelry, Money and Electronic Equipment must be hand carried while traveling to and from the Ship, such items are not covered by this provision if transported in checked luggage. The Owners/Company shall in addition pay the Seafarer for necessary clothing needed after a shipwreck. Article 15 - Food, Accommodation, Bedding, etc; and Personal Safety Equipment 1. The Owners/Company shall provide sufficient food of good quality, accommodation of adequate size and standard, bedding amenities, etc., for the use of each Seafarer whilst serving on board and recreational facilities in accordance with ILO standards. The accommodation standards shall at least meet those criteria contained in relevant ILO instruments relating to crew accommodation. 2. The Owners/Company shall provide the necessary personal protective equipment for the use of each Seafarer whilst serving on board. Every Seafarer engaged in the operations and any other person who may be exposed to the risk of injury, poisoning or disease arising from the operations should, when necessary, be

12 provided with and should wear: a) a suitable safety helmet constructed to an appropriate standard; b) overalls; c) waterproof, reinforced, safety boots; d) depending on the risk, sufficient and suitable protective clothing and equipment, including, but not limited to: (i) respiratory protective equipment; eye protectors; hearing protection; gloves; welding aprons; safety harness; ropes and attachments; and buoyancy aids; and (ii) sufficient and suitable protective outer clothing for use by any person who, by reason of the nature of work, is required to continue working in the open air during cold or hot weather, rain, snow, sleet, hail, spray, high winds or hot, humid conditions. 3. a) Personal protective equipment should be used on an individual basis and not passed to another person without first being cleaned, serviced and maintained; b) The space provided for personal safety equipment should be such as not to contaminate accommodation or other storage. Personal protective equipment should be suitable for the purpose and to the required standard, having regard of the nature of the work; c) Where there is a relevant certificate of approval or a national standard or there is an equivalent international standard, personal protective equipment should be to that standard. 4. Ships shall be so equipped with survival suits of appropriate size, meeting IMO standards. The Company shall be responsible for ensuring the existence on board of the number of survival suits as required by the IMO. Article 16 - Service in Warlike Operations Areas 1. During the assignment a Seafarer shall be given full information of war zone's inclusion in the vessels trading pattern and shall have the right not to proceed to a warlike operations area, in which event he/she shall be repatriated at the Owners/Company cost with benefits accrued until the date of return to the port of engagement.

13 2. Where a vessel enters into an area where warlike operations take place, the Seafarer will be paid a bonus amounting to double the basic wage for the duration of the vessel's stay in such area subject to a minimum of five (5) days' pay. Similarly the compensation for disability and death shall be doubled. 3. A warlike operations area will be as indicated by Lloyd's. 4. A Seafarer shall have the right to accept or decline the assignment without risking losing his employment or suffering any other detrimental effects. Article 17 - Insurance Cover The Owners/Company shall conclude appropriate insurance to cover themselves against the possible contingencies arising from the Articles of this Agreement. Article 18 - Union Fees and Welfare Fund 1. Subject to national legislation, all Seafarers shall have the right to join an appropriate national trade union affiliated to the ITF. 2. The Owners/Company shall pay on behalf of each Seafarer covered by this Agreement, USD... per month per Seafarer in Fees to the Union. The Owners/Company shall, at least once every three (3) months, transfer the Union Fees together with a statement showing the name, date of birth and position of each individual Seafarer for whom Union Fees has been paid. The Union Fees should be remitted to the Union through The Owners/Company shall on their own behalf pay contributions to the ITF Seafarers International Assistance, Welfare and Protection Fund in accordance with the terms of the Special Agreement. 4. The Owners/Company acknowledge the right of Seafarers to participate in union activities and to be protected against acts of anti-union discrimination as per ILO Conventions Nos. 87 and 98.

14 Article 19 - Ship Board Safety and Representation of Seafarers 1. The Owners/Company shall facilitate the establishment of an on board Safety and Health Committee in accordance with the provisions contained in the ILO Code of Practice on Accident Prevention on Board Ship at Sea and in Port, and as part of their safety-management system*. The Owners/Company shall provide a link between the Owners/Company and those on board through the designation of a person or persons ashore having direct access to the highest level of management*. The Owners/Company shall also designate an on board competent Safety Officer who shall implement the Owners/Company safety and health policy and programme and carry out the instructions of the Master to: (i) (ii) (iii) (iv) (v) improve Seafarers safety awareness; investigate any safety complaints brought to his attention and report the same to the safety and health committee and the individual, where necessary; investigate accidents and make the appropriate recommendations to prevent the recurrence of such accidents; carry out safety and health inspections; and monitor and carry out the on board safety training of Seafarers. (Footnote - *as per the requirements of the ISM Code) 2. The Owners/Company acknowledge the right of the Union and/or ITF to appoint a liaison representative from among the Seafarers who shall not be dismissed nor be subject to any disciplinary proceedings unless the Union and/or ITF has been given advance notice and sufficient time to ensure that adequate shore based representation is provided. 3. The Owners/Company acknowledge the right of the Union and/or ITF to appoint or have elected by and from the Seafarers a Safety Representative(s). A Seafarer carring out the role of Safety Representative shall have access to information, assistance and advice should be provided, where necessary, by the Safety Committee, the Owner/Company, the Union and the ITF. The Safety Representative shall: (i) (ii) (iii) (iv) have access to all parts of the ship; be able to participate in the investigation of accidents and near accidents; have access to all the necessary documentation, including investigation reports, past minutes of the safety and health committee, etc.; receive appropriate training; and

15 (v) not be subject to dismissal or other prejudicial measures for carrying out functions assigned to the role of safety representative and be entitled to the same protections as the liaison representative. 1. The parties to this Agreement agree on the principle that all disputes between the Union and the Owners/Company can be and must be resolved through friendly negotiations and have therefore agreed on the attached Grievance Procedure, Annex 3. Article 20 - Jurisdiction The parties to this Agreement agree that any disputes or claims arising under this Agreement shall be governed and adjudicated pursuant to the laws of the individual vessel s country of registry and in a jurisdiction agreable to both parties. In the event that the parties can not agree on the jurisdiction the juristiction issues shall be settled through the Grievance Procedure, Annex 3. Article 21 - Waiver and Assignments The Owners/Company undertake not to demand or request any Seafarer to enter into any document whereby, by way of waiver or assignment or otherwise, the Seafarer agrees or promises to accept variations to the terms of this Agreement or return to the Owners/Company, their servants or agents any wages (including backwages) or other emoluments due or to become due to him under this Agreement and the Owners/Company agree that any such document already in existence shall be null and void and of no legal effect. Article 22 - Amendments to and Duration of the Agreement This Agreement shall be effective from..., through..., and further for one year at a time if a request for termination is not given neither by the Owners/Company or the Union with three (3) months written notice. Amendments mutually agreed on in writing and signed by the parties shall be considered incorporated in the ITF Special Agreement. Furthermore, should this Agreement continue past..., then the terms and conditions of this Agreement shall be reviewed annually by the Owners/Company and Union and if at any time the Owners/Company and Union mutually agree on amendments and/or additions to this Agreement, such amendments and additions shall be agreed in writing and signed by the parties and considered incorporated in the ITF Special Agreement.

16 Date:... Owners/Company Union ANNEX 1 Pay Scale ATTACHED TO THIS PAGE.

17 ANNEX 2 SCHEDULE OF CASH BENEFITS Article 12 Compensation for loss of life/death in service: (i) to the spouse USD 60,000 (ii) to each dependent child under the age of 21 USD 15,000 subject to a maximum of 4 Article 14 Crew s Effects, Loss or Damage: Maximum USD 3,000

18 ANNEX 3 GRIEVANCE PROCEDURE Section 0: 1. Union means one of the following: The Union representing the individual Seafarer will be the Union where the Seafarers is a member, or as decided by the under Section 0.1. mentioned Unions. Section 1: The parties to this Agreement agree on the principle that all disputes between the Union and the Company can be and must be resolved through friendly negotiations; that the parties have the same interest in the continuity of work until all matters in dispute shall have been discussed and settled; that, an open conflict in any form is detrimental to the interest of the parties and that, therefore, every effort shall be exerted to avoid such conflicts. Section 2: The employees shall have the right to be represented by one Union delegate appointed by the Union. Section 3: 1. A dispute or grievance arising in connection with the terms and provisions of this Agreement shall be adjusted in accordance with the following procedure. 2. Any employee who feels that he has been unjustly treated or even subjected to an unfair consideration shall endeavor to have said grievance adjusted by the designated representative of the Union in the following manner: A. Presentation of the complaint to his immediate superior. B. Appeal to the head of the department in which the employee involved is employed. C. Appeal directly to the Master. Section 4: If the grievance cannot be resolved under the provision of Section 3, the decision of the Master shall govern at sea and in foreign ports and until the vessel arrives at a port where the Master shall refer such dispute to either the Company or the Union in order to resolve such dispute. It is understood, however, if the dispute could not be resolved then, both parties shall avail of the grievance procedure. Section 5: In furtherance of the foregoing principle, there is hereby created a GRIEVANCE COMMITTEE to be composed of two Company representatives to be designated by the Company and two employee representatives to be designated by the Union.

19 Section 6: Any grievance, dispute, or misunderstanding concerning any ruling, practice, wages or working conditions in the Company or any breach of the Employment Agreement, or any dispute arising from the meaning or the application of the provision of this Agreement or claim of violation thereof or any complaint that any may have against the Company, as well as complaint which the Company may have against said employee shall be brought to the attention of the Grievance Committee before either party takes any action, legal or otherwise. Section 7: 1. The Grievance Committee shall resolve any dispute within seven (7) days from and after the same is submitted to it for resolution and if the same cannot be settled by the Grievance Committee or if the Grievance Committee fails to act on the dispute within the seven (7) days period herein provided, the same shall be referred to a VOLUNTARILY ARBITRATION COMMITTEE. 2. An "impartial arbitrator" may be appointed by mutual choice and consent of the Company and the Union who shall hear and decide the dispute or issue presented to him and his decision shall be final and unappealable. The "impartial arbitrator" shall decide the dispute/issue within thirty (30) days after the parties have submitted their case(s) for resolution. 3. If by reason of the nature of the controversy, dispute or grievance, the parties may refer the case to the Arbitration Committee, one member to be designated by the Company, one member to be designated by the Union and one member selected by mutual choice of the two arbitrators so chosen who shall act as Cairman. The Arbitration Committee shall have no power to add to, subtract from, or modify any of the terms of this Agreement or any agreement made supplementary thereto. The decision of the Arbitration Committee shall be final, binding and unappealable upon the Company, the Union and the Employees concerned. The Arbitration Committee in rendering a decision should be guided by existing agreement, the applicable laws, rules and regulations, the relevant jurisprudence and the evidence presented. The Arbitration Committee shall endeavour to render its decision within thirty (30) days after the dispute, disagreement or controversy is submitted for decision. The expenses of arbitration shall be borne by the Company.

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