EXHIBIT 10.8
STEVEDORE AND TERMINAL SERVICES AGREEMENT BETWEEN
RIO DOCE PASHA TERMINAL L.P.
AND
CALIFORNIA STEEL INDUSTRIES, INC.
This Stevedore and Terminal Services Agreement ("Agreement") is made and
entered into as of the 1st day of January 1996 by and between Rio Doce Pasha
Terminal L.P., a California limited partnership (hereinafter, "Contractor"), and
California Steel Industries, Inc., a Delaware corporation (hereinafter,
"Customer").
1. GENERAL
(a) Contractor shall provide stevedore and terminal services for
handling steel slabs owned by or consigned to Customer to be
discharged from vessels at Mormon Island Terminal, 000 Xxxxx
Xxxxx Xxxxxx - Xxxxxxxxxx, Xxxxxxxxxx 00000.
(b) Contractor shall provide necessary labor, supervision, security
and customary equipment to perform stevedore and terminal
services upon the terms set forth in this Agreement and the
attached rate schedules.
(c) Customer shall utilize the services of Contractor pursuant to
this Agreement for importing steel slabs owned by or consigned
to Customer with a minimum of 1,000,000 metric tons each year
of this Agreement provided that the following two provisions
are met. (1) This minimum is only guaranteed if Customer
imports one million tons. (2) If Contractor requests customer
to move a vessel to another terminal, tonnage will count
towards the minimum as though the vessel discharged at
Contractor's facility.
If this Agreement terminates on any day other than January 1st,
this minimum annual tonnage shall be pro rated accordingly.
(d) Contractor shall provide a safe and suitable berth with
container cranes having a guaranteed minimum draft of forty
(40) feet.
Page 1
2. VESSEL STEVEDORING AND TRAIN AND TRUCK LOADING SERVICES
Contractor shall provide Customer with the following
services and the services described on Schedule IV
hereto:
(a) Movement of steel slab cargoes from stow in
vessel to point of rest in yard. Contractor
shall order stevedoring labor to work each of
Customer's vessels at the first shift after the
arrival of the vessel at the berth. If the
vessel arrives during a shift, Contractor may
order labor if Customer agrees to pay standby
time or Contractor may order labor at its own
expense. In the event that Customer's vessel
arrives simultaneously with another vessel,
Contractor shall use its best efforts to work
at least one (1) gang per shift on each
vessel, unless otherwise agreed by Contractor
and Customer.
(b) Contractor shall load steel slab cargo to slab
rail cars or tally delivery to trucks, keeping
the item/heat segregation. Unit train rail cars
shall be loaded so as to maximize the
utilization of available railcar loading
weights.
3. INVOICING AND PAYMENT
(a) Contractor shall be entitled to deliver its
invoice to Customer immediately following vessel
departure. Customer shall pay Contractor's
invoice in U.S dollars at the place specified in
the invoice within thirty (30) days after
invoice presentation. Contractor shall be
entitled to collect interest on late payments at
an annual rate of 2% over the prime rate of
interest charged by Bank of America NT & SA, San
Francisco, California.
(b) In the event Customer disputes any portion or an
invoice, Customer shall pay the undisputed
portion within the requisite time for payment of
such invoice. Thereafter. Customer shall discuss
the disputed portion of such invoice promptly
with Contractor. In the event the parties are
unable to resolve such dispute within ninety
(90) days of the date of the invoice, or
Customer is late in paying any invoice, either
Contractor or Customer shall be entitled to
initiate arbitration pursuant to Article 13
hereof
Page 2
4. UNLOADING CONDITIONS
(a) Berthing priority will be accorded to Customer's vessels if
they arrive within four (4) hours of the previously estimated
time, which must be given to the terminal operator seventy-two
(72) hours prior to the vessel's arrival. This priority will
not accord Customer the right to any berth at which another
vessel is finishing work resulting from berth priority given
immediately prior to Customer's own priority or to any berth
where a vessel has been waiting for the start of a new shift
to begin working. Contractor and customer agree to closely
coordinate vessel arrivals in order to optimize berth
availability for vessels utilizing container cranes.
(b) If another vessel is scheduled to arrive while Customer's
vessel is at berth, Contractor, at its option and expense, may
order overtime shifts to work Customer's vessel in order to
clear the berth promptly for use by the other vessel. If
Customer's vessel is scheduled to arrive while another vessel
is at berth, Contractor shall use its best efforts to clear
the berth as soon as possible.
(c) Contractor, at its option and expense, may shift Customer's
vessel for up to twenty-four (24) hours if required in order
to allow a liner vessel to be unloaded at the same berth,
provided that Contractor has discharged all critical cargo as
defined by Customer, and provided there is no interruption in
rail service to Customer.
(d) Contractor shall unload steel slabs from Customer's vessels at
an average rate of 14,000 metric tons per 24-hour laytime
period. To the extent that the average number of metric tons
unloaded from a vessel by contractor per 24-hour laytime
period is less than 14,000, Contractor shall pay vessel
demurrage to Customer. To the extent that the average number
of metric tons unloaded from vessel by Contractor per
24-hour laytime period exceeds 14,000, Customer shall pay
vessel dispatch to Contractor at the full dispatch rate.
The demurrage rate per metric ton per 24-hour laytime period
will be equal to the demurrage rate as agreed to between
Customer and the owner of the vessel, which demurrage rate
for each shipment will be submitted by Customer and the owner
of the vessel to Contractor for its confirmation.
Page 3
(e) Laytime shall commence at 1800 hours if the notice of
readiness is tendered before noon, and shall commence at
0800 hours the next working day if the notice of readiness
is tendered within office hours after noon, unless discharge
of cargo commences earlier, in which case the time actually
used shall count at laytime. Laytime shall continue until
completion of discharge of the cargo. Laytime shall
include all weather working days of the year, Saturdays and
Sundays included, other than the federal and California state
holidays specified in the PMA/ILWU Agreement. Laytime shall
cease at 1700 hours on the day preceding such a holiday and
shall resume at 0800 hours on the day following such a
holiday. Time lost in waiting for a berth shall count as
laytime. Time lost due to weather conditions that prevent
the vessel from entering the port and/or berth, and/or due
to health and safety reasons as determined by arbitration in
accordance with the PMA/ILWU Agreement, shall not count as
laytime. Opening and closing of hatchcovers shall count as
laytime.
5. RATES
For performance of services, Customer shall pay Contractor compensation
computed in accordance with the rates in force at the time of
commencement of the services. The following rate schedules are attached
hereto and made part of this Agreement:
Schedule I Stevedore and Terminal Service Rates
Schedule II Gang Hour/Manhour Billing Rates
Schedule III Equipment Rental Rates
Schedule IV Services Rendered
6. DOCUMENTATION
(a) Customer shall provided Contractor with all documents,
information and instructions required in order to allow
Contractor to perform efficient services, including the
following:
(i) Vessel manifest and stowage plan/cargo book, four (4)
days prior to vessel arrival, with the exception of
steel slab cargo originating in Mexico.
(ii) Slab priority list, three (3) days prior to arrival.
Page 4
(iii) Custom clearance documents, prior to vessel arrival
where feasible.
(iv) Vessel schedules, at least once a week.
(v) Delivery and receiving schedules, two (2) days in
advance.
(b) Contractor shall prepare and deliver to Customer all documents
and information required by law or reasonably requested by
Customer, in a form mutually agreed upon between Customer and
Contractor, including the following:
(i) Rail car or truck loading lists, showing the
identification of each slab, by supplier, by heat,
ingot and slab number, and by car or truck,
immediately following completion of unit train
loading via telecopier.
(ii) Vessel daily working report, on a daily basis.
7. LIABILITY AND INSURANCE
(a) Contractor agrees to indemnify and hold harmless Customer from
and against any loss, damage or injury caused by the
negligence of Contractor, its agents, or any subcontractor
consented to by Customer pursuant to Article 11 hereof, or any
employee of the foregoing, provided, however, that if such
loss or damage is caused or contributed to by the negligence
or breach of implied warranty of Customer, the vessel, owners,
vessel operators or their agents, employees or other
independent contractors hired by Customer, then such
obligation of Contractor to indemnify shall be reduced by the
amount of proportional fault attributable to such persons or
entities.
(b) If the services to be provided by either party to this
Agreement are suspended, abated, prevented or impaired by
reason of strikes, lockouts, union disputes, or other labor
disturbances, governmental acts or regulations, diplomatic
acts, fire, flood, earthquake, action of the elements,
explosion, marine casualty, riots, sabotage, war, warlike
actions, civil disturbances, acts of God, or other events of
force majeure, then either party may suspend or reduce
services without liability to the other for such suspension or
reduction.
Page 5
(c) Contractor shall be discharged from all liability in respect
to loss of, or damage to, any cargo or goods handled under
this Agreement unless claim is brought within one year after
delivery of the goods or the date when the goods should have
been delivered.
(d) Contractor, and any subcontractor consented to by Customer
pursuant to Article 11 hereof, shall maintain, during the term
of this Agreement, insurance covering its operations as
follows:
(i) Worker's Compensation Insurance for the protection of
its employees in accordance with the California
Compensation Act and the Federal Longshoremen's and
Harbor Worker's Compensation Act.
(ii) Terminal Operator's Liability Insurance with a care,
custody and control endorsement and a combined single
limit of not less than $10,000,000 in respect to any
one accident or occurrence.
(iii) Umbrella Liability of not less than $10,000,000 in
respect to any one accident or occurrence.
(e) Contractor, and any subcontractor consented to by Customer
pursuant to Article 11 hereof, will provide Customer, prior to
inception and annually thereafter, with certificates of
insurance naming Customer as additional insured and shall give
90 days' notice of cancellation of any policy.
(f) If, during the course of, or after completion of, discharging
steel slab cargo from one of Customer's vessels, Contractor is
advised by the Master of the vessel or its agent, that
stevedoring damage has occurred to the vessel during discharge
operations, such incident of stevedoring damage, the repair
and any claim resulting therefrom shall be handled directly
between the vessel owners and their agents or insurers and
Contractor.
(g) Contractor shall not be liable for failure to perform any
services caused by defects in cargo and its stowage.
(h) Contractor shall not be responsible for any disruption in
electrical power necessary to operate, or inadequate power
supply needed to operate, efficiently.
Page 6
8. TERM
(a) This Agreement shall be effective as of January 1, 1996 and
shall remain in full force and effect for five (5) years and
then until terminated by ninety (90) days' prior written
notice by either party hereto to the other.
(b) Notwithstanding any such termination, Contractor shall
continue to be responsible for the loading and discharging of
any cargo which Contractor is handling on the effective date
of such termination. Termination of this Agreement shall not
relieve either party of any liability or obligation that may
have accrued prior thereto.
9. ILWU-PMA AGREEMENT AND PORT TARIFFS
(a) Contractor is a party to the P.M.A. agreement with the
International Longshoremen's and Warehousemen's Union and as
such must comply with the rules, regulations, wage schedule
and other provisions of that agreement. Contractor shall not
be responsible for delays occasioned by the enforcement of
such agreements and policies, union disputes or other labor
disturbances, unless caused by Contractor's failure to comply
with the terms of such agreements and policies.
(b) Wharfage, mooring, dockage, or other tariff items, included or
excluded in the rate schedules attached hereto, shall be
charged to Customer under applicable tariffs issued by port or
governmental authorities. Such charges shall be for Customer's
account and Customer shall indemnify and hold Contractor free
and harmless of and from related costs.
10. DEFAULT
In the event of default by either party in observing or performing its
obligations hereunder, the other party shall have the right to give the
defaulting party a written notice specifying the nature of such default
and if, within thirty (30) days after receipt of such notice, the
defaulting party has not cured or diligently commenced cure of such
default, the other party shall have the right thereupon to terminate
this Agreement. This right of termination is in addition to any other
rights or remedies the parties may have, and failure to exercise it
shall not constitute a waiver of any other remedies available under
this Agreement or at law.
Page 7
11. NO ASSIGNMENT
Neither party may assign this Agreement, in whole or in part, or assign
any rights or delegate any duties hereunder, without the prior written
consent of the other party.
12. GOVERNING LAW
This contract shall be governed by and construed in accordance with the
laws of California.
13. ARBITRATION
(a) It is agreed that in the event that any disagreement, dispute,
controversy or claim arises out of, or in relation to, or in
connection with this Agreement, or breach thereof, the parties
shall seek to solve the matter amicably through discussions
between the parties.
(b) Any disagreement, dispute, controversy or claim arising out
of, or in relation to, or in connection with this Agreement,
or breach thereof, shall be finally settled by arbitration
in Los Angeles, California, in the United States. The
arbitration shall be brought before three (3) arbitrators.
Each party shall select one (1) arbitrator and the two (2)
arbitrators selected by the parties shall select the third
arbitrator. The arbitration proceedings shall be conducted
in accordance with the Rules of Commercial Arbitration and
Conciliation of the International Chamber of Commerce and in
the English language. Judgment upon the award rendered by
the arbitrators may be entered in any court having
jurisdiction thereof.
14. ENTIRE AGREEMENT
This agreement constitutes the entire agreement, between the parties
with respect to the subject matter hereof, regardless of any
representations previously, contemporaneously, or subsequently made by
any principals or agents of the parties hereto. This Agreement cannot
be amended or modified in any respect except by a written document
executed by authorized representatives of Customer and Contractor.
Page 8
IN WITNESS WHEREOF, the parties hereto have duly executed this Agreement as of
the date first written above.
RIO DOCE PASHA TERMINAL L.P. CALIFORNIA STEEL INDUSTRIES, INC.
By: RDP TERMINAL, INC. By:_______________________________
General Partner Xxxxxxxx Xxxxxxxxx
Title: Executive Vice President &
Assistant to President
By: /s/ Xxxxx Xxxxxxxx Xxxx
---------------------------
Xxxxx Xxxxxxxx Xxxx
Senior Vice President, Finance
By: /s/ Xxxxx X. Xxxx By:
--------------------------- --------------------------------
Xxxxx X. Xxxx Xxxxxxx X. Xxxxxxx
Senior Vice President, Operations Executive Vice President, Finance
Page 9
Steel Slabs
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RIO DOCE PASHA TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE I
EFFECTIVE: JANUARY 1, 1996
STEVEDORE AND TERMINAL SERVICES CHARGES
(1) The stevedore and terminal rate for discharging of steel slabs and
loading to rail cars shall be $10.07 per metric tons (mtons), 1st or
2nd shift, seven days a week, already adjusted to January 1st, 1996.
This rate consists of the following rate factors:
From: January 01, 1996
Until: June 30, 1996
(a) ILWU labor, vessel unloading $2.19
(b) ILWU labor, train loading $1.09
(c) ILWU labor, maintenance $0.51
-----------------------
Total xxxxxxx $3.79
(d) PMA tonnage assessment $0.81
(e) Equipment & overhead $ .87
(f) Wharfage $4.60
-----------------------
TOTAL $10.07
(2) The above rate is subject to rate inclusions/not inclusions listed in
Schedule IV, Articles A, B and C of this agreement, and the following
conditions:
(a) Rates are based on the current mix of individual steel slabs
with weights less than and greater than 22 mton, and will be
of a similar ratio through 1997 year end. Customer and
Contractor will review the mix of individual slab weights in
1998.
(b) Vessels to be of the open hatch class, and cargo to be stowed
with proper blockage stow, with sufficient access and
separation to allow ease of slinging cargo for maximum lifts
up to 45 mtons with the container cranes. (Stowage commonly
referred to as a "California" stow).
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Steel Slabs
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(c) For cargoes requiring positioning under the hatch projection,
Contractor will provide for the service without extra charge
to Customer.
(3) Service charges for operations other than stated above shall be
negotiated on a vessel by vessel basis.
(4) Rail car loading shall be performed only during weekdays, from 0800
through 1700 hours.
(5) ILWU labor on standby awaiting for rail cars to be positioned will be
charged to Customer at the rates set forth in Schedules II and III
attached hereto.
ROUTINE RATE ADJUSTMENT FACTORS
(1) All rates in this Agreement are based on ILWU wages, PMA man-hour
assessments, PMA tonnage assessments, insurance and taxes in effect on
the date of this Agreement. Increases or decreases in any of those
costs during the term of this Agreement shall be reflected in the rates
of this Agreement by the same amount of any such increases or
decreases.
(2) Wharfage charges at $4.60 per mton of steel slabs shall be adjusted in
accordance with increases or decreases in the Port Tariff Rate during
the term of this Agreement.
(3) Equipment costs, including for vessel unloading and rail car loading,
and Contractor's overhead shall be adjusted each July 1st by the
percentage change in the Southern California Consumer Price Index for
the year ending the previous March 31st.
VOLUME DISCOUNT
Contractor will give Customer a volume discount of $1.18 for tonnage in excess
of the annual minimum guarantee of 1,000,000 mtons.
- Page 2 -
Steel Slabs
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OTHER DISCOUNTS
(a) The steel slab throughput for cargo on vessels provided with
the proper stow as described above and worked with vessel gear
(which in Contractor's opinion is capable of production
closely comparable to that of the shore gantry crane) will
receive a discount of $1.00 per metric ton.
(b) Those steel slab cargoes which are taken by truck will receive
a discount of $0.75 per metric ton.
- Page 3 -
Steel Slabs
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RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE II
GANG HOUR/MANHOUR BILLING RATES
EFFECTIVE: JANUARY 1, 1996
A. GANG HOUR BILLING RATES (STEVEDORE ONLY) PER HOUR
(1) Standby/detention - 1st shift $1,099.26
- 2nd shift $1,353.27
- Overtime shift $1,535.17
(2) Extra labor - - 1st shift $1,264.15
- 2nd shift $1,556.26
- overtime shift $1,765.45
NOTE 1. Refer to Schedule III for equipment charges.
NOTE 2: Extra labor rates consist of detention rates plus 15%
markup.
B. MAN-HOUR BILLING RATES - PER HOUR (EXTRA LABOR @ 15% MARKUP)
Labor Class 1st Det 1st Xtr 0xx Xxxx XX Xxxx 0xx Xxxx 0xx OTD
Longshoreman 43.81 47.21 11.34 17.01 20.41 27.22
Skilled (2.75%) 44.75 48.25 11.65 17.48 20.97 27.96
Skilled (3.50%) 45.00 45.52 11.74 17.61 21.13 28.17
Skilled (4.25%) 45.26 48.81 11.82 17.73 21.28 28.37
Skilled (4.50%) 45.34 48.90 11.85 17.78 21.33 28.44
Skilled (6.75%) 54.14 58.45 12.11 18.16 21.79 29.05
Crane/Tophandler 54.14 58.45 12.11 18.16 21.79 29.05
Gearmen 54.14 58.45 12.11 18.16 21.79 29.05
Mechanic 59.50 64.35 13.61 20.42 24.50 32.66
20% Xxxxxxx 60.05 64.90 13.61 20.41 24.49 32.66
30% Xxxxxxx 73.67 79.75 14.74 22.11 26.54 35.38
Basic Clerk 43.81 47.21 11.34 17.01 20.41 27.22
Supervisor 63.69 66.64 12.47 16.71 22.45 29.94
Supercargo 68.62 74.26 13.67 20.50 24.60 32.80
Floorrunner 63.89 68.84 12.47 18.71 22.45 29.94
Xxxxxx 43.81 47.21 11.34 l7.0l 20.41 27.22
Chief Xxxxxx 63.89 68.84 12.47 18.71 22 45 29.94
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Steel Slabs
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RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE III
EQUIPMENT RENTAL RATES
EFFECTIVE: JANUARY 1, 1996
Charge Per Hour
Forklift - capacity 15 tons $ 30.00
Forklift - capacity 32 tone $ 65.00
Forklift - capacity 45 tons $ 70.00
Tractor and trailer $ 20.00
Gantry Crane (Speed Loader) $ 90.00
Container Crane at Detention $335.00
Container Crane at Extra Labor $555.00
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Steel Slabs
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RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE IV
SERVICES RENDERED - SUMMARY
A. STEVEDORING SERVICES. Contractor agrees to provide to Customer
the following stevedoring services as included/not included:
Item Observation
---- -----------
Labor performed on a 8/hr S/T, Included
first shift
Overtime differentials, 2nd shift, Included
weekdays
Overtime differentials, 1st and Included
2nd shift, weekends
Overtime differentials, 3rd shift Not Included
Contractor's equipment Included
Port's container crane Included
PMA man hour assessments Included
PMA tonnage assessments Included
Insurance and taxes Included
Fuel and electricity Included
Contractor's supervision Included
Initial coverage/uncovering Included
automatic hatch covers
Normal unlashing Included
Removal of dunnage and securing Included
materials
Unloading of steel slabs Included
Unload adrift/damaged steel slabs Not Included
(to be performed at extra
labor plus equipment
per Schedules II and III)
Discharging of previous portdunnage Not Included
and/or dunnage for cargoes other
than steel slabs (to be
performed at extra labor plus
equipment per Schedules II and III)
Detention/standby due to late Not Included
arrival, failures of vessel's
equipment or other circumstances
beyond Contractor's control
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Steel Slabs
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RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE IV
SERVICES RENDERED - SUMMARY
A. STEVEDORING SERVICES
Item Observation
---- -----------
Standby due to Contractor's Included
equipment
Minimum guarantee time for ILWU Included
labor
Recoopering adrift and/or damaged Not Included
cargo
Tallying the movement of steel slabs Included
and noting exceptions
Cargo Penalty Assessments when Not Included
applicable per ILWU-PMA Agreement
Checking and tallying the movement Included
of steel slab off of vessels
and noting exceptions
B. TRAIN LOADING. Contractor agrees to provide the following
terminal services as included/not included.
Item Observation
---- -----------
Planning yard layout for steel slabs Included
Labor for loading steel slabs to Included
rail cars, Monday - Friday,
0800-1700 hours
Contractor's equipment Included
PMA man hour assessments Included
Insurance and taxes Included
Carfares Included
Fuel and electricity Included
- Page 7 -
Steel Slabs
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RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE IV
SERVICES RENDERED - SUMMARY
B. TRAIN LOADING
Item Observation
---- -----------
Contractor's supervision Included
Tallying the delivery of steel slabs Included
to train/truck and keeping
item/heat segregation
Rail car loading of steel slabs Included
Detention due to reasons beyond Not Included
Contractor's control
Documentation Included
Security Included
C. OTHER TERMINAL SERVICES
Item Observation
---- -----------
Wharfage Included
Dockage Not Included
Lines/Tugs/Pilots Not Included
Storage. Storage will be charged to Included
customer only if a streamlined
outflow from the terminal of at
least 5,000 mtons of slabs per
weekday is not maintained.
- Page 8 -
CALIFORNIA STEEL INDUSTRIES, INC.
RIO DOCE PASHA TERMINAL, L.P.
EXHIBIT 1- Minimum 14,000 MT Per Day
LABOR COSTS FOR SLAB OPERATIONS - LOS ANGELES
EFFECTIVE: JULY 1, 1995
1. STEVEDORE GANG COSTS - WEEKDAY, DAY SHIFT (2 GANGS)
--------------------------------------------------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
2 Hatch Foremen 16 29.48 471.68
" 4 44.23 176.92
2 Hatch Clerks 16 22.68 362.88
4 Crane Operators 20 24.21 484.20
16 36.32 581.12
2 Hatchtenders 16 23.47 375.52
4 Key Holdmen 32 23.30 745.60
16 Basic L/S 128 22.68 2903.04
4 Lift Drivers 32 23.64 756.48
6 Truck Drivers 48 23.70 1137.60
2 Key Foremen 16 29.48 471.68
" 4 44.23 176.92
1 Supercargo 8 27.34 218.72
" 3 41.00 123.00
1 Floor Runner 8 24.95 199.60
" 3 37.42 112.26
---- ----- -------
44 MEN 370 9297.22
AVERAGE PER GANG HOUR 581.08
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
164.64 235.84 872.16
41.16 88.46 306.54
156.64 181.44 700.96
195.80 242.10 922.10
156.64 290.56 1028.32
156.64 187.76 719.92
313.28 372.80 1431.68
1253.12 1451.52 5607.68
313.28 378.24 1448.00
469.92 568.80 2176.32
164.64 235.84 872.16
41.16 88.46 306.54
78.32 109.36 406.40
29.37 61.50 213.87
78.32 99.80 377.72
29.37 56.13 197.76
-------- ------- -------
3642.30 4648.61 17588.13
227.64 290.54
2. STEVEDORE GANG COSTS - WEEKDAY, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------------------
#MEN LABOR CLASS HOURS RATE WAGES
---- ----------- ----- ---- -----
2 Hatch Foremen 16 39.31 628.96
" 4 44.23 176.92
2 Hatch Clerks 16 30.24 483.84
4 Crane Operators 20 32.28 645.60
" 16 36.32 581.12
2 Hatchtender 16 31.30 500.80
4 Key Holdmen 32 31.07 994.24
16 Basic L/S 128 30.24 3870.72
4 Lift Drivers 32 31.53 1008.96
6 Truck Drivers 46 31.60 1516.80
2 Key Xxxxxxx 16 39.31 628.96
" 4 44.23 176.92
1 Supercargo 8 36.45 291.60
" 3 41.00 123.00
1 Floor Runner 8 33.26 266.08
" 3 37.42 112.26
----- --- --- --------
44 MEN 370 12006.78
AVERAGE PER GANG HOUR 750.42
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
164.64 314.48 1108.08
41.16 88.45 306.54
156.64 241.92 882.40
195.80 312.80 1164.20
156.64 290.56 1028.32
156.64 250.40 907.84
313.28 497.12 1804.64
1253.12 1935.36 7059.20
313.28 504.48 1826.72
469.92 758.40 2745.12
164.64 314.48 1108.08
41.16 88.46 306.54
78.32 145.80 515.72
29.37 61.50 213.87
78.32 133.04 477.44
29.37 56.13 197.76
------- ------- --------
3642.30 6003.39 21652.47
227.64 375.21
3. STEVEDORE GANG COSTS - WEEKEND, DAY SHIFT (2 GANGS)
------------------------------------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
2 Hatch Foremen 16 44.23 707.68
" 4 66.35 265.40
2 Hatch Clerks 16 34.02 544.32
4 Crane Operators 20 36.32 726.40
" 16 54.48 871.68
2 Hatchtenders 16 35.21 563.36
4 Key Holdmen 32 34.96 1,118.72
16 Basic L/S 128 34.02 4,354.56
4 Lift Drivers 32 35.47 1,135.04
6 Truck Drivers 48 35.55 1,706.40
2 Key Foremen 16 44.23 707.68
" 4 66.35 265.40
1 Supercargo 8 41.00 328.00
" 3 61.60 184.50
1 Floor Runner 8 37.42 299.36
" 3 56.13 168.39
---- ----- ---------
44 MEN 370 13,946.89
AVERAGE PER GANG HOUR 871.68
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
164.64 353.64 1,226.16
41.16 132.70 439.26
156.64 272.16 973.12
195.80 363.20 1,285.40
156.64 435.84 1,464.16
156.64 281.68 1,001.68
313.28 559.36 1,991.36
1,253.12 2,177.28 7,784.96
313.28 567.52 2,015.84
469.92 853.20 3,029.52
164.64 353.84 1,226.16
41.16 132.70 439.26
78.32 164.00 570.32
29.37 92.25 306.12
78.32 149.68 527.36
29.37 84.20 281.96
-------- -------- ---------
3,642.30 6,973.45 24,562.64
227.64 435.84
4. STEVEDORE GANG COSTS - WEEKEND, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
2 Hatch Foremen 16 44.23 707.68
" 4 66.35 265.40
2 Hatch Clerks 16 34.02 544.32
4 Crane Operators 20 36.32 726.40
" 16 54.48 871.68
2 Hatchtenders 16 35.21 563.36
4 Key Holdmen 32 34.96 1,118.72
16 Basic L/S 128 34.02 4,354.56
4 Lift Drivers 32 35.47 1,135.04
6 Truck Drivers 48 35.55 1,706.40
2 Key Foremen 16 44.23 707.68
" 4 66.35 265.40
1 Supercargo 8 41.00 328.00
" 3 61.60 184.50
1 Floor Runner 8 37.42 299.36
" 3 56.13 168.39
--- ---------
44 MEN 370 13,946.89
AVERAGE PER GANG HOUR 871.68
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
164.64 353.84 1,226.16
41.16 132.70 439.26
156.64 272.16 973.12
195.80 363.20 1,285.40
156.64 435.84 1,464.16
156.64 281.68 1,001.68
313.28 559.36 1,991.36
1,253.12 2,177.28 7,784.96
313.28 567.52 2,015.84
469.92 853.20 3,029.52
164.64 353.84 1,226.16
41.16 132.70 439.26
78.32 164.00 570.32
29.37 92.25 306.12
78.32 149.68 527.36
29.37 84.20 281.96
-------- -------- ---------
3,642.30 6,973.45 24,562.64
227.64 435.84
5. SEVEN DAY AVERAGE HOURLY GANG COST TTL HRS RATE/HR TTL AMOUNT
--------------------------------------------------------------------------------
WEEKDAY, DAY 5 DAYS @ 16 HOURS EACH 80 1,099.26 $ 87,940.80
WEEKDAY, NIGHT 5 NIGHTS @ 16 HOURS EACH 80 1,353.27 108,261.60
WEEKEND, DAY 2 DAYS @ 16 HOURS EACH 32 1,535.16 49,125.12
WEEKEND, NIGHT 2 NIGHTS @ 16 HOURS EACH 32 1,535.16 49,125.12
--- -------- -----------
TOTAL 224 $294,452.64
7 - DAY AVERAGE HOURLY GANG COST
6. RAILCAR LOADING - WEEKDAY
----------------------------
# MEN LABOR CLASS HOURS RATE WAGES ASSMT
----- ----------- ----- ----- ------ -----
1 Xxxxxxx 8 29.48 235.84 82.32
* 2 44.23 88.46 20.58
2 Crane Operators 10 24.21 242.10 97.90
* 8 36.32 290.56 78.32
4 Dockmen 32 22.68 725.76 313.28
1 Wedgeman 8 22.68 181.44 78.32
4 Lift Drivers 32 23.64 756.48 313.28
2 Car Runners 16 27.34 437.44 156.64
* 6 41.00 246.00 58.74
--- -------- --------
14 MEN 122 3,204.08 1,199.38
AVERAGE PER HOUR (A) 400.51 149.92
INS/TAX TTL AMOUNT
------- ----------
117.92 436.08
44.23 153.27
121.05 461.05
145.28 514.16
362.88 1,401.92
90.72 350.48
378.24 1,448.00
218.72 812.80
123.00 427.74
-------- --------
1,602.04 6,005.50
200.26
AVERAGE PER HOUR AS OF 07/01/94 $ 787.75
7. RAILCAR LOADING - WEEKEND
----------------------------
# MEN LABOR CLASS HOURS RATE WAGES ASSMT
----- ----------- ----- ---- ----- -----
1 Xxxxxxx 8 44.23 353.84 82.32
* 2 44.23 88.46 20.58
2 Crane Operators 10 36.32 363.20 97.90
* 8 36.32 290.56 78.32
4 Dockmen 32 34.02 1,088.64 313.28
1 Wedgeman 8 34.02 272.16 78.32
4 Lift Drivers 32 35.47 1,135.04 313.28
2 Car Runners 16 41.00 656.00 156.64
* 6 41.00 246.00 58.74
--- -------- --------
14 MEN 122 4,493.90 1,199.38
AVERAGE PER HOUR (B) 561.74 149.92
INS/TAX TTL AMOUNT
------- ----------
176.92 613.08
44.23 153.27
181.60 642.70
145.28 514.16
544.32 1,946.24
136.08 486.56
567.52 2,015.84
328.00 1,140.64
123.00 427.74
-------- --------
2,246.95 7,940.23
280.67
OVERTIME DIFFERENTIAL PER HOUR (B-A) $ 241.64
8. PMA TONNAGE ASSESSMENT- FROM 07/01/05 TO 06/30/96
-------------------------- ------------- -----------
TONNAGE ASSESSMENT- PER KT $1.28 $0.81
EFFECTIVE
9.OVERALL COST 1/1/96
--------------- ---------
a. Vessel Unloading, I.L.W.U. Labor $2.19
b. Train Loading I.L.W.U. Labor $1.09
c. Maintenance, I.L.W.U. Labor $0.51
d. PMA Tonnage Assessment $0.81
e. Equipment & Overhead $0.87
f. Wharfage $4.60
---------
TOTAL $10.07
=========
Volume Discount $1.18 per MT for all tonnage after one million metric
tons.
Rio Doce Pasha Terminal, L.P. General Office:
A California Limited Partnership Tel: (000) 000-0000
RDP Terminal, Inc. (General Partner) FAX: (000) 000-0000
000 X. Xxxxx Xxxxxx Xxxxxxxxxx, XX 00000 Executive Office:
Tel: (000) 000-0000
FAX: (000) 000-0000
November 15, 1996
Xx. Xxxxxx Xxxxxxx
Executive Vice President, Finance
California Steel Industries, Inc.
00000 Xxx Xxxxxxxxxx Xxx.
Xxxxxxx, XX 00000
Re: Stevedore / Terminal Rates - June 29, 1996 through June 27, 1997
Port of Los Angeles - Rio Doce Pasha Terminal, L.P.
Dear Xx. Xxxxxxx:
Pursuant to the terms of our agreement, we herewith attach amended Schedules I &
II which reflect the recently negotiated wages in the Memorandum of
Understanding between the ILWU and the PMA, and the increase in PMA man-hour
assessments effective July 1, 1996. Schedules III & IV were not affected and
therefore remain unchanged.
Also attached are the labor cost calculations as well as railcar detention and
differential costs for rail failures and weekend operations.
Although wages were dramatically increased, please keep in mind that last year
the rates were significantly reduced. Moreover, next year the wage increases
will only be $1.00 per hour and the following year there will be no increase to
wages. However, PMA man-hour assessments are calculated on a year to year basis.
We will immediately begin retroactive adjustments of all invoices back to June
28, 1996.
We thank you for your patience during the long ratification process and for
allowing us to be of service these many years. We look forward to continuing our
close and successful relationship. Please call if you should have any questions.
We remain sincerely yours,
RIO DOCE PASHA TERMINAL, L.P.
/s/ Xxxx Xxx Xxxxxxxx
Xxxx Xxx Xxxxxxxx
cc: Xx. Xxxxx Xxxx; Xx. Xxxx Xxxx; Xx. Xxxx Xxxxxxx
22.2 All joint working and dispatching rules shall remain in effect unless
changed by mutual agreement. All other restrictions on the Employer or employees
that are in conflict with the provisions of this Agreement are null and void.
Section 23
TERM OF AGREEMENT
This Agreement shall remain in effect until 5:00 p.m., July 1, 1999,
and shall be deemed renewed thereafter from year to year unless either party
gives written notice to the other of a desire to modify or terminate the same,
said notice to be given at least 60 days prior to the expiration date.
IN WITNESS WHEREOF, the Parties here to have signed this Agreement.
Dated: November 1, 1996
Pacific Maritime Association International Xxxxxxxxx and
Warehouse Union
On behalf of its members Local 91
/s/ Xxxx Xxxxx
/s/ Xxxxx X. Xxxx
Local 92
/s/ Xxxx Xxxxxx
Local 94
/s/ Xxxxxx Xxxxxxx
Local 98
/s/ Xxxx Xxxxxx
Xxxx 00
/x/ Xxxxxx Xxxxxxx
Xxxx 00
/s/ Xxxxxx Xxxxxxx
1st & 2nd 3rd
1st 2nd Shift 3rd Shift
Shift Shift Overtime Shift Overtime
20% Xxxxxxx $30.40 $40.53 $45.60 $48.64 $54.72
30% Walking Boss/
Xxxxxxx $34.00 $44.00 $49.50 $52.80 $59.40
1997-1999 WAGE SCHEDULE
Effective 8:00 a.m., June 28, 1997
1st & 2nd 3rd
1st 2nd Shift 3rd Shift
Shift Shift Overtime Shift Overtime
20% Xxxxxxx $31.40 $41.87 $47.10 $50.24 $56.52
30% Walking Boss/
Xxxxxxx $34.00 $45.33 $51.00 $54.40 $61.20
Pay Guarantee Plan Section 20
Rules and Administration
Section 20
PAY GUARANTEE PLAN, RULES, AND ADMINISTRATION
This Pay Guarantee Plan continues and is an extension of the Pay
Guarantee Plan provided in the Memorandum of Understanding of February 10, 1972,
as amended through July 1, 1993.
Preamble
The basic intention of the Pay Guarantee Plan (hereinafter PGP) is to
provide a weekly income to eligible registered men.
20.1 For each year of the Agreement the Employers will have a contingent
liability for the Pay Guarantee Plan of the following maximum amounts:
First year (6/29/96 to 6/28/97) .........................$24,960,000
Second year (6/28/97 to 6/27/98)..........................$20,020,000
Third year (6/27/98 to 7/01/99)..........................$20,020,000
20.11 In the first year $6,240,000 will be made available each quarter; in the
second year $5,005,000 will be made available in each quarter; in the third year
$5,005,000 will be made available each quarter.
20.12 One-thirteenth of each quarter's amount will be contingent liabilities and
will be available at the end of each payroll week to meet the Plan's payout
requirements for that week.
20.13 At the end of the first payroll week if the benefits that have been paid
are less than the amount available for that week, the unused amount will be made
available for the next payroll week(s) as provided in Section 20.3. Thereafter,
the unused amount of the total available in any payroll week shall be made
available for the following payroll week(s). This accumulating procedure shall
continue over the full 156-week contract period.
20.14 The Employers will determine the method by which contributions for the
contingent liability will be collected and made available.
20.2 Benefits. Effective with the beginning of the third payroll quarter of
1987, PGP benefits for Class A employees shall be a maximum of 38 hours pay each
week; PGP benefits for Class B employees who have 5 or more vacation qualifying
years as of the preceding April 1 shall be a maximum of 38 hours pay each week;
PGP benefits for Class B employees with less than 5 vacation qualifying years as
of the preceding April 1 shall be a maximum of 28 hours pay each week. The
hourly rate of PGP pay shall be the employee's appropriate straight time rate of
pay as provided under Section 4.13.
20.21 An exception to the benefits provided in Section 20.2 above shall be that
new registrants after July 1, 1984 shall not be entitled to PGP benefits until
completion of 1 year of registration.
20.22 The benefits payable each week shall be the difference between a man's
earnings for the 4-week period ending with the current week and PGP benefits for
those 4 weeks.
20.221 Earnings are defined as all earnings and/or compensation received during
the payroll week or period including such payments as straight time, overtime,
skill pay, penalty cargo pay, travel time pay, pay for vacations and paid
holidays, jury duty pay, State unemployment benefits and PGP payments.
20.2211 Compensation shall include all payroll adjustments including monetary
claims paid as a result of LRC or arbitration decisions. Payroll adjustments
shall be included as
CALIFORNIA STEEL INDUSTRIES, INC.
RIO DOCE PASHA TERMINAL, L.P.
EXHIBIT 1 - Minimum 14,000 MT Per Day
LABOR COSTS FOR SLAB OPERATIONS - LOS ANGELES
EFFECTIVE: JANUARY 1, 1998 THROUGH JUNE 27, 1998
1. STEVEDORE GANG COSTS - WEEKDAY, DAY SHIFT (2 GANGS)
--------------------------------------------------------------------------------
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE
----- ------------ ----- ------ ----- -----
2 Hatch Foremen 16 2 18 34.00
" 4 2 6 51.00
2 Hatch Clerks 16 0 16 25.68
4 Crane Operators 20 4 24 30.22
" 16 0 16 45.32
2 Hatchtenders 16 0 16 27.95
4 Key Holdmen 32 0 32 30.22
16 Basic L/S 128 0 128 25.68
4 Lift Drivers 32 0 32 30.22
" 0 4 4 45.32
6 Truck Drivers 48 0 48 27.95
2 Key Foremen 16 2 18 34.00
" 4 2 6 51.00
1 Supercargo 8 0 8 32.48
" 3 0 3 48.73
1 Floor Runner 8 0 8 31.35
" 3 0 3 47.03
-- --- -- ---
44 MEN 370 16 386
AVERAGE PER GANG HOUR
1996 GANG COST
INCREASE %
WAGES ASSMT INS/TAX TTL AMOUNT
----- ----- ------- ----------
621.00 251.28 306.00 1,169.28
306.00 83.76 153.00 542.76
410.88 191.36 205.44 807.68
725.28 287.04 362.64 1,374.96
725.12 191.36 362.56 1,279.04
447.20 191.36 223.60 862.16
967.04 382.72 483.52 1,833.28
3,287.04 1,530.88 1,643.52 6,461.44
967.04 382.72 483.52 1,833.28
181.28 47.84 90.64 319.76
1,341.60 574.08 670.80 2,586.48
612.00 251.28 306.00 1,169.28
306.00 83.76 153.00 542.76
259.84 95.68 129.92 486.44
146.19 35.88 73.10 255.17
250.80 95.68 125.40 471.88
141.09 35.88 70.55 247.52
--------- -------- -------- ---------
11,686.40 4,712.56 5,843.21 22,242.17
730.40 294.54 365.20
666.20 261.64 333.10 1,260.94
10.25%
2. STEVEDORE GANG COSTS - WEEKDAY, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------------------------------
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE
----- ----------- ----- ------ ----- ----
2 Hatch Foremen 16 2 18 45.33
* 4 2 6 51.00
2 Hatch Clerks 16 0 16 34.24
* 16 0 16 45.32
4 Crane Operators 20 4 24 40.29
2 Hatchtender 16 0 16 37.26
4 Key Holdmen 32 0 32 40.29
16 Basic L/S 128 0 128 34.24
4 Lift Drivers 32 0 32 40.29
* 0 4 4 45.32
6 Truck Drivers 48 0 48 37.26
2 Key Foremen 16 2 18 45.33
* 4 2 6 51.00
1 Supercargo 8 0 8 43.31
* 3 0 3 48.73
1 Floor Runner 8 0 8 41.80
* 3 0 3 47.03
---- --- -- ---
44 MEN 370 16 386
AVERAGE PER GANG HOUR
1996 GANG COST
INCREASE %
WAGES ASSMT INS/TAX TTL AMOUNT
----- ----- ------- ----------
815.94 251.28 407.97 1,475.19
306.00 83.76 153.00 542.76
547.84 191.36 273.92 1,013.12
725.12 191.36 362.56 1,279.04
966.96 287.04 483.48 1,737.48
596.16 191.36 298.08 1,085.60
1,289.28 382.72 644.64 2,316.64
4,382.72 1,530.88 2,191.36 8,104.96
1,289.28 382.72 644.64 2,316.64
161.28 47.84 90.64 319.76
1,788.48 574.08 894.24 3,256.80
815.94 251.28 407.97 1,475.19
306.00 83.76 153.00 542.76
346.48 95.68 173.24 615.40
146.19 35.88 73.10 255.17
334.40 95.68 167.20 597.28
141.09 35.88 70.55 247.52
--------- -------- -------- ---------
14,979.16 4,712.56 7,489.59 27,181.31
936.20 294.54 468.10
859.61 261.64 429.80 1,551.05
9.53%
Page 1
California Consumer Price Index Page 1 of 2
CA TRADE AND COMMERCE AGENCY
California Consumer Price Index (CPI)
The CPI is a measure of prices at the consumer level, based upon a
survey Of goods and services conducted by the U.S. Bureau of Labor
Statistics. The CPI can be used to calculate consumer price
inflation by comparing index levels at different points in time.
The U.S. Bureau of Labor Statistics (BLS) publishes CPI data for
major metropolitan areas in the U.S., as well as a U.S. City
Average. The California CPI is calculated by the California
Department of Industrial Relations as a weighted average of the
three major metropolitan areas in the state surveyed by BLS. The
table below contains CPIs for California, the U.S., and the major
metropolitan areas in the state.
(Note: The Bureau of Labor Statistics prepares two CPI series:
Urban Wage Earners and Clerical Workers (CPI-W) and All Urban
Consumers (CPI-U). Each index is based on the expenditures of their
respective groups. However, the CPI-U is the more widely used index
for measuring consumer price inflation and is the series presented
below.)
Return to Links to Economic Data by Subject
-------------------------------------------
---------------------------------------------------------
Consumer Price Index
All Urban Consumers (CPI-U)
(1982-1984=100)
Los Angeles San Francisco
California Anaheim Oakland
Riverside San Xxxx*
1997:
Jan. 158.8 159.1 157.0
Feb. 159.2 159.2 157.9
Mar. 160.0 159.8 159.2
Apr. 160.2 159.9 159.6
May 160.0 159.5 159.8
Jun. 160.0 159.4 160.0
Jul. 160.2 159.5 160.6
Aug. 160.5 159.7 161.1
Sep 161.2 160.5 161.6
San Diego** U.S. City
Average
- 159.1
- 159.6
- 160.0
- 160.2
- 160.1
- 160.3
163.7 160.5
- 160.8
- 161.2
California Consumer Price Index Page 2 of 2
Oct. 161.9 161.1 162.5
Nov. 161.7 160.7 162.6
Dec. 162.0 161.2 162.6
Annual Ave. 160.5 160.0 160.4
1998:
Jan. - 161.0 -
Feb. 162.1 161.1 163.2
Mar. - 161.4 -
Apr. 163.1 161.8 164.6
May - 162.3 -
Jun. 163.6 162.2 165.5
Jul. - 162.1 -
Aug. 164.3 162.6 166.6
- 161.6
- 161.5
163.7 161.3
163.7 160.5
- 161.6
- 161.9
- 162.2
- 162.5
- 162.8
- 163.0
166.0 163.2
- 163.4
* The index for San Francisco-Oakland-San Xxxx will be published
by the U.S. Bureau of Labor Statistics for even numbered months
only.
** The index for San Diego is published semi-annually for
July and December.
Rio Doce Pasha Terminal, L.P. General Office:
A California Limited Partnership Tel: (000) 000-0000
RDP Terminal, Inc. (General Partner) FAX: (000) 000-0000
000 X. Xxxxx Xxxxxx Xxxxxxxxxx, XX 00000
Executive Office:
Tel: (000) 000-0000
FAX: (000) 000-0000
September 12, 1997
Xx. Xxxxxx Xxxxxxx
Executive Vice President, Finance
California Steel Industries, Inc.
00000 Xxx Xxxxxxxxxx Xxx.
Xxxxxxx, XX 00000
Re: Stevedore/Terminal Rates - June 28, 1997 through December 31,
1997 Stevedore/Terminal Rates - January 1, 1998 through June
27, 1998 Port of Los Angeles - Rio Doce Pasha Terminal, L.P.
Dear Xx. Xxxxxx:
Further to our letter of June 27, 1997 and our numerous discussions
concerning the rate adjustments, we are pleased to submit the attached
Schedules I & II for the above referenced time periods. Schedules III &
IV were not affected and therefore remain unchanged.
A. June 28, 1997 through December 31, 1997
This rate is consistent with past adjustments wherein labor wage
increases have been passed along in our rates with the following
additions:
1. RDP will invoice on its monthly miscellaneous railcar bills
$.05 per MT and the cost of a half a wedgeman (4 Hrs for
every shift worked), to cover the cost of additional wedging
demands.
2. Slabs larger than 22 MT each, exceeding 45,000 MT per annum,
will not be subject to the volume discount.
Dispatch/Demurrage for vessels with slabs larger than 22 MT,
exceeding 45,000 MT per annum to be calculated at 10,000 MT
per day. For June 28 through December 31, 1997 we will
prorate this to tonnage exceeding 22,500 MT.
B. January 1, 1998
Starting January 1, 1998 the rate will include the additional hours that
are required to retain steady labor which has become an intregal part of
the gang cost.
Xx. Xxxxxx Xxxxxxx
September 12, 1997
Page 2
If all is in order please advise and we will immediately begin to
retroactively adjust invoices since June 28. If you should have any
questions or comments we would be most pleased to discuss any items at
your convenience.
We remain sincerely yours,
RIO DOCE PASHA TERMINAL, L.P.
/s/ Xxxx Xxx Xxxxxxxx
Xxxx Xxx Xxxxxxxx
Contract Administration Manager
c: Xx. Xxxxx Xxxx
Xx. Xxxx Xxxx
Xx. Xxxx Xxxxxx
Steel Slabs
---------------------------------------------------------
RIO DOCE PASHA TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE I
EFFECTIVE: JUNE 28, 1997 THROUGH DECEMBER 31, 1997
STEVEDORE AND TERMINAL SERVICE CHARGES
(1) The stevedore and terminal rate for discharging of steel slabs and
loading to rail cars shall be $10.91 per metric tons (mtons), 1st or
2nd shift, seven days a week. This rate consists of the following
rate factors:
From: June 28, 1997
Until: DECEMBER 31, 1998
(a) ILWU labor, vessel unloading $2.620
(b) ILWU labor, train loading $1.318
(c) ILWU labor, maintenance $0.606
------
Total xxxxxxx $4.544
(d) PMA tonnage assessment $0.841
(e) Equipment & overhead $0.920
(f) Wharfage $4.600
------
TOTAL $10.91
(2) The above rate is subject to rate inclusions/not inclusions listed
in Schedule IV, Articles A, B and C of this agreement, and the
following conditions:
(a) Rates are based on the current mix of individual steel
slabs with weights less than and greater than 22 mton, and
will be of a similar ratio through 1997 year end. Customer
and Contractor will review the mix of individual slab
weights in 1998.
(b) Vessels to be of the open hatch class, and cargo to be
stowed with proper blockage stow, with sufficient access
and separation to allow ease of slinging cargo for maximum
lifts up to 45 mtons with the container cranes. (Stowage
commonly referred to as a "California" stow).
- Page 1 -
Steel Slabs
---------------------------------------------------------
(c) For cargoes requiring positioning under the hatch
projection, Contractor will provide for the service without
extra charge to Customer.
(3) Service charges for operations other than stated above shall be
negotiated on a vessel by vessel basis.
(4) Rail car loading shall be performed only during weekdays, from 0800
through 1700 hours.
(5) ILWU labor on standby awaiting for rail cars to be positioned will
be charged to Customer at the rates set forth in Schedules II and
III attached hereto.
ROUTINE RATE ADJUSTMENT FACTORS
(1) All rates in this agreement are based on ILWU wages, PMA man-hour
assessments, PMA tonnage assessments, insurance and taxes in effect
on the date of this agreement. Increases or decreases in any of
those costs during the term of this agreement shall be reflected in
the rates of this agreement by the same amount of any such increases
or decreases.
(2) Wharfage charges at $4.60 per mton of steel slabs shall be adjusted
in accordance with increases or decreases in the Port Tariff Rate
during the term of this agreement.
(3) Equipment costs, including for vessel unloading and rail car
loading, and Contractor's overhead shall be adjusted each July 1st
by the percentage change in the Southern California Consumer Price
Index for the year ending the previous March 31st.
VOLUME DISCOUNT
Contractor will give Customer a volume discount of $1.18 for tonnage in
excess of the annual minimum guarantee of 1,000,000 mtons.
- Page 2 -
Steel Slabs
---------------------------------------------------------
OTHER DISCOUNTS
(a) The steel slab throughput for cargo on vessels provided
with the proper stow as described above and worked with
vessel gear (which in Contractor's opinion is capable of
production closely comparable to that of the shore gantry
crane) will receive a discount of $1.00 per metric ton.
(b) Those steel slab cargoes which are taken by truck will
receive a discount of $0.75 per metric ton.
- Page 3 -
Steel Slabs
---------------------------------------------------------
RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE II
GANG HOUR/MANHOUR BILLING RATES
EFFECTIVE: JUNE 28, 1997 THROUGH DECEMBER 31, 1997
A. GANG HOUR BILLING RATES (STEVEDORE ONLY) PER HOUR
---------------------------------------- ---------
(1) Standby/detention - 1st shift $1,316.98
- 2nd shift $1,617.65
- Overtime shift $1,834.58
(2) Extra labor - 1st shift $1,514.53
- 2nd shift $1,860.30
- Overtime shift $2,109.77
NOTE 1: Refer to Schedule III for equipment charges.
NOTE 2: Extra labor rates consist of detention rates plus 15%
markup.
B. MAN-HOUR BILLING RATES - PER HOUR (EXTRA LABOR @ 15% MARKUP)
------------------------------------------------------------
Labor Class 1st Det 1st Xtr 0xx Xxxx XX Xxxx 0xx Xxxx 0xx OTD
----------- ------- ------- -------- ------- -------- -------
Longshoremen 50.48 54.33 12.84 19.26 23.11 30.82
Skilled L/S (10%) 53.89 58.08 13.97 20.96 25.16 33.54
Skilled L/S (20%) 57.29 61.82 15.11 22.67 27.20 36.26
Crane/Tophandler 67.28 71.81 15.11 22.67 27.20 36.26
Gearman 67.28 71.81 15.11 22.67 27.20 36.26
Mechanic 68.00 72.59 15.31 22.97 28.16 36.74
Lead Mechanic 83.18 88.14 16.54 24.81 29.77 39.70
Key Foremen 87.58 92.68 17.00 25.50 30.60 40.80
Basic Clerk 50.48 54.33 12.84 19.26 23.11 30.82
Supervisor (15%) 74.93 79.29 14.54 21.81 26.17 34.90
Supervisor (25%) 79.61 84.31 15.67 23.51 28.22 37 62
Supervisor (30%) 81.94 86.81 16.24 24.36 29.23 38.98
Xxxxxx 50.48 54.33 12.84 19.26 23.11 30.82
Chief Xxxxxx 74.93 79.29 14.54 21.81 26.17 34.90
- Page 4 -
CALIFORNIA STEEL INDUSTRIES, INC.
RIO DOCE PASHA TERMINAL, L.P.
EXHIBIT 1 - Minimum 14,000 MT Per Day
LABOR COSTS FOR SLAB OPERATIONS - LOS ANGELES
EFFECTIVE: JUNE 28, 1997 THROUGH DECEMBER 31, 1997
1. STEVEDORE GANG COSTS - WEEKDAY, DAY SHIFT (2 GANGS)
------------------------------------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ------ ----- ------
2 Hatch Foremen 16 34.00 544.00
" 4 51.00 204.00
2 Hatch Clerks 16 25.68 410.88
4 Crane Operators 20 30.22 604.40
" 16 45.32 725.12
2 Hatchtenders 16 27.95 447.20
4 Key Holdmen 32 30.22 967.04
16 Basic L/S 128 25.68 3287.04
4 Lift Drivers 32 30.22 967.04
6 Truck Drivers 48 27.95 1341.60
2 Key Foremen 16 34.00 544.00
" 4 51.00 204.00
1 Supercargo 8 32.48 259.84
" 3 48.73 146.19
1 Floor Runner 8 31.35 250.80
" 3 47.03 141.09
-- --- --------
44 MEN 370 11044.24
AVERAGE PER GANG HOUR 690.27
1996 GANG COST 666.2
INCREASE %
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
223.36 272.00 1039.36
55.84 102.00 361.84
191.36 206.44 807.68
239.20 302.20 1145.80
191.36 362.56 1279.04
191.36 223.60 862.16
382.72 483.52 1833.28
1530.88 1643.52 6461.44
382.72 483.52 1833.28
574.08 670.80 2586.48
223.36 272.00 1039.36
55.84 102.00 361.84
95.68 129.92 485.44
35.88 73.10 255.17
95.68 125.40 471.88
35.88 70.55 247.52
------- ------- --------
4505.20 5522.13 21071.57
281.58 345.13
261.64 333.1 $1,260.94
4.44%
2. STEVEDORE GANG COSTS - WEEKDAY, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
2 Hatch Foremen 16 45.33 725.28
" 4 51.00 204.00
2 Hatch Clerks 16 34.24 547.84
4 Crane Operators 20 40.29 805.80
" 16 45.32 725.12
2 Hatchtender 16 37.26 596.16
4 Key Holdmen 32 40.29 1289.28
16 Basic L/S 128 34.24 4382.72
4 Lift Drivers 32 40.29 1289.28
6 Truck Drivers 48 37.26 1788.48
2 Key Xxxxxxx 16 45.33 725.28
" 4 51.00 204.00
1 Supercargo 8 43.31 346.48
" 3 48.73 146.19
1 Floor Runner 8 41.80 334.40
" 3 47.03 141.09
--- --- --------
44 MEN 370 14251.40
AVERAGE PER GANG HOUR 890.71
1996 GANG COST 859.61
INCREASE %
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
223.36 362.64 1311.28
55.84 102.00 361.84
191.36 273.92 1013.12
239.20 402.90 1447.90
191.36 362.56 1279.04
191.36 298.08 1085.60
382.72 644.64 2316.64
1530.88 2191.36 8104.96
382.72 644.64 2316.64
574.08 894.24 3256.80
223.36 362.64 1311.28
55.84 102.00 361.84
95.68 173.24 615.40
35.88 73.10 255.17
95.68 167.20 597.28
35.88 70.55 247.52
------- ------- --------
4505.20 7125.71 25882.31
281.58 445.36
261.64 429.80 $1,551.05
4.29%
Page 1
3. STEVEDORE GANG COSTS - WEEKEND, DAY SHIFT (2 GANGS)
------------------------------------------------------
#MEN LABOR CLASS HOURS RATE WAGES
---- ----------- ----- ---- -----
2 Hatch Foremen 16 51.00 816
" 4 76.50 306
2 Hatch Clerks 16 38.52 616.32
4 Crane Operators 20 45.32 906.4
" 16 67.98 1087.68
2 Matchtenders 18 41.92 670.72
4 Key Holdmen 32 45.32 1450.24
16 Basic L/S 128 38.52 4930.56
4 Lift Drivers 32 45.32 1450.24
6 Truck Drivers 48 41.92 2012.16
2 Key Foremen 16 51.00 816
" 4 76.50 306
1 Supercargo 8 48.73 389.84
" 3 73.10 219.3
1 Floor Runner 8 47.03 376.24
" 3 70.55 211.65
--- --- --------
44 MEN 370 16565.36
AVERAGE PER GANG HOUR 1035.33
1996 GANG COST 999.26
INCREASE %
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
223.36 408.00 1447.36
55.84 153.00 514.84
191.36 308.16 1115.84
239.20 453.20 1598.80
191.36 543.84 1822.88
191.36 335.36 1197.44
382.72 725.12 2558.08
1530.88 2465.28 8926.72
382.72 725.12 2558.08
574.08 1006.08 3592.32
223.36 408.00 1447.36
55.84 153.00 514.84
95.68 194.92 680.44
35.88 109.65 364.83
95.68 188.12 660.04
35.88 105.83 353.36
------- ------- --------
4505.20 8282.68 29353.23
281.58 517.67
261.64 499.63 $1,760.53
4.21%
4. STEVEDORE GANG COSTS - WEEKEND, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
2 Hatch Xxxxxxx 16 51.00 816.00
" 4 76.50 306.00
2 Hatch Clerks 16 38.52 616.32
4 Crane Operators 20 45.32 906.40
" 16 67.98 1087.68
2 Hatchtender 16 41.92 670.72
4 Key Holdmen 32 45.32 1450.24
16 Basic L/S 128 38.52 4930.56
4 Lift Drivers 32 45.32 1450.24
6 Truck Drivers 48 41.92 2012.16
2 Key Xxxxxxx 16 51.00 816.00
" 4 76.50 306.00
1 Supercargo 8 48.73 389.84
" 3 73.10 219.30
1 Floor Runner 8 47.03 376.24
" 3 70.55 211.65
--- --- --------
44 MEN 370 16565.35
AVERAGE PER GANG HOUR 1035.33
1996 GANG COST 999.26
INCREASE %
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
223.36 408.00 1447.36
55.84 153.00 514.84
191.36 308.16 1115.84
239.20 453.20 1598.80
191.36 543.84 1822.88
191.36 335.36 1197.44
382.72 725.12 2558.08
1530.88 2465.28 8926.72
382.72 725.12 2558.08
574.08 1006.08 3592.32
223.36 408.00 1447.36
55.84 153.00 514.84
95.68 194.92 680.44
35.88 109.65 364.83
95.68 188.12 660.04
35.88 505.83 353.36
------- ------- --------
4505.20 8282.68 29353.23
281.58 517.67
261.64 499.63 $1,760.53
4.21%
Page 2
5. SEVEN DAY AVERAGE HOURLY GANG COST TTL HRS RATE/HR TTL AMOUNT
------------------------------------- ------- ------- ----------
WEEKDAY, DAY 5 DAYS @ 16 HOURS EACH 80 1,316.98 $105,358.40
WEEKDAY, NIGHT 5 NIGHTS @ 16 HOURS EACH 80 1,617.65 129,412.00
WEEKEND, DAY 2 DAYS @ 16 HOURS EACH 32 1,834.58 58,706.56
WEEKEND, NIGHT 2 NIGHTS @ 16 HOURS EACH 32 1,834.58 58,706.56
--- -----------
TOTAL 224 $352,183.52
7 - DAY AVERAGE HOURLY GANG COST
7 - DAY AVERAGE HOURLY GANG COST AS OF 06/29/96 $1,507.29
INCREASE % 4.31%
6. RAILCAR LOADING - WEEKDAY
----------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
1 Xxxxxxx 8 34.00 272.00
" 2 51.00 102.00
2 Crane Operators 10 30.22 302.20
" 8 45.32 362.56
4 Dockmen 32 25.68 821.76
1 Wedgeman 8 25.68 205.44
4 Lift Drivers 32 30.22 967.04
2 Car Runners 16 32.48 519.68
" 6 48.73 292.38
-- --- -------
14 MEN 122 3845.06
AVERAGE PER HOUR (A) 480.63
AVERAGE PER HOUR AS OF 06/29/98
INCREASE %
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
111.68 136.00 519.68
27.92 51.00 180.92
119.60 151.10 572.90
95.68 181.28 639.52
382.72 410.88 1615.36
95.68 102.72 403.84
382.72 483.52 1833.28
191.36 259.84 970.88
71.76 146.19 510.33
------- ------- -------
1479.12 1922.53 7246.71
184.89 240.32
$868.91
4.25%
7. RAILCAR LOADING - WEEKEND
----------------------------
# MEN LABOR CLASS HOURS RATE WAGES
----- ----------- ----- ---- -----
1 Xxxxxxx 8 51.00 408.00
" 2 76.50 153.00
2 Crane Operators 10 45.32 453.20
" 8 45.32 382.56
4 Dockmen 32 38.52 1232.64
1 Wedgeman 8 38.52 308.16
4 Lift Drivers 32 45.32 1450.24
2 Car Runners 16 48.73 779.68
" 6 48.73 292.38
-- --- -------
14 MEN 122 5439.86
AVERAGE PER HOUR (B) 679.98
OVERTIME DIFFERENTIAL PER HOUR (B - A)
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
111.68 204.00 723.68
27.92 76.50 257.42
119.60 226.60 799.40
95.68 181.28 639.52
382.72 616.32 2231.68
95.68 154.08 557.92
382.72 725.12 2558.08
191.36 389.84 1360.88
71.76 146.19 510.33
------- ------- -------
1479.12 2719.93 9638.91
184.89 339.99
$299.02
Page 3
8. PMA TONNAGE ASSESSMENT- FROM 07/01/97 TO 06/30/98
-------------------------- ------------- -----------
TONNAGE ASSESSMENT - PER KT $0.915 $0.841
EFFECTIVE EFFECTIVE %
9. OVERALL COST 6/29/96 6/28/97 Increase
----------------------------------------------------------------------------
a. Vessel Unloading, I.L.W.U. Labor $2.512 $2.620 4.30%
b. Train Loading, I.L.W.U. Labor $1.264 $1.318 4.27%
d. Maintenance, I.L.W.U. Labor $0.581 $0.606 4.30%
e. PMA Tonnage Assessment $0.915 $0.841 -8.09%
f. Equipment & Overhead $0.895 $0.920 2.79%
g. Wharfage $4.600 $4.600 0.00%
TOTAL $10.77 $10.91 1.30%
====== ======
Volume Discount: $1.18 per MT for all tonnage after one million metric tons.
Large Slabs: Slabs larger than 22 MT each, exceeding 45,000 MT
per annum, will not be subject to the volume discount.
Dispatch/Demurrage for vessels with slabs larger then 22
MT, exceeding 45,000 MT per annum, to be calculated at
10,000 MT per day.
Wedges/Wedgemen: Because of additional requirements by the railroad,
RDP will invoice on its monthly miscellaneous railcar
bills $ .05 per MT for wedges. Moreover, RDP will
invoice an additional half a wedgeman (4 Hrs) for every
day railcars are loaded.
10. Railcar Loading - Detentions / Differentials
------------------------------------------------------------------------
A. Weekdays (Monday through Friday, 0800-1700)
Detentions - Standby for Railcars $905.84 Per Hour
B. Weekends, Holidays, & Extended Shifts
Detentions - Standby for Railcars $1,204.86 Per Hour
Overtime Differential $299.02 Per Hour
Page 4
Steel Slabs
---------------------------------------------------------
RIO DOCE PASHA TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE I
EFFECTIVE: JANUARY 1, 1998 THROUGH JUNE 27, 1998
STEVEDORE AND TERMINAL SERVICE CHARGES
(1) The stevedore and terminal rate for discharging of steel slabs and
loading to rail cars shall be $11.12 per metric tons (mtons), 1st or
2nd shift, seven days a week. This rate consists of the following
rate factors:
From: JANUARY 1, 1998
Until: JUNE 27, 1998
(a) ILWU labor, vessel unloading $2.731
(b) ILMU labor, train loading $1.425
(c) ILWU labor, maintenance $0.604
------
Total xxxxxxx $4.760
(d) PMA tonnage assessment $0.841
(e) Equipment & overhead $0.920
(f) Wharfage $4.600
------
TOTAL $11.12
(2) The above rate is subject to rate inclusions/not inclusions listed
in Schedule IV, Articles A, B and C of this agreement, and the
following conditions:
(a) Rates are based on the current mix of individual steel slabs
with weights less than and greater than 22 mton, and will be
of a similar ratio through 1998 year end. Customer and
Contractor will review the mix of individual slab weights in
1999.
(b) Vessels to be of the open hatch class, and cargo to be
stowed with proper blockage stow, with sufficient access and
separation to allow ease of slinging cargo for maximum lifts
up to 45 mtons with the container cranes. (Stowage commnonly
referred to as a "California" stow).
- Page 1 -
Steel Slabs
---------------------------------------------------------
(c) For cargoes requiring positioning under the hatch
projection, Contractor will provide for the service without
extra charge to Customer.
(3) Service charges for operations other than stated above shall be
negotiated on a vessel by vessel basis.
(4) Rail car loading shall be performed only during weekdays, from 0800
through 1700 hours.
(5) ILMU labor on standby awaiting for rail cars to be positioned will
be charged to Customer at the rates set forth in Schedules II and
III attached hereto.
ROUTINE RATE ADJUSTMENT FACTORS
(1) All rates in this agreement are based on ILWU wages, PMA man-hour
assessments, PMA tonnage assessments, insurance and taxes in effect
on the date of this agreement. Increases or decreases in any of
those costs during the term of this agreement shall be reflected in
the rates of this agreement by the same amount of any such increases
or decreases.
(2) Wharfage charges at $4.60 per mton of steel slabs shall be adjusted
in accordance with increases or decreases in the Port Tariff Rate
during the term of this agreement.
(3) Equipment costs, including for vessel unloading and rail car
loading, and Contractor's overhead shall be adjusted each July 1st
by the percentage change in the Southern California Consumer Price
Index for the year ending the previous March 31st.
VOLUME DISCOUNT
Contractor will give Customer a volume discount of $1.18 for tonnage in
excess of the annual minimum guarantee of 1,000,000 mtons.
- Page 2 -
Steel Slabs
---------------------------------------------------------
OTHER DISCOUNTS
(a) The steel slab throughput for cargo on vessels provided with
the proper stow as described above and worked with vessel
gear (which in Contractor's opinion is capable of production
closely comparable to that of the shore gantry crane) will
receive a discount of $1.00 per metric ton.
(b) Those steel slab cargoes which are taken by truck will
receive a discount of $0.75 per metric ton.
- Page 3 -
Steel Slabs
---------------------------------------------------------
RDP TERMINAL
CALIFORNIA STEEL INDUSTRIES, INC.
SCHEDULE II
GANG HOUR/MANHOUR BILLING RATES
EFFECTIVE: JANUARY 1, 1998 THROUGH JUNE 27, 1998
A. GANG HOUR BILLING RATES (STEVEDORE ONLY) PER HOUR
---------------------------------------- --------
(1) Standby/detention - - 1st shift $1,390.14
- 2nd shift $1,698.84
- Overtime shift $1,874.55
(2) Extra labor - 1st shift $1,598.66
- 2nd shift $1,953.67
- Overtime shift $2,155.73
NOTE 1: Refer to Schedule III for equipment charges.
NOTE 2: Extra labor rates consist of detention rates plus 15%
markup.
B. MAN-HOUR BILLING RATES - PER HOUR (EXTRA LABOR @ 15% MARKUP)
------------------------------------------------------------
0xx 0xx 0xx XX 0xx 0xx
Xxxxx Class Det Xtr Diff Diff Diff OTD
----------- ----- ----- ----- ----- ----- -----
Longshoremen 50.48 54.33 12.84 19.26 23.11 30.82
Skilled L/S (10%) 53.89 58.08 13.97 20.96 25.16 33.54
Skilled L/S (20%) 57.29 61.82 15.11 22.67 27.20 36.26
Crane/Tophandler 67.28 71.81 15.11 22.67 27.20 36.26
Gearman 67.28 71.81 15.11 22.67 27.20 36.26
Mechanic 68.00 72.59 15.31 22.97 28.16 36.74
Lead Mechanic 83.18 88.14 16.54 24.81 29.77 39.70
Key Foremen 87.58 92.68 17.00 25.50 30.60 40.80
Basic Clerk 50.48 54.33 12.84 19.26 23.11 30.82
Supervisor (15%) 74.93 79.29 14.54 21.81 26.17 34.90
Supervisor (25%) 79.61 84.31 15.67 23.51 28.22 37.62
Supervisor (30%) 81.94 86.81 16.24 24.36 29.23 38.98
Xxxxxx 50.48 54.33 12.84 19.26 23.11 30.82
Chief Xxxxxx 74.93 79.29 14.54 21.81 26.17 34.90
- Page 4 -
CALIFORNIA STEEL INDUSTRIES, INC.
RIO DOCE PASHA TERMINAL, L.P.
EXHIBIT 1 - Minimum 14,000 MT Per Day
LABOR COSTS FOR SLAB OPERATIONS - LOS ANGELES
EFFECTIVE: JANUARY 1, 1998 THROUGH JUNE 27, 1998
1. STEVEDORE GANG COSTS - WEEKDAY, DAY SHIFT (2 GANGS)
-------------------------------------------------------------------------------
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE WAGES
----- ----------- ----- ------ ----- ----- ------
2 Hatch Foremen 16 2 18 34.00 612.00
" 4 2 6 51.00 306.00
2 Hatch Clerks 16 0 16 25.68 410.88
4 Crane Operators 20 4 24 30.22 725.28
" 16 0 16 45.32 725.12
2 Hatchtenders 16 0 16 27.95 447.20
4 Key Holdmen 32 0 32 30.22 967.04
16 Basic L/S 128 0 128 25.68 3287.04
4 Lift Drivers 32 0 32 30.22 967.04
" 0 4 4 45.32 181.28
6 Truck Drivers 48 0 48 27.95 1341.60
2 Key Foremen 16 2 18 34.00 612.00
" 4 2 6 51.00 306.00
1 Supercargo 8 0 8 32.48 259.84
" 3 0 3 48.73 146.19
1 Floor Runner 8 0 8 31.35 250.80
" 3 0 3 47.03 141.09
-- --- -- --- --------
44 MEN 370 16 386 11686.40
AVERAGE PER GANG HOUR 730.40
1996 GANG COST 666.2
INCREASE %
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
251.28 306.00 1169.28
83.76 153.00 542.76
191.36 205.44 807.68
287.04 362.64 1374.96
191.36 362.56 1279.04
191.36 223.60 862.16
382.72 483.52 1833.28
1530.88 1643.52 6461.44
382.72 483.52 1833.28
47.84 90.64 319.76
574.08 670.80 2586.48
251.28 306.00 1169.28
83.76 153.00 542.76
95.68 129.92 485.44
35.88 73.10 255.17
95.68 125.40 471.88
35.88 70.55 247.52
------- ------- --------
4712.56 5843.21 22242.17
294.54 365.20
261.64 333.1 $1,260.94
10.25%
2. STEVEDORE GANG COSTS - WEEKDAY, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE WAGES
----- ----------- ----- ----- ----- ---- ------
2 Hatch Foremen 16 2 18 45.33 815.94
" 4 2 6 51.00 306.00
2 Hatch Clerks 16 0 16 34.24 547.84
4 Crane Operators 20 4 24 40.29 966.96
" 16 0 16 45.32 725.12
2 Hatchtender 16 0 18 37.26 598.16
4 Key Holdmen 32 0 32 40.29 1289.28
16 Basic L/S 128 0 128 34.24 4382.72
4 Lift Drivers 32 0 32 40.29 1289.28
" 0 4 4 45.32 181.28
6 Truck Drivers 48 0 48 37.26 1788.48
2 Key Xxxxxxx 16 2 18 45.33 815.94
" 4 2 6 51.00 306.00
1 Supercargo 8 0 8 43.31 346.48
" 3 0 3 48.73 146.19
1 Floor Runner 8 0 8 41.80 334.40
" 3 0 3 47.03 141.09
-- --- -- --- --------
44 MEN 370 16 386 14979.16
AVERAGE PER GANG HOUR 936.20
1996 GANG COST 859.61
INCREASE %
ASSMT INS/TAX TTL AMOUNT
------ ------ ----------
251.28 407.97 1475.19
83.76 153.00 542.76
191.36 273.92 1013.12
287.04 483.48 1737.48
191.36 362.56 1279.04
191.36 298.08 1085.60
382.72 644.64 2316.64
1530.88 2191.36 8104.98
382.72 644.64 2316.64
47.84 90.64 319.76
574.08 894.24 3256.80
251.28 407.97 1475.19
83.76 153.00 542.76
95.68 173.24 615.40
35.88 73.10 255.17
95.68 167.20 597.28
35.88 70.55 247.52
------- ------- --------
4712.56 7489.59 27181.31
294.54 468.10
261.64 429.80 $1,551.05
9.53%
Page 1
3. STEVEDORE GANG COSTS - WEEKEND, DAY SHIFT (2 GANGS)
------------------------------------------------------
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE WAGES
----- ----------- ----- ------ ----- ---- -----
2 Hatch Foremen 16 0 16 51.00 816.00
" 4 0 4 76.50 306.00
2 Hatch Clerks 16 0 16 38.52 616.32
4 Crane Operators 20 4 24 45.32 1087.68
" 16 0 16 67.98 1087.68
2 Hatchtenders 16 0 16 41.92 670.72
4 Key Holdmen 32 0 32 45.32 1450.24
16 Basic L/S 128 0 128 38.52 4930.56
4 Lift Drivers 32 4 36 45.32 1631.52
6 Truck Drivers 48 0 48 41.92 2012.16
2 Key foremen 16 0 16 51.00 816.00
" 4 0 4 76.50 306.00
1 Supercargo 8 0 8 48.73 389.84
" 3 0 3 73.10 219.30
1 Floor Runner 8 0 8 47.03 376.24
" 3 0 3 70.55 211.65
-- --- - --- -------
44 MEN 370 8 378 16927.9
AVERAGE PER GANG HOUR 1057.99
1996 GANG COST 999.26
INCREASE %
ASSMT INS/TAX TTL AMOUNT
----- ------- ----------
223.36 408.00 1447.36
55.84 153.00 514.84
191.36 308.16 1115.84
287.04 543.84 1918.56
191.36 543.84 1822.88
191.36 335.36 1197.44
382.72 725.12 2558.08
1530.88 2465.28 8926.72
430.56 815.76 2877.84
574.08 1006.08 3592.32
223.36 408.00 1447.36
55.84 153.00 514.84
95.68 194.92 680.44
35.88 109.65 364.83
95.68 188.12 660.04
35.88 105.83 353.36
------- ------- --------
4600.88 8463.96 29992.75
287.56 529.00
261.64 499.63 $1,760.53
6.48%
4. STEVEDORE GANG COSTS - WEEKEND, NIGHT SHIFT (2 GANGS)
--------------------------------------------------------
ADDED
STEADY TOTAL
#MEN LABOR CLASS HOURS HOURS HOURS RATE WAGES
---- ----------- ----- ------ ----- ------ --------
2 Hatch Xxxxxxx 16 0 16 51.00 816.00
" 4 0 4 76.50 306.00
2 Hatch Clerks 16 0 16 38.52 616.32
4 Crane Operators 20 4 24 45.32 1087.68
" 16 0 16 67.98 1087.68
2 Hatchtender 16 0 16 41.92 670.72
4 Key Holdmen 32 0 32 45.32 1450.24
16 Basic L/S 128 0 128 38.52 4930.56
4 Lift Drivers 32 4 36 45.32 1631.52
6 Truck Divers 48 0 48 41.92 2012.16
2 Key Xxxxxxx 16 0 16 51.00 816.00
" 4 0 4 76.50 306.00
1 Supercargo 8 0 8 48.73 389.84
" 3 0 3 73.10 219.30
1 Floor Runner 8 0 8 47.03 376.24
" 3 0 3 70.55 211.65
-- --- - --- --------
44 MEN 370 8 378 16927.91
AVERAGE PER GANG HOUR 1057.99
1996 GANG COST 999.26
INCREASE %
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
223.36 408.00 1447.36
55.84 153.00 514.84
191.36 308.16 1115.84
287.04 543.84 1918.56
191.36 543.84 1822.88
191.36 335.36 1197.44
382.72 725.12 2558.08
1530.88 2465.28 8926.72
430.56 815.76 2877.84
574.08 1006.08 3592.32
223.36 408.00 1447.36
55.84 153.00 514.84
95.68 194.92 680.44
35.88 109.65 364.83
95.68 188.12 660.04
35.88 105.83 353.36
------- ------- --------
4600.88 8463.96 29992.76
287.56 529.00
261.64 499.63 $1,760.53
6.48%
Page 2
5. SEVEN DAY AVERAGE HOURLY GANG COST TTL HRS RATE/HR TTL AMOUNT
------------------------------------- ------- ------- ----------
WEEKDAY, DAY 5 DAYS @ 16 HOURS EACH 80 1,390.14 $111,211.20
WEEKDAY, NIGHT 5 NIGHTS@16 HOURS EACH 80 1,698.84 135907.2
WEEKEND, DAY 2 DAYS @ 16 HOURS EACH 32 1,874.55 59985.6
WEEKEND, NIGHT 2 NIGHTS @ 16 HOURS EACH 32 1,874.55 59985.6
--- -----------
TOTAL 224 $367,089.60
7 - DAY AVERAGE HOURLY GANG COST
7 - DAY AVERAGE HOURLY GANG COST AS OF 06/29/98 $1,507.29
INCREASE % 8.72%
6. RAILCAR LOADING - WEEKDAY
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE WAGES
----- ----------- ----- ------ ----- ----- ------
1 Xxxxxxx 8 1 9 34.00 306.00
" 2 1 3 51.00 153.00
2 Crane Operators 10 2 12 30.22 362.64
" 8 0 8 45.32 362.56
4 Dockmen 32 0 32 25.68 821.76
1 Wedgeman 8 0 8 25.68 205.44
4 Lift Drivers 32 0 32 30.22 967.04
" 0 4 4 45.32 181.28
2 Car Runners 16 0 16 32.48 519.68
" 6 0 6 48.73 292.38
-- --- - --- -------
14 MEN 122 8 130 4171.78
AVERAGE PER HOUR (A) 521.47
ASSMT INS/TAX TTL AMOUNT
------ ------ ------
125.64 153.00 584.64
41.88 76.50 271.38
143.52 181.32 687.48
95.68 181.28 639.52
382.72 410.88 1615.36
95.68 102.72 403.84
382.72 483.52 1833.28
47.84 90.64 319.76
191.36 259.84 970.88
71.76 146.19 510.33
------- ------- -------
1578.80 2085.89 7836.47
197.35 260.74
AVERAGE PER HOUR AS OF 06/29/96 $868.91
INCREASE % 12.73%
7. RAILCAR LOOADING - WEEKEND
-----------------------------
ADDED
STEADY TOTAL
# MEN LABOR CLASS HOURS HOURS HOURS RATE WAGES
----- ----------- ----- ----- ----- ----- ------
1 Xxxxxxx 8 1 9 51.00 459.00
" 2 1 3 76.50 153.00
2 Crane Operators 10 2 12 45.32 543.84
" 8 0 8 45.32 362.56
4 Dockmen 32 0 32 38.52 1232.64
1 Wedgeman 8 0 8 38.52 308.16
4 Lift Drivers 32 4 36 45.32 1631.52
2 Car Runners 16 0 16 48.73 779.68
" 6 0 6 48.73 292.38
-- --- - --- -------
14 MEN 122 8 130 5762.78
AVERAGE PER HOUR (B) 720.35
ASSMT INS/TAX TTL AMOUNT
------ ------- ----------
125.64 229.50 814.14
27.92 76.50 257.42
143.52 271.92 959.28
95.68 181.28 639.52
382.72 616.32 2231.68
95.68 154.08 557.92
430.56 815.76 2877.84
191.36 389.84 1360.88
71.76 146.19 510.33
------- ------- --------
1564.84 2881.39 10209.01
195.61 360.17
OVERTIME DIFFERENTIAL PER HOUR (B - A) $296.57
Page 3
8. PMA TONNAGE ASSESSMENT- FROM 07/01/97 TO 06/30/98
-------------------------- ------------- -----------
TONNAGE ASSESSMENT - PER KT $0.915 $0.841
EFFECTIVE EFFECTIVE %
9. OVERALL COST 6/29/96 6/28/97 Increase
--------------- --------- --------- --------
a. Vessel Unloading, I.L.W.U. Labor $2.512 $2.731 8.72%
b. Train Loading, I.L.W.U. Labor $1.264 $1.425 12.74%
c. Maintenance, I.L.W.U. Labor $0.581 $0.604 3.96%
d. PMA Tonnage Assessment $0.915 $0.841 -8.09%
e. Equipment & Overhead $0.895 $0.920 2.79%
f. Wharfage $4.600 $4.600 0.00%
TOTAL $10.77 $11.12 3.25%
==========
Volume Discount: $1.18 per MT for all tonnage after one million metric tons.
Large Slabs: Slabs larger than 22 MT each, exceeding 45,000 MT per annum,
will not be subject to the volume discount. Dispatch/Demurrage for
vessels with slabs larger than 22 MT, exceeding 45,000 MT per
annum, to be calculated at 10,000 MT per day.
Wedges/Wedgemen: Because of additional requirements by the railroad, RDP will
invoice on its monthly miscellaneous railcar bills $ .05 per
MT for wedges. Moreover, RDP will invoice an additional half a
wedgeman (4 Hrs) for every day railcars are loaded.
10. Railcar Loading - Detentions / Differentials
------------------------------------------------
A. Weekdays (Monday through Friday, 0800-1700)
Detentions - Standby for Railcars $979.56 Per Hour
B. Weekends, Holidays, & Extended Shifts
Detentions - Standby for Railcars $1,276.13 Per Hour
Overtime Differential $296.57 Per Hour
Page 4
[LOGO OF RIO DOCE] [LETTERHEAD OF RIO DOCE PASHA TERMINAL, L.P.]
March 22, 1999
Xxxxxxx X. Xxxxxx
CALIFORNIA STEEL INDUSTRIES
00000 Xxx Xxxxxxxxxx Xxxxxx
X.X. Xxx 0000
Xxxxxxx, XX 00000
Xxxxxxx,
With our busy schedules it seemed as if it would be impossible to sit down and
discuss 1998, let alone upcoming contract negotiations.
So, it was a pleasure to have the dialog we had. It shows we are very proud of
our companies as well as the direction they are heading.
As we had agreed, RDP will not increase the stevedoring rates through June 1999.
We do intend to negotiate new rates with CSI once the ILWU contract has been
completed. We would expect this to be some time in late July of 1999.
Thank you and best regards,
/s/ Xxxx Xxxxxx
Xxxx Xxxxxx
V.P./G.M.
