COMPANY OPTIONS TO SETTLE NEGOTIATIONS
August 27,  2002


OPTION 1: Last Company Proposal as presented

OPTION 2: Four-year contract.  Last Company proposal as to benefits extended for an additional year with wages of 2.5%, 2.5%, 3.0% and 3.0%, plus a one-time payment of specified dollars as of 1/1/04 (6 hr @ time & � = $200.00)

OPTION 3: Four-year contract.  Last Company proposal as to benefits extended for an additional year with wages of 2.5%, 2.5%, 3.0% and 3.0%, plus an equity adjustment of $.05/hour on 12/01/03 for Job Grades 5-9 at TCO and CNR and for all classifications at CKY other than Utility B, Utility A, and Street Service C.

OPTION 4: Five-year contract.  Last Company proposal as to benefits extended for an additional two years with wages of 2.5%, 2.5%, 3.0%, 3.0% and 2.5%.  Plus:
FOR ALL COMPANIES:

$.05 adjustment in 12/03 and 12/04 for Job Grades 5-9 at CNR and TCO and for all classifications at CKY other than Utility B, Utility A, and Street Service C.

Lower entry level rates prospectively for Job Grades 1 through 4 at CNR and TCO and in the classifications of Utility B, Utility A, and Street Service C at CKY.  $2.00 less than current rates.

FOR CKY:

Noonday meals paid by basic seniority units

FOR TCO:

Collapsing of job classifications

FOR CNR:

Longer progressions to 2 yrs (instead of 1 year) for UB to UA and UA to Roustabout

OPTION 5:   Five-year contract.  Last Company proposal as to benefits extanded for an additional two years with wages of 2.5%, 2.5%, 3.0%, 3.0% and 2.5%.  Plus equity adjustments of:

$.05 in 2003
$.05 in 2004
$.05 in 2005

Separate contracts for the three companies

(All options contingent upon a signed MOU)

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