Owner operator update

In the asphalt industry, owner operators and dependent contractors got a 2.5% rate increase in 2012.
A retro pay increase of 3% was provided for the first year and a 2.5% increase retroactive from March 1,
2012 for our Schedule A regular members.

The regular members also received a $.10 per hour addition to their benefits.

We also got a minimum call-out clause for our dependent contractors and owner operators. They will
receive a minimum of 4 hours pay if any work is done and a minimum 2 hours pay if no work
commences. If the employer calls out dependent contractors and owner operators and decides to cancel
the work, the employer shall give a minimum 2-hour notice of cancellation or the members are to bill and
are entitled to 2 hours pay.

On Nov. 1, 2012, the new rates for the Utility Group (TUG) came into effect. Through negotiations,
industry rates were raised to $82 per hour for a tandem, $104 per hour for truck and pony, and $137 per
hour for truck and 4-axle transfer. They are still far from where they need to be. We will be back in
negotiations soon.