days until our Collective Agreement expires, we are preparing, we are united and we will make change.


Re: Improvements to Insurance Benefits

November 3, 2002

Pamela Sachs
CUPE, Air Canada Component
180 Atwell Drive, Suite 600
Toronto, ON

Dear Ms. Sachs,

Re: Improvements to Insurance Benefits

The Company agrees to make the following improvements to CUPE’s insurance benefits:

•    The maximum coverage under the Supplemental Life Insurance (Type 1) will increase from two hundred thousand dollars ($200,000) to four hundred thousand dollars ($400,000) and the cost of this coverage will continue to be fully paid for by the employee.  The amount of coverage is subject to the insurer’s requirements regarding evidence of insurability.

•    The company agrees to introduce Basic Accidental Death and Dismemberment coverage covering all situations, including ground transportation.  The maximum amount of coverage will be equal to the Basic Life Insurance coverage of seventy-five thousand dollars ($75,000).

•    The Company agrees to increase the maximum amount of coverage under the smoke inhalation insurance to one hundred thousand dollars ($100,000).

•    Their will be no change in the company contribution to the WIP plan.

Yours truly,

Kevin Howlett
Vice President, Labour Relations