1998 GENERAL MEMORANDUM OF UNDERSTANDING
Whereas, the Potomac Electric Power Company (the "Company") and Local 1900 of the International
Brotherhood of Electrical Workers (the "Union") by mutual agreement conducted early negotiations to extend the
1995 Collective Bargaining Agreement;
Whereas, the Company and the Union have agreed to a successor Collective Bargaining Agreement (hereinafter
referred to as the "1998 Agreement'), whose terms are set forth below; and
Whereas, the Company and Union have agreed that the 1998 Agreement shall be subject to ratification by the
bargaining unit and shall be effective upon ratification except as provided elsewhere in the Agreement;
It is, therefore, further agreed and understood between the Company and Union that:
I. The 1998 Agreement shall extend the 1995 Collective Bargaining Agreement for one (1) year (until 6/1/99).
II. Within thirty (30) days of ratification, each employee who is a member of the bargaining-unit on the date this
1998 Agreement is ratified shall be paid a lump-sum, ratification incentive of 2.5% (less applicable taxes) of their
annual base earnings for 1997.
III. In addition to the days set forth in Section 11.01 of the 1993 Collective Bargaining Agreement, December
24, 1998 shall be observed as a uniform and fixed holiday during the 1998 Agreement.
IN WITNESS WHEREOF, on this 8th day of January 1988, the parties have caused their appropriate and duly
authorized representatives to sign this General Memorandum of Understanding, signifying thereby their agreement
For the Union For the Company
/S/ JAMES L. HUNTER /S/ A. S. MACEROLLO
James L. Hunter Anthony S. Macerollo,
President/Financial Secretary/ Group Vice-President
Business Manager Corporate Services
/S/ WILLIAM J. WOLVERTON
Manager, Industrial Relations