Between:

PACIFIC WESTERN BREWERY
(the "Company")

and:

BREWERY, WINERY & DISTILLERY WORKERS UNION LOCAL 300
(the "Union")

For the express purpose of more clearly defining the rights of the parties to the Collective Bargaining Agreement (the "Agreement") dated for reference the 1st day of July, 1990, and not to alter the terms of the Agreement, the following interpretation is agreed and consented to:

ARTICLE 3

SECTION 5 - SEVERANCE PAY

In the event of a plant closure, all pay due to employees eligible for a separation payment as set out in this Section shall be paid as of the date of such plant closure.

The Employee Benefits under the Agreement, which will be maintained for three (3) months following such plant closure, are explicitly specified as:

Life Insurance;
Medical, Surgical and Hospital; and
Dental.

For greater certainty, but without broadening the interpretation of the above, Weekly Indemnity and Long Term Disability benefits will continue for claims arising prior to Plant closure in accordance with the terms of those plans. No coverage will be provided for potential claims arising subsequent to the date of plant closure.

In the event of plant closure, it is the Unions position that an employee on an active Weekly Indemnity or Long Term Disability claim should be eligible for severance and the continuation of such claim.

It is the Company's position that an employee on an active Weekly Indemnity claim as at the date of plant closure will be entitled to receive Weekly Indemnity benefits until he/she is able to return to active employment or has exhausted all benefits permitted under the Weekly Indemnity plan, whichever is earlier. At that time, he/she will be eligible to receive severance as at the date of plant closure.

Further, it is the Company's position that an employee on an active Weekly Indemnity claim as at the date of plant closure who has made a claim for Long Term Disability arising from the same injury and has satisfied or will satisfy the requirements of the benefit plan will not be eligible for severance.

Further, it is the Company's position that an employee on an active Long Term Disability Claim as at the date of plant closure is not eligible for severance.

Should the need arise, the parties hereto agree to submit this issue to arbitration.

FOR THE COMPANY	    FOR THE UNION

K. Komatsu            Tracy Robbestad

Barry Seims           Neil Glazier

Tom Leboe             Bill Hubbard

                      Gerry Bergunder