The International Brotherhood of Teamsters (IBT), Local 259, and The Boston Globe Reach Agreement on a Four-Year Contract.

BOSTON -- The International Brotherhood of Teamsters (IBT), Local 259, and the Boston Globe announced today that they have reached agreement on a new four-year contract after the union's membership ratified the terms of the agreement by a vote of 103 to 65 this morning.

The contract, affecting some 220 Boston Globe truck drivers and delivery platform employees, extends from January 1, 2005 through December 31, 2008 and provides for retroactive salary increases totaling $24.50 per week (2.4%) for 2005. In 2006, the company will make a one-time bonus payment of $600 per eligible employee in lieu of a salary increase provided that the newspaper's revenues meet specified levels.

In the remaining years of the contract, increases totaling $15.50 per week (1.5%) in 2006 and $17.50 per week (1.7%) in 2008 would be paid at six-month intervals provided that the newspaper's revenues reach specified levels.

Other provisions of the contract include a new "two-tier" wage structure affecting new employees, new drug and alcohol testing programs following reportable accidents and flexibility in loading and drop-off procedures.

In return for the changes, the newspaper will make significant cash contributions to the union's Health and Pension funds during the life of the contract. It will also make a one-time bonus payment of $600 to each eligible driver in 2006 in exchange for the new "two-tier" wage structure.

Ralph Goscinak, Secretary-Treasurer and principal officer of the union, described the new contract as "a fair agreement that was achieved in a very difficult economic environment. It will help address the need for increased funds in the union's health and pension plans."

Greg Thornton, Senior Vice President for Operations, said the agreement addressed the newspaper's "need for improved efficiency as well as tying future wage increases to future revenue performance. We think it's an equitable solution for both parties."

The Boston Globe is part of The New York Times Company (NYSE: NYT), a leading media company with 2004 revenues of $3.3 billion. It includes The New York Times, the International Herald Tribune, The Boston Globe, 16 other newspapers, eight network-affiliated television stations, two New York City radio stations and more than 40 Web sites, including NYTimes.com, Boston.com and About.com. For the fifth consecutive year, the Company ranked No. 1 in the publishing industry in Fortune's 2005 list of America's Most Admired Companies. The Company's core purpose is to enhance society by creating, collecting and distributing high-quality news, information and entertainment.