U.S. Department of Labor Employment Standards Administration
Office of Labor-Management Standards
Dallas District Office
525 Griffin Street
Room 300
Dallas, TX 75202
(972) 850-2500 Fax: (972) 850-2501

October 8, 2008

Mr. Douglas Chapman, President
Machinist, AFL-CIO
Local Lodge 2208
1953 Bedford Rd
Bedford, Texas 70021

LM File Number 006-932
Case Number: -

Dear Mr. Chapman:

This office has recently completed an audit of Local Lodge 2208 under the Compliance Audit Program (CAP) to determine your organization's compliance with the provisions of the Labor- Management Reporting and Disclosure Act of 1959 (LMRDA). As discussed during the exit
interview with you and International Machinist Auditor Linda Seeley on July 29,2008, the following problemwas disclosed during the CAP. The matter listed below is not an exhaustive list of all possible problem areas since the audit conducted was limited in scope.

Reporting Violation

The audit disclosed a violation of LMRDA Section 201(b), which requires labor organizations to file annual financial reports accurately disclosing their fnancial condition and operations. The Labor Organization Annual Report Form LM-3 filed by Local Lodge 2208 for fiscal year ending December 31,2007, was not received by OLMS by the due dateof March 30,2008. The Form LM-3 must be filed within 90 days after the end of your organization's fiscal year.

I want to extend my personal appreciation to Local Lodge 2208 for the cooperation and courtesy extended during this compliance audit. I strongly recommend that you make sure this letter and the compliance assistance materials provided to you are passed on to future officers. If we can provide any additional assistance, please do not hesitate to call.

cc: Michael Santarcangelo, Secretary-Treasurer