LOAN SUPPLEMENT TO MASTER LOAN AND SECURITY AGREEMENT

(Capital Loan)

 
I. DO NOT DELETE
NOTICE TO BORROWER: THIS DOCUMENT CONTAINS PROVISIONS FOR A VARIABLE INTEREST
RATE.

THIS IS A LOAN SUPPLEMENT, dated February ____, 2006 (this "Loan Supplement"),
to the Master Loan and Security Agreement dated February _____, 2006 (the
"Agreement"), between FORD MOTOR CREDIT COMPANY, a Delaware corporation
("Lender") and HOMETOWN AUTO FRAMINGHAM, INC., a Massachusetts corporation
(''Borrower''). Borrower has requested a capital loan (the "Loan") from Lender
in the principal amount of $1,500,000.00 to provide working capital, and Lender
is willing to make the Loan to Borrower on the terms and conditions set forth
herein and in the Agreement.

1. Definitions. For purposes of this Loan Supplement, all capitalized terms
shall have the meanings set forth herein and in the Agreement, including the
following defined terms:

(a) The term "Applicable Interest Rate" shall mean the rate of two and five
tenths percent (2.50%) per annum above the Prime Interest Rate (as defined
herein) in effect from time to time. The Applicable Interest Rate will be
adjusted monthly on the first day of each calendar month based on the Prime
Interest Rate determined on the last day of the preceding calendar month.

(b) The term "Maturity Date" shall mean the date five years less one day after
the date hereof.

(c) The term "Prime Interest Rate" shall mean the interest rate for "Bank prime
loan" under the column entitled "Week Ending" for the Friday preceding the last
Monday of a calendar month as reported in the Federal Reserve Statistical
Release No. H.15 (519) issued by the Federal Reserve Board. In the event such
Release is discontinued or modified to eliminate the reporting of a prime
interest rate, then Lender will substitute, in its sole discretion, a comparable
report or release of the prime interest rate published by a comparable source.

2. Loan.

(a) Repayment. Borrower acknowledges receipt of the Loan, and promises to pay to
Lender, or order, at Lender's Address, or at such other place as Lender may from
time to time designate in writing, the principal sum of $1,500,000.00, together
with interest at the Applicable Interest Rate on the principal balance
outstanding from time to time (the "Principal Balance"), from the date hereof to
and including the Maturity Date, as follows:

(1) 59 equal, consecutive monthly principal installments of $12,500.00 each plus
interest at the Applicable Interest Rate on the unpaid Principal Balance
outstanding, commencing on the fifteenth day of the first month after the date
hereof, and continuing monthly thereafter on the fifteenth day of each month;
and

(2) on the Maturity Date, a final installment which will include all unpaid
amounts of the Principal Balance and interest accrued and unpaid thereon and any
and all other payments due with respect to the Loan.

(b) Prepayment. Each payment shall be applied first to interest at the
Applicable Interest Rate and the balance to reduction of the Principal Balance.
Borrower may prepay, without premium, the Principal Balance, provided that no
Event of Default has occurred and is continuing and that Borrower pays
concurrently all interest accrued on the Principal Balance outstanding through
the date of prepayment and all other charges.

(c) Other. This Loan Supplement may be executed in any number of counterparts,
each of which shall be an original, but all of which shall together constitute
one and the same agreement.

3. Representations. Borrower warrants and represents to Lender that on the date
hereof:

(a) no material adverse change in the financial condition or creditworthiness of
Borrower or any Guarantor has occurred,

(b) all representations and warranties of Borrower in the Agreement are true and
correct as if made on the date hereof,

(c) no Event of Default or default has occurred under the Security Documents or
under any other indebtedness or obligation of Borrower and/or Guarantor to
Lender,

(d) the authority of the authorized representatives signing the Agreement and
this Loan Supplement on behalf of Borrower as described in the attached
certificate(s) is in full force and effect,

(e) the proceeds of the Loan will be used to provide working capital.

 
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Borrower and Lender have executed this Loan Supplement as of the date set forth
above.
 

LENDER:      
FORD MOTOR CREDIT COMPANY,
a Delaware corporation
 
   
   
    By:      

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Douglas J. Hertrich
Branch Manager

      BORROWER:   
 
 
HOMETOWN AUTO FRAMINGHAM, INC.,
a Massachusetts corporation
Chief Executive Office:
571 Worcester Road
Framingham, MA 01701
 
   
   
    By:        

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Corey Shaker
President
        By:      

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Charles Schwartz
Secretary
        Borrower's Federal Tax ID Number:  

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