INTERCORPORATE SERVICES AGREEMENT

     This INTERCORPORATE SERVICES AGREEMENT (this "Agreement"),  effective as of
September 1, 2005,  amends and supersedes that certain  Intercorporate  Services
Agreement  effective  as of  January  1, 2001  between  CONTRAN  CORPORATION,  a
Delaware corporation ("Contran"),  and KEYSTONE CONSOLIDATED INDUSTRIES, INC., a
Delaware corporation ("Recipient").

                                    Recitals

     A.  Employees and agents of Contran and  affiliates of Contran have, in the
past, performed management, financial and administrative functions for Recipient
pursuant to previous Intercorporate Service Agreements.

     B. Recipient does not separately  maintain the full internal  capability to
perform all necessary  management,  financial and administrative  functions that
Recipient requires.

     C. The cost to Recipient of maintaining the additional  personnel necessary
to perform the functions  provided for under this Agreement would exceed the fee
set forth in Section 3 of this Agreement, and the terms of this Agreement are no
less favorable to Recipient than the terms that could otherwise be obtained from
a third party for comparable services.

     D. Recipient  desires to continue  receiving the management,  financial and
administrative services presently provided by Contran and affiliates of Contran,
and Contran is willing to continue to provide such  services  under the terms of
this Agreement.

                                    Agreement

     For and in  consideration  of the mutual  promises  and  agreements  herein
contained, the parties hereto mutually agree as follows:

     Section 1.  Services to be Provided.  Contran  agrees to make  available to
Recipient,  upon request, the following services (the "Services") to be rendered
by the internal staff of Contran and affiliates of Contran:

          (a) Consultation and assistance in the development and  implementation
     of Recipient's corporate business strategies, plans and objectives;

          (b) Consultation and assistance in management and conduct of corporate
     affairs and corporate governance  consistent with the charter and bylaws of
     Recipient;

          (c)  Consultation  and assistance in maintenance of financial  records
     and  controls,  including  preparation  and  review of  periodic  financial
     statements and reports to be filed with public and regulatory  entities and
     those  required to be prepared for  financial  institutions  or pursuant to
     indentures and credit agreements;

          (d)  Consultation  and assistance in cash  management and in arranging
     financing necessary to implement the business plans of Recipient;

          (e) Consultation and assistance in tax management and  administration,
     including,  without limitation,  preparation and filing of tax returns, tax
     reporting, examinations by government authorities and tax planning;

          (f)  Consultation  and  assistance  in performing  internal  audit and
     control functions;

          (g)  Consultation  and  assistance  with respect to insurance and risk
     management;

          (h) Consultation and assistance with respect to employee benefit plans
     and incentive compensation arrangements; and

          (i) Such other  services as may be requested by Recipient from time to
     time.

This  Agreement  does not apply to, and the Services  provided for herein do not
include,  any services that  individuals may provide to Recipient in their roles
as members of Recipient's  board of directors or any other  activity  related to
such  board  of  directors.   This  Agreement   includes  services  provided  by
individuals that serve as executive officers of the Recipient.

     Section 2. Miscellaneous  Services.  It is the intent of the parties hereto
that Contran provide only the Services requested by Recipient in connection with
routine  management,  financial  and  administrative  functions  related  to the
ongoing  operations  of  Recipient  and not with  respect to  special  projects,
including  corporate  investments,  acquisitions and  divestitures.  The parties
hereto  contemplate that the Services rendered in connection with the conduct of
Recipient's  business  will  be on a scale  compared  to  that  existing  on the
effective  date of this  Agreement,  adjusted for internal  corporate  growth or
contraction, but not for major corporate acquisitions or divestitures,  and that
adjustments  may be required to the terms of this Agreement in the event of such
major corporate acquisitions,  divestitures or special projects.  Recipient will
continue to bear all other costs required for outside  services  including,  but
not  limited  to,  the  outside  services  of  attorneys,   auditors,  trustees,
consultants, transfer agents and registrars, and it is expressly understood that
Contran  assumes no  liability  for any  expenses or  services  other than those
stated in Section 1. In addition to the fee paid to Contran by Recipient for the
Services provided pursuant to this Agreement,  Recipient will pay to Contran the
amount of out-of-pocket costs incurred by Contran in rendering such Services.

     Section 3. Fee for Services.  Recipient agrees to pay to Contran $1,045,000
annually,  commencing  as of  September  1, 2005,  pursuant  to this  Agreement.
Recipient  shall pay to  Contran  one  fourth of the  annual  amount in  advance
quarterly  around the first business day of each calendar  quarter;  except that
for 2005 Recipient  shall pay to Contran  $87,083 on September 1, 2005 and shall
pay $261,250 on the first business day of each calendar quarter thereafter.

     Section 4. Original  Term.  Subject to the  provisions of Section 5 hereof,
the original term of this Agreement  shall be from September 1, 2005 to December
31, 2006.

     Section  5.   Extensions.   This   Agreement   shall  be   extended   on  a
quarter-to-quarter  basis  after the  expiration  of its  original  term  unless
written  notification  is given by  Contran  or  Recipient  thirty  (30) days in
advance of the first day of each  successive  quarter or unless it is superseded
by a subsequent written agreement of the parties hereto.

     Section 6.  Limitation of Liability.  In providing its Services  hereunder,
Contran  shall  have a duty  to act,  and to  cause  its  agents  to  act,  in a
reasonably  prudent  manner,  but  neither  Contran nor any  officer,  director,
employee or agent of Contran or its affiliates  shall be liable to Recipient for
any error of judgment or mistake of law or for any loss incurred by Recipient in
connection  with the  matter  to which  this  Agreement  relates,  except a loss
resulting from willful misfeasance, bad faith or gross negligence on the part of
Contran.

     Section  7.  Indemnification  of  Contran  by  Recipient.  Recipient  shall
indemnify  and hold  harmless  Contran,  its  affiliates  and  their  respective
officers,  directors  and  employees  from  and  against  any  and  all  losses,
liabilities,  claims, damages, costs and expenses (including attorneys' fees and
other  expenses of  litigation)  to which  Contran or any such person may become
subject arising out of the Services provided by Contran to Recipient  hereunder,
provided that such indemnity  shall not protect any person against any liability
to  which  such  person  would   otherwise  be  subject  by  reason  of  willful
misfeasance, bad faith or gross negligence on the part of such person.

     Section 8.  Further  Assurances.  Each of the parties  will make,  execute,
acknowledge and deliver such other instruments and documents,  and take all such
other actions,  as the other party may reasonably  request and as may reasonably
be required in order to effectuate  the purposes of this  Agreement and to carry
out the terms hereof.

     Section 9. Notices.  All  communications  hereunder shall be in writing and
shall be addressed,  if intended for Contran,  to Three Lincoln Centre, 5430 LBJ
Freeway, Suite 1700, Dallas, Texas 75240,  Attention:  President,  or such other
address as it shall have furnished to Recipient in writing,  and if intended for
Recipient,  to Three Lincoln Centre, 5430 LBJ Freeway, Suite 1740, Dallas, Texas
75240,  Attention:  Chief Financial  Officer,  or such other address as it shall
have furnished to Contran in writing.

     Section 10. Amendment and Modification. Neither this Agreement nor any term
hereof may be changed, waived,  discharged or terminated other than by agreement
in writing  signed by the parties  hereto and,  in the case of  Recipient,  with
approval of the majority of Recipient's independent directors.

     Section 11. Successor and Assigns. This Agreement shall be binding upon and
inure to the benefit of Contran and  Recipient and their  respective  successors
and  assigns,  except  that  neither  party may  assign  its  rights  under this
Agreement without the prior written consent of the other party.

     Section  12.  Governing  Law.  This  Agreement  shall be  governed  by, and
construed and interpreted in accordance with, the laws of the state of Texas.

     IN WITNESS  WHEREOF,  the parties  hereto have caused this  Agreement to be
duly executed and delivered as of the date first above written.


                                    CONTRAN CORPORATION



                                  By: /s/Bobby D. O'Brien
                                      ----------------------------------------
                                      Bobby D. O'Brien
                                      Vice President and Chief Financial Officer



                       KEYSTONE CONSOLIDATED INDUSTRIES, INC.



                                   By:/s/Bert E. Downing, Jr.
                                      ---------------------------------------
                                      Bert E. Downing, Jr.
                                      Vice President and Chief Financial Officer