<PAGE>

                                 Exhibit 10.17

                          RESTATED THIRD AMENDMENT TO
            SECOND AMENDED AND RESTATED LOAN AND SECURITY AGREEMENT

     This Restated Third Amendment to Second Amended and Restated Loan and
Security Agreement ("Amendment"), dated effective as of November 3, 1999 (the
                     ---------
"Effective Date"), is entered into among American Builders & Contractors Supply
 --------------
Co., Inc., a Delaware corporation (the "Borrower") with its chief executive
                                        --------
office located at One ABC Parkway, Beloit, Wisconsin, the financial institutions
listed on the signature pages hereof (individually, a "Lender" and collectively,
                                                       ------
the "Lenders") and Bank of America, N.A., a national banking association and
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successor in interest to Bank of America, N.A., formerly NationsBank, N.A.,
successor in interest to NationsBank of Texas, N.A., as Agent for the Lenders
(in such capacity, the "Agent"):
                        -----

Recitals
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     a.  The Borrower, the Lenders and the Agent are party to that certain
Second Amended and Restated Loan and Security Agreement dated as of  May 12,
1998, as amended by the First Amendment to Second Amended and Restated Loan and
Security Agreement dated effective as of  January 15, 1999, the Consent and
Second Amendment (the "Second Amendment") to Second Amended and Restated Loan
                       ----------------
and Security Agreement dated effective as of  May 5, 1999 and the Third
Amendment (the "Third Amendment") to Second Amended and Restated Loan and
                ---------------
Security Agreement dated effective as of November 3, 1999 (the "Loan Agreement")
                                                                --------------
pursuant to which the Lenders have agreed to make certain loans and extend
certain other financial accommodations to the Borrower as provided therein
(terms defined by the Loan Agreement, where used in this Amendment, shall have
the same meanings in this Amendment as are prescribed by the Loan Agreement).

     b.  The Borrower, the Agent, and the Lenders have agreed to restate the
Third Amendment to carry forward and include certain provisions in the
restatement of Section 8.17 of the Loan Agreement (as provided by Section 1.4 of
               ------------
the Third Amendment), which provisions were previously included by the Second
Amendment but were inadvertently omitted from the Third Amendment.

     NOW, THEREFORE, in consideration of the terms and conditions contained
herein, and of any loans or financial accommodations heretofore, now or
hereafter made to or for the benefit of the Borrower by the Lenders, it hereby
is agreed that the Third Amendment hereby is corrected and restated as provided
herein.

                                   ARTICLE I
                          AMENDMENT TO LOAN AGREEMENT

     1.1.  Amendment to Section 1.1 of the Loan Agreement.  Section 1.1
           ----------------------------------------------   -----------
("Requisite Lenders") of the Loan Agreement is hereby amended and restated to
  -----------------
read in its entirety as follows:

           1.1  "Requisite Lenders" shall mean Lenders having, in the aggregate,
                 -----------------
     Pro Rata Shares of at least 66.67%.

           1.2.  Amendment to Section 2.8 of the Loan Agreement.  Section 2.8
                 ----------------------------------------------   -----------
     ("Term of this Agreement") of the Loan Agreement is hereby amended and
      -----------------------
     restated to read in its entirety as follows:
<PAGE>

           2.8   Term of this Agreement.  Subject to all other terms and
                 ----------------------
     conditions hereof, this Agreement shall be effective until June 30, 2002
     (the "Initial Term") and shall automatically extend for successive one year
           ------------
     periods (each a "Term") of one year (each extending through the next
                      ----
     succeeding June 30) unless terminated by the Borrower or the Agent or any
     of the Lenders by written notice of intention to terminate this Agreement
     as of the end of the Initial Term or any such Term, as the case may be,
     which, in order to be effective, must be delivered to all other parties to
     this Agreement at least sixty (60) days prior to the end of the Initial
     Term or any such Term, as the case may be.  Following timely delivery of
     any such notice, unless otherwise agreed in writing by the Borrower, the
     Agent and all the Lenders, this Agreement shall terminate as of the
     expiration of the Initial Term or any such Term, as the case may be,
     provided that (a) all of the Agent's and each of the Lenders' rights and
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     remedies under this Agreement and (b) the security interests reaffirmed and
     created under Section 5.1 and under any of the other Financing Agreements,
                   -----------
     shall survive any such termination until all of the Liabilities under this
     Agreement and the other Financing Agreements have been paid in full.  In
     addition, the Agent may at any time demand repayment of the Liabilities and
     the Liabilities may be accelerated as set forth in Section 9.1. Upon the
                                                        -----------
     effective date of termination, all of the Liabilities shall become
     immediately due and payable without notice or demand.  Notwithstanding any
     termination, until all of the Liabilities hereunder shall have been fully
     paid and satisfied, the Agent shall be entitled to retain its security
     interests, for the benefit of the Lenders, in and to all existing and
     future Collateral and the Borrower shall continue to remit collections of
     Accounts and proceeds as provided herein.

     1.3.  Amendment to Section 8.8 of the Loan Agreement.  Section 8.8
           ----------------------------------------------   -----------
("Capital Expenditures Limitation") of the Loan Agreement is hereby amended and
  -------------------------------
restated to read in its entirety as follows:

           8.8  Capital Expenditure Limitations.  The Borrower and its
                -------------------------------
     Subsidiaries, if any, shall not purchase, invest in or otherwise acquire,
     additional real estate, Equipment, Rolling Stock or other fixed assets,
     which, in the aggregate, cost the Borrower and its Subsidiaries, if any,
     more than Twenty Six Million Five Hundred Thousand Dollars ($26,500,000.00)
     during the calendar year ending December 31, 1997, Thirty Million Dollars
     ($30,000,000.00) during the calendar year ending December 31, 1998, Twenty
     Million Dollars ($20,000,000.00) during the calendar year ending December
     31, 1999, Thirty Million Dollars ($30,000,000.00) during the calendar year
     ending December 31, 2000 and Thirty Five Million Dollars ($35,000,000.00)
     during the calendar year ending December 31, 2001, and any calendar year
     thereafter. For purposes of the foregoing, there shall be excluded
     therefrom capital expenditures made to finance Store Acquisitions pursuant
     to Section 8.3.
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     1.4.  Amendment to Section 8.17 of the Loan Agreement.  Section 8.17
           -----------------------------------------------   ------------
("Minimum Tangible Net Worth") of the Loan Agreement is hereby amended and
  --------------------------
restated to read in its entirety as follows:

           8.17  Minimum Tangible Net Worth.  Tangible Net Worth, as determined
                 --------------------------
     as of each date set forth below, shall not be less than the amount set
     forth below opposite such date:

           Date...................    Amount
           ----                       ------
           December 31, 1998......    $60,000,000.00
           December 31, 1999......    An amount, determined as of the end of
                                      such fiscal year, equal to $70,000,000.00
                                      less the aggregate face amount, if any, of
                                      Repurchased Senior Subordinated Notes
           December 31, 2000......    An amount, determined as of the end of
                                      such fiscal year, equal to $75,000,000.00
                                      less the aggregate face amount, if any, of
                                      Repurchased Senior Subordinated Notes
           December 31, 2001......    An amount, determined as of the end of
                                      such fiscal year, equal to $80,000,000.00
                                      less the aggregate face amount, if any, of
                                      Repurchased Senior Subordinated Notes
<PAGE>

     1.5.  Amendment to Section 8.18 of the Loan Agreement.  Section 8.18
           -----------------------------------------------   ------------
("Maximum Funded Debt to EBITDA") of the Loan Agreement is hereby amended and
 ------------------------------
restated to read in its entirety as follows:

              8.18  Maximum Funded Debt to EBITDA.  The ratio of Funded Debt to
                    -----------------------------
     EBITDA, determined as of the last day of each calendar quarter and measured
     for the preceding period of four calendar quarters, shall not exceed the
     following prescribed amounts, as applicable:


                 Date..............                Ratio
                 ----                              -----

          December 31, 1997........                10.00 to 1.0
          March 31, 1998...........                10.75 to 1.0
          June 30, 1998............                9.75 to 1.0
          September 30, 1998.......                8.50 to 1.0
          December 31, 1998........                8.00 to 1.0
          March 31, 1999...........                7.75 to 1.0
          June 30, 1999............                7.50 to 1.0
          September 30, 1999.......                7.25 to 1.0
          December 31, 1999........                7.00 to 1.0
          March 31, 2000...........                6.90 to 1.0
          June 30, 2000............                6.80 to 1.0
          September 30, 2000.......                6.50 to 1.0
          December 31, 2000........                6.40 to 1.0
          March 31, 2001...........                6.30 to 1.0
          June 30, 2001............                6.20 to 1.0
          September 30, 2001.......                6.10 to 1.0
          December 31, 2001........                6.00 to 1.0
          March 31, 2002...........                5.95 to 1.0
          June 30, 2002............                5.90 to 1.0

     1.6.  Amendment to Section 8.19 of the Loan Agreement.  Section 8.19
           -----------------------------------------------   ------------
("Minimum Fixed Charge Coverage Ratio") of the Loan Agreement is hereby amended
  -----------------------------------
and restated to read in its entirety as follows:

              8.19  Minimum Fixed Charge Coverage Ratio. The ratio of (i) EBITDA
                    -----------------------------------
     to (ii) the sum of interest expense plus the principal portion of current
     maturities of long term indebtedness (determined on a consolidated basis
     for the Borrower and its Subsidiaries), determined as of the last day of
     each calendar quarter and measured for the preceding period of four
     calender quarters, shall not be less than the following prescribed amounts,
     as applicable:


                Date...............                Ratio
                ----                               -----

          December 31, 1997........                1.25 to 1.0
          March 31, 1998...........                1.00 to 1.0
          June 30, 1998............                1.05 to 1.0
          September 30, 1998.......                1.15 to 1.0
          December 31, 1998........                1.20 to 1.0
          March 31, 1999...........                1.20 to 1.0
          June 30, 1999............                1.25 to 1.0
          September 30, 1999.......                1.35 to 1.0
          Each Quarter Thereafter..                1.35 to 1.0


                                  ARTICLE II
                                 MISCELLANEOUS

     2.1.  Conditions to Effectiveness.  This Amendment, including the
           ---------------------------
amendments and other terms set forth herein, shall become effective as of the
Effective Date upon the satisfaction of each the following conditions precedent,
all of which must be satisfied and acceptable in form and substance to the Agent
and each of the Lenders signatory hereto in each of their sole discretion.
<PAGE>

          a.  Execution and Delivery.  This Amendment shall have been executed
              ----------------------
     and delivered by each of the Borrower, the Agent and Requisite Lenders.

          b.  Consent and Agreement of Guarantors.  Each of Amcraft Building
              -----------------------------------
     Products Co., Inc. and Mule-Hide Products Co., Inc. shall have executed the
     Consent and Agreement of Guarantors which is attached to and made a part of
     this Amendment,  in form and substance satisfactory to the Agent.

          c.  Consent and Agreement by Validity Guarantors.  Each of Kendra A.
              --------------------------------------------
     Story and Kenneth A. Hendricks shall have executed the Consent and
     Agreement by Validity Guarantors which is attached to and made a part of
     this Amendment, in form and substance satisfactory to the Agent.

          d.  Other.  The Borrower shall have executed and delivered all other
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     agreements, documents, certifications or opinions as the Agent may
     reasonably request in connection with implementation of this Amendment.

     2.2.  Representations, Warranties, Covenants of Borrower.  The Borrower
           --------------------------------------------------
hereby represents and warrants that as of the date of this Amendment and after
giving effect thereto (a) no event has occurred and is continuing which, after
giving effect to this Amendment, constitutes a Default or an Event of Default,
(b) the representations and warranties of the Borrower contained in the Loan
Agreement and the other Financing Agreements are true and correct on and as of
the date hereof to the same extent as though made on and as of the date hereof,
except to the extent such representations and warranties specifically relate to
an earlier date, in which case they are true and correct as of such earlier
date, (c) the execution and delivery by the Borrower of this Amendment and the
performance by the Borrower of the Loan Agreement, as amended by this Amendment,
are within its corporate power and have been duly authorized by all necessary
corporate action, (d) this Amendment and the Loan Agreement, as amended by this
Amendment, are legal, valid and binding obligations of the Borrower enforceable
against the Borrower in accordance with their terms and (e) the execution and
delivery by the Borrower of this Amendment and the performance by the Borrower
of the Loan Agreement, as amended by this Amendment, do not require the consent
of any Person and do not contravene the terms of the Borrower's Articles of
Incorporation or By-Laws or any indenture, agreement or undertaking to which the
Borrower is a party or by which the Borrower or any of its property is bound.

     2.3.  Reference to and Effect on the Loan Agreement.  Except as expressly
           ---------------------------------------------
provided herein, the Loan Agreement and all other Financing Agreements shall
remain unmodified and in full force and effect and are hereby ratified and
confirmed. The execution, delivery and effectiveness of this Amendment shall not
operate as a waiver or forbearance of (a) any right, power or remedy of the
Lenders under the Loan Agreement or any of the other Financing Agreements, or
(b) any Default or Event of Default. This Amendment shall constitute a Financing
Agreement.

     2.4.  Amendment Fee.  Subject to the terms of the Loan Agreement, in
           -------------
consideration of this Amendment the Borrower agrees to pay to the Agent, for the
benefit of the Lenders, an amendment fee in the amount of $50,000.

     2.5.  Fees, Costs and Expenses.  The Borrower agrees to pay on demand all
           ------------------------
costs and expenses of the Agent in connection with the preparation, negotiation,
execution and delivery, and closing of this Amendment and all related
documentation, including the fees and out-of-pocket expenses of counsel for the
Agent with respect thereto.

     2.6.  Counterparts.  This Amendment may be executed in any number of
           ------------
counterparts and by different parties hereto as separate counterparts, each of
which counterparts, when so executed and delivered, shall be deemed to be an
original and all of which counterparts, when taken together, shall constitute
but one and the same agreement.  A telecopy of any such executed counterpart
shall be deemed valid and may be relied upon as an original.

     2.7.  Effectiveness.  This Amendment shall be deemed effective
           -------------
prospectively as of the Effective Date specified in the preamble upon execution
by the Borrower, the Agent and sufficient of the Lenders whose names appear on
the signature pages below to constitute Requisite Lenders (subject, however, to
                                                           -------  -------
<PAGE>

the prior satisfaction of all other conditions for effectiveness as specified by
Section 2.1), whereupon the Third Amendment shall be deemed to be corrected and
-----------
restated pursuant to the terms of this Amendment.

     2.8.  No Oral Agreements.  THIS WRITTEN AGREEMENT REPRESENTS THE FINAL
           ------------------
AGREEMENT BETWEEN THE PARTIES AND MAY NOT BE CONTRADICTED BY EVIDENCE OF PRIOR,
CONTEMPORANEOUS OR SUBSEQUENT ORAL AGREEMENTS OF THE PARTIES.  THERE ARE NO ORAL
AGREEMENTS BETWEEN THE PARTIES.

[SIGNATURES FOLLOW]
     IN WITNESS WHEREOF, the parties hereto have executed this Amendment as of
the day and year first written above.

AMERICAN BUILDERS & CONTRACTORS SUPPLY CO., INC.

  ATTEST:............................  By:
  Name:..............................  Kendra A. Story, Chief Financial Officer
  Title:.............................  Date signed: March __, 2000
  By:................................

  BANK OF AMERICA, N.A...............  AMERICAN NATIONAL BANK AND
  In its capacity as Agent...........  TRUST COMPANY OF CHICAGO
  ...................................  In its capacity as Co-Agent

  By:................................  By:
  Doug Motl, Vice President..........  David Weislogel, Vice President
  Date signed: March __, 2000........  Date signed: March __, 2000

  BANK OF AMERICA, N.A...............  AMERICAN NATIONAL BANK AND
  In its capacity as a Lender........  TRUST COMPANY OF CHICAGO
  ...................................  In its capacity as a Lender

  By:................................  By:
  Doug Motl, Vice President..........  David Weislogel, Vice President
  Date signed: March __, 2000........  Date signed: March __, 2000

  LASALLE BUSINESS CREDIT, INC.......  HARRIS TRUST AND SAVINGS BANK
  By:................................  By:
  Name:..............................  Venkata Ramani, Vice President
  Title:.............................
  Date signed: March __, 2000........  Date signed: march __, 2000

  FLEET CAPITAL CORPORATION..........  FLEET BUSINESS CREDIT CORPORATION
  By:................................  By:
  Dan Hughes, Vice President.........  Dan Hughes, Vice President
  Date signed: March __, 2000........  Date signed: March __, 2000
<PAGE>

CONSENT AND AGREEMENT BY GUARANTORS

     Each of the undersigned consents to the foregoing Amendment and each of the
undersigned agrees to the continued effectiveness of the Amended and Restated
Guaranty Agreement dated as of May 12, 1998, executed and delivered by each of
the undersigned, respectively, to the Agent for the benefit of the Lenders. All
references in each such Guaranty, respectively, to the Loan Agreement shall be
deemed to be to the Loan Agreement as amended by the foregoing Amendment and all
prior and subsequent amendments thereof. This Consent and Agreement is executed
as of the Effective Date specified in the Amendment.


                              AMCRAFT BUILDING PRODUCTS CO., INC.


                              By:___________________________________________
                                    Kendra A. Story, Chief Financial Officer
                              Date signed: March __, 2000



                              MULE-HIDE PRODUCTS CO., INC.


                              By:___________________________________________
                                    Kendra A. Story, Chief Financial Officer
                              Date signed: March __, 2000


CONSENT AND AGREEMENT BY VALIDITY GUARANTORS

     Each of the undersigned consents to the foregoing Amendment and each of the
undersigned agrees to the continued effectiveness of the Validity Certification
dated as of May 12, 1998, executed and delivered by each of the undersigned,
respectively, to the Agent for the benefit of the Lenders.  All references in
each such Validity Certification, respectively, to the Loan Agreement shall be
deemed to be to the Loan Agreement as amended by the foregoing Amendment and all
prior and subsequent amendments thereof.  This Consent and Agreement is executed
as of the Effective Date specified in the Amendment.



                              _________________________________
                              Kenneth A. Hendricks


                              _________________________________
                              Kendra A. Story