<PAGE>

                     [Letterhead of Del Laboratories, Inc.]


                                                         March 31, 1998


Mr. James Lawrence
c/o Del Laboratories, Inc.
178 EAB Plaza
Uniondale, New York 11556

Dear Jim:

      This will confirm that your Employment Agreement, as amended, is hereby
further amended and extended as follows:

1.    The term of the Agreement is hereby extended to March 31, 2001.

2.    Your annual base salary shall not be less than $208,000 per year.

3.    You agree that you will give Del at least one hundred twenty (120) days'
      notice prior to any voluntary termination of your employment hereunder.

4.    The following new paragraph 14 is hereby added to the Agreement:

      Except as set forth in Paragraphs 5 and 6 of this Agreement, any claim or
      controversy arising out of or relating to this Agreement, or any breach
      thereof, or otherwise relating to your employment, compensation and
      benefits with he Company, or the termination thereof, shall be settled by
      arbitration in New York, New York in accordance with the rules established
      by the American Arbitration Association; provided, however, that you and
      Del agree that (i) the arbitrator shall be prohibited from disregarding,
      adding to or modifying the terms of this Agreement; (ii) the arbitrator
      shall be required to follow established principles of substantive law and
      the law governing burdens of proof; (iii) only legally protected rights
      may be enforced in arbitration; (iv) the arbitrator shall be without
      authority to award punitive or exemplary damages; (v) the arbitrator shall
      be an attorney licensed to practice law in New York who has experience in
      similar matters; and (vi) any demand for arbitration must be filed and
      served, if at all, within 180 days of the occurrence of the act or
      omission complained of. Any claim or controversy not submitted to
      arbitration in accordance with this Paragraph 14 shall be considered
      waived and, thereafter, no arbitration panel or tribunal or court shall
      have the power to rule or make any award on any such claim or controversy.
      The award rendered in any arbitration proceeding held under this Agreement
      shall be final and binding, and judgment upon the award
<PAGE>

March 24, 1998
Mr. James Lawrence
Page 2


      may be entered in any court having jurisdiction thereof, provided it
      conforms to established principles of law and is supported by substantial
      record evidence.

      Please indicate your acceptance of the foregoing by singing a copy of this
letter in the space indicated below and returning it to me.

                                     Very truly yours,

                                     /s/ Dan K. Wassong

                                     Dan K. Wassong
                                     Chairman of the Board, President
                                     and Chief Executive Officer


AGREED AND ACCEPTED:

/s/ James Lawrence
-------------------------
James Lawrence
<PAGE>

                     [Letterhead of Del Laboratories, Inc.]


CHAIRMAN AND
CHIEF EXECUTIVE OFFICER


                                                         July 12, 1995


     Mr. James F. Lawrence
     c/o Del Laboratories, Inc.
     565 Broad Hollow Road
     Farmingdale, NY 11735

     Dear Mr. Lawrence:

     This will confirm that your Employment Agreement, as amended and extended,
     is further extended to March 31, 1998.

     In all other respects the Employment Agreement, as amended and extended,
     shall continue in full force and effect.

     Please signify your agreement with the foregoing by counter-signing the
     copy of this letter and returning it to me.


                                                     Very truly yours,

                                                     DEL LABORATORIES, INC.


                                                     By: /s/ Dan K. Wassong

                                                            Dan K. Wassong
                                                     Chairman of the Board


    ACCEPTED AND AGREED:

    /s/ James F. Lawrence
    ------------------------------
    James F. Lawrence