<PAGE>   1

                                                                    EXHIBIT 10.9

                               SEVENTH AMENDMENT
                                       TO
                    AMENDED AND RESTATED FINANCING AGREEMENT

         This Seventh Amendment to Amended and Restated Financing Agreement is
executed and entered into by and between NATIONSBANK OF TEXAS, N.A., a national
bank ("Lender") and ENCORE WIRE CORPORATION, a Delaware corporation
("Borrower"), executed as of December 11, 1996, as follows:

                                    RECITALS

         NationsBank and Encore are parties to the certain Amended and Restated
         Financing Agreement dated effective June 15, 1994, as amended by the
         First Amendment to Amended and Restated Financing Agreement dated July
         26, 1994, the Second Amendment to Amended and Restated Financing
         Agreement dated December 29, 1994, the Third Amendment to Amended and
         Restated Financing Agreement dated April 7, 1995, the Fourth Amendment
         to Amended and Restated Financing Agreement dated August 31, 1995, the
         Fifth Amendment to Amended and Restated Financing Agreement dated
         March 19, 1995, and the Sixth Amendment to Amended and Restated
         Financing Agreement dated September 17, 1996 (hereinafter called the
         "Agreement"). Terms defined in the Agreement, wherever used in this
         Seventh Amendment, shall have the same meanings as are prescribed by
         the Agreement.

         NationsBank and Encore have agreed to amend the Agreement as provided
hereinbelow.

         NOW THEREFORE, for value received, and in consideration of the
premises, NationsBank and Encore hereby agree as follows:

         1.      Paragraph 7.31 ("Redemptions and Acquisitions of Shares")
hereby is amended to read in its entirety as follows:

                 "7.31 REDEMPTIONS AND ACQUISITIONS OF SHARES. Borrower will
         not make any payment on account of the purchase, redemption or other
         acquisition or retirement of any shares of capital stock, provided,
         that notwithstanding the foregoing, for so long as no Event of Default
         shall have occurred and be continuing, and no other event or condition
         which is reasonably expected to result in a Material Adverse Effect or
         would be the subject of a required notice under paragraph 7.13 is in
         existence, Borrower shall not be prohibited from repurchasing shares
         to be held as treasury shares, provided further that (i) the aggregate
         number of such shares purchased shall not exceed 400,000 and the
         aggregate purchase price paid by Borrower for all such shares shall
         not exceed the maximum amount of $5,500,000.00, and (ii) no Event of
         Default shall result from, or exist immediately following, any such
         repurchase."
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         2.      Paragraph 1 of this Seventh Amendment shall be deemed
effective as of April 7, 1995.

         3.      The following items shall be delivered to Lender prior to or
simultaneously with execution and delivery of this Seventh Amendment:

                 (a)      A certificate signed by the corporate secretary of
         Borrower (i) certifying to Lender that its Certificate of
         Incorporation and Bylaws have not been amended since Borrower's
         certification thereof under Secretary's Certificate previously
         submitted to Lender as of June 15, 1994 in connection with execution
         of the Agreement, and specifying that the officers of Borrower listed
         therein are duly elected, qualified and acting as of the effective
         date hereof (or alternatively, specifying any change in such listing)
         and (ii) attaching and certifying resolutions duly adopted by the
         board of directors of Borrower authorizing the Seventh Amendment and
         the transactions evidenced hereby, and authorizing and directing one
         or more named officers of Borrower to execute and deliver the Seventh
         Amendment, and all related documentation required by Lender, on behalf
         of Borrower, which certificate shall be in form satisfactory to
         Lender; and

                 (b)      Such other documentation as Lender may reasonably
         require in connection with the Agreement or this Seventh Amendment.

         4.      In consideration of this Seventh Amendment, Borrower
represents to Lender that (i) no Event of Default, or other event or condition
which would be the subject of a required notice under paragraph 7.13 of the
Agreement, is in existence as of the effective date hereof and (ii) each of the
representations and warranties contained in the following paragraphs of the
Agreement are true and correct as of the effective date of this Seventh
Amendment: paragraph 6.1 through paragraph 6.21.

         5.      The Agreement hereby is ratified and confirmed as being and
continuing in full force and effect according to its terms, as amended by this
Seventh Amendment.

         6.      This Agreement (i) is binding upon Borrower and Lender and
their respective successors and assigns, (ii) represents the entire agreement
between the parties regarding the subject matter hereof and may not be amended
or modified except in writing signed by both parties, (iii) shall be governed
and construed according to the laws of the State of Texas and (iv) may be
executed by counterpart, in which case each such counterpart together shall be
considered to be the same agreement. A telecopy of any such executed
counterpart shall be valid as an original.


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         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 UNWRITTEN ORAL AGREEMENTS BETWEEN THE PARTIES.

         EXECUTED effective as of the date specified in the preamble.

                                        NATIONSBANK OF TEXAS, N.A.

                                        By: /s/ FRANK IZZO  
                                           -------------------------------------
                                        Name: Frank Izzo
                                             -----------------------------------
                                        Title: Sr. Vice President 
                                              ----------------------------------
                                        
                                        
                                        By: /s/ TODD M. BURNS
                                           -------------------------------------
                                        Name: Todd M. Burns
                                             -----------------------------------
                                        Title: Banking Officer
                                              ----------------------------------
                                        
                                        ENCORE WIRE CORPORATION
                                        
                                        By: /s/ SCOTT WEAVER
                                           -------------------------------------
                                        Name: Scott Weaver
                                             -----------------------------------
                                        Title: VP Finance
                                              ----------------------------------
                                        
                              CONSENT BY GUARANTOR

         EWC Leasing Corp. hereby (i) consents to execution and performance by
Borrower of the foregoing Seventh Amendment to Amended and Restated Financing
Agreement ("Seventh Amendment") and (ii) ratifies and confirms its Guaranty
dated effective as of June 15, 1994 as continuing in full force and effect with
respect to all "Obligations" defined by the Agreement, including as amended by
the Seventh Amendment, as of the effective date hereof.

                                        EWC LEASING CORP.

                                        By:/s/ SCOTT WEAVER
                                           -------------------------------------
                                        Name:  SCOTT WEAVER
                                             -----------------------------------
                                        Title: VP Finance
                                              ----------------------------------



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<PAGE>   4

THE STATE OF TEXAS        )

COUNTY OF DALLAS          )

BEFORE ME, the undersigned authority, on this day personally appeared TODD M.
BURNS, known to me to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that the same was the act of the
said NATIONSBANK OF TEXAS, N.A., and was executed for the purposes and
consideration therein expressed and in the capacity therein stated.

         GIVEN UNDER MY HAND AND SEAL OF OFFICE this the 18th day of December,
1996.


                                                   /s/ DANA ANN WOODRUFF        
                                                   -----------------------------
                                                   NOTARY PUBLIC, STATE OF TEXAS

My Commission Expires:                             DANA ANN WOODRUFF
       4/29/97                                     -----------------------------
----------------------                             (Printed Name of Notary)
                                                   

THE STATE OF TEXAS        )

COUNTY OF DALLAS          )                                                


BEFORE ME, the undersigned authority, on this day personally appeared Frank
IZZO, known to me to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that the same was the act of the
said NATIONSBANK OF TEXAS, N.A., and was executed for the purposes and
consideration therein expressed and in the capacity therein stated.

         GIVEN UNDER MY HAND AND SEAL OF OFFICE this the_____________day of
December, 1996.



                                                   /s/ DANA ANN WOODRUFF
                                                   -----------------------------
                                                   NOTARY PUBLIC, STATE OF TEXAS

My Commission Expires:                             DANA ANN WOODRUFF        
     4/29/97                                       -----------------------------
---------------------                              (Printed Name of Notary)
                                                   

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THE STATE OF TEXAS        )

COUNTY OF DALLAS          )

BEFORE ME, the undersigned authority, on this day personally appeared SCOTT
WEAVER, known to me to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that the same was the act of the
said ENCORE WIRE CORPORATION, a Delaware corporation, and that he executed the
same as the act of such corporation for the purposes and consideration therein
expressed and in the capacity therein stated.

GIVEN UNDER MY HAND AND SEAL OF OFFICE this the 12th day of December, 1996.


                                                   /s/ SHIRLEY WRIGHT 
                                                   -----------------------------
                                                   NOTARY PUBLIC, STATE OF TEXAS

My Commission Expires:                             SHIRLEY WRIGHT  
         1-31-97                                   -----------------------------
----------------------                             (Printed Name of Notary)
                                                     

THE STATE OF TEXAS        )

COUNTY OF DALLAS          )


BEFORE ME, the undersigned authority, on this day personally appeared SCOTT
WEAVER, known to me to be the person and officer whose name is subscribed to the
foregoing instrument, and acknowledged to me that the same was the act of the
said EWC LEASING CORP., a Nevada corporation, and that he executed the same as
the act of such corporation for the purposes and consideration therein expressed
and in the capacity therein stated.

GIVEN UNDER MY HAND AND SEAL OF OFFICE this the 12th day of December, 1996.


                                                   /s/ SHIRLEY WRIGHT 
                                                   -----------------------------
                                                   NOTARY PUBLIC, STATE OF TEXAS

My Commission Expires:                             SHIRLEY WRIGHT          
      1-31-97                                      -----------------------------
----------------------                             (Printed Name of Notary)
                                                     


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