TENTH AMENDMENT TO CREDIT AGREEMENT

         TENTH  AMENDMENT  TO CREDIT  AGREEMENT,  dated as of February  __, 1997
(this "Amendment"),  to the Revolving Credit,  Factoring and Security Agreement,
dated as of September 20, 1993, as amended by letter  agreement Re: Amendment to
Credit Agreement with respect to the Mississippi  Property,  dated June 14, 1994
(the  "First  Amendment")  and by  letter  agreement  Re:  Amendment  to  Credit
Agreement  with  respect to  Additional  Guarantors,  dated August 24, 1994 (the
"Second Amendment"), and by the Third Amendment to Credit Agreement, dated as of
February 28, 1995 (the "Third Amendment"), and by the Fourth Amendment to Credit
Agreement, dated as of March 1, 1995 (the "Fourth Amendment"),  and by the Fifth
Amendment to Credit Agreement, dated as of June 28, 1995 (the "Fifth Amendment")
and by the Sixth Amendment to Credit Agreement, dated as of August 15, 1995 (the
"Sixth Amendment") the Seventh Amendment to Credit Agreement,  dated as of March
27, 1996 (the "Seventh Amendment"), by the Eighth Amendment to Credit Agreement,
dated as of June 1, 1996 (the "Eighth Amendment"), and by the Ninth Amendment to
Credit  Agreement,  dated as of August 16, 1996 (the "Ninth  Amendment")  (as so
amended, and as further amended, supplemented or otherwise modified from time to
time, the "Credit Agreement"),  between THE CIT GROUP/COMMERCIAL  SERVICES, INC.
("Lender") and SALANT CORPORATION ("Borrower").

                              W I T N E S S E T H :

              WHEREAS, Lender and Borrower are parties to the Credit Agreement;

              WHEREAS,  Borrower  has  requested  Lender to amend the Credit
Agreement  to (i) extend the Renewal  Date,  as defined  therein,  (ii)  provide
Borrower  with the option of  requesting a portion of the  Revolving  Loans that
bear interest at the Effective  Eurodollar  Rate (as defined below) and (iii) to
amend certain financial covenants set forth therein; and

                  WHEREAS,  Lender is  willing  to make such  amendments  to the
Credit  Agreement upon the terms and subject to the conditions set forth in this
Amendment;

                  NOW, THEREFORE,  in consideration of the premises, the parties
hereto hereby agree,  effective as of the Effective  Date, as defined below,  as
follows:

     1. Credit Agreement Defined Terms. Initially capitalized terms used and not
otherwise defined
herein shall have their respective meanings as defined in the Credit Agreement.

     2.  Amendments  to Section 1.  Section 1 of the Credit  Agreement is hereby
amended as follows:

     (a) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.5A thereof:

                  "1.5A  'Applicable  Margin'  shall mean  (a)(i) in the case of
                  Prime Rate Loans,  one-half  (.50%)  percent,  and (ii) in the
                  case  of  Eurodollar  Loans,  two and  three-quarters  (2.75%)
                  percent,  and (b) from after the occurrence of (i) declaration
                  by Lender of any Event of  Default  (so long as such  Event of
                  Default is continuing and unwaived),  (ii) termination of this
                  Agreement,  or (iii) the  non-renewal of this Agreement on the
                  Renewal Date pursuant to Section  10.1(a)  hereof,  the amount
                  described  in  clause  (a)(i)  and  clause   (a)(ii)  of  this
                  definition plus one (1%) percent."

     (b) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.13A thereof:

                  "1.13A  'Business  Day'  shall  mean  any  day  that  is not a
                  Saturday, Sunday or day on which commercial banks in New York,
                  New York are required or permitted to close."

     (c) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.27A thereof:

                  "1.27A  'Effective  Eurodollar  Rate'  shall  mean,  for  each
                  Eurodollar Loan, a rate per annum equal to the Eurodollar Base
                  Rate in effect for the  Interest  Period with  respect to such
                  Eurodollar Loan, plus the Applicable Margin."

     (d) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.27B thereof:

                  "1.27B  'Effective Prime Rate' shall mean, for each Prime Rate
                  Loan,  a rate per  annum  equal  to the  Prime  Rate  plus the
                  Applicable Margin."

     (e) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.33A thereof:

                  "1.33A 'Eurodollar Base Rate' shall mean, with respect to each
                  day during each  Interest  Period  pertaining  to a Eurodollar
                  Loan,  the  rate of  interest  published  in The  Wall  Street
                  Journal, Eastern Edition, two business days prior to the first
                  day of such  Interest  Period as the highest rate in the range
                  of rates  quoted  for one,  two or three  month  'London  Late
                  Eurodollars'.  In the  event  that  The Wall  Street  Journal,
                  Eastern Edition, is not published or such rate does not appear
                  in The Wall Street Journal,  Eastern Edition,  the 'Eurodollar
                  Base Rate'  shall be the rate  determined  by Lender to be the
                  rate at which  deposits  in Dollars  are  offered by The Chase
                  Manhattan   Bank  to  first  class  banks  in  the   interbank
                  eurodollar  market where the eurodollar  and foreign  currency
                  and exchange operations in respect of its eurodollar loans are
                  then being  conducted at  approximately  11:00 a.m.,  New York
                  City time,  two Business  Days prior to the  beginning of such
                  Interest  Period,  in an  amount  approximately  equal  to the
                  principal amount of the Eurodollar Loan to which such Interest
                  Period is to apply and for a period of time comparable to such
                  Interest Period."

     (f) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.33B thereof:

     "1.33B 'Eurodollar Loan' shall mean a Revolving Loan bearing interest based
on the Eurodollar Rate."

     (g) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.33C thereof:

                  "1.33C  'Eurodollar  Rate' shall mean with respect to each day
                  during each Interest Period pertaining to a Eurodollar Loan, a
                  rate per annum  determined for such day in accordance with the
                  following formula (rounded upward to the nearest 1/100 of 1%):
                              Eurodollar Base Rate
                          1.00 -- Reserve Requirements"

     (h) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.37A thereof:

                  "1.37A   'Funding  Date'  shall  mean,  with  respect  to  any
                  Revolving  Loan,  the date of the  funding  of such  Revolving
                  Loan, and in the case of a Eurodollar  Loan which is continued
                  pursuant  to Section  3.1A(c),  the first day of the  Interest
                  Period with respect thereto."

     (i) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as Section 1.39A thereof:

                  "1.39A 'Governmental  Authority' shall mean any nation, state,
                  sovereign, or government,  any federal, regional, state, local
                  or  political  subdivision  thereof and any entity  exercising
                  executive, legislative, regulatory or administrative functions
                  of or pertaining to government."

     (j) Section 1.47 of the Credit  Agreement is hereby deleted in its entirety
and the following is substituted therefor:

                  "1.47  'Interest  Period'  shall  mean,  with  respect to each
                  Eurodollar Loan, the period commencing on the Funding Date for
                  such loan and  ending,  as Borrower  may  select,  pursuant to
                  Section 3.1A(a),  on the numerically  corresponding day in the
                  first,  second or third calendar month  thereafter,  provided,
                  however, that:

                           (i) An Interest  Period  based on a one, two or three
                  calendar month period which commences on the last Business Day
                  of a  calendar  month  (or on any day for  which  there  is no
                  numerically  corresponding  day in the appropriate  subsequent
                  calendar  month)  shall  end on the last  Business  Day of the
                  appropriate subsequent calendar month;

     (ii) In no event shall an Interest  Period  extend beyond the Renewal Date;
and

                           (iii) If an Interest  Period  would end on a day that
                  is not a Business Day, such Interest  Period shall be extended
                  to the next Business Day,  unless such Business Day would fall
                  in the next  calendar  month,  in which  event  such  Interest
                  Period shall end on the immediately preceding Business Day."

     (k) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as subsection 1.62A.1 thereof:

                  "1.62A.1  'Notice of Borrowing'  shall mean, with respect to a
                  request  for a  Eurodollar  Loan  pursuant  to Section  3.1, a
                  written  notice  in  substantially  the form of  Exhibit O (or
                  telephonic or telecopy notice,  as provided in Section 3.1A(a)
                  hereof)."

                  (l) Section 1.69 of the Credit  Agreement is hereby amended by
deleting therefrom all references to "Chemical Bank" and substituting "The Chase
Manhattan Bank" in lieu thereof in each instance where such term appears.

     (m) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as subsection 1.69A thereof:

                  "1.69A  'Prime  Rate Loans'  shall mean any and all  Revolving
                  Loans (or any portion thereof)  requested to be made by Lender
                  as Revolving  Loans bearing  interest  when, and to the extent
                  that, the interest rate therefor is determined by reference to
                  the Prime Rate."

     (n) The  following  subsection  is hereby  added to Section 1 of the Credit
Agreement as subsection 1.72A thereof:

                  "1.72A  'Reserve  Requirements'  shall  mean  for  any  day as
                  applied  to  a  Eurodollar   Loan,   the  aggregate   (without
                  duplication) of the rates (expressed as a decimal fraction) of
                  reserve  requirements  in  effect  on  such  date  (including,
                  without   limitation,   basic,   supplemental,   marginal  and
                  emergency  reserves  under  any  regulations  of  the  Federal
                  Reserve   Board  or  other   Governmental   Authority   having
                  jurisdiction   with  respect  thereto)  dealing  with  reserve
                  requirements  prescribed for eurocurrency  funding  (currently
                  referred to as  "Eurocurrency  Liabilities" in Regulation D of
                  the Board of  Governors of the Federal  Reserve  System of the
                  United  States)  maintained  by a member  bank of the  Federal
                  Reserve System. Eurodollar Loans shall be deemed to constitute
                  Eurocurrency  Liabilities  and to be subject  to such  reserve
                  requirements  without  benefit  of or  credit  for  proration,
                  exceptions or offsets which may be available from time to time
                  to Lender or any  Participant or any Affiliate of Lender or of
                  any Participant under Regulation D."

     3.  Amendment of Section  3.1(a) (iii).  Section 3.1(a) (iii) of the Credit
Agreement is amended in its entirety to read as follows:

                  "(iii) Fifty percent (50%) of the value of Eligible Inventory,
                  provided,  however,  that solely for,  and at all times during
                  the months of May, June,  July and August of 1997 and of 1998,
                  such advance rate shall be sixty percent (60%) of the value of
                  Eligible Inventory."

     4. (i) Amendment of Section 3.1(c).  Section 3.1(c) of the Credit Agreement
is amended in its entirety to read as follows:

                           "(c)   Notwithstanding   anything  to  the   contrary
                  contained herein or in any of the other Financing  Agreements,
                  except in Lender's discretion,  the aggregate unpaid principal
                  amount of Revolving Loans outstanding at any time based on the
                  value of all Eligible  Inventory shall not exceed  $60,000,000
                  (the "Inventory  Sublimit"),  provided,  however,  that solely
                  for, and at all times during,  the months of May,  June,  July
                  and August of 1997 and of 1998,  the Inventory  Sublimit shall
                  not exceed  $70,000,000.  On or before  September 10, 1997 and
                  September 10, 1998,  respectively,  Borrower shall pay in full
                  to Lender that portion of the  Revolving  Loans which is equal
                  to the difference (such amount,  the "Inventory  Overadvance")
                  between:  (i) the  aggregate  amount of  Revolving  Loans then
                  outstanding with respect to Eligible  Inventory,  and (ii) the
                  lesser  of: (A) the  maximum  amount of  Revolving  Loans with
                  respect to Eligible Inventory to which Borrower is entitled on
                  September  1 of  the  applicable  Contract  Year  based  on an
                  advance rate of fifty  percent  (50%) of the value of Eligible
                  Inventory,  and (B) the  Inventory  Sublimit  as in  effect on
                  September 1 of such Contract Year.  Borrower's  failure to pay
                  the Inventory  Overadvance in full on or before  September 10,
                  1997 or on or before September 10, 1998 (as applicable)  shall
                  constitute an Event of Default  under  Section  8.1(a) of this
                  Agreement."

     5. Additions to Section 3.1.  Section 3.1 of the Credit Agreement is hereby
amended by adding thereto the following  subsections as subsections  (g) and (h)
thereof:

                  "(g) Eurodollar Loans made on any Funding Date shall be in the
                  aggregate   minimum  amount  of  $5,000,000  and  in  integral
                  multiples of $1,000,000 in excess of that amount."

                  "(h)  There  shall not  exist at any time more than  three (3)
                  borrowings  (or  any  portion  thereof)  of  Eurodollar  Loans
                  outstanding,  including, without limitation,  Eurodollar Loans
                  arising as a result of the  conversion of a Prime Rate Loan to
                  a Eurodollar Loan in accordance with the provisions of Section
                  3.1A(b)  hereof or the  continuation  of a Eurodollar  Loan as
                  such upon the  expiration  of an Interest  Period with respect
                  thereto in accordance  with the provisions of Section  3.1A(c)
                  hereof."

     6.  Addition of Section  3.1A.  The Credit  Agreement is hereby  amended by
adding thereto the following  Section 3.1A immediately  following Section 3.1(h)
thereof:

                  "3.1A.  Notice of Borrowing; Interest Rate Option.
                  (a) Notice of  Borrowing.  (i) Each  borrowing of a Eurodollar
                  Loan  under  Section  3.1  shall  be made on  notice  given by
                  Borrower to Lender no later than three (3) Business Days prior
                  to the requested  Funding Date for such  Eurodollar  Loan. The
                  Notice of Borrowing  shall specify (i) the  requested  Funding
                  Date (which shall be a Business  Day),  (ii) the amount of the
                  proposed  borrowing,  and (iii) the Interest Period elected by
                  Borrower  with  respect  to  such  proposed  Eurodollar  Loan.
                  Failure by the Borrower to deliver a Notice of Borrowing  with
                  respect to a request for a Eurodollar  Loan or a request for a
                  borrowing  of  a  Eurodollar   Loan  which  would  exceed  the
                  limitations  set forth in Section  3.1(h)  shall be deemed and
                  shall  constitute the  Borrower's  election that such proposed
                  borrowing  shall be a Prime Rate Loan; and failure by Borrower
                  to make such election  described in the immediately  preceding
                  clause (iii) shall be deemed and shall  constitute  Borrower's
                  election that the Interest Period with respect to the proposed
                  borrowing  shall  be a  one  (1)  month  period.  In  lieu  of
                  delivering  a Notice of  Borrowing,  Borrower  may give Lender
                  telephonic  notice of any requested  borrowing of a Eurodollar
                  Loan  by  the  time  required  under  this  Section   3.1A(a);
                  provided,  that such notice  shall be  confirmed in writing by
                  delivery to Lender (x) on the same Business Day, of a telecopy
                  of a written  Notice of Borrowing  which has been signed by an
                  authorized  officer of Borrower  and (y)  promptly  (and in no
                  event  later than three (3)  Business  Days after the  Funding
                  Date in  respect of the  applicable  Eurodollar  Loans),  of a
                  Notice of Borrowing  containing  the original  signature of an
                  authorized officer of Borrower.

                  (ii)  Borrower  shall notify Lender in writing of the names of
                  the officers  authorized to request  Revolving Loans on behalf
                  of  Borrower,   and  shall  provide  Lender  with  a  specimen
                  signature  of each such  officer.  Lender shall be entitled to
                  rely  conclusively  on such  officers'  authority  to  request
                  Revolving  Loans on behalf of Borrower,  the proceeds of which
                  are  requested  to be  transferred  to an account of Borrower,
                  until Lender receives  written notice to the contrary.  Lender
                  shall have no duty to verify the authenticity of the signature
                  appearing  on  any  Notice  of  Borrowing  or  other   writing
                  delivered  pursuant  to Section  3.1A(a)(i)  above  and,  with
                  respect to an oral request for Revolving  Loans,  Lender shall
                  have  no  duty  to  verify  the  identity  of  any  individual
                  representing himself as one of the officers authorized to make
                  such request on behalf of Borrower.

                           Lender shall not incur any liability to Borrower as a
                  result of acting  upon any  telephonic  notice  referred to in
                  this  Section  3.1A(a)  which notice  Lender  believes in good
                  faith to have been given by a duly authorized officer or other
                  individual  authorized to request Revolving Loans on behalf of
                  Borrower  or for  otherwise  acting in good  faith  under this
                  Section  3.1A(a) and,  upon the funding of Revolving  Loans by
                  Lender in accordance with this Agreement, pursuant to any such
                  telephonic notice,  Borrower shall be deemed to have requested
                  and received Revolving Loans hereunder.

                           Any Notice of Borrowing made pursuant to this Section
                  3.1A(a) shall be irrevocable.

                  (b) Conversion Option. Borrower may elect from time to time to
                  convert,  on a Business  Day,  Eurodollar  Loans to Prime Rate
                  Loans  and  Prime  Rate  Loans to  Eurodollar  Loans by giving
                  Lender at least  three (3)  Business  Days  prior  irrevocable
                  written  notice  of such  election,  provided  that  any  such
                  conversion of a Eurodollar Loan shall only be made on the last
                  day  of  an  Interest  Period  with  respect   thereto.   Each
                  conversion  of a Eurodollar  Loan to a Prime Rate Loan or of a
                  Prime Rate Loan to a Eurodollar Loan shall be for an amount of
                  $5,000,000,  or, if more,  in  increments  of any  multiple of
                  $1,000,000, in each instance.  Notwithstanding anything to the
                  contrary set forth herein, the conversion provided for in this
                  Section 3.1A(b) shall be subject to the limitations  contained
                  in Section  3.1(h) and shall be  permitted  only so long as no
                  Event of Default has occurred and is continuing.

                  (c)  Continuation of Eurodollar  Loan. Any Eurodollar Loan may
                  be continued as such upon the expiration of an Interest Period
                  with respect thereto by compliance by Borrower with the notice
                  provisions contained in Section 3.1A(a) above for request of a
                  Eurodollar  Loan;  provided,  however,  that (i) the Effective
                  Eurodollar Rate with respect to any such continued  Eurodollar
                  Loan  shall be  determined  by  Lender  with  respect  to such
                  Eurodollar Loan as of two (2) Business Days prior to the first
                  day of the continued  Interest Period elected by Borrower with
                  respect thereto, and (ii) any Eurodollar Loan may be continued
                  as such subject to the limitations contained in Section 3.1(h)
                  and only so long as no Event of Default  has  occurred  and is
                  continuing,  in either of which  events,  any such  Eurodollar
                  Loan shall be automatically  converted to a Prime Rate Loan on
                  the last day of the then current  Interest Period with respect
                  thereto.

                  (d) Revocation of Interest Rate Election. With respect to each
                  requested Eurodollar Loan, in the event that Lender shall have
                  determined  (which   determination  shall  be  conclusive  and
                  binding  upon  Borrower)  that  by  reason  of   circumstances
                  affecting  the London  interbank  market  and/or the interbank
                  eurodollar  market where the eurodollar  and foreign  currency
                  and exchange operations of The Chase Manhattan Bank in respect
                  of its eurodollar loans are then being conducted, adequate and
                  reasonable  means do not exist for  ascertaining the Effective
                  Eurodollar  Rate,  then Lender shall forthwith give written or
                  telephonic  notice of such  determination to Borrower at least
                  one (1) Business Day prior to (i) the  requested  Funding Date
                  for such  Eurodollar  Loan,  (ii) the conversion  date of such
                  Prime  Rate  Loan,  or (iii)  the  last  day of such  Interest
                  Period, as the case may be.

                           In the  event  such  notice  is  given,  then (i) any
                  requested  Eurodollar Loan shall be made as a Prime Rate Loan,
                  (ii) any  Prime  Rate  Loan  which  Borrower  elected  to have
                  converted to a  Eurodollar  Loan shall be continued as a Prime
                  Rate Loan, and (iii) any outstanding  Eurodollar Loan shall be
                  converted  to a Prime  Rate  Loan on the  last day of the then
                  current Interest Period with respect thereto.  Further,  until
                  such  notice  has  been   withdrawn  by  Lender,   no  further
                  Eurodollar  Loans  shall  be  made  or  continued,  nor  shall
                  Borrower  have the right to  convert  any Prime Rate Loan to a
                  Eurodollar Loan."

         7. Amendment of Section 3.2(c).  The last sentence of Section 3.2(c) of
the Credit  Agreement is hereby  amended by deleting  therefrom  the  previously
existing defined term, "Interest Rate", and substituting  "Effective Prime Rate"
in lieu thereof.

     8. Amendment of Section 3.3. Section 3.3 of the Credit Agreement is amended
in its entirety to read as follows:

                  "3.3  Maximum Credit

                  The  aggregate  principal  amount of the  Revolving  Loans and
                  Letter of Credit  Accommodations at any time outstanding shall
                  not exceed $120,000,000,  provided,  however, that solely for,
                  and at all times  during,  the  months of March,  April,  May,
                  June,  July,  August,  September  and  October of 1997 and the
                  months of March,  April, May, June, July, August and September
                  of 1998, such  outstanding  amount shall not exceed the amount
                  set forth  opposite  each such  month and  provided,  further,
                  however, that during the first twenty (20) days of each month,
                  the  Maximum  Credit may equal but shall not exceed the higher
                  of (i) the Maximum  Credit on the last day of the  immediately
                  preceding  month or (ii) the amount set forth  below  opposite
                  such month:
<TABLE>
<CAPTION>

                           Month                         Amount

<S>                               <C>                         <C>
                           March, 1997                        $132,000,000
                           April, 1997                        $135,000,000
                           May, 1997                          $130,000,000
                           June, 1997                         $132,000,000
                           July,1997                          $130,000,000
                           August, 1997                       $135,000,000
                           September, 1997                    $135,000,000
                           October, 1997                      $130,000,000
                           March, 1998                        $132,000,000
                           April, 1998                        $135,000,000
                           May, 1998                          $130,000,000
                           June, 1998                         $132,000,000
                           July, 1998                         $130,000,000
                           August, 1998                       $135,000,000
                           September, 1998                    $135,000,000
</TABLE>

                  Notwithstanding  anything to the  contrary  contained  herein,
                  from and after  November  21, 1997 and  through and  including
                  February  28,  1998,  the  Maximum  Credit  shall  not  exceed
                  $120,000,000."

     9. Interest.  Section  3.5(a) of the Credit  Agreement is hereby amended in
its entirety to read as follows:

                  "(a) Each  Revolving  Loan shall bear  interest  on the unpaid
                  principal  amount thereof from the date such Revolving Loan is
                  made until it is paid in full at a fluctuating  rate per annum
                  equal to (i) in the case of Prime Rate  Loans,  the  Effective
                  Prime Rate, and (ii) in the case of Eurodollar Rate Loans, the
                  Effective  Eurodollar Rate.  Interest accrued on the Revolving
                  Loans in any calendar month shall be payable in arrears (i) on
                  the first Business Day of the immediately  succeeding calendar
                  month,  and (ii) upon the termination of this Agreement or, in
                  the event this  Agreement  is not renewed in  accordance  with
                  Section 10.1(a) hereof,  on the Renewal Date.  Interest on the
                  Revolving  Loans  shall be computed on the basis of the actual
                  number of days  elapsed in the period  during  which  interest
                  accrues and a year of 360 days."

         10.  Amendment of Section 3.6(g).  The first sentence of Section 3.6(g)
of the Credit  Agreement is hereby amended by deleting  therefrom the previously
existing defined term, "Interest Rate", in each instance where such term appears
and substituting "Effective Prime Rate" in lieu thereof.

     11. Amendment of Section 3.6(k).  Section 3.6(k) of the Credit Agreement is
hereby amended in its entirety to read as follows:

                  "3.6(k) Notwithstanding  anything to the contrary contained in
                  this  Agreement,  Borrower  shall  have  the  right  to  cease
                  factoring  Notification Accounts upon not less than sixty (60)
                  days prior written notice to Lender,  provided,  however, that
                  all Accounts  shall at all times  constitute  security for all
                  Obligations."

     12.  Addition  of  Sections  3.10,  3.11 and 3.12.  Section 3 of the Credit
Agreement is amended hereby by adding thereto the following  Sections 3.10, 3.11
and 3.12:

                  "3.10  Increased  Costs for  Revolving  Loans and  Letters  of
                  Credit Accommodations.  If any Governmental Authority, central
                  bank or other  comparable  authority shall at any time impose,
                  modify or deem  applicable  any  reserve  (including,  without
                  limitation,  any reserve imposed by the Federal Reserve Board,
                  including,  but not  limited  to, in respect of the making and
                  maintaining of Eurodollar  Loans),  special deposit or similar
                  requirement  against  assets  of,  deposits  with  or for  the
                  account  of,  or  credit  extended  by,  Lender,   or  by  any
                  Participant, or shall impose on Lender, or on any Participant,
                  or the market for  revolving  loans or letters of credit,  any
                  other condition affecting a revolving loan or letter of credit
                  (any such event, an "Increased Cost Event"); and the result of
                  any Increased  Cost Event is to increase the cost to Lender or
                  to such  Participant of making or participating in a Revolving
                  Loan or the cost to  Lender or to any  other  issuer  issuing,
                  maintaining or creating a Letter of Credit  Accommodation,  as
                  the case may be, or to reduce the  amount of any sum  received
                  or receivable by Lender or such  Participant in respect of any
                  Revolving  Loan or by Lender or any such  other  issuer of any
                  Letter of Credit Accommodations,  then, upon demand by Lender,
                  Borrower  shall pay to Lender for the account of Lender,  such
                  other  issuer  of a Letter of  Credit  Accommodation,  or such
                  Participant,  as the case may be,  such  additional  amount or
                  amounts as will  compensate  Lender,  such  other  issuer of a
                  Letter of Credit  Accommodation or such Participant,  for such
                  increased  cost or  reduction.  Lender  will  promptly  notify
                  Borrower of any Increased Cost Event  occurring after the date
                  hereof, of which it has knowledge,  which would entitle Lender
                  to  compensation  pursuant to this Section 3.10. A certificate
                  of Lender delivered to Borrower  claiming  compensation  under
                  this Section 3.10 and setting forth the  additional  amount or
                  amounts to be paid to Lender  hereunder,  determined by Lender
                  on a  reasonable  basis  and  prepared  in good  faith  and in
                  reasonable  detail,  shall,  in the  absence  of  manifest  or
                  demonstrable   error,   be  conclusive  and  binding  for  all
                  purposes.  Notwithstanding  the  foregoing,  Lender shall only
                  seek such  compensation  from Borrower for any such  increased
                  cost  or  reduction  if  Lender,   or  such   Participant  (as
                  applicable),  in connection with the Increased Cost Event that
                  has given rise to such increased cost or reduction,  similarly
                  seeks  such  compensation   generally  from  other  commercial
                  borrowers  of Lender or such  Participant  in respect of which
                  borrowers the respective  financing  agreements then in effect
                  between Lender or such  Participant  (as  applicable) and each
                  such  borrower  give Lender or such  Participant  the right to
                  demand  compensation from such borrower upon the occurrence of
                  such Increased Cost Event."

                  "3.11 Increased Capital.  If either (i) the introduction of or
                  any  change  in  or  in  the  interpretation  of  any  law  or
                  regulation or (ii)  compliance by Lender or  Participant  with
                  any  guideline  or  request  from  any  central  bank or other
                  Governmental Authority (whether or not having the force of law
                  and  whether or not the failure to comply  therewith  would be
                  unlawful),   including,   without  limitation,   any  "Reserve
                  Requirement"  used in determining  the  Eurodollar  Base Rate,
                  affects or would  affect the  amount of  capital  required  or
                  expected  to  be  maintained  by  Lender  or  any  corporation
                  controlling  Lender  or any  Participant  and  Lender  or such
                  Participant  reasonably  determines  that the  amount  of such
                  capital is  increased  by or based upon the  existence  of the
                  commitments to make Revolving  Loans and/or other  commitments
                  of this  type on the terms  and  conditions  set forth in this
                  Agreement (any such event, an "Increased Capital Event") then,
                  upon  demand by  Lender,  Borrower  shall  immediately  pay to
                  Lender,  from time to time as specified by Lender,  additional
                  amounts  sufficient to  compensate  Lender,  such  corporation
                  controlling  Lender or such Participant (as applicable) in the
                  light of such circumstances, to the extent that Lender or such
                  Participant  reasonably determines such increase in capital to
                  be allocable to the occurrence of the Increased Capital Event.
                  A  certificate  as to such  amounts  delivered  by  Lender  to
                  Borrower,   determined  by  Lender  or  such  Participant  (as
                  applicable)  on a reasonable  basis and prepared in good faith
                  and in  reasonable  detail by Lender or such  Participant  (as
                  applicable)  shall, in the absence of manifest or demonstrable
                  error,   be   conclusive   and  binding   for  all   purposes.
                  Notwithstanding  the  foregoing,  Lender  or such  Participant
                  shall only seek such  compensation  from Borrower if Lender or
                  such  Participant,  in connection  with the Increased  Capital
                  Event   that  has  given  rise  to  such   increased   capital
                  requirement,  similarly seeks such compensation generally from
                  other  commercial  borrowers of Lender or such  Participant in
                  respect of which the respective  financing  agreements then in
                  effect between Lender or such  Participant (as applicable) and
                  each such borrower give Lender or such  Participant  the right
                  to demand  compensation from such borrower upon the occurrence
                  of such Increased Capital Event."

                  "3.12  Funding  Loss  Indemnification.  Borrower  shall pay to
                  Lender  for the  account  of  Lender or of a  Participant  (as
                  applicable)  such amount or amounts as shall be  certified  by
                  Lender or such Participant in good faith to compensate  Lender
                  or such Participant for any loss, cost, or expense incurred by
                  Lender or such Participant as a result of:

                  (a) Payment of a Eurodollar Loan on a date other than the last
                  day of the Interest Period relating thereto, including but not
                  limited  to, as a result of  acceleration  of the  Obligations
                  pursuant to Section 8.2 hereof; or

                  (b) The  failure  by  Borrower  to (i)  borrow or  continue  a
                  Eurodollar Loan on the Funding Date specified in the Notice of
                  Borrowing relating thereto,  or (ii) convert a Prime Rate Loan
                  to a Eurodollar Loan pursuant to irrevocable written notice of
                  its election thereof pursuant to Section 3.1A(b) including but
                  not  limited  to as a  result  of the  operation  of the  last
                  sentence of Section 3.1A(b)."

         13.      Deletion of Section 7.18.
  Section 7.18 of the Credit Agreement is hereby deleted in its
entirety and replaced with the following:

                  "7.18  [Intentionally Deleted]"

     14.  Amendment of Section  7.19.  Section  7.19 of the Credit  Agreement is
amended in its entirety to read as follows:

                  "7.19  Stockholders' Equity

                  Borrower  shall  not  permit  its  consolidated  stockholders'
                  equity  to be less than  $55,000,000  at any time  during  the
                  period from the  Consummation  Date through the day before the
                  last  day of its 1993  fiscal  year,  $60,000,000  at any time
                  during the period  from the last day of its 1993  fiscal  year
                  through June 28, 1996, $45,000,000 during the period from June
                  29,  1996  through  the day  before  the  last day of its 1996
                  fiscal  year,  $52,000,000  during the period from  January 1,
                  1997  through  the day before the last day of its 1997  fiscal
                  year and $68,000,000 thereafter.  Notwithstanding  anything to
                  the contrary contained herein, write-offs for goodwill arising
                  during  Borrower's  1997  fiscal  year  which  Borrower  would
                  otherwise  be  required  to  include in the  determination  of
                  Borrower's   consolidated   stockholders'  equity  under  this
                  Section  7.19  shall,  in an  aggregate  amount  not to exceed
                  $5,000,000,  be  excluded  from  such  determination  of  such
                  consolidated  stockholders'  equity  solely  during the period
                  from and after the last day of Borrower's 1997 fiscal year."

     15.  Deletion of Section  7.20.  Section  7.20 of the Credit  Agreement  is
hereby deleted in its entirety and replaced with the following:

                  "7.20  [Intentionally Deleted]"

         16.      Deletion of Section 7.21.  Section 7.21 of the Credit
Agreement is hereby deleted in its
entirety and replaced with the following:

                  "7.21  [Intentionally Deleted]"

     17. Amendment of Section 7.22. Section 7.22 of the Credit Agreement is
amended in its entirety to read as follows:

                  "7.22  Maximum Loss

                  Borrower  shall  not  incur,  in any four  consecutive  fiscal
                  quarters,  commencing  after the date of this Agreement,  on a
                  cumulative basis, a net loss of $10,000,000 or more, or in any
                  period of eight consecutive fiscal quarters,  commencing after
                  the date of this  Agreement on a cumulative  basis, a net loss
                  of  $15,000,000  or  more.  Notwithstanding  anything  to  the
                  contrary   contained   herein,    write-offs   for   goodwill,
                  restructuring   expense  or  other  unusual  or  non-recurring
                  expense  arising  during  the first  two  fiscal  quarters  of
                  Borrower's   1996  fiscal  year  (ending  June  29,  1996)  in
                  connection  with or  pursuant  to a  restructuring  and  which
                  Borrower  would  otherwise  be  required  to  include  in  the
                  determination  of Borrower's net loss under this Section 7.22,
                  shall, in an aggregate  amount not to exceed  $13,000,000,  be
                  excluded  from  such   determination   of  such  net  loss  of
                  Borrower."

     18.  Deletion of Section  7.23.  Section  7.23 of the Credit  Agreement  is
hereby deleted in its entirety and replaced with the following:

     "7.23  [Intentionally  Deleted]" 19.  Amendment of Section 8.1(l).  Section
8.1(l) of the Credit Agreement is amended in its entirety to read as follows:

                  "(l) one or more judgments are entered against Borrower or any
         Guarantor in excess of $750,000 in any one case or in the aggregate and
         the same  shall  not have been  paid,  vacated,  discharged,  stayed or
         bonded pending appeal on or before the earlier of (x) the date required
         by the  terms  (if  any) of such  judgment  for the  completion  of the
         foregoing and (y) thirty (30) days after the entry thereof."

     20. Amendment of Section 9.1(a).  Section 9.1(a) of the Credit Agreement is
amended in its entirety to read as follows:

                  "(a) All invoices  relating to  Non-Notification  Accounts and
         Non-Factored  Accounts  shall  indicate that  remittances  with respect
         thereto are to be made to: SALANT  CORPORATION,  P.O. BOX 4076,  CHURCH
         STREET  STATION,  NEW YORK, NEW YORK  10261-4076,  a lock box opened by
         Lender pursuant to a Lock Box Deposit Service  Agreement dated June 25,
         1990 with Manufacturers Hanover Trust Company,  predecessor-in-interest
         to The Chase Manhattan Bank (the "Lock Box Agreement"). Notwithstanding
         the  foregoing,  upon not less  than  thirty  (30) days  prior  written
         request made by Borrower to Lender,  Lender shall,  as soon as possible
         thereafter,  open a new lock box pursuant to an agreement  entered into
         between  Lender and a  different  bank  designated  by Borrower in such
         written request and reasonably  acceptable to Lender  ("Successor  Lock
         Box Bank").  Upon  execution of such agreement with such Successor Lock
         Box Bank, such agreement shall be deemed and shall constitute the "Lock
         Box  Agreement"  for all purposes of this  Agreement,  and all invoices
         relating to Non-Notification  Accounts and Non-Factored  Accounts shall
         indicate, from and after the date of execution of such agreement,  that
         remittances with respect thereto are to be made to the lock box address
         designated  in the Lock Box  Agreement  entered into with the Successor
         Lock Box Bank.  All such  remittances  shall be  deposited  in Lender's
         account with The Chase  Manhattan  Bank or with the Successor  Lock Box
         Bank (as  applicable)  pursuant  to the Lock Box  Agreement  (the  "CIT
         Account")."

     21. Amendment of Section  10.1(a).  Section 10.1(a) of the Credit Agreement
is amended in its entirety to read as follows:

                  "10.1    Term.

                           (a) This Agreement and the other Financing Agreements
         shall become effective as of the date hereof and shall continue in full
         force and effect for a term ending on September  30, 1998 (the "Renewal
         Date")  and from  year to year  thereafter,  unless  sooner  terminated
         pursuant to the terms hereof."

         22. Amendment of Section 10.2(c). The first sentence of Section 10.2(c)
of the Credit  Agreement is hereby amended by deleting  therefrom the previously
defined term,  "Interest Rate", and substituting  "Effective Prime Rate" in lieu
thereof.

         23.  Addition of Exhibit O. The Credit  Agreement is hereby  amended by
adding to the List of Exhibits,  "EXHIBIT O -- Form of Notice of Borrowing", and
by adding to the  Exhibits  attached to and made a part of the Credit  Agreement
the  "EXHIBIT O -- Form of Notice of  Borrowing"  attached to and made a part of
this Amendment.

         24.  Representations  and Warranties.  Borrower  hereby  represents and
warrants to Lender that the  representations and warranties set forth in Section
6 of the Credit  Agreement  are true on and as of the date  hereof as if made on
and as of the date hereof after giving effect to this  Amendment,  except to the
extent any such  representation  or warranty  expressly relates to a prior date,
and breach of any of the representations and warranties made in this paragraph 8
shall  constitute  an Event of  Default  under  Section  8.1(b) or 8.1(c) of the
Credit Agreement, as applicable.  Borrower further represents and warrants that,
after giving effect to this Amendment,  no Event of Default or event which, with
the lapse of time or the  giving of  notice  or both,  would  become an Event of
Default has occurred and is continuing.

     25.  Effectiveness.  This Amendment shall become effective on the date (the
"Effective Date") Lender shall have received each of the following:

     (a) The written  consent of all  Participants to the execution and delivery
of this Amendment by Lender.

     (b) Counterparts of this Amendment, duly executed and delivered by Borrower
and Lender.

     (c) A duly executed copy of the Consent of Guarantors  substantially in the
form of Exhibit A hereto.

         26.  Continuing  Effect of Credit  Agreement.  This Amendment shall not
constitute a waiver or amendment of any  provision of the Credit  Agreement  not
expressly  referred  to herein  and shall not be  construed  as a consent to any
further or future action on the part of Borrower  that would require  consent of
Lender.  Except as expressly amended, the provisions of the Credit Agreement are
and shall remain in full force and effect.

     27. Counterparts.  This Amendment may be executed in counterparts,  and all
of such  counterparts  taken  together shall be deemed to constitute one and the
same instrument.

     28.  Governing Law. This Amendment  shall be governed by, and construed and
interpreted in accordance with, the laws of the state of New York.

         IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be
duly  executed  and  delivered  in New York,  New York by their  proper and duly
authorized officers as of the day and year first above written.


                                      THE CIT GROUP/COMMERCIAL
                                          SERVICES, INC.
                                       By:
                                       Title:

                                      SALANT CORPORATION

                                       By:
                                       Title:





                                    EXHIBIT O

                           FORM OF NOTICE OF BORROWING

                               NOTICE OF BORROWING

THE CIT GROUP/COMMERCIAL SERVICES, INC.
1211 Avenue of the Americas
New York, New York 10036

Attn:    Kenneth Wendler
                                      
                                                    
Gentlemen:

                  The undersigned,  SALANT CORPORATION (the "Borrower"),  refers
to the Revolving Credit,  Factoring and Security Agreement dated as of September
20, 1993 (as amended,  the "Credit  Agreement",  the terms defined therein being
used herein as therein defined),  between Borrower and The CIT  Group/Commercial
Services, Inc. ("Lender"), and hereby gives Lender notice, irrevocably, pursuant
to Section 3.1A of the Credit  Agreement,  that the Borrower  hereby  requests a
Eurodollar Loan under the Credit Agreement, and sets forth below the information
relating  to such  Eurodollar  Loan (the  "Proposed  Eurodollar  Borrowing")  as
required by Section 3.1A of the Credit Agreement:

                  (A) The Business Day of the Proposed Eurodollar Borrowing is ,
199 .

                  (B) The aggregate  principal amount of the Proposed Eurodollar
Borrowing is $_____________.

                  (C) The  Interest  Period  elected  with respect to the to the
Proposed Eurodollar Borrowing is (check appropriate box):

                           |_|      one (1) month
                           |_|      two (2) months
                           |_|      three (3) months

                  The  Borrower  hereby  certifies  that before and after giving
effect to the  Proposed  Eurodollar  Borrowing,  no Event of Default  shall have
occurred or would result from such extension of credit.

                                                              Very truly yours,

                                                              SALANT CORPORATION

                                                              By:

                                                              Title:


                                    EXHIBIT A

                              CONSENT OF GUARANTORS

                  Each of the  undersigned,  CLANTEXPORT,  INC.,  DENTON  MILLS,
INC., FROST BROS. ENTERPRISES,  INC., SLT SOURCING, INC., each a Guarantor under
its respective Guarantee, each dated as of September 20, 1993, and SALANT CANADA
INC.  and J.J.  FARMER  CLOTHING  INC.,  each a guarantor  under its  respective
Guaranty   (Unlimited   Liability),   each  dated  as  of  September   20,  1994
(individually,   in  the  case  of  each  of  the  foregoing   Guarantors,   its
"Guarantee"),   made  in  favor  of  the  CIT  Group/Commercial  Services,  Inc.
("Lender"),  pursuant to the Credit  Agreement as defined in the Tenth Amendment
to Credit  Agreement,  dated as of February __, 1997  between  Lender and Salant
Corporation  (the  "Amendment"),  to which  this  Consent  is  attached,  hereby
consents to the  Amendment  and the  matters  contemplated  thereby,  and hereby
confirms  and agrees that its  Guarantee  is, and shall  continue to be, in full
force and effect and is hereby  ratified and  confirmed  in all respects  except
that, on and after the effective  date of the  Amendment,  each reference in its
Guarantee to "the Credit  Agreement",  "thereunder",  "thereof" or words of like
import  referring to the Credit  Agreement  shall mean and be a reference to the
Credit Agreement as amended by the Amendment.

                  IN WITNESS  WHEREOF,  each of the  undersigned has caused this
Consent of  Guarantors  to be duly  executed  and  delivered  by its  authorized
officer this __ day of February, 1997.

CLANTEXPORT, INC.                           FROST BROS. ENTERPRISES, INC.

By:                                                           By:

Title:                                               Title:

DENTON MILLS, INC.                                   SLT SOURCING, INC.

By:                                                           By:

Title:                                               Title:

VERA LICENSING, INC.                                 SALANT CANADA INC.

By:                                                           By:

Title:                                               Title:



JJ. FARMER CLOTHING, INC.

By:

Title: