|   | March 23,      2007 |   |
|--------|---------------------|--------|

|   | Re: | $35,000,000      Revolving Loan from Bank of America, N.A. to Five Star Group,      Inc. |
|--------|-----|------------------------------------------------------------------------------------------|

|   | SEVENTH      MODIFICATION AGREEMENT: |
|--------|--------------------------------------|

|   | Consent      to Borrower’s execution of, and performance under, March 13, 2007 “Asset      Purchase Agreement” between Borrower (as purchaser) and Right-Way Dealer      Warehouse, Inc. (as seller) |
|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (a) | an      instrument of modification dated as of May 28, 2004 and entitled “First      Modification Agreement”; |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------|

|   | (b) | an      instrument of modification dated as of March 22, 2005 and entitled “Second      Modification Agreement”; |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------|

|   | (c) | an      instrument of modification dated as of June 1, 2005 and entitled “Third      Modification Agreement”; |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------|

|   | (d) | an      instrument of modification dated as of September 26, 2005, but effective      as of August 1, 2005, and entitled “Fourth Modification Agreement”;      and |
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|   | (e) | an      instrument of modification dated as of November 14, 2005, but effective as      of August 1, 2005, and constituting a fifth modification agreement;      and |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (f) | an      instrument of modification dated as of March 23, 2006, and constituting a      sixth modification agreement. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------|

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|   | (1)    | This      consent relates only to Borrower’s acquisition of substantially all the      assets of the aforesaid Right-Way Dealer Warehouse, Inc., pursuant to the      terms and conditions of the Right-Way Asset Purchase      Agreement. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                             |
|   | (2)    | The provisions of      Section 6.2 and Section 6.3 of the Loan Agreement, as hereby amended, will      otherwise remain in effect without change for all other  purposes.                                                                        |

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|   | (3)    | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Borrower must      confirm and, by its acceptance and execution of a copy of this letter,      does confirm that all amounts due and owing under the Revolving Loan, the      Loan Agreement      and the Loan Documents described therein (hereinafter the “Loan Documents”) are      owed to Lender without offset, defense, recoupment, set-off, deduction,      or      unterclaim. |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                |
|   |   | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        | Borrower must      confirm and, by its acceptance and execution of a copy of this letter,      does confirm that as of the opening of business on March 20, 2007, the      following principal and      interest amounts were owed on the Revolving  Loan:                                                                                                                                          |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | (1)           Principal      $18,834,761.49                                                                                                                                                                                                                                                                                                       |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | (2)           Interest:       interest which has accrued      from March 1, 2007                                                                                                                                                                                                                                                             |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                |
|   | (4)    | Borrower      must confirm and, by its acceptance and execution of a copy of this      letter, does confirm that there exist no claims or charges against any      actions or inactions of Lender in extending      the Revolving Loan or in making disbursements thereunder or in otherwise      administering the Revolving Loan, the Loan Agreement and/or the Loan      Documents.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                |
|   | (5)    | Borrower must      waive, release and discharge and, by its acceptance and execution of a      copy of this letter, does waive, release and discharge any and all claims      or causes of action of any kind whatsoever,      whether at law or in equity, arising on or prior to the date hereof, which      Borrower may have against Lender, its predecessors, its successors and      assigns, agents, employees and counsel, in connection with the Revolving      Loan, the Loan Agreement and the Loan Documents. The waivers and releases      made herein include the waiver of any damages which may have been or may      in the future be caused to Borrower or to its properties or business      prospects because of the actions waived and released and the agreements      made herein, including without limitation, any actual or implicit, direct      or indirect, incidental or consequential damages suffered by Borrower      therefrom, including but not limited to (a) lost profits, (b) loss of      business opportunity, (c) increased financing costs, (d) increased legal      and other administrative fees and (e) damages to business      reputation. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                |
|   | (6)    | Borrower must      confirm and, by its acceptance and execution of a copy of this letter,      does confirm that all of the terms, covenants and provisions of the      Revolving Loan, the Loan Agreement      and the Loan Documents (as all have been heretofore and hereby amended)      shall continue in full force and effect.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       |                                                                                                                                                                                                                                                                                                                                                                                                |
|   | (7)    | Borrower must      continue to comply with the terms of the Revolving Loan and not be in      default thereunder.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |

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|   | (8)    | All rights of Lender      shall continue to be determined in accordance with the Loan Agreement and      the Loan Documents until all Liabilities (as defined in the Loan      Agreement) are paid in full.                                                                                                                                                                                      |
|--------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   |   |                                                                                                                                                                                                                                                                                                                                                                                             |  |
|   | (9)    | This letter will be      deemed a modification of the Loan Agreement and Borrower’s obligations      hereunder will be considered a covenant of the LoanAgreement.                                                                                                                                                                                                                         |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                             |   |
|   | (10)   | All      of the Loan Documents described and defined in the Loan Agreement shall be      deemed to be amended in manner consistent hereto and conforming      herewith.                                                                                                                                                                                                                          |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                             |   |
|   | (11)   | Five Star Products,      Inc., as guarantor of the amounts owed under the Loan Agreement, must      confirm to Lender that its instrument of guaranty continues in full force      and effect and is not      impaired or otherwise lessened or adversely affected by the waiver and      amendment granted by this letter.                                                                      |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                             |   |
|   | (12)   | JL Distributors,      Inc.as the holder of debt whose payment has been subordinated to the      payment of the Liabilities owed under the Loan Agreement, must confirm to      Lender that its      instrument of subordination continues in full force and effect and is not      impaired or otherwise lessened or adversely affected by the waiver and      amendment granted by this letter. |
|   |   |                                                                                                                                                                                                                                                                                                                                                                                             |   |
|   | (13)   | Borrower      must pay for the services of Lender’s counsel who was engaged to review      the Loan Agreement and to assist in the preparation of this letter and      authorizes Lender to effect      payment of such fee in the manner allowed by the “Authorization to Charge      Accounts” as set forth in the LoanAgreement.                                            |

|   | Very      truly yours,     |                              |
|--------|----------------------------|-----------------------------------|
|   |                       |                              |
|   | BANK      OF AMERICA, N.A. |                              |
|   |                       |                              |
|   | /s/      EDMUNDO KAHN      |                              |
|   | By:                        | Edmundo      Kahn, Vice President |   |

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| WITNESS:                            |   | FIVE STAR GROUP,      INC. |
|------------------------------------------|--------|----------------------------|
|                                     |   |                       |   |
|                                     |   |                       |   |
| /s/      LYDIA DESANTIS                  |   | By:                        | /s/      JOHN BELKNAP |
| Lydia      DeSantis, Corporate Secretary |   |                       | John      Belknap, Exec. VP |

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