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                                                                   EXHIBIT 10.11

                            ASSET PURCHASE AGREEMENT

     This Asset Purchase Agreement (the "Agreement") is made and entered into as
of this 14th day of March, 2002 (the "Execution Date") by and between FGL
Acquisitions, LLC, a Delaware limited liability company (the "Buyer"), on the
one hand, and Friede & Goldman Ltd., a Mississippi corporation ("FGL"), and
Friede Goldman Halter, Inc., a Mississippi corporation ("FGH"), Debtor and
Debtor-in-Possession (FGL and FGH are collectively, the "Seller") under jointly
administered Case No. 01-52173 (collectively, the "Case") in the United States
Bankruptcy Court in the Southern District of Mississippi (the "Bankruptcy
Court") filed on April 19, 2001.

                                    RECITALS

A.   Seller is engaged in a variety of businesses related to the design,
     manufacture, conversion and modification of offshore drilling rigs, marine
     vessels and engineered products for the maritime and offshore energy
     industries.  The relevant line of business for the purposes of this
     Agreement is the Seller's business segment specifically involved in naval
     architecture and marine engineering, serving the offshore drilling and
     production industry, and known within the Seller's operations as F&G
     Limited (the "Business").

B.   Seller wishes to sell to Buyer substantially all the assets it uses in
     connection with the Business at the price and on the other terms and
     conditions specified in detail below and Buyer wishes to so purchase and
     acquire such assets from Seller.

     NOW, THEREFORE, for good and valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, the parties agree as follows:

1.  Transfer of Assets

     1.1 Purchase and Sale of Assets. On the Closing Date, as hereinafter
defined, in consideration of the covenants, representations and obligations of
Buyer hereunder, and subject to the conditions hereinafter set forth, Seller
shall sell, assign, transfer, convey and deliver to Buyer, and Buyer shall
purchase from Seller all of Seller's right, title and interest as of the Closing
Date in and to the Business and all properties, assets and rights of any kind,
whether tangible, real, personal or mixed, used or held for use by Seller
predominately in the conduct of the Business and owned by or in the possession
of Seller (or, to the extent specified below, by certain of its affiliates) on
the Closing Date (other than Excluded Assets), including the following assets,
wherever located (collectively, the "Property");

           1.1.1 Leases and Contracts. Subject to Section 1.3, all rights, title
and interest of Seller (or, in the case of the leases described in clause (i)
below, by FGH and its subsidiary, Friede Goldman Offshore, Inc., as applicable)
as of the Closing Date in and to all leases, contracts, licenses, purchase and
sales orders, commitments and other agreements and proposals and other
contractual rights, commitments or obligations of such party or parties which
relate predominantly to the Business (collectively, the "Contracts"), including
those (i) real property leases described on EXHIBIT "A-1" to this Agreement
(collectively, the "Real Property Leases"), (ii) equipment, personal property
and intangible property leases, rental agreements, licenses,

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contracts, agreements and similar arrangements described on EXHIBIT "A-2" to
this Agreement (collectively, the "Other Leases"), (iii) other contracts,
leases, orders, purchase orders, licenses, contracts, agreements and similar
arrangements described on EXHIBIT "A-3" (collectively, the "Other Contracts" and
together with the Other Leases, the "Other Leases and Contracts").

           1.1.2 Intellectual Property. (i) All inventions (whether patentable
or unpatentable and whether or not reduced to practice), all improvements
thereto, and all patents, patent applications, and patent disclosures, together
with all reissuances, continuations, continuations-in-part, revisions,
extensions, divisions, substitutions and reexaminations thereof, and all
priority rights with respect thereto, (ii) all trademarks, service marks, trade
dress, get-ups, logos, trade names, domain names and addresses and corporate
names and other distinctive material, including the name and trademark "Friede &
Goldman" together with all translations, adaptations, derivations and
combinations thereof for use in connection with the Business, and including all
goodwill associated therewith, and all applications, registrations and renewals
in connection therewith, and all priority rights with respect thereto, (iii) all
copyrightable works, all copyrights and all applications, registrations and
renewals in connection therewith, and all rights in databases, (iv) all mask
works and all applications, registrations and renewals in connection therewith,
(v) all trade secrets and confidential business information (including ideas,
research and development, know-how, formulas, compositions, manufacturing and
production processes and techniques, technical data, designs, drawings,
specifications, customer and supplier lists, pricing and cost information, and
business and marketing plans and proposals) and all related rights, (vi) all
computer software and software licenses (including data and related
documentation), to the extent rights therein are transferable by FGL and/or FGH,
(vii) design rights (whether registered or unregistered, including applications
therefor), (viii) all other proprietary rights, and (ix) all copies and tangible
embodiments thereof (in whatever form or medium), to the extent (i)-(ix) are
used or held for use by FGL predominantly in the Business, including those
listed on EXHIBIT "A-4" (collectively, the "Intellectual Property").

           1.1.3 Licenses, Permits and Approvals. All transferable rights and
incidents of interest in and to all licenses, permits, franchises,
certifications, permissions, consents, authorizations and approvals, if any,
(collectively, "Permits") which relate predominantly to the Business and have
been issued to FGL by any Governmental Authority or permitting, licensing,
accrediting or certifying agency.

           1.1.4 Prepaid Expenses, Advances and Deposits. All prepaid expenses,
advances to third parties and deposits with third parties of Seller as of the
Closing Date relating to the Business, but only to the extent that they are
included as current assets on a balance sheet for the Business prepared as of
the Closing Date in accordance with Seller's Accounting Principles.

           1.1.5 Records. All books or records currently used by FGL in
connection with operating the Business other than the corporate minute book and
stock ledger of FGL.

           1.1.6 Telephone and Facsimile Numbers; Website and Internet Domain
Names. All transferable interests of FGL as of the Closing Date in (a) all
telephone, telex and facsimile numbers used predominantly in the Business, (b)
all listings relating predominantly to the Business in all telephone books and
directories and (c) the Website "www.fng.com" (the

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"Website"), including all right, title and interests of FGL and/or FGH, if any,
in the domain name of the Website, Seller's rights to the use of the URL and the
HTML codes and other similar codes and software program language supporting the
Website and the Java, Java Script, DHTML, ASP, JSCRIPT, VBSCRIPT, Java Beans,
Active X, C++, J++, Perl codes and other similar codes, including software
proprietary to Seller and created, modified or used by Seller predominantly in
the development, generation and performance of the Website (collectively, the
"Source Codes").

           1.1.7 Advertising. All advertising, marketing and promotional
concepts and materials, and all other printed, written or electronic materials
prepared predominantly for use in the Business.

           1.1.8 Other Intangible Property. All intangible personal property not
described in the preceding Sections which is owned or held by FGL and used
predominantly in connection with the Business, but in all cases only to the
extent of Seller's interest therein and only to the extent transferable,
together with all books, records and like items pertaining exclusively to the
Business (collectively, the "Intangible Property"), including, without
limitation, the items identified on EXHIBIT "B" hereto. As used in this
Agreement, Intangible Property shall in all events exclude (a) any materials
containing privileged communications or information about employees, disclosure
of which would violate an employee's reasonable expectation of privacy and any
other materials which are subject to attorney-client or any other privilege or
requirement to maintain confidentiality (including any rights to assert
privilege) and (b) Seller's corporate books and records relating to its
organization and existence.

           1.1.9 Tangible Personal Property. All of those items of Seller's
equipment and tangible personal property (and, with respect to all computer
software and software licenses, to the extent rights therein are transferable by
FGL and/or FGH), including those listed in EXHIBIT "C" attached to this
Agreement, and any other tangible personal property acquired by Seller after the
date hereof but prior to the Closing Date exclusively in connection with the
Business, including all items of tangible personal property which are located at
premises of the Business as of the date hereof (or, if acquired after the date
hereof, as of the Closing Date) (collectively, the "Personal Property"). As used
in this Agreement, the Personal Property shall not include the Inventory.

           1.1.10 Accounts Receivable. All accounts, notes and other receivables
of FGL as of the Closing Date and all rights to bill and receive payment for
products shipped or delivered and/or services performed but unbilled or unpaid
as of the Closing Date to the extent relating to the Business and included as
Current Assets.

           1.1.11 Inventory. All supplies, goods, materials, work in process,
inventory and stock in trade owned by FGL exclusively for use or sale in the
ordinary course of the Business and included as Current Assets (collectively,
the "Inventory").

           1.1.12 Miscellaneous Assets. All such other assets, properties,
interests in properties and rights owned by Seller as of the Closing Date that
relate predominantly to the Business, including those that are (a) reflected in
the November 30, 2001 balance sheet contained in EXHIBIT "D-1" (the "Base
Balance Sheet") (or not so reflected as a result of being fully

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amortized or depreciated as of November 30, 2001 (the "Base Balance Sheet
Date")) or on the books and records of Seller relating predominantly to the
Business, but excluding any such other assets, properties, interests and rights
which have been disposed of by Seller in the ordinary course of business after
the Base Balance Sheet Date, including those identified in EXHIBIT "D-2"; (b)
acquired by Seller after the Base Balance Sheet Date and relating predominantly
to the Business, including those identified in EXHIBIT "D-3"; or (c) that
consist of items of tangible personal property located as of the Closing Date at
the premises of the Business (other than items leased by Seller or any of its
affiliates from unaffiliated parties); but in all events such assets shall not
include any items listed on EXHIBIT "E" hereto.

     1.2    Excluded Assets.

          (a) Notwithstanding anything to the contrary in this Agreement, the
     Property shall not include the following (the "Excluded Assets"): (i) those
     items expressly excluded pursuant to the provisions of  Sections 1.2.1,
     1.2.2, 1.2.3, 1.2.4, 1.2.5, 1.2.6 below; (ii) all cash and cash equivalents
     (other than security deposits and advances); (iii) Inventory transferred or
     consumed by FGL in the ordinary course of the Business prior to the Closing
     Date; (iv) any lease, rental agreement, contract, agreement, license,
     purchase and sale order or other contract terminated or expired prior to
     the Closing Date in accordance with its terms or in the ordinary course of
     the Business; (v) any right, claim, chose in action, property or asset
     listed on EXHIBIT "E" hereto; (vi) all preference or avoidance claims and
     actions of the Seller, including, without limitation, any such claims and
     actions arising under Sections 544, 547, 548, 549, and 550 of the United
     States Bankruptcy Code; (vii) the Seller's rights under this Agreement and
     all cash and non-cash consideration payable or deliverable to the Seller
     pursuant to the terms and provisions hereof; or (viii) insurance proceeds,
     claims and causes of action with respect to or arising in connection with
     (A) any Contract which is not assigned to Buyer at the Closing Date, or (B)
     any item of tangible or intangible property not acquired by Buyer at the
     Closing Date.

          (b) If any claimant asserts that its cure amount with respect to any
     Real Property Lease or Other Lease and Contract is greater than the amount
     listed in the Sale Procedure Motion, then Buyer shall have the right to
     designate such Real Property Lease or Other Lease and Contract as an
     Excluded Asset; provided, however, that the Purchase Price shall not be
     adjusted for such cure amount and such cure amount shall be excluded from
     Assumed Liabilities.

           1.2.1 Trademarks. The corporate and trade name "Friede Goldman
Halter, Inc." and any other corporate and trade names, trademarks and service
marks and variations thereof of Seller or its affiliates that are not used
substantially in the Business (including, without limitation, "Friede Goldman
Offshore, Inc."), and the goodwill symbolized thereby and associated therewith.

           1.2.2 Nonassignable Contracts; Nonassignable Permits. (a) Any
Contract or Permit for which the transfer or assignment thereof to Buyer
requires the consent, approval, novation or waiver of a third person or entity
which has not been obtained and, after giving effect to the Approval Order,
remains in effect on the Closing Date, and (b) any nontransferable

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qualification or license to do business of FGL in any jurisdiction (domestic or
foreign). Such nontransferable Contracts, Permits, qualifications and licenses
are identified on EXHIBIT "F".

           1.2.3 Certain Claims. All rights and interests of FGL (a) in or under
any agreement regarding the sharing of taxes; and (b) in and to any claims or
causes of action (including any cross-claims or counter-claims) relating to any
taxes (including any tax deposits, refunds, rebates, credits or other tax
benefits).

           1.2.4 Records. All of FGH's books or records, currently used by the
FGL in connection with operating the Business.

           1.2.5 Rights in Respect of Excluded Liabilities. All guarantees,
warranties, indemnities and rights, claims and causes of action against any
person in favor of Seller that would entitle Seller to recompense in respect of
any Excluded Liability, except to the extent such guarantees, warranties,
indemnities, rights, claims and causes of action would entitle Buyer to
recompense for any Assumed Liability.

           1.2.6 Employee Plans. All the rights of Seller or any other party in,
and all assets of, each of Seller's "employee benefit plans", as such term is
defined in Section 3(3) of the Employment Retirement Income Security Act of
1974, as amended (the "Plans").

     1.3 Instruments of Transfer. The sale, assignment, transfer, conveyance and
delivery of the Property to Buyer and the assumption of liabilities provided
herein by Buyer shall be made by assignments, bill of sale, deed, stock power
and other instruments of assignment, transfer and conveyance provided for in
Section 3 below and such other instruments as may be agreed upon by Buyer and
Seller, acting reasonably and in good faith.

2.  Consideration.

     2.1 Purchase Price. On the terms and subject to the conditions hereof, in
consideration of the transfer of the Property and the other undertakings of
Seller and Buyer:

           2.1.1 The cash consideration to be paid by Buyer to Seller for the
Property (the "Purchase Price") shall be $8,000,000, subject to adjustment as
provided in Section 2.3 below. Ninety percent of the Purchase Price will be paid
in cash in accordance with 2.1.3 below on the Closing Date (the "Closing
Payment");

           2.1.2 Concurrently with the mutual execution and delivery of this
Agreement (the date of such mutual execution and delivery is sometimes referred
to herein as the "Execution Date"), Buyer shall deposit into escrow (the
"Escrow") with an escrow agent or company (the "Escrow Holder") reasonably
designated by Seller $800,000 (the "Deposit") in immediately available, good
funds (funds delivered in this manner are referred to herein as "Good Funds"),
pursuant to joint escrow instructions to be delivered to and acknowledged by the
Escrow Holder on or before the Execution Date. Such escrow instructions shall
include the provisions set forth in this Subsection 2.1.2. Upon receipt of the
Deposit, the Escrow Holder shall immediately deposit the Deposit into an
interest-bearing account. The Deposit shall be refunded to Buyer in full upon
the earlier of (x) the approval of any sale of the Property at the hearing on
the Sale Motion (as defined in Section 8.3.2 below) other than the sale to Buyer
pursuant to this

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Agreement, or (y) the termination of the transaction contemplated by this
Agreement by reason of Seller's default or (z) the failure to satisfy at Closing
all conditions to Buyer's obligations set forth in Section 4.2 below on or
before the Outside Date, unless Buyer executes and delivers a written waiver
with respect to each such unsatisfied condition (each a "Seller Default
Termination"). In the event the Deposit becomes refundable by reason of a Seller
Default Termination, Escrow Holder shall immediately return the Deposit and all
interest accrued thereon to Buyer to be retained by Buyer for its own account.
If the transactions contemplated herein terminate by reason of Buyer's default,
the Escrow Holder shall immediately disburse the Deposit and all interest
accrued thereon to Seller to be retained by Seller for its own account. The
Escrow Holder's escrow fees and charges shall be paid one-half by Seller and
one-half by Buyer.

           2.1.3 On the Closing Date, Buyer shall (i) pay and deliver to Seller,
by wire transfer in Good Funds, the Closing Payment (the Escrow Agent shall
continue to hold the Deposit until the Purchase Price Adjustment has been
determined pursuant to Section 2.3 below). The Closing Payment will be made in
immediately available funds by bank wire transfer to the account which shall be
designated by Seller to Buyer not later than the close of business on the second
day (other than a Saturday or Sunday) on which business is generally conducted
in Houston, Texas ("Business Day") immediately preceding the Closing Date.

           2.1.4 At the Closing, Buyer will assume the Assumed Liabilities of
Seller by delivery of an executed assumption agreement with respect to the
Assumed Liabilities described in Section 2.4 below.

     2.2 Allocation of Purchase Price. Prior to the Closing Date, Seller and
Buyer shall mutually agree on the allocation of the Purchase Price, which
allocation shall be done solely for tax purposes.

     2.3  Purchase Price Adjustment.

           2.3.1 On or before the third business day prior to the projected
Closing Date, Buyer and Seller will cooperate with each other to agree on a
mutually satisfactory agreed value of Inventory as of the Closing Date for
purposes of calculating Current Assets of the Business. In the event they are
unable to so agree, they will jointly select an independent accounting firm to
determine such value as promptly as is practical, in which case the fees of such
accounting firm will be paid equally by Buyer and Seller.

           2.3.2 Calculation of Net Working Capital at Closing Date. As soon as
practicable, and in no event later than forty-five (45) days after the Closing
Date, Buyer's accountants shall compute and deliver to Seller (a) the amount of
Net Working Capital of the Business as of the Closing Date based on Seller's
Accounting Principles (valuing Inventory in the manner set forth in Section
2.3.1) and in accordance with the relevant terms and conditions set forth
herein, and (b) the difference between (i) the Net Working Capital of the
Business as of the Closing Date (which shall include all Assumed Liabilities),
and (ii) the Net Working Capital of the Business as shown on the Base Balance
Sheet (which shall include only assets which comprise the Property) (the "NWC
Difference"). Buyer shall provide Seller a summary reflecting how such
computations were made. Seller and its accountants shall have the opportunity to
review and comment on such computations.

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           2.3.3 Net Working Capital at Date of Base Balance Sheet. The Net
Working Capital calculation as shown on the Base Balance Sheet, calculated using
the methods and conventions described above, is attached hereto as EXHIBIT "G".

           2.3.4 Payment of Adjustment Amounts. If the NWC Difference calculated
pursuant to Section 2.3.1 above is a positive number (or zero), then Buyer
shall, within ten business days of such computation by Buyer's independent
public accountants, (x) direct the Escrow Holder to deliver the Deposit,
together with interest thereon, to Seller and (y) pay Seller, by wire transfer,
a cash amount equal to NWC Difference. If the NWC Difference calculated pursuant
to Section 2.3.1 above is a negative number with an absolute value less than
$800,000, then Buyer and Seller shall, within ten business days of such
computation by Buyer's independent public accountants, direct the Escrow Holder
to (i) deliver the Deposit, minus the absolute value of the NWC Difference to
Seller, together with interest on such portion of the Deposit, and (ii) deliver
the remainder of the Deposit (equal to the absolute value of the NWC Difference
plus interest on such portion of the Deposit) to Buyer. If the NWC Difference
calculated pursuant to Section 2.3.1 above is a negative number with an absolute
value greater than $800,000, then Seller shall, within ten business days of such
computation by Buyer's independent public accountants, (A) direct the Escrow
Holder to deliver the Deposit, together with interest thereon, to Buyer and (B)
pay Buyer, by wire transfer, a cash amount equal to the absolute value of the
NWC Difference minus $800,000.

           2.3.5 Disputes. Within five (5) days of receipt of the computations
referred to in Section 2.3.1 above, the Seller shall notify the Buyer if it
disputes any aspect of such computations or accepts them. If the Buyer disputes
such computations, the parties shall work together in good faith to resolve the
dispute. If they are unable to resolve the dispute, the dispute shall be
referred to such nationally recognized accounting firm as the Buyer and Seller
may mutually agree upon which decision shall be binding on the parties hereto,
or if they are unable to agree, as designated by the Bankruptcy Court.

           2.3.6 Definitions. As used in this Agreement, the term "Seller's
Accounting Principles" means those accounting principles, applied in a manner
consistent with the preparation of the Base Balance Sheet and in accordance with
the Seller's historical accounting principles and methods (as applied by Seller
in the preparation of its internal business unit financial statements for the
calendar year ended December 31, 2000), but valuing Inventory in the manner set
forth in Section 2.3.1 and using the definition of Current Assets, Current
Liabilities and Net Working Capital as set forth herein; the term "Current
Assets" means the amounts reflected as current assets of the Business on its
financial statements determined in accordance with Seller's Accounting
Principals and includes, but is not limited to, items such as accounts
receivable (less reserves for doubtful accounts), costs in excess of billings,
contract work in progress, short-term investments, deposits of all types,
inventory and current prepaid assets; provided, however, that neither cash, nor
cash equivalents, nor any other asset that is an Excluded Asset shall be
considered a Current Asset; the term "Current Liabilities" means the amounts
reflected as current liabilities of the Business on its financial statements
determined in accordance with Seller's Accounting Principles and includes, but
is not limited to, items such as post-petition accounts payable, billings in
excess of costs, accrued expenses, and unpaid accrued taxes; provided, however,
that (a) each obligation that is an Assumed Liability shall be deemed a Current
Liability to the extent that it would be a balance sheet liability or subject to
a loss reserve

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under Seller's Accounting Principles, (b) current maturities of indebtedness for
borrowed money or capital leases (including interest thereon) shall be deemed
not to be Current Liabilities and (c) accruals in respect of employee vacation
time or other employee expenses or benefits not assumed by Buyer shall be deemed
not to be Current Liabilities; and the term "Net Working Capital" means the
difference between the Current Assets and the Current Liabilities of the
Business as of the date of computation.

     2.4 Assumed Liabilities. Buyer shall, effective from and after the Closing
Date, assume and perform, and indemnify Seller in respect of, (i) all
liabilities and obligations accruing under the Real Property Leases and under
the Other Leases and Contracts on and after the Closing Date and/or otherwise
required to be performed with respect to the Property on or after the Closing
Date to the extent included in accrued liabilities on the balance sheet, (ii)
all post-petition accounts payable and similar obligations included as Current
Liabilities for purposes of determining the NWC Difference and (iii) and any and
all liabilities asserted by Jerome L. Goldman in the Motion for Order to Compel
Assumption or Rejection of Executory Contracts filed in the Case (the "Goldman
Claim"); provided, that Buyer shall pay all cure amounts owing under any of the
Real Property Leases and Other Leases and Contracts as of the Closing which the
Bankruptcy Court may order to be paid as a condition to the Seller's assignment
of any Real Property Lease or Other Lease or Contract (collectively, all of the
foregoing liabilities, obligations and cure amounts are the "Assumed
Liabilities").

     2.5 Excluded Liabilities. Other than the liabilities and obligations of
Seller expressly assumed by Buyer hereunder, Buyer is not assuming and shall not
be liable for any liabilities or obligations of Seller including, without
limitation, each of the following liabilities and obligations: (i) all taxes of
Seller that do not relate to the Business or the Property and, except to the
extent included as Current Liabilities, all taxes which relate to the Business
or Property; (ii) any and all obligations arising out of or attributable to any
failure of Seller to own or operate the Business or the Property in accordance
with applicable laws and regulations; (iii) except to the extent included as
Current Liabilities, any and all liabilities or obligations with respect to the
employment by Seller of its employees and consultants, including salaries,
payroll taxes, withholding taxes, workers' compensation and unemployment
compensation and all liabilities with respect to contributions to be made in
respect of service for all periods through the Closing Date under any Plan; (iv)
any and all liabilities and obligations with respect to any products or services
sold before the Closing Date arising out of any bodily injury, death or property
damage (or related economic loss) occurring prior to the Closing Date; any and
all obligations, responsibilities and liabilities associated with environmental
laws and regulations arising from the operation of the Business or ownership of
the Property prior to the Closing Date (whether such liabilities relate to
Seller's ownership or those of any predecessor owner, tenant, occupant or user);
(v) except for the Goldman Claim, any and all liabilities of Seller under any
lawsuits, claims, administrative or other proceedings; and (vi) any and all
obligations and liabilities for money borrowed and included as Current
Liabilities.

3.  Closing of Transactions.

     3.1 Closing. The Closing of the transactions provided for herein (the
"Closing") shall take place at the offices of Andrews & Kurth LLP, 600 Travis,
Suite 4200, Houston, Texas 77002.

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     3.2 Closing Date. The Closing shall be held within five days after
satisfaction or waiver of the conditions to closing in Section 4 (the "Closing
Date") but in no event later than May 31, 2002; provided, however, that the
Closing Date shall automatically be extended for consecutive 30 day periods if
the only conditions remaining to be satisfied are the conditions specified in
Sections 4.1.8 or 4.2.4 (such date, as so extended, the "Outside Date"). In the
event the conditions to Closing (other than the condition specified in Section
4.1.8 and 4.2.4) have not been satisfied or waived by the Outside Date, then any
party who is not in default hereunder may terminate this Agreement; provided
that nothing in this Section 3.2 shall relieve any party from any liability for
any breach of this Agreement. Alternatively, the parties may mutually agree to
an extended Closing Date. Until this Agreement is either terminated or the
parties have agreed upon an extended Closing Date, the parties shall diligently
continue to work to satisfy all conditions to Closing.

     3.3 Seller's Deliveries to Buyer at Closing. On the Closing Date, Seller
shall make the following deliveries to Buyer:

           3.3.1 Assignment and Assumption Agreement. An Assignment and
Assumption Agreement, duly executed by Seller, pursuant to which Seller assigns
the Real Property Leases and the Other Leases and Contracts, and Buyer agrees to
perform and discharge the Assumed Liabilities and indemnify Seller in respect
thereof (the "Assignment and Assumption Agreement").

           3.3.2 Bill of Sale. A bill of sale, duly executed by Seller, pursuant
to which Seller transfers the Property other than the Real Property Leases and
the Other Leases and Contracts to Buyer (the "Bill of Sale").

           3.3.3 Other. All other documents and papers required to be delivered
by Section 4.2 as conditions to the Closing and such other documents and papers
with respect to the corporate and other proceedings contemplated by this
Agreement (including such documentation relating to third party consents as has
been received by Seller, to the extent required to transfer rights of Seller
hereunder) as Buyer shall reasonably request.

     3.4 Buyer's Deliveries to Seller at Closing. On the Closing Date, Buyer
shall make or cause the following deliveries to be made to Seller:

           3.4.1 Closing Payment. That portion of the Purchase Price to be
delivered by Buyer directly to Seller at the Closing under Section 2.1

           3.4.2 Assignment and Assumption Agreement. The Assignment and
Assumption Agreement, duly executed by Buyer.

           3.4.3 Other. All other documents and papers required to be delivered
by Section 4.1 as conditions to the Closing and such other documents and papers
with respect to the corporate and other proceedings contemplated by this
Agreement (including such documentation as to third party consents as has been
received by Buyer) as Seller shall reasonably request.

     3.5 Sales, Use and Other Taxes. In accordance with Section 1146(c) of the
Bankruptcy Code, the making or delivery of any instrument of transfer, including
the filing of any deed or

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other document of transfer to evidence, effectuate or perfect the rights,
transfers and conveyances contemplated by this Agreement, shall be in
contemplation of a plan or plans of reorganization to be confirmed in the Case,
and as such shall be free and clear of any and all transfer tax, stamp tax,
motor vehicle title transfer tax or fee or similar taxes. The instruments
transferring the Property to Buyer shall contain the following endorsement, or
an endorsement of similar effect:

     "Because this [instrument] has been authorized pursuant to Order of the
     United States Bankruptcy Court for the Southern District of Mississippi, in
     contemplation of a plan of reorganization of the Grantor, it is exempt from
     transfer taxes, stamp taxes or similar taxes pursuant to 11 U.S.C. (S)
     1146(c)."

     In the event that, notwithstanding the above provisions, any (a) real
estate transfer taxes or similar taxes or charges are required to be paid in
order to record the deeds to be delivered to Buyer in accordance herewith, or in
the event any such taxes are assessed at any time thereafter, or (b) sales, use,
transfer or other similar taxes or charges are assessed at Closing or at any
time thereafter on the transfer of any other Property, then in each instance
such taxes or charges incurred as a result of the transactions contemplated
hereby shall be paid by Buyer.

     3.6 Possession. Right to possession of the Property shall transfer to Buyer
on the Closing Date. Seller shall transfer and deliver to Buyer on the Closing
Date such keys, lock and safe combinations and other similar items as Buyer
shall require to obtain immediate and full occupation and control of the
Property, and shall also make available to Buyer at FGL's premises the originals
of all documents in Seller's possession that are required to be transferred to
Buyer by this Agreement.

4.  Conditions Precedent to Closing.

     4.1 Conditions to Seller's Obligations. Seller's obligation to make the
deliveries required of Seller at the Closing Date shall be subject to the
satisfaction or waiver by Seller of each of the following conditions at or prior
to Closing.

           4.1.1 Representations and Warranties; Covenants. All of the
representations and warranties of Buyer contained herein shall continue to be
true and correct at the Closing in all material respects, all covenants and
obligations to be performed by Buyer prior to the Closing shall have been
performed in all material respects and Buyer shall have certified the foregoing
to Seller in writing.

           4.1.2 Transfer Documents. Buyer shall have executed and delivered to
Seller the Assignment and Assumption Agreement.

           4.1.3 Closing Payment. Seller shall have received the total Closing
Payment in immediately available funds.

           4.1.4 Deposit in Escrow. The Escrow Agent shall hold the Deposit
pursuant to joint written instructions from Buyer and Seller.

           4.1.5 Buyer's Corporate Action. Buyer shall have delivered to Seller
appropriate

                                       10
<PAGE>

evidence of all necessary action by Buyer in connection with the transactions
contemplated hereby, including, without limitation: (i) certified copies of
resolutions duly adopted by Buyer's Board of Directors approving the
transactions contemplated by this Agreement and authorizing the execution,
delivery, and performance by Buyer of this Agreement; and (ii) a certificate as
to the incumbency of officers of Buyer executing this Agreement and any
instrument or other document delivered in connection with the transactions
contemplated by this Agreement.

           4.1.6 Modec Guaranty. Concurrently with or prior to the execution and
delivery of this Agreement, Buyer shall have caused MODEC, Inc. to execute and
deliver to Seller a guaranty of all of Buyer's obligations under this Agreement
and under any documents executed by Buyer in favor of Seller pursuant hereto.

           4.1.7 Absence of Legal Proceedings. No action, suit or other
proceedings shall be pending before any court, tribunal or governmental
authority seeking or threatening to restrain or prohibit the consummation of the
transactions contemplated by this Agreement, or seeking to obtain substantial
damages in respect thereof, or involving a claim that consummation thereof would
result in the violation of any law, decree or regulation of any governmental
authority having appropriate jurisdiction.

           4.1.8 Order of Bankruptcy Court. The Bankruptcy Court shall have
entered the Procedure Order in accordance with Section 8.3.1 below and the
Approval Order in accordance with Section 8.3.2 below and the Approval Order
shall not have been stayed and shall be a non-appealable order as of the Closing
Date.

     4.2 Conditions to Buyer's Obligations. Buyer's obligation to make the
deliveries required of Buyer at the Closing shall be subject to the satisfaction
or waiver by Buyer of each of the following conditions at or before Closing:

           4.2.1 Representations and Warranties; Covenants. All representations
and warranties of Seller contained herein shall continue to be true and correct
at the Closing in all material respects, all covenants and obligations to be
performed by Seller prior to the Closing shall have been performed in all
material respects and FGH shall have certified the foregoing to Buyer in
writing; provided, however, that FGH may certify that its representations and
warranties contained in Section 5 of this agreement are true and correct to the
best of its actual knowledge.

           4.2.2 Transfer Documents. Seller shall have executed and delivered to
Buyer the Assignment and Assumption Agreement, the Bill of Sale and each other
document reasonably requested by Buyer pursuant to Section 1.3.

           4.2.3 Absence of Legal Proceedings. No action, suit or other
proceedings shall be pending before any court, tribunal or governmental
authority seeking or threatening to restrain or prohibit the consummation of the
transactions contemplated by this Agreement, or seeking to obtain substantial
damages in respect thereof, or involving a claim that consummation thereof would
result in the violation of any law, decree or regulation of any governmental
authority having appropriate jurisdiction.

           4.2.4 Order of Bankruptcy Court. The Bankruptcy Court shall have
entered the

                                       11
<PAGE>

Procedure Order in accordance with Section 8.3.1 below and the Approval Order in
accordance with Section 8.3.2 below and the Approval Order shall not have been
stayed and shall be a non-appealable order as of the Closing Date.

     4.3 Termination. If any of the above conditions is neither satisfied nor
waived on or before the date by which the condition is required to be satisfied,
the party who is not then in default hereunder may terminate this Agreement by
delivering to the other written notice of termination. Any waiver of a condition
shall be effective only if such waiver is stated in writing and signed by the
waiving party; provided, however, that the consent of a party to the Closing
shall constitute a waiver by such party of any conditions to Closing not
satisfied as of the Closing Date.

     4.4  Special Termination.

          (a) Seller may, at its option, elect to terminate this Agreement and
     its obligations hereunder at any time on or before the fifth (5th) business
     day following the completion of the Auction approved by the Procedure Order
     (or if no Auction is held, five (5) business days following the date set
     for the Auction) by delivery to Buyer of (i) written notice of termination
     and (ii) Good Funds in the Amount of the Termination Fee (defined below).

          (b) The amount of the termination fee which Seller shall pay Buyer
     upon its election to terminate this Agreement pursuant to Section 4.4(a)
     shall be $600,000 (the "Termination Fee").  The Termination Fee shall
     constitute Buyer's liquidated damages, and Seller's payment of the
     Termination Fee shall be Buyer's sole and exclusive remedy for Seller's
     termination of this Agreement under Section 4.4(a) and for any breaches
     occurring prior to termination pursuant to Section 4.4(a).

5. Seller's Representations and Warranties. Seller hereby makes the following
representations and warranties to Buyer as of the date hereof and as of the
Closing Date, as follows; provided however, that Seller makes no representation
or warranty to Buyer hereunder as to any matter that is known to the President,
the Senior Vice President or the Manager of Proprietary Technology of FGL as of
the date hereof or as of the Closing Date:

     5.1 Validity of Agreement. Upon obtaining the Approval Order, this
Agreement shall constitute the valid and binding obligation of Seller
enforceable in accordance with its terms.

     5.2 Organization, Standing and Power. FGL is a corporation duly organized,
validly existing and in good standing under the laws of the State of Mississippi
and FGH is a corporation duly organized, validly existing and in good standing
under the laws of the State of Mississippi. Subject to the applicable provisions
of bankruptcy law, the transactions contemplated hereby have been duly and
validly authorized by all necessary corporate action on part of each Seller and
each Seller has all requisite corporate power and authority to own, lease and
operate its properties, to carry on its business as now being conducted and,
subject to the Seller's obtaining the Approval Order, to execute, deliver and
perform this Agreement and all writings relating hereto.

                                       12
<PAGE>

     5.3 No Conflicts or Violations. Except in each case for matters (a) that
would not individually or in the aggregate have a material adverse effect on the
Business or the Property, or (b) that are excused by or unenforceable as a
result of the Sellers' filing of the Case, or that are otherwise rendered
inapplicable in connection with the Case or the Approval Order:

          (i) Upon obtaining the Approval Order, the execution and delivery of
this Agreement, the consummation of the transactions herein contemplated, and
the performance of, fulfillment of and compliance with the terms and conditions
hereof by Seller do not and will not: (A) conflict with or result in a breach of
the articles of incorporation or the by-laws of Seller; (B) violate any statute,
law, rule or regulation, or any order, writ, injunction or decree of any court
or governmental authority; or (C) violate or conflict with or constitute a
default under any agreement, instrument or writing of any nature to which Seller
is a party or by which Seller or its assets or properties may be bound.

          (ii) Except as listed or described in EXHIBIT "H", no consent,
approval, waiver, exception, order or authorization of, or registration,
declaration or filing with, or notice to, any governmental authority is required
to be obtained or made by or with respect to Seller or its affiliates in
connection with the execution, delivery and performance of this Agreement by
Seller or the consummation by it of the transactions contemplated hereby.
Without limiting the generality of the foregoing, except for this Agreement, no
person has any option, right of first refusal, right of first offer or similar
right to purchase or otherwise acquire a portion of the Property or the Business
and neither Seller nor any of its affiliates has entered into any letter of
intent, commitment or agreement (whether oral or written) regarding any such
purchase or acquisition.

     5.4 Absence of Changes. Except (a) as described on EXHIBIT "I" or otherwise
disclosed in any other Exhibits hereto (b) as expressly contemplated by this
Agreement or (c) with regard to any matters known to any member of the
management buyout team of Buyer, since November 30, 2001 (except as otherwise
expressly indicated), and through the date hereof, the Business has been
conducted in the ordinary course consistent with past practice and there has not
been: (i) any damage, destruction or casualty loss (whether or not covered by
insurance) affecting the Property or the Business which, in any individual case
or in the aggregate, has materially impaired FGL's ability to conduct its
Business or (ii) any material transaction other than in the ordinary course of
Business consistent with past practice, unless approved by Paul R. Geiger, Jr.
or any employee under his supervision (collectively, the "Specified
Representatives"); or (iii) any material adverse amendment or termination by FGL
(other than any amendment or termination approved by any Specified
Representative) of any Contract listed in Item 1 of EXHIBIT "A-1" or, except as
described in EXHIBIT "A-3", Items 1, 2, 3 or 4 of EXHIBIT "A-3", or the
termination of any material rights to the intellectual property described in
items C and D of EXHIBIT "A-4".

     5.5 Compliance with Applicable Laws; Governmental Authorizations. Except as
described on EXHIBIT "J" and except for any matters that would not result in any
fine or monetary obligation being imposed on Buyer or, after giving affect to
the Approval Order, on the Property (a) the Business is not being and has not
been conducted in violation of, and Seller is not in default in any material
respect under, any applicable law including but not limited to the export laws
and regulations of the United States of America, (b) Seller has not received
notice of

                                       13
<PAGE>

any such violation with respect to the Business and (c) Seller knows of no basis
for any allegation of material non-compliance with any applicable law by Seller
or any facts which, with or without the giving of notice or passage of time,
would reasonably be expected to result in a material non-compliance with any
applicable law by Seller with respect to the Business. Seller has all material
Permits and authorizations necessary in the conduct of the Business as presently
conducted; such Permits and authorizations are in full force and effect; and no
proceeding is pending against Seller or, to the actual knowledge of Seller,
pending against any such Person or threatened to revoke or limit any thereof.

     5.6 Title to Property and Related Matters. Except as described in EXHIBIT
"A-3", EXHIBIT "A-4", EXHIBIT "A-4B", or EXHIBIT "J", Seller has good, valid and
marketable title to (or valid and enforceable leasehold, license or interests
in) the Property, which will be sold to Buyer free and clear of all mortgages,
liens, security interests, easements, covenants, restrictions or other
encumbrances (collectively, "Liens") pursuant to the Approval Order, except for
Liens expressly provided in this Agreement.

     5.7 Intellectual Property. Except for matters that would not have a
material adverse effect on the Business, to the actual knowledge of the Chairman
of the Board, President, Chief Executive Officer, Senior Vice President and
Senior Vice President--Finance of FGH and the Chief Executive Officer of FGL:

           5.7.1 The Intellectual Property is identified on EXHIBIT "A-4" and it
is all the intellectual property that seller needs to operate the Business and,
except as described on EXHIBIT "A-4", Seller owns all right, title, and interest
in and to or, as identified in EXHIBIT "A-4", has the right to use pursuant to a
legal, valid, binding, and enforceable license, sublicense, agreement or
permission all Intellectual Property and, to the knowledge of Seller, (a) no
material breach or default exists with respect to Seller's right to own and use
the Intellectual Property granted to Seller by third parties, (b) no third party
has interfered with, infringed upon, misappropriated, or otherwise come into
conflict with any Intellectual Property except as set forth on EXHIBIT "A-4A",
and (c) no action, suit, proceeding, hearing, investigation, charge, complaint,
claim, or demand is pending or threatened which challenges the legality,
validity or enforceability of the underlying item of Intellectual Property.

           5.7.2 Except as set forth on EXHIBIT "A-4B", Seller has not, and to
the knowledge of Seller, Buyer will not, as a result of the continued operation
of the Business by Buyer as presently conducted, interfere with, infringe upon,
misappropriate, or otherwise come into conflict in the ownership or operation of
the Business with any intellectual property rights of third parties, and none of
Seller, any director, executive officer or Employee of Seller has received any
charge, complaint, claim, demand or notice alleging any such interference,
infringement, misappropriation or violation (including any claim that Seller
must license or refrain from using any intellectual property rights of any third
party).

           5.7.3 EXHIBIT "A-4C" identifies each license, sublicense, agreement
or other permission which Seller has granted or agreed to grant to any third
party and any Intellectual Property granted to Seller by third parties with
respect to any of its Intellectual Property, and EXHIBIT "A-4" identifies each
trade name used by Seller predominantly in connection with the Business. Except
as set forth on EXHIBIT "A-4", with respect to each item of Intellectual

                                       14
<PAGE>

Property, (a) Seller possesses and has the right to assign all right, title, and
interest in and to or a valid license, sublicense, agreement or other permission
to use such item, free and clear of any Lien, injunction, judgment, order,
decree, ruling or charge, or any pending or threatened action, suit, proceeding,
hearing, investigation, charge, complaint, claim or demand and (b) Seller has
not, except in the ordinary course of business, agreed to indemnify any person
for or against any interference, infringement, misappropriation or other
conflict with respect to the item.

     5.8 Accounts Receivable. All accounts receivable included in the Property
represent billings actually made in the ordinary course of business, and, to
Seller's knowledge, are valid obligations of the obligors thereon in the amounts
included in respect thereof in Current Assets. No representation or warranty is
made by Seller with respect to percentage completion of Contracts.

     5.9 Contract Obligations. Upon the Closing, and after giving effect to the
transactions set forth herein and the Approval Order, Buyer shall not be bound
by or subject to any agreement or contract, written or oral, of Seller or any of
its affiliates other than obligations and liabilities under the Contracts that
are included among the Assumed Liabilities.

     5.10 Closing Date. All of the representations and warranties of Seller in
this Section 5 and elsewhere in this Agreement and all information delivered in
any schedule, attachment or exhibit hereto (including all amendments and
supplements thereto) or in any certificate delivered by Seller to Buyer are
accurate and complete as of the date of this Agreement and will be true and
correct in all material respects as of the Closing Date.

6.  Buyer's Representations and Warranties. Buyer hereby makes the following
representations and warranties to Seller as of the date hereof and as of the
Closing Date:

     6.1 Validity of Agreement. All action on the part of Buyer necessary for
the authorization, execution, delivery and performance of this Agreement by
Buyer, including, but not limited to, the performance of Buyer's obligations
hereunder, has been duly taken. This Agreement, when executed and delivered by
Buyer, shall constitute the valid and binding obligation of Buyer enforceable in
accordance with its terms.

     6.2 Organization, Standing and Power. Buyer is a limited liability company
duly organized, validly existing and in good standing under the laws of the
State of Delaware. Buyer has all requisite corporate power and authority to own,
lease and operate its properties, to carry on its business as now being
conducted and to execute, deliver and perform this Agreement and all writings
relating hereto.

     6.3 No Conflicts or Violations. (a) The execution and delivery of this
Agreement, the consummation of the transactions herein contemplated, and the
performance of, fulfillment of and compliance with the terms and conditions
hereof by Buyer do not and will not: (i) conflict with or result in a breach of
the articles of organization or regulations of Buyer; (ii) violate any statute,
law, rule or regulation, or any order, writ, injunction or decree of any court
or governmental authority; or (iii) violate or conflict with or constitute a
default under any agreement, instrument or writing of any nature to which Buyer
is a party or by which Buyer or its assets or properties may be bound.

                                       15
<PAGE>

           (b) Except for approval by the Bankruptcy Court, no consent,
approval, waiver, exception, order or authorization of, or registration,
declaration or filing with, or notice to, any governmental authority is required
to be obtained or made by or with respect to Buyer or its affiliates in
connection with the execution, delivery and performance of this Agreement by
Seller or the consummation by it of the transactions contemplated hereby.

     6.4 Funds. Buyer has sufficient funds available to consummate the
transactions contemplated hereby.

7. DISCLAIMERS OF SELLER. BUYER HEREBY ACKNOWLEDGES AND AGREES THAT, EXCEPT AS
OTHERWISE EXPRESSLY PROVIDED IN THIS AGREEMENT, THE SELLER MAKES NO
REPRESENTATIONS OR WARRANTIES WHATSOEVER, EXPRESS OR IMPLIED, WITH RESPECT TO
ANY MATTER RELATING TO THE PROPERTY INCLUDING, WITHOUT LIMITATION, INCOME TO BE
DERIVED OR EXPENSES TO BE INCURRED IN CONNECTION WITH THE PROPERTY, THE PHYSICAL
CONDITION OF ANY PERSONAL PROPERTY COMPRISING A PART OF THE PROPERTY OR WHICH IS
THE SUBJECT OF ANY OTHER LEASE OR CONTRACT TO BE ASSUMED BY BUYER AT THE
CLOSING, THE ENVIRONMENTAL CONDITION OR OTHER MATTER RELATING TO THE PHYSICAL
CONDITION OF ANY REAL PROPERTY OR IMPROVEMENTS WHICH ARE THE SUBJECT OF ANY REAL
PROPERTY LEASE TO BE ASSUMED BY BUYER AT THE CLOSING, THE ZONING OF ANY SUCH
REAL PROPERTY OR IMPROVEMENTS, THE VALUE OF THE PROPERTY (OR ANY PORTION
THEREOF), THE TRANSFERABILITY OF PROPERTY, THE TERMS, AMOUNT, VALIDITY OR
ENFORCEABILITY OF ANY ASSUMED LIABILITIES, THE TITLE OF THE PROPERTY (OR ANY
PORTION THEREOF) THE MERCHANTABILITY OF FITNESS OF THE PERSONAL PROPERTY OR ANY
OTHER PORTION OF THE PROPERTY FOR ANY PARTICULAR PURPOSE, OR ANY OTHER MATTER OR
THING RELATING TO THE PROPERTY OR ANY PORTION THEREOF, WITHOUT IN ANY WAY
LIMITING THE FOREGOING, SELLER HEREBY DISCLAIMS ANY WARRANTY, EXPRESS OR
IMPLIED, OR MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE AS TO ANY
PORTION OF THE PROPERTY. BUYER FURTHER ACKNOWLEDGES THAT BUYER HAS CONDUCTED AN
INDEPENDENT INSPECTION AND INVESTIGATION OF THE PHYSICAL CONDITION OF THE
PROPERTY AND ALL SUCH OTHER MATTERS RELATING TO OR AFFECTING THE PROPERTY AS
BUYER DEEMED NECESSARY OR APPROPRIATE AND THAT IN PROCEEDING WITH ITS
ACQUISITION OF THE PROPERTY, EXCEPT FOR ANY REPRESENTATIONS AND WARRANTIES.
EXPRESSLY SET FORTH IN THIS AGREEMENT, BUYER IS DOING SO BASED SOLELY UPON SUCH
INDEPENDENT INSPECTIONS AND INVESTIGATIONS. ACCORDINGLY, BUYER WILL ACCEPT THE
PROPERTY AT THE CLOSING "AS IS," "WHERE IS," AND "WITH ALL FAULTS."

8.  Covenants Prior to Closing.

     8.1 Access to Records and Properties of Seller. From and after the date of
this Agreement until the Closing Date, Seller shall, upon reasonable advance
notice, afford to Buyer's officers, independent public accountants, counsel,
lenders, consultants and other representatives, reasonable access during normal
business hours to the Property and all records pertaining to the

                                       16
<PAGE>

Property or the Business. Buyer, however, shall not be entitled to access to any
materials containing information in respect of any items excluded from the
Intangible Property under Section 1.1.8. Buyer shall have no right hereunder to
conduct any environmental or other assessment of the Property other than visual
inspection and document review; provided, however, that Buyer may have a Phase I
environmental assessment of the Real Property and the property subject to the
Real Property Leases conducted by an environmental consultant of Buyer's choice.
Buyer expressly acknowledges that nothing in this Section 8.1 is intended to
give rise to any contingency to Buyer's obligations to proceed with the
transactions contemplated herein.

     8.2 Operation of Seller's Business Pending Closing. Unless Buyer otherwise
consents, during the period prior to the Closing Date, Seller shall use
commercially reasonable efforts to operate the Business as currently operated
and only in the ordinary course and, consistent with such operation, shall use
commercially reasonable efforts to preserve intact the Business and its
relationships with employees and persons having dealings with it.

     8.3  Bankruptcy Court Approvals.

           8.3.1 Bankruptcy Court Approval of Sale Procedures. Promptly
following the Execution Date (and in no event later than three (3) business days
thereafter), the Seller will file a motion (the "Sale Procedure Motion") with
the Bankruptcy Court requesting the entry of an order (such order, in the form
entered by the Bankruptcy Court, the "Procedure Order") on an expedited basis
(i) fixing the time, date, and location of a hearing (the "Approval Hearing") to
approve Seller's consummation of this agreement, (ii) fixing the time and date
of an auction (the "Auction") to be held as soon as practicable at the offices
of Andrews & Kurth, Mayor, Day, Caldwell & Keeton, L.L.P. in Houston, Texas, at
which higher and better offers may be presented to the Seller, (iii) providing
that if Seller receives from a third party a higher and better offer for the
Property at the Auction, and such third party offer is subsequently approved by
the Bankruptcy Court and closes as provided by its terms, then this Agreement
will be terminated and Buyer will be entitled to receive from the Seller a flat
fee payment (not dependent on amounts actually expended or incurred by Buyer) in
cash or other immediately available good funds in the amount of $250,000 (the
"Break-Up Fee") which payment shall be made to the Buyer concurrently with the
consummation and from the proceeds of such third party sale and shall constitute
liquidated damages of Buyer, and shall be Buyer's sole and exclusive remedy in
respect of such termination, (iv) no prospective purchaser will be permitted to
bid at the Auction unless such party has been deemed "financially qualified" by
HLHZ, Seller's investment banker, (v) no prospective purchaser who bids for the
Property at Auction shall be entitled to purchase the Property unless such
prospective purchaser offers to purchase the Property for consideration which is
(A) at least $500,000 greater than the consideration set forth in this Agreement
(including all cash, non-cash consideration and assumed liabilities) and (B)
otherwise on terms at least as favorable to the Seller as those set forth in
this Agreement, and (vi) after any initial overbid, all further overbids must be
in increments of at least $500,000. Should overbidding take place, the Buyer
shall have the right, but not the obligation, to participate in the overbidding
and to be approved as the overbidder at the Approval Hearing based upon any such
overbid. Should an overbidder be approved at the hearing on the Sale Motion,
Buyer shall deliver to such approved overbidder all third party reports, studies
and the like resulting from Buyer's Due Diligence investigations. Following the
filing of the Sale Procedure Motion, the Seller shall use

                                       17
<PAGE>

reasonable efforts to obtain the Procedure Order (the date on which the
Procedure Order is entered and becomes final is referred to herein as the "Sale
Procedure Date").

           8.3.2 Bankruptcy Court's Approval of Sale. Promptly following the
Execution Date, and contemporaneously with the filing of the Sale Procedure
Motion, Seller shall file a motion with the Bankruptcy Court (the "Sale Motion")
requesting entry of an order on an expedited basis (such order, in the form
entered by the Bankruptcy Court, the "Approval Order") which (i) approves the
sale of the Property to Buyer on the terms and conditions set forth in this
Agreement, or such other terms as the Seller and successful bidder may approve,
and authorizes the Seller to proceed with this transaction, (ii) includes a
specific finding that Buyer is a good faith purchaser of the Property, (iii)
states that the sale of the Property to Buyer shall be free and clear of all
liens, encumbrances, offsets, arrearages, damages, and other claims and
interests of any kind whatsoever (except as expressly provided in this
Agreement), whether arising under terms of any contract assigned to Buyer
pursuant to such sale or otherwise, (iv) approves the Seller's assumption and
assignment of the pre-petition Real Property Leases and Other Leases and
Contracts (collectively, the "Section 365 Contracts") pursuant to Section 365 of
the United States Bankruptcy Code and orders the Buyer to pay any cure amounts
payable to the other parties to the Section 365 Contracts as a condition to such
assumption and assignment. In no event shall Buyer have the right to terminate
this transaction by reason of the failure to assign all of the Section 365
Contracts so long as the Approval Order authorizes the Seller to assume and
assign not less than ninety five percent (95%) both in number and aggregate
value in dollars of such Section 365 Contracts. Following the filing of the Sale
Motion, the Seller shall use reasonable efforts to obtain entry of the Approval
Order. Both Buyer's and Seller's obligations to consummate the transactions
contemplated in this Agreement shall be conditioned upon the Bankruptcy Court's
entry of the Approval Order.

     8.4 Intellectual Property. If prior to the Closing Date and on the advice
of counsel the parties mutually deem it necessary or advisable to protect or
further confirm their rights in the Intellectual Property allocated to them
under this Agreement, then the parties shall in good faith negotiate and enter
into appropriate licensing, cross-licensing, consent or similar agreements with
respect to such Intellectual Property.

     8.5 License to FGO. FGL and Buyer, and their respective successors and
assigns, (collectively, "Grantors") for a period of fifteen (15) years after the
Closing Date, in consideration for cash payments based on the demonstrable
market value of such licenses, will grant, under customary terms and conditions,
a separate, nonexclusive, worldwide license (each, a "License") to each of
Friede Goldman Offshore, Inc., and its successors and assigns (including any
entity formed in connection with any reorganization thereof) (collectively,
"FGO"), PPL Shipyard Pte Ltd. ("PPL") and Jurong Shipyard Pte Ltd to construct
and sell marine vessels using the Intellectual Property, including the ARCOS
Rack Chock System (the "Rack Chock"); provided, that such market value shall,
with respect to FGO, be no greater than the license fees paid by PPL for the JU-
2000 and the FGL semi-submersible designs under contract with Santa Fe
International Corporation, less a discount of twenty-five percent (25%) (the
"Discount"); provided further, that (i) Grantors shall have no obligation to
offer the Discount to a competitor of Grantors in the event that FGO, or
substantially all of FGO's assets, is sold, transferred or assigned to such
competitor and (ii) FGO shall not sell, transfer, or assign the right to such
Licenses and/or the Discount to any competitor of Grantors. Notwithstanding the
foregoing,

                                       18
<PAGE>

Grantors will grant to FGO, under customary terms and conditions, a
nonexclusive, worldwide license for no less than a period of ten (10) years
after the Closing Date for the Rack Chock for $400,000 per rig to be constructed
for, and sold to, any person or entity; provided, however, that there shall be
no Discount on, and the Discount shall not apply to, the Rack Chock.

     8.6 Further Actions. The Parties each agree to use all commercially
reasonable efforts to take all actions and to do all things necessary, proper or
advisable in good faith to expedite the consummation of the transactions
contemplated hereby by the expected Closing Date.

9.  Post Closing Covenants.

     9.1 Post-Closing Maintenance of and Access to Information. Without limiting
Seller's rights under Section 10.2 with respect to the Case, Buyer will also
comply with the following provisions:

          (a) The parties acknowledge that after Closing Seller or its
     successors may need access to information or documents in the control or
     possession of Buyer for the purposes of concluding the transactions herein
     contemplated, preparing or filing tax returns or responding to audits,
     Contracts and to satisfy other legal requirements, and to prosecute or
     defend third party claims.

          (b) Buyer shall not dispose of or destroy any of the records and files
     of the Business prior to the fourth anniversary of the Closing Date.  If
     Buyer wishes to dispose of or destroy such records and files after that
     time, it shall first give fifteen (15) days' prior written notice to
     Seller, and Seller shall have the right, at its option and expense, upon
     prior written notice to Buyer within such sixty-day period, to take
     possession of the records and files within ninety (90) days after the date
     of the notice from Seller.

          (c) Buyer shall cooperate fully in connection with, and make available
     for inspection and copying by, Seller, its successors, and their respective
     employees, agents, counsel and accountants and/or governmental authorities,
     upon written request, such books, records documents and other information
     to the extent reasonably necessary to facilitate the purposes set forth in
     subsection (a) above and for other legitimate corporate purposes.  In
     addition, Buyer shall cooperate with, and shall permit and use its best
     efforts to cause, its former and present directors, officers and employees
     to cooperate with, Seller on and after Closing in furnishing information,
     evidence, testimony and other assistance in connection with any action,
     proceeding, arrangement or dispute of any nature with respect to the
     Business or the Property and pertaining to periods prior to the Closing
     Date.

          (d) Seller shall be entitled to retain any records that relate to
     events or periods prior to Closing for purposes of pending litigation
     involving matters to which such records refer.

     9.2  Offer and Terms of Employment.

           9.2.1 Offer of Employment. Buyer agrees to offer (or to cause one of
its affiliates to offer) employment to each Employee who is in the active
employment of the

                                       19
<PAGE>

Business on the Closing Date on substantially the same terms and conditions, in
the aggregate, and at the same rate of pay, as such Employee was employed on the
day prior to the Closing Date and will offer such employment to any inactive
Employee on the date the Employee returns to work as an active employee if such
return occurs within twelve (12) weeks of the Closing Date (each such Employee
who accepts Buyer's offer of employment, a "Continuing Employee"); provided,
however, that this provision shall not prevent Buyer from terminating any
Continuing Employee for any reason, or from changing the terms and conditions of
employment and/or the rate of pay in its sole discretion. Notwithstanding
anything herein to the contrary, Buyer shall not be obligated to offer
employment to any of the individuals identified in writing by Buyer to Seller
prior to the date of this Agreement.

           9.2.2 COBRA. Pursuant to Section 54.4980B-9, Q&A-6(b), Seller shall
be responsible for giving the COBRA notice and providing the COBRA continuation
coverage with respect to all Employees.

     9.3 Bennett Lawsuit. Buyer shall cooperate with FGH and provide assistance
as reasonably requested by FGO or FGH in the case styled Friede & Goldman, Ltd.
v. William T. Bennett, Jr. and Bennett & Associates, L.L.C., Civil Action No.
3.02CV13BN, pending in the United States District Court for the Southern
District of Mississippi (the "Bennett Suit") , and any derivative lawsuit and
claim therefrom, or any cause of action or claim arising against any part or
parties out of the facts and circumstances giving rise to the Bennett Suit,
provided, that FGH shall reimburse Buyer for all reasonable costs incurred by
Buyer for any such assistance. In settling the Bennett Suit, if such suit is
settled, Seller shall use reasonable efforts to preserve the value of the
Intellectual Property which is the subject of the Bennett Suit; provided,
however, that Seller shall have no obligation whatsoever to pursue or prosecute
the Bennett Suit and may abandon such proceedings at any time in its sole
discretion.

10.  Miscellaneous.

     10.1 Attorneys' Fees. In the event that either party hereto brings an
action or other proceeding to enforce or interpret the terms and provisions of
this Agreement, the prevailing party in that action or proceeding shall be
entitled to have and recover from the non-prevailing party all such fees, costs
and expenses (including, without limitation, all court costs and reasonable
attorneys' fees) as the prevailing party may suffer or incur in the pursuit or
defense of such action or proceeding.

     10.2 Reasonable Access to Records and Certain Personnel. So long as the
Case is pending, (i) the Buyer shall permit Seller's counsel and other
professionals employed in the Case reasonable access to the financial and other
books and records relating to the Property or the Business (whether in
documentary or data form) for the purpose of the continuing administration of
the Case (including, without limitation, the pursuit of any avoidance,
preference or similar action), which access shall include (a) the right of such
professionals to copy, at the Seller's expense, such documents and records as
they may request in furtherance of the purposes described above, and (b) Buyer's
copying and delivering to Seller or its professionals such documents or records
as they may request, but only to the extent Seller or its professionals
furnishes Buyer with reasonably detailed written descriptions of the materials
to be so copied and Seller reimburses the Buyer for the reasonable costs and
expenses thereof), and (ii) Buyer shall

                                       20
<PAGE>

provide the Seller and such professionals (at no cost to the Seller) with
reasonable access to the President, the Senior Vice President or the Manager of
Proprietary Technology of FGL during regular business hours to assist the Seller
in the continuing administration of the Case, provided that such access does not
unreasonably interfere with the Buyer's business operations.

     10.3 Notices. Unless otherwise provided herein, any notice, tender, or
delivery to be given hereunder by either party to the other may be effected by
personal delivery in writing, or by registered or certified mail, postage
prepaid, return receipt requested, and shall be deemed communicated as of the
date of mailing. Mailed notices shall be addressed as set forth below, but each
party may change his address by written notice in accordance with this
paragraph.

          To Seller:       Friede Goldman Halter, Inc.
                           13085 Seaway Road
                           Gulfport, Mississippi 39503
                           Phone: 228-897-4800
                           Fax: 228-897-4803
                           Attn: John Alford

          With a copy to:  Andrews & Kurth LLP
                           600 Travis, Suite 4200
                           Houston, Texas 77002-3090
                           Phone: 713-220-4528
                           Fax: 713-238-7246
                           Attn: Doug Walter

                           And

                           Houlihan Lokey Howard & Zukin
                           3475 Piedmont Road, Suite 950
                           Atlanta, Georgia 30305
                           Phone: 404-495-7000
                           Fax: 404-495-9545
                           Attn: James D. Decker

          To Buyer:        FGL Acquisitions, LLC
                           8610 Magnolia Forest Drive
                           Sugarland, Texas 77479
                           Attn: Paul Geiger

                                       21
<PAGE>

                           And

                           FGL Acquisitions, LLC
                           MODEC (U.S.A.), Inc.
                           1201 Dairy Ashford, Suite 100
                           Houston, Texas  77079
                           Attn:  Michael Lipowski

          With a copy to:  Chamberlain, Hrdlicka, White Williams & Martin
                           1200 Smith Street, Suite 1400
                           Houston, Texas 77002
                           Phone: 713-658-1818
                           Fax:  713-658-2553
                           Attn: Kerry C. Williams

     10.4 Entire Agreement. This instrument and the documents to be executed
pursuant hereto contain the entire agreement between the parties relating to the
sale of the Property. Any oral representations or modifications concerning this
Agreement or any such other document shall be of no force and effect excepting a
subsequent modification in writing, signed by the party to be charged.

     10.5 Modification. This Agreement may be modified, amended or supplemented
only by a written instrument duly executed by all the parties hereto.

     10.6 Closing Date. All actions to be taken on the Closing pursuant to this
Agreement shall be deemed to have occurred simultaneously, and no act, document
or transaction shall be deemed to have been taken, delivered or effected until
all such actions, documents and transactions have been taken, delivered or
effected.

     10.7 Severability. Should any term, provision or paragraph of this
Agreement be determined to be illegal or void or of no force and effect, the
balance of the Agreement shall survive except that, if Buyer cannot acquire and
Seller cannot sell substantially all of the Property, either party may terminate
this Agreement, and it shall be of no further force and effect, unless both
parties agree in writing to the contrary.

     10.8 Captions. All captions and headings contained in this Agreement are
for convenience of reference only and shall not be construed to limit or extend
the terms or conditions of this Agreement.

     10.9 Further Assurances. Each party hereto will execute, acknowledge and
deliver any further assurance, documents and instruments reasonably requested by
any other party hereto for the purpose of giving effect to the transactions
contemplated herein or the intentions of the parties with respect thereto.

     10.10 Waiver. No waiver of any of the provisions of this Agreement shall be
deemed, or shall constitute, a waiver of other provisions, whether or not
similar, nor shall any waiver

                                       22
<PAGE>

constitute a continuing waiver. No waiver shall be binding unless executed in
writing by the party making the waiver.

     10.11 Brokerage Obligations. Seller is represented by HLHZ as its exclusive
sale agent with respect to the transactions contemplated herein pursuant that
certain order entered by the Bankruptcy Court on October 30, 2001 and HLHZ's
commission, fees and expenses are to be paid by the Seller in accordance with
the terms and provisions of such order. The Seller and the Buyer each represent
and warrant to the other that, except for HLHZ, such party has incurred no
liability to any real estate broker or agent with respect to the payment of any
commission regarding the consummation of the transaction contemplated hereby.
Except for any claims of HLHZ (which are to be handled and satisfied by Seller
in accordance with the above referenced order), it is agreed that if any claims
for commissions, fees or other compensation, including, without limitation,
brokerage fees, finder's fees, or commissions are ever asserted against Buyer or
the Seller in connection with this transaction, all such claims shall be handled
and paid by the party whose actions form the basis of such claim and such party
shall indemnify, defend (with counsel reasonably satisfactory to the party
entitled to indemnification), protect, and save and hold the other harmless from
and against any and all such claims or demands asserted by any person, firm or
corporation in connection with the transaction contemplated hereby.

     10.12 Payment of Fees and Expenses. Each party to this Agreement shall be
responsible for, and shall pay, all of its own fees and expenses, including
those of its counsel, incurred in the negotiation, preparation and consummation
of the Agreement and the transaction described herein.

     10.13 Survival. Except for the covenants and agreements that are expressly
to be performed after the Closing Date, none of the respective representations
and warranties, covenants and agreements of Seller and Buyer herein, or in any
certificates or other documents delivered prior to or at the Closing, shall
survive the Closing, and Seller shall not be responsible for any post-closing
liability (other than the Excluded Liabilities) or indemnification in respect
thereof; provided, however, that nothing set forth in this Section 10.13 shall
diminish Seller's obligation to make any payments, if required to be made by
Seller, pursuant to Section 2.3.4.

     10.14 Assignments. This Agreement shall not be assigned by either party
hereto without the prior written consent of the other party hereto.

     10.15 Binding Effect. Subject to the provisions of Section 10.14 above,
this Agreement shall bind and inure to the benefit of the respective heirs,
personal representatives, successors, and assigns of the parties hereto.

     10.16 Applicable Law. This Agreement shall be governed by and construed in
accordance with the laws of Texas.

     10.17 Good Faith. All parties hereto agree to do all acts and execute all
documents required to carry out the terms of this Agreement and to act in good
faith with respect to the terms and conditions contained herein before and after
Closing.

     10.18 Construction. In the interpretation and construction of this
Agreement, the parties acknowledge that the terms hereof reflect extensive
negotiations between the parties and that this

                                       23
<PAGE>

Agreement shall not be deemed, for the purpose of construction and
interpretation, drafted by either party hereto.

     10.19 Counterparts. This Agreement may be signed in counterparts. The
parties further agree that this Agreement may be executed by the exchange of
facsimile signature pages.

     10.20 Time is of the Essence. Time is of the essence in this Agreement, and
all of the terms, covenants and conditions hereof.

     10.21 Tax Effect. None of the parties (nor such parties' counsel or
accountants) has made or is making in this Agreement any representation to any
other party (or such party's counsel or accountants) concerning any of the tax
effects or consequences on the other party of the transactions provided for in
this Agreement. Each party represents that it has obtained, or may obtain,
independent tax advice with respect thereto and upon which it, if so obtained,
has solely relied.

     10.22 Employee Withholding. The parties agree that, pursuant to the
"Alternative Procedure" provided in Section 5 of Revenue Procedure 96-60, 1996-2
C.B. 399, with respect to filing and furnishing IRS Forms W-2, W-3, and 941, (a)
Seller shall report on a "predecessor-successor" basis, as set forth therein,
(b) Seller shall be relieved from furnishing Forms W-2 to any of the employees
of Seller who become employees of Buyer, and (c) Buyer shall assume the
obligations of Seller to furnish such Forms W-2 to such employees for the year
in which the Closing occurs.

     10.23 Bankruptcy Court Jurisdiction. BUYER AND SELLER AGREE THAT THE
BANKRUPTCY COURT SHALL HAVE EXCLUSIVE JURISDICTION OVER ALL DISPUTES AND OTHER
MATTERS RELATING; TO (i) THE INTERPRETATION AND ENFORCEMENT OF THIS AGREEMENT OR
ANY ANCILLARY DOCUMENT EXECUTED PURSUANT HERETO; AND/OR (ii) THE PROPERTY AND/OR
ASSUMED LIABILITIES, AND BUYER EXPRESSLY CONSENTS TO AND AGREES NOT TO CONTEST
SUCH EXCLUSIVE JURISDICTION.

     10.24 Confidentiality Agreement. The Confidentiality Agreement dated as of
January 21, 2002 between Buyer and Seller (the "Confidentiality Agreement")
shall remain in full force and effect during the term specified therein.

     10.25  Waiver of Trade Practices Act.

          (a) IT IS THE INTENTION OF THE PARTIES THAT BUYER'S RIGHTS AND
     REMEDIES WITH RESPECT TO THIS TRANSACTION AND WITH RESPECT TO ALL ACTS OR
     PRACTICES OF SELLER, PAST, PRESENT OR FUTURE, IN CONNECTION WITH THIS
     TRANSACTION SHALL BE GOVERNED BY LEGAL PRINCIPLES OTHER THAN THE DECEPTIVE
     TRADE PRACTICES ACT ("DTPA").  AS SUCH, BUYER HEREBY WAIVES THE
     APPLICABILITY OF THE DTPA TO THIS TRANSACTION AND ANY AND ALL DUTIES,
     RIGHTS OR REMEDIES THAT MIGHT BE IMPOSED BY THE DTPA, WHETHER SUCH DUTIES,
     RIGHTS AND REMEDIES ARE APPLIED DIRECTLY BY THE DTPA ITSELF OR INDIRECTLY
     IN CONNECTION WITH OTHER STATUTES;

                                       24
<PAGE>

     PROVIDED, HOWEVER, BUYER DOES NOT WAIVE (S) 17.555 OF THE DTPA. BUYER
     ACKNOWLEDGES, REPRESENTS AND WARRANTS THAT IT IS PURCHASING THE GOODS
     AND/OR SERVICES COVERED BY THIS AGREEMENT FOR COMMERCIAL OR BUSINESS USE;
     THAT IT HAS ASSETS OF $5 MILLION OR MORE ACCORDING TO ITS MOST RECENT
     FINANCIAL STATEMENT PREPARED IN ACCORDANCE WITH GENERALLY ACCEPTED
     ACCOUNTING PRINCIPLES; THAT IT HAS KNOWLEDGE AND EXPERIENCE IN FINANCIAL
     AND BUSINESS MATTERS THAT ENABLE IT TO EVALUATE THE MERITS AND RISKS OF A
     TRANSACTION SUCH AS THIS; AND THAT IT IS NOT IN A SIGNIFICANTLY DISPARATE
     BARGAINING POSITION WITH SELLER.

          (b) TO THE MAXIMUM EXTENT PERMITTED BY LAW, BUYER HEREBY WAIVES ALL
     PROVISIONS OF THE DTPA.

          (c) BUYER EXPRESSLY RECOGNIZES THAT THE PRICE FOR WHICH SELLER HAS
     AGREED TO PERFORM ITS OBLIGATIONS UNDER THIS AGREEMENT HAS BEEN PREDICATED
     UPON THE INAPPLICABILITY OF THE DTPA AND THIS WAIVER OF THE DTPA.  BUYER
     FURTHER RECOGNIZES THAT SELLER, IN DETERMINING TO PROCEED WITH THE ENTERING
     INTO OF THIS AGREEMENT, HAS EXPRESSLY RELIED ON THIS WAIVER AND THE
     INAPPLICABILITY OF THE DTPA.

          IN WITNESS WHEREOF, the parties hereto have executed this Asset
Purchase Agreement as of the day and year first above written.

                                 FGL ACQUISITIONS, LLC

                                 By:  /s/ Michael Lipowski
                                      --------------------
                                 Name:  Michael Lipowski
                                 Its:   Sole Manager

                                 FRIEDE GOLDMAN HALTER, INC.

                                 By:  /s/ John F. Alford
                                      ------------------
                                 Name:  John F. Alford
                                 Its:   President & CEO

                                 FRIEDE & GOLDMAN LTD.

                                 By:  /s/ John F. Alford
                                      ------------------
                                 Name:  John F. Alford
                                 Its:   CEO

                                       25
<PAGE>

                                 The undersigned hereby executes this Agreement
                                 for the sole purpose of agreeing to transfer
                                 that certain Real Property Lease listed in
                                 EXHIBIT "A-1" of which the undersigned is the
                                 lessee and any and all Personal Property listed
                                 in EXHIBIT "C" to which it has title:

                                 FRIEDE GOLDMAN OFFSHORE, INC.

                                 By:  /s/ John F. Alford
                                      ------------------
                                 Name:  John F. Alford
                                 Its:   CEO

                          [SIGNATURE PAGE CONTINUES]

                                       26
<PAGE>

                                 The undersigned hereby executes this Agreement
                                 for the sole purpose of agreeing to transfer
                                 that any and all Personal Property listed in
                                 EXHIBIT "C" to which it has title:

                                 FRIEDE GOLDMAN OFFSHORE TEXAS, L.P.

                                 By:  Maritime Holdings, Inc., its general
                                 partner

                                 By:  /s/ John F. Alford
                                      ------------------
                                 Name:  John F. Alford
                                 Its:   CEO

                                       27
<PAGE>

                                    GUARANTY

     Pursuant to Section 4.1.6 hereof, MODEC, Inc. (the "Guarantor") hereby
guarantees to Seller that Buyer shall in all respects duly and timely make all
payments, take all actions, and otherwise fulfill all of its obligations under
this Agreement or any other document or certificate executed in connection with
this Agreement; and Seller shall have full recourse against Guarantor in respect
thereof, without the necessity of filing suit or taking action against Buyer,
and without exhausting any remedies against Buyer, to the end that Guarantor and
Buyer are jointly and severally liable in respect of each and all of Buyer's
obligations under this Agreement or any other document or certificate executed
in connection with this Agreement.

                                 MODEC, Inc.

                                 By:  /s/ K Yamada
                                      ------------
                                 Name:  Kenji Yamada
                                 Its:   President & CEOExhibit 4.1

                               SERIES SUPPLEMENT

                      CORPORATE BACKED TRUST CERTIFICATES

              KINDER MORGAN DEBENTURE-BACKED SERIES 2002-6 TRUST

                                    between

                            LEHMAN ABS CORPORATION,

                                 as Depositor

                                      and

                     U.S. BANK TRUST NATIONAL ASSOCIATION,

                                  as Trustee

                      CORPORATE BACKED TRUST CERTIFICATES

                          Dated as of April 16, 2002

<PAGE>

<TABLE>
<CAPTION>
                                                  Table of Contents
                                                                                                               Page
                                                                                                               ----

<S>             <C>                                                                                             <C>
Section 1.      Incorporation of Standard Terms...................................................................1

Section 2.      Definitions.......................................................................................1

Section 3.      Designation of Trust and Certificates.............................................................7

Section 4.      Trust Certificates................................................................................8

Section 5.      Distributions.....................................................................................8

Section 6.      Trustee's Fees...................................................................................11

Section 7.      Optional Exchange; Optional Call.................................................................11

Section 8.      Notices of Events of Default.....................................................................13

Section 9.      Miscellaneous....................................................................................13

Section 10.     Governing Law....................................................................................15

Section 11.     Counterparts.....................................................................................16

Section 12.     Termination of the Trust.........................................................................16

Section 13.     Sale of Underlying Securities; Optional Exchange.................................................16

Section 14.     Amendments.......................................................................................16

Section 15.     Voting of Underlying Securities, Modification of Indenture.......................................17

Section 16.     Additional Depositor Representation..............................................................18
</TABLE>

SCHEDULE I        SERIES 2002-6 UNDERLYING SECURITIES SCHEDULE
EXHIBIT A         FORM OF TRUST CERTIFICATE
EXHIBIT B         FORM OF WARRANT AGENT AGREEMENT
EXHIBIT C         FORM OF INVESTMENT LETTER

                                      i
<PAGE>

                               SERIES SUPPLEMENT

                      CORPORATE BACKED TRUST CERTIFICATES

              KINDER MORGAN DEBENTURE-BACKED SERIES 2002-6 TRUST

          SERIES SUPPLEMENT, Kinder Morgan Debenture-Backed Series 2002-6
Trust, dated as of April 16, 2002 (the "Series Supplement"), by and between
LEHMAN ABS CORPORATION, as Depositor (the "Depositor"), and U.S. BANK TRUST
NATIONAL ASSOCIATION, as Trustee (the "Trustee").

                             W I T N E S S E T H:

          WHEREAS, the Depositor desires to create the Trust designated herein
(the "Trust") by executing and delivering this Series Supplement, which shall
incorporate the terms of the Standard Terms for Trust Agreements, dated as of
January 16, 2001 (the "Standard Terms;" and together with this Series
Supplement, the "Trust Agreement"), by and between the Depositor and the
Trustee, as modified by this Series Supplement;

          WHEREAS, the Depositor desires to deposit into the Trust the
Underlying Securities set forth on Schedule I attached hereto (the "Underlying
Securities Schedule") the general terms of which are described in the
Prospectus Supplement under the heading "Description of the Deposited Assets -
Underlying Securities;"

          WHEREAS, in connection with the creation of the Trust and the
deposit therein of the Underlying Securities, it is desired to provide for the
issuance of trust certificates evidencing undivided interests in the Trust and
call warrants related thereto; and

          WHEREAS, the Trustee has joined in the execution of the Standard
Terms and this Series Supplement to evidence the acceptance by the Trustee of
the Trust.

          NOW, THEREFORE, in consideration of the foregoing premises and the
mutual covenants expressed herein, it is hereby agreed by and between the
Depositor and the Trustee as follows:

     Section 1. Incorporation of Standard Terms. Except as otherwise provided
herein, all of the provisions of the Standard Terms are hereby incorporated
herein by reference in their entirety, and this Series Supplement and the
Standard Terms shall form a single agreement between the parties. In the event
of any inconsistency between the provisions of this Series Supplement and the
provisions of the Standard Terms, the provisions of this Series Supplement
will control with respect to the Kinder Morgan Debenture-Backed Series 2002-6
Certificates and the transactions described herein.

     Section 2. Definitions.

     (a) Except as otherwise specified herein or as the context may otherwise
require, the following terms shall have the respective meanings set forth
below for all purposes under this Series Supplement. (Section 2(b) below sets
forth terms listed in the Standard Terms which are

                                      1
<PAGE>

not applicable to this Series.) Capitalized terms used but not defined herein
shall have the meanings assigned to them in the Standard Terms.

          "Available Funds" shall have the meaning specified in the Standard
Terms.

          "Business Day" shall mean any day other than (i) Saturday and Sunday
or (ii) a day on which banking institutions in New York City, New York are
authorized or obligated by law or executive order to be closed for business or
(iii) a day that is not a business day for the purposes of the Indenture.

          "Call Date" shall mean any Business Day (i) on or after April 16,
2007, (ii) after the Underlying Securities Issuer announces that it will
redeem (in whole or in part) or otherwise make an unscheduled payment on the
Underlying Securities, (iii) after the Trustee notifies the Certificateholders
of any proposed sale of the Underlying Securities pursuant to the provisions
of this Series Supplement or (iv) on which a tender offer for some or all of
the Underlying Securities is consummated.

          "Call Notice" shall have the meaning specified in Section 1.1 of the
Warrant Agent Agreement.

          "Call Price" shall mean, for each related Call Date, 100% of the
outstanding Certificate Principal Balance of the Certificates being purchased
pursuant to the exercise of the Call Warrants, plus any accrued and unpaid
interest on such amount to but excluding the Call Date.

          "Call Warrants" shall have the meaning specified in Section 3
hereof.

          "Called Certificates" shall have the meaning specified in Section
1.1 (b) of the Warrant Agent Agreement.

          "Certificates" shall mean the certificates in the form attached
hereto as Exhibit A, to be issued by the Trust representing a proportionate
undivided beneficial ownership interest in certain distributions to be made by
the Trust and having the characteristics described herein and in the
Certificates.

          "Closing Date" shall mean April 16, 2002.

          "Collection Period" shall mean, (i) with respect to each September
Distribution Date, the period beginning on the day after the March
Distribution Date of such year and ending on such September Distribution Date,
inclusive and, (ii) with respect to each March Distribution Date, the period
beginning on the day after the September Distribution Date of the prior year
and ending on such March Distribution Date, inclusive; provided, however, that
clauses (i) and (ii) shall be subject to Section 9(f) hereof.

          "Corporate Trust Office" shall mean the office of U.S. Bank Trust
National Association located at 100 Wall Street, New York, New York 10005.

          "Currency" shall mean United States Dollars.

                                      2
<PAGE>

          "Depository" shall mean The Depository Trust Company, its nominees
and their respective successors.

          "Distribution Date" shall mean March 1 and September 1 of each year
(or if such date is not a Business Day, the next succeeding Business Day),
commencing on September 1, 2002, and ending on the earlier of the Final
Scheduled Distribution Date and any date on which all Underlying Securities
are redeemed pursuant to the Indenture or prepaid or liquidated in whole for
any reason other than at their maturity.

          "Event of Default" shall mean (i) a default in the payment of any
interest on any Underlying Security after the same becomes due and payable
(subject to any applicable grace period), (ii) a default in the payment of the
principal of or any installment of principal of any Underlying Security when
the same becomes due and payable, and (iii) any other event specified as an
"Event of Default" in the Indenture.

          "Exchange Act" shall mean the Securities and Exchange Act of 1934,
as amended, and the rules and regulations promulgated thereunder.

          "Final Scheduled Distribution Date" shall mean March 1, 2098, or, if
such day is not a Business Day, the next succeeding Business Day.

          "Indenture" shall mean the indenture pursuant to which the
Underlying Securities were issued, as supplemented.

          "Interest Accrual Period" shall mean for any Distribution Date, the
period from and including the preceding Distribution Date (or in the case of
the first Interest Accrual Period, from and including April 16, 2002) to but
excluding the current Distribution Date.

          "Liquidation Price" shall mean the price at which the Trustee sells
the Underlying Securities.

          "Maturity Date" shall have the meaning specified in Schedule I
hereto.

          "Moody's" shall mean Moody's Investors Service, Inc.

          "Optional Call" shall mean the call of the Certificates by the
Warrant Holder, in whole or in part, resulting from the exercise of Call
Warrants by the Warrant Holder, pursuant to Section 7(d) hereof.

          "Optional Exchange" shall mean the exchange of the Certificates by
the Trust for the Underlying Securities pursuant to Section 7(a) hereof.

          "Optional Exchange Date" shall mean any date on which Underlying
Securities subject to Optional Exchange are distributed to a
Certificateholder.

          "Ordinary Expenses" shall mean the Trustee's ordinary expenses and
overhead in connection with its services as Trustee, including the items
referred to in the definition of Ordinary Expenses in the Standard Terms.

                                      3
<PAGE>

          "Prepaid Ordinary Expenses" shall be zero for this Series.

          "Prospectus Supplement" shall mean the Prospectus Supplement, dated
April 4, 2002, relating to the Certificates.

          "Rating Agency" shall mean Moody's and S&P.

          "Record Date" shall mean, with respect to each Distribution Date,
the day immediately preceding the related Distribution Date.

          "Required Percentage-Amendment" shall be 66-2/3% of the aggregate
Voting Rights.

          "Required Percentage-Direction of Trustee" shall be 66-2/3% of the
aggregate Voting Rights.

          "Required Percentage-Remedies" shall be 66-2/3% of the aggregate
Voting Rights.

          "Required Percentage-Removal" shall be 66-2/3% of the aggregate
Voting Rights.

          "Required Rating" shall mean, in the case of Moody's, the rating
assigned to the Underlying Securities by Moody's as of the Closing Date, and,
in the case of S&P, the rating assigned to the Underlying Securities by S&P as
of the Closing Date.

          "S&P" shall mean Standard & Poor's Ratings Services, a division of
The McGraw-Hill Companies, Inc.

          "Series" shall mean the Kinder Morgan Debenture-Backed Series
2002-6.

          "Special Distribution Date" shall have the meaning specified in
Section 5 hereof.

          "Trustee Fee" shall mean the amount paid to the Trustee by the
Depositor on the Closing Date.

          "Trust Property" shall mean the Underlying Securities described on
Schedule I hereto, the Certificate Account and any additional Underlying
Securities sold to the Trust pursuant to Section 3(d) hereof.

          "Underlying Securities" shall mean $11,000,000 aggregate principal
amount of 7.45% Senior Debentures due March 1, 2098 issued by the Underlying
Securities Issuer as set forth in Schedule I attached hereto (subject to
Section 3(d) hereof).

          "Underlying Securities Issuer" shall mean Kinder Morgan, Inc.,
formerly known as K N Energy, Inc., and any successors in respect of the
Underlying Securities.

          "Underlying Securities Trustee" shall mean First Trust National
Association.

                                      4
<PAGE>

          "Underwriters" shall mean Lehman Brothers Inc., Prudential
Securities Incorporated, J.J.B. Hilliard, W.L. Lyons, Inc and Charles Schwab &
Co., Inc.

          "Voting Rights" shall, in the entirety, be allocated among all the
Certificateholders in proportion to the then outstanding Certificate Principal
Balances of their respective Certificates.

          "Warrant Agent" shall mean initially, U.S. Bank Trust National
Association.

          "Warrant Agent Agreement" shall mean that certain Warrant Agent
Agreement, dated as of the date hereof, between the Depositor and U.S. Bank
Trust National Association, as Warrant Agent and as Trustee, as the same may
be amended from time to time.

          "Warrant Holder" shall mean the holder of a Call Warrant.

     (b)  The terms listed below are not applicable to this Series.

               "Accounting Date"

               "Administrative Fees"

               "Advance"

               "Allowable Expense Amounts"

               "Basic Documents"

               "Calculation Agent"

               "Call Premium Percentage"

               "Credit Support"

               "Credit Support Instrument"

               "Credit Support Provider"

               "Cut-off Date"

               "Eligible Expense"

               "Eligible Investment"

               "Exchange Rate Agent"

               "Fixed Pass-Through Rate"

               "Floating Pass-Through Rate"

                                      5
<PAGE>

               "Guaranteed Investment Contract"

               "Letter of Credit"

               "Limited Guarantor"

               "Limited Guaranty"

               "Minimum Wire Denomination"

               "Notional Amount"

               "Pass-Through Rate"

               "Place of Distribution"

               "Purchase Price"

               "Required Premium"

               "Required Principal"

               "Requisite Reserve Amount"

               "Retained Interest"

               "Sale Procedures"

               "Sub-Administration Account"

               "Sub-Administration Agreement"

               "Sub-Administration Agent"

               "Surety Bond"

               "Swap Agreement"

               "Swap Counterparty"

               "Swap Distribution Amount"

               "Swap Guarantee"

               "Swap Guarantor"

               "Swap Receipt Amount"

               "Swap Termination Payment"

                                      6
<PAGE>

     Section 3. Designation of Trust and Certificates. The Trust created
hereby shall be known as the "Corporate Backed Trust Certificates, Kinder
Morgan Debenture-Backed Series 2002-6 Trust." The Certificates evidencing
certain undivided ownership interests therein shall be known as "Corporate
Backed Trust Certificates, Kinder Morgan Debenture-Backed Series 2002-6." The
Certificates shall consist of a single class of Certificates (the
"Certificates"). The Trust is also issuing call warrants with respect to the
Certificates ("Call Warrants").

     (a) The Certificates shall be held through the Depository in book-entry
form and shall be substantially in the form attached hereto as Exhibit A. The
Certificates shall be issued in denominations of $10. Except as provided in
the Standard Terms and in paragraph (d) in this Section, the Trust shall not
issue additional Certificates or additional Call Warrants or incur any
indebtedness.

     (b) The Certificates consist of 1,057,419 Certificates having an initial
aggregate certificate principal amount (the "Certificate Principal Balance")
of $10,574,190.

     (c) The holders of the Certificates will be entitled to receive on each
Distribution Date the interest, if any, received on the Underlying Securities,
to the extent necessary to pay interest at a rate of 7.75% per annum on the
outstanding Certificate Principal Balance of the Certificates. On September 1,
2002, the Trustee will pay to the Depositor the amount of interest accrued and
paid on the Underlying Securities from March 1, 2002, to but not including the
Closing Date; provided, however, that in the event an Optional Exchange shall
occur prior to September 1, 2002, a pro rata portion of such amount shall be
paid to the Depositor on the Optional Exchange Date, in accordance with the
provisions of Section 7(b)(vii) hereof. If Available Funds are insufficient to
pay such amount, the Trustee will pay the Depositor its pro rata share, based
on the ratio the amount owed to the Depositor bears to all amounts owed on the
Certificates in respect of accrued interest, of any proceeds from the recovery
on the Underlying Securities.

     (d) The Depositor may sell to the Trustee additional Underlying
Securities on any date hereafter upon at least 3 Business Days' notice to the
Trustee (or such shorter period as shall be mutually satisfactory to the
Depositor and the Trustee) and upon (i) satisfaction of the Rating Agency
Condition and (ii) delivery of an Opinion of Counsel to the effect that the
sale of such additional Underlying Securities will not cause the Trust to be
taxed as an association or publicly traded partnership taxable as a
corporation for federal income tax purposes. Each condition to be satisfied
with respect to a sale of Underlying Securities on or prior to the Closing
Date shall be satisfied with respect to a sale of additional Underlying
Securities no later than the date of sale thereof, each representation and
warranty set forth in the Standard Terms to be made on the Closing Date shall
be made on such date of sale, and from and after such date of sale, all
Underlying Securities held by the Trustee shall be held on the same terms and
conditions. Upon such sale to the Trustee, the Trustee shall deposit such
additional Underlying Securities in the Certificate Account, and shall
authenticate and deliver to the Depositor, on its order, Certificates, with an
aggregate Certificate Principal Balance will be issued in the same proportion
to the additional Underlying Securities as exists with respect to the
Certificates and Underlying Securities, and the Call Warrants related thereto
as described herein. Any such additional Certificates authenticated and
delivered shall have the same terms and rank pari passu with any Certificates
previously issued in accordance with this Series Supplement.

                                      7
<PAGE>

     (e) As a condition precedent for transferring the Call Warrants, the
prospective transferee shall be required to deliver to the Trustee and the
Depositor an executed copy of the Investment Letter (set forth in Exhibit C
hereto).

     Section 4. Trust Certificates. The Trustee hereby acknowledges receipt,
on or prior to the Closing Date, of:

     (a)  the Underlying Securities set forth on Schedule I hereto; and

     (b)  all documents required to be delivered to the Trustee pursuant to
Section 2.01 of the Standard Terms.

     Section 5. Distributions.

     (a)  Except as otherwise provided in Section 3(c), on each applicable
Distribution Date (or such later date as specified in Section 9(f)), the
Trustee shall apply Available Funds in the Certificate Account as follows:

          (i) The Trustee will pay the interest portion of Available Funds
     (subject to Section 5(b) below):

               (1) first, to the Trustee, as reimbursement for any
          Extraordinary Trust Expenses incurred by the Trustee in accordance
          with Section 6(b) below and approved by 100% of the
          Certificateholders; and

               (2) second, to the holders of the Certificates, as interest, at
          the rate of 7.75% per annum on the outstanding Certificate Principal
          Balance of the Certificates.

          (ii) the Trustee will pay the principal portion of Available Funds:

               (1) first, to the Trustee, as reimbursement for any remaining
          Extraordinary Trust Expenses incurred by the Trustee in accordance
          with Section 6(b) below and approved by 100% of the
          Certificateholders; and

               (2) second, to the holders of the Certificates, pro rata, the
          remaining available principal portion of Available Funds (in an
          aggregate amount not to exceed the outstanding Certificate Principal
          Balance of the Certificates).

          (iii) any Available Funds remaining in the Certificate Account after
     the payments set forth in clauses 5(a)(i) and 5(a)(ii) above shall be
     paid to the Trustee as reasonable compensation for services rendered to
     the Depositor, up to $1,000.

          (iv) the Trustee will pay any Available Funds remaining in the
     Certificate Account after the distributions in clauses 5(a)(i) through
     5(a)(iii) above to the holders of the Certificates pro rata in proportion
     to their original Certificate Principal Balances.

                                      8
<PAGE>

Any portion of the Available Funds (i) that does not constitute principal of,
or interest on, the Underlying Securities, (ii) that is not received in
connection with a redemption, prepayment or liquidation of the Underlying
Securities and (iii) for which allocation by the Trustee is not otherwise
contemplated by this Series Supplement, shall be remitted by the Trustee to
the Depositor.

     (b) Notwithstanding any other provision hereof (other than Section 3(c))
if the Underlying Securities are redeemed, prepaid or liquidated in whole or
in part for any reason other than if the Underlying Securities Issuer stops
filing the periodic reports required under the Exchange Act or at their
maturity, the Trustee shall apply Available Funds in the manner described in
Section 5(f) in the following order of priority:

          (i) first, to the Trustee, as reimbursement for any Extraordinary
     Trust Expenses incurred by the Trustee in accordance with Section 6(b)
     below and approved by 100% of the Certificateholders;

          (ii) second, to the holders of the Certificates, an amount equal to
     the Outstanding Certificate Principal Balances of the Certificates plus
     any accrued and unpaid interest thereon;

          (iii) third, to the Trustee, as reasonable compensation for services
     rendered to the Depositor, any remainder up to $1,000; and

          (iv) fourth, to the holders of the Certificates, any amount
     remaining after the distributions in clauses 5(b)(i) through 5(b)(iii)
     above, pro rata in proportion to their original Certificate Principal
     Balances.

     (c) Unless otherwise instructed by holders of Certificates representing a
majority of the Voting Rights, thirty (30) days after giving notice pursuant
to Section 8 hereof, the Trustee shall sell the Underlying Securities pursuant
to Section 13 hereof and deposit the Liquidation Proceeds, if any, into the
Certificate Account for distribution not later than two (2) Business Days
after the receipt of immediately available funds in accordance with Section
5(b) hereof; provided, however, that if any Warrant Holder designates any day
on or prior to the proposed sale date as a Call Date and Optional Exchange
Date pursuant to Section 7, the portion of Underlying Securities related to
such Optional Exchange shall not be sold but shall be distributed to the
Warrant Holder pursuant to Section 7 and the Warrant Agent Agreement.

     (d) If the Trustee receives non-cash property in respect of the
Underlying Securities as a result of a payment default on the Underlying
Securities (including from the sale thereof), the Trustee will promptly give
notice to the Depository, or for any Certificates which are not then held by
DTC or any other depository, directly to the registered holders of the
Certificates then outstanding and unpaid and to the Warrant Agent. Such notice
shall state that the Trustee shall and the Trustee shall, not later than 30
days after the receipt of such property, allocate and distribute such property
to the holders of Certificates then outstanding and unpaid, pro rata by
outstanding Certificate Principal Balance (after deducting the costs incurred
in connection therewith) in accordance with Section 5(b) hereof. Property
other than cash will be liquidated by the Trustee, and the proceeds thereof
distributed in cash, only to the extent necessary to avoid

                                      9
<PAGE>

distribution of fractional securities to Certificateholders. In-kind
distribution of such property to Certificateholders, based on the market value
of such property as of the date of distribution to Certificateholders, will be
deemed to reduce the Certificate Principal Balance of Certificates on a
dollar-for-dollar basis.

     (e) Subject to Section 9(f) hereof, to the extent Available Funds are
insufficient to make scheduled interest or principal payments on the
Certificates on any Distribution Date, any shortfall will be carried over and
will be distributed on the next Distribution Date (or date referred to in
Section 5(f) hereof) on which sufficient funds are available to pay such
shortfall.

     (f) If a payment with respect to the Underlying Securities is made to the
Trustee (i) after the payment date of the Underlying Securities on which such
payment was due or (ii) after the Underlying Securities are redeemed, prepaid
or liquidated in whole or in part for any reason other than if the Underlying
Securities Issuer stops filing periodic reports required by the Exchange Act
or at their maturity, then the Trustee will distribute any such amounts
received in accordance with Section 5(a) or 5(b), as applicable, on the next
occurring Business Day (a "Special Distribution Date") as if the funds had
constituted Available Funds on the Distribution Date immediately preceding
such Special Distribution Date; provided, however, that the Record Date for
such Special Distribution Date shall be the Business Day prior to the day on
which the related payment was received from the Underlying Securities Trustee.

     (g) Notwithstanding Section 3.12 of the Standard Terms, if the Underlying
Securities Issuer stops filing periodic reports required under the Exchange
Act, the Depositor shall within a reasonable time period instruct the Trustee
to (i) notify the Warrant Agent that the Underlying Securities are proposed to
be sold and that any Call Warrants and related Optional Exchange rights must
be exercised no later than the date specified in the notice (which shall be
not less than ten Business Days after the date of such notice) and (ii) to the
extent that the Warrant Holders fail to exercise their Call Warrants and
related Optional Exchange rights on or prior to such date, to sell the
Underlying Securities and allocate the proceeds of such sale in the following
order of priority: first, to the Trustee, reimbursement for any remaining
Extraordinary Trust Expenses incurred by the Trustee pursuant to the
instructions of all the certificateholders and, thereafter, to the holders of
the Certificates pro rata in proportion to their outstanding Certificate
Principal Balances; provided, however, that the Depositor shall not instruct
the Trustee to sell the Underlying Securities (or provide a notice of such
instruction to the Warrant Agent) pursuant to this clause unless the
Underlying Securities Issuer has either (x) stated in writing that it intends
permanently to cease filing reports required under the Exchange Act or (y)
failed to file any required reports for one full calendar year.

     Section 6. Trustee's Fees.

     (a) As compensation for its services hereunder, the Trustee shall be
entitled to the Trustee Fee and any amounts payable under clause 5(a)(iii) and
(5)(b)(iii) above. The Trustee Fee shall be paid by the Depositor and not from
Trust Property. The Trustee shall bear all Ordinary Expenses. Failure by the
Depositor to pay such amount shall not entitle the Trustee to any payment or
reimbursement from the Trust, nor shall such failure release the Trustee from
the duties it is required to perform under the Trust Agreement.

                                      10
<PAGE>

     (b) Extraordinary Expenses shall not be paid out of the Trust Property
unless all the holders of the Certificates then outstanding have directed the
Trustee to incur such Extraordinary Expenses. The Trustee may incur other
Extraordinary Expenses if any lesser percentage of the Certificateholders
requesting such action pursuant hereto reimburse the Trustee for the cost
thereof from their own funds in advance. If Extraordinary Expenses are not
approved unanimously as set forth in the first sentence of this Section 6(b),
such Extraordinary Expenses shall not be an obligation of the Trust, and the
Trustee shall not file any claim against the Trust therefor notwithstanding
failure of Certificateholders to reimburse the Trustee.

     Section 7. Optional Exchange; Optional Call.

     (a) On (A) any Distribution Date, (B) any date on which a tender offer
for some or all of the Underlying Securities is consummated or (C) any date on
which the Underlying Securities are to be redeemed by the Underlying
Securities Issuer, any holder of Certificates and the related Call Warrants,
if Call Warrants related to such Certificates are outstanding, may exchange
such Certificates and, if applicable, Call Warrants, for a distribution of
Underlying Securities representing the same percentage of the Underlying
Securities as such Certificates represent of all outstanding Certificates. On
any Call Date, any Warrant Holder may exchange Called Certificates for a
distribution of Underlying Securities representing the same percentage of
Underlying Securities as such Called Certificates represent of all outstanding
Certificates; provided, however, that any such exchange shall either (x)
result from an exercise of all Call Warrants owned by such Warrant Holder or
(y) occur on a Call Date on which such Warrant Holder, alone or together with
one or more other Warrant Holders, shall exchange Called Certificates relating
to Underlying Securities having an aggregate principal amount equal to or in
excess of the product of (i) 0.1 and (ii) the aggregate principal amount of
the Underlying Securities deposited into the Trust on the Closing Date. In the
event of an Optional Exchange in connection with a partial redemption of
Underlying Securities, the Underlying Securities selected by the Trustee for
exchange shall, to the extent possible and consistent with the foregoing
requirements, be Underlying Securities selected for redemption.

     (b) The following conditions shall apply to any Optional Exchange.

          (i) A notice specifying the number of Certificates being surrendered
     and the Optional Exchange Date shall be delivered to the Trustee no less
     than 5 days (or such shorter period acceptable to the Trustee) but not
     more than 30 days before the Optional Exchange Date; provided, however,
     that for an Optional Exchange to occur on a Call Date, unless otherwise
     specified therein, the Call Notice shall be deemed to be the notice
     required hereunder.

          (ii) Certificates and, if applicable, the Call Warrants, shall be
     surrendered to the Trustee no later than 10:00 a.m. (New York City time)
     on the Optional Exchange Date; provided that for an Optional Exchange to
     occur on a Call Date, payment of the Call Price to the Warrant Agent
     pursuant to Section 1.1(a)(iii) of the Warrant Agent Agreement shall
     satisfy the requirement to surrender Certificates.

                                      11
<PAGE>

          (iii) The Trustee shall have received an opinion of counsel stating
     that the Optional Exchange would not cause the Trust to be treated as an
     association or publicly traded partnership taxable as a corporation for
     federal income tax purposes.

          (iv) If the Certificateholder is the Depositor or any Affiliate of
     the Depositor, (1) the Trustee shall have received a certification from
     the Certificateholder that any Certificates being surrendered have been
     held for at least six months, and (2) the Certificates being surrendered
     may represent no more than 5% (or 25% in the case of Certificates
     acquired by the Underwriters but never distributed to investors) of the
     then outstanding Certificates.

          (v) The Trustee shall not be obligated to determine whether an
     Optional Exchange complies with the applicable provisions for exemption
     under Rule 3a-7 of the Investment Company Act of 1940, as amended, or the
     rules or regulations promulgated thereunder.

          (vi) The provisions of Section 4.07 of the Standard Terms shall not
     apply to an Optional Exchange pursuant to this Section 7(b). This Section
     7(b) shall not provide any person with a lien against, an interest in or
     a right to specific performance with respect to the Underlying
     Securities; provided that satisfaction of the conditions set forth in
     this Section 7(b) shall entitle the Certificateholder or Warrant Holder,
     as applicable, to a distribution thereof.

          (vii) In the event such Optional Exchange shall occur prior to
     September 1, 2002, the Certificateholder shall pay to the Trustee on the
     Optional Exchange Date an amount equal to the sum obtained by multiplying
     the amount of accrued interest on the Underlying Securities from March 1,
     2002 through, but excluding, the Closing Date by a fraction, the
     numerator of which shall be the number of Certificates being exchanged on
     such Optional Exchange Date and the denominator of which shall be the
     total number of Certificates.

          (viii) In the event that the face amount of Underlying Securities to
     be distributed in connection with any Optional Exchange pursuant to
     Section 7(a) is not an even multiple of $1,000, such amount shall be
     rounded down to the nearest $1,000; provided, however, that the Trustee
     shall further adjust the proportionate distribution of Underlying
     Securities so that, after giving effect to such rounding, the remaining
     Underlying Securities in the Trust are scheduled to distribute sufficient
     interest to pay the scheduled interest on the Certificates through the
     Final Scheduled Distribution Date. In the event of such a rounding, the
     aggregate principal amount of Certificates accepted for exchange shall be
     reduced to take into account the effect of such rounding and the
     Certificateholders (and, if applicable, the relevant Warrant Holders)
     requesting the Optional Exchange shall be issued Certificates in the
     amount of the remainder. If such Certificates are Called Certificates,
     they may be exchanged for a distribution of Underlying Securities on any
     subsequent Call Date on which the other requirements of Section 7(a) are
     met. For purposes of this provision, in any Optional Exchange of
     Certificates for Underlying Securities on a Call Date by two or more
     Certificateholders (and, if applicable, the relevant Warrant Holders), if
     so instructed irrevocably in writing

                                      12
<PAGE>

     by all such Certificateholders (and, if applicable, all such Warrant
     Holders), the Trustee shall determine the effects of rounding for
     purposes of the second preceding sentence with regard to the aggregate
     amount of Underlying Securities to be distributed (rather than each
     such Certificateholder's (and, if applicable, Warrant Holder's)
     individual allotment) and shall round each Certificateholder's (and,
     if applicable, Warrant Holder's) proportionate distribution in
     accordance with such instructions from such parties.

     (c) Concurrently with the execution of this Series Supplement, the
Trustee, on behalf of the Trust, shall execute the Warrant Agent Agreement and
the Call Warrants, dated as of the date hereof and substantially in the form
of Exhibit B hereto, initially evidencing all of the Call Warrants. The
Trustee shall perform the Trust's obligations under the Warrant Agent
Agreement and the Call Warrants in accordance with their respective terms.

     (d) Call Warrants may be exercised by the Warrant Holder in whole or in
part on any Call Date. In addition to the conditions set forth in Section 1.1
of the Warrant Agent Agreement, the following conditions shall apply to any
Optional Call.

          (i) An opinion of counsel to the Warrant Holder shall have been
     delivered to the Rating Agencies, in form satisfactory to the Rating
     Agencies, indicating that payment of the Call Price shall not be
     recoverable as a preferential transfer or fraudulent conveyance under the
     United States Bankruptcy Code. Such opinion may contain customary
     assumptions and qualifications.

          (ii) The Warrant Holder shall have provided a certificate of
     solvency to the Trustee.

          (iii) Upon receipt of a Call Notice, the Trustee shall provide a
     conditional call notice to the Depository not less than 3 Business Days
     prior to the Call Date.

          (iv) Delivery of a Call Notice does not give rise to an obligation
     on the part of the Warrant Holder to pay the Call Price. If, by 10:00
     a.m. (New York City time) on the Call Date, the Warrant Holder has not
     paid the Call Price, then the Call Notice shall automatically expire and
     none of the Warrant Holder, the Warrant Agent or the Trustee shall have
     any obligation with respect to the Call Notice. The expiration of a Call
     Notice shall in no way affect the Warrant Holder's right to deliver a
     Call Notice at a later date.

          (v) Subject to receipt of the Call Price, the Trustee shall pay the
     Call Price to the Certificateholders on the Call Date. The Call Price for
     the Certificates in respect of partial calls shall be allocated pro rata
     to the Certificateholders.

          (vi) The Trustee shall not consent to any amendment or modification
     of this Agreement (including the Standard Terms) which would adversely
     affect, in a material respect, the Warrant Holders (including, without
     limitation, any alteration of the timing or amount of any payment of the
     Call Price or any other provision of this Agreement in a manner adverse,
     in a material respect, to the Warrant Holders) without the prior written
     consent of 100% of the Warrant Holders. For purposes of this clause, no
     amendment, modification or supplement required to provide for any
     purchase by the Trustee of additional Underlying Securities and
     authentication and delivery by the Trustee of

                                      13
<PAGE>

     additional Certificates and Call Warrants pursuant to Section 3(d) shall
     be deemed to adversely affect the Warrant Holders.

          (vii) The Trustee shall not be obligated to determine whether an
     Optional Call complies with the applicable provisions for exemption under
     Rule 3a-7 of the Investment Company Act of 1940, as amended, or the rules
     or regulations promulgated thereunder.

          (viii) The aggregate principal amount of Certificates exchanged in
     connection with any Optional Exchange pursuant to this Section shall be
     in an amount that will entitle the Certificateholders thereof to
     Underlying Securities in an even multiple of the minimum denomination of
     such Underlying Securities.

          (ix) In the event such Optional Exchange shall occur prior to
     September 1, 2002, the Certificateholders shall have paid to the Trustee,
     for distribution to the Depositor, on the Optional Exchange Date an
     amount equal to the sum obtained by multiplying the amount of accrued
     interest on the Underlying Securities from March 1, 2002 through, but
     excluding, the Closing Date by a fraction, the numerator of which shall
     be the number of Certificates being exchanged on such Optional Exchange
     Date and the denominator of which shall be the total number of
     Certificates.

     (e) This Section 7 shall not provide the Warrant Holder with a lien
against, an interest in or a right to specific performance with respect to the
Underlying Securities; provided that satisfaction of the conditions set forth
in Section 7(b) shall entitle the Certificateholder or the Warrant Holders, as
applicable, to a distribution of the Underlying Securities.

     (f) The rights of the Certificateholders under the Trust Agreement and
the Certificates are limited by the terms, provisions and conditions of the
Trust Agreement, the Warrant Agent Agreement and the Call Warrants with
respect to the exercise of the Call Warrants by the Warrant Holder. The
Certificateholders, by their acceptance of Certificates, covenant and agree to
tender any and all Called Certificates to the Trustee upon the Warrant
Holder's exercise of Call Warrants and payment of the Call Price for such
Certificates in accordance with the provisions hereof and of the Warrant Agent
Agreement.

     (g) (i) If the Trustee receives notice of a tender offer for some or all
     of the Underlying Securities, the Trustee shall within one Business Day
     notify the Warrant Agent and forward to the Warrant Agent copies of all
     materials received by the Trustee in connection therewith. If the Trustee
     receives a Call Notice from any Warrant Holder no later than five
     Business Days prior to the expiration of the tender offer acceptance
     period that such Warrant Holder desires to exercise all or a portion of
     its Call Warrants in connection with the consummation of any such tender
     offer, then the Trustee shall tender, in compliance with the tender offer
     requirements, an amount of Underlying Securities equal to the amount of
     Underlying Securities that would be distributable to the Warrant Holder
     with respect to an Optional Exchange of the Called Certificates called by
     such Warrant Holder; provided that any Optional Call or Optional Exchange
     undertaken in connection with any such tender offer shall be subject to
     the provisions of Section 7 hereof.

                                      14
<PAGE>

          (ii) The Call Date and Optional Exchange Date for any exercise of
     Call Warrants in connection with a tender offer shall be deemed to be the
     Business Day on which such Underlying Securities are accepted for payment
     and paid for.

          (iii) The Call Price shall be deducted from the tender offer
     proceeds and paid to Certificateholders in connection with Section
     7(d)(v), and the excess of the tender offer proceeds over the Call Price
     shall be paid to the exercising Warrant Holders pro rata in respect to
     their proportionate exercises of Call Warrants or, if the Call Price
     exceeds the tender offer proceeds the amount of such excess shall be paid
     by the exercising Warrant Holders pro rata in respect to their
     proportionate exercises of Call Warrants.

          (iv) If fewer than all tendered Underlying Securities are accepted
     for payment and paid for, (A) the amount of Call Warrants exercised shall
     be reduced to an amount that corresponds to a number of Certificates that
     could be exchanged in an Optional Exchange for the Underlying Securities
     accepted for payment and paid for (without regard to any restrictions on
     the amount to be exchanged, so long as such restrictions would have been
     satisfied had all tendered Underlying Securities been accepted for
     payment and paid for); (B) each Warrant Holder's exercise shall be
     reduced by its share (proportionate to the amount specified in its
     exercise notice) of the amount of Underlying Securities not accepted for
     payment and paid for; (C) the Call Price shall be determined after giving
     effect to the reduction specified in clause (B); (D) the Call Warrants
     that relate to the reduction specified in clause (B) shall remain
     outstanding; and (E) the excess of the tender offer proceeds over the
     Call Price shall be allocated in proportion to the amount of Call
     Warrants deemed exercised as set forth in clause (A) above or, if the
     Call Price exceeds the tender offer proceeds the amount of such excess
     shall be paid by the exercising Warrant Holders pro rata in respect to
     their proportionate exercises of Call Warrants.

          (v) If the tender offer is terminated by the Underlying Securities
Issuer or any other tender offeror without consummation thereof or if all
tenders by the Trust of Underlying Securities are otherwise rejected, then (1)
the Call Notices will be of no further force and effect, and (2) any Call
Warrants relating to such Call Notices will not be exercised and will remain
outstanding.

     Section 8. Notices of Events of Default.

          As promptly as practicable after, and in any event within 30 days
after, the occurrence of any Event of Default actually known to the Trustee,
the Trustee shall give notice of such Event of Default to the Depository, or,
if any Certificates are not then held by DTC or any other depository, directly
to the registered holders of such Certificates and to the Warrant Agent.
However, except in the case of an Event of Default relating to the payment of
principal of or interest on any of the Underlying Securities, the Trustee will
be protected in withholding such notice if in good faith it determines that
the withholding of such notice is in the interest of the Certificateholders.

     Section 9. Miscellaneous.

                                      15
<PAGE>

     (a) The provisions of Section 4.04, Advances, of the Standard Terms shall
not apply to the Kinder Morgan Debenture-Backed Series 2002-6 Certificates.

     (b) The provisions of Section 4.07, Optional Exchange, of the Standard
Terms shall not apply to the Kinder Morgan Debenture-Backed Series 2002-6
Certificates.

     (c) The Trustee shall simultaneously forward reports to
Certificateholders pursuant to Section 4.03 of the Standard Terms and to the
New York Stock Exchange.

     (d) Except as expressly provided herein, the Certificateholders shall not
be entitled to terminate the Trust or cause the sale or other disposition of
the Underlying Securities.

     (e) The provisions of Section 3.07(d) of the Standard Terms shall not
apply to the Kinder Morgan Debenture-Backed Series 2002-6 Certificates.

     (f) If the Trustee has not received payment with respect to a Collection
Period on the Underlying Securities on or prior to the related Distribution
Date, such distribution will be made promptly upon receipt of such payment. No
additional amounts shall accrue on the Certificates or be owed to
Certificateholders as a result of such delay; provided, however, that any
additional interest owed and paid by the Underlying Securities Issuer as a
result of such delay shall be paid to the Certificateholders pro rata in
proportion to their respective entitlements to such delayed payments.

     (g) The outstanding Certificate Principal Balance of the Certificates
shall not be reduced by the amount of any Realized Losses (as defined in the
Standard Terms).

     (h) The Trust may not engage in any business or activities other than in
connection with, or relating to, the holding, protecting and preserving of the
Trust Property and the issuance of the Certificates and the Call Warrants, and
other than those required or authorized by the Trust Agreement or incidental
and necessary to accomplish such activities. The Trust may not issue or sell
any certificates or other obligations other than the Certificates and the Call
Warrants or otherwise incur, assume or guarantee any indebtedness for money
borrowed. Notwithstanding Section 3.05 of the Standard Terms, funds on deposit
in the Certificate Account shall not be invested.

     (i) Notwithstanding anything in the Trust Agreement to the contrary, the
Trustee may be removed upon 60 days prior written notice delivered by the
holders of Certificates representing the Required Percentage-Removal.

     (j) In the event that the Internal Revenue Service challenges the
characterization of the Trust as a grantor trust, the Trustee shall then file
such forms as the Depositor may specify to establish the Trust's election
pursuant to Section 761 of the Code to exclude the Trust from the application
of Subchapter K of the Code and is hereby empowered to execute such forms on
behalf of the Certificateholders.

     (k) Notwithstanding anything in the Standard Terms to the contrary, the
Trustee, upon written direction by the Depositor, will execute the
Certificates.

                                      16
<PAGE>

     (l) In relation to Section 7.01(f) of the Standard Terms, any periodic
reports filed by the Trustee pursuant to the Exchange Act in accordance with
the customary practices of the Depositor, need not contain any independent
reports.

     (m) Notwithstanding anything in the Trust Agreement to the contrary, the
Trustee will have no recourse to the Underlying Securities.

     (n) The Trustee shall promptly notify each Rating Agency upon its
obtaining actual knowledge of the occurrence of a Defeasance (as defined in
the Indenture) with respect to the Underlying Securities.

     (o) The Trust will not merge or consolidate with any other entity without
confirmation from each Rating Agency that such merger or consolidation will
not result in the qualification, reduction or withdrawal of its then-current
rating on the Certificates.

     (p) All directions, demands and notices hereunder or under the Standard
Terms shall be in writing and shall be delivered as set forth below (unless
written notice is otherwise provided to the Trustee).

          If to the Depositor, to:

               Lehman ABS Corporation
               745 Seventh Avenue
               New York, New York  10019
               Attention:  Structured Credit Trading
               Telephone:  (212) 526-6575
               Facsimile:   (201) 524-2080

          If to the Trustee or the Warrant Agent, to:

               U.S. Bank Trust National Association
               100 Wall Street
               New York, New York  10005
               Attention:  Corporate Trust
               Telephone:  (212) 361-2500
               Facsimile:  (212) 809-5459

          If to the Rating Agencies, to:

               Moody's Investors Service, Inc.
               99 Church Street 21W
               New York, New York  10007
               Attention:  CBO/CLO Monitoring Department
               Telephone:  (212) 553-1494
               Facsimile:  (212) 553-0355

                                      17
<PAGE>

     and to:

               Standard & Poor's Ratings Services
               55 Water Street
               New York, New York  10041
               Attention:  Structured Finance Surveillance Group
               Telephone:  (212) 438-2482
               Facsimile:  (212) 438-2664

               If to the New York Stock Exchange, to:

               New York Stock Exchange, Inc.
               20 Broad Street
               New York, New York  10005
               Attention:  Vincent Patten
               Telephone:  (212) 656-5276
               Facsimile:  (212) 656-5780

     Copies of all directions, demands and notices required to be given to the
Certificateholders hereunder or under the Standard Terms will also be given to
the Warrant Holders in writing as set forth in this Section 9, and copies of
all directions, demands and notices required to be given to the Trustee
hereunder or under the Standard Terms will also be given to the Warrant Agent
in writing as set forth in this Section 9.

     (q) Each of the representations, covenants and agreements made herein by
each of the Depositor and the Trustee are for the benefit of the
Certiticateholders and the Warrant Holders.

     (r) The provisions of Section 2.01(d) (iii) of the Standard Terms shall
not apply to the Kinder Morgan Debenture-Backed Series 2002-6 Certificates and
the following shall be deemed to be inserted in its place:

          "at the time of delivery of the Underlying Securities, Depositor
          owns such Underlying Securities, has the right to transfer its
          interest in such Underlying Securities and such Underlying Securities
          are free and clear of any lien, pledge, encumbrance, right, charge,
          claim or other security interest; and"

     Section 10. Governing Law. THIS SERIES SUPPLEMENT AND THE TRANSACTIONS
DESCRIBED HEREIN SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE
LAWS OF THE STATE OF NEW YORK APPLICABLE TO CONTRACTS MADE AND PERFORMED
WITHIN THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO THE CHOICE OF LAWS
PROVISIONS THEREOF.

     Section 11. Counterparts. This Series Supplement may be executed in any
number of counterparts, each of which shall be deemed to be an original, and
all such counterparts shall constitute but one and the same instrument.

     Section 12. Termination of the Trust. The Trust shall terminate upon the
earliest to occur of (i) the payment in full at maturity or sale by the Trust
after a payment default or an

                                      18
<PAGE>

acceleration or other early payment of the Underlying Securities and the
distribution in full of all amounts due to the Certificateholders; (ii) the
exercise of all outstanding Call Warrants by the Warrant Holder; (iii) the
Final Scheduled Distribution Date and (iv) the expiration of 21 years from the
death of the last survivor of the descendants of Joseph P. Kennedy, the late
Ambassador of the United States to the Court of St. James, living on the date
hereof.

     Section 13. Sale of Underlying Securities; Optional Exchange. In the
event of a sale of the Underlying Securities pursuant to Section 5(c) hereof
or pursuant to the instructions of the Warrant Agent under Section 1.2 of the
Warrant Agent Agreement, the Trustee shall solicit bids for the sale of the
Underlying Securities with settlement thereof on or before the third (3rd)
Business Day after such sale from three leading dealers in the relevant
market. Any of the following dealers (or their successors) shall be deemed to
qualify as leading dealers: (1) Credit Suisse First Boston Corporation, (2)
Goldman, Sachs & Co., (3) Merrill Lynch, Pierce, Fenner & Smith Incorporated,
(4) UBS Warburg LLC, (5) Salomon Smith Barney Inc., and (6) except in the case
of a sale related to the exercise of Call Warrants by the Depositor or any
Affiliate thereof, Lehman Brothers Inc. The Trustee shall not be responsible
for the failure to obtain a bid so long as it has made reasonable efforts to
obtain bids. If a bid for the sale of the Underlying Securities has been
accepted by the Trustee but the sale has failed to settle on the proposed
settlement date, the Trustee shall request new bids from such leading dealers.
In the event of an Optional Exchange, the Trustee shall only deliver the
Underlying Securities to the purchaser of such Underlying Securities or sell
the Underlying Securities pursuant to this Section 13, as the case may be,
against payment in same day funds deposited into the Certificate Account.

     Section 14. Amendments. Notwithstanding anything in the Trust Agreement
to the contrary, in addition to the other restrictions on modification and
amendment contained therein, the Trustee shall not enter into any amendment or
modification of the Trust Agreement which would adversely affect in any
material respect the interests of the holders of any class of Certificates
without the consent of the holders of 100% of the Certificates; provided,
however, that no such amendment or modification will be permitted which would
cause the Trust to be taxed as an association or publicly traded partnership
taxable as a corporation for federal income tax purposes. The Trustee shall
provide written notice to each Rating Agency before entering into any
amendment or modification of the Trust Agreement pursuant to this Section 14.

     Section 15. Voting of Underlying Securities, Modification of Indenture.

     (a) The Trustee, as holder of the Underlying Securities, has the right to
vote and give consents and waivers in respect of the Underlying Securities as
permitted by the Depository and except as otherwise limited by the Trust
Agreement. In the event that the Trustee receives a request from the
Depository, the Underlying Securities Trustee or the Underlying Securities
Issuer for its consent to any amendment, modification or waiver of the
Underlying Securities, the Indenture or any other document thereunder or
relating thereto, or receives any other solicitation for any action with
respect to the Underlying Securities, the Trustee shall mail a notice of such
proposed amendment, modification, waiver or solicitation to each
Certificateholder of record as of such date. The Trustee shall request
instructions from the Certificateholders as to whether or not to consent to or
vote to accept such amendment, modification, waiver or solicitation. The
Trustee shall consent or vote, or refrain from consenting or voting, in the
same proportion (based on the relative outstanding Certificate Principal
Balances of the Certificates) as the Certificates

                                      19
<PAGE>

of the Trust were actually voted or not voted by the Certificateholders
thereof as of a date determined by the Trustee prior to the date on which such
consent or vote is required; provided, however, that, notwithstanding anything
in the Trust Agreement to the contrary, the Trustee shall at no time vote on
or consent to any matter (i) unless such vote or consent would not (based on
an opinion of counsel) cause the Trust to be taxed as an association or
publicly traded partnership taxable as a corporation under the Code, (ii)
which would alter the timing or amount of any payment on the Underlying
Securities, including, without limitation, any demand to accelerate the
Underlying Securities, except in the event of a default under the Underlying
Securities or an event which with the passage of time would become an event of
default under the Underlying Securities and with the unanimous consent of
holders of all outstanding Certificates, and all Warrant Holders, or (iii)
which would result in the exchange or substitution of any of the outstanding
Underlying Securities pursuant to a plan for the refunding or refinancing of
such Underlying Securities except in the event of a default under the
Indenture and only with the consent of Certificateholders representing 100% of
the Certificates and 100% of the Warrant Holders. The Trustee shall have no
liability for any failure to act resulting from Certificateholders' late
return of, or failure to return, directions requested by the Trustee from the
Certificateholders.

     (b) In the event that an offer is made by the Underlying Securities
Issuer to issue new obligations in exchange and substitution for any of the
Underlying Securities, pursuant to a plan for the refunding or refinancing of
the outstanding Underlying Securities or any other offer is made for the
Underlying Securities, the Trustee shall notify the Certificateholders and the
Warrant Holders of such offer promptly. Subject to the rights of the Warrant
Holders to exercise Call Warrants in connection with a tender offer for the
Underlying Securities, the Trustee must reject any such offer unless the
Trustee is directed by the affirmative vote of the holders of 100% of the
Certificates and Call Warrants to accept such offer and the Trustee has
received the tax opinion described above. If pursuant to the preceding
sentence, the Trustee accepts any such offer the Trustee shall promptly notify
the Rating Agencies.

     (c) If an event of default under the Indenture occurs and is continuing,
and if directed by a majority of the outstanding Certificateholders, the
Trustee shall vote the Underlying Securities in favor of directing, or take
such other action as may be appropriate to direct, the Underlying Securities
Trustee to declare the unpaid principal amount of the Underlying Securities
and any accrued and unpaid interest thereon to be due and payable.

     Section 16. Additional Depositor Representation. It is the express intent
of the parties hereto that the conveyance of the Underlying Securities by the
Depositor to the Trustee be, and be construed as, a sale of the Underlying
Securities by the Depositor and not a pledge of any Underlying Securities by
the Depositor to secure a debt or other obligation of the Depositor. In the
event that, notwithstanding the aforementioned intent of the parties, any
Underlying Securities are held to be property of the Depositor, then, it is
the express intent of the parties that such conveyance be deemed a pledge of
such Underlying Securities by the Depositor to the Trustee to secure a debt or
other obligation of the Depositor, pursuant to Section 10.07 of the Standard
Terms. In connection with any such grant of a security interest in the
Underlying Securities (including any such grant in connection with any sale of
additional Underlying Securities pursuant to Section 3(d)), the Depositor
hereby represents and warrants to Trustee as follows:

                                      20
<PAGE>

          (i)    In the event the Underlying Securities are held to be
                 property of the Depositor, then the Trust Agreement creates a
                 valid and continuing security interest (as defined in the
                 applicable Uniform Commercial Code) in the Underlying
                 Securities in favor of the Trustee which security interest is
                 prior to all other liens, and is enforceable as such as
                 against creditors of, and purchasers from, the Depositor.

          (ii)   The Underlying Securities have been credited to a trust
                 account (the "Securities Account") of the Trustee, or its
                 authorized agent, in accordance with Section 2.01 of the
                 Standard Terms. The Trustee, as securities intermediary for
                 the Securities Account, has agreed to treat the Underlying
                 Securities as "financial assets" within the meaning of the
                 Uniform Commercial Code.

          (iii)  Immediately prior to the transfer of the Underlying
                 Securities to the Trust, Depositor owned and had good and
                 marketable title to the Underlying Securities free and clear
                 of any lien, claim or encumbrance of any Person.

          (iv)   Depositor has received all consents and approvals required by
                 the terms of the Underlying Securities to the transfer to the
                 Trustee of its interest and rights in the Underlying
                 Securities as contemplated by the Trust Agreement.

          (v)    Depositor has taken all steps necessary to cause the Trustee,
                 as securities intermediary for the Securities Account, to
                 identify on its records that the Trustee, as the trustee of
                 the Trust, is the Person having a security entitlement
                 against the securities intermediary in the Securities
                 Account.

          (vi)   Depositor has not assigned, pledged, sold, granted a security
                 interest in or otherwise conveyed any interest in the
                 Underlying Securities (or, if any such interest has been
                 assigned, pledged or otherwise encumbered, it has been
                 released). Depositor has not authorized the filing of and is
                 not aware of any financing statements against Depositor that
                 includes a description of the Underlying Securities.
                 Depositor is not aware of any judgment or tax lien filings
                 against Depositor.

          (vii)  The Securities Account is not in the name of any Person other
                 than the Trust. Depositor has not consented to the compliance
                 by the Trustee, as securities intermediary, with entitlement
                 orders of any Person other than the Trustee, as trustee of
                 the Trust.

                                      21
<PAGE>

          IN WITNESS WHEREOF, the parties hereto have caused this Series
Supplement to be duly executed by their respective authorized officers as of
the date first written above.

                                  LEHMAN ABS CORPORATION,
                                      as Depositor

                                  By: /s/ Rene Canezin
                                     -----------------------------------------
                                     Name: Rene Canezin
                                     Title:  Senior Vice President

                                  U.S. BANK TRUST NATIONAL ASSOCIATION,
                                     not in its individual capacity
                                     but solely as Trustee on behalf
                                     of the Corporate Backed Trust Certificates
                                     Kinder Morgan Debenture-Backed
                                     Series 2002-6 Trust

                                  By: /s/ David Kolibachuk
                                     ------------------------------------------
                                     Name:  David Kolibachuk
                                     Title:    Vice President

                                      22
<PAGE>

<TABLE>
<CAPTION>
                                                  SCHEDULE I

                                 KINDER MORGAN DEBENTURE-BACKED SERIES 2002-6

                                        UNDERLYING SECURITIES SCHEDULE

<S>                                                  <C>
Underlying Securities:                               7.45% Senior Debentures due March 1, 2098.

Underlying Securities Issuer:                        Kinder Morgan, Inc., formerly known as K N Energy, Inc.

CUSIP Number:                                        482620AX9.

Principal Amount Deposited:                          $11,000,000.

Original Issue Date:                                 March 4, 1998.

Principal Amount of
Underlying Securities
Originally Issued:                                   $150,000,000

Maturity Date:                                       March 1, 2098.

Principal Payment Date:                              March 1, 2098.

Interest Rate:                                       7.45% per annum.

Interest Payment Dates:                              March 1st and September 1st.

Underlying Securities Record Dates:                  The day immediately preceding each Distribution Date.
</TABLE>

                                      I-1

<PAGE>

                                   EXHIBIT A
                           FORM OF TRUST CERTIFICATE

                                     A-1

<PAGE>

                                  CERTIFICATE

NUMBER 1                                        1,057,419 $10 PAR CERTIFICATES
                                                         CUSIP NO. 21988G 46 0

                      SEE REVERSE FOR CERTAIN DEFINITIONS

UNLESS THIS CERTIFICATE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE OF THE
DEPOSITORY TRUST COMPANY, A NEW YORK CORPORATION ("DTC"), TO THE ISSUER OR ITS
AGENT FOR REGISTRATION OF TRANSFER, EXCHANGE OR PAYMENT, AND ANY CERTIFICATE
ISSUED IS REGISTERED IN THE NAME OF CEDE & CO. OR IN SUCH OTHER NAME AS IS
REQUESTED BY AN AUTHORIZED REPRESENTATIVE OF DTC (AND ANY PAYMENT IS MADE TO
CEDE & CO. OR TO SUCH OTHER ENTITY AS IS REQUESTED BY AN AUTHORIZED
REPRESENTATIVE OF DTC), ANY TRANSFER, PLEDGE OR OTHER USE HEREOF FOR VALUE OR
OTHERWISE BY OR TO ANY PERSON IS WRONGFUL INASMUCH AS THE REGISTERED OWNER
HEREOF, CEDE & CO., HAS AN INTEREST HEREIN.

THIS CERTIFICATE REPRESENTS A PROPORTIONATE UNDIVIDED BENEFICIAL OWNERSHIP
INTEREST IN THE TRUST AND DOES NOT EVIDENCE AN OBLIGATION OF, OR AN INTEREST
IN, AND IS NOT GUARANTEED BY THE DEPOSITOR OR THE TRUSTEE OR ANY OF THEIR
RESPECTIVE AFFILIATES. NEITHER THIS CERTIFICATE OR THE TRUST ASSETS ARE
INSURED OR GUARANTEED BY ANY GOVERNMENTAL AGENCY OR ANY OTHER PERSON.

<PAGE>

                            LEHMAN ABS CORPORATION

                                   1,057,419

                     CORPORATE BACKED TRUST CERTIFICATES,

                 KINDER MORGAN DEBENTURE-BACKED SERIES 2002-6

7.75% INTEREST RATE

evidencing a proportionate undivided beneficial ownership interest in the
Trust, as defined below, the property of which consists principally of
$11,000,000 aggregate principal amount of 7.45% Senior Debentures due March 1,
2098, issued by Kinder Morgan, Inc. (the "Underlying Securities Issuer"), and
all payments received thereon (the "Trust Property"), deposited in trust by
Lehman ABS Corporation (the "Depositor").

THIS CERTIFIES THAT CEDE & CO. is the registered owner of $11,000,000 DOLLARS
nonassessable, fully-paid, proportionate undivided beneficial ownership
interest in the Corporate Backed Trust Certificates, Kinder Morgan
Debenture-Backed Series 2002-6 Trust, formed by the Depositor.

The Trust was created pursuant to a Standard Terms for Trust Agreements, dated
as of January 16, 2001 (the "Standard Terms"), between the Depositor and U.S.
Bank Trust National Association, a national banking association, not in its
individual capacity but solely as Trustee (the "Trustee"), as supplemented by
the Series Supplement, Kinder Morgan Debenture-Backed Series 2002-6, dated as
of April 16, 2002 (the "Series Supplement" and, together with the Standard
Terms, the "Trust Agreement"), between the Depositor and the Trustee. This
Certificate does not purport to summarize the Trust Agreement and reference is
hereby made to the Trust Agreement for information with respect to the
interests, rights, benefits, obligations, proceeds and duties evidenced hereby
and the rights, duties and obligations of the Trustee with respect hereto. A
copy of the Trust Agreement may be obtained from the Trustee by written
request sent to the Corporate Trust Office. Capitalized terms used but not
defined herein have the meanings assigned to them in the Trust Agreement.

This Certificate is one of the duly authorized Certificates designated as the
"Corporate Backed Trust Certificates, Kinder Morgan Debenture-Backed Series
2002-6" (herein called the "Certificates"). This Certificate is issued under
and is subject to the terms, provisions and conditions of the Trust Agreement,
to which Trust Agreement the Holder of this Certificate by virtue of the
acceptance hereof assents and by which such Holder is bound. The Trust
Property consists of: (i) Underlying Securities described in the Trust
Agreement, and (ii) all payments on or collections in respect of the
Underlying Securities accrued on or after April 16, 2002; provided, however,
that any income from the investment of Trust funds in certain permitted
investments ("Eligible Investments") does not constitute Trust Property.

Subject to the terms and conditions of the Trust Agreement (including the
availability of funds for distributions) and until the obligation created by
the Trust Agreement shall have terminated in accordance therewith,
distributions will be made on each Distribution Date, to the Person in whose
name this Certificate is registered on the applicable Record Date, in an
amount equal to

                                      2
<PAGE>

such Certificateholder's proportionate undivided beneficial ownership interest
in the amount required to be distributed to the Holders of the Certificates on
such Distribution Date. The Record Date applicable to any Distribution Date is
the close of business on the day immediately preceding such Distribution Date
(whether or not a Business Day). If a payment with respect to the Underlying
Securities is made to the Trustee after the date on which such payment was
due, then the Trustee will distribute any such amounts received on the next
occurring Business Day (a "Special Distribution Date").

Each Certificateholder, by its acceptance of a Certificate, covenants and
agrees that such Certificateholder will not at any time institute against the
Trust, or join in any institution against the Trust of, any bankruptcy
proceedings under any United States Federal or state bankruptcy or similar law
in connection with any obligations relating to the Certificates or the Trust
Agreement.

Distributions made on this Certificate will be made as provided in the Trust
Agreement by the Trustee by wire transfer in immediately available funds, or
check mailed to the Certificateholder of record in the Certificate Register
without the presentation or surrender of this Certificate or the making of any
notation hereon, except that with respect to Certificates registered on the
Record Date in the name of the nominee of the Clearing Agency (initially, such
nominee shall be CEDE & Co.), payments will be made by wire transfer in
immediately available funds to the account designated by such nominee. Except
as otherwise provided in the Trust Agreement and notwithstanding the above,
the final distribution on this Certificate will be made after due notice by
the Trustee of the pendency of such distribution and only upon presentation
and surrender of this Certificate at the Corporate Trust Office or such other
location as may be specified in such notice.

Reference is hereby made to the further provisions of this Certificate set
forth on the reverse hereof, which further provisions shall for all purposes
have the same effect as if set forth at this place.

Unless the certificate of authentication hereon has been executed by or on
behalf of the Trustee, by manual signature, this Certificate shall not entitle
the Holder hereof to any benefit under the Trust Agreement or be valid for any
purpose.

THIS CERTIFICATE SHALL BE CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE
OF NEW YORK, WITHOUT REFERENCE TO ITS CONFLICT OF LAW PROVISIONS, AND THE
OBLIGATIONS, RIGHTS AND REMEDIES OF THE HOLDER HEREOF SHALL BE DETERMINED IN
ACCORDANCE WITH SUCH LAWS.

                                      3
<PAGE>

IN WITNESS WHEREOF, the Trustee has caused this Certificate to be duly
executed as of the date set forth below.

                                CORPORATE BACKED TRUST
                                CERTIFICATES, KINDER MORGAN
                                DEBENTURE-BACKED SERIES 2002-6 TRUST

                                By: U.S. BANK TRUST NATIONAL
                                ASSOCIATION
                                not in its individual capacity but solely as
                                Trustee,

                                By:
                                   ------------------------------------------
                                   Authorized Signatory

Dated: April 16, 2002

                    TRUSTEE'S CERTIFICATE OF AUTHENTICATION

This is on one of the Corporate Backed Trust Certificates, Kinder Morgan
Debenture-Backed Series 2002-6, described in the Trust Agreement referred to
herein.

U.S. BANK TRUST NATIONAL ASSOCIATION
not in its individual capacity but solely as
Trustee,

By:
    ------------------------------
    Authorized Signatory

                                      4
<PAGE>

                           (REVERSE OF CERTIFICATE)

The Certificates are limited in right of distribution to certain payments and
collections respecting the Underlying Securities, all as more specifically set
forth herein and in the Trust Agreement. The registered Holder hereof, by its
acceptance hereof, agrees that it will look solely to the Trust Property (to
the extent of its rights therein) for distributions hereunder.

The Trust Agreement permits, with certain exceptions therein provided, the
amendment thereof and the modification of the rights and obligations of the
Depositor and the Trustee and the rights of the Certificateholders under the
Trust Agreement at any time by the Depositor and the Trustee with the consent
of the Holders of Certificates in the manner set forth in the Series
Supplement and the Standard Terms. Any such consent by the Holder of this
Certificate (or any predecessor Certificate) shall be conclusive and binding
on such Holder and upon all future Holders of this Certificate and of any
Certificate issued upon the transfer hereof or in exchange hereof or in lieu
hereof whether or not notation of such consent in made upon this Certificate.
The Trust Agreement also permits the amendment thereof, in certain limited
circumstances, without the consent of the Holders of any of the Certificates.

The Certificates are issuable in fully registered form only in denominations
of $10.

As provided in the Trust Agreement and subject to certain limitations therein
set forth, the transfer of this Certificate is registerable in the Certificate
Register upon surrender of this Certificate for registration of transfer at
the offices or agencies of the Certificate Registrar maintained by the Trustee
in the Borough of Manhattan, the City of New York, duly endorsed by or
accompanied by an assignment in the form below and by such other documents as
required by the Trust Agreement, and thereupon one or more new Certificates of
the same class in authorized denominations evidencing the same principal
amount will be issued to the designated transferee or transferees. The initial
Certificate Registrar appointed under the Trust Agreement is U.S. Bank Trust
National Association.

No service charge will be made for any registration of transfer or exchange,
but the Trustee may require exchange of a sum sufficient to cover any tax or
other governmental charge that may be imposed in connection with any transfer
or exchange of Certificates.

The Depositor and the Trustee and any agent of the Depositor or the Trustee
may treat the Person in whose name this Certificate is registered as the owner
hereof for all purposes, and neither the Depositor, the Trustee, nor any such
agent shall be affected by any notice to the contrary.

It is the intention of the parties to the Trust Agreement that the Trust
created thereunder shall constitute a fixed investment trust for federal
income tax purposes under Treasury Regulation Section 301.7701-4, and the
Certificateholder agrees to treat the Trust, any distributions therefrom and
its beneficial interest in the Certificates consistently with such
characterization.

The Trust and the obligations of the Depositor and the Trustee created by the
Trust Agreement with respect to the Certificates shall terminate upon the
earliest to occur of (i) the payment in full at maturity or sale by the Trust
after a payment default or an acceleration or other early payment of the
Underlying Securities and the distribution in full of all amounts due to the
Certificateholders; (ii) the exercise of all outstanding Call Warrants by the
Warrant Holder; (iii)

                                      5
<PAGE>

the Final Scheduled Distribution Date and (iv) the expiration of 21 years from
the death of the last survivor of the descendants of Joseph P. Kennedy, the
late Ambassador of the United States to the Court of St. James, living on the
date hereof.

An employee benefit plan subject to the Employee Retirement Income Security
Act of 1974, as amended ("ERISA"), a plan described in Section 4975(e) of the
Code, an entity whose underlying assets include plan assets by reason of any
such plan's investment in the entity, including an individual retirement
account or Keogh plan (any such, a "Plan") may purchase and hold Certificates
if the Plan can represent and warrant that its purchase and holding of the
Certificates would not be prohibited under ERISA or the Code.

                                      6
<PAGE>

                                  ASSIGNMENT

FOR VALUE RECEIVED the undersigned hereby sells, assigns and transfers unto

PLEASE INSERT SOCIAL SECURITY
OR OTHER IDENTIFYING NUMBER
OF ASSIGNEE

(Please print or type name and address, including postal zip code, of
assignee) the within Certificate, and all rights thereunder, hereby
irrevocably constituting and appointing ______________________ Attorney to
transfer said Certificate on the books of the Certificate Register, with full
power of substitution in the premises.

Dated:

                                                              *

                                                 Signature Guaranteed:

                                                              *

*NOTICE: The signature to this assignment must correspond with the name as it
appears upon the face of the within Certificate in every particular, without
alteration, enlargement or any change whatever. Signatures must be guaranteed
by an "eligible guarantor institution" meeting the requirements of the
Certificate Registrar, which requirements include membership or participation
in the Security Transfer Agent Medallion Program ("STAMP") or such other
"signature guarantee program" as may be determined by the Certificate
Registrar in addition to, or in substitution for, STAMP, all in accordance
with the Securities Exchange Act of 1934, as amended.

                                      7

<PAGE>

                                   EXHIBIT B
                        FORM OF WARRANT AGENT AGREEMENT

                            WARRANT AGENT AGREEMENT

                      CORPORATE BACKED TRUST CERTIFICATES

              KINDER MORGAN DEBENTURE-BACKED SERIES 2002-6 TRUST

     WARRANT AGENT AGREEMENT, dated as of April 16, 2002 (the "Warrant Agent
Agreement"), by and between LEHMAN ABS CORPORATION, as Depositor (the
"Depositor"), U.S. BANK TRUST NATIONAL ASSOCIATION, as Trustee (the "Trustee")
and U.S. BANK TRUST NATIONAL ASSOCIATION, as Warrant Agent (the "Warrant
Agent").

                             W I T N E S S E T H:

     WHEREAS, the Depositor created Corporate Backed Trust Certificates,
Kinder Morgan Debenture-Backed Series 2002-6 Trust (the "Trust"), a trust
created under the laws of the State of New York pursuant to a Standard Terms
for Trust Agreements, dated as of January 16, 2001 (the "Agreement"), between
the Depositor and U.S. Bank Trust National Association, a national banking
association, not in its individual capacity but solely as Trustee (the
"Trustee"), as supplemented by the Series Supplement 2002-6, dated as of April
16, 2002 (the "Series Supplement" and, together with the Agreement, the "Trust
Agreement"), between the Depositor and the Trustee; and

     WHEREAS, in connection with the creation of the Trust and the deposit
therein of the Underlying Securities, it is desired to provide for the
issuance of trust certificates (the "Certificates") evidencing undivided
interests in the Trust and call warrants with respect to the Certificates
("Call Warrants").

     NOW, THEREFORE, in consideration of the foregoing premises and the mutual
covenants expressed herein, it is hereby agreed by and between the Depositor,
the Warrant Agent and the Trustee that except as otherwise specified herein or
as the context may otherwise require, capitalized terms used herein but not
defined herein shall have the respective meanings set forth below in the
Series Supplement, and as follows:

                                  ARTICLE I

                           EXERCISE OF CALL WARRANTS

     Section 1.1 Manner of Exercise. (a) Call Warrants may be exercised by any
holder thereof (each, a "Warrant Holder") in whole or in part on any Call
Date. The following conditions shall apply to any exercise of Call Warrants:

                (i) A notice (each, a "Call Notice") specifying the number of
        Call Warrants being exercised and the Call Date shall be delivered to
        the Warrant Agent and the Trustee at least 5 Business Days before such
        Call Date.

<PAGE>

                (ii) The Warrant Holder shall surrender the Call Warrants to
        the Warrant Agent at its office specified in Section 6.3 hereof no
        later than 10:00 a.m. (New York City time) on such Call Date.

                (iii) The Warrant Holder shall have made payment to the
        Warrant Agent, by wire transfer or other immediately available funds
        acceptable to the Warrant Agent, in the amount of the Call Price, no
        later than 10:00 a.m. (New York City time) on the Call Date.

                (iv) The Warrant Holder may not exercise the Call Warrants at
        any time when such Warrant Holder is insolvent, and such Warrant
        Holder shall be required to certify that it is solvent at the time of
        exercise, by completing the Form of Subscription attached to the Call
        Warrants and delivering such completed Form of Subscription to the
        Trustee on or prior to the Call Date and by delivering to the Trustee
        a form reasonably satisfactory to the Trustee of the opinion and the
        solvency certificate required pursuant to Section 7(d)(ii) of the
        Series Supplement.

                (v) The Warrant Holder shall have satisfied any other
        conditions to the exercise of Call Warrants set forth in Section 7(b)
        of the Series Supplement.

        (b) Upon exercise of Call Warrants, any Warrant Holder other than the
Depositor or any Affiliate of the Depositor shall be entitled to delivery by
the Trustee of the Called Certificates. The "Called Certificates" shall be
Certificates having a Certificate Principal Amount equal to $10 per Call
Warrant. Unless otherwise specified therein, such Call Notice shall be deemed
to be notice of an Optional Exchange pursuant to Section 7(a) of the Series
Supplement. Any Warrant Holder which is the Depositor or any Affiliate of the
Depositor shall receive the proceeds of the sale of the Called Underlying
Securities and shall not be entitled to receive the related Called
Certificates or Called Underlying Securities. "Called Underlying Securities"
are Underlying Securities which represent the same percentage of the
Underlying Securities as the Called Certificates represent of the
Certificates.

         (c) The Warrant Agent shall notify the Trustee immediately upon its
receipt of a Call Notice and upon receipt of payment of the Call Price. The
Warrant Agent shall transfer the amount of any paid Call Price to the Trustee
in immediately available funds, for deposit in the Certificate Account and
application pursuant to the Trust Agreement on the applicable Call Date (and,
pending such transfer, shall hold such amount for the benefit of the Warrant
Holder in a segregated trust account).

         (d) Delivery of a Call Notice does not give rise to an obligation on
part of the Warrant Holder to pay the Call Price. If, by 10:00 a.m. (New York
City time) on the Call Date, the Warrant Holder has not paid the Call Price,
then the Call Notice shall automatically expire and none of the Warrant
Holder, the Warrant Agent or the Trustee shall have any obligation with
respect to the Call Notice. The expiration of a Call Notice shall in no way
affect the Warrant Holder's right to deliver a Call Notice at a later date.

                                      2
<PAGE>

         Section 1.2 Transfer of Certificates. As soon as practicable after
each surrender of Call Warrants in whole or in part on the Call Date and upon
satisfaction of all other requirements described in the Call Warrants and in
Section 1.1 hereof, the Warrant Agent shall instruct the Trustee as follows:

              (a) if Call Warrants are being exercised by any Warrant Holder
other than the Depositor or any Affiliate of the Depositor, to cause the Called
Certificates to reflect the Warrant Holder's beneficial ownership of such
Certificates and if such Call Notice is also deemed to be a notice of Optional
Exchange, to cause a distribution of Underlying Securities to the Warrant
Holder in accordance with Section 7(a) of the Series Supplement, or

              (b) if the Call Warrants are being exercised by the Depositor or
any Affiliate of the Depositor, to cause the Called Underlying Securities to be
sold pursuant to Section 13 of the Series Supplement and to distribute the
proceeds of such sale to the Warrant Holder.

         If such exercise is in part only, the Warrant Agent shall instruct
the Trustee to authenticate new Call Warrants of like tenor, representing the
outstanding Call Warrants of the Warrant Holder and the Warrant Agent shall
deliver such Call Warrants to the Warrant Holder.

         In each case, the Trustee shall act in accordance with such
instructions.

         Section 1.3 Cancellation and Destruction of Call Warrants. All Call
Warrants surrendered to the Warrant Agent for the purpose of exercise (in
whole or in part) pursuant to Section 1.1 and actually exercised, or for the
purpose of transfer or exchange pursuant to Article III, shall be cancelled by
the Warrant Agent, and no Call Warrant (other than that reflecting any such
transfer or exchange) shall be issued in lieu thereof. The Warrant Agent shall
destroy all cancelled Call Warrants.

         Section 1.4 No Rights as Holder of Certificates Conferred by Call
Warrants. Prior to the exercise thereof, Call Warrants shall not entitle the
Warrant Holder to any of the rights of a holder of the Certificates,
including, without limitation, the right to receive the payment of any amount
on or in respect of the Certificates or to enforce any of the covenants of the
Trust Agreement.

                                  ARTICLE II

                           RESTRICTIONS ON TRANSFER

         Section 2.1 Restrictive Legends. Except as otherwise permitted by
this Article II, each Call Warrant (including each Call Warrant issued upon
the transfer of any Call Warrant) shall be issued with a legend in
substantially the following form:

         "This Call Warrant has not been registered under the Securities Act
of 1933, as amended, and may not be transferred, sold or otherwise disposed of
except while a registration under such Act is in effect or pursuant to an
exemption therefrom under such Act. The Call Warrant represented hereby may be
transferred only in compliance with the conditions specified in the Call
Warrants."

                                      3
<PAGE>

     Section 2.2 Notice of Proposed Transfer; Opinions of Counsel. Prior to
any transfer of any Call Warrant or portion thereof, the Warrant Holder will
give 5 Business Days (or such lesser period acceptable to the Warrant Agent)
prior written notice to the Warrant Agent of such Warrant Holder's intention
to effect such transfer.

                                 ARTICLE III

               REGISTRATION AND TRANSFER OF CALL WARRANTS, ETC.

     Section 3.1 Warrant Register; Ownership of Call Warrants. The Warrant
Agent will keep a register in which the Warrant Agent will provide for the
registration of Call Warrants and the registration of transfers of Call
Warrants representing numbers of Call Warrants. The Trustee and the Warrant
Agent may treat the Person in whose name any Call Warrant is registered on
such register as the owner thereof for all purposes, and the Trustee and the
Warrant Agent shall not be affected by any notice to the contrary.

     Section 3.2 Transfer and Exchange of Call Warrants. Upon surrender of any
Call Warrant for registration of transfer or for exchange to the Warrant
Agent, the Warrant Agent shall (subject to compliance with Article II) execute
and deliver, and cause the Trustee, on behalf of the Trust, to execute and
deliver, in exchange therefor, a new Call Warrant of like tenor and evidencing
a like number of Call Warrants, in the name of such Warrant Holder or as such
Warrant Holder (upon payment by such Warrant Holder of any applicable transfer
taxes or government charges) may direct; provided that as a condition
precedent for transferring the Call Warrants, the prospective transferee shall
be required to deliver to the Trustee and the Depositor an executed copy of
the Investment Letter (set forth as Exhibit C to the Series Supplement).

     Section 3.3 Replacement of Call Warrants. Upon receipt of evidence
reasonably satisfactory to the Warrant Agent of the loss, theft, destruction
or mutilation of any Call Warrant and, in the case of any such loss, theft or
destruction of any Call Warrant, upon delivery of an indemnity bond in such
reasonable amount as the Warrant Agent may determine, or, in the case of any
such mutilation, upon the surrender of such Call Warrant for cancellation to
the Warrant Agent, the Warrant Agent shall execute and deliver, and cause the
Trustee, on behalf of the Trust, to execute and deliver, in lieu thereof, a
new Call Warrant of like tenor bearing a number not contemporaneously
outstanding.

     Section 3.4 Execution and Delivery of Call Warrants by Trustee. The
Trustee, on behalf of the Trust, hereby agrees (subject to compliance with
Article II) to execute and deliver such new Call Warrants issued in accordance
with Section 1.2 or this Article III as the Warrant Agent shall request in
accordance herewith.

                                  ARTICLE IV

                                  DEFINITIONS

     As used herein, unless the context otherwise requires, the following
terms have the following respective meanings:

     "Business Day": As defined in the Trust Agreement.

                                      4
<PAGE>

     "Call Date": Any Business Day (i) on or after April 16, 2007, (ii) after
the Underlying Securities Issuer announces that it will redeem (in whole or in
part) or otherwise make an unscheduled payment on the Underlying Securities,
(iii) after the Trustee notifies the Certificateholders of any proposed sale
of the Underlying Securities pursuant to the provisions of this Series
Supplement or (iv) on which a tender offer for some or all of the Underlying
Securities is consummated.

     "Call Notice": As defined in Section 1.1(a)(i) hereof.

     "Call Price": Shall mean, for each related Call Date, 100% of the
outstanding Certificate Principal Balance of the Certificates being purchased
pursuant to the exercise of the Call Warrants, plus any accrued and unpaid
interest on such amount to but excluding the Call Date.

     "Call Warrant": As defined in the recitals.

     "Called Certificates": As defined in Section 1.1(b) hereof.

     "Called Underlying Securities": As defined in Section 1.1(b) hereof.

     "Closing Date": April 16, 2002.

     "Depositor": As defined in the recitals.

     "Depositor Order": As defined in the Trust Agreement.

     "Person": Any individual, corporation, partnership, joint venture,
association, joint stock company, trust (including any beneficiary thereof),
unincorporated organization or government or any agency or political
subdivision thereof.

     "Rating Agencies": Standard & Poor's Ratings Services and Moody's
Investors Service, Inc. and any successor thereto.

     "Responsible Officer": As defined in the Trust Agreement.

     "Securities Act": The Securities Act of 1933, or any similar federal
statute, and the rules and regulations of the Commission thereunder, all as
the same shall be in effect at the time.

     "Trust": As defined in the recitals.

     "Trust Agreement": As defined in the recitals.

     "Trustee": As defined in the recitals, or any successor thereto under the
Trust Agreement.

     "Warrant Agent": As defined in the recitals, or any successor thereto
under this Warrant Agent Agreement.

     "Warrant Agent Agreement": As defined in the recitals.

     "Warrant Holder": As defined in Section 1.1(a) hereof.

                                      5
<PAGE>

                                   ARTICLE V

                                 WARRANT AGENT

     Section 5.1 Limitation on Liability. The Warrant Agent shall be protected
and shall incur no liability for or in respect of any action taken, suffered
or omitted by it in connection with its administration of the Call Warrants in
reliance upon any instrument of assignment or transfer, power of attorney,
endorsement, affidavit, letter, notice, direction, consent, certificate,
statement or other paper or document in good faith believed by it to be
genuine and to be signed, executed and, where necessary, verified and
acknowledged, by the proper Person or Persons.

     Section 5.2 Duties of Warrant Agent. The Warrant Agent undertakes only
the specific duties and obligations imposed hereunder upon the following terms
and conditions, by all of which the Depositor, the Trust, the Trustee and each
Warrant Holder shall be bound:

         (a) The Warrant Agent may consult with legal counsel (who may be
legal counsel for the Depositor), and the opinion of such counsel shall be
full and complete authorization and protection to the Warrant Agent as to any
action taken or omitted by it in good faith and in accordance with such
opinion, provided the Warrant Agent shall have exercised reasonable care in
the selection by it of such counsel.

         (b) Whenever in the performance of its duties hereunder, the Warrant
Agent shall deem it necessary or desirable that any fact or matter be proved
or established by the Depositor or the Trustee prior to taking or suffering
any action hereunder, such fact or matter may be deemed to be conclusively
proved and established by a Depositor Order or a certificate signed by a
Responsible Officer of the Trustee and delivered to the Warrant Agent; and
such certificate shall be full authorization to the Warrant Agent for any
action taken or suffered in good faith by it hereunder in reliance upon such
certificate.

         (c) The Warrant Agent shall be liable hereunder only for its own
negligence, willful misconduct or bad faith.

         (d) The Warrant Agent shall not be liable for or by reason of any of
the statements of fact or recitals contained herein or be required to verify
the same, but all such statements and recitals are and shall be deemed to have
been made by the Trust and the Depositor only.

         (e) The Warrant Agent shall not have any responsibility in respect of
and makes no representation as to the validity of the Call Warrants or the
execution and delivery thereof (except the due execution hereof by the Warrant
Agent); nor shall it be responsible for any breach by the Trust of any
covenant or condition contained in the Call Warrants; nor shall it by any act
thereunder be deemed to make any representation or warranty as to the
Certificates to be purchased thereunder.

         (f) The Warrant Agent is hereby authorized and directed to accept
instructions with respect to the performance of its duties hereunder from the
Chairman of the Board, the Chief Executive Officer, Chief Financial Officer,
Chief Operating Officer, President, a Vice President, a Senior Vice President,
a Managing Director, its Treasurer, an Assistant Treasurer, its

                                      6
<PAGE>

Secretary or an Assistant Secretary of the Depositor, and any Responsible
Officer of the Trustee, and to apply to such officers for advice or
instructions in connection with its duties, and it shall not be liable for any
action taken or suffered to be taken by it in good faith in accordance with
instructions of any such officer.

         (g) The Warrant Agent and any shareholder, director, officer or
employee of the Warrant Agent may buy, sell or deal in any of the Call
Warrants or other securities of the Trust or otherwise act as fully and freely
as though it were not Warrant Agent hereunder, so long as such persons do so
in full compliance with all applicable laws. Nothing herein shall preclude the
Warrant Agent from acting in any other capacity for the Trust, the Depositor
or for any other legal entity.

         (h) The Warrant Agent may execute and exercise any of the rights or
powers hereby vested in it or perform any duty hereunder either itself or by
or through its attorneys or agents.

         (i) The Warrant Agent shall act solely as the agent of the Trust
hereunder. The Warrant Agent shall not be liable except for the failure to
perform such duties as are specifically set forth herein, and no implied
covenants or obligations shall be read into the Call Warrants against the
Warrant Agent, whose duties shall be determined solely by the express
provisions thereof. The Warrant Agent shall not be deemed to be a fiduciary.

         (j) The Warrant Agent shall not be responsible for any failure on the
part of the Trustee to comply with any of its covenants and obligations
contained herein.

         (k) The Warrant Agent shall not be under any obligation or duty to
institute, appear in or defend any action, suit or legal proceeding in respect
hereof, unless first indemnified to its satisfaction, but this provision shall
not affect the power of the Warrant Agent to take such action as the Warrant
Agent may consider proper, whether with or without such indemnity. The Warrant
Agent shall promptly notify the Depositor and the Trustee in writing of any
claim made or action, suit or proceeding instituted against it arising out of
or in connection with the Call Warrants.

         (l) The Trustee will perform, execute, acknowledge and deliver or
cause to be performed, executed, acknowledged and delivered all such further
acts, instruments and assurances as may be required by the Warrant Agent in
order to enable it to carry out or perform its duties hereunder.

     Section 5.3 Change of Warrant Agent. The Warrant Agent may resign and be
discharged from its duties hereunder upon thirty (30) days notice in writing
mailed to the Depositor and the Trustee by registered or certified mail, and
to the Warrant Holders by first-class mail at the expense of the Depositor;
provided that no such resignation or discharge shall become effective until a
successor Warrant Agent shall have been appointed hereunder. The Depositor may
remove the Warrant Agent or any successor Warrant Agent upon thirty (30) days
notice in writing, mailed to the Warrant Agent or successor Warrant Agent, as
the case may be, and to the Warrant Holders by first-class mail; provided
further that no such removal shall become effective until a successor Warrant
Agent shall have been appointed hereunder. If the

                                      7
<PAGE>

Warrant Agent shall resign or be removed or shall otherwise become incapable
of acting, the Depositor shall promptly appoint a successor to the Warrant
Agent, which may be designated as an interim Warrant Agent. If an interim
Warrant Agent is designated, the Depositor shall then appoint a permanent
successor to the Warrant Agent, which may be the interim Warrant Agent. If the
Depositor shall fail to make such appointment of a permanent successor within
a period of thirty (30) days after such removal or within sixty (60) days
after notification in writing of such resignation or incapacity by the
resigning or incapacitated Warrant Agent or by the Warrant Holder, then the
Warrant Agent or registered Warrant Holder may apply to any court of competent
jurisdiction for the appointment of such a successor. Any successor to the
Warrant Agent appointed hereunder must be rated in one of the four highest
rating categories by the Rating Agencies. Any entity which may be merged or
consolidated with or which shall otherwise succeed to substantially all of the
trust or agency business of the Warrant Agent shall be deemed to be the
successor Warrant Agent without any further action.

     Section 5.4 Warrant Agent Transfer Fee. In connection with the issuance
of any new Call Warrant (representing one or more Call Warrants) the Warrant
Agent will assess a fee of $50.00 upon the relevant Warrant Holder.

                                  ARTICLE VI

                                 MISCELLANEOUS

     Section 6.1 Remedies. The remedies at law of the Warrant Holder in the
event of any default or threatened default by the Warrant Agent in the
performance of or compliance with any of the terms of the Call Warrants are
not and will not be adequate and, to the full extent permitted by law, such
terms may be specifically enforced by a decree for the specific performance of
any agreement contained herein or by an injunction against a violation of any
of the terms thereof or otherwise.

     Section 6.2 Limitation on Liabilities of Warrant Holder. Nothing
contained in this Warrant Agent Agreement shall be construed as imposing any
obligation on the Warrant Holder to purchase any of the Certificates except in
accordance with the terms thereof.

     Section 6.3 Notices. All notices and other communications under this
Warrant Agent Agreement shall be in writing and shall be delivered, or mailed
by registered or certified mail, return receipt requested, by a nationally
recognized overnight courier, postage prepaid, addressed (a) if to any Warrant
Holder, at the registered address of such Warrant Holder as set forth in the
register kept by the Warrant Agent or (b) if to the Warrant Agent, to 100 Wall
Street, Suite 1600, New York, New York 10005, Attention: Corporate Trust or to
such other address notice of which the Warrant Agent shall have given to the
Warrant Holder and the Trustee or (c) if to the Trust or the Trustee, to the
Corporate Trust Office (as set forth in the Trust Agreement); provided that
the exercise of any Call Warrants shall be effective in the manner provided in
Article I. The Warrant Agent shall forward to the Warrant Holder any notices
received by it hereunder or pursuant to the Trust Agreement or this Agreement
by facsimile within one Business Day of receipt thereof.

                                      8
<PAGE>

     Section 6.4 Amendment. (a) This Warrant Agent Agreement may be amended
from time to time by the Depositor, the Trustee and the Warrant Agent without
the consent of any Warrant Holder, upon receipt of an opinion of counsel
satisfactory to the Warrant Agent that the provisions hereof have been
satisfied and that such amendment would not cause the Trust to be taxed as an
association or publicly traded partnership taxable as a Corporation under the
Code, for any of the following purposes: (i) to cure any ambiguity or to
correct or supplement any provision herein which may be defective or
inconsistent with any other provision herein or to provide for any other terms
or modify any other provisions with respect to matters or questions arising
under the Call Warrant which shall not adversely affect in any material
respect the interests of the Warrant Holder or any holder of a Certificate or
(ii) to evidence and provide for the acceptance of appointment hereunder of a
Warrant Agent other than U.S. Bank Trust National Association.

         (a) Without limiting the generality of the foregoing, the Call
Warrants may also be modified or amended from time to time by the Depositor,
the Trustee and the Warrant Agent with the consent of Warrant Holders of
66-2/3% of each of the Call Warrants related to the Certificates, upon receipt
of an opinion of counsel satisfactory to the Warrant Agent that the provisions
hereof (including, without limitation, the following proviso) have seen
satisfied, for the purpose of adding any provisions to or changing in any
manner or eliminating any of the provisions of the Call Warrants or of
modifying in any manner the rights of the Warrant Holders; provided, however,
that no such amendment shall (i) adversely affect in any material respect the
interests of holders of Certificates without the consent of the holders of
Certificates evidencing not less than the Required Percentage-Amendment of the
aggregate Voting Rights of such affected Certificates (as such terms are
defined in the Trust Agreement) and without written confirmation from the
Rating Agencies that such amendment will not result in a downgrading or
withdrawal of its rating of the Certificates; (ii) alter the terms on which
Call Warrants are exercisable or the amounts payable upon exercise of a
Warrant without the consent of the holders of Certificates evidencing not less
than 100% of the aggregate Voting Rights of such affected Certificates and
100% of the affected Warrant Holders or (iii) reduce the percentage of
aggregate Voting Rights required by (i) or (ii) without the consent of the
holders of all such affected Certificates. Notwithstanding any other provision
of this Warrant, this Section 6.4(b) shall not be amended without the consent
of 100% of the affected Warrant Holders.

         (b) Promptly after the execution of any such amendment or
modification, the Warrant Agent shall furnish a copy of such amendment or
modification to each Warrant Holder, to the Trustee and to the Rating
Agencies. It shall not be necessary for the consent of Warrant Holders or
holders of Certificates under this Section to approve the particular form of
any proposed amendment, but it shall be sufficient if such consent shall
approve the substance thereof. The manner of obtaining such consents and of
evidencing the authorization of the execution thereof shall be subject to such
reasonable regulations as the Warrant Agent may prescribe.

     Section 6.5 Expiration. The right to exercise the Call Warrants shall
expire on the earliest to occur of (a) the cancellation thereof, (b) the
termination of the Trust Agreement, or (c) the liquidation, disposition, or
maturity of all of the Underlying Securities.

                                      9
<PAGE>

     Section 6.6 Descriptive Headings. The headings in this Warrant Agent
Agreement are for purposes of reference only and shall not limit or otherwise
affect the meaning hereof.

     Section 6.7 GOVERNING LAW. THIS AGREEMENT SHALL BE CONSTRUED AND ENFORCED
IN ACCORDANCE WITH, AND THE RIGHTS OF THE PARTIES SHALL BE GOVERNED BY, THE
LAW OF THE STATE OF NEW YORK, WITHOUT REGARD TO PRINCIPLES OF CONFLICT OF
LAWS.

     Section 6.8 Judicial Proceedings; Waiver of Jury. Any judicial proceeding
brought against the Trust, the Trustee or the Warrant Agent with respect to
this Warrant Agent Agreement may be brought in any court of competent
jurisdiction in the County of New York, State of New York or of the United
States of America for the Southern District of New York and, by execution and
delivery of the Call Warrants, the Trustee on behalf of the Trust and the
Warrant Agent (a) accept, generally and unconditionally, the nonexclusive
jurisdiction of such courts and any related appellate court, and irrevocably
agree that the Trust, the Trustee and the Warrant Agent shall be bound by any
judgment rendered thereby in connection with this Warrant Agent Agreement or
the Call Warrants, subject to any rights of appeal, and (b) irrevocably waive
any objection that the Trust, the Trustee or the Warrant Agent may now or
hereafter have as to the venue of any such suit, action or proceeding brought
in such a court or that such court is an inconvenient forum.

     Section 6.9 Nonpetition Covenant; No Recourse. Each of (i) the Warrant
Holder by its acceptance thereof, and (ii) the Warrant Agent agrees, that it
shall not (and, in the case of the Warrant Holder, that it shall not direct
the Warrant Agent to), until the date which is one year and one day after the
payment in full of the Certificates and all other securities issued by the
Trust, the Depositor or entities formed, established or settled by the
Depositor, acquiesce, petition or otherwise invoke or cause the Trust, the
Depositor, or any such other entity to invoke the process of the United States
of America, any State or other political subdivision thereof or any entity
exercising executive, legislative, judicial, regulatory or administrative
functions of or pertaining to government for the purpose of commencing or
sustaining a case by or against the Trust, the Depositor or any such other
entity under a federal or state bankruptcy, insolvency or similar law or
appointing a receiver, liquidator, assignee, trustee, custodian, sequestrator
or other similar official of the Trust, the Depositor or any such other entity
or all or any part of the property or assets of Trust, the Depositor or any
such other entity or ordering the winding up or liquidation of the affairs of
the Trust, the Depositor or any such other entity.

                                      10
<PAGE>

     IN WITNESS WHEREOF, the parties hereto have caused their names to be
signed hereto by their respective duly authorized officers s of the date first
above written.

                               LEHMAN ABS CORPORATION,
                                  as Depositor

                               By:
                                   --------------------------------
                                   Name:   Rene Canezin
                                   Title:  Senior Vice President

                               U.S. BANK TRUST NATIONAL ASSOCIATION,
                                     not in its individual
                                     capacity but solely as
                                     Trustee and Authenticating Agent

                               By:
                                    --------------------------------
                                    Name:   David Kolibachuk
                                    Title:  Vice President

                               U.S. BANK TRUST NATIONAL ASSOCIATION,
                                     as Warrant Agent

                               By:
                                    ---------------------------------
                                    Name:   David Kolibachuk
                                    Title:  Vice President

                                      11

<PAGE>

                                   EXHIBIT C
                           FORM OF INVESTMENT LETTER

                         QUALIFIED INSTITUTIONAL BUYER

                                                     Dated:___________________

U.S. Bank Trust National Association,
100 Wall Street
New York, New York 10005

Lehman Brothers Inc.
745 Seventh Avenue
New York, New York  10019

Lehman ABS Corporation
745 Seventh Avenue
New York, New York  10019

          Ladies and Gentlemen:

     In connection with our proposed purchase of ___________ Call Warrants
(the "Call Warrants") representing an interest in the Corporate Backed Trust
Certificates, Kinder Morgan Debenture-Backed Series 2002-6 Trust (the
"Trust"), the investor on whose behalf the undersigned is executing this
letter (the "Purchaser") confirms that:

     (1) Reference is made to the Prospectus Supplement, dated April 4, 2002
(the "Prospectus Supplement"), with respect to the Certificates to which the
Call Warrants relate. Capitalized terms used herein that are not otherwise
defined shall have the meanings ascribed thereto in the Prospectus Supplement.
The Purchaser has received a copy of the Prospectus Supplement and such other
information as the Purchaser deems necessary in order to make its investment
decision and the Purchaser has been provided the opportunity to ask questions
of, and receive answers from, the Depositor and the Underwriters, concerning
the terms and conditions of the Call Warrants. The Purchaser has received and
understands the above, and understands that substantial risks are involved in
an investment in the Call Warrants. The Purchaser represents that in making
its investment decision to acquire the Call Warrants, the Purchaser has not
relied on representations, warranties, opinions, projections, financial or
other information or analysis, if any, supplied to it by any person, including
you, the Depositor or the Trustee or any of your or their affiliates, except
as expressly contained in the Prospectus Supplement and in the other written
information, if any, discussed above. The Purchaser has such knowledge and
experience in financial and business matters as to be capable of evaluating
the merits and risks of an investment in the Call Warrants, and the Purchaser
is able to bear the substantial economic risks of such an investment. The
Purchaser has relied upon its own tax, legal and financial advisors in
connection with its decision to purchase the Call Warrants.

     (2) The Purchaser is (A) a "Qualified Institutional Buyer" (as defined in
Rule 144A under the Securities Act of 1933, as amended (the "1933 Act")) and
(B) acquiring the Call Warrants for its own account or for the account of an
investor of the type described in clause (A) above as to

                                      C-1
<PAGE>

each of which the Purchaser exercises sole investment discretion. The
Purchaser is purchasing the Call Warrants for investment purposes and not with
a view to, or for, the offer or sale in connection with, a public distribution
or in any other manner that would violate the 1933 Act or the securities or
blue sky laws of any state.

     (3) The Purchaser understands that the Call Warrants have not been and
will not be registered under the 1933 Act or under the securities or blue sky
laws of any state, and that (i) if it decides to resell, pledge or otherwise
transfer any Call Warrant, such Call Warrant may be resold, pledged or
transferred without registration only to an entity that has delivered to the
Depositor and the Trustee a certification that it is a Qualified Institutional
Buyer that purchases (1) for its own account or (2) for the account of such a
Qualified Institutional Buyer, that is, in either case, aware that the resale,
pledge or transfer is being made in reliance on said Rule 144A and (ii) it
will, and each subsequent holder will be required to, notify any purchaser of
any Call Warrant from it of the resale restrictions referred to in clause (i)
above.

     (4) The Purchaser understands that each of the Call Warrants will bear a
legend to the following effect, unless otherwise agreed by the Depositor and
the Trustee:

     "THIS CALL WARRANT HAS NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF
1933, AS AMENDED, AND MAY NOT BE TRANSFERRED, SOLD OR OTHERWISE DISPOSED OF
EXCEPT WHILE A REGISTRATION UNDER SUCH ACT IS IN EFFECT OR PURSUANT TO AN
EXEMPTION THEREFROM UNDER SUCH ACT. THIS CALL WARRANT REPRESENTED HEREBY MAY
BE TRANSFERRED ONLY IN COMPLIANCE WITH THE CONDITIONS SPECIFIED IN THIS CALL
WARRANT."

     (5) The Purchaser understands that no subsequent transfer of the Call
Warrants is permitted unless it causes its proposed transferee to provide to
the Depositor and the initial Warrant Holder a letter substantially in the
form of Exhibit C to the Series Supplement, as applicable, or such other
written statement as the Depositor shall prescribe.

     (6) The Purchaser agrees that if at some time in the future it wishes to
transfer or exchange any of the Call Warrants, it will not transfer or
exchange any of the Call Warrants unless such transfer or exchange is in
accordance with Section 3.2 of the Warrant Agent Agreement. The Purchaser
understands that any purported transfer of the Call Warrants (or any interest
therein) in contravention of any of the restrictions and conditions in the
Trust Agreement, as applicable, shall be void, and the purported transferee in
such transfer shall not be recognized by the Trust or any other Person as a
Warrant Holder.

                                     C-2

<PAGE>

     You and the Trustee are entitled to rely upon this letter and are
irrevocably authorized to produce this letter or a copy hereof to any
interested party in any administrative or legal proceeding or official inquiry
with respect to the matters covered hereby.

                                       Very truly yours,

                                       By:
                                          -------------------------------------
                                       Name:
                                       Title:

                                       Medallion Stamp to be affixed here

                                     C-3

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