Document:

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                                                                EXHIBIT 10.11

               SECOND AMENDED AND RESTATED BUSINESS LOAN AGREEMENT

This Second Amended and Restated Agreement dated as of May 30, 2000 (this
"Agreement") is between Bank of America, N.A. (the "Bank") and TRM Corporation
(the "Borrower") and supersedes the First Amended and Restated Business Loan
Agreement between Bank and Borrower dated as of March 29, 2000, under which Bank
provided a standby letter of credit to which Section 1.6 now applies.

1.         LINE OF CREDIT AMOUNT AND TERMS

1.1        LINE OF CREDIT AMOUNT.

(a)        During the availability period described below, the Bank will provide
a line of credit to the Borrower. The amount of the line of credit (the
"Commitment") is equal to the amount indicated for each period specified below:

<TABLE>
<CAPTION>
      PERIOD                                                                 AMOUNT

      <S>                                                            <C>
      From the date of this Agreement through June 30, 2001          $30,000,000.00

      From July 1, 2001 through June 30, 2002                        $25,000,000.00
</TABLE>

(b)        This is a revolving line of credit providing for cash advances.
During the availability period, the Borrower may repay principal amounts and
reborrow them.

(c)        If Borrower sells or disposes of any interest in TRM ATM Corporation
such that Borrower no longer holds more than 50% of the ownership and voting
interests in such Corporation, the Commitment shall automatically be reduced to
Ten Million Dollars ($10,000,000.00).

(d)        Upon three (3) Banking Days' prior written notice to the Bank,
Borrower may, at any time, and from time to time, permanently and irrevocably
reduce the Commitment in an amount of not less than Five Hundred Thousand
Dollars ($500,000.00) to an amount not less than the outstanding principal
amount of advances at such time; provided, however, any such reduction which
occurs before July 1, 2001 shall not apply to reduce the Commitment for the
period July 1, 2001 through June 30, 2002 except to the extent that all
reductions prior to July 1, 2001 exceed in the aggregate Five Million Dollars
($5,000,000.00). Any such reduction shall be accompanied by the payment of all
accrued and unpaid fees with respect to the portion of the Commitment being
reduced.

(e)        The Borrower agrees not to permit the outstanding principal balance
of advances under the line of credit to exceed the Commitment.

1.2        COMMITMENT PERIOD. The line of credit is available between the date
of this Agreement and June 30, 2002 or such earlier date as the Commitment may
terminate as provided in this Agreement (the "Expiration Date").

1.3        INTEREST RATE.

(a)        Unless the Borrower elects an optional interest rate as described
below, the interest rate is the Bank's Prime Rate plus the Applicable Margin set
forth under the appropriate heading in Section 1.5 below. Interest will be
calculated on the basis of a 360-day year and actual days elapsed, which results
in more interest than if a 365-day year were used.

(b)        The Prime Rate is the rate of interest publicly announced from time
to time by the Bank as its Prime Rate. The Prime Rate is set by the Bank based
on various factors, including the Bank's costs and desired return, general
economic conditions and other factors, and is used as a reference point for
pricing some loans. The Bank may price loans to its customers at, above, or
below the Prime Rate. Any change in the Prime Rate shall take effect at the
opening of business on the day specified in the public announcement of a change
in the Bank's Prime Rate.

1.4        REPAYMENT TERMS.

Second Amended and Restated Loan Agreement - Page 1

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(a)        The Borrower will pay interest on April 30, 2000, and then at the end
of each month thereafter until payment in full of any principal outstanding
under this line of credit; provided, however, that interest on any Portion
bearing interest at an IBOR Rate or a LIBOR Rate shall be paid at the end of
each interest period until payment in full of any principal outstanding under
this line of credit.

(b)        The Borrower will repay the principal balance of advances so that
such balance at no time exceeds the Commitment.

(c)        Borrower will repay the principal amount of advances by an amount
equal to the amount of any financing secured by ATM machines unless Borrower
demonstrates to the satisfaction of the Bank that the ATM machines in which
security interests are to be created were financed from sources other than the
Bank. This repayment shall be made whether such financing is obtained by
Borrower, TRM ATM Corporation or any other affiliate of Borrower.

(d)        If Borrower has not prepaid the principal balance of the advances in
full on or before the Expiration Date, the Borrower will repay the principal
amount of the advances outstanding on the Expiration Date in 36 successive equal
monthly installments starting July 31, 2002. On June 30, 2005, the Borrower will
repay the remaining principal balance of the advances plus any interest then
due. This is called the "Term Repayment Option."

(e)        The Borrower may prepay the advances in full or in part at any time.
The prepayment will be applied to the most remote payment of principal due under
this Agreement.

1.5        APPLICABLE MARGIN. The Applicable Margin shall be the following
amounts per annum, based upon the ratio of Funded Debt to EBITDA (as defined in
the "Covenants" section of this Agreement), as set forth in the most recent
compliance certificate received by the Bank as required in the "Covenants"
section; provided, however, that, until the Bank receives the first compliance
certificate, such amounts shall be those indicated for pricing level 4 set forth
below:

<TABLE>
<CAPTION>
                                                                              Applicable Margin
                                                                      (in percentage points per annum)
        Pricing
         Level          Ratio                                       Prime Rate +                LIBOR / IBOR Rate +
         -----          -----                                       ------------                -------------------
        <S>        <C>                                              <C>                         <C>
           1          greater than 2.00:1.0                            0.25%                          2.25%
                   greater than 1.75:1.0 but less than or equal to
           2           2.00:1.0                                        0.00%                          2.00%
                   greater than 1.25:1.0 but less than or equal to
           3           1.75:1.0                                        0.00%                          1.75%
                   greater than 0.00:1.0 but less than or equal to
           4           1.25:1.0                                        0.00%                          1.50%
</TABLE>

The Applicable Margin shall be in effect from the date the most recent
compliance certificate is received by the Bank until the date the next
compliance certificate is received; provided, however, that if the Borrower
fails to deliver the next compliance certificate within thirty (30) days of the
date it is due, the Applicable Margin from the date such compliance certificate
was due until the date such compliance certificate is received by the Bank shall
be the highest pricing level set forth above, whereupon the pricing level shall
be based on the ratio reflected in such compliance certificate. Pricing to be
set quarterly. If the Term Repayment Option is chosen, the Applicable Margin for
every interest rate will increase 0.25%

1.6        LETTERS OF CREDIT.

(a)        The line of credit may be used for financing standby letters of
credit (either in U.S. or foreign currency) with a maximum maturity of two years
but not to extend beyond the Expiration Date. The standby letters of credit may
include a provision providing that the maturity date will be automatically
extended each year for an additional year unless the Bank gives written notice
to the contrary; provided, however, that each letter of credit must include a
final maturity date not later than the Expiration Date which will not be subject
to automatic extension.

(b)        The amount of the standby letters of credit outstanding at any one
time (including amounts drawn on the letters of credit and not yet reimbursed)
may not exceed Three Million Dollars ($3,000,000.00), which sum is a sub-limit
included within the Commitment and is not in addition thereto.

Second Amended and Restated Loan Agreement - Page 2

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(c)        Any sum drawn under a standby letter of credit may, at the option of
the Bank, be added to the principal amount outstanding under this Agreement. The
amount will bear interest and be due as described elsewhere in this Agreement.

(d)        If there is an Event of Default under this Agreement, Borrower shall
immediately prepay and make the Bank whole for any outstanding letters of
credit.

(e)        The issuance of any letter of credit and any amendment to any letter
of credit is subject to the Bank's written approval and must be in form and
content satisfactory to the Bank and in favor of a beneficiary acceptable to the
Bank.

(f)        Borrower shall sign the Bank's form Application and Agreement for
Standby Letter of Credit.

(g)        Borrower agrees to pay the Bank a non-refundable fee equal to the
Applicable Margin for LIBOR/IBOR Rate described in Section 1.5 less 25 basis
points applied to the outstanding undrawn amount of each standby letter of
credit. Such fee shall be calculated and payable on the date each letter of
credit is issued, and quarterly in advance thereafter, calculated on the basis
of the face amount outstanding on the day the fee is calculated, and utilizing
the Applicable Margin in effect on such date.

2.         OPTIONAL INTEREST RATES

2.1        OPTIONAL RATES. Instead of the interest rate based on the Bank's
Prime Rate, the Borrower may elect the optional interest rates listed below
during interest periods agreed to by the Bank and the Borrower. The optional
interest rates shall be subject to the terms and conditions described later in
this Agreement. Any principal amount bearing interest at an optional rate under
this Agreement is referred to as a "Portion". Each optional interest rate is a
rate per year. Interest will be paid on the last day of each interest period. At
the end of any interest period, the interest rate will revert to the rate based
on the Prime Rate, unless the Borrower has designated another optional interest
rate for the Portion. No Portion will be converted to a different interest rate
during the applicable interest period, although the Applicable Margin can be
changed pursuant to Section 1.5. Upon the occurrence, and during the
continuation, of an Event of Default under this Agreement, the Bank may
terminate the availability of optional interest rates for interest periods
commencing after the Event of Default occurs. The following optional interest
rates are available:

(a)        IBOR Rates.

(b)        LIBOR Rates.

2.2        IBOR RATE.  The election of IBOR Rates shall be subject to the
following terms and requirements:

(a)        The interest period during which the IBOR Rate will be in effect will
be 90 days or less. The last day of the interest period will be determined by
the Bank using the practices of the offshore dollar inter-bank market.

(b)        Each IBOR Rate Portion will be for an amount not less than the
following:

           (i)       for interest periods of between 7 days and 90 days, One
                     Million Dollars ($1,000,000).

           (ii)      for interest periods of between 7 days and 15 days, an
                     amount which, when multiplied by the number of days in the
                     applicable interest period, is not less than fifteen
                     million (15,000,000) dollar-days.

(c)        The Borrower may not elect an IBOR Rate with respect to any principal
amount which is scheduled to be repaid before the last day of the applicable
interest period.

(d)        The "IBOR Rate" means the interest rate determined by the following
formula, rounded upward to the nearest 1/100 of one percent. (All amounts in the
calculation will be determined by the Bank as of the first day of the interest
period.)

<TABLE>
        <S>            <C>
        IBOR Rate =                   IBOR Base Rate         plus the Applicable Margin
                        -------------------------------------
                           (1.00 - Reserve Percentage)
</TABLE>

Second Amended and Restated Loan Agreement - Page 3

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           Where,

           (i)       "IBOR Base Rate" means the interest rate at which the
                     Bank's Grand Cayman Branch, Grand Cayman, British West
                     Indies, would offer U.S. dollar deposits for the applicable
                     interest period to other major banks in the offshore dollar
                     inter-bank market.

           (ii)      "Reserve Percentage" means the total of the maximum reserve
                     percentages for determining the reserves to be maintained
                     by member banks of the Federal Reserve System for
                     Eurocurrency Liabilities, as defined in Federal Reserve
                     Board Regulation D, rounded upward to the nearest 1/100 of
                     one percent. The percentage will be expressed as a decimal,
                     and will include, but not be limited to, marginal,
                     emergency, supplemental, special, and other reserve
                     percentages.

(e)        Each prepayment of an IBOR Rate Portion, whether voluntary, by reason
of acceleration or otherwise, will be accompanied by the amount of accrued
interest on the amount prepaid, and a prepayment fee as described below. A
"prepayment" is a payment of an amount on a date earlier than the scheduled
payment date for such amount as required by this Agreement.

(f)        The prepayment fee shall be in an amount sufficient to compensate the
Bank for any loss, cost or expense incurred by it as a result of the prepayment,
including any loss of anticipated profits and any loss or expense arising from
the liquidation or reemployment of funds obtained by it to maintain such Portion
or from fees payable to terminate the deposits from which such funds were
obtained. The Borrower shall also pay any customary administrative fees charged
by the Bank in connection with the foregoing. For purposes of this paragraph,
the Bank shall be deemed to have funded each Portion by a matching deposit or
other borrowing in the applicable interbank market, whether or not such Portion
was in fact so funded.

(g)        The Bank will have no obligation to accept an election for an IBOR
Rate Portion if any of the following described events has occurred and is
continuing:

           (i)       Dollar deposits in the principal amount, and for periods
                     equal to the interest period, of an IBOR Rate Portion are
                     not available in the offshore dollar inter-bank market; or

           (ii)       the IBOR Rate does not accurately reflect the cost of an
                      IBOR Rate Portion.

2.3        LIBOR RATE.  The election of LIBOR Rates shall be subject to the
following terms and requirements:

(a)        The interest period during which the LIBOR Rate will be in effect
will be one, two, or three months. The first day of the interest period must be
a day other than a Saturday or a Sunday on which the Bank is open for business
in New York and London and dealing in offshore dollars (a "LIBOR Banking Day").
The last day of the interest period and the actual number of days during the
interest period will be determined by the Bank using the practices of the London
inter-bank market.

(b)        Each LIBOR Rate Portion will be for an amount not less than the
following:

           (i)        for interest periods of one, two or three months, One
                      Million Dollars ($1,000,000).

(c)        The "LIBOR Rate" means the interest rate determined by the following
formula, rounded upward to the nearest 1/100 of one percent. (All amounts in the
calculation will be determined by the Bank as of the first day of the interest
period.)
<TABLE>
     <S>          <C>
     LIBOR Rate =         London Inter-Bank Offered Rate   plus the Applicable Margin
                  ----------------------------------------
                          (1.00 - Reserve Percentage)
</TABLE>

           Where,

           (i)       "London Inter-Bank Offered Rate" means the interest rate at
                     which the Bank's London Branch, London, Great Britain,
                     would offer U.S. dollar deposits for the applicable
                     interest period to other major banks in the London
                     inter-bank market at approximately 11:00 a.m. London time
                     two (2) London Banking Days before the commencement of the
                     interest period. A "London Banking Day"

Second Amended and Restated Loan Agreement - Page 4

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                     is a day on which the Bank's London Banking Center is open
                     for business and dealing in offshore dollars.

           (ii)      "Reserve Percentage" means the total of the maximum reserve
                     percentages for determining the reserves to be maintained
                     by member banks of the Federal Reserve System for
                     Eurocurrency Liabilities, as defined in Federal Reserve
                     Board Regulation D, rounded upward to the nearest 1/100 of
                     one percent. The percentage will be expressed as a decimal,
                     and will include, but not be limited to, marginal,
                     emergency, supplemental, special, and other reserve
                     percentages.

(d)        The Borrower shall irrevocably request a LIBOR Rate Portion no later
than 12:00 noon time on the LIBOR Banking Day preceding the day on which the
London Inter-Bank Offered Rate will be set, as specified above. For example, if
there are no intervening holidays or weekend days in any of the relevant
locations, the request must be made at least three days before the LIBOR Rate
takes effect.

(e)        The Borrower may not elect a LIBOR Rate with respect to any principal
amount which is scheduled to be repaid before the last day of the applicable
interest period.

(f)        Each prepayment of a LIBOR Rate Portion, whether voluntary, by reason
of acceleration or otherwise, will be accompanied by the amount of accrued
interest on the amount prepaid and a prepayment fee as described below. A
"prepayment" is a payment of an amount on a date earlier than the scheduled
payment date for such amount as required by this Agreement.

(g)        The prepayment fee shall be in an amount sufficient to compensate the
Bank for any loss, cost or expense incurred by it as a result of the prepayment,
including any loss of anticipated profits and any loss or expense arising from
the liquidation or reemployment of funds obtained by it to maintain such Portion
or from fees payable to terminate the deposits from which such funds were
obtained. The Borrower shall also pay any customary administrative fees charged
by the Bank in connection with the foregoing. For purposes of this paragraph,
the Bank shall be deemed to have funded each Portion by a matching deposit or
other borrowing in the applicable interbank market, whether or not such Portion
was in fact so funded.

(h)        The Bank will have no obligation to accept an election for a LIBOR
Rate Portion if any of the following described events has occurred and is
continuing:

           (i)       Dollar deposits in the principal amount, and for periods
                     equal to the interest period, of a LIBOR Rate Portion are
                     not available in the London inter-bank market; or

           (ii)       the LIBOR Rate does not accurately reflect the cost of a
                      LIBOR Rate Portion.

3.         FEES AND EXPENSES

3.1        FEES.

(a)        LOAN FEE. The Borrower agrees to pay a loan fee in the amount of
Twenty Five Thousand and 00/100 Dollars ($25,000.00). This fee is due on or
before the date of this Agreement. On the Expiration Date, the Borrower shall to
pay a one time loan fee of 0.25% of the principal balance unpaid on the
Expiration Date.

(b)        UNUSED COMMITMENT FEE. The Borrower agrees to pay a fee on any
difference between the Commitment and the amount of credit it actually uses
(including, for this purpose, outstanding standby letters of credit), determined
by the weighted average credit outstanding during the specified period. The fee
will be calculated at 0.125% and charged quarterly in arrears.

3.2        EXPENSES. The Borrower agrees to immediately repay the Bank for
expenses that include, but are not limited to, filing, recording and search
fees, appraisal fees, title report fees and documentation fees.

3.3        REIMBURSEMENT COSTS.

(a)        The Borrower agrees to reimburse the Bank for any expenses it incurs
in the preparation of this Agreement and any agreement or instrument required by
this Agreement in excess of those fees and costs listed above. Expenses include,
but are not limited to, reasonable attorneys' fees, including any allocated
costs of the Bank's in-house counsel.

Second Amended and Restated Loan Agreement - Page 5

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(b)        The Borrower agrees to reimburse the Bank for the cost of periodic
appraisals of the personal property collateral securing this Agreement, at such
intervals as the Bank may reasonably require. The appraisals may be performed by
employees of the Bank or by independent appraisers. In the absence of an Event
of Default which is continuing, the Bank will not charge Borrower for more than
one (1) periodic appraisal per year.

4.         COLLATERAL AND GUARANTIES

4.1        PERSONAL PROPERTY. The Borrower's obligations to the Bank under this
Agreement will be secured by personal property the Borrower now owns or will own
in the future as listed below. The collateral is further defined in the pledge
agreement and security agreement(s) executed by the Borrower. In addition, all
personal property collateral securing this Agreement shall also secure all other
present and future obligations of the Borrower to the Bank (excluding any
consumer credit covered by the federal Truth in Lending law, unless the Borrower
has otherwise agreed in writing). All personal property collateral securing any
other present or future obligations of the Borrower to the Bank shall also
secure this Agreement.

(a)        Machinery and equipment, excluding ATM machines.

(b)        Inventory, excluding ATM machines.

(c)        Receivables.

(d)        General intangibles, excluding general intangibles relating to ATM
machines.

(e)        Contract rights, excluding contract rights relating to ATM machines.

(f)        100% of the shares of stock or other equity interests in TRM Copy
Centers (USA) Corporation.

4.2        LENT COLLATERAL - TRM COPY CENTERS (USA) CORPORATION. The
Borrower's obligations to the Bank under this Agreement will be secured by
personal property now owned or owned in the future by TRM Copy Centers (USA)
Corporation as listed below. The collateral is further defined in security
agreement(s) executed by TRM Copy Centers (USA) Corporation.

(a)        Machinery and equipment.

(b)        Inventory.

(c)        Receivables.

(d)        General intangibles

(e)        Contract rights.

(f)        100% of the shares of stock or other equity interests in FPC France
Ltd. And TRM Copy Centres (Overseas) Ltd.

(g)        Sixty-five percent (65%) of the shares of stock or other equity
interests in TRM Copy Centres (Canada) Ltd.

4.3        LENT COLLATERAL - TRM COPY CENTRES (OVERSEAS) LTD.

             Borrower's obligations to the Bank under this Agreement will be
secured by sixty-five percent (65%) of the shares of stock or other equity
interests in TRM Copy Centres (U.K.) Ltd., which are owned by TRM Copy Centres
(Overseas) Ltd. TRM Copy Centres (U.K.) Ltd. and TRM Copy Centres (Canada) Ltd.
are referred to in this Agreement as the "Material Foreign Subsidiaries."

4.4        SUBSIDIARY GUARANTIES. The Borrower's obligations to the Bank under
this Agreement will be guaranteed by TRM Copy Centers (USA) Corporation, TRM
Copy Centres (Overseas) Ltd. and FPC France Ltd. The foregoing are called
"Guarantors."

Second Amended and Restated Loan Agreement - Page 6

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5.         DISBURSEMENTS, PAYMENTS AND COSTS

5.1        REQUESTS FOR CREDIT. Each request for an extension of credit will be
made in writing in a manner acceptable to the Bank, or by another means
acceptable to the Bank.

5.2        DISBURSEMENTS AND PAYMENTS. Each disbursement by the Bank and each
payment by the Borrower will be:

(a)        made at the Bank's branch (or other location) selected by the Bank in
consultation with the Borrower, from time to time;

(b)        made for the account of the Bank's branch selected by the Bank in
consultation with the Borrower, from time to time;

(c)        made in immediately available funds;

(d)        evidenced by records kept by the Bank. In addition, the Bank may, at
its discretion, require the Borrower to sign one or more promissory notes.

5.3        TELEPHONE AND TELEFAX AUTHORIZATION.

(a)        The Bank may honor telephone or telefax instructions for advances or
repayments or for the designation of optional interest rates given, or purported
to be given, by any one of the individuals authorized to sign loan agreements on
behalf of the Borrower, or any other individual designated by any one of such
authorized signers.

(b)        Advances will be deposited in and repayments will be withdrawn from
the Borrower's account number 28011-01047, or such other of the Borrower's
accounts with the Bank as designated in writing by the Borrower.

(c)        The Borrower will indemnify and hold the Bank harmless from all
liability, loss, and costs in connection with any act resulting from telephone
or telefax instructions the Bank reasonably believes are made by any individual
authorized by the Borrower to give such instructions. This paragraph will
survive this Agreement's termination, and will benefit the Bank and its
officers, employees, and agents.

5.4        DIRECT DEBIT (PRE-BILLING).

(a)        The Borrower agrees that the Bank will debit the Borrower's deposit
account number 28011-01047, or such other of the Borrower's accounts with the
Bank as designated in writing by the Borrower (the "Designated Account") on the
date each payment of principal and interest and any fees from the Borrower
becomes due (the "Due Date"). If the Due Date is not a Banking Day, the
Designated Account will be debited on the next Banking Day.

(b)        Approximately 5 days prior to each Due Date, the Bank will mail to
the Borrower a statement of the amounts that will be due on that Due Date (the
"Billed Amount"). The calculation will be made on the assumption that no new
extensions of credit or payments will be made between the date of the billing
statement and the Due Date, and that there will be no changes in the applicable
interest rate.

(c)        The Bank will debit the Designated Account for the Billed Amount,
regardless of the actual amount due on that date (the "Accrued Amount"). If the
Billed Amount debited to the Designated Account differs from the Accrued Amount,
the discrepancy will be treated as follows:

           (i)       If the Billed Amount is less than the Accrued Amount, the
                     Billed Amount for the following Due Date will be increased
                     by the amount of the discrepancy. The Borrower will not be
                     in default by reason of any such discrepancy.

           (ii)      If the Billed Amount is more than the Accrued Amount, the
                     Billed Amount for the following Due Date will be decreased
                     by the amount of the discrepancy.

                     Regardless of any such discrepancy, interest will continue
                     to accrue based on the actual amount of principal
                     outstanding without compounding. The Bank will not pay the
                     Borrower interest on any overpayment.

Second Amended and Restated Loan Agreement - Page 7

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(d)        The Borrower will maintain sufficient funds in the Designated Account
to cover each debit. If there are insufficient funds in the Designated Account
on the date the Bank enters any debit authorized by this Agreement, the debit
will be reversed.

5.5        BANKING DAYS. Unless otherwise provided in this Agreement, a Banking
Day is a day other than a Saturday, Sunday or other day on which the Bank is
open for business in Oregon. All payments and disbursements which would be due
on a day which is not a Banking Day will be due on the next Banking Day. All
payments received on a day which is not a Banking Day will be applied to the
credit on the next Banking Day.

5.6        ADDITIONAL COSTS. The Borrower will pay the Bank, on demand, for the
Bank's costs or losses arising from any statute or regulation, or any request or
requirement of a regulatory agency which is applicable to all national banks or
a class of all national banks. The costs and losses will be allocated to the
loan in a manner determined by the Bank, using any reasonable method. The costs
include the following:

(a)        any reserve or deposit requirements; and

(b)        any capital requirements relating to the Bank's assets and
commitments for credit.

5.7        INTEREST CALCULATION. Except as otherwise stated in this Agreement,
all interest and fees, if any, will be computed on the basis of a 360-day year
and the actual number of days elapsed. This results in more interest or a higher
fee than if a 365-day year is used. Installments of principal which are not paid
when due under this Agreement shall continue to bear interest until paid.

5.8        DEFAULT RATE. Upon the occurrence of and during the continuation of
any Event of Default under this Agreement, principal amounts outstanding under
this Agreement will at the option of the Bank bear interest at a rate which is
two (2) percentage point(s) higher than the rate of interest otherwise provided
under this Agreement. This will not constitute a waiver of any Event of Default.

6.         CONDITIONS

Before the Bank is required to extend any additional credit to the Borrower
under this Agreement, it must receive any documents and other items it may
reasonably require as conditions precedent to such extensions of credit, except
as provided in the "Open Terms Letter" between the parties executed the same
date as this Agreement:

6.1        AUTHORIZATIONS. Evidence that the execution, delivery and performance
by the Borrower and each Guarantor of this Agreement and any instrument or
agreement required under this Agreement have been duly authorized.

6.2        GOVERNING DOCUMENTS. A copy of the Borrower's articles of
incorporation.

6.3        SECURITY AGREEMENTS. (i) Original security agreements signed by
Borrower and by TRM Copy Centers (USA) Corporation, (ii) original pledge
agreements signed by Borrower and TRM Copy Centers (USA) Corporation covering
all of the equity securities of the Guarantors, (iii) original pledge agreements
signed by TRM Copy Centers (USA) Corporation and TRM Copy Centres (Overseas)
Ltd. covering sixty-five percent (65%) of the equity securities of the Material
Foreign Subsidiaries, and (iv) such assignments, financing statements, fixture
filings and delivery of pledged securities indorsed in blank, which the Bank
requires in connection with such security agreements and pledge agreement, all
in form and substance satisfactory to Bank..

6.4        EVIDENCE OF PRIORITY. Evidence that security interests and liens in
favor of the Bank are valid, enforceable, and prior to all others' rights and
interests, except those the Bank consents to in writing.

6.5        INSURANCE. Evidence of insurance coverage, as required in the
"Covenants" section of this Agreement.

6.6        GUARANTIES. Guaranties signed by TRM Copy Centers (USA) Corporation,
TRM Copy Centres (Overseas) Ltd. and FPC France Ltd.

6.7        LEGAL OPINION. Written opinions from the Borrower's Oregon legal
counsel, covering such matters as the Bank may require. The legal counsel and
the terms of the opinion must be acceptable to the Bank.

Second Amended and Restated Loan Agreement - Page 8

<PAGE>

6.8        GOOD STANDING. Certificates of good standing or existence for the
Borrower and each Guarantor and Material Foreign Subsidiary from its state or
country of formation.

6.9        OTHER ITEMS. Any other items that the Bank reasonably requires.

7.         REPRESENTATIONS AND WARRANTIES

When the Borrower signs this Agreement, and until the Bank is repaid in full,
the Borrower makes the following representations and warranties. Each request
for an extension of additional credit constitutes a renewed representation:

7.1        ORGANIZATION OF BORROWER. The Borrower, each Guarantor and each
Material Foreign Subsidiary is a corporation duly formed and existing under the
laws of the state or jurisdiction where organized.

7.2        AUTHORIZATION. This Agreement, and any instrument or agreement
required hereunder, are within the Borrower's powers, have been duly authorized,
and do not conflict with any of its or their organizational papers.

7.3        ENFORCEABLE AGREEMENTS. This Agreement and each other agreement to be
signed by Borrower is a legal, valid and binding agreement of the Borrower,
enforceable against the Borrower in accordance with its terms, and any
instrument or agreement required hereunder, when executed and delivered, will be
similarly legal, valid, binding and enforceable. Each Guarantee is the legal,
valid and binding agreement of the Guarantor that signs it, enforceable against
such Guarantor in accordance with its terms.

7.4        GOOD STANDING. In each state or country in which the Borrower or a
Guarantor or Material Foreign Subsidiary does business, it is properly licensed,
in good standing (if applicable) and, where required, in compliance with
fictitious name statutes, except where such failure would not have a Material
Adverse Effect.

7.5        NO CONFLICTS. This Agreement and the other agreements required herein
does not conflict with any law, agreement, or obligation by which the Borrower
or any Guarantor or Material Foreign Subsidiary is bound, except where such
conflict would not have a Material Adverse Effect.

7.6        FINANCIAL INFORMATION. All financial and other information that has
been or will be supplied to the Bank is:

(a)        sufficiently complete to fairly present the Borrower's consolidated
financial condition, including all material contingent liabilities.

(b)        in material compliance with all government regulations that apply.

7.7        LAWSUITS. There is no lawsuit, tax claim or other dispute, pending or
threatened against Borrower, which seeks, together with related lawsuits, tax
claims or other disputes, an aggregate of more than Two Hundred Fifty Thousand
Dollars ($250,000.00), except as has been disclosed in writing to the Bank prior
to the date hereof, or pursuant to Section 8.12(e).

7.8        COLLATERAL. All collateral required in this Agreement is owned by the
grantor of the security interest free of any title defects or any liens or
interests of others, except for Permitted Liens.

7.9        PERMITS, FRANCHISES. The Borrower possesses all permits, memberships,
franchises, contracts and licenses required and all trademark rights, trade name
rights, patent rights and fictitious name rights necessary to enable it to
conduct the business in which it is now engaged, except where such failure would
not have a Material Adverse Effect.

7.10       OTHER OBLIGATIONS. The Borrower is not in default on any material
obligation for borrowed money, any material purchase money obligation or any
other material lease, commitment, contract, instrument or obligation.

7.11       TAX MATTERS. The Borrower has no knowledge of any pending material
assessments or material adjustments of its taxes for any year, except as have
been previously disclosed to the Bank in writing.

7.12       NO TAX AVOIDANCE PLAN. The Borrower's obtaining of credit from the
Bank under this Agreement does not have as a principal purpose the avoidance of
U.S. withholding taxes.

Second Amended and Restated Loan Agreement - Page 9

<PAGE>

7.13       NO EVENT OF DEFAULT. There is no event which is, or with notice or
lapse of time or both would be, an Event of Default under this Agreement.

7.14       INSURANCE. The Borrower has obtained, and maintained in effect, the
insurance coverage required in the "Covenants" section of this Agreement.

7.15       LOCATION OF BORROWER. The Borrower's place of business (or, if the
Borrower has more than one place of business, its chief executive office) is
located at the address listed under the Borrower's signature on this Agreement.

7.16       MATERIAL ADVERSE EFFECT. "Material Adverse Effect" means any set of
circumstances or events which:

(a)        has or could reasonably be expected to have any material adverse
effect whatsoever upon the validity or enforceability of this Agreement or any
related document;

(b)        is or could reasonably expect to be material and adverse to the
condition (financial or otherwise), business, assets, operations or prospects of
Borrower and the Guarantors and Material Foreign Subsidiaries, taken as a whole,
or

(c)        materially impairs or could reasonably be expected to materially
impair the ability of Borrower and the Guarantors, taken as a whole, to perform
their obligations under this Agreement, the Guaranties or any related
document(s).

7.17       PERMITTED LIENS. "Permitted Liens" means:

(a)        Liens in favor of the Bank;

(b)        Liens for taxes not yet due;

(c)        Liens outstanding on the date of this Agreement, disclosed in writing
to the Bank;

(d)        Carriers', warehousemen's, mechanics', materialmen's or other like
liens arising in the ordinary course of business, which are not overdue for a
period of more than 60 days, or which are being contested in good faith and by
appropriate proceedings, if adequate reserves with respect thereto are
maintained on the books of the applicable person;

(e)        Attachment, judgment or similar liens arising in connection with
litigation or other legal proceedings (and not otherwise an Event of Default
hereunder) in the ordinary course of business that are currently being contested
in good faith by appropriate proceedings, and for which adequate reserves have
been set aside;

(f)        Purchase money security interests in equipment which is non-ATM
equipment or other equipment or other fixed assets acquired after the date of
this Agreement, if the total principal amount of debts secured by such liens
does not exceed One Million Dollars ($1,000,000.00) during any one fiscal year.

(g)        Security interests in ATM machines and related equipment owned by
Borrower, but not in ATM machines and related equipment owned by Guarantors or
Material Foreign Subsidiaries.

8.         COVENANTS

The Borrower agrees, so long as credit is available under this Agreement and
until the Bank is repaid in full:

8.1        USE OF PROCEEDS. To use the proceeds of the credit only to finance
working capital of Borrower and to finance purchase of copy machines for
Guarantors and Material Foreign Subsidiaries and ATM machines for Borrower or
its subsidiaries. In addition, up to Seven Million Dollars ($7,000,000.00) of
such proceeds may be used for the initial capitalization of iATMglobal.net, and
up to Two Million Dollars ($2,000,000.00) of such Seven Million Dollars
($7,000,000.00) may be used for the acquisition by iATMglobal.net of Strategic
Software Solutions.

8.2        FINANCIAL INFORMATION. To provide the following financial information
and statements in form and content reasonably acceptable to the Bank, and such
additional information as requested by the Bank from time to time:

Second Amended and Restated Loan Agreement - Page 10

<PAGE>

(a)        Within 120 days of the Borrower's fiscal year end, the Borrower's
annual financial statements, certified and dated by an authorized financial
officer of the Borrower. These financial statements must be audited (with an
unqualified opinion) by a Certified Public Accountant reasonably acceptable to
the Bank.

(b)        Within 45 days of the period's end, the Borrower's quarterly
financial statements, certified and dated by an authorized financial officer of
the Borrower. The statements shall be prepared by Borrower on a consolidated
basis, with consolidating financial statements included for information purposes
only.

(c)        Copies of the Borrower's Form 10-K Annual Report within ten (10) days
after the date of filing with the Securities and Exchange Commission.

(d)        Copies of the Borrower's Form 10-Q Quarterly Report within ten (10)
days after the date of filing with the Securities and Exchange Commission.

(e)        Within 60 days of fiscal year end, Borrower prepared budgets for
subsequent two (2) years.

(f)        Within the period(s) provided in (a) and (b) above, a compliance
certificate of the Borrower signed by an authorized financial officer of the
Borrower setting forth (i) the information and computations in sufficient detail
(including detailed computations removing the results for iATMglobal.net where
necessary) to establish that the Borrower is in compliance with all financial
covenants at the end of the period covered by the financial statements then
being furnished and (ii) whether there existed as of the date of such financial
statements and whether there exists as of the date of the certificate, any
default under this Agreement and, if any such default exists, specifying the
nature thereof and the action the Borrower is taking and proposes to take with
respect thereto.

8.3        TANGIBLE NET WORTH. To maintain on a consolidated basis Tangible Net
Worth at least equal to at least 90% of Tangible Net Worth on December 31, 1999
and increasing quarterly by 50% of net income for such quarter (no credit for
losses), and 75% of new equity proceeds.

"Tangible Net Worth" means the gross book value of the Borrower's consolidated
assets (excluding goodwill, patents, trademarks, trade names, organization
expense, unamortized debt discount and expense, capitalized or deferred research
and development costs, deferred marketing expenses, deferred receivables, and
other like intangibles), less total consolidated liabilities, including but not
limited to accrued and deferred income taxes, and any reserves against assets.
"Tangible Net Worth" shall not include any assets or liabilities of
iATMglobal.net.

8.4        FUNDED DEBT TO EBITDA RATIO. To maintain on a consolidated basis a
ratio of Funded Debt to EBITDA not exceeding the amounts indicated for each
period specified below:

<TABLE>
<CAPTION>
Period                                                                    Ratio
------                                                                    -----
<S>                                                          <C>
From the date of this Agreement through June 29, 2001        Less than 2.50:1.0
From June 30, 2001 through June 29, 2002                     Less than 2.25:1.0
From June 30, 2002 and thereafter                            Less than 2.00:1.0
</TABLE>

"Funded Debt" means all outstanding indebtedness for borrowed money and other
interest-bearing indebtedness, including current and long term indebtedness.

"EBITDA" means the sum of net income before taxes, plus interest expense, plus
depreciation, depletion, amortization and other non-cash charges. This ratio
will be calculated at the end of each fiscal quarter, using the results of that
quarter and the three (3) immediately preceding fiscal quarters. "EBITDA" shall
not include any income, interest expense, depreciation, depletion, amortization
or other non-cash charges of iATMglobal.net.

8.5        FIXED CHARGE COVERAGE RATIO. To maintain on a consolidated basis a
Fixed Charge Coverage Ratio of at least 2.0:1.0.

"Fixed Charge Coverage Ratio" means the ratio of (a) the sum of EBITDAR, less
taxes and dividends and less extensions of credit to or investments in
iATMglobal.net in excess of those described in Section 8.11(f), to (b) the sum
of current portion of long-term debt, plus interest expense, plus rents.

"EBITDAR" means the sum of net income before taxes, plus interest expense, plus
depreciation, depletion, amortization, rents and other non-cash charges. Rents
include operating lease expense as well as the "Cash

Second Amended and Restated Loan Agreement - Page 11

<PAGE>

Provision Fee for ATM Cash" as defined in the Loan and Servicing Agreement dated
as of March 17, 2000 among TRM Inventory Funding Trust, TRM ATM Corporation,
Autobahn Funding Company, LLC and DG Bank Deutsche Genossenschaftsbank HG, and
KeyBank National Association (the "Loan and Servicing Agreement"). "EBITDAR"
shall not include any income, interest expense, depreciation, depletion,
amortization, rents or other non-cash charges of iATMglobal.net.

This ratio will be calculated at the end of each fiscal quarter, using the
results of that quarter and the three (3) immediately preceding fiscal quarters.

8.6        OTHER DEBTS. Not to have outstanding or incur, or to permit any
subsidiary of Borrower to have or incur, any direct or contingent liabilities
(other than those to the Bank), or become liable for the liabilities of others,
without the Bank's written consent. This does not prohibit:

(a)        Acquiring goods, supplies, or merchandise on normal trade credit.

(b)        Endorsing negotiable instruments received in the usual course of
business.

(c)        Obtaining surety bonds in the usual course of business.

(d)        Liabilities in existence on the date of this Agreement and reflected
in Borrower's most recent financial statements or otherwise disclosed in writing
to the Bank.

(e)        Additional debts for the acquisition of equipment or other fixed
assets, to the extent permitted elsewhere in Sections 8.6 or 8.7.

(f)        Additional funded indebtedness for financing ATM machines limited to
Forty Million Dollars ($40,000,000.00) during the period where the ratio of
Funded Debt to EBITDA is greater than 2.25:1.0 but less than 2.50:1.0, and
Seventy Five Million Dollars ($75,000,000.00) during the period where the ratio
of Funded Debt to EBITDA is greater than 2.0:1.0 but less than 2.25:1.0.

8.7        OTHER LIENS. Not to create, assume, or allow, or permit Borrower or
any Guarantor or Material Foreign Subsidiary to create, assume or allow, any
security interest or lien (including judicial liens) on property it now or later
owns, except for Permitted Liens.

8.8        CAPITAL EXPENDITURES. Not to spend or incur obligations to acquire
equipment or other fixed assets, and not to permit any Guarantor or Material
Foreign Subsidiary to spend or incur obligations to acquire equipment or other
fixed assets, exceeding, in the aggregate for Borrower, Guarantors and Material
Foreign Subsidiaries, Ten Million Dollars ($10,000,000.00) in any one fiscal
year.

8.9        DIVIDENDS; STOCK REPURCHASES. Not to declare or pay any dividends on
any of its common shares except dividends payable in capital stock of the
Borrower, and not to repurchase or redeem any of its capital stock. However,
notwithstanding the foregoing prohibition, Borrower may declare and pay
dividends or repurchase capital stock so long as no Event of Default has
occurred and is continuing, and so long as the total of all dividends and stock
repurchases in any period of four consecutive quarters does not exceed 50% of
the Borrower's consolidated net income after taxes for such four quarters. Not
to pay any dividend on any of its preferred shares, if any Event of Default has
occurred and is continuing.

8.10       LOANS TO OFFICERS. Not to make, or permit any of its subsidiaries to
make, any loans, advances or other extensions of credit (including extensions of
credit in the nature of accounts receivable or notes receivable arising from the
sale or lease of goods or services) to any of its executives, officers,
directors or shareholders (or any relatives of any of the foregoing), except in
the ordinary course of business not exceeding at any one time an aggregate of
Two Hundred Thousand Dollars ($200,000.00).

8.11       LOANS AND INVESTMENTS. Not to have any existing, or make, or permit
any of its subsidiaries to have or make, any new loans or other extensions of
credit to, or investments in, any individual or entity, or make any capital
contributions or other transfers of assets to any individual or entity, except
for:

(a)        existing investments in the Borrower's current subsidiaries.

Second Amended and Restated Loan Agreement - Page 12

<PAGE>

(b)        extensions of credit in the nature of accounts receivable or notes
receivable arising from the sale or lease of goods or services in the ordinary
course of business to non-affiliated entities.

(c)        investments in any of the following:

           (i)        certificates of deposit;

           (ii)       U.S. treasury bills and other obligations of the federal
                      government.

(d)        extensions of credit to or investments in Guarantors and Material
Foreign Subsidiaries.

(e)        extensions of credit to or investments in TRM ATM Corporation only
for the purposes of acquiring ATM machines, contributing to costs for
facilities, employees or services shared with Borrower, and for payment of other
infrastructure expenses related to ATM expansion.

(f)        extensions of credit to or investments in iATMglobal.net not to
exceed Seven Million Dollars ($7,000,000.00) from proceeds of the credit as
provided in Section 8.1.

(g)        after receipt of compliance certificate and financial statements
required for the fiscal quarter ended March 31, 2001, Borrower may make
additional extensions of credit to or investments in iATMglobal.net if:

           (i)       Borrower is in compliance with all financial covenants and
                     will continue to be in compliance, both before and
                     immediately after giving effect to such extensions of
                     credit or investment on a pro-forma basis;

           (ii)      the Commitment exceeds and will exceed by at least Five
                     Million Dollars ($5,000,000) the amount of credit Borrower
                     is actually using, both immediately before and immediately
                     after such extension of credit or investment;

           (iii)     Borrower notifies Bank before making any extension of
                     credit or investment permitted under this provision and
                     provides the Bank with a calculation showing compliance
                     with the conditions applicable to this provision; and

           (iv)      Borrower retains more than fifty percent (50%) direct or
                     indirect beneficial ownership of all voting interests and
                     ownership interests in iATMglobal.net at all times after
                     such extension of credit or investment, the retention of
                     such interests becoming a covenant of Borrower from and
                     after such time.

(h)        capital expenditures permitted by Section 8.8.

8.12       NOTICES TO BANK. To promptly notify the Bank in writing of:

(a)        any substantial dispute between the Borrower (or any Guarantor or
Material Foreign Subsidiary) and any government authority.

(b)        any Event of Default under this Agreement, or any event which, with
notice or lapse of time or both, would constitute an Event of Default.

(c)        any material adverse change in the Borrower's (or any Guarantor's or
Material Foreign Subsidiary's) business condition (financial or otherwise),
operations, properties or prospects, or ability to repay the credit.

(d)        any change in the Borrower's name, legal structure, place of
business, or chief executive office if the Borrower has more than one place of
business.

(e)        any lawsuit, tax claim or other dispute, pending or threatened
against Borrower, which seeks, together with related lawsuits, tax claims or
other disputes, an aggregate of more than Two Hundred Fifty Thousand Dollars
($250,000.00).

8.13       BOOKS AND RECORDS. To maintain adequate books and records.

Second Amended and Restated Loan Agreement - Page 13

<PAGE>

8.14       AUDITS. To allow the Bank and its agents to inspect the Borrower's,
Guarantors' and Material Foreign Subsidiaries' properties and examine, audit,
and make copies of books and records at any reasonable time. If any of the
Borrower's, Guarantors' and Material Foreign Subsidiaries' properties, books or
records are in the possession of a third party, the Borrower authorizes that
third party to permit the Bank or its agents to have access to perform
inspections or audits and to respond to the Bank's requests for information
concerning such properties, books and records, affording Borrower an opportunity
to be present. Bank's right to inspect will be on prior notice to Borrower
unless an Event of Default has occurred and is continuing.

8.15       COMPLIANCE WITH LAWS. To comply, and to cause each of its
subsidiaries to comply, with the laws (including any fictitious name statute),
regulations, and orders of any government body with authority over its business,
and that of its subsidiaries.

8.16       PRESERVATION OF RIGHTS. To maintain and preserve all material rights,
privileges, and franchises the Borrower and its subsidiaries now have.

8.17       MAINTENANCE OF PROPERTIES. To make any repairs, renewals, or
replacements to keep the Borrower's and its subsidiaries' properties in good
working condition.

8.18       PERFECTION OF LIENS. To help the Bank perfect and protect, and to
cause its subsidiaries to perfect and protect, Bank's security interests and
liens, and reimburse it for related costs it incurs to protect its security
interests and liens.

8.19       COOPERATION. To take any action, and to cause its subsidiaries to
take any action reasonably requested by the Bank to carry out the intent of this
Agreement.

8.20       INSURANCE.

(a)        INSURANCE COVERING COLLATERAL. To maintain all risk property damage
insurance policies covering the tangible property comprising the collateral.
Each insurance policy must be in an amount reasonably acceptable to the Bank.
The insurance must be issued by an insurance company reasonably acceptable to
the Bank and must include a lender's loss payable endorsement in favor of the
Bank in a form reasonably acceptable to the Bank.

(b)        GENERAL BUSINESS INSURANCE. To maintain insurance reasonably
satisfactory to the Bank as to amount, nature and carrier covering property
damage (including loss of use and occupancy) to any of the properties or
Borrower or its subsidiaries, public liability insurance including coverage for
contractual liability, product liability and workers' compensation and business
interruption insurance, and any other insurance which is usual for the
Borrower's business.

(c)        EVIDENCE OF INSURANCE. Upon the request of the Bank, to deliver to
the Bank a copy of each insurance policy, or, if permitted by the Bank, a
certificate of insurance listing all insurance in force.

8.21       ADDITIONAL NEGATIVE COVENANTS. Not to, without the Bank's written
consent, do any of the following things or permit any Guarantor or Material
Foreign Subsidiary to do such things:

(a)        engage in any material business activities substantially different
from the Borrower's, Guarantor's or Material Foreign Subsidiary's present
business.

(b)        liquidate or dissolve the Borrower's, Guarantor's or Material Foreign
Subsidiary's business, except that a Guarantor or Material Foreign Subsidiary
may liquidate if its assets are transferred to Borrower or another Guarantor or
Material Foreign Subsidiary.

(c)        enter into any consolidation, merger, or other combination, or become
a partner in a partnership, a member of a joint venture, or a member of a
limited liability company without written consent of Bank.

(d)        sell, assign, lease, transfer or otherwise dispose of any part of the
Borrower's or any Guarantor's or Material Foreign Subsidiary's business or the
Borrower's or any Guarantor's or Material Foreign Subsidiary's assets except in
the ordinary course of the Borrower's or Guarantor's or Material Foreign
Subsidiary's business, and except that Borrower, Guarantors and Material Foreign
Subsidiaries may dispose of their presently owned Savin liquid toner copy
machines.

Second Amended and Restated Loan Agreement - Page 14

<PAGE>

(e)        enter into any sale and leaseback agreement covering any of its
equipment or other fixed assets (other than relating to Savin liquid toner copy
machines).

(f)        acquire or purchase a business or its assets.

(g)        voluntarily suspend its business for more than 7 days in any 30-day
period.

(h)        pledge or mortgage of assets of Borrower or any Guarantor or Material
Foreign Subsidiary, except for Permitted Liens.

(i)        except for loans or capital contributions specifically permitted
herein, transfer money or assets to TRM ATM Corporation or any other affiliate
whose business is utilizing ATM machines.

9.         HAZARDOUS WASTE INDEMNIFICATION

The Borrower will indemnify and hold harmless the Bank from any loss or
liability the Bank incurs in connection with or as a result of this Agreement,
which directly or indirectly arises out of the use, generation, manufacture,
production, storage, release, threatened release, discharge, disposal or
presence of a hazardous substance. This indemnity will apply whether the
hazardous substance is on, under or about the Borrower's property or operations
or property leased to the Borrower. The indemnity includes but is not limited to
reasonable attorneys' fees (including the reasonable estimate of the allocated
cost of in-house counsel and staff). The indemnity extends to the Bank, its
parent, subsidiaries and all of their directors, officers, employees, agents,
successors, attorneys and assigns. "Hazardous substances" means any substance,
material or waste that is or becomes designated or regulated as "toxic,"
"hazardous," "pollutant," or "contaminant" or a similar designation or
regulation under any federal, state or local law (whether under common law,
statute, regulation or otherwise) or judicial or administrative interpretation
of such, including without limitation petroleum or natural gas. This indemnity
will survive repayment of the Borrower's obligations to the Bank.

10.        DEFAULT

If any of the following events (each an Event of Default) occurs, the Bank may
do one or more of the following: declare the Borrower in default, stop making
any additional credit available to the Borrower, and require the Borrower to
repay its entire debt immediately and without prior notice. If an Event of
Default occurs under the paragraph entitled "Bankruptcy," below, with respect to
the Borrower, then the entire debt outstanding under this Agreement will
automatically be due immediately.

10.1       FAILURE TO PAY. The Borrower fails to make a payment under this
Agreement within two (2) Banking Days after the date when due.

10.2       LIEN PRIORITY. The Bank fails to have an enforceable first lien
(except for any prior liens permitted by this Agreement or to which the Bank has
consented in writing) on or security interest in any property given as security
for this Agreement (or any guaranty).

10.3       FALSE INFORMATION. The Borrower (or any Guarantor or Material Foreign
Subsidiary) has given the Bank materially false or misleading information or
representations.

10.4       BANKRUPTCY. The Borrower (or any Guarantor or Material Foreign
Subsidiary) files a bankruptcy petition or the Borrower or any Guarantor or
Material Foreign Subsidiary makes a general assignment for the benefit of
creditors. A bankruptcy petition is filed against the Borrower or any Guarantor
or Material Foreign Subsidiary and remains undismissed for 45 days; provided,
however, the Bank will not be obligated to extend any additional credit to
Borrower during such period.

10.5       RECEIVERS. A receiver or similar official is appointed for a
substantial portion of the Borrower's (or any Guarantor's or Material Foreign
Subsidiary's) business, or the business is terminated, or any Guarantor or
Material Foreign Subsidiary is liquidated or dissolved (unless such Guarantor's
or Material Foreign Subsidiary's assets are transferred to Borrower or another
Guarantor or Material Foreign Subsidiary as contemplated by Section 8.21(b)).

10.6       JUDGMENTS. Any unstayed and unsatisfied final judgments or
arbitration awards are entered against the Borrower (or any Guarantor or
Material Foreign Subsidiary), or the Borrower (or any Guarantor or Material
Foreign Subsidiary) enters into any settlement agreements with respect to any
litigation or arbitration, in an aggregate amount

Second Amended and Restated Loan Agreement - Page 15

<PAGE>

outstanding at any time of One Million Dollars ($1,000,000.00) or more in excess
of any insurance coverage, or in excess of uncontested indemnity rights
satisfactory to Bank.

10.7       GOVERNMENT ACTION. Any government authority takes action that the
Bank believes will have a Material Adverse Effect upon the Borrower's (or any
Guarantor's or Material Foreign Subsidiary's) financial condition or ability to
repay.

10.8       MATERIAL ADVERSE CHANGE. A material adverse change occurs, or is
reasonably likely to occur, in the business condition (financial or otherwise),
operations, properties or prospects, or ability to repay the credit, of the
Borrower and the Guarantors and the Material Foreign Subsidiaries, taken as a
whole.

10.9       CROSS-DEFAULT. Any default occurs under any agreement (excluding the
Loan and Servicing Agreement) in connection with any credit in excess of One
Million Dollars ($1,000,000.00) of the Borrower (or any Guarantor or Material
Foreign Subsidiary or TRM ATM Corporation or any other subsidiary of Borrower),
or which the Borrower (or any Guarantor or Material Foreign Subsidiary or TRM
ATM Corporation or any other subsidiary of Borrower) has guaranteed if the
default is not cured within thirty (30) days; provided, however, the Bank will
not be obligated to extend any additional credit to the Borrower during such
period.

10.10      CROSS-DEFAULT - LOAN AND SERVICING AGREEMENT. Any event of default
occurs under the Loan and Servicing Agreement followed by the automatic
occurrence of the "Termination Date" or the optional acceleration of the
"Termination Date" as defined in the Loan and Servicing Agreement. Any default
occurs in any future agreement which replaces the Loan and Servicing Agreement
resulting in an acceleration of the "Termination Date" or similar remedy.

10.11      DEFAULT UNDER RELATED DOCUMENTS. (i) Any default occurs under any
guaranty, subordination agreement, security agreement, pledge agreement, deed of
trust, mortgage, or other document required by this Agreement, or (ii) any such
document is no longer in effect; provided, however, in the case of clause (ii)
of this section, if, in the Bank's opinion, the breach is capable of being
remedied, the breach will not be considered an Event of Default under this
Agreement for a period of thirty (30) days after the date on which the Bank
gives written notice of the breach to the Borrower; provided, further, that the
Bank will not be obligated to extend any additional credit to the Borrower
during that period.

10.12      OTHER BANK AGREEMENTS. The Borrower (or any Guarantor or Material
Foreign Subsidiary) fails to meet the conditions of, or fails to perform any
obligation under any other agreement the Borrower (or any Guarantor or Material
Foreign Subsidiary) has with the Bank or any affiliate of the Bank, after giving
effect to any applicable cure period specified therein. If, in the Bank's
opinion, the breach is capable of being remedied, the breach will not be
considered an Event of Default under this Agreement for a period of thirty (30)
days after the date on which the Bank gives written notice of the breach to the
Borrower (such cure period to run concurrently with any applicable cure period
specified in such agreement); provided, however, that the Bank will not be
obligated to extend any additional credit to the Borrower during that period.

10.13      OTHER BREACH UNDER AGREEMENT. The Borrower fails to meet the
conditions of, or fails to perform any obligation under, any term of this
Agreement not specifically referred to in this Article. This includes any
failure or reasonably anticipated failure by the Borrower to comply with any
financial covenants set forth in this Agreement, whether such failure is
evidenced by financial statements delivered to the Bank or is otherwise known to
the Borrower or the Bank. If, in the Bank's opinion, the breach is capable of
being remedied, the breach will not be considered an Event of Default under this
Agreement for a period of thirty (30) days after the date on which the Bank
gives written notice of the breach to the Borrower; provided, however, that the
Bank will not be obligated to extend any additional credit to the Borrower
during that period.

11.        ENFORCING THIS AGREEMENT; MISCELLANEOUS

11.1       GAAP. Except as otherwise stated in this Agreement, all financial
information provided to the Bank and all financial covenants will be made under
generally accepted accounting principles, consistently applied.

11.2       OREGON LAW. This Agreement is governed by Oregon law.

11.3       SUCCESSORS AND ASSIGNS. This Agreement is binding on the Borrower's
and the Bank's successors and assignees. The Borrower agrees that it may not
assign this Agreement without the Bank's prior consent. The Bank may sell
participations in or, with the prior written consent of Borrower, not to be
unreasonably withheld, assign this

Second Amended and Restated Loan Agreement - Page 16

<PAGE>

loan, and may exchange financial information about the Borrower with actual or
potential participants or assignees (subject to Section 11.5 hereof). If a
participation is sold or the loan is assigned, the purchaser will have the right
of set-off against the Borrower.

11.4       ARBITRATION AND WAIVER OF JURY TRIAL.

(a)        This paragraph concerns the resolution of any controversies or claims
between the Borrower and the Bank, whether arising in contract, tort or by
statute, including but not limited to controversies or claims that arise out of
or relate to: (i) this Agreement (including any renewals, extensions or
modifications); or (ii) any document related to this Agreement (collectively a
"Claim").

(b)        At the request of the Borrower or the Bank, any Claim shall be
resolved by arbitration in accordance with the Federal Arbitration Act (Title 9,
U. S. Code) (the "Act"). The Act will apply even though this Agreement provides
that it is governed by the law of a specified state.

(c)        Arbitration proceedings will be determined in accordance with the
Act, the rules and procedures for the arbitration of financial services disputes
of JAMS/Endispute, LLC, a Delaware limited liability company or any successor
thereof ("JAMS"), and the terms of this paragraph. In the event of any
inconsistency, the terms of this paragraph shall control.

(d)        The arbitration shall be administered by JAMS and conducted in any
U.S. state where real or tangible personal property collateral for this
credit is located or if there is no such collateral, in Oregon. All Claims
shall be determined by one arbitrator; however, if Claims exceed Five Million
Dollars ($5,000,000), upon the request of any party, the Claims shall be
decided by three arbitrators. All arbitration hearings shall commence within
ninety (90) days of the demand for arbitration and close within ninety (90)
days of commencement and the award of the arbitrator(s) shall be issued
within thirty (30) days of the close of the hearing. However, the
arbitrator(s), upon a showing of good cause, may extend the commencement of
the hearing for up to an additional sixty (60) days. The arbitrator(s) shall
provide a concise written statement of reasons for the award. The arbitration
award may be submitted to any court having jurisdiction to be confirmed and
enforced.

(e)        The arbitrator(s) will have the authority to decide whether any Claim
is barred by the statute of limitations and, if so, to dismiss the arbitration
on that basis. For purposes of the application of the statute of limitations,
the service on JAMS under applicable JAMS rules of a notice of Claim is the
equivalent of the filing of a lawsuit. Any dispute concerning this arbitration
provision or whether a Claim is arbitrable shall be determined by the
arbitrator(s). The arbitrator(s) shall have the power to award legal fees
pursuant to the terms of this Agreement.

(f)        This paragraph does not limit the right of the Borrower or the Bank
to: (i) exercise self-help remedies, such as but not limited to, setoff; (ii)
initiate judicial or nonjudicial foreclosure against any real or personal
property collateral; (iii) exercise any judicial or power of sale rights, or
(iv) act in a court of law to obtain an interim remedy, such as but not limited
to, injunctive relief, writ of possession or appointment of a receiver, or
additional or supplementary remedies.

(g)        The filing of a court action is not intended to constitute a waiver
of the right of the Borrower or the Bank, including the suing party, thereafter
to require submittal of the Claim to arbitration.

(h)        BY AGREEING TO BINDING ARBITRATION, THE PARTIES IRREVOCABLY AND
VOLUNTARILY WAIVE ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY
CLAIM. FURTHERMORE, WITHOUT INTENDING IN ANY WAY TO LIMIT THIS AGREEMENT TO
ARBITRATE, TO THE EXTENT ANY CLAIM IS NOT ARBITRATED, THE PARTIES IRREVOCABLY
AND VOLUNTARILY WAIVE ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF
SUCH CLAIM. THIS PROVISION IS A MATERIAL INDUCEMENT FOR THE PARTIES ENTERING
INTO THIS AGREEMENT.

11.5       SEVERABILITY; WAIVERS; CONFIDENTIALITY.

(a)        If any part of this Agreement is not enforceable, the rest of the
Agreement may be enforced.

(b)        The Bank retains all rights, even if it makes a loan after an Event
of Default. If the Bank waives an Event of Default, it may enforce a later Event
of Default. Any consent or waiver under this Agreement must be in writing.

Second Amended and Restated Loan Agreement - Page 17

<PAGE>

(c)        Bank shall use any confidential non-public information concerning
Borrower and its subsidiaries that is furnished to it by or on behalf of
Borrower and its subsidiaries in connection with this Agreement (collectively,
"Confidential Information") solely for the purpose of evaluating and providing
products and services to them, and administering and enforcing this Agreement
and related documents, and it will hold the Confidential Information in
confidence. Notwithstanding the foregoing, Bank may disclose Confidential
Information to (i) any governmental agency or regulatory body having or claiming
to have authority to regulate or oversee any aspect of the Bank's business in
connection with the exercise of such authority or claimed authority; (ii) the
extent necessary or appropriate to effect or preserve Bank's security or to
enforce any right or remedy in connection with any claims asserted by or against
Bank; (iii) representatives whom it determines need to know such information for
the purposes set forth in this Section; and (iv) any bank or financial
institution or other entity to which Bank has assigned or desires to assign an
interest or participation in this Agreement or the advances, provided that any
such recipient of Confidential Information agrees to keep such Confidential
Information confidential as specified herein. For purposes hereof, the term
"Confidential Information" shall not include information that is in Bank's
possession prior to its being provided by or on behalf of Borrower, and shall
not include information which is or becomes publicly available other than
through a breach hereof by the Bank, or information that becomes available to
the Bank on a non-confidential basis.

11.6       ADMINISTRATION COSTS. The Borrower shall pay the Bank for all
reasonable costs incurred by the Bank in connection with administering this
Agreement.

11.7       ATTORNEYS' FEES. The Borrower shall reimburse the Bank for any
reasonable costs and attorneys' fees incurred by the Bank in connection with the
preparation of this Agreement or related documents and in connection with the
enforcement or preservation of any rights or remedies under this Agreement and
any other documents executed in connection with this Agreement, and in
connection with any amendment, waiver, "workout" or restructuring under this
Agreement. In the event of a lawsuit or arbitration proceeding, the prevailing
party is entitled to recover costs and reasonable attorneys' fees incurred in
connection with the lawsuit or arbitration proceeding, as determined by the
court or arbitrator. In the event that any case is commenced by or against the
Borrower under the Bankruptcy Code (Title 11, United States Code) or any similar
or successor statute, the Bank is entitled to recover costs and reasonable
attorneys' fees incurred by the Bank related to the preservation, protection, or
enforcement of any rights of the Bank in such a case. As used in this paragraph,
"attorneys' fees" includes the allocated costs of the Bank's in-house counsel,
including attorneys' fees at trial, on appeal or review.

11.8       ONE AGREEMENT. This Agreement and any related security or other
agreements required by this Agreement, collectively:

(a)        represent the sum of the understandings and agreements between the
Bank and the Borrower concerning this credit;

(b)        replace any prior oral or written agreements between the Bank and the
Borrower concerning this credit; and

(c)        are intended by the Bank and the Borrower as the final, complete and
exclusive statement of the terms agreed to by them.

In the event of any conflict between this Agreement and any other agreements
required by this Agreement, this Agreement will prevail.

11.9       INDEMNIFICATION. The Borrower will indemnify and hold the Bank
harmless from any loss, liability, damages, judgments, and costs of any kind
resulting from claims against the Bank, relating to or arising directly or
indirectly out of (a) this Agreement or any document required hereunder, (b) any
credit extended or committed by the Bank to the Borrower hereunder, and (c) any
litigation or proceeding related to or arising out of this Agreement, any such
document, or any such credit. This indemnity includes but is not limited to
reasonable attorneys' fees (including the allocated cost of in-house counsel).
This indemnity extends to the Bank, its parent, subsidiaries and all of their
directors, officers, employees, agents, successors, attorneys, and assigns. This
indemnity will not, however, indemnify the Bank or any other person from
liabilities caused by the gross negligence or willful misconduct of the Bank or
such person. This indemnity will survive repayment of the Borrower's obligations
to the Bank. All sums due to the Bank hereunder shall be obligations of the
Borrower, due and payable immediately without demand.

11.10      NOTICES. All notices required under this Agreement shall be
personally delivered or sent by first class mail, postage prepaid, or by
overnight courier, to the addresses on the signature page of this Agreement, or
sent by facsimile to the fax numbers listed on the signature page, or to such
other addresses as the Bank and the Borrower may specify from time to time in
writing. Notices sent by first class mail shall be deemed delivered on the
earlier of

Second Amended and Restated Loan Agreement - Page 18

<PAGE>

actual receipt or on the fourth business day after deposit in the U.S. mail.
Notices sent by other means shall be deemed delivered on actual receipt.

11.11      HEADINGS. Article and paragraph headings are for reference only and
shall not affect the interpretation or meaning of any provisions of this
Agreement.

11.12      COUNTERPARTS. This Agreement may be executed in as many counterparts
as necessary or convenient, and by the different parties on separate
counterparts each of which, when so executed, shall be deemed an original but
all such counterparts shall constitute but one and the same agreement.

11.13      ORAL AGREEMENTS. UNDER OREGON LAW, MOST AGREEMENTS, PROMISES AND
COMMITMENTS MADE BY THE BANK AFTER OCTOBER 3, 1989, CONCERNING LOANS AND OTHER
CREDIT EXTENSIONS WHICH ARE NOT FOR PERSONAL, FAMILY OR HOUSEHOLD PURPOSES OR
SECURED SOLELY BY THE BORROWER'S RESIDENCE MUST BE IN WRITING, EXPRESS
CONSIDERATION AND BE SIGNED BY US TO BE ENFORCEABLE.

This Agreement is executed as of the date stated at the top of the first page.

<TABLE>
<CAPTION>
BANK OF AMERICA, N.A.                                 TRM CORPORATION

<S>                                                   <C>
By: /s/ Margaret W. Willer                            By: /s/ Daniel L. Spalding
Typed Name: Margaret W. Willer                        Typed Name: Daniel L. Spalding
Title: Senior Vice President                          Title: Vice President and Chief Financial Officer

Address where notices to the Bank are to be sent:     Address for Notices:

Oregon Commercial Banking #02801                      5208 NE 122nd Avenue
PO Box 6400                                           Portland, OR  97230-1074
Portland, OR  97228
</TABLE>

Second Amended and Restated Loan Agreement - Page 19<PAGE>

                                                                    EXHIBIT 10.1

                              EMPLOYMENT AGREEMENT

This AGREEMENT dated as of October 1, 1999 between Superior TeleCom Inc., a
Delaware corporation (the "Company"), and William F. Evans (the "Executive").

The Board of Directors of the Company (the "Board") recognizes that the
Executive's contribution to the future growth and success of the Company is
expected to be substantial. Whereas the Executive serves as an Executive Vice
President of the Company. Whereas the Board desires to provide for the continued
employment of the Executive with the Company which the Board has determined will
reinforce and encourage the continued attention and dedication of the Executive
to the Company as a member of the Company's management, in the best interest of
the Company and its stockholders. Whereas the Executive is willing to commit
himself to serve the Company, on the terms and conditions herein provided.

Moreover, the Board has determined that it is in the best interest of the
Company and its stockholders to assure that the Company will have the continued
dedication of the Executive, notwithstanding the possibility, threat or
occurrence of a Change of Control (as defined below) of the Company. The Board
believes it is imperative to diminish the inevitable distraction of the
Executive by virtue of the personal uncertainties and risks created by a pending
or threatened Change of Control and to encourage the Executive's full attention
and dedication to the Company currently and in the event of any threatened or
pending Change of Control, and to provide the Executive with compensation and
benefits arrangements upon a Change of Control which ensure that the
compensation and benefits expectations of the Executive will be satisfied and
which are competitive with those of other corporations.

In order to effect the foregoing, the Company and the Executive wish to enter
into this Agreement on the terms and conditions set forth below.

Accordingly, in consideration of the premises and the respective covenants and
agreements of the parties herein contained, and intending to be legally bound
hereby, the parties hereto agree as follows:

         1. EMPLOYMENT. The Company hereby agrees to employ the Executive, and
the Executive hereby agrees to serve the Company, on the terms and conditions
set forth herein.

         2.  TERM.

                  (a) The employment of the Executive by the Company hereunder
commenced on July 26, 1999 (the "Commencement Date") and will continue in effect
(i) until either party gives notice to the other, as provided in Section 8(d),
that it does not wish to continue the Executive's employment hereunder, (ii)
until terminated as provided in Sections 8(a), (b) or (c) or (iii) until July
26, 2002. The "Term" shall be the period commencing on the date hereof and
ending on the earlier to occur of the events specified in clause (i), (ii) or
(iii) of the preceding sentence.

<PAGE>

                  (b) Notwithstanding paragraph (a) above or the provisions of
Section 8(d), the Company hereby agrees to continue the Executive in its employ,
and the Executive hereby agrees to remain in the employ of the Company subject
to the terms and conditions of this Agreement, during any Transition Period. For
purposes of this Agreement, the Term shall, unless otherwise specified, include
any Transition Period.

         3.  CERTAIN DEFINITIONS.

                  (a) A "COC Transition Date" shall mean a date during the Term
(as defined in Section 2) on which a Change of Control (as defined in Section 4)
occurs. Anything in this Agreement to the contrary notwithstanding, if a Change
of Control occurs and if the Executive's employment with the Company is
terminated prior to the date on which the Change of Control occurs, and if it is
reasonably demonstrated by the Executive that such termination of employment (i)
was at the request of a third party who has taken steps reasonably calculated to
effect a Change of Control or (ii) otherwise arose in connection with or in
anticipation of a Change of Control, then for all purposes of this Agreement the
"COC Transition Date" shall mean the date immediately prior to the date of such
termination of employment.

                  (b) A "Transition Period" is a period commencing on a COC
Transition Date and ending on the third anniversary of such date. If a
subsequent COC Transition Date is determined to occur during a Transition
Period, then such Transition Period shall continue until the third anniversary
of such subsequent COC Transition Date. If a subsequent COC Transition Date
occurs after the expiration of a Transition Period, a new Transition Period will
commence on such date and end on the third anniversary thereof.

                  (c) Notwithstanding anything to the contrary in this
Agreement, for purposes of calculating payments under Section 12(f), "Applicable
Bonus" means the higher of (i) the Highest Recent Bonus (as defined in Section
12(b)(i)) and (ii) the Annual Bonus (as defined in Section 6(c)) paid or
payable, including any bonus or portion thereof which has been earned but
deferred (and annualized for any fiscal year consisting of less than twelve full
months or during which the Executive was employed for less than twelve full
months), for the most recently completed fiscal year during the Term, if any
(the "Recent Annual Bonus") (such higher amount being referred to as the
"Highest Annual Bonus"). For purposes of calculating payments under all sections
of this Agreement other than Section 12(f), Applicable Bonus means the Recent
Annual Bonus.

                  (d) A "Stock Option" is an option to purchase a number of
shares of stock of the Company at a fixed exercise price granted to the
Executive by the Stock Option Committee of the Board or any successor committee
(the "Stock Option Committee"), whether or not exercisable.

         4. CHANGE OF CONTROL. For the purpose of this Agreement, a "Change of
Control" shall mean:

                  (a) the acquisition by any individual, entity or group (within
the meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of
1934, as amended (the "Exchange

                                       2

<PAGE>

Act")) (a "Person") of beneficial ownership (within the meaning of Rule 13d-3
promulgated under the Exchange Act) of voting securities of the Company where
such acquisition causes such Person to own more than 20% or more of the combined
voting power of the then outstanding voting securities of the Company entitled
to vote generally in the election of directors (the "Outstanding Company Voting
Securities"); provided, however, that for purposes of this subsection (a), the
following acquisitions shall not be deemed to result in a Change of Control: (i)
any acquisition directly from the Company, (ii) any acquisition by the Company,
(iii) any acquisition by any employee benefit plan (or related trust) sponsored
or maintained by the Company or any corporation controlled by the Company, (iv)
any acquisition by any corporation pursuant to a transaction that complies with
clauses (i), (ii) and (iii) of subsection (c) below or (v) any acquisition by
Steven S. Elbaum, The Alpine Group, Inc. ("Alpine") or any corporation in which
Steven S. Elbaum or Alpine own, directly or indirectly, more than 50% of the
outstanding shares of common stock or the combined voting power of the then
outstanding voting securities entitled to vote generally in the election of
directors, as the case may be; and provided, further, that if any Person's
beneficial ownership of the Outstanding Company Voting Securities reaches or
exceeds more than 20% as a result of a transaction described in clause (i) or
(ii) above, and such Person subsequently acquires beneficial ownership of
additional voting securities of the Company, such subsequent acquisition shall
be treated as an acquisition that causes such Person to own more than 20% or
more of the Outstanding Company Voting Securities; or

                  (b) individuals who, as of the date hereof, constitute the
Board (the "Incumbent Board") cease for any reason to constitute at least a
majority of the Board; provided, however, that any individual becoming a
director subsequent to the date hereof whose election, or nomination for
election by the Company's stockholders, was approved by a vote of at least a
majority of the directors then comprising the Incumbent Board shall be
considered as though such individual were a member of the Incumbent Board, but
excluding, for this purpose, any such individual whose initial assumption of
office occurs as a result of an actual or threatened election contest with
respect to the election or removal of directors or other actual or threatened
solicitation of proxies or consents by or on behalf of a Person other than the
Board; or

                  (c) the consummation of a reorganization, merger or
consolidation or sale or other disposition of all or substantially all of the
assets of the Company or the acquisition of assets of another corporation
("Business Combination"); excluding, however, such a Business Combination
pursuant to which (i) (x) all or substantially all of the individuals and
entities who were the beneficial owners of the Outstanding Company Voting
Securities immediately prior to such Business Combination, (y) Steven S. Elbaum
or (z) Alpine, beneficially own, directly or indirectly, more than 50% of,
respectively, the then outstanding shares of common stock or the combined voting
power of the then outstanding voting securities entitled to vote generally in
the election of directors, as the case may be, of the corporation resulting from
such Business Combination (including, without limitation, a corporation that as
a result of such transaction owns the Company or all or substantially all of the
Company's assets either directly or through one or more subsidiaries) in
substantially the same proportions as their ownership, immediately prior to such
Business Combination of the Outstanding Company Voting Securities, (ii) no
Person (excluding any employee benefit plan (or related trust) of the Company or
such corporation resulting from such Business Combination) beneficially owns,
directly or indirectly,

                                       3

<PAGE>

more than 20% or more of, respectively, the then outstanding shares of common
stock of the corporation resulting from such Business Combination or the
combined voting power of the then outstanding voting securities of such
corporation except to the extent that such ownership existed prior to the
Business Combination and (iii) at least a majority of the members of the board
of directors of the corporation resulting from such Business Combination were
members of the Incumbent Board at the time of the execution of the initial
agreement, or of the action of the Board, providing for such Business
Combination; or

                  (d) approval by the stockholders of the Company of a complete
liquidation or dissolution of the Company.

         5.  POSITION AND DUTIES.

                  (a) The Executive shall serve as an Executive Vice President
of the Company, reporting directly to the Chief Executive Officer, and shall
serve as the President of the Electrical Wire business segment of the Industrial
Products Group of the Company, reporting directly to the President of the
Industrial Products Group, with such responsibilities, duties and authority as
are from time to time assigned to the Executive by the Chief Executive Officer
or the Board. The Executive's duties shall be performed primarily at the
Company's office in Ft. Wayne, Indiana or such other location in which the
executive offices of the Electrical Wire business segment may be situated.

                  (b) During the Term, and excluding any periods of vacation and
sick leave to which the Executive is entitled, the Executive agrees to devote
reasonable attention and time during normal business hours to the business and
affairs of the Company and, to the extent necessary to discharge the
responsibilities assigned to the Executive hereunder, to use the Executive's
reasonable best efforts to perform faithfully and efficiently such
responsibilities. During the Term it shall not be a violation of this Agreement
for the Executive to (A) serve on corporate, civic or charitable boards or
committees, provided that the Chief Executive Officer of the Company first
approves of such service, (B) deliver lectures, fulfill speaking engagements or
teach at educational institutions or (C) manage personal investments, so long as
such activities do not significantly interfere with the performance of the
Executive's responsibilities as an employee of the Company in accordance with
this Agreement and are not directly competitive with the operating businesses of
the Company's subsidiaries. The Company hereby acknowledges that the Executive
shall be entitled to continue serving as a member of the board of directors of
Interim Service, Inc.

         6.  COMPENSATION AND RELATED MATTERS.

                  (a) SALARY. During the Term, the Company shall pay to the
Executive an annual base salary (the "Annual Base Salary") of $250,000 or such
higher rate as may from time to time be determined by the Board, such salary to
be paid in substantially equal installments in accordance with the normal
payroll practice of the Company. The Executive's Annual Base Salary shall be
increased to $265,000, effective as of January 1, 2000 and to $285,000,
effective as of January 1, 2001. Thereafter, the Executive's salary will be
reviewed at least annually and shall be increased pursuant to such review by a
percentage no less than the percentage increase in

                                       4

<PAGE>

the consumer price index, as published by Bureau of Labor Statistics of the U.S.
Department of Labor, for the calendar year immediately preceding such review.
Any increase in Annual Base Salary shall not serve to limit or reduce any other
obligation to the Executive under this Agreement. Annual Base Salary shall not
be reduced after any such increase and the term Annual Base Salary as utilized
in this Agreement shall refer to Annual Base Salary as so increased.

                  (b) SIGN-ON BONUS. As an inducement to enter this Agreement,
the Executive shall be entitled to the following:

                      (i) On the Commencement Date and on each of the first two
anniversaries thereof, the Company shall pay the Executive a lump sum cash
payment in the amount of $150,000 provided the Executive is employed at the time
any such payment is to be made to the Executive. Fifty percent of any such
payment shall be returned to the Company in the event the Executive shall
terminate employment with the Company without Good Reason or for Cause prior to
the first anniversary of each such payment.

                      (ii) The Stock Option Committee granted the Executive
14,000 Stock Options to purchase shares of common stock of the Company ("Company
Stock"), at an exercise price per share equal to the fair market value of the
Company Stock on the date the Stock Option was granted (the "Company Grant
Date") and becoming exercisable in two equal annual installments on the first
and second anniversaries of the Company Grant Date. The terms and conditions
applicable to Stock Options granted pursuant to this Section 6(b)(ii) shall be
set forth in a separate agreement in a form prescribed by the Company.

                      (iii) The Executive Compensation and Organization
Committee of Alpine granted the Executive 27,000 stock options to purchase
shares of the common stock of Alpine ("Alpine Stock"), at an exercise price per
share equal to the fair market value of Alpine Stock on the date the stock
option to purchase Alpine Stock was granted (the "Alpine Grant Date") and
becoming exercisable in two equal annual installments on the first and second
anniversaries of the Alpine Grant Date. Shares of Alpine Stock granted pursuant
to this Agreement shall be made available, at Alpine's election, either from
issued shares of Alpine Stock reacquired by Alpine and held in treasury or
pursuant to Alpine's 1997 Stock Option Plan (the "Alpine Option Plan"). The
terms and conditions applicable to stock options granted pursuant to this
Section 6(b)(iii) shall be set forth in a separate agreement in a form
prescribed by Alpine.

                  (c) ANNUAL BONUS. In addition to the Annual Base Salary, the
Company will pay the Executive an annual cash bonus (the "Annual Bonus") within
30 days following the last day of the Company's fiscal year for which the Annual
Bonus is awarded, based on the performance of the Company pursuant to a
performance plan established by the Company and approved by the Board or the
Compensation Committee of the Board. Such Annual Bonus shall not be less than
$150,000 for the 1999 fiscal year, $100,000 for the 2000 fiscal year and $50,000
for the 2001 fiscal year.

                  (d)      STOCK OPTIONS.

                                       5

<PAGE>

                     (i) On the Company Grant Date, the Stock Option Committee
granted the Executive 50,000 Stock Options (the "Initial Options") to purchase
shares of Company Stock, at an exercise price per share equal to the fair market
value of the Company Stock on the Company Grant Date and becoming exercisable in
three equal annual installments on the first, second and third anniversaries of
the Company Grant Date. The terms and conditions applicable to Stock Options
granted pursuant to this Section 6(d)(i) shall be set forth in a separate
agreement in a form prescribed by the Company.

                     (ii) On the Alpine Grant Date, the Executive Compensation
and Organization Committee of Alpine granted the Executive 50,000 stock options
to purchase shares of Alpine Stock, at an exercise price per share equal to the
fair market value of Alpine Stock on the Alpine Grant Date and becoming
exercisable in three equal annual installments on the first, second and third
anniversaries of the Alpine Grant Date. Shares of Alpine Stock granted pursuant
to this Agreement shall be made available, at Alpine's election, either from
issued shares of Alpine Stock reacquired by Alpine and held in treasury or
pursuant to Alpine's Option Plan. The terms and conditions applicable to stock
options granted pursuant to this Section 6(d)(ii) shall be set forth in a
separate agreement in a form prescribed by Alpine.

                  (e) EXPENSES. During the term of the Executive's employment
hereunder, the Executive shall be entitled to receive prompt reimbursement for
all reasonable and customary expenses incurred by the Executive in performing
services hereunder, including (i) all expenses of travel and living expenses
while away from home or business or at the request of and in the service of the
Company and (ii) a monthly cash automobile allowance of $2,000 covering all
expenses of maintaining and operating the automobile (including, without
limitation, cost, repairs, maintenance, insurance and parking), provided that
all such expenses are accounted for in accordance with the policies and
procedures established by the Company.

                  (f) WELFARE BENEFITS. During the Term, the Executive and/or
the Executive's family, as the case may be, shall be eligible for participation
in and shall receive all benefits under welfare benefit plans, practices,
policies and programs provided by the Company and its affiliated companies
(including, without limitation, medical, prescription, dental, disability,
salary continuance, employee life, group life, accidental death and travel
accident insurance plans and programs) to the extent applicable generally to
other peer executives of the Company and its affiliated companies, but in no
event shall such plans, practices, policies and programs provide the Executive
with benefits which are materially less favorable, in the aggregate, than the
most favorable of such plans, practices, policies and programs in effect for the
Executive as of the date hereof or, if more favorable to the Executive, those
provided generally at any time to other peer executives of the Company and its
affiliated companies. As used in this Agreement, the term "affiliated companies"
shall include any company controlled by, controlling or under common control
with the Company.

                  (g) INCENTIVE, SAVINGS AND RETIREMENT PLANS. During the Term,
the Executive shall be entitled to participate in all incentive, savings and
retirement plans, practices, policies and programs applicable generally to other
peer executives of the Company and its affiliated companies. The Executive shall
be designated as eligible to participate in The Alpine Group, Inc. Senior
Executive Retirement Plan.

                                       6

<PAGE>

                  (h) FRINGE BENEFITS. During the Term:

                      (i) The Company shall reimburse the Executive for the
reasonable expenses incurred by the Executive in undergoing an annual physical
examination by a licensed physician.

                      (ii) The Company shall reimburse the Executive for the
reasonable expenses incurred by the Executive in connection with obtaining
professional tax and financial planning advice.

                  (i) VACATION. During the Term, the Executive shall be entitled
to paid vacation of four weeks per year, any unused portion of which shall be
forfeited as of the end of each year.

                  (j) RELOCATION. The Executive shall be entitled to relocation
benefits pursuant to the Company's relocation benefit program in connection with
the Executive's relocation from Westin, Florida to Ft. Wayne, Indiana or any
other agreed relocation.

                  (k) DISABILITY OFFSET. Payments made to the Executive pursuant
to this Section 6 shall be reduced by the sum of the amounts, if any, payable to
the Executive at or prior to the time of any such payment under disability
benefit plans of the Company or under the Social Security disability insurance
program, and which amounts were not previously applied to reduce any such
payments.

         7. OFFICES. Subject to Section 5, the Executive agrees to serve without
additional compensation, if elected or appointed thereto, as a director of the
Company and any of its subsidiaries and in one or more executive offices of any
of the Company's subsidiaries, provided that the Executive is indemnified for
serving in any and all such capacities.

         8. TERMINATION. The Executive's employment hereunder may be terminated
without any breach of this Agreement only under the following circumstances:

                  (a) DEATH OR DISABILITY. The Executive's employment shall
terminate automatically upon the Executive's death during the Term. If the
Company determines in good faith that Disability of the Executive has occurred
during the Term (pursuant to the definition of Disability set forth below), it
may give to the Executive written notice in accordance with Section 17 of this
Agreement of its intention to terminate the Executive's employment. In such
event, the Executive's employment with the Company shall terminate effective on
the 30th day after receipt of such notice by the Executive (the "Disability
Effective Date"), provided that, within the 30 days after such receipt, the
Executive shall not have returned to full-time performance of the Executive's
duties. For purposes of this Agreement, "Disability" shall mean the absence of
the Executive from the Executive's duties with the Company on a full-time basis
for 180 consecutive business days (or such shorter period as will suffice for
the Executive to qualify for full disability benefits under the applicable
disability insurance policy or policies of the Company) as a result of
incapacity due to mental or physical illness which is determined to be total and
permanent by a physician selected by the Company or its insurers and reasonably

                                       7

<PAGE>

acceptable to the Executive or the Executive's legal representative.

                  (b) CAUSE. The Company may terminate the Executive's
employment during the Term for Cause. For purposes of this Agreement, "Cause"
shall mean:

                      (i) the conviction of the Executive of any crime involving
a felony or fraud, embezzlement or other defalcation, or

                      (ii) the willful and material breach by the Executive of
the Executive's obligations hereunder, including, without limitation, the
intentional and repeated failure to discharge responsibilities consistent with
the Executive's office and established corporate policies, direct or indirect,
employment with or active financial interest in a third party, violation of
appropriate non-compete or confidentiality agreements, unless such breach is
corrected within 30 days following delivery of the resolution provided for in
the next paragraph.

                  For purposes of this provision, no act or failure to act, on
the part of the Executive, shall be considered "willful" unless it is done, or
omitted to be done, by the Executive in bad faith or without reasonable belief
that the Executive's action or omission was in the best interests of the
Company. Any act, or failure to act, based upon authority given pursuant to a
resolution duly adopted by the Board or upon the instructions of the Chief
Executive Officer or a senior officer of the Company or based upon the advice of
counsel for the Company shall be conclusively presumed to be done, or omitted to
be done, by the Executive in good faith and in the best interests of the
Company. The cessation of employment of the Executive shall not be deemed to be
for Cause unless and until there shall have been delivered to the Executive a
copy of a resolution duly adopted by the affirmative vote of not less than a
majority of the entire membership of the Board at a meeting of the Board called
and held for such purpose (after reasonable notice is provided to the Executive
and the Executive is given an opportunity, together with counsel, to be heard
before the Board), finding that, in the good faith opinion of the Board, the
Executive is guilty of the conduct described in subparagraph (i) or (ii) above,
and specifying the particulars thereof in detail.

                  (c) TERMINATION BY THE EXECUTIVE FOR GOOD REASON. The
Executive's employment may be terminated by the Executive for Good Reason. For
purposes of this Agreement, "Good Reason" shall mean:

                      (i) the assignment to the Executive of any duties
materially inconsistent with the Executive's position (including status, titles
and reporting requirements), authority, duties or responsibilities as
contemplated by Section 5(a) of this Agreement, or any other action by the
Company which results in a material diminution in such position, authority,
duties or responsibilities, excluding for this purpose isolated and inadvertent
action(s) not taken in bad faith and remedied by the Company promptly after
receipt of notice thereof given by the Executive;

                      (ii) any material failure by the Company to comply with
any of the provisions of Section 6 or Section 12(a) or (b) of this Agreement,
other than isolated and inadvertent failure(s) not occurring in bad faith and
remedied by the Company promptly after

                                       8

<PAGE>

receipt of notice thereof given by the Executive;

                      (iii) any termination by the Company of the Executive's
employment otherwise than as expressly permitted by this Agreement; or

                      (iv) any failure by the Company to comply with and satisfy
Section 16(a) of this Agreement.

                  (d) TERMINATION ELECTION. Subject to the provisions of Section
2(b):

                      (i) A notice to Executive by the Company will constitute
an election by the Company to terminate the Executive's employment pursuant to
Section 2(a) 45 days following the date of delivery of the notice;

                      (ii) A notice to the Company by the Executive will
constitute an election by the Executive to terminate Executive's employment
pursuant to Section 2(a) 60 days following the date of delivery of the notice;

                      (iii) In no event, however, shall the Term of the
Executive's employment hereunder extend beyond the end of the month in which the
Executive's sixty-fifth (65th) birthday occurs.

                  (e) NOTICE OF TERMINATION. Any termination of the Executive's
employment by the Company or by the Executive (other than termination by reason
of the Executive's death) shall be communicated by written Notice of Termination
to the other party hereto in accordance with Section 17 hereof. For purposes of
this Agreement, a "Notice of Termination" means a written notice which (i)
indicates the specific termination provision in this Agreement relied upon, (ii)
to the extent applicable, sets forth in reasonable detail the facts and
circumstances claimed to provide a basis for termination of the Executive's
employment under the provision so indicated and (iii) if the Date of Termination
(as defined below) is other than the date of receipt of such notice, specifies
the termination date. The good faith failure by the Executive or the Company to
set forth in the Notice of Termination any fact or circumstance which
contributes to a showing of Good Reason or Cause shall not waive any right of
the Executive or the Company, respectively, hereunder or preclude the Executive
or the Company, respectively, from asserting such fact or circumstance in
enforcing the Executive's or the Company's rights hereunder.

                  (f) DATE OF TERMINATION. "Date of Termination" shall mean (i)
if the Executive's employment is terminated by reason of death or Disability,
the date of death of the Executive or the Disability Effective Date, as the case
may be, (ii) if the Executive's employment is terminated for Cause, the date
specified in the Notice of Termination, which shall be at least 15 days after
the receipt of such notice, (iii) if the Executive's employment is terminated by
either of the elections pursuant to Section 8(d) above, the applicable date of
termination determined under Section 8(d) above, and (iv) if the Executive's
employment is terminated for any other reason, the date on which a Notice of
Termination is given; provided, however, that, if within 30 days after any
Notice of Termination is given the party receiving such Notice of

                                       9

<PAGE>

Termination notifies the other party that a dispute exists concerning the
termination, the Date of Termination shall be the date on which the dispute is
finally determined, either by mutual written agreement of the parties, by a
binding and final arbitration award or by a final judgment, order or decree of a
court of competent jurisdiction (the time for appeal therefrom having expired
and no appeal having been perfected).

         9.  COMPENSATION UPON TERMINATION.

                  (a) DISABILITY. If the Executive's employment is terminated by
reason of the Executive's Disability during the Term, this Agreement shall
terminate without further obligations to the Executive, other than for payment
of Accrued Obligations (as defined in Section 12(f)(i)a.) and the timely payment
or provision of Other Benefits (as defined in Section 12(f)(iv)). Accrued
Obligations shall be paid to the Executive in a lump sum in cash within 30 days
of the Date of Termination. Notwithstanding the foregoing, the Company shall
maintain, at the Company's sole expense, in full force and effect, for the
continued benefit of the Executive for twelve months following the Disability
Effective Date, all employee welfare benefit plans and programs in which the
Executive was entitled to participate immediately prior to the Disability
Effective Date provided that the Executive's continued participation is possible
under the general terms and provisions of such plans and programs. In the event
that the Executive's participation in any such plan or program is barred, the
Company shall arrange to provide the Executive with benefits substantially
similar to those which the Executive would otherwise have been entitled to
receive under such plans and programs from which his continued participation is
barred.

                  (b) DEATH. If the Executive's employment is terminated by
reason of the Executive's death during the Term, this Agreement shall terminate
without further obligations to the Executive's legal representatives under this
Agreement, other than for (i) payment of Accrued Obligations (as defined in
Section 12(f)(i)a.), calculated as if the Executive's employment had continued
for a period of 12 months following the date of death; and (ii) the timely
payment or provision of Other Benefits (as defined in Section 12(f)(iv)).
Accrued Obligations shall be paid to the Executive's estate or beneficiary, as
applicable, in a lump sum in cash within 30 days of the Date of Termination.

                  (c) CAUSE. If the Executive's employment shall be terminated
for Cause during the Term, this Agreement shall terminate without further
obligations to the Executive other than the obligation to pay to the Executive
(i) his Annual Base Salary through the Date of Termination, (ii) the amount of
any compensation previously deferred by the Executive subject to the terms of
any plan or program, and (iii) Other Benefits, in each case to the extent
theretofore unpaid.

                  (d) VOLUNTARY TERMINATION. If the Executive voluntarily
terminates employment during the Term, excluding a termination for Good Reason,
this Agreement shall terminate without further obligations to the Executive,
other than for Accrued Obligations, the timely payment or provision of Other
Benefits and the amount of any compensation previously deferred by the Executive
subject to the terms of any plan or program. In such case, all Accrued
Obligations shall be paid to the Executive in a lump sum in cash within 30 days
of the Date of

                                       10

<PAGE>

Termination.

                  (e) TERMINATION ELECTION BY COMPANY; TERMINATION BY EXECUTIVE
FOR GOOD REASON. If the Executive's employment is terminated by the Company
under Section 8(d)(i) hereof or by the Executive under Section 8(c) hereof, the
Company shall pay to the Executive a lump sum in cash within 10 days of the Date
of Termination in an amount equal to the present value (using the prime rate of
interest as the applicable discount factor) of the Annual Base Salary as set
forth in Section 6(a), the amounts set forth in Section 6(b)(i) and the minimum
Annual Bonuses as set forth in Section 6(c) that would be payable between the
Date of Termination and July 26, 2002. In addition, (i) all unvested Stock
Options and stock options to purchase shares of Alpine Stock provided for
respectively under Sections 6(b)(ii) and 6(b)(iii) shall be immediately vested:
and (ii) the Executive shall be entitled to receive and/or exercise all vested
Stock Options and stock options to purchase shares of Alpine Stock in accordance
with terms of such awards.

         10. NON-EXCLUSIVITY OF RIGHTS. Nothing in this Agreement shall prevent
or limit the Executive's continuing or future participation in any plan,
program, policy or practice provided by the Company or any of its affiliated
companies and for which the Executive may qualify, nor, subject to Section 21,
shall anything herein limit or otherwise affect such rights as the Executive may
have under any contract or agreement with the Company or any of its affiliated
companies. Amounts which are vested benefits or which the Executive is otherwise
entitled to receive under any plan, policy, practice or program of or any
contract or agreement with the Company or any of its affiliated companies at or
subsequent to the Date of Termination shall be payable in accordance with such
plan, policy, practice or program or contract or agreement except as explicitly
modified by this Agreement.

         11. FULL SETTLEMENT. The Company's obligation to make the payments
provided for in this Agreement and otherwise to perform its obligations
hereunder shall not be affected by any set-off, counterclaim, recoupment,
defense or other claim, right or action which the Company may have against the
Executive or others. In no event shall the Executive be obligated to seek other
employment or take any other action by way of mitigation of the amounts payable
to the Executive under any of the provisions of this Agreement. Unless the
Executive's termination of employment gives rise to a right to payments and
welfare benefits described in Section 12, if the Executive secures other
employment, any welfare benefits the Company is required to provide to the
Executive following termination of the Executive's employment shall be secondary
to those provided by another employer (if any). However, if the Executive's
employment is terminated such that the Executive has a right to payments and
welfare benefits under Section 12, such amounts shall not be reduced whether or
not the Executive obtains other employment.

         12. CHANGE OF CONTROL PROVISIONS. The following provisions of this
Section 12 shall apply notwithstanding any contrary or inconsistent provision in
any other section of this Agreement, and all other provisions of this Agreement,
to the extent they may be contrary to or inconsistent with the provisions of
this Section 12, are hereby made subject to the provisions of this Section 12,
which shall be paramount in all respects, provided, however, that the provisions
of Section 3(c) shall apply, where applicable.

                                       11

<PAGE>

                  (a) POSITION AND DUTIES. During any Transition Period, the
Executive's position (including status, offices, titles and reporting
requirements), authority, duties and responsibilities shall be at least
commensurate in all material respects with the most significant of those held,
exercised and assigned at any time during the 120-day period immediately
preceding a COC Transition Date, and the Executive's services shall be performed
at the location where the Executive was employed immediately preceding a COC
Transition Date.

                  (b) COMPENSATION AND RELATED MATTERS.

                      (i) ANNUAL BONUS. For each fiscal year ending during any
Transition Period, the Company shall pay to the Executive an Annual Bonus in
cash at least equal to the Executive's highest cash bonus under the Company's
annual cash bonus program, or any comparable cash bonus under any predecessor or
successor plan, for the last three full fiscal years prior to the latest COC
Transition Date (the "Highest Recent Bonus"). Each such Annual Bonus shall be
paid no later than 60 days following the commencement of the fiscal year next
following the fiscal year for which the Annual Bonus is awarded, unless the
Executive shall elect to defer the receipt of such Annual Bonus.

                      (ii) WELFARE BENEFITS. During any Transition Period, the
benefits to which the Executive and/or the Executive's family are entitled to
pursuant to Section 6(f) shall be no less favorable, in the aggregate, than the
most favorable of such plans, practices, policies and programs in effect for the
Executive at any time during the 120-day period immediately preceding the latest
COC Transition Date or, if more favorable to the Executive, those provided
generally at any time after the latest COC Transition Date to other peer
executives of the Company and its affiliated companies.

                      (iii) INCENTIVE, SAVINGS AND RETIREMENT PLANS. During any
Transition Period, the plans, practices, policies and programs in which the
Executive is entitled to participate pursuant to Section 6(g) shall provide the
Executive with incentive opportunities (measured with respect to both regular
and special incentive opportunities, to the extent, if any, that such
distinction is applicable), savings opportunities and retirement benefit
opportunities, in each case, at least as favorable, in the aggregate, as the
most favorable of those provided by the Company and its affiliated companies for
the Executive under such plans, practices, policies and programs as of the date
hereof or if more favorable to the Executive, those provided generally at any
time to other peer executives of the Company and its affiliated companies.

                      (iv) FRINGE BENEFITS. During any Transition Period, the
Executive shall be entitled to fringe benefits, including, without limitation,
the benefits described in Section 6(h), in accordance with the most favorable
plans, practices, programs and policies of the Company and its affiliated
companies in effect for the Executive at any time during the 120-day period
immediately preceding the latest COC Transition Date or, if more favorable to
the Executive, as in effect generally at any time thereafter with respect to
other peer executives of the Company and its affiliated companies.

                      (v) OFFICE AND SUPPORT STAFF. During any Transition
Period,

                                       12

<PAGE>

the Executive shall be entitled to an office or offices of a size and with
furnishings and other appointments, and to exclusive personal secretarial and
other assistance, at least equal to the most favorable of the foregoing provided
to the Executive by the Company and its affiliated companies at any time during
the 120-day period immediately preceding the latest COC Transition Date or, if
more favorable to the Executive, as provided generally at any time thereafter
with respect to other peer executives of the Company and its affiliated
companies.

                  (vi) VACATION. During any Transition Period, the Executive
shall be entitled to paid vacation in accordance with the most favorable plans,
policies, programs and practices of the Company and its affiliated companies as
in effect for the Executive at any time during the 120-day period immediately
preceding the latest COC Transition Date or, if more favorable to the Executive,
as in effect generally at any time thereafter with respect to other peer
executives of the Company and its affiliated companies.

                  (c) GOOD REASON. During any Transition Period, for purposes of
this Agreement, "Good Reason" shall mean:

                      (i) the assignment to the Executive of any duties
inconsistent in any respect with the Executive's position (including status,
titles and reporting requirements), authority, duties or responsibilities as
contemplated by Sections 5(a) or 12(a) of this Agreement, or any other action by
the Company which results in a diminution in such position, authority, duties or
responsibilities, excluding for this purpose isolated, insubstantial and
inadvertent action(s) not taken in bad faith and remedied by the Company
promptly after receipt of notice thereof given by the Executive;

                      (ii) any failure by the Company to comply with any of the
provisions of Section 6 or Section 12(a) or (b) of this Agreement, other than
isolated, insubstantial and inadvertent failure(s) not occurring in bad faith
and remedied by the Company promptly after receipt of notice thereof given by
the Executive;

                      (iii) any termination by the Company of the Executive's
employment otherwise than as expressly permitted by this Agreement; or

                      (iv) any failure by the Company to comply with and satisfy
Section 16(a) of this Agreement.

                  For purposes of this Section 12(c), any good faith
determination of "Good Reason" made by the Executive shall be conclusive. A
termination by the Executive for any reason during the 30-day period immediately
following the date which is six months after any COC Transition Date shall be
deemed to be a termination for Good Reason for all purposes of this Agreement.

                  (d) COMPENSATION UPON TERMINATION FOR DISABILITY. If the
Executive's employment is terminated by reason of the Executive's Disability
during any Transition Period, then with respect to the provision of Other
Benefits, the term Other Benefits as utilized in Section 9(a) shall include, and
the Executive shall be entitled after the Disability

                                       13

<PAGE>

Effective Date to receive, disability and other benefits at least equal to the
most favorable of those generally provided by the Company and its affiliated
companies to disabled executives and/or their families in accordance with such
plans, programs, practices and policies relating to disability, if any, as in
effect generally with respect to the most senior executives and their families
at any time during the 120-day period immediately preceding the latest COC
Transition Date or, if more favorable to the Executive and/or the Executive's
family, as in effect at any time thereafter generally with respect to other peer
executives of the Company and its affiliated companies and their families.

                  (e) COMPENSATION UPON TERMINATION BY DEATH. If the Executive's
death occurs during any Transition Period, then with respect to the provision of
Other Benefits, the term Other Benefits as utilized in Section 9(b) shall
include, without limitation, and the Executive's estate and/or beneficiaries
shall be entitled to receive, benefits at least equal to the most favorable
benefits provided by the Company and its affiliated companies to the estates and
beneficiaries of the most senior executives of the Company and its affiliated
companies under such plans, programs, practices and policies relating to death
benefits, if any, as in effect with respect to the most senior executives and
their beneficiaries at any time during the 120-day period immediately preceding
the latest COC Transition Date or, if more favorable to the Executive's estate
and/or the Executive's beneficiaries, as in effect on the date of the
Executive's death with respect to other peer executives of the Company and its
affiliated companies and their beneficiaries.

                  (f) COMPENSATION UPON TERMINATION BY THE COMPANY WITHOUT CAUSE
OR FOR GOOD REASON. If, during any Transition Period, the Company shall
terminate the Executive's employment other than for Cause or Disability or the
Executive shall terminate employment for Good Reason:

                      (i) the Company shall pay to the Executive in a lump sum
in cash within 30 days after the Date of Termination the aggregate of the
following amounts:

                          a. the sum of (1) the Executive's Annual Base Salary
through the Date of Termination to the extent not theretofore paid, (2) the
product of (x) the Applicable Bonus and (y) a fraction, the numerator of which
is the number of days in the current fiscal year through the Date of
Termination, and the denominator of which is 365 and (3) any compensation
previously deferred by the Executive (together with any accrued interest or
earnings thereon) and any accrued vacation pay, in each case to the extent not
theretofore paid (the sum of the amounts described in clauses (1), (2), and (3)
shall be referred to in this Agreement as the "Accrued Obligations"); and

                           b. the amount equal to the product of (1) two and
(2) the sum of (x) the Executive's Annual Base Salary and (y) the Highest Annual
Bonus; and

                           c. an amount equal to the excess of (a) the actuarial
equivalent of the benefit under the Company's defined benefit retirement plans,
including any excess or supplemental retirement plan in which the Executive
participates (together, the "Retirement Plans") (utilizing actuarial assumptions
no less favorable to the Executive than those in effect

                                       14

<PAGE>

under the Retirement Plans immediately prior to the latest COC Transition Date),
which the Executive would receive if the Executive's employment continued for
two years after the Date of Termination assuming for this purpose that all
accrued benefits are fully vested, and, assuming that the Executive's
compensation in both of the two years is that required by Section 6(a) and
Section 6(b), over (b) the actuarial equivalent of the Executive's actual
benefit (paid or payable), if any, under the Retirement Plans as of the Date of
Termination; and

                       d. An amount equal to the then present value of the lump
sum sign-on bonus which would have been payable under Section 6(b)(i), less any
portion thereof previously paid (using the prime rate of interest as the
applicable discount factor).

                  (ii) for two years after the Executive's Date of Termination,
or such longer period as may be provided by the terms of the appropriate plan,
program, practice or policy, the Company shall continue benefits to the
Executive and/or the Executive's family at least equal to those which would have
been provided to them in accordance with the plans, programs, practices and
policies described in Section 6(f) of this Agreement if the Executive's
employment had not been terminated or, if more favorable to the Executive, as in
effect generally at any time thereafter with respect to other peer executives of
the Company and its affiliated companies and their families, provided, however,
that if the Executive becomes reemployed with another employer and is eligible
to receive medical or other welfare benefits under another employer provided
plan, the medical and other welfare benefits described herein shall be secondary
to those provided under such other plan during such applicable period of
eligibility. For purposes of determining eligibility (but not the time of
commencement of benefits) of the Executive for retiree benefits pursuant to such
plans, practices, programs and policies, the Executive shall be considered to
have remained employed until two years after the Date of Termination and to have
retired on the last day of such period;

                  (iii) the Company shall, at its sole expense as incurred,
provide the Executive with outplacement services the scope and provider of which
shall be selected by the Executive in his sole discretion, and which shall
include the provision of reasonable office space and secretarial assistance,
provided, that the Company's responsibility under this clause (iii) shall be
limited to $30,000;

                  (iv) to the extent not theretofore paid or provided, the
Company shall timely pay or provide to the Executive any other amounts or
benefits required to be paid or provided or which the Executive is eligible to
receive under any plan, program, policy or practice or contract or agreement of
the Company and its affiliated companies (such other amounts and benefits shall
be referred to in this Agreement as the "Other Benefits");

                  (v) the Company shall cause all Stock Options and restricted
shares of Company Stock held by or for the benefit of the Executive to become
immediately fully vested and/or exercisable; and

                  (vi) Alpine shall cause all stock options to purchase shares
of Alpine Stock held by or for the benefit of the Executive to become
immediately fully vested and/or exercisable.

                                       15

<PAGE>

         13.  LEGAL FEES.

                  (a) Following any termination of the Executive's employment
that gives rise to a right to payments and benefits under Section 12, the
Company shall pay as incurred, to the full extent permitted by law, all legal
fees and expenses which the Executive may reasonably incur as a result of any
contest (regardless of the outcome thereof) by the Company, the Executive or
others of the validity or enforceability of, or liability under, any provision
of this Agreement or any guarantee of performance thereof (including as a result
of any contest by the Executive about the amount of any payment pursuant to this
Agreement), plus in each case interest on any delayed payment at the applicable
Federal rate provided for in Section 7872(f)(2)(A) of the Code.

                  (b) Following any termination of the Executive's employment
other than a termination of employment described in paragraph (a), above, the
Company shall promptly reimburse the Executive, to the extent permitted by law,
for all reasonable legal fees and expenses reasonably incurred by the Executive
as a result of any contest by the Company or the Executive of the validity or
enforceability of, or liability under, any provisions of this Agreement or any
guarantee of performance thereof (including as a result of any contest by the
Executive about the amount of any payment pursuant to this Agreement), plus in
each case interest on any delayed payment at the applicable Federal rate
provided for in Section 7872(f)(2)(A) of the Code, provided, that such
reimbursement shall be limited to fees and expenses incurred in connection with
the contest of issues on which the Executive substantially prevails.

         14.  CERTAIN ADDITIONAL PAYMENTS BY THE COMPANY.

                  (a) Anything in this Agreement to the contrary notwithstanding
and except as set forth below, in the event it shall be determined that any
payment or distribution by the Company to or for the benefit of the Executive
(whether paid or payable or distributed or distributable pursuant to the terms
of this Agreement or otherwise, but determined without regard to any additional
payments required under this Section 14) (a "Payment") would be subject to the
excise tax imposed by Section 4999 of the Code or any interest or penalties are
incurred by the Executive with respect to such excise tax (such excise tax,
together with any such interest and penalties, are hereinafter collectively
referred to as the "Excise Tax"), then the Executive shall be entitled to
receive an additional payment (a "Gross-Up Payment") in an amount such that
after payment by the Executive of all taxes (including any interest or penalties
imposed with respect to such taxes), including, without limitation, any income
taxes (and any interest and penalties imposed with respect thereto) and Excise
Tax imposed upon the Gross-Up Payment, the Executive retains an amount of the
Gross-Up Payment equal to the Excise Tax imposed upon the Payments.
Notwithstanding the foregoing provisions of this Section 14(a), if it shall be
determined that the Executive is entitled to a Gross-Up Payment, but that the
Payments do not exceed 110% of the greatest amount (the "Reduced Amount") that
could be paid to the Executive such that the receipt of Payments would not give
rise to any Excise Tax, then no Gross-Up Payment shall be made to the Executive
and the Payments, in the aggregate, shall be reduced to the Reduced Amount.

                  (b) Subject to the provisions of Section 14(c), all
determinations required to

                                       16

<PAGE>

be made under this Section 14, including whether and when a Gross-Up Payment is
required and the amount of such Gross-Up Payment and the assumptions to be
utilized in arriving at such determination, shall be made by Arthur Andersen LLP
or such other certified public accounting firm as may be designated by the
Executive (the "Accounting Firm") which shall provide detailed supporting
calculations both to the Company and the Executive within 15 business days of
the receipt of notice from the Executive that there has been a Payment, or such
earlier time as is requested by the Company. In the event that the Accounting
Firm is serving as accountant or auditor for the individual, entity or group
effecting the Change of Control, the Executive shall appoint another nationally
recognized accounting firm to make the determinations required hereunder (which
accounting firm shall then be referred to as the Accounting Firm hereunder). All
fees and expenses of the Accounting Firm shall be borne solely by the Company.
Any Gross-Up Payment, as determined pursuant to this Section 14, shall be paid
by the Company to the Executive within 5 days of the receipt of the Accounting
Firm's determination. Any determination by the Accounting Firm shall be binding
upon the Company and the Executive. As a result of the uncertainty in the
application of Section 4999 of the Code at the time of the initial determination
by the Accounting Firm hereunder, it is possible that Gross-Up Payments which
will not have been made by the Company should have been made ("Underpayment"),
consistent with the calculations required to be made hereunder. In the event
that the Company exhausts its remedies pursuant to Section 14(c) and the
Executive thereafter is required to make a payment of any Excise Tax, the
Accounting Firm shall determine the amount of the Underpayment that has occurred
and any such Underpayment shall be promptly paid by the Company to or for the
benefit of the Executive.

                  (c) The Executive shall notify the Company in writing of any
claim by the Internal Revenue Service that, if successful, would require the
payment by the Company of the Gross-Up Payment. Such notification shall be given
as soon as practicable but no later than 10 business days after the Executive is
informed in writing of such claim and shall apprise the Company of the nature of
such claim and the date on which such claim is requested to be paid. The
Executive shall not pay such claim prior to the expiration of the 30-day period
following the date on which it gives such notice to the Company (or such shorter
period ending on the date that any payment of taxes with respect to such claim
is due). If the Company notifies the Executive in writing prior to the
expiration of such period that it desires to contest such claim, the Executive
shall:

                      (i) give the Company any information reasonably requested
by the Company relating to such claim,

                      (ii) take such action in connection with contesting such
claim as the Company shall reasonably request in writing from time to time,
including, without limitation, accepting legal representation with respect to
such claim by an attorney reasonably selected by the Company,

                      (iii) cooperate with the Company in good faith in order
effectively to contest such claim, and

                      (iv) permit the Company to participate in any proceedings
relating to

                                       17

<PAGE>

such claim;

                  provided, however, that the Company shall bear and pay
directly all costs and expenses (including additional interest and penalties)
incurred in connection with such contest and shall indemnify and hold the
Executive harmless, on an after-tax basis, for any Excise Tax or income tax
(including interest and penalties with respect thereto) imposed as a result of
such representation and payment of costs and expenses. Without limitation on the
foregoing provisions of this Section 14(c), the Company shall control all
proceedings taken in connection with such contest and, at its sole option, may
pursue or forgo any and all administrative appeals, proceedings, hearings and
conferences with the taxing authority in respect of such claim and may, at its
sole option, either direct the Executive to pay the tax claimed and sue for a
refund or contest the claim in any permissible manner, and the Executive agrees
to prosecute such contest to a determination before any administrative tribunal,
in a court of initial jurisdiction and in one or more appellate courts, as the
Company shall determine; provided, however, that if the Company directs the
Executive to pay such claim and sue for a refund, the Company shall advance the
amount of such payment to the Executive, on an interest-free basis and shall
indemnify and hold the Executive harmless, on an after-tax basis, from any
Excise Tax or income tax (including interest or penalties with respect thereto)
imposed with respect to such advance or with respect to any imputed income with
respect to such advance; and further provided that any extension of the statute
of limitations relating to payment of taxes for the taxable year of the
Executive with respect to which such contested amount is claimed to be due is
limited solely to such contested amount. Furthermore, the Company's control of
the contest shall be limited to issues with respect to which a Gross-Up Payment
would be payable hereunder and the Executive shall be entitled to settle or
contest, as the case may be, any other issue raised by the Internal Revenue
Service or any other taxing authority.

                  (d) If, after the receipt by the Executive of an amount
advanced by the Company pursuant to Section 14(c), the Executive becomes
entitled to receive any refund with respect to such claim, the Executive shall
(subject to the Company's complying with the requirements of Section 14(c))
promptly pay to the Company the amount of such refund (together with any
interest paid or credited thereon after taxes applicable thereto). If, after the
receipt by the Executive of an amount advanced by the Company pursuant to
Section 14(c), a determination is made that the Executive shall not be entitled
to any refund with respect to such claim and the Company does not notify the
Executive in writing of its intent to contest such denial of refund prior to the
expiration of 30 days after such determination, then such advance shall be
forgiven and shall not be required to be repaid and the amount of such advance
shall offset, to the extent thereof, the amount of Gross-Up Payment required to
be paid.

         15.  NONCOMPETITION.

                  (a) So long as the Executive is employed by the Company under
this Agreement and unless this Agreement is terminated for any reason, the
Executive agrees not to enter into competitive endeavors.

                  (b) During the Term and any period thereafter during which or
in respect of which the Executive receives payments from the Company under
Section 9 or Section 12, the

                                       18

<PAGE>

Executive shall hold in a fiduciary capacity for the benefit of the Company all
secret or confidential information, knowledge or data relating to the Company or
any of its affiliated companies, and their respective businesses, which shall
have been obtained by the Executive during the Executive's employment by the
Company or any of its affiliated companies and which shall not be or become
public knowledge (other than by acts by the Executive or representatives of the
Executive in violation of this Agreement). After termination of the Executive's
employment with the Company, the Executive shall not, without the prior written
consent of the Company or as may otherwise be required by law or legal process,
communicate or divulge any such information, knowledge or data to anyone other
than the Company and those designated by it. In no event shall an asserted
violation of the provisions of this Section 15 constitute a basis for deferring
or withholding any amounts otherwise payable to the Executive under Section 12
of this Agreement.

         16.  SUCCESSORS; BINDING AGREEMENT.

                  (a) The Company will require any successor (whether direct or
indirect, by purchase, merger, consolidation or otherwise) to all or
substantially all of the business and/or assets of the Company, by agreement in
form and substance satisfactory to the Executive, to expressly assume and agree
to perform this Agreement in the same manner and to the same extent that the
Company would be required to perform it if no such succession had taken place.
Failure of the Company to obtain such assumption and agreement prior to the
effectiveness of any such succession shall be a breach of the Agreement and
shall entitle the Executive to compensation from the Company in the same amount
and on the same terms as he would be entitled to hereunder if he terminated his
employment for Good Reason, except that for purposes of implementing the
foregoing, the date on which any such succession becomes effective shall be
deemed the Date of Termination. As used in the Agreement, Company shall mean the
Company as herein before defined and any successor to its business and/or assets
as aforesaid which executes and delivers the agreement provided for in this
Section 16 or which otherwise becomes bound by all the terms and provisions of
this Agreement by operation of law.

                  (b) This Agreement and all rights of the Executive hereunder
shall inure to the benefit of and be enforceable by the Executive's personal or
legal representatives, executors, administrators, successors, heirs,
distributees, devises and legatees. If the Executive should die while any
amounts would still be payable to him hereunder if he had continued to live, all
such amounts unless otherwise provided herein, shall be paid in accordance with
the terms of this Agreement to the Executive's devise, legatee, or other
designee or, if there be no such designee, to the Executive's estate.

         17. NOTICE. For the purposes of this Agreement, notices, demands and
all other communications provided for in this Agreement shall be in writing and
shall be deemed to have been duly given when delivered or (unless otherwise
specified) mailed by United States certified or registered mail, return receipt
requested, postage prepaid, addressed as follows:

                  If to the Executive, to the address specified below the
Executive's name at the end of this Agreement.

                                       19

<PAGE>

                  If to the Company:        Superior TeleCom Inc.
                                            1790 Broadway
                                            15th Floor
                                            New York, NY 10019-1412
                                            Attention:  Chief Executive Officer

                  or to such other address as any party may have furnished to
the others in writing in accordance herewith, except that notices of change of
address shall be effective only upon receipt.

         18. MISCELLANEOUS. No provisions of this Agreement may be modified,
waived or discharged unless such waiver, modification or discharge is agreed to
in writing signed by the Executive and such officer of the Company as may be
authorized by the Board. No waiver by either party hereto at any time of any
breach by the other party hereto of, or compliance with, any condition or
provision of this Agreement to be performed by such other party shall be deemed
a waiver of similar or dissimilar provisions or conditions at the same or at any
prior or subsequent time. No agreements or representations, oral or otherwise,
express or implied, with respect to the subject matter hereof have been made by
either party which are not set forth expressly in this Agreement. The validity,
interpretation, construction and performance of this Agreement shall be governed
by the laws of New York without regard to its conflicts of law principles.

         19. VALIDITY. The invalidity or unenforceability of any provision or
provisions of this Agreement shall not affect the validity or enforceability of
any other provision of this Agreement, which shall remain in full force and
effect.

         20. COUNTERPARTS. This Agreement may be executed in one or more
counterparts, each of which shall be deemed to be an original but all of which
together will constitute one and the same instrument.

         21. ENTIRE AGREEMENT. This Agreement sets forth the entire agreement of
the parties hereto in respect of the subject matter contained herein and
supersedes all prior agreements, promises, covenants, arrangements,
communications, representations or warranties, whether oral or written, by any
officers employee or representative of any party hereto; and any prior agreement
of the parties hereto in respect of the subject matter contained herein is
hereby terminated and cancelled, provided, however, that this Agreement should
not supersede any existing benefit or agreement which provides such benefit,
including, without limitation, life or disability insurance agreements and
retirement plans currently in effect.

                                       20

<PAGE>

         IN WITNESS WHEREOF, the parties have executed this Agreement on the
date and year first above written.

           ATTEST:                            SUPERIOR TELECOM INC.

           --------------------------         ----------------------------
           Stewart H. Wahrsager, Esq.         Steven S. Elbaum
           Corporate Secretary                Chairman and Chief Executive
                                              Officer

           ATTEST:                            EXECUTIVE

           --------------------------         -----------------------------
           Stewart H. Wahrsager, Esq.         William F. Evans
           Corporate Secretary

                                              Address:______________________

                                                      ______________________

                                       21

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