Document:

<PAGE>
                                                                   EXHIBIT 10.35

                                                                  CONFORMED COPY

                           LOAN AMENDMENT AGREEMENT
                  (POUNDS)64,000,000 REVOLVING LOAN FACILITY
    BEING AMENDED TO (POUNDS)150,000,000 TERM AND REVOLVING LOAN FACILITIES

DATE: 18th June, 1999

PARTIES

1.   CASTLE TRANSMISSION INTERNATIONAL LTD. (formerly known as Castle
     Transmission Services Limited), a company incorporated in England (number
     3196207), of Warwick Technology Park, Gallows Hill, Heathcote Lane, Warwick
     CV34 6TN, as borrower

2.   CASTLE TRANSMISSION SERVICES (HOLDINGS) LTD, a company incorporated in
     England (number 3242381), of Warwick Technology Park, Gallows Hill,
     Heathcote Lane, Warwick CV34 6TN and MILLENNIUM COMMUNICATIONS LIMITED, a
     company incorporated in England (number 2903056), of Warwick Technology
     Park, Gallows Hill, Heathcote Lane, Warwick CV34 6TN, as guarantors

3.   THE LENDERS listed in Schedule 1, as lenders

4.   CREDIT SUISSE FIRST BOSTON, as lead arranger

5.   CREDIT LYONNAIS, THE INDUSTRIAL BANK OF JAPAN, LIMITED, THE ROYAL BANK OF
     SCOTLAND PLC AND SCOTIABANK EUROPE PLC, as arrangers

6.   CREDIT SUISSE FIRST BOSTON, as agent (the "AGENT")

BACKGROUND

(A)  On 28th February, 1997 the loan agreement (in the form it was in at that
     date) was entered into between the Borrower, the Parent, certain lenders,
     the Agent and others and under its terms the lenders agreed to provide term
     and revolving loan facilities of (Pounds)162,500,000 to the Borrower.  On
     21st May, 1997 the parties to the loan agreement (except Millennium)
     amended the loan agreement.  Under the loan agreement (as amended at that
     date) the lenders under it agreed to provide revolving loan facilities of
     (Pounds)64,000,000 to the Borrower.  These loan facilities are guaranteed
     by the Parent and secured by charges granted by the Borrower and the
     Parent.  With effect from 27th October, 1998 Millennium acceded to the
     Existing Loan Agreement as an additional guarantor and acceded to the
     Debenture (in the form it was in at that date) as an additional chargor.

(B)  At the request of the Borrower the parties have agreed to amend the terms
     of the Existing Loan Agreement on the terms of this Agreement.

The parties agree as follows:
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1.   INTERPRETATION

1.1  LOAN AGREEMENT

     The interpretation provisions contained in Part I of the Amended Loan
     Agreement are deemed to be incorporated expressly in this Agreement, and
     apply to this Agreement accordingly.

1.2  DEFINITIONS

     In this Agreement:

     "AMENDMENT DATE" means 18th June, 1999

     "AMENDED LOAN AGREEMENT" means the Existing Loan Agreement as it will be
     amended under the terms of this Agreement with effect from the Amendment
     Date and as set out in Schedule 2 to this Agreement.

     "DEPOSIT CHARGE AMENDMENT AGREEMENT" means the deposit charge amendment
     agreement expected to be dated the same date as this Agreement and made
     between the Borrower and Credit Suisse First Boston.

     "EXISTING LOAN AGREEMENT" means the loan agreement dated 28th February,
     1997 as amended on 21st May, 1997 and as acceded to by Millennium, made
     between the Borrower, the Parent, the lenders named in it, Credit Suisse
     First Boston and others under which the lenders agreed to provide
     (Pounds)64,000,000 revolving loan facilities.

     "LENDERS" means the lenders whose names are set out in Schedule 1 to this
     Agreement.

     "INTER-COMPANY LOAN AMENDMENT AGREEMENT" means the agreement expected to be
     dated the same date as this Agreement and made between the Borrower and CT
     Finance which amends and restates the Inter-Company Loan Agreement.

     "SUPPLEMENTAL AND AMENDMENT DEED" means the supplemental and amendment deed
     expected to be dated the same date as this Agreement which supplements and
     amends the Debenture.

1.3  SCOPE

     This Agreement is supplemental to and amends the Existing Loan Agreement.
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2.   CONDITIONS PRECEDENT

2.1  CONDITIONS PRECEDENT

     The Borrower agrees to deliver all the items listed in Schedule 3 to the
     Amended Loan Agreement to the Agent by 8.00 a.m. on  the Amendment Date, in
     a form satisfactory to the Agent

2.2  REPAYMENT
     The Amendment Date must be a date on which all the Advances outstanding
     under the Existing Loan Agreement are due to be repaid.

2.3  NOTICE OF BORROWING

     The Borrower agrees to deliver to the Agent on or before the Amendment Date
     a notice of borrowing in accordance with the provisions of Clause 6 of the
     Amended Loan Agreement requesting a drawing of at least (Pounds)55,500,000
     on the Amendment Date.

3.   AMENDMENT OF THE LOAN AGREEMENT

3.1  NOTICE TO THE LENDERS

     This Clause applies if:

     (A)  the Agent receives the items described in Clause 2.1 by 8.00 a.m. on
          the Amendment Date;

     (B)  the Agent receives the notice or notices of borrowing described in
          Clause 2.3 on or before the Amendment Date; and

     (C)  the requirements of Clause 6.4 of the Amended Loan Agreement are
          satisfied at the Amendment Date.

     In this event the Agent will notify the Lenders of this in writing at the
     Amendment Date.

3.2  EFFECT OF NOTICE

     With effect from the Agent giving (or being obliged to give) the notice
     described in Clause 3.1, each of the following will occur:

     (A)  The Existing Loan Agreement will be amended so that it will be read
          and construed as is set out in Schedule 2. The Existing Loan Agreement
          as amended will remain in full force and effect. References to the
          Loan
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          Agreement, however expressed, will be read and construed as references
          to both the Existing Loan Agreement as amended by this Agreement and
          (unless the context otherwise requires) to this Agreement.

     (B)  The Supplemental and Amendment Deed, the Deposit Charge Amendment
          Agreement and the Inter-Company Loan Amendment Agreement will take
          effect in accordance with their respective terms.

     (C)  Each Lender will advance its participation in the Advance or Advances
          requested in the notice or notices of borrowing described in Clause
          2.3 on the Amendment Date. The Advance or Advances will be made under
          the terms of the Amended Loan Agreement.

     (D)  The Borrower will pay on the Amendment Date the amount of commitment
          fee which accrued but has not yet been paid under the Existing Loan
          Agreement as at the Amendment Date.

4.   MISCELLANEOUS

4.1  EXPIRY

     The obligations and rights constituted by this Agreement will be
     extinguished on the date one month after the date of this Agreement if the
     conditions set out in Clause 3.1 have not been satisfied on or prior to
     that date.

4.2  LAW

     This Agreement is to be governed by and construed in accordance with
     English law.

4.3  COUNTERPARTS

     There may be several signed copies of this Agreement.  There is intended to
     be a single Agreement and each signed copy is a counterpart of that
     Agreement.
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                                   SIGNATURES

BORROWER
--------

CASTLE TRANSMISSION INTERNATIONAL LTD.

Address:       Warwick Technology Park,
               Gallows Hill,
               Heathcote Lane,
               Warwick CV34 6TN.

Fax Number:    01926 416441

Attention:     Company Secretary

By:            ALAN REES

PARENT AND GUARANTOR
--------------------

CASTLE TRANSMISSION SERVICES (HOLDINGS) LTD

Address:       Warwick Technology Park,
               Gallows Hill,
               Heathcote Lane,
               Warwick  CV34 6TN.

Fax Number:    01926 416 441

Attention:     Company Secretary

By:            ALAN REES

ADDITIONAL GUARANTOR
--------------------

MILLENNIUM COMMUNICATIONS LIMITED

Address:       Warwick Technology Park,
               Gallows Hill,
               Heathcote Lane,
               Warwick  CV34 6TN.

Fax Number:    01926 416 441

Attention:     Company Secretary
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By:            ALAN REES

LEAD ARRANGER
-------------

CREDIT SUISSE FIRST BOSTON

By:  IAN PIDDOCK    JULIE GAVIN

ARRANGERS
---------

CREDIT LYONNAIS

By:  JULIE GAVIN AS ATTORNEY

THE INDUSTRIAL BANK OF JAPAN, LIMITED

By:  JULIE GAVIN AS ATTORNEY

THE ROYAL BANK OF SCOTLAND PLC

By:  JULIE GAVIN AS ATTORNEY

SCOTIABANK EUROPE PLC

By:  JULIE GAVIN AS ATTORNEY

LENDERS
-------

CREDIT SUISSE FIRST BOSTON

Address:       Five Cabot Square, London, E14 4QR

Fax Number:    0171 888 8398

Telex Number:  887 322

Attention:     Client Services Unit
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By:  IAN PIDDOCK    JULIE GAVIN
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CREDIT LYONNAIS

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Broadwalk House,              Broadwalk House,
                       5 Appold Street,              5 Appold Street,
                       London EC2A 2DA.              London EC2A 2DA.

Fax Number:            0171 634 8353                 0171 214 7159

Telex Number:          885479                        885479

Attention:             Steve White                   Simon Parker

By:                    JULIE GAVIN AS ATTORNEY

THE INDUSTRIAL BANK OF JAPAN, LIMITED

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Bracken House,                Bracken House,
                       One Friday Street,            One Friday Street,
                       London EC4M 9JA.              London EC4M 9JA.

Fax Number:            0171 815 2288/9               0171 815 2245

Telex Number:          886939 KOGINL G               886939 KOGINL G

Attention:             Mary Roe                      Paul Dignam

By:                    JULIE GAVIN AS ATTORNEY

THE ROYAL BANK OF SCOTLAND PLC

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               CBO, PO Box 450,              Waterhouse Square,
                       5-10 Great Tower St.,         138-142 Holborn,
                       London EC3P 3HX.              London EC1N 2TH.

Fax Number:            0171 220 7370                 0171 427 9920

Telex Number:          8956751                       8956751

Attention:             Kevin Mann                    Richard Green

By:                    JULIE GAVIN AS ATTORNEY
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SCOTIABANK EUROPE PLC

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Scotia House,                 Scotia House,
                       33 Finsbury Square,           33 Finsbury Square,
                       London EC2A 1BB.              London EC2A 1BB.

Fax Number:            0171 826 5857                 0171 826 5987

Telex Number:          885188/9                      885188/9

Attention:             Anita Mills/Steven Caller     Paul Shanley/David Sparkes

By:                    JULIE GAVIN AS ATTORNEY

ALLIED IRISH BANKS PLC (LONDON BRANCH)

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               12, Old Jewry,                AIB International Centre,
                       London EC2R 8DP.              IFSC Centre,
                                                     Dublin 1,
                                                     Ireland.

Fax Number:            0171 726 8735                 00 353 1 829 0269

Attention:             Maura O Sullivan/             Laurence Enderson/
                       Marian Winger                 Conor Geary

By:                    JULIE GAVIN AS ATTORNEY

THE GOVERNOR AND COMPANY OF THE BANK OF IRELAND
P.O. Box 27, Broad Quay, Bristol BS99 7AX

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               BOIIF Loans                   Project Finance,
                       Administration,               Bank of Ireland
                       Hume House,                    International Finance,
                       Ballsbridge,                  La Touche House,
                       Dublin 4,                     IFSC,
                       Ireland.                      Dublin 1,
                                                     Ireland.

Fax Number:            00 353 1 618 7470             00 353 1 829 0129

Attention:             Edward Meagher                David Ryan/
                                                     Deiordre Flannery

By:                    JULIE GAVIN AS ATTORNEY
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THE GOVERNOR AND COMPANY OF THE BANK OF SCOTLAND

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Bank of Scotland              Bank of Scotland
                       International Division,       International Division,
                       30 Queensferry Road,          30 Queensferry Road,
                       Edinburgh EH4 2UG.            Edinburgh EH4 2UG.

Fax Number:            0131 343 7080                 0131 343 7026

Attention:             Barry Cairns, Loans           Stephen J. Green,
                       Administration                Assistant Manager,
                                                     Project & Specialised
                                                      Finance
By:                    JULIE GAVIN AS ATTORNEY

BAYERISCHE LANDESBANK GIROZENTRALE, LONDON BRANCH

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Bavaria House,                Bavaria House,
                       13/14 Appold Street,          13/14 Appold Street,
                       London EC2A 2NB.              London EC2A 2NB.

Fax Number:            0171 955 5173                 0171 955 5700

Telex Number:          886437                        886437

Attention:             David Mellotte, Loan          Paula Kirkland,
                       Administration                Structured Finance

By:                    JULIE GAVIN AS ATTORNEY

DE NATIONALE INVESTERINGSBANK N.V., LONDON BRANCH

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               22 Eastcheap,                 22 Eastcheap,
                       London EC3M 1LA.              London EC3M 1LA.

Fax Number:            0171 929 4009                 0171 929 4009

Telex Number:          920090                        920090

Attention:             Simon Fish, Operations        Andrew Kuyk, Manager
                        Manager

By:                    JULIE GAVIN AS ATTORNEY
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DEXIA PROJECT & PUBLIC FINANCE INTERNATIONAL BANK, LONDON BRANCH

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               55 Tufton Street,             55 Tufton Street,
                       Westminster,                  Westminster,
                       London SW1P 3QF.              London SW1P 3QF.

Fax Number:            0171 799 2117                 0171 976 0976

Attention:             Justin Wyatt, Senior          Victoria Derby, Manager,
                        Manager, Operations          Project Finance

By:                    JULIE GAVIN AS ATTORNEY

THE FUJI BANK, LIMITED

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               River Plate House,            River Plate House,
                       7-11 Finsbury Circus,         7-11 Finsbury Circus,
                       London EC2M 7DH.              London EC2M 7DH.

Fax Number:            0171 588 1400                 0171 588 1400

Telex Number:          886352/886317 FUJIBK G        886352/886317 FUJIBK G

Attention:             Richard Hiscock,              Robert Pettitt, Senior
                       Manager, Credit &             Manager, Corporate
                        Loans Department              Relations Management Group

By:                    ROBERT PETTITT

KBC BANK N.V. LONDON BRANCH

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               7th Floor,                    KBC Finance Ireland,
                       Exchange House,               KBC House,
                       Primrose Street,              International Financial
                       London EC2A 2HQ.               Services Centre,
                                                     Dublin 1,
                                                     Republic of Ireland.

Fax Number:            0171 256 4846                 00 353 1 670 0855

Attention:             Julian Wheeler/               Fiacra Nagle/
                       Martin Clarke                 Alan Hudson

By:                    JULIE GAVIN AS ATTORNEY
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LLOYDS BANK PLC

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Bank House,                   PO Box 787,
                       Wine Street,                  6-8 Eastcheap,
                       Bristol BS1 2AM.              London EC3M 1LL.

Fax Number:            0117 923 3367                 0171 661 4852

Telex Number:          888301                        888301

Attention:             Ted Roylance,                 Dean Byrne/Guy Reeves,
                       Loans Administration          Corporate Banking

By:                    DEAN BYRNE

THE CO-OPERATIVE BANK P.L.C.

                       Credit and Operations Contacts
                       ------------------------------

Address:               PO Box 101,
                       1 Balloon Street,
                       Manchester M60 4EP.

Fax Number:            0161 832 8274

Telex Number:          567274 COOPBKG

Attention:             Philip J. Basten,
                       Business Development Manager

By:                    JULIE GAVIN AS ATTORNEY

SOCIETE GENERALE, LONDON BRANCH

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               SG House,                     SG House,
                       41 Tower Hill,                41 Tower Hill,
                       London EC3N 4SG.              London EC3N 4SG.

Fax Number:            0171 638 6517                 0171 680 9478

Attention:             Karen Schwartz                Sarah Grant

By:                    JULIE GAVIN AS ATTORNEY
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THE SUMITOMO BANK, LIMITED

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Temple Court,                 Temple Court,
                       11 Queen Victoria Street,     11 Queen Victoria Street,
                       London EC4N 4TA.              London EC4N 4TA.

Fax Number:            0171 786 1569                 0171 248 3187

Telex Number:          887667                        887667

Attention:             Manager, Loans                Neil Jones
                        Administration

By:                    JULIE GAVIN AS ATTORNEY

THE DAI-ICHI KANGYO BANK, LTD

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               DKB House,                    DKB House,
                       24 King William Street,       24 King William Street,
                       London EC4R 9DB.              London EC4R 9DB.

Fax Number:            0171 626 3648                 0171 200 9494

Attention:             Christine Hawkins,            Chris Williams,
                       Manager                       Senior Manager

By:                    JULIE GAVIN AS ATTORNEY

ULSTER BANK LIMITED

                       Operations Contact            Credit Contact
                       ------------------            ----------------

Address:               Ulster Bank Markets,          Ulster Bank Markets,
                       11-16 Donegall Square East,   Ulster Bank Group Centre,
                       Belfast BT1 5HD,              George's Quay,
                       Ireland.                      Dublin 2,
                                                     Ireland.

Fax Number:            00 353 1 608 4199             00 353 1 608 4145

Telex Number:          93980                         93980

Attention:             Catherine Green/              Niall Tuite/
                       Deidre Hammond                Brendan Heneghan

By:                    JULIE GAVIN AS ATTORNEY
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AGENT
-----
CREDIT SUISSE FIRST BOSTON

Address:          Five Cabot Square,
                  London  E14 4QR

Fax Number:       0171 888 8398

Attention:        Agency Services Unit

By:               IAN PIDDOCK            JULIE GAVIN
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                                   SCHEDULE 1
                                   ----------

                                    LENDERS
                                    -------

Credit Suisse First Boston

Credit Lyonnais

The Industrial Bank of Japan, Limited

The Royal Bank of Scotland plc

Scotiabank Europe plc

Allied Irish Banks PLC (London Branch)

The Governor and Company of the Bank of Ireland

The Governor and Company of the Bank of Scotland

Bayerische Landesbank Girozentrale, London Branch

De Nationale Investeringsbank N.V., London Branch

Dexia Project & Public Finance International Bank, London Branch

The Fuji Bank, Limited

KBC Bank N.V., London Branch

Lloyds Bank Plc

The Co-operative Bank p.l.c.

Societe Generale, London Branch

The Sumitomo Bank Limited

The Dai-Ichi Kangyo Bank, Ltd

Ulster Bank Limited
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                                   SCHEDULE 2
                                   ----------

                             AMENDED LOAN AGREEMENT

See following pages.
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 DATE: 28TH FEBRUARY, 1997 AS AMENDED ON 21ST MAY, 1997 AND ON 18TH JUNE, 1999

                    CASTLE TRANSMISSION INTERNATIONAL LTD.
                                  AS BORROWER

                 CASTLE TRANSMISSION SERVICES (HOLDINGS) LTD.

                                      AND

                       MILLENNIUM COMMUNICATIONS LIMITED
                                 AS GUARANTORS

                       THE LENDERS LISTED IN SCHEDULE 1

                          CREDIT SUISSE FIRST BOSTON
                               AS LEAD ARRANGER

                                CREDIT LYONNAIS
                     THE INDUSTRIAL BANK OF JAPAN, LIMITED
                        THE ROYAL BANK OF SCOTLAND PLC
                                      AND
                             SCOTIABANK EUROPE PLC
                                 AS ARRANGERS

                          CREDIT SUISSE FIRST BOSTON
                                   AS AGENT

   _________________________________________________________________________
   (Pounds)150,000,000 TERM AND REVOLVING LOAN FACILITIES WITH A EURO OPTION
  __________________________________________________________________________

                               Slaughter and May
                             35 BASINGHALL STREET
                               LONDON  EC2V 5DB

                                   (AGB/HZM)

                                 CC983390.001
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                                   CONTENTS

CLAUSE                                                                 PAGE

PART I: INTERPRETATION                                                    2

1. INTERPRETATION AND CALCULATIONS                                        2

PART II :  THE FACILITIES                                                15

2. THE FACILITIES                                                        15

3. THE LENDERS AND THE BORROWER                                          16

4. FEES AND EXPENSES                                                     16

5. CANCELLATION                                                          19

PART III : THE LOAN                                                      22

6. ADVANCE OF FUNDS                                                      22

7. CURRENCY OPTION                                                       25

8. INTEREST                                                              26

9. REPAYMENT                                                             30

10. PREPAYMENT                                                           33

PART IV: CHANGES OF CIRCUMSTANCES AND PAYMENTS                           39

11. CHANGES OF CIRCUMSTANCES                                             39

12. PAYMENTS                                                             44

13. LATE PAYMENT                                                         46

14. SHARING AMONG LENDERS                                                46

PART V : GUARANTEE AND INDEMNITY                                         48

15. GUARANTEE                                                            48

16. GUARANTOR'S INDEMNITY                                                50

PART VI : REPRESENTATIONS, COVENANTS AND TERMINATION EVENTS              51

17. REPRESENTATIONS                                                      51

18. INFORMATION COVENANTS                                                55

19. FINANCIAL COVENANTS                                                  59

20. GENERAL COVENANTS                                                    64

21. TERMINATION EVENTS                                                   75

PART VII : MISCELLANEOUS                                                 80

22. THE AGENT AND THE ARRANGERS                                          80

23. EVIDENCE AND CERTIFICATES                                            84

24. NOTICES                                                              85
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25. ASSIGNMENT AND NOVATION                                              85

26. WAIVERS, AMENDMENTS AND RELEASES OF SECURITY                         87

27. MISCELLANEOUS                                                        88

28. LAW                                                                  88

SCHEDULE 1: LENDERS AND COMMITMENTS                                      89

SCHEDULE 2: COSTS RATE                                                   91

SCHEDULE 3: CONDITIONS PRECEDENT TO DRAWING ON OR AFTER THE AMENDMENT
DATE                                                                     93

SCHEDULE 4: FORM OF SUBSTITUTION CERTIFICATE                             95

SCHEDULE 5: FORM OF NOTICE FOR THE ADVANCE                               97

SCHEDULE 6:  FORM OF ADDITIONAL GUARANTOR AGREEMENT                      98

SCHEDULE 7: FORM OF CONFIDENTIALITY UNDERTAKING                         100

SCHEDULE 8: FORM OF OPINION OF SLAUGHTER AND MAY                        102

SCHEDULE 9: FORM OF OVERDRAFT BANK AGREEMENT                            110

SCHEDULE 10:  FORM OF HEDGING BANK AGREEMENT                            115

SCHEDULE 11: REQUIREMENTS FOR HEDGING CONTRACTS                         121
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                             DATE: 18th June, 1999

                     CASTLE TRANSMISSION INTERNATIONAL LTD.
                                  AS BORROWER

                  CASTLE TRANSMISSION SERVICES (HOLDINGS) LTD.

                                      AND

                       MILLENNIUM COMMUNICATIONS LIMITED
                                 AS GUARANTORS

                        THE LENDERS LISTED IN SCHEDULE 1

                           CREDIT SUISSE FIRST BOSTON
                                AS LEAD ARRANGER

                                CREDIT LYONNAIS
                     THE INDUSTRIAL BANK OF JAPAN, LIMITED
                         THE ROYAL BANK OF SCOTLAND PLC
                             SCOTIABANK EUROPE PLC
                                  AS ARRANGERS

                           CREDIT SUISSE FIRST BOSTON
                                    AS AGENT

           _________________________________________________________

                            LOAN AMENDMENT AGREEMENT

                   (Pounds)64,000,000 REVOLVING LOAN FACILITY

    BEING AMENDED TO (Pounds)150,000,000 TERM AND REVOLVING LOAN FACILITIES

           _________________________________________________________

                               SLAUGHTER AND MAY
                              35 BASINGHALL STREET
                                    LONDON

                                    EC2V 5DB

                                   (AGB/HZM)

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                                LOAN AGREEMENT

DATE: 28th February, 1997 as amended on 21st May, 1997 and on 18th June, 1999

PARTIES

1.   CASTLE TRANSMISSION INTERNATIONAL LTD. (formerly known as Castle
     Transmission Services Limited), a company incorporated in England (number
     3196207), of Warwick Technology Park, Gallows Hill, Heathcote Lane, Warwick
     CV34 6TN, as borrower

2.   CASTLE TRANSMISSION SERVICES (HOLDINGS) LTD., a company incorporated in
     England (number 3242381), of Warwick Technology Park, Gallows Hill,
     Heathcote Lane, Warwick CV34 6TN and MILLENNIUM COMMUNICATIONS LIMITED, a
     company incorporated in England (number 2903056), of Warwick Technology
     Park, Gallows Hill, Heathcote Lane, Warwick CV34 6TN, as guarantors

3.   THE LENDERS listed in Schedule 1, as lenders

4.   CREDIT SUISSE FIRST BOSTON, as lead arranger

5.   CREDIT LYONNAIS, THE INDUSTRIAL BANK OF JAPAN, LIMITED, THE ROYAL BANK OF
     SCOTLAND PLC and SCOTIABANK EUROPE PLC as arrangers

6.   CREDIT SUISSE FIRST BOSTON, as agent

BACKGROUND

(A)  At the request of the Borrower the Lenders are willing to provide a
     (Pounds)100,000,000 revolving facility which will convert into a term loan
     facility on the third anniversary of the Amendment Date and a
     (Pounds)50,000,000 revolving loan facility to the Borrower on the terms of
     this Agreement.  The loan facilities will contain a euro option.  In
     addition, the loan facilities are to be guaranteed by the Guarantors and
     secured by the Charges granted by the Borrower and the Guarantors.

(B)  The Borrower has utilised all the amounts advanced to it under this
     Agreement before the Amendment Date for the purpose of acquiring "DTT
     Equipment", as defined in the Bonds.

The parties agree as follows:
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                            PART I: INTERPRETATION

1.   INTERPRETATION AND CALCULATIONS

1.1  DEFINITIONS
     In this Agreement:

     "ADVANCE" means an advance made, or to be made, under Clause 6.

     "ADVANCE DATE" means the date, or proposed date, of an Advance.

     "AGENT" means Credit Suisse First Boston, in its capacity as agent for the
     Lenders, acting through its office at Five Cabot Square, London E14 4QR or
     any other office in England which it may notify to the Borrower and the
     Lenders.  If there is a change of Agent in accordance with Clause 22.12,
     "AGENT" will instead mean the new Agent appointed under that Clause.

     "AMENDMENT DATE" has the meaning described in Clause 0.

     "ANALOGUE TRANSMISSION AGREEMENT" means the agreement between the Borrower
     and the BBC dated 27th February, 1997 as amended by an amending agreement
     dated 16th July, 1998 relating to the analogue transmission by the Borrower
     of television and radio programmes produced by the BBC.

     "ANALOGUE TRANSMISSION BUSINESS" means the business previously carried on
     by the BBC and assumed by the Borrower under the transfer scheme dated 24th
     February, 1997 made by the BBC in favour of, among others, the Borrower.
     This business is the provision of broadcasting, transmission and signal
     distribution services for radio and analogue television.

     "APPLICABLE MARGIN" means the rate determined in accordance with Clause
     8.8.

     "ARRANGERS" means each of Credit Suisse First Boston in its capacity as
     lead arranger and Credit Lyonnais, The Industrial Bank of Japan, Limited,
     The Royal Bank of Scotland plc and Scotiabank Europe Plc, in their
     capacities as arrangers of the Facilities.

     "AUTHORISED PERSON" means a person authorised to sign documents on behalf
     of a Company under this Agreement by virtue of a resolution of the
     directors of that Company a certified copy of which has been delivered to
     the Agent.  A person will cease to be an "AUTHORISED PERSON" upon notice by
     the appointing Company to the Agent.

     "AVAILABLE COMMITMENT" means Available Facility A Commitment or Available
     Facility B Commitment or both.

     "AVAILABLE FACILITY A COMMITMENT" means the amount of a Lender's Facility A
     Commitment which is available for the Borrower.  On any day, it is the
     Facility A Commitment of that Lender less that Lender's participation in
     all outstanding Facility A Advances.  Participations in Facility A Advances
     in the Optional Currency will be taken at their Original Sterling Amount.

     "AVAILABLE FACILITY B COMMITMENT" means the amount of a Lender's Facility B
     Commitment which is available to the Borrower.  On any day it is that
     Lender's Facility B Commitment on that day less that Lender's aggregate
     participation in all outstanding Facility B Advances.  Participations in
     Facility B Advances in the Optional Currency will be taken at their
     Original Sterling Amount.

     "BBC" means The British Broadcasting Corporation.
<PAGE>

     "BBC DTT TRANSMISSION AGREEMENT" means the DTT transmission agreement
     entered into between the Borrower and BBC dated 10th February, 1998 under
     which the Borrower has agreed to provide, amongst other things,
     distribution and transmission services to the BBC in relation to multiplex
     facilities for DTT.

     "BONDS" means the (Pounds)125,000,000 Guaranteed Bonds due 2007 issued on
     21st May, 1997 by CT Finance.

     "BORROWER" means Castle Transmission International Ltd., the first party to
     this Agreement.

     "BORROWER'S GROUP" means:

     (A)  if the Borrower has no Subsidiaries, the Borrower; and

     (B)  if the Borrower has Subsidiaries, the Borrower and its Subsidiaries
          taken as a whole.

     "BORROWER'S RESTRICTED GROUP" has the meaning described in Clause 19.1.

     "BUSINESS DAY" means a day on which banks are open for inter-bank payments
     in London.

     "CCIC" means Crown Castle International Corporation.

     "CCIC AFFILIATE" means a wholly-owned Subsidiary of CCIC other than a
     member of the Borrower's Group.

     "Certifying Financial Officer" means:

     (A)  the senior financial officer of the Borrower; or

     (B)  any other person authorised to sign certificates under this Agreement
          on behalf of the Borrower in place of the senior financial officer and
          who is so authorised by virtue of a resolution of the directors of the
          Borrower (a certified copy of which has been delivered to the Agent).

     "CHARGED ACCOUNT" means the account of the Borrower with the Agent which is
     the subject of the Deposit Agreement and Charge on Cash Deposits.

     "CHARGES" means:

     (A)  the Debenture;

     (B)  the Deposit Agreement and Charge on Cash Deposits;

     (C)  each deed of accession executed and delivered pursuant to Clause 28.2
          of the Debenture including the deed of accession entered into between
          Millennium, the Parent and the Agent as of 27th October, 1998;

     (D)  any other document creating in any foreign jurisdiction a form of
          security similar to that created under the Debenture in a form
          satisfactory to the Agent but which shall not contain terms materially
          more onerous than the Debenture;

     (E)  the Scottish Charge;

     (F)  the Northern Irish Charge; and

     (G)  any other document executed in accordance with the terms of a "CHARGE"
          or this Agreement and expressed to be, or to be supplemental to, a
          Charge.
<PAGE>

     "COMMITMENTS" means Facility A Commitments and Facility B Commitments.

     "COMPANY" means any of the Borrower and each Guarantor.

     "CONTRACT OF SERVICES" means the contract of services in the agreed form
     between the Borrower and CCIC.

     "CONVERSION DATE" means the third anniversary of the Amendment Date.  If
     this date is not a Business Day the "CONVERSION DATE" will instead be the
     next Business Day, unless that day is in another calendar month.  Where it
     is in another calendar month that "CONVERSION DATE" will instead be the
     preceding Business Day.

     "CONVERTED FACILITY A ADVANCE" means a Facility A Advance(s) outstanding
     with effect from the Conversion Date or any Facility A Advance into which
     this Converted Facility A Advance is split or consolidated in accordance
     with Clause 8.1(B).

     "COSTS RATE" means a rate per annum determined by the Agent and notified to
     the Borrower.  This rate will be applied to an outstanding amount in
     sterling for a particular period.  It will be calculated in accordance with
     Schedule 2.

     "CT FINANCE" means Castle Transmission (Finance) plc (a company
     incorporated in England and Wales with registered number 3347387).

     "DEBENTURE" means the debenture creating fixed and floating charges or, in
     the case of the Parent, a charge over the shares held by it in the Borrower
     dated 28th February, 1997 and made between the Parent, the Borrower and
     Credit Suisse First Boston as trustee for the Lenders as acceded to by
     Millennium as of 27th October, 1998 and as supplemented and amended by the
     Supplemental and Amendment Deed.

     "DEBT COVERAGE" has the meaning described in Clause 19.1.

     "DEPOSIT AGREEMENT AND CHARGE ON CASH DEPOSITS" means the agreement dated
     28th February, 1997 and amended with effect from 21st May, 1997 and further
     amended by the Deposit Charge Amendment Agreement with effect from the
     Amendment Date and made between the Borrower as depositor and Credit Suisse
     First Boston as agent and trustee for the Lenders.

     "DEPOSIT CHARGE AMENDMENT AGREEMENT" means the agreement dated on or before
     the Amendment Date and made between the Borrower as depositor and Credit
     Suisse First Boston as agent and trustee for the Lenders amending the
     Deposit Agreement and Charge on Cash Deposits (as in effect before the
     Amendment Date).

     "DISTRIBUTION" means any dividend or other distribution (as defined in
     section 263(2) of the Companies Act 1985, but ignoring section 263(2)(b))
     or any loan to shareholders.

     "DTT" means digital terrestrial television.

     "DTT TRANSMISSION BUSINESS" means the business of providing DTT
     distribution and transmission services.

     "EBITDA" has the meaning described in Clause 19.1.

     "EMU LEGISLATION" means the legislative measures of the Council of the
     European Union providing for the introduction of, changeover to, or
     operation of, the euro.

     "EQUITY CONSORTIUM" means CCIC, TeleDiffusion de France International S.A.,
     Berkshire Partners LLC and funds managed by it and Candover Investments plc
     and funds managed by it.
<PAGE>

     "EQUIVALENT AMOUNT" means the amount in the Optional Currency equivalent to
     a specified amount in sterling. The "EQUIVALENT AMOUNT" will be calculated
     using the Exchange Rate applicable to the date on which the amount in the
     Optional Currency is to be or was advanced.

     "EURIBOR" means a rate per annum determined by the Agent and notified to
     the Borrower.  This rate will be applied to an outstanding amount in euros
     for a particular period.  It will be determined as follows:

     (A)  "EURIBOR" will be the Screen Rate for deposits in euro for that
          period.  This rate will be determined at or about 11.00 a.m. (Brussels
          time) on the Rate Fixing Date relating to the first day of that
          period.

     (B)  If there is no Screen Rate for euro for that period, "EURIBOR" will be
          calculated using the rate at which deposits in euro are offered to the
          Reference Banks for that period by leading banks in the European
          inter-bank market.  Each Reference Bank will notify the Agent of this
          rate when requested by the Agent.  The rate notified will be the rate
          as at 11.00 a.m. (Brussels time) on the Rate Fixing Date relating to
          the first day of that period.  The Agent will calculate the arithmetic
          mean of these rates, rounded upwards to five decimal places.  This
          will be "EURIBOR" for the period.  If fewer than two Reference Banks
          provide the Agent with notifications for a particular period, this
          method of determining "EURIBOR" will not be used for that period and
          Clause  11.3 will apply instead.

     "EURO" or "E" means the single currency of the participating member states
     in the Third Stage.

     "EURO UNIT" means a unit of the euro as defined in the EMU legislation.

     "EXCEPTIONAL ITEMS" has the meaning described in Clause 19.1.

     "EXCESS CASH FLOW" has the meaning described in Clause 10.3(G).

     "EXCHANGE RATE" means a rate of exchange for converting an amount in
     sterling into an amount in the Optional Currency. The "EXCHANGE RATE"
     applicable to any date will be the Agent's spot rate for the purchase of
     euro using sterling at or around 11.00 a.m. on the third Business Day
     before that date.

     "EXTRAORDINARY ITEMS" has the meaning described in Clause 19.1.

     "FACILITIES" means the loan facilities provided by this Agreement.

     "FACILITY A" means the loan facility described in Clause 2.1(A).

     "FACILITY A ADVANCE" means an Advance made or outstanding, or to be made,
     under Facility A.

     "FACILITY A COMMITMENT" means the amount which each Lender has committed to
     Facility A.  Each Lender's initial "FACILITY A COMMITMENT" is the amount
     set out next to its name in the column numbered (1) of Schedule 1.  This
     may be reduced or revised in accordance with this Agreement. In addition
     the amount of a Lender's "FACILITY A COMMITMENT" may be adjusted by
     assignments and assumptions in accordance with Clause 25.2 and novations in
     accordance with Clause 25.3.

     "FACILITY A COMMITMENT AVAILABILITY TERMINATION DATE" means the Conversion
     Date or, if earlier, the date Facility A is cancelled in full in accordance
     with the terms of this Agreement.

     "FACILITY A LOAN" means the principal amount borrowed and not repaid under
     Facility A.
<PAGE>

     "FACILITY A REPAYMENT DATE" means each of the nine dates set out in Clause
     9.3. If any of those dates is not a Business Day that "FACILITY A REPAYMENT
     DATE" will instead be the next Business Day, unless that day is in another
     calendar month.  Where it is in another calendar month that "FACILITY A
     REPAYMENT DATE" will instead be the preceding Business Day.

     "FACILITY B" means the revolving loan facility described in Clause 2.1(B).

     "FACILITY B ADVANCE" means an Advance made, or to be made, under the
     Facility B.

     "FACILITY B COMMITMENT" means the amount which a Lender has committed to
     Facility B.  Each Lender's initial "FACILITY B COMMITMENT" is the amount
     set out next to its name in the column numbered (2) of Schedule 1.  This
     may be reduced or revised in accordance with this Agreement. In addition
     the amount of a Lender's "FACILITY B COMMITMENT" may be adjusted by
     assignments and assumptions in accordance with Clause 25.2 and novations in
     accordance with Clause 25.3.

     "FACILITY B LOAN" means the principal amount borrowed and not repaid under
     Facility B.

     "FACILITY TERMINATION DATE" means the seventh anniversary of the Amendment
     Date or, if earlier, the first date on which both Facility A is cancelled
     in full and Facility B is cancelled in full, in either case, in accordance
     with the terms of this Agreement.

     "FINANCIAL INDEBTEDNESS" has the meaning described in Clause 19.1.

     "FINANCIAL MODEL" means the management case model dated 9th June, 1999
     which is described on its face as "Management Case, printed on 9th June,
     1999 at 11.49 a.m." in the agreed form.

     "FINANCING DOCUMENT" means each of this Agreement and each Charge (and
     includes each amending agreement relating to any of them).

     "FIXED CHARGE COVERAGE SERVICE RATIO" has the meaning described in Clause
     19.1.

     "FURTHER ACQUISITION" has the meaning described in Clause 20.1(L).

     "GENERALLY ACCEPTED ACCOUNTING PRINCIPLES" means, at any time, accounting
     principles generally accepted and adopted in England at such time.

     "GROUP" means the Parent and its Subsidiaries.

     "GUARANTEE" means the guarantee of amounts due under this Agreement
     contained in Clause 15.

     "GUARANTOR" means:

     (A)  the Parent, Millennium and each Restricted Subsidiary which has become
          an additional guarantor in accordance with Clause 20.1(R); and

     (B)  the Borrower in respect of the obligations of each Restricted
          Subsidiary under an Overdraft Bank Agreement.

     "HEDGING BANK" means any Lender or any affiliate of any Lender which is
     from time to time a party to a Hedging Contract.

     "HEDGING BANK AGREEMENT" means an agreement substantially in the form of
     Schedule 10.
<PAGE>

     "HEDGING CONTRACT" means a contract entered into by the Borrower as part of
     its implementation of the Hedging Policy and includes all transactions
     entered into under that contract.

     "HEDGING POLICY" means the hedging policy of the Borrower and in a form
     satisfactory to the Agent which is delivered by the Borrower under
     paragraph 17 of Schedule 3.

     "HOLDING COMPANY" has the meaning described in section 736 of the Companies
     Act 1985.

     "INDEBTEDNESS FOR BORROWED MONEY" of any person means:

     (A)  all obligations of that person for borrowed money,

     (B)  any indebtedness under any acceptance credit opened on behalf of that
          person,

     (C)  the face amount of any bills of exchange (issued for the purposes of
          raising finance) for which that person is liable,

     (D)  all obligations of that person under any bond, debenture, note or
          similar instrument (but excluding any of the same which are issued in
          connection with the performance of obligations under contracts which
          are not payment obligations),

     (E)  all obligations of that person in respect of any interest rate or
          currency swap or forward currency sale or purchase or other form of
          interest or currency hedging transaction (including without limit
          caps, collars and floors),

     (F)  all payment obligations of that person under any finance lease,

     (G)  all liabilities of that person (actual or contingent) under any
          guarantee, bond, security, indemnity or other agreement in respect of
          any Indebtedness for Borrowed Money of any other person, and

     (H)  any other liability (actual or contingent) undertaken by that person
          for the purpose of raising finance.

     "INFORMATION MEMORANDUM" means the information memorandum dated May, 1999
     prepared to assist in the syndication of the Facilities.

     "INSTRUCTING GROUP" means Lenders whose Facility A Commitments and Facility
     B Commitments in aggregate exceed 66.6% of the total.  If, however, an
     Advance has been made "INSTRUCTING GROUP" means Lenders whose
     participations in the Loan in aggregate exceed 66.6%.  The amount of
     participations in Advances in the Optional Currency will be taken at their
     Original Sterling Amount.

     "INTER-COMPANY LOAN AGREEMENT" means the inter-company loan agreement dated
     21st May, 1997, between CT Finance and the Borrower as amended on or around
     the Amendment Date.

     "INTEREST" has the meaning described in Clause 19.1.

     "INTEREST PERIOD" means each period described in Clause 8.1.

     "INVESTMENT AMOUNTS" means, in relation to any period, the aggregate of:

     (A)  Indebtedness for Borrowed Money incurred by, provided by or otherwise
          made available during that period by members of the Borrower's
          Restricted Group in
<PAGE>

          relation to Unrestricted Entities. For this purpose any contingent
          liabilities will be taken at their maximum amount;

     (B)  loans or other credit provided during that period by members of the
          Borrower's Restricted Group (to the extent not already included in
          paragraph (A) and with any contingent liabilities taken at their
          maximum amount);

     (C)  any investments made during that period by members of the Borrower's
          Restricted Group; and

     (D)  consideration paid during that period by members of the Borrower's
          Restricted Group in respect of Further Acquisitions. For this purpose
          the aggregate consideration paid will include any deferred purchase
          price payable (which, in the case of any earn-out, will be a fair
          estimate of the value of this earn-out) and any fair estimate of
          contingent costs or liabilities assumed in connection with the Further
          Acquisition (which shall include, in the case of joint ventures, any
          obligation of the type referred to in Clause 20.1(L)(i)(c)) details of
          which, in each case, must be set out in reasonable detail in the
          certificate delivered to the Agent by the Certifying Financial Officer
          under Clause 18.1(n). To the extent that amounts have already been
          taken into account in respect of any deferred purchase price payable
          or contingent costs or liabilities assumed these amounts will not be
          again taken into account during the period when they are paid,

     in each case, calculated so as to eliminate any double counting.

     "LENDER" means a lender listed in Schedule 1 acting through the office
     appearing under its name on the signature pages or any other office in the
     United Kingdom which it may notify to the Agent.  A lender which acquires
     an interest in the Facilities by way of assignment or novation will become
     a "LENDER" and will act through its office notified to the Agent.  The
     expression also includes a successor in title to a Lender.  A Lender will
     cease to be a "LENDER" if it assigns or novates its entire interest in the
     Facilities.

     "LENDER GROUP COMPANY" means a Lender or any Holding Company of a Lender.

     "LIBOR" means a rate per annum determined by the Agent and notified to the
     Borrower.  This rate will be applied to an outstanding amount in sterling
     for a particular period. It will be determined as follows:

     (A)  "LIBOR" will be the Screen Rate for deposits in sterling for that
          period. This rate will be determined at or about 11.00 a.m. on the
          Rate Fixing Date relating to the first day of that period.

     (B)  If there is no Screen Rate for deposits in sterling for that period,
          "LIBOR" will be calculated using the rate at which deposits in
          sterling are offered to the Reference Banks for that period by leading
          banks in the London inter-bank market. Each Reference Bank will notify
          the Agent of this rate when requested by the Agent. This rate will be
          determined at or about 11.00 a.m. on the Rate Fixing Date relating to
          the first day of that period. The Agent will calculate the arithmetic
          mean of these rates rounded upwards to five decimal places. This will
          be "LIBOR" for the period. If fewer than two Reference Banks provide
          the Agent with notifications for a particular period, this method of
          determining "LIBOR" will not be used for that period and Clause 11.3
          applies.

     "LOAN" means the aggregate principal amount borrowed and not repaid under
     the Facilities.

     "MATERIAL CONTRACT" means each Transmission Agreement, the NTL Site Sharing
     Agreement and any other contract generating 10% or more of the Borrower's
     gross
<PAGE>

     revenues (measured annually on the basis of the latest set of annual
     audited accounts of the Borrower delivered to the Agent under Clause
     18.1(a)).

     "MILLENNIUM" means Millennium Communications Limited, one of the second
     parties to this Agreement.

     "NATIONAL CURRENCY UNIT" or "NCU" means a unit of the euro (other than the
     euro unit) as defined in the EMU legislation.

     "NET CASH INTEREST" has the meaning described in Clause 19.1.

     "NET DISPOSAL PROCEEDS" means, in respect of a disposal, the gross proceeds
     of that disposal minus:

     (A)  reasonable costs of the disposal;

     (B)  liabilities (including, without limitation, liabilities to the BBC)
          which are required to be discharged as a result of the disposal (other
          than liabilities incurred in contemplation of it);

     (C)  provisions which the directors reasonably determine need to be made
          for taxes arising as a result of the disposal; and

     (D)  where the asset which is the subject of the disposal is being
          replaced, the cost of the replacement asset to the extent that it is
          acquired for cash within the period 6 months before or after the
          disposal.

     If the "NET DISPOSAL PROCEEDS" would be a negative number it will be taken
     to be zero.  Where a disposal is made for non-cash consideration, the gross
     proceeds of that disposal will be calculated as the market value of the
     assets disposed of, as certified to the Agent by the Borrower and, if the
     Agent requests, the Borrower's auditors.

     "NEW SUBSIDIARY" has the meaning given to it in Clause 20.1(R)(ii).

     "NORTHERN IRISH CHARGE" means the agreement to be executed after the
     Amendment Date and made by the Borrower in favour of the Agent creating a
     first fixed charge over certain real properties located in Northern
     Ireland.

     "NTL SITE SHARING AGREEMENT" means the deed dated 10th September, 1991
     between National Transcommunications Limited and the BBC relating to site
     sharing.

     "ONDIGITAL" means ONDIGITAL PLC (formerly known as British Digital
     Broadcasting PLC).

     "ONDIGITAL DTT TRANSMISSION AGREEMENT" means the DTT transmission agreement
     entered into between the Borrower and ONDIGITAL dated 18th December, 1997
     under which the Borrower has agreed to provide, amongst other things,
     distribution and transmission services to ONDIGITAL in relation to three
     multiplex facilities for DTT.

     "OPTIONAL CURRENCY" means euro.

     "ORIGINAL STERLING AMOUNT" means the sterling equivalent of an amount in
     the Optional Currency. The "ORIGINAL STERLING AMOUNT" will be derived by
     using the Exchange Rate applicable to the date on which the amount in the
     Optional Currency is to be or was advanced.

     "OVERDRAFT BANK" means any Lender or any affiliate of any Lender which from
     time to time provides Overdraft Facilities.
<PAGE>

     "OVERDRAFT BANK AGREEMENT" means an agreement substantially in the form of
     Schedule 9.

     "OVERDRAFT FACILITIES" means any overdraft facilities (which may be in
     sterling or other currencies) provided to the Borrower or any other member
     of the Borrower's Restricted Group by Overdraft Banks which have signed
     Overdraft Bank Agreements with the Borrower or, as the case may be, the
     other member of the Borrower's Restricted Group.

     "PARENT" means Castle Transmission Services (Holdings) Ltd., one of the
     second parties to this Agreement.

     "PARTICIPATING MEMBER STATES" means those member states of the European
     Union from time to time which adopt a single, shared currency in the Third
     Stage, as defined and identified in the EMU legislation.

     "POTENTIAL TERMINATION EVENT" means an event or state of affairs which is
     mentioned in Clause 21.1 but which has not become a Termination Event
     because a period has not elapsed or a notice has not been given.

     "QUARTER" means a financial quarter of the Borrower's financial year.

     "RATE FIXING DATE" means the day on which quotes are customarily taken for
     the relevant period:

     (A)  in the case of LIBOR, for deposits in sterling in the London inter-
          bank market; or

     (B)  in the case of EURIBOR, for deposits in euros in the European inter-
          bank market,

     in either case for delivery on the Advance Date (which, in relation to
     euro, means a day on which the Trans-european Automated Real time Gross
     settlement Express Transfer system (TARGET) is open).

     "Reference Banks" means, initially, the principal London (or, in the case
     of an amount in euros, Brussels) offices of Credit Suisse First Boston, The
     Royal Bank of Scotland plc and Scotiabank Europe plc.  The Agent, following
     consultation with the Borrower and the Lenders, may replace a "REFERENCE
     BANK" with another Lender or an affiliate of a Lender.  This replacement
     will take effect when notice is delivered to the Borrower and the Lenders.

     "RESTRICTED SUBSIDIARY" means any Subsidiary of the Borrower which is not
     then an Unrestricted Subsidiary and which, accordingly, is either:

     (A) required to become a Guarantor for the purposes of Clause 20.1(R); or

     (B)  not required to become a Guarantor for the purposes of Clause 20.1(R)
          as a result of Clause 20.1(R)(v).

     "Scottish Charge" means the agreement to be executed after the Amendment
     Date and made by the Borrower in favour of the Agent creating a first fixed
     charge over certain real properties located in Scotland.

     "SCREEN RATE" means the rate shown on:

     (A) in the case of LIBOR, Telerate page 3750; or

     (B) in the case of EURIBOR, Telerate page 248.
<PAGE>

     If either of these pages is replaced by another which displays the rates
     for inter-bank deposits offered by leading banks in London (in the case of
     LIBOR) or Europe (in the case of EURIBOR) the Agent may nominate an
     alternative page for the affected page.

     "SECURITY" means security of any type created or existing over any asset.
     "SECURITY" will also include retention of title arrangements, rights to
     retain possession and any arrangement providing a creditor with a prior
     right to an asset, or its proceeds of sale, over other creditors in a
     liquidation.

     "SHARE SALE AGREEMENT" means the Share Sale Agreement dated 23rd January,
     1997 and made between the BBC and the Parent concerning the acquisition by
     the Parent of the Borrower.  It also includes any disclosure letters.

     "SHAREHOLDERS AGREEMENT" means the Shareholders' Agreement dated 21st
     August, 1998 (replacing a shareholders agreement dated 23rd January, 1997)
     and made between CCIC, TeleDiffusion de France International S.A. and the
     Parent and to which Digital Future Investments B.V. acceded and replaced
     TeleDiffusion de France International S.A. as a party under a deed of
     adherence dated 6th April, 1999.

     "SUBORDINATED LOAN AGREEMENT" means the agreement dated 27th February, 1997
     between the Borrower, the Parent and the Agent relating to the provision of
     subordinated loans by the Parent to the Borrower.

     "SUBSIDIARY" has the meaning described in section 736 of the Companies Act
     1985.

     "SUBSTITUTION CERTIFICATE" means a document substantially in the form set
     out in Schedule 4.

     "SUPPLEMENTAL AND AMENDMENT DEED" means the deed dated on or before the
     Amendment Date and made between the Parent, the Borrower, Millennium and
     Credit Suisse First Boston as trustee for the Lenders supplementing and
     amending the Debenture (as in effect before the Amendment Date).

     "TDF ROLL-UP" has the meaning described in Clause 20.1(EE).

     "TERMINATION EVENT" has the meaning described in Clause 21.1.

     "THIRD STAGE" means the third stage of European economic and monetary union
     pursuant to the Treaty establishing the European Community (as amended from
     time to time).

     "TOTAL ANNUAL INVESTMENT LIMIT" means, in each financial year, the figure
     which is 10% of the gross assets of the Borrower's Restricted Group (as
     shown in the latest set of annual audited consolidated financial statements
     delivered to the Agent under Clause 18.1(b) at the time the relevant
     calculation in respect of the financial year in question is being made).

     "TOTAL FACILITY A COMMITMENTS" means the aggregate of the Facility A
     Commitments of all the Lenders.

     "TOTAL FACILITY B COMMITMENTS" means the aggregate of the Facility B
     Commitments of all the Lenders.

     "TOTAL INTEREST PAYABLE" has the meaning described in Clause 19.1.

     "TRANSMISSION AGREEMENTS" means the Analogue Transmission Agreement, the
     BBC DTT Transmission Agreement and the ONDIGITAL DTT Transmission Agreement
     or such one of them as the context requires.
<PAGE>

     "UNRESTRICTED ENTITY" means Unrestricted Subsidiaries and any other entity
     in which a member of the Restricted Group holds a less than majority
     interest.

     "UNRESTRICTED ENTITIES INVESTMENT LIMIT" means, at any time, the figure
     which is 10% of the gross assets of the Borrower's Restricted Group (as
     shown in the latest set of annual audited consolidated financial statements
     delivered to the Agent under Clause 18.1(b) at the time the relevant
     calculation in respect of the financial year in question is being made).

     "UNRESTRICTED SUBSIDIARY" has the meaning described in Clause 20.1(R)(ii).

     "YEAR 2000 PROGRAMME REPORT" means the report issued by the Borrower on 1st
     June, 1999 in relation to Year 2000 readiness (as amended and updated from
     time to time).

1.2  INTERPRETATION OF CERTAIN REFERENCES
     Unless a contrary intention is indicated:

     (A)  References to Clauses and Schedules are to Clauses of, and the
          Schedules to, this Agreement. References to paragraphs are to
          paragraphs in the same sub-clause. References to sub-paragraphs are to
          sub-paragraphs in the same paragraph.

     (B)  References to other documents include those documents as they may be
          amended in the future.

     (C)  References to times are to London time.

     (D)  References to assets are to present and future assets and include
          revenues.

     (E)  References to "(Pounds)", to "POUNDS" and to "STERLING" are to UK
          pounds sterling.

     (F)  References to fees or expenses include any value added tax on those
          fees or expenses.

     (G)  References to statutes and statutory instruments are to those statutes
          and statutory instruments as amended and in force from time to time.

     (H)  References to any document in "AGREED FORM" are to that document in
          the form agreed between the parties, as evidenced by the form of that
          document being initialled for the purpose of identification by Norton
          Rose and Slaughter and May.

     (I)  References to a "FINANCIAL YEAR" of the Borrower are references to a
          year starting on 1st January and ending on 31st December. This applies
          even where the Borrower's statutory accounting reference date is a
          date other than 31st December.

     (J)  References to:

          (i)    "THIS AGREEMENT" are references to the Loan Agreement dated
                 28th February, 1997 between the Borrower, the Parent, the
                 Lenders, the Agent and others as amended by the amendment
                 agreements dated 21st May, 1997 and 18th June, 1999 and as
                 supplemented by the additional guarantor agreement dated with
                 effect from 27th October, 1998 under which Millennium acceded
                 as a party to this Agreement.
<PAGE>

                 However, the reference to "this Agreement" in Clause 2.2(A) is
                 to the Loan Agreement referred to above before the Amendment
                 Date.

          (ii)   the "AMENDMENT DATE" are references to the date on which the
                 second amendment to this Agreement becomes effective, which is
                 expected to be 18th June, 1999.

1.3  HEADINGS

     All headings and titles are inserted for convenience only.  They are to be
     ignored in the interpretation of this Agreement.

1.4  CALCULATIONS

     Interest and commitment fee will be calculated using the following formula:

                                I= D/Y x R x A
     where:

          I =  interest or commitment fee accrued

          D =  number of days in the period for which the interest or commitment
               fee is to be calculated, including the first day but excluding
               the last day

          R =  the rate of interest or commitment fee, expressed as a fraction

          A =  the amount on which interest or commitment fee is being
               calculated

          Y =  365 or, in the case of an amount in euro, 360.

     Interest and commitment fee will be treated as accruing uniformly over each
     period on a daily basis.

     In some cases "R" or "A" may change during a period for which interest and
     commitment fee is to be calculated.  In this case the interest and
     commitment fee will be calculated for successive periods and then
     aggregated.  These successive periods will be the periods during which "R"
     and "A" were constant.

1.5  REIMBURSEMENTS

     If a party wishes to claim reimbursement of any amount to which it is
     entitled it will deliver a demand to the reimbursing party.  This will set
     out the losses, expenses or other amounts to be reimbursed.  It must also
     specify the currency of reimbursement.  The reimbursing party agrees to pay
     those amounts to the party entitled to them no later than two Business Days
     after the delivery of the demand to the reimbursing party. Where there is
     an outstanding Termination Event, payment will be due instead on delivery
     of this demand.

1.6  IMPACT OF THE INTRODUCTION AND OPERATION OF THE EURO

     Market practice relating to the inter-bank deposit market, the method and
     timing of rate fixing and the calculation of interest may change during the
     Third Stage.  As a result, it may differ from the method of rate fixing and
     the calculation of interest prescribed under the terms of this Agreement
     and may also change in relation to drawings in sterling if it is
     substituted by the euro after the Amendment Date.   In this event, the
     Agent may notify the Borrower and the Lenders of the amendments to this
     Agreement which are required
<PAGE>

     or reasonably desirable to reflect and conform to these changes. The
     amendments may provide for the use of London inter-bank market offered
     rates or inter-bank market offered rates from a wider European market (or,
     in either case, screen rates reflecting these offered rates). They may also
     change, amongst other things, the rate fixing time, the definition of
     "Business Day" and "Rate Fixing Date" and any elements of the formula set
     out in Clause 1.4. The amendments set out in the Agent's notice will take
     effect on the later of the date specified in the notice, the date not less
     than 10 Business Days after the date of that notice and (in the case of
     such changes being made due to a country becoming a participating member
     state after the Amendment Date) the date on which that participation
     commences. The amendments will not apply to interest which is computed by
     reference to any period starting before the date the amendments take
     effect. This clause may, in appropriate circumstances, be invoked more than
     once.
<PAGE>

                           PART II :  THE FACILITIES

2.   THE FACILITIES

2.1  AMOUNT AND NATURE
     The Facilities comprise:

     (A)  A seven-year (Pounds)100,000,000 revolving loan facility with a euro
          option which converts into a term loan facility on the Conversion Date
          under which advances may (subject to the terms and conditions of this
          Agreement) be made by the Lenders to the Borrower.

     (B)  A seven-year (Pounds)50,000,000 revolving loan facility with a euro
          option under which advances may (subject to the terms and conditions
          of this Agreement) be made by the Lenders to the Borrower.

2.2  PURPOSE

     The Borrower agrees to use the proceeds of all Advances to:

     (A)  refinance existing Indebtedness for Borrowed Money;

     (B)  finance its working capital, capital expenditure and other related
          costs in developing the infrastructure for its DTT transmission
          network (including for the purposes of acquiring "DTT Equipment" and
          making "Tower Acquisitions", both terms as defined in the Bonds); and

     (C)  finance its working capital and for its other general corporate
          purposes, including for the purpose of making Further Acquisitions
          permitted under Clause 20.1(L).

     Without prejudice to the obligations of the Borrower under this sub-clause
     2.2, neither the Agent nor the Lenders nor any of them shall be obliged to
     concern themselves with the application of amounts to be used or raised by
     the Borrower under this Agreement.

2.3  AVAILABILITY AFTER THE AMENDMENT DATE

     The Borrower may borrow under the Facilities (in their amended form as set
     out in this Agreement) on or after the Amendment Date after the Agent has
     received all the items listed in Schedule 3 in a form satisfactory to the
     Agent or, where the form has been agreed prior to the signing of this
     Agreement, in the agreed form.

2.4  EXPIRY OF AVAILABILITY

     (A)  The Borrower may not borrow under Facility A after the Facility A
          Commitment Availability Termination Date.

     (B)  The Borrower may not borrow under Facility B after the date falling
          one month before the Facility Termination Date.

2.5  SECURITY

     All amounts owing under this Agreement will be secured by the Charges.
<PAGE>

3.   THE LENDERS AND THE BORROWER

3.1  RIGHTS AND OBLIGATIONS

     The rights and obligations of each Lender under the Financing Documents are
     separate and independent from the rights and obligations of each other
     Lender. A Lender may take proceedings against the Borrower or a Guarantor
     on its own without joining any other Lender to those proceedings.

3.2  FAILURE TO PERFORM

     If a Lender fails to perform its obligations the Borrower and the
     Guarantors will have rights solely against that Lender.  The obligations of
     the Borrower and the Guarantors to the Agent, the Arrangers and the other
     Lenders will not be affected by this failure.

3.3  PARTICIPATIONS

     The participation of a Lender in an Advance will be calculated using the
     following formula:

                                  P = C/F x A
     where:

          P = the participation of that Lender in the Advance

          C = the Available Commitment of that Lender on the Advance Date for
              that Advance

          F = the aggregate Available Commitments of all the Lenders on that
              Advance Date

          A = the amount of the Advance.

     References above to Available Commitments are to:

     (A)  Available Facility A Commitments in the case of an Advance under
          Facility A; and

     (B)  Available Facility B Commitments in the case of an Advance under
          Facility B.

     The Agent may round participations upwards or downwards to the nearest unit
     of currency.

 4.  FEES AND EXPENSES

4.1  FRONT-END FEE

     The Borrower agrees to pay a front-end fee to the Arrangers.  The amount of
     this fee, the timing of payment and the payees are described in a letter
     from Credit Suisse First Boston to the Borrower dated 28th April, 1999.
     This fee may be shared amongst the Arrangers and Lenders in accordance with
     the agreement between the Arrangers and each Lender (but that agreement
     shall be of no concern to the Borrower, who shall obtain a good discharge
     by making payment in accordance with the above-mentioned letter).
<PAGE>

4.2  AGENCY FEE

     The Borrower agrees to pay an agency fee to the Agent. The amount of this
     fee and the timing of payment are described in a letter from the Agent to
     the Borrower dated 28th April, 1999.

4.3  COMMITMENT FEE

     A commitment fee will accrue on the aggregate of the Available Facility A
     Commitments and the Available Facility B Commitments of each Lender.  This
     fee will accrue from the Amendment Date until:

     (A)  in the case of Available Facility A Commitment, the Facility A
          Commitment Availability Termination Date; and

     (B)  in the case of Available Facility B Commitment, the date falling one
          month before the Facility Termination Date.

     The Borrower agrees to pay the fee to each Lender in arrears at three-
     monthly intervals and on the Facility Termination Date.

     The rate of the fee applicable to each three-monthly period or shorter
     period ending on the Facility Termination Date will be:

     (A)  in the case of the Available Facility A Commitment, half the
          Applicable Margin which would apply on the first day of the relevant
          period if an amount was advanced under Facility A on that date; and

     (B)  in the case of the Available Facility B Commitment, half the
          Applicable Margin which would apply if an amount was advanced under
          Facility B on that date.

4.4  REIMBURSEMENT OF INITIAL EXPENSES

     The Arrangers and the Agent have incurred and will incur expenses in
     connection with the arrangement of the Facilities.  The Borrower agrees to
     reimburse each of the Arrangers and the Agent for the amount of these
     expenses.  They include the legal fees incurred in the negotiation,
     preparation and signature of the Financing Documents. They also include
     expenses incurred (after as well as before the Amendment Date) in
     perfecting any security constituted by the Charges and as part of the
     syndication process of the amended Facilities arranged by the Arrangers.

4.5  DOCUMENTARY TAXES

     This sub-clause applies if any registration fee, stamp duty or other
     documentary tax is required to be paid on or in connection with a Financing
     Document, any document referred to in or contemplated by a Financing
     Document or any judgment obtained in connection with a Financing Document.
     It also applies if a fee, duty or tax is payable in order for any of these
     documents to be valid, binding and enforceable, for the Security under the
     Charges to be perfected or for the Financing Documents to be admitted as
     evidence in court.  In these circumstances the Borrower agrees to pay the
     fee, duty or tax together with any interest or penalty for late payment.
     Alternatively, the Agent or a Lender may make the payment.  If it does so,
     the Borrower agrees to reimburse the Agent or that Lender for the amount
     paid and the losses and expenses incurred as a result of the payment.
<PAGE>

4.6  PROTECTION OF RIGHTS

     An Arranger, the Agent or a Lender may incur expenses in protecting,
     preserving or (if any Company is in breach of its obligations under the
     Financing Documents) enforcing its rights under the Financing Documents.
     The Borrower agrees to reimburse that Arranger, the Agent or that Lender
     for the amount of these expenses.

4.7  EXPENSES RELATING TO AMENDMENTS

     The Borrower agrees to reimburse the Agent for the expenses that it or any
     of the Lenders incurs as a result of:

     (A)  any request made by the Borrower to waive or amend a term of the
          Financing Documents; or

     (B)  any amendments to the Financing Documents made as a result of the
          introduction or operation of the euro, including pursuant to Clause
          1.6 and Clause 6.2(E).

4.8  FSA AND ECB FEES

     (A)  REIMBURSEMENT: This sub-clause applies if, whether now or in the
          future, either:

          (i)   a requirement to pay fees is imposed by the Financial Services
                Authority under the Fees Regulations; or

          (ii)  a reserve requirement is imposed by the European Central Bank,

          which, in either case, is applied to any Lender (and would be applied
          generally to banks or financial institutions of a similar nature to
          that Lender) as a consequence of its Commitments, participation in
          the Facilities or the arrangements made by it in funding its
          participation in the Facilities.  If, as a result, that Lender's
          effective return on its overall capital is reduced, the Borrower
          agrees to reimburse that Lender for the amount claimed.

     (B)  NOTIFICATION PERIOD: In the event that paragraph (A) applies, each
          Lender may submit a certificate setting out a calculation of the
          amount claimed by it to the Agent within the period (the
          "CERTIFICATION PERIOD") of 10 Business Days after the end of each
          Relevant Period. The Agent will notify the Borrower of the amount
          claimed by that Lender within five Business Days after the end of the
          relevant Certification Period.  The Borrower agrees to reimburse that
          Lender as provided in Clause 1.5.

     (C)  RELEVANT PERIOD: In this sub-clause a "RELEVANT PERIOD" is, as
          appropriate:

          (i)   the period beginning on the Amendment Date and ending on 31st
                December, 1999; or

          (ii)  each subsequent period of six months starting on the previous
                day of preceding period and ending on 30th June or, as the case
                may be, 31st December; and

          (iii) the period shorter than six months which starts on 30th June or
                31st December in a year and ends on the Facility Termination
                Date.

     (D)  FEES REGULATIONS: In this sub-clause "Fees Regulations" means, as
          appropriate, either:

          (i)   the Banking Supervision (Fees) Regulations 1999; or
<PAGE>

          (ii)  such regulations as from time to time may be in force, relating
                to the payment of fees for banking supervision in respect of
                periods subsequent to 31st March, 2000.

5.   CANCELLATION

5.1  VOLUNTARY CANCELLATION

     The Borrower may cancel the whole or part of the Total Facility A
     Commitments or the whole or part of the Total Facility B Commitments by
     giving notice to the Agent.  This notice will take effect five Business
     Days after it is received by the Agent unless a later date is specified in
     the notice.  In that case the notice will take effect on the specified
     date.  A cancellation of anything less than the full amount of the
     Facilities will, however, only take effect if the conditions in Clause 5.2
     are satisfied.  The Borrower may only cancel a part of the Total Facility A
     Commitments or a part of the Total Facility B Commitments which, in either
     case, is a minimum amount of (Pounds)5,000,000 and an integral multiple of
     (Pounds)1,000,000.

5.2  CONDITIONS PRECEDENT TO VOLUNTARY CANCELLATION
     A voluntary cancellation of anything less than the full amount of the
     Facilities under Clause 5.1 will only be effective if both the following
     are true:

     (A)  The Agent has received a certificate signed by the Certifying
          Financial Officer or a director of the Borrower. The certificate must
          relate to the proposed cancellation. It must state that, after the
          cancellation takes effect, the Borrower will have sufficient sources
          of liquidity in existence to meet its ongoing working capital and
          general corporate requirements. The certificate must be received by
          the Agent no later than the time it receives the notice of
          cancellation.

     (B)  Reasonable evidence of the sources of liquidity referred to in
          paragraph (A) has been delivered to the Agent before the cancellation
          is due to take effect. This is only required if Lenders comprising an
          Instructing Group request the Agent to demand this evidence. These
          requests must be received by the Agent by no later than 5.00 p.m. on
          the third Business Day before the date the proposed cancellation would
          otherwise take effect.

5.3  MANDATORY CANCELLATION ON DISPOSALS

     (A)  OBLIGATION TO CANCEL: The Borrower agrees to cancel all or part of the
          Total Facility A Commitments and the Total Facility B Commitments in
          accordance with this sub-clause.

     (B)  CIRCUMSTANCES IN WHICH OBLIGATION TO CANCEL ARISES: The Borrower will
          be obliged to make a cancellation under this sub-clause following the
          disposal of any of the assets of the Borrower or any of its Restricted
          Subsidiaries (a "DISPOSAL EVENT"). This does not apply to the
          following disposals:

          (i)   A disposal of obsolete assets.

          (ii)  Disposals on arm's length terms where the aggregate fair market
                value of the assets disposed of in any financial year of the
                Borrower is no more than (Pounds)1,000,000.

          (iii) A disposal between the Borrower and any Restricted Subsidiary
                (which is a wholly-owned member of the Borrower's Restricted
                Group) or
<PAGE>

                between Restricted Subsidiaries (each of which is a wholly-owned
                member of the Borrower's Restricted Group).

          (iv)  Disposals for non-cash consideration. This exception will only
                apply to the extent of a maximum amount in Net Disposal Proceeds
                of (Pounds)2,500,000 during the period from the Amendment Date
                until the Facility Termination Date.

          (v)   Disposals where the asset which is the subject of the disposal
                is being replaced to the extent that the Net Disposal Proceeds
                are applied to acquire the replacement asset within the period 6
                months before or after the disposal.

          (vi)  A disposal by a Restricted Subsidiary where each of the
                following is true:

                (a) the Restricted Subsidiary is prevented by applicable law
                    from making an amount equal to the Net Disposal Proceeds
                    available to the Borrower for it to make any payment
                    resulting from a Disposal Event,

                (b) the Borrower and that Restricted Subsidiary have used all
                    reasonable endeavours to enable an amount equal to the Net
                    Disposal Proceeds to be made available to the Borrower so
                    that any payment resulting from the Disposal Event can be
                    made, and

                (c) the Borrower or that Restricted Subsidiary pays an amount
                    equal to the Net Disposal Proceeds into a blocked interest-
                    bearing account held with the Agent or a nominee of the
                    Agent and charged to the Agent as trustee or agent (or both)
                    for the Lenders under a document expressed to be a Charge.

     (C)  AMOUNT OF MANDATORY CANCELLATION: The amount of the Total Facility A
          Commitments and the Total Facility B Commitments which will be
          cancelled under this sub-clause will be an amount equal to the Net
          Disposal Proceeds which will be applied first to cancel the Total
          Facility A Commitments and thereafter to cancel the Total Facility B
          Commitments.

     (D)  TIMING OF MANDATORY CANCELLATION: The amount of the Total Facility A
          Commitments and/or the Total Facility B Commitments due to be
          cancelled under this sub-clause will be cancelled on the date two
          Business Days after receipt by a member of the Borrower's Restricted
          Group of the proceeds of the disposal.

          Where the disposal proceeds are received as deferred cash
          consideration, the due date for cancellation will be deferred until
          the date two Business Days after the Borrower or any of its Restricted
          Subsidiaries realises cash from those proceeds.

          Where the disposal proceeds are applied towards the cost of a
          replacement asset as described in Clause 5.3(B)(v) and in paragraph
          (D) of the definition of "NET DISPOSAL PROCEEDS" in Clause 1.1, the
          due date for cancellation will be deferred (by no more than 6 months)
          until the date two Business Days after the replacement asset is
          acquired (if this occurs after receipt by a member of the Borrower's
          Restricted Group of the Net Disposal Proceeds).
<PAGE>

     (E)  INSUFFICIENT UNDRAWN COMMITMENTS: Clause 10.2 applies to the extent
          that the amount of the cancellation exceeds the Available Facility A
          Commitment or the Available Facility B Commitment, as the case may be.

     (F)  SUSPENSION OF MANDATORY CANCELLATION OBLIGATION: The requirement to
          make a cancellation under this sub-clause will, however, no longer
          apply after the date on which annualised Debt Coverage (computed in
          accordance with Clause 8.8(B)) is below 3:1 for two successive
          Quarters and for so long as:

          (i)   the annualised Debt Coverage remains at no more than 3:1; and

          (ii)  the Certifying Financial Officer confirms in writing in a
                certificate delivered to the Agent under Clause 18.1(r), at the
                same time as the delivery of each set of monthly management
                accounts under Clause 18.1(e), that, to the best of his
                knowledge, having made all reasonable enquiries, and without
                personal liability, the Disposal Events which are proposed to
                take place in the month following that to which the monthly
                management accounts delivered relate will not result in the
                Borrower failing to maintain annualised Debt Coverage at below
                3:1 at any time during the next four full Quarters following the
                date on which the last of proposed Disposal Events specified in
                the certificate is due to take place.

5.4  MANDATORY CANCELLATION OF FACILITIES ON FLOTATION
     The Facilities will be cancelled automatically upon the occurrence of the
     circumstances giving rise to an obligation to prepay the Loan as described
     in Clause 10.4.

5.5  NO REBORROWING AFTER CANCELLATION

     The Borrower may not borrow any part of the Total Facility A Commitments or
     the Total Facility B Commitments which has been cancelled or which is the
     subject of a notice of voluntary cancellation.

5.6  EFFECT OF CANCELLATION

     When any cancellation takes effect:

     (A)  In relation to Facility A, the Facility A Commitments of the Lenders
          will be reduced by an aggregate amount equal to the reduction of the
          Total Facility A Commitments. Each Lender's Facility A Commitment will
          be reduced in the same proportion.

     (B)  In relation to Facility B, the Facility B Commitments of the Lenders
          will be reduced by an aggregate amount equal to the reduction of the
          Total Facility B Commitments. Each Lender's Facility B Commitment will
          be reduced in the same proportion.

     This does not apply to a cancellation under Clause 11.1(B), Clause 11.2(D)
     or Clause 11.4(E).  Those Clauses set out the manner in which cancellation
     under their terms takes effect.
<PAGE>

                              PART III : THE LOAN

6.   ADVANCE OF FUNDS

6.1  NOTICE TO THE AGENT
     When the Borrower wishes to borrow under a Facility it will deliver a
     notice to the Agent.  This notice must be substantially in the form of
     Schedule 5. The notice must specify:

     (A)  the Facility under which the borrowing is to be made;

     (B)  the amount to be borrowed;

     (C)  the currency of the borrowing;

     (D)  the length of the Interest Period; and

     (E)  the date of the borrowing. This date must be no sooner than

          (i)   in relation to Advances in sterling, the first Business Day
                after the date the Agent receives the notice; or

          (ii)  in relation to Advances in the Optional Currency, the third
                Business Day after the date the Agent receives the notice.

     For these purposes if the Agent receives the notice on a day which is not a
     Business Day or after 10.00 a.m. on a Business Day, it will be treated as
     having received the notice on the following Business Day.  This does not
     apply to an Advance to be made on the Amendment Date so long as this
     Advance is made in sterling and that the notice is received by 8.00 a.m. on
     the Amendment Date.

6.2  LIMITATIONS ON ADVANCES

     The following limitations apply to Advances:

     (A)  FACILITY A ADVANCES: In the case of Facility A Advances:

          (i)   No Facility A Advance may exceed the Available Facility A
                Commitments of all the Lenders. This limitation will be applied
                as at the Advance Date. For this purpose, before the Conversion
                Date:

                (a) any part of the Total Facility A Commitments which is
                    subject to a notice of voluntary cancellation will be
                    treated as cancelled;

                (b) the amount of any Facility A Advance due to be repaid on the
                    Advance Date will be treated as having been repaid;

                (c) any other Facility A Advance due to be made on the Advance
                    Date will be treated as having been made; and

                (d) Facility A Advances in the Optional Currency will be taken
                    into account at their Original Sterling Amount.

          (ii)  Each Facility A Advance must be a minimum of (Pounds)5,000,000
                and an integral multiple of (Pounds)1,000,000 or be the
                aggregate of the Available
<PAGE>

                Facility A Commitments. A Facility A Advance in the Optional
                Currency must be either:

            (a) a minimum of the Equivalent Amount of (Pounds)5,000,000 and an
                integral multiple of the Equivalent Amount of (Pounds)1,000,000;
                or

            (b) the Equivalent Amount of the uncancelled and undrawn amount of
                Facility A.

          (iii) The Advance Date of any Facility A Advance must be a Business
                Day on or after the Amendment Date and before the Facility A
                Commitment Availability Termination Date.

          (iv)  The Interest Period of each Facility A Advance must comply with
                Clause 8.

          (v)   Clause 6.2(C) applies.

          (vi)  If the Facility A Advance is not to be in sterling, Clause 7
                applies.

     (B)  FACILITY B ADVANCES: In the case of Facility B Advances:

          (i)   No Facility B Advance may exceed the amount of the aggregate of
                the Available Facility B Commitments of all the Lenders. This
                limitation will be applied as at the Advance Date. For this
                purpose:

                (a) any part of the Total Facility B Commitments which is
                    subject to a notice of voluntary cancellation will be
                    treated as cancelled;

                (b) the amount of any Facility B Advance due to be repaid on the
                    Advance Date will be treated as having been repaid;

                (c) any other Facility B Advance due to be made on the Advance
                    Date will be treated as having been made; and

                (d) Facility B Advances in the Optional Currency will be taken
                    into account at their Original Sterling Amount.

          (ii)  A Facility B Advance must be a minimum of (Pounds)5,000,000 and
                an integral multiple of (Pounds)1,000,000 or be the aggregate of
                the Available Facility B Facility Commitments of all the
                Lenders. A Facility B Advance in the Optional Currency must be
                either:

                (a) a minimum of the Equivalent Amount of (Pounds)5,000,000 and
                    an integral multiple of the Equivalent Amount of
                    (Pounds)1,000,000; or

                (b) the Equivalent Amount of the uncancelled and undrawn amount
                    of Facility B.

          (iii) The Advance Date of a Facility B Advance must be a Business Day
                on or after the Amendment Date and at least one month before the
                Facility Termination Date.

          (iv)  The Interest Period of each Facility B Advance must comply with
                Clause 8.

          (v)   Clause 6.2(C) applies.

          (vi)  If the Facility B Advance is not to be in sterling, Clause 7
                applies.
<PAGE>

     (C)  FACILITY A ADVANCES AND FACILITY B ADVANCES: There must be no more
          than ten Advances outstanding at any one time. For this purpose, as at
          any Advance Date:

          (i)   any Facility B Advance due to be repaid on any Advance Date will
                be treated as having been repaid on that Advance Date;

          (ii)  any Facility A Advance due to be repaid on any Advance Date
                before the Conversion Date will be treated as having been repaid
                on that Advance Date; and

          (iii) any other Facility A Advance or Facility B Advance due to be
                made on the Advance Date will be treated as having been made.

          There must be no more than three Converted Facility A Advances
          outstanding after the Conversion Date.

     (D)  EURO UNITS: Each Advance in euro will be recorded as denominated in
          euro units. This does not affect the denomination of any payment
          relating to that Advance (subject to Clause 12.3).

     (E)  SUBSTITUTION OF ALTERNATIVE MINIMUM AND MULTIPLE AMOUNTS

          This paragraph applies if the United Kingdom becomes a participating
          member state and adopts the euro as its currency.  In this case, the
          Agent may determine round amounts in euro to be substituted for
          amounts in sterling to which reference is made in this Agreement.  The
          substituted amounts need not be a direct equivalent of the sterling
          amounts.  In this case, the Agent agrees to notify each substituted
          amount to the Borrower and the Lenders.  Upon this notification, this
          Agreement will be deemed amended accordingly. The substituted amounts
          will take effect on the later of the date specified in the notice, the
          date not less than 10 Business Days after the date of that notice and
          the date on which the United Kingdom so becomes a participating member
          state.  The substituted amounts will apply to Advances made on or
          after that effective date.

6.3  NOTICE TO THE LENDERS

     The Agent agrees to provide promptly details of each notice of borrowing to
     each Lender.  These details will also include the amount of the Lender's
     participation in the Advance.

6.4  CONDITIONS TO BORROWING

     The Lenders will only be obliged to make an Advance to the Borrower if:

     (A)  the Facility is available in accordance with Clause 2;

     (B)  a properly completed and signed notice of borrowing has been received
          by the Agent;

     (C)  the representations in Clause 17.1 (other than, in the case of any
          Advance after the first Advance made on or after the Amendment Date,
          paragraphs (T) and (U) of Clause 17.1) are true on the Advance Date;
          and

     (D)  there is no outstanding Termination Event or Potential Termination
          Event on the Advance Date,
<PAGE>

     but so that Clause 6.4(D) shall not prevent the rollover of an existing
     Advance (without increasing the amount of this Advance) for an Interest
     Period of no more than one month at any time when no Termination Event has
     occurred and is continuing.

6.5  OBLIGATION TO ADVANCE FUNDS

     If the requirements of this Clause are satisfied each Lender agrees to
     advance its participation in the Advance to the Borrower.  The Advance will
     be made on the date specified in the notice of borrowing.

6.6  CONSEQUENCES OF THE ADVANCE NOT BEING MADE

     If the notice of borrowing is delivered but no Advance is made the Lenders
     may incur losses and expenses as a result.  The losses and expenses may
     include those incurred in liquidating or otherwise utilising amounts
     borrowed by the Lenders to fund the Advance.  They may also include the
     losses and expenses incurred in terminating commitments relating to the
     funding or incurred in hedging open positions resulting from the Advance
     not being made.  The Borrower agrees to reimburse each Lender for the
     amount of these losses and expenses.  This sub-clause does not apply if the
     Advance is not made by reason of a default of a Lender.

7.   CURRENCY OPTION

7.1  REQUEST FOR OPTIONAL CURRENCY

     This Clause applies if a notice of borrowing specifies the Optional
     Currency.  In this case the Advance requested will be made if the Advance
     is required to be made under the terms of this Agreement.

7.2  NON-AVAILABILITY OF OPTIONAL CURRENCY

     A Lender (an "AFFECTED LENDER") may notify the Agent that it is unable to
     make its participation in an Advance available in the Optional Currency for
     the requested Interest Period.  If a Lender makes this notification it will
     set out brief details of the reasons why it is unable to make its
     participation available in this notice.  Each of the following applies if
     this notice is received by the Agent by 2.00 p.m. on the third Business Day
     before the day the Advance is due to be made:

     (A)  The Affected Lender will not be obliged to make its participation in
          the Advance available in the Optional Currency. Instead the Affected
          Lender agrees to make the participation available in sterling.

     (B)  The amount the Affected Lender is required to advance will be the
          Original Sterling Amount of the participation it would otherwise have
          been required to make available in the Optional Currency.

     (C)  The Agent agrees to notify the Borrower and the other Lenders of the
          receipt of the notice from the Affected Lender. This notification will
          be made by 5.00 p.m. on the third Business Day before the day the
          Advance is due to be made.

7.3  IMPRACTICALITY OF DRAWING IN OPTIONAL CURRENCY

     An Advance which was to have been made in the Optional Currency will not be
     required to be made if all the following are true:
<PAGE>

     (A)  An event described in Clause 7.4 occurs.

     (B)  The Agent notifies the Borrower of this event and states that, as a
          result, the Advance cannot be made in the Optional Currency.

     (C)  The notice from the Agent is received by the Borrower by 9.00 a.m. on
          the date the Advance is due to be made.

     The Agent agrees to deliver a notice under this sub-clause if it is
     instructed by an Instructing Group to do so.  If the Agent makes this
     notification it will set out brief details of any reasons provided to it by
     the Instructing Group when instructing the Agent to give this notice.  For
     the purposes of this sub-clause an Advance will be treated as being made in
     the Optional Currency even if part of it was due to be made in sterling by
     virtue of Clause 7.2.

7.4  EVENTS MAKING DRAWING IN OPTIONAL CURRENCY IMPRACTICAL

     An event referred to in Clause 7.3 occurs if both:

     (A)  there are changes in national or international financial, political or
          economic conditions or in currency exchange rates or exchange
          controls; and

     (B)  these changes would, in the opinion of the Agent, make it
          impracticable for the Advance to be denominated in the Optional
          Currency.

8.   INTEREST

8.1  INTEREST PERIODS

     (A)  FACILITY A AND FACILITY B ADVANCES: Each Facility A Advance made
          before the Conversion Date and each Facility B Advance will have one
          Interest Period only.

     (B)  POST CONVERSION DATE FACILITY A ADVANCES: Interest shall be calculated
          on each Converted Facility A Advance by reference to successive
          Interest Periods. The first Interest Period will, unless Clause 9.2
          applies, commence on the date on which the Facility A Advance to which
          it relates was made and will end on the date selected or determined
          under Clause 8.3. Each subsequent Interest Period will commence on the
          last day of the preceding Interest Period of this Converted Facility A
          Advance. A Converted Facility A Advance may be split into up to three
          Converted Facility A Advances in the same currency as the Converted
          Facility A Advance or consolidated back into a single Converted
          Facility A Advance if the Converted Facility A Advances to be
          consolidated are all in the same currency and the resultant
          consolidated Facility A Advance is also in this currency. A splitting
          or consolidation must take effect on the first day of an Interest
          Period for all Converted Facility A Advances affected. No split can be
          made unless, after that splitting:

          (i)   no more than three Converted Facility A Advances in total will
                be outstanding; and

          (ii)  the amount of each Converted Facility A Advance is
                (Pounds)20,000,000 (or the Equivalent Amount in the Optional
                Currency) or more.
<PAGE>

8.2  DURATION OF INTEREST PERIODS

     Each Interest Period must be a period of 1, 2, 3 or 6 months or any other
     period not exceeding 12 months which the Agent (acting on the instructions
     of all the Lenders) and the Borrower may agree in writing.

8.3  SELECTION OF INTEREST PERIODS

     (A)  FACILITY A ADVANCES: The Borrower may select an Interest Period for a
          Facility A Advance made before the Conversion Date in its notice of
          borrowing. After the Conversion Date the Borrower must notify the
          Agent of the duration of each Interest Period by no later than 10.00
          a.m. on the third Business Day before the last day of each previous
          Interest Period.

     (B)  FACILITY B ADVANCES: The Borrower may select an Interest Period for
          each Facility B Advance in its notice of borrowing.

     (C)  FAILURE TO SELECT: When the Borrower does not select an Interest
          Period in accordance with paragraph (B) or paragraph (A), the Interest
          Period will be three months or such other period as will comply with
          Clause 8.4.

8.4  ADJUSTMENT OF INTEREST PERIOD

     (A)  An Interest Period will end on the last Business Day of a calendar
          month if it is for a number of complete months and either:

          (i)   it commenced on the last Business Day of a calendar month; or

          (ii)  it commenced on a day for which there is no corresponding day in
                the month in which it is due to end.

     (B)  This paragraph applies when an Interest Period for a Converted
          Facility A Advance would otherwise begin before but end after a
          Facility A Repayment Date. In this case that Interest Period will end
          on that Facility A Repayment Date. This paragraph will not apply,
          however, in the case of a Converted Facility A Advance where there are
          other Converted Facility A Advances with Interest Periods ending on
          that Facility A Repayment Date which, in aggregate, equal or exceed
          the amount due to be repaid on that Facility A Repayment Date.

     (C)  Any Interest Period which would otherwise begin before but end after
          the Facility Termination Date will, unless paragraph (D) applies, end
          on the Facility Termination Date.

     (D)  Any Interest Period which would otherwise end on a day which is not a
          Business Day will be extended to the next Business Day, unless that
          day is in another calendar month. Where it is in another calendar
          month the Interest Period will end on the preceding Business Day.

8.5  RATE OF INTEREST

     The rate of interest applicable during an Interest Period will be:

     (A)  in respect of an Advance in sterling, a rate per annum equal to LIBOR
          for that Advance for that Interest Period plus the Applicable Margin
          plus the Costs Rate; and
<PAGE>

     (B)  in respect of an Advance in euros, a rate per annum equal to EURIBOR
          for that Advance for that Interest Period plus the Applicable Margin..

8.6  PAYMENT OF INTEREST

     (A)  The Borrower agrees to pay interest accrued on the outstanding amount
          of each Advance in arrear on the last day of each Interest Period in
          respect of that Advance. Where an Interest Period is longer than 6
          months the Borrower also agrees to pay interest on the day 6 months
          after the start of that Interest Period.

     (B)  The Borrower may give notice to the Agent that it wishes to pay all
          accrued interest on the Loan on the last Business Day of its financial
          year. This notice must be received by the Agent no later than five
          Business Days before that day. In this case the Borrower agrees to pay
          that amount of interest on that date. Any amount received by the Agent
          will be paid to the Lenders. Payments which would otherwise have been
          due under paragraph (A) will be adjusted accordingly.

8.7  NOTIFICATION OF INTEREST RATE

     The Agent agrees to notify the Borrower and the Lenders promptly of the
     determination of a rate of interest under this Agreement.

8.8  MARGIN ON ADVANCES

     (A)  COMPUTATION OF MARGIN: The Applicable Margin will be computed in
          accordance with this sub-clause.

     (B)  ANNUALISED DEBT COVERAGE: The Agent agrees to compute the annualised
          Debt Coverage as at the end of each Quarter. For this purpose it will
          use the figures for Financial Indebtedness and EBITDA contained in the
          certificate of the Certifying Financial Officer delivered pursuant to
          Clause 18.1(g). In order to work out the annualised Debt Coverage the
          Agent will use the following formula:

          ADC = the ratio of FI: (EBITDA x 4)

          where:

          ADC = annualised Debt Coverage

          EBITDA = EBITDA for the most recent Quarter

          FI = Financial Indebtedness as at the end of the most recent Quarter.

     (C)  INITIAL APPLICABLE MARGIN: Unless paragraph (F) applies, the
          Applicable Margin will be 1.35% for the first six months after the
          Amendment Date (the "INITIAL MARGIN PERIOD"). However, the Applicable
          Margin during the Initial Margin Period will be 1.50%:

          (i)   if the certificate of the Certifying Financial Officer delivered
                under paragraph 18 of Schedule 3; or

          (ii)  if, and with effect from the date on which, a certificate of the
                Certifying Financial Officer delivered pursuant to Clause
                18.1(g) during the Initial Margin Period,
<PAGE>

          results in the Agent computing annualised Debt Coverage calculated in
          accordance with paragraph (B) of greater than or equal to 5:1.

     (D)  AMOUNT OF THE APPLICABLE MARGIN: The Applicable Margin computed for
          the purposes of this sub-clause for:

          (i)   Interest Periods which are current at the end of the Initial
                Margin Period shall be determined by the Agent with effect from
                the first day after the end of the Initial Margin Period; and

          (ii)  Interest Periods starting after the end of the Initial Margin
                Period shall be determined by the Agent with effect from the
                first day of that Interest Period

          in each case, in accordance with the most recent certificate delivered
          by the Certifying Financial Officer and on the basis of the following
          table:

                        (1)                                (2)
              ANNUALISED DEBT COVERAGE                    MARGIN
          Greater than or equal to 5:1                     1.50%

          Less than 5:1 and greater than
          or equal to 4.5:1                                1.35%

          Less than 4.5:1 and greater
          than or equal to 4:1                             1.15%

          Less than 4:1 and greater than
          or equal to 3:1                                  1.00%

          Less than 3:1 and greater than
          or equal to 2:1                                  0.80%

          Less than 2:1                                    0.625%

          The Agent will determine the margin in column (2) of the table in
          respect of the annualised Debt Coverage (computed in accordance with
          paragraph (B)) as at the end of the most recent Quarter.  The margin
          so determined will, however, not apply if paragraph (F) applies.

     (E)  APPLICABLE MARGIN: The adjustment of the Applicable Margin to reflect
          a change in annualised Debt Coverage as a result of the delivery to
          the Agent of the certificate of the Certifying Financial Officer
          pursuant to Clause 18.1(g) will take effect after that delivery as
          follows:

          (i)   in relation to each Facility A Advance on or before the
                Conversion Date, from the first day of each Facility A Advance
                after delivery of the certificate;

          (ii)  in relation to each Converted Facility A Advance, from the first
                day of the next Interest Period applicable to that Converted
                Facility A Advance; or

          (iii) in relation to each Facility B Advance, from the first day of
                each Facility B Advance after delivery of the certificate.

     (F)  TERMINATION EVENT OR POTENTIAL TERMINATION EVENT: The Applicable
          Margin will be 1.50% in the event that any of the following occur:
<PAGE>

          (i)   a Termination Event;

          (ii)  a Potential Termination Event under Clause 21.1(A); or

          (iii) the failure to deliver the certificate pursuant to Clause
                18.1(g) by the latest date prescribed.

          This adjustment will take effect immediately upon the date of the
          occurrence any of the events set out in sub-paragraphs (i), (ii) or
          (iii) (as determined by the Agent) and will last for so long (only) as
          the relevant event subsists unremedied or unwaived.

9.   REPAYMENT

9.1  REPAYMENT OF FACILITY A ADVANCES BEFORE THE CONVERSION DATE

     (A)  The Borrower agrees to repay each Facility A Advance made to it before
          the Conversion Date on the last day of the Interest Period for that
          Facility A Advance where the last day of that Interest Period falls
          before the Conversion Date. The Borrower shall repay that Facility A
          Advance in the currency it was made unless paragraph (B) applies.

     (B)  Where on any date on which a Facility A Advance is to be repaid (the
          "OLD ADVANCE") the Borrower borrows a further Facility A Advance (the
          "NEW ADVANCE") and either:

          (i)   the New Advance and the Old Advance are both in sterling or the
                Optional Currency; or

          (ii)  the Old Advance is in the Optional Currency and the New Advance
                is in sterling or the Old Advance is in sterling and the New
                Advance is in the Optional Currency,

          then the Agent shall, unless the Borrower requests otherwise, apply
          the New Advance, subject to paragraph (C), in or towards repayment of
          the Old Advance.  This will be treated as satisfying pro tanto the
          obligations of the Borrower to repay the Old Advance and of the
          Lenders to make the New Advance.

     (C)  If paragraph (B)(ii) applies, the Agent shall:

          (i)   apply the amount of the New Advance in or towards the purchase
                of an amount in the currency of the Old Advance; and

          (ii)  use the amount it purchases in or towards satisfaction of the
                Borrower's obligations to repay the Old Advance in the currency
                in which it is outstanding.

          If the amount purchased by the Agent under sub-paragraph (i) is less
          than the amount of the Old Advance, the Agent will promptly notify the
          Borrower and the Borrower must, on the day the Old Advance is due to
          be repaid, pay an amount to the Agent (in the currency in which the
          Old Advance is outstanding) equal to the difference.

          If any part of the amount paid to the Agent by the Lenders in order to
          make the New Advance is not needed to purchase the amount required to
          be repaid by the Borrower, the Agent will promptly notify the Borrower
<PAGE>

          and pay the Borrower on the day the New Advance is to be made that
          part of that amount (in the currency of the New Advance).

9.2  CONVERSION OF FACILITY A

     (A)  If any outstanding Facility A Advance is not repaid on the Conversion
          Date each Facility A Advance outstanding as at the Conversion Date
          will be automatically converted into a Converted Facility A Advance.
          However, there must not be any more than three Converted Facility A
          Advances outstanding at any time.

    (B)  In the event that there are more than three Facility A Advances
         outstanding as at the Conversion Date, the Agent may consolidate these
         Facility A Advances and the Interest Periods relating to them so that
         no more than three Converted Facility A Advances are outstanding. If
         the Lenders incur losses and expenses as a result of this
         consolidation, the Borrower will reimburse each affected Lender for the
         losses and expenses that Lender has incurred, or will, incur as a
         result. These losses and expenses include those incurred in liquidating
         as at the Conversion Date or otherwise utilising amounts borrowed by
         the Lender to fund its participation in the Facility A Advances. They
         may also include losses and expenses incurred in hedging open positions
         resulting from the consolidation of Facility A Advances on the
         Conversion Date.

9.3  REPAYMENT OF FACILITY A LOAN AFTER CONVERSION DATE

     The Borrower agrees to repay the Facility A Loan after the Conversion Date
     in semi-annual instalments on the Facility A Repayment Dates.  A repayment
     may be made on a Facility A Repayment Date from one or more Converted
     Facility A Advances in the currency or currencies in which the relevant
     Converted Facility A Advance or Converted Facility A Advances are
     denominated.  The amount of any repayment in the Optional Currency will be
     at its Original Sterling Amount. The amount of each instalment will be
     determined on the basis of the following table:

<TABLE>
<CAPTION>
FACILITY A REPAYMENT DATE FALLING ON                      PERCENTAGE OF FACILITY A LOAN OUTSTANDING AND
                                                          NOT REPAID ON THE CONVERSION DATE TO BE REPAID
                                                                   IN EACH REPAYMENT INSTALMENT
<S>                                                      <C>
30th June, 2002                                          10%
31st December, 2002                                      10%
30th June, 2003                                          10%
31st December, 2003                                      10%
30th June, 2004                                          10%
31st December, 2004                                      10%
30th June, 2005                                          10%
31st December, 2005                                      10%
Seventh anniversary of the Amendment Date                20%
</TABLE>

     The amount of the final instalment will be the whole of the Facility A Loan
     outstanding at that date.

9.4  REPAYMENT OF FACILITY B ADVANCES

     (A)  The Borrower agrees to repay each Facility B Advance made to it on the
          last day of the Interest Period for that Facility B Advance. The
          Borrower shall repay that Facility B Advance in the currency it was
          made unless paragraph (B)  applies.
<PAGE>

     (B)  Where on any date on which a Facility B Advance is to be repaid (the
          "OLD ADVANCE") the Borrower borrows a further Facility B Advance (the
          "NEW ADVANCE") and either:

          (i)   the New Advance and the Old Advance are both in sterling or the
                Optional Currency; or

          (ii)  the Old Advance is in the Optional Currency and the New Advance
                is in sterling or the Old Advance is in sterling and the New
                Advance is in the Optional Currency,

          the Agent shall, unless the Borrower requests otherwise, apply the New
          Advance, subject to paragraph (C), in or towards repayment of the Old
          Advance.  This will be treated as satisfying pro tanto the obligations
          of the Borrower to repay the Old Advance and of the Lenders to make
          the New Advance.

     (C)  If paragraph (B)(ii) applies, the Agent shall:

          (i)   apply the amount of the New Advance in or towards the purchase
                of an amount in the currency of the Old Advance; and

          (ii)  use the amount it purchases in or towards satisfaction of the
                Borrower's obligations to repay the Old Advance in the currency
                in which it is outstanding.

          If the amount purchased by the Agent under sub-paragraph (i) is less
          than the amount of the Old Advance, the Agent will promptly notify the
          Borrower and the Borrower must, on the day the Old Advance is due to
          be repaid, pay an amount to the Agent (in the currency in which the
          Old Advance is outstanding) equal to the difference.

          If any part of the amount paid to the Agent by the Lenders in order to
          make the New Advance is not needed to purchase the amount required to
          be repaid by the Borrower, the Agent will promptly notify the Borrower
          and pay the Borrower on the day the New Advance is to be made that
          part of that amount (in the currency of the New Advance).

9.5  ADJUSTMENT FOR CURRENCY FLUCTUATIONS

     (A)  If a Converted Facility A Advance is to be outstanding in the Optional
          Currency during two successive Interest Periods, the Agent will
          calculate the amount of that Converted Facility A Advance in the
          Optional Currency for the second of those Interest Periods. It will do
          this by calculating the amount of Optional Currency equal to the
          sterling amount of that Converted Facility A Advance at the Agent's
          spot rate of exchange three Business Days before the first day of that
          second Interest Period) and (subject to paragraph (B) below):

          (i)   if the amount calculated (after allowing for any repayment of
                the Converted Facility A Advance at the end of the first
                Interest Period) is less than the existing amount of that
                Converted Facility A Advance in the Optional Currency during the
                first Interest Period, promptly notify the Borrower and the
                Borrower shall pay, on the first day of the second Interest
                Period, an amount equal to the difference; or

          (ii)  if the amount calculated (after allowing for any repayment of
                the Converted Facility A Advance at the end of the first
                Interest Period) is more than the existing amount of that
                Converted Facility A Advance in the Optional Currency during the
                first Interest Period, promptly notify
<PAGE>

                each Lender and each Lender shall pay, on the first day of the
                second Interest Period, its participation in an amount equal to
                the difference.

     (B)  If the calculation made by the Agent under paragraph (A) above shows
          that the amount of the Converted Facility A Advance in the Optional
          Currency has increased or decreased by less than five per cent.
          compared to its Equivalent Amount (taken as at the first date of the
          first of these Interest Periods), no notification shall be made by the
          Agent and no payment shall be required under paragraph (A) above.

10.  PREPAYMENT

10.1 OPTIONAL PREPAYMENT

     The Borrower may give notice that it will repay the whole or part of the
     Loan on any day prior to the Facility Termination Date. Clause 11.7 applies
     to any repayment under this sub-clause.  This notice must state:

     (A)  the date of prepayment which will be at least five Business Days after
          the notice is received by the Agent;

     (B)  whether the repayment is out of a Facility A Advance (whether before
          or after the Conversion Date) or a Facility B Advance and specifying
          which Facility A Advance or Facility B Advance is affected; and

     (C)  the amount to be prepaid which will be a minimum of (Pounds)5,000,000
          and an integral multiple of (Pounds)1,000,000 in respect of any
          Facility or the whole of the amount outstanding under that Facility.

     The Borrower agrees to repay the Loan in accordance with its notice.  A
     prepayment of the Facility A Loan after the Conversion Date will reduce the
     repayment instalments under Clause 9 starting with the next succeeding
     instalment and working forwards, but so that:

          (i)   no more than two repayment instalments; and

          (ii)  no instalment falling due more than 18 months after the date of
                prepayment,

     will be reduced in this way. That amount (if any) of the prepayment which
     is not applied in accordance with the preceding sentence (the "RESIDUAL
     AMOUNT") will be applied in reducing all the remaining repayment
     instalments under the Facility A Loan.  In this case each remaining
     repayment instalment will be reduced by an amount calculated by dividing
     the residual amount by the number of remaining repayment instalments.
     Where any prepayment amount in respect of a particular remaining repayment
     instalment reduces that remaining repayment instalment to zero the balance
     of that amount will be re-applied to the other remaining repayment
     instalments as if it were a residual amount.

10.2 MANDATORY PREPAYMENT ON DISPOSALS

     (A)  OBLIGATION TO PREPAY: The Borrower agrees to prepay the Loan in
          accordance with this sub-clause.
<PAGE>

     (B)  CIRCUMSTANCES IN WHICH OBLIGATION TO PREPAY ARISES: The Borrower will
          be obliged to make a prepayment under this sub-clause in the following
          circumstance:

         (i)    In the case of Facility A,

                (a) the Total Facility A Commitments are cancelled (in whole or
                    in part) under Clause 5.3; and

                (b) as a result of that cancellation (or otherwise), the
                    Facility A Loan would otherwise exceed the Total Facility A
                    Commitments following the cancellation,

          (ii)  In the case of Facility B,

                (a) the Total Facility B Commitments are cancelled (in whole or
                    in part) under Clause 5.3; and

                (b) as a result of that cancellation (or otherwise), the
                    Facility B Loan would otherwise exceed the Total Facility B
                    Commitments following the cancellation.

     (C)  AMOUNT OF MANDATORY PREPAYMENT: The amount the Borrower is obliged to
          repay under this sub-clause will be:

          (i)   the a mount by which the Facility A Loan would exceed the Total
                Facility A Commitments as described in Clause 10.2(B)(i)(b); and

          (ii)  the amount by which the Facility B Loan would exceed the Total
                Facility B Commitments as described in Clause 10.2(B)(ii)(b).

          The amount required to be repaid under this sub-clause on any occasion
          may be less than (Pounds)5,000,000.  In this case the amount which
          would otherwise be due to be repaid will be reserved, but not repaid.
          On the next occasion an amount becomes repayable under this sub-clause
          the amount reserved will be added to that amount and the aggregate
          will be repayable if it exceeds (Pounds)5,000,000.  If it does not
          exceed (Pounds)5,000,000 the aggregate amount will be reserved and the
          previous sentence will apply to this aggregate reserved amount.  The
          Borrower may elect to repay any amount which would otherwise be
          reserved under this paragraph.  In this case it will repay that amount
          (and any amount previously reserved and not repaid under this
          paragraph) in accordance with paragraph (E) and that amount will not
          be reserved.

     (D)  TIMING OF MANDATORY PREPAYMENT: Subject to paragraph (E), the amount
          repayable under this sub-clause will become due for repayment on the
          date the applicable cancellation occurs under Clause 5.3(D). Clause
          11.7 applies to any repayment under this sub-clause.

     (E)  BREAK COSTS: The Borrower may certify to the Agent that a repayment
          required under this sub-clause:

          (i)   is due on a date other than the last day of the Interest Period
                applicable to the amount being repaid; or

          (ii)  would cause it to incur broken funding costs in respect of one
                or more of the Hedging Contracts.
<PAGE>

          The Borrower's obligation to make a repayment under this sub-clause
          will be deferred until the last day of the Interest Period applicable
          to the amount being repaid.  This deferral will only apply, however,
          if the Borrower deposits in the Charged Account an amount equal to the
          amount which it would otherwise have been obliged to repay (save to
          the extent the prepayment obligation will be discharged by an amount
          already standing to the credit of the Charged Account).  This deposit
          must be made on or before the date the repayment would otherwise have
          been due.

     (F)  APPLICATION OF PREPAYMENT: A prepayment of the Facility A Loan under
          this sub-clause after the Conversion Date will reduce each outstanding
          repayment instalment under Clause 9 by an amount calculated by
          dividing the amount to be prepaid by the number of remaining repayment
          instalments applicable to the Facility A Loan. Where any prepayment
          amount in respect of a particular remaining repayment instalment
          reduces that remaining repayment instalment to zero the balance of
          that prepayment amount shall be re-applied to the other remaining
          repayment instalments in accordance with the preceding sentence.

10.3 MANDATORY PREPAYMENT OF FACILITY A LOAN ON EXCESS CASH FLOW

     (A)  OBLIGATION TO PREPAY: The Borrower agrees to prepay the Facility A
          Loan in accordance with this sub-clause.

     (B)  CIRCUMSTANCES IN WHICH OBLIGATION TO PREPAY ARISES: The Borrower will
          be obliged to make a prepayment under this sub-clause in the event
          that, after the Conversion Date, Excess Cash Flow in respect of a
          financial year (including any financial year in which the Facility A
          Commitment Availability Termination Date falls) is positive (an
          "EXCESS CASH FLOW EVENT"). The requirement to make a prepayment under
          this sub-clause will no longer apply after the date on which
          annualised Debt Coverage (computed in accordance with Clause 8.8(B))
          is below 3:1 for two successive Quarters and for so long as the
          annualised Debt Coverage remains at no more than 3:1.

     (C)  AMOUNT OF MANDATORY PREPAYMENT: The amount the Borrower is obliged to
          repay under this sub-clause will be half the amount of the positive
          Excess Cash Flow described in Clause 10.3 (B).

          The amount required to be repaid under this sub-clause on any occasion
          may be less than (Pounds)5,000,000.  In this case the amount which
          would otherwise be due to be repaid will be reserved, but not repaid.
          On the next occasion an amount becomes repayable under this sub-clause
          the amount reserved will be added to that amount and the aggregate
          will be repayable if it exceeds (Pounds)5,000,000.  If it does not
          exceed (Pounds)5,000,000 the aggregate amount will be reserved and the
          previous sentence will apply to this aggregate reserved amount.  The
          Borrower may elect to repay any amount which would otherwise be
          reserved under this paragraph.  In this case it will repay that amount
          (and any amount previously reserved and not repaid under this
          paragraph) in accordance with paragraph (D) and that amount will not
          be reserved.

     (D)  TIMING OF MANDATORY PREPAYMENT: The amount repayable under this sub-
          clause will become due for repayment on the earlier of:

          (i)   the date 90 days after the date of delivery to the Agent of the
                certificate relating to Excess Cash Flow described in Clause
                18.1(l) (with the date of delivery of this certificate being the
                "EXCESS CASH FLOW CERTIFICATE DELIVERY DATE"); or
<PAGE>

          (ii)  subject to paragraph (E), the first date after the Excess Cash
                Flow Certificate Delivery Date which is the last day of an
                Interest Period in respect of a Facility A Advance which is in
                an amount equal to or greater than the amount due for repayment
                under this sub-clause.

          Clause 11.7 applies to any repayment under this sub-clause.

     (E)  BREAK COSTS: The Borrower may certify to the Agent that a repayment
          required under this sub-clause:

          (i)   is due on a date other than the last day of the Interest Period
                applicable to the amount being repaid; or

          (ii)  would cause it to incur broken funding costs in respect of one
                or more of the Hedging Contracts.

          The Borrower's obligation to make a repayment under this sub-clause
          will be deferred until the last day of the Interest Period applicable
          to the amount being repaid.  This deferral will only apply, however,
          if the Borrower deposits in the Charged Account an amount equal to the
          amount which it would otherwise have been obliged to repay (save to
          the extent the prepayment obligation will be discharged by an amount
          already standing to the credit of the Charged Account).  This deposit
          must be made on or before the date the repayment would otherwise have
          been due.

     (F)  APPLICATION OF PREPAYMENT: A prepayment of the Facility A Loan under
          this sub-clause will reduce each outstanding repayment instalment
          under Clause 9 by an amount calculated by dividing the amount to be
          prepaid by the number of remaining repayment instalments applicable to
          the Facility A Loan. Where any prepayment amount in respect of a
          particular remaining repayment instalment reduces that remaining
          repayment instalment to zero the balance of that prepayment amount
          shall be re-applied to the other remaining repayment instalments in
          accordance with the preceding sentence.

     (G)  EXCESS CASH FLOW: In this Agreement "EXCESS CASH FLOW" for any
          financial year (the "CURRENT FINANCIAL YEAR") means EBITDA for the
          current financial year:

          (i)   plus all non-cash charges deducted in establishing EBITDA for
                the current financial year, unless those non-cash charges are
                provisions for cash expenditure due to be made in the next
                financial year;

          (ii)  plus any non-cash charges deducted in establishing EBITDA for
                the previous financial year which were provisions for cash
                expenditure in the current financial year, but where that cash
                expenditure was not made in the current financial year;

          (iii) plus the amount of any tax rebate or credit in respect of any
                advance corporation tax, mainstream corporation tax or
                withholding tax or their equivalent in any relevant jurisdiction
                actually received in cash by any member of the Borrower's
                Restricted Group during the current financial year;

          (iv)  minus the Net Disposal Proceeds received during the current
                financial year to the extent applied in (or reserved for)
                prepayment of the Loan pursuant to Clause 10.2;

          (v)   minus Net Cash Interest for the current financial year;
<PAGE>

          (vi)   minus all advance corporation tax, mainstream corporation tax
                 and withholding tax or their equivalent in any relevant
                 jurisdiction actually paid or falling due for payment during
                 the current financial year (but excluding any amount paid in
                 the current financial year which was included in the Excess
                 Cash Flow computation for a previous financial year because it
                 fell due in that previous financial year);

          (vii)  minus the aggregate principal amount of Indebtedness for
                 Borrowed Money (other than of a revolving nature) falling due
                 for repayment in the current financial year or prepaid in the
                 current financial year under Clause 10.1;

          (viii) minus:

                 (a) all capital expenditure made during the current financial
                     year; less

                 (b) the amount deducted pursuant to sub-paragraph (ix) in the
                     Excess Cash Flow calculation made in respect of the
                     previous financial year less the amount added pursuant to
                     sub-paragraph (x) in respect of the current financial year;

          (ix)   minus capital expenditure included in the budget for the
                 current financial year (and not included in the budget for any
                 previous financial year) but not spent in the current financial
                 year, but so that an amount may only be deducted under this
                 sub-paragraph to the extent that a deposit equal to this amount
                 is made, specifically for this purpose, into the Charged
                 Account on or before the date on which the audited financial
                 statements for the current financial year in respect of the
                 Borrower's Restricted Group are delivered to the Agent pursuant
                 to Clause 18.1(b);

          (x)    plus the amount determined in accordance with the following
                 formula:

                               A = D - (CE - B)

                 where:

                 A   =  the amount to be determined under this sub-paragraph
                        (but if the result of the computation is to produce a
                        negative number, A will be zero)

                 D   =  the amount deducted pursuant to sub-paragraph (ix) in
                        respect of the previous financial year

                 CE  =  capital expenditure in the current financial year

                 B   =  the capital expenditure in the budget for the current
                        financial year (and not included in the budget for any
                        previous financial year)

                 but so that if CE - B produces a negative result it will be
                 treated as zero and so A = D.

10.4 MANDATORY PREPAYMENT OF LOAN ON FLOTATION

     (A)  OBLIGATION TO PREPAY: The Borrower agrees to prepay the Loan in
          accordance with this sub-clause.
<PAGE>

     (B)  CIRCUMSTANCES IN WHICH OBLIGATION TO PREPAY ARISES: The Borrower will
          be obliged to make a prepayment under this sub-clause upon the shares
          of the Borrower or the Parent or any intermediate Holding Company
          between the Borrower and the Parent becoming the subject of an initial
          public offering in connection with the application by the relevant
          Company for the admission of its shares to listing on any stock
          exchange or its shares being made available for the first time for
          dealing through any public dealings facility.

     (C)  AMOUNT OF MANDATORY PREPAYMENT: The amount the Borrower is obliged to
          repay under this sub-clause will be the full amount of the Loan.

     (D)  TIMING OF MANDATORY PREPAYMENT: The amount repayable under this sub-
          clause will become due for repayment on the earlier of:

          (i)   the date of receipt of the sale or issue proceeds by a member of
                the Group or any shareholder in any member of the Group; and

          (ii)  the date of listing becoming effective. Clause 11.7 applies to
                any repayment under this sub-clause.

     (E)  EFFECT OF PREPAYMENT: A prepayment of the Loan under this sub-clause
          will reduce the Total Facility A Commitments and Total Facility B
          Commitments to zero.

10.5 PREPAYMENT UNDER CLAUSE 11

     A prepayment of a Lender's participation in the Facility A Loan after the
     Conversion Date under Clause 11.1(B), 11.2(D), 11.3(D) or 11.4(E) will
     reduce each outstanding repayment instalment under Clause 9 proportionately
     to that Lender's participation in the Facility A Loan.

10.6 NO OTHER PREPAYMENT

     The Borrower may not repay the Loan early except in the manner permitted or
     required by this Agreement.

10.7 NO RE-BORROWING

     No amount of the Facility A Loan which is repaid after the Conversion Date
     may be re-borrowed.
<PAGE>

                PART IV: CHANGES OF CIRCUMSTANCES AND PAYMENTS

11.  CHANGES OF CIRCUMSTANCES

11.1 ILLEGALITY

     (A)  NOTICE: Each Lender may notify the Borrower if it has reasonable cause
          to believe it is or will be acting illegally in relation to the
          Facilities. The illegality may relate to the performance of the
          Lender's obligations, the maintenance of the Facilities or the
          Lender's funding arrangements. Each Lender confirms it is not acting
          illegally in relation to the Facilities on the Amendment Date.

     (B)  CANCELLATION AND PREPAYMENT: If a Lender delivers a notice of
          illegality the Available Commitment of that Lender will be cancelled
          on the date of that notice. If the Lender certifies that, because of a
          legal requirement applicable to the Lender, the participation of that
          Lender in the Loan must be repaid before the last day of any
          applicable Interest Period the Borrower agrees to repay the
          participation on the earlier date specified by the Lender. Clause 11.7
          applies to any cancellation or repayment under this sub-clause.

11.2 INCREASED COSTS

     (A)  TYPES OF INCREASED COSTS: This sub-clause applies where all of (i),
          (ii) and (iii) are true:

          (i)   Either:

                (a) there is a change in a legal requirement applicable to a
                    Lender Group Company or in any other requirement with which
                    it is accustomed to comply, or a change in its
                    interpretation or application; or

                (b) a Lender Group Company complies with a direction or request
                    of an authority with whose directions or requests it is
                    accustomed to comply.

          (ii)  As a result, any of the following occurs:

                (a) a Lender Group Company incurs an expense;

                (b) a Lender Group Company's effective return from the
                    Facilities or on its overall capital is reduced;

                (c) any amount payable to a Lender Group Company is reduced; or

                (d) a Lender Group Company does not recover an amount which
                    would otherwise have been paid to it.

               No account will be taken of tax on the overall net income
               (including overall net profit or gains) of a Lender, or a Lender
               Group Company, in the country in which it has its principal
               office or the office through which it is acting for the purposes
               of this Agreement.  Any loss, reduction or expense wholly
               reflected in the Costs Rate, or which is recoverable under Clause
               4.8 or Clause 11.4 (or would have been so recoverable but for
               Clause 11.5) will also not be taken into account.
<PAGE>

          (iii) The losses, reductions and expenses arising as a result are
                wholly or partly attributable to the Lender's participation in
                the Facilities or the arrangements made by a Lender in funding
                its participation in the Facilities.

     (B)  NOTICE: Each Lender may notify the Borrower if it becomes aware that
          this sub-clause applies. This notice will contain reasonable detail of
          the circumstances which have caused this sub-clause to apply.

     (C)  PAYMENT OF ADDITIONAL AMOUNTS: The Borrower agrees to reimburse each
          Lender for the losses, reductions, expenses and unrecovered amounts
          described in paragraph (A).

     (D)  PREPAYMENT AND CANCELLATION: If a Lender delivers a notice under
          paragraph (B):

          (i)   the Borrower may deliver to that Lender a notice of prepayment.
                The Borrower agrees to prepay the participation of that Lender
                in the Loan five Business Days after the Lender receives this
                notice (or on any later date or dates specified in the notice).
                Clause 11.7 applies to this prepayment; and/or

          (ii)  the Borrower may deliver to that Lender a notice of
                cancellation. That Lender's Available Facility A Commitment and
                Available Facility B Commitment will be reduced to zero on the
                date of delivery of that notice.

     (E)  BASLE EXCEPTION: Paragraph (C) will not oblige the Borrower to
          compensate any Lender in respect of itself or any other Lender Group
          Company for any losses, reductions and expenses described in paragraph
          (A)(ii) which result from the implementation, as at the Amendment
          Date, of the matters set out in the July 1988 report of the Basle
          Committee on Banking Regulations and Supervisory Practices entitled
          "International Convergence of Capital Measurement and Capital
          Standards" (the "BASLE REPORT"), the Directive of the Council of the
          European Communities on a Solvency Ratio for Credit Institutions
          (89/647/EEC of 18th December, 1989) (the "SOLVENCY DIRECTIVE") or the
          Directive of the Council of the European Communities on Own Funds of
          Credit Institutions (89/299/EEC of 17th April, 1989) (the "OWN FUNDS
          DIRECTIVE") in each case as amended prior to the Amendment Date. This
          exception will not apply if the losses, reductions and expenses
          described in paragraph (A)(ii) result from any change after the
          Amendment Date in, or in the interpretation or application of, the
          Basle Report, the Solvency Directive or the Own Funds Directive.

11.3 MARKET DISRUPTION

     (A)  NATURE OF MARKET DISRUPTION: This sub-clause applies if any of (i),
          (ii), or (iii) are true:

          (i)   Lenders with Available Commitments exceeding 35% of the
                aggregate Available Commitments, or with participations
                exceeding 35% of the Loan, notify the Agent that they believe
                that LIBOR or, as the case may be, EURIBOR would not reflect
                fairly the cost to them of funding an amount outstanding under
                this Agreement. For the purpose of making this computation, the
                Agent will disregard a notice from a Lender in circumstances
                where the Borrower has satisfied the Agent (supported
<PAGE>

                by any evidence that the Agent may reasonably request) that the
                only reason why LIBOR or, as the case may be, EURIBOR would not
                reflect fairly the cost to that Lender of funding its
                participation in an Advance is a deterioration in that Lender's
                credit standing.

          (ii)  LIBOR or, as the case may be, EURIBOR cannot be determined
                because no rate appears on the Screen for the relevant currency
                for the necessary period and fewer than two Reference Banks
                provide quotations.

          (iii) Lenders with Available Commitments exceeding 35% of the
                aggregate Available Commitments, or with participations
                exceeding 35% of the Loan, notify the Agent that they are unable
                to fund their participations in the Loan in the London inter-
                bank market or, as the case may be, European inter-bank market.
                (B) NOTICE: The Agent agrees to notify the Borrower and the
                Lenders if this sub-clause applies.

     (C)  ALTERNATIVE INTEREST RATE ARRANGEMENTS: If the Agent delivers a notice
          of market disruption each of the following applies:

          (i)   The means of determining the rates of interest applicable to the
                Advance or Advances affected (the "AFFECTED ADVANCE") will be
                suspended. Instead the Borrower agrees to pay interest to the
                Lenders on the Affected Advance in the manner requested by the
                Agent in accordance with this clause. A request by the Agent may
                specify periods to be used for the computation of interest. It
                must also specify the rate of interest to apply for a period.
                This rate will be the rate determined by the Agent to reflect
                the cost to each Lender of funding the Affected Advance for the
                period plus the Applicable Margin plus (in the case of Advances
                in sterling) the Costs Rate. In order to assist the Agent in
                this determination each Lender agrees to provide to the Agent
                any information which the Agent may request. If this information
                is received by the Agent within any time period specified by the
                Agent it will be taken into account by the Agent in making its
                determination.

          (ii)  The Borrower and the Agent will negotiate the terms of an
                alternative arrangement for determining a rate of interest for
                the Affected Advance. The negotiations will be carried on in
                good faith. Neither party is bound to continue the negotiations
                after the date 30 days after the Borrower receives the Agent's
                notice. If agreement is reached and if it is approved by all the
                Lenders the rate of interest will be determined in accordance
                with the agreement. Sub-paragraph (i) will not apply to the
                extent that it is expressly excluded by that agreement.

          (iii) If the circumstances described in paragraph (A) cease to apply
                the Agent will notify the Borrower and the Lenders. The notice
                will specify the transitional arrangements proposed by the Agent
                which as far as possible will be in accordance with the normal
                interest rate fixing provisions of this Agreement. The Borrower
                agrees to pay interest to the Lenders on the Affected Advance in
                the manner described in this notice unless a different
                arrangement is agreed by the Agent and the Borrower and approved
                by all the Lenders. In this case the Borrower agrees to pay
                interest to the Lenders in the manner agreed.
<PAGE>

     (D)  PREPAYMENT: If this sub-clause applies, the Borrower may deliver a
          notice of prepayment to the Agent. The Borrower agrees to prepay the
          Loan or, at the Borrower's election, the Affected Advance or Affected
          Advances five Business Days after the Agent receives this notice (or
          on any later date or dates specified in the notice). Clause 11.7
          applies to this prepayment.

     (E)  WITHDRAWAL: If this sub-clause applies, the Borrower may notify the
          Agent before 12.30 p.m. on the Advance Date relating to the Affected
          Advance that it wishes to withdraw the notice of borrowing relating to
          the Affected Advance. In this case that notice of borrowing will be
          treated as having not been made. Clause 6.6 will not apply in these
          circumstances.

11.4 WITHHOLDINGS

     (A)  WITHHOLDINGS AND DEDUCTIONS: This sub-clause applies if the Borrower,
          a Guarantor or the Agent is required by law, or by any requirement of
          a taxing authority with which it is obliged to comply, to make a
          payment under this Agreement net of a withholding or deduction.

     (B)  NOTICE: The Borrower agrees to notify the Agent if it becomes aware
          that this sub-clause applies.

     (C)  GROSSING UP: The Borrower and each Guarantor agrees to increase the
          amount of any payment from which it has to withhold or deduct any sum.
          This increase will ensure that the person entitled to the payment will
          receive, after that sum has been deducted or withheld, the amount it
          would have received had no sum had to be withheld or deducted.

     (D)  PAYMENT OF TAX: The Borrower and each Guarantor will pay to the
          appropriate authority all amounts withheld or deducted by it and
          certify to the Agent's reasonable satisfaction that it has withheld or
          deducted those sums and paid them to that authority. If a receipt or
          other evidence of payment can be obtained from that authority without
          incurring unreasonable cost or expense, the Borrower or that Guarantor
          agrees to deliver this to the Agent as soon as reasonably practicable.

     (E)  PREPAYMENT AND CANCELLATION: If this clause applies to payments by the
          Borrower:

          (i)   the Borrower may deliver to the Agent a notice of prepayment.
                This notice may relate to any part of the Loan which is subject
                (or the interest on which is subject) to the withholding or
                deduction. The Borrower agrees to prepay the Loan (or the part
                of it which is affected) five Business Days after the Agent
                receives this notice (or on any later date or dates specified in
                the notice). Clause 11.7 applies to this prepayment; and/or

          (ii)  the Borrower may deliver to the Agent a notice of cancellation.
                This notice may relate to any part of the Total Facility A
                Commitments or Total Facility B Commitments which, if drawn,
                would be subject (or the interest on which would be subject) to
                the withholding or deduction. That part of the Total Facility A
                Commitments or Total Facility B Commitments will be reduced to
                zero on the date of delivery of that notice.
<PAGE>

     (F)  REFUND OF TAX CREDITS: If the Borrower or a Guarantor makes an
          increased payment under Clause 11.4(C) (a "TAX PAYMENT") the relevant
          Lender or, as the case may be, the Agent agrees to notify the Borrower
          if it has obtained a refund of tax or obtained and used a credit
          against tax on its overall net income (a "TAX CREDIT") which that
          Lender or, as the case may be, the Agent is able to identify as
          attributable to that Tax Payment. To the extent that it can in its
          absolute discretion without any adverse consequences for it, that
          Lender or, as the case may be, the Agent shall reimburse the Borrower
          or, as the case may be, that Guarantor such amount as the Lender or,
          as the case may be, the Agent determines to be the proportion of that
          Tax Credit as will leave the Lender or, as the case may be, the Agent
          (after that reimbursement) in no better or worse position in respect
          of its tax liabilities than it would have been in if no Tax Payment
          had been required. No Lender or, as the case may be, Agent shall be
          obliged to disclose any information regarding its tax affairs and
          computations, and this sub-clause does not affect the right of any
          Lender or, as the case may be, Agent to arrange its tax affairs as it
          thinks fit.

11.5 INLAND REVENUE TREATMENT OF THE LENDERS

     The Borrower and each Guarantor will not be required to pay increased
     amounts under Clause 11.4 in respect of a payment of interest to a Lender
     in either of the following cases:

     (A)  At the date the principal amount on which that interest accrued was
          advanced that Lender was not a bank for the purposes of section 349(3)
          of the Income and Corporation Taxes Act 1988.

     (B)  The person beneficially entitled to that payment of interest at the
          time it is paid is not within the charge to United Kingdom corporation
          tax in respect of that interest.

     This sub-clause only applies so far as a withholding or deduction is due to
     the circumstances described in paragraph (A) or (B) above.  It does not
     apply where the circumstances described in paragraph (A) or (B) above arise
     as a result of a change in law or concession or a change in the
     interpretation or application of law or concession.  Each Lender agrees to
     notify the Agent if paragraph (A) or (B) above applies.

11.6 CONFIRMATIONS FROM LENDERS

     The Borrower or the Agent may request a Lender to confirm whether or not
     the circumstances described in Clause 11.5(A) or (B) exist.  Each Lender
     agrees to provide the confirmation requested as soon as reasonably
     practicable.

11.7 PREPAYMENT

     This sub-clause applies if the Borrower is obliged to repay the Loan or any
     part of it under this Clause, Clause 10 or Clause 21.2.  In this event the
     Borrower agrees to pay on the date repayment is due interest accrued on the
     Loan (or the amount to be repaid) up to that date.  If the date repayment
     is due is not the last day of an Interest Period applicable to the amount
     being repaid, the Borrower will reimburse each affected Lender for the
     losses and expenses that Lender has incurred, or will incur, as a result.
     These losses and expenses may include those incurred in liquidating or
     otherwise utilising amounts borrowed by the Lender to fund its
     participation in the Loan (or the amount repaid).  They may also include
     losses and expenses incurred in hedging open positions resulting from the
     repayment.
<PAGE>

11.8 MITIGATION

     This sub-clause does not affect the obligations of the Borrower under the
     other sub-clauses of this Clause.  If this Clause applies to a Lender or
     the Agent, that Lender or the Agent will take all steps reasonably open to
     it and, as the case may be, will procure that any Lender Group Company
     takes all steps reasonably open to it, to reduce the additional amounts
     payable by the Borrower under this Clause or to avoid or reduce the impact
     of the circumstances referred to in it.  These steps may include the
     transfer of the Lender's rights and obligations under this Agreement to
     another branch or bank acceptable to the Borrower.  The Lender or Lender
     Group Company or the Agent will not, however, be obliged to do anything
     which in its opinion would or might have an adverse effect on it.

12.  PAYMENTS

12.1 METHOD AND TIMING OF PAYMENTS

     All payments under this Agreement must be made in immediately available and
     freely transferable funds.  Each payment must be received by noon on the
     due date. Each payment must be for value on the due date.

12.2 CURRENCY OF PAYMENT

     Each Advance is to be advanced and repaid in the currency in which it is
     denominated. Interest on an Advance is to be paid in the same currency as
     the Advance. All other payments are to be made in sterling, unless this
     Agreement specifies a different currency.

12.3 PAYMENTS IN EURO

     Each payment by the Agent in euro will be made in euro units rather than
     NCU, unless the Agent notifies the recipient otherwise.  This does not
     affect the rights of any party under the EMU legislation or other
     applicable law to make euro payments in NCU or receive euro payments
     credited to its account in NCU.  The Agent will not be liable for any
     failure to make payments on their due date arising from any failure in any
     cross-border euro payment system.  In addition, Clause 22.8(A) applies.

12.4 PAYMENTS THROUGH THE AGENT

     (A)  NORMAL ARRANGEMENTS: All payments by the Borrower or by a Lender under
          this Agreement will be made through the Agent. Each sterling payment
          will be made to the account of the Agent with The Royal Bank of
          Scotland plc, Correspondent Banking Branch, 5-10 Great Tower Street,
          London EC3P 3HX, account name Credit Suisse First Boston, account
          number 12302000, CHAPS Code 16-52-24. Each euro payment will be made
          to the account of the Agent with Citibank N.A., London Branch, account
          name Credit Suisse First Boston, London Branch, account number
          8552940. The Agent will pay on an amount received as soon as
          practicable.

     (B)  ALTERNATIVE ARRANGEMENTS: If the Agent believes that it is, or will
          be, illegal or impossible for it to pay on to a Lender in accordance
          with paragraph (A), it agrees to notify the Borrower and that Lender.
          In this case the Borrower and that Lender may agree alternative
          arrangements for payments to be made to that Lender. Paragraph (A)
          will not apply to the extent excluded by those alternative
          arrangements. That Lender agrees to provide notice of the
<PAGE>

          arrangements to the Agent and will notify the Agent of payments in
          accordance with Clause 14.1.

          (C)  APPLICATION OF DEPOSIT PAYMENTS: The Borrower is not required to
               make payments in accordance with this sub-clause to the extent
               that an amount is debited from the Charged Account in accordance
               with Clause 3(D) of the Deposit Agreement and Charge on Cash
               Deposits.

12.5 PAYMENTS TO THE BORROWER

     Each payment by the Agent to the Borrower will be made to the account of
     the Borrower which is notified to the Agent by the Borrower for this
     purpose.

12.6 PAYMENTS TO THE LENDERS

     Each payment by the Agent to a Lender will be made to the account of that
     Lender notified to the Agent for this purpose.

12.7 CHANGE OF ACCOUNT

     The Borrower or a Lender may change any of its receiving accounts by not
     less than five Business Days' notice to the Agent.  The Agent may change
     any of its receiving accounts by giving not less than five Business Days'
     notice to the Borrower and the Lenders.

12.8 REFUNDING OF PAYMENTS BY THE AGENT

     This sub-clause applies if the Agent makes a payment out in the mistaken
     belief that it has received or will receive an incoming payment on a
     particular day.  In this case the person which received the payment from
     the Agent agrees to return it.  It will also reimburse the Agent for all
     losses and expenses incurred by the Agent as a result of funding the
     payment.  This sub-clause does not affect the rights of the person which
     received the payment against the person which failed to make the payment to
     the Agent.

12.9 NON-BUSINESS DAYS

     If a payment would be due on a non-Business Day the payment obligation will
     be deferred until the next Business Day unless that day is in another
     calendar month.  Where it is in another calendar month that payment
     obligation will be brought forward to the previous Business Day.  Interest
     and commitment fees will be adjusted accordingly.

12.10  PAYMENT IN FULL

     All payments by the Borrower will be made in full and without set-off or
     counterclaim.  No payment will be made net of a withholding or deduction,
     unless this is required by law or by any requirement of a taxing authority
     with which it is obliged to comply.  In this event Clause 11.4 applies.

12.11  SET-OFF

     If a Company owes money under this Agreement which is due and payable the
     person to whom it is owed may set-off this obligation against any moneys
     owed by that person to that Company.  The moneys owed by that party may be
     in a different currency, arise on a separate transaction or involve another
     branch.  This sub-clause applies even where amounts owed to that Company
     are not due and payable, if there is an outstanding Termination Event or
     Potential Termination Event.  Where amounts are in different currencies the
     person to whom money is owed under this Agreement may
<PAGE>

     convert amounts into the same currency using the then current exchange
     rate. If a Lender sets off an obligation under this Agreement, that Lender
     agrees promptly to notify the Company concerned in accordance with Clause
     24.3. The notice will provide details of the amount set off.

13.  LATE PAYMENT

13.1 DEFAULT INTEREST

     The Borrower agrees to pay interest on all amounts unpaid under this
     Agreement after their due date for payment.  This interest will be computed
     by reference to successive periods selected by the Agent.  The first of
     these periods will start on the due date for payment of the unpaid amount.
     The rate of interest applicable during each of these periods will be a rate
     per annum equal to 1% plus:

     (A)  in the case of an amount in sterling, LIBOR for that period plus the
          Costs Rate; or

     (B)  in the case of an amount in euros, EURIBOR for that period,

     plus, in either case, the Applicable Margin. This interest will be paid in
     arrear on the last day of each of these periods and on the date of payment
     of the unpaid amount. This interest will be payable after as well as before
     judgment.

13.2 INDEMNITY

     If the Borrower fails to make a payment on the due date the Borrower agrees
     to reimburse the person entitled to the payment for the losses and expenses
     (including loss of profit) that person incurs, or will incur, as a result.
     The computation of these losses and expenses will take into account any
     amount received under Clause 13.1.

14.  SHARING AMONG LENDERS

14.1 NOTICE

     If an amount due to a Lender (the "RECIPIENT") under this Agreement is
     discharged other than by payment through the Agent the Lender agrees to
     notify the Agent and the Borrower in accordance with Clause 24.3.  This may
     occur because of the exercise of a right of set-off, by virtue of a
     combination of accounts or because of a voluntary or involuntary payment by
     the Borrower or a Guarantor direct to that Lender.  The notification will
     provide details of the amount discharged and will be delivered no later
     than ten Business Days after the discharge.

14.2 DETERMINATION BY THE AGENT

     Where a Lender has issued a notice under Clause 14.1 the Agent will
     determine what payments, if any, are due under Clause 14.4.  This
     determination will be made on the basis of the information contained in all
     the notices delivered to the Agent under Clause 14.1.  The determination
     will be notified to the Borrower and the Lenders.

14.3 LITIGATION

     In determining the amount due under Clause 14.4 no account will be taken of
     an amount due to a Lender which has declined to participate in legal
     proceedings which resulted in
<PAGE>

     the payment described in Clause 14.1. This only applies if that Lender
     could have joined in the proceedings or could have instituted its own
     proceedings, but failed to do so.

14.4 PAYMENT TO THE AGENT

     The Recipient agrees to pay to the Agent an amount calculated as follows:

                                 P = D (X - Y)

     where

          P =  the amount payable to the Agent

          D =  the aggregate amount due to the Recipient out of which an amount
               has been discharged

          X =  the fraction of D which has been discharged

          Y =   the fraction which has been discharged, if any, of the aggregate
               amount due to the Lender which has the greatest proportion of
               that amount still outstanding.

     This amount will be paid no later than five Business Days after receipt of
     a notice from the Agent under Clause 14.2.

14.5 OBLIGATIONS OF THE BORROWER AND THE GUARANTORS

     Any amount due to the Recipient which would otherwise have been discharged
     as described in Clause 14.1 will be treated as not having been discharged
     to the extent of an amount which is or will be payable under Clause 14.4 as
     a result.  Accordingly the Borrower and each Guarantor agree to pay this
     amount to the Recipient as if it had not been discharged.  This payment is
     required to be made whether or not the Agent has issued a determination
     under Clause 14.2.

14.6 DISTRIBUTION

     The Agent agrees to distribute to the Lenders the amount received by it
     under Clause 14.4 as if that amount had been received from the Borrower in
     discharge of an amount due under this Agreement.  The Borrower will then be
     treated as having paid that amount.

14.7 RECOVERY

     This sub-clause applies if an amount discharged as described in Clause 14.1
     is recovered from, or is required to be repaid by, the Recipient.  In this
     case each Lender which received the benefit of a payment made under Clause
     14.4 agrees to repay to the Recipient the amount it received.  Each of
     these Lenders will also reimburse the Recipient for any losses or expenses
     which the Recipient has incurred in connection with the discharged amount
     or its recovery or repayment.  The rights and obligations of the parties
     shall be restored to the position before any payment became due under
     Clause 14.4.
<PAGE>

                       PART V : GUARANTEE AND INDEMNITY

15.  GUARANTEE

15.1 GUARANTEE

     Each Guarantor guarantees the due and punctual performance of all
     obligations of the Borrower (or, as the case may be, each Restricted
     Subsidiary) under this Agreement, each Hedging Contract and each Overdraft
     Facility.  This guarantee is unconditional and irrevocable.

15.2 AGREEMENT TO PAY

     Each Guarantor agrees to pay on demand each amount due by the Borrower (or,
     as the case may be, each Restricted Subsidiary) which is unpaid.  The
     demand may be made at any time on or after the due date for payment.
     Payment will be made in the same currency as the amount due by the Borrower
     (or, as the case may be, each Restricted Subsidiary).

15.3 CONTINUING GUARANTEE

     This guarantee is a continuing guarantee. No payment or other settlement
     will discharge any Guarantor's obligations until the Borrower's obligations
     (or, as the case may be, each Restricted Subsidiary's obligations) have
     been discharged in full.

15.4 OTHER GUARANTEES AND SECURITY
     This guarantee is in addition to, and independent of, any other guarantee
     or security.

15.5 ENFORCEMENT

     This guarantee may be enforced before any steps are taken against the
     Borrower (or, as the case may be, each Restricted Subsidiary) or any other
     Guarantor or under any other guarantee or Security.

15.6 PRESERVATION OF RIGHTS

     This guarantee will only be discharged by (i) the making of payment (in the
     case of this Agreement, in accordance with Clause 12) in full by the
     Borrower (or, as the case may be, the relevant Restricted Subsidiary) or
     any of the Guarantors or (ii) the receipt otherwise of payment in full. It
     will not be discharged by any other action, omission or fact. Each
     Guarantor's obligations will, therefore, not be affected by:

     (A)  The obligations of the Borrower (or, as the case may be, the relevant
          Restricted Subsidiary) being or becoming void, invalid, illegal or
          unenforceable.

     (B)  Any change, waiver or release of the Borrower's (or, as the case may
          be, the relevant Restricted Subsidiary's) obligations.

     (C)  Any concession or time being given to the Borrower (or, as the case
          may be, the relevant Restricted Subsidiary).

     (D)  The winding-up or re-organisation of the Borrower (or, as the case may
          be, the relevant Restricted Subsidiary).
<PAGE>

     (E)  Any change in the condition, nature or status of the Borrower (or, as
          the case may be, the relevant Restricted Subsidiary).

     (F)  Any of the above events occurring in relation to another Guarantor or
          any other guarantor or provider of Security or its obligations.

     (G)  Any failure to take, retain or enforce any other guarantee or
          Security.

     (H)  Any circumstances affecting or preventing recovery of amounts due by
          the Borrower.

     (I)  Any other matter which might discharge a Guarantor.

     Any receipt from any person other than a Guarantor will reduce the
     outstanding balance only to the extent of the amount received.

15.7 REPRESENTATIONS OF A GUARANTOR

     Each Guarantor confirms that it does not have the benefit of any Security
     in respect of this guarantee or the indemnity in Clause 16.

15.8 COVENANTS OF A GUARANTOR
     Each Guarantor agrees as follows:

     (A)  SECURITY: It will not have the benefit of any Security in respect of
          this guarantee or the indemnity in Clause 16.

     (B)  EXERCISE OF RIGHTS: It will not, for so long as a Termination Event or
          Potential Termination Event has occurred and is outstanding:

          (i)   take the benefit of any right against the Borrower (or, as the
                case may be, the relevant Restricted Subsidiary) or any other
                person in respect of amounts paid under this guarantee; or

          (ii)  claim or exercise against the Borrower (or, as the case may be,
                the relevant Restricted Subsidiary) any right to any payment
                (whether or not connection with this Agreement).

     (C)  COMPETING PROOF: An Instructing Group may request a Guarantor to
          submit a proof for amounts due to it by the Borrower or any other
          guarantor. Each Guarantor agrees to submit a proof promptly in
          accordance with this request if it is entitled to do so. All amounts
          received in respect of this proof will be held by that Guarantor on
          trust for the Agent and the Lenders.

     The obligations in this sub-clause will cease to have effect when all the
     Facilities have ceased to be available and there are no amounts outstanding
     under this Agreement.

15.9 SUSPENSE ACCOUNT

     Any amount received under this guarantee may be placed on suspense account
     (bearing interest at a commercial rate, which interest shall be credited to
     the account).  Suspense accounts may be held by the Agent or by a Lender.
     While the amounts are in the suspense account the Agent or any Lender may
     claim and recover amounts from the Borrower (or, as the case may be, the
     relevant Restricted Subsidiary), another Guarantor and any other guarantor
     as if the amount in the suspense account had not
<PAGE>

     been received. Amounts may be taken out of a suspense account by the person
     holding that account at any time for application against the amounts
     outstanding under this Agreement or return to the payer of such amounts.

15.10  DISCHARGE CONDITIONAL

     Any settlement with, or discharge of, a Guarantor will be subject to a
     condition. This condition is that the settlement or discharge will be set
     aside if any prior payment, or any other guarantee or security, is set
     aside, invalidated or reduced.  In this event each Guarantor agrees to
     reimburse each Lender and the Agent for the value of the payment, guarantee
     or security which is set aside, invalidated or reduced.

15.11  PRINCIPAL DEBTOR

     Each Guarantor agrees to pay any amount which is expressed to be due from
     the Borrower (or, as the case may be, the relevant Restricted Subsidiary)
     but which is not recoverable from a Guarantor as a guarantor.  Any amount
     due under this sub-clause will be recoverable from each Guarantor as though
     the obligation had been incurred by that Guarantor as sole or principal
     debtor, but otherwise on the same terms as the obligation was expressed to
     be incurred by the Borrower (or, as the case may be, the relevant
     Restricted Subsidiary). This sub-clause is in addition to each Guarantor's
     obligations as a guarantor. The payment by the Borrower (or, as the case
     may be, the relevant Restricted Subsidiary) or any Guarantor of any amount
     payable by virtue of this sub-clause will (subject to Clause 15.10)
     discharge pro tanto the obligations on each Guarantor to pay the amounts
     expressed to be payable by it under this sub-clause.

16.  GUARANTOR'S INDEMNITY

16.1 INDEMNITY

     This Clause applies if the Borrower fails to make a payment expressed to be
     due under this Agreement on the due date.  In this event each Guarantor
     agrees to reimburse the person entitled to the payment for the losses and
     expenses (including loss of profit) that person incurs, or will incur, as a
     result.  Each Guarantor also agrees to reimburse each Lender and the Agent
     for all losses and expenses arising from any obligations of the Borrower
     being or becoming void, invalid, illegal or unenforceable.

16.2 AMOUNT OF LOSS

     For the purposes of this Clause a Lender and the Agent will be treated as
     having suffered a loss equal to the amount expressed as being due to it by
     the Borrower, but which is unpaid (taking into account any amounts paid
     under Clause 15).  If this treatment is incorrect the Lender or the Agent
     will produce evidence of its loss.
<PAGE>

          PART VI : REPRESENTATIONS, COVENANTS AND TERMINATION EVENTS

17.  REPRESENTATIONS

17.1 REPRESENTATIONS

     Each Company confirms that each of the following is true as at the
     Amendment Date (subject, in the case of Clause 17.1(T), as stated in that
     Clause 17.1(T)):

     (A)  NATURE OF COMPANY: It is a company duly incorporated and validly
          existing under the laws of its country of incorporation.

     (B)  POWERS OF COMPANY: It has power to own its assets and conduct its
          business as currently conducted. It also has corporate power to sign
          and deliver those of the Financing Documents to which it is a party
          (and which it has signed and delivered) and to exercise its rights and
          perform its obligations under those of the Financing Documents to
          which it is a party.

     (C)  AUTHORISATIONS: The signature and delivery on its behalf of those of
          the Financing Documents to which it is a party (and which it has
          signed and delivered) and the exercise of its rights and the
          performance of its obligations under the Financing Documents have been
          duly authorised by it.

     (D)  BINDING OBLIGATIONS: This Agreement and the other Financing Documents
          to which it is a party have been (or, if executed after the Amendment
          Date, will be when executed) duly signed and delivered by it. Its
          obligations described in the Financing Documents to which it is a
          party are (or, if executed after the Amendment Date, will be when
          executed) its valid and binding obligations in accordance with their
          terms, subject to the reservations contained in paragraph 8 of the
          opinion of Slaughter and May (the form of which is set out in Schedule
          8) and in any legal opinion delivered under Clause 20.1(R)(i)(c).

     (E)  LEGALITY AND CONTRAVENTIONS: The signature and delivery on its behalf
          of the Financing Documents to which it is a party and the exercise of
          its rights and performance of its obligations under such Financing
          Documents and the creation of Security by it under the Charges (if
          applicable):

          (i)   are not prohibited by applicable law, regulation or order or by
                its constitutional documents;

          (ii)  do not require any approval, filing, registration or exemption
                (other than the perfection of the Security constituted by the
                Charges by means of registration at H.M. Land Registry, the Land
                Register, the Register of Sasines, Companies House and the Trade
                Marks Registry, or as disclosed in any legal opinion delivered
                under Clause 20.1(R)(i)(c); and

          (iii) are not prohibited by, and do not constitute an event of default
                under, and do not result in an obligation to create Security
                under, any document or arrangement to which it is a party and
                which is material in the context of this Agreement.

     (F)  RANKING OF OBLIGATIONS: Its obligations under the Financing Documents
          are secured by the Charges. The Charges will, when executed (and
          subject to the required registrations being made and to any Security
          permitted by
<PAGE>

          Clause 20.1(C)(ii) and (iii)), constitute a first priority security
          interest which is valid and enforceable over the assets referred to in
          the Charges, subject to the reservations (other than reservation 8(F))
          contained in paragraph 8 of the opinion of Slaughter and May (the form
          of which is set out in Schedule 8) and in any legal opinion delivered
          under Clause 20.1(R)(i)(c). Amounts due under this Agreement will, for
          security purposes, rank at least equally with amounts due under the
          Hedging Contracts and the Overdraft Facilities. No amounts have been
          repaid by the Borrower under the Subordinated Loan Agreement or the
          Inter-Company Loan Agreement, and no amounts are repayable until all
          amounts expressed to be owed under the Financing Documents, the
          Hedging Contracts and the Overdraft Facilities have been paid in full
          and the Facilities are no longer available.

     (G)  NO TERMINATION EVENT: No Termination Event or Potential Termination
          Event has occurred and is continuing and none will occur as a result
          of the exercise of its rights or the performance of its obligations
          under the Financing Documents.

     (H)  ACCOUNTS: The audited financial statements and the consolidated
          audited financial statements most recently delivered under Clause 18.1
          (including, as at the Amendment Date, those statements most recently
          delivered before the Amendment Date under the equivalent of the
          provision now set out in Clause 18.1) give a true and fair view of the
          results of each Company's operations and the financial position of the
          Group taken as a whole, the Borrower's Group taken as a whole and the
          Borrower's Restricted Group taken as a whole. These financial
          statements were prepared in accordance with Generally Accepted
          Accounting Principles consistently applied except to the extent that
          the accompanying notes provide a description of a different treatment.

     (I)  LITIGATION: There exists no litigation which is reasonably likely to
          have an unfavorable outcome materially adversely affecting (in the
          case of the Borrower) its ability to perform its obligations under the
          Financing Documents or (in the case of any other Company) the
          Guarantors' ability (taken as a whole) to perform the Guarantors'
          obligations under the Financing Documents or, in the case of the
          Borrower, its ability to perform its material obligations under each
          of the Transmission Agreements.

     (J)  SECURITY: No Security exists over any of its assets, except as
          permitted by Clause 20.1(C).

     (K)  REPRESENTATIONS IN THE CHARGES: The representations given by it in the
          Charges are true as at the time they are made and repeated.

     (L)  DTT TRANSMISSION AGREEMENTS: The Borrower has complied with the
          licences conferred on it to which reference is made in the BBC DTT
          Transmission Agreement and the ONDIGITAL DTT Transmission Agreement.
          If there is a breach of any of these licences, but that breach is
          capable of remedy and that licence has not been terminated or revoked,
          there will not be a breach of this paragraph.

     Each Guarantor confirms that the following is true:

     (M)  GUARANTEEING POWERS: It has the power to guarantee the whole of the
          sums available under this Agreement and enter into the Charges. The
          borrowing of the full amount available under this Agreement does not
          contravene or exceed any guaranteeing limitation on it (or its
          directors) under its constitutional
<PAGE>

          documents or any other document to which it is a party and which is
          material in the context of this Agreement.

     Each of the Borrower and the Parent confirms that each of the following is
     true:

     (N)  BORROWING POWERS: The Borrower has the power to borrow the whole of
          the sums available under this Agreement. The borrowing of the full
          amount available under this Agreement does not contravene or exceed
          any borrowing limitation, and the entering into the Charges does not
          contravene any limitation on giving security, on it (or its directors)
          under its Memorandum and Articles of Association or any other document
          to which it is a party and which is material in the context of this
          Agreement.

     (O)  NO MATERIAL ADVERSE CHANGE:

          (i)   There has been no change in financial condition of the Borrower
                or (taken as a whole) the Guarantors having a material adverse
                impact on the Borrowers or (taken as a whole) the Guarantors'
                ability to perform its or their payment obligations under the
                Financing Documents since the last date as at which each of the
                covenants in Clause 19.2 were measured. The assessment of
                whether the change in financial condition is material will be
                measured against the covenants tested on that date.

          (ii)  In addition no event or circumstance has occurred and is
                continuing affecting the business or operations of the Borrower
                and (taken as a whole) the Guarantors and having a material
                adverse impact on the Borrower's or (taken as a whole) the
                Guarantors' ability to perform its or their payment obligations
                under the Financing Documents. The assessment of whether there
                has been a material adverse impact will be measured against the
                business or operations of the Borrower and (taken as a whole)
                the Parent and the Borrower's Group on the Amendment Date.

     (P)  AGREEMENTS EFFECTIVE: Each of the Shareholders' Agreement, the
          Transmission Agreements, the NTL Site Sharing Agreement, the Contract
          for Services, the Subordinated Loan Agreement and the Inter-Company
          Loan Agreement is in full force and effect, and the Bonds and any
          guarantees given by any person in respect of CT Finance's obligations
          under the Bonds are binding obligations.

     (Q)  LICENCES, ETC.: All licences, consents and authorisations necessary
          for the Borrower to conduct its business as currently conducted, and
          for the members of the Borrower's Restricted Group to conduct the
          other material businesses operated by the Borrower's Restricted Group
          (taken as a whole) as currently conducted, are in full force and
          effect.

     (R)  BORROWINGS: No member of the Borrower's Restricted Group has any
          Indebtedness for Borrowed Money, or has issued any guarantees,
          indemnities or other similar assurances, except as permitted under
          Clause 20.1(K) or as agreed by the Agent (acting on the instructions
          of an Instructing Group).

     (S)  TRANSMISSION AGREEMENTS REPRESENTATIONS: The representations given by
          the Borrower in each of the Transmission Agreements are true in all
          material respects as at the time they are made.
<PAGE>

     (T)  INFORMATION MEMORANDUM: As at the date of the Information Memorandum:

          (i)   the information incorporated in the Information Memorandum is
                true and correct in all material respects; and

          (ii)  no material information has been omitted and the financial
                projections contained in the Information Memorandum have been
                prepared on a reasonable basis using reasonable assumptions.

          In addition, no material adverse change has occurred in relation to
          the Borrower and (taken as a whole) the Parent and the Borrower's
          Group after the date of issue of the Information Memorandum which
          would require the Borrower, acting reasonably, to update the
          information contained in the Information Memorandum so as to ensure
          that this information remained true and correct in all material
          respects and that there were no material omissions or change in the
          assumptions used in the preparation of the financial projections in
          the Information Memorandum.

     The Borrower confirms that the following is true:

     (U)  FINANCIAL MODEL: The Financial Model has been prepared on a reasonable
          basis using reasonable assumptions and the Borrower does not have any
          reason to believe that it contains a misstatement material in the
          context of this Agreement.

     (V)  YEAR 2000:

          (i)   The Year 2000 Programme Report fairly describes in all material
                respects (with no material omissions) the investigations and
                actions which have been undertaken and performed by or on behalf
                of (taken as a whole) the Borrower's Restricted Group prior to
                the Amendment Date in relation to: (a) investigations as to
                whether its computer systems are able to handle date data
                relating to a date on or after 1st January, 2000; and (b) the
                actions taken or to be taken which are intended to ensure that
                such technology is able to handle such data.

          (ii)  On the basis of the investigations and actions mentioned in sub-
                paragraph (i) it believes that its business critical equipment
                and software (including as described in the Year 2000 Programme
                Report) and that of (taken as a whole) the Borrower's Restricted
                Group will be unaffected by the change in date caused by the
                beginning of the new millennium. This statement only applies to
                the extent that any disruption caused to the operations of
                Borrower or (taken as a whole) those the Borrower's Restricted
                Group is reasonably likely to have a material adverse effect on
                the Borrower or (taken as a whole) the Borrower's Restricted
                Group.

17.2 REPETITION

     All of the representations in Clause 17.1 except those in paragraphs (T),
     (U) and (V) will be deemed repeated on the making of each Advance and on
     the first day of each Interest Period.  The representations in paragraphs
     (T) and (U) will be deemed repeated on the date of the first Advance on or
     after the Amendment Date but not subsequently.  The representation in
     paragraph (V) will be deemed repeated on the making of each Advance which
     falls on or before 31st March, 2000.  Where a representation is deemed
     repeated this repetition will be with reference to the facts on that day.
<PAGE>

17.3 SURVIVAL OF REPRESENTATIONS

     Each of the representations made by the Borrower under this Agreement shall
     survive the making of each Advance (but are only repeated to the extent
     referred to in Clause 17.2).

17.4 LENDER REPRESENTATIONS

     Each Lender represents that each of the following is true:

     (A)  In respect of a payment of interest to that Lender, that Lender was,
          at the date the principal amount on which that interest accrued was
          advanced, a bank for the purposes of section 349(3) of the Income and
          Corporation Taxes Act 1988.

     (B)  In respect of a payment of interest to that Lender, the person
          beneficially entitled to that payment of interest at the time it is
          paid is within the charge to United Kingdom corporation tax in respect
          of that interest.

     The representations in this sub-clause do not apply where the
     representations would be untrue as a result of a change in law or Inland
     Revenue concession or a change in the interpretation or application of law
     or Inland Revenue concession.

18.  INFORMATION COVENANTS

18.1 PERIODIC REPORTS

     Each of the Borrower and the Parent agrees to deliver each of the following
     to the Agent as soon as they become available and, in any event, by the
     latest date indicated:

DOCUMENT/INFORMATION                                   Latest Date
--------------------                                   -----------
(a)  Annual audited accounts of each              90 days after the end of that
     Company including profit and loss            financial year
     account, balance sheet and, in the case
     of the Borrower and the Parent, cash flow
     statement

(b)  Annual audited consolidated accounts of      90 days after the end of that
     the Borrower's Group, the Borrower's         financial year
     Restricted Group and of the Group,
     including profit and loss account, balance
     sheet and cash flow statement

(c)  Quarterly unaudited management               45 days after the end of each
     accounts of each Company certified to be     quarter of its financial year
     correct by the Certifying Financial Officer,
     including profit and loss account, balance
     sheet, cash flow statement and
     statement of capital expenditure
<PAGE>

(d)  Quarterly consolidated unaudited             45 days after the end of each
     management accounts of the Borrower's        quarter of its financial year
     Group, the Borrower's Restricted Group
     and of the Group certified to be correct
     by the Certifying Financial Officer,
     including profit and loss account, balance
     sheet, cash flow statement and
     statement of capital expenditure

(e)  Monthly management accounts of each          30 days after the end of each
     Company certified to be correct by the       calendar month
     Certifying Financial Officer, including
     profit and loss account, balance sheet,
     cash flow statement and statement of
     capital expenditure

(f)  Monthly consolidated management              30 days after the end of each
     accounts of the Borrower's Group, the        calendar month
     Borrower's Restricted Group and of the
     Group certified to be correct by the
     Certifying Financial Officer, including
     profit and loss account, balance sheet,
     cash flow statement and statement of
     capital expenditure (distinguishing
     between capital expenditure which is
     financed from operating income and
     capital expenditure which is funded from
     new equity or borrowing)

(g)  A certificate, signed by the Certifying      At the time of delivery of the
     Financial Officer stating:                   Borrower's Group's and
                                                  Borrower's Restricted Group's
     (i)  the amount of Financial                 quarterly financial statements
          Indebtedness on the last day of         delivered under paragraph (d)
          the Quarter

     (ii) EBITDA for that Quarter

(h)  Annual budget for the Borrower's Group       60 days after the start of
     and the Borrower's Restricted Group          each of its financial years
     including projected profit and loss
     account, balance sheet, cash flow
     statement and statement of capital
     expenditure (distinguishing between
     capital expenditure which is to be
     financed from operating income and
     capital expenditure which is to be funded
     from new equity or borrowing)

(i)  Annual budget for the Parent adopted by      60 days after the start of
     the Board of Directors of the Parent         each of its financial years
<PAGE>

(j)  A certificate regarding compliance with      At the time of delivery of
     the financial covenants in Clause 19.2       each set of the Borrower's
     setting out the necessary computations.      Group's and Borrower's
     This certificate is to be signed by the      Restricted Group's quarterly
     Certifying Financial Officer                 financial statements delivered
                                                  under  paragraph (d)

(k)  A certificate regarding:                     At the time of delivery of
                                                  each  set of annual
     (i)   compliance with the financial          consolidated financial
           covenants in Clause 19.2;              statements for the Borrower's
                                                  Group and Borrower's
     (ii)  the amount of Excess Cash              Restricted Group's delivered
           Flow; and                              under paragraph (b)

     (iii) the amount of capital expenditure
           in that financial year
           (distinguishing between capital
           expenditure which is financed
           from operating income and
           capital expenditure which is
           funded from new equity or
           borrowing)

     setting out the necessary computations.
     This certificate is to be signed by the
     Certifying Financial Officer

(l)  A statement signed by the auditors of the    At the time of delivery of
     Borrower regarding:                          each set of annual
                                                  consolidated financial
     (i)  compliance with the financial           statements for the Borrower's
          covenants in Clause 19.2; and           Group and Borrower's
                                                  Restricted Group's delivered
                                                  under paragraph (b)
     (ii) the amount of Excess Cash Flow

(m)  A certificate of Net Disposal Proceeds,      At the time of delivery of
     setting out the necessary computations.      each set of monthly management
     This certificate is to be signed by the      accounts under paragraph (e)
     Certifying Financial Officer

(n)  A certificate of acquisition price, setting  At the time of delivery of
     out the necessary computations.  This        each set of monthly management
     certificate is to be signed by the           accounts under paragraph (e)
     Certifying Financial Officer

(o)  Details of any treasury transaction as       At the time of delivery of
     required by Clause 20.1(O)                   each set of monthly management
                                                  accounts under paragraph (e)

(p)  A certificate setting out details of any     At the time of delivery of
     contract which is a Material Contract        each set of annual audited
     because it is a contract generating 10%      accounts of the Borrower
     or more of the Borrower's gross              under paragraph (a)
     revenues.  This certificate is to be signed
     by the Certifying Financial Officer
<PAGE>

(q)  A certificate setting out details of the     At the time of delivery of the
     extent to which (i) the Total Annual         Borrower's Restricted Group's
     Investment Limit and (ii) the Unrestricted   quarterly financial statements
     Entities Investment Limit have been          delivered under paragraph (d)
     utilised in respect of the current financial
     year (but taking account of Investment
     Amounts in previous financial years if
     relevant to the calculation).  This
     certificate is to be signed by the
     Certifying Financial Officer

(r)  A certificate setting out the confirmation   At the time of delivery of
     required in Clause 5.3(F)(ii).  This         each set of monthly management
     certificate is to be signed by the           accounts under paragraph (e).
     Certifying Financial Officer.

     In each case the Borrower and the Parent agree to deliver the number of
     copies requested by the Agent.

     The obligations to deliver the documents described in paragraphs (c), (d),
     (e), (f) and (i) above, insofar as they relate to the Parent or the Group
     (other than the Borrower's Group), do not apply if, in the period to which
     those documents relate (or would relate if they existed), (i) all of the
     Parent's Subsidiaries are members of the Borrower's Group and (ii) the
     Parent has no business other than that of holding shares in the Borrower.
     The obligations to deliver the documents described in paragraphs (b), (d),
     (f) and (h) above, in so far as they relate to the Borrower's Restricted
     Group, do not apply if, in the period to which those documents relate (or
     would relate if they existed) the composition of the Borrower's Restricted
     Group is identical to the composition of the Borrower's Group.

18.2 GAAP

     The Borrower confirms and agrees that all financial statements to which
     Clause 18.1 applies will be prepared in accordance with applicable law and
     Generally Accepted Accounting Principles consistently applied except to the
     extent that the accompanying notes provide a description of a different
     treatment.

18.3 REQUESTS

     The Agent may request any Company to deliver to the Agent information about
     it or its assets, business or financial condition or any other matter.
     Each Company agrees to deliver promptly to the Agent the information
     reasonably requested.  No Company will be obliged to deliver any
     information under this sub-clause if that delivery is prohibited by law or
     by direction of H.M. Government.

18.4 TERMINATION EVENTS AND OTHER EVENTS
     The Borrower agrees to notify the Agent promptly of:

     (A)  the occurrence of a Termination Event or Potential Termination Event
          upon becoming aware of such occurrence;

     (B)  any events or developments that would be reasonably likely to result
          in the termination of, or any material amendment to, any of the
          Transmission

<PAGE>

          Agreements or any material licence, consent or authorisation required
          for the purposes of its business, upon becoming aware of the same;

     (C)  any proposal to amend or waive any Material Contract (save for minor
          amendments); and

     (D)  the occurrence of any event of default or put event under the Bonds
          upon becoming aware of such occurrence.

18.5 OTHER INFORMATION

     Each of the Parent and the Borrower agrees to deliver to the Agent (to the
     extent not already delivered under this Agreement):

     (A)  all information provided to any shareholder in the Parent in its
          capacity as such;

     (B)  all information provided to any holder of the Bonds in its capacity as
          such;

     (C)  a certified copy of any agreement amending the NTL Site Sharing
          Agreement to accommodate the DTT transmission network.

     (D)  any press releases made by or on behalf of the Borrower or the Parent;
          and

     (E)  a quarterly update to the Year 2000 Programme Report from the date of
          this Agreement to 31st March, 2000 and, in any event, a copy of all
          updates and amendments that are issued to the Year 2000 Programme
          Report.

18.6 CHANGE OF ACCOUNTING TREATMENT

     (A)  This sub-clause applies if there is a change in the manner in which
          the financial statements of a Company or of the Group are prepared or
          in the accounting principles or standards applied in the preparation
          of those accounts.

     (B)  If this sub-clause applies or will apply the Borrower agrees to notify
          the Agent. The Borrower and the Agent will then negotiate in good
          faith with a view to making any necessary changes to this Agreement to
          reflect the change described in paragraph (A). Neither party is bound
          to continue the negotiations after the date 30 days after the Agent
          receives the Borrower's notice.

     (C)  If this sub-clause applies, and agreement is not reached under
          paragraph (B) above, the Borrower agrees to deliver, with each set of
          financial statements delivered to the Agent, a reconciliation (audited
          in the case of audited financial statements). This reconciliation will
          show the amounts utilised for the purposes of computations required
          for the purposes of this Agreement as they would have been if no
          change had occurred. The amounts in this reconciliation will then be
          used for computations required for the purposes of this Agreement
          instead of the corresponding amounts in the financial statements
          delivered under Clause 18.1.

19.  FINANCIAL COVENANTS

19.1 DEFINITIONS

     (A)  In this Agreement:
<PAGE>

          "BORROWER'S RESTRICTED GROUP" means:

          (i)   if the Borrower has no Restricted Subsidiaries, the Borrower;
                and

          (ii)  if the Borrower has Restricted Subsidiaries, the Borrower and
                its Restricted Subsidiaries taken as a whole.

          "CASH FLOW" for a period means the aggregate of EBITDA for that
          period:

          (i)   minus any capital expenditure;

          (ii)  minus advance corporation tax, mainstream corporation tax and
                withholding tax and their equivalent in any relevant
                jurisdiction actually paid or falling due for payment during
                that period (but excluding any amount paid in that period which
                was included in the Cash Flow computation for a previous period
                because it fell due in that previous period);

          (iii) plus the amount of any tax rebate or credit in respect of any
                advance corporation tax, mainstream corporation tax or
                withholding tax and their equivalent in any relevant
                jurisdiction actually received in cash by any member of the
                Borrower's Restricted Group during the period;

          (iv)  plus Net Disposal Proceeds (but excluding for this purpose the
                non-cash consideration adjustment referred to in the last
                sentence of the definition of "Net Disposal Proceeds");

          (v)   plus the amount paid up or credited as paid during the period
                (including share premium) on issued share capital of the
                Borrower;

          (vi)  plus non-cash stock and share option charges;

          (vii) plus or minus any decrease or increase in working capital
                during the period.

          "DEBT COVERAGE" for a period means the ratio of Financial Indebtedness
          at the end of that period to EBITDA for that period.  For this purpose
          any amounts outstanding drawn to finance the Borrower's working
          capital requirements (up to an aggregate maximum of (Pounds)10,000,000
          or its Equivalent Amount (if drawn in an Optional Currency)) will, to
          the extent otherwise included, be deducted from Financial
          Indebtedness.

          "EBITDA" for any period means the profit of the Borrower's Restricted
          Group for that period:

          (i)   before taking into account all Extraordinary Items (whether
                positive or negative) but after taking into account all
                Exceptional Items (whether positive or negative);

          (ii)  before deducting tax, including advance corporation tax,
                mainstream corporation tax and their equivalents in any relevant
                jurisdiction;

          (iii) before deducting amortisation of any goodwill and any costs
                incurred in relation to acquisitions (to the extent that these
                are expensed);

          (iv)  before taking into account Net Cash Interest accrued during that
                period, whether or not paid, deferred or capitalised (before
                taking into account financing costs in relation to Financial
                Reporting Standard 4 (Capital Instruments))during that period;
<PAGE>

          (v)   before taking into account amortisation of financing costs
                calculated in accordance with Financial Reporting Standard 4
                (Capital Instruments) during that period;

          (vi)  after deducting any gain, and adding back any loss, relative to
                book value arising on the sale, lease or other disposal of any
                asset during that period and after deducting any gain, and
                adding back any loss, arising on revaluation of any asset during
                that period, in each case to the extent that it would otherwise
                be taken into account;

          (vii)  before deducting depreciation;

          (viii)  before deducting non-cash stock and share option charges.

          "EXCEPTIONAL ITEMS" has the meaning given to it in FRS 3 issued by the
          Accounting Standards Board, but excluding any Extraordinary Items.

          "EXTRAORDINARY ITEMS" has the meaning given to it in FRS 3 issued by
          the Accounting Standards Board, and includes those items listed in
          paragraph 20 thereof.

          "FINANCIAL INDEBTEDNESS" on any date means the amount of Indebtedness
          for Borrowed Money of the Borrower's Restricted Group on that date.
          For this purpose:

          (i)   any amounts under paragraph (E) of the definition of
                "Indebtedness for Borrowed Money" in Clause 1.1 will be
                excluded;

          (ii)  only the principal element of obligations (accounted for as such
                in accordance with Generally Accepted Accounting Principles) in
                respect of any finance lease to which a member of the Borrower's
                Restricted Group is a party as lessee will be taken into account
                under paragraph (F) of that definition;

          (iii) no amount of Interest will be included; and

          (iv)  no amount outstanding under the Subordinated Loan Agreement will
                be included.

          "FIXED CHARGE COVERAGE RATIO" for a period means the ratio of Cash
          Flow for that period to Fixed Charges for that period.

          "FIXED CHARGES" for a period means the aggregate of Total Interest
          Payable for that period:

          (i)   plus the amount of any commitment fees and of all other fees
                payable under this Agreement during such period;

          (ii)  plus, after the Conversion Date, the amount of any repayment
                instalment under Facility A which fell due during that period or
                which would have fallen due during that period had there not
                been a prepayment made pursuant to Clause 10.1;

          (iii) plus all amounts outstanding under the Overdraft Facilities at
                the end of that period;

          (iv)  plus all scheduled principal repayments of finance lease
                obligations which fell due for payment during that period;
<PAGE>

          (v)   plus all obligations in respect of principal and fees (other
                than upfront or other non-recurring fees) under any agreement
                falling within paragraph (A) of the definition of Indebtedness
                for Borrowed Money falling due during such period (to the extent
                not otherwise taken into account) but excluding (for the
                avoidance of doubt) obligations in respect of such Indebtedness
                for Borrowed Money falling within paragraph (F) of such
                definition;

          (vi) plus all Extraordinary Items (whether positive or negative)
               falling due during such period.

          "INTEREST" means interest and amounts in the nature of interest.

          "NET CASH INTEREST" for any period means the Interest due and payable
          during that period as an obligation of any member of the Borrower's
          Restricted Group (whether or not paid or capitalised during or
          deferred (but to the extent that deferred Interest is included in Net
          Cash Interest in such period, any such deferred Interest shall not be
          included in the calculation of Net Cash Interest in the following
          period) for payment after such period), but adjusted to take account
          of:

          (i)   any amount (other than, in the case of currency hedging
                agreements or instruments, the original principal amount)
                receivable or payable during that period by any member of the
                Borrower's Restricted Group (after deducting all taxes
                applicable to that amount receivable) under interest rate or
                currency hedging agreements or instruments; and

          (ii)  any amount constituting Interest receivable during that period
                by any member of the Borrower's Restricted Group (after
                deducting all taxes applicable thereto) in respect of any
                investment, deposit or loan,

          in either case under which all parties are in compliance with their
          material obligations.

          "TOTAL INTEREST PAYABLE" for any period means the Interest due and
          payable during that period as an obligation of any member of the
          Borrower's Restricted Group (whether or not paid or capitalised during
          or deferred (but to the extent that deferred Interest is included in
          Total Interest Payable in such period, any such deferred Interest
          shall not be included in the calculation of Total Interest Payable in
          the following period) for payment after such period), adjusted to take
          account of any amount (other than, in the case of currency hedging
          agreements or instruments, the original principal amount) receivable
          or payable during that period by any member of the Borrower's
          Restricted Group (after deducting all taxes applicable to that amount
          receivable) under interest rate and/or currency hedging agreements or
          instruments under which all parties are in compliance with their
          material obligations.

     (B)  (i)   All the terms defined in paragraph (A) are to be determined in
                accordance with the Generally Accepted Accounting Principles and
                are to be computed from:

                (a) the financial statements of the Borrower (if the Borrower
                    has no Restricted Subsidiaries); or

                (b) the consolidated financial statements of the Borrower and
                    its Restricted Subsidiaries (if the Borrower has Restricted
                    Subsidiaries),

               in each case, delivered pursuant to Clause 18.1.
<PAGE>

          (ii)  For the purposes of Clause 19.1 no item shall be deducted or
                credited more than once in any calculation.

19.2 FINANCIAL COVENANTS

     The Borrower agrees to ensure that the following financial covenants are
     complied with:

     (A)  The ratio of EBITDA to Total Interest Payable, computed on the basis
          of the annualised EBITDA and annualised Total Interest Payable (in
          each case calculated by multiplying by two the figure which is the
          aggregate of EBITDA or, as the case may be, Total Interest Payable for
          the last two Quarters) as at the end of each Quarter, is not to be
          less than:

          Quarter ending                             Required Ratio
          --------------                             --------------
          30th September, 1999                       2.50:1
          31st December, 1999                        2.50:1
          31st March, 2000                           2.75:1
          30th June, 2000                            3.00:1
          30th September, 2000                       3.00:1
          31st December, 2000                        3.00:1
          31st March, 2001                           3.00:1
          30th June, 2001                            3.00:1
          30th September, 2001                       3.00:1
          31st December, 2001                        3.00:1
          31st March, 2002                           3.00:1
          30th June, 2002                            3.00:1
          Thereafter                                 3.50:1

     (B)  Debt Coverage computed on the basis of the annualised EBITDA
          (calculated by multiplying by two the figure which is the aggregate of
          EBITDA for the last two Quarters) and tested each Quarter (using the
          amount of Financial Indebtedness on that last day of that Quarter), is
          not to be more than:

          Quarter ending                             Required Ratio
          --------------                             --------------
          30th September, 1999                       5.25:1
          31st December, 1999                        5.25:1
          31st March, 2000                           5.25:1
          30th June, 2000                            4.75:1
          30th September, 2000                       4.50:1
          31st December, 2000                        4.50:1
          31st March, 2001                           4.00:1
          30th June, 2001                            3.75:1
          30th September, 2001                       3.75:1
          31st December, 2001                        3.75:1
          31st March, 2002                           3.50:1
          30th June, 2002                            3.50:1
          30th September, 2002                       3.50:1
          31st December, 2002                        3.50:1
          Thereafter                                 3.00:1

     (C)  The Fixed Charge Coverage Ratio, computed on the basis of the
          annualised Cash Flow and the annualised Fixed Charges (in each case
          calculated by multiplying by two the figure which is the aggregate of
          Cash Flow or, as the case may be, Fixed Charges for the last two
          Quarters) and tested each Quarter, is not
<PAGE>

          to be less than 1.75: 1. The Fixed Charge Coverage Ratio will first be
          tested in the Quarter ending 30th June, 2002 and subsequently will be
          tested in each succeeding Quarter.

20.  GENERAL COVENANTS

20.1 COVENANTS

     Each Company agrees that, unless otherwise agreed by the Agent (acting on
     the instructions of an Instructing Group):

     (A)  RANKING OF OBLIGATIONS: It will ensure that its obligations under this
          Agreement are at all times secured by the Charges to which it is a
          party.

     (B)  COMPLIANCE: It will exercise its rights and perform its obligations
          under the Financing Documents without contravention of applicable
          laws. If approvals are required to do this it will obtain and maintain
          them and will comply with their terms. It will also make any necessary
          filings in respect of the Financing Documents unless these are
          required to be, or are, made by another person.

     (C)  NEGATIVE PLEDGE: It will not create or allow to exist (and will
          procure that no Restricted Subsidiary creates or allows to exist) any
          Security over any of its assets. This prohibition does not, however,
          apply to the following:

          (i)   Security created by the Charges.

          (ii)  Liens or rights of set-off arising in the ordinary course of
                trading or by operation of law.

          (iii) Title retention or hire purchase arrangements in respect of
                goods. These arrangements must arise in the ordinary course of
                trading and on customary terms.

          The exceptions in sub-paragraphs (ii) and (iii) do not permit any
          Security to be created over the Borrower's rights under any of the
          Transmission Agreements.  This paragraph applies to the Parent to the
          extent only that it relates to the shares which the Parent holds in
          the Borrower.

(D)  DISPOSAL OF ASSETS:  It will not (and will procure that each Restricted
     Subsidiary will not) dispose of any of its assets.  This does not apply to
     disposals:
(i)  on an arm's length basis;
(ii) of obsolete or unused assets or as waste; or

(iii)  between the Borrower and any Restricted Subsidiary (which is a wholly-
owned member of the Borrower's Restricted Group) or between Restricted
Subsidiaries (each of which is a wholly-owned member of the Borrower's
Restricted Group).

          No disposal of any of the Borrower's rights under any of the
          Transmission Agreements may be made by virtue of any of sub-paragraphs
          (i), (ii) or (iii).  In addition, a disposal is only permitted under
          sub-paragraphs (i), (ii) or (iii) if the Borrower will be able to
          carry on the Analogue Transmission Business or the DTT Transmission
          Business substantially as before.  For this purpose the Agent
<PAGE>

          is entitled to rely on a certificate from the Borrower (signed by a
          Certifying Financial Officer) to this effect.

          For the purposes of this paragraph, the grant of a lease or licence
          (other than a lease or licence given as part of a site sharing
          arrangement in the ordinary course of business) is treated as a
          disposal.  Any disposal which would otherwise be permitted under sub-
          paragraph (iii) above is not permitted to the extent that each of the
          following applies:

          (a) the Net Disposal Proceeds of any disposal of that asset by the
              acquiror would not, by reason of applicable law, be capable of
              being made available to the Borrower for the purposes of making a
              Disposal Prepayment which would otherwise be payable under Clause
              10.2 as a result of that disposal by the acquiror; and

          (b) at the time of the original disposal to the acquiror any member of
              the Borrower's Restricted Group was aware or should have been
              aware that the Net Disposal Proceeds would not be available to the
              Borrower for the purpose of making that Disposal Prepayment.

          This paragraph does not apply to the Parent, who (subject to Clause
          20.1(AA) and Clause 20.1(BB)) may dispose of its assets as it sees
          fit.

     (E)  COMPLIANCE WITH LAWS: It will (and will procure that each Restricted
          Subsidiary will) comply with all applicable laws and regulations, and
          the terms of all permits, authorisations and licences. This paragraph
          includes, amongst other things, compliance with environmental laws,
          regulations, permits, authorisations and licences. If there is a
          breach of such a permit, authorisation or licence, but that breach is
          capable of remedy and the permit, authorisation or licence has not
          been terminated or revoked, there will not be a breach of this
          paragraph. This paragraph does not apply to the Parent.

     (F)  INSURANCE: It will (and will procure that each Restricted Subsidiary
          will) maintain insurance relating to its assets and activities against
          those risks and at those levels which are consistent with the
          insurance maintained by similar businesses. It also agrees to provide
          to the Agent evidence of all insurance arranged. This paragraph does
          not apply to the Parent.

     (G)  MAINTENANCE OF REPRESENTATIONS: It will take all steps necessary to
          ensure that those representations in Clause 17.1 which are deemed to
          be repeated by reason of clause 17.2 remain true and correct when so
          deemed to be repeated.

     (H)  AGREEMENTS WITH RELATED PARTIES: It will ensure that all agreements
          between it and any member of the Equity Consortium or any other
          shareholder of the Parent or any member of the Group are on an arm's
          length basis on commercial terms (other than agreements with the
          Borrower or wholly-owned Restricted Subsidiaries of the Borrower which
          have become Guarantors in accordance with Clause 20.1(R)). This
          paragraph does not apply to the Parent.

     (I)  ENFORCEMENT OF MATERIAL CONTRACTS: It will (and will procure that each
          Restricted Subsidiary will) ensure that all material rights under all
          Material Contracts are enforced in accordance with their terms. This
          paragraph does not apply to the Parent.
<PAGE>

     (J)  PERFORMANCE OF MATERIAL CONTRACTS: It will (and will procure that each
          Restricted Subsidiary will) perform its obligations under Material
          Contracts (including under any licences, roll-out or transmission
          system modification requirements or other performance covenants set
          out in any of them) in all material respects in accordance with their
          terms. Defaults:

          (i)    under any Transmission Agreement giving rise to charges of
                 service credits under that Transmission Agreement of less than
                 (Pounds)500,000 in any financial year; or

          (ii)   under more than one Transmission Agreement giving rise to
                 service credits of less than (Pounds)1,500,000 in aggregate in
                 any financial year, and defaults under any licence which would
                 not be in breach of Clause 20.1(E) are to be treated as not
                 material. This paragraph does not apply to the Parent.

     (K)  BORROWINGS: It will not (and it will procure that each Restricted
          Subsidiary will not) have any Indebtedness for Borrowed Money, or
          issue any guarantees, indemnities or other similar assurances (each
          being for the purposes of this paragraph a "GUARANTEE"), except (at
          any time):

          (i)    amounts due under: (a) this Agreement; (b) the Overdraft
                 Facilities (as long as the amount outstanding does not exceed
                 (Pounds)5,000,000); and (c) the Hedging Contracts;

          (ii)   amounts due under finance leases where the aggregate principal
                 elements of obligations in respect of those leases does not
                 exceed (Pounds)3,500,000 in aggregate;

          (iii)  guarantees of the Borrower's obligations under this Agreement;

          (iv)   amounts borrowed by the Borrower or a Restricted Subsidiary
                 (which is a wholly-owned member of the Borrower's Restricted
                 Group) from a Restricted Subsidiary (which is a wholly-owned
                 member of the Borrower's Restricted Group) or from the
                 Borrower;

          (v)    guarantees by the Borrower or a Restricted Subsidiary (which is
                 a wholly-owned member of the Borrower's Restricted Group) of
                 obligations (which are not prohibited by the terms of the
                 Financing Documents) of a Restricted Subsidiary (which is a
                 wholly-owned member of the Borrower's Restricted Group) or the
                 Borrower;

          (vi)   amounts due in respect of finance provided by suppliers of
                 goods and services in the ordinary course of business and not
                 exceeding (Pounds)1,000,000 in aggregate;

          (vii)  amounts due from the Borrower to the Parent under the
                 Subordinated Loan Agreement;

          (viii) amounts due from the Borrower to CT Finance under the Inter-
                 Company Loan Agreement;

          (ix)   guarantees of CT Finance's obligations under the Bonds. This
                 applies to guarantees relating to the first issue of bonds
                 under the Bonds. It does not apply to guarantees relating to
                 any issue of further or other bonds;

          (x)    guarantees of amounts not exceeding (Pounds)500,000 in
                 aggregate;
<PAGE>

          (xi)   Indebtedness for Borrowed Money incurred by, provided by or
                 otherwise made available by the Borrower's Restricted Group in
                 relation to Unrestricted Entities so long as the aggregate
                 amount of Indebtedness for Borrowed Money incurred by, provided
                 by or otherwise made by the Borrower's Restricted Group and
                 outstanding at such time in relation to Unrestricted Entities
                 does not exceed the Unrestricted Entities Investment Limit when
                 aggregated with any other Investment Amounts which have been
                 previously incurred by, provided by or otherwise made available
                 by members of the Borrower's Restricted Group after the
                 Amendment Date in relation to Unrestricted Entities and which
                 (in the case of Indebtedness for Borrowed Money) are
                 outstanding at such time; and

          (xii)  other borrowings not exceeding (Pounds)5,000,000 in aggregate.
                 This paragraph does not apply to the Parent, who may have
                 Indebtedness for Borrowed Money, or issue guarantees, as it
                 sees fit.

     (L)  ACQUISITIONS AND JOINT VENTURES:

          (i)    It will not (and will procure that any Restricted Subsidiary
                 will not):

                 (a) acquire any business; or

                 (b) make any investment in any company; or

                 (c) enter into any joint venture or any joint venture agreement
                     or arrangement where, in any case, it has any obligation to
                     lend to, guarantee, transfer assets to or otherwise fund or
                     incur any liability in respect of this joint venture or to
                     acquire any shares in or assets of this joint venture,

               (each a "FURTHER ACQUISITION") unless each of the conditions set
               out in sub-paragraphs (ii), (iii), (iv) and (v) are satisfied.

          (ii)   The Further Acquisition must involve a business related to that
                 of the Borrower.

          (iii)  The consideration for the Further Acquisition:

                 (a) when aggregated with all other Investment Amounts incurred
                     by, provided by or otherwise made by members of the
                     Borrower's Restricted Group in that financial year, must
                     not exceed the Total Annual Investment Limit; and

                 (b) when aggregated with all other Investment Amounts incurred
                     by, provided by, or otherwise made available by members of
                     the Borrower's Restricted Group in relation to Unrestricted
                     Entities in the current or any previous financial years
                     (but after the Amendment Date) and which (in the case of
                     Indebtedness for Borrowed Money) are outstanding at such
                     time, must not exceed the Unrestricted Entities Investment
                     Limit.

          (iv)   The Agent must have been provided with any information
                 (financial or otherwise) in relation to the Further Acquisition
                 as it may reasonably request.

          (v)    The Certifying Financial Officer must confirm in writing to the
                 Agent that, to the best of his knowledge having made all
                 reasonable enquiries and
<PAGE>

                 without personal liability, the Further Acquisition will not
                 result in it failing to comply with any of its obligations
                 under Clause 19.2 at all times during the next four full
                 Quarters following the date on which the Further Acquisition
                 takes place.

          (vi)   In addition, this paragraph (L) will not apply:

                 (a) after the date on which the annualised Debt Coverage is
                     first established to be not more than 3:1 for two
                     successive Quarters; and

                 (b) for so long as the annualised Debt Coverage remains at no
                     more than 3:1. Annualised Debt Coverage will be calculated
                     as set out in Clause 8.8.

          This paragraph does not apply to the Parent, who may acquire
          businesses or make investments in companies as it sees fit.

     (M)  INVESTMENTS: It will not (and will procure that each Restricted
          Subsidiary will not) invest any surplus cash other than in cash
          deposits with UK clearing banks or in cash equivalent investments. For
          the purpose of this paragraph "CASH EQUIVALENT INVESTMENTS" means
          investments in:

          (i)    marketable obligations of or guaranteed by any of the United
                 Kingdom, the Republic of France or the United States of America
                 or issued by an agency of any of them and backed by any of the
                 same;

          (ii)   certificates of deposit, notes and acceptances issued by banks
                 which are authorised institutions under the Banking Act 1987 or
                 which are European authorised institutions under the Banking
                 Coordination (Second Council Directive) Regulations 1992 and
                 which are entitled to accept deposits in the United Kingdom or
                 by building societies under the Building Societies Act 1986, so
                 long as such bank or building society's long term senior debt
                 immediately prior to the making of such an investment is rated
                 not less than A- by Standard & Poor's Corporation or not less
                 than A3 by Moody's Investors Services Inc., or (where a bank or
                 building society is rated by both Standard & Poor's Corporation
                 and by Moody's Investors Services Inc.) is rated not less than
                 A- by Standard & Poor's Corporation and not less than A3 by
                 Moody's Investors Services Inc.;

          (iii)  commercial paper with not more than 187 days to maturity
                 provided that immediately prior to the making of such an
                 investment the issuer (or guarantor) of the commercial paper is
                 rated for short term obligations not less than A1 by Standard &
                 Poor's Corporation or not less than P1 by Moody's Investors
                 Services, Inc., or (where a bank or building society is rated
                 by both Standard & Poor's Corporation and by Moody's Investors
                 Services Inc.) is rated not less than A1 by Standard & Poor's
                 Corporation and not less than P1 by Moody's Investors Services
                 Inc.; or

          (iv)   any Indebtedness for Borrowed Money issued by persons with a
                 rating of A+ or higher by Standard & Poor's Corporation or A1
                 or higher by Moody's Investors Services Inc.,

          provided that any investment made pursuant to sub-paragraphs (ii),
          (iii) and (iv) above in or guaranteed by a single bank, building
          society or other body
<PAGE>

          corporate in excess of (Pounds)2,500,000 shall not be permitted. This
          paragraph does not apply to the Parent.

     (N)  LOANS: It will not (and will procure that each Restricted Subsidiary
          will not) provide loans or other credit, other than:

          (i)    normal trade credit;

          (ii)   loans not exceeding (Pounds)500,000 in aggregate;

          (iii)  loans to the Borrower or a Restricted Subsidiary (which is a
                 wholly-owned member of the Borrower's Restricted Group)
                 permitted by Clause 20.1(K); and

          (iv)   loans or other credit which, when aggregated with all other
                 Investment Amounts incurred by, provided by, or otherwise made
                 available by members of the Borrower's Restricted Group and
                 which (in the case of Indebtedness for Borrowed Money) are
                 outstanding at such time, do not exceed either:

                 (a) in respect of Investment Amounts which are incurred by,
                     provided by, or otherwise made available by members of the
                     Borrower's Restricted Group in the current financial year,
                     the Total Annual Investment Limit applicable to this
                     financial year; or

               (b)   in respect of Investment Amounts which are (1) incurred by,
                     provided by, or otherwise made available by members of the
                     Borrower's Restricted Group in the current or any previous
                     financial years (but after the Amendment Date) and (2)
                     relate to loans or other credit made available to
                     Unrestricted Entities, the Unrestricted Entities Investment
                     Limit.

          This paragraph does not apply to the Parent, who may provide loans or
          other credit as it sees fit.

     (O)  TREASURY TRANSACTIONS: It will not (and will procure that each
          Restricted Subsidiary will not) enter into any interest rate swap,
          cap, ceiling, collar or floor or any swap, future or option in
          relation to currency or equity or any commodity contract or option (in
          any of these cases, whether over the counter or exchange traded) or
          any similar treasury transaction, other than:

          (i)    in the case of the Borrower, the Hedging Contracts;

          (ii)   spot foreign exchange contracts entered into in the ordinary
                 course of business (other than for speculative purposes); and

          (iii)  the hedging of actual or projected foreign exchange exposures
                 arising in the ordinary course of its business.

          Where a Company enters into one of the transactions permitted by sub-
          paragraphs (ii) or (iii) it will provide details of that transaction
          to the Agent at the time of delivery of each set of monthly management
          accounts under Clause 18.1(e) to the extent that such details have not
          been previously provided to the Agent.  No details need be provided,
          however, of any transaction involving a notional or actual principal
          amount of less than (Pounds)10,000,000.

          This paragraph does not apply to the Parent, who may enter into
          treasury transactions as it sees fit.
<PAGE>

     The Borrower agrees that, unless otherwise agreed by the Agent (acting on
     the instructions of an Instructing Group):

     (P)  CARRY ON BUSINESS: It will carry on the Analogue Transmission Business
          and the DTT Transmission Business. These businesses will be conducted
          in accordance with applicable law.

     (Q)  INTELLECTUAL PROPERTY: It will maintain all material intellectual
          property rights required for the purpose of the Analogue Transmission
          Business, the DTT Transmission Business or any other material business
          conducted by it in all appropriate jurisdictions.

     (R)  SUBSIDIARIES:

          (i)    It will ensure that each of its Subsidiaries becomes a
                 guarantor of amounts due under this Agreement unless it is
                 designated an Unrestricted Subsidiary in accordance with sub-
                 paragraph (ii) or unless sub-paragraph (v) applies. When a
                 company is required to be a Guarantor for the purposes of this
                 paragraph the Borrower agrees to ensure that:

                 (a) that company duly executes and delivers an Additional
                     Guarantor Agreement substantially in the form set out in
                     Schedule 6 (and for this purpose the Borrower is authorised
                     to execute the Additional Guarantor Agreement on behalf of
                     each Company);

                 (b) that company duly executes a document of a type described
                     in paragraphs (C) or (D) of the definition of "Charges" in
                     Clause 1.1; and

                 (c) there is delivered to the Agent evidence reasonably
                     satisfactory to the Agent that the Additional Guarantor
                     Agreement and the document referred to in sub-paragraph (b)
                     above are valid and binding on that Company and (in the
                     case of the document referred to in sub-paragraph (b)
                     above) creates first ranking security (subject to Security
                     permitted under Clause 20.1(C)(ii) and (iii)). This
                     evidence may include items equivalent to those described in
                     paragraphs 4, 5 and 6 of Schedule 3.

                 Each of the requirements in sub-paragraphs (a), (b) and (c)
                 above must be satisfied within 30 days of a company becoming a
                 Subsidiary of the Borrower. The obligations contained in this
                 paragraph do not apply to:

                 (1)  CT Finance (which shall be deemed to be an Unrestricted
                      Subsidiary with effect from the Amendment Date); or

                 (2)  any Subsidiary of the Borrower whose sole business is to
                      hold and administer pension funds on behalf of the
                      employees of companies in the Group; or

                 (3)  any Subsidiary which is designated an Unrestricted
                      Subsidiary in accordance with sub-paragraph (ii) or in
                      relation to which sub-paragraph (v) applies.

          (ii)   Where a Further Acquisition which is permitted under Clause
                 20.1(L) involves the acquisition of, or subscription for shares
                 in, a company (a
<PAGE>

                 "NEW COMPANY") which owns, or is established for the purpose of
                 owning, the business to be acquired or invested in, the
                 Borrower will:

                 (a) have the right, if the New Company is a Subsidiary (a "NEW
                     SUBSIDIARY"), to designate the New Subsidiary as an
                     "UNRESTRICTED SUBSIDIARY" or to apply to the Agent under
                     sub-paragraph (v); and

                 (b) upon the acquisition of, or subscription for, the shares of
                     the New Company by it or by any Restricted Subsidiary to
                     which sub-paragraph (v) does not apply, grant, or procure
                     the granting of, a first equitable charge in respect of
                     such shares in favour of the Agent but provided that the
                     Lenders' rights under the equitable charge are subject to
                     any pre-emption rights granted by the relevant member of
                     the Borrower's Restricted Group under any joint venture
                     agreement entered into in connection with the acquisition
                     of, or subscription for, shares in the New Company so long
                     as these pre-emption rights provide for the transfer of the
                     shares to which they relate at fair market value. In such
                     circumstances, the Borrower will not be required to ensure
                     the execution and delivery of the documents and evidence
                     referred to in sub-paragraphs (i)(a),(b) and (c).

          (iii)  It will ensure that any Unrestricted Subsidiary does not at any
                 time grant to any third party a fixed or floating charge over
                 any assets or property which it shares with or which is owned
                 or used by or in connection with the business of any member of
                 the Borrower's Restricted Group except with the prior written
                 consent of the Agent.

          (iv)   At any time subsequent to an acquisition of an Unrestricted
                 Subsidiary the Borrower may elect to designate a New Subsidiary
                 as a "RESTRICTED SUBSIDIARY", which designation will take
                 effect upon all the documents and evidence referred to in sub-
                 paragraphs (i)(a), (b) and (c) being delivered to the Agent in
                 a form satisfactory to the Agent.

          (v)    This sub-paragraph (v) applies where:

                 (a)  the Borrower or a Restricted Subsidiary is proposing to
                      acquire, or subscribe for, shares in a company which upon
                      the proposed acquisition or subscription taking place
                      would become a Subsidiary of the Borrower or a Restricted
                      Subsidiary; and

                 (b)  the Borrower demonstrates to the satisfaction of the Agent
                      that it would be impossible or highly impracticable
                      (having regard to the value of any security or guarantees
                      otherwise required to be provided to the Agent) for the
                      proposed Subsidiary to execute and deliver either or both
                      of the documents referred to in Clause 20.1(R)(i)(a) and
                      (b) and/or comply with the requirement set out in Clause
                      20.1(Z).

                 In this event, the Agent will permit the proposed Subsidiary,
                 on becoming a Subsidiary, to be designated a "RESTRICTED
                 SUBSIDIARY" notwithstanding that this proposed Subsidiary will
                 not comply with the requirements set out in Clause
                 20.1(R)(i)(a), (b) and (c) and/or set out in Clause 20.1(Z).

                 The Borrower will provide:
<PAGE>

                 (1) legal opinions (in a form and content satisfactory to the
                     Agent) which explain why satisfying the requirements set
                     out in Clause 20.1(R)(i)(a), (b) and/or (c) and/or Clause
                     20.1(Z) are impossible or highly impracticable.

                 (2) any information (financial or otherwise) in relation to the
                     proposed Subsidiary as the Agent may reasonably request.

                 (3) a certificate of the Certifying Financial Officer
                     confirming that, to the best of his knowledge having made
                     all reasonable enquiries and without personal liability,
                     the investment in the proposed Subsidiary will not result
                     in it failing to comply with any of its obligations under
                     Clause 19.2 at all times during the next four full Quarters
                     following the date on which the proposed investment takes
                     place.

          (vi)   This sub-paragraph (vi) applies where:

                 (a) the Borrower notifies the Agent that it wishes a CCIC
                     Affiliate to be designated a "RESTRICTED SUBSIDIARY"; and

                 (b) the Borrower has ensured that this CCIC Affiliate has
                     provided the Agent with the documents and evidence set out
                     (and as specified in) in Clause 20.1(R)(i)(a), (b) and (c).

                 In this event, the Agent will permit that CCIC Affiliate to be
                 designated a "RESTRICTED SUBSIDIARY" and therefore a member of
                 the Borrower's Restricted Group and to be deemed to be a
                 wholly-owned member of the Borrower's Restricted Group, in each
                 case for the purpose of the Finance Documents.

     (S)  DISTRIBUTION: It will not make any Distribution, and it will not pay
          any amounts in respect of interest or principal under the Subordinated
          Loan Agreement.

     (T)  CHANGE OF BUSINESS: It will not change the nature of its business or,
          taken as a whole, that of its Subsidiaries.

     (U)  ACCOUNTING REFERENCE DATE: It will retain 31st December as its
          accounting reference date and will make no change to the duration of
          any of its financial years.

     (V)  BONDS:  It will procure that:

          (i)    (save for the correction of typographical inconsistencies or
                 manifest errors) the terms and conditions of the Bonds are not
                 amended or waived in any way at the request of CT Finance (or
                 any other member of the Group); and

          (ii)   CT Finance's obligations under the Bonds are not defeased to
                 any other person, and no other person is substituted for or
                 assumes the obligations of CT Finance in respect of the Bonds.

     (W)  CT FINANCE AS SUBSIDIARY:  It will ensure that CT Finance remains its
          wholly-owned Subsidiary.

     (X)  INTER-COMPANY LOAN AGREEMENT:  It will procure that:
<PAGE>

          (i)    the terms of Inter-Company Loan Agreement are not amended or
                 waived in any way;

          (ii)   (save, in the case of the Borrower, for the Charges) neither
                 party to the Inter-Company Loan Agreement assigns its rights or
                 novates its rights and obligations under the Inter-Company Loan
                 Agreement; and

          (iii)  no payment is made under the Inter-Company Loan Agreement which
                 is greater, or is made earlier, than is required to be made
                 under the terms of the Inter-Company Loan Agreement.

     (Y)  ABANDONMENT OF DTT: It will not abandon all or any material part of
          its DTT transmission network.

     (Z)  FULLY PAID SHARES: It will ensure that all shares directly owned by
          it, or by any member of the Borrower's Restricted Group (other than a
          member to which Clause 20.1(R)(v) applies) are charged to the Agent
          and that all those shares are fully paid, have no liability attaching
          to the holder and, as against the Agent upon enforcement of the
          Charges, are free from any restriction on transfer and any rights of
          pre-emption (except as provided in Clause 20.1(R)(ii)(b)). It will
          also ensure that the share certificates for all those shares are
          delivered to the Agent as soon as reasonably practicable after the
          relevant company obtains possession of those share certificates in its
          name or in the name of its nominee.

     The Parent agrees that, unless otherwise agreed by the Agent (acting on the
     instructions of an Instructing Group):

     (AA) BORROWER AS A SUBSIDIARY: It will ensure that the Borrower remains its
          wholly-owned Subsidiary.

     Each of the Borrower and the Parent agrees that, unless otherwise agreed by
     the Agent (acting on the instructions of an Instructing Group):

     (BB) SUBORDINATED LOAN AGREEMENT: It will not amend or waive any term of
          the Subordinated Loan Agreement. This paragraph does not, however,
          prohibit an increase in the principal amount available to the Borrower
          under the Subordinated Loan Agreement.

     The Borrower agrees that, unless otherwise agreed by the Agent (acting on
     the instructions of an Instructing Group):

     (CC) HEDGING POLICY: It will use its best efforts to hedge its interest
          rate exposure in accordance with the Hedging Policy and the following
          requirements:

          (i)    Each Hedging Contract will comply with the requirements of
                 Schedule 11.

          (ii)   Security may be granted to a Hedging Bank only on an equal
                 basis with the Lenders. This may only be achieved by the
                 counterparty to the Hedging Contract executing and delivering a
                 Hedging Bank Agreement with the Agent substantially in the form
                 of Schedule 10.

          (iii)  It will use its best efforts to ensure that all Hedging
                 Contracts required by the Hedging Policy are effective by the
                 date 90 days after the Amendment Date.
<PAGE>

          (iv)   The counterparties in all Hedging Contracts must at all times
                 be Lenders or their affiliates.

          (v)    The aggregate notional principal amount under all the Hedging
                 Contracts will not exceed the Facility A Commitments (provided
                 that, to the extent that the notional principal amount exceeds
                 the Facility A Loan, the Borrower will supply the Agent with
                 details of proposed Facility A Advances to be made by it in
                 respect of this amount).

          (vi)   The Borrower will notify the Agent before executing any Hedging
                 Contract and before agreeing any transaction under a Hedging
                 Contract. This notification will include details of the
                 commercial terms of the Hedging Contract. In the notification
                 the Borrower will confirm that the proposed Hedging Contract or
                 transaction will not infringe the requirements of this
                 paragraph.

     (DD) JOINT VENTURES: It will not (and will procure that none of its
          Restricted Subsidiaries will) enter into or acquire any interest in
          any company, partnership or other unincorporated person for the
          purpose of implementing any joint venture other than by:

          (i)    the acquisition of stocks, shares or securities in a limited
                 liability company; or

          (ii)   through a limited liability company established for the purpose
                 of implementing the relevant joint venture.

     (EE) SHAREHOLDER SUPPORT: In the event that TeleDiffusion de France
          International S.A. does not complete the exchange of its shareholding
          in the Parent for a shareholding in CCIC (the "TDF ROLL-UP") on or
          before 16th July, 1999, it will procure that TeleDiffusion de France
          International S.A. gives a support letter substantially in the form of
          that delivered by CCIC in order to satisfy the requirement set out in
          paragraph 14 of Schedule 3.

     (FF) RESTRICTIVE COVENANT INDEMNITY INSURANCE: Unless copies of the
          documents identified in the Certificate of Title (provided to the
          Agent by the solicitors for the Borrower) as missing are provided to
          the solicitors for the Agent by no later than 25th June, 1999 the
          Borrower will use its best efforts to put in place by no later than
          9th July, 1999 (at its own cost) restrictive covenant indemnity
          insurance acceptable to the Agent (acting reasonably) in respect of
          each of the following properties as the same are more particularly
          described in Part 2 of Schedule 1 to the Debenture, namely:

          (i)    Bolehill;

          (ii)   Cheadle Heath; and

          (iii)  Droitwich;

          and ensure that a note of the Lenders' interest is noted thereon.

     (GG) POSTWICK: It will use its best efforts to put in place by no later
          than 9th July, 1999 (at its own cost) restrictive covenant indemnity
          insurance acceptable to the Agent (acting reasonably) in respect of
          the property at Postwick as the same is more particularly described in
          Part 2 of Schedule 1 to the Debenture and ensure that a note of the
          Lenders' interest is noted therein.
<PAGE>

     (HH) SUPPLEMENTAL CERTIFICATE OF TITLE: It will use its best efforts to
          provide the solicitors for the Agent by no later than 25th June, 1999
          with a supplemental certificate of title in the agreed form in respect
          of the property at Swansea as the same is more particularly described
          in Part 2 of Schedule 1 of the Debenture which will comprise a report
          on the lease dated 10th February, 1992 made between The Secretary of
          State for Wales (1) and the British Broadcasting Corporation (2).

20.2 DURATION OF COVENANTS

     The obligations under this Clause and Clauses 18 and 19 will cease to have
     effect when the Facilities have ceased to be available and there are no
     amounts outstanding under any of the Facilities.

21.  TERMINATION EVENTS

21.1 TERMINATION EVENTS

     Each of the following is a Termination Event:

     (A)  NON-PAYMENT: A Company fails to pay an amount due under a Financing
          Document or a Hedging Contract unless the reason for the failure is
          technical or administrative. In that case there will be a Termination
          Event only if that amount is not paid by that or any other Company
          within 3 Business Days of the due date.

     (B)  OTHER DEFAULTS: A Company fails to perform any of its other
          obligations under a Financing Document or a Hedging Contract. There
          will not, however, be a Termination Event under this paragraph if the
          failure is capable of remedy and is cured within 14 days of the
          Borrower becoming aware of the failure.

     (C)  UNTRUE REPRESENTATIONS: Any statement made, or deemed repeated, in a
          Financing Document or a Hedging Contract or in any document delivered
          by a Company under a Financing Document or a Hedging Contract is
          untrue or misleading when that statement is made.

     (D)  CROSS DEFAULT:  Any Indebtedness for Borrowed Money of a member of the
          Borrower's Restricted Group other than under a Financing Document or a
          Hedging Contract:

          (i)    is not paid or repaid when due for payment or repayment or
                 within any applicable grace period; or

          (ii)   is, or becomes capable of being, declared due and payable
                 before its stated date of payment in accordance with its terms
                 and by reason of an event of default (however described).

          There will not be a Termination Event under this paragraph unless the
          aggregate amount of the Indebtedness for Borrowed Money to which (i)
          or (ii) applies exceeds (Pounds)500,000.

     (E)  INSOLVENCY AND REORGANISATION: Any procedure is commenced with a view
          to the winding-up or re-organisation of a member of the Borrower's
          Restricted Group or with a view to the appointment of an
          administrator, receiver or trustee in bankruptcy in relation to a
          member of the Borrower's Restricted Group or any of its assets. This
          procedure may be a court procedure or any other step which under
          applicable law is a possible means of achieving any of those results.
          It
<PAGE>

          will not be a Termination Event, however, if any procedure is
          commenced with a view to the insolvent winding-up of a member of the
          Borrower's Restricted Group and this procedure is contested in good
          faith and dismissed within 28 days of its commencement.

     (F)  ENFORCEMENT OF SECURITY: The holder of any Security over any of a
          member of the Borrower's Restricted Group's assets commences the
          enforcement of that Security in accordance with its terms. This will
          not be a Termination Event if the aggregate amount secured by the
          Security is (Pounds)100,000 or less.

     (G)  ATTACHMENT OR DISTRESS: Any assets of a member of the Borrower's
          Restricted Group are subject to attachment, sequestration, execution
          or any similar process in respect of Indebtedness for Borrowed Money
          of more than (Pounds)100,000.

     (H)  INABILITY TO PAY DEBTS:  A member of the Borrower's Restricted Group:

          (i)    is unable to pay its debts as they fall due within the meaning
                 of section 123(1) of the Insolvency Act 1986 unless, in the
                 case of section 123(1)(a) only, a statutory notice has been
                 withdrawn, stayed or dismissed within 21 days;

          (ii)   admits its inability to pay its debts as and when they fall due
                 or seeks a composition or arrangement with its creditors or any
                 class of them; or

          (iii)  suspends payments of its debts as they fall due,

          or the value of the assets of a member of the Borrower's Restricted
          Group is less than the amount of its liabilities, taking into account
          its contingent and prospective liabilities at their valued amounts,
          calculated in accordance with Generally Accepted Accounting
          Principles.

     (I)  INSOLVENCY EQUIVALENCE: Anything analogous to any of the events
          described in paragraphs (E) to (H) (inclusive) occurs in any relevant
          jurisdiction.

     (J)  UNLAWFULNESS OR REPUDIATION: It is unlawful for a Company to comply
          with, or it repudiates, its material obligations under a Financing
          Document.

     (K)  CESSATION OF BUSINESS: The Borrower ceases or threatens to cease to
          carry on a material part of the Analogue Transmission Business, the
          DTT Transmission Business or any other material part of its business,
          or any member of the Borrower's Restricted Group ceases or threatens
          to cease to carry on any other material business operated by the
          Borrower's Group (taken as a whole). This paragraph does not apply in
          respect of disposals which are permitted under Clause 20.1(D).

     (L)  CHANGE OF CONTROL - ANALOGUE TRANSMISSION AGREEMENT: Any event or
          circumstance described in Clause 13.5.1 of the Analogue Transmission
          Agreement occurs and subsists as a result of which the BBC is entitled
          to terminate the Analogue Transmission Agreement (whether or not it
          exercises its rights to terminate) by virtue of Clause 13.5.1 of the
          Analogue Transmission Agreement. For the purposes of this paragraph
          (save where sub-paragraph (iii) applies) any amendment made to the
          Analogue Transmission Agreement or the Commitment Agreement (as
          defined in the Share Sale Agreement), and any waiver or consent
          granted by the BBC, will be disregarded. However, there will not be a
          Termination Event under this paragraph in any of the following cases:
<PAGE>

          (i)    If all the Lenders have given their prior written consent.

          (ii)   If the event or circumstance is a flotation of shares as
                 described in Clause 10.4(B).

          (iii)  If:

                 (a) the BBC is not entitled to terminate the Analogue
                     Transmission Agreement by virtue of that event or
                     circumstance because the Analogue Transmission Agreement or
                     the Commitment Agreement (as defined in the Share Sale
                     Agreement) has been amended or the BBC has granted a waiver
                     or consent; and

                 (b) the Agent (acting on the instructions of an Instructing
                     Group) has given its prior written consent provided that
                     such prior written consent will not be required if the TdF
                     Roll-up is completed on or before 16th July, 1999.

     (M)  CHANGE OF CONTROL - BBC DTT TRANSMISSION AGREEMENT: Any event or
          circumstance described in Clause 12.7.1 of the BBC DTT Transmission
          Agreement occurs and subsists as a result of which the BBC is entitled
          to terminate the BBC DTT Transmission Agreement (whether or not it
          exercises its rights to terminate) by virtue of Clause 12.7.1 of the
          BBC DTT Transmission Agreement. For the purposes of this paragraph
          (save where sub-paragraph (iii) applies) any amendment made to the BBC
          DTT Transmission Agreement, and any waiver or consent granted by the
          BBC, will be disregarded. However, there will not be a Termination
          Event under this paragraph in any of the following cases:

          (i)    If all the Lenders have given their prior written consent.

          (ii)   If the event or circumstance is a flotation of shares as
                 described in Clause 10.4(B).

          (iii)  If:

                 (a) the BBC is not entitled to terminate the BBC DTT
                     Transmission Agreement by virtue of that event or
                     circumstance because the BBC DTT Transmission Agreement has
                     been amended or the BBC has granted a waiver or consent;
                     and

                 (b) the Agent (acting on the instructions of an Instructing
                     Group) has given its prior written consent provided that
                     such prior written consent will not be required if the TdF
                     Roll-up is completed on or before 16th July, 1999.

     (N)  MATERIAL ADVERSE CHANGE: Either of the following occurs:

          (i)    There is a change in financial condition of the Borrower or
                 (taken as a whole) the Parent and the Borrower's Group having a
                 material adverse impact on the Borrower's or (taken as a whole)
                 the Guarantors' ability to perform its or their payment
                 obligations under the Financing Documents since the last date
                 as at which each of the covenants in Clause 19.2 were measured.
                 The assessment of whether the change in financial condition is
                 material will be measured against the covenants tested on that
                 date.

          (ii)   An event or circumstance occurs and is continuing affecting the
                 business or operations of the Borrower and (taken as a whole)
                 the
<PAGE>

                 Parent and the Borrower's Group and having a material adverse
                 impact on the Borrower's or (taken as a whole) the Guarantors'
                 ability to perform its or their payment obligations under the
                 Financing Documents. The assessment of whether there has been a
                 material adverse impact will be measured against the business
                 or operations of the Borrower and (taken as a whole) the Parent
                 and the Borrower's Group on the Amendment Date.

     (O)  LITIGATION: A Company is involved in litigation which is reasonably
          likely to have an unfavorable outcome materially adversely affecting
          the Borrower's or (taken as a whole) the Guarantors' ability to
          perform its or their obligations under the Financing Documents or, in
          the case of the Borrower, to perform its material obligations under
          any of the Transmission Agreements.

     (P)  FAILURE OF PURPOSE: The Borrower cannot use the proceeds of the
          Facilities for the purposes described in Clause 2.2.

     (Q)  ILLEGALITY OR TERMINATION OF THE TRANSMISSION AGREEMENTS: Any of the
          Transmission Agreements is terminated or ceases to be in full force
          and effect or it becomes illegal for:

          (i)    the BBC to perform its obligations under the Analogue
                 Transmission Agreement or the BBC DTT Transmission Agreement;
                 or

          (ii)   ONDIGITAL to perform its obligations under the ONDIGITAL DTT
                 Transmission Agreement.

     (R)  DEFAULT BY THE BBC: The BBC is due to pay, but has not paid within
          five Business Days of the due date, amounts under the Analogue
          Transmission Agreement or the BBC DTT Transmission Agreement in either
          case in an aggregate amount exceeding (Pounds)5,000,000 (which figure
          shall be increased each year by applying an indexation factor
          equivalent to that obtained from the indexation provisions set out in
          the relevant agreement which relates to the scheduled monthly payments
          as and when such indexation calculation under the relevant
          transmission agreement takes place). The Agent may rely on a
          certificate of the Borrower as to the prevailing default limit figure
          resulting from such indexation.

     (S)  DEFAULT BY ONDIGITAL: ONDIGITAL is due to pay, but has not paid within
          five Business Days of the due date, amounts under the ONDIGITAL DTT
          Transmission Agreement in an aggregate amount exceeding
          (Pounds)5,000,000 (which figure shall be increased by applying an
          indexation factor equivalent to that obtained from the indexation
          provisions set out in the ONDIGITAL DTT Transmission Agreement as and
          when such indexation calculation under the ONDIGITAL DTT Transmission
          Agreement takes place). The Agent may rely on a certificate of the
          Borrower as to the prevailing default limit figure resulting from such
          indexation.

     (T)  FORCE MAJEURE: Any event or circumstances constituting "Force Majeure"
          (as defined in the relevant Transmission Agreement) occurs under any
          of the Transmission Agreements. This will only be a Termination Event
          if it has a material adverse impact on the ability of the Borrower or
          (taken as a whole) the Guarantors to perform its or their payment
          obligations under the Financing Documents.
<PAGE>

     (U)  BONDS: The Bonds are redeemed or repurchased in whole or in part at
          any time prior to their final maturity for any reason or are declared
          due and payable before their stated date of payment in accordance with
          their terms and by reason of an event of default. This does not apply
          to redemptions or repurchases of part where that part, when aggregated
          with any other such redemptions or repurchases, amounts to not more
          than (Pounds)500,000 in principal amount.

21.2 CONSEQUENCES OF A TERMINATION EVENT

     If a Termination Event occurs and is continuing the Agent may by notice to
     the Borrower:

     (A)  cancel the Facilities; or

     (B)  demand immediate repayment of the Loan,

     or both.  The Agent agrees to deliver a notice under this sub-clause if an
     Instructing Group instructs the Agent to do so.  In the case of
     cancellation the Lenders will be under no further obligation to make an
     Advance.  In the case of a demand for repayment the Borrower agrees to pay
     the Lenders in accordance with the notice.

21.3 INDEMNITY

     If there is a Termination Event the Borrower agrees to reimburse the Agent
     and each Lender for the losses and expenses the Agent or that Lender
     incurs, or will incur, as a result.  Clause 11.7 also applies.

21.4 CURRENCY INDEMNITY

     This sub-clause applies where a payment due by a Company under or in
     connection with a Financing Document is made or is required to be made in a
     currency other than the specified currency.  To the extent that the amount
     received, when converted into the specified currency, is less than the
     amount due the Borrower agrees to reimburse the person entitled to the
     payment for the difference.  For the purposes of the computation of this
     amount that person will apply to the amount received a rate of exchange
     prevailing on the date of receipt.  If, however, that person is unable to
     use the amount received to buy the specified currency on the date of
     receipt, the rate of exchange prevailing on the first date on which that
     person could buy the specified currency will be used instead.  The
     obligation in this sub-clause is a separate and independent obligation.
<PAGE>

                           PART VII : MISCELLANEOUS

22.  THE AGENT AND THE ARRANGERS

22.1 APPOINTMENT

     The Agent is appointed as an agent by each Lender.  The Agent is not acting
     as agent of any Company under this Agreement except for the limited purpose
     of signing Substitution Certificates in accordance with Clause 25.3.

22.2 AUTHORITY

     The Agent is authorised to exercise the rights, powers, discretions and
     duties which are specified by the Financing Documents.  The Agent may also
     act in a manner reasonably incidental to these matters.

22.3 DUTIES

     In addition to the obligations of the Agent set out elsewhere in the
     Financing Documents the Agent agrees as follows:

     (A)  NOTICES: The Agent will as soon as reasonably practicable notify each
          Lender of the contents of each notice received from a Company under
          the terms of a Financing Document. If the notice only affects
          particular Lenders the Agent may elect to notify only those Lenders,
          in which case it will do so as soon as reasonably practicable.

     (B)  OTHER DOCUMENTS: When a Company delivers to the Agent any other
          document required to be delivered under a Financing Document the Agent
          will as soon as reasonably practicable provide a copy to each Lender.
          The Borrower agrees to reimburse the Agent for the costs of preparing
          any copies required for this purpose.

     (C)  TERMINATION EVENTS: The Agent will notify each Lender of any
          Termination Event or Potential Termination Event. This obligation will
          not arise, however, until the Agent receives express notice with
          reasonable supporting evidence of the Termination Event or Potential
          Termination Event. Until this time the Agent is entitled to assume
          that there is no Termination Event or Potential Termination Event. The
          Agent is not required to make inquiries. Information referred to in
          Clause 22.11 does not have to be disclosed under this sub-clause.

     (D)  INFORMATION: The Agent will request the Borrower to deliver to the
          Agent under Clause 18.3 any information reasonably requested by a
          Lender.

22.4 POWERS

     In addition to the powers of the Agent set out elsewhere in the Financing
     Documents the Agent has the following powers:

     (A)  PROFESSIONAL ADVISERS: The Agent may instruct professional advisers to
          provide advice in connection with the Facilities.

     (B)  AUTHORITY FROM INSTRUCTING GROUP: The Agent may take any action which
          is not inconsistent with the Financing Documents and which is
          authorised by an Instructing Group.
<PAGE>

     (C)  VIEWS OF INSTRUCTING GROUP: In exercising any of its rights, powers or
          discretions the Agent may seek the views of an Instructing Group. If
          it exercises those rights, powers or discretions in accordance with
          those views the Agent will incur no liability.

     (D)  PROCEEDINGS: The Agent may institute legal proceedings against a
          Company in the name of those Lenders which authorise it to take those
          proceedings.

     (E)  COMPLIANCE WITH LAW: The Agent may take any action necessary for it to
          comply with applicable laws.

     (F)  HEDGING AND OVERDRAFTS: The Agent may sign any Hedging Bank Agreement
          or Overdraft Bank Agreement and the Subordinated Loan Agreement.

     The Agent is not required to exercise any of these powers and will incur no
     liability if it fails to do so.  In the context of legal proceedings the
     Agent may decline to take any step until it has received indemnities or
     security satisfactory to it.

22.5 RELIANCE

     The Agent is entitled to rely upon each of the following:

     (A)  Advice received from professional advisers.

     (B)  A certificate of fact received from a Company and signed by an
          Authorised Person.

     (C)  Any communication or document believed by the Agent to be genuine. The
          Agent will not be liable for any of the consequences of relying on
          these items.

22.6 EXTENT OF AGENT'S DUTIES

     (A)  NO OTHER DUTIES: The Agent has no obligations or duties other than
          those expressly set out in the Financing Documents, the Hedging Bank
          Agreements and the Overdraft Bank Agreements.

     (B)  ILLEGALITY AND LIABILITY: The Agent is not obliged to do anything
          which is illegal or which may expose it to liability to any person.

     (C)  NOT TRUSTEE: The Agent is not acting as a trustee for any purpose in
          connection with this Agreement, except for its role described in
          Clause 22.13, 22.14 and 22.15, and as described in the Hedging Bank
          Agreements and Overdraft Bank Agreements.

22.7 RESPONSIBILITY OF THE LENDERS

     Each Lender is responsible for its own decision to become involved in the
     Facilities and its decision to take or not take action under the
     Facilities.  It should make its own credit appraisal of each Company and
     the terms of the Facilities.  Neither the Agent nor either of the Arrangers
     makes any representation that any information provided to a Lender before,
     on or after the date of this Agreement is true.  Accordingly each Lender
     should take whatever action it believes is necessary to verify that
     information.  In addition neither the Agent nor either Co-arranger is
     responsible for the legality, validity or adequacy of any Financing
     Document or the efficacy of the Security under the Charges.  Each Lender
     will satisfy itself on these issues.
<PAGE>

22.8 LIMITATION OF LIABILITY

     (A)  AGENT: The Agent will not be liable to the Lenders for any action or
          non-action under or in connection with the Financing Documents unless
          caused by its gross negligence or wilful misconduct.

     (B)  DIRECTORS, EMPLOYEES AND AGENTS: No director, employee or agent of the
          Agent will be liable to a Lender or a Company in relation to the
          Financing Documents. Each Lender and each Company agrees not to seek
          to impose this liability upon them.

22.9 BUSINESS OF THE AGENT

     Despite its role as agent of the Lenders the Agent may:

     (A)  participate as a Lender in the Facilities or as a Hedging Bank or an
          Overdraft Bank,

     (B)  carry on all types of business with any Company, and

     (C)  act as agent for other groups of lenders to any Company or other
          borrowers.

22.10  INDEMNITY

     Each Lender agrees to reimburse the Agent for all losses and expenses
     incurred by the Agent as a result of its appointment as Agent or arising
     from its activities as Agent.  These losses and expenses will take into
     account amounts reimbursed to the Agent by the Borrower.  The liability of
     each Lender under this sub-clause will be limited to the share of the total
     losses and expenses which corresponds to that Lender's share of the
     Commitments or, if an Advance has been made and is outstanding, the Loan.
     If the losses or expenses are attributable to an activity of the Agent
     which relates to only some of the Lenders the Agent may instead notify the
     Lenders of a different sharing arrangement.  In this case the limit of
     liability of a Lender under this sub-clause will be determined by the
     Agent.  The Lenders are not liable for losses and expenses arising from the
     gross negligence or willful misconduct of the Agent.

22.11  CONFIDENTIAL INFORMATION

     The Agent is not required to disclose to the Lenders any information:

     (A)  which is not received by it in its capacity as Agent, or

     (B)  which it receives, with its consent, on a confidential basis.

22.12  RESIGNATION AND REMOVAL

     The Agent may resign by giving notice to the Borrower and the Lenders.  The
     Agent may be removed by notice given by an Instructing Group  to the Agent
     and the Borrower. In either event the following apply:

     (A)  APPOINTMENT BY INSTRUCTING GROUP: An Instructing Group may appoint a
          new Agent after consultation with the Borrower.

     (B)  APPOINTMENT BY THE RESIGNING AGENT: If the Agent has resigned and the
          Instructing Group has not appointed a new Agent within 30 days after
          the
<PAGE>

          resigning Agent's notice, the resigning Agent may appoint a new Agent
          after consultation with the Borrower.

     (C)  MODE OF APPOINTMENT: A new Agent will be appointed by notice to the
          Borrower and the Lenders. A new Agent cannot be appointed without its
          consent.

     (D)  TIMING OF APPOINTMENT: If the Agent has resigned, the new Agent will
          become Agent at a time agreed between the new Agent and the resigning
          Agent. If no time is agreed the new Agent will become Agent 10
          Business Days after the notice referred to in paragraph (C). Any
          resignation or removal of the Agent will not be effective until a new
          Agent has been appointed and accepted its appointment.

     (E)  EFFECT OF APPOINTMENT: Upon a new Agent becoming Agent the
          resigning/removed Agent will cease to be Agent. Accordingly it will be
          discharged from its obligations and duties as Agent. It will, however,
          continue to be able to rely on the terms of this Clause in respect of
          all matters relating to the period of its appointment. The new Agent
          will assume the role of Agent. It will have all the rights, powers,
          discretions and duties of the Agent provided for in this Agreement.

     (F)  TRANSITION: The resigning/removed Agent and the new Agent agree to co-
          operate to ensure an orderly transition. The resigning/removed Agent
          agrees to deliver or make available to the new Agent all records,
          files and information held by it as Agent. This obligation will not
          require the resigning/removed Agent to disclose any confidential
          information. the resigning/removed Agent also agrees to transfer the
          benefit of the Charges, and all rights relating to the Charges, to the
          new Agent. The Borrower agrees to co-operate, to the extent reasonably
          necessary, with this transfer. If required by the new Agent the
          Borrower agrees to execute new Charges in favour of the new Agent on
          identical terms as the then existing Charges.

22.13  OBLIGATION TO PAY TO THE AGENT

     Each Company agrees to pay to the Agent on demand each amount due and
     payable by that Company to a Lender under any of the Financing Documents.
     This obligation will be satisfied to the extent that the amount is paid to
     the Lender in accordance with Clause 12.4.  It does not affect the rights
     of the Lender or the obligation of the Company to the Lender.  A payment of
     an amount under this sub-clause will, however, satisfy that Company's
     obligation to pay that amount to the Lender.

22.14  HOLDING AS SECURITY TRUSTEE

     The Agent agrees that it holds the benefit of:

     (A)  Clause 22.13; and

     (B)  the Charges and all Security arising from the Charges,

     as trustee on behalf of:

          (i)    the Lenders;

          (ii)   each Hedging Bank which executes a Hedging Bank Agreement in
                 accordance with Clause 20.1(CC)(ii); and
<PAGE>

          (iii)  each Overdraft Bank.

     All the Agent's rights and claims arising under the items mentioned in
     paragraphs (A) and (B) are vested in it on this basis.

22.15 SECURITY

      (A) PERFECTION OF SECURITY AND TITLE:  The Agent:

          (i)    is not liable for any failure, omission or defect in perfecting
                 the Security constituted by any Charge;

          (ii)   may accept without enquiry the title to the property over which
                 Security is intended to be created by any Charge.

      (B) CUSTODY: The Agent is not under any obligation to hold any title
          deeds, security documents or any other documents in connection with
          the property charged by any Charge or to take any steps to protect or
          preserve these documents. The Agent may permit a Company to retain all
          these documents in its possession or may deposit them with a nominee
          or custodian. This paragraph does not apply to documents held in
          relation to a legal mortgage over, or over an interest in, real
          property or shares.

22.16 THE ARRANGERS

      The Arrangers have no continuing role in connection with the Facilities
      and are not liable in respect of any matter concerning the Facilities.
      They are not the agents for any Lender.

22.17 CONFIRMATION OF EACH LENDER

      Each Lender confirms to the Agent that, unless it notifies the Agent to
      the contrary, it will be the beneficial owner of any interest paid to it
      under this Agreement and it is a bank for purposes of section 349(3)of the
      Income and Corporation Taxes Act 1988 and will be within the charge to
      United Kingdom corporation tax in respect of that interest.

23.  EVIDENCE AND CERTIFICATES

23.1 EVIDENCE OF DEBT

     The Agent will maintain in its books an account showing all liabilities
     accrued and payments made in relation to the Financing Documents.  Details
     of amounts outstanding recorded in this account will be evidence of each
     Company's obligations unless there is shown to be an error.

23.2 CERTIFICATES

     Each certificate delivered under this Agreement must contain reasonable
     detail of the matters being certified.  Certificates delivered by the Agent
     or a Lender will be evidence unless there is shown to be an obvious error.
<PAGE>

24.  NOTICES

24.1 NATURE OF NOTICES

     No notice delivered by a Company under this Agreement may be withdrawn or
     revoked.  Each notice delivered by a Company must be unconditional.  It
     must also be signed by an Authorised Person.

24.2 DELIVERY OF NOTICES

     A notice under this Agreement will only be effective if it is in writing
     and is received.  Telexes and faxes are permitted.

24.3 NOTICES THROUGH THE AGENT

     Each notice from a Company or a Lender will be delivered to the Agent. The
     Agent agrees to pass on the details of notices received by it to the
     appropriate recipient as soon as reasonably practicable.

24.4 ADDRESS DETAILS

     Notices will be delivered to the address of the intended recipient as set
     out on the signature page.  A Company or a Lender may change its address
     details by notice to the Agent.  The Agent may change its address details
     by notice to each Company and each Lender.

25.  ASSIGNMENT AND NOVATION

25.1 COMPANY

     The rights of a Company under this Agreement are personal to it.
     Accordingly they are not capable of assignment.

25.2 ASSIGNMENT BY A LENDER

     A Lender may assign in whole or in part its rights under this Agreement if:

     (A) At the same time the proposed assignee assumes the whole or (as the
         case may be) the relevant part of the Lender's obligations under this
         Agreement to the satisfaction (acting reasonably) of the Agent and the
         Borrower;

     (B) It is assigning an amount of its Facility A Commitments and an amount
         of its Facility B Commitments which when these amounts are expressed as
         a proportion of, in the case of Facility A Commitments, the Total
         Facility A Commitments and, in the case of Facility B Commitments, the
         Total Facility B Commitments, results in the same figure; and

     (C) The principal amount to be assigned (or, in the case of an amount in
         the Optional Currency, the Original Sterling Amount) must equal or
         exceed (Pounds)2,500,000 (or be the remaining amount of its Facility A
         Commitment and Facility B Commitment).

     (D) It obtains the written consent of the Borrower in advance. The Borrower
         agrees that it will not unreasonably withhold this consent. If the
         Borrower does not reply
<PAGE>

         to a written request for consent within 10 Business Days it will be
         treated as having given its consent. No consent is required where the
         assignment:

         (i)    is to another Lender;

         (ii)   is to an affiliate or Subsidiary or Holding Company of the
                assignor;

         (iii)  occurs when there is an outstanding Termination Event; or

         (iv)   is part of the syndication process arranged by the Arrangers.

     Neither the Agent nor any Lender will be obliged to treat any person to
     whom a Lender makes an assignment as an assignee until that person agrees
     to pay to the Agent the fee mentioned in Clause 25.3(D).

25.3 NOVATION BY A LENDER

     A Lender (the "EXISTING LENDER") may be released from its obligations and
     surrender its rights under this Agreement to the extent that exactly
     corresponding obligations and rights are assumed by another lender (the
     "NEW LENDER") in accordance with the following:

     (A)  The Existing Lender must novate an amount of its Facility A
          Commitments and an amount of its Facility B Commitments which when
          these amounts are expressed as a proportion of, in the case of
          Facility A Commitments, the Total Facility A Commitments and, in the
          case of Facility B Commitments, the Total Facility B Commitments,
          results in the same figure.

     (B)  The principal amount to be novated (or, in the case of an amount in
          the Optional Currency, the Original Sterling Amount) must equal or
          exceed (Pounds)2,500,000 (or be the remaining amount of its Facility A
          Commitment and Facility B Commitment).

     (C)  The Existing Lender must obtain the prior written consent of the
          Borrower to the proposed novation. The Borrower agrees that it will
          not unreasonably withhold this consent. If the Borrower does not reply
          to a written request for consent within 10 Business Days it will be
          treated as having given its consent. No consent is required where the
          novation:

          (i)   is to another Lender;

          (ii)  is to an affiliate or Subsidiary or Holding Company of the
                assignor;

          (iii) occurs when there is an outstanding Termination Event; or

          (iv)  is part of the syndication process arranged by the Arrangers.

     (D)  Once the Borrower's written consent is obtained (or treated as
          obtained), the Existing Lender will deliver to the Agent a
          Substitution Certificate. This must be signed by both the Existing
          Lender and the New Lender and be properly completed. It must have
          attached to it the Borrower's consent. Alternatively it must have
          attached to it the Existing Lender's request for a consent and a
          certificate of an officer of the Existing Lender to the effect that
          such request was received by the Borrower and that no reply was
          received within 10 Business Days. The Existing Lender will also
          arrange for the payment of a processing fee to the Agent. The amount
          of this fee is (Pounds)750 (plus any reasonable expenses) unless the
          Agent has notified the Lenders of a different amount which has been
          agreed with an Instructing Group. No fee is payable where the novation
          is part of the syndication process arranged by the Arrangers.
<PAGE>

     (E)  The Agent will sign the Substitution Certificate no later than 5
          Business Days after its receipt and the payment of the processing fee.
          This signature will be made on behalf of the other Lenders and the
          Companies as well as itself. Each Lender and each Company irrevocably
          authorises the Agent to sign in this manner.

     (F)  The Substitution Certificate will take effect on the date it
          specifies. On this date:

          (i)   The Existing Lender is released from its obligations and
                surrenders its rights to the extent described in the
                Certificate.

          (ii)  The New Lender assumes obligations and rights exactly
                corresponding to those released and surrendered by the Existing
                Lender.

          The Facility A Commitment and Facility B Commitment of the Existing
          Lender will be reduced accordingly and the New Lender will assume a
          Facility A Commitment and Facility B Commitment of the amount of the
          corresponding reduction.

25.4 DISCLOSURE OF INFORMATION

     A Lender may disclose to an assignee or New Lender, or to a proposed
     assignee or New Lender, any information received by the Lender under or in
     connection with the Financing Documents, including a copy of each of those
     documents.  A Lender may not disclose this information to any of these
     persons unless that person has executed a confidentiality undertaking
     substantially in the form set out in Schedule 7.

25.5 LIMITATION ON CERTAIN OBLIGATIONS OF BORROWER

     This sub-clause applies to any novation or assignment by a Lender and any
     change of office through which a Lender is acting.  If, at the time it is
     effected, circumstances exist which would oblige the Borrower to pay to the
     New Lender, assignee or Lender under Clause 11 any sum in excess of the sum
     (if any) which it would have been obliged to pay to the Existing Lender,
     assignor or that Lender under Clause 11 in the absence of that novation,
     assignment or change, the Borrower shall not be obliged to pay that excess.

26.  WAIVERS, AMENDMENTS AND RELEASES OF SECURITY

26.1 WRITING REQUIRED

     A waiver or amendment of a term of this Agreement will only be effective if
     it is in writing.

26.2 AUTHORITY OF THE AGENT

     If authorised by an Instructing Group the Agent may grant waivers and agree
     amendments of any Financing Document with any Company.  These waivers and
     amendments will be granted on behalf of the Lenders and be binding on all
     of them, including those which were not part of the Instructing Group.
     This sub-clause does not authorise the Agent to grant any waiver or agree
     any amendment affecting any of the following:

     (A)  The identity of any Company.

     (B)  The amount of the Facilities.

     (C)  The amount or method of calculation of interest or commitment fee.
<PAGE>

     (D)  The manner, currency or timing of repayment of the Loan or of the
          payment of any other amount.

     (E)  The definition of "Facility A Commitment Availability Termination
          Date" or "Facility Termination Date".

     (F)  The definition of "Instructing Group", "Restricted Subsidiary" or
          "Unrestricted Subsidiary".

     (G)  The obligations of the Lenders.

     (H)  Any requirement (including the one in this sub-clause) that all the
          Lenders or a certain proportion of them consent to a matter or deliver
          a notice.

     (I)  Clauses 3, 14 or 25.1.

     (J)  Subject to Clause 26.3, the release of any Security constituted by the
          Charges.

     (K)  This Clause 26.2

     Waivers or amendments affecting these matters require the consent of all
     Lenders.

26.3 RELEASE OF SECURITY FOR PERMITTED DISPOSALS

     The Agent is authorised by the Lenders to effect the release of any
     Security constituted by the Charges over any assets which are disposed of
     by a member of the Borrower's Restricted Group as permitted by Clause
     20.1(D).

26.4 EXPENSES

     The Borrower agrees to reimburse the Agent and each Lender for the expenses
     they incur as a result of any proposal made by the Borrower to waive or
     amend a term of this Agreement or to release any Security.

27.  MISCELLANEOUS

27.1 EXERCISE OF RIGHTS

     If the Agent or a Lender does not exercise a right or power when it is able
     to do so this will not prevent it exercising that right or power.  When it
     does exercise a right or power it may do so again in the same or a
     different manner.  The Agent's and the Lenders' rights and remedies under
     this Agreement are in addition to any other rights and remedies they may
     have.  Those other rights and remedies are not affected by this Agreement.

27.2 COUNTERPARTS

     There may be several signed copies of this Agreement.  There is intended to
     be a single Agreement and each signed copy is a counterpart of that
     Agreement.

28.  LAW

     This Agreement is to be governed by and construed in accordance with
     English law.
<PAGE>

                                  SCHEDULE 1:
                            LENDERS AND COMMITMENTS

<TABLE>
<CAPTION>
                                           (1)                          (2)                          (3)
                                        FACILITY A                   FACILITY B                    TOTAL OF
LENDER                                  COMMITMENT*                  COMMITMENT*                 COMMITMENTS
                                         (Pounds)                      (Pounds)                    (Pounds)
<S>                        <C>                          <C>                          <C>
Credit Suisse First Boston              6,666,666.67                 3,333,333.33                10,000,000.00

Credit Lyonnais                         6,666,666.67                 3,333,333.33                10,000,000.00

The Industrial Bank of Japan, Limited   6,666,666.67                 3,333,333.33                10,000,000.00

The Royal Bank of Scotland plc          6,666,666.67                 3,333,333.33                10,000,000.00

Scotiabank Europe plc                   6,666,666.67                 3,333,333.33                10,000,000.00

Allied Irish Banks PLC (London Branch)  5,533,333.33                 2,766,666.67                 8,300,000.00

The Governor and Company of the         5,533,333.33                 2,766,666.67                 8,300,000.00
 Bank of Ireland

The Governor and Company of the         5,533,333.33                 2,766,666.67                 8,300,000.00
 Bank of Scotland

Bayerische Landesbank                   5,533,333.33                 2,766,666.67                 8,300,000.00
 Girozentrale, London Branch

De Nationale Investeringsbank N.V.,     5,533,333.33                 2,766,666.67                 8,300,000.00
 London Branch

Dexia Project & Public Finance          5,533,333.33                 2,766,666.67                 8,300,000.00
 International Bank, London Branch

The Fuji Bank, Limited                  5,533,333.33                 2,766,666.67                 8,300,000.00

KBC Bank N.V., London Branch            5,533,333.33                 2,766,666.67                 8,300,000.00

Lloyds Bank Plc                         5,533,333.33                 2,766,666.67                 8,300,000.00

Co-operative Bank p.l.c.                3,373,333.33                 1,686,666.67                 5,060,000.00
</TABLE>
<PAGE>

<TABLE>
<CAPTION>
                                           (1)                          (2)                          (3)
                                        FACILITY A                   FACILITY B                    TOTAL OF
LENDER                                  COMMITMENT*                  COMMITMENT*                 COMMITMENTS
                                         (Pounds)                      (Pounds)                    (Pounds)
<S>                        <C>                          <C>                          <C>
Societe Generale, London Branch         3,373,333.33                 1,686,666.67                 5,060,000.00

The Sumitomo Bank Limited               3,373,333.33                 1,686,666.67                 5,060,000.00

The Dai-Ichi Kangyo Bank, Ltd           3,373,333.33                 1,686,666.67                 5,060,000.00

Ulster Bank Limited                     3,373,333.33                 1,686,666.67                 5,060,000.00
                        --------------------------------------------------------------------------------------
                                      100,000,000.00                50,000,000.00               150,000,000.00
                        --------------------------------------------------------------------------------------
</TABLE>
*  Rounded to two decimal places.
<PAGE>

                                  SCHEDULE 2:
                                  COSTS RATE

The Costs Rate is an addition to the interest rate on an Advance to compensate
the Lenders for the cost attributable to an Advance resulting from the
imposition from time to time under or pursuant to the Bank of England Act 1998
(the "ACT") and/or by the Bank of England (or other United Kingdom governmental
or regulatory authorities or agencies) of a requirement to place non-interest
bearing or Special Deposits (whether interest bearing or not) with the Bank of
England and calculated by reference to liabilities used to fund the Advance.

The Costs Rate will be the rate determined by the Agent (and rounded upward, if
necessary, to four decimal places) as the rate resulting from the application
(as appropriate) of the following formula in relation to sterling Advances:

                          XL + S(L - D)  % per annum
                          -------------
                          100 - (X + S)

where on the day of application of a formula:

     X    is the percentage of Eligible Liabilities (in excess of any stated
          minimum) by reference to which the Agent is required under or pursuant
          to the Act to maintain cash ratio deposits with the Bank of England;

     L    is the rate of interest (less the Applicable Margin and the Costs
          Rate) payable on that day on the related Advance pursuant to Clause 8
          of this Agreement;

     S    is the level of interest-bearing Special Deposits, expressed as a
          percentage of Eligible Liabilities, which the Lender is required to
          maintain by the Bank of England (or other United Kingdom governmental
          authorities or agencies); and

     D    is the percentage rate per annum payable by the Bank of England to the
          Lender on Special Deposits.

(X, L, S and D are to be expressed in the formula as numbers and not as
percentages.  A negative result obtained from subtracting D from L shall be
counted as zero.)

The Costs Rate attributable to an Advance or other sum for any period shall be
calculated at or about 11.00 a.m. (London time) on the first day of such period
for the duration of such period.

The determination of the Costs Rate in relation to any period shall, in the
absence of manifest error, be conclusive and binding on all parties to this
Agreement.

If there is any change in circumstance (including the imposition of alternative
or additional requirements) which in the reasonable opinion of the Agent renders
or will render  the above formula (or any element of the formula, or any defined
term used in the formula) inappropriate or inapplicable, the Agent (following
consultation with the Borrower and an Instructing Group) shall be entitled to
vary the same.  Any such variation shall, in the absence of manifest error, be
conclusive and binding on all parties and shall apply from the date specified in
such notice.

For the purposes of this Schedule:

The terms "ELIGIBLE LIABILITIES" and "SPECIAL DEPOSITS" shall bear the meanings
ascribed to them under or pursuant to the Act or by the Bank of England (as may
be appropriate), on the day of the application of the formula.

Any reference  to a provision of any statute, directive, order or regulation in
this Schedule is a reference to that provision as amended or re-enacted from
time to time
<PAGE>

                                                                  CONFIRMED COPY
                                                                  --------------
                                  SCHEDULE 3:
        CONDITIONS PRECEDENT TO DRAWING ON OR AFTER THE AMENDMENT DATE

1.   A copy of the Memorandum and Articles of Association of the Borrower in the
     agreed form. This copy must be certified by a director, the secretary or
     the Director of Legal Services of the Borrower to be complete, up-to-date
     and in full force and effect.

2.   A copy of a resolution of the board of directors of the Borrower approving
     the Facilities, authorising the signature and delivery of the Financing
     Documents to which it is a party and approving the borrowing of the
     aggregate Available Commitments. The resolution must also appoint persons
     to sign notices on behalf of the Borrower under the Financing Documents to
     which it is a party and a person or persons to sign certificates under the
     Financing Documents as a "Certifying Financial Officer" in addition to the
     senior financial officer. The copy must be certified by a director, the
     secretary or the Director of Legal Services of the Borrower to be a true
     copy of duly passed resolutions each of which is in full force and effect.

3.   Specimen signatures of all persons authorised by the resolutions referred
     to in paragraph 2 above. These signatures must be certified by a director,
     the secretary or the Director of Legal Services of the Borrower to be
     genuine.

4.   A copy of the Memorandum and Articles of Association of the Parent and each
     other Guarantor in the agreed form. This copy must be certified by a
     director, the secretary or the Director of Legal Services of the Parent and
     the relevant Guarantor to be complete, up-to-date and in full force and
     effect.

5.   A copy of a resolution of the board of directors of the Parent and each
     other Guarantor approving the Guarantee and (as applicable) the Charges and
     authorising the signature and delivery of the Financing Documents to which
     it is a party. The copy must be certified by a director, the secretary or
     the Director of Legal Services of the Parent and the relevant Guarantor to
     be a true copy of a duly passed resolution which is in full force and
     effect.

6.   A legal opinion from Slaughter and May, English legal advisers to the
     Agent, substantially in the form set out in Schedule 8.

7.   A letter in the agreed form from the Borrower's insurance brokers addressed
     to the Agent (for the benefit of itself and the Lenders) confirming that
     the insurance arrangements required by the Financing Documents are in place
     with respect to the Borrower's business (including the Analogue
     Transmission Business and the DTT Transmission Business), operations and
     assets.

8.   Property Title Report and Certificates on the material properties (as
     identified by the Agent) addressed to the Agent (for the benefit of itself
     and the Lenders), in the agreed form.

9.   Copies certified by the Borrower as true, complete and up-to-date (or, as
     appropriate, executed originals) of the following documents in the agreed
     form:

     (a) Shareholders' Agreement;

     (b) Fee Letters from the Arrangers and the Agent, each counter-signed by
         the Borrower;

     (c) Supplemental and Amendment Deed;

     (d) Deposit Charge Amendment Agreement;

     (e) Transmission Agreements;
<PAGE>

     (f) NTL Site Sharing Agreement;

     (g) Contract of Services;

     (h) Subordinated Loan Agreement; and

     (i) the agreement between the Borrower and CT Finance amending the Inter-
         Company Loan Agreement.

10.  Share certificates in respect of all the issued share capital in the
     Borrower, and blank stock transfer forms duly executed by the Parent in
     respect of those share certificates.

11.  A copy of the share register of the Borrower showing the Parent as the
     registered holder of the entire issued share capital of the Borrower. This
     copy must be certified by a director, the secretary or the Director of
     Legal Services of the Borrower to be complete and up-to-date, as at the
     Amendment Date.

12.  Completed Land Registry cover (and the relevant fee in each case) in
     respect of the properties listed in Schedule 1 of the debenture described
     in paragraph (A) of the definition of "Charges" in Clause 1.1 together
     with, in the case of those properties for which an application for first
     registration has to be made, all relevant title deeds and documents and the
     results of all pre-completion searches including Land Charges Act search
     results.

13.  The acknowledgements set out in Part 2 of Schedule 3 of the Debenture,
     signed on behalf of the BBC and ONDIGITAL respectively.

14.  Evidence satisfactory to the Agent of comfort given by CCIC as to
     maintenance of support of, and levels of shareholding, in the Borrower
     (through the Parent) so as not to entitle the BBC to exercise its right to
     terminate the Analogue Transmission Agreement or the BBC DTT Transmission
     Agreement on a change of control of the Borrower.

15.  Evidence satisfactory to the Agent that ONDIGITAL consents to the charge
     taken over the ONDIGITAL Transmission Agreement.

16.  The Financial Model addressed to the Agent (for the benefit of itself and
     the Lenders).

17.  The Hedging Policy.

18.  A certificate of the Certifying Financial Officer stating (a) the amount of
     Financial Indebtedness on the last day of the Quarter immediately preceding
     the date of delivery of this certificate and (b) EBITDA for that Quarter.

19.  All share certificates relating to the shares held by the Borrower in
     Millennium and blank transfers of these shares executed by the Borrower
     with the name of the transferee left blank and stamped.

20.  The Year 2000 Programme Report in the agreed form.

21.  The letter from the Borrower to the Agent in relation to certain litigation
     and dated on or before the Amendment Date.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                  SCHEDULE 4:
                       FORM OF SUBSTITUTION CERTIFICATE

                    CASTLE TRANSMISSION INTERNATIONAL LTD.

  (Pounds)150,000,000 TERM AND REVOLVING LOAN FACILITIES UNDER LOAN AGREEMENT
                    DATED 28TH FEBRUARY, 1997 (AS AMENDED)

                           SUBSTITUTION CERTIFICATE

To:  [Name and address of the Agent]

This certificate is delivered to you for the purposes of Clause 25.3 of the Loan
Agreement under which you are currently Agent.

     Name of Existing Lender:   ____________________________

     Name of New Lender:        ____________________________

     Details of substitution:

[Insert details distinguishing between Facilities and between undrawn commitment
and participation in the Loan and other amounts due under the Facility]

     Date of effect of substitution:    ____________________

The substitution described above will take effect in accordance with Clause 25.3
of the Loan Agreement.

The Existing Lender and the New Lender agree as follows:

1.   The New Lender is responsible for its own decision to become involved in
     the Facilities.  It should make its own credit appraisal of the Companies
     and the terms of the Facilities.  Neither the Existing Lender nor the Agent
     makes any representation that any information provided to the New Lender
     before, on or after the date of this certificate is true.  Accordingly the
     New Lender should take whatever action it believes is necessary to verify
     that information.  In addition neither the Existing Lender nor the Agent is
     responsible for the legality, validity or adequacy of the Loan Agreement.
     The New Lender will satisfy itself on these issues.

2.   There is no obligation on the Existing Lender to accept any novation or
     assignment back of the rights and obligations referred to in this
     certificate.  The Existing Lender accepts no obligation to indemnify the
     New Lender for any losses incurred as a result of a failure by the Borrower
     or any Guarantor to perform its obligations or for any other losses.  The
     New Lender acknowledges this is the case.

The New Lender represents that each of the following is true:

(A)  In respect of any payment of interest to be made to it, that New Lender
     will be, at the date the principal amount on which that interest accrued is
     advanced, a bank  for the purposes of section 349(3) of the Income and
     Corporation Taxes Act 1988.

(B)  In respect of any payment of interest to be made to it, the person
     beneficially entitled to that payment of interest at the time it is paid is
     within the charge to United Kingdom corporation tax in respect of that
     interest.

The above representations do not apply where the representations would be untrue
as a result of a change in law or Inland Revenue concession or a change in the
interpretation or application of law or Inland Revenue concession.

This certificate is to be governed by and construed in accordance with English
law.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------
Existing Lender                    New Lender
---------------                    ----------

[Name of Existing Lender]               [Name of New Lender]

By:                                     By:

Agent (on behalf of the other Lenders, the Companies and itself)

[Name of Agent]

By:

Date:

Notice details for New Lender

(if it is not already a

Lender):

Address:

Fax Number:

Telex Number:

Attention:
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                  SCHEDULE 5:
                        FORM OF NOTICE FOR THE ADVANCE

To:       [Name of Agent]

          Attention: [           ]

From:  Castle Transmission International Ltd.      Date: [           ]

Dear Sirs,

         (Pounds)150,000,000 TERM AND REVOLVING LOAN FACILITIES UNDER
             LOAN AGREEMENT DATED 28TH FEBRUARY, 1997 (AS AMENDED)

1.   We refer to the above agreement between yourselves as Agent, us as Borrower
     and various other parties (the "Agreement"). Terms defined in the Agreement
     have the same meaning in this notice.

2.   We would like to draw an Advance under Facility [A]/[B] in [currency] in
     the amount of [amount] on [date].

3.   The Interest Period should be [     ] months.

4.   Please pay the above Advance to account number [              ] with [
     ] in favour of ourselves.

5.   We confirm that, today and on the Advance Date:

     (a)  the representations in Clause 17.1 of the Agreement [(other than
          paragraphs (T) [,] [and (U))] [and (V)]* are true; and

     (b)  there is [and will be] no outstanding Termination Event [or Potential
          Termination Event.]**

6.   The purpose of the Advance is [                    ].

                               Yours faithfully,

                             for and on behalf of

                    Castle Transmission International Ltd.

---------------

 *   [Note: The representations in Clause 17.1(T) and Clause 17.1(U) are to be
     given on the date of the first Advance on or after the Amendment Date. The
     representation in Clause 17.1(V) is to be given on the making of each
     Advance which falls on or before 31st March, 2000.

**  [Note: The statement in square brackets will not be required to be made
     where the notice is given to roll over an existing Advance (without
     increasing the amount of this Advance) for an Interest Period of no more
     than one month at any time when no Termination Event has occurred and is
     continuing.]

<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                  SCHEDULE 6:
                    FORM OF ADDITIONAL GUARANTOR AGREEMENT

                        ADDITIONAL GUARANTOR AGREEMENT
                        ------------------------------

DATE :

PARTIES

1.   [                                 ], a company incorporated in [          ]
     (number [           ]), of [address] (the "NEW GUARANTOR")

2.   CASTLE TRANSMISSION INTERNATIONAL LTD., a company incorporated in England
     (number 3196207) whose registered office is at Warwick Technology Park,
     Gallows Hill, Heathcote Lane, Warwick CV34 6TN, on its own behalf and on
     behalf of each of the existing Guarantors (each as defined in the Loan
     Agreement referred to below)

3.   CREDIT SUISSE FIRST BOSTON (the "AGENT"), on its own behalf and on behalf
     of each of  the Lenders (as defined in the Loan Agreement)

BACKGROUND

A Loan Agreement (the "LOAN AGREEMENT") was made on 28th February, 1997 (and
amended on 21st May, 1997 and on 18th June, 1999) between (1) Castle
Transmission International Ltd. as borrower, (2) Castle Transmission Services
(Holdings) Ltd. as guarantor, (3) the lenders named in the Loan Agreement, (4)
Credit Suisse First Boston as Agent, (5) Credit Suisse First Boston as lead
arranger and others.  Under the terms of the Loan Agreement the Lenders agreed
to provide to the Borrower a (Pounds)150,000,000 credit facility.

Under Clause 20.1(R) of the Loan Agreement the New Guarantor needs to become a
guarantor.

The parties agree as follows:

1.   INTERPRETATION

     Unless a contrary intention is indicated, words and expressions defined in
     the Loan Agreement will have the same meanings when used in this Agreement.
     References to the Loan Agreement are to that agreement as amended or
     supplemented.

2.   INCORPORATION OF ADDITIONAL GUARANTOR

     With effect from the date of this Agreement the New Guarantor will:

(a)  become a party to the Loan Agreement as if it had been an original
     signatory as a guarantor; and
(b)  become a "Guarantor" within the definition in Clause 1.1 of the Loan
     Agreement.
     The New Guarantor, each other Company, each Lender and the Agent agrees to
     be bound by the Loan Agreement on this basis.

3.   REPRESENTATIONS BY THE NEW GUARANTOR

     The New Guarantor confirms in respect of itself that the representations in
     Clause 17.1(A) to (L) inclusive of the Loan Agreement if stated at the date
     of this Agreement with reference to the New Guarantor and the facts
     subsisting on the date of this Agreement, are true.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

4.   CONSTRUCTION

     This Agreement and the Loan Agreement will be read and construed as one
     document.  References in the Loan Agreement to the Loan Agreement (however
     expressed) will be read and construed as references to the Loan Agreement
     and this Agreement.

5.   NOTICES

     The notice details of the New Guarantor for the purpose of Clause 24.4 are
     as follows:

     [                        ]

     Fax number:    [         ]

     Telex number:    [         ]

     Attention:    [          ]

6.   LAW

     This Agreement is to be governed by and construed in accordance with
     English law.  The New Guarantor intends to execute this Agreement as a deed
     and agrees to execute and deliver it as a deed. [Jurisdiction clause and
     appointment of agent for the service of process to be inserted in the case
     of a New Guarantor incorporated outside England.]

SIGNATURES

[Name of New Guarantor]

Executed as a deed by the signatures

of a director and the secretary or of

two directors of the company

By:                 (Director)

By:                 (Director/Secretary)

Castle Transmission International Ltd.

By:

[Name of Agent]

By:
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                  SCHEDULE 7:
                      FORM OF CONFIDENTIALITY UNDERTAKING

            Castle Transmission International Ltd. (the "BORROWER")

  (Pounds)150,000,000 TERM AND REVOLVING LOAN FACILITIES UNDER LOAN AGREEMENT
       DATED 28TH FEBRUARY, 1997 (AS AMENDED) (THE "FACILITY AGREEMENT")

In connection with your interest in the (Pounds)150,000,000 term and revolving
Loan Facilities for the Borrower (the "FACILITIES") constituted by the Facility
Agreement, you (the "RECIPIENT") may be provided with certain information and
material by ourselves (being an existing lender (the "EXISTING LENDER") under
the Facilities.

The Recipient agrees with the Existing Lender (for itself and as trustee for the
benefit of the Borrower) that:

1.   For the purposes of this confidentiality agreement, "CONFIDENTIAL
     INFORMATION" means all information disclosed by the Existing Lender (or any
     of its agents, representatives or advisers) concerning the Facilities, the
     Borrower or any member of the group of companies of which the Borrower is a
     member. However, it does not include information which (i) is already in
     the Recipient's possession at the time of disclosure, or (ii) is at the
     time of its disclosure, or which later becomes, part of the public domain.

2.   The Recipient will treat the Confidential Information, and the fact that
     negotiations are taking place, as confidential. The Recipient agrees to
     disclose the Confidential Information only to those of the Recipient's
     agents, representatives and advisers who need the Confidential Information
     for the purpose of evaluating the Facilities. The Confidential Information
     shall not be used by any such person for any other purpose.

3.   The Recipient will return (or, as regards Confidential Information
     disclosed to its agents, representatives and advisers, endeavour to return)
     the Confidential Information to the Existing Lender, without retaining any
     copies or summaries of it, promptly upon the written request of the
     Existing Lender. Alternatively the Recipient may promptly arrange for the
     destruction of the Confidential Information and supply written evidence to
     the Existing Lender of such destruction. However, to the extent that
     Confidential Information has been incorporated (either fully or partially)
     into analyses, compilations, studies or other documents prepared by the
     Recipient, the Recipient need not return or destroy that information
     provided that it treats that information as confidential in accordance with
     paragraph 2 above.

4.   The Recipient (or any of its agents, representatives or advisers) may be
     required to disclose Confidential Information for the purposes of any
     judicial, administrative or governmental proceeding. In this case the
     Recipient will promptly notify the Existing Lender and the Borrower.
     However, if on legal advice the Recipient (or any of its agents,
     representatives or advisers) is compelled to make disclosure of
     Confidential Information or else stand liable for contempt or other censure
     or penalty, it is not under any obligation to delay disclosure (i) in order
     to notify the Existing Lender and the Borrower before disclosure, if giving
     that notice before disclosure is not practicable, or (ii) once it has
     notified the Existing Lender and the Borrower, for any reason whatever.

5.   Any questions concerning the Confidential Information must be directed by
     the Recipient exclusively to the Existing Lender. The Recipient will not
     approach the Borrower or any member of its group without prior written
     consent of the Existing Lender.

6.   The Recipient understands that the Existing Lender (and its agents,
     representatives or advisers) is not making any representation or warranty
     as to the accuracy or completeness of the Confidential Information, and
     neither, save to the extent set out in the Facility
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

     Agreement, is the Borrower or any other member of the group of companies of
     which the Borrower is a member. The Existing Lender (for itself and on
     behalf of its agents, representatives and advisers and, save to the extent
     set out in the Facility Agreement, the Borrower and the other members of
     the group of companies of which the Borrower is a member) disclaims any and
     all liability arising from the Recipient's use of the Confidential
     Information.

7.   The obligations imposed on the parties under this confidentiality agreement
     will terminate on the date two years after the date on which the Recipient
     signs this confidentiality agreement below.

8.   This confidentiality agreement shall be governed by and construed in
     accordance with English law, and the Recipient hereby irrevocably submits
     for the benefit of the Existing Lender, the Borrower and the other members
     of the group of companies of which the Borrower is a member to the
     jurisdiction of the courts of England in connection with any dispute
     related to or brought under it.

 ...............................................
For and on behalf of
[Existing Lender] (on its own
behalf and as trustee for the
benefit of the Borrower and the
other members of the group
of companies of which the
Borrower is a member)

 ...............................................
For and on behalf of
[Recipient]

Date .......................................
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                  SCHEDULE 8:
                     FORM OF OPINION OF SLAUGHTER AND MAY

Credit Suisse First Boston,

Five Cabot Square,

London, E14 4QR.

for itself as Agent and for the Lenders

(as defined in the Loan Agreement referred to below)

Dear Sirs,

INTRODUCTION

1.   We refer to:

     (B)  the "LOAN AMENDMENT AGREEMENT", being the loan amendment agreement
          dated [ ] June, 1999 and made between (1) Castle Transmission
          International Ltd. (formerly known as Castle Transmission Services
          Ltd.) (the "BORROWER"), (2) Castle Transmission Services (Holdings)
          Ltd. (the "PARENT") and Millennium Communications Limited
          ("MILLENNIUM") (both known as the "GUARANTORS"), (3) the Lenders
          listed in Schedule 1 to the Loan Amendment Agreement (the "LENDERS"),
          (4) Credit Suisse First Boston as lead arranger, (5) [ ] as arrangers
          and (6) Credit Suisse First Boston as agent, amending the
          (Pounds)162,500,000 term and revolving facilities agreement dated 28th
          February, 1997 as amended to a (Pounds)64,000,000 revolving facilities
          agreement on 21st May, 1997 and as acceded to by Millennium with
          effect from 27th October, 1998 (the "LOAN AGREEMENT");

     (C)  the "SUPPLEMENTAL AND AMENDMENT DEED", being the supplemental and
          amendment deed dated [ ] June, 1999 made between (1) the Borrower, (2)
          the Parent, (3) Millennium, and (4) Credit Suisse First Boston as
          agent, amending the debenture dated 28th February, 1997 which was made
          between the same parties (except Millennium) and acceded to by
          Millennium with effect from 27th October, 1998 (the "DEBENTURE"); and

     (D)  the "DEPOSIT CHARGE AMENDMENT AGREEMENT" being the deposit charge
          amendment agreement dated [ ] June, 1999 amending the deposit
          agreement and charge on cash deposits dated 28th February, 1997, as
          amended on 21st May, 1997, made between (1) Credit Suisse First Boston
          (as trustee for the Lenders) and (2) the Borrower (the "DEPOSIT CHARGE
          AGREEMENT").

2.   Terms and expressions defined in the Loan Amendment Agreement, the
     Supplemental and Amendment Deed and the Deposit Charge Amendment Agreement
     (the "DOCUMENTS") which are not otherwise defined in this opinion have the
     same meanings when used in this opinion.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

3.   We have acted as English legal advisers on your behalf in connection with
     the Documents.

4.   This letter sets out our opinion on certain matters of English law as at
     today's date.  We have not made any investigation of, and do not express
     any opinion on, any other law. This letter is to be construed in accordance
     with English law.

DOCUMENTS AND INVESTIGATIONS
----------------------------

5.   For the purposes of this letter, we have examined the following:

     (A)  A signed copy of the Loan Amendment Agreement and the Deposit Charge
          Amendment Agreement and an executed copy of the Supplemental and
          Amendment Deed.

     (B)  A copy of each of the Loan Agreement, the Debenture, and the Deposit
          Charge Agreement (in each case, in the form in effect immediately
          before the signing and execution of the Documents).

     (C)  A copy, certified by the company secretary of the Borrower to be a
          true, complete and up-to-date copy, of the Memorandum and Articles of
          Association of the Borrower.

     (D)  A copy, certified by the company secretary of the Parent to be a true,
          complete and up-to-date copy, of the Memorandum and Articles of
          Association of the Parent.

     (E)  A copy, certified by the company secretary of Millennium to be a true,
          complete and up-to-date copy, of the Memorandum and Articles of
          Association of Millennium.

     (F)  A copy, certified by the company secretary of the Borrower to be a
          true, complete and up-to-date copy, of resolutions of a meeting of the
          board of directors of the Borrower held on [          ], 1999.

     (G)  A copy, certified by the company secretary of the Parent to be a true,
          complete and up-to-date copy, of resolutions of a meeting of the board
          of directors of the Parent held on [              ], 1999.

     (H)  A copy, certified by the company secretary of Millennium to be a true,
          complete and up-to-date copy, of resolutions of a meeting of the board
          of directors of Millennium held on [              ], 1999.

     (I)  The entries shown on the microfiches (obtained by us from Companies
          House, London on [      ] June, 1999) of the file of each of the
          Borrower, the Parent and Millennium maintained at Companies House (the
          "MICROFICHES").

     (J)  The certificates (the "MILLENNIUM SHARE CERTIFICATES") in respect of
          the shares (the "MILLENNIUM SHARES") held by the Borrower in
          Millennium.

ASSUMPTIONS
-----------

6.   For the purposes of this letter, we have assumed each of the following:

     (A)  (i)   The information disclosed by the Microfiches, by our searches on
               [       ] June, 1999 of the Companies House database (CH Direct)
               and by our [telephone][personal] search on [     ] June, 1999 at
               the Central Registry of Winding-up Petitions in relation to the
               Borrower, the Parent and Millennium was then accurate and
               complete and has not since then been altered or added to.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

          (ii) The Microfiches and such enquiries did not fail to disclose any
               information relevant for the purposes of this opinion.

     (B)  The board minutes referred to in sub-paragraphs 5(F), (G) and (H)
          truly record the proceedings described therein of duly convened,
          constituted and quorate meetings of the boards of directors of each of
          the Borrower, the Parent and Millennium, respectively, these boards of
          directors were acting in the best interests and for the proper
          purposes of the Borrower, the Parent and Millennium, and the meetings
          were duly held and the resolutions passed and authorisations given at
          those meetings have not subsequently been amended, revoked or
          superseded.

     (C)  None of the Borrower, the Parent or Millennium has passed any
          voluntary winding up resolution, no petition has been presented or
          order made by a court for the winding up, dissolution or
          administration of the Borrower, the Parent or Millennium and no
          receiver, administrative receiver, trustee, administrator or similar
          officer has been appointed in relation to the Borrower, the Parent or
          Millennium or any of their assets or revenues.

     (D)  Each of the parties to the Documents (other than the Borrower, the
          Parent and Millennium) has the capacity, power and authority to sign
          or execute and deliver the Documents and to exercise its rights and
          perform its obligations under the Documents.

     (E)  All documents submitted to us as copies conform with the originals.

     (F)  All signatures are genuine.

     (G)  Each of the Documents has been duly signed or executed and
          unconditionally delivered by each of the parties thereto.

     (H)  That no law of any jurisdiction outside England would render such
          execution or delivery illegal or ineffective and that, in so far as
          any obligation under the Documents falls to be performed in, or is
          otherwise subject to, any jurisdiction other than England, its
          performance will not be illegal or ineffective by virtue of the law of
          that jurisdiction.

     (I)  The Supplemental and Amendment Deed and the Deposit Charge Amendment
          Agreement will be delivered for registration with the Registrar of
          Companies in accordance with Part XII of the Companies Act 1985 as
          recommended in paragraph 8(A) below, and that the Supplemental and
          Amendment Deed will be delivered for registration with H.M. Land
          Registry as recommended in paragraph 8(B) below.

     (J)  The execution and delivery of the Loan Amendment Agreement, the
          Supplemental and Amendment Deed by each of the Borrower, the Parent
          and Millennium is (i) in the furtherance of the objects authorised by
          the Parent's and Millennium's memorandum of association, and (ii) to
          the commercial advantage and in the interests of the Borrower, the
          Parent and Millennium.

     (K)  All matters set out as assumptions and contained in paragraph 6 of the
          opinion set out in a letter to you of 28th February, 1997 and in
          paragraph 6 of the opinion set out in a letter to you of 21st May,
          1997.

     (L)  That the Millennium Shares have been duly transferred by Crown Castle
          International Corporation ("CCIC") to the Borrower and that CCIC was
          immediately before such transfer, and the Borrower is, immediately
          after such transfer, the absolute legal and beneficial owner of the
          Millennium Shares.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

     (M)  That the Millennium Share Certificates are the only certificates in
          respect of the Millennium Shares and that the Millennium Shares
          referred to in those Millennium Share Certificates represent the whole
          of the issued share capital of Millennium.

OPINION
-------

7.   Based on and subject to the foregoing, and subject to the reservations
     mentioned in paragraph 8 (below) and to any matters not disclosed to us, we
     are of the opinion that:

     (A)  Each of the Borrower, the Parent and Millennium is a limited liability
          company duly incorporated and validly existing under English law and
          has all requisite corporate power and authority to enter into and
          perform its obligations under the Documents to which it is a party.

     (B)  All necessary corporate action required to authorise the execution,
          delivery and performance by each of the Borrower, the Parent and
          Millennium of the Documents to which it is a party has been taken.

     (C)  The Loan Agreement (as amended by the Loan Amendment Agreement,
          together the "AMENDED LOAN AGREEMENT"), the Debenture (as amended by
          the Supplemental and Amendment Deed, together the "AMENDED DEBENTURE")
          and the Deposit Charge Agreement (as amended by the Deposit Charge
          Amendment Agreement, together the "AMENDED DEPOSIT CHARGE AGREEMENT")
          create valid and binding obligations under English law of the Borrower
          and (as regards the Amended Loan Agreement and the Amended Debenture)
          of the Parent and Millennium.

     (D)  The following security rights have, among others, been created by the
          Amended Debenture:

          (i)   a legal mortgage over each of the real properties described in
                Schedule 1 to the Amended Debenture;

          (ii)  an equitable fixed charge over the other real property of the
                Borrower, the Parent and Millennium;

          (iii) an equitable fixed charge over the Millennium Shares and the
                shares in the Borrower held by the Parent (together with the
                Millennium Shares, the "SHARES");

          (iv)  an equitable fixed charge over the Borrower's rights to payment
                under or in connection with the Transmission Agreements;

          (v)   an equitable fixed charge over the sums standing from time to
                time to the credit of the Account (as defined in the Amended
                Deposit Charge Agreement); and

          (vi)  a floating charge over the undertaking, property and assets of
                the Borrower, the Parent and Millennium.

     (E)  It is not necessary, in order to ensure the validity of the Documents
          or the security referred to therein to obtain any authorisation,
          consent, approval, licence or permission of, or to effect any filing,
          declaration or registration with, any governmental authority of
          England, save as provided in paragraphs 8(A) and (B) below.

RESERVATIONS
------------

8.   Our reservations are as follows:
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

     (A)  A company registered under the Companies Act 1985 (the "ACT") must, in
          order to ensure that certain classes of security over its assets are
          not rendered void against the liquidator or any creditor of the
          company, deliver the instrument creating or evidencing the security,
          together with the prescribed particulars thereof, to the Registrar of
          Companies for registration within 21 days after the creation of such
          security.  Each of the Borrower and the Parent and Millennium is
          registered under the Act. The classes of security which must be
          registered include a charge on land, a charge on book debts and a
          floating charge on the company's undertaking or property.  In respect
          of a charge on shares, although the better view is that a fixed charge
          over shares is not included in the classes of security which must be
          registered, it is recommended that registration of such a charge
          should be effected because it could constitute a charge on book debts
          (namely the dividends arising under the shares).  There is no
          procedure under the Act for registering variations to prescribed
          particulars delivered to the Registrar of Companies under the Act.
          However, we would recommend that details of the Supplemental and
          Amendment Deed and the Deposit Charge Amendment Agreement (together
          with an original executed copy of the Supplemental and Amendment Deed
          and of the Deposit Charge Amendment Agreement) be submitted to the
          Registrar of Companies for registration.

     (B)  Prior to the registration at H.M. Land Registry of a charge by way of
          legal mortgage created over property registered at H.M. Land Registry,
          that charge takes effect in equity only.  In order that the mortgagee
          obtains the rights and powers of a legal mortgage, the charge would
          need to be delivered for registration at H.M. Land Registry, together
          with a duly completed application form and fee and the relevant land
          or charge certificate, and the mortgagee would need to be registered
          as proprietor of such charge.  The registration at H.M. Land Registry
          of the charge by way of legal mortgage created over the property set
          out in Part 1 of Schedule 1 to the Amended Debenture has already been
          effected.  However, because the Supplemental and Amendment Deed varies
          the Debenture we would recommend that an original executed copy of the
          Supplemental and Amendment Deed be submitted to H.M. Land Registry for
          registration.  The execution of the Supplemental and Amendment Deed
          will, in any event, require registration at H.M. Land Registry to be
          made in respect of the charge by way of legal mortgage created over
          the property set out in Part 2 of Schedule 1 to the Amended Debenture.
          The Agent will not have, and may not exercise, any of the powers
          conferred by English law on the owner of a legal mortgage of the Land
          described in Part 2 of Schedule 1 to the Amended Debenture until the
          Agent is registered as the proprietor of the Amended Debenture in
          respect of that Land at H.M. Land Registry.  This will trigger a
          statutory requirement that an application for first registration be
          made at H.M. Land Registry in respect of those properties set out in
          Part 2 of Schedule 1 to the Amended Debenture which are of
          unregistered land.

     (C)  The security interest in the Shares constituted by the Amended
          Debenture is not proposed to be perfected by the registration of the
          Shares in the name of the Agent or its nominee.  That security
          interest therefore constitutes only an equitable charge and, as such,
          is not as favourable to the Agent or the Lenders as a perfected legal
          charge and suffers from the disadvantages inherent in equitable (as
          opposed to legal) charges.  In particular, but without prejudice to
          the foregoing, such an equitable charge may be defeated if the Shares
          are disposed of to a person who acquires the legal title to the Shares
          in good faith for value without notice (actual or constructive) of the
          equitable charge.  The risk of the above occurring is somewhat reduced
          so long as the share certificates relating to the Shares are held by
          the Agent or a nominee of the Agent and replacement certificates
          therefor are not issued.
<PAGE>

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                                                                  --------------

          We recommend, nonetheless, that the Shares are not registered in the
          name of the Agent or its nominee.  If they were there is a risk that
          the Agent and the Lenders could be construed as being "connected" with
          the Parent for the purposes of Section 249 of the Insolvency Act 1986.
          This would have a number of disadvantageous consequences under that
          Act.

     (D)  Floating charges are subject to a number of disadvantages which do not
          apply to fixed charges.  In particular:

          (i)   a floating charge created by a company within twelve months of
                the commencement of its winding up is, unless it is proved that
                the company is solvent immediately after the creation of the
                charge, invalid except to the amount of any cash paid to the
                company at the time of or subsequent to the creation of, and in
                consideration for, the floating charge together with interest
                thereon at a prescribed rate;

          (ii)  a floating charge is, on enforcement, subject to the rights of,
                and accordingly ranks after, unsecured but statutorily preferred
                creditors such as the Inland Revenue; and

          (iii) a fixed charge created after the creation of, and over the same
                assets as, a floating charge may rank ahead of the floating
                charge unless the floating charge contains a prohibition on the
                creation of other charges ranking prior thereto or pari passu
                therewith and the holder of the fixed charge has actual notice
                of such prohibition at the time of taking his charge.

     (E)  We express no opinion as to whether any of the charges created by the
          Amended Debenture and the Amended Deposit Charge Agreement will amount
          to fixed rather than floating charges.  Despite being expressed in
          words which would suffice to create a fixed charge, an English court
          would treat security as a floating charge where effective control of
          the charged assets has not been transferred to the person holding the
          benefit of the security, for example where it appears that it was
          intended that the person granting the charge over the charged assets
          should have the licence to dispose of those charged assets in the
          ordinary course of its business.

     (F)  We express no opinion as to the priority of the security interests
          under or referred to in the Amended Debenture or the Amended Deposit
          Charge Agreement, whether as regards other security that may already
          exist at the time of the creation of the relevant security interest
          under the Amended Debenture or the Amended Deposit Charge Agreement or
          as regards security that may be created thereafter.   So far as the
          latter is concerned, English law is unclear as to priority where a
          subsequent charge is created and further advances are subsequently
          made in reliance of the prior charge.

     (G)  We express no opinion as to the title of the Borrower, the Parent or
          Millennium to the assets to be subject to the security created by the
          Amended Debenture and the Amended Deposit Charge Agreement.  We would,
          however, refer you to:

          (i)   the Report prepared by us dated 23rd January, 1997 in respect of
                the Certificate of Title issued by Linklaters & Paines,
                solicitors for the British Broadcasting Corporation, dated 27th
                September, 1996 (as amended by the Supplemental Certificate
                dated 22nd January, 1997); and

          (ii)  the Report prepared by us dated [ ] June, 1999 in respect of the
                Certificate of Title issued by Norton Rose, solicitors for the
                Borrower, dated [ ] June, 1999.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

     (H)  We express no opinion as to the efficacy of the Amended Debenture in
          so far as it relates to assets which are situated or deemed to be
          situated outside England and Wales or are subject to any law other
          than English law.  Furthermore, we have not made any investigation of
          the assets which are subject to the floating charges created by the
          Amended Debenture and accordingly our opinions set out above must be
          read subject to any limitations or qualifications which may be
          necessary as a result of the nature of, or any matter relating to,
          such assets.

     (I)  Rights and obligations under the Amended Loan Agreement, the Amended
          Debenture and the Amended Deposit Charge Agreement will be subject to
          any law from time to time in force relating to insolvency, liquidation
          or administration or any other law or legal procedure affecting
          generally the enforcement of creditors' rights.

     (J)  In so far as any obligation under the Amended Loan Agreement, the
          Amended Debenture or the Amended Deposit Charge Agreement is to be
          performed in any jurisdiction other than England, an English court may
          have to have regard to the law of that jurisdiction in relation to the
          manner of performance and the steps to be taken in the event of non-
          performance or defective performance.

     (K)  We express no opinion as to whether the equitable remedies of specific
          performance or injunctive relief would be available in respect of any
          obligation of the Borrower or the Parent. These remedies are subject
          to the discretion of the English courts.

     (L)  We express no opinion as to the validity or the binding effect of the
          obligations as set out in Clause 13.1 of the Amended Loan Agreement
          which provide for the payment of interest on overdue amounts.  An
          English court would not give effect to such provisions if it could be
          established that the amount expressed as being payable was such that
          such a clause was in the nature of a penalty (that is to say a
          requirement for a stipulated sum to be paid irrespective of, or
          necessarily greater than, the loss likely to be sustained).

     (M)  Clause 15.6 of the Amended Loan Agreement provides that the
          obligations of the Guarantors will not be affected by any change,
          waiver or release of the Borrower's obligations under the Amended Loan
          Agreement. We express no opinion whether this will be effective where
          the Guarantors have not agreed to that change, waiver or release.

     (N)  Clause 15.8 of the Amended Loan Agreement restricts the taking of
          security and the exercise by the Guarantors of certain rights in
          connection with the obligations of the Guarantors under Clause 15 of
          the Amended Loan Agreement. This is reinforced by the provision that
          the Guarantors will hold on trust for the agent and the lenders all
          amounts received in respect of a proof for amounts due to it by the
          Borrower or any other Guarantor.  We express no opinion as to the
          effectiveness of the trust itself.

     (O)  We express no opinion on Clause 26.1 of the Amended Loan Agreement.
          Any term of the Amended Loan Agreement may in certain circumstances be
          waived or amended other than in writing.

     (P)  We express no opinion as to the validity or binding effect of
          provisions set out in Clause 27 of the Amended Debenture and Clause 15
          of the Amended Deposit Charge Agreement relating to invalidity and
          severability.

     (Q)  There could be circumstances in which an English court would not treat
          as conclusive those certificates and determinations which the Amended
          Loan Agreement and the Amended Deposit Charge Agreement provide are to
          be
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

          conclusive, for example if it could be shown that a certificate or
          determination had an unreasonable or arbitrary basis or was not made
          in good faith.

     (R)  We express no opinion on European Union law as it affects any
          jurisdiction other than England.

RELIANCE
--------

9.   This opinion is addressed to you for your own benefit and as agent for and
     on behalf of the Lenders in connection with the Amended Loan Agreement, the
     Amended Debenture and the Amended Deposit Charge Agreement.  It may not be
     relied upon by any person other than yourselves or the Lenders or used for
     any other purpose and, without our prior written consent, neither its
     contents nor its existence may be disclosed to any other person.

                               Yours faithfully,
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                  SCHEDULE 9:
                       FORM OF OVERDRAFT BANK AGREEMENT

                           OVERDRAFT BANK AGREEMENT

DATE :

PARTIES

1.   [                       ] of [                       ]
     (the "OVERDRAFT BANK")

2.   [                                ] a company incorporated in England
     (number [                   ]) whose registered office is at [Warwick
     Technology Park, Gallows Hill, Heathcote Lane, Warwick CV34 6TN], on its
     own behalf and on behalf of each of the existing Guarantors (each as
     defined in the Loan Agreement referred to below) (the "OVERDRAFT
     BORROWER")/1/

3.   CREDIT SUISSE FIRST BOSTON (the "AGENT"), on its own behalf and on behalf
     of each of  the Lenders (as defined in the Loan Agreement)

BACKGROUND

A Loan Agreement (the "LOAN AGREEMENT") was made on 28th February, 1997 (and
amended on 21st May, 1997 and on [                          ]) between (1)
Castle Transmission International Ltd. as borrower, (2) Castle Transmission
Services (Holdings) Ltd. as guarantor, (3) the lenders named in the Loan
Agreement, (4) Credit Suisse First Boston as Agent and others.  Under the terms
of the Loan Agreement the Lenders agreed to provide to Castle Transmission
International Ltd.  a (Pounds)150,000,000 credit facility.

The Overdraft Bank has provided overdraft facilities (the "OVERDRAFT
FACILITIES") to the Overdraft Borrower and wishes the Overdraft Borrower's
obligations under those Overdraft Facilities to be secured by the Charges.

The parties agree as follows:

1.   INTERPRETATION

     Unless a contrary intention is indicated, words and expressions defined in
     the Loan Agreement and which are not defined in this Agreement will have
     the same meanings when used in this Agreement.  References to the Loan
     Agreement are to that agreement as amended or supplemented.

2.   UNDERTAKINGS OF THE OVERDRAFT BANK

     The Overdraft Bank agrees that:

     (A)  The Overdraft Bank has delivered to the Agent a copy of the document
          (if any exists) describing the terms of the Overdraft Facilities.

     (B)  The Overdraft Bank will notify the Agent of the termination or breach
          of the Overdraft Facilities (or any event which, upon the giving of
          notice, lapse of time or both would give cause for a termination of
          the Overdraft Facilities).

---------------
/1/ Insert details of relevant entity which must be the Borrower or any
     Restricted Subsidiary.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

3.   SECURITY

     By virtue of the execution of this Agreement the amounts due by the
     Overdraft Borrower under the Overdraft Facilities become secured under the
     Charges.  Only a maximum of (Pounds)[       ]/2/ of the amount outstanding
     under the Overdraft Facilities will, however, rank equally with amounts
     outstanding under the Loan Agreement.  The remainder, if any, will rank
     behind.

4.   THE AGENT

4.1  APPOINTMENT

     The Agent is appointed as an agent by the Overdraft Bank.  The Agent is not
     acting as agent of any Company under this Agreement.

4.2  AUTHORITY

     The Agent is authorised to exercise the rights, powers, discretions and
     duties which are specified by the Financing Documents.  The Agent may also
     act in a manner reasonably incidental to these matters.

4.3  DUTIES

     In addition to the obligations of the Agent set out elsewhere in the
     Financing Documents the Agent agrees as follows:

     (A)  NOTICES:  The Agent will as soon as reasonably practicable notify the
          Overdraft Bank of the contents of each notice received from a Company
          under the terms of a Financing Document.  If the notice does not
          affect the Overdraft Bank the Agent may elect not to notify the
          Overdraft Bank.

     (B)  OTHER DOCUMENTS:  When a Company delivers to the Agent any other
          document required to be delivered under a Financing Document the Agent
          will as soon as reasonably practicable provide a copy to the Overdraft
          Bank.  The Overdraft Borrower agrees to reimburse the Agent for the
          costs of preparing any copies required for this purpose.

     (C)  TERMINATION EVENTS:  The Agent will notify the Overdraft Bank of any
          Termination Event or Potential Termination Event.  This obligation
          will not arise, however, until the Agent receives express notice with
          reasonable supporting evidence of the Termination Event or Potential
          Termination Event.  Until this time the Agent is entitled to assume
          that there is no Termination Event or Potential Termination Event.
          The Agent is not required to make inquiries.  Information referred to
          in Clause 4.11 does not have to be disclosed under this sub-clause.

     The duties under this sub-clause will be discharged if the Agent performs
     the corresponding duties to the Overdraft Bank or its affiliate in is
     capacity as a Lender.

4.4  POWERS

     In addition to the powers of the Agent set out elsewhere in the Financing
     Documents the Agent has the following powers:

(A)  PROFESSIONAL ADVISERS:  The Agent may instruct professional advisers to
     provide advice in connection with this Agreement and the Overdraft
     Facilities.

----------
/2/ The aggregate maximum amount included in this space for all Overdraft Banks
    must not exceed (Pounds)5,000,000.  See Clause 19.1(K)(i).
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

     (B)  AUTHORITY FROM INSTRUCTING GROUP: The Agent may take any action which
          is not inconsistent with the Financing Documents and which is
          authorised by an Instructing Group.

     (C)  VIEWS OF INSTRUCTING GROUP: In exercising any of its rights, powers or
          discretions the Agent may seek the views of an Instructing Group. If
          it exercises those rights, powers or discretions in accordance with
          those views the Agent will incur no liability.

     (D)  PROCEEDINGS: The Agent may institute legal proceedings against a
          Company in the name of the Overdraft Bank if the Overdraft Bank
          authorises it to take those proceedings.

     (E)  COMPLIANCE WITH LAW: The Agent may take any action necessary for it to
          comply with applicable laws.

     The Agent is not required to exercise any of these powers and will incur no
     liability if it fails to do so.  In the context of legal proceedings the
     Agent may decline to take any step until it has received indemnities or
     security satisfactory to it.

4.5  RELIANCE

     The Agent is entitled to rely upon each of the following:

     (A)  Advice received from professional advisers.

     (B)  A certificate of fact received from a Company and signed by an
          Authorised Person.

     (C)  Any communication or document believed by the Agent to be genuine.
          The Agent will not be liable for any of the consequences of relying on
          these items.

4.6  EXTENT OF AGENT'S DUTIES

     (A)  NO OTHER DUTIES: The Agent has no obligations or duties other than
          those expressly set out in this Agreement, the Financing Documents and
          the other Overdraft Bank Agreements.

     (B)  ILLEGALITY AND LIABILITY: The Agent is not obliged to do anything
          which is illegal or which may expose it to liability to any person.

     (C)  NOT TRUSTEE: The Agent is not acting as a trustee for any purpose in
          connection with this Agreement, except for its role described in
          Clause 4.13, 4.14 and 4.15.

4.7  RESPONSIBILITY OF THE OVERDRAFT BANK

     The Overdraft Bank is responsible for its own decision to become involved
     in the Overdraft Facilities and its decision to take or not take action
     under the Overdraft Facilities.  It should make its own credit appraisal of
     the Overdraft Borrower and the terms of the Overdraft Facilities.  The
     Agent makes no representation that any information provided to the
     Overdraft Bank before or after the date of this Agreement is true.
     Accordingly the Overdraft Bank should take whatever action it believes is
     necessary to verify that information.  In addition the Agent is not
     responsible for the legality, validity or adequacy of any Financing
     Document or the efficacy of the Security under the Charges.  The Overdraft
     Bank will satisfy itself on these issues.
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

4.8  LIMITATION OF LIABILITY

     (A)  AGENT: The Agent will not be liable to the Overdraft Bank for any
          action or non-action under or in connection with the Financing
          Documents unless caused by its gross negligence or wilful misconduct.

     (B)  DIRECTORS, EMPLOYEES AND AGENTS: No director, employee or agent of the
          Agent will be liable to the Overdraft Bank in relation to the
          Financing Documents. The Overdraft Bank agrees not to seek to impose
          this liability upon them.

4.9  BUSINESS OF THE AGENT

     Despite its role as agent of the Overdraft Bank the Agent may:

     (A)  participate as a Lender in the Facilities or as a Hedging Bank or an
          Overdraft Bank,

     (B)  carry on all types of business with any Company, and

     (C)  act as agent for other groups of lenders to any Company or other
          borrowers.

4.10 INDEMNITY

     The Overdraft Bank agrees to reimburse the Agent for all losses and
     expenses incurred by the Agent as a result of its appointment as Agent or
     arising from its activities as Agent in relation to this Agreement. These
     losses and expenses will take into account amounts reimbursed to the Agent
     by the Overdraft Borrower. The Overdraft Bank is not liable for losses and
     expenses arising from the gross negligence or willful misconduct of the
     Agent.

4.11 CONFIDENTIAL INFORMATION

     The Agent is not required to disclose to the Overdraft Bank any
     information:

(A)  which is not received by it in its capacity as Agent, or
(B)  which it receives, with its consent, on a confidential basis.
4.12 RESIGNATION AND REMOVAL

     The Agent may resign or be removed in accordance with the terms of the Loan
     Agreement.  In this case the Overdraft Bank agrees to co-operate, to the
     extent reasonably necessary, with the transfer of function to a new Agent.

4.13 OBLIGATION TO PAY TO THE AGENT

     The Overdraft Borrower agrees to pay to the Agent on demand each amount due
     and payable by the Overdraft Borrower to the Overdraft Bank under the
     Overdraft Facilities.  This obligation will be satisfied to the extent that
     the amount is paid to the Overdraft Bank.  It does not affect the rights of
     the Overdraft Bank or the obligations of the Overdraft Borrower to the
     Overdraft Bank.  A payment of an amount under this sub-clause will,
     however, satisfy the Overdraft Borrower's obligation to pay that amount to
     the Overdraft Bank.

4.14 HOLDING AS SECURITY TRUSTEE

     The Agent agrees that it holds the benefit of:

     (A)  Clause 4.13; and

     (B)  the Charges and all Security arising from the Charges,

<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------
          as trustee on behalf of:

          (i)    the Lenders;

          (ii)   each Hedging Bank which executed a Hedging Bank Agreement in
                 accordance with Clause 20.1(CC); and

          (iii)  each Overdraft Bank.

     All the Agent's rights and claims arising under the items mentioned in
     paragraphs (A) and (B) are vested in it on this basis.

4.15 SECURITY

     (A)  PERFECTION OF SECURITY AND TITLE:  The Agent:

          (i)    is not liable for any failure, omission or defect in perfecting
                 the Security constituted by any Charge;

          (ii)   may accept without enquiry the title to the property over which
                 Security is intended to be created by any Charge.

     (B)  CUSTODY: The Agent is not under any obligation to hold any title
          deeds, security documents or any other documents in connection with
          the property charged by any Charge or to take any steps to protect or
          preserve these documents. The Agent may permit a Company to retain all
          these documents in its possession or may deposit them with a nominee
          or custodian. This paragraph does not apply to documents held in
          relation to a legal mortgage over, or over an interest in, real
          property or shares.

5.   NOTICES

     Any notice to be delivered to the Overdraft Bank may be delivered to it, or
     its affiliate, as a Lender in the manner described in the Loan Agreement.

6.   LAW

     This Agreement is to be governed by and construed in accordance with
     English law.

SIGNATURES

[Name of Overdraft Bank]

By:

[Name of Overdraft Borrower]

By:

[Name of Agent]

By:
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                 SCHEDULE 10:
                        FORM OF HEDGING BANK AGREEMENT

                            HEDGING BANK AGREEMENT

DATE :

PARTIES

1.   [                                 ] of [
     ] (the "HEDGING BANK")

2.   CASTLE TRANSMISSION INTERNATIONAL LTD., a company incorporated in England
     (number 3196207) whose registered office is at Warwick Technology Park,
     Heathcote Lane, Warwick CV34 5DS, on its own behalf and on behalf of each
     of the existing Guarantors (each as defined in the Loan Agreement referred
     to below)

3.   CREDIT SUISSE FIRST BOSTON (the "AGENT"), on its own behalf and on behalf
     of each of  the Lenders (as defined in the Loan Agreement)

BACKGROUND

A Loan Agreement (the "LOAN AGREEMENT") was made on 28th February, 1997 (and
amended on 21st May, 1997 and on [                 ]) between (1) Castle
Transmission International Ltd. as borrower, (2) Castle Transmission Services
(Holdings) Ltd. as guarantor, (3) the lenders named in the Loan Agreement, (4)
Credit Suisse First Boston as Agent and others. Under the terms of the Loan
Agreement the Lenders agreed to provide to the Borrower a (Pounds)150,000,000
credit facility.

The Hedging Bank has entered into a Hedging Contract with the Borrower and
wishes the Borrower's obligations under that Hedging Contract to be secured by
the Charges.

The parties agree as follows:

1.   INTERPRETATION

     Unless a contrary intention is indicated, words and expressions defined in
     the Loan Agreement and which are not defined in this Agreement will have
     the same meanings when used in this Agreement.  References to the Loan
     Agreement are to that agreement as amended or supplemented.

2.   UNDERTAKINGS OF THE HEDGING BANK

     The Hedging Bank agrees that:

     (A)  The Hedging Contract complies with the requirements of Schedule 11 to
          the Loan Agreement.

     (F)  The Hedging Bank will notify the Agent of the termination or breach of
          the Hedging Contract (or any event which, upon the giving of notice,
          lapse of time or both would give cause for a termination of the
          Hedging Contract).

     (G)  The Hedging Bank has delivered to the Agent a copy of the Hedging
          Contract. It will deliver to the Agent copies of all confirmations
          under the Hedging Contract. Before entering into a transaction which
          is to be incorporated in the Hedging Contract the Hedging Bank will
          use reasonable endeavours to ensure that:

         (i)    the proposed transaction will not cause the Borrower to be in
                default under Clause 20.1(CC) of the Loan Agreement; and
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

          (ii)  the transaction forms part of the implementation of the Hedging
                Policy.

          This obligation may be discharged by the Hedging Bank receiving a
          certificate from the Borrower to this effect.

     (H)  If an Event of Default (as described in the Hedging Contract) occurs
          and is continuing under the Hedging Contract, the Agent (acting on the
          instructions of an Instructing Group) shall be entitled, by notice in
          writing to the Hedging Bank and the Borrower, to require the Hedging
          Contract to be terminated and closed out in accordance with its terms
          as soon as possible after the notice is given. If there is a net
          amount payable to the Borrower under the Hedging Contract upon its
          termination and close out, the Hedging Bank shall pay that net amount
          to the Agent to discharge amounts due under the Financing Documents,
          any other Hedging Contracts and the Overdraft Facilities, or (where no
          such amounts are due) into an account held with the Agent or a nominee
          of the Agent and charged to the Agent.

     (I)  Any waiver of a Termination Event given by the Agent under the Loan
          Agreement will be treated as given by the Hedging Bank in the same
          terms in respect of the equivalent Event of Default under the Hedging
          Contract.

3.   SECURITY

     By virtue of the execution of this Agreement the amounts due by the
     Borrower under the Hedging Contract with the Hedging Bank become secured
     under the Charges.

4.   THE AGENT

4.1  APPOINTMENT

     The Agent is appointed as an agent by the Hedging Bank.  The Agent is not
     acting as agent of any Company under this Agreement.

4.2  AUTHORITY

     The Agent is authorised to exercise the rights, powers, discretions and
     duties which are specified by the Financing Documents.  The Agent may also
     act in a manner reasonably incidental to these matters.

4.3  DUTIES

     In addition to the obligations of the Agent set out elsewhere in the
     Financing Documents the Agent agrees as follows:

     (A)  NOTICES:  The Agent will as soon as reasonably practicable notify the
          Hedging Bank of the contents of each notice received from a Company
          under the terms of a Financing Document.  If the notice does not
          affect the Hedging Bank the Agent may elect not to notify the Hedging
          Bank.

     (B)  OTHER DOCUMENTS:  When a Company delivers to the Agent any other
          document required to be delivered under a Financing Document the Agent
          will as soon as reasonably practicable provide a copy to the Hedging
          Bank.  The Borrower agrees to reimburse the Agent for the costs of
          preparing any copies required for this purpose.

     (C)  TERMINATION EVENTS:  The Agent will notify the Hedging Bank of any
          Termination Event or Potential Termination Event.  This obligation
          will not arise, however, until the Agent receives express notice with
          reasonable supporting evidence of the Termination Event or Potential
          Termination Event.  Until this time the Agent is entitled to assume
          that there is no Termination Event or Potential
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

          Termination Event. The Agent is not required to make inquiries.
          Information referred to in Clause 4.11 does not have to be disclosed
          under this sub-clause.

     The duties under this sub-clause will be discharged if the Agent performs
     the corresponding duties to the Hedging Bank or its affiliate in is
     capacity as a Lender.

4.4  POWERS

     In addition to the powers of the Agent set out elsewhere in the Financing
     Documents the Agent has the following powers:

     (A)  PROFESSIONAL ADVISERS: The Agent may instruct professional advisers to
          provide advice in connection with this Agreement and the Hedging
          Contract.

     (B)  AUTHORITY FROM INSTRUCTING GROUP: The Agent may take any action which
          is not inconsistent with the Financing Documents and which is
          authorised by an Instructing Group.

     (C)  VIEWS OF INSTRUCTING GROUP: In exercising any of its rights, powers or
          discretions the Agent may seek the views of an Instructing Group. If
          it exercises those rights, powers or discretions in accordance with
          those views the Agent will incur no liability.

     (D)  PROCEEDINGS: The Agent may institute legal proceedings against a
          Company in the name of the Hedging Bank if the Hedging Bank authorises
          it to take those proceedings.

     (E)  COMPLIANCE WITH LAW: The Agent may take any action necessary for it to
          comply with applicable laws.

     The Agent is not required to exercise any of these powers and will incur no
     liability if it fails to do so.  In the context of legal proceedings the
     Agent may decline to take any step until it has received indemnities or
     security satisfactory to it.

4.5  RELIANCE

     The Agent is entitled to rely upon each of the following:

     (A)  Advice received from professional advisers.

     (B)  A certificate of fact received from a Company and signed by an
          Authorised Person.

     (C)  Any communication or document believed by the Agent to be genuine.
          The Agent will not be liable for any of the consequences of relying on
          these items.

4.6  EXTENT OF AGENT'S DUTIES

     (A)  NO OTHER DUTIES: The Agent has no obligations or duties other than
          those expressly set out in this Agreement, the Financing Documents,
          any other Hedging Bank Agreements and the Overdraft Bank Agreements.

     (B)  ILLEGALITY AND LIABILITY: The Agent is not obliged to do anything
          which is illegal or which may expose it to liability to any person.

     (C)  NOT TRUSTEE: The Agent is not acting as a trustee for any purpose in
          connection with this Agreement, except for its role described in
          Clause 4.13, 4.14 and 4.15.
<PAGE>

4.7  RESPONSIBILITY OF THE HEDGING BANK

     The Hedging Bank is responsible for its own decision to become involved in
     the Hedging Contract and its decision to take or not take action under the
     Hedging Contract.  It should make its own credit appraisal of the Borrower
     and the terms of the Hedging Contract.  The Agent makes no representation
     that any information provided to the Hedging Bank before or after the date
     of this Agreement is true.  Accordingly the Hedging Bank should take
     whatever action it believes is necessary to verify that information.  In
     addition the Agent is not responsible for the legality, validity or
     adequacy of any Financing Document or the efficacy of the Security under
     the Charges.  The Hedging Bank will satisfy itself on these issues.

4.8  LIMITATION OF LIABILITY

     (A)  AGENT: The Agent will not be liable to the Hedging Bank for any action
          or non-action under or in connection with the Financing Documents
          unless caused by its gross negligence or wilful misconduct.

     (B)  DIRECTORS, EMPLOYEES AND AGENTS: No director, employee or agent of the
          Agent will be liable to the Hedging Bank in relation to the Financing
          Documents. The Hedging Bank agrees not to seek to impose this
          liability upon them.

4.9  BUSINESS OF THE AGENT

     Despite its role as agent of the Hedging Bank the Agent may:

     (A)  participate as a Lender in the Facilities or as a Hedging Bank or an
          Overdraft Bank,

     (B)  carry on all types of business with any Company, and

     (C)  act as agent for other groups of lenders to any Company or other
          borrowers.

4.10 INDEMNITY

     The Hedging Bank agrees to reimburse the Agent for all losses and expenses
     incurred by the Agent as a result of its appointment as Agent or arising
     from its activities as Agent in relation to this Agreement.  These losses
     and expenses will take into account amounts reimbursed to the Agent by the
     Borrower.  The Hedging Bank is not liable for losses and expenses arising
     from the gross negligence or willful misconduct of the Agent.

4.11 CONFIDENTIAL INFORMATION

     The Agent is not required to disclose to the Hedging Bank any information:

     (A)  which is not received by it in its capacity as Agent, or

     (B)  which it receives, with its consent, on a confidential basis.

4.12 RESIGNATION AND REMOVAL

     The Agent may resign or be removed in accordance with the terms of the Loan
     Agreement.  In this case the Hedging Bank agrees to co-operate, to the
     extent reasonably necessary, with the transfer of function to a new Agent.

4.13 OBLIGATION TO PAY TO THE AGENT

     The Borrower agrees to pay to the Agent on demand each amount due and
     payable by the Borrower to the Hedging Bank under the Hedging Contract.
     This obligation will be satisfied to the extent that the amount is paid to
     the Hedging Bank.  It does not affect the
<PAGE>

     rights of the Hedging Bank or the obligation of the Borrower to the Hedging
     Bank. A payment of an amount under this sub-clause will, however, satisfy
     the Borrower's obligation to pay that amount to the Hedging Bank.

4.14 HOLDING AS SECURITY TRUSTEE

     The Agent agrees that it holds the benefit of:

     (A)  Clause 4.13; and

     (B)  the Charges and all Security arising from the Charges, as trustee on
          behalf of:

          (i)   the Lenders;

          (ii)  each Hedging Bank which executes a Hedging Bank Agreement in
                accordance with Clause 20.1(CC)(ii) of the Loan Agreement; and

          (iii)  each Overdraft Bank.

     All the Agent's rights and claims arising under the items mentioned in
     paragraphs (A) and (B) are vested in it on this basis.

4.15 SECURITY

     (A)  PERFECTION OF SECURITY AND TITLE:  The Agent:

          (i)   is not liable for any failure, omission or defect in perfecting
                the Security constituted by any Charge;

          (ii)  may accept without enquiry the title to the property over which
                Security is intended to be created by any Charge.

     (B)  CUSTODY: The Agent is not under any obligation to hold any title
          deeds, security documents or any other documents in connection with
          the property charged by any Charge or to take any steps to protect or
          preserve these documents. The Agent may permit a Company to retain all
          these documents in its possession or may deposit them with a nominee
          or custodian. This paragraph does not apply to documents held in
          relation to a legal mortgage over, or over an interest in, real
          property or shares.

5.   NOTICES

     Any notice to be delivered to the Hedging Bank may be delivered to it, or
     its affiliate, as a Lender in the manner described in the Loan Agreement.

6.   LAW

     This Agreement is to be governed by and construed in accordance with
     English law.

SIGNATURES

[Name of Hedging Bank]

By:
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

Castle Transmission International Ltd.

By:

[Name of Agent]

By:
<PAGE>

                                                                  CONFORMED COPY
                                                                  --------------

                                 SCHEDULE 11:
                      REQUIREMENTS FOR HEDGING CONTRACTS

     Each Hedging Contract is to be on the terms of the International Swaps &
     Derivatives Association, Inc. ("ISDA") 1992 Master Agreement
     (Multicurrency-Cross Border) (the "ISDA AGREEMENT").  Each Hedging Contact
     will provide for, together with such other terms as the relevant Hedging
     Bank and the Borrower may agree and which do not conflict with, the
     following:

     (a)  Sections 5(a)(i) to (viii) of the ISDA Agreement not to apply as
          Events of Default with respect to the Borrower.  The Termination
          Events (as defined in the Loan Agreement) shall be the only Events of
          Default with respect to the Borrower for the purposes of the ISDA
          Agreement and, accordingly, the automatic termination provisions of
          Section 6(a) of the ISDA Agreement shall not be applicable.

     (b)  Any notice given pursuant to Section 5 or Section 6 of the ISDA
          Agreement to also be given contemporaneously to the Agent.

     (c)  If any Event of Default under the ISDA Agreement occurs (as referred
          to in paragraph (a) above) the relevant Hedging Bank to be entitled to
          designate a day as an Early Termination Date (by notice to the
          Borrower in accordance with Section 6(a) of the ISDA Agreement) only
          if all principal amounts outstanding under the Facilities are due and
          payable or if the Agent has cancelled the Facilities or demanded
          immediate repayment of the Loan under Clause 20.2 of this Agreement or
          required the Hedging Contract to be terminated under Clause 2(D) of
          the Hedging Bank Agreement with that Hedging Bank.  This notice must
          also be given to the Agent.

     (d)  No contractual rights of set-off to either party additional to such
          rights contained in the unamended form of the ISDA Agreement.

     (e)  Section 2(c)(ii) of the ISDA Agreement not to apply to any
          Transactions and thus payments under all Transactions under the same
          Hedging Contract to be made in the same currency on the same day shall
          be netted.

     (f)  An acknowledgement of the existence of this Agreement and the Charges.

     (g)  An election for "Second Method and Market Quotation" in the "Schedule"
          as the payment method applicable.

     (h)  The governing law to be English law.

     Terms used in this schedule have the meanings given to them in the ISDA
     Agreement or, where the context does not so permit, the meanings given to
     them in this Agreement.<PAGE>

                                                                   EXHIBIT 10.36

================================================================================

                                $1,200,000,000

                               CREDIT AGREEMENT

                                     among

                        CROWN CASTLE OPERATING COMPANY,
                                 as Borrower,

                       CROWN CASTLE INTERNATIONAL CORP.,

                              The Several Lenders
                       from Time to Time Parties Hereto,

                           THE CHASE MANHATTAN BANK,
                           as Administrative Agent,

                    CREDIT SUISSE FIRST BOSTON CORPORATION
                                      and
                          KEY CORPORATE CAPITAL INC.,
                            as Syndication Agents,

                                      and

                           THE BANK OF NOVA SCOTIA,
                            as Documentation Agent

                          Dated as of March 15, 2000

================================================================================

                             CHASE SECURITIES INC.
                                      and
                    CREDIT SUISSE FIRST BOSTON CORPORATION,
               as Joint Lead Arrangers and Joint Book Managers.
<PAGE>

                               TABLE OF CONTENTS

                                                                            Page
                                                                            ----

SECTION 1. DEFINITIONS ......................................................  1
    1.1 Defined Terms .......................................................  1
    1.2 Other Definitional Provisions ....................................... 22

SECTION 2. AMOUNT AND TERMS OF COMMITMENTS .................................. 23
    2.1  Commitments; Increases in the Tranche A Term Facility and
         the Revolving Facility; Incremental Term Loans ..................... 23
    2.2  Procedure for Borrowing ............................................ 25
    2.3  Repayment of Loans; Early Maturity ................................. 25
    2.4  Swingline Commitment ............................................... 27
    2.5  Procedure for Swingline Borrowing; Refunding of Swingline Loans..... 27
    2.6  Commitment Fees, etc. .............................................. 28
    2.7  Termination or Reduction of Commitments ............................ 29
    2.8  Optional Prepayments ............................................... 29
    2.9  Mandatory Prepayments and Commitment Reductions .................... 29
    2.10 Conversion and Continuation Options ................................ 30
    2.11 Limitations on Eurodollar Tranches ................................. 31
    2.12 Interest Rates and Payment Dates ................................... 31
    2.13 Computation of Interest and Fees ................................... 31
    2.14 Inability to Determine Interest Rate................................ 32
    2.15 Pro Rata Treatment and Payments .................................... 32
    2.16 Requirements of Law ................................................ 34
    2.17 Taxes .............................................................. 35
    2.18 Indemnity .......................................................... 36
    2.19 Change of Lending Office ........................................... 37
    2.20 Replacement of Lenders ..............................................37

SECTION 3. LETTERS OF CREDIT ................................................ 37
    3.1 L/C Commitment ...................................................... 37
    3.2 Procedure for Issuance of Letter of Credit........................... 38
    3.3 Fees and Other Charges .............................................. 38
    3.4 L/C Participations .................................................. 38
    3.5 Reimbursement Obligation of the Borrower ............................ 39
    3.6 Obligations Absolute ................................................ 39
    3.7 Letter of Credit Payments ........................................... 40
    3.8 Applications ........................................................ 40

SECTION 4. REPRESENTATIONS AND WARRANTIES ................................... 40
    4.1 Financial Condition ................................................. 40
    4.2 No Change ........................................................... 41
    4.3 Corporate Existence; Compliance with Law ............................ 41
    4.4 Corporate Power; Authorization; Enforceable Obligations.............. 41
    4.5 No Legal Bar ........................................................ 42
    4.6 Litigation .......................................................... 42
    4.7 No Default .......................................................... 42
<PAGE>

                                                                            Page
                                                                            ----
    4.8  Ownership of Property; Liens ....................................... 42
    4.9  Intellectual Property .............................................. 42
    4.10 Taxes .............................................................. 42
    4.11 Federal Regulations ................................................ 43
    4.12 Labor Matters ...................................................... 43
    4.13 ERISA .............................................................. 43
    4.14 Investment Company Act; Other Regulations .......................... 43
    4.15 Subsidiaries ....................................................... 43
    4.16 Use of Proceeds .................................................... 44
    4.17 Environmental Matters .............................................. 44
    4.18 Accuracy of Information, etc ....................................... 44
    4.19 Security Interests ................................................. 45
    4.20 Solvency ........................................................... 45
    4.21 Year 2000 Matters .................................................. 45

SECTION 5. CONDITIONS PRECEDENT ............................................. 45
    5.1  Conditions to Initial Extension of Credit........................... 45
    5.2  Conditions to Each Extension of Credit.............................. 47

SECTION 6. AFFIRMATIVE COVENANTS ............................................ 48
    6.1  Financial Statements ............................................... 48
    6.2  Certificates; Other Information .................................... 49
    6.3  Payment of Obligations ............................................. 50
    6.4  Maintenance of Existence; Compliance ............................... 50
    6.5  Maintenance of Property; Insurance ................................. 50
    6.6  Inspection of Property; Books and Records; Discussions.............. 50
    6.7  Notices ............................................................ 51
    6.8  Environmental Laws ................................................. 51
    6.9  Interest Rate Protection ........................................... 52
    6.10 Additional Collateral, etc ......................................... 52
    6.11 Organizational Separateness ........................................ 53
    6.12 Australian Security Documents ...................................... 54
SECTION 7. NEGATIVE COVENANTS ............................................... 54
    7.1  Financial Condition Covenants ...................................... 54
    7.2  Indebtedness ....................................................... 55
    7.3  Liens .............................................................. 56
    7.4  Fundamental Changes ................................................ 58
    7.5  Disposition of Property ............................................ 58
    7.6  Restricted Payments ................................................ 59
    7.7  Investments ........................................................ 60
    7.8  Certain Payments and Modifications of Certain Agreements............ 61
    7.9  Transactions with Affiliates ....................................... 61
    7.10 Sales and Leasebacks ............................................... 61
    7.11 Changes in Fiscal Periods .......................................... 61
    7.12 Negative Pledge Clauses ............................................ 61
    7.13 Clauses Restricting Subsidiary Distributions........................ 62
    7.14 Lines of Business .................................................. 62
    7.15 Holding Company Status ............................................. 62

                                     -ii-
<PAGE>

                                                                            Page
                                                                            ----

    7.16  Communications Tower Facilities .................................   62
    7.17  Unrestricted Subsidiary Capital Stock............................   62
    7.18  GTE JV; Specified Non-Wholly Owned Subsidiaries..................   62
    7.19  Designation of Unrestricted Subsidiaries as Subsidiaries.........   63
    7.20  Designation of Subsidiaries as Unrestricted Subsidiaries.........   63

SECTION 8. EVENTS OF DEFAULT ...............................................  63

SECTION 9. THE AGENTS ....................................................... 66
    9.1   Appointment ....................................................... 66
    9.2   Delegation of Duties .............................................. 66
    9.3   Exculpatory Provisions ............................................ 66
    9.4   Reliance by Administrative Agent .................................. 66
    9.5   Notice of Default ................................................. 67
    9.6   Non-Reliance on Agents and Other Lenders .......................... 67
    9.7   Indemnification ................................................... 67
    9.8   Agent in Its Individual Capacity................................... 68
    9.9   Successor Administrative Agent .................................... 68
    9.10  Documentation Agent and Syndication Agent ......................... 68

SECTION 10. MISCELLANEOUS ................................................... 68
    10.1  Amendments and Waivers ............................................ 68
    10.2  Notices ........................................................... 70
    10.3  No Waiver; Cumulative Remedies .................................... 70
    10.4  Survival of Representations and Warranties......................... 70
    10.5  Payment of Expenses and Taxes ..................................... 70
    10.6  Successors and Assigns; Participations and Assignments............. 71
    10.7  Adjustments; Set-off .............................................. 74
    10.8  Counterparts ...................................................... 74
    10.9  Severability ...................................................... 74
    10.10 Integration ....................................................... 74
    10.11 GOVERNING LAW ..................................................... 75
    10.12 Submission To Jurisdiction; Waivers ............................... 75
    10.13 Acknowledgements .................................................. 75
    10.14 Releases of Guarantees and Liens .................................. 75
    10.15 Confidentiality ................................................... 76
    10.16 WAIVERS OF JURY TRIAL ............................................. 76

                                     -iii-
<PAGE>

ANNEX:
-----

A            Pricing Grid

SCHEDULES:
---------

1.1          Commitments
4.4          Consents, Authorizations, Filings and Notices
4.15         Subsidiaries
4.19         UCC Filing Jurisdictions
7.2(d)       Existing Indebtedness
7.3(f)       Existing Liens

EXHIBITS:
--------

A            Form of Guarantee and Collateral Agreement
B            Form of Compliance Certificate
C            Form of Closing Certificate
D-1          Form of New Lender Supplement
D-2          Form of Increased Facility Activation Notice
E            Form of Assignment and Acceptance
F            Form of Legal Opinion of Cravath, Swaine & Moore
G            Form of Prepayment Option Notice
H            Form of Exemption Certificate
I            Form of Permitted Borrower Subordinated Note.

                                     -iv-
<PAGE>

       CREDIT AGREEMENT, dated as of March 15, 2000, among CROWN CASTLE

INTERNATIONAL CORP., a Delaware corporation ("Holdings"), CROWN CASTLE OPERATING
COMPANY, a Delaware corporation (the "Borrower"), the several banks and other
financial institutions or entities from time to time parties to this Agreement
(the "Lenders"), THE BANK OF NOVA SCOTIA, as documentation agent (in such
capacity, the "Documentation Agent"), CREDIT SUISSE FIRST BOSTON and KEY
CORPORATE CAPITAL INC., as syndication agents (in such capacity, the
"Syndication Agents"), and THE CHASE MANHATTAN BANK, as administrative agent (in
such capacity, the "Administrative Agent").

          The parties hereto hereby agree as follows:

                            SECTION 1. DEFINITIONS

          1.1 Defined Terms. As used in this Agreement, the terms listed in this
Section 1.1 shall have the respective meanings set forth in this Section 1.1.

          "ABR": for any day, a rate per annum (rounded upwards, if necessary,
to the next 1/16 of 1%) equal to the greatest of (a) the Prime Rate in effect on
such day, (b) the Base CD Rate in effect on such day plus 1% and (c) the Federal
Funds Effective Rate in effect on such day plus 1/2 of 1%. For purposes hereof:
"Prime Rate" shall mean the rate of interest per annum publicly announced from
time to time by Chase as its prime rate in effect at its principal office in
New York City (the Prime Rate not being intended to be the lowest rate of
interest charged by Chase in connection with extensions of credit to debtors);
"Base CD Rate" shall mean the sum of (a) the product of (i) the Three-Month
Secondary CD Rate and (ii) a fraction, the numerator of which is one and the
denominator of which is one minus the C/D Reserve Percentage and (b) the C/D
Assessment Rate; and "Three-Month Secondary CD Rate" shall mean, for any day,
the secondary market rate for three-month certificates of deposit reported as
being in effect on such day (or, if such day shall not be a Business Day, the
next preceding Business Day) by the Board through the public information
telephone line of the Federal Reserve Bank of New York (which rate will, under
the current practices of the Board, be published in Federal Reserve Statistical
Release H.15(519) during the week following such day), or, if such rate shall
not be so reported on such day or such next preceding Business Day, the average
of the secondary market quotations for three-month certificates of deposit of
major money center banks in New York City received at approximately 10:00 A.M.,
New York City time, on such day (or, if such day shall not be a Business Day, on
the next preceding Business Day) by Chase from three New York City negotiable
certificate of deposit dealers of recognized standing selected by it. Any change
in the ABR due to a change in the Prime Rate, the Three-Month Secondary CD Rate
or the Federal Funds Effective Rate shall be effective as of the opening of
business on the effective day of such change in the Prime Rate, the Three-Month
Secondary CD Rate or the Federal Funds Effective Rate, respectively.

          "ABR Loans": Loans the rate of interest applicable to which is based
upon the ABR.

          "Adjustment Date": as defined in the Pricing Grid.

          "Administrative Agent": as defined in the preamble hereto.

          "Affiliate": as to any Person, any other Person that, directly or
indirectly, is in control of, is controlled by, or is under common control with,
such Person. For purposes of this definition, "control" of a Person means the
power, directly or indirectly, either to (a) vote 10% or more of the securities
having ordinary voting power for the election of directors (or persons
performing similar functions) of
<PAGE>

                                                                               2

such Person or (b) direct or cause the direction of the management and policies
of such Person, whether by contract or otherwise.

          "Agents": the collective reference to the Syndication Agents, the
Documentation Agent and the Administrative Agent.

          "Aggregate Exposure": with respect to any Lender at any time, an
amount equal to the sum of (a) the aggregate then unpaid principal amount of
such Lender's Term Loans, (b) the amount of such Lender's Tranche A Term
Commitment then in effect and (c) the amount of such Lender's Revolving
Commitment then in effect or, if the Revolving Commitments have been terminated,
the amount of such Lender's Revolving Extensions of Credit then outstanding.

          "Aggregate Exposure Percentage": with respect to any Lender at any
time, the ratio (expressed as a percentage) of such Lender's Aggregate Exposure
at such time to the Aggregate Exposure of all Lenders at such time.

          "Agreement": this Credit Agreement, as amended, supplemented or
otherwise modified from time to time.

          "Applicable Margin": (a) with respect to Tranche A Term Loans, Tranche
B Term Loans, Revolving Loans and Swingline Loans, the per annum rates
determined in accordance with the Pricing Grid and (b) with respect to
Incremental Term Loans, such per annum rates as shall be agreed to by the
Borrower and the applicable Incremental Term Lenders as shown in the applicable
Increased Facility Activation Notice.

          "Application": an application, in such form as the relevant Issuing
Lender may specify from time to time, requesting such Issuing Lender to open a
Letter of Credit.

          "Approved Fund": with respect to any Lender that is a fund that
invests in commercial loans, any other fund that invests in commercial loans and
is managed or advised by the same investment advisor as such Lender or by an
Affiliate of such investment advisor.

          "Asset Sale": any Disposition of property or series of related
Dispositions of property (excluding any such Disposition permitted by clause
(a), (b), (c), (d), (f) or (g) of Section 7.5) that yields gross proceeds to the
Borrower or any of its Subsidiaries (valued at the initial principal amount
thereof in the case of non-cash proceeds consisting of notes or other debt
securities and valued at fair market value in the case of other non-cash
proceeds) in excess of $1,000,000.

          "Assignee": as defined in Section 10.6(c).

          "Assignment and Acceptance": an Assignment and Acceptance,
substantially in the form of Exhibit E.

          "Assignor": as defined in Section 10.6(c).

          "Aus$": the lawful currency of Australia.
<PAGE>

                                                                               3

          "Australian Intercompany Loans": loans from the Borrower to the
Australian Subsidiary in an aggregate principal amount not to exceed the Dollar
equivalent of Aus$220,000,000 at any one time outstanding.

          "Australian Subsidiary": CCAL Towers PTY Limited ACN 090 873 019.

          "Available Revolving Commitment": as to any Revolving Lender at any
time, the amount by which (a) such Lender's Revolving Commitment then in effect
exceeds (b) such Lender's Revolving Extensions of Credit then outstanding;
provided, that in calculating any Lender's Revolving Extensions of Credit for
the purpose of determining such Lender's Available Revolving Commitment pursuant
to Section 2.6(a), the aggregate principal amount of Swingline Loans then
outstanding shall be deemed to be zero.

          "Benefitted Lender": as defined in Section 10.7(a).

          "Board": the Board of Governors of the Federal Reserve System of the
United States (or any successor).

          "Borrower": as defined in the preamble hereto.

          "Borrowing Date": any Business Day specified by the Borrower as a date
on which the Borrower requests the relevant Lenders to make Loans hereunder.

          "Business": as defined in Section 4.17(b).

          "Business Day": a day other than a Saturday, Sunday or other day on
which commercial banks in New York City are authorized or required by law to
close, provided, that with respect to notices and determinations in connection
with, and payments of principal and interest on, Eurodollar Loans, such day is
also a day for trading by and between banks in Dollar deposits in the interbank
eurodollar market.

          "Capital Expenditures": for any period, with respect to any Person,
the aggregate of all expenditures by such Person and its Subsidiaries for the
acquisition or leasing (pursuant to a capital lease) of fixed or capital assets
or additions to equipment (including replacements, capitalized repairs and
improvements during such period) that should be capitalized under GAAP on a
consolidated balance sheet of such Person and its Subsidiaries.

          "Capital Lease Obligations": as to any Person, the obligations of such
Person to pay rent or other amounts under any lease of (or other arrangement
conveying the right to use) real or personal property, or a combination thereof,
which obligations are required to be classified and accounted for as capital
leases on a balance sheet of such Person under GAAP and, for the purposes of
this Agreement, the amount of such obligations at any time shall be the
capitalized amount thereof at such time determined in accordance with GAAP.

          "Capital Stock": any and all shares, interests, participations or
other equivalents (however designated) of capital stock of a corporation, any
and all equivalent ownership interests in a Person (other than a corporation)
and any and all warrants, rights or options to purchase any of the foregoing.
<PAGE>

                                                                               4

          "Cash Equivalents": (a) marketable direct obligations issued by, or
unconditionally guaranteed by, the United States Government or issued by any
agency thereof and backed by the full faith and credit of the United States, in
each case maturing within one year from the date of acquisition;
(b) certificates of deposit, time deposits, eurodollar time deposits or
overnight bank deposits having maturities of six months or less from the date of
acquisition issued by any Lender or by any commercial bank organized under the
laws of the United States or any state thereof having combined capital and
surplus of not less than $500,000,000; (c) commercial paper of an issuer rated
at least A-1 by Standard & Poor's Ratings Services ("S&P") or P-1 by Moody's
Investors Service, Inc. ("Moody's"), or carrying an equivalent rating by a
nationally recognized rating agency, if both of the two named rating agencies
cease publishing ratings of commercial paper issuers generally, and maturing
within six months from the date of acquisition; (d) repurchase obligations of
any Lender or of any commercial bank satisfying the requirements of clause (b)
of this definition, having a term of not more than 30 days, with respect to
securities issued or fully guaranteed or insured by the United States
government; (e) securities with maturities of one year or less from the date of
acquisition issued or fully guaranteed by any state, commonwealth or territory
of the United States, or by any political subdivision or taxing authority of any
such state, commonwealth or territory, the securities of which state,
commonwealth, territory, political subdivision or taxing authority (as the case
may be) are rated at least A by S&P or A2 by Moody's; (f) securities with
maturities of six months or less from the date of acquisition backed by standby
letters of credit issued by any Lender or any commercial bank satisfying the
requirements of clause (b) of this definition; (g) shares of money market mutual
or similar funds which invest substantially exclusively in assets satisfying the
requirements of clauses (a) through (f) of this definition or (h) in the case of
any Foreign Subsidiary (i) marketable direct obligations issued by, or
unconditionally guaranteed by, the sovereign nation in which such Foreign
Subsidiary is organized and is conducting business or issued by any agency of
such sovereign nation and backed by the full faith and credit of such sovereign
nation, in each case maturing within one year from the date of acquisition, so
long as the indebtedness of such sovereign nation is rated at least A by S&P or
A2 by Moody's or carries an equivalent rating from a comparable foreign rating
agency or (ii) investments of the type and maturity described in clauses (b)
through (g) above of foreign obligors, which investments or obligors have
ratings described in such clauses or equivalent ratings from comparable foreign
rating agencies.

          "C/D Assessment Rate": for any day as applied to any ABR Loan, the
annual assessment rate in effect on such day that is payable by a member of the
Bank Insurance Fund maintained by the Federal Deposit Insurance Corporation (the
"FDIC") classified as well-capitalized and within supervisory subgroup "B" (or a
comparable successor assessment risk classification) within the meaning of
12 C.F.R. (S) 327.4 (or any successor provision) to the FDIC (or any successor)
for the FDIC's (or such successor's) insuring time deposits at offices of such
institution in the United States.

          "C/D Reserve Percentage": for any day as applied to any ABR Loan, that
percentage (expressed as a decimal) which is in effect on such day, as
prescribed by the Board, for determining the maximum reserve requirement for a
Depositary Institution (as defined in Regulation D of the Board as in effect
from time to time) in respect of new non-personal time deposits in Dollars
having a maturity of 30 days or more.

          "Change of Control": (a) any "person" or "group" (as such terms are
used in Sections 13(d) and 14(d) of the Securities Exchange Act of 1934, as
amended (the "Exchange Act")), excluding the Existing Investors, shall become,
or obtain rights (whether by means or warrants, options or otherwise) to become,
the "beneficial owner" (as defined in Rules 13(d)-3 and 13(d)-5 under the
<PAGE>

                                                                               5

Exchange Act), directly or indirectly, of more than 30% of the outstanding
common stock of Holdings; (b) the Existing Investors, together with their
Affiliates, shall become, or obtain rights (whether by means or warrants,
options or otherwise) to become, the "beneficial owner" (as defined in Rules
13(d)-3 and 13(d)-5 under the Exchange Act), directly or indirectly, of more
than 45% of the outstanding common stock of Holdings; (c) the board of directors
of Holdings shall cease to consist of a majority of Continuing Directors;
(d) Holdings shall cease to own and control, of record and beneficially,
directly, 100% of each class of outstanding Capital Stock of the Borrower free
and clear of all Liens (except Liens created by the Guarantee and Collateral
Agreement); or (e) a Specified Change of Control shall occur.

          "Chase": The Chase Manhattan Bank.

          "Closing Date": the date on which the conditions precedent set forth
in Section 5.1 shall have been satisfied, which date is March 15, 2000.

          "Code": the Internal Revenue Code of 1986, as amended from time to
time.

          "Collateral": all property of the Loan Parties, now owned or hereafter
acquired, upon which a Lien is purported to be created by any Security Document.

          "Commitment": as to any Lender, the sum of the Tranche A Term
Commitment, the Tranche B Term Commitment and the Revolving Commitment of such
Lender.

          "Commonly Controlled Entity": an entity, whether or not incorporated,
that is under common control with the Borrower within the meaning of Section
4001 of ERISA or is part of a group that includes the Borrower and that is
treated as a single employer under Section 414 of the Code.

          "Commitment Fee Rate": a per annum rate based on combined Tranche A
Term Facility drawings and Revolving Facility usage as a percentage of the sum
of (a) the original aggregate amount of the Tranche A Term Commitments (after
giving effect to any optional reductions thereof pursuant to Section 2.7(b))
plus (b) the Total Revolving Commitments as set forth below:

    Combined % of Tranche A Term Facility
    Drawn and Revolving Facility Utilized        Rate

          * 33 1/3%                              1.00%
         ** 33 1/3% but * 66 2/3%                0.75%
         ** 66 2/3%                              0.50%
-----------
 * Less than
** Greater than or equal to.

          "Compliance Certificate": a certificate duly executed by a Responsible
Officer substantially in the form of Exhibit B.

          "Conduit Lender": any special purpose corporation organized and
administered by any Lender for the purpose of making Loans hereunder otherwise
required to be made by such Lender and designated by such Lender in a written
instrument, subject to the consent of the Administrative Agent and the Borrower
(which, in each case, shall not be unreasonably withheld or delayed); provided,
that the designation by any Lender of a Conduit Lender shall not relieve the
designating Lender of any of its obligations to fund a Loan under this Agreement
if, for any reason, its Conduit Lender fails to fund any
<PAGE>

                                                                               6

such Loan, and the designating Lender (and not the Conduit Lender) shall have
the sole right and responsibility to deliver all consents and waivers required
or requested under this Agreement with respect to its Conduit Lender, and
provided, further, that no Conduit Lender shall (a) be entitled to receive any
greater amount pursuant to Section 2.16, 2.17, 2.18 or 10.5 than the designating
Lender would have been entitled to receive in respect of the extensions of
credit made by such Conduit Lender or (b) be deemed to have any Commitment
hereunder.

          "Confidential Information Memorandum": the Confidential Information
Memorandum dated February 2000 and furnished to certain Lenders.

          "Consolidated Cash Interest Expense": for any period, the total cash
interest expense (including that attributable to Capital Lease Obligations) of
the Borrower and its Subsidiaries for such period with respect to all
outstanding Indebtedness of the Borrower and its Subsidiaries (including all
commissions, discounts and other fees and charges owed with respect to letters
of credit and bankers' acceptance financing and net costs under Hedge Agreements
in respect of interest rates to the extent such net costs are allocable to such
period in accordance with GAAP).

          "Consolidated Current Assets": at any date, all amounts (other than
cash and Cash Equivalents) that would, in conformity with GAAP, be set forth
opposite the caption "total current assets" (or any like caption) on a
consolidated balance sheet of the Borrower and its Subsidiaries at such date.

          "Consolidated Current Liabilities": at any date, all amounts that
would, in conformity with GAAP, be set forth opposite the caption "total current
liabilities" (or any like caption) on a consolidated balance sheet of the
Borrower and its Subsidiaries at such date, but excluding (a) the current
portion of any Funded Debt of the Borrower and its Subsidiaries and (b) without
duplication of clause (a) above, all Indebtedness consisting of Revolving Loans
or Swingline Loans to the extent otherwise included therein.

          "Consolidated Debt Service Coverage Ratio": as of the last day of any
period, the ratio of (a) Consolidated EBITDA for the relevant period ending on
such day to (b) Consolidated Pro Forma Debt Service determined as of such day;
provided that for the purposes this definition, Consolidated EBITDA shall be
deemed to be equal to (i) with respect to the tower rental business of the
Borrower, Consolidated EBITDA for the most recently completed fiscal quarter of
the Borrower multiplied by four and (ii) with respect to all other businesses of
the Borrower, Consolidated EBITDA for the most recently completed four fiscal
quarters of the Borrower.

          "Consolidated EBITDA": for any period, Consolidated Net Income for
such period plus, without duplication and to the extent reflected as a charge in
the statement of such Consolidated Net Income for such period, the sum of
(a) income tax expense, (b) interest expense, amortization or writeoff of debt
discount and debt issuance costs and commissions, discounts and other fees and
charges associated with Indebtedness (including the Loans), (c) depreciation and
amortization expense, (d) amortization of intangibles (including, but not
limited to, goodwill) and organization costs, (e) any extraordinary, unusual or
non-recurring non-cash expenses or losses (including, whether or not otherwise
includable as a separate item in the statement of such Consolidated Net Income
for such period, non-cash losses on sales of assets outside of the ordinary
course of business), and (f) any other non-cash charges, and minus, to the
extent included in the statement of such Consolidated Net Income for such
period, the sum of (a) interest income, (b) any extraordinary, unusual or non-
recurring income or gains (including, whether or not otherwise includable as a
separate item in the statement of such Consolidated Net Income
<PAGE>

                                                                               7

for such period, gains on the sales of assets outside of the ordinary course of
business) and (c) any other non-cash income, all as determined on a consolidated
basis. Notwithstanding anything to the contrary in this Agreement, in
determining Consolidated EBITDA, (x) the amount of Consolidated EBITDA
attributable to any Subsidiary (other than a Wholly Owned Subsidiary) shall be
included in such determination only to the extent of the Borrower's percentage
ownership interest in such Subsidiary (except as provided in clause (y) below)
and in any event shall not, in the case of any Specified Non-Wholly Owned
Subsidiary, exceed the then outstanding principal amount of the Specified
Intercompany Note issued by such Subsidiary divided by the then applicable
Consolidated Leverage Ratio required by Section 7.1(a) and (y) the amount of
Consolidated EBITDA attributable to the GTE JV shall be included in such
determination only to the extent of the Borrower's percentage ownership interest
in the GTE JV (determined on a pro forma basis after giving effect to the
anticipated distribution (the "GTE Distribution") from time to time of up to
5,360,493 shares of the Capital Stock of Holdings to GTE Wireless at a price of
$18.655 per share). The Australian Subsidiary shall be treated as a Wholly Owned
Subsidiary of the Borrower for the purposes of this definition if and so long as
it is a party to security documents satisfactory to the Administrative Agent and
100% of its Capital Stock has been pledged as Collateral. Notwithstanding
anything to the contrary herein, Consolidated EBITDA attributable to any
Subsidiary of any Specified Non-Wholly Owned Subsidiary (other than any such
Subsidiary that itself is a Specified Non-Wholly Owned Subsidiary) or of the
Australian Subsidiary shall be disregarded except to the extent actually
distributed to such Specified Non-Wholly Owned Subsidiary or the Australian
Subsidiary, as the case may be.

          "Consolidated Fixed Charge Coverage Ratio": as of the last day of any
period, the ratio of (a) Consolidated EBITDA for the period of four consecutive
fiscal quarters ending on such day to (b) Consolidated Fixed Charges for the
period of four consecutive fiscal quarters ending on such day.

          "Consolidated Fixed Charges": for any period, the sum (without
duplication) of (a) Consolidated Cash Interest Expense for such period, (b) all
distributions made by the Borrower or any of its Subsidiaries during such period
in order to enable Holdings to pay (i) cash interest or dividends in respect of
Indebtedness or preferred stock of Holdings or (ii) overhead expenses of
Holdings, (c) scheduled payments made during such period on account of principal
of Indebtedness of the Borrower or any of its Subsidiaries (including scheduled
principal payments in respect of the Term Loans and payments of Revolving Loans
accompanying scheduled reductions of the Revolving Commitments) and (d) income
tax expense for such period.

          "Consolidated Interest Coverage Ratio": as of the last day of any
period, the ratio of (a) Consolidated EBITDA for the period of four consecutive
fiscal quarters ending on such day to (b) Consolidated Cash Interest Expense for
the period of four consecutive fiscal quarters ending on such day.

          "Consolidated Leverage Ratio": as of the last day of any period, the
ratio of (a) Consolidated Total Debt on such day to (b) Consolidated EBITDA for
such period; provided that for the purposes this definition, Consolidated EBITDA
shall be deemed to be equal to (i) with respect to the tower rental business of
the Borrower, Consolidated EBITDA for the most recently completed fiscal quarter
of the Borrower multiplied by four and (ii) with respect to all other businesses
of the Borrower, Consolidated EBITDA for the most recently completed four fiscal
quarters of the Borrower.

          "Consolidated Net Income": for any period, the consolidated net income
(or loss) of the Borrower and its Subsidiaries (adjusted to exclude non-cash
minority interests), determined on a
<PAGE>

                                                                               8

consolidated basis in accordance with GAAP; provided that there shall be
excluded (a) the income (or deficit) of any Person accrued prior to the date it
becomes a Subsidiary of the Borrower or is merged into or consolidated with the
Borrower or any of its Subsidiaries, (b) the income (or deficit) of any Person
(other than a Subsidiary of the Borrower) in which the Borrower or any of its
Subsidiaries has an ownership interest, except to the extent that any such
income is actually received by the Borrower or such Subsidiary in the form of
dividends or similar distributions and (c) the undistributed earnings of any
Subsidiary of the Borrower to the extent that the declaration or payment of
dividends or similar distributions by such Subsidiary is not at the time
permitted by the terms of any Contractual Obligation or Requirement of Law
applicable to such Subsidiary.

          "Consolidated Pro Forma Debt Service": as of the last day of any
period, the sum of (a) Consolidated Cash Interest Expense for the period of four
consecutive fiscal quarters ending on such day, (b) all distributions made by
the Borrower or any of its Subsidiaries for the period of four consecutive
fiscal quarters ending on such day in order to enable Holdings to pay (i) cash
interest or dividends in respect of Indebtedness or preferred stock of Holdings
or (ii) overhead expenses of Holdings and (c) scheduled principal payments on
Indebtedness of the Borrower or any of its Subsidiaries for the period of four
consecutive fiscal quarters commencing immediately after such day (or, in the
case of the Revolving Facility, the excess, if any, of the Total Revolving
Extensions of Credit outstanding on such day over the amount of the Total
Revolving Commitments scheduled to be in effect at the end of such period of
four consecutive fiscal quarters).

          "Consolidated Total Debt": at any date, the aggregate principal amount
of all Indebtedness of the Borrower and its Subsidiaries at such date,
determined on a consolidated basis in accordance with GAAP.

          "Consolidated Working Capital": at any date, the excess of
Consolidated Current Assets on such date over Consolidated Current Liabilities
on such date.

          "Continuing Directors": the directors of Holdings on the Closing Date
and each other director, if, in each case, such other director's nomination for
election to the board of directors of Holdings is recommended by at least 66-
2/3% of the then Continuing Directors.

          "Contractual Obligation": as to any Person, any provision of any
security issued by such Person or of any agreement, instrument or other
undertaking to which such Person is a party or by which it or any of its
property is bound.

          "Default": any of the events specified in Section 8, whether or not
any requirement for the giving of notice, the lapse of time, or both, has been
satisfied.

          "Defaulting Lender": any Lender that defaults in its obligation to
make any Loan hereunder.

          "Disposition": with respect to any property, any sale, lease, sale and
leaseback, assignment, conveyance, transfer or other disposition thereof. The
terms "Dispose" and "Disposed of" shall have correlative meanings.

          "Documentation Agent": as defined in the preamble hereto.
<PAGE>

                                                                               9

          "Dollars" and "$": dollars in lawful currency of the United States.

          "Domestic Subsidiary": any Subsidiary of the Borrower organized under
the laws of any jurisdiction within the United States.

          "Environmental Laws": any and all Requirements of Law regulating,
relating to or imposing liability or standards of conduct concerning protection
of human health or the environment.

          "ERISA": the Employee Retirement Income Security Act of 1974, as
amended from time to time.

          "Eurocurrency Reserve Requirements": for any day as applied to a
Eurodollar Loan, the aggregate (without duplication) of the maximum rates
(expressed as a decimal fraction) of reserve requirements in effect on such day
(including basic, supplemental, marginal and emergency reserves under any
regulations of the Board or other Governmental Authority having jurisdiction
with respect thereto) dealing with reserve requirements prescribed for
eurocurrency funding (currently referred to as "Eurocurrency Liabilities" in
Regulation D of the Board) maintained by a member bank of the Federal Reserve
System.

          "Eurodollar Base Rate": with respect to each day during each Interest
Period pertaining to a Eurodollar Loan, the rate per annum determined on the
basis of the rate for deposits in Dollars for a period equal to such Interest
Period commencing on the first day of such Interest Period appearing on Page
3750 of the Dow Jones Markets screen as of 11:00 A.M., London time, two Business
Days prior to the beginning of such Interest Period. In the event that such rate
does not appear on Page 3750 of the Dow Jones Markets screen (or otherwise on
such screen), the "Eurodollar Base Rate" shall be determined by reference to
such other comparable publicly available service for displaying eurodollar rates
as may be selected by the Administrative Agent or, in the absence of such
availability, by reference to the rate at which the Administrative Agent is
offered Dollar deposits at or about 11:00 A.M., New York City time, two Business
Days prior to the beginning of such Interest Period in the interbank eurodollar
market where its eurodollar and foreign currency and exchange operations are
then being conducted for delivery on the first day of such Interest Period for
the number of days comprised therein.

          "Eurodollar Loans": Loans the rate of interest applicable to which is
based upon the Eurodollar Rate.

          "Eurodollar Rate": with respect to each day during each Interest
Period pertaining to a Eurodollar Loan, a rate per annum determined for such day
in accordance with the following formula (rounded upward to the nearest 1/100th
of 1%):

                             Eurodollar Base Rate
                       ---------------------------------
                   1.00 - Eurocurrency Reserve Requirements

          "Eurodollar Tranche": the collective reference to Eurodollar Loans
under a particular Facility the then current Interest Periods with respect to
all of which begin on the same date and end on the same later date (whether or
not such Loans shall originally have been made on the same day).
<PAGE>

                                                                              10

          "Event of Default": any of the events specified in Section 8, provided
that any requirement for the giving of notice, the lapse of time, or both, has
been satisfied.

          "Excess Cash Flow": for any fiscal year of the Borrower, the excess,
if any, of (a) the sum, without duplication, of (i) Consolidated Net Income for
such fiscal year, (ii) an amount equal to the amount of all non-cash charges
(including depreciation and amortization) deducted in arriving at such
Consolidated Net Income, (iii) decreases in Consolidated Working Capital for
such fiscal year, and (iv) an amount equal to the aggregate net non-cash loss on
the Disposition of property by the Borrower and its Subsidiaries during such
fiscal year (other than sales of inventory in the ordinary course of business),
to the extent deducted in arriving at such Consolidated Net Income over (b) the
sum, without duplication, of (i) an amount equal to the amount of all non-cash
credits included in arriving at such Consolidated Net Income, (ii) the aggregate
amount actually paid by the Borrower and its Subsidiaries in cash during such
fiscal year on account of Capital Expenditures (excluding the principal amount
of Indebtedness incurred in connection with such expenditures and any such
expenditures financed with the proceeds of any Reinvestment Deferred Amount),
(iii) the aggregate amount of all prepayments of Revolving Loans and Swingline
Loans during such fiscal year to the extent accompanying permanent optional
reductions of the Revolving Commitments and all optional prepayments of the Term
Loans during such fiscal year, (iv) the aggregate amount of all regularly
scheduled principal payments of Funded Debt (including the Term Loans) of the
Borrower and its Subsidiaries made during such fiscal year (other than in
respect of any revolving credit facility to the extent there is not an
equivalent permanent reduction in commitments thereunder), (v) increases in
Consolidated Working Capital for such fiscal year, and (vi) an amount equal to
the aggregate net non-cash gain on the Disposition of property by the Borrower
and its Subsidiaries during such fiscal year (other than sales of inventory in
the ordinary course of business), to the extent included in arriving at such
Consolidated Net Income.

          "Excess Cash Flow Application Date": as defined in Section 2.9(c).

          "Existing Investors": TeleDiffussion de France International S.A.,
Transmission Future Networks B.V., Candover Investments, PLC, Candover
(Trustees) Limited, Candover Partners Limited, Ted B. Miller, Jr., Robert A.
Crown, Barbara A. Crown, RC Investors Corp., BC Investors Corp., RACG Holdings
LLC, BACG Holdings LLC, Berkshire Fund III Limited Partnership, Berkshire Fund
IV Limited Partnership, Berkshire Investors PLC, Centennial Fund IV, LP,
Centennial Fund V, LP, Centennial Entrepreneurs Fund V, LP, Nassau Capital
Partners II, LP, NAS Partners I, LLC, Fay, Richwhite Communications Limited, PNC
Venture Corp., American Home Assurance Company, New York Life Assurance Company,
The Northwestern Mutual Life Insurance Company, Prime VIII, LP, Bell Atlantic
Corporation, Bell South Corporation, General Electric Capital Corporation and
SFG-P, Inc.

          "Facility": each of (a) the Tranche A Term Commitments and the Tranche
A Term Loans made thereunder (the "Tranche A Term Facility"), (b) the Tranche B
Term Commitments and the Tranche B Term Loans made thereunder (the "Tranche B
Term Facility"), (c) the Incremental Term Loans (the "Incremental Term
Facility") and (d) the Revolving Commitments and the extensions of credit made
thereunder (the "Revolving Facility").

          "Federal Funds Effective Rate": for any day, the weighted average of
the rates on overnight federal funds transactions with members of the Federal
Reserve System arranged by federal funds brokers, as published on the next
succeeding Business Day by the Federal Reserve Bank of New York, or, if such
rate is not so published for any day that is a Business Day, the average of the
<PAGE>

                                                                              11

quotations for the day of such transactions received by Chase from three federal
funds brokers of recognized standing selected by it.

          "Foreign Subsidiary": any Subsidiary of the Borrower that is not a
Domestic Subsidiary.

          "Funded Debt": as to any Person, all Indebtedness of such Person that
matures more than one year from the date of its creation or matures within one
year from such date but is renewable or extendible, at the option of such
Person, to a date more than one year from such date or arises under a revolving
credit or similar agreement that obligates the lender or lenders to extend
credit during a period of more than one year from such date, including all
current maturities and current sinking fund payments in respect of such
Indebtedness whether or not required to be paid within one year from the date of
its creation and, in the case of the Borrower, Indebtedness in respect of the
Loans.

          "Funding Office": the office of the Administrative Agent specified in
Section 10.2 or such other office as may be specified from time to time by the
Administrative Agent as its funding office by written notice to the Borrower and
the Lenders.

          "GAAP": generally accepted accounting principles in the United States
as in effect from time to time, except that for purposes of Section 7.1, GAAP
shall be determined on the basis of such principles in effect on the date hereof
and consistent with those used in the preparation of the most recent audited
financial statements referred to in Section 4.1(b). In the event that any
"Accounting Change" (as defined below) shall occur and such change results in a
change in the method of calculation of financial covenants, standards or terms
in this Agreement, then the Borrower and the Administrative Agent agree to enter
into negotiations in order to amend such provisions of this Agreement so as to
equitably reflect such Accounting Changes with the desired result that the
criteria for evaluating the Borrower's financial condition shall be the same
after such Accounting Changes as if such Accounting Changes had not been made.
Until such time as such an amendment shall have been executed and delivered by
the Borrower, the Administrative Agent and the Required Lenders, all financial
covenants, standards and terms in this Agreement shall continue to be calculated
or construed as if such Accounting Changes had not occurred. "Accounting
Changes" refers to changes in accounting principles required by the promulgation
of any rule, regulation, pronouncement or opinion by the Financial Accounting
Standards Board of the American Institute of Certified Public Accountants or, if
applicable, the SEC.

          "Governing Documents": collectively, as to any Person, the articles or
certificate of incorporation and bylaws, any shareholders agreement, certificate
of formation, limited liability company agreement, partnership agreement or
other formation or constituent documents of such Person.

          "Governmental Authority": any nation or government, any state or other
political subdivision thereof, any agency, authority, instrumentality,
regulatory body, court, central bank or other entity exercising executive,
legislative, judicial, taxing, regulatory or administrative functions of or
pertaining to government, any securities exchange and any self-regulatory
organization (including the National Association of Insurance Commissioners).

          "GTE Distribution": as defined in the definition of "Consolidated
EBITDA".

          "GTE JV": Crown Castle GT Holding Company LLC, a Delaware limited
liability company.
<PAGE>

                                                                              12

          "GTE Wireless": GTE Wireless Incorporated, a Delaware corporation.

          "Guarantee and Collateral Agreement": the Guarantee and Collateral
Agreement to be executed and delivered by Holdings, the Borrower, each
Subsidiary Guarantor and each Specified Non-Wholly Owned Subsidiary,
substantially in the form of Exhibit A, as the same may be amended, supplemented
or otherwise modified from time to time. If requested by the Administrative
Agent, any Foreign Subsidiary that would otherwise be required to become a party
to the Guarantee and Collateral Agreement shall instead become a party to
separate agreements having a substantially equivalent effect.

          "Guarantee Obligation": as to any Person (the "guaranteeing person"),
any obligation of (a) the guaranteeing person or (b) another Person (including
any bank under any letter of credit) to induce the creation of which the
guaranteeing person has issued a reimbursement, counterindemnity or similar
obligation, in either case guaranteeing or in effect guaranteeing any
Indebtedness, leases, dividends or other obligations (the "primary obligations")
of any third Person (the "primary obligor") in any manner, whether directly or
indirectly, including any obligation of the guaranteeing person, whether or not
contingent, (i) to purchase any such primary obligation or any property
constituting direct or indirect security therefor, (ii) to advance or supply
funds (1) for the purchase or payment of any such primary obligation or (2) to
maintain working capital or equity capital of the primary obligor or otherwise
to maintain the net worth or solvency of the primary obligor, (iii) to purchase
property, securities or services primarily for the purpose of assuring the owner
of any such primary obligation of the ability of the primary obligor to make
payment of such primary obligation or (iv) otherwise to assure or hold harmless
the owner of any such primary obligation against loss in respect thereof;
provided, however, that the term Guarantee Obligation shall not include
endorsements of instruments for deposit or collection in the ordinary course of
business. The amount of any Guarantee Obligation of any guaranteeing person
shall be deemed to be the lower of (a) an amount equal to the stated or
determinable amount of the primary obligation in respect of which such Guarantee
Obligation is made and (b) the maximum amount for which such guaranteeing person
may be liable pursuant to the terms of the instrument embodying such Guarantee
Obligation, unless such primary obligation and the maximum amount for which such
guaranteeing person may be liable are not stated or determinable, in which case
the amount of such Guarantee Obligation shall be such guaranteeing person's
maximum reasonably anticipated liability in respect thereof as determined by the
Borrower in good faith.

          "Guarantors": the collective reference to Holdings and the Subsidiary
Guarantors.

          "Hedge Agreements": all interest rate swaps, caps or collar agreements
or similar arrangements dealing with interest rates or currency exchange rates
or the exchange of nominal interest obligations, either generally or under
specific contingencies.

          "Holdings": as defined in the preamble hereto.

          "Holdings Debt Agreements": the collective reference to the agreements
in existence on the Closing Date governing the 10-5/8% Senior Discount Notes,
the 12-3/4% Senior Exchangeable Preferred Stock, the 12-3/4% Senior Subordinated
Exchange Debentures, the 10-3/8% Senior Discount Notes, the 9% Senior Notes, the
11-1/4% Senior Discount Notes and the 9-1/2% Senior Notes of Holdings.
<PAGE>

                                                                              13

          "Holdings Qualified Obligations": (a) Indebtedness or preferred stock
of Holdings outstanding on the Closing Date, (b) Indebtedness or preferred stock
of Holdings incurred or issued after the Closing Date, the net proceeds of which
are contributed to the Borrower and are not used to make Investments in Persons
that are not Subsidiaries of the Borrower and (c) any refinancing of any of the
foregoing.

          "Increased Facility Activation Date": any Business Day on which any
Lender shall execute and deliver to the Administrative Agent an Increased
Facility Activation Notice pursuant to Section 2.1(c).

          "Increased Facility Activation Notice": a notice substantially in the
form of Exhibit D-2.

          "Increased Facility Closing Date": any Business Day designated as such
in an Increased Facility Activation Notice.

          "Incremental Term Facility": as defined in the definition of
"Facility".

          "Incremental Term Lenders": (a) on any Increased Facility Activation
Date relating to Incremental Term Loans, the Lenders signatory to the relevant
Increased Facility Activation Notice and (b) thereafter, each Lender that is a
holder of an Incremental Term Loan.

          "Incremental Term Loans": as defined in Section 2.1(a).

          "Incremental Term Maturity Date": with respect to the Incremental Term
Loans to be made pursuant to any Increased Facility Activation Notice, the
maturity date specified in such Increased Facility Activation Notice, which date
shall be a date at least six months after the final maturity of the Tranche B
Term Loans.

          "Indebtedness": of any Person at any date, without duplication, (a)
all indebtedness of such Person for borrowed money, (b) all obligations of such
Person for the deferred purchase price (to the extent determinable) of property
or services (other than current trade payables incurred in the ordinary course
of such Person's business), provided that to the extent any such obligation is
reflected as a liability on the balance sheet of such Person, such obligation
shall in any event be considered "Indebtedness", (c) all obligations of such
Person evidenced by notes, bonds, debentures or other similar instruments, (d)
all indebtedness created or arising under any conditional sale or other title
retention agreement with respect to property acquired by such Person (even
though the rights and remedies of the seller or lender under such agreement in
the event of default are limited to repossession or sale of such property), (e)
all Capital Lease Obligations of such Person, (f) all obligations of such
Person, contingent or otherwise, as an account party or applicant under or in
respect of acceptances, letters of credit, surety bonds or similar arrangements,
(g) the liquidation value of all redeemable preferred Capital Stock of such
Person, (h) all Guarantee Obligations of such Person in respect of obligations
of the kind referred to in clauses (a) through (g) above, (i) all obligations of
the kind referred to in clauses (a) through (h) above secured by (or for which
the holder of such obligation has an existing right, contingent or otherwise, to
be secured by) any Lien on property (including accounts and contract rights)
owned by such Person, whether or not such Person has assumed or become liable
for the payment of such obligation and (j) for the purposes of Sections 7.2 and
8(e) only, all obligations of such Person in respect of Hedge Agreements. The
Indebtedness of any Person shall include the Indebtedness of any other entity
<PAGE>

                                                                              14

(including any partnership in which such Person is a general partner) to the
extent such Person is liable therefor as a result of such Person's ownership
interest in or other relationship with such entity, except to the extent the
terms of such Indebtedness expressly provide that such Person is not liable
therefor.

          "Insolvency": with respect to any Multiemployer Plan, the condition
that such Plan is insolvent within the meaning of Section 4245 of ERISA.

          "Insolvent": pertaining to a condition of Insolvency.

          "Intellectual Property": the collective reference to all rights,
priorities and privileges relating to intellectual property, whether arising
under United States, multinational or foreign laws or otherwise, including
copyrights, copyright licenses, patents, patent licenses, trademarks, trademark
licenses, technology, know-how and processes, and all rights to sue at law or in
equity for any infringement or other impairment thereof, including the right to
receive all proceeds and damages therefrom.

          "Interest Payment Date": (a) as to any ABR Loan, the last day of each
March, June, September and December to occur while such Loan is outstanding and
the final maturity date of such Loan, (b) as to any Eurodollar Loan having an
Interest Period of three months or less, the last day of such Interest Period,
(c) as to any Eurodollar Loan having an Interest Period longer than three
months, each day that is three months, or a whole multiple thereof, after the
first day of such Interest Period and the last day of such Interest Period and
(d) as to any Loan (other than any Revolving Loan that is an ABR Loan and any
Swingline Loan), the date of any repayment or prepayment made in respect
thereof.

          "Interest Period": as to any Eurodollar Loan, (a) initially, the
period commencing on the borrowing or conversion date, as the case may be, with
respect to such Eurodollar Loan and ending one, two, three or six (or, with the
consent of all Lenders under the relevant Facility, nine or twelve) months
thereafter, as selected by the Borrower in its notice of borrowing or notice of
conversion, as the case may be, given with respect thereto; and (b) thereafter,
each period commencing on the last day of the next preceding Interest Period
applicable to such Eurodollar Loan and ending one, two, three or six (or, with
the consent of all Lenders under the relevant Facility, nine or twelve) months
thereafter, as selected by the Borrower by irrevocable notice to the
Administrative Agent not less than three Business Days prior to the last day of
the then current Interest Period with respect thereto; provided that, all of the
foregoing provisions relating to Interest Periods are subject to the following:

          (i)   if any Interest Period would otherwise end on a day that is not
      a Business Day, such Interest Period shall be extended to the next
      succeeding Business Day unless the result of such extension would be to
      carry such Interest Period into another calendar month in which event such
      Interest Period shall end on the immediately preceding Business Day;

          (ii)  the Borrower may not select an Interest Period under a
      particular Facility that would extend beyond the Revolving Termination
      Date or beyond the date final payment is due on the Tranche A Term Loans,
      the Tranche B Term Loans or the relevant Incremental Term Loans, as the
      case may be;
<PAGE>

                                                                              15

          (iii) any Interest Period that begins on the last Business Day of a
      calendar month (or on a day for which there is no numerically
      corresponding day in the calendar month at the end of such Interest
      Period) shall end on the last Business Day of a calendar month; and

          (iv)  the Borrower shall select Interest Periods so as not to require
      a payment or prepayment of any Eurodollar Loan during an Interest Period
      for such Loan.

          "Investments": as defined in Section 7.7.

          "Issuing Lender": each of Chase, KCCI and any other Revolving Lender
that has agreed in its sole discretion to act as an "Issuing Lender" hereunder
and that has been approved in writing by the Administrative Agent as an "Issuing
Lender" hereunder, in each case in its capacity as issuer of any Letter of
Credit.

          "KCCI": Key Corporate Capital Inc.

          "KCCI Credit Agreement": the Amended and Restated Loan Agreement,
dated as of July 10, 1998, by and among Crown Communication Inc., Crown Castle
International Corp. de Puerto Rico, KCCI, PNC Bank, National Association and the
other financial institutions party thereto.

          "L/C Commitment": $25,000,000.

          "L/C Fee Payment Date": the last day of each March, June, September
and December and the last day of the Revolving Commitment Period.

          "L/C Obligations": at any time, an amount equal to the sum of (a) the
aggregate then undrawn and unexpired amount of the then outstanding Letters of
Credit and (b) the aggregate amount of drawings under Letters of Credit that
have not then been reimbursed pursuant to Section 3.5.

          "L/C Participants": with respect to any Letter of Credit, the
collective reference to all the Revolving Lenders other than the Issuing Lender
that issued such Letter of Credit.

          "Lenders": as defined in the preamble hereto; provided, that unless
the context otherwise requires, each reference herein to the Lenders shall be
deemed to include any Conduit Lender.

          "Letters of Credit": as defined in Section 3.1(a).

          "Lien": any mortgage, pledge, hypothecation, assignment, deposit
arrangement, encumbrance, lien (statutory or other), charge or other security
interest or any preference, priority or other security agreement or preferential
arrangement of any kind or nature whatsoever (including any conditional sale or
other title retention agreement and any capital lease having substantially the
same economic effect as any of the foregoing).

          "Loan": any loan made by any Lender pursuant to this Agreement.

          "Loan Documents": this Agreement, the Security Documents, Specified
Intercompany Notes and any note evidencing Australian Intercompany Loans.
<PAGE>

                                                                              16

          "Loan Parties": Holdings, the Borrower and each Subsidiary of the
Borrower that is a party to a Loan Document.

          "Majority Facility Lenders": with respect to any Facility, the holders
of more than 50% of the aggregate unpaid principal amount of the Tranche A Term
Loans, the Tranche B Term Loans, the Incremental Term Loans or the Total
Revolving Extensions of Credit, as the case may be, outstanding under such
Facility (or, in the case of the Revolving Facility, prior to any termination of
the Revolving Commitments, the holders of more than 50% of the Total Revolving
Commitments).

          "Material Action": with respect to any Unrestricted Subsidiary,
Unrestricted Subsidiary SPV or Tower SPV, (i) to consolidate or merge such
Person with or into any other Person, or sell all or substantially all of the
assets of such Person, or to institute proceedings to have such Person be
adjudicated bankrupt or insolvent, or consent to the institution of bankruptcy
or insolvency proceedings against such Person or file a petition seeking, or
consent to, reorganization or relief with respect to such Person under any
applicable federal or state law relating to bankruptcy, or consent to the
appointment of a receiver, liquidator, assignee, trustee, sequestrator (or other
similar official) of such Person or a substantial part of its property, or make
any assignment for the benefit of creditors of such Person, or admit in writing
such Person's inability to pay its debts generally as they become due, or, to
the fullest extent permitted by law, take action in furtherance of any such
action, or dissolve or liquidate such Person, or (ii) to take any other action
that would cause or permit the dissolution of such Person whether pursuant to
the Governing Documents of such Person, judicial dissolution, applicable law or
otherwise.

          "Material Adverse Effect": a material adverse effect on (a) the
business, property, operations or condition (financial or otherwise) of the
Borrower and its Subsidiaries taken as a whole or (b) the validity or
enforceability of this Agreement or any of the other Loan Documents or the
rights or remedies of the Administrative Agent or the Lenders hereunder or
thereunder.

          "Materials of Environmental Concern": any gasoline or petroleum
(including crude oil or any fraction thereof) or petroleum products or any
hazardous or toxic substances, materials or wastes, defined or regulated as such
in or under any Environmental Law, including asbestos, polychlorinated biphenyls
and urea-formaldehyde insulation.

          "Multiemployer Plan": a Plan that is a multiemployer plan as defined
in Section 4001(a)(3) of ERISA.

          "Net Cash Proceeds": (a) in connection with any Asset Sale or any
Recovery Event, the proceeds thereof in the form of cash and Cash Equivalents
(including any such proceeds received by way of deferred payment of principal
pursuant to a note or installment receivable or purchase price adjustment
receivable or otherwise, but only as and when received) of such Asset Sale or
Recovery Event, net of attorneys' fees, accountants' fees, investment banking
fees, amounts required to be applied to the repayment of Indebtedness secured by
a Lien expressly permitted hereunder on any asset that is the subject of such
Asset Sale or Recovery Event (other than any Lien pursuant to a Security
Document) and other customary fees and expenses actually incurred in connection
therewith and net of taxes paid or reasonably estimated to be payable as a
result thereof (after taking into account any available tax credits or
deductions and any tax sharing arrangements) and (b) in connection with any
issuance or sale of Capital Stock or any incurrence of Indebtedness, the cash
proceeds received from such issuance or
<PAGE>

                                                                              17

incurrence, net of attorneys' fees, investment banking fees, accountants' fees,
underwriting discounts and commissions and other customary fees and expenses
actually incurred in connection therewith.

          "New Lender": as defined in Section 2.1(d).

          "New Lender Supplement": as defined in Section 2.1(d).

          "Non-Excluded Taxes": as defined in Section 2.17(a).

          "Non-U.S. Lender": as defined in Section 2.17(d).

          "Obligations": the unpaid principal of and interest on (including
interest accruing after the maturity of the Loans and Reimbursement Obligations
and interest accruing after the filing of any petition in bankruptcy, or the
commencement of any insolvency, reorganization or like proceeding, relating to
the Borrower, whether or not a claim for post-filing or post-petition interest
is allowed in such proceeding) the Loans and all other obligations and
liabilities of the Borrower to the Administrative Agent or to any Lender (or, in
the case of Hedge Agreements, any affiliate of any Lender), whether direct or
indirect, absolute or contingent, due or to become due, or now existing or
hereafter incurred, which may arise under, out of, or in connection with, this
Agreement, any other Loan Document, the Letters of Credit, any Hedge Agreement
entered into with any Lender or any affiliate of any Lender or any other
document made, delivered or given in connection herewith or therewith, whether
on account of principal, interest, reimbursement obligations, fees, indemnities,
costs, expenses (including all fees, charges and disbursements of counsel to the
Administrative Agent or to any Lender that are required to be paid by the
Borrower pursuant hereto) or otherwise.

          "Other Taxes": any and all present or future stamp or documentary
taxes or any other excise or property taxes, charges or similar levies arising
from any payment made hereunder or from the execution, delivery or enforcement
of, or otherwise with respect to, this Agreement or any other Loan Document.

          "Participant": as defined in Section 10.6(b).

          "PBGC": the Pension Benefit Guaranty Corporation established pursuant
to Subtitle A of Title IV of ERISA (or any successor).

          "Permitted Borrower Subordinated Indebtedness": Indebtedness of the
Borrower to Holdings which is evidenced by a promissory note substantially
identical to Exhibit I.

          "Person": an individual, partnership, corporation, limited liability
company, business trust, joint stock company, trust, unincorporated association,
joint venture, Governmental Authority or other entity of whatever nature.

          "Plan": at a particular time, any employee benefit plan that is
covered by ERISA and in respect of which the Borrower or a Commonly Controlled
Entity is (or, if such plan were terminated at such time, would under Section
4069 of ERISA be deemed to be) an "employer" as defined in Section 3(5) of
ERISA.
<PAGE>

                                                                              18

          "Pricing Grid": the pricing grid attached hereto as Annex A.

          "Pro Forma Balance Sheets": as defined in Section 4.1(a).

          "Projections": as defined in Section 6.2(c).

          "Properties": as defined in Section 4.17(a).

          "Recovery Event": any settlement of or payment in respect of any
property or casualty insurance claim or any condemnation proceeding relating to
any asset of the Borrower or any of its Subsidiaries.

          "Refunded Swingline Loans": as defined in Section 2.5(b).

          "Refunding Date": as defined in Section 2.5(c).

          "Register": as defined in Section 10.6(d).

          "Regulation U": Regulation U of the Board as in effect from time to
time.

          "Reimbursement Obligation": the obligation of the Borrower to
reimburse the relevant Issuing Lender pursuant to Section 3.5 for amounts drawn
under Letters of Credit.

          "Reinvestment Deferred Amount": with respect to any Reinvestment
Event, the aggregate Net Cash Proceeds received by the Borrower or any of its
Subsidiaries in connection therewith that are not applied to prepay the Term
Loans or reduce the Revolving Commitments pursuant to Section 2.9(b) as a result
of the delivery of a Reinvestment Notice.

          "Reinvestment Event": any Asset Sale or Recovery Event in respect of
which the Borrower has delivered a Reinvestment Notice.

          "Reinvestment Notice": a written notice executed by a Responsible
Officer stating that the Borrower (directly or indirectly through a Subsidiary)
intends and expects to use all or a specified portion of the Net Cash Proceeds
of an Asset Sale or Recovery Event to acquire or repair assets useful in its
business.

          "Reinvestment Prepayment Amount": with respect to any Reinvestment
Event, the Reinvestment Deferred Amount relating thereto less any amount
expended prior to the relevant Reinvestment Prepayment Date to acquire or repair
assets useful in the Borrower's business.

          "Reinvestment Prepayment Date": with respect to any Reinvestment
Event, the earlier of (a) the date occurring twelve months after such
Reinvestment Event and (b) the date on which the Borrower shall have determined
not to, or shall have otherwise ceased to, acquire or repair assets useful in
the Borrower's business with all or any portion of the relevant Reinvestment
Deferred Amount.

          "Reorganization": with respect to any Multiemployer Plan, the
condition that such plan is in reorganization within the meaning of Section 4241
of ERISA.
<PAGE>

                                                                              19

          "Reportable Event": any of the events set forth in Section 4043(c) of
ERISA, other than those events as to which the thirty day notice period is
waived under subsections .27, .28, .29, .30, .31, .32, .34 or .35 of PBGC Reg.
(S) 4043.

          "Required Lenders": at any time, the holders of more than 50% of the
sum of (a) the aggregate unpaid principal amount of the Term Loans then
outstanding, (b) the aggregate Tranche A Term Commitments then in effect and (c)
the Total Revolving Commitments then in effect or, if the Revolving Commitments
have been terminated, the Total Revolving Extensions of Credit then outstanding.
The Term Loans outstanding, Tranche A Commitments and Revolving Commitments in
effect (or, when applicable, Revolving Extensions of Credit outstanding) of any
Defaulting Lender shall be excluded for purposes of any vote of the Required
Lenders.

          "Requirement of Law": as to any Person, the Certificate of
Incorporation and By-Laws or other organizational or governing documents of such
Person, and any law, treaty, rule or regulation or determination of an
arbitrator or a court or other Governmental Authority, in each case applicable
to or binding upon such Person or any of its property or to which such Person or
any of its property is subject.

          "Responsible Officer": the chief executive officer, president, chief
financial officer, chief accounting officer or treasurer of the Borrower, but in
any event, with respect to financial matters, the chief financial officer of the
Borrower.

          "Restricted Payments": as defined in Section 7.6.

          "Revolving Aggregate Committed Amount": the sum of the Total Revolving
Commitments as in effect on the Closing Date and the amount of any increases
therein effected pursuant to Section 2.1(c).

          "Revolving Commitment": as to any Lender, the obligation of such
Lender, if any, to make Revolving Loans and participate in Swingline Loans and
Letters of Credit in an aggregate principal and/or face amount not to exceed the
amount set forth under the heading "Revolving Commitment" opposite such Lender's
name on Schedule 1.1 or in the Assignment and Acceptance or New Lender
Supplement pursuant to which such Lender became a party hereto, as the same may
be changed from time to time pursuant to the terms hereof. The original amount
of the Total Revolving Commitments is $500,000,000.

          "Revolving Commitment Period": the period from and including the
Closing Date to the Revolving Termination Date.

          "Revolving Extensions of Credit": as to any Revolving Lender at any
time, an amount equal to the sum of (a) the aggregate principal amount of all
Revolving Loans held by such Lender then outstanding, (b) such Lender's
Revolving Percentage of the L/C Obligations then outstanding and (c) such
Lender's Revolving Percentage of the aggregate principal amount of Swingline
Loans then outstanding.

          "Revolving Facility": as defined in the definition of "Facility".

          "Revolving Lender": each Lender that has a Revolving Commitment or
that holds Revolving Loans.
<PAGE>

                                                                              20

          "Revolving Loans": as defined in Section 2.1(b).

          "Revolving Percentage": as to any Revolving Lender at any time, the
percentage which such Lender's Revolving Commitment then constitutes of the
Total Revolving Commitments (or, at any time after the Revolving Commitments
shall have expired or terminated, the percentage which the aggregate principal
amount of such Lender's Revolving Loans then outstanding constitutes of the
aggregate principal amount of the Revolving Loans then outstanding).

          "Revolving Termination Date": September 15, 2007.

          "SEC": the Securities and Exchange Commission, any successor thereto
and any analogous Governmental Authority.

          "Security Documents": the collective reference to the Guarantee and
Collateral Agreement, all other security documents hereafter delivered to the
Administrative Agent granting a Lien on any property of any Person to secure the
obligations and liabilities of any Loan Party under any Loan Document and any
separate guarantee agreement entered into by any Subsidiary in order to
guarantee the Obligations.

          "Single Employer Plan": any Plan that is covered by Title IV of ERISA,
but that is not a Multiemployer Plan.

          "Solvent": when used with respect to any Person, means that, as of any
date of determination, (a) the amount of the "present fair saleable value" of
the assets of such Person will, as of such date, exceed the amount of all
"liabilities of such Person, contingent or otherwise" after giving effect to the
expected value of rights of indemnity, contribution and subrogation, as of such
date, as such quoted terms are determined in accordance with applicable federal
and state laws governing determinations of the insolvency of debtors, (b) the
present fair saleable value of the assets of such Person will, as of such date,
be greater than the amount that will be required to pay the liability of such
Person on its debts as such debts become absolute and matured after giving
effect to the expected value of rights of indemnity, contribution and
subrogation, (c) such Person will not have, as of such date, an unreasonably
small amount of capital with which to conduct its business, and (d) such Person
will be able to pay its debts as they mature after giving effect to the expected
value of rights of indemnity, contribution and subrogation. For purposes of this
definition, (i) "debt" means liability on a "claim", and (ii) "claim" means any
(x) right to payment, whether or not such a right is reduced to judgment,
liquidated, unliquidated, fixed, contingent, matured, unmatured, disputed,
undisputed, legal, equitable, secured or unsecured or (y) right to an equitable
remedy for breach of performance if such breach gives rise to a right to
payment, whether or not such right to an equitable remedy is reduced to
judgment, fixed, contingent, matured or unmatured, disputed, undisputed, secured
or unsecured.

          "Specified Change of Control": a "Change of Control" or any defined
term having a comparable purpose contained in the documentation governing any
Indebtedness of Holdings or the Borrower.

          "Specified Intercompany Note": as defined in the definition of
Specified Non-Wholly Owned Subsidiary.
<PAGE>

                                                                              21

          "Specified Non-Wholly Owned Subsidiary": any Subsidiary of the
Borrower (other than a Wholly Owned Subsidiary) that (a) is designated as such
by the Borrower in a written notice to the Administrative Agent substantially
concurrently with the acquisition thereof and (b) has issued an intercompany
note (a "Specified Intercompany Note") to the Borrower or any Wholly Owned
Qualifying Subsidiary Guarantor representing amounts actually loaned to such
Subsidiary, which note (i) shall be in form and substance satisfactory to the
Administrative Agent and (ii) shall be secured by a valid and perfected Lien on
all assets of such Subsidiary that fall within any of the categories of
"Collateral" referred to in the Guarantee and Collateral Agreement.

          "Subsidiary": as to any Person, a corporation, partnership, limited
liability company or other entity of which shares of stock or other ownership
interests having ordinary voting power (other than stock or such other ownership
interests having such power only by reason of the happening of a contingency) to
elect a majority of the board of directors or other managers of such
corporation, partnership or other entity are at the time owned, or the
management of which is otherwise controlled, directly or indirectly through one
or more intermediaries, or both, by such Person; provided, that, except as
otherwise specified in this Agreement, Unrestricted Subsidiaries shall be deemed
not to constitute "Subsidiaries" for the purposes of this Agreement (other than
the definitions of "Unrestricted Borrower Subsidiary", "Unrestricted Holdings
Subsidiary" and "Unrestricted Subsidiary" and Sections 6.11 and 7.15). Unless
otherwise qualified, all references to a "Subsidiary" or to "Subsidiaries" in
this Agreement shall refer to a Subsidiary or Subsidiaries of the Borrower.

          "Subsidiary Guarantor": each Subsidiary of the Borrower other than
(a) the GTE JV, (b) the Australian Subsidiary and its Subsidiaries and (c) any
Specified Non-Wholly Owned Subsidiary and its Subsidiaries.

          "Swingline Commitment": the obligation of the Swingline Lender to make
Swingline Loans pursuant to Section 2.4 in an aggregate principal amount at any
one time outstanding not to exceed $15,000,000.

          "Swingline Lender": Chase, in its capacity as the lender of Swingline
Loans.

          "Swingline Loans": as defined in Section 2.4(a).

          "Swingline Participation Amount": as defined in Section 2.5(c).

          "Syndication Agents": as defined in the preamble hereto.

          "Term Lenders": the collective reference to the Tranche A Term
Lenders, the Tranche B Term Lenders and the Incremental Term Lenders.

          "Term Loans": the collective reference to the Tranche A Term Loans,
Tranche B Term Loans and Incremental Term Loans.

          "Total Revolving Commitments": at any time, the aggregate amount of
the Revolving Commitments then in effect.
<PAGE>

                                                                              22

          "Total Revolving Extensions of Credit": at any time, the aggregate
amount of the Revolving Extensions of Credit of the Revolving Lenders
outstanding at such time.

          "Tower SPV": a Wholly Owned Subsidiary of the Borrower formed for the
sole purpose of holding communications tower facilities.

          "Tranche A Aggregate Funded Amount": the sum of the aggregate
principal amount of Tranche A Term Loans made pursuant to Section 2.1(a) and the
aggregate principal amount of Tranche A Term Loans made pursuant to Section
2.1(c).

          "Tranche A Term Commitment": as to any Lender, the obligation of such
Lender, if any, to make a Tranche A Term Loan to the Borrower hereunder in a
principal amount not to exceed the amount set forth under the heading "Tranche A
Term Commitment" opposite such Lender's name on Schedule 1.1. The original
aggregate amount of the Tranche A Term Commitments is $300,000,000.

          "Tranche A Term Facility": as defined in the definition of "Facility".

          "Tranche A Term Lender": each Lender that has a Tranche A Term
Commitment or is the holder of a Tranche A Term Loan.

          "Tranche A Term Loan": as defined in Section 2.1(a).

          "Tranche A Term Percentage": as to any Tranche A Term Lender at any
time, the percentage which the aggregate principal amount of such Lender's
Tranche A Term Loans then outstanding constitutes of the aggregate principal
amount of all Tranche A Term Loans then outstanding.

          "Tranche B Aggregate Funded Amount": the aggregate principal amount of
Tranche B Term Loans made on the Closing Date.

          "Tranche B Term Commitment": as to any Lender, the obligation of such
Lender, if any, to make a Tranche B Term Loan to the Borrower hereunder in a
principal amount not to exceed the amount set forth under the heading "Tranche B
Term Commitment" opposite such Lender's name on Schedule 1.1. The original
aggregate amount of the Tranche B Term Commitments is $400,000,000.

          "Tranche B Term Facility": as defined in the definition of "Facility".

          "Tranche B Term Lender": each Lender that has a Tranche B Term
Commitment or that holds a Tranche B Term Loan.

          "Tranche B Term Loan": as defined in Section 2.1(a).

          "Tranche B Term Percentage": as to any Tranche B Lender at any time,
the percentage which such Lender's Tranche B Term Commitment then constitutes of
the aggregate Tranche B Term Commitments (or, at any time after the Closing
Date, the percentage which the aggregate principal amount of such Lender's
Tranche B Term Loans then outstanding constitutes of the aggregate principal
amount of the Tranche B Term Loans then outstanding).

<PAGE>

                                                                              23

          "Transferee": any Assignee or Participant.

          "Type": as to any Loan, its nature as an ABR Loan or a Eurodollar
Loan.

          "United States": the United States of America.

          "Unrestricted Borrower Subsidiary": (a) any Subsidiary of the Borrower
created, acquired or activated by the Borrower or any of its Subsidiaries and
designated as such by the Borrower substantially concurrently with such
creation, acquisition or activation and (b) any Subsidiary of such designated
Subsidiary, provided, that (i) at no time shall any creditor of any such
Subsidiary have any claim (whether pursuant to a Guarantee Obligation, by
operation of law or otherwise) against Holdings or any of its other Subsidiaries
(other than another Unrestricted Borrower Subsidiary) in respect of any
Indebtedness or other obligation of any such Subsidiary; (ii) neither of
Holdings nor any of its Subsidiaries (other than another Unrestricted Borrower
Subsidiary) shall become a general partner of any such Subsidiary; (iii) no
default with respect to any Indebtedness of any such Subsidiary (including any
right which the holders thereof may have to take enforcement action against any
such Subsidiary) shall permit (upon notice, lapse of time or both) any holder of
any Indebtedness of Holdings or its other Subsidiaries (other than another
Unrestricted Borrower Subsidiary) to declare a default on such other
Indebtedness or cause the payment thereof to be accelerated or payable prior to
its final scheduled maturity; (iv) all Capital Stock of such Subsidiary shall be
held at all times by an Unrestricted Subsidiary SPV; and (v) at the time of such
designation, no Default or Event of Default shall have occurred and be
continuing or would result therefrom.

          "Unrestricted Holdings Subsidiary": (a) any Subsidiary of Holdings
(other than the Borrower and its Subsidiaries) created, acquired or activated by
Holdings or any of its Subsidiaries (other than the Borrower and its
Subsidiaries) and designated as such by Holdings substantially concurrently with
such creation, acquisition or activation and (b) any Subsidiary of such
designated Subsidiary, provided, that (i) at no time shall any creditor of any
such Subsidiary have any claim (whether pursuant to a Guarantee Obligation, by
operation of law or otherwise) against Holdings or any of its other Subsidiaries
(other than another Unrestricted Holdings Subsidiary) in respect of any
Indebtedness or other obligation of any such Subsidiary; (ii) neither Holdings
nor any of its Subsidiaries (other than another Unrestricted Holdings
Subsidiary) shall become a general partner of any such Subsidiary; (iii) no
default with respect to any Indebtedness of any such Subsidiary (including any
right which the holders thereof may have to take enforcement action against any
such Subsidiary) shall permit (upon notice, lapse of time or both) any holder of
any Indebtedness of Holdings or its other Subsidiaries (other than another
Unrestricted Holdings Subsidiary) to declare a default on such other
Indebtedness or cause the payment thereof to be accelerated or payable prior to
its final scheduled maturity; (iv) all Capital Stock of such Subsidiary shall be
held at all times by an Unrestricted Subsidiary SPV; and (v) at the time of such
designation, no Default or Event of Default shall have occurred and be
continuing or would result therefrom.

          "Unrestricted Subsidiaries": the collective reference to the
Unrestricted Borrower Subsidiaries and the Unrestricted Holdings Subsidiaries.
It is understood that Unrestricted Subsidiaries shall be disregarded for the
purposes of any calculation pursuant to this Agreement relating to financial
matters with respect to the Borrower. Notwithstanding anything to the contrary
contained in this Agreement, (x) so long as any Australian Intercompany Loans
are outstanding, the Australian Subsidiary shall not be an Unrestricted
Subsidiary, (y) the GTE JV shall not be an Unrestricted Subsidiary and (z) no
Tower SPV or Unrestricted Subsidiary SPV shall be an Unrestricted Subsidiary.

<PAGE>

                                                                              24

          "Unrestricted Subsidiary SPV": a Wholly Owned Subsidiary of Holdings
or the Borrower, as the case may be, formed for the sole purpose of holding the
Capital Stock of one or more Unrestricted Subsidiaries.

          "Wholly Owned Subsidiary": as to any Person, any other Person all of
the Capital Stock of which (other than directors' qualifying shares required by
law) is owned by such Person directly and/or through other Wholly Owned
Subsidiaries.

          "Wholly Owned Subsidiary Guarantor": any Subsidiary Guarantor that is
a Wholly Owned Subsidiary of the Borrower.

          "Wholly Owned Qualifying Subsidiary Guarantor": any Wholly Owned
Subsidiary Guarantor organized under the laws of any jurisdiction within the
United States, the United Kingdom or Australia.

          1.2 Other Definitional Provisions. (a) Unless otherwise specified
therein, all terms defined in this Agreement shall have the defined meanings
when used in the other Loan Documents or any certificate or other document made
or delivered pursuant hereto or thereto.

          (b) As used herein and in the other Loan Documents, and any
certificate or other document made or delivered pursuant hereto or thereto,
(i) accounting terms relating to Holdings, the Borrower and its Subsidiaries not
defined in Section 1.1 and accounting terms partly defined in Section 1.1, to
the extent not defined, shall have the respective meanings given to them under
GAAP, (ii) the words "include", "includes" and "including" shall be deemed to be
followed by the phrase "without limitation", (iii) the word "incur" shall be
construed to mean incur, create, issue, assume, become liable in respect of or
suffer to exist (and the words "incurred" and "incurrence" shall have
correlative meanings), and (iv) the words "asset" and "property" shall be
construed to have the same meaning and effect and to refer to any and all
tangible and intangible assets and properties, including cash, Capital Stock,
securities, revenues, accounts, leasehold interests and contract rights.

          (c) The words "hereof", "herein" and "hereunder" and words of similar
import when used in this Agreement shall refer to this Agreement as a whole and
not to any particular provision of this Agreement, and Section, Schedule and
Exhibit references are to this Agreement unless otherwise specified.

          (d) The meanings given to terms defined herein shall be equally
applicable to both the singular and plural forms of such terms.

          (e) For the purposes of calculating Consolidated EBITDA and
Consolidated Cash Interest Expense for any period of four consecutive fiscal
quarters (each, a "Reference Period") pursuant to any determination of the
Consolidated Leverage Ratio or the Consolidated Debt Service Coverage Ratio,
(i) if at any time during such Reference Period the Borrower or any Subsidiary
shall have made any Material Disposition, the Consolidated EBITDA for such
Reference Period shall be reduced by an amount equal to the Consolidated EBITDA
(if positive) attributable to the property that is the subject of such Material
Disposition for such Reference Period or increased by an amount equal to the
Consolidated EBITDA (if negative) attributable thereto for such Reference
Period, and Consolidated Cash Interest Expense for such Reference Period shall
be reduced by an amount equal to the Consolidated Cash

<PAGE>

                                                                              25

Interest Expense for such Reference Period attributable to any Indebtedness of
the Borrower or any Subsidiary repaid, repurchased, defeased or otherwise
discharged with respect to the Borrower and its Subsidiaries in connection with
such Material Disposition (or, if the Capital Stock of any Subsidiary is sold,
the Consolidated Cash Interest Expense for such Reference Period directly
attributable to the Indebtedness of such Subsidiary to the extent the Borrower
and its continuing Subsidiaries are no longer liable for such Indebtedness after
such Disposition) and (ii) if during such Reference Period the Borrower or any
Subsidiary shall have made a Material Acquisition, Consolidated EBITDA and
Consolidated Cash Interest Expense for such Reference Period shall be calculated
after giving pro forma effect thereto (including the incurrence or assumption of
any Indebtedness in connection therewith) as if such Material Acquisition (and
the incurrence or assumption of any such Indebtedness) occurred on the first day
of such Reference Period. As used herein, "Material Acquisition" means any
acquisition of property or series of related acquisitions of property that
(a) constitutes assets comprising all or substantially all of an operating unit
of a business or constitutes all or substantially all of the common stock of a
Person and (b) involves the payment of consideration by the Borrower and its
Subsidiaries in excess of $1,000,000; and "Material Disposition" means any
Disposition of property or series of related Dispositions of property that
yields gross proceeds to the Borrower or any of its Subsidiaries in excess of
$1,000,000.

                  SECTION 2. AMOUNT AND TERMS OF COMMITMENTS

          2.1 Commitments; Increases in the Tranche A Term Facility and the
Revolving Facility; Incremental Term Loans. (a) Subject to the terms and
conditions hereof, (i) each Tranche A Term Lender severally agrees to make one
or more term loans (each, a "Tranche A Term Loan") to the Borrower in an
aggregate amount not to exceed the amount of the Tranche A Term Commitment of
such Lender, (ii) each Tranche B Term Lender severally agrees to make a term
loan (each, a "Tranche B Term Loan") to the Borrower in an amount not to exceed
the amount of the Tranche B Term Commitment of such Lender and (iii) each
Incremental Term Lender severally agrees to make one or more term loans (each,
an "Incremental Term Loan") to the extent provided in Section 2.1(c). The Term
Loans may from time to time be Eurodollar Loans or ABR Loans, as determined by
the Borrower and notified to the Administrative Agent in accordance with
Sections 2.2 and 2.10. Except as otherwise provided in Section 2.1(c), Tranche A
Term Loans may only be made during the period (the "Tranche A Commitment
Period") from and including the Closing Date to the date that is 18 months
thereafter (such date, the "Tranche A Commitment Termination Date"); provided,
that $150,000,000 of the Tranche A Term Commitments must be used (if at all) on
or prior to the first anniversary of the Closing Date. The Tranche A Term
Commitments shall automatically be permanently reduced by the amount of any
borrowing thereunder. Any unutilized Tranche A Term Commitments shall
automatically terminate on the Tranche A Commitment Termination Date. Tranche B
Term Loans may only be made on the Closing Date.

          (b) Subject to the terms and conditions hereof, each Revolving Lender
severally agrees to make revolving credit loans ("Revolving Loans") to the
Borrower from time to time during the Revolving Commitment Period in an
aggregate principal amount at any one time outstanding which, when added to such
Lender's Revolving Percentage of the sum of (i) the L/C Obligations then
outstanding and (ii) the aggregate principal amount of the Swingline Loans then
outstanding, does not exceed the amount of such Lender's Revolving Commitment.
During the Revolving Commitment Period the Borrower may use the Revolving
Commitments by borrowing, prepaying the Revolving Loans in whole or in part, and
reborrowing, all in accordance with the terms and conditions hereof. The
Revolving Loans may from time to time be Eurodollar Loans or ABR Loans, as
determined by the Borrower and notified to the
<PAGE>

                                                                              26

Administrative Agent in accordance with Sections 2.2 and 2.10. Notwithstanding
anything to the contrary in this Agreement, the Borrower may not borrow more
than $25,000,000 of Revolving Loans prior to the later to occur of (i) the date
on which the Tranche A Term Facility shall have been fully utilized or is no
longer available and (ii) the date on which at least $425,000,000 of cash held
by Holdings on January 1, 2000 shall have been contributed to the Borrower or
any of the Borrower's Subsidiaries.

          (c) The Borrower and any one or more Lenders (including New Lenders)
may from time to time agree that such Lenders shall make, obtain or increase the
amount of their Tranche A Term Loans, Tranche A Term Commitments, Incremental
Term Loans or Revolving Commitments, as applicable, by executing and delivering
to the Administrative Agent an Increased Facility Activation Notice specifying
(i) the amount of such increase and the Facility or Facilities involved,
(ii) the applicable Increased Facility Closing Date and (iii) in the case of
Incremental Term Loans, (x) the applicable Incremental Term Maturity Date,
(y) the amortization schedule for such Incremental Term Loans, which shall
comply with Section 2.3, and (z) the Applicable Margin for such Incremental Term
Loans. Notwithstanding the foregoing, without the consent of the Required
Lenders, (i) the aggregate amount of borrowings of Incremental Term Loans shall
not exceed an amount equal to (x) $300,000,000 minus (y) the aggregate amount of
incremental Tranche A Term Loans, incremental Tranche A Term Commitments or
incremental Revolving Commitments obtained pursuant to this paragraph, (ii) the
aggregate amount of incremental Tranche A Term Loans, incremental Tranche A Term
Commitments and/or incremental Revolving Commitments obtained pursuant to this
paragraph shall not exceed $200,000,000, (iii) incremental Tranche A Term Loans,
incremental Tranche A Term Commitments, Incremental Term Loans and incremental
Revolving Commitments may not be made, obtained or increased on or after the
second anniversary of the Closing Date or after the occurrence and during the
continuation of a Default or Event of Default, (iv) each increase effected
pursuant to this paragraph shall be in a minimum amount of at least $50,000,000
and (v) no more than five Increased Facility Closing Dates may be selected by
the Borrower during the term of this Agreement. Any incremental Tranche A Term
Loans, incremental Tranche A Term Commitments, Incremental Term Loans and
incremental Revolving Commitments shall be governed by this Agreement and the
other Loan Documents and be on terms no more restrictive when viewed as a whole
than those set forth herein and therein. No Lender shall have any obligation to
participate in any increase described in this paragraph unless it agrees to do
so in its sole discretion. Notwithstanding the foregoing, no increase described
in this paragraph may be made or obtained unless and until the Borrower has
delivered to the Administrative Agent revised Projections taking into account
such increase.

          (d) Any additional bank, financial institution or other entity which,
with the consent of the Borrower and the Administrative Agent (which consent
shall not be unreasonably withheld), elects to become a "Lender" under this
Agreement in connection with any transaction described in Section 2.1(c) shall
execute a New Lender Supplement (each, a "New Lender Supplement"), substantially
in the form of Exhibit D-1, whereupon such bank, financial institution or other
entity (a "New Lender") shall become a Lender for all purposes and to the same
extent as if originally a party hereto and shall be bound by and entitled to the
benefits of this Agreement.

          (e) Unless otherwise agreed by the Administrative Agent, on each
Increased Facility Closing Date (other than in respect of Incremental Term
Loans), the Borrower shall borrow Tranche A Term Loans under the increased
Tranche A Term Facility, or shall borrow Revolving Loans under the increased
Revolving Commitments, as the case may be, from each Lender participating in the
relevant increase in an amount determined by reference to the amount of each
Type of Loan (and, in the case of
<PAGE>

                                                                              27

Eurodollar Loans, of each Eurodollar Tranche) which would then have been
outstanding from such Lender if (i) each such Type or Eurodollar Tranche had
been borrowed or effected on such Increased Facility Closing Date and (ii) the
aggregate amount of each such Type or Eurodollar Tranche requested to be so
borrowed or effected had been proportionately increased. The Eurodollar Base
Rate applicable to any Eurodollar Loan borrowed pursuant to the preceding
sentence shall equal the Eurodollar Base Rate then applicable to the Eurodollar
Loans of the other Lenders in the same Eurodollar Tranche (or, until the
expiration of the then-current Interest Period, such other rate as shall be
agreed upon between the Borrower and the relevant Lender).

          2.2 Procedure for Borrowing. In order to effect a borrowing hereunder,
the Borrower shall give the Administrative Agent irrevocable notice (which
notice must be received by the Administrative Agent prior to 12:00 Noon., New
York City time, (a) three Business Days prior to the requested Borrowing Date,
in the case of Eurodollar Loans, or (b) one Business Day prior to the requested
Borrowing Date, in the case of ABR Loans), specifying (i) the Facility under
which such borrowing is to be made, (ii) the amount and Type of Loans to be
borrowed, (iii) the requested Borrowing Date and (iv) in the case of Eurodollar
Loans, the respective amounts of each such Type of Loan and the respective
lengths of the initial Interest Period therefor. Any Loans made on the Closing
Date shall initially be ABR Loans. Each borrowing shall be in an aggregate
amount equal to (x) in the case of ABR Loans, $5,000,000 or a whole multiple of
$1,000,000 in excess thereof (or, if the then aggregate Available Revolving
Commitments are less than $5,000,000, such lesser amount) and (y) in the case of
Eurodollar Loans, $10,000,000 or a whole multiple of $1,000,000 in excess
thereof; provided, that the Swingline Lender may request, on behalf of the
Borrower, borrowings under the Revolving Commitments that are ABR Loans in other
amounts pursuant to Section 2.5. Upon receipt of any such notice from the
Borrower, the Administrative Agent shall promptly notify each relevant Lender
thereof. Each relevant Lender will make the amount of its pro rata share of each
borrowing available to the Administrative Agent for the account of the Borrower
at the Funding Office prior to 12:00 Noon, New York City time, on the Borrowing
Date requested by the Borrower in funds immediately available to the
Administrative Agent. Such borrowing will then be made available to the Borrower
by the Administrative Agent crediting the account of the Borrower on the books
of such office with the aggregate of the amounts made available to the
Administrative Agent by the relevant Lenders and in like funds as received by
the Administrative Agent.

          2.3 Repayment of Loans; Early Maturity. (a) The Tranche A Term Loans
of each Tranche A Term Lender shall mature in 18 consecutive quarterly
installments, commencing on June 30, 2003, each of which shall be in an amount
equal to such Lender's Tranche A Term Percentage multiplied by the percentage of
the Tranche A Aggregate Funded Amount set forth below opposite such installment:

          Date                           Percentage
          ----                           ----------
          June 30, 2003                   1.25%
          September 30, 2003              1.25%
          December 31,  2003              1.25%
          March 31, 2004                  1.25%
          June 30, 2004                  4.375%
          September 30, 2004             4.375%
          December 31, 2004              4.375%
          March 31, 2005                 4.375%
          June 30, 2005                  5.625%
<PAGE>

                                                                              28

          September 30, 2005             5.625%
          December 31, 2005              5.625%
          March 31, 2006                 5.625%
          June 30, 2006                   7.50%
          September 30, 2006              7.50%
          December 31, 2006               7.50%
          March 31, 2007                  7.50%
          June 30, 2007                  12.50%
          September 15, 2007             12.50%

          (b) The Tranche B Term Loans of each Tranche B Term Lender shall
mature in 20 consecutive quarterly installments (each due on the last day of
each calendar quarter, except for the last such installment), commencing on June
30, 2003, each of which shall be in an amount equal to such Lender's Tranche B
Term Percentage multiplied by (i) in the case of the first 19 such installments,
0.25% of the Tranche B Aggregate Funded Amount and (ii) in the case of the last
such installment (which shall be due on March 15, 2008), 95.25% of the Tranche B
Aggregate Funded Amount.

          (c) The Incremental Term Loans of each Incremental Term Lender shall
mature in consecutive installments (which shall be no more frequent than
quarterly) as specified in the Increased Facility Activation Notice pursuant to
which such Incremental Term Loans were made, provided that the Incremental Term
Loans shall have (i) a longer weighted average life than the Tranche A Term
Facility, the Tranche B Term Facility and the Revolving Facility (taken as a
whole) and (ii) a final maturity no earlier than the date that is six months
after the final maturity of the Tranche B Term Loans.

          (d) The Total Revolving Commitments shall be permanently reduced on
each of the dates set forth below by an aggregate amount equal to the percentage
of the Revolving Aggregate Committed Amount set forth opposite such date:

          Installment                       Percentage
          -----------                       ----------
          June 30, 2003                      1.25%
          September 30, 2003                 1.25%
          December 31, 2003                  1.25%
          March 31, 2004                     1.25%
          June 30, 2004                     4.375%
          September 30, 2004                4.375%
          December 31, 2004                 4.375%
          March 31, 2005                    4.375%
          June 30, 2005                     5.625%
          September 30, 2005                5.625%
          December 31, 2005                 5.625%
          March 31, 2006                    5.625%
          June 30, 2006                      7.50%
          September 30, 2006                 7.50%
          December 31, 2006                  7.50%
          March 31, 2007                     7.50%
          June 30, 2007                     12.50%
          September 15, 2007                12.50%
<PAGE>

                                                                              29

          (e) Any reduction or termination of the Revolving Commitments pursuant
to this Section 2.3 shall be accompanied by prepayment of the Revolving Loans
and/or Swingline Loans to the extent that the Total Revolving Extensions of
Credit exceed the amount of the Total Revolving Commitments after giving effect
thereto, provided that if the aggregate principal amount of Revolving Loans and
Swingline Loans then outstanding is less than the amount of such excess (because
L/C Obligations constitute a portion thereof), the Borrower shall, to the extent
of the balance of such excess, replace outstanding Letters of Credit and/or
deposit an amount in cash in a cash collateral account established with the
Administrative Agent for the benefit of the Lenders on terms and conditions
satisfactory to the Administrative Agent. The application of any prepayment
pursuant to this paragraph shall be made, first, to ABR Loans and, second, to
Eurodollar Loans. Each prepayment of the Loans under this paragraph (other than
ABR Loans and Swingline Loans) shall be accompanied by accrued interest to the
date of such prepayment on the amount prepaid.

          (f) Notwithstanding anything to the contrary in this Agreement, all
outstanding Loans shall be repaid and all outstanding Commitments shall be
terminated on the date that is six months prior to the date of any scheduled
maturity or redemption of Indebtedness or preferred stock of Holdings. For
avoidance of doubt, if any Indebtedness or preferred stock of Holdings is
refinanced or otherwise extended such that it becomes scheduled to mature or be
redeemed on a later date, such Indebtedness or preferred stock will be
considered thereafter to be scheduled to mature or be redeemed on such later
date.

          2.4 Swingline Commitment. (a) Subject to the terms and conditions
hereof, the Swingline Lender agrees to make a portion of the credit otherwise
available to the Borrower under the Revolving Commitments from time to time
during the Revolving Commitment Period by making swingline loans ("Swingline
Loans") to the Borrower; provided that (i) the aggregate principal amount of
Swingline Loans outstanding at any time shall not exceed the Swingline
Commitment then in effect (notwithstanding that the Swingline Loans outstanding
at any time, when aggregated with the Swingline Lender's other outstanding
Revolving Loans hereunder, may exceed the Swingline Commitment then in effect)
and (ii) the Borrower shall not request, and the Swingline Lender shall not
make, any Swingline Loan if, after giving effect to the making of such Swingline
Loan, the aggregate amount of the Available Revolving Commitments would be less
than zero. During the Revolving Commitment Period, the Borrower may use the
Swingline Commitment by borrowing, repaying and reborrowing, all in accordance
with the terms and conditions hereof. Swingline Loans shall be ABR Loans only.

          (b) The Borrower shall repay all outstanding Swingline Loans on the
Revolving Termination Date.

          2.5 Procedure for Swingline Borrowing; Refunding of Swingline Loans.
(a) Whenever the Borrower desires that the Swingline Lender make Swingline Loans
it shall give the Swingline Lender irrevocable telephonic notice confirmed
promptly in writing (which telephonic notice must be received by the Swingline
Lender not later than 2:00 P.M., New York City time, on the proposed Borrowing
Date), specifying (i) the amount to be borrowed and (ii) the requested Borrowing
Date (which shall be a Business Day during the Revolving Commitment Period).
Each borrowing under the Swingline Commitment shall be in an amount equal to
$1,000,000 or a whole multiple of $500,000 in excess thereof. Not later than
3:00 P.M., New York City time, on the Borrowing Date specified in a notice in
respect of Swingline Loans, the Swingline Lender shall make available to the
Administrative Agent at the Funding Office an amount in immediately available
funds equal to the amount of the Swingline Loan to be made by
<PAGE>

                                                                              30

the Swingline Lender. The Administrative Agent shall make the proceeds of such
Swingline Loan available to the Borrower on such Borrowing Date by depositing
such proceeds in the account of the Borrower with the Administrative Agent on
such Borrowing Date in immediately available funds.

          (b) The Swingline Lender, at any time and from time to time in its
sole and absolute discretion may, on behalf of the Borrower (which hereby
irrevocably directs the Swingline Lender to act on its behalf), on one Business
Day's notice given by the Swingline Lender no later than 12:00 Noon, New York
City time, request each Revolving Lender to make, and each Revolving Lender
hereby agrees to make, a Revolving Loan, in an amount equal to such Revolving
Lender's Revolving Percentage of the aggregate amount of the Swingline Loans
(the "Refunded Swingline Loans") outstanding on the date of such notice, to
repay the Swingline Lender. Each Revolving Lender shall make the amount of such
Revolving Loan available to the Administrative Agent at the Funding Office in
immediately available funds, not later than 10:00 A.M., New York City time, one
Business Day after the date of such notice. The proceeds of such Revolving Loans
shall be immediately made available by the Administrative Agent to the Swingline
Lender for application by the Swingline Lender to the repayment of the Refunded
Swingline Loans. The Borrower irrevocably authorizes the Swingline Lender to
charge the Borrower's accounts with the Administrative Agent (up to the amount
available in each such account) in order to immediately pay the amount of such
Refunded Swingline Loans to the extent amounts received from the Revolving
Lenders are not sufficient to repay in full such Refunded Swingline Loans.

          (c) If prior to the time a Revolving Loan would have otherwise been
made pursuant to Section 2.5(b), one of the events described in Section 8(f)
shall have occurred and be continuing with respect to the Borrower or if for any
other reason, as determined by the Swingline Lender in its sole discretion,
Revolving Loans may not be made as contemplated by Section 2.5(b), each
Revolving Lender shall, on the date such Revolving Loan was to have been made
pursuant to the notice referred to in Section 2.5(b) (the "Refunding Date"),
purchase for cash an undivided participating interest in the then outstanding
Swingline Loans by paying to the Swingline Lender an amount (the "Swingline
Participation Amount") equal to (i) such Revolving Lender's Revolving Percentage
times (ii) the sum of the aggregate principal amount of Swingline Loans then
outstanding that were to have been repaid with such Revolving Loans.

          (d) Whenever, at any time after the Swingline Lender has received from
any Revolving Lender such Lender's Swingline Participation Amount, the Swingline
Lender receives any payment on account of the Swingline Loans, the Swingline
Lender will distribute to such Lender its Swingline Participation Amount
(appropriately adjusted, in the case of interest payments, to reflect the period
of time during which such Lender's participating interest was outstanding and
funded and, in the case of principal and interest payments, to reflect such
Lender's pro rata portion of such payment if such payment is not sufficient to
pay the principal of and interest on all Swingline Loans then due); provided,
however, that in the event that such payment received by the Swingline Lender is
required to be returned, such Revolving Lender will return to the Swingline
Lender any portion thereof previously distributed to it by the Swingline Lender.

          (e) Each Revolving Lender's obligation to make the Loans referred to
in Section 2.5(b) and to purchase participating interests pursuant to Section
2.5(c) shall be absolute and unconditional and shall not be affected by any
circumstance, including (i) any setoff, counterclaim, recoupment, defense or
other right that such Revolving Lender or the Borrower may have against the
Swingline Lender, the Borrower or any other Person for any reason whatsoever;
(ii) the occurrence or continuance of a Default
<PAGE>

                                                                              31

or an Event of Default or the failure to satisfy any of the other conditions
specified in Section 5; (iii) any adverse change in the condition (financial or
otherwise) of the Borrower; (iv) any breach of this Agreement or any other Loan
Document by the Borrower, any other Loan Party or any other Revolving Lender; or
(v) any other circumstance, happening or event whatsoever, whether or not
similar to any of the foregoing.

          2.6 Commitment Fees, etc. (a) The Borrower agrees to pay to the
Administrative Agent for the account of each Revolving Lender a nonrefundable
commitment fee for the period from and including the Closing Date to the last
day of the Revolving Commitment Period, computed at the Commitment Fee Rate on
the average daily amount of the Available Revolving Commitment of such Lender
during the period for which payment is made, payable quarterly in arrears on the
last day of each March, June, September and December and on the Revolving
Termination Date, commencing on the first of such dates to occur after the date
hereof.

          (b) The Borrower agrees to pay to the Administrative Agent for the
account of each Tranche A Term Lender a nonrefundable commitment fee for the
period from and including the Closing Date to the date on which the Tranche A
Term Commitments have been terminated, computed at the Commitment Fee Rate on
the average daily amount of the Tranche A Term Commitment of such Lender during
the period for which payment is made, payable quarterly in arrears on the last
day of each March, June, September and December and on the date on which the
Tranche A Term Commitments have been fully utilized or terminated, as the case
may be, commencing on the first of such dates to occur after the date hereof.

          (c) The Borrower agrees to pay to the Agents the fees in the amounts
and on the dates previously agreed to in writing by the Borrower and the Agents.

          2.7 Termination or Reduction of Commitments. (a) The Borrower shall
have the right, upon not less than three Business Days' notice to the
Administrative Agent, to terminate the Revolving Commitments or, from time to
time, to reduce the amount of the Revolving Commitments; provided that no such
termination or reduction of Revolving Commitments shall be permitted if, after
giving effect thereto and to any prepayments of the Revolving Loans and
Swingline Loans made on the effective date thereof, the Total Revolving
Extensions of Credit would exceed the Total Revolving Commitments. Any such
reduction shall be in an amount equal to $10,000,000, or a whole multiple of
$1,000,000 in excess thereof, shall reduce permanently the Revolving Commitments
then in effect.

          (b) The Borrower shall have the right, upon not less than three
Business Days' notice to the Administrative Agent, to terminate the Tranche A
Term Commitment or, from time to time, to reduce the amount of the Tranche A
Term Commitments then in effect. Any such reduction shall be in an amount equal
to $10,000,000, or a whole multiple of $1,000,000 in excess thereof, shall
reduce permanently the Tranche A Term Commitments then in effect and shall be
applied pro rata to the scheduled reductions thereof.

          2.8 Optional Prepayments. The Borrower may at any time and from time
to time prepay the Loans, in whole or in part, without premium or penalty, upon
irrevocable notice delivered to the Administrative Agent at least three Business
Days prior thereto in the case of Eurodollar Loans and at least one Business Day
prior thereto in the case of ABR Loans, which notice shall specify the date and
amount of prepayment and whether the prepayment is of Eurodollar Loans or ABR
Loans; provided, that
<PAGE>

                                                                              32

if a Eurodollar Loan is prepaid on any day other than the last day of the
Interest Period applicable thereto, the Borrower shall also pay any amounts
owing pursuant to Section 2.18. Upon receipt of any such notice the
Administrative Agent shall promptly notify each relevant Lender thereof. If any
such notice is given, the amount specified in such notice shall be due and
payable on the date specified therein, together with (except in the case of
Revolving Loans that are ABR Loans and Swingline Loans) accrued interest to such
date on the amount prepaid. Partial prepayments of Term Loans and Revolving
Loans shall be in an aggregate principal amount of $5,000,000 or a whole
multiple of $1,000,000 in excess thereof. Partial prepayments of Swingline Loans
shall be in an aggregate principal amount of $1,000,000 or a whole multiple of
$500,000 in excess thereof.

          2.9 Mandatory Prepayments and Commitment Reductions. (a) If any
Indebtedness shall be incurred by the Borrower or any of its Subsidiaries
(excluding any Indebtedness incurred in accordance with Section 7.2), an amount
equal to 100% of the Net Cash Proceeds thereof shall be applied on the date of
such incurrence toward the prepayment of the Term Loans and the reduction of the
Tranche A Term Commitments and the Revolving Commitments as set forth in Section
2.9(d).

          (b) If on any date the Borrower or any of its Subsidiaries shall
receive Net Cash Proceeds from any Asset Sale or Recovery Event then, unless a
Reinvestment Notice shall be delivered in respect thereof, such Net Cash
Proceeds shall be applied on such date toward the prepayment of the Term Loans
and the reduction of the Tranche A Term Commitments and the Revolving
Commitments as set forth in Section 2.9(d); provided, that, notwithstanding the
foregoing, (i) the aggregate Net Cash Proceeds of Asset Sales and Recovery
Events that may be excluded from the foregoing requirement pursuant to a
Reinvestment Notice shall not exceed $20,000,000 in any fiscal year of the
Borrower and (ii) on each Reinvestment Prepayment Date, an amount equal to the
Reinvestment Prepayment Amount with respect to the relevant Reinvestment Event
shall be applied toward the prepayment of the Term Loans and the reduction of
the Tranche A Term Commitments and the Revolving Commitments as set forth in
Section 2.9(d).

          (c) If, for any fiscal year of the Borrower commencing with the fiscal
year ending December 31, 2003, there shall be Excess Cash Flow, the Borrower
shall, on the relevant Excess Cash Flow Application Date, apply 50% of such
Excess Cash Flow toward the prepayment of the Term Loans and the reduction of
the Tranche A Term Commitments and the Revolving Commitments as set forth in
Section 2.9(d). Each such prepayment and commitment reduction shall be made on a
date (an "Excess Cash Flow Application Date") no later than five days after the
earlier of (i) the date on which the financial statements of the Borrower
referred to in Section 6.1(a), for the fiscal year with respect to which such
prepayment is made, are required to be delivered to the Lenders and (ii) the
date such financial statements are actually delivered.

          (d) Amounts to be applied in connection with prepayments and
Commitment reductions made pursuant to Section 2.9 shall be applied, first, to
prepay the Term Loans, second, to reduce permanently the then unused Tranche A
Term Commitments and, third, to reduce permanently the Revolving Commitments.
Any such reduction of the Revolving Commitments shall be accompanied by
prepayment of the Revolving Loans and/or Swingline Loans to the extent, if any,
that the Total Revolving Extensions of Credit exceed the amount of the Total
Revolving Commitments as so reduced, provided that if the aggregate principal
amount of Revolving Loans and Swingline Loans then outstanding is less than the
amount of such excess (because L/C Obligations constitute a portion thereof),
the Borrower shall, to the extent of the balance of such excess, replace
outstanding Letters of Credit and/or deposit an amount
<PAGE>

                                                                              33

in cash in a cash collateral account established with the Administrative Agent
for the benefit of the Lenders on terms and conditions satisfactory to the
Administrative Agent. The application of any prepayment pursuant to Section 2.9
shall be made, first, to ABR Loans and, second, to Eurodollar Loans. Each
prepayment of the Loans under Section 2.9 (except in the case of Revolving Loans
that are ABR Loans and Swingline Loans) shall be accompanied by accrued interest
to the date of such prepayment on the amount prepaid.

          2.10 Conversion and Continuation Options. (a) The Borrower may elect
from time to time to convert Eurodollar Loans to ABR Loans by giving the
Administrative Agent at least two Business Days' prior irrevocable notice of
such election, provided that any such conversion of Eurodollar Loans may only be
made on the last day of an Interest Period with respect thereto. The Borrower
may elect from time to time to convert ABR Loans to Eurodollar Loans by giving
the Administrative Agent at least three Business Days' prior irrevocable notice
of such election (which notice shall specify the length of the initial Interest
Period therefor), provided that no ABR Loan under a particular Facility may be
converted into a Eurodollar Loan when any Event of Default has occurred and is
continuing and the Administrative Agent or the Majority Facility Lenders in
respect of such Facility have determined in its or their sole discretion not to
permit such conversions. Upon receipt of any such notice the Administrative
Agent shall promptly notify each relevant Lender thereof.

          (b) Any Eurodollar Loan may be continued as such upon the expiration
of the then current Interest Period with respect thereto by the Borrower giving
irrevocable notice to the Administrative Agent, in accordance with the
applicable provisions of the term "Interest Period" set forth in Section 1.1, of
the length of the next Interest Period to be applicable to such Loans, provided
that no Eurodollar Loan under a particular Facility may be continued as such
when any Event of Default has occurred and is continuing and the Administrative
Agent has or the Majority Facility Lenders in respect of such Facility have
determined in its or their sole discretion not to permit such continuations, and
provided, further, that if the Borrower shall fail to give any required notice
as described above in this paragraph or if such continuation is not permitted
pursuant to the preceding proviso each such Loan shall be automatically
converted to a Eurodollar Loan with an Interest Period of one month on the last
day of such then expiring Interest Period. Upon receipt of any such notice the
Administrative Agent shall promptly notify each relevant Lender thereof.

          2.11 Limitations on Eurodollar Tranches. Notwithstanding anything to
the contrary in this Agreement, all borrowings, conversions and continuations of
Eurodollar Loans hereunder and all selections of Interest Periods hereunder
shall be in such amounts and be made pursuant to such elections so that,
(a) after giving effect thereto, the aggregate principal amount of the
Eurodollar Loans comprising each Eurodollar Tranche shall be equal to
$10,000,000 or a whole multiple of $1,000,000 in excess thereof and (b) no more
than twenty Eurodollar Tranches shall be outstanding at any one time.

          2.12 Interest Rates and Payment Dates. (a) Each Eurodollar Loan shall
bear interest for each day during each Interest Period with respect thereto at a
rate per annum equal to the Eurodollar Rate determined for such day plus the
Applicable Margin.

          (b) Each ABR Loan shall bear interest at a rate per annum equal to the
ABR plus the Applicable Margin.
<PAGE>

                                                                              34

          (c) (i) If all or a portion of the principal amount of any Loan or
Reimbursement Obligation shall not be paid when due (whether at the stated
maturity, by acceleration or otherwise), such overdue amount shall bear interest
at a rate per annum equal to (x) in the case of the Loans, the rate that would
otherwise be applicable thereto pursuant to the foregoing provisions of this
Section plus 2% or (y) in the case of Reimbursement Obligations, the rate
applicable to ABR Loans under the Revolving Facility plus 2%, and (ii) if all or
a portion of any interest payable on any Loan or Reimbursement Obligation or any
commitment fee or other amount payable hereunder shall not be paid when due
(whether at the stated maturity, by acceleration or otherwise), such overdue
amount shall bear interest at a rate per annum equal to the rate then applicable
to ABR Loans under the relevant Facility plus 2% (or, in the case of any such
other amounts that do not relate to a particular Facility, the rate then
applicable to ABR Loans under the Revolving Facility plus 2%), in each case,
with respect to clauses (i) and (ii) above, from the date of such non-payment
until such amount is paid in full (as well after as before judgment).

          (d) Interest shall be payable in arrears on each Interest Payment
Date, provided that interest accruing pursuant to paragraph (c) of this Section
shall be payable from time to time on demand.

          2.13 Computation of Interest and Fees. (a) Interest and fees payable
pursuant hereto shall be calculated on the basis of a 360-day year for the
actual days elapsed, except that, with respect to ABR Loans the rate of interest
on which is calculated on the basis of the Prime Rate, the interest thereon
shall be calculated on the basis of a 365- (or 366-, as the case may be) day
year for the actual days elapsed. The Administrative Agent shall as soon as
practicable notify the Borrower and the relevant Lenders of each determination
of a Eurodollar Rate. Any change in the interest rate on a Loan resulting from a
change in the ABR or the Eurocurrency Reserve Requirements shall become
effective as of the opening of business on the day on which such change becomes
effective. The Administrative Agent shall as soon as practicable notify the
Borrower and the relevant Lenders of the effective date and the amount of each
such change in interest rate.

          (b) Each determination of an interest rate by the Administrative Agent
pursuant to any provision of this Agreement shall be conclusive and binding on
the Borrower and the Lenders in the absence of manifest error. The
Administrative Agent shall, at the request of the Borrower, deliver to the
Borrower a statement showing the quotations used by the Administrative Agent in
determining any interest rate pursuant to Section 2.12(a).

          2.14 Inability to Determine Interest Rate. If prior to the first day
of any Interest Period:

          (a) the Administrative Agent shall have determined (which
determination shall be conclusive and binding upon the Borrower) that, by reason
of circumstances affecting the relevant market, adequate and reasonable means do
not exist for ascertaining the Eurodollar Rate for such Interest Period, or

          (b) the Administrative Agent shall have received notice from the
Majority Facility Lenders in respect of the relevant Facility that the
Eurodollar Rate determined or to be determined for such Interest Period will not
adequately and fairly reflect the cost to such Lenders (as conclusively
certified by such Lenders) of making or maintaining their affected Loans during
such Interest Period,
<PAGE>

                                                                              35

the Administrative Agent shall give telecopy or telephonic notice thereof to the
Borrower and the relevant Lenders as soon as practicable thereafter. If such
notice is given (x) any Eurodollar Loans under the relevant Facility requested
to be made on the first day of such Interest Period shall be made as ABR Loans,
(y) any Loans under the relevant Facility that were to have been converted on
the first day of such Interest Period to Eurodollar Loans shall be continued as
ABR Loans and (z) any outstanding Eurodollar Loans under the relevant Facility
shall be converted, on the last day of the then-current Interest Period, to ABR
Loans. Until such notice has been withdrawn by the Administrative Agent, no
further Eurodollar Loans under the relevant Facility shall be made or continued
as such, nor shall the Borrower have the right to convert Loans under the
relevant Facility to Eurodollar Loans.

          2.15 Pro Rata Treatment and Payments. (a) Except in the case of the
Incremental Term Facility, each borrowing by the Borrower from the Lenders
hereunder, each payment by the Borrower on account of any commitment fee and any
reduction of the Commitments of the Lenders shall be made pro rata according to
the respective Tranche A Term Commitments, Tranche B Term Commitments or
Revolving Commitments, as the case may be, of the relevant Lenders.

          (b) Each payment (including each prepayment) by the Borrower on
account of principal of and interest on the Term Loans shall be made pro rata
according to the respective outstanding principal amounts of the Term Loans then
held by the Term Lenders (except as otherwise provided in Section 2.15(d)). The
amount of each principal prepayment of the Term Loans shall be applied to reduce
the then remaining installments of the Tranche A Term Loans, Tranche B Term
Loans and Incremental Term Loans, as the case may be, pro rata based upon the
then remaining principal amount thereof; provided that optional prepayments of
the Term Loans made pursuant to Section 2.8 may, at the Borrower's option, first
be applied to the next two originally scheduled installments of the Tranche A
Term Loans, Tranche B Term Loans and Incremental Term Loans, as the case may be,
until such installments have been paid in full. Amounts prepaid on account of
the Term Loans may not be reborrowed.

          (c) Each payment (including each prepayment) by the Borrower on
account of principal of and interest on the Revolving Loans shall be made pro
rata according to the respective outstanding principal amounts of the Revolving
Loans then held by the Revolving Lenders.

          (d) Notwithstanding anything to the contrary in this Agreement, with
respect to the amount of any mandatory prepayment of the Term Loans pursuant to
Section 2.9, that in any such case is allocated to Tranche B Term Loans or
Incremental Term Loans (such amounts, the "Tranche B Prepayment Amount" and the
"Incremental Prepayment Amount", respectively), at any time when Tranche A Term
Loans remain outstanding, the Borrower will, in lieu of applying such amount to
the prepayment of Tranche B Term Loans and Incremental Term Loans, respectively,
on the date specified in Section 2.9 for such prepayment, give the
Administrative Agent telephonic notice (promptly confirmed in writing)
requesting that the Administrative Agent prepare and provide to each Tranche B
Lender and Incremental Term Lender a notice (each, a "Prepayment Option Notice")
as described below. As promptly as practicable after receiving such notice from
the Borrower, the Administrative Agent will send to each Tranche B Lender and
Incremental Term Lender a Prepayment Option Notice, which shall be in the form
of Exhibit G, and shall include an offer by the Borrower to prepay on the date
(each a "Prepayment Date") that is 10 Business Days after the date of the
Prepayment Option Notice, the relevant Term Loans of such Lender by an amount
equal to the portion of the Prepayment Amount indicated in such Lender's
Prepayment Option Notice as being applicable to such Lender's Tranche B Term
Loans or Incremental Term Loans, as the case may be. On the Prepayment Date,
(i) the Borrower
<PAGE>

                                                                              36

shall pay to the relevant Tranche B Lenders and Incremental Term Lenders the
aggregate amount necessary to prepay that portion of the outstanding relevant
Term Loans in respect of which such Lenders have accepted prepayment as
described in the Prepayment Option Notice and (ii) the Borrower shall pay to the
Tranche A Lenders an amount equal to the portion of the Tranche B Prepayment
Amount and the Incremental Prepayment Amount not accepted by the relevant
Lenders, and such amount shall be applied to the prepayment of the Tranche A
Term Loans.

          (e) All payments (including prepayments) to be made by the Borrower
hereunder, whether on account of principal, interest, fees or otherwise, shall
be made without setoff or counterclaim and shall be made prior to 12:00 Noon,
New York City time, on the due date thereof to the Administrative Agent, for the
account of the Lenders, at the Funding Office, in Dollars and in immediately
available funds. The Administrative Agent shall distribute such payments to the
Lenders promptly upon receipt in like funds as received. If any payment
hereunder (other than payments on the Eurodollar Loans) becomes due and payable
on a day other than a Business Day, such payment shall be extended to the next
succeeding Business Day. If any payment on a Eurodollar Loan becomes due and
payable on a day other than a Business Day, the maturity thereof shall be
extended to the next succeeding Business Day unless the result of such extension
would be to extend such payment into another calendar month, in which event such
payment shall be made on the immediately preceding Business Day. In the case of
any extension of any payment of principal pursuant to the preceding two
sentences, interest thereon shall be payable at the then applicable rate during
such extension.

          (f) Unless the Administrative Agent shall have been notified in
writing by any Lender prior to a borrowing that such Lender will not make the
amount that would constitute its share of such borrowing available to the
Administrative Agent, the Administrative Agent may assume that such Lender is
making such amount available to the Administrative Agent, and the Administrative
Agent may, in reliance upon such assumption, make available to the Borrower a
corresponding amount. If such amount is not made available to the Administrative
Agent by the required time on the Borrowing Date therefor, such Lender shall pay
to the Administrative Agent, on demand, such amount with interest thereon at a
rate equal to the daily average Federal Funds Effective Rate for the period
until such Lender makes such amount immediately available to the Administrative
Agent. A certificate of the Administrative Agent submitted to any Lender with
respect to any amounts owing under this paragraph shall be conclusive in the
absence of manifest error. If such Lender's share of such borrowing is not made
available to the Administrative Agent by such Lender within three Business Days
of such Borrowing Date, the Administrative Agent shall also be entitled to
recover such amount with interest thereon at the rate per annum applicable to
ABR Loans under the relevant Facility, on demand, from the Borrower.

          (g) Unless the Administrative Agent shall have been notified in
writing by the Borrower prior to the date of any payment being made hereunder
that the Borrower will not make such payment to the Administrative Agent, the
Administrative Agent may assume that the Borrower is making such payment, and
the Administrative Agent may, but shall not be required to, in reliance upon
such assumption, make available to the Lenders their respective pro rata shares
of a corresponding amount. If such payment is not made to the Administrative
Agent by the Borrower within three Business Days of such required date, the
Administrative Agent shall be entitled to recover, on demand, from each Lender
to which any amount which was made available pursuant to the preceding sentence,
such amount with interest thereon at the rate per annum equal to the daily
average Federal Funds Effective Rate. Nothing herein shall be deemed to limit
the rights of the Administrative Agent or any Lender against the Borrower.
<PAGE>

                                                                              37

          2.16 Requirements of Law. (a) If the adoption of or any change in any
Requirement of Law or in the interpretation or application thereof or compliance
by any Lender with any request or directive (whether or not having the force of
law) from any central bank or other Governmental Authority made subsequent to
the date hereof:

          (i)   shall subject any Lender to any tax of any kind whatsoever with
respect to this Agreement, any Letter of Credit, any Application or any
Eurodollar Loan made by it, or change the basis of taxation of payments to such
Lender in respect thereof (except for Non-Excluded Taxes covered by Section 2.17
and changes in the rate of tax on the overall net income of such Lender);

          (ii)  shall impose, modify or hold applicable any reserve, special
deposit, compulsory loan or similar requirement against assets held by, deposits
or other liabilities in or for the account of, advances, loans or other
extensions of credit by, or any other acquisition of funds by, any office of
such Lender that is not otherwise included in the determination of the
Eurodollar Rate hereunder; or

          (iii) shall impose on such Lender any other condition;

and the result of any of the foregoing is to increase the cost to such Lender,
by an amount that such Lender deems to be material, of making, converting into,
continuing or maintaining Eurodollar Loans or issuing or participating in
Letters of Credit, or to reduce any amount receivable hereunder in respect
thereof, then, in any such case, the Borrower shall promptly pay such Lender,
upon its demand, any additional amounts necessary to compensate such Lender for
such increased cost or reduced amount receivable. If any Lender becomes entitled
to claim any additional amounts pursuant to this paragraph, it shall promptly
notify the Borrower (with a copy to the Administrative Agent) of the event by
reason of which it has become so entitled.

          (b) If any Lender shall have determined that the adoption of or any
change in any Requirement of Law regarding capital adequacy or in the
interpretation or application thereof or compliance by such Lender or any
corporation controlling such Lender with any request or directive regarding
capital adequacy (whether or not having the force of law) from any Governmental
Authority made subsequent to the date hereof shall have the effect of reducing
the rate of return on such Lender's or such corporation's capital as a
consequence of its obligations hereunder or under or in respect of any Letter of
Credit to a level below that which such Lender or such corporation could have
achieved but for such adoption, change or compliance (taking into consideration
such Lender's or such corporation's policies with respect to capital adequacy)
by an amount deemed by such Lender to be material, then from time to time, after
submission by such Lender to the Borrower (with a copy to the Administrative
Agent) of a written request therefor, the Borrower shall pay to such Lender such
additional amount or amounts as will compensate such Lender for such reduction;
provided that the Borrower shall not be required to compensate a Lender pursuant
to this paragraph for any amounts incurred more than six months prior to the
date that such Lender notifies the Borrower of such Lender's intention to claim
compensation therefor; and provided further that, if the circumstances giving
rise to such claim have a retroactive effect, then such six-month period shall
be extended to include the period of such retroactive effect.

          (c) A certificate, setting forth a reasonably detailed explanation as
to the reason for any additional amounts payable pursuant to this Section,
submitted by any Lender to the Borrower (with a
<PAGE>

                                                                              38

copy to the Administrative Agent) shall be conclusive in the absence of manifest
error. The obligations of the Borrower pursuant to this Section shall survive
the termination of this Agreement and the payment of the Loans and all other
amounts payable hereunder.

          2.17 Taxes. (a) All payments made by the Borrower under this Agreement
shall be made free and clear of, and without deduction or withholding for or on
account of, any present or future income, stamp or other taxes, levies, imposts,
duties, charges, fees, deductions or withholdings, now or hereafter imposed,
levied, collected, withheld or assessed by any Governmental Authority, excluding
net income taxes and franchise taxes (imposed in lieu of net income taxes)
imposed on the Administrative Agent or any Lender as a result of a present or
former connection between the Administrative Agent or such Lender and the
jurisdiction of the Governmental Authority imposing such tax or any political
subdivision or taxing authority thereof or therein (other than any such
connection arising solely from the Administrative Agent or such Lender having
executed, delivered or performed its obligations or received a payment under, or
enforced, this Agreement or any other Loan Document). If any such non-excluded
taxes, levies, imposts, duties, charges, fees, deductions or withholdings ("Non-
Excluded Taxes") or Other Taxes are required to be withheld from any amounts
payable to the Administrative Agent or any Lender hereunder, the amounts so
payable to the Administrative Agent or such Lender shall be increased to the
extent necessary to yield to the Administrative Agent or such Lender (after
payment of all Non-Excluded Taxes and Other Taxes) interest or any such other
amounts payable hereunder at the rates or in the amounts specified in this
Agreement, provided, however, that the Borrower shall not be required to
increase any such amounts payable to any Lender with respect to any Non-Excluded
Taxes (i) that are attributable to such Lender's failure to comply with the
requirements of paragraph (d) or (e) of this Section or (ii) that are United
States withholding taxes imposed on amounts payable to such Lender at the time
the Lender becomes a party to this Agreement (or designates a new lending
office), except to the extent that such Lender's assignor (if any) was entitled,
at the time of assignment, to receive additional amounts from the Borrower with
respect to such Non-Excluded Taxes pursuant to this paragraph.

          (b) In addition, the Borrower shall pay any Other Taxes to the
relevant Governmental Authority in accordance with applicable law.

          (c) Whenever any Non-Excluded Taxes or Other Taxes are payable by the
Borrower, as promptly as possible thereafter the Borrower shall send to the
Administrative Agent for its own account or for the account of the relevant
Lender, as the case may be, a certified copy of an original official receipt
received by the Borrower showing payment thereof. If the Borrower fails to pay
any Non-Excluded Taxes or Other Taxes when due to the appropriate taxing
authority or fails to remit to the Administrative Agent the required receipts or
other required documentary evidence, the Borrower shall indemnify the
Administrative Agent and the Lenders for any incremental taxes, interest or
penalties that may become payable by the Administrative Agent or any Lender as a
result of any such failure.

          (d) Each Lender (or Transferee) that is not a "U.S. Person" as defined
in Section 7701(a)(30) of the Code (a "Non-U.S. Lender") shall deliver to the
Borrower and the Administrative Agent (or, in the case of a Participant, to the
Lender from which the related participation shall have been purchased) two
copies of either U.S. Internal Revenue Service Form W-8BEN or Form W-8ECI, or,
in the case of a Non-U.S. Lender claiming exemption from U.S. federal
withholding tax under Section 871(h) or 881(c) of the Code with respect to
payments of "portfolio interest", a statement substantially in the form of
Exhibit H and a Form W-8BEN, or any subsequent versions thereof or successors
thereto, properly completed and duly executed by such Non-U.S. Lender claiming
complete exemption from, or a
<PAGE>

                                                                              39

reduced rate of, U.S. federal withholding tax on all payments by the Borrower
under this Agreement and the other Loan Documents. Such forms shall be delivered
by each Non-U.S. Lender on or before the date it becomes a party to this
Agreement or designates a new lending office (or, in the case of any
Participant, on or before the date such Participant purchases the related
participation). In addition, each Non-U.S. Lender shall deliver such forms
promptly upon the obsolescence or invalidity of any form previously delivered by
such Non-U.S. Lender. Each Non-U.S. Lender shall promptly notify the Borrower at
any time it determines that it is no longer in a position to provide any
previously delivered certificate to the Borrower (or any other form of
certification adopted by the U.S. taxing authorities for such purpose).
Notwithstanding any other provision of this paragraph, a Non-U.S. Lender shall
not be required to deliver any form pursuant to this paragraph that such Non-
U.S. Lender is not legally able to deliver.

          (e) If the Administrative Agent or any Lender receives a refund in
respect of any amounts paid by the Borrower pursuant to this Section 2.17, which
refund in the sole judgment of such Administrative Agent or such Lender is
allocable to such payment, it shall pay the amount of such refund to the
Borrower, net of all out-of-pocket expenses of the Administrative Agent or such
Lender, provided however, that the Borrower, upon the request of such Lender or
the Administrative Agent, agrees to repay the amount paid over to the Borrower
to the Administrative Agent or such Lender in the event such Administrative
Agent or the Lender is required to repay such refund. Nothing contained herein
shall interfere with the right of the Administrative Agent or any Lender to
arrange its tax affairs in whatever manner it deems fit nor oblige the
Administrative Agent or any Lender to apply for any refund or to disclose any
information relating to its affairs or any computations in respect thereof.

          (f) The agreements in this Section shall survive the termination of
this Agreement and the payment of the Loans and all other amounts payable
hereunder.

          2.18 Indemnity. The Borrower agrees to indemnify each Lender and to
hold each Lender harmless from any loss or expense that such Lender sustains or
incurs as a consequence of (a) default by the Borrower in making a borrowing of,
conversion into or continuation of Eurodollar Loans after the Borrower has given
a notice requesting the same in accordance with the provisions of this
Agreement, (b) default by the Borrower in making any prepayment of or conversion
from Eurodollar Loans after the Borrower has given a notice thereof in
accordance with the provisions of this Agreement or (c) the making of a
prepayment of Eurodollar Loans on a day that is not the last day of an Interest
Period with respect thereto. Such indemnification may include an amount equal to
the excess, if any, of (i) the amount of interest that would have accrued on the
amount so prepaid, or not so borrowed, converted or continued, for the period
from the date of such prepayment or of such failure to borrow, convert or
continue to the last day of such Interest Period (or, in the case of a failure
to borrow, convert or continue, the Interest Period that would have commenced on
the date of such failure) in each case at the applicable rate of interest for
such Loans provided for herein (excluding, however, the Applicable Margin
included therein, if any) over (ii) the amount of interest (as reasonably
determined by such Lender) that would have accrued to such Lender on such amount
by placing such amount on deposit for a comparable period with leading banks in
the interbank eurodollar market. A certificate as to any amounts payable
pursuant to this Section submitted to the Borrower by any Lender shall be
conclusive in the absence of manifest error. This covenant shall survive the
termination of this Agreement and the payment of the Loans and all other amounts
payable hereunder.
<PAGE>

                                                                              40

          2.19 Change of Lending Office. Each Lender agrees that, upon the
occurrence of any event giving rise to the operation of Section 2.16 or 2.17(a)
with respect to such Lender, it will, if requested by the Borrower, use
reasonable efforts (subject to overall policy considerations of such Lender) to
designate another lending office for any Loans affected by such event with the
object of avoiding the consequences of such event; provided, that such
designation is made on terms that, in the sole judgment of such Lender, cause
such Lender and its lending office(s) to suffer no economic, legal or regulatory
disadvantage, and provided, further, that nothing in this Section shall affect
or postpone any of the obligations of the Borrower or the rights of any Lender
pursuant to Section 2.16 or 2.17(a).

          2.20 Replacement of Lenders. The Borrower shall be permitted to
replace any Lender that (a) requests reimbursement for amounts owing pursuant to
Section 2.16 or 2.17(a) or (b) defaults in its obligation to make Loans
hereunder, with a replacement financial institution; provided that (i) such
replacement does not conflict with any Requirement of Law, (ii) no Event of
Default shall have occurred and be continuing at the time of such replacement,
(iii) prior to any such replacement, such Lender shall have taken no action
under Section 2.19 so as to eliminate the continued need for payment of amounts
owing pursuant to Section 2.16 or 2.17(a), (iv) the replacement financial
institution shall purchase, at par, all Loans and other amounts owing to such
replaced Lender on or prior to the date of replacement, (v) the Borrower shall
be liable to such replaced Lender under Section 2.18 if any Eurodollar Loan
owing to such replaced Lender shall be purchased other than on the last day of
the Interest Period relating thereto, (vi) the replacement financial
institution, if not already a Lender, shall be reasonably satisfactory to the
Administrative Agent, (vii) the replaced Lender shall be obligated to make such
replacement in accordance with the provisions of Section 10.6 (provided that the
Borrower shall be obligated to pay the registration and processing fee referred
to therein), (viii) until such time as such replacement shall be consummated,
the Borrower shall pay all additional amounts (if any) required pursuant to
Section 2.16 or 2.17(a), as the case may be, and (ix) any such replacement shall
not be deemed to be a waiver of any rights that the Borrower, the Administrative
Agent or any other Lender shall have against the replaced Lender.

                         SECTION 3. LETTERS OF CREDIT

          3.1 L/C Commitment. (a) Subject to the terms and conditions hereof,
each Issuing Lender, in reliance on the agreements of the other Revolving
Lenders set forth in Section 3.4(a), agrees to issue letters of credit ("Letters
of Credit") for the account of the Borrower on any Business Day during the
Revolving Commitment Period in such form as may be approved from time to time by
such Issuing Lender; provided that no Issuing Lender shall have an obligation to
issue any Letter of Credit if, after giving effect to such issuance, (i) the L/C
Obligations would exceed the L/C Commitment or (ii) the aggregate amount of the
Available Revolving Commitments would be less than zero. Each Letter of Credit
shall (i) be denominated in Dollars, (ii) have a face amount of at least
$100,000 (unless otherwise agreed by the relevant Issuing Lender) and (iii)
expire no later than the earlier of (x) the first anniversary of its date of
issuance and (y) the date that is five Business Days prior to the Revolving
Termination Date, provided that any Letter of Credit with a one-year term may
provide for the renewal thereof for additional one-year periods (which shall in
no event extend beyond the date referred to in clause (y) above).

          (b) No Issuing Lender shall at any time be obligated to issue any
Letter of Credit hereunder if such issuance would conflict with, or cause such
Issuing Lender or any L/C Participant to exceed any limits imposed by, any
applicable Requirement of Law.
<PAGE>

                                                                              41

          3.2 Procedure for Issuance of Letter of Credit. The Borrower may from
time to time request that any Issuing Lender issue a Letter of Credit by
delivering to such Issuing Lender at its address for notices specified herein an
Application therefor, completed to the satisfaction of such Issuing Lender, and
such other certificates, documents and other papers and information as such
Issuing Lender may request. Upon receipt of any Application, the relevant
Issuing Lender will process such Application and the certificates, documents and
other papers and information delivered to it in connection therewith in
accordance with its customary procedures and shall promptly issue the Letter of
Credit requested thereby (but in no event shall such Issuing Lender be required
to issue any Letter of Credit earlier than three Business Days after its receipt
of the Application therefor and all such other certificates, documents and other
papers and information relating thereto) by issuing the original of such Letter
of Credit to the beneficiary thereof or as otherwise may be agreed to by such
Issuing Lender and the Borrower. The relevant Issuing Lender shall furnish a
copy of such Letter of Credit to the Borrower promptly following the issuance
thereof. The relevant Issuing Lender shall promptly furnish to the
Administrative Agent, which shall in turn promptly furnish to the Lenders,
notice of the issuance of each Letter of Credit (including the amount thereof).

          3.3 Fees and Other Charges. (a) The Borrower will pay a fee on all
outstanding Letters of Credit at a per annum rate equal to the Applicable Margin
then in effect with respect to Eurodollar Loans under the Revolving Facility,
shared ratably among the Revolving Lenders and payable quarterly in arrears on
each L/C Fee Payment Date after the issuance date. In addition, the Borrower
shall pay to the relevant Issuing Lender for its own account a fronting fee of
0.25% per annum on the face amount of each Letter of Credit, payable quarterly
in arrears on each L/C Fee Payment Date after the Issuance Date.

          (b) In addition to the foregoing fees, the Borrower shall pay or
reimburse the relevant Issuing Lender for such normal and customary costs and
expenses as are incurred or charged by such Issuing Lender in issuing,
negotiating, effecting payment under, amending or otherwise administering any
Letter of Credit.

          3.4 L/C Participations. (a) Each Issuing Lender irrevocably agrees to
grant and hereby grants to each L/C Participant, and, to induce the Issuing
Lenders to issue Letters of Credit hereunder, each L/C Participant irrevocably
agrees to accept and purchase and hereby accepts and purchases from each Issuing
Lender, on the terms and conditions set forth below, for such L/C Participant's
own account and risk an undivided interest equal to such L/C Participant's
Revolving Percentage in each Issuing Lender's obligations and rights under and
in respect of each Letter of Credit issued by it hereunder and the amount of
each draft paid by such Issuing Lender thereunder. Each L/C Participant
unconditionally and irrevocably agrees with each Issuing Lender that, if a draft
is paid under any Letter of Credit for which such Issuing Lender is not
reimbursed in full by the Borrower in accordance with the terms of this
Agreement, such L/C Participant shall pay to such Issuing Lender upon demand at
such Issuing Lender's address for notices specified herein an amount equal to
such L/C Participant's Revolving Percentage of the amount of such draft, or any
part thereof, that is not so reimbursed.

          (b) If any amount required to be paid by any L/C Participant to any
Issuing Lender pursuant to Section 3.4(a) in respect of any unreimbursed portion
of any payment made by such Issuing Lender under any Letter of Credit is paid to
such Issuing Lender within three Business Days after the date such payment is
due, such L/C Participant shall pay to such Issuing Lender on demand an amount
equal to the product of (i) such amount, times (ii) the daily average Federal
Funds Effective Rate during
<PAGE>

                                                                              42

the period from and including the date such payment is required to the date on
which such payment is immediately available to such Issuing Lender, times (iii)
a fraction the numerator of which is the number of days that elapse during such
period and the denominator of which is 360. If any such amount required to be
paid by any L/C Participant pursuant to Section 3.4(a) is not made available to
the relevant Issuing Lender by such L/C Participant within three Business Days
after the date such payment is due, such Issuing Lender shall be entitled to
recover from such L/C Participant, on demand, such amount with interest thereon
calculated from such due date at the rate per annum applicable to ABR Loans
under the Revolving Facility. A certificate of the relevant Issuing Lender
submitted to any L/C Participant with respect to any amounts owing under this
Section shall be conclusive in the absence of manifest error.

          (c) Whenever, at any time after the relevant Issuing Lender has made
payment under any Letter of Credit and has received from any L/C Participant its
pro rata share of such payment in accordance with Section 3.4(a), such Issuing
Lender receives any payment related to such Letter of Credit (whether directly
from the Borrower or otherwise, including proceeds of collateral applied thereto
by such Issuing Lender), or any payment of interest on account thereof, such
Issuing Lender will distribute to such L/C Participant its pro rata share
thereof; provided, however, that in the event that any such payment received by
such Issuing Lender shall be required to be returned by such Issuing Lender,
such L/C Participant shall return to such Issuing Lender the portion thereof
previously distributed by such Issuing Lender to it.

          3.5 Reimbursement Obligation of the Borrower. The Borrower agrees to
reimburse the relevant Issuing Lender on each date next succeeding the date on
which such Issuing Lender notifies the Borrower of the date and amount of a
draft presented under any Letter of Credit and paid by such Issuing Lender for
the amount of (a) such draft so paid and (b) any taxes, fees, charges or other
costs or expenses incurred by such Issuing Lender in connection with such
payment. Each such payment shall be made to the relevant Issuing Lender at its
address for notices specified herein in lawful money of the United States and in
immediately available funds. Interest shall be payable on any and all amounts
remaining unpaid by the Borrower under this Section from the date on which the
relevant draft is paid or the relevant costs or expenses are incurred, as the
case may be, until payment in full at the rate set forth in (i) until the second
Business Day following such date, Section 2.12(b) and (ii) thereafter, Section
2.12(c).

          3.6 Obligations Absolute. The Borrower's obligations under this
Section 3 shall be absolute and unconditional under any and all circumstances
and irrespective of any setoff, counterclaim or defense to payment that the
Borrower may have or have had against any Issuing Lender, any beneficiary of a
Letter of Credit or any other Person. The Borrower also agrees with each Issuing
Lender that no Issuing Lender shall be responsible for, and the Borrower's
Reimbursement Obligations under Section 3.5 shall not be affected by, among
other things, the validity or genuineness of documents or of any endorsements
thereon, even though such documents shall in fact prove to be invalid,
fraudulent or forged, or any dispute between or among the Borrower and any
beneficiary of any Letter of Credit or any other party to which such Letter of
Credit may be transferred or any claims whatsoever of the Borrower against any
beneficiary of such Letter of Credit or any such transferee. No Issuing Lender
shall be liable for any error, omission, interruption or delay in transmission,
dispatch or delivery of any message or advice, however transmitted, in
connection with any Letter of Credit, except for errors or omissions found by a
final and nonappealable decision of a court of competent jurisdiction to have
resulted from the gross negligence or willful misconduct of the relevant Issuing
Lender. The Borrower agrees that any action taken or omitted by any Issuing
Lender under or in connection with any Letter of Credit or the related
<PAGE>

                                                                              43

drafts or documents, if done in the absence of gross negligence or willful
misconduct and in accordance with the standards of care specified in the Uniform
Commercial Code of the State of New York, shall be binding on the Borrower and
shall not result in any liability of any Issuing Lender to the Borrower.

          3.7 Letter of Credit Payments. If any draft shall be presented for
payment under any Letter of Credit, the relevant Issuing Lender shall promptly
notify the Borrower of the date and amount thereof. The responsibility of each
Issuing Lender to the Borrower in connection with any draft presented for
payment under any Letter of Credit shall, in addition to any payment obligation
expressly provided for in such Letter of Credit, be limited to determining that
the documents (including each draft) delivered under such Letter of Credit in
connection with such presentment are substantially in conformity with such
Letter of Credit.

          3.8 Applications. To the extent that any provision of any Application
related to any Letter of Credit is inconsistent with the provisions of this
Section 3, the provisions of this Section 3 shall apply.

                   SECTION 4. REPRESENTATIONS AND WARRANTIES

          To induce the Administrative Agent and the Lenders to enter into this
Agreement and to make the Loans and issue or participate in the Letters of
Credit, Holdings and the Borrower hereby jointly and severally represent and
warrant to the Administrative Agent and each Lender that:

          4.1 Financial Condition. (a) Each of (i) the unaudited pro forma
consolidated balance sheet of the Borrower and its Subsidiaries as at September
30, 1999 (including the notes thereto) and (ii) the unaudited pro forma
consolidated balance sheet of the Loan Parties (as a group) as at September 30,
1999 (including the notes thereto) (the "Pro Forma Balance Sheets"), copies of
which have heretofore been furnished to each Lender, has been prepared giving
effect (as if such events had occurred on such date) to (i) the Loans to be made
on the Closing Date and the use of proceeds thereof and (ii) the payment of fees
and expenses in connection with the foregoing. Each of the Pro Forma Balance
Sheets has been prepared based on the best information available to the Borrower
as of the date of delivery thereof, and presents fairly on a pro forma basis the
estimated financial position of (i) the Borrower and its Subsidiaries or (ii)
the Loan Parties (as a group), as applicable, in each case as at September 30,
1999, assuming that the events specified in the preceding sentence had actually
occurred at such date.

          (b) The audited consolidated financial statements of Holdings and its
Subsidiaries (including, for purposes of this Section 4.1(b), the Unrestricted
Subsidiaries) as at December 31, 1998, and the related consolidated statements
of income and of cash flows for the fiscal year ended on such date, reported on
by and accompanied by an unqualified report from KPMG, LLP, present fairly the
consolidated financial condition of Holdings and its Subsidiaries as at such
date, and the consolidated results of its operations and its consolidated cash
flows for the fiscal year then ended. The unaudited consolidated financial
statements of Holdings and its Subsidiaries as at September 30, 1999, and the
related unaudited consolidated statements of income and cash flows for the nine-
month period ended on such date, present fairly the consolidated financial
condition of Holdings and its Subsidiaries as at such date, and the consolidated
results of its operations and its consolidated cash flows for the nine-month
period then ended (subject to normal year-end audit adjustments). All such
financial statements, including the related schedules and notes thereto, have
been prepared in accordance with GAAP applied consistently throughout the
periods involved (except as approved by the aforementioned firm of
<PAGE>

                                                                              44

accountants and disclosed therein). Holdings and its Subsidiaries do not have
any material Guarantee Obligations, contingent liabilities and liabilities for
taxes, or any long-term leases or unusual forward or long-term commitments,
including any interest rate or foreign currency swap or exchange transaction or
other obligation in respect of derivatives, that are not reflected in the most
recent financial statements referred to in this paragraph. During the period
from December 31, 1998 to and including the date hereof there has been no
Disposition by Holdings or any of its Subsidiaries of any material part of its
business or property.

          (c) The audited consolidated financial statements of the Loan Parties
(as a group) as at December 31, 1998, and the related consolidated statements of
income and of cash flows for the fiscal year ended on such date, reported on by
and accompanied by an unqualified report from KPMG, LLP, present fairly the
consolidated financial condition of the Loan Parties (as a group) as at such
date, and the consolidated results of its operations and its consolidated cash
flows for the fiscal year then ended. The unaudited consolidated financial
statements of the Loan Parties (as a group) as at September 30, 1999, and the
related unaudited consolidated statements of income and cash flows for the nine-
month period ended on such date, present fairly the consolidated financial
condition of the Loan Parties (as a group) as at such date, and the consolidated
results of its operations and its consolidated cash flows for the nine-month
period then ended (subject to normal year-end audit adjustments). All such
financial statements, including the related schedules and notes thereto, have
been prepared in accordance with GAAP applied consistently throughout the
periods involved (except as approved by the aforementioned firm of accountants
and disclosed therein). The Loan Parties do not have any material Guarantee
Obligations, contingent liabilities and liabilities for taxes, or any long-term
leases or unusual forward or long-term commitments, including any interest rate
or foreign currency swap or exchange transaction or other obligation in respect
of derivatives, that are not reflected in the most recent financial statements
referred to in this paragraph. During the period from December 31, 1998 to and
including the date hereof there has been no Disposition by any of the Loan
Parties of any material part of its business or property.

          4.2 No Change. Since September 30, 1999, there has been no development
or event that has had or could reasonably be expected to have a Material Adverse
Effect.

          4.3 Corporate Existence; Compliance with Law. Each of Holdings, the
Borrower and their respective Subsidiaries (a) is duly organized, validly
existing and in good standing under the laws of the jurisdiction of its
organization, (b) has the corporate power and authority, and the legal right, to
own and operate its property, to lease the property it operates as lessee and to
conduct the business in which it is currently engaged, (c) is duly qualified as
a foreign corporation and in good standing under the laws of each jurisdiction
where its ownership, lease or operation of property or the conduct of its
business requires such qualification except to the extent that the failure to be
so qualified and in good standing could not, in the aggregate, reasonably be
expected to have a Material Adverse Effect and (d) is in compliance with all
Requirements of Law except to the extent that the failure to comply therewith
could not, in the aggregate, reasonably be expected to have a Material Adverse
Effect.

          4.4 Corporate Power; Authorization; Enforceable Obligations. Each Loan
Party has the corporate power and authority, and the legal right, to make,
deliver and perform the Loan Documents to which it is a party and, in the case
of the Borrower, to obtain extensions of credit hereunder. Each Loan Party has
taken all necessary corporate action to authorize the execution, delivery and
performance of the Loan Documents to which it is a party and, in the case of the
Borrower, to authorize the extensions of credit on the terms and conditions of
this Agreement. No material consent or authorization of, filing with,
<PAGE>

                                                                              45

notice to or other act by or in respect of, any Governmental Authority or any
other Person is required in connection with the extensions of credit hereunder
or with the execution, delivery, performance, validity or enforceability of this
Agreement or any of the Loan Documents, except (i) consents, authorizations,
filings and notices described in Schedule 4.4, which consents, authorizations,
filings and notices have been obtained or made and are in full force and effect
and (ii) the filings referred to in Section 4.19. Each Loan Document has been
duly executed and delivered on behalf of each Loan Party party thereto. This
Agreement constitutes, and each other Loan Document upon execution will
constitute, a legal, valid and binding obligation of each Loan Party party
thereto, enforceable against each such Loan Party in accordance with its terms,
except as enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting the enforcement of
creditors' rights generally and by general equitable principles (whether
enforcement is sought by proceedings in equity or at law).

          4.5 No Legal Bar. The execution, delivery and performance of this
Agreement and the other Loan Documents, the issuance of Letters of Credit, the
borrowings hereunder and the use of the proceeds thereof will not violate any
Requirement of Law or any Contractual Obligation of Holdings, the Borrower or
any of their respective Subsidiaries and will not result in, or require, the
creation or imposition of any Lien on any of their respective properties or
revenues pursuant to any Requirement of Law or any such Contractual Obligation
(other than the Liens created by the Guarantee and Collateral Agreement).

          4.6 Litigation. No litigation, investigation or proceeding of or
before any arbitrator or Governmental Authority is pending or, to the knowledge
of Holdings or the Borrower, threatened by or against Holdings, the Borrower or
any of their respective Subsidiaries or against any of their respective
properties or revenues (a) with respect to any of the Loan Documents or any of
the transactions contemplated hereby or thereby, or (b) that could reasonably be
expected to have a Material Adverse Effect.

          4.7 No Default. Neither Holdings, the Borrower nor any of their
respective Subsidiaries is in default under or with respect to any of its
Contractual Obligations in any respect that could reasonably be expected to have
a Material Adverse Effect. No Default or Event of Default has occurred and is
continuing.

          4.8 Ownership of Property; Liens. Each of Holdings, the Borrower and
their respective Subsidiaries has title in fee simple to, or a valid leasehold
interest in, all its real property, and good title to, or a valid leasehold
interest in, all its other property, and none of such property is subject to any
Lien except as permitted by Section 7.3 and except for any immaterial defects in
title.

          4.9 Intellectual Property. Holdings, the Borrower and each of their
respective Subsidiaries owns, or is licensed to use, all Intellectual Property
necessary for the conduct of its business as currently conducted. No material
claim has been asserted and is pending by any Person challenging or questioning
the use of any Intellectual Property or the validity or effectiveness of any
Intellectual Property, nor does Holdings or the Borrower know of any valid basis
for any such claim. The use of Intellectual Property by Holdings, the Borrower
and their respective Subsidiaries does not infringe on the rights of any Person
in any material respect.

          4.10 Taxes. Each of Holdings, the Borrower and each of their
respective Subsidiaries has filed or caused to be filed all Federal, state and
other material tax returns that are required to be filed and has paid all taxes
shown to be due and payable on said returns or on any assessments made against
it
<PAGE>

                                                                              46

or any of its property and all other taxes, fees or other charges imposed on it
or any of its property by any Governmental Authority (other than any the amount
or validity of which are currently being contested in good faith by appropriate
proceedings and with respect to which reserves in conformity with GAAP have been
provided on the books of Holdings, the Borrower or their respective
Subsidiaries, as the case may be); no tax Lien has been filed, and, to the
knowledge of Holdings and the Borrower, no claim is being asserted, with respect
to any such tax, fee or other charge.

          4.11 Federal Regulations. No part of the proceeds of any Loans, and no
other extensions of credit hereunder, will be used for "buying" or "carrying"
any "margin stock" within the respective meanings of each of the quoted terms
under Regulation U as now and from time to time hereafter in effect or for any
purpose that violates the provisions of the Regulations of the Board. If
requested by any Lender or the Administrative Agent, the Borrower will furnish
to the Administrative Agent and each Lender a statement to the foregoing effect
in conformity with the requirements of FR Form G-3 or FR Form U-1, as
applicable, referred to in Regulation U.

          4.12 Labor Matters. Except as, in the aggregate, could not reasonably
be expected to have a Material Adverse Effect: (a) there are no strikes or other
labor disputes against Holdings, the Borrower or any of their respective
Subsidiaries pending or, to the knowledge of Holdings or the Borrower,
threatened; (b) hours worked by and payment made to employees of Holdings, the
Borrower and their respective Subsidiaries have not been in violation of the
Fair Labor Standards Act or any other applicable Requirement of Law dealing with
such matters; and (c) all payments due from Holdings, the Borrower or any of
their respective Subsidiaries on account of employee health and welfare
insurance have been paid or accrued as a liability on the books of Holdings, the
Borrower or the relevant Subsidiary.

          4.13 ERISA. Neither a Reportable Event nor an "accumulated funding
deficiency" (within the meaning of Section 412 of the Code or Section 302 of
ERISA) has occurred during the five-year period prior to the date on which this
representation is made or deemed made with respect to any Plan, and each Plan
has complied in all material respects with the applicable provisions of ERISA
and the Code. No termination of a Single Employer Plan (other than a standard
termination pursuant to Section 4041(b) of ERISA) has occurred, and no Lien in
favor of the PBGC or a Plan has arisen, during such five-year period. The
present value of all accrued benefits under each Single Employer Plan (based on
those assumptions used to fund such Plans) did not, as of the last annual
valuation date prior to the date on which this representation is made or deemed
made, exceed the value of the assets of such Plan allocable to such accrued
benefits by an amount that could reasonably be expected to have a Material
Adverse Effect. Neither the Borrower nor any Commonly Controlled Entity has had
a complete or partial withdrawal from any Multiemployer Plan that has resulted
or could reasonably be expected to result in a material liability under ERISA,
and neither the Borrower nor any Commonly Controlled Entity would become subject
to any material liability under ERISA if the Borrower or any such Commonly
Controlled Entity were to withdraw completely from all Multiemployer Plans as of
the valuation date most closely preceding the date on which this representation
is made or deemed made. No such Multiemployer Plan is in Reorganization or
Insolvent.

          4.14 Investment Company Act; Other Regulations. No Loan Party is an
"investment company", or a company "controlled" by an "investment company",
within the meaning of the Investment Company Act of 1940, as amended. No Loan
Party is subject to regulation under any Requirement of Law (other than
Regulation X of the Board) that limits its ability to incur Indebtedness.
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                                                                              47

          4.15 Subsidiaries. Except as disclosed to the Administrative Agent by
the Borrower in writing from time to time after the Closing Date, (a) Schedule
4.15 sets forth the name and jurisdiction of incorporation of each Subsidiary
and, as to each such Subsidiary, the percentage of each class of Capital Stock
owned by any Loan Party and (b) there are no outstanding subscriptions, options,
warrants, calls, rights or other agreements or commitments (other than stock
options granted to employees or directors and directors' qualifying shares) of
any nature relating to any Capital Stock of the Borrower or any Subsidiary,
except (i) as created by the Loan Documents, (ii) for the call right described
in Section 7.5(e) and (iii) as created by agreements governing Investments made
pursuant to Section 7.7(i), (j) or (l) (and which apply only to Capital Stock of
the Subsidiary in which the relevant Investment is made).

          4.16 Use of Proceeds. The proceeds of the Loans and the Letters of
Credit shall be used for general corporate purposes.

          4.17 Environmental Matters. Except as, in the aggregate, could not
reasonably be expected to have a Material Adverse Effect:

          (a) the facilities and properties owned, leased or operated by
Holdings, the Borrower or any of their respective Subsidiaries (the
"Properties") do not contain any Materials of Environmental Concern in amounts
or concentrations that constitute a violation of, or could reasonably be
expected to result in liability of Holdings, the Borrower or any of their
respective Subsidiaries under applicable Environmental Law;

          (b) neither Holdings, the Borrower nor any of their respective
Subsidiaries has received written notice of any actual or alleged violation,
liability or potential liability regarding compliance with Environmental Laws
with regard to any of the Properties or the business operated by Holdings, the
Borrower or any of their respective Subsidiaries (the "Business"), nor does
Holdings or the Borrower have knowledge or reason to believe that any such
notice will be received or is being threatened;

          (c) neither Holdings, the Borrower nor any of their respective
Subsidiaries has transported or disposed of Materials of Environmental Concern
from the Properties in violation of, or in a manner or to a location that could
reasonably be expected to result in liability of Holdings, the Borrower or any
of their respective Subsidiaries under, applicable Environmental Law;

          (d) no judicial proceeding or governmental or administrative action is
pending or, to the knowledge of Holdings and the Borrower, threatened, under
applicable Environmental Law against Holdings, the Borrower or any of their
respective Subsidiaries with respect to the Properties or the Business, nor are
there any consent decrees or other decrees, consent orders, administrative
orders or other orders outstanding under applicable Environmental Law with
respect to the Properties or the Business; and

          (e) the Properties and all operations at the Properties are in
compliance with all applicable Environmental Laws.

          4.18 Accuracy of Information, etc. No statement or information
contained in this Agreement, any other Loan Document, the Confidential
Information Memorandum or any other document, certificate or statement furnished
by or on behalf of any Loan Party to the Administrative
<PAGE>

                                                                              48

Agent or the Lenders, or any of them, for use in connection with the
transactions contemplated by this Agreement or the other Loan Documents,
contained as of the date such statement, information, document or certificate
was so furnished (or, in the case of the Confidential Information Memorandum, as
of the date of this Agreement), any untrue statement of a material fact or
omitted to state a material fact necessary to make the statements contained
herein or therein not misleading. The projections and pro forma financial
information contained in the materials referenced above are based upon good
faith estimates and assumptions believed by management of the Borrower to be
reasonable at the time made, it being recognized by the Lenders that such
financial information as it relates to future events is not to be viewed as fact
and that actual results during the period or periods covered by such financial
information may differ from the projected results set forth therein by a
material amount.

          4.19 Security Interests. The Guarantee and Collateral Agreement is
effective to create in favor of the Administrative Agent, for the benefit of the
Lenders, a legal, valid and enforceable security interest in the Collateral
described therein and proceeds thereof. In the case of the Pledged Stock
described in the Guarantee and Collateral Agreement, when stock certificates
representing such Pledged Stock are delivered to the Administrative Agent, and
in the case of the other Collateral described in the Guarantee and Collateral
Agreement, when financing statements and other filings specified on Schedule
4.19 in appropriate form are filed in the offices specified on Schedule 4.19,
the Guarantee and Collateral Agreement shall constitute a fully perfected Lien
on, and security interest in, all right, title and interest of the Loan Parties
in such Collateral and the proceeds thereof for which the filing of a Uniform
Commercial Code financing statement is specified as the manner of perfection, as
security for the Obligations (as defined in the Guarantee and Collateral
Agreement), in each case prior and superior in right to any other Person
(except, in the case of Collateral other than Pledged Stock, Liens permitted by
Section 7.3).

          4.20 Solvency. Each Loan Party is, and after giving effect to the
incurrence of all Indebtedness and obligations being incurred in connection
herewith will be and will continue to be, Solvent.

          4.21 Year 2000 Matters. Except for disruptions which, in the
aggregate, could not reasonably be expected to have a Material Adverse Effect,
the year 2000 date change has not resulted in disruption of Holdings', the
Borrower's and their respective Subsidiaries' computer hardware, software,
databases, systems and other equipment containing embedded microchips (including
systems and equipment supplied by others or with which Holdings', the Borrower's
or their respective Subsidiaries' systems interface), or to Holdings', the
Borrower's or their respective Subsidiaries' operations or business systems, or
to the best of Holdings', the Borrower's and their respective Subsidiaries'
knowledge, to the operations or business systems of the Borrower's major
vendors, customers, suppliers and counterparties. Neither Holdings nor the
Borrower has any reason to believe that liabilities and expenditures related to
the year 2000 date-change (including, without limitation, costs caused by
reprogramming errors, the failure of others' systems or equipment, and the
potential liability, if any, of Holdings, the Borrower or their respective
Subsidiaries for year 2000 related costs incurred or disruption experienced by
others) will result in a Default, Event of Default or a Material Adverse Effect.
<PAGE>

                                                                              49

SECTION 5. CONDITIONS PRECEDENT
          5.1 Conditions to Initial Extension of Credit. The agreement of each
Lender to make the initial extension of credit requested to be made by it is
subject to the satisfaction, prior to or concurrently with the making of such
extension of credit on the Closing Date, of the following conditions precedent:

          (a) Credit Agreement; Guarantee and Collateral Agreement. The
Administrative Agent shall have received (i) this Agreement, executed and
delivered by the Agents, Holdings, the Borrower and each Person listed on
Schedule 1.1, (ii) the Guarantee and Collateral Agreement, executed and
delivered by Holdings, the Borrower, each Subsidiary Guarantor and any Specified
Non-Wholly Owned Subsidiary and (iii) an Acknowledgement and Consent in the form
attached to the Guarantee and Collateral Agreement, executed and delivered by
each Issuer (as defined therein), if any, that is not a Loan Party.

          In the event that this Agreement has not been duly executed and
delivered by each Person listed on Schedule 1.1 on the date scheduled to be the
Closing Date, the condition referred to in clause (i) above shall nevertheless
be deemed satisfied if on such date the Borrower and the Administrative Agent
shall have designated one or more Persons (the "Designated Lenders") to assume,
in the aggregate, all of the Commitments that would have been held by the
Persons listed on Schedule 1.1 (the "Non-Executing Persons") which have not so
executed and delivered this Agreement (subject to each such Designated Lender's
consent and its execution and delivery of this Agreement). Schedule 1.1 shall
automatically be deemed to be amended to reflect the respective Commitments of
the Designated Lenders and the omission of the Non-Executing Persons as Lenders
hereunder.

<PAGE>

                                                                              50

          (b) Cash at Holdings, etc.

              (i)   The Administrative Agent shall have received satisfactory
          evidence that the amount of cash held by Holdings on the Closing Date,
          when added to the amount of cash contributed by Holdings to the
          Borrower or any of the Borrower's Subsidiaries during the period from
          January 1, 2000 through the Closing Date, shall equal at least
          $425,000,000; and

              (ii)  (A) The Administrative Agent shall have received a
          satisfactory "pay-off" letter from KCCI, as administrative agent under
          the KCCI Credit Agreement, stating, among other things, that upon the
          payment in full of all amounts owing under the KCCI Credit Agreement,
          the KCCI Credit Agreement shall terminate and all liens and other
          security interests granted thereunder shall terminate and be of no
          further force or effect and (B) the Administrative Agent shall have
          received a copy of a funds flow memorandum evidencing the payment in
          full to KCCI, as administrative agent under the KCCI Credit Agreement,
          of all amounts owing thereunder.

          (c) Pro Forma Balance Sheet; Financial Statements; Projections.
(i) The Lenders shall have received the Pro Forma Balance Sheets and the other
financial statements referred to in Section 4.1.

          (ii) The Lenders shall have received satisfactory Projections through
the 2008 fiscal year of the Borrower.
<PAGE>

                                                                              51

     (d) Approvals. All material governmental and third party approvals
(including, without limitation, any approval in connection with the pledge of
Capital Stock of the GTE JV) necessary in connection with the transactions
contemplated hereby shall have been obtained and be in full force and effect.

     (e) Lien Searches. The Administrative Agent shall have received the results
of a recent Uniform Commercial Code lien search from the Secretary of State or
other appropriate state office for those states in which are located towers or
other income producing property of the Borrower or any of its Subsidiaries that
have generated on a pro forma basis in the aggregate at least 50% of the gross
revenues of the Borrower and its Subsidiaries for the twelve month period most
recently ended prior to the Closing Date, and such search shall reveal no liens
on any of the assets of the Borrower or its Subsidiaries except for liens
permitted by Section 7.3 or discharged on or prior to the Closing Date pursuant
to documentation satisfactory to the Administrative Agent.

     (f) Fees. The Lenders and the Agents shall have received all fees required
to be paid, and all expenses for which invoices have been presented (including
the reasonable fees and expenses of legal counsel), on or before the Closing
Date. All such amounts will be paid with proceeds of Loans made on the Closing
Date and will be reflected in the funding instructions given by the Borrower to
the Administrative Agent on or before the Closing Date.

     (g) Closing Certificate. The Administrative Agent shall have received a
certificate of each Loan Party, dated the Closing Date, substantially in the
form of Exhibit C, with appropriate insertions and attachments.

     (h) Legal Opinions. The Administrative Agent shall have received the
executed legal opinion of Cravath, Swaine & Moore, counsel to Holdings, the
Borrower and its Subsidiaries, substantially in the form of Exhibit F. Such
legal opinion shall cover such other matters incident to the transactions
contemplated by this Agreement as the Administrative Agent may reasonably
require.

     (i) Pledged Stock; Stock Powers; Pledged Notes. The Administrative Agent
shall have received (i) if certificated, the certificates representing the
shares of Capital Stock pledged pursuant to the Guarantee and Collateral
Agreement, together with an undated stock power for each such certificate
executed in blank by a duly authorized officer of the pledgor thereof and
(ii) each promissory note (if any) pledged to the Administrative Agent pursuant
to the Guarantee and Collateral Agreement endorsed (without recourse) in blank
(or accompanied by an executed transfer form in blank) by the pledgor thereof.

     (j) Filings, Registrations and Recordings. Each document (including any
Uniform Commercial Code financing statement) required by the Security Documents
or under law or reasonably requested by the Administrative Agent to be filed,
registered or recorded in order to create in favor of the Administrative Agent,
for the benefit of the Lenders, a perfected Lien on the Collateral described
therein, prior and superior in right to any other Person (other than with
respect to Liens expressly permitted by Section 7.3), shall be in proper form
for filing, registration or recordation.
<PAGE>

                                                                              52

     (k) Insurance. The Administrative Agent shall have received insurance
certificates satisfying the requirements of Section 5.2 of the Guarantee and
Collateral Agreement.

     5.2 Conditions to Each Extension of Credit. The agreement of each
Lender to make any extension of credit requested to be made by it on any date
(including its initial extension of credit) is subject to the satisfaction of
the following conditions precedent:

     (a) Representations and Warranties. Each of the representations and
warranties made by any Loan Party in or pursuant to the Loan Documents shall be
true and correct in all material respects on and as of such date as if made on
and as of such date.

     (b) No Default. No Default or Event of Default shall have occurred and
be continuing on such date or after giving effect to the extensions of credit
requested to be made on such date.

     (c) Other Documents. In the case of any extension of credit made on an
Increased Facility Closing Date, the Administrative Agent shall have received
such documents and information as it may reasonably request.

Each borrowing by and issuance of a Letter of Credit on behalf of the Borrower
hereunder shall constitute a representation and warranty by the Borrower as of
the date of such extension of credit that the conditions contained in Sections
5.2(a) and (b) have been satisfied.

                       SECTION 6. AFFIRMATIVE COVENANTS

          Holdings and the Borrower hereby jointly and severally agree that, so
long as the Commitments remain in effect, any Letter of Credit remains
outstanding or any Loan or other amount is owing to any Lender or any Agent
hereunder, each of Holdings and the Borrower shall, and shall cause each of
their respective Subsidiaries to:

          6.1 Financial Statements. Furnish to the Administrative Agent:

          (a)(i) as soon as available, but in any event within 95 days after the
end of each fiscal year of Holdings, a copy of the audited consolidated balance
sheet of Holdings and its consolidated Subsidiaries (including, for the purposes
of this Section 6.1(a)(i), the Unrestricted Subsidiaries) as at the end of such
year and the related audited consolidated statements of income and of cash flows
for such year, setting forth in each case in comparative form the figures for
the previous year, reported on without a "going concern" or like qualification
or exception, or qualification arising out of the scope of the audit, by KPMG,
LLP or other independent certified public accountants of nationally recognized
standing;

          (ii) as soon as available, but in any event within 95 days after the
end of each fiscal year of the Borrower, a copy of the audited consolidated
balance sheet of the Borrower and its consolidated Subsidiaries as at the end of
such year and the related audited consolidated statements of income and of cash
flows for such year, setting forth in each case in comparative form the figures
for the previous year, reported on without a "going concern" or like
qualification or exception, or qualification arising out of the scope of the
audit, by KPMG, LLP or other independent certified public accountants of
nationally recognized standing;
<PAGE>

                                                                              53

          (b)(i) as soon as available, but in any event not later than 50 days
after the end of each of the first three quarterly periods of each fiscal year
of Holdings, the unaudited consolidated balance sheet of Holdings and its
consolidated Subsidiaries (including, for the purposes of this Section
6.1(b)(i), the Unrestricted Subsidiaries) as at the end of such quarter and the
related unaudited consolidated statements of income and of cash flows for such
quarter and the portion of the fiscal year through the end of such quarter,
setting forth in each case in comparative form the figures for the previous
year, certified by a Responsible Officer as being fairly stated in all material
respects (subject to normal year-end audit adjustments);

          (ii) as soon as available, but in any event not later than 50 days
after the end of each of the first three quarterly periods of each fiscal year
of the Borrower, the unaudited consolidated balance sheet of the Borrower and
its consolidated Subsidiaries as at the end of such quarter and the related
unaudited consolidated statements of income and of cash flows for such quarter
and the portion of the fiscal year through the end of such quarter, setting
forth in each case in comparative form the figures for the previous year,
certified by a Responsible Officer as being fairly stated in all material
respects (subject to normal year-end audit adjustments).

All such financial statements, together with the notes thereto, shall fairly
present in all material respects the financial condition of the relevant
entities and shall be prepared in accordance with GAAP applied consistently
throughout the periods reflected therein and with prior periods (except as
approved by such accountants or officer, as the case may be, and disclosed
therein).

          Any financial statement required to be delivered pursuant to this
Section 6.1 shall be deemed to have been delivered on the date on which the
Borrower posts such financial statement on its website on the Internet at
www.crowncomm.net or when such financial statement is posted on the SEC's
website on the Internet at www.sec.gov; provided that the Borrower shall give
notice of any such posting to the Administrative Agent (who shall then give
notice of any such posting to the Lenders); provided, further, that the Borrower
shall deliver paper copies of any financial statement referred to in this
Section 6.1 to the Administrative Agent if the Administrative Agent or any
Lender requests the Borrower to deliver such paper copies until written notice
to cease delivering such paper copies is given by the Administrative Agent.

          6.2 Certificates; Other Information. Furnish to the Administrative
Agent:

          (a) concurrently with the delivery of the financial statements
     referred to in Section 6.1(a), a certificate of the independent certified
     public accountants reporting on such financial statements stating that in
     making the examination necessary therefor no knowledge was obtained of any
     Default or Event of Default, except as specified in such certificate;

          (b) concurrently with the delivery of any financial statements
     pursuant to Section 6.1, (i) a certificate of a Responsible Officer stating
     that, to the best of each such Responsible Officer's knowledge, each Loan
     Party during such period has observed or performed in all material respects
     all of its covenants and other agreements, and satisfied every condition,
     contained in this Agreement and the other Loan Documents to which it is a
     party to be observed, performed or satisfied by it, and that such
     Responsible Officer has obtained no knowledge of any Default or Event of
     Default except as specified in such certificate and (ii) in the case of
     quarterly or annual financial statements, (x) a Compliance Certificate
     containing all information and calculations
<PAGE>

                                                                              54

     necessary for determining compliance by Holdings, the Borrower and their
     respective Subsidiaries with the provisions of this Agreement referred to
     therein as of the last day of the fiscal quarter or fiscal year of the
     Borrower, as the case may be, and (y) to the extent not previously
     disclosed to the Administrative Agent, a listing of any county or state
     within the United States where any Loan Party keeps inventory or equipment
     and of any Intellectual Property acquired by any Loan Party since the date
     of the most recent list delivered pursuant to this clause (y) (or, in the
     case of the first such list so delivered, since the Closing Date);

          (c) as soon as available, and in any event no later than 50 days after
     the end of each fiscal year of the Borrower, a detailed consolidated budget
     for the following fiscal year (including a projected consolidated balance
     sheet of the Borrower and its Subsidiaries as of the end of the following
     fiscal year, the related consolidated statements of projected cash flow,
     projected changes in financial position and projected income and a
     description of the underlying assumptions applicable thereto), and, as soon
     as available, significant revisions, if any, of such budget and projections
     with respect to such fiscal year (collectively, the "Projections"), which
     Projections shall in each case be accompanied by a certificate of a
     Responsible Officer stating that such Projections have been prepared in
     good faith and are based on good faith estimates and assumptions believed
     by the Borrower to be reasonable at the time made (it being recognized by
     the Lenders that such opinions, projections and forecasts as to any future
     event or state of affairs are not to be viewed as factual information and
     that actual results during the period or periods covered by any such
     opinion, projection or forecast may differ from the opinions and projected
     or forecast results).

          (d) within 50 days after the end of each fiscal quarter of the
     Borrower, a narrative discussion and analysis of the financial condition
     and results of operations of the Borrower and its Subsidiaries for such
     fiscal quarter and for the period from the beginning of the then current
     fiscal year to the end of such fiscal quarter, as compared to the portion
     of the Projections covering such periods and to the comparable periods of
     the previous year; provided that the obligation imposed by this Section
     6.2(d) may be met by furnishing the narrative discussion and analysis of
     the financial condition and results of operations contained in the
     Form 10-Q filed by Holdings with the SEC for such fiscal quarter so long as
     such discussion and analysis accurately and clearly discloses the financial
     condition and results of operations of the Borrower and its Subsidiaries as
     a separate group;

          (e) within five days after the same are sent, copies of all financial
     statements and reports that Holdings or the Borrower sends to the holders
     of any class of its debt securities or public equity securities and, within
     five days after the same are filed, copies of all financial statements and
     reports that Holdings or the Borrower may make to, or file with, the SEC;
     and

          (f) promptly, such additional financial and other information as any
     Lender may from time to time reasonably request.

Any delivery required to be made pursuant to Section 6.2(d) or (e) shall be
deemed to have been made on the date on which the Borrower posts such delivery
on its website on the Internet at www.crowncomm.net or when such delivery is
posted on the SEC's website on the Internet at www.sec.gov; provided that the
Borrower shall give notice of any such posting to the Administrative Agent (who
shall then give notice of any such posting to the Lenders); provided, further,
that the
<PAGE>

                                                                              55

Borrower shall deliver paper copies of any delivery referred to in Section
6.2(d) or (e) to the Administrative Agent if the Administrative Agent or any
Lender requests the Borrower to deliver such paper copies until written notice
to cease delivering such paper copies is given by the Administrative Agent.

          6.3 Payment of Obligations. Pay, discharge or otherwise satisfy at or
before maturity or before they become delinquent, as the case may be, all its
material obligations of whatever nature, except (a) where the amount or validity
thereof is currently being contested in good faith by appropriate proceedings
and reserves in conformity with GAAP with respect thereto have been provided on
the books of Holdings, the Borrower or their respective Subsidiaries, as the
case may be, or (b) in the case of trade payables, as could not, in the
aggregate, reasonably be expected to have a Material Adverse Effect.

          6.4 Maintenance of Existence; Compliance. (a)(i) Preserve, renew and
keep in full force and effect its corporate existence and (ii) take all
reasonable action to maintain all rights, privileges and franchises necessary or
desirable in the normal conduct of its business, except, in each case, as
otherwise permitted by Section 7.4 and except, in the case of clause (ii) above,
to the extent that failure to do so could not reasonably be expected to have a
Material Adverse Effect; and (b) comply with all Contractual Obligations and
Requirements of Law except to the extent that failure to comply therewith could
not, in the aggregate, reasonably be expected to have a Material Adverse Effect.

          6.5 Maintenance of Property; Insurance. (a) Keep all property useful
and necessary in its business in good working order and condition, ordinary wear
and tear excepted and (b) maintain with financially sound and reputable
insurance companies insurance on all its property in at least such amounts and
against at least such risks (but including in any event public liability,
product liability and business interruption) as are usually insured against in
the same general area by companies engaged in the same or a similar business
(it being understood that, to the extent consistent with prudent business
practice of Persons carrying on a similar business in a similar location, a
program of up to $5,000,000 of self-insurance for first or other loss layers may
be utilized).

          6.6 Inspection of Property; Books and Records; Discussions. (a) Keep
proper books of records and account in which full, true and correct entries in
conformity with GAAP and all Requirements of Law shall be made of all dealings
and transactions in relation to its business and activities and (b) permit
representatives of any Lender (i) to visit and inspect any of its properties and
examine and make abstracts from any of its books and records at any reasonable
time, upon reasonable notice and as often as may reasonably be desired and
(ii) to discuss the business, operations, properties and financial and other
condition of Holdings, the Borrower and their respective Subsidiaries with
officers and employees of Holdings, the Borrower and their respective
Subsidiaries and, so long as a representative of the Borrower is present during
such discussions (unless a Default or Event of Default has occurred and is
continuing), with its independent certified public accountants. Notwithstanding
the foregoing no disclosure of information subject to confidentiality or similar
constraints shall be required by this Section 6.6.

          6.7 Notices. Promptly give notice to the Administrative Agent of:

          (a) the occurrence of any Default or Event of Default;

          (b) any (i) default or event of default under any Contractual
     Obligation of Holdings, the Borrower or any of their respective
     Subsidiaries or (ii) litigation, investigation or proceeding that
<PAGE>

                                                                              56

     may exist at any time between Holdings, the Borrower or any of their
     respective Subsidiaries and any Governmental Authority, that in the case of
     clause (b)(i) or (b)(ii), if not cured or if adversely determined, as the
     case may be, could reasonably be expected to have a Material Adverse
     Effect;

          (c) any litigation or proceeding affecting Holdings, the Borrower or
     any of their respective Subsidiaries (i) in which the amount involved is
     $5,000,000 or more and not covered by insurance, (ii) in which injunctive
     or similar relief is sought or (iii) which relates to any Loan Document;

          (d) the following events, as soon as possible and, in any event,
     within 30 days after the Borrower knows thereof: (i) the occurrence of any
     Reportable Event with respect to any Plan, a failure to make any required
     contribution to a Plan, the creation of any Lien in favor of the PBGC or a
     Plan or any withdrawal from, or the termination, Reorganization or
     Insolvency of, any Multiemployer Plan or (ii) the institution of
     proceedings or the taking of any other action by the PBGC or the Borrower
     or any Commonly Controlled Entity or any Multiemployer Plan with respect to
     the withdrawal from, or the termination, Reorganization or Insolvency of,
     any Plan; and

          (e) any development or event that has had or could reasonably be
     expected to have a Material Adverse Effect.

Each notice pursuant to this Section 6.7 shall be accompanied by a statement of
a Responsible Officer setting forth details of the occurrence referred to
therein and stating what action Holdings, the Borrower or the relevant
Subsidiary proposes to take with respect thereto.

          6.8 Environmental Laws. (a) Comply in all material respects with, and
use its reasonable efforts to ensure compliance in all material respects by all
tenants and subtenants, if any, with, all applicable Environmental Laws, and
obtain and comply in all material respects with and maintain, and use its
reasonable efforts to ensure that all tenants and subtenants obtain and comply
in all material respects with and maintain, any and all licenses, approvals,
notifications, registrations or permits required by applicable Environmental
Laws, except, in each case, to the extent that failure to do so could not
reasonably be expected to have a Material Adverse Effect.

          (b) Conduct and complete all investigations, studies, sampling and
testing, and all remedial, removal and similar actions required under
Environmental Laws and promptly comply in all material respects with all lawful
orders and directives of all Governmental Authorities regarding Environmental
Laws, except to the extent that the same are being contested in good faith by
appropriate proceedings and the pendency of such proceedings could not
reasonably be expected to have a Material Adverse Effect.

          6.9 Interest Rate Protection. The Borrower shall hedge the interest
rate, or maintain in effect a fixed interest rate, on at least 50% of the
aggregate principal amount of the total Indebtedness of Holdings, the Borrower
and its Subsidiaries on terms and conditions (including rate and tenor)
acceptable to the Administrative Agent.

          6.10 Additional Collateral, etc. (a) With respect to property acquired
after the Closing Date by the Borrower or any of its Subsidiaries (other than
(x) real property, (y) any property described
<PAGE>

                                                                              57

in paragraph (b) below and (z) any property subject to a Lien expressly
permitted by Section 7.3(g)) as to which the Administrative Agent, for the
benefit of the Lenders, does not have a perfected Lien, promptly (i) execute and
deliver to the Administrative Agent such amendments or supplements to the
relevant Security Documents or such other documents as the Administrative Agent
deems necessary or advisable to grant to the Administrative Agent, for the
benefit of the Lenders, a security interest in such property and (ii) take all
actions necessary or advisable to grant to the Administrative Agent, for the
benefit of the Lenders, a perfected security interest in such property,
including the filing of Uniform Commercial Code financing statements (or
equivalent documents) in such jurisdictions as may be required by the relevant
Security Documents or by law or as may be reasonably requested by the
Administrative Agent. So long as no Default or Event of Default has occurred and
is continuing, actions taken pursuant to this Section 6.10(a) will be consistent
with those taken in connection with the Collateral at the Closing Date.

          (b) With respect to any new Subsidiary created or acquired after the
Closing Date by Holdings (if such Subsidiary is an Unrestricted Subsidiary SPV),
the Borrower or any of its Subsidiaries (which, for the purposes of this
paragraph (b), shall include any Unrestricted Borrower Subsidiary that ceases to
qualify as such), promptly (i) execute and deliver to the Administrative Agent
such amendments or supplements to the relevant Security Documents or such other
documents as the Administrative Agent deems necessary or advisable to grant to
the Administrative Agent, for the benefit of the Lenders, a perfected security
interest in the Capital Stock of such new Subsidiary that is owned by Holdings,
the Borrower or any of its Subsidiaries, (ii) deliver to the Administrative
Agent the certificates representing such Capital Stock, together with undated
stock powers, in blank, executed and delivered by a duly authorized officer of
Holdings, the Borrower or such Subsidiary, as the case may be, (iii) cause such
new Subsidiary (A) to become a party to the Guarantee and Collateral Agreement
(or agreements having a substantially equivalent effect) , (B) to take such
actions necessary or advisable to grant to the Administrative Agent for the
benefit of the Lenders a perfected security interest in the Collateral of the
type described in the Guarantee and Collateral Agreement with respect to such
new Subsidiary, including the filing of Uniform Commercial Code financing
statements (or equivalent documents) in such jurisdictions as may be required by
the Guarantee and Collateral Agreement or by law or as may be reasonably
requested by the Administrative Agent and (C) to deliver to the Administrative
Agent a certificate of such Subsidiary, substantially in the form of Exhibit C,
with appropriate insertions and attachments, and (iv) in the case of any Foreign
Subsidiary, if reasonably requested by the Administrative Agent, deliver to the
Administrative Agent legal opinions relating to the matters described above,
which opinions shall be in form and substance, and from counsel, reasonably
satisfactory to the Administrative Agent. It is understood that any Specified
Non-Wholly Owned Subsidiary that is required to become a party to the Guarantee
and Collateral Agreement pursuant to this paragraph shall not be required to
become a "Guarantor" thereunder (until it becomes a Wholly Owned Subsidiary),
but shall be required to grant a security interest in any of its assets
constituting "Collateral" as defined therein for the purpose of securing its
obligations under its Specified Intercompany Note.

          6.11 Organizational Separateness. (a) Ensure that each Unrestricted
Subsidiary SPV does not (i) conduct, transact or otherwise engage in, or commit
to conduct, transact or otherwise engage in, any business or operations other
than those incidental to its ownership of the Capital Stock of Unrestricted
Subsidiaries, (ii) own, lease, manage or otherwise operate any properties or
assets other than the Capital Stock of Unrestricted Subsidiaries owned by it or
(iii) own the Capital Stock of both Foreign and Domestic Subsidiaries.
<PAGE>

                                                                              58

          (b) Ensure that the restrictions enumerated in paragraph (a) above are
set forth in the Governing Documents of each Unrestricted Subsidiary SPV.

          (c) Ensure that each Tower SPV does not (i) conduct, transact or
otherwise engage in, or commit to conduct, transact or otherwise engage in, any
business or operations other than those incidental to its ownership of
communications tower facilities or (ii) own, lease, manage or otherwise operate
any properties or assets other than the communications tower facilities owned by
it. Notwithstanding clauses (i) and (ii) above, (A) Crown Castle International
Corp. de Puerto Rico may continue to operate its microwave business as operated
on the Closing Date and (B) Crown Communication Inc. may hold the Capital Stock
of the Subsidiaries it owns on the Closing Date; provided that Crown
Communication Inc. shall within a reasonable time period after the Closing Date
(which time period shall in no event be longer than 60 days), come into
compliance with this Section 6.11(c) as if this sentence did not exist.

          (d) Ensure that the restrictions enumerated in paragraph (c) above are
set forth in the Governing Documents of each Tower SPV.

          (e) Ensure that Crown Castle GT Corp. does not (i) conduct, transact
or otherwise engage in, or commit to conduct, transact or otherwise engage in,
any business or operations other than those incidental to its ownership of the
Capital Stock of the GTE JV, (ii) own, lease, manage or otherwise operate any
properties or assets other than the Capital Stock of the GTE JV owned by it or
(iii) own the Capital Stock of both Foreign and Domestic Subsidiaries.

          (f) Ensure that the restrictions enumerated in paragraph (e) above are
set forth in the Governing Documents of Crown Castle GT Corp.

          (g) Cause the consolidated and any consolidating financial statements
of Holdings and its Subsidiaries (including the Tower SPVs) and the Borrower and
its Subsidiaries (including the Tower SPVs), or any thereof, through appropriate
footnote disclosure, to separately indicate that the communications tower
facilities are owned by the Tower SPVs.

          (h)(i) Maintain bank accounts with commercial banking institutions
that are separate from those of the Unrestricted Subsidiaries, the Unrestricted
Subsidiary SPVs and Crown Castle GT Corp., (ii) cause each Unrestricted
Subsidiary and Unrestricted Subsidiary SPV to maintain bank accounts, if any,
with commercial banking institutions that are separate from those of any other
Unrestricted Subsidiary or Unrestricted Subsidiary SPV or any Tower SPV or Crown
Castle GT Corp., (iii) cause each Tower SPV to maintain bank accounts, if any,
with commercial banking institutions that are separate from those of any
Unrestricted Subsidiary or Unrestricted Subsidiary SPV or Crown Castle GT Corp.
and (iv) cause Crown Castle GT Corp. to maintain bank accounts, if any, with
commercial banking institutions that are separate from those of any Unrestricted
Subsidiary, Unrestricted Subsidiary SPV or Tower SPV.

          (i) Conduct its affairs strictly in accordance with its Governing
Documents and to observe all necessary, appropriate, and customary corporate,
limited liability company and other organizational formalities, including
keeping separate and accurate minutes of meetings of its board of directors,
shareholders, managers, members or partners, as the case may be, passing all
resolutions or consents necessary to authorize actions to be taken, and
maintaining accurate and separate books, records and accounts and in a manner
permitting its assets and liabilities to be easily separated and readily
ascertained.
<PAGE>

                                                                              59

          (j) Ensure that each Unrestricted Subsidiary, Unrestricted Subsidiary
SPV and Tower SPV and Crown Castle GT Corp. strictly complies with its Governing
Documents.

          (k)(i) Ensure that its monies and other assets are not commingled with
the monies or other assets of any Unrestricted Subsidiary or Unrestricted
Subsidiary SPV or Crown Castle GT Corp. and otherwise remain clearly traceable,
(ii) cause each Unrestricted Subsidiary and Unrestricted Subsidiary SPV and
Crown Castle GT Corp. to ensure that its monies and other assets are not
commingled with the monies or other assets of any other Unrestricted Subsidiary
or Unrestricted Subsidiary SPV or any Tower SPV or Crown Castle GT Corp. and
otherwise remain clearly traceable and (iii) cause each Tower SPV to ensure that
its monies and other assets are not commingled with the monies or other assets
of any Unrestricted Subsidiary or Unrestricted Subsidiary SPV or Crown Castle GT
Corp. and otherwise remain clearly traceable.

          (l) Cause each Unrestricted Subsidiary, Unrestricted Subsidiary SPV
and Tower SPV and Crown Castle GT Corp. to not hold itself out to the public or
to any of its individual creditors as being a unified Person with common assets
and liabilities with Holdings, the Borrower or any of their respective
Subsidiaries or act in a manner that would otherwise cause its creditors to
believe that such Person was not a separate entity from such other Persons.

          (m) Without limiting the generality of the foregoing, not take any
action, or conduct its affairs in a manner, that could reasonably be expected to
result in the separate existence of any Unrestricted Subsidiary, Unrestricted
Subsidiary SPV or Tower SPV or Crown Castle GT Corp. being ignored, or the
assets and liabilities of any Unrestricted Subsidiary, Unrestricted Subsidiary
SPV or Tower SPV or Crown Castle GT Corp. being substantively consolidated with
those of Holdings, the Borrower or any of their respective Subsidiaries
(including any other Unrestricted Subsidiary, Unrestricted Subsidiary SPV or
Tower SPV or Crown Castle GT Corp.) in a bankruptcy, reorganization or other
insolvency proceeding.

          6.12 Australian Security Documents. Concurrently with the making of
any Australian Intercompany Loan, provide to the Administrative Agent such
security agreements, other documents, legal opinions and certificates as the
Administrative Agent shall reasonably request in connection therewith.

                         SECTION 7. NEGATIVE COVENANTS

          Holdings and the Borrower hereby jointly and severally agree that, so
long as the Commitments remain in effect, any Letter of Credit remains
outstanding or any Loan or other amount is owing to any Lender or the
Administrative Agent hereunder, each of Holdings and the Borrower shall not, and
shall not permit any of their respective Subsidiaries to, directly or indirectly
(provided that Sections 7.1, 7.2, 7.5, 7.6, 7.7, 7.8, 7.9, 7.11, 7.14 and 7.16
shall apply only to the Borrower and its Subsidiaries):

          7.1 Financial Condition Covenants.

              (a) Consolidated Leverage Ratio. Permit the Consolidated Leverage
Ratio determined as of the last day of any fiscal quarter of the Borrower ending
during any period set forth below to exceed the ratio set forth below opposite
such period:
<PAGE>

                                                                              60

          Period                           Consolidated Leverage Ratio
          ------                           ---------------------------

    Closing Date - 12/31/00                         7.50 to 1.00
    01/01/01 - 06/30/01                             7.00 to 1.00
    07/01/01 - 12/31/01                             6.50 to 1.00
    01/01/02 - 12/31/02                             5.50 to 1.00
    01/01/03 - 12/31/03                             4.50 to 1.00
    01/01/04 and thereafter                         4.00 to 1.00

          (b) Consolidated Interest Coverage Ratio. Permit the Consolidated
Interest Coverage Ratio determined as of the last day of any fiscal quarter
ending during any period set forth below to be less than the ratio set forth
below opposite such period:
                                           Consolidated Interest Fiscal
      Fiscal Quarter                             Coverage Ratio
      --------------                       ----------------------------

    03/31/00 - 12/31/01                             1.75 to 1.00
    01/01/02 - 12/31/02                             2.00 to 1.00
    01/01/03 - 12/31/03                             2.25 to 1.00
    01/01/04 - 12/31/04                             2.50 to 1.00
    01/01/05 and thereafter                         2.75 to 1.00

          (c) Consolidated Debt Service Coverage Ratio. Permit the Consolidated
Debt Service Coverage Ratio determined as of the last day of any fiscal quarter
ending after March 31, 2000 to be less than 1.15 to 1.00.

          (d) Consolidated Fixed Charge Coverage Ratio. Permit the Consolidated
Fixed Charge Coverage Ratio determined as of the last day of any fiscal quarter
ending after March 31, 2000 to be less than 1.10 to 1.00.

For the purposes of paragraphs (b), (c) and (d) above, in calculating the
relevant ratios for any period that is not comprised of four fiscal quarters
commencing after the Closing Date, Consolidated Cash Interest Expense and
Consolidated Fixed Charges for the relevant period shall be deemed to equal
Consolidated Cash Interest Expense or Consolidated Fixed Charges, as applicable,
for the number of fiscal quarters commencing after December 31, 1999 that fall
within such period multiplied by the appropriate factor necessary to annualize
such amount.

          7.2 Indebtedness. Create, issue, incur, assume, become liable in
respect of or suffer to exist any Indebtedness, except:

          (a) Indebtedness of any Loan Party pursuant to any Loan Document;

          (b) Indebtedness of (i) the Borrower to any Subsidiary, (ii) any
Wholly Owned Subsidiary Guarantor to the Borrower or any other Subsidiary and
(iii) any Specified Non-Wholly Owned Subsidiary to the Borrower or any Wholly
Owned Qualifying Subsidiary Guarantor pursuant to a Specified Intercompany Note,
provided that for purposes of this Section 7.2(b), the
<PAGE>

                                                                              61

Australian Subsidiary shall be considered a Wholly Owned Subsidiary Guarantor so
long as all of its Capital Stock is pledged as Collateral;

     (c)(i) Guarantee Obligations incurred in the ordinary course of business by
the Borrower or any of its Subsidiaries of obligations of any Wholly Owned
Subsidiary Guarantor and (ii) Guarantee Obligations incurred in the ordinary
course of business by any Subsidiary Guarantor of obligations of the Borrower;

     (d) Indebtedness outstanding on the date hereof and listed on Schedule
7.2(d) and any refinancings, refundings, renewals or extensions thereof (without
increasing, or shortening the maturity of, the principal amount thereof, other
than to the extent permitted by Section 7.2(l));

     (e) Indebtedness (including, without limitation, Capital Lease Obligations)
secured by Liens permitted by Section 7.3(g) in an aggregate principal amount
not to exceed $25,000,000 at any one time outstanding;

     (f) Hedge Agreements in respect of Indebtedness otherwise permitted hereby
that bears interest at a floating rate, so long as such agreements are not
entered into for speculative purposes;

     (g) Indebtedness of any Subsidiary acquired in connection with any
Investment permitted pursuant to Section 7.7(i) or (j); provided that (i) such
Indebtedness existed at the time such Person became a Subsidiary and was not
incurred in anticipation thereof, (ii) no Person other than such Subsidiary
becomes an obligor in respect of such Indebtedness and (iii) the aggregate
amount of such Indebtedness (whether or not subsequently repaid) shall
constitute usage of the basket provided in Section 7.7(i)(i) or (j)(i), as
applicable, unless and until such Subsidiary becomes a Wholly Owned Qualifying
Subsidiary Guarantor, at which time such Indebtedness of such Subsidiary shall
no longer be permitted to remain outstanding and shall no longer constitute
usage of such baskets;

     (h) Indebtedness of any Subsidiary to the Borrower; provided that (i) no
Person other than such Subsidiary becomes an obligor in respect of such
Indebtedness and (ii) the actual outstanding aggregate amount of such
Indebtedness shall constitute usage of the basket provided in Section 7.7(i)(i)
or (j)(i), as applicable, unless and until such Subsidiary becomes a Wholly
Owned Qualifying Subsidiary Guarantor, at which time such Indebtedness of such
Subsidiary shall no longer constitute usage of such baskets;

     (i) Indebtedness consisting of guaranties of loans made to officers,
directors or employees of Holdings, the Borrower or any Subsidiary of the
Borrower in an aggregate amount which, when added to the outstanding principal
amount of loans and advances made pursuant to Section 7.7(d), shall not exceed
$5,000,000 at any one time outstanding;

     (j) unsecured trade accounts payable incurred in the ordinary course of
business and not more than 120 days past due (but excluding any Indebtedness for
borrowed money);

     (k) Permitted Borrower Subordinated Indebtedness owing by the Borrower to
Holdings; and
<PAGE>

                                                                              62

          (l) additional Indebtedness of the Borrower or any of its Subsidiaries
in an aggregate principal amount (for the Borrower and all Subsidiaries) not to
exceed $25,000,000 at any one time outstanding.

Notwithstanding anything to the contrary in this Agreement, the Borrower shall
not, and shall not permit any of its Subsidiaries to, directly or indirectly,
guarantee or otherwise become liable in respect of any Indebtedness or preferred
stock of Holdings.

          7.3 Liens. Create, incur, assume or suffer to exist any Lien upon any
of its property, whether now owned or hereafter acquired, except:

          (a) Liens for taxes not yet due or that are being contested in good
    faith by appropriate proceedings, provided that adequate reserves with
    respect thereto are maintained on the books of the Borrower or its
    Subsidiaries, as the case may be, in conformity with GAAP;

          (b) carriers', warehousemen's, mechanics', materialmen's, repairmen's
    or other like Liens arising in the ordinary course of business that secure
    payments that are not more than 60 days delinquent in accordance with their
    terms or that are being contested in good faith by appropriate proceedings;

          (c) pledges or deposits in connection with workers' compensation,
     unemployment insurance and other social security legislation and deposits
     securing liability to insurance carriers under insurance or self-insurance
     arrangements;

          (d) deposits to secure the performance of bids, trade contracts (other
     than for borrowed money), leases, statutory obligations, surety and appeal
     bonds, performance bonds and other obligations of a like nature incurred in
     the ordinary course of business;

          (e) easements, rights-of-way, restrictions and other similar
     encumbrances that, in the aggregate, are not substantial in amount and that
     do not in any case materially detract from the value of the property
     subject thereto or materially interfere with the ordinary conduct of the
     business of the Borrower or any of its Subsidiaries;

          (f) Liens in existence on the date hereof listed on Schedule 7.3(f),
     securing Indebtedness permitted by Section 7.2(d), provided that no such
     Lien is spread to cover any additional property after the Closing Date and
     that the amount of Indebtedness secured thereby is not increased (except to
     the extent permitted by Section 7.3(o));

          (g) Liens securing Indebtedness of the Borrower or any other
     Subsidiary incurred pursuant to Section 7.2(e) to finance the acquisition
     of fixed or capital assets, provided that (i) such Liens shall be created
     substantially simultaneously with the acquisition of such fixed or capital
     assets, (ii) such Liens do not at any time encumber any property other than
     the property financed by such Indebtedness and (iii) the amount of
     Indebtedness secured thereby is not increased;

          (h) Liens created pursuant to the Security Documents;
<PAGE>

                                                                              63

          (i) any interest or title of a lessor (including sublessors) under any
    lease (or sublease) entered into by the Borrower or any other Subsidiary in
    the ordinary course of its business and covering only the assets so leased;

          (j) Liens on the property or assets of a Person which becomes a
    Subsidiary after the date hereof securing Indebtedness permitted by Section
    7.2(g), provided that (i) such Liens existed at the time such Person became
    a Subsidiary and were not created in anticipation thereof, (ii) any such
    Lien is not expanded to cover any property or assets of such Person after
    the time such Person becomes a Subsidiary (other than after acquired title
    in or on such property and proceeds of the existing collateral in accordance
    with the instrument creating such Lien), (iii) the amount of Indebtedness
    secured thereby is not increased, and (iv) neither (x) the aggregate
    outstanding principal amount of the obligations secured thereby nor (y) the
    aggregate fair market value (determined as of the date such Lien is
    incurred) of the assets subject thereto exceeds (as to all relevant
    Subsidiaries) $20,000,000 at any one time;

          (k) licenses, leases or subleases permitted hereunder granted to other
    Persons in the ordinary course of business not interfering in any material
    respect in the business of the Borrower or any of its Subsidiaries;

          (l) attachment or judgment Liens in respect of judgments or decrees
    that have been vacated, discharged, stayed or bonded pending appeal within
    60 days from the entry thereof and, in addition, attachment or judgment
    Liens in an aggregate amount outstanding at any one time not in excess of
    $5,000,000 (not paid or fully covered by insurance as to which the relevant
    insurance company has acknowledged in writing coverage);

          (m) Liens arising from precautionary Uniform Commercial Code financing
    statement filings with respect to operating leases or consignment
    arrangements entered into by the Borrower or any of its Subsidiaries in the
    ordinary course of business;

          (n) Liens in favor of a banking institution arising by operation of
    law encumbering deposits (including the right of set-off) held by such
    banking institution incurred in the ordinary course of business and that are
    within the general parameters customary in the banking industry; and

          (o) Liens not otherwise permitted by this Section so long as neither
    (i) the aggregate outstanding principal amount of the obligations secured
    thereby nor (ii) the aggregate fair market value (determined as of the date
    such Lien is incurred) of the assets subject thereto exceeds (as to the
    Borrower and all Subsidiaries) $20,000,000 at any one time.

          7.4 Fundamental Changes. Enter into any merger, consolidation or
amalgamation, or liquidate, wind up or dissolve itself (or suffer any
liquidation or dissolution), or Dispose of, all or substantially all of its
property or business, except that:

          (a) any Subsidiary of the Borrower may be merged or consolidated with
    or into the Borrower (provided that the Borrower shall be the continuing or
    surviving corporation) or with or into any Wholly Owned Subsidiary Guarantor
    (provided that the Wholly Owned Subsidiary Guarantor shall be the continuing
    or surviving corporation and provided, further, that if the merged
<PAGE>

                                                                              64

    or consolidated Subsidiary is a Wholly Owned Qualifying Subsidiary
    Guarantor, the continuing or surviving corporation must also be a Wholly
    Owned Qualifying Subsidiary Guarantor);

           (b) any Subsidiary of the Borrower may Dispose of any or all of its
    assets (upon voluntary liquidation or otherwise) to the Borrower or any
    Wholly Owned Subsidiary Guarantor, provided that if the Subsidiary making
    such Disposition is a Wholly Owned Qualifying Subsidiary Guarantor, the
    relevant transferee, if other than the Borrower, must also be a Wholly Owned
    Qualifying Subsidiary Guarantor; and

          (c) so long as no Default or Event of Default has occurred or is
    continuing or would result therefrom, Holdings may be merged or consolidated
    with or into another Person (provided that either (i) Holdings is the
    continuing or surviving entity or (ii) if Holdings is not the continuing or
    surviving entity, such continuing or surviving entity assumes the
    obligations of Holdings under the Loan Documents to which it is a party
    pursuant to an instrument in form and substance reasonably satisfactory to
    the Administrative Agent and, in connection therewith, the Administrative
    Agent shall receive such legal opinions, certificates and other documents as
    it may reasonably request).

          7.5 Disposition of Property. Dispose of any of its property, whether
now owned or hereafter acquired, or, in the case of any Subsidiary, issue or
sell any shares of such Subsidiary's Capital Stock to any Person, except:

          (a) the Disposition of obsolete, condemned or worn out property in the
    ordinary course of business;

          (b) the sale of inventory in the ordinary course of business; the
    Disposition of Cash Equivalents for fair value for cash or other Cash
    Equivalents; the license of Intellectual Property in the ordinary course of
    business; and leases or subleases entered into in the ordinary course of
    business and not materially interfering with the ordinary conduct of
    business;

          (c) Dispositions permitted by Section 7.4(b);

          (d) the sale or issuance of any Subsidiary's Capital Stock to the
     Borrower or any Wholly Owned Subsidiary Guarantor; provided that if the
     selling or issuing Subsidiary is a Wholly Owned Qualifying Subsidiary
     Guarantor, the recipient of such Capital Stock, if other than the Borrower,
     must also be a Wholly Owned Qualifying Subsidiary Guarantor;

          (e) the Disposition of the Capital Stock of the GTE JV to GTE Wireless
     pursuant to the right of first refusal granted to GTE Wireless in the GTE
     JV Formation Agreement, dated as of November 7, 1999, it being understood
     that the Net Cash Proceeds of such Disposition shall be applied to prepay
     the Loans and reduce the Commitments to the extent required by Section
     2.9(b);

          (f) the designation of the Australian Subsidiary as an Unrestricted
     Subsidiary and the making of the Australian Subsidiary into a Subsidiary of
     Holdings, in each case pursuant to the terms of Section 7.20;
<PAGE>

                                                                              65

          (g) the designation of any Specified Non-Wholly Owned Subsidiary as an
    Unrestricted Subsidiary and the making of any Specified Non-Wholly Owned
    Subsidiary into a Subsidiary of Holdings, in each case pursuant to the terms
    of Section 7.20; and

          (h) the Disposition of other property having a fair market value not
    to exceed $50,000,000 in the aggregate for any fiscal year of the Borrower,
    it being understood that the Net Cash Proceeds of such Dispositions shall be
    applied to prepay the Loans and reduce the Commitments to the extent
    required by Section 2.9(b).

          7.6 Restricted Payments. Declare or pay any dividend (other than
dividends payable solely in common stock of the Person making such dividend) on,
or make any payment on account of, or set apart assets for a sinking or other
analogous fund for, the purchase, redemption, defeasance, retirement or other
acquisition of, any Capital Stock of Holdings, the Borrower or any Subsidiary,
whether now or hereafter outstanding, or make any other distribution in respect
thereof, either directly or indirectly, whether in cash or property or in
obligations of Holdings, the Borrower or any Subsidiary (collectively,
"Restricted Payments"), except that:

          (a) any Subsidiary may make Restricted Payments to the Borrower or any
    Wholly Owned Subsidiary Guarantor; provided that if the Subsidiary making
    such a Restricted Payment is a Wholly Owned Qualifying Subsidiary Guarantor,
    the recipient of such Restricted Payment, if other than the Borrower, must
    also be a Wholly Owned Qualifying Subsidiary Guarantor;

          (b) so long as no Default or Event of Default shall have occurred and
    be continuing or would result therefrom (including, on a pro forma basis,
    pursuant to Section 7.1), the Borrower may pay dividends to Holdings to
    permit Holdings to purchase Holdings' common stock or common stock options
    from present or former officers or employees of Holdings, the Borrower or
    any Subsidiary upon the death, disability or termination of employment of
    such officer or employee, provided, that the aggregate amount of payments
    under this paragraph (b) after the date hereof (net of any proceeds received
    by Holdings and contributed to the Borrower after the date hereof in
    connection with resales of any common stock or common stock options so
    purchased) shall not exceed $10,000,000 in any fiscal year of the Borrower
    or $25,000,000 during the term of this Agreement;

          (c) so long as no Default or Event of Default shall have occurred and
    be continuing or would result therefrom (including, on a pro forma basis,
    pursuant to Section 7.1), the Borrower may pay dividends to Holdings to
    permit Holdings to (i) pay corporate overhead expenses incurred in the
    ordinary course of business not to exceed $17,500,000 in any fiscal year,
    (ii) pay any taxes that are due and payable by Holdings and the Borrower as
    part of a consolidated group and (iii) make scheduled interest and dividend
    payments in respect of Holdings Qualified Obligations;

          (d) so long as no Default or Event of Default shall have occurred and
    be continuing or would result therefrom (including, on a pro forma basis,
    pursuant to Section 7.1), any Subsidiary of the Borrower may pay dividends
    to the holders of its common stock; provided that all such dividends shall
    be made pro rata according to the respective ownership interests in such
    Subsidiary;
<PAGE>

                                                                              66

          (e) notwithstanding anything to the contrary in this Agreement, the
    GTE JV may pay dividends to the holders of its Capital Stock; provided that
    all such dividends shall be made pro rata according to the respective
    ownership interests in the GTE JV; and

          (f) the GTE Distribution may be made.

It is understood that nothing contained in this Section 7.6 shall restrict the
ability of Holdings to make Restricted Payments.

          7.7 Investments. Make any advance, loan, extension of credit (by way
of guaranty or otherwise) or capital contribution to, or purchase any Capital
Stock, bonds, notes, debentures or other debt securities of, or any assets
constituting a business unit of, or make any other investment in, any Person
(all of the foregoing, "Investments"), except:

          (a) extensions of trade credit in the ordinary course of business;

          (b) Investments in Cash Equivalents;

          (c) Guarantee Obligations permitted by Section 7.2;

          (d) loans and advances to officers, directors and employees of
     Holdings, the Borrower or any Subsidiary of the Borrower in the ordinary
     course of business (including for travel, entertainment and relocation
     expenses) in an aggregate amount for Holdings, the Borrower or any
     Subsidiary of the Borrower which, when added to the outstanding principal
     amount of Indebtedness incurred pursuant to Section 7.2(i), shall not
     exceed $5,000,000 at any one time outstanding;

          (e) Investments in assets useful in the business of the Borrower and
     its Subsidiaries made by the Borrower or any of its Subsidiaries with the
     proceeds of any Reinvestment Deferred Amount;

          (f) so long as no Default or Event of Default shall have occurred and
     be continuing or would result therefrom (including, on a pro forma basis,
     pursuant to Section 7.1), Investments by the Borrower or any of its
     Subsidiaries in the Borrower or any Person that is or concurrently
     therewith becomes a Wholly Owned Qualifying Subsidiary Guarantor;

          (g) so long as no Default or Event of Default shall have occurred and
     be continuing or would result therefrom (including, on a pro forma basis,
     pursuant to Section 7.1), acquisitions by the Borrower or any Wholly Owned
     Qualifying Subsidiary Guarantor of communications tower facilities;

          (h) the acquisitions listed on Schedule 7.7(h);

          (i) so long as no Default or Event of Default has occurred and is
     continuing (including, on a pro forma basis, pursuant to Section 7.1),
     Investments in any Person that is or concurrently therewith becomes a
     Subsidiary of the Borrower, in an aggregate amount (net of any return of
     capital) not to exceed at any time the sum of (i) $50,000,000 and (ii) the
     amount of cash
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                                                                              67

     contributed by Holdings to the Borrower after the Closing Date in the form
     of common equity and used by the Borrower solely for such purpose;

          (j) in addition to Investments otherwise expressly permitted by this
     Section, so long as no Default or Event of Default has occurred and is
     continuing (including, on a pro forma basis, pursuant to Section 7.1),
     Investments of any type by the Borrower or any of its Subsidiaries in an
     aggregate amount (net of any return of capital) not to exceed at any time
     the sum of (i) $125,000,000 and (ii) the amount of cash contributed by
     Holdings to the Borrower after the Closing Date in the form of common
     equity and used by the Borrower solely for such purpose;

          (k) the Australian Intercompany Loans; and

          (l) in addition to Investments otherwise expressly permitted by this
     Section, with the consent of the Required Lenders, any Investment in any
     Person that is not or will not concurrently therewith become a Wholly Owned
     Qualifying Subsidiary Guarantor.

          7.8 Certain Payments and Modifications of Certain Agreements.

          (a) Make or offer to make any payment, prepayment, repurchase or
     redemption in respect of, or otherwise optionally or voluntarily defease or
     segregate funds with respect to, any Permitted Borrower Subordinated
     Indebtedness other than the payment of such Indebtedness with the proceeds
     of Revolving Loans.

          (b) Amend, modify, waive or otherwise change, or consent or agree to
     any amendment, modification, waiver or other change to, any of the terms of
     (i) any Permitted Borrower Subordinated Indebtedness (other than any such
     amendment, modification, waiver or other change that would extend the
     maturity or reduce the amount of any payment of principal thereof or reduce
     the rate or extend any date for payment of interest thereon) or (ii) the
     agreements governing the GTE JV or the arrangements with Bell South
     Mobility Inc. (other than any such amendment, modification, waiver or other
     change that is immaterial to the interests of the Lenders).

          7.9 Transactions with Affiliates. Enter into any transaction,
including any purchase, sale, lease or exchange of property, the rendering of
any service or the payment of any management, advisory or similar fees, with any
Affiliate (other than the Borrower or any Wholly Owned Subsidiary Guarantor)
unless such transaction is (a) otherwise permitted under this Agreement, (b) in
the ordinary course of business of the Borrower or such Subsidiary, as the case
may be, and (c) upon fair and reasonable terms no less favorable to the Borrower
or such Subsidiary, as the case may be, than it would obtain in a comparable
arm's length transaction with a Person that is not an Affiliate.

          7.10 Sales and Leasebacks. Enter into any arrangement with any Person
providing for the leasing by Holdings, the Borrower or any Subsidiary of real or
personal property that has been or is to be sold or transferred by Holdings, the
Borrower or such Subsidiary to such Person or to any other Person to whom funds
have been or are to be advanced by such Person on the security of such property
or rental obligations of Holdings, the Borrower or such Subsidiary.
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                                                                              68

          7.11 Changes in Fiscal Periods. Permit the fiscal year of the Borrower
to end on a day other than December 31 or change the Borrower's method of
determining fiscal quarters.

          7.12 Negative Pledge Clauses. Enter into or suffer to exist or become
effective any agreement that prohibits or limits the ability of Holdings, the
Borrower or any of its Subsidiaries to create, incur, assume or suffer to exist
any Lien upon any of its property or revenues, whether now owned or hereafter
acquired, other than (a) this Agreement and the other Loan Documents, (b) any
agreements governing any purchase money Liens or Capital Lease Obligations
otherwise permitted hereby (in which case, any prohibition or limitation shall
only be effective against the assets financed thereby), (c) any agreements
governing any Investment in any joint venture (other than a Subsidiary) that
limit the ability to grant a security interest in the Capital Stock of such
joint venture, (d) customary restrictions entered into in the ordinary course of
business with respect to Intellectual Property that limit the ability to grant a
security interest in such Intellectual Property, (e) any agreements governing
any leasehold interest that limit the ability to grant a security interest in
such leasehold interest, (f) restrictions in the formation agreement of the GTE
JV or in the organizational documents of any Specified Non-Wholly Owned
Subsidiary that limit the ability to grant a security interest in the assets of
such Person, (g) the Holdings Debt Agreements and (h) any agreements containing
restrictions substantially comparable to those described in clause (g) above and
governing any other Indebtedness of Holdings.

          7.13 Clauses Restricting Subsidiary Distributions. Enter into or
suffer to exist or become effective any consensual encumbrance or restriction on
the ability of any Subsidiary of the Borrower to (a) make Restricted Payments in
respect of any Capital Stock of such Subsidiary held by, or pay any Indebtedness
owed to, the Borrower or any other Subsidiary of the Borrower, (b) make loans or
advances to, or other Investments in, the Borrower or any other Subsidiary of
the Borrower or (c) transfer any of its assets to the Borrower or any other
Subsidiary of the Borrower, except for such encumbrances or restrictions
existing under or by reason of (i) any restrictions existing under the Loan
Documents, (ii) any restrictions with respect to a Subsidiary imposed pursuant
to an agreement that has been entered into in connection with the Disposition of
all or substantially all of the Capital Stock or assets of such Subsidiary,
(iii) any restrictions imposed pursuant to the Holdings Debt Agreements and
(iv) any restrictions substantially comparable to the restrictions permitted by
clause (iii) above and imposed pursuant to any agreement governing any other
Indebtedness of Holdings.

          7.14 Lines of Business. Enter into any business, either directly or
through any Subsidiary, except for those businesses in which the Borrower and
its Subsidiaries are engaged on the date of this Agreement or that are
reasonably related thereto.

          7.15 Holding Company Status. In the case of Holdings, (a) conduct,
transact or otherwise engage in, or commit to conduct, transact or otherwise
engage in, any business or operations other than those incidental to its
ownership of Capital Stock described in clause (b) below, (b) own, lease, manage
or otherwise operate any properties or assets other than cash, Cash Equivalents
and the Capital Stock of the Borrower or any other Person (so long as, in the
case of any such Person that is a Subsidiary of Holdings, such Subsidiary is
either an Unrestricted Holdings Subsidiary or an Unrestricted Subsidiary SPV
(other than Crown Castle do Brasil Ltda., Crown Castle Mexico and Crown Castle
Ireland Limited, which shall within a reasonable time period after the Closing
Date (which time period shall in no event be longer than 60 days) become
Subsidiaries of the Borrower)) and (c) permit any Subsidiary of any Unrestricted
Subsidiary SPV not to qualify as an Unrestricted Subsidiary at any time. It is
understood and agreed that this Section 7.15 shall not prevent Holdings from (x)
performing management and
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                                                                              69

administrative functions of the type performed by it as of the Closing Date or
(y) incurring Indebtedness or issuing Capital Stock.

          7.16 Communications Tower Facilities. Hold any communications tower
facilities, whether now owned or hereafter acquired, other than in a Tower SPV.

          7.17 Unrestricted Subsidiary Capital Stock; GTE JV Capital Stock. (a)
Hold any of the Capital Stock of an Unrestricted Subsidiary other than in an
Unrestricted Subsidiary SPV.

          (b) Hold any of the Capital Stock of the GTE JV owned directly or
indirectly by the Borrower other than in Crown Castle GT Corp.

          7.18 GTE JV and Crown Castle GT Corp.; Specified Non-Wholly Owned
Subsidiaries, Tower SPVs and Unrestricted Subsidiary SPVs; Australian
Subsidiary. (a) Permit the GTE JV or Crown Castle GT Corp. to incur or suffer to
exist any Indebtedness or create, incur, assume or suffer to exist any Lien upon
any of its property, whether now owned or hereafter acquired.

          (b) Permit any Specified Non-Wholly Owned Subsidiary (or any
Subsidiary thereof), Tower SPV or Unrestricted Subsidiary SPV to incur or suffer
to exist any Indebtedness or create, incur, assume or suffer to exist any Lien
upon any of its property, whether now owned or hereafter acquired, in each case
other than pursuant to the Loan Documents to which it is a party.

          (c) Permit the direct parent of the Australian Subsidiary, the
Australian Subsidiary (or any Subsidiary thereof) to incur or suffer to exist
any Indebtedness or create, incur, assume or suffer to exist any Lien upon any
of its property, whether now owned or hereafter acquired, in each case other
than pursuant to the Loan Documents to which it is a party.

          7.19 Designation of Unrestricted Subsidiaries as Subsidiaries. If a
Default or Event of Default shall have occurred and be continuing or would
result therefrom (including, on a pro forma basis, pursuant to Section 7.1),
designate an Unrestricted Subsidiary as a Subsidiary. Notwithstanding anything
to the contrary contained in this Agreement, so long as no Default or Event of
Default shall have occurred and be continuing or would result therefrom
(including, on a pro forma basis, pursuant to Section 7.1), the Borrower may
designate an Unrestricted Subsidiary as a Subsidiary.

          7.20 Designation of Subsidiaries as Unrestricted Subsidiaries. Other
than in accordance with this Section 7.20, designate a Subsidiary as an
Unrestricted Subsidiary other than concurrently with the creation or acquisition
thereof. Notwithstanding anything to the contrary contained in this Agreement,
so long as (a) no Default or Event of Default would result therefrom (including,
on a pro forma basis, pursuant to Section 7.1) and (b) the Australian Subsidiary
has, concurrently with such designation, paid to the Borrower in full in cash an
amount equal to the greater of (i) the Australian Intercompany Loans and (ii)
the amount of Consolidated EBITDA attributable to the Australian Subsidiary for
the most recent period of four consecutive fiscal quarters for which the
relevant financial information is available multiplied by the then applicable
Consolidated Leverage Ratio required by Section 7.1(a), the Borrower may
designate each of the Australian Subsidiary and its direct parent as an
Unrestricted Subsidiary to the extent each otherwise qualifies as an
Unrestricted Subsidiary. Notwithstanding anything to the contrary contained in
this Agreement, so long as (a) no Default or Event of Default would result
therefrom (including, on a pro forma basis, pursuant to Section 7.1) and (b) the
relevant Specified Non-Wholly
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                                                                              70

Owned Subsidiary has, concurrently with such designation, paid to the Borrower
or the relevant Wholly Owned Qualifying Subsidiary Guarantor, as applicable, in
full in cash an amount equal to the greater of (i) the obligations under its
Specified Intercompany Note and (ii) the amount of Consolidated EBITDA
attributable to such Specified Non-Wholly Owned Subsidiary for the most recent
period of four consecutive fiscal quarters for which the relevant financial
information is available pursuant to clause (x) of the definition of
"Consolidated EBITDA" multiplied by 7.50, the Borrower may designate such
Specified Non-Wholly Owned Subsidiary as an Unrestricted Subsidiary to the
extent it otherwise qualifies as an Unrestricted Subsidiary. If any Subsidiary
is designated as an Unrestricted Subsidiary pursuant to either of the preceding
sentences, (i) the Liens on the assets of such Subsidiary created by the
Security Documents to which such Subsidiary is a party will be released and all
obligations (other than those expressly stated to survive such termination) of
such Subsidiary under such Security Documents shall terminate, all without
delivery of any instrument or performance of any act by any Person and (ii) such
Subsidiary may become a Subsidiary of Holdings. In addition, if the Australian
Subsidiary is designated as an Unrestricted Subsidiary pursuant to this Section
7.20, any pledge of its Capital Stock then in existence other than by the
Borrower or any of its Affiliates will be released without delivery of any
instrument or performance of any act by any Person.

                         SECTION 8. EVENTS OF DEFAULT

          If any of the following events shall occur and be continuing:

          (a) the Borrower shall fail to pay any principal of any Loan or
     Reimbursement Obligation when due in accordance with the terms hereof; or
     the Borrower shall fail to pay any interest on any Loan or Reimbursement
     Obligation, or any other amount payable hereunder or under any other Loan
     Document, within three days after any such interest or other amount becomes
     due in accordance with the terms hereof; or

          (b) any representation or warranty made or deemed made by any Loan
     Party herein or in any other Loan Document or that is contained in any
     certificate, document or financial or other statement furnished by it at
     any time under or in connection with this Agreement or any such other Loan
     Document shall prove to have been inaccurate in any material respect on or
     as of the date made or deemed made; or

          (c) any Loan Party shall default in the observance or performance of
     any agreement contained in clause (i) of Section 6.4(a) (with respect to
     Holdings and the Borrower only), Section 6.7(a), Section 6.11 or Section 7
     of this Agreement or Sections 5.4 and 5.5(b) of the Guarantee and
     Collateral Agreement; or

          (d) any Loan Party shall default in the observance or performance of
     any other agreement contained in this Agreement or any other Loan Document
     (other than as provided in paragraphs (a) through (c) of this Section), and
     such default shall continue unremedied for a period of 30 days after notice
     to the Borrower from the Administrative Agent or the Required Lenders; or

          (e) Holdings, the Borrower or any of their respective Subsidiaries
     shall (i) default in making any payment of any principal of any
     Indebtedness (including any Guarantee Obligation, but excluding the Loans)
     on the scheduled or original due date with respect thereto (giving effect
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                                                                              71

     to any applicable grace periods); or (ii) default in making any payment of
     any interest on any such Indebtedness beyond the period of grace, if any,
     provided in the instrument or agreement under which such Indebtedness was
     created; or (iii) default in the observance or performance of any other
     agreement or condition relating to any such Indebtedness or contained in
     any instrument or agreement evidencing, securing or relating thereto, or
     any other event shall occur or condition exist, the effect of which default
     or other event or condition is to cause, or to permit the holder or
     beneficiary of such Indebtedness (or a trustee or agent on behalf of such
     holder or beneficiary) to cause, with the giving of notice if required,
     such Indebtedness to become due prior to its stated maturity or (in the
     case of any such Indebtedness constituting a Guarantee Obligation) to
     become payable; provided, that a default, event or condition described in
     clause (i), (ii) or (iii) of this paragraph (e) shall not at any time
     constitute an Event of Default unless, at such time, one or more defaults,
     events or conditions of the type described in clauses (i), (ii) and (iii)
     of this paragraph (e) shall have occurred and be continuing with respect to
     Indebtedness the outstanding principal amount of which exceeds in the
     aggregate $10,000,000; or

          (f) (i) Holdings, the Borrower or any of their respective Subsidiaries
     shall commence any case, proceeding or other action (A) under any existing
     or future law of any jurisdiction, domestic or foreign, relating to
     bankruptcy, insolvency, reorganization or relief of debtors, seeking to
     have an order for relief entered with respect to it, or seeking to
     adjudicate it a bankrupt or insolvent, or seeking reorganization,
     arrangement, adjustment, winding-up, liquidation, dissolution, composition
     or other relief with respect to it or its debts, or (B) seeking appointment
     of a receiver, trustee, custodian, conservator or other similar official
     for it or for all or any substantial part of its assets, or Holdings, the
     Borrower or any of their respective Subsidiaries shall make a general
     assignment for the benefit of its creditors; or (ii) there shall be
     commenced against Holdings, the Borrower or any of their respective
     Subsidiaries any case, proceeding or other action of a nature referred to
     in clause (i) above that (A) results in the entry of an order for relief or
     any such adjudication or appointment or (B) remains undismissed,
     undischarged or unbonded for a period of 60 days; or (iii) there shall be
     commenced against Holdings, the Borrower or any of their respective
     Subsidiaries any case, proceeding or other action seeking issuance of a
     warrant of attachment, execution, distraint or similar process against all
     or any substantial part of its assets that results in the entry of an order
     for any such relief that shall not have been vacated, discharged, or stayed
     or bonded pending appeal within 60 days from the entry thereof; or (iv)
     Holdings, the Borrower or any of their respective Subsidiaries shall take
     any action in furtherance of, or indicating its consent to, approval of, or
     acquiescence in, any of the acts set forth in clause (i), (ii), or (iii)
     above; or (v) Holdings, the Borrower or any of their respective
     Subsidiaries shall generally not, or shall be unable to, or shall admit in
     writing its inability to, pay its debts as they become due; or

         (g) (i) any Person shall engage in any "prohibited transaction" (as
     defined in Section 406 of ERISA or Section 4975 of the Code) involving any
     Plan, (ii) any "accumulated funding deficiency" (as defined in Section 302
     of ERISA), whether or not waived, shall exist with respect to any Plan or
     any Lien in favor of the PBGC or a Plan shall arise on the assets of the
     Borrower or any Commonly Controlled Entity, (iii) a Reportable Event shall
     occur with respect to, or proceedings shall commence to have a trustee
     appointed, or a trustee shall be appointed pursuant to Section 4042(b) of
     ERISA, to administer or to terminate, any Single Employer Plan, which
     Reportable Event or commencement of proceedings or appointment of a trustee
     is reasonably likely to result in the termination of such Plan for purposes
     of Title IV of ERISA, (iv) any Single Employer Plan shall terminate for
     purposes of Title IV of ERISA, (v) the Borrower or any
<PAGE>

                                                                              72

     Commonly Controlled Entity shall incur any liability in connection with a
     withdrawal from, or the Insolvency or Reorganization of, a Multiemployer
     Plan or (vi) any other event or condition shall occur or exist with respect
     to a Plan; and in each case in clauses (i) through (vi) above, such event
     or condition, together with all other such events or conditions, if any,
     could, in the reasonable opinion of the Required Lenders, reasonably be
     expected to have a Material Adverse Effect; or

          (h) one or more judgments or decrees shall be entered against
     Holdings, the Borrower or any of their respective Subsidiaries involving in
     the aggregate a liability (to the extent not paid or fully covered by
     insurance as to which the relevant insurance company has acknowledged
     coverage) of $10,000,000 or more, and all such judgments or decrees shall
     not have been vacated, discharged, stayed or bonded pending appeal within
     30 days from the entry thereof; or

          (i) any of the Security Documents shall cease, for any reason, to be
     in full force and effect, or any Loan Party or any Affiliate of any Loan
     Party shall so assert, or any Lien created by any of the Security Documents
     shall cease to be enforceable and of the same effect and priority purported
     to be created thereby; or

         (j) a Change of Control shall occur; then, and in any such event, (A)
if such event is an Event of Default specified in clause (i) or (ii) of
paragraph (f) above with respect to the Borrower, automatically the Commitments
shall immediately terminate and the Loans hereunder (with accrued interest
thereon) and all other amounts owing under this Agreement and the other Loan
Documents (including all amounts of L/C Obligations, whether or not the
beneficiaries of the then outstanding Letters of Credit shall have presented the
documents required thereunder) shall immediately become due and payable, and (B)
if such event is any other Event of Default, either or both of the following
actions may be taken: (i) with the consent of the Required Lenders, the
Administrative Agent may, or upon the request of the Required Lenders, the
Administrative Agent shall, by notice to the Borrower declare the Tranche A Term
Commitments and the Revolving Commitments to be terminated forthwith, whereupon
the Tranche A Term Commitments and the Revolving Commitments shall immediately
terminate; and (ii) with the consent of the Required Lenders, the Administrative
Agent may, or upon the request of the Required Lenders, the Administrative Agent
shall, by notice to the Borrower, declare the Loans hereunder (with accrued
interest thereon) and all other amounts owing under this Agreement and the other
Loan Documents (including all amounts of L/C Obligations, whether or not the
beneficiaries of the then outstanding Letters of Credit shall have presented the
documents required thereunder) to be due and payable forthwith, whereupon the
same shall immediately become due and payable. With respect to all Letters of
Credit with respect to which presentment for honor shall not have occurred at
the time of an acceleration pursuant to this paragraph, the Borrower shall at
such time deposit in a cash collateral account opened by the Administrative
Agent an amount equal to the aggregate then undrawn and unexpired amount of such
Letters of Credit. Amounts held in such cash collateral account shall be applied
by the Administrative Agent to the payment of drafts drawn under such Letters of
Credit, and the unused portion thereof after all such Letters of Credit shall
have expired or been fully drawn upon, if any, shall be applied to repay other
obligations of the Borrower hereunder and under the other Loan Documents. After
all such Letters of Credit shall have expired or been fully drawn upon, all
Reimbursement Obligations shall have been satisfied and all other obligations of
the Borrower hereunder and under the other Loan Documents shall have been paid
in full, the balance, if any, in such cash collateral account shall be returned
to the Borrower (or such other
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                                                                              73

Person as may be lawfully entitled thereto). Except as expressly provided above
in this Section, presentment, demand, protest and all other notices of any kind
are hereby expressly waived by the Borrower.

                             SECTION 9. THE AGENTS

          9.1 Appointment. Each Lender hereby irrevocably designates and
appoints the Administrative Agent as the agent of such Lender under this
Agreement and the other Loan Documents, and each such Lender irrevocably
authorizes the Administrative Agent, in such capacity, to take such action on
its behalf under the provisions of this Agreement and the other Loan Documents
and to exercise such powers and perform such duties as are expressly delegated
to the Administrative Agent by the terms of this Agreement and the other Loan
Documents, together with such other powers as are reasonably incidental thereto.
Notwithstanding any provision to the contrary elsewhere in this Agreement, the
Administrative Agent shall not have any duties or responsibilities, except those
expressly set forth herein, or any fiduciary relationship with any Lender, and
no implied covenants, functions, responsibilities, duties, obligations or
liabilities shall be read into this Agreement or any other Loan Document or
otherwise exist against the Administrative Agent.

          9.2 Delegation of Duties. The Administrative Agent may execute any of
its duties under this Agreement and the other Loan Documents by or through
agents or attorneys-in-fact and shall be entitled to advice of counsel
concerning all matters pertaining to such duties. The Administrative Agent shall
not be responsible for the negligence or misconduct of any agents or attorneys
in-fact selected by it with reasonable care.

          9.3 Exculpatory Provisions. Neither any Agent nor any of their
respective officers, directors, employees, agents, attorneys-in-fact or
affiliates shall be (i) liable for any action lawfully taken or omitted to be
taken by it or such Person under or in connection with this Agreement or any
other Loan Document (except to the extent that any of the foregoing are found by
a final and nonappealable decision of a court of competent jurisdiction to have
resulted from its or such Person's own gross negligence or willful misconduct)
or (ii) responsible in any manner to any of the Lenders for any recitals,
statements, representations or warranties made by any Loan Party or any officer
thereof contained in this Agreement or any other Loan Document or in any
certificate, report, statement or other document referred to or provided for in,
or received by the Agents under or in connection with, this Agreement or any
other Loan Document or for the value, validity, effectiveness, genuineness,
enforceability or sufficiency of this Agreement or any other Loan Document or
for any failure of any Loan Party a party thereto to perform its obligations
hereunder or thereunder. The Agents shall not be under any obligation to any
Lender to ascertain or to inquire as to the observance or performance of any of
the agreements contained in, or conditions of, this Agreement or any other Loan
Document, or to inspect the properties, books or records of any Loan Party.

          9.4 Reliance by Administrative Agent. The Administrative Agent shall
be entitled to rely, and shall be fully protected in relying, upon any
instrument, writing, resolution, notice, consent, certificate, affidavit,
letter, telecopy, telex or teletype message, statement, order or other document
or conversation believed by it to be genuine and correct and to have been
signed, sent or made by the proper Person or Persons and upon advice and
statements of legal counsel (including counsel to Holdings or the Borrower),
independent accountants and other experts selected by the Administrative Agent.
The Administrative Agent may deem and treat the payee of any promissory note
evidencing Loans as the
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                                                                              74

owner thereof for all purposes unless a written notice of assignment,
negotiation or transfer thereof shall have been filed with the Administrative
Agent. The Administrative Agent shall be fully justified in failing or refusing
to take any action under this Agreement or any other Loan Document unless it
shall first receive such advice or concurrence of the Required Lenders (or, if
so specified by this Agreement, all Lenders) as it deems appropriate or it shall
first be indemnified to its satisfaction by the Lenders against any and all
liability and expense that may be incurred by it by reason of taking or
continuing to take any such action. The Administrative Agent shall in all cases
be fully protected in acting, or in refraining from acting, under this Agreement
and the other Loan Documents in accordance with a request of the Required
Lenders (or, if so specified by this Agreement, all Lenders), and such request
and any action taken or failure to act pursuant thereto shall be binding upon
all the Lenders and all future holders of the Loans.

          9.5 Notice of Default. The Administrative Agent shall not be deemed to
have knowledge or notice of the occurrence of any Default or Event of Default
hereunder unless the Administrative Agent has received notice from a Lender,
Holdings or the Borrower referring to this Agreement, describing such Default or
Event of Default and stating that such notice is a "notice of default". In the
event that the Administrative Agent receives such a notice, the Administrative
Agent shall give notice thereof to the Lenders. The Administrative Agent shall
take such action with respect to such Default or Event of Default as shall be
reasonably directed by the Required Lenders (or, if so specified by this
Agreement, all Lenders); provided that unless and until the Administrative Agent
shall have received such directions, the Administrative Agent may (but shall not
be obligated to) take such action, or refrain from taking such action, with
respect to such Default or Event of Default as it shall deem advisable in the
best interests of the Lenders.

          9.6 Non-Reliance on Agents and Other Lenders. Each Lender expressly
acknowledges that neither the Agents nor any of their respective officers,
directors, employees, agents, attorneys-in-fact or affiliates have made any
representations or warranties to it and that no act by any Agent hereafter
taken, including any review of the affairs of a Loan Party or any affiliate of a
Loan Party, shall be deemed to constitute any representation or warranty by any
Agent to any Lender. Each Lender represents to the Agents that it has,
independently and without reliance upon any Agent or any other Lender, and based
on such documents and information as it has deemed appropriate, made its own
appraisal of and investigation into the business, operations, property,
financial and other condition and creditworthiness of the Loan Parties and their
affiliates and made its own decision to make its Loans hereunder and enter into
this Agreement. Each Lender also represents that it will, independently and
without reliance upon any Agent or any other Lender, and based on such documents
and information as it shall deem appropriate at the time, continue to make its
own credit analysis, appraisals and decisions in taking or not taking action
under this Agreement and the other Loan Documents, and to make such
investigation as it deems necessary to inform itself as to the business,
operations, property, financial and other condition and creditworthiness of the
Loan Parties and their affiliates. Except for notices, reports and other
documents expressly required to be furnished to the Lenders by the
Administrative Agent hereunder, the Administrative Agent shall not have any duty
or responsibility to provide any Lender with any credit or other information
concerning the business, operations, property, condition (financial or
otherwise), prospects or creditworthiness of any Loan Party or any affiliate of
a Loan Party that may come into the possession of the Administrative Agent or
any of its officers, directors, employees, agents, attorneys-in-fact or
affiliates.
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                                                                              75

          9.7 Indemnification. The Lenders agree to indemnify each Agent in its
capacity as such (to the extent not reimbursed by Holdings or the Borrower and
without limiting the obligation of Holdings or the Borrower to do so), ratably
according to their respective Aggregate Exposure Percentages in effect on the
date on which indemnification is sought under this Section (or, if
indemnification is sought after the date upon which the Commitments shall have
terminated and the Loans shall have been paid in full, ratably in accordance
with such Aggregate Exposure Percentages immediately prior to such date), from
and against any and all liabilities, obligations, losses, damages, penalties,
actions, judgments, suits, costs, expenses or disbursements of any kind
whatsoever that may at any time (whether before or after the payment of the
Loans) be imposed on, incurred by or asserted against such Agent in any way
relating to or arising out of, the Commitments, this Agreement, any of the other
Loan Documents or any documents contemplated by or referred to herein or therein
or the transactions contemplated hereby or thereby or any action taken or
omitted by such Agent under or in connection with any of the foregoing; provided
that no Lender shall be liable for the payment of any portion of such
liabilities, obligations, losses, damages, penalties, actions, judgments, suits,
costs, expenses or disbursements that are found by a final and nonappealable
decision of a court of competent jurisdiction to have resulted from such Agent's
gross negligence or willful misconduct. The agreements in this Section shall
survive the payment of the Loans and all other amounts payable hereunder.

          9.8 Agent in Its Individual Capacity. Each Agent and its affiliates
may make loans to, accept deposits from and generally engage in any kind of
business with any Loan Party as though such Agent were not an Agent. With
respect to its Loans made or renewed by it and with respect to any Letter of
Credit issued or participated in by it, each Agent shall have the same rights
and powers under this Agreement and the other Loan Documents as any Lender and
may exercise the same as though it were not an Agent, and the terms "Lender" and
"Lenders" shall include each Agent in its individual capacity.

          9.9 Successor Administrative Agent. The Administrative Agent may
resign as Administrative Agent upon 10 days' notice to the Lenders and the
Borrower. If the Administrative Agent shall resign as Administrative Agent under
this Agreement and the other Loan Documents, then the Required Lenders shall
appoint from among the Lenders a successor agent for the Lenders, which
successor agent shall (unless an Event of Default under Section 8(a) or Section
8(f) with respect to the Borrower shall have occurred and be continuing) be
subject to approval by the Borrower (which approval shall not be unreasonably
withheld or delayed), whereupon such successor agent shall succeed to the
rights, powers and duties of the Administrative Agent, and the term
"Administrative Agent" shall mean such successor agent effective upon such
appointment and approval, and the former Administrative Agent's rights, powers
and duties as Administrative Agent shall be terminated, without any other or
further act or deed on the part of such former Administrative Agent or any of
the parties to this Agreement or any holders of the Loans. If no successor agent
has accepted appointment as Administrative Agent by the date that is 10 days
following a retiring Administrative Agent's notice of resignation, the retiring
Administrative Agent's resignation shall nevertheless thereupon become effective
and the Lenders shall assume and perform all of the duties of the Administrative
Agent hereunder until such time, if any, as the Required Lenders appoint a
successor agent as provided for above. After any retiring Administrative Agent's
resignation as Administrative Agent, the provisions of this Section 9 shall
inure to its benefit as to any actions taken or omitted to be taken by it while
it was Administrative Agent under this Agreement and the other Loan Documents.
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                                                                              76

          9.10 Documentation Agent and Syndication Agent. Neither the
Documentation Agent nor the Syndication Agents shall have any duties or
responsibilities hereunder in its capacity as such.

                           SECTION 10. MISCELLANEOUS

          10.1 Amendments and Waivers. Neither this Agreement, any other Loan
Document, nor any terms hereof or thereof may be amended, supplemented or
modified except in accordance with the provisions of this Section 10.1. The
Required Lenders and each Loan Party party to the relevant Loan Document may,
or, with the written consent of the Required Lenders, the Administrative Agent
and each Loan Party party to the relevant Loan Document may, from time to time,
(a) enter into written amendments, supplements or modifications hereto and to
the other Loan Documents for the purpose of adding any provisions to this
Agreement or the other Loan Documents or changing in any manner the rights of
the Lenders or of the Loan Parties hereunder or thereunder or (b) waive, on such
terms and conditions as the Required Lenders or the Administrative Agent, as the
case may be, may specify in such instrument, any of the requirements of this
Agreement or the other Loan Documents or any Default or Event of Default and its
consequences; provided, however, that no such waiver and no such amendment,
supplement or modification shall (i) forgive or reduce the principal amount or
extend the final scheduled date of maturity of any Loan, extend the scheduled
date of any amortization payment in respect of any Term Loan, extend the
scheduled date of any reduction of the Revolving Commitments, reduce the stated
rate of any interest or fee payable hereunder (except (x) in connection with the
waiver of applicability of any post-default increase in interest rates, which
waiver shall be effective with the consent of the Majority Facility Lenders of
each adversely affected Facility and (y) that any amendment or modification of
defined terms used in the financial covenants in this Agreement shall not
constitute a reduction in the rate of interest or fees for purposes of this
clause (i)) or extend the scheduled date of any payment thereof, or increase the
amount or extend the expiration date of any Lender's Commitment, in each case
without the written consent of each Lender directly affected thereby;
(ii) eliminate or reduce the voting rights of any Lender under this Section 10.1
without the written consent of such Lender; (iii) reduce any percentage
specified in the definition of Required Lenders, consent to the assignment or
transfer by the Borrower of any of its rights and obligations under this
Agreement and the other Loan Documents, release all or substantially all of the
Collateral or release all or substantially all of the Subsidiary Guarantors from
their obligations under the Guarantee and Collateral Agreement, in each case
without the written consent of all Lenders; (iv) amend, modify or waive any
condition precedent to any extension of credit under any Facility set forth in
Section 5.2 (including in connection with any waiver of an existing Default or
Event of Default) without the written consent of the Majority Facility Lenders
with respect to such Facility; provided that a waiver of any such condition
precedent relating to an existing Default or Event of Default under Section 8(a)
shall require the written consent of all Lenders; (v) reduce the amount of Net
Cash Proceeds or Excess Cash Flow required to be applied to prepay Loans under
this Agreement without the written consent of the Majority Facility Lenders with
respect to each adversely affected Facility; (vi) reduce the percentage
specified in the definition of Majority Facility Lenders with respect to any
Facility without the written consent of all Lenders under such Facility;
(vii) amend, modify or waive any provision of Section 9 without the written
consent of the Administrative Agent and any other Agent affected thereby;
(viii) amend, modify or waive any provision of Section 2.4 or 2.5 without the
written consent of the Swingline Lender; (ix) amend, modify or waive any
provision of Section 3 without the written consent of each affected Issuing
Lender or (x) amend, modify or waive any provision of Section 2.15(a), (b) or
(c) without the written consent of each Lender directly affected thereby. Any
such waiver and any such amendment, supplement or modification shall apply
equally to each of the Lenders and shall be binding upon the Loan Parties, the
Lenders, the Administrative Agent and all future
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                                                                              77

holders of the Loans. In the case of any waiver, the Loan Parties, the Lenders
and the Administrative Agent shall be restored to their former position and
rights hereunder and under the other Loan Documents, and any Default or Event of
Default waived shall be deemed to be cured and not continuing; but no such
waiver shall extend to any subsequent or other Default or Event of Default, or
impair any right consequent thereon.

          For the avoidance of doubt, this Agreement may be amended (or amended
and restated) with the written consent of the Required Lenders, the
Administrative Agent and the Borrower (a) to add one or more additional credit
facilities to this Agreement and to permit the extensions of credit from time to
time outstanding thereunder and the accrued interest and fees in respect thereof
(collectively, the "Additional Extensions of Credit") to share ratably in the
benefits of this Agreement and the other Loan Documents with the Term Loans and
Revolving Extensions of Credit and the accrued interest and fees in respect
thereof and (b) to include appropriately the Lenders holding such credit
facilities in any determination of the Required Lenders and Majority Facility
Lenders; provided, that no such amendment shall permit the Additional Extensions
of Credit to share ratably with or with preference to the Term Loans in the
application of mandatory prepayments without the consent of the Majority
Facility Lenders with respect to each Facility (other than the Revolving
Facility) or otherwise to share ratably with or with preference to the Revolving
Extensions of Credit without the consent of the Majority Facility Lenders with
respect to the Revolving Facility.

          10.2 Notices. All notices, requests and demands to or upon the
respective parties hereto to be effective shall be in writing (including by
telecopy), and, unless otherwise expressly provided herein, shall be deemed to
have been duly given or made when delivered, or three Business Days after being
deposited in the mail, postage prepaid, or, in the case of telecopy notice, when
received, addressed as follows in the case of Holdings, the Borrower and the
Administrative Agent, and as set forth in an administrative questionnaire
delivered to the Administrative Agent in the case of the Lenders, or to such
other address as may be hereafter notified by the respective parties hereto:

     Holdings:                 Crown Castle International Corp.
                               510 Bering Drive, Suite 500
                               Houston, Texas 77057
                               Attention: Treasurer and General Counsel
                               Telecopy: (713) 570-3150
                               Telephone: (713) 570-3000

     The Borrower:             Crown Castle Operating Company
                               510 Bering Drive, Suite 500
                               Houston, Texas 77057
                               Attention: Treasurer and General Counsel
                               Telecopy: (713) 570-3150
                               Telephone: (713) 570-3000

     The Administrative Agent: The Chase Manhattan Bank
                               270 Park Avenue
                               New York, New York 10017
                               Attention: Constance Coleman
                               Telecopy: (212) 270-1263
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                                                                              78

                               Telephone: (212) 270-0372

provided that any notice, request or demand to or upon the Administrative Agent
or the Lenders shall not be effective until received.

          10.3 No Waiver; Cumulative Remedies. No failure to exercise and no
delay in exercising, on the part of the Administrative Agent or any Lender, any
right, remedy, power or privilege hereunder or under the other Loan Documents
shall operate as a waiver thereof; nor shall any single or partial exercise of
any right, remedy, power or privilege hereunder preclude any other or further
exercise thereof or the exercise of any other right, remedy, power or privilege.
The rights, remedies, powers and privileges herein provided are cumulative and
not exclusive of any rights, remedies, powers and privileges provided by law.

          10.4 Survival of Representations and Warranties. All representations
and warranties made hereunder, in the other Loan Documents and in any document,
certificate or statement delivered pursuant hereto or in connection herewith
shall survive the execution and delivery of this Agreement and the making of the
Loans and other extensions of credit hereunder.

          10.5 Payment of Expenses and Taxes. The Borrower agrees (a) to pay or
reimburse the Administrative Agent for all its out-of-pocket costs and expenses
incurred in connection with the development, preparation and execution of, and
any amendment, supplement or modification to, this Agreement and the other Loan
Documents and any other documents prepared in connection herewith or therewith,
and the consummation and administration of the transactions contemplated hereby
and thereby, including the reasonable fees and disbursements of counsel to the
Administrative Agent and filing and recording fees and expenses, with statements
with respect to the foregoing to be submitted to the Borrower prior to the
Closing Date (in the case of amounts to be paid on the Closing Date) and from
time to time thereafter on a quarterly basis or such other periodic basis as the
Administrative Agent shall deem appropriate, (b) to pay or reimburse each Lender
and the Administrative Agent for all its costs and expenses incurred in
connection with the enforcement or preservation of any rights under this
Agreement, the other Loan Documents and any such other documents, including the
fees and disbursements of counsel to each Lender and of counsel to the
Administrative Agent, (c) to pay, indemnify, and hold each Lender and the
Administrative Agent harmless from, any and all recording and filing fees and
any and all liabilities with respect to, or resulting from any delay in paying,
stamp, excise and other taxes, if any, that may be payable or determined to be
payable in connection with the execution and delivery of, or consummation or
administration of any of the transactions contemplated by, or any amendment,
supplement or modification of, or any waiver or consent under or in respect of,
this Agreement, the other Loan Documents and any such other documents, and
(d) to pay, indemnify, and hold each Lender and the Administrative Agent and
their respective officers, directors, employees, affiliates, agents, trustees
and investment advisers and controlling persons (each, an "Indemnitee") harmless
from and against any and all other liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements of any
kind or nature whatsoever with respect to the execution, delivery, enforcement,
performance and administration of this Agreement, the other Loan Documents and
any such other documents, including any of the foregoing relating to the use of
proceeds of the Loans or the violation of, noncompliance with or liability
under, any Environmental Law applicable to the operations of Holdings, the
Borrower any of its Subsidiaries or any of the Properties and the reasonable
fees and expenses of legal counsel in connection with claims, actions or
proceedings by any Indemnitee against any Loan Party under any Loan Document
(all the foregoing in this clause (d), collectively, the "Indemnified
Liabilities"),
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                                                                              79

provided, that the Borrower shall have no obligation hereunder to any Indemnitee
with respect to Indemnified Liabilities to the extent such Indemnified
Liabilities are found by a final and nonappealable decision of a court of
competent jurisdiction to have resulted from the gross negligence or willful
misconduct of such Indemnitee. Without limiting the foregoing, and to the extent
permitted by applicable law, the Borrower agrees not to assert and to cause its
Subsidiaries not to assert, and hereby waives and agrees to cause its
Subsidiaries to waive, all rights for contribution or any other rights of
recovery with respect to all claims, demands, penalties, fines, liabilities,
settlements, damages, costs and expenses of whatever kind or nature, under or
related to Environmental Laws, that any of them might have by statute or
otherwise against any Indemnitee. All amounts due under this Section 10.5 shall
be payable not later than 10 days after written demand therefor. Statements
payable by the Borrower pursuant to this Section 10.5 shall be submitted to
Treasurer and General Counsel (Telephone No. (713) 570-3000) (Telecopy No. (713)
570-3150), at the address of the Borrower set forth in Section 10.2, or to such
other Person or address as may be hereafter designated by the Borrower in a
written notice to the Administrative Agent. The agreements in this Section 10.5
shall survive repayment of the Loans and all other amounts payable hereunder.

          It is understood and agreed that, to the extent not precluded by a
conflict of interest, each Indemnitee shall endeavor to work cooperatively with
the Borrower with a view to minimizing the legal and other expenses associated
with any defense and any potential settlement or judgment. To the extent
reasonably practicable and not disadvantageous to any Indemnitee, it is
anticipated that a single counsel may be used. Settlement of any claim or
litigation involving any material indemnified amount will require the approval
of the Borrower (not to be unreasonably withheld).

          10.6 Successors and Assigns; Participations and Assignments. (a) This
Agreement shall be binding upon and inure to the benefit of Holdings, the
Borrower, the Lenders, the Administrative Agent, all future holders of the Loans
and their respective successors and assigns, except that the Borrower may not
assign or transfer any of its rights or obligations under this Agreement without
the prior written consent of each Lender.

          (b) Any Lender other than any Conduit Lender may, without the consent
of the Borrower, in accordance with applicable law, at any time sell to one or
more banks, financial institutions or other entities (each, a "Participant")
participating interests in any Loan owing to such Lender, any Commitment of such
Lender or any other interest of such Lender hereunder and under the other Loan
Documents. In the event of any such sale by a Lender of a participating interest
to a Participant, such Lender's obligations under this Agreement to the other
parties to this Agreement shall remain unchanged, such Lender shall remain
solely responsible for the performance thereof, such Lender shall remain the
holder of any such Loan for all purposes under this Agreement and the other Loan
Documents, and the Borrower and the Administrative Agent shall continue to deal
solely and directly with such Lender in connection with such Lender's rights and
obligations under this Agreement and the other Loan Documents. In no event shall
any Participant under any such participation have any right to approve any
amendment or waiver of any provision of any Loan Document, or any consent to any
departure by any Loan Party therefrom, except to the extent that such amendment,
waiver or consent would reduce the principal of, or interest on, the Loans or
any fees payable hereunder, or postpone the date of the final maturity of the
Loans, in each case to the extent subject to such participation. The Borrower
agrees that if amounts outstanding under this Agreement and the Loans are due or
unpaid, or shall have been declared or shall have become due and payable upon
the occurrence of an Event of Default, each Participant shall, to the maximum
extent permitted by applicable law, be deemed to have the right of
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                                                                              80

setoff in respect of its participating interest in amounts owing under this
Agreement to the same extent as if the amount of its participating interest were
owing directly to it as a Lender under this Agreement, provided that, in
purchasing such participating interest, such Participant shall be deemed to have
agreed to share with the Lenders the proceeds thereof as provided in Section
10.7(a) as fully as if it were a Lender hereunder. The Borrower also agrees that
each Participant shall be entitled to the benefits of Sections 2.16, 2.17 and
2.18 with respect to its participation in the Commitments and the Loans
outstanding from time to time as if it was a Lender; provided that, in the case
of Section 2.17, such Participant shall have complied with the requirements of
said Section and provided, further, that no Participant shall be entitled to
receive any greater amount pursuant to any such Section than the transferor
Lender would have been entitled to receive in respect of the amount of the
participation transferred by such transferor Lender to such Participant had no
such transfer occurred.

          (c) Any Lender other than any Conduit Lender (an "Assignor") may, in
accordance with applicable law, at any time and from time to time assign to any
Lender, any affiliate of any Lender or any Approved Fund (unless, in the case of
assignments of Revolving Commitments, such Lender, affiliate or Approved Fund is
not already a holder of Revolving Commitments) or, with the consent of the
Borrower and the Administrative Agent (which, in each case, shall not be
unreasonably withheld or delayed), to an additional bank, financial institution
or other entity (an "Assignee") all or any part of its rights and obligations
under this Agreement and the other Loan Documents pursuant to an Assignment and
Acceptance, executed by such Assignee, such Assignor and any other Person whose
consent is required pursuant to this paragraph, and delivered to the
Administrative Agent for its acceptance and recording in the Register; provided
that no such assignment to an Assignee (other than any Lender, any affiliate of
any Lender or any Approved Fund) shall be in an aggregate principal amount of
less than $1,000,000 (or, in the case of the Tranche A Term Facility and the
Revolving Facility, $5,000,000) (other than in the case of an assignment of all
of a Lender's interests under this Agreement), unless otherwise agreed by the
Borrower and the Administrative Agent. For purposes of the proviso contained in
the preceding sentence, the amount described therein shall be aggregated in
respect of each Lender and its related Approved Funds, if any. Any such
assignment need not be ratable as among the Facilities. Upon such execution,
delivery, acceptance and recording, from and after the effective date determined
pursuant to such Assignment and Acceptance, (x) the Assignee thereunder shall be
a party hereto and, to the extent provided in such Assignment and Acceptance,
have the rights and obligations of a Lender hereunder with a Commitment and/or
Loans as set forth therein, and (y) the Assignor thereunder shall, to the extent
provided in such Assignment and Acceptance, be released from its obligations
under this Agreement (and, in the case of an Assignment and Acceptance covering
all of an Assignor's rights and obligations under this Agreement, such Assignor
shall cease to be a party hereto). Notwithstanding any provision of this Section
10.6, the consent of the Borrower shall not be required for any assignment that
occurs when an Event of Default shall have occurred and be continuing with
respect to the Borrower. Notwithstanding the foregoing, any Conduit Lender may
assign at any time to its designating Lender hereunder without the consent of
the Borrower or the Administrative Agent any or all of the Loans it may have
funded hereunder and pursuant to its designation agreement and without regard to
the limitations set forth in the first sentence of this Section 10.6(c).

          (d) The Administrative Agent shall, on behalf of the Borrower,
maintain at its address referred to in Section 10.2 a copy of each Assignment
and Acceptance delivered to it and a register (the "Register") for the
recordation of the names and addresses of the Lenders and the Commitment of, and
the principal amount of the Loans owing to, each Lender from time to time. The
entries in the Register shall be conclusive, in the absence of manifest error,
and the Borrower, each other Loan Party, the

<PAGE>

                                                                              81

Administrative Agent and the Lenders shall treat each Person whose name is
recorded in the Register as the owner of the Loans and any promissory note
evidencing Loans recorded therein for all purposes of this Agreement. Any
assignment of any Loan, whether or not evidenced by a promissory note (other
than any assignment to a Federal Reserve Bank pursuant to Section 10.6(f)),
shall be effective only upon appropriate entries with respect thereto being made
in the Register (and each promissory note shall expressly so provide). Any
assignment or transfer of all or part of a Loan evidenced by a promissory note
shall be registered on the Register only upon surrender for registration of
assignment or transfer of the promissory note evidencing such Loan, accompanied
by a duly executed Assignment and Acceptance, and thereupon one or more new
promissory notes shall be issued to the designated Assignee.

          (e) Upon its receipt of an Assignment and Acceptance executed by an
Assignor, an Assignee and any other Person whose consent is required by Section
10.6(c), together with payment to the Administrative Agent of a registration and
processing fee of $3,500 (except that no such registration and processing fee
shall be payable in the case of an Assignee which is an Approved Fund of the
relevant Assignor), the Administrative Agent shall (i) promptly accept such
Assignment and Acceptance and (ii) record the information contained therein in
the Register on the effective date determined pursuant thereto.

          (f) For avoidance of doubt, the parties to this Agreement acknowledge
that the provisions of this Section 10.6 concerning assignments relate only to
absolute assignments and that such provisions do not prohibit assignments
creating security interests, including any pledge or assignment by a Lender to
any Federal Reserve Bank in accordance with applicable law.

          (g) The Borrower, upon receipt of written notice from the relevant
Lender, agrees to issue a promissory note to any Lender requiring such note to
facilitate transactions of the type described in paragraph (f) above.

          (h) Each of Holdings, the Borrower, each Lender and the Administrative
Agent hereby confirms that it will not institute against a Conduit Lender or
join any other Person in instituting against a Conduit Lender any bankruptcy,
reorganization, arrangement, insolvency or liquidation proceeding under any
state bankruptcy or similar law, for one year and one day after the payment in
full of the latest maturing commercial paper note issued by such Conduit Lender;
provided, however, that each Lender designating any Conduit Lender hereby agrees
to indemnify, save and hold harmless each other party hereto for any loss, cost,
damage or expense arising out of its inability to institute such a proceeding
against such Conduit Lender during such period of forbearance.

          10.7 Adjustments; Set-off. (a) Except to the extent that this
Agreement expressly provides for payments to be allocated to a particular Lender
or to the Lenders under a particular Facility, if any Lender (a "Benefitted
Lender") shall, at any time after the Loans and other amounts payable hereunder
shall immediately become due and payable pursuant to Section 8, receive any
payment of all or part of the Obligations owing to it, or receive any collateral
in respect thereof (whether voluntarily or involuntarily, by set-off, pursuant
to events or proceedings of the nature referred to in Section 8(f), or
otherwise), in a greater proportion than any such payment to or collateral
received by any other Lender, if any, in respect of the Obligations owing to
such other Lender, such Benefitted Lender shall purchase for cash from the other
Lenders a participating interest in such portion of the Obligations owing to
each such other Lender, or shall provide such other Lenders with the benefits of
any such collateral, as shall be necessary to cause such Benefitted Lender to
share the excess payment or benefits of such collateral ratably with each of the
Lenders; provided, however, that if all or any portion of such excess payment or
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                                                                              82

benefits is thereafter recovered from such Benefitted Lender, such purchase
shall be rescinded, and the purchase price and benefits returned, to the extent
of such recovery, but without interest.

          (b) In addition to any rights and remedies of the Lenders provided by
law, each Lender shall have the right, without prior notice to Holdings or the
Borrower, any such notice being expressly waived by Holdings and the Borrower to
the extent permitted by applicable law, upon any amount becoming due and payable
by Holdings or the Borrower hereunder (whether at the stated maturity, by
acceleration or otherwise), to set off and appropriate and apply against such
amount any and all deposits (general or special, time or demand, provisional or
final), in any currency, and any other credits, indebtedness or claims, in any
currency, in each case whether direct or indirect, absolute or contingent,
matured or unmatured, at any time held or owing by such Lender or any branch or
agency thereof to or for the credit or the account of Holdings or the Borrower,
as the case may be. Each Lender agrees promptly to notify the Borrower and the
Administrative Agent after any such setoff and application made by such Lender,
provided that the failure to give such notice shall not affect the validity of
such setoff and application.

          10.8 Counterparts. This Agreement may be executed by one or more of
the parties to this Agreement on any number of separate counterparts, and all of
said counterparts taken together shall be deemed to constitute one and the same
instrument. Delivery of an executed signature page of this Agreement by
facsimile transmission shall be effective as delivery of a manually executed
counterpart hereof. A set of the copies of this Agreement signed by all the
parties shall be lodged with the Borrower and the Administrative Agent.

          10.9 Severability. Any provision of this Agreement that is prohibited
or unenforceable in any jurisdiction shall, as to such jurisdiction, be
ineffective to the extent of such prohibition or unenforceability without
invalidating the remaining provisions hereof, and any such prohibition or
unenforceability in any jurisdiction shall not invalidate or render
unenforceable such provision in any other jurisdiction.

          10.10 Integration. This Agreement and the other Loan Documents
represent the entire agreement of Holdings, the Borrower, the Administrative
Agent and the Lenders with respect to the subject matter hereof and thereof, and
there are no promises, undertakings, representations or warranties by the
Administrative Agent or any Lender relative to the subject matter hereof not
expressly set forth or referred to herein or in the other Loan Documents.

          10.11 GOVERNING LAW. THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF
THE PARTIES UNDER THIS AGREEMENT SHALL BE GOVERNED BY, AND CONSTRUED AND
INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE STATE OF NEW YORK.

          10.12 Submission To Jurisdiction; Waivers. Each of Holdings and the
Borrower hereby irrevocably and unconditionally:

          (a) submits for itself and its property in any legal action or
          proceeding relating to this Agreement and the other Loan Documents to
          which it is a party, or for recognition and enforcement of any
          judgment in respect thereof, to the non-exclusive general jurisdiction
          of the
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                                                                              83

       courts of the State of New York, the courts of the United States for the
       Southern District of New York, and appellate courts from any thereof;

         (b) consents that any such action or proceeding may be brought in such
     courts and waives any objection that it may now or hereafter have to the
     venue of any such action or proceeding in any such court or that such
     action or proceeding was brought in an inconvenient court and agrees not to
     plead or claim the same;

         (c) agrees that service of process in any such action or proceeding may
     be effected by mailing a copy thereof by registered or certified mail (or
     any substantially similar form of mail), postage prepaid, to Holdings or
     the Borrower, as the case may be at its address set forth in Section 10.2
     or at such other address of which the Administrative Agent shall have been
     notified pursuant thereto;

         (d) agrees that nothing herein shall affect the right to effect service
     of process in any other manner permitted by law or shall limit the right to
     sue in any other jurisdiction; and

         (e) waives, to the maximum extent not prohibited by law, any right it
     may have to claim or recover in any legal action or proceeding referred to
     in this Section any special, exemplary, punitive or consequential damages.

     10.13 Acknowledgements. Each of Holdings and the Borrower hereby
acknowledges that:

         (a) it has been advised by counsel in the negotiation, execution and
     delivery of this Agreement and the other Loan Documents;

         (b) neither the Administrative Agent nor any Lender has any fiduciary
     relationship with or duty to Holdings or the Borrower arising out of or in
     connection with this Agreement or any of the other Loan Documents, and the
     relationship between Administrative Agent and Lenders, on one hand, and
     Holdings and the Borrower, on the other hand, in connection herewith or
     therewith is solely that of debtor and creditor; and

         (c) no joint venture is created hereby or by the other Loan Documents
     or otherwise exists by virtue of the transactions contemplated hereby among
     the Lenders or among Holdings, the Borrower and the Lenders.

          10.14 Releases of Guarantees and Liens. (a) Notwithstanding anything
to the contrary contained herein or in any other Loan Document, the
Administrative Agent is hereby irrevocably authorized by each Lender (without
requirement of notice to or consent of any Lender except as expressly required
by Section 10.1) to take any action requested by the Borrower having the effect
of releasing any Collateral or Guarantee Obligations (i) to the extent necessary
to permit consummation of any transaction not prohibited by any Loan Document or
that has been consented to in accordance with Section 10.1 or (ii) under the
circumstances described in paragraph (b) below.

         (b) At such time as the Loans, the Reimbursement Obligations and the
     other obligations under the Loan Documents (other than obligations under or
     in respect of Hedge Agreements) shall have
<PAGE>

                                                                              84

been paid in full, the Commitments have been terminated and no Letters of Credit
shall be outstanding, the Collateral shall be released from the Liens created by
the Security Documents, and the Security Documents and all obligations (other
than those expressly stated to survive such termination) of the Administrative
Agent and each Loan Party under the Security Documents shall terminate, all
without delivery of any instrument or performance of any act by any Person.

          10.15 Confidentiality. Each of the Administrative Agent and each
Lender agrees to keep confidential all non-public information provided to it by
any Loan Party pursuant to this Agreement that is designated by such Loan Party
as confidential; provided that nothing herein shall prevent the Administrative
Agent or any Lender from disclosing any such information (a) to the
Administrative Agent, any other Lender, any affiliate of any Lender or any
Approved Fund, (b) to any (i) actual or prospective Transferee, (ii) Hedge
Agreement counterparty or (iii) direct or indirect contractual counterparty in
swap agreements (or such contractual counterparty's professional advisor), in
each case that agrees to comply with the provisions of this Section, (c) to its
employees, directors, agents, attorneys, accountants and other professional
advisors or those of any of its affiliates, (d) upon the request or demand of
any Governmental Authority, (e) in response to any order of any court or other
Governmental Authority or as may otherwise be required pursuant to any
Requirement of Law, (f) if requested or required to do so in connection with any
litigation or similar proceeding, (g) that has been publicly disclosed, (h) to
the National Association of Insurance Commissioners or any similar organization
or any nationally recognized rating agency that requires access to information
about a Lender's investment portfolio in connection with ratings issued with
respect to such Lender, or (i) in connection with the exercise of any remedy
hereunder or under any other Loan Document.

          10.16 WAIVERS OF JURY TRIAL. HOLDINGS, THE BORROWER, THE
ADMINISTRATIVE AGENT AND THE LENDERS HEREBY IRREVOCABLY AND UNCONDITIONALLY
WAIVE TRIAL BY JURY IN ANY LEGAL ACTION OR PROCEEDING RELATING TO THIS AGREEMENT
OR ANY OTHER LOAN DOCUMENT AND FOR ANY COUNTERCLAIM THEREIN.
<PAGE>

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

                                        CROWN CASTLE INTERNATIONAL CORP.

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

                                        CROWN CASTLE OPERATING COMPANY

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

                                        THE CHASE MANHATTAN BANK, as
                                        Administrative Agent and as a Lender

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

                                        CREDIT SUISSE FIRST BOSTON CORPORATION,
                                        as Syndication Agent

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

                                        CREDIT SUISSE FIRST BOSTON, as a Lender

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

<PAGE>

                                     KEY CORPORATE CAPITAL INC., as Syndication
                                     Agent and as a Lender

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

                                     THE BANK OF NOVA SCOTIA, as Documentation
                                     Agent and as a Lender

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

                                     BANK OF NEW YORK

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

                                     PNC BANK, NATIONAL ASSOCIATION

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

                                     ROYAL BANK OF CANADA

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

<PAGE>

                                        UNION BANK OF CALIFORNIA

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

                                        BANK OF MONTREAL

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

                                        CREDIT LYONNAIS NEW YORK BRANCH

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

                                        COOPERATIVE CENTRALE RAIFFEISEN-
                                        BOERENLEEN BANK B.A., "RABOBANK
                                        INTERNATIONAL", NEW YORK BRANCH

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

                                        By:
                                           ----------------------------------
                                           Name:
                                           Title:
<PAGE>

                                        ROYAL BANK OF SCOTLAND

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

                                        MEESPIERSON CAPITAL CORP.

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

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

                                        COBANK, ACB

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

                                        CREDIT INDUSTRIEL ET COMMERCIAL

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

                                        SUNTRUST BANKS, INC.

                                        By:
                                           ----------------------------------
                                           Name:
                                           Title:
<PAGE>

                                        WACHOVIA BANK

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

                                        FLEETBOSTON

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

                                        IBM CREDIT CORPORATION

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

                                        ARAB BANKING CORPORATION

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

                                        THE CIT GROUP/EQUIPMENT FINANCING INC.

                                        By:
                                           ----------------------------------
                                            Name:
                                            Title:
<PAGE>

                                        DAI ICHI KANGYO BANK

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

                                        ERSTE BANK

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

                                        MERCANTILE BANK NATIONAL ASSOCIATION

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

                                        THE MITSUBISHI TRUST AND BANKING
                                        CORPORATION

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

                                        SUMMIT BANK

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

<PAGE>

                                    NUVEEN FLOATING RATE FUND

                                    By: Nuveen Senior Loan Asset Management Inc.

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

                                    NUVEEN SENIOR INCOME FUND

                                    By: Nuveen Senior Loan Asset Management Inc.

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

                                    GOLDMAN SACHS CREDIT PARTNERS L.P.

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

                                    EATON VANCE MANAGEMENT INC.

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

                                    MERRILL LYNCH

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

<PAGE>

                                        VAN KAMPEN AMERICAN CAPITAL

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

                                        FRANKLIN FLOATING RATE TRUST

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

                                        PACIFIC INVESTMENT MANAGEMENT

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

                                        ING CAPITAL ADVISORS

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

                                        PILGRIM PRIME RATE TRUST

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

<PAGE>

                                        MORGAN STANLEY DEAN WITTER PRIME
                                         INCOME TRUST

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

                                        STANFIELD CAPITAL PARTNERS

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

                                        FIRST DOMINION CAPITAL

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

                                        APPALOOSA MANAGEMENT, L.P.

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

                                        SUNAMERICA CORPORATE FINANCE

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

<PAGE>

                                        APOLLO ADVISORS

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

                                        TRUST COMPANY OF THE WEST

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

                                        MASSACHUSETTS MUTUAL LIFE

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

                                        PUTNAM INVESTMENTS

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

                                        BAIN

                                        By:
                                           --------------------------
                                        Name:
                                             ------------------------
                                        Title:
                                              -----------------------
<PAGE>

                                        METROPOLITAN PROPERTY AND CASUALTY
                                        INSURANCE COMPANY

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

                                        OAK HILL

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

                                        INVESCO

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

                                        CITIBANK GLOBAL ASSET MANAGEMENT

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

                                        ARCHIMEDES FUNDING II-LTD
                                        By: ING Capital Advisors LLC, as
                                            Collateral Manager

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

<PAGE>

                                        ARCHIMEDES FUNDING III-LTD
                                        By: ING Capital Advisors LLC, as
                                            Collateral Manager

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

                                        SWISS LIFE US RAINBOW LIMITED
                                        By: ING Capital Advisors LLC, as
                                            Investment Advisor

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

                                        OCTAGON CREDIT INVESTORS

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

                                        KEMPER FLOATING RATE FUND

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

                                        PPM AMERICA INCORPORATED

                                        By:
                                           --------------------------
                                        Name:
                                             ------------------------
                                        Title:
                                              -----------------------
<PAGE>

                                        FC CBP LTD. (BANK OF MONTREAL)

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

                                        THE TRAVELERS INSURANCE COMPANY

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

                                        TRAVELERS CORPORATE LOAN FUND INC.
                                        By: Travelers Asset Management
                                            International Company LLC

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

                                        ALLSTATE INSURANCE

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

                                        CARAVELLE ADVISORS LLC

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

<PAGE>

                                        INSTITUTIONAL DEBT MANAGEMENT

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

                                        SHENKMAN CAPITAL

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

                                        STEIN ROE FARNHAM, INC.

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

                                        STERLING ASSET MANAGEMENT

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

                                        CANADIAN INPERIAL BANK OF COMMERCE

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

<PAGE>

                                        HELLER FINANCIAL

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

                                        NEW YORK LIFE INSURANCE AND ANNUITY
                                        CORPORATION

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

                                        OPPENHEIMER SENIOR FLOATING RATE FUND

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

                                        KZH RIVERSIDE LLC

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

                                        KZH SOLEIL LLC

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

<PAGE>

                                        KZH SOLEIL-2 LLC

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

                                        KZH CRESCENT LLC

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

                                        KZH CRESCENT-3 LLC

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

                                        KZH LANGDALE LLC

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

                                        BALANCED HIGH YIELD FUND II

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

<PAGE>

                                        IMPERIAL CREDIT INDUSTRIES

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

                                        KATONAH CAPITAL

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

                                        NOMURA

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

                                        KZH ING-1 LLC

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

                                        KZH ING-2 LLC

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

<PAGE>

                                        KZH ING-3 LLC

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

                                        KZH III LLC

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

                                        KZH SHOSHONE LLC

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

                                        KZH STERLING LLC

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

                                        GALAXY CLO 1999-1, LTD

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

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