Document:

Exhibit 4.1

                           REVOLVING CREDIT AGREEMENT

                           Dated as of August 1, 2000

                                      among

                  WISCONSIN CENTRAL TRANSPORTATION CORPORATION,

                                  (the Company)

                              FLEET NATIONAL BANK,

                          as the Administrative Agent,

                             BANK OF AMERICA, N.A.,

                              as Syndication Agent,

                         HARRIS TRUST AND SAVINGS BANK,

                             as Documentation Agent

                                       and

                     THE FINANCIAL INSTITUTIONS PARTY HERETO

                                   (the Banks)

                                      with

                         BANC OF AMERICA SECURITIES LLC,

              as Sole and Exclusive Lead Arranger and Book Manager

                              Exhibit 4.1 - Page 1

<PAGE>

                                TABLE OF CONTENTS

ARTICLE I.  DEFINITIONS.......................................................1
    1.1.    Certain Defined Terms.............................................1
    1.2.    Other Interpretive Provisions.....................................21
    1.3.    Accounting Principles.............................................23

ARTICLE II.  THE CREDITS......................................................23
     2.1.    Commitment to Lend...............................................23
         2.1.1.   The Revolving Credit A Loans................................23
         2.1.2.   The Revolving Credit B Loans................................24
     2.2.    Loan Accounts....................................................24
     2.3.    Procedure for Borrowings of Committed Loans......................25
     2.4.    Conversion and Continuation Elections for Committed
             Borrowings.......................................................26
     2.5.    Bid Borrowings...................................................28
     2.6.    Procedure for Bid Borrowings.....................................28
     2.7.    Voluntary Termination or Reduction of Commitments................33
         2.7.1  Reduction of Revolver A Commitment............................33
         2.7.2  Reduction of Revolver B Commitment............................33
     2.8.    Optional Prepayments.............................................34
     2.9.    Extension of Revolving Credit B Loan Maturity Date...............34
     2.10.   Repayment........................................................35
     2.11.   Interest.........................................................35
     2.12.   Fees.............................................................36
     2.13.   Computation of Fees and Interest.................................37
     2.14.   Payments by the Company..........................................38
     2.15.   Payments by the Banks to the Administrative Agent................39
     2.16.   Sharing of Payments, Etc.........................................40
     2.17.   Adjustment of Applicable Margin and Applicable Fee
             Percentage.......................................................41

ARTICLE III.  THE LETTERS OF CREDIT...........................................41
     3.1.    The Letter of Credit Subfacility.................................41
     3.2.    Issuance, Amendment and Renewal of Letters of Credit.............43
     3.3.    Risk Participations, Drawings and Reimbursements.................45
     3.4.    Repayment of Participations......................................47
     3.5.    Role of the Issuing Bank.........................................47
     3.6.    Obligations Absolute.............................................48
     3.7.    Cash Collateral Pledge...........................................49
     3.8.    Letter of Credit Fees............................................50
     3.9.    Uniform Customs and Practice.....................................51

                              Exhibit 4.1 - Page 2

<PAGE>

ARTICLE IV.  TAXES, YIELD PROTECTION AND ILLEGALITY...........................51
     4.1.    Taxes............................................................51
     4.2.    Illegality.......................................................52
     4.3.    Increased Costs and Reduction of Return..........................53
     4.4.    Funding Losses...................................................54
     4.5.    Inability to Determine Rates.....................................55
     4.6.    Certificates of Banks............................................55
     4.7.    Substitution of Banks............................................55
     4.8.    Survival.........................................................55

ARTICLE V.  CONDITIONS PRECEDENT..............................................56
     5.1.    Conditions of Initial Loans......................................56
     5.2.    Conditions to All Borrowings.....................................58

ARTICLE VI.  REPRESENTATIONS AND WARRANTIES...................................58
     6.1.    Corporate Existence and Power....................................58
     6.2.    Corporate Authorization; No Contravention........................59
     6.3.    Governmental Authorization.......................................59
     6.4.    Binding Effect...................................................59
     6.5.    Litigation.......................................................60
     6.6.    No Default.......................................................60
     6.7.    ERISA Compliance.................................................60
     6.8.    Use of Proceeds; Margin Regulations..............................62
     6.9.    Title to Properties..............................................62
     6.10.   Taxes............................................................62
     6.11.   Financial Condition..............................................62
     6.12.   Environmental Matters............................................63
     6.13.   Regulated Entities...............................................63
     6.14.   No Burdensome Restrictions.......................................63
     6.15.   Copyrights, Patents, Trademarks and Licenses, etc................63
     6.16.   Subsidiaries.....................................................64
     6.17.   Insurance........................................................64
     6.18.   Full Disclosure..................................................64
     6.19.   Labor Controversies..............................................64

ARTICLE VII.  AFFIRMATIVE COVENANTS...........................................64
     7.1.    Financial Statements.............................................65
     7.2.    Certificates; Other Information..................................66
     7.3.    Notices..........................................................66
     7.4.    Preservation of Corporate Existence, Etc.........................67
     7.5.    Maintenance of Property..........................................68
     7.6.    Insurance........................................................68
     7.7.    Payment of Obligations...........................................68
     7.8.    Compliance with Laws.............................................68

                              Exhibit 4.1 - Page 3

<PAGE>

     7.9.    Inspection of Property and Books and Records.....................69
     7.10.   Reporting of Senior Debt Rating..................................69
     7.11.   Environmental Laws...............................................69
     7.12.   Use of Proceeds..................................................70
     7.13.   Additional Material U.S. Subsidiaries; Guaranty..................70

ARTICLE VIII.  NEGATIVE COVENANTS.............................................70
     8.1.    Limitation on Liens..............................................70
     8.2.    Disposition of Assets............................................74
     8.3.    Consolidations and Mergers.......................................75
     8.4.    Loans and Investments............................................76
     8.5.    Limitation on Indebtedness.......................................77
     8.6.    Transactions with Affiliates.....................................77
     8.7.    Use of Proceeds..................................................78
     8.8.    Restrictive Agreements, etc......................................78
     8.9.    Contingent Obligations...........................................78
     8.10.   Restricted Payments..............................................79
     8.11.   Change in Business...............................................80
     8.12.   Accounting Changes...............................................80
     8.13.   Interest Coverage Ratio..........................................80
     8.14.   Leverage Ratio...................................................80
     8.15.   Minimum Net Worth................................................80

ARTICLE IX.   EVENTS OF DEFAULT...............................................80
     9.1.    Event of Default.................................................80
     9.2.    Remedies.........................................................83
     9.3.    Rights Not Exclusive.............................................84

ARTICLE X.  THE ADMINISTRATIVE AGENT..........................................84
     10.1.   Appointment and Authorization....................................84
     10.2.   Delegation of Duties.............................................84
     10.3.   Liability of Administrative Agent................................84
     10.4.   Reliance by Administrative Agent.................................85
     10.5.   Notice of Default................................................85
     10.6.   Credit Decision..................................................86
     10.7.   Indemnification..................................................87
     10.8.   Administrative Agent in Individual Capacity......................87
     10.9.   Successor Administrative Agent...................................87
     10.10.  Withholding Tax..................................................88

ARTICLE XI.  MISCELLANEOUS....................................................90
     11.1.   Amendments and Waivers...........................................90
     11.2.   Notices..........................................................91
     11.3.   No Waiver; Cumulative Remedies...................................92

                              Exhibit 4.1 - Page 4

<PAGE>

     11.4.   Costs and Expenses...............................................92
     11.5.   Indemnity........................................................93
     11.6.   Payments Set Aside...............................................93
     11.7.   Successors and Assigns...........................................94
     11.8.   Assignments, Participations, etc.................................94
     11.9.   Set-off..........................................................97
     11.10.  Automatic Debits of Fees.........................................97
     11.11.  Notification of Addresses, Lending Offices, Etc..................97
     11.12.  Counterparts.....................................................97
     11.13.  Severability.....................................................97
     11.14.  No Third Parties Benefited.......................................98
     11.15.  Governing Law and Jurisdiction...................................98
     11.16.  Waiver of Jury Trial.............................................98
     11.17.  Entire Agreement.................................................99

                              Exhibit 4.1 - Page 5

<PAGE>

SCHEDULES

Schedule 2.1            Commitments
Schedule 5.1(f)         Indebtedness to be Repaid
Schedule 6.5            Litigation

Schedule 6.7            ERISA
Schedule 6.11           Permitted Liabilities
Schedule 6.12           Environmental Matters
Schedule 6.14           Dividend Restrictions
Schedule 6.16           Subsidiaries and Minority Interests
Schedule 6.17           Insurance Matters
Schedule 8.1            Permitted Liens
Schedule 8.4(e)         Existing Investments
Schedule 8.9            Contingent Obligations
Schedule 11.2           Lending Offices, Addresses for Notices

EXHIBITS

Exhibit A-1             Form of Notice of A Loan Borrowing
Exhibit A-2             Form of Notice of B Loan Borrowing
Exhibit B               Form of Notice of Conversion/Continuation
Exhibit C               Form of Compliance Certificate
Exhibit D               Form of Legal Opinion of Company's Counsel
Exhibit E               Form of Assignment and Acceptance
Exhibit F               Form of Invitation for Competitive Bids
Exhibit G               Form of Competitive Bid Request
Exhibit H               Form of Competitive Bid
Exhibit I-1             Form of Revolving A Committed Loan Note
Exhibit I-2             Form of Revolving B Committed Loan Note
Exhibit J               Form of Bid Loan Note
Exhibit K               Form of Guaranty

                              Exhibit 4.1 - Page 6

<PAGE>

                           REVOLVING CREDIT AGREEMENT

     This REVOLVING  CREDIT  AGREEMENT (the  "Agreement")  is entered into as of
August 1, 2000, among WISCONSIN CENTRAL TRANSPORTATION  CORPORATION,  a Delaware
corporation (the "Company"),  FLEET NATIONAL BANK ("Fleet"),  as  Administrative
Agent (the "Administrative Agent"), BANK OF AMERICA, N.A., as Syndication Agent,
HARRIS TRUST AND SAVINGS  BANK,  as  Documentation  Agent,  and THE  FINANANCIAL
INSTITUTIONS  PARTY HERETO (the  "Banks").  BANC OF AMERICA  SECURITIES  LLC, is
acting as Sole and Exclusive Lead Arranger for this Agreement (the "Arranger").

     WHEREAS,  the Banks have agreed to make available to the Company  revolving
credit facilities upon the terms and conditions set forth in this Agreement;

     NOW, THEREFORE,  in consideration of the mutual agreements,  provisions and
covenants contained herein, the parties agree as follows:

                                   ARTICLE I.

                                   DEFINITIONS

     1.1.  Certain  Defined  Terms.  The  following  terms  have  the  following
meanings:

     "Absolute Rate" has the meaning specified in subsection 2.6(c).

     "Acquisition"  means any transaction or series of related  transactions for
the purpose of or resulting,  directly or indirectly,  in (a) the acquisition of
all or  substantially  all of the  assets of a  Person,  or of any  business  or
division  of a Person,  (b) the  acquisition  of in excess of 50% of the capital
stock,  partnership  interests or equity of any Person or otherwise  causing any
Person,  to become a Subsidiary,  or (c) a merger or  consolidation or any other
combination  with  another  Person  (other than a Person that is a  Subsidiary),
provided that the Company or the Subsidiary is the surviving entity.

     "Adjusted EBIT" means for any period Net Income plus (a) Interest  Expense,
(b)  income  taxes for such  period (to the extent  each was  deducted  from Net
Income) and (c) to the extent not otherwise  included,  cash dividends  actually
received from Unrestricted Subsidiaries in an amount not to exceed the Company`s
share of the net income of such  Unrestricted  Subsidiaries  for the Computation
Period then ending.

                              Exhibit 4.1 - Page 7

<PAGE>

     "Administrative Agent" means Fleet, in its capacity as administrative agent
for the Banks hereunder, and any successor agent arising under Section 10.9.

     "Affiliate"  means, as to any Person,  any other Person which,  directly or
indirectly, is in control of, is controlled by, or is under common control with,
such  Person.  A  Person  shall be  deemed  to  control  another  Person  if the
controlling  Person  possesses,  directly or indirectly,  the power to direct or
cause the direction of the management and policies of the other Person,  whether
through the ownership of voting securities, by contract or otherwise.

     "Agent-Related  Persons" means Fleet and any successor  agent arising under
Section 10.9, together with their respective  Affiliates,  and (i) the officers,
directors  and  employees,  of such Persons and  Affiliates  and (ii) agents and
attorneys-in-fact  of such Persons and Affiliates selected in the same manner as
agents  and  attorneys-in-fact  are  customarily  selected  by  such  Person  or
Affiliate.

     "Agent's  Payment  Office"  means the  address  for  payments  set forth on
Schedule 11.2 in relation to the Administrative  Agent, or such other address as
the Administrative Agent may from time to time specify.

     "Agreement" means this Credit Agreement.

     "Applicable Fee Percentage" means the rate per annum set forth below in the
table below for the  applicable  type of Loan  opposite the  applicable  Pricing
Level:

                       Applicable Fee        Applicable Fee      Applicable Fee
                       Percentage for        Percentage for      Percentage for
     Pricing Level   Loan A Facility Fee   Loan B Facility Fee      L/C Fees
     -------------   -------------------   -------------------   ---------------

        Level I            0.1250%               0.1000%             0.5250%

        Level II           0.1500%               0.1250%             0.6250%

        Level III          0.2000%               0.1750%             0.8250%

        Level IV           0.2500%               0.2250%             0.9000%

     "Applicable  Margin"  means the rate per annum set forth below in the table
below for the applicable type of Loan opposite the applicable Pricing Level:

                              Exhibit 4.1 - Page 8

<PAGE>

                Applicable Margin for  Applicable Margin for

                        LIBOR Rate Loans LIBOR Rate Loans

                 that are Revolving     that are Revolving    Applicable Margin
  Pricing Level    Credit A Loans         Credit B Loans     for Base Rate Loans
  -------------    --------------         --------------     -------------------

     Level I          0.5000%                 0.5250%                 0%

     Level II         0.6000%                 0.6250%                 0%

     Level III        0.8000%                 0.8250%                 0%

     Level IV         0.8750%                 0.9000%                 0%

     "Assignee" has the meaning specified in subsection 11.8(a).

     "Attorney  Costs" means and includes all reasonable fees and  disbursements
of any law firm or other external counsel,  the allocated cost of internal legal
services and all disbursements of internal counsel.

     "Banks"  mean the several  financial  institutions  from time to time party
hereto.

     "Bankruptcy  Code"  means the  Federal  Bankruptcy  Reform  Act of 1978 (11
U.S.C. ss.101, et seq.).

     "Base  Rate" The higher of (a) the  variable  annual  rate of  interest  so
designated from time to time by Fleet as its "prime commercial  lending rate" or
"prime rate" (or an analogous  term),  such rate being a reference  rate and not
necessarily  representing the lowest or best rate being charged to any customer,
and (b) one-half of one percent (1/2%) above the Federal Funds Rate.  Changes in
the Base Rate resulting from any changes in Fleet's  "prime  commercial  lending
rate" or "prime  rate" (or an  analogous  term)  shall  take  place  immediately
without notice or demand of any kind.

     "Base Rate Loans"  Revolving  Credit Loans bearing  interest  calculated by
reference to the Base Rate.

     "Bid Agent" shall initially mean the Company and, at any time five Business
Days after the Company has requested  that the  Administrative  Agent assume the
duties of Bid Agent, shall mean the Administrative Agent.

     "Bid Borrowing" means a Borrowing  hereunder  consisting of one or more Bid
Loans made to the Company on the same day by one or more Banks.

     "Bid Loan" means a Loan by a Bank to the Company under Section 2.5.

                              Exhibit 4.1 - Page 9

<PAGE>

     "Bid Loan Lender"  means,  in respect of any Bid Loan, the Bank making such
Bid Loan to the Company.

     "Bid Loan  Note"  means a note  substantially  in the form of Exhibit J and
delivered to a Bank pursuant to Section 2.2.

     "BofA" means Bank of America, N.A., a national banking association.

     "Borrowing"  means a borrowing  hereunder  consisting  of Loans of the same
Type made to the Company on the same day by the Banks under  Article II, and may
be a  Committed  Borrowing  or a Bid  Borrowing  and,  in the case of LIBOR Rate
Loans, having the same Interest Period.

     "Borrowing  Date" means any date on which a Borrowing  occurs under Section
2.3 or Section 2.6.

     "Business Day" means any day other than a Saturday,  Sunday or other day on
which  commercial  banks in Boston,  Massachusetts,  or  Chicago,  Illinois  are
authorized  or  required  by law to close and, if the  applicable  Business  Day
relates to any LIBOR Rate Loan, a day which is also a LIBOR Business Day.

     "Capital Adequacy Regulation" means any guideline,  request or directive of
any central  bank or other  Governmental  Authority,  or any other law,  rule or
regulation,  whether  or not having  the force of law,  in each case,  regarding
capital adequacy of any Bank or of any corporation controlling a Bank.

     "Capital Lease" means,  with respect to any Person,  any lease of (or other
agreement  conveying  the right to use) any real or  personal  property  by such
Person which,  in  conformity  with GAAP, is accounted for as a capital lease on
the balance sheet of such Person.

     "Cash Collateral" means cash held by the  Administrative  Agent as security
for L/C Obligations pursuant to documentation satisfactory in form and substance
to the Majority Banks.

     "Change of  Control"  means (a) any Person or group of Persons  (within the
meaning of Section 13 or 14 of the Securities  Exchange Act of 1934, as amended)
shall acquire beneficial ownership (within the meaning of Rule 13d-3 promulgated
under such Act) of 50% or more of the outstanding  shares of common stock of the
Company;  (b) during any 24-month  period,  individuals  who at the beginning of
such period constituted the Company's Board of Directors  (together with any new
directors whose election by the Company's Board of Directors or whose nomination
for election by the Company's

                              Exhibit 4.1 - Page 10

<PAGE>

shareholders  was approved by a vote of at least a majority of the directors who
either  were  directors  at  beginning  of such  period  or  whose  election  or
nomination  was  previously  so approved)  cease for any reason to  constitute a
majority of the Board of  Directors  of the Company or (c) the Company  shall at
any time fail to own at least 80% of the  outstanding  shares of common stock of
each of Wisconsin  Central Ltd.,  Fox Valley & Western Ltd.,  Wisconsin  Central
International,  Inc.,  or Sault  Ste.  Marie  Bridge  Co.  or  their  respective
successors permitted by Section 8.3.

     "Closing Date" means the date on which all  conditions  precedent set forth
in Section 5.1 are satisfied or waived by all Banks.

     "Code" means the Internal Revenue Code of 1986 and regulations  promulgated
thereunder.

     "Commitment",  as to each Bank, means such Bank's Revolver A Commitment and
Revolver B Commitment.

     "Committed  Borrowing" means a Borrowing hereunder  consisting of Revolving
Credit A Loans or  Revolving  Credit B Loans  made on the same day by the  Banks
ratably  according  to their  respective  Revolver A Commitment  Percentages  or
Revolver B Commitment Percentages, as applicable, and, in the case of LIBOR Rate
Loans, having the same Interest Periods.

     "Committed  Loans"  means the  Revolving  Credit A Loans and the  Revolving
Credit B Loans, and may be a LIBOR Rate Loan or a Base Rate Loan (each, a "Type"
of Committed Loan).

     "Competitive Bid" means an offer by a Bank to make a Bid Loan in accordance
with subsection 2.6(c).

     "Competitive Bid Request" has the meaning specified in subsection 2.6(a).

     "Compliance  Certificate" means a certificate  substantially in the form of
Exhibit C.

     "Computation  Period" means any period of four consecutive  fiscal quarters
of the Company.

     "Consolidated  or  consolidated"  means,  as applied to the Company and its
Subsidiaries, consolidated in accordance with GAAP.

     "Contingent  Obligation"  means,  as to any Person,  any direct or indirect
liability  of that  Person,  with or without  recourse,  (a) with respect to any
Indebtedness, lease, dividend, letter of credit or other financial obligation

                              Exhibit 4.1 - Page 11

<PAGE>

(the "primary obligations") of another Person (the "primary obligor"), including
any obligation of that Person (i) to purchase,  repurchase or otherwise  acquire
such primary  obligations or any security  therefor,  (ii) to advance or provide
funds  for the  payment  or  discharge  of any such  primary  obligation,  or to
maintain  working  capital or equity capital of the primary obligor or otherwise
to maintain the net worth or solvency or any balance sheet item, level of income
or  financial  condition  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 holder
of any  such  primary  obligation  against  loss in  respect  thereof  (each,  a
"Guaranty Obligation"); (b) with respect to any Surety Instrument issued for the
account  of that  Person or as to which  that  Person is  otherwise  liable  for
reimbursement of drawings or payments;  (c) to purchase any materials,  supplies
or other  property  from,  or to obtain the services of,  another  Person if the
relevant contract or other related document or obligation  requires that payment
for such materials,  supplies or other property, or for such services,  shall be
made  regardless  of  whether  delivery  of such  materials,  supplies  or other
property  is ever made or  tendered,  or such  services  are ever  performed  or
tendered, or (d) whether or not contingent, in respect of any Swap Contract. The
amount of any Contingent  Obligation shall, in the case of Guaranty Obligations,
be deemed equal to the stated or  determinable  principal  amount of the primary
obligation  in  respect  of which such  Guaranty  Obligation  is made or, if not
stated or if  indeterminable,  the maximum reasonably  anticipated  liability in
respect thereof, and in the case of other Contingent Obligations, shall be equal
to the maximum reasonably anticipated liability in respect thereof.

     "Contractual  Obligation"  means,  as to any Person,  any  provision of any
security  issued by such  Person  or of any  agreement,  undertaking,  contract,
indenture, mortgage, deed of trust or other instrument, document or agreement to
which such Person is a party or by which it or any of its property is bound.

     "Conversion/Continuation  Date" means any date on which, under Section 2.4,
the Company (a) converts  Committed  Loans of one Type to another  Type,  or (b)
continues as Committed  Loans of the same Type, but with a new Interest  Period,
Committed Loans having Interest Periods expiring on such date.

     "Default" means any event or circumstance which, with the giving of notice,
the lapse of time,  or both,  would (if not cured or otherwise  remedied  during
such time) constitute an Event of Default.

                              Exhibit 4.1 - Page 12

<PAGE>

     "Dollars", "dollars" and "$" each mean lawful money of the United States.

     "Eligible Assignee" means (i) a commercial bank organized under the laws of
the United  States,  or any state  thereof,  and having a combined  capital  and
surplus of at least  $100,000,000;  (ii) a commercial  bank organized  under the
laws of any other  country  which is a member of the  Organization  for Economic
Cooperation and Development (the "OECD"), or a political subdivision of any such
country,  and having a combined  capital and  surplus of at least  $100,000,000,
provided  that  such bank is acting  through a branch or agency  located  in the
United States;  and (iii) a Person that is primarily  engaged in the business of
commercial banking and that is an Affiliate of a Bank.

     "Environmental   Claims"  means  all  claims,   however  asserted,  by  any
Governmental   Authority  or  other  Person  alleging  potential   liability  or
responsibility  for violation of any Environmental Law, or for release or injury
to the environment.

     "Environmental  Laws" means all  federal,  state or local  laws,  statutes,
common law duties, rules,  regulations,  ordinances and codes, together with all
administrative orders, directed duties, requests,  licenses,  authorizations and
permits of, and agreements  with,  any  Governmental  Authorities,  in each case
relating to environmental, health, safety and land use matters.

     "Equity  Offering  Proceeds"  means the net cash  proceeds  received by the
Company on account of the  issuance of any  capital  stock of the Company or any
option or warrant to acquire any of the same.

     "ERISA"  means the Employee  Retirement  Income  Security Act of 1974,  and
regulations promulgated thereunder.

     "ERISA Event" means (a) a Reportable  Event with respect to a Pension Plan;
(b) a  withdrawal  by the Company from a Pension Plan subject to Section 4063 of
ERISA during a plan year in which it was a  substantial  employer (as defined in
Section  4001(a)(2) of ERISA) or a cessation of  operations  which is treated as
such a withdrawal  under Section 4062(e) of ERISA; (c) the filing of a notice of
intent to terminate,  the treatment of a plan  amendment as a termination  under
Section 4041 or 4041A of ERISA or the commencement of proceedings by the PBGC to
terminate  a Pension  Plan  subject  to Title IV of ERISA;  (d) a failure by the
Company to make required  contributions  to a Pension Plan or other Plan subject
to Section 412 of the Code; (e) an event or condition which might  reasonably be
expected to constitute  grounds under Section 4042 of ERISA for the  termination
of, or the  appointment  of a trustee to  administer,  any Pension Plan; (f) the
imposition

                              Exhibit 4.1 - Page 13

<PAGE>

of any liability  under Title IV of ERISA,  other than PBGC premiums due but not
delinquent under Section 4007 of ERISA, upon the Company;  or (g) an application
for a funding  waiver or an extension  of any  amortization  period  pursuant to
Section 412 of the Code with respect to any Pension Plan.

     "Event of Default"  means any of the events or  circumstances  specified in
Section 9.1.

     "Exchange  Act"  means  the  Securities  and  Exchange  Act  of  1934,  and
regulations promulgated thereunder.

     "FDIC"  means  the  Federal   Deposit   Insurance   Corporation,   and  any
Governmental Authority succeeding to any of its principal functions.

     "Federal  Funds Rate" means,  for any day, the rate set forth in the weekly
statistical  release  designated  as H.15(519),  or any  successor  publication,
published by the Federal Reserve Bank of New York (including any such successor,
"H.15(519)") on the preceding  Business Day opposite the caption  "Federal Funds
(Effective)";  or, if for any  relevant day such rate is not so published on any
such preceding  Business Day, the rate for such day will be the arithmetic  mean
as determined by the Administrative  Agent of the rates for the last transaction
in overnight  Federal funds  arranged prior to 9:00 a.m. (New York City time) on
that day by each of three leading  brokers of Federal funds  transactions in New
York City selected by the Administrative Agent.

     "Fee Letter" has the meaning specified in subsection 2.12(a).

     "Fleet" means Fleet National Bank, a national banking association.

     "Former Credit  Agreement"  means the Credit Agreement dated as of November
21, 1994, as amended,  among the Company,  BofA as Agent,  and the other parties
thereto.

     "Funded  Debt" means all  Indebtedness  of the  Company and its  Restricted
Subsidiaries described in clauses (a), (d), (e) (f) and (g) of the definition of
Indebtedness  constituting Long Term Debt (including all maturities of Long Term
Debt due within one year),  excluding  Indebtedness of the Company to Restricted
Subsidiaries and Indebtedness of Restricted Subsidiaries to the Company or other
Restricted Subsidiaries plus, without duplication, Contingent Obligations of the
Company and its  Restricted  Subsidiaries  exclusive of  Contingent  Obligations
pursuant to Sections 8.9(a) and (c)(a),  and Swap Contracts  pursuant to Section
8.9(b) up to the amount of unrealized loss.

                              Exhibit 4.1 - Page 14

<PAGE>

     "FRB" means the Board of Governors of the Federal Reserve  System,  and any
Governmental Authority succeeding to any of its principal functions.

     "GAAP" means generally accepted  accounting  principles set forth from time
to time in the opinions and  pronouncements  of the Accounting  Principles Board
and the American  Institute of Certified  Public  Accountants and statements and
pronouncements  of the Financial  Accounting  Standards  Board (or agencies with
similar functions of comparable stature and authority within the U.S. accounting
profession),  which  are  applicable  to the  circumstances  as of the  date  of
determination.

     "Governmental Authority" means any nation or government, any state or other
political  subdivision  thereof,  any  central  bank  (or  similar  monetary  or
regulatory  authority) thereof,  any entity exercising  executive,  legislative,
judicial, regulatory or administrative functions of or pertaining to government,
and any  corporation  or other  entity  owned or  controlled,  through  stock or
capital ownership or otherwise, by any of the foregoing.

     "Guarantors" means Restricted  Subsidiaries which are party to the Guaranty
in accordance with the terms of Section 7.13.

     "Guaranty" means the Guaranty substantially in the form of Exhibit K.

     "Guaranty  Obligation"  has the  meaning  specified  in the  definition  of
"Contingent Obligation".

     "Harris" means Harris Trust and Savings Bank.

     "Indebtedness"  of  any  Person  means,   without   duplication,   (a)  all
indebtedness  for borrowed  money;  (b) all  obligations  issued,  undertaken or
assumed as the deferred purchase price of property or services (other than trade
payables arising in the ordinary course of business on ordinary terms);  (c) all
non-contingent  reimbursement  or  payment  obligations  with  respect to Surety
Instruments;  (d) all  obligations  evidenced  by notes,  bonds,  debentures  or
similar instruments,  including  obligations so evidenced incurred in connection
with the  acquisition of property,  assets or businesses;  (e) all  indebtedness
created  or  arising  under  any  conditional  sale  or  other  title  retention
agreement,  or incurred as  financing,  in either case with  respect to property
acquired  by the Person  (even  though the rights and  remedies of the seller or
bank under such agreement in the event of default are limited to repossession or
sale of such property);  (f) all obligations with respect to Capital Leases; (g)
all outstanding  balances of receivables  transferred  with respect to Permitted
Receivables  Securitizations;  (h) all  indebtedness  referred to in clauses (a)
through (g) above secured by (or for which the holder of such

                              Exhibit 4.1 - Page 15

<PAGE>

Indebtedness has an existing right,  contingent or otherwise,  to be secured by)
any Lien upon or in property  (including accounts and contracts rights) owned by
such  Person,  even though such Person has not assumed or become  liable for the
payment of such  Indebtedness;  and (i) all Guaranty  Obligations  in respect of
indebtedness  or  obligations  of others of the kinds referred to in clauses (a)
through (h) above.

     "Indebtedness  to be  Repaid"  means all  Indebtedness  listed on  Schedule
5.1(f).

     "Indemnified Liabilities" has the meaning specified in Section 11.5.

     "Indemnified Person" has the meaning specified in Section 11.5.

     "Independent Auditor" has the meaning specified in subsection 7.1(a).

     "Insolvency Proceeding" means (a) any case, action or proceeding before any
court or other Governmental  Authority  relating to bankruptcy,  reorganization,
insolvency,  liquidation,  receivership,  dissolution,  winding-up  or relief of
debtors,   or  (b)  any  general   assignment  for  the  benefit  of  creditors,
composition,  marshalling of assets for creditors, or other, similar arrangement
in  respect  of its  creditors  generally  or  any  substantial  portion  of its
creditors;  undertaken under U.S. Federal,  state or foreign law,  including the
Bankruptcy Code.

     "Interest  Coverage  Ratio"  means,  as of the last day of any  Computation
Period,  the  ratio  of (a)  Adjusted  EBIT to (b)  Interest  Expense  for  such
Computation Period.

     "Interest  Expense" means for any period the consolidated  interest expense
of the  Company and its  Restricted  Subsidiaries  for such  period  (including,
without limitation, all imputed interest on Capital Leases).

     "Interest  Payment Date" means, as to any Loan other than a Base Rate Loan,
the last day of each Interest Period applicable to such Loan and, as to any Base
Rate Loan,  the last  Business Day of each  calendar  quarter and each date such
Committed  Loan is converted  into another  Type of  Committed  Loan,  provided,
however,  that (a) if any  Interest  Period  for LIBOR Rate Loan  exceeds  three
months,  the date that falls three months after the  beginning of such  Interest
Period and after each  Interest  Payment  Date  thereafter  is also an  Interest
Payment Date, and (b) as to any Bid Loan,  such  intervening  dates prior to the
maturity  thereof  as may be  specified  by the  Company  and  agreed  to by the
applicable  Bid Loan  Lender in the  applicable  Competitive  Bid shall  also be
Interest Payment Dates.

                              Exhibit 4.1 - Page 16

<PAGE>

         "Interest  Period"  means,  (a) as to any LIBOR Rate  Loan,  the period
commencing   on  the  Borrowing   Date  such  Loan  is  disbursed,   or  on  the
Conversion/Continuation Date on which the Loan is converted into or continued as
a LIBOR Rate Loan, and ending on the date one, two, three,  six or twelve months
thereafter as selected by the Company in its Notice of A Loan Borrowing,  Notice
of B Loan  Borrowing or Notice of  Conversion/Continuation,  as the case may be;
and (b) as to any Bid Loan,  a period of not less than  seven  days and not more
than 365 days as  selected  by the  Company in the  applicable  Competitive  Bid
Request;

     provided that:

               (i) if any Interest  Period would  otherwise end on a day that is
          not a Business  Day,  that  Interest  Period  shall be extended to the
          following  Business Day unless,  in the case of a LIBOR Rate Loan, 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 preceding Business Day;

               (ii) any  Interest  Period  pertaining  to a LIBOR Rate Loan 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 the calendar month at the end of such Interest Period; and

               (iii) no Interest  Period for any Revolving  Credit A Loan or Bid
          Loan shall extend beyond the Revolving Credit A Loan Maturity Date and
          no Interest Period for any Revolving Credit B Loan shall extend beyond
          the Revolving Credit B Loan Maturity Date.

     "Investments  in  International  Affiliates"  means  such  investments  (as
presented in the Company's balance sheets included in its SEC Form 10-K and 10-Q
filings) as at the end of any relevant Computation Period.

     "Invitation  for  Competitive  Bids" means a solicitation  for  Competitive
Bids, substantially in the form of Exhibit F.

     "IRS" means the Internal  Revenue Service,  and any Governmental  Authority
succeeding to any of its principal functions.

     "Issuance Date" has the meaning specified in subsection 3.1(a).

                              Exhibit 4.1 - Page 17

<PAGE>

     "Issue" means,  with respect to any Letter of Credit, to issue or to extend
the expiry of, or to renew or increase the amount of, such Letter of Credit; and
the terms "Issued", "Issuing" and "Issuance" have corresponding meanings.

     "Issuing  Bank"  means,  Fleet,  in its  capacity  as issuer of one or more
Letters of Credit hereunder.

     "Joint  Venture" means a  single-purpose  corporation,  partnership,  joint
venture or other  similar  legal  arrangement  (whether  created by  contract or
conducted  through a  separate  legal  entity)  now or  hereafter  formed by the
Company or any of its  Subsidiaries  with  another  Person in order to conduct a
common venture or enterprise with such Person.

     "L/C  Advance"  means each Bank's  participation  in any L/C  Borrowing  in
accordance with its Revolver A Commitment Percentage.

     "L/C  Amendment  Application"  means an  application  form for amendment of
outstanding  standby  letters  of  credit  as shall at any time be in use at the
Issuing Bank, as the Issuing Bank shall request.

     "L/C  Application"  means an  application  form for  issuances  of  standby
letters  of credit as shall at any time be in use at the  Issuing  Bank,  as the
Issuing Bank shall request.

     "L/C Borrowing" means an extension of credit resulting from a drawing under
any Letter of Credit which shall not have been  reimbursed on the date when made
nor converted into a Borrowing of Revolving Loans under subsection 3.3(c).

     "L/C Commitment" means the commitment of the Issuing Bank to Issue, and the
commitment of the Banks  severally to participate in Letters of Credit from time
to time Issued or outstanding  under Article III, in an aggregate  amount not to
exceed on any date the amount of  $35,000,000;  provided that the L/C Commitment
is a part of the Total Revolver A Commitment rather than a separate, independent
commitment.

     "L/C Fee" has the meaning specified in subsection 3.8(a).

     "L/C  Obligations"  means at any time the sum of (a) the aggregate  undrawn
amount of all  Letters of Credit  then  outstanding,  plus (b) the amount of all
unreimbursed drawings under all Letters of Credit, including all outstanding L/C
Borrowings.

                              Exhibit 4.1 - Page 18

<PAGE>

     "L/C Related  Documents" means the Letters of Credit, the L/C Applications,
the L/C Amendment  Applications and any other document relating to any Letter of
Credit,  including any of the Issuing Bank's  standard form documents for letter
of credit issuances.

     "Lending  Office" means, as to any Bank, the office or offices of such Bank
specified as its "Lending Office" or "Domestic Lending Office" or "LIBOR Lending
Office",  as the case may be, on Schedule  11.2, or such other office or offices
as such Bank may from time to time  notify the  Company  and the  Administrative
Agent.

     "Letters  of Credit"  means any  standby  letters  of credit  Issued by the
Issuing Bank pursuant to Article III.

     "Leverage Ratio" means at any time the ratio of (a) Funded Debt measured at
such time to (b) the sum of Funded Debt plus the  consolidated  net worth of the
Company  and  its  Restricted  Subsidiaries  (exclusive  of  any  net  worth  of
Unrestricted Subsidiaries) less 50% of "Investments in International Affiliates"
as of such date.

     "LIBOR  Business  Day"  Any day on  which  commercial  banks  are  open for
international business (including dealings in Dollar deposits) in London or such
other eurodollar interbank market as may be selected by the Administrative Agent
in its sole discretion acting in good faith.

     "LIBOR Lending  Office"  Initially,  the office of each Bank  designated as
such in Schedule  11.2 hereto;  thereafter,  such other office of such Bank,  if
any, that shall be making or maintaining LIBOR Rate Loans.

     "LIBOR Rate" For any Interest Period with respect to a LIBOR Rate Loan, the
rate of interest  equal to the rate  determined by the  Administrative  Agent at
which Dollar  deposits for such Interest Period are offered based on information
presented on Telerate Page 3750 as of 11:00 a.m. London time on the day which is
two (2) Business Days prior to the beginning of such Interest  Period;  provided
that if for any reason the Telerate screen shall cease to be publicly available,
then the term "LIBOR Rate" shall mean,  for any Interest  Period with respect to
any LIBOR Rate Loan, the rate per annum which is equal to the arithmetic average
(as determined by the Administrative  Agent on the basis of quotations,  if any,
received by the Administrative Agent from the Reference Banks, with such average
expressed as a percentage and rounded, if necessary, to the nearest 1/100 of one
percent) of the average rate per annum at which each  Reference  Bank is offered
deposits in Dollars by prime banks in the London Interbank  Eurodollar Market as
of 11:00 a.m.,  London time,  on the day which is two (2) Business Days prior to
the beginning of such Interest Period, for settlement on the first day of such

                              Exhibit 4.1 - Page 19

<PAGE>

Interest Period and for the approximate number of days comprised therein,  in an
amount  comparable  to the  amount  of  such  Reference  Bank's  portion  of the
principal  amount of the  Revolving  Credit  Loan of which such LIBOR Rate Loans
forms a part.

     "LIBOR Rate Loan" means a Committed  Loan that bears  interest based on the
LIBOR Rate.

     "Lien"  means any  security  interest,  mortgage,  deed of  trust,  pledge,
hypothecation,  assignment,  charge or deposit  arrangement,  encumbrance,  lien
(statutory  or  other)  or  preferential  arrangement  of  any  kind  or  nature
whatsoever in respect of any property (including those created by, arising under
or evidenced by any  conditional  sale or other title retention  agreement,  the
interest of a lessor  under a Capital  Lease,  any lease which is an  "operating
lease"  pursuant to Statement  of  Accounting  Standards  No. 13, as amended and
which is also a "lease  intended as  security" or  financing  arrangement  under
applicable  commercial  law, any financing lease having  substantially  the same
economic  effect  as any of  the  foregoing,  or  the  filing  of any  financing
statement  naming the owner of the asset to which  such lien  relates as debtor,
under the Uniform  Commercial  Code or any comparable law) and any contingent or
other agreement to provide any of the foregoing,  but not including the interest
of a lessor under an operating lease.

     "Loan" means an extension of credit by a Bank to the Company  under Article
II, and may be a Committed Loan or a Bid Loan.

     "Loan A Facility Fee" has the meaning specified in subsection 2.12(b).

     "Loan B Facility Fee" has the meaning specified in subsection 2.12(c).

     "Loan  Documents" means this Agreement,  any Notes,  the Guaranty,  the Fee
Letter,  and all L/C Related Documents and all other documents  delivered to the
Administrative Agent or any Bank in connection herewith.

     "Long Term Debt" means  Indebtedness  of which the final payment thereof is
not  scheduled  to be made until one year or more after the  incurrence  of such
Indebtedness.

     "Majority  Banks"  means,  at  all  times,  (a) at any  time  prior  to the
Revolving  Credit A Loan Maturity  Date,  Banks then holding at least 51% of the
aggregate Revolver A Commitments and Revolver B Commitments,  and (b) otherwise,
Banks then holding at least 51% of the Loans.

     "Margin Stock" means "margin stock" as such term is defined in Regulation U
or X of the FRB.

                              Exhibit 4.1 - Page 20

<PAGE>

     "Material  Adverse  Effect"  means (a) a material  adverse  change in, or a
material adverse effect upon, the operations,  business,  properties,  condition
(financial or other) or prospects of the Company and its Restricted Subsidiaries
taken as a whole; or as to Wisconsin  Central Ltd. or Fox Valley & Western Ltd.;
(b) a  material  impairment  of  the  ability  of  the  Company  and  Restricted
Subsidiaries  taken as a whole to perform under any Loan  Documents and to avoid
any Event of  Default;  or (c) a  material  adverse  effect  upon the  legality,
validity, binding effect or enforceability against the Company or any Restricted
Subsidiary of any Loan Document.

     "Moody's" shall mean Moody's Investors Service, Inc., and its successors.

     "Net  Income"  means,  with  respect  to the  Company  and  its  Restricted
Subsidiaries  for any  period,  the  consolidated  net  income  (or loss) of the
Company and its Restricted Subsidiaries for such period exclusive of (i) any net
income or loss attributable to Unrestricted Subsidiaries, and (ii) extraordinary
gains or losses arising from any sale of capital assets,  the write-up of assets
or otherwise;  provided that there shall be excluded therefrom the income of any
Restricted Subsidiary to the extent that the declaration or payment of dividends
or similar  distributions of such Restricted Subsidiary of such income is not at
the time  permitted by  operation of the terms of its charter or any  agreement,
instrument,  judgment,  decree, order, statute, rule or governmental  regulation
applicable to such Restricted Subsidiary.

     "Net Tangible  Assets" means, at any time, the Company's and its Restricted
Subsidiaries' consolidated total assets measured at book value (exclusive of all
assets of Unrestricted  Subsidiaries) minus intangible assets of the Company and
its Restricted Subsidiaries.

     "Notes" means the Revolving  Credit A Notes,  the Revolving  Credit B Notes
and the Bid Loan Notes.

     "Notice of A Loan Borrowing"  means a notice in  substantially  the form of
Exhibit A-1.

     "Notice of B Loan Borrowing"  means a notice in  substantially  the form of
Exhibit A-2.

     "Notice of  Conversion/Continuation"  means a notice in  substantially  the
form of Exhibit B.

     "Obligations"  means  all  advances,   debts,   liabilities,   obligations,
covenants and duties arising under any Loan Document, owing by the

                              Exhibit 4.1 - Page 21

<PAGE>

Company  to any Bank,  the  Administrative  Agent,  or any  Indemnified  Person,
whether direct or indirect (including those acquired by assignment), absolute or
contingent, due or to become due, now existing or hereafter arising.

     "Organization  Documents"  means, for any  corporation,  the certificate or
articles of  incorporation,  the bylaws,  any  certificate of  determination  or
instrument relating to the rights of preferred shareholders of such corporation,
any shareholder rights agreement, and all applicable resolutions of the board of
directors (or any committee thereof) of such corporation.

     "Other Taxes" means any present or future stamp or documentary taxes or any
other excise or property  taxes,  charges or similar levies which arise from any
payment made hereunder or from the execution,  delivery or  registration  of, or
otherwise with respect to, this Agreement or any other Loan Documents.

     "Participant" has the meaning specified in subsection 11.8(d).

     "PBGC" means the Pension Benefit Guaranty Corporation,  or any Governmental
Authority succeeding to any of its principal functions under ERISA.

     "Pension  Plan" means a pension  plan (as defined in Section 3(2) of ERISA)
subject to Title IV of ERISA which the Company sponsors,  maintains, or to which
it makes, is making, or is obligated to make contributions,  or in the case of a
multiple  employer  plan (as  described  in  Section  4064(a) of ERISA) has made
contributions at any time during the immediately preceding five (5) plan years.

     "Permitted Liens" has the meaning specified in Section 8.1.

     "Permitted   Receivables   Securitization"   means  any  trade  receivables
securitization provided (i) no Default or Event of Default exists at the time of
any  disposition  or creation of any Lien pursuant to any such  transaction,  or
would result therefrom,  (ii) the outstanding balance of the pool of receivables
transferred  or on which a Lien has been  granted is treated as Funded  Debt for
purposes of  calculating  the  Leverage  Ratio,  and (iii) any excess  servicing
spread or cash collateral associated with such trade receivables  securitization
is deducted  from the net worth of the Company and the  Restricted  Subsidiaries
for the purpose of calculating all financial tests under this Agreement.

     "Person" means an individual,  partnership,  corporation,  business  trust,
joint  stock  company,  trust,  unincorporated  association,  joint  venture  or
Governmental Authority.

                              Exhibit 4.1 - Page 22

<PAGE>

     "Plan" means an employee benefit plan (as defined in Section 3(3) of ERISA)
which the  Company  sponsors or  maintains  or to which the  Company  makes,  is
making, or is obligated to make contributions and includes any Pension Plan.

     "Pricing Level", "Pricing Level I", "Pricing Level II", "Pricing Level III"
and "Pricing Level IV" shall be defined as follows:

     "Pricing  Level I" means (a) if the  Company  has a Senior Debt Rating from
S&P and Moody's,  S&P and Moody's rates the Company's senior debt BBB+ and Baa1,
as  applicable,  or higher,  or (b) if the Company has a Senior Debt Rating from
only one of S&P or Moody's,  such rating agency rates the Company's  senior debt
BBB+ or Baa1, or higher, as applicable;

     "Pricing  Level II" means (a) if the  Company has a Senior Debt Rating from
S&P and Moody's,  S&P and Moody's rates the Company's  senior debt BBB and Baa2,
as  applicable,  or (b) if the Company has a Senior Debt Rating from only one of
S&P or Moody's,  such rating agency rates the Company's senior debt BBB or Baa2,
as applicable;

     "Pricing  Level III" means (a) if the Company has a Senior Debt Rating from
S&P and Moody's,  S&P and Moody's rates the Company's senior debt BBB- and Baa3,
as  applicable,  or (b) if the Company has a Senior Debt Rating from only one of
S&P or Moody's, such rating agency rates the Company's senior debt BBB- or Baa3,
as applicable; and

     "Pricing  Level IV" means (a) if the  Company has a Senior Debt Rating from
S&P and Moody's,  S&P and Moody's rates the Company's  senior debt below BBB- or
Baa3,  as  applicable,  or (b) if the Company has a Senior Debt Rating from only
one of S&P or Moody's, S&P or Moody's, as applicable, rates the Company's senior
debt below BBB- or Baa3,  as  applicable,  or (c) if the Company does not have a
Senior Debt Rating from either S&P or Moody's;

     provided  that,  if the  Company  has a  Senior  Debt  Rating  from S&P and
Moody's,  but such ratings are not referred to in the same Pricing  Level as set
forth  above,  then,  for the  purpose  of  applying  the  definitions  above in
determining  the Pricing  Level,  (a) in the event of a one-step  difference  in
ratings,  the Company shall be deemed to have  received  only one rating,  which
rating  shall be the higher of the two ratings and (b) in the event of more than
a one-step  difference in ratings,  the Company shall be deemed to have received
only one rating, which rating shall be one-step higher than the lower of the two
ratings.

     "Pro  Rata  Share"  means,  as to any  Bank  at any  time,  the  percentage
equivalent (expressed as a decimal, rounded to the ninth decimal place) at

                              Exhibit 4.1 - Page 23

<PAGE>

such  time of the sum of such  Bank's  Revolver  A  Commitment  and  Revolver  B
Commitment divided by the Total Commitment.

     "Reference Banks" means Fleet, BofA and Harris.

     "Rental  Income" means that part of income arising from the leasing of real
or personal property that is contained in Other Income, net (as presented in SEC
Form 10-K and 10-Q).

     "Replacement Bank" has the meaning specified in Section 4.7.

     "Reportable  Event" means any of the events set forth in Section 4043(b) of
ERISA or the  regulations  thereunder,  other  than any such event for which the
30-day notice  requirement under ERISA has been waived in regulations  issued by
the PBGC.

     "Required   Restricted   Subsidiary"  has  the  meaning  specified  in  the
definition of Restricted Subsidiary.

     "Requirement  of  Law"  means,  as to any  Person,  any law  (statutory  or
common),  treaty,  rule or regulation or  determination of an arbitrator or of a
Governmental Authority, in each case applicable to or binding upon the Person or
any of its property or to which the Person or any of its property is subject.

     "Responsible  Officer" means, the chief executive  officer or the president
of the Company,  or the chief financial officer or the treasurer of the Company,
or any other officer having substantially the same authority and responsibility.

     "Restricted  Subsidiary"  means Algoma  Central  Railway,  Inc.,  Wisconsin
Central Ltd., Fox Valley & Western Ltd., WCL Railcars,  Inc.,  Wisconsin Central
International, Inc., Wisconsin Chicago Link, Ltd., WC Canada Holdings, Inc., and
Sault Ste. Marie Bridge Co.  together with each other  Subsidiary as the Company
may from time to time designate as a Restricted Subsidiary;  provided,  however,
(a) at any time a domestic  Subsidiary  is a Restricted  Subsidiary it must have
executed,  delivered and be a party to the Guaranty;  (b) the Company may change
the status of each Subsidiary  (other than Wisconsin  Central Ltd., Fox Valley &
Western Ltd., WCL Railcars,  Inc.,  Wisconsin Central  International,  Inc., and
Sault  Ste.  Marie  Bridge Co. or any  successor  by  merger,  consolidation  or
otherwise to any of the foregoing (all such corporations being herein called the
"Required  Restricted  Subsidiaries"  and  each  being  a  "Required  Restricted
Subsidiary")) as a Restricted or Unrestricted Subsidiary one time, but after any
such change  such  Subsidiary  must remain  either a  Restricted  Subsidiary  or

                              Exhibit 4.1 - Page 24

<PAGE>

Unrestricted Subsidiary,  as applicable;  (c) each Restricted Subsidiary must be
consolidated with the Company for the purpose of financial reporting; and before
any Restricted  Subsidiary  becomes an Unrestricted  Subsidiary the Company must
demonstrate to the  satisfaction  of the Majority Banks that after giving effect
to such change no Default or Event of Default  shall exist and at the end of the
immediately  preceding  Computation  Period the Company,  after giving effect to
such change, would have been in compliance with Section 8.14.

     "Revolver A Commitment" has the meaning specified in Section 2.1.1.

     "Revolver  A  Commitment   Percentage"  With  respect  to  each  Bank,  the
percentage  set forth on Schedule  2.1 hereto as such Bank's  percentage  of the
aggregate Total Revolver A Commitment.

     "Revolver B Commitment" has the meaning specified in Section 2.1.2.

     "Revolver  B  Commitment   Percentage"  With  respect  to  each  Bank,  the
percentage  set forth on Schedule  2.1 hereto as such Bank's  percentage  of the
aggregate Total Revolver B Commitment.

     "Revolving Credit A Loan Maturity Date" means the earlier to occur of:

               (a) July 31, 2005; and

               (b) the date on which the Revolver A Commitments  are  terminated
          in accordance with the provisions of this Agreement.

     "Revolving  Credit A Loans" means revolving credit loans made or to be made
by the Banks to the Company pursuant to Section 2.1.1 hereof.

     "Revolving Credit A Note Record" means a record with respect to a Revolving
Credit A Note.

     "Revolving Credit A Notes" means notes evidencing  Revolving Credit A Loans
specified in Section 2.1.1.

     "Revolving Credit B Loan Maturity Date" means the earlier to occur of:

               (a) July 31, 2001, or such later day as the Initial Maturity Date
          may be extended pursuant to Section 2.9 hereof; and

               (b) the date on which the Revolver B Commitments  are  terminated
          in accordance with the provisions of this Agreement.

                              Exhibit 4.1 - Page 25

<PAGE>

     "Revolving  Credit B Loans" means revolving credit loans made or to be made
by the Banks to the Company pursuant to Section 2.1.2 hereof.

     "Revolving Credit B Note Record" means a record with respect to a Revolving
Credit B Note.

     "Revolving Credit B Notes" means notes evidencing  Revolving Credit B Loans
specified in Section 2.1.2.

     "S&P" means Standard & Poor's  Ratings  Group,  a division of  McGraw-Hill,
Inc.

     "SEC" means the Securities  and Exchange  Commission,  or any  Governmental
Authority succeeding to any of its principal functions.

     "Section 20 Subsidiary"  means the  Subsidiary of the bank holding  company
controlling any Bank, which Subsidiary has been granted  authority by the FRB to
underwrite and deal in certain securities which may not be underwritten or dealt
in by member banks of the Federal Reserve System under Section 16 of the Banking
Act of 1933 (12 U.S.C. ss.24, Seventh), as amended.

     "Senior Debt Rating" means the rating issued by S&P or Moody's with respect
to unsecured  Indebtedness  of the Company not maturing within twelve months and
not  subordinated by its terms in right of payment to other  Indebtedness of the
Company.

     "Subsidiary" means any corporation, association, partnership, joint venture
or other business entity which is consolidated  with the Company for purposes of
financial reporting in accordance with GAAP.

     "Surety  Instruments"  means all letters of credit  (including  standby and
commercial), banker's acceptances, bank guaranties, shipside bonds, surety bonds
and similar instruments.

     "Swap  Contracts" means swap agreements (as such term is defined in Section
101 of the Bankruptcy Code) and any other agreements or arrangements designed to
provide protection  against  fluctuations in interest or currency exchange rates
or commodity prices.

     "Taxes"  means  any and all  present  or  future  taxes,  levies,  imposts,
deductions,  charges or withholdings,  and all liabilities with respect thereto,
excluding,  in the case of each Bank and the  Administrative  Agent,  such taxes
(including  income  taxes or  franchise  taxes) as are imposed on or measured by
each Bank's net income by the jurisdiction (or any political subdivision

                              Exhibit 4.1 - Page 26

<PAGE>

thereof) under the laws of which such Bank or the  Administrative  Agent, as the
case may be, is organized or maintains a lending office.

     "Total Commitment" means the sum of the Total Revolver A Commitment and the
Total Revolver B Commitment.

     "Total  Revolver A Commitment"  means the sum of the Revolver A Commitments
of the Banks, as in effect from time to time.

     "Total  Revolver B Commitment"  means the sum of the Revolver B Commitments
of the Banks, as in effect from time to time.

     "Type" has the meaning specified in the definition of "Committed Loan".

     "Uniform Customs" With respect to any Letter of Credit, the Uniform Customs
and Practice for Documentary Credits (1993 Revision),  International  Chamber of
Commerce  Publication  No. 500 or any successor  version  thereto adopted by the
Issuing Bank in the ordinary course of its business as a letter of credit issuer
and in effect at the time of issuance of such Letter of Credit.

     "Unfunded  Pension   Liability"  means  the  excess  of  a  Plan's  benefit
liabilities  under Section  4001(a)(16) of ERISA, over the current value of that
Plan's assets,  determined in accordance with the  assumptions  used for funding
the Pension  Plan  pursuant to Section 412 of the Code for the  applicable  plan
year.

     "United States" and "U.S." each means the United States of America.

     "Unrestricted  Subsidiary"  means any  Affiliate in which the Company has a
direct or indirect ownership which is not a Restricted Subsidiary.

     "Utilization Fee" has the meaning specified in subsection 2.12(d).

     "Wholly-Owned  Subsidiary"  means  any  corporation  in which  (other  than
directors'  qualifying shares required by law) 100% of the capital stock of each
class having ordinary voting power, and 100% of the capital stock of every other
class, in each case, at the time as of which any determination is being made, is
owned,  beneficially  and of record,  by the  Company,  or by one or more of the
other Wholly-Owned Subsidiaries, or both.

     1.2. Other Interpretive Provisions.

          (a) The  meanings  of  defined  terms are  equally  applicable  to the
     singular and plural forms of the defined terms.

                              Exhibit 4.1 - Page 27

<PAGE>

          (b) The words "hereof", "herein",  "hereunder" and similar words refer
     to this  Agreement as a whole and not to any  particular  provision of this
     Agreement; and subsection,  Section, Schedule and Exhibit references are to
     this Agreement unless otherwise specified.

          (c)

               (i)  The  term  "documents"  includes  any and  all  instruments,
                    documents, agreements, certificates, indentures, notices and
                    other writings, however evidenced.

               (ii) The term  "including"  is not limiting and means  "including
                    without  limitation"  and the failure in any case to use the
                    term  "including"  following a term which  already  includes
                    other  terms  within  its  meaning  shall not  exclude  such
                    included   terms  unless  the  context   thereof   otherwise
                    requires.

               (iii)In the  computation of periods of time from a specified date
                    to a later  specified  date, the word "from" means "from and
                    including";  the words  "to" and  "until"  each mean "to but
                    excluding", and the word "through" means "to and including."

          (d) Unless  otherwise  expressly  provided  herein,  (i) references to
     agreements  (including  this Agreement) and other  contractual  instruments
     shall  be  deemed  to  include   all   subsequent   amendments   and  other
     modifications  thereto,  but only to the extent such  amendments  and other
     modifications  are not  prohibited by the terms of any Loan  Document,  and
     (ii)  references  to any  statute  or  regulation  are to be  construed  as
     including all statutory and regulatory provisions consolidating,  amending,
     replacing, supplementing or interpreting the statute or regulation.

          (e) The captions and headings of this Agreement are for convenience of
     reference only and shall not affect the interpretation of this Agreement.

          (f) This Agreement and other Loan Documents may use several  different
     limitations, tests or measurements to regulate the same or similar matters.
     All such limitations,  tests and measurements are cumulative and shall each
     be performed in accordance with their terms.

                              Exhibit 4.1 - Page 28

<PAGE>

          (g) This  Agreement  and the other  Loan  Documents  are the result of
     negotiations  among and have been reviewed by counsel to the Administrative
     Agent,  the  Company  and the other  parties,  and are the  products of all
     parties.  Accordingly, they shall not be construed against the Banks or the
     Administrative Agent merely because of the Administrative Agent's or Banks'
     involvement in their preparation.

     1.3. Accounting Principles.

          (a) Unless the context  otherwise  clearly  requires and except as set
     forth  in the  definition  of  Permitted  Receivables  Securitization,  all
     accounting terms not expressly  defined herein shall be construed,  and all
     financial  computations  required  under this  Agreement  shall be made, in
     accordance with GAAP consistently  applied;  provided that if any change in
     GAAP from that  applied  in the  preparation  of the  financial  statements
     referred to in Section 6.11 is  occasioned  by the  promulgation  of rules,
     regulations,  pronouncements  and opinions by or required by the Accounting
     Principles  Board,  Financial  Accounting  Standards  Board or the American
     Institute of Certified  Public  Accountants,  the initial  announcement  of
     which is made after the Closing Date, and results in a change in the method
     of  regulation or  calculation  of the covenants set forth in Section 8.13,
     8.14  or  8.15,   the  parties  hereto  agree  to  enter  into  good  faith
     negotiations  in order to  amend  such  provisions  so as to  reflect  such
     changes  with the  desired  result that the  criteria  for  evaluating  the
     Company's  financial  condition  shall be the same after such changes as if
     such changes had not been made; and provided, further, that until such time
     as the parties hereto agree upon such amendments, such financial covenants,
     standards and terms shall be construed and calculated as though such change
     had not taken place.

          (b) References  herein to "fiscal year" and "fiscal  quarter" refer to
     such fiscal periods of the Company.

                                   ARTICLE II.

                                   THE CREDITS

     2.1. Commitment to Lend.

          2.1.1. The Revolving Credit A Loans.  Each Bank severally  agrees,  on
     the terms and  conditions  set forth  herein,  to make loans to the Company
     from time to time on any  Business  Day during the period  from the Closing
     Date to the Revolving  Credit A Loan Maturity Date,

                              Exhibit 4.1 - Page 29

<PAGE>

     in an aggregate amount not to exceed at any time outstanding the amount set
     forth on Schedule 2.1 (such amount as the same may be reduced under Section
     2.7 or as a result  of one or more  assignments  under  Section  11.8,  the
     Bank's "Revolver A Commitment");  provided, however, that, (a) after giving
     effect to any  Borrowing  and  application  of the  proceeds  thereof,  the
     aggregate principal amount of all outstanding Revolving Credit A Loans plus
     the aggregate L/C Obligations  and the Competitive Bid Loans,  shall not at
     any time exceed the Total Revolver A Commitment and (b) after giving effect
     to any Borrowing and  application  of the proceeds  thereof,  the aggregate
     principal   amount  of  all  outstanding   Loans  plus  the  aggregate  L/C
     Obligations shall not at any time exceed the Total  Commitment.  Within the
     limits of each Bank's Revolver A Commitment, and subject to the other terms
     and  conditions  hereof,  the Company may borrow under this Section  2.1.1,
     prepay under Section 2.8 and reborrow under this Section 2.1.1.

          2.1.2. The Revolving Credit B Loans.  Each Bank severally  agrees,  on
     the terms and  conditions  set forth  herein,  to make loans to the Company
     from time to time on any  Business  Day during the period  from the Closing
     Date to the Revolving  Credit B Loan Maturity Date, in an aggregate  amount
     not to exceed at any time  outstanding the amount set forth on Schedule 2.1
     (such amount as the same may be reduced under Section 2.7 or as a result of
     one or  more  assignments  under  Section  11.8,  the  Bank's  "Revolver  B
     Commitment");  provided,  however,  that,  (a) after  giving  effect to any
     Borrowing and application of the proceeds thereof,  the aggregate principal
     amount of all  outstanding  Revolving  Credit B Loans shall not at any time
     exceed the Total  Revolver B Commitment  and (b) after giving effect to any
     Borrowing and application of the proceeds thereof,  the aggregate principal
     amount of all outstanding  Loans plus the aggregate L/C  Obligations  shall
     not at any time  exceed  the Total  Commitment.  Within  the limits of each
     Bank's Revolver B Commitment, and subject to the other terms and conditions
     hereof,  the Company may borrow  under this  Section  2.1.2,  prepay  under
     Section 2.8 and reborrow under this Section 2.1.2.

     2.2. Loan Accounts.

          (a) The Loans made by each Bank shall be evidenced by one or more loan
     accounts  or  records  maintained  by such Bank in the  ordinary  course of
     business.  The loan accounts or records  maintained  by the  Administrative
     Agent and each Bank shall be conclusive absent manifest error of the amount
     of the Loans made by the Banks to the

                              Exhibit 4.1 - Page 30

<PAGE>

     Company and the interest and payments thereon.  Any failure so to record or
     any error in doing so shall not,  however,  limit or  otherwise  affect the
     obligation of the Company hereunder to pay any amount owing with respect to
     the Loans.

          (b) Upon the  request  of any Bank  made  through  the  Administrative
     Agent,  the Loans made by such Bank may be  evidenced by one or more Notes,
     instead of loan  accounts.  Each such Bank shall  endorse on the  schedules
     annexed to its Note(s) the date,  amount and  maturity of each Loan made by
     it and the amount of each  payment of  principal  made by the Company  with
     respect thereto. Each such Bank is irrevocably authorized by the Company to
     endorse  its  Note(s) and each Bank's  record  shall be  conclusive  absent
     manifest error;  provided,  however, that the failure of a Bank to make, or
     an error in making,  a notation  thereon with respect to any Loan shall not
     limit or otherwise affect the obligations of the Company hereunder or under
     any such Note to such Bank.

     2.3.   Procedure for Borrowings of Committed Loans.

          (a)  Each  Committed  Borrowing  shall  be  made  upon  the  Company's
     irrevocable written notice (including by facsimile  transmission) delivered
     to the Administrative Agent in the form of a Notice of A Loan Borrowing, in
     the case of a Borrowing  of Revolving  Credit A Loans,  or Notice of B Loan
     Borrowing,  in the case of Revolving  Credit B Loans (which  notice must be
     received by the  Administrative  Agent prior to (i) 9:00 a.m. (Boston time)
     three Business Days prior to the requested  Borrowing  Date, in the case of
     LIBOR  Rate  Loans;  and (ii)  11:00 a.m.  (Boston  time) on the  requested
     Borrowing Date, in the case of Base Rate Loans, specifying:

                    (A) the amount of the Committed Borrowing, which shall be in
          an aggregate  minimum amount of $1,000,000 or any multiple of $500,000
          in excess thereof;

                    (B) the bank and account  number into which the  proceeds of
          such Loans are to be disbursed;

                    (C) the requested  Borrowing Date, which shall be a Business
          Day;

                    (D) the Type of Loans  comprising  the Committed  Borrowing;
          and

                              Exhibit 4.1 - Page 31

<PAGE>

                    (E) the duration of the Interest  Period  applicable to such
          Committed  Loans  included in such notice.  If the Notice of Borrowing
          fails to specify the duration of the Interest Period for any Committed
          Borrowing comprised of LIBOR Rate Loans, such Interest Period shall be
          one month.

          (b) The  Administrative  Agent will  promptly  notify each Bank of its
     receipt of any Notice of A Loan Borrowing or Notice of B Loan Borrowing and
     of the amount of such Bank's Revolver A Commitment Percentage or Revolver B
     Commitment Percentage, as applicable, of that Committed Borrowing.

          (c) Each Bank  will  make the  amount  of its  Revolver  A  Commitment
     Percentage of each Revolving Credit A Loan available to the  Administrative
     Agent for the account of the Company at the Agent's Payment Office by 12:00
     noon (Boston time) on the Borrowing  Date requested by the Company in funds
     immediately  available to the Administrative Agent. Each Bank will make the
     amount of its Revolver B Commitment  Percentage of each Revolving  Credit B
     Loan available to the  Administrative  Agent for the account of the Company
     at the Agent's  Payment Office by 12:00 noon (Boston time) on the Borrowing
     Date  requested  by the  Company  in  funds  immediately  available  to the
     Administrative Agent. The proceeds of all such Committed Loans will then be
     made  available to the Company by the  Administrative  Agent at the Agent's
     Payment Office.

          (d) After giving effect to any Committed  Borrowing,  there may not be
     more than  twelve  different  Interest  Periods in effect in respect of all
     Committed Loans and Bid Loans together then outstanding.

     2.4. Conversion and Continuation Elections for Committed Borrowings.

          (a)  The  Company  may,  upon   irrevocable   written  notice  to  the
     Administrative Agent in accordance with subsection 2.4(b):

               (i)  elect,  as of any  Business  Day,  in the case of Base  Rate
          Loans, or as of the last day of the applicable Interest Period, in the
          case of LIBOR Rate Loans,  to convert any such Committed Loans (or any
          part thereof in an amount not less than  $1,000,000,  or that is in an
          integral  multiple of $500,000 in excess thereof) into Committed Loans
          of any other Type; or

                              Exhibit 4.1 - Page 32

<PAGE>

               (ii) elect, as of the last day of the applicable Interest Period,
          to continue any Committed  Loans having Interest  Periods  expiring on
          such day (or any part  thereof in an amount not less than  $1,000,000,
          or that is in an integral multiple of $500,000 in excess thereof);

provided,  that if at any time the  aggregate  amount  of  LIBOR  Rate  Loans in
respect of any  Committed  Borrowing  is  reduced,  by payment,  prepayment,  or
conversion  of part  thereof to be less than  $1,000,000,  such LIBOR Rate Loans
shall automatically convert into Base Rate Loans, and on and after such date the
right of the  Company to continue  such  Committed  Loans as, and  convert  such
Committed Loans into, LIBOR Rate Loans, as the case may be, shall terminate.

          (b) The Company shall deliver a Notice of Conversion/  Continuation to
     be received by the  Administrative  Agent not later than 9:00 a.m.  (Boston
     time) at least  (i)  three  Business  Days in  advance  of the  Conversion/
     Continuation  Date,  if the  Committed  Loans are to be  converted  into or
     continued  as LIBOR  Rate  Loans;  and (ii) on the  Conversion/Continuation
     Date, if the Loans are to be converted into Base Rate Loans, specifying:

                    (A) the proposed Conversion/Continuation Date;

                    (B) the  aggregate  amount of  Revolving  Credit A Loans and
          Revolving Credit B Loans to be converted or renewed;

                    (C) the  Type of  Revolving  Credit  A Loans  and  Revolving
          Credit B Loans resulting from the proposed conversion or continuation;
          and

                    (D) in the case of  conversion  into LIBOR Rate  Loans,  the
          duration of the requested Interest Period.

          (c) If upon the expiration of any Interest Period  applicable to LIBOR
     Rate Loans,  the Company has failed to select timely a new Interest  Period
     to be  applicable  to such LIBOR Rate Loans,  or if any Default or Event of
     Default then exists, the Company shall be deemed to have elected to convert
     such LIBOR Rate Loans into Base Rate Loans  effective as of the  expiration
     date of such Interest  Period  (provided any such deemed election shall not
     relieve the Company from any liability under Section 4.3).

          (d) The  Administrative  Agent will  promptly  notify each Bank of its
     receipt of a Notice of Conversion/Continuation,  or, if no timely

                              Exhibit 4.1 - Page 33

<PAGE>

     notice is provided by the Company,  the Administrative  Agent will promptly
     notify  each  Bank  of  the  details  of  any  automatic  conversion.   All
     conversions  and  continuations  shall  be made  ratably  according  to the
     respective  outstanding  principal  amounts of the Revolving Credit A Loans
     and  Revolving  Credit B Loans  with  respect to which the notice was given
     held by each Bank.

          (e) Unless the Majority Banks otherwise agree, during the existence of
     a  Default  or  Event  of  Default,  the  Company  may not  elect to have a
     Committed Loan converted into or continued as a LIBOR Rate Loan.

          (f) After giving effect to any conversion or continuation of Committed
     Loans,  there may not be more than  twelve  different  Interest  Periods in
     effect in  respect  of all  Committed  Loans and Bid  Loans  together  then
     outstanding.

     2.5.  Bid  Borrowings.  In addition  to  Committed  Borrowings  pursuant to
Section 2.1.1 and as a sublimit  thereof,  each Bank  severally  agrees that the
Company  may, as set forth in Section  2.6,  from time to time request the Banks
prior to the Revolving  Credit A Loan Maturity Date to submit offers to make Bid
Loans to the Company;  provided,  however, that the Banks may, but shall have no
obligation  to,  submit  such  offers  and the  Company  may,  but shall have no
obligation to, accept any such offers;  and provided,  further,  that at no time
shall (a) the outstanding  aggregate  principal  amount of all Bid Loans made by
all Banks,  plus the  outstanding  aggregate  principal  amount of all Revolving
Credit A Loans  made by the  Banks  plus the L/C  Obligations  exceed  the Total
Revolver A Commitment;  or (b) the number of Interest Periods for Bid Loans then
outstanding  plus the  number of  Interest  Periods  for  Committed  Loans  then
outstanding exceed twelve.

     2.6. Procedure for Bid Borrowings.

          (a) When the Company  wishes to request the Banks to submit  offers to
     make  Bid  Loans  hereunder,  if the  Administrative  Agent is then the Bid
     Agent,  it shall  transmit to the  Administrative  Agent by telephone  call
     followed  promptly by facsimile  transmission a notice in substantially the
     form of Exhibit G (a  "Competitive  Bid  Request")  so as to be received no
     later than 9:00 a.m.  (Boston  time) not more than four nor less than three
     Business Days prior to the date of a proposed Bid Borrowing specifying:

               (i) the date of such Bid  Borrowing,  which  shall be a  Business
          Day;

                              Exhibit 4.1 - Page 34

<PAGE>

               (ii) the aggregate amount of such Bid Borrowing, which shall be a
          minimum  amount of  $1,000,000  or in  multiples of $500,000 in excess
          thereof;

               (iii) the duration of the  Interest  Period  applicable  thereto,
          subject to the  provisions  of the  definition  of  "Interest  Period"
          herein;

               (iv) the Interest Payment Dates applicable thereto; and

               (v) the bank and account  number into which the  proceeds of such
          Loans are to be disbursed.

     If the  Company  is then  the Bid  Agent,  it  shall  send to the  Banks by
facsimile  transmission  so as to be  received  no later than 9:00 a.m.  (Boston
time) not more than four nor less than one  Business  Day prior to the date of a
proposed  Bid  Borrowing an  Invitation  for  Competitive  Bids  containing  the
information set forth in clauses (i), (ii), (iii), (iv) and (v) of the preceding
sentence.  The Company may not request or invite  Competitive Bids for more than
three Interest  Periods in a single  Competitive Bid Request and may not request
Competitive Bids more than once in any period of three Business Days.

          (b) If the Administrative Agent is then the Bid Agent, upon receipt of
     a Competitive Bid Request,  the Administrative  Agent will promptly send to
     the Banks by facsimile  transmission  an Invitation for  Competitive  Bids.
     Each  Invitation  for  Competitive  Bid  transmitted by the Bid Agent shall
     constitute an invitation by the Company to each Bank to submit  Competitive
     Bids offering to make the Bid Loans to which such  Competitive  Bid Request
     relates in accordance with this Section 2.6.

          (c)

               (i) Each  Bank may at its  discretion  submit a  Competitive  Bid
          containing  an offer or offers to make Bid  Loans in  response  to any
          Invitation for Competitive Bids. Each Competitive Bid must comply with
          the  requirements of this  subsection  2.6(c) and must be submitted to
          the Bid Agent by  facsimile  transmission  not later  than  10:00 a.m.
          (Boston time) on the proposed date of Borrowing; provided that, if the
          Administrative Agent is then the Bid Agent, Competitive Bids submitted
          by the  Administrative  Agent (or any Affiliate of the  Administrative
          Agent) in the  capacity  of a Bank may be  submitted,  and may only be
          submitted, if the Administrative

                              Exhibit 4.1 - Page 35

<PAGE>

          Agent or such Affiliate notifies the Company of the terms of the offer
          or offers contained  therein not later than 9:30 a.m. (Boston time) on
          the proposed date of Borrowing.

               (ii) Each Competitive Bid shall be in  substantially  the form of
          Exhibit H, specifying therein:

                    (A) the proposed date of Borrowing;

                    (B) the  principal  amount of each Bid Loan for  which  such
          Competitive Bid is being made, which principal amount (x) may be equal
          to,  greater than or less than the Commitment of the quoting Bank, (y)
          must be $1,000,000 or in multiples of $500,000 in excess thereof,  and
          (z) may not  exceed  the  principal  amount  of Bid  Loans  for  which
          Competitive Bids were requested;

                    (C) the rate of  interest  per annum (the  "Absolute  Rate")
          offered for each Bid Loan; and

                    (D) the identity of the quoting Bank.

     A Competitive  Bid may contain up to three  separate  offers by the quoting
     Bank  with  respect  to  each  Interest  Period  specified  in the  related
     Invitation for Competitive Bids.

               (iii) Any Competitive Bid shall be disregarded if it:

                    (A) is not  substantially  in  conformity  with Exhibit H or
          does not specify all of the information required by subsection (c)(ii)
          of this Section;

                    (B) contains qualifying, conditional or similar language;

                    (C)  proposes  terms  other than or in addition to those set
          forth in the applicable Invitation for Competitive Bids; or

                    (D) arrives after the time set forth in subsection (c)(i).

               (iv)  Notwithstanding  anything to the contrary contained in this
          subsection  2.6(c), a Competitive Bid by a Bank may contain,  and will
          not be  disregarded  if it does contain,  a restriction  on the use of
          proceeds thereof related to such Bank's

                              Exhibit 4.1 - Page 36

<PAGE>

          Section 20 Subsidiary;  provided that the Company shall disregard such
          Competitive  Bid  unless  the  Company  agrees  to be  bound  by  such
          restriction  (which  agreement  shall be manifested by accepting  such
          Competitive Bid).

          (d) Promptly on receipt,  but not later than 10:30 a.m.  (Boston time)
     on the proposed date of Borrowing,  the Administrative Agent, if it is then
     the Bid Agent,  will notify the Company of the terms (i) of any Competitive
     Bid submitted by a Bank that is in accordance with subsection 2.6(c) or, if
     no Competitive  Bids have been  submitted,  the absence of any  Competitive
     Bids, and (ii) of any Competitive Bid that amends, modifies or is otherwise
     inconsistent  with a previous  Competitive  Bid submitted by such Bank with
     respect  to  the  same   Competitive  Bid  Request.   Any  such  subsequent
     Competitive  Bid shall be  disregarded  by the Bid  Agent  and the  Company
     regardless of who is then the Bid Agent unless such subsequent  Competitive
     Bid is  submitted  solely  to  correct  a  manifest  error  in such  former
     Competitive  Bid and  only if  received  within  the  times  set  forth  in
     subsection  2.6(c). The Bid Agent's notice to the Company shall specify (1)
     the  aggregate  principal  amount of Bid Loans for which  offers  have been
     received for each Interest Period specified in the related  Competitive Bid
     Request;  and (2) the respective  principal  amounts and Absolute Rates, as
     the case may be, so offered.  Subject only to the provisions of Section 5.2
     and the provisions of this  subsection  (d), any  Competitive  Bid shall be
     irrevocable  except with the  written  consent of the Bid Agent and, if the
     Company is then the Bid Agent,  given on the  written  instructions  of the
     Company.

          (e) Not later than 11:00 a.m.  (Boston  time) on the proposed  date of
     Borrowing,  the  Company  shall  notify  the  Administrative  Agent  of its
     acceptance or  non-acceptance of the offers of which it has received notice
     pursuant  to  subsection  2.6(d) or which have been sent to it  pursuant to
     subsection  2.6(c).  The Company shall be under no obligation to accept any
     offer and may choose to reject all offers. In the case of acceptance,  such
     notice  shall  specify the  aggregate  principal  amount of offers for each
     Interest  Period that is accepted.  The Company may accept any  Competitive
     Bid in whole or in part; provided that:

               (i) the aggregate  principal amount of each Bid Borrowing may not
          exceed the applicable  amount set forth in the related  Invitation for
          Competitive Bid Request;

                              Exhibit 4.1 - Page 37

<PAGE>

               (ii)  the  principal   amount  of  each  Bid  Borrowing  must  be
          $1,000,000 or in any multiple of $500,000 in excess thereof;

               (iii)  acceptance  of  offers  may  only be made on the  basis of
          ascending  Absolute Rates within each Interest Period, as the case may
          be; and

               (iv) the  Company may not accept any offer that is  described  in
          subsection 2.6(c)(iii) (other than to the extent permitted pursuant to
          subsection  2.6(c)(iv))  or that  otherwise  fails to comply  with the
          requirements of this Agreement.

          (f) If offers  are made by two or more  Banks  with the same  Absolute
     Rates, as the case may be, for a greater  aggregate  principal  amount than
     the amount in respect of which such  offers are  accepted  for the  related
     Interest Period, the principal amount of Bid Loans in respect of which such
     offers are accepted shall be allocated by the Bid Agent among such Banks as
     nearly as possible (in such multiples,  not less than $500,000,  as the Bid
     Agent  may deem  appropriate)  in  proportion  to the  aggregate  principal
     amounts of such  offers.  Determination  by the Bid Agent of the amounts of
     Bid Loans shall be conclusive in the absence of manifest error.

          (g)

               (i) The Bid Agent will promptly notify each Bank having submitted
          a Competitive Bid if its offer has been accepted and, if its offer has
          been  accepted,  of the amount of the Bid Loan or Bid Loans to be made
          by it on the date of the Bid Borrowing.

               (ii) Each Bank which has received  notice  pursuant to subsection
          2.6(g)(i) that its Competitive Bid has been accepted shall, subject to
          the satisfaction of all conditions precedent, make the amounts of such
          Bid Loans available to the Administrative Agent for the account of the
          Company at the Agent's Payment Office,  by 12:30 p.m. (Boston time) on
          the  acceptance  date in the case of Absolute  Rate Bid Loans in funds
          immediately  available to the Administrative  Agent for the account of
          the Company at the Agent's Payment Office.

               (iii)  On the day of each  Bid  Borrowing,  the Bid  Agent  shall
          notify each Bank which  submitted a Bid of the highest and lowest Bids
          accepted for each Interest Period requested by the

                              Exhibit 4.1 - Page 38

<PAGE>

          Company  and the  aggregate  amount  borrowed  pursuant  to  such  Bid
          Borrowing and the period of such accepted Bid Borrowing.

               (iv) From time to time,  the Company and the Banks shall  furnish
          such  information  to the Bid  Agent  as the  Bid  Agent  may  request
          relating to the making of Bid Loans,  including the amounts,  interest
          rates, dates of borrowings and maturities thereof, for purposes of the
          allocation  of amounts  received  from the  Company for payment of all
          amounts owing hereunder.

          (h) Nothing in this Section 2.6 shall be construed as a right of first
     offer in favor  of the  Banks or to  otherwise  limit  the  ability  of the
     Company to request and accept credit  facilities from any Person (including
     any of the  Banks),  provided  that no Default  or Event of  Default  would
     otherwise arise or exist as a result of the Company  executing,  delivering
     or performing under such credit facilities.

     2.7.   Voluntary Termination or Reduction of Commitments.

          2.7.1  Reduction of Revolver A  Commitment.  The Company may, upon not
     less than five  Business  Days' prior notice to the  Administrative  Agent,
     terminate  the Revolver A Commitment or  permanently  reduce the Revolver A
     Commitments  by an aggregate  minimum  amount of $1,000,000 or any multiple
     thereof  unless,  after giving  effect  thereto and to any  prepayments  of
     Revolving  Credit A Loans made on the  effective  date thereof and any Cash
     Collateral or other security acceptable to the Administrative Agent and the
     Issuing  Bank  with  respect  to  L/C  Obligations,  either  (a)  the  then
     outstanding  principal  amount  of the  Revolving  Credit A Loans  plus the
     aggregate L/C  Obligations  would exceed the amount of the Total Revolver A
     Commitment then in effect or (b) the then  outstanding  principal amount of
     the Loans plus the aggregate L/C Obligations would exceed the amount of the
     Total  Commitment  then in effect.  Once  reduced in  accordance  with this
     Section, the Revolver A Commitments may not be increased.  Any reduction of
     the Revolver A Commitments  shall be applied to each Bank  according to its
     Revolver A Commitment Percentage.

          2.7.2  Reduction of Revolver B  Commitment.  The Company may, upon not
     less than five  Business  Days' prior notice to the  Administrative  Agent,
     terminate  the Revolver B Commitment or  permanently  reduce the Revolver B
     Commitments  by an aggregate  minimum  amount of $1,000,000 or any multiple
     thereof  unless,  after giving  effect  thereto and to any  prepayments  of
     Revolving  Credit B Loans made on the  effective  date thereof and any Cash
     Collateral or

                              Exhibit 4.1 - Page 39

<PAGE>

     other security acceptable to the Administrative  Agent and the Issuing Bank
     with respect to L/C Obligations,  either (a) the then outstanding principal
     amount of the Revolving Credit B Loans would exceed the amount of the Total
     Revolver B Commitment then in effect or (b) the then outstanding  principal
     amount of the Loans plus the  aggregate  L/C  Obligations  would exceed the
     amount of the Total  Commitment then in effect.  Once reduced in accordance
     with this  Section,  the Revolver B Commitments  may not be increased.  Any
     reduction  of the  Revolver  B  Commitments  shall be  applied to each Bank
     according to its Revolver B Commitment Percentage.

     2.8. Optional Prepayments.  (a) Subject to Section 4.4, the Company may, at
any time or from time to time,  in the case of LIBOR Rate  Loans,  upon not less
than one Business Day's irrevocable notice to the Administrative  Agent, and, in
the case of Base Rate Loans, upon prior irrevocable notice to the Administrative
Agent,  prepay  Revolving Credit A Loans or Revolving Credit B Loans in whole or
in part, in minimum  amounts of $1,000,000 or any multiple of $500,000 in excess
thereof with  respect to such  Revolving  Credit A Loans or  Revolving  Credit B
Loans.  Such  notice of  prepayment  shall  specify  the date and amount of such
prepayment  and the Type(s) of Revolving  Credit A Loans and Revolving  Credit B
Loans to be prepaid.  The Administrative Agent will promptly notify each Bank of
its  receipt  of any such  notice,  and of such  Bank's  Revolver  A  Commitment
Percentage  and Revolver B Commitment  Percentage  of such  prepayment.  If such
notice is given by the Company,  the Company shall make such  prepayment and the
payment  amount  specified  in such notice  shall be due and payable on the date
specified  therein,  together  with  accrued  interest  to each such date on the
amount prepaid and any amounts required pursuant to Section 4.4.

     2.9.  Extension of Revolving  Credit B Loan Maturity Date. The Company may,
provided that no Default or Event of Default has occurred and is continuing,  by
written notice to the Administrative  Agent given not more than ninety (90) days
nor less than sixty (60) days prior to the Revolving Credit B Loan Maturity Date
in effect at any time (the "Initial  Maturity  Date") request that the Revolving
Credit B Loan  Maturity Date be extended to the date which is 364 days after the
Initial Maturity Date. The  Administrative  Agent shall notify the Banks of such
request   promptly  after   receipt,   and  request  each  Bank  to  notify  the
Administrative  Agent of its  determination to consent or not to consent to such
extension.  The  determination  of each Bank shall be in the sole  discretion of
such Bank. Each Bank shall give written notice of its  determination  to consent
or not to consent to such  extension  pursuant to this  Section 2.9, 30 Business
Day prior to the Initial  Maturity  Date.  Any Bank which fails to give  written
notice of

                              Exhibit 4.1 - Page 40

<PAGE>

its  consent  or  non-consent  shall  be  deemed  not to have  consented  to the
extension hereunder. If Banks holding at least 75% of the Revolver B Commitments
consent to the extension by so notifying the Administrative  Agent in writing 30
Business Days prior to the Initial  Maturity Date (the  "Extension  Date"),  the
Revolving  Credit B Loan  Maturity  Date shall be extended for 364 days from the
Extension  Date in respect  of the  Revolver B  Commitments  of such  consenting
Banks. In respect of the  non-consenting  Banks, the Revolver B Commitments held
by them shall terminate and all outstanding  Obligations  owing thereto shall be
paid by the Company.

     2.10. Repayment.

          (a)

               (i) The Company shall repay to the Banks in full on the Revolving
          Credit  A  Loan  Maturity  Date  the  aggregate  principal  amount  of
          Revolving Credit A Loans outstanding on such date.

               (ii)  The  Company  shall  repay  to the  Banks  in  full  on the
          Revolving  Credit B Loan Maturity Date the aggregate  principal amount
          of Revolving Credit B Loans outstanding on such date.

          (b) The  Company  shall  repay  each  Bid  Loan on the last day of the
     relevant Interest Period.

     2.11. Interest.

          (a)  Each  Committed  Loan  shall  bear  interest  on the  outstanding
     principal  amount thereof from the applicable  Borrowing Date at a rate per
     annum  equal to the LIBOR  Rate or the Base  Rate,  as the case may be (and
     subject to the  Company's  right to convert to other  Types of Loans  under
     Section 2.4), plus the Applicable Margin. Each Bid Loan shall bear interest
     on the  outstanding  principal  amount thereof from the relevant  Borrowing
     Date at a rate per annum equal to the Absolute Rate.

          (b)  Interest  on each Loan shall be paid in arrears on each  Interest
     Payment Date.  Interest shall also be paid on the date of any prepayment of
     Committed  Loans under  Section 2.8 for the portion of the Loans so prepaid
     and upon payment  (including  prepayment)  in full thereof and,  during the
     existence of any Event of Default,  interest shall be paid on demand of the
     Administrative  Agent at the  request or with the  consent of the  Majority
     Banks.

                              Exhibit 4.1 - Page 41

<PAGE>

          (c)  Notwithstanding  subsection (a) of this Section, if any amount of
     principal of or interest on any Loan, or any other amount payable hereunder
     or  payable  under any  other  Loan  Document  is not paid in full when due
     (whether at stated  maturity,  by acceleration,  demand or otherwise),  the
     Company  agrees to pay interest on such unpaid  principal or other  amount,
     from the date such amount becomes due until the date such amount is paid in
     full,  and after as well as before  any entry of  judgment  thereon  to the
     extent permitted by law, payable on demand, at a fluctuating rate per annum
     equal to the Base Rate plus 2%.

          (d) Anything herein to the contrary  notwithstanding,  the obligations
     of the  Company to any Bank  hereunder  shall be subject to the  limitation
     that  payments of interest  shall not be required  for any period for which
     interest is computed hereunder, to the extent (but only to the extent) that
     contracting for or receiving such payment by such Bank would be contrary to
     the provisions of any law applicable to such Bank limiting the highest rate
     of interest  that may be lawfully  contracted  for,  charged or received by
     such Bank,  and in such event the Company  shall pay such Bank  interest at
     the highest rate permitted by applicable law.

     2.12.  Fees.

          (a)  Agency  Fees.  The  Company  shall  pay  an  agency  fee  to  the
     Administrative  Agent  for  the  Administrative  Agent's  own  account,  as
     required by the letter  agreement  ("Fee  Letter")  between the Company and
     Fleet.

          (b) Loan A Facility Fees. The Company shall pay to the  Administrative
     Agent for the  account  of each Bank a  facility  fee (the "Loan A Facility
     Fee") on the amount of such Bank's  Revolver A Commitment from time to time
     in effect  (without  regard to  utilization  thereof) at the Applicable Fee
     Percentage.  The Loan A Facility  Fee shall accrue from the Closing Date to
     the  Revolving  Credit A Loan  Maturity  Date and shall be due and  payable
     quarterly  in  arrears  on the  last  Business  Day of  each  March,  June,
     September  and  December  commencing  on  September  29,  2000  through the
     Revolving Credit A Loan Maturity Date, with the final payment to be made on
     the Revolving  Credit A Loan Maturity  Date;  provided  that, in connection
     with any  termination of Revolver A Commitments  pursuant to Section 2.7.1,
     the accrued Loan A Facility Fee  calculated  for the period  ending on such
     date  shall  also be paid on the  date  of  such  termination.  The  Loan A
     Facility Fee shall accrue at all times after the Closing Date,

                              Exhibit 4.1 - Page 42

<PAGE>

     including at any time during which one or more  conditions in Article V are
     not met.

          (c) Loan B Facility Fees. The Company shall pay to the  Administrative
     Agent for the  account  of each Bank a  facility  fee (the "Loan B Facility
     Fee") on the amount of such Bank's  Revolver B Commitment from time to time
     in effect  (without  regard to  utilization  thereof) at the Applicable Fee
     Percentage.  The Loan B Facility  Fee shall accrue from the Closing Date to
     the  Revolving  Credit B Loan  Maturity  Date and shall be due and  payable
     quarterly  in  arrears  on the  last  Business  Day of  each  March,  June,
     September  and  December  commencing  on  September  29,  2000  through the
     Revolving Credit B Loan Maturity Date, with the final payment to be made on
     the Revolving  Credit B Loan Maturity  Date;  provided  that, in connection
     with any  termination of Revolver B Commitments  pursuant to Section 2.7.2,
     the accrued Loan B Facility Fee  calculated  for the period  ending on such
     date  shall  also be paid on the  date  of  such  termination.  The  Loan B
     Facility Fee shall accrue at all times after the Closing Date, including at
     any time during which one or more conditions in Article V are not met.

          (d) Utilization  Fees. On all days on which the aggregate  outstanding
     Loans  (including  Bid  Loans)  exceeds  33% of  the  Total  Commitment,  a
     utilization  fee (the  "Utilization  Fee")  shall  accrue on the  principal
     amount of the Loans  (including Bid Loans) at the rate of 0.125% per annum.
     The  aggregate  Utilization  Fees for any quarter  shall be due and payable
     quarterly  in  arrears  on the  last  Business  Day of  each  March,  June,
     September  and  December  commencing  on  September  29,  2000  through the
     Revolving  Credit A Loan Maturity  Date,  with an additional  payment to be
     made on the Revolving Credit B Loan Maturity Date and a final payment to be
     made on the Revolving  Credit A Loan  Maturity  Date or if later  Revolving
     Credit B Loan Maturity  Date. The  Utilization  Fee shall be payable to the
     Administrative  Agent for the account of the Banks in  accordance  with the
     principal  outstanding  amount of the Loans  (including  Bid Loans) of each
     Bank.

          (e) Bid Fees.  At any time the  Administrative  Agent is acting as Bid
     Agent, the Company shall pay bid fees to the  Administrative  Agent for the
     Administrative Agent's own account, as required by the Fee Letter.

     2.13.  Computation of Fees and Interest.

                              Exhibit 4.1 - Page 43

<PAGE>

          (a) All computations of fees and interest for Base Rate Loans shall be
     made on the  basis of a year of 365 or 366  days,  as the case may be,  and
     actual days elapsed.  All  computations of other interest and fees shall be
     made on the basis of a 360-day year and actual days  elapsed.  Interest and
     fees shall accrue during each period during which interest or such fees are
     computed from the first day thereof to the last day thereof.

          (b) Each determination of an interest rate by the Administrative Agent
     shall be conclusive and binding on the Company and the Banks in the absence
     of manifest error.

          (c) If any  Reference  Bank's  Commitment  terminates  (other  than on
     termination  of all the  Commitments),  or for any  reason  whatsoever  the
     Reference  Bank ceases to be a Bank  hereunder,  that  Reference Bank shall
     thereupon  cease to be a Reference  Bank, and, to the extent that the LIBOR
     Rate is at any time  thereafter  determined with reference to the Reference
     Banks,  the LIBOR Rate shall be determined at such time on the basis of the
     rates as notified by the remaining Reference Bank(s).

          (d)  Each  Reference  Bank  shall  use its  best  efforts  to  furnish
     quotations of rates to the Administrative  Agent as contemplated hereby. If
     any of the Reference Banks fails to supply such rates to the Administrative
     Agent upon its request,  the rate of interest  shall be  determined  on the
     basis of the quotations of the remaining Reference Bank(s).

     2.14. Payments by the Company.

          (a) All  payments  to be made by the  Company  shall  be made  without
     set-off, recoupment or counterclaim. Except as otherwise expressly provided
     herein,  all  payments by the Company  shall be made to the  Administrative
     Agent for the account of the Banks at the Agent's Payment Office, and shall
     be made in dollars and in immediately  available funds, no later than 12:00
     noon (Boston time) on the date specified herein. The  Administrative  Agent
     will promptly distribute to each Bank its Revolver A Commitment  Percentage
     or Revolver B Commitment Percentage (or other applicable share as expressly
     provided  herein) of such  payment in like funds as  received.  Any payment
     received by the Agent later than 12:00 noon  (Boston  time) shall be deemed
     to have been  received on the  following  Business  Day and any  applicable
     interest or fee shall continue to accrue.

                              Exhibit 4.1 - Page 44

<PAGE>

          (b) Subject to the provisions set forth in the definition of "Interest
     Period" herein,  whenever any payment is due on a day other than a Business
     Day,  such payment  shall be made on the  following  Business Day, and such
     extension  of time shall in such case be  included  in the  computation  of
     interest or fees, as the case may be.

          (c) Unless the  Administrative  Agent receives notice from the Company
     prior to the date on which any payment is due to the Banks that the Company
     will not make such payment in full as and when required, the Administrative
     Agent may  assume  that the  Company  has made such  payment in full to the
     Administrative  Agent on such date in immediately  available  funds and the
     Administrative  Agent may (but shall not be so required),  in reliance upon
     such  assumption,  distribute to each Bank on such due date an amount equal
     to the amount then due such Bank.  If and to the extent the Company has not
     made such  payment  in full to the  Administrative  Agent,  each Bank shall
     repay to the Administrative Agent on demand such amount distributed to such
     Bank, together with interest thereon at the Federal Funds Rate for each day
     from the date  such  amount  is  distributed  to such  Bank  until the date
     repaid.

     2.15.  Payments by the Banks to the Administrative Agent.

          (a)

               (i) Unless the  Administrative  Agent receives notice from a Bank
          on or prior to the  Closing  Date or,  with  respect to any  Committed
          Borrowing  after the Closing  Date, at least one Business Day prior to
          the date of such  Committed  Borrowing,  that  such Bank will not make
          available as and when required hereunder to the  Administrative  Agent
          for the account of the  Company  the amount of that Bank's  Revolver A
          Commitment  Percentage  or  Revolver  B  Commitment   Percentage,   as
          applicable,  of the Committed Borrowing,  the Administrative Agent may
          assume  that  each  Bank  has  made  such  amount   available  to  the
          Administrative  Agent in immediately  available funds on the Borrowing
          Date and the Administrative  Agent may (but shall not be so required),
          in reliance  upon such  assumption,  make  available to the Company on
          such date a corresponding  amount. If and to the extent any Bank shall
          not have made its full amount available to the Administrative Agent in
          immediately  available  funds  and the  Administrative  Agent  in such
          circumstances has made available to the Company such amount, that Bank
          shall on the Business Day following such

                              Exhibit 4.1 - Page 45

<PAGE>

          Borrowing Date make such amount available to the Administrative Agent,
          together  with  interest at the Federal Funds Rate for each day during
          such period.  A notice of the  Administrative  Agent  submitted to any
          Bank with respect to amounts owing under this  subsection (a) shall be
          conclusive,   absent  manifest  error.  If  such  amount  is  so  made
          available,  such payment to the Administrative  Agent shall constitute
          such Bank's  Loan on the date of  Borrowing  for all  purposes of this
          Agreement.  If such amount is not made available to the Administrative
          Agent  on  the  Business  Day  following  the  Borrowing   Date,   the
          Administrative  Agent will notify the Company of such  failure to fund
          and, upon demand by the  Administrative  Agent,  the Company shall pay
          such amount to the Administrative Agent for the Administrative Agent's
          account, together with interest thereon for each day elapsed since the
          date of such  Committed  Borrowing,  at a rate per annum  equal to the
          interest rate applicable at the time to the Committed Loans comprising
          such Committed Borrowing.

               (ii) The  failure of any Bank to make any  Committed  Loan on any
          Borrowing  Date shall not  relieve  any other  Bank of any  obligation
          hereunder to make a Committed Loan on such Borrowing Date, but no Bank
          shall be  responsible  for the  failure  of any other Bank to make the
          Committed Loan to be made by such other Bank on any Borrowing Date.

     2.16.  Sharing of  Payments,  Etc.  If,  other than as  expressly  provided
elsewhere  herein,  any Bank shall obtain on account of the  Revolving  Credit A
Loans or  Revolving  Credit B Loans made by it any payment  (whether  voluntary,
involuntary,  through the  exercise of any right of set-off,  or  otherwise)  in
excess  of its  Revolver  A  Commitment  Percentage  or  Revolver  B  Commitment
Percentage,   respectively,   such  Bank  shall   immediately   (a)  notify  the
Administrative  Agent of such fact,  and (b) purchase  from the other Banks such
participations  in the Revolving  Credit A Loans and  Revolving  Credit B Loans,
respectively,  made by them as shall be necessary to cause such  purchasing Bank
to share the excess payment pro rata with each of them; provided,  however, that
if all or any portion of such excess  payment is thereafter  recovered  from the
purchasing  Bank, such purchase shall to that extent be rescinded and each other
Bank shall  repay to the  purchasing  Bank the  purchase  price  paid  therefor,
together with an amount equal to such paying Bank's ratable share  (according to
the  proportion  of (i) the amount of such paying Bank's  required  repayment to
(ii) the total amount so recovered from the purchasing  Bank) of any interest or
other  amount  paid or  payable by the  purchasing  Bank in respect of the total
amount  so  recovered.  The

                              Exhibit 4.1 - Page 46

<PAGE>

Company  agrees that any Bank so  purchasing a  participation  from another Bank
may, to the fullest extent permitted by law,  exercise all its rights of payment
(including  the right of set-off,  but subject to Section  11.9) with respect to
such  participation  as fully as if such Bank were the  direct  creditor  of the
Company in the amount of such participation.  The Administrative Agent will keep
records (which shall be conclusive and binding in the absence of manifest error)
of participations purchased under this Section 2.16 and will in each case notify
the  Banks  following  any  such  purchases  or  repayments.   Any  Bank  having
outstanding both Committed Loans and Bid Loans at any time a right of set-off is
exercised by such Bank shall apply the  proceeds of such  set-off  first to such
Bank's Committed Loans until reduced to zero, and thereafter to its Bid Loans.

     2.17.  Adjustment of Applicable  Margin and Applicable Fee Percentage.  The
Applicable  Margin and the Applicable  Fee  Percentage  shall be adjusted on the
Business Day after any  announcement,  change, or withdrawal of S&P's or Moody's
rating of the Company's  senior debt which results in a different  Pricing Level
being applicable.

                                  ARTICLE III.

                              THE LETTERS OF CREDIT

     3.1. The Letter of Credit Subfacility.  (a) On the terms and conditions set
forth  herein (i) the Issuing  Bank agrees (A) from time to time on any Business
Day during the  period  from the  Closing  Date to the  Revolving  Credit A Loan
Maturity Date, to issue Letters of Credit for the account of the Company, and to
amend or renew Letters of Credit  previously  issued by it, in  accordance  with
subsections  3.2(c) and  3.2(d),  and (B) to honor  drafts  under the Letters of
Credit;  and (ii) the Banks  severally agree to participate in Letters of Credit
Issued  for the  account  of the  Company in  accordance  with their  Revolver A
Commitment Percentages; provided that the Issuing Bank shall not be obligated to
Issue, and no Bank shall be obligated to participate in, any Letter of Credit if
as of the date of Issuance of such  Letter of Credit (the  "Issuance  Date") and
after giving effect to such Issuance (1) the aggregate L/C Obligations  plus the
aggregate  principal  amount  of  Revolving  Credit A Loans  exceeds  the  Total
Revolver A  Commitment,  (2) the aggregate  L/C  Obligations  plus the aggregate
principal  amount of all Loans exceeds the combined  Total  Commitment,  (3) the
participation  of any Bank in the aggregate L/C  Obligations  plus the aggregate
principal amount of all Revolving Credit A Loans of such Revolving Credit A Bank
exceeds such Bank's Revolver A Commitment,  or (4) the aggregate L/C Obligations
exceeds the L/C  Commitment.  Within the  foregoing  limits,  and subject to the
other terms and conditions hereof, the

                              Exhibit 4.1 - Page 47

<PAGE>

Company's  ability to obtain  Letters of Credit  shall be fully  revolving,  and
accordingly,  the Company may,  during the foregoing  period,  obtain Letters of
Credit to replace  Letters of Credit which have expired or which have been drawn
upon and reimbursed.

     (b) The Issuing Bank is under no  obligation  to Issue any Letter of Credit
if (provided  that in the case of clauses  (iii) and (vii) below and in the case
of clause (ii) below where the Issuing Bank has received the  applicable  notice
from a Bank, the Issuing Bank shall not Issue any Letter of Credit):

               (i)

                    (A)  any  order,  judgment  or  decree  of any  Governmental
          Authority  or  arbitrator  shall by its  terms  purport  to  enjoin or
          restrain the Issuing  Bank from issuing such Letter of Credit,  or any
          Requirement  of Law  applicable  to the Issuing Bank or any request or
          directive (whether or not have the force of law) from any Governmental
          Authority with jurisdiction  over the Issuing Bank shall prohibit,  or
          request that the Issuing Bank refrain from, the Issuance of letters of
          credit  generally  or such  Letter of Credit  in  particular  or shall
          impose upon the Issuing Bank with respect to such Letter of Credit any
          restriction,  reserve or capital  requirement  (for which the  Issuing
          Bank is not  otherwise  compensated  hereunder)  not in  effect on the
          Closing Date,  or shall impose upon the Issuing Bank any  unreimbursed
          loss, cost or expense which was not applicable on the Closing Date and
          which the Issuing Bank in good faith deems material to it;

               (ii) the Issuing Bank has received  written notice from any Bank,
          the Administrative Agent or the Company prepared and delivered in good
          faith  and  after  due  inquiry  and  which  notice  has not yet  been
          rescinded, on or prior to the Business Day prior to the requested date
          of  Issuance  of  such  Letter  of  Credit,  that  one or  more of the
          applicable conditions contained in Article V is not then satisfied;

               (iii) the expiry  date of any  requested  Letter of Credit is (A)
          more than 365 days after the date of  Issuance,  unless  the  Majority
          Banks have  approved  such expiry  date in  writing,  or (B) after the
          Revolving Credit A Loan Maturity Date;

               (iv) any requested  Letter of Credit does not provide for drafts,
          or is not  otherwise in form and  substance  acceptable to

                              Exhibit 4.1 - Page 48

<PAGE>

          the Issuing  Bank, or the Issuance of a Letter of Credit shall violate
          any applicable policies of the Issuing Bank;

               (vi) such Letter of Credit is in a face amount less than $500,000
          or to be denominated in a currency other than Dollars.

     3.2. Issuance,  Amendment and Renewal of Letters of Credit. (a) Each Letter
of Credit shall be issued upon the  irrevocable  written  request of the Company
received  by  the  Issuing  Bank  (with  a  copy  sent  by  the  Company  to the
Administrative  Agent) at least four days (or such  shorter  time as the Issuing
Bank may agree in a  particular  instance in its sole  discretion)  prior to the
proposed date of issuance.  Each such request for issuance of a Letter of Credit
shall be by facsimile, confirmed immediately in an original writing, in the form
of an L/C Application,  and shall specify in form and detail satisfactory to the
Issuing  Bank:  (i) the proposed date of issuance of the Letter of Credit (which
shall be a Business  Day);  (ii) the face amount of the Letter of Credit;  (iii)
the  expiry  date of the  Letter of  Credit;  (iv) the name and  address  of the
beneficiary thereof; (v) the documents to be presented by the beneficiary of the
Letter of Credit in case of any  drawing  thereunder;  (vi) the full text of any
certificate  to  be  presented  by  the  beneficiary  in  case  of  any  drawing
thereunder; and (vii) such other matters as the Issuing Bank may require.

     (b) At least two  Business  Days  prior to the  Issuance  of any  Letter of
Credit,  the  Issuing  Bank  will  confirm  with the  Administrative  Agent  (by
telephone or in writing)  that the  Administrative  Agent has received a copy of
the L/C Application or L/C Amendment  Application  from the Company and, if not,
the Issuing  Bank will  provide the  Administrative  Agent with a copy  thereof.
Unless  the  Issuing  Bank has  received  notice on or before the  Business  Day
immediately  preceding the date the Issuing Bank is to issue a requested  Letter
of Credit from the  Administrative  Agent (A)  directing the Issuing Bank not to
issue such Letter of Credit  because such issuance is not then  permitted  under
subsection  3.1(a)  as a result of the  limitations  set  forth in  clauses  (1)
through (3) thereof;  or (B) that one or more conditions  specified in Article V
are not then satisfied;  then,  subject to the terms and conditions  hereof, the
Issuing  Bank shall,  on the  requested  date,  issue a Letter of Credit for the
account of the Company in accordance with the Issuing Bank's usual and customary
business practices.

     (c) From time to time while a Letter of Credit is outstanding  and prior to
the  Revolving  Credit A Loan  Maturity  Date,  the Issuing Bank will,  upon the
written request of the Company received by the Issuing Bank (with a copy sent by
the  Company to the  Administrative  Agent) at least five days (or such  shorter
time as the Issuing Bank may agree in a particular instance

                              Exhibit 4.1 - Page 49

<PAGE>

in its sole  discretion)  prior to the  proposed  date of  amendment,  amend any
Letter of Credit  issued by it. Each such  request for  amendment of a Letter of
Credit shall be made by facsimile, confirmed immediately in an original writing,
made in the form of an L/C Amendment  Application  and shall specify in form and
detail satisfactory to the Issuing Bank: (i) the Letter of Credit to be amended;
(ii) the proposed  date of  amendment of the Letter of Credit  (which shall be a
Business Day); (iii) the nature of the proposed  amendment;  and (iv) such other
matters as the Issuing  Bank may  require.  The  Issuing  Bank shall be under no
obligation  to amend any Letter of Credit if: (A) the Issuing Bank would have no
obligation at such time to issue such Letter of Credit in its amended form under
the terms of this Agreement; or (B) the beneficiary of any such Letter of Credit
does  not  accept  the  proposed   Amendment  to  the  Letter  of  Credit.   The
Administrative  Agent will promptly notify the Banks of the receipt by it of any
L/C Application or L/C Amendment Application.

     (d) The Issuing Bank and the Banks agree that,  while a Letter of Credit is
outstanding  and prior to the  Revolving  Credit A Loan  Maturity  Date,  at the
option of the Company and upon the  written  request of the Company  received by
the Issuing Bank (with a copy sent by the Company to the  Administrative  Agent)
at least  five days (or such  shorter  time as the  Issuing  Bank may agree in a
particular  instance  in its  sole  discretion)  prior to the  proposed  date of
notification  of renewal,  the Issuing Bank shall be entitled to  authorize  the
automatic  renewal of any Letter of Credit  issued by it. Each such  request for
renewal of a Letter of Credit shall be made by facsimile,  confirmed immediately
in an original writing, in the form of an L/C Amendment  Application,  and shall
specify in form and detail  satisfactory  to the Issuing Bank: (i) the Letter of
Credit to be renewed;  (ii) the proposed date of  notification of renewal of the
Letter of Credit (which shall be a Business Day);  (iii) the revised expiry date
of the Letter of Credit;  and (iv) such other  matters as the  Issuing  Bank may
require. The Issuing Bank shall be under no obligation so to renew any Letter of
Credit if: (A) the Issuing Bank would have no  obligation  at such time to issue
or amend  such  Letter  of Credit in its  renewed  form  under the terms of this
Agreement;  or (B) the  beneficiary of any such Letter of Credit does not accept
the  proposed  renewal  of the Letter of Credit.  If any  outstanding  Letter of
Credit  shall  provide  that  it  shall  be  automatically  renewed  unless  the
beneficiary  thereof  receives  notice from the Issuing Bank that such Letter of
Credit  shall not be renewed,  and if at the time of renewal  the  Issuing  Bank
would be entitled to authorize the automatic renewal of such Letter of Credit in
accordance with this  subsection  3.2(d) upon the request of the Company but the
Issuing Bank shall not have  received  any L/C  Amendment  Application  from the
Company with respect to such renewal or other  written  direction by the Company
with respect thereto,  the Issuing Bank shall  nonetheless be permitted to allow
such Letter of

                              Exhibit 4.1 - Page 50

<PAGE>

Credit to renew,  and the Company and the Banks hereby  authorize  such renewal,
and,  accordingly,  the  Issuing  Bank shall be deemed to have  received  an L/C
Amendment Application from the Company requesting such renewal.

     (e)  The  Issuing  Bank  may,  at  its  election  (or  as  required  by the
Administrative  Agent at the  direction  of the  Majority  Banks),  deliver  any
notices  of  termination  or  other  communications  to  any  Letter  of  Credit
beneficiary  or   transferee,   and  take  any  other  action  as  necessary  or
appropriate,  at any time and from time to time,  in order to cause  the  expiry
date of such Letter of Credit to be a date not later than the Revolving Credit A
Loan Maturity Date.

     (f) This Agreement  shall control in the event of any conflict with any L/C
Related Document (other than any Letter of Credit).

     (g) The  Issuing  Bank  will  also  deliver  to the  Administrative  Agent,
concurrently  or  promptly  following  its  delivery  of a Letter of Credit,  or
amendment  to or  renewal  of a  Letter  of  Credit,  to an  advising  bank or a
beneficiary, a true and complete copy of each such Letter of Credit or amendment
to or renewal of a Letter of Credit.

     3.3. Risk Participations, Drawings and Reimbursements.

          (a) Immediately upon the Issuance of each Letter of Credit,  each Bank
     shall be deemed to, and hereby irrevocably and  unconditionally  agrees to,
     purchase from the Issuing Bank a participation in such Letter of Credit and
     each  drawing  thereunder  in an  amount  equal to the  product  of (i) the
     Revolver A Commitment  Percentage of such Bank,  times (ii) the face amount
     of such Letter of Credit.  For purposes of subsection  2.1.1, each Issuance
     of a Letter of Credit  shall be deemed to utilize the Revolver A Commitment
     of each Bank by an amount equal to the amount of such participation.

          (b) In the event of any request for a drawing under a Letter of Credit
     by the  beneficiary or transferee  thereof,  the Issuing Bank will promptly
     notify the Company.  The Company shall  reimburse the Issuing Bank prior to
     1:00 p.m.  Boston time, on each date that any amount is paid by the Issuing
     Bank under any Letter of Credit (each such date,  an "Honor  Date"),  in an
     amount  equal to the amount so paid by the Issuing  Bank.  In the event the
     Company  fails to  reimburse  the  Issuing  Bank for the full amount of any
     drawing  under any Letter of Credit by 1:00 p.m.  Boston  time on the Honor
     Date, the Issuing Bank will promptly  notify the  Administrative  Agent and
     the  Administrative  Agent will promptly notify each Bank with a Revolver A
     Commitment thereof,  and the Company shall be deemed to have requested that
     Base

                              Exhibit 4.1 - Page 51

<PAGE>

     Rate Loans be made by the Banks to be disbursed on the Honor Date under the
     Revolver A Commitment  and subject to the  conditions  set forth in Section
     5.2 (except  Section  5.2(a)).  Any notice given by the Issuing Bank or the
     Administrative  Agent  pursuant  to this  subsection  3.3(b) may be oral if
     immediately  confirmed in writing  (including by facsimile);  provided that
     the  lack  of  such  an  immediate   confirmation   shall  not  affect  the
     conclusiveness or binding effect of such notice.

          (c) Each Bank shall upon any notice pursuant to subsection 3.3(b) make
     available to the  Administrative  Agent for the account of the Issuing Bank
     an  amount in  Dollars  and in  immediately  available  funds  equal to its
     Revolver A Commitment  Percentage  of the amount of the drawing,  whereupon
     the participating Banks shall (subject to subsection 3.3(d)) each be deemed
     to have made a Revolving  Credit A Loan  consisting  of a Base Rate Loan to
     the Company in that amount. If any Bank so notified fails to make available
     to the Administrative  Agent for the account of the Issuing Bank the amount
     of such  Bank's  Revolver  A  Commitment  Percentage  of the  amount of the
     drawing  by no later than 3:00 p.m.  Boston  time on the Honor  Date,  then
     interest shall accrue on such Bank's obligation to make such payment,  from
     the Honor  Date to the date such Bank  makes  such  payment,  at a rate per
     annum  equal to the  Federal  Funds Rate in effect from time to time during
     such period.  The  Administrative  Agent will  promptly  give notice of the
     occurrence of the Honor Date,  but failure of the  Administrative  Agent to
     give any such notice on the Honor Date or in sufficient  time to enable any
     Bank to effect such  payment on such date shall not relieve  such Bank from
     its obligations under this Section 3.3.

          (d) With respect to any  unreimbursed  drawing  that is not  converted
     into Revolving  Credit A Loans consisting of Base Rate Loans to the Company
     in whole or in part,  because  of the  Company's  failure  to  satisfy  the
     conditions  set forth in Section 5.2 or for any other  reason,  the Company
     shall be deemed to have  incurred from the Issuing Bank an L/C Borrowing in
     the amount of such drawing, which L/C Borrowing shall be due and payable on
     demand (together with interest) and shall bear interest at a rate per annum
     equal to the Base Rate plus 2% per annum,  and each  Bank's  payment to the
     Issuing  Bank  pursuant to  subsection  3.3(c)  shall be deemed  payment in
     respect of its  participation in such L/C Borrowing and shall constitute an
     L/C Advance from such Bank in satisfaction of its participation  obligation
     under this Section 3.3.

          (e) Each Bank's  obligation in accordance  with this Agreement to make
     the Revolving Credit A Loans or L/C Advances, as

                              Exhibit 4.1 - Page 52

<PAGE>

     contemplated  by this Section 3.3, as a result of a drawing  under a Letter
     of Credit,  shall be absolute and unconditional and without recourse to the
     Issuing Bank and shall not be affected by any  circumstance,  including (i)
     any set-off,  counterclaim,  recoupment,  defense or other right which such
     Bank may have against the Issuing Bank, the Company or any other Person for
     any reason whatsoever;  (ii) the occurrence or continuance of a Default, an
     Event  of  Default  or a  Material  Adverse  Effect;  or  (iii)  any  other
     circumstance,  happening or event whatsoever, whether or not similar to any
     of the foregoing.

     3.4. Repayment of  Participations.  (a) Upon (and only upon) receipt by the
Administrative  Agent  for  the  account  of the  Issuing  Bank  of  immediately
available funds from the Company (i) in reimbursement of any payment made by the
Issuing  Bank under the Letter of Credit with respect to which any Bank has paid
the  Administrative  Agent for the account of the  Issuing  Bank for such Bank's
participation in the Letter of Credit pursuant to Section 3.3 or (ii) in payment
of interest thereon, the Administrative Agent will pay to each Bank, in the same
funds as those  received  by the  Administrative  Agent for the  account  of the
Issuing Bank, the amount of such Bank's Revolver A Commitment Percentage of such
funds,  and the  Issuing  Bank  shall  receive  the  amount  of the  Revolver  A
Commitment  Percentage  of  such  funds  of any  Bank  that  did  not so pay the
Administrative Agent for the account of the Issuing Bank.

     (b) If the Administrative Agent or the Issuing Bank is required at any time
to return to the Company, or to a trustee, receiver,  liquidator,  custodian, or
any official in any Insolvency  Proceeding,  any portion of the payments made by
the Company to the  Administrative  Agent for the  account of the  Issuing  Bank
pursuant  to  subsection  3.4(a) in  reimbursement  of a payment  made under the
Letter of Credit or interest or fee thereon,  each Bank shall,  on demand of the
Administrative  Agent,  forthwith  return  to the  Administrative  Agent  or the
Issuing Bank the amount of its Revolver A Commitment  Percentage  of any amounts
so  returned  by the  Administrative  Agent or the  Issuing  Bank plus  interest
thereon  from the date such demand is made to the date such amounts are returned
by such Bank to the  Administrative  Agent or the  Issuing  Bank,  at a rate per
annum equal to the Federal Funds Rate in effect from time to time.

     3.5. Role of the Issuing Bank. (a) Each Bank and the Company agree that, in
paying any drawing under a Letter of Credit, the Issuing Bank shall not have any
responsibility   to  obtain  any  document  (other  than  any  sight  draft  and
certificates  expressly  required  by the Letter of Credit) or to  ascertain  or
inquire as to the validity or accuracy of any such  document or the authority of
the Person executing or delivering any such document.

                              Exhibit 4.1 - Page 53

<PAGE>

     (b) No Agent-Related Person, nor the Issuing Bank nor any of the respective
correspondents, participants or assignees of the Issuing Bank shall be liable to
any Bank for:  (i) any action  taken or omitted in  connection  herewith  at the
request or with the  approval of the Banks  (including  the Majority  Banks,  as
applicable); (ii) any action taken or omitted in the absence of gross negligence
or willful misconduct;  or (iii) the due execution,  effectiveness,  validity or
enforceability of any L/C Related Document.

     (c) The Company  hereby  assumes all risks of the acts or  omissions of any
beneficiary  or  transferee  with  respect  to its use of any  Letter of Credit;
provided;  however,  that this  assumption  is not  intended  to, and shall not,
preclude the Company's  pursuing such rights and remedies as it may have against
the  beneficiary  or  transferee  at  law  or  under  any  other  agreement.  No
Agent-Related Person, nor any of the respective correspondents,  participants or
assignees of the Issuing  Bank,  shall be liable or  responsible  for any of the
matters  described  in  clauses  (i)  through  (vii) of Section  3.6;  provided,
however, anything in such clauses to the contrary  notwithstanding,  the Company
may have a claim against the Issuing Bank, and the Issuing Bank may be liable to
the Company, to the extent, but only to the extent, of any direct, as opposed to
consequential  or exemplary,  damages  suffered by the Company which the Company
proves were caused by the Issuing Bank's willful  misconduct or gross negligence
or the Issuing  Bank's  willful  failure to pay under any Letter of Credit after
the  presentation to it by the  beneficiary of a sight draft and  certificate(s)
strictly  complying  with the terms and  conditions  of a Letter of  Credit.  In
furtherance  and not in  limitation of the  foregoing:  (i) the Issuing Bank may
accept   documents   that  appear  on  their  face  to  be  in  order,   without
responsibility   for  further   investigation,   regardless  of  any  notice  or
information to the contrary;  and (ii) the Issuing Bank shall not be responsible
for the validity or sufficiency of any instrument  transferring  or assigning or
purporting  to  transfer  or assign a Letter of Credit or the rights or benefits
thereunder  or  proceeds  thereof,  in whole or in part,  which  may prove to be
invalid or ineffective for any reason.

     3.6.  Obligations  Absolute.  The  obligations  of the  Company  under this
Agreement  and any L/C Related  Document  to  reimburse  the Issuing  Bank for a
drawing under a Letter of Credit, and to repay any L/C Borrowing and any drawing
under a Letter of  Credit  converted  into  Revolving  Credit A Loans,  shall be
unconditional and irrevocable, and shall be paid strictly in accordance with the
terms of this  Agreement  and each such  other L/C  Related  Document  under all
circumstances, including the following:

               (i) any lack of validity or  enforceability  of this Agreement or
          any L/C Related Document;

                              Exhibit 4.1 - Page 54

<PAGE>

               (ii) any change in the time, manner or place of payment of, or in
          any other term of,  all or any of the  obligations  of the  Company in
          respect of any Letter of Credit or any other amendment or waiver of or
          any consent to departure from all or any of the L/C Related Documents;

               (iii) the existence of any claim, set-off, defense or other right
          that the Company may have at any time against any  beneficiary  or any
          transferee  of any  Letter of Credit  (or any Person for whom any such
          beneficiary or any such transferee may be acting), the Issuing Bank or
          any other  Person,  whether in  connection  with this  Agreement,  the
          transactions  contemplated  hereby or by the L/C Related  Documents or
          any unrelated transaction;

               (iv) any draft,  demand,  certificate or other document presented
          under any Letter of Credit proving to be forged,  fraudulent,  invalid
          or insufficient  in any respect or any statement  therein being untrue
          or inaccurate in any respect; or any loss or delay in the transmission
          or otherwise of any document required in order to make a drawing under
          any letter of Credit;

               (v) any  payment by the  Issuing  Bank under any Letter of Credit
          against  presentation of a draft or certificate that does not strictly
          comply with the terms of any Letter of Credit;  or any payment made by
          the Issuing  Bank under any Letter of Credit to any Person  purporting
          to be a trustee in bankruptcy, debtor-in-possession,  assignee for the
          benefit of creditors,  liquidator, receiver or other transferee of any
          Letter  of  Credit,  including  any  arising  in  connection  with any
          Insolvency Proceeding;

               (vi) any exchange,  release or  non-perfection of any collateral,
          or any release or amendment or waiver of or consent to departure  from
          any other guarantee,  for all or any of the obligations of the Company
          in respect of any Letter of Credit; or

               (vii) any other circumstance or happening whatsoever,  whether or
          not similar to any of the foregoing,  including any other circumstance
          that might otherwise constitute a defense available to, or a discharge
          of, the Company or a guarantor.

     3.7. Cash  Collateral  Pledge.  (a) Upon the request of the  Administrative
Agent,  (A) if the Issuing Bank has honored any full or partial  drawing request
on any  Letter of Credit  and such  drawing  has  resulted  in an

                              Exhibit 4.1 - Page 55

<PAGE>

L/C Borrowing  hereunder,  or (B) if, as of the Revolving Credit A Loan Maturity
Date, any Letters of Credit may for any reason remain  outstanding and partially
or  wholly  undrawn,  or (C) the  sum of  Revolving  Credit  A  Loans  plus  L/C
Obligations exceeds the Total Revolver A Commitment, or (D) the sum of the Loans
plus L/C Obligations exceeds the Total Commitment, the Company shall immediately
deliver Cash Collateral to the Administrative Agent in an amount equal to (x) in
the case of clause (A) above,  the L/C Borrowing,  (y) in the case of clause (B)
above,  the L/C  Obligations,  or (z) in the case of clause  (C) or  clause  (D)
above,  such excess.  Cash Collateral  shall be deposited in an interest bearing
account in the name of the  Administrative  Agent and  interest  earned  thereon
shall be added to and constitute additional Cash Collateral.

     (b) After all Obligations have been paid and performed  finally in full and
all  Commitments  have terminated the  Administrative  Agent shall return to the
Company all Cash Collateral which has not been applied to pay Obligations.

     3.8. Letter of Credit Fees. (a) The Company shall pay to the Administrative
Agent for the account of each of the Banks in accordance  with their  Revolver A
Commitment  Percentages  a letter of credit fee (the "L/C Fee") with  respect to
the Letters of Credit  equal to the  Applicable  Fee  Percentage  of the average
daily maximum amount available to be drawn of the outstanding Letters of Credit,
computed  on a  quarterly  basis in  arrears  on the last  Business  Day of each
calendar  quarter based upon Letters of Credit  outstanding  for that quarter as
calculated  by the  Administrative  Agent.  The L/C Fee shall be due and payable
quarterly in arrears on the last  Business Day of each calendar  quarter  during
which Letters of Credit are outstanding,  commencing on the first such quarterly
date to occur  after the  Closing  Date,  through  the  Revolving  Credit A Loan
Maturity Date, with the final payment to be made on the Revolving  Credit A Loan
Maturity Date.

     (b) The Company  shall pay to the Issuing Bank a letter of credit  fronting
fee for each Letter of Credit  Issued by the Issuing  Bank equal to .125% of (i)
the face  amount  of such  Letter  Credit  in the case of the  initial  Issuance
thereof,  and (ii) the amount of the  increase in the face amount of such Letter
of  Credit in the case of any  increase  in the face  amount  of such  Letter of
Credit.  Such Letter of Credit fronting fee shall be due and payable on the date
of initial  Issuance  of a Letter of Credit and upon each  increase  in the face
amount of a Letter of Credit.

     (c) The Company  shall pay to the Issuing  Bank from time to time on demand
the normal presentation, amendment and other processing fees,

                              Exhibit 4.1 - Page 56

<PAGE>

and other standard costs and charges, of the Issuing Bank relating to letters of
credit as from time to time in effect.

     3.9.  Uniform  Customs and  Practice.  The Uniform  Customs  shall  (unless
otherwise  expressly  provided in such Letter of Credit) apply to each Letter of
Credit.

                                   ARTICLE IV.

                     TAXES, YIELD PROTECTION AND ILLEGALITY

     4.1.  Taxes.  (a) Any and all  payments  by the Company to each Bank or the
Administrative  Agent under this  Agreement and any other Loan Document shall be
made free and clear of, and without deduction or withholding for any Taxes.

     (b) In addition,  the Company  shall pay all Other  Taxes,  and the Company
agrees to indemnify and hold harmless each Bank and the Administrative Agent for
the full  amount of Taxes or Other  Taxes  (including  any Taxes or Other  Taxes
imposed by any  jurisdiction on amounts payable under this Section) paid by such
Bank  or the  Administrative  Agent  and  any  liability  (including  penalties,
interest,  additions  to tax and  expenses)  arising  therefrom  or with respect
thereto,  whether or not such Taxes or Other  Taxes  were  correctly  or legally
asserted.  Payment under this indemnification shall be made within 30 days after
the date the Bank or the Administrative Agent makes written demand therefor.

     (c) If the Company shall be required by law to deduct or withhold any Taxes
or Other  Taxes from or in respect of any sum payable  hereunder  to any Bank or
the Administrative Agent, then:

               (i) the sum payable shall be increased as necessary so that after
          making all required deductions and withholdings  (including deductions
          and  withholdings  applicable  to  additional  sums payable under this
          Section) such Bank or the  Administrative  Agent,  as the case may be,
          receives an amount equal to the sum it would have received had no such
          deductions or withholdings been made;

               (ii) the Company shall make such deductions and withholdings;

               (iii) the Company shall pay the full amount  deducted or withheld
          to the relevant taxing authority or other authority in accordance with
          applicable law; and

                              Exhibit 4.1 - Page 57

<PAGE>

               (vi)  the   Company   shall   also  pay  to  each   Bank  or  the
          Administrative  Agent  for the  account  of  such  Bank,  at the  time
          interest is paid,  all additional  amounts which the  respective  Bank
          specifies as necessary to preserve the after-tax  yield the Bank would
          have received if such Taxes or Other Taxes had not been imposed.

     (d) Within 30 days after the date of any payment by the Company of Taxes or
Other Taxes, the Company shall furnish the Administrative  Agent the original or
a certified copy of a receipt evidencing  payment thereof,  or other evidence of
payment satisfactory to the Administrative Agent.

     (e) If the Company is required to pay additional amounts to any Bank or the
Administrative Agent pursuant to subsection (c) of this Section,  then such Bank
shall use reasonable efforts (consistent with legal and regulatory restrictions)
to change the  jurisdiction  of its Lending  Office so as to eliminate  any such
additional payment by the Company which may thereafter accrue, if such change in
the judgment of such Bank is not otherwise disadvantageous to such Bank.

     4.2. Illegality.

          (a) If any Bank determines that the introduction of any Requirement of
     Law, or any change in any Requirement of Law, or in the  interpretation  or
     administration of any Requirement of Law, has made it unlawful, or that any
     central  bank or  other  Governmental  Authority  has  asserted  that it is
     unlawful,  for any Bank or its applicable Lending Office to make LIBOR Rate
     Loans,  then,  on notice  thereof by the Bank to the  Company  through  the
     Administrative  Agent, any obligation of that Bank to make LIBOR Rate Loans
     shall be suspended until the Bank notifies the Administrative Agent and the
     Company that the circumstances  giving rise to such determination no longer
     exist.

          (b) If a Bank  determines  that it is unlawful  to maintain  any LIBOR
     Rate Loan, the Company  shall,  upon its receipt of notice of such fact and
     demand from such Bank (with a copy to the Administrative  Agent), prepay in
     full such  LIBOR Rate Loans of that Bank then  outstanding,  together  with
     interest  accrued thereon and amounts required under Section 4.4, either on
     the last  day of the  Interest  Period  thereof,  if the Bank may  lawfully
     continue to maintain such LIBOR Rate Loans to such day, or immediately,  if
     the Bank may not lawfully continue to maintain such LIBOR Rate Loan. If the
     Company is  required  to so prepay any LIBOR Rate Loan,  then  concurrently
     with such prepayment, the Company shall borrow from

                              Exhibit 4.1 - Page 58

<PAGE>

     the affected Bank, in the amount of such repayment, a Base Rate Loan.

          (c) Before  giving any notice to the  Administrative  Agent under this
     Section,  the affected Bank shall designate a different Lending Office with
     respect to its LIBOR Rate Loans if such designation will avoid the need for
     giving such  notice or making such demand and will not, in the  judgment of
     the Bank, be illegal or otherwise disadvantageous to the Bank.

     4.3. Increased Costs and Reduction of Return.

          (a) If any Bank  determines  that,  due to  either  (i) after the date
     hereof  the  introduction  of or any  change  (excluding  any change in the
     imposition  of or  increase  in reserve  requirements  or in respect of the
     assessment rate payable by any Bank to the FDIC for insuring U.S.  deposits
     but  including  any  change in the  imposition  of or  increase  in reserve
     requirements   applicable   to   eurocurrency   funding)   in  or  in   the
     interpretation of any law or regulation or (ii) the compliance by that Bank
     with any  guideline or request from any central bank or other  Governmental
     Authority  (whether or not having the force of law)  issued  after the date
     hereof, there shall be any increase in the cost to such Bank of agreeing to
     make or making,  funding or  maintaining  any LIBOR  Rate  Loans,  then the
     Company shall be liable for, and shall from time to time, upon demand (with
     a copy of such demand to be sent to the  Administrative  Agent), pay to the
     Administrative  Agent for the account of such Bank,  additional  amounts as
     are sufficient to compensate such Bank for such increased costs.

          (b) If any Bank shall have  determined  that after the date hereof (i)
     the introduction of any Capital Adequacy Regulation, (ii) any change in any
     Capital  Adequacy  Regulation,  (iii) any change in the  interpretation  or
     administration  of any Capital  Adequacy  Regulation by any central bank or
     other   Governmental   Authority   charged  with  the   interpretation   or
     administration  thereof,  or (iv)  compliance  by the Bank (or its  Lending
     Office)  or any  corporation  controlling  the Bank  with any such  Capital
     Adequacy Regulation, affects or would affect the amount of capital required
     or expected to be maintained by the Bank or any corporation controlling the
     Bank and  (taking  into  consideration  such  Bank's or such  corporation's
     policies with respect to capital adequacy and such Bank's return on capital
     but for  such  change)  determines  that  the  amount  of such  capital  is
     increased as a consequence of its Commitment, loans, credits or obligations
     under this Agreement, then, upon demand of such Bank to the Company through

                              Exhibit 4.1 - Page 59

<PAGE>

     the  Administrative  Agent, the Company shall pay to the Bank, from time to
     time as specified by the Bank,  additional amounts sufficient to compensate
     the Bank for such increase.

          (c) No Bank shall be entitled to claim  compensation  under subsection
     (a) above for any  period  occurring  more than 30 days  prior to the first
     date  such  Bank  has  given  notice  to  the  Company  of the  demand  for
     compensation  under such  subsection.  No Bank shall be  entitled  to claim
     compensation  under subsection (b) above for any period occurring more than
     60 days prior to the first date such Bank has given  notice to the  Company
     of the demand for compensation under such subsection.

     4.4.  Funding  Losses.  The Company shall reimburse each Bank and hold each
Bank  harmless from any loss or expense which the Bank may sustain or incur as a
consequence of:

          (a) the failure of the  Company to make on a timely  basis any payment
     of principal of any LIBOR Rate Loan;

          (b) the  failure  of the  Company  to  borrow,  continue  or convert a
     Committed  Loan after the  Company has given (or is deemed to have given) a
     Notice of Borrowing or a Notice of Conversion/Continuation;

          (c) the failure of the Company to make any prepayment of any Committed
     Loan in accordance with any notice delivered under Section 2.8;

          (d) the  prepayment  (including  pursuant  to Section 2.8 or) or other
     payment  (including after  acceleration  thereof) of any LIBOR Rate Loan or
     Bid Loan on a day that is not the last day of the relevant Interest Period;
     or

          (e) the automatic  conversion under Section 2.4 of any LIBOR Rate Loan
     to a Base  Rate  Loan on a day  that is not the  last  day of the  relevant
     Interest Period;

including any such loss or expense  arising from the liquidation or reemployment
of funds  obtained by it to maintain  its LIBOR Rate Loans from fees  payable to
terminate  the deposits  from which such funds were obtained but such loss shall
not  include  failure  to  receive  the  Applicable   Margin.  For  purposes  of
calculating  amounts  payable by the Company to the Banks under this Section and
under subsection  4.3(a),  each LIBOR Rate Loan made by a Bank (and each related
reserve, special deposit or similar requirement) shall be conclusively deemed to
have been funded at the LIBOR Rate for such

                              Exhibit 4.1 - Page 60

<PAGE>

LIBOR  Rate Loan by a  matching  deposit  or other  borrowing  in the  interbank
eurodollar market for a comparable amount and for a comparable  period,  whether
or not such LIBOR Rate Loan is in fact so funded.

     4.5. Inability to Determine Rates. If the Administrative  Agent determines,
after  consultation  with the Reference Banks,  that for any reason adequate and
reasonable  means do not exist for  determining the LIBOR Rate for any requested
Interest  Period with respect to a proposed  LIBOR Rate Loan,  or that the LIBOR
Rate  applicable  for any requested  Interest  Period with respect to a proposed
LIBOR Rate Loan does not  adequately and fairly reflect the cost to the Banks of
funding such Loan, the Administrative  Agent will promptly so notify the Company
and each Bank. Thereafter, the obligation of the Banks to make or maintain LIBOR
Rate  Loans,  as the  case  may be,  hereunder  shall  be  suspended  until  the
Administrative  Agent upon the  instruction  of the Majority  Banks revokes such
notice in  writing.  Upon  receipt of such  notice,  the  Company may revoke any
Notice of Borrowing or Notice of  Conversion/Continuation  then submitted by it.
If the Company  does not revoke such  Notice,  the Banks shall make,  convert or
continue  the  Committed  Loans,  as  proposed  by the  Company,  in the  amount
specified in the applicable notice submitted by the Company,  but such Committed
Loans shall be made, converted or continued as Base Rate Loans.

     4.6. Certificates of Banks. Any Bank claiming reimbursement or compensation
under  this  Article  IV  shall  deliver  to the  Company  (with  a copy  to the
Administrative  Agent) a  certificate  setting  forth in  reasonable  detail the
amount  payable to the Bank hereunder and such  certificate  shall be conclusive
and binding on the Company in the absence of manifest error.

     4.7.  Substitution of Banks.  Upon receiving notice that a Bank (a) has not
consented to an extension of the  Revolving  Credit B Loan under Section 2.9, or
(b) demands a claim for  compensation  under  Section  4.1 or 4.3 (an  "Affected
Bank"),  the Company may: (i) request the Affected  Bank to use its best efforts
to  obtain a  replacement  bank or  financial  institution  satisfactory  to the
Company to acquire  and  assume  all or a ratable  part of all of such  Affected
Bank's Loans and Commitments (a "Replacement Bank"); (ii) request one or more of
the other Banks to acquire and assume all or part of such Affected  Bank's Loans
and Commitments;  or (iii) designate a Replacement Bank. Any such designation of
a  Replacement  Bank  under  clause  (i) or (iii)  shall be subject to the prior
written  consent  of  the  Administrative  Agent  (which  consent  shall  not be
unreasonably withheld).

     4.8.  Survival.  The  agreements  and  obligations  of the  Company in this
Article IV shall survive the payment of all other Obligations.

                              Exhibit 4.1 - Page 61

<PAGE>

                                   ARTICLE V.

                              CONDITIONS PRECEDENT

     5.1.  Conditions of Initial Loans.  The obligation of each Bank to make its
initial  Committed  Loan  hereunder,  and to receive  through  the Bid Agent the
initial  Competitive  Bid Request,  and of the Issuing Bank to Issue the initial
Letters of Credit is subject to the condition that the Administrative  Agent has
received  on or  before  the  date  thereof  all of the  following,  in form and
substance  satisfactory  to the  Administrative  Agent  and  each  Bank,  and in
sufficient copies for each Bank:

          (a) Credit Agreement. This Agreement executed by each party thereto;

          (b) Guaranty. The Guaranty executed by each Restricted Subsidiary;

          (c) Resolutions; Incumbency.

               (i) Copies of the  resolutions  of the board of  directors of the
          Company and each Restricted  Subsidiary  authorizing the  transactions
          contemplated hereby, certified as of the Closing Date by the Secretary
          or an Assistant Secretary of such Person; and

               (ii) A certificate of the Secretary or Assistant Secretary of the
          Company,  and each  Restricted  Subsidiary  that may become party to a
          Loan Document certifying the names and true signatures of the officers
          of the Company or such  Restricted  Subsidiary  authorized to execute,
          deliver and perform, as applicable, this Agreement, and all other Loan
          Documents to be delivered by it hereunder;

          (d)  Organization  Documents;  Good  Standing.  Each of the  following
     documents:

               (i) the Organization Documents of the Company and each Restricted
          Subsidiary  party to a Loan Document as in effect on the Closing Date,
          certified by the  Secretary  or Assistant  Secretary of the Company or
          such Restricted Subsidiary as of the Closing Date; and

               (ii) a  good  standing  certificate  for  the  Company  and  each
          Restricted  Subsidiary  party to a Loan Document from the

                              Exhibit 4.1 - Page 62

<PAGE>

          Secretary of State (or similar,  applicable Governmental Authority) of
          its state of  incorporation  and each other state where the Company or
          such  Restricted  Subsidiary  is qualified to do business as a foreign
          corporation   as  of  a  recent  date,   together  with  a  bring-down
          certificate by facsimile, dated the Closing Date;

          (e) Legal Opinion. An opinion of McLachlan, Rissman & Doll, counsel to
     the  Company  and  the  Restricted   Subsidiaries   and  addressed  to  the
     Administrative Agent and the Banks, substantially in the form of Exhibit D;

          (f)  Indebtedness to be Repaid,  etc. The  Administrative  Agent shall
     have received pay-off letters or other evidence, reasonably satisfactory to
     the Administrative  Agent, that (a) all Indebtedness to be Repaid has been,
     or concurrently with the making of such Loan or the issuance of such Letter
     of  Credit  will  be,  paid in  full  and (b)  all  commitments  under  the
     agreements relating to such Indebtedness have been terminated;

          (g) Payment of Fees. Evidence of payment by the Company of all accrued
     and unpaid  fees,  costs and expenses to the extent then due and payable to
     the Banks and the Administrative  Agent on the Closing Date,  together with
     Attorney  Costs of Fleet to the extent  invoiced prior to or on the Closing
     Date;  including  without  limitation,  any such costs,  fees and  expenses
     arising under or referenced in Sections 2.12 and 11.4;

          (h) Certificate.  A certificate signed by a Responsible Officer, dated
     as of the Closing Date, stating that:

               (i) the  representations  and warranties  contained in Article VI
          are true and correct on and as of such date,  as though made on and as
          of such date;

               (ii) no Default or Event of Default  exists or would  result from
          the initial Borrowing; and

               (iii) there has occurred  since  December  31, 1999,  no event or
          circumstance  that has  resulted  or could  reasonably  be expected to
          result in a Material Adverse Effect; and

          (i) Other  Documents.  Such other  approvals,  opinions,  documents or
     materials as the Administrative Agent or any Bank may request.

                              Exhibit 4.1 - Page 63

<PAGE>

     5.2.  Conditions to All  Borrowings.  The obligation of the Issuing Bank to
Issue,  and the Banks to purchase  participations  in,  Letters of Credit and of
each  Bank to make any  Committed  Loan to be made by it,  or any Bid Loan as to
which the Company has accepted  the  relevant  Competitive  Bid  (including  its
initial Loan), or to continue or convert any Committed Loan under Section 2.4 is
subject  to  the  satisfaction  of the  following  conditions  precedent  on the
relevant Borrowing Date, Issuance Date or Conversion/Continuation Date:

          (a)  Notice  of  Borrowing  or  Conversion/Continuation.   As  to  any
     Committed Loan, the Administrative  Agent shall have received (with, in the
     case of the initial  Loan only, a copy for each Bank) a Notice of Borrowing
     or a Notice of Conversion/Continuation, as applicable;

          (b) Continuation of  Representations  and Warranties.  Other than with
     respect  to  any  continuation  or  conversion  of a  Committed  Loan,  the
     representations  and  warranties in Article VI shall be true and correct on
     and as of such  Borrowing  Date or Issuance Date with the same effect as if
     made on and as of such  Borrowing  Date or  Issuance  Date  (except  to the
     extent such  representations  and warranties  expressly refer to an earlier
     date,  in which  case they  shall be true and  correct  as of such  earlier
     date); and

          (c) No Existing Default. No Default or Event of Default shall exist or
     shall result from such Borrowing, Issuance or continuation or conversion.

The  delivery of each Notice of  Borrowing,  Notice of  Conversion/Continuation,
Competitive Bid Request, Invitation for Competitive Bid, L/C Application and L/C
Amendment Application to the Company hereunder shall constitute a representation
and  warranty  by the Company  hereunder,  as of the date of each such notice or
request and as of each Borrowing Date, Issuance Date or  Conversion/Continuation
Date, as applicable, that the conditions in Section 5.2 are satisfied.

                                   ARTICLE VI.

                         REPRESENTATIONS AND WARRANTIES

     The Company  represents and warrants to the  Administrative  Agent and each
Bank that:

     6.1.  Corporate  Existence  and Power.  Each of the Company and each of its
Subsidiaries:

                              Exhibit 4.1 - Page 64

<PAGE>

          (a) is a  corporation  duly  organized,  validly  existing and in good
     standing under the laws of the jurisdiction of its incorporation;

          (b)  has the  power  and  authority  and  all  governmental  licenses,
     authorizations,  consents  and  approvals  to own its assets,  carry on its
     business and to execute,  deliver,  and perform its  obligations  under the
     Loan Documents to which it is a party;

          (c) is duly qualified as a foreign  corporation and is licensed 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 or license; and

          (d) is in  compliance  with all  Requirements  of Law;  except  to the
     extent that the failure to do so could not reasonably be expected to have a
     Material Adverse Effect.

     6.2. Corporate Authorization; No Contravention. The execution, delivery and
performance by the Company and the Restricted Subsidiaries of this Agreement and
each  other  Loan  Document  to which  such  Person  is  party,  have  been duly
authorized by all necessary corporate action, and do not and will not:

          (a)  contravene  the  terms  of  any  of  such  Person's  Organization
     Documents;

          (b) conflict with or result in any breach or contravention  of, or the
     creation  of any  Lien  under,  any  document  evidencing  any  Contractual
     Obligation to which such Person is a party or any order,  injunction,  writ
     or  decree  of any  Governmental  Authority  to which  such  Person  or its
     property is subject; or

          (c) violate any Requirement of Law.

     6.3.  Governmental   Authorization.   No  approval,   consent,   exemption,
authorization,   or  other  action  by,  or  notice  to,  or  filing  with,  any
Governmental   Authority  is  necessary  or  required  in  connection  with  the
execution,  delivery or performance by, or enforcement  against,  the Company or
any of the Guarantors of this Agreement or any other Loan Document to which such
Person is a party.

     6.4.  Binding Effect.  This Agreement and each other Loan Document to which
the Company or any of the  Restricted  Subsidiaries  is a party  constitute  the
legal,  valid and binding  obligations  of the Company and any of its Restricted
Subsidiaries  to the  extent it is a party  thereto,

                              Exhibit 4.1 - Page 65

<PAGE>

enforceable  against  such Person in  accordance  with their  respective  terms,
except as enforceability may be limited by applicable bankruptcy, insolvency, or
similar laws  affecting the  enforcement  of creditors'  rights  generally or by
equitable principles relating to enforceability.

     6.5.  Litigation.  Except as specifically  disclosed in Schedule 6.5, there
are no actions, suits,  proceedings,  claims or disputes pending, or to the best
knowledge of the Company,  threatened  or  contemplated,  at law, in equity,  in
arbitration  or before any  Governmental  Authority,  against the Company or its
Restricted Subsidiaries or any of their respective properties which:

          (a) purport to adversely affect the legality, validity, binding effect
     or enforceability of this Agreement or any other Loan Document; or

          (b) would reasonably be expected to have a Material Adverse Effect. No
     injunction,  writ,  temporary  restraining order or any order of any nature
     has been issued by any court or other Governmental  Authority purporting to
     enjoin or restrain the execution, delivery or performance of this Agreement
     or any other Loan Document, or directing that the transactions provided for
     herein or therein not be consummated as herein or therein provided.

     6.6. No Default. No Default or Event of Default exists or would result from
the incurring of any Obligations by the Company. As of the Closing Date, neither
the Company nor any Restricted Subsidiary is in default under or with respect to
any Contractual  Obligation in any respect which,  individually or together with
all such  defaults,  could  reasonably  be expected  to have a Material  Adverse
Effect,  or that would,  if such  default had occurred  after the Closing  Date,
create an Event of Default under subsection 9.1(e).

     6.7. ERISA Compliance.

          (a) Except as specifically  disclosed in Schedule 6.7, each Plan is in
     compliance  in all material  respects  with the  applicable  provisions  of
     ERISA, the Code and other federal or state law. Each Plan which is intended
     to  qualify  under  Section  401(a) of the Code has  received  a  favorable
     determination letter from the IRS and to the best knowledge of the Company,
     nothing has occurred which would cause the loss of such qualification.

          (b) There are no pending,  or to the best  knowledge  of the  Company,
     threatened  claims,  actions  or  lawsuits,  or action by any

                              Exhibit 4.1 - Page 66

<PAGE>

     Governmental  Authority,  with  respect to any Plan which has  resulted  or
     could reasonably be expected to result in a Material Adverse Effect.  There
     has been no  prohibited  transaction  or other  violation of the  fiduciary
     responsibility  rule with respect to any Plan which could reasonably result
     in a Material Adverse Effect.

          (c) Except as  specifically  disclosed in Schedule 6.7, no ERISA Event
     has occurred or is reasonably expected to occur with respect to any Pension
     Plan.

          (d) Except as specifically  disclosed in Schedule 6.7, no Pension Plan
     has  any  Unfunded  Pension  Liability.   The  aggregate  Unfunded  Pension
     Liability for all Pension Plans does not exceed $10,000,000.

          (e) Except as specifically  disclosed in Schedule 6.7, the Company has
     not incurred,  nor does it reasonably  expect to incur, any liability under
     Title IV of ERISA with respect to any Pension Plan (other than premiums due
     and not delinquent under Section 4007 of ERISA).

          (f) Except as specifically  disclosed in Schedule 6.7, the Company has
     not transferred any Unfunded  Pension  Liability to any Person or otherwise
     engaged in a transaction that could be subject to Section 4069 of ERISA.

          (g) No trade or business of the Company or any  Restricted  Subsidiary
     (whether or not  incorporated  under common control with the Company within
     the meaning of Section  414(b),  (c), (m) or (o) of the Code)  maintains or
     contributes to any Pension Plan or other Plan subject to Section 412 of the
     Code.  As of the Closing  Date,  neither  the Company nor any Person  under
     common control with the Company (as defined in the preceding  sentence) has
     ever  contributed to any  multiemployer  plan within the meaning of Section
     4001(a)(3) of ERISA.

If at any time after the Closing  Date,  either the Company or any Person  under
common control with the Company (as defined in subsection (g) above) is required
to contribute to any multiemployer plan within the meaning of Section 4001(a)(3)
of ERISA,  then from and after such date,  the  representations  and  warranties
contained in this  Section 6.7 in respect of any such  multiemployer  plan,  are
made to the knowledge of the Company and, in so far as such  multiemployer  plan
is concerned, refer to the obligations of the Company or any Person under common
control with the Company with respect to such multiemployer plan.

                              Exhibit 4.1 - Page 67

<PAGE>

     6.8. Use of Proceeds; Margin Regulations.  The proceeds of the Loans are to
be used solely for the purposes  set forth in and  permitted by Section 7.12 and
Section 8.7. Neither the Company nor any Subsidiary is generally  engaged in the
business of  purchasing  or selling  Margin  Stock or  extending  credit for the
purpose of purchasing or carrying Margin Stock.

     6.9. Title to Properties.  The Company and its Restricted Subsidiaries have
sufficient  interest in their rail properties and assets to permit the operation
of a railroad over their rail lines. The Company and each Restricted  Subsidiary
have good  record and  marketable  title in fee  simple  to, or valid  leasehold
interests in, all other real property  necessary or used in the ordinary conduct
of their respective  businesses,  except for such defects in title as could not,
individually or in the aggregate, have a Material Adverse Effect. The properties
of the Company and its Restricted  Subsidiaries  are subject to no Liens,  other
than Permitted Liens.

     6.10.  Taxes. The Company and its  Subsidiaries  have filed all Federal and
other material tax returns and reports  required to be filed,  and have paid all
Federal  and other  material  taxes,  assessments,  fees and other  governmental
charges  levied  or  imposed  upon  them or their  properties,  income or assets
otherwise due and payable,  except those which are being contested in good faith
by appropriate proceedings and for which adequate reserves have been provided in
accordance with GAAP. There is no proposed tax assessment against the Company or
any Restricted  Subsidiary which could reasonably be expected to have a Material
Adverse Effect.

     6.11. Financial Condition.

          (a) The audited  consolidated  financial statements of the Company and
     its  Subsidiaries  dated  December 31, 1999,  and the related  consolidated
     statements of income or operations, stockholders' equity and cash flows for
     the fiscal year ended on that date and the unaudited consolidated financial
     statements of the Company and its Subsidiaries dated March 31, 2000 and the
     related consolidated  statements of income or operations and cash flows for
     the three month period ended on that date:

               (i) were prepared in accordance  with GAAP  consistently  applied
          throughout the period covered thereby,  except as otherwise  expressly
          noted therein;

               (ii) fairly  present the  financial  condition of the Company and
          its Subsidiaries as of the dates thereof and results of operations for
          the period covered thereby; and

                              Exhibit 4.1 - Page 68

<PAGE>

               (iii) except as specifically  disclosed in Schedule 6.11, show in
          such   financial   statements   or  the  notes  thereto  all  material
          indebtedness  and  other  liabilities,  direct or  contingent,  of the
          Company  and  its  Subsidiaries  as of  the  date  thereof,  including
          liabilities   for   taxes,   material   commitments   and   Contingent
          Obligations,  in each case to the extent  required by GAAP to be shown
          on such financial statements or notes thereto.

          (b)  Since  December  31,  1999,  there has been no  Material  Adverse
     Effect.

     6.12. Environmental Matters. The Company conducts in the ordinary course of
business  a review of the effect of  existing  Environmental  Laws and  existing
Environmental Claims on its business, operations and properties, and as a result
thereof  the Company  has  reasonably  concluded  that,  except as  specifically
disclosed in Schedule 6.12, such  Environmental  Laws and  Environmental  Claims
could not,  individually  or in the aggregate,  reasonably be expected to have a
Material Adverse Effect.

     6.13.  Regulated Entities.  None of the Company, any Person controlling the
Company, or any Subsidiary, is an "Investment Company" within the meaning of the
Investment  Company Act of 1940. The Company is not subject to regulation  under
the Public Utility Holding Company Act of 1935, the Federal Power Act, any state
public  utilities  code,  or any other  Federal or state  statute or  regulation
limiting its ability to incur Indebtedness.

     6.14. No Burdensome  Restrictions.  Neither the Company nor any  Restricted
Subsidiary is a party to or bound by any Contractual  Obligation,  or subject to
any restriction in any Organization  Document,  or any Requirement of Law, which
could  reasonably be expected to have a Material  Adverse  Effect.  After giving
effect to the  transactions  contemplated by this  Agreement,  as of the Closing
Date neither the Company nor any of its Restricted  Subsidiaries will be subject
to any agreement  restricting the ability of any Restricted  Subsidiary to make,
directly or  indirectly,  to the Company any  payment  described  in  subsection
8.8(b), except as specifically disclosed in Schedule 6.14.

     6.15. Copyrights, Patents, Trademarks and Licenses, etc. The Company or its
Restricted  Subsidiaries  own or are licensed or otherwise have the right to use
all  of  the  patents,  trademarks,  service  marks,  trade  names,  copyrights,
contractual  franchises,  authorizations  and other  rights that are  reasonably
necessary for the operation of their  respective  businesses,  without  conflict
with the rights of any other Person. To the best knowledge of the

                              Exhibit 4.1 - Page 69

<PAGE>

Company,  no slogan  or other  advertising  device,  product,  process,  method,
substance,  part or other  material  now  employed,  or now  contemplated  to be
employed,  by the Company or any Restricted Subsidiary infringes upon any rights
held by any other Person. No claim or litigation  regarding any of the foregoing
is  pending  or  threatened,  and no  patent,  invention,  device,  application,
principle or any statute, law, rule, regulation, standard or code is pending or,
to the  knowledge  of the  Company,  proposed,  which,  in  either  case,  could
reasonably be expected to have a Material Adverse Effect.

     6.16. Subsidiaries. As of the Closing Date, the Company has no Subsidiaries
other than those specifically  disclosed in part (a) of Schedule 6.16 hereto and
has no equity  investments  in any other  corporation or entity other than those
specifically disclosed in part (b) of Schedule 6.16.

     6.17.  Insurance.  Except as  specifically  disclosed in Schedule 6.17, the
properties  of the Company and its  Subsidiaries  are insured  with  financially
sound and reputable  insurance companies that are not Affiliates of the Company,
in  such  amounts,  with  such  deductibles  and  covering  such  risks  as  are
customarily  carried  by  companies  engaged in  similar  businesses  and owning
similar properties in localities where the Company or such Subsidiary operates.

     6.18. Full Disclosure.  None of the  representations  or warranties made by
the  Company  or any  Guarantor  in the  Loan  Documents  as of  the  date  such
representations  and  warranties  are  made  or  deemed  made,  and  none of the
statements contained in any exhibit,  report, statement or certificate furnished
by or on behalf of the  Company or any  Guarantor  in  connection  with the Loan
Documents  (including the offering and disclosure  materials  delivered by or on
behalf of the  Company to the Banks  prior to the Closing  Date),  contains  any
untrue  statement of a material  fact or omits any material  fact required to be
stated therein or necessary to make the statements made therein, in light of the
circumstances under which they are made, not misleading as of the time when made
or delivered.

     6.19.  Labor  Controversies.  There are no labor  controversies  pending or
threatened  against  the  Company  or  any  Restricted  Subsidiary  which  would
reasonably be expected to have a Material Adverse Effect.

                                  ARTICLE VII.

                              AFFIRMATIVE COVENANTS

     So long as any Bank shall  have any  Revolver A  Commitment  or  Revolver B
Commitment hereunder, or any Loan or other Obligation shall

                              Exhibit 4.1 - Page 70

<PAGE>

remain unpaid or unsatisfied  or any Letter of Credit shall remain  outstanding,
unless the Majority Banks waive compliance in writing:

     7.1. Financial Statements.  The Company shall deliver to the Administrative
Agent and each Bank in form and detail satisfactory to the Administrative  Agent
and the Majority Banks:

          (a) as soon as available, but not later than 105 days after the end of
     each fiscal year (commencing with the fiscal year ended December 31, 2000),
     a copy of the  audited  consolidated  balance  sheet of the Company and its
     Restricted  Subsidiaries  as at the  end  of  such  year  and  the  related
     consolidated  statements of income or operations,  stockholders' equity and
     cash flows for such year,  setting forth in each case in  comparative  form
     the figures for the previous fiscal year, and accompanied by the opinion of
     a  nationally-recognized  independent  public accounting firm ("Independent
     Auditor")  which  report  shall  state  that  such  consolidated  financial
     statements  present fairly the financial position for the periods indicated
     in  conformity  with GAAP applied on a basis  consistent  with prior years.
     Such opinion  shall not be  qualified  as to going  concern or qualified or
     limited  because of a restricted or limited  examination by the Independent
     Auditor  of any  material  portion  of  the  Company's  or  any  Restricted
     Subsidiary's records;

          (b) as soon as available,  but not later than 45 days after the end of
     each of the first three  fiscal  quarters  of each fiscal year  (commencing
     with the fiscal  quarter  ended  June 30,  2000),  a copy of the  unaudited
     consolidated  balance sheet of the Company and its Restricted  Subsidiaries
     as of the end of such quarter and the related  consolidated  statements  of
     income and cash flows for the period commencing on the first day and ending
     on the last day of such quarter,  and certified by a Responsible Officer as
     fairly presenting, in accordance with GAAP (subject to ordinary, good faith
     year-end  audit  adjustments),  the  financial  position and the results of
     operations of the Company and the Subsidiaries; and

          (c) as soon as available, but not later than 105 days after the end of
     each fiscal year (commencing with the fiscal year ended December 31, 2000),
     a copy of an unaudited  consolidating  balance sheet of the Company and its
     Restricted  Subsidiaries  as at the  end  of  such  year  and  the  related
     consolidating statement of income for such year, certified by a Responsible
     Officer  as  having  been  developed  and  used  in  connection   with  the
     preparation of the financial statements referred to in subsection 7.1(a).

                              Exhibit 4.1 - Page 71

<PAGE>

     7.2.  Certificates;  Other  Information.  The Company  shall furnish to the
Administrative Agent and each Bank:

          (a)  concurrently  with  the  delivery  of  the  financial  statements
     referred  to in  subsections  7.1(a)  and  (b),  a  Compliance  Certificate
     executed  by a  Responsible  Officer  together  with a  quarterly  schedule
     prepared by the Company setting forth the amortization,  depreciation, cash
     taxes and the capital expenditures for each Subsidiary;

          (b) promptly,  copies of all financial statements and reports that the
     Company sends to its shareholders,  and copies of all financial  statements
     and regular,  periodic or special reports (including Forms 10K, 10Q and 8K)
     that the Company or any Subsidiary may make to, or file with, the SEC; and

          (c)  promptly,  such  additional  information  regarding the business,
     financial or corporate affairs of the Company or any Subsidiary as any Bank
     may from time to time request.

     7.3. Notices.  The Company shall notify the  Administrative  Agent and each
Bank:

          (a) promptly of the occurrence of any Default or Event of Default, and
     of  the  occurrence  or  existence  of  any  event  or  circumstance   that
     foreseeably will become a Default or Event of Default;

          (b)  promptly  of any  matter  that has  resulted  or may  result in a
     Material Adverse Effect, including the following which have resulted or may
     result in a Material Adverse Effect: (i) breach or  non-performance  of, or
     any  default  under,  a  Contractual  Obligation  of  the  Company  or  any
     Restricted  Subsidiary;  (ii)  any  dispute,   litigation,   investigation,
     proceeding or suspension  between the Company or any Restricted  Subsidiary
     and any  Governmental  Authority;  or (iii)  the  commencement  of,  or any
     material development in, any litigation or proceeding affecting the Company
     or  any  Restricted   Subsidiary   including  pursuant  to  any  applicable
     Environmental Laws;

          (c) promptly of any of the  following  events  affecting  the Company,
     together  with a copy of any notice with  respect to such event that may be
     required to be filed with a Governmental Authority and any notice delivered
     by a Governmental Authority to the Company with respect to such event:

               (i) an ERISA Event;

                              Exhibit 4.1 - Page 72

<PAGE>

               (ii) if any of the  representations and warranties in Section 6.7
          ceases to be true and correct;

               (iii) the  adoption of any new Pension Plan or other Plan subject
          to Section 412 of the Code or the Company or any Restricted Subsidiary
          becomes liable to make contributions to any multiemployer plan;

               (iv) the  adoption of any  amendment  to a Pension  Plan or other
          Plan subject to Section 412 of the Code, if such amendment  results in
          a material increase in contributions or Unfunded Pension Liability; or

               (v) the  commencement  of  contributions  to any Pension  Plan or
          other Plan subject to Section 412 of the Code;

          (d)  promptly  of  any  material  change  in  accounting  policies  or
     financial  reporting  practices  by the Company or any of its  consolidated
     Subsidiaries;

          (e)  within  three  Business  Days  of  any  announcement,  change  or
     withdrawal of S&P's or Moody's rating of the Company's senior debt;

     Each notice under this Section shall be accompanied by a written  statement
by a Responsible  Officer  setting forth details of the  occurrence  referred to
therein, and stating what action (if any) the Company or any affected Subsidiary
proposes  to take with  respect  thereto  and at what time.  Each  notice  under
subsection  7.3(a)  shall  describe  with  particularity  any and all clauses or
provisions  of this  Agreement  or  other  Loan  Document  that  have  been  (or
foreseeably will be) breached or violated.

     7.4. Preservation of Corporate Existence, Etc. The Company shall, and shall
cause each Restricted Subsidiary to:

          (a)  preserve  and  maintain  in full force and  effect its  corporate
     existence and good standing under the laws of its state or  jurisdiction of
     incorporation subject to mergers permitted by Section 8.3;

          (b) preserve  and  maintain in full force and effect all  governmental
     rights,  privileges,  qualifications,   permits,  licenses  and  franchises
     necessary  or desirable  in the normal  conduct of its  business  except in
     connection with  transactions  permitted by Section 8.3 and sales of assets
     permitted by Section 8.2;

                              Exhibit 4.1 - Page 73

<PAGE>

          (c) use reasonable  efforts,  in the ordinary  course of business,  to
     preserve its business organization and goodwill; and

          (d) preserve or renew all of its registered patents, trademarks, trade
     names and service marks, the  non-preservation of which could reasonably be
     expected to have a Material Adverse Effect.

     7.5. Maintenance of Property.  The Company shall maintain,  and shall cause
each Restricted  Subsidiary to maintain,  and preserve all its property which is
used or useful in its business in good  working  order and  condition,  ordinary
wear and tear excepted and make all necessary  repairs  thereto and renewals and
replacements  thereof,  except in each case  where the  failure  to do so in the
aggregate with all other such instances could not reasonably be expected to have
a Material Adverse Effect. The Company and each Restricted  Subsidiary shall use
the standard of care typical in the industry in the operation and maintenance of
its facilities.

     7.6. Insurance. The Company shall maintain, and shall cause each Restricted
Subsidiary  to  maintain,  with  financially  sound  and  reputable  independent
insurers,  insurance with respect to its properties and business against loss or
damage of the kinds  customarily  insured against by Persons engaged in the same
or  similar  business,  of such  types and in such  amounts  as are  customarily
carried under similar circumstances by such other Persons.

     7.7.  Payment of  Obligations.  The  Company  shall,  and shall  cause each
Subsidiary  to, pay and discharge as the same shall become due and payable,  all
their respective obligations and liabilities, including:

          (a) all tax  liabilities,  assessments  and  governmental  charges  or
     levies  upon it or its  properties  or  assets,  unless  the same are being
     contested in good faith by appropriate proceedings and adequate reserves in
     accordance  with  GAAP  are  being   maintained  by  the  Company  or  such
     Subsidiary;

          (b) all lawful  claims  which,  if unpaid,  would by law become a Lien
     upon its property; and

          (c) all indebtedness,  as and when due and payable, but subject to any
     subordination   provisions   contained  in  any   instrument  or  agreement
     evidencing such Indebtedness.

     7.8.  Compliance with Laws. The Company shall comply,  and shall cause each
Subsidiary to comply,  in all material  respects with all Requirements of Law of
any Governmental  Authority having jurisdiction over

                              Exhibit 4.1 - Page 74

<PAGE>

it or its business, except such as may be contested in good faith or as to which
a bona fide dispute may exist.

     7.9.  Inspection  of Property  and Books and  Records.  The  Company  shall
maintain and shall cause each Restricted  Subsidiary to maintain proper books of
record and account,  in which full,  true and correct entries in conformity with
GAAP  consistently  applied  shall  be made of all  financial  transactions  and
matters  involving  the assets and business of the Company and such  Subsidiary.
The Company shall permit, and shall cause each Restricted  Subsidiary to permit,
representatives and independent  contractors of the Administrative  Agent or any
Bank (including Fleet in its capacity as a Bank) to (a) visit and inspect any of
their respective  properties  accompanied by an agent or employee of the Company
or such  Restricted  Subsidiary,  (b) to  examine  their  respective  corporate,
financial  and  operating  records,  and (c) make  copies  thereof or  abstracts
therefrom,  and to discuss their respective affairs,  finances and accounts with
their respective directors, officers, and independent public accountants, all at
the expense of the Company and at such  reasonable  times during normal business
hours and without  interfering  in the Company or such  Restricted  Subsidiary's
normal  business  operations  and as often as may be  reasonably  desired,  upon
reasonable advance notice to the Company;  provided,  however,  when an Event of
Default  exists the  Administrative  Agent or any Bank  (including  Fleet in its
capacity as a Bank) may do any of the foregoing at the expense of the Company at
any time during normal business hours and without advance notice.

     7.10.  Reporting  of Senior Debt  Rating.  On an annual basis and within 45
days after receipt, the Company will provide evidence of its current Senior Debt
Rating to the  Administrative  Agent and all  Banks;  it being  agreed  that any
rating of a rating  agency  for  which  the  Company  does not so  provide  such
evidence,  and for which the Administrative Agent and the Banks do not otherwise
have  evidence of a current  rating of the Company's  senior debt,  shall not be
considered  in  determining  the  applicable  Pricing  Level (in which  case the
Pricing Level shall be  determined  based on the rating of the rating agency for
which the  Company  did provide  such  evidence or for which the  Administrative
Agent and the Banks do have such evidence).

Further,  the Company  shall  promptly  notify the  Administrative  Agent of any
change in or withdrawal  of the  Company's  Senior Debt Rating by Moody's or S&P
when the Company becomes aware of any such change or withdrawal.

     7.11.   Environmental  Laws.  The  Company  shall,  and  shall  cause  each
Subsidiary  to,  conduct its  operations  and keep and  maintain its property in
compliance in all material respects with all Environmental Laws.

                              Exhibit 4.1 - Page 75

<PAGE>

     7.12. Use of Proceeds.  The Company shall use the proceeds of the Loans (a)
for working capital and other general corporate purposes not in contravention of
any   Requirement  of  Law  or  of  any  Loan  Document  and  (b)  to  refinance
Indebtedness, including, without limitation, Indebtedness to be Repaid.

     7.13. Additional Subsidiaries;  Guaranty. Within twenty Business Days after
the  acquisition  or creation of any  Subsidiary not owned by the Company on the
Closing Date the Company shall give the  Administrative  Agent written notice of
such acquisition or creation indicating whether or not such Subsidiary initially
will be a Restricted  Subsidiary  or  Unrestricted  Subsidiary  and, if any such
Subsidiary will initially be a Restricted Subsidiary, the Company,  concurrently
with  such  notice,  shall  cause  such  Subsidiary  to  execute  and  deliver a
counterpart  of the  Guaranty.  At any  time  the  Company  wishes  to  cause an
Unrestricted  Subsidiary  that has not already been a Restricted  Subsidiary  to
become a Restricted  Subsidiary,  the Company  shall  notify the  Administrative
Agent and cause such  Subsidiary  to execute  and deliver a  counterpart  to the
Guaranty.  At any time the Company wishes to cause a Restricted  Subsidiary that
has not already been an Unrestricted Subsidiary to be a Unrestricted Subsidiary,
the Company  shall notify the  Administrative  Agent and subject to and upon the
satisfaction  of the  conditions  set  forth  in the  definition  of  Restricted
Subsidiary  such  Subsidiary  shall become an  Unrestricted  Subsidiary  and any
Guaranty by such Subsidiary shall be released.

                                  ARTICLE VIII.

                               NEGATIVE COVENANTS

     So long as any Bank shall  have any  Revolver A  Commitment  or  Revolver B
Commitment  hereunder,  or any Loan or other  Obligation  shall remain unpaid or
unsatisfied  or any  Letter of  Credit  shall  remain  outstanding,  unless  the
Majority Banks waive compliance in writing:

     8.1.  Limitation  on Liens.  The Company shall not, and shall not suffer or
permit any Restricted  Subsidiary  to,  directly or  indirectly,  make,  create,
incur,  assume or suffer to exist any Lien upon or with  respect  to any part of
its property,  whether now owned or hereafter acquired, other than the following
("Permitted Liens"):

          (a) any Lien created under any Loan Document;

          (b) Liens for taxes, fees,  assessments or other governmental  charges
     which are not  delinquent  or remain  payable  without  penalty,  or to the
     extent that non-payment thereof is permitted by Section 7.7,

                              Exhibit 4.1 - Page 76

<PAGE>

     provided that no notice of lien has been filed or recorded under the Code;

          (c) carriers', warehousemen's,  mechanics', landlords', materialmen's,
     repairmen's  or other  similar  Liens  arising  in the  ordinary  course of
     business  which are not  delinquent or remain  payable  without  penalty or
     which are being  contested  in good faith and by  appropriate  proceedings,
     which  proceedings  have the effect of preventing the forfeiture or sale of
     the property subject thereto;

          (d) Liens (other than any Lien imposed by ERISA) consisting of pledges
     or deposits  required in the ordinary course of business in connection with
     workers'  compensation,  unemployment  insurance and other social  security
     legislation;

          (e) Liens on the property of the Company or any Restricted  Subsidiary
     securing (i) the non-delinquent performance of bids, trade contracts (other
     than for borrowed money), leases and statutory obligations, (ii) contingent
     obligations  on surety and appeal  bonds,  and (iii)  other  non-delinquent
     obligations of a like nature; in each case, incurred in the ordinary course
     of business,  provided all such Liens in the  aggregate  would not (even if
     enforced) cause a Material Adverse Effect;

          (f)  Liens  consisting  of  judgment  or  judicial  attachment  liens,
     provided that the  enforcement  of such Liens does not remain  unstayed for
     more than 30 consecutive days;

          (g) a Lien arising by virtue of any easement,  lease,  reservation  or
     other  right of others in any  property  of the  Company or any  Restricted
     Subsidiary  for streets,  roads,  bridges,  pipes,  pipe lines,  railroads,
     electric  transmission and  distribution  lines,  telegraph,  telephone and
     other communication  lines, the removal of oil, gas, coal or other minerals
     and other similar  purposes,  flood rights,  river control and  development
     rights,  sewage and drainage  rights,  restrictions  against  pollution and
     zoning laws and minor defects and  irregularities in the record evidence of
     title,  provided  that  such  easements,  leases,   reservations,   rights,
     restrictions,  laws, defects and irregularities do not materially adversely
     affect  the  marketability  of  title  to such  property  and do not in the
     aggregate  materially  impair  the use or  value of such  property  for the
     purposes   for  which  it  is  held  by  the  Company  or  its   Restricted
     Subsidiaries;

          (h) a Lien  arising  under (i) any lease  existing on the date of this
     Agreement, and (ii) any lease entered into by the Company or any

                              Exhibit 4.1 - Page 77

<PAGE>

     Restricted Subsidiary in the ordinary course of business with a term of not
     more than five years (including any extensions or renewals);

          (i) a Lien existing on any asset prior to the  acquisition  thereof by
     the  Company  or any  Restricted  Subsidiary  but only if such Lien was not
     created in contemplation  thereof and such Lien is and will remain confined
     to the property  subject to it at the time such property is acquired and to
     improvements  thereafter  erected on or attached to such  property  and any
     Lien  constituting a renewal,  extension or replacement of a Lien permitted
     by this  subsection  (i),  but  only,  in the  case of each  such  renewal,
     extension or replacement  Lien, to the extent that the principal  amount of
     indebtedness  secured by such Lien does not exceed the principal  amount of
     such  indebtedness  so  secured  at the time of the  extension,  renewal or
     replacement,  and that  such  renewal,  extension  or  replacement  Lien is
     limited to all or part of the  property  that  secured  the Lien  extended,
     renewed or replaced and to  improvements  then or thereafter  erected on or
     attached to such property;

          (j) security interests on any property acquired or held by the Company
     or any Restricted  Subsidiary in the ordinary course of business,  securing
     Indebtedness  incurred or assumed for the purpose of  financing  all or any
     part of the cost of acquiring  such  property;  provided  that (i) any such
     Lien attaches to such property  concurrently  with or within 180 days after
     the acquisition thereof,  (ii) such Lien attaches solely to the property so
     acquired in such  transaction,  and (iii) the principal  amount of the debt
     secured thereby does not exceed 100% of the cost of such property;

          (k) a Lien  constituting  rights  of a  licensor  of  patents  or of a
     licensee thereof in the ordinary course of business;

          (l) a Lien upon  lands  over  which  easements  or  rights-of-way  are
     acquired  by  the  Company  or any  Restricted  Subsidiary  for  any of the
     purposes  specified in subsection (g) above,  which Liens do not materially
     impair the use of such  easements  or  rights-of-way  for the  purposes for
     which they are held by the Company or its Restricted Subsidiaries;

          (m) any Lien or privilege vested in any lessor,  licensor or permittor
     for rent to become due or for other  obligations  or acts to be  performed,
     the payment of which rent or the performance of which other  obligations or
     acts is required under leases (including under leases arising in connection
     with dispositions permitted by subsection 8.2(d)),  subleases,  licenses or
     permits, so long as the payment of such

                              Exhibit 4.1 - Page 78

<PAGE>

     rent or the performance of such other obligations or acts is not delinquent
     or,  if  delinquent,  is  being  contested  in good  faith  by  appropriate
     proceedings  which  operate  to  prevent  the  collection  of such  rent or
     enforcement of the performance of such other obligations;

          (n) any  Lien or  privilege  of any  employee  of the  Company  or its
     Restricted Subsidiaries for salary or wages earned but not yet payable;

          (o) any Lien  arising by virtue of the burdens of any  Requirement  of
     Law requiring the Company or any Restricted  Subsidiary to maintain certain
     facilities  or perform  certain acts as a condition of its  occupancy or of
     interference  with any  public  lands or any river or  stream or  navigable
     waters;

          (p) any Lien  constituting  a right  reserved  to, or vested  in,  any
     municipality  or  governmental  or other  public  authority  to  control or
     regulate any property of the Company or any  Restricted  Subsidiary,  or to
     use such property in any manner, which right does not materially impair the
     use of such  property  for the purposes for which it is held by the Company
     or its Restricted Subsidiaries;

          (q)  any  Lien  for the  payment  or  discharge  of  which  provisions
     satisfactory to the Administrative Agent have been made;

          (r) any Lien  constituting  an  interest  of a third party in property
     owned jointly or in common with the Company or any Restricted Subsidiary;

          (s) any Lien listed on Schedule 8.1 hereto;

          (t) Liens  securing  Indebtedness  permitted  pursuant  to  subsection
     8.5(d)  or  subsection  8.5(e)  in each case on the  property  improved  or
     acquired  under  the  project  pursuant  to  which  such  Indebtedness  was
     incurred;

          (u) Liens  arising  solely by virtue of any  statutory  or common  law
     provision  relating to banker's liens,  rights of set-off or similar rights
     and  remedies  as to deposit  accounts  or other  funds  maintained  with a
     creditor depository institution;  provided that (i) such deposit account is
     not a dedicated cash collateral  account and is not subject to restrictions
     against  access by the Company in excess of those set forth by  regulations
     promulgated  by the FRB, and (ii) such  deposit  account is not intended by
     the  Company or any  Restricted  Subsidiary  to provide  collateral  to the
     depository institution;

                              Exhibit 4.1 - Page 79

<PAGE>

          (v)  rights of  lessors  and their  assigns  under  leases  arising in
     connection with  dispositions  permitted by subsection 8.2(d) and rights of
     lessors and their  assigns  under  similar  leases in effect on the Closing
     Date;

          (w)  Liens on trade  receivables  that are the  subject  of  Permitted
     Receivables  Securitization  incurred  in  connection  with such  Permitted
     Receivables Securitization; and

          (x) other Liens  securing  obligations  not in excess of $1,000,000 in
     principal amount at any one time outstanding in the aggregate.

     8.2.  Disposition of Assets. The Company shall not, and shall not suffer or
permit any Restricted  Subsidiary  to,  directly or  indirectly,  sell,  assign,
lease,  convey,  transfer or otherwise dispose of (whether in one or a series of
transactions) any property  (including  accounts and notes  receivable,  with or
without  recourse)  or enter  into  any  agreement  to do any of the  foregoing,
except:

          (a)  dispositions  of  inventory,  or used,  worn-out or surplus rail,
     ballast,  track  components  and equipment,  all in the ordinary  course of
     business;

          (b) the  sale of  equipment  to the  extent  that  such  equipment  is
     exchanged  for credit  against the  purchase  price of similar  replacement
     equipment,  or the proceeds of such sale are reasonably promptly applied to
     the purchase price of such replacement equipment;

          (c)  dispositions  of  inventory  or  equipment  by the Company or any
     Restricted  Subsidiary to the Company or any Restricted Subsidiary pursuant
     to reasonable  business  requirements  (provided  that Required  Restricted
     Subsidiaries may not transfer any material amounts of property  pursuant to
     this subsection 8.2(c) to any Person other than another Required Restricted
     Subsidiary);

          (d) any sale of equipment  made for fair market  value;  provided that
     (i) at the time of sale,  a Default or an Event of Default  shall not exist
     or result from such  disposition,  (ii) the aggregate sales price from such
     sale  shall  be paid  in  cash,  and  (iii)  the  Company  or a  Restricted
     Subsidiary or, if there is a tangible economic benefit for the Company as a
     result of doing so, an Unrestricted  Subsidiary,  leases such property from
     the new owner  immediately after such sale and such lease has a term of not
     less than five years;

                              Exhibit 4.1 - Page 80

<PAGE>

          (e) dispositions of up to $70,000,000  trade  receivables  pursuant to
     Permitted Receivables Securitizations; and

          (f) dispositions of real and personal property not otherwise permitted
     hereunder  (other  than  any  trade  receivables  securitization  or  other
     dispositions of trade  receivables),  the  permissibility of which shall be
     considered  under  subsection  8.2(e) which are made for fair market value;
     provided that (i) at the time of any disposition,  a Default or an Event of
     Default shall not exist or result from such disposition, (ii) the aggregate
     sales  price  from such  disposition  shall be paid in cash,  and (iii) the
     aggregate  book  value of all assets  disposed  of by the  Company  and its
     Restricted  Subsidiaries  pursuant to such  dispositions  since the Closing
     Date may not exceed 20% of Net Tangible Assets owned by the Company and its
     Restricted  Subsidiaries  as of the end of the most  recently  ended fiscal
     quarter;  provided  that to the  extent  the net  proceeds  from  any  such
     disposition are reinvested  within 180 days of the disposition  giving rise
     thereto in similar  assets of equivalent  value  acquired by the Company or
     any Restricted Subsidiary the value of such disposed of assets shall not be
     included in the calculation contained in clause (iii) next above.

     8.3.  Consolidations  and  Mergers.  The Company  shall not,  and shall not
suffer or permit any Restricted Subsidiary to, merge,  consolidate with or into,
or convey,  transfer,  lease or otherwise dispose of (whether in one transaction
or in a series of transactions)  all or substantially all of its assets (whether
now owned or hereafter acquired) to or in favor of any Person, except:

          (a) any  Restricted  Subsidiary  may merge with the Company,  provided
     that the Company shall be the continuing or surviving corporation,  or with
     any one or more Restricted  Subsidiaries,  provided that if any transaction
     shall be between a Subsidiary  that is not a Wholly-Owned  Subsidiary and a
     Wholly-Owned Restricted Subsidiary,  the Wholly-Owned Restricted Subsidiary
     shall be the continuing or surviving corporation;

          (b) any Restricted Subsidiary may sell all or substantially all of its
     assets (upon voluntary liquidation or otherwise), to the Company or another
     Wholly-Owned Restricted Subsidiary; and

          (c) the Company or any Restricted  Subsidiary may merge with any other
     corporation,  provided that (i) the Company or such Restricted  Subsidiary,
     as  applicable,  is the  continuing or surviving  corporation,  and (ii) no
     Default exists prior to or after giving effect to such merger.

                              Exhibit 4.1 - Page 81

<PAGE>

     8.4. Loans and Investments.  The Company shall not purchase or acquire,  or
suffer or permit any Restricted  Subsidiary to purchase or acquire,  or make any
commitment therefor,  any capital stock, equity interest,  or any obligations or
other  securities of, or any interest in, any Person,  or make or commit to make
any  Acquisitions,  or make or commit to make any  advance,  loan,  extension of
credit  or  capital  contribution  to or any other  investment  in,  any  Person
including any Affiliate of the Company, except for:

          (a)  investments  in  cash   equivalents  and  short-term   marketable
     securities;

          (b) extensions of credit in the nature of accounts receivable or notes
     receivable  arising  from the sale or  lease  of goods or  services  in the
     ordinary course of business;

          (c) investments by the Company in any of its  Wholly-Owned  Restricted
     Subsidiaries  or by any  of its  Wholly-Owned  Restricted  Subsidiaries  in
     another Wholly-Owned Restricted Subsidiary;

          (d) investments incurred in order to consummate Acquisitions otherwise
     permitted  herein,  provided that (i) such  Acquisitions  are undertaken in
     accordance  with all  applicable  Requirements  of Law; and (ii) the prior,
     effective consent or approval to such Acquisition of the board of directors
     or  equivalent  governing  body of the acquiree is obtained  and  provided,
     further that the  permissibility of investments to consummate  Acquisitions
     of Unrestricted Subsidiaries shall be considered under subsection 8.4(f);

          (e)  investments  existing  on the  Closing  Date  listed on  Schedule
     8.4(e);

          (f) investments in or loans to  Unrestricted  Subsidiaries or in other
     Persons not specifically  permitted by subsection 8.4(a) through subsection
     8.4(e) above;

provided that no investment permitted pursuant to subsections 8.4(d) and (f) may
be made if before or after  giving  effect to any such  investment  a Default or
Event of Default  shall exist and provided  that with respect to any  investment
under subsection (f) above in excess of $25,000,000, the Company shall deliver a
pro forma Compliance Certificate showing compliance with Sections 8.13, 8.14 and
8.15 taking into account such proposed investment; and

          (g) Swap Contracts  entered into in the ordinary course of business to
     hedge interest rate, currency exchange and fuel price risk.

                              Exhibit 4.1 - Page 82

<PAGE>

     8.5.  Limitation  on  Indebtedness.  The Company  shall not,  and shall not
suffer or permit any Restricted  Subsidiary to, create, incur, assume, suffer to
exist, or otherwise become or remain directly or indirectly  liable with respect
to, any Indebtedness, except:

          (a) Indebtedness incurred pursuant to this Agreement;

          (b)  Indebtedness   consisting  of  Contingent  Obligations  permitted
     pursuant to Section 8.9;

          (c) Indebtedness owing to any Governmental Authority or any Person who
     ships goods over the Company's or any Restricted Subsidiary's rail lines or
     related assets which was incurred in connection with any project to improve
     the Company's or any Restricted  Subsidiary's  rail lines or related assets
     not to exceed $50,000,000 in the aggregate at any one time outstanding;

          (d) Indebtedness  secured by Liens permitted by subsection  8.1(i) (if
     the  Company or any  Restricted  Subsidiary  has  personal  liability  with
     respect thereto) and subsection  8.1(j),  Indebtedness under Capital Leases
     and  Indebtedness  of the type permitted  pursuant to subsection  8.5(c) in
     addition to the amount  permitted by such subsection in an aggregate amount
     outstanding  for all such types of  Indebtedness  not  exceeding 15% of Net
     Tangible Assets  (excluding for the purpose of this  subsection  8.5(d) all
     assets which are subject to Indebtedness permitted by Subsection 8.5(g));

          (e) Indebtedness of Restricted Subsidiaries to the Company;

          (f) unsecured  Indebtedness of the Company provided that no Default or
     Event of Default  exists at the time of or would result from the incurrence
     of such Indebtedness;

          (g)  Indebtedness  secured by Liens permitted by subsection  8.1(i) if
     neither  the  Company  nor  any  Restricted  Subsidiary  has  any  personal
     liability with respect thereto; and

          (h) Permitted Receivables Securitizations.

     8.6.  Transactions  with  Affiliates.  The Company shall not, and shall not
permit  any  Subsidiary  to,  enter  into or suffer  to exist  any  transaction,
arrangement   or  contract  with  any  Affiliate  of  the  Company  (other  than
transactions  between  the  Company  and  any  Restricted   Subsidiary  and  any
Restricted Subsidiary and any other Restricted Subsidiary), except upon fair and
reasonable terms no less favorable to the

                              Exhibit 4.1 - Page 83

<PAGE>

Company  or  such  Restricted  Subsidiary  than  would  obtain  in a  comparable
arm's-length  transaction  with a Person not an Affiliate of the Company or such
Restricted Subsidiary.

     8.7. Use of Proceeds. The Company shall not, and shall not suffer or permit
any Subsidiary to, use any portion of the Loan proceeds, directly or indirectly,
(a) to purchase  or carry  Margin  Stock,  (b) to repay or  otherwise  refinance
indebtedness  of the Company or others  incurred  to  purchase  or carry  Margin
Stock, (c) to extend credit for the purpose of purchasing or carrying any Margin
Stock, (d) to acquire any security in any transaction that is subject to Section
13 or 14 of the  Exchange  Act,  or (e) to acquire  any  security or assets of a
Person if such Person or its board of directors has (i)  announced  that it will
oppose such acquisition or (ii) commenced any litigation which alleges that such
acquisition violates, or will violate, any Requirement of Law.

     8.8.  Restrictive  Agreements,  etc. The Company shall not, and the Company
shall not permit any of its Restricted Subsidiaries to, enter into any agreement
(excluding this Agreement and any other Loan Document) prohibiting

          (a) the ability of the Company or any  Restricted  Subsidiary to amend
     or otherwise modify this Agreement or any other Loan Document; or

          (b)  the  ability  of any  Restricted  Subsidiary  to  make  payments,
     directly  or  indirectly,  to the  Company by way of  dividends,  advances,
     repayments or loans or advances,  reimbursements  of  management  and other
     intercompany   charges,   expenses  and   accruals  or  other   returns  on
     investments,  or any other  agreement or  arrangement  which  restricts the
     ability of any such Restricted Subsidiary to make any payment,  directly or
     indirectly, to the Company.

     8.9. Contingent Obligations. The Company shall not, and shall not suffer or
permit any Restricted  Subsidiary to, create,  incur,  assume or suffer to exist
any Contingent Obligations except:

          (a)  endorsements  for collection or deposit in the ordinary course of
     business;

          (b) Swap Contracts  entered into in the ordinary course of business to
     hedge interest rate, currency exchange and fuel price risk;

                              Exhibit 4.1 - Page 84

<PAGE>

          (c)  guaranties  by  the  Company  of  (a) a  Restricted  Subsidiary's
     obligations as lessee under leases of equipment, and (b) so long there is a
     tangible  economic benefit to the Company and the Restricted  Subsidiaries,
     an  Unrestricted   Subsidiary's  obligations  as  lessee  under  leases  of
     equipment;

          (d)  Contingent  Obligations  of  the  Company  and  its  Subsidiaries
     existing as of the Closing Date and listed in Schedule  8.9 and  Contingent
     Obligations under the Guaranty; and

          (e)  additional   Contingent   Obligations  not  otherwise   permitted
     hereunder; provided that, at the time of creation, incurrence or assumption
     of such Contingent  Obligation,  the amount of such  Contingent  Obligation
     (determined in a manner consistent with the last sentence of the definition
     thereof) would be permitted to be treated as Funded Debt, without a Default
     or an  Event  of  Default  occurring  or  continuing  to  exist as a result
     thereof.

     8.10.  Restricted Payments.  The Company shall not, and shall not suffer or
permit any Restricted  Subsidiary  to,  declare or make any dividend  payment or
other  distribution  of  assets,   properties,   cash,  rights,  obligations  or
securities  on  account  of any  shares of any class of its  capital  stock,  or
purchase,  redeem or otherwise acquire for value any shares of its capital stock
or any  warrants,  rights or options to acquire  such  shares,  now or hereafter
outstanding;  except that (a) any Wholly-Owned  Restricted Subsidiary may do any
of the  foregoing  provided  that any  distribution  or  payment  in  connection
therewith is only made to the Company, and (b) the Company may:

               (i) declare  and make  dividend  payments or other  distributions
          payable solely in its common stock;

               (ii) purchase,  redeem or otherwise  acquire shares of its common
          stock or  warrants  or  options to acquire  any such  shares  with the
          proceeds  received  from  the  substantially  concurrent  issue of new
          shares of its common stock; and

               (iii)  declare  or pay cash  dividends  to its  stockholders  and
          purchase,  redeem or otherwise  acquire shares of its capital stock or
          warrants,  rights or  options  to  acquire  any such  shares for cash,
          provided,  that (A)  immediately  after giving effect to such proposed
          action, no Default or Event of Default would exist, and (B) Net Income
          for the  fiscal  quarter  prior to the  fiscal  quarter  in which such
          payment is made was greater than zero.

                              Exhibit 4.1 - Page 85

<PAGE>

     8.11.  Change in Business.  The Company  shall not, and shall not suffer or
permit any  Restricted  Subsidiary  to,  engage in any material line of business
substantially  different from those lines of business  carried on by the Company
and its Restricted Subsidiaries on the date hereof.

     8.12.  Accounting  Changes.  The Company shall not, and shall not suffer or
permit any Subsidiary to, make any significant  change in accounting  treatment,
except as required  by GAAP,  or change the fiscal year of the Company or of any
Subsidiary,  except to change the fiscal year of any Subsidiary to correspond to
the fiscal year of the Company.

     8.13.  Interest  Coverage Ratio.  The Company shall not permit the Interest
Coverage Ratio for any Computation Period to be less than 3.00:1.00.

     8.14. Leverage Ratio. The Company shall not permit at any time the Leverage
Ratio to be greater than 60%.

     8.15.  Minimum  Net  Worth.  The  Company  shall not permit at any time the
consolidated net worth of the Company and its Restricted Subsidiaries to be less
than the sum of (a) $400,000,000,  plus (b) 50% of net income of the Company and
its Subsidiaries (calculated in accordance with GAAP) for each fiscal quarter of
the Company  commencing with the fiscal quarter  beginning January 1, 2000 (with
no deduction for any such fiscal quarter in which there is a net loss), plus (c)
50% of any Equity Offering Proceeds.

                                   ARTICLE IX.

                                EVENTS OF DEFAULT

     9.1. Event of Default.  Any of the following shall  constitute an "Event of
Default":

          (a) Non-Payment. The Company fails to pay, (i) when and as required to
     be paid herein,  any amount of  principal  of any Loan,  or (ii) within two
     Business  Days after the same becomes due, any  interest,  fee or any other
     amount payable hereunder or under any other Loan Document; or

          (b) Representation or Warranty.  Any representation or warranty by the
     Company or any  Subsidiary  made or deemed made  herein,  in any other Loan
     Document,  or which is contained in any certificate,  document or financial
     or other  statement  by the Company,  any  Subsidiary,  or any  Responsible
     Officer,  furnished  at any time under this  Agreement,  or in or under any
     other Loan Document, is

                              Exhibit 4.1 - Page 86

<PAGE>

     incorrect in any material respect on or as of the date made or deemed made;
     or

          (c)  Specific  Defaults.  The Company  fails to perform or observe any
     term,  covenant  or  agreement  contained  in  Sections  7.3 and 7.11 or in
     Article VIII; or

          (d) Other  Defaults.  The Company or any Restricted  Subsidiary  party
     thereto fails to perform or observe any other term or covenant contained in
     this Agreement or any other Loan Document,  and such default shall continue
     unremedied for a period of 30 days after the date upon which written notice
     thereof is given to the Company by the Administrative Agent or any Bank; or

          (e)  Cross-Default.  The Company or any Restricted  Subsidiary (i) (A)
     fails  to make  any  payment  in  respect  of any  Indebtedness  having  an
     aggregate  principal  amount  (including  undrawn  committed  or  available
     amounts and including  amounts owing to all creditors under any combined or
     syndicated  credit  arrangement) of more than $10,000,000 when due (whether
     by  scheduled  maturity,  required  prepayment,  acceleration,  demand,  or
     otherwise),  or (B)  fails  to make  any  payment  in  respect  of any Swap
     Contract  where the  payments  which  would be  required  to be made by the
     Company or any Restricted  Subsidiary in connection with the termination of
     such Swap  Contract  plus the  amount of all  Indebtedness  referred  to in
     clause  (A) next  above  exceeds  $10,000,000;  or (ii) fails to perform or
     observe any other condition or covenant,  or any other event shall occur or
     condition  exist,  under any agreement or  instrument  relating to any such
     Indebtedness,  if the  effect of such  failure,  event or  condition  is to
     cause,  or to  permit  the  holder  or  holders  of  such  Indebtedness  or
     beneficiary or beneficiaries of such Indebtedness (or a trustee or agent on
     behalf of such holder or holders or beneficiary or  beneficiaries) to cause
     such  Indebtedness to be declared to be due and payable prior to its stated
     maturity,  to become  payable or cash  collateral in respect  thereof to be
     demanded; or

          (f) Insolvency;  Voluntary Proceedings.  The Company or any Restricted
     Subsidiary (i) ceases or fails to be solvent, or generally fails to pay, or
     admits in writing  its  inability  to pay,  its debts as they  become  due,
     subject to applicable grace periods,  if any, whether at stated maturity or
     otherwise;  (ii) voluntarily ceases to conduct its business in the ordinary
     course;  (iii) commences any Insolvency  Proceeding with respect to itself;
     or (iv) takes any action to effectuate  or authorize any of the  foregoing;
     or

                              Exhibit 4.1 - Page 87

<PAGE>

          (g) Involuntary Proceedings. (i) Any involuntary Insolvency Proceeding
     is commenced or filed against the Company or any Restricted Subsidiary,  or
     any writ, judgment, warrant of attachment, execution or similar process, is
     issued  or  levied  against  a  substantial  part of the  Company's  or any
     Restricted  Subsidiary's  properties,  and any such  proceeding or petition
     shall not be  dismissed,  or such writ,  judgment,  warrant of  attachment,
     execution or similar process shall not be released, vacated or fully bonded
     within 60 days after commencement,  filing or levy; (ii) the Company or any
     Restricted Subsidiary admits the material allegations of a petition against
     it in any Insolvency  Proceeding,  or an order for relief (or similar order
     under non-U.S. law) is ordered in any Insolvency  Proceeding;  or (iii) the
     Company or any  Restricted  Subsidiary  acquiesces in the  appointment of a
     receiver,  trustee,  custodian,   conservator,   liquidator,  mortgagee  in
     possession  (or agent  therefor),  or other similar  Person for itself or a
     substantial portion of its property or business; or

          (h) ERISA.  (i) An ERISA Event  occurs with  respect to a Pension Plan
     which has resulted or could  reasonably  be expected to result in liability
     of the Company  under Title IV of ERISA to the Pension  Plan or the PBGC in
     an aggregate  amount in excess of $10,000,000;  or (ii) the commencement or
     increase of  contributions  to, or the  adoption of or the  amendment  of a
     Pension  Plan by the  Company  which has  resulted or could  reasonably  be
     expected to result in an increase in Unfunded  Pension  Liability among all
     Pension Plans in an aggregate amount in excess of $10,000,000; or

          (i)  Monetary  Judgments.  One or  more  non-interlocutory  judgments,
     non-interlocutory  orders, decrees or arbitration awards is entered against
     the Company or any  Subsidiary  involving in the  aggregate a liability (to
     the extent not covered by independent third-party insurance as to which the
     insurer does not dispute  coverage)  as to any single or related  series of
     transactions, incidents or conditions, of $20,000,000 or more, and the same
     shall remain  unvacated and unstayed pending appeal for a period of 30 days
     after the entry thereof; or

          (j) Change of Control. There occurs any Change of Control; or

          (k) Loss of Licenses.  The Surface  Transportation  Board or any other
     Governmental  Authority  revokes  or fails to renew any  material  license,
     permit or franchise  of the Company or any  Restricted  Subsidiary,  or the
     Company or any Restricted Subsidiary for any

                              Exhibit 4.1 - Page 88

<PAGE>

     reason loses any material license,  permit or franchise,  or the Company or
     any Restricted  Subsidiary suffers the imposition of any restraining order,
     escrow,  suspension or impound of funds in connection  with any  proceeding
     (judicial or administrative)  with respect to any material license,  permit
     or franchise; or

          (l)  Guarantor  Defaults.  Any  Restricted  Subsidiary  fails  in  any
     material  respect to perform or observe any term,  covenant or agreement in
     the Guaranty;  or the Guaranty is for any reason partially  (including with
     respect to future advances) or wholly revoked or invalidated,  or otherwise
     ceases to be in full force and  effect,  or the  Company or any  Restricted
     Subsidiary contests in any manner the validity or enforceability thereof or
     denies that it has any further liability or obligation thereunder.

     9.2. Remedies.  If any Event of Default occurs,  the  Administrative  Agent
shall, at the request of, or may, with the consent of, the Majority Banks,

          (a) declare the commitment of each Bank to make Committed  Loans to be
     terminated, whereupon such commitments shall be terminated;

          (b) declare the unpaid principal amount of all outstanding  Loans, all
     interest accrued and unpaid thereon, and all other amounts owing or payable
     hereunder  or under any  other  Loan  Document  to be  immediately  due and
     payable, without presentment,  demand, protest or other notice of any kind,
     all of which are hereby expressly waived by the Company;

          (c)  require  that  the  Company   deliver  Cash   Collateral  to  the
     Administrative Agent in the amount equal to the L/C Obligations; and

          (d) exercise on behalf of itself and the Banks all rights and remedies
     available to it and the Banks under the Loan Documents or applicable law;

provided, however, that upon the occurrence of any event specified in subsection
(f) or (g) of Section 9.1 (in the case of clause (i) of subsection  (g) upon the
expiration of the 60-day period mentioned therein),  the obligation of each Bank
to make Loans shall  automatically  terminate and the unpaid principal amount of
all  outstanding  Loans,  all  interest  and other  amounts as  aforesaid  shall
automatically  become due and  payable  and the Company  shall be  obligated  to
deliver to the Administrative Agent Cash Collateral in an

                              Exhibit 4.1 - Page 89

<PAGE>

amount equal to the L/C Obligations  without  further act of the  Administrative
Agent or any Bank.

     9.3.  Rights Not Exclusive.  The rights  provided for in this Agreement and
the other Loan  Documents  are  cumulative  and are not  exclusive  of any other
rights,  powers,  privileges or remedies  provided by law or in equity, or under
any other instrument, document or agreement now existing or hereafter arising.

                                   ARTICLE X.

                            THE ADMINISTRATIVE AGENT

     10.1. Appointment and Authorization. Each Bank hereby irrevocably appoints,
designates and authorizes  the  Administrative  Agent to take such action on its
behalf under the  provisions of this  Agreement and each other Loan Document and
to exercise such powers and perform such duties as are expressly delegated to it
by the terms of this  Agreement or any other Loan  Document,  together with such
powers as are reasonably  incidental  thereto.  Notwithstanding any provision to
the  contrary  contained  elsewhere  in  this  Agreement  or in any  other  Loan
Document,   the   Administrative   Agent   shall   not   have  any   duties   or
responsibilities,  except  those  expressly  set  forth  herein,  nor  shall the
Administrative  Agent have or be deemed to have any fiduciary  relationship with
any  Bank,  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.

     10.2. Delegation of Duties. The Administrative Agent may execute any of its
duties  under this  Agreement or any other Loan  Document by or through  agents,
employees  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  agent  or
attorney-in-fact that it selects with reasonable care.

     10.3. Liability of Administrative  Agent. None of the Agent-Related Persons
shall (i) be liable for any  action  taken or omitted to be taken by any of them
under or in  connection  with this  Agreement or any other Loan  Document or the
transactions contemplated hereby (except for its own gross negligence or willful
misconduct),  or (ii) be  responsible  in any manner to any of the Banks for any
recital,  statement,  representation  or  warranty  made by the  Company  or any
Subsidiary  or Affiliate of the Company,  or any officer  thereof,  contained in
this Agreement or in any other Loan  Document,  or in any  certificate,  report,
statement or other document referred to or provided

                              Exhibit 4.1 - Page 90

<PAGE>

for in, or received by the  Administrative  Agent under or in  connection  with,
this  Agreement  or any other Loan  Document,  or the  validity,  effectiveness,
genuineness,  enforceability  or sufficiency of this Agreement or any other Loan
Document,  or for any  failure  of the  Company  or any other  party to any Loan
Document to perform its obligations  hereunder or thereunder.  No  Agent-Related
Person shall be under any  obligation  to any Bank 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 the Company or any of the Company's Subsidiaries
or Affiliates.

     10.4. Reliance by Administrative Agent.

          (a) The  Administrative  Agent shall be entitled to rely, and shall be
     fully protected in relying, upon any writing, resolution,  notice, consent,
     certificate,  affidavit,  letter, telegram,  facsimile,  telex or telephone
     message,  statement 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 the  Company),  independent  accountants  and other
     experts  selected by 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 Majority  Banks as it deems  appropriate
     and, if it so requests,  it shall first be indemnified to its  satisfaction
     by the  Banks  against  any and all  liability  and  expense  which  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  or any other Loan
     Document in accordance  with a request or consent of the Majority Banks and
     such request and any action taken or failure to act pursuant  thereto shall
     be binding upon all of the Banks.

          (b)  For  purposes  of  determining  compliance  with  the  conditions
     specified in Section 5.1, each Bank that has executed this Agreement  shall
     be deemed to have  consented  to,  approved or accepted or to be  satisfied
     with, each document or other matter either sent by the Administrative Agent
     to such Bank for consent, approval, acceptance or satisfaction, or required
     thereunder to be consented to or approved by or acceptable or  satisfactory
     to the Bank.

     10.5. Notice of Default.  The  Administrative  Agent shall not be deemed to
have  knowledge or notice of the  occurrence of any Default or Event

                              Exhibit 4.1 - Page 91

<PAGE>

of  Default,  except  with  respect to  defaults  in the  payment of  principal,
interest  and  fees  required  to be paid to the  Administrative  Agent  for the
account  of the Banks,  unless  the  Administrative  Agent  shall have  received
written  notice  from a  Bank  or  the  Company  referring  to  this  Agreement,
describing  such  Default or Event of Default and stating  that such notice is a
"notice of  default".  The  Administrative  Agent  will  notify the Banks of its
receipt of any such notice. The Administrative Agent shall take such action with
respect to such  Default or Event of Default as may be requested by the Majority
Banks in accordance with Article IX;  provided,  however,  that unless and until
the Administrative Agent has received any such request, 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 or in the best interest of the Banks.

     10.6.   Credit  Decision.   Each  Bank   acknowledges   that  none  of  the
Agent-Related Persons has made any representation or warranty to it, and that no
act by the Administrative  Agent hereinafter taken,  including any review of the
affairs of the Company and its  Subsidiaries,  shall be deemed to constitute any
representation  or warranty by any  Agent-Related  Person to any Bank. Each Bank
represents to the  Administrative  Agent that it has,  independently and without
reliance  upon  any  Agent-Related  Person  and  based  on  such  documents  and
information  as it  has  deemed  appropriate,  made  its  own  appraisal  of and
investigation into the business, prospects,  operations, property, financial and
other condition and  creditworthiness  of the Company and its Subsidiaries,  and
all applicable bank regulatory  laws relating to the  transactions  contemplated
hereby,  and made its own  decision to enter into this  Agreement  and to extend
credit  to the  Company  hereunder.  Each  Bank  also  represents  that it will,
independently  and without reliance upon any  Agent-Related  Person 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  investigations  as it deems necessary to inform itself as to the business,
prospects,   operations,   property,   financial   and   other   condition   and
creditworthiness of the Company. Except for notices, reports and other documents
expressly  herein  required to be furnished  to the Banks by the  Administrative
Agent, the  Administrative  Agent shall not have any duty or  responsibility  to
provide any Bank with any credit or other  information  concerning the business,
prospects,    operations,   property,   financial   and   other   condition   or
creditworthiness of the Company which may come into the possession of any of the
Agent-Related Persons.

                              Exhibit 4.1 - Page 92

<PAGE>

     10.7. Indemnification.  Whether or not the transactions contemplated hereby
are consummated, the Banks shall indemnify upon demand the Agent-Related Persons
(to the  extent  not  reimbursed  by or on behalf  of the  Company  and  without
limiting the obligation of the Company to do so), pro rata (in  accordance  with
the  respective  Pro Rata  Shares),  from and  against  any and all  Indemnified
Liabilities;  provided, however, that no Bank shall be liable for the payment to
the  Agent-Related  Persons  of any  portion  of  such  Indemnified  Liabilities
resulting  solely from such Person's  gross  negligence  or willful  misconduct.
Without   limitation   of  the   foregoing,   each  Bank  shall   reimburse  the
Administrative  Agent  upon  demand  for  its  ratable  share  of any  costs  or
out-of-pocket expenses (including Attorney Costs) incurred by the Administrative
Agent in connection with the preparation,  execution, delivery,  administration,
modification,  amendment or enforcement  (whether  through  negotiations,  legal
proceedings  or  otherwise)  of,  or  legal  advice  in  respect  of  rights  or
responsibilities under, this Agreement, any other Loan Document, or any document
contemplated  by or  referred to herein,  to the extent that the  Administrative
Agent is not  reimbursed  for such expenses by or on behalf of the Company.  The
undertaking  in this  Section  shall  survive  the  payment  of all  Obligations
hereunder and the resignation or replacement of the Administrative Agent.

     10.8. Administrative Agent in Individual Capacity. Fleet and its Affiliates
may make loans to, issue letters of credit for the account of,  accept  deposits
from,  acquire equity  interests in and generally engage in any kind of banking,
trust,  financial advisory,  underwriting or other business with the Company and
its  Subsidiaries  and  Affiliates  as though Fleet were not the  Administrative
Agent  hereunder  and  without  notice to or  consent  of the  Banks.  The Banks
acknowledge  that,  pursuant to such  activities,  Fleet or its  Affiliates  may
receive  information   regarding  the  Company  or  its  Affiliates   (including
information that may be subject to  confidentiality  obligations in favor of the
Company or such Subsidiary) and acknowledge that the Administrative  Agent shall
be under no obligation to provide such  information to them. With respect to its
Loans,  Fleet shall have the same rights and powers under this  Agreement as any
other Bank and may  exercise  the same as though it were not the  Administrative
Agent,  and the  terms  "Bank"  and  "Banks"  include  Fleet  in its  individual
capacity.

     10.9. Successor  Administrative Agent. The Administrative Agent may, and at
the request of the Majority Banks, or, so long as no Event of Default or Default
has occurred and is continuing,  at the request of the Company, shall, resign as
Administrative  Agent upon 30 days' notice to the Banks.  If the  Administrative
Agent resigns under this Agreement,  the Majority Banks shall appoint from among
the Banks a  successor  agent for the Banks  which  shall be a  commercial  bank
organized, chartered or licensed

                              Exhibit 4.1 - Page 93

<PAGE>

under the  United  States of  America or of any State  thereof  having  combined
capital of at least  $500,000,000.  If no successor  agent is appointed prior to
the  effective  date  of  the  resignation  of  the  Administrative  Agent,  the
Administrative  Agent  may  appoint,  after  consulting  with the  Banks and the
Company, a successor agent from among the Banks which shall be a commercial bank
organized,  chartered or licensed  under the United  States of America or of any
State  thereof  having  combined  capital  of at  least  $500,000,000.  Upon the
acceptance of its appointment as successor agent hereunder, such successor agent
shall   succeed  to  all  the  rights,   powers  and  duties  of  the   retiring
Administrative  Agent  and the term "  Administrative  Agent"  shall  mean  such
successor agent and the retiring Administrative Agent's appointment,  powers and
duties  as  Administrative  Agent  shall  be  terminated.   After  any  retiring
Administrative  Agent's  resignation  hereunder  as  Administrative  Agent,  the
provisions  of this  Article X and  Sections  11.4 and 11.5  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.  If no successor agent has accepted
appointment  as  Administrative  Agent by the date which is 30 days  following a
retiring   Administrative   Agent's   notice  of   resignation,   the   retiring
Administrative Agent's resignation shall nevertheless thereupon become effective
and the  Banks  shall  perform  all of the  duties of the  Administrative  Agent
hereunder  until such time,  if any, as the Majority  Banks  appoint a successor
agent as provided for above.

     10.10. Withholding Tax.

          (a) If any  Bank is a  "foreign  corporation,  partnership  or  trust"
     within the meaning of the Code; such Bank represents  that, as of the close
     of this Agreement or assignment  pursuant to ss.11.8 it is exempt from U.S.
     withholding  tax under  Sections  1441 or 1442 of the  Code,  and such Bank
     agrees with and in favor of the  Administrative  Agent and the Company,  to
     deliver to the Administrative Agent and the Company:

               (i) if such Bank claims an exemption from withholding tax under a
          United States tax treaty,  properly  completed IRS Form W-8BEN or Form
          W-8ECI  before the payment of any interest in the first  calendar year
          and  before  the  payment of any  interest  in each  third  succeeding
          calendar year during which interest may be paid under this Agreement;

               (ii) if such Bank claims that interest paid under this  Agreement
          is exempt from United States withholding tax because it is effectively
          connected  with a United  States  trade or business of such Bank,  two
          properly completed and executed

                              Exhibit 4.1 - Page 94

<PAGE>

          copies of IRS Form 4224 before the  payment of any  interest is due in
          the first  taxable  year of such Bank and in each  succeeding  taxable
          year of such  Bank  during  which  interest  may be  paid  under  this
          Agreement, and IRS Form W-9; and

               (iii) such other form or forms as may be required  under the Code
          or other laws of the United  States as a condition to  exemption  from
          United States withholding tax.

     Such Bank  agrees  to  promptly  notify  the  Administrative  Agent and the
Company of any change in circumstances  which would modify or render invalid any
claimed exemption.

          (b) If any Bank claims  exemption from  withholding tax under a United
     States  tax  treaty by  providing  IRS Form  W-8BEN  and such  Bank  sells,
     assigns,  grants a participation in, or otherwise  transfers all or part of
     the Obligations of the Company to such Bank, such Bank agrees to notify the
     Administrative  Agent and the Company of the percentage  amount in which it
     is no longer the  beneficial  owner of  Obligations  of the Company to such
     Bank. To the extent of such percentage  amount,  the  Administrative  Agent
     will treat such Bank's IRS Form W-8BEN as no longer valid.

          (c) If any Bank claiming  exemption from United States withholding tax
     by filing  IRS Form  4224 with the  Administrative  Agent  sells,  assigns,
     grants  a  participation  in,  or  otherwise  transfers  all or part of the
     Obligations of the Company to such Bank, such Bank agrees to undertake sole
     responsibility for complying with the withholding tax requirements  imposed
     by Sections 1441 and 1442 of the Code.

          (d) If the  IRS or any  other  Governmental  Authority  of the  United
     States or other jurisdiction  asserts a claim that the Administrative Agent
     did not  properly  withhold  tax from amounts paid to or for the account of
     any Bank (because the appropriate form was not delivered,  was not properly
     executed, or because such Bank failed to notify the Administrative Agent of
     a change in circumstances which rendered the exemption from withholding tax
     ineffective,  or for any  other  reason)  such  Bank  shall  indemnify  the
     Administrative Agent fully for all amounts paid, directly or indirectly, by
     the  Administrative  Agent as tax or  otherwise,  including  penalties  and
     interest,  and  including  any taxes  imposed  by any  jurisdiction  on the
     amounts payable to the  Administrative  Agent under this Section,  together
     with all costs and expenses  (including  Attorney Costs). The obligation of
     the Banks under this subsection shall survive the payment of all

                              Exhibit 4.1 - Page 95

<PAGE>

     Obligations and the resignation or replacement of the Administrative Agent.

                                   ARTICLE XI.

                                  MISCELLANEOUS

     11.1.  Amendments  and Waivers.  No amendment or waiver of any provision of
this  Agreement or any other Loan  Document,  and no consent with respect to any
departure  by the  Company  or any  applicable  Subsidiary  therefrom,  shall be
effective  unless the same shall be in writing and signed by the Majority  Banks
(or by the  Administrative  Agent at the written  request of the Majority Banks)
and the Company and acknowledged by the Administrative  Agent, and then any such
waiver and consent shall be effective only in the specific  instance and for the
specific  purpose  for which  given;  provided,  however,  that no such  waiver,
amendment,  or consent shall,  unless in writing and signed by all the Banks and
the  Company  and  acknowledged  by  the  Administrative  Agent,  do  any of the
following:

          (a)  increase  or extend  the  Revolver  A  Commitment  or  Revolver B
     Commitment  of any Bank (or reinstate any Revolver A Commitment or Revolver
     B Commitment terminated pursuant to Section 2.7 or subsection 9.2(a)) other
     than pursuant to Sections 2.9, 4.7 and 11.8.

          (b)  postpone or delay any date fixed by this  Agreement  or any other
     Loan Document for any payment of principal, interest, fees or other amounts
     due to the  Banks  (or any of them)  hereunder  or  under  any  other  Loan
     Document;

          (c) reduce the principal of, or the rate of interest  specified herein
     on any Loan,  or any fees or other amounts  payable  hereunder or under any
     other Loan Document;

          (d) change  the  percentage  of the  Commitments  or of the  aggregate
     unpaid principal amount of the Loans which is required for the Banks or any
     of them to take any action hereunder; or

          (e) amend this  Section,  or Section  2.14,  or any  provision  herein
     providing for consent or other action by all Banks;

          (f) release any Restricted  Subsidiary from the Guaranty except in the
     event  such  Restricted  Subsidiary  becomes  an  Unrestricted   Subsidiary
     hereunder;

                              Exhibit 4.1 - Page 96

<PAGE>

and, provided further, that (i) no amendment, waiver or consent shall, unless in
writing and signed by the Administrative Agent in addition to the Majority Banks
or all the  Banks,  as the case may be,  affect  the  rights  or  duties  of the
Administrative Agent under this Agreement or any other Loan Document and (ii) no
amendment,  waiver or consent shall, unless in writing and signed by the Issuing
Bank in addition to the Majority Banks or all Banks,  as the case may be, affect
the rights or duties of the Issuing Bank under this  Agreement or any other Loan
Document.

     11.2.  Notices.

          (a) All notices, requests and other communications shall be in writing
     (including,  unless the context expressly otherwise provides,  by facsimile
     transmission,  provided  that any  matter  transmitted  by the  Company  by
     facsimile  (i) shall be  immediately  confirmed by a telephone  call to the
     recipient  at the number  specified  on  Schedule  11.2,  and (ii) shall be
     followed  promptly by delivery of a hard copy original thereof) and mailed,
     faxed or  delivered,  to the  address or  facsimile  number  specified  for
     notices  on  Schedule   11.2;  or,  as  directed  to  the  Company  or  the
     Administrative  Agent, to such other address as shall be designated by such
     party in a written  notice to the other  parties,  and as  directed  to any
     other party,  at such other address as shall be designated by such party in
     a written notice to the Company and the Administrative Agent.

          (b)  All  such  notices,   requests  and  communications  shall,  when
     transmitted by overnight  delivery,  or faxed,  be effective when delivered
     for  overnight  (next-day)  delivery,  or  transmitted  in legible  form by
     facsimile machine,  respectively, or if mailed, upon the third Business Day
     after  the date  deposited  into  the  U.S.  mail,  or if  delivered,  upon
     delivery;  except  that  notices  pursuant  to Article II or X shall not be
     effective until actually received by the Administrative Agent.

          (c) Any agreement of the Administrative  Agent and the Banks herein to
     receive  certain  notices  by  telephone  or  facsimile  is solely  for the
     convenience and at the request of the Company. The Administrative Agent and
     the  Banks  shall  be  entitled  to rely  on the  authority  of any  Person
     purporting to be a Person authorized by the Company to give such notice and
     the Administrative  Agent and the Banks shall not have any liability to the
     Company or other  Person on account of any action taken or not taken by the
     Administrative  Agent or the  Banks in  reliance  upon such  telephonic  or
     facsimile  notice.  The  obligation of the Company to repay the Loans shall
     not be affected in

                              Exhibit 4.1 - Page 97

<PAGE>

     any way or to any extent by any failure by the Administrative Agent and the
     Banks to receive written confirmation of any telephonic or facsimile notice
     or the receipt by the Administrative  Agent and the Banks of a confirmation
     which is at variance with the terms understood by the Administrative  Agent
     and the  Banks to be  contained  in the  telephonic  or  facsimile  notice.
     Notwithstanding  the  foregoing  provisions  of  this  subsection  11.2(c),
     designations  of  accounts  to which  Loans are to be  disbursed  and other
     directions  concerning  the  transmission  of  Loan  proceeds  must  be  by
     facsimile transmission or other writing.

     11.3. No Waiver;  Cumulative Remedies.  No failure to exercise and no delay
in exercising,  on the part of the Administrative  Agent or any Bank, any right,
remedy,  power or privilege  hereunder,  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.

     11.4. Costs and Expenses. The Company shall:

          (a)  whether  or  not  the   transactions   contemplated   hereby  are
     consummated,   pay  or  reimburse  Fleet  (including  in  its  capacity  as
     Administrative  Agent) within five Business Days after demand for all costs
     and expenses incurred by Fleet (including in its capacity as Administrative
     Agent)  in  connection  with  the   development,   preparation,   delivery,
     administration and execution of, and any amendment,  supplement,  waiver or
     modification to (in each case, whether or not consummated), this Agreement,
     any Loan Document and any other documents  prepared in connection  herewith
     or therewith, and the consummation of the transactions  contemplated hereby
     and  thereby,   including  reasonable  Attorney  Costs  incurred  by  Fleet
     (including in its capacity as  Administrative  Agent) with respect thereto;
     and

          (b) pay or reimburse the  Administrative  Agent,  the Issuing Bank and
     each Bank (including  Fleet) within five Business Days after demand for all
     costs  and  expenses   (including  Attorney  Costs)  incurred  by  them  in
     connection with the enforcement,  attempted enforcement, or preservation of
     any rights or  remedies  under this  Agreement  or any other Loan  Document
     during the  existence of an Event of Default or after  acceleration  of the
     Loans   (including  in  connection  with  any  "workout"  or  restructuring
     regarding  the  Loans,  and  including  in  any  Insolvency  Proceeding  or
     appellate proceeding).

                              Exhibit 4.1 - Page 98

<PAGE>

     11.5.  Indemnity.  Whether or not the transactions  contemplated hereby are
consummated,   the  Company  shall   indemnify   and  hold  the  Arranger,   the
Agent-Related  Persons,  and each Bank (including  Fleet),  the Issuing Bank and
each of their respective officers,  directors,  employees,  counsel,  agents and
attorneys-in-fact  (each, an "Indemnified Person") harmless from and against any
and  all  liabilities,   obligations,   losses,  damages,  penalties,   actions,
judgments, suits, costs, charges, expenses and disbursements (including Attorney
Costs) of any kind or nature  whatsoever which may at any time (including at any
time  following  repayment of the Loans and  termination  or  expiration  of all
Letters  of  Credit  and the  termination,  resignation  or  replacement  of the
Administrative  Agent or replacement of any Bank or the Issuing Bank) be imposed
on,  incurred by or asserted  against any such Person in any way  relating to or
arising out of this  Agreement  or any document  contemplated  by or referred to
herein, or the transactions  contemplated hereby, or any action taken or omitted
by any such Person under or in connection  with any of the foregoing,  including
with respect to any  investigation,  litigation  or  proceeding  (including  any
Insolvency Proceeding or appellate proceeding) related to or arising out of this
Agreement or the Loans or Letters of Credit or the use of the proceeds  thereof,
whether or not any  Indemnified  Person is a party  thereto (all the  foregoing,
collectively,  the "Indemnified Liabilities");  provided, that the Company shall
have  no  obligation  hereunder  to  any  Indemnified  Person  with  respect  to
Indemnified  Liabilities  resulting  solely from the gross negligence or willful
misconduct  of such  Indemnified  Person.  The  agreements in this Section shall
survive payment of all other Obligations.

     11.6. Payments Set Aside. To the extent that the Company makes a payment to
the  Administrative  Agent or the Banks in  respect of any  Obligations,  or the
Administrative  Agent or the Banks exercise their right of set-off in respect of
any  Obligations,  and such  payment or the proceeds of such set-off or any part
thereof are subsequently invalidated, declared to be fraudulent or preferential,
set aside or required  (including pursuant to any settlement entered into by the
Administrative  Agent or such Bank in its discretion) to be repaid to a trustee,
receiver or any other party,  in connection  with any  Insolvency  Proceeding or
otherwise,  then:  (a) to the extent of such  recovery  the  obligation  or part
thereof  originally  intended to be satisfied  shall be revived and continued in
full force and effect as if such  payment had not been made or such  set-off had
not occurred;  and (b) each Bank severally  agrees to pay to the  Administrative
Agent  upon  demand  its pro rata or other  applicable  share of any  amount  so
recovered from or repaid by the  Administrative  Agent or any Bank to the extent
received by such Bank,  except that (i) no Bank shall be obligated to purchase a
share of  another  Bank's Bid Loans or  Obligations  related  thereto,  and (ii)
Fleet, acting as a

                              Exhibit 4.1 - Page 99

<PAGE>

Bank with  respect to Bid Loans,  shall not be  obligated to purchase a share of
any Bank's Committed Loans or Obligations related thereto.

     11.7.  Successors and Assigns.  The  provisions of this Agreement  shall be
binding upon and inure to the benefit of the parties hereto and their respective
successors  and assigns,  except that the Company may not assign or transfer any
of its rights or  obligations  under this  Agreement  without the prior  written
consent of the Administrative Agent and each Bank.

     11.8. Assignments, Participations, etc.

          (a) Any Bank may, with the written consent of the Administrative Agent
     and, at all times other than during the  existence  of an Event of Default,
     the  Company  (which  consent  of  the  Company  may  not  unreasonably  be
     withheld),  at any  time  assign  and  delegate  to one  or  more  Eligible
     Assignees  (provided  that  no  written  consent  of  the  Company  or  the
     Administrative  Agent shall be required in connection  with any  assignment
     and  delegation  by a Bank to an Eligible  Assignee that is an Affiliate of
     such Bank or is another Bank prior to such assignment) (each an "Assignee")
     all, or any ratable part of all, of the Loans,  the  Commitments  (provided
     that  any  assignment  of  the  Commitments  shall  be an  assignment  of a
     proportionate  share  of the  Revolver  A  Commitment  and the  Revolver  B
     Commitment) (in a minimum  aggregate  amount of $10,000,000)  and the other
     rights and obligations of such Bank hereunder;  provided, however, that the
     Company  and the  Administrative  Agent may  continue  to deal  solely  and
     directly with such Bank in  connection  with the interest so assigned to an
     Assignee until (i) written notice of such assignment, together with payment
     instructions,  addresses  and  related  information  with  respect  to  the
     Assignee, shall have been given to the Company and the Administrative Agent
     by such Bank and the Assignee;  (ii) such Bank and its Assignee  shall have
     delivered to the Company and the  Administrative  Agent an  Assignment  and
     Acceptance in the form of Exhibit E ("Assignment and Acceptance") and (iii)
     the assignor Bank or Assignee has paid to the Administrative  Agent (or the
     Administrative Agent, in its sole discretion,  has waived) a processing fee
     in the amount of $3,500.

          (b) From and after the date that the Administrative Agent notifies the
     assignor  Bank that it has received  (and provided its consent with respect
     to) an executed  Assignment and Acceptance  (which shall be executed by the
     Company  if  the  Company's   consent  is  required)  and  payment  of  the
     above-referenced  processing  fee, (i) the Assignee  thereunder  shall be a
     party hereto and, to the extent that

                             Exhibit 4.1 - Page 100

<PAGE>

     rights and obligations  hereunder have been assigned to it pursuant to such
     Assignment and Acceptance,  shall have the rights and obligations of a Bank
     under the Loan  Documents,  and (ii) the assignor Bank shall, to the extent
     that rights and  obligations  hereunder and under the other Loan  Documents
     have been  assigned  by it  pursuant  to such  Assignment  and  Acceptance,
     relinquish its rights and be released from its  obligations  under the Loan
     Documents.

          (c) Upon  satisfaction  of the  conditions  set  forth  in  subsection
     11.8(a),  this Agreement  shall be deemed to be amended to the extent,  but
     only to the extent,  necessary  to reflect the addition of the Assignee and
     the  resulting  adjustment  of  the  Commitments  arising  therefrom.   The
     Commitment  allocated to each Assignee shall reduce such Commitments of the
     assigning Bank pro tanto.

          (d) Any Bank may at any time sell to one or more  commercial  banks or
     other Persons not Affiliates of the Company (a "Participant") participating
     interests in any Loans, the Commitment of that Bank and the other interests
     of that Bank (the  "originating  Bank")  hereunder and under the other Loan
     Documents;  provided,  however, that (i) the originating Bank's obligations
     under this Agreement  shall remain  unchanged,  (ii) the  originating  Bank
     shall remain solely  responsible for the  performance of such  obligations,
     (iii) the  Company  and the  Administrative  Agent  shall  continue to deal
     solely  and  directly  with the  originating  Bank in  connection  with the
     originating  Bank's  rights and  obligations  under this  Agreement and the
     other  Loan  Documents,  and  (iv) no Bank  shall  transfer  or  grant  any
     participating  interest under which the  Participant  has rights to approve
     any amendment to, or any consent or waiver with respect to, this  Agreement
     or any other Loan Document, except to the extent such amendment, consent or
     waiver  would  require  unanimous  consent of the Banks as described in the
     first proviso to Section 11.1. In the case of any such  participation,  the
     Participant  shall not have any rights under this Agreement,  or any of the
     other Loan  Documents,  and all amounts  payable by the  Company  hereunder
     shall be determined as if such Bank had not sold such participation; except
     that, if amounts  outstanding  under this Agreement are due and unpaid,  or
     shall have been  declared  or shall have  become due and  payable  upon the
     occurrence of an Event of Default, each Participant shall be deemed to have
     the right of set-off 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 Bank  under this
     Agreement.

                             Exhibit 4.1 - Page 101

<PAGE>

          (e) Each Bank agrees to take  normal and  reasonable  precautions  and
     exercise  due  care to  maintain  the  confidentiality  of all  information
     identified as  "confidential" or "secret" by the Company and provided to it
     by the Company or any Subsidiary,  or by the  Administrative  Agent on such
     Company's or  Subsidiary's  behalf,  under this Agreement or any other Loan
     Document,  and  neither  it nor any of its  Affiliates  shall  use any such
     information  other  than  in  connection  with  or in  enforcement  of this
     Agreement  and  the  other  Loan  Documents;  except  to  the  extent  such
     information (i) was or becomes generally available to the public other than
     as a result of disclosure by the Bank, or (ii) was or becomes  available on
     a  non-confidential  basis from a source other than the  Company,  provided
     that  such  source  is not bound by a  confidentiality  agreement  with the
     Company known to the Bank;  provided,  however,  that any Bank may disclose
     such  information  (A) at the request or pursuant to any requirement of any
     Governmental  Authority to which the Bank is subject or in connection  with
     an examination of such Bank by any such authority; (B) pursuant to subpoena
     or other court process;  (C) when required to do so in accordance  with the
     provisions  of any  applicable  Requirement  of  Law;  (D)  to  the  extent
     reasonably  required in  connection  with any  litigation  or proceeding to
     which the Administrative Agent, any Bank or their respective Affiliates may
     be party;  (E) to the extent  reasonably  required in  connection  with the
     exercise of any remedy  hereunder or under any other Loan Document;  (F) to
     such Bank's independent  auditors and other professional  advisors;  (G) to
     any Affiliate of such Bank, or to any  Participant  or Assignee,  actual or
     potential, provided that such Affiliate,  Participant or Assignee agrees to
     keep such information confidential to the same extent required of the Banks
     hereunder,  and (H) as to any Bank, as expressly  permitted under the terms
     of any other document or agreement  regarding  confidentiality to which the
     Company is party or is deemed party with such Bank.

          (f)  Notwithstanding  any other provision in this Agreement,  any Bank
     may at any time  create a  security  interest  in,  or  pledge,  all or any
     portion of its rights under and interest in this  Agreement in favor of any
     Federal  Reserve Bank in  accordance  with  Regulation A of the FRB or U.S.
     Treasury  Regulation 31 CFR  ss.203.14,  and such Federal  Reserve Bank may
     enforce  such pledge or security  interest  in any manner  permitted  under
     applicable law.

          (g) Any Assignee that is a foreign  corporation,  partnership or trust
     shall make the  representation and undertakings set forth in Section 10.10,
     as a condition to such assignment.

                             Exhibit 4.1 - Page 102

<PAGE>

     11.9. Set-off. In addition to any rights and remedies of the Banks provided
by law, if an Event of Default exists or the Loans have been  accelerated,  each
Bank (including Fleet) is authorized at any time and from time to time,  without
prior notice to the Company,  any such notice being waived by the Company to the
fullest  extent  permitted  by law,  to set off and apply  any and all  deposits
(general or special, time or demand,  provisional or final) at any time held by,
and other  indebtedness  at any time owing by, such Bank to or for the credit or
the account of the Company against any and all  Obligations  owing to such Bank,
now or hereafter  existing,  irrespective  of whether or not the  Administrative
Agent or such Bank  shall have made  demand  under  this  Agreement  or any Loan
Document and although such Obligations may be contingent or unmatured. Each Bank
agrees  promptly to notify the Company  and the  Administrative  Agent after any
such set-off and  application  made by such Bank;  provided,  however,  that the
failure to give such notice  shall not affect the  validity of such  set-off and
application.

     11.10.  Automatic  Debits  of  Fees.  With  respect  to any  facility  fee,
utilization fee, letter of credit fee or agent's fee, or other fee, or any other
cost or expense due and payable to the Administrative Agent (other than Attorney
Costs)  or Fleet  under  the Loan  Documents,  the  Company  hereby  irrevocably
authorizes  Fleet to debit any deposit  account of the Company  with Fleet in an
amount such that the  aggregate  amount  debited from all such deposit  accounts
does not exceed  such fee or other cost or  expense.  If there are  insufficient
funds in such  deposit  accounts to cover the amount of the fee or other cost or
expense then due,  such debits will be reversed (in whole or in part, in Fleet's
sole  discretion)  and such amount not debited shall be deemed to be unpaid.  No
such debit under this Section shall be deemed a set-off.

     11.11.  Notification of Addresses,  Lending  Offices,  Etc. Each Bank shall
notify the  Administrative  Agent in writing  of any  changes in the  address to
which  notices to such Bank  should be  directed,  of  addresses  of any Lending
Office,  of payment  instructions  in respect of all  payments  to be made to it
hereunder and of such other  administrative  information  as the  Administrative
Agent shall reasonably request.

     11.12.  Counterparts.  This  Agreement  may be  executed  in any  number of
separate  counterparts,  each of  which,  when so  executed,  shall be deemed an
original,  and all of said  counterparts  taken  together  shall  be  deemed  to
constitute but one and the same instrument.

     11.13. Severability. The illegality or unenforceability of any provision of
this Agreement or any instrument or agreement  required  hereunder  shall not in
any way  affect  or impair  the  legality  or  enforceability

                             Exhibit 4.1 - Page 103

<PAGE>

of the  remaining  provisions of this  Agreement or any  instrument or agreement
required hereunder.

     11.14. No Third Parties Benefited.  This Agreement is made and entered into
for the sole  protection  and legal  benefit  of the  Company,  the  Banks,  the
Administrative  Agent  and  the  Agent-Related   Persons,  and  their  permitted
successors and assigns,  and no other Person shall be a direct or indirect legal
beneficiary  of,  or have any  direct  or  indirect  cause of action or claim in
connection with, this Agreement or any of the other Loan Documents.

     11.15. Governing Law and Jurisdiction.

          (a) THIS  AGREEMENT  AND ANY NOTES SHALL BE GOVERNED BY, AND CONSTRUED
     IN ACCORDANCE WITH, AND SHALL CONSTITUE A SEALED  INSTRUMENT UNDER, THE LAW
     OF THE  COMMONWEALTH  OF  MASSACHUSETTS;  PROVIDED THAT THE  ADMINISTRATIVE
     AGENT AND THE BANKS SHALL RETAIN ALL RIGHTS ARISING UNDER FEDERAL LAW.

          (b) ANY LEGAL ACTION OR PROCEEDING  WITH RESPECT TO THIS  AGREEMENT OR
     ANY OTHER LOAN DOCUMENT MAY BE BROUGHT IN THE COURTS OF THE COMMONWEALTH OF
     MASSACHUSETTS OR OF AND FEDERAL COURT SITTING THEREIN, AND BY EXECUTION AND
     DELIVERY OF THIS AGREEMENT,  EACH OF THE COMPANY,  THE ADMINISTRATIVE AGENT
     AND THE BANKS CONSENTS,  FOR ITSELF AND IN RESPECT OF ITS PROPERTY,  TO THE
     NONEXCLUSIVE  JURISDICTION  OF  THOSE  COURTS.  EACH  OF THE  COMPANY,  THE
     ADMINISTRATIVE  AGENT  AND THE  BANKS  IRREVOCABLY  WAIVES  ANY  OBJECTION,
     INCLUDING  ANY  OBJECTION TO THE LAYING OF VENUE OR BASED ON THE GROUNDS OF
     FORUM NON CONVENIENS, WHICH IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF
     ANY ACTION OR PROCEEDING IN SUCH  JURISDICTION IN RESPECT OF THIS AGREEMENT
     OR ANY DOCUMENT RELATED HERETO. THE COMPANY,  THE ADMINISTRATIVE  AGENT AND
     THE BANKS EACH WAIVE  PERSONAL  SERVICE OF ANY SUMMONS,  COMPLAINT OR OTHER
     PROCESS,  WHICH MAY BE MADE BY ANY OTHER MEANS  PERMITTED BY  MASSACHUSETTS
     LAW.

     11.16. Waiver of Jury Trial. THE COMPANY,  THE BANKS AND THE ADMINISTRATIVE
AGENT  EACH  WAIVE  THEIR  RESPECTIVE  RIGHTS TO A TRIAL BY JURY OF ANY CLAIM OR
CAUSE OF ACTION

                             Exhibit 4.1 - Page 104

<PAGE>

BASED  UPON OR  ARISING  OUT OF OR  RELATED  TO THIS  AGREEMENT,  THE OTHER LOAN
DOCUMENTS,  OR THE TRANSACTIONS  CONTEMPLATED  HEREBY OR THEREBY, IN ANY ACTION,
PROCEEDING OR OTHER LITIGATION OF ANY TYPE BROUGHT BY ANY OF THE PARTIES AGAINST
ANY OTHER PARTY OR ANY AGENT-RELATED  PERSON,  PARTICIPANT OR ASSIGNEE,  WHETHER
WITH RESPECT TO CONTRACT CLAIMS,  TORT CLAIMS,  OR OTHERWISE.  THE COMPANY,  THE
BANKS AND THE  ADMINISTRATIVE  AGENT  EACH AGREE THAT ANY SUCH CLAIM OR CAUSE OF
ACTION  SHALL BE TRIED BY A COURT TRIAL  WITHOUT A JURY.  WITHOUT  LIMITING  THE
FOREGOING,  THE PARTIES FURTHER AGREE THAT THEIR  RESPECTIVE RIGHT TO A TRIAL BY
JURY IS WAIVED BY OPERATION OF THIS  SECTION AS TO ANY ACTION,  COUNTERCLAIM  OR
OTHER  PROCEEDING WHICH SEEKS, IN WHOLE OR IN PART, TO CHALLENGE THE VALIDITY OR
ENFORCEABILITY  OF THIS  AGREEMENT OR THE OTHER LOAN  DOCUMENTS OR ANY PROVISION
HEREOF  OR  THEREOF.  THIS  WAIVER  SHALL  APPLY TO ANY  SUBSEQUENT  AMENDMENTS,
RENEWALS,  SUPPLEMENTS  OR  MODIFICATIONS  TO THIS  AGREEMENT AND THE OTHER LOAN
DOCUMENTS.

     11.17.  Entire  Agreement.  This  Agreement,  together  with the other Loan
Documents,  embodies the entire agreement and  understanding  among the Company,
the  Banks  and  the   Administrative   Agent,   and  supersedes  all  prior  or
contemporaneous  agreements and understandings of such Persons, oral or written,
relating to the subject matter hereof and thereof.

                             Exhibit 4.1 - Page 105

<PAGE>

     IN WITNESS  WHEREOF,  the parties  hereto have caused this  Agreement to be
duly  executed  and  delivered as a sealed  instrument  by their proper and duly
authorized officers as of the day and year first above written.

                                        WISCONSIN CENTRAL
                                          TRANSPORTATION CORPORATION

                                        By:  /s/ Marty J. Mickey
                                           -------------------------------------
                                        Name:  Marty J. Mickey
                                        Title:  Treasurer

                                        FLEET NATIONAL BANK

                                        By:  /s/ Mark Fawcett

                                           -------------------------------------
                                        Name:  Mark Fawcett
                                        Title:  Vice President

                                        BANK OF AMERICA, N.A.

                                        By:  /s/ Sharon Burks Horos

                                           -------------------------------------
                                        Name:  Sharon Burks Horos
                                        Title:  Vice President

                                        HARRIS TRUST AND SAVINGS BANK

                                        By:  /s/ M. James Barry, III
                                           -------------------------------------
                                        Name:  M. James Barry, III
                                        Title:  Vice President

                                        THE NORTHERN TRUST COMPANY

                                        By:  /s/ Deborah Conley

                                           -------------------------------------
                                        Name:  Deborah Conley
                                        Title:  Vice President

                             Exhibit 4.1 - Page 106

<PAGE>

                                        BNP PARIBAS

                                        By:  /s/ Brian F. Hewett
                                           -------------------------------------
                                        Name:  Brian F. Hewett
                                        Title:  Vice President

                                        BNP PARIBAS

                                        By:  /s/ Ann B. McAloon
                                           -------------------------------------
                                        Name:  Ann B. McAloon
                                        Title:  Vice President

                                        NATIONAL CITY BANK
                                          OF MICHIGAN/ILLINOIS

                                        By:  /s/ Mark R. Long

                                           -------------------------------------
                                        Name:  Mark R. Long
                                        Title:  Vice President

                                        THE BANK OF NEW YORK

                                        By:  /s/ John-Paul Marotta

                                           -------------------------------------
                                        Name:  John-Paul Marotta
                                        Title:  Vice President

                                        THE BANK OF NOVA SCOTIA

                                        By:  /s/ F. C. H. Ashby
                                           -------------------------------------
                                        Name:  F. C. H. Ashby
                                        Title:  Senior Manager Loan Operations

                             Exhibit 4.1 - Page 107

<PAGE>

                                        THE CHASE MANHATTAN BANK

                                        By:  /s/ Cornelius J. Droogan
                                           -------------------------------------
                                        Name:  Cornelius J. Droogan
                                        Title:  Vice President

                                        MERRILL LYNCH BANK USA

                                        By:  /s/ Preston L. Jackson
                                           -------------------------------------
                                        Name:  Preston L. Jackson
                                        Title:  President & C.E.O.

                             Exhibit 4.1 - Page 108

<PAGE>

                                                                    SCHEDULE 2.1
<TABLE>

                                                                     COMMITMENTS

                                                              AND PRO RATA SHARES
<CAPTION>

                            Total      Pro Rata    Revolver A    Pro Rata     Revolver B   Pro Rata
     Bank Name              Amount      Share        Amount       Share         Amount      Share
--------------------------------------------------------------------------------------------------------------------
<S>                     <C>             <C>       <C>             <C>       <C>             <C>

Fleet National Bank     $ 55,000,000    20.00%    $ 35,000,000    20.00%    $ 20,000,000    20.00%

Bank of America,        $ 50,000,000    18.18%    $ 31,818,180    18.18%    $ 18,181,820    18.18%
N.A.

Harris Savings and      $ 45,000,000    16.36%    $ 28,636,364    16.36%    $ 16,363,636    16.36%
Trust Bank

The Northern Trust      $ 25,000,000     9.09%    $ 15,909,091     9.09%    $  9,090,909     9.09%
Company

BNP Paribas             $ 25,000,000     9.09%    $ 15,909,091     9.09%    $  9,090,909     9.09%

National City Bank of   $ 20,000,000     7.27%    $ 12,727,273     7.27%    $  7,272,727     7.27%
Michigan/Illinois

The Bank of New         $ 15,000,000     5.45%    $  9,545,455     5.45%    $  5,454,545     5.45%
York

The Bank of Nova        $ 15,000,000     5.45%    $  9,545,455     5.45%    $  5,454,545     5.45%
Scotia

The Chase               $ 15,000,000     5.45%    $  9,545,455     5.45%    $  5,454,545     5.45%
Manhattan Bank

Merrill Lynch Bank      $ 10,000,000     3.64%    $  6,363,636     3.64%    $  3,636,364     3.64%
USA

                        ----------------------------------------------------------------------------

Total                   $275,000,000   100.00%    $175,000,000   100.00%    $100,000,000   100.00%
                         ===========================================================================

</TABLE>

                             Exhibit 4.1 - Page 109

<PAGE>

                                                                 SCHEDULE 5.1(f)

                            INDEBTEDNESS TO BE REPAID

All amounts payable under:

1.   that certain  Revolving  Credit  Agreement made as of November 21, 1994 (as
     Amended  and  Restated,  by  and  among  Wisconsin  Central  Transportation
     Corporation and Bank of America National Trust and Savings Association,  as
     Agent,  and Bank of America  Illinois,  As Issuing Bank,  and other lending
     institutions that may have become parties thereto ("Banks")

2.   that certain Letter Agreement made as of June 30, 1999 (as Amended) between
     Wisconsin Central  Transportation  Corporation and Bank of America National
     Trust and Savings Association

3.   that certain  Letter  Agreement  made as of May 5, 2000  between  Wisconsin
     Central Transportation Corporation and the Chase Manhattan Bank

                             Exhibit 4.1 - Page 110

<PAGE>

                                                                    SCHEDULE 6.5

                                   LITIGATION

The Company's railroad  subsidiaries are subject to a number of claims and legal
actions  that  arose in the  ordinary  course  of  business,  including  Federal
Employers'  Liability Act claims and personal injury claims (including  wrongful
death claims) by third parties.  The Company believes these claims,  taking into
account  reserves and  applicable  insurance,  will not have a material  adverse
effect on the  Company's  financial  position  or annual  financial  results  of
operations.   However,   adverse   judgments   with  respect  to  these  claims,
individually or in the aggregate,  in excess of related  reserves and applicable
insurance,  could  have a material  adverse  effect on the  Company's  financial
position or annual financial results of operations.

                             Exhibit 4.1 - Page 111

<PAGE>

                                                                    SCHEDULE 6.7

                                  ERISA MATTERS

None.

                             Exhibit 4.1 - Page 112

<PAGE>

                                                                   SCHEDULE 6.11

                              PERMITTED LIABILITIES

None.

                             Exhibit 4.1 - Page 113

<PAGE>

                                                                   SCHEDULE 6.12

                              ENVIRONMENTAL MATTERS

The Company's subsidiaries have been named as "potentially  responsible parties"
under state spill statutes or CERCLA with respect to  contamination  at a number
of  sites  on  their  properties.   As  potentially   responsible  parties,  the
subsidiaries,  as the owners or lessees of those sites,  have been identified by
state  or  federal  environmental  authorities  as  parties  that  may  have  an
obligation  (jointly and severally with  predecessor  and concurrent  owners and
lessees and other third  parties)  to pay for the cost of  remediation  of those
sites. However, the Company believes that any expense it may incur in connection
with the above matters will not have a material  adverse effect on the Company's
financial condition or annual financial results of operations.

As part  of  their  normal  operations,  the  Company's  subsidiaries  transport
hazardous  materials  from time to time,  which may  expose  them to claims  and
potential liability for injuries to employees,  other persons,  property and the
environment.

The Company  maintains  third party  liability  insurance  coverage for personal
injuries,  including  death,  property  damage  and  other  specified  risks  of
operations.  The Company also  maintains  all risks  property  damage  coverage,
including property of shippers.

                             Exhibit 4.1 - Page 114

<PAGE>

                                                                   SCHEDULE 6.14

                              DIVIDEND RESTRICTIONS

The  payment  of  dividends  by Algoma  Central  Railway,  Inc.  is  restricted.
Specifically,  the  incorporation  documents  of Algoma  Central  Railway,  Inc.
provide for preferred stock ("Preferred  Shares") which entitle their holders to
a fixed,  preferential,  cumulative,  cash dividend  starting in year 2005.  The
terms  of the  incorporation  documents  further  provide  that  Algoma  Central
Railway,  Inc. may not declare and pay dividends,  starting in year 2005, to any
holders of other shares unless and until the accrued, preferential,  cumulative,
cash dividend on all Preferred Shares has been declared and paid.

                             Exhibit 4.1 - Page 115

<PAGE>

                                                                   SCHEDULE 6.16

                       SUBSIDIARIES AND MINORITY INTEREST

6.16 (a) - Subsidiaries

Subsidiaries:

Algoma Central Railway, Inc., a Canadian corporation
Fox Valley & Western Ltd., an Illinois corporation
Sault Ste. Marie Bridge Company, a Michigan corporation
WC Canada Holdings, Inc., a Canadian corporation
WCI Australia Limited (through Wisconsin Central International B.V.)
WCI  Jordan,   Inc.,  an  Illinois   corporation   (through   Wisconsin  Central
     International, Inc.)
WCL Railcars, Inc., an Illinois corporation
Wisconsin Central  International  B.V., a Dutch B.V. (through  Wisconsin Central
     International, Inc.)
Wisconsin Central International, Inc., an Illinois corporation
Wisconsin Central Ltd., an Illinois corporation
Wisconsin Chicago Link Ltd., an Illinois corporation
Wisconsin Polska Sp. z o.o., a Polish  corporation  (through  Wisconsin  Central
     International, Inc.)

6.16 (b) - Minority Interests

The Company has minority interests in the following corporations:

Australian Transport Network Limited (through  Wisconsin  Central  International
     B.V.)
English Welsh & Scottish Railway Holdings  Limited  (through  Wisconsin  Central
     International, Inc.)
Tranz Rail Holdings Limited (through Wisconsin Central International, Inc.)

                             Exhibit 4.1 - Page 116

<PAGE>

                                                                   SCHEDULE 6.17

                                INSURANCE MATTERS

None.

                             Exhibit 4.1 - Page 117

<PAGE>

                                                                    SCHEDULE 8.1

                                 PERMITTED LIENS

Any lien over assets owned by Algoma Central Railway, Inc.

                             Exhibit 4.1 - Page 118

<PAGE>

                                                                 SCHEDULE 8.4(e)

                              EXISTING INVESTMENTS

The Company has investments in the following corporations:

Australian Transport Network Limited (through  Wisconsin  Central  International
     B.V.) - approximately 33%
English Welsh & Scottish Railway Holdings  Limited  (through  Wisconsin  Central
     International, Inc.) - approximately 42.5%
Tranz Rail Holdings Limited (through Wisconsin  Central  International,  Inc.) -
     approximately 23.75%

                             Exhibit 4.1 - Page 119

<PAGE>

                                                                    SCHEDULE 8.9

                             CONTINGENT OBLIGATIONS

Guaranty by Wisconsin  Central  Transportation  Corporation  of 33% of Australia
Transport  Network  Limited's  AUD$8.5  million  credit  facility  with National
Australia Bank.

Guaranty by Wisconsin Central  Transportation  Corporation of the Canadian $12.0
million  Credit  Agreement  between The Bank of Nova  Scotia and Algoma  Central
Railway Inc. dated January 31, 1995 (as Amended).

A letter of credit issued by Bank of America under the Former Credit  Agreement,
Standby Credit Number 7400589, in the amount of $500,000.00,  for the benefit of
HSBC Bank, remains outstanding.

                             Exhibit 4.1 - Page 120

<PAGE>

                                                                   SCHEDULE 11.2

                     LENDING OFFICES, ADDRESSES FOR NOTICES

Bank of America, N.A.
---------------------
10th Floor
231 South LaSalle Street
Chicago, Illinois  60697

Attention:        Sharon Burks Horos
Telephone:        312-828-2149
Facsimile:        312-974-8811
E-Mail:           sharon_burks.horos@bankofamerica.com

BNP Paribas

-----------
Suite 3300
227 West Monroe Street
Chicago, Illinois  60606

Attention:        Brian P. Hewett, Vice President Transporation
Telephone:        312-853-6034
Facsimile:        312-853-6020

Attention:        Ann McAloon, Vice President, Portfolio Manager
Telephone:        312-853-6003
Facsimile:        312-853-6020

The Chase Manhattan Bank

------------------------
6th Floor
52 Broadway

New York, New York  10004

Attention:        C.J. Droogan, Vice President
Telephone:        212-701-4171
Facsimile:        212-701-4110

                             Exhibit 4.1 - Page 121

<PAGE>

Fleet National Bank

-------------------
Transportation Division
Mail Stop:  10008A
8th Floor
100 Federal Street
Boston, Massachusetts  02110

Attention:        Mark R. Fawcett, Vice President
Telephone:        617-434-7495
Facsimile:        617-434-1955
E-Mail:           Mark_R_Fawcett@Fleet.com

Harris Trust and Savings Bank

-----------------------------
111 West Monroe Street
Chicago, Illinois  60603

Attention:        M. James Barry, III, Vice President
Telephone:        312-461-2781
Facsimile:        312-292-4856
E-Mail:           james.barry@harrisbank.com

Merrill Lynch Bank USA

----------------------
Suite 300
15 W. South Temple
Salt Lake City, Utah  84101

Attention:        D. Kevin Imlay, Senior Credit Officer
Telephone:        801-526-8310
Facsimile:        801-521-6466

National City Bank of Michigan/Illinois

---------------------------------------
Suite 600
2021 Spring Road

Oak Brook, Illinois  60523

Attention:        Mark R. Long, Vice President
Telephone:        630-954-3126
Facsimile:        630-954-3730

                             Exhibit 4.1 - Page 122

<PAGE>

The Bank of New York

--------------------
One Wall Street, 19th Floor
New York, New York  10286

Attention:        John-Paul Marotta, Vice President
Telephone:        212-635-8204
Facsimile:        212-635-1208

The Northern Trust Company

--------------------------
50 South LaSalle Street
Chicago, Illinois  60675

Attention:        Deborah Conley, Vice President
Telephone:        312-557-3436
Facsimile:        312-444-7028

The Bank of Nova Scotia

-----------------------
Suite 2700
600 Peachtree Street, N.E.
Atlanta, Georgia  30308

Attention:        Allyson Mohan, Loan Operations Officer
Telephone:        404-877-1500
Facsimile:        404-888-8998

Attention:        F.C.B. Ashby, Senior Manager Loan Operations
Telephone:        404-877-1500
Facsimile:        404-888-8998

                             Exhibit 4.1 - Page 123

<PAGE>

                                                                     EXHIBIT A-1

                                    [FORM OF]
                           NOTICE OF A LOAN BORROWING

                  WISCONSIN CENTRAL TRANSPORTATION CORPORATION
                                One O'Hare Centre
                              6250 North River Road
                                   Suite 9000
                            Rosemont, Illinois 60018

                            ______________ __, 200__

Fleet National Bank,
   as Administrative Agent
100 Federal Street
Boston, Massachusetts  02110

Attention:  ___________________

Ladies and Gentlemen:

     Reference is hereby made to that certain Revolving Credit Agreement,  dated
as of  August  1, 2000 (as the same may be  amended  and in effect  from time to
time,  the  "Credit   Agreement"),   among  Wisconsin   Central   Transportation
Corporation  (the  "Borrower"),  Fleet  National  Bank,  and the  other  lending
institutions  which  are or  may  become  parties  thereto  from  time  to  time
(collectively,  the "Banks"),  Fleet National Bank, as administrative  agent for
the Banks (the "Administrative  Agent"),  Bank of America,  N.A., as Syndication
Agent,  and Harris Trust and Savings Bank, as Documentation  Agent.  Capitalized
terms  which are used  herein  without  definition  and which are defined in the
Credit Agreement shall have the same meanings herein as in the Credit Agreement.

     Pursuant  to ss.2.3 of the  Credit  Agreement,  we  hereby  request  that a
Revolving  Credit A Loan consisting of [a Base Rate Loan in the principal amount
of $__________, or a LIBOR Rate Loan in the principal amount of $__________ with
an Interest  Period of _________] be made on __________ __, 200__. We understand
that this request is  irrevocable  and binding on us and  obligates us to accept
the requested Revolving Credit A Loan on such date.

                             Exhibit 4.1 - Page 124
<PAGE>

Fleet National Bank,
   as Administrative Agent
_________ __, 200_

     We hereby certify (a) that the principal  amount requested herein including
all principal amount currently outstanding does not exceed the Company's ability
to borrow under the Revolving  Credit A Loans, (b) that we will use the proceeds
of the requested  Revolving  Credit A Loan in accordance  with the provisions of
the  Credit  Agreement,  (c) that  each of the  representations  and  warranties
contained in the Credit  Agreement or in any  document or  instrument  delivered
pursuant to or in connection  with the Credit  Agreement was true as of the date
as of which it was made and is true at and as of the date hereof  (except to the
extent of changes resulting from  transactions  contemplated or permitted by the
Credit  Agreement and changes  occurring in the ordinary course of business that
singly or in the aggregate are not  materially  adverse,  and to the extent that
such  representations  and warranties  related expressly to an earlier date) and
(d) that no Default or Event of Default has occurred and is continuing.

                                        Very truly yours,

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

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

                             Exhibit 4.1 - Page 125
<PAGE>

                                                                     EXHIBIT A-2

                                    [FORM OF]
                           NOTICE OF B LOAN BORROWING

                  WISCONSIN CENTRAL TRANSPORTATION CORPORATION
                                One O'Hare Centre
                              6250 North River Road
                                   Suite 9000
                            Rosemont, Illinois 60018

                            ______________ __, 200__

Fleet National Bank,
   as Administrative Agent
100 Federal Street
Boston, Massachusetts  02110

Attention:  ___________________

Ladies and Gentlemen:

     Reference is hereby made to that certain Revolving Credit Agreement,  dated
as of  August  1, 2000 (as the same may be  amended  and in effect  from time to
time,  the  "Credit   Agreement"),   among  Wisconsin   Central   Transportation
Corporation  (the  "Borrower"),  Fleet  National  Bank,  and the  other  lending
institutions  which  are or  may  become  parties  thereto  from  time  to  time
(collectively,  the "Banks"),  Fleet National Bank, as administrative  agent for
the Banks (the "Administrative  Agent"),  Bank of America,  N.A., as Syndication
Agent,  and Harris Trust and Savings Bank, as Documentation  Agent.  Capitalized
terms  which are used  herein  without  definition  and which are defined in the
Credit Agreement shall have the same meanings herein as in the Credit Agreement.

     Pursuant  to ss.2.3 of the  Credit  Agreement,  we  hereby  request  that a
Revolving  Credit B Loan consisting of [a Base Rate Loan in the principal amount
of $__________, or a LIBOR Rate Loan in the principal amount of $__________ with
an Interest  Period of _________] be made on __________ __, 200__. We understand
that this request is  irrevocable  and binding on us and  obligates us to accept
the requested Revolving Credit B Loan on such date.

                             Exhibit 4.1 - Page 126
<PAGE>

Fleet National Bank,
   as Administrative Agent
_________ __, 200_

     We hereby certify (a) that the principal  amount requested herein including
all principal amount currently outstanding does not exceed the Company's ability
to borrow under the Revolving  Credit B Loans, (b) that we will use the proceeds
of the requested  Revolving  Credit B Loan in accordance  with the provisions of
the  Credit  Agreement,  (c) that  each of the  representations  and  warranties
contained in the Credit  Agreement or in any  document or  instrument  delivered
pursuant to or in connection  with the Credit  Agreement was true as of the date
as of which it was made and is true at and as of the date hereof  (except to the
extent of changes resulting from  transactions  contemplated or permitted by the
Credit  Agreement and changes  occurring in the ordinary course of business that
singly or in the aggregate are not  materially  adverse,  and to the extent that
such  representations  and warranties  related expressly to an earlier date) and
(d) that no Default or Event of Default has occurred and is continuing.

                                        Very truly yours,

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

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

                             Exhibit 4.1 - Page 127
<PAGE>

                                                                       EXHIBIT B

                                    [FORM OF]
                      NOTICE OF CONVERSION OR CONTINUATION

                                               ____________ __, 200_

Fleet National Bank,
  as Administrative Agent
100 Federal Street
Boston, Massachusetts  02110

        Re:      Notice of Conversion or Continuation

Ladies and Gentlemen:

     Reference is hereby made to the  Revolving  Credit  Agreement,  dated as of
August 1, 2000 (as the same may be amended, supplemented,  restated or otherwise
modified from time to time, the "Credit  Agreement"),  among  Wisconsin  Central
Transportation Corporation (the "Borrower"),  the lending institutions which are
or may  become  parties  thereto  from  time to  time,  Fleet  National  Bank as
Administrative  Agent (in that capacity,  the "Administrative  Agent"),  Bank of
America,  N.A.,  as  Syndication  Agent and Harris  Trust and Savings  Bank,  as
Documentation Agent.  Capitalized terms which are used herein without definition
and which are  defined in the  Credit  Agreement  shall  have the same  meanings
herein as in the Credit Agreement.

     Pursuant  to  Section  2.4 of the Credit  Agreement,  the  Borrower  hereby
requests a [conversion]  [continuation]  on [________ __, 200_] of $[__________]
in principal amount of presently  outstanding  [Base Rate/LIBOR Rate] [Revolving
Credit A Loan(s)][Revolving  Credit B Loan(s)] [into][as] [Base Rate/LIBOR Rate]
[Revolving Credit A Loan(s)][Revolving  Credit B Loan(s)].  [The Interest Period
for such  Loan(s)  requested to be  [converted  to]  [continued  as] [LIBOR Rate
Loan(s)] is [___ months]].  We understand  that this request is irrevocable  and
binding and obligates us to accept the requested Loan(s) on such date.

     In connection herewith, the undersigned hereby certifies that no Default or
Event of Default has occurred and is continuing.

                                        Very truly yours,

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

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

                             Exhibit 4.1 - Page 128
<PAGE>

                                                                       EXHIBIT C

                                    [FORM OF]
                             COMPLIANCE CERTIFICATE

To:      Fleet National Bank, as Administrative Agent

Reference is made to the Credit  Agreement,  dated as of August 1, 2000 (herein,
as  amended  or  otherwise  modified  from  time to  time,  called  the  "Credit
Agreement"), among Wisconsin Central Transportation Corporation (the "Company"),
and  various   financial   institutions   including   Fleet  National  Bank,  as
Administrative  Agent.  Terms  used but not  otherwise  defined  herein are used
herein as defined in the Credit Agreement.

I.   Report. Enclosed herewith is a copy of the [annual/quarterly] report of the
     Company  as at  _______________,  20__  (the  "Computation  Date")  on Form
     10-K/Q, as filed with the Securities and Exchange Commission,  which report
     fairly  presents the  financial  condition and results of operations of the
     Company as of the Computation Date.

II.  Financial  Tests. The Company hereby certifies and warrants to you that the
     following is a true and correct  computation as at the Computation  Date of
     the following ratios and/or financial  restrictions for the Company and its
     Restricted  Subsidiaries,  as such ratios and restrictions are contained in
     Section 8 of the Credit Agreement:

     A. Section 8.2.  Disposition of Assets:

     (1)  Aggregate book value of all property disposed of
          since the Closing Date pursuant to dispositions
          not permitted by subsection 8.2 (a) through
          subsection 8.2 (e) of the Credit Agreement:               ____________

     (2)  20% of Net Tangible Assets as of the
          Computation Date:                                         ____________

                             Exhibit 4.1 - Page 129
<PAGE>

     B. Section 8.5.  Limitation on Indebtedness:

     (1)  Indebtedness permitted by subsection 8.5(d) of
          the Credit Agreement:                                     ____________

     (2)  15% of Net Tangible Assets as of the
          Computation Date:                                         ____________

     (3)  All assets which are subject to Indebtedness
          permitted by Subsection 8.5(g)                            ____________

     (4)  Sum of Item (2) minus Item (3)                            ____________

     C. Section 8.13.  Interest Coverage Ratio:

     (1)  Net Income of the Company and its Restricted
          Subsidiaries for the Computation Period ending on
          the Computation Date                                      ____________

     (2)  Interest Expense of the Company and its Restricted
          Subsidiaries for the Computation Period ending on
          the Computation Date                                      ____________

     (3)  Income Taxes for the Company and its Restricted
          Subsidiaries for the Computation Period
          ending on the Computation Date                            ____________

     (4)  Cash dividends actually received from Unrestricted
          Subsidiaries for the Computation Period ending on
          the Computation Date in an amount not to exceed
          the Company's share of the net income of such
          Unrestricted Subsidiaries for the Computation
          Period then ending                                        ____________

     (5)  Adjusted EBIT (Sum of Items (1), (2), (3) and (4))        ____________

     (6)  Interest Expense of the Company and its Restricted
          Subsidiaries for Computation Period ending on
          the Computation Date:                                     ____________

     (7)  Ratio of Item (5) to Item (6)                             ____________

                             Exhibit 4.1 - Page 130
<PAGE>

     (8)  Minimum Interest Coverage Ratio required by
          Section 8.13                                              ____________

     D. Section 8.14.  Leverage Ratio:

     (1)  Indebtedness of the Company and its Restricted
          Subsidiaries described in clauses (a), (d), (e),
          (f) and (g) of the definition of Indebtedness
          constituting Long Term Debt (including all
          maturities of Long Term Debt due within one year)         ____________

     (2)  Contingent Obligations of the Company and its
          Restricted Subsidiaries (exclusive of
          Contingent Obligations pursuant to
          Section  8.9(a), 8.9(b) and 8.9(c)(a))                    ____________

     (3)  Funded Debt (Sum of Item (1) plus Item (2))               ____________

     (4)  Consolidated net worth of the Company and its
          Restricted  Subsidiaries (exclusive of any net worth
          of Unrestricted Subsidiaries) as of the Computation
          Date                                                      ____________

     (5)  50% of Minority Owned Investments as shown on
          the consolidated balance sheet of the Company under
          "Investments in International  Affiliates"                ____________

     (6)  Ratio of Item (3) to the Sum of Item (3) plus
          Item (4) minus  Item (5)                                  ____________

     E. Section 8.15.  Net Worth:

     (1)  Consolidated net worth of the Company and its
          Restricted  Subsidiaries (exclusive of any net worth
          of Unrestricted Subsidiaries) as of the Computation
          Date                                                      ____________

     (2)  $400,000,000                                              ____________

     (3)  50% of Net Income of the Company and its

                             Exhibit 4.1 - Page 131
<PAGE>

          Subsidiaries for each fiscal quarter of the
          Company commencing  with the fiscal quarter
          beginning January 1, 2000                                 ____________

     (4)  Sum of Items (2) and (3)                                  ____________

III. Other Information.  Enclosed herewith is a quarterly schedule setting forth
     the amortization, depreciation, cash taxes and the capital expenditures for
     each Subsidiary pursuant to Section 7.2 of the Credit Agreement.

IV.  Defaults.  The Company hereby further certifies and warrants to you that no
     Event of Default or Default has occurred and is continuing.

                             Exhibit 4.1 - Page 132
<PAGE>

IN WITNESS  WHEREOF,  the Company has caused this Certificate to be executed and
delivered by its duly authorized  officer this _________ day of  ______________,
20__.

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

                                        By______________________________________

                                        Name____________________________________

                                        Title___________________________________

                             Exhibit 4.1 - Page 133
<PAGE>

                                                                       EXHIBIT D

                                    [FORM OF]
                       LEGAL OPINION OF COMPANY'S COUNSEL

                    [Letterhead of McLachlan, Rissman & Doll]

                            ______________ ___, 2000

Fleet National Bank,
   as Agent,
   Bank of America, N.A.,
   as Syndication Agent,
   Harris Trust and Savings Bank,
   as Documentation  Agent, and
   the other financial institutions
   party to the Credit Agreement
   hereinafter referred to

Re:  Credit  Agreement,  dated as of August 1,  2000 (the  "Credit  Agreement"),
     among Wisconsin Central Transportation Corporation, Fleet National Bank, as
     Agent,  Bank of America,  N.A.,  as  Syndication  Agent,  Harris  Trust and
     Savings Bank, as Documentation Agent, and the other financial  institutions
     party thereto.

Ladies and Gentlemen:

     We have acted as counsel to Wisconsin Central Transportation Corporation, a
Delaware  corporation  (the  "Company"),  and  its  Restricted  Subsidiaries  in
connection with the negotiation,  execution and delivery of the  above-captioned
Credit  Agreement.  Capitalized  terms used in this  opinion  and not  otherwise
defined  herein shall have the  respective  meanings  specified  therefor in the
Credit  Agreement.  We are providing  this opinion to the Agent and each Bank at
the request of our client and in  accordance  with Section  5.1(e) of the Credit
Agreement.

     We advise you that a partner of this firm is an officer and director of the
Company and the  Restricted  Subsidiaries,  a  shareholder  of the Company and a
trustee of a trust that is also a shareholder of the Company.

     In  connection  with  this  opinion  letter,   we  have  examined  executed
counterparts of the Credit Agreement, the Guaranty, the Fee Letter and any Notes
and L/C Related Documents  executed and delivered on or prior to the date hereof
(collectively  the Credit Agreement,  the Guaranty,  the Fee Letter and all such
Notes and L/C Related  Documents are the "Agreements") and such other documents,
records and other matters as we have considered necessary in connection with the
expression  of the opinions  hereinafter  set forth.  We have  assumed:  (a) the
genuineness of the signatures on all documents and  instruments  (except for the
signatures  of the  officers  of the  Company on the Credit  Agreement,  the Fee
Letter,  and  any  such  Notes  and  L/C  Related  Documents  and of each of the
Restricted Subsidiaries on the Guaranty); and (b) that the Agreements constitute
the legal, valid and binding  obligation of the respective  parties thereto,  if
any, other than the Company and the Restricted Subsidiaries.

                             Exhibit 4.1 - Page 134
<PAGE>

     Based upon the foregoing, we are of the opinion that:

     1. Each of the Company and each of its Subsidiaries:

          (a) is a corporation duly organized, validly existing in good standing
under the laws of the jurisdiction of its incorporation as set forth in Schedule
I hereto;

          (b)  has the  power  and  authority  and  all  governmental  licenses,
authorizations,  consents and approvals to own its assets, carry on its business
and to execute, deliver, and perform its obligations under the Agreements; and

          (c) is duly qualified as a foreign  corporation and is licensed and in
good  standing  under  the laws of the  jurisdictions  set forth on  Schedule  I
hereto.  Wisconsin Central Ltd. and Fox Valley & Western Ltd. have not qualified
to do business in  Wisconsin  since  Wisconsin  provides  no  procedure  for the
qualification  of an  out-of-state  railroad to do  business in that state.  The
failure to qualify to do business in Wisconsin does not affect Wisconsin Central
Ltd.'s or Fox  Valley & Western  Ltd.'s  ability  to  operate  its  railroad  in
Wisconsin.

     2. The  execution,  delivery and  performance  by the Company of the Credit
Agreement and each other Loan Document to which the Company is, or is to become,
a  party,  and the  execution,  delivery  and  performance  by  each  Restricted
Subsidiary of the Guaranty and each other Loan Document to which such Restricted
Subsidiary  is, or is to  become,  a party,  have been  duly  authorized  by all
necessary corporate action, and do not and will not: (a) contravene the terms of
any of such Person's Organization Documents;  (b) conflict with or result in any
breach or contravention  of, or the creation of any Lien under, (i) any document
evidencing  any  Contractual  Obligation  to which such person is a party and of
which we have knowledge after due inquiry, or (ii) any order,  injunction,  writ
or decree of any Governmental  Authority to which such Person or its property is
subject; or (c) violate any Requirement of Law.

     3. No approval, consent, exemption,  authorization,  or other action by, or
notice to, or filing with, any  Governmental  Authority is necessary or required
in connection  with the execution,  delivery or  performance  by, or enforcement
against,  the  Company  or any  of its  Restricted  Subsidiaries  of the  Credit
Agreement or any other Loan Document.

     4. Each of the  Credit  Agreement  and each  other  Agreement  to which the
Company or any of its Restricted  Subsidiaries is a party constitutes the legal,
valid  and  binding  obligation  of  the  Company  and  any  of  its  Restricted
Subsidiaries  to the  extent it is a party  thereto,  enforceable  against  such
Person in accordance with its respective terms,  except as enforceability may be
limited by  applicable  bankruptcy,  insolvency,  or similar laws  affecting the
enforcement of creditors' rights generally,  by equitable principles  including,
without limitation, concepts of materiality, reasonableness, good faith and fair
dealing  (regardless of whether  enforceability is considered in a proceeding in
equity  or at  law),  and,  in the  case  of the  Guaranty,  by  laws  regarding
fraudulent transfers and obligations.

     5. To the best of our knowledge,  there are no actions, suits, proceedings,
claims or  disputes  pending at law,  in equity,  in  arbitration  or before any
Governmental   Authority,   against  the  Company,  or  any  of  its  Restricted
Subsidiaries or any of their  respective

                             Exhibit 4.1 - Page 135
<PAGE>

properties  which purport to adversely  affect the legality,  validity,  binding
effect or enforceability of the Credit Agreement or any other Agreement.  To the
best of our knowledge,  no injunction,  writ, temporary restraining order or any
order of any nature has been issued by any court or other Governmental Authority
purporting to enjoin or restrain the  execution,  delivery or performance of the
Credit  Agreement,  any other  Agreement,  or  directing  that the  transactions
provided for therein not be consummated as therein provided.

     6.  None  of the  Company,  any  Person  controlling  the  Company,  or any
Subsidiary,  is an  "Investment  Company"  within the meaning of the  Investment
Company Act of 1940.  The Company is not subject to regulation  under the Public
Utility  Holding  Company  of 1935,  the  Federal  Power Act,  any state  public
utilities code, or any other Federal or state statute or regulation limiting its
ability to incur Indebtedness.

     7. As of the Closing Date, the Company has no Subsidiaries other than those
specifically disclosed in part (a) of Schedule 6.16 to the Credit Agreement.

     We express no opinion as to the enforceability of (i) any provision for the
payment  of  interest  on  interest  or (ii) any waiver of the right to trial by
jury.

     The  opinions  set forth in this letter are limited to the Federal  laws of
the United States of America,  the laws of the State of Illinois and the General
Corporation  Laws of the State of Delaware.  To the extent to which this opinion
deals with matters  governed by or relating to the laws of the  Commonwealth  of
Massachusetts,  by which the Credit  Agreement,  the  Notes,  and the other Loan
Documents  are  stated  to be  governed,  we have  assumed  that  such  laws are
identical to the internal substantive laws of the State of Illinois.

     This opinion  letter is being  furnished to you and may be relied upon only
by you and any permitted  assignee or  transferee in connection  with the Credit
Agreement and the transactions  described therein. The opinions expressed herein
are limited in all respects to the law existing on the date hereof.

                                        Very truly yours,

                             Exhibit 4.1 - Page 136
<PAGE>

                                   SCHEDULE I
                                  TO OPINION OF
                            MCLACHLAN, RISSMAN & DOLL

                                          Jurisdiction of            Foreign
      Name of Corporation                  Organization           Qualifications
      -------------------                 ---------------         --------------

Wisconsin Central Transportation             Delaware                Illinois
Corporation

Wisconsin Central Ltd.                       Illinois                Minnesota
                                                                     Michigan

Fox Valley & Western Ltd.                    Illinois                  None

WCL Railcars, Inc.                           Illinois                  None

Wisconsin Central International, Inc.        Delaware                  None

Wisconsin Chicago Link, Ltd.                 Illinois                  None

Sault Ste. Marie Bridge Co.                  Michigan                Wisconsin

                             Exhibit 4.1 - Page 137
<PAGE>

                                                                       EXHIBIT E

                                    [FORM OF]
                            ASSIGNMENT AND ACCEPTANCE

                        Dated as of __________ __, 200__

     Reference is made to the Revolving Credit Agreement,  dated as of August 1,
2000 (as amended and in effect from time to time,  the "Credit  Agreement"),  by
and among Wisconsin Central Transportation  Corporation,  a Delaware corporation
(the "Borrower"),  the banking institutions  referred to therein  (collectively,
the "Banks"),  Bank of America,  N.A., as  Syndication  Agent,  Harris Trust and
Savings Bank, as Documentation Agent, and Fleet National Bank, as Administrative
Agent (in such capacity, the "Administrative Agent") for the Banks.  Capitalized
terms used herein and not otherwise  defined shall have the meanings assigned to
such terms in the Credit Agreement.

     __________________ (the "Assignor")and  __________________ (the "Assignee")
hereby agree as follows:

     ss.1.   Subject  to  the  terms  and  conditions  of  this  Assignment  and
Acceptance,  the  Assignor  hereby  sells and assigns to the  Assignee,  and the
Assignee  hereby  purchases  and assumes  without  recourse to the  Assignor,  a
$________ interest in and to the rights,  benefits,  indemnities and obligations
of the Assignor under the Credit Agreement equal to $_________ of the Assignor's
Revolving  Credit A Loan and  $_________ of the  Assignor's  Revolving  Credit B
Loans as in effect on the Effective Date (as hereinafter defined) (such interest
being hereinafter referred to as the "Assigned Portion").

     ss.2.  The Assignor  (a)  represents  and  warrants  that (i) it is legally
authorized to enter into this  Assignment  and  Acceptance,  (ii) as of the date
hereof,  its Revolving Credit A Loan Commitment is $__________ and its Revolving
Credit  B Loan  Commitment  is  $__________;  and its  Revolving  Credit  A Loan
Percentage is ___% and its Revolving  Credit B Loan  Percentage is ___%; and the
aggregate  outstanding  principal  balance of its Revolving Credit A Loan equals
$__________  and the aggregate  outstanding  principal  balance of its Revolving
Credit B Loan  equals  $__________  (in each  case  after  giving  effect to the
assignment  contemplated  hereby but without  giving effect to any  contemplated
assignments  which have not yet become  effective),  and (iii) immediately after
giving  effect to all  assignments  which  have not yet  become  effective,  the
Assignor's Revolving Credit A Loan Commitment  Percentage and Revolving Credit B
Loan Commitment  Percentage will be sufficient to give effect to this Assignment
and Acceptance; (b) makes no

                             Exhibit 4.1 - Page 138
<PAGE>

representation  or warranty,  express or implied,  and assumes no responsibility
with respect to any  statements,  warranties  or  representations  made in or in
connection  with the Credit  Agreement or any of the other Loan Documents or the
execution, legality, validity, enforceability, genuineness, sufficiency or value
of the Credit Agreement, any of the other Loan Documents or any other instrument
or  document  furnished  pursuant  thereto,  other than that it is the legal and
beneficial  owner of the interest  being assigned by it hereunder free and clear
of any claim or encumbrance; (c) makes no representation or warranty and assumes
no responsibility with respect to the financial condition of the Borrower or any
of its  Subsidiaries  or any other  Person  primarily or  secondarily  liable in
respect of any of the  Obligations,  or the  performance  or  observance  by the
Borrower or any of its Subsidiaries or any other Person primarily or secondarily
liable in respect of any of the Obligations of any of its obligations  under the
Credit  Agreement or any of the other Loan Documents or any other  instrument or
document  delivered or executed pursuant  thereto;  (d) delivers herewith to the
Administrative   Agent,   pursuant  to  ss.11.8  of  the  Credit  Agreement,   a
registration  fee in the sum of $3,500;  and (e) attaches  hereto the Notes,  if
applicable, delivered to it under the Credit Agreement.

          The Assignor  requests that the Borrower exchange the Assignor's Notes
for new Notes payable to the Assignor and the Assignee as follows:

     Notes Payable to the Order of:                   Amount of Note:
     ------------------------------                   ---------------

               [Assignor]                    [Revolving Credit A Loan ($______)]
               [Assignee]                    [Revolving Credit A Loan ($______)]
               [Assignor]                    [Revolving Credit B Loan ($______)]
               [Assignee]                    [Revolving Credit B Loan ($______)]

     ss.3.  The Assignee  (a)  represents  and warrants  that (i) it is duly and
legally  authorized  to enter  into this  Assignment  and  Acceptance,  (ii) the
execution,  delivery and  performance  of this  Assignment and Acceptance do not
conflict with any provision of law or of the charter or by-laws of the Assignee,
or of any agreement  binding on the  Assignee,  (iii) all acts,  conditions  and
things  required  to be done and  performed  and to have  occurred  prior to the
execution,  delivery and performance of this  Assignment and Acceptance,  and to
render  the same the  legal,  valid  and  binding  obligation  of the  Assignee,
enforceable  against  it in  accordance  with  its  terms,  have  been  done and
performed and have  occurred in due and strict  compliance  with all  applicable
laws; (b) confirms that it has received a copy of the Credit Agreement, together
with copies of the most recent financial statements delivered pursuant to ss.7.1
thereof and such other documents and information as it has deemed appropriate to
make its own credit  analysis  and  decision to enter into this  Assignment  and
Acceptance; (c) agrees that it will, independently and without reliance upon the
Assignor, the Administrative Agent or any other Bank and based on such documents
and

                             Exhibit 4.1 - Page 139
<PAGE>

information as it shall deem  appropriate at the time,  continue to make its own
credit decisions in taking or not taking action under the Credit Agreement;  (d)
represents  and  warrants  that it is an Eligible  Assignee;  (e)  appoints  and
authorizes the  Administrative  Agent to take such action as agent on its behalf
and to  exercise  such  powers  under the  Credit  Agreement  and the other Loan
Documents as are  delegated to the  Administrative  Agent by the terms  thereof,
together with such powers as are reasonably  incidental thereto; (f) agrees that
it will perform in accordance with their terms all the obligations  which by the
terms of the Credit  Agreement are required to be performed by it as a Bank; and
(g) represents and warrants that it has made arrangements with the Assignor with
respect to Letter of Credit Fees.

     ss.4.  The  effective  date for this  Assignment  and  Acceptance  shall be
__________  __, 200__ (the  "Effective  Date").  Following the execution of this
Assignment  and  Acceptance  and the consent of the Borrower  hereto having been
obtained,  each party hereto shall deliver its duly executed  counterpart hereof
to the  Administrative  Agent  for  consent  by  the  Administrative  Agent  and
recording  in the  Register by the  Administrative  Agent.  Schedule  2.1 to the
Credit  Agreement  shall  thereupon be replaced as of the Effective  Date by the
Schedule 2.1 annexed hereto.

     ss.5.  Upon such  acceptance  and  recording,  from and after the Effective
Date,  (i) the  Assignee  shall be a party to the Credit  Agreement  and, to the
extent  provided  in  this  Assignment  and  Acceptance,  have  the  rights  and
obligations of a Bank thereunder,  and (ii) the Assignor shall,  with respect to
that  portion of its interest  under the Credit  Agreement  assigned  hereunder,
relinquish  its rights and be  released  from its  obligations  under the Credit
Agreement and the Loan Documents with respect to the Assigned Portion.

     ss.6.  Upon  such  acceptance  of this  Assignment  and  Acceptance  by the
Administrative Agent and such recording,  from and after the Effective Date, the
Administrative  Agent  shall  make all  payments  in  respect  of the rights and
interests assigned hereby (including payments of principal,  interest,  fees and
other  amounts) to the  Assignee.  The Assignor and the Assignee  shall make any
appropriate  adjustments  in payments for periods prior to the Effective Date by
the  Administrative  Agent or with  respect  to the  making  of this  assignment
directly between themselves.

     ss.7. THIS ASSIGNMENT AND ACCEPTANCE IS INTENDED TO TAKE EFFECT AS A SEALED
INSTRUMENT TO BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE  WITH, THE LAWS OF THE
COMMONWEALTH OF MASSACHUSETTS (WITHOUT REFERENCE TO CONFLICT OF LAWS).

                             Exhibit 4.1 - Page 140
<PAGE>

     ss.8.  This  Assignment  and  Acceptance  may be  executed in any number of
counterparts which shall together constitute but one and the same agreement.

     IN WITNESS WHEREOF,  intending to be legally bound, each of the undersigned
has caused this  Assignment  and  Acceptance to be executed on its behalf by its
officer thereunto duly authorized, as of the date first above written.

                                        [THE ASSIGNOR]

                                        By:_____________________________________
                                          Name:
                                          Title:

                                        [THE ASSIGNEE]

                                        By:_____________________________________
                                          Name:
                                          Title:

CONSENTED TO:

WISCONSIN CENTRAL
TRANSPORTATION CORPORATION

By:_____________________________________
  Name:
  Title:

FLEET NATIONAL BANK,
  as Administrative Agent

By:_____________________________________
  Name:
  Title:

                             Exhibit 4.1 - Page 141
<PAGE>

                                  Schedule 2.1

                             Exhibit 4.1 - Page 142
<PAGE>

                                                                       EXHIBIT F

                                    [FORM OF]
                         INVITATION FOR COMPETITVE BIDS

To:     [Name of Bank]

     Pursuant to ss.2.5 of the Revolving Credit Agreement, dated as of August 1,
2000 (as the same is  amended  and in  effect  from  time to time,  the  "Credit
Agreement"),   among   Wisconsin   Central   Transportation   Corporation   (the
"Borrower"),  the banks which are or may become  parties  thereto (the "Banks"),
Bank of America,  N.A., as Syndication Agent,  Harris Trust and Savings Bank, as
Documentation  Agent, and Fleet National Bank, as  Administrative  Agent, we are
pleased [on behalf of the Borrower] to invite you to submit Competitive Bids [to
the Borrower] for the following proposed Competitive Bid Loan(s):

Requested Drawdown Date:____________

Principal Amount              Interest Period(s)*                Maturity Date**
----------------              ------------------                 -------------

$

     Such Competitive Bids should offer a Competitive Bid Rate.

     Capitalized  terms which are used herein  without  definition and which are
defined in the Credit  Agreement  shall have the same meanings  herein as in the
Credit Agreement.

     Please respond to this invitation by no later than 9:00 a.m.  [Boston time]
on the requested Drawdown Date to the attention of [______________] at facsimile
number [______________].

                                WISCONSIN CENTRAL
                                TRANSPORTATION CORPORATION
                                [FLEET NATIONAL BANK,
                                as Administrative Agent]

                                By:___________________________________
                                  Name:
                                  Title:

--------------------

*    The Interest Periods for Bid Loans currently outstanding plus the number of
     Interest  Periods for the Committed  Loans  currently  outstanding  may not
     exceed twelve.

**   Last day of Interest Period

                             Exhibit 4.1 - Page 143
<PAGE>

                                                                       EXHIBIT G

                                    [FORM OF]
                             COMPETITVE BID REQUEST

                              ___________ __, 200__
To:       Fleet  National  Bank, as  Administrative  Agent (the  "Administrative
          Agent")

From:     Wisconsin Central Transportation Corporation (the "Borrower")

Re:       Revolving  Credit  Agreement (as the same may be amended and in effect
          from  time to time,  the  "Credit  Agreement"),  dated as of August 1,
          2000,  among the Borrower,  the banks which are or may become  parties
          thereto (the  "Banks"),  the  Administrative  Agent,  Bank of America,
          N.A.,  as  Syndication  Agent,  and Harris Trust and Savings  Bank, as
          Documentation Agent.

     We hereby give notice  pursuant to ss.2.6 of the Credit  Agreement  that we
request  Competitive  Bid Requests for the following  proposed  Competitive  Bid
Loan(s):

Requested Drawdown Date:

Principal Amount*               Interest Period**               Maturity Date***
----------------                ---------------                 -------------

$

     Such Competitive Bid Requests should offer a Competitive Bid Rate.

     Capitalized  terms which are used herein without  definition shall have the
same meanings herein as in the Credit Agreement.

                                        Wisconsin Central
                                        Transportation Corporation

                                        By:_____________________________________
                                           Name:
                                           Title:

---------------------
*    Amount  must be  $1,000,000  minimum,  or a greater  integral  multiple  of
     $500,000, and may not exceed the Total Commitment.
**   From 7 through 365 days, but not to extend beyond the Maturity Date.
***  Last day of Interest Period.

                             Exhibit 4.1 - Page 144
<PAGE>

                                                                       EXHIBIT H

                             FORM OF COMPETITIVE BID

[Name of Bid Agent]
[Address of Bid Agent]
[City, State, Zip Code of Bid Agent]

Attention:

     Re:  Competitive Bid to Wisconsin Central  Transportation  Corporation (the
          "Company")

     In response to your  invitation [on behalf of the Company] dated , 20__, we
hereby make the following Competitive Bid on the following terms:

1.   Quoting Bank:______________________________________________________________

2.   Person to contact at quoting Bank:_________________________________________

3.   Drawdown Date:____________________________________________________________*

4.   We hereby offer to make Competitive Bid Loan(s) in the following  principal
     amounts, for the following Interest Periods and at the following rates:

     Principal                      Interest                     Competitive Bid
     Amount**                       Period(s)***                 Rate(s)****
     ------                         ---------                    -------

     $
     $

5.   Aggregate  Principal  Amount               $

--------------------
*    As specified in the related Invitation for Competitive Bids.
**   Principal  amount bid for each Interest Period may not exceed the aggregate
     principal  amount of Competitive  Bid Loans for which offers were requested
     and may not exceed the Total  Commitment.  Bids must be made for $1,000,000
     or any larger multiple of $500,000.
***  From 7  through  365 days,  as  specified  in the  related  Invitation  for
     Competitive Bid.
**** Specify rate of interest per annum (each  rounded to the nearest  1/1,000th
     of 1%) for each applicable Interest Period.

                             Exhibit 4.1 - Page 145
<PAGE>

     We understand  and agree that the offer(s) set forth above,  subject to the
satisfaction  of the  applicable  conditions  set forth in the Revolving  Credit
Agreement,  dated as of August 1, 2000 (as the same may be amended and in effect
from time to time, the "Credit  Agreement"),  among the Company, the banks which
are or may become parties thereto, Bank of America,  N.A., as Syndication Agent,
Harris Trust and Savings Bank, as Documentation  Agent, and Fleet National Bank,
as Administrative  Agent,  irrevocably  obligates us to make the Competitive Bid
Loan(s) for which any offer(s) are accepted in whole or in part by the Company.

     Capitalized  terms which are used herein  without  definition and which are
defined in the Credit  Agreement  shall have the same meanings  herein as in the
Credit Agreement.

                                        Very truly yours,

                                        [NAME OF BANK]

Dated:______________________________    By:_____________________________________
                                          Title:

                             Exhibit 4.1 - Page 146
<PAGE>

                                                                     EXHIBIT I-1

                                    [FORM OF]
                         REVOLVING A COMMITTED LOAN NOTE

$[INSERT BANK'S COMMITMENT AMOUNT]                                August 1, 2000

     FOR  VALUE  RECEIVED,  the  undersigned  WISCONSIN  CENTRAL  TRANSPORTATION
CORPORATION,  a Delaware  corporation (the  "Borrower"),  hereby  absolutely and
unconditionally  promises  to pay to the  order of  [INSERT  NAME OF BANK]  (the
"Bank")  the  principal  amount of [INSERT  BANK'S  COMMITMENT  AMOUNT]  DOLLARS
($__________)  or, if less, the aggregate unpaid principal amount of Revolving A
Committed  Loans advanced by the Bank to the Borrower  pursuant to the Revolving
Credit Agreement,  dated as of August 1, 2000, among the Borrower, the Bank, the
other banks which are or may become parties to the Credit Agreement from time to
time,  Bank of America,  N.A., as  Syndication  Agent,  Harris Trust and Savings
Bank, as Documentation Agent, and Fleet National Bank, as Administrative  Agent,
as the same may be amended,  restated,  modified or  supplemented  and in effect
from time to time (such  agreement,  as amended and in effect from time to time,
the  "Credit  Agreement"),  in  installments  in the  amounts  and at the  times
specified in the Credit  Agreement  with a final payment on the Maturity Date of
all amounts which are  outstanding  on such date.  The Borrower also promises to
pay to the order of the Bank interest on the principal  balance  hereof  through
and  including the date on which such  principal  amount is paid in full, at the
times and at the rates provided in the Credit Agreement.

     This Revolving A Committed Loan Note evidences  borrowings  under,  and has
been  issued  by the  Borrower  in  accordance  with the terms  of,  the  Credit
Agreement.  The Bank and any holder  hereof are  entitled to the benefits of the
Credit  Agreement,  and may enforce the  agreements  of the  Borrower  contained
therein.  All capitalized terms used in this Revolving A Committed Loan Note and
not  otherwise  defined  herein  shall have the same  meanings  herein as in the
Credit Agreement.

     Both  principal  and  interest  are  payable in lawful  money of the United
States of America to the Bank in care of Fleet National Bank, as  Administrative
Agent,  at 100 Federal  Street,  Boston,  Massachusetts  02110,  in  immediately
available funds.

                             Exhibit 4.1 - Page 147
<PAGE>

     The Bank shall,  and is hereby  irrevocably  authorized by the Borrower to,
endorse on the schedule  attached to this  Revolving A Committed  Loan Note or a
continuation  of such  schedule  attached  hereto  and  made a part  hereof,  an
appropriate  notation  evidencing  advances and  repayments of principal of this
Revolving A  Committed  Loan Note.  The  outstanding  amount of the  Revolving A
Committed Loans set forth on such Bank's Record shall be prima facie evidence of
the principal  amount  thereof owing and unpaid to such Bank, but failure by the
Bank  to  make  any  such  notations  shall  not  affect  any of the  Borrower's
obligations in respect to any Revolving A Committed Loan Note.

     The Borrower has the right in certain  circumstances  and the obligation in
certain other circumstances to prepay the whole or part of the principal of this
Revolving A Committed  Loan Note on the terms and  conditions  specified  in the
Credit Agreement.

     If any one or more of the Events of Default shall occur,  the entire unpaid
principal  amount of this  Revolving A Committed Loan Note and all of the unpaid
interest accrued thereon may become or be declared due and payable in the manner
and with the effect provided in the Credit Agreement.

     No  delay or  omission  on the part of the  Bank or any  holder  hereof  in
exercising any right hereunder shall operate as a waiver of such right or of any
other rights of the Bank or other such holder, nor shall any delay,  omission or
waiver  on any one  occasion  be deemed a bar or waiver of the same or any other
right on any further occasion.

     Except  as  otherwise  expressly  provided  in the  Credit  Agreement,  the
Borrower and every  endorser and  guarantor of this  Revolving A Committed  Loan
Note, or the obligation  represented hereby, waive presentment,  demand, notice,
protest  and all other  demands  and notices in  connection  with the  delivery,
acceptance,  performance,  default or  enforcement of this Revolving A Committed
Loan Note, assent to any extension or postponement of the time of payment or any
other indulgence, to any substitution,  exchange or release of collateral and to
the addition or release of any other party or person  primarily  or  secondarily
liable.

     THIS  REVOLVING A COMMITED  LOAN NOTE AND THE  OBLIGATIONS  OF THE BORROWER
HEREUNDER SHALL FOR ALL PURPOSES BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAW OF THE COMMONWEALTH OF  MASSACHUSETTS  (EXCLUDING THE LAWS APPLICABLE TO
CONFLICTS  OR  CHOICE  OF  LAW).  THE  BORROWER  AGREES  THAT  ANY  SUIT FOR THE
ENFORCEMENT  OF THIS NOTE MAY BE BROUGHT IN THE  COURTS OF THE  COMMONWEALTH  OF

                             Exhibit 4.1 - Page 148
<PAGE>

MASSACHUSETTS  OR  ANY  FEDERAL  COURT  SITTING  THEREIN  AND  CONSENTS  TO  THE
NONEXCLUSIVE  JURISDICTION  OF SUCH COURT AND THE SERVICE OF PROCESS IN ANY SUCH
SUIT BEING MADE UPON THE BORROWER BY MAIL AT THE ADDRESS SPECIFIED IN THE CREDIT
AGREEMENT. THE BORROWER HEREBY WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER
HAVE TO THE  VENUE OF ANY  SUCH  SUIT OR ANY SUCH  COURT  OR THAT  SUCH  SUIT IS
BROUGHT IN AN INCONVENIENT COURT.

     This  Revolving A  Committed  Loan Note shall be deemed to take effect as a
sealed instrument under the laws of the Commonwealth of Massachusetts.

     IN WITNESS WHEREOF, WISCONSIN CENTRAL TRANSPORTATION CORPORATION has caused
this  Revolving A Committed  Loan Note to be signed in its corporate name by its
duly authorized officer as of the day and year first above written.

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

                                        By:_____________________________________
                                          Name:
                                          Title:

                             Exhibit 4.1 - Page 149
<PAGE>

                                            Amount of
                                            Principal     Balance of
        Amount of    Type of    Interest     Paid or      Principal     Notation
Date      Loan        Loan       Period      Prepaid       Unpaid        Made By
----      ----        ----       ------      -------       ------        -------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

                             Exhibit 4.1 - Page 150
<PAGE>

                                                                     EXHIBIT I-2

                                    [FORM OF]
                         REVOLVING B COMMITTED LOAN NOTE

$[INSERT BANK'S COMMITMENT AMOUNT]                                August 1, 2000

     FOR  VALUE  RECEIVED,  the  undersigned  WISCONSIN  CENTRAL  TRANSPORTATION
CORPORATION,  a Delaware  corporation (the  "Borrower"),  hereby  absolutely and
unconditionally  promises  to pay to the  order of  [INSERT  NAME OF BANK]  (the
"Bank")  the  principal  amount of [INSERT  BANK'S  COMMITMENT  AMOUNT]  DOLLARS
($__________)  or, if less, the aggregate unpaid principal amount of Revolving B
Committed  Loans advanced by the Bank to the Borrower  pursuant to the Revolving
Credit Agreement,  dated as of August 1, 2000, among the Borrower, the Bank, the
other banks which are or may become parties to the Credit Agreement from time to
time,  Bank of America,  N.A., as  Syndication  Agent,  Harris Trust and Savings
Bank, as Documentation Agent, and Fleet National Bank, as Administrative  Agent,
as the same may be amended,  restated,  modified or  supplemented  and in effect
from time to time (such  agreement,  as amended and in effect from time to time,
the  "Credit  Agreement"),  in  installments  in the  amounts  and at the  times
specified in the Credit  Agreement  with a final payment on the Maturity Date of
all amounts which are  outstanding  on such date.  The Borrower also promises to
pay to the order of the Bank interest on the principal  balance  hereof  through
and  including the date on which such  principal  amount is paid in full, at the
times and at the rates provided in the Credit Agreement.

     This Revolving B Committed Loan Note evidences  borrowings  under,  and has
been  issued  by the  Borrower  in  accordance  with the terms  of,  the  Credit
Agreement.  The Bank and any holder  hereof are  entitled to the benefits of the
Credit  Agreement,  and may enforce the  agreements  of the  Borrower  contained
therein.  All capitalized terms used in this Revolving B Committed Loan Note and
not  otherwise  defined  herein  shall have the same  meanings  herein as in the
Credit Agreement.

     Both  principal  and  interest  are  payable in lawful  money of the United
States of America to the Bank in care of Fleet National Bank, as  Administrative
Agent,  at 100 Federal  Street,  Boston,  Massachusetts  02110,  in  immediately
available funds.

                             Exhibit 4.1 - Page 151
<PAGE>

     The Bank shall,  and is hereby  irrevocably  authorized by the Borrower to,
endorse on the schedule  attached to this  Revolving B Committed  Loan Note or a
continuation  of such  schedule  attached  hereto  and  made a part  hereof,  an
appropriate  notation  evidencing  advances and  repayments of principal of this
Revolving B  Committed  Loan Note.  The  outstanding  amount of the  Revolving B
Committed Loans set forth on such Bank's Record shall be prima facie evidence of
the principal  amount  thereof owing and unpaid to such Bank, but failure by the
Bank  to  make  any  such  notations  shall  not  affect  any of the  Borrower's
obligations in respect to any Revolving B Committed Loan Note.

     The Borrower has the right in certain  circumstances  and the obligation in
certain other circumstances to prepay the whole or part of the principal of this
Revolving B Committed  Loan Note on the terms and  conditions  specified  in the
Credit Agreement.

     If any one or more of the Events of Default shall occur,  the entire unpaid
principal  amount of this  Revolving B Committed Loan Note and all of the unpaid
interest accrued thereon may become or be declared due and payable in the manner
and with the effect provided in the Credit Agreement.

     No  delay or  omission  on the part of the  Bank or any  holder  hereof  in
exercising any right hereunder shall operate as a waiver of such right or of any
other rights of the Bank or other such holder, nor shall any delay,  omission or
waiver  on any one  occasion  be deemed a bar or waiver of the same or any other
right on any further occasion.

     Except  as  otherwise  expressly  provided  in the  Credit  Agreement,  the
Borrower and every  endorser and  guarantor of this  Revolving B Committed  Loan
Note, or the obligation  represented hereby, waive presentment,  demand, notice,
protest  and all other  demands  and notices in  connection  with the  delivery,
acceptance,  performance,  default or  enforcement of this Revolving B Committed
Loan Note, assent to any extension or postponement of the time of payment or any
other indulgence, to any substitution,  exchange or release of collateral and to
the addition or release of any other party or person  primarily  or  secondarily
liable.

     THIS  REVOLVING B COMMITED  LOAN NOTE AND THE  OBLIGATIONS  OF THE BORROWER
HEREUNDER SHALL FOR ALL PURPOSES BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH
THE LAW OF THE COMMONWEALTH OF  MASSACHUSETTS  (EXCLUDING THE LAWS APPLICABLE TO
CONFLICTS  OR  CHOICE  OF  LAW).  THE  BORROWER  AGREES  THAT  ANY  SUIT FOR THE
ENFORCEMENT  OF THIS NOTE MAY BE BROUGHT IN THE  COURTS OF THE  COMMONWEALTH  OF

                             Exhibit 4.1 - Page 152
<PAGE>

MASSACHUSETTS  OR  ANY  FEDERAL  COURT  SITTING  THEREIN  AND  CONSENTS  TO  THE
NONEXCLUSIVE  JURISDICTION  OF SUCH COURT AND THE SERVICE OF PROCESS IN ANY SUCH
SUIT BEING MADE UPON THE BORROWER BY MAIL AT THE ADDRESS SPECIFIED IN THE CREDIT
AGREEMENT. THE BORROWER HEREBY WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER
HAVE TO THE  VENUE OF ANY  SUCH  SUIT OR ANY SUCH  COURT  OR THAT  SUCH  SUIT IS
BROUGHT IN AN INCONVENIENT COURT.

     This  Revolving B  Committed  Loan Note shall be deemed to take effect as a
sealed instrument under the laws of the Commonwealth of Massachusetts.

     IN WITNESS WHEREOF, WISCONSIN CENTRAL TRANSPORTATION CORPORATION has caused
this  Revolving B Committed  Loan Note to be signed in its corporate name by its
duly authorized officer as of the day and year first above written.

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

                                        By:_____________________________________
                                          Name:
                                          Title:

                             Exhibit 4.1 - Page 153
<PAGE>

                                            Amount of
                                            Principal     Balance of
        Amount of    Type of    Interest     Paid or      Principal     Notation
Date      Loan        Loan       Period      Prepaid       Unpaid        Made By
----      ----        ----       ------      -------       ------        -------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

                             Exhibit 4.1 - Page 154
<PAGE>

                                                                       EXHIBIT J

                                    [FORM OF]
                                  BID LOAN NOTE

$[INSERT TOTAL COMMITMENT]                                        August 1, 2000

     FOR  VALUE  RECEIVED,  the  undersigned  WISCONSIN  CENTRAL  TRANSPORTATION
CORPORATION,  a Delaware  corporation (the  "Borrower"),  hereby  absolutely and
unconditionally  promises  to pay to the  order of  [INSERT  NAME OF BANK]  (the
"Bank") on the Maturity  Date, or such earlier date as may be required  pursuant
to the terms of the Revolving  Credit Agreement  (defined below),  the principal
amount of  [INSERT  TOTAL  COMMITMENT]  DOLLARS  ($_________)  or, if less,  the
aggregate  unpaid principal amount of Competitive Bid Loans advanced by the Bank
to the Borrower  pursuant to the Credit  Agreement,  dated as of August 1, 2000,
among the Borrower, the Bank, the other banks which are or may become parties to
the Credit Agreement,  Bank of America, N.A., as Syndication Agent, Harris Trust
and  Savings  Bank,  as  Documentation   Agent,  and  Fleet  National  Bank,  as
Administrative  Agent,  as  the  same  may be  amended,  restated,  modified  or
supplemented and in effect from time to time (such agreement,  as amended and in
effect from time to time, the "Credit Agreement"). The Borrower also promises to
pay to the order of the Bank interest on the principal  balance  hereof  through
and  including the date on which such  principal  amount is paid in full, at the
times and at the rates provided in the Credit Agreement.

     This Bid Loan Note  evidences  borrowings  under and has been issued by the
Borrower in accordance with the terms of the Credit Agreement.  The Bank and any
holder  hereof are  entitled to the  benefits of the Credit  Agreement,  and may
enforce the agreements of the Borrower  contained  therein,  including,  without
limitation,  the Borrower's  promise to repay each Competitive Bid Loan advanced
hereunder  on the  last  day of the  applicable  Interest  Period  with  respect
thereto.  All  capitalized  terms  used in this Bid Loan Note and not  otherwise
defined herein shall have the same meanings herein as in the Credit Agreement.

     Both  principal  and  interest  are  payable in lawful  money of the United
States of America to the Bank in care of Fleet National Bank, as  Administrative
Agent,  at 100 Federal  Street,  Boston,  Massachusetts  02110,  in  immediately
available funds.

                             Exhibit 4.1 - Page 155
<PAGE>

     The Bank shall,  and is hereby  irrevocably  authorized by the Borrower to,
endorse on the schedule attached to this Bid Loan Note or a continuation of such
schedule  attached  hereto  and  made a part  hereof,  an  appropriate  notation
evidencing  advances and  repayments  of  principal  of this Bid Loan Note.  The
outstanding  amount of the Bid Loan Notes set forth on such Bank's  Record shall
be prima facie evidence of the principal amount thereof owing and unpaid to such
bank, but failure by the Bank to make any such notations shall not affect any of
the Borrower's obligations in respect of this Bid Loan Note.

     The Borrower has the right in certain  circumstances  and the obligation in
certain other circumstances to prepay the whole or part of the principal of this
Bid Loan Note on the terms and conditions specified in the Credit Agreement.

     If any one or more of the Events of Default shall occur,  the entire unpaid
principal  amount of this Bid Loan Note and all of the unpaid  interest  accrued
thereon  may become or be  declared  due and  payable in the manner and with the
effect provided in the Credit Agreement.

     No  delay or  omission  on the part of the  Bank or any  holder  hereof  in
exercising any right hereunder shall operate as a waiver of such right or of any
other rights of the Bank or other such holder, nor shall any delay,  omission or
waiver  on any one  occasion  be deemed a bar or waiver of the same or any other
right on any further occasion.

     Except  as  otherwise  expressly  provided  in the  Credit  Agreement,  the
Borrower  and  every  endorser  and  guarantor  of this  Bid Loan  Note,  or the
obligation  represented hereby, waive presentment,  demand,  notice, protest and
all other  demands  and notices in  connection  with the  delivery,  acceptance,
performance,  default  or  enforcement  of this Bid  Loan  Note,  assent  to any
extension or postponement of the time of payment or any other indulgence, to any
substitution,  exchange or release of collateral  and to the addition or release
of any other party or person primarily or secondarily liable.

     THIS  NOTE AND THE  OBLIGATIONS  OF THE  BORROWER  HEREUNDER  SHALL FOR ALL
PURPOSES  BE  GOVERNED  BY AND  CONSTRUED  IN  ACCORDANCE  WITH  THE  LAW OF THE
COMMONWEALTH  OF  MASSACHUSETTS  (EXCLUDING THE LAWS  APPLICABLE TO CONFLICTS OR
CHOICE OF LAW).  THE BORROWER  AGREES THAT ANY SUIT FOR THE  ENFORCEMENT OF THIS
NOTE MAY BE BROUGHT IN THE COURTS OF THE  COMMONWEALTH OF  MASSACHUSETTS  OR ANY
FEDERAL COURT SITTING THEREIN AND CONSENTS TO THE  NONEXCLUSIVE  JURISDICTION OF
SUCH  COURT AND THE  SERVICE  OF  PROCESS  IN ANY SUCH SUIT  BEING MADE UPON THE
BORROWER BY MAIL AT THE ADDRESS SPECIFIED IN THE CREDIT AGREEMENT.  THE BORROWER
HEREBY  WAIVES ANY

                             Exhibit 4.1 - Page 156
<PAGE>

OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE VENUE OF ANY SUCH SUIT OR ANY
SUCH COURT OR THAT SUCH SUIT IS BROUGHT IN AN INCONVENIENT COURT.

     This Bid Loan Note  shall be deemed to take  effect as a sealed  instrument
under the laws of the Commonwealth of Massachusetts.

     IN WITNESS WHEREOF, WISCONSIN CENTRAL TRANSPORTATION CORPORATION has caused
this Bid Loan  Note to be signed in its  corporate  name by its duly  authorized
officer as of the day and year first above written.

                                        WISCONSIN CENTRAL
                                        TRANSPORTATION CORPORATION

                                        By:_____________________________________
                                          Name:
                                          Title:

                             Exhibit 4.1 - Page 157
<PAGE>

                                         Amount of
                                         Principal      Balance of
          Amount of     Competitive       Paid or       Principal       Notation
Date        Loan         Bid Rate         Prepaid        Unpaid          Made By
----        ----         --------         -------        ------          -------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

--------------------------------------------------------------------------------

                             Exhibit 4.1 - Page 158
<PAGE>

                                                                       EXHIBIT K

                                    [FORM OF]
                                    GUARANTY

     THIS  GUARANTY  dated as of August __, 2000,  is executed in favor of FLEET
NATIONAL  BANK,  a  national  banking   association,   as  Administrative  Agent
(hereinafter in such capacity,  the  "Administrative  Agent") for itself and the
other banking institutions (hereinafter collectively,  the "Banks") which are or
may become parties to the Credit Agreement referred to below;

                               W I T N E S E T H:

     WHEREAS,   Wisconsin  Central   Transportation   Corporation,   a  Delaware
corporation  (the  "Company"),  has entered into a Revolving  Credit  Agreement,
dated as of even date  herewith (as amended or otherwise  modified  from time to
time, the "Credit Agreement"),  with the Administrative  Agent, Bank of America,
N.A., as  Syndication  Agent,  Harris Trust and Savings  Bank, as  Documentation
Agent,  and other  financial  institution  that are or may become parties to the
Credit Agreement, (hereinafter, collectively the "Banks"), pursuant to which the
Banks  have  agreed to make  loans to,  and issue or  participate  in letters of
credit for the account of, the Company;

     WHEREAS,  each of the undersigned will benefit from the making of loans and
the  issuances  of letters of credit  pursuant  to the Credit  Agreement  and is
willing to guarantee  the  Liabilities  (as defined  below) as  hereinafter  set
forth;

     WHEREAS,  it is a  condition  precedent  to the Banks  making  any loans or
otherwise  extending  credit to the Company under the Credit Agreement that each
of the  undersigned  executes and delivers this  Guaranty to the  Administrative
Agent, for the benefit of the Banks and the Administrative Agent; and

     NOW,  THEREFORE,  for good and  valuable  consideration,  the  receipt  and
sufficiency of which are hereby  acknowledged,  each of the  undersigned  hereby
jointly and severally  irrevocably and  unconditionally,  as primary obligor and
not merely as surety,  guarantees the full and prompt payment when due,  whether
by acceleration or otherwise,  and at all times  thereafter,  of all obligations
(monetary  or  otherwise)  of the  Company  to each Bank and the  Administrative
Agent,  howsoever  created,  arising or evidenced,  whether  direct or indirect,
absolute or  contingent,  now or  hereafter  existing,  or due or to become due,
which arise out of or in  connection  with the Credit  Agreement,  the Notes (as
defined in the Credit  Agreement),  any other Loan  Document  (as defined in the
Credit Agreement), in each case as the same may be amended,  modified,  extended
or renewed from time to time,  including  interest which may accrue after filing
of a petition in  bankruptcy  with respect to the Company (all such  obligations
being herein collectively called the "Liabilities"); provided, however, that the
liability  of each of the  undersigned  hereunder  shall be limited  to: (x) the
maximum amount of the Liabilities  which such undersigned may guarantee  without
violating  any  fraudulent  conveyance,   fraudulent  obligation  or

                             Exhibit 4.1 - Page 159
<PAGE>

fraudulent transfer law; plus (y) all costs and expenses paid or incurred by the
Administrative  Agent  or any  Bank in  enforcing  this  Guaranty  against  such
undersigned.

     Each of the undersigned  agrees that, in the event of the occurrence of any
Event of Default (as defined in the Credit Agreement) under  subsections  9.1(f)
or 9.1(g) of the Credit Agreement,  and if such event shall occur at a time when
any of the Liabilities may not then be due and payable,  such  undersigned  will
pay to the Administrative  Agent for the account of the Administrative Agent and
the Banks  forthwith  the full amount  which would be payable  hereunder by such
undersigned if all Liabilities were then due and payable.

     To further secure all obligations of each of the undersigned hereunder, the
Administrative Agent and each Bank shall have a lien on and security interest in
and may, without demand or notice of any kind, at any time and from time to time
when any Event of Default under the Credit  Agreement  exists or during a 60 day
period of the type  referred to in  subsection  9.1(g) of the Credit  Agreement,
appropriate  and apply  toward  the  payment  of such  amount,  in such order of
application  as the  Administrative  Agent or the Banks may  elect,  any and all
balances,  credits,  deposits,  accounts  or  moneys  of or in the  name of such
undersigned now or hereafter with the Administrative Agent or such Banks and any
and  all  property  of  every  kind  or  description  of or in the  name of such
undersigned  now or  hereafter,  for any  reason or purpose  whatsoever,  in the
possession  or control  of, or in transit to, the  Administrative  Agent or such
Bank or any agent or bailee for the Administrative Agent or such Bank.

     This  Guaranty  is a  guaranty  of payment  and not  merely a  guaranty  of
collection.  This Guaranty  shall in all respects be a continuing,  absolute and
unconditional  guaranty  by each of the  undersigned,  and shall  remain in full
force and  effect  with  respect  to each of the  undersigned  (notwithstanding,
without limitation, (a) the dissolution of any of the undersigned,  (b) that the
Administrative  Agent releases any other of the undersigned from its obligations
hereunder,  or (c)  that at any  time or from  time to time no  Liabilities  are
outstanding)  until all  Commitments  (as defined in the Credit  Agreement) have
terminated and all Liabilities have been paid in full.

     Each of the undersigned  further agrees that if at any time all or any part
of any payment  theretofore  applied by the Administrative  Agent or any Bank to
any of the Liabilities is or must be rescinded or returned by the Administrative
Agent or such Bank for any reason whatsoever (including, without limitation, the
insolvency,   bankruptcy  or  reorganization  of  the  Company  or  any  of  the
undersigned),  such Liabilities shall, for the purposes of this Guaranty, to the
extent that such payment is or must be rescinded or returned,  be deemed to have
continued in existence,  notwithstanding such application by such Administrative
Agent or such Bank,  and this  Guaranty  shall  continue to be  effective  or be
reinstated,  as the case may be,  as to such  Liabilities,  all as  though  such
application by such Administrative Agent or such Bank had not been made.

                             Exhibit 4.1 - Page 160
<PAGE>

     Each of the undersigned  agrees that the  Administrative  Agent or any Bank
may,  from  time to time,  at its sole  discretion  and  without  notice  to the
undersigned (or any of them),  take any or all of the following  actions without
affecting the obligations of the undersigned  hereunder:  (a) retain or obtain a
security  interest  in any  property  to secure  any of the  Liabilities  or any
obligation  hereunder,  (b) retain or obtain the primary or secondary obligation
of any obligor or obligors, in addition to the undersigned,  with respect to any
of the  Liabilities,  (c) extend or renew any of the Liabilities for one or more
periods (whether or not longer than the original period),  alter or exchange any
of the  Liabilities,  or  release or  compromise  any  obligation  of any of the
undersigned  hereunder or any obligation of any nature of any other obligor with
respect to any of the  Liabilities,  (d) release any  security  interest  in, or
surrender,  release or permit any  substitution or exchange for, all or any part
of any property securing any of the Liabilities or any obligation hereunder,  or
extend or renew for one or more periods (whether or not longer than the original
period) or release,  compromise, alter or exchange any obligations of any nature
of any  obligor  with  respect  to any  such  property,  and (e)  resort  to the
undersigned  (or any of them) for  payment of any of the  Liabilities  when due,
whether or not the Administrative  Agent or such Bank shall have resorted to any
property  securing any of the  Liabilities or any obligation  hereunder or shall
have  proceeded  against  any  other of the  undersigned  or any  other  obligor
primarily or secondarily  obligated with respect to any of the Liabilities.  Any
amounts received by the Administrative Agent or any Bank from whatever source on
account  of the  Liabilities  may be  applied  by it toward  the  payment of the
Liabilities.

     Each  of  the  undersigned  hereby  expressly  waives:  (a)  notice  of the
acceptance by the Administrative Agent or any Bank of this Guaranty,  (b) notice
of the existence or creation or  non-payment  of all or any of the  Liabilities,
(c) promptness,  presentment, demand, notice of dishonor, protest, and all other
notices  of any  kind,  all  defenses  which may be  available  by virtue of any
valuation, stay, moratorium law or other similar law now or hereafter in effect,
any right to require marshalling of assets of the Company or any other entity or
other  person  primarily  or  secondarily  liable  with  respect  to  any of the
liabilities,  and all  suretyship  defenses  generally  and (d) all diligence in
collection or protection of or realization  upon any Liabilities or any security
for or guaranty of any Liabilities.

     Each of the  undersigned  further  agrees  to pay all  expenses  (including
reasonable  attorneys'  fees  and  legal  expenses)  paid  or  incurred  by  the
Administrative  Agent or any Bank in endeavoring  to collect the  Liabilities of
such  undersigned,  or any part thereof,  and in enforcing this Guaranty against
such undersigned.

     The creation or existence from time to time of additional  Liabilities (and
of  liabilities   other  than,  or  in  excess  of,  the   Liabilities)  to  the
Administrative  Agent or the Banks or any of them is hereby authorized,  without
notice to the undersigned (or any of them), and shall in no way affect or impair
the rights of the  Administrative  Agent or the Banks or the  obligations of the
undersigned  under this Guaranty,  including,  without  limitation,  each of the
undersigned's guaranty of such additional Liabilities.

                             Exhibit 4.1 - Page 161
<PAGE>

     Any Bank may from time to time,  in  accordance  with  Section  11.8 of the
Credit Agreement,  without notice to the undersigned (or any of them), assign or
transfer  any  or  all  of  the  Liabilities  or  any  interest  therein;   and,
notwithstanding any such assignment or transfer or any subsequent  assignment or
transfer  thereof,  such  Liabilities  shall be and remain  Liabilities  for the
purposes of this Guaranty,  and each and every immediate and successive assignee
or transferee of any of the Liabilities or of any interest therein shall, to the
extent of the interest of such  assignee or transferee  in the  Liabilities,  be
entitled to the benefits of this Guaranty to the same extent as if such assignee
or transferee were a Bank.

     No  delay  on the  part  of the  Administrative  Agent  or any  Bank in the
exercise of any right or remedy shall operate as a waiver thereof, and no single
or  partial  exercise  by the  Administrative  Agent or any Bank of any right or
remedy shall preclude other or further  exercise  thereof or the exercise of any
other right or remedy;  nor shall any modification or waiver of any provision of
this  Guaranty be binding upon the  Administrative  Agent or the Banks except as
expressly  set forth in a writing  duly  signed and  delivered  on behalf of the
Administrative  Agent.  No  action  of the  Administrative  Agent  or  any  Bank
permitted  hereunder  shall  in any way  affect  or  impair  the  rights  of the
Administrative  Agent or any Bank or the  obligations of the  undersigned  under
this  Guaranty.  For purposes of this  Guaranty,  Liabilities  shall include all
obligations of the Company to the Administrative Agent or any Bank arising under
or in connection with the Credit Agreement, any Note or any other Loan Document,
notwithstanding  any right or power of the  Company or anyone else to assert any
claim or defense as to the invalidity or unenforceability of any obligation, and
no such  claim  or  defense  shall  affect  or  impair  the  obligations  of the
undersigned hereunder.

     Pursuant to the Credit  Agreement,  this Guaranty has been delivered to the
Administrative  Agent and the undersigned  acknowledge the Administrative  Agent
has been authorized to enforce this Guaranty on behalf of itself and each of the
Banks.  All payments by the undersigned  pursuant to this Guaranty shall be made
to the Administrative Agent and applied to costs, expenses,  fees or the ratable
benefit of the Administrative Agent and the Banks, as applicable,  in such order
as the  Administrative  Agent shall from time to time select, in accordance with
the Credit Agreement.

     This Guaranty shall be binding upon the  undersigned and the successors and
assigns of the  undersigned;  and to the extent  that the  Company or any of the
undersigned is either a partnership or a corporation,  all references  herein to
the Company and to the undersigned, respectively, shall be deemed to include any
successor or successors,  whether  immediate or remote,  to such  partnership or
corporation.  The term  "undersigned"  as used  herein  shall  mean all  parties
executing  this Guaranty and each of them, and all such parties shall be jointly
and severally obligated hereunder.

     This  Guaranty has been  delivered at Boston,  Massachusetts,  and shall be
construed  in  accordance  with  and  governed  by  the  internal  laws  of  the

                             Exhibit 4.1 - Page 162
<PAGE>

Commonwealth of Massachusetts. Wherever possible each provision of this Guaranty
shall  be  interpreted  in  such  manner  as to be  effective  and  valid  under
applicable  law, but if any provision of this Guaranty shall be prohibited by or
invalid under such law, such  provision  shall be  ineffective  to the extent of
such  prohibition  or  invalidity,  without  invalidating  the remainder of such
provision or the remaining provisions of this Guaranty.

     This  Guaranty  may be  executed in any number of  counterparts  and by the
different  parties hereto on separate  counterparts,  and each such  counterpart
shall be deemed  to be an  original  but all such  counterparts  shall  together
constitute  one and the  same  Guaranty.  At any  time  after  the  date of this
Guaranty,  one or more additional  persons or entities may become parties hereto
by executing and  delivering to the  Administrative  Agent a counterpart of this
Guaranty.  Immediately upon such execution and delivery (and without any further
action),  each such additional person or entity will become a party to, and will
be bound by all of the terms of, this Guaranty.

     ANY LITIGATION BASED HEREON, OR ARISING OUT OF, UNDER OR IN CONNECTION WITH
THIS GUARANTY OR ANY OTHER LOAN DOCUMENT TO WHICH ANY OF THE UNDERSIGNED ARE, OR
BECOME,  A PARTY,  SHALL BE BROUGHT AND MAINTAINED  EXCLUSIVELY IN THE COURTS OF
THE  COMMONWEALTH  OF  MASSACHUSETTS  OR  ANY  FEDERAL  COURT  SITTING  THEREIN;
PROVIDED,  HOWEVER,  THAT ANY SUIT SEEKING ENFORCEMENT AGAINST ANY COLLATERAL OR
OTHER PROPERTY MAY BE BROUGHT,  AT THE  ADMINISTRATIVE  AGENT'S  OPTION,  IN THE
COURTS OF ANY JURISDICTION WHERE SUCH COLLATERAL OR OTHER PROPERTY MAY BE FOUND.
EACH  OF  THE  UNDERSIGNED  HEREBY  EXPRESSLY  AND  IRREVOCABLY  SUBMITS  TO THE
JURISDICTION OF THE COURTS OF THE COMMONWEALTH OF MASSACHUSETTS  AND ANY FEDERAL
COURT SITTING THEREIN FOR THE PURPOSE OF ANY SUCH LITIGATION AS SET FORTH ABOVE.
EACH OF THE UNDERSIGNED FURTHER  IRREVOCABLY  CONSENTS TO THE SERVICE OF PROCESS
BY  REGISTERED  MAIL,  POSTAGE  PREPAID,  TO THE ADDRESS SET FORTH  OPPOSITE ITS
SIGNATURE HERETO (OR SUCH OTHER ADDRESS AS IT SHALL HAVE SPECIFIED IN WRITING TO
THE  ADMINISTRATIVE  AGENT AS ITS ADDRESS FOR NOTICES  HEREUNDER) OR BY PERSONAL
SERVICE  WITHIN  OR  WITHOUT  THE  COMMONWEALTH  OF  MASSACHUSETTS.  EACH OF THE
UNDERSIGNED  HEREBY  EXPRESSLY AND  IRREVOCABLY  WAIVES,  TO THE FULLEST  EXTENT
PERMITTED BY LAW, ANY OBJECTION WHICH IT MAY NOW OR HEREAFTER HAVE TO THE LAYING
OF VENUE OF ANY SUCH LITIGATION  BROUGHT IN ANY SUCH COURT REFERRED TO ABOVE AND
ANY CLAIM THAT ANY SUCH LITIGATION HAS BEEN BROUGHT IN AN INCONVENIENT FORUM. TO
THE EXTENT THAT ANY OF THE UNDERSIGNED HAS OR HEREAFTER MAY ACQUIRE ANY IMMUNITY
FROM  JURISDICTION  OF ANY  COURT OR FROM ANY  LEGAL  PROCESS  (WHETHER  THROUGH
SERVICE OR NOTICE, ATTACHMENT PRIOR TO JUDGMENT,  ATTACHMENT IN AID OF EXECUTION
OR

                             Exhibit 4.1 - Page 163
<PAGE>

OTHERWISE)  WITH  RESPECT TO ITSELF OR ITS  PROPERTY,  SUCH  UNDERSIGNED  HEREBY
IRREVOCABLY  WAIVES,  TO THE MAXIMUM  EXTENT  PERMITTED BY LAW, SUCH IMMUNITY IN
RESPECT OF ITS  OBLIGATIONS  UNDER THIS GUARANTY AND THE OTHER LOAN DOCUMENTS TO
WHICH ANY OF THE UNDERSIGNED ARE, OR BECOME, A PARTY.

     EACH OF THE  UNDERSIGNED,  AND  (BY  ACCEPTING  THE  BENEFITS  HEREOF)  THE
ADMINISTRATIVE  AGENT AND EACH BANK,  HEREBY WAIVES ANY RIGHT TO A TRIAL BY JURY
IN ANY ACTION OR PROCEEDING TO ENFORCE OR DEFEND ANY RIGHTS UNDER THIS GUARANTY,
ANY OTHER  LOAN  DOCUMENT  TO WHICH ANY OF THE  UNDERSIGNED  ARE A PARTY AND ANY
AMENDMENT,  INSTRUMENT,  DOCUMENT  OR  AGREEMENT  DELIVERED  OR WHICH MAY IN THE
FUTURE BE  DELIVERED  IN  CONNECTION  HEREWITH OR  THEREWITH OR ARISING FROM ANY
BANKING  RELATIONSHIP  EXISTING IN  CONNECTION  WITH ANY OF THE  FOREGOING,  AND
AGREES THAT ANY SUCH ACTION OR PROCEEDING  SHALL BE TRIED BEFORE A COURT AND NOT
BEFORE A JURY.

     IN WITNESS  WHEREOF,  this Guaranty has been duly executed and delivered as
of the day and year first above written.

                                        WISCONSIN CENTRAL LTD.

                                        By:_____________________________________
                                        Name:___________________________________
                                        Title:__________________________________
Address:
6250 North River Road
9th Floor
Rosemont, Illinois  60618
Facsimile:  (708) 318-4628

                                        FOX VALLEY & WESTERN LTD.

                                        By:_____________________________________
                                        Name:___________________________________
                                        Title:__________________________________
Address:
6250 North River Road
9th Floor
Rosemont, Illinois  60618
Facsimile:  (708) 318-4628

                             Exhibit 4.1 - Page 164
<PAGE>

                                        WCL RAILCARS, INC.

                                        By:_____________________________________
                                        Name:___________________________________
                                        Title:__________________________________
Address:
6250 North River Road
9th Floor
Rosemont, Illinois  60618
Facsimile:  (708) 318-4628

                                        WISCONSIN CHICAGO LINK, LTD.

                                        By:_____________________________________
                                        Name:___________________________________
                                        Title:__________________________________
Address:
6250 North River Road
9th Floor
Rosemont, Illinois  60618
Facsimile:  (708) 318-4628

                                        SAULT STE MARIE BRIDGE CO.

                                        By:_____________________________________
                                        Name:___________________________________
                                        Title:__________________________________
Address:
6250 North River Road
9th Floor
Rosemont, Illinois  60618
Facsimile:  (708) 318-4628

                             Exhibit 4.1 - Page 165
<PAGE>

                                        WISCONSIN CENTRAL
                                          INTERNATIONAL, INC.

                                        By:_____________________________________
                                        Name:___________________________________
                                        Title:__________________________________
Address:
6250 North River Road
9th Floor
Rosemont, Illinois  60618
Facsimile:  (708) 318-4628

                             Exhibit 4.1 - Page 166EXHIBIT 10.1
                                                                 ------------

                            IDEXX LABORATORIES, INC.

                            2000 DIRECTOR OPTION PLAN

   1.   PURPOSE

        The  purpose of this 2000 Director Option Plan (the  "Plan")  of  IDEXX
Laboratories, Inc. (the "Company") is to encourage ownership in the  Company  by
outside  directors  of  the  Company  whose continued  services  are  considered
essential  to the Company's future progress and to provide them with  a  further
incentive to remain as directors of the Company.

   2.   ADMINISTRATION

        The Board of Directors shall supervise and administer the Plan.  Grants
of stock options under the Plan and the amount and nature of the awards to be
granted shall be automatic in accordance with Section 5.  However, all questions
of interpretation of the Plan or of any options issued under it shall be
determined by the Board of Directors and such determination shall be final and
binding upon all persons having an interest in the Plan.

   3.   PARTICIPATION IN THE PLAN

        Directors of the Company who are not employees of the Company or any
subsidiary of the Company shall be eligible to participate in the Plan.

   4.   STOCK SUBJECT TO THE PLAN

        (a) The maximum number of shares which may be issued under the Plan
shall be 200,000 shares of the Company's Common Stock, par value $.10 per share
("Common Stock"), subject to adjustment as provided in Section 8 of the Plan.

        (b) If any outstanding option under the Plan for any reason expires or
is terminated without having been exercised in full, the shares allocable to the
unexercised portion of such option shall again become available for grant
pursuant to the Plan.

        (c) All options granted under the Plan shall be non-statutory options
not entitled to special tax treatment under Section 422 of the Internal Revenue
Code of 1986, as amended to date and as it may be amended from time to time (the
"Code").

<PAGE> 2

   5.   TERMS, CONDITIONS AND FORM OF OPTIONS

        Each option granted under the Plan shall be evidenced by a written
agreement in such form as the Board of Directors shall from time to time
approve, which agreements shall comply with and be subject to the following
terms and conditions:

        (a) OPTION GRANT DATES AND SHARES SUBJECT TO OPTION.  Upon the date of
the annual meeting of the stockholders of the Company at which the Plan is
approved and adopted and at each subsequent annual meeting thereafter, the
Company shall grant to each eligible director continuing in office after, or
elected at, such meeting an option exercisable for 6,500 shares of Common Stock.
In addition, in the case of any eligible director who is elected other than at
an annual meeting, the Company shall grant to such director upon his election an
option exercisable for a number of shares (up to 6,500) which shall be pro rated
based on the anticipated period of service of such director prior to the next
annual meeting.

        (b) OPTION EXERCISE PRICE.  The option exercise price per share for each
option granted under the Plan shall equal (i) the closing price per share of the
Company's Common Stock on the Nasdaq National Market (or, if the Company is
traded on a nationally recognized securities exchange on the date of grant, the
reported closing sales price per share of the Company's Common Stock by such
exchange) on the date of grant (or if no such price is reported on such date
such price as reported on the nearest preceding day) or (ii) if the Common Stock
is not traded on Nasdaq or any exchange, the fair market value per share on the
date of grant as determined by the Board of Directors.

        (c) LIMITED TRANSFERABILITY.  Each option granted under the Plan by its
terms shall not be transferable by the optionee otherwise than (i) by will, or
by the laws of descent and distribution, or (ii) with the approval of the Board
of Directors, by gift to (A) one or more members of the optionee's family or
trusts for their benefit, or (B) to one or more charitable organizations.
Except as the Board of Directors may otherwise determine, no option or interest
therein may be transferred, assigned, pledged or hypothecated by the optionee
during his lifetime, whether by operation of law or otherwise, or be made
subject to execution, attachment or similar process.

        (d) EXERCISE PERIOD.  Each option may be exercised on or after the first
anniversary of the date of grant of such option or, if earlier, on the date of
the next annual meeting, provided that, subject to the provisions of Section
5(e), no option may be exercised more than 90 days after the optionee ceases to
serve as a director of the Company and, in such case, such option may only be
exercised to the extent it was exercisable at the time of such cessation of
service.  No option shall be exercisable after the expiration of ten years from
the date of grant.

        (e) EXERCISE PERIOD UPON DISABILITY OR DEATH.  Notwithstanding the
provisions of Section 5(d), any option granted under the Plan may be exercised,
to the extent then exercisable, by an optionee (or permitted transferee of an
optionee) if such optionee becomes disabled (within the meaning of Section
22(e)(3) of the Code or any successor provision thereto) while acting as a
director of the Company, or may be exercised, to the extent then exercisable,
upon the death of such optionee while a director of the Company by the person to
whom it is transferred by will, by the laws of descent and distribution, by gift
pursuant to Section 5(c), or by written notice filed pursuant to Section 5(g),
in each case within the period of one year after the date the optionee ceases to
be a director by reason of such disability or death; provided that, no option
shall be exercisable after the expiration of ten years from the date of grant.

<PAGE> 3

        (f) EXERCISE PROCEDURE.  Options may be exercised only by written notice
to the Company at its principal office accompanied by (i) payment in cash or by
certified or by bank check of the full consideration for the shares as to which
they are exercised, (ii) delivery of outstanding shares of the Company's Common
Stock (which have been outstanding for at least six months) having a fair market
value on the last business day preceding the date of exercise equal to the
option exercise price, or (iii) an irrevocable undertaking by a creditworthy
broker (who is a member of the New York Stock Exchange) to deliver promptly to
the Company sufficient funds to pay the exercise price or delivery of
irrevocable instructions to a broker (who is a member of the New York Stock
Exchange) to deliver promptly to the Company cash or a check sufficient to pay
the exercise price.

     (g) EXERCISE BY REPRESENTATIVE FOLLOWING DEATH OF DIRECTOR.  A director, by
written notice to the Company, may designate one or more persons (and from time
to time change such designation) including his legal representative, who, by
reason of the director's death, shall acquire the right to exercise all or a
portion of the option.  If the person or persons so designated wish to exercise
any portion of the option, they must do so within the term of the option as
provided herein.  Any exercise by a representative shall be subject to the
provisions of the Plan.

   6.   TIME FOR GRANTING OPTIONS

        All options for shares subject to the Plan shall be granted, if at all,
not later than the fifth annual meeting of stockholders after the approval of
the Plan by the Company's stockholders.  Options outstanding on such date shall
continue to have force and effect in accordance with the provisions of the
instruments evidencing such options.

   7.   LIMITATION OF RIGHTS

        (a) NO RIGHT TO CONTINUE AS A DIRECTOR.  Neither the Plan, nor the
granting of an option nor any other action taken pursuant to the Plan, shall
constitute or be evidence of any agreement or understanding, express or implied,
that the Company will retain a director for any period of time.

        (b) NO STOCKHOLDERS' RIGHTS FOR OPTIONS.  An optionee shall have no
rights as a stockholder with respect to the shares covered by his options until
the date of the issuance to him of a stock certificate therefor, and no
adjustment will be made for dividends or other rights (except as provided in
Section 8) for which the record date is prior to the date such certificate is
issued.

<PAGE> 4

        (c) COMPLIANCE WITH SECURITIES LAWS.  Each option shall be subject to
the requirement that if, at any time, counsel to the Company shall determine
that the listing, registration or qualification of the shares subject to such
option upon Nasdaq or any securities exchange or under any state or federal law,
or the consent or approval of any governmental or regulatory body, or the
disclosure of non-public information or the satisfaction of any other condition
is necessary as a condition of, or in connection with, the issuance or purchase
of shares thereunder, such option may not be exercised, in whole or in part,
unless such listing, registration, qualification, consent or approval, or
satisfaction of such condition shall have been effected or obtained on
conditions acceptable to the Board of Directors.  Nothing herein shall be deemed
to require the Company to apply for or to obtain such listing, registration or
qualification, or to satisfy such condition.

   8.   CHANGES IN COMMON STOCK.

        (a) If the outstanding shares of Common Stock are increased, decreased
or exchanged for a different number or kind of shares or other securities, or if
additional shares or new or different shares or other securities are distributed
with respect to such shares of Common Stock or other securities, through merger,
consolidation, sale of all or substantially all of the assets of the Company,
reorganization, recapitalization, reclassification, stock dividend, stock split,
reverse stock split or other distribution with respect to such shares of Common
Stock, or other securities, an appropriate and proportionate adjustment will be
made in (i) the maximum number and kind of shares reserved for issuance under
the Plan, (ii) the number and kind of shares or other securities subject to then
outstanding options under the Plan and (iii) the price for each share subject to
any then outstanding options under the Plan, without changing the aggregate
purchase price as to which such options remain exercisable.  No fractional
shares will be issued under the Plan on account of any such adjustments.

        (b) In the event that the Company is merged or consolidated into or with
another corporation (in which consolidation or merger the stockholders of the
Company receive distribution of cash or securities of another issuer as a result
thereof), or in the event that all or substantially all of the assets of the
Company are acquired by any other person or entity, or in the event of a
reorganization or liquidation of the Company, the Board of Directors of the
Company or the board of directors of any corporation assuming the obligations of
the Company, shall, as to outstanding options, either (i) provide that such
options shall be assumed, or equivalent options shall be substituted, by the
acquiring or successor corporation (or an affiliate thereof), or (ii) upon
written notice to the optionees, provide that all unexercised options will
terminate immediately prior to the consummation of such merger, consolidation,
acquisition, reorganization or liquidation unless exercised by the optionee
within a specified number of days following the date of such notice.

   9.   AMENDMENT OF THE PLAN AND OPTIONS

        The Board of Directors may suspend or discontinue the Plan or review or
amend it in any respect whatsoever; provided, however, that without approval of
the stockholders of the Company, the Board may not (i) amend the Plan to change
the number of shares subject to the Plan (except as provided in Section 8), (ii)
change the designation of the class of directors eligible to receive options,
(iii) increase the number of shares covered by option grants or otherwise
materially increase the benefits accruing to participants under the Plan or (iv)
amend the terms of any outstanding options to reduce the exercise price (except
as provided in Section 8).

<PAGE> 5

   10.  NOTICE

        Any written notice to the Company required by any of the provisions of
the Plan shall be addressed to the Treasurer of the Company and shall become
effective when it is received.

   11.  GOVERNING LAW

        The Plan and all determinations made and actions taken pursuant hereto
shall be governed by the laws of the State of Delaware.

Approved by the Board of Directors February 16, 2000.

Approved by the Shareholders on May 17, 2000.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00013-of-00352.parquet"}]]