Document:

[Exhibit 10.2 - Form of Subscription Agreement]

THE SECURITIES OF MANUFACTURERS  MARKETING GROUP,  INC. HAVE NOT BEEN REGISTERED
UNDER THE  SECURITIES  ACT OF 1933, AS AMENDED,  OR THE  SECURITIES  LAWS OF ANY
STATE. THERE ARE RESTRICTIONS ON THE TRANSFERABILITY OF THE SECURITIES DESCRIBED
IN THIS SUBSCRIPTION AGREEMENT.

THE PURCHASE OF SECURITIES OF  MANUFACTURERS  MARKETING GROUP,  INC.  INVOLVES A
HIGH  DEGREE OF RISK AND SHOULD BE  CONSIDERED  ONLY BY PERSONS WHO CAN BEAR THE
RISK OF LOSS OF THEIR ENTIRE INVESTMENT.

                       MANUFACTURERS MARKETING GROUP, INC.

                                  COMMON STOCK
                             SUBSCRIPTION AGREEMENT

Dated:
       -----------------------------

--------------------------------------------------------------------------------
NAME AND ADDRESS OF SUBSCRIBER        AMOUNT OF INVESTMENT

                                      Aggregate Price $____________________

                                      Per Share Price $ $1.00
                                                       --------------------

                                      NUMBER OF SHARES PURCHASED

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

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

      COMMON STOCK SUBSCRIPTION AGREEMENT, dated as of the date specified above,
by and between  MANUFACTURERS  MARKETING GROUP,  INC., a Nevada corporation (the
"Company"), and the subscriber named above (the "Subscriber").

                                   BACKGROUND

      The  Company  is  seeking  to  raise  capital  through  an  offering  (the
"Offering")  of shares of its  Common  Stock,  $0.0001  par value per share (the
"Common  Stock"),  and the Subscriber  desires to  irrevocably  subscribe in the
Offering for the number of shares specified above.

            NOW, THEREFORE,  in consideration of the premises and the respective
promises hereinafter set forth, the parties hereto hereby agree as follows:

1.  SUBSCRIPTION.  Subject to the terms and  conditions  hereof,  the Subscriber
hereby  subscribes for such number of shares of Common Stock as indicated in the
box above under "Number of Shares Purchased" and hereby irrevocably  tenders two
copies of this Subscription Agreement plus the amount specified under "Aggregate
Price"  set forth in the box above by wire  transfer  of  immediately  available
funds  or,  if  agreed  to by the  Company,  by check  payable  to the  order of
"MANUFACTURERS MARKETING GROUP, INC." or by such other means as agreed to by the
Company (collectively, the "Subscription Documents"). Tender of the Subscription
Documents shall be made by delivery of the same to the Company.

<PAGE>

2.  ACCEPTANCE OF  SUBSCRIPTION.  It is  understood  and agreed that the Company
shall have the right to accept or reject this subscription, in whole or in part,
and that the same  shall be deemed to be  accepted  by the  Company  only when a
counterpart  of this  Subscription  Agreement  is  signed  by a duly  authorized
representative of the Company.

3.  REPRESENTATIONS  AND WARRANTIES OF THE  SUBSCRIBER.  The  Subscriber  hereby
represents  and  warrants  to, and  covenants  and agrees  with,  the Company as
follows:

         (a) The Subscriber has adequate means of providing for his/her  current
needs and possible personal  contingencies,  the Subscriber  anticipates no need
now or in the  foreseeable  future  to sell  the  Common  Stock  for  which  the
Subscriber  hereby  subscribes  and the  Subscriber  can  afford the loss of the
Subscriber's entire investment in the Company.

         (b) The  Subscriber  has such knowledge and experience in financial and
business  matters that the  Subscriber is capable of  evaluating  the merits and
risks  of  investment  in the  Company  and of  making  an  informed  investment
decision.

         (c) The Subscriber and such other persons as the Subscriber  submits in
writing to the Company will be the only owners,  beneficial or otherwise, of the
Common Stock being subscribed for hereby.

         (d) The  Subscriber  has received,  and read, and is familiar with, the
Risk Factors set forth in the Limited Offering  Memorandum that accompanies this
Agreement  and the  Subscriber  confirms that all  documents,  records and books
pertaining to the Subscriber's proposed investment in the Company have been made
available to the  Subscriber.  The  Subscriber is aware that no federal or state
agency has passed  upon the Common  Stock or made any  finding or  determination
concerning the fairness of this investment.

         (e) The  Subscriber  has had an  opportunity  to ask  questions of, and
receive answers from,  representatives  of the Company  concerning the terms and
conditions of this investment,  and all such questions have been answered to the
full satisfaction of the Subscriber.  The Subscriber  understands that no person
other than the Company has been  authorized  to make any  representation  and if
made, such  representation may not be relied on unless it is made in writing and
signed by the Company.  The Company has not,  however,  rendered any  investment
advice to the Subscriber with respect to the suitability of an investment in the
Common Stock.

         (f) The  Subscriber is acquiring the Common Stock for the  Subscriber's
own account,  for  investment  purposes  only,  not for the account of any other
person, and not with a view to the sale or distribution  thereof or the granting
of any  participation  therein,  and has no present intention of distributing or
selling to others any of such interest or granting  participations  therein in a
manner which would require  registration  under the  Securities  Act of 1933, as
amended (the  "Securities  Act").  The  Subscriber  does not have any  contract,
undertaking, agreement or arrangement with any person to sell, transfer or grant
participations to such person or to any third person, with respect to the Common
Stock.

         (g) The  Subscriber  is  aware  that  the  Common  Stock  has not  been
registered  under the Securities Act or any state securities or "blue sky" laws,
that the Common Stock will be issued on the basis of  Regulation  D  promulgated
under the Securities Act, that the terms of this offering have not been reviewed
by,  passed on or submitted  to any federal or state  agency or  self-regulatory
organization  where an exemption is being  relied upon,  and that the  Company's
reliance thereon is based, in part, upon the truth, completeness and accuracy of
the  representations  made  by  the  Subscriber  in  this  Agreement.   In  this
connection, the Subscriber understands that it is the position of the Securities
and Exchange  Commission (the "SEC") that the statutory basis for such exemption
would not be present if the  Subscriber's  representation  merely meant that its
present  intention was to hold such  securities for a short period,  such as the

                                       2

<PAGE>

capital gains period of tax statutes,  for a deferred  sale,  for a market rise,
assuming that a market develops,  or for any other fixed period.  The Subscriber
realizes  that,  in the view of the SEC, a purchase now with an intent to resell
would  represent a purchase with an intent  inconsistent  with the  Subscriber's
representation  to the  Company,  and  the  SEC  might  regard  such  a sale  or
disposition as a deferred sale to which such exemptions are not available.

      (h) The Subscriber  represents that it has been called to the Subscriber's
attention  both in the Risk  Factors  and by  those  individuals  with  whom the
Subscriber has dealt in connection  with the  Subscriber's  investment that this
investment in the Company involves a high degree of risk.

      (i) The Subscriber has received no  representations or warranties from the
Company other than those furnished in writing and signed by the Company.

      (j) The Subscriber:

            (i) if a corporation,  partnership,  trust or other form of business
entity:

                  (A) is authorized and otherwise duly qualified to purchase and
hold the Common Stock;

                  (B) represents  that the investment into the Common Stock will
not  result in any  breach of or  violation  of the terms or  provisions  of, or
constitute a default under, the certificate of  incorporation,  by-laws or other
charter  document  of  such  entity  or any  indenture  or  other  agreement  or
instrument  by which  the  entity  or its  property  is bound,  or  violate  any
applicable law, administrative regulation or court decree; and

                  (C)  represents  that such entity has its  principal  place of
business as set forth on the signature  page hereof and that such entity has not
been formed for the  specific  purpose of  acquiring  the Common  Stock.  If the
Subscriber is one of the aforementioned entities, it hereby agrees to supply any
additional written information that may be required.

            (ii) if an individual,

                  (A) has the capacity to purchase and hold the Common Stock and
represents  that the  investment  into the  Common  Stock will not result in any
breach of, or violation of the terms or  provisions  of, or constitute a default
under, any indenture or other agreement or instrument by which the Subscriber or
the Subscriber's property is bound, or violate any applicable law, regulation or
court decree;

                  (B) has obtained  such tax advice that  Subscriber  has deemed
necessary; and

                  (C) represents that the Subscriber's residence is as set forth
on the signature page hereof.

      (k) All of the  information  that the Subscriber has heretofore  furnished
and  which is set  forth  in the  Investor  Questionnaire  with  respect  to the
Subscriber's  financial  position and business status is correct and complete as
of the date of the  Subscription  Agreement and, if there should be any material
change in such information  prior to the time the  Subscriber's  subscription is
accepted,  the  Subscriber  will  immediately  furnish the revised or  corrected
information to the Company.

                                       3
<PAGE>

      (l) The  Subscriber  understands  that the Company  will have the right to
rescind this subscription if any of the representations,  warranties,  covenants
or agreements contained herein are found to be misleading, false or incorrect.

      (m) The  Subscriber  has not paid and will not pay a commission,  finder's
fee or  other  selling  cost  or  fee to any  person  in  connection  with  this
subscription and the Company is not liable for any such fee as the result of any
action taken by the Subscriber.

      (n)  The  Subscriber  is not  an  employee  benefit  plan  subject  to the
requirements of the Employee  Retirement Income Security Act of 1974, as amended
("ERISA").

      (o) The Subscriber  has  truthfully  and completely  answered the Investor
Questionnaire  provided to the Subscriber with this Agreement and the Subscriber
is an "accredited investor" within the meaning of Rule 501 of Regulation D under
the  Securities  Act to the extent that the  Subscriber  has indicated  that the
Subscriber is an "accredited investor" in the Investor Questionnaire.

4. INDEMNIFICATION.  The Subscriber acknowledges that the Subscriber understands
the meaning and legal  consequences  of the  representations  and  warranties in
Section 3 hereof,  and hereby  agrees to indemnify and hold harmless the Company
and its  affiliates  from and against any and all loss,  damage or liability due
to, or arising out of, a breach of any such representations or warranties.

5. MARKET STANDOFF PROVISION. The Subscriber hereby agrees that, if so requested
by  the  Company  or  any  representative  of the  underwriters  (the  "Managing
Underwriter")  in  connection  with  any  registration  of the  offering  of any
securities of the Company under the  Securities  Act, the  Subscriber  shall not
sell or otherwise  transfer any  Securities  or other  securities of the Company
during the 180-day  period (or such other  period as may be requested in writing
by the  Managing  Underwriter  and  agreed to in writing  by the  Company)  (the
"Market  Standoff  Period")  following  the  effective  date  of a  registration
statement of the Company filed under the Securities  Act. The Company may impose
stop-transfer  instructions with respect to Securities  subject to the foregoing
restrictions until the end of such Market Standoff Period.

6. ADDITIONAL  ACTION.  The Subscriber  shall,  upon the request of the Company,
from time to time,  execute and deliver  promptly to the Company all instruments
and  documents of further  assurances  or otherwise and will do any and all such
acts and things as may be reasonably  required to carry out the  obligations  of
the Subscriber hereunder and to consummate the transactions contemplated hereby.

7. LIMITATION ON TRANSFER.  The Subscriber  acknowledges  that the Subscriber is
aware that there are  substantial  restrictions  on the  transferability  of the
Common Stock. Since the Common Stock will not be registered under the Securities
Act,  such  securities  may not be sold  unless  such sale is  exempt  from such
registration under said Securities Act. The Subscriber further acknowledges that
the  Subscriber  shall be  responsible  for  compliance  with all  conditions on
transfer imposed by any Blue Sky or Securities Law  Administrator.  In addition,
the Subscriber acknowledges that any certificates  representing the Common Stock
subscribed  for  hereby  will  bear a legend  restricting  transfer  thereof  as
follows:

"THE SECURITIES  REPRESENTED BY THIS  CERTIFICATE HAVE NOT BEEN REGISTERED UNDER
THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR ANY STATE SECURITIES LAWS
AND NEITHER  SUCH  SECURITIES  NOR ANY  INTEREST  THEREIN MAY BE OFFERED,  SOLD,
PLEDGED,  ASSIGNED OR OTHERWISE TRANSFERRED UNLESS (1) A REGISTRATION  STATEMENT
WITH  RESPECT  THERETO  IS  EFFECTIVE  UNDER  THE ACT AND ANY  APPLICABLE  STATE
SECURITIES  LAWS OR (2) AN EXEMPTION TO SUCH  REGISTRATION IS AVAILABLE FOR SUCH
OFFER, VALUE PLEDGE, ASSIGNMENT OR TRANSFER."

                                       4

<PAGE>

8.  TRANSFERABILITY.   This  Subscription   Agreement  is  not  transferable  or
assignable by the Subscriber.

9. JOINT AND SEVERAL  LIABILITY.  If the Subscriber is more than one person, the
obligations of the Subscriber shall be joint and several and the representations
and warranties herein contained shall be deemed to be made by, and binding upon,
each such person and his/her heirs,  executors,  administrators,  successors and
permitted assigns.

10. MISCELLANEOUS.

      (a) This Subscription Agreement may not be modified,  waived or terminated
except by an instrument in writing,  signed by a party against whom  enforcement
of such modification, waiver or termination is sought.

      (b) Except as otherwise provided herein, this Subscription Agreement shall
be binding upon, and inure to the benefit of the parties hereto and their heirs,
executors,  administrators,  successors,  legal  representatives  and  permitted
assigns,  and  the  agreements,   representations,   warranties,  covenants  and
acknowledgments  contained  herein shall be deemed to be made by, and be binding
upon, such heirs, executors,  administrators,  successors, legal representatives
and permitted assigns.

      (c) This Subscription Agreement shall be construed in accordance with, and
governed  in all  respects  by the laws of the State of New York  applicable  to
contracts made and to be performed wholly within the State of New York.

      (d) All notices  provided for in this Agreement shall be in writing signed
by the party giving such notice,  and delivered  personally or sent by overnight
courier or messenger or sent by registered  or certified  mail,  return  receipt
requested,  or by telex,  facsimile  transmission,  telegram or similar means of
communication  if confirmed by mail to the Company at its current address and to
the  Subscriber  at its  address as it  appears on the books and  records of the
Company.  Notices  shall be deemed to have been received on the date of personal
delivery or  facsimile,  or if sent by  certified  or  registered  mail,  return
receipt  requested,  shall be deemed to be delivered  on the third  business day
after the date of mailing.  A copy of any notice  shall also be delivered to the
Company's  counsel,  Thelen Reid & Priest LLP, 701  Pennsylvania  Avenue,  N.W.,
Washington,  DC 20004, Attention:  Louis A. Bevilacqua,  Esq., Facsimile:  (202)
654-1804.

      (e)  This   Subscription   Agreement  may  be  executed  in  one  or  more
counterparts and by different  parties in separate  counterparts,  with the same
effect as if all parties hereto had signed the same document.  All  counterparts
so executed and delivered shall be construed  together and shall  constitute one
and the same  agreement.  Facsimile  execution and delivery of this Agreement is
legal, valid and binding for all purposes.

      (f)  All  the  agreements,  representations  and  warranties  made  by the
Subscriber in this  Subscription  Agreement  shall survive the acceptance of the
Subscriber's  subscription  by the Company.  Unless the Subscriber  notifies the
Company in writing to the contrary  before the closing of the Offering,  all the
representations and warranties of the Subscriber  contained in this Subscription
Agreement will be deemed to have been reaffirmed and confirmed as of the closing
of the Offering.

      (g) This  Subscription  Agreement,  together  with the other  Subscription
Documents,  constitutes  the entire  agreement of the Subscriber and the Company
relating to the matters contained herein,  and supersedes all prior contracts or
agreements, whether oral or written.

                            [Signature Page Follows]

                                       5
<PAGE>

      IN  WITNESS  WHEREOF,  the  undersigned  has  executed  this  Subscription
Agreement as of the date first above written:

                 FOR INDIVIDUALS:

                 ---------------------------------
                 Print Name Above

                 ---------------------------------
                 Sign Name Above

                 FOR ENTITIES:

                 Print Name of Entity Above

                 By: _______________________________
                     Name:
                     Title:

                 ADDRESS OF SUBSCRIBER: _______________________________________

                                        _______________________________________

                                        _______________________________________

ACCEPTED THIS _______ DAY OF _________________, 200_

MANUFACTURERS MARKETING GROUP, INC.

By: ________________________
    Name:
    Title:

                                       6<PAGE>

                                                                     EXHIBIT 4.3

C L I F F O R D                                    LIMITED LIABILITY PARTNERSHIP

C H A N C E                                                       EXECUTION COPY

                           DATED       FEBRUARY 2004

                                     BETWEEN

                               DYNEA CHEMICALS OY
                                   NORDKEM AS
                                  as Borrowers
                                       and
                           CITIBANK INTERNATIONAL plc
                                as Facility Agent
                                       and
                           CITIBANK INTERNATIONAL plc
                               as Security Trustee
                                       and
                                 CITIBANK, N.A.
                                 as Issuing Bank
                                       and
           CITIGROUP GLOBAL MARKETS LIMITED (formerly SALOMON BROTHERS
                             INTERNATIONAL LIMITED)
                                as Lead Arranger

                                       and

                                    DYNEA OY
                                as Term D Lender

             ------------------------------------------------------
                       AMENDMENT AND RESTATEMENT AGREEMENT
                                  RELATING TO A
                                CREDIT AGREEMENT
                               DATED 7 AUGUST 2000
             ------------------------------------------------------

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
CLAUSE                                                                                               PAGE
<S>                                                                                                  <C>
1.     Definitions And Interpretation..............................................................    1
2.     Restatement And Novation....................................................................    2
3.     Representations And Warranties..............................................................    2
4.     Continuity..................................................................................    2
5.     Expenses....................................................................................    2
6.     Miscellaneous...............................................................................    3
7.     Law And Jurisdiction........................................................................    3

Schedule 1 CONDITIONS PRECEDENT....................................................................    5

Schedule 2 RESTATED AGREEMENT......................................................................    8
</TABLE>

<PAGE>

THIS AGREEMENT is made on     February 2004

BETWEEN

(1)      DYNEA CHEMICALS OY (formerly known as Neste Chemicals Oy), a company
         incorporated in Finland with registered number 769.380 ("DYNEA");

(2)      NORDKEM AS, a company incorporated in Norway with registered number
         981313054 ("NORDKEM");

(3)      CITIBANK INTERNATIONAL PLC of Citigroup Centre, Canada Square, Canary
         Wharf, London E14 5LB as the Facility Agent (as that term is more
         particularly defined below);

(4)      CITIBANK INTERNATIONAL PLC of Citigroup Centre, Canada Square, Canary
         Wharf, London E14 5LB as the Security Trustee (as that term is more
         particularly defined below);

(5)      CITIBANK, N.A. of Citigroup Centre, Canada Square, Canary Wharf, London
         E14 5LB as the Issuing Bank (as that term is more particularly defined
         below);

(6)      CITIGROUP GLOBAL MARKETS LIMITED (FORMERLY SALOMON BROTHERS
         INTERNATIONAL LIMITED) of Citigroup Centre, Canada Square, Canary
         Wharf, London E14 5LB as the lead arranger of the facilities made
         available under this Agreement (in such capacity, the "LEAD ARRANGER");
         and

(7)      DYNEA OY, a company incorporated in Finland with registered number
         1562077-1 (the "TERM D LENDER").

RECITALS

(A)      By a credit agreement dated 7 August 2000 between Dynea, Nordkem,
         certain banks, Citibank International plc as facility agent, Citibank
         International plc as security trustee, Citibank, N.A. as issuing bank
         and Citigroup Global Markets Limited as lead arranger, certain
         facilities were made available on the terms and conditions thereof (as
         amended from time to time, the "CREDIT AGREEMENT").

(B)      The Majority Banks (as defined in the Credit Agreement) have authorised
         the Facility Agent to enter into this Agreement on behalf of the Banks.

(C)      The parties have agreed, inter alios, to the Term D Lender providing a
         new term loan facility to Dynco, to provide for the Term D Lender to
         become a party to the Credit Agreement as a Bank and to amend and
         restate the Credit Agreement upon the terms set out below.

IT IS AGREED as follows.

1.       DEFINITIONS AND INTERPRETATION

1.1      DEFINITIONS

         In this Agreement:

                                      -1-

<PAGE>

         "EFFECTIVE DATE" means the date on which the Facility Agent confirms to
         the Banks and Dynea that it has received each of the documents listed
         in Schedule 1 (Conditions Precedent) in a form and substance
         satisfactory to the Facility Agent.

         "NEW FEE LETTER" means the letter dated on or about 13 February 2004
         from the Facility Agent to Dynea relating to certain fees payable to
         the Facility Agent in respect of the amendments to the Credit Agreement
         which relate to the Term D Loan Facility, being described on its face
         as the "New Fee Letter".

         "NEW TRANSACTION DOCUMENTS" means this Agreement, the New Fee Letter,
         the Performance Guarantees, the Put and Call Agreement, On-Lending
         Agreement and each document referred to in paragraph 3 of Schedule 1
         (Conditions Precedent).

         "RESTATED AGREEMENT" means the Credit Agreement, as amended and
         restated by this Agreement, the terms of which are set out in Schedule
         2 (Restated Agreement).

1.2      INCORPORATION OF DEFINED TERMS

         Terms defined in the Credit Agreement shall, unless otherwise defined
         herein, have the same meaning herein and the principles of construction
         set out in the Credit Agreement shall have effect as if set out in this
         Agreement.

1.3      CLAUSES

         In this Agreement any reference to a "Clause" or "Schedule" is, unless
         the context otherwise requires, a reference to a Clause or Schedule
         hereof. Clause headings are for ease of reference only.

2.       RESTATEMENT AND NOVATION

         On the Effective Date:

         2.1.1    the Credit Agreement shall be amended and restated so that it
                  shall be in the form set out in Schedule 2 (Restated
                  Agreement); and

         2.1.2    the Term D Lender shall become a party to the Credit Agreement
                  as a Bank on the terms set out in the Restated Agreement.

3.       REPRESENTATIONS AND WARRANTIES

         Dynea hereby makes the representations and warranties set out in
         clauses 11.1.1 (Status) to 11.1.7 (Litigation) (inclusive) of the
         Credit Agreement on the basis that references to the Credit Agreement
         are references to the Restated Agreement.

4.       CONTINUITY

         The provisions of the Credit Agreement shall, save as amended and
         novated hereby, continue in full force and effect.

5.       EXPENSES

         Dynea shall, from time to time on demand of the Facility Agent,
         reimburse the Facility Agent for all costs and expenses (including
         legal fees) together with any VAT thereon incurred by it or any Finance
         Party in connection with the negotiation, preparation and

                                      -2-

<PAGE>

         execution of this Agreement, any other document referred to in this
         Agreement and the completion of the transactions herein contemplated.

6.       MISCELLANEOUS

6.1      INCORPORATION OF TERMS

         The provisions of clause 18 (Amendments and Waivers) and clause 19.1
         (Severance) of the Credit Agreement shall be incorporated into this
         Agreement as if set out in full herein and as if references therein to
         "this Agreement", "the Financing Documents" or "the Transaction
         Documents" are references to this Agreement.

6.2      COUNTERPARTS

         This Agreement may be executed in any number of counterparts, all of
         which taken together shall constitute one and the same instrument.

6.3      WAIVER

         On the Effective Date, the Banks hereby waive any Default that may have
         arisen prior to the Effective Date in respect of the financial
         undertakings set out in clause 12.6 (Financial Undertakings) of the
         Credit Agreement.

6.4      BUSINESS PLAN

         On the Effective Date, the Banks hereby approve the business plan for
         the Group for the Financial Years ending 31 December 2004, 31 December
         2005 and 31 December 2006 delivered to the Facility Agent on 15
         December 2003.

7.       LAW AND JURISDICTION

7.1      LAW

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

7.2      JURISDICTION

         7.2.1    The Parties agree that the courts of England shall have
                  jurisdiction to settle any disputes which may arise in
                  connection with this Agreement and that any judgment or order
                  of an English court in connection with this Agreement is
                  conclusive and binding on them and may be enforced against
                  them in the courts of any other jurisdiction. This sub-clause
                  7.2.1 is for the benefit of each Agent, the Issuing Bank and
                  the Lead Arranger only and shall not limit the right of each
                  Agent, the Issuing Bank and the Lead Arranger to bring
                  proceedings against any Borrower in connection with this
                  Agreement in any other court of competent jurisdiction or
                  concurrently in more than one jurisdiction.

         7.2.2    Each Borrower:

                  (a)      waives any objections which it may have to the
                           English courts on the grounds of venue or forum non
                           conveniens or any similar grounds as regards
                           proceedings in connection with this Agreement; and

                  (b)      consents to service of process by mail or in any
                           other manner permitted by the relevant law.

                                       -3-

<PAGE>

AS WITNESS the hands of duly authorised representatives of the parties hereto
the day and year first before written.

                                      -4-

<PAGE>

                                   SCHEDULE 1

                              CONDITIONS PRECEDENT

1.       DELIVERY OF CERTIFIED COPIES

         The Facility Agent shall have received a Certified Copy of each of the
         following in form and substance satisfactory to it:

         (a)      the certificates of incorporation, any certificate of
                  incorporation on change of name (or in each case any foreign
                  equivalent) and the constitutional documents of each of
                  Issueco, Dynea, Nordkem, Dynea Oy, Dynea ASA, Dynea NZ Ltd and
                  Dynco;

         (b)      the minutes of a meeting of the board of directors or, where
                  relevant (and including in respect of the execution, delivery
                  and performance of the On-Lending Agreement by Dynco), a
                  shareholders' meeting of each of Issueco, Dynea, Nordkem,
                  Dynea Oy, Dynco and Dynea ASA (including the resolutions
                  passed at those meetings):

                  (i)      approving and authorising the execution, delivery and
                           performance of this Agreement and each New
                           Transaction Document to which it is a party, and in
                           the case of Dynco its Deed of Accession, on the terms
                           and conditions of those documents;

                  (ii)     showing that the relevant board (or shareholders)
                           meeting was quorate and that all declarations of
                           interests required in connection with any New
                           Transaction Document to which it is a party, and in
                           the case of Dynco its Deed of Accession, were made;
                           and

                  (iii)    authorising any director whose name and specimen
                           signature is set out in those minutes to sign or
                           otherwise attest the execution of those documents and
                           any other documents to be executed or delivered
                           pursuant to those documents.

2.       DELIVERY OF ORIGINAL NON-SECURITY DOCUMENTATION, ETC.

         The Facility Agent shall have received each of the following in form
         and substance satisfactory to it:

         (a)      each of the following documents duly executed by the parties
                  thereto:

                  (i)      the On-Lending Agreement (as such term is defined in
                           the Restated Agreement);

                  (ii)     the Performance Guarantees (as such term is defined
                           in the Restated Agreement); and

                  (iii)    the Put and Call Agreement (as such term is defined
                           in the Restated Agreement);

                                      -5-

<PAGE>

         (b)      the New Fee Letter duly countersigned by Dynea together with
                  evidence that the Amendment Fee payable to each Agreeing Bank
                  (as each such term is defined therein) on the date of this
                  Agreement has been or shall be paid;

         (c)      evidence that Tranche D1 of the Term D Loan Facility (as each
                  such term is defined in the Restated Agreement) has been or
                  will simultaneously be drawn down in full by Dynco under the
                  terms of the Restated Agreement and that the proceeds thereof
                  have been or will simultaneously be on-lent by Dynco to Dynea
                  under the terms of the On-Lending Agreement and paid to
                  Issueco to be applied in payment of interest due on the Senior
                  Subordinated Notes;

         (d)      a certificate from two directors of Issueco certifying that it
                  is not and, immediately after the Effective Date, will not be
                  in breach of any of the terms of the Senior Subordinated Notes
                  Documents;

         (e)      legal opinions from Clifford Chance LLP, Luostarinen Mettala &
                  Raikkonen, Arntzen de Besche, Wolf Theiss & Partners and
                  Chapman Tripp (as to matters of English, Finnish, Norwegian,
                  Austrian and New Zealand law);

         (f)      a legal opinion from Bedell Cristin as to the due execution
                  and a legal opinion from Clifford Chance Limited Liability
                  Partnership as to the legality and enforceability of the
                  Performance Guarantees entered into by IK 1997 Limited and IK
                  2000 Limited;

         (g)      share certificates in respect of the entire issued share
                  capital of Dynea NZ Limited together with a signed transfer in
                  respect of those shares;

         (h)      a resolution of the board of directors of Dynea NZ Limited
                  resolving to approve any transfer of the shares pursuant to
                  the Share Charge referred to in paragraph 3(b) below, if
                  enforced;

         (i)      all information required to register a financing statement on
                  the New Zealand Personal Property Securities Register against
                  Dynea ASA relating to the property secured by the Share Charge
                  entered into by Dynea ASA in respect of the entire issued
                  share capital of Dynea NZ Limited;

         (j)      a power of attorney in the form set out in Schedule 1 of the
                  Share Charge referred to in paragraph 3(f) below, duly
                  executed by Dynea;

         (k)      a Deed of Accession duly executed by Dynco; and

         (l)      share certificates in respect of the entire issued share
                  capital of Dynco.

3.       DELIVERY OF SECURITY DOCUMENTS

         The Facility Agent shall have received each of the following in form
         and substance satisfactory to it:

         (a)      the Dynea Security Assignment (as such term is defined in the
                  Restated Agreement), together with Notices of Assignment in
                  the form set out in Schedule 1 of the Dynea Security
                  Assignment duly signed by Dynea and

                                      -6-

<PAGE>

                  addressed to, and acknowledged by, IK 1997 Limited, IK 2000
                  Limited and Dynea Oy;

         (b)      a Share Charge entered into by Dynea in respect of the entire
                  issued share capital of Dynco;

         (c)      a Share Charge entered into by Dynea ASA in respect of the
                  entire issued share capital of Dynea NZ Ltd;

         (d)      written acknowledgement from Issueco that the Share Charge
                  granted by Issueco over the shares in Dynea will remain in
                  full force and effect notwithstanding the amendments to the
                  Credit Agreement to be effected pursuant to this Agreement and
                  will secure each of the Facilities;

         (e)      written acknowledgement from Dynea that the Share Charge
                  granted by Dynea over the shares in Dynea Finland Oy will
                  remain in full force and effect notwithstanding the amendments
                  to the Credit Agreement to be effected pursuant to this
                  Agreement and will secure each of the Facilities; and

         (f)      a letter of confirmation from Dynea in relation to the Share
                  Charge granted by Dynea over the entire issued share capital
                  of Dynea Holding GmbH,

         together with, in each case, all documents deliverable with them.

                                      -7-

<PAGE>

                                   SCHEDULE 2

                               RESTATED AGREEMENT

                                      -8-
<PAGE>

C L I F F O R D                                    LIMITED LIABILITY PARTNERSHIP
C H A N C E

                                   SCHEDULE 2

                              DATED 7TH AUGUST 2000

                               DYNEA CHEMICALS OY
                                   NORDKEM AS
                                  as Borrowers
                                       and
                                    THE BANKS
                                       and
                           CITIBANK INTERNATIONAL plc
                                as Facility Agent
                                       and
                           CITIBANK INTERNATIONAL plc
                               as Security Trustee
                                       and
                                 CITIBANK, N.A.
                                 as Issuing Bank
                                       and
           CITIGROUP GLOBAL MARKETS LIMITED (formerly SALOMON BROTHERS
                             INTERNATIONAL LIMITED)
                                as Lead Arranger

             ------------------------------------------------------
                                CREDIT AGREEMENT
          (as novated and amended up to and including 13 February 2004)
                                   relating to
                 (i) a term A loan facility of Euro 189,841,693;
                 (ii) a term B loan facility of Euro 94,920,847;
                (iii) a term C loan facility of Euro 94,786,533;
              (iv) a term D loan facility of Euro 31,700,000; and
           (v) a multicurrency revolving loan and guarantee facility
                               of Euro 100,000,000
             ------------------------------------------------------

<PAGE>

                                    CONTENTS

<TABLE>
<CAPTION>
CLAUSE                                                                                              PAGE
<S>                                                                                                 <C>
1.     Definitions And Interpretation..........................................................       1
2.     Facilities..............................................................................      32
3.     Conditions Precedent....................................................................      36
4.     Utilisation Of The Facilities...........................................................      36
5.     Alternative Currencies..................................................................      43
6.     Interest................................................................................      45
7.     Repayment, Prepayment And Cancellation..................................................      50
8.     Changes In Circumstances................................................................      55
9.     Payments................................................................................      60
10.    Security................................................................................      64
11.    Representations And Warranties..........................................................      65
12.    Undertakings............................................................................      70
13.    Default.................................................................................      85
14.    Set-Off.................................................................................      88
15.    Pro Rata Sharing........................................................................      88
16.    The Finance Parties.....................................................................      89
17.    Fees And Expenses.......................................................................      99
18.    Amendments And Waivers..................................................................     100
19.    Miscellaneous...........................................................................     102
20.    Notices.................................................................................     102
21.    Assignments And Transfers...............................................................     104
22.    Indemnities.............................................................................     107
23.    Law And Jurisdiction....................................................................     108

Schedule 1 THE BANKS...........................................................................     109

Schedule 2.....................................................................................     117
       Part I Conditions Precedent.............................................................     117
       Part Ii Conditions Subsequent...........................................................     122
       Part Iii Additional Security............................................................     125

Schedule 3.....................................................................................     127
       Part I Drawdown Notice..................................................................     127
       Part Ii Bank Guarantee Request..........................................................     128

Schedule 4 THE GROUP...........................................................................     129
</TABLE>

<PAGE>
<TABLE>
<S>                                                                                                 <C>
       Part I Charging Group Companies...............................................................129
       Part Ii Other Group Companies.................................................................130

Schedule 5 MANDATORY COST RATE.......................................................................131

Schedule 6 FORM OF TRANSFER CERTIFICATE..............................................................133

Schedule 7 FORM OF DEED OF ACCESSION.................................................................138

Schedule 8 ORIGINAL EURO AMOUNT......................................................................140

Schedule 9 PROVISIONS RELATING TO THE TERM D LOAN FACILITY...........................................141

Schedule 10 SUBORDINATION............................................................................143
</TABLE>

<PAGE>

THIS AGREEMENT is made on 7th August 2000

BY:

(1)      DYNEA CHEMICALS OY (formerly known as Neste Chemicals Oy), a company
         incorporated in Finland with registered number 769.380 ("DYNEA");

(2)      NORDKEM AS, a company incorporated in Norway with registered number
         981313054 ("NORDKEM");

(3)      THE BANKS listed in Schedule 1 (The Banks);

(4)      CITIBANK INTERNATIONAL PLC of Citigroup Centre, Canada Square, Canary
         Wharf, London E14 5LB as the Facility Agent (as that term is more
         particularly defined below);

(5)      CITIBANK INTERNATIONAL PLC of Citigroup Centre, Canada Square, Canary
         Wharf, London E14 5LB as the Security Trustee (as that term is more
         particularly defined below);

(6)      CITIBANK, N.A. of Citigroup Centre, Canada Square, Canary Wharf, London
         E14 5LB as the Issuing Bank (as that term is more particularly defined
         below); and

(7)      CITIGROUP GLOBAL MARKETS LIMITED of Citigroup Centre, Canada Square,
         Canary Wharf, London E14 5LB as the lead arranger of the facilities
         made available under this Agreement (in such capacity, the "LEAD
         ARRANGER").

IT IS AGREED as follows:

1.       DEFINITIONS AND INTERPRETATION

1.1      DEFINITIONS

         In this Agreement:

         "ACCOUNTANTS' REPORTS" means:

         (a)      the report dated on or about 7 October 1999 prepared by
                  PricewaterhouseCoopers relating to the NCO Target Companies
                  and the Dynea Target Assets; and

         (b)      each of the reports dated on or about 1 December 1999 and 20
                  June 2000 respectively prepared by PricewaterhouseCoopers
                  relating to Dyno and its Subsidiaries,

         in each case addressed, among others, to the Finance Parties or subject
         to a reliance letter in favour of the Finance Parties.

         "ACCOUNTING PRINCIPLES" means IAS as at the date of this Agreement.

                                      -1-

<PAGE>

         "ACCOUNTS" means:

         (a)      in relation to Dynea, its audited consolidated accounts
                  (including all additional information and notes to the
                  accounts) together with the relevant directors' report and
                  auditors' report; and

         (b)      in relation to any other Material Company from time to time,
                  its accounts (including all additional information and notes
                  to the accounts), audited to the extent required for
                  consolidation, together with the relevant auditors' report.

         "ACQUISITION COSTS" means those fees, commissions, costs and expenses
         properly incurred by Parentco, Dynea or Nordkem in relation to the
         Dynea Acquisition or the Dyno Acquisition (including the financing
         thereof).

         "ACQUISITION GOODWILL" means the net goodwill arising on the Dynea
         Acquisition and the Dyno Acquisition.

         "ACT" means the Companies Act 1985.

         "ADDITIONAL COST RATE" means, in relation to any Advance and:

         (a)      a Bank acting out of a Lending Office in the United Kingdom,
                  the Mandatory Cost Rate; or

         (b)      a Bank acting out of a Lending Office outside the United
                  Kingdom, the cost, if any, certified by any Bank as the net
                  cost to it of complying with the reserve asset and other
                  regulatory requirements of the European Central Bank in
                  relation to that Advance or any class of loans which that
                  Advance forms part, expressed as a percentage rate per annum
                  for the relevant Interest Period.

         "ADVANCE" means a Term Advance or a Revolving Advance.

         "AGENTS" means the Facility Agent and the Security Trustee; and "AGENT"
         means either of them.

         "ALTERNATIVE CURRENCY" means any currency (other than Euro) which is
         freely convertible into Euro, freely transferable and readily available
         in the London interbank market.

         "ASSET SECURITY DOCUMENT" means, in relation to a Group Company, such
         document or documents in favour of the Security Trustee as will under
         the laws of that Group Company's jurisdiction of incorporation create
         security over substantially all of its assets and undertaking and which
         are in form and substance reasonably satisfactory to the Security
         Trustee.

         "AUDITORS" means, in relation to each Group Company,
         PricewaterhouseCoopers or any other firm of chartered accountants of
         internationally recognised standing that has been appointed as auditors
         of such Group Company.

         "AUSTRIAN HOLDCO" means Dynea Holding GmbH, a company incorporated in
         Austria with registered number FN 189161d.

                                      -2-

<PAGE>

         "AUSTRIAN INVESTCO I" means Krems Chemie Chemical Services GmbH, a
         company incorporated in Austria with registered number FN189167m.

         "AUSTRIAN INVESTCO II" means KCA Chemische Produkte GmbH, a company
         incorporated in Austria with registered number FN 189166k.

         "AUSTRIAN NESTE" means Krems Chemie GmbH, a company incorporated in
         Austria with registered number 189206W.

         "AVAILABLE REVOLVING CREDIT COMMITMENT" means, in relation to a Bank,
         its Revolving Credit Commitment less the Original Euro Amount of (a)
         its Participations in the Revolving Advances and (b) its Bank
         Indemnity.

         "AVAILABLE REVOLVING CREDIT FACILITY" means the aggregate of the
         Available Revolving Credit Commitments of the Banks.

         "BANK GUARANTEE" means any guarantee, bond, indemnity, letter of
         credit, documentary or other credit, or any other instrument of
         suretyship or payment, issued, undertaken or made or, as the case may
         be, proposed to be issued, undertaken or made by the Issuing Bank under
         the Revolving Credit Facility.

         "BANK GUARANTEE REQUEST" means a request substantially in the form set
         out in Part II of Schedule 3 (Bank Guarantee Request).

         "BANK INDEMNITY" means, in relation to a Bank, the indemnity given by
         that Bank to the Issuing Bank under Clause 4.15 (Counter indemnity from
         the Banks); and "BANK INDEMNITIES" shall be construed accordingly.

         "BANKS" means (a) the banks and financial institutions listed in
         Schedule 1 (The Banks) and any Bank Transferee, together with their
         respective successors in title, PROVIDED THAT any bank or financial
         institution which transfers all of its Commitment in accordance with
         Clause 21.4 (Transfers by Banks) shall cease to be a "Bank" and (b)
         (save for the purpose of determining the Majority Banks and for the
         purpose of sub-clause 18.2.3 of Clause 18.2 (All Banks) at any time
         prior to the Senior Discharge Date) the Term D Lender.

         "BANK TRANSFEREE" has the meaning given to that term in sub-clause
         21.4.2 of Clause 21.4 (Transfers by Banks).

         "BOOZ ALLEN HAMILTON REPORTS" means each of the market reports prepared
         by Booz, Allen and Hamilton entitled "Primus - Operations Improvement"
         dated 15 June 2000 and "Construction and Furniture Industry Trends"
         dated 24 November 1999 respectively and each addressed, among others,
         to the Finance Parties, or subject to a reliance letter in favour of
         the Finance Parties.

         "BORROWER INDEMNITY" means, in relation to a Borrower, the indemnity
         given by that Borrower to the Issuing Bank and each Bank under Clause
         4.14 (Counter indemnity from the Borrowers); and "BORROWER INDEMNITIES"
         shall be construed accordingly.

                                      -3-

<PAGE>

         "BORROWERS" means Dynea, Nordkem, Dynco and any other Charging Group
         Company that becomes a party to this Agreement pursuant to Clause 2.4
         (Additional Borrowers); and "BORROWER" shall be construed accordingly.

         "BUSINESS DAY" means a day (other than Saturday or Sunday) on which
         banks are open for general interbank business in London, Oslo and
         Helsinki and:

         (a)      in relation to a transaction involving an Alternative
                  Currency, in the principal financial centre of the country of
                  that Alternative Currency; and

         (b)      in relation to any date for payment or purchase of a sum
                  denominated in the Euro, any TARGET Day.

         "CANADIAN NESTE" means Dynea Canada Limited, a company incorporated in
         Canada.

         "CAN DOLLARS" and "CAN $" means the lawful currency for the time being
         of Canada.

         "CAPITAL EXPENDITURE" has the meaning given to that term by IAS.

         "CAPTIVE BRIDGING LOAN" means the loan made pursuant to the Captive
         Bridging Loan Agreement.

         "CAPTIVE BRIDGING LOAN AGREEMENT" means the bridging loan agreement
         made or to be made between Dyno ASA and Leonia Corporate Bank plc and
         guaranteed by Parentco.

         "CAPTIVE INSURANCE COMPANY" means Forsikringsselskap Eksplosionsskade.

         "CASH EQUIVALENTS" means all bonds, notes, certificates of deposit and
         commercial paper with a maturity of not more than 12 months and rated
         at least A-1 by Standard and Poor's Ratings Services, a division of The
         McGraw-Hill Companies, Inc or P-1 by Moody's Investor Services Inc.

         "CASHFLOW" means, in respect of the Group in relation to any period,
         the aggregate of EBITDA for that period:

         (a)      plus, to the extent not already taken account of in EBITDA,
                  the Net Cash Proceeds in relation to Disposals of fixed assets
                  during that period;

         (b)      plus any decrease, or minus any increase, in Net Working
                  Capital during that period;

         (c)      plus any receipts by way of extraordinary or exceptional items
                  and minus any payments by way of extraordinary or exceptional
                  items, in each case, received or made during that period;

         (d)      minus any dividends paid in respect of minority interests for
                  that period;

         (e)      plus any dividends received from other fixed assets
                  investments during that period;

                                      -4-

<PAGE>

         (f)      plus income from participating interests in associated
                  undertakings to the extent received in cash and minus any
                  payment made to associated undertakings during that period;

         (g)      plus any increase or minus any decrease in provisions for
                  liabilities and charges made in respect of that period;

         (h)      minus Capital Expenditure (but excluding, for the avoidance of
                  doubt, any Capital Expenditure paid by any joint ventures
                  and/or associated undertakings) paid or contractually required
                  to be paid during that period;

         (i)      plus realised exchange gains and minus realised exchange
                  losses charged during that period to the extent not already
                  taken account of in EBITDA for that period;

         (j)      minus any Restructuring Costs paid in such period;

         (k)      minus, to the extent included in EBITDA, the Net Cash Proceeds
                  of the Disposals of the Paper Chemicals Business, the
                  Investcos, the Explosive Subsidiaries (and any other part of
                  the explosives business of Dyno) and the entire issued share
                  capital of NCT Holland B.V. received in such period;

         (l)      plus any Chemitec Proceeds received in cash by a Group Company
                  in such period save to the extent the same are applied in
                  prepayment of the Term Loan Facilities;

         (m)      minus the aggregate of all corporation or other similar Taxes
                  (other than Taxes paid in respect of the Disposal of the
                  Oilfield Chemicals Business up to an aggregate maximum amount
                  of EUR 15,000,000) paid during that period;

         (n)      plus the proceeds of any part of the Initial Equity Injection
                  and any Term D Advance received by Dynco in cash during that
                  period; and

         (o)      minus all amounts paid to, and plus all amounts released
                  (other than where the same are applied in prepaying the
                  Facilities) from, a bank account to which sub-clauses
                  12.4.2(b) and 12.4.2(h) of Clause 12.4 (Negative Undertakings)
                  refer.

         (For the purposes of this definition: (1) there shall be no double
         counting and (2) "NET WORKING CAPITAL" means the aggregate of Current
         Assets (excluding all of cash at bank and cash in hand, all assets in
         relation to Tax and accrued interest receivable) less the aggregate of
         Current Liabilities (excluding moneys due in relation to the Facilities
         and liabilities in relation to Tax, extraordinary items and dividends
         payable); "CURRENT ASSETS" means, in relation to the Group, the
         aggregate value of its assets which are treated as current assets in
         accordance with IAS; and "CURRENT LIABILITIES" means, in relation to
         the Group, the aggregate value of its liabilities which are treated as
         current liabilities in accordance with IAS).

         "CASH MARGIN" means:

         (a)      in respect of the Term A Loan Facility and the Revolving
                  Credit Facility, subject to Clause 6.2 (Margin Ratchet), 2.00
                  per cent. per annum;

                                      -5-

<PAGE>

         (b)      in respect of the Term B Loan Facility, 2.50 per cent. per
                  annum;

         (c)      in respect of the Term C Loan Facility, 3.00 per cent. per
                  annum; and

         (d)      in respect of the Term D Loan Facility, 3.00 per cent. per
                  annum.

         "CERTIFIED COPY" means, in relation to a document, a copy of that
         document bearing the endorsement "Certified a true, complete and
         accurate copy of the original, which has not been amended otherwise
         than by a document, a Certified Copy of which is attached hereto",
         which has been signed and dated by a duly authorised officer of the
         relevant company and which complies with that endorsement.

         "CHANGE" means, in relation to a Bank (or any company of which that
         Bank is a Subsidiary), the introduction, implementation, repeal,
         withdrawal or change in, or in the interpretation or application of,
         (a) any law, regulation, practice or concession, or (b) any directive,
         requirement, request or guidance (whether or not having the force of
         law but if not having the force of law, one which applies generally to
         a class or category of financial institutions of which that Bank (or
         that company) forms part and compliance with which is in accordance
         with the general practice of those financial institutions) of the
         European Community, any central bank including the European Central
         Bank, the Financial Services Authority, or any other fiscal, monetary,
         regulatory or other authority.

         "CHANGE OF CONTROL" means a situation where, at any time:

         (a)      Industri Kapital and/or funds managed by it ceases to be the
                  beneficial owner (whether directly or indirectly) of shares in
                  the share capital of Parentco carrying the right to exercise
                  more than 50 per cent. of the votes exercisable at a general
                  meeting of Parentco; or

         (b)      Parentco ceases to be the beneficial owner of all of the
                  issued share capital of Issueco; or

         (c)      Issueco ceases to be the beneficial owner of all of the issued
                  share capital of Dynea.

         "CHARGING GROUP COMPANIES" means each Group Company that has executed,
         or is by the terms of this Agreement to execute, in the case of a Group
         Company incorporated in England and Wales or Ireland, a Guarantee and
         Debenture and, in the case of a Group Company incorporated outside of
         England and Wales or Ireland, a Guarantee and an Asset Security
         Document, and "CHARGING GROUP COMPANY" shall be construed accordingly.

         "CHEMITEC COMPANIES" means each of Dynea Erkner GmbH, Dynea France SA,
         Dynea Resins France SAS, Dynea A/S, Dynea Aycliffe Ltd, Chemitec do
         Brasil LTDA, SCP Dynea do Brasil and Dynea Holding BV, The Netherlands.

         "CHEMITEC PROCEEDS" means the proceeds of an Issueco Loan or a
         subscription for new shares in Dynea by Issueco in an aggregate amount
         of EUR 35,000,000 made at or about the time of the acquisition of the
         share capital of the Chemitec Companies by a Group Company.

                                      -6-

<PAGE>

         "CHRISTIANIA FACILITIES" means the credit facilities up to the maximum
         aggregate amount of NOK2,750,000,000 provided by Christiania Bank og
         Kreditkasse to Dyno Nobel ASA for the purpose of, among other things,
         the financing of the acquisition of the Explosives Subsidiaries and all
         other parts of the explosives business of Dyno.

         "COMMITMENT" means, in relation to a Bank, the aggregate of its Term A
         Loan Commitment, its Term B Loan Commitment, its Term C Loan
         Commitment, its Term D Loan Commitment and its Revolving Credit
         Commitment.

         "COMPLIANCE CERTIFICATE" has the meaning given to that term in
         sub-clause 12.2.5 of Clause 12.2 (Information Undertakings).

         "CONFIRMATION DOCUMENT" means:

         (a)      each of the documents referred to in sub-paragraphs (b) and
                  (c) of paragraph 2 of Part III of Schedule 2;

         (b)      written acknowledgement from Issueco that the Share Charge
                  granted by Issueco over the shares in Dynea will remain in
                  full force and effect notwithstanding the amendments to the
                  Credit Agreement to be effected pursuant to this Agreement and
                  will secure each of the Facilities;

         (c)      written acknowledgement from Dynea that the Share Charge
                  granted by Dynea over the shares in Dynea Finland Oy will
                  remain in full force and effect notwithstanding the amendments
                  to the Credit Agreement to be effected pursuant to this
                  Agreement and will secure each of the Facilities; and

         (d)      a letter of confirmation from Dynea in relation to the Share
                  Charge granted by Dynea over the entire issued share capital
                  of Dynea Holding GmbH.

         "DANGEROUS MATERIALS" means any element or substance, whether
         consisting of gas, liquid, solid or vapour, identified by any
         Environmental Law to be, to have been, or to be capable of being or
         becoming, harmful to mankind or any living organism or damaging to the
         Environment.

         "DEED OF ACCESSION" means a deed substantially in the form set out in
         Schedule 7 (Form of Deed of Accession).

         "DEFAULT" means any event specified as such in Clause 13.1 (Default).

         "DEFAULT NOTICE" has the meaning given to that term in sub-clause
         13.2.1 of Clause 13.2 (Acceleration etc).

         "DEFEASED DYNO BONDS INDEBTEDNESS" means that part of the Indebtedness
         under the Existing Dyno Bonds that has been cash collateralised.

         "DEPRECIATION" has the meaning given to that term by IAS.

         "DISCLOSURE LETTER" has the meaning given to the Disclosure Schedule in
         the Dynea Acquisition Agreement.

                                      -7-

<PAGE>

         "DISPOSAL" means a sale, transfer or other disposal (including by way
         of lease or loan) by a person of all or part of its assets, whether by
         one transaction or a series of transactions and whether at the same
         time or over a period of time.

         "DRAWDOWN DATE" means the date on which an Advance is made, or is
         proposed to be made.

         "DRAWDOWN NOTICE" means a notice substantially in the form set out in
         Part I of Schedule 3 (Drawdown Notice).

         "DUTCH HOLDCO" means Nordkem B.V., a company incorporated in the
         Netherlands with registered number 27174375.

         "DYNCO" means Dynea Investment Oy, a company incorporated in Finland
         with corporate business ID 1849133-8.

         "DYNEA ACQUISITION" means the acquisition by Dynea of the Dynea Shares
         and the Dynea Assets pursuant to the Dynea Acquisition Agreement.

         "DYNEA ACQUISITION AGREEMENT" means the sale and purchase agreement
         dated 8th October 1999 relating to the sale and purchase of the Dynea
         Shares and the Dynea Assets and made between (a) Dynea Chemicals Oy
         (formerly Neste Chemicals Oy) and Neste Chemicals Benelux Holdings, (b)
         Dynea, (c) Fortum Oil and Gas Oy and (d) Industri Kapital (but, for the
         avoidance of doubt, shall not include the Disclosure Letter).

         "DYNEA ASSETS" means the Assets as such term is defined in the Dynea
         Acquisition Agreement.

         "DYNEA INVESTCOS" means Austrian Investco I, Austrian Investco II and
         German Investco.

         "DYNEA SECURITY ASSIGNMENT" means the assignment by way of security
         entered into by Dynea in favour of the Security Trustee on or about 13
         February 2004 in respect of its rights under the Performance
         Guarantees.

         "DYNEA SHARES" means the Neste Austrian Shares, the Neste Canadian
         Shares, the Neste French Shares, the Neste Swedish Shares, the Neste US
         Shares and the Remaining Dynea Shares.

         "DYNO" means Dyno ASA, a company incorporated under the laws of Norway
         with registered number 820 051 122.

         "DYNO ACQUISITION" means the acquisition by Nordkem of the Dyno Shares
         pursuant to the Offer.

         "DYNO EXPLOSIVES SALE AGREEMENT" means the sale and purchase agreement
         relating to the explosives business of Dyno made or to be made between,
         among others, Dyno and Dyno Nobel ASA.

         "DYNO INVESTCOS" means Dyno Speciality Polymer AS, Dyno Radnor AS and
         Dynopart AS.

                                      -8-

<PAGE>

         "DYNO SHARES" means all of the issued share capital of Dyno.

         "EBITDA" means, in relation to the Group for any period the
         consolidated net profit of the Group for that period before Taxation
         and Total Net Interest Costs and adding back:

         (a)      Depreciation charged to the consolidated profit and loss
                  account of the Group during such period;

         (b)      any amount of Acquisition Goodwill amortised in that period
                  against the consolidated profit and loss account of the Group;

         (c)      Acquisition Costs and other non-cash items charged or
                  amortised in that period to, or against, the consolidated
                  profit and loss account of the Group;

         (d)      Restructuring Costs paid in such period to the extent the same
                  do not constitute an extraordinary or exceptional item;

         (e)      to the extent not taken account of in paragraph (a) above, any
                  insurance proceeds received in such period in respect of
                  business interruption to the extent such proceeds covers loss
                  of revenue for the Group; and

         (f)      the proceeds of any Further Equity Injections made after the
                  Effective Date received in such period up to an aggregate
                  maximum amount, for the period of 18 months following the
                  Effective Date, of Euro 15 million,

         but excluding:

         (i)      profit and loss attributable to minority interests (if any);

         (ii)     any profit or loss arising on the disposal of fixed assets;

         (iii)    income from, and investments in, participating interests in
                  associated undertakings and income from any other fixed asset
                  investment (excluding income from Methanor V of which, for the
                  avoidance of doubt, shall be included in the consolidated net
                  profit of the Group);

         (iv)     amounts written off the value of investments;

         (v)      realised and unrealised exchange gains and losses; and

         (vi)     extraordinary and exceptional items; and

         (vii)    without double counting, all professional fees (being legal
                  and accounting fees) directly incurred in relation to the
                  amendment and restatement of this Agreement on or about 13
                  February 2004 or the implementation of both the business plan
                  for the Group for the Financial Years ending 31 December 2004,
                  31 December 2005 and 31 December 2006 delivered to the
                  Facility Agent on 15 December 2003 and the New Business Plan,
                  in each case to the extent taken into account in the
                  calculation of EBITDA for the relevant period.

         For the purposes of sub-clause 12.6.2 of Clause 12.6 (Financial
         Undertakings) in relation to any period (the "RELEVANT PERIOD") of 12
         months ending on or before the date

                                      -9-

<PAGE>

         falling 12 months after the date of this Agreement, EBITDA shall be
         calculated on an annualised basis by multiplying EBITDA for the period
         (the "CALCULATION PERIOD") from the date of this Agreement to the end
         of the Relevant Period by the dividend of 365 divided by the number of
         days in the Calculation Period. In addition, in computing EBITDA for
         any 12 month period there shall be added (1) if but only if such
         proceeds are greater than or equal to EUR 5,000,000, up to a maximum of
         EUR 10,000,000 of the proceeds of any Issueco Loan or any Subscription
         Proceeds (other than, in either case, any of the same which constitute
         Chemitec Proceeds or are taken into account in ensuring that Dynea has
         received the amounts referred to in sub-clause 13.1.17 of Clause 13.1
         (Default) on the dates for receipt of such amounts set out therein)
         made in cash during such period and (2) in the event that the Group
         acquires Chemitec Companies on or before 31 March 2003, the earnings
         before interest, tax depreciation and amortisation of the Chemitec
         Companies (computed, mutatis mutandis, on the same basis as EBITDA) for
         any part of such period falling on or after 1 January 2003 and before
         the date the Group acquired the Chemitec Companies.

         "EFFECTIVE DATE" has the meaning ascribed thereto in the amendment and
         restatement agreement dated on or about 12 November 2001 which relates
         to this Agreement.

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

         "ENCUMBRANCE" means any mortgage, charge, assignment by way of
         security, pledge, hypothecation, lien, right of set off, retention of
         title provision, trust or flawed asset arrangement (for the purpose of,
         or entered into with the intention of, granting security) or any other
         security interest of any kind whatsoever, or any agreement, whether
         conditional or otherwise, to create any of the same, or any agreement
         to sell or otherwise dispose of any asset on terms whereby such asset
         is or may be leased to or re acquired or acquired by any Group Company.

         "ENVIRONMENT" means all or any of the following media: air (including
         air within buildings or other structures and whether above or below
         ground); land (including buildings and any other structures or
         erections in, on or under it and any soil and anything below the
         surface of land); land covered with water; and water (including sea,
         ground and surface water).

         "ENVIRONMENTAL LAW" means any statutory or common law, treaty,
         convention, directive or regulation having legal or judicial effect
         whether of a criminal or civil nature, concerning:

         (a)      pollution or contamination of the Environment;

         (b)      harm, whether actual or potential, to mankind and human
                  senses, living organisms and ecological systems;

         (c)      the generation, manufacture, processing, distribution, use
                  (including abuse), treatment, storage, disposal, transport or
                  handling of Dangerous Materials; or

         (d)      the emission, leak, release or discharge into the Environment
                  of noise, vibration, dust, fumes, gas, odours, smoke, steam,
                  effluvia, heat, light, radiation (of any

                                      -10-

<PAGE>

                  kind), infection, electricity or any Dangerous Material and
                  any matter or thing capable of constituting a nuisance or an
                  actionable tort of any kind in respect of such matters.

         "ENVIRONMENTAL REPORTS" means (a) the report prepared by J&W Energi och
         Miljo dated 6 May 1999 relating to the business of the NCO Target
         Companies and (b) the report prepared by Jacobsen & Widmark AB in
         respect of Dyno and its Subsidiaries dated 26 November 1999 each
         addressed, among others, to the Finance Parties or subject to a
         reliance letter in favour of the Finance Parties.

         "EQUITY INJECTION" means (i) the subscription in cash for new issued
         share capital in Issueco by Parentco or Industri Kapital or the making
         of a subordinated loan to Issueco by Parentco or Industri Kapital and
         the making of an Issueco Loan with the proceeds of that subscription or
         loan, (ii) the subscription in cash for new issued share capital in
         Neste by Parentco or Industri Kapital or the making in cash of a
         subordinated loan to Issueco by Parentco or Industri Kapital (where the
         terms of the subscription are approved by the Majority Banks), or (iii)
         the distribution of pre-tax income in cash by a company incorporated in
         Norway to a Group Company as described in sections 10.2, 10.3 and 10.4
         of the 1999 General Tax Act of Norway or an equivalent distribution
         made to the satisfaction of the Facility Agent (acting reasonably) in
         compliance with the laws of Finland.

         "EURO" means the single currency of the Participating Member States.

         "EURO EQUIVALENT" means, in relation to an amount in an Alternative
         Currency on the day on which the calculation falls to be made, the
         amount of Euro which could be purchased with that amount of the
         Alternative Currency using the Facility Agent's spot rate of exchange
         for the purchase in the London foreign exchange market of Euro with the
         Alternative Currency at or about 11.00 a.m. on the second Business Day
         before that date.

         "EXISTING DYNO BONDS" means Dyno's NOK300,000,000 5.65%
         obligassjonsslan 1997/2002 and Dyno's NOK300,000,000 7%
         obligassjonsslan 1993/2000.

         "EXPLOSIVES SUBSIDIARIES" means the subsidiaries and associated
         companies of Dyno and Dyno Industries USA Inc. in the explosives
         industry sold or to be sold pursuant to the Dyno Explosives Sale
         Agreement to the purchasers referred to therein.

         "FACILITIES" means the Term A Loan Facility, the Term B Loan Facility,
         the Term C Loan Facility, the Term D Loan Facility and the Revolving
         Credit Facility; and "FACILITY" shall be construed accordingly.

         "FACILITY AGENT" means Citibank International plc in its capacity as
         facility agent and each successor Facility Agent appointed under Clause
         16.3 (Default).

         "FEES LETTER" means the letter dated the same date as this Agreement
         from the Facility Agent to Dynea relating to certain fees payable to
         the Lead Arranger, the Agents and the Issuing Bank by Dynea in relation
         to this Agreement, being described on its face as the "Fees Letter".

                                      -11-

<PAGE>

         "FINAL REPAYMENT DATE" means:

         (a)      in relation to the Term A Loan Facility and the Revolving
                  Credit Facility, 30 June 2007;

         (b)      in relation to the Term B Loan Facility, 30 June 2008;

         (c)      in relation to the Term C Loan Facility, 30 June 2009; and

         (d)      in relation to the Term D Loan Facility, 31 December 2009.

         "FINANCE LEASE" means any lease, hire agreement, credit sale agreement,
         hire purchase agreement, conditional sale agreement or instalment sale
         and purchase agreement which should be treated in accordance with IAS
         as a finance lease or in the same way as a finance lease.

         "FINANCE LEASE EXPENDITURE" means the capital value of any asset the
         subject of a Finance Lease to which a Group Company is a party.

         "FINANCE PARTIES" means the Banks, the Agents, the Issuing Bank and the
         Lead Arranger.

         "FINANCIAL PLAN" means the projected financial statements for the Group
         dated July 2000 and prepared by the Management.

         "FINANCIAL YEAR" means in relation to a company, the tax and accounting
         year of such company.

         "FINANCING DOCUMENTS" means this Agreement, the Fees Letter, the
         Interest Rate Protection Agreements and the Security Documents.

         "FRENCH HOLDCO" means Marmorandum Holding S.A., a company incorporated
         in France with registered number 1999B02984.

         "FRENCH NESTE" means Neste Chimie France S.A., a company incorporated
         in France with registered number 353 078 868.

         "FURTHER EQUITY INJECTION" means one or more Equity Injections made
         after the Effective Date.

         "GERMAN INVESTCO" means Neste Chemicals GmbH.

         "GERMAN NESTE" means Neste Chemicals Service GmbH, a company
         incorporated in Germany.

         "GLOBAL TRANSFER AGREEMENT" means a global transfer agreement in the
         agreed form.

         "GROUP" means Dynea, Nordkem, Dyno and each of their respective
         Subsidiaries (but excluding the Explosives Subsidiaries and the
         Investcos); and "GROUP COMPANY" means any one of them.

         "GUARANTEE" means a guarantee in the agreed form executed or to be
         executed in favour of the Security Trustee.

                                      -12-

<PAGE>

         "GUARANTEE AND DEBENTURE" means a guarantee and debenture in the agreed
         form executed or to be executed in favour of the Security Trustee.

         "GUARANTOR" means each Group Company that has executed a Guarantee.

         "GUARANTEED AMOUNT" means, in relation to a Bank Guarantee, the maximum
         aggregate amount of the actual and contingent liabilities of the
         Issuing Bank under that Bank Guarantee.

         "HOLDCOS" means the Austrian Holdco, the Canadian Holdco, the French
         Holdco, the Dutch Holdco and the US Holdco.

         "IAS" means the international accounting principles formulated by the
         International Accounting Standards Committee.

         "INDEBTEDNESS" means, in relation to a person, its obligation (whether
         present or future, actual or contingent, as principal or surety) for
         the payment or repayment of money (whether in respect of interest,
         principal or otherwise) incurred in respect of:

         (a)      moneys borrowed or raised;

         (b)      any bond, note, loan stock, debenture or similar instrument;

         (c)      any acceptance credit, bill discounting, note purchase,
                  factoring (to the extent that there is recourse to such
                  person) or documentary credit facility;

         (d)      the supply of any goods or services which is more than 90 days
                  past the expiry of the period customarily allowed by the
                  relative supplier after the due date;

         (e)      any Finance Lease;

         (f)      any guarantee, bond, stand by letter of credit or other
                  similar instrument issued by a financial institution, state or
                  agency of a state in connection with the performance of
                  payment obligations;

         (g)      any interest rate or currency swap agreement or any other
                  hedging or derivatives instrument or agreement;

         (h)      any arrangement entered into primarily as a method of raising
                  finance pursuant to which any asset sold or otherwise disposed
                  of by that person is or may be leased to or re acquired by a
                  Group Company (whether following the exercise of an option or
                  otherwise); or

         (i)      any guarantee, indemnity or similar insurance against
                  financial loss given in respect of the obligation of any
                  person which would fall within (a) to (h),

         PROVIDED THAT there shall be no double counting.

         "INDUSTRI KAPITAL" means both of Industri Kapital 1997 Limited and
         Industri Kapital 2000 Limited, each incorporated under the laws of
         Jersey whose registered office is at 26 New Street, St Helier, Jersey
         JE2 3RA, Channel Islands.

                                      -13-

<PAGE>

         "INFORMATION PACKAGE" means:

         (a)      the Accountants' Reports;

         (b)      the Financial Plan;

         (c)      the Legal Due Diligence Reports;

         (d)      the Environmental Reports;

         (e)      the Kline Europe Consultants Reports;

         (f)      the Booz Allen Hamilton Reports; and

         (g)      the PWC Tax Review Report.

         "INITIAL EQUITY INJECTION" means an Equity Injection of Euro 30,000,000
         made after the date the first Advance was made but on or before the
         Effective Date.

         "INSURANCE PROCEEDS" means all proceeds of insurance (net of Taxes and
         costs and expenses associated with the making of the relevant claims
         under the relevant policies) payable to (or to the order of) or
         received by a Group Company in respect of loss or destruction of, or
         damage to, an asset.

         "INTELLECTUAL PROPERTY RIGHTS" means all patents, trade marks, service
         marks, trade names, design rights, copyright (including rights in
         computer software and moral rights and in published and unpublished
         work), titles, rights to know-how and other intellectual property
         rights, in each case whether registered or unregistered and including
         applications for the grant of any of the foregoing and all rights or
         forms of protection having equivalent or similar effect to any of the
         foregoing which may subsist anywhere in the world.

         "INTERCREDITOR AGREEMENT" means the intercreditor agreement dated the
         same date as this Agreement made between Issueco, Dynea, the Banks
         (other than the Term D Lender), the Facility Agent, the Security
         Trustee, the Issuing Bank and the Noteholder Trustee.

         "INTEREST DATE" means the last day of an Interest Period.

         "INTEREST RATE PROTECTION AGREEMENTS" means each agreement entered into
         or to be entered into between a Group Company and a Bank (other than
         the Term D Lender) for the purpose of hedging the Group's interest rate
         liabilities in relation to all or any part of the Term Loans.

         "INTEREST PERIOD" means each period determined in accordance with
         Clause 6 (Interest) for the purpose of calculating interest on Advances
         or overdue amounts.

         "INTRA-GROUP LOAN AGREEMENT" means each loan agreement, in the agreed
         form, made or to be made between Issueco and Dynea.

         "INVESTCOS" means the Dynea Investcos and the Dyno Investcos.

                                      -14-

<PAGE>

         "INVESTMENT AGREEMENT" means the subscription and shareholders'
         agreement dated 8 October 1999 as amended on as about the date of this
         Agreement made between, among others, (a) Parentco, (b) the Investors,
         (c) Orkla ASA, Swiss Branch, (d) Stichting Pensioenfonds PGGM, (e)
         Lansforsakringar Wasa Liv Forsakrings AB and (f) Weyerhaeuser Company
         Master Retirement Trust, together with the management shareholders'
         agreement dated on or about the date of this Agreement made between (a)
         Parentco, (b) the Management and (c) the Investors.

         "INVESTORS" means each of the entities specified in Schedule 1 of the
         Investment Agreement.

         "ISSUECO" means Dynea International Oy, a company incorporated in
         Finland with registered number 789.544 or any company that is
         substituted as the principal obligor in respect of the Senior
         Subordinated Notes pursuant to article 13 of the Senior Subordinated
         Notes Instrument and which has agreed to be bound by the terms of the
         Intercreditor Agreement pursuant to clause 16.2 of the Intercreditor
         Agreement.

         "ISSUECO BRIDGING LOAN" means the loan made pursuant to the Issueco
         Bridging Loan Agreement.

         "ISSUECO BRIDGING LOAN AMOUNT" means the principal amount of the
         Issueco Bridging Loan, as increased from time to time by the
         capitalisation of accrued interest.

         "ISSUECO BRIDGING LOAN AGREEMENT" means the credit agreement made or to
         be made between Issueco, Dynea, certain banks, Citibank International
         plc as facility agent and Salomon Brothers International Limited as
         lead arranger.

         "ISSUECO LOAN" means each loan made by Issueco to Dynea pursuant to an
         Intra-Group Loan Agreement or any other loan made by Issueco to a Group
         Company which is subject to the terms of the Intercreditor Agreement.

         "ISSUE DATE" means the date on which a Bank Guarantee is issued or is
         proposed to be issued by the Issuing Bank.

         "ISSUING BANK" means Citibank, N.A. or any other Bank (other than the
         Term D Lender) which is appointed as a successor Issuing Bank under
         Clause 16.15 (Distribution of Proceeds of Enforcement) as issuer of
         Bank Guarantees under the Revolving Credit Facility pursuant to Clause
         4 (Utilisation of the Facilities).

         "KLINE EUROPE CONSULTANTS REPORTS" means the reports prepared by Kline
         Europe Consultants dated 27 October 1999 and 27 April 2000
         respectively, each addressed, among others, to the Finance Parties or
         subject to a reliance letter in favour of the Finance Parties.

         "LEGAL DUE DILIGENCE REPORTS" means (a) the report entitled "Project
         Nova/Figaro Due Diligence Report Legal" dated September 1999 prepared
         by Messrs. Advokatfirman Vinge and (b) the report dated 25 November
         1999 prepared by Messrs. Bugge, Arentz-Hansen & Rasmussen, in each case
         addressed, among others, to the Finance Parties or, as the case may be,
         subject to a reliance letter in favour of the Finance Parties.

                                      -15-

<PAGE>

         "LENDING OFFICE" means, in relation to a Bank, the office set out under
         its name in Schedule 1 (The Banks) or in the Schedule to its relevant
         Transfer Certificate, or such other office through which that Bank's
         Commitment is maintained and through which its Participation in the
         Facilities is made and maintained under this Agreement.

         "LIBOR" means, in relation to an Advance or overdue amount in a
         particular currency and in relation to a particular Interest Period:

         (a)      the interest rate for deposits in that currency for a period
                  equal to that Interest Period which appears on the screen
                  display designated as "Page 248", "Page 3750", "Page 3740" or
                  "Page 3770", as appropriate, on the Telerate Service (or such
                  other screen display or service as may replace it for the
                  purpose of displaying British Bankers' Association LIBOR Rates
                  for deposits in that currency in the London interbank market)
                  at or about 11.00 a.m. on the applicable Rate Fixing Day for
                  that currency; and

         (b)      if no such interest rate appears on the Telerate Service (or
                  such replacement), the arithmetic mean (rounded upwards to the
                  nearest whole multiple of 1/16%) of the rates per annum (as
                  quoted to the Facility Agent at its request) at which each
                  Reference Bank was offering deposits in that currency in an
                  amount comparable with that Advance or overdue amount, as the
                  case may be, to leading banks in the London interbank market
                  for a period equal to that Interest Period at or about 11.00
                  a.m. on the applicable Rate Fixing Day for that currency.

         "LISTING" means the admission of any part of the share capital of
         Parentco or any Group Company to any recognised securities exchange.

         "LOANS" means the Term A Loan, the Term B Loan, the Term C Loan, the
         Term D Loan and the Revolving Loan; and "LOAN" shall be construed
         accordingly.

         "MAJORITY BANKS" means a group of Banks whose Commitments comprise at
         least 66-2/3 per cent. of the Total Commitments (taking no account, for
         the purpose of this definition, of the last sentence of sub-clause
         13.2.1 of Clause 13.2 (Acceleration, etc).

         "MANAGEMENT" means Oeivind Isaksen, Per Haga, Filip Frankenhauser,
         Pertti Silantera and Arve Sem-Henriksen.

         "MANAGEMENT ACCOUNTS" has the meaning given to that term in sub-clause
         12.2.2 of Clause 12.2 (Information Undertakings).

         "MANDATORY COST RATE" means the rate determined in accordance with
         Schedule 5 (Mandatory Cost Rate).

         "MARGIN" means the Cash Margin and, in respect of the Term D Loan
         Facility, the PIK Margin.

         "MATERIAL ADVERSE EFFECT" means a material adverse effect on the
         ability of (a) any Group Company to comply with its payment obligations
         under any Financing Document or (b) Dynea to comply with its
         obligations under Clause 12.4 (Negative Undertakings).

                                      -16-

<PAGE>

         "MATERIAL COMPANY" means each Borrower, each Guarantor, Dynea Fort
         Smith Inc., Dyno Chemicals Ireland Ltd. and Dyno Overlays Inc. and each
         other Subsidiary of Dynea:

         (a)      whose earnings before interest, Tax, depreciation and
                  amortisation (computed, mutatis mutandis, on the same basis as
                  EBITDA) are equal to or greater than 5 per cent. of EBITDA; or

         (b)      whose net sales are equal to or greater than 5 per cent. of
                  the aggregate net sales of the Group; or

         (c)      whose assets have a value equal to or greater than 5 per cent.
                  of the aggregate value of all assets owned by the Group.

         For the purpose of paragraphs (a) and (b), earnings before interest,
         Tax, depreciation, EBITDA and amortisation and net sales shall be
         measured over a period of at least 12 months duration ending on a
         Quarter Date.

         "NCO TARGET COMPANIES" means the NCO Group as such term is defined in
         the Dynea Acquisition Agreement.

         "NESTE AUSTRIAN SHARES" means all of the issued share capital of the
         Austrian Neste.

         "NESTE CANADIAN SHARES" means all of the issued share capital of the
         Canadian Neste.

         "NESTE FRENCH SHARES" means all of the issued share capital of the
         French Neste.

         "NESTE GROUP FACILITIES" means the senior term loan and revolving
         credit facilities in a maximum principal amount of Euro 288,300,000
         made available, inter alia, by the Banks (other than the Term D Lender)
         to Dynea pursuant to a credit agreement dated 30th November 1999 and
         the mezzanine loan facility in a maximum principal amount of Euro
         67,275,000 made available by certain lenders to Dynea pursuant to a
         mezzanine loan agreement dated 30 November 1999.

         "NESTE SWEDISH SHARES" means all of the issued share capital of the
         Swedish Neste.

         "NESTE US SHARES" means all of the issued share capital of the US
         Neste.

         "NET AVAILABLE PROCEEDS" means in relation to any Disposal by Dynea,
         the Net Cash Proceeds relating to such Disposal and in the case of any
         Disposal by any other Group Company such part of the Net Cash Proceeds
         thereof as:

         (a)      such Group Company would be able lawfully to make available,
                  directly or indirectly, to Dynea to enable Dynea to apply the
                  same in prepayment of the Term Advances; and

         (b)      in the case of a Disposal by a Group Company outside the
                  United Kingdom, can be repatriated to Dynea without breaching
                  any relevant exchange control or similar restrictions in the
                  country where the Net Cash Proceeds are received by such Group
                  Company.

                                      -17-

<PAGE>

         "NET CASH PROCEEDS" means in relation to a Disposal, the cash proceeds
         of such Disposal actually received by the Group Company concerned
         including, as at the date of actual receipt thereof any deferred
         consideration or consideration which is received, for whatever reason,
         otherwise than at the time of such Disposal, less:

         (a)      all legal, title, registration and recording taxes and
                  expenses, commissions, costs, fees and expenses incidental to,
                  incurred on and fairly attributable to that Disposal;

         (b)      such amount as the Auditors shall consider reasonable as
                  provision against any Tax liability of any Group Company
                  arising as a result of that Disposal as certified to the
                  Facility Agent by such Auditors;

         (c)      in the case of a Disposal by a Subsidiary of Dynea such
                  provision as Dynea shall consider reasonable for all costs and
                  Taxes incurred by the Group and fairly attributable to
                  up-streaming the cash proceeds or making any distribution in
                  connection therewith to enable them to reach Dynea;

         (d)      any amount paid by the Group to top up an underfunded pension
                  scheme in a Subsidiary or business disposed of to the extent
                  necessary to facilitate the Disposal; and

         (e)      any amount required to be paid by the Group to the proprietor
                  of any Intellectual Property Rights related to the assets
                  disposed of where such payment is required to enable such
                  Intellectual Property Rights to be transferred with such
                  assets to the extent necessary to facilitate the Disposal.

         "NEW BUSINESS PLAN" means the financial model including profit and
         loss, balance sheet and cash flow projections relating to the Group for
         the years 2005 to 2007 inclusive together with the written business
         plan each prepared by senior management of Dynea.

         "NORWEGIAN KRONER" and "NOK" means the lawful currency for the time
         being of Norway.

         "NOTEHOLDER TRUSTEE" means The Bank of New York as trustee for the
         holders of the Senior Subordinated Notes and any successor trustee.

         "OFFER" means the offer for the Dyno Shares to be made by Nordkem on
         the terms and conditions contained in the Offer Document.

         "OFFER DOCUMENT" means the document pursuant to which the Offer has
         been made.

         "OILFIELD CHEMICALS BUSINESS" means the business carried on by certain
         Group Companies specialising in the production of the speciality
         oilfield chemicals used predominantly to facilitate oil production and
         transportation.

         "ON-LENDING AGREEMENT" means the loan agreement dated 13 February 2004
         between Dynco and Dynea pursuant to which Dynco agrees to lend the
         proceeds of the Term D Advances to Dynea.

                                      -18-

<PAGE>

         "OPERATING BUDGET" means, in relation to the Group and the period
         starting not later than the date of this Agreement and ending on 31
         December 2000, the Financial Plan, and in relation to each successive
         12 month period thereafter during the Security Period:

         (a)      a projected balance sheet;

         (b)      a projected profit and loss account;

         (c)      a projected cash flow statement; and

         (d)      projected covenant calculations relating to each financial
                  undertaking contained in Clause 12.4 (Negative Undertakings),

         relative to each such period and on a month by month basis and in
         relation to (b) and (c), on both consolidated and a segment business
         unit by segment business unit basis together with the Management's
         commentary drawing on the previous period's performance and forecast
         market conditions.

         "ORIGINAL EURO AMOUNT" means:

         (a)      in relation to an Advance, or a Participation in an Advance,
                  denominated in Euro, the amount of that Advance or that
                  Participation, as the case may be;

         (b)      subject to paragraph (e) below, in relation to an Advance, or
                  a Participation in an Advance, denominated in an Alternative
                  Currency, the Euro Equivalent of the amount of that Advance or
                  that Participation, as the case may be, calculated as at the
                  Drawdown Date of that Advance;

         (c)      in relation to a Bank Guarantee, or that part of a Bank
                  Indemnity relating to a particular Bank Guarantee, denominated
                  in Euro, the Guaranteed Amount of that Bank Guarantee or the
                  corresponding amount of the actual and contingent liability
                  under that Bank Indemnity, as the case may be;

         (d)      in relation to a Bank Guarantee, or that part of a Bank
                  Indemnity relating to a particular Bank Guarantee, denominated
                  in an Alternative Currency, the Euro Equivalent of the
                  Guaranteed Amount of that Bank Guarantee or the Euro
                  Equivalent of the corresponding amount of the actual and
                  contingent liability under that Bank Indemnity, as the case
                  may be, calculated as at the Issue Date of that Bank
                  Guarantee;

         (e)      in relation to a Term Advance denominated in an Alternative
                  Currency under any Tranche or Facility listed in Column 1 of
                  Schedule 8 (Original Euro Amount), or a Participation in any
                  such Advance the amount in Euros set out in Column 2 of
                  Schedule 8 (Original Euro Amount) opposite that Tranche or
                  Facility or, as the case may be, the relevant portion of such
                  amount; and

         (f)      in relation to a Term Advance to be made under Tranche A1 or
                  Tranche B1 or a Participation in any such Term Advance, the
                  equivalent in euros calculated on the basis of an exchange
                  rate of euro 1:NOK 8.0869,

                                      -19-

<PAGE>

         PROVIDED THAT if all or part of a Revolving Advance is not made or is
         repaid or prepaid or the liability of the issuer of a Bank Guarantee
         under that Bank Guarantee is permanently reduced, the "Original Euro
         Amount" of that Revolving Advance and of the Participations of the
         Banks in that Revolving Advance or, as the case may be, that Bank
         Guarantee and any related Bank Indemnities, shall be correspondingly
         reduced.

         "OXO SALE AGREEMENT" means the agreement dated on or about the date of
         this Agreement made between Nordkem B.V. and Lagrummet December nr 638
         AB (to be renamed Oxo Holding AB) relating to the sale of the entire
         issued share capital of Marmorandum Holding AB.

         "PAPER CHEMICALS BUSINESS" means the paper chemicals business of
         Austrian Neste and its Subsidiaries and associated companies.

         "PAPER CHEMICALS BUSINESS SALE AGREEMENT" means the sale and purchase
         agreement relating to the Paper Chemicals Business made or to be made
         between Dynea and Austrian Neste as sellers and Kemira Chemicals Oy and
         Kemira Chemie GesmbH as buyers.

         "PARENTCO" means Nordkemi Oy Ab, a company incorporated in Finland with
         registered number 770.353.

         "PARTICIPATING MEMBER STATE" means a member state of the European Union
         which has adopted or adopts the single currency in accordance with the
         Treaty establishing the European Community (as that Treaty is amended
         from time to time).

         "PARTICIPATION" means, in relation to a Bank:

         (a)      and an Advance or a Loan, the part of that Advance or that
                  Loan, as the case may be, made available or to be made
                  available by that Bank and thereafter the part of that Advance
                  or that Loan, as the case may be, owing to that Bank from time
                  to time;

         (b)      and the Facilities, the aggregate of its Participations in
                  each Loan and its liabilities under its Bank Indemnity.

         "PARTY" means a party to this Agreement.

         "PERFORMANCE GUARANTEES" means:

         (a)      the performance guarantees entered into on or about 13
                  February 2004 by IK 1997 Limited and IK 2000 Limited in favour
                  of Dynea guaranteeing the availability of Euro 9,700,000 of
                  Tranche D2 of the Term D Loan Facility; and

         (b)      the performance guarantee entered into on or about 13 February
                  2004 by Dynea Oy in favour of Dynea guaranteeing the
                  availability of Euro 300,000 of Tranche D2 and all of Tranche
                  D3 of the Term D Loan Facility.

         "PERMITTED ENCUMBRANCE" means:

         (a)      any Encumbrance created under the Financing Documents;

                                      -20-

<PAGE>

         (b)      any right of set off or lien, in each case arising by
                  operation of law or in the ordinary course of its day to day
                  business;

         (c)      any retention of title to goods supplied to a Group Company in
                  the ordinary course of its trading activities;

         (d)      any right of netting or set off over credit balances on bank
                  accounts of Group Companies arising in the ordinary course of
                  the banking arrangements of the Group including, for the
                  avoidance of doubt, as part of a cash pooling arrangement;

         (e)      any agreement entered into by a Group Company in the ordinary
                  course of its trading activities to sell or otherwise dispose
                  of any asset on terms whereby that asset is or may be leased
                  to or re-acquired or acquired by a Group Company;

         (f)      any lien in favour of a bank over goods and documents of title
                  to goods arising in the ordinary course of documentary credit
                  transactions entered into in the ordinary course of its
                  trading activities;

         (g)      any Encumbrance over an asset of a company which becomes a
                  Subsidiary of Dynea (other than by reason of its
                  incorporation) after the date of this Agreement, being an
                  Encumbrance which is in existence at the time at which that
                  company becomes such a Subsidiary but only if (i) that
                  Encumbrance was not created in contemplation of such company
                  becoming a Subsidiary of Dynea, (ii) the principal amount
                  secured by that Encumbrance has not been and shall not be
                  increased and (iii) that Encumbrance is discharged within 6
                  months of the date on which that company became a Subsidiary
                  of Dynea;

         (h)      any Encumbrance over an asset acquired by a Group Company
                  after the date of this Agreement and subject to which that
                  asset is acquired but only if (i) that Encumbrance was not
                  created in contemplation of its acquisition by that company,
                  (ii) the amount secured by that Encumbrance has not been
                  increased in contemplation of, or since the date of, its
                  acquisition by that company and (iii) that Encumbrance is
                  discharged within 6 months of the date of its acquisition by
                  that company;

         (i)      for the period from the Unconditional Date to and including
                  the date falling 30 days thereafter, any Encumbrance over the
                  assets of Dyno and its Subsidiaries existing as at the date of
                  this Agreement;

         (j)      until the first Drawdown Date, Encumbrances securing the Neste
                  Group Facilities;

         (k)      any other Encumbrance created with the consent of the Majority
                  Banks;

         (l)      any Encumbrance over Dyno's future claims against the Captive
                  Insurance Company securing Indebtedness under the Captive
                  Bridging Loan Agreement;

         (m)      any Encumbrance in respect of cash collateral provided in
                  respect of Indebtedness under the Existing Dyno Bonds; and

                                      -21-

<PAGE>

         (n)      any Encumbrance not otherwise permitted pursuant to paragraphs
                  (a) to (l) (inclusive) in respect of any assets not exceeding,
                  in aggregate, Euro 4,500,000 in value (but where the value of
                  such assets which are beneficially owned by the Charging Group
                  Companies does not exceed, in aggregate Euro 2,000,000).

         "PERMITTED INDEBTEDNESS" means:

         (a)      Indebtedness under any Financing Document;

         (b)      Indebtedness under the Intra-Group Loan Agreements;

         (c)      Indebtedness existing at the date of this Agreement between
                  Group Companies;

         (d)      Indebtedness under any Finance Lease permitted under
                  sub-clause 12.6.1(e) of Clause 12.6 (Financial Undertakings);

         (e)      Indebtedness of any Charging Group Company to another Charging
                  Group Company;

         (f)      Indebtedness of any Group Company which is not a Charging
                  Group Company to another such Group Company;

         (g)      any Indebtedness that is subordinated to the Facilities on
                  terms satisfactory to the Majority Banks;

         (h)      Indebtedness of any Group Company to a Charging Group Company;

         (i)      Indebtedness of any Group Company under any forward or spot
                  foreign exchange contract or any interest rate or currency
                  swap agreement or any other hedging or derivatives instrument
                  or agreement PROVIDED THAT such contract, agreement or
                  instrument is entered into by such Group Company in the
                  ordinary course of its day-to-day business for non-speculative
                  purposes;

         (j)      Indebtedness of Dynochem Vietnam in respect of a subsidised
                  NORAD loan up to the maximum aggregate amount of
                  NOK13,600,000;

         (k)      Indebtedness of Krems Chemie AG up to the maximum aggregate
                  amount of ATS 36,500,000 in respect of three loans made by
                  CA-BV and Osterreichische Investkredit;

         (l)      Indebtedness under the indemnity given in clause 10.5 of the
                  Dynea Acquisition Agreement;

         (m)      Indebtedness under any cash management facility entered into
                  by one or more Group Companies;

         (n)      Indebtedness under any documentary credit facility which is
                  discharged within 120 days of the date such credit is issued;

         (o)      until the first Drawdown Date, Indebtedness arising under the
                  Neste Group Facilities;

                                      -22-

<PAGE>

         (p)      Indebtedness of Dyno under the Captive Bridging Loan
                  Agreement;

         (q)      Indebtedness of Dynea under its guarantee of the Issueco
                  Bridging Loan contained in the Issueco Bridging Loan
                  Agreement;

         (r)      Indebtedness of Dynea under its guarantee of the Senior
                  Subordinated Notes contained in the Senior Subordinated Notes
                  Instrument and under any indemnity given under the purchase
                  agreement or the registration rights agreement or the Senior
                  Subordinated Notes Instrument relating to the Senior
                  Subordinated Notes;

         (s)      until the date falling 30 days after the Unconditional Date,
                  Indebtedness of Dyno and its Subsidiaries which existed at the
                  date of this Agreement;

         (t)      guarantees in respect of employees' Indebtedness to the extent
                  that such guarantees when aggregated with loans under
                  sub-clause 12.4.6(f) of Clause 12.4 (Negative Undertakings) do
                  not exceed Euro 1,000,000;

         (u)      until the date falling 60 days after the Unconditional Date,
                  Indebtedness of Dyno under the Existing Dyno Bonds;

         (v)      Defeased Dyno Bonds Indebtedness;

         (w)      Indebtedness of Dynea under the On-Lending Agreement; and

         (x)      Indebtedness not otherwise referred to in paragraphs (a) to
                  (w) (inclusive) in an aggregate principal amount not exceeding
                  Euro 9,500,000 for the Group taken as a whole.

         "PERMITTED SENIOR SUBORDINATED NOTES PAYMENT" means:

         (a)      a payment of interest on the Senior Subordinated Notes at a
                  rate of 12.25 per cent. per annum pursuant to section 4.01 of
                  the Senior Subordinated Notes Indenture;

         (b)      a payment of fees, costs, indemnities, taxes and/or expenses
                  pursuant to article 7 of the Senior Subordinated Notes
                  Instrument;

         (c)      a payment of an Additional Amount (as defined in the Senior
                  Subordinated Notes Instrument) pursuant to section 4.15 of the
                  Senior Subordinated Notes Instrument;

         (d)      a payment of Special Interest (as defined in the Senior
                  Subordinated Notes); or

         (e)      the repayment of the Senior Subordinated Notes on the Stated
                  Maturity (as defined in the Senior Subordinated Notes
                  Instrument of the Senior Subordinated Notes.

         "PIK MARGIN" means, in respect of the Term D Loan Facility, 1.00 per
         cent. per annum.

         "POLYESTER BUSINESS" means the business carried on by certain Group
         Companies specialising in the production of unsaturated polyesters and
         polyester gel coats.

                                      -23-

<PAGE>

         "POTENTIAL DEFAULT" means an event or omission which, with the giving
         of any notice or the lapse of time, in each case, under Clause 13.1
         (Default), would be a Default.

         "PROPERTY CHARGE" means a mortgage or charge over real property in the
         agreed form.

         "PUT AND CALL AGREEMENT" means the put and call agreement entered into
         on or about 13 February 2004 between the Security Trustee, Dynea and
         Dynea Oy.

         "PWC DYNO STRUCTURING MEMORANDUM" means the memorandum prepared by
         PricewaterhouseCoopers in relation to, inter alia, the acquisition of
         the Dyno Shares.

         "PWC TAX REVIEW REPORT" means the tax review report prepared by
         PricewaterhouseCoopers entitled "PWC Project Fire - Limited Tax Review
         Report" dated 24 November 1999 addressed, among others, to the Finance
         Parties or subject to a reliance letter in favour of the Finance
         Parties.

         "QUARTER DATE" means each 31 March, 30 June, 30 September and 31
         December.

         "RATE FIXING DAY" means, in relation to any currency and any Interest
         Period, the day on which quotes are customarily given in the London
         interbank market for deposits in that currency for delivery on the
         first day of that Interest Period, PROVIDED THAT if, for any such
         period, quotations would ordinarily be given on more than one date, the
         Rate Fixing Day for that period shall be the last of those dates.

         "RECEIVING AGENT" means Orkla Enskilda Securities ASA, P O Box 1724,
         Vika, 0121 Oslo, Norway in its capacity as receiving agent for
         acceptances under the terms of the Offer.

         "REFERENCE BANKS" means the principal London offices of Citibank N.A.
         or such other bank or banks as may be agreed between the Facility Agent
         (acting on the instructions of the Majority Banks) and Dynea.

         "REMAINING DYNEA SHARES" means that part of the issued share capital of
         each of the NCO Target Companies acquired pursuant to the Dynea
         Acquisition Agreement, other than the Neste Austrian Shares, the Neste
         Canadian Shares, the Neste French Shares, the Neste Swedish Shares and
         the Neste US Shares.

         "RESERVATIONS" means the principle that equitable remedies are remedies
         which may be granted or refused at the discretion of the court, the
         limitation of enforcement by laws relating to bankruptcy, insolvency,
         liquidation, reorganisation, court schemes, moratoria, administration
         and other laws generally affecting the rights of creditors, the time
         barring of claims, the possibility that an undertaking to assume
         liability for or to indemnify against non payment of stamp duty may be
         void, defences of set off or counterclaim and similar principles.

         "RESTRUCTURING COSTS" means any of the restructuring costs set out in
         the cashflow statement for the year 2000 contained in the Financial
         Plan which are paid by 31 December 2001 (up to an aggregate maximum
         amount of Euro 20,000,000).

                                      -24-

<PAGE>

         "REVOLVING ADVANCE" means an advance made or to be made to a Borrower
         under the Revolving Credit Facility or, as the case may be, the
         outstanding principal amount of any such advance.

         "REVOLVING CREDIT COMMITMENT" means, in relation to a Bank, the
         principal amount described as such set opposite its name in Schedule 1
         (The Banks) or set out under the heading "Amount of Commitment
         Transferred" in the Schedule to any relevant Transfer Certificate, in
         each case as reduced or cancelled in accordance with this Agreement.

         "REVOLVING CREDIT COMMITMENT PERIOD" means the period from and
         including the date of this Agreement to but excluding the date falling
         1 month before the Final Repayment Date in relation to the Revolving
         Credit Facility.

         "REVOLVING CREDIT FACILITY" means the multicurrency revolving loan and
         guarantee facility referred to in sub-clause 2.1.1(e) of Clause 2.1
         (Facilities).

         "REVOLVING CREDIT FACILITY LIMIT" means, subject to Clause 7.15
         (Cancellation of Facilities), Euro 100,000,000.

         "REVOLVING LOAN" means, at any time, all Revolving Advances at that
         time.

         "SALE" means a disposal of all or substantially all of the business and
         assets of the Group.

         "SECURITY DOCUMENTS" means:

         (a)      any Guarantee executed by a Group Company;

         (b)      any Share Charge executed by Issueco or a Group Company;

         (c)      any Guarantee and Debenture executed by a Group Company;

         (d)      any Asset Security Document executed by a Group Company;

         (e)      any Property Charge executed by a Group Company;

         (f)      the Dynea Security Assignment;

         (g)      the Put and Call Agreement;

         (h)      each Confirmation Document;

         (i)      the Intercreditor Agreement; and

         (j)      any guarantee and any document creating security executed and
                  delivered after the date of this Agreement as security for any
                  of the obligations and liabilities of any Borrower and the
                  other Group Companies under any Financing Document.

         "SECURITY PERIOD" means the period starting on the date of this
         Agreement and ending on the date on which all of the obligations and
         liabilities of the Group Companies under each Financing Document are
         discharged in full and none of the Finance Parties has any continuing
         obligation in relation to the Facilities.

                                      -25-

<PAGE>

         "SECURITY TRUSTEE" means Citibank International plc in its capacity as
         security trustee and agent and each successor Security Trustee
         appointed under Clause 16.2 (Payments).

         "SENIOR DISCHARGE DATE" means the date on which all of the obligations
         and liabilities of the Group Companies in respect of the Term A Loan
         Facility, the Term B Loan Facility, the Term C Loan Facility and the
         Revolving Credit Facility are discharged in full and none of the
         Finance Parties has any continuing obligation in relation to such
         Facilities.

         "SENIOR SUBORDINATED NOTES" means up to Euro 250,000,000 fixed interest
         senior subordinated notes due 2010 to be issued by Issueco and shall
         include any Exchange Notes (as defined in the Senior Subordinated Notes
         Instrument).

         "SENIOR SUBORDINATED NOTES DOCUMENTS" means the Senior Subordinated
         Notes Instrument and the Senior Subordinated Notes.

         "SENIOR SUBORDINATED NOTES INSTRUMENT" means the indenture executed or
         to be executed by Issueco, Dynea and the Noteholder Trustee pursuant to
         which the Senior Subordinated Notes are or will be constituted.

         "SHARE CHARGE" means any share charge or share pledge, in each case in
         the agreed form, executed or to be executed in favour of the Finance
         Parties represented by the Security Trustee over all or substantially
         all of the issued share capital of any Group Company.

         "SHARED SECURITY DOCUMENTS" has the meaning given to that term in
         sub-clause 16.15.1 of Clause 16.15 (Distribution of Proceeds of
         Enforcement).

         "SUBSCRIPTION PROCEEDS" means the proceeds of a subscription for new
         shares in Dynea by Issueco where such shares are subject to a Share
         Charge executed by Issueco.

         "SUBSIDIARY" means a company, partnership or stock corporation:

         (a)      in respect of which another company, partnership or stock
                  corporation holds (whether directly or indirectly) more than
                  50 per cent. of the voting rights in it; or

         (b)      in respect of which another company, partnership or stock
                  corporation is a member of it and either (i) has the right to
                  appoint or remove a majority of its board of directors or (ii)
                  controls alone, pursuant to an agreement with other
                  shareholders, members, holders of partnership interests or
                  stockholders, more than 50 per cent. of the voting rights in
                  it; or

         (c)      which is a subsidiary of a company, partnership or stock
                  corporation which is itself a subsidiary of that other
                  company, partnership or stock corporation.

         "SURPLUS CASH" means, in relation to any Financial Year of Dynea, the
         amount by which Cashflow for that Financial Year exceeds the aggregate
         of (a) Total Funding Costs for that Financial Year, (b) the aggregate
         amount of prepayments of the Term Loan Facilities made in that
         Financial Year pursuant to Clauses 7.6 (Mandatory Prepayment of Net
         Available Proceeds), 7.8 (Mandatory Prepayment of Insurance Proceeds),
         7.9 (Mandatory Prepayment of Vendor Payments), 7.11 (Net Cash Proceeds
         of the Polyester

                                      -26-

<PAGE>

         Business) and 7.13 (Voluntary Prepayment of Advances) inclusive and (c)
         Euro 10,000,000 PROVIDED THAT for the purpose of this definition
         Cashflow shall be calculated excluding paragraph (n) of that definition
         and PROVIDED THAT in computing Cashflow for the above purposes, no
         account shall be taken of paragraph (l) of the definition thereof or of
         (1) in the last sentence of the definition of EBITDA.

         "SWEDISH KRONER" and "SEK" means the lawful currency for the time being
         of Sweden.

         "TARGET" means the Trans-European Real-Time Gross Settlement Express
         Transfer payment system.

         "TARGET DAY" means any date on which TARGET is open for the settlement
         of payments in Euro.

         "TAXES" includes all present and future taxes, charges, imposts,
         duties, levies, deductions, withholdings or fees of any kind
         whatsoever, or any amount payable on account of or as security for any
         of the foregoing, by whomsoever on whomsoever and wherever imposed,
         levied, collected, withheld or assessed, together with any penalties,
         additions, fines, surcharges or interest relating thereto; and "TAX"
         and "TAXATION" shall be construed accordingly.

         "TERM A ADVANCE" means each advance made or to be made to a Borrower
         under the Term A Loan Facility or, as the case may be, the outstanding
         principal amount of that advance, and each advance into which a Term A
         Advance is split pursuant to sub-clause 6.3.4 of Clause 6.3 (Interest
         Periods).

         "TERM A INSTALMENT" has the meaning given to that term in Clause 7.1
         (Repayment of Term A Loan).

         "TERM A INSTALMENT REPAYMENT DATE" has the meaning given to that term
         in Clause 7.1 (Repayment of Term A Loan).

         "TERM A LOAN" means, at any time, the aggregate of all Term A Advances
         outstanding at that time.

         "TERM A LOAN COMMITMENT" means, in relation to a Bank, the principal
         amount described as such set opposite its name in Schedule 1 (The
         Banks) or set out under the heading "Amount of Commitment Transferred"
         in the Schedule to any relevant Transfer Certificate, in each case, as
         reduced or cancelled in accordance with this Agreement.

         "TERM A LOAN FACILITY" means the term loan facility referred to in
         sub-clause 2.1.1(a) of Clause 2.1 (Facilities).

         "TERM ADVANCES" means all and each of the Term A Advances, the Term B
         Advances, the Term C Advances and the Term D Advances and "TERM
         ADVANCE" shall be construed accordingly.

         "TERM B ADVANCE" means the advance made or to be made to a Borrower
         under the Term B Loan Facility or, as the case may be, the outstanding
         principal amount of that advance and each advance into which a Term B
         Advance is split pursuant to sub-clause 6.3.4 of Clause 6.3 (Interest
         Periods).

                                      -27-
<PAGE>

         "TERM B INSTALMENT" has the meaning given to that term in Clause 7.2
         (Repayment of Term B Loan).

         "TERM B INSTALMENT REPAYMENT DATE" has the meaning given to that term
         in Clause 7.2 (Repayment of Term B Loan).

         "TERM B LOAN" means, at any time, the aggregate of all Term B Advances
         outstanding at that time.

         "TERM B LOAN COMMITMENT" means, in relation to a Bank, the principal
         amount described as such set opposite its name in Schedule 1 (The
         Banks) or set out under the heading "Amount of Commitment Transferred"
         in the Schedule to any relevant Transfer Certificate, in each case, as
         reduced or cancelled in accordance with this Agreement.

         "TERM B LOAN FACILITY" means the term loan facility referred to in
         sub-clause 2.1.1(b) of Clause 2.1 (Facilities).

         "TERM C ADVANCE" means the advance made or to be made to a Borrower
         under the Term C Loan Facility or, as the case may be, the outstanding
         principal amount of that advance and each advance into which a Term C
         Advance is split to pursuant to sub-clause 6.3.4 of Clause 6.3
         (Interest Periods).

         "TERM C LOAN" means, at any time, the aggregate of all Term C Advances
         outstanding at that time.

         "TERM C LOAN COMMITMENT" means, in relation to a Bank, the principal
         amount described as such set opposite its name in Schedule 1 (The
         Banks) or set out under the heading "Amount of Commitment Transferred"
         in the Schedule to any relevant Transfer Certificate, in each case, as
         reduced or cancelled in accordance with this Agreement.

         "TERM C LOAN FACILITY" means the term loan facility referred to in
         sub-clause 2.1.1(c) of Clause 2.1 (Facilities).

         "TERM COMMITMENT PERIOD" means the period from and including the date
         of this Agreement to and including 31 August 2000.

         "TERM D ADVANCE" means each advance made or to be made to Dynco under
         the Term D Loan Facility or, as the case may be, the outstanding
         principal amount of that advance and each advance into which a Term D
         Advance is split to pursuant to sub-clause 6.3.4 of Clause 6.3
         (Interest Periods).

         "TERM D LENDER" means (a) Dynea Oy, (b) any bank or financial
         institution to which Dynea Oy assigns any of its rights and benefits
         under the Financing Documents or transfers any of its rights and
         obligations under the Financing Documents in accordance with Clause 21
         (Assignments and Transfers) and (c) any further assignee or transferee
         of such rights, benefits and obligations.

         "TERM D LOAN" means, at any time, the aggregate of all Term D Advances
         outstanding at that time.

                                      -28-

<PAGE>

         "TERM D LOAN COMMITMENT" means, in relation to a Bank, the principal
         amount described as such set opposite its name in Schedule 1 (The
         Banks).

         "TERM D LOAN FACILITY" means the term loan facility referred to in
         sub-clause 2.1.1(d) of Clause 2.1 (Facilities).

         "TERM LOAN BORROWER" means Dynea, Nordkem or Dynco and "TERM LOAN
         BORROWERS" shall be construed accordingly.

         "TERM LOAN FACILITIES" means all and each of the Term A Loan Facility,
         the Term B Loan Facility, the Term C Loan Facility and the Term D Loan
         Facility.

         "TERM LOANS" means all and each of the Term A Loan, the Term B Loan,
         the Term C Loan and the Term D Loan; and "TERM LOAN" shall be construed
         accordingly.

         "TOTAL COMMITMENTS" means the aggregate of the Term A Loan Commitments,
         the Term B Loan Commitments, the Term C Loan Commitments and the
         Revolving Credit Commitments of the Banks.

         "TOTAL FUNDING COSTS" means, in relation to any period, the aggregate
         of:

         (a)      Total Net Interest Costs for that period;

         (b)      all scheduled repayments of the Term Loans falling due during
                  that period; and

         (c)      the capital element of all rentals or, as the case may be,
                  other payments payable in that period, in each case, under any
                  Finance Lease entered into by any Group Company.

         "TOTAL NET DEBT" means the aggregate of:

         (a)      that part of the Indebtedness of Group Companies (excluding
                  the Issueco Loans) which relates to obligations for the
                  payment or repayment of money in respect of principal incurred
                  in respect of (i) moneys borrowed or raised, (ii) any bond,
                  note, loan stock, debenture or similar instrument, or (iii)
                  any acceptance credit, bill discounting, note purchase,
                  factoring (to the extent that there is recourse to a Group
                  Company) or documentary credit facility (including, for the
                  avoidance of doubt, any indebtedness under this Agreement);

         (b)      the principal amount of the Senior Subordinated Notes; and

         (c)      the capital element of all rentals or, as the case may be,
                  other payments payable, in each case, under any Finance Lease
                  entered into by any Group Company,

         less the aggregate of:

         (i)      cash at hand and at bank of the Group;

         (ii)     Cash Equivalents owned by the Group.

         "TOTAL NET INTEREST COSTS" means, in relation to any period, the
         aggregate of (a) all interest, commissions, periodic fees and other
         financing charges payable in cash by the

                                      -29-

<PAGE>

         Group Companies (other than to another Group Company) during that
         period (including the interest element payable under any Finance Lease)
         and (b) all interest payable in cash on the Senior Subordinated Notes
         during that period less any interest receivable in respect of cash
         balances, less any sums receivable or plus any sums payable by the
         Borrowers under any interest rate protection agreement of whatever
         description during that period, and for the avoidance of doubt
         excluding (a) any fees and commission payable in relation to the Dynea
         Acquisition or the Dyno Acquisition, (b) any amounts amortised on
         finance costs and issue costs arising from the Dynea Acquisition or the
         Dyno Acquisition, (c) any interest payable on the Issueco Loans, (d)
         any interest payable on the Captive Bridging Loan and (e) any PIK
         Margin.

         "TOTAL NET SENIOR INTEREST COSTS" means, in relation to any period, the
         aggregate of Total Net Interest Costs for that period less all interest
         and fees payable in cash on the Senior Subordinated Notes and the Term
         D Loan Facility during that period.

         "TOTAL REVOLVING CREDIT AMOUNT" means the aggregate of all Revolving
         Advances denominated in Euros, the Guaranteed Amount of all Bank
         Guarantees issued by the Issuing Bank denominated in Euros, the Euro
         Equivalent at the date of computation of all Advances denominated in
         Alternative Currencies, and the Euro Equivalent at the date of
         computation of the Guaranteed Amount of all Bank Guarantees denominated
         in an Alternative Currency.

         "TOTAL REVOLVING CREDIT COMMITMENTS" means the aggregate of the Banks'
         Revolving Credit Commitments.

         "TOTAL TERM A LOAN COMMITMENTS" means the aggregate of the Banks' Term
         A Loan Commitments.

         "TOTAL TERM B LOAN COMMITMENTS" means the aggregate of the Banks' Term
         B Loan Commitments.

         "TOTAL TERM C LOAN COMMITMENTS" means the aggregate of the Banks' Term
         C Loan Commitments.

         "TOTAL TERM D LOAN COMMITMENTS" means the aggregate of the Banks' Term
         D Loan Commitments.

         "TRANCHE A1", "TRANCHE A2" and "TRANCHE A3" have the meanings given to
         them respectively in sub-clause 2.1.1(a) of Clause 2.1 (Facilities),
         "TRANCHE B1", "TRANCHE B2", "TRANCHE B3" and "TRANCHE B4" have the
         meanings given to them respectively in sub-clause 2.1.1(b) of Clause
         2.1 (Facilities), and "TRANCHES" means any one of them.

         "TRANSACTION DOCUMENTS" means, in relation to a Group Company, each of
         the following documents to which it is a party: the Financing
         Documents, the Dynea Acquisition Agreement and the Investment
         Agreement.

         "TRANSFER CERTIFICATE" means a document substantially in the form set
         out in Schedule 6 (Form of Transfer Certificate).

         "UNCONDITIONAL DATE" means the date the Offer becomes unconditional in
         all respects.

                                      -30-

<PAGE>

         "US DOLLARS" and "US $" means the lawful currency for the time being of
         the United States of America.

         "US HOLDCO" means Marmorandum Holding Company Inc., a company
         incorporated in the United States of America whose registered office is
         at 4400 Post Oak Parkway, Suite 1230, Houston, TX 77027.

         "US NESTE" means Dynea Chemicals Holding Inc., a company incorporated
         in the United States of America whose registered office is at 4400 Post
         Oak Parkway, Suite 1230, Houston, TX 77027.

         "VAT" means value added tax as provided for in the Value Added Tax Act
         1994 and legislation (or purported legislation and whether delegated or
         otherwise) supplemental to that Act or in any primary or secondary
         legislation promulgated by the European Community or any official body
         or agency of the European Community, and any tax similar or equivalent
         to value added tax imposed by any country other than the United Kingdom
         and any similar or turnover Tax replacing or introduced in addition to
         any of the same.

1.2      HEADINGS

         The headings in this Agreement are for convenience only and shall be
         ignored in construing this Agreement.

1.3      INTERPRETATION

         In this Agreement (unless otherwise provided):

         1.3.1    words importing the singular shall include the plural and vice
                  versa;

         1.3.2    references to Clauses and Schedules are to be construed as
                  references to the Clauses of, and schedules to, this
                  Agreement;

         1.3.3    references to any Financing Document or any other document
                  shall be construed as references to that Financing Document or
                  that other document, as amended, varied, novated or
                  supplemented, as the case may be;

         1.3.4    references to any statute or statutory provision include any
                  statute or statutory provision which amends, extends,
                  consolidates or replaces the same, or which has been amended,
                  extended, consolidated or replaced by the same, and shall
                  include any orders, regulations, instruments or other
                  subordinate legislation made under the relevant statute;

         1.3.5    references to a document being "IN THE AGREED FORM" means that
                  document the form and content of which has been approved by
                  the Facility Agent and which has endorsed on it the words "in
                  the agreed form" and which is initialled by or on behalf of
                  the Facility Agent and Dynea;

         1.3.6    references to "ASSETS" shall include revenues and property and
                  the right to revenues and property and rights of every kind,
                  present, future and contingent and whether tangible or
                  intangible (including uncalled share capital);

                                      -31-

<PAGE>

         1.3.7    the words "INCLUDING" and "IN PARTICULAR" shall be construed
                  as being by way of illustration or emphasis only and shall not
                  be construed as, nor shall they take effect as, limiting the
                  generality of any preceding words;

         1.3.8    the words "OTHER" and "OTHERWISE" shall not be construed
                  ejusdem generis with any foregoing words where a wider
                  construction is possible;

         1.3.9    references to a "PERSON" shall be construed so as to include
                  that person's assigns, transferees or successors in title and
                  shall be construed as including references to an individual,
                  firm, partnership, joint venture, company, corporation, body
                  corporate, unincorporated body of persons or any state or any
                  agency of a state;

         1.3.10   where there is a reference in this Agreement to any amount,
                  limit or threshold specified in Euro, in ascertaining whether
                  or not that amount, limit or threshold has been attained,
                  broken or achieved, as the case may be, a non Euro amount
                  shall be counted on the basis of the Euro Equivalent of that
                  amount;

         1.3.11   accounting terms shall be construed so as to be consistent
                  with IAS; and

         1.3.12   references to time are to London time.

1.4      THIRD PARTY RIGHTS

         A person who is not a party to this Agreement has no right under the
         Contracts (Rights of Third Parties) Act 1999 to enforce any term of
         this Agreement.

2.       FACILITIES

2.1      FACILITIES

         2.1.1    Subject to the terms of this Agreement:

                  (a)      the Banks (other than the Term D Lender) agree to
                           make available a term A loan facility in an Original
                           Euro Amount of Euro 189,841,693 in three tranches as
                           follows:

                           (i)      to Nordkem, a tranche ("TRANCHE A1") of up
                                    to NOK 843,333,333 to be drawn down in
                                    Norwegian Kroner;

                           (ii)     to Dynea, a tranche ("TRANCHE A2") of US$
                                    44,666,667 to be drawn down in US Dollars;

                           (iii)    to Dynea, a tranche ("TRANCHE A3") of Can$
                                    50,666,667 to be drawn down in Can Dollars;

                  (b)      the Banks (other than the Term D Lender) agree to
                           make available a term B loan facility in an Original
                           Euro Amount of Euro 94,920,847 in four tranches as
                           follows:

                           (i)      to Nordkem, a tranche ("TRANCHE B1") of NOK
                                    167,533,089 to be drawn down in Norwegian
                                    Kroner;

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<PAGE>

                           (ii)     to Dynea, a tranche ("TRANCHE B2") of NOK
                                    254,133,577 to be drawn down in Norwegian
                                    Kroner;

                           (iii)    to Dynea, a tranche ("TRANCHE B3") of US$
                                    22,333,333 to be drawn down in US Dollars;
                                    and

                           (iv)     to Dynea, a tranche ("TRANCHE B4") of Can$
                                    25,333,333 to be drawn down in Can Dollars;

                  (c)      the Banks (other than the Term D Lender) agree to
                           make available to Dynea a term C loan facility in the
                           Original Euro Amount of Euro 94,786,533 to be drawn
                           down in US Dollars in the amount of US$86,000,000;

                  (d)      the Term D Lender agrees to make available to Dynco a
                           term D loan facility in the maximum principal amount
                           of Euro 31,700,000 in three tranches as follows:

                           (i)      a tranche ("TRANCHE D1") of Euro 15,300,000;

                           (ii)     a tranche ("TRANCHE D2") of Euro 10,000,000;
                                    and

                           (iii)    a tranche ("TRANCHE D3") of Euro 6,400,000;

                  (e)      the Banks (other than the Term D Lender) agree to
                           make available to the Borrowers, a multicurrency
                           revolving loan and guarantee facility in the maximum
                           principal amount of Euro 100,000,000.

         2.1.2    To the extent that Dynea receives any amount from Issueco by
                  way of Subscription Proceeds or under any Issueco Loan (but
                  excluding any Subscription Proceeds and the proceeds of any
                  Issueco Loan which are taken into account in calculating
                  EBITDA) then the Term D Commitments shall be correspondingly
                  reduced, and any such reduction shall be applied against
                  undrawn amounts under Tranche D2 and Tranche D3 in inverse
                  chronological order.

         2.1.3    Notwithstanding any other term of this Agreement, the
                  aggregate of the Original Euro Amount of all Revolving
                  Advances and Bank Guarantees issued by the Issuing Bank shall
                  not, at any time, exceed the Total Revolving Credit
                  Commitments.

2.2      OBLIGATIONS SEVERAL

         2.2.1    The obligations of each of the Finance Parties under this
                  Agreement are several.

         2.2.2    The failure of a Finance Party to carry out its obligations
                  under this Agreement shall not relieve any other Party of any
                  of its obligations under this Agreement.

         2.2.3    None of the Finance Parties shall be responsible for the
                  obligations of any other Party under this Agreement.

                                      -33-

<PAGE>

2.3      RIGHTS SEVERAL

         2.3.1    The rights of each Finance Party under this Agreement are
                  several. All amounts due, and obligations owed, to each of
                  them are separate and independent debts or, as the case may
                  be, obligations.

         2.3.2    Each Finance Party may, except as otherwise stated in this
                  Agreement, separately enforce its rights under this Agreement.

         2.3.3    Dynea shall, and it shall procure that each Charging Group
                  Company will, with the agreement of each of the Finance
                  Parties, pay sums equal to any sums owing to any Finance Party
                  under any of the Financing Documents to the Security Trustee
                  as joint and several creditor thereof when and to the extent
                  due from it under the terms of such Financing Documents to
                  such bank account as the Security Trustee may direct.

         2.3.4    For the purposes of taking security as contemplated by the
                  Security Documents governed by the laws of Austria, Belgium,
                  Finland, France, Norway and The Netherlands the Security
                  Trustee shall be the joint and several creditor (together with
                  each other Finance Party) of each and every obligation of any
                  Charging Group Company towards such Finance Party under any
                  Financing Documents, so that accordingly the Security Trustee
                  will have its own independent right to demand performance by
                  the relevant Charging Group Company of those obligations, and
                  such obligations will be discharged by and to the extent of
                  any discharge thereof either to the Security Trustee or to the
                  relevant Finance Party.

2.4      ADDITIONAL BORROWERS

         2.4.1    Dynea may, on giving notice to the Facility Agent, nominate a
                  Charging Group Company incorporated in Norway, Canada, the USA
                  or any country within the European Union as an additional
                  Borrower.

         2.4.2    Dynea may, on giving notice to the Facility Agent and subject
                  to the consent of each Bank, nominate a Charging Group Company
                  incorporated outside the jurisdictions specified in sub-clause
                  2.4.1 as an additional Borrower.

         2.4.3    A Charging Group Company wishing to become an additional
                  Borrower shall execute and deliver a Deed of Accession to the
                  Facility Agent together with all the documents referred to in
                  the Schedule to that Deed of Accession, each in form and
                  substance satisfactory to the Facility Agent acting
                  reasonably.

         2.4.4    A Charging Group Company shall accede to this Agreement as a
                  Borrower on the Facility Agent counter signing the relevant
                  Deed of Accession.

         2.4.5    Each Party authorises the Facility Agent to execute on its
                  behalf a Deed of Accession delivered to the Facility Agent in
                  accordance with the terms of this Clause 2.4 (Additional
                  Borrowers).

2.5      THE TERM D LOAN FACILITY

         The terms relating to the repayment and prepayment in respect of the
         Term D Loan Facility are set out in Schedule 9 (Provisions relating to
         the Term D Loan Facility).

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<PAGE>

2.6      OBLIGATIONS OF THE TERM D LENDER

         The Term D Lender shall have no obligations hereunder save under
         sub-clause 2.2.1 of Clause 2.2 (Obligations several), sub-clause 2.4.5
         of Clause 2.4 (Additional Borrowers), Clause 10.4 (Release of security
         on Disposals), Clause 10.5 (Release of security at end of Security
         Period) and Clause 16 (The Finance Parties) notwithstanding any other
         provision hereof.

2.7      ON-LENDING AGREEMENT

         2.7.1    Dynco and Dynea hereby agree that the terms of the On-Lending
                  Agreement shall be subject to the provisions of Schedule 10
                  (Subordination).

         2.7.2    Dynco and Dynea hereby agree that:

                  (a)      the On-Lending Agreement shall not be amended,
                           varied, supplemented or novated; and

                  (b)      neither Dynco nor Dynea shall assign or transfer its
                           rights under the On-Lending Agreement,

                  in each case without the prior written consent of the Facility
                  Agent.

2.8      PURPOSE OF THE TERM LOAN FACILITIES

         2.8.1    The proceeds of the Term A Advances (other than under Tranche
                  A1), the Term B Advances (other than under Tranche B1 and
                  Tranche B2) and the Term C Loan Facility shall only be used to
                  refinance, directly or indirectly, the Neste Group Facilities.

         2.8.2    The proceeds of Tranche A1, Tranche B1 and Tranche B2 shall
                  only be used to:

                  (a)      pay the consideration payable by Nordkem for the Dyno
                           Shares purchased by it pursuant to the Offer or
                           pursuant to the mandatory offer which Nordkem will
                           issue pursuant to the Norwegian Securities Trading
                           Act chapter 4 and the procedure as to compulsory
                           transfer of shares in a subsidiary pursuant to the
                           Norwegian Act relating to Public Limited Liability
                           Companies (ASA) section 4-26, which Nordkem will
                           undertake after completion of the mandatory offer;

                  (b)      pay the Acquisition Costs relating to the Dyno
                           Acquisition; and

                  (c)      refinance the existing Indebtedness of Dyno and its
                           Subsidiaries.

         2.8.3    The proceeds of the Term D Advances shall only be used by
                  Dynco for working capital purposes.

2.9      PURPOSE OF THE REVOLVING CREDIT FACILITY

         2.9.1    The proceeds of Revolving Advances shall only be used by each
                  Borrower:

                  (a)      for the general corporate purposes of that Borrower
                           (but not to make prepayments of the Term Loans or any
                           payments in respect of the Issueco Loan and not to
                           acquire any business or shares or securities of any
                           company);

                                      -35-

<PAGE>

                  (b)      to repay maturing Revolving Advances; and

                  (c)      for the purposes set out in sub-clause 2.8.2(a) of
                           Clause 2.8 (Purpose of the Term Loan Facilities) but
                           only up to the maximum aggregate amount of Euro
                           20,000,000.

         2.9.2    Bank Guarantees shall be issued by the Issuing Bank for the
                  general corporate purposes of the relevant Borrower.

2.10     UNDERTAKING BY THE BORROWERS

         Each Borrower undertakes that it will only utilise the Facilities as
         permitted by Clauses 2.8 (Purpose of the Term Loan Facilities) and 2.9
         (Purpose of the Revolving Credit Facility).

2.11     NO LIABILITY

         None of the Finance Parties shall be concerned as to the use or
         application of the proceeds of the Advances or the use or applications
         of amounts made available under any Facility.

3.       CONDITIONS PRECEDENT

3.1      CONDITIONS PRECEDENT

         All the conditions set out in Part I of Schedule 2 (Conditions
         Precedent) have been satisfied or waived.

3.2      CONFIRMATION OF SATISFACTION

         The Facility Agent shall, at the request of Dynea, certify whether or
         not any one or more of the conditions set out in Part I of Schedule 2
         (Conditions Precedent) have been satisfied or, as the case may be,
         waived.

4.       UTILISATION OF THE FACILITIES

4.1      DRAWDOWN OF TERM A LOAN FACILITY

         4.1.1    Subject to the other terms of this Agreement, the Term A Loan
                  Facility shall be drawn down:

                  (a)      by Dynea in one Term A Advance under each of Tranches
                           A2 and A3 simultaneously with the making of the first
                           Term Advance under any of Tranches A1, B1 or B2 or
                           under the Term C Loan Facility when requested by
                           Dynea by means of a Drawdown Notice in accordance
                           with Clause 4.8 (Drawdown Notice);

                  (b)      by Nordkem in one or more Term A Advances under
                           Tranche A1 at any time during the Term Commitment
                           Period in each case when requested by Dynea by means
                           of a Drawdown Notice in accordance with Clause 4.8
                           (Drawdown Notice).

         4.1.2    No drawdown of the Term A Loan Facility may be made unless a
                  Term B Advance and a Term C Advance has been, or
                  simultaneously with the drawdown of the first Term A Advance,
                  is made.

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<PAGE>

4.2      DRAWDOWN OF TERM LOAN FACILITY

         4.2.1    Subject to the other terms of this Agreement, the Term B Loan
                  Facility shall be drawn down:

                  (a)      by Dynea in one Term B Advance under each of Tranches
                           B2, B3 and B4 simultaneously with the making of the
                           first Term Advance under any of Tranches A1 or B1 or
                           under the Term C Loan Facility when requested by
                           Dynea by means of a Drawdown Notice in accordance
                           with Clause 4.8 (Drawdown Notice); and

                  (b)      by Nordkem in one or more Term B Advances under
                           Tranche B1 at any time during the Term Commitment
                           Period, in each case when requested by Dynea by means
                           of a Drawdown Notice in accordance with Clause 4.8
                           (Drawdown Notice).

         4.2.2    No drawdown of the Term B Loan Facility may be made unless a
                  Term C Advance has been or, simultaneously with the drawdown
                  of the first Term B Advance, is made.

4.3      DRAWDOWN OF TERM C LOAN FACILITY

         Subject to the other terms of this Agreement, the Term C Loan Facility
         shall be drawn down in one Term C Advance at any time during the Term
         Commitment Period when requested by Dynea by means of a Drawdown Notice
         in accordance with Clause 4.8 (Drawdown Notice).

4.4      DRAWDOWN OF TERM D LOAN FACILITY

         Subject to the other terms of this Agreement, the Term D Loan Facility
         shall be drawn down by Dynco:

         4.4.1    in one Term D Advance under Tranche D1, if requested by Dynco
                  by means of a Drawdown Notice in accordance with Clause 4.8
                  (Drawdown Notice), on or prior to 13 February 2004;

         4.4.2    in one Term D Advance under Tranche D2, if requested by Dynco
                  by means of a Drawdown Notice in accordance with Clause 4.8
                  (Drawdown Notice), on or prior to 13 August 2004; and

         4.4.3    in one Term D Advance under Tranche D3, if requested by Dynco
                  by means of a Drawdown Notice in accordance with Clause 4.8
                  (Drawdown Notice), on or prior to 20 August 2004.

4.5      LIMITATIONS APPLICABLE TO TERM ADVANCES

         The following limitations apply to Term Advances:

         4.5.1    the Drawdown Date of a Term A Advance, a Term B Advance or a
                  Term C Advance shall be a Business Day during the Term
                  Commitment Period;

         4.5.2    the principal amount of a Term Advance under Tranches A1 and
                  B1 shall be a minimum amount of Euro 3,000,000 and an integral
                  multiple of Euro 1,000,000;

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<PAGE>

         4.5.3    no Term Advance under Tranche A1 shall be made unless Tranche
                  B1 and the Term C Loan Facility have been drawn down in full;

         4.5.4    no Term Advance under Tranche B1 shall be made unless the Term
                  C Loan Facility has been drawn down in full; and

         4.5.5    no more than 8 Term Advances under Tranches A1 and B1 may be
                  outstanding at any one time.

4.6      UTILISATION OF REVOLVING CREDIT FACILITY

         4.6.1    Subject to the other terms of this Agreement, Revolving
                  Advances shall be made to any Borrower and Bank Guarantees
                  shall be issued by the Issuing Bank for the account of any
                  Borrower at any time during the Revolving Credit Commitment
                  Period when requested by that Borrower by means of a Drawdown
                  Notice in accordance with Clause 4.8 (Drawdown Notice) or, as
                  the case may be, a Bank Guarantee Request in accordance with
                  Clause 4.13 (Bank Guarantee Request). At close of business on
                  the last day of the Revolving Credit Commitment Period the
                  Revolving Credit Facility shall cease to be available for
                  utilisation.

         4.6.2    No utilisation of the Revolving Credit Facility may be made
                  unless a Term Advance has been or, simultaneously with the
                  making of such utilisation is, made.

         4.6.3    Dynea will procure that after 31 July 2003 either for 2
                  periods of 5 successive days or, one period of 10 successive
                  days, in each of its Financial Years the aggregate of all
                  Revolving Advances shall not exceed Euro 10,000,000. The
                  Facility Agent confirms that, pursuant to the terms of the
                  letter dated 11 February 2003 from the Facility Agent to
                  Dynea, compliance with this sub-clause 4.6.3 has been waived
                  for the Financial Years of Dynea ending 31 December 2003 and
                  31 December 2004.

         4.6.4    The following limitations apply to Revolving Advances:

                  (a)      the Drawdown Date of a Revolving Advance shall be a
                           Business Day during the Revolving Credit Commitment
                           Period;

                  (b)      the principal amount of a Revolving Advance
                           denominated in Euro shall be:

                           (i)      a minimum amount of Euro 2,000,000 and an
                                    integral multiple of Euro 1,000,000; or

                           (ii)     the amount of the Available Revolving Credit
                                    Facility;

                  (c)      the principal amount of a Revolving Advance
                           denominated in an Alternative Currency shall be in an
                           Original Euro Amount of at least Euro 2,000,000 and a
                           round amount in that currency as the Facility Agent
                           and Dynea may agree (acting reasonably); or

                                      -38-

<PAGE>

                  (d)      no Revolving Advance shall be made if the making of
                           that Revolving Advance would result in the aggregate
                           of the Original Euro Amount of all Revolving Advances
                           and Bank Guarantees issued by the Issuing Bank
                           exceeding the Revolving Credit Facility Limit;

                  (e)      no more than 10 Revolving Advances may be outstanding
                           at any one time; and

                  (f)      in the case of a Revolving Advance denominated in an
                           Alternative Currency, the requirements of Clause 5
                           (Alternative Currencies) are met.

4.7      CONDITIONS TO EACH ADVANCE

         4.7.1    Subject to sub-clause 4.7.2, the obligation of each Bank to
                  make available its Participation in an Advance is subject to
                  the conditions that on the date on which the relevant Drawdown
                  Notice is given and on the relevant Drawdown Date:

                  (a)      (save in respect of a Term D Advance) the
                           representations and warranties in Clause 11
                           (Representations and Warranties) to be repeated on
                           those dates are correct and will be correct
                           immediately after the Advance is made; and

                  (b)      no Default or (in relation to a Term A Advance, Term
                           B Advance, Term C Advance or Revolving Advance)
                           Potential Default has occurred and is continuing
                           unwaived or would occur on the making of the Advance.

         4.7.2    In respect of a Revolving Advance to be made for the sole
                  purpose of either:

                  (a)      repaying an outstanding Revolving Advance in a
                           matching amount; or

                  (b)      if demand is made under a Bank Guarantee issued by
                           the Issuing Bank, paying the amount guaranteed or
                           otherwise assured under that Bank Guarantee or
                           reimbursing the Issuing Bank in respect of the amount
                           paid by the Issuing Bank under that Bank Guarantee,

                  the Revolving Advance shall be made, notwithstanding the
                  occurrence and continuation of a Default or a Potential
                  Default or any of the representations and warranties to be
                  repeated not being correct, unless the Facility Agent shall
                  have served a Default Notice.

4.8      DRAWDOWN NOTICE

         4.8.1    Whenever a Borrower wishes to draw down an Advance, it shall
                  give a duly completed Drawdown Notice to the Facility Agent to
                  be received not later than 11.00 a.m. on the third Business
                  Day before the relevant Drawdown Date (or in the case of an
                  Advance to be denominated in Sterling, not later than 11.00
                  a.m. on the first Business Day before that Drawdown Date) or,
                  in either case, such later time as the Facility Agent may
                  agree.

         4.8.2    A Drawdown Notice shall be irrevocable and the relevant
                  Borrower shall be obliged to borrow in accordance with its
                  terms.

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<PAGE>

4.9      NOTIFICATION TO BANKS

         The Facility Agent shall promptly notify each Bank of the details of
         each Drawdown Notice received by it.

4.10    PARTICIPATIONS

         4.10.1   Subject to the terms of this Agreement, each Bank acting
                  through its Lending Office shall make available to the
                  Facility Agent on the Drawdown Date for an Advance an amount
                  equal to its Participation in the amount and currency
                  specified in the Drawdown Notice for that Advance.

         4.10.2   For the purposes of sub-clause 4.10.1:

                  (a)      the Participation of a Bank in a Term A Advance, a
                           Term B Advance, a Term C Advance or a Term D Advance
                           shall be the proportion of that Term A Advance, Term
                           B Advance, Term C Advance or, as the case may be,
                           Term D Advance equal to the proportion borne by that
                           Bank's Term A Loan Commitment to the Total Term A
                           Commitments, that Bank's Term B Loan Commitment to
                           the Total Term B Loan Commitments, that Bank's Term C
                           Loan Commitment to the Total Term C Loan Commitments
                           or, as the case may be, that Bank's Term D Loan
                           Commitment to the Total Term D Loan Commitments on
                           the Drawdown Date of that Advance; and

                  (b)      the Participation of a Bank in a Revolving Advance
                           shall be the proportion of that Revolving Advance
                           equal to the proportion borne by that Bank's
                           Available Revolving Credit Commitment to the
                           Available Revolving Credit Facility on the Drawdown
                           Date of that Advance.

4.11     LIMITATIONS ON BANK GUARANTEES

         The following limitations apply to Bank Guarantees issued by the
         Issuing Bank:

         4.11.1   the relevant Issue Date of each Bank Guarantee shall be a
                  Business Day during the Revolving Credit Commitment Period;

         4.11.2   each Bank Guarantee shall be issued by the Issuing Bank in a
                  form approved by the Issuing Bank;

         4.11.3   without prejudice to sub-clause 4.11.2, each Bank Guarantee
                  shall, unless the Issuing Bank otherwise agrees:

                  (a)      be denominated in Euro or an Alternative Currency;
                           and

                  (b)      state on its face the maximum amount payable under it
                           and its expiry date;

         4.11.4   no Bank Guarantee shall be issued under which a claim could be
                  made at any time after the Final Repayment Date in relation to
                  the Revolving Credit Facility unless the Issuing Bank
                  otherwise agrees on condition that on the Final Repayment Date
                  in relation to the Revolving Credit Facility the Borrower on
                  whose behalf the Bank Guarantee is to be issued shall provide
                  full cash collateral on terms reasonably satisfactory to the
                  Issuing Bank in the currency of the Bank Guarantee equal to
                  the Guaranteed Amount of the Bank Guarantee;

                                      -40-

<PAGE>

         4.11.5   no Bank Guarantee shall be issued if the issuing of that Bank
                  Guarantee would result in the aggregate of the Original Euro
                  Amount of all Revolving Advances and Bank Guarantees issued by
                  the Issuing Bank exceeding the Revolving Credit Facility
                  Limit; and

         4.11.6   no more than 25 Bank Guarantees may be outstanding at any one
                  time.

4.12     CONDITIONS TO EACH BANK GUARANTEE

         The obligation of the Issuing Bank to issue a Bank Guarantee is subject
         to the conditions that on the date on which the relevant Bank Guarantee
         Request is given and on the relevant Issue Date:

         4.12.1   the representations and warranties in Clause 11
                  (Representations and Warranties) to be repeated on those dates
                  are correct and will be correct immediately after the Bank
                  Guarantee is issued; and

         4.12.2   no Default or Potential Default has occurred and is continuing
                  or would occur on the issue of the Bank Guarantee.

4.13     BANK GUARANTEE REQUEST

         4.13.1   Whenever a Borrower wishes a Bank Guarantee to be issued by
                  the Issuing Bank, it shall give the Facility Agent a duly
                  completed Bank Guarantee Request together with a draft of the
                  proposed Bank Guarantee to be received not later than 5
                  Business Days prior to the relevant Issue Date. The Issuing
                  Bank shall provide the Facility Agent with a copy of the form
                  of the Bank Guarantee to be issued by the Issuing Bank at
                  least 2 Business Days prior to the relevant Issue Date.

         4.13.2   The Facility Agent shall promptly provide the Issuing Bank and
                  each Bank (other than the Term D Lender) with a copy of each
                  Bank Guarantee Request and proposed Bank Guarantee received by
                  it.

4.14     COUNTER INDEMNITY FROM THE BORROWERS

         4.14.1   Each Borrower shall:

                  (a)      indemnify and keep indemnified the Issuing Bank and
                           each Bank (other than the Term D Lender) (each an
                           "INDEMNIFIED PERSON") from and against all actions,
                           suits, proceedings, claims or demands (in each case,
                           brought or made by third parties), liabilities,
                           damages, costs, expenses, losses and charges in
                           relation to or arising out of any Bank Guarantee
                           issued by the Issuing Bank for the account of such
                           Borrower and each Bank Indemnity insofar as it
                           relates thereto save where the same arise as a result
                           of the Indemnified Person's negligence or wilful
                           default; and

                  (b)      pay to the Issuing Bank for its own account or to the
                           Facility Agent for the account of the Banks (other
                           than the Term D Lender), as the case may be, on
                           demand the amount of all payments made (whether
                           directly or by way of set off, counterclaim or
                           otherwise) and all losses, costs and expenses
                           suffered or incurred by the Issuing Bank and the
                           Banks (other than the

                                      -41-

<PAGE>

                           Term D Lender) under or by reason of each such Bank
                           Guarantee and each Bank Indemnity insofar as it
                           relates thereto.

         4.14.2   The Issuing Bank is irrevocably authorised by each Borrower to
                  comply with the terms of any demand served or purporting to be
                  served on the Issuing Bank pursuant to any Bank Guarantee
                  issued by the Issuing Bank without any reference to, or
                  further authority from, any Borrower and without any enquiry
                  into the justification for that demand or its validity (save
                  for verification of any documents delivered under the terms of
                  the Bank Guarantee in question for apparent good order in
                  accordance with the Uniform Customs and Practice for
                  Documentary Credits). Any payment which the Issuing Bank shall
                  make in accordance or purporting to be in accordance with such
                  a demand shall be binding on each Borrower and be accepted by
                  each Borrower as conclusive and binding evidence that the
                  Issuing Bank was liable to comply with the terms of such
                  demand and was liable to do so in the manner and for the
                  amount in which the Issuing Bank effected such compliance.

         4.14.3   The liability of any Borrower under this Clause 4.14 shall not
                  be discharged, lessened or impaired by any time being given or
                  by any thing being done or other circumstance whatsoever
                  which, but for this provision, would or might operate to
                  exonerate or discharge that Borrower.

         4.14.4   The Borrower Indemnities shall constitute and be a continuing
                  security to the Issuing Bank and the Banks (other than the
                  Term D Lender) and shall extend to each Bank Guarantee issued
                  by the Issuing Bank and each Bank Indemnity as they may be
                  varied, modified, amended or extended.

         4.14.5   The Issuing Bank may claim under any Borrower Indemnity or
                  under any Bank Indemnity in such order as the Issuing Bank
                  shall think fit.

4.15     COUNTER INDEMNITY FROM THE BANKS

         4.15.1   Each Bank (other than the Term D Lender) shall:

                  (a)      indemnify the Issuing Bank and keep the Issuing Bank
                           indemnified (in the proportion which its Revolving
                           Credit Commitment bears to the Total Revolving Credit
                           Commitments) from and against all actions, suits,
                           proceedings, claims, demands (in each case, brought
                           or made by third parties), liabilities, damages,
                           costs, expenses, losses and charges in relation to or
                           arising out of any Bank Guarantee issued by the
                           Issuing Bank save where the same arise as a result of
                           the Issuing Bank's negligence or wilful default; and

                  (b)      pay to the Issuing Bank on demand its relevant
                           proportion of the amount of all payments made
                           (whether directly or by way of set off, counterclaim
                           or otherwise) and all losses, costs and expenses
                           suffered or incurred by the Issuing Bank under or by
                           reason of each such Bank Guarantee.

         4.15.2   The Issuing Bank is irrevocably authorised by each Bank to
                  comply with the terms of any demand served or purporting to be
                  served on the Issuing Bank

                                      -42-

<PAGE>

                  pursuant to any Bank Guarantee issued by the Issuing Bank
                  without any reference to, or further authority from, any Bank
                  and without any enquiry into the justification for that demand
                  or its validity (save for verification of any documents
                  delivered under the terms of the Bank Guarantee in question
                  for apparent good order in accordance with the Uniform Customs
                  and Practice for Documentary Credits). Any payment which the
                  Issuing Bank shall make in accordance or purporting to be in
                  accordance with such a demand shall be binding on each Bank
                  and be accepted by each Bank as conclusive and binding
                  evidence that the Issuing Bank was liable to comply with the
                  terms of such demand and was liable to do so in the manner and
                  for the amount in which the Issuing Bank effected such
                  compliance.

         4.15.3   The liability of any Bank under this Clause 4.15 shall not be
                  discharged, lessened or impaired by any time being given or by
                  any thing being done or other circumstance whatsoever which,
                  but for this provision, would or might operate to exonerate or
                  discharge that Bank.

         4.15.4   The Bank Indemnities shall constitute and be a continuing
                  security to the Issuing Bank and shall extend to each Bank
                  Guarantee issued by the Issuing Bank as it may be varied,
                  modified, amended or extended.

         4.15.5   The Issuing Bank may claim under any Bank Indemnity or under
                  any Borrower Indemnity in such order as the Issuing Bank shall
                  think fit.

         4.15.6   For the avoidance of doubt, each Bank Indemnity shall extend
                  to any interest expressed to be due from a Borrower pursuant
                  to Clause 4.16 (Interest on Payments) in respect of any
                  payment, loss, cost or expense made, suffered or incurred by
                  the Issuing Bank under or by reason of any Bank Guarantee
                  issued by the Issuing Bank.

4.16     INTEREST ON PAYMENTS

         Each Borrower shall pay to the Facility Agent for the account of the
         Issuing Bank or the account of the Banks (other than the Term D
         Lender), as the case may be, interest on the amount of each payment,
         loss, cost and expense made, suffered or incurred by the Issuing Bank
         or any Bank (other than the Term D Lender) under or by reason of any
         Bank Guarantee issued by the Issuing Bank and any Bank Indemnity from
         and including the date upon which such payment, loss, cost or expense
         is made, suffered or incurred up to and including the date upon which
         payment or reimbursement of such amount is demanded from that Borrower.
         The amount of such interest shall be calculated in accordance with
         Clause 6.4 (Default Interest). For the avoidance of doubt, interest on
         sums demanded under Clause 4.15 (Counter Indemnity from the Banks)
         shall also accrue in accordance with Clause 6.4 (Default Interest).

5.       ALTERNATIVE CURRENCIES

5.1      REQUESTS FOR ALTERNATIVE CURRENCY

         Subject to Clause 5.2 (Availability), a Borrower may request in a
         Drawdown Notice that a Revolving Advance be denominated in an
         Alternative Currency.

                                      -43-

<PAGE>

5.2      AVAILABILITY

         A Borrower may not request that a Revolving Advance be denominated in
         an Alternative Currency unless the Facility Agent has confirmed
         promptly to that Borrower that the Alternative Currency is available
         for drawing under the Revolving Credit Facility.

5.3      NOTIFICATION TO BANKS

         The Facility Agent shall promptly notify each Bank (other than the Term
         D Lender) of the currency and the Original Euro Amount of each
         Revolving Advance.

5.4      NO ALTERNATIVE CURRENCY

         If, no later than 10.00 a.m. on the second Business Day before the
         first day of an Interest Period in relation to a Revolving Advance
         which is proposed to be denominated in an Alternative Currency, a Bank
         (other than the Term D Lender) notifies the Facility Agent that:

         5.4.1    for whatever reason it is impracticable for that Bank to fund
                  its Participation in that Revolving Advance in the proposed
                  Alternative Currency in the ordinary course of business in the
                  London interbank market; or

         5.4.2    central bank or other governmental authorisation in the
                  country of the proposed Alternative Currency is required to
                  permit its use by that Bank for the making of that Revolving
                  Advance and the authorisation has not been obtained or is not
                  in full force and effect or is subject to unacceptable
                  conditions; or

         5.4.3    the use of the proposed Alternative Currency is restricted or
                  prohibited by any request, directive, regulation or guideline
                  of any governmental body, agency, department or regulatory or
                  other authority (whether or not having the force of law) in
                  accordance with which that Bank is accustomed to act,

         the Facility Agent shall notify Dynea and the Banks (other than the
         Term D Lender) by 11.00 a.m. on the same day. In this event, Dynea and
         such Banks may agree that the Revolving Advance shall not be made,
         PROVIDED THAT, in the absence of such agreement by 12.00 noon on the
         same day, the Revolving Advance shall be denominated in Euro during
         that Interest Period.

5.5      EXCHANGE RATE MOVEMENTS

         5.5.1    If on any Quarter Date:

                  (a)      the Total Revolving Credit Amount exceeds the
                           Revolving Credit Facility Limit; and

                  (b)      the Facility Agent determines that the Euro
                           Equivalent (calculated on that Quarter Date) of the
                           Guaranteed Amount of all Bank Guarantees denominated
                           in an Alternative Currency shall be greater than the
                           Original Euro Amount of those Bank Guarantees by 5
                           per cent. or more,

                  the relevant Borrowers shall, within 2 Business Days of
                  receiving the Facility Agent's demand so to do, pay to the
                  credit of their respective Collateral Accounts (as defined in
                  sub-clause 5.5.3) such amounts in the relevant Alternative
                  Currencies to ensure that the aggregate of (i) the Original
                  Euro

                                      -44-

<PAGE>

                  Amount of those Bank Guarantees and (ii) the Euro Equivalent
                  (calculated on that Quarter Date) of all sums standing to the
                  credit of the Collateral Accounts on that Quarter Date shall,
                  after the crediting of such amounts, equal the Euro Equivalent
                  (calculated on that Quarter Date) of the Guaranteed Amount of
                  those Bank Guarantees.

         5.5.2    On each Quarter Date, PROVIDED THAT no Default has occurred
                  and is continuing, the Borrowers may withdraw such amounts
                  standing to the credit of the Collateral Accounts (as
                  determined by the Facility Agent and comprised of such
                  Alternative Currencies as the Facility Agent may select) to
                  ensure that, after payment of such amounts, the aggregate of
                  (a) the Original Euro Amount of all Bank Guarantees
                  denominated in an Alternative Currency and (b) the Euro
                  Equivalent (calculated on that Quarter Date) of all sums, if
                  any, standing to the credit of the Collateral Accounts on that
                  Quarter Date is equal to the Euro Equivalent (calculated on
                  that Quarter Date) of the Guaranteed Amount of those Bank
                  Guarantees.

         5.5.3    In this Clause 5.5, a "COLLATERAL ACCOUNT" means, in relation
                  to a Borrower and an Alternative Currency, an account of that
                  Borrower in that currency held with such bank as the Facility
                  Agent may nominate and designated as being in respect of Bank
                  Guarantees issued by the Issuing Bank at the request of that
                  Borrower.

         5.5.4    On the first occasion a Borrower is obliged to make a payment
                  to a Collateral Account, it shall open that Collateral Account
                  and charge the same to the Facility Agent (as agent and
                  trustee for itself, the Issuing Bank and the Banks (other than
                  the Term D Lender)) on terms satisfactory to the Facility
                  Agent acting reasonably.

         5.5.5    Except as expressly permitted in this Clause 5.5, no Borrower
                  may withdraw any amount from a Collateral Account.

6.       INTEREST

6.1      INTEREST RATE

         Interest shall accrue on each Advance from and including the relevant
         Drawdown Date to but excluding the date the Advance is repaid at the
         rate determined by the Facility Agent to be the aggregate of:

         6.1.1    the Cash Margin;

         6.1.2    LIBOR; and

         6.1.3    the Additional Cost Rate.

6.2      MARGIN RATCHET

         6.2.1    In respect of each Financial Year of Dynea beginning after 31
                  December 2001, the Margin in relation to the Term A Loan
                  Facility and the Revolving Credit Facility shall reduce or
                  increase in accordance with the other provisions of this
                  Clause 6.2, PROVIDED THAT the Margin in relation to the Term A
                  Loan Facility

                                      -45-

<PAGE>

                  and the Revolving Credit Facility shall at no time be greater
                  than 2.00 per cent. per annum or less than 1.25 per cent. per
                  annum.

         6.2.2    In this Clause 6.2, "RELEVANT FINANCIAL YEAR" means, in
                  relation to a Financial Year of Dynea, the immediately
                  preceding Financial Year of Dynea.

         6.2.3    Subject to the other provisions of this Clause 6.2, in respect
                  of a Financial Year of Dynea beginning after 31 December 2001,
                  the Margin in relation to the Term A Loan Facility and the
                  Revolving Credit Facility shall be 1.75 per cent. per annum if
                  the ratio of Total Net Debt to EBITDA for the Relevant
                  Financial Year is less than or equal to 4.00:1 but, after 31
                  December 2002, is greater than or equal to 3.50:1.

         6.2.4    Subject to the other provisions of this Clause 6.2, in respect
                  of a Financial Year of Dynea beginning after 31 December 2002,
                  the Margin in relation to the Term A Loan Facility and the
                  Revolving Credit Facility shall be in relation to the Term A
                  Loan Facility and the Revolving Credit Facility shall be 1.50
                  per cent. per annum if the ratio of Total Net Debt to EBITDA
                  for the Relevant Financial Year is less than or equal to
                  3.50:1 but, after 31 December 2003, is greater than or equal
                  to 3.00:1.

         6.2.5    Subject to the other provisions of this Clause 6.2, in respect
                  of a Financial Year of Dynea beginning after 31 December 2003,
                  the Margin in relation to the Term A Loan Facility and the
                  Revolving Credit Facility shall be 1.25 per cent. per annum if
                  the ratio of Total Net Debt to EBITDA for the Relevant
                  Financial Year is less than or equal to 3.00:1.

         6.2.6    In relation to a Financial Year of Dynea, for the purpose of
                  this Clause 6.2, any reduction or increase in the Margin in
                  relation to the Term A Loan Facility and the Revolving Credit
                  Facility shall be determined on the day immediately following
                  receipt by the Facility Agent of the Management Accounts for
                  December in the Relevant Financial Year. Any reduction or
                  increase shall, subject to sub-clause 6.2.7, take effect on
                  the fifth day following receipt by the Facility Agent of those
                  Management Accounts. If Dynea does not deliver the relevant
                  Management Accounts to the Facility Agent in accordance with
                  the terms of sub-clause 12.2.2 of Clause 12.2 (Information
                  Undertakings), the Margin in relation to the Term A Loan
                  Facility and the Revolving Credit Facility shall, as from the
                  date immediately following the last date on which such
                  Management Accounts should have been delivered to the Facility
                  Agent pursuant to sub-clause 12.2.2 of Clause 12.2
                  (Information Undertakings) (other than where such non delivery
                  is beyond the control of Dynea) until the date once such
                  Management Accounts have been so delivered, be reinstated to
                  2.00 per cent.

         6.2.7    Where in respect of a Financial Year of Dynea, the Margin in
                  relation to the Term A Loan Facility and the Revolving Credit
                  Facility has been adjusted on the basis of Management Accounts
                  and the Accounts for the Relevant Financial Year show that
                  such adjustment should not have been made, the said adjustment
                  shall be cancelled on the next Interest Date to occur after
                  delivery of those

                                      -46-

<PAGE>

                  Accounts to the Facility Agent and the Borrowers and the Banks
                  shall promptly make such payments as may be necessary to put
                  themselves in the position they would have been had no such
                  adjustment been made.

         6.2.8    Notwithstanding any other term of this Clause 6.2, if at the
                  time a decrease in the Margin in relation to the Term A Loan
                  Facility and the Revolving Credit Facility is to take effect a
                  Default or Potential Default is continuing, such decrease
                  shall not take effect unless and until such Default or
                  Potential Default ceases to be continuing or is waived.

         6.2.9    For the avoidance of doubt, if in respect of a Financial Year
                  of Dynea, none of the conditions set out in sub-clauses 6.2.3,
                  6.2.4 or 6.2.5 are satisfied in relation to the Relevant
                  Financial Year, the Margin for that Financial Year of Dynea in
                  relation to the Term A Loan Facility and the Revolving Credit
                  Facility shall be 2.00 per cent. per annum.

6.3      INTEREST PERIODS

         6.3.1    Interest payable on each Advance shall be calculated by
                  reference to Interest Periods of 1, 3 or 6 months duration (or
                  such other Interest Period as the Facility Agent, acting on
                  the instructions of all the Banks (other than the Term D
                  Lender), may allow) as selected by the relevant Borrower in
                  accordance with this Clause 6.3 PROVIDED THAT until 15
                  November 2000, or, if earlier, the close of the primary
                  syndication of the Facilities, Interest Periods shall not be
                  longer than 1 month and the first Interest Period for any
                  Advance shall be 1 week.

         6.3.2    The relevant Borrower shall select an Interest Period for a
                  Revolving Advance in the relevant Drawdown Notice. The
                  relevant Borrower may select an Interest Period for a Term
                  Advance in either the Drawdown Notice (in the case of the
                  first Interest Period for that Advance) or (in the case of any
                  subsequent Interest Period for that Advance) by notice
                  received by the Facility Agent no later than 3 Business Days
                  before the commencement of that Interest Period.

         6.3.3    In respect of Term Advances, interest shall be calculated by
                  reference to successive Interest Periods. The first Interest
                  Period for a Term Advance shall begin on the Drawdown Date of
                  that Advance. Each succeeding Interest Period for that Advance
                  shall begin on the Interest Date of the previous Interest
                  Period.

         6.3.4    Dynea may, by notice to the Facility Agent at least 3 Business
                  Days before an Interest Date relating to a Term Advance, elect
                  that that Term Advance be split into two or more Term Advances
                  of at least NOK 15,000,000, Euro 2,000,000, US$ 2,000,000 or,
                  as the case may be, Can$ 3,000,000 each (and being multiples
                  of NOK 8,100,000, Euro 1,000,000, US$ 1,000,000 or, as the
                  case may be, Can$ 1,500,000) or in the case of a Term A
                  Advance or a Term B Advance such lesser amount equal to the
                  amount of the Instalment falling due on the next Term A
                  Instalment Repayment Date or, as the case may be, Term B
                  Instalment Repayment Date. Any such notice shall specify the
                  Interest Periods applicable to those Term Advances and shall
                  take effect in accordance with its terms from that Interest
                  Date, PROVIDED THAT there shall not be more than 8 Term
                  Advances outstanding at any one time.

                                      -47-

<PAGE>

         6.3.5    Subject to the other terms of this Agreement, if the Interest
                  Periods for two or more Term Advances in the same currency
                  made under the same Facility end on the same day those Term
                  Advances shall be deemed to be a single Term Advance from that
                  day.

         6.3.6    If a Borrower fails to select an Interest Period for an
                  Advance in accordance with sub-clause 6.3.2, that Interest
                  Period shall, subject to the other provisions of this Clause
                  6, be 3 months.

         6.3.7    If an Interest Period would otherwise end on a day which is
                  not a Business Day, that Interest Period shall instead end on
                  the next Business Day in the same calendar month (if there is
                  one) or the preceding Business Day (if there is not).

         6.3.8    If an Interest Period begins on the last Business Day in a
                  calendar month or on a Business Day for which there is no
                  numerically corresponding day in the calendar month in which
                  that Interest Period is to end, it shall end on the last
                  Business Day in that later calendar month.

         6.3.9    In respect of Term A Advances and Term B Advances, Dynea shall
                  select such Interest Periods to ensure that, on each Term A
                  Instalment Repayment Date or, as the case may be, Term B
                  Instalment Repayment Date, there are Term A Advances or, as
                  the case may be, Term B Advances with an Interest Period
                  ending on that Term A Instalment Repayment Date or, as the
                  case may be, Term B Instalment Repayment Date which are, in
                  aggregate, at least equal to, in the relevant currencies, the
                  Instalment due on that Term A Instalment Repayment Date or, as
                  the case may be, Term B Instalment Repayment Date.

         6.3.10   If an Interest Period for an Advance would otherwise extend
                  beyond the Final Repayment Date for the Facility under which
                  such Advance is made, it shall be shortened so that it ends on
                  that Final Repayment Date.

6.4      DEFAULT INTEREST

         6.4.1    If a Borrower fails to pay any amount payable under any
                  Financing Document on the due date, it shall pay default
                  interest on the overdue amount from the due date to the date
                  of actual payment calculated by reference to successive
                  Interest Periods (each of such duration as the Facility Agent
                  may select and the first beginning on the relevant due date)
                  at the rate per annum being the aggregate of (a) 1 per cent.
                  per annum, (b) the Cash Margin, (c) LIBOR and (d) the
                  Additional Cost Rate.

         6.4.2    So long as the overdue amount remains unpaid, the default
                  interest rate shall be recalculated in accordance with the
                  provisions of this Clause 6.4 on the last day of each such
                  Interest Period and any unpaid interest shall be compounded at
                  the end of each Interest Period.

6.5      BANK GUARANTEE COMMISSION AND FRONTING FEES

         6.5.1    Commission in respect of all Bank Indemnities shall:

                                      -48-

<PAGE>

                  (a)      accrue from day to day on an amount equal to the
                           aggregate Original Euro Amount of all Bank Guarantees
                           at a rate per annum equal to the Margin in respect of
                           the Revolving Credit Facility;

                  (b)      be calculated on the basis of actual days elapsed and
                           a 360 day year (or such number of days as is market
                           practice for the relevant currency); and

                  (c)      be paid by the relevant Borrower to the Facility
                           Agent for the account of the Banks (pro rata to their
                           Revolving Credit Commitments) in arrear at the end of
                           each successive period of 3 months, beginning on the
                           Issue Date of the first Bank Guarantee issued by the
                           Issuing Bank.

         6.5.2    Dynea shall pay a fronting fee to the Issuing Bank in
                  accordance with the Fees Letter.

6.6      CALCULATION AND PAYMENT OF INTEREST

         6.6.1    At the beginning of each Interest Period, the Facility Agent
                  shall notify the Banks and the relevant Borrower of the
                  duration of the Interest Period and the rate and amount of
                  interest payable for the Interest Period (but in the case of
                  any default interest calculated under Clause 6.4 (Default
                  Interest), any such notification need not be made more
                  frequently than weekly). Each notification shall set out in
                  reasonable detail the basis of computation of the amount of
                  interest payable.

         6.6.2    Interest due from a Borrower under this Agreement shall:

                  (a)      accrue from day to day at the rate calculated under
                           this Clause 6 (Interest);

                  (b)      except as otherwise provided in this Agreement, be
                           paid by the relevant Borrower to the Facility Agent
                           (for the account of the relevant Banks or the
                           Facility Agent, as the case may be) in arrear on the
                           last day of each Interest Period, PROVIDED THAT for
                           any Interest Period which is for longer than 6
                           months, the relevant Borrower shall also pay interest
                           6 monthly in arrear during that Interest Period;

                  (c)      be calculated on the basis of the actual number of
                           days elapsed and a 360 day year or, if different,
                           such number of days as is market practice for the
                           relevant currency; and

                  (d)      be payable both before and after judgment.

6.7      FACILITY AGENT'S DETERMINATION

         The determination by the Facility Agent of any interest payable under
         this Clause 6 (Interest) shall be conclusive and binding on the
         Borrowers except for any manifest error.

                                      -49-

<PAGE>

7.       REPAYMENT, PREPAYMENT AND CANCELLATION

7.1      REPAYMENT OF TERM A LOAN

         The Term Loan Borrowers shall repay the Term A Loan by payment to the
         Facility Agent (for the account of the Banks) on each date set out in
         Column 1 below (each date being a "TERM A INSTALMENT REPAYMENT DATE")
         of an amount of each of Tranches A1 to A3 inclusive equal to the
         percentage of the Original Tranche A Amount (as defined below) set out
         in Column 2 below opposite the relevant Term A Instalment Repayment
         Date (so that the Term A Loan is repaid in full on or before the Final
         Repayment Date in relation to the Term A Loan Facility and with the
         aggregate amount payable on a Term A Instalment Repayment Date under
         this Clause 7.1 being herein referred to as a "TERM A INSTALMENT"):

<TABLE>
<CAPTION>
          COLUMN 1                      COLUMN 2
TERM A INSTALMENT REPAYMENT DATE           %
<S>                                     <C>
30 June 2001                              3.95
31 December 2001                          3.95
30 June 2002                              5.26
31 December 2002                          5.26
30 June 2003                              6.58
31 December 2003                          6.58
30 June 2004                              7.89
31 December 2004                          7.89
30 June 2005                              9.21
31 December 2005                          9.21
30 June 2006                             10.53
31 December 2006                         10.53
30 June 2007                             13.16
</TABLE>

         For the purposes of the above, in relation to a Tranche, the "ORIGINAL
         TRANCHE A AMOUNT" means the amount outstanding under such Tranche as at
         the end of the Term Commitment Period.

7.2      REPAYMENT OF TERM B LOAN

         The Term Loan Borrowers shall repay the Term B Loan by payment to the
         Facility Agent (for the account of the Banks) on each date set out in
         Column 1 below (each date being a "TERM B INSTALMENT REPAYMENT DATE")
         of an amount of each of Tranches B1 to B4 inclusive equal to the
         percentage of the Original Tranche B Amount (as defined below) set out
         in Column 2 below opposite the relevant Term B Instalment Repayment
         Date (so that the Term B Loan is repaid in full on or before the Final
         Repayment Date in relation to the Term B Loan Facility and with the
         aggregate amount payable on a Term B Instalment Repayment Date under
         this Clause 7.2 being herein referred to as a "TERM B INSTALMENT"):

<TABLE>
<CAPTION>
           COLUMN 1                  COLUMN 2
TERM B INSTALMENT REPAYMENT DATE         %
<S>                                  <C>
31 December 2007                           50
30 June 2008                               50
</TABLE>

                                      -50-

<PAGE>

         For the purposes of the above, in relation to a Tranche, the "ORIGINAL
         TRANCHE B AMOUNT" means the amount outstanding under such Tranche as at
         the end of the Term Commitment Period.

7.3      REPAYMENT OF TERM C LOAN

         Dynea shall repay the Term C Loan to the Facility Agent (for the
         account of the Banks) in full on the Final Repayment Date in relation
         to the Term C Loan Facility.

7.4      REPAYMENT OF REVOLVING ADVANCES

         7.4.1    Subject to sub-clause 7.4.3, each Revolving Advance shall be
                  repaid in full on the Interest Date of the Interest Period
                  relating to that Revolving Advance.

         7.4.2    Subject to the terms of this Agreement, any amounts repaid
                  under sub-clause 7.4.1 may be re borrowed.

         7.4.3    If all or part of an existing Revolving Advance made to a
                  Borrower is to be repaid from the proceeds of all or part of a
                  new Revolving Advance to be made to that Borrower and
                  denominated in the same currency as that existing Revolving
                  Advance, then, as between each Bank and that Borrower, the
                  amount to be repaid by that Borrower shall be set off against
                  the amount to be advanced by that Bank in relation to the new
                  Revolving Advance and the party to whom the smaller amount is
                  to be paid shall pay to the other party a sum equal to the
                  difference between the two amounts.

7.5      NO RE-BORROWING OF TERM A LOAN, TERM B LOAN OR TERM C LOAN

         Any amount repaid or prepaid in relation to the Term A Loan, the Term B
         Loan or the Term C Loan as the case may be, may not be re borrowed and
         shall reduce rateably each Bank's Term A Loan Commitment, Term B Loan
         Commitment or, as the case may be, the Term C Loan Commitment.

7.6      MANDATORY PREPAYMENT OF NET AVAILABLE PROCEEDS

         7.6.1    Dynea shall procure that the Net Available Proceeds of any
                  Disposal (other than those set out in sub-clauses 12.4.2(a) to
                  12.4.2(j) (inclusive), 12.4.2(n) and 12.4.2(o) of Clause 12.4
                  (Negative Undertakings) made by a Group Company is applied in
                  prepayment of the Facilities in accordance with Clause 7.10
                  (Application of Prepayments) PROVIDED THAT, while no Default
                  or Potential Default is continuing, the Net Available Proceeds
                  from Disposals falling within sub-clauses 12.4.2(h),
                  12.4.2(k), 12.4.2(m) and 12.4.2(p) of the said Clause 12.4
                  (Negative Undertakings) may be applied as follows:

                  (a)      the first Euro 15,000,000, in aggregate, of such Net
                           Available Proceeds may be paid to Issueco to be
                           applied in prepayment of the Issueco Bridging Loan;

                  (b)      the second Euro 15,000,000, in aggregate, of such Net
                           Available Proceeds shall be applied, to the extent
                           required, in accordance with the other terms of this
                           Agreement; and

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<PAGE>

                  (c)      to the extent they exceed Euro 30,000,000, in
                           aggregate, such Net Available Proceeds may be paid to
                           Issueco to be applied in prepayment of the Issueco
                           Bridging Loan,

                  where the aggregate amount paid under (i) and (iii) above does
                  not exceed the Issueco Bridging Loan Amount.

         7.6.2    Dynea undertakes to procure that in relation to a Disposal by
                  a Group Company outside the United Kingdom to which sub-clause
                  7.6.1 applies such Group Company takes all steps that are
                  reasonably open to it (and which may be taken without
                  incurring costs which in the reasonable opinion of the
                  Majority Banks are excessive) to obtain any exchange control
                  clearance or other consents, permits, authorisations or
                  licences which are required to enable the Net Cash Proceeds of
                  such Disposal to be repatriated to Dynea or such other steps
                  to make the Net Cash Proceeds available to Dynea as the
                  Majority Banks may reasonably require.

7.7      MANDATORY PREPAYMENT OF SURPLUS CASH

         Dynea shall procure that, on or before the first Interest Date relating
         to a Term Advance that immediately follows the expiry of the period of
         120 days after the end of each Financial Year of Dynea, an amount equal
         to 70 per cent. of the Surplus Cash for that Financial Year shall be
         applied in prepayment of the Facilities in accordance with Clause 7.10
         (Application of Prepayments).

7.8      MANDATORY PREPAYMENT OF INSURANCE PROCEEDS

         Dynea shall procure that an amount equal to any Insurance Proceeds
         which are in aggregate in excess of Euro 200,000 received by any Group
         Company (other than any such proceeds received in respect of any of the
         Explosives Subsidiaries which are required to be paid by the relevant
         Group Companies to such Explosives Subsidiaries pursuant to the Dyno
         Explosives Sale Agreement) shall, to the extent (a) the same are not
         applied in reinstatement of the asset or payment of a third party
         liability in respect of which they were received within 6 months of
         being received, be applied in prepayment of the Facilities in
         accordance with Clause 7.10 (Application of Prepayments) and (b)
         pending any such reinstatement or payment, such Insurance Proceeds are
         credited to a bank account held with the Facility Agent (which at the
         request of the Facility Agent shall be charged to the Security Trustee
         on terms reasonably satisfactory to the Security Trustee).

7.9      MANDATORY PREPAYMENT OF VENDOR PAYMENTS

         7.9.1    Subject to sub-clause 7.9.2, Dynea shall procure that an
                  amount equal to each amount (each a "VENDOR PAYMENT") received
                  by a Group Company from any of the vendors under the Dynea
                  Acquisition Agreement net of any reasonable costs and expenses
                  of recovery and any Tax payable by a Group Company in respect
                  of such Vendor Payment in excess of, in any Financial Year of
                  Dynea, Euro 100,000 shall be applied in prepayment of the
                  Facilities in accordance with Clause 7.10 (Application of
                  Prepayments).

         7.9.2    In respect of a Vendor Payment, Dynea shall not be required to
                  make the prepayment under sub-clause 7.9.1 where the Vendor
                  Payment is applied within

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<PAGE>

                  6 months of its receipt by a Group Company to make good or
                  purchase an asset to replace directly the asset or to pay the
                  liabilities, in respect of which the Vendor Payment was
                  received or to compensate the relevant Group Company for a
                  cash loss and where pending such application, such Vendor
                  Payment is credited to a bank account held with the Facility
                  Agent (which at the request of the Facility Agent shall be
                  charged to the Security Trustee on terms reasonably
                  satisfactory to the Security Trustee).

7.10     APPLICATION OF PREPAYMENTS

         7.10.1   Any amount to be applied in prepayment pursuant to Clause 7.6
                  (Mandatory Prepayment of Net Available Proceeds), 7.7
                  (Mandatory Prepayment of Surplus Cash), 7.8 (Mandatory
                  Prepayment of Insurance Proceeds), 7.9 (Mandatory Prepayment
                  of Vendor Payments) or sub-clause 7.11.2 of Clause 7.11 (Net
                  Cash Proceeds of the Polyester Business) shall be applied
                  against all unpaid Term A Instalments, Term B Instalments, the
                  Term C Loan and as against the Tranches, pro rata.

         7.10.2   Any amount to be applied in prepayment in accordance with this
                  Clause 7.10 shall, unless Dynea requests the same to be so
                  applied at an earlier date, be so applied on the immediately
                  succeeding Interest Dates relating to the Facility which is to
                  be prepaid. Pending any such prepayment, the relevant amount
                  shall be credited to a bank account (a "PROCEEDS ACCOUNT")
                  held with the Facility Agent (which at the request of the
                  Facility Agent shall be charged to the Security Trustee on
                  terms satisfactory to the Security Trustee acting reasonably).
                  The Facility Agent is hereby authorised to apply amounts
                  standing to the credit of a Proceeds Account in making the
                  relevant prepayments on the relevant Interest Dates.

7.11     NET CASH PROCEEDS OF THE POLYESTER BUSINESS

         7.11.1   As at 30 April 2001 the Net Cash Proceeds from the Disposal of
                  the Polyester Business have been paid to the credit of a bank
                  account (the "POLYESTER BUSINESS PROCEEDS ACCOUNT") in the
                  name of Dynea Asset Disposal account held with the Facility
                  Agent.

         7.11.2   Notwithstanding any other term of this Agreement, amounts from
                  the Polyester Business Proceeds Account shall only be
                  withdrawn for the purposes of prepayment of the Facilities in
                  accordance with Clause 7.10 (Application of Prepayments).

         7.11.3   The Facility Agent is hereby authorised to withdraw amounts
                  standing to the credit of the Polyester Business Proceeds
                  Account for the purposes of making the payments referred to
                  above.

7.12     MANDATORY PREPAYMENT ON SALE, LISTING OR CHANGE OF CONTROL

         7.12.1   Notwithstanding the other provisions of this Clause 7, on any
                  date on which a Sale, a Listing or a Change of Control occurs
                  (each a "PREPAYMENT DATE"):

                  (a)      all Advances shall be repaid in full; and

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<PAGE>

                  (b)      the Banks' obligations under this Agreement shall be
                           terminated and each Bank's Commitments shall be
                           cancelled.

         7.12.2   On a Prepayment Date, each Borrower shall in respect of each
                  Bank Guarantee issued on its behalf:

                  (a)      use its reasonable endeavours to procure the release
                           of the Issuing Bank from each such Bank Guarantee;
                           and

                  (b)      without prejudice to sub-clause 7.12.2(a), either (i)
                           pay to the credit of such account as the Issuing Bank
                           shall stipulate an amount equal to the Guaranteed
                           Amount of each Bank Guarantee which is not released
                           on or before the Prepayment Date and charge such
                           account in favour of the Issuing Bank in such manner
                           and on such terms as the Issuing Bank may stipulate
                           or (ii) provide to the Issuing Bank a
                           counter-indemnity in respect of such Bank Guarantee
                           from a bank acceptable to the Issuing Bank.

         7.12.3   Dynea shall use all reasonable endeavours to give the Facility
                  Agent at least 30 days' prior notice of the date upon which a
                  Sale, Listing or a Change of Control is proposed to occur.

7.13     VOLUNTARY PREPAYMENT OF ADVANCES

         7.13.1   A Borrower may, by giving the Facility Agent not less than 10
                  Business Days' prior notice, prepay the whole or part (but if
                  in part, in a minimum amount of Euro 3,000,000 and an integral
                  multiple of Euro 1,000,000 of the Term Loan Facilities or a
                  Revolving Advance.

         7.13.2   Any notice of prepayment shall be irrevocable, shall specify
                  the date on which the prepayment is to be made and the amount
                  of the prepayment, and shall oblige the relevant Borrower to
                  make that prepayment. The Facility Agent shall promptly notify
                  the Banks (other than, prior to the Senior Discharge Date, the
                  Term D Lender) of receipt of any such notice.

         7.13.3   Each prepayment of the Term Loans under this Clause 7.13 shall
                  be applied against all unpaid Term A Instalments, Term B
                  Instalments, the Term C Loan pro rata and as against the
                  Tranches, pro rata.

7.14     INTEREST AND BROKEN FUNDING

         Any prepayment shall be made together with accrued interest on the
         amount prepaid and any amounts payable under Clause 22.1 (Breakage
         Costs Indemnity).

7.15     CANCELLATION OF FACILITIES

         7.15.1   Dynea may, by giving the Facility Agent not less than 5
                  Business Days' prior notice, cancel all or part of any undrawn
                  Term Loan Facility or the Available Revolving Credit Facility
                  (but if, in each case, in part, in a minimum amount of Euro
                  3,000,000 and an integral multiple of Euro 1,000,000).

         7.15.2   Any notice of cancellation shall be irrevocable and shall
                  specify the date on which the cancellation shall take effect
                  and the amount of the cancellation. The

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<PAGE>

                  Facility Agent shall promptly notify the Banks (other than,
                  prior to the Senior Discharge Date, the Term D Lender) of
                  receipt of any such notice.

         7.15.3   The Borrowers may not utilise any part of the Term Loan
                  Facility or the Revolving Credit Facility which has been
                  cancelled. Any cancellation of the Term Loan Facility or the
                  Revolving Credit Facility shall reduce each Bank's Term A Loan
                  Commitment, Term B Loan Commitment, Term C Loan Commitment, or
                  as the case may be, the Revolving Credit Commitment rateably,
                  and shall reduce the aggregate maximum amount of the relevant
                  Term Loan Facility or, as the case may be, Revolving Credit
                  Facility Limit by the aggregate amount so cancelled.

         7.15.4   Dynea may not cancel all or part of the Term Loan Facilities
                  or the Revolving Credit Facility except as expressly provided
                  in this Agreement.

7.16     OILFIELD CHEMICALS TAX PREPAYMENTS

         It is hereby agreed that until such date (the "RELEVANT DATE") the
         Group has paid all Taxes payable in respect of the Disposal of the
         Oilfield Chemicals Business, Dynea shall procure that in each 3 month
         period ending on a Quarter Date, the Original Euro Amount of all
         Revolving Advances and Bank Guarantees shall not exceed an amount equal
         to the aggregate of Euro 100,000,000 less the unpaid amount of such
         Taxes (up to a maximum amount of Euro 15,000,000 in respect of such
         unpaid Taxes) for a period of at least 10 successive Business Days. It
         is also agreed that in the event that if on the Relevant Date the
         aggregate amount of the said Taxes which has been paid by the Group is
         less than Euro 14,000,000 and the Net Cash Proceeds of the said
         Disposal (computed on the basis of the actual amount of the said Taxes
         which is paid) exceeds EUR 60,000,000, then an amount equal to the
         amount by which such Net Cash Proceeds (as so computed) exceeds the
         aggregate of (i) EUR 60,000,000 and (ii) the amount of any prepayment
         of the Term A Loan Facility, the Term B Loan Facility and the Term C
         Loan Facility made in connection with the Auditors' certification of
         the said Taxes pursuant to the letter dated on or about 11 February
         2003 addressed by the Facility Agent to Dynea shall, on the Relevant
         Date, be applied to prepayment of the Term A Loan Facility, the Term B
         Loan Facility and the Term C Loan Facility in accordance with the order
         of application set out in Clause 7.10 (Application of prepayments).

8.       CHANGES IN CIRCUMSTANCES

8.1      ILLEGALITY

         8.1.1    If it is or becomes illegal for a Bank to maintain all or part
                  of its Commitment or to continue to make available or fund or
                  maintain its Participation in all or any part of the
                  Facilities, then:

                  (a)      that Bank shall notify the Facility Agent and Dynea;
                           and

                  (b)

                           (i)      the Commitment of that Bank shall be
                                    cancelled immediately; and

                           (ii)     the Borrowers shall:

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<PAGE>

                           (1)      prepay to the Facility Agent (for the
                                    account of that Bank) that Bank's
                                    Participation in all Advances (together with
                                    accrued interest on the amount prepaid and
                                    all other amounts owing to that Bank under
                                    this Agreement) within 5 Business Days of
                                    demand by that Bank (or, if longer and if
                                    permitted by the relevant law, on the last
                                    day prior to such illegality taking effect);
                                    and

                           (2)      within 5 Business Days of demand by that
                                    Bank or the Facility Agent (or, if longer
                                    and if permitted by the relevant law, on the
                                    last day prior to such illegality taking
                                    effect), pay to one or more accounts
                                    nominated by the Facility Agent amounts in
                                    the relevant currencies equal, in aggregate,
                                    to that Bank's actual and contingent
                                    liabilities under its Bank Indemnity and
                                    shall charge such accounts to the Facility
                                    Agent on terms satisfactory to the Facility
                                    Agent and the Issuing Bank in each case
                                    acting reasonably.

         8.1.2    If it is or becomes illegal for the Issuing Bank to issue or
                  leave outstanding any Bank Guarantee, the Revolving Credit
                  Facility shall cease to be available for the issue of Bank
                  Guarantees and the Borrowers shall use their best endeavours
                  to procure the release of each Bank Guarantee outstanding at
                  such time.

8.2      INCREASED COSTS

         8.2.1    If, after the date of this Agreement, a Change occurs which
                  causes an Increased Cost (as defined in sub-clause 8.2.3) to a
                  Bank (or any company of which that Bank is a Subsidiary) then
                  each Borrower shall pay (as additional interest) to the
                  Facility Agent (for the account of that Bank) within 5
                  Business Days of demand all amounts which that Bank certifies
                  to be necessary to compensate that Bank (or any company of
                  which that Bank is a Subsidiary) for the Increased Cost.

         8.2.2    Any demand made under sub-clause 8.2.1 shall be made by the
                  relevant Bank through the Facility Agent and shall set out in
                  reasonable detail so far as is practicable the basis of
                  computation of the Increased Cost.

         8.2.3    In this Clause 8.2:

                  "INCREASED COST" means any cost to, or reduction in the amount
                  payable to, or reduction in the return on capital or
                  regulatory capital achieved by, a Bank (or any company of
                  which that Bank is a Subsidiary) to the extent that it arises,
                  directly or indirectly, as a result of the Change and is
                  attributable to the Commitment of that Bank or its
                  Participation in the Facilities or the funding of that Bank's
                  Participation in any Advance including:

                  (a)      any Tax Liability (other than Tax on Overall Net
                           Income) incurred by that Bank;

                                      -56-

<PAGE>

                  (b)      any changes in the basis or timing of Taxation of
                           that Bank in relation to its Commitment or
                           Participation in the Facilities or to the funding of
                           that Bank's Participation in any Advance;

                  (c)      the cost to that Bank (or any company of which that
                           Bank is a Subsidiary) of complying with, or the
                           reduction in the amount payable to or reduction in
                           the return on capital or regulatory capital achieved
                           by that Bank (or any company of which that Bank is a
                           Subsidiary) as a result of complying with, any
                           capital adequacy or similar requirements howsoever
                           arising, including as a result of an increase in the
                           amount of capital to be allocated to any Facility or
                           of a change to the weighting of that Bank's
                           Commitment or Participation in any Facility;

                  (d)      the cost to that Bank of complying with any reserve,
                           cash ratio, special deposit or liquidity requirements
                           (or any other similar requirements); and

                  (e)      the amount of any fees payable by that Bank to any
                           supervisory or regulatory authority.

                  "TAX LIABILITY" means, in respect of any person:

                  (i)      any liability or any increase in the liability of
                           that person to make any payment of or in respect of
                           Tax;

                  (ii)     the loss of any relief, allowance, deduction or
                           credit in respect of Tax which would otherwise have
                           been available to that person;

                  (iii)    the setting off against income, profits or gains or
                           against any Tax liability of any relief, allowance,
                           deduction or credit in respect of Tax which would
                           otherwise have been available to that person; and

                  (iv)     the loss or setting off against any Tax liability of
                           a right to repayment of Tax which would otherwise
                           have been available to that person.

                  For the purposes of this definition of "Tax Liability", any
                  question of whether or not any relief, allowance, deduction,
                  credit or right to repayment of Tax has been lost or set off,
                  and if so, the date on which that loss or set off took place,
                  shall be conclusively determined by the relevant person.

                  "TAX ON OVERALL NET INCOME" means, in relation to a Bank, Tax
                  (other than Tax deducted or withheld from any payment) imposed
                  on the net profits of that Bank by the jurisdiction in which
                  its Lending Office or its head office is situated.

         8.2.4    The Borrowers shall not be obliged to make a payment in
                  respect of an Increased Cost under this Clause 8.2:

                  (a)      if and to the extent that the Increased Cost has been
                           compensated for by the payment of the Additional Cost
                           Rate or the operation of Clause 9.9 (Grossing-Up);

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                  (b)      if and to the extent that the Increased Cost is the
                           result of the negligence or wilful default of the
                           relevant Bank in complying with any law or
                           regulation;

                  (c)      if and to the extent that the Increased Cost arises
                           as a direct result of a failure by the relevant Bank
                           to file any relevant tax form or to provide any
                           statements which have been reasonably requested by
                           the relevant authorities within a reasonable time
                           following a Change and which is within the control of
                           such Bank to file or provide, as the case may be; or

                  (d)      if and to the extent that the Increased Cost is
                           compensated for under any other provision of this
                           Agreement.

         8.2.5    If the Borrowers are required to pay any amount to a Bank
                  under this Clause 8.2, then, without prejudice to that
                  obligation and so long as the circumstances giving rise to the
                  relevant Increased Cost are continuing and subject to Dynea
                  giving the Facility Agent and that Bank not less than 5 days'
                  prior notice (which shall be irrevocable), the Borrowers may
                  (a) prepay all, but not part, of that Bank's Participation in
                  the Advances together with accrued interest on the amount
                  prepaid and (b) pay to one or more accounts nominated by the
                  Facility Agent amounts in the relevant currencies equal, in
                  aggregate, to that Bank's actual and contingent liabilities
                  under its Bank Indemnity and shall charge such accounts in
                  favour of the Facility Agent on terms satisfactory to the
                  Facility Agent and the Issuing Bank. Any such prepayment shall
                  be subject to Clause 22.1 (Breakage Costs Indemnity). On any
                  such prepayment the Commitment of the relevant Bank shall be
                  automatically cancelled.

8.3      MARKET DISRUPTION

         8.3.1    If, in relation to an Advance and a particular Interest
                  Period:

                  (a)      the Facility Agent determines that, because of
                           circumstances affecting the London interbank market
                           generally, reasonable and adequate means do not exist
                           for ascertaining LIBOR for that Advance for that
                           Interest Period; or

                  (b)      the Facility Agent has been notified by a group of
                           Banks whose Term A Loan Commitments, Term B Loan
                           Commitments, Term C Loan Commitments, Term D Loan
                           Commitments or, as the case may be, Revolving Credit
                           Commitments together exceed 33 per cent. of the Total
                           Term A Loan Commitments, Total Term B Loan
                           Commitments, Total Term C Loan Commitments, Total
                           Term D Loan Commitments or, as the case may be, Total
                           Revolving Credit Commitments that in their opinion:

                           (i)      matching deposits may not be available to
                                    them in the London interbank market in the
                                    ordinary course of business to fund their
                                    Participations in that Advance for that
                                    Interest Period; or

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                           (ii)     the cost to them of obtaining matching
                                    deposits in the London interbank market
                                    would be in excess of LIBOR for that
                                    Interest Period,

                  the Facility Agent shall promptly notify Dynea and the Banks
                  of that event but in any event by no later than 9.00 a.m. on
                  the first Business Day before the commencement of the relevant
                  Interest Period (such notice being a "MARKET DISRUPTION
                  NOTICE").

         8.3.2    If a Market Disruption Notice applies to a proposed Advance,
                  that Advance shall not be made. Instead, the Facility Agent
                  and Dynea shall immediately enter into negotiations for a
                  period of not more than 30 days with a view to agreeing a
                  substitute basis for calculating the interest rate for the
                  Advance or for funding the Advance (whether in Euros or
                  another currency). Any substitute basis agreed by the Facility
                  Agent (with the consent of all the Banks) and Dynea shall take
                  effect in accordance with its terms and be binding on all the
                  Parties.

         8.3.3    If a Market Disruption Notice applies to an outstanding Term
                  Advance, then:

                  (a)      the Facility Agent and Dynea shall immediately enter
                           into negotiations for a period of not more that 30
                           days with a view to agreeing a substitute basis for
                           calculating the rate of interest for the Advance or
                           for funding the Advance;

                  (b)      any substitute basis agreed under sub-clause 8.3.3(a)
                           by the Facility Agent (with the consent of all the
                           Banks) and Dynea shall take effect in accordance with
                           its terms and be binding on all the Parties;

                  (c)      if no substitute basis is agreed under sub-clause
                           8.3.3(a), then, subject to sub-clause 8.3.4, each
                           Bank shall (through the Facility Agent) certify
                           before the last day of the Interest Period to which
                           the Market Disruption Notice relates a substitute
                           basis for maintaining its Participation in the
                           Advance which shall reflect the cost to the Bank of
                           funding its Participation in the Advance from
                           whatever sources it reasonably selects plus the Cash
                           Margin and (if applicable) Additional Cost Rate; and

                  (d)      each substitute basis so certified shall be binding
                           on the relevant Borrower and the certifying Bank and
                           treated as part of this Agreement.

         8.3.4    If no substitute basis is agreed under sub-clause 8.3.3(a),
                  then, so long as the circumstances giving rise to the Market
                  Disruption Notice continue and subject to Dynea giving the
                  Facility Agent and the Banks not less than 5 days' prior
                  notice (which shall be irrevocable), the relevant Borrower may
                  prepay the Advance to which the Market Disruption Notice
                  applies together with accrued interest on the amount prepaid.
                  Any such prepayment shall be subject to Clause 22.1 (Breakage
                  Costs Indemnity).

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8.4      MITIGATION

         If any circumstances arise in respect of any Bank which would, or upon
         the giving of notice would, result in the operation of Clause 8.1
         (Illegality), 8.2 (Increased Costs), 8.3 (Market Disruption) or 9.9
         (Grossing-Up) to the detriment of any Borrower, then that Bank shall:

         8.4.1    promptly upon becoming aware of those circumstances and their
                  results, notify the Facility Agent and Dynea; and

         8.4.2    in consultation with the Facility Agent and Dynea, take all
                  such steps as it determines are reasonably open to it to
                  mitigate the effects of those circumstances (including
                  changing its Lending Office or consulting with Dynea with a
                  view to transferring some or all of its rights and obligations
                  under this Agreement to another bank or other financial
                  institution acceptable to Dynea) in a manner which will avoid
                  the circumstances in question and on terms acceptable to the
                  Facility Agent, Dynea and that Bank,

                  PROVIDED THAT no Bank shall be obliged to take any steps which
                  in its reasonable opinion would or might have an adverse
                  effect on its business or financial condition or the
                  management of its Tax affairs or cause it to incur any
                  material costs or expenses except to the extent that such Bank
                  is indemnified and secured for such costs and expenses to its
                  reasonable satisfaction.

         8.4.3    Nothing in this Clause 8.4 shall limit, reduce, affect or
                  otherwise qualify the rights of any Bank or the obligations of
                  the Borrowers under Clause 8.1 (Illegality), 8.2 (Increased
                  Costs), 8.3 (Market Disruption) or 9.9 (Grossing-Up).

8.5      CERTIFICATES

         The certificate or notification of the Facility Agent or, as the case
         may be, the relevant Bank as to any of the matters referred to in this
         Clause 8 shall be in reasonable detail and shall be conclusive and
         binding on the Borrowers except for any manifest error.

9.       PAYMENTS

9.1      PLACE AND TIME

         All payments by a Borrower or a Bank under this Agreement shall be made
         to the Facility Agent to its account at such office or bank at such
         time as the Facility Agent may notify the Borrowers or the Banks for
         this purpose.

9.2      FUNDS

         All payments to the Facility Agent under this Agreement shall be made
         for value on the due date in freely transferable and readily available
         funds.

9.3      DISTRIBUTION

         9.3.1    Each payment received by the Facility Agent under this
                  Agreement for another Party shall, subject to sub-clauses
                  9.3.2 and 9.3.3, be made available by the Facility Agent to
                  that Party by payment (on the date (being, in the case of
                  Euros, a TARGET Day) and in the currency and funds of receipt)
                  to its account with such office or bank in the principal
                  financial centre of the country of the

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<PAGE>

                  relevant currency as it may notify to the Facility Agent for
                  this purpose by not less than 5 Business Days' prior notice.

         9.3.2    The Facility Agent may apply any amount received by it for a
                  Borrower in or towards payment (on the date and in the
                  currency and funds of receipt) of any amount due from that
                  Borrower under this Agreement or in or towards the purchase of
                  any amount of any currency to be so applied.

         9.3.3    Where a sum is to be paid to the Facility Agent under this
                  Agreement for another Party, the Facility Agent is not obliged
                  to pay that sum to that Party until it has established that it
                  has actually received that sum. The Facility Agent may,
                  however, assume that the sum has been paid to it in accordance
                  with this Agreement, and, in reliance on that assumption, make
                  available to that Party a corresponding amount. If the sum has
                  not been made available but the Facility Agent has paid a
                  corresponding amount to another Party, that Party shall
                  immediately on demand by the Facility Agent refund the
                  corresponding amount together with interest on that amount
                  from the date of payment to the date of receipt, calculated at
                  a rate determined by the Facility Agent to reflect its cost of
                  funds.

         9.3.4    Notwithstanding the provisions of this Clause 9.3, the
                  Facility Agent shall not be liable to any Borrower or any Bank
                  for the failure, or the consequences of any failure, of any
                  Euro cross-border payment system to effect same-day settlement
                  to an account of any Borrower or any Bank.

9.4      BUSINESS DAYS

         If a payment under this Agreement is due on a day which is not a
         Business Day, the due date for that payment shall instead be the next
         Business Day in the same calendar month (if there is one) or the
         preceding Business Day (if there is not).

9.5      CURRENCY

         In this Agreement, subject to any EMU Legislation:

         9.5.1    all payments by a Borrower in respect of an Advance, whether
                  of interest or principal, shall be made in the currency (or
                  the denomination of the currency) in which that Advance is
                  denominated;

         9.5.2    all payments relating to costs, losses, expenses or Taxes
                  shall be made in the currency in which the relevant costs,
                  losses, expenses or Taxes were incurred; and

         9.5.3    any other amount payable under this Agreement shall, except as
                  otherwise provided, be made in Euros.

9.6      ACCOUNTS AS EVIDENCE

         Each Bank shall maintain in accordance with its usual practice an
         account which shall, as between the Borrowers and that Bank, be prima
         facie evidence of the amounts from time to time advanced by, owing to,
         paid and repaid to that Bank under this Agreement.

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9.7      PARTIAL PAYMENTS

         9.7.1    If the Facility Agent receives a payment insufficient to
                  discharge all the amounts then due and payable by a Borrower
                  under this Agreement, the Facility Agent shall apply that
                  payment towards the obligations of that Borrower in the
                  following order:

                  (a)      first, in or towards payment of any unpaid costs and
                           expenses of the Agents under this Agreement;

                  (b)      second, in or towards payment pro rata of any accrued
                           interest due by that Borrower but unpaid under this
                           Agreement;

                  (c)      third, in or towards payment pro rata of any
                           principal due by that Borrower but unpaid under this
                           Agreement; and

                  (d)      fourth, in or towards payment pro rata of any other
                           sum due by that Borrower but unpaid under the
                           Financing Documents.

         9.7.2    The Facility Agent shall, if so directed by all the Banks,
                  vary the order set out in sub-clauses 9.7.1(b) to 9.7.1(d).

         9.7.3    Sub-clauses 9.7.1 and 9.7.2 shall override any appropriation
                  made by any Borrower.

9.8      SET-OFF AND COUNTERCLAIM

         All payments by any Borrower under this Agreement shall be made without
         set off or counterclaim.

9.9      GROSSING-UP

         9.9.1    Subject to sub-clause 9.9.2, all sums payable to either Agent,
                  the Issuing Bank or any Bank pursuant to or in connection with
                  any Financing Document shall be paid in full free and clear of
                  all deductions or withholdings whatsoever except only as may
                  be required by law.

         9.9.2    If any deduction or withholding is required by law in respect
                  of any payment due from a Borrower to either Agent, the
                  Issuing Bank or any Bank pursuant to or in connection with any
                  Financing Document, that Borrower shall:

                  (a)      ensure or procure that the deduction or withholding
                           is made and that it does not exceed the minimum legal
                           requirement therefor;

                  (b)      pay, or procure the payment of, the full amount
                           deducted or withheld to the relevant Taxation or
                           other authority in accordance with the applicable
                           law;

                  (c)      (unless and to the extent the deduction or
                           withholding arises as a direct result of the gross
                           negligence or wilful default of the relevant Agent,
                           the Issuing Bank or, as the case may be, such a Bank
                           (the "PAYEE") or the failure of the Payee to comply
                           with the relevant law or as a direct result of a
                           failure of the Payee to file any relevant tax form or
                           to provide any statements which have been reasonably
                           requested by the relevant tax

                                      -62-

<PAGE>

                           authorities within a reasonable time following a
                           Change and which is within the control of the Payee
                           to file or provide, as the case may be) increase the
                           payment in respect of which the deduction or
                           withholding is required so that the net amount
                           received by the Payee after the deduction or
                           withholding (and after taking account of any further
                           deduction or withholding which is required to be made
                           as a consequence of the increase) shall be equal to
                           the amount which the payee would have been entitled
                           to receive in the absence of any requirement to make
                           any deduction or withholding; and

                  (d)      promptly deliver or procure the delivery to the Payee
                           of receipts evidencing each deduction or withholding
                           which has been made.

         9.9.3    If either Agent is obliged to make any deduction or
                  withholding from any payment to any Bank (an "AGENCY PAYMENT")
                  which represents an amount or amounts received by that Agent
                  from a Borrower under any Financing Document, that Borrower
                  shall pay directly to that Bank such sum (an "AGENCY
                  COMPENSATING SUM") as shall, after taking into account any
                  deduction or withholding which that Borrower is obliged to
                  make from the Agency Compensating Sum, enable that Bank to
                  receive, on the due date for payment of the Agency Payment, an
                  amount equal to the Agency Payment which that Bank would have
                  received in the absence of any obligation to make any
                  deduction or withholding.

         9.9.4    If any Bank determines, in its absolute discretion, that it
                  has received, realised, utilised and retained a Tax benefit by
                  reason of any deduction or withholding in respect of which a
                  Borrower has made an increased payment or paid an Agency
                  Compensating Sum under this Clause 9.9, that Bank shall,
                  PROVIDED THAT the Agents, the Issuing Bank and each Bank have
                  received all amounts which are then due and payable by the
                  obligors under any Financing Document, pay to that Borrower
                  (to the extent that that Bank can do so without prejudicing
                  the amount of the benefit or repayment and the right of that
                  Bank to obtain any other benefit, relief or allowance which
                  may be available to it) such amount, if any, as that Bank, in
                  its absolute discretion acting in good faith shall determine,
                  will leave that Bank in no worse position than it would have
                  been in if the deduction or withholding had not been required,
                  PROVIDED THAT:

                  (a)      each Bank shall have an absolute discretion as to the
                           time at which and the order and manner in which it
                           realises or utilises any Tax benefit and shall not be
                           obliged to arrange its business or its Tax affairs in
                           any particular way in order to be eligible for any
                           credit or refund or similar benefit;

                  (b)      no Bank shall be obliged to disclose any information
                           regarding its business, Tax affairs or Tax
                           computations;

                  (c)      if a Bank has made a payment to a Borrower pursuant
                           to this sub-clause 9.9.4 on account of any Tax
                           benefit and it subsequently transpires that that Bank
                           did not receive that Tax benefit, or received a
                           lesser Tax benefit, that Borrower shall, on demand,
                           pay to that Bank such sum as that Bank

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<PAGE>

                           may determine as being necessary to restore its
                           after-tax position to that which it would have been
                           had no adjustment under this sub-clause 9.9.4 been
                           made. Any sums payable by a Borrower to a Bank under
                           this sub-clause 9.9.4 shall be subject to Clause 17.6
                           (Indemnity Payments).

         9.9.5    No Bank shall be obliged to make any payment under sub-clause
                  9.9.4 if, by doing so, it would contravene the terms of any
                  applicable law or any notice, direction or requirement of any
                  governmental or regulatory authority (whether or not having
                  the force of law).

         9.9.6    If a Borrower is required to make an increased payment for the
                  account of a Bank under sub-clause 9.9.2, then, without
                  prejudice to that obligation and so long as such requirement
                  exists and subject to Dynea giving the Facility Agent and that
                  Bank not less than 5 days' prior notice (which shall be
                  irrevocable), the Borrowers may (a) prepay all, but not part,
                  of that Bank's Participation in the Advances together with
                  accrued interest on the amount prepaid and (b) pay to one or
                  more accounts nominated by the Facility Agent amounts in the
                  relevant currencies equal, in aggregate, to that Bank's actual
                  and contingent liabilities under its Bank Indemnity and shall
                  charge such accounts in favour of the Facility Agent on terms
                  satisfactory to the Facility Agent acting reasonably. Any such
                  prepayment shall be subject to Clause 22.1 (Breakage Costs
                  Indemnity). On any such prepayment the Commitment of the
                  relevant Bank shall be automatically cancelled.

10.      SECURITY

10.1     SECURITY DOCUMENTS

         The obligations and liabilities of the Borrowers to the Agents, the
         Issuing Bank and each Bank under the Financing Documents shall be
         secured by the interests and rights granted in favour of the Security
         Trustee in its capacity as trustee and, for the purposes of the laws of
         Austria, Belgium, Finland, France, The Netherlands, Norway, as agent
         for itself, the Facility Agent, the Issuing Bank, the Lead Arranger and
         the Banks under the Security Documents.

10.2     EXECUTION OF SECURITY DOCUMENTS BY DYNO AND ITS SUBSIDIARIES

         Dynea undertakes to the Finance Parties that prior to the date which
         falls 45 days after the date of this Agreement, the Facility Agent and
         the Security Trustee shall have received all of the documents specified
         in Part II of Schedule 2 (Conditions Subsequent) unless the Facility
         Agent has waived the receipt of any such documents.

10.3     INTEREST RATE PROTECTION AGREEMENTS

         10.3.1   All obligations and liabilities of a Borrower to any Bank
                  under or in connection with any Interest Rate Protection
                  Agreement shall be treated, for all purposes (other than
                  Clauses 9.7 (Partial Payments) and 15.1 (Redistribution), as
                  obligations and liabilities incurred under this Agreement and,
                  for the avoidance of doubt, a Borrower's obligations and
                  liabilities under any Interest Rate Protection Agreement shall
                  be secured obligations and liabilities under the Security
                  Documents and for such purposes any reference in any Security

                                      -64-

<PAGE>

                  Document to a Bank shall be deemed to include that Bank as a
                  party to the relevant Interest Rate Protection Agreements.

         10.3.2   In respect of an Interest Rate Protection Agreement, the Bank
                  that is a party thereto may only exercise its rights to
                  terminate that Interest Rate Protection Agreement by reason of
                  an event of default (howsoever described) if:

                  (a)      such event of default relates to non-payment of any
                           amount under such Interest Rate Protection Agreement
                           by the Group Company that is party thereto; or

                  (b)      a resolution is passed, or a court order is made,
                           which would result in the bankruptcy, liquidation or
                           dissolution of such Group Company; or

                  (c)      a Default Notice has been served pursuant to Clause
                           13.2 (Acceleration, etc.).

10.4     RELEASE OF SECURITY ON DISPOSALS

         In respect of any Disposal made by a Group Company which falls within
         sub-clauses 12.4.2(a) to 12.4.2(o) of Clause 12.4 (Negative
         Undertakings), the Security Trustee shall (and is authorised by the
         Finance Parties so to do) on the completion of that Disposal release,
         at the cost and expense of Dynea, from the Security Documents, the
         assets which are the subject of that Disposal but, in relation to a
         Disposal which falls within sub-clause 12.4.2(b), only if the Security
         Trustee is reasonably satisfied that it will receive security over the
         asset purchased with the Net Cash Proceeds of the released asset
         equivalent to that which attached to the released asset immediately
         prior to its release from the Security Documents.

10.5     RELEASE OF SECURITY AT END OF SECURITY PERIOD

         Upon the termination of the Security Period the Security Trustee shall
         (and is authorised by the Finance Parties so to do) release at the cost
         and expense of the relevant Borrowers the Security Documents.

10.6     SALE OF DYNEA

         In the event that there is a sale or other disposal of the entire
         issued share capital of Dynea pursuant to enforcement action commenced
         by the Security Trustee under the terms of the Share Charge over the
         entire issued share capital of Dynea, on application of the proceeds of
         such disposal against amounts due hereunder, any amounts which are then
         due and unpaid hereunder shall be automatically discharged in full.

11.      REPRESENTATIONS AND WARRANTIES

11.1     REPRESENTATIONS AND WARRANTIES

         Dynea represents and warrants to each Finance Party (other than the
         Term D Lender) that:

         11.1.1   Status: each Group Company is a limited company duly
                  incorporated under the laws of the jurisdiction of its
                  incorporation, and it possesses the capacity to sue and be
                  sued in its own name and has the power to carry on its
                  business and to own its property and other assets;

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<PAGE>

         11.1.2   Powers and authority: each Group Company has power to execute,
                  deliver and perform its obligations under the Transaction
                  Documents and to carry out the transactions contemplated by
                  those documents and all necessary corporate, shareholder and
                  other action has been or will be taken to authorise the
                  execution, delivery and performance of the same;

         11.1.3   Binding obligations: subject to the Reservations, the
                  obligations of each Group Company under the Transaction
                  Documents constitute its legal, valid, binding and enforceable
                  obligations;

         11.1.4   Contraventions: the execution, delivery and performance by
                  each Group Company of the Transaction Documents does not:

                  (a)      contravene any applicable law or regulation or any
                           order of any governmental or other official
                           authority, body or agency or any judgment, order or
                           decree of any court having jurisdiction over it;

                  (b)      conflict with, or result in any breach of any of the
                           terms of, or constitute a default under, any
                           agreement or other instrument to which it is a party
                           or any licence or other authorisation to which it is
                           subject or by which it or any of its property is
                           bound; or

                  (c)      contravene or conflict with the provisions of its
                           constitutional documents;

         11.1.5   Insolvency: except as disclosed to the Facility Agent before
                  the date of this Agreement no Group Company has taken any
                  action nor have any steps been taken or legal proceedings been
                  started or, to the best of its information, knowledge and
                  belief, threatened against it for winding up, dissolution or
                  re organisation, the enforcement of any Encumbrance over its
                  assets or for the appointment of a receiver, administrative
                  receiver, or administrator, trustee or similar officer of it
                  or of any of its assets;

         11.1.6   No default: no Group Company is (nor would be with any of the
                  giving of notice, the lapse of time, the determination of
                  materiality, or the satisfaction of any other condition) in
                  breach of or in default under any agreement to which it is a
                  party or which is binding on it or any of its assets in a
                  manner or to an extent which could reasonably be expected to
                  have a Material Adverse Effect;

         11.1.7   Litigation: save as disclosed to the Facility Agent before the
                  date of this Agreement no action, litigation, arbitration or
                  administrative proceeding has been commenced, or, to the best
                  of Dynea's information, knowledge and belief, is pending or
                  threatened, against any Group Company which, if decided
                  adversely, could reasonably be expected to have a Material
                  Adverse Effect nor is there subsisting any unsatisfied
                  judgment or award given against any of them by any court,
                  arbitrator or other body;

         11.1.8   Accounts:

                  (a)      each of the latest Accounts of each Material Company
                           required to be delivered under sub-clause 12.2.1 of
                           Clause 12.2 (Information

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                           Undertakings) is prepared in accordance with IAS and
                           gives a true and fair view of the financial position
                           of the relevant company as at the date to which they
                           were prepared and for the Financial Year of that
                           company then ended; and

                  (b)      each of the latest set of Management Accounts
                           required to be delivered under sub-clause 12.2.2 of
                           Clause 12.2 (Information Undertakings) shows with
                           reasonable accuracy the financial position of the
                           Group during the period to which it relates;

         11.1.9   Encumbrances: no Encumbrance other than a Permitted
                  Encumbrance exists over all or any part of the assets of any
                  Group Company;

         11.1.10  No Encumbrances created: the execution of the Financing
                  Documents by the Charging Group Companies and the exercise of
                  each of their respective rights and the performance of each of
                  their respective obligations under the Financing Documents
                  will not result in the creation of, or any obligation to
                  create, any Encumbrance over or in respect of any of their
                  assets (other than under the Financing Documents);

         11.1.11  Authorisations: other than the giving of notice in respect of
                  contracts to be assigned), all authorisations, approvals,
                  licences, consents, filings, registrations, payment of duties
                  or taxes and notarisations required:

                  (a)      for the conduct of the business, trade and ordinary
                           activities of each Group Company except to the extent
                           that failure to make, pay or obtain the same would
                           not have a Material Adverse Effect;

                  (b)      for the performance and discharge of the obligations
                           of each Group Company under the Financing Documents
                           to which it is a party; and

                  (c)      in connection with the execution, delivery, validity,
                           enforceability or admissibility in evidence of the
                           Financing Documents,

                  are in full force and effect;

         11.1.12  Taxes: to the best of Dynea's information, knowledge and
                  belief, each Group Company has complied in all material
                  respects with all Taxation laws in all jurisdictions in which
                  it is subject to Taxation and has paid all Taxes due and
                  payable by it and no claims are being asserted against it in
                  respect of Taxes except for assessments in relation to the
                  ordinary course of its business or claims contested in good
                  faith and in respect of which adequate provision has been made
                  and disclosed in the latest Accounts or other information
                  delivered to the Facility Agent under this Agreement;

         11.1.13  Information Package: to the best of Dynea's information,
                  knowledge and belief to so far as it relates to Dynea and its
                  Subsidiaries and the chemicals business of Dyno and its
                  Subsidiaries:

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<PAGE>

                  (a)      the factual information contained in the Information
                           Package was, at the date of the relevant report or
                           document, true and accurate in all material respects
                           and not misleading in any material respect, there are
                           no other facts the omission of which would make any
                           fact or statement in the Information Package
                           misleading in any material respect and nothing has
                           occurred which would render any fact or statement in
                           the Information Package untrue or misleading in any
                           material respect; and

                  (b)      all estimates, forecasts and projections contained or
                           referred to in the Information Package, and all
                           assumptions and presumptions upon the basis of which
                           the same were made, were fair and reasonable at the
                           time they were made, and nothing has occurred since
                           the date the same were made which would necessitate a
                           material revision to any of those estimates,
                           forecasts or projections in order for them to be fair
                           and reasonable;

         11.1.14  Accounting reference date: the accounting reference date of
                  each Group Company is 31st December;

         11.1.15  Corporate structure: on the Unconditional Date:

                  (a)      the details of the Group set out in Part I of
                           Schedule 4 (Charging Group Companies) are accurate
                           and complete in all respects; and

                  (b)      Dynea has no Subsidiaries other than those companies,
                           relevant details of which are set out in Schedule 4
                           (The Group);

         11.1.16  Disclosures: there is no disclosure made in the Disclosure
                  Letter or any other disclosure to the Dynea Acquisition
                  Agreement, the Investment Agreement which makes or could
                  reasonably be expected to make any of the information,
                  prospects, estimates, forecasts and projections contained in
                  the Information Package inaccurate in any material respect;

         11.1.17  Nordkem: prior to the date of this Agreement, Nordkem has not
                  traded or undertaken any commercial activities of any kind nor
                  (except as contemplated by, or otherwise in connection with,
                  this Agreement and the other Transaction Documents and the
                  transactions contemplated by this Agreement or by the other
                  Transaction Documents) has any liabilities (other than
                  liabilities for professional fees in connection with the Offer
                  or other administrative liabilities in the ordinary course of
                  its day to day business) or obligations, actual or contingent;

         11.1.18  Intellectual Property Rights: save as disclosed to the
                  Facility Agent prior to the date of this Agreement:

                  (a)      each Group Company owns or has the legal right to use
                           all of the Intellectual Property Rights which are
                           material to the conduct of its business or are
                           required by it in order for it to carry on its
                           business in all material respects;

                                      -68-

<PAGE>

                  (b)      so far as it is aware, the operations of each Group
                           Company do not infringe any Intellectual Property
                           Rights held by any third party which infringement has
                           or could reasonably be expected to have a Material
                           Adverse Effect;

                  (c)      all Intellectual Property Rights owned by it and
                           which are material to the conduct of the business of
                           the Group are subsisting and no written claim by any
                           third party alleging any infringement of, act or
                           process relating to registered Intellectual Property
                           Rights which would be likely to render such
                           Intellectual Property Rights subject to revocation,
                           compulsory licence, cancellation or amendment remains
                           outstanding which has or could reasonably be expected
                           to have a Material Adverse Effect; and

         11.1.19  Environmental: save as disclosed in the Environmental Reports,
                  to the best of Dynea's knowledge, information and belief, each
                  Group Company has and has at all times complied with all
                  applicable Environmental Law, non compliance with which could
                  reasonably be expected to have a Material Adverse Effect,
                  every consent, authorisation, licence or approval required
                  under or pursuant to any Environmental Law by each Group
                  Company in connection with the conduct of its business and the
                  ownership, use, exploitation or occupation of its assets the
                  absence or lack of which could reasonably be expected to have
                  a Material Adverse Effect, has been obtained and is in full
                  force and effect, there has been no default in the observance
                  of the conditions and restrictions (if any) imposed in, or in
                  connection with, any of the same which default could
                  reasonably be expected to have a Material Adverse Effect, and,
                  to the best of Dynea's information, knowledge and belief, no
                  circumstances have arisen (a) which would entitle any person
                  to revoke, suspend, amend, vary, withdraw or refuse to amend
                  any of the same or (b) which might give rise to a claim
                  against any Group Company which could reasonably be expected
                  to have a Material Adverse Effect having regard to the cost to
                  that Group Company of meeting such a claim;

         11.1.20  Offer: the making of the Offer and the acquisition by Nordkem
                  of Dyno Shares pursuant to the Offer will not result in any
                  breach of the terms of, or constitute a default under, or give
                  any other person a right to terminate any agreement or
                  instrument to which any Group Company is a party or any
                  licence or other authorisation to which it is subject or by
                  which it or any of its property is bound which could
                  reasonably be expected to have a Material Adverse Effect; and

         11.1.21  No material adverse change: since 6 December 1999 no event has
                  occurred in relation to the Group which has had or could be
                  reasonably expected to have a Material Adverse Effect.

11.2     REPETITION

         The representations and warranties set out in Clause 11.1
         (Representations and Warranties) shall survive the execution of this
         Agreement and shall be deemed to be repeated as follows:

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         11.2.1   each of the said representations and warranties shall be
                  deemed to be repeated on the first Drawdown Date; and

         11.2.2   each of the said representations and warranties (other than
                  those made under sub-clauses 11.1.5, 11.1.6, 11.1.7 and 11.1.9
                  to 11.1.21 (inclusive) of Clause 11.1 (Representations and
                  Warranties)) shall be repeated on each Drawdown Date (other
                  than the first Drawdown Date) and each Issue Date,

         in each case, as if made with reference to the facts existing at the
         time of repetition.

12.      UNDERTAKINGS

         The Term D Lender shall not have the benefit of any undertaking given
         in this Clause 12.

12.1     OFFER RELATED UNDERTAKINGS

         Dynea undertakes to procure that it and Nordkem shall unless the
         Facility Agent (acting on the instructions of the Majority Banks)
         otherwise agrees:

         12.1.1   Compliance with laws, etc: in relation to the Offer, comply in
                  all material respects with all relevant laws and the
                  requirements, rules and regulations of all applicable
                  regulatory authorities;

         12.1.2   Disclosure: make full disclosure to the Facility Agent as soon
                  as reasonably practicable upon becoming aware of the same, of
                  any material information which is relevant to the Offer or
                  which indicates that any condition to the Offer will not be
                  satisfied;

         12.1.3   Information: promptly keep the Facility Agent informed upon
                  the Facility Agent's reasonable request as to the progress of
                  the Offer and at the request of the Facility Agent provide the
                  Facility Agent with such information in respect of the Offer
                  that the Facility Agent may reasonably request; and

         12.1.4   No waiver or amendment: not:

                  (a)      waive, revise, vary or amend any material terms of,
                           or conditions to, the Offer, including any condition
                           relating to the level of acceptances; nor

                  (b)      exercise any discretion under the material terms and
                           conditions of the Offer, including any condition
                           relating to the level of acceptances.

12.2     INFORMATION UNDERTAKINGS

         Dynea undertakes that during the Security Period it shall, unless the
         Facility Agent (acting on the instructions of the Majority Banks)
         otherwise agrees:

         12.2.1   Accounts: as soon as the same become available (and in any
                  event within 120 days (or, in the case of the first such
                  Financial Year, 150 days) after the end of each of its
                  Financial Years), deliver to the Facility Agent in sufficient
                  copies for all the Banks the Accounts for each such Financial
                  Year of Dynea and each Material Company;

         12.2.2   Management accounts: commencing with September 2000 as soon as
                  the same become available (and in any event within 30 days (or
                  in the case of the first

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                  such accounting period, 90 days and in respect of 5 such
                  accounting periods thereafter, 45 days) after the end of each
                  successive accounting period (none of which shall be more than
                  5 weeks in duration) (each an "ACCOUNTING PERIOD") during each
                  of its Financial Years), deliver to the Facility Agent in
                  sufficient copies for all the Banks the consolidated
                  management accounts (the "MANAGEMENT ACCOUNTS") of Dynea for
                  each such Accounting Period and in such a form as to disclose
                  with reasonable accuracy the financial position of the Group
                  and which shall include the following information in respect
                  of each such Accounting Period on both a consolidated and a
                  segment business unit by segment business unit basis:

                  (a)      a statement of profit and loss;

                  (b)      a balance sheet; and

                  (c)      a cashflow statement;

                  together with a comparison, where appropriate, of all such
                  information with the estimates, forecasts and projections in
                  the relevant Operating Budget (or any replacement or
                  substitution made therefor) in relation to each such
                  Accounting Period including an analysis justifying any
                  variations therefrom and, if necessary, revised estimates,
                  forecasts and projections;

         12.2.3   Operating Budgets:

                  (a)      provide to the Facility Agent (in a format acceptable
                           to the Facility Agent, acting on the instructions of
                           the Majority Banks acting reasonably) an Operating
                           Budget for each of its Financial Years during the
                           Security Period beginning on or after 1 January 2001,
                           not less than 15 days prior to the start of each such
                           Financial Year, together with a comparison of the
                           information, estimates, forecasts and projections
                           contained therein with any relevant information,
                           estimates, forecasts and projections contained in the
                           Financial Plan including an analysis justifying any
                           variations therefrom; and

                  (b)      if any Group Company shall determine that any of the
                           estimates, forecasts or projections made in relation
                           to any of its Financial Years should be materially
                           different from those set out in the then current
                           Operating Budget (or any substitution therefor
                           subsequently made and agreed by the Facility Agent),
                           provide to the Facility Agent revised estimates,
                           forecasts or projections in respect of any part of
                           each such Financial Year and such revised estimates,
                           forecasts or projections shall apply immediately
                           following their approval by the boards of directors
                           of the relevant company and Dynea;

         12.2.4   Information on request: promptly following the Facility
                  Agent's request, provide to the Facility Agent such other
                  information, estimates, forecasts or projections in relation
                  to any Group Company and any of their respective

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                  businesses, assets, financial condition, ownership or
                  prospects as the Facility Agent may reasonably require;

         12.2.5   Compliance certificates: provide to the Facility Agent within
                  30 days of each Quarter Date a certificate (a "COMPLIANCE
                  CERTIFICATE") executed under the authority of the board of
                  directors of Dynea certifying that in relation to the 3 month
                  period ending on each such Quarter Date all the undertakings
                  on the part of Dynea under this Agreement are for the time
                  being complied with and including calculations relating to the
                  financial undertakings set out in sub-clause 12.6.1 of Clause
                  12.6 (Financial Undertakings). (For the purpose of this
                  sub-clause 12.2.5, the calculations shall be made by reference
                  to the Management Accounts prepared for the period in relation
                  to which the relevant Compliance Certificate is to be given
                  and, in relation to a Compliance Certificate given in relation
                  to the last 3 months in any Financial Year of Dynea, Dynea
                  shall procure that the Auditors shall, if they are so
                  satisfied, confirm when the relevant Accounts are delivered,
                  in a confirmation addressed to the Agents, the Issuing Bank
                  and the Banks, that the calculations contained in the relevant
                  certificate have been made correctly, based on the Accounts
                  PROVIDED THAT if there have been any breaches of those
                  undertakings at any time during the period to which that
                  certificate relates then Dynea shall include in that
                  certificate relevant details of all those breaches);

         12.2.6   IAS: ensure that all Accounts and other financial information
                  submitted to the Facility Agent have been prepared in
                  accordance with IAS; and

         12.2.7   Default, litigation, etc: promptly, upon becoming aware of the
                  same, notify the Facility Agent of:

                  (a)      any Default or Potential Default;

                  (b)      any litigation, arbitration or administrative
                           proceeding commenced against any Group Company
                           involving a potential liability of any Group Company
                           exceeding Euro 1,000,000;

                  (c)      any Encumbrance (other than a Permitted Encumbrance)
                           attaching to any of the assets of any Group Company;
                           and

                  (d)      any other occurrence relating to a Group Company
                           (including any third party claim or liability) which
                           could reasonably be expected to have a Material
                           Adverse Effect.

12.3     POSITIVE UNDERTAKINGS

         Dynea undertakes that during the Security Period it shall, and it shall
         procure that each Group Company, shall, unless the Facility Agent
         (acting on the instructions of the Majority Banks) otherwise agrees:

         12.3.1   Pay Taxes: pay and discharge all Taxes and governmental
                  charges payable by or assessed upon it prior to the date on
                  which the same become overdue unless, and only to the extent
                  that, such Taxes and charges shall be contested in good faith
                  by appropriate proceedings, pending determination of which
                  payment may

                                      -72-

<PAGE>

                  lawfully be withheld, and there shall (if the Auditors so
                  advise) be set aside adequate reserves with respect to any
                  such Taxes or charges so contested in accordance with IAS;

         12.3.2   Insurance: cause its assets to be and kept insured with
                  reputable insurers in such amounts and against such risks as
                  is customary for prudent companies carrying on business
                  comparable to that of the relevant Group Company;

         12.3.3   Authorisations: comply with all laws and obtain, maintain and
                  comply with the terms of any authorisation, approval, licence,
                  consent, exemption, clearance, filing or registration
                  required:

                  (a)      for the conduct of its business, trade and ordinary
                           activities, save to the extent that failure to
                           comply, obtain, maintain or comply with the same
                           could reasonably be expected not to have a Material
                           Adverse Effect; and

                  (b)      to enable it to perform its obligations under, or for
                           the validity, enforceability or admissibility in
                           evidence of, any Financing Document;

         12.3.4   Access: if a Default or Potential Default is continuing (or if
                  any Agent has reasonable grounds for believing that a Default
                  or Potential Default has occurred), upon reasonable notice
                  being given to Dynea by the Facility Agent, permit the
                  Facility Agent and any person (being an accountant, auditor,
                  solicitor, valuer or other professional adviser of the
                  Facility Agent) authorised by the Facility Agent to have, at
                  all reasonable times during normal business hours, access to
                  the property, premises and accounting books and records of any
                  Group Company and to the senior management of the Group;

         12.3.5   Ranking of obligations: ensure that its obligations under the
                  Financing Documents to which it is a party shall at all times
                  rank at least pari passu with all its other present and future
                  unsecured and unsubordinated Indebtedness except for any
                  obligations which are mandatorily preferred by law and not by
                  contract;

         12.3.6   Further documents: at the request of the Facility Agent, do or
                  procure the doing of all such things and execute or procure
                  the execution of all such documents as are, in the opinion of
                  the Facility Agent acting reasonably, necessary to ensure that
                  the Facility Agent and the Banks obtain all their rights and
                  benefits under the Financing Documents;

         12.3.7   Delivery of declarations, etc: within any relevant period laid
                  down in any statute, law or regulation make all necessary
                  declarations and deliver all necessary forms and documents
                  required to be delivered to, filed with or registered with any
                  governmental, statutory or other body or agency by it in
                  connection with the Transaction Documents and any of the
                  transactions contemplated under the Transaction Documents;

         12.3.8   Hedging: within 60 days of the date of the Agreement, procure
                  that Dynea enters into such interest rate protection
                  agreements with one or more Banks in

                                      -73-

<PAGE>

                  respect of a principal amount of at least 50 per cent. of the
                  aggregate amount of the Term Loans for a period of at least 3
                  years;

         12.3.9   Additional security: procure that, in respect of each Material
                  Company from time to time but subject to any legal prohibition
                  or limitation on the giving of such Guarantee or Share Charge
                  and the Group not incurring costs which are materially more
                  extensive than those incurred in executing the Security
                  Documents pursuant to Clause 3.1 (Conditions Precedent):

                  (a)      that Material Company has executed a Guarantee;

                  (b)      a Group Company has executed a Share Charge in
                           respect of the entire issued share capital of that
                           Material Company; and

                  (c)      such Group Guarantee and Share Charge have been
                           delivered to the Security Trustee within 30 days of
                           the relevant company becoming a Material Company
                           together with such documentation in support thereof
                           as the Security Trustee may reasonably require,
                           including legal opinions (in form and content
                           satisfactory to the Security Trustee acting
                           reasonably) from lawyers reasonably acceptable to the
                           Security Trustee;

         12.3.10  Compliance with Environmental Law: without prejudice to
                  sub-clause 12.3.3, comply in all respects with Environmental
                  Law save to the extent that non-compliance could reasonably be
                  expected not to have a Material Adverse Effect and, in any
                  event, implement any recommendations and proposals contained
                  in the Environmental Reports substantially within the time
                  periods specified in that report, or if no such time periods
                  are specified, as soon as reasonably practicable;

         12.3.11  Dangerous materials: ensure that all Dangerous Materials
                  treated, kept and stored, produced, manufactured, generated,
                  refined or used from, in, upon, or under any of the real
                  property owned by a Group Company are held and kept upon such
                  real property in such a manner and up to such standards as
                  they would be kept by a prudent company carrying on the same
                  trade as that Group Company;

         12.3.12  Intellectual Property Rights: take all reasonable action to
                  protect, maintain and keep in full force and effect all the
                  rights and benefits of each Group Company in relation to
                  Intellectual Property Rights which are material in the context
                  of the business of such Group Company;

         12.3.13  Nordkem, Dynea and Holdcos: procure that none of Nordkem,
                  Dynea or the Holdcos have creditors or assets and undertakes
                  any activity (other than as contemplated by the Transaction
                  Documents);

         12.3.14  Protection of rights under the Dynea Acquisition Agreement:
                  take all reasonable and practical steps to preserve and
                  enforce its rights arising under the Dynea Acquisition
                  Agreement;

         12.3.15  Disposals to be made: in respect of Dynea only, procure that:

                                      -74-

<PAGE>

                  (a)      within 6 months of the date of this Agreement, the
                           three companies through which Dyno's speciality
                           polymers operations are sold or liquidated; and

                  (b)      within 1 month of the date of this Agreement, the
                           interest of the Group in Polimoon is sold,

                  in each case in accordance with the PWC Dyno Structuring
                  Memorandum;

         12.3.16  Dynea B.V.: use its reasonable endeavours to promptly obtain
                  an approval from the works council of Dynea B.V. for the
                  execution by Dynea B.V. of a Guarantee, an Asset Security
                  Document and a Property Charge, each in an agreed form, and
                  procure that immediately following the receipt of such
                  approval Dynea B.V. deliver the same, together with a
                  Certified Copy of the company's board minutes approving and
                  authorising the execution and delivery of the said documents
                  in accordance with paragraph (c) of Part I of Schedule 2
                  (Conditions Precedent) of this Agreement, to the Security
                  Trustee, and procure that the Security Trustee receives a
                  legal opinion from Nauta Dutilh in form and substance
                  satisfactory to it;

         12.3.17  Property Charges: within 14 days after the date of this
                  Agreement, procure:

                  (a)      the delivery by the US counsel of Dynea USA Inc.
                           (formerly Neste Resins Corporation) and Dynea Fort
                           Smith Inc. (formerly Neste Polyester Inc.) to the US
                           counsel of the Banks all title reports, copies of any
                           existing land surveys and results of all
                           environmental searches in respect of the properties
                           described in paragraphs 2(e)(i) and (ii) of Part II
                           of Schedule 2 (Conditions Precedent) together with
                           any such further information or searches in respect
                           of those properties as the Facility Agent may
                           reasonably require; and

                  (b)      that the Facility Agent be provided full information
                           about any real properties owned by Dyno and its
                           Subsidiaries and within 45 days after the date of
                           this Agreement procure that such of Dyno or its
                           Subsidiaries execute and deliver to the Security
                           Trustee (in each case in the form and substance
                           reasonably satisfactory to the Facility Agent)
                           Property Charges over such real properties as the
                           Facility Agent may reasonably require, together in
                           each case with a legal opinion from Calfee, Halter &
                           Griswold LLP (and any legal opinions from local
                           counsel, if such opinions are reasonably requested by
                           the Facility Agent) together with Certified Copies of
                           the relevant Group Companies' board minutes approving
                           and authorising the execution and delivery of the
                           said documents in accordance with paragraph 1 of Part
                           II of Schedule 2 (Conditions Precedent). The relevant
                           Group Companies shall procure the issuance in favour
                           of the Finance Parties policies of mortgage title
                           insurance (written on ALTA form and in amounts and
                           form reasonably acceptable to the Facility Agent) in
                           respect of all Property Charges deliverable by such
                           Group Companies pursuant to this sub-clause 12.3.17
                           and shall pay all costs, fees and premiums therefor
                           and deliver to the Facility Agent such

                                      -75-

<PAGE>

                           additional documentation (including without
                           limitation, UCC-1 financing statements and
                           environmental indemnity agreements) as may be
                           required by the Facility Agent (acting reasonably);
                           and

         12.3.18  Additional Security Documents: on or before 31 March 2004,
                  deliver to the Facility Agent in form and substance
                  satisfactory to the Facility Agent the documentation set out
                  in Part III of Schedule 2.

12.4     NEGATIVE UNDERTAKINGS

         Dynea undertakes that during the Security Period it shall not, and it
         shall procure that none of the Group Companies shall, unless the
         Facility Agent (acting on the instructions of the Majority Banks)
         otherwise agrees:

         12.4.1   Negative Pledge: create or permit to subsist any Encumbrance
                  over any of its assets other than Permitted Encumbrances;

         12.4.2   Disposal of assets: make a Disposal other than:

                  (a)      in the ordinary course of its trading activities; or

                  (b)      where the Net Cash Proceeds of the Disposal of a
                           fixed asset are used within 6 months of that Disposal
                           for the purchase of a fixed asset to replace directly
                           the fixed asset the subject of that Disposal and
                           pending such purchase, the said Net Cash Proceeds are
                           paid to the credit of such bank account (bearing at
                           least a market rate of interest) as the Facility
                           Agent may stipulate (and, which at the request of the
                           Facility Agent shall be charged to the Security
                           Trustee); or

                  (c)      a Disposal of an asset which is obsolete for the
                           purpose for which such an asset is normally utilised;
                           or

                  (d)      a Disposal to a Charging Group Company; or

                  (e)      a Disposal by a Group Company which is not a Charging
                           Group Company to another Group Company; or

                  (f)      a Disposal of cash or Cash Equivalents on arm's
                           length terms and, in each case, on terms not
                           otherwise prohibited by this Agreement; or

                  (g)      a Disposal by a Group Company on arm's length terms
                           of fixed assets in return for other fixed assets of
                           comparable or greater value and where if such first
                           mentioned fixed assets were charged or pledged under
                           the Security Documents, the second mentioned fixed
                           assets are so charged or pledged; or

                  (h)      a Disposal of the Oilfield Chemicals Business or the
                           Polyester Business where the Net Cash Proceeds of
                           such Disposal are either applied in prepayment of the
                           Facilities in accordance with Clause 7.10
                           (Application of Prepayments) or, are paid to Issueco
                           to be applied in prepayment of the Issueco Bridging
                           Loan in accordance with the proviso to sub-clause
                           7.6.1 of Clause 7.6 (Mandatory Prepayment of Net
                           Available Proceeds) or are

                                      -76-

<PAGE>

                           used within 270 days (or, in the event that there is
                           reasonable evidence within the 360 days period that
                           such Disposal will be completed within such period,
                           360 days) of that Disposal for the purchase of a
                           business which (1) is complimentary to the Group's
                           existing business, (2) which has annual earnings
                           before interest, Tax, Depreciation and amortisation
                           comparable on a pro forma basis with the annual
                           earnings before interest, Tax, Depreciation and
                           amortisation of the Oilfield Chemical Business or, as
                           the case may be, the Polyester Business and (3) in
                           respect of which Dynea has provided a cashflow
                           forecast for the period of 3 years following such
                           purchase which shows that on the basis of the
                           projected cashflows of the Group for such 3-year
                           period the Group can service its payment obligations
                           under this Agreement and, in any event, pending such
                           purchase, the Net Cash Proceeds are paid to the
                           credit of such bank account (bearing at least a
                           market rate of interest) as the Facility Agent may
                           stipulate (and, which shall be charged to the
                           Security Trustee); or

                  (i)      any Disposal which constitutes a Permitted
                           Encumbrance; or

                  (j)      a Disposal of the PVC Rovin plant at Porvoo, Finland
                           owned by Dynea (as referred to in the Dynea
                           Acquisition Agreement); or

                  (k)      a Disposal of the formaldehyde and resin plant at
                           Kitee, Finland owned by Dynoresins Oy; or

                  (l)      a Disposal pursuant to the Dyno Explosives Sale
                           Agreement, the US Explosives Sale Agreement or the
                           Oxo Sale Agreement; or

                  (m)      a Disposal of the Paper Chemicals Business pursuant
                           to the Paper Chemicals Business Sale Agreement; or

                  (n)      a Disposal of the Captive Insurance Company where the
                           Captive Bridging Loan is discharged in full; or

                  (o)      a Disposal of the Investcos or the Groups interest in
                           Polimoon in accordance with the PWC Dyno Structuring
                           Memorandum; or

                  (p)      a Disposal on arm's length terms where the aggregate
                           value of the assets the subject of a Disposal by
                           Group Companies other than in accordance with
                           paragraphs (a) to (o) of this sub-clause 12.4.2 in
                           any Financial Year of Dynea does not exceed Euro
                           7,500,000 (for the purposes of this paragraph, the
                           value of any asset shall be the greater of its book
                           value and the consideration received for it);

         12.4.3   Change of business: other than as set out in the PWC Dyno
                  Structuring Memorandum, make any substantial change to the
                  general nature or scope of the business of the Group as a
                  whole from that carried on at the date of this Agreement;

         12.4.4   Mergers: in relation to the Material Companies only, enter
                  into any amalgamation, demerger, merger or reconstruction
                  (other than (a) a

                                      -77-

<PAGE>

                  reconstruction which is effected by means of capitalisation of
                  any intra-Group loan permitted under this Agreement or (b) as
                  set out in the PWC Dyno Structuring Memorandum;

         12.4.5   Fees: pay any fees or commissions to any person other than (a)
                  on open market terms and for the purpose of and in the
                  ordinary course of its day to day business, (b) fees incurred
                  under any Transaction Document and/or as set out in the PWC
                  Dyno Structuring Memorandum;

         12.4.6   Loans: make any loans or grant any credit to or for the
                  benefit of any person, other than:

                  (a)      amounts of credit allowed by the relevant company in
                           the normal course of its trading activities; or

                  (b)      loans made by a Group Company to a Charging Group
                           Company; or

                  (c)      loans made by a Group Company which is not a Charging
                           Group Company to another such Group Company; or

                  (d)      loans made by Charging Group Companies to Group
                           Companies which are not Charging Group Companies
                           which do not exceed in aggregate Euro 1,000,000 at
                           any time; or

                  (e)      loans made to Parentco where the proceeds of the same
                           are used by Parentco to pay Acquisition Costs; or

                  (f)      loans made by a Group Company to its employees where
                           such loans do not, when aggregated with the amount of
                           all guarantees referred to in paragraph (v) of
                           Permitted Indebtedness with all such loans made by
                           all Group Companies, exceed Euro 1,000,000 at any
                           time;

         12.4.7   Indebtedness: incur or permit to subsist any Indebtedness
                  other than Permitted Indebtedness;

         12.4.8   Acquisitions: acquire any business of, or shares or securities
                  of, any company other than:

                  (a)

                           (i)      the shares of a Group Company; or

                           (ii)     of a business by a Group Company which is
                                    not a Charging Group Company from another
                                    such Group Company;

                  (b)

                           (i)      (1) where the aggregate of the consideration
                                    payable for, and Indebtedness assumed or
                                    repaid by Group Companies in connection
                                    with, all such acquisitions made by Group
                                    Companies in any Financial Year of Dynea
                                    does not exceed Euro 2,000,000 or (2) is an
                                    acquisition to which sub-clause 12.4.2(h)
                                    refers and is funded from

                                      -78-

<PAGE>

                                    the Net Cash Proceeds of the Oilfield
                                    Chemicals Business or, as the case may be,
                                    the Polyester Business; and

                           (ii)     where the acquisition is of a business, or
                                    of shares in a company whose business is,
                                    complementary to the Group's existing
                                    businesses and which, on a pro forma basis,
                                    has positive annual earnings before
                                    interest, Tax, Depreciation and
                                    amortisation; and

                           (iii)    in the case of an acquisition to which
                                    paragraph (b)(i)(2) above refers, if the
                                    Security Trustee reasonably requires,
                                    promptly on such acquisition if the
                                    acquisition is of shares comprising more
                                    than 50 per cent. of the issued share
                                    capital of a company which upon such
                                    acquisition becomes a Material Company or if
                                    the acquisition is of a business the
                                    acquiring Group Company becomes a Material
                                    Company, subject to any legal prohibition or
                                    limitation on the giving of a Guarantee and
                                    Debenture (or a Group Guarantee and Asset
                                    Security Document), that company executes a
                                    Guarantee and Debenture or a Group Guarantee
                                    and Asset Security Document (in a form
                                    approved by the Security Trustee acting
                                    reasonably and on terms no more onerous and
                                    which would not impede or affect the
                                    business of any member of the Group to a
                                    greater extent than the security delivered
                                    on the date of Completion under the laws of
                                    the jurisdiction of that company's
                                    incorporation) and delivers the same to the
                                    Security Trustee together with, in the
                                    latter case, a legal opinion (in a form and
                                    content satisfactory to the Security Trustee
                                    (acting reasonably)) from lawyers appointed
                                    by the Security Trustee.

         12.4.9   Payments and dealings with Parentco and Issueco: without
                  prejudice to the other provisions of this Clause 12.4:

                  (a)      in respect of Dynea only, make, pay or declare any
                           dividend or other distribution in relation to any
                           shares forming part of its issued share capital;

                  (b)      make, repay or redeem an Issueco Loan or any other
                           loan or grant any credit to or for the benefit of
                           Parentco, Issueco or any Investco or pay any interest
                           to or for the benefit of Parentco, Issueco or any
                           Investco whether in respect of an Issueco Loan or
                           otherwise;

                  (c)      enter into or give any guarantee or other instrument
                           of suretyship in respect of any obligation or
                           liability of Parentco or Issueco (other than
                           Permitted Indebtedness falling within paragraphs (t)
                           and (u) of that definition);

                  (d)      incur or permit to subsist any Indebtedness (other
                           than an Issueco Loan or as permitted pursuant to
                           paragraph (c) above) owed to Parentco, Issueco or any
                           Investco;

                                      -79-

<PAGE>

                  (e)      pay any fees or commissions to, or for the benefit
                           of, Parentco, Issueco or any Investco;

                  (f)      make any Disposal of an asset to or for the benefit
                           of Parentco, Issueco or any Investco; nor

                  (g)      enter into any transaction with Parentco, Issueco or
                           any Investcos other than on arm's length terms,

                  PROVIDED THAT:

                           (i)      Group Companies may pay amounts to Parentco
                                    and Issueco by way of dividends made by
                                    Dynea, make loans, repay an Issueco Loan,
                                    pay interest on an Issueco Loan, pay fees
                                    and, in each case, whether or not on arms
                                    length terms, where such amounts are
                                    forthwith used to pay:

                                    (1)      fees (including, for the avoidance
                                             of doubt, directors' fees) and
                                             expenses of an administrative
                                             nature incurred by Parentco or
                                             Issueco;

                                    (2)      a Permitted Senior Subordinated
                                             Notes Payment; or

                                    (3)      interest, fees, costs and expenses,
                                             grossing up amounts and indemnity
                                             payments payable by Issueco under
                                             the Issueco Bridging Loan
                                             Agreement,

                                    so long as, in each case, on the date
                                    falling 2 days prior to the making of the
                                    relevant payment, there is no outstanding
                                    Default or Potential Default;

                           (ii)     a Group Company may, at a time there is no
                                    outstanding Default or Potential Default,
                                    repay an Issueco Loan made to it where
                                    Issueco simultaneously makes a new loan to a
                                    Group Company that has executed a Guarantee
                                    in an amount at least equal to the amount
                                    that is to be repaid or novate to such a
                                    Group Company an Issueco Loan;

                           (iii)    the Group may, so long as there is no
                                    outstanding Default or Potential Default,
                                    pay, in accordance with the proviso to
                                    sub-clause 7.6.1 of Clause 7.6 (Mandatory
                                    Prepayment of Net Available Proceeds), up to
                                    an aggregate amount equal to the Issueco
                                    Bridging Loan Amount, the Net Available
                                    Proceeds from Disposals referred to in any
                                    of sub-clauses 12.4.2(h), 12.4.2(j),
                                    12.4.2(l) and 12.4.2(o) to Issueco where the
                                    same are applied in prepayment of the
                                    Issueco Bridging Loan; nor

         12.4.10  Variation of Transaction Documents: permit or effect any
                  variations, novations or amendments to the Dynea Acquisition
                  Agreement (other than where the effect of the same is not
                  material), the Intra-Group Loan Agreements, the On-

                                      -80-

<PAGE>

                  Lending Agreement, the Put and Call Agreement or the
                  Performance Guarantees.

12.5     UNDERTAKINGS RELATING TO DYNCO

         12.5.1   Dynea undertakes that during the Security Period it shall
                  procure that, other than as contemplated by the other
                  Transaction Documents or as the Facility Agent (acting on the
                  instructions of the Majority Banks and the Term D Lender)
                  otherwise agrees, Dynco does not trade or undertake any
                  commercial activities of any kind, that Dynco does not acquire
                  any assets and does not make any loans (other than under the
                  terms of the On-Lending Agreement) and that Dynco does not
                  have any employees.

         12.5.2   Dynea undertakes that prior to the Senior Discharge Date (and
                  notwithstanding any other term of this Agreement) it shall
                  not, and it shall procure that none of the Group Companies
                  shall, unless the Facility Agent (acting on the instructions
                  of the Majority Banks) otherwise agrees:

                  (a)      make, repay or redeem any loan or grant any credit to
                           or for the benefit of Dynco or pay any interest to or
                           for the benefit of Dynco PROVIDED THAT Dynea may pay
                           interest under the terms of the On-Lending Agreement
                           where the same is immediately applied in paying
                           interest which is then due and payable by Dynco under
                           the Term D Loan Facility;

                  (b)      enter into or give any guarantee or other instrument
                           of suretyship in respect of any obligation or
                           liability of Dynco (other than the Confirmation
                           Documents);

                  (c)      incur or permit to subsist any Indebtedness owed to
                           Dynco (other than under the On-Lending Agreement);

                  (d)      pay any fees or commission to, or for the benefit of,
                           Dynco;

                  (e)      make any Disposal of an asset to or for the benefit
                           of Dynco; or

                  (f)      other than the On-Lending Agreement, enter into any
                           transaction with Dynco.

12.6     FINANCIAL UNDERTAKINGS

         12.6.1   Dynea undertakes to ensure that during the Security Period,
                  unless the Facility Agent (acting on the instructions of the
                  Majority Banks) otherwise agrees:

                  (a)      EBITDA to Total Net Interest Costs

                           the ratio of EBITDA to Total Net Interest Costs for
                           each period referred to in Column A below shall not
                           be less than the ratio set out in Column B below
                           opposite that period:

<TABLE>
<CAPTION>
         COLUMN A                                     COLUMN B
          PERIOD                                       RATIO
<S>                                                   <C>
12 months to 31 March 2004                             1.33:1
</TABLE>

                                      -81-

<PAGE>

<TABLE>
<CAPTION>
                    COLUMN A                          COLUMN B
                     PERIOD                            RATIO
<S>                                                   <C>
12 months to 30 June 2004                              1.16:1
12 months to 30 September 2004                         1.22:1
12 months to 31 December 2004                          1.60:1
12 months to 31 March 2005                             2.40:1
12 months to 30 June 2005                              2.50:1
12 months to 30 September 2005                         2.60:1
Each period of 12 months falling on a Quarter Date     2.60:1
occurring after 30 September 2005;
</TABLE>

                  (b)      Total Net Debt to EBITDA

                           the ratio of Total Net Debt on each Quarter Date set
                           out in Column A below to EBITDA for the period of 12
                           months ending on such Quarter Date shall not be
                           greater than the ratio set out in Column B below
                           opposite such Quarter Date:

<TABLE>
<CAPTION>
              COLUMN A                           COLUMN B
            QUARTER DATE                          RATIO
<S>                                              <C>
31 March 2004                                     8.42:1
30 June 2004                                      9.57:1
30 September 2004                                 9.20:1
31 December 2004                                  6.72:1
31 March 2005                                     3.90:1
30 June 2005                                      3.80:1
30 September 2005                                 3.70:1
31 December 2005                                  3.50:1
31 March 2006                                     3.40:1
30 June 2006                                      3.30:1
30 September 2006                                 3.20:1
31 December 2006                                  3.10:1
Each Quarter Date occurring after 31              3.10:1
December 2006;
</TABLE>

                  (c)      EBITDA to Total Net Senior Interest Costs

                           the ratio of EBITDA to Total Net Senior Interest
                           Costs for each period referred to in Column A below
                           shall not be less than the ratio set out in Column B
                           below opposite that period:

<TABLE>
<CAPTION>
         COLUMN A                                COLUMN B
          PERIOD                                  RATIO
<S>                                              <C>
12 months to 31 March 2004                        3.91:1
</TABLE>

                                      -82-

<PAGE>

<TABLE>
<CAPTION>
                  COLUMN A                       COLUMN B
                   PERIOD                         RATIO
<S>                                              <C>
12 months to 30 June 2004                         3.56:1
12 months to 30 September 2004                    3.70:1
12 months to 31 December 2004                     4.94:1
12 months to 31 March 2005                        4.40:1
12 months to 30 June 2005                         4.60:1
12 months to 30 September 2005                    4.70:1
12 months to 31 December 2005                     4.90:1
12 months to 31 March 2006                        5.00:1
12 months to 30 June 2006                         5.10:1
12 months to 30 September 2006                    5.20:1
12 months to 31 December 2006                     5.40:1
Each period of 12 months falling on a Quarter     5.40:1
Date occurring after 31 December 2006;
</TABLE>

                  (d)      Cashflow to Total Funding Costs

                           the ratio of Cashflow to Total Funding Costs for each
                           period of 12 months ending on each Quarter Date set
                           out in Column A below shall not be less than the
                           ratio set out opposite such Quarter Date in Column B
                           below:

<TABLE>
<CAPTION>
                  COLUMN A                       COLUMN B
                   PERIOD                         RATIO
<S>                                              <C>
31 March 2004                                     0.95:1
30 June 2004                                      0.78:1
30 September 2004                                 0.76:1
31 December 2004                                  1.10:1
31 March 2005                                     1.05:1
30 June 2005                                      1.05:1
30 September 2005                                 1.10:1
Each Quarter Date falling after 30 September      1.10:1
2005;
</TABLE>

                  (e)      Capital Expenditure and Finance Lease Expenditure

                           no Group Company shall incur any Capital Expenditure
                           or Finance Lease Expenditure if it would result in
                           the aggregate Capital Expenditure and Finance Lease
                           Expenditure incurred by the Group Companies in any
                           period set out in Column A below exceeding the amount
                           set out opposite such period in Column B below (or
                           such other amount as the Majority Banks may, acting
                           in good faith, agree from time to time):

                                      -83-

<PAGE>

<TABLE>
<CAPTION>
           COLUMN A                                COLUMN B
            PERIOD                               AMOUNT (EURO)
<S>                                              <C>
Completion to 31 December 2000                    55,000,000
12 months to 31 December 2001                     47,000,000
12 months to 31 December 2002                     48,000,000
12 months to 31 December 2003                     50,000,000
12 months to 31 December 2004                     51,000,000
12 months to 31 December 2005                     51,000,000
12 months to 31 December 2006                     51,000,000
12 months to 31 December 2007                     51,000,000
12 months to 31 December 2008                     51,000,000
</TABLE>

                           PROVIDED THAT in respect of a period listed in Column
                           A above, if the Group incurs Capital Expenditure and
                           Finance Lease Expenditure, in an aggregate amount
                           which is less than the amount set out opposite such
                           period in Column B above (the difference being
                           hereafter referred to as the "ADDITIONAL AVAILABLE
                           EXPENDITURE") the amount set out in Column B above
                           opposite the next succeeding period shall be deemed
                           to be increased by the Additional Available
                           Expenditure.

         12.6.2

                  (a)      If the directors of any Group Company determine at
                           any time during the Security Period that the
                           accounting reference date of that Group Company has
                           or should be changed or any of the accounting
                           principles applied in the preparation of any of the
                           Accounts and the Management Accounts shall be
                           different from the Accounting Principles (including
                           any change to IAS), or if as a result of the
                           introduction or implementation of any applicable
                           accounting standard or any change in any of them or
                           in any applicable law such accounting principles are
                           required to be changed, Dynea shall promptly give
                           notice to the Facility Agent of that change,
                           determination or requirement.

                  (b)      If the Facility Agent believes that the financial
                           undertakings set out in this Clause 12.6 need to be
                           amended as a result of any such change, determination
                           or requirement, Dynea shall negotiate with the
                           Facility Agent in good faith to amend the existing
                           financial undertakings so as to provide the Banks
                           with substantially the same protections as the
                           financial undertakings set out in this Clause 12.6
                           (but which are not materially more onerous).

                  (c)      If Dynea and the Facility Agent cannot agree such
                           amended financial undertakings within 30 days of that
                           notice, Dynea and the Facility Agent shall jointly
                           nominate a firm of chartered accountants to settle
                           the amended financial undertakings, or in default of
                           such nomination the Facility Agent shall request the
                           President for the time being of the Institute of
                           Chartered Accountants in England and Wales to
                           nominate a firm of chartered accountants for that
                           purpose. Such accountants shall act

                                      -84-

<PAGE>

                           as experts and not arbitrators and their decision
                           shall be final and binding on the Parties. The costs
                           of such accountants shall be paid by Dynea.

         12.6.3   The calculation of ratios and other amounts under this Clause
                  12.6 shall be made by reference to the latest Accounts,
                  Management Accounts and other financial information of the
                  Group Companies for the Financial Year of Dynea, or other
                  period in relation to which the calculation falls to be made.

         12.6.4

                  (a)      Dynea may deliver to the Facility Agent on or before
                           3 December 2004 the New Business Plan where the New
                           Business Plan:

                           (i)      is based upon assumptions and projections
                                    which by the date of such New Business Plan
                                    being so delivered shall have been verified
                                    by Deloitte (or any other firm of
                                    accountants subsequently appointed as
                                    advisors to the Banks, in each case in the
                                    opinion of the Banks acting reasonably in
                                    making such verification) as being
                                    reasonable; and

                           (ii)     demonstrates that the ratio of Cashflow to
                                    Total Funding Costs in respect of each
                                    period of 12 months ending on a Quarter Date
                                    in any of the years 2005 to 2007 inclusive
                                    is not less than 1.00:1 (and in doing so may
                                    utilise the excess (if any) of Cashflow over
                                    Total Funding Costs in respect of the
                                    immediately previous Financial Year of Dynea
                                    which is not required to be applied in
                                    prepayment of the Facilities in accordance
                                    with Clause 7.7 (Mandatory Prepayment of
                                    Surplus Cash)).

                  (b)      The Parties agree that, on receipt of the New
                           Business Plan pursuant to, and complying with,
                           paragraph (a) above, the financial undertakings set
                           out in sub-clauses 12.6.1(a), (b) and (c) of Clause
                           12.6 (Financial undertakings) shall be amended for
                           the 12 month period ending on 31 December 2004 so as
                           to provide the Banks (other than the Term D Lender)
                           with protections based on a 15 per cent. tolerance
                           and for the years 2005, 2006 and 2007 so as to
                           provide the Banks (other than the Term D Lender) with
                           protections based on a 10 per cent. tolerance.

13.      DEFAULT

         For the purposes of this Clause 13, any reference to a Bank or Banks or
         Party or Parties shall not include the Term D Lender.

13.1     DEFAULT

         Each of the following shall be a Default:

         13.1.1   Non-payment: a Borrower does not pay on the due date any
                  amount payable by it under this Agreement at the place at and
                  in the currency and funds in which it is expressed to be
                  payable unless the failure to pay such amount is due solely to
                  administrative or technical delays in the transmission of
                  funds which are not the

                                      -85-

<PAGE>

                  fault of that Borrower and such amount is paid within 3
                  Business Days after its due date for payment; or

         13.1.2   Other defaults: any Charging Group Company breaches any of its
                  obligations under any Financing Document (other than the
                  obligations referred to in sub-clause 13.1.1) and, if that
                  breach is capable of remedy, it is not remedied within 15
                  Business Days after notice of that breach has been given by
                  the Facility Agent to Dynea; or

         13.1.3   Breach of representation or warranty: any representation,
                  warranty or statement made or deemed to be repeated by any
                  Charging Group Company under any Financing Document or in any
                  document delivered by or on behalf of any Borrower under or in
                  connection with any Financing Document is incorrect when made
                  or deemed to have been repeated; or

         13.1.4   Unlawfulness or repudiation: it is unlawful for any Charging
                  Group Company to perform or comply with, or any Charging Group
                  Company repudiates, any of its obligations under any Financing
                  Document; or

         13.1.5   Cross-default: any Indebtedness (other than Defeased Dyno
                  Bonds Indebtedness) of all or any of the Group Companies in
                  excess of, in aggregate, Euro 2,000,000:

                  (a)      is not paid when due or within any originally
                           applicable grace period; or

                  (b)      is declared to be or otherwise becomes due and
                           payable prior to its specified maturity by reason of
                           default (howsoever described),

                  or any creditor of all or any of the Group Companies becomes
                  entitled to declare any such Indebtedness (other than Defeased
                  Dyno Bonds Indebtedness) due and payable prior to its
                  specified maturity; or

         13.1.6   Cross-default into Senior Subordinated Notes: the occurrence
                  of an Event of Default as defined in the Senior Subordinated
                  Notes Instrument which is continuing or the giving of notice
                  (if required) or any other event or omission referred to in
                  Section 6.01 of the Senior Subordinated Notes Instrument which
                  with the lapse of time would be an Event of Default as so
                  defined and such event or omission is continuing; or

         13.1.7   Attachment or distress: a creditor or encumbrancer attaches or
                  takes possession of, or a distress, execution, sequestration
                  or other process is levied or enforced upon or sued out
                  against, any of the assets of any Group Company (having a
                  value of at least Euro 1,000,000) and such process is not
                  discharged within 21 days; or

         13.1.8   Inability to pay debts: any Material Company:

                  (a)      suspends generally payment of its debts or is unable
                           or admits its inability to pay its debts as they fall
                           due; or

                                      -86-

<PAGE>

                  (b)      begins negotiations with any creditor with a view to
                           the readjustment or rescheduling of any of its
                           Indebtedness which it would otherwise not be able to
                           pay as it falls due; or

                  (c)      proposes or enters into any restructuring
                           (yrityssaneeraus), composition or other arrangement
                           for the benefit of its creditors generally or any
                           class of creditors; or

         13.1.9   Insolvency proceedings: any person takes any action or any
                  legal proceedings are started or other steps taken (including
                  the presentation of a petition) for:

                  (a)      any Material Company to be adjudicated or found
                           insolvent; or

                  (b)      the bankruptcy (konkurssi), winding up or dissolution
                           of any Material Company other than (i) in connection
                           with a solvent reconstruction, the terms of which
                           have been previously approved in writing by the
                           Majority Banks, (ii) a liquidation sent out in the
                           PWC Dyno Structuring Memorandum, or (iii) a winding
                           up petition which is proved to the satisfaction of
                           the Majority Banks to be frivolous or vexatious and
                           which is, in any event, discharged within 21 days of
                           its presentation and before it is advertised; or

                  (c)      the appointment of a trustee, receiver,
                           administrative receiver or similar insolvency officer
                           in respect of any Group Company or any of its assets;
                           or

         13.1.10  Adjudication or appointment: any adjudication, order or
                  appointment is made under or in relation to any of the
                  proceedings referred to in sub-clause 13.1.1; or

         13.1.11  Administration order: an application is made to the court for
                  an administration order under the Insolvency Act 1986 with
                  respect to any Material Company; or

         13.1.12  Analogous proceedings: any event occurs or proceeding is taken
                  with respect to any Material Company in any jurisdiction to
                  which it is subject which has an effect equivalent or similar
                  to any of the events mentioned in sub-clauses 13.1.7, 13.1.8,
                  13.1.9, 13.1.10 or 13.1.11; or

         13.1.13  Cessation of business: any Material Company suspends or ceases
                  or threatens to suspend or cease to carry on all or a
                  substantial part of its business; or

         13.1.14  Material adverse change: any event or series of events occur
                  which has or could reasonably be expected to have a Material
                  Adverse Effect; or

         13.1.15  Redemption of shares by Dynea: without the prior written
                  consent of the Facility Agent (acting on the instructions of
                  the Majority Banks), Dynea makes any redemption of any of its
                  shares, purchases any of its shares or otherwise reduces its
                  issued share capital; or

         13.1.16  Qualification of Accounts: the Auditors issue any
                  qualification in respect of the Accounts of Dynea or Dyno for
                  any of its Financial Years where the

                                      -87-

<PAGE>

                  circumstances to which such qualification relates have, or
                  could reasonably be expected to have, a Material Adverse
                  Effect; or

         13.1.17  Dynea Oy funding: Dynea does not receive, whether from Dynco
                  under the terms of the On-Lending Agreement or from Issueco by
                  way of Subscription Proceeds or under any Issueco Loan
                  excluding any Subscription Proceeds and any proceeds of any
                  Issueco Loan which are taken into account in calculating
                  EBITDA), the sum of at least Euro 10,000,000 on or before 13
                  August 2004 and the sum of at least Euro 6,400,000 on or
                  before 20 August 2004, otherwise than by reason of a Default
                  being continuing and unwaived as at the relevant said date.

13.2     ACCELERATION, ETC.

         13.2.1   If a Default occurs and remains unremedied the Facility Agent
                  may, and shall if so instructed by the Majority Banks, by
                  notice (a "DEFAULT NOTICE") to Dynea cancel the Facilities and
                  require the Borrowers immediately to repay each Loan together
                  with accrued interest and all other sums payable under this
                  Agreement, whereupon they shall become immediately due and
                  payable. Upon the service of any Default Notice the Banks'
                  obligations to each Borrower under this Agreement shall be
                  terminated and the Commitment of each Bank shall be cancelled.

         13.2.2   Immediately upon the Facility Agent serving a Default Notice,
                  each Borrower shall in respect of each Bank Guarantee issued
                  on its behalf:

                  (a)      use its reasonable endeavours to procure the release
                           of the Issuing Bank from that Bank Guarantee; and

                  (b)      without prejudice to sub-clause 13.2.2(a), pay to the
                           credit of such account as the Issuing Bank shall
                           stipulate an amount equal to the Guaranteed Amount of
                           that Bank Guarantee and charge such account in favour
                           of the Issuing Bank, in such manner and on such terms
                           as the Issuing Bank may stipulate.

14.      SET-OFF

         Without prejudice to its rights at law, following a Default which is
         continuing each Finance Party (other than the Term D Lender) may set
         off any matured obligation owed by a Borrower under any Financing
         Document against any obligation (whether or not matured) owed by the
         relevant Finance Party to that Borrower, regardless of the place of
         payment, booking branch or currency of either obligation. If the
         obligations are in different currencies, the relevant Finance Party may
         convert either obligation at the relevant spot rate of exchange of the
         relevant Finance Party for the purpose of the set off.

15.      PRO RATA SHARING

15.1     REDISTRIBUTION

         If any amount owing by a Borrower under this Agreement to a Bank (the
         "SHARING BANK") is discharged by voluntary or involuntary payment,
         set-off or any other manner other than through the Facility Agent in
         accordance with Clause 9 (Payments), then:

                                      -88-

<PAGE>

         15.1.1   the Sharing Bank shall immediately notify the Facility Agent
                  of the amount discharged and the manner of its receipt or
                  recovery;

         15.1.2   the Facility Agent shall determine whether the amount
                  discharged is in excess of the amount which the Sharing Bank
                  would have received had the amount discharged been received by
                  the Facility Agent and distributed in accordance with Clause 9
                  (Payments);

         15.1.3   the Sharing Bank shall pay the Facility Agent an amount equal
                  to that excess (the "EXCESS AMOUNT") within 5 Business Days of
                  demand by the Facility Agent;

         15.1.4   the Facility Agent shall treat the excess amount as if it were
                  a payment by a Borrower under Clause 9 (Payments) and shall
                  pay the excess amount to the Banks (other than the Sharing
                  Bank) in accordance with Clause 9.7 (Partial Payments); and

         15.1.5   as between the relevant Borrower and the Sharing Bank the
                  excess amount shall be treated as not having been received or
                  recovered, and that Borrower shall owe the Sharing Bank an
                  immediately payable debt equal to the excess amount.

15.2     LEGAL PROCEEDINGS

         Notwithstanding Clause 15.1 (Redistribution), no Sharing Bank shall be
         obliged to share any excess amount which it receives or recovers
         pursuant to legal proceedings taken by it to recover any sums owing to
         it under this Agreement with any other Bank which has a legal right to,
         but does not, either join in such proceedings or commence and
         diligently pursue separate proceedings to enforce its rights, unless
         the proceedings instituted by the Sharing Bank are instituted by it
         without prior notice having been given to such Bank through the
         Facility Agent and an opportunity to such Bank to join in such
         proceedings.

15.3     REVERSAL OF REDISTRIBUTION

         If any excess amount subsequently has to be wholly or partly refunded
         to a Borrower by a Sharing Bank which has paid an amount equal to that
         excess amount to the Facility Agent under Clause 15.1 (Redistribution),
         each Bank to which any part of that amount was distributed shall on
         request from the Sharing Bank repay to the Sharing Bank that Bank's
         proportionate share of the amount which has to be so refunded by the
         Sharing Bank.

15.4     INFORMATION

         Each Bank shall on request supply to the Facility Agent such
         information as the Facility Agent may from time to time request for the
         purpose of this Clause 15 (Pro Rata Sharing).

16.      THE FINANCE PARTIES

16.1     APPOINTMENT AND DUTIES

         16.1.1   Each Bank irrevocably appoints the Facility Agent to act as
                  its agent in connection with the Facilities and this Agreement
                  and irrevocably authorises the Facility Agent on its behalf to
                  perform the duties and to exercise the rights, powers and
                  discretions that are specifically delegated to it under or in

                                      -89-

<PAGE>

                  connection with the Financing Documents together with any
                  other incidental rights, powers and discretions PROVIDED THAT
                  each of Dynea Oy and the Facility Agent acknowledge and agree
                  that for so long as Dynea Oy or any other member of the Group
                  is the Term D Lender, the Facility Agent shall not owe any
                  duties or obligations to the Term D Lender.

         16.1.2   The Facility Agent, the Issuing Bank and each Bank (other than
                  the Term D Lender) irrevocably appoints the Security Trustee
                  to act as its agent and trustee in connection with the
                  Security Documents (other than the Shared Security Documents)
                  and each Bank (other than the Term D Lender) irrevocably
                  authorises the Security Trustee on its behalf to perform the
                  duties and to exercise the rights, powers and discretions
                  specifically delegated to it under or in connection with the
                  Financing Documents (other than the Shared Security Documents)
                  together with any incidental rights, powers and discretions.

         16.1.3   The Facility Agent, the Issuing Bank and each Bank (including
                  the Term D Lender) irrevocably appoints the Security Trustee
                  to act as its agent and trustee in connection with the Shared
                  Security Documents and each Bank (including the Term D Lender)
                  irrevocably authorises the Security Trustee on its behalf to
                  perform the duties and to exercise the rights, powers and
                  discretions specifically delegated to it under or in
                  connection with the Shared Security Documents together with
                  any incidental rights, powers and discretions.

         16.1.4   Neither Agent shall have any duties or responsibilities except
                  those expressly set out in the Financing Documents. As to any
                  matters not expressly provided for, each Agent shall act in
                  accordance with the instructions of the Majority Banks (but in
                  the absence of any such instructions shall not be obliged to
                  act). Any such instructions, and any action taken by an Agent
                  in accordance with those instructions, shall be binding upon
                  all the Banks.

         16.1.5   Each Agent may:

                  (a)      act in an agency, trustee, fiduciary or other
                           capacity on behalf of any other banks or financial
                           institutions providing facilities to any Group
                           Company or any associated company of a Group Company,
                           as freely in all respects as if it had not been
                           appointed to act as agent and/or trustee for the
                           Banks under this Agreement and without regard to the
                           effect on the Banks of acting in such capacity; and

                  (b)      subscribe for, hold, be beneficially entitled to or
                           dispose of shares or securities, or options or other
                           rights to and interests in shares or securities in
                           any Group Company or any associated company of a
                           Group Company (in each case, without liability to
                           account).

         16.1.6   Each division or department of an Agent (including, for so
                  long as Citibank International plc is an Agent, the European
                  Loans Agency department of Citibank International plc) shall
                  be treated as a separate entity from any other division or
                  department of that Agent. If any of an Agent's divisions or
                  departments (including, in the case of Citibank International
                  plc, its European

                                      -90-

<PAGE>

                  Loans Agency department) should act for any Group Company in
                  any capacity (whether as bankers or otherwise) in relation to
                  any other matter, any information given by any Group Company
                  to any such division or department may be treated as
                  confidential and each Agent shall, as between itself and the
                  Banks, not be obliged to disclose the same to any Bank or any
                  other person.

         16.1.7   The Issuing Bank acts solely as issuer of Bank Guarantees
                  under the Revolving Credit Facility and owes no fiduciary
                  duties to any other Party in respect of the Financing
                  Documents and the Bank Guarantees.

16.2     PAYMENTS

         16.2.1   The Facility Agent shall promptly account to the Lending
                  Office of each Bank for such Bank's due proportion of all sums
                  received by the Facility Agent for such Bank's account,
                  whether by way of repayment or prepayment of principal or
                  payment of interest, fees or otherwise.

         16.2.2   The Facility Agent shall maintain a memorandum account showing
                  the principal amount of each Advance outstanding under this
                  Agreement and the amount of each Bank's Participation in each
                  Advance.

         16.2.3   Each Bank confirms in favour of the Facility Agent that,
                  unless it notifies the Facility Agent to the contrary, it will
                  be the beneficial owner of any interest paid to it under this
                  Agreement, and it will be within the charge to United Kingdom
                  corporation tax as respects that interest.

16.3     DEFAULT

         Neither Agent shall be obliged to monitor or enquire as to whether or
         not a Default or Potential Default has occurred. An Agent shall be
         entitled to assume that no Default or Potential Default has occurred
         unless it receives notice to the contrary from a Borrower or any Bank
         describing the Default or Potential Default and stating that such
         notice is a "Default Notice" or unless it is aware of a payment default
         under this Agreement, in which case it shall promptly notify each Bank
         and the Issuing Bank.

16.4     RELIANCE

         Each Agent may:

         16.4.1   rely on any communication or document believed by it to be
                  genuine and correct and to have been communicated or signed by
                  the person by whom it purports to be communicated or signed;
                  and

         16.4.2   engage, pay for and rely on the advice of any professional
                  advisers selected by it given in connection with the Financing
                  Documents or any of the matters contemplated by the Financing
                  Documents,

         and shall not be liable to any Party for any of the consequences of
         such reliance.

16.5     LEGAL PROCEEDINGS

         16.5.1   Neither Agent shall be obliged to take or commence any legal
                  action or proceeding against a Borrower or any other person
                  arising out of or in connection with the Financing Documents
                  until it shall have been indemnified

                                      -91-

<PAGE>

                  or secured to its satisfaction against all costs, claims and
                  expenses (including any costs award which may be made against
                  it as a result of any such legal action or proceeding not
                  being successful) which it may expend or incur in such legal
                  action or proceeding.

         16.5.2   An Agent may refrain from doing anything which might in its
                  opinion constitute a breach of any law or any duty of secrecy
                  or confidentiality or be otherwise actionable at the suit of
                  any person.

16.6     NO LIABILITY

         16.6.1   None of the Agents, the Lead Arranger or any of their
                  respective officers, employees or agents shall be liable for
                  any action taken or not taken by it or any of them under or in
                  connection with the Financing Documents unless directly caused
                  by its or their gross negligence or wilful misconduct.

         16.6.2   None of the Agents or the Lead Arranger shall be responsible
                  for any statements, representations or warranties in the
                  Financing Documents or for any information supplied or
                  provided to any Bank or the Issuing Bank by an Agent or the
                  Lead Arranger in respect of a Borrower or any other person or
                  for any other matter relating to the Financing Documents or
                  for the execution, genuineness, validity, legality,
                  enforceability or sufficiency of such documents or any other
                  document referred to in the Financing Documents or for the
                  recoverability of any Advance or any other sum to become due
                  and payable under the Financing Documents.

16.7     CREDIT DECISIONS

         16.7.1   Each Bank and the Issuing Bank:

                  (a)      acknowledges that it has, independently and without
                           reliance on the Agents or the Lead Arranger, made its
                           own analysis of the transaction contemplated by, and
                           reached its own decision to enter into, this
                           Agreement and made its own investigation of the
                           financial condition and affairs and its own appraisal
                           of the creditworthiness of the Borrowers and any
                           surety for the Borrowers' obligations; and

                  (b)      shall continue to make its own independent appraisal
                           of the creditworthiness of the Borrowers and any
                           surety for the Borrowers' obligations.

         16.7.2   Each Bank and the Issuing Bank shall, independently and
                  without reliance on the Agents or the Lead Arranger, make its
                  own decision to take or not take action under the Financing
                  Documents.

         16.7.3   The Term D Lender confirms to the Agents and the Lead Arranger
                  that save to the extent that it relies on legal opinions
                  addressed to it and issued by counsel for either of them, it
                  has not relied upon any statement or representation made by
                  either of them in entering into this Agreement.

                                      -92-

<PAGE>

16.8     INFORMATION

         16.8.1   Each Agent shall provide to the relevant Banks and the Issuing
                  Bank all information and copies of all notices which are given
                  to it and which by the terms of this Agreement are to be
                  provided or given to such Banks and the Issuing Bank, as the
                  case may be.

         16.8.2   Except as provided in this Agreement, none of the Agents or
                  the Lead Arranger shall be under any duty or obligation:

                  (a)      either initially or on a continuing basis, to provide
                           any Bank or the Issuing Bank with any credit
                           information or other information with respect to the
                           financial condition of a Borrower or which is
                           otherwise relevant to the Facilities; or

                  (b)      to request or obtain any certificate, document or
                           information from a Borrower unless specifically
                           requested to do so by a Bank (other than the Term D
                           Lender) or the Issuing Bank in accordance with this
                           Agreement.

16.9     RELATIONSHIP WITH BANKS

         16.9.1   In performing its functions and duties under this Agreement,
                  the Facility Agent shall act solely as the agent for the Banks
                  (save to the extent set out in sub-clause 16.1.1 of Clause
                  16.1 (Appointment and duties)) and except as provided in the
                  Financing Documents shall not be deemed to be acting as
                  trustee for any Bank. Neither Agent shall assume or be deemed
                  to have assumed any obligation as agent or trustee for, or any
                  relationship of agency or trust with, any Borrower.

         16.9.2   No Finance Party shall be under any liability or
                  responsibility of any kind to a Borrower or any other Finance
                  Party arising out of or in relation to any failure or delay in
                  performance or breach by a Borrower or any other Finance Party
                  of any of its or their respective obligations under the
                  Financing Documents.

16.10    AGENTS' POSITION

         16.10.1  With respect to its own Participation in the Facilities, each
                  Agent shall have the same rights and powers under and in
                  respect of the Financing Documents as any other Bank and may
                  exercise those rights and powers as though it were not also
                  acting as agent and/or trustee under this Agreement. An Agent
                  may, without liability to account, accept deposits from, lend
                  money to and generally engage in any kind of banking, finance,
                  advisory, trust or other business with or for a Borrower as if
                  it were not the agent or the trustee for other persons under
                  any Financing Documents.

         16.10.2  An Agent may retain for its own use and benefit (and shall not
                  be liable to account to any Bank or the Issuing Bank for all
                  or any part of) any sums received by it by way of agency or
                  management or arrangement fees or by way of reimbursement of
                  expenses incurred by it.

16.11    INDEMNITY

         Each Bank shall immediately on demand indemnify each Agent (to the
         extent not reimbursed by the Borrowers) rateably according to that
         Bank's Participation in the

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<PAGE>

         Facilities (or, if no Term Advance shall then be outstanding, its
         Commitment) from and against all liabilities, losses and expenses of
         any kind or nature whatsoever (except in respect of any agency,
         management or other fee due to that Agent) which may be incurred by
         that Agent in its capacity as agent or trustee under this Agreement or
         in any way relating to or arising out of the Financing Documents or any
         action taken or omitted by the Facility Agent in enforcing or
         preserving the rights of the Finance Parties under the Financing
         Documents, PROVIDED THAT no Bank shall be liable for any portion of
         such liabilities, losses or expenses resulting from an Agent's gross
         negligence or wilful misconduct.

16.12    RESIGNATION

         16.12.1  An Agent may resign by giving at least 60 days' notice to
                  Dynea and each Bank. Upon receipt of a notice of resignation
                  Dynea and the Majority Banks may select any bank or other
                  financial institution as successor Facility Agent or Security
                  Trustee, as the case may be.

         16.12.2  If no bank or other financial institution selected by Dynea
                  and the Majority Banks shall have accepted such appointment
                  within 20 days after the resigning Agent has given a notice of
                  resignation then the Majority Banks may, after consultation
                  with Dynea, appoint any bank or other financial institution as
                  successor Facility Agent or Security Trustee, as the case may
                  be.

         16.12.3  If no bank or other financial institution selected by the
                  Majority Banks shall have accepted such appointment within 40
                  days after the resigning Facility Agent has given a notice of
                  resignation then the resigning Facility Agent may, after
                  consultation with Dynea, appoint any bank or other financial
                  institution with an office in London as successor Facility
                  Agent or Security Trustee, as the case may be.

         16.12.4  The resignation of an Agent and the appointment of any
                  successor Agent shall both become effective only upon the
                  successor Agent notifying the resigning Facility Agent, Dynea
                  and each Bank that it accepts its appointment. On such
                  notification:

                  (a)      the resigning Agent shall be discharged from its
                           obligations and duties as Facility Agent or Security
                           Trustee, as the case may be, under the Financing
                           Documents but it shall continue to be able to rely on
                           the provisions of this Clause 16 (The Finance
                           Parties) in respect of all matters relating to the
                           period of its appointment; and

                  (b)      the successor Agent shall assume the role of Facility
                           Agent or Security Trustee, as the case may be, and
                           shall have all the rights, powers, discretions and
                           duties which the Facility Agent or Security Trustee,
                           as the case may be, has under the Financing
                           Documents.

         16.12.5  The resigning Agent shall make available to the successor
                  Agent all records and documents held by it as Facility Agent
                  or Security Trustee, as the case may be, and shall co operate
                  with the successor Agent to ensure an orderly transition.

                                      -94-

<PAGE>

16.13    CHANGE OF OFFICE

         An Agent may at any time in its sole discretion by notice to the other
         Agent, Dynea and each Bank designate a different office in the United
         Kingdom from which its duties as an Agent will be performed.

16.14    SECURITY DOCUMENTS

         16.14.1  The Security Trustee shall accept without investigation,
                  requisition or objection such title as any person may have to
                  the assets which are subject to the Security Documents and
                  shall not:

                  (a)      be bound or concerned to examine or enquire into the
                           title of any person; nor

                  (b)      be liable for any defect or failure in the title of
                           any person, whether such defect or failure was known
                           to the Security Trustee or might have been discovered
                           upon examination or enquiry and whether capable of
                           remedy or not; nor

                  (c)      be liable for any failure on its part to give notice
                           of the Security Documents to any third party or
                           otherwise perfect or register the security created by
                           the Security Documents.

         16.14.2  The Security Trustee shall hold the benefit of the Security
                  Documents (other than the Shared Security Documents) upon
                  trust for and, in respect of those Security Documents governed
                  by Austrian law, Belgian law, Finnish law, French law, Dutch
                  law and Norwegian law, as agent for itself, the Facility
                  Agent, the Issuing Bank and the Banks (other than the Term D
                  Lender). The Security Trustee shall hold the benefit of the
                  Shared Security Documents upon trust for and, in respect of
                  those Security Documents governed by Austrian law, Belgian
                  law, Finnish law, French law, Dutch law and Norwegian law, as
                  agent for itself, the Facility Agent, the Issuing Bank and the
                  Banks. Upon the appointment of any successor Security Trustee
                  under Clause 16.2 (Payments), the resigning Security Trustee
                  shall execute and deliver such documents and do such other
                  acts and things as may be necessary to vest in the successor
                  Security Trustee all the rights, title and interests vested in
                  the resigning Security Trustee under the Security Documents.

         16.14.3  The Security Trustee is hereby appointed and hereby accepts
                  its appointment as fonde de pouvoir (holder of a power of
                  attorney) of the Facility Agent, the Issuing Bank and the
                  Banks (in this sub-clause 16.14.3 collectively referred to as
                  the "Creditors" and individually as a "Creditor") as
                  contemplated by Article 2692 of the Civil Code of Quebec to
                  enter into, to take and to hold, on behalf of and for the
                  benefit of the Creditors, the Security Documents governed by
                  the laws of the Province of Quebec, Canada, and to exercise
                  such powers and duties which are conferred on it by such
                  Security Documents. Anyone who hereafter becomes a Creditor
                  shall be deemed to have consented to and confirmed the
                  Security Trustee as fonde de pouvoir and to have ratified as
                  of the date he becomes a Creditor all actions taken by the
                  fonde de pouvoir. As fonde de pouvoir the Security Trustee
                  shall be entitled to delegate from time to time any

                                      -95-

<PAGE>

                  of its powers or duties to such persons, and on such terms and
                  conditions, as the Security Trustee may determine from time to
                  time.

         16.14.4  Each of the Finance Parties hereby authorises the Security
                  Trustee to represent each of them in executing the Security
                  Documents in Indonesia in the required form and for this
                  purpose to appear before notaries, PPAT (Land Deed Officials)
                  and other competent officials in Indonesia without exception
                  including, without limitation, before the Fiduciary Registry
                  Office to effectuate the Asset Security Document to be
                  executed by PT MUGI Dyno Indonesia and to carry out all acts
                  required or incidental for the purpose stated in this
                  sub-clause 16.14.4.

16.15    DISTRIBUTION OF PROCEEDS OF ENFORCEMENT

         16.15.1  In this Clause 16.15:

                  "BANK OUTSTANDINGS" means, in respect of a Bank (other than
                  the Term D Lender) the aggregate of:

                  (a)      all amounts actually and contingently due to it under
                           any of the Financing Documents; and

                  (b)      all amounts actually and contingently due to it in
                           respect of the Interest Rate Protection Agreements.

                  "NON SHARED SECURITY DOCUMENTS" means the Security Documents
                  which are not Shared Security Documents.

                  "SHARED SECURITY DOCUMENTS" means each of:

                  (a)      the Share Charge dated 7 August 2000 entered into by
                           Issueco in favour of the Security Trustee in respect
                           of the shares of Dynea;

                  (b)      the Share Charge dated 7 August 2000 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of Dynea Finland Oy;

                  (c)      the Share Charge dated 7 August 2000 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of French Holdco;

                  (d)      the Share Charge dated 7 August 2000 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of Nordkem AS;

                  (e)      the Share Charge dated 7 August 2000 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of US Holdco;

                  (f)      the Share Charge dated 7 August 2000 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of Dynea Holding GmbH;

                  (g)      the Share Charge dated 30 May 2003 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of Dynea Holding B.V.;

                                      -96-

<PAGE>

                  (h)      the Share Charge dated 7 August 2000 entered into by
                           Dynea in favour of the Security Trustee in respect of
                           the shares of Dynea Canada Limited; and

                  (i)      the Share Charge dated 13 February 2004 entered into
                           by Dynea in favour of the Security Trustee in respect
                           of the shares of Dynco.

                  "TERM D LENDER LIABILITIES" means all amounts actually and
                  contingently due to the Term D Lender under any of the
                  Financing Documents.

                  "TOTAL OUTSTANDINGS" means the aggregate amount of all Bank
                  Outstandings.

         16.15.2  Following:

                  (a)      the enforcement of all or any of the Shared Security
                           Documents or the receipt of any monies by the
                           Security Trustee pursuant to the provisions of
                           Schedule 10 (Subordination), the Security Trustee
                           shall be entitled to deduct from the proceeds thereof
                           any costs, charges and expenses incurred by it in
                           connection with any such enforcement together with an
                           amount equal to all sums due to the Agents under this
                           Agreement before distributing such proceeds:

                           (i)      first to each Bank (other than the Term D
                                    Lender) an amount equal to the lesser of (x)
                                    the Bank Outstandings of such Bank and (y)
                                    the remaining proceeds multiplied by:

                                              Bank Outstandings of such Bank
                                         ---------------------------------------
                                                 Total Outstandings; and

                           (ii)     second, after the discharge in full of the
                                    Total Outstandings and up to an aggregate
                                    amount not exceeding the Term D Lender
                                    Liabilities, to the Term D Lender to be
                                    applied in discharge, to the extent of such
                                    payment, of the Term D Lender Liabilities;
                                    and

                  (b)      the enforcement of all or any of the Non Shared
                           Security Documents, the Security Trustee shall be
                           entitled to deduct from the proceeds of such
                           enforcement its costs, charges and expenses incurred
                           in connection with such enforcement together with an
                           amount equal to all sums due to the Agents under this
                           Agreement before distributing to each Bank (other
                           than the Term D Lender) an amount equal to the lesser
                           of (x) the Bank Outstandings of such Bank and (y) the
                           remaining proceeds multiplied by:

                                             Bank Outstandings of such Bank
                                         ---------------------------------------
                                                  Total Outstandings

                  where, in each case, Bank Outstandings and the Total
                  Outstandings are all calculated as at the date of
                  distribution, PROVIDED THAT if a Bank owes moneys under this
                  Agreement to the Issuing Bank, all distributions which would
                  otherwise be made to that Bank shall be made to the Issuing
                  Bank to be applied in discharge of such moneys until the same
                  have been discharged in full.

                                      -97-

<PAGE>

         16.15.3  Where any part of any Bank Outstandings is denominated in a
                  currency other than Euros, any calculation for the purposes of
                  this Clause 16.15, shall be made on the basis of the Euro
                  Equivalent of that part calculated at the date of
                  distribution. However, an actual distribution may, in the
                  Security Trustee's discretion, be made in the currencies of
                  the Bank Outstandings and for this purpose the Security
                  Trustee is authorised to convert any proceeds of enforcement
                  (including the proceeds of any previous conversion under this
                  Clause) from their existing currency into any other currency
                  at such rate of exchange and at such time as the Security
                  Trustee thinks fit.

         16.15.4  The Security Trustee shall notify the Facility Agent and each
                  Bank of any proposed distribution and the proposed date of
                  distribution and each Bank shall provide to the Security
                  Trustee a calculation of what is due to it in respect of the
                  sums referred to in sub-clause 16.14.1 of Clause 16.14
                  (Security Documents). The Security Trustee shall send copies
                  of all such calculations to each Bank and shall make the
                  distributions on the basis of such calculations.

         16.15.5  If any future or contingent liability included in the
                  calculation of Bank Outstandings finally matures, or is
                  settled, for less than the future or contingent amount
                  provided for in that calculation, the relevant Bank shall
                  notify the Security Trustee of that fact and such adjustment
                  shall be made by payment by that Bank to the Security Trustee
                  for distribution amongst the Banks as may be necessary to put
                  the Banks into the position they would have been in (but
                  taking no account of the time cost of money) had the original
                  distribution been made on the basis of the actual as opposed
                  to the future or contingent liability.

         16.15.6  The Security Trustee may, prior to payment in full of all Bank
                  Outstandings, at its discretion, accumulate proceeds of
                  enforcement in an interest bearing account in its own name
                  until there is a minimum of Euro 1,000,000 to distribute under
                  sub-clause 16.14.2 of Clause 16.14 (Security Documents).

16.16    RELEASES

         If the Majority Banks direct the Security Trustee that any Shared
         Security Document (other than the Share Charge granted by Issueco over
         the shares in Dynea) is to be released in whole or in part (other than
         on a discharge in full of the Facilities) such Shared Security Document
         shall be released.

16.17    ISSUING BANK

         16.17.1  The Issuing Bank may, with the prior consent of Dynea and the
                  Facility Agent be replaced as Issuing Bank by another Bank
                  (other than the Term D Lender).

         16.17.2  Any replacement of the Issuing Bank shall take effect only on
                  the beneficiaries under all outstanding Bank Guarantees, if
                  any, agreeing that the Bank that is to replace the existing
                  Issuing Bank may be substituted in place of the existing
                  Issuing Bank as the obligor under all such Bank Guarantees.

                                      -98-

<PAGE>

16.18    LEAD ARRANGER

         Except as specifically provided in this Agreement, the Lead Arranger
         has no obligations of any kind to any other Party and shall not have
         any liability whatsoever to any other Party under or in connection with
         any Financing Documents.

16.19    TERM D LENDER

         The Term D Lender shall not:

         16.19.1  enforce in any manner or be entitled to require the Facility
                  Agent or the Security Trustee to enforce in any manner, any
                  Shared Security Document prior to the date on which no amounts
                  are actually or contingently due to the Finance Parties (other
                  than the Term D Lender) under this Agreement and all the
                  Facilities (other than the Term D Loan Facility) have been
                  discharged; and

         16.19.2  be bound by the provisions of Clause 15 (Pro Rata Sharing)
                  notwithstanding that it is a Bank for the purposes of this
                  Agreement.

17.      FEES AND EXPENSES

17.1     EXPENSES

         Dynea shall on demand pay all expenses incurred (including legal,
         valuation and accounting fees but, in relation to sub-clauses 17.1.1
         and 17.1.2, only to the extent the same are reasonable in amount), and
         any VAT on those expenses:

         17.1.1   by an Agent or the Lead Arranger in connection with the
                  negotiation, preparation and execution of the Financing
                  Documents and the other documents contemplated by the
                  Financing Documents;

         17.1.2   by the Facility Agent or the Lead Arranger in respect of the
                  syndication of the Facilities;

         17.1.3   by an Agent or the Banks in connection with the granting of
                  any release, waiver or consent or in connection with any
                  amendment or variation of any Financing Document, in each
                  case, requested by a Group Company; and

         17.1.4   by an Agent or the Banks in enforcing, perfecting, protecting
                  or preserving (or attempting so to do) any of their rights, or
                  in suing for or recovering any sum due from a Borrower or any
                  other person under any Financing Document, or any reasonable
                  action taken in investigating any possible Default or
                  Potential Default.

17.2     ARRANGEMENT AND AGENCY FEES

         Dynea shall pay arrangement and agency fees in accordance with the
         terms of the Fees Letter. For the avoidance of doubt, all liabilities
         and obligations of Dynea under the Fees Letter shall be deemed to be
         incurred under this Agreement and shall be secured by the Security
         Documents.

17.3     COMMITMENT FEE

         Dynea shall pay a commitment fee in Euro to the Facility Agent for the
         account of the Banks having Revolving Credit Commitments at the rate of
         0.50 per cent. per annum on the Available Revolving Credit Facility.
         The commitment fee shall be calculated on a

                                      -99-

<PAGE>

         day-to-day basis and a 360 day year in respect of the Revolving Credit
         Commitment Period and shall be payable in arrear at the end of each
         successive period of 3 months commencing on the date of this Agreement
         and also on the last day of the Revolving Credit Commitment Period or
         on any earlier date on which the Total Revolving Credit Commitments
         equal zero.

17.4     DOCUMENTARY TAXES INDEMNITY

         All stamp, documentary, registration or other like duties or Taxes,
         including any penalties, additions, fines, surcharges or interest
         relating to those duties and Taxes, which are imposed or chargeable on
         or in connection with any Financing Document shall be paid by Dynea.
         The Facility Agent shall be entitled but not obliged to pay any such
         duties or Taxes (whether or not they are its primary responsibility).
         If the Facility Agent does so Dynea shall on demand indemnify the
         Facility Agent against those duties and Taxes and against any costs and
         expenses incurred by the Facility Agent in discharging them.

17.5     VAT

         17.5.1   All payments made by a Borrower under the Financing Documents
                  are calculated without regard to VAT. If any such payment
                  constitutes the whole or any part of the consideration for a
                  taxable or deemed taxable supply (whether that supply is
                  taxable pursuant to the exercise of an option or otherwise) by
                  a Finance Party, the amount of that payment shall be increased
                  by an amount equal to the amount of VAT which is chargeable in
                  respect of the taxable supply in question.

         17.5.2   No payment or other consideration to be made or furnished to a
                  Borrower by Finance Party pursuant to or in connection with
                  any Financing Document or any transaction or document
                  contemplated in any Financing Document may be increased or
                  added to by reference to (or as a result of any increase in
                  the rate of) any VAT which shall be or may become chargeable
                  in respect of any taxable supply.

17.6     INDEMNITY PAYMENTS

         Where in any Financing Document a Borrower has an obligation to
         indemnify or reimburse a Finance Party in respect of any loss or
         payment, the calculation of the amount payable by way of indemnity or
         reimbursement shall take account of the likely Tax treatment in the
         hands of the relevant Finance Party (as conclusively determined by the
         relevant party) of the amount payable by way of indemnity or
         reimbursement and of the loss or payment in respect of which that
         amount is payable.

18.      AMENDMENTS AND WAIVERS

18.1     MAJORITY BANKS

         18.1.1   Subject to Clause 18.2 (All Banks), Clause 18.3 (Issuing Bank)
                  and Clause 18.6 (Amendments to Shared Security Documents), any
                  term of any Financing Document (other than any right affecting
                  the Term D Lender only) may be amended or waived with the
                  written agreement of Dynea and the Majority Banks. The
                  Facility Agent may effect, on behalf of the Majority Banks, an
                  amendment or waiver to which the Majority Banks have agreed.

                                     -100-

<PAGE>

         18.1.2   The Facility Agent shall promptly notify Dynea and each Bank
                  of any amendment or waiver effected under sub-clause 18.1.1
                  and any such amendment or waiver shall be binding on Dynea and
                  each Bank.

18.2     ALL BANKS

         An amendment or waiver which relates to:

         18.2.1   the definition of "Majority Banks" in Clause 1.1
                  (Definitions);

         18.2.2   an extension of the date for, or a decrease in an amount or a
                  change in the currency of, any payment under any Financing
                  Document;

         18.2.3   an increase in a Bank's Commitment;

         18.2.4   a release of any Charging Group Company from its obligations
                  under any Security Document (other than those to which Clause
                  10.4 (Release of Security on Disposals) applies);

         18.2.5   a term of any Financing Document which expressly requires the
                  consent of each Bank; or

         18.2.6   Clause 6 (Interest) (other than an increase in the Margin
                  which may be effected with the prior consent of the Majority
                  Banks), Clause 7 (Repayment, Prepayment and Cancellation),
                  Clause 15 (Pro Rata Sharing) or Clause 17.3 (Commitment Fee)
                  or this Clause 18 (other than where the Facility Agent
                  certifies that the relevant amendment or waiver is not
                  material),

         may not be effected without the prior written consent of each Bank
         (other than the Term D Lender).

18.3     ISSUING BANK

         An amendment or waiver which affects the rights and obligations of the
         Issuing Bank in that capacity may not be effected without the prior
         written consent of the Issuing Bank.

18.4     NO IMPLIED WAIVERS; REMEDIES CUMULATIVE

         The rights of each Finance Party under the Financing Documents:

         18.4.1   may be exercised as often as necessary;

         18.4.2   are cumulative and not exclusive of its rights under the
                  general law; and

         18.4.3   may be waived only in writing and specifically.

         Delay in exercising or non exercise of any such right is not a waiver
         of that right.

18.5     EURO CONVENTIONS

         The Facility Agent may (after consultation with the Banks (other than
         the Term D Lender)) notify Dynea that any references in this Agreement
         to a Business Day, day-count fraction or other convention (whether for
         the calculation of interest, determination of payment dates or
         otherwise) shall, if different, be amended to comply with any generally
         accepted conventions and market practice from time to time applicable
         to Euro denominated obligations in the London interbank market. Upon
         such notification and

                                     -101-

<PAGE>

         notwithstanding Clause 18.1 (Majority Banks), Clause 18.2 (All Banks)
         or Clause 18.3 (Issuing Bank), this Agreement shall be deemed to be
         amended accordingly.

18.6     AMENDMENTS TO THIS AGREEMENT AND SHARED SECURITY DOCUMENTS

         18.6.1   No amendment that could reasonably be considered to be
                  materially prejudicial to the rights of the Term D Lender
                  shall be made to this Agreement without the prior consent of
                  the Term D Lender. For the avoidance of doubt, any amendments
                  to Clause 7 (Repayment, Prepayment and Cancellation), Clause
                  11 (Representations and Warranties), Clause 12 (Undertakings)
                  and Clause 13 (Default) (but not, for the avoidance of doubt,
                  Schedule 9 (Provisions relating to the Term D Loan Facility))
                  will be considered not to be materially prejudicial to the
                  rights of the Term D Lender.

         18.6.2   A waiver of the terms of a Financing Document that is a waiver
                  of a right affecting only the Term D Lender shall not be given
                  without the consent of the Term D Lender.

19.      MISCELLANEOUS

19.1     SEVERANCE

         If any provision of this Agreement is or becomes illegal, invalid or
         unenforceable in any jurisdiction, that shall not affect:

         19.1.1   the legality, validity or enforceability in that jurisdiction
                  of any other provision of this Agreement; or

         19.1.2   the legality, validity or enforceability in any other
                  jurisdiction of that or any other provision of this Agreement.

19.2     COUNTERPARTS

         This Agreement may be executed in any number of counterparts and this
         shall have the same effect as if the signatures on the counterparts
         were on a single copy of this Agreement.

20.      NOTICES

20.1     METHOD

         20.1.1   Each notice or other communication to be given under this
                  Agreement shall be given in writing in English and, unless
                  otherwise provided, shall be made by fax or letter.

         20.1.2   With the consent of the relevant Bank, the Facility Agent may
                  serve notices and other information on a Bank by way of
                  electronic mail.

20.2     DELIVERY

         Any notice or other communication to be given by one Party to another
         under this Agreement shall (unless one Party has by 15 days' notice to
         the other Party specified another address) be given to that other
         Party, in the case of Dynea, Nordkem, the Facility Agent, the Security
         Trustee and the Issuing Bank, at the respective addresses given in
         Clause 20.3 (Addresses), in the case of the Banks, at the respective
         addresses given in Schedule 1 (The Banks) or, as the case may be, the
         Schedule to its relevant Transfer

                                     -102-

<PAGE>

         Certificate and in the case of any Borrower (other than those becoming
         Borrowers as at the date of this Agreement) as set out in the Schedule
         to its relevant Deed of Accession.

20.3     ADDRESSES

         The address and fax number of Dynea, Nordkem, the Facility Agent, the
         Security Trustee and the Issuing Bank are:

         20.3.1   Dynea:

                  Dynea Chemicals Oy
                  Snellmaninkatu 13
                  00170 Helsinki
                  Finland

                  Attention: Sari Merinen
                  Fax:       00 358 10 585 2094

         20.3.2   Nordkem:

                  c/o Dynea Chemicals Oy
                  Snellmaninkatu 13
                  00170 Helsinki
                  Finland

                  Attention: Sari Merinen
                  Fax:       00 358 10 585 2094

         20.3.3   the Facility Agent:

                  Citibank International plc
                  Citigroup Centre
                  Canada Square
                  Canary Wharf
                  London E14 5LB

                  Attention: Sonia Gosparini
                  Fax:       0208 636 3824

         20.3.4   the Security Trustee:

                  Citibank International plc
                  Citigroup Centre
                  Canada Square
                  Canary Wharf
                  London E14 5LB

                  Attention: Sonia Gosparini
                  Fax:       0208 636 3824

         20.3.5   the Issuing Bank:

                  Citibank, N.A.

                                     -103-

<PAGE>

                  Citigroup Centre
                  Canada Square
                  Canary Wharf
                  London E14 5LB

                  Attention: Sonia Gosparini
                  Fax:       0208 636 3824

20.4     DEEMED RECEIPT

         20.4.1   Any notice or other communication given by an Agent shall be
                  deemed to have been received:

                  (a)      if sent by fax, with a confirmed receipt of
                           transmission from the receiving machine, on the day
                           on which transmitted;

                  (b)      in the case of a notice given by hand, on the day of
                           actual delivery;

                  (c)      if posted, on the second Business Day or, in the case
                           of airmail, the fifth Business Day following the day
                           on which it was despatched by first class mail
                           postage prepaid or, as the case may be, airmail
                           postage prepaid; or

                  (d)      if sent by way of electronic mail, when received

                  PROVIDED THAT a notice given in accordance with the above but
                  received on a day which is not a Business Day or after normal
                  business hours in the place of receipt shall be deemed to have
                  been received on the next Business Day.

         20.4.2   Any notice or other communication given to an Agent shall be
                  deemed to have been given only on actual receipt.

20.5     NOTICES THROUGH FACILITY AGENT

         Any notice or other communication from or to a Borrower under this
         Agreement shall be sent through the Facility Agent.

21.      ASSIGNMENTS AND TRANSFERS

21.1     BENEFIT OF AGREEMENT

         This Agreement shall be binding upon and enure to the benefit of each
         Party and its successors and assigns.

21.2     ASSIGNMENTS AND TRANSFERS BY BORROWERS

         No Borrower shall be entitled to assign or transfer any of its rights
         or obligations under this Agreement.

21.3     ASSIGNMENTS BY BANKS

         Any Bank may, subject to Clause 21.5 (Minimum Amounts), assign any of
         its rights and benefits under the Financing Documents to another bank
         or other financial institution (including, for the avoidance of doubt,
         a fund) PROVIDED THAT, until the assignee has confirmed to the Finance
         Parties that it shall be under the same obligations towards each of
         them as it would have been under if it had been a party to this
         Agreement as a Bank, the Finance Parties shall not be obliged to
         recognise the assignee as having the rights

                                     -104-

<PAGE>

         against each of them which it would have had if it had been such a
         party to this Agreement.

21.4     TRANSFERS BY BANKS

         21.4.1   Any Bank may, subject to Clause 21.5 (Minimum Amounts),
                  transfer, in accordance with this Clause 21.4, any of its
                  rights and obligations under the Financing Documents.

         21.4.2   If any Bank (the "EXISTING BANK") wishes to transfer all or
                  any part of its Commitment or Participation in the Facilities
                  to another bank or other financial institution (including, for
                  the avoidance of doubt, a fund) (the "BANK TRANSFEREE"), such
                  transfer may be effected by way of a novation by the delivery
                  to, and the execution by, the Facility Agent of a duly
                  completed Transfer Certificate, PROVIDED THAT if a Bank wishes
                  to transfer all or a part of its Revolving Credit Commitment
                  it shall obtain the prior written consent of the Issuing Bank.

         21.4.3   On the date specified in the Transfer Certificate:

                  (a)      to the extent that in the Transfer Certificate the
                           Existing Bank seeks to transfer its Commitment or
                           Participation in the Facilities, the Borrowers and
                           the Existing Bank shall each be released from further
                           obligations to each other under this Agreement and
                           their respective rights against each other shall be
                           cancelled (such rights and obligations being referred
                           to in this sub-clause 21.4.3 as "DISCHARGED RIGHTS
                           AND OBLIGATIONS");

                  (b)      the Borrowers and the Bank Transferee shall each
                           assume obligations towards each other and/or acquire
                           rights against each other which differ from the
                           Discharged Rights and Obligations only insofar as the
                           Borrowers and the Bank Transferee have assumed and/or
                           acquired the same in place of the Borrowers and the
                           Existing Bank;

                  (c)      each of the Parties and the Bank Transferee shall
                           acquire the same rights and assume the same
                           obligations among themselves as they would have
                           acquired and assumed had the Bank Transferee been a
                           party under this Agreement as a Bank with the rights
                           and/or the obligations acquired or assumed by it as a
                           result of the transfer; and

                  (d)      a proportion of the Existing Bank's rights under the
                           Security Documents, equal to the proportion of the
                           Existing Bank's rights under this Agreement being
                           transferred, shall automatically be transferred to
                           the Bank Transferee.

         21.4.4   The Facility Agent shall promptly complete a Transfer
                  Certificate on request by an Existing Bank and upon payment by
                  the Bank Transferee of a fee of Euro 1,500 to the Facility
                  Agent. Each Party irrevocably authorises the Facility Agent to
                  execute any duly completed Transfer Certificate on its behalf
                  PROVIDED THAT such authorisation does not extend to the
                  execution of a Transfer

                                     -105-

<PAGE>

                  Certificate on behalf of either the Existing Bank or the Bank
                  Transferee named in the Transfer Certificate.

         21.4.5   The Facility Agent shall promptly notify the Security Trustee,
                  the Lead Arranger and Dynea of the receipt and execution on
                  its behalf by the Facility Agent of any Transfer Certificate.

21.5     MINIMUM AMOUNTS

         Any transfer or assignment shall:

         21.5.1   be in respect of a minimum Commitment of Euro 5,000,000 or, if
                  less the whole Commitment of the transferor or assignor as the
                  case may be; and

         21.5.2   be made with the prior consent of Dynea (such consent not to
                  be unreasonably withheld or delayed) PROVIDED THAT this shall
                  not apply to a transfer or assignment (a) made as part of the
                  primary syndication of the Facilities, (b) to another Bank and
                  (c) to an affiliate of the transferor or assignor. For these
                  purposes, an "affiliate" of a Bank is a company which is a
                  holding company or a Subsidiary of such Bank or a subsidiary
                  of that holding company.

21.6    GLOBAL TRANSFER AGREEMENT

         21.6.1   It is agreed that, notwithstanding any other provision of the
                  Agreement, a Bank may transfer its rights and obligations
                  under this Agreement by the execution of a Global Transfer
                  Agreement.

         21.6.2   At the request of the Facility Agent, each of the Parties will
                  execute a Global Transfer Agreement.

21.7     CONSEQUENCES OF TRANSFER

         The Borrowers shall be under no obligation to pay any greater amount
         under this Agreement following an assignment or transfer by a Bank of
         any of its rights or obligations pursuant to this Clause 21 if, in the
         circumstances existing at the time of such assignment or transfer, such
         greater amount would not have been payable but for the assignment or
         transfer.

21.8     DISCLOSURE OF INFORMATION

         Each Finance Party may not disclose except to each other, to their
         professional advisers and, subject to any such person entering into a
         confidentiality undertaking in favour of Dynea, to any person with whom
         they are proposing to enter, or have entered into, any kind of
         assignment, transfer, novation, participation or other agreement in
         relation to this Agreement, any information which that Finance Party
         has acquired under or in connection with any Financing Document,
         PROVIDED THAT each Finance Party may disclose to any person any
         information that such Finance Party has acquired under or in connection
         with any Financing Document which is already in the public domain or
         which it is required by law or any regulatory authority to disclose.

                                     -106-

<PAGE>

22.      INDEMNITIES

22.1     BREAKAGE COSTS INDEMNITY

         Dynea shall indemnify each Bank on demand against any loss or expense
         (including any loss or expense on account of funds borrowed, contracted
         for or utilised to fund any amount payable under this Agreement, any
         amount repaid or prepaid under this Agreement or any Advance) which
         that Bank has sustained or incurred as a consequence of:

         22.1.1   an Advance not being made following the service of a Drawdown
                  Notice (except as a result of the failure of that Bank to
                  comply with its obligations under this Agreement);

         22.1.2   the operation of Clause 5.4 (No Alternative Currency);

         22.1.3   the failure of a Borrower to make payment on the due date of
                  any sum due under this Agreement;

         22.1.4   the occurrence of any Default or the operation of Clause 13.2
                  (Acceleration, etc.); or

         22.1.5   (other than pursuant to Clause 8.1 (Illegality)) any
                  prepayment or repayment of an Advance otherwise than on an
                  Interest Date relative to that Advance.

22.2     CURRENCY INDEMNITY

         22.2.1   Any payment made to or for the account of or received by an
                  Agent, the Issuing Bank or any Bank in respect of any moneys
                  or liabilities due, arising or incurred by a Borrower to an
                  Agent, the Issuing Bank or any Bank in a currency (the
                  "CURRENCY OF PAYMENT") other than the currency in which the
                  payment should have been made under this Agreement (the
                  "CURRENCY OF OBLIGATION") in whatever circumstances (including
                  as a result of a judgment against a Borrower) and for whatever
                  reason shall constitute a discharge to that Borrower only to
                  the extent of the Currency of Obligation amount which that
                  Agent, the Issuing Bank or that Bank, as the case may be, is
                  able on the date of receipt of such payment (or if such date
                  of receipt is not a Business Day, on the next succeeding
                  Business Day) to purchase with the Currency of Payment amount
                  at its spot rate of exchange (as conclusively determined by
                  that Agent, the Issuing Bank or that Bank) in the London
                  foreign exchange market.

         22.2.2   If the amount of the Currency of Obligation which that Agent,
                  the Issuing Bank or that Bank is so able to purchase falls
                  short of the amount originally due to that Agent, the Issuing
                  Bank or that Bank, as the case may be, under this Agreement,
                  then the relevant Borrower shall immediately on demand
                  indemnify that Agent, the Issuing Bank or that Bank, as the
                  case may be, against any loss or damage arising as a result of
                  that shortfall by paying to that Agent, the Issuing Bank or
                  that Bank, as the case may be, that amount in the Currency of
                  Obligation certified by that Agent, the Issuing Bank or that
                  Bank, as the case may be, as necessary so to indemnify it.

                                     -107-
<PAGE>

22.3     GENERAL

         22.3.1   Each indemnity in this Clause 22 shall constitute a separate
                  and independent obligation from the other obligations
                  contained in this Agreement, shall give rise to a separate and
                  independent cause of action, shall apply irrespective of any
                  indulgence granted from time to time and shall continue in
                  full force and effect notwithstanding any judgment or order
                  for a liquidated sum or sums in respect of amounts due under
                  this Agreement or under any such judgment or order.

         22.3.2   The certificate of the relevant Agent, the Issuing Bank or the
                  relevant Bank as to the amount of any loss or damage sustained
                  or incurred by it shall be conclusive and binding on the
                  Borrowers except for any manifest error.

23.      LAW AND JURISDICTION

23.1     LAW

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

23.2     JURISDICTION

         23.2.1   The Parties agree that the courts of England shall have
                  jurisdiction to settle any disputes which may arise in
                  connection with any Financing Document and that any judgment
                  or order of an English court in connection with any Financing
                  Document is conclusive and binding on them and may be enforced
                  against them in the courts of any other jurisdiction. This
                  sub-clause 23.2.1 is for the benefit of each Agent, the
                  Issuing Bank and each Bank only and shall not limit the right
                  of each Agent, the Issuing Bank and each Bank to bring
                  proceedings against any Borrower in connection with any
                  Financing Document in any other court of competent
                  jurisdiction or concurrently in more than one jurisdiction.

         23.2.2   Each Borrower:

                  (a)      waives any objections which it may have to the
                           English courts on the grounds of venue or forum non
                           conveniens or any similar grounds as regards
                           proceedings in connection with any Financing
                           Document; and

                  (b)      consents to service of process by mail or in any
                           other manner permitted by the relevant law.

23.3     AGENT FOR SERVICE

         Each Borrower shall at all times maintain an agent for service of
         process in England. That agent shall be Neste Chemicals UK Limited of
         Cambridge House, 37 Bramhall Lane South, Bramhall Stockport, Cheshire,
         SK7 2DU. Any claim form, writ, summons, judgment or other notice of
         legal process shall be sufficiently served on each Borrower if
         delivered to that agent at its address for the time being. No Borrower
         shall revoke the authority of that agent. If for any reason that agent
         no longer serves as agent of each Borrower to receive service of
         process, each Borrower shall promptly appoint another such agent and
         immediately advise the Facility Agent of that appointment.

IN WITNESS whereof the Parties have caused this Agreement to be duly executed on
the date set out above.

                                     -108-

<PAGE>

                                   SCHEDULE 1

                                    THE BANKS

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
Banca Nazionale Del Lavoro SpA Fitzwilliam House                   5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
London Branch                  10 St. Mary Axe.
Fitzwilliam House              London EC3A 8NA
10 St. Mary Axe.
London EC3A 8NA                Attn:   Lee Alderson (Credit)/
                               Anne Murray (Operational)

                               Fax: 020 7337 2504/ 020 7929
                                    7983

The Governor and Company of    Orchard Brae House                  5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
The Bank of Scotland           30 Queensferry Road
Broad Street House             Edinburgh  EH4 2UG
55 Old Broad Street
London  EC2P 2HL               Attn: Karen Lockie  (Credit)/
                                     Lesley Ross (Operational)

                               Fax:  0131 343 7080

ING Bank N.V., London Branch   60 London Wall                     10,199,571.41  7,514,426.00 3,120,760.92           -10,352,941.18
60 London Wall                 London  EC2M 5TQ
London  EC2M 5TQ
                               Attn: Martin Riordan (Credit)/
                                     Sam McKenzie
                                     (Operational)
                               Fax:  020 7767 7324
</TABLE>

                                     -109-

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
Citibank, N.A.,                Citigroup Centre                    3,303,270.30  8,069,468.79 4,486,251.91           - 3,878,963.64
Citigroup Centre               Canada Square
Canada Square                  Canary Wharf
Canary Wharf                   London E14 5LB
London E14 5LB
                               Attn: Nilesh Desai/Ian Cockerill

                               Fax:  0207 986 82 75

Danske Bank A/S                2-12 Holmens Kanal                  5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
                               DK 1092 - Copenhagen  _ Denmark

                               Attn: Christel Heckman (Credit)/
                                     Jette Johansen (Operational)

                               Fax:  0045 433 91 327

Den Norske Bank ASA            PO Box 1171 Sentrum                 5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
PO Box 1171 Sentrum            N-0107 Oslo
N-0107 Oslo                    Norway
Norway
                               Attn: Havard Bjorge (Credit)/
                                     Rolf S. Andresen
                                     (Operational )

                               Fax:  00 47 22 48 29 87/
                                     00 47 22 48 10 46
</TABLE>

                                     -110-

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
Fortis Bank S.A./N.V.          Camomile Court                      7,649,678.58             -            -           - 7,238,683.38
                               23 Camomile Street
                               London EC3A 7PP

                               Attn: Tony Gardner/Peter Henratty
                                     (Credit)/Hayley McKenna
                                     (Operational)

                               Fax:  0207 444 8630/
                                     0207 444 8810

Mizuho Corporate Bank Ltd      River Plate House                   5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
                               7-11 Finsbury Circus
                               London EC2M 7DH

                               Attn: Paul Digman (Credit)/ Roger
                                     Penn (Operational)

                               Fax:  020 7012 4154/
                                     020 7012 4606
</TABLE>

                                     -111-

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
KBC Bank N.V.                  7th Floor                           5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
7th Floor                      Exchange House
Exchange House                 Primrose Street
Primrose Street                London  EC2A 2HQ
London  EC2A 2HQ
                               Attn: Andrew Kemp (Credit)/
                                     Martin Clarke (Operational)

                               Fax:  020 7256 4846/
                                     020 7256 2141

Sampo Bank Plc                 Unioninkatu 22                      5,099,785.71  3,757,213.00 1,560,380.46           - 5,176,470.59
                               Helsinki
                               Fin - 00075 Sampo
                               Finland

                               Attn: Juha-Pekka Leinonen
                                     (Credit)/ Anni Villa
                                     (Operational)

                               Fax:  00358 105 13 3892/
                                     00358 105 13 4387
</TABLE>

                                     -112-
<PAGE>

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
Lloyds TSB Bank Plc, Brussels  2 Avenue de Tervueren               5,099,785.71  3,757,213.00 1,560,380.46           -  5,176,470.59
Branch                         B-1040 Brussels
2 Avenue de Tervueren          Belgium
B-1040 Brussels
Belgium                        Attn: Tony Williams/Mike Densem
                                     (Credit)/ Beaudoin Benfante
                                     (Operational)

                               Fax:  020 74631150/
                                     00 32 2733 0464

Nordea Bank Finland Plc        Aleksis Kivenkatu 3-5              10,489,331.97  7,727,904.01 4,344,399.10           - 10,647,058.83
                               Vallila, Helsinki
                               Fin - 00020 Nordea
                               Finland

                               Attn: Mikael Lusa (Credit)/ Panu
                                     Hentila (Operational)

                               Fax:  00358 916552162/ 00358
                               97536816
</TABLE>

                                     -113-

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                       REVOLVING
                                                                  TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE            ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
----------------------------- ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                           <C>                                <C>           <C>           <C>          <C>         <C>
Metropolitan Life Insurance    MetLife Investments Limited                   -             - 14,358,645.32          -             -
Company                        Orion House
1 Madison Avenue               5 Upper St. Martins Lane
New York                       London  WC2H 9EA
New York 10010
USA
                               Attn: Ian Harris (Credit)/ Neil
                                     Fredricks (Operational)

                               Fax:  020 7632 8101/
                                     00 1 813 801 2515

The Prudential Assurance       Laurence Pountney Hill                        -             - 22,678,279.32          -             -
Company Limited                London
Laurence Pountney Hill         EC4R 0EU
London
EC4R 0EU                       Attn: Colin Atkins (Credit)/ Mike
                                     Giles (Operational)

                               Fax:  020 7548 3989/ 3682

Scotiabank Europe Plc          Scotia House                       5,099,785.71  3,757,213.00  1,560,380.46          -  5,176,470.59
Scotia House                   33 Finsbury Square
33 Finsbury Square             London  EC2A 1BB
London  EC2A 1BB
                               Attn: Martin Cavell/Bill Curie
                                     (Credit)/ Joanne Coombs
                                     (Operational)

                               Fax:  020 7826 5645/5857
</TABLE>

                                     -114-

<PAGE>

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
Skandinaviska Enskilda Banken  2 Cannon Street                     5,099,785.71  3,757,213.00 1,560,380.46           -  5,176,470.59
AB (publ)
                               London  EC4M 6XX

2 Cannon Street
                               Attn: Simon Wheatley (Credit)/
London  EC4M 6XX                     Shafi Quraishi (Operational)

                               Fax:  020 7236 5144/
                                     004686110834

Svenska Handelsbanken AB(publ) Svenska Handelsbanken               5,099,785.71  3,757,213.00 1,560,380.46           -  5,176,470.59
Branch Operation in Finland    Medium and Long Term Finance
P.O. Box 60                    Grevgrand 2
FI-02010 Esbo                  SE-106 70 Stockholm
Finland                        Sweden

                               Attn: Markku Vasari (Credit)/
                                     Ingegard Ulfsward
                                     (Operational)

                               Fax:  00 358 10 444 3114/468
                                     7011 669
</TABLE>

                                     -115-
<PAGE>

<TABLE>
<CAPTION>
                                                                                                                        REVOLVING
                                                                   TERM A LOAN   TERM B LOAN  TERM C LOAN  TERM D LOAN    CREDIT
   BANK AND LENDING OFFICE             ADDRESS FOR NOTICES         COMMITMENT     COMMITMENT  COMMITMENT   COMMITMENT   COMMITMENT
------------------------------ ---------------------------------- ------------- ------------- ------------ ----------- -------------
<S>                            <C>                                <C>           <C>           <C>          <C>         <C>
The Royal Bank of Scotland plc The Royal Bank of Scotland plc      5,389,546.26  3,970,691.01 2,784,018.64           -  5,470,588.24
36 St. Andrew Square           Loans Administration
Edinburgh                      Corporate Banking Office
EH2 2YB                        1st Floor 5-10 Great Tower Street
                               London  EC3P 3HX

                               Attn: Iain Black (Credit)/ Grant
                                     James (Operational)

                               Fax:  020 7375 4003/ 020 7615 0135

WestLB AG                      51 Moorgate                         5,389,546.26  3,970,691.01 2,784,018.64           -  5,470,588.24
51 Moorgate                    London  EC2R 6AE
London  EC2R 6AE

                               Attn: Beatrice Oelher (Credit)/
                                     Michelle Phillips/Michael
                                     Noonan (Operational)

                               Fax:  00 49 211 826 3477/ 020
                                     70207620

Term D Lender                                                                 -             -            -  31,700,000             -
</TABLE>

                                     -116-
<PAGE>

                                   SCHEDULE 2

                                     PART I
                              CONDITIONS PRECEDENT

The conditions referred to in Clause 3.1 (Conditions Precedent) are as follows
(and for the purposes of Clause 3.1 (Conditions Precedent) any document which is
in the agreed form shall be in form and substance satisfactory to the Lead
Arranger acting reasonably):

1.       DELIVERY OF CERTIFIED COPIES

         The Facility Agent shall have received a Certified Copy of each of the
         following in form and substance satisfactory to it:

         (a)      the certificate of incorporation and any relative certificate
                  of incorporation on change of name (or any foreign equivalent)
                  of Parentco, Issueco and the companies listed in Part I of
                  Schedule 4 (Charging Group Companies);

         (b)      the constitutional documents of Parentco, Issueco and the
                  companies listed in Part I of Schedule 4 (Charging Group
                  Companies);

         (c)      the minutes of a meeting of the board of directors or, where
                  relevant, a shareholders' meeting or formal approval of
                  shareholders (as the case may be) of Parentco, Issueco and of
                  each company listed in paragraph 3 of Part I of this Schedule
                  2 (including the resolutions passed at those meetings):

                  (i)      approving and authorising the execution, delivery and
                           performance of each Transaction Document to which it
                           is to be a party on the terms and conditions of those
                           documents (other than in respect of the Guarantee to
                           be executed by Neste Polyester S.A. in accordance
                           with Clause 10.2 (Execution of Security Documents by
                           Dyno and its Subsidiaries));

                  (ii)     approving any transfer of the shares of any other
                           Material Company to the Security Trustee or any other
                           Finance Party, in the event that the Security Trustee
                           or any other Finance Party becomes entitled to such
                           shares pursuant to the Share Charges or any other
                           Security Document;

                  (iii)    showing that the relevant board meeting was quorate,
                           that due consideration was given by all the relevant
                           directors present of the relevant company's
                           obligations and liabilities arising under those
                           documents and that all declarations of interests
                           required in connection with any Transaction Document
                           to which it is to be a party were made; and

                  (iv)     authorising any director or other person whose name
                           and specimen signature is set out in those minutes to
                           sign or otherwise attest the execution of those
                           documents and any other documents to be executed or
                           delivered pursuant to those documents;

         (d)      each of the following documents duly executed by the parties
                  thereto:

                                      -117-
<PAGE>

                  (i)      the Investment Agreement;

                  (ii)     the Oxo Sale Agreement;

                  (iii)    the Intra-Group Loan Agreement;

                  (iv)     the Issueco Bridging Loan Agreement;

                  (v)      the terms of appointment of the Receiving Agent;

                  (vi)     the Offer Document;

                  (vii)    the Senior Subordinated Notes Instrument; and

         (e)      the Dyno Explosives Sale Agreement and the Captive Bridging
                  Loan Agreement, each in the agreed form.

2.       DELIVERY OF ORIGINAL NON-SECURITY DOCUMENTATION, ETC.

         The Facility Agent shall have received each of the following in form
         and substance satisfactory to it:

         (a)      the Fees Letter duly countersigned by Dynea together with all
                  fees then payable under the terms thereof;

         (b)      all items forming the Information Package (in each case
                  addressed to the Finance parties or accompanied by a reliance
                  letter in form and substance satisfactory to the Facility
                  Agent acting reasonably);

         (c)      a certificate from a director of Dynea that the Investors have
                  pursuant to the Investment Agreement (i) subscribed in cash
                  for issued share capital in Parentco of at least NOK
                  200,000,000 and (ii) invested in cash in the convertible
                  debentures in Parentco of at least Euro 85,500,000, that
                  Parentco has subscribed in cash for issued share capital in
                  Issueco of at least Euro 91,500,000, that Issueco has
                  subscribed in cash for issued share capital in Dynea of the
                  same amount and that Dynea shall apply such sum,
                  simultaneously with the first drawdown under this Agreement
                  for the same purpose as the proceeds of the Term Loan
                  Facilities;

         (d)      a letter from the insurance broker to the Group confirming
                  that all insurances are in effect;

         (e)      a certificate from Salomon Brothers International Limited
                  certifying that (i) the Senior Subordinated Notes have been
                  issued and have been subscribed for in cash in an aggregate
                  amount of Euro 240,000,000 and (ii) that the Issueco Bridging
                  Loan has been made in an amount of Euro 30,000,000;

         (f)      Neste Chemicals UK Limited's written acceptance as agent for
                  service of process;

         (g)      the PWC Dyno Structuring Memorandum in the agreed form;

                                      -118-
<PAGE>

         (h)      a certificate from Christiana Bank og Kreditkasse certifying
                  that the Christiana Facilities are unconditionally available
                  for drawing;

         (i)      a written undertaking from Industri Kapital that it will, by
                  31 December 2000, subscribe in cash for issued share capital
                  in Parentco of at least Euro 4,500,000 if the Management fails
                  to invest in cash for at least the same amount by such date
                  pursuant to the management share incentive scheme set up by
                  Parentco;

         (j)      an ISDA master agreement duly executed by Citibank, N.A. and
                  Dynea;

         (k)      legal opinions from each of:

                  (i)      Clifford Chance as to matters of English law;

                  (ii)     Luostarinen Mettala & Raikkonen as to matters of
                           Finnish law;

                  (iii)    Arntzen, Underland & Co. ANS as to matters of
                           Norwegian law;

                  (iv)     Clifford Chance as to matters of French law;

                  (v)      Calfee, Halter & Griswold LLP as to matters of US
                           law;

                  (vi)     McCarthy Tetrault as to matters of Canadian law;

                  (vii)    Wolff Theiss & Partners as to matters of Austrian
                           law; and

                  (viii)   Nauta Dutilh as to matters of Dutch law;

         (l)      a certificate from a director of Dynea certifying that:

                  (i)      the Offer is unconditional in all respects;

                  (ii)     Nordkem has received valid acceptances for at least
                           90 per cent. of the Dyno Shares;

                  (iii)    the Oxo Sale Agreement is unconditional in all
                           respects;

                  (iv)     the loan to be made pursuant to the Intra-Group Loan
                           Agreement has been made;

                  (v)      all required governmental, judicial, regulatory and
                           other clearances which are necessary from the
                           European Commission and any other relevant
                           authorities in all relevant jurisdictions for
                           completion of the Offer have been obtained; and

                  (vi)     there are no Encumbrances (other than Permitted
                           Encumbrances) over all or any part of the assets of
                           Dynea, Dyno and their respective Subsidiaries.

3.       DELIVERY OF SECURITY DOCUMENTS

         The Security Trustee shall have received each of the following in form
         and substance satisfactory to it:

         (a)      a Guarantee duly executed by each of:

                                      -119-
<PAGE>

                  (i)      Dynea;

                  (ii)     Nordkem;

                  (iii)    US Holdco;

                  (iv)     US Neste;

                  (v)      Austrian Holdco;

                  (vi)     Austrian Neste;

                  (vii)    Dynea Fort Smith Inc. (formerly Neste Polyester
                           Inc.);

                  (viii)   Dynea USA Inc. (formerly Neste Resins Corporation);

                  (ix)     Canadian Neste;

                  (x)      French Holdco;

                  (xi)     French Neste; and

                  (xii)    Neste Resins Oy;

         (b)      an Asset Security Document duly executed by each of:

                  (i)      Dynea;

                  (ii)     US Holdco

                  (iii)    US Neste;

                  (iv)     Dynea USA Inc. (formerly Neste Resins Corporation);

                  (v)      Dynea Fort Smith Inc. (formerly Neste Polyester
                           Inc.);

                  (vi)     Neste Resins Oy;

                  (vii)    Austrian Holdco;

                  (viii)   Austrian Neste; and

                  (ix)     Canadian Neste;

         (c)      a Share Charge duly executed by:

                  (i)      Issueco over the entire issued share capital of
                           Dynea;

                  (ii)     Nordkem over the entire issued share capital of Dyno;

                  (iii)    Dynea over the entire issued share capital of each of
                           Neste Resins Oy, Dynea B.V. (formerly Neste Resins
                           B.V.), French Holdco, US Holdco, Canadian Neste,
                           Austrian Holdco and Nordkem;

                  (iv)     Austrian Holdco over the entire issued share capital
                           of Austrian Neste;

                                      -120-
<PAGE>

                  (v)      French Holdco over the entire issued share capital of
                           the French Neste;

                  (vi)     French Neste over the entire issued share capital of
                           Neste Polyester S.A.;

                  (vii)    US Holdco over the entire issued share capital of the
                           US Neste; and

                  (viii)   US Neste over the entire issued share capital of each
                           of Dynea USA Inc. (formerly Neste Resins Corporation)
                           and Dynea Fort Smith Inc. (formerly Neste Polyester
                           Inc.);

         (d)      a Property Charge duly executed by each of:

                  (i)      Neste Resins Oy in respect of its sites at Hamina
                           (registration number of the land lease mortgage
                           75-402-1-58-L1, 75-402-1-165-L1, 75-402-1-165-L2,
                           75-402-1-165-L3 and 75-402-1-172-L1) and Joroinen
                           (registration number of the land lease mortgage
                           171-403-1-167-L1 and 171-403-1-112-L1);

                  (ii)     Canadian Neste in respect of its sites at City of
                           North Bay, City of Thunder Bay and Town of Lindsay;
                           and

                  (iii)    Austrian Neste in respect of its sites registered at
                           the Land Register (Grundbuch) Weinzirl bei Krems
                           012138 under EZ 530, EZ 309 and property share no. 25
                           of EZ 17; and

         (e)      the Intercreditor Agreement duly executed by the parties to
                  it,

         together with, in each case, all documents deliverable with them
         (including, but not limited to, the guarantee fee letters in respect of
         the guarantees to be granted by each of French Holdco, French Neste and
         Neste Polyester S.A.).

                                      -121-
<PAGE>

                                    PART II
                              CONDITIONS SUBSEQUENT

The conditions subsequent referred to in Part II of this Schedule 2 are as
follows (and for the purposes of Part II of this Schedule 2 any document which
is in the agreed form shall be in form and substance satisfactory to the Lead
Arranger acting reasonably):

1.       DELIVERY OF CERTIFIED COPIES

         The Facility Agent shall have received a Certified Copy of each of the
         following in form and substance satisfactory to it:

         (a)      the minutes of a meeting of the board of directors or, where
                  relevant, a shareholders' meeting or formal approval of
                  shareholders (as the case may be) of each company listed in
                  paragraph 2, Part II of this Schedule 2 (including the
                  resolutions passed at those meetings):

                  (i)      approving and authorising the execution, delivery and
                           performance of each Transaction Document to which it
                           is to be a party on the terms and conditions of those
                           documents, including, for the avoidance of doubt, the
                           authorisation by a shareholders' meeting of Neste
                           Polyester S.A. of the Share Charge over its shares by
                           Neste Chimie France S.A. pursuant to article 13 of
                           the by-laws of Neste Polyester S.A.;

                  (ii)     approving any transfer of the shares of any other
                           Material Company to the Security Trustee or any other
                           Finance Party, in the event that the Security Trustee
                           or any other Finance Party becomes entitled to such
                           shares pursuant to the Share Charges or any other
                           Security Document;

                  (iii)    showing that the relevant board meeting was quorate,
                           that due consideration was given by all the relevant
                           directors present of the relevant company's
                           obligations and liabilities arising under those
                           documents and that all declarations of interests
                           required in connection with any Transaction Document
                           to which it is to be a party were made; and

                  (iv)     authorising any director or other person whose name
                           and specimen signature is set out in those minutes to
                           sign or otherwise attest the execution of those
                           documents and any other documents to be executed or
                           delivered pursuant to those documents.

2.       DELIVERY OF SECURITY DOCUMENTS AND LEGAL OPINIONS

         The Security Trustee shall have received each of the following in form
         and substance satisfactory to it:

         (a)      a Guarantee duly executed by each of:

                  (i)      Dyno;

                  (ii)     Dynoresins Oy

                                      -122-
<PAGE>

                  (iii)    Neste Polyester S.A.;

                  (iv)     Dyno Overlays Inc.;

                  (v)      Dynea Nederland BV (formerly Dyno Nederland BV);

                  (vi)     Dyno Chemie NV (Belgium);

                  (vii)    Dyno Industries USA Inc.; and

                  (viii)   Dyno Industries Pte. Ltd (Singapore);

         (b)      an Asset Security Document duly executed by each of:

                  (i)      Dyno;

                  (ii)     Dynea Nederland BV (formerly Dyno Nederland BV);

                  (iii)    Dyno Industries Pte. Ltd (Singapore);

                  (iv)     Dyno Chemie NV (Belgium);

                  (v)      Dyno Overlays Inc.;

                  (vi)     Dynoresins Oy; and

                  (vii)    Dyno Industries USA Inc.;

         (c)      a Guarantee and Debenture duly executed by each of:

                  (i)      Dynea Ireland Ltd (formerly Dynochem Ireland Ltd);
                           and

                  (ii)     Dynochem UK Ltd;

         (d)      a Share Charge duly executed by:

                  (i)      Dynoresins Oy and Dyno Industries USA Inc. over the
                           entire issued share capital of Dyno Overlays Inc.;

                  (ii)     Dyno over the entire issued share capital of Dyno
                           Industries USA Inc;

                  (iii)    Dyno over the entire issued share capital of Dynea
                           Ireland Ltd (formerly Dynochem Ireland Ltd.);

                  (iv)     Dyno Industries UK Limited over the entire issued
                           share capital of Dynochem UK Ltd.;

                  (v)      Dyno and Dynea Nederland BV (formerly Dyno Nederland
                           BV) over the entire issued share capital of Dyno
                           Chemie NV (Belgium);

                  (vi)     Dyno over the entire issued capital of Dynea
                           Nederland BV (formerly Dyno Nederland BV);

                  (vii)    Dyno over the entire issued share capital of
                           Dynoresins Oy; and

                                      -123-
<PAGE>

                  (viii)   Dyno over the entire issued share capital of Dyno
                           Industries Pte. Ltd (Singapore).

         (e)      a Property Charge duly executed by each of:

                  (i)      Dynea USA Inc. (formerly Neste Resins Corporation) in
                           respect of its sites at (1) 4785 North 28th Street,
                           Springfield, Oregon 97477, USA, (2) 6175 American
                           Road, Toledo, Ohio 43612, USA, (3) Highway 167 North,
                           Winnfield, Louisiana 71483, (4) Highway 84 West,
                           Andalusia, Alabama 36420, USA and (5) Corinth Road,
                           Manicure, North Carolina 27559, USA; and

                  (ii)     Dynea Fort Smith Inc. (formerly Neste Polyester Inc.)
                           in respect of its site at 435 Harrison, Elkhart,
                           IN46516, USA;

         together with, in each case, all documents deliverable with them.

         (f)      legal opinions from each of:

                  (i)      Clifford Chance as to matters of English law;

                  (ii)     Luostarinen Mettala & Raikkonen as to matters of
                           Finnish law;

                  (iii)    Arntzen, Underland & Co. ANS as to matters of
                           Norwegian law;

                  (iv)     Calfee, Halter & Griswold LLP as to matters of US
                           law;

                  (v)      McCann Fitzgerald as to matters of Irish law;

                  (vi)     Nauta Dutilh as to matters of Dutch law;

                  (vii)    Clifford Chance as to matters of Singapore law; and

                  (viii)   Loeff Claeys Verbeke as to matters of Belgian law.

                                      -124-
<PAGE>

                                    PART III
                               ADDITIONAL SECURITY

1.       DELIVERY OF CERTIFIED COPIES

         The Facility Agent shall have received a Certified Copy of each of the
         following in form and substance satisfactory to it:

         (a)      to the extent not previously provided to the Facility Agent, a
                  certificate of incorporation and any relative certificate of
                  incorporation on change of name (or any foreign equivalent) of
                  each of Issueco, Dynea and Dynea NZ Limited;

         (b)      a certificate from two directors of Dynea confirming that,
                  save as set out therein, the constitutional documents of each
                  of Issueco, Dynea and Dynea NZ Limited have not been amended
                  since such documents were provided to the Facility Agent in
                  August 2000 or, in the case of Dynea NZ Limited, February
                  2004; and

         (c)      the minutes of a meeting of the board of directors or, where
                  relevant, a shareholders' meeting of each of Issueco, Dynea
                  and Dynea NZ Limited (including the resolutions passed at
                  those meetings):

                  (i)      approving and authorising the execution, delivery and
                           performance of each document listed in paragraph 2
                           below to which it is a party on the terms and
                           conditions of those documents;

                  (ii)     showing that the relevant board (or shareholders)
                           meeting was quorate and that all declarations of
                           interests required in connection with any document
                           listed in paragraph 2 below to which it is a party
                           were made; and

                  (iii)    authorising any director whose name and specimen
                           signature is set out in those minutes to sign or
                           otherwise attest the execution of those documents and
                           any other documents to be executed or delivered
                           pursuant to those documents.

2.       The Security Trustee shall have received each of the following in form
         and substance satisfactory to it:

         (a)      a Guarantee and an Asset Security Document entered into by
                  Dynea NZ Ltd;

         (b)      a Certified Copy of the letter from Dynea to Nordkem (i)
                  stating that Dynea and the Security Trustee (acting on behalf
                  of the Finance Parties) have agreed that the Share Charge
                  granted by Dynea in favour of the Security Trustee over the
                  entire issued share capital of Nordkem will secure all of the
                  Facilities (including the Term D Loan Facility), (ii)
                  requesting Nordkem to note such security in its shareholders'
                  book, (iii) stating that the Term D Lender shall be a Finance
                  Party under and as such term is defined in the Credit
                  Agreement and (iv) acknowledging the provisions of Clause
                  16.15 (Distribution of proceeds of enforcement), together with
                  a Certified Copy of Nordkem's written acceptance of the same;
                  and

                                      -125-
<PAGE>

         (c)      an amendment agreement between Dynea and the Security Trustee
                  in relation to the Share Charge granted by Dynea over the
                  entire issued share capital of US Holdco.

3.       Legal opinions from each of:

         (a)      Clifford Chance Limited Liability Partnership as to matters of
                  New York law;

         (b)      Luostarinen Mettala & Raikonnen as to matters of Finnish law;

         (c)      Chapmann Tripp as to matters of New Zealand law; and

         (d)      Arntzen de Besche as to matters of Norwegian law.

                                      -126-
<PAGE>

                                   SCHEDULE 3

                                     PART I
                                 DRAWDOWN NOTICE

To:   CITIBANK INTERNATIONAL plc

From: *[BORROWER]

                                                                         *[date]

Dear Sirs,

CREDIT AGREEMENT DATED * (THE "CREDIT AGREEMENT")

Terms defined in the Credit Agreement have the same meaning in this notice.

We request an Advance to be drawn down under the Credit Agreement as follows:

1.       Facility:

2.       Amount [and currency](1) of Advance:

3.       Drawdown Date:

4.       Duration of Interest Period:

5.       Payment instructions:

         (if applicable)

We confirm that today and on the Drawdown Date:

(a)      the representations and warranties in Clause 11.1 (Representations and
         Warranties) by Dynea to be repeated are and will be correct; and

(b)      no Default or Potential Default has occurred and is continuing or will
         occur on the making of the Advance.

SIGNED

For and on behalf of

*[BORROWER]

(a company incorporated in * under number *)

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

(1) Revolving Advance only.

                                      -127-
<PAGE>

                                    PART II
                             BANK GUARANTEE REQUEST

To:   CITIBANK INTERNATIONAL plc

From: *[BORROWER]

                                                                         *[date]

Dear Sirs,

CREDIT AGREEMENT DATED * (THE "CREDIT AGREEMENT")

Terms defined in the Credit Agreement have the same meaning in this request.

We request a Bank Guarantee to be issued under the Revolving Credit Facility in
the form attached:

1.       Issue Date:

2.       Amount and currency of Bank Guarantee:

3.       Purpose of Bank Guarantee:

4.       Expiry date of Bank Guarantee:

We confirm that today and on the Issue Date:

(a)      the representations and warranties in Clause 11 (Representations and
         Warranties) by Dynea to be repeated are and will be correct; and

(b)      no Default or Potential Default has occurred and is continuing or will
         occur on the issue of the Bank Guarantee.

SIGNED

For and on behalf of

*[BORROWER]

(a company incorporated in * under number *)

                                      -128-
<PAGE>

                                   SCHEDULE 4
                                    THE GROUP

                                     PART I
                            CHARGING GROUP COMPANIES

<TABLE>
<CAPTION>
           NAME                             JURISDICTION OF INCORPORATION
--------------------------                  -----------------------------
<S>                                         <C>
Dynea                                             Finland
Nordkem                                           Norway
Dynea NZ Ltd                                      New Zealand
Austrian Holdco                                   Austria
French Holdco                                     France
US Holdco                                         USA
Austrian Neste                                    Austria
Dynea Canada Inc.                                 Canada
US Neste                                          USA
Dynea USA Inc.                                    USA
Dynea Fort Smith Inc.                             USA
Dynea Finland Oy                                  Finland
Dynea B.V.                                        The Netherlands
Dynea Ireland Ltd.                                Ireland
Dynea Overlays Inc.                               USA
Dyno Industries USA Inc.                          USA
Dynea Overlays Oy                                 Finland
Dynea Nederland BV                                The Netherlands
Dynea UK Ltd.                                     England and Wales
Dynea Singapore Pte. Ltd.                         Singapore
Dynea NV                                          Belgium
Dynea Nederland Holding BV                        The Netherlands
Dynea Erkner GmbH                                 Germany
Dynea France SA                                   France
Dynea Resins France SAS                           France
Dynea A/S                                         Denmark
Dynea Aycliffe Ltd                                England and Wales
Chemitec do Brasil LTDA                           Brasil
SCP Dynea do Brasil                               Brasil
Dynea Holding BV                                  The Netherlands
</TABLE>

                                     -129-
<PAGE>

                                    PART II
                              OTHER GROUP COMPANIES

<TABLE>
<CAPTION>
                     NAME                              JURISDICTION OF INCORPORATION
-----------------------------------------------        -----------------------------
<S>                                                    <C>
German Neste                                                 Germany
Neste Chemicals Iberica S.L.                                 Spain
Neste Chemicals Scandinavia AB                               Sweden
PT Dynea MUGI Indonesia                                      Indonesia
Krems Knapsack Phosporprodukte GmbH                          Austria
Neste Kemi Danmark A/S                                       Denmark
Dynea Lahti Oy                                               Finland
Dynea Hungary KFT.                                           Hungary
KVS Kunststoff Verbund Systeme                               Germany
Dynea Mexico S.A. de C.V.                                    Mexico
Nordalim AS                                                  Norway
Nordcoll AS                                                  Norway
Dynea Polska SP Z.O.O.                                       Poland
PT Dynea Indria (Indonesia)                                  Indonesia
ABB Krems Service GmbH                                       Austria
A/S Tollbodgaten 22                                          Norway
Dyno Invest                                                  Norway
Beijing Dynea Chemicals Industry Co Ltd                      China
Dynea Chemicals and Plastics Co. Ltd (Shanghai)              China
Dyno Chemie BV (Netherlands)                                 The Netherlands
Dyno Industries UK                                           England and Wales
Dyno Pakistan Ltd                                            Pakistan
Dynea Polska Ltd                                             Poland
Dynea (Thailand) Co. Ltd.                                    Thailand
Dynochem Sdn. Bhd. (Malaysia)                                Malaysia
Dynea Vietnam Co. Ltd.                                       Vietnam
Gluestick AB                                                 Sweden
Industries Quimicas Dyno Do Brasil                           Brazil
Krystal Norsk Lim AS                                         Norway
KVS Kunstsoff Verbund Systeme                                Germany
Deutschland GmbH
Dynco                                                        Finland
Dynea HongKong PTE Ltd.                                      Hong Kong
Dynea Guangdong Co. Ltd.                                     China
Dynea Krabi Co. Ltd.                                         Thailand
Dynea Operadora SA de CV                                     Mexico
Dynea Holzleime GmbH                                         Germany
SCHEDULE 5
</TABLE>

                                      -130-
<PAGE>

                                   SCHEDULE 5

                               MANDATORY COST RATE

The Mandatory Cost Rate is an addition to the interest rate on an Advance to
compensate the Banks for the cost attributable to an Advance resulting from the
imposition from time to time under or pursuant to the Bank of England Act 1998
(the "BANK OF ENGLAND ACT") and/or by the Bank of England and/or the Financial
Services Authority (the "FSA") (or other United Kingdom governmental authorities
or agencies) of a requirement to place non-interest-bearing or Special Deposits
(whether interest bearing or not) with the Bank of England and/or pay fees to
the FSA calculated by reference to liabilities used to fund the Advance.

The Mandatory Cost Rate shall be the rate determined by the Facility Agent to be
equal to the arithmetic mean (rounded upward, if necessary, to 4 decimal places)
of the respective rates notified by each Reference Bank to the Facility Agent as
the rate resulting from the application (as appropriate) of the following
formulae:

      in relation to an Advance denominated in Sterling: XL + S(L - D) + F  0.01
                                                         -----------------------
                                                         100 - (X + S)

      in relation to an Advance denominated in

a currency other than Sterling:           F  0.01
                                          -------
                                            300

where on the day of application of a formula:

X        is the percentage of Eligible Liabilities (in excess of any stated
         minimum) by reference to which that Reference Bank is required under or
         pursuant to the Bank of England Act to maintain cash ratio deposits
         with the Bank of England;

L        is LIBOR for the relevant Advance for the relevant period;

F        is the rate of charge payable by that Reference Bank to the FSA
         pursuant to paragraph 2.02 or 2.03, as the case may be, of the Fees
         Regulations (but where, for this purpose, the figures at paragraphs
         2.02b and 2.03b of the Fees Regulations shall be deemed to be zero) and
         expressed in pounds per (pound)1 million of the Fee Base of that
         Reference Bank;

S        is the level of interest bearing Special Deposits, expressed as a
         percentage of Eligible Liabilities, which that Reference Bank is
         required to maintain by the Bank of England (or other United Kingdom
         governmental authorities or agencies); and

D        is the percentage rate per annum payable by the Bank of England to that
         Reference Bank on Special Deposits.

(X, L, S and D shall be expressed in the formula as numbers and not as
percentages, e.g. if X = 0.15% and L = 7%, XL will be calculated as 0.15 7 and
not as 0.15% 7%. A negative result obtained from subtracting D from L shall be
counted as zero.)

If any Reference Bank fails to notify any such rate to the Facility Agent, the
Mandatory Cost Rate shall be determined on the basis of the rate(s) notified to
the Facility Agent by the remaining Reference Bank(s).

                                      -131-
<PAGE>

The Mandatory Cost Rate attributable to an Advance or other sum for any period
shall be calculated at or about 11.00 a.m. on the first day of that period for
the duration of that period.

The determination of the Mandatory Cost Rate in relation to any period shall, in
the absence of manifest error, be conclusive and binding on the Parties.

If there is any change in circumstance (including the imposition of alternative
or additional requirements) which in the reasonable opinion of the Facility
Agent renders or will render either of the above formulae (or any element of the
formulae, or any defined term used in the formulae) inappropriate or
inapplicable, the Facility Agent (following consultation with the Borrowers and
the Majority Banks) shall be entitled to vary the same by giving notice to the
Parties. Any such variation shall, in the absence of manifest error, be
conclusive and binding on the Parties and shall apply from the date specified in
such notice.

For the purposes of this Schedule:

         "ELIGIBLE LIABILITIES" and "SPECIAL DEPOSITS" have the meanings given
         to those terms under or pursuant to the Bank of England Act or by the
         Bank of England (as may be appropriate), on the day of the application
         of the formula.

         "FEE BASE" has the meaning given to that term for the purposes of, and
         shall be calculated in accordance with, the Fees Regulations.

         "FEES REGULATIONS" means, as appropriate, either:

         (a)      the Banking Supervision (Fees) Regulations 2000; or

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

                                      -132-
<PAGE>

                                   SCHEDULE 6
                          FORM OF TRANSFER CERTIFICATE

                              TRANSFER CERTIFICATE

To:      Citibank International plc

         and the other parties to the Credit Agreement (as defined below)

This transfer certificate ("TRANSFER CERTIFICATE") relates to a credit agreement
dated * 2000 and made, among others, between (1) Dynea Chemicals Oy (formerly
known as Neste Chemicals Oy), (2) Nordkem AS, (3) certain banks, (4) Citibank
International plc as facility agent, (5) Citibank International plc as security
trustee, (6) Citibank, N.A. as issuing bank and (7) Citigroup Global Markets
Limited as lead arranger in respect of a term A loan facility, a term B loan
facility, a term C loan facility, a term D loan facility and a multicurrency
revolving loan and guarantee facility (the "CREDIT AGREEMENT", which term shall
include any amendments or supplements to it).

Terms defined and references construed in the Credit Agreement shall have the
same meanings and construction in this Transfer Certificate.

1.       *[insert full name of Existing Bank] (the "EXISTING BANK"):

         (a)      confirms that to the extent that details appear in the
                  Schedule to this Transfer Certificate under the headings
                  "Existing Bank's Commitment" and "Existing Bank's
                  Participation in the Facilities", those details accurately
                  summarise its Commitment and its Participation in the
                  Facilities all or part of which is to be transferred; and

         (b)      requests *[insert full name of Bank Transferee] (the "BANK
                  TRANSFEREE") to accept and procure, in accordance with Clause
                  y21.4 (Transfers by Banks) of the Credit Agreement, the
                  substitution of the Existing Bank by the Bank Transferee in
                  respect of the amount of its Commitment and its Participation
                  in the Facilities to be transferred as specified in the
                  Schedule to this Transfer Certificate by signing this Transfer
                  Certificate.

2.       The Bank Transferee requests each of the Parties to accept this
         executed Transfer Certificate as being delivered under and for the
         purposes of Clause y21.4 (Transfers by Banks) of the Credit Agreement
         so as to take effect in accordance with the provisions of that Clause
         on *[insert date of transfer].

3.       The Bank Transferee:

         (a)      confirms that it has received a copy of the Credit Agreement
                  together with such other documents and information as it has
                  requested in connection with this transaction;

                                     -133-
<PAGE>

         (b)      confirms that it has not relied and will not rely on the
                  Existing Bank to check or enquire on its behalf into the
                  legality, validity, effectiveness, adequacy, accuracy or
                  completeness of any such documents or information; and

         (c)      agrees that it has not relied and will not rely on the Agents,
                  the Issuing Bank, the Existing Bank or any other Bank to
                  assess or keep under review on its behalf the financial
                  condition, creditworthiness, condition, affairs, status or
                  nature of the Borrowers or any other party to the Security
                  Documents.

4.       The Bank Transferee undertakes with the Existing Bank and each of the
         other parties to the Credit Agreement that it will perform, in
         accordance with its terms, all those obligations which, by the terms of
         the Credit Agreement, will be assumed by it upon delivery of the
         executed copy of this Transfer Certificate to the Facility Agent.

5.       On execution of this Transfer Certificate by the Facility Agent on
         their behalf, the Parties accept the Bank Transferee as a party to the
         Credit Agreement in substitution for the Existing Bank with respect to
         all those rights and/or obligations which, by the terms of the Credit
         Agreement, will be assumed by the Bank Transferee after delivery of the
         executed copy of this Transfer Certificate to the Facility Agent.

6.       None of the Existing Bank, the other Banks, the Agents, the Issuing
         Bank or the Lead Arranger:

         (a)      makes any representation or warranty or assumes any
                  responsibility with respect to the legality, validity,
                  effectiveness, adequacy or enforceability of the Credit
                  Agreement or any of the other Financing Documents; or

         (b)      assumes any responsibility for the financial condition of the
                  Borrowers or any other party to the Credit Agreement or any of
                  the other Financing Documents or any other document or for the
                  performance and observance by the Borrowers or any other party
                  to the Credit Agreement or any of the other Financing
                  Documents or any other document of its or their obligations
                  and any and all conditions and warranties, whether express or
                  implied by law or otherwise, are excluded.

7.       The Bank Transferee confirms that its Lending Office and address for
         notices for the purposes of the Credit Agreement are as set out in the
         Schedule to this Transfer Certificate.

8.       The Existing Bank gives notice to the Bank Transferee (and the Bank
         Transferee acknowledges and agrees with the Existing Bank) that the
         Existing Bank is under no obligation to re purchase (or in any other
         manner to assume, undertake or discharge any obligation or liability in
         relation to) the transferred Commitment and Participation at any time
         after this Transfer Certificate shall have taken effect.

9.       Following the date upon which this Transfer Certificate shall have
         taken effect, without limiting the terms of this Transfer Certificate,
         each of the Bank Transferee and the Existing Bank acknowledges and
         confirms to the other that, in relation to the transferred Commitment
         and Participation, variations, amendments or alterations to any term of
         any Financing Document arising in connection with any renegotiation or
         rescheduling of the

                                     -134-
<PAGE>

         obligations under the Credit Agreement shall apply to and be binding on
         the Bank Transferee alone.

10.      This Transfer Certificate is governed by and shall be construed in
         accordance with English law.

                                     -135-
<PAGE>

                                  THE SCHEDULE

EXISTING BANK'S COMMITMENT                   AMOUNT OF COMMITMENT TRANSFERRED

EXISTING BANK'S PARTICIPATION IN THE         AMOUNT OF PARTICIPATION TRANSFERRED
FACILITIES

*[insert full name of Bank Transferee]

Lending Office                               Address for notices

*                                            *[address]

                                             Attention:

                                             Telex:

                                             Answerback:

                                             Fax:

*[Bank Transferee]

By:
   ..................................
(Duly authorised)

*[Existing Bank]

                                     -136-
<PAGE>

By:
   .................................
(Duly authorised)

The Facility Agent on behalf of itself and all other parties to the Credit
Agreement

By:
   .................................
(Duly authorised)

Dated:

                                     -137-
<PAGE>

                                   SCHEDULE 7
                            FORM OF DEED OF ACCESSION

THIS DEED is made this [ ] day of [ ] 19[ ] by [ ] (the "NEW PARTY") in favour
of the other parties to the Credit Agreement (as defined below).

RECITALS:

This Deed is supplemental to a credit agreement (the "CREDIT AGREEMENT")
         dated [ ] 2000 made, among others, between (1) Dynea Chemicals Oy
         (formerly known as Neste Chemicals Oy), (2) Nordkem AS, (3) certain
         banks, (4) Citibank International plc as facility agent, (5) Citibank
         International plc as security trustee, (6) Citibank, N.A. as issuing
         bank and (7) Citigroup Global Markets Limited as lead arranger.

The New Party wishes to accede to the Credit Agreement as a Borrower.

It is a term of the Credit Agreement that, in order to accede as a
         Borrower, the New Party must enter into this Deed.

NOW THIS DEED WITNESSES AS FOLLOWS

1.       Terms defined and references construed in the Credit Agreement shall
         have the same meanings and construction in this Deed.

2.       The New Party:

         (a)      agrees to be bound by all the terms and conditions of the
                  Credit Agreement insofar as they relate to a Borrower as if
                  the New Party was a party to the Credit Agreement in such
                  capacity; and

         (b)      represents and warrants to the Agents, the Issuing Bank and
                  the Banks (other than the Term D Lender) in the terms of
                  sub-clauses y11.1.1 to y11.1.7 of Clause y11.1
                  (Representations and Warranties) but such representations and
                  warranties shall be given so as to apply, mutatis mutandis, to
                  the New Party only.

3.       The New Party confirms that it has delivered to the Facility Agent the
         documents specified in the Schedule to this Deed.

4.       The New Party agrees that it shall accede to the Credit Agreement
         immediately upon the Facility Agent countersigning this Deed.

IN WITNESS whereof the New Party has caused this Deed to be executed on the day
set out above.

                                     -138-
<PAGE>

THE COMMON SEAL of                  )
[       ]                           )
was hereunto affixed in             )
the presence of:                    )

                                    Director

                                    Director/Secretary

We agree, on behalf of all the parties to the Credit Agreement, that the New
Party shall, from the date of our signature, accede to the Credit Agreement as
if it were a Borrower named therein and a party to the Credit Agreement.

SIGNED

...........................

for and on behalf of
[       ]
as Facility Agent

Date:[       ]

                                    SCHEDULE

(a)      A Certified Copy of our memorandum and articles of association or
         equivalent constitutional documents.

(b)      A Certified Copy of the resolution of our Board of Directors approving
         the transactions contemplated by this Deed and authorising the
         execution of this Deed and any other documents contemplated by the
         Credit Agreement.

(c)      Certified Copies of all other resolutions, authorisations, approvals,
         consents and licences, corporate, official or otherwise, necessary or
         desirable, to enable us to give effect to the transactions contemplated
         by this Deed and for the validity and enforceability of this Deed.

(d)      [The relevant Security Documents duly executed by each Charging Group
         Company in respect of the obligations of the New Party, together with
         (i) Certified Copies of the equivalent documents referred to in
         paragraphs (a), (b) and (c) above in respect of each Charging Group
         Company and (ii) a legal opinion supporting such Security Documents
         executed by any non-English Charging Group Company.]

(e)      A legal opinion from counsel approved by the Facility Agent.

                                     -139-
<PAGE>

                                   SCHEDULE 8
                              ORIGINAL EURO AMOUNT

<TABLE>
<CAPTION>
     TRANCHE           ORIGINAL EURO AMOUNT
<S>                    <C>
Tranche A2 (US$)       Euro 49,230,215

Tranche A3 (Can$)      Euro 36,328,000

Tranche B2 (NOK)       Euro 31,425,217

Tranche B3 (US$)       Euro 24,615,107

Tranche B4 (Can$)      Euro 18,164,000

Term C Loan Facility   Euro, 94,786,533
</TABLE>

                                     -140-
<PAGE>

                                   SCHEDULE 9
                 PROVISIONS RELATING TO THE TERM D LOAN FACILITY

1.       INTEREST

1.1      In addition to interest accrued under sub-clause y6.1.1 of Clause y6.1
         (Interest Rate), interest shall accrue on each Term D Advance, from and
         including the Drawdown Date in relation to such Term D Advance to but
         excluding the date such Term D Advance is repaid in full, at the PIK
         Margin.

1.2      On each relevant Interest Date, all interest accrued on each Term D
         Advance under paragraph 1.1 will be added to the principal amount of
         the relevant Term D Advance.

1.3      Notwithstanding the provisions of sub-clause y6.3.1 of Clause y6.3
         (Interest Periods), interest payable on each Term D Advance shall only
         be calculated by reference to Interest Periods of 6 months' duration.
         For the avoidance of doubt no other Interest Period (whether allowed by
         the Facility Agent acting on the instructions of all the Banks (other
         than the Term D Lender) or otherwise) shall apply.

1.4      Notwithstanding the provisions of paragraph (b) of sub-clause y6.6.2 of
         Clause y6.6 (Calculation and payment of interest), no interest in
         respect of a Term D Advance shall be payable at any time if a Default
         or Potential Default is continuing. Any interest not so payable shall
         be capitalised and added to the relevant Term D Advance.

2.       REPAYMENT OF TERM D LOAN

         Dynco shall repay the Term D Loan on the Final Repayment Date in
         relation to the Term D Facility.

3.       NO RE-BORROWING OF TERM D LOAN

         Any amount repaid or prepaid in relation to the Term D Loan may not be
         re-borrowed and shall reduce rateably the Term D Lender's Term D
         Commitment.

4.       CANCELLATION

         Dynco may not cancel all or any part of the Term D Loan Facility, save
         to the extent contemplated by sub-clause 2.1.2 of Clause 2.1
         (Facilities) or at any time after the Senior Discharge Date.

5.       PREPAYMENT

         Prior to the Senior Discharge Date and notwithstanding any other
         provision of this Agreement, Dynco may not prepay all or any part of
         the Term D Loan Facility. After the Senior Discharge Date, any amount
         to be applied in prepayment pursuant to Clause y7.6 (Mandatory
         Prepayment of Net Available Proceeds), y7.7 (Mandatory Prepayment of
         Surplus Cash), y7.8 (Mandatory Prepayment of Insurance Proceeds), y7.9
         (Mandatory Prepayment of Vendor Payments) or sub-clause y7.11.2 of
         Clause y7.11 (Net Cash Proceeds of the Polyester Business) shall be
         applied against the Term D Loan and as against Tranche D1, Tranche D2
         and Tranche D3 pro rata.

                                     -141-
<PAGE>

                                     -142-
<PAGE>

                                  SCHEDULE 10
                                 SUBORDINATION

1.       Subordination

1.1      Subordination

         If:

         1.1.1    there occurs any payment, distribution, division or
                  application, partial or complete, voluntary or involuntary, by
                  operation of law or otherwise, of all or any part of the
                  assets of any kind or character of Dynea or the proceeds
                  thereof, to creditors of Dynea, by reason of the liquidation,
                  dissolution or other winding-up of Dynea or its businesses or
                  any bankruptcy, reorganisation, receivership or insolvency or
                  similar proceeding or any assignment for the benefit of
                  creditors or there is a marshalling of the assets and
                  liabilities of Dynea; or

         1.1.2    Dynea becomes subject to any Insolvency Proceedings or
                  voluntary arrangement,

         then and in any such event:

                  (a)      the Dynco Liabilities shall be subordinated to the
                           Senior Liabilities owed by Dynea;

                  (b)      any payment or distribution of any kind or character
                           and all and any rights in respect thereof, whether in
                           cash, securities or other property which is payable
                           or deliverable upon or with respect to the Dynco
                           Liabilities or any part thereof by a liquidator,
                           administrator or receiver (or the equivalent thereof)
                           of Dynea or its estate ("RIGHTS") made to or paid to,
                           or received by Dynco or to which Dynco is entitled
                           shall be held in trust by Dynco for the other Finance
                           Parties and shall forthwith be paid or, as the case
                           may be, transferred or assigned to the Security
                           Trustee to be applied against the Senior Liabilities
                           (after taking into account any concurrent payment or
                           distribution being made to the other Finance
                           Parties); and

                  (c)      if the trust referred to in paragraph y1.1.2y(b)
                           fails or cannot be given effect to, if Dynco (so as
                           also to bind any agent or trustee on its behalf)
                           receives and retains any such payment or
                           distribution, Dynco will pay over such rights in the
                           form received to the Security Trustee to be applied
                           against the Senior Liabilities (after taking into
                           account any concurrent payment or distribution being
                           made to the other Finance Parties).

1.2      Further Assurance

         1.2.1    Dynco acknowledges the Security Trustee's rights to demand,
                  sue and prove for, collect and receive every payment or
                  distribution referred to in sub-clause y1.1.2y(b) of Clause
                  y1.1 (Subordination) and give acquittance therefor and to file
                  claims and take such other proceedings, in the Security
                  Trustee's own name or

                                     -143-
<PAGE>

                  otherwise as the Security Trustee may deem necessary or
                  advisable for the enforcement of this Agreement.

         1.2.2    Dynco will execute and deliver to the Security Trustee such
                  powers of attorney, assignments or other instruments as may be
                  necessary or appropriate and as may be reasonably requested by
                  the Security Trustee in order to enable the Security Trustee
                  to enforce any and all claims upon or with respect to the
                  Dynco Liabilities or any part thereof, and to collect and
                  receive any and all payments or distributions referred to in
                  sub-clause y1.1.2y(b) of Clause y1.1 (Subordination).

1.3      Insolvency Authorisation

         The liquidator or other insolvency representative or trustee of any
         Group Company or its estate is authorised to apply any assets or moneys
         received by him in accordance with the terms of this Agreement.

2.       ENFORCEMENT ACTION

         Dynco undertakes that it shall not, prior to the Senior Discharge Date,
         take any action (whether itself or by an agent or trustee on its
         behalf) to:

         (a)      demand payment, declare prematurely due and payable or
                  otherwise seek to accelerate payment of all or any part of the
                  Indebtedness under the On-Lending Agreement; or

         (b)      recover all or any part of the Indebtedness under the
                  On-Lending Agreement (including, by exercising any rights of
                  set-off or combination of accounts); or

         (c)      exercise or enforce any rights under any security interest
                  whatsoever which secures the Indebtedness under the On-Lending
                  Agreement; or

         (d)      commence legal proceedings against Dynea; or

         (e)      commence, or take any other steps which could lead to the
                  commencement of, any Insolvency Proceedings in respect of
                  Dynea,

         save where the Security Trustee acts on its behalf as specifically
         permitted under the terms of this Agreement.

3.       For the purpose of this Schedule 10:

         "DYNCO LIABILITIES" means all present and future sums, liabilities and
         obligations (whether actual, contingent, present and/or future) payable
         or owing by the Group Companies to Dynco in respect of Dynea's
         obligations under the On-Lending Agreement.

         "INSOLVENCY PROCEEDINGS" means any proceedings or steps for:

         (i)      the insolvency, liquidation, dissolution, winding-up,
                  administration, receivership, compulsory merger or judicial
                  reorganisation of any company or judicial liquidation; or

                                      -144-
<PAGE>

         (ii)     the appointment of a trustee in bankruptcy, or insolvency
                  conciliator, ad hoc official, judicial administrator, a
                  liquidator or other similar officer of any company; or

         (iii)    any other similar process or appointment.

         "SENIOR LIABILITIES" means all present and future sums, liabilities and
         obligations (whether actual, contingent, present and/or future) payable
         or owing by the Group Companies to the Finance Parties in respect of
         any Borrower's obligations under the Term A Loan Facility the Term B
         Loan Facility, the Term C Loan Facility, the Term D Loan Facility and
         the Revolving Credit Facility.

                                     -145-
<PAGE>

DYNEA

SIGNED by E. SIHVONEN               )
for and on behalf of                )        E. SIHVONEN
NESTE CHEMICALS OY                  )

NORDKEM

SIGNED by E. SIHVONEN               )
for and on behalf of                )        E. SIHVONEN
NORDKEM AS                          )

THE FACILITY AGENT

SIGNED by Y. PERREVE                )
for and on behalf of                )        Y. PERREVE
CITIBANK INTERNATIONAL PLC          )

THE SECURITY TRUSTEE

SIGNED by Y. PERREVE                )
for and on behalf of                )        Y. PERREVE
CITIBANK INTERNATIONAL PLC          )

THE ISSUING BANK

SIGNED by Y. PERREVE                )
for and on behalf of                )        Y. PERREVE
CITIBANK, N.A.                      )

THE LEAD ARRANGER

SIGNED by Y. PERREVE                )
for and on behalf of                )        Y. PERREVE
SALOMON BROTHERS                    )
INTERNATIONAL LIMITED               )

THE BANKS

                                     -146-
<PAGE>

SIGNED by Y. PERREVE                )
for and on behalf of                )        Y. PERREVE
CITIBANK, N.A.                      )

                                     -147-
<PAGE>

DYNEA

SIGNED by                          )
for and on behalf of               )
DYNEA CHEMICALS OY                 )

NORDKEM

SIGNED by                          )
for and on behalf of               )
NORDKEM AS                         )

THE FACILITY AGENT

SIGNED by                          )
for and on behalf of               )
CITIBANK INTERNATIONAL PLC         )

THE SECURITY TRUSTEE

SIGNED by                          )
for and on behalf of               )
CITIBANK INTERNATIONAL PLC         )

THE ISSUING BANK

SIGNED by                          )
for and on behalf of               )
CITIBANK, N.A.                     )

THE LEAD ARRANGER

SIGNED by                          )
for and on behalf of               )
CITIGROUP GLOBAL MARKETS           )
LIMITED                            )

                                       -9-
<PAGE>

THE TERM D LENDER

SIGNED by                          )
for and on behalf of               )
DYNEA OY                           )

                                      -10-

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