Document:

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                                                                     EXHIBIT 4.2

                                                                  EXECUTION COPY

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                               PURCHASE AGREEMENT

                                     Between

                        ABB HANDELS- UND VERWALTUNGS AG,

                                    as Seller

                                       and

                           BRITISH NUCLEAR FUELS plc,

                                  as Purchaser

                          Dated as of December 21, 1999

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                               PURCHASE AGREEMENT

          This Purchase Agreement is entered into as of this 21st day of
December 1999 by and between the following parties:

          ABB HANDELS- UND VERWALTUNGS AG, a company organized and existing
under the laws of Switzerland with its principal office at CH-8050 Zurich
("ABB"); and

          BRITISH NUCLEAR FUELS plc, a company organized and existing under the
laws of England with its principal office at Risley, Warrington, Cheshire WA3
6AS, England ("PURCHASER").

                                   WITNESSETH:

          WHEREAS, ABB is engaged, through its Affiliates, in nuclear plant and
nuclear fuel supply, nuclear plant and nuclear fuel service and maintenance, and
nuclear instrumentation and control; and

          WHEREAS, ABB desires to sell, transfer and assign, or otherwise cause
the sale, transfer and assignment, to Purchaser, and Purchaser desires to
purchase from ABB and/or its Affiliates, (i) all of the issued and outstanding
shares of the NB Group; and (ii) such other assets related to the activities to
be divested by ABB pursuant hereto and not otherwise held by the NB Group;

          NOW, THEREFORE, in consideration of the mutual covenants,
representations and warranties herein contained, and subject to and on the terms
and conditions herein set forth, the parties hereto agree as follows:

                                    ARTICLE 1

                       INTERPRETATION AND RELATED MATTERS

1.1.      DEFINITIONS

          Unless the context of this Agreement provides otherwise, the entities
defined in the heading and preamble of this Agreement shall retain such
definitions and the following additional terms shall have the meanings set out
below:

          "ABB ACCOUNTING PRINCIPLES" means the accounting principles of the ABB
     Group.

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          "ABB GROUP" means ABB Ltd., an Affiliate of ABB and a company
     organized and existing under the laws of Switzerland with its principal
     office at Affolternstrasse 44, PO Box 8131, CH-8050 Zurich, Switzerland,
     and each of its Affiliates.

          "ABB RETIREMENT PLANS" shall have the meaning set out in Section
     7.6(d).

          "ABB SAVINGS PLANS" shall have the meaning set out in Section 7.6(m).

          "ACTUAL DEFICIENCY AMOUNT" means the greater of (i) the amount, if
     any, by which Actual Equity is less than the Guaranteed Equity and (ii) the
     amount, if any, by which Actual Working Capital is less than Guaranteed
     Working Capital, in each case as determined on the basis of the Final Audit
     Report.

          "ACTUAL EQUITY" means the amount of Equity as of the Closing Date.

          "ACTUAL EXCESS AMOUNT" means the lesser of (i) the amount, if any, by
     which Actual Equity exceeds the Guaranteed Equity, and (ii) the amount, if
     any, by which Actual Working Capital exceeds Guaranteed Working Capital, in
     each case as determined on the basis of the Final Audit Report.

          "ACTUAL OKG LOSS" means the excess, if any, of the full costs actually
     incurred by the NB Group in the performance of the OKG Contract (including
     but not limited to liquidated and other damages payable to the customer in
     accordance with the terms thereof) over the revenues (including the net
     sales price actually received from the customer plus interest on customer
     advances), all calculated for the period after the Closing in accordance
     with the ABB Accounting Principles and, to the extent applicable, IAS, as
     in effect on the date hereof, and the principles set forth on SCHEDULE
     1.1(1).

          "ACTUAL WORKING CAPITAL" means the amount of Working Capital as of the
     Closing Date.

          "ADDITIONAL BUSINESS ASSETS" means the properties, assets, goodwill
     and rights of ABB and/or its Affiliates in Belgium, France and, Korea which
     are set forth on SCHEDULE 1.1(2) hereto.

          "ADDITIONAL BUSINESS EMPLOYEES" means the employees of ABB and/or its
     Affiliates in Belgium, France, Italy, Korea and the People's Republic of
     China which are set forth on SCHEDULE 1.1(3) hereto.

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          "ADDITIONAL BUSINESS LIABILITIES" means those liabilities of ABB or
     any of its Affiliates arising out of the Additional Business Assets or
     relating to the Additional Business Employees.

          "AFFILIATE" means, with respect to any Person, any other Person
     directly or indirectly, through one or more intermediaries, controlling,
     controlled by, or under common control with such Person (where "control",
     including with correlative meanings, the terms "controlled by" and "under
     common control with", means, as used with respect to any Person, the
     ownership of more than fifty percent (50%) of the voting rights attaching
     to shares or other equity interests issued by such Person, the power to
     appoint a majority of the members of such Person's management board or
     similar body, or the possession, directly or indirectly, by contract or
     otherwise, of the power to direct or cause the direction of the management
     and policies of such Person).

          "AGENCY ACTION" means any investigation, request for information,
     notice of violation, complaint, order, directive, court order, injunction,
     judgment or decree, consent order, consent agreement, administrative
     judgment, decree or injunction or other enforcement inquiry or action
     brought by a Governmental Authority having the requisite authority and
     jurisdiction to bring such action.

          "AGGREGATE LIABILITIES" shall have the meaning set out in Section
     7.6(n).

          "AGREEMENT STATE" means each state of the United States which is
     authorized to regulate nuclear related materials based on authority
     delegated by the NRC pursuant to Section 274 of the Atomic Energy Act of
     1954, 42 U.S.C. Section 2022, as amended.

          "ANCILLARY AGREEMENTS" shall mean the Non-Competition Agreement, the
     Transitional Services Agreement and the Supply and Licensing Agreement.

          "APPLICABLE LAW" means, as to any Person, any and all statutes,
     regulations, ordinances, judgments, orders, decrees and similar acts,
     including Environmental Law, of any governmental, judicial or similar body
     or authority in any jurisdiction applicable from time to time to such
     Person and to its businesses and assets.

          "BUSINESS" shall have the meaning set out in ANNEX 1 hereto.

          "BUSINESS AUDITORS" means Ernst & Young, Zurich office, auditors to
     the Business.

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          "BUSINESS EMPLOYEE" means each Closing Business Employee and each
     Former Business Employee.

          "BUSINESS-RELATED ENVIRONMENTAL LIABILITY" means any Environmental
     Liability, or any Liability under any Permit issued pursuant to any
     Environmental Law, in each case in connection with the Business, to the
     extent arising from (i) any condition at any site arising from its use
     prior to the Closing Date in the Business; or (ii) any act or omission of
     ABB or its Affiliates or of any Person for whom they are liable under
     Environmental Law in relation to the Business (including any prior owner,
     occupant or user of any site used in the Business), including any such
     Person engaged in the removal, transportation or disposition of Hazardous
     Substances that originated or at any time were located at any site used in
     the Business, at or prior to the Closing Date, but excluding in all cases
     any liability for a Remedial Action taken for the purpose of using any such
     site for a use other than its current use.

          "BUSINESS UNITS" means each of NBUS, NBFR, NBSE, the US I&C Unit, the
     German Units and the Swedish Unit and their respective Subsidiaries.

          "CASH BALANCE PLAN" shall have the meaning set out in Section 7.6(i).

          "CLOSING" means the consummation of the Transaction, which shall take
     place with effect as of the time and date set out in Section 4.1.

          "CLOSING AUDIT REPORT" means an audit report of the Business Auditors
     in accordance with Section 2.5(a), in which the Business Auditors certify
     the Actual Equity and the Actual Working Capital in accordance with this
     Agreement, which certificate shall (i) be substantially in the form of
     SCHEDULE 1.1(4)(b) hereto, (ii) be based on the Business Auditors' audit of
     the combined balance sheet of the Business as of the Closing Date, and
     (iii) include as an attachment the combined balance sheet of the Business
     (including related footnotes and disclosures) from which such Actual Equity
     and Actual Working Capital have been determined.

          "CLOSING BUSINESS EMPLOYEE" means, except as set forth on SCHEDULE
     5.13, (i) in the case of an employee whose terms and conditions of
     employment with the Business are not subject to a collective bargaining
     agreement, each such employee who performs services primarily as an
     employee of the Business (a "NON-BARGAINED EMPLOYEE") on the Closing Date,
     (ii) in the case of any employee whose terms and conditions of employment
     with the Business are subject to a collective bargaining agreement, each
     such employee who performs services as an employee of the Business (a
     "BARGAINED

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     EMPLOYEE") on the Closing Date or, in the case of any such employees
     employed in Germany, who performs services primarily as an employee of the
     Business or (iii) a Non-Bargained Employee or Bargained Employee who is
     treated by the Business as an active employee of the Business for employee
     benefit purposes, including all such persons who are (A) absent by reason
     of vacation, salary continuation or short-term disability or (B) absent by
     reason of leave of absence or workers' compensation-related disability and
     are treated by the Business as an active employee. Each individual who is
     not treated as an active employee by the Business, was a Non-Bargained
     Employee or a Bargained Employee when he or she last performed services as
     an active employee of the Business, last performed such services within two
     years of the Closing Date and is on an approved leave of absence, workers'
     compensation-related disability or long-term disability shall be considered
     a Closing Business Employee as of the first date such individual becomes an
     active employee of the Purchaser or its Affiliates on or after the Closing
     Date.

          "CLOSING DATE" means the date on which the Closing occurs in
     accordance with this Agreement.

          "COBRA" shall have the meaning set out in Section 7.6(1).

          "CODE" means the Internal Revenue Code of 1986, as amended.

          "COMBINED FINANCIAL DATA" means key figures for the periods ended
     December 31, 1998 and September 30, 1999 and the unaudited combined balance
     sheet for the Business as of June 30, 1999, previously provided to
     Purchaser and attached hereto as SCHEDULE 1.1(5).

          "CONTRACTS" means all contracts, leases, indentures, and all joint
     venture, governmental funding or incentive program, guarantee, indemnity,
     license, development, settlement, teaming, divestiture and other
     agreements, commitments and all other legally binding arrangements,
     including all inter-divisional orders, in each case whether oral or
     written, relating primarily to the Business.

          "COST EFFECTIVE ALTERNATIVE" means the Remedial Action that (i) is
     necessary to achieve compliance with the Environmental Laws that are in
     effect either at the Closing Date or at the time of the Remedial Action,
     whichever is less expensive, and (ii) uses a cost-effective, commercially
     reasonable approach that complies with such Environmental Laws and assumes
     the continued use of the property and the assets as an industrial facility
     (where such facility is an industrial facility on the Closing Date) secured
     from general public access, except to the extent the applicable Nuclear
     Regulator requires

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     otherwise. In the event ABB and the Purchaser cannot agree as to what
     constitutes a Cost Effective Alternative in any given situation, the matter
     shall be resolved pursuant to Section 10.11.

          "DECONTAMINATION AND DECOMMISSIONING LIABILITIES" means all costs,
     Losses, and Liabilities arising from the process of the decommissioning or
     demolition of facilities or equipment at any site used in the Business
     required by any Nuclear Regulator in connection with the termination of
     service of all or any part of such facility, and arising under any
     Environmental Law, but excluding any such costs, Losses and Liabilities
     which are associated with the ongoing operations or with the interruption
     of the operations of the Business.

          "DEFERRED COMPENSATION PLAN" and "Deferred Compensation Plan
     Employees" shall have the meaning set out in Section 7.6(p).

          "DISPUTES AUDITORS" shall have the meaning set out in Section 2.5(c).

          "EMPLOYEE BENEFIT PLAN" means each material employee benefit plan (as
     defined in Section 3(3) of ERISA), without regard to whether such plan is
     not covered by ERISA by reason of Section 4(b)(4) of ERISA (relating to
     foreign benefit plans) and all other bonus, deferred compensation,
     incentive compensation, severance or termination pay, change in control
     compensation, and death benefit plans maintained or contributed to by ABB
     and/or its Affiliates and applicable to Business Employees.

          "ENCUMBRANCE" means a mortgage, lien, pledge, option, right of first
     refusal, right of preemption or other security interest or encumbrance of
     any kind.

          "ENVIRONMENTAL LAW" means any Applicable Law (including common law) or
     any other legally binding requirement that governs or purports to govern
     the existence of, relates to or provides a remedy for an actual or
     threatened Release of Hazardous Substances, pollution or the protection of
     persons, natural resources or the environment (including, without
     limitation, the protection of ambient air, surface water, groundwater, land
     surface or subsurface strata, endangered species or wetlands), occupational
     health and safety (excluding workers' compensation), the manufacture,
     processing, distribution, use, generation, handling, treatment, storage,
     disposal, transportation, Release or management of solid waste or Hazardous
     Substances, or other activities involving Hazardous Substances, including,
     without limitation, the Comprehensive Environmental Response, Compensation
     and Liability Act ("CERCLA"), 42 U.S.C. Section 9601 ET SEQ., as amended
     by the Superfund Amendments and Reauthorization Act, the Hazardous

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     Materials Transportation Act, 49 U.S.C. Section 1801 ET SEQ., the Resource
     Conservation and Recovery Act, 42 U.S.C. Section 6901 ET SEQ., the Clean
     Water Act, 33 U.S.C. Section 1251 ET SEQ., the Clean Air Act, 33 U.S.C.
     Section 2601 ET SEQ., the Toxic Substances Control Act, 15 U.S.C.
     Section 2601 ET SEQ., the Federal Insecticide, Fungicide, and Rodenticide
     Act, 7 U.S.C. Section 136 ET SEQ., the Oil Pollution Act of 1990, 33 U.S.C.
     Section 2701 ET SEQ., the Nuclear Waste Policy Act of 1982, 42 U.S.C.
     Section 10101 ET SEQ., Atomic Energy Act of 1954, 42 U.S.C. Section 2011 ET
     SEQ. and the Occupational Safety and Health Act, 29 U.S.C. Section 651 ET
     SEQ., as such laws have been amended or supplemented, and/or any other
     similar foreign, federal, state, local and/or county laws or regulations,
     in each case as in effect on the Closing Date or, with respect to
     representations and warranties made as of the date hereof, as of such date.

          "ENVIRONMENTAL LIABILITY" means any Liability arising under
     Environmental Law, including all direct costs and expenses associated with
     Remedial Action, natural resource damages and the costs assessed by any
     Governmental Authority, and the reasonable costs of environmental
     consultants, but excluding the costs of any Remedial Action that is not a
     Cost Effective Alternative, and excluding Decontamination and
     Decommissioning Liabilities.

          "EQUITY" means, at any time, the combined stockholders' equity of the
     Business, calculated in accordance with the ABB Accounting Principles and
     IAS applied on a basis consistent with that utilized in the preparation of
     the financial statements of the Business as of, and for the period ended
     on, December 31, 1998 (except for the effect of the adoption of IAS 19)
     forming part of the Financial Statements, except that the principles set
     forth on SCHEDULE 1.1(6) shall be applied when calculating Equity.

          "ERISA" means the Employee Retirement Income Security Act of 1974, as
     amended.

          "EXECUTIVE LIFE INSURANCE PLAN" shall have the meaning set out in
     Section 7.6(o).

          "EXON-FLORIO AMENDMENT" means Section 721 of the Omnibus Trade and
     Competitiveness Act of 1988 (amending Title VII of the Defense Production
     Act, 50 U.S.C. App. Section 2170 (1997)).

          "FINAL AUDIT REPORT" shall have the meaning set out in Section 2.5(i).

          "FINANCIAL STATEMENTS" means, with respect to the Business, the
     unaudited balance sheets of each of NBUS, NBFR, the Swedish Unit and ABB
     Reaktor GmbH as of December 31, 1997 and 1998 and as of June 30, 1999,
     respectively, and the related

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     income statements and statements of cash flow for the periods then ended,
     copies of which are attached as SCHEDULE 1.1(7) hereto.

          "FOREIGN EMPLOYEE BENEFIT PLANS" means each Employee Benefit Plan
     which would qualify for an exemption from ERISA under Section 4(b)(4)
     thereof.

          "FORMER BUSINESS EMPLOYEE" means each individual who (i) is not a
     Closing Business Employee, (ii) is not currently employed by ABB or its
     Affiliates, and (iii) performed services as an employee of the Business
     when last employed by ABB or its Affiliates.

          "GERMAN UNITS" means, collectively, ABB Reaktor GmbH, a company
     organized under the laws of Germany; Hartmann & Braun GmbH & Co KG, a
     company organized under the laws of Germany; and ABB Utilities Automation
     GmbH, a company organized under the laws of Germany.

          "GOVERNMENTAL AUTHORITY" means any agency, board, body, bureau, court,
     commission, department, instrumentality, entity established or controlled
     by, or administration of any foreign government, the United States
     government, any state government or any local or other governmental body in
     a state, territory or possession of any country, or any political
     subdivision of any of the foregoing, including any legislative, judicial or
     administrative body.

          "GUARANTEED EQUITY" means Seventy-Six Million United States Dollars
     (US$76,000,000).

          "GUARANTEED WORKING CAPITAL" means Eighty-Nine Million Five Hundred
     Thousand United States Dollars (US$89,500,000).

          "HAZARDOUS SUBSTANCE" means (i) any petroleum or petroleum products
     (to the extent regulated under Environmental Law), flammable, explosive or
     radioactive material, asbestos or polychlorinated biphenyls (PCBs); and
     (ii) any substance, material or waste, the manufacture, use or disposal of
     which is regulated under any Environmental Law and is defined as, or
     included in the definition of, or deemed by any Environmental Law or
     Governmental Authority to be "hazardous," "toxic," a "contaminant,"
     "waste," "pollutant," "hazardous substance," "hazardous waste," "restricted
     hazardous waste," "hazardous material," "extremely hazardous waste," "toxic
     substance," "toxic pollutant" or words with similar meaning.

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          "HEMATITE LEGACY LIABILITIES" means all Environmental Liabilities to
     the extent arising from or related to any condition which exists at the
     Hematite Site on the Closing Date that is not directly related to the
     Hematite Site's current nuclear fuel fabrication business, including,
     without limitation, all such Environmental Liabilities arising from or
     relating to (i) areas at the Hematite Site used for the disposal of
     materials or waste, some or all of which are referred to as the "burial
     pits"; (ii) groundwater contamination caused by the release of any
     Hazardous Substance prior to the Closing Date; (iii) areas at the Hematite
     Site previously used as "evaporation ponds"; (iv) all limestone and soil
     piles at the Hematite Site; and (v) the release, removal, transportation or
     disposition of Hazardous Substances prior to the Closing Date that
     originated, were used, generated or at any time were stored or otherwise
     held at the Hematite Site.

          "HEMATITE SITE" means the property, in its entirety, known as the
     ABB-Combustion Engineering Nuclear Power, Inc. Hematite facility, 3300
     State Road P, Festus, Missouri.

          "HSR ACT" means the Hart-Scott-Rodino Antitrust Improvements Act of
     1976, as amended.

          "IAS" means International Accounting Standards.

          "INTELLECTUAL PROPERTY" means all domestic and foreign patents,
     registered utility models, trademarks, trademark registrations, service
     marks, service mark registrations, trade names, trade name registrations,
     trade dress, trade dress registrations, domain name registrations, slogans,
     registered copyrights and applications for registration of any of the
     foregoing, owned by ABB and/or its Affiliates and used or held for use in
     the Business, or which are licensed to ABB and/or its Affiliates for use in
     the Business, but excluding Intellectual Property which is subject to the
     Supply and Licensing Agreement, and the trademarks "CE", "C-E" and
     "Combustion Engineering", which are subject to Section 7.10(d).

          "INVENTORY" means all raw materials, work-in-process, finished goods,
     merchandise, office and other supplies, parts, packaging materials and
     other accessories related thereto which are held at, or are in transit from
     or to, any location at which the Business is conducted, or located at any
     suppliers' premises, in each case, which are used or held for use by ABB
     and/or its Affiliates in the conduct of the Business, including any of the
     foregoing which are purchased subject to any conditional sales or title
     retention agreement in favor of any other Person, together with all rights
     of ABB and/or its

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     Affiliates against any supplier of such inventories, all as determined in
     accordance with ABB Accounting Principles.

          "LIABILITIES" means, as to any Person, all debts, adverse claims,
     fines, liabilities and obligations of any kind, direct or indirect,
     absolute or contingent, known or unknown, of such Person, whether accrued,
     vested or otherwise, whether in contract, tort, strict liability or
     otherwise and whether or not actually reflected, or required by IAS to be
     reflected, in such Person's financial statements (including the notes
     thereto) or other books and records.

          "LOANS" means all loans extended by any member of the ABB Group to any
     member of the NB Group in accordance with Section 3.3.

          "LOCAL AGREEMENTS" means, collectively, each of the asset purchase
     agreements, each substantially in the form of ANNEX 3 hereto, pursuant to
     which Purchaser and/or its Affiliates shall acquire the Additional Business
     Assets from certain Affiliates of ABB and assume the Additional Business
     Liabilities from such Affiliates.

          "LOSSES" means any and all assessments, losses, damages, liabilities,
     obligations (including those arising out of any action, such as any
     settlement or compromise thereof or judgment or award therein) and any
     reasonable costs and expenses, including attorney's and other advisors'
     fees and disbursements.

          "MATERIAL ADVERSE EFFECT" means, in relation to any Person (or the
     Business, where applicable), any condition, change or effect that is
     materially adverse to the results of operations or financial condition of
     such Person and its Subsidiaries (or the Business where applicable) taken
     as a whole, but excluding conditions, changes or effects resulting from (i)
     changes in general economic conditions or, in the case of the NB Group, in
     conditions affecting the nuclear power industry generally; (ii) the
     announcement of this Agreement and the Transaction and compliance with the
     covenants set forth herein (including without limitation Section 7.4(d));
     and (iii) with respect to the NB Group, Purchaser's consent or refusal to
     consent to the taking of actions set forth in Section 7.1.

          "NB GROUP" means NBUS, NBSE, NBDE, NBFR and, where applicable, each
     newly formed company referred to in Section 3.1(a)(ii), and their
     respective Subsidiaries. Each company in the NB Group shall be deemed an
     Affiliate of Purchaser after the Closing.

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          "NBDE" means a company organized under the laws of Germany to which
     all activities within the scope of the Business conducted by the German
     Units have been or will be transferred prior to the Closing in accordance
     with this Agreement.

          "NBFR" means ABB Barras Provence SA, a company organized under the
     laws of France.

          "NBSE" means ABB Cynthere 62 AB, a company organized under the laws of
     Sweden.

          "NBUS" means ABB C-E Nuclear Power Inc., a corporation organized under
     the laws of the State of Delaware, U.S.A.

          "NON-ABB EMPLOYEE BENEFIT PLANS" means each Employee Benefit Plan
     which is not sponsored by ABB or its Affiliates.

          "NON-BUSINESS LIABILITIES" means any (i) Liabilities which were
     transferred to NBDE or any of its Subsidiaries pursuant to the Pre-Closing
     Reorganization which do not primarily relate to or primarily arise out of
     the conduct of the Business; (ii) Liabilities which were transferred to the
     NB Group pursuant to the Local Agreements which do not primarily relate to
     or primarily arise out of the conduct of the Business; (iii) Liabilities
     which were transferred to NBUS or any of its Subsidiaries pursuant to the
     Pre-Closing Reorganization or pursuant to any other corporate
     reorganization consummated after December 31, 1998, in each case which do
     not primarily relate to or primarily arise out of the conduct of the
     Business; (iv) Liabilities which were transferred to any newly formed
     company referred to in Section 3.1(a)(ii) pursuant to the Pre-Closing
     Reorganization which do not primarily relate to or primarily arise out of
     the conduct of the Business; and (v) Liabilities referred to in clause (i)
     of SCHEDULE 3.1(b)(ii).

          "NON-COMPETITION AGREEMENT" means the Non-Competition Agreement
     between ABB Ltd and Purchaser substantially in the form of ANNEX 4 hereto.

          "NRC" means the United States Nuclear Regulatory Commission or any
     successor agency or other Governmental Authority to whom jurisdiction over
     radiological materials has been transferred or delegated and, for purposes
     of this Agreement, shall include any Agreement State.

          "NUCLEAR REGULATOR" means the NRC or any successor agency or other
     U.S. or foreign Governmental Authority to whom jurisdiction over
     radiological materials has

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     been transferred or delegated and, for purposes of this Agreement, shall
     include any Agreement State.

          "OKG CONTRACT" means the project contract dated April 17, 1997,
     between OKG Aktiebolag and ABB Atom AB, as amended by agreement between
     them on November 29 and 30, 1999, together with any other amendment
     thereto.

          "PARENT GUARANTEE" means the guarantee of ABB Ltd., to be given in
     favor of Purchaser in accordance with this Agreement and substantially in
     the form of ANNEX 5 hereto.

          "PERMITS" means all permits, licenses, registrations, filings,
     variances, certificates, exemptions, franchises and authorizations by or of
     any Governmental Authority, or other indicia of authority necessary for the
     conduct of the Business that are owned or held by or otherwise have been
     granted to or for the benefit of any Business Unit or the Additional
     Business Assets.

          "PERMITTED ENCUMBRANCES" means (i) Encumbrances disclosed in any
     Schedule to this Agreement; (ii) Encumbrances specifically described in the
     Financial Statements or that secure indebtedness of any entity in the NB
     Group; (iii) mechanics', carriers', workmen's, repairmen's and other like
     Encumbrances arising or incurred in the ordinary course of business that
     are not yet due and payable or that may thereafter be paid without penalty
     or that are being contested in good faith by appropriate proceedings; (iv)
     Encumbrances for Taxes, assessments and other governmental charges not yet
     due and payable or that may thereafter be paid without penalty or that are
     being contested in good faith by appropriate proceedings; and (v)
     imperfections of title and other Encumbrances that do not materially affect
     the value of the encumbered asset or the continued use and operation of the
     encumbered asset in the Business for its intended purpose.

          "PERSON" means any individual, corporation, partnership, limited
     liability company, joint venture, trust, unincorporated organization, other
     form of business or other entity of any kind (whether having separate legal
     personality) or Governmental Authority.

          "PRE-CLOSING REORGANIZATION" means any and all transactions to be
     carried out pursuant to Section 3.1.

          "PRELIMINARY REVIEW REPORT" means a report of the Business Auditors,
     in which the Business Auditors review the Equity and Working Capital as of
     the date of the balance sheets covered by such report in accordance with
     this Agreement, which

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     certificate shall (i) be substantially in the form of SCHEDULE 1.1(4)(a)
     hereto; (ii) be based on the Business Auditors' review of the combined
     balance sheet of the Business (including related footnotes and disclosures)
     as of the end of a calendar month no earlier than ninety (90) days before
     the Closing Date; and (iii) include as an attachment such combined balance
     sheet.

          "PURCHASE PRICE" shall have the meaning set forth in Section 2.2.

          "PURCHASER SAVINGS PLANS" shall have the meaning set out in Section
     7.6(m)

          "RELEASE" means any releasing, spilling, leaking, discharging,
     disposing of, pumping, pouring, emitting, emptying, injecting, leaching,
     dumping or allowing to escape into the environment (air, surface water,
     groundwater, land surface, soil, substrata, sediment or rock) and includes
     any "release" as defined pursuant to the provisions of CERCLA.

          "REMEDIAL ACTION" means any action to investigate, clean up, monitor,
     abate, transport, remove, treat or in any way address any Hazardous
     Substance that is required by any Environmental Law, whether or not such
     action is taken pursuant or in response to any Agency Action or third party
     claim.

          "REPRESENTED ABB RETIREMENT PLANS" shall have the meaning set out in
     Section 7.6(n).

          "RESTORATION PLAN" shall have the meaning set out in Section 7.6(d).

          "RESTRUCTURING PLANS" means ABB's restructuring plans described in
     SCHEDULE 1.1(8) hereto.

          "SELLER" means each Affiliate of ABB which will convey any Shares,
     Loans or other assets to Purchaser or any member of the NB Group pursuant
     to this Agreement.

          "SHARES" means, collectively, all issued and outstanding shares of
     common stock of each of NBUS, NBSE, NBDE, NBFR and, where applicable, all
     issued and outstanding shares of each newly formed company referred to in
     Section 3.1(a)(ii) which are not owned by NBUS, NBSE, NBDE or NBFR or any
     of their respective Subsidiaries.

          "SUBSIDIARY" means, as to any Person, any other Person, directly or
     indirectly, through one or more intermediaries, controlled by such first
     Person (where "controlled by" means, as used with respect to any Person,
     the ownership of more than fifty percent (50%) of the voting rights
     attaching to shares or other equity interests issued by such Person, the
     power to appoint a majority of the members of such Person's management

                                      -13-
<Page>

     board or similar body, or the possession, directly or indirectly, by
     contract or otherwise, of the power to direct or cause the direction of the
     management and policies of such Person).

          "SUPPLY AND LICENSING AGREEMENT" means the agreement substantially in
     the form of ANNEX 2 hereto.

          "SURPLUS ENTITLEMENT" shall have the meaning set out in Section
     7.6(q).

          "SWEDISH UNIT" means ABB Atom AB, a company organized under the laws
     of Sweden.

          "TAX RETURN" means any return, report, form, declaration, claim for
     refund, information report or return, statement, supplementary or
     supporting schedules or other information filed with any taxing authority
     with respect to Taxes.

          "TAXES" means any and all United States federal, state, provincial,
     local, foreign and other taxes, levies, fees, import duties and similar
     government charges (including any interest, fines, assessments, penalties
     or additions to tax imposed in connection therewith or with respect
     thereto) of any taxing authority, including, without limitation, taxes
     imposed on, or measured by, income, franchise, profits or gross receipts,
     AD VALOREM, value added, capital gains, sales, goods and services, use,
     real or personal property, capital stock, license, branch, payroll,
     estimated withholding, employment, social security (or similar),
     unemployment, compensation, utility, severance, production, excise, stamp,
     occupation, premium, windfall profits, transfer and gains taxes, and
     customs duties.

          "TECHNOLOGY" means all trade secrets, inventions, invention
     disclosures under evaluation, know-how, show-how, know-why, formulae,
     processes, procedures, research records, records of inventions, test
     information, market surveys and marketing know-how, unregistered copyrights
     and software, including source and object code, and related documentation,
     supporting database information and modifications and enhancements thereof,
     owned by ABB and/or its Affiliates and used or held for use in the
     Business, or which are licensed to ABB and/or its Affiliates for use in the
     Business, but excluding Technology which is subject to the Supply and
     Licensing Agreement.

          "TRANSACTION" means the Pre-Closing Reorganization, the sale and
     purchase of the Shares and the Loans, and the sale and purchase of the
     Additional Business Assets and the assumption of the Additional Business
     Liabilities, in each case in accordance with

                                      -14-
<Page>

     this Agreement and the Local Agreements, and all other transactions
     contemplated hereby.

          "TRANSITIONAL SERVICES AGREEMENT" shall mean an agreement between ABB
     or its Affiliate and Purchaser, substantially in the form of ANNEX 6
     hereto.

          "TREASURY REGULATIONS" means temporary or final regulations
     promulgated under the Code.

          "U.S. EMPLOYEE BENEFIT PLANS" means each Employee Benefit Plan other
     than a Foreign Employee Benefit Plan.

          "US I&C NEWCO" means any newly formed Subsidiary of ABB or any of its
     Affiliates into which certain assets of the US I&C Unit are transferred
     pursuant to Section 3.1(a).

          "US I&C UNIT" means ABB Automation Inc., a company organized under the
     laws of the State of Ohio, U.S.A.

          "WINDSOR SITE" means the property, in its entirety, known as the
     ABB-Combustion Engineering Windsor Site, 2000 Day Hill Road, Windsor,
     Connecticut.

          "WINDSOR SITE ENVIRONMENTAL LIABILITIES" means (i) all Environmental
     Liabilities, including but not limited to Business-Related Environmental
     Liabilities and any Liability under any Permit issued pursuant to any
     Environmental Law, to the extent arising from or related to any condition
     which exists at the Windsor Site; (ii) all Environmental Liabilities
     arising from or related to the Release, transportation or disposition, by
     any Person of Hazardous Substances that were used, generated or stored or
     otherwise held at the Windsor Site; and (iii) Decontamination and
     Decommissioning Liabilities related to the Windsor Site.

          "WORKING CAPITAL" means, at any time, the EXCESS of (i) the sum of (A)
     cash, (B) cash equivalents, (C) trade receivables (net of provisions for
     doubtful accounts) and financing receivables, and (D) Inventory OVER (ii)
     the sum of (A) trade payables and (B) customer advances, on a combined
     basis for the Business, all calculated in accordance with the ABB
     Accounting Principles and IAS applied on a basis consistent with that
     utilized in the preparation of the financial statements of the Business as
     of, and for the period ended on, December 31, 1998 (except for the effect
     of the adoption of IAS 19), forming part of the Financial Statements,
     except that the principles set forth on SCHEDULE 1.1(6) shall be applied
     when calculating Working Capital.

                                      -15-
<Page>

1.2.      OTHER TERMS

          Other terms may be defined elsewhere in this Agreement (including in
any Annex or Schedule hereto) and, unless otherwise indicated, shall have the
respective meanings there ascribed to such terms.

1.3.      INTERPRETATION

          The following provisions shall apply in connection with the
interpretation of this Agreement:

          (a) Any reference to the singular includes the plural and vice versa,
     any reference to natural persons includes legal persons and vice versa, and
     any reference to a gender includes the other genders.

          (b) Any reference to Articles, Sections, Paragraphs, Clauses, Annexes
     and Schedules are, unless otherwise stated, references to Articles,
     Sections, Paragraphs, Clauses, Annexes and Schedules of or to this
     Agreement. The headings in this Agreement have been inserted for
     convenience only and shall not be taken into account in its interpretation.

          (c) The words "hereof", "herein" and "hereunder" and words of similar
     import, when used in this Agreement, shall refer to this Agreement as a
     whole and not to any particular provision of this Agreement.

          (d) All Annexes and Schedules form an integral part of this Agreement
     and are equally binding therewith. Any reference to "this Agreement" shall
     include such Annexes and Schedules.

          (e) A document in the "agreed terms" or in the "agreed form" is a
     reference to a document in a form approved by or on behalf of each party
     hereto, as amended by agreement in writing between the parties from time to
     time.

          (f) Any reference to a statutory provision shall include a reference
     to the provision as modified or re-enacted, or both, from time to time and
     any subordinate legislation made under such statutory provision.

          (g) References to a party shall include any permitted assignee or
     successor to such party in accordance with this Agreement.

                                      -16-
<Page>

          (h) If any period is referred to in this Agreement by way of reference
     to a number of days, the days shall be reckoned exclusively of the first
     and inclusively of the last day unless the last day falls on a Saturday,
     Sunday or public holiday in the location of performance, in which case the
     last day shall be the next succeeding day which is not a Saturday, Sunday
     or public holiday in such location.

          (i) The terms "dollars" or "$" shall mean United States dollars.

          (j) Whenever any reference is made in this Agreement to ABB's
     knowledge, information, belief or awareness, it shall be deemed to mean the
     actual (and not constructive or imputed) knowledge, information, belief or
     awareness of the individuals set out in Schedule 1.3(j) without being
     required to undertake any investigation concerning any matter in question.

                                    ARTICLE 2

            ACQUISITION OF SHARES, LOANS, ADDITIONAL BUSINESS ASSETS
                       AND ADDITIONAL BUSINESS LIABILITIES

2.1.      SALE AND PURCHASE

          (a) Upon the terms and subject to the conditions contained herein, at
the Closing ABB shall sell, assign, transfer and deliver (or cause to be sold,
assigned, transferred and delivered) to Purchaser, and Purchaser agrees to
purchase from ABB and/or its Affiliates, the Shares and the Loans, free and
clear of all Encumbrances.

          (b) Upon the terms and subject to the conditions contained herein and
the Local Agreements, at the Closing or as soon as reasonably practicable
thereafter, ABB shall cause its relevant Affiliates to sell, transfer, convey,
assign and deliver to Purchaser (or its designated Affiliates, such Affiliates
to be reasonably satisfactory to ABB) good title to the Additional Business
Assets free and clear of all Encumbrances other than Permitted Encumbrances
(and, in the case of real property, other Encumbrances referred to in Section
5.9(b)) and Purchaser (or such designated Affiliates of Purchaser) shall accept
the Additional Business Assets, assume, pay and thereafter duly perform and
discharge the Additional Liabilities and offer employment to each Additional
Business Employee on terms, including but not limited to position and level of
compensation, no less favorable to each such Additional Business Employee than
those applicable immediately prior to the Closing, all pursuant to the relevant
Local Agreement.

2.2.      PURCHASE PRICE; PRELIMINARY REVIEW REPORT

                                      -17-
<Page>

          (a) The purchase price for the Shares, the Loans and the Additional
Business Assets (the "PURCHASE PRICE") shall equal Four Hundred Eighty Five
Million United States dollars (US$ 485,000,000). Subject to the terms and
conditions of Sections 2.5 and 2.6, the Purchase Price shall be adjusted as
provided therein.

          (b) ABB shall deliver the Preliminary Review Report to Purchaser no
later than five (5) days prior to the Closing

2.3.      ALLOCATION OF PURCHASE PRICE

          The Purchase Price shall be allocated firstly to payment for the Loans
at their face value and the balance of the Purchase Price shall be allocated to
payment for the Shares and the Additional Business Assets in accordance with
SCHEDULE 2.3, which allocation shall be appropriately restated to account for
any adjustment pursuant to Sections 2.5 and 2.6. The parties will, and will make
all reasonable efforts to ensure that their respective Affiliates will, adopt
and utilize the agreed allocation for all purposes (including for Tax purposes).
Neither ABB nor Purchaser, nor any of their respective Affiliates, shall file
any Tax Return or other document or otherwise take any position which is
inconsistent with the allocation determined pursuant to this Section 2.3.

2.4.      PAYMENT

          Purchaser shall, or shall cause, the Purchase Price to be paid in full
at the Closing, by wire transfer in immediately available funds, without set-off
or counterclaim and to the account or accounts designated by ABB.

2.5.      CLOSING AUDIT REPORT; DISPUTES

          (a) As soon as reasonably practicable after the Closing, ABB shall
cause the Business Auditors to prepare the combined balance sheet of the
Business as of the Closing Date, together with the audit reports of the Business
Auditors to the effect that such balance sheet has been prepared and audited in
accordance with the requirements of this Section 2.5 and the definition of
Closing Audit Report and setting forth the calculations of Actual Equity and
Actual Working Capital in accordance with the terms of this Agreement. Such
balance sheet shall be prepared in accordance with the ABB Accounting Principles
applied on a basis consistent with that utilized in the preparation of the
financial statements of the Business as of, and for the period ended on,
December 31, 1998 (except for the effect of the adoption of IAS 19) forming a
part of the Financial Statements, and in accordance with the principles set
forth on SCHEDULE 1.1(6). Purchaser shall, and shall cause its Affiliates to,
provide full access to the Business Auditors to the premises, properties, books,
accounting records and other documents (including supporting

                                      -18-
<Page>

contractual documentation) and personnel of the Business reasonably requested by
the Business Auditors. The Business Auditors shall deliver the Closing Audit
Report to each of ABB and Purchaser no later than ninety (90) days after the
Closing.

          (b) The Closing Audit Report shall be binding and conclusive upon
Purchaser and ABB unless Purchaser or ABB shall have notified the other party in
writing within sixty (60) days after the date of the Closing Audit Report (which
Closing Audit Report shall be dated no earlier than five (5) days before it is
dispatched) of any objections thereto (an "OBJECTION NOTICE"). A notice under
this Section 2.5(b) shall specify in reasonable detail the items in the Closing
Audit Report which are being disputed and a description in reasonable detail of
the reasons for such dispute.

          (c) During the entire 60-day period following Purchaser's receipt of
the Closing Audit Report, Purchaser and its independent auditors shall be
permitted to review and make copies of the working papers of the Business and
the Business Auditors relating to the Closing Audit Report (subject to such
reasonable indemnities and other protection as may be required by the Business
Auditors) and shall have reasonable access to representatives of the Business
and to the Business Auditors.

          (d) At the request of either party, any dispute between the parties
relating to objections made to the Closing Audit Report which cannot be resolved
by them within sixty (60) days after the other party's receipt of an Objection
Notice shall be referred to such international accounting firm agreed between
the parties or, failing such agreement within seven (7) days of written notice
by either party hereto to the other party requiring such agreement, nominated by
the Chairman of the Board of the International Accounting Standards Committee
(or his designee) on the application of either party (the "DISPUTES AUDITORS")
for decision in accordance with this Section 2.5.

          (e) Before referring a matter to the Disputes Auditors, the parties
shall agree on procedures to be followed by the Disputes Auditors (including
procedures for presentation of evidence). If the parties are unable to agree
upon procedures before the end of sixty (60) days after receipt of an Objection
Notice, the Disputes Auditors shall establish the procedures giving due regard
to the provisions of this Agreement and the intention of the parties to resolve
disputes as quickly, efficiently and inexpensively as reasonably possible;
PROVIDED that such procedures shall (i) give the parties a reasonable
opportunity to submit written representations and make oral submissions; (ii)
require that copies of all written submissions by either party are supplied to
the other party; and (iii) permit each party to be present while any oral
submissions are made by the other party.

                                      -19-
<Page>

          (f) The parties shall, as promptly as practicable, submit evidence in
accordance with the procedures agreed upon or established by the Disputes
Auditors, and the Disputes Auditors shall decide the dispute in accordance
therewith as promptly as practicable. At all times pending resolution of any
matter submitted to the Disputes Auditors pursuant to this Section 2.5,
Purchaser shall cause the employees of the Business to afford to ABB and its
accountants, counsel, financial advisers and other representatives on-site
access reasonably required at all reasonable times to all personnel, properties,
books, contracts, records, schedules, analyses and working papers of the
Business.

          (g) The Disputes Auditors shall review only the specific objections to
the Closing Audit Report as to which the parties are in dispute and shall make
its determination based upon the terms, conditions and principles set forth in
this Agreement and within the range of outcomes proposed by the parties. The
parties agree that they will require the Disputes Auditors to render its
decision within thirty (30) days after referral of the dispute to the Disputes
Auditors for decision pursuant hereto. In the absence of calculation and other
similar manifest errors, the decision of the Disputes Auditors shall be final
and binding on both parties. Judgment may be entered upon the determination of
the Disputes Auditors in any court having jurisdiction over the party against
which such determination is to be enforced.

          (h) All fees and expenses of the Disputes Auditors shall be borne by
the parties equally, unless the dispute is expressly resolved by the Disputes
Auditors in favor of one party exclusively (in which event such fees and
expenses shall be borne entirely by the other party).

          (i) The Closing Audit Report shall become final and binding on both
parties upon the earliest to occur of (i) if no Objection Notice has been given,
the expiration of the period within which either party may notify the other
party of any objections thereto pursuant to Section 2.5(b); (ii) the agreement
by ABB and Purchaser that such Closing Audit Report, together with any
modifications thereto agreed by them, shall be final and binding; and (iii) if a
matter has been submitted to the Disputes Auditors in accordance with this
Section 2.5, the date on which the Disputes Auditors shall issue its decision
with respect thereto. The Closing Audit Report, as adjusted, where applicable,
pursuant to any agreement between the parties or pursuant to the decision of the
Disputes Auditors, when final and binding on both parties in accordance with the
immediately preceding sentence, is herein referred to as the "FINAL AUDIT
REPORT".

2.6.      ADJUSTMENT

          (a) Within ten (10) business days after the Closing Audit Report has
become final and binding on ABB and Purchaser pursuant to Section 2.5:

                                      -20-
<Page>

           (i) If there is an Actual Excess Amount, Purchaser shall pay to ABB,
     by wire transfer in immediately available funds, without set-off or
     counterclaim and to the account designated by ABB in writing, an amount
     equal to the Actual Excess Amount; or

          (ii) If there is an Actual Deficiency Amount, ABB shall pay to
     Purchaser, by wire transfer in immediately available funds, without set-off
     or counterclaim and to the account designated by Purchaser in writing, an
     amount equal to the Actual Deficiency Amount.

            (b) Any amount payable by either party pursuant to Section 2.6(a)
shall be paid with interest thereon at the three-month treasury bill rate (as
reported by THE WALL STREET JOURNAL or, if not reported thereby, by another
authoritative source) in effect on the Closing Date plus 1.0%, calculated on the
basis of the actual number of days elapsed over 365, from the Closing Date to
the date of actual payment, compounded annually.

            (c) Notwithstanding the foregoing provisions of this Section 2.6, if
the Closing Audit Report delivered by the Business Auditors pursuant to Section
2.5(a) and any Objection Notice delivered by either Purchaser or ABB or both
pursuant to Section 2.5(b) all reflect a calculation of Actual Equity and Actual
Working Capital that, if correct, would require a payment by the same party,
then within 10 days after delivery of the later of the two Objection Notices (or
if only one Objection Notice is delivered, within 10 days after the expiration
of the period within which the parties may deliver Objection Notices pursuant to
Section 2.5(b)), that party shall make a payment to the other, in the manner and
with interest as provided elsewhere in this Section 2.6, in an amount equal to
the lesser of (i) the amount payable by that party pursuant to the calculation
reflected in the Closing Audit Report, and (ii) the amount payable by that party
pursuant to the calculation reflected in such party's Objection Notice (if any).
Any amount paid pursuant to the preceding sentence shall be applied against, and
correspondingly reduce, the amount otherwise payable under this Section 2.6.

                                    ARTICLE 3

                       CERTAIN PRE-CLOSING REORGANIZATION

3.1.      CERTAIN TRANSFERS

            (a) ABB will take, or cause to be taken, such actions as may be
necessary or appropriate to ensure that, subject to Section 4.4, at the Closing
(i) all activities within the scope of Business conducted by the German Units
have been transferred to NBDE; and (ii) all activities within the scope of
Business conducted by the US I&C Unit have been transferred to one or more newly
formed companies wholly-owned by ABB and/or its Affiliates or to other companies
in the NB Group.

                                      -21-
<Page>

            (b) For purposes of this Agreement, activities within the scope of
the Business to be transferred pursuant to Paragraph (a) above shall be deemed
to have been so transferred when (i) subject to Section 4.4, all properties,
assets, goodwill and rights of whatever kind or nature (including but not
limited to rights under Contracts and rights in respect of Intellectual Property
and Technology), other than properties, assets, goodwill and rights described in
SCHEDULE 3.1(b)(i) hereto, owned by any transferor set out in such Paragraph (a)
and primarily used or held for use in, or primarily relating to or arising out
of the conduct of, the Business shall have been sold, assigned, transferred and
delivered to, and purchased by, the transferees set out in such Paragraph (a);
(ii) all Liabilities, other than Liabilities described in SCHEDULE 3.1(b)(ii)
hereto, owing by any transferor set out in such Paragraph (a) and primarily
relating to or arising out of the conduct of the Business shall have been
assumed by the transferees set out in such Paragraph (a); and (iii) each
individual who, on the date on which the activities referred to in Paragraph (a)
above are transferred, performs services primarily as an employee for such
activities (including such persons who are on an approved leave of absence,
vacation, salary continuation, short-term disability, long-term disability,
workers' compensation-related disability or otherwise treated as an active
employee of such activities) shall have been offered employment with the
transferees on terms, including but not limited to position and level of
compensation, no less favorable to such individual than those applicable
immediately prior to such date, or otherwise shall have been transferred to the
transferees in accordance with Applicable Law.

            (c) The sale and purchase of properties, assets, goodwill and
rights, and the assumption of Liabilities, in each case pursuant to Paragraph
(b) above, shall be effected pursuant to a purchase agreement between the
relevant transferor and transferee, which agreement shall include a warranty by
the transferor to the transferee that it has taken all corporate action required
to authorize the transaction and that it is the owner of the properties, assets,
goodwill and rights subject to such agreement, in each case free and clear of
all Encumbrances other than Permitted Encumbrances (and, in the case of real
property, other Encumbrances referred to in Section 5.9(b)). No other warranties
shall be given by the transferor and it shall not, once the relevant properties,
assets, goodwill and rights have been duly transferred as per the terms of such
purchase agreement, create any obligation to indemnify the transferee or any
other Person. Nothing in this Paragraph (c) shall operate to limit any liability
that ABB may have in relation to the Business by virtue of any representation or
warranty made by it in Article 5.

            (d) ABB will take, or cause to be taken, such actions as may be
necessary or appropriate to ensure that, at the Closing, all outstanding shares
of the Swedish Unit are owned of record and beneficially by NBSE.

                                      -22-
<Page>

3.2.      ABB TRADEMARKS AND TRADE NAMES

          It is understood and agreed that, except to the extent provided in
Section 7.10, no rights to the trademarks, servicemarks, trade names or
corporate or business names or other indicia of origin including the initialisms
or words "ABB", "BBC", "Asea", "Brown", or "Boveri" in whole or in part shall be
acquired by Purchaser or the NB Group under this Agreement.

3.3.      THE LOANS

          ABB and/or other companies in the ABB Group may extend loans to
companies in the NB Group to help them finance with debt any or all of the
transactions contemplated by Section 3.1. Prior to making any final decision on
the capitalization of NBDE, NBSE and, where applicable, US I&C Newco, ABB will
provide Purchaser with a reasonable opportunity to submit a proposal in this
regard and, if so submitted, will consider such proposal in good faith.

                                    ARTICLE 4

                                   THE CLOSING

4.1.      CLOSING DATE

          The Closing shall take place at the offices of White & Case LLP, 1155
Avenue of the Americas, New York, New York 10036, U.S.A., at 10:00 a.m. on a
date specified by ABB that is not earlier than two (2) days and not later than
ten (10) days following the satisfaction or waiver of the conditions to the
Closing set forth in Section 8.1(b), or, if the other conditions to the Closing
set forth in Article 8 have not been satisfied or waived by such date, as soon
as practicable after such conditions have been satisfied or waived, and the
Closing shall be deemed to take place at 10:00 a.m. on such date.

4.2.      DELIVERIES BY ABB

          ABB shall deliver (or shall cause its Affiliates to deliver) to
Purchaser at the Closing: (i) all certificates or other instruments representing
the Shares and the Loans, in each case duly endorsed and/or accompanied by other
documents required under Applicable Law in order to transfer title to the Shares
and the Loans; (ii) if executed on the Closing Date, duly executed counterparts
of the applicable Local Agreements in respect of the Additional Business Assets
and Additional Business Liabilities; and (iii) unless otherwise requested by
Purchaser at least ten (10) days prior to the Closing, resignations as director,
effective as of the Closing, of each member of the board of directors of each
company in the NB Group.

                                      -23-
<Page>

4.3.      DELIVERIES BY PURCHASER

          Purchaser shall deliver to ABB (or, at ABB's direction, one or more of
its Affiliates) at the Closing (i) the Purchase Price; and (ii) all other
amounts, if any, required to be paid by Purchaser to ABB prior to or at the
Closing pursuant to this Agreement, in each case by wire transfer in immediately
available funds, without set-off or counterclaim and to the account or accounts
designated by ABB.

4.4.      LIMITATION ON ASSIGNMENTS

          To the extent that the Transaction would constitute the assignment of
any Contract of ABB or any of its Affiliates requiring the consent of another
party thereto, this Agreement and, to the extent applicable, the relevant Local
Agreement, shall not constitute an agreement to assign the same if an attempted
assignment would constitute a breach thereof. It is understood and agreed that
the failure to obtain such consents shall not reduce the Purchase Price or
relieve either party from its obligation to consummate the Transaction at the
Closing, but shall be subject to the rights and obligations of the parties under
Section 7.5.

                                    ARTICLE 5

                      REPRESENTATIONS AND WARRANTIES OF ABB

          ABB represents and warrants to Purchaser that the following statements
are true and correct:

5.1.      ORGANIZATION

          (a) ABB is a company duly organized and validly existing under the
laws of Switzerland and has the requisite corporate power and authority to own
its properties and to carry on its business as presently being conducted.

          (b) Each of NBUS, NBFR and NBSE and their respective Subsidiaries, and
each Seller, is a corporation or company duly organized, validly existing and,
where applicable, in good standing under the laws of its jurisdiction of
incorporation or organization and each of them has the requisite corporate power
and authority to own its assets and to conduct its business as presently being
conducted.

          (c) At the Closing, NBDE and, where applicable, each newly formed
company referred to in Section 3.1(a)(ii) will be a company duly organized,
validly existing and, where applicable, in good standing under the laws of its
jurisdiction of incorporation or organization and will have the requisite
corporate power and authority to own their respective properties and

                                      -24-
<Page>

to conduct the respective businesses transferred to them in accordance with this
Agreement. Except as set forth on SCHEDULE 5.1(c), at the Closing, neither NBDE
nor any newly-formed company referred to in Section 3.1(a)(ii) will have any
Subsidiaries.

5.2.      AUTHORITY

          (a) ABB has the requisite corporate power and authority to execute,
deliver and perform this Agreement. The execution and delivery of this Agreement
by ABB and the consummation of the Transaction have been duly authorized by all
necessary corporate action on the part of ABB and do not require the approval of
the stockholders of ABB or of any Affiliate of ABB other than approvals already
obtained. Each Seller has the requisite corporate power and authority to
consummate the Transaction to the extent it is applicable to such Seller. At the
time of Closing, the consummation of the Transaction shall have been duly
authorized by all necessary corporate action on the part of each Seller to the
extent it is applicable to such Seller. This Agreement has been duly executed
and delivered by ABB and, assuming the due authorization, execution and delivery
of this Agreement by Purchaser, this Agreement constitutes a legal, valid and
binding obligation of ABB enforceable against it in accordance with its terms,
subject to applicable bankruptcy, reorganization, insolvency, moratorium and
other laws affecting creditors' rights generally from time to time in effect and
to general principles of equity.

          (b) No consent, approval, license, permit, order or authorization of,
or registration, declaration or filing with, any Governmental Authority is
required to be obtained or made by or with respect to ABB or any of its
Affiliates in connection with the execution and delivery of this Agreement or
the consummation of the Transaction, except for (i) compliance with and filings
under the HSR Act and under applicable competition laws and regulations in
Sweden, Germany and Spain; (ii) voluntary notification under the Exon-Florio
Amendment; (iii) consents or novations which may be required for the assignment
of any Contract or Intellectual Property; (iv) compliance with, and notices and
filings under, Environmental Law or under Permits issued pursuant to
Environmental Law; (v) compliance with, and notices, filings and approvals
under, the regulations of the NRC or any Agreement State, or of any other
Nuclear Regulator, including any applications for licenses or license transfers;
(vi) approval of the Ministry of Finance and Economy in France and the filing
with the Nuclear Power Inspectorate in Sweden and (vii) those the failure of
which to obtain or make, individually or in the aggregate, would not materially
impair the ability of ABB or any of its Affiliates to perform its obligations
under this Agreement or the Ancillary Agreements to which it is a party.

                                      -25-
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5.3.      NO CONFLICTS

          Neither the execution and delivery of this Agreement by ABB, nor the
consummation of the Transaction, nor compliance by ABB with any of the
provisions hereof applicable to it, will (i) violate, conflict with or result in
a breach of any provision of, or constitute a default (or an event which, with
notice or lapse of time or both, would constitute a default) under (A) the
memorandum, articles of association or other organizational documents of ABB or
any Seller; or (B) any material agreement to which ABB or any Seller is a party
or by which any such Person or any of its material assets may be bound; or (ii)
violate any Applicable Law or any order, judgment or decree of any court or
other Governmental Authority applicable to ABB or any Seller.

5.4.      SHARES AND LOANS

          At the Closing: (i) the authorized and outstanding capital stock of
NBUS, NBSE, NBFR and NBDE, and, where applicable, each newly formed company
referred to in Section 3.1(a)(ii) will be as set forth on Schedule 5.4 hereto;
(ii) the Shares will have been duly authorized, validly issued, will be fully
paid up and non-assessable, and will be owned of record and beneficially by ABB
and/or its Affiliates as set forth on Schedule 5.4, in each case free and clear
of any and all Encumbrances; (iii) there will be no outstanding options,
warrants or other rights of any kind entitling any Person to acquire any
additional shares of capital stock of NBUS, NBSE, NBFR, NBDE or, where
applicable, any newly formed company referred to in Section 3.1(a)(ii) which is
not owned by NBUS, NBSE, NBDE, or NBFR or any of their respective Subsidiaries,
or securities convertible into or exchangeable for any such additional shares
and none of NBUS, NBSE, NBFR, NBDE or, where applicable, any such newly-formed
company will have committed to issue any such option, warrant, right or
security; and (iv) all Loans will be owned of record and beneficially by a
company in the ABB Group, free and clear of any and all Encumbrances.

5.5.      SUBSIDIARIES

          At the Closing, the authorized and outstanding capital stock of each
direct and indirect Subsidiary of NBUS, NBSE, NBFR and NBDE, and, where
applicable, each newly formed company referred to in Section 3.1(a)(ii), as
applicable, will be as set forth on SCHEDULE 5.5, and except as set forth on
SCHEDULE 5.5, all of such issued and outstanding shares of capital stock will be
(i) owned, directly or indirectly, beneficially and of record by NBUS, NBSE,
NBFR and NBDE, and, where applicable, each newly formed company referred to in
Section 3.1(a)(ii), as applicable, as set forth on SCHEDULE 5.5, free and clear
of any and all Encumbrances; and (ii) duly authorized, validly issued, fully
paid up and non-assessable. Except as set forth on

                                      -26-
<Page>

SCHEDULE 5.5, there will not, at the Closing, be any outstanding options,
warrants or other rights of any kind entitling any Person to acquire any
additional shares of capital stock of any such Subsidiary or securities
convertible into or exchangeable for any such additional shares and none of such
Subsidiaries have committed to issue any such option, warrant, right or
security.

5.6.      FINANCIAL INFORMATION

          (a) ABB has previously delivered the Financial Statements and the
Combined Financial Data to Purchaser. The Financial Statements have been
prepared from the books and records of ABB and/or its Affiliates relating to the
Business and have been prepared in accordance with the ABB Accounting Principles
applied on a basis consistent with that of the unaudited financial statements of
the Business for the immediately preceding fiscal year of the ABB Group, except
for changes in IAS or as otherwise provided in SCHEDULE 5.6(a). The ABB
Accounting Principles comply in all respects with IAS.

          (b) The order backlog information set forth in SCHEDULE 5.6(b) was
true and correct in all material respects as of September 30, 1999.

          (c) With respect to the information in relation to the Business set
out in SCHEDULE 5.6(c), the information for fiscal year 2000 is based on the
budget for such year, and the information for fiscal years 2001 and 2002 is
based on the strategic plan for such years, which budget and strategic plan were
prepared by ABB and/or its Affiliates in the ordinary course of planning for the
future conduct of the Business, and not for purposes of the Transaction, and
were reviewed and approved in the normal budget and strategic planning processes
applicable within the ABB Group.

          (d) The information on restructuring charges and on corporate charges
and allocations set out in SCHEDULE 5.6(d) is true and accurate in all material
respects.

5.7.      COMPLIANCE WITH LAW

          (a) The Business is being and, at all times since December 31, 1996,
has been conducted in compliance with Applicable Law, except for violations, if
any, which in the aggregate have not had, and would not reasonably be expected
to have, a Material Adverse Effect on the Business. All governmental approvals,
permits and licenses required in connection with the conduct of the Business
have been obtained and are in full force and effect and are being complied with
except for such approvals, permits and licenses, the failure of which to obtain
or the violation of which individually or in the aggregate have not had, and
would not reasonably be expected to have, a Material Adverse Effect on the
Business. None of the Business Units has at any time since December 31, 1996 (i)
made any illegal payments for political contributions or

                                      -27-
<Page>

any bribes, illegal kickback payments or other illegal payments; or (ii) been
disqualified from bidding on any public or private contract or project as a
result of having violated Applicable Law. This Section 5.7 does not relate to
labor and employment matters (to which Section 5.12 is applicable), employee
benefits matters (to which Section 5.13 is applicable), Tax matters (to which
Section 5.14 is applicable), litigation matters (to which Section 5.15 is
applicable), or environmental matters (to which Section 5.16 is applicable).

          (b) Each member of the NB Group has at least the minimum amount of
capital required by Applicable Law.

5.8.      SUFFICIENCY OF ASSETS

          (a) The Business Units have, and, subject to Section 4.4, at the
Closing the NB Group will have, good and valid title to, or subsisting leasehold
interests in, all material tangible personal property primarily used or held for
use in the Business, free and clear of any and all Encumbrances other than
Permitted Encumbrances.

          (b) Without limiting Section 5.8(a), and except as set forth on
SCHEDULE 5.8(b), to ABB's knowledge, the Business Units have, and subject to
Section 4.4, at the Closing the NB Group will have, good and valid title to, or
subsisting leasehold interests in or licenses to, all material assets (including
without limitation Contracts and Intellectual Property) primarily used or held
for use in the Business, free and clear of any and all Encumbrances other than
Permitted Encumbrances (and, in the case of real property, other Encumbrances
referred to in Section 5.9(b)).

5.9.      REAL PROPERTY

          (a) SCHEDULE 5.9 is in all material respects an accurate and complete
list as of the date hereof of the street addresses of all real property owned or
leased by ABB and/or any of its Affiliates and primarily used or held for use in
the Business, and indicating whether such real property is owned or leased.

          (b) The Business Units have, and at the Closing the NB Group will
have, fee title to all real property owned by ABB and/or its Affiliates and
primarily used or held for use in the Business ("OWNED REAL PROPERTY"), free and
clear of any and all Encumbrances other than (i) Permitted Encumbrances; (ii)
recorded or unrecorded easements, covenants, rights-of-way and similar
restrictions; and (iii) zoning, building and other similar restrictions; none of
which items set forth in clauses (ii) and (iii) above, individually or in the
aggregate, materially impairs the ability of any Business Unit, or will at the
Closing Date materially impair the ability of any member of the NB Group, to use
any Owned Real Property for the purposes for which it is

                                      -28-
<Page>

currently being used or planned to be used in connection with the Business.
Except as set forth in SCHEDULE 5.9, no material portion of any Owned Real
Property is leased by ABB and/or its Affiliates to any Person. Neither ABB nor
any of its Affiliates has received, since December 31, 1996, any notice of any
condemnation or expropriation proceeding relating to any Owned Real Property and
no such proceedings are pending which, if adversely determined, would materially
preclude or impair the use of any Owned Real Property.

          (c) With respect to all real property leased by ABB and/or any of its
Affiliates and primarily used or held for use in the Business ("LEASED REAL
PROPERTY"), ABB has heretofore delivered or made available to Purchaser true and
complete copies of all related leases, including all amendments and
modifications thereto (other than the leases referred to in Section 7.21(c) and
(d), which Purchaser acknowledges are not formally documented). With respect to
each Leased Real Property: (i) each lease is valid and subsisting and in full
force and effect; (ii) no notice of a material default has been sent or received
by ABB or any Affiliate of ABB under the applicable lease which remains uncured;
and (iii) the tenant is in occupancy of the space demised under the applicable
lease.

5.10.     INTELLECTUAL PROPERTY AND TECHNOLOGY

          (a) SCHEDULE 5.10(a) is in all material respects an accurate and
complete list, as of the date hereof, of all material Intellectual Property
(other than trade dress and slogans) primarily used or held for use in the
Business and owned by ABB and/or its Affiliates (the "OWNED INTELLECTUAL
PROPERTY"), and, to the extent indicated on such SCHEDULE 5.10(a), the Owned
Intellectual Property has been duly registered in, filed in or issued by the
United States Copyright Office or the United States Patent and Trademark Office
or Network Solutions, Inc., the appropriate offices in the various states of the
United States and the appropriate offices of other jurisdictions.

          (b) SCHEDULE 5.10(b) is in all material respects an accurate and
complete list, as of the date hereof, of all material Intellectual Property
which is used under express license primarily in the Business by ABB and/or its
Affiliates (the "LICENSED INTELLECTUAL PROPERTY"), and except to the extent
indicated on such Schedule, ABB has delivered or made available to Purchaser
true and complete copies of all related licenses, including all amendments and
modifications thereto. Since December 31, 1996, no notice of a material default
has been sent or received by ABB and/or its Affiliates under any such license
which remains uncured.

          (c) Except as set forth on SCHEDULE 5.10(c), at the Closing, the NB
Group will be the sole and exclusive owner of all Owned Intellectual Property,
subject to Sections 3.2 and 7.10 and to the recording by the applicable
Governmental Authorities of any transfer of Owned

                                      -29-
<Page>

Intellectual Property in connection with the Pre-Closing Reorganization, free
and clear of any and all Encumbrances other than Permitted Encumbrances, and
will be the successor-in-interest to the license for any Licensed Intellectual
Property that is used under license by a Business Unit (subject to Section 4.4).
No Owned Intellectual Property material to the conduct of the Business has been
cancelled, abandoned or otherwise terminated and all renewal fees in respect
thereof have been duly paid. Except as set forth in SCHEDULE 5.10(c), no
Business Unit has granted any license or other rights with respect to Owned
Intellectual Property to any other Person.

          (d) Except as set forth in SCHEDULE 5.10(d), at the Closing, subject
to Sections 3.2 and 7.10, the NB Group will be the sole and exclusive owner of
all Technology primarily used or held for use in the Business and owned by ABB
and/or its Affiliates, free and clear of any and all Encumbrances other than
Permitted Encumbrances, and will be the successor-in-interest to the license for
any Technology which is used under express license primarily in the Business by
ABB and/or its Affiliates (subject to Section 4.4). Except as set forth in
SCHEDULE 5.10(d), no Business Unit has granted any license or other rights with
respect to Technology material to the conduct of the Business to any other
Person.

          (e) Except as set forth in SCHEDULE 5.10(e), since December 31, 1996,
no Business Unit has received any written notice from any other Person
challenging in any material respect the right of a Business Unit to use any of
the Owned Intellectual Property, Licensed Intellectual Property or Technology
material to the conduct of the Business.

          (f) Except as set forth in SCHEDULE 5.10(f), since December 31, 1996,
no Business Unit has made any claim in writing of a violation, infringement,
misuse or misappropriation by others of its rights to or in connection with any
Owned Intellectual Property or Technology material to the conduct of the
Business, which claim is still pending.

          (g) Except as set forth in SCHEDULE 5.10(g), since December 31,1996,
no Business Unit has received any claim in writing from any third Person of a
violation, infringement, misuse or misappropriation by any Business Unit of any
intellectual property or technology owned by any third Person, or of the
invalidity of any patent or registration of a copyright, trademark, service
mark, domain name or trade name included in the Owned Intellectual Property,
which claim is still pending.

          (h) Except as set forth in SCHEDULE 5.10(h), since December 31, 1996,
there have been no interferences or other contested proceedings, either pending
or, to the knowledge of ABB, threatened in writing in the United States
Copyright Office, the United States Patent and Trademark Office or any
Governmental Authority relating to any pending application with respect to any
Owned Intellectual Property.

                                      -30-
<Page>

5.11.     MATERIAL CONTRACTS

          (a) Except for Contracts listed in SCHEDULE 5.11, as of the date
hereof, no Business Unit is bound by any Material Contract (as defined below).
Except for Contracts listed in SCHEDULE 5.11 and Material Contracts entered into
in accordance with this Agreement after the date hereof but before the Closing,
as of the date of Closing, no member of the NB Group will be bound by any
Material Contract, regardless of whether such Material Contract relates to the
Business. Except as indicated in SCHEDULE 5.11, ABB has heretofore delivered or
made available to Purchaser true and complete copies of all Material Contracts
outstanding as of the date of this Agreement, including all amendments and
modifications thereto.

          (b) Each outstanding Material Contract constitutes a valid and binding
agreement, enforceable against ABB or the relevant Affiliate of ABB in
accordance with its terms, and, to the knowledge of ABB, each other party
thereto, subject in each case to applicable bankruptcy, reorganization,
insolvency, moratorium and other laws affecting creditors' rights generally from
time to time in effect and to general principles of equity. No notice of a
default has been sent or received by ABB and/or its Affiliates under any such
Material Contract which remains uncured, except for defaults which in the
aggregate have not had, and would not reasonably be expected to have, a Material
Adverse Effect on the Business.

          (c) For purposes of this Agreement, "MATERIAL CONTRACT" means a
Contract which:

         (i) involves future payment or receipt of funds in excess of Five
     Million United States dollars (US$ 5,000,000) or future performance or
     receipt of services or delivery or receipt of goods and materials, in each
     case with an aggregate value in excess of Five Million United States
     dollars (US $5,000,000);

        (ii) is a guarantee in respect of indebtedness of any Person (other than
     any Business Unit in relation to the Business) or is a mortgage, security
     agreement or other collateral arrangement securing such indebtedness;

       (iii) is a lease relating to real property providing for annual rental
     payments in excess of Five Hundred Thousand United States dollars (US$
     500,000) or a lease relating to any machinery, equipment, vehicle or other
     tangible personal property providing for annual rental payments in excess
     of Two Hundred Fifty Thousand United States dollars (US $250,000);

        (iv) is an employment or consulting agreement for any Person with an
     annual base compensation in excess of Two Hundred Thousand United States
     dollars (US $200,000) or a collective bargaining agreement relating to the
     employees of the Business;

                                      -31-
<Page>

         (v) is a Technology license agreement material to the Business;

        (vi) is a partnership, joint venture, shareholders' or other similar
     agreement with any Person;

        (vii) is a Contract relating to (A) the future disposition or
     acquisition of any assets and properties valued in excess of Five Hundred
     Thousand United States dollars (US $500,000), other than dispositions or
     acquisitions in the ordinary course of business consistent with past
     practice; and (B) any business combination;

        (viii) other than Contracts entered into in the ordinary course of
     business consistent with past practice for the purchase or sale of products
     or services from or to the Business and that do not involve expenditures or
     receipts in excess of One Hundred Thousand United States dollars (US
     $100,000) in any fiscal year, is a Contract with (A) ABB or any of its
     Affiliates, or (B) any director, officer or employee of ABB or any of its
     Affiliates, that will not be terminated at or prior to the Closing;

        (ix) other than letters of credit, foreign exchange contracts, bonds and
     similar instruments obtained in the ordinary course of business consistent
     with past practices, is a Contract which is an indenture, note, loan or
     credit agreement or other Contract relating to the borrowing of money in an
     amount in excess of One Million United States dollars (US $1,000,000);

         (x) is a Contract containing a covenant not to compete, other than
     those contained in project-related teaming, consortium or similar
     agreements with respect to the project that is the subject of such
     agreement, customary covenants contained in distributor agreements and
     those of which the Business is the beneficiary in employee-related
     agreements;

        (xi) is any take-or-pay or requirements Contract or other Contract
     requiring any member of the NB Group to pay regardless of whether products
     or services are received;

       (xii) is a Contract relating to the acquisition by any member of the
     NB Group of any operating business or the capital stock of any other
     Person;

      (xiii) is a Contract made outside the ordinary course of business
     consistent with past practices relating to Business and involving an amount
     in excess of One Million United States dollars (US $1,000,000);

       (xiv) is a Contract which is a license or development agreement and
     involving annual payments or receipts in excess of Two Hundred and Fifty
     Thousand United States

                                      -32-
<Page>

     dollars (US$ 250,000) or the termination of which would have, or would
     reasonably be expected to have, a Material Adverse Effect on the Business;
     or

        (xv) is a Contract which is a tolling agreement with respect to
     potential claims against ABB or any of its Affiliates.

5.12.     LABOR MATTERS

          SCHEDULE 5.12 is in all material respects an accurate and complete
list of all currently effective labor and collective bargaining agreements
applicable to employees of each Business Unit, copies of which have been made
available to Purchaser. Except as set forth in SCHEDULE 5.12, there is no
pending (i) labor strike, work stoppage or lockout against any Business Unit in
connection with the Business; (ii) unfair labor practice charge or complaint
against any Business Unit in connection with the Business before the National
Labor Relations Board or any similar body; or (iii) union grievance against any
Business Unit in connection with the Business, which, in the case of Clauses
(i), (ii) and (iii), in the aggregate have had, or would reasonably be expected
to have, a Material Adverse Effect on the Business.

5.13.     EMPLOYEE BENEFITS

          (a) SCHEDULE 5.13 is in all material respects an accurate and complete
list, as of the date hereof, of all Employee Benefit Plans. Except as set forth
in SCHEDULE 5.13, ABB has made available to Purchaser an accurate and complete
list, as of the date hereof, of all anticipated Closing Business Employees which
is identified as such list. With respect to each U.S. Employee Benefit Plan, ABB
has made available to Purchaser, and with respect to each Foreign Employee
Benefit Plan (other than a Non-ABB Employee Benefit Plan) as to which there is
any material (i) unfunded liability, or (ii) liability that could arise as a
result of the Transaction, ABB has made available to Purchaser, and with respect
to each other Foreign Employee Benefit Plan (other than a Non-ABB Employee
Benefit Plan), ABB will make available to Purchaser within 45 (forty-five) days
of the date of this Agreement, where applicable, true and complete copies of (i)
the plan document and amendments thereto, and (ii) the actuarial valuation
report. With respect to each U.S. Employee Benefit Plan, ABB has made available
to Purchaser, and, with respect to each Foreign Employee Benefit Plan, ABB will
make available to Purchaser, within 45 (forty-five) days of the date of this
Agreement, where applicable, true, complete and correct copies of (i) the most
recent annual report on Form 5500 filed with the Internal Revenue Service or
similar periodic filing with regulatory authorities having jurisdiction over the
plans of non-U.S. Business Units; (ii) the most recent summary plan description
and summary of material modifications, where such description or modification
has been prepared by ABB and/or its Affiliates; (iii) any trust agreement or
annuity contract in effect on the date hereof; and (iv) the

                                      -33-
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most recent audited financial statement. No Employee Benefit Plan is a
multiemployer plan as defined in Section 4001(a)(3) or Section 3(37) of ERISA.
Except as set forth in SCHEDULE 5.13, no collectively bargained employees of any
Business Unit are entitled to post-retirement medical or other benefits.

          (b) Each Employee Benefit Plan which by its terms is intended to be
"qualified" within the meaning of Section 401(a) of the Code has received a
favorable determination letter from the Internal Revenue Service, and, except as
set forth in SCHEDULE 5.13 or as would not adversely affect the qualification of
such plan, such determination letter approves all amendments for which the
remedial amendment period provided in the Code and applicable Internal Revenue
Service rulings and regulations has expired.

          (c) Except as set forth in SCHEDULE 5.13, and except where failures to
do so have not had, and would not reasonably be expected to have, in the
aggregate a Material Adverse Effect on the Business:

         (i) except with respect to any Non-ABB Employee Benefit Plan, all
     Employee Benefit Plans have been established and administered in accordance
     with their respective terms and in compliance with Applicable Law,
     including without limitation ERISA, COBRA, the Health Insurance Portability
     and Accountability Act of 1996, and all applicable tax-qualification
     requirements, and all reports, returns, or similar documents with respect
     to the Employee Benefit Plans required to be filed with any Governmental
     Authority or distributed to participants have been timely filed or
     distributed;

        (ii) except with respect to any Non-ABB Employee Benefit Plan, there
     are no pending claims in respect of any Employee Benefit Plans by any
     Person or Persons covered thereby which allege violations of Applicable
     Law, and there are no pending or ongoing investigations of any Employee
     Benefit Plans by any Governmental Authority; and

       (iii) (A) no "reportable event" within the meaning of Section 4043(c)
     of ERISA or the regulations thereunder has occurred with respect to any
     Represented ABB Retirement Plan (other than such "reportable event", if
     any, occurring by reason of the Pre-Closing Reorganization or the
     Transaction); (B) no Employee Benefit Plan has incurred any accumulated
     funding deficiency; (C) within the six years prior to the date hereof, no
     Employee Benefit Plan sponsored by ABB or its Affiliates (whether or not
     applicable to Business Employees) covered by Title IV of ERISA has been
     terminated in a distress termination described in Section 4041(c) of ERISA
     or in an involuntary termination described in Section 4042 of ERISA and, to
     the knowledge of ABB, no

                                      -34-
<Page>

     proceedings have been instituted to terminate or appoint a trustee to
     administer any such Employee Benefit Plan; (D) no Business Unit, nor to the
     knowledge of ABB, any other "disqualified person" or "party in interest"
     (as defined in Section 4975(e)(2) of the Code and Section 3(14) of ERISA,
     respectively) employed by or affiliated with any Business Unit has engaged
     in any transactions in connection with any Employee Benefit Plan that would
     reasonably be expected to result in the imposition of a penalty pursuant to
     Section 502 of ERISA, damages pursuant to Section 409 of ERISA or a Tax
     pursuant to Section 4975 of the Code for which a Business Unit could be
     liable; (E) all contributions to, and payments from, the Employee Benefit
     Plans that have been required of ABB or its Affiliates under the terms of
     such Employee Benefit Plans, Applicable Law, or collective bargaining or
     labor agreements have been timely and properly made; and (F) no Employee
     Benefit Plan sponsored by ABB or its Affiliates has incurred any liability
     to the Pension Benefit Guaranty Corporation, other than premiums that have
     been paid when due.

          (d) Except as set forth in SCHEDULE 5.13, no Closing Business Employee
will become entitled to any bonus, retirement, severance, job security, or
similar benefit or the acceleration of payment of any such benefit solely as a
result of the Transaction. No company in the NB Group is obligated to make any
payments, or is party to any agreement that could require it to make payments,
not deductible for purposes of Section 162(m) or Section 280G of the Code or
similar provisions of state, local, or foreign law or regulation. Except as set
forth in SCHEDULE 5.13, there are no written severance agreements or
arrangements with respect to any Closing Business Employees other than the
Involuntary Separation Pay Plan and severance benefits described in the
collective bargaining agreements shown in SCHEDULE 5.12 and there are no oral
severance agreements other than oral severance agreements which in the aggregate
would not result in liability exceeding $500,000.

5.14.     TAXES

          Except as set forth on SCHEDULE 5.14:

         (i) all material Tax Returns which are required to be filed on or prior
     to the date of this Agreement with respect to the assets, income or
     operations of the Business have been filed when due, including any period
     of extension, and have been true, correct and complete in all material
     respects;

        (ii) all Taxes shown on such Tax Returns have been paid when due and
     payable, after giving effect to any applicable extensions;

                                      -35-
<Page>

       (iii) all material Taxes relating to the income, properties or operations
     of the Business or the NB Group which ABB and/or its Affiliates or the NB
     Group is required by Applicable Law to withhold or collect have been duly
     withheld or collected and have been timely paid over to the proper
     authorities to the extent due and payable;

        (iv) no taxing authority has asserted any material Tax deficiency that
     has not been paid or properly reserved for with respect to the NB Group or
     the Business;

         (v) except in connection with any consolidated, affiliated, or combined
     United States federal, state, or local Tax Return: (A) no Person has
     requested any extension of time within which to file any Tax Return with
     respect to the NB Group or the Business, which Tax Return has not since
     been filed, and (B) no Person has executed any waivers or comparable
     consents regarding the application of statutes of limitation with respect
     to Taxes or Tax Returns for or relating to the NB Group or the Business;

        (vi) no company in the NB Group is required to include in income any
     adjustment pursuant to Section 481(a) of the Code or any comparable
     provision of state, local or foreign law or regulations, and no taxing
     authority has proposed any such adjustment or any change in Tax accounting
     method;

       (vii) no material audits or administrative proceedings or court
     proceedings are presently pending with regard to Taxes or Tax Returns of
     the NB Group or the Business;

      (viii) there is no pending claim by any taxing authority of a jurisdiction
     where any member of the NB Group or any Seller (or any of their Affiliates)
     has not filed Tax Returns with respect to the Business that such member or
     such Seller is subject to taxation by the jurisdiction with respect to the
     Business;

        (ix) no power of attorney currently in force has been granted by ABB or
     any of its Affiliates with respect to the NB Group or the Business that
     would be binding on Purchaser with respect to Tax matters for taxable
     periods including, or beginning after, the Closing Date;

         (x) no Seller or member of the NB Group has received a Tax ruling or
     entered into a closing or similar agreement with any taxing authority with
     respect to the Business that would likely affect the Tax liabilities of the
     NB Group or the Business in a material manner after the Closing Date;

                                      -36-
<Page>

        (xi) each member of the NB Group has timely paid (or there has been
     timely paid on its behalf) all required current estimated Tax payments in
     amounts sufficient to avoid interest charges or underpayment penalties;

       (xii) none of the members of the NB Group is or has been a member of any
     U.S. partnership (or Person treated as a partnership for U.S. Tax purposes)
     or the holder of any beneficial interest in any trust, in each case for any
     period for which all applicable statutes of limitation for any Tax has not
     yet expired; and

      (xiii) assuming the designated Affiliate of Purchaser is a qualified
     purchaser of the stock of NBUS and US I&C Newco and joins Seller or Sellers
     in making the proper elections, the Seller or Sellers of NBUS and US I&C
     Newco have or will have the requisite ownership and are otherwise entitled
     to make valid elections under Section 338(h)(10) of the Code with respect
     to the acquisitions by Purchaser of NBUS and US I&C Newco.

5.15.     LITIGATION

          Except as set forth on SCHEDULE 5.15, there is no action, suit,
proceeding or investigation pending or, to the knowledge of ABB, presently
threatened in writing which remains unresolved, against ABB or any of its
Affiliates in connection with the Business before or by any court or other
Governmental Authority, except such actions, suits, proceedings and
investigations which in the aggregate, if adversely determined, have not had,
and would not reasonably be expected to have, a Material Adverse Effect on the
Business.

5.16      ENVIRONMENTAL MATTERS

          Except as disclosed by ABB or its Affiliates to Purchaser either in
documents (which documents are listed on SCHEDULE 5.16) or orally in interviews
of employees of ABB or its Affiliates (which interviews are listed on such
SCHEDULE 5.16), and except for such other Business-Related Environmental
Liabilities as in the aggregate have not, since September 30, 1999, had, and
would not reasonably be expected to have, a Material Adverse Effect on the
Business:

         (i) the Business is in compliance with all applicable Environmental
     Laws, and has obtained, and is in compliance with, all Permits required
     under such Environmental Laws; and

                                      -37-
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        (ii) there are no proceedings or actions by any Governmental Authority
     or by any other Person relating to the Business pending against ABB or any
     of its Affiliates under any Environmental Law; and

       (iii) there are no facts, circumstances or conditions relating to the
     Business that would reasonably be expected to give rise to Business-Related
     Environmental Liabilities.

5.17.     ABSENCE OF CERTAIN CHANGES

          Except as set forth in the Schedules hereto, including SCHEDULE 5.17,
or as contemplated by this Agreement, (i) from September 30, 1999 until the date
of this Agreement, ABB and its Affiliates have conducted the Business in all
material respects only in the ordinary course of business consistent with past
practices (but excluding this Transaction); and (ii) since September 30, 1999,
there has not been any event that has had, or would reasonably be expected to
have, a Material Adverse Effect on the Business.

5.18.     BROKERS AND INTERMEDIARIES

          ABB has not employed any agent, broker, investment banker, finder,
advisor or intermediary in connection with the Transaction or this Agreement
which would be entitled to a broker's, finder's or similar fee or commission in
connection therewith or upon the consummation thereof.

5.19      INSURANCE

          SCHEDULE 5.19 sets forth a list and brief description (specifying the
insurer, the policy number or covering note number with respect to binders, the
amount of any deductible, and the aggregate limit, if any, of the insurer's
liability thereunder) of all policies or binders of fire, liability, errors and
omissions, workers' compensation, vehicular and other insurance (other than (i)
directors' and officers' liability insurance, (ii) political risk insurance and
(iii) kidnap and ransom insurance, each as maintained by the ABB Group) held by
or on behalf of ABB or any of its Affiliates with respect to the Business. Such
policies and binders are valid and enforceable in accordance with their
respective terms in all material respects (subject to applicable insolvency laws
and principles of equity of general application), and, as of the date hereof,
are in full force and effect. No notice of a default has been received by ABB
and/or its Affiliates under any such policies or binders which remains uncured,
except for defaults which in the aggregate have not had, and would not
reasonably be expected to have, a Material Adverse Effect on the Business. As of
the date hereof, neither ABB nor any of its Affiliates has received any notice
of cancellation or non-renewal of any such policy or binder.

                                      -38-
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5.20      YEAR 2000

          ABB has provided to Purchaser copies of all material reports and plans
prepared by ABB and its Affiliates in connection with the Business relating to
compliance or readiness in connection with year 2000. Except as provided in this
Section 5.20, ABB makes no representations or warranties with respect to the
capability of any of the equipment, systems, software, data or databases
relating to the Business to adapt, accommodate or respond to the year 2000 and
thereafter, or with respect to the absence of Liabilities, contingent or
otherwise, arising therefrom or related thereto (but without limiting the
representations and warranties set forth in Sections 5.6 and 5.17).

5.21.     DISCLAIMER OF OTHER WARRANTIES

          (a) ABB does not make, and has not made, any representations or
warranties of any kind whatsoever in connection with this Agreement or the
Transaction other than those expressly set out in this Article 5. Without
limiting the generality of the foregoing, ABB has not made, and shall not be
deemed to have made, any representations or warranties in any communication or
document relating to the Business or the Transaction, including, without
limitation, in any information memorandum supplied to Purchaser and/or its
representatives or advisors by or on behalf of ABB or the NB Group prior to the
Closing or in any presentation of the Business in connection with the
Transaction. It is understood that any cost estimates, projections or other
predictions, or, except as expressly provided herein, any other financial
information or data, provided by ABB in relation to the Business or in
connection with the Transaction are not, and shall not be deemed to be or to
include, representations or warranties of ABB.

          (b) No Person has been authorized by ABB to make any representation or
warranty relating to ABB, the NB Group or the Business or otherwise in
connection with the Transaction and, if made, such representation or warranty
must not be relied upon as having been authorized by ABB. Purchaser acknowledges
that it has not relied on any representations or warranties in connection with
this Agreement or the Transaction other than those expressly set out in this
Article 5 (as qualified by any disclosure contained in any Schedule hereto and
in the Ancillary Agreements).

5.22.     DISCLOSURE

          Notwithstanding anything to the contrary contained in this Agreement
or in any of the Schedules, any information disclosed in one Schedule shall be
deemed to be disclosed in all Schedules. Certain information set forth in the
Schedules is included solely for informational

                                      -39-
<Page>

purposes and may not be required to be disclosed pursuant to this Agreement. The
disclosure of any information shall not be deemed to constitute an
acknowledgement that such information is required to be disclosed in connection
with the representations and warranties made by ABB in this Agreement or that it
is material, nor shall such information be deemed to establish a standard of
materiality.

5.23.     TIMING OF REPRESENTATIONS AND WARRANTIES

          The representations and warranties in Sections 5.1 through 5.5 and
Section 5.18 shall be deemed to be given upon the execution of this Agreement as
well as at the Closing, and, without limiting the effect of Section 8.2, all
other representations and warranties shall be deemed to be given as of the date
of this Agreement only.

                                    ARTICLE 6

                   REPRESENTATIONS AND WARRANTIES OF PURCHASER

          Purchaser represents and warrants to ABB that the following statements
are true and correct:

6.1.      ORGANIZATION

          Purchaser is a corporation duly organized and validly existing under
the laws of England and has the requisite corporate power and authority to own
its properties and to carry on its business as presently being conducted.

6.2.      AUTHORITY

          (a) Purchaser has the requisite corporate power and authority to
execute, deliver and perform this Agreement. The execution and delivery of this
Agreement by Purchaser and the consummation of the Transaction have been duly
authorized by all necessary corporate action on the part of Purchaser. This
Agreement has been duly executed and delivered by Purchaser and, assuming the
due authorization, execution and delivery of this Agreement by ABB, this
Agreement constitutes a legal, valid and binding obligation of Purchaser
enforceable against it in accordance with its terms, subject to applicable
bankruptcy, reorganization, insolvency, moratorium and other laws affecting
creditors' rights generally from time to time in effect and to general
principles of equity.

          (b) No consent, approval, license, permit, order or authorization of,
or registration, declaration or filing with, any Governmental Authority is
required to be obtained or made by or with respect to Purchaser or any of its
Affiliates in connection with the execution and

                                      -40-
<Page>

delivery of this Agreement or the consummation of the Transaction, except for
(i) compliance with and filings under the HSR Act and under applicable
competition laws and regulations in Sweden, Germany and Spain; (ii) voluntary
notification under the Exon-Florio Amendment; (iii) approval of the Ministry of
Finance and Economy in France and the filing with the Nuclear Power Inspectorate
in Sweden; (iv) compliance with, and notices and filings under, Environmental
Law or under Permits issued pursuant to Environmental Law; (v) compliance with,
and notices, filings and approvals under, the regulations of the NRC or any
Agreement State, or of any Nuclear Regulator, including any applications for
licenses or license transfers; and (vi) those the failure of which to obtain or
make, individually or in the aggregate, would not materially impair the ability
of Purchaser or any of its Affiliates to perform its obligations under this
Agreement or the Ancillary Agreements to which it is a party.

6.3.      NO CONFLICTS

          Neither the execution and delivery of this Agreement by Purchaser, nor
the consummation of the Transaction, nor compliance by Purchaser with any of the
provisions hereof applicable to it, will (i) violate, conflict with or result in
a breach of any provision of, or constitute a default (or an event which, with
notice or lapse of time or both, would constitute a default) under (A) the
memorandum, articles of association or other organizational documents of
Purchaser; or (B) any material agreement to which Purchaser is a party or by
which Purchaser or any of its material assets may be bound; or (ii) violate any
Applicable Law or any order, judgment or decree of any court or other
Governmental Authority applicable to Purchaser.

6.4.      FINANCING

          Purchaser has sufficient funds and/or has obtained firm commitments
for the financing of the payment in full of the Purchase Price and all other
amounts payable by Purchaser hereunder at the Closing and such funds and
financing will be available at the Closing for such purposes.

6.5.      BROKERS AND INTERMEDIARIES

          Except for N.M. Rothschild & Sons Ltd. and its Affiliates, the fees
and expenses of which will be paid by Purchaser, Purchaser has not employed any
agent, broker, investment banker, finder, advisor or intermediary in connection
with the Transaction or this Agreement which would be entitled to a broker's,
finder's or similar fee or commission in connection therewith or upon the
consummation thereof.

6.6.      SHAREHOLDER APPROVAL

                                      -41-
<Page>

          Purchaser and its Affiliates have been duly authorized by its
principal shareholder, the Department of Trade and Industry, to execute and
deliver this Agreement and to consummate the Transaction.

6.7.      DISCLAIMER OF OTHER REPRESENTATIONS AND WARRANTIES

          Purchaser does not make, and has not made, any representations or
warranties of any kind whatsoever in connection with this Agreement or the
Transaction other than those expressly set out in this Article 6. ABB
acknowledges that it has not relied on any representations or warranties in
connection with this Agreement or the Transaction other than those expressly set
out in this Article 6.

6.8.      TIMING OF REPRESENTATIONS AND WARRANTIES

          The representations and warranties in Sections 6.1 through 6.6 shall
be deemed to be given upon the signature of this Agreement as well as at the
Closing.

                                    ARTICLE 7

                                    COVENANTS

7.1.      CONDUCT OF BUSINESS

          (a) From the date hereof until the Closing, except as provided in or
contemplated by this Agreement, including but not limited to Article 3, or to
the extent that Purchaser shall otherwise consent (which consent shall not be
unreasonably withheld or delayed), ABB shall, and shall use all reasonable
efforts to ensure that its Affiliates will, carry on the Business in the
ordinary course consistent with past practices and use all reasonable efforts
consistent with past practices to keep available the services of the Business'
present officers and employees and preserve the Business' relationships with
customers, suppliers and others having business dealings with the Business.

          (b) Without limiting the generality of Paragraph (a) above, except as
contemplated by SCHEDULE 7.1 or as otherwise provided in or contemplated by this
Agreement, including but not limited to Article 3, ABB shall not, and shall
ensure that its Affiliates will not, with respect to the Business, do any of the
following from the date hereof until the Closing without the consent of
Purchaser (which consent shall not be unreasonably withheld or delayed):

         (i) adopt or amend in any material respect any Employee Benefit Plan,
     except as required by Applicable Law or pursuant to the terms of any
     collective bargaining agreement or any existing Contract;

                                      -42-
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        (ii) grant to any executive officer of the Business any increase in
     compensation, benefits or loans or severance benefits, except in the
     ordinary course of business consistent with past practices or as may be
     required under any existing Contract;

       (iii) acquire by merging or consolidating with, or by purchasing a
     material portion of the assets of, or by any other manner, any Person or
     division thereof;

        (iv) sell, lease, mortgage, pledge or otherwise dispose of, or grant
     preferential rights to, any of its assets that are, individually or in the
     aggregate, material to the Business as a whole, except for the sale of
     inventory in the ordinary course of business consistent with past
     practices;

         (v) enter into any lease of real property for an annual rent in excess
     of Five Hundred Thousand United States dollars (US$ 500,000), except for
     any renewals of existing leases in the ordinary course of business
     consistent with past practices and except for the leases referred to in
     Section 7.21(c);

        (vi) knowingly waive any right in respect of the Business, including
     in the context of a settlement or compromise of any claim against or in
     favor of the Business, with a value in excess of One Million United States
     dollars (US$ 1,000,000);

       (vii) enter into any material transactions with officers, directors,
     employees, consultants, agents or other representatives of the Business
     (other than employment and similar arrangements made in the ordinary course
     of business);

      (viii) except in the ordinary course of business, amend in any
     material respect or enter into any Contract of a type required to be
     disclosed pursuant to Section 5.11;

        (ix) declare or pay any non-cash dividend, other than dividends of
     property not relating to the Business, or declare any cash dividend that is
     not paid before the Closing Date;

         (x) amend the certificate of incorporation or by-laws or similar
     organizational documents of any member of the NB Group, except as required
     in connection with the Pre-Closing Reorganization;

        (xi) adopt or amend in any material respect any collective bargaining
     agreement, except as required by Applicable Law or pursuant to the terms of
     any existing collective bargaining agreement or other existing Contract;

                                      -43-
<Page>

       (xii) incur or assume any indebtedness for borrowed money in excess of
     Two Million United States dollars (US $2,000,000) in the aggregate which
     would constitute a liability of the NB Group, or guarantee any such
     indebtedness;

      (xiii) acquire any assets which are material, individually or in the
     aggregate, to the Business, taken as a whole, except in the ordinary course
     of business consistent with past practices;

       (xiv) enter into any equity joint venture, partnership or any similar
     arrangement;

        (xv) enter into, amend or terminate any employment agreement, except in
     the ordinary course of business and, in the case of new employment
     agreements, consistent with past practices;

       (xvi) make any wage or salary increase or other compensation payable or
     to become payable or bonus, or increase in any other direct or indirect
     compensation, for or to any of its officers, employees, consultants, agents
     or other representatives employed in the Business, or any accrual for or
     commitment or agreement to make or pay the same, in each case other than in
     the ordinary course of business consistent with past practices, or as may
     be required under existing Contracts;

      (xvii) enter into any transactions with ABB or its Affiliates or any of
     their officers, directors, employees, consultants, agents or other
     representatives (other than in the ordinary course of business consistent
     with past practices) to the extent the obligations arising from any such
     transaction constitute a Liability of the NB Group or an Additional
     Business Liability;

     (xviii) make any payment of, or commitment (which would constitute a
     Liability of the NB Group after the Closing Date) to pay, any severance or
     termination payment to any Person or any of its officers, directors,
     employees, consultants, agents or other representatives employed in the
     Business, other than payments pursuant to existing Contracts or Employee
     Benefit Plans;

       (xix) reassign or transfer any employees of ABB or its Affiliates who are
     not involved in the Business as of the date hereof to the Business or to
     duties primarily engaged in the Business, except in the ordinary course of
     business consistent with past practices; or

        (xx) agree, whether in writing or otherwise, to do any of the foregoing.

                                      -44-
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          (c) ABB and its Affiliates shall submit for review by an accounting
firm of international standing mutually acceptable to ABB and Purchaser (the
"REVIEWING FIRM") each bid for a Contract made by ABB or any of its Affiliates
after the date of this Agreement which, if such Contract had been entered into
prior to the date hereof, would have been required to have been disclosed on
Schedule 5.11, together with such information relating to such bid as the
Reviewing Firm shall reasonably request for purposes of making the determination
provided for in this Section 7.1(c). The Reviewing Firm shall be authorized and
directed by the parties to advise Purchaser, immediately prior to the Closing,
whether, in the judgment of the Reviewing Firm, such bid, individually or when
aggregated with all other bids submitted to the Reviewing Firm pursuant to this
Section 7.1(c), if awarded, would have, or would reasonably be expected to have,
a Material Adverse Effect on the Business. It is understood and agreed that the
Reviewing Firm should not, under any circumstances, at any time prior to the
Closing, disclose to or otherwise provide Purchaser and/or its Affiliates access
to any bid or any other information made available to the Reviewing Firm
pursuant to this Section 7.1(c) and, if this Agreement is terminated and the
Transaction is abandoned pursuant to Article 9, the Reviewing Firm shall be
required to return all written information (including any copies thereof) to
ABB.

7.2.      NOTICE OF CHANGES

          ABB shall promptly notify Purchaser of (i) any actions, suits, claims
or proceedings or, to the knowledge of ABB, investigations commenced against any
Business Unit that, if pending on the date of this Agreement, would have been
required to have been disclosed pursuant to Sections 5.15 or 5.16; and (ii) the
damage or destruction by fire or other casualty of any material asset (or part
thereof) of the Business or in the event that any such material asset (or part
thereof) becomes the subject of any proceeding for the taking thereof or any
part thereof or of any right relating thereto by condemnation, eminent domain or
other similar governmental action.

7.3.      ACCESS TO INFORMATION

          ABB shall, and shall cause its Affiliates to, afford to Purchaser and
its accountants, counsel and other representatives reasonable access during the
period prior to the Closing to all the properties, books, contracts,
commitments, information regarding decisions to maintain or abandon Intellectual
Property, Tax Returns (excluding the U.S. consolidated federal income Tax
Returns that include any ABB Affiliates other than the NB Group and any U.S.
state or local combined, unitary or stand alone Tax Returns of or including any
ABB Affiliate other than the NB Group, PROVIDED, HOWEVER, that ABB shall provide
to Purchaser pro forma separate company Tax Returns of any member of the NB
Group that is included in a consolidated, combined or unitary Tax Return of ABB
or any ABB Affiliate) and records of the Business, and

                                      -45-
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during such period shall furnish promptly to Purchaser any information
concerning the Business as Purchaser may reasonably request; and shall use all
reasonable efforts to cause their officers, employees, consultants, agents,
accountants and attorneys to cooperate fully with Purchaser's representatives in
connection with such review and examination; PROVIDED, HOWEVER, that ABB is
under no obligation to disclose to Purchaser (i) any information the disclosure
of which, in ABB's reasonable opinion, is restricted by Contract or Applicable
Law except in strict compliance with the applicable Contract or Applicable Law
(it being understood that ABB shall use reasonable commercial efforts to obtain
any necessary consent for disclosure under such Contract); (ii) any information
as to which the attorney client privilege, the attorney work product doctrine or
the self evaluative privilege may be available, until a mutually satisfactory
joint defense agreement has been executed by Purchaser and ABB; (iii) the
medical records pertaining to any employee or former employee of the Business
until after the Closing; or (iv) any "Classified Information" other than in
compliance with NRC and any other applicable government security regulations.
All requests for information, to visit facilities or to meet with ABB's or its
Affiliates' representatives shall be made in writing and directed to and
coordinated with the person(s) designated to Purchaser from time to time by ABB
or its Affiliates as the "NB Coordinators". Purchaser acknowledges that any
information being provided to it or its representatives by ABB or its
Affiliates, or by the Business Units or the NB Group, is subject to the terms of
the confidentiality undertaking dated May 20, 1999, made by Purchaser in favor
of ABB and its Affiliates, which terms are incorporated herein by reference;
provided that any information made available to Purchaser or its Affiliates or
representatives by ABB or its Affiliates, or by the Business Units or the NB
Group, may be provided to Purchaser's principal shareholder, the Department of
Trade and Industry, and its advisers or representatives, who, by the time the
information is provided, will have agreed in writing (a copy of which agreement
shall be provided to ABB) to keep such material confidential. Nothing contained
herein is intended to limit or restrict Purchaser's use or disclosure of
information concerning the Business following the Closing.

7.4.      GOVERNMENTAL APPROVALS

          (a) Each of ABB and Purchaser shall as promptly as practicable (i)
file with the United States Federal Trade Commission and the United States
Department of Justice the notification and report form, and any supplemental
information requested in connection therewith, under the HSR Act required for
the Transaction; (ii) file with the Committee on Foreign Investment in the
United States the voluntary notification under the Exon-Florio Amendment for the
Transaction; (iii) file with the NRC or applicable Governmental Authority in the
relevant Agreement States such applications for licenses or license transfers as
necessary in connection with the Transaction; and (iv) comply with Applicable
Law pursuant to which any other consent,

                                      -46-
<Page>

approval, order or authorization of, or registration, declaration or filing
with, any Governmental Authority in connection with the Transaction is
necessary. Each of ABB and Purchaser shall furnish to the other such necessary
information and reasonable assistance as the other may request in connection
with its preparation of any filing, registration or declaration which is
necessary under Applicable Law. ABB and Purchaser shall keep each other
appraised of the status of any communications with, and any inquiries or
requests (formal or informal) for additional information or documentary material
from, any Governmental Authority, and shall comply promptly with any such
inquiry or request. ABB and Purchaser shall each use all reasonable efforts to
obtain any consent, approval, order or authorization of any Governmental
Authority, necessary in connection with the Transaction or to resolve any
objections which may be asserted by any Governmental Authority with respect to
the Transaction.

          (b) Subject to the terms and conditions of this Agreement, each party
shall use all reasonable efforts to cause the Closing to occur as promptly as
practicable. Without limiting the generality of the foregoing, each party shall
use all reasonable efforts to (i) defend against any lawsuits, actions or
proceedings, judicial or administrative, challenging this Agreement or the
consummation of the Transaction; (ii) seek to prevent the entry or imposition of
any preliminary injunction, temporary restraining order, stay or other legal
restraint or prohibition by any court or other Governmental Authority; and (iii)
appeal and seek to have vacated or reversed as promptly as possible any such
injunction, order, stay or other restraint or prohibition that is not yet final
and nonappealable.

          (c) Purchaser shall use all reasonable efforts to obtain as promptly
as practicable all permits, licenses, approvals, consents and authorizations by
or of Governmental Authorities required by Applicable Law or contract to which
Purchaser is a party for Purchaser and/or its Affiliates to own and control the
NB Group or for the NB Group to conduct the Business following the Closing and
to own the properties of the Business (each, a "PURCHASER PERMIT"), and ABB
shall, and shall ensure that the Business Units will, cooperate with Purchaser
in connection therewith. Notwithstanding the foregoing, Purchaser shall not be
obligated to obtain any Purchaser Permit which Applicable Law requires be
obtained by ABB rather than the Purchaser.

          (d) Notwithstanding anything to the contrary which may be contained
herein, Purchaser undertakes, at its sole cost, to comply in good faith with all
restrictions or conditions, if any, imposed by any Governmental Authority with
respect to antitrust laws as a requirement for granting any necessary clearance
or terminating any applicable waiting period, unless compliance with such
restrictions or conditions would require Purchaser to divest or restrict
operations to an extent which would materially and adversely affect British
Nuclear Fuels plc, Westinghouse Electric Company LLC or the NB Group after the
Closing.

                                      -47-
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          (e) Pursuant to Connecticut's Transfer of Hazardous Waste
Establishment Act ("TRANSFER ACT"), the relevant Affiliate of ABB shall, on or
before the Closing Date, certify to the Connecticut Governmental Authorities
that, to the extent necessary to minimize or mitigate a threat to human health
or the environment, such Affiliate shall contain, remove or otherwise mitigate
the effects of any Release of Hazardous Substance (including those defined
pursuant to Section 22a-134 of the Transfer Act) on the sites currently owned by
ABB and/or its Affiliate in the State of Connecticut included in the Business,
in accordance with such procedures and time schedule approved by the applicable
Connecticut Governmental Authorities pursuant to an order, stipulated judgment,
or consent agreement. Unless otherwise agreed in Section 10.2, ABB shall
perform, at its sole cost and expense, all actions necessary to implement the
procedures required by the Connecticut Governmental Authorities pursuant to the
Transfer Act. Purchaser is entitled, during the term that it retains any
possessory or ownership interest in any facilities or establishments subject to
the Transfer Act, to participate in any actions at those facilities that are
subject and give rise to the obligations of ABB and/or its Affiliates under the
Transfer Act.

7.5.      THIRD-PARTY CONSENTS

          (a) ABB and Purchaser will cooperate and use all their respective
reasonable efforts to obtain as promptly as reasonably practicable all consents,
approvals and waivers required by third Persons in connection with the
Pre-Closing Reorganization and the Transaction (including, to the extent
required, agreement to novation of Contracts with Governmental Authorities in
the United States and elsewhere).

          (b) If any and all consents, approvals or waivers necessary for the
assignment or transfer of any Contract or Intellectual Property, or any right
arising thereunder or resulting therefrom, shall not have been obtained prior to
the Closing Date (other than with respect to consents, approvals or waivers
relating to a Local Agreement which has not been executed as of the Closing
Date), then the parties shall use all reasonable efforts (without expenditure,
in the aggregate, of any material sum) to the extent permitted by Applicable Law
to provide Purchaser with the benefits, if any, of such Contracts and
Intellectual Property, and, in the case of such Contracts and Intellectual
Property, to relieve ABB and its Affiliates of the performance and other
obligations and liabilities, if any, relating to or arising thereunder.
Purchaser shall, and shall cause its Affiliates to, pay, perform and discharge
and indemnify ABB and its Affiliates against, and hold them harmless from, all
obligations and liabilities of ABB and/or its Affiliates relating to such
performance or failure to perform under such Contracts or Intellectual Property,
including any related guarantees, in each case if Purchaser or its Affiliates
have received the benefit, if any, thereof pursuant to this Section 7.5
(provided that, if Purchaser or its Affiliates have only received from ABB and
its Affiliates a proportion of such benefit, if any, then Purchaser or its
Affiliates shall only have the obligation to indemnify ABB and its Affiliates in

                                      -48-
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the same proportion as the proportion of the benefit received bears to the total
benefit), and, in the event of a failure of such indemnity, ABB shall cease to
be obligated under this Agreement in respect of the Contract or Intellectual
Property which is the subject of such failure.

7.6.      EMPLOYEE MATTERS

          (a) Purchaser and its Affiliates shall be solely responsible for all
compensation accruing for service on and after the Closing Date with respect to
the Closing Business Employees. Except as provided in Section 7.6(h), Purchaser
shall also assume and be solely responsible for all compensation accrued but
unpaid as of the Closing Date with respect to the Business Employees, and the
liability for such compensation shall be treated as a liability of the Business
for purposes of calculating the Actual Equity.

          (b) Subject to Section 7.6(c), Purchaser shall, and shall cause its
Affiliates to, for a period beginning on the Closing Date and ending no earlier
than December 31, 2000, provide for the Closing Business Employees, compensation
and employee benefit plans and arrangements which in the aggregate are
comparable to the compensation and employee benefit plans and arrangements
provided to Closing Business Employees immediately prior to the Closing Date.

          (c) With respect to any collective bargaining agreement that relates
to Closing Business Employees, Purchaser shall, and shall cause its Affiliates
to: (i) recognize each union which at the Closing Date represents any group of
Closing Business Employees as the collective bargaining representative of such
group of Closing Business Employees as of the Closing Date; and (ii) assume the
obligations for Closing Business Employees under any such collective bargaining
agreement and any obligations under any such collective bargaining agreement for
retiree welfare benefits referred to in SCHEDULE 5.13. Effective as of the
Closing Date, Purchaser shall, and shall cause its Affiliates to, establish and
qualify or register with applicable authorities, and become the plan
administrator of, such employee benefit plans which are required for the Closing
Business Employees under the terms of any collective bargaining agreement.

          (d) From and after the Closing Date, Purchaser shall, and shall cause
its Affiliates to, credit to the Closing Business Employees, under all employee
benefit plans, employee benefit arrangements and employee compensation policies
and practices of Purchaser and its Affiliates, all prior service recognized by
ABB or any of its Affiliates with respect to such Closing Business Employees
prior to the Closing Date, provided that such service shall be credited for
purposes of eligibility to participate in, vesting, eligibility for early
retirement (including any subsidized benefit provided upon retirement), optional
forms of distribution, but not, except as otherwise provided in this Section
7.6, for purposes of determining the amount of

                                      -49-
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any benefit under any "employee pension benefit plan" (as defined in Section
3(2) of ERISA) maintained by the Purchaser or any of its Affiliates. From and
after the Closing Date, ABB shall, and shall cause its Affiliates to, credit to
the Closing Business Employees, under the Asea Brown Boveri Inc. Cash Balance
Pension Plan, the Pension Plan for Employees of Asea Brown Boveri Inc. and the
defined benefit portion of the ABB Retirement Income Plan Restoration Plan (the
"RESTORATION PLAN") (the "ABB RETIREMENT PLANS") all post-Closing service
recognized by Purchaser or any of its Affiliates with respect to such Closing
Business Employees, provided that such service shall be credited for purposes of
vesting and eligibility for early retirement (including any subsidized benefit
provided upon retirement) and optional forms of distribution, but not for
purposes of determining the amount of any benefit under such plans. For purposes
of computing deductible amounts (or like adjustments or limitations on coverage)
under any "welfare plan" (as defined in Section 3(1) of ERISA), expenses and
claims previously recognized for similar purposes under the applicable welfare
plan of ABB or any of its Affiliates shall be credited or recognized under the
welfare plan of the Purchaser and its Affiliates. Notwithstanding anything in
this Section 7.6 to the contrary, Purchaser shall, and shall cause its
Affiliates to, give the Closing Business Employees full credit for all prior
service recognized by ABB with respect to such Closing Business Employees
immediately prior to the Closing Date under the vacation pay plan or policy and
severance pay plan or policy of Purchaser and its Affiliates. Purchaser shall
make available to all Closing Business Employees who are participating in the
group health plan of ABB or any of its Affiliates (including medical and dental
benefits) immediately prior to the Closing Date a group health plan (including
medical and dental benefits) which has no waiting period for such Closing
Business Employees with respect to eligibility to enroll and participate and no
exclusions or limitations based on pre-existing conditions for such Closing
Business Employees.

          (e) Purchaser agrees that as of and immediately after the Closing
Date, Purchaser or its Affiliates shall offer continued employment to all
Closing Business Employees so that such Closing Business Employees shall be
afforded the opportunity for uninterrupted employment before and immediately
after the Closing Date. ABB and Purchaser agree that the Transaction shall not
constitute a severance of employment of any Closing Business Employee, and that
such Closing Business Employees will be deemed for all purposes to have
continuous and uninterrupted employment before and immediately after the
Closing. Purchaser shall indemnify and hold ABB and its Affiliates harmless from
and be responsible for any claims made by any Closing Business Employee for
severance or other benefits based on separation, for any claims based on breach
of contract and for any other claims arising out of or in connection with the
employment, or the suspension or termination of employment of, any Closing
Business Employees; provided that Purchaser's obligation to indemnify ABB and
its Affiliates with respect to any claim by a Closing Business Employee that the
Transaction constitutes a

                                      -50-
<Page>

termination, or constructive termination, of employment shall be limited to
claims arising from the actions of Purchaser, including, but not limited to,
Purchaser's termination of a Closing Business Employee's employment, or reducing
the compensation of, or changing the position or terms and conditions of
employment of, a Closing Business Employee, on or after the Closing Date.
Purchaser shall not be responsible for, and shall be under no obligation to
indemnify ABB or its Affiliates with respect to, any claims made by Closing
Business Employees for severance or other benefits or claims based solely on the
Transaction and ABB shall indemnify and hold Purchaser harmless from, and be
responsible for, any claims made by Closing Business Employees for severance or
other benefits or claims based solely on the Transaction.

          (f) Effective as of the Closing Date, Purchaser shall assume and be
solely responsible for all liability of ABB and its Affiliates for
post-retirement and post-termination health benefits and/or coverage (including
medical and dental benefits) and post-retirement and post-termination life
insurance benefits and/or coverage for Closing Business Employees and their
respective dependents and those Former Business Employees and their respective
dependents who are entitled to such benefits by virtue of being covered under a
collective bargaining agreement referred to in SCHEDULE 5.13. On and after the
Closing Date, Purchaser shall indemnify and hold harmless ABB for any and all
Losses including reasonable legal fees and disbursements) relating to
post-retirement and post-termination health benefits and/or coverage (including
medical and dental benefits) and post-retirement and post-termination life
insurance benefits and/or coverage for Closing Business Employees and for Former
Business Employees and their dependents referred to in the immediately preceding
sentence. For purposes of determining Actual Equity under Article 2 hereof,
post-retirement welfare benefits shall be valued based on the actuarial
assumptions and methodology used by ABB and its Affiliates in developing the
OPEB liability component of the "Pension Liabilities" for September 30, 1999
shown under column "Actual 9909" in the balance sheet for NBUS in the Financial
Statements provided to Purchaser, provided that the interest rate shall be
discount rate in effect as of December 31, 1999 for purposes of Statement of
Financial Accounting Standards 132 (one hundred thirty-two) disclosure.

          (g) Except as otherwise provided in this Section 7.6, effective as of
the Closing Date, Purchaser shall assume, and the NB Group shall retain,
liability for employee benefit plans and bonus, incentive compensation,
severance or termination pay, death benefit, welfare benefit, incentive,
profit-sharing, pension, retirement, deferred compensation, medical, life,
disability, accident, salary continuation, accrued leave, vacation, sick pay,
sick leave, supplemental retirement, unemployment benefit, and fringe benefit
plans, programs and arrangements and employment, consulting, termination and
severance contracts or agreements,

                                      -51-
<Page>

in each case covering Business Employees, and ABB and its Affiliates shall have
no further liability with respect to such plans, programs, arrangements,
contracts or agreements.

          (h) ABB and/or its Affiliates shall, with respect to Business
Employees, continue to be responsible after the Closing Date for welfare
benefits or claims (whether submitted before or after the Closing Date) which
will, by reason of events which took place prior to the Closing Date, become
payable under any group life insurance policy, accidental death and
dismemberment policy, group health program (including medical and dental
benefits) or any flexible spending account plan maintained by ABB and/or its
Affiliates in the United States with respect to such Business Employees. In the
case of health benefits, the event referred to in the immediately preceding
sentence is the provision of the service for which the reimbursement or payment
is sought by the employee. ABB and/or its Affiliates shall also continue to be
responsible after the Closing Date for: (1) the benefits accrued by Business
Employees as of the Closing Date under the ABB Retirement Plans, including any
benefits to which such employees become entitled as a result of service with
Purchaser or its Affiliates that is credited for certain purposes under such
plans pursuant to Section 7.6(d); (2) benefits payable to Business Employees
under the Personal Retirement Investment and Savings Management Plan for
Employees of Asea Brown Boveri Inc. and the Personal Retirement Investment and
Savings Management Plan for Certain Represented Employees of the Asea Brown
Boveri Inc. (the "ABB SAVINGS PLANS"); (3) except as otherwise specified in this
Section 7.6, liability for post-retirement and post-termination health benefits
and/or coverage (including medical and dental benefits) and post-retirement and
post-termination life insurance benefits and/or coverage for Former Business
Employees and their dependents; and (4) provision of coverage required under
COBRA for Business Employees becoming entitled to such coverage before the
Closing Date. At the discretion of Purchaser, stay bonuses may be paid to the
individuals listed on Schedule 7.6(h) in the amounts of six months of each such
individual's base salary at the Closing Date, which bonuses, if any, shall be
paid on a date which occurs no later than twelve months following the Closing
Date. Purchaser shall bill ABB for, and ABB shall promptly reimburse Purchaser
for the amount of, 50% of such stay bonuses actually paid. ABB or its Affiliates
shall be responsible after the Closing Date for any incentive, bonus or similar
payment (other than the stay bonuses described in Schedule 7.6(h)) committed to
by ABB or its Affiliates to a Closing Business Employee on account of the
Transaction. Purchaser shall provide to ABB within twenty days of the date of
this Agreement, and subject to ABB's approval prior to the distribution of such
letter to any individual listed in Schedule 7.6(h), a form of letter to each
such individual describing the terms and conditions of the stay bonus referred
to in this Section 7.6(h).

                                      -52-
<Page>

          (i) Purchaser shall indemnify ABB for any Actuarial Losses (as defined
below) with respect to the Asea Brown Boveri Inc. Cash Balance Pension Plan (the
"CASH BALANCE PLAN") and the defined benefit portion of the Restoration Plan
resulting from any Closing Business Employee terminating employment and
commencing the receipt of benefits prior to age 65 during the Relevant Period
(as defined below). Such indemnification shall occur within 30 days after the
Actuarial Losses for each Plan year of the Cash Balance Plan and the Restoration
Plan or portion thereof within the Relevant Period are determined by ABB's
Actuary and communicated to Purchaser and Purchaser's actuary, or, if Section
7.6(s) hereof applies, within 30 days following a determination by the impartial
actuary under Section 7.6(s). The "Relevant Period" is the period from the
Closing Date through December 31, 2004. Purchaser shall cooperate with ABB in
providing data to enable ABB to determine any Actuarial Losses. Actuarial Losses
shall be determined by ABB's actuary and shall be equal to the amount by which
(i) the aggregate actual benefits to the Closing Business Employees to which the
Closing Business Employees are entitled under the terms of the Cash Balance Plan
and the defined benefit portion of the Restoration Plan for each Plan year or
portion of a Plan year of the Cash Balance Plan and the Restoration Plan falling
within the Relevant Period exceeds (ii) 105% (one hundred five percent) of the
aggregate accumulated benefit obligation with respect to the Closing Business
Employees receiving a distribution under the Cash Balance Plan and the defined
benefit portion of the Restoration Plan for the Relevant Plan year, but in no
event shall Actuarial Losses be indemnified for any Plan year for which
Actuarial Losses do not exceed $150,000 (one hundred fifty thousand dollars) or
a pro rata portion of $150,000 (one hundred fifty thousand dollars) or for a
partial Plan year based on the ratio of the number of days in such partial Plan
year to 365. The determination of the accumulated benefit obligation with
respect to the applicable employees for each Plan year shall be based upon the
actuarial assumptions and methodology used for purposes of Statement of
Financial Accounting Standards Number 87 (eighty-seven), uniformly applied for
all participants in the Cash Balance Plan and the Restoration Plan, as contained
in the actuarial valuation for the Cash Balance Plan prepared by ABB's actuary
as of the first day of each such Plan year.

          (j) Effective as of the Closing Date, Purchaser shall be responsible
for any claims (whether made before or after the Closing Date) and related
losses and expenses under any workmen's compensation or employer liability law,
self-insured plan or employee benefit plan or otherwise, in each case resulting
from a work-related accident or event which results in bodily injury or disease
or from continuous or repeated exposure while on the job to conditions which
result in bodily injury or disease or from any other occurrence which is
otherwise covered under applicable workmen's compensation law with respect to
the Business Employees.

                                      -53-
<Page>

          (k) Effective as of the Closing Date, Purchaser shall be responsible
for all short-term disability benefits and long-term disability benefits for the
Business Employees (including, for the avoidance of doubt and without
limitation, Closing Business Employees and Former Business Employees and their
respective dependents) and, except as otherwise provided in Section 7.6(h), any
rights to medical, dental, health, life or welfare benefits arising before or
after the Closing Date and any pension benefits accrued on or after the Closing
Date for persons on short-term or long-term disability.

          (l) Effective as of the Closing Date, Purchaser shall be responsible
for all obligations under Section 4980B of the Code and Part 6 of Subtitle B of
Title I of ERISA ("COBRA") with respect to all Closing Business Employees.

          (m) As soon as practicable following December 31, 2000, Purchaser
shall take all actions necessary to cause one or more defined contribution plans
designated by Purchaser (the "PURCHASER SAVINGS PLANS") to permit each Closing
Business Employee who is a participant in the Personal Retirement Investment and
Savings Management Plan for Employees of Asea Brown Boveri Inc. or the Personal
Retirement Investment and Savings Management Plan for Certain Represented
Employees of Asea Brown Boveri Inc. (the "ABB SAVINGS PLANS") as of the Closing
Date to effect a direct rollover of the taxable portion of such participant's
accrued benefits under the respective ABB Savings Plan to a Purchaser Savings
Plan. In connection with any such direct rollover elected by any such employee,
Purchaser shall allow any such employee's outstanding loan and related
promissory note under the ABB Savings Plan to be directly rolled-over into a
Purchaser Savings Plan. Effective as of the Closing Date, ABB shall take all
actions necessary to vest the Closing Business Employees in their respective
account balances under the ABB Savings Plans as of the Closing Date.

          (n) As soon as practicable following the Closing Date, ABB and
Purchaser shall cause to be transferred from the Asea Brown Boveri Inc. Master
Trust (the "MASTER TRUST") to one or more trusts or insurance contracts
established by Purchaser as of the Closing Date the assets of such Master Trust
which are as of the date of transfer attributable to the following Employee
Benefit Plans: (i) Pension Plan for Employees of ABB Combustion Engineering
Nuclear Power, Inc. Represented by the Teamsters Local Union No. 688, Affiliated
with the International Brotherhood of Teamsters, Chauffeurs, Warehousemen and
Helpers of America (Hematite)/Combustion Engineering, Inc.; (ii) Pension Plan
for Employees of ABB Combustion Engineering Nuclear Power, Inc. Represented by
the International Guards Union of America Local No. 45 (Hematite)/Combustion
Engineering, Inc.; (iii) Pension Plan for Employees of ABB Combustion
Engineering Nuclear Power, Inc., Represented by the International Brotherhood of
Boilermakers, Iron Shipbuilders, Blacksmiths, Forgers and Helpers, Subordinate
Lodge No. 558(AFL-CIO) (Windsor)/Combustion Engineering, Inc.; (iv) Pension Plan
for

                                      -54-
<Page>

Employees of ABB Combustion Engineering Nuclear Power, Inc., Represented by the
International Brotherhood of Boilermakers, Iron Shipbuilders, Blacksmiths,
Forgers and Helpers, Subordinate Lodge No. 651 (AFL-CIO) (Newington)/ Combustion
Engineering, Inc.; and (v) Pension Plan for Employees of ABB Combustion
Engineering Nuclear Power, Inc., Represented by District No. 9 of the
International Association of Machinists and Aerospace Workers
(Hematite)/Combustion Engineering, Inc. (collectively "REPRESENTED ABB
RETIREMENT PLANS"). Pending such transfer, ABB shall cause the Trustee of the
Master Trust to pay all benefits under the Represented ABB Retirement Plans.
Such transfer of assets shall take place within 90 days after the Closing Date;
provided, however, in no event shall such transfer of assets take place until at
least five (5) days after Purchaser has provided ABB with the form of such
transferee trust or insurance contract and ABB has approved the form thereof,
which approval will not be unreasonably withheld. This Section 7.6(n) assumes
that the aggregate amount of the assets as of the Closing under each of the
Represented ABB Retirement Plans ("AGGREGATE ASSETS") are equal to the aggregate
amount of the liabilities as of the Closing Date under each Represented ABB
Retirement Plan where the amount of such liabilities for each Represented ABB
Plan is determined based on the actuarial assumptions and methodology as
specified in Schedule 7.6(n) ("AGGREGATE LIABILITIES"). If the amount of the
Aggregate Assets as of the Closing Date is not equal to the amount of the
Aggregate Liabilities as of the Closing Date, then the Actual Equity will be
adjusted as follows: (a) if the amount of the Aggregate Assets as of the Closing
Date exceeds the amount of the Aggregate Liabilities as of the Closing Date, the
Actual Equity shall be increased by the amount of such difference; and (b) if
the amount of the Aggregate Liabilities as of the Closing Date exceeds the
amount of the Aggregate Assets as of the Closing Date, the Actual Equity shall
be decreased by the amount of such difference. Prior to the Closing Date,
Purchaser shall prepare amendments to the Represented ABB Retirement Plans,
effective as of the Closing Date, pursuant to which such plans shall be amended
to delete Asea Brown Boveri Inc. as plan administrator and named fiduciary of
each such plan and to provide that all powers, duties and liabilities of Asea
Brown Boveri Inc. or its Affiliates under each such plan shall become powers,
duties, authority and liabilities of the Purchaser and its Affiliates, effective
as of the Closing Date. Purchaser shall share such amendments with ABB at least
five (5) days in advance of the Closing Date and shall obtain ABB's approval to
the form of such amendments, which approval shall not be unreasonably withheld.
Purchaser shall take such action as is necessary to adopt such amendments
effective as of the Closing Date.

          (o) Effective as of the Closing Date, Purchaser shall adopt the ABB
Executive Life Insurance Plan (the "EXECUTIVE LIFE INSURANCE PLAN") for the
benefit of the Closing Business Employees covered by such plan on the Closing
Date, and the parties hereto shall take all steps necessary so that Purchaser
(i) shall be substituted for ABB or its Affiliates as the owner of those
portions of the split dollar life insurance policy maintained pursuant to the
Executive Life

                                      -55-
<Page>

Insurance Plan which were formerly owned by ABB or its Affiliates; and (ii)
shall succeed to all rights of ABB and its Affiliates under such policy. The
cash value of such split dollar life insurance policy shall be treated as an
asset of the Business for purposes of calculating the Actual Equity.

          (p) Effective as of the Closing Date, Purchaser shall establish an
employee benefit plan for the benefit of the Business Employees (and their
beneficiaries) who participate in the ABB Deferred Compensation Plan (the
"DEFERRED COMPENSATION PLAN") as of the Closing Date (such Business Employees
shall be referred to as the "DEFERRED COMPENSATION PLAN EMPLOYEES") pursuant to
which Purchaser shall assume all liabilities and obligations of ABB and its
Affiliates under the Deferred Compensation Plan with respect to the Deferred
Compensation Plan Employees, which obligations shall be treated as a liability
of the Business for purposes of calculating the Actual Equity.

          (q) It is understood that Forsakringsbolaget SPP and/or its Affiliates
may in the future allocate, credit, refund or pay client company funds
(FORETAGSANKNUTNA MEDEL) to affiliated employers. If at any time NBSE or the
Swedish Unit, or any other company in the NB Group, receives any allocation,
credit, refund, payment or other benefit from SPP and/or its Affiliates
attributable to funds paid by NBSE or the Swedish Unit prior to the Closing (the
"SURPLUS ENTITLEMENT"), Purchaser shall, or shall cause its Affiliates to,
promptly transfer such Surplus Entitlement to ABB or its designated Affiliate(s)
at no cost to them and without further consideration; PROVIDED that if any or
all of such Surplus Entitlement is not transferable under Applicable Law to ABB
or its designated Affiliate(s), Purchaser shall, or shall cause its Affiliates
to, promptly pay to ABB or its designated Affiliate(s), in cash by wire transfer
in immediately available funds to the account or accounts designated by ABB, an
amount equal to such portion of the Surplus Entitlement which cannot be so
transferred but which Purchaser and its Affiliates can immediately obtain and
utilize (it being understood and agreed that, if only a portion of the Surplus
Entitlement can be immediately obtained and utilized by Purchaser and its
Affiliates, Purchaser shall make one or more further such payments as and when
additional portions of the Surplus Entitlement can be so obtained and utilized).
Purchaser agrees that it shall, and shall cause its Affiliates to, take such
action, and cooperate with ABB and its Affiliates, as is reasonably required
(without Purchaser and its Affiliates incurring any material costs) to obtain
the Surplus Entitlement. Any transfer or payment to ABB with respect to any
portion of such Surplus Entitlement shall be reduced to the extent necessary to
hold Purchaser and its Affiliates harmless from any Taxes imposed on them with
respect to such portion of the Surplus Entitlement.

          (r) For purposes of determining the adjustment and the amounts payable
under Sections 2.5 and 2.6 of this Agreement, all costs and liabilities under
the Foreign Employee

                                      -56-
<Page>

Benefit Plans shall be determined under IAS 19 (paragraphs 64 and 65) and, in
the case of Foreign Employee Benefit Plans promising a defined benefit, based on
the actuarial assumptions and methodology set forth in Schedule 7.6(r). ABB and
its Affiliates shall provide Purchaser's actuaries and accountants with the data
necessary to review such determination and any disagreement as to the proper
amount shall be resolved in the manner set forth in Section 7.6(s).

          (s) Any actuarial determinations by ABB's or Purchaser's actuary shall
be based on the assumptions and methodologies provided in each instance provided
in this Section 7.6 for the applicable actuarial determination and shall be
subject to review by the other party's actuary. If there is any dispute as to an
actuarial determination that cannot in good faith be resolved within 30 days of
the date the determination and supporting data are provided to the applicable
party, ABB and Purchaser shall jointly select a third-party, impartial actuary
to resolve the dispute. If the parties cannot jointly select a third-party,
impartial actuary within 15 days of the end of the 30-day period, the President
of the Conference of Consulting Actuaries shall select an impartial actuary. The
cost of the impartial actuary shall be shared equally by ABB and Purchaser.

7.7.      SHARED ASSETS

          (a) In the event any properties, assets or rights of the Business are
also used or held for use by ABB and/or its Affiliates in, or otherwise also
relate to, activities which do not form part of the Business, then:

         (i) in the case of any real property, or lease in respect thereof, the
     relevant company in the ABB Group shall have the right to lease or
     sublease, as the case may be, from the NB Group, on an arms-length basis,
     the portion of such real property used or held for use by it as of the
     Closing Date for purposes similar to the purposes for which such portion is
     used or held for use as of the Closing Date;

        (ii) in the case of any Intellectual Property, or license in respect
     thereof, the ABB Group shall have the right to license or sublicense to
     use, practice and/or sublicense, as the case may be, on an arm's-length
     basis from the NB Group, any Intellectual Property used, practiced or held
     for use by any entity in the ABB Group as of the Closing Date, in a manner
     similar to the manner in which such Intellectual Property is used,
     practiced or held for use as of the Closing Date; and

       (iii) in the case of any Contract, the relevant company in the ABB Group
     shall have the right to enter into a subcontract or similar arrangement, on
     a back-to-back basis, with the NB Group in respect of the relevant portion
     of such Contract.

                                      -57-
<Page>

          (b) The parties shall use all reasonable efforts to ensure that their
respective Affiliates enter into agreements in form and substance reasonably
satisfactory to each of them formalizing the arrangements referred to in this
Section 7.7.

          (c) Paragraphs (a) and (b) above shall apply MUTATIS MUTANDIS in the
event any properties, assets or rights of activities of ABB and/or its
Affiliates which do not form part of the Business are also used or held for use
in, or otherwise relate to, the Business.

7.8.      CERTAIN INFORMATION

          (a) After the Closing, upon reasonable written notice, ABB and
Purchaser shall furnish or cause to be furnished to each other and their
respective accountants, counsel and other representatives access, during normal
business hours, to such information, personnel and assistance relating to the
Business as is reasonably necessary for financial reporting and accounting
matters, the preparation and filing of any returns, reports or forms or the
defense or prosecution of, or response required under or pursuant to, any
lawsuit, action or proceeding or in order to enable the parties to comply with
this Agreement.

          (b) ABB and Purchaser shall, and shall use all reasonable efforts to
ensure that their respective Affiliates will, retain for a period of five (5)
years after the Closing Date all such records pertinent to the Business which
are owned by such Person immediately after the Closing. After the expiration of
such period, and before disposing of any such records, the applicable party
shall give notice to such effect to the other, and shall give the other, at the
other's cost and expense, a reasonable opportunity to remove and retain all or
any part of such records as the other may select. This Section 7.8 does not
relate to cooperation with respect to Tax matters (to which Section 7.9 is
applicable).

7.9.      TAX MATTERS

          (a) ABB shall timely prepare and file (or cause to be timely prepared
and filed) all Tax Returns with respect to the assets, income or operations of
the Business required by Applicable Law to be filed by the NB Group for all
taxable years or other taxable periods ending on or prior to the Closing Date.
All such Tax Returns shall be prepared in accordance with Applicable Law. ABB
shall pay or cause to be paid all Taxes (i) shown on any such Tax Returns to the
extent due on or prior to the Closing Date and (ii) shown on any such Tax
Returns due after the Closing Date with respect to taxable years or periods
ending on or prior to the Closing Date (including the portion of the Straddle
Period (as defined below) that ends on the Closing Date) to the extent such
Taxes exceed the accrual for Taxes (not including any net accrual for book/tax
timing differences) on the books and records of the NB Group on the Closing
Date, as

                                      -58-
<Page>

confirmed in the calculation of Actual Equity in the Final Audit Report (as such
accrual may have been reduced to reflect prior charges against such accrual).
With respect to all separate company Tax Returns of the NB Group (or, with
respect to any member of the NB Group that is included in a consolidated,
combined or unitary Tax Return of ABB or any ABB Affiliate, pro forma separate
company Tax Returns of such member) due after the Closing Date, ABB shall
provide Purchaser with a copy of such Tax Returns, along with a notice setting
forth in reasonable detail the calculations regarding the Taxes shown as due on
such Tax Returns at least thirty (30) days prior to the due date for filing such
Tax Returns, and after Purchaser's review and approval of such Tax Returns
(which approval shall not be unreasonably withheld or delayed), Purchaser shall
remit to ABB or its designated Affiliate within five (5) business days after
Purchaser's approval of such Tax Returns the lesser of (i) the Taxes shown as
due on such Tax Returns and (ii) in the case of a member of the NB Group that is
included in a consolidated, combined or unitary Tax Return of ABB or any ABB
Affiliate, the amount of the Tax liability such member would have paid ABB or
such ABB Affiliate under a Tax sharing agreement or similar agreement, or
consistent with past practices if such member had not been sold to Purchaser,
but in an amount not in excess of the accrual for Taxes (not including any net
accrual for book/tax timing differences) on the books and records of the NB
Group on the Closing Date, as confirmed in the calculation of Actual Equity in
the Final Audit Report (as such accrual may have been reduced to reflect prior
charges against that accrual); PROVIDED, HOWEVER, ABB shall not be obligated to
submit any such Tax Returns to Purchaser for its review and approval to the
extent that ABB does not request a remittance of any amount for Taxes shown to
be due on such Tax Returns. Except to the extent of any refund of Taxes for
which a receivable was reflected in the calculation of Actual Equity in the
Final Audit Report, ABB shall be entitled to all refunds (including, without
limitation, to interest with respect thereto) of Taxes received by or on behalf
of the NB Group relating to any periods ending on or prior to the Closing Date
and, with respect to the Straddle Period, the portion of such period that ends
on and includes the Closing Date. Purchaser shall pay, or cause to be paid, to
ABB any and all such refunds promptly after receipt thereof by Purchaser or its
Affiliates. At the request of ABB, Purchaser shall file, or cause to be filed,
any claims for such refunds.

          (b) Purchaser shall timely prepare and file (or cause to be timely
prepared and filed) all Tax Returns with respect to the assets, income or
operations of the Business required by Applicable Law to be filed by the NB
Group for any taxable period beginning prior to, and ending after, the Closing
Date (the "STRADDLE PERIOD"). Purchaser shall provide ABB with a copy of such
Tax Returns, along with a notice setting forth in reasonable detail the
calculations regarding ABB's share of Taxes shown as due on such Tax Returns, at
least thirty (30) days prior to the due date for filing such Tax Returns, and
after ABB's review and approval of such Tax Returns (which approval shall not be
unreasonably withheld or delayed), ABB shall remit to

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Purchaser ABB's allocable share of Taxes for the Straddle Period in accordance
with the terms of Section 7.9(g) and Purchaser shall file or cause such Tax
Returns to be filed. Any Taxes with respect to assets, income or operations of
the NB Group that relate to a Straddle Period shall be apportioned between ABB
and Purchaser as determined from the books and records of the NB Group during
the portion of such period ending on the Closing Date and the portion of such
period beginning on the day following the Closing Date, and based on accounting
methods, elections and conventions that do not have the effect of distorting
income or expenses, as follows: (i) in the case of Taxes other than income,
sales and use and withholding Taxes, on a per diem basis; and (ii) in the case
of income, sales and use and withholding Taxes, as determined from the books and
records of the NB Group as though the taxable year of the NB Group terminated at
the close of business on the Closing Date.

          (c) Purchaser shall timely prepare and file (or cause to be timely
prepared and filed) all Tax Returns with respect to the assets, income or
operations of the Business required by Applicable Law to be filed by the NB
Group for all taxable periods commencing after the Closing Date and shall duly
pay or cause to be paid all Taxes payable for such periods with respect to the
assets, income or operations of the Business.

          (d) ABB and Purchaser shall each provide the other with such
assistance as may be reasonably requested (including making employees reasonably
available to provide information or testimony) in connection with the
preparation or filing of any Tax Return, any Tax Controversy (as defined in
paragraph (e) below), or the determination of liability for Taxes with respect
to the assets, income or operations of the Business. Such assistance shall
include the retention and (upon the other party's reasonable request), the
provision of records and information that are relevant to any Tax, Tax Return,
or Tax Controversy. ABB and Purchaser each shall, and shall ensure that its
Affiliates will, retain until seven (7) years after the Closing Date or, if the
applicable statute of limitation has been extended by virtue of any Tax
Controversy, the later of (i) sixty (60) days after the expiration of the
statute of limitation applicable to the taxable year or period to which such Tax
Controversy relates; (ii) the date on which any decision with respect to a Tax
Controversy becomes final and nonappealable; and (iii) the execution of a
closing agreement with the relevant taxing authority that provides a final and
irrevocable termination of the Tax liability to which such Tax Controversy
relates, all Tax Returns, books and records, schedules, work papers and material
documents of the Business relating to Tax matters that are owned by such Person
immediately after the Closing and that relate to the Business or its assets. ABB
and Purchaser further agree, upon the reasonable request of the other party, to
use reasonable efforts to provide, obtain or execute any certificate or other
document from any governmental authority or other Person as may be necessary to

                                      -60-
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mitigate, reduce or eliminate any Tax that could be imposed (including, but not
limited to, with respect to the Transaction).

          (e) In the event Purchaser or any of its Affiliates receives notice,
whether orally or in writing, of any examination, claim, proposed settlement,
proposed adjustment or related matter with respect to any Taxes for which
Purchaser may be indemnified hereunder ("TAX CONTROVERSIES"), Purchaser shall
promptly notify ABB thereof; PROVIDED that failure to give such notification
shall not affect the indemnification provided hereunder except to the extent ABB
shall have been actually prejudiced as a result of such failure (except that ABB
shall not be liable for any interest or other expenses incurred during the
period in which Purchaser failed to give such notice). ABB shall be entitled at
its sole discretion and expense to handle, control and compromise or settle the
Tax Controversies, and shall reasonably inform Purchaser of the progress of the
Tax Controversies; PROVIDED that in the event Purchaser waives its rights to
indemnification with respect to any Tax Controversy, Purchaser may assume at its
expense, and have the sole discretion to handle, control, compromise, or settle
such Tax Controversy. ABB shall not settle any Tax Controversies in a manner
that would likely affect the Tax liabilities of Purchaser or any member of the
NB Group in a material manner for any taxable year or period ending after the
Closing Date without the prior written consent of Purchaser, which consent shall
not be unreasonably withheld or delayed.

          (f) Purchaser shall not amend any Tax Return relating to any taxable
year or period ending on or prior to the Closing Date without the written
consent of ABB, which consent shall not be unreasonably withheld or delayed. ABB
shall not, with respect to the NB Group or US I&C Newco, from the date hereof
through the Closing Date, (A) settle any Tax audit or dispute with any taxing
authority; (B) make or terminate any Tax election of the NB Group; or (C) unless
required by Applicable Law, change any Tax accounting method of the NB Group, in
each case that will likely affect the Tax liabilities of Purchaser or any member
of the NB Group in a material manner for any taxable year or period ending after
the Closing Date without the prior written consent of the Purchaser, which
consent shall not be unreasonably withheld or delayed.

          (g) Except as limited by the remainder of this Paragraph (g) and
subject to the limitations imposed in Article 10, ABB agrees to indemnify and
hold harmless Purchaser and the NB Group against all Taxes of the NB Group or
with respect to the Business for all periods ended on or prior to the Closing
Date and, with respect to the Straddle Period, the portion of such period ending
on and including the Closing Date. Notwithstanding the preceding sentence, ABB
shall not indemnify and hold harmless Purchaser or the NB Group for any such
Taxes to the extent of any accrual for Taxes (not including any net accrual for
book/tax timing differences) on the books and records of the NB Group on the
Closing Date, as confirmed in the calculation of

                                      -61-
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Actual Equity in the Final Audit Report (as such accrual may have been reduced
to reflect prior charges against that accrual). To the extent that a payment is
due by ABB to Purchaser pursuant to this Section 7.9(g) with respect to Taxes
shown on a Tax Return for the portion of the Straddle Period that ends on the
Closing Date, ABB shall pay such Taxes to Purchaser within five (5) business
days after ABB's approval of the Tax Return that generated such indemnification
payment. Except as set forth in this Section 7.9, the procedures for
indemnification set forth in Article 10 shall govern any indemnification for
Taxes.

          (h) All Tax sharing agreements or similar agreements with respect to
or involving the NB Group shall be terminated as of the Closing Date and, after
the Closing Date, neither ABB and its Affiliates nor Purchaser or the NB Group
shall be bound thereby or have liability thereunder.

          (i) With respect to NBUS and US I&C Newco, if formed, ABB shall cause
the proper Seller to furnish to Purchaser on or before the Closing Date a
certification of such Seller's non-foreign status as set forth in Section 1445
of the Code and the Treasury Regulations promulgated thereunder.

          (j) Sellers and Purchaser shall join to make a timely and irrevocable
election under Section 338(h)(10) of the Code and similar elections under any
applicable state, local or foreign Tax laws (a "SECTION 338(h)(10) ELECTION")
for NBUS and each of its Subsidiaries and US I&C Newco, if formed (the "TARGET
COMPANIES"). Each Seller, Purchaser, and the Target Companies shall report the
purchase of the shares of stock of the Target Companies consistent with the
Section 338(h)(10) Elections made with respect to those companies and shall take
no position contrary thereto. Notwithstanding any other provision of this
Agreement, the obligation of Asea Brown Boveri Inc. or any of its Affiliates to
make a Section 338(h)(10) Election pursuant to this Section 7.9(j) is contingent
upon receipt by Asea Brown Boveri Inc. of a payment from Purchaser in the amount
of Fourteen Million United States dollars (US $14,000,000) on or prior to the
date the Section 338 Forms are filed with the United States Internal Revenue
Service.

          (k) Each Seller, Purchaser, and the Target Companies shall execute any
and all documents, statements, and other forms that are required to be submitted
to any taxing authority in connection with a Section 338(h)(10) Election (the
"SECTION 338 FORMs") no later than 15 days prior to the date such Section 338
Forms are required to be filed. Each Seller, Purchaser, and the Target Companies
shall cause the Section 338 Forms to be duly executed by an authorized person
for such Seller, Purchaser, and the Target Companies, and shall duly and timely
file the Section 338 Forms in accordance with applicable Tax laws and the terms
of this Agreement.

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<Page>

          (l) Each Seller, ABB and Purchaser shall use its best efforts, as soon
as practicable after the Closing Date, to enter into an agreement, as may be
amended from time to time (the "ALLOCATION AGREEMENT"), to allocate the Purchase
Price (with subsequent adjustment for any amounts that are treated as
adjustments to the Purchase Price for tax purposes including any adjustments
pursuant to Sections 2.5, 2.6 or 10.6) allocable to the shares of the Target
Companies and the liabilities of such Target Companies to the assets of the
Target Companies for all applicable Tax purposes, including the computation of
the Modified Aggregate Deemed Sale Price (as defined under applicable Treasury
Regulations and similar state, local or foreign tax provisions) ("MADSP") for
the assets of the Target Companies. Purchaser shall initially prepare a
statement setting forth a proposed computation and allocation of MADSP (the
"COMPUTATION") consistent with the provisions of Article 2 hereof. Purchaser
shall submit the Computation to ABB along with copies of all workpapers,
reports, opinions and other similar documents used to prepare the Computation
("WORKPAPERS"), no later than ninety (90) days after the Closing Date. If,
within sixty (60) days of ABB's receipt of the Computation and the Workpapers,
ABB shall not have objected in writing to such Computation, the Computation
shall become the Allocation Agreement. If ABB objects in writing to the
Computation within such sixty (60) days, Purchaser and ABB shall negotiate in
good faith to resolve the Computation. If Purchaser and ABB shall not have
agreed to the Computation and adopted an Allocation Agreement within thirty (30)
days after ABB's objection, any disputed aspects of the Allocation Agreement
shall be resolved by an accounting or law firm mutually acceptable to Purchaser
or ABB (the "338 AUDITORS") as soon as practicable but in no event later than
thirty (30) days prior to the earlier of (i) the last date on which the Section
338 Forms may be filed or (ii) the last date on which either Purchaser or ABB
(whichever is earlier) must file a Tax Return relating to the transactions
contemplated hereby. The decision of the 338 Auditors shall be final, and the
costs, expenses and fees of the 338 Auditors shall be borne equally by Purchaser
and ABB. Purchaser and ABB shall not take a position before any taxing authority
or otherwise (including in any Tax Return) inconsistent with the Allocation
Agreement. For purposes of this Paragraph (l), references to ABB shall include
ABB or any of its designated Affiliates.

          (m) For purposes of Paragraphs (j), (k), and (l) of this Section 7.9,
if the Seller of the Target Companies is other than ABB, ABB shall cause such
Seller to take any action required in those paragraphs or refrain from taking
any action prohibited under those paragraphs.

7.10.     NO USE OF TRADEMARKS

          (a) As from the Closing, neither the Purchaser nor any of its
Affiliates shall have any right to use in any way any trademarks, servicemarks,
trade names or corporate or business names or other indicia of origin including
the words "ABB", "BBC", "Asea" "Brown", or "Boveri" in whole or in part, except
as otherwise provided in this Section 7.10. In furtherance

                                      -63-
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hereof, Purchaser shall, and shall cause its Affiliates to, within six (6)
months after the Closing Date, remove from all signs and stationery, purchase
order forms, packaging and other similar supplies, advertising and promotional
materials, product, training and service literature and materials, and computer
programs and like materials (collectively, "SUPPLIES"), any reference to "ABB",
"BBC", "Asea", "Brown" or "Boveri"; PROVIDED that to the extent any Supplies
included in the assets of the Business so indicate, Purchaser may, for a period
of six (6) months after the Closing Date, use such Supplies after first crossing
out, marking over or otherwise covering and redacting such reference and
otherwise clearly indicating on such Supplies that the Business is no longer a
division or unit of ABB or any of its Affiliates. Purchaser shall not reorder or
produce any Supplies which state or otherwise indicate thereon that the Business
is a division or unit of ABB or any of its Affiliates or contain any reference
to "ABB", "BBC", "Asea", "Brown" or "Boveri".

          (b) Except as set forth on Schedule 7.10, at the Closing, ABB shall
turn over to Purchaser all confidential documents (and any copies thereof within
the possession or control of ABB or any of its Affiliates) relating to the
Intellectual Property and Technology, and shall not retain any copies thereof.

          (c) ABB agrees that it shall not, and shall use all reasonable efforts
to ensure that its Affiliates will not, object to Purchaser or its Affiliates
using the designations "Reaktor" or "Atom" in a corporate name, trade name or
trademark in connection with the operation of the Business.

          (d) ABB shall (i) cause a grant to be made to Purchaser and its
Affiliates of a non-exclusive, perpetual, worldwide, royalty free license,
effective from the Closing Date, to use the trademarks "CE," "C-E" and
"COMBUSTION ENGINEERING", alone or, subject to the terms and conditions of the
license agreement to be entered into, in combination with other marks used by
Purchaser, solely in connection with (A) the design, manufacture, sale and
service of nuclear reactors; and (B) the design, manufacture and sale of nuclear
fuels, and (ii) not grant to any other Person, for a period of seven (7) years
from the Closing Date, any such rights to use said trademarks in the activities
referred to in this Paragraph (d). This license shall be assignable only to a
successor-in-interest to the business of the NB Group.

          (e) From the date hereof until Closing, if ABB should determine in the
ordinary course that a patent or trademark registration of the Business should
not be maintained, Purchaser, at its option, shall have the right to pay for the
continued maintenance of such patent or trademark registration on ABB's behalf.
In the event that Purchaser elects to continue the maintenance of any such
patent or trademark registration, Purchaser shall pay all costs, expenses

                                      -64-
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and fees (including reasonable attorneys' fees) incurred in connection with, and
ABB agrees to execute any documentation reasonably required to effect, such
continued maintenance.

7.11.     REPAYMENT OF LOANS

          (a) Each company in the NB Group shall repay, prior to the Closing,
the unpaid principal amount of each and every outstanding loan or other
indebtedness (other than the Loans) of any kind, together with all accrued
interest thereon, made to it by any company in the ABB Group. This Paragraph (a)
shall not apply to trade payables owing by any company in the NB Group arising
in the ordinary course of business.

          (b) ABB shall, or shall cause each company in the ABB Group to, repay,
prior to the Closing, the unpaid principal amount of each and every outstanding
loan or other indebtedness of any kind, together with all accrued interest
thereon, made to any of them by any company in the NB Group. This Paragraph (b)
shall not apply to trade payables owing by any company in the ABB Group arising
in the ordinary course of business (but shall apply to amounts recorded on the
books of any company in the NB Group as financing receivables).

7.12.     RELEASE OF COMMITMENTS

          (a) Purchaser acknowledges that in the course of the conduct of the
Business, ABB and/or its Affiliates (other than the Business Units) have entered
into, and may continue to enter into, various arrangements in which guarantees,
letters of credit, indemnities or other similar arrangements, including surety
and performance bonds, were issued by or for the account of ABB and/or its
Affiliates (other than the Business Units) in relation to the Business. Such
arrangements by such parties are hereinafter referred to as the "ABB
COMMITMENTS".

          (b) Not later than the Closing, Purchaser shall use its best efforts
to obtain substitute guarantees, letters of credit, indemnities or other similar
arrangements in replacement for the ABB Commitments, which arrangements will be
in effect at the Closing, and shall procure that ABB and every other company in
the ABB Group and, where applicable, its sureties be irrevocably released in
full from their respective obligations under the ABB Commitments (it being
understood and agreed that each such release shall be in form and substance
reasonably satisfactory to ABB and/or the relevant company in the ABB Group).

          (c) Failing any release required pursuant to Paragraph (b) above,
Purchaser shall, after the Closing Date, promptly indemnify ABB and each other
company in the ABB Group and, where applicable, its sureties against any
liability any of them may incur under any ABB Commitment.

                                      -65-
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7.13.     CONFIDENTIALITY

          ABB shall not, and shall use all reasonable efforts to ensure that
none of its Affiliates will, for a period of seven (7) years from the Closing
Date, disclose any confidential technical, financial or other business
information of any kind or form relating solely to the Business ("CONFIDENTIAL
INFORMATION") to any third Person, except (i) in the event ABB or any of its
Affiliates is required to disclose any of such information pursuant to
Applicable Law or by applicable legal process; (ii) to the extent such
information becomes generally available to the public other than as a result of
a disclosure by ABB or its Affiliates in violation of this Agreement; or (iii)
to the extent such information becomes available to ABB or its Affiliates on a
non-confidential basis from a source other than ABB or its Affiliates; PROVIDED
that such source is not, to the knowledge of ABB and/or its Affiliates,
prohibited from disclosing such information by a contractual, legal or fiduciary
obligation. In addition, this undertaking shall not prohibit ABB or any of its
Affiliates from disclosing Confidential Information to its legal or other
advisors, who are bound by an obligation of confidentiality, in connection with
any dispute between ABB or such Affiliate of ABB on the one hand and Purchaser
or any Affiliate of the Purchaser on the other hand in relation to this
Agreement or the Transaction.

7.14.     RELATED AGREEMENTS

          ABB and Purchaser agree to enter into, or use all reasonable efforts
to ensure that their respective Affiliates will enter into, the following
agreements or arrangements:

          (a) At the Closing, ABB Ltd. and Purchaser shall enter into the
Non-Competition Agreement.

          (b) At the Closing, Purchaser and the applicable Affiliate(s) of ABB
shall enter into the Transitional Services Agreement.

          (c) During the period from the Closing through December 2001, ABB and
its Affiliates shall lease or sublease to the NB Group (other than to NBUS,
which is separately covered by Paragraph (b) above and Section 7.21) those
properties that are currently leased to the NB Group (other than NBUS) by ABB or
its Affiliates, and shall provide to the NB Group (other than NBUS) all
necessary corporate support and administration services (including payroll,
information technology, accounting, and other corporate services) that are
currently provided by ABB and/or its Affiliates to the Business (other than
NBUS), upon the following terms and conditions:

         (i)   If any such lease is governed by, or any such services are
     provided under, a contract or arrangement in existence on the date of this
     Agreement (an "EXISTING

                                      -66-
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     CONTRACT") the Existing Contract will remain in effect, and the parties
     will comply, or cause their Affiliates to comply, with the terms of the
     Existing Contract, except that if any Existing Contract will expire before
     December 31, 2001, or is terminable by ABB or its Affiliates because the
     recipient of the services is no longer a member of the ABB Group, ABB will
     procure that the Existing Contract is renewed or continued through December
     31, 2001.

        (ii) Subject to clause (i) above with respect to leases and services
     that are covered by Existing Contracts, the terms of any such lease shall
     be substantially the same as the existing terms, and such services shall be
     provided in, substantially the same form, to substantially the same extent
     at substantially the same quality standard and timeliness and on
     substantially the same arm's length terms and conditions (including pricing
     and escalation terms) as they are currently provided to the Business.

       (iii) ABB and/or its Affiliates shall perform all such services in
     accordance with the terms of any Existing Contract and otherwise in
     accordance with normal prudent business standards. In the event of any
     failure by ABB or its Affiliates to perform any service in accordance with
     the terms of this Section 7.14, which results in a material error or defect
     in such service, then at the reasonable request of the NB Group entity that
     is receiving such service, ABB or the Affiliate performing such service
     shall correct such error or defect or reperform such service in a timely
     manner. Such re-performance shall be at the expense of ABB and its
     Affiliates where the error is due to the fault of ABB or its Affiliates and
     shall be at the expense of Purchaser and its Affiliates where the error is
     due to the fault of Purchaser. Subject to the foregoing provisions of this
     clause (iii) and to the terms of any Existing Contract, neither ABB nor its
     Affiliates shall have any liability to Purchaser or any of its Affiliates
     for any failure to perform a service covered by this Section 7.14 except to
     the extent such failure results from the gross negligence or willful
     misconduct of ABB or its Affiliates.

          (d) At the Closing, ABB and/or its Affiliates shall enter into the
Supply and Licensing Agreement.

          (e) ABB shall ensure that its relevant Affiliates execute and deliver
the Parent Guarantee as soon as reasonably possible.

7.15.     INSURANCE

          (a) Subject to Section 7.15(b), as from the Closing Date, the NB Group
will cease to be covered by property, liability and other insurance programs, if
any, maintained by ABB

                                      -67-
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and/or its Affiliates (other than companies in the NB Group); PROVIDED that,
with respect to any such program which relates solely to the Business, the
parties shall make all reasonable efforts to obtain as soon as reasonably
possible from the relevant insurance carrier its consent to the assignment of
such program to Purchaser and, subject to such consent having been obtained,
shall assign such program in accordance with its terms and such consent with
effect as from the Closing. Purchaser shall ensure that, following such
assignment, ABB and/or its Affiliates will remain as insureds under each such
program in respect of occurrences in the Business occurring prior to the Closing
Date ("PRE-CLOSING OCCURRENCES") and shall not cancel such program or allow
coverage thereunder to lapse without first affording ABB and/or its Affiliates a
reasonable opportunity to obtain separate cover. Notwithstanding anything to the
contrary contained herein, but subject to Paragraph (b), ABB and/or its
Affiliates shall not be obliged to maintain any insurance program in relation to
the Business after the Closing; PROVIDED that with respect to "occurrence based"
insurance programs providing coverage for Pre-Closing Occurrences, ABB and/or
its Affiliates shall not cancel any such program or allow coverage thereunder to
lapse without first affording Purchaser and/or its Affiliates a reasonable
opportunity to obtain separate cover.

          (b) To the extent that (i) the "occurrence-based" insurance programs
of ABB and/or its Affiliates cover Pre-Closing Occurrences and (ii) the terms
and conditions of such "occurrence-based" programs designate members of the NB
Group as insureds, or additional insureds, with respect to Pre-Closing
Occurrences, the relevant member of the NB Group shall have access after the
Closing Date to such "occurrence based" insurance programs in respect of
Pre-Closing Occurrences in accordance with, and subject to, the terms and
conditions of such programs. With respect to Pre-Closing Occurrences (other than
Pre-Closing Occurrences the Program Costs (as defined below) of which have been
finally and fully paid or reimbursed to ABB and/or its Affiliates prior to the
Closing Date with respect to claims closed prior to the Closing Date), Purchaser
shall pay or reimburse ABB and/or its Affiliates for any retrospective insurance
premiums, self-insured retentions, deductibles, retentions, and related
insurance program expenses, including without limitation, claims handling fees,
taxes, residual market loadings and state surcharges (collectively, "PROGRAM
COSTS"), in accordance with the terms and conditions of such programs or the
internal distribution protocols or methods of ABB and/or its Affiliates.

7.16.     APPROVAL OF DIVIDENDS

          It is understood that the Swedish Unit and/or NBSE may declare and
pay, prior to the Closing Date, interim dividends to be determined. Purchaser
undertakes to ensure that such dividends are approved and ratified by the first
ordinary shareholders' meeting(s) of the Swedish Unit and/or NBSE, as the case
may be, held after the Closing.

                                      -68-
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7.17.     PERFORMANCE OF OBLIGATIONS

          Without prejudice to any other provision contained herein, after the
Closing, Purchaser shall, and shall cause its Affiliates to, perform and comply
with in all respects the obligations of the NB Group arising under or relating
to any Contract or under Applicable Law relating to the Business to the extent
that ABB and/or its Affiliates could have any liability in respect thereof by
any non-performance thereof, and Purchaser agrees to indemnify ABB and its
Affiliates against and hold them harmless from, all obligations and liabilities
of ABB and/or its Affiliates arising out of or relating to the Business (other
than Liabilities described on Schedule 3.1(b)(ii) hereto and Liabilities not
included in the NB Group and not transferred to Purchaser pursuant to this
Agreement, the Local Agreements or any other documents executed by the parties
in connection herewith or therewith).

7.18      OMITTED ASSETS

          If within twenty-four (24) months after the Closing Date, either party
or any of its Affiliates discovers that any properties, assets, goodwill or
rights of ABB and/or its Affiliates primarily used or held for use in, or
primarily relating to or arising out of the conduct of, the Business (other than
the properties, assets, goodwill and rights described in Schedule 3.1(b)(i)
hereto) ("OMITTED ASSETS") were not included in the NB Group and not
subsequently transferred to Purchaser and/or its Affiliates, then such party
shall so notify the other party, and at Purchaser's option, each party shall use
all reasonable efforts to effect the transfer of such Omitted Assets from ABB
and/or its Affiliates to the Purchaser and/or its Affiliates, and the assumption
by Purchaser and/or its Affiliates of all Liabilities directly related to such
Omitted Assets, in each case as soon as possible, without further consideration.
The transfer shall be effected pursuant to an agreement between the relevant
transferor and transferee, to which agreement Section 3.1(c) shall apply MUTATIS
MUTANDIS.

7.19      RESTRUCTURING PLANS

          Until the Closing, ABB shall, and shall cause its Affiliates to,
diligently implement (but does not guarantee the completion of) the
Restructuring Plans.

7.20      ABB AUTOMATION STAFF AUGMENTATION

          ABB shall cause its Affiliates to continue, to the extent reasonably
requested by Purchaser, to make available personnel currently assigned to the
OKG Contract in support of the performance of the OKG Contract for the term
thereof at the rates (subject to commercially reasonable escalation) and in all
other respects on substantially the same terms and conditions as are applicable
on the date of this Agreement.

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7.21      JV SERVICES AND LEASES

          (a) ABB agrees to use all reasonable efforts to cause Combustion
Engineering, Inc. or its Affiliates to provide to NBUS, for the period of twelve
months after the Closing, those services listed in the "Products and Services
Proposal 2000 for Support Services" prepared by Combustion Engineering Inc. that
are currently provided by Combustion Engineering, Inc. or its Affiliates to
NBUS; provided that such services are to be provided in substantially the same
form, to substantially the same extent, at substantially the same quality
standard and timeliness and on substantially the same arm's length terms and
conditions (including pricing and escalation terms) as such services are
currently provided to NBUS. ABB agrees that, to the extent ABB is not able to
procure such services as contemplated by the preceding sentence, ABB shall,
subject to the limitations in Section 10.3(f), indemnify Purchaser and/or its
Affiliates for any additional costs or expenses incurred by NBUS arising from
the procurement of such services during the remainder of such twelve-month
period from a third party vendor; PROVIDED that Purchaser shall cause NBUS to
use all reasonable efforts to procure reasonably comparable services on
commercially reasonable terms.

          (b) ABB agrees to use all reasonable efforts to cause Combustion
Engineering, Inc. or its Affiliates to enter into written lease agreements with
NBUS prior to the Closing covering the use by NBUS of the real property located
at (i) 1201 River Front Parkway, Chattanooga, Tennessee, U.S.A. (the
"CHATTANOOGA LEASE") and (ii) that portion of 2000 Day Hill Road, Windsor,
Connecticut, U.S.A. that is not subject to the Existing Windsor Pro Forma Lease
(as defined below) (the "WINDSOR LEASE" and together with the Chattanooga Lease,
the "JV LEASES"), which JV Leases shall be on terms and conditions substantially
similar to the terms and conditions under which NBUS currently leases or
occupies such property and otherwise on such terms and conditions as are
customary for the rental of similarly situated property (including, without
limitation, the provision of reasonable credit support if required by Combustion
Engineering, Inc. or its Affiliates) and shall contain the following material
terms: (A) with respect to the Chattanooga Lease, a term of no less than two (2)
years and no more than four (4) years and, with respect to the Windsor Lease, a
term of twelve (12) months from the Closing Date; and (B) an aggregate rental
charge (subject to commercially reasonable escalation amounts) substantially
identical to the amount being paid by NBUS as of the date of this Agreement
(increased by any commercially reasonable escalation in rental charge as may
have been imposed by Combustion Engineering, Inc. or its Affiliates between the
date of this Agreement and the execution of the JV Leases) (the "APPLICABLE
RATE"). If any JV Lease shall not comply in any material respect with the
preceding sentence, or such JV Lease should not be executed, then to the extent
the use of such property, or the use of any substitute property, by NBUS after
the Closing results in any costs or expenses in excess of the Applicable Rate
(but

                                      -70-
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excluding any escalation in rental charges over the term of NBUS's use of such
property that are not customary and commercially reasonable), ABB shall, during
the one-year period (with respect to the Windsor Lease) or the two-year period
(with respect to the Chattanooga Lease) immediately following the Closing and
subject to Section 10.3(f), indemnify Purchaser and/or its Affiliates for all
such costs and expenses reasonably incurred. Such costs and expenses may also
include any reasonable out-of-pocket expenses associated with NBUS's move from
such property to a substitute property if (1) such move is required due to
action taken by Combustion Engineering, Inc. or its Affiliates to evict NBUS
during such two-year period (with respect to the Chattanooga Lease) or
twelve-month period (with respect to the Windsor Lease) (other than because of
the gross negligence or willful misconduct of Purchaser and/or its Affiliates)
and (2) Purchaser and/or its Affiliates have sent to ABB in writing at least
sixty (60) days prior notice of such move (or, if later, within 14 days after
receipt by Purchaser of notice of eviction) and ABB is unable during such notice
period to enable NBUS to remain on such property on commercially reasonable
terms (provided that Purchaser and its Affiliates shall cooperate with ABB and
its Affiliates, at ABB's expense, to all reasonable extents to enable ABB to
secure NBUS's continued use of such property on such terms).

          (c) ABB shall use its commercially reasonable efforts, with the
cooperation of Purchaser, to procure (i) as soon as reasonably practicable after
the Closing Date and with effect as from the first anniversary thereof, the
assignment of the lease agreement concerning the Windsor Site, dated June 28,
1999, between Combustion Engineering, Inc. and NBUS (the "EXISTING WINDSOR
PRO-FORMA LEASE") by NBUS to an Affiliate of ABB in the United States, or the
termination of the Existing Windsor Pro-Forma Lease and the execution of a new
lease in substitution thereof by such Affiliate; and (ii) as soon as reasonably
practicable after the Closing Date (taking into account such operations of the
Business that NBUS may continue to conduct at the Windsor Site during its
one-year tenancy), but in no event later than the first anniversary thereof, NRC
approval to transfer all existing NRC licenses held by NBUS with respect to the
Windsor Site to an appropriate Affiliate of ABB.

7.22      FOREIGN CURRENCY HEDGES

          During the period prior to the Closing Date, ABB and its Affiliates
shall hedge the currency exposure of the Business in accordance with the hedging
policies of the ABB Group.

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                                    ARTICLE 8

                              CONDITIONS TO CLOSING

8.1.      CONDITIONS TO EACH PARTY'S OBLIGATIONS

          The obligation of each of ABB and Purchaser to consummate the
Transaction is subject to the fulfilment of each of the following conditions
prior to or at the Closing:

          (a) No injunction, restraining order or other order issued by any
     court of competent jurisdiction or other legal or regulatory restraint or
     prohibition preventing the consummation of the transactions contemplated by
     this Agreement shall be in effect.

          (b) The consents and authorizations by or of, and filings with and
     notifications to, Governmental Authorities set forth in SCHEDULE 8.1(b)
     shall have been obtained or effected, or any applicable waiting periods
     shall have expired or been terminated and, in the case of such consents and
     authorizations, shall be in full force and effect.

8.2.      CONDITIONS TO OBLIGATIONS OF PURCHASER

          The obligation of Purchaser to consummate the Transaction is subject
to the fulfilment of each of the following conditions prior to or at the Closing
(any or all of which may be waived by Purchaser in its sole discretion):

          (a) The representations and warranties of ABB set forth in this
     Agreement shall (i) in the case of representations and warranties not
     qualified by reference to materiality or "Material Adverse Effect" be true
     and correct in all material respects, and (ii) in the case of
     representations that are so qualified, shall be true in all respects, in
     each case as of the date of this Agreement and, except for those made as of
     a particular date, as of the Closing as though made at and as of the
     Closing, except in each case for (i) changes permitted or contemplated by
     this Agreement, and (ii) such failures of representations and warranties to
     be true and correct that, individually or in the aggregate, have not had,
     and would not reasonably be expected to have, a Material Adverse Effect on
     the Business. Purchaser shall have received a certificate signed by an
     authorized officer of ABB, dated as of the Closing Date, to the effect that
     the conditions set out in this Paragraph (a) are satisfied.

          (b) ABB shall have performed and complied in all respects with all of
     its respective undertakings and agreements required by this Agreement to be
     performed or complied with by it prior to or at the Closing; PROVIDED that
     the non-compliance of an

                                      -72-
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     undertaking or agreement at any time shall not constitute a failure of the
     condition contained in this Section 8.2(b) if all such non-compliances, in
     the aggregate, have not had, and would not reasonably be expected to have,
     a Material Adverse Effect on the Business.

          (c) The relevant companies in the ABB Group shall have executed the
     Ancillary Agreements to which they are a party.

          (d) The Parent Guarantee shall have been duly executed and delivered
     by ABB Ltd.

          (e) Purchaser shall have received an opinion of the General Counsel of
     ABB Ltd, dated the Closing Date, addressed to Purchaser and substantially
     in the form of ANNEX 7 hereto.

8.3.      CONDITIONS TO OBLIGATIONS OF ABB

          The obligation of ABB to consummate the Transaction is subject to the
fulfilment of each of the following conditions prior to or at the Closing (any
or all of which may be waived by ABB in its sole discretion):

          (a) The representations and warranties of Purchaser set forth in this
     Agreement shall be true and correct in all material respects on and as of
     the date of this Agreement and as of the Closing as though made at and as
     of the Closing, except for (i) changes permitted or contemplated by this
     Agreement, and (ii) such failures of representations and warranties to be
     true and correct that would not, individually or in the aggregate,
     reasonably be expected to have a Material Adverse Effect on ABB. ABB shall
     have received a certificate signed by an authorized officer of Purchaser,
     dated as of the Closing Date, to the effect that the conditions set out in
     this Paragraph (a) are satisfied.

          (b) Purchaser shall have performed and complied in all respects with
     all of its respective undertakings and agreements required by this
     Agreement to be performed or complied with by it prior to or at the
     Closing; PROVIDED that the non-compliance of an undertaking or agreement at
     any time shall not constitute a failure of the condition contained in this
     Section 8.3(b) if all such non-compliances, in the aggregate, have not had,
     and would not reasonably be expected to have, a Material Adverse Effect on
     ABB.

          (c) Purchaser and/or its Affiliates shall have executed the Ancillary
     Agreements to which they are a party.

                                      -73-
<Page>

          (d) ABB shall have received an opinion of the General Counsel of
     British Nuclear Fuels plc, dated the Closing Date, addressed to ABB and
     substantially in the form of ANNEX 8 hereto.

                                    ARTICLE 9

                        TERMINATION, AMENDMENT AND WAIVER

9.1.      TERMINATION

          (a) Notwithstanding anything to the contrary in this Agreement, this
Agreement may be terminated and the Transaction abandoned at any time prior to
the Closing by action taken or authorized by the terminating party or parties:

         (i)   by mutual written consent of ABB and Purchaser;

        (ii)  by either ABB or Purchaser, if the Transaction shall not have been
     consummated by December 31, 2000; PROVIDED, HOWEVER, that the right to
     terminate this Agreement under this Section 9.1(a)(ii) shall not be
     available to a party whose failure to fulfill any obligation under this
     Agreement has been the cause of, or resulted in, the failure of the
     Transaction to occur on or before such date; and

       (iii) by either ABB or Purchaser, if any Governmental Authority shall
     have issued an order, decree or ruling or taken any other action (which
     order, decree, ruling or other action the parties shall have used their
     reasonable efforts to resist, resolve or lift, as applicable, subject to
     the provisions of Section 7.4) permanently restraining, enjoining or
     otherwise prohibiting the Transaction, and such order, decree, ruling or
     other action shall have become final and non-appealable; PROVIDED, HOWEVER,
     that the provisions of this Section 9.1(a)(iii) shall not be available to a
     party whose failure to fulfill any obligation under this Agreement has been
     the cause of, or resulted in, such order or injunction.

          (b) In the event of termination by either party pursuant to this
Section 9.1, written notice thereof shall forthwith be given to the other party.

          (c) If this Agreement is terminated and the Transaction is abandoned
as described in this Section 9.1, this Agreement shall become null and void and
of no further force and effect, except for the provisions of this Agreement
relating to expenses (including but not limited to Section 12.9), this Section
9.1, and Articles 11 and 12. Nothing in this Section 9.1 shall be deemed to
release either party from any liability for any breach by such party of the
terms and provisions of this Agreement.

                                      -74-
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          (d) If this Agreement is terminated and the Transaction is abandoned
as described in this Section 9.1, Purchaser shall promptly return to ABB (i) all
documents and other material received from ABB and/or its Affiliates relating to
the Transaction, whether so obtained before or after the execution hereof; and
(ii) all written information received by Purchaser with respect to the Business
and the other operations of ABB and/or its Affiliates (in each case together
with all copies thereof).

9.2.      AMENDMENTS AND WAIVERS

          (a) This Agreement may not be amended except by an instrument in
writing signed on behalf of each of the parties hereto by their duly authorized
representatives.

          (b) Each party may, by an instrument in writing, waive compliance by
the other party with any term or provision of this Agreement that such other
party was or is obligated to comply with or perform. The waiver by either party
of a breach of any provision of this Agreement shall not operate or be construed
as a waiver of any other provision of this Agreement or of any further breach of
the provision so waived. No extension of time for the performance of any
obligation or act thereunder shall be deemed to be an extension of time for the
performance of any other obligation or act.

                                   ARTICLE 10

                                 INDEMNIFICATION

10.1.     INDEMNIFICATION

          Subject to the limitations set forth in this Article 10, each party
hereto (the "INDEMNIFYING PARTY") hereby agrees to indemnify the other party
hereto (the "INDEMNIFIED PARTY") and its Affiliates, and their respective
officers, directors, employees, agents and representatives, against, and agrees
to hold them harmless from, any and all Losses (including reasonable legal fees
and disbursements), payable quarterly upon request, to the extent caused by or
resulting from:

         (i) any breach by the Indemnifying Party of any of its representations
     or warranties set out in Article 5 or Article 6, as the case may be; or

        (ii) any failure by the Indemnifying Party duly to perform any
     undertakings and agreements required by this Agreement to be performed by
     the Indemnifying Party.

                                      -75-
<Page>

10.2      ADDITIONAL INDEMNIFICATION BY ABB.

          Subject to the limitations imposed by this Article 10, ABB, as the
Indemnifying Party, hereby agrees to indemnify Purchaser, as the Indemnified
Party, and its Affiliates, and their respective officers, directors, employees,
agents and representatives, against, and agrees to hold them harmless from, any
and all Losses (including reasonable legal fees and disbursements), payable
quarterly upon request, to the extent consisting of, caused by or arising from:

         (i) any Non-Business Liabilities;

        (ii) the portion of Liabilities in excess of Five Million United
     States Dollars (US$ 5,000,000) arising from the matter described in
     Schedule 10.2(ii);

       (iii) subject to Section 10.13, any Actual OKG Losses; PROVIDED,
     HOWEVER, that ABB shall not have any Liability under this clause (iii)
     except to the extent the aggregate of any Actual OKG Losses for which ABB,
     but for this proviso, would be liable exceeds the provision established in
     the Final Audit Report in respect of the OKG Contract ("PROVIDED OKG
     AMOUNT"), in which case (x) for aggregate Actual OKG Losses of more than
     the Provided OKG Amount, but less than $10,000,000 in excess of the
     Provided OKG Amount, ABB shall pay 50% of such Actual OKG Losses, and (y)
     for aggregate Actual OKG Losses of more than $10,000,000 in excess of the
     Provided OKG Amount, ABB shall pay 100% of all such Actual OKG Losses;

        (iv) any Liability under the Existing Windsor Pro Forma Lease
     attributable to the period after the first anniversary of the Closing Date
     and any Windsor Site Environmental Liabilities; PROVIDED, HOWEVER, that ABB
     shall not have any Liability for Losses caused as a consequence of
     Purchaser's operation of any facilities at the Windsor Site during its
     short-term tenancy in accordance with Section 7.21(b) and (c);

         (v) any Hematite Legacy Liabilities, PROVIDED, HOWEVER, that ABB shall
     not have any Liability under this clause (v) except to the extent the
     aggregate of all such Losses for which ABB, but for this proviso, would be
     liable exceeds $30,000,000, in which case, (x) for aggregate Losses of more
     than $30,000,000, but less than $75,000,000, ABB shall pay 75% of such
     Losses, and (y) for aggregate Losses of $75,000,000 or more, ABB shall pay
     100% of all such Losses and further provided that the Losses for which ABB
     is liable under this clause (v) are incurred by the Indemnified Party
     within fifteen (15) years of the Closing Date;

                                      -76-
<Page>

        (vi) all Business-Related Environmental Liabilities and Decontamination
     and Decommissioning Liabilities, but excluding Windsor Site Environmental
     Liabilities and Hematite Legacy Liabilities; PROVIDED, HOWEVER, that ABB
     shall not have any Liability in respect of Losses under this clause (vi)
     except to the extent the aggregate of all such Losses for which ABB, but
     for this proviso, would be liable exceeds $50,000,000, in which case (x)
     for aggregate Losses of more than $50,000,000, but less than $80,000,000,
     ABB shall pay 50% of such Losses, (y) for aggregate Losses of $80,000,000
     or more but less than $120,000,000, ABB shall pay 75% of such Losses, and
     (z) for aggregate Losses of $120,000,000 or more, ABB shall pay 100% of all
     such Losses; and FURTHER PROVIDED, HOWEVER, that ABB shall have no
     liability for Decontamination and Decommissioning Liabilities caused by the
     operation, after the Closing Date, of any facility associated with the
     Business (it being understood that such Decontamination and Decommissioning
     Liabilities shall not be deemed to be "caused by" such operation after the
     Closing Date solely by reason of the passage of time); and FURTHER
     PROVIDED, HOWEVER, that the Losses for which ABB is liable under this
     clause (vi) with respect to any facility are incurred by the Indemnified
     Party within ten (10) years after any date on which such facility is taken
     out of service, decommissioned, or operated for a purpose that is
     materially different from its current purpose, or within thirty (30) years
     of the Closing Date, whichever is earliest;

       (vii) any Taxes of any member of an affiliated, consolidated, combined,
     unitary, or similar group of which any of the companies in the NB Group is
     or was a member on or prior to the Closing Date (other than Taxes of the
     members of the NB Group, which shall be covered by Section 7.9(g)) by
     reason of the liability of such companies for such Taxes pursuant to
     Treasury Regulations Section 1.1502-6 or any similar provision under state,
     local, or foreign law or regulation, or any contractual liability for Taxes
     of any Person (other than members of the NB Group, which shall be covered
     by Section 7.9(g));

      (viii) any Taxes related to the transactions described in Section 3.1 of
     this Agreement or to the formation (or any restructuring or dividending of
     the assets) of NBUS, NBDE, NBSE, the portion of the assets of the US I&C
     Unit that are transferred pursuant to Section 3.1, US I&C Newco, the
     Swedish Unit, or the German Unit; and

        (ix) any Taxes resulting from the Section 338(h)(10) Election.

10.3.     CERTAIN LIMITATIONS

          (a) No claim, or recovery in respect thereof, for breach of any
representation or warranty (except representations and warranties contained in
Section 5.14) shall be allowed (i)

                                      -77-
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unless the amount recoverable in respect of each claim or group of related
claims exceeds Forty Thousand United States dollars (US $40,000) (or the foreign
currency equivalent thereof) and the amount recoverable in respect of all such
qualifying claims exceeds Twenty Million United States dollars (US $20,000,000)
in the aggregate (or the foreign currency equivalent thereof), in which case the
liability of the Indemnifying Party shall not be restricted to merely the excess
over the threshold amounts referred to above; and (ii) with respect to an
obligation which is contingent, unless and until the obligation becomes actual.

          (b) The amounts which, but for this Paragraph (b), would be
recoverable under this Article 10, shall be reduced to the extent of any
insurance proceeds recoverable in respect thereof by the Indemnified Party or
any of its Affiliates under any policy of insurance carried by any of them.

          (c) The Indemnifying Party shall have no liability hereunder for a
breach of any representation or warranty to the extent that:

         (i) in the case of ABB, a specific provision or reserve in respect of
     the relevant Losses was made in the Financial Statements or such Losses
     were deducted in the calculation of the Actual Equity;

        (ii) in the case of ABB, any specific provision or reserve made as
     aforesaid proves insufficient only by reason of any reduction of Tax
     allowances or reliefs after the Closing Date;

       (iii) such Losses would not have arisen but for any alteration or repeal
     or enactment of any Applicable Law after the Closing Date;

        (iv) such Losses would not have arisen but for any change in the
     accounting policies, practices or procedures adopted by the Indemnified
     Party and/or its Affiliates or for any other act or omission by any of them
     after the Closing Date; or

         (v) such Losses would not have arisen but for a failure by the
     Indemnified Party or any of its Affiliates to take reasonable steps to
     mitigate the effect of the circumstances giving rise to the claim.

          (d) Without limiting either party's rights under Article 8, the
Indemnifying Party shall have no liability hereunder for a breach of any
representation or warranty if the matter in question is subject to any indemnity
(other than the indemnity referred to in clause (i) of Section 10.1) given by
the Indemnifying Party in this Agreement, whether or not, under such indemnity,
a portion of the Losses is to be absorbed by the Indemnified Party.

                                      -78-
<Page>

          (e) Except with respect to claims relating to Taxes, the aggregate
liability of the Indemnifying Party for all claims pursuant to clause (i) of
Section 10.1 shall be limited to an aggregate amount equal to seventy percent
(70%) of the Purchase Price.

          (f) No special, indirect, consequential or punitive damages or losses
of any kind (including but not limited to loss of profits, loss of revenue, loss
of use, loss of production, costs of capital or costs connected with the
interruption of operation), regardless of the legal theory on which the claim is
based, shall be recoverable hereunder.

          (g) If a failure by the Indemnifying Party duly to perform its
obligations under this Agreement is capable of being remedied, the Indemnified
Party shall not be entitled to compensation for any breach unless the
Indemnifying Party is given written notice of such failure and either (i) fails
to commence remedial action within thirty (30) days of such notice, (ii) fails
to pursue such action diligently at all times thereafter until the original
failure has been remedied, or (iii) fails to remedy the original failure within
one hundred eighty (180) days after such notice.

          (h) The Indemnified Party shall use all reasonable efforts to pursue
any and all rights to reimbursement, recovery or indemnification with respect to
all Losses for which it is entitled to indemnification under this Article 10
pursuant to any Contract, insurance policy or arrangement with any Person (other
than Affiliates of the Indemnified Party) prior to bringing any claim against
the Indemnifying Party under this Article 10. The Indemnified Party shall not be
required to expend any material sum or commence any litigation or arbitration
proceeding unless the Indemnifying Party expressly agrees to indemnify the
Indemnified Party for such expenditure and any Losses incurred by the
Indemnified Party in such litigation or arbitration.

          (i) Nothing in Section 10.3(a)(ii), (g) or (h) shall preclude the
Indemnified Party from giving the Indemnifying Party notice of any claim in
accordance with Section 10.7, in which case such claim, if such notice is given
within the applicable time period provided for in Section 10.7, shall not be
time-barred under that Section; PROVIDED that, with respect to Section
10.3(a)(ii), any claim pursuant thereto shall be time-barred ninety (90) days
after the date that the relevant obligation becomes actual, unless prior to the
expiration of such ninety (90) day period the Indemnified Party shall have
notified the Indemnifying Party of such fact and shall have demanded payment of
such claims; and PROVIDED FURTHER that with respect to Sections 10.3(g) and (h),
such tolling period shall terminate (i) in the case of Section 10.3(g), when the
Indemnifying Party shall have notified the Indemnified Party that it has ceased
pursuit of a remedy of the alleged breach in question or, if earlier, the
expiration of the 180-day period provided for in such Section and (ii) in the
case of Section 10.3(h), when the Indemnified Party shall have ceased

                                      -79-
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pursuing rights to reimbursement, recovery or alternative indemnification
pursuant to such Section.

10.4.     DOUBLE RECOVERY

          (a) If the Indemnifying Party pays an amount in discharge of any claim
under this Agreement and the Indemnified Party, or its Affiliates, or any of
their respective officers, directors, employees, agents and representatives,
subsequently recovers from a third Person a sum which is attributable to the
subject matter of the claim, the Indemnified Party shall promptly pay to the
Indemnifying Party an amount equal to all amounts recovered up to the aggregate
amount thus paid by the Indemnifying Party hereunder.

          (b) For purposes of Section 10.3(b) and this Section 10.4, the amount
of any recovery on a claim under any insurance shall be the gross amount
received in such recovery less any retrospective insurance premiums directly
attributable to such claim.

10.5.     THIRD PARTY CLAIMS

          (a) If any claim is made or proceeding is instituted by any third
Person in respect of which the Indemnified Party may seek recovery hereunder
(other than a Tax Controversy, procedures for which are set out in Section 7.9
or a claim under clause (iv), (v) or (vi) of Section 10.2, procedures for which
are set out in Section 10.12) ("THIRD-PARTY CLAIM"), the Indemnified Party shall
give written notice thereof to the Indemnifying Party, describing in reasonable
detail the nature of the Third-Party Claim, within fifteen (15) days after
receipt by the Indemnified Party of notice of the Third-Party Claim; PROVIDED,
HOWEVER, that the failure to give timely notice shall not affect the rights to
indemnification hereunder to the extent the Indemnified Party demonstrates that
the Indemnifying Party suffered no actual damage as a result of such failure;
PROVIDED FURTHER, that, in the event of such failure to give timely notice, the
Indemnifying Party shall not be liable for any expenses incurred during the
period in which the Indemnified Party failed to give such notice. Thereafter,
the Indemnified Party shall deliver to the Indemnifying Party, promptly after
the Indemnified Party's receipt thereof, copies of all notices and documents,
including citations, summons and similar court papers, received by the
Indemnified Party in respect of the Third-Party Claim.

          (b) The Indemnifying Party shall be entitled to participate in the
defence of any Third-Party Claim and, if it so chooses, to assume the defence
thereof with counsel of its own choice. If the Indemnifying Party so elects to
assume the defence of a Third-Party Claim, the Indemnifying Party shall not be
liable to the Indemnified Party for any legal expenses subsequently incurred by
the Indemnified Party in connection with the defence thereof (but the
Indemnifying Party shall be so liable for such legal expenses incurred from the
date the

                                      -80-
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Indemnifying Party receives notice of the Third-Party Claim pursuant to
Paragraph (a) above to the date the Indemnifying Party assumes the defence
thereof pursuant to this Paragraph (b)).

          (c) The Indemnified Party shall be entitled to participate in the
defence of any Third-Party Claim, the defence of which has been assumed by the
Indemnifying Party, and to employ counsel, at its own expense, separate from the
counsel employed by the Indemnifying Party. Notwithstanding the foregoing, the
Indemnifying Party shall at all times control the defence of any such
Third-Party Claim.

          (d) If the Indemnifying Party chooses to defend or prosecute a
Third-Party Claim, the Indemnified Party shall, at its own cost, cooperate in
all reasonable respects in the investigation, trial and defence thereof and in
connection with any appeal arising therefrom. Without limiting the generality of
the foregoing, the Indemnified Party shall retain and, upon the Indemnifying
Party's request, provide to the Indemnifying Party copies of all records and
information which are reasonably relevant to such Third-Party Claim, and make
employees available on a mutually convenient basis to provide additional
information and explanation of any material furnished hereunder.

          (e) If the Indemnifying Party chooses to defend or prosecute any
Third-Party Claim, the Indemnified Party will agree to any settlement,
compromise or discharge of such Third-Party Claim which the Indemnifying Party
may recommend and which by its terms obligates the Indemnifying Party to pay to
the Indemnified Party the full amount of the liability in connection with such
Third Party Claim. If the proposed settlement, compromise or discharge does not
require full payment of such liability to the Indemnified Party, the Indemnified
Party shall have the right to consent to such settlement, compromise or
discharge (which consent shall not be unreasonably withheld or delayed).

          (f) Whether or not the Indemnifying Party shall have assumed the
defence of a Third-Party Claim, the Indemnified Party shall not admit any
liability with respect to, or settle, compromise or discharge, such Third-Party
Claim without the Indemnifying Party's prior written consent (which consent
shall not be unreasonably withheld or delayed).

10.6.     CHARACTERIZATION OF PAYMENTS

          All amounts paid by ABB or Purchaser, as the case may be, under this
Article 10 and Article 7.9 shall, to the extent permitted by Applicable Law, be
treated as adjustments to the Purchase Price for all purposes (including but not
limited to Tax purposes).

10.7.     TERMINATION OF CERTAIN INDEMNIFICATION

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          (a) No action or claim may be brought for indemnity in respect of any
breach by ABB of any of its representations or warranties set out in Article 5,
unless the claim, describing in reasonable detail the nature of the claim and
the calculation of the amount claimed, is made in writing to ABB within
twenty-four (24) months of the Closing Date; PROVIDED that claims for
misrepresentation or breach of warranty under Section 5.14 shall become
time-barred ninety (90) days after the earlier of (i) the date the relevant Tax
assessment has become final and non-appealable or the case has been settled with
the relevant taxing authorities and (ii) the expiration of the statute of
limitations period applicable to the claim underlying the claim for indemnity;
PROVIDED FURTHER that claims for misrepresentation or breach of warranty under
Sections 5.1 through 5.5 and Section 5.18 shall not be time-barred, but rather
shall survive the Closing without limitation. Actions or claims for indemnity
for any breach by Purchaser of any of its representations or warranties set out
in Article 6 shall not be time-barred, but rather shall survive the Closing
without limitation.

          (b) No action or claim may be brought for indemnity under Section
10.1(ii), unless the claim, describing in reasonable detail the nature of the
claim and the calculation of the amount claimed, is made in writing to and
received by the Indemnifying Party within ninety (90) days after the Indemnified
Party becomes aware of the breach.

          (c) All claims duly made within the applicable period in accordance
with Paragraphs (a) and (b) above shall become time-barred six (6) months after
the expiration of said period, unless proceedings to enforce such claim have
been commenced in accordance with Article 11 prior to such date.

          (d) All claims by Purchaser for Losses with respect to Taxes (other
than those addressed in Paragraph (a) above) including, without limitation, for
Taxes referred to in Section 10.2, shall become time-barred ninety (90) days
after the earlier of (i) the relevant Tax assessment has become final and
non-appealable or the case has been settled with the relevant taxing authorities
and (ii) the expiration of the statute of limitations period applicable to the
claim underlying the claim for indemnity; PROVIDED, HOWEVER, that, in the case
of any claim attributable to a contractual claim for Taxes against any member of
the NB Group, such claim shall be time-barred no earlier than ninety (90) days
after the date on which Purchaser or the NB Group, as the case may be, received
such contractual claim.

10.8.     EXCLUSIVE REMEDIES

          Each party hereto acknowledges and agrees that its sole and exclusive
remedy with respect to any and all claims relating to the subject matter of this
Agreement shall be pursuant to the indemnification provisions set forth in this
Article 10 (other than the equitable

                                      -82-
<Page>

remedy of specific performance in connection with the breach of any covenant
contained in this Agreement). In furtherance hereof, and except as otherwise set
forth in this Article 10, each party hereby waives, to the fullest extent
permitted under Applicable Law, any and all rights, claims and causes of action
it may have against the other party, its Affiliates and their respective
officers, directors, employees, stockholders, agents and representatives,
arising under or based upon Applicable Law. Nothing in this Section 10.8 shall
limit either party's remedies under the Ancillary Agreements.

10.9.     SUBROGATION

          Without limiting Purchaser's indemnification obligations pursuant to
this Article 10, ABB and its Affiliates shall be subrogated to the rights of
Purchaser and its Affiliates under any Contracts of the Business (including any
rights to indemnification and reimbursement) in connection with any defense in
respect of, arising out of or involving a claim by any Person against ABB or any
of its Affiliates in relation to the Business.

10.10.    CURRENCY TRANSLATION

          All recoverable Losses expressed in any currency other than United
States dollars shall be translated into United States dollars on the basis of
(i) in the case of currencies published at 4 p.m. (London time) by Reuters 2000
Service, page FXFX, the applicable closing mid-point rate for such currencies
fixed by the Foreign Exchange Market in London on the date of the claim for
recovery hereunder or, if such date is not a business day, on the last business
day immediately preceding such claim; and (ii) in the case of currencies not so
published by Reuters, the applicable mid-point rate calculated on the basis of
the relevant rates published in The Financial Times in regard to such date or,
if not available in The Financial Times, on the basis of the relevant rates of
Citibank N.A. published by Reuters simultaneously with the ones published on
page FXFX.

10.11     ARBITRATION OF CERTAIN ENVIRONMENTAL LIABILITIES

          Notwithstanding the provisions of Sections 11.2 and 11.3 of this
Agreement, any dispute concerning the obligations of any party under subsections
(iv), (v) and (vi) of Section 10.2 shall be settled by arbitration in accordance
with the Commercial Rules of the American Arbitration Association. Any party may
commence arbitration hereunder by delivering notice to the other party or
parties to the dispute, claim or controversy. The arbitration panel shall
consist of three arbitrators. Within ten (10) days after delivery of the notice
of commencement of arbitration referred to above, the Purchaser and ABB shall
each appoint one arbitrator, and the two arbitrators so appointed shall
designate a third arbitrator within ten (10) days of their appointment. If the
arbitrators designated by the parties to the arbitration are unable or fail to

                                      -83-
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agree upon the third arbitrator, the third arbitrator shall be designated by the
American Arbitration Association under its rules. The arbitrators will be bound
by the substantive law of the State of New York, but will not be bound by the
laws of evidence and procedure customary in courts of law. The arbitrators shall
be required to submit a written statement of their findings and conclusions
within sixty (60) days of the evidentiary hearing. The award of the arbitrators
shall be final, binding and conclusive on the parties; PROVIDED that, where a
remedy for breach is prescribed hereunder or limitations on remedies are
prescribed, the arbitrators shall be bound by such restrictions. Judgment upon
the award may be entered in any court having jurisdiction thereof. The
arbitration proceedings shall be conducted in New York, New York. Unless
otherwise determined by the arbitrator (which determination shall be final and
binding on Purchaser and ABB), each party shall pay its own expenses of
arbitration and the expenses of the arbitrators shall be shared equally by
Purchaser and ABB.

10.12     PROCEDURES RELATING TO THIRD PARTY ENVIRONMENTAL CLAIMS.

          (a) After the Closing, each of Purchaser and ABB shall notify (the
"NOTIFYING PARTY") the other in writing, and in reasonable detail, of any claim
in respect of, arising out of or involving a claim made by any third party
against the Notifying Party constituting an Environmental Liability or a
Decontamination and Decommissioning Liability indemnified under Sections
10.2(iv), (v) or (vi) hereof (in each case a "SHARED CLAIM"), within ten (10)
business days after receipt by the Notifying Party of written notice of the
Shared Claim; PROVIDED, HOWEVER, that failure to give such notification shall
not affect the indemnification provided hereunder except to the extent the other
party shall have been actually prejudiced as a result of such failure (except
that the other party shall not be liable for any expenses incurred during the
period in which the Notifying Party failed to give such notice). Thereafter,
each party shall deliver to the other party, promptly after such party's receipt
thereof, copies of all notices and documents (including court papers) received
by such party relating to the Shared Claim.

          (b) Purchaser and ABB shall negotiate in good faith to allocate
responsibility for the defense of Shared Claims, it being agreed that:

         (i) Purchaser and ABB will each be entitled to participate in the
     defense of any Shared Claim and will each cooperate in the defense of any
     Shared Claim, including the retention and (upon request) the provision to
     the requesting party of records and information which are reasonably
     relevant to such Shared Claim, and making employees (including any Business
     Employees familiar with such Shared Claim) available on a mutually
     convenient basis to provide additional information and explanation of any
     such records and information;

                                      -84-
<Page>

        (ii) Purchaser and ABB will consult with each other and shall mutually
     agree on any significant strategic decisions in respect of any Shared
     Claim, and shall make appropriate and mutually agreeable arrangements with
     respect to day-to-day administration of any Shared Claim;

       (iii) Purchaser and ABB will consult with each other and shall mutually
     agree on any settlement, compromise or discharge of any Shared Claim;

        (iv) neither Purchaser nor ABB shall admit any liability with respect to
     or settle, compromise or discharge, any Shared Claim without the other
     party's prior written consent (which consent shall not be unreasonably
     withheld or delayed); and

         (v) with respect to any decisions under Paragraphs (ii) and (iii)
     above, if ABB and Purchaser cannot agree, the party with the greater share
     of the potential liability with respect to such Shared Claim shall make
     such decision.

10.13     OKG CONTRACT

          (a) Any payment of indemnity under Section 10.2(iii) shall be made
within sixty (60) days after approval by ABB of Purchaser's final statement on
the OKG Contract provided pursuant to Paragraph (c)(ii) below.

          (b) Purchaser shall, and shall cause its Affiliates to, use all
reasonable efforts to meet the contractual terms and conditions of the OKG
Contract.

          (c) Purchaser shall deliver to ABB (i) periodic statements, on a
quarterly basis no later than the 15th of the first calendar month in each
quarter after the Closing, setting out in reasonable detail such information on
the technical, financial, commercial and factual progress and status of the OKG
Contract as ABB may reasonably request (including but not limited to information
on costs incurred or expected to be incurred, realized or expected revenues and
any technical problems) and (ii) a final statement to be delivered promptly
after full performance (or termination) of the OKG Contract by the Purchaser
and/or its Affiliates as evidenced by the customer's final acceptance thereunder
(or appropriate evidence of termination thereof), setting out in reasonable
detail the calculation of the Actual OKG Loss incurred under the OKG Contract.
In addition, ABB and its accountants, counsel and other representatives (whose
costs shall be paid by ABB), once monthly at such times and in such manner as
may be agreed with Purchaser, shall have the right to meet with the project
manager and other key personnel involved in the execution of the OKG Contract
for purposes of receiving an in-depth status report and discussing efforts taken
by the Purchaser and/or its Affiliates with a view to securing

                                      -85-
<Page>

cost-effective performance and, where applicable, suitable remedial action under
the OKG Contract.

          (d) ABB and its counsel, and other representatives (whose costs shall
be paid by ABB) shall have access to the premises, properties, books, accounting
records and other documentation (including supporting contractual documentation)
and personnel of Purchaser and/or its Affiliates for the purpose of verifying
the statements submitted by Purchaser pursuant to Paragraph (c) above or
Purchaser's compliance with this Section 10.13.

          (e) Each party shall nominate one person, who shall be the main
contact person of such party for purposes of implementing the provisions of this
Section 10.13, and shall keep each other informed of the identity and address of
such person (including any replacements).

          (f) Whenever, pursuant to the last available report on the OKG
Contract, the project is in a projected loss position, ABB shall have the right
to offer consultancy support from the Automation Segment in the ABB Group in
addition to the support required to be provided to Purchaser pursuant to Section
7.20. Any such additional consulting support shall be provided at ABB's expense.
Purchaser shall procure that the NB Group gives due consideration to the advice
provided pursuant to such consulting support.

          (g) The provisions of this Section 10.13 shall apply from the Closing
until ABB has given its consent to the final report of Purchaser submitted
pursuant to Paragraph (c) above or the Actual OKG Loss has been determined
pursuant to the provisions of Article 11, as the case may be.

                                   ARTICLE 11

                               DISPUTE RESOLUTION

11.1.     AMICABLE RESOLUTION

          The parties will use their best efforts to resolve amicably any
dispute, controversy or claim arising out of or relating to this agreement, or
the breach, termination or invalidity thereof.

11.2.     ARBITRATION

          Except as otherwise provided for in Sections 2.5 and 10.11, any such
dispute, controversy or claim which cannot be settled amicably within thirty
(30) days of written notice by either party describing in reasonable detail the
dispute, controversy or claim, shall be settled

                                      -86-
<Page>

by arbitration in accordance with the then applicable arbitration rules of the
International Chamber of Commerce.

11.3.     PROCEDURE

          The arbitration provided for in Section 11.2 shall be held in London,
England and shall be conducted by three (3) arbitrators, of which each party
shall appoint one (1) arbitrator and the two (2) arbitrators thus appointed
shall appoint the presiding arbitrator. The language to be used in the
arbitration proceedings shall be English, unless otherwise agreed in writing by
the parties. The arbitrators shall give reasonably detailed justifications for
their award in any proceeding and the award shall be final and binding upon the
parties. The parties agree that the award of the arbitrators may be enforced by
any court having jurisdiction over the party against which the award has been
rendered or the assets of such party, wherever the same may be located.

11.4.     ONGOING OBLIGATIONS

          Upon and after the submission of any dispute to arbitration, the
parties shall continue to exercise their remaining respective rights, and fulfil
their remaining respective obligations, under this Agreement, except insofar as
the same may be related directly to the matters in dispute.

                                   ARTICLE 12

                               GENERAL PROVISIONS

12.1.     ANNOUNCEMENTS

          Unless disclosure is required by Applicable Law or stock exchange
regulations to be made by either party hereto, each party agrees to keep the
existence and content of this Agreement confidential and will make no public
announcement with respect thereto without the prior written approval of the
other party (such approval not to be unreasonably withheld or delayed). In the
event of any required disclosure, the relevant party shall provide advance
notice to and, to the extent practicable, shall coordinate the content, form and
manner of publication with the other party.

12.2.     COOPERATION

          Unless otherwise expressly provided in this Agreement, whenever the
parties are required to cooperate for any particular purpose hereunder, neither
party, nor their respective Affiliates, shall be required to make any material
monetary expenditure, commence or be a plaintiff

                                      -87-
<Page>

in any litigation or offer or grant any material accommodation or concession
(financial or otherwise) to any Person.

12.3.     ENTIRE AGREEMENT

          This Agreement, the Local Agreements, the Ancillary Agreements and the
confidentiality undertaking dated May 20, 1999 made by Purchaser in favor of ABB
and its Affiliates contain the entire understanding of the parties hereto with
respect to the subject matter contained herein and supersede and cancel all
prior agreements, negotiations, correspondence, undertakings and communications
of the parties, oral or written, respecting such subject matter, including
without limitation, the Letter Agreement, dated October 15, 1999, between ABB
Ltd. and British Nuclear Fuels plc. There are no restrictions, promises,
agreements or undertakings of any party hereto with respect to the Transaction
other than those set forth herein or made hereunder and in or under the Local
Agreements and the Ancillary Agreements.

12.4.     SEVERABILITY

          If at any time any provision of this Agreement is or becomes invalid,
illegal or unenforceable under Applicable Law of any jurisdiction, the validity,
legality and enforceability of the remainder of this Agreement in that
jurisdiction shall not be affected, and the validity, legality and
enforceability of the whole Agreement in any other jurisdiction shall not be
affected. In the event any provision is held in any proceeding pursuant to
Article 11 to be invalid, illegal or unenforceable, the parties shall replace
that provision with a new provision permitted by law and having an economic
effect as close as possible to the deficient provision.

12.5.     NO THIRD PARTY BENEFICIARIES

          This Agreement shall be directed and interpreted to the advantage of
the parties only and their permitted assignees, and no third Person shall obtain
any rights by virtue hereof.

12.6.     ASSIGNMENT

          Neither party may assign its rights or obligations under this
Agreement to any third Person without the prior written consent of the other
party, except that Purchaser may without the further consent of ABB assign to
one or more of Purchaser's Subsidiaries the right to acquire part or all of the
business and assets of the Business hereunder, together with the other rights of
Purchaser hereunder with respect thereto; PROVIDED that no such assignment shall
relieve Purchaser of any liability hereunder (including any liability under
Article 10) or affect any limitations on ABB's liability under Article 10;
PROVIDED FURTHER that, notwithstanding any such assignment (i) any claims by
Purchaser or its Subsidiaries for, or relating to, any indemnity under

                                      -88-
<Page>

this Agreement shall be brought by Purchaser, and not its Subsidiaries, and ABB
shall only be obligated to deal with Purchaser in connection with any such
claims; and (ii) ABB may seek any indemnity it may be entitled to under this
Agreement solely from Purchaser and without having first to seek indemnity from
any such Subsidiaries of Purchaser. If such assignment is made to more than one
Subsidiary of Purchaser, such Subsidiaries shall be deemed a single entity for
purposes of calculating the limitations on liability of ABB under Article 10.

12.7.     NOTICES

          All notices and other communications that are required or permitted to
be given under this Agreement shall be in writing and hand delivered or sent by
registered mail (return receipt requested) or confirmed facsimile to the
following addresses (which may be changed in writing by notice to the
appropriate address):

          If to ABB:

                ABB Handels- und Verwaltungs AG
                c/o ABB Ltd.
                PO Box 8131
                CH-8050 Zurich
                Switzerland
                Fax No.: +41 1 317 7992
                Attention: Dept. CS-LE

          with a copy to:

                White & Case
                7-11 Moorgate
                London EC2R 6HH
                England
                Fax No.:  +44 20 7600 7030
                Attention:  Mats Sacklen, Esq.
          If to Purchaser:

                British Nuclear Fuels plc
                Hinton House
                Risley, Warrington
                Cheshire WA3 6AS
                England

                                      -89-
<Page>

                Fax:    011-441-925-832058
                Attn:   Alvin J. Shuttleworth

                with a copy to:

                Westinghouse Electric Company
                4350 Northern Pike
                Energy Center
                Monroeville, PA  15146-2886
                Fax No.: (412) 374-6122
                Attn: Ramsey Coates

                and

                Sutherland Asbill & Brennan LLP
                1275 Pennsylvania Ave., N.W.
                Washington, D.C.  20004
                Fax No.:  (202) 637-3593
                Attn:     Mark D. Herlach

          Unless the contrary is proved, a notice to a party shall be deemed to
have been received (i) on the date of delivery, when the notice is delivered by
hand at that address to a responsible person during normal business hours; (ii)
within five (5) days from the date it was mailed, postage prepaid, when the
notice is sent by first class registered mail in a correctly addressed envelope
to the address specified above; and (iii) within four hours of transmission (if
the transmission occurs during the hours of 9:00 a.m. to 5:30 p.m. in the
location of the recipient) or within twelve (12) hours of transmission (if the
transmission occurs outside those hours), if the notice is transmitted by
facsimile at the facsimile number specified above; PROVIDED, in the case of
notices via facsimile, that the notice is also left or sent by pre-paid recorded
delivery or registered mail in accordance with item (i) or (ii) above no later
than three (3) days thereafter, or receipt is confirmed in writing at any time
by the recipient. Any notice or communication received on a day which is not a
business day shall be deemed to have been received on the immediately following
business day.

12.8.     GOVERNING LAW

          This Agreement shall be governed by, and construed in accordance with,
the laws of the State of New York applicable to contracts made and to be
performed entirely within the

                                      -90-
<Page>

State of New York (without regard to the laws that might otherwise govern under
applicable principles of conflict of laws).

12.9.     COSTS AND EXPENSES

          (a) All costs and expenses incurred in connection with the
preparation, negotiation and implementation of this Agreement and the
Transaction shall be borne by the party incurring such costs and expenses.

          (b) All stamp, transfer, documentary, sales and use, value added,
registration and other such Taxes and fees (including any penalties and
interest) and all notarial, registration and filing fees incurred in connection
with the Transaction shall be borne by Purchaser, and Purchaser shall, at its
own expense, procure any share transfer stamps required by Applicable Law, and
properly file on a timely basis all necessary Tax Returns and other
documentation with respect to such Tax and provide ABB with evidence of payment
of all such Taxes.

12.10.    FURTHER ASSURANCES

          Each party undertakes to take all steps to implement this Agreement
and to sign, or to have signed, from time to time all other documents necessary
or appropriate in order to fulfill the object of this Agreement and give full
effect to all of the provisions contained herein.

12.11.    COUNTERPARTS

          This Agreement may be executed (which execution may be via facsimile)
in two (2) or more counterparts, each of which shall be deemed to be an
original, but all the counterparts shall together constitute one (1) and the
same agreement. Unless otherwise provided herein, this Agreement shall be dated
and become effective, and each counterpart shall be dated, on the date on which
the last of the parties executes this Agreement or a counterpart of this
Agreement, as the case may be.

12.12.    PAYMENT OF INDEMNITIES

          ABB shall cause the relevant Seller(s) of Shares or Loans, or of
Additional Business Assets or Additional Business Liabilities, to make all
payments, if any, pursuant to any indemnity given by ABB in this Agreement
(including but not limited to the indemnities given by ABB in Section 7.9(g) and
Article 10).

                      [signature page immediately follows]

                                      -91-
<Page>

          IN WITNESS WHEREOF, each of the parties hereto has caused this
Agreement to be executed by its duly authorized representatives on the date
first set forth above.

     ABB HANDELS- UND VERWALTUNGS AG           BRITISH NUCLEAR FUELS plc

     By: /s/  Eric Lint                        By: /s/  John Taylor
         Name:                                     Name:  John Taylor
         Title:                                    Title: Chief Executive

     By: /s/  Hans Enhorning                   By: /s/  Alvin Shuttleworth
         Name:                                     Name:  Alvin Shuttleworth
         Title:                                    Title: Company Secretary
                                                   and Group Legal Director

                                      -92-

<Page>

                                                                  EXECUTION COPY

                                 FIRST AMENDMENT

                                     TO THE

                               PURCHASE AGREEMENT

            THIS FIRST AMENDMENT (this "FIRST AMENDMENT") is dated as of April
28, 2000 between:

            ABB HANDELS-UND VERWALTUNGS AG, a company organized and existing
      under the laws of Switzerland with its principal office at CH-8050 Zurich
      ("ABB"), and

            BRITISH NUCLEAR FUELS plc, a company organized and existing under
      the laws of England with its principal office at Risley, Warrington,
      Cheshire WA3 6AS, England ("Purchaser").

            Capitalized terms used herein and not otherwise defined herein shall
have the meaning as set forth in the Purchase Agreement (as defined below),
unless the context otherwise requires.

                                   WITNESSETH:

            WHEREAS, ABB and Purchaser are parties to a Purchase Agreement dated
December 21, 1999 (the "PURCHASE AGREEMENT"); and

            WHEREAS, the parties hereto desire to amend the Purchase
Agreement as provided herein;

            NOW, THEREFORE, in consideration of the mutual covenants contained
herein, it is hereby agreed as follows:

<Page>

                                    ARTICLE 1

                                   AMENDMENTS

1.1.  SECTION 1.1 (DEFINITIONS)

            (a) The defined term "NBSE" in Section 1.1 (Definitions) of the
Purchase Agreement is hereby amended by substituting "AB Cythere 62" for "ABB
Cynthere 62 AB".

            (b) The defined term "Non-Business Liabilities" in Section 1.1
(Definitions) of the Purchase Agreement is hereby amended by adding "; and (vi)
Liabilities arising in connection with ABB Monolit, Kharkov-664".

1.2.  SECTION 1.3 (INTERPRETATION)

            (a) Section 1.3 (Interpretation) of the Purchase Agreement is hereby
amended by inserting the following text at the end of paragraph (d):

            "and any amendments to this Agreement or such Annexes or
      Schedules"

            (b) Section 1.3 (Interpretation) of the Purchase Agreement is hereby
amended by adding a new paragraph (k) as follows:

            "(k) Whenever any reference is made in this Agreement to assets or
      properties consisting of real estate, such reference, for purposes of
      determining whether such real estate is primarily used, or held for use,
      in the Business, shall be deemed a reference to the entire legal unit of
      such real estate, including all land and all buildings, structures and
      other improvements located thereon forming part of such legal unit."

1.3.  SECTION 2.1 (SALE AND PURCHASE)

            Section 2.1(b) (Sale and Purchase) of the Purchase Agreement is
hereby amended by inserting the following text at the end of such paragraph (b):

            "; PROVIDED, HOWEVER, that (i) each of Erick Anckaert and Giorgio
      Cravato (each a "Temporary ABB Employee") shall continue as an employee of
      the relevant Affiliate of ABB after the Closing until (A) in the case of
      Erick Anckaert, June 30, 2000 or, at Purchaser's option exercised by
      written notice to ABB within sixty (60) days of the Closing, August 30,
      2000; or (B) in the case of Giorgio Cravato, December 31, 2000; (ii) ABB
      shall use all reasonable efforts to ensure that the services of each
      Temporary ABB Employee are made available to Purchaser and/or its
      Affiliates on a full-time basis

                                      -2-

<Page>

      throughout the relevant period; (iii) Purchaser shall promptly, and from
      time to time, reimburse the relevant Affiliate of ABB for any and all
      amounts paid or costs incurred by such Affiliate in providing
      compensation, social insurance, benefits and perquisites to any Temporary
      ABB Employee during such period at the levels prevailing at the Closing,
      with such increases as ABB and Purchaser may subsequently implement by
      mutual agreement; (iv) at or prior to the expiration of the relevant
      period referred to herein, Purchaser shall offer each Temporary ABB
      Employee employment with Purchaser and/or its Affiliates on terms,
      including but not limited to position and level of compensation, no less
      favorable to such Temporary ABB Employee than those then applicable and
      Purchaser shall assume all then existing employment-related obligations
      with respect to such Temporary ABB Employee; and (v) if Purchaser fails to
      offer employment to any Temporary ABB Employee as provided herein, then
      Purchaser shall, as and when paid by the relevant Affiliate of ABB,
      promptly indemnify such Affiliate against any and all costs and
      liabilities with respect to severance, separation or other compensation
      and benefits to which such Temporary ABB Employee is entitled upon
      termination of his employment with such Affiliate.

1.4.  SECTION 3.1 (CERTAIN TRANSFERS)

            (a) Section 3.1(b) (Certain Transfers) of the Purchase Agreement is
hereby amended by inserting the following text at the end of such paragraph (b):

            "; PROVIDED, HOWEVER, that, with respect to the transfer of the
      activities within the scope of the Business conducted by the US I&C Unit
      referred to in Paragraph (a) above, the transfer of all properties, assets
      goodwill and rights to be transferred and all Liabilities to be assumed
      may be effected by way of a dividend thereof from the US I&C Unit to Asea
      Brown Boveri Inc. and a subsequent contribution thereof by Asea Brown
      Boveri Inc to, and assumption thereof by, NBUS; PROVIDED FURTHER that no
      employees of ABB Utilities Automation GmbH dedicated to performing
      services at the Super Phenix nuclear power plant in France or at the
      Muelheim-Kaerlich nuclear power plant in Germany shall be offered
      employment with or transferred to NBDE."

            (b) Section 3.1(c) (Certain Transfers) of the Purchase Agreement is
hereby amended by inserting the following text after the word "purchase
agreement" in the third line of such paragraph (c):

            ", contribution agreement or other appropriate agreement"

                                      -3-

<Page>

1.5.  NEW SECTION 3.4 (TRANSFER OF CERTAIN PERSONNEL)

            A new Section 3.4 is hereby added to the Purchase Agreement as
follows:

            "3.4  TRANSFER OF CERTAIN PERSONNEL

            (a) ABB shall use all reasonable efforts to ensure that, prior to
      the Closing, all employees listed on SCHEDULE 3.4(a) hereto are
      transferred to the Swedish Unit and all Liabilities in relation to such
      employees are assumed by the Swedish Unit. If, within twenty-four (24)
      months of the Closing, the Purchaser, acting reasonably, determines that,
      in view of the order intake and backlog situation of the Swedish Unit at
      the time, it is probable that, in the short to medium term, it will not be
      able to keep one or more of such employees gainfully employed within the
      Swedish Unit in a position commensurate with their experience, credentials
      and compensation level and provides written notice to such effect to ABB,
      then ABB shall, at its option, exercised by written notice to Purchaser
      within thirty (30) days of receipt of Purchaser's notice, either (i) cause
      one of its Affiliates to offer employment to and, upon acceptance of such
      offer, employ each such employee; or (ii) reimburse Purchaser for fifty
      (50) percent of all severance payments actually made by the Swedish Unit
      to such employees in connection with the termination of their employment
      with the Swedish Unit; PROVIDED that such employees are given written
      notice of termination (with a copy to ABB) within sixty (60) days of the
      expiration of said 30-day period; PROVIDED FURTHER that such severance
      payments are no greater than the severance payments that would have been
      payable to such employees by ABB or its Affiliates had such employees been
      terminated from their present positions instead of transferred to the
      Swedish Unit (subject to reasonable additional payments based solely on
      customary and reasonable salary increases and additional service in the
      ordinary course for such employees prior to their termination by the
      Swedish Unit). If ABB fails to provide timely notice of its election to
      offer employment or reimburse severance payments pursuant to the
      immediately preceding sentence or if one or more employees of the Swedish
      Units are offered employment by an Affiliate of ABB in Sweden as provided
      in the previous sentence, but reject such offer, ABB shall be deemed, on
      the conditions of such sentence, to have chosen to reimburse Purchaser for
      severance payments incurred by the Swedish Unit.

            (b) ABB shall use all reasonable efforts to ensure that, prior to
      the Closing, all employees listed on SCHEDULE 3.4(b) hereto are
      transferred to NBDE and all Liabilities in relation to such employees are
      assumed by NBDE.

            (c) In the event the employees to be transferred pursuant to
      Paragraph (a) or (b) above have not been so transferred by the Closing,
      the parties will use all reasonable efforts

                                      -4-

<Page>

      to ensure that they are transferred as provided therein as soon as
      reasonably possible thereafter."

1.6.  SECTION 7.1(c) (CONDUCT OF BUSINESS)

            Section 7.1(c) (Conduct of Business) of the Purchase Agreement is
hereby amended by deleting the second sentence in such Section 7.1(c) and
replacing it with the following:

            "The instructions to the Reviewing Firm shall be substantially in
      the form as set forth in ANNEX 9 hereto."

1.7.  SECTION 7.7 (SHARED ASSETS)

            Section 7.7 (Shared Assets) of the Purchase Agreement is hereby
amended by adding a new paragraph (d) as follows:

            "(d) For purposes of Section 7.7(c), German patent number 4434284.2,
      German patent number 19525907.6, German patent number 19828446.2 and
      German trademark for "Unibloc" shall be deemed to be Intellectual Property
      of ABB and/or its Affiliates which do not form part of the Business, but
      which are also used or held for use in, or otherwise relate to, the
      Business."

1.8.  SECTION 7.10 (NO USE OF TRADEMARKS)

            Section 7.10 (No Use of Trademarks) of the Purchase Agreement is
hereby amended by adding a new paragraph (f) as follows:

            "(f) As soon as reasonably possible after the Closing, ABB shall
      cause its relevant Affiliate to enter into a license agreement with NBDE
      pursuant to which NBDE will be granted a non-exclusive license to use the
      trademarks "Hartmann & Braun" and "H&B" solely in connection with (i) the
      design, manufacture and sale of products by the instrumentation and
      control unit of NBDE currently located in Munich, Germany to customers in
      Germany, France, Belgium and Switzerland for use in nuclear powered
      electric generating facilities, nuclear processing facilities or nuclear
      test facilities (collectively, "Nuclear Installations") in such countries,
      to the extent such products are of a kind designed, manufactured and sold
      by such unit as of the Closing, and any and all successor products
      designed, manufactured and sold by such unit at any time thereafter during
      the term of the license to customers in Germany, France, Belgium and
      Switzerland for use in Nuclear Installations in such countries; and (ii)
      the provision of services by the instrumentation and control unit of NBDE
      currently located in Frankfurt, Germany at

                                      -5-

<Page>

      Nuclear Installations in Germany, to the extent such services are of a
      kind provided by such unit as of the Closing. Apart from terms and
      conditions customarily found in license agreements of the kind
      contemplated by this Section 7.10(f), the license agreement to be entered
      into pursuant hereto shall (x) have a term of fifteen (15) years, but
      shall be terminable by NBDE in whole or in part at any time upon ninety
      (90) days' prior written notice; (y) except for the first year of the
      license, which shall be royalty-free, provide for a royalty, payable
      quarterly, at the rate of two (2) percent of the aggregate net sales of
      the instrumentation and control units referred to above under the
      tradename "Hartmann & Braun" or "H&B"; (z) require NBDE to apply, in a
      prominent fashion, to all licensed products, and all promotional,
      packaging, advertising and similar matter relating to licensed products or
      services, a notice that the trademark in question is used under license
      from the relevant Affiliate of ABB, the word "nuclear" or a similar
      designation clearly indicating the business in which such trademark is
      used and such other notices and designations as ABB may reasonably
      request."

1.9.  SECTION 7.15 (INSURANCE)

            Section 7.15 (Insurance) of the Purchase Agreement is hereby amended
by adding a new paragraph (c), a new paragraph (d) and a new paragraph (e) as
follows:

            "(c) Without limiting the generality of Paragraphs (a) and (b)
      above, but subject to Paragraph (e) below, Purchaser agrees that, as from
      the Closing, it will maintain the nuclear property insurance coverage
      written by Hartford Steam Boiler Inspection & Insurance Co. ("HSB") then
      in effect with respect to the Hematite Site and the Windsor Site or
      equivalent coverage, provided that Purchaser shall promptly provide ABB
      with copies of such policy(s). As from the Closing, ABB and/or its
      Affiliates separately designated to Purchaser in writing prior to the
      Closing and Combustion Engineering, Inc., ABB Alstom Power Inc. and ABB
      Alstom Power NV (but only with respect to their ownership interest in
      Combustion Engineering, Inc. and only until Combustion Engineering Inc. is
      acquired by ABB and/or its Affiliates) shall be provided with additional
      insured status (including, in the case of Combustion Engineering, Inc.,
      its rental income exposure in relation to the Windsor Lease (as defined in
      Section 7.21(b)) and a waiver of subrogation under the nuclear property
      policy with respect to the Windsor Site in accordance with the current
      terms and conditions thereof.

            (d) Without limiting the generality of Paragraphs (a) and (b) above,
      but subject to Paragraph (e) below, ABB agrees that, as from the Closing,
      it will maintain the facility form policy and worker certificates then in
      effect covering the operations at the Windsor Site and any obligations or
      liabilities under the applicable NRC license. As from the

                                      -6-

<Page>

      Closing, a Person separately designated by Purchaser in writing to ABB
      prior to the Closing shall be provided with additional insured status
      under such insurance coverage until such Person ceases to hold a broad
      scope radioactive materials NRC license to conduct operations at the
      Windsor Site. ABB shall make all reasonable efforts to assign, or cause
      its Affiliates to assign, as from the Closing, the facility form policies
      and worker certificates then in effect covering the operations at the
      Hematite Site and the site at 1201 River Front Parkway, Chattanooga,
      Tennessee, U.S.A., respectively, to one or more Persons designated by
      Purchaser in writing to ABB prior to the Closing (it being understood that
      the omnibus insured provisions under such policies, as written, will
      continue to protect ABB and any other insured entity who may be legally
      liable, in accordance with the terms and conditions of such policies and
      certificates). It is understood that ABB and/or its Affiliates plan to
      maintain their current suppliers and transporters nuclear liability form,
      but that neither Purchaser nor any of its Affiliates will be covered in
      any way thereunder.

            (e) Neither party, nor any of its Affiliates, shall cancel, fail to
      renew, reduce or otherwise allow to lapse any insurance coverage afforded
      to the other party and/or its Affiliates pursuant to Paragraphs (c) or (d)
      above without providing such other party with at least ninety (90) days
      prior written notice and will make all reasonable efforts to secure from
      the insurer an undertaking to provide such prior notice; PROVIDED that,
      with respect to the nuclear property insurance coverage required to be
      maintained by Purchaser with respect to the Windsor Site pursuant to
      Paragraph (c) above, the policy shall be maintained at least throughout
      the short-term tenancy of NBUS pursuant to Section 7.2 1(c). Unless
      otherwise agreed between the parties, each party and/or its Affiliates
      shall have the right to be reimbursed for any additional premiums due
      under the nuclear property and nuclear liability insurances (including but
      not limited to facility form policies and worker certificates) maintained
      by them pursuant to Paragraphs (c) and (d) above to the extent such
      additional premiums arise from the inclusion of the other party and/or its
      Affiliates as additional insureds."

1.10. SECTION 7.21 (JV SERVICES AND LEASES)

            (a) Section 7.21(b) (IV Services and Leases) of the Purchase
Agreement is hereby amended by inserting the following text at the end of the
first sentence of such paragraph (b):

            "; PROVIDED THAT if ABB and/or its Affiliates, directly or
      indirectly, acquire ownership to the Windsor Site at any time after the
      Closing, the Windsor Lease shall, as from the date of such acquisition, be
      substantially in the form of ANNEX 10 hereto."

                                      -7-

<Page>

            (b) Section 7.21(b) (IV Services and Leases) of the Purchase
Agreement is hereby amended by inserting the following text at the end of such
paragraph (b):

            "Subject to the provisions of Section 10.3 (b),(f) and (h), which
      shall apply mutatis mutandis to indemnification under this sentence,
      Purchaser agrees to indemnify ABB and its Affiliates, and their respective
      officers, directors, employees, agents and representatives, against, and
      agrees to hold them harmless from, (i) any and all Losses arising from
      personal injury or property damage to the extent caused by or resulting
      from the occupation and use of the Windsor Site by Purchaser and/or its
      Affiliates; and (ii) any and all Losses in respect of Windsor Site
      Environmental Liabilities if ABB proves that (A) such Windsor Site
      Environmental Liabilities were caused by the operation of Purchaser and/or
      its Affiliates of any facilities at the Windsor Site during their tenancy
      at the Windsor Site in accordance with Section 7.2 1(b) and (c); and (B)
      such Windsor Site Environmental Liabilities caused by Purchaser and/or its
      Affiliates will increase ABB's cost of Remedial Action or its
      Decontamination and Decommissioning Liabilities."

            (b) Section 7.21(c) (IV Services and Leases) of the Purchase
Agreement is hereby amended by inserting the following text at the end of
paragraph (c):

            "Notwithstanding the foregoing, ABB and Purchaser agree that, if NRC
      approval for the actions has then been obtained, at the Closing, Material
      License 06-00217-06 and Special Nuclear Materials License SNM-1067
      currently held by NBUS with respect to operations at the Windsor Site
      shall be transferred to ABB Prospects Inc. and NBUS shall obtain a new
      broad scope radioactive materials license, which shall enable NBUS to
      conduct operations at the Windsor Site as currently conducted."

1.11. NEW SECTION 7.23 (TRANSFER OF TENDER)

            A new Section 7.23 is hereby added to the Purchase Agreement as
follows:

            "7.23  TRANSFER OF TENDER

            At or prior to the Closing, the relevant Affiliate of ABB shall
      assign to a company in the NB Group all rights, and such company in the NB
      Group shall assume all obligations, under the tender for the supply of
      instrumentation and control equipment for a water treatment plant at
      Barsebaeck, Sweden disclosed to Purchaser prior to the Closing and any
      contract relating thereto shall be entered into by Purchaser and/or its
      Affiliates"

                                      -8-

<Page>

1.12. NEW SECTION 7.24 (TRANSFER OF AECL COMMITMENTS)

            A new Section 7.24 is hereby added to the Purchase Agreement as
follows:

            "7.24  TRANSFER OF AECL COMMITMENT

            As soon as reasonably possible after the Closing, ABB and Purchaser
      will jointly approach Atomic Energy of Canada Limited ("AECL") with a view
      to obtaining AECL's consent to transfer all obligations of ABB and/or its
      Affiliates under the documents attached as Appendix B to the
      Non-Competition Agreement and each of ABB and Purchaser will use all
      reasonable efforts (without expenditure, in the aggregate, of any material
      sum) to effect such transfer."

1.13. NEW SECTION 7.25 (TRANSFER OF HTR)

            A new Section 7.25 is hereby added to the Purchase Agreement as
follows:

            "7.25  TRANSFER OF HTR

            ABB and Purchaser shall use all reasonable efforts to obtain, as
      soon as possible after the Closing, all third-party consents required for
      the relevant Affiliate of ABB to sell and transfer its participation in
      HTR GmbH to NBDE and, upon receipt of all such consents, promptly cause
      the sale and purchase to be completed in accordance with this Section
      7.25. If such sale and purchase is completed prior to the delivery of the
      Final Audit Report, then the purchase price, payable at completion, shall
      be an amount equal to the book value of the shareholders' equity of HTR
      GmbH attributable to the participation being sold and purchased and the
      transaction shall be accounted for in the Final Audit Report as if it had
      been completed prior to the Closing. If such sale and purchase is not
      completed prior to the delivery of the Final Audit Report, but is
      consummated by December 31, 2001, then the purchase price, payable at
      completion, shall be an amount, if any, that would achieve the same
      economic result for ABB and Purchaser and their respective Affiliates as
      if the transaction had been completed prior to such delivery in accordance
      with the previous sentence. If such sale and purchase is not completed
      prior to December 31, 2001, then neither party shall have any further
      obligation to consummate such transaction. The sale and purchase referred
      to in this Section 7.25 shall be effected pursuant to a purchase agreement
      between the relevant Affiliate of ABB on the one hand and NBDE on the
      other hand, which agreement shall include a warranty by such Affiliate
      that it has taken all corporate action required to authorize the
      transaction and that it is the owner of the participation being sold and
      purchased, free and clear of all Encumbrances. No other warranties shall
      be given by such Affiliate of ABB."

                                      -9-

<Page>

1.14. NEW SECTION 7.26 (TECHNOLOGY CUSTODY)

            A new Section 7.26 is hereby added to the Purchase Agreement as
follows:

            "7.26  CUSTODY OF TECHNOLOGY

            It is understood that ABB and/or its Affiliates have used, or may
      need to use, certain pieces of Technology of the NB Group to produce
      certain hardware and software products for the NB Group and that ABB
      and/or its Affiliates therefore have had, or may need to have, possession
      of such Technology. ABB and/or its Affiliates shall maintain, or shall be
      given, possession of the relevant Technology of the NB Group that ABB
      and/or its Affiliates require solely for the production of products, parts
      or services for the NB Group ("NB Group Technology") for as long as they
      continue to produce any such products, parts or services and Purchaser
      hereby grants, and will cause the NB Group to grant, to ABB and/or its
      Affiliates a license to use the NB Group Technology for the limited
      purpose of producing products, parts and services for the NB Group as
      directed by the NB Group and only for so long as the NB Group deems it
      necessary. The NB Group shall at all times have access to the NB Group
      Technology and, upon the request in writing by Purchaser, ABB and/or its
      Affiliates shall deliver the NB Group Technology to the NB Group or, at
      the expense of the NB Group, otherwise dispose of the NB Group Technology
      as directed by the NB Group."

1.15. SECTION 1 0.2(iv) (ADDITIONAL INDEMNIFICATION BY ABB)

            Section 10.2(iv) (Additional Indemnification by ABB) to the Purchase
Agreement is hereby amended by deleting the clause which begins "PROVIDED,
HOWEVER" and replacing it with the following:

            "PROVIDED, HOWEVER, that ABB shall not have any Liability for (A)
      any and all Losses arising from personal injury or property damage to the
      extent caused by or resulting from the occupation and use of the Windsor
      Site by Purchaser and/or its Affiliates, or (B) any and all Losses in
      respect of Windsor Site Environmental Liabilities if ABB proves that such
      Windsor Site Environmental Liabilities were caused by the operation of
      Purchaser and/or its Affiliates of any facilities at the Windsor Site
      during their tenancy at the Windsor Site in accordance with Section 7.2
      1(b) and (c);"

                                      -10-

<Page>

1.16. NEW SECTION 12.13 (WAIVER OF IMMUNITY)

            A new Section 12.13 is hereby added to the Purchase Agreement as
follows:

            "12.13  WAIVER OF IMMUNITY

            To the extent that Purchaser or any of its assets has or hereafter
      may acquire any right of immunity, whether characterized as sovereign
      immunity or otherwise, from any legal proceeding of any kind to enforce or
      collect upon any obligation of Purchaser under this Agreement or in
      connection with the transactions contemplated hereby, including, without
      limitation, immunity from service of process, immunity from execution of a
      judgment and immunity of any of its property from attachment prior to the
      entry of judgment, Purchaser hereby expressly and irrevocably waives all
      such immunity."

1.17. NEW ANNEX 9 (REVIEWING FIRM INSTRUCTIONS)

            Pursuant to the amendment herein of Section 7.1(c), a new Annex 9,
in the form attached hereto, is hereby added to the Purchase Agreement.

1.18. NEW ANNEX 10 (WINDSOR LEASE)

            Pursuant to the amendment herein of Section 7.21(b), a new Annex 10,
in the form attached hereto, is hereby added to the Purchase Agreement.

1.19. SCHEDULE 1.1(3) (ADDITIONAL BUSINESS EMPLOYEES)

            (a) Schedule 1.1(3) (Additional Business Employees) to the Purchase
Agreement is hereby amended by adding the following new employee information:

            "China             Li Zhao Hui       ABB China Holding"

            (b)   Schedule 1.1(3) (Additional Business Employees) to the
Purchase Agreement is hereby amended by deleting the following reference:

            "France            Gilbert Tomasino  FRABB Holding

1.20. SCHEDULE 2.3 (ALLOCATION OF PURCHASE PRICE)

            Schedule 2.3 (Allocation of Purchase Price) to the Purchase
Agreement is hereby amended by substituting "US $ 186,900,000" for "US $
187,000,000" as the allocation for NBSE (including the Swedish Unit) and by
adding "Additional Business Assets/Liabilities in Belgium - US $ 100,000" as
the last item of that Schedule.

                                      -11-

<Page>

1.21. SCHEDULE 3.101(i) (EXCLUDED ASSETS)

            (a) Schedule 3.1(b)(i) (Excluded Assets) to the Purchase Agreement
is hereby amended by deleting the word "and" at the end of paragraph (iii)
therein and by replacing the period at the end of paragraph (iv) therein with a
semicolon.

            (b) Schedule 3.1(b)(i) (Excluded Assets) to the Purchase Agreement
is hereby amended by inserting new paragraphs (v), (vi) and (vii) as follows:

            "(v) except for cash and cash equivalents actually transferred to
      the NB Group by ABB and/or its Affiliates, in their discretion, in
      connection with the Pre-Closing Reorganization, cash and cash equivalents;

            (vi) the loan from ABB Reaktor GmbH to Asea Brown Boveri AG in the
      outstanding principal amount of DEM 101.4 million, together with all
      interest, if any, accrued thereon; and

            (vii) all rights and benefits under all agreements and
      contracts referred to in Section 1 .2(b)(v) of the Non-Competition
      Agreement."

1.22. NEW SCHEDULE 3.4(a) (TRANSFER OF PERSONNEL TO SWEDISH UNIT)

            Pursuant to the addition herein of Section 3.4 (Transfer of Certain
Personnel), a new Schedule 3.4(a) is hereby added to the Purchase Agreement as
follows:

            "                                        SCHEDULE 3.4(a)

                     TRANSFER OF PERSONNEL TO SWEDISH UNIT

             EMPLOYEE NUMBER       LAST NAME         FIRST NAME

               637696              ALFVEN            MIKAEL
               247553              EKLUND            STIG
               438111              HARVISALO         RISTO
               100773              HELM              ANDERS
               371238              HJQRT             PIA
               623946              HULTMAN           KJELL
               762431              KJELLBERG         INGER
               363839              KOPSELL           ANN-CHRISTIN
               999512              LADVALL           ERLAND
               637939              LARSSQN           NICLAS
               242438              PERSSON           LARS

                                      -12-

<Page>

               242772              RAGNSATER         LEIF
               949183              RQGNE             HANS
               670952              ROSQVIST          LARS
               621455              SALONPAA          PENTTI
               101371              SJOBERG           MAGNUS
               338567              STRIDH            BIRGITTA
               904937              STAHLBERG         JOHANNA
               682845              SVANBACK          ELIZABET
               683329              SVENSSON          GORAN
               637513              THUDIN            MICHAEL
               100552              WIECHEL           HENRIK G B
               252077              WISEN             ERIK
               236781              AKERBLOM          EVA

1.23. NEW SCHEDULE 3.4(b) (TRANSFER OF PERSONNEL TO NBDE)

            Pursuant to the addition herein of Section 3.4 (Transfer of Certain
Personnel), a new Schedule 3.4(b) is hereby added to the Purchase Agreement as
follows:

            "                                        SCHEDULE 3.4(b)

                         TRANSFER OF PERSONNEL TO NBDE

            France             Gilbert Tomasino  FRABB Holding
            France             Cyril Fiaux
            France             Roland Kuijer
            France             Claude Bianchi

1.24. SCHEDULE 5.1(c) (SUBSIDIARIES OF NBDE)

            Schedule 5.1(c) (Subsidiaries of NBDE) to the Purchase Agreement is
hereby amended by adding the following new entry:

            "Kontec Gessellschaft fur Technische Kommunikation GmbH (80%
      owned by Hansa Projekt Analgentechnik GmbH)"

1.25. SCHEDULE 5.11 (MATERIAL CONTRACTS)

            (a) Schedule 5.11 (Material Contracts) to the Purchase Agreement is
hereby amended by replacing the entry "Contract related to the acquisition of
Hansa Projekt Anlagentechnik, GmbH" with the following:

                                      -13-

<Page>

            "Shareholders Agreement between ABB Reaktor GmbH and Hansa Projekt
      Anlagentechnik GmbH, Hamburg, dated January 31, 1996"

            (b) Schedule 5.11 (Material Contracts) to the Purchase Agreement is
hereby amended by replacing the entry "Contract for the provision of Technology
Transfer and License Agreement with ESKOM, South Africa" with the following:

            "Agreement between HTR-GmbH, ABB Reaktor GmbH and Siemens dated June
      30, 1999 regarding the HTR-Technology Transfer and License Agreement,
      dated March 12, 1999, between HTR-GmbH and ESKOM, South Africa"

            (c) Schedule 5.11 (Material Contracts) to the Purchase Agreement is
hereby amended by adding the following after the entry "Shareholders Agreement
between ABB Reaktor GmbH and Hansa Projekt Anlagentechnik GmbH, Hamburg, dated
January 31, 1996" introduced pursuant to Paragraph (a) above:

            "Addendum No. 1 of 17.4.1989 to agreement between ABB
      Hochtemperaturreaktorbau GmbH ("DEHRB"), subsequently merged into
      ABB Reaktor GmbH, and General Atomic.

            Right of the German Government to use and right of the German
      Government to be paid by DEHRB in relation to HTR know how subsidized by
      the Government.

            License of DEHRB to General Atomic for HTR know-how of January 11,
      1973 [expired 1993, but with royalty-free right for General Atomic to use
      know-how after expiration].

            License of General Atomic to DEHRB for HTR know-how of January 11,
      1973 [expired 1993, but with royalty-free right for DEHRB to use know-how
      after expiration].

            License of DEHRB to GHT (Siemens) for HTR know-how of 1976/1979
      [expired 1996, but with royalty-free right for GHT to use know-how after
      expiration]

            Agreement of GHT, DEHRB, KFA (public research institute), Nukem and
      Sigri for the establishment of the association for the development of an
      HTR of 1979/1980 [expired 1997, but with royalty-free right of each party
      to use know-how after expiration].

            Consortium Agreement of GHT, DEHRB and KFA regarding the
      exploitation of the HTR know-how (KVGH) of 2.9.1980 [expired 1994, but
      royalty-free right of each party to use know-how after expiration].

                                      -14-

<Page>

1.26. SCHEDULE 7.6(h) (STAY BONUSES)

            Schedule 7.6(h) (Stay Bonuses) to the Purchase Agreement is hereby
amended by deleting it in its entirety and replacing it with the following:

            "                                        SCHEDULE 7.6(h)

                                      STAY BONUSES

            The following people shall be the subject of the stay bonuses
      contemplated by Section 7.6(h):

            1.    Mike Barnoski
            2.    Per Brunzell
            3.    William Gill
            4.    Jim McConnell
            5.    Regis Matzie
            6.    Peter Wirtz
            7.    Gil Page
            8.    Robert Schumacher
            9.    Sigvard Junkrans
            10.   P.O. Waessman
            11.   Arnoud Houllemare
            12.   Al Spinnell
            13.   Sverre Haukeland
            14.   Jim Viers
            15.   Ken Scarola
            16.   Robert Bell
            17.   Lars Eriksson
            18.   Ernie Kennedy
            19.   D.H. Chung
            20.   Gavin Liu
            21.   Satya Pati
            22.   Anard Garde
            23.   Rick Maurer
            24.   Dave Stepnick
            25.   Darrell Weber
            26.   Johan Hallen

                                      -15-

<Page>

            27.   Eva Hallden
            28.   Derek Ebeling-Koning
            29.   Rolondo Perez
            30.   Tom Rozek
            31.   Arno Vogelbacher
            32.   Franz Poetz"

                                    ARTICLE 2

                                  MISCELLANEOUS

2.1.  SCOPE OF AMENDMENTS

            This First Amendment is limited as specified and shall not
constitute a modification or waiver of any of the other provisions of the
Purchase Agreement which shall continue in full force and effect except as
provided herein.

2.2.  REFERENCES

            From and after the date hereof, all references to the Purchase
Agreement shall be deemed to be references to the Purchase Agreement as amended
hereby.

2.3.  COUNTERPARTS

            This First Amendment may be executed in any number of counterparts,
and this has the same effect as if the signatures on the counterparts were on a
single copy of this First Amendment.

2.4.  GOVERNING LAW

            This First Amendment shall be governed by, and construed in
accordance with, the laws of the State of New York applicable to contracts made
and to be performed entirely within the State of New York (without regard to the
laws that might otherwise govern under applicable principles of conflict of
laws).

2.5.  INCORPORATION BY REFERENCE

            Article 11 (Dispute Resolution) and Sections 12.4 (Severability),
12.6 (Assignment), 12.7 (Notices), 12.9 (Costs and Expenses) and 12.10 (Further
Assurances) of the Purchase Agreement are hereby incorporated, mutatis mutandis,
by reference.

                                      -16-

<Page>

            IN WITNESS WHEREOF, each of the parties hereto has caused this First
Amendment to be executed by its duly authorized representatives on the date
first set forth above.

ABB HANDELS-UND VERWALTUNGS AG             BRITISH NUCLEAR FUELS plc
By: /S/  HANS ENHORNING                    By: /S/  RAMSAY COATES

Name:   Hans Enhorning                     Name:  Ramsay Coates

Title:  VP                                 Title:

By: /s/  G.K. PRIEST                       By: /s/  IAN DUNCAN

Name:   A.K. Priest                        Name:  Ian Duncan

Title:  VP                                 Title:

                                      -17-

<Page>

                                                                  EXECUTION COPY

                                SECOND AMENDMENT

                                     TO THE

                               PURCHASE AGREEMENT

            THIS SECOND AMENDMENT (this `SECOND Amendment") is dated as of
November 10,2000 between:

            ABB HANDELS- UND VERWALTUNGS AG, a company organized and existing
      under the laws of Switzerland with its principal office at CH-8050 Zurich
      ("ABB"), and

            BRITISH NUCLEAR FUELS plc, a company organized and existing under
      the laws of England with its principal office at Risley, Warrington,
      Cheshire WA3 6AS, England ("PURCHASER")

            Capitalized terms used herein arid not otherwise defined herein
shall have the moaning as set forth in the Purchase Agreement (as defined
below), unless the context otherwise requires.

                                   WITNESSETH:

            WHEREAS, ABB and Purchaser are parties to a Purchase Agreement dated
December 21, 1999 (the "PURCHASE AGREEMENT"); and

            WHEREAS, the parties hereto desire to amend the Purchase
Agreement as provided herein;

            NOW, THEREFORE, in consideration of the mutual covenants contained
herein, it is hereby agreed as follows:

<Page>

                                    ARTICLE 1

                                    AMENDMENT

            SECTION 2.5 (CLOSING AUDIT REPORT; DISPUTES)

            The period of sixty (60) days referred to in Section 2.5. (d) is
hereby replaced by a period of ninety (90) days.

            INCORPORATION BY REFERENCE

            Article 11 (Dispute Resolution) and Sections 12.4 (Severability).
12.6 (Assignment), 12.7 (Notices), 12.9 (Costs and Expenses) and 12.10 (Further
Assurances) of the Purchase Agreement are hereby incorporated, mutatis mutandis,
by reference.

            IN WITNESS WHEREOF, each of the parties hereto has caused this
SECOND Amendment to be executed by its duly authorized representatives on the
date first set forth above.

ABB HANDELS-UND VERWALTUNGS AG             BRITISH NUCLEAR FUELS plc

By: /s/HANS ENHORNING                      By: /s/RAMSAY COATES

Name:   Hans Enhorning                     Name:  Ramsay Coates

Title:  Vice President                     Title:     Vice President and
                                                      Chief Financial Officer

By:                                        By:

Name:                                      Name:

Title:                                     Title:

                                      -2-

<Page>

                                 THIRD AMENDMENT

                                     TO THE

                               PURCHASE AGREEMENT

            THIS THIRD AMENDMENT (this "THIRD AMENDMENT') is dated as of
November 29, 2000 between:

            ABB HANDELS-UND VERWALTUNGS AG, a company organized and existing
      under the laws of Switzerland with its principal office at CH-8050 Zurich
      ("ABB"), and

            BRITISH NUCLEAR FUELS plc, a company organized and existing under
      the laws of England with its principal office at Risley, Wanington,
      Cheshire WA3 6AS, England ("PURCHASER").

            Capitalized terms used herein and not otherwise defined herein shall
have the meaning as set forth in the Purchase Agreement (as defined below),
unless the context otherwise requires.

                                   WITNESSETH:

            WHEREAS, ABB and Purchaser are parties to a Purchase Agreement dated
December 21, 1999 (the `Purchase Agreement'); and

            WHEREAS, the parties hereto desire to amend the Purchase
Agreement as provided herein;

            NOW, THEREFORE, in consideration of the mutual covenants contaihed
herein, It Is hereby agreed as follows:

<Page>

                                    ARTICLE 1

                                    AMENDMENT

            SECTION 2.5 (CLOSING AUDIT REPORT; DISPUTES)

            Annex 1 hereto Is hereby confirmed by both parties as the final and
binding resolution to the dispute between them over Purchaser's Objection Notice
to the Closing Audit Report. Annex 1 thus constitutes the Final Audit Report in
accordance with Section 2.5 0) of the Purchase Agreement Pursuant to the Final
Audit Report the Actual Deficiency Amount is USD29,330,000.

            MINDEN CONTRACTS

            It is hereby agreed that the Minden contracts specified in Annex 2
hereto shall be treated in all respects as contracts fisted on, and are hereby
added to, the fist of contracts contained in Appendix A to the Non-Competition
Agreement, and accordingly shall not form part of the assets transferred to
Purchaser under the Purchase Agreement. Any obligations or liabilities under
such Minden contracts shall constitute Non-Business Liabilities for purposes of
the Purchase Agreement It is further agreed that the exclusion of such Minden
contracts shall not affect the Actual Equity and Actual Working Capital, but are
instead the subject of arrangements agreed in Germany by German Affiliates of
the parties. ABB and the Purchaser further agree that the Agreement between them
dated April 28,2000, to enter into a definitive agreement embodying the terms of
the Memorandum of Understanding between ABB Reaktor GmbH and ABB Utility
Automation GmbH is hereby rescinded effective as of April 28,2000.

            DISPUTED ITEM IN GERMANY

            Purchaser confirms that it has procured that full payment has been
made by NBDE to ABB Utility Automation GmbH in respect of an amount of Euro
4'661'000 in satisfaction of NBDE's non-trade payable to ABB Utility Automation
GmbH.

            OTHER ISSUES

            This THIRD Amendment shall not be construed as dealing with any
issue or dispute between the parties or their respective Affiliates other than
as explicitly set out herein.

            INCORPORATION BY REFERENCE

            Article 11 (Dispute Resolution) and Sections 12.4 (Severability),
12.6 (Assignment), 12.7 (Notices), 12.9 (Costs and Expenses) and 12.10 (Further
Assurances) of the Purchase Agreement are hereby incorporated, mutatis mutandis,
by reference.

                                      -2-

<Page>

            IN WITNESS WHEREOF, each of the parties hereto has caused this THIRD
Amendment to be executed by its duly authorized representatives on the date
first set forth above.

ABB HANDELS-UND VERWALTUNGS AG             BRITISH NUCLEAR FUELS plc

By: /s/  Hans Enhorning                    By: /s/  Ramsay Coates

Name:   Hans Enhorning                     Name:  Ramsay Coates

Title:                                     Title:

By: /s/  Grant Kenneth Priest              By:

Name:   Grant Kenneth Priest               Name:

Title:                                     Title:

                                      -3-<Page>

                                                                     EXHIBIT 4.3

[CLIFFORD CHANCE LOGO]                             LIMITED LIABILITY PARTNERSHIP

                               Dated 25 April 2002

                                     ABB LTD

                         CERTAIN SUBSIDIARIES OF ABB LTD
                           as Borrowers and Guarantors

                                      with

                                BARCLAYS CAPITAL
                           CREDIT SUISSE FIRST BOSTON
                     SALOMON BROTHERS INTERNATIONAL LIMITED
                           as Mandated Lead Arrangers

                                       and

                           CREDIT SUISSE FIRST BOSTON
                            acting as Facility Agent

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

                               AMENDMENT AGREEMENT
                                  RELATING TO A
                    MULTI-CURRENCY REVOLVING CREDIT AGREEMENT
                             DATED 18 DECEMBER 2001

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

<Page>

THIS AGREEMENT is dated 25 April 2002 and made between:

(1)     ABB LTD, a company incorporated in Switzerland whose registered office
        is at Affolternstrasse 44, CH-8050 Zurich, Switzerland ("ABB");

(2)     THE SUBSIDIARIES OF ABB whose names are set out in the signature pages
        of this Agreement as Borrowers (the "BORROWERS");

(3)     THE SUBSIDIARIES OF ABB whose names are set out in the signature pages
        of this Agreement as Guarantors (the "GUARANTORS");

(4)     BARCLAYS CAPITAL, CREDIT SUISSE FIRST BOSTON and SALOMON BROTHERS
        INTERNATIONAL LIMITED in their respective capacities as mandated lead
        arrangers (the "MANDATED LEAD ARRANGERS");

(5)     THE FINANCIAL INSTITUTIONS whose names are set out in the signature
        pages of this Agreement as lenders (the "LENDERS"); and

(6)     CREDIT SUISSE FIRST BOSTON in its capacity as facility agent (the
        "FACILITY AGENT").

RECITAL

In response to a request from ABB, each of the financial institutions party to
the Facility Agreement as Lenders have agreed, by a letter addressed to the
Facility Agent dated severally between 11 and 17 April 2002, (i) that any Lender
not continuing as a Lender under the Facility Agreement after the Effective Date
shall retire as a Lender as from the Effective Date and thereafter cease to have
any liability or obligations under the Facility Agreement, (ii) that the
relevant Borrower shall be entitled to give notice of prepayment on or before 26
April 2002 and (iii) that all Advances, interest thereon and all other
outstanding amounts owed under the Facility Agreement as at the date of this
Agreement shall be prepaid in accordance with such notice on 30 April 2002.

IT IS AGREED as follows:

1.      DEFINITIONS AND INTERPRETATION

1.1     DEFINITIONS
        In this Agreement (including the recital above):

        "AMENDMENT FEE LETTER" means the fee letter dated on or around the date
        hereof from the Mandated Lead Arrangers to ABB relating to the fee
        referred to in Clause 5.5.

        "EFFECTIVE DATE" means the later to occur of 30 April 2002 and the date
        on which the Facility Agent confirms to the Lenders and ABB that it has
        received each of the documents and evidence listed in Schedule 1
        (CONDITIONS PRECEDENT) in a form and substance reasonably satisfactory
        to the Facility Agent.

        "FACILITY AGREEMENT" means the $3,000,000,000 revolving credit agreement
        dated 18 December 2001 between ABB and certain of its subsidiaries as
        borrowers, Credit Suisse First Boston and Salomon Brothers International
        Limited as mandated lead arrangers, Credit Suisse First Boston as
        facility agent and, on and from the Effective Date, the

                                       -1-
<Page>

        revolving credit agreement as set out in Schedule 2 (RESTATED AGREEMENT)
        to this Agreement.

        "NEW BORROWERS" means ABB Finance Inc. and ABB Financial Services AB.

        "NEW INFORMATION MEMORANDUM" means the document in the form approved by
        ABB concerning the Group which, at ABB's request and on its behalf was
        prepared in relation to the Facility and distributed by the Mandated
        Lead Arrangers to selected banks during April 2002.

1.2     INCORPORATION OF DEFINED TERMS
        (a)    Unless a contrary indication appears, a term used in any other
               Finance Document or in any notice given under or in connection
               with any Finance Document has the same meaning in this Agreement
               as in that Finance Document.

        (b)    The principles of construction set out in the Facility Agreement
               shall have effect as if set out in this Agreement.

1.3     CLAUSES
        (a)    In this Agreement any reference to a "Clause" or "Schedule" is,
               unless the context otherwise requires, a reference to a Clause or
               Schedule of this Agreement.

        (b)    Clause and Schedule headings are for ease of reference only.

2.      RESTATEMENT

        With effect from the Effective Date the Facility Agreement shall be
        amended and restated so that it shall be read and construed for all
        purposes as set out in Schedule 2 (RESTATED AGREEMENT).

3.      REPRESENTATIONS

3.1     REPRESENTATIONS
        (a)    ABB makes the representations and warranties set out in clause
               18.1 (STATUS) to clause 18.8 (NO MISLEADING INFORMATION) and
               clause 18.11 (PARI PASSU RANKING) to clause 18.13 (ENVIRONMENTAL
               COMPLIANCE) of the Facility Agreement (in the form set out in
               Schedule 2 (RESTATED AGREEMENT)). For the avoidance of doubt,
               references to:

               (i)    "Obligor" shall be construed as a reference to each
                      Borrower and each Guarantor (as defined herein), as the
                      context shall require;

               (ii)   the "Finance Documents" shall be construed so as to
                      include a reference to this Agreement and the Amendment
                      Fee Letter; and

               (iii)  the "Information Memorandum" shall be construed as a
                      reference to the New Information Memorandum.

        (b)    ABB makes the representation set out in paragraph (a) and (b) of
               clause 18.9 (FINANCIAL STATEMENTS) of the Facility Agreement (in
               the form set out in

                                       -2-
<Page>

               Schedule 2 (RESTATED AGREEMENT)). For the avoidance of doubt,
               references to the "ORIGINAL FINANCIAL STATEMENTS" shall be
               construed as references to (1) the audited consolidated financial
               statements of the Group for the financial year ended 31 December
               2001 and (2) in relation to each New Borrower and each Guarantor,
               its audited financial statements for its financial year ended 31
               December 2000.

3.2     FURTHER REPRESENTATION
        ABB further represents and warrants that since 31 December 2001:

        (a)    there has been no material adverse change in any of the business,
               condition (financial or otherwise), prospects, operations,
               performance or properties of the Group (taken as a whole); and

        (b)    no event or circumstance has occurred which has a Material
               Adverse Effect,

        PROVIDED THAT the fact of any Credit Rating downgrade of ABB since 31
        December 2001 shall not, for the purposes of this representation,
        constitute a "material adverse change" or "Material Adverse Effect" as
        contemplated by paragraphs (a) and (b) above. (For the avoidance of
        doubt, ABB acknowledges that the consequences of any such Credit Rating
        downgrade may qualify as being, or contribute towards, a "material
        adverse change" or "Material Adverse Effect" for the purposes of this
        representation).

4.      CONTINUITY AND FURTHER ASSURANCE

4.1     CONTINUING OBLIGATIONS
        The provisions of the Facility Agreement shall, save as amended in this
        Agreement, continue in full force and effect.

4.2     FURTHER ASSURANCE
        Each of ABB, the Borrowers and the Guarantors shall, at the reasonable
        request of the Facility Agent and the expense of ABB or the relevant
        Borrower or, as the case may be, Guarantor, do all such acts and things
        necessary to give effect to the amendments effected or to be effected
        pursuant to this Agreement.

5.      FEES, COSTS AND EXPENSES

5.1     TRANSACTION EXPENSES
        ABB shall promptly on demand pay the Facility Agent the amount of all
        costs and expenses (including legal fees) reasonably incurred by it in
        connection with the negotiation, preparation, printing and execution of
        this Agreement and any other documents referred to in this Agreement.

5.2     ENFORCEMENT COSTS
        ABB shall, within three Business Days of demand, pay to each Finance
        Party the amount of all costs and expenses (including legal fees)
        incurred by that Finance Party in connection with the enforcement of, or
        the preservation of any rights under this Agreement.

                                       -3-
<Page>

5.3     STAMP TAXES
        ABB shall pay and, within three Business Days of demand, indemnify each
        Finance Party against any cost, loss or liability that Finance Party
        incurs in relation to all stamp duty, registration and other similar
        Taxes payable in respect of this Agreement.

5.4     FUNDING INDEMNITY
        ABB shall indemnify each Lender (as defined herein) upon presentation of
        duly documented evidence thereof against any cost, loss or liability
        directly incurred by that Lender as a result of funding, or making
        arrangements to fund, its participation in any Advance to be made on the
        date requested by a Borrower (as defined herein) in the Utilisation
        Requests referred to in clause 6.5 but not made by reason of (i) the
        Effective Date having not occurred on or by the date such Advance is due
        to be made or (ii) the operation of any one or more of the provisions of
        the Facility Agreement (other than, in each case, by reason of default,
        negligence or wilful misconduct by that Lender alone).

5.5     FEES
        On the date of this Agreement, ABB shall pay to the Facility Agent, on
        behalf of the Lenders, the fees in the amounts specified in the
        Amendment Fee Letter.

6.      MISCELLANEOUS

6.1     INCORPORATION OF TERMS
        The provisions of clause 32 (REMEDIES AND WAIVERS), clause 31 (PARTIAL
        INVALIDITY), and clause 36 (ENFORCEMENT) of the Facility Agreement shall
        be incorporated into this Agreement as if set out in full in this
        Agreement and as if references in those clauses to "this Agreement" or
        "the Finance Documents" are references to this Agreement.

6.2     SERVICE OF PROCESS
        ABB and each Obligor incorporated in a jurisdiction other than England
        and Wales agrees that the documents which start any Proceedings in
        England and any other documents required to be served in relation to
        those Proceedings may be served on ABB Limited, at Orion House, 5 Upper
        St. Martin's Lane, London WC2 or, if different, its registered office,
        with a copy to ABB. If the appointment of the person mentioned in this
        Clause 6.2 ceases to be effective, such Obligor shall immediately
        appoint another person in England to accept service of process on its
        behalf in England. If any such Obligor fails to do so (and such failure
        continues for a period of not less than fourteen days), the Facility
        Agent shall be entitled to appoint such a person by notice to the
        relevant Obligor. Nothing contained herein shall restrict the right to
        serve process in any other manner allowed by law.

6.3     MARGIN, COMMITMENT FEE AND UTILISATION FEE
        The parties confirm that, for the purposes of calculating the Margin and
        the commitment and utilisation fees referred to in clause 12.1
        (COMMITMENT FEE) and clause 12.2 (UTILISATION FEE) respectively of the
        Facility Agreement, (i) prior to the Effective Date, the relevant rates
        shall be those set out in the Facility Agreement prior to the amendments
        effected pursuant to this Agreement and (ii) on and after the Effective
        Date, the relevant rates shall be those set out in the Facility
        Agreement in the form set out in Schedule 2 (RESTATED AGREEMENT).

                                       -4-
<Page>

6.4     FINANCE DOCUMENT
        The Facility Agent and ABB hereby confirm that this Agreement is a
        Finance Document.

6.5     UTILISATION REQUEST
        Each Lender (as defined herein) agrees that, in respect of any Advance
        to be made on 30 April 2002, (i) any Borrower may validly deliver a
        Utilisation Request on or before 11.00 a.m. (London time) on 26 April
        2002 notwithstanding that the Effective Date has not occurred and (ii)
        the Initial Interest Period applicable to each such Advance shall be
        such period selected by the relevant Borrower in such Utilisation
        Request. For the avoidance of doubt, nothing in this Clause 6.5 shall
        oblige any such Lender to participate in any such Advance if the
        Effective Date has not occurred by the time such Advance is to be made
        and any such Advance shall only be made subject to the terms of the
        Facility Agreement (as amended and restated pursuant to this Agreement).

6.6     COUNTERPARTS
        This Agreement may be executed in any number of counterparts, and this
        has the same effect as if the signatures on the counterparts were on a
        single copy of this Agreement.

6.7     GOVERNING LAW
        This Agreement shall be governed by, and construed in accordance with,
        English law.

THIS AGREEMENT has been entered into on the date stated at the beginning of this
Agreement.

                                       -5-
<Page>

                                   SCHEDULE 1

                              CONDITIONS PRECEDENT

1.      ABB AND THE OBLIGORS

        (a)    A copy of the constitutional documents of ABB Finance Inc. and
               ABB Financial Services AB.

        (b)    Either:

               (i)    a certificate of an authorised signatory of ABB and each
                      Obligor (other than ABB Finance Inc. and ABB Financial
                      Services AB) confirming that the constitutional documents
                      previously delivered by it to the Facility Agent in
                      connection with satisfaction of conditions precedent to
                      the Facility Agreement are up-to-date and in full force
                      and effect; or

               (ii)   a copy of ABB or such Obligor's constitutional documents.

        (c)    A copy of a resolution of the board of directors of each Obligor:

               (i)    approving the terms of, and the transactions contemplated
                      by, this Agreement and resolving that it execute this
                      Agreement;

               (ii)   authorising a specified person or persons to execute this
                      Agreement on its behalf; and

               (iii)  authorising a specified person or persons, on its behalf,
                      to sign and/or despatch all documents and notices to be
                      signed and/or despatched by it under or in connection with
                      this Agreement.

        (d)    A specimen of the signature of each person authorised by the
               resolution referred to in paragraph (c) above.

        (e)    A certificate of an authorised signatory of ABB and each Obligor
               certifying that each copy document provided by it specified in
               this Schedule 1 is correct, complete and in full force and effect
               as at a date no earlier than the date of this Agreement.

        (f)    A certificate of ABB (signed by two authorised signatories)
               confirming that borrowing or, as the case may be, guaranteeing
               the Total Commitments would not cause any borrowing, guaranteeing
               or similar limit binding on any Obligor to be exceeded.

        (g)    A copy of a shareholders' resolution confirming the authority of
               the board of directors of ABB Capital B.V. to represent ABB
               Capital B.V in the event of a conflict of interest with one or
               more of its directors.

2.      LEGAL OPINIONS

        (a)    A legal opinion of Clifford Chance Limited Liability Partnership,
               legal advisers to the Mandated Lead Arrangers and the Facility
               Agent in England,

                                       -6-
<Page>

               substantially in the form distributed to the Lenders prior to
               signing this Agreement.

        (b)    In respect of ABB and each Obligor incorporated in a jurisdiction
               other than England and Wales, a legal opinion of the legal
               advisers to the Mandated Lead Arrangers and the Facility Agent in
               each relevant jurisdiction, substantially in the form distributed
               to the Lenders prior to signing this Agreement.

        (c)    A legal opinion of Homburger, Swiss legal advisers to ABB,
               relating to each Keep-Well Agreement, in the form approved by the
               Facility Agent.

3.      OTHER DOCUMENTS AND EVIDENCE

        (a)    A copy of any other Authorisation or other document, opinion or
               assurance which the Facility Agent considers to be necessary (if,
               prior to the date of this Agreement, it has notified ABB
               accordingly) in connection with the entry into and performance of
               the transaction contemplated by this Agreement or for the
               validity and enforceability of this Agreement.

        (b)    In respect of each Borrower, the Keep-Well Agreement pertaining
               to it.

        (c)    In respect of ABB Finance Inc. and ABB Financial Services AB, a
               copy of their audited financial statements for the financial year
               ended 31 December 2000.

        (d)    The Amendment Fee Letter duly executed by ABB.

        (e)    Evidence that the process agent referred to in Clause 6.2
               (SERVICE OF PROCESS) has accepted its appointment.

        (f)    Evidence that the Advances outstanding under the Facility
               Agreement have been, or will be, prepaid in full on the Effective
               Date together with interest and any other amounts owing in
               respect thereof.

                                       -7-
<Page>

                                   SCHEDULE 2

                               RESTATED AGREEMENT

                                       -8-
<Page>

                                 $3,000,000,000

                    MULTICURRENCY REVOLVING CREDIT AGREEMENT

                             dated 18 December 2001

                    as amended and restated on 30 April 2002
             pursuant to an amendment agreement dated 25 April 2002

                                       for

                                     ABB LTD

                         CERTAIN SUBSIDIARIES OF ABB LTD
                           as Borrowers and Guarantors

                                      with

                                BARCLAYS CAPITAL

                           CREDIT SUISSE FIRST BOSTON

                                       and

                     SALOMON BROTHERS INTERNATIONAL LIMITED
                           as Mandated Lead Arrangers

                                      with

                           CREDIT SUISSE FIRST BOSTON
                                as Facility Agent

<Page>

                                    CONTENTS

<Table>
<Caption>
CLAUSE                                                                            PAGE
<S>                                                                                 <C>
1.      Definitions and Interpretation...............................................2

2.      The Facility................................................................15

3.      Purpose.....................................................................16

4.      Conditions of Utilisation...................................................16

5.      Utilisation.................................................................17

6.      Optional Currencies.........................................................18

7.      Repayment of Advances.......................................................19

8.      Prepayment and Cancellation.................................................19

9.      Interest....................................................................25

10.     Interest Periods............................................................25

11.     Changes To The calculation of interest......................................26

12.     Fees........................................................................27

13.     Tax Gross Up And Indemnities................................................29

14.     Increased Costs.............................................................32

15.     Other Indemnities...........................................................33

16.     Mitigation By The Lenders...................................................34

17.     Costs And Expenses..........................................................35

18.     Representations.............................................................37

19.     Information Undertakings....................................................39

20.     financial Covenants.........................................................40

21.     General Undertakings........................................................43

22.     Events Of Default...........................................................46

23.     Changes To The Lenders......................................................50

24.     Changes To The Obligors.....................................................52

25.     Role Of The Facility Agent And The Mandated Lead Arrangers..................56

26.     Conduct Of Business By The Finance Parties..................................60

27.     Sharing Among The Lenders...................................................61

28.     Payment Mechanics...........................................................63

29.     Set-Off.....................................................................65

30.     Notices.....................................................................66

31.     Calculations and Certificates...............................................68
</Table>

                                       -i-
<Page>

<Table>
<S>                                                                                <C>
32.     Partial Invalidity..........................................................68

33.     Remedies And Waivers........................................................68

34.     Amendments And Waivers......................................................69

35.     Counterparts................................................................69

36.     Guarantee and Indemnity.....................................................70

37.     Governing Law...............................................................74

38.     Enforcement.................................................................74

Schedule 1    The Original Parties..................................................75

Part 1  The Original Lenders........................................................75

Part 2  The Original Obligors.......................................................77

Schedule 2    Conditions Precedent..................................................79

Schedule 3    Utilisation Request...................................................81

Schedule 4    The Margin And Commitment Fee.........................................82

Schedule 5    Form Of Transfer Certificate..........................................83

Schedule 6    Timetables............................................................85

Schedule 7    Form Of Accession Letter..............................................87

Schedule 8    Form Of Resignation Letter............................................88

Schedule 9    Additional Cost Rate..................................................89

Schedule 10   Material Companies....................................................91

Schedule 11   Form of Compliance Certificate........................................92
</Table>

THIS AGREEMENT is dated 18 December 2001 (as amended and restated on 30 April
2002 pursuant to an amendment agreement dated 25 April 2002) and made between:

(1)     ABB LTD, a company incorporated in Switzerland whose registered office
        is at Affolternstrasse 44, CH-8050 Zurich, Switzerland ("ABB");

(2)     THE SUBSIDIARIES OF ABB listed in Part 2 of Schedule 1 (THE ORIGINAL
        PARTIES) as original borrowers (the "ORIGINAL BORROWERS");

(3)     THE SUBSIDIARIES OF ABB listed in Part 2 of Schedule 1 (THE ORIGINAL
        PARTIES) as original guarantors (the "ORIGINAL GUARANTORS");

(4)     BARCLAYS CAPITAL, CREDIT SUISSE FIRST BOSTON and SALOMON BROTHERS
        INTERNATIONAL LIMITED in their respective capacities as mandated lead
        arrangers (the "MANDATED LEAD ARRANGERS");

(5)     THE FINANCIAL INSTITUTIONS listed in Part 1 of Schedule 1 (THE ORIGINAL
        LENDERS) in their respective capacities as original lenders (the
        "ORIGINAL LENDERS"); and

(6)     CREDIT SUISSE FIRST BOSTON in its capacity as facility agent (the
        "FACILITY AGENT").

                                      -ii-
<Page>

IT IS AGREED as follows:

                                    SECTION 1
                                 INTERPRETATION

1.      DEFINITIONS AND INTERPRETATION

1.1     DEFINITIONS
        In this Agreement:

        "ACCESSION LETTER" means a letter substantially in the form set out in
        Schedule 7 (FORM OF ACCESSION LETTER).

        "ADDITIONAL BORROWER" means any Subsidiary of ABB which has become an
        Additional Borrower in accordance with Clause 24.2 (ADDITIONAL
        BORROWERS).

        "ADDITIONAL COST RATE" has the meaning given to such term in Schedule 9
        (ADDITIONAL COST RATE).

        "ADDITIONAL GUARANTOR" means any Subsidiary of ABB which has become an
        Additional Guarantor in accordance with Clause 24.4 (ADDITIONAL
        GUARANTORS).

        "ADDITIONAL OBLIGOR" means an Additional Borrower or an Additional
        Guarantor.

        "ADVANCE" means an advance made or to be made under the Facility or the
        principal amount outstanding for the time being of that advance.

        "AFFILIATE" means, in relation to any person, a Subsidiary of that
        person or a Holding Company of that person or any other Subsidiary of
        that Holding Company.

        "AGREED JURISDICTION" means any of the United States of America,
        Switzerland, Guernsey, any country that is, at the Effective Date, a
        member of the European Union and any other country approved by all the
        Lenders.

        "AMENDMENT AGREEMENT" means the amendment agreement dated on or around
        25 April 2002 pursuant to which this Agreement is amended and restated.

        "AMENDMENT FEE LETTER" means the fee letter referred to in clause 5.5 of
        the Amendment Agreement.

        "AUTHORISATION" means an authorisation, consent, approval, resolution,
        licence, exemption, filing or registration.

        "AVAILABILITY PERIOD" means the period from 18 December 2001 to and
        including the date falling 1 Business Day prior to the Termination Date.

        "AVAILABLE COMMITMENT" means a Lender's Commitment minus:

        (g)    the Base Currency Amount of its participation in any outstanding
               Advances; and

                                       -2-
<Page>

        (h)    in relation to any proposed Utilisation, the Base Currency Amount
               of its participation in any Advances that are due to be made on
               or before the proposed Utilisation Date,

        other than, in either case, that Lender's participation in any Advances
        that are due to be repaid or prepaid on or before the proposed
        Utilisation Date.

        "AVAILABLE FACILITY" means the aggregate for the time being of each
        Lender's Available Commitment.

        "BASE CURRENCY" means Dollars.

        "BASE CURRENCY AMOUNT" means, in relation to an Advance, the amount
        specified in the Utilisation Request delivered by the relevant Borrower
        for that Advance (or, if the amount requested is not denominated in the
        Base Currency, that amount converted into the Base Currency at the
        Facility Agent's Spot Rate of Exchange on the date which is 3 Business
        Days before the Utilisation Date or, if later, on the date the Facility
        Agent receives the Utilisation Request) adjusted to reflect any
        repayment or prepayment of the Advance.

        "BORROWERS" means each Original Borrower and each Additional Borrower,
        PROVIDED THAT it has not been released from its rights and obligations
        under this Agreement in accordance with Clause 24.3 (RESIGNATION OF A
        BORROWER).

        "BREAK COSTS" means the amount (if any) by which:

        (a)    the interest (excluding the Margin), which a Lender should have
               received for the period from the date of receipt of all or any
               part of its participation in an Advance or Unpaid Sum to the last
               day of the current Interest Period in respect of that Advance or
               Unpaid Sum, had the principal amount or Unpaid Sum received been
               paid on the last day of that Interest Period;

        exceeds:

        (b)    the amount which that Lender would be able to obtain by placing
               an amount equal to the principal amount or Unpaid Sum received by
               it on deposit with a leading bank in the Relevant Interbank
               Market for a period starting on the Business Day following
               receipt or recovery and ending on the last day of the current
               Interest Period.

        "BUSINESS DAY" means:

        (a)    in relation to any Advance, a day (other than a Saturday or
               Sunday) on which banks are open for general business in London,
               and:

               (i)    (in relation to any date for payment or purchase of a
                      currency other than Euro) the principal financial centre
                      of the country of that currency; or

               (ii)   (in relation to any date for payment or purchase of Euro)
                      any TARGET Day; and

                                       -3-
<Page>

        (b)    for all other purposes, a day (other than a Saturday or Sunday)
               on which banks are open for general business in London.

        "COMMITMENT" means:

        (a)    in relation to an Original Lender, the amount in the Base
               Currency set opposite its name under the heading "COMMITMENT" in
               Part 1 of Schedule 1 (THE ORIGINAL LENDERS) and the amount of any
               other Commitment transferred to it under this Agreement; and

        (b)    in relation to any other Lender, the amount of any Commitment
               transferred to it under this Agreement,

        to the extent not cancelled, reduced or transferred by it under this
        Agreement.

        "COMPLIANCE CERTIFICATE" means a certificate substantially in the form
        set out in Schedule 11 (FORM OF COMPLIANCE CERTIFICATE).

        "CREDIT RATING" means a long term debt rating given by S&P or Moody's.

        "DEFAULT" means an Event of Default or any event or circumstance
        specified in Clause 22 (EVENTS OF DEFAULT) which (with the expiry of a
        grace period or the giving of any notice specified in Clause 22 (EVENTS
        OF DEFAULT)) would be an Event of Default.

        "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.

        "EFFECTIVE DATE" shall have the meaning ascribed to such term in the
        Amendment Agreement.

        "ENVIRONMENTAL LAW" means any applicable law in any jurisdiction in
        which any Group Company conducts business which relates to the pollution
        or protection of the environment or harm to or the protection of human
        health or the health of animals or plants.

        "ERISA" means the Employee Retirement Income Security Act of 1974 of the
        United States of America and the regulations promulgated and the rulings
        issued thereunder.

        "EURIBOR" means, in relation to any Advance in Euro:

        (a)    the applicable Screen Rate; or

        (b)    (if no Screen Rate is available for the period of that Advance)
               the arithmetic mean of the rates (rounded upwards to four decimal
               places) as supplied to the Facility Agent at its request quoted
               by the Reference Banks to leading banks in the European interbank
               market,

        as of the Specified Time on the Quotation Day for the offering of
        deposits in Euro for a period comparable to the Interest Period of the
        relevant Advance.

                                       -4-
<Page>

        "EVENT OF DEFAULT" means any event or circumstance specified as such in
        Clause 22 (EVENTS OF DEFAULT).

        "EXISTING SECURITISATIONS" means each of:

        (a)    the securitisation programme established by the Group Companies
               and arranged by Bank One, N.A. (as Programme Administrator), such
               programme being initially established on 22 December 2000; and

        (b)    the securitisation programme established by the Group Companies
               and arranged by Citibank, N.A. (as Operating Agent), such
               programme being initially established on or around 17 December
               1999.

        "FACILITY" means the revolving loan facility made available under this
        Agreement as described in sub-clause 2.1(a) of Clause 2.1 (THE
        FACILITY).

        "FACILITY AGENT'S SPOT RATE OF EXCHANGE" means the Facility Agent's Spot
        Rate of Exchange for the purchase of the relevant currency with the Base
        Currency in the London foreign exchange market at or about 11:00 a.m. on
        a particular day.

        "FACILITY OFFICE" means, in relation to a Lender, the office identified
        as such opposite such Lender's name in Part 1 of Schedule 1 (THE
        ORIGINAL LENDERS) (or, in the case of a transferee, at the end of the
        Transfer Certificate to which it is a party as transferee) or such other
        office as it may from time to time select.

        "FINANCE DOCUMENT" means this Agreement, the Amendment Agreement, the
        Amendment Fee Letter, any Accession Letter, any Resignation Letter, any
        other document designated as such in writing by the Facility Agent and
        ABB and, for the purposes of each of Clauses 8.2 (BORROWER ILLEGALITY),
        18 (REPRESENTATIONS), 21.1 (AUTHORISATIONS) to 21.7 (CHANGE OF BUSINESS)
        (inclusive) and 22.1 (NON-PAYMENT) to 22.10 (ACCELERATION) (inclusive),
        each Keep-Well Agreement.

        "FINANCE PARTY" means any of the Facility Agent, the Mandated Lead
        Arrangers and the Lenders.

        "GAAP" means, in relation to the consolidated financial statements of
        ABB, generally accepted accounting principles in the United States of
        America and, in relation to any other company, generally accepted
        accounting principles in its jurisdiction of incorporation or in the
        United States of America (as applicable).

        "GROUP" means ABB and its Subsidiaries and "GROUP COMPANY" means any one
        of them.

        "GUARANTORS" means each Original Guarantor and each Additional
        Guarantor, PROVIDED THAT it has not been released from its rights and
        obligations under this Agreement, in accordance with Clause 24.6
        (RESIGNATION OF A GUARANTOR).

        "HOLDING COMPANY" means, in relation to a company or corporation, any
        other company or corporation in respect of which it is a Subsidiary.

                                       -5-
<Page>

        "INDEBTEDNESS" means, in relation to a person, its obligations (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;

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

        (c)    any acceptance credit, bill discounting, note purchase, factoring
               or documentary credit facility;

        (d)    any lease required under GAAP to be treated as a finance lease;

        (e)    any guarantee, bond, stand-by letter of credit or other similar
               instrument issued in connection with the performance of payment
               obligations;

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

        (g)    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

        (h)    any guarantee, indemnity or similar insurance against financial
               loss given in respect of the obligation of any person falling
               within any of paragraphs (a) to (g) above.

        "INFORMATION MEMORANDUM" means the document in the form approved by ABB
        concerning the Group which, at ABB's request and on its behalf, was
        prepared in relation to the Facility and distributed by the Mandated
        Lead Arrangers to selected banks during April 2002.

        "INTEREST PERIOD" means, in relation to an Advance, each period
        determined in accordance with Clause 10 (INTEREST PERIODS) and, in
        relation to an Unpaid Sum, each period determined in accordance with
        Clause 9.3 (DEFAULT INTEREST).

        "KEEP-WELL AGREEMENT" means each keep-well agreement between ABB and one
        or more Subsidiaries of ABB (for so long as the relevant Subsidiary is
        an Obligor) substantially in the form delivered by ABB in satisfaction
        of the condition precedent set out in paragraph 3(b) of Schedule 1
        (CONDITIONS PRECEDENT) of the Amendment Agreement or paragraph 12 of
        Schedule 2 (ADDITIONAL OBLIGOR CONDITIONS PRECEDENT).

        "LENDER" means:

        (a)    any Original Lender; and

        (b)    any bank which has become a Party as a Lender in accordance with
               Clause 23 (CHANGES TO THE LENDERS),

        which in each case has not ceased to be a Party in accordance with the
        terms of this Agreement.

                                       -6-
<Page>

        "LIBOR" means, in relation to any Advance:

        (a)    the applicable Screen Rate; or

        (b)    (if no Screen Rate is available for the currency or period of
               that Advance) the arithmetic mean of the rates (rounded upwards
               to four decimal places) as supplied to the Facility Agent at its
               request quoted by the Reference Banks to leading banks in the
               London interbank market,

        as of the Specified Time on the Quotation Day for the offering of
        deposits in the currency of that Advance and for a period comparable to
        the Interest Period for that Advance.

        "MAJORITY LENDERS" means a Lender or Lenders whose Commitments aggregate
        more than 66 2/3% of the Total Commitments.

        "MARGIN" means, in relation to an Advance, for the relevant Interest
        Period, the average of the rates per annum for each day of such Interest
        Period computed in accordance with the table set out in Schedule 4 (THE
        MARGIN AND COMMITMENT FEE) PROVIDED THAT on any day that ABB has Credit
        Ratings from S&P and Moody's which are divergent from each other or has
        no Credit Rating from either S&P or Moody's, the applicable rate per
        annum for such day shall be the rate per annum for the lower Credit
        Rating or, in the latter case, the rate per annum for the remaining
        Credit Rating, in each case computed in accordance with the table set
        out in Schedule 4 (THE MARGIN AND COMMITMENT FEE).

        "MATERIAL ADVERSE EFFECT" means a material adverse effect on (i) the
        ability of any Obligor to perform its payment obligations under the
        Finance Documents, taking into account, for the avoidance of doubt, the
        obligations of ABB under each Keep-Well Agreement or (ii) the ability of
        ABB to perform its obligations under any Keep-Well Agreement.

        "MATERIAL COMPANY" shall mean ABB, each Obligor and each Subsidiary of
        ABB:

        (a)    which is listed in Schedule 10 (MATERIAL COMPANIES); or

        (b)    the proportion of whose total assets or turnover (or, where the
               Subsidiary in question prepares consolidated accounts, whose
               total consolidated assets or consolidated turnover, as the case
               may be) attributable to ABB represents not less than 10% of the
               total consolidated assets or consolidated turnover of ABB, all as
               calculated by reference to the then latest accounts of such
               Subsidiary and the then latest audited consolidated accounts of
               ABB and its consolidated Subsidiaries; or

        (c)    to which is transferred all or substantially all the assets and
               undertakings of a Subsidiary which immediately prior to such a
               transfer is a Material Company (in which case the transferor
               shall, upon such transfer, cease to be a Material Company).

                                       -7-
<Page>

        "MONTH" means a period starting on one day in a calendar month and
        ending on the numerically corresponding day in the next calendar month,
        except that:

        (a)    (subject to paragraph (c) below) if the numerically corresponding
               day is not a Business Day, that period shall end on the next
               Business Day in that calendar month in which that period is to
               end if there is one, or if there is not, on the immediately
               preceding Business Day;

        (b)    if there is no numerically corresponding day in the calendar
               month in which that period is to end, that period shall end on
               the last Business Day in that calendar month; and

        (c)    if an Interest Period begins on the last Business Day of a
               calendar month, that Interest Period shall end on the last
               Business Day in the calendar month in which that Interest Period
               is to end.

        The above rules will only apply to the last Month of any period.

        "MOODY'S" means Moody's Investor Services, Inc., or any successor
        thereto.

        "OBLIGOR" means a Borrower or a Guarantor.

        "OBLIGOR GROUP" means ABB, each Borrower and each Guarantor.

        "OPTIONAL CURRENCY" means a currency (other than the Base Currency)
        which complies with the conditions set out in Clause 4.2 (CONDITIONS
        RELATING TO OPTIONAL CURRENCIES).

        "ORIGINAL FINANCIAL STATEMENTS" means:

        (a)    in relation to ABB, the audited consolidated financial statements
               of the Group for the financial year ended 31 December 2001; and

        (b)    in relation to each Original Obligor, its audited financial
               statements for its financial year ended 31 December 2000.

        "ORIGINAL OBLIGOR" means an Original Borrower or an Original Guarantor.

        "OUTSTANDINGS" means the aggregate of the Base Currency Amount from time
        to time of each of the Advances.

        "PARTICIPATING MEMBER STATE" means any member state of the European
        Communities that adopts or has adopted the Euro as its lawful currency
        in accordance with legislation of the European Union relating to
        European Monetary Union.

        "PARTY" means a party to this Agreement and includes its successors in
        title, permitted assigns and permitted transferees.

        "PROJECT COMPANY" means any Subsidiary of ABB:

        (a)    which is a single purpose company whose primary purpose is to
               invest in, lend to or carry out a specific project or portfolio
               of projects; and

                                       -8-
<Page>

        (b)    none of whose liabilities to repay Project Finance Indebtedness
               are the subject of security or a guarantee, indemnity or any
               similar form of assurance, undertaking or support by any Group
               Company save to the extent described in the definition of Project
               Finance Indebtedness.

        "PROJECT FINANCE INDEBTEDNESS" means:

        (a)    any Indebtedness of a Project Company incurred to finance the
               project constituted by the assets and business of such Project
               Company or any Indebtedness of such Project Company incurred to
               refinance any such aforementioned Indebtedness; and

        (b)    where neither the persons to whom such Indebtedness is owed
               (whether or not a Group Company) nor any other person shall have
               any recourse whatsoever to any Group Company (other than such
               Project Company) for the repayment or payment of any sum relating
               to such Indebtedness other than recourse directly or indirectly
               to any Group Company under any form of assurance or undertaking,
               which recourse (1) is limited to the enforcement of any share
               pledge granted by a Group Company over its shares in such Project
               Company or the enforcement of any security granted over a
               shareholder loan between a Group Company and such Project Company
               and/or (2) is limited to a claim for damages for breach of an
               obligation (not being a payment obligation) of the person against
               whom that recourse is available and/or (3) entitles the creditor
               for that Indebtedness or the relevant Project Company, upon
               default by the Project Company (or in other circumstances
               specified in the documentation relating to the project) to
               require a payment to be made (whether to or for the benefit of
               that creditor, the Project Company or another person), PROVIDED
               THAT, in the case of (3), where that payment is capable of being
               for an amount which is material either alone or as a percentage
               of the Indebtedness financing that project, such recourse is
               capable of being called on only during the period on or prior to
               practical completion of the project or of that portion of that
               project being financed by that Indebtedness; or

        (c)    which the Majority Lenders shall have agreed to treat as Project
               Finance Indebtedness for the purposes of this Agreement.

        "QUALIFYING LENDER" has the meaning given to such term in Clause 13.1
        (DEFINITIONS).

        "QUALIFYING SUBSIDIARY" means any Subsidiary of ABB that:

        (d)    is incorporated in an Agreed Jurisdiction; and

        (e)    is the subject of a Keep-Well Agreement.

        "QUOTATION DAY" means, in relation to any period for which an interest
        rate is to be determined:

        (a)    (if the currency is Sterling) the first day of that period;

                                       -9-
<Page>

        (b)    (if the currency is Euro) two TARGET Days before the first day of
               that period; or

        (c)    (for any other currency) two Business Days (which for these
               purposes only shall mean a day on which banks are open for
               general business in London) before the first day of that period,

        unless market practice differs in the Relevant Interbank Market for a
        currency, in which case the Quotation Day for that currency will be
        determined by the Facility Agent in accordance with market practice in
        the Relevant Interbank Market (and if quotations would normally be given
        by leading banks in the Relevant Interbank Market on more than one day,
        the Quotation Day will be the last of those days).

                                      -10-
<Page>

        "REFERENCE BANKS" means, in relation to LIBOR, the principal London
        offices of Citibank, N.A., Credit Suisse First Boston and Barclays Bank
        PLC and, in relation to EURIBOR, the principal London offices of
        Citibank, N.A., Credit Suisse First Boston and Barclays Bank PLC, or
        such other banks as may be appointed by the Facility Agent in
        consultation with ABB.

        "RELEVANT INTERBANK MARKET" means in relation to Euro, the European
        interbank market and, in relation to any other currency, the London
        interbank market.

        "RESERVATIONS" has the meaning given to such term in Clause 18.2
        (BINDING OBLIGATIONS).

        "RESIGNATION LETTER" means a letter substantially in the form set out in
        Schedule 8 (FORM OF RESIGNATION LETTER).

        "ROLLOVER ADVANCE" means one or more Advances:

        (a)    made or to be made on the same day that a maturing Advance is due
               to be repaid;

        (b)    the aggregate amount of which is equal to or less than the
               maturing Advance;

        (c)    in the same currency as the maturing Advance (unless it arose as
               a result of the operation of Clause 6.2 (UNAVAILABILITY OF A
               CURRENCY)); and

        (d)    made or to be made to a Borrower for the purpose of refinancing a
               maturing Advance made to such Borrower.

        "S&P" means Standard & Poor's Ratings Group, a division of The
        McGraw-Hill Companies or any successor thereto.

        "SCREEN RATE" means:

        (a)    in relation to LIBOR, the British Bankers Association Interest
               Settlement Rate for the relevant currency and period; and

        (b)    in relation to EURIBOR, the percentage rate per annum determined
               by the Banking Federation of the European Union for the relevant
               period,

        displayed on the appropriate page of the Telerate screen. If the agreed
        page is replaced or service ceases to be available, the Facility Agent
        may specify another page or service displaying the appropriate rate
        after consultation with ABB and the Lenders.

        "SECURITY" means any mortgage, charge, assignment by way of security,
        pledge, hypothecation, lien and any other security interest of any kind
        whatsoever.

        "SPECIFIED TIME" means a time determined in accordance with Schedule 6
        (TIMETABLES).

        "SUBSIDIARY" means a subsidiary within the meaning of section 736 of the
        Companies Act 1985.

                                      -11-
<Page>

        "TARGET" means Trans-European Automated Real-time Gross Settlement
        Express Transfer payment system.

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

        "TAX" means any tax, levy, impost, duty or other charge or withholding
        of a similar nature (including any penalty or interest payable in
        connection with any failure to pay or any delay in paying any of the
        same).

        "TAXES ACT" means the Income and Corporation Taxes Act 1988.

        "TERMINATION DATE" means 17 December 2002.

        "TOTAL COMMITMENTS" means the aggregate Commitments of the Lenders,
        being $3,000,000,000 as at the Effective Date.

        "TOTAL OUTSTANDINGS" means the aggregate from time to time of the
        Outstandings.

        "TRANSFER CERTIFICATE" means a certificate substantially in the form set
        out in Schedule 5 (FORM OF TRANSFER CERTIFICATE) or any other form
        agreed between the Facility Agent and ABB.

        "TRANSFER DATE" means, in relation to a transfer, the later of:

        (a)    the proposed Transfer Date specified in the Transfer Certificate;
               and

        (b)    the date on which the Facility Agent executes the Transfer
               Certificate.

        "UNPAID SUM" means any sum due and payable but unpaid by an Obligor
        under the Finance Documents.

        "UTILISATION" means a utilisation of the Facility.

        "UTILISATION DATE" means the date of a Utilisation, being the date on
        which an Advance is to be made.

        "UTILISATION REQUEST" means a notice substantially in the form set out
        in Part 1 of Schedule 3 (UTILISATION REQUEST).

        "VAT" means value added tax as provided for in the Value Added Tax Act
        1994 and any other tax of a similar nature.

1.2     CONSTRUCTION
(a)     Any reference in this Agreement to:

        (i)    "ASSETS" includes present and future properties, revenues and
               rights of every description;

        (ii)   "BARCLAYS CAPITAL" is a reference to Barclays Capital, the
               investment banking division of Barclays Bank PLC;

                                      -12-
<Page>

        (iii)  the "EUROPEAN INTERBANK MARKET" means the interbank market for
               Euro operating in Participating Member States;

        (iv)   a "FINANCE DOCUMENT" or any other agreement or instrument is a
               reference to that Finance Document or other agreement or
               instrument as amended or novated;

        (v)    a "PERSON" includes any person, firm, company, corporation,
               government, state or agency of a state or any association, trust
               or partnership (whether or not having separate legal personality)
               or two or more of the foregoing;

        (vi)   a "REGULATION" includes any regulation, rule, official directive,
               request or guideline (whether or not having the force of law but,
               if not having the force of law, the compliance with which is
               customary) of any governmental, intergovernmental or
               supranational body, agency, department or regulatory,
               self-regulatory or other authority or organisation;

        (vii)  a "FINANCIAL YEAR" in relation to ABB, means a period in respect
               of which it is required to produce annual audited financial
               statements;

        (viii) a provision of law is a reference to that provision as amended or
               re-enacted; and

        (ix)   unless a contrary indication appears, a time of day is a
               reference to London time.

(b)     Where there is a reference in this Agreement to any amount, limit or
        threshold specified in Dollars, in ascertaining whether or not that
        amount, limit or threshold has been attained, broken or achieved, as the
        case may be, a non-Dollar amount shall, unless the context otherwise
        requires or the contrary is indicated, be counted on the basis of the
        equivalent in Dollars of that amount using the Facility Agent's Spot
        Rate of Exchange EXCEPT FOR the purposes of calculating the dollar
        equivalent of Total Gross Debt which is not denominated in dollars for
        the purposes of the covenants set out in paragraphs (b) and (d) of
        Clause 20.2 (FINANCIAL CONDITION), in which case the dollar exchange
        rate set out in the Financial Times on 31 March 2002 shall be used.

(c)     Section, Clause and Schedule headings are for ease of reference only.

(d)     Unless a contrary indication appears, a term used in any other Finance
        Document or in any notice given under or in connection with any Finance
        Document has the same meaning in that Finance Document or notice as in
        this Agreement.

(e)     A Default is "CONTINUING" if it has not been remedied or waived.

(f)     For the avoidance of doubt, if Moody's or S&P place a Credit Rating on
        credit watch, that shall not (regardless of outlook) constitute a change
        in such Credit Rating or be deemed to be no Credit Rating.

1.3     CURRENCY SYMBOLS AND DEFINITIONS
        "$" and "DOLLARS" denote the lawful currency of the United States of
        America, "L" and "STERLING" denote the lawful currency of the United
        Kingdom and "EURO" denotes the

                                      -13-
<Page>

        single currency unit of the European Union as constituted by the Treaty
        of Rome (as amended).

1.4     THIRD PARTY RIGHTS
        A person who is not a Party has no right under the Contract (Rights of
        Third Parties) Act 1999 to enforce any term of this Agreement.

                                      -14-
<Page>

                                    SECTION 2
                                  THE FACILITY

2.      THE FACILITY

2.1     THE FACILITY
(a)     Subject to the terms of this Agreement, the Lenders make available to
        the Borrowers a committed 364 day multicurrency revolving credit
        facility (the "FACILITY") in a maximum aggregate amount of
        $3,000,000,000.

(b)     A Borrower shall only be entitled to utilise the Facility for so long as
        it is a Qualifying Subsidiary.

2.2     LENDERS' RIGHTS AND OBLIGATIONS
(a)     The obligations of each Lender under the Finance Documents are several.
        Failure by a Lender to perform its obligations under the Finance
        Documents does not affect the obligations of any other Party under the
        Finance Documents. No Finance Party is responsible for the obligations
        of any other Finance Party under the Finance Documents.

(b)     The rights of each Lender under or in connection with the Finance
        Documents are separate and independent rights and any debt arising under
        the Finance Documents to a Lender from any of the Borrowers shall be a
        separate and independent debt.

(c)     A Finance Party may, except as otherwise stated in the Finance
        Documents, separately enforce its rights under the Finance Documents.

2.3     FACILITY OFFICES AND NOMINATED AFFILIATE
(a)     Subject to paragraph (b) below, a Lender may (i) change its Facility
        Office for the purpose of this Agreement and/or (ii) nominate a
        different Facility Office for the purposes of making a particular
        Advance to any Borrower, in which event such Facility Office shall for
        the purposes of this Agreement be its Facility Office for that Advance
        but not otherwise.

(b)     If a Lender changes its Facility Office or nominates a different
        Facility Office, (i) that Lender will notify the Facility Agent and ABB
        promptly (and, in any event, within 5 Business Days) of such change or,
        as the case may be, nomination, and until it does so, the Facility Agent
        and ABB will be entitled to assume that no such change has taken place
        and (ii) if the country of such Facility Office is not subject to the
        Financial Action Task Force any such change or, as the case may be,
        nomination shall be subject to the prior written consent of the Facility
        Agent.

(c)     Subject to the terms of this Agreement, the relevant portion of any
        Advance made to a Borrower incorporated in the United States of America
        in which The Bank of Tokyo-Mitsubishi, Ltd. ("BOT-M") participates shall
        be funded by BTM (Europe) Limited ("BTME"). The following facility
        office shall be deemed to be the Facility Office relevant to BOT-M, as
        Lender, for the purposes of such Advances only:

               BTM(Europe) Limited, Finsbury Circus House, 12-15 Finsbury
               Circus, London EC2M 7BT.

                                      -15-
<Page>

        BOT-M and BTME shall be treated as a single Lender whose Commitment is
        the amount set out opposite BOT-M's name in Part 1 of Schedule 1
        (ORIGINAL PARTIES), and BOT-M's Available Commitment shall be reduced to
        the extent of any amounts funded by BTME as contemplated by this
        sub-paragraph (c). If BOT-M assigns all of its rights or transfers all
        of its rights and obligations to a New Lender, BTME shall cease to have
        any obligations under this Agreement.

3.      PURPOSE

3.1     PURPOSE
        Each Borrower shall apply all amounts borrowed by it under the Facility
        for the general corporate purposes of the Group, including, without
        limitation, back-stop financing for commercial paper facilities of the
        Group.

3.2     MONITORING
        No Finance Party is bound to monitor or verify the application of any
        amount borrowed pursuant to this Agreement.

4.      CONDITIONS OF UTILISATION

4.1     CONDITIONS PRECEDENT
(a)     The Lenders will only be obliged to comply with Clause 5.4 (LENDERS'
        PARTICIPATION) if on the date of the Utilisation Request and on the
        proposed Utilisation Date (in each case other than in the case of a
        Rollover Advance):

        (i)    no Default is continuing or would result from the proposed
               Advance; and

        (ii)   the representations to be made by ABB pursuant to Clause 18.14
               (REPETITION) are true in all respects.

(b)     An Advance will not be made if it would result in the Base Currency
        Amount of all Advances exceeding the Total Commitments.

4.2     CONDITIONS RELATING TO OPTIONAL CURRENCIES
        A currency will constitute an Optional Currency in relation to an
        Advance if it is Sterling or Euro, or it is readily available in the
        amount required and freely convertible into the Base Currency in the
        Relevant Interbank Market on the Quotation Day and the Utilisation Date
        for that Advance PROVIDED THAT there may not at any time be Advances
        outstanding denominated in more than 5 Optional Currencies.

4.3     MAXIMUM NUMBER OF ADVANCES
(a)     No Borrower may deliver a Utilisation Request if as a result of the
        proposed Utilisation more than 10 Advances would be outstanding.

(b)     Any Advance made by a single Lender under Clause 6.2 (UNAVAILABILITY OF
        A CURRENCY) shall not be taken into account in this Clause 4.3.

                                    SECTION 3
                                   UTILISATION

                                      -16-
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5.      UTILISATION

5.1     DELIVERY OF A UTILISATION REQUEST
        A Borrower may utilise the Facility by delivery to the Facility Agent of
        a duly completed Utilisation Request not later than the Specified Time.

5.2     COMPLETION OF A UTILISATION REQUEST
(a)     Each Utilisation Request delivered to the Facility Agent pursuant to
        Clause 5.1 (DELIVERY OF A UTILISATION REQUEST) is irrevocable and will
        not be regarded as having been duly completed unless:

        (i)    the proposed Utilisation Date is a Business Day within the
               Availability Period;

        (ii)   the currency and amount of the Utilisation comply with Clause 5.3
               (CURRENCY AND AMOUNT); and

        (iii)  the proposed Interest Period complies with Clause 10 (INTEREST
               PERIODS).

(b)     Only one Advance may be requested in each Utilisation Request delivered
        to the Facility Agent pursuant to Clause 5.1 (DELIVERY OF A UTILISATION
        REQUEST).

5.3     CURRENCY AND AMOUNT
(a)     The currency specified in a Utilisation Request delivered to the
        Facility Agent pursuant to Clause 5.1 (DELIVERY OF A UTILISATION
        REQUEST) must be the Base Currency or an Optional Currency.

(b)     The amount of the proposed Advance must be:

        (i)    if the currency selected is the Base Currency, a minimum of
               $50,000,000 and an integral multiple of $10,000,000; or

        (ii)   if the currency selected is Euro, a minimum of Euro50,000,000 and
               an integral multiple of Euro10,000,000; or

        (iii)  if the currency selected is Sterling, a minimum amount of
               L25,000,000 and an integral multiple of L5,000,000; or

        (iv)   if the currency selected is an Optional Currency (other than Euro
               or Sterling), in such minimum amount and multiple as the Facility
               Agent and ABB may agree,

        or, in any case, the amount of the Available Facility.

5.4     LENDERS' PARTICIPATION
(a)     Subject to the other terms of this Agreement, each Lender shall, on the
        relevant Utilisation Date, make its participation in each Advance
        available through its Facility Office.

(b)     Subject to Clause 6.2 (UNAVAILABILITY OF A CURRENCY), the amount of each
        Lender's participation in each Advance will be equal to the proportion
        borne by its Available Commitment to the Available Facility immediately
        prior to making the Advance.

(c)     The Facility Agent shall notify each relevant Lender of the amount,
        currency and the Base Currency Amount of each Advance at the Specified
        Time.

                                      -17-
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6.      OPTIONAL CURRENCIES

6.1     SELECTION OF CURRENCY
        The relevant Borrower shall select the currency of an Advance in a
        Utilisation Request.

6.2     UNAVAILABILITY OF A CURRENCY
        If before the Specified Time on any Quotation Day:

        (a)    the Facility Agent has received notice from a Lender that the
               Optional Currency (other than Euro or Sterling) requested is not
               readily available to it in the amount required; or

        (b)    a Lender notifies the Facility Agent that compliance with its
               obligation to participate in an Advance in the proposed Optional
               Currency (other than Euro or Sterling) would contravene a law or
               regulation applicable to it,

        the Facility Agent will give notice to the relevant Borrower to that
        effect by the Specified Time on that day. In this event, any Lender that
        gives notice pursuant to this Clause 6.2 will be required to participate
        in the Advance in the Base Currency (in an amount equal to that Lender's
        proportion of the Base Currency Amount or, in respect of a Rollover
        Advance, an amount equal to that Lender's proportion of the Base
        Currency Amount of the maturing Advance that is due to be repaid) and
        its participation will be treated as a separate Advance denominated in
        the Base Currency during that Interest Period.

6.3     NOTIFICATION
        The Facility Agent shall notify the Lenders and the relevant Borrower of
        Optional Currency amounts (and the applicable Facility Agent's Spot Rate
        of Exchange) promptly after they are ascertained.

                                      -18-
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                                    SECTION 4
                     REPAYMENT, PREPAYMENT AND CANCELLATION

7.      REPAYMENT OF ADVANCES

        Each Borrower shall repay each Advance made to it on the last day of its
        Interest Period.

8.      PREPAYMENT AND CANCELLATION

        For the purposes of this Clause 8:

        "EXCLUDED PROCEEDS" means:

        (a)    cash proceeds received in respect of a transaction within
               sub-paragraphs (1) (iii) and (1) (iv) of Clause 21.4 (DISPOSALS);

        (b)    cash proceeds received in respect of individual Disposals with an
               individual value of up to $50,000,000 (or its equivalent in other
               currencies) except to the extent that such cash proceeds are cash
               proceeds contemplated by paragraph (c) below;

        (c)    cash proceeds received in respect of Disposals with an individual
               value of more than $10,000,000 (or its equivalent in other
               currencies) where the amount of such cash proceeds, when
               aggregated with other such cash proceeds received by Group
               Companies, is $50,000,000 (or its equivalent in other currencies)
               or less;

        (d)    cash proceeds received in respect of Disposals of receivables
               pursuant to the Existing Securitisations;

        (e)    cash proceeds received in respect of Disposals of marketable
               securities in the ordinary course of treasury activities of the
               disposing Group Company or in the ordinary course of investment
               management activities in the case of a Group Company that is an
               insurance or re-insurance company; and

        (f)    cash proceeds received in respect of Disposals by a Group Company
               (other than ABB) which is not an Obligor to other Group
               Companies.

        "NET CAPITAL MARKETS PROCEEDS" means the cash proceeds of the issue of
        any bonds, notes, debentures, loan stock, other similar instrument,
        securitisation or other financing (after deducting reasonable fees and
        expenses incurred by any Group Company in relation to such issues or
        financings) other than cash proceeds received pursuant to:

               (i)    issues of commercial paper or medium term notes with a
                      maturity of one year or less;

               (ii)   the Existing Securitisations;

                                      -19-
<Page>

               (iii)  cash pooling arrangements made in the course of day-to-day
                      cash management of the Group;

               (iv)   Project Finance Indebtedness;

               (v)    any single bank loan facility made available to a Group
                      Company PROVIDED THAT the amount of such facility is less
                      than $10,000,000 (or its equivalent) and is provided by
                      the relevant bank on an uncommitted basis and the
                      aggregate of such facilities of the Group does not exceed
                      $100,000,000 (or its equivalent); and

               (vi)   facilities made available to Group Companies for the
                      purposes of refinancing a facility made available by a
                      bank or a branch of a bank in the same jurisdiction of
                      incorporation as the relevant Group Company (a "LOCAL
                      BILATERAL FACILITY") to the extent of the amount of the
                      Local Bilateral Facility actually repaid.

        "NET DISPOSAL PROCEEDS" means the cash proceeds (including any amount
        received in repayment of intercompany debt and excluding Excluded
        Proceeds) of any Disposal of any Group Company after deducting:

        (a)    reasonable fees and expenses incurred by any Group Company due to
               such disposal;

        (b)    VAT paid or payable by the seller or any other Group Company due
               to such Disposal; and

        (c)    any tax incurred and required to be paid by the seller or any
               other Group Company in connection with such Disposal (as
               reasonably determined by the seller or such Group Company, acting
               in good faith, on the basis of existing rates and taking account
               of any available credit, deduction or allowance).

        "NET EQUITY PROCEEDS" means the cash proceeds of any issue of shares or
        stock of any Group Company after deducting:

        (a)    reasonable fees and expenses incurred by any Group Company due to
               such issue of shares;

        (b)    VAT paid or payable by any Group Company due to such issue; and

        (c)    any tax incurred and required to be paid by a Group Company in
               connection with such issue.

8.1     LENDER ILLEGALITY
        If it becomes unlawful in any jurisdiction for a Lender to perform any
        of its obligations as contemplated by this Agreement or to fund its
        participation in any Advance:

        (a)    that Lender shall promptly notify the Facility Agent upon
               becoming aware of that event;

                                      -20-
<Page>

        (b)    unless the repayment referred to in paragraph (c) below avoids
               such unlawfulness, upon the Facility Agent notifying ABB, the
               Commitment of that Lender will be immediately cancelled; and

        (c)    each Borrower shall, to the extent necessary to avoid such
               unlawfulness, repay that Lender's participation in the Advances
               made to it on the last day of the Interest Period for each
               Advance occurring after the Facility Agent has notified ABB or,
               if earlier, the date specified by the Lender in the notice
               delivered to the Facility Agent (being no earlier than 5 Business
               Days after receipt of such notice or, if earlier, the last day of
               any applicable grace period permitted by law).

8.2     BORROWER ILLEGALITY
        If it is or becomes unlawful for a Borrower to perform any of its
        obligations under the Finance Documents, save where such obligations are
        not, or could reasonably be considered not to be, material to the
        interests of the Lenders under the Finance Documents, the Borrowers
        shall within 15 Business Days of being served with notice by the
        Facility Agent so to do, repay all Advances, together with accrued
        interest and all other amounts accrued under the Finance Documents. On
        the service of any such notice the Facility shall be cancelled and the
        Commitments will be reduced to zero.

8.3     MANDATORY PREPAYMENT ON CHANGE OF CONTROL
        (a)    If any person (whether alone or together with any associated
               person) becomes the beneficial owner of shares in the issued
               share capital of ABB carrying the right to more than 50% of the
               votes exercisable at a general meeting of ABB:

               (i)    ABB shall promptly notify the Facility Agent upon becoming
                      aware of that event; and

               (ii)   the Facility Agent shall, by not less than 15 Business
                      Days' notice to ABB and having consulted with ABB, cancel
                      the Facility and declare all Advances, together with
                      accrued interest, and all other amounts accrued under the
                      Finance Documents immediately due and payable, whereupon
                      the Facility will be cancelled and all such outstanding
                      amounts will become immediately due and payable.

               For the purposes of this Clause 8.3, "ASSOCIATED PERSON" means,
               in relation to any person, a person who is (i) "acting in
               concert" (as defined in the City Code on Takeovers and Mergers)
               with that person or (ii) a "connected person" (as defined in
               section 839 of the Income and Corporate Taxes Act 1988) of that
               person.

        (b)    On any cancellation of the Facility pursuant to this Clause 8.3,
               the Commitments will be reduced to zero.

8.4     MANDATORY PREPAYMENT ON CEASING TO BE A QUALIFYING SUBSIDIARY
        If any Borrower ceases to be a Qualifying Subsidiary:

        (a)    ABB and/or that Borrower shall promptly notify the Facility Agent
               upon becoming aware of that event;

                                      -21-
<Page>

        (b)    (i)    if such circumstances occur before the end of the
                      Availability Period, such Borrower shall within 5 Business
                      Days of it so ceasing to be a Qualifying Subsidiary repay
                      all Advances borrowed by it together with accrued interest
                      thereon; or

               (ii)   if such circumstances occur after the end of the
                      Availability Period, any Advance drawn by the relevant
                      Subsidiary shall forthwith be novated to another Borrower
                      nominated by ABB and such other Borrower shall become the
                      Borrower for such Advance; and

        (c)    the Parties shall enter into such documentation necessary to give
               effect to the provisions of paragraph (b)(ii) above.

8.5     MANDATORY PREPAYMENT OUT OF PROCEEDS
        8.5.1  So long as the Total Commitments are more than $1,000,000,000, if
               a Group Company receives any Net Disposal Proceeds, Net Capital
               Market Proceeds or Net Equity Proceeds (the "RELEVANT PROCEEDS"),
               ABB shall promptly notify the Facility Agent upon becoming aware
               of the same.

        8.5.2  Upon receipt of the notification referred to in sub-clause 8.5.1,
               the Total Commitments shall be reduced by the amount of the
               relevant proceeds (or, if less, such amount as is necessary to
               reduce the Total Commitments to $1,000,000,000) PROVIDED THAT
               nothing in this sub-paragraph shall prevent the Borrower from
               making Rollover Advances.

        8.5.3  Without prejudice to sub-clause 8.5.2, ABB may, by notice to the
               Facility Agent delivered at the same time as the notice pursuant
               to sub-clause 8.5.1, elect to apply any relevant proceeds in
               repayment or prepayment of a Group Company's obligations under
               any commercial paper issued by such Group Company.

        8.5.4  To the extent that ABB does not elect to apply relevant proceeds
               in repayment of Group Company obligations under commercial paper,
               as contemplated by sub-clause 8.5.3, ABB shall procure that such
               relevant proceeds are applied in prepayment of Advances as soon
               as reasonably practicable, and in any event within 10 Business
               Days of receipt by the relevant Group Company of the relevant
               proceeds PROVIDED THAT ABB's obligations pursuant to this
               sub-clause 8.5.4 to procure prepayment of the Advances from Net
               Disposal Proceeds or Net Capital Markets Proceeds shall only be
               to the extent that such Net Disposal Proceeds or Net Capital
               Markets Proceeds (as the case may be) can be transferred to a
               Borrower for the purpose of the relevant prepayment and
               cancellation without contravening any applicable laws or (in the
               case only of Net Disposal Proceeds in respect of Disposals OTHER
               THAN the Disposal of the Group's structured finance division
               ("RELEVANT NET DISPOSAL PROCEEDS")) without incurring any
               material costs on account of taxes PROVIDED FURTHER HOWEVER that
               each Group Company shall use its reasonable endeavours to effect
               such transfer of Net Disposal Proceeds or Net Capital Markets
               Proceeds (as the case may be) and if such transfer cannot be made
               without contravening applicable laws or (in the case of Net
               Disposal Proceeds other than Relevant

                                      -22-
<Page>

               Net Disposal Proceeds) without incurring any material costs on
               account of taxes, ABB (so long as no Group Company would incur
               material expenditure as a result) shall use its reasonable
               endeavours to procure that the relevant prepayment is made from
               other available cash reserves of Group Companies.

        8.5.5  No amounts prepaid pursuant to this Clause 8.5 may be reborrowed
               except to the extent that an amount reborrowed would not result
               in Outstandings being more than $1,000,000,000.

8.6     VOLUNTARY CANCELLATION
        ABB may, if it gives the Facility Agent not less than 5 Business Days'
        (or such shorter period as the Majority Lenders may agree) prior notice,
        cancel the whole or any part (being a minimum amount of $50,000,000 and
        an integral multiple of $10,000,000) of the Available Facility. Any
        cancellation under this Clause 8.6 shall reduce rateably the
        Commitments.

8.7     VOLUNTARY PREPAYMENT
        A Borrower may, if it gives the Facility Agent not less than 5 Business
        Days' (or such shorter period as the Majority Lenders may agree) prior
        notice, prepay the whole or any part of an Advance made to it (but if in
        part, being an amount that reduces the Base Currency Amount of the
        Advance by a minimum amount of $50,000,000 and rounded as the Facility
        Agent may reasonably require).

8.8     RIGHT OF REPAYMENT AND CANCELLATION IN RELATION TO A SINGLE LENDER
(a)     If:

        (i)    any sum payable to any Lender by ABB or an Obligor is required to
               be increased under paragraph (c) of Clause 13.2 (TAX GROSS-UP);
               or

        (ii)   any Lender claims indemnification from ABB or a Borrower under
               Clause 13.3 (TAX INDEMNITY) or Clause 14.1 (INCREASED COSTS),

        then ABB may, whilst the circumstance giving rise to the requirement or
        indemnification continues, give the Facility Agent notice of
        cancellation of the Commitment of that Lender and its intention to
        procure the repayment of that Lender's participation in the Advances.

(b)     On receipt of a notice referred to in paragraph (a) above, the
        Commitment of that Lender shall immediately be reduced to zero.

                                      -23-
<Page>

(c)     On the last day of each Interest Period in respect of an Advance which
        ends after ABB has given notice under paragraph (a) above (or, if
        earlier, the date specified by ABB in that notice), each Borrower to
        which an Advance is outstanding shall repay that Lender's participation
        in that Advance.

8.9     RESTRICTIONS
(a)     Any notice of cancellation or prepayment given by any Party under this
        Clause 8 shall be irrevocable and, unless a contrary indication appears
        in this Agreement, shall specify the date or dates upon which the
        relevant cancellation or prepayment is to be made and the amount of that
        cancellation or prepayment.

(b)     Any prepayment under this Agreement shall be made together with accrued
        interest on the amount prepaid and, subject to any Break Costs, without
        premium or penalty.

(c)     Unless a contrary indication appears in this Agreement, any part of the
        Facility which is prepaid may be reborrowed in accordance with the terms
        of this Agreement.

(d)     No Borrower shall repay or prepay all or any part of the Advances or
        cancel all or any part of the Commitments except at the times and in the
        manner expressly provided for in this Agreement.

(e)     No amount of the Total Commitments cancelled under this Agreement may be
        subsequently reinstated.

(f)     If the Facility Agent receives a notice under this Clause 8 it shall
        promptly forward a copy of that notice to the affected Borrower or the
        affected Lender, as appropriate.

                                      -24-
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                                    SECTION 5
                              COSTS OF UTILISATION

9.      INTEREST

9.1     CALCULATION OF INTEREST
        The rate of interest on each Advance for each Interest Period is the
        percentage rate per annum which is the aggregate of the applicable:

        (i)    Margin;

        (ii)   LIBOR or, in relation to any Advance in Euro, EURIBOR; and

        (iii)  the Additional Cost Rate (where applicable).

9.2     PAYMENT OF INTEREST
(a)     Each Borrower shall pay accrued interest on each Advance made to it on
        the last day of each Interest Period (and, if the Interest Period is
        longer than six Months, on the dates falling at six monthly intervals
        after the first day of the Interest Period).

(b)     If a Tax Deduction is required by law to be made by an Obligor in one of
        the circumstances set out in paragraph (c) of Clause 13.2 (TAX
        GROSS-UP), the amount of the payment due from that Obligor shall be
        increased to an amount which (after making any Tax Deduction) leaves an
        amount equal to the payment which would have been due if no Tax
        Deduction had been required.

9.3     DEFAULT INTEREST
(a)     If an Obligor fails to pay any amount payable by it under a Finance
        Document on its due date, interest shall accrue on the overdue amount
        from the due date up to the date of actual payment (both before and
        after judgment) at a rate 1.00 per cent higher than the rate which would
        have been payable if the overdue amount had, during the period of
        non-payment, constituted an Advance in the currency of the overdue
        amount for successive Interest Periods, each of a duration selected by
        the Facility Agent (acting reasonably). Any interest accruing under this
        Clause 9.3 shall be immediately payable by the relevant Obligor on
        demand by the Facility Agent.

(b)     Default interest (if unpaid) arising on an overdue amount will be
        compounded with the overdue amount at the end of each Interest Period
        applicable to that overdue amount but will remain immediately due and
        payable.

9.4     NOTIFICATION OF RATES OF INTEREST
        The Facility Agent shall promptly notify the Lenders, ABB and the
        relevant Borrowers of the determination of a rate of interest under this
        Agreement.

10.     INTEREST PERIODS

(a)     The relevant Borrower may select an Interest Period for an Advance in
        the Utilisation Request for that Advance or (for Interest Periods other
        than the first) on 3 Business Days' written notice to the Facility Agent
        from the relevant Borrower.

                                      -25-
<Page>

(b)     Subject to this Clause 10, a Borrower may select an Interest Period of
        1, 2, 3 or 6 Months or any other period of less than 1 Month to end on
        the Termination Date or any other period agreed between the relevant
        Borrower and the Facility Agent (acting on the instructions of all the
        Lenders).

(c)     An Interest Period for an Advance shall not extend beyond the
        Termination Date.

(d)     Each Advance has one Interest Period only.

11.     CHANGES TO THE CALCULATION OF INTEREST

11.1    ABSENCE OF QUOTATIONS
        Subject to Clause 11.2 (MARKET DISRUPTION), if LIBOR or EURIBOR is to be
        determined by reference to the Reference Banks but a Reference Bank does
        not supply a quotation by the Specified Time on the Quotation Day, the
        applicable LIBOR or EURIBOR shall be determined on the basis of the
        quotations of the remaining Reference Banks.

11.2    MARKET DISRUPTION
(a)     If a Market Disruption Event occurs in relation to an Advance for any
        Interest Period, then the rate of interest on each Lender's share of
        that Advance for the Interest Period shall be the rate per annum which
        is the sum of:

        (i)    the Margin;

        (ii)   the rate notified to the Facility Agent, ABB and the relevant
               Borrower by that Lender in a certificate (which sets out the
               details of the computation of the relevant rate and shall be
               prima facie non-binding evidence of the same) as soon as
               practicable and in any event before interest is due to be paid in
               respect of that Interest Period, to be that which expresses as a
               percentage rate per annum the cost to that Lender of funding its
               participation in that Advance from whatever source it may
               reasonably select; and

        (iii)  the Additional Cost Rate, if any, applicable to that Lender's
               participation in the Advance.

(b)     In this Agreement "MARKET DISRUPTION EVENT" means:

        (i)    at or about noon on the Quotation Day for the relevant Interest
               Period the Screen Rate is not available and none or only one of
               the Reference Banks supplies a rate to the Facility Agent to
               determine LIBOR or, if applicable, EURIBOR for the relevant
               currency and period; or

        (ii)   before close of business in London on the Quotation Day for the
               relevant Interest Period, the Facility Agent receives
               notifications from a Lender or Lenders (whose participations in
               an Advance exceed 50 per cent. of that Advance) that the cost to
               it or them of obtaining matching deposits in the Relevant
               Interbank Market would be in excess of LIBOR or, if applicable,
               EURIBOR.

                                      -26-
<Page>

11.3    ALTERNATIVE BASIS OF INTEREST OR FUNDING
(a)     If a Market Disruption Event occurs and the Facility Agent or ABB so
        requires, the Facility Agent and ABB shall enter into negotiations (for
        a period of not more than thirty days) with a view to agreeing a
        substitute basis for determining the rate of interest.

(b)     Any alternative basis agreed pursuant to paragraph (a) above shall, with
        the prior consent of the Majority Lenders and ABB, be binding on all
        Parties.

11.4    BREAK COSTS
(a)     The relevant Borrower shall, within three Business Days of demand by a
        Finance Party, pay to that Finance Party its Break Costs attributable to
        all or any part of an Advance or Unpaid Sum being paid by that Borrower
        on a day other than the last day of an Interest Period for that Advance
        or Unpaid Sum.

(b)     Each Lender shall, as soon as reasonably practicable after a demand by
        the Facility Agent, provide to ABB and the relevant Borrower a
        certificate (which shall constitute prima facie non-binding evidence of
        the matters to which it refers) addressed to the Facility Agent, ABB and
        the relevant Borrower confirming the amount of its Break Costs for any
        Interest Period in which they accrue and setting out the manner of
        computing such Break Costs.

12.     FEES

12.1    COMMITMENT FEE
(a)     ABB shall pay to the Facility Agent (for the account of each Lender) a
        commitment fee in the Base Currency computed at the rate per annum on
        that Lender's Available Commitment computed in accordance with the table
        set out in Schedule 4 (THE MARGIN AND COMMITMENT FEE), PROVIDED THAT on
        any day that ABB has Credit Ratings from S&P and Moody's which are
        divergent from each other or has no Credit Rating from either S&P or
        Moody's, the applicable rate per annum for such day shall be the rate
        per annum for the lower Credit Rating or, in the latter case, the rate
        per annum for the remaining Credit Rating, in each case computed in
        accordance with the table set out in Schedule 4 (THE MARGIN AND
        COMMITMENT FEE).

(b)     The accrued commitment fee is payable on the last day of each successive
        period of three Months commencing from the Effective Date and on the
        last day of the Availability Period.

12.2    UTILISATION FEE
(a)     ABB shall pay to the Facility Agent (for the account of the Lenders pro
        rata to their Commitments) a utilisation fee in respect of the Total
        Outstandings computed at the rate of:

        (i)    0.25 per cent. per annum for each day that the Total Outstandings
               are in an amount which is greater than 33 per cent. but is less
               than or equal to 66 per cent. of the Total Commitments; or

        (ii)   0.50 per cent. per annum for each day that the Total Outstandings
               are in an amount greater than 66 per cent. of the Total
               Commitments.

                                      -27-
<Page>

(b)     The accrued utilisation fee is payable on the last day of each
        successive period of three Months commencing from the Effective Date and
        on the Termination Date.

12.3    AGENCY FEE
        ABB shall pay to the Facility Agent (for its own account) an agency fee
        in the amount and at the times agreed in a fee letter.

                                      -28-
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                                    SECTION 6
                         ADDITIONAL PAYMENT OBLIGATIONS

13.     TAX GROSS UP AND INDEMNITIES

13.1    DEFINITIONS
(a)     In this Clause 13:

        "INITIAL BORROWER JURISDICTION" means any of The Netherlands, the United
        States of America, Switzerland, Sweden or Guernsey.

        "PROTECTED PARTY" means a Finance Party which is or will be, for or on
        account of Tax, subject to any liability or required to make any payment
        in relation to a sum received or receivable (or any sum deemed for the
        purposes of Tax to be received or receivable) under a Finance Document.

        "QUALIFYING LENDER" means:

        (a)    in respect of a payment by a Borrower resident in Switzerland for
               the purposes of Swiss tax, a Lender which is a bank;

        (b)    in respect of a payment by a Borrower incorporated in the United
               States of America, a Lender which is:

               (i)    created or organised under the laws of the United States
                      of America or of any state (including the District of
                      Columbia) thereof; or

               (ii)   resident in a jurisdiction having a double taxation
                      agreement with the United States of America which makes
                      provision for full exemption from tax imposed by the
                      United States of America on interest and which does not
                      carry on a business in the United States of America
                      through a permanent establishment with which that Lender's
                      participation in the Facility is effectively connected; or

               (iii)  entitled to receive payments under the Finance Documents
                      without deduction or withholding of any United States
                      federal income taxes,

               and which has complied with any procedural requirements within
               its control necessary to receive such payment without the
               imposition of United States withholding tax; or

        (c)    in respect of a payment by a Borrower incorporated in any
               jurisdiction except the United States of America or Switzerland,
               any Lender.

        "TAX CREDIT" means a credit against, relief or remission for, or
        repayment of any Tax.

        "TAX DEDUCTION" means a deduction or withholding for or on account of
        Tax from a payment under a Finance Document.

        "TAX PAYMENT" means an increased payment made by ABB or an Obligor to a
        Finance Party under Clause 13.2 (TAX GROSS-UP) or a payment made by ABB
        or an Obligor under Clause 13.3 (TAX INDEMNITY).

                                      -29-
<Page>

(b)     In this Clause 13 a reference to "determines" or "determined" means,
        save where expressly stated to the contrary, a determination made in the
        absolute discretion of the person making the determination acting in
        good faith.

13.2    TAX GROSS-UP
(a)     ABB and each Obligor shall make all payments to be made by it without
        any Tax Deduction, unless a Tax Deduction is required by law.

(b)     ABB, an Obligor or a Lender shall promptly upon becoming aware that ABB
        or an Obligor (as the case may be) must make a Tax Deduction (or that
        there is any change in the rate or the basis of a Tax Deduction) notify
        the Facility Agent accordingly. If the Facility Agent receives such
        notification from a Lender it shall notify ABB and the relevant Obligor.

(c)     If a Tax Deduction is required by law to be made by ABB or an Obligor in
        one of the circumstances set out in paragraph (d) below, the amount of
        the payment due from ABB or that Obligor shall be increased to an amount
        which (after making any Tax Deduction) leaves an amount equal to the
        payment which would have been due if no Tax Deduction had been required.

(d)     The circumstances referred to in paragraph (c) above are where a person
        entitled to the payment:

        (i)    is the Facility Agent or a Mandated Lead Arranger (on its own
               behalf);

        (ii)   is a Qualifying Lender; or

        (iii)  is not or has ceased to be a Qualifying Lender to the extent that
               this altered status results from any change after the Effective
               Date in (or in the interpretation, administration, or application
               of) any law or double taxation agreement or any published
               practice or published concession of any relevant taxing
               authority.

(e)     If ABB or an Obligor is required to make a Tax Deduction, it shall make
        that Tax Deduction and any payment required in connection with that Tax
        Deduction within the time allowed and in the minimum amount required by
        law.

(f)     Within 30 days of making either a Tax Deduction or any payment required
        in connection with that Tax Deduction, ABB or the relevant Obligor (as
        the case may be) shall deliver to the Facility Agent for the Finance
        Party entitled to the payment original receipts or certified copies
        thereof or if not available, other evidence reasonably satisfactory to
        that Finance Party that the Tax Deduction has been made or (as
        applicable) any appropriate payment paid to the relevant taxing
        authority.

(g)     Each Finance Party, ABB and the Obligors shall co-operate in completing
        any procedural formalities necessary for ABB or an Obligor to make a
        payment to which the Finance Party is entitled without a Tax Deduction
        or with a reduced Tax Deduction. Each Finance Party shall on the
        reasonable written request of ABB or an Obligor complete and deliver to
        ABB or that Obligor all documentation reasonably required by ABB or that
        Obligor in order to enable it to make such payments without a Tax

                                      -30-
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        Deduction or with a reduced Tax Deduction (so long as the completion or
        delivery of such documentation would not materially prejudice the legal
        or commercial position of the relevant Finance Party).

13.3    TAX INDEMNITY
(a)     ABB or the Borrowers shall (within three Business Days of written demand
        by the Facility Agent) pay to a Protected Party an amount equal to the
        loss, liability or cost which that Protected Party determines will be or
        has been (directly or indirectly) suffered for or on account of Tax by
        that Protected Party.

(b)     Paragraph (a) above shall not apply with respect to any Tax assessed on
        a Finance Party:

        (1)
               (i)    under the law of the jurisdiction in which that Finance
                      Party is incorporated or, if different, the jurisdiction
                      (or jurisdictions) in which that Finance Party is treated
                      as resident for tax purposes;

               (ii)   under the law of the jurisdiction in which that Finance
                      Party's Facility Office is located in respect of amounts
                      received or receivable in that jurisdiction; or

               (iii)  arising by reason of the making of an Advance to a
                      Borrower in an Initial Borrower Jurisdiction under the law
                      of such jurisdiction, except to the extent arising by
                      reason of a change in law or in any regulation occurring
                      after the Effective Date, PROVIDED THAT this paragraph
                      (b)(1)(iii) shall not apply to any Tax assessed or imposed
                      on the Facility Agent,

        if that Tax is imposed on or calculated by reference to the net income
        received or receivable (including any sum deemed to be received or
        receivable) by that Finance Party; or

        (2)    which is compensated for by Clause 13.2 (TAX GROSS UP) (or would
               have been so compensated but for an exception to that Clause).

(c)     A Protected Party making, or intending to make a claim pursuant to
        paragraph (a) above shall promptly notify the Facility Agent of the
        event which will give, or has given, rise to the claim, following which
        the Facility Agent shall notify ABB.

(d)     A Protected Party shall, on receiving a payment from ABB under this
        Clause 13.3, notify the Facility Agent.

13.4    TAX CREDIT
        If ABB or an Obligor makes a Tax Payment and the relevant Finance Party
        determines that:

        (a)    a Tax Credit is attributable to that Tax Payment; and

        (b)    that Finance Party has obtained, utilised and retained that Tax
               Credit,

        the Finance Party shall pay an amount to ABB or (as the case may be)
        that Obligor which that Finance Party determines, acting in good faith,
        will leave that Finance Party

                                      -31-
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        (after that payment) in the same after-Tax position as it would have
        been in had the Tax Payment not been made by ABB or that Obligor (as the
        case may be). The relevant Finance Party shall endeavour, acting in good
        faith, to obtain, utilise and retain the Tax Credit save that it shall
        not be obliged to disclose any information relating to its tax or other
        affairs or any computations in respect thereof.

13.5    QUALIFYING LENDERS
        Any Lender which ceases, for any reason, to be a Qualifying Lender shall
        promptly notify ABB and the relevant Obligor(s) of its change of status.

13.6    STAMP TAXES
        The Borrowers shall pay and, within 3 Business Days of demand, indemnify
        each Finance Party against any cost, loss or liability such Finance
        Party incurs in relation to all stamp duty, registration and other
        similar Taxes payable in respect of any Finance Document, but not in
        respect of any assignment or transfer pursuant to Clause 23 (CHANGES TO
        THE LENDERS).

13.7    VALUE ADDED TAX
(a)     All consideration payable under a Finance Document by ABB or the
        Borrowers to a Finance Party shall be deemed to be exclusive of any VAT.
        If VAT is chargeable, ABB or the Borrowers (as the case may be) shall
        pay to the Finance Party (in addition to and at the same time as paying
        the consideration) an amount equal to the amount of the VAT.

(b)     Where a Finance Document requires ABB or the Borrowers to reimburse a
        Finance Party for any costs or expenses, ABB or the Borrowers (as the
        case may be) shall also at the same time pay and indemnify that Finance
        Party against all VAT directly incurred by that Finance Party in respect
        of the costs or expenses save to the extent that that Finance Party is
        entitled to repayment or credit in respect of the VAT.

14.     INCREASED COSTS

14.1    INCREASED COSTS
(a)     Subject to Clause 14.3 (EXCEPTIONS) ABB or the Borrowers shall, within 3
        Business Days of a demand by the Facility Agent, pay for the account of
        a Finance Party the amount of any Increased Costs incurred by that
        Finance Party or any of its Affiliates as a result of (i) the
        introduction of or any change in (or in the interpretation or
        application of) any law or regulation or (ii) compliance with any law or
        regulation made after the Effective Date.

(b)     In this Agreement "INCREASED COSTS" means:

        (i)    a reduction in the rate of return from the Facility or on a
               Finance Party's (or its Affiliate's) overall capital;

        (ii)   an additional or increased cost; or

        (iii)  a reduction of any amount due and payable under any Finance
               Document,

        which is incurred or suffered by a Finance Party or any of its
        Affiliates to the extent that it is attributable to that Finance Party
        having entered into its Commitment or funding or performing its
        obligations under any Finance Document.

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14.2    INCREASED COST CLAIMS
(a)     A Finance Party intending to make a claim pursuant to Clause 14.1
        (INCREASED COSTS) shall promptly notify the Facility Agent of the event
        giving rise to the claim, following which the Facility Agent shall
        promptly notify ABB.

(b)     Each Finance Party shall, as soon as practicable after a demand by the
        Facility Agent provide a certificate confirming the amount of its
        Increased Costs with (subject to any rights or duties of confidentiality
        the relevant Finance Party has in respect of such information) full
        supporting details (which certificate shall constitute prima facie
        non-binding evidence of the matters to which it relates).

14.3    EXCEPTIONS
(a)     Clause 14.1 (INCREASED COSTS) does not apply to the extent any Increased
        Cost is:

        (i)    attributable to a Tax Deduction required by law to be made by ABB
               or an Obligor;

        (ii)   compensated for by Clause 13.3 (TAX INDEMNITY) (or would have
               been compensated for under Clause 13.3 (TAX INDEMNITY) but was
               not so compensated solely because one of the exclusions in
               paragraph (b) of Clause 13.3 (TAX INDEMNITY) applied);

        (iii)  not payable as provided in Clause 23.2 (CONDITIONS OF ASSIGNMENT
               OR TRANSFER);

        (iv)   compensated for by the payment of the Additional Cost Rate;

        (v)    attributable to the breach by the relevant Finance Party or its
               Affiliates of any law or regulation; or

        (vi)   not notified to ABB within 3 months of being incurred.

(b)     In this Clause 14.3, a reference to a "TAX DEDUCTION" has the same
        meaning given to the term in Clause 13.1 (DEFINITIONS).

15.     OTHER INDEMNITIES

15.1    CURRENCY INDEMNITY
(a)     If any sum due from ABB or an Obligor under the Finance Documents (a
        "SUM"), or any order, judgment or award given or made in relation to a
        Sum, has to be converted from the currency (the "FIRST CURRENCY") in
        which that Sum is payable into another currency (the "SECOND CURRENCY")
        for the purpose of:

        (i)    making or filing a claim or proof against ABB or any of the
               Obligors;

        (ii)   obtaining or enforcing an order, judgment or award in relation to
               any litigation or arbitration proceedings,

        ABB or that Obligor (as the case may be) shall as an independent
        obligation, within 3 Business Days of demand, indemnify each Finance
        Party to whom that Sum is due against any cost, loss or liability
        arising out of or as a result of the conversion including any
        discrepancy between (A) the rate of exchange used to convert that Sum
        from the

                                      -33-
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        First Currency into the Second Currency and (B) the rate or rates of
        exchange available to that person at the time of its receipt of that
        Sum.

(b)     ABB and each Obligor waives any right it may have in any jurisdiction to
        pay any amount under the Finance Documents in a currency or currency
        unit other than that in which it is expressed to be payable.

15.2    OTHER INDEMNITIES
        ABB or the Borrowers shall indemnify each Lender upon presentation of
        duly documented evidence thereof against any cost, loss or liability
        directly incurred by that Lender as a result of:

        (a)    the occurrence of any Event of Default (but excluding any costs
               of enforcement save as provided in Clause 17.3 (ENFORCEMENT
               COSTS));

        (b)    a failure by ABB or an Obligor to pay any amount due under a
               Finance Document on its due date, including without limitation,
               any cost, loss or liability arising as a result of Clause 27
               (SHARING AMONG THE LENDERS);

        (c)    funding, or making arrangements to fund, its participation in an
               Advance requested by a Borrower in a Utilisation Request but not
               made by reason of the operation of any one or more of the
               provisions of this Agreement (other than by reason of default,
               negligence or wilful misconduct by that Lender alone); or

        (d)    an Advance (or part of an Advance) not being prepaid in
               accordance with a notice of prepayment given by a Borrower.

15.3    INDEMNITY TO THE FACILITY AGENT
        ABB or the Borrowers shall promptly indemnify the Facility Agent, upon
        presentation of duly documented evidence thereof, against any reasonable
        cost, loss or liability properly and directly incurred by the Facility
        Agent (acting reasonably) as a result of:

        (a)    investigating any event which it reasonably believes is a
               Default; or

        (b)    entering into or performing any foreign exchange contract for the
               purposes of Clause 6 (OPTIONAL CURRENCIES); or

        (c)    acting or relying on any notice, request or instruction which it
               reasonably believes (after due enquiry) to be genuine, correct
               and appropriately authorised.

16.     MITIGATION BY THE LENDERS

16.1    MITIGATION
(a)     Each Finance Party shall, in consultation with ABB, take all reasonable
        steps to mitigate any circumstances which arise and which would result
        in any amount becoming payable under or pursuant to, or cancelled
        pursuant to, any of Clause 8.1 (LENDER ILLEGALITY), Clause 13 (TAX
        GROSS-UP AND INDEMNITIES) or Clause 14 (INCREASED COSTS) or which would
        result in any increased amount being payable under this Agreement by
        reason of a change in the Additional Cost Rate after the Effective Date
        including (but not limited to) transferring its rights and obligations
        under the Finance Documents to another Affiliate or Facility Office and,
        in such circumstances a Lender will, at the request of ABB but

                                      -34-
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        subject to ABB indemnifying it for the costs of so doing, transfer its
        rights and obligations under the Finance Documents to another Lender.

(b)     Paragraph (a) above does not in any way limit the obligations of the
        Obligors under the Finance Documents.

16.2    LIMITATION OF LIABILITY
(a)     ABB or the Borrowers shall indemnify each Finance Party, upon
        presentation of duly documented evidence thereof, for all costs and
        expenses reasonably and directly incurred by that Finance Party as a
        result of steps taken by it under Clause 16.1 (MITIGATION).

(b)     A Finance Party is not obliged to take any steps under Clause 16.1
        (MITIGATION) (other than a transfer of its rights and obligations to
        another Lender where ABB or a Borrower indemnifies it for the cost of so
        doing) if, in the opinion of that Finance Party (acting reasonably), to
        do so could reasonably be expected to be prejudicial to it.

17.     COSTS AND EXPENSES

17.1    TRANSACTION EXPENSES
        ABB or the Borrowers shall promptly on demand pay, upon presentation of
        duly documented evidence thereof, the Facility Agent and the Mandated
        Lead Arrangers the amount of all costs and expenses (including legal
        fees) reasonably and directly incurred by any of them in connection with
        the negotiation, preparation, printing, execution and syndication of:

        (a)    this Agreement and any other documents referred to in this
               Agreement; and

        (b)    any other Finance Documents executed after the Effective Date.

17.2    AMENDMENT COSTS
        If (a) ABB requests an amendment, waiver or consent or (b) an amendment
        is required pursuant to Clause 28.9 (CHANGE OF CURRENCY), ABB or the
        Borrowers shall, within 3 Business Days of demand, reimburse the
        Facility Agent, upon presentation of duly documented evidence thereof,
        for the amount of all costs and expenses (including legal fees)
        reasonably and directly incurred by the Facility Agent and which have
        previously been agreed with ABB in responding to, evaluating,
        negotiating or complying with that request or requirement.

17.3    ENFORCEMENT COSTS
        ABB or the Borrowers shall, within 3 Business Days of demand, pay to
        each Finance Party the amount of all costs and expenses (including legal
        fees) directly incurred by that Finance Party at any time after the
        service of a notice by the Facility Agent under Clause 22.10
        (ACCELERATION) in connection with the enforcement of, or the
        preservation of any rights under, any Finance Document.

17.4    FSA AND ECB COSTS
(a)     This Clause 17.4 applies if, whether now or in the future, either:

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

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

        which, in either case, is applied to any Lender (and would be applied
        generally to banks or financial institutions of a similar nature to that
        Lender) as a consequence of its entering into and/or performing its
        obligations under this Agreement and/or assuming or maintaining its
        Commitment under this Agreement and/or making one or more Advances under
        this Agreement. If, as a result, that Lender's effective return on its
        overall capital is reduced, ABB and the Borrowers agree to reimburse
        that Lender for the amount claimed.

(b)     In the event that paragraph (a) above applies, each Lender may submit a
        certificate setting out a calculation of the amount claimed by it (and,
        in the case of an amount claimed as a result of a reserve requirement
        being imposed by the European Central Bank, certifying that such amount
        has been reasonably determined) to the Facility Agent within the period
        (the "CERTIFICATE PERIOD") of 10 Business Days after the end of each
        Relevant Period. The Facility Agent will notify ABB of the amount
        claimed by that Lender within 5 Business Days after the end of the
        relevant Certification Period and ABB or the Borrowers shall (absent
        manifest error in the relevant notice) reimburse that Lender for the
        amount claimed within 3 Business Days after the date of such
        notification.

(c)     In this Clause 17.4, a "RELEVANT PERIOD" is, as appropriate:

        (i)    the period beginning on the Effective Date and ending on 30 June
               2002; and

        (ii)   the period which starts on 30 June 2002 and ends on the
               Termination Date,

        and "FEES RULES" means, as appropriate, either:

        (i)    the rules on periodic fees contained in the FSA Supervision
               Manual; or

        (ii)   such other law or regulations as may be in force from time to
               time relating to the payment of fees for the acceptance of
               deposits.

                                      -36-
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                                    SECTION 7
               REPRESENTATIONS, UNDERTAKINGS AND EVENTS OF DEFAULT

18.     REPRESENTATIONS

        ABB makes the representations and warranties set out in this Clause 18
        to each Finance Party on the date of this Agreement.

18.1    STATUS
        (a)    ABB and each Obligor is a corporation, duly incorporated and
               validly existing under the law of its jurisdiction of
               incorporation.

        (b)    Each Group Company has the power to own its assets and carry on
               its business as it is being conducted.

18.2    BINDING OBLIGATIONS
        The obligations expressed to be assumed by ABB and each Obligor in each
        Finance Document are (subject to any general principles of law
        ("RESERVATIONS") limiting its obligations which are specifically
        referred to in any legal opinion delivered pursuant to Schedule 1
        (CONDITIONS PRECEDENT) of the Amendment Agreement, Clause 24.2
        (ADDITIONAL BORROWERS), Clause 24.4 (ADDITIONAL GUARANTORS) or at any
        time in connection with the satisfaction of conditions precedent to
        availability of the Facility), legal, valid, binding and enforceable
        obligations.

18.3    NON-CONFLICT WITH OTHER OBLIGATIONS
        The entry into and performance by ABB and each Obligor of, and the
        transactions contemplated by, the Finance Documents do not and will not
        conflict with:

        (a)    any law or regulation applicable to it;

        (b)    its constitutional documents; or

        (c)    any agreement or instrument binding upon it or any Group Company
               or any of their assets,

        and, in the case of paragraph (c) on any repetition after the date of
        this Agreement, in a manner that could reasonably be expected to have a
        Material Adverse Effect.

18.4    POWER AND AUTHORITY
        ABB and each Obligor has the power to enter into, perform and deliver,
        and has taken all necessary action to authorise its entry into,
        performance and delivery of, the Finance Documents to which it is a
        party and the transactions contemplated by those Finance Documents.

18.5    VALIDITY AND ADMISSIBILITY IN EVIDENCE
        All Authorisations required by ABB and each Obligor:

        (a)    to enable it lawfully to enter into, exercise its rights and
               comply with its obligations in the Finance Documents to which it
               is a party; and

        (b)    to make the Finance Documents to which it is a party admissible
               in evidence in its jurisdiction of incorporation,

                                      -37-
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        have been obtained or effected and are in full force and effect.

18.6    INSOLVENCY
        No Material Company has taken any action nor (so far as ABB is aware,
        having made all due enquiry) have any steps been taken or legal
        proceedings been started against it for winding-up, dissolution or
        re-organisation, the enforcement of any Security over its assets or for
        the appointment of a receiver, administrative receiver, or
        administrator, trustee or similar officer of it or any of its assets.

18.7    NO DEFAULT
        (a)    No Default is continuing.

        (b)    No other event or circumstance is outstanding which constitutes a
               default under any other agreement or instrument which is binding
               on a Group Company or to which their assets are subject which has
               had or could reasonably be expected to have a Material Adverse
               Effect.

18.8    NO MISLEADING INFORMATION
        (a)    Any factual information provided by ABB or the Obligors for the
               purposes of the Information Memorandum was true and accurate in
               all material respects as at the date of the Information
               Memorandum.

        (b)    Nothing has occurred or been omitted from the Information
               Memorandum and no information has been given or withheld that
               results in the information contained in the Information
               Memorandum being untrue or misleading in any material respect as
               at the date of the Information Memorandum.

18.9    FINANCIAL STATEMENTS
        (a)    The Original Financial Statements were prepared in accordance
               with GAAP consistently applied.

        (b)    The Original Financial Statements fairly present in all material
               respects the consolidated financial condition and operations of
               the Group during the relevant financial year.

        (c)    Each of the latest audited consolidated financial statements
               required to be delivered under Clause 19.1(a) fairly presents in
               all material respects the financial position of the Group as at
               the date to which they were prepared and for the period then
               ended.

        (d)    Each of the latest set of consolidated financial statements
               required to be delivered under Clause 19.1(b) fairly presents in
               all material respects the financial condition of the Group as at
               the date to which they were prepared and for the period then
               ended.

18.10   NO MATERIAL ADVERSE EFFECT
        Since 31 December 2001:

        (a)    there has been no material adverse change in any of the business,
               condition (financial or otherwise), prospects, operations,
               performance or properties of the Group (taken as a whole); and

                                      -38-
<Page>

        (b)    no event or circumstance has occurred which has a Material
               Adverse Effect,

        PROVIDED THAT the fact of any Credit Rating downgrade of ABB since 31
        December 2001 shall not, for the purposes of this representation,
        constitute a "material adverse change" or "Material Adverse Effect" as
        contemplated by paragraphs (a) and (b) above. (For the avoidance of
        doubt, ABB acknowledges that the consequences of any such Credit Rating
        downgrade may qualify as being, or contribute towards, a "material
        adverse change" or "Material Adverse Effect" for the purposes of this
        representation).

18.11   PARI PASSU RANKING
        The payment obligations of each Obligor under the Finance Documents rank
        at least pari passu with the claims of all its other unsecured and
        unsubordinated creditors, except for obligations mandatorily preferred
        by law applying to companies generally.

18.12   NO PROCEEDINGS PENDING OR THREATENED
        No litigation, arbitration or administrative proceedings of or before
        any court, arbitral body or agency which, if adversely determined, could
        reasonably be expected to have a Material Adverse Effect have (to the
        best of its knowledge and belief) been started or threatened against any
        Group Company.

18.13   ENVIRONMENTAL COMPLIANCE
        Each Group Company has complied in all respects with all Environmental
        Law save to the extent that non-compliance could not reasonably be
        expected to have a Material Adverse Effect.

18.14   REPETITION
        The representations and warranties in Clause 18.1 (STATUS) to Clause
        18.4 (POWER AND AUTHORITY) and paragraphs (c) and (d) of Clause 18.9
        (FINANCIAL STATEMENTS) are deemed to be made by ABB by reference to the
        facts and circumstances then existing on the date of each Utilisation
        Request and the first day of each Interest Period.

19.     INFORMATION UNDERTAKINGS

        The undertakings in this Clause 19 remain in force from the date of this
        Agreement for so long as any amount is outstanding under the Finance
        Documents or any Commitment is in force.

19.1    FINANCIAL STATEMENTS
        (a)    ABB and each Obligor shall supply to the Facility Agent in
               sufficient copies for all the Lenders, as soon as the same become
               available, but in any event within 150 days after the end of each
               of its financial years its audited financial statements (which,
               in the case of ABB and any Obligor where such financial
               statements are prepared, shall be its audited consolidated
               financial statements) for that financial year.

        (b)    ABB shall supply to the Facility Agent in sufficient copies for
               all the Lenders, as soon as the same become available, but in any
               event within 90 days after the end of each quarter of each of its
               financial years its consolidated financial statements for that
               quarter.

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19.2    REQUIREMENTS AS TO FINANCIAL STATEMENTS
        (a)    ABB and each Obligor shall procure that each set of financial
               statements delivered by it pursuant to Clause 19.1 (FINANCIAL
               STATEMENTS) is prepared using GAAP.

        (b)    ABB shall supply to the Facility Agent, with each set of
               financial statements delivered by ABB pursuant to paragraph (a)
               or (b) of Clause 19.1 (FINANCIAL STATEMENTS), a Compliance
               Certificate setting out (in reasonable detail) computations as to
               compliance with Clause 20.2 (FINANCIAL CONDITION) as at the date
               as at which those financial statements were drawn up.

        (c)    Each Compliance Certificate shall be signed by two officers of
               ABB.

19.3    INFORMATION: MISCELLANEOUS
        ABB shall supply to the Facility Agent (in sufficient copies for all the
        Lenders, if the Facility Agent so requests):

        (a)    all documents dispatched by it to its shareholders (or any class
               of them) or its creditors generally at the same time as they are
               dispatched;

        (b)    promptly upon becoming aware of them, the details of any
               litigation, arbitration or administrative proceedings which are
               commenced against one or more Group Companies and which could
               reasonably be expected to have a Material Adverse Effect; and

        (c)    promptly, such further information regarding the financial
               condition, business and operations of any Material Company as any
               Finance Party (acting through the Facility Agent) may reasonably
               request.

19.4    NOTIFICATION OF DEFAULT
        ABB and each Obligor shall notify the Facility Agent of any Default (and
        the steps, if any, being taken to remedy it) promptly upon becoming
        aware of its occurrence.

20.     FINANCIAL COVENANTS

20.1    FINANCIAL DEFINITIONS
        In this Clause 20:

        "CONSOLIDATED NET WORTH" means total stockholders' equity, calculated
        disregarding total accumulated other comprehensive loss since 1 January
        2002, in each case as stipulated in the consolidated statements of
        changes in stockholders' equity (part of the consolidated financial
        statements of ABB).

        "CONSOLIDATED PROFITS BEFORE INTEREST AND TAX" means, in respect of any
        Relevant Period, the earnings before interest and taxes, as stipulated
        in the consolidated income statements of the Group (part of the
        consolidated financial statements of ABB).

        "EBITDA" means, for any Relevant Period, Consolidated Profits Before
        Interest and Tax before any amount attributable to the amortisation of
        intangible assets and depreciation of tangible assets.

                                      -40-
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        "RELEVANT PERIOD" means each period of twelve months ending on the last
        day of ABB's financial year and each period of twelve months ending on
        the last day of each quarter of ABB's financial year.

        "TOTAL GROSS DEBT" means the aggregate of short-term borrowings and
        long-term borrowings in each case as stipulated in the consolidated
        balance sheet of ABB (part of the consolidated financial statements of
        ABB).

        "TOTAL NET INTEREST" means, in respect of any Relevant Period, the
        difference between interest expense and interest income.

        For the purpose of this definition:

        (a)    "INTEREST EXPENSE" means interest expense for financial
               liabilities and costs of the securitisation programmes of the
               Group (excluding any fees, taxes or commissions relating to this
               Agreement);

        (b)    "INTEREST INCOME" means interest income on cash and cash
               equivalents, marketable securities and on financing receivables;
               and

        (c)    for the avoidance of doubt, ABB's Financial Services Division
               reports interest income and interest expense as part of revenues
               and cost of sales and as such these should be excluded from (a)
               and (b) above.

20.2    FINANCIAL CONDITION
        ABB shall ensure that:

        (a)    The ratio of EBITDA to Total Net Interest in respect of any
               Relevant Period shall be or shall exceed 4:1.

        (b)    Total Gross Debt of the Group (excluding any amounts drawn down
               under the Facility prior to 15 May 2002, which amounts are held
               in an account with the Facility Agent) shall not at any time
               after the Effective Date exceed $10,500,000,000.

                                      -41-
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        (c)    Consolidated Net Worth shall not, as at the last day of any
               quarter of a financial year of ABB, be less than the relevant
               amount calculated in accordance with the following formula:

               A + B,

               where:

               A      =     $1,800,000,000; and

               B      =     in respect of a testing date for this paragraph (c)
                            ending on the last day of any quarter of a financial
                            year of ABB, 50 per cent. of the consolidated net
                            income of the Group for the period from 1 January
                            2002 until such last day of such financial quarter,
                            PROVIDED THAT if such amount is a negative amount,
                            it will be deemed to be zero for the purposes of
                            this paragraph (c).

        (d)    The aggregate amount of Total Gross Debt (other than:

               (i)    Project Finance Indebtedness;

               (ii)   indebtedness owed by one Group Company to another Group
                      Company;

               (iii)  amounts borrowed by a finance company which is a Group
                      Company and which are on-lent, and remain on-lent, to a
                      member of the Obligor Group;

               (iv)   amounts borrowed by a Group Company from a bank to which
                      cash-collateral (in a substantially equivalent amount) has
                      been granted by a Group Company in respect of the relevant
                      Group Company's obligation to repay such amounts; and

               (v)    any amounts borrowed by a Group Company which constitute
                      Total Gross Debt to the extent such amounts are borrowed
                      for the purposes of refinancing other borrowings
                      constituting Total Gross Debt so long as amounts so
                      borrowed are promptly applied in such manner),

               of Group Companies which are not members of the Obligor Group
               shall not at any time after the Effective Date exceed
               $1,000,000,000.

20.3    FINANCIAL TESTING
        The financial covenants set out in Clause 20.2 (FINANCIAL CONDITION)
        shall be tested by reference to each of the financial statements and/or
        each Compliance Certificate delivered pursuant to sub-paragraph (b) of
        Clause 19.2 (REQUIREMENTS AS TO FINANCIAL STATEMENTS) PROVIDED THAT the
        financial covenants set out in sub-paragraphs (b) and (d) of Clause 20.2
        (FINANCIAL CONDITION) shall not be tested by reference to the financial
        statements for the financial quarter ending 31 March 2002 and/or any
        Compliance Certificate delivered with such financial statements.

                                      -42-
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21.     GENERAL UNDERTAKINGS

        The undertakings in this Clause 21 remain in force from the date of this
        Agreement for so long as any amount is outstanding under the Finance
        Documents or any Commitment is in force.

21.1    AUTHORISATIONS
        Each Obligor shall promptly:

        (a)    obtain, comply with and do all that is necessary to maintain in
               full force and effect; and

        (b)    supply certified copies to the Facility Agent of,

        any Authorisation required under any law or regulation of its
        jurisdiction of incorporation to enable it to perform its obligations
        under the Finance Documents and to ensure the legality, validity,
        enforceability or admissibility in evidence in its jurisdiction of
        incorporation of any Finance Document.

21.2    COMPLIANCE WITH LAWS
        Each Obligor shall comply in all respects with all laws (including,
        without limitation, Environmental Law and ERISA) to which it may be
        subject, if failure so to comply would have a Material Adverse Effect.

21.3    NEGATIVE PLEDGE
        (a)    Neither ABB nor any Obligor shall (and ABB shall procure that no
               other Group Company will) create or permit to subsist any
               Security over any of its assets.

        (b)    Paragraph (a) above does not apply to:

               (i)    any Security over any bank account in favour of the bank
                      with which such account is held, in each case granted by
                      any Group Company in the ordinary course of its banking
                      arrangements for the purpose of netting debit and credit
                      balances;

               (ii)   any Security arising by operation of law;

               (iii)  any Security contained in a contract for sale or supply
                      entered into in the ordinary course of trading, where such
                      Security is granted to such seller or, as the case may be,
                      supplier and is limited in recourse to the asset sold or,
                      as the case may be, supplied;

               (iv)   any Security over or affecting any asset acquired by a
                      Group Company after the date of this Agreement if:

                      (A)   the Security was not created in contemplation of the
                            acquisition of that asset by a Group Company; and

                      (B)   the principal amount secured has not been increased
                            in contemplation of, or since the acquisition of
                            that asset by a Group Company;

                                      -43-
<Page>

               (v)    any Security over or affecting any asset of a Group
                      Company after the date of this Agreement, where the
                      Security is created prior to the date on which that
                      company becomes a Group Company, if:

                      (A)   the Security was not created in contemplation of the
                            acquisition of that company;

                      (B)   the principal amount secured has not increased in
                            contemplation of or since the acquisition of that
                            company;

               (vi)   any Security provided by one Group Company (not being ABB)
                      to another Group Company which is an Obligor;

               (vii)  any Security arising pursuant to the Existing
                      Securitisations;

               (viii) any Security over the assets of a Project Company, any
                      shareholder loan made to a Project Company or the shares
                      in a Project Company where such Security was created for
                      the purpose of securing Indebtedness incurred to acquire
                      and/or develop the assets of such Project Company and
                      where such Indebtedness constitutes Project Finance
                      Indebtedness of such Project Company;

               (ix)   any Security securing Indebtedness incurred by a Group
                      Company to refinance Indebtedness secured by Security of
                      the type referred to in paragraphs (iv) or (v) above where
                      such first-mentioned Security is over the same asset and
                      is of the same type as such second-mentioned Security and
                      the conditions referred to in paragraph (iv) or, as the
                      case may be, (v) above continue to be satisfied, mutatis
                      mutandis; and

               (x)    any Security provided by a Group Company which is an
                      insurance or re-insurance company in the ordinary course
                      of its business;

               (xi)   any Security provided in connection with cash
                      collateralised loans in the ordinary course of Group
                      treasury activities;

               (xii)  any Security arising under collateral arrangements entered
                      into in the ordinary course of Group treasury activities
                      in connection with interest rate and currency swaps and
                      other derivative contracts;

               (xiii) any Security provided by a Group Company which is in the
                      structured finance business area of the Group in the
                      ordinary course of its business;

               (xiv)  any Security over any assets with a market value of up to
                      $300,000,000 provided in connection with the pensions
                      arrangements of the Group in Sweden;

               (xv)   any Security not falling within any of paragraphs (i) -
                      (xiv) (inclusive) above provided that the total amount of
                      Indebtedness secured pursuant to this paragraph (xv) shall
                      at no time exceed $500,000,000 PROVIDED ALWAYS THAT no
                      Security shall be permitted to be given by any Obligor or
                      ABB over any of its loans which are made to other Group
                      Companies.

                                      -44-
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21.4    DISPOSALS
        ABB shall not (and shall ensure that no other Group Company will), enter
        into a Disposal other than a Disposal:

        (1)

               (i)    made on arm's length terms; or

               (ii)   to a Group Company; or

               (iii)  of cash or cash equivalents where such disposal is not
                      otherwise prohibited under this Agreement; or

               (iv)   made in the ordinary course of the day to day business of
                      the disposing Group Company; and

        (2)    that, whether alone or together with any other Disposals by Group
               Companies, does not, and could reasonably be expected not to
               have, a Material Adverse Effect.

21.5    CLAIMS PARI PASSU
        ABB shall ensure that at all times the claims of the Finance Parties
        against each Obligor under the Finance Documents rank at least PARI
        PASSU with the claims of all its other unsecured and unsubordinated
        creditors save those of such Obligor's creditors whose claims are
        preferred by any bankruptcy, insolvency, liquidation or other similar
        laws of general application.

21.6    MERGERS
        Neither ABB nor any Obligor shall enter into any amalgamation, demerger,
        merger or corporate reconstruction, save where the Facility Agent is
        satisfied, acting reasonably, that ABB or the relevant Obligor's
        obligations under the Finance Documents will continue to be ABB's or
        such Obligor's legal, valid, binding and, subject to Reservations,
        enforceable obligations. For the avoidance of doubt, this Clause 21.6
        shall not prevent a Disposal of shares in an Obligor to another Group
        Company if such Disposal does not affect the enforceability of the
        Keep-Well Agreement in respect of that Obligor.

21.7    CHANGE OF BUSINESS
        ABB shall procure that no change is made to the businesses of the Group
        which would result in the core businesses of the Group, taken as a
        whole, being other than the businesses of power and automation
        technologies.

                                      -45-
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21.8    INSURANCE
        Each Obligor shall (and ABB shall ensure that each Group Company will)
        maintain insurances on and in relation to its business and assets with
        reputable underwriters or insurance companies against those risks and to
        the extent as is usual for companies carrying on the same or
        substantially similar business in the relevant jurisdiction and taking
        into account the availability of insurance generally.

21.9    PREPAYMENT OF GROUP FACILITIES
        ABB shall not (and shall ensure that no other Group Company will)
        voluntarily prepay any banking facility of a Group Company, purchase or
        redeem prior to their stated maturity any bonds or other capital markets
        instruments issued by a Group Company and ABB shall not (and shall
        ensure that no other Group Company will) repurchase or redeem any shares
        or stock issued by ABB PROVIDED THAT this shall not restrict any of the
        following activities of the Group:

        (a)    the operation of cash-pooling arrangements in the ordinary course
               of the Group's business;

        (b)    the prepayment of banking facilities of Group Companies to the
               extent that such facilities are cash-collateralised and the cash
               collateral is released upon such prepayment;

        (c)    the substitution of existing banking facilities of Group
               Companies with new banking facilities of a comparable amount;

        (d)    the repayment of any overdraft facility of any Group Company; and

        (e)    transactions in the ordinary course of treasury and investment
               activities of relevant Group Companies.

22.     EVENTS OF DEFAULT

        Each of the events or circumstances set out in Clauses 22.1
        (NON-PAYMENT) to 22.9 (MATERIAL ADVERSE EFFECT) inclusive is an Event of
        Default.

22.1    NON-PAYMENT
        An Obligor does not pay on the due date any amount payable pursuant to a
        Finance Document at the place, and in the currency, in which it is
        expressed to be payable unless payment is made within 3 Business Days of
        its due date or, where the failure to pay is due solely to
        administrative error or technical delays in the transmission of funds, 5
        Business Days of its due date.

22.2    OTHER OBLIGATIONS
        ABB or an Obligor does not comply with any provision of the Finance
        Documents (other than those referred to in Clause 22.1 (NON-PAYMENT))
        and, if the failure to comply is capable of remedy, it is not remedied
        within 30 days of the Facility Agent giving notice to ABB of the failure
        to comply.

22.3    MISREPRESENTATION
        Any representation or statement made or deemed (by virtue of Clause
        18.14 (REPETITION)) to be made by ABB or an Obligor in this Agreement is
        or proves to have been incorrect

                                      -46-
<Page>

        or misleading in any respect when made or deemed to be made and, where
        the circumstances making such representation or statement incorrect or
        misleading are capable of being altered so that such representation or
        statement is correct, such circumstances are not so altered within 30
        days of the Facility Agent giving notice to ABB of such representation
        or statement being incorrect.

22.4    CROSS DEFAULT
        (a)    Any Indebtedness of all or any of the Group Companies is not paid
               when due nor within any originally applicable grace period.

        (b)    Any Indebtedness of all or any of the Group Companies has (i)
               become capable of being declared and is declared to be or (ii)
               otherwise becomes due and payable, in any case, prior to its
               specified maturity as a result of a default or an event of
               default (however described).

        (c)    Any commitment for any Indebtedness of all or any of the Group
               Companies is cancelled or suspended by a creditor of all or any
               of the Group Companies as a result of a default or an event of
               default (however described).

        (d)    Any creditor of all or any of the Group Companies becomes
               entitled to declare any Indebtedness of all or any of the Group
               Companies due and payable prior to its specified maturity as a
               result of a default or an event of default (however described).

        (e)    No Event of Default will occur under this Clause 22.4 if (1) the
               Indebtedness falling within paragraphs (a) to (d) is Project
               Finance Indebtedness or intra-Group Indebtedness or (2) the
               aggregate amount of Indebtedness or commitment for Indebtedness
               falling within paragraphs (a) to (d) (excluding any described in
               (1) above) above is less than $50,000,000.

22.5    INSOLVENCY
        (a)    Any Material Company is unable or admits in writing an inability
               to pay its debts as they fall due, suspends making payments on
               any of its debts or, by reason of actual or anticipated financial
               difficulties, commences negotiations with one or more of its
               creditors with a view to rescheduling any of its indebtedness.

        (b)    A moratorium is declared in respect of any indebtedness of any
               Material Company.

                                      -47-
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22.6    INSOLVENCY PROCEEDINGS
        Any corporate action, legal proceedings or other procedure or step is
        taken in relation to:

        (a)    the suspension of payments, a moratorium of any indebtedness,
               dissolution or reorganisation (by way of voluntary arrangement,
               scheme of arrangement or otherwise) of any Material Company other
               than a solvent liquidation or reorganisation of any Material
               Company (other than ABB or an Obligor);

        (b)    a composition, assignment or arrangement with any creditor of any
               Material Company;

        (c)    the appointment of a liquidator (other than (i) a winding up
               petition which is frivolous or vexatious and which is, in any
               event, discharged within 30 days of its presentation or (ii) in
               respect of a solvent liquidation of any Material Company (other
               than ABB or an Obligor)), receiver, administrator, administrative
               receiver, compulsory manager or other similar officer in respect
               of any Material Company or any of its assets (having an aggregate
               value of at least $50,000,000); or

        (d)    enforcement of any Security over any assets (having an aggregate
               value of at least $50,000,000) of any Material Company by reason
               of a default or event of default (howsoever described) occurring
               under the relevant agreement relating to the Indebtedness secured
               by such Security,

        or any analogous procedure or step is taken in any jurisdiction.

22.7    REPUDIATION
        ABB or an Obligor repudiates a Finance Document or evidences in writing
        an intention to repudiate a Finance Document.

22.8    CESSATION OF BUSINESS
        The Group, taken as a whole, ceases or threatens to cease to do
        business.

22.9    MATERIAL ADVERSE EFFECT
        Any event or circumstance occurs which has, or is reasonably likely to
        have, a Material Adverse Effect.

22.10   ACCELERATION
        On and at any time after the occurrence of an Event of Default which is
        continuing the Facility Agent may, and shall if so directed by the
        Majority Lenders, by notice to ABB:

        (a)    cancel the Total Commitments whereupon they shall immediately be
               cancelled;

        (b)    declare that all or part of the Advances, together with accrued
               interest, and all other amounts accrued under the Finance
               Documents be immediately due and payable, whereupon they shall
               become immediately due and payable; and/or

        (c)    declare that all or part of the Advances be payable on demand,
               whereupon they shall immediately become payable on demand by the
               Facility Agent on the instructions of the Majority Lenders.

                                      -48-
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                                    SECTION 8
                               CHANGES TO PARTIES

23.     CHANGES TO THE LENDERS

23.1    ASSIGNMENTS AND TRANSFERS BY THE LENDERS
        Subject to this Clause 23 and after consultation with ABB, a Lender (the
        "EXISTING LENDER") may:

        (a)    assign any of its rights; or

        (b)    transfer by novation any of its rights and obligations,

        to another bank (the "NEW LENDER").

23.2    CONDITIONS OF ASSIGNMENT OR TRANSFER
(a)     No consent of ABB is required for an assignment or transfer by a Lender.

(b)     An assignment or transfer shall be in respect of a Commitment of at
        least $10,000,000 or, if less, the whole of the Commitment of the
        relevant assignor or transferor.

(c)     An assignment will only be effective on receipt by the Facility Agent of
        written confirmation from the New Lender (in form and substance
        satisfactory to the Facility Agent) that the New Lender will assume the
        same obligations to the other Finance Parties and the Obligors as it
        would have been under if it was an Original Lender and that the New
        Lender is a Qualifying Bank.

(d)     A transfer will only be effective if the procedure set out in Clause
        23.5 (PROCEDURE FOR TRANSFER) is complied with.

(e)     If:

        (i)    a Lender assigns or transfers any of its rights or obligations
               under the Finance Documents or changes its Facility Office; and

        (ii)   as a result of circumstances existing at the date the assignment,
               transfer or change occurs, an Obligor would be obliged, or at
               such date it is reasonably foreseeable that an Obligor would be
               obliged, to make a payment to the New Lender or Lender acting
               through its new Facility Office under Clause 13 (TAX GROSS-UP AND
               INDEMNITIES) or Clause 14 (INCREASED COSTS),

        then the New Lender or Lender acting through its new Facility Office is
        only entitled to receive payment under those Clauses to the same extent
        as the Existing Lender or Lender acting through its previous Facility
        Office would have been if the assignment, transfer or change had not
        occurred.

23.3    ASSIGNMENT OR TRANSFER FEE
        The New Lender shall, on the date upon which an assignment or transfer
        takes effect, pay to the Facility Agent (for its own account) a fee of
        $1,500.

                                      -49-
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23.4    LIMITATION OF RESPONSIBILITY OF EXISTING LENDERS
(a)     Unless expressly agreed to the contrary, an Existing Lender makes no
        representation or warranty and assumes no responsibility to a New Lender
        for:

        (i)    the legality, validity, effectiveness, adequacy or enforceability
               of the Finance Documents or any other documents;

        (ii)   the financial condition of ABB or any Obligor;

        (iii)  the performance and observance by ABB or any Obligor of its
               obligations under the Finance Documents or any other documents;
               or

        (iv)   the accuracy of any statements (whether written or oral) made in
               or in connection with any Finance Document or any other document,

        and any representations or warranties implied by law are excluded.

(b)     Each New Lender confirms to the Existing Lender and the other Finance
        Parties that it:

        (i)    has made (and shall continue to make) its own independent
               investigation and assessment of the financial condition and
               affairs of ABB and each Obligor and its related entities in
               connection with its participation in this Agreement and has not
               relied exclusively on any information provided to it by the
               Existing Lender in connection with any Finance Document; and

        (ii)   will continue to make its own independent appraisal of the
               creditworthiness of ABB and each Obligor and its related entities
               whilst any amount is or may be outstanding under the Finance
               Documents or any Commitment is in force.

(c)     Nothing in any Finance Document obliges an Existing Lender to:

        (i)    accept a re-transfer from a New Lender of any of the rights and
               obligations assigned or transferred under this Clause 23; or

        (ii)   support any losses directly or indirectly incurred by the New
               Lender by reason of the non-performance by ABB or any Obligor of
               its obligations under the Finance Documents or otherwise.

23.5    PROCEDURE FOR TRANSFER
(a)     Subject to the conditions set out in Clause 23.2 (CONDITIONS OF
        ASSIGNMENT OR TRANSFER) a transfer is effected in accordance with
        paragraph (b) below when the Facility Agent executes an otherwise duly
        completed Transfer Certificate delivered to it by the Existing Lender
        and the New Lender. The Facility Agent shall, as soon as reasonably
        practicable after receipt by it of a duly completed Transfer Certificate
        appearing on its face to comply with the terms of this Agreement and
        delivered in accordance with the terms of this Agreement, execute that
        Transfer Certificate.

(b)     On the Transfer Date:

        (i)    to the extent that in the Transfer Certificate the Existing
               Lender seeks to transfer by novation its rights and obligations
               under the Finance Documents each of ABB, the Obligors and the
               Existing Lender shall be released from further

                                      -50-
<Page>

               obligations towards one another under the Finance Documents and
               their respective rights against one another shall be cancelled
               (being the "DISCHARGED RIGHTS AND OBLIGATIONS");

        (ii)   each of ABB, the Obligors and the New Lender shall assume
               obligations towards one another and/or acquire rights against one
               another which differ from the Discharged Rights and Obligations
               only insofar as ABB, that Obligor and the New Lender have assumed
               and/or acquired the same in place of ABB, that Obligor and the
               Existing Lender;

        (iii)  the Facility Agent, the Mandated Lead Arrangers, the New Lender
               and other Lenders shall acquire the same rights and assume the
               same obligations between themselves as they would have acquired
               and assumed had the New Lender been an Original Lender with the
               rights and/or obligations acquired or assumed by it as a result
               of the transfer and to that extent the Facility Agent, the
               Mandated Lead Arrangers and the Existing Lender shall each be
               released from further obligations to each other under this
               Agreement; and

        (iv)   the New Lender shall become a Party as a "Lender".

23.6    DISCLOSURE OF INFORMATION
        Any Lender may disclose to any of its Affiliates and any other person:

        (a)    to (or through) whom that Lender assigns or transfers (or may
               potentially assign or transfer) all or any of its rights and
               obligations under this Agreement;

        (b)    with (or through) whom that Lender enters into (or may
               potentially enter into) any sub-participation in relation to, or
               any other transaction under which payments are to be made by
               reference to, this Agreement or any Obligor; or

        (c)    to whom, and to the extent that, information is required to be
               disclosed by any applicable law or regulation,

        any information about ABB, any Obligor, the Group and the Finance
        Documents as that Lender shall consider appropriate if, in relation to
        paragraphs (a) and (b) above, the person to whom the information is to
        be given has entered into a confidentiality undertaking.

24.     CHANGES TO THE OBLIGORS

24.1    ASSIGNMENTS AND TRANSFER BY OBLIGORS
        Neither ABB nor any Obligor may assign any of its rights or transfer any
        of its rights or obligations under the Finance Documents.

24.2    ADDITIONAL BORROWERS
(a)     ABB may request that any of its wholly-owned Subsidiaries become an
        Additional Borrower. That Subsidiary shall become an Additional Borrower
        if:

        (i)    the Subsidiary is incorporated in an Agreed Jurisdiction or all
               the Lenders approve the addition of that Subsidiary;

                                      -51-
<Page>

        (ii)   that Subsidiary and ABB have executed a Keep-Well Agreement in
               respect of that Subsidiary;

        (iii)  ABB delivers to the Facility Agent a duly completed and executed
               Accession Letter;

        (iv)   ABB confirms that no Default is continuing or would occur as a
               result of that Subsidiary becoming an Additional Borrower;

        (v)    the Facility Agent has received all of the documents and other
               evidence listed in Schedule 2 (ADDITIONAL OBLIGOR CONDITIONS
               PRECEDENT) in relation to that Additional Borrower, each in form
               and substance reasonably satisfactory to the Facility Agent; and

        (vi)   (unless it would result in the contravention of any applicable
               law, taking into account the jurisdiction of incorporation of the
               relevant Subsidiary and subject to sub-paragraph (b) of Clause
               24.4 (ADDITIONAL GUARANTORS)), the Subsidiary, prior to or at the
               same time as it becomes an Additional Borrower, becomes an
               Additional Guarantor in accordance with Clause 24.4 (ADDITIONAL
               GUARANTORS).

(b)     The Facility Agent shall notify ABB and the Lenders promptly upon
        receiving (in form and substance reasonably satisfactory to it) all the
        documents and other evidence listed in Schedule 2 (ADDITIONAL OBLIGOR
        CONDITIONS PRECEDENT).

24.3    RESIGNATION OF A BORROWER
(a)     ABB may request that a Borrower ceases to be a Borrower by delivering to
        the Facility Agent a Resignation Letter.

(b)     The Facility Agent shall accept a Resignation Letter and notify ABB and
        the Lenders of its acceptance if:

        (i)    no Default would result from the acceptance of the Resignation
               Letter (and ABB has confirmed this to be the case); and

        (ii)   the relevant Borrower is under no actual or contingent
               obligations under any Finance Documents,

        whereupon that company shall cease to be a Borrower and shall have no
        further rights or obligations under the Finance Documents.

24.4    ADDITIONAL GUARANTORS
(a)     ABB may request that any of its wholly-owned Subsidiaries become an
        Additional Guarantor. That Subsidiary shall become an Additional
        Guarantor if:

        (i)    the Subsidiary is incorporated in an Agreed Jurisdiction or all
               the Lenders approve the addition of that Subsidiary;

        (ii)   the Subsidiary and ABB have executed a Keep-Well Agreement in
               respect of that Subsidiary;

        (iii)  ABB delivers to the Facility Agent a duly completed and executed
               Accession Letter;

                                      -52-
<Page>

        (iv)   ABB confirms that no Default is continuing or would occur as a
               result of that Subsidiary becoming an Additional Guarantor; and

        (v)    the Facility Agent has received all of the documents and other
               evidence listed in Schedule 2 (ADDITIONAL OBLIGOR CONDITIONS
               PRECEDENT) in relation to that Additional Guarantor, each in form
               and substance reasonably satisfactory to the Facility Agent.

(b)     If legal counsel in the jurisdiction of incorporation of the relevant
        Subsidiary so advise, ABB and the Lenders shall enter into negotiations
        with a view to agreeing such amendments to Clause 36 (GUARANTEE AND
        INDEMNITY) as may be necessary to enable the Subsidiary to become an
        Additional Guarantor without contravening any applicable laws.

(c)     The Facility Agent shall notify ABB and the Lenders promptly upon
        receiving (in form and substance reasonably satisfactory to it) all the
        documents and other evidence listed in Schedule 2 (ADDITIONAL OBLIGOR
        CONDITIONS PRECEDENT).

24.5    REPETITION OF REPRESENTATION
        Delivery of an Accession Letter constitutes confirmation by the relevant
        Subsidiary that the representations and warranties in Clause 18.5
        (VALIDITY AND ADMISSIBILITY IN EVIDENCE) and the representations and
        warranties deemed to be repeated pursuant to Clause 18.14 (REPETITION)
        are true and correct in relation to it as at the date of delivery as if
        made by reference to the facts and circumstances then existing.

24.6    RESIGNATION OF A GUARANTOR
(a)     ABB may request that a Guarantor ceases to be a Guarantor by delivering
        to the Facility Agent a Resignation Letter.

(b)     Subject (and without prejudice) to paragraph (c) below, the Facility
        Agent shall accept a Resignation Letter and notify ABB and the Lenders
        of its acceptance if:

        (i)    no Default would result from the acceptance of the Resignation
               Letter (and ABB has confirmed this is the case); and

                                      -53-
<Page>

        (ii)   in the case of an Original Guarantor, all the Lenders have
               consented to ABB's request.

(c)     In the case of a Resignation Letter delivered by ABB with respect to a
        Guarantor which is incorporated in Sweden, the Facility Agent shall
        accept such Resignation Letter and notify ABB and the Lenders of its
        acceptance.

                                      -54-
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                                    SECTION 9
                               THE FINANCE PARTIES

25.     ROLE OF THE FACILITY AGENT AND THE MANDATED LEAD ARRANGERS

25.1    APPOINTMENT OF THE FACILITY AGENT
(a)     Each of the Mandated Lead Arrangers and the Lenders appoints the
        Facility Agent to act as its agent under and in connection with the
        Finance Documents.

(b)     Each of the Mandated Lead Arrangers and the Lenders authorises the
        Facility Agent to exercise the rights, powers, authorities and
        discretions specifically given to the Facility Agent under or in
        connection with the Finance Documents together with any other incidental
        rights, powers, authorities and discretions.

(c)     The Facility Agent shall, unless ABB agrees otherwise, act out of an
        office in London.

25.2    DUTIES OF THE FACILITY AGENT
(a)     The Facility Agent shall promptly forward to a Party the original or a
        copy of any document which is delivered to the Facility Agent for that
        Party by any other Party.

(b)     If the Facility Agent receives notice from a Party referring to this
        Agreement, describing a Default and stating that the circumstance
        described is a Default, it shall promptly notify the Lenders.

(c)     The Facility Agent shall promptly notify the Lenders of any Default
        arising under Clause 22.1 (NON-PAYMENT).

(d)     The Facility Agent's duties under the Finance Documents are solely
        mechanical and administrative in nature.

25.3    ROLE OF THE MANDATED LEAD ARRANGERS
        Except as specifically provided in the Finance Documents, the Mandated
        Lead Arrangers have no obligations of any kind to any other Party under
        or in connection with any Finance Document.

25.4    NO FIDUCIARY DUTIES
(a)     Nothing in this Agreement constitutes the Facility Agent or a Mandated
        Lead Arranger as a trustee or fiduciary of any other person.

(b)     Neither the Facility Agent nor any of the Mandated Lead Arrangers shall
        be bound to account to any Lender for any sum or the profit element of
        any sum received by it for its own account.

25.5    BUSINESS WITH THE GROUP
        The Facility Agent and each Mandated Lead Arranger may accept deposits
        from, lend money to and generally engage in any kind of banking or other
        business with any of the Group Companies.

25.6    RIGHTS AND DISCRETIONS OF THE FACILITY AGENT
(a)     The Facility Agent may rely on:

                                      -55-
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        (i)    any representation, notice or document believed by it to be
               genuine, correct and appropriately authorised; and

        (ii)   any statement made by a director, authorised signatory or
               employee of any person regarding any matters which may reasonably
               be assumed to be within his knowledge or within his power to
               verify.

(b)     The Facility Agent may assume (unless it has received notice to the
        contrary in its capacity as agent for the Lenders) that:

        (i)    no Default has occurred (unless it has actual knowledge of a
               Default arising under Clause 22.1 (NON-PAYMENT)); and

        (ii)   any right, power, authority or discretion vested in any Party or
               the Majority Lenders has not been exercised.

(c)     The Facility Agent may engage, pay for and rely on the advice or
        services of any lawyers, accountants, surveyors or other experts.

(d)     The Facility Agent may act in relation to the Finance Documents through
        its personnel and agents.

25.7    MAJORITY LENDERS' INSTRUCTIONS
(a)     Unless a contrary indication appears in a Finance Document, the Facility
        Agent shall (a) act in accordance with any instructions given to it by
        the Majority Lenders (or, if so instructed by the Majority Lenders,
        refrain from acting or exercising any right, power, authority or
        discretion vested in it as Facility Agent) and (b) not be liable for any
        act (or omission) if it acts (or refrains from taking any action) in
        accordance with such an instruction of the Majority Lenders.

(b)     Unless a contrary indication appears in a Finance Document, any
        instructions given by the Majority Lenders will be binding on all the
        Finance Parties.

(c)     The Facility Agent may refrain from acting in accordance with the
        instructions of the Majority Lenders (or, if appropriate, the Lenders)
        until it has received such security as it may require for any cost, loss
        or liability (together with any associated VAT) which it may incur in
        complying with the instructions.

(d)     In the absence of instructions from the Majority Lenders, (or, if
        appropriate, the Lenders) the Facility Agent may act (or refrain from
        taking action) as it considers to be in the best interest of the
        Lenders.

(e)     The Facility Agent is not authorised to act on behalf of a Lender
        (without first obtaining that Lender's consent) in any legal or
        arbitration proceedings relating to any Finance Document.

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25.8    RESPONSIBILITY FOR DOCUMENTATION
        Neither the Facility Agent nor any of the Mandated Lead Arrangers:

        (a)    is responsible for the adequacy, accuracy and/or completeness of
               any information (whether oral or written) supplied by the
               Facility Agent, a Mandated Lead Arranger, ABB, any Obligor or any
               other person given in or in connection with any Finance Document
               or the Information Memorandum; or

        (b)    is responsible for the legality, validity, effectiveness,
               adequacy or enforceability of any Finance Document or any other
               agreement, arrangement or document entered into, made or executed
               in anticipation of or in connection with any Finance Document.

25.9    EXCLUSION OF LIABILITY
(a)     Without limiting paragraph (b) below, the Facility Agent will not be
        liable for any action taken by it under or in connection with any
        Finance Document, unless directly caused by its negligence, wilful
        default or wilful misconduct.

(b)     No Party may take any proceedings against any officer, employee or agent
        of the Facility Agent in respect of any claim it might have against the
        Facility Agent or in respect of any act or omission of any kind by that
        officer, employee or agent in relation to any Finance Document and any
        officer, employee or agent of the Facility Agent may rely on this
        Clause.

(c)     The Facility Agent will not (absent negligence, wilful default or wilful
        misconduct directly giving rise to such liability) be liable for any
        delay (or any related consequences) in crediting an account with an
        amount required under the Finance Documents to be paid by the Facility
        Agent if the Facility Agent has taken all necessary steps as soon as
        reasonably practicable to comply with the regulations or operating
        procedures of any recognised clearing or settlement system used by the
        Facility Agent for that purpose.

25.10   LENDERS' INDEMNITY TO THE FACILITY AGENT
        The Lenders shall (in proportion to their Commitments or, if the Total
        Commitments are then zero, to their Commitments immediately prior to
        their reduction to zero) severally indemnify the Facility Agent, within
        three Business Days of demand, against any cost, loss or liability
        incurred by the Facility Agent (otherwise than by reason of the Facility
        Agent's negligence or wilful misconduct) in acting as Facility Agent
        under the Finance Documents (unless the Facility Agent has been
        reimbursed by ABB or the Obligors pursuant to a Finance Document).

25.11   RESIGNATION OF THE FACILITY AGENT
(a)     The Facility Agent may resign and appoint one of its Affiliates as
        successor by giving notice to the Lenders and ABB PROVIDED THAT such
        successor shall act out of an office in London.

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(b)     Alternatively the Facility Agent may resign by giving notice to the
        Lenders and ABB, in which case the Majority Lenders may appoint a
        successor Facility Agent which will act out of an office in London.

(c)     If the Majority Lenders have not appointed a successor Facility Agent in
        accordance with paragraph (b) above within 30 days after notice of
        resignation was given, the resigning Facility Agent may appoint a
        successor Facility Agent which will act out of an office in London.

(d)     A successor Facility Agent may only be appointed with the prior consent
        of ABB (such consent not to be unreasonably withheld or delayed).

(e)     The retiring Facility Agent shall, at its own cost, make available to
        the successor Facility Agent such documents and records and provide such
        assistance as the successor Facility Agent may reasonably request for
        the purposes of performing its functions as Facility Agent under the
        Finance Documents.

(f)     Such Facility Agent's resignation notice shall only take effect upon the
        appointment of a successor as contemplated in paragraphs (b) and (c)
        above.

(g)     Upon the appointment of a successor, the retiring Facility Agent shall
        be discharged from any further obligation in respect of the Finance
        Documents but shall remain entitled to the benefit of this Clause 25.
        Its successor and each of the other Parties shall have the same rights
        and obligations amongst themselves as they would have had if such
        successor had been an original Party.

(h)     After consultation with ABB, the Majority Lenders may, by notice to the
        Facility Agent, require it to resign in accordance with paragraph (b)
        above. In this event, the Facility Agent shall resign in accordance with
        paragraph (b) above.

25.12   CONFIDENTIALITY
(a)     In acting as agent for the Finance Parties, the Facility Agent shall be
        regarded as acting through its agency division which shall be treated as
        a separate entity from any other of its divisions or departments.

(b)     If information is received by another division or department of the
        Facility Agent, it may be treated as confidential to that division or
        department and the Facility Agent shall not be deemed to have notice of
        it.

(c)     Notwithstanding any other provision of any Finance Document to the
        contrary, neither the Facility Agent nor any Mandated Lead Arranger is
        obliged to disclose to any other person (i) any confidential information
        or (ii) any other information if the disclosure would or might in its
        reasonable opinion constitute a breach of any law or a breach of a
        fiduciary duty.

25.13   RELATIONSHIP WITH THE LENDERS
(a)     The Facility Agent may treat each Lender as a Lender, entitled to
        payments under this Agreement and acting through its Facility Office
        unless it has received not less than 5 Business Days' prior notice from
        that Lender to the contrary in accordance with the terms of this
        Agreement.

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(b)     Each Lender shall supply the Facility Agent with any information
        required by the Facility Agent in order to calculate the Additional Cost
        Rate.

25.14   CREDIT APPRAISAL BY THE LENDERS
        Without affecting the responsibility of each of ABB and the Obligors for
        information supplied by it or on its behalf in connection with any
        Finance Document, each Lender confirms to the Facility Agent and each
        Mandated Lead Arranger that it has been, and will continue to be, solely
        responsible for making its own independent appraisal and investigation
        of all risks arising under or in connection with any Finance Document
        including but not limited to:

        (a)    the financial condition, status and nature of each Group Company;

        (b)    the legality, validity, effectiveness, adequacy or enforceability
               of any Finance Document and any other agreement, arrangement or
               document entered into, made or executed in anticipation of, under
               or in connection with any Finance Document;

        (c)    whether that Lender has recourse, and the nature and extent of
               that recourse, against any Party or any of its respective assets
               under or in connection with any Finance Document, the
               transactions contemplated by the Finance Documents or any other
               agreement, arrangement or document entered into, made or executed
               in anticipation of, under or in connection with any Finance
               Document; and

        (d)    the adequacy, accuracy and/or completeness of the Information
               Memorandum and any other information provided by the Facility
               Agent, any other Party or by any other person under or in
               connection with any Finance Document, a Mandated Lead Arranger
               the transactions contemplated by the Finance Documents or any
               other agreement, arrangement or document entered into, made or
               executed in anticipation of, under or in connection with any
               Finance Document.

25.15   REFERENCE BANKS
        If a Reference Bank (or, if a Reference Bank is not a Lender, the Lender
        of which it is an Affiliate) ceases to be a Lender, the Facility Agent
        shall (in consultation with ABB) appoint another Lender or an Affiliate
        of a Lender to replace that Reference Bank.

26.     CONDUCT OF BUSINESS BY THE FINANCE PARTIES

        No provision of this Agreement will:

        (a)    interfere with the right of any Finance Party to arrange its
               affairs (tax or otherwise) in whatever manner it thinks fit;

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        (b)    oblige any Finance Party to investigate or claim any credit,
               relief, remission or repayment available to it or the extent,
               order and manner of any claim; or

        (c)    oblige any Finance Party to disclose any information relating to
               its affairs (tax or otherwise) or any computations in respect of
               Tax.

27.     SHARING AMONG THE LENDERS

27.1    PAYMENTS TO LENDERS
        If a Lender (a "RECOVERING LENDER") receives or recovers any amount from
        ABB or an Obligor other than in accordance with Clause 28 (PAYMENT
        MECHANICS) and applies that amount to a payment due under the Finance
        Documents then:

        (a)    the Recovering Lender shall, within 3 Business Days, notify
               details of the receipt or recovery, to the Facility Agent;

        (b)    the Facility Agent shall determine whether the receipt or
               recovery is in excess of the amount the Recovering Lender would
               have been paid had the receipt or recovery been received or made
               by the Facility Agent and distributed in accordance with Clause
               28 (PAYMENT MECHANICS), without taking account of any Tax which
               would be imposed on the Facility Agent in relation to the
               receipt, recovery or distribution; and

        (c)    the Recovering Lender shall, within three Business Days of demand
               by the Facility Agent, pay to the Facility Agent an amount (the
               "SHARING PAYMENT") equal to such receipt or recovery less any
               amount which the Facility Agent determines may be retained by the
               Recovering Lender as its share of any payment to be made, in
               accordance with Clause 28.5 (PARTIAL PAYMENTS).

27.2    REDISTRIBUTION OF PAYMENTS
        The Facility Agent shall treat the Sharing Payment as if it had been
        paid by ABB or the relevant Obligor (as the case may be) and distribute
        it between the Finance Parties (other than the Recovering Lender) in
        accordance with Clause 28.5 (PARTIAL PAYMENTS).

27.3    RECOVERING LENDER'S RIGHTS
(a)     On a distribution by the Facility Agent under Clause 27.2
        (REDISTRIBUTION OF PAYMENTS), the Recovering Lender will be subrogated
        to the rights of the Finance Parties which have shared in the
        redistribution.

(b)     If and to the extent that the Recovering Lender is not able to rely on
        its rights under paragraph (a) above, ABB or the relevant Obligor (as
        the case may be) shall be liable to the Recovering Lender for a debt
        equal to the Sharing Payment which is immediately due and payable.

27.4    REVERSAL OF REDISTRIBUTION
        If any part of the Sharing Payment received or recovered by a Recovering
        Lender becomes repayable and is repaid by that Recovering Lender, then:

        (a)    each Lender which has received a share of the relevant Sharing
               Payment pursuant to Clause 27.2 (REDISTRIBUTION OF PAYMENTS)
               shall, upon request of the Facility Agent, pay to the Facility
               Agent for the account of that Recovering

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               Lender an amount equal to its share of the Sharing Payment
               (together with an amount as is necessary to reimburse that
               Recovering Lender for its proportion of any interest on the
               Sharing Payment which that Recovering Lender is required to pay);
               and

        (b)    that Recovering Lender's rights of subrogation in respect of any
               reimbursement shall be cancelled and ABB or the relevant Obligor
               (as the case may be) will be liable to the reimbursing Lender for
               the amount so reimbursed.

27.5    EXCEPTIONS
(a)     This Clause 27 shall not apply to the extent that the Recovering Lender
        would not, after making any payment pursuant to this Clause, have a
        valid and enforceable claim against ABB or the relevant Obligor (as the
        case may be).

(b)     A Recovering Lender is not obliged to share with any other Lender any
        amount which the Recovering Lender has received or recovered as a result
        of taking legal or arbitration proceedings, if:

        (i)    it notified the other Lenders of the legal or arbitration
               proceedings; and

        (ii)   the other Lender had an opportunity to participate in those legal
               or arbitration proceedings but did not do so as soon as
               reasonably practicable having received notice or did not take
               separate legal or arbitration proceedings.

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                                   SECTION 10
                                 ADMINISTRATION

28.     PAYMENT MECHANICS

28.1    PAYMENTS TO THE FACILITY AGENT
(a)     On each date on which ABB, an Obligor or a Lender is required to make a
        payment under a Finance Document, ABB, such Obligor or, as the case may
        be, such Lender shall make the same available to the Facility Agent
        (unless a contrary indication appears in a Finance Document) for value
        on the due date at the time and in such funds specified by the Facility
        Agent as being customary at the time for settlement of transactions in
        the relevant currency in the place of payment.

(b)     Payment shall be made to such account in the principal financial centre
        of the country of that currency (or, in relation to Euro, in a principal
        financial centre in a Participating Member State or London) with such
        bank as the Facility Agent specifies.

28.2    DISTRIBUTIONS BY THE FACILITY AGENT
        Each payment received by the Facility Agent under the Finance Documents
        for another Party shall, subject to Clause 28.3 (DISTRIBUTIONS TO THE
        OBLIGORS) and Clause 28.4 (CLAWBACK) be made available by the Facility
        Agent as soon as practicable after receipt to the Party entitled to
        receive payment in accordance with this Agreement (in the case of a
        Lender, for the account of its Facility Office), to such account as that
        Party may notify to the Facility Agent by not less than 5 Business Days'
        notice with a bank in the principal financial centre of the country of
        that currency (or, in relation to Euro, in the principal financial
        centre of a Participating Member State or London).

28.3    DISTRIBUTIONS TO THE OBLIGORS
        The Facility Agent may (with the consent of ABB or the relevant Obligor
        (as the case may be) or in accordance with Clause 29 (SET-OFF)) apply
        any amount received by it for ABB or that Obligor in or towards payment
        (on the date and in the currency and funds of receipt) of any amount due
        from ABB or that Obligor (as the case may be) under the Finance
        Documents or in or towards purchase of any amount of any currency to be
        so applied.

28.4    CLAWBACK
(a)     Where a sum is to be paid to the Facility Agent under the Finance
        Documents for another Party, the Facility Agent is not obliged to pay
        that sum to that other Party (or to enter into or perform any related
        exchange contract) until it has been able to establish to its absolute
        satisfaction that it has actually received that sum (and the Facility
        Agent shall make such due enquiry as a diligent agent would make in so
        establishing).

(b)     If the Facility Agent pays an amount to another Party and it proves to
        be the case that the Facility Agent had not actually received that
        amount, then the Party to whom that amount (or the proceeds of any
        related exchange contract) was paid by the Facility Agent shall on
        demand refund the same to the Facility Agent together with interest on
        that amount from the date of payment to the date of receipt by the
        Facility Agent, calculated by the Facility Agent to reflect its cost of
        funds.

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(c)     In the event that a Lender fails to make its participation in an Advance
        available to the Facility Agent (as defined in Clause 28.1 (PAYMENTS TO
        THE FACILITY AGENT)) in accordance with the terms of this Agreement,
        such Lender hereby indemnifies the Facility Agent on demand against all
        costs, losses and expenses that the Facility Agent may incur as a result
        of such failure (including, without limitation, where the Facility
        Agent, at its sole option, makes arrangements to make available to the
        relevant Borrower an amount equal to said participation).

(d)     For the purposes of paragraph (c) of this Clause 28.4, if a Lender makes
        its participation available to the Facility Agent after 3.00 p.m.
        (London time) on the due date, such participation shall be deemed to
        have been made available on the Business Day immediately succeeding the
        said due date.

28.5    PARTIAL PAYMENTS
(a)     If the Facility Agent receives a payment that is insufficient to
        discharge all the amounts then due and payable by ABB or the Obligors
        under the Finance Documents, the Facility Agent shall apply that payment
        towards the obligations of the Obligors under the Finance Documents in
        the following order:

        (i)    FIRST, in or towards payment pro rata of any unpaid fees, costs
               and expenses of the Facility Agent under the Finance Documents;

        (ii)   SECONDLY, in or towards payment pro rata of any accrued interest
               or commission due but unpaid under this Agreement;

        (iii)  THIRDLY, in or towards payment pro rata of any principal due but
               unpaid under this Agreement; and

        (iv)   FOURTHLY, in or towards payment pro rata of any other sum due but
               unpaid under the Finance Documents.

(b)     The Facility Agent shall, if so directed by the Majority Lenders, vary
        the order set out in paragraphs (a)(ii) to (iv) above.

(c)     Paragraphs (a) and (b) above will override any appropriation made by ABB
        or any Obligor.

28.6    NO SET-OFF BY OBLIGORS
        All payments to be made by ABB or the Obligors under the Finance
        Documents shall be calculated and be made without (and free and clear of
        any deduction for) set-off or counterclaim.

28.7    BUSINESS DAYS
(a)     Any payment which is due to be made on a day that is not a Business Day
        shall be made on the next Business Day in the same calendar month (if
        there is one) or the preceding Business Day (if there is not).

(b)     During any extension of the due date for payment of any principal or an
        Unpaid Sum under this Agreement interest is payable on the principal at
        the rate payable on the original due date.

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28.8    CURRENCY OF ACCOUNT
(a)     Subject to paragraphs (b) to (e) below, the Base Currency is the
        currency of account and payment for any sum due from ABB or the Obligors
        under any Finance Document.

(b)     A repayment of an Advance or Unpaid Sum or a part of an Advance or
        Unpaid Sum shall be made in the currency in which that Advance or Unpaid
        Sum is denominated on its due date.

(c)     Each payment of interest shall be made in the currency in which the sum
        in respect of which the interest is payable was denominated when that
        interest accrued.

(d)     Each payment in respect of costs, expenses or Taxes shall be made in the
        currency in which the costs, expenses or Taxes are incurred.

(e)     Any amount expressed to be payable in a currency other than the Base
        Currency shall be paid in that other currency.

28.9    CHANGE OF CURRENCY
(a)     Unless otherwise prohibited by law, if more than one currency or
        currency unit are at the same time recognised by the central bank of any
        country as the lawful currency of that country, then:

        (i)    any reference in the Finance Documents to, and any obligations
               arising under the Finance Documents in, the currency of that
               country shall be translated into, or paid in, the currency or
               currency unit of that country designated by the Facility Agent
               (after consultation with ABB); and

        (ii)   any translation from one currency or currency unit to another
               shall be at the official rate of exchange recognised by the
               central bank for the conversion of that currency or currency unit
               into the other, rounded up or down by the Facility Agent (acting
               reasonably).

(b)     If a change in any currency of a country occurs, this Agreement will, to
        the extent the Facility Agent (acting reasonably and after consultation
        with ABB) specifies to be necessary, be amended to comply with any
        generally accepted conventions and market practice in the Relevant
        Interbank Market and otherwise to reflect the change in currency.

29.     SET-OFF

        Without prejudice to the rights at law of each Finance Party, while an
        Event of Default is continuing, a Finance Party may set off any matured
        obligation due from ABB or an Obligor under the Finance Documents (to
        the extent beneficially owned by that Finance Party) against any matured
        obligation owed by that Finance Party to ABB or that Obligor (as the
        case may be), regardless of the place of payment, booking branch or
        currency of either obligation. If the obligations are in different
        currencies, the Finance Party may convert either obligation at a market
        rate of exchange in its usual course of business for the purpose of the
        set-off.

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30.     NOTICES

30.1    COMMUNICATIONS IN WRITING
(a)     Any communication to be made under or in connection with the Finance
        Documents shall be made in writing and, unless otherwise stated, may be
        made by fax or letter.

(b)     With the consent of the relevant Lender, the Facility Agent may serve
        notices and other information on a Lender by way of electronic mail.

30.2    ADDRESSES
(a)     The address and fax number (and the department or officer, if any, for
        whose attention the communication is to be made) of each Party for any
        communication or document to be made or delivered under or in connection
        with the Finance Documents is:

        (i)    in the case of the Original Obligors, that identified in Part 2
               of Schedule 1 (THE ORIGINAL OBLIGORS), with a copy to ABB and ABB
               Capital B.V., Zurich Branch;

        (ii)   in the case of ABB, that identified in Clause 30.2(b);

        (iii)  in the case of an Additional Obligor, that identified in the
               Accession Letter relating to that Additional Obligor, with a copy
               to ABB and ABB Capital B.V., Zurich Branch;

        (iv)   in the case of ABB Capital B.V., Zurich Branch, that identified
               in Clause 30.2(b);

        (v)    in the case of each Lender, that notified in writing to the
               Facility Agent on or prior to the date on which it becomes a
               Party; and

        (vi)   in the case of the Facility Agent, that identified in Clause
               30.2(b),

        or any substitute address, fax number or department or officer as the
        Party may notify to the Facility Agent (or the Facility Agent may notify
        to the other Parties, if a change is made by the Facility Agent) by not
        less than 5 Business Days' notice.

(b)

        (i)    the Facility Agent:

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               Credit Suisse First Boston
               1 Cabot Square
               Canary Wharf
               London  E14 4LB

               Attn:  Loans Agency
               Tel:   020 7888 8361
               Fax:   020 7458 8204 / 020 7888 8398

        (ii)   ABB Capital B.V., Zurich Branch

               Thurgauerstrasse 54
               CH-8050 Zurich
               Switzerland

               Attn:  President's Office
               Fax:   +41 1 318 5252

        (iii)  ABB Ltd

               Affolternstrasse 44
               CH-8050 Zurich
               Switzerland

               Attn:  Senior Group Officer - Group Financing and Taxes
               Fax:   +41 43 317 7992
                      +41 43 317 7982

30.3    DELIVERY

(a)     Any communication or document made or delivered by one person to another
        under or in connection with the Finance Documents will only be
        effective:

        (i)    if by way of fax, when received in legible form; or

        (ii)   if by way of letter, when it has been left at the relevant
               address or 5 (in the case of domestic mail) or 10 (in the case of
               air mail) Business Days after being deposited in the post postage
               prepaid in an envelope addressed to it at that address; or

        (iii)  if by way of electronic mail, when received.

        and, if a particular department or officer is specified as part of its
        address details provided under Clause 30.2 (ADDRESSES), if addressed to
        that department or officer, PROVIDED THAT if receipt is on a day that is
        not a working day in the country of receipt or is at a time outside
        normal business hours, such communication shall be effective on the next
        succeeding working day.

(b)     Any communication or document to be made or delivered to the Facility
        Agent will be effective only when actually received by the Facility
        Agent and then only if it is expressly marked for the attention of the
        department or officer identified in Clause 30.2

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        (ADDRESSES) (or any substitute department or officer as the Facility
        Agent shall specify for this purpose).

(c)     All notices from or to ABB or an Obligor shall be sent through the
        Facility Agent.

30.4    NOTIFICATION OF ADDRESS AND FAX NUMBER
        Promptly upon receipt of notification of an address, fax number or
        change of address or fax number pursuant to Clause 30.2 (ADDRESSES) or
        changing its own address or fax number, the Facility Agent shall notify
        the other Parties.

30.5    ENGLISH LANGUAGE
(a)     Any notice given under or in connection with any Finance Document must
        be in English.

(b)     All other documents provided under or in connection with any Finance
        Document must be:

        (i)    in English; or

        (ii)   if not in English, and if so required by the Facility Agent,
               accompanied by a certified English translation.

31.     CALCULATIONS AND CERTIFICATES

31.1    ACCOUNTS
        In any litigation or arbitration proceedings arising out of or in
        connection with a Finance Document, the entries made in the accounts
        maintained by a Finance Party are PRIMA FACIE evidence of the matters to
        which they relate.

31.2    CERTIFICATES AND DETERMINATIONS
        Except where otherwise indicated, any certification or determination by
        a Finance Party of a rate or amount under any Finance Document is, in
        the absence of manifest error, conclusive evidence of the matters to
        which it relates.

31.3    DAY COUNT CONVENTION
        Any interest, commission or fee accruing under a Finance Document will
        accrue from day to day and is calculated on the basis of the actual
        number of days elapsed and a year of 360 days or, in any case where the
        practice in the Relevant Interbank Market differs, in accordance with
        that market practice.

32.     PARTIAL INVALIDITY

        If, at any time, any provision of the Finance Documents is or becomes
        illegal, invalid or unenforceable in any respect under any law of any
        jurisdiction, neither the legality, validity or enforceability of the
        remaining provisions nor the legality, validity or enforceability of
        such provision under the law of any other jurisdiction will in any way
        be affected or impaired.

33.     REMEDIES AND WAIVERS

        No failure to exercise, nor any delay in exercising, on the part of any
        Finance Party, any right or remedy under the Finance Documents shall
        operate as a waiver, nor shall any single or partial exercise of any
        right or remedy prevent any further or other exercise or

                                      -67-
<Page>

        the exercise of any other right or remedy. The rights and remedies
        provided in this Agreement are cumulative and not exclusive of any
        rights or remedies provided by law.

34.     AMENDMENTS AND WAIVERS

34.1    REQUIRED CONSENTS
(a)     Subject to Clause 34.2 (EXCEPTIONS) any term of the Finance Documents
        may be amended or waived only with the consent of the Majority Lenders
        and ABB and any such amendment or waiver will be binding on all Parties.

(b)     The Facility Agent may effect (and is hereby so authorised by each
        Finance Party), on behalf of any Finance Party, any amendment or waiver
        permitted by this Clause.

34.2    EXCEPTIONS
(a)     An amendment or waiver that has the effect of changing or which relates
        to:

        (i)    the definition of "Majority Lenders" in Clause 1.1 (DEFINITIONS);

        (ii)   an extension to the date of payment of any amount under the
               Finance Documents;

        (iii)  a reduction in the Margin or the amount of any payment of
               principal, interest, fees or commission payable;

        (iv)   an increase in any Commitment;

        (v)    any provision which expressly requires the consent of all the
               Lenders;

        (vi)   Clause 2.2 (LENDERS' RIGHTS AND OBLIGATIONS), Clause 4.1
               (CONDITIONS PRECEDENT), Clause 23 (CHANGES TO THE LENDERS),
               Clause 24 (CHANGES TO THE OBLIGORS), Clause 27 (SHARING AMONG THE
               LENDERS) or this Clause 34; or

        (vii)  any change to the Obligors other than in accordance with Clause
               24 (CHANGES TO THE OBLIGORS),

        shall not be made without the prior consent of all the Lenders.

(b)     An amendment or waiver which relates to the rights or obligations of the
        Facility Agent or any Mandated Lead Arranger may not be effected without
        the consent of the Facility Agent or such Mandated Lead Arranger.

35.     COUNTERPARTS

        Each Finance Document may be executed in any number of counterparts, and
        this has the same effect as if the signatures on the counterparts were
        on a single copy of the Finance Document.

                                      -68-
<Page>

                                   SECTION 11
                                    GUARANTEE

36.     GUARANTEE AND INDEMNITY

36.1    GUARANTEE AND INDEMNITY
        Subject to the provisos and confirmations contained in Clause 36.9
        (CONFIRMATIONS AND RESTRICTIONS), each Guarantor irrevocably and
        unconditionally jointly and severally:

        (a)    guarantees to each Finance Party punctual performance by each
               Borrower of all that Borrower's obligations under the Finance
               Documents;

        (b)    undertakes with each Finance Party that whenever a Borrower does
               not pay any amount when due under or in connection with any
               Finance Document, that Guarantor shall immediately on demand pay
               that amount as if it was the principal obligor; and

        (c)    indemnifies each Finance Party immediately on demand against any
               cost, loss or liability suffered by that Finance Party if any
               obligation guaranteed by it is or becomes unenforceable, invalid
               or illegal. The amount of the cost, loss or liability shall be
               equal to the amount which that Finance Party would otherwise have
               been entitled to recover.

36.2    CONTINUING GUARANTEE
        This guarantee is a continuing guarantee and will extend to the ultimate
        balance of sums payable by any Obligor under the Finance Documents,
        regardless of any intermediate payment or discharge in whole or in part.

36.3    REINSTATEMENT
        If any payment by an Obligor or any discharge given by a Finance Party
        (whether in respect of the obligations of any Obligor or any security
        for those obligations or otherwise) is avoided or reduced as a result of
        insolvency or any similar event:

        (a)    the liability of each Obligor shall continue as if the payment,
               discharge, avoidance or reduction had not occurred; and

        (b)    each Finance Party shall be entitled to recover the value or
               amount of that security or payment from each Obligor, as if the
               payment, discharge, avoidance or reduction had not occurred.

36.4    WAIVER OF DEFENCES
        The obligations of each Guarantor under this Clause 36 will not be
        affected by an act, omission, matter or thing which, but for this
        Clause, would reduce, release or prejudice any of its obligations under
        this Clause 36 (without limitation and whether or not known to it or any
        Finance Party) including:

        (a)    any time, waiver or consent granted to, or composition with, any
               Obligor or other person;

        (b)    the release of any other Obligor or any other person under the
               terms of any composition or arrangement with any creditor of any
               member of the Group;

                                      -69-
<Page>

        (c)    the taking, variation, compromise, exchange, renewal or release
               of, or refusal or neglect to perfect, take up or enforce, any
               rights against, or security over assets of, any Obligor or other
               person or any non-presentation or non-observance of any formality
               or other requirement in respect of any instrument or any failure
               to realise the full value of any security;

        (d)    any incapacity or lack of power, authority or legal personality
               of or dissolution or change in the members or status of an
               Obligor or any other person;

        (e)    any amendment (however fundamental) or replacement of a Finance
               Document or any other document or security;

        (f)    any unenforceability, illegality or invalidity of any obligation
               of any person under any Finance Document or any other document or
               security; or

        (g)    any insolvency or similar proceedings.

36.5    IMMEDIATE RECOURSE
        Each Guarantor waives any right it may have of first requiring any
        Finance Party (or any trustee or agent on its behalf) to proceed against
        or enforce any other rights or security or claim payment from any person
        before claiming from that Guarantor under this Clause 36. This waiver
        applies irrespective of any law or any provision of a Finance Document
        to the contrary.

36.6    APPROPRIATIONS
        Until all amounts which may be or become payable by the Obligors under
        or in connection with the Finance Documents have been irrevocably paid
        in full, each Finance Party (or any trustee or agent on its behalf) may:

        (a)    refrain from applying or enforcing any other moneys, security or
               rights held or received by that Finance Party (or any trustee or
               agent on its behalf) in respect of those amounts, or apply and
               enforce the same in such manner and order as it sees fit (whether
               against those amounts or otherwise) and no Guarantor shall be
               entitled to the benefit of the same; and

        (b)    hold in an interest-bearing suspense account any moneys received
               from any Guarantor or on account of any Guarantor's liability
               under this Clause 36.

36.7    DEFERRAL OF GUARANTORS' RIGHTS
        Until all amounts which may be or become payable by the Obligors under
        or in connection with the Finance Documents have been irrevocably paid
        in full or the Facility Agent otherwise directs, no Guarantor will
        exercise any rights which it may have by reason of performance by it of
        its obligations under the Finance Documents:

        (a)    to be indemnified by an Obligor;

        (b)    to claim any contribution from any other guarantor of any
               Obligor's obligations under the Finance Documents; and/or

        (c)    to take the benefit (in whole or in part and whether by way of
               subrogation or otherwise) of any rights of the Finance Parties
               under the Finance Documents or

                                      -70-
<Page>

               of any other guarantee or security taken pursuant to, or in
               connection with, the Finance Documents by any Finance Party.

36.8    ADDITIONAL SECURITY
        This guarantee is in addition to and is not in any way prejudiced by any
        other guarantee or security now or subsequently held by any Finance
        Party.

36.9    CONFIRMATIONS AND RESTRICTIONS
        (a)    ABB Capital B.V. and each other Guarantor which is incorporated
               in the Netherlands confirms that the execution of the Finance
               Documents (including the guarantee granted by it hereunder) and
               the performance of the transactions contemplated thereby are in
               the best corporate interest of ABB Capital B.V. or, as the case
               may be, such other Dutch Guarantor and are not prejudicial to
               their respective creditors (present and future) and all requisite
               corporate action has been taken to approve and to authorise the
               same.

        (b)    The obligations and liabilities of ABB Financial Services AB, or
               any other Guarantor which is incorporated in Sweden, under this
               Clause 36 shall be limited if required by an application of the
               provisions of the Swedish Companies Act (Sw: AKTIEBOLAGSLAGEN)
               (SFS 1975:1385)) in force from time to time regulating prohibited
               loans and guarantees and distribution of assets (including
               profits/dividends) and it is understood that the liability of any
               such Swedish Obligor under this Clause 36 only applies to the
               extent permitted by the above mentioned provisions of the Swedish
               Companies Act.

               The obligations and liabilities of ABB Financial Services AB, or
               any other Guarantor which is incorporated in Sweden, under this
               Clause 36 shall terminate if, and when, (i) it ceases to be a
               Qualifying Subsidiary and is required to prepay Advances borrowed
               by it pursuant to Clause 8.4 (MANDATORY PREPAYMENT ON CEASING TO
               BE A QUALIFYING SUBSIDIARY), PROVIDED HOWEVER THAT at such time
               no claim has been made against it under this Clause 36 or (ii) it
               ceases to be a Borrower pursuant to Clause 24.3 (RESIGNATION OF A
               BORROWER).

        (c)    Any term or provision of this Clause 36 or any other term in this
               Agreement or any Finance Document notwithstanding, the maximum
               aggregate amount of the obligations for which any Guarantor which
               is incorporated in any state of the United States of America (a
               "US GUARANTOR") shall be liable shall not exceed the maximum
               amount for which such US Guarantor can be liable without
               rendering this Agreement or any other Finance Document, as it
               relates to the US Guarantor, subject to avoidance under
               applicable law relating to fraudulent conveyance or fraudulent
               transfer (including section 548 of the Bankruptcy Code of the
               United States or any applicable provisions of comparable state
               law) (collectively "Fraudulent Transfer Laws", in each case after
               giving effect (a) to all other liabilities of the US Guarantor,
               contingent or otherwise, that are relevant under such Fraudulent
               Transfer Laws (specifically excluding, however, any liabilities
               of the Guarantor in respect of intercompany indebtedness to any
               Borrower to the extent that such indebtedness would be discharged
               in an amount equal to the amount paid by the US Guarantor
               hereunder) and (b) to the

                                      -71-
<Page>

               value as assets of the US Guarantor (as determined under the
               applicable provisions of such Fraudulent Transfer Laws) of any
               rights to subrogation, contribution, reimbursement, indemnity or
               similar rights held by such US Guarantor pursuant to (i)
               applicable law or (ii) any other agreement providing for an
               equitable allocation among the US Guarantor and other
               Subsidiaries or affiliates of any Borrower of obligations arising
               under this Agreement or any guarantees of the obligations by such
               parties.

        (d)    Each Obligor incorporated in Guernsey waives any right which that
               Obligor may have under the existing or future law of the island
               of Guernsey:

               (i)    whether by virtue of the "DROIT DE DIVISION" or otherwise
                      to require that any liability under this Agreement be
                      divided or apportioned with any other person or reduced in
                      any manner whatsoever; and

               (ii)   whether by virtue of the "DROIT DE DISCUSSION" or
                      otherwise to require that recourse be had to the assets of
                      any other person before any claim is enforced against that
                      Obligor in respect of any liability hereby assumed by that
                      Obligor.

                                      -72-
<Page>

                                   SECTION 12
                          GOVERNING LAW AND ENFORCEMENT

37.     GOVERNING LAW

        This Agreement is governed by English law.

38.     ENFORCEMENT

(a)     The courts of England have exclusive jurisdiction to settle any dispute
        arising out of or in connection with this Agreement (including a dispute
        regarding the existence, validity or termination of this Agreement) (a
        "DISPUTE").

(b)     The Parties agree that the courts of England are the most appropriate
        and convenient courts to settle Disputes and accordingly no Party will
        argue to the contrary.

(c)     This Clause 38 is for the benefit of the Finance Parties only. As a
        result, no Finance Party shall be prevented from taking proceedings
        relating to a Dispute ("PROCEEDINGS") in any other courts with
        jurisdiction.

(d)     If ABB Capital B.V. is represented by an attorney or attorneys in
        connection with the signing and/or execution and/or delivery of this
        Agreement or any agreement or document referred to herein or made
        pursuant hereto and the relevant power or powers of attorney is or are
        expressed to be governed by the laws of a particular jurisdiction, it is
        hereby expressly acknowledged and accepted by the other parties hereto
        that such laws shall govern the existence and extent of such attorney's
        or attorneys' authority and the effects of the exercise thereof.

(e)     SERVICE OF PROCESS
        ABB and each Obligor incorporated in a jurisdiction other than England
        and Wales agree that the documents which start any Proceedings in
        England and any other documents required to be served in relation to
        those Proceedings may be served on ABB Limited, at Orion House, 5 Upper
        St. Martin's Lane, London WC2 or, if different, its registered office,
        with a copy to ABB. If the appointment of the person mentioned in this
        Clause 38(e) ceases to be effective, ABB and each Obligor shall
        immediately appoint another person in England to accept service of
        process on its behalf in England. If ABB or any Obligor fails to do so
        (and such failure continues for a period of not less than fourteen
        days), the Facility Agent shall be entitled to appoint such a person by
        notice to ABB or the relevant Obligor (as the case may be). Nothing
        contained herein shall restrict the right to serve process in any other
        manner allowed by law.

THIS AGREEMENT HAS BEEN ENTERED INTO ON THE DATE STATED AT THE BEGINNING OF THIS
AGREEMENT.

                                      -73-
<Page>

                                   SCHEDULE 1

                              THE ORIGINAL PARTIES

                                     PART 1
                              THE ORIGINAL LENDERS

<Table>
<Caption>
              NAME                                 FACILITY OFFICE                       COMMITMENT ($)
<S>                                         <C>                                           <C>
Credit Suisse First Boston                  London Branch                                 315,666,666.67

Barclays Bank PLC                           London Branch                                 315,666,666.67

Citibank, N.A.                              London Branch                                 315,666,666.66

Bayerische Hypo-und Vereinsbank             Munich Branch                                 200,000,000

Deutsche Bank Luxembourg S.A.               Deutsche Bank Luxembourg S.A.                 200,000,000

Commerzbank Aktiengesellschaft,             Mannheim Branch                               155,000,000
Mannheim Branch

HSBC Bank plc                               London Branch                                 155,000,000

Skandinaviska Enskilda Banken AB (publ)     LondonBranch                                  155,000,000

(1)The Bank of Tokyo-Mitsubishi, Ltd.       London Branch                                 155,000,000

Mizuho Corporate Bank, Ltd.                 London Branch                                 155,000,000

Bank Brussels Lambert SA, Brussels,         Geneva Branch                                  98,000,000
Geneva Branch

Banco Bilbao Vizcaya Argentaria S.A.        London Branch                                  93,000,000

BNP Paribas SA                              Puteaux Branch                                 93,000,000

CDC IXIS                                    Paris Branch                                   93,000,000

Nordea Bank Sweden AB (publ)                Stockholm Branch                               93,000,000

Svenska Handelsbanken AB (publ)             Stockholm Branch                               93,000,000

Saudi American Bank                         Riyadh Branch                                  75,000,000

Den norske Bank ASA                         Oslo Branch                                    70,000,000

KBC Bank Nederland N.V.                     Netherlands Branch                             70,000,000
</Table>

----------
(1) Pursuant to Clause 2.3(c), BTM (Europe) Limited for Advances to US Borrowers
    only.

                                      -74-
<Page>

<Table>
<Caption>
              NAME                                 FACILITY OFFICE                       COMMITMENT ($)
<S>                                         <C>                                           <C>
BHF-BANK Aktiengesellschaft                 BHF-BANK Aktiengesellschaft,                   50,000,000
                                            Frankfurt (Head Office)

Standard Chartered Bank                     London Branch                                  50,000,000
                                                                                   -------------------------
TOTAL                                                                                   3,000,000,000
                                                                                   -------------------------
</Table>

                                      -75-
<Page>

                                     PART 2
                              THE ORIGINAL OBLIGORS

<Table>
<Caption>
NAME OF BORROWER                            ADDRESS                                      JURISDICTION OF
                                                                                          INCORPORATION
<S>                                         <C>                                          <C>
ABB Finance Inc.                            One Stamford Plaza                           Delaware, USA
                                            P.O. Box 120071
                                            Stamford CT
                                            06912-0071 USA

                                            Attention:        Controller
                                            Fax:              +1 203 961 78 60

ABB Treasury Center (USA), Inc.             One Stamford Plaza                           Delaware, USA
                                            PO Box 120071
                                            Stamford CT
                                            06912-0071 USA

                                            Attention:        Controller
                                            Fax:              +1 203 961 78 60

ABB International Finance Limited           Suite 3                                      Guernsey
                                            Weighbridge House
                                            The Pollet
                                            St. Peter Port
                                            GY1 1WL
                                            Guernsey

                                            Attention:        Controller
                                            Fax:              +44 1481 729 016

ABB Capital B.V.                            Burgemeester Haspelslaan 65, 5/F             Netherlands
                                            PO Box 74690
                                            Amstelveen
                                            NL-1181 NB
                                            Netherlands

                                            Attention:        Controller
                                            Fax:              + 31 20 445 9844

ABB Financial Services AB                   Birger Jarlsgatan 57B                        Sweden
                                            113 96 Stockholm

                                            Attention:        Controller
                                            Fax:              +46 8 458 5099
</Table>

                                      -76-
<Page>

<Table>
<Caption>
NAME OF GUARANTOR                           ADDRESS                                      JURISDICTION OF
                                                                                          INCORPORATION
<S>                                         <C>                                          <C>
ABB Finance Inc.                            One Stamford Plaza                           Delaware, USA
                                            P.O. Box 120071
                                            Stamford CT
                                            06912-0071 USA

                                            Attention:        Controller
                                            Fax:              +1 203 961 78 60

ABB Treasury Center (USA), Inc.             One Stamford Plaza                           Delaware, USA
                                            PO Box 120071
                                            Stamford CT
                                            06912-0071 USA

                                            Attention:        Controller
                                            Fax:              +1 203 961 78 60

ABB International Finance Limited           Suite 3                                      Guernsey
                                            Weighbridge House
                                            The Pollet
                                            St. Peter Port
                                            GY1 1WL
                                            Guernsey

                                            Attention:        Controller
                                            Fax:              +44 1481 729 016

ABB Capital B.V.                            Burgemeester Haspelslaan 65, 5/F             Netherlands
                                            PO Box 74690
                                            Amstelveen
                                            NL-1181 NB
                                            Netherlands

                                            Attention:        Controller
                                            Fax:              + 31 20 445 9844

ABB Financial Services AB                   Birger Jarlsgatan 57B                        Sweden
                                            113 96 Stockholm

                                            Attention:        Controller
                                            Fax:              +46 8 458 5099
</Table>

                                      -77-
<Page>

                                   SCHEDULE 2

                              CONDITIONS PRECEDENT

                     ADDITIONAL OBLIGOR CONDITIONS PRECEDENT

1.      An Accession Letter, duly executed by the Additional Obligor and ABB.

2.      A copy of the constitutional documents of the Additional Obligor.

3.      A copy of a resolution of the board of directors, or other suitable
        authority, of the Additional Obligor:

        (a)    approving the terms of, and the transactions contemplated by, the
               Accession Letter and the Finance Documents and resolving that it
               execute the Accession Letter;

        (b)    authorising a specified person or persons to execute the
               Accession Letter on its behalf; and

        (c)    authorising a specified person or persons, on its behalf, to sign
               and/or despatch all other documents and notices (including any
               Utilisation Request) to be signed and/or despatched by it under
               or in connection with the Finance Documents.

4.      A specimen of the signature of each person authorised by the resolution
        referred to in paragraph 3 above.

5.      A certificate of the Additional Obligor (signed by two duly authorised
        signatories) confirming that borrowing or guaranteeing (as the case may
        be) the Total Commitments would not cause any borrowing, guaranteeing or
        similar limit binding on it to be exceeded.

6.      A certificate of an authorised signatory of the Additional Obligor
        certifying that each copy document listed in this Schedule 2 is correct,
        complete and in full force and effect as at a date no earlier than the
        date of the Accession Letter.

7.      A copy of any other Authorisation or other document, opinion or
        assurance which the Facility Agent reasonably considers to be necessary
        in connection with the entry into and performance of the transactions
        contemplated by the Accession Letter or for the validity and
        enforceability of any Finance Document.

8.      If available, the latest audited financial statements of the Additional
        Obligor.

9.      A legal opinion of Clifford Chance Limited Liability Partnership, legal
        advisers to the Mandated Lead Arrangers and the Facility Agent in
        England.

10.     If the Additional Obligor is incorporated in a jurisdiction other than
        England and Wales, a legal opinion of the legal advisers to the Mandated
        Lead Arrangers and the Facility Agent in the jurisdiction in which the
        Additional Obligor is incorporated.

11.     If the proposed Additional Obligor is incorporated in a jurisdiction
        other than England and Wales, evidence that the process agent specified
        in Clause 38(e) (SERVICE OF PROCESS),

                                      -78-
<Page>

        if not an Obligor, has accepted its appointment in relation to the
        proposed Additional Obligor.

12.     A copy of the Keep-Well Agreement in respect of the Additional Obligor.

                                      -79-
<Page>

                                   SCHEDULE 3

                               UTILISATION REQUEST

From:          [NAME OF BORROWER]

To:            Credit Suisse First Boston as Facility Agent

Dated:         [-]

Dear Sirs

                    ABB LTD - $3,000,000,000 CREDIT AGREEMENT
  DATED 18 DECEMBER 2001 AS AMENDED AND RESTATED ON 30 APRIL 2002 (THE "CREDIT
                                   AGREEMENT")

13.     Words and expressions defined in the Credit Agreement have the same
        meaning when used herein.

14.     We wish to borrow an Advance on the following terms:

        Proposed Utilisation Date:          [-]  (or, if that is not a Business
                                            Day, the next Business Day)
        Currency of Advance:                [-]
        Amount:                             [-]
        Interest Period:                    [-]

15.     We confirm that each condition specified in Clause 4.1 (CONDITIONS
        PRECEDENT) is satisfied on the date of this Utilisation Request.

16.     The proceeds of this Advance should be credited to [ACCOUNT].

17.     This Utilisation Request is irrevocable.

                                Yours faithfully

                      .....................................
                            authorised signatory for
                               [NAME OF BORROWER]

                                      -80-
<Page>

                                   SCHEDULE 4

                          THE MARGIN AND COMMITMENT FEE

<Table>
<Caption>
------------------------------------------------------------------------------------------------------------
  MARGIN AND COMMITMENT FEE                                   CREDIT RATING
    (PER CENT. PER ANNUM)
                               -----------------------------------------------------------------------------
                                    A-/A3         BBB+/ Baa1     BBB/ Baa2      BBB-/ Baa3     LOWER THAN
                                  OR HIGHER                                                    BBB-/ Baa3
                                                                                               OR UNRATED
------------------------------------------------------------------------------------------------------------
<S>                                  <C>             <C>           <C>            <C>             <C>
Margin                               0.60            0.85           1.25           1.75           2.50
------------------------------------------------------------------------------------------------------------
Commitment Fee                       0.18            0.255         0.375          0.525           0.75
------------------------------------------------------------------------------------------------------------
</Table>

                                      -81-
<Page>

                                   SCHEDULE 5

                          FORM OF TRANSFER CERTIFICATE

To:            Credit Suisse First Boston as Facility Agent

From:          [THE EXISTING LENDER] (the "EXISTING LENDER") and [THE NEW
               LENDER] (the "NEW LENDER")

Dated:

                    ABB LTD - $3,000,000,000 CREDIT AGREEMENT
         DATED 18 DECEMBER 2001 AS AMENDED AND RESTATED ON 30 APRIL 2002
                            (THE "CREDIT AGREEMENT")

18.     Words and expressions defined in the Credit Agreement have the same
        meaning when used herein.

19.     We refer to Clause 23.5 (PROCEDURE FOR TRANSFER) of the Credit
        Agreement:

        (a)    The Existing Lender and the New Lender agree to the Existing
               Lender and the New Lender transferring by novation all or part of
               the Existing Lender's Commitment, rights and obligations referred
               to in the Schedule in accordance with Clause 23.5 (PROCEDURE FOR
               TRANSFER).

        (b)    The proposed Transfer Date is [   ].

        (c)    The Facility Office and address, fax number and attention details
               for notices of the New Lender for the purposes of Clause 30.2
               (ADDRESSES) are set out in the Schedule.

20.     The New Lender expressly acknowledges the limitations on the Existing
        Lender's obligations set out in paragraph (c) of Clause 23.4 (LIMITATION
        OF RESPONSIBILITY OF EXISTING LENDERS).

21.     This Transfer Certificate is governed by English law.

                                  THE SCHEDULE

               COMMITMENT/RIGHTS AND OBLIGATIONS TO BE TRANSFERRED

                            [INSERT RELEVANT DETAILS]
   [FACILITY OFFICE ADDRESS, FAX NUMBER AND ATTENTION DETAILS FOR NOTICES AND
                         ACCOUNT DETAILS FOR PAYMENTS,]

        [Existing Lender]                       [New Lender]

        By:                                     By:

        This Transfer Certificate is accepted by the Facility Agent and the
        Transfer Date is confirmed as [   ].

                                      -82-
<Page>

        [Facility Agent]

        By:

                                      -83-
<Page>

                                   SCHEDULE 6

                                   TIMETABLES

<Table>
<Caption>
                          ADVANCES IN EURO          ADVANCES IN DOLLARS     ADVANCES IN STERLING      ADVANCES IN OTHER
                                                                                                      CURRENCIES
<S>                       <C>                       <C>                     <C>                       <C>
Delivery of a duly        10 a.m. London time,      11 a.m. London          11 a.m. London time,      11 a.m. London
completed Utilisation     3 Business Days           time, 3 Business        1 Business Day prior      time, 3 Business
Request in accordance     prior to the              Days prior to the       to the proposed           Days prior to the
with Clause 5.1           proposed Utilisation      proposed                Utilisation Date          proposed
(DELIVERY OF A            Date                      Utilisation Date                                  Utilisation Date
UTILISATION REQUEST)

Facility Agent            11 a.m. London time,      N/A                     11 a.m. London time,      11 a.m. London
determines (in relation   3 Business Days                                   1 Business Day prior      time, 3 Business
to a Utilisation) the     prior to the                                      to the proposed           Days prior to the
Base Currency Amount of   proposed Utilisation                              Utilisation Date          proposed
the Advance, if           Date                                                                        Utilisation Date
required under Clause
5.4 (LENDERS'
PARTICIPATION)

Facility Agent notifies   Promptly upon             Promptly upon           Promptly upon             Promptly upon
the Lenders of the        receipt from the          receipt from the        receipt from the          receipt from the
Advance in accordance     relevant Borrower         relevant Borrower       relevant Borrower         relevant Borrower
with Clause 5.4
(LENDERS' PARTICIPATION)

Facility Agent receives   N/A                       N/A                     N/A                       Quotation Day as
a notification from a                                                                                 of 9 a.m. London
Lender under Clause 6.2                                                                               time
(UNAVAILABILITY OF A
CURRENCY)
</Table>

                                      -84-
<Page>

<Table>
<Caption>
                          ADVANCES IN EURO          ADVANCES IN DOLLARS     ADVANCES IN STERLING      ADVANCES IN OTHER
                                                                                                      CURRENCIES
<S>                       <C>                       <C>                     <C>                       <C>
Facility Agent gives      N/A                       N/A                     N/A                       Upon receipt of
notice in accordance                                                                                  notification from
with Clause 6.2                                                                                       the Lenders
(UNAVAILABILITY OF A
CURRENCY)

LIBOR or EURIBOR is       Quotation Day as of       Quotation Day as        Quotation Day as of       Quotation Day as
fixed                     11.00 a.m. Brussels       of 11.00 a.m.           11.00 a.m. London         of 11.00 a.m.
                          time                      London time             time                      London time
</Table>

                                      -85-
<Page>

                                   SCHEDULE 7

                            FORM OF ACCESSION LETTER

To:        Credit Suisse First Boston as Facility Agent

From:      [SUBSIDIARY] and ABB Ltd

Dated:     [-]

Dear Sirs

               ABB LTD - $3,000,000,000 REVOLVING CREDIT AGREEMENT
         DATED 18 DECEMBER 2001 AS AMENDED AND RESTATED ON 30 APRIL 2002
                                (THE "AGREEMENT")

22.     We refer to the Agreement. This is an Accession Letter. Terms defined in
        the Agreement have the same meaning in this Accession Letter unless
        given a different meaning in this Accession Letter.

23.     [SUBSIDIARY] agrees to become an [Additional Borrower]/[Additional
        Guarantor] and to be bound by the terms of the Agreement as an
        [Additional Borrower]/[ Additional Guarantor] pursuant to [Clause 24.2
        (ADDITIONAL BORROWERS)]/[Clause 24.4 (ADDITIONAL GUARANTORS)] of the
        Agreement.

24.     [SUBSIDIARY] is a company duly incorporated under the laws of [NAME OF
        RELEVANT JURISDICTION].

25.     [SUBSIDIARY] is a Subsidiary of ABB Ltd and is the subject of a
        Keep-Well Agreement, a copy of which is attached to this Accession
        Letter.

26.     [SUBSIDIARY'S] administrative details are as follows:

        Address:

        Fax No:

        Attention:

27.     This Accession Letter is governed by English law.

[This Guarantor Accession Letter is entered into by deed].

--------------------------------------------------------------------------------
ABB Ltd                                [SUBSIDIARY]
--------------------------------------------------------------------------------

--------------------------------------------------------------------------------
By:                                    By:
--------------------------------------------------------------------------------

                                      -86-
<Page>

                                   SCHEDULE 8

                           FORM OF RESIGNATION LETTER

To:     Credit Suisse First Boston as Facility Agent

From:   [RESIGNING OBLIGOR] and ABB Ltd

Dated:  [-]

Dear Sirs

                       ABB LTD - $3,000,000,000 REVOLVING
               CREDIT AGREEMENT DATED 18 DECEMBER 2001 AS AMENDED
                 AND RESTATED ON 30 APRIL 2002 (THE "AGREEMENT")

28.     We refer to the Agreement. This is a Resignation Letter. Terms defined
        in the Agreement have the same meaning in this Resignation Letter unless
        given a different meaning in this Resignation Letter.

29.     Pursuant to [Clause 24.3 (RESIGNATION OF A BORROWER)]/[Clause 24.6
        (RESIGNATION OF A GUARANTOR)], we request that [RESIGNING OBLIGOR] be
        released from its obligations as a [Borrower]/[Guarantor] under the
        Agreement.

30.     We confirm that:

        (d)    no Default would result from the acceptance of this request; and

        (e)    [RESIGNING OBLIGOR] is under no actual or contingent liability
               under the Agreement.

31.     This Resignation Letter is governed by English law.

        ABB Ltd                             [SUBSIDIARY]

        By:                                 By:

                                      -87-
<Page>

                                   SCHEDULE 9

                              ADDITIONAL COST RATE

The Additional Cost Rate is an addition to the interest rate on an Advance
denominated in Sterling to compensate the Lenders for the cost attributable to
such Advance resulting from the imposition from time to time under or pursuant
to the Bank of England Act 1998 (the "BOE ACT") of a requirement to place
non-interest-bearing or Special Deposits (whether interest bearing or not) with
the Bank of England calculated by reference to liabilities used to fund the
Advance.

The Additional 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:

                                  XL + S(L - D)
                                  -------------
                                  100 - (X + S)

where on the day of application of a formula:

X       is the percentage of Eligible Liabilities (in excess of any stated
        minimum) by reference to which that Reference Bank is required under or
        pursuant to the BoE Act to maintain cash ratio deposits with the Bank of
        England;

L       is LIBOR applicable to the relevant Advance;

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 X 7 and
not as 0.15% X 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
Additional Cost Rate shall be determined on the basis of the rate(s) notified to
the Facility Agent by the remaining Reference Bank(s).

The Additional 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 Additional 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 the above formula (or any element of the formula,
or any defined term used in the formula)

                                      -88-
<Page>

inappropriate or inapplicable, the Facility Agent (following consultation with
ABB and the Majority Lenders) 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 BoE Act or by
the Bank of England (as may be appropriate), on the day of the application of
the formula.

                                      -89-
<Page>

                                   SCHEDULE 10

                               MATERIAL COMPANIES

Asea Brown Boveri Inc., Delaware, U.S.A.

Asea Brown Boveri AG, Germany

ABB AB, Sweden

ABB Holdings Limited, United Kingdom

ABB S.p.A., Italy

ABB BV, The Netherlands

ABB (Schweiz) AG, Switzerland

ABB Holding AS, Norway

ABB Oy, Finland

ABB S.A., France

                                      -90-
<Page>

                                   SCHEDULE 11

                         FORM OF COMPLIANCE CERTIFICATE

To:            Credit Suisse First Boston as Facility Agent

From:          ABB Ltd

Dated:

Dear Sirs

ABB LTD $3,000,000,000 MULTICURRENCY REVOLVING CREDIT AGREEMENT DATED 18
DECEMBER 2001 (AS AMENDED AND RESTATED ON 30 APRIL 2002) (THE "AGREEMENT")

We refer to the Agreement. This is a Compliance Certificate delivered with the
consolidated accounts of ABB dated [31 March, 30 June, 30 September] 2002 (the
"REFERENCE DATE"). Terms defined in the Agreement have the same meaning when
used in this Compliance Certificate unless given a different meaning.

We confirm that:

(f)     EBITDA: TOTAL NET INTEREST

        In respect of the Relevant Period ending on the Reference Date:

        (viii) EBITDA was [   ].

        (ix)   Interest income was [   ].

        (x)    Interest expense was [   ].

        Therefore the ratio of EBITDA to Total Net Interest in respect of such
        period was [  ]:[  ] and the covenant contained in paragraph 20.2(a) of
        Clause 20 (Financial Covenants) [has/has not] been complied with.

        Note: ABB's Financial Services Division reports interest income and
        interest expense as part of revenues and cost of sales respectively.
        Accordingly interest income and interest expense in respect of ABB's
        Financial Services Division are excluded from (ii) and (iii) above.

(g)     TOTAL GROSS DEBT OF THE GROUP(2)

        (xi)   Short-term borrowings of the Group on the Reference Date were
               [   ].

        (xii)  Long Term Borrowings of the Group on the Reference Date were
               [   ].

        (xiii) Amounts drawn down under the Facility prior to 15 May 2002 and
               held on account with the Facility Agent on the Reference Date
               were [   ] ("EXCLUDED AMOUNTS").

----------
(2) Do not include in compliance certificate relating to 31 March 2002 results.

                                      -91-
<Page>

        The Total Gross Debt of the Group (excluding Excluded Amounts) on the
        Reference Date therefore did not exceed $10,500,000,000 and has not
        exceeded such figure at any time after the Effective Date. Accordingly
        the covenant contained in paragraph 20.2(b) of Clause 20 (Financial
        Covenants) [has/has not] been complied with.

(h)     CONSOLIDATED NET WORTH

        (xiv)  Consolidated Net Worth on the Reference Date was [  ].

        (xv)   Consolidated net income of the Group from 1 January 2002 to the
               Reference Date was [  ].

        Accordingly the calculation set out in clause 20.2(c) is as follows:

        $1,800,000,000 + [INSERT 50% OF CONSOLIDATED NET INCOME FIGURE OR 0 IF
        THAT FIGURE IS NEGATIVE] = [  ]

        Therefore Consolidated Net Worth on the Reference Date was at least [  ]
        and the covenant contained in paragraph 20.2(c) of Clause 20 (Financial
        Covenants) [has/has not] been complied with.

(i)     TOTAL GROSS DEBT OF THE GROUP EXCLUDING THE OBLIGOR GROUP(3)

        The aggregate amount of Total Gross Debt of Group Companies that are not
        members of the Obligor Group (excluding items set out in paragraphs (i)
        to (v) of paragraph 20.2(d) of Clause 20 (Financial Covenants)) [has/has
        not] since the Effective Date exceeded $1,000,000,000.

--------------------------                          --------------------------
Officer of ABB Ltd                                  Officer of ABB Ltd
(without personal liability)                        (without personal liability)

----------
(3) Do not include in compliance certificate relating to 31 March 2002 results.

                                      -92-
<Page>

                                   SIGNATURES

ABB LTD

By:           /s/  HANS ENHORNING                /s/ ALFRED STORCK

THE BORROWERS

ABB TREASURY CENTER (USA), INC.

By:           /s/  LARS HEKTOEN                  /s/  JEFFREY KURNENTZ

ABB FINANCE INC.

By:           /s/  LARS HEKTOEN                  /s/  JEFFREY KURNENTZ

ABB CAPITAL B.V.

By:           /s/  THOMAS MEYER                  /s/ BRIAN VAN REIJN

ABB FINANCIAL SERVICES AB

By:           /s/  PETRA HEDENGRAN               /s/ HENRIK HOLMBERG

ABB INTERNATIONAL FINANCE LIMITED

By:           /s/  THOMAS MEYER                  /s/ BRIAN VAN REIJN

THE GUARANTORS

ABB TREASURY CENTER (USA), INC.

By:           /s/  LARS HEKTOEN                  /s/ JEFFREY KURNENTZ

ABB FINANCE INC.

By:           /s/  LARS HEKTOEN                  /s/ JEFFREY KURNENTZ

                                      -93-
<Page>

ABB CAPITAL B.V.

By:           /s/  THOMAS MEYER                  /s/  BRIAN VAN REIJN

ABB FINANCIAL SERVICES AB

By:           /s/  PETRA HEDENGRAN               /s/ HENRIK HOLMBERG

ABB INTERNATIONAL FINANCE LIMITED

By:           /s/  THOMAS MEYER                  /s/ BRIAN VAN REIJN

THE MANDATED LEAD ARRANGERS

BARCLAYS CAPITAL

By:           /s/  TIM AUSTRUP

CREDIT SUISSE FIRST BOSTON

By:           /s/  COLIN HELY-HUTCHINSON         /s/  PEDER OIEN

SALOMON BROTHERS INTERNATIONAL LIMITED

By:           /s/  JEFFREY KNOWLES

THE FACILITY AGENT

CREDIT SUISSE FIRST BOSTON

By:           /s/  COLIN HELY-HUTCHINSON         /s/  PEDER OIEN

                                      -94-
<Page>

THE LENDERS

BANCO BILBAO VIZCAYA ARGENTARIA S.A.

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

BANK BRUSSELS LAMBERT SA, BRUSSELS,
GENEVA BRANCH

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

BARCLAYS BANK PLC

By:           /s/  TIM AUSTRUP

BAYERISCHE HYPO-UND VEREINSBANK AG
NEW YORK BRANCH

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

BHF-BANK AKTIENGESELLSCHAFT

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

BNP PARIBAS SA

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

BTM (EUROPE) LIMITED

By:           /s/  AVRIL LANGMAN

CDC IXIS

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

CITIBANK, N.A.

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

                                      -95-
<Page>

COMMERZBANK AKTIENGESELLSCHAFT,
MANNHEIM BRANCH

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

CREDIT SUISSE FIRST BOSTON

By:           /s/  COLIN HELY-HUTCHINSON         s/  PEDER OIEN

DEN NORSKE BANK ASA

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

DEUTSCHE BANK LUXEMBOURG S.A.

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

HSBC BANK PLC

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

KBC BANK NEDERLAND N.V.

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

MIZUHO CORPORATE BANK, LTD.

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

NORDEA BANK SWEDEN AB (PUBL)

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

SAUDI AMERICAN BANK

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

                                      -96-
<Page>

SKANDINAVISKA ENSKILDA BANKEN AB (PUBL)

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

STANDARD CHARTERED BANK

By:           /s/  PAUL TOSSWILL                 /s/  GRAHAME SMITH

SVENSKA HANDELSBANKEN AB (PUBL)

By:           /s/  JEFFREY KNOWLES               (by Power of Attorney)

THE BANK OF TOKYO-MITSUBISHI, LTD.

By:           /s/  AVRIL LANGMAN

                                      -97-

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