Document:

<PAGE>   1
                                                                    Exhibit 10-8

                                    AGREEMENT

         This Agreement dated as of July 31, 2001 (the "Agreement"), among
Lexington Precision Corporation, a Delaware corporation ("LPC"), Lexington
Rubber Group, Inc., a Delaware corporation formerly known as Lexington
Components, Inc. ("LRG"; LPC and LRG are referred to individually as "Borrower"
and collectively as the "Borrowers"), and Bank One, NA (formerly known as Bank
One, Akron, NA) ("Lender").

         WHEREAS, Lender and each of the Borrowers have entered into a certain
Credit Facility and Security Agreement dated as of January 31, 1997, including
Rider A thereto (as amended and as the same may from time to time be further
amended, restated and otherwise modified, the "Credit Agreement").

         NOW, THEREFORE, in consideration of the mutual covenants contained
herein and for other good and valuable consideration, the receipt and adequacy
of which are hereby acknowledged, the parties hereto, intending to be legally
bound, hereby agree as follows:

         1. WAIVER. Subject to paragraph 2 hereof, the Lender hereby waives,
until November 1, 2001, any Default or Event of Default under the Credit
Agreement resulting solely from the failure of LPC to pay any principal or
interest due on February 1, 2000, May 1, 2000, August 1, 2000, November 1, 2000,
February 1, 2001, May 1,2001, or August 1, 2001, in respect of (a) LPC's 14%
Junior Subordinated Notes due May 1, 2001, (b) LPC's Junior Subordinated
Convertible Increasing Rate Notes due May 1, 2000, and/or (c) LPC's 12 3/4%
Senior Subordinated Notes due February 1, 2000 (the indebtedness referred to in
clauses (a), (b), and (c) is referred to herein as the "Other Indebtedness").

         2. RESCISSION OF WAIVERS. The foregoing waivers shall be automatically
rescinded, without notice to LPC or LRG, in the event that the holder of any
Other Indebtedness or trustee in respect thereof seeks to accelerate the
maturity of any such Other Indebtedness or to enforce or exercise any remedies
in respect thereto.

         3. EFFECTIVE DATE. This Agreement shall be deemed effective as of July
31, 2001.

         4. REPRESENTATIONS AND WARRANTIES. Borrowers hereby represent and
warrant to Lender that (a) Borrowers have the legal power and authority to
execute and deliver this Agreement; (b) the officers executing this Agreement
have been duly authorized to execute and deliver the same and bind Borrowers
with respect to the provisions hereof; (c) the execution and delivery hereof by
Borrowers and the performance and observance by Borrowers of the provisions
hereof do not violate or conflict with the organizational agreements of
Borrowers or any law applicable to Borrowers or result in a breach of any
provision of or constitute a default under any other agreement, instrument, or
document binding upon or enforceable against Borrowers; (d) except as referenced
in Section 1 hereof, no Default or Event of Default exists under the Credit
Agreement or any other Credit Document, nor will any occur immediately after the
execution and delivery of this Agreement or by the performance or observance of
any provision hereof; (e) Borrowers are not aware of any claim of offset
against, or defense or counterclaim to, any of Borrowers' obligations under the
Credit Agreement or any other Credit Document; and (f) this Agreement
constitutes a valid and binding obligation of Borrowers in every respect,
enforceable in accordance with its terms, except as the enforceability hereof
may be limited by applicable bankruptcy, insolvency or other similar laws
affecting creditors' rights generally.

<PAGE>   2

         5. WAIVER OF CLAIMS. In consideration of this Agreement, each Borrower
hereby waives and releases Lender and its directors, officers, employees,
attorneys, affiliates and subsidiaries from any and all claims, offsets,
defenses and counterclaims of which such Borrower is aware, such waiver and
release being with full knowledge and understanding of the circumstances and
effect thereof and having consulted legal counsel with respect thereto.

         6. NO FURTHER WAIVER. This Agreement (a) is a Credit Document pursuant
to the Credit Agreement; (b) is not intended to, nor shall it, establish any
course of dealing between Borrowers and Lender that is inconsistent with the
express terms of the Credit Agreement; and (c) shall not operate as a waiver of
any other right, power or remedy of Lender under the Credit Agreement or
constitute a continuing waiver of any kind. The waiver requested by Borrowers
and granted by Lender hereunder relates solely to the violations specifically
set forth in Section 1 of this Agreement for the time periods specifically
delineated. No further waiver has been requested or granted. Lender is under no
obligation to waive, or forbear with respect to, any future Default or Event of
Default of any type under the Credit Agreement or any other Credit Document. LPC
and LRG acknowledge that Lender may decline to grant any other or further
waivers with respect to the subject matter hereof or any other matters,
regardless of whether or not there occurs any change of circumstances relating
to LPC and/or LRG. Except as set forth herein, all terms and provisions of the
Credit Agreement and other Credit Documents among Lender, LPC and LRG shall
remain in full force and effect. Except as set forth herein, all terms and
provisions of the Credit Agreement and other Credit Documents among Lender, LPC
and LRG shall remain in full force and effect.

         7. GENERAL PROVISIONS.

            (a) DEFINED TERMS. Capitalized terms used herein, unless otherwise
defined herein, shall have the meaning ascribed thereto in the Loan Documents.

            (b) COUNTERPARTS. This Agreement may be executed by the parties in
any number of counterparts and all of said counterparts taken together shall be
deemed to constitute one and the same instrument. This Agreement may be signed
by facsimile transmission of the relevant signature pages hereof.

            (c) GOVERNING LAW. The rights and obligations of all parties hereto
shall be governed by the laws of the State of Ohio, without regard to principles
of conflicts of laws.

            (d) SUCCESSORS AND ASSIGNS. This Agreement shall be binding upon and
inure to the benefit of the successors and assigns of the parties hereto.

            (e) HEADINGS. The paragraph headings of this Agreement are for
convenience of reference only and are not to be considered in construing this
Agreement.

         8. JURY TRIAL WAIVER. LENDER AND EACH BORROWER WAIVE ANY RIGHT TO HAVE
A JURY PARTICIPATE IN RESOLVING ANY DISPUTE, WHETHER SOUNDING IN CONTRACT, TORT
OR OTHERWISE, BETWEEN BORROWERS AND LENDER, OR ANY THEREOF, ARISING OUT OF, IN
CONNECTION WITH, RELATED TO, OR INCIDENTAL TO THE RELATIONSHIP ESTABLISHED AMONG
THEM IN CONNECTION WITH THIS AGREEMENT OR ANY NOTE OR OTHER INSTRUMENT, DOCUMENT
OR AGREEMENT EXECUTED OR DELIVERED IN CONNECTION HEREWITH OR THE TRANSACTIONS

                                      -2-
<PAGE>   3

RELATED THERETO. THIS WAIVER SHALL NOT IN ANY WAY AFEECT, WAIVE, LIMIT, AMEND OR
MODIFY LENDER'S ABILITY TO PURSUE REMEDIES PURSUANT TO ANY PROVISION CONTAINED
IN ANY NOTE OR OTHER INSTRUMENT, DOCUMENT OR AGREEMENT BETWEEN BORROWERS AND
LENDER, OR ANY THEREOF.

         IN WITNESS WHEREOF, each Borrower and Lender have caused this Agreement
to be duly executed and delivered as of the date first written above.

                               LEXINGTON PRECISION CORPORATION

                               By:      Warren Delano
                                        ----------------------------------------
                               Name:    Warren Delano
                                        ----------------------------------------
                               Title:   President
                                        ----------------------------------------

                               LEXINGTON RUBBER GROUP, INC.

                               By:      Warren Delano
                                        ----------------------------------------
                               Name:    Warren Delano
                                        ----------------------------------------
                               Title:   President
                                        ----------------------------------------

                               BANK ONE, NA

                               By:      Joseph E. Manley
                                        ----------------------------------------
                               Name:    Joseph E. Manley
                                        ----------------------------------------
                               Title:   First Vice President
                                        ----------------------------------------<PAGE>   1
                                                                    Exhibit 10-9

                     PROMISSORY NOTE MODIFICATION AGREEMENT

This Agreement is made and entered into on July 31, 2001 ("Agreement Date"), to
be effective as of July 1, 2001 ("Effective Date"), by and between Lexington
Precision Corporation and Lexington Rubber Group, Inc. formerly known as
Lexington Components, Inc. (jointly and severally, "Makers"), and Bank One, NA
("Bank One"), successor by merger to Bank One, Akron, NA.

                                   WITNESSETH:

WHEREAS, Makers heretofore executed a promissory note (Vienna Term Loan) in the
amount of $1,425,000.03 dated January 31, 1997, in favor of Bank One, NA, as
same may have been amended or modified from time to time ("Promissory Note");
and, WHEREAS, Makers hereby acknowledge, agree, verify, ratify and affirm that
as of the Agreement Date, the outstanding principal balance on the Promissory
Note is Nine Hundred Seventy Three Thousand Two Hundred AND 21/100 DOLLARS
($973,200.21) plus accrued interest; and, WHEREAS, the Promissory Note has at
all times been, and is now, continuously and without interruption outstanding in
favor of Bank One; and WHEREAS, Makers have requested that the Promissory Note
be modified to the limited extent hereinafter set forth; and, WHEREAS, Bank One
has agreed to such modification; NOW THEREFORE, by mutual agreement of the
parties and in mutual consideration of the agreements contained herein and for
other good and valuable consideration, the receipt and sufficiency of which is
hereby acknowledged, the parties hereto agree that the Promissory Note is
modified as hereinafter indicated.

1.  ACCURACY OF RECITALS.

Makers acknowledge the accuracy of the Recitals, stated above.

2.  MODIFICATION OF PROMISSORY NOTE.

         2.1      The Promissory Note is hereby amended and restated to read as
         follows:

                  2.1.1 From and after July 1, 2001, interest shall accrue on
         the unpaid principal of the Promissory Note at the rate per annum equal
         to eight and thirty-seven one-hundredths percent (8.37%) per annum.
         Interest shall be calculated on a 360-day year basis and shall be
         calculated by dividing the actual number of days which elapsed during
         the period interest accrued by a year of 360 days times the interest
         rate in effect.

                  2.1.2 Principal and interest of the Promissory Note shall be
         due and payable in consecutive monthly installments each in the sum of
         (i) $ 8,333.33 of principal and (ii) all accrued and unpaid interest,
         commencing on July 1, 2001, and continuing on the same day of each
         successive month thereafter until the maturity date.

                  2.1.3 The maturity date of the Promissory Note is changed from
         July 1, 2001, to February 1, 2002. On the maturity date Makers shall
         pay to Bank One the unpaid principal, accrued and unpaid interest, and
         all other amounts payable by Makers under the Promissory Note and Loan
         Documents, as such term is defined in Paragraph 2.3 hereof.

                  2.1.4 Makers shall not be entitled to receive, and Bank One
         shall not be obligated to make, any further advances under the
         Promissory Note.

         2.2      Makers jointly and severally hereby authorize any attorney at
         law to appear in an action on this Note at any time after the same
         becomes due, whether by acceleration or otherwise, in any court of
         record in or of the State of Ohio, or elsewhere, and to waive the
         issuance of service of process against either or both of said parties,
         enter an appearance and to confess judgment in favor of Bank One
         against any or all of said parties for the amount that may be due,
         together with costs of suit, and to release all errors and waive all
         rights of appeal and stay of execution from the judgment rendered.
         After the judgment entered against one or more of said parties, the
         powers herein conferred may be exercised as to one or more of the
         others.

         2.3      Each of the Loan Documents is modified to provide that it
         shall be a default or an event of default thereunder if Makers shall
         fail to comply with any of the covenants of Makers herein or if any
         representation or warranty by Makers herein is materially incomplete,
         incorrect, or misleading as of the date hereof. As used in this
         Agreement, "Loan Documents" shall mean the
<PAGE>   2
           Promissory Note and all documents executed by Makers or others in
connection with the Loan, which is represented by the Promissory Note.

         2.4      Each reference in the Loan Documents to any of the Loan
         Documents shall be a reference to such document as modified herein.

3. RATIFICATION OF LOAN DOCUMENT AND COLLATERAL.

The Loan Documents are ratified and affirmed by Makers and shall remain in full
force and effect as modified herein. Any property or rights to or interest in
property granted as security in the Loan Documents shall remain as security for
the loan and the obligations of Makers in the Loan Documents.

4.  BORROWER REPRESENTATIONS AND WARRANTIES.

    Makers, jointly and severally, represent and warrant to Bank One that:

         4.1.     No event of default under any of the Loan Documents as
         modified hereby, nor any event, that, with the giving of notice or the
         passage of time or both, would be an event of default under the Loan
         Documents as modified herein has occurred and is continuing, except for
         matters waived by Agreement dated July 31, 2001.

         4.2.     There has been no material adverse change in the financial
         condition of Makers from the most recent financial statement received
         by Bank.

         4.3.     Each and all representations and warranties of Makers in the
         Loan Documents are accurate on the date hereof.

         4.4.     Makers have no claims, counterclaims, defenses, or set-offs
         with respect to the Loan or the Loan Documents as modified herein.

         4.5.     The Promissory Note and Loan Documents as modified herein are
         the legal, valid, and binding obligation of Makers, enforceable against
         Makers in accordance with their terms.

         4.6.     Makers are validly existing under the laws of the State of
         Delaware and have the requisite power and authority to execute and
         deliver this Agreement and to perform the Loan Documents as modified
         herein. The execution and delivery of this Agreement and the
         performance of the Loan Documents as modified herein have been duly
         authorized by all requisite action by or on behalf of Makers. This
         Agreement has been duly executed and delivered on behalf of Makers.

5.  BORROWER COVENANTS.

    Makers covenant with Bank One that:

         5.1.     Makers shall execute, deliver, and provide to Bank One such
         additional agreements, documents, and instruments as reasonably
         required by Bank One to effectuate the intent of this Agreement.

         5.2.     Makers fully, finally, and forever release and discharge Bank
         One and its successors, assigns, directors, officers, employees,
         agents, and representatives from any and all actions, causes of action,
         claims, debts, demands, liabilities, obligations, and suits, of
         whatever kind or nature, in law or equity of Makers, whether now known
         or unknown to Makers, (i) in respect of the Loan, the Loan documents,
         or the actions or omissions of Bank One in respect of the Loan or the
         Loan Documents and (ii) arising from events occurring prior to the date
         of this Agreement. As used in this Agreement.

         5.3.     Contemporaneously with the execution and delivery of this
         Agreement, Makers have paid to Bank:

                           5.3.1. All accrued and unpaid interest under the
                  Promissory Note and all amounts, other than interest and
                  principal, due and payable by Makers under the Loan Documents
                  as the date hereof.

                           5.3.2. All the internal and external costs and
                  expenses incurred by Bank One in connection with this
                  Agreement (including, without limitation, inside and outside
                  attorneys, appraisal, appraisal review, processing, title,
                  filing, and recording costs, expenses, and fees).
<PAGE>   3
6.  EXECUTION AND DELIVERY OF AGREEMENT BY BANK.

Bank One shall not be bound by this Agreement until (i) Bank One as executed and
delivered this Agreement, (ii) Makers have performed all of the obligations of
Makers under this Agreement to be performed contemporaneously with the execution
and delivery of this Agreement.

7.  INTEGRATION, ENTIRE AGREEMENT, CHANGE, DISCHARGE, TERMINATION, OR WAIVER.

The Loan Documents as modified herein contain the complete understanding and
agreement of Makers and Bank One in respect of the Loan and supersede all prior
representations, warranties, agreements, arrangements, understandings, and
negotiations. No provision of the Loan Documents as modified herein may be
changed, discharged, supplemented, terminated, or waived except in a writing
signed by the parties thereto.

8.  BINDING EFFECT.

The Loan Documents as modified herein shall be binding upon and shall inure to
the benefit of Makers and Bank One and their successors and assigns and the
executors, legal administrators, personal representatives, heirs, devisees, and
beneficiaries of Makers, provided, however, Makers may not assign any of their
rights or delegate any of their obligations under the Loan Documents and any
purported assignment or delegation shall be void.

9.  CHOICE OF LAW

This Agreement shall be governed by and construed in accordance with the laws of
the State of Ohio without giving effect to conflicts of law principles.

10. COUNTERPART EXECUTION.

This Agreement may be executed in one or more counterparts, each of which shall
be deemed an original and all of which together shall constitute one and the
same document. Signature pages may be detached from the counterparts and
attached to a single copy of this Agreement to physically from one document.

11. NOT A NOVATION.

This Agreement is a modification only and not a novation. Except for the
above-quoted modifications, the Promissory Note, any agreement or security
document, and all the terms and conditions thereof, shall be and remain in full
force and effect with the changes herein deemed to be incorporated therein. This
Agreement is to be considered attached to the Promissory Note and made a part
thereof. The validity, priority and enforceability of the Promissory Note shall
not be impaired hereby.

12. OHIO REAFFIRMATION OF COGNOVIT PROVISION.

Each Maker continues to authorize any attorney at law to appear in an action on
the Promissory Note, as modified, at any time after the same becomes due,
whether by acceleration or otherwise, in any court of record in or of the State
of Ohio, or elsewhere, and to waive the issuance of and service of process
against either or both of the Makers, enter an appearance and to confess
judgment in favor of Bank One against either or both of the Makers for the
amount that may be due under the Promissory Note, as modified, together with
costs of suit, and to release all errors and waive all rights of appeal and stay
of execution from the judgment rendered. After the judgment is entered against
either of the Makers, the powers herein conferred may be exercised as to the
other Makers.
<PAGE>   4
WARNING - BY SIGNING THIS PAPER YOU GIVE UP YOUR RIGHT TO NOTICE AND COURT
TRIAL. IF YOU DO NOT PAY ON TIME A COURT JUDGMENT MAY BE TAKEN AGAINST YOU
WITHOUT YOUR PRIOR KNOWLEDGE AND THE POWERS OF A COURT CAN BE USED TO COLLECT
FROM YOU REGARDLESS OF ANY CLAIMS YOU MAY HAVE AGAINST THE CREDITOR WHETHER FOR
RETURNED GOODS, FAULTY GOODS, FAILURE ON HIS PART TO COMPLY WITH THE AGREEMENT,
OR ANY OTHER CAUSE.

                                               LEXINGTON PRECISION CORPORATION

                                        By:  Warren Delano
                                             -------------------------------

                                        Its: President
                                             --------------------------------

                                               LEXINGTON RUBBER GROUP, INC.

                                        By:  Warren Delano
                                             -------------------------------

                                        Its: President
                                             --------------------------------

BANK ONE'S ACCEPTANCE

The foregoing Promissory Note Modification Agreement is hereby agreed to and
acknowledged this 31st day of July 2001.

                                               BANK ONE, NA

                                        By:  Joseph E. Manley
                                             -------------------------------

                                        Its: First Vice President
                                             -------------------------------

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