Document:

<PAGE>

                                                                    EXHIBIT 4.28

                                SUPPLEMENT NO. 5

                                       TO

                            SERIES 1998-1 SUPPLEMENT

                            dated as of July 17, 2000

                                      among

                            RENTAL CAR FINANCE CORP.,

                        DOLLAR RENT A CAR SYSTEMS, INC.,

                        THRIFTY RENT-A-CAR SYSTEM, INC.,

                     DOLLAR THRIFTY AUTOMOTIVE GROUP, INC.,

                             BANKERS TRUST COMPANY,
                        as Trustee and Enhancement Agent

                  CREDIT SUISSE FIRST BOSTON, NEW YORK BRANCH,
                 as the Series 1998-1 Letter of Credit Provider

                                       and

                          DOLLAR THRIFTY FUNDING CORP.,
                      as the sole Series 1998-1 Noteholder

                                       -1-

<PAGE>

                                SUPPLEMENT NO. 5
                           TO SERIES 1998-1 SUPPLEMENT

     This Supplement No. 5 to Series 1998-1 Supplement dated as of July 17, 2000
("Supplement  No. 5"), among Rental Car Finance Corp.,  an Oklahoma  corporation
("RCFC"),  Dollar Rent A Car Systems, Inc., an Oklahoma corporation  ("Dollar"),
Thrifty Rent-A-Car System,  Inc., an Oklahoma  corporation  ("Thrifty"),  Dollar
Thrifty Automotive Group, Inc., a Delaware corporation  ("DTAG"),  Bankers Trust
Company, a New York banking  corporation,  as Trustee and Enhancement Agent (the
"Trustee"),  Credit Suisse First Boston,  New York Branch,  as the Series 1998-1
Letter of Credit  Provider  ("CSFB"),  and  Dollar  Thrifty  Funding  Corp.,  an
Oklahoma  corporation,  as the  sole  Series  1998-1  Noteholder  ("DTFC")(RCFC,
Dollar,  Thrifty,  DTAG, the Trustee, CSFB and DTFC are collectively referred to
herein as the "Parties").

                                    RECITALS:

     A.  RCFC,  as  Issuer,  and the  Trustee  entered  into that  certain  Base
Indenture  dated as of December  13, 1995,  as amended by the  Amendment to Base
Indenture dated as of December 23, 1997 (the "Base Indenture"); and

     B. RCFC and the Trustee entered into that certain Series 1998-1  Supplement
dated as of March 4, 1998,  as  subsequently  (i) amended by Amendment  No. 1 to
Series  1998-1  Supplement  dated as of  March 4,  1999,  (ii)  supplemented  by
Supplement No. 1 to Series 1998-1  Supplement  dated as of March 4, 1999,  (iii)
supplemented by Supplement No. 2 to Series 1998-1  Supplement  dated as of March
4, 1999, (iv) supplemented by Supplement No. 3 to Series 1998-1 Supplement dated
as of October 20,  1999,  and (v)  supplemented  by  Supplement  No. 4 to Series
1998-1  Supplement dated as of February 18, 2000 (as amended to the date hereof,
the "Series 1998-1  Supplement";  the Base Indenture and any Supplement thereto,
including the Series 1998-1  Supplement are  collectively  referred to herein as
the "Indenture"); and

     C. The  Parties  wish to amend the Series  1998-1  Supplement  as  provided
herein.

         NOW THEREFORE, the Parties hereto agree as follows:

     1. Definitions.  Capitalized terms used in this Supplement No. 5 not herein
defined shall have the meaning  contained in the Series 1998-1 Supplement and if
not defined  therein  shall have the meaning set forth in the  Definitions  List
attached as Schedule 1 to the Base Indenture.

     2.  Amendments.  The  definition of Series 1998-1  Controlled  Amortization
Period  contained  in Section  2(b) of the Series  1998-1  Supplement  is hereby
amended by  deleting  the  reference  to "May 31,  2000" and  replacing  it with
"August 31, 2000".

                                       -1-

<PAGE>

     3.  Acknowledgment.  The Parties hereto hereby  acknowledge  and agree that
upon the  effectiveness  of this  Supplement No. 5, no Series 1998-1  Controlled
Amortization Period shall be deemed to have ever occurred.

     4.  Effect of  Supplement.  Except as  expressly  set  forth  herein,  this
Supplement No. 5 shall not by implication or otherwise limit, impair, constitute
a waiver of, or  otherwise  affect the rights and remedies of any of the Parties
hereto under the Series 1998-1 Supplement,  nor alter,  modify,  amend or in any
way affect any of the terms,  conditions,  obligations,  covenants or agreements
contained in the Series 1998-1 Supplement,  all of which are hereby ratified and
affirmed in all  respects by each of the  Parties  hereto and shall  continue in
full force and effect.  This  Supplement No. 5 shall apply and be effective only
with respect to the  provisions  of the Series  1998- 1 Supplement  specifically
referred to herein and any  references  in the Series  1998-1  Supplement to the
provisions of the Series 1998-1 Supplement specifically referred to herein shall
be to such provisions as amended by this Supplement No. 5.

     5.  Applicable  Provisions.  Pursuant to Section 11.2 of the Base Indenture
and  Section  8.6 of the  Series  1998-1  Supplement,  the  Trustee,  RCFC,  the
Servicers,  the Required Noteholders with respect to the Series 1998-1 Notes and
the Series 1998-1  Letter of Credit  Provider may enter into a supplement to the
Indenture  for the  purpose of  amending  any  provisions  of the Series  1998-1
Supplement  provided that the Rating Agencies shall confirm that such supplement
will not result in the reduction or  withdrawal  of their ratings  applicable to
the  Commercial  Paper Notes and, as  evidenced  by an Opinion of Counsel,  such
supplement affects only the Series 1998-1 Noteholders.

     6. Waiver of Notice. Each of the Parties hereto waives any prior notice and
any notice  period that may be required  by any other  agreement  or document in
connection with the execution of this Supplement No. 5.

     7. Binding Effect. This Supplement No. 5 shall be binding upon and inure to
the benefit of the Parties and their respective successors and assigns.

     8.  GOVERNING  LAW. THIS  SUPPLEMENT NO. 5 SHALL BE CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NEW YORK (WITHOUT  GIVING EFFECT TO THE PROVISIONS
THEREOF REGARDING  CONFLICTS OF LAWS), AND THE OBLIGATIONS,  RIGHTS AND REMEDIES
OF THE PARTIES HERETO SHALL BE DETERMINED IN ACCORDANCE WITH SUCH LAWS.

     9.  Counterparts.  This  Supplement  No. 5 may be executed in any number of
counterparts and by different parties hereto in separate  counterparts,  each of
which when executed and  delivered  shall be deemed to be an original and all of
which taken together shall constitute but one and the same agreement.

                                       -2-

<PAGE>

     IN WITNESS  WHEREOF,  the Parties have caused this  Supplement  No. 5 to be
duly executed and delivered as of the day and year first above written.

    RCFC:

    RENTAL CAR FINANCE CORP.,
    an Oklahoma corporation

    By: _____________________________________________
             Pamela S. Peck
             Vice President

    TRUSTEE:

    BANKERS TRUST COMPANY, a New York banking
    corporation, as Trustee and Enhancement Agent

    By: _____________________________________________
             Name: __________________________________
             Title: _________________________________

    SERVICERS:

    DOLLAR RENT A CAR SYSTEMS, INC.,
    an Oklahoma corporation

    By: _____________________________________________
             Michael H. McMahon
             Treasurer

    THRIFTY RENT-A-CAR SYSTEM, INC.,
    an Oklahoma corporation

    By: _____________________________________________
             Pamela S. Peck
             Treasurer

                                       -3-

<PAGE>

    DOLLAR THRIFTY AUTOMOTIVE GROUP, INC.,
    a Delaware corporation

    By: _____________________________________________
             Pamela S. Peck
             Treasurer

    SERIES 1998-1 LETTER OF CREDIT PROVIDER:

    CREDIT SUISSE FIRST BOSTON, NEW YORK
    BRANCH, a Swiss banking corporation

    By: _____________________________________________
             Name: __________________________________
             Title: _________________________________

    By: _____________________________________________
             Name: __________________________________
             Title: _________________________________

    SOLE SERIES 1998-1 NOTEHOLDER:

    DOLLAR THRIFTY FUNDING CORP.,
    an Oklahoma corporation

    By: _____________________________________________
             Pamela S. Peck
             Vice President

                                       -4-<PAGE>

                                                                    EXHIBIT 4.29
                                                                [EXECUTION COPY]

                                U.S. $215,000,000

                     AMENDED AND RESTATED CREDIT AGREEMENT,
                           dated as of August 3, 2000,

   (amending and restating the Credit Agreement dated as of December 23, 1997)

                                      among

                     DOLLAR THRIFTY AUTOMOTIVE GROUP, INC.,
                         DOLLAR RENT A CAR SYSTEMS, INC.
                                       and
                        THRIFTY RENT-A-CAR SYSTEM, INC.,
                                as the Borrowers,

                         VARIOUS FINANCIAL INSTITUTIONS,
                                 as the Lenders,

                           CREDIT SUISSE FIRST BOSTON,
                          as the Administrative Agent,

                                       and

               THE CHASE MANHATTAN BANK, as the Syndication Agent.

                                   Arranged By
                           CREDIT SUISSE FIRST BOSTON
                              CHASE SECURITIES INC.

<PAGE>

                              AMENDED AND RESTATED
                                CREDIT AGREEMENT

          THIS AMENDED AND RESTATED CREDIT AGREEMENT, dated as of August 3, 2000
     (amending and restating the Credit Agreement dated as of December 23, 1997,
     as amended  prior to the date  hereof),  among  DOLLAR  THRIFTY  AUTOMOTIVE
     GROUP,  INC.,  a Delaware  corporation  (the  "Parent"),  DOLLAR RENT A CAR
     SYSTEMS,  INC.,  an Oklahoma  corporation  ("Dollar"),  THRIFTY  RENT-A-CAR
     SYSTEM,  INC.,  an Oklahoma  corporation  ("Thrifty,"  and,  together  with
     Dollar, the "Subsidiary Borrowers"; the Parent and the Subsidiary Borrowers
     being  collectively  referred  to  herein  as  the  "Borrowers"),   various
     financial  institutions as are or may become parties hereto  (collectively,
     the "Lenders"),  CREDIT SUISSE FIRST BOSTON ("Credit Suisse First Boston"),
     as the administrative agent (in such capacity, the "Administrative  Agent")
     for the Lenders,  THE CHASE  MANHATTAN BANK  ("Chase"),  as the syndication
     agent (in such capacity,  the "Syndication  Agent") and,  together with the
     Administrative Agent, the "Agents") for the Lenders and CREDIT SUISSE FIRST
     BOSTON and CHASE  SECURITIES INC. as the  co-arrangers (in such capacities,
     the "Arrangers").

                              W I T N E S S E T H:

          WHEREAS,  the Borrowers,  the Lenders,  the Administrative  Agent, the
     Syndication  Agent and the  Arrangers  are  parties to a Credit  Agreement,
     dated as of December  23,  1997 (as  amended  and as in effect  immediately
     prior  to  the  effectiveness  of  this  Agreement,  the  "Original  Credit
     Agreement");

          WHEREAS,  the  Borrowers  have  requested  that the Lenders  amend and
     restate the Original Credit  Agreement (the Original Credit  Agreement,  as
     amended and restated by this Agreement  (such  capitalized  term, and other
     capitalized terms used in these recitals, to have the meanings set forth in
     Section 1.1), being referred to as the "Credit Agreement");

         WHEREAS,

               (a) the  Subsidiary  Borrowers  are engaged  directly and through
          their various  Subsidiaries  in the business of (i) renting  worldwide
          for general use  passenger  automobiles,  light and medium duty trucks
          and vans,  (ii)  selling in the United  States and Canada new and used
          vehicles,  (iii) franchising the foregoing  business to other Persons,
          (iv)  providing  support and services to  franchisees,  including  (A)
          fleet leasing of vehicles and (B)  purchasing  passenger  automobiles,
          shuttle buses, vans and light and medium duty trucks and financing the
          sale  thereof to  franchisees  and (v) fleet  leasing of  vehicles  to
          Persons other than franchisees; and

               (b)  Thrifty  Car  Sales  is  engaged  in  (i)  the  business  of
          franchising businesses in the United States and Canada to sell new and
          used vehicles (the "Thrifty Car Sale Franchise Business") and (ii) the
          operation, directly or through its Subsidiaries, of

<PAGE>

               (A)  locations in the United  States and Canada in which it sells
          (1) vehicles used in the Parent's other  businesses and (2) other used
          vehicles  purchased from time to time to maintain adequate  inventory,
          as well as (B) locations in the United States and Canada acquired from
          franchisees of the Thrifty Car Sale Franchise Business in the ordinary
          course of business  (such  operations,  together  with the Thrifty Car
          Sale Franchise Business, the "Thrifty Car Sale Business");

     WHEREAS  (a) the Parent has issued  shares of its common  stock,  par value
$0.01 per share (the "Common Stock"),  pursuant to a registered  public offering
for net cash  proceeds  of at least  $45,000,000,  which  proceeds  were used to
provide  collateral  for  the  financing  of  vehicles  by the  Parent  and  its
subsidiaries   (the  "Primary  Equity   Offering"),   and  (b)   DaimlerChrysler
Corporation,  a Delaware  corporation  (formerly known as Chrysler  Corporation)
("Chrysler"),  sold 20,000,000 shares of the Common Stock of the Parent owned by
it pursuant to a registered  public offering which,  following the  consummation
thereof,  resulted in the Parent no longer being a subsidiary  of Chrysler  (the
"Secondary Equity Offering," and, together with the Primary Equity Offering, the
"Equity Offerings");

     WHEREAS,  the Parent has implemented through a special purpose,  bankruptcy
remote,  Wholly Owned  Subsidiary,  Rental Car Finance Corp.,  formerly known as
Thrifty Car Rental  Finance  Corporation  ("RCFC"),  medium-term  note  programs
secured by vehicles and related assets, which medium-term note programs replaced
previous  financing  arrangements  with Chrysler  Financial  Corporation and has
provided  and still  provides  funds for the  purchase  of  additional  vehicles
(collectively, the "MTN Program");

     WHEREAS,  (a)  the  Parent  has  implemented  through  a  special  purpose,
bankruptcy  remote,  Wholly  Owned  Subsidiary,  Dollar  Thrifty  Funding  Corp.
("Dollar Thrifty  Funding"),  a commercial paper program secured by vehicles and
related assets, the proceeds of which were and are used to finance vehicle fleet
growth and to refinance  existing vehicle fleet indebtedness (the "CP Program"),
and (b) in connection  with the CP Program,  Dollar Thrifty  Funding has entered
into a 364-day revolving  liquidity facility to provide backup liquidity for the
commercial paper issued pursuant to the CP Program (the "Liquidity Facility");

     WHEREAS, in connection with the foregoing,  the Parent and its Subsidiaries
have entered into certain agreements with Chrysler and its subsidiaries relating
to the  separation of the Parent from  Chrysler,  including  (i) credit  support
arrangements  for the MTN Program  (and the CP Program)  and (ii) other  matters
with respect to taxes and  insurance  (collectively,  the  "Continuing  Chrysler
Arrangements," and, together with the Equity Offerings,  the MTN Program and the
CP Program, the "Original Transaction");

     WHEREAS,  in connection  with the amendment and restatement of the Original
Credit  Agreement,  the Borrowers desire to obtain  Commitments from the Lenders
pursuant to which

                                                         2

<PAGE>

          (a) Loans will be made to the Borrowers from time to time prior to the
     Commitment Termination Date; and

          (b)  Letters of Credit will be issued by the Issuer for the account of
     the  Borrowers and under the several  responsibilities  of the Lenders from
     time to time prior to the Commitment Termination Date,

in maximum aggregate  principal amount for Loans at any one time outstanding not
to exceed in the aggregate  $70,000,000 and in a maximum aggregate Stated Amount
for Letters of Credit outstanding at any one time not to exceed in the aggregate
$190,000,000;

     WHEREAS,  the Lenders and the Issuer are willing,  on the terms and subject
to the conditions set forth in the Amendment  Agreement  (including  Article III
thereof)  and  hereinafter  set forth  (including  Article  VI), to so amend and
restate the Original Credit Agreement and to extend such Commitments,  make such
Loans to the Borrowers and issue,  and  participate  in, such Letters of Credit;
and

     WHEREAS,

          (a) the  proceeds  of such  Loans will be used for  general  corporate
     purposes of Dollar,  Thrifty and the other  operating  Subsidiaries  of the
     Parent; and

          (b) such  Letters of Credit  will be used by the  Borrowers  and their
     respective operating Subsidiaries

               (i) as credit and/or liquidity enhancement for the CP Program and
          the MTN Program (the "Enhancement Letters of Credit"), and

               (ii) for other general corporate purposes (including  performance
          and insurance bonds) (the "General Letters of Credit");

     NOW, THEREFORE, the parties hereto agree as follows:

                                    ARTICLE I

                        DEFINITIONS AND ACCOUNTING TERMS

     SECTION  1.1.   Defined  Terms.   The  following   terms  (whether  or  not
underscored)  when used in this Agreement,  including its preamble and recitals,
shall, except where the context otherwise requires,  have the following meanings
(such  meanings  to be equally  applicable  to the  singular  and  plural  forms
thereof):

                                                         3

<PAGE>

         "ABR  Loan"  means  a  Loan  bearing  interest  at a  fluctuating  rate
determined by reference to the Alternate Base Rate.

         "Account  Party"  means  (a) any  Borrower,  (b) in any  case of the CP
Enhancement  Letter  of  Credit,  Dollar  Thrifty  Funding,  (c) any  Subsidiary
Guarantor  or SPC for the  account  of which a Letter  of  Credit  is  issued in
accordance with Article IV and (d) to the extent  permitted by clause (k)(ii) of
Section 8.2.5, any franchisee of a Subsidiary  Borrower for the account of which
a Letter of Credit is issued in accordance with Article IV.

         "Additional Material Property" means any property with respect to which
a Mortgage is required to be delivered pursuant to Section 8.1.8 hereof.

         "Adjusted Debt" means, at any time, the sum of (a) Non-Vehicle  Debt at
such time plus (b) the maximum amount available for drawing under each letter of
credit,  bond or  similar  obligation  (including  Letters  of Credit and Surety
Bonds,  but excluding any Letter of Credit to the extent it may be drawn upon to
reimburse a payment made by the issuer of a Surety Bond under such Surety Bond),
whether or not drawn and  whether or not any  conditions  to drawing can then be
met at such time.

         "Adjusted EBITDA" means, for any applicable period, the excess of
          ---------------

                  (a) EBITDA for such period

over

                  (b) to the extent added in arriving at such EBITDA, the sum of
         (i) the aggregate  amount of depreciation in respect of Vehicles during
         such period plus (ii) Vehicle Interest Expense during such period.

         "Administrative  Agent" is defined in the preamble  and  includes  each
other  Person  as  shall  have  subsequently  been  appointed  as the  successor
Administrative Agent pursuant to Section 11.4.

         "Affiliate"  of any Person  means any other Person  which,  directly or
indirectly,  controls,  is  controlled  by or is under common  control with such
Person  (excluding any trustee under, or any committee with  responsibility  for
administering,  any Plan).  A Person shall be deemed to be  "controlled  by" any
other Person if such other Person possesses, directly or indirectly, power

                  (a) to vote 10% or more of the  securities (on a fully diluted
         basis)  having  ordinary  voting power for the election of directors or
         managing general partners; or

                  (b) to direct or cause the  direction  of the  management  and
         policies of such Person whether by contract or otherwise.

                                                         4

<PAGE>

Neither Chrysler nor any of its Subsidiaries  shall be deemed to be an Affiliate
of  the  Parent  solely  as a  result  of  its  execution  and  delivery  of the
Chrysler-Dollar Supply Agreement,  the Chrysler- Thrifty Supply Agreement or any
agreement  evidencing a Continuing Chrysler Arrangement or solely because of its
rights thereunder.

         "Agents" is defined in the preamble.
          ------                    --------

         "Aggregate Interest Expense" is defined in clause (a) of the definition
of "Non-Vehicle Interest Expense".

         "Agreement"  means,  on any date,  this  Amended  and  Restated  Credit
Agreement  as  originally  in  effect  on the  Amendment  Effective  Date and as
thereafter  from time to time amended,  supplemented,  amended and restated,  or
otherwise modified and in effect on such date.

         "Alternate  Base Rate"  means,  on any date and with respect to all ABR
Loans, a fluctuating rate of interest per annum equal to the higher of

                    (a) the rate of interest most recently established by Credit
               Suisse First Boston at its principal office in New York, New York
               as its base or prime rate for U.S. Dollar loans; and

                  (b) the Federal  Funds Rate most  recently  determined  by the
         Administrative Agent plus 50 basis points.

If for  any  reason  the  Administrative  Agent  shall  have  determined  (which
determination  shall be conclusive  absent  manifest error) that it is unable to
ascertain the Federal Funds Rate for any reason,  including the inability of the
Administrative  Agent to obtain  sufficient  quotations in  accordance  with the
terms of the definition of "Federal  Funds Rate",  the Alternate Base Rate shall
be  determined  without  regard to  clause  (b) of the  first  sentence  of this
definition  until the  circumstances  giving  rise to such  inability  no longer
exist. The Alternate Base Rate is not necessarily intended to be the lowest rate
of  interest  determined  by  Credit  Suisse  First  Boston in  connection  with
extensions  of credit.  Changes in the rate of interest  on that  portion of any
Loans maintained as ABR Loans will take effect  simultaneously  with each change
in the Alternate Base Rate. The  Administrative  Agent will give notice promptly
to the Borrowers and the Lenders of changes in the Alternate Base Rate.

         "Amendment  Effective  Date"  means  the date  this  Agreement  becomes
effective pursuant to the terms and conditions of the Amendment Agreement.

         "Amendment  Effective Date Certificate" means the certificate  executed
and  delivered  by the  Borrowers  pursuant  to  Section  3.9  of the  Amendment
Agreement, substantially in the form of Exhibit K hereto.

                                                         5

<PAGE>

         "Amendment Agreement" means the Amendment Agreement, dated as of August
3, 2000,  among,  inter alia, the  Borrowers,  the Lenders,  the  Administrative
Agent, the Syndication Agent and the Arrangers.

         "Applicable  Commitment  Fee" means, as of any date, a per annum fee on
the average daily unused portion of the Commitment Amount determined pursuant to
the  following  pricing  grid  (expressed  in  basis  points),  subject  to  the
provisions of this definition set forth below:

                                                   PRICING GRID

                                                    Applicable
             Leverage Ratio                       Commitment Fee
             --------------                       --------------
                X >= 2.0                               37.5
          X >= 1.0, but < 2.0                          30.0
          X >= .75, but < 1.0                          25.0
                X < .75                                22.5

         The Applicable Commitment Fee, at any time from and after the Amendment
Effective  Date, on the average daily unused portion of the  Commitment  Amount,
shall be  determined  pursuant  to the Pricing  Grid above at such time.  At all
times that the  Applicable  Commitment  Fee is  determined  by  reference to the
Pricing Grid, "X" refers to the Leverage Ratio,  which ratio shall be determined
based  upon the  Compliance  Certificate  delivered  pursuant  to clause  (c) of
Section 8.1.1 (or clause (c) of Section 8.1.1 of the Original Credit  Agreement)
and shall  remain in effect until such time as the next  Compliance  Certificate
shall be delivered  (and,  at such time,  the  Applicable  Commitment  Fee shall
change based on such next Compliance Certificate);  provided,  however, that, if
any such Compliance  Certificate is not delivered to the Administrative Agent on
or prior to the date required pursuant to clause (c) of Section 8.1.1 (or clause
(c)  of  Section  8.1.1  of  the  Original  Credit  Agreement),  the  Applicable
Commitment Fee from and including the date on which such Compliance  Certificate
was required to be delivered to but not including the actual date of delivery of
such Compliance  Certificate  shall  conclusively  equal the highest  Applicable
Commitment Fee.

         "Applicable  Margin" means, with respect to any Loan of any type, as of
any date, the rate per annum determined  pursuant to the following  pricing grid
(expressed in basis points),  subject to the  provisions of this  definition set
forth below:

                                                         6

<PAGE>

                                  PRICING GRID

                                     Eurodollar Loan          ABR Loan
              Leverage Ratio        Applicable Margin     Applicable Margin
              --------------        -----------------     -----------------
                 X >= 3.5                250                   150
           X >= 3.0, but < 3.5           225                   125
           X >= 2.0, but < 3.0           200                   100
           X >= 1.0, but < 2.0           175                    75
            X >= .75, but < 1.0          150                    50
                 X < .75                 125                    37.5

         The  Applicable  Margin,  at any time  from  and  after  the  Amendment
Effective  Date,  for Loans,  shall be  determined  pursuant to the Pricing Grid
above at such time.  At all times that the  Applicable  Margin is  determined by
reference to the Pricing  Grid,  "X" refers to the Leverage  Ratio,  which ratio
shall be determined based upon the Compliance  Certificate delivered pursuant to
clause (c) of Section  8.1.1 (or  clause  (c) of Section  8.1.1 of the  Original
Credit  Agreement)  and  shall  remain  in  effect  until  such time as the next
Compliance  Certificate  shall be delivered  (and, at such time,  the Applicable
Margin  shall  change  based on such  next  Compliance  Certificate);  provided,
however,  that,  if any such  Compliance  Certificate  is not  delivered  to the
Administrative  Agent on or prior to the date required pursuant to clause (c) of
Section 8.1.1 (or clause (c) of Section 8.1.1 of the Original Credit Agreement),
the  Applicable  Margin  for Loans  from and  including  the date on which  such
Compliance  Certificate  was required to be delivered to but not  including  the
actual date of delivery of such Compliance  Certificate shall conclusively equal
the highest Applicable Margin for Loans set forth above.

         "Arrangers" is defined in the preamble.
          ---------                    --------

         "Assignee Lender" is defined in Section 12.11.1.

         "Authorized  Officer"  means,  relative to any  Borrower  and any other
Obligor,  those of its  officers or  managing  members (in the case of a limited
liability  company) whose signatures and incumbency shall have been certified to
the  Administrative  Agent and the  Lenders  pursuant  to  Section  6.1.1 of the
Original Credit Agreement or Section 3.2 of the Amendment Agreement.

         "Base  Indenture"  means the Base  Indenture,  dated as of December 13,
1995,  between RCFC and Bankers Trust Company,  as Trustee,  as in effect on the
Original Effective Date, together with the Base Indenture  Supplements  thereto,
as amended,  supplemented,  amended and restated or otherwise modified from time
to time in accordance with the terms hereof and thereof.

                                                         7

<PAGE>

         "Base Indenture Supplement" means any supplement to the Base Indenture,
including (i) the Series 1997-1  Supplement dated as of December 23, 1997 (which
supplement  was entered  into in  connection  with the MTN Program) and (ii) the
Series 1998-1 Supplement dated as of March 4, 1998 (which Supplement was entered
into in connection with the CP Program).

         "Borrower Debtor" is defined in clause (a) of Section 10.1.

         "Borrower Guarantor" is defined in clause (a) of Section 10.1.

         "Borrowers" is defined in the preamble.
          ---------                    --------

         "Borrower  Guaranty"  means the  Obligations  of a  Borrower  Guarantor
undertaken pursuant to Article X.

         "Borrowing"  means  the  Loans of the  same  type  and,  in the case of
Eurodollar  Loans,  having the same  Interest  Period made by all Lenders on the
same Business Day and pursuant to the same Borrowing  Request in accordance with
Section 2.1.

         "Borrowing  Request" means a Loan request and certificate duly executed
by an Authorized  Officer of any Borrower,  substantially in the form of Exhibit
B-1 hereto.

         "Business Acquisition" means the acquisition, by purchase or otherwise,
of all or substantially all of the assets and, if applicable,  assumption of all
or  substantially  all of the  liabilities  (or any part of the assets  and,  if
applicable, the liabilities, constituting all or substantially all of a business
or line of  business)  of any  Person,  whether  such  acquisition  is direct or
indirect, including through the acquisition of the business of, or Capital Stock
of, such Person.

         "Business Day" means

                 (a) any day which is  neither a  Saturday or Sunday nor a legal
          holiday on which banks are  authorized or required to be closed in New
          York, New York; and

                  (b) relative to the making, continuing,  converting, prepaying
         or repaying of any  Eurodollar  Loan,  any day  described in clause (a)
         above on which  dealings  in U.S.  Dollars are carried on in the London
         interbank market.

         "Capital Expenditures" means, for any period, the sum of
          --------------------

                  (a) the aggregate amount of all expenditures of the Parent and
         its  Subsidiaries  for fixed or capital  assets made during such period
         which,  in accordance  with GAAP (to the extent  applicable),  would be
         classified as capital expenditures; and

                                                         8

<PAGE>

                  (b) the aggregate  amount of all Capitalized Lease Liabilities
          incurred during such period;

provided,  however, that Capital Expenditures shall not include any such amounts
made or incurred in connection with Permitted Business  Acquisitions  (including
Permitted Business Acquisitions that are Excepted Dollar Acquisitions).

         "Capital  Stock" means with respect to any Person,  any and all shares,
interests,  participations  or other  equivalents  (however  designated) of such
Person's  capital stock or equity,  whether now  outstanding or issued after the
Original   Effective  Date,   including  all  common  stock,   preferred  stock,
partnership interests and member interests.

         "Capitalized Lease  Liabilities" means all monetary  obligations of the
Parent or any of its  Subsidiaries  under any  leasing  or  similar  arrangement
which, in accordance with GAAP, would be classified as capitalized  leases, and,
for purposes of this Agreement and each other Loan Document,  the amount of such
obligations  shall be the capitalized  amount thereof,  determined in accordance
with GAAP,  and,  with respect to any such leasing or similar  arrangement,  the
stated  maturity  thereof  shall be the date of the last  payment of rent or any
other  amount due under such lease prior to the first date upon which such lease
may be terminated by the lessee without payment of a premium or a penalty.

         "Cash Equivalent Investments" means

                  (a)  U.S. Government Obligations maturing in not more than 270
         days;

                  (b)  participation   certificates  (excluding  strip  mortgage
         securities  that are  purchased  at prices  exceeding  their  principal
         amounts) and senior debt  obligations of the Federal Home Loan Mortgage
         Corporation,  consolidated  system  wide  bonds  and  notes of the Farm
         Credit System,  senior debt obligations and mortgage-backed  securities
         (excluding  stripped mortgage  securities which are purchased at prices
         exceeding their principal amounts) of the Federal Mortgage  Association
         which, in the case of mortgage- backed  securities,  are rated at least
         (i) AA by S&P and Aa by Moody's if such mortgage- backed securities are
         rated by both such  rating  agencies or (ii) AA by S&P or Aa by Moody's
         if such  mortgage-backed  securities  are rated by only one such rating
         agency,  senior debt  obligations  (excluding  securities  that have no
         fixed value and/or whose terms do not promise a fixed dollar  amount at
         maturity or call date) of the Student Loan  Marketing  Association  and
         debt  obligations  of the  Resolution  Funding  Corp.,  in  each  case,
         maturing not more than 270 days (collectively, "Agency Obligations");

                  (c) (i) direct  obligations  of any state of the United States
         or any subdivision or agency thereof whose short-term unsecured general
         obligation  debt is rated at least (A) A-1 by S&P and P-1 by Moody's if
         such short-term unsecured general obligation debt is rated by both such
         rating agencies or (B) A-1 by S&P or P-1 by Moody's if such short- term
         unsecured  general  obligation  debt is rated  by only one such  rating
         agency or (ii) any obligation that is (A) rated at least  equivalent to
         (1) A-1 by S&P and P-1 by Moody's if such  obligation  is rated by both
         such  rating  agencies  or (2)  A-1 by S&P or P-1 by  Moody's  if  such
         obligation debt is rated by only one such rating agency,  and (B) fully
         and  unconditionally  guaranteed  by any state,  subdivision  or agency
         whose short-term  unsecured  general  obligation debt is rated at least
         equivalent  to (1)  A-1 by S&P and P-1 by  Moody's  if such  short-term
         unsecured general obligation debt is rated by both such rating agencies
         or (2)  A-1 by S&P or P-1  by  Moody's  if  such  short-term  unsecured
         general obligation debt is rated by only one such rating agency;

                  (d) commercial  paper maturing in not more than 270 days which
         is issued by a corporation (other than an Affiliate of any Obligor) and
         that is rated at least  equivalent to (i) A-1 by S&P and P-1 by Moody's
         if such commercial  paper is rated by both such rating agencies or (ii)
         A-1 by S&P or P-1 by Moody's if such commercial  paper is rated by only
         one such rating agency;

                  (e) deposits  (including  Eurodollar time  deposits),  federal
         funds or bankers  acceptances  (maturing  in not more than 365 days) of
         any domestic  bank  (including a branch  office of a foreign bank which
         branch office is located in the United States), which:

                           (i)  has an  unsecured,  uninsured  and  unguaranteed
                  obligation that is rated at least equivalent to (A) A-1 by S&P
                  and  P-1  by  Moody's  if  such   unsecured,   uninsured   and
                  unguaranteed  obligation is rated by both such rating agencies
                  or  (B)  A-1 by S&P or  P-1  by  Moody's  if  such  unsecured,
                  uninsured  and  unguaranteed  obligation  is rated by only one
                  such rating agency;

                           (ii)  is the  lead  bank  of a  parent  bank  holding
                  company  with  an  uninsured,   unsecured   and   unguaranteed
                  obligation  meeting the rating  requirements  in the preceding
                  clause (i);

                           (iii) has  combined  capital,  surplus and  undivided
                  profits  of not  less  than  $500  million  and an  unsecured,
                  uninsured and unguaranteed  long-term obligation that is rated
                  at  least  equivalent  to (A) A by S&P  and  Moody's  if  such
                  unsecured,  uninsured and unguaranteed long-term obligation is
                  rated by both such rating  agencies or (B) A by S&P or Moody's
                  if  such  unsecured,   uninsured  and  unguaranteed  long-term
                  obligation is rated by only one such rating agency; or

                           (iv) is a Lender;

                  (f) deposits of any bank or savings and loan association which
         has combined  capital,  surplus and undivided  profits of not less than
         $100  million  and  deposits,  not to exceed  $100,000,  at any bank or
         savings and loan association that serves the local and

                                                         9

<PAGE>

         non-centralized corporate operations of a Subsidiary Borrower, provided
         such  deposits  are in each case fully  insured by the Federal  Deposit
         Insurance  Corporation,  the  Banking  Insurance  Fund  or the  Savings
         Association Insurance Fund;

                  (g)  investments in a  money-market  fund which may be a 12b-1
         fund as  registered  under the  Investment  Company  Act of 1940 and is
         rated at least equivalent to (i) AAm or AAm-G by S&P and P-1 by Moody's
         if such money-market fund is rated by both such rating agencies or (ii)
         AAm or  AAm-G by S&P or P-1 by  Moody's  if such  money-market  fund is
         rated by only one such rating agency;

                  (h)  repurchase  agreements  with a term of six months or less
         with any institution having  short-term,  unsecured debt rated at least
         equivalent  to (i) A-1 by S&P and P-1 by  Moody's  if such  short-term,
         unsecured debt is rated by both such rating agencies or (ii) A-1 by S&P
         or P-1 by Moody's if such  short-term,  unsecured debt is rated by only
         one such rating agency;

                  (i) repurchase  agreements  collateralized by U.S.  Government
         Obligations or Agency  Obligations (the "Collateral  Securities")  with
         any registered  broker-dealer  which is under the  jurisdiction  of the
         Securities  Investors  Protection Corp. or any commercial bank, if such
         broker-dealer or bank has uninsured,  unsecured and  unguaranteed  debt
         rated at least  equivalent to (i) A-1 by S&P and P-1 by Moody's if such
         uninsured, unsecured and unguaranteed debt is rated by both such rating
         agencies  or  (ii)  A-1 by S&P or P-1 by  Moody's  if  such  uninsured,
         unsecured  and  unguaranteed  debt is rated  by only  one  such  rating
         agency; provided that:

                           (A)  a master repurchase agreement or other specific
                  written repurchase agreement governs the transaction;

                           (B) the Collateral Securities are held free and clear
                  of  any  other  Lien  by  the   Administrative   Agent  or  an
                  independent  third  party  acting  solely  as  agent  for  the
                  Administrative  Agent,  provided that any such third party (1)
                  is (x) a Federal Reserve bank, (y) a bank which is a member of
                  the  Federal  Deposit  Insurance  Corporation  and  which  has
                  combined  capital,  surplus and undivided  profits of not less
                  that $250 million,  or (z) a bank approved in writing for such
                  purpose by the Required Lenders,  and (2) certifies in writing
                  to the Administrative Agent (or delivers to the Administrative
                  Agent a written  opinion of counsel to such third  party) that
                  such third  party  holds the  Collateral  Securities  free and
                  clear of any Lien, as agent for the Administrative Agent;

                         (C) a  perfected  first  security  interest  under  the
                    Uniform  Commercial  Code  is  created  in,  or  book  entry
                    procedures  prescribed  at 31 C.F.R.  306.1 et seq. or 31 --
                    ---- C.F.R.  350.0 et seq. are followed with respect to, the
                    Collateral  Securities  for  the  --  ----  benefit  of  the
                    Administrative Agent;

                                                        10

<PAGE>

                           (D) such repurchase  agreement has a term  of 30 days
                  or less;

                           (E) such repurchase agreement matures (or permits the
                  Administrative  Agent to  withdraw  all or any  portion of the
                  invested  funds) at least ten (10) days (or other  appropriate
                  liquidation period) prior to each Quarterly Payment Date;

                           (F)  the  fair   market   value  of  the   Collateral
                  Securities  in  relation  to  the  amount  of  the  repurchase
                  obligation,  including principal and interest,  is equal to at
                  least one hundred and two percent 102% (as  determined  by the
                  Parent and certified by the chief financial Authorized Officer
                  of the Parent to the Administrative  Agent in a certificate in
                  form and substance satisfactory to the Administrative Agent);

                           (G) the  Administrative  Agent  obtains an opinion of
                  counsel to such  broker-dealer or bank to the effect that such
                  repurchase   agreement   is  a  legal,   valid,   binding  and
                  enforceable  agreement of such  broker-dealer or bank (and, in
                  the case of a bank  which is a branch  of a foreign  bank,  of
                  such foreign bank) in accordance with its terms; and

                  (j) in the case of Investments of a Foreign Subsidiary,

                           (i) direct  obligations of, or obligations the timely
                  payment of  principal  of and  interest  on which is fully and
                  unconditionally  guaranteed by, the national government of the
                  jurisdiction  in which such Foreign  Subsidiary  is organized,
                  provided (A) such obligation matures in not more than 270 days
                  and (B) such national  government has an unsecured,  uninsured
                  and unguaranteed  long-term obligation which is rated at least
                  equivalent  to (1) A by S&P and  Moody's  if  such  unsecured,
                  uninsured and  unguaranteed  long-term  obligation is rated by
                  both such  rating  agencies or (2) A by S&P or Moody's if such
                  unsecured,  uninsured and unguaranteed long-term obligation is
                  rated by only one such rating agency;

                           (ii) deposits  (including  Eurodollar  time deposits)
                  maturing  in not more than 365 days of any bank  organized  in
                  the jurisdiction in which such Foreign Subsidiary is organized
                  (including  a branch  office  of a bank  organized  elsewhere,
                  which branch office is located in such jurisdiction) which:

                                    (A)   has  an   unsecured,   uninsured   and
                           unguaranteed  obligation  which  is  rated  at  least
                           equivalent  to (1) A-1 by S&P and P-1 by  Moody's  if
                           such unsecured, uninsured and unguaranteed obligation
                           is rated by both such  rating  agencies or (2) A-1 by
                           S&P or P-1 by  Moody's if such  unsecured,  uninsured
                           and unguaranteed obligation is rated by only one such
                           rating agency, or

                                                        11

<PAGE>

                                    (B)  is  the  lead  bank  of a  parent  bank
                           holding  company  with an  uninsured,  unsecured  and
                           unguaranteed    obligation    meeting    the   rating
                           requirements in the preceding clause (A), or

                                    (C)  has  combined   capital,   surplus  and
                           undivided  profits  of not less than $100  million to
                           the extent such  deposits do not exceed  $100,000 and
                           such  deposits  are in each case fully  insured by an
                           agency of the national  government in which such bank
                           is organized which meets the  requirements  set forth
                           in subclause (j)(i) above, or

                                    (D)  has  combined   capital,   surplus  and
                           undivided  profits of not less than $500  million and
                           an unsecured,  uninsured and  unguaranteed  long-term
                           obligation  which is rated at least equivalent to (1)
                           A by S&P and Moody's if such unsecured, uninsured and
                           unguaranteed  long-term  obligation  is rated by both
                           such  rating  agencies  or (2) A by S&P or Moody's if
                           such unsecured,  uninsured and unguaranteed long-term
                           obligation  is rated by only one such rating  agency;
                           or

                                    (E)  is a Lender.

         "Casualty Event" means the damage, destruction or condemnation,  as the
case may be, of property of the Parent or any of its Subsidiaries.

         "Casualty  Proceeds"  means,  with respect to any Casualty  Event,  the
amount of any insurance proceeds or condemnation awards received by or on behalf
of the Parent or any of its  Subsidiaries in connection with such Casualty Event
(provided  that,  in the event the  aggregate  amount of such proceeds or awards
resulting  from such  Casualty  Event do not exceed  $100,000,  such proceeds or
awards shall not constitute Casualty  Proceeds),  but excluding (i) any proceeds
or awards required to be paid to a creditor (other than the Lenders) which holds
a  first-priority  Lien  permitted by Section 8.2.3 on the property which is the
subject of such Casualty Event  (including  Vehicles  securing Vehicle Debt) and
(ii)  reasonable and customary  expenses  incurred in obtaining such proceeds or
awards.

         "CERCLA" means the Comprehensive  Environmental Response,  Compensation
and Liability Act of 1980, as amended.

         "CERCLIS" means the Comprehensive  Environmental  Response Compensation
Liability Information System List.

                                                        12

<PAGE>

         "Change in Control" means

                  (a) any Person  other than the  Parent  shall own any  Capital
         Stock of  either  of Dollar or  Thrifty  Holdco or  otherwise  have the
         ability  to elect any  members of the board of  directors  of Dollar or
         Thrifty Holdco;

                  (b) any Person other than Thrifty Holdco shall own any Capital
         Stock of Thrifty or Thrifty Car Sales or otherwise  have the ability to
         elect any members of the board of  directors  of Thrifty or Thrifty Car
         Sales;

                  (c) a "person"  or "group"  (within  the  meaning of  Sections
         13(d) and  14(d)(2) of the  Exchange  Act) (i) becomes the  "beneficial
         owner" (as defined in Rule 13d-3 under the  Exchange  Act) of more than
         30% of the total then  outstanding  voting power of the Voting Stock of
         the  Parent  or (ii) has the  right or the  ability  by  voting  right,
         contract or otherwise to elect or designate  for election a majority of
         the board of directors of the Parent;

                  (d)  during  any  period  of  twenty-four   months   occurring
         subsequent  to the Amendment  Effective  Date,  individuals  who at the
         beginning  of such period  constituted  the board of  directors  of the
         Parent (together with any new directors whose election by such board of
         directors,  or whose nomination for election by the shareholders of the
         Parent,  as the case may be,  was  approved  by a vote of 662/3% of the
         directors  then  still in  office  who  were  either  directors  at the
         beginning of such period or whose  election or nomination  for election
         was  previously so approved)  cease for any reason to constitute 50% or
         more of the board of directors then in office; or

                  (e) any Person or two or more Persons  acting in concert shall
         have  acquired by contract or  otherwise,  or shall have entered into a
         contract or arrangement that, upon consummation thereof, will result in
         its or their acquisition of the power to direct or control, directly or
         indirectly, the management or policies of any Borrower.

         "Chase" is defined in the preamble.
          -----                    --------

         "Chrysler" is defined in the fourth recital.

         "Chrysler Credit Support  Agreement"  means the Agreement,  dated as of
December 23, 1997, among Chrysler and the Borrowers,  as amended,  supplemented,
amended and restated or otherwise  modified from time to time in accordance with
the terms hereof and thereof.

         "Chrysler  Credit Support  Documents" means the Chrysler Credit Support
Agreement and each  agreement,  instrument  or document  delivered in connection
therewith.

                                                        13

<PAGE>

         "Chrysler-Dollar  Supply Agreement" means the Vehicle Supply Agreement,
dated  as  of  July,  1,  1996,   between  Chrysler  and  Dollar,   as  amended,
supplemented,  amended and  restated,  replaced  (including as replaced with the
Vehicle Supply  Agreement,  effective as of July 1, 2001,  between  Chrysler and
DTAG),  extended or otherwise  modified from time to time in accordance with the
terms hereof and thereof.

         "Chrysler Letter of Credit" means a letter of credit issued pursuant to
the Chrysler Credit Support Agreement.

         "Chrysler-Thrifty  Supply  Agreement"  means the Amended  and  Restated
Vehicle Supply Agreement dated as of July 1, 1997, between Chrysler and Thrifty,
as amended, supplemented,  amended and restated, replaced (including as replaced
with  the  Vehicle  Supply  Agreement,  effective  as of July 1,  2001,  between
Chrysler  and  DTAG),  extended  or  otherwise  modified  from  time  to time in
accordance with the terms hereof and thereof.

         "Closing  Date"  means  December  23,  1997,  the date on which  Credit
Extensions were first made under the Original Credit Agreement.

         "Code" means the Internal  Revenue  Code of 1986,  and the  regulations
thereunder, in each case as amended, reformed or otherwise modified from time to
time.

         "Commitment"  means,  as the  context  may  require,  a  Lender's  Loan
Commitment and/or Letter of Credit Commitment.

         "Commitment  Amount" means, on any date,  $215,000,000,  as such amount
may be reduced from time to time pursuant to Section 2.2.

         "Commitment Termination Date" means the earliest of
          ---------------------------

                  (a) [INTENTIONALLY OMITTED];

                  (b) the Business Day immediately preceding the Stated Maturity
         Date;

                  (c) the date on which the Loan Commitment Amount is terminated
         in full or reduced to zero pursuant to Section 2.2; and

                  (d) the date on which any Commitment Termination Event occurs.

Upon the  occurrence  of any event  described  in clause (c) or (d)  above,  the
Commitments shall terminate automatically and without any further action.

                                                        14

<PAGE>

         "Commitment Termination Event" means

               (a) the  occurrence of any Event of Default  described in clauses
          (a) through (d) of Section 9.1.9; or

               (b) the occurrence and  continuance of any other Event of Default
          and either

                    (i) the declaration of all or any portion of the Loans to be
               due and payable pursuant to Section 9.3, or

                    (ii) the  giving  of  notice  by the  Administrative  Agent,
               acting at the direction of the Required Lenders, to the Borrowers
               that the Commitments have been terminated.

         "Common Stock" is defined in the fourth recital.

         "Compliance   Certificate"  means  a  certificate  duly  completed  and
executed by the chief financial Authorized Officer of the Parent,  substantially
in the form of  Exhibit D hereto,  together  with such  changes  thereto  as the
Administrative Agent may from time to time reasonably request in writing for the
purpose of  monitoring  the Parent's  compliance  with the  financial  covenants
contained herein.

         "Consolidated  Working Capital" means,  with respect to the Parent,  at
any date,  the excess (or the  deficit) of (a) the sum of the amounts  that,  in
accordance  with GAAP,  are set forth opposite the captions  "receivables,  net"
(excluding  accounts  receivable pledged to Bankers Trust Company, as the master
collateral  agent,  or any  successor  thereto in such capacity  under  Sections
2.1(a)(iii) and 2.1(b)(iii) of the Master Collateral Agency Agreement), "prepaid
expenses and other assets", "income taxes receivable",  and "deferred income tax
assets" or any like captions, at such date over (b) the sum of the amounts that,
in  accordance  with GAAP,  are set forth  opposite the  captions (i)  "accounts
payable"  (excluding  outstanding checks included in accounts payable related to
vehicle financing ("float")),  (ii) "accrued  liabilities",  (iii) "income taxes
payable",  (iv) "public liability and property damage", (v) "deferred income tax
liabilities" and (vi) any like captions,  at such date; provided,  however, that
such sum shall only include  amounts set forth under the  captions  described in
clauses  (b)(ii),  (iv),  (v) and such  captions  that  are  like  the  captions
described in such clauses (b)(ii), (iv) and (v), in each case, to the extent and
solely to the extent that such amounts are payable  within the next 12 months of
such date.

         "Contingent Liability" means any agreement,  undertaking or arrangement
by which any Person guarantees, endorses or otherwise becomes or is contingently
liable  upon (by direct or  indirect  agreement,  contingent  or  otherwise,  to
provide  funds for  payment,  to supply  funds to, or  otherwise to invest in, a
debtor,  or  otherwise  to assure a  creditor  against  loss) the  indebtedness,
obligation  or  any  other   liability  of  any  other  Person  (other  than  by
endorsements  of  instruments  in the course of  collection),  or guarantees the
payment of dividends or other distributions upon

                                                        15

<PAGE>

the shares of any other Person. The amount of any Person's  obligation under any
Contingent  Liability  shall  (subject to any  limitation  set forth therein) be
deemed to be the outstanding  principal amount (or maximum  principal amount, if
larger) of the debt, obligation or other liability guaranteed thereby.

         "Continuation/Conversion  Notice"  means a notice  of  continuation  or
conversion  and  certificate  duly  executed  by an  Authorized  Officer  of the
applicable Borrower, substantially in the form of Exhibit C hereto.

         "Continuing Chrysler Arrangements" is defined in the seventh recital.

         "Controlled   Group"  means  all  members  of  a  controlled  group  of
corporations  and all  members  of a  controlled  group of trades or  businesses
(whether or not  incorporated)  under common  control  which,  together with any
Borrower, are treated as a single employer under Section 414(b) or 414(c) of the
Code or Section 4001 of ERISA.

         "CP  Enhancement  Letter of  Credit"  means a Letter  of Credit  issued
pursuant  to  the  terms  hereof  and  of  a CP  Enhancement  Letter  of  Credit
Application and Agreement.

         "CP Enhancement  Letter of Credit Application and Agreement" is defined
in Section 4.1.

         "CP Program" is defined in the sixth recital.

         "CP Program Documents" means the Base Indenture, the supplement thereto
relating to the CP Program,  the Master Collateral Agency Agreement,  the master
lease and  servicing  agreement  relating to the CP Program,  any note  purchase
agreement  between RCFC and Dollar Thrifty Funding,  the Liquidity  Facility and
any collateral agency agreement  pursuant to which Dollar Thrifty Funding grants
a security  interest  in its assets to,  among  others,  the  lenders  under the
Liquidity  Facility and each other material  agreement,  instrument and document
delivered  in  connection  with  the  CP  Program,  in  each  case  as  amended,
supplemented,  amended and restated or otherwise  modified  from time to time in
accordance with the terms hereof and thereof.

         "Credit Extension" means and includes

                    (a) the  advancing of any Loans by the Lenders in connection
               with a Borrowing,
         and

                    (b) any  issuance or  extension by the Issuer of a Letter of
               Credit.

         "Credit  Extension  Request"  means,  as the context may  require,  any
Borrowing Request or Issuance Request.

         "Credit Suisse First Boston" is defined in the preamble.

                                                        16

<PAGE>

         "Cumulative  Excess Cash Flow"  means,  as of any date,  the  aggregate
amount of Excess Cash Flow for each Fiscal  Year  subsequent  to the 1999 Fiscal
Year and prior to the Fiscal Year in which such date occurs; provided,  however,
that for purposes of this and only this definition,  "Excess Cash Flow" for each
such  Fiscal Year shall be  calculated  as the  difference  of clause (a) of the
definition  thereof  minus clause (b) of the  definition  thereof with  negative
Excess Cash Flow (as so computed) diminishing the Cumulative Excess Cash Flow by
an equal amount and positive Excess Cash Flow  increasing the Cumulative  Excess
Cash Flow by an equal amount.

         "Default"  means any Event of Default or any  condition,  occurrence or
event which, after notice or lapse of time or both, would constitute an Event of
Default.

         "Demand  Capitalization  Notes" means promissory  notes,  issued by the
Parent to RCFC for the purpose of  capitalizing  RCFC in connection with the MTN
Program and the CP Program.

         "Disbursement Date" is defined in Section 4.5.

         "Disclosure  Schedule"  means the  Disclosure  Schedule  dated the date
hereof and  delivered by the Borrowers to the Agents and the Lenders on or prior
to the date  hereof in form and  substance  satisfactory  to the  Agents and the
Lenders, as amended, supplemented or otherwise modified from time to time by the
Borrowers with the written consent of the Administrative  Agent and the Required
Lenders.

         "Distribution"  means,  with  respect to any  Person,  any  dividend or
distribution  (in cash,  property or  obligations) on any shares of any class of
Capital Stock (now or hereafter  outstanding) of such Person or on any warrants,
options or other rights with respect to any shares of any class of Capital Stock
(now  or  hereafter  outstanding)  of  such  Person,  other  than  dividends  or
distributions  payable in the common stock (other than Redeemable Capital Stock)
of such Person or warrants or options to purchase such common stock or split-ups
or  reclassifications  of its Capital  Stock into  additional or other shares of
such common stock.

         "Dollar" is defined in the preamble.
          ------                    --------

         "Dollar Thrifty Funding" is defined in the sixth recital.

         "Domestic  Office"  means,  relative to any Lender,  the office of such
Lender  designated  as such opposite its name in Schedule I hereto or designated
in the Lender  Assignment  Agreement  or such  other  office of a Lender (or any
successor  or  assign  of  such  Lender)  within  the  United  States  as may be
designated from time to time by written notice from such Lender, as the case may
be, to each other  Person  party  hereto.  A Lender may have  separate  Domestic
Offices for purposes of making, maintaining or continuing ABR Loans.

         "Domestic Subsidiary" means any Subsidiary of the Parent which is not a
Foreign Subsidiary.

                                                        17

<PAGE>

         "EBITDA" means, for any applicable period, the sum for such period of
          ------

                  (a) Net  Income  (excluding  therefrom  (i) the  effect of any
         extraordinary or other  non-recurring  gain outside the ordinary course
         of  business,  (ii) any  write-up  (or write- down) in the value of any
         asset,  (iii) the  earnings  (or loss) of any  Person  (other  than the
         Parent or any other  Subsidiary  of the  Parent) in which the Parent or
         any of its Subsidiaries has an ownership interest, except to the extent
         of the amount of dividends or other distributions actually paid in cash
         to the Parent or any of its  Subsidiaries  by such  Person  during such
         period, (iv) except where the provisions hereof expressly require a pro
         forma determination, the earnings (or loss) of any Person accrued prior
         to the date it becomes a Subsidiary  of the Parent or is merged into or
         consolidated  with any of its  Subsidiaries or the date that such other
         Person's  assets are acquired by any  Subsidiary  of the Parent and (v)
         the  earnings  of any  Subsidiary  of the  Parent  that  is  neither  a
         Subsidiary  Borrower nor a Subsidiary  Guarantor to the extent that the
         declaration  or payment of dividends or similar  distributions  by such
         Subsidiary of such  earnings is not at the time  permitted by operation
         of the terms of its  charter or any  agreement,  instrument,  judgment,
         decree, order,  statute, rule or governmental  regulation applicable to
         such Subsidiary)

plus

                  (b) to the extent deducted in arriving at such Net Income, the
         sum, without duplication,  of (i) Aggregate Interest Expense, plus (ii)
         taxes  computed on the basis of income plus (iii) the aggregate  amount
         of depreciation  and  amortization  of tangible and intangible  assets,
         plus (iv)  non-cash  charges in respect of  non-cash  awards  under the
         Parent's incentive compensation programs.

         "Effective Date" means December 23, 1997.

         "Eligible  Assignee"  means a  lending  institution  at the time of any
proposed  assignment  having total assets in excess of  $1,000,000,000  which is
organized under the laws of the United States, or any state thereof or any other
country  which is a member of the OECD, or a political  subdivision  of any such
country (provided that such bank is acting through a branch or agency located in
the country in which it is organized,  another country which is also a member of
the OECD or in the Cayman  Islands) and has long-term  unsecured debt ratings of
BBB- (or better) from S&P and Baa3 (or better) from Moody's; provided,  however,
that neither the Parent nor any of its  Affiliates  shall qualify as an Eligible
Assignee.

         "Enhancement  Letter of Credit  Application and Agreement"  means, with
respect to each  Enhancement  Letter of Credit,  the  application  and agreement
therefor  completed  by  the  account  party  or  parties  in  respect  of  such
Enhancement Letter of Credit and accepted by the Issuer.

         "Enhancement  Letters of  Credit"  is  defined in clause  (b)(i) of the
tenth recital.

                                                        18

<PAGE>

         "Environmental  Laws" means all applicable federal,  foreign,  state or
local  statutes,  laws,  ordinances,  codes,  rules,  regulations and guidelines
(including consent decrees and administrative  orders) relating to public health
and safety and protection of the environment.

         "Equity Offerings" is defined in the fourth recital.

         "ERISA" means the Employee  Retirement  Income Security Act of 1974, as
amended, and any successor statute thereto of similar import,  together with the
regulations thereunder,  in each case as in effect from time to time. References
to sections of ERISA also refer to any successor sections thereto.

         "Eurodollar Loan" means a Loan bearing interest, at all times during an
Interest Period applicable to such Loan, at a fixed rate of interest  determined
by reference to the Eurodollar Rate (Reserve Adjusted).

         "Eurodollar  Office" means,  relative to any Lender, the office of such
Lender  designated  as such opposite its name in Schedule I hereto or designated
in the Lender  Assignment  Agreement  or such  other  office of a Lender (or any
successor or assign of such Lender) as  designated  from time to time by written
notice from such Lender to the Borrowers and the Administrative  Agent,  whether
or not  outside  the  United  States,  which  shall  be  making  or  maintaining
Eurodollar Loans of such Lender hereunder.

         "Eurodollar Rate" means,  relative to any Interest Period, with respect
to Eurodollar  Loans,  an interest rate per annum equal to the average  (rounded
upward to the nearest whole  multiple of 1/100 of 1% per annum,  if such average
is not such a multiple) of the rates per annum at which deposits in U.S. Dollars
in immediately  available  funds are offered by the Eurodollar  Office of Credit
Suisse  First Boston in London,  England to prime banks in the London  interbank
market at or about 11:00 a.m.  (London,  England  time) two Business Days before
the first day of such Interest Period in an amount substantially equal to Credit
Suisse First Boston's  Eurodollar  Loan  comprising part of such Borrowing to be
outstanding  during such Interest Period and for a period equal to such Interest
Period.

         "Eurodollar Rate (Reserve Adjusted)" means,  relative to any Loan to be
made,  continued or maintained as, or converted  into, a Eurodollar Loan for any
Interest Period, a rate per annum (rounded upwards, if necessary, to the nearest
1/100 of 1%) determined pursuant to the following formula:

            Eurodollar Rate    =             Eurodollar Rate
                                  ------------------------------------
         (Reserve Adjusted)       1.00 - Eurodollar Reserve Percentage

The Eurodollar  Rate (Reserve  Adjusted) for any Interest  Period for Eurodollar
Loans  will be  determined  by the  Administrative  Agent  on the  basis  of the
Eurodollar  Reserve  Percentage in effect two Business Days before the first day
of such Interest Period.

                                                        19

<PAGE>

         "Eurodollar Reserve Percentage" means,  relative to any Interest Period
for Eurodollar Loans, the reserve  percentage  (expressed as a decimal) equal to
the maximum  aggregate  reserve  requirements  (including all basic,  emergency,
supplemental,   marginal  and  other   reserves  and  taking  into  account  any
transitional  adjustments or other  scheduled  changes in reserve  requirements)
specified  under  regulations  issued from time to time by the F.R.S.  Board and
then   applicable  to  assets  or   liabilities   consisting  of  and  including
"Eurocurrency  Liabilities",  as currently defined in Regulation D of the F.R.S.
Board, having a term approximately equal or comparable to such Interest Period.

         "Event of Default" is defined in Section 9.1.

         "Excepted Dollar Acquisition" means a Business  Acquisition pursuant to
which Dollar or any of its  Subsidiaries  acquires a  franchisee  of Dollar that
operates,  at the time of such acquisition,  in one of the top fifty airport car
rental  locations in the U.S.  (as  reported by the then most recent  edition of
Auto Rental News (or, in the event such publication is no longer published,  any
other publication of comparable standing)).

         "Excess Cash Flow" means, for any Fiscal Year of the Parent,  an amount
equal to the excess of (a) the sum, without duplication,  of (i) Adjusted EBITDA
for such Fiscal Year and (ii) decreases in Consolidated Working Capital for such
Fiscal Year over (b) the sum, without  duplication,  of (i) the aggregate amount
paid by the Parent and its  Subsidiaries  in cash  during  such  Fiscal  Year on
account of taxes computed on the basis of income, (ii) the aggregate amount paid
by the Parent and its Subsidiaries in cash during such Fiscal Year on account of
Capital Expenditures, other than Vehicle Debt (excluding the principal amount of
Indebtedness  incurred in  connection  with such Capital  Expenditures,  whether
incurred  in such  Fiscal  Year  or in a  subsequent  Fiscal  Year),  (iii)  the
aggregate  amount  of all  prepayments  of any  amounts  outstanding  under  any
revolving  credit facility or agreement  (including this Agreement) to which the
Parent or any of its  Subsidiaries  is a borrower to the extent  accompanied  by
permanent  reductions of the commitments to extend credit  thereunder,  (iv) the
aggregate amount of all principal  payments of Indebtedness,  other than Vehicle
Debt,  of the  Parent  or its  Subsidiaries  (including  any term  loans and the
principal  component of payments in respect of  capitalized  lease  liabilities)
made during such  Fiscal  Year  (other than in respect of any  revolving  credit
facility or agreement (including this Agreement)), (v) increases in Consolidated
Working Capital for such Fiscal Year, (vi) the amount of Investments, other than
Cash Equivalent Investments,  made during such Fiscal Year in cash to the extent
that such Investments  were financed with internally  generated cash flow of the
Parent and its Subsidiaries,  and (vii) the amount of Distributions  made during
such Fiscal Year by the Parent in cash.

         "Exchange Act" means the Securities Exchange Act of 1934, as amended.

         "Excluded  Property" means the property owned by Thrifty and located at
15 South 2400 West, Salt Lake City, Utah.

                                                        20

<PAGE>

         "Excluded  Receivable"  means  any  receivable  or  other  right of the
Parent, a Subsidiary Borrower or any Subsidiary of a Subsidiary Borrower that is
(a) subject to a Lien which is not a Lien in favor of the  Administrative  Agent
for the  benefit of the  Lenders  and (b) (i) an  obligation  payable to RCFC in
respect of Vehicles leased or financed pursuant to the Lease or the Master Lease
(as defined in the Base  Indenture),  (ii) an obligation of a manufacturer  of a
Vehicle  securing  Vehicle Debt  pursuant to a Vehicle  Disposition  Program (as
defined  in the  Base  Indenture),  including  any  right to  receive  incentive
payments in respect of any transportation allowance, return allowance, retention
bonus or otherwise,  (iii) an obligation  of an insurer or  governmental  entity
with respect to a Casualty Event in respect of a Vehicle  securing Vehicle Debt,
(iv) an  obligation  of a Person in respect of the  purchase  price of a Vehicle
securing  Vehicle  Debt,  (v) an  obligation  of a Person,  as  sublessee,  to a
Subsidiary  Borrower,  as  sublessor,  in respect of any  sublease  of a Vehicle
securing  Vehicle  Debt or (vi) an  obligation  of any Person under an insurance
contract in respect of any Vehicle securing Vehicle Debt.

         "Existing Material Property" means each property listed on Schedule III
attached hereto.

         "Federal Funds Rate" means, for any period, a fluctuating interest rate
per annum equal for each day during such period to

                  (a) the  weighted  average of the rates on  overnight  federal
         funds  transactions with members of the Federal Reserve System arranged
         by federal funds brokers, as published for such day (or, if such day is
         not a Business Day, for the next preceding Business Day) by the Federal
         Reserve Bank of New York; or

                  (b) if such  rate is not so  published  for any day which is a
         Business  Day,  the  average  of the  quotations  for  such day on such
         transactions  received by Credit Suisse First Boston from three federal
         funds brokers of recognized standing selected by it.

         "Fee Letter" is defined in Section 3.3.3.

         "Fiscal Quarter" means any quarter of a Fiscal Year.

         "Fiscal Year" means any period of twelve  consecutive  calendar  months
ending on December 31 or such other date permitted  pursuant to Section  8.2.15;
references  to a Fiscal Year with a number  corresponding  to any calendar  year
(e.g.,  the "2000 Fiscal  Year") refer to the Fiscal Year ending on the December
31 (or such other date permitted  pursuant to Section 8.2.15)  occurring  during
such calendar year.

          "Fixed Charge Coverage Ratio" means, at the end of any Fiscal Quarter,
          the ratio of

                  (a) the sum of (i)  Adjusted  EBITDA for the four  consecutive
         Fiscal Quarters ending on the last day of such Fiscal Quarter plus (ii)
         rental  expense of the Parent and its  Subsidiaries  during such period
         under all leases of real property exclusive of any portion

                                                        21

<PAGE>

         of such expense  determined  on the basis of the revenues  generated by
         the  operations  conducted on the real property  subject to such leases
         ("Rental Expense")

to

                  (b) the sum of (i) Non-Vehicle  Interest  Expense for the four
         consecutive  Fiscal  Quarters  ending  on the last  day of such  Fiscal
         Quarter,  plus (ii) taxes  computed  on the basis of income and paid in
         cash during such  period  (net of cash  received  during such period in
         respect of such taxes),  plus (iii)  scheduled  repayments of principal
         made  by  the  Parent  and  its  Subsidiaries  during  such  period  of
         Indebtedness  (other than Vehicle Debt) of the type described in clause
         (a),  (c), (f) or (g) of the  definition of  "Indebtedness"  or, to the
         extent in  respect  of such  type of  Indebtedness,  clause  (h) of the
         definition of  "Indebtedness,"  plus (iv) Capital  Expenditures made by
         the Parent and its  Subsidiaries  during such period in cash (excluding
         Capital Expenditures for the acquisition of Vehicles),  plus (v) Rental
         Expense during such period,  plus (vi) Distributions made by the Parent
         during such period.

         "Foreign Pledge  Agreement"  means any  supplemental  pledge  agreement
governed by the laws of a  jurisdiction  other than the United States or a state
thereof executed and delivered by the Parent or any of its Subsidiaries pursuant
to the terms of this Agreement, in form and substance reasonably satisfactory to
the  Administrative  Agent,  as may be necessary or desirable  under the laws of
organization or  incorporation of a Subsidiary to further protect or perfect the
Lien on and security  interest in any Pledged  Shares  and/or  Pledged Notes (as
such terms are defined in the Pledge Agreement).

         "Foreign  Subsidiary"  means any  Subsidiary of the Parent (a) which is
organized  under the laws of any  jurisdiction  outside of the United  States of
America,  (b) which  conducts the major  portion of its business  outside of the
United  States of America and (c) all or  substantially  all of the property and
assets of which are located outside of the United States of America.

          "F.R.S.  Board" means the Board of  Governors  of the Federal  Reserve
System or any successor thereto.

         "GAAP" is defined in Section 1.4.
          ----                -----------

         "General  Letters of Credit" is defined in clause  (b)(ii) of the tenth
recital.

         "Guarantor"  means,  collectively,  each  Borrower and each  Subsidiary
Guarantor.

         "Guaranty" means, as the context may require,  the Borrower Guaranty or
the Subsidiary Guaranty.

         "Guaranteed Obligations" is defined in Section 4.10.1.

                                                        22

<PAGE>

         "Hazardous Material" means

                  (a)  any "hazardous substance", as defined by CERCLA;

                  (b)  any "hazardous waste", as   defined   by   the   Resource
         Conservation and Recovery Act, as amended; or

                  (c) any pollutant or  contaminant  or hazardous,  dangerous or
         toxic chemical, material or substance (including any petroleum product)
         within the meaning of any other applicable federal,  foreign,  state or
         local law,  regulation,  ordinance or  requirement  (including  consent
         decrees and administrative orders) relating to or imposing liability or
         standards  of conduct  concerning  any  hazardous,  toxic or  dangerous
         waste, substance or material, all as amended.

         "Hedging Agreements" means, collectively, currency exchange agreements,
interest rate swap  agreements,  interest rate cap  agreements and interest rate
collar agreements,  and all other agreements or arrangements designed to protect
a Person against fluctuations in interest rates or currency exchange rates.

         "Hedging   Obligations"   means,  with  respect  to  any  Person,   all
liabilities of such Person under Hedging Agreements.

         "herein," "hereof,"  "hereto,"  "hereunder" and similar terms contained
in this  Agreement or any other Loan  Document  refer to this  Agreement or such
other Loan  Document,  as the case may be, as a whole and not to any  particular
Section, paragraph or provision of this Agreement or such other Loan Document.

         "Impermissible   Qualification"  means,  relative  to  the  opinion  or
certification of any independent public accountant as to any financial statement
of the Parent or any other  Obligor,  any  qualification  or  exception  to such
opinion or certification

                  (a)  which is of a "going concern" or similar nature;

                  (b)  which relates  to  the  limited scope of  examination  of
         matters relevant to such financial statement; or

                  (c) which  relates to the treatment or  classification  of any
         item in such  financial  statement  and which,  as a  condition  to its
         removal,  would  require an adjustment to such item the effect of which
         would be to cause the Parent or such other  Obligor to be in default of
         any of its obligations under Section 8.2.4.

         "including"  and  "include"  means  including   without   limiting  the
generality of any  description  preceding  such term,  and, for purposes of this
Agreement and each other Loan

                                                        23

<PAGE>

Document, the parties hereto agree that the rule of ejusdem generis shall not be
applicable to limit a general statement, which is followed by or referable to an
enumeration of specific matters, to matters similar to the matters  specifically
mentioned.

         "Indebtedness" of any Person means, without duplication:

                  (a) all  obligations of such Person for borrowed money and all
         obligations  of such Person  evidenced by bonds,  debentures,  notes or
         other similar instruments;

                  (b) all obligations,  contingent or otherwise, relative to the
         face amount of all letters of credit,  bonds  (including  Surety Bonds)
         and similar obligations, whether or not drawn, and banker's acceptances
         issued for the account of such Person;

                  (c) all  obligations  of such  Person as lessee  under  leases
         which have been or should be, in  accordance  with  GAAP,  recorded  as
         Capitalized Lease Liabilities;

                (d) all obligations of such Person in the nature of overdrafts;

                (e)net liabilities of such Person under all Hedging Obligations;

                  (f) whether or not so included as  liabilities  in  accordance
         with GAAP, all obligations of such Person to pay the deferred  purchase
         price of property  or services  (excluding  open  accounts  extended by
         suppliers on normal trade terms in connection  with  purchases of goods
         and services),  and indebtedness  (excluding  prepaid interest thereon)
         secured by a Lien on property  owned or being  purchased by such Person
         (including  indebtedness arising under conditional sales or other title
         retention agreements), whether or not such indebtedness shall have been
         assumed by such Person or is limited in recourse;

                  (g)  Redeemable Capital Stock; and

                  (h)  all Contingent Liabilities of such  Person in  respect of
         any of the foregoing.

For all purposes of this Agreement, the Indebtedness of any Person shall include
the  Indebtedness  of any partnership or joint venture in which such Person is a
general  partner  or a joint  venturer,  except to the  extent the terms of such
Indebtedness provide that such Person is not liable therefor.

         "Indemnified Liabilities" is defined in Section 12.4.

         "Indemnified Parties" is defined in Section 12.4.

         "Initial Reduction Lender" is defined in Section 2.2.4.

                                                        24

<PAGE>

         "Intercompany  Note"  means,  with  respect to the Parent or any of its
Subsidiaries,  as the maker thereof, a promissory note substantially in the form
of  Exhibit  A  to  the  Pledge  Agreement  (with  such   modifications  as  the
Administrative  Agent  may  consent  to,  such  consent  not to be  unreasonably
withheld), which promissory note shall evidence all intercompany loans which may
be made  from time to time by the payee  thereunder  to such  maker and shall be
duly endorsed and pledged by the payee in favor of the Administrative Agent.

         "Intercreditor  Agreement" means the Intercreditor  Agreement  executed
and delivered by the Borrowers,  Chrysler and the Administrative  Agent pursuant
to Section 6.1.15 of the Original Credit  Agreement,  a copy of which as amended
and supplemented to the date hereof is attached hereto as Exhibit I, as the same
may be amended,  supplemented,  amended and restated or otherwise  modified from
time to time.

          "Interest Coverage Ratio" means, at the end of any Fiscal Quarter, the
     ratio of

                  (a)  EBITDA for the four consecutive Fiscal Quarters ending on
         the last day of such Fiscal Quarter

to

                  (b) Aggregate Interest Expense for the four consecutive Fiscal
         Quarters ending on the last day of such Fiscal Quarter, net of interest
         income for such four-Fiscal-Quarter period.

         "Interest  Period" means,  relative to any Eurodollar  Loan, the period
beginning on (and  including) the date on which such  Eurodollar Loan is made or
continued  as, or converted  into, a Eurodollar  Loan pursuant to Section 2.3 or
2.4 and ending on (but excluding) the day which numerically  corresponds to such
date  one,  two,  three or six  months  thereafter  (or,  if such  month  has no
numerically  corresponding  day, on the last  Business Day of such month) as any
Borrower may select in its relevant  written  notice  pursuant to Section 2.3 or
2.4; provided, however, that

                  (a) such  Borrower  shall not be permitted to select  Interest
         Periods  to be in effect at any one time which  have  expiration  dates
         occurring on more than five different dates;

                  (b)  Interest Periods  commencing  on the  same date for Loans
         comprising part of the same Borrowing shall be of the same duration;

                  (c) if such Interest Period would otherwise end on a day which
         is not a  Business  Day,  such  Interest  Period  shall end on the next
         following  Business Day (unless such next following Business Day is the
         first  Business Day of a calendar  month,  in which case such  Interest
         Period shall end on the Business Day next  preceding  such  numerically
         corresponding day); and

                                                        25

<PAGE>

                  (d)  no Interest Period may end later than the Stated Maturity
         Date.

         "Investment" means, relative to any Person,
          ----------

                  (a) any  loan or  advance  made by such  Person  to any  other
         Person (excluding  commission,  travel and similar advances to officers
         and employees made in the ordinary course of business);

                  (b)  any Contingent Liability of such Person; and

                  (c) any  ownership or similar  interest held by such Person in
         any  other  Person;  provided,   however,  that  ownership  or  similar
         interests acquired by such Person with funds constituting  compensation
         to an employee  of such  Person,  in each case  pursuant to an employee
         benefit plan being  maintained  by such Person in  accordance  with all
         applicable laws, shall not constitute  Investments hereunder so long as
         the  financial   statements  of  such  Person   reflect  such  Person's
         obligation to such  employee (as a liability on such  Person's  balance
         sheet or otherwise) with respect to such ownership or similar interest.

The amount of any Investment  shall be the original  principal or capital amount
thereof less all returns of principal or equity thereon (and without  adjustment
by reason of the financial condition of such other Person) and shall, if made by
the  transfer or exchange  of property  other than cash,  be deemed to have been
made in an original  principal or capital  amount equal to the fair market value
of such property.

         "Issuance Request" means a request and certificate duly executed by the
chief executive,  accounting or financial Authorized Officer of any Borrower, in
substantially the form of Exhibit B-2 attached hereto (with such changes thereto
as may be agreed  upon from  time to time by the  Administrative  Agent and such
Borrower).

         "Issuer"  means Credit  Suisse  First Boston or any of its  affiliates,
and/or any other Lender having short-term credit ratings of A-1 (or better) from
S&P and P-1 from Moody's which has agreed to issue one or more Letters of Credit
at the request of the  Administrative  Agent with the  consent of each  Borrower
(which consents shall not be unreasonably withheld or delayed).

         "Lender  Assignment  Agreement"  means a  Lender  Assignment  Agreement
substantially in the form of Exhibit L hereto.

         "Lenders" is defined in the preamble  and, in addition,  shall  include
any  commercial  bank or  other  financial  institution  that  becomes  a Lender
pursuant to Section 12.11.1.

                                                        26

<PAGE>

         "Letter of Credit" means,  collectively,  Enhancement Letters of Credit
and General Letters of Credit,  which letters of credit,  in each case, shall be
irrevocable  standby  letters of credit in such form as may be  requested by any
Borrower and approved by the Issuer.

         "Letter of Credit  Commitment"  means,  relative  to any  Lender,  such
Lender's  obligation to issue (in the case of the Issuer) or  participate in (in
the case of all Lenders) Letters of Credit pursuant to Section 2.1.2.

         "Letter of Credit Commitment Amount" means, on any date,  $190,000,000,
as such amount may be reduced from time to time pursuant to Section 2.2.3.

         "Letter of Credit Outstandings" means, at any  time, an amount equal to
the sum of

                  (a) the aggregate Stated Amount at such time of all Letters of
         Credit then  outstanding  and undrawn (as such aggregate  Stated Amount
         shall be  adjusted,  from time to time,  as a result of  drawings,  the
         issuance of Letters of Credit, or otherwise);

plus

                  (b)  the then aggregate amount of all  unpaid and  outstanding
         Reimbursement Obligations.

         "Leverage Ratio" means, at any time, the ratio of
          --------------

                  (a)  Adjusted Debt at such time;

to

                  (b) Adjusted EBITDA for the four  consecutive  Fiscal Quarters
         ending on the last day of the Fiscal  Quarter most  recently  completed
         prior to or at such time.

         "Lien" means any security interest,  mortgage,  pledge,  hypothecation,
assignment,  deposit  arrangement,  encumbrance,  lien (statutory or otherwise),
charge  against or  interest in  property,  or other  priority  or  preferential
arrangement  of any kind or nature  whatsoever,  to secure  payment of a debt or
performance of an obligation.

         "Liquidity Facility" is defined in the sixth recital.

         "Liquidity Obligation" is defined in Section 4.5.

         "Loans" is defined in Section 2.1.1.
          -----                -------------

                                                        27

<PAGE>

         "Loan  Commitment"  means,   relative  to  any  Lender,  such  Lender's
obligation to make Loans pursuant to Section 2.1.1.

         "Loan  Commitment  Amount"  means,  on any date,  $70,000,000,  as such
amount may be reduced from time to time pursuant to Section 2.2.3.

         "Loan  Document"  means  this  Agreement,   the  Notes,   the  Security
Documents,  the  Subsidiary  Guaranty,  the Letters of Credit,  the  Enhancement
Letter of Credit  Application and Agreements,  the Amendment  Agreement and each
other  agreement,  certificate,  document or instrument  delivered in connection
with this  Agreement or any such other  agreement  and  designated to be a "Loan
Document," whether or not specifically mentioned herein or therein.

         "LOC Liquidity  Disbursement"  means,  with respect to any  Enhancement
Letter of Credit,  (i) any drawing  thereunder to the extent such drawing is for
the purpose of providing  liquidity support to Dollar Thrifty Funding or another
SPC which has  issued  highly  rated  commercial  paper in  connection  with the
financing of Vehicles, including any LOC Liquidity Disbursement (as defined in a
CP  Enhancement   Letter  of  Credit  Application  and  Agreement)  under  a  CP
Enhancement  Letter  of  Credit  and (ii)  the  portion  of any LOC  Termination
Disbursement  (as defined in a CP Enhancement  Letter of Credit  Application and
Agreement)  allocable  to  Dollar  Thrifty  Funding  as a  result  of a  ratings
downgrade of the Issuer of such CP Enhancement  Letter of Credit, the failure to
extend such CP Enhancement Letter of Credit or otherwise.

         "Master  Collateral  Agency  Agreement"  means the Amended and Restated
Master  Collateral  Agency  Agreement dated as of December 23, 1997, among RCFC,
Dollar and Thrifty, as grantors, the various financing sources and beneficiaries
parties  thereto,  and Bankers Trust Company,  as master  collateral  agent,  as
amended,  supplemented,  amended and restated or otherwise modified from time to
time in accordance with the terms hereof and thereof.

         "Moody's" means Moody's Investors Service, Inc.
          -------

         "Mortgage"  means each  mortgage or deed of trust,  as the case may be,
executed  and  delivered  pursuant  to Section  6.1.14 or 8.1.8 of the  Original
Credit Agreement and Section 8.1.8 of this Agreement,  substantially in the form
of Exhibit H-1 or H-2 respectively,  attached hereto, as amended,  supplemented,
restated or otherwise modified from time to time.

         "MTN Program" is defined in the fifth recital.

         "MTN Program  Documents"  means the Base  Indenture,  the Series 1997-1
Supplement thereto, the Master Collateral Agency Agreement, the master lease and
servicing  agreement  relating  to the MTN  Program,  and  each  other  material
agreement, instrument and document delivered in connection with the MTN Program,
in each  case as  amended,  supplemented,  amended  and  restated  or  otherwise
modified from time to time in accordance with the terms hereof and thereof.

                                                        28

<PAGE>

         "Net Disposition Proceeds" means the excess of
          ------------------------

                  (a) the gross cash  proceeds  received by the Parent or any of
         its  Subsidiaries  from any  sale,  transfer  or  conveyance  of assets
         permitted  pursuant  to  clause  (c) of  Section  8.2.10  (collectively
         referred to herein for  purposes  of this  definition  as a  "permitted
         disposition"), including and together with any amounts collected by the
         vendor of such  assets in  respect  of the  taxes  described  in clause
         (b)(ii) below, and any cash payments  received in respect of promissory
         notes or other non-cash  consideration  delivered to the Parent or such
         Subsidiary in respect of any permitted  disposition  (provided that, in
         the event the  aggregate  amount of such proceeds  resulting  from such
         permitted  disposition do not exceed $100,000,  such proceeds shall not
         constitute Net Disposition Proceeds),

over

                  (b)  the sum of

                           (i) all fees and  expenses  with  respect  to  legal,
                  investment   banking,   brokerage  and  accounting  and  other
                  professional   fees,  sales   commissions  and   disbursements
                  actually   incurred   in   connection   with  such   permitted
                  disposition  which have not been paid  (other than in the case
                  of  reasonable  out-of-pocket  expenses) to  Affiliates of the
                  Parent;

         plus

                           (ii) all  taxes  and  other  governmental  costs  and
                  expenses  actually  paid or  estimated  by the  Parent or such
                  Subsidiary (in good faith) to be payable in cash in connection
                  with such permitted disposition;

         plus

                           (iii) payments made by the Parent or such  Subsidiary
                  to retire Indebtedness (other than the Loans) of the Parent or
                  such Subsidiary where payment of such Indebtedness is required
                  in connection with such permitted disposition;

provided,  however, that if, after the payment of all taxes with respect to such
permitted disposition, the amount of estimated taxes, if any, pursuant to clause
(b)(ii) above exceeded the tax amount actually paid in respect of such permitted
disposition, the aggregate amount of such excess shall, at such time, constitute
Net Disposition Proceeds.

         "Net Equity  Proceeds"  means,  with respect to the sale or issuance by
the Parent or any of its Subsidiaries to any Person (other than the Parent,  any
Subsidiary Borrower or any of its

                                                        29

<PAGE>

Subsidiaries) of any Capital Stock, other than pursuant to the Equity Offerings,
or any warrants or options with respect to such Capital Stock or the exercise of
any such warrants or options, the excess of:

                  (a) the gross  cash  proceeds  received  by the Parent or such
         Subsidiary  from such sale,  exercise or issuance  (other than proceeds
         received  with respect to (i)  employee  incentive  compensation  plans
         (including incentive stock options), (ii) employee stock purchase plans
         (including  deferred  stock purchase  plans) and (iii) direct  purchase
         plans (other than the plans described in the preceding  clauses (i) and
         (ii)) to the  extent  such  proceeds  do not exceed  $1,000,000  in any
         Fiscal Year),

over

                  (b)  all  fees  and  expenses  with  respect  to  underwriting
         commissions and legal, investment banking, brokerage and accounting and
         other professional  fees, sales commissions and disbursements  actually
         incurred in  connection  with such sale or  issuance or exercise  which
         have not (other than in the case of reasonable  out-of-pocket expenses)
         been paid to Affiliates of the Parent in connection therewith.

         "Net Income"  means,  for any applicable  period,  the aggregate of all
amounts which,  in accordance  with GAAP,  would be included as net earnings (or
net loss) on a  consolidated  statement  of  operations  of the  Parent  and its
Subsidiaries for such period.

         "Net Issuance  Proceeds"  means, as to any issuance of indebtedness for
borrowed money by the Parent or any of its Subsidiaries (other than Indebtedness
permitted by Section 8.2.2 (except clause (u) thereof)), the excess of:

                  (a)  the gross cash  proceeds received  by the  Parent or such
         Subsidiary from such issuance,

over

                  (b)  all  fees  and  expenses  with  respect  to  underwriting
         commissions and legal, investment banking, brokerage and accounting and
         other professional  fees, sales commissions and disbursements  actually
         incurred in connection  with such issuance and any prepayment  premiums
         or penalties paid in respect of any  indebtedness  refinanced with such
         proceeds in accordance with the terms of this Agreement,  which in each
         case  have  not  (other  than in the case of  reasonable  out-of-pocket
         expenses)   been  paid  to  Affiliates  of  the  Parent  in  connection
         therewith.

         "Net  Worth"  means,  with  respect  to any  Person at any  date,  on a
consolidated basis for such Person and its Subsidiaries, the excess of:

                                                        30

<PAGE>

                  (a) the sum of capital  stock (other than  Redeemable  Capital
         Stock) taken at par value,  capital  surplus  (other than in respect of
         Redeemable   Capital  Stock)  and  retained  earnings  (or  accumulated
         deficit) of such Person at such date;

over

                  (b) treasury stock of such Person and, to the extent  included
         in the preceding clause (a), minority interests in Subsidiaries of such
         Person at such date.

         "Non-Material Subsidiary" means any Subsidiary of the Parent that
          -----------------------

                  (a) accounted for no more than 1 1/2% of consolidated revenues
         of the  Parent  and  its  Subsidiaries  or 1 1/2% of  consolidated  net
         earnings of the Parent and its Subsidiaries,  in each case for the four
         consecutive  Fiscal Quarters of the Parent ending on March 31, 2000, or
         if later,  the last day of the most recently  completed  Fiscal Quarter
         with respect to which, pursuant to Section 8.1.1,  financial statements
         have been, or are required to have been, delivered by the Parent to the
         Administrative Agent, and

                  (b) has  assets  which  represent  no more  than 1 1/2% of the
         consolidated  assets of the Parent and its Subsidiaries as of March 31,
         2000, or if later,  the last day of the last Fiscal Quarter of the most
         recently  completed  Fiscal Quarter with respect to which,  pursuant to
         Section 8.1.1,  financial statements have been, or are required to have
         been, delivered by the Parent to the Administrative Agent,

to the extent that Non-Material Subsidiaries do not

                  (i)  account  in  the  aggregate  for  more  than  2  1/2%  of
         consolidated  revenues of the Parent and its  Subsidiaries or 2 1/2% of
         consolidated  net earnings of the Parent and its  Subsidiaries  in each
         case for the four  consecutive  Fiscal Quarters of the Parent ending on
         March  31,  2000,  or if  later,  the  last  day of the  most  recently
         completed  Fiscal  Quarter with  respect to which,  pursuant to Section
         8.1.1,  financial  statements  have been, or are required to have been,
         delivered by the Parent, to the Administrative Agent, or

                  (ii)  have  assets  which  represent  more  than 2 1/2% of the
         consolidated  assets of the Parent and its Subsidiaries as of March 31,
         2000, or if later,  the last day of the last Fiscal Quarter of the most
         recently  completed  Fiscal Quarter with respect to which,  pursuant to
         Section 8.1.1,  financial statements have been, or are required to have
         been, delivered by the Parent to the Administrative Agent.

                                                        31

<PAGE>

         "Non-Vehicle Debt" means

                  (a)  Total Debt

minus

                  (b)  to the extent included in such Total Debt, Vehicle Debt

plus

                  (c) any obligation of a Subsidiary  Borrower or any Subsidiary
         of such  Subsidiary  Borrower  (other  than RCFC or  another  SPC) with
         respect  to  Vehicles  owned  by  such  Subsidiary   Borrower  or  such
         Subsidiary   (i)  which   exceeds  the  excess  of  (x)  the  aggregate
         Capitalized  Cost (as defined in the Base  Indenture)  of such Vehicles
         over (y) the greater of the sum of the aggregate  Depreciation  Charges
         (as  defined  in the  Base  Indenture)  accrued  with  respect  to such
         Vehicles and the difference between such aggregate Capitalized Cost and
         the fair market  value of such  Vehicles  and (ii) which has become due
         and payable and remains unpaid as of the end of any calendar month.

         "Non-Vehicle Interest Expense" means, for  any  applicable  period, the
         excess of

                  (a) the aggregate  consolidated  gross interest expense of the
         Parent  and  its  Subsidiaries  for  such  period,   as  determined  in
         accordance  with GAAP  ("Aggregate  Interest  Expense"),  including (i)
         commitment  fees  paid or owed  with  respect  to the  then  unutilized
         portion of the Commitment Amount, (ii) all other fees paid or owed with
         respect  to the  issuance  or  maintenance  of  Contingent  Liabilities
         (including letters of credit), which, in accordance with GAAP, would be
         included as interest expense, (iii) net costs or benefits under Hedging
         Arrangements  and (iv) the portion of any  payments  made in respect of
         Capitalized  Lease  Liabilities  of the  Parent  and  its  Subsidiaries
         allocable to interest  expense,  but excluding the amortization of debt
         issuance costs and other financing expenses incurred in connection with
         the Original Transaction, the amendment and restatement of the Original
         Credit  Agreement  in  the  form  hereof  and  the  other  transactions
         contemplated hereby and by the Amendment Agreement;

over

                  (b) to the extent included in the preceding  clause (a), gross
         interest  expense  in  respect  of  Vehicle  Debt  ("Vehicle   Interest
         Expense").

         "Note" means a promissory note of any Borrower  payable to the order of
any  Lender,  in the form of  Exhibit A hereto (as such  promissory  note may be
amended,  endorsed or  otherwise  modified  from time to time),  evidencing  the
aggregate Indebtedness of such Borrower to such

                                                        32

<PAGE>

Lender  resulting from  outstanding  Loans,  and also means all other promissory
notes accepted from time to time in substitution therefor or renewal thereof.

         "Obligations"  means all  obligations  (monetary or otherwise,  whether
absolute or  contingent,  matured or  unmatured,  direct or indirect,  choate or
inchoate,  sole,  joint,  several or joint and  several,  due or to become  due,
heretofore or hereafter  contracted or acquired) of each Borrower and each other
Obligor  arising  under or in connection  with this  Agreement,  the Notes,  the
Letters of Credit and each other Loan Document.

         "Obligor" means, as the context may require, any Borrower and any other
Person  (other  than any  Agent,  the Issuer or any  Lender) to the extent  such
Person is obligated  under, or otherwise a party to, this Agreement or any other
Loan Document.

         "OECD" means the Organization for Economic Cooperation and Development.

         "Organic Document" means,  relative to any Obligor, as applicable,  its
certificate of incorporation,  by-laws, certificate of partnership,  partnership
agreement,  certificate  of  formation,  limited  liability  agreement  and  all
shareholder agreements, voting trusts and similar arrangements applicable to any
of such Obligor's partnership interests,  limited liability company interests or
authorized shares of capital stock.

         "Original Credit Agreement" is defined in the first recital.

         "Original Letters of Credit" means the Letters of Credit (as defined in
the Original Credit Agreement) outstanding on the Amendment Effective Date.

         "Original Loan  Documents"  means the Loan Documents (as defined in the
Original  Credit  Agreement  and in effect  immediately  prior to the  Amendment
Effective Date).

         "Original Transaction" is defined in the seventh recital.

         "Outstanding Enhancement Letter of Credit" is defined in Section 4.2.

         "Parent" is defined in the preamble.
          ------                    --------

         "Participant" is defined in Section 12.11.2.
          -----------                ---------------

         "PBGC" means the Pension  Benefit  Guaranty  Corporation and any entity
succeeding to any or all of its functions under ERISA.

         "Pension  Plan"  means a  "pension  plan",  as such term is  defined in
Section  3(2) of ERISA,  which is  subject  to Title IV of ERISA  (other  than a
multiemployer  plan as defined in Section  4001(a)(3) of ERISA),  and to which a
Borrower or any corporation, trade or business that

                                                        33

<PAGE>

is, along with any Borrower, a member of a Controlled Group, may have liability,
including any liability by reason of having been a substantial  employer  within
the  meaning of Section  4063 of ERISA at any time  during  the  preceding  five
years,  or by reason of being deemed to be a contributing  sponsor under Section
4069 of ERISA.

         "Percentage"  means,  relative to any Lender,  the percentage set forth
opposite  its name in  Schedule I hereto or set forth in the  Lender  Assignment
Agreement,  as such percentage may be adjusted from time to time pursuant to (a)
Lender  Assignment  Agreement(s)  executed  by  such  Lender  and  its  Assignee
Lender(s) and delivered pursuant to Section 12.11.1 and (b) the terms of Section
2.2.4.

         "Permitted Business Acquisition"  means  any  Business  Acquisition, so
         long as

                  (a)    (i) such Business  Acquisition is a Permitted Stock
                    Acquisition; or

                         (ii) in the case of a Business Acquisition other than a
                    Permitted  Stock   Acquisition,   the  aggregate  amount  of
                    expenditures of the Parent and its  Subsidiaries  (excluding
                    Vehicle Debt but including  the aggregate  amount of any and
                    all other Indebtedness  assumed in connection  therewith and
                    including  the fair  market  value of any  shares of Capital
                    Stock of the  Parent  issued  in  connection  therewith)  in
                    respect  of such  Business  Acquisition  (such  amount,  the
                    "Subject Amount"), when added to the aggregate amount of all
                    such  expenditures  of the  Parent and its  Subsidiaries  in
                    respect of Business Acquisitions (other than Permitted Stock
                    Acquisitions)  during the Fiscal Year in which such  Subject
                    Amount  would be expended and from the  Amendment  Effective
                    Date, does not exceed $20,000,000 (provided that the portion
                    thereof payable in cash in respect of a Business Acquisition
                    other than an Excepted  Dollar  Acquisition  does not exceed
                    $10,000,000) and $80,000,000, respectively;

                  (b) in the  event  the  Subject  Amount  (which  amount  shall
         include, in the event such Business Acquisition is to be consummated in
         a series of  related  transactions,  the  aggregate  amount of all such
         expenditures  of the  Parent  and its  Subsidiaries  in respect of such
         related  transactions)  would  exceed  $5,000,000  or in the  event any
         portion of the consideration in respect of such Business Acquisition is
         in Capital  Stock of the Parent,  the  Administrative  Agent shall have
         received  a  Compliance  Certificate  executed  by the chief  financial
         Authorized   Officer  of  the  Parent  certifying  and,  if  reasonably
         requested by the  Administrative  Agent,  showing (in reasonable detail
         and with  appropriate  calculations  and  computations  in all respects
         reasonably   satisfactory  to  the  Administrative  Agent)  that  on  a
         historical  pro forma  basis  (after  giving  effect  to such  Business
         Acquisition  and  all  transactions   related  thereto  (including  all
         Indebtedness  that  would be assumed  or  incurred  as a result of such
         acquisition) and all Business  Acquisitions  consummated  prior thereto
         during the  applicable  periods  thereunder)  as of the last day of the
         most recently completed Fiscal Quarter with respect to which,  pursuant
         to Section 8.1.1 (or Section 8.1.1 of the Original  Credit  Agreement),
         financial statements have been, or are required to have been,

                                                        34

<PAGE>

          delivered  by the Parent and the Parent  would be in  compliance  with
          Section 8.2.4 as of the last day of such Fiscal Quarter; and

                  (c)  immediately  following the  consummation of such Business
         Acquisition, at least $25,000,000 of the Commitment Amount shall remain
         unused and available.

         "Permitted Stock Acquisition" means any Business Acquisition in respect
of a  Person  that  was a  franchisee  of  Dollar  or  Thrifty  or any of  their
respective  Subsidiaries or that is actively  engaged in the business of renting
for general use passenger automobiles, light and medium duty trucks and vans, so
long as the  consideration  paid in connection  with such  Business  Acquisition
consists  solely of Capital Stock of the Parent  issued in connection  therewith
and the assumption of Vehicle Debt (if any).

         "Person"  means any  natural  person,  corporation,  limited  liability
company,  partnership,  joint venture, joint stock company,  firm,  association,
trust or unincorporated organization,  government, governmental agency, court or
any other legal  entity,  whether  acting in an  individual,  fiduciary or other
capacity.

         "Plan" means any Pension Plan or Welfare Plan.
          ----

         "Pledge Agreement" means the Pledge Agreement executed and delivered by
the  Borrowers  and  certain of the  Subsidiary  Guarantors  pursuant to Section
6.1.13  of the  Original  Credit  Agreement,  a copy of  which  as  amended  and
supplemented to the date hereof is attached hereto as Exhibit E, as the same may
be amended,  supplemented,  amended and restated or otherwise modified from time
to time.

         "Primary Equity Offering" is defined in the fourth recital.

         "Quarterly  Payment  Date" means the last  Business  Day of each March,
June, September, and December.

         "Rating Agencies" means S&P and Moody's.

         "RCFC" is defined in the fifth recital.

         "Redeemable  Capital Stock" means Capital Stock of the Parent or any of
its  Subsidiaries  that,  either by its terms, by the terms of any security into
which  it is  convertible  or  exchangeable  or  otherwise,  (i) is or upon  the
happening  of an event or passage of time would be required to be redeemed  (for
consideration  other than  shares of common  stock of the Parent) on or prior to
August 2, 2006,  (ii) is  redeemable  at the option of the holder  thereof  (for
consideration other than shares of common stock of the Parent) at any time prior
to such date or (iii) is convertible into or exchangeable for debt securities of
the Parent or any of its Subsidiaries at any time prior to such anniversary.

                                                        35

<PAGE>

         "Register" is defined in Section 12.11.1.

         "Regulation S-X" means the rules  promulgated by  the SEC  and codified
under 17 CFR ss.ss.210, et. seq.

         "Reimbursement Due Date" is defined in Section 4.5.

         "Reimbursement Obligation" is defined in Section 4.6.

         "Release" means a "release," as such term is defined in CERCLA.

         "Rental Expense" is defined in the definition of "Fixed Charge Coverage
Ratio".

         "Replacement Letter of Credit" is defined in Section 4.2.

         "Required Lenders" means, at any time, Lenders holding more than 50% of
the sum of the aggregate principal amount of the Loans then outstanding plus the
Letter of Credit  Outstandings,  or if no Loans and  Letters  of Credit are then
outstanding,  Lenders having more than 50% of the Commitment  Amount;  provided,
however,  that,  in the  event  that at any such  time  the  Agents  (and  their
Affiliates)  hold more than 40% of the sum of the aggregate  principal amount of
the Loans  then  outstanding  plus the Letter of Credit  Outstandings,  or if no
Loans and  Letters  of Credit  are then  outstanding,  have more than 40% of the
Commitment  Amount,  then "Required Lenders" shall mean (other than for purposes
of determining the Lenders  necessary to declare all or any portion of the Loans
to be due and payable,  to terminate any Commitment or to demand compliance with
Section  4.7)  Lenders  holding  at  least  662/3%  of the sum of the  aggregate
principal  amount  of the  Loans  then  outstanding  plus the  Letter  of Credit
Outstandings, or if no Loans and Letters of Credit are then outstanding, Lenders
having at least 662/3% of the Commitment Amount.

          "Resource   Conservation   and   Recovery   Act"  means  the  Resource
Conservation and Recovery Act, 42 U.S.C. Section 6901, et seq., as amended.

         "S&P" means Standard & Poor's Ratings Services.
          ---

         "SEC" means the Securities and Exchange Commission.

         "Secondary Equity Offering" is defined in the fourth recital.

         "Secured Parties" means the Lenders, the Issuer, the Agents and each of
their respective successors, transferees and assigns.

         "Securities Act" means the Securities Act of 1933, as amended.

                                                        36

<PAGE>

         "Security   Agreement"  means  the  Security   Agreement  executed  and
delivered by the Borrowers  and the  Subsidiary  Guarantors  pursuant to Section
6.1.13  of the  Original  Credit  Agreement,  a copy of  which  as  amended  and
supplemented to the date hereof is attached hereto as Exhibit F, as the same may
be amended,  supplemented,  amended and restated or otherwise modified from time
to time.

         "Security  Documents"  means  (i)  each  Mortgage,  (ii)  the  Security
Agreement,  (iii) the Pledge  Agreement,  (iv) the Foreign Pledge Agreements (if
any),  (v)  the  Intercreditor  Agreement  and  (vi)  all  security  agreements,
mortgages,  deeds  of  trust,  pledges,  collateral  assignments  or  any  other
instrument  evidencing  or  creating  any  security  interest  in  favor  of the
Administrative  Agent  in any  asset or  property  of the  Parent  or any of its
Subsidiaries,  in each case as amended,  supplemented or otherwise modified from
time to time.

         "SPC"  means  RCFC,   Dollar  Thrifty  Funding,   TCL  Funding  Limited
Partnership,  a financing  partnership  organized under the laws of Canada, each
successor  entity  thereto,  and any other special purpose entity formed for the
sole purpose of financing the acquisition of Vehicles.

         "Stated  Amount"  of any  letter of credit  (including  each  Letter of
Credit) means the maximum amount  available for drawing  thereunder  (whether or
not any conditions to drawing can then be met).

         "Stated Expiry Date" is defined in Section 4.1.
          ------------------                -----------

         "Stated Maturity Date" means August 2, 2005.
          --------------------

         "Subordinated Debt" means all unsecured Indebtedness of the Parent, any
Subsidiary  Borrower or any  Subsidiary  Guarantor for money  borrowed  which is
subordinated,  upon terms satisfactory to the Administrative  Agent, in right of
payment to the payment in full in cash of all  Obligations  of the Parent,  such
Subsidiary Borrower or such Subsidiary Guarantor, as the case may be.

         "Subordinated  Intercompany  Debt"  means  unsecured  Indebtedness  (a)
subordinated  to the  Obligations  by provisions  substantially  in the form set
forth in Schedule II hereto and (b) the terms of which (including interest rate)
are not more  burdensome to the obligor or obligors  thereunder than those terms
generally  available  from  independent  third  parties  to  obligors  similarly
situated as such obligor or obligors.

         "Subsidiary"  means,  with  respect  to any  Person,  any  corporation,
partnership or other business  entity of which more than 50% of the  outstanding
capital stock (or other  ownership  interest)  having  ordinary  voting power to
elect a majority of the board of directors,  managers or other voting members of
the governing body of such entity  (irrespective  of whether at the time capital
stock (or other ownership interest) of any other class or classes of such entity
shall or might have voting power upon the occurrence of any  contingency)  is at
the time directly or

                                                        37

<PAGE>

indirectly  owned  by  such  Person,  by  such  Person  and  one or  more  other
Subsidiaries  of such  Person,  or by one or  more  other  Subsidiaries  of such
Person.

         "Subsidiary Borrowers" is defined in the preamble.

         "Subsidiary  Guarantor"  means any  Subsidiary  of the Parent that is a
party to the Subsidiary Guaranty.

         "Subsidiary Guaranty" means the Guaranty executed and delivered by each
Subsidiary of the Parent that is a party thereto  pursuant to Section  6.1.11 of
the Original Credit  Agreement,  a copy of which as amended and  supplemented to
the date  hereof  is  attached  hereto as  Exhibit G hereto,  as the same may be
amended, supplemented, restated or otherwise modified from time to time.

         "Surety Bond" means any instrument pursuant to which the issuer thereof
agrees to pay on behalf of a Borrower or any of its  Subsidiaries an amount then
due and payable by such Borrower or such Subsidiary to another Person (including
an insurer of such Borrower or such Subsidiary).

         "Syndication Agent" is defined in the preamble.

         "Tax  Sharing  Agreement"  means  the Tax  Sharing  and  Disaffiliation
Agreement  dated as of November 24, 1997,  between  Chrysler and the Parent,  as
amended,  supplemented,  amended and restated or otherwise modified from time to
time in accordance with the terms hereof and thereof.

         "Taxes" is defined in Section 5.6.
          -----                -----------

         "Thrifty" is defined in the preamble.
          -------

         "Thrifty  Car Sale  Business"  is defined in clause  (b)(ii)(B)  of the
third recital.

         "Thrifty Car Sale  Franchise  Business" is defined in clause  (b)(i) of
the third recital.

          "Thrifty  Car Sales"  means  Thrifty  Car  Sales,  Inc.,  an  Oklahoma
corporation.

         "Thrifty Holdco" means Thrifty, Inc., an Oklahoma corporation.
          --------------

         "Total Debt" means,  without  duplication,  the aggregate amount of all
Indebtedness of the Parent and its Subsidiaries,  other than Indebtedness of the
type described in clause (d) or (e) of the definition of  "Indebtedness"  or, to
the extent in respect of such type of Indebtedness, clause (h) of the definition
of "Indebtedness."

                                                        38

<PAGE>

         "type" means,  relative to any Loan, the portion thereof, if any, being
maintained as an ABR Loan or a Eurodollar Loan.

          "U.C.C."  means the  Uniform  Commercial  Code as from time to time in
effect in the State of New York.

          "United  States" or "U.S."  means the United  States of  America,  its
fifty states and the District of Columbia.

          "U.S.  Dollar"  and the  symbol "$" mean the  lawful  currency  of the
United States.

          "U.S.   Government   Obligations"  means  direct  obligations  of,  or
obligations  the timely  payment of  principal of and interest on which is fully
and unconditionally guaranteed by, the United States.

          "U.S.  Tax  Compliance  Certificate"  is defined  in clause  (b)(Y) of
Section 5.6.

         "Vehicle Debt" means  Indebtedness  relating solely to the financing or
leasing of any Vehicle and secured thereby (and by related collateral); provided
that any obligation  included as Non-Vehicle  Debt pursuant to clause (c) of the
definition thereof shall not be deemed to be Vehicle Debt.

         "Vehicle  Interest  Expense" is defined in clause (b) of the definition
of "Non-Vehicle Interest Expense."

         "Vehicles"  means all existing and  hereafter  acquired  motor  vehicle
inventory  of  either  Dollar  or  Thrifty  and  their  respective  Subsidiaries
(including such inventory owned by other  Subsidiaries of the Parent,  including
RCFC,  that is leased to Dollar or  Thrifty or their  respective  Subsidiaries),
consisting of passenger  automobiles,  shuttle buses,  vans and light and medium
duty  trucks,  whether  owned or leased and whether  held for  purposes of sale,
lease, rental or internal management use.

         "Voting  Stock"  means,  with respect to any Person,  Capital  Stock in
respect of the class or classes  pursuant to which the holders  thereof have the
general voting power under ordinary  circumstances  to elect at least a majority
of the board of directors, managers, trustees or other similar governing body of
such Person (irrespective of whether or not at the time the Capital Stock of any
other class or classes  shall have or might have  voting  power by reason of the
occurrence of any contingency).

         "Welfare  Plan"  means a  "welfare  plan",  as such term is  defined in
Section 3(1) of ERISA.

                                                        39

<PAGE>

         "Wholly  Owned  Subsidiary"  means,  with  respect  to  any  Person,  a
Subsidiary all the Capital Stock (other than directors'  qualifying  shares that
are required under  applicable  law) of which is owned by such Person or another
Wholly Owned Subsidiary of such Person.

         SECTION  1.2. Use of Defined  Terms.  Unless  otherwise  defined or the
context  otherwise  requires,  terms for which  meanings  are  provided  in this
Agreement  shall have such meanings when used in the Disclosure  Schedule and in
each Note, Borrowing Request,  Continuation/Conversion Notice, Issuance Request,
Loan  Document,  notice and other  communication  delivered from time to time in
connection with this Agreement or any other Loan Document.

         SECTION 1.3. Cross-References.  Unless otherwise specified,  references
in this  Agreement and in each other Loan Document to any Article or Section are
references  to such  Article  or Section  of this  Agreement  or such other Loan
Document, as the case may be, and, unless otherwise specified, references in any
Article,  Section or definition  to any clause are  references to such clause of
such Article, Section or definition.

         SECTION 1.4. Accounting and Financial Determinations.  Unless otherwise
specified,  all accounting terms used herein or in any other Loan Document shall
be interpreted,  all accounting  determinations  and  computations  hereunder or
thereunder  (including  under  Section  8.2.4) shall be made,  and all financial
statements required to be delivered hereunder or thereunder shall be prepared in
accordance with, those generally accepted accounting principles ("GAAP") applied
in the  preparation  of the  financial  statements  referred to in Section  7.5.
Unless  otherwise  expressly  provided,  all  financial  covenants  and  defined
financial terms shall be computed on a consolidated basis for the Parent and its
Subsidiaries, in each case without duplication.

                                                    ARTICLE II

                                    COMMITMENTS, BORROWING PROCEDURES AND NOTES

         SECTION 2.1. Commitments. On the terms and subject to the conditions of
this Agreement  (including  Article VI) and the Amendment  Agreement  (including
Article III thereof), each Lender severally agrees as follows:

         SECTION 2.1.1.  Loan Commitment.  From time to time on any Business Day
occurring prior to the Commitment  Termination Date, each Lender will make Loans
(relative to such Lender,  its "Loans") to the Borrower so requesting such Loans
equal to such Lender's  Percentage  of the aggregate  amount of the Borrowing of
Loans  requested  by such  Borrower  to be made on such  day.  On the  terms and
subject to the  conditions  hereof,  each Borrower may from time to time borrow,
prepay and reborrow Loans.

                                                        40

<PAGE>

         SECTION 2.1.2. Commitment to Issue Letters of Credit. From time to time
on any Business Day prior to the Stated  Maturity  Date,  the Issuer will issue,
and each Lender will  participate in, the Letters of Credit,  in accordance with
Article IV.

          SECTION  2.1.3.  Lenders  Not  Permitted  or Required to Make Loans or
Issue  Letters  of  Credit  Under  Certain  Circumstances.  No Lender  shall  be
permitted or required to

          (a) make any Loan if,  after  giving  effect  thereto,  the  aggregate
     outstanding principal amount of all Loans

                         (i) of all  Lenders  would  exceed the Loan  Commitment
                    Amount,

                         (ii) of all Lenders, together with all Letter of Credit
                    Outstandings, would exceed the Commitment Amount,

                         (iii)  of  such  Lender  would  exceed  such   Lender's
                    Percentage of the Loan Commitment Amount, or

                         (iv) of such Lender,  together  with its  Percentage of
                    all  Letter  of  Credit  Outstandings,   would  exceed  such
                    Lender's Percentage of the Commitment Amount; or

          (b) issue (in the case of the Issuer)  any Letter of Credit if,  after
     giving effect thereto

                         (i) all Letter of Credit  Outstandings would exceed the
                    Letter of Credit Commitment Amount,

                         (ii) all Letter of Credit  Outstandings,  together with
                    the aggregate  outstanding  principal amount of all Loans of
                    all Lenders would exceed the Commitment Amount,

                         (iii) such Lender's  Percentage of all Letter of Credit
                    Outstandings  (after  giving  effect to  Section  4.4) would
                    exceed  such  Lender's  Percentage  of the  Letter of Credit
                    Commitment Amount, or

                         (iv) such  Lender's  Percentage of all Letter of Credit
                    Outstandings  (after giving effect to Section 4.4), together
                    with the aggregate outstanding principal amount of all Loans
                    of such Lender would exceed such Lender's  Percentage of the
                    Commitment Amount.

                                                        41

<PAGE>

         SECTION 2.2.  Reduction of Commitment  Amounts.  The Commitment Amount,
the  Letter of Credit  Commitment  Amount  and the Loan  Commitment  Amount  are
subject to reduction from time to time pursuant to this Section 2.2.

         SECTION  2.2.1.  Optional.  The Borrowers may, from time to time on any
Business Day  occurring  after the Closing Date,  voluntarily  reduce the unused
amount of the Commitment  Amount;  provided,  however,  that all such reductions
shall  require  at least  three  Business  Days'  prior  written  notice  to the
Administrative  Agent  and  be  permanent,  and  any  partial  reduction  of the
Commitment  Amount shall be in a minimum amount of $5,000,000 and in an integral
multiple of $1,000,000.

         SECTION 2.2.2.  Mandatory.  The Commitment  Amount shall, on the second
Business Day following the receipt by the Parent or any of its  Subsidiaries  of
any Net Disposition  Proceeds,  Net Equity  Proceeds,  Net Issuance  Proceeds or
Casualty  Proceeds,  as the case may be, be reduced by an aggregate amount equal
to 100% of such Net Disposition Proceeds, 50% of such Net Equity Proceeds,  100%
of such Net Issuance Proceeds or 100% of such Casualty Proceeds, as the case may
be;  provided,  however,  that, so long as a Default has not occurred and is not
then continuing, the Commitment Amount shall not be reduced by

                  (a) the amount of Net  Disposition  Proceeds  received  by the
         Parent or such Subsidiary in any Fiscal Year  (commencing with the 2000
         Fiscal  Year)  to the  extent  (x) such  proceeds  are  applied  to the
         acquisition  or  construction  of  property or assets to be used in the
         business  of the  Borrowers  and  their  Subsidiaries  within  180 days
         following  the receipt  thereof and (y) such property and assets (other
         than such property and assets so acquired or  constructed in any Fiscal
         Year that have an aggregate fair market value not exceeding $1,000,000)
         are  subject  to a  perfected,  first  priority  Lien in  favor  of the
         Administrative  Agent,  subject only to Liens permitted by clauses (k),
         (l), (m) and (o) of Section 8.2.3; provided further,  however, that Net
         Disposition  Proceeds  exceeding  $2,500,000 from a single  transaction
         shall not be required to be applied to the reduction of the  Commitment
         Amount if (i) the Parent notifies the  Administrative  Agent in writing
         no later  than the  thirtieth  day  following  the  receipt of such Net
         Disposition  Proceeds of the Parent's or such  Subsidiary's  good faith
         intention to apply such Net Disposition  Proceeds to such  replacement,
         acquisition or construction (and describes in reasonable written detail
         such proposed  application no later than the sixtieth day following the
         receipt of such Net Disposition Proceeds) within 360 days following the
         receipt of such Net  Disposition  Proceeds  and (ii) the Parent or such
         Subsidiary in fact uses such Net  Disposition  Proceeds as specified in
         such notice to the  Administrative  Agent within 360 days following the
         receipt of such Net Disposition Proceeds; and

                  (b) the amount of any Casualty Proceeds received by the Parent
or such Subsidiary that are  applied to  the  rebuilding or  replacement  of the
property or

                                                        42

<PAGE>

         assets which were the source of such Casualty  Proceeds within 180 days
         following the  occurrence of such Casualty  Event or such longer period
         as may  otherwise  be provided  in any  Mortgage  with  respect to such
         property or assets.

Each such reduction in the Commitment Amount shall be permanent and automatic.

         SECTION  2.2.3.   Corresponding   Reductions.   Any  reduction  of  the
Commitment  Amount which  reduces the  Commitment  Amount below the then current
amount of the Letter of Credit Commitment Amount or the Loan Commitment  Amount,
as the case may be, shall result in an automatic and corresponding  reduction of
the Letter of Credit  Commitment  Amount or the Loan Commitment  Amount,  as the
case may be, to the amount of the Commitment Amount, as so reduced,  without any
further  action  on the  part  of  the  Administrative  Agent,  the  Lenders  or
otherwise.

         SECTION  2.2.4.  Initial  Reductions.  In the  event  that  an  Initial
Reduction  Lender's   Percentage  of  the  Commitment  Amount  is  greater  than
$30,000,000 and to the extent the Commitment  Amount shall not have been reduced
(except  to the  extent  during a period in which an Event of  Default  was then
continuing)  or would not be reduced  by an amount  exceeding  in the  aggregate
$60,000,000,  any reduction in the Commitment  Amount  pursuant to Section 2.2.1
shall result in an adjustment to such Lender's Percentage such that after giving
effect to such reduction,  such Initial Reduction  Lender's adjusted  Percentage
shall be equal to the quotient, expressed as a percentage, of

                  (a)  the greater of $30,000,000 and the excess of

                           (i)  the  product  of (A)  such  Lender's  Percentage
                  immediately  prior to such  reduction  and (B) the  Commitment
                  Amount immediately prior to such reduction

         over

                           (ii) the product of (A) the amount of such  reduction
                  (the  "Reduction   Amount")  and  (B)  the  Initial  Reduction
                  Percentage (as defined below) of such Lender

divided by

                  (b)  the excess of the Commitment Amount immediately  prior to
such reduction over the Reduction Amount;

provided,  however,  that in the event that the Reduction Amount is not entirely
applied in reducing the percentages of the Initial Reduction Lenders pursuant to
the foregoing and any such Initial  Reduction  Lender's  Percentage  (after such
application) of the Commitment  Amount is in excess of $30,000,000,  the portion
of such Reduction Amount not so applied shall be applied to

                                                        43

<PAGE>

reduce such Initial Reduction Lender's Percentage of the Commitment Amount until
such Lender's  Percentage of the  Commitment  Amount equals  $30,000,000.  After
adjusting the  Percentages of the Initial  Reduction  Lenders in accordance with
the foregoing,  the  Percentages of the other Lenders shall be adjusted to equal
the quotient, expressed as a percentage, of

                  (a) the product of (i) such  Lender's  percentage  immediately
         prior to such  reduction  and (ii) the  Commitment  Amount  immediately
         prior to such reduction

over

                  (b) the excess of the Commitment  Amount  immediately prior to
         such reduction over the Reduction Amount.

Application of such  reduction  among the Lenders for purposes of Section 3.1(b)
shall be made,  first, to each Initial  Reduction Lender that has its Percentage
adjusted pursuant to the first sentence of this Section 2.2.4 in an amount equal
to the  excess  of (a)  the  product  of (i)  such  Initial  Reduction  Lender's
Percentage  immediately  prior to such adjustment and (ii) the Commitment Amount
immediately  prior to such  reduction  over (b) the product of (i) such  Initial
Reduction  Lender's  Percentage  immediately  after such adjustment and (ii) the
Commitment  Amount  immediately  after such reduction,  and, second,  to all the
Lenders  (including the Initial  Reduction  Lenders) pro rata in accordance with
their  Percentages  as  adjusted  pursuant  to the first two  sentences  of this
Section 2.2.4. For purposes of this Section, the "Initial Reduction  Percentage"
shall  equal,  in the case where the  applicable  Lender is Credit  Suisse First
Boston  (together  with  its  Affiliates),  60%,  and,  in the  case  where  the
applicable  Lender  is Chase  (together  with its  Affiliates),  40%;  provided,
however,  that if any Initial  Reduction  Lender's  Percentage of the Commitment
Amount  shall  at any time be equal to or less  than  $30,000,000,  the  Initial
Reduction  Percentage  of such  Initial  Reduction  Lender  shall  at all  times
thereafter equal zero and the Initial Reduction  Percentage of the other Initial
Reduction Lender shall be 100%.  "Initial  Reduction  Lender" shall mean each of
Credit Suisse First Boston  (together with its  Affiliates)  and Chase (together
with its Affiliates).

         SECTION 2.3.  Borrowing Procedure. By delivering a Borrowing Request to
the Administrative Agent on or  before 11:00 a.m. (New York City, New York time)
on a Business Day, any Borrower may from time to time irrevocably request,

                  (a) on such  Business Day (but in any event not more than five
         Business Days' notice) in the case of ABR Loans, or

                  (b) on not less  than  three  (but in any  event not more than
         five) Business Days' notice in the case of Eurodollar Loans,

                  (c) that a Borrowing be made,  in the case of ABR Loans,  in a
         minimum amount of $1,000,000 and an integral  multiple of $100,000,  in
         the case of Eurodollar Loans, in a

                                                        44

<PAGE>

         minimum amount of $5,000,000  and an integral  multiple of $100,000 or,
         in either case,  in the unused amount of the  Commitment.  On the terms
         and subject to the conditions of this  Agreement,  each Borrowing shall
         be  comprised  of the type of Loans,  and shall be made on the Business
         Day specified in such  Borrowing  Request.  On or before 1:00 p.m. (New
         York City,  New York time) on such  Business  Day,  each  Lender  shall
         deposit with the Administrative Agent same day funds in an amount equal
         to such Lender's  Percentage of the requested  Borrowing.  Such deposit
         will be made to an account which the Administrative Agent shall specify
         from time to time by notice to the  Lenders.  To the  extent  funds are
         received  from the Lenders,  the  Administrative  Agent shall make such
         funds  available to such Borrower by wire transfer to the accounts such
         Borrower  shall have  specified in its Borrowing  Request.  No Lender's
         obligation  to make any Loan shall be  affected  by any other  Lender's
         failure to make any Loan.

         SECTION 2.4.  Continuation and  Conversion  Elections.  By delivering a
Continuation/Conversion  Notice to the  Administrative Agent on or  before 11:00
a.m. (New York City, New York time) on a  Business Day,  any  Borrower  may from
time to time irrevocably elect with respect to Loans borrowed by it,

                  (a)  on such Business Day in the case of ABR Loans, or

                  (b) on not less  than  three  (but in any  event not more than
         five) Business Days' notice in the case of Eurodollar Loans,

that all, or any portion in an aggregate  minimum  amount of  $5,000,000  and an
integral multiple of $100,000,  in the case of any Eurodollar Loan, be converted
into an ABR Loan, or an aggregate  minimum  amount of $5,000,000 and an integral
multiple of $100,000,  in the case of any ABR Loan or  Eurodollar  Loan,  as the
case may be, be converted into or continued as, as the case may be, a Eurodollar
Loan (in the  absence of  delivery  of a  Continuation/  Conversion  Notice with
respect to any  Eurodollar  Loan at least three Business Days (but not more than
five Business Days) before the last day of the then current Interest Period with
respect  thereto,  such Eurodollar  Loan shall, on such last day,  automatically
convert to an ABR Loan);  provided,  however,  that (i) each such  conversion or
continuation  shall be pro rated among the applicable  outstanding  Loans of all
Lenders and (ii) no portion of the outstanding principal amount of any Loans may
be continued  as, or be converted  into,  Eurodollar  Loans when any Default has
occurred and is continuing.

         SECTION  2.5.  Funding.  Each Lender may, if it so elects,  fulfill its
obligation to make,  continue or convert  Eurodollar  Loans hereunder by causing
one of its foreign branches or Affiliates (or an international  banking facility
created by such  Lender) to make or maintain  such  Eurodollar  Loan;  provided,
however, that such Eurodollar Loan shall nonetheless be deemed to have been made
and to be held by such Lender, and the obligation of the applicable  Borrower to
repay such Eurodollar Loan shall  nevertheless be to such Lender for the account
of  such  foreign  branch,  Affiliate  or  international  banking  facility.  In
addition, each Borrower hereby consents

                                                        45

<PAGE>

and agrees that,  for purposes of any  determination  to be made for purposes of
Section 5.1, 5.2, 5.3 or 5.4, it shall be conclusively  assumed that each Lender
elected to fund all Eurodollar  Loans by purchasing  deposits in U.S. Dollars in
its Eurodollar Office's interbank eurodollar market.

         SECTION 2.6. Loan  Accounts.  (a) The Loans and  participations  in the
Letter of Credit  Outstandings  made by each  Lender  and the  Letters of Credit
issued by the Issuer shall be evidenced by one or more loan  accounts or records
maintained  by such  Lender or the Issuer,  as the case may be, in the  ordinary
course  of  business.   The  loan   accounts  or  records   maintained   by  the
Administrative  Agent,  the Issuer and each Lender  shall be  conclusive  absent
manifest  error of the  amount of the  Loans,  the  participations  in Letter of
Credit  Outstandings  and the  Letters  of Credit  made by the  Lenders  and the
Issuer, as the case may be, and the interest and payments  thereon.  Any failure
so to record or any error in doing so shall  not,  however,  limit or  otherwise
affect the  obligation  of any  Borrower  hereunder to pay any amount owing with
respect  to the  Loans  and  Letters  of  Credit,  as the case may be, or of the
Lenders with respect to participations in Letter of Credit Outstandings.

         (b) If  requested  by any Lender,  such  Lender's  Loans under the Loan
Commitment shall be evidenced by a Note payable to the order of such Lender in a
maximum principal amount equal to such Lender's  Percentage of the original Loan
Commitment  Amount.  Each Borrower  hereby  irrevocably  authorizes  each Lender
having a Note to make (or cause to be made)  appropriate  notations  on the grid
attached to such  Lender's  Note (or on any  continuation  of such grid),  which
notations,  if made,  shall  evidence,  inter alia, the date of, the outstanding
principal of, and the interest rate and Interest Period  applicable to the Loans
evidenced thereby.  Such notations shall be conclusive and binding on applicable
Borrower  absent  manifest  error;  provided,  however,  that the failure of any
Lender  having a Note to make any such  notations  shall not limit or  otherwise
affect any Obligations of any Borrower or any other Obligor.

                                                    ARTICLE III

                                    REPAYMENTS, PREPAYMENTS, INTEREST AND FEES

     SECTION 3.1. Repayments and Prepayments.  Each Borrower shall repay in full
the unpaid  principal amount of each of its Loans upon the Stated Maturity Date.
Prior thereto, such Borrower

                  (a)  may,  from  time  to  time on any  Business  Day,  make a
         voluntary prepayment, in whole or in part, of the outstanding principal
         amount of any Loans borrowed by it; provided, however, that

                           (i) any such prepayment  shall be made pro rata among
                  Loans of the same type,  and, if  applicable,  having the same
                  Interest Period of all Lenders;

                                                        46

<PAGE>

                         (ii) all such voluntary prepayments shall require prior
                    irrevocable  written  notice  to  the  Administrative  Agent
                    received  by the  Administrative  Agent no later  than 11:00
                    a.m. (New York City, New York)

                         (A) on such Business Day in the case of ABR Loans, or

                         (B) on not less than  three  (but in any event not more
                    than five)  Business  Days' notice in the case of Eurodollar
                    Loans, and

                         (iii) all such voluntary partial  prepayments shall be,
                    in the case of ABR Loans, in an aggregate  minimum amount of
                    $1,000,000 and an integral  multiple of $100,000 and, in the
                    case of Eurodollar Loans, in an aggregate minimum amount of
                  $5,000,000 and an integral multiple of $100,000;

                  (b) shall,  on each date when any reduction in the  Commitment
         Amount shall become effective (including pursuant to Section 2.2), make
         a mandatory  prepayment equal to the excess,  if any, of the aggregate,
         outstanding  principal  amount  of  all  Loans  and  Letter  of  Credit
         Outstandings  over  the  Commitment  Amount  in  effect  on  such  date
         (following such reduction),  which mandatory  prepayment shall, subject
         to Section 2.2.4, be applied (or held for application,  as the case may
         be) by the Lenders

                           (i) first,  to the  payment of the  aggregate  unpaid
                  principal amount of those Loans then outstanding  equal to the
                  excess, if any, of the aggregate, outstanding principal amount
                  of all Loans over the Loan Commitment Amount in effect on such
                  date (following such reduction, if applicable);

                           (ii)   second,    to   the   payment    and/or   cash
                  collateralization  of the then  outstanding  Letter  of Credit
                  Outstandings  equal to the  excess,  if any,  of the Letter of
                  Credit  Outstandings  over the  Letter  of  Credit  Commitment
                  Amount in effect on such date (following  such  reduction,  if
                  applicable); and

                           (iii) third,  to the payment of the aggregate  unpaid
                  principal  amount of the Loans, and then to the payment and/or
                  cash  collateralization  of the  then  outstanding  Letter  of
                  Credit  Outstandings  equal  to the  excess,  if  any,  of the
                  aggregate,  outstanding  principal  amount  of all  Loans  and
                  Letter of Credit  Outstandings  over the Commitment  Amount in
                  effect on such date; and

                  (c) shall,  immediately  upon any  acceleration  of the Stated
         Maturity  Date of any Loans  pursuant  to Section  9.2 or Section  9.3,
         repay all Loans, unless, pursuant to Section 9.3, only a portion of all
         Loans is so accelerated.

Each  prepayment  of any Loans made  pursuant to this  Section  shall be without
premium or penalty (except as may be required by Section 5.4).

                                                        47

<PAGE>

          SECTION  3.2.  Interest   Provisions.   Interest  on  the  outstanding
     principal  amount of Loans shall accrue and be payable in  accordance  with
     this Section 3.2.

          SECTION 3.2.1. Rates. Pursuant to an appropriately delivered Borrowing
     Request or  Continuation/Conversion  Notice,  any  Borrower  may elect that
     Loans comprising a Borrowing accrue interest at a rate per annum:

                  (a) on that  portion  maintained  from  time to time as an ABR
         Loan,  equal to the sum of the Alternate Base Rate from time to time in
         effect plus the Applicable Margin for such Loan; and

                  (b) on that portion  maintained as a Eurodollar  Loan,  during
         each  Interest  Period  applicable  thereto,  equal  to the  sum of the
         Eurodollar  Rate (Reserve  Adjusted) for such Interest  Period plus the
         Applicable Margin for such Loan.

         All  Eurodollar  Loans shall bear interest from and including the first
day of the  applicable  Interest  Period to (but not  including) the last day of
such  Interest  Period at the interest  rate  determined  as  applicable to such
Eurodollar Loan.

         SECTION 3.2.2. Post-Maturity Rates. After the date any principal amount
of any Loan is due and  payable  (whether  on the  Stated  Maturity  Date,  upon
acceleration  or  otherwise)  and not  paid on such  date,  or after  any  other
monetary  Obligation of any Borrower or any other  Obligor,  as the case may be,
shall have become due and payable and not be paid on such date, such Borrower or
such  other  Obligor,  as the case may be,  shall  pay,  but only to the  extent
permitted by law and not  otherwise  provided for in any  Enhancement  Letter of
Credit in respect of a Liquidity  Obligation,  interest (after as well as before
judgment) on the aggregate principal amount of all Loans then outstanding and on
such other monetary Obligations at a rate per annum equal

                  (a) in the case of the aggregate principal amount of all Loans
         then  outstanding,  to the interest rate otherwise  applicable  thereto
         plus an additional margin of 200 basis points; and

                  (b) in the case of such  other  monetary  Obligations  of such
         Borrower or such other Obligor (other than such  obligations  comprised
         of the principal  amount of any Loan),  to the Alternate Base Rate from
         time to time in effect plus a margin of 200 basis points.

          SECTION 3.2.3.  Payment Dates.  Interest accrued on each Loan shall be
     payable, without duplication:

                  (a)  on the Stated Maturity Date therefor;

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<PAGE>

                  (b) on the  date  of  any  optional  or  required  payment  or
         prepayment,  in whole or in part, of principal outstanding on such Loan
         (to the extent of the amount prepaid or required to be prepaid);

                  (c) with  respect to ABR Loans,  on each  Quarterly  Payment
         Date occurring after the Amendment Effective Date;

                  (d) with respect to Eurodollar  Loans, on the last day of each
         applicable  Interest  Period (and, if such Interest Period shall exceed
         three  months,  on the same  calendar  day of every third month of such
         Interest Period as the day on which such Interest Period commenced);

                  (e) with respect to any ABR Loans  converted  into  Eurodollar
         Loans on a day when  interest  would not  otherwise  have been  payable
         pursuant to clause (c), on the date of such conversion; and

                  (f) on that portion of any Loans the Stated  Maturity  Date of
         which  is   accelerated   pursuant  to  Section  9.2  or  Section  9.3,
         immediately upon such acceleration.

Interest  accrued  on Loans or other  monetary  Obligations  arising  under this
Agreement  or any other  Loan  Document  after  the date such  amount is due and
payable  (whether on the Stated Maturity Date,  upon  acceleration or otherwise)
shall be payable upon demand.

         SECTION 3.3. Fees.The Borrowers, jointly and severally,agree to pay the
fees set forth in this Section 3.3. All such fees shall be non-refundable.

         SECTION 3.3.1.  Commitment Fees. The Borrowers,  jointly and severally,
agree to pay to the Administrative Agent for the account of each Lender, for the
period (including any portion thereof when any of its Commitment is suspended by
reason of any  Borrower's  inability  to satisfy  any  condition  of Article VI)
commencing on the Amendment Effective Date and continuing through the Commitment
Termination  Date, a commitment  fee equal to the  Applicable  Commitment Fee on
such Lender's  Percentage of the sum of the average daily unused  portion of the
Commitment  Amount.  Such  commitment  fee shall be  payable  by the  Borrowers,
jointly and  severally,  in arrears on each  Quarterly  Payment Date,  after the
Amendment Effective Date, and on the Commitment Termination Date.

         SECTION 3.3.2.  [INTENTIONALLY OMITTED].

         SECTION 3.3.3.  Administrative Agent's Fee. The Borrowers,  jointly and
severally,  agree to pay to the  Administrative  Agent  for its own  account,  a
non-refundable  initial fee in the amount set forth in the letter agreement (the
"Fee  Letter"),  dated August 3, 2000,  between the  Borrowers and Credit Suisse
First Boston, payable on the Amendment Effective Date and

                                                        49

<PAGE>

thereafter,  a  non-refundable  annual  fee in the  amount  set forth in the Fee
Letter, payable in advance on each anniversary of the Amendment Effective Date.

         SECTION  3.3.4.  Letter of Credit  Face  Amount  Fee.  The  Borrower or
Borrowers  requesting  a Letter  of  Credit  agree to pay to the  Administrative
Agent,  for the account of the Lenders,  a fee for such Letter of Credit for the
period from and  including  the date of the issuance of such Letter of Credit to
(but not  including)  the date upon  which such  Letter of Credit  expires or is
terminated,  calculated at a per annum rate equal to the Applicable  Margin with
respect to Eurodollar Loans on the Stated Amount of such Letter of Credit.  Such
fee shall be payable by such  Borrower or Borrowers  in arrears  each  Quarterly
Payment Date, after the Amendment  Effective Date,  commencing on the first such
date after the issuance of such Letter of Credit.

         SECTION 3.3.5.  Letter of Credit Issuing Fee. The Borrower or Borrowers
requesting a Letter of Credit agree to pay to the Administrative  Agent, for the
account of the  Issuer,  an issuing fee for such Letter of Credit for the period
from and  including  the date of  issuance  of such Letter of Credit to (but not
including) the date upon which such Letter of Credit expires or is terminated of
1/8% per annum on the Stated Amount of such Letter of Credit.  Such fee shall be
payable by such Borrower or Borrowers in arrears on each Quarterly  Payment Date
after the Amendment  Effective Date, and on the Commitment  Termination Date for
any period then ending for which such fee shall not theretofore  have been paid,
commencing on the first such date after the issuance of such Letter of Credit.

         SECTION 3.3.6. Letter of Credit Administrative Fee.Each Borrower agrees
to pay to the Administrative Agent, for the  account of the  Issuer, the amounts
set forth in Section 4.3.

                                                    ARTICLE IV

                                                 LETTERS OF CREDIT

         SECTION 4.1.  Issuance  Requests.  By delivering to the  Administrative
Agent and the Issuer an Issuance Request, together with an Enhancement Letter of
Credit  Application  and Agreement if such Issuance  Request is in respect of an
Enhancement  Letter of Credit on or before 11:00 a.m.  (New York City,  New York
time),  a  Subsidiary  Borrower  may  request,  from  time to time  prior to the
Commitment Termination Date and on not less than three nor more than 30 Business
Days'  notice (or such  shorter  or longer  notice as may be  acceptable  to the
Issuer),  in the case of General Letters of Credit,  and on not less than 15 nor
more than 30 Business  Days' notice (or such shorter or longer  notice as may be
acceptable  to the  Issuer),  in the  case  of  Enhancement  Letters  of  Credit
(provided that the Stated Amount of any such  Enhancement  Letter of Credit need
not be provided to the Issuer in writing  until the fifth  Business Day prior to
the issuance  thereof),  that the Issuer  issue  Letters of Credit in support of
financial  obligations  of such  Subsidiary  Borrower or any other Account Party
incurred (in the case of General  Letters of Credit) in the  ordinary  course of
business of such Borrower or such Account Party, as the case

                                                        50

<PAGE>

may be, and which are described in such Issuance Request;  provided that, in the
case of an Issuance Request that requests an increase in the Stated Amount of an
Enhancement Letter of Credit then outstanding, such Issuance Request shall be so
delivered on not less than five nor more than fifteen  Business  Days notice (or
such shorter or longer notice as may be acceptable to the Issuer).  Upon receipt
of an Issuance  Request  and, if  applicable,  an  Enhancement  Letter of Credit
Application and Agreement,  the  Administrative  Agent shall promptly notify the
Lenders thereof. Each Letter of Credit shall by its terms:

                  (a)  be issued in a Stated Amount denominated  in U.S. Dollars
         which

                           (i)  is at least $25,000;

                           (ii)  does not exceed (or would not exceed)

                                    (A) an amount  equal to the excess,  if any,
                           of (x) the Commitment  Amount over (y) the sum of all
                           Letter  of  Credit  Outstandings  plus the  aggregate
                           outstanding principal amount of all Loans, or

                                    (B) an amount  equal to the excess,  if any,
                           of the Letter of Credit  Commitment  Amount  over all
                           Letter of Credit Outstandings; and

                  (b) be stated to expire on a date (its "Stated  Expiry  Date")
         no  later  than  the  earlier  of (i) (A) one  year  from  its  date of
         issuance,  in the case of a  General  Letter of  Credit,  and (B) three
         years from its date of issuance,  in the case of an Enhancement  Letter
         of Credit,  and (ii) the Commitment  Termination  Date in effect at the
         time of such issuance.

So long as no Default has occurred and is continuing,  by delivery to the Issuer
and the Administrative Agent of an Issuance Request, at least three but not more
than ten Business Days (or such shorter or longer notice as may be acceptable to
the  Issuer)  prior to the Stated  Expiry Date of any issued  General  Letter of
Credit or prior to the date any issued  General  Letter of Credit  containing an
"evergreen" or similar automatic extension feature is scheduled to automatically
be extended  (unless the  beneficiary  thereof shall have received notice to the
contrary from the Issuer),  the applicable  Subsidiary  Borrower may request the
Issuer to extend the Stated Expiry Date of such issued  General Letter of Credit
for an additional period not to exceed the earlier of (A) one year from its date
of extension and (B) the  Commitment  Termination  Date in effect at the time of
such  extension.  So long as no Default  has  occurred  and is  continuing,  the
applicable Subsidiary Borrower (or the applicable Account Party) may request the
Issuer to extend the Stated  Expiry  Date of any  issued  Enhancement  Letter of
Credit for an additional  period not to exceed the earlier of (A) two years from
its date of extension and (B) the Commitment  Termination  Date in effect at the
time of such  extension;  provided such request is made in  accordance  with the
terms of the Enhancement  Letter of Credit  Application  and Agreement  relating
thereto and is  accompanied  by  delivery  to the Issuer and the  Administrative
Agent of an Issuance  Request.  Each Enhancement  Letter of Credit that provides
for LOC

                                                        51

<PAGE>

Liquidity  Disbursements  shall be issued  pursuant to an Enhancement  Letter of
Credit  Application and Agreement  substantially  in the form of Exhibit J, with
such  modifications  thereto  as the  Administrative  Agent and the  Issuer  may
consent  (a "CP  Enhancement  Letter  of  Credit  Application  and  Agreement").
Notwithstanding  any provision  contained in the  foregoing to the contrary,  no
Borrower  may  request  the  issuance  of,  and the  Issuer  shall  not have any
obligation  to issue,  any  Letter of Credit at any time  when,  and so long as,
there  shall be  outstanding  in the  aggregate  50 Letters  of  Credit,  unless
otherwise consented to by the Issuer and the Administrative Agent.

         SECTION 4.2. Issuances and Extensions.  On the terms and subject to the
conditions  of this  Agreement  (including  Article  VI) and  the  terms  of the
Amendment  Agreement  (including  Article III  thereof),  the Issuer shall issue
Letters of Credit, and extend the Stated Expiry Dates of outstanding  Letters of
Credit,  in  accordance  with  the  Issuance  Requests  made  therefor  and,  if
applicable,  the Enhancement Letter of Credit Application and Agreement relating
thereto; provided, however, that the issuance of an Enhancement Letter of Credit
(a "Replacement  Enhancement  Letter of Credit") to replace another  outstanding
Enhancement  Letter of Credit (an  "Outstanding  Enhancement  Letter of Credit")
shall not  require the  satisfaction  of the terms and  conditions  set forth in
Section 6.2.1 so long as (a) the issuance of the Replacement  Enhancement Letter
of Credit is required under the  Enhancement  Letter of Credit  Application  and
Agreement  relating to the  Outstanding  Enhancement  Letter of Credit,  (b) the
Replacement Letter of Credit has terms  substantially  identical to those of the
Outstanding  Enhancement Letter of Credit,  and (c) the Outstanding  Enhancement
Letter  of Credit  is  terminated  contemporaneously  with the  issuance  of the
Replacement  Enhancement Letter of Credit. The Issuer shall promptly confirm any
such issuance or extension  (including  the date of such issuance or extension),
as the case may be, to the Administrative  Agent. The Issuer will make available
the  original of each Letter of Credit  which it issues in  accordance  with the
Issuance Request and the Enhancement Letter of Credit Application and Agreement,
if applicable,  therefor to the beneficiary  thereof (and will promptly  provide
each of the  Lenders  with a copy of such  Letter of Credit) and will notify the
beneficiary  under any Letter of Credit of any  extension  of the Stated  Expiry
Date thereof.

         SECTION   4.3.   Expenses.   Each   Borrower   agrees  to  pay  to  the
Administrative  Agent for the account of the Issuer all reasonable and customary
administrative   expenses  of  the  Issuer  in  connection  with  the  issuance,
maintenance,  modification (if any) and  administration of each Letter of Credit
requested by such Borrower promptly upon demand from time to time.

         SECTION 4.4. Other Lenders' Participation. Each Letter of Credit issued
pursuant to Section 4.2 shall,  effective upon its issuance and without  further
action,  be issued on behalf of all Lenders  (including the Issuer  thereof) pro
rata according to their respective Percentages. Each Lender shall, to the extent
of its Percentage, be deemed irrevocably to have participated in the issuance of
such Letter of Credit and (x) shall be  responsible  to  reimburse  promptly the
Issuer thereof for  Reimbursement  Obligations which have not been reimbursed by
the  applicable  Borrower in  accordance  with  Section  4.5, or which have been
reimbursed by such  Borrower but must be returned,  restored or disgorged by the
Issuer for any reason, or (y) in the case of an LOC

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<PAGE>

Liquidity Disbursement,  shall participate in such LOC Liquidity Disbursement in
accordance  with the terms of the Enhancement  Letter of Credit  Application and
Agreement relating thereto.  Each Lender shall, to the extent of its Percentage,
be entitled to receive from the  Administrative  Agent a ratable  portion of the
letter of credit fees received by the  Administrative  Agent pursuant to Section
3.3.4  with  respect  to each  Letter  of  Credit.  In the  event  that  (a) the
applicable  Borrower or Borrowers shall fail to reimburse the Issuer,  or if for
any reason Loans shall not be made to fund any Reimbursement Obligation,  all as
provided  in Section  4.5 and in an amount  equal to the  amount of any  drawing
honored by the Issuer under a Letter of Credit issued by it, (b) the Issuer must
for any reason  return or disgorge  such  reimbursement  or (c) an LOC Liquidity
Disbursement has occurred,  the Issuer shall promptly notify the  Administrative
Agent of the unreimbursed amount of such drawing and of such Lender's respective
participation  therein.  Each Lender shall make available to the  Administrative
Agent for the  account  of the  Issuer,  whether or not any  Default  shall have
occurred and be continuing,  an amount equal to its respective  participation in
same day or immediately available funds at the office of the Issuer specified in
such  notice not later than  11:00  a.m.  (New York City,  New York time) on the
Business Day (under the laws of the  jurisdiction  of the Issuer) after the date
notified by the Issuer.  In the event that any Lender fails to make available to
the  Administrative  Agent for the  account  of the  Issuer  the  amount of such
Lender's  participation in such Letter of Credit as provided herein,  the Issuer
shall be  entitled to recover  such  amount on demand from such Lender  together
with  interest at the daily average  Federal Funds Rate for three  Business Days
(together with such other compensatory  amounts as may be required to be paid by
such Lender to the  Administrative  Agent and/or the Issuer, as the case may be,
pursuant to the Rules for Interbank Compensation of the Council on International
Banking or the Clearinghouse  Compensation  Committee, as the case may be, as in
effect from time to time) and  thereafter  at the  Alternate  Base Rate plus 200
basis points.  Nothing in this Section shall be deemed to prejudice the right of
any Lender to recover from the Issuer any amounts made  available by such Lender
to the Issuer  pursuant to this Section in the event that it is  determined by a
court of  competent  jurisdiction  that the payment  with respect to a Letter of
Credit  by the  Issuer  in  respect  of which  payment  was made by such  Lender
constituted gross negligence or wilful misconduct on the part of the Issuer. The
Issuer  shall  distribute  to the  Administrative  Agent for the account of each
other  Lender  which has paid all amounts  payable by it under this Section with
respect  to any  Letter  of Credit  issued by the  Issuer  such  other  Lender's
Percentage  of all  payments  received  by  the  Issuer  from  any  Borrower  in
reimbursement of drawings honored by the Issuer under such Letter of Credit when
such payments are received.

         SECTION  4.5.  Disbursements.  The Issuer  will  notify the  applicable
Borrower or Borrowers and the  Administrative  Agent promptly of the presentment
for  payment  of any  Letter  of  Credit,  together  with  notice of the date (a
"Disbursement  Date")  such  payment  shall be made.  Subject  to the  terms and
provisions  of such Letter of Credit,  the Issuer shall make such payment to the
beneficiary (or its designee) of such Letter of Credit. The applicable  Borrower
or Borrowers  will  reimburse  the Issuer for all amounts which it has disbursed
under such Letter of Credit, except to the extent such amounts are in respect of
an LOC Liquidity Disbursement (in which case such amounts shall be reimbursed to
the Issuer or the Lenders by the applicable SPC

                                                        53

<PAGE>

in  accordance  with  the  provisions  of  the  Enhancement   Letter  of  Credit
Application  and  Agreement  relating  thereto  (the  obligation  of such SPC to
reimburse  the Issuer or the Lenders for such  amounts in  accordance  with such
terms  being  herein  referred  to  as  a  "Liquidity   Obligation")),   on  the
Disbursement   Date,  if  such  Borrower  or  Borrowers  are  notified  of  such
disbursement  prior to 12:00 noon (New York, New York, time) on the Disbursement
Date, or on the Business Day immediately  succeeding the  Disbursement  Date, if
such Borrower or Borrowers are not so notified (the  "Reimbursement  Due Date").
To  the  extent  the  Issuer  is  not  reimbursed  in  full  in  respect  of any
Reimbursement   Obligation   payable  by  such  Borrower  or  Borrowers  on  the
Disbursement Date, such Reimbursement Obligation shall accrue interest from (and
including) the  Disbursement  Date at a fluctuating  rate per annum equal to the
sum of the Alternate Base Rate from time to time in effect,  plus the Applicable
Margin for ABR Loans from time to time in effect,  plus from (and including) the
Reimbursement Due Date, a margin of 200 basis points,  payable on demand. In the
event  the  Issuer  is not  reimbursed  by such  Borrower  or  Borrowers  on the
Disbursement Date for any  Reimbursement  Obligation in respect of any Letter of
Credit due and owing on such  Disbursement  Date,  or if the Issuer must for any
reason return or disgorge such reimbursement, the Lenders (including the Issuer)
shall,  on the terms and subject to the conditions of this Agreement  (including
the conditions set forth in Article VI), fund such  Reimbursement  Obligation by
making,  on the next  Business  Day,  Loans  which are ABR Loans as  provided in
Section 2.3 (such  Borrower  or  Borrowers  being  deemed to have given a timely
Borrowing Request therefor for such amount); provided,  however, for the purpose
of determining the  availability  of the  Commitments to make Loans  immediately
prior to giving effect to the  application  of the proceeds of such Loans,  such
Reimbursement Obligation shall be deemed not to be outstanding at such time.

         SECTION  4.6.   Reimbursement.   The   obligation   (a   "Reimbursement
Obligation") of an Obligor under Section 4.5 or under the applicable Enhancement
Letter of Credit  Application and Agreement to reimburse the Issuer with respect
to each disbursement  (including interest thereon), and each Lender's obligation
to make participation  payments in each drawing which has not been reimbursed by
the applicable  Borrower or Borrowers or the applicable  Account Party, shall be
absolute and  unconditional  under any and all circumstances and irrespective of
any setoff, counterclaim, or defense to payment which such Borrower or Borrowers
may have or have had  against  any  Lender  or any  beneficiary  of a Letter  of
Credit,  including  any defense based upon the  occurrence  of any Default,  any
draft,  demand or  certificate  or other  document  presented  under a Letter of
Credit proving to be forged, fraudulent, invalid or insufficient, the failure of
any disbursement to conform to the terms of the applicable Letter of Credit (if,
in the Issuer's  good faith  opinion,  such  disbursement  is  determined  to be
appropriate) or any  non-application or misapplication by the beneficiary of the
proceeds of such disbursement,  or the legality,  validity, form, regularity, or
enforceability of such Letter of Credit; provided,  however, that nothing herein
shall  adversely  affect the right of such Borrower or Borrowers to commence any
proceeding  against the Issuer for any wrongful  disbursement made by the Issuer
under a Letter of Credit as a result  of acts or  omissions  constituting  gross
negligence or willful misconduct on the part of the Issuer.

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<PAGE>

         SECTION 4.7. Deemed  Disbursements.  Upon the occurrence and during the
continuation  of any  Event  of  Default  or the  occurrence  of the  Commitment
Termination  Date,  an  amount  equal  to  that  portion  of  Letter  of  Credit
Outstandings attributable to outstanding and undrawn Letters of Credit shall, at
the election of the Issuer acting on instructions from the Required Lenders, and
without  demand upon or notice to any  Borrower,  be deemed to have been paid or
disbursed by the Issuer under such Letters of Credit  (notwithstanding that such
amount may not in fact have been so paid or disbursed),  and, upon  notification
by the  Issuer  to the  Administrative  Agent  and the  applicable  Borrower  or
Borrowers of its  obligations  under this  Section,  such  Borrower or Borrowers
shall be immediately obligated to reimburse the Issuer the amount deemed to have
been so paid or disbursed  by the Issuer.  Any amounts so received by the Issuer
from such  Borrower  or  Borrowers  pursuant  to this  Section  shall be held as
collateral   security  for  the  repayment  of  such  Borrower's  or  Borrowers'
obligations  in connection  with the Letters of Credit issued by the Issuer.  At
any time when such Letters of Credit shall  terminate and all Obligations of the
Issuer are either  terminated or paid or  reimbursed to the Issuer in full,  the
Obligations  of such  Borrower or Borrowers  under this Section shall be reduced
accordingly  (subject,  however,  to  reinstatement  in the event any payment in
respect of such  Letters of Credit is  recovered in any manner from the Issuer),
and the Issuer will return to such Borrower or Borrowers the excess, if any, of

               (a) the aggregate  amount deposited by such Borrower or Borrowers
          with the  Issuer  and not  theretofore  applied  by the  Issuer to any
          Reimbursement Obligation

over

               (b) the aggregate amount of all Reimbursement  Obligations to the
          Issuer pursuant to this Section, as so adjusted.

At such time when all  Events of Default  shall  have been cured or waived,  the
Issuer  shall return to such  Borrower or Borrowers  all amounts then on deposit
with the Issuer  pursuant to this  Section.  All amounts on deposit  pursuant to
this Section shall,  until their application to any Reimbursement  Obligation or
their return to such Borrower or Borrowers, as the case may be, bear interest at
the daily  average  Federal  Funds Rate from time to time in effect  (net of the
costs of any reserve requirements,  in respect of amounts on deposit pursuant to
this Section,  pursuant to F.R.S.  Board  Regulation D), which interest shall be
held by the Issuer as additional  collateral  security for the repayment of such
Borrower's or Borrowers'  Obligations  in connection  with the Letters of Credit
issued by the Issuer.

     SECTION 4.8.  Nature of  Reimbursement  Obligations.  Each  Borrower  shall
assume  all risks of the  acts,  omissions,  or  misuse of any  Letter of Credit
requested by it by the  beneficiary  thereof.  Neither the Issuer nor any Lender
shall be responsible for:

               (a) the form, validity,  sufficiency,  accuracy,  genuineness, or
          legal effect of any Letter of Credit or any document  submitted by any
          party in connection with the

                                                        55

<PAGE>

         application  for and issuance of a Letter of Credit,  even if it should
         in  fact  prove  to be in any or all  respects  invalid,  insufficient,
         inaccurate, fraudulent, or forged;

               (b) the form, validity,  sufficiency,  accuracy,  genuineness, or
          legal effect of any instrument transferring or assigning or purporting
          to  transfer  or assign a Letter of Credit or the  rights or  benefits
          thereunder or proceeds thereof in whole or in part, which may prove to
          be invalid or ineffective for any reason;

               (c) failure of the  beneficiary  to comply fully with  conditions
          required in order to demand payment under a Letter of Credit;

               (d) errors, omissions,  interruptions,  or delays in transmission
          or delivery of any messages,  by mail,  cable,  telegraph,  telex,  or
          otherwise; or

               (e) any loss or delay in the  transmission  or  otherwise  of any
          document  or draft  required in order to make a  disbursement  under a
          Letter of Credit or of the proceeds thereof.

None of the foregoing shall affect, impair, or prevent the vesting of any of the
rights or powers granted the Issuer or any Lender hereunder.  In furtherance and
extension,  and not in limitation or derogation,  of any of the  foregoing,  any
action taken or omitted to be taken by the Issuer in good faith shall be binding
upon each Borrower and, in the absence of gross negligence or willful misconduct
as determined by a final  judgment of a court of competent  jurisdiction,  shall
not put the Issuer under any resulting liability to such Borrower.

         SECTION  4.9.  Indemnity.  In addition to amounts  payable as elsewhere
provided herein, the Borrowers hereby, jointly and severally,  agree to protect,
indemnify, pay and save the Issuer harmless from and against any and all claims,
demands,  liabilities,  damages,  losses, costs, charges and expenses (including
reasonable  attorneys' fees and allocated  costs of internal  counsel) which the
Issuer may incur or be subject to as a consequence, direct or indirect, of

                  (a) the  issuance  of any  Letter of  Credit,  other than as a
         result of the gross negligence or willful misconduct of the Issuer or a
         breach by the Issuer (or its agents or  employees  or any other  Person
         under its control) of any obligation of the Issuer under such Letter of
         Credit  to  the  Borrower  which  is  the  account  party  thereof,  as
         determined by a final judgment of a court of competent jurisdiction, or

                  (b) the  failure  of the  Issuer to honor a drawing  under any
         Letter of Credit as a result of any act or omission,  whether  rightful
         or wrongful, of any present or future de jure or de facto government or
         governmental authority.

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         SECTION 4.10.  Borrowers' Guaranty of Reimbursement  Obligations of its
Subsidiaries.  Each Borrower  agrees as follows in respect of the  Reimbursement
Obligations of their respective Subsidiaries (other than SPCs):

     SECTION 4.10.1. Guaranty. Each Borrower hereby, absolutely, unconditionally
and irrevocably

                  (a) guarantees the full and punctual payment when due, whether
         at stated maturity, by required prepayment, declaration,  acceleration,
         demand or  otherwise,  of all  Reimbursement  Obligations  (other  than
         Liquidity  Obligations) now or hereafter  existing,  of each Subsidiary
         Guarantor  that is an Account Party which arise out of, or are incurred
         in  connection  with,  such Letters of Credit,  whether for  principal,
         interest, fees, expenses or otherwise (including all such amounts which
         would  become due but for the  operation  of the  automatic  stay under
         Section  362(a)  of  the  United  States  Bankruptcy  Code,  11  U.S.C.
         ss.362(a),  and the  operation  of  Sections  502(b)  and 506(b) of the
         United States Bankruptcy Code, 11 U.S.C. ss.502(b) and ss.506(b)), and

                  (b) indemnifies and holds harmless each Secured Party and each
         holder  of a Note  for  any  and  all  costs  and  expenses  (including
         reasonable attorneys' fees and expenses) incurred by such Secured Party
         or such holder,  as the case may be, in enforcing  any rights under the
         guaranty contained in this Section 4.10;

provided,  however,  that in the case of the guaranty made by each of Dollar and
Thrifty in respect of a Subsidiary Guarantor that is not its Subsidiary,  Dollar
or Thrifty,  as the case may be, shall be liable under the guaranty set forth in
this Section 4.10 for the maximum  amount of such  liability  that can be hereby
incurred  without  rendering  the guaranty set forth in this Section 4.10, as it
relates to Dollar or Thrifty,  as the case may be, voidable under applicable law
relating  to  fraudulent  conveyance  or  fraudulent  transfer,  and not for any
greater  amount.  The guaranty  contained in this  Section  4.10  constitutes  a
guaranty  of  payment  when  due  and  not  of  collection,  and  each  Borrower
specifically  agrees that it shall not be necessary or required that any Secured
Party  exercise  any right,  assert  any claim or demand or  enforce  any remedy
whatsoever  against any Account Party or any other Obligor (or any other Person)
before or as a condition to the  obligations of such Borrower under the guaranty
contained in this Section 4.10 (such obligations  hereinafter referred to as the
"Guaranteed Obligations").

         SECTION 4.10.2. Acceleration of Guaranty. Each Borrower agrees that, if
an Event of Default of the nature set forth in Section  9.1.9  shall  occur at a
time when any of the Guaranteed Obligations of any Account Party may not then be
due and payable,  such  Borrower  agrees that it will pay to the  Administrative
Agent for the account of the Secured  Parties  forthwith  the full amount  which
would be payable  under the  guaranty  contained  in this  Section  4.10 by such
Borrower if all such Guaranteed Obligations were then due and payable.

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<PAGE>

         SECTION 4.10.3.  Guaranty Absolute, etc. The guaranty contained in this
Section 4.10 shall in all respects be a continuing,  absolute, unconditional and
irrevocable guaranty of payment, and shall remain in full force and effect until
all  Guaranteed  Obligations  of the Account  Parties  have been paid in full in
cash,  all  Obligations  of each Borrower and each other Obligor  hereunder have
been paid in full in cash, all Letters of Credit have been terminated or expired
and all Commitments  shall have  terminated.  Each Borrower  guarantees that the
Guaranteed  Obligations  of  the  Account  Parties  will  be  paid  strictly  in
accordance  with the terms of this  Agreement and each other Loan Document under
which they arise, regardless of any law, regulation or order now or hereafter in
effect in any  jurisdiction  affecting  any of such  terms or the  rights of any
Secured Party or any holder of any Note with respect  thereto.  The liability of
each  Borrower  under the  guaranty  contained  in this  Section  4.10  shall be
absolute, unconditional and irrevocable irrespective of:

                    (a) any lack of validity, legality or enforceability of this
               Agreement, any Note or any other Loan Document;

                  (b) the failure of any Secured Party or any holder of any Note

                           (i) to assert any claim or demand or to  enforce  any
                  right or remedy against any Account  Party,  any other Obligor
                  or any other Person (including any other guarantor  (including
                  such Borrower))  under the provisions of this  Agreement,  any
                  Note, any other Loan Document or otherwise, or

                           (ii) to  exercise  any  right or remedy  against  any
                  other  guarantor  (including  such Borrower) of, or collateral
                  securing, any Guaranteed Obligations of any Account Party;

                  (c) any change in the time,  manner or place of payment of, or
         in any other term of, all or any of the  Guaranteed  Obligations of any
         Account  Party,  or any other  extension,  compromise or renewal of any
         Guaranteed Obligation of any Account Party;

                  (d) any  reduction,  limitation,  impairment or termination of
         any  Guaranteed  Obligations  of any  Account  Party  for  any  reason,
         including  any  claim of  waiver,  release,  surrender,  alteration  or
         compromise,  and shall not be  subject  to (and  such  Borrower  hereby
         waives any right to or claim of) any  defense or setoff,  counterclaim,
         recoupment  or  termination  whatsoever  by reason  of the  invalidity,
         illegality, nongenuineness,  irregularity, compromise, unenforceability
         of,  or  any  other  event  or  occurrence  affecting,  any  Guaranteed
         Obligations of any Account Party or otherwise;

                  (e)  any   amendment   to,   rescission,   waiver,   or  other
         modification  of, or any consent to departure from, any of the terms of
         this Agreement, any Note or any other Loan Document;

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<PAGE>

                  (f)   any   addition,    exchange,   release,   surrender   or
         non-perfection  of any  collateral,  or any  amendment  to or waiver or
         release  or  addition  of, or  consent  to  departure  from,  any other
         guaranty,  held by any Secured Party or any holder of any Note securing
         any of the Guaranteed Obligations of any Account Party; or

                  (g) any other circumstance which might otherwise  constitute a
         defense available to, or a legal or equitable discharge of, any Account
         Party, any surety or any guarantor.

         SECTION  4.10.4.  Reinstatement,  etc.  Each  Borrower  agrees that the
guaranty  contained in this  Section  4.10 shall  continue to be effective or be
reinstated, as the case may be, if at any time any payment (in whole or in part)
of any of the Guaranteed  Obligations is rescinded or must otherwise be restored
by any Secured Party or any holder of any Note, upon the insolvency,  bankruptcy
or reorganization of any Account Party or otherwise,  all as though such payment
had not been made.

         SECTION 4.10.5.  Waiver,  etc. Each Borrower hereby waives  promptness,
diligence,  notice of acceptance and any other notice with respect to any of the
Guaranteed  Obligations  of any  Account  Party  or any  other  Obligor  and the
guaranty   contained  in  this  Section  4.10  and  any  requirement   that  the
Administrative Agent, any other Secured Party or any holder of any Note protect,
secure, perfect or insure any security interest or Lien, or any property subject
thereto,  or exhaust any right or take any action against any Account Party, any
other Obligor or any other Person  (including any other  guarantor) or entity or
any collateral securing the Guaranteed Obligations of any Account Party.

         SECTION 4.10.6. Postponement of Subrogation,  etc. Each Borrower agrees
that it will not  exercise  any rights  which it may acquire by way of rights of
subrogation  under the guaranty  contained in this Section  4.10, by any payment
made under the guaranty  contained in this Section 4.10 or otherwise,  until the
prior  payment in full in cash of all  Guaranteed  Obligations  of each  Account
Party,  the prior payment in full in cash of all  Obligations  of each Borrower,
the  termination  or expiration of all Letters of Credit and the  termination of
all  Commitments.  Any  amount  paid to any  Borrower  on  account  of any  such
subrogation  rights  prior  to the  payment  in full  in cash of all  Guaranteed
Obligations  of each Account Party shall be held in trust for the benefit of the
Secured  Parties and each holder of a Note and shall  immediately be paid to the
Administrative Agent for the benefit of the Secured Parties and each holder of a
Note and credited and applied against the Guaranteed Obligations of each Account
Party,  whether  matured  or  unmatured,  in  accordance  with the terms of this
Agreement; provided, however, that if

                  (a) such Borrower has made payment to the Secured  Parties and
         each holder of a Note of all or any part of the Guaranteed  Obligations
         of any Account Party, and

                  (b) all Guaranteed Obligations of each Account Party have been
         paid in full in cash,  all  Obligations of each Borrower have been paid
         in full in cash, all Letters of Credit have been  terminated or expired
         and all Commitments have been permanently terminated,

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<PAGE>

each  Secured  Party and each holder of a Note agrees that,  at such  Borrower's
request,  the  Administrative  Agent,  on behalf of the Secured  Parties and the
holders of the Notes,  will  execute  and deliver to such  Borrower  appropriate
documents (without recourse and without representation or warranty) necessary to
evidence  the  transfer by  subrogation  to such  Borrower of an interest in the
Guaranteed Obligations of each Account Party resulting from such payment by such
Borrower.  In  furtherance  of the  foregoing,  for so long  as any  Obligations
(including  Guaranteed  Obligations)  or Commitments  remain  outstanding,  each
Borrower  shall  refrain  from taking any action or  commencing  any  proceeding
against any Account Party (or its  successors or assigns,  whether in connection
with a bankruptcy proceeding or otherwise) to recover any amounts in the respect
of  payments  made under the  guaranty  contained  in this  Section  4.10 to any
Secured Party or any holder of a Note.

         SECTION 4.10.7. Right of Contribution. Each Borrower hereby agrees that
to the extent that a Borrower shall have paid more than its proportionate  share
of any  payment  made  hereunder,  such  Borrower  shall be entitled to seek and
receive  contribution from and against any other Borrower  hereunder who has not
paid  its  proportionate  share  of  such  payment.  Each  Borrower's  right  of
contribution shall be subject to the terms and conditions of Section 4.10.6. The
provisions of this Section 4.10.7 shall in no respect limit the  obligations and
liabilities of any Borrower to the  Administrative  Agent and each other Secured
Party,  and each Borrower  shall remain liable to the  Administrative  Agent and
each  other  Secured  Party  for the full  amount  guaranteed  by such  Borrower
hereunder.

     SECTION 4.10.8.  Successors,  Transferees and Assigns;  Transfers of Notes,
etc. The guaranty contained in this Section 4.10 shall:

          (a) be binding upon each Borrower, and its successors, transferees and
     assigns;

and

          (b) inure to the benefit of and be enforceable  by the  Administrative
     Agent and each other Secured Party.

Without  limiting the  generality  of the  foregoing  clause (b), any Lender may
assign or otherwise  transfer (in whole or in part) any Note or Credit Extension
held by it to any other Person or entity,  and such other Person or entity shall
thereupon  become vested with all rights and benefits in respect thereof granted
to such Lender under any Loan Document (including the guaranty contained in this
Section 4.10) or otherwise, subject, however, to any contrary provisions in such
assignment or transfer, and to the provisions of Section 12.11 and Article XI.

         SECTION  4.11. No Bankruptcy  Petition  Against RCFC or Dollar  Thrifty
Funding.  With respect to each  Enhancement  Letter of Credit  issued  hereunder
relating to RCFC or Dollar Thrifty Funding, each of the Lenders hereby covenants
and agrees that,

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                  (a) prior to the date  which is one year and one day after the
         payment  in full of the  latest  maturing  note  issued  under the Base
         Indenture, it will not institute against, or join with any other Person
         in instituting against, RCFC, and

                  (b) prior to the date  which is one year and one day after the
         payment in full of the latest maturing  commercial paper note issued by
         Dollar Thrifty Funding, it will not institute against, or join with any
         other Person in instituting against Dollar Thrifty Funding,

any   bankruptcy,   reorganization,   arrangement,   insolvency  or  liquidation
proceedings,  or other  proceedings  under any  federal or state  bankruptcy  or
similar  law;  provided,  however,  that  nothing  in this  Section  4.11  shall
constitute  a waiver of any  right to  indemnification,  reimbursement  or other
payment from any Obligor  pursuant to this Agreement or any other Loan Document.
In the event that any Lender takes  action in  violation  of this Section  4.11,
each Borrower  agrees,  for the benefit of the holders of the notes issued under
the Base  Indenture  and the  commercial  paper notes  issued by Dollar  Thrifty
Funding, that it shall cause RCFC or Dollar Thrifty Funding, as the case may be,
to file an answer with the bankruptcy  court or otherwise  properly  contest the
filing of such a petition by such Lender against RCFC or Dollar Thrifty Funding,
as the case may be, or the  commencement  of such  action and raise the  defense
that such  Lender has agreed in  writing  not to take such  action and should be
estopped and precluded therefrom and such other defenses, if any, as its counsel
advises  that it may  assert;  and such  Lender  shall be liable for and pay any
costs and expenses  incurred by RCFC or Dollar Thrifty Funding,  as the case may
be, in connection  therewith.  The provisions of this Section 4.11 shall survive
the termination of the Agreement.

     SECTION 4.12.  Original  Letters of Credit.  Each Original Letter of Credit
shall be  deemed  to be a Letter of Credit  issued  hereunder  on the  Amendment
Effective Date.

                                                     ARTICLE V

                                   CERTAIN EURODOLLAR RATE AND OTHER PROVISIONS

         SECTION  5.1.  Eurodollar  Rate Lending  Unlawful.  If any Lender shall
determine (which determination shall, upon notice thereof to the Borrowers,  the
Administrative  Agent  and  the  Lenders,  be  conclusive  and  binding  on each
Borrower) that the introduction of or any change in or in the  interpretation of
any law makes it unlawful,  or any central bank or other governmental  authority
asserts that it is unlawful,  for such Lender to make,  continue or maintain any
Loan as, or to convert any Loan into, a Eurodollar  Loan of a certain type,  the
obligations of such Lender to make, continue,  maintain or convert into any such
Loans shall, upon such  determination,  forthwith be suspended until such Lender
shall  notify the  Administrative  Agent  that the  circumstances  causing  such
suspension no longer exist, and all outstanding Eurodollar Loans of such type of
such Lender shall automatically convert into ABR Loans at the end of the then

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current Interest Periods with respect thereto or sooner, if required by such law
or assertion,  and all Loans of such Lender that would  otherwise have been made
or continued as, or converted into, Eurodollar Loans shall instead be made as or
converted  into, or continued as, ABR Loans upon which interest shall be payable
at the same time as the related Eurodollar Loans.

         SECTION 5.2. Deposits  Unavailable.  If the Administrative  Agent shall
have determined that by reason of  circumstances  affecting the London interbank
market,  adequate  means  do  not  exist  for  ascertaining  the  interest  rate
applicable hereunder to Eurodollar Loans of any type, then, upon notice from the
Administrative  Agent to the Borrowers and the Lenders,  the  obligations of all
Lenders  under  Section 2.3 and Section 2.4 to make or continue any Loans as, or
to convert  any Loans into,  Eurodollar  Loans of such type shall  forthwith  be
suspended  until the  Administrative  Agent shall notify the  Borrowers  and the
Lenders that the circumstances causing such suspension no longer exist.

         SECTION 5.3.  Increased  Eurodollar  Loan Costs,  etc.  The  Borrowers,
jointly and  severally,  agree to reimburse  each Lender for any increase in the
cost to such Lender of, or any reduction in the amount of any sum  receivable by
such  Lender  in  respect  of,  making,  continuing  or  maintaining  (or of its
obligation to make,  continue or maintain) any Loans as, or of converting (or of
its  obligation  to  convert)  any Loans  into,  Eurodollar  Loans that arise in
connection  with any change in, or the  introduction,  adoption,  effectiveness,
interpretation,  reinterpretation  or phase-in after the Original Effective Date
of, any law or regulation, directive, guideline, decision or request (whether or
not having  the force of law) of any court,  central  bank,  regulator  or other
governmental  authority,  except for such changes with respect to (i)  increased
capital costs which are governed by Section 5.5, (ii) Taxes  governed by Section
5.6  (including  taxes imposed by reason of any failure of such Lender to comply
with its obligations under clause (b) of Section 5.6) and (iii) taxes imposed by
a taxing authority on or measured by the net income, overall receipts or capital
of such Lender or any lending  office,  branch or any affiliate  thereof and any
franchise taxes or branch taxes imposed by a taxing  authority on such Lender or
any lending office, branch or any affiliate thereof; provided,  however, that no
Borrower shall have any obligation to pay any such additional  amount under this
Section  5.3 with  respect to any such  change  unless  such  Lender  shall have
notified  the  applicable  Borrower of its demand  within 90 days after the date
upon which such Lender has obtained audited financial statements with respect to
the fiscal year of such Lender in which such change occurred.  Such Lender shall
promptly  notify the  Administrative  Agent and the  Borrowers in writing of the
occurrence  of any such  reduction  or increase  (but in no event later than the
date by which such  Lender may demand  reimbursement  therefor  pursuant  to the
immediately preceding sentence), such notice to state, in reasonable detail, the
reasons  therefor and the additional  amount  required fully to compensate  such
Lender on an after-tax  basis for such  increased cost or reduced  amount.  Such
additional  amounts  shall be payable by the  Borrowers  directly to such Lender
within five Business Days of its receipt of such notice,  and such notice shall,
in the absence of manifest error, be conclusive and binding on each Borrower.

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         SECTION 5.4.  Funding  Losses.  In the event any Lender shall incur any
loss or  expense  (including  any loss or  expense  incurred  by  reason  of the
liquidation or  reemployment  of deposits or other funds acquired by such Lender
to make,  continue or maintain any portion of the  principal  amount of any Loan
as, or to convert  any  portion  of the  principal  amount of any Loan  into,  a
Eurodollar Loan) as a result of

               (a) any  conversion  or repayment or  prepayment of the principal
          amount of any Eurodollar Loans on a date other than the scheduled last
          day of the Interest Period  applicable  thereto,  whether  pursuant to
          Section 3.1 or otherwise;

               (b) any Loans not being made as  Eurodollar  Loans in  accordance
          with the Borrowing Request therefor; or

               (c)  any  Loans  not  being  continued  as,  or  converted  into,
          Eurodollar  Loans  in  accordance  with the  Continuation/  Conversion
          Notice therefor,

then,  upon the written  notice of such Lender to the Borrowers  (with a copy to
the  Administrative  Agent),  the Borrowers shall,  within five Business Days of
their receipt thereof,  jointly and severally,  pay directly to such Lender such
amount as will (in the reasonable  determination of such Lender)  reimburse such
Lender for such loss or  expense.  Such  written  notice  (which  shall  include
calculations  in reasonable  detail) shall, in the absence of manifest error, be
conclusive and binding on each Borrower.

         SECTION  5.5.  Increased  Capital  Costs.  If  any  change  in,  or the
introduction,  adoption,  effectiveness,  interpretation,   reinterpretation  or
phase-in of, any law or regulation,  directive,  guideline,  decision or request
(whether or not having the force of law) of any court,  central bank,  regulator
or other  governmental  authority  after the Original  Effective Date affects or
would affect the amount of capital  required or expected to be maintained by any
Lender or any Person controlling such Lender, and such Lender determines (in its
sole and absolute discretion) that the rate of return on its or such controlling
Person's  capital  as  a  consequence  of  its   Commitments,   issuance  of  or
participation  in Letters of Credit or the Loans made by such  Lender is reduced
to a level below that which such Lender or such  controlling  Person  could have
achieved but for the occurrence of any such circumstance, then, in any such case
upon  notice from time to time by such Lender to the  Borrowers,  the  Borrowers
shall,  jointly and severally,  pay directly to such Lender within five Business
Days additional amounts sufficient to compensate such Lender or such controlling
Person on an after-tax  basis for such  reduction  in rate of return;  provided,
however,  that no Borrower shall have any obligation to pay any such  additional
amount under this Section 5.5 with respect to any such change unless such Lender
shall have notified the  applicable  Borrower of its demand within 90 days after
the date upon which such Lender or such controlling  Person has obtained audited
financial  statements  with  respect to the fiscal  year of such  Lender or such
controlling  Person in which such change  occurred.  Such Lender or  controlling
Person  shall  promptly  notify the  Administrative  Agent and the  Borrowers in
writing of the  occurrence of any such reduction (but in no event later than the
date by which such Lender

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<PAGE>

or controlling  Person may demand payment  therefor  pursuant to the immediately
preceding sentence). A statement of such Lender as to any such additional amount
or amounts (including  calculations  thereof in reasonable detail) shall, in the
absence of  manifest  error,  be  conclusive  and binding on each  Borrower.  In
determining  such  amount,  such  Lender  may use any  method of  averaging  and
attribution that it (in its sole and absolute discretion) shall deem applicable.

         SECTION 5.6. Taxes. (a) Except to the extent otherwise  provided in the
proviso to clause (iii) of this  Section  5.6(a) and the proviso to the sentence
immediately  succeeding  such clause  (iii),  all  payments  by any  Borrower of
principal  of, and  interest  on, the Credit  Extensions  and all other  amounts
payable  hereunder  (including fees) shall be made free and clear of and without
deduction for any present or future income, excise, stamp or franchise taxes and
other  taxes,  fees,  duties,  withholdings  or  other  charges  of  any  nature
whatsoever  imposed by any taxing  authority,  but  excluding (A) in the case of
each Lender and the  Administrative  Agent,  taxes imposed on or measured by the
net income,  overall  receipts or capital of such Lender (or any Lending office,
branch or affiliate of such Lender) or the  Administrative  Agent and  franchise
taxes or branch taxes imposed on such Lender (or any lending  office,  branch or
affiliate of such Lender) or the  Administrative  Agent, as the case may be, (x)
by the  jurisdiction  under the laws of which it is organized  or any  political
subdivision  thereof or (y) by reason of any connection between the jurisdiction
imposing  such tax and such Lender (or any lending  office,  branch or affiliate
thereof)  or the  Administrative  Agent,  as  the  case  may  be,  other  than a
connection  arising solely from such Lender (or such lending  office,  branch or
affiliate) or the  Administrative  Agent,  as the case may be, having  executed,
delivered,  or performed its  obligations  under,  or received  payment under or
enforced,  this  Agreement,  any Note or any other Loan Document and, (B) in the
case of each  Lender,  taxes  imposed on or measured by the net income,  overall
receipts or capital of such Lender (or any lending  office,  branch or affiliate
of such Lender) and  franchise  taxes or branch taxes imposed on such Lender (or
any lending office,  branch or affiliate of such Lender) by the  jurisdiction in
which such Lender's Domestic Office or Eurodollar Office, as the case may be, is
located or any  political  subdivision  thereof (such  non-excluded  items being
called "Taxes"). In the event that any withholding or deduction from any payment
to be made by any  Borrower  hereunder  is  required  in  respect  of any  Taxes
pursuant to any applicable law, rule or regulation, then such Borrower will

               (i) pay  directly  to the  relevant  authority  the  full  amount
          required to be so withheld or deducted;

                  (ii) promptly forward to the Administrative  Agent an official
         receipt or other documentation satisfactory to the Administrative Agent
         evidencing such payment to such authority; and

                  (iii) pay to the  Administrative  Agent for the account of the
         Lenders (or, if applicable, for its own account) such additional amount
         or  amounts as is  necessary  to ensure  that the net  amount  actually
         received  by each  Lender and the  Administrative  Agent will equal the
         full amount such Lender or the Administrative Agent, as the case may be

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         would have received had no such withholding or deduction been required;
         provided,  however,  that the Borrowers shall be entitled to deduct and
         withhold  any  Taxes and shall not be  required  to  increase  any such
         amounts  payable  pursuant to this clause  (iii) to the  Administrative
         Agent for the  account of any Lender (or,  if  applicable,  for its own
         account)  to the  extent  such  Taxes  are  imposed  as a result of the
         failure of such Lender or, as applicable,  the Administrative  Agent to
         comply with the requirements of clause (b) of this Section 5.6.

Moreover, if any Taxes are directly asserted against the Administrative Agent or
any Lender with respect to any payment received by the  Administrative  Agent or
such  Lender  hereunder,  the  Administrative  Agent or such Lender may pay such
Taxes and promptly  notify the Borrower of the nature and amount of such payment
and such Borrower  will  promptly pay such  additional  amounts  (including  any
penalties,  interest or  expenses)  as is necessary in order that the net amount
received by such person after the payment of such Taxes  (including any Taxes on
such  additional  amount) shall equal the amount such person would have received
had no such Taxes been asserted, provided, however, that the Borrowers shall not
be  required to pay any  additional  amounts  pursuant  to this  sentence to the
Administrative  Agent for the account of any Lender (or, if applicable,  for its
own account), or to any Lender, to the extent such Taxes are imposed as a result
of the failure of such Lender or, as  applicable,  the  Administrative  Agent to
comply with the requirements of clause (b) of this Section 5.6.

         If any  Borrower  fails to pay any  Taxes  when due to the  appropriate
taxing authority or fails to remit to the Administrative  Agent, for the account
of the respective Lenders,  the required receipts or other required  documentary
evidence,  such Borrower shall indemnify the Lenders for any incremental  Taxes,
interest or penalties  that may become  payable by any Lender as a result of any
such failure. For purposes of this Section 5.6, a distribution  hereunder by the
Administrative  Agent or any Lender to or for the account of any Lender shall be
deemed a payment by such Borrower.

                  (b) Each Lender that is not incorporated under the laws of the
United  States (or any State  thereof or the District of  Columbia)  and, if the
Administrative Agent is not incorporated under the laws of the United States (or
any State thereof or the District of Columbia), the Administrative Agent shall:

                  (X)(i) on or before the date of any  payment  by any  Borrower
         under  this  Agreement,  any Notes or any other Loan  Document  for the
         account  of such  Lender or the  Administrative  Agent,  deliver to the
         Borrowers and the Administrative Agent (A) two duly completed copies of
         United  States  Internal  Revenue  Service  Form  W-8BEN or W-8ECI,  or
         successor applicable form, as the case may be, and such other forms and
         certifications  as may reasonably be required under  applicable law, in
         order to  establish  that as of the date  thereof  such  Lender  or the
         Administrative  Agent,  as the case may be, is  entitled to receive all
         payments  under this  Agreement,  any Notes or any other Loan  Document
         without  deduction or  withholding  of any United States federal income
         taxes

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         and (B) an Internal  Revenue  Service  Form W-8BEN or W-9, or successor
         applicable form, as the case may be, certifying that such Lender or the
         Administrative  Agent,  as the case may be, is entitled to an exemption
         from United States backup withholding taxes;

                  (ii) deliver to the Borrowers and the Administrative Agent two
         further  copies of any such  form on or  before  the date that any such
         form expires or becomes  obsolete and after the occurrence of any event
         requiring a change in the most recent form  previously  delivered by it
         to the Borrowers and Administrative Agent; and

                  (iii) if necessary,  obtain,  at the expense of the Borrowers,
         such extensions of time for delivery of such forms as may reasonably be
         requested by the Borrowers; or

                  (Y) in the case of any such Lender that is not a "bank" within
         the  meaning of Section  881(c)(3)(A)  of the Code,  (i) furnish to the
         Borrowers on or before the date of any payment by any Borrower,  with a
         copy to the  Administrative  Agent, (A) a certificate  substantially in
         the form of  Exhibit M (any such  certificate  a "U.S.  Tax  Compliance
         Certificate"),  (B) two accurate and complete original signed copies of
         Internal  Revenue  Service Form W-8BEN,  or successor  applicable  form
         certifying to such Lender's  entitlement as of the date of such form to
         the exemption  under Section  881(c) of the Code from U.S.  withholding
         tax on  payments  of interest  under this  Agreement,  any Notes or any
         other  Loan   Document   (and   deliver  to  the   Borrowers   and  the
         Administrative  Agent two further  copies of such form on or before the
         date the most recently  delivered form expires or becomes  obsolete and
         after  the  occurrence  of any  event  requiring  a change  in the most
         recently  delivered form and, if necessary,  obtain,  at the expense of
         the  Borrowers,  any  extensions  of time  reasonably  requested by the
         Borrowers  for the  delivery of such  forms),  and (C) in the case of a
         Lender that is entitled to receive  payments under this Agreement,  any
         Notes or any other Loan Documents other than payments of interest,  two
         accurate  and  complete  original  signed  copies of  Internal  Revenue
         Service Form W- 8BEN, or successor  applicable  form certifying to such
         Lender's  entitlement  as of the date of such form to receive  payments
         other than payments of interest under this Agreement,  any Notes or any
         other Loan  Documents  without  deduction or  withholding of any United
         States  federal  income  taxes (and  deliver to the  Borrowers  and the
         Administrative  Agent two further  copies of such form on or before the
         date the most recently  delivered form expires or becomes  obsolete and
         after  the  occurrence  of any  event  requiring  a change  in the most
         recently delivered form and, if necessary, obtain at the expense of the
         Borrowers, any extensions of time reasonably requested by the Borrowers
         for the  delivery  of such  forms);  and (ii)  agree,  upon  reasonable
         request  of  the  Borrowers,  to  provide  to  the  Borrowers  and  the
         Administrative  Agent  (for  the  benefit  of  the  Borrowers  and  the
         Administrative  Agent),  such other forms as may be reasonably required
         under  applicable  law in order to establish the legal  entitlement  of
         such Lender to an exemption  from  withholding of Taxes with respect to
         any  payments  under  this  Agreement,  any Notes  and any  other  Loan
         Document;

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unless in any such case any change in treaty, law or regulation or any change in
any  previously  published  ruling,  notice or other similar  official  Internal
Revenue Service interpretation of a treaty, law or regulation has occurred after
the date such Person becomes a Lender hereunder or the Administrative  Agent, as
the case may be, which renders all such forms inapplicable to such Lender or the
Administrative  Agent or which would  prevent such Lender or the  Administrative
Agent from duly  completing  and delivering any such form with respect to it and
such Lender or the Administrative Agent promptly so advises the Borrower and the
Administrative  Agent (in the case of a Lender) in  writing.  Each  Person  that
shall become a Lender or a Participant pursuant to Section 12.11 shall, upon the
effectiveness of the related transfer,  be required to provide all of the forms,
certifications and statements  required pursuant to this Section,  provided that
in the case of a Participant  the obligations of such  Participant,  pursuant to
this clause (b) shall be determined as if such  Participant were a Lender except
that such Participant shall furnish all such required forms,  certifications and
statements  to the Lender from which the related  participation  shall have been
purchased.  For  purposes of this  Section  5.6,  references  to a Lender  shall
include each Arranger and the Issuer.

         SECTION 5.7. Payments,  Computations,  etc. Unless otherwise  expressly
provided,  all payments by each Borrower pursuant to this Agreement,  the Notes,
each Letter of Credit or any other Loan Document  shall be made by such Borrower
to the Administrative  Agent for the pro rata account of the Lenders entitled to
receive  such  payment.   All  such   payments   required  to  be  made  to  the
Administrative  Agent shall be made, without setoff,  deduction or counterclaim,
not later than 1:00 p.m. (New York City, New York time) on the date due, in same
day or immediately  available funds, to such account as the Administrative Agent
shall specify from time to time by notice to the Borrowers. Funds received after
that time shall be deemed to have been received by the  Administrative  Agent on
the next succeeding Business Day. The Administrative  Agent shall promptly remit
in same day funds to each Lender its share, if any, of such payments received by
the Administrative Agent for the account of such Lender. All interest (including
interest  on  Eurodollar  Loans) and fees shall be  computed on the basis of the
actual  number of days  (including  the first  day but  excluding  the last day)
occurring  during the period for which such  interest  or fee is payable  over a
year  comprised  of 360 days (or,  in the case of interest on an ABR Loan (other
than when  calculated  with respect to the Federal Funds Rate),  365 days or, if
appropriate,  366 days).  Whenever any payment to be made shall otherwise be due
on a day which is not a Business  Day,  such payment  shall (except as otherwise
required by clause (c) of the  definition  of the term  "Interest  Period"  with
respect to  Eurodollar  Loans) be made on the next  succeeding  Business Day and
such extension of time shall be included in computing interest and fees, if any,
in connection with such payment.

         SECTION  5.8.  Sharing  of  Payments.  If any Lender  shall  obtain any
payment or other recovery  (whether  voluntary,  involuntary,  by application of
setoff or otherwise) on account of any Loan (other than pursuant to the terms of
Sections  5.3,  5.4,  5.5 and 5.6) or Letter of Credit in excess of its pro rata
share of payments then or therewith  obtained by all Lenders,  such Lender shall
purchase from the other Lenders such participations in Loans made by them and/or
Letters of Credit as shall be necessary to cause such purchasing Lender to share
the excess payment or

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<PAGE>

other recovery ratably with each of them; provided,  however, that if all or any
portion of the excess  payment or other  recovery is thereafter  recovered  from
such  purchasing  Lender,  the purchase shall be rescinded and each Lender which
has sold a participation to the purchasing  Lender shall repay to the purchasing
Lender the purchase price to the ratable  extent of such recovery  together with
an  amount  equal to such  selling  Lender's  ratable  share  (according  to the
proportion of

               (a) the amount of such selling Lender's required repayment to the
          purchasing Lender

to

                  (b)  the total amount so recovered from the purchasing Lender)

of any  interest  or other  amount paid or payable by the  purchasing  Lender in
respect of the total amount so recovered.  Each Borrower  agrees that any Lender
so purchasing a participation  from another Lender pursuant to this Section may,
to the  fullest  extent  permitted  by law,  exercise  all its rights of payment
(including  pursuant to Section 5.9) with respect to such participation as fully
as if such  Lender were the direct  creditor  of such  Borrower in the amount of
such  participation.  If under any  applicable  bankruptcy,  insolvency or other
similar  law, any Lender  receives a secured  claim in lieu of a setoff to which
this Section applies, such Lender shall, to the extent practicable, exercise its
rights in respect of such secured claim in a manner  consistent  with the rights
of the  Lenders  entitled  under this  Section to share in the  benefits  of any
recovery on such secured claim.

         SECTION 5.9.  Setoff.  Each Lender  shall,  upon the  occurrence of any
Event of Default  described in clauses (a) through (d) of Section 9.1.9 or, with
the consent of the Required  Lenders,  upon the occurrence of any other Event of
Default,  have  the  right  to  appropriate  and  apply  to the  payment  of the
Obligations (other than Liquidity  Obligations) owing to it (whether or not then
due), and (as security for such Obligations) each Borrower hereby grants to each
Lender  a  continuing  security  interest  in,  any and all  balances,  credits,
deposits, accounts or moneys of such Borrower then or thereafter maintained with
or otherwise held by such Lender; provided, however, that any such appropriation
and  application  shall be subject to the provisions of Section 5.8. Each Lender
agrees promptly to notify such Borrower and the  Administrative  Agent after any
such setoff and application  made by such Lender;  provided,  however,  that the
failure to give such  notice  shall not affect the  validity  of such setoff and
application.  The rights of each  Lender  under this  Section are in addition to
other rights and remedies (including other rights of setoff under applicable law
or otherwise) which such Lender may have.

         SECTION 5.10.  Replacement of Lender. Each Lender agrees that, upon the
occurrence  of any event set forth in Section 5.1,  5.3, or 5.5, or in the event
any Borrower is required to pay additional amounts in respect of amounts payable
hereunder  to such  Lender  pursuant  to  Section  5.6,  such  Lender  will  use
reasonable efforts to book and maintain its Loans through a different

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lending  office or to transfer  its Loans to an  Affiliate  which is an Eligible
Assignee with the objective of avoiding or minimizing the  consequences  of such
event;  provided that such booking or transfer is not otherwise  disadvantageous
to such Lender as determined by such Lender in its sole and absolute discretion.
If any Lender

                  (a) notifies the Borrowers  pursuant to Section 5.1 that it is
         unable to make,  continue or maintain  Eurodollar  Loans or convert any
         Base Rate  Loan into a  Eurodollar  Loan when a  majority  of the other
         Lenders have not given any such notice,

                  (b) has  demanded to be paid  additional  amounts  pursuant to
         Section 5.3, 5.5 or 5.6 and the payment of such additional amounts are,
         and are  likely to  continue  to be,  more  onerous  in the  reasonable
         judgment of the Borrowers than with respect to the other Lenders, or

                  (c) has  wrongfully  failed  to  fund  any  Loan  on the  date
         specified for the making  thereof and all of the other  Lenders  funded
         their portion of such Loan on such date,

then the  Borrowers  shall have the right at any time when no Default shall have
occurred and be  continuing  to seek one or more  Eligible  Assignees  (each,  a
"Replacement  Lender") to  purchase  the  outstanding  Loans of such Lender (the
"Affected  Lender"),  and if the  Borrowers  locate a  Replacement  Lender,  the
Affected Lender shall, upon

                  (i)  prior written notice to the Administrative Agent,

                  (ii) (A) payment to the Affected  Lender of the purchase price
         agreed  between  it  and  the  Replacement  Lender  (or,  failing  such
         agreement,  a purchase price in the amount of the outstanding principal
         amount of the Affected  Lender's Loans and accrued  interest thereon to
         the date of payment) by the Replacement  Lender plus (B) payment by the
         Borrowers of all amounts  (other than  principal and interest) then due
         to the  Affected  Lender or accrued for its account  hereunder or under
         any other Loan Document,

                    (iii)  satisfaction  of the  provisions set forth in Section
         12.11.1, and

                  (iv) payment by the  Borrower to the  Affected  Lender and the
         Administrative  Agent  of  all  reasonable  out-of-pocket  expenses  in
         connection   with  such   assignment  and  assumption   (including  the
         processing fees described in Section 12.11.1),

assign and delegate all its rights and obligations  under this Agreement and any
other Loan Document to which it is a party (including its outstanding  Loans and
participations in Letter of Credit  Outstandings) to the Replacement Lender, and
the Replacement  Lender shall assume such rights and obligations,  whereupon the
Replacement  Lender shall in accordance  with Section  12.11.1 become a party to
each Loan  Document to which the  Affected  Lender is a party and shall have the
rights and obligations of a Lender thereunder and the Affected Lender shall be

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<PAGE>

released  from its  obligations  hereunder  and each other Loan  Document to the
extent of such assignment and delegation.

                                                    ARTICLE VI

                                               CONDITIONS PRECEDENT

         SECTION 6.1.  [INTENTIONALLY OMITTED].

         SECTION 6.2. All Credit  Extensions.  The obligation of each Lender and
the Issuer to make any Credit Extension (including the initial Credit Extension)
shall be subject to the  satisfaction  of each of the  conditions  precedent set
forth in this Section 6.2.

         SECTION 6.2.1. Compliance with Warranties, No Default, etc. Both before
and after  giving  effect to any Credit  Extension  (but,  if any Default of the
nature  referred to in Section  9.1.5 shall have  occurred  with  respect to any
other  Indebtedness,  without  giving  effect to the  application,  directly  or
indirectly,  of the proceeds of any Credit Extension),  the following statements
shall be true and correct

                  (a) the  representations  and  warranties set forth in Article
         VII  (excluding,  however,  those contained in Section 7.7) and in each
         other Loan Document  shall,  in each case, be true and correct with the
         same  effect as if then  made  (unless  stated  to relate  solely to an
         earlier date, in which case such  representations  and warranties shall
         be true and correct as of such earlier date);

               (b) except as  disclosed  by any  Borrower to the  Administrative
          Agent, the Issuer and the Lenders pursuant to Section 7.7

                           (i) no labor controversy,  litigation, arbitration or
                  governmental  investigation  or proceeding shall be pending or
                  threatened  against such  Borrower or any of its  Subsidiaries
                  which could  reasonably  be expected to  materially  adversely
                  affect  the  consolidated  business,   property,   operations,
                  assets,  liabilities,  condition  (financial  or otherwise) or
                  prospects of the Parent and its Subsidiaries  taken as a whole
                  or  which  purports  to  affect  the  legality,   validity  or
                  enforceability of this Agreement,  the Notes or any other Loan
                  Document; and

                           (ii) no development  shall have occurred in any labor
                  controversy,    litigation,    arbitration   or   governmental
                  investigation or proceeding  disclosed pursuant to Section 7.7
                  which could  reasonably  be expected to  materially  adversely
                  affect  the  consolidated  business,   property,   operations,
                  assets,  liabilities,  condition  (financial  or otherwise) or
                  prospects of the Parent and its Subsidiaries taken as a whole;
                  and

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                  (c)  no Default shall have then occurred and be continuing.

         SECTION 6.2.2.  Credit  Request.  The  Administrative  Agent shall have
received a Borrowing Request or Issuance  Request,  as the case may be, for such
Credit  Extension.  Each of the  delivery of a Borrowing  Request or an Issuance
Request and the  acceptance  by any Borrower of the proceeds of the Borrowing or
the  issuance  of the  Letter of  Credit,  as  applicable,  shall  constitute  a
representation  and warranty by such Borrower that on the date of such Borrowing
(both  immediately  before and after  giving  effect to such  Borrowing  and the
application of the proceeds thereof) or the issuance of the Letter of Credit, as
applicable, the statements made in Section 6.2.1 are true and correct.

         SECTION 6.2.3.  Enhancement Letters of Credit. In the event such Credit
Extension is in respect of an  Enhancement  Letter of Credit,  the conditions to
such Credit Extension set forth in the Enhancement  Letter of Credit Application
and Agreement with respect to such Enhancement  Letter of Credit shall have been
satisfied.

         SECTION  6.2.4.  Satisfactory  Legal Form.  All  documents  executed or
submitted  pursuant  hereto  by or on  behalf  of  any  Borrower  or  any of its
Subsidiaries  or any other Obligor shall be reasonably  satisfactory in form and
substance to the Administrative  Agent and its counsel; the Administrative Agent
and its  counsel  shall have  received  all  information,  approvals,  opinions,
documents  or  instruments  as  the  Administrative  Agent  or its  counsel  may
reasonably request.

                                                    ARTICLE VII

                                          REPRESENTATIONS AND WARRANTIES

         In order to induce the Lenders, the Issuer and the Administrative Agent
to enter  into this  Agreement  and to make  Loans and issue  Letters  of Credit
hereunder,  each Borrower represents and warrants unto the Administrative Agent,
the Issuer and each Lender as set forth in this Article VII.

     SECTION 7.1. Organization, etc. Each Borrower and each of its Subsidiaries

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

                  (b) is duly  qualified to do business and is in good  standing
         as a foreign  corporation in each jurisdiction  where the nature of its
         business  requires  such  qualification,  except to the extent that the
         failure to so qualify has not had, and could not reasonably be expected
         to have, a material adverse effect on the business, property,

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<PAGE>

          operations, assets, liabilities, condition (financial or otherwise) or
          prospects of the Parent and its Subsidiaries taken as a whole,

                  (c) has full  power and  authority  and  holds  all  requisite
         governmental  licenses,  permits and other  approvals to enter into and
         perform its Obligations under this Agreement,  the Amendment Agreement,
         the Notes and each  other Loan  Document  to which it is a party and to
         own and hold  under  lease its  property  and to conduct  its  business
         substantially as currently conducted by it, and

                  (d) subject to Section  7.12,  has  complied  in all  material
         respects  with  all  material  laws,  rules,   regulations  and  orders
         applicable to it.

         SECTION 7.2. Due Authorization,  Non-Contravention, etc. The execution,
delivery and  performance  by each  Borrower of this  Agreement,  the  Amendment
Agreement,  the Notes and each other Loan Document executed or to be executed by
it, and the  execution,  delivery and  performance by each other Obligor of each
Loan Document executed or to be executed by it and each such Borrower's and each
such  other  Obligor's   participation  in  the  consummation  of  the  Original
Transaction,  the amendment and restatement of the Original Credit  Agreement in
the form  hereof  and the  other  transactions  contemplated  hereby  and by the
Amendment  Agreement  are within each such  Borrower's  and each such  Obligor's
corporate powers,  have been duly authorized by all necessary  corporate action,
and do not

                    (a)  contravene  such  Borrower's  or such  other  Obligor's
         Organic Documents;

                  (b) contravene any material  contractual  restriction,  law or
         governmental  regulation  or  court  decree  or  order  binding  on  or
         affecting such Borrower or such other Obligor; or

                  (c) result in, or require the creation or  imposition  of, any
         Lien (other than the Liens created under the Loan Documents in favor of
         the Administrative Agent for the benefit of the Secured Parties and the
         Liens  created  under the Chrysler  Credit  Support  Documents  for the
         benefit of  Chrysler) on any of such  Borrower or such other  Obligor's
         properties.

         SECTION 7.3.  Government  Approval,  Regulation,  etc. Other than those
authorizations,  approvals or other  actions by, and notices to or filings with,
any  governmental  authority or regulatory  body,  if any,  which have been duly
obtained or made and are in full force and effect,  no additional  authorization
or approval or other action by, and no additional  notice to or filing with, any
governmental  authority or  regulatory  body or other Person is required for the
due  execution,  delivery or performance by any Borrower or any other Obligor of
this Agreement, the Amendment Agreement, the Notes or any other Loan Document to
which it is a party,  or, except to the extent such failure to so obtain or make
such authorizations, approvals or other actions could not reasonably be expected
to have an adverse effect on the interests of the Lenders

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hereunder and under the other Loan Documents or a material adverse effect on the
business,  property,  operations,  assets, liabilities,  condition (financial or
otherwise)  or prospects of the Parent and its  Subsidiaries,  taken as a whole,
for  such  Borrower's  and  each  such  other  Obligor's  participation  in  the
consummation of the Original  Transaction,  the amendment and restatement of the
Original  Credit  Agreement  in the  form  hereof  and  the  other  transactions
contemplated hereby and by the Amendment  Agreement.  No Borrower nor any of its
Subsidiaries  is an  "investment  company"  within the meaning of the Investment
Company  Act of 1940,  as  amended,  or a "holding  company",  or a  "subsidiary
company" of a "holding company",  or an "affiliate" of a "holding company" or of
a "subsidiary company" of a "holding company",  within the meaning of the Public
Utility Holding Company Act of 1935, as amended.

         SECTION 7.4. Validity,  etc. This Agreement constitutes,  and the Notes
and  each  other  Loan  Document  executed  by each  Borrower  will,  on the due
execution  and  delivery  thereof,  constitute,  the  legal,  valid and  binding
obligations  of such Borrower,  enforceable  against such Borrower in accordance
with their respective  terms; and each Loan Document executed pursuant hereto by
each other  Obligor  will,  on the due  execution  and delivery  thereof by such
Obligor, be the legal, valid and binding obligation of such Obligor, enforceable
in  accordance  with its terms.  Each of the Loan  Documents  which  purports to
create a security  interest creates a valid first priority  security interest in
the Collateral (as defined in such Loan Document) subject thereto,  subject only
to Liens  permitted by Section  8.2.3,  securing the payment of the  Obligations
described therein.

         SECTION 7.5. Financial Information; Absence of Undisclosed Liabilities.
The financial statements of each Borrower and its Subsidiaries furnished to each
Agent and each  Lender  pursuant  to clauses  (a) and (b) of Section  3.7 of the
Amendment  Agreement  have been  prepared in accordance  with GAAP  consistently
applied,  and  present  fairly,  in  all  material  respects,  the  consolidated
financial  condition of the entities covered thereby as at the dates thereof and
the results of their  operations for the periods then ended.  Neither the Parent
nor any of its Subsidiaries had any material  liabilities (matured or unmatured,
fixed or  contingent)  that  were not fully  reflected  or  provided  for in the
financial statements delivered pursuant to clauses (a) and (b) of Section 3.7 of
the  Amendment  Agreement,  whether or not  required by GAAP to be shown in such
financial  statements,  except as set forth in Item 7.5  ("Liabilities")  of the
Disclosure   Schedule.   All  balance  sheets,  all  statements  of  operations,
shareholders'  equity and cash flow and all other financial  information of each
of the Parent  and its  Subsidiaries  furnished  pursuant  to Section  8.1.1 (or
Section 8.1.1 of the Original  Credit  Agreement) have been and will for periods
following  the  Amendment  Effective  Date be prepared in  accordance  with GAAP
consistently  applied,  and do or will present fairly, in all material respects,
the consolidated  financial  condition of the entities covered thereby as at the
dates thereof and the results of their operations for the periods then ended.

         SECTION  7.6. No Material  Adverse  Change.  There has been no material
adverse  change in the  business,  property,  operations,  assets,  liabilities,
condition   (financial  or  otherwise)  or  prospects  of  the  Parent  and  its
Subsidiaries, taken as a whole, since December 31, 1999.

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         SECTION 7.7. Litigation, Labor Controversies,  etc. There is no pending
or,  to the best  knowledge  of any  Borrower,  threatened  litigation,  action,
proceeding,   or  labor  controversy  affecting  any  Borrower  or  any  of  its
Subsidiaries,  or any of their  respective  properties,  businesses,  assets  or
revenues,  which  may  materially  adversely  affect  the  business,   property,
operations, assets, liabilities, condition (financial or otherwise) or prospects
of the Parent  and its  Subsidiaries,  taken as a whole,  or which  purports  to
affect the legality, validity or enforceability of this Agreement, the Amendment
Agreement, the Notes or any other Loan Document, except as disclosed in Item 7.7
("Litigation") of the Disclosure Schedule.

         The  consummation  of the  amendment  and  restatement  of the Original
Credit  Agreement  in  the  form  hereof  or  any  of  the  other   transactions
contemplated  hereby or by the Amendment Agreement will not give rise to a right
of  termination  or right of  renegotiation  on the part of any union  under any
collective  bargaining  agreement to which any Obligor (or any predecessor) is a
party or by which the Parent or any of its  Subsidiaries (or any predecessor) is
bound.

     SECTION 7.8. Subsidiaries. (a) The Parent has no direct Subsidiaries on the
date hereof,  except as set forth in Item 7.8(a) ("Existing  Subsidiaries of the
Parent") of the Disclosure Schedule.

         (b) Dollar has no Subsidiaries, except those Subsidiaries (i) which are
identified in Item 7.8(b) ("Existing  Subsidiaries of Dollar") of the Disclosure
Schedule by their correct legal name, their jurisdiction of organization and the
holders (and their respective percentage ownership) of the Capital Stock thereof
or (ii) which are  permitted to have been  acquired in  accordance  with Section
8.2.5 or 8.2.10.

         (c)  Thrifty   Holdco  has  no  direct   Subsidiaries,   except   those
Subsidiaries (i) which are identified in Item 7.8(c) ("Existing  Subsidiaries of
Thrifty  Holdco") of the Disclosure  Schedule by their correct legal name, their
jurisdiction of organization  and the holders (and their  respective  percentage
ownership) of the Capital Stock thereof or (ii) which are permitted to have been
acquired in accordance with Section 8.2.5 or 8.2.10.

         (d) Thrifty has no  Subsidiaries,  except those  Subsidiaries (i) which
are  identified  in Item 7.8(d)  ("Existing  Subsidiaries  of  Thrifty")  of the
Disclosure   Schedule  by  their  correct  legal  name,  their  jurisdiction  of
organization and the holders (and their respective  percentage ownership of) the
Capital  Stock  thereof or (ii) which are  permitted  to have been  acquired  in
accordance with Section 8.2.5 or 8.2.10.

         (e) Thrifty Car Sales has no  Subsidiaries,  except those  Subsidiaries
which are permitted to have been  acquired in  accordance  with Section 8.2.5 or
8.2.10.

         SECTION 7.9.  Ownership of Properties.  Except as permitted pursuant to
Section 7.13 or Section 8.2.3,  each Borrower and each of its Subsidiaries  owns
(i) in the case of owned real  property,  good and  marketable fee title to, and
(ii) in the case of owned personal property, good

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and valid title to, or, in the case of leased real or personal  property,  valid
and  enforceable  leasehold  interests  (as the  case  may  be)  in,  all of its
properties and assets, real and personal, tangible and intangible, of any nature
whatsoever,  to the extent  reflected on the  financial  statements  dated as of
March 31, 2000, or if later, the last day of the most recently  completed Fiscal
Quarter with respect to which,  pursuant to Section  8.1.1 (or Section  8.1.1 of
the Original Credit Agreement),  financial statements have been delivered by the
Parent to the Administrative  Agent, free and clear in each case of all Liens or
claims,  except for Liens permitted pursuant to Section 8.2.3. The real property
described in Schedule III constitutes  each of the real estate owned in fee by a
Borrower or any of its  Subsidiaries on the date hereof (other than the Excluded
Property)  having  a net  book  value of at least  $1,000,000.  All  other  real
property  owned  in fee by a  Borrower  or any of its  Subsidiaries  on the date
hereof  (other  than  the  Excluded  Property)  which  is not set  forth on such
Schedule  III  does  not  in  the  aggregate  have a net  book  value  exceeding
$5,000,000.

         SECTION 7.10.  Taxes.  Each Borrower and each of its  Subsidiaries  has
filed all material tax returns and reports required by law to have been filed by
it and has paid all taxes and  governmental  charges thereby shown to be due and
owing, except any such taxes or charges which are being diligently  contested in
good  faith by  appropriate  proceedings  and for  which  adequate  reserves  in
accordance with GAAP shall have been set aside on its books.

         SECTION    7.11.    Pension    and    Welfare    Plans.    During   the
twelve-consecutive-month  period prior to the Amendment Effective Date and prior
to the date of any Credit Extension  hereunder,  (i) no steps have been taken to
terminate any Pension Plan, and (ii) no  contribution  failure has occurred with
respect to any  Pension  Plan  sufficient  to give rise to a Lien under  section
302(f) of ERISA,  which in the case of any of the events described in clause (i)
or (ii) above could  reasonably  be  expected  to result in a  liability  of the
Parent and its  Subsidiaries  in excess of  $1,000,000.  No condition  exists or
event or  transaction  has occurred with respect to any Pension Plan which might
result in the incurrence by any Borrower or any member of the  Controlled  Group
of any liability,  fine or penalty that, in the aggregate,  exceeds  $1,000,000.
Except as disclosed in Item 7.11  ("Employee  Benefit  Plans") of the Disclosure
Schedule,  no Borrower nor any member of the Controlled Group has any contingent
liability  with respect to any  post-retirement  benefit  under a Welfare  Plan,
other than liability for continuation coverage described in Part 6 of Title I of
ERISA.

         SECTION  7.12.  Environmental  Warranties.  Except as set forth in Item
7.12  ("Environmental  Matters") of the Disclosure Schedule (none of which items
disclosed  therein,  singly or in the  aggregate,  have,  or may  reasonably  be
expected  to  have,  a  material  adverse  effect  on  the  business,  property,
operations, assets, liabilities, condition (financial or otherwise) or prospects
of the Parent and its Subsidiaries, taken as a whole),

                  (a)  all   facilities  and  property   (including   underlying
         groundwater) owned or leased by any Borrower or any of its Subsidiaries
         have been, and continue to be, owned or leased

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         by such Borrower and such  Subsidiary,  as the case may be, in material
         compliance with all Environmental  Laws and in accordance with industry
         practices;

                  (b)  there  have  been no  past,  and there are no pending  or
          threatened

                           (i)  claims,  complaints,  notices  or  requests  for
                  information   received   by  any   Borrower   or  any  of  its
                  Subsidiaries  with  respect to any  alleged  violation  of any
                  Environmental  Law,  which,  if true  would,  singly or in the
                  aggregate,  result in a liability of more than  $2,500,000  to
                  the Parent and/or any of its Subsidiaries, or

                           (ii) complaints, notices or inquiries to any Borrower
                  or any  of its  respective  Subsidiaries  regarding  potential
                  liability under any  Environmental  Law, which, if true would,
                  singly or in the aggregate, result in a liability of more than
                  $2,500,000 to the Parent and/or any of its Subsidiaries;

                  (c) there have been no Releases of Hazardous  Materials at, on
         or under any property now or previously owned or leased by any Borrower
         or any of its Subsidiaries  that, singly or in the aggregate,  have, or
         may  reasonably be expected to have, a material  adverse  effect on the
         business,   property,   operations,   assets,  liabilities,   condition
         (financial   or   otherwise)   or  prospects  of  the  Parent  and  its
         Subsidiaries, taken as a whole;

                  (d) each  Borrower  and  each of its  Subsidiaries  have  been
         issued and are in material  compliance with all permits,  certificates,
         approvals,  licenses and other authorizations relating to environmental
         matters and necessary or desirable for their businesses;

                  (e) no  property  now or  previously  owned or  leased  by any
         Borrower or any of its  Subsidiaries  is listed or proposed for listing
         (with respect to owned property only) on the National  Priorities  List
         pursuant  to CERCLA,  on the  CERCLIS or on any  similar  state list of
         sites requiring investigation or clean-up;

                  (f)  there  are  no  underground   storage  tanks,  active  or
         abandoned,  including petroleum storage tanks, on or under any property
         now  or  previously  owned  or  leased  by any  Borrower  or any of its
         Subsidiaries that, singly or in the aggregate,  have, or may reasonably
         be  expected  to have,  a  material  adverse  effect  on the  business,
         property,  operations,  assets,  liabilities,  condition  (financial or
         otherwise) or prospects of the Parent and its Subsidiaries,  taken as a
         whole;

                  (g)  Borrower  nor  any  of  its   Subsidiaries  has  directly
         transported  or  directly  arranged  for  the   transportation  of  any
         Hazardous  Material to any  location  which is listed or  proposed  for
         listing on the  National  Priorities  List  pursuant to CERCLA,  on the
         CERCLIS  or on any  similar  state  list or  which  is the  subject  of
         federal,  state or local  enforcement  actions or other  investigations
         which may lead to material claims against

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<PAGE>

         such Borrower or such Subsidiary  thereof for any remedial work, damage
         to natural resources or personal injury, including claims under CERCLA;

                  (h) no Borrower nor any of its  Subsidiaries  has entered into
         any  agreements  or engaged in any  activities  that,  singly or in the
         aggregate,  would give rise to liability  under any  Environmental  Law
         with regard to acts,  omissions or  conditions of property of any third
         party,  including  any  franchisee  of  any  Borrower  or  any  of  its
         Subsidiaries  or  that,  singly  or in  the  aggregate,  have,  or  may
         reasonably  be  expected  to have,  a  material  adverse  effect on the
         business,   property,   operations,   assets,  liabilities,   condition
         (financial   or   otherwise)   or  prospects  of  the  Parent  and  its
         Subsidiaries, taken as a whole;

                  (i) there are no polychlorinated biphenyls or friable asbestos
         present  at any  property  now or  previously  owned or  leased  by any
         Borrower or any of its Subsidiaries  that,  singly or in the aggregate,
         have, or may reasonably be expected to have, a material  adverse effect
         on the business, property, operations,  assets, liabilities,  condition
         (financial   or   otherwise)   or  prospects  of  the  Parent  and  its
         Subsidiaries, taken as a whole; and

                  (j) no  conditions  exist at, on or under any  property now or
         previously  owned or leased by the  Parent or any of its  Subsidiaries,
         which, with the passage of time, or the giving of notice or both, would
         give rise to liability under any  Environmental  Law that, singly or in
         the  aggregate,  has, or may reasonably be expected to have, a material
         adverse  effect  on  the  business,   property,   operations,   assets,
         liabilities,  condition  (financial  or  otherwise) or prospects of the
         Parent and its Subsidiaries, taken as a whole.

         SECTION  7.13.  Intellectual  Property.  Each  Borrower and each of its
Subsidiaries  owns  and  possesses  or  licenses  (as the  case may be) all such
patents,  patent rights,  trademarks,  trademark rights, trade names, trade name
rights,  service  marks,  service mark rights and  copyrights  as such  Borrower
considers  necessary for the conduct of the  businesses of such Borrower and its
Subsidiaries as now conducted  without,  individually  or in the aggregate,  any
infringement  upon  rights of other  Persons,  in each case  except as could not
reasonably be expected to result in a material  adverse  effect on the business,
property, operations, assets, liabilities, condition (financial or otherwise) or
prospects of the Parent and its Subsidiaries,  taken as a whole, and there is no
individual patent, patent right,  trademark,  trademark right, trade name, trade
name right,  service  mark,  service mark right or  copyright  the loss of which
could  reasonably  be  expected  to result in a material  adverse  change in the
business,  property,  operations,  assets, liabilities,  condition (financial or
otherwise)  or prospects of the Parent and its  Subsidiaries,  taken as a whole,
except  as may be  disclosed  in  Item  7.13  ("Intellectual  Property")  of the
Disclosure Schedule.

     SECTION 7.14.  Regulations U and X. No Borrower nor any of its Subsidiaries
is engaged in the business of extending  credit for the purpose of purchasing or
carrying margin stock, and no proceeds of any Credit  Extensions will be used to
purchase or carry margin stock or otherwise  for a purpose  which  violates,  or
would be inconsistent with, F.R.S. Board Regulation

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<PAGE>

U or X. Terms for which meanings are provided in F.R.S.  Board Regulation U or X
or any regulations  substituted  therefor,  as from time to time in effect,  are
used in this Section with such meanings.

         SECTION 7.15.  Accuracy of  Information.  All  information  (other than
financial  statements  and financial  and business  projections  and  forecasts)
heretofore or contemporaneously furnished by or on behalf of any Borrower or any
of their  respective  Subsidiaries  in writing  to any Agent,  the Issuer or any
Lender for  purposes of or in  connection  with this  Agreement,  the  Amendment
Agreement,  the Original Credit Agreement or any transaction contemplated hereby
or  thereby  (including  the  Original  Transaction),  is, and all of other such
information  hereafter furnished by or on behalf of any Borrower or any of their
respective Subsidiaries to any Agent, the Issuer or any Lender will be, true and
accurate in every material  respect on the date as of which such  information is
dated or certified and as of the Amendment  Effective Date, and such information
is not, or shall not be, as the case may be, incomplete by omitting to state any
material fact necessary to make such  information  not materially  misleading in
light of the  circumstances  under which such  information  was  furnished.  All
financial and business projections and forecasts heretofore or contemporaneously
furnished by or on behalf of any Borrower or any of its  Subsidiaries in writing
to any Agent,  the Issuer or any Lender for  purposes of or in  connection  with
this Agreement,  the Amendment  Agreement,  the Original Credit Agreement or any
transaction  contemplated hereby or thereby (including the Original Transaction)
have been,  and all of the  financial  and business  projections  and  forecasts
hereafter  furnished by or on behalf of any Borrower or any of its  Subsidiaries
in writing to any Agent, the Issuer or any Lender will be prepared in good faith
based upon assumptions which the Borrowers believe to be reasonable.

         SECTION 7.16. Original Transaction  Documents.  (a) As of the Amendment
Effective   Date,   each   of  the   Chrysler-Dollar   Supply   Agreement,   the
Chrysler-Thrifty  Supply  Agreement  and the  Continuing  Chrysler  Arrangements
(including the Chrysler Credit Support Agreement and the Tax Sharing  Agreement)
has been duly executed and  delivered by each of the parties  thereto and except
in the case of the replacement of the  Chrysler-Dollar  Supply Agreement and the
Chrysler-  Thrifty Supply Agreement  specifically  referred to in the definition
thereof,  is in full force and effect  without  the  existence  of any  material
default thereunder.

         (b) From and after July 1, 2001, the replacement of the Chrysler-Dollar
Supply Agreement and the Chrysler-Thrifty Supply Agreement specifically referred
to in the  definition  thereof is in full force and effect without the existence
of any material default thereunder.

     SECTION 7.17. Non-Guarantor  Subsidiaries.  (a) Each Domestic Subsidiary of
the Parent (other than Dollar, Thrifty and any SPC) that

                  (i) accounted for more than 1 1/2% of consolidated revenues of
         the Parent and its  Subsidiaries or 1 1/2% of consolidated net earnings
         of the  Parent  and  its  Subsidiaries,  in  each  case  for  the  four
         consecutive Fiscal Quarters of the Parent ending on March 31,

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<PAGE>

         2000, or, if later, the last day of the most recently  completed Fiscal
         Quarter  with respect to which,  pursuant to Section  8.1.1 (or Section
         8.1.1 of the Original  Credit  Agreement),  financial  statements  have
         been,  or are  required  to have been,  delivered  by the Parent to the
         Administrative Agent, or

                  (ii)  has  assets  which  represent  more  than 1 1/2%  of the
         consolidated  assets of the Parent and its Subsidiaries as of March 31,
         2000, or, if later, the last day of the last Fiscal Quarter of the most
         recently  completed  Fiscal Quarter with respect to which,  pursuant to
         Section  8.1.1 (or Section  8.1.1 of the  Original  Credit  Agreement),
         financial statements have been, or are required to have been, delivered
         by the Parent to the Administrative Agent,

is a party to the Subsidiary Guaranty.

         (b) There  are no  Domestic  Subsidiaries  of the  Parent  that are not
Subsidiary Borrowers or Subsidiary Guarantors and that, when taken together with
all other  Subsidiaries  of the  Parent  that are not  Subsidiary  Borrowers  or
Subsidiary Guarantors,

                  (i)  account  in  the  aggregate  for  more  than  2  1/2%  of
         consolidated  revenues of the Parent and its  Subsidiaries or 2 1/2% of
         consolidated net earnings of the Parent and its  Subsidiaries,  in each
         case for the four  consecutive  Fiscal Quarters of the Parent ending on
         March  31,  2000,  or,  if  later,  the last  day of the most  recently
         completed  Fiscal  Quarter with  respect to which,  pursuant to Section
         8.1.1 (or Section 8.1.1 of the Original  Credit  Agreement),  financial
         statements  have been,  or are required to have been,  delivered by the
         Parent to the Administrative Agent, or

                  (ii)  have  assets  which  represent  more  than 2 1/2% of the
         consolidated  assets of the Parent and its Subsidiaries as of March 31,
         2000, or, if later, the last day of the last Fiscal Quarter of the most
         recently  completed  Fiscal Quarter with respect to which,  pursuant to
         Section  8.1.1 (or Section  8.1.1 of the  Original  Credit  Agreement),
         financial statements have been, or are required to have been, delivered
         by the Parent to the Administrative Agent.

         SECTION 7.18. Non-Impairment, etc. After giving effect to the Amendment
Agreement,  neither the  modification  and  restatement  of the Original  Credit
Agreement or any other Original Loan Document effected pursuant to the Amendment
Agreement nor the  execution,  delivery,  performance  or  effectiveness  of the
Amendment  Agreement,  this  Agreement  or any other Loan  Document  impairs the
validity,  effectiveness or priority of the Liens granted pursuant to the Pledge
Agreement and the Security  Agreement (as such terms are defined in the Original
Credit Agreement and as in effect  immediately prior to the Amendment  Effective
Date, the "Original  Security  Documents"),  and such Liens continue  unimpaired
with  the  same  priority  to  secure  repayment  of  all  Obligations,  whether
heretofore or hereafter  incurred.  Neither the  modification and restatement of
the Original Credit Agreement or the other Original Loan

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<PAGE>

Documents  effected  pursuant  to the  Amendment  Agreement  nor the  execution,
delivery,   performance  or  effectiveness  of  the  Amendment  Agreement,  this
Agreement or any other Loan  Document  requires  that any new filings be made or
other action taken to perfect or to maintain the perfection of such Liens. Under
the foregoing  circumstances,  the position of the Administrative  Agent and the
Lenders with respect to such Liens,  the  Collateral (as defined in the Original
Security  Documents)  in which a security  interest was granted  pursuant to the
Original  Security  Documents,  and the ability of the  Administrative  Agent to
realize upon such Liens pursuant to the terms of the Security  Agreement and the
Pledge Agreement have not been adversely affected in any material respect by the
modification  of the  Original  Credit  Agreement  or any  other  Original  Loan
Documents  effected  pursuant to the  Amendment  Agreement or by the  execution,
delivery,   performance  or  effectiveness  of  the  Amendment  Agreement,  this
Agreement or any other Loan Document.

                                                   ARTICLE VIII

                                                     COVENANTS

         SECTION 8.1.  Affirmative  Covenants.  Each  Borrower  agrees with each
Agent,  the Issuer and each Lender that,  until all Commitments have terminated,
all Letters of Credit shall have terminated or expired and all Obligations  have
been paid and performed in full,  such Borrower will perform the obligations set
forth in this Section 8.1.

         SECTION  8.1.1.  Financial  Information,  Reports,  Notices,  etc. Each
Borrower will furnish, or will cause to be furnished, to each Lender, the Issuer
and the  Administrative  Agent  copies of the  following  financial  statements,
reports, notices and information:

                  (a) as soon as available and in any event within 45 days after
         the end of each of the first three Fiscal  Quarters of each Fiscal Year
         of the Parent,  (i) a consolidated  balance sheet of the Parent and its
         Subsidiaries,   as  of  the  end  of  such  Fiscal   Quarter  and  (ii)
         consolidated  statements of operations  and cash flow of the Parent and
         its Subsidiaries for such Fiscal Quarter and for the period  commencing
         at the end of the previous  Fiscal Year and ending with the end of such
         Fiscal  Quarter,  and, in each case,  certified by the chief  financial
         Authorized Officer of the Parent;

                  (b) as soon as available and in any event within 90 days after
         the end of each  Fiscal  Year of the  Parent,  (i) a copy of the annual
         audit report for such Fiscal Year for the Parent and its  Subsidiaries,
         including  therein a  consolidated  balance sheet of the Parent and its
         Subsidiaries  and a  consolidating  balance sheet of the Parent and its
         direct Subsidiaries, in each case as of the end of such Fiscal Year and
         consolidated  statements of operations  and cash flow of the Parent and
         its  Subsidiaries and  consolidating  statements of operations and cash
         flow of the Parent and its direct  Subsidiaries,  in each case for such
         Fiscal  Year,  in  each  case  certified   (without  any  Impermissible
         Qualification)

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<PAGE>

         in a manner  acceptable  to the  Administrative  Agent and the Required
         Lenders by Deloitte & Touche or other nationally recognized independent
         public  accountants  acceptable  to the  Administrative  Agent  and the
         Required  Lenders,   together  with  a  report  from  such  accountants
         containing  a  computation   of  each  of  the  financial   ratios  and
         restrictions  contained  in Section  8.2.4 and to the effect  that,  in
         making the examination  necessary for the signing of such annual report
         by such accountants, they have not become aware of any Default that has
         occurred  and is  continuing,  or,  if they have  become  aware of such
         Default,  describing such Default and the steps, if any, being taken to
         cure it; and (ii) to the extent  prepared for any other  Person,  (A) a
         copy of the annual audit report for such Fiscal Year for Dollar and its
         Subsidiaries,  including therein a consolidated balance sheet of Dollar
         and  its  Subsidiaries,   as  of  the  end  of  such  Fiscal  Year  and
         consolidated  statements of operations  and cash flow of Dollar and its
         Subsidiaries  for such Fiscal Year,  and (B) a copy of the annual audit
         report for such  Fiscal Year for  Thrifty  Holdco and its  Subsidiaries
         including  therein a  consolidated  balance sheet of Thrifty Holdco and
         its  Subsidiaries  as of the end of such Fiscal  Year and  consolidated
         statements  of  operations  and cash  flow of  Thrifty  Holdco  and its
         Subsidiaries for such Fiscal Year, in each case certified  (without any
         Impermissible   Qualification)   in  a   manner   acceptable   to   the
         Administrative  Agent and the Required  Lenders by Deloitte & Touche or
         other nationally recognized  independent public accountants  acceptable
         to the Administrative Agent and the Required Lenders;

                  (c) as soon as available and in any event within 45 days after
         the end of the first three  Fiscal  Quarters of each Fiscal Year of the
         Parent and within 90 days after the end of the last  Fiscal  Quarter of
         each Fiscal Year of the Parent, a Compliance  Certificate,  executed by
         the chief financial  Authorized Officer of the Parent,  showing,  among
         other things,  (in reasonable detail and with appropriate  calculations
         and  computations in all respects  satisfactory  to the  Administrative
         Agent)  compliance  with the  financial  covenants set forth in Section
         8.2.4;

                  (d) as soon as possible and in any event within three Business
         Days after the  occurrence  of each  Default,  a statement of the chief
         financial  Authorized  Officer of the Parent  setting  forth details of
         such Default and the action which the Parent or any other  Borrower has
         taken and proposes to take with respect thereto;

                  (e) as soon as possible and in any event within three Business
         Days after (x) the occurrence of any adverse  development  with respect
         to any litigation,  action, proceeding or labor controversy of the type
         that would be required to be  described  in Item 7.7 of the  Disclosure
         Schedule or (y) the commencement of any labor controversy,  litigation,
         action or  proceeding  of the type  required to be described in Section
         7.7, notice thereof and copies of all documentation relating thereto;

                  (f) promptly  after the sending or filing  thereof,  copies of
         all reports which the Parent sends to any of its  securityholders,  and
         all reports and registration statements

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<PAGE>

         which the Parent or any of its Subsidiaries files with  the SEC or  any
         national securities exchange;

                  (g) as soon as possible and in any event within three Business
         Days after becoming aware of the institution of any steps by a Borrower
         or any other Person to terminate  any Pension  Plan,  or the failure to
         make a required  contribution  to any Pension  Plan if such  failure is
         sufficient to give rise to a Lien under section 302(f) of ERISA, or the
         taking of any  action  with  respect  to a  Pension  Plan  which  could
         reasonably be expected to result in the requirement  that such Borrower
         or any of  their  respective  Subsidiaries  furnish  a  bond  or  other
         security to the PBGC or such Pension  Plan,  or the  occurrence  of any
         event  with  respect to any  Pension  Plan which  could  reasonably  be
         expected  to result in the  incurrence  by a Borrower  of any  material
         liability,  fine or penalty, or any material increase in the contingent
         liability of such Borrower with respect to any post-retirement  Welfare
         Plan benefit,  notice thereof and copies of all documentation  relating
         thereto;

                  (h) as soon as  available  and in any  event no later  than 30
         days after the first day of each Fiscal  Year of the Parent,  an annual
         budget,  prepared on a monthly basis for such Fiscal Year of the Parent
         containing (i)(A) a consolidated projected balance sheet of each of the
         Parent and its Subsidiaries,  Dollar and its Subsidiaries,  and Thrifty
         Holdco  and its  Subsidiaries,  prepared  on a  monthly  basis for such
         Fiscal Year,  and (B) a  consolidating  projected  balance sheet of the
         Parent and its direct  Subsidiaries,  prepared  on an annual  basis for
         such Fiscal Year, and (ii)(A) consolidated statements of operations and
         cash flow of each of the  Parent and its  Subsidiaries,  Dollar and its
         Subsidiaries  and Thrifty  Holdco and its  Subsidiaries,  prepared on a
         monthly basis for such Fiscal Year, and (B) consolidating statements of
         operations  and cash flow of the Parent  and its  direct  Subsidiaries,
         prepared on an annual basis for such Fiscal Year;

                  (i) concurrently with the delivery of the financial statements
         described in clause (b) of this Section 8.1.1, a narrative explanation,
         in the form  customarily  provided  to the  Board of  Directors  of the
         Parent, of any material variance from the budget of the Parent for such
         Fiscal Year that is reflected in such financial statements,  unless the
         Parent has timely filed with the SEC an annual  report on Form 10-K, in
         which case  delivery of such annual  report to each Lender,  the Issuer
         and the  Administrative  Agent shall satisfy the  requirements  of this
         clause (i);

                  (j) as soon as possible and in any event within ten days after
         the delivery  thereof,  copies of all notices,  agreements or documents
         delivered  pursuant to any  agreement  for  borrowed  money (other than
         agreements  with  respect to  Vehicle  Debt) to which the Parent or any
         Subsidiary  of  the  Parent  is  a  party  and  with  a  commitment  or
         outstandings exceeding $5,000,000,  except for such notices, agreements
         or documents (i)  delivered  pursuant to the terms hereof or (ii) which
         are delivered in the ordinary  course of each such  agreement  (such as
         borrowing requests, letter of credit requests and the like);

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         provided,  however,  that the  Borrowers  shall have  complied with the
         requirements  of  this  clause  (j)  if  such  notices,  agreements  or
         documents have been either (x) furnished to the Administrative Agent or
         (y) publicly filed with the SEC and the  Administrative  Agent has been
         notified of such filing of such notices, agreements or documents;

                  (k) on or  within  30  days  prior  to  October  23,  2002,  a
         certificate from an Authorized Officer of the Parent,  dated as of such
         date, in which  certificate such Authorized  Officer shall certify that
         all   actions   necessary   for  the   continued   perfection   of  the
         Administrative Agent's Liens on all Collateral (as defined in each Loan
         Document) for the period from the fifth anniversary of the Closing Date
         until  the  Stated  Maturity  Date  have  been  taken   (including  all
         recordings,  registerings, filings, re-recordings, re- registerings and
         refilings of all financing statements, continuation statements or other
         instruments  of  further  assurance  as is  necessary  to  ensure  such
         continued   perfection),   together   with,   if   requested   by   the
         Administrative  Agent,  opinion(s) of counsel reasonably  acceptable to
         the Administrative  Agent stating that, in the opinion of such counsel,
         all   actions   necessary   for  the   continued   perfection   of  the
         Administrative Agent's Liens on such Collateral for the period from the
         fifth  anniversary  of the Closing Date until the Stated  Maturity Date
         have been taken and that no further  action (other than as specified in
         such opinion)  needs to be taken (under then current law) to ensure the
         continued perfection of such Liens during such period; and

                  (l)  such  other  information   respecting  the  condition  or
         operations,  financial  (including  consolidating  balance  sheets  and
         statements  of  operations  and cash flow of the  Parent and its direct
         Subsidiaries,  in each case,  as of the end of any Fiscal  Quarter)  or
         otherwise,  of any Borrower or any of their respective  Subsidiaries as
         any  Lender  through  the  Administrative  Agent  may from time to time
         reasonably request.

         SECTION 8.1.2.  Compliance with Laws,  Material  Agreements,  etc. Each
Borrower  will,  and will  cause  each of its  Subsidiaries  to,  comply  in all
material  respects  with all  material  laws,  rules,  regulations,  orders  and
agreements applicable to it, such compliance to include:

               (a) the maintenance and  preservation of its corporate  existence
          and qualification as a foreign corporation;

                  (b)  the  maintenance  and  preservation  of all  governmental
         licenses,  permits and other approvals  necessary for it to perform its
         obligations  under  this  Agreement,  the  Notes  and each  other  Loan
         Document  to which it is a party  and to own and hold  under  lease its
         property  and  to  conduct  its  business  substantially  as  currently
         conducted by it;

                  (c) the maintenance,  preservation and renewal of all material
         agreements necessary to conduct its business substantially as currently
         conducted by it (or the  substitution  for any such material  agreement
         with  a  similar  agreement),   including  the  Chrysler-Dollar  Supply
         Agreement and the Chrysler-Thrifty Supply Agreement; and

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                  (d) the  payment,  before the same become  delinquent,  of all
         taxes, assessments and governmental charges imposed upon it or upon its
         property except to the extent being diligently  contested in good faith
         by  appropriate   proceedings  and  for  which  adequate   reserves  in
         accordance with GAAP shall have been set aside on its books.

         SECTION 8.1.3. Maintenance of Properties.  Each Borrower will, and will
cause each of its  Subsidiaries  to,  maintain,  preserve,  protect and keep its
properties in good repair,  working order and condition,  and make necessary and
proper repairs,  renewals and  replacements  so that its business  carried on in
connection  therewith  may be properly  conducted  at all times  unless the such
Person  determines  in good faith that the continued  maintenance  of any of its
properties is no longer economically desirable.

         SECTION  8.1.4.  Insurance.  Each Borrower will, and will cause each of
its  Subsidiaries  to,  maintain  or cause  to be  maintained  with  responsible
insurance  companies (a) insurance  with respect to its  properties and business
(including  business  interruption   insurance),   against  loss  or  damage  by
casualties and contingencies, in amounts not less than the then full replacement
value of such  properties,  (b) general public  liability  insurance  (including
umbrella excess liability  insurance)  against liability on account of damage to
persons and property in an amount not less than  $7,500,000  per  occurrence and
$75,000,000 in the aggregate  (provided  that (i) Thrifty may  self-insure up to
$1,000,000 per occurrence through a combination of  self-insurance,  deductibles
and/or  quota-sharing  arrangements and may maintain a quota sharing arrangement
with an unaffiliated carrier under which it pays up to 15% of the portion of any
such loss between $1,000,000 and $2,000,000,  and (ii) Dollar may self-insure up
to $2,000,000  per  occurrence  (or  $1,000,000  per  occurrence,  if reasonably
requested by the Administrative  Agent) through a combination of self-insurance,
deductibles and/or quota-sharing arrangements), (c) insurance required under all
applicable  workers'  compensation  laws in amounts  which comply with  relevant
statutory requirements, (d) environmental impairment liability insurance of such
types and in such amounts as may now or hereafter be required by applicable  law
and (e) each other type of  insurance in such amount as is customary in the case
of  similar  businesses  of  established  reputation.   All  insurance  policies
described  under this Section shall be in form  reasonably  satisfactory  to the
Administrative  Agent. Upon request of the  Administrative  Agent, each Borrower
will,  and will  cause  each of its  Subsidiaries  to,  furnish  (or cause to be
furnished) to each Lender at reasonable intervals a certificate of an Authorized
Officer of such  Borrower  setting  forth the nature and extent of all insurance
maintenance  by such  Borrower  and its  Subsidiaries  in  accordance  with this
Section.

         SECTION  8.1.5.  Books and Records.  Each Borrower will, and will cause
each of its Subsidiaries to, keep books and records which accurately reflect all
of  their   respective   business   affairs  and  transactions  and  permit  the
Administrative Agent and each Lender or any of their respective representatives,
at reasonable times and intervals,  to visit all of their respective offices, to
discuss their respective  financial  matters with their respective  officers and
independent   public  accountant  (and  each  Borrower  hereby  authorizes  such
independent  public  accountants  to discuss  such  financial  matters with each
Lender or its representatives whether or not any representative

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of such Borrower or such Subsidiary is present,  provided such Borrower has been
given prior notice of such  discussion  and an  opportunity to be present during
such discussion through one or more of its representatives) and to examine (and,
at the  expense  of  such  Borrower,  photocopy  extracts  from)  any  of  their
respective books or other corporate  records.  The Borrowers shall,  jointly and
severally,  pay any  fees of such  independent  public  accountant  incurred  in
connection  with the  Administrative  Agent's or any  Lender's  exercise  of its
rights pursuant to this Section.

     SECTION 8.1.6.  Environmental  Covenant. Each Borrower will, and will cause
each of its Subsidiaries to,

                  (a) use and operate  all of their  respective  facilities  and
         properties in material compliance with all Environmental Laws, keep all
         necessary  permits,   approvals,   certificates,   licenses  and  other
         authorizations  relating to environmental  matters in effect and remain
         in material compliance therewith, and handle all Hazardous Materials in
         material compliance with all applicable Environmental Laws;

               (b) follow  practices  that are at least as effective as industry
          practices to minimize and respond to spills and overfills of petroleum
          products;

                  (c)    respond    to   past   and    ongoing    releases    of
         petroleum-containing  materials  in a manner that  minimizes  potential
         liability to third parties for off-site  contamination  from facilities
         owned or leased or  otherwise  operated by such  Borrower or any of its
         Subsidiaries;

                  (d)    respond    to   past   and    ongoing    releases    of
         petroleum-containing   materials  in  a  manner  that   minimizes   any
         likelihood  that such Borrower or any of its  Subsidiaries  would incur
         costs  or  damages  that,  singly  or in the  aggregate,  have,  or may
         reasonably  be  expected  to have,  a  material  adverse  effect on the
         business,   property,   operations,   assets,  liabilities,   condition
         (financial   or   otherwise)   or  prospects  of  the  Parent  and  its
         Subsidiaries, taken as a whole;

                  (e)  manage  the   disposition  of  residuals  such  as  spent
         petroleum-containing material in a manner that minimizes any likelihood
         that such  Borrower  or any of its  Subsidiaries  would  incur costs or
         damages that,  singly or in the  aggregate,  have, or may reasonably be
         expected to have, a material adverse effect on the business,  property,
         operations, assets, liabilities,  condition (financial or otherwise) or
         prospects of the Parent and its Subsidiaries, taken as a whole;

                  (f) immediately  notify the  Administrative  Agent and provide
         copies  upon  receipt of all  written  claims,  complaints,  notices or
         inquiries  relating to the condition of their facilities and properties
         or compliance with Environmental Laws, other than any claim, complaint,
         notice or inquiry that alleges or makes reference to a violation of any

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          Environmental  Law which,  if true,  could  result in payments  not in
          excess of $2,500,000; and

                  (g) provide  such  information  and  certifications  which the
         Administrative  Agent  may  reasonably  request  from  time  to time to
         evidence compliance with this Section 8.1.6.

         SECTION 8.1.7. Use of Proceeds.  Each Borrower shall apply the proceeds
of each Credit Extension in accordance with the tenth recital;  without limiting
the  foregoing,  no  proceeds  of any Loan will be used to  acquire  any  equity
security of a class which is  registered  pursuant to Section 12 of the Exchange
Act or any "margin stock", as defined in F.R.S. Board Regulation U.

         SECTION 8.1.8. Additional Real Property. Each Borrower shall, and shall
cause  each of its  Subsidiaries  to,  cause  the  Administrative  Agent and the
Lenders  to have  at all  times a first  priority  perfected  security  interest
(subject only to Liens and encumbrances permitted under Section 8.2.3) in all of
the real property owned from time to time by such Borrower and its  Subsidiaries
(other  than any such  real  property  that  has a net book  value of less  than
$1,000,000 and that, when added to the net book value of all other real property
owned by the  Borrowers  and their  Subsidiaries  that is not subject to a first
priority perfected  security interest in favor of the  Administrative  Agent and
the Lenders,  does not exceed $5,000,000,  in either case). Without limiting the
generality of the foregoing, each such Borrower shall, and shall cause each such
Subsidiary  to,  execute  and  deliver  or cause to be  executed  and  delivered
Mortgages, that may be necessary or, in the opinion of the Administrative Agent,
desirable to create a valid, perfected Lien against such real property, together
with

               (a) evidence of the completion (or satisfactory  arrangements for
          the completion) of all recordings and filings of each such Mortgage;

                  (b)  mortgagee's  title  insurance  policies  in  favor of the
         Administrative  Agent and the Lenders and issued by insurers reasonably
         satisfactory  to the  Administrative  Agent, in amounts and in form and
         substance  reasonably  satisfactory to the  Administrative  Agent, with
         respect to each Additional Material Property purported to be covered by
         each such Mortgage,  insuring that title to such property is marketable
         and that the interests  created by the Mortgage  constitute valid first
         Liens thereon free and clear of all defects and encumbrances other than
         as approved  by the  Administrative  Agent,  such  policies  shall also
         include a revolving credit  endorsement and such other  endorsements as
         the  Administrative  Agent shall  request and shall be  accompanied  by
         evidence of the payment in full of all premiums thereon;

                  (c)  surveys for each  Additional  Material  Property  made in
         accordance with the Minimum Standard Detail Requirements for Land Title
         Surveys  jointly  established  and adopted by the  American  Land Title
         Association and the American Congress of Surveying and Mapping in 1992,
         which  surveys  shall be certified to the  Administrative  Agent and in
         form and substance reasonably satisfactory to the Administrative Agent;

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                  (d) Uniform  Commercial Code financing  statements  related to
         the security interests created by each Mortgage, together with evidence
         of the completion (or satisfactory  arrangements for the completion) of
         all  recordings  and  filings  of  such  financing  statements  in  the
         appropriate  offices  and  records  as  may  be  necessary  or,  in the
         reasonable  opinion of the  Administrative  Agent,  desirable to create
         valid,   perfected  first  priority  Liens  against  the   improvements
         purported to be covered thereby; and

                  (e)  such  other   certifications   (including   flood  hazard
         certifications), approvals, opinions or documents as the Administrative
         Agent may reasonably request.

     SECTION  8.1.9.  Future  Subsidiaries.  Without  limiting the effect of any
provision  contained herein (including Section 8.2.5),  upon any Person becoming
either a direct or  indirect  Subsidiary  of the Parent  (other than an SPC or a
Non-Material Subsidiary),

                  (a) in the event such  Person is a  Subsidiary  which is not a
         Foreign  Subsidiary,  such Person (i) if not theretofore a party to the
         Security  Agreement,  shall  execute and deliver to the  Administrative
         Agent  a  supplement  to the  Security  Agreement  for the  purpose  of
         becoming a grantor thereunder,  which supplement shall be substantially
         in the form  attached to the Security  Agreement and (ii) to the extent
         required under Section  8.2.2,  shall execute and deliver to the Parent
         or  any  of its  applicable  Subsidiaries  an  Intercompany  Note  in a
         principal  amount not less than the  aggregate  amount  such Person may
         borrow  from the Parent or such  Subsidiary  (which  Intercompany  Note
         shall be endorsed and pledged to the  Administrative  Agent pursuant to
         the Pledge Agreement (in accordance with the succeeding paragraph));

                  (b) the Parent or, if not the Parent,  the  Subsidiary  of the
         Parent (provided such Subsidiary is not a Foreign  Subsidiary  exempted
         from the requirement of becoming a Subsidiary  Guarantor as a result of
         the proviso to the  succeeding  clause (c)) that will own shares of the
         Capital Stock of such Person (which  Subsidiary,  if not  theretofore a
         party  to the  Pledge  Agreement,  shall  execute  and  deliver  to the
         Administrative  Agent a  supplement  to the  Pledge  Agreement  for the
         purpose of becoming a pledgor  thereunder,  which  supplement  shall be
         substantially  in the form  attached  to the Pledge  Agreement)  shall,
         pursuant  to  the  Pledge  Agreement  (as  further   supplemented,   if
         necessary, by a Foreign Pledge Agreement), pledge to the Administrative
         Agent (i) all of the  outstanding  shares of the Capital  Stock of such
         Person  owned  by the  Parent  or such  Subsidiary,  together  with (A)
         undated stock powers or equivalent instruments of transfer satisfactory
         to the  Administrative  Agent  for  such  certificates  or  such  other
         evidence of  beneficial  ownership,  executed in blank (or, if any such
         shares of Capital Stock are  uncertificated,  confirmation and evidence
         satisfactory to the Administrative  Agent that the security interest in
         such uncertificated securities has been perfected by the Administrative
         Agent in accordance  with the U.C.C.  or any similar or local law which
         may be applicable) and (B) executed  copies of Uniform  Commercial Code
         financing statements naming the Parent or such Subsidiary as the debtor
         and the Administrative Agent as the secured

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         party,  suitable  for filing under the Uniform  Commercial  Code of all
         jurisdictions as may be necessary or, in the reasonable  opinion of the
         Administrative Agent, desirable to perfect the security interest of the
         Administrative  Agent in the interests of the Parent or such Subsidiary
         in such Person  pledged  pursuant to such  Pledge  Agreement  (and such
         Foreign Pledge Agreement, if applicable);  provided,  however, that the
         Parent or such Subsidiary shall not be required to pledge the shares of
         Capital Stock of a Foreign Subsidiary  required to be pledged hereunder
         (1) if the Required  Lenders have otherwise agreed or (2) to the extent
         such pledge could  reasonably  be expected to constitute at any time an
         investment of earnings in United States  property under Section 956 (or
         any successor  provision  thereto) of the Code that would increase by a
         material  amount the amount of United  States  federal  income tax that
         would  otherwise be payable by the Parent and the other  members of the
         affiliated group of corporations  filing a consolidated  federal income
         tax return with the Parent in the absence of such pledge, as determined
         by the Parent based on existing  financial  statements and on financial
         projections  prepared  in good faith based upon  assumptions  which the
         Parent  believes to be reasonable  and as evidenced by a certificate of
         the chief financial  Authorized  Officer of the Parent that is accepted
         in writing  by the  Administrative  Agent  (such  acceptance  not to be
         unreasonably  withheld  and  which  acceptance  shall be deemed to have
         occurred  in the absence of a written  notice  from the  Administrative
         Agent  that is given to the Parent  within  five  Business  Days of the
         Administrative  Agent's  receipt of such  certificate,  indicating  the
         reasons for not accepting such certificate); provided further, however,
         that,  in the event of any  change in, or the  introduction,  adoption,
         effectiveness, interpretation, reinterpretation or phase-in of, any law
         or regulation,  directive or guideline of any governmental authority (a
         "Law Change") that could reasonably be expected to alter the conclusion
         set forth in such certificate, the Administrative Agent or the Required
         Lenders may request the Parent to deliver  another such  certificate in
         light of such event and, in the absence of the delivery and  acceptance
         of such  certificate  as  provided  above,  require  the pledge of such
         shares of Capital Stock; but provided  further,  however,  that, in the
         event that any Law Change  occurs  subsequent to the date that any such
         pledge of such  shares of  Capital  Stock is  granted,  and as a result
         thereof, such pledge could then reasonably be expected to increase by a
         material  amount the amount of United  States  federal  income tax that
         would  otherwise be payable by the Parent and the other  members of the
         affiliated group of corporations  filing a consolidated  federal income
         tax return with the Parent in the absence of such  pledge,  then,  such
         pledge  shall  be  released   upon  the  written   acceptance   by  the
         Administrative Agent of a certificate of the chief financial Authorized
         Officer of the Parent  detailing the adverse effect of such  subsequent
         Law Change (such  acceptance not to be unreasonably  withheld and which
         acceptance shall be deemed to have occurred in the absence of a written
         notice from the Administrative Agent that is given to the Parent within
         five  Business  Days  of the  Administrative  Agent's  receipt  of such
         certificate, indicating the reasons for not accepting such certificate)
         and  (ii) if  applicable,  the  Intercompany  Note  referred  to in the
         preceding clause (a)(ii);

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                  (c) if not  theretofore  a party to the  Subsidiary  Guaranty,
         such Person  shall  execute and deliver to the  Administrative  Agent a
         supplement  to the  Subsidiary  Guaranty  for the purpose of becoming a
         guarantor  thereunder,  which  supplement shall be substantially in the
         form attached to the Subsidiary Guaranty;  provided,  however, that, in
         the event such  Subsidiary  is a Foreign  Subsidiary,  such  Subsidiary
         shall not be  required  to  become a  guarantor  under  the  Subsidiary
         Guaranty (1) if the Required  Lenders have  otherwise  agreed or (2) to
         the extent such guaranty could  reasonably be expected to constitute at
         any time an  investment  of earnings in United  States  property  under
         Section 956 (or any successor provision thereto) of the Code that would
         increase  the  amount of United  States  federal  income tax that would
         otherwise  be  payable  by the  Parent  and the  other  members  of the
         affiliated group of corporations  filing a consolidated  federal income
         tax  return  with  the  Parent  in the  absence  of such  guaranty,  as
         determined by the Parent based on existing financial  statements and on
         financial  projections  prepared in good faith  based upon  assumptions
         which the  Parent  believes  to be  reasonable  and as  evidenced  by a
         certificate  of the chief  financial  Authorized  Officer of the Parent
         that  is  accepted  in  writing  by  the  Administrative   Agent  (such
         acceptance not to be unreasonably  withheld and which  acceptance shall
         be deemed to have occurred in the absence of a written  notice from the
         Administrative  Agent that is given to the Parent  within five Business
         Days  of  the  Administrative  Agent's  receipt  of  such  certificate,
         indicating  the reasons for not accepting such  certificate);  provided
         further,  however,  that,  in the event of any Law  Change  that  could
         reasonably  be  expected  to alter  the  conclusion  set  forth in such
         certificate,  the  Administrative  Agent or the  Required  Lenders  may
         request the Parent to deliver another such certificate in light of such
         event  and,  in the  absence of the  delivery  and  acceptance  of such
         certificate  as provided  above,  require the execution and delivery by
         such Person of such supplement to the Subsidiary Guaranty; but provided
         further,  however,  that,  in the  event  that  any Law  Change  occurs
         subsequent  to the  date  that any such  supplement  to the  Subsidiary
         Guaranty  becomes  effective,  and as a result  thereof,  such guaranty
         could then  reasonably be expected to increase by a material amount the
         amount of United  States  federal  income tax that would  otherwise  be
         payable by the Parent and the other members of the affiliated  group of
         corporations  filing a consolidated  federal income tax return with the
         Parent in the absence of such  guaranty,  then,  such  guarantee  shall
         cease  to  be  effective   following  the  written  acceptance  by  the
         Administrative Agent of a certificate of the chief financial Authorized
         Officer of the Parent  detailing the adverse effect of such  subsequent
         Law Change (such  acceptance not to be unreasonably  withheld and which
         acceptance shall be deemed to have occurred in the absence of a written
         notice from the Administrative Agent that is given to the Parent within
         five  Business  Days  of the  Administrative  Agent's  receipt  of such
         certificate,   indicating   the   reasons   for  not   accepting   such
         certificate);

                  (d) the  Administrative  Agent shall have  received  from each
         such Person  certified  copies of Uniform  Commercial Code Requests for
         Information  or  Copies  (Form  UCC-11),  or a  similar  search  report
         certified by a party acceptable to the  Administrative  Agent,  dated a
         date reasonably near (but prior to) the date of any such

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         Person becoming a direct or indirect Subsidiary of the Person,  listing
         all effective financing statements,  tax liens and judgment liens which
         name such Person as the debtor and which are filed in the jurisdictions
         in which  filings  are to be made  pursuant to this  Agreement  and the
         other  Loan  Documents,   and  in  such  other   jurisdictions  as  the
         Administrative  Agent may reasonably  request,  together with copies of
         such  financing   statements  (none  of  which  (other  than  financing
         statements  (i)  filed  pursuant  to the  terms  hereof in favor of the
         Administrative Agent, if such Form UCC-11 or search report, as the case
         may be, is current enough to list such financing statements, (ii) being
         terminated pursuant to termination  statements that are to be delivered
         on or prior to the date such Person becomes such Subsidiary or (iii) in
         respect of Liens  permitted under Section 8.2.3) shall cover any of the
         collateral described in the Security Agreement); and

                  (e) the  Administrative  Agent shall have  received  from each
         such Person executed copies of U.C.C.  financing statements naming each
         such Person as the debtor and the  Administrative  Agent as the secured
         party, suitable for filing under the U.C.C. of all jurisdictions as may
         be necessary or, in the reasonable opinion of the Administrative Agent,
         desirable to perfect the security interest of the Administrative  Agent
         pursuant to the Security Agreement entered into by such Person,

together,   in  each  case,   with  such   opinions  of  legal  counsel  as  the
Administrative  Agent may reasonably  request,  which legal opinions shall be in
form and substance reasonably satisfactory to the Administrative Agent.

         SECTION  8.2.  Negative  Covenants.   Each  Borrower  agrees  with  the
Administrative  Agent,  the Issuer and each Lender that,  until all  Commitments
have terminated,  all Letters of Credit shall have terminated or expired and all
Obligations have been paid and performed in full, each Borrower will perform the
obligations set forth in this Section 8.2.

         SECTION 8.2.1.  Business Activities.  Each Borrower will not, and will
not permit any of its Subsidiaries to, engage in any business activity, except

                  (a) those business  activities  described in the third recital
         (and such activities as may be incidental or related thereto (including
         the operation of commercial parking lots)); provided, however, that

                           (i) the Borrowers and their  respective  Subsidiaries
                  may not purchase  passenger  automobiles,  shuttle buses, vans
                  and light and medium duty trucks for the purpose of  reselling
                  such  motor  vehicles  to  their  franchisees  with  financing
                  provided by the  Borrowers and their  Subsidiaries,  except to
                  the extent (A) the  number of such motor  vehicles  subject to
                  such program do not exceed (1) in the 2000 Fiscal Year or 2001
                  Fiscal Year,  2,000 of such motor vehicles at any one time and
                  (2) in each  Fiscal  Year  thereafter,  3,000  of  such  motor
                  vehicles at any one time,  so long as the average  amount paid
                  by the Borrower and such

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                  Subsidiaries for each such motor vehicle so purchased does not
                  exceed (aa) in the 2000 Fiscal Year,  $20,000 and (bb) in each
                  Fiscal Year  thereafter,  105% of the average amount permitted
                  during  the  prior  Fiscal  Year  and (B)  (1) the  applicable
                  Borrower or Subsidiary has a first priority perfected security
                  interest  in such  motor  vehicles  (including  by  means of a
                  notation  of  such  Borrower's  or  Subsidiary's  Lien  on the
                  certificate  of title  relating to such motor  vehicles to the
                  extent   necessary   to   perfect   such  Lien)  and  (2)  the
                  Administrative  Agent  has  received  an  assignment  of  such
                  security  interest  as  well  as a  first  priority  perfected
                  security interest in the rights of such Borrower or Subsidiary
                  under the agreements and documents  entered into and delivered
                  in connection  with such sale and the  financing  thereof (but
                  not a  notation  of the  Administrative  Agent's  Lien  on the
                  certificate of title relating to such motor vehicles);

                           (ii) the Borrowers and their respective  Subsidiaries
                  may only engage in fleet  leasing of vehicles to Persons other
                  than  franchisees so long as the aggregate  amount of revenues
                  therefrom  in any  Fiscal  Year does not  exceed  21/2% of the
                  aggregate  amount of the  consolidated  revenues of the Parent
                  and its  Subsidiaries in the Fiscal Year preceding such Fiscal
                  Year); and

                           (iii) Thrifty Car Sales and its  Subsidiaries may not
                  operate  locations  in the  United  States and Canada (A) from
                  which  they  sell  at any  time  more  than  (1)  for  any one
                  location, 200 vehicles or (2) for all locations, 1500 vehicles
                  that,  in each case,  were used in a  business  other than the
                  Parent's other businesses and (B) acquired from franchisees of
                  the Thrifty Car Sale Franchise  Business unless such locations
                  were   acquired  (1)  in  the  ordinary   course  of  business
                  consistent  with  the  past  practice  of  Thrifty   acquiring
                  franchisees of its rent-a-car  business in circumstances where
                  such  franchisees  have  discontinued  operations  and Thrifty
                  acquires  such  franchisee's  operation  with the intention of
                  re-franchising  the same and (2) in accordance  with the terms
                  of this Agreement; and

                  (b) the providing of telemarketing services.

         SECTION  8.2.2.  Indebtedness.  Each  Borrower  will not,  and will not
permit any of its Subsidiaries to, create,  incur,  assume or suffer to exist or
otherwise  become or be liable  in  respect  of any  Indebtedness,  other  than,
without duplication, the following:

                  (a)  Indebtedness in  respect of this Agreement, including the
         Loans and other Obligations;

                  (b)  until September 15, 2000, Indebtedness identified in Item
         8.2.2(b)("Indebtedness to be Paid") of the Disclosure Schedule;

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                  (c) Indebtedness  existing as of the Amendment  Effective Date
         which is identified in Item 8.2.2(c)  ("Ongoing  Indebtedness")  of the
         Disclosure   Schedule  and  extensions,   renewals,   refinancings  and
         replacements  thereof;  provided,  however, that after giving effect to
         any  such  extension,  renewal,  refinancing  or  replacement,  (i) the
         principal amount of outstanding Indebtedness is not increased above the
         amount  reflected in Item  8.2.2(c) of the  Disclosure  Schedule,  (ii)
         neither the tenor nor the average  life  thereof is reduced,  (iii) the
         respective  obligor or obligors  shall be the same on the  Indebtedness
         outstanding as a result of any such extension,  renewal, refinancing or
         replacement as on the Indebtedness being extended,  renewed, refinanced
         or  replaced,   (iv)  the  security,   if  any,  for  the  Indebtedness
         outstanding as a result of any such extension,  renewal, refinancing or
         replacement  shall  be the  same as that  for  the  Indebtedness  being
         extended,  renewed,  refinanced or replaced  (except to the extent that
         less security is granted to holders of the Indebtedness  outstanding as
         a result of any such extension,  renewal,  refinancing or replacement),
         (v) the holders of the Indebtedness outstanding as a result of any such
         extension,   renewal,  refinancing  or  replacement  are  not  afforded
         covenants,  defaults,  rights or remedies more materially burdensome to
         the obligor or obligors than those contained in the Indebtedness  being
         extended,  renewed,  refinanced  or replaced and (vi) the  Indebtedness
         outstanding as a result of any such extension,  renewal, refinancing or
         replacement  is  subordinated  to  the  same  degree,  if  any,  as the
         Indebtedness being extended, renewed, refinanced or replaced;

                  (d)  Indebtedness  in respect of Surety  Bonds in an aggregate
         amount not to exceed (i) during  the 2000  Fiscal  Year,  $150,000,000,
         (ii) during the 2001 Fiscal Year,  $160,000,000,  (iii) during the 2002
         Fiscal Year, $170,000,000 and (iv) during the 2003 Fiscal Year and each
         Fiscal Year thereafter, $175,000,000;

                  (e)  Indebtedness in respect of the Chrysler Letters of Credit
         in an aggregate amount not to exceed $50,000,000;

                  (f)  [INTENTIONALLY OMITTED];

                  (g) Vehicle Debt;

                  (h) Indebtedness in respect of Demand  Capitalization Notes to
         the extent the obligations of the Parent thereunder (whether contingent
         or otherwise) do not exceed at any time $100,000,000;

                  (i)  Indebtedness  of Foreign  Subsidiaries  incurred  (A) for
         working  capital  purposes and (B) in respect of letters of credit,  to
         the extent  the  aggregate  principal  amount of such  working  capital
         Indebtedness, together with the aggregate Stated Amount and outstanding
         reimbursement  obligations with respect to such letters of credit, does
         not exceed at any time outstanding $3,000,000;

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                  (j)  Indebtedness  in an  aggregate  principal  amount  not to
         exceed  $10,000,000  at any time  outstanding  which is incurred by any
         Borrower or any of its Subsidiaries to a vendor of any assets permitted
         to be acquired  pursuant to Section 8.2.7 to finance its acquisition of
         such assets;

                  (k) unsecured  Indebtedness incurred in the ordinary course of
         business  (excluding  Indebtedness  incurred  through the  borrowing of
         money or Contingent Liabilities);

                  (l)  Indebtedness in respect of  Capitalized Lease Liabilities
         to the extent permitted by Section 8.2.7;

                  (m)  Hedging   Obligations   of  the  Parent  or  any  of  its
         Subsidiaries  pursuant to agreements  designed to protect the Parent or
         any of its  Subsidiaries  against  fluctuations  in  interest  rates in
         respect  of  Indebtedness  of the  Parent  or such  Subsidiary  and not
         entered into for purposes of speculation;

                  (n) Hedging Obligations of a Subsidiary of the Parent pursuant
         to  agreements  designed  to  protect  such  Subsidiary  or  any of its
         Subsidiaries  against  fluctuations in currency values and entered into
         in the ordinary course of business and not for purposes of speculation;

                  (o) Indebtedness of the Parent owing to a Subsidiary  Borrower
         or a Subsidiary  Guarantor pursuant to an Investment of such Subsidiary
         Borrower or such Subsidiary  Guarantor permitted (i) pursuant to clause
         (e) of Section 8.2.5 or to any other  Subsidiary of the Parent pursuant
         to clause (i) of Section 8.2.5 or (ii)  evidenced by a promissory  note
         in the principal amount of $51,076,666 payable to Thrifty in connection
         with the sale of the Capital Stock of RCFC to the Parent;

                  (p) Indebtedness of any Subsidiary  Borrower or any Subsidiary
         Guarantor  owing to the  Parent;  provided  that such  Indebtedness  is
         evidenced by an Intercompany Note pledged to the  Administrative  Agent
         pursuant to the terms of the Pledge Agreement;

                  (q) Indebtedness of a Borrower or any Subsidiary of a Borrower
         owing to a Subsidiary of a Borrower  that is not a Subsidiary  Borrower
         or a Subsidiary Guarantor;  provided that such Indebtedness (other than
         Indebtedness of a Borrower owing to RCFC in respect of amounts advanced
         by RCFC to a Borrower) constitutes Subordinated Intercompany Debt;

                  (r)   Indebtedness  of  Subsidiary   Borrowers  or  Subsidiary
         Guarantors that are Wholly Owned  Subsidiaries of the Parent owing to a
         Subsidiary Borrower or a Subsidiary Guarantor; provided, however, that,
         in  the  event  the  obligor  in  respect  of  such  Indebtedness  is a
         Subsidiary  of the Parent that is neither a  Subsidiary  Borrower nor a
         Subsidiary of a Subsidiary  Borrower,  such  Indebtedness  shall not be
         subordinated to any

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<PAGE>

         other  liabilities  of  such  obligor  and  shall  be  evidenced  by an
         Intercompany Note pledged to the  Administrative  Agent pursuant to the
         terms of the Pledge Agreement;

                  (s)  Indebtedness  of Subsidiaries  of  the  Parent owing to a
         Borrower or a Subsidiary Guarantor to the extent  permitted  by  clause
        (g) of Section 8.2.5;

                  (t)  Indebtedness  of a Person that becomes a Subsidiary  of a
         Borrower pursuant to a Permitted  Business  Acquisition or Indebtedness
         that is assumed  pursuant to an  acquisition  of assets  constituting a
         Permitted Business  Acquisition by the acquirer of such assets (in each
         case, other than  Indebtedness  solely  consisting of Vehicle Debt), to
         the extent (i) such Indebtedness  existed at the time of such Permitted
         Business Acquisition and was not created in contemplation thereof, (ii)
         such  Indebtedness is not guaranteed by any other Obligor and (iii) the
         aggregate principal amount of all such Indebtedness  outstanding at any
         time does not exceed $10,000,000;

                  (u)  Subordinated  Debt of the  Parent,  to the extent (i) the
         terms of such Indebtedness are consented to by the Administrative Agent
         (provided such terms shall not include any scheduled  principal payment
         (including any sinking fund  requirement)  prior to August 2, 2006, any
         financial   covenants   and  any   cross-default   (other  than  cross-
         acceleration) to other  Indebtedness) and (ii) the aggregate  principal
         amount of all such Indebtedness outstanding at any time does not exceed
         $20,000,000;

                  (v) Indebtedness  which refinances  Indebtedness  permitted by
         clauses (d), (e), (f), (g) and (u) above; provided, however, that after
         giving  effect  to  such  refinancing,  (i)  the  principal  amount  of
         outstanding  Indebtedness is not increased,  (ii) neither the tenor nor
         the average life thereof is reduced,  (iii) the  respective  obligor or
         obligors shall be the same on the  refinancing  Indebtedness  as on the
         Indebtedness  being  refinanced,  (iv) the  security,  if any,  for the
         refinancing Indebtedness shall be the same as that for the Indebtedness
         being refinanced (except to the extent that less security is granted to
         holders of  refinancing  Indebtedness),  (v) the holders of refinancing
         Indebtedness are not afforded covenants,  defaults,  rights or remedies
         more  burdensome to the obligor or obligors than those contained in the
         Indebtedness being refinanced and (vi) the refinancing  Indebtedness is
         subordinated  to the same  degree,  if any, as the  Indebtedness  being
         refinanced; and

                  (w) other  Indebtedness  of  Subsidiaries  of the Parent in an
         aggregate  amount  not to  exceed  (i)  during  the 2000  Fiscal  Year,
         $10,000,000,  (ii) during the 2001 Fiscal Year,  $15,000,000,  or (iii)
         during the 2002 Fiscal Year or any Fiscal Year thereafter, $20,000,000;

provided, however, that no Indebtedness otherwise permitted by clauses (i), (j),
(l),  (m),  (n), (s), (t), (u) or (w) shall be permitted if, after giving effect
to the incurrence thereof, any Default shall have occurred and be continuing.

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         SECTION 8.2.3.  Liens.  Each Borrower will not, and will not permit any
of its Subsidiaries to, create,  incur,  assume or suffer to exist any Lien upon
any of its  property,  revenues  or  assets,  whether  now  owned  or  hereafter
acquired, except:

               (a) Liens securing payment of the  Obligations,  granted pursuant
          to any Loan Document;

               (b) Liens securing  payment of Indebtedness of the type permitted
          and described in clause (b) of Section 8.2.2;

                  (c) Liens  granted prior to the  Amendment  Effective  Date to
         secure payment of  Indebtedness  of the type permitted and described in
         clause (c) of Section 8.2.2 and  extensions  and renewals of such Liens
         so long as such any such  extension  or renewal  does not relate to any
         collateral  (or  replacement  thereof)  not  covered  by the Lien as in
         effect immediately prior to any such extension or renewal;

                  (d)  Liens  granted  to secure  payment  of  Vehicle  Debt and
         covering  only  Vehicles  financed  by  such  Vehicle  Debt,   Excluded
         Receivables  relating  to  such  Vehicles,   rights  under  the  Demand
         Capitalization  Notes, cash (and investments thereof in Cash Equivalent
         Investments) of an SPC arising from the operations of such SPC, deposit
         accounts with respect to such cash and Cash Equivalent  Investments and
         all proceeds of the foregoing;

                  (e) Liens  securing  payment of  reimbursement  obligations in
         respect of the  Chrysler  Letters of Credit,  granted  pursuant  to the
         Chrysler  Credit  Support  Documents  and  subject  to the terms of the
         Intercreditor Agreement;

                  (f) Liens  granted to secure  payment of  Indebtedness  of the
         type  permitted  and  described  in  clause  (f) of  Section  8.2.2 and
         covering   only  those  buses   financed  with  the  proceeds  of  such
         Indebtedness;

                  (g) Liens  granted to secure  payment of  Indebtedness  of the
         type  permitted  and  described  in  clause  (i) of  Section  8.2.2 and
         covering  only assets of the Foreign  Subsidiary  obligated  under such
         Indebtedness;

                  (h) Liens  granted to secure  payment of  Indebtedness  of the
         type  permitted  and  described  in  clause  (j) of  Section  8.2.2 and
         covering  only  those  assets   acquired  with  the  proceeds  of  such
         Indebtedness;

                  (i) Liens  granted to secure  payment of  Indebtedness  (other
         than  Subordinated   Intercompany  Debt)  of  the  type  permitted  and
         described  in  clause  (o)  (to  the  extent  payable  to a  Subsidiary
         Borrower), (q), (r) or (s) of Section 8.2.2;

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<PAGE>

                  (j) Liens existing on specific  assets at the time acquired by
         a  Subsidiary   of  the  Parent   pursuant  to  a  Permitted   Business
         Acquisition,  to the extent (i) such Liens  existed at the time of such
         acquisition and were not created in  contemplation  thereof,  (ii) such
         Liens do not  encumber  any  other  asset of the  Parent  or any  other
         Subsidiary of the Parent and (iii) the Indebtedness  secured thereby is
         of the type permitted and described in clause (t) of Section 8.2.2;

                  (k) Liens for taxes, assessments or other governmental charges
         or levies not at the time  delinquent  or  thereafter  payable  without
         penalty or being  diligently  contested  in good  faith by  appropriate
         proceedings  and for which  adequate  reserves in accordance  with GAAP
         shall have been set aside on its books;

                  (l) Liens of carriers,  warehousemen,  mechanics,  materialmen
         and landlords  incurred in the ordinary course of business for sums not
         overdue or being  diligently  contested  in good  faith by  appropriate
         proceedings  and for which  adequate  reserves in accordance  with GAAP
         shall have been set aside on its books;

                  (m) Liens  incurred in the ordinary  course of business (i) in
         connection with workmen's compensation, unemployment insurance or other
         forms of  governmental  insurance  or  benefits  or (ii) to secure  (A)
         performance  of tenders,  statutory  obligations,  leases and contracts
         (other than for borrowed  money) entered into in the ordinary course of
         business,  (B) obligations on surety or appeal bonds or (C) obligations
         under leases of Vehicles not constituting Capitalized Lease Liabilities
         to the extent such Vehicles do not exceed the Applicable  Percentage of
         the aggregate number of Vehicles  utilized by the Subsidiary  Borrowers
         and their  Subsidiaries  and such Liens are limited to the receivables,
         accounts  and  other  rights  arising  from the  rental,  sale or other
         disposition  of such  Vehicles  (for  purposes of this clause (m),  the
         "Applicable  Percentage"  shall mean (x) if the Net Worth of the Parent
         as of the last day of the most recently  completed  Fiscal Quarter with
         respect to which,  pursuant to Section  8.1.1 (or Section  8.1.1 of the
         Original  Credit  Agreement),  financial  statements  (and the  related
         Compliance  Certificate)  have been delivered by the Parent is equal to
         (or greater  than) 115% of the  minimum  Net Worth  required to satisfy
         clause  (a) of Section  8.2.4 as of the last day of such most  recently
         completed Fiscal Quarter, 15%, (y) if the Net Worth of the Parent as of
         the last day of the most recently completed Fiscal Quarter with respect
         to which,  pursuant to Section  8.1.1 (or Section 8.1.1 of the Original
         Credit  Agreement),  financial  statements (and the related  Compliance
         Certificate)  have been delivered by the Parent is equal to (or greater
         than) 110% of, but less than 115% of, the minimum Net Worth required to
         satisfy  clause  (a) of  Section  8.2.4 as of the last day of such most
         recently  completed  Fiscal  Quarter,  12%,  and  (z)  otherwise,   8%;
         provided, that any decrease in the Applicable Percentage shall not take
         effect  until the  forty-fifth  day  following  the day the  Parent has
         delivered  the  financial   statements  (and  the  related   Compliance
         Certificate) that results in such decrease);

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<PAGE>

                  (n) judgment  Liens in  existence  less than 30 days after the
         entry thereof or with respect to which execution has been stayed or the
         payment of which is covered in full (subject to a customary deductible)
         by insurance maintained with responsible insurance companies; and

                    (o) Liens with respect to minor  imperfections  of title and
         easements,   rights-of-  way,  restrictions,   reservations,   permits,
         servitudes and other similar encumbrances on real property and fixtures
         which do not detract in any material  respect from the value thereof or
         impair in any  material  respect  the use thereof by the Parent and its
         Subsidiaries in the ordinary course of their operation;

                  (p) Liens  consisting of any encumbrance or restriction on any
         Capital  Stock  of a  joint  venture  that is not a  Subsidiary  of any
         Borrower (including any Subsidiary of any Borrower),  to the extent (i)
         such Lien is in favor of, or for the benefit of, such joint  venture or
         any Person or Persons owning more than 25% of the Capital Stock of such
         joint  venture  and (ii) such Lien  secures  obligations  to such joint
         venture of the  Subsidiary  Borrower or the  Subsidiary of a Subsidiary
         Borrower owning Capital Stock of such joint venture; and

                  (q) other Liens securing  Indebtedness in an aggregate  amount
         not to exceed $1,000,000 at any time outstanding (it being acknowledged
         that any such Liens  shall not cover any  property,  revenues or assets
         constituting  Collateral  (as  such  term  is  defined  in  the  Pledge
         Agreement) or Intellectual Property Collateral (as such term is defined
         in the Security Agreement)).

         SECTION 8.2.4.  Financial Condition.  No Borrower will permit:
                         -------------------

                  (a) the Net  Worth of the  Parent  to be at any time less than
         the sum, at such time, of (i)  $225,000,000,  plus (ii) 100% of the net
         cash proceeds received by the Parent in excess of $45,000,000  pursuant
         to the Equity Offerings, plus (iii) 50% of the Net Income of the Parent
         for each Fiscal Year,  commencing  with the 1998 Fiscal Year,  as shall
         have  been  completed  on or prior to such  time (in each  case with no
         reduction for net losses), plus (iv) 100% of Net Equity Proceeds;

                  (b) Adjusted EBITDA for the four  consecutive  Fiscal Quarters
         ending  on the last day of each  Fiscal  Quarter,  commencing  with the
         second  Fiscal  Quarter of the 2000  Fiscal  Year,  to be less than the
         amount set forth opposite such Fiscal Quarter below:

             Fiscal Quarter                             Amount

The second and third Fiscal
     Quarters of the 2000 Fiscal
     Year                                             $75,000,000

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<PAGE>

             Fiscal Quarter                             Amount

The fourth Fiscal Quarter of
     the 2000 Fiscal Year                             $85,000,000

The first, second and third
     Fiscal Quarters of the 2001
     Fiscal Year                                      $85,000,000

The fourth Fiscal Quarter of
     the 2001 Fiscal Year and
     each Fiscal Quarter
     thereafter                                       $90,000,000

                  (c) the Leverage  Ratio,  at any time,  to be greater than the
         ratio set forth opposite the applicable period set forth below:

             Fiscal Quarter                              Ratio

From (and  including)  the last
     day of the  second  Fiscal
     Quarter  of the 2000 Fiscal
     Year to (but excluding) the
     last day of the second Fiscal
     Quarter of the 2002 Fiscal Year                   3.75:1.00

From (and  including)  the last
     day of the  second  Fiscal
     Quarter  of the 2002 Fiscal
     Year (but  excluding) the
     last day of the second Fiscal
     Quarter of the 2004 Fiscal Year                   3.50:1.00

From (and including) the last
     day of the second Fiscal
     Quarter of the 2004 Fiscal
     year (and at all times
     thereafter)                                       3.25:1.00

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<PAGE>

                  (d) the Interest  Coverage  Ratio,  as of the last day of each
         Fiscal  Quarter,  commencing with the second Fiscal Quarter of the 2000
         Fiscal Year,  to be less than the ratio set forth  opposite such Fiscal
         Quarter below:

             Fiscal Quarter                              Ratio

The second Fiscal Quarter of                           4.00:1.00
         the 2000 Fiscal Year
         and each Fiscal Quarter
         thereafter

                           (e) the Fixed Charge  Coverage  Ratio, as of the last
                  day of each Fiscal  Quarter,  commencing with the third Fiscal
                  Quarter of the 2000 Fiscal Year, to be less than the ratio set
                  forth opposite such Fiscal Quarter below:

             Fiscal Quarter                              Ratio

The third Fiscal Quarter of the                        1.10:1.00
         2000 Fiscal Year and
         each Fiscal Quarter
         thereafter

     SECTION 8.2.5. Investments. Each Borrower will not, and will not permit any
of its Subsidiaries to, make, incur, assume or suffer to exist any Investment in
any other Person, except:

                  (a) Investments  existing on the Amendment  Effective Date and
         identified in Item 8.2.5(a)  ("Ongoing  Investments") of the Disclosure
         Schedule and extensions, replacements of Investments in the same Person
         or renewals  thereof  (provided that no such extension,  replacement or
         renewal  shall be permitted if it would (x) increase the amount of such
         Investment at the time of such extension,  replacement or renewal above
         the amount reflected in Item 8.2.5(a) of the Disclosure Schedule or (y)
         result in a Default or Event of Default);

                  (b)  Cash Equivalent Investments;

                  (c)  Investments which are Permitted Business Acquisitions;

                  (d) without  duplication,  Investments  permitted  as  Capital
         Expenditures pursuant to Section 8.2.7;

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<PAGE>

                  (e) (i)  Investments by a Subsidiary  Borrower or a Subsidiary
         Guarantor in the Parent (A) by way of  contributions  to capital or the
         making  of  loans  or  advances,  to the  extent  the  amount  of  such
         Investment  would be permitted as a dividend  pursuant to clause (a) of
         Section 8.2.6 at the time of such Investment and (B) by way of advances
         that are pursuant to the Parent's cash management system for it and its
         Subsidiaries and (ii) Investments by a direct  Subsidiary of the Parent
         (other than a Subsidiary Borrower) in the Parent;

                  (f)  Investments  by a  Subsidiary  Borrower  or a  Subsidiary
         Guarantor in Subsidiary  Borrowers,  and Subsidiary Guarantors that are
         Wholly  Owned  Subsidiaries  of a  Subsidiary  Borrower or a Subsidiary
         Guarantor,  or to the extent  permitted by clause (r) of Section 8.2.2,
         in a Subsidiary  Guarantor that is neither a Subsidiary  Borrower nor a
         Subsidiary of a Subsidiary Borrower;

                  (g)  Investments  by a Borrower or a  Subsidiary  Guarantor in
         Subsidiaries  of the Parent  that are not  permitted  by the  preceding
         clause  (f) or  succeeding  clause  (h),  by way  of  contributions  to
         capital,  the  making  of  loans  or  advances  or  the  incurrence  of
         Contingent  Liabilities,  to the  extent the  aggregate  amount of such
         Investments  that are made in any Fiscal Year (commencing with the 2000
         Fiscal Year) does not exceed  $11,000,000  and the aggregate  amount of
         such Investments at any time outstanding does not exceed $20,000,000 in
         any Fiscal Year (commencing with the 2000 Fiscal Year and increasing by
         $1,000,000  in  each  Fiscal  Year   thereafter)   (exclusive  of  such
         Investment  existing  as of the  date  hereof  and  identified  in Item
         8.2.5(a) ("Ongoing Investments") of the Disclosure Schedule);

                    (h)  Investments  by the Parent in a Subsidiary  Borrower or
         any Subsidiary Guarantor;

                    (i)  Investments  by a  Subsidiary  of the  Parent  that  is
         neither a Subsidiary  Borrower nor a Subsidiary Guarantor in the Parent
         or any Subsidiary of the Parent;

                  (j)  Investments evidenced by the Demand Capitalization Notes;

                  (k) Investments in franchisees of  Dollar, Thrifty or  Thrifty
               Car Sales

                           (i) by way of (A) guaranties or (B) obtaining letters
                  of credit for the  benefit of  beneficiaries  selected  by any
                  such franchisees and with respect to which any such franchisee
                  is the account party or is benefitted and the Parent or any of
                  its  Subsidiaries is obligated to reimburse the issuer thereof
                  for  drawings   thereunder,   in  each  case,  in  respect  of
                  obligations  of such  franchisees in respect of the leasing by
                  such   franchisees   of  real  or  personal   property   under
                  arrangements  which would not,  under GAAP,  be  classified as
                  capitalized   leases,  to  the  extent  the  sum  of  (x)  the
                  guaranteed obligations payable thereunder (other than any

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<PAGE>

                  portion of rental payments that are determined on the basis of
                  revenues  generated by the property  subject to such leases or
                  by the  operations  conducted on the property  subject to such
                  leases) and (y) the aggregate  stated  amounts of such letters
                  of credit,  together with unreimbursed  obligations in respect
                  thereof, does not exceed at any time $10,000,000 (exclusive of
                  Investments permitted by clause (a) above);

                           (ii) by way of the  making  of loans or  advances  to
                  such  franchisees or guaranties for their benefit or otherwise
                  to the extent such  Investments do not exceed in the aggregate
                  at any time $12,000,000 (exclusive of Investments permitted by
                  clause (a) above); or

                         (iii) to the extent  permitted  under clause  (a)(i) of
                  Section 8.2.1;

         provided,  however,  that the aggregate  amount of the Investments made
         pursuant  to clauses  (k)(i) and  (k)(ii)  that were funded in cash and
         that are outstanding at any time does not exceed $5,000,000;

               (l) other  Investments in an aggregate  amount at any time not to
          exceed $10,000,000;

provided, however, that

                  (i)  any   Investment   which  when  made  complies  with  the
         requirements of the definition of the term "Cash Equivalent Investment"
         may continue to be held  notwithstanding  that such  Investment if made
         thereafter would not comply with such requirements; and

                  (ii) no  Investment  otherwise  permitted by clause (c),  (e),
         (g), (k) or (l) shall be permitted to be made if, immediately before or
         after giving  effect  thereto,  any Default  shall have occurred and be
         continuing.

         SECTION 8.2.6.  Restricted Payments, etc. On and at all times after the
Amendment Effective Date:

                  (a) neither Subsidiary Borrower will declare,  pay or make any
         Distribution  with  respect to any shares of its Capital  Stock (now or
         hereafter outstanding) or on any warrants, options or other rights with
         respect  to  any  such  shares  of  Capital  Stock  (now  or  hereafter
         outstanding) or apply, or permit any of its  Subsidiaries to apply, any
         of its funds, property or assets to the purchase,  redemption,  sinking
         fund or other retirement of, or agree or permit any of its Subsidiaries
         to purchase or redeem, any shares of any class of Capital Stock (now or
         hereafter  outstanding)  of  such  Subsidiary  Borrower,  or  warrants,
         options or other  rights  with  respect  to any such  shares of Capital
         Stock (now or hereafter

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         outstanding) of such Subsidiary Borrower;  provided,  however, that the
         Subsidiary  Borrowers may (i) make  Distributions  to the Parent to the
         extent that it is  necessary to permit the Parent to pay taxes based on
         income and  franchise  taxes and other similar  licensure  expenses and
         other actual and reasonable general  administrative  costs and expenses
         attributable  to the  operations  of the  Parent  (including  indemnity
         obligations  payable to  directors  and officers of the Parent who have
         acted in good  faith),  (ii) make  Distributions  to the  Parent to the
         extent it is necessary to permit the Parent to satisfy a payment demand
         in  respect  of  a  Demand   Capitalization   Note  and  (iii)  make  a
         Distribution  to  the  Parent  to  the  extent   necessary  to  make  a
         Distribution  declared  by the Parent  (but in no event  exceeding  the
         amount of such Distribution permitted to be made by the Parent pursuant
         to the  succeeding  clause  (b)) , so long as,  immediately  before and
         after giving  effect  thereto,  no Default  shall have  occurred and be
         continuing and the  Distribution  by the Parent is made at the time the
         Subsidiary Borrowers make their Distribution;

                  (b) the Parent will not declare,  pay or make any Distribution
         with  respect to any  shares of its  Capital  Stock  (now or  hereafter
         outstanding)  or on any warrants,  options or other rights with respect
         to any such shares of Capital Stock (now or hereafter  outstanding)  or
         apply, or permit any of its  Subsidiaries  to apply,  any of its funds,
         property or assets to the purchase,  redemption,  sinking fund or other
         retirement of, or agree or permit any of its  Subsidiaries  to purchase
         or redeem,  any shares of any class of Capital  Stock (now or hereafter
         outstanding) of the Parent,  or warrants,  options or other rights with
         respect  to  any  such  shares  of  Capital  Stock  (now  or  hereafter
         outstanding)  of the  Parent;  provided,  however,  that the Parent may
         declare, pay and make cash Distributions to, and purchase or redeem any
         shares of any class of its Capital Stock held by, its  stockholders  in
         any Fiscal Year, so long as

                           (i) both before and after  giving  effect to any such
                  payment,   purchase  or  redemption,  no  Default  shall  have
                  occurred and be continuing,

                           (ii)  the  Parent   shall  have   delivered   to  the
                  Administrative  Agent (A) financial  statements  prepared on a
                  pro forma basis to give effect to such Distribution,  purchase
                  or  redemption  for  the  period  of four  consecutive  Fiscal
                  Quarters  ending with the Fiscal  Quarter  then last ended for
                  which  financial  statements  and the  Compliance  Certificate
                  relating  thereto have been  delivered  to the  Administrative
                  Agent  pursuant  to  Section  8.1.1 (or  Section  8.1.1 of the
                  Original Credit Agreement) and (B) a certificate of the Parent
                  executed   by   its   chief   financial   Authorized   Officer
                  demonstrating  that the  financial  results  reflected in such
                  financial  statements  would comply with the  requirements  of
                  Section   8.2.4  for  the   Fiscal   Quarter   in  which  such
                  Distribution, purchase or redemption is to be made, and

                           (iii)  the aggregate amount of

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<PAGE>

                                    (A)  such  Distribution  to be  made  by the
                           Parent pursuant to this clause (b), when added to the
                           aggregate amount of all such Distributions during the
                           Fiscal Year in which such Distribution would be made,
                           does not exceed the amount set forth  below  opposite
                           such Fiscal Year

        Fiscal Year                                Amount
        -----------                                ------
2000 Fiscal Year            The lesser of (i) 25% of Excess Cash
                              Flow for the 1999 Fiscal Year and
                              (ii) $5,000,000
2001 Fiscal Year            The lesser of (i) 25% of Excess Cash
                              Flow for the 2000 Fiscal Year and
                              (ii) $8,000,000
2002 Fiscal Year            The lesser of (i) 25% of Excess Cash
                              Flow for the 2001 Fiscal Year and
                              (ii) $11,000,000
2003 Fiscal Year            The lesser of (i) 25% of Excess Cash
                              Flow for the 2002 Fiscal Year and
                              (ii) $14,000,000
2004 Fiscal Year            The lesser of (i) 25% of Excess Cash
                              Flow for the 2003 Fiscal Year and
                              (ii) $17,000,000
2005 Fiscal Year            The lesser of (i) 25% of Excess Cash
                              Flow for the 2004 Fiscal Year and
                              (ii) $20,000,000; or

                                    (B) such  purchase  or  redemption  does not
                           exceed the  excess of (1) the sum of (x)  $15,000,000
                           and (y) 25% of  Cumulative  Excess Cash Flow over (2)
                           the sum of (x) the aggregate  amount of Distributions
                           made prior to such date and  subsequent to January 1,
                           2000 by the  Parent and (y) the  aggregate  amount of
                           all other purchases and redemptions consummated prior
                           to such purchase or redemption;

                  (c)  neither  Subsidiary  Borrower  will  permit  any  of  its
         Subsidiaries to declare,  pay or make any Distribution  with respect to
         any shares of Capital Stock (now or hereafter  outstanding) of any such
         Subsidiary (other than (x) with respect to any such shares held by such
         Subsidiary  Borrower or any of its Wholly  Owned  Subsidiaries  and (y)
         with respect to such shares which are shares of common  stock,  so long
         as such  Distribution is made on a pro rata basis,  consistent with the
         ownership  interests in such shares of common  stock,  to the owners of
         such shares of common stock) or apply any of its funds,

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<PAGE>

         property or assets to the purchase,  redemption,  sinking fund or other
         retirement of, or agree to purchase or redeem,  any shares of any class
         of Capital Stock (now or hereafter outstanding) of any such Subsidiary,
         or warrants, options or other rights with respect to any such shares of
         Capital  Stock (now or hereafter  outstanding)  of any such  Subsidiary
         (other than any such shares, warrants,  options or other rights held by
         such Subsidiary Borrower or any of its Wholly Owned Subsidiaries);

                  (d) each Borrower will not, and will  not  permit any  of  its
         Subsidiaries to

                           (i) make any payment or  prepayment  of  principal of
                  any Subordinated Debt (including any reimbursement  obligation
                  in  respect  of a letter of  credit)  or make any  payment  of
                  interest  on any  Subordinated  Debt on any day other than the
                  stated,  scheduled  date for such  payment or  prepayment  set
                  forth in the  documents  and  instruments  memorializing  such
                  Subordinated  Debt, or which would  violate the  subordination
                  provisions applicable such Subordinated Debt; or

                           (ii) redeem,  purchase or  defease, any  Subordinated
                  Debt; and

                  (e) each  Borrower  will not,  and will not  permit any of its
         Subsidiaries to, make any deposit for any of the foregoing purposes.

         SECTION 8.2.7. Capital  Expenditures,  etc. Each Borrower will not, and
will not  permit  any of its  Subsidiaries  to,  make or commit to make  Capital
Expenditures  in any  Fiscal  Year,  except  (a)  Capital  Expenditures  for the
acquisition  of  Vehicles  and  (b)  other  Capital  Expenditures  which  do not
aggregate in excess of $50,000,000 for such Fiscal Year.

         SECTION 8.2.8. Take or Pay Contracts.  Each Borrower will not, and will
not  permit  any of  its  Subsidiaries  to,  enter  into  or be a  party  to any
arrangement for the purchase of materials,  supplies, other property or services
if such  arrangement  by its express terms requires that payment be made by such
Borrower or such  Subsidiary  regardless  of whether such  materials,  supplies,
other property or services are delivered or furnished to it.

         SECTION 8.2.9. Consolidation,  Merger, etc. Each Borrower will not, and
will not permit any of its Subsidiaries  to, liquidate or dissolve,  consolidate
with,  or merge  into or with,  any other  Person,  or  otherwise  enter into or
consummate any Business Acquisition not constituting an Investment, except

                  (a) any  Subsidiary  of the Parent may  liquidate  or dissolve
         voluntarily into, and may merge with and into, the Parent or any Wholly
         Owned  Subsidiary  of the  Parent,  and  the  assets  or  stock  of any
         Subsidiary of the Parent may be purchased or otherwise  acquired by the
         Parent or any Wholly Owned Subsidiary of the Parent; and

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<PAGE>

                  (b) so long as no Default has  occurred and is  continuing  or
         would occur after giving effect thereto,  a Subsidiary  Borrower or any
         of its Subsidiaries may enter into or consummate any Permitted Business
         Acquisition.

         SECTION 8.2.10.  Asset  Dispositions,  etc. Each Borrower will not, and
will not  permit any of its  Subsidiaries  to,  sell,  issue,  transfer,  lease,
contribute or otherwise convey, or grant options,  warrants or other rights with
respect  to, any  property,  business or assets of the  Parent,  any  Subsidiary
Borrower or any of their respective  Subsidiaries (including accounts receivable
and Capital Stock) to any Person, unless

                  (a) any such sale, transfer, lease, contribution or conveyance
         is in the  ordinary  course of its  business  (including  sales of used
         Vehicles and the customary franchising  activities of the Borrowers) or
         is  permitted  by Section  8.2.9 or clauses  (e) through (i) of Section
         8.2.5;

                  (b)  any such issuance is an issuance of Capital  Stock of the
         Parent or of options or warrants in respect of such Capital Stock;

                  (c) (i) (A) any such sale,  transfer or  conveyance is for not
         less than the fair market value of the assets so sold,  transferred  or
         conveyed  and (B) in the event  the fair  market  value of such  assets
         exceeds $5,000,000,  the determination of the Board of Directors of the
         Parent or a  committee  thereof is  evidenced  by a  certified  written
         resolution  of such  Board or  committee)  and,  except  in the case of
         Non-Counted   Assets,  the  consideration   received  by  the  relevant
         Subsidiary  Borrower  or the  relevant  Subsidiary  of such  Subsidiary
         Borrower  in  respect  thereof  consists  of at least  80% cash or Cash
         Equivalent  Investments,  (ii) any such consideration not consisting of
         cash or Cash Equivalent Investments  (including  consideration received
         in the sale,  transfer  or  conveyance  of Non-  Counted  Assets) is an
         Investment  that would be permitted by Section 8.2.5 and (iii) the fair
         market value of such assets (other than Non-Counted  Assets),  together
         with the  aggregate  fair market value of all other assets  (other than
         Non-Counted  Assets)  sold,  transferred  or conveyed  pursuant to this
         clause (c) in the Fiscal  Year such  assets  are sold,  transferred  or
         conveyed, does not exceed $10,000,000;  provided, however, that no such
         sale,  transfer  or  conveyance  shall  be  permitted  to  be  made  if
         immediately  before or after giving effect  thereto,  any Default shall
         have occurred and be continuing; or

                  (d)  without   limiting  the  effect  in  any  manner  of  the
         provisions  of Article  IX, any such sale,  transfer or  conveyance  of
         Vehicles  is as a result of an  Amortization  Event (as  defined in the
         Base Indenture).

For purposes  hereof,  "Non-Counted  Assets" means assets sold,  transferred  or
conveyed as part of the sale of the operations  conducted on the sites set forth
on  Schedule V hereto or as part of the sale of the  operations  conducted  at a
site previously operated by a franchisee of Dollar or Thrifty

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<PAGE>

or any of their respective  Subsidiaries and acquired by any of them pursuant to
a Permitted Business Acquisition after the date hereof.

         SECTION 8.2.11.  Modification of Certain Agreements. Each Borrower will
not, and will not permit any of its  Subsidiaries  to, consent to any amendment,
supplement or other modification of (a) any of the terms or provisions contained
in, or applicable  to, the Chrysler  Credit  Support  Documents,  other than any
amendment,  supplement  or other  modification  which  would not have an adverse
effect on the  interests  of the  Lenders  hereunder  and  under the other  Loan
Documents  (unless  otherwise  consented  to by  the  Required  Lenders)  or the
business,  property,  operations,  assets, liabilities,  condition (financial or
otherwise)  or  prospects  of the Parent and its  Subsidiaries  taken as a whole
(unless otherwise  consented to by the Required Lenders) or (b) any of the terms
or  provisions  contained  in, or  applicable  to,  the  Chrysler-Dollar  Supply
Agreement, the Chrysler-Thrifty Supply Agreement, the Tax Sharing Agreement, the
MTN Program  Documents  and,  upon the execution  and delivery  thereof,  the CP
Program Documents, or any document or instrument evidencing or applicable to any
Subordinated  Debt, other than any amendment,  supplement or other  modification
which  would  not  have an  adverse  effect  on the  Lenders  (unless  otherwise
consented to by the  Administrative  Agent),  a material  adverse  effect on the
interests of the Lenders  hereunder and under the other Loan  Documents  (unless
otherwise  consented to by the Required Lenders) or a material adverse effect on
the business, property, operations, assets, liabilities, condition (financial or
otherwise)  or  prospects  of the  Parent  and its  Subsidiaries  taken as whole
(unless otherwise consented to by the Required Lenders).

         SECTION 8.2.12.  Transactions with Affiliates.  Each Borrower will not,
and will not permit any of its Subsidiaries to, enter into, or cause,  suffer or
permit to exist any  arrangement  or contract  with any of its other  Affiliates
unless such  arrangement  or contract is fair and  equitable to such Borrower or
such  Subsidiary  and is an  arrangement  or contract of the kind which would be
entered  into by a  prudent  Person in the  position  of such  Borrower  or such
Subsidiary with a Person which is not one of its Affiliates;  provided, however,
that  the  foregoing  restriction  shall  not  apply  to (i)  any  agreement  or
arrangement  between  or among a Borrower  and a Wholly  Owned  Subsidiary  of a
Borrower  that is not otherwise  prohibited  hereunder and (ii) any agreement or
arrangement  that  provides  for the sale of Vehicles  from RCFC to a Subsidiary
Borrower or any  Subsidiary  of a Subsidiary  Borrower at the higher of the fair
market  value  thereof  and the net  book  value  thereof,  to the  extent  such
agreement  or  arrangement  is  entered  into in  connection  with a  structured
financing or securitization program.

     SECTION  8.2.13.  Negative  Pledges,   Restrictive  Agreements,  etc.  Each
Borrower  will not, and will not permit any of its  Subsidiaries  to, enter into
any agreement (excluding this Agreement and any other Loan Document) prohibiting

                  (a) the creation or assumption of any Lien upon its properties
         revenues or assets, whether now owned or hereafter acquired; or

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<PAGE>

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

except

                  (i)  any   indenture  or  agreement   governing   Indebtedness
         permitted  by clause (c) of Section  8.2.2 as in effect on the  Closing
         Date and any  refinancings  thereof  permitted by clause (w) of Section
         8.2.2;

                  (ii) any  agreement  governing any  Indebtedness  permitted by
         clause  (f) (g),  (j),  (l) or (t) of  Section  8.2.2 as to the  assets
         financed with the proceeds of such Indebtedness;

                  (iii) as to any SPC, usual and customary restrictions pursuant
         to the  Organic  Documents  of such SPC or  pursuant to the MTN Program
         Documents or CP Program Documents; or

                  (iv)  usual  and  customary   restrictions   pursuant  to  any
         agreement  relating  to  any  Indebtedness  of any  Foreign  Subsidiary
         permitted  pursuant to clause (i) of Section 8.2.2, such as maintenance
         of net worth or other  balance  sheet  conditions,  provided  that such
         restrictions are agreed to in good faith and, where  applicable,  based
         upon reasonable assumptions.

         SECTION 8.2.14. Ability to Amend; Restrictive Agreements. Each Borrower
will not, and will not permit any of its  Subsidiaries to, enter into, or accept
obligations  under, any agreement (a) prohibiting  (including  subjecting to any
condition)  the ability of such  Borrower or any of its  Subsidiaries  to amend,
supplement or otherwise  modify this Agreement or any other Loan Document or (b)
containing any provision  that would  contravene any provision of this Agreement
or any other Loan Document.

         SECTION 8.2.15.  Accounting Changes.  The Parent will not, and will not
permit  any  of  its  Subsidiaries  to,  change  its  Fiscal  Year  from  twelve
consecutive  calendar  months  ending on December 31, except with the consent of
the Administrative Agent (which consent shall not be unreasonably  withheld, but
which consent may be conditioned  upon the  effectuation  of such amendments and
other modifications to this Agreement, the other Loan Documents and the Chrysler
Credit Support Documents as the Administrative Agent may reasonably request).

         SECTION 8.2.16.  Activities of the Parent.  Without limiting the effect
of any  provision  contained  in  this  Article  VIII  and  notwithstanding  any
implication  to the  contrary  hereunder,  the  Parent  will not  engage  in any
business activity other than (i) its ownership of all the shares of

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<PAGE>

Capital Stock of the Subsidiary Borrowers,  RCFC, Dollar Thrifty Funding and any
other  Person that may become a direct  Subsidiary  of the Parent in  accordance
with the provisions hereof to the extent such Person does not conduct a business
activity which is one of the principal business  activities  conducted by Dollar
or  Thrifty  on the date  hereof and (ii) its  compliance  with the  obligations
applicable  to  it  under  the  Loan  Documents,  the  Chrysler  Credit  Support
Documents,  the MTN  Program  Documents  and the CP Program  Documents.  Without
limiting the generality of the immediately  preceding sentence,  the Parent will
not (a) create,  incur,  assume or suffer to exist any Indebtedness  (other than
Indebtedness  under this  Agreement  or any other Loan  Document,  any  Chrysler
Credit Support Document,  any such guaranty any Demand  Capitalization Note, any
intercompany  Indebtedness  pursuant  to  clause  (o) of  Section  8.2.2  or any
Subordinated Debt pursuant to clause (u) of Section 8.2.2), (b) create,  assume,
or suffer to exist any Lien  upon,  or grant any  options or other  rights  with
respect to, any of its revenues,  property or other assets, whether now owned or
hereafter  acquired  (other than  pursuant to the Loan  Documents,  the Chrysler
Credit Support  Documents or any intercompany  Indebtedness  described in clause
(i) of Section 8.2.3),  (c) wind-up,  liquidate or dissolve itself (or suffer to
exist any of the foregoing),  or consolidate or amalgamate with or merge into or
with any other Person, or convey, sell, transfer,  lease or otherwise dispose of
all or any part of its assets,  in one transaction or a series of  transactions,
to any  Person or  Persons,  (d)  create,  incur,  assume or suffer to exist any
Investment in any Person other than (i) as provided in clause (a), (b), (g), (h)
or (j) of Section  8.2.5 or (e) permit to be taken any action that would  result
in a Change  in  Control.  The  Parent  agrees  not to  commence  or  cause  the
commencement  of any of the  actions  described  in  clause  (b),  (c) or (d) of
Section 9.1.9 of this Agreement with respect to any of its Subsidiaries.

                                                    ARTICLE IX

                                                 EVENTS OF DEFAULT

     SECTION 9.1. Listing of Events of Default.  Each of the following events or
occurrences  described  in this  Section  9.1  shall  constitute  an  "Event  of
Default".

         SECTION 9.1.1.  Non-Payment of  Obligations.  Any Borrower or any other
Obligor shall (a) default in the payment or prepayment when due of any principal
of  any  Loan,  (b)  default  in the  payment  when  due  of  any  Reimbursement
Obligation,  or (c) default (and such default shall  continue  unremedied  for a
period of three  Business  Days) in the payment  when due of any interest on any
Loan, any fee or of any other Obligation.

         SECTION 9.1.2.  Breach of Warranty.  Any  representation or warranty of
any Borrower or any other Obligor made or deemed to be made  hereunder or in any
other Loan Document executed by it or any other writing or certificate furnished
by or on behalf of any  Borrower  or any other  Obligor  to either  Agent or any
Lender for the  purposes of or in  connection  with this  Agreement  or any such
other Loan Document  (including any certificates  delivered  pursuant to Article
VI) is or shall be incorrect when made in any material respect.

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<PAGE>

         SECTION 9.1.3.  Non-Performance  of Certain  Covenants and Obligations.
(a) Any Borrower shall default in the due  performance  and observance of any of
its obligations under Section 8.2, clause (d), (e), (g) or (k) of Section 8.1.1,
or Section 8.1.2, 8.1.8 or 8.1.9.

         (b) Any Borrower shall default in the due performance and observance of
any of its obligations  under clause (a), (b), (c), (h) or (i) of Section 8.1.1,
and such default shall continue unremedied for a period of ten days.

         SECTION 9.1.4.  Non-Performance of Other Covenants and Obligations. Any
Obligor  shall  default  in the due  performance  and  observance  of any  other
agreement  contained  herein or in any other Loan  Document  executed by it, and
such  default  shall  continue  unremedied  for a period of 30 days after notice
thereof  shall have been given to the Borrowers by the  Administrative  Agent or
any Lender.

         SECTION 9.1.5. Default on Other Indebtedness. (a) A default shall occur
in the payment when due (subject to any  applicable  grace  period),  whether by
acceleration  or  otherwise,   of  any  Indebtedness  (other  than  Indebtedness
described in Section  9.1.1) of the Parent or any of its  Subsidiaries  having a
principal amount,  individually or in the aggregate, in excess of $5,000,000, or
a default shall occur in the  performance  or  observance  of any  obligation or
condition with respect to such  Indebtedness if the effect of such default is to
accelerate the maturity  and/or require the cash  collateralization  of any such
Indebtedness or such default shall continue unremedied for any applicable period
of time sufficient to permit the holder or holders of such Indebtedness,  or any
trustee or agent for such holders,  to cause such Indebtedness to become due and
payable prior to its expressed  maturity or in the case of any letter of credit,
to be cash  collateralized  prior to its stated expiry dated (including pursuant
to any  right  of  such  holder,  holders,  trustee  or  agent  to  require  the
redemption,  repurchase or other acquisition of such  Indebtedness  prior to its
expressed maturity).

         (b) An Amortization Event (as defined in the Base Indenture) shall have
occurred  or RCFC  shall  become  unable to finance  the  purchase  of  Vehicles
pursuant to the CP Program or any similar event shall have occurred with respect
to RCFC or any  other  SPC that  would  result in such  Person  being  unable to
finance the purchase of Vehicles and the Borrowers  shall have failed to replace
the MTN Program or CP Program, as the case may be, with an alternative source of
financing having terms acceptable to the Required Lenders within 30 days of such
occurrence.

     SECTION 9.1.6. Judgments. Any judgment or order for the payment of money in
excess of  $5,000,000  (to the extent not  covered by  insurance  provided  by a
carrier that has not disputed  coverage) shall be rendered against the Parent or
any of its Subsidiaries and either

          (a) enforcement  proceedings shall have been commenced by any creditor
     upon such judgment or order; or

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                  (b) there  shall be any period of 20  consecutive  days during
         which a stay of enforcement  of such judgment or order,  by reason of a
         pending appeal or otherwise, shall not be in effect.

     SECTION 9.1.7.  Pension Plans. Any of the following events shall occur with
respect to any Pension Plan

                  (a) the  institution of any steps by any Borrower,  any member
         of its Controlled Group or any other Person to terminate a Pension Plan
         if, as a result of such  termination,  any  Borrower or any such member
         could be required to make a contribution to such Pension Plan, or could
         reasonably  expect to incur a liability or  obligation  to such Pension
         Plan, in excess of $1,000,000; or

                  (b) a contribution  failure occurs with respect to any Pension
         Plan sufficient to give rise to a Lien under Section 302(f) of ERISA.

         SECTION 9.1.8.  Change in Control.  Any Change in Control shall occur.
                         -----------------

     SECTION  9.1.9.  Bankruptcy,  Insolvency,  etc.  The  Parent  or any of its
Subsidiaries or any other Obligor shall

                  (a) become  insolvent  or  generally  fail to pay, or admit in
         writing its  inability or  unwillingness  to pay,  debts as they become
         due;

                  (b) apply for, consent to, or acquiesce in, the appointment of
         a trustee, receiver,  sequestrator or other custodian for the Parent or
         any of its  Subsidiaries  or any other  Obligor or any  property of any
         thereof, or make a general assignment for the benefit of creditors;

                  (c)  in  the   absence   of  such   application,   consent  or
         acquiescence,  permit or suffer to exist the  appointment of a trustee,
         receiver,  sequestrator or other custodian for the Parent or any of its
         Subsidiaries  or any other  Obligor  or for a  substantial  part of the
         property of any thereof,  and such trustee,  receiver,  sequestrator or
         other custodian shall not be discharged  within 60 days,  provided that
         each of its  Subsidiaries  and  each  other  Obligor  hereby  expressly
         authorizes  the  Administrative  Agent and each Lender to appear in any
         court conducting any relevant  proceeding during such 60- day period to
         preserve, protect and defend their rights under the Loan Documents;

                  (d)  permit  or  suffer  to  exist  the  commencement  of  any
         bankruptcy,   reorganization,   debt   arrangement  or  other  case  or
         proceeding  under any bankruptcy or insolvency law, or any dissolution,
         winding up or liquidation  proceeding,  in respect of the Parent or any
         of its  Subsidiaries  or any other  Obligor,  and,  if any such case or
         proceeding  is not  commenced by the Parent or such  Subsidiary or such
         other Obligor,

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         such case or  proceeding  shall be consented to or acquiesced in by the
         Parent or such  Subsidiary or such other Obligor or shall result in the
         entry of an order for relief or shall  remain for 60 days  undismissed,
         provided that the Parent, such Subsidiary and each other Obligor hereby
         expressly  authorizes each Agent and each Lender to appear in any court
         conducting  any such case or  proceeding  during such 60-day  period to
         preserve, protect and defend their rights under the Loan Documents; or

                    (e) take any action  authorizing,  or in furtherance of, any
               of the foregoing.

         SECTION 9.1.10.  Impairment of Security, etc. Any Loan Document, or any
Lien granted  thereunder,  shall (except in accordance with its terms), in whole
or in part,  terminate,  cease to be effective or cease to be the legally valid,
binding and enforceable obligation of any Obligor party thereto; any Borrower or
any other  Obligor  shall,  directly or  indirectly,  contest in any manner such
effectiveness,  validity, binding nature or enforceability; or any Lien securing
any  Obligation  shall,  in  whole or in part,  cease  to be a  perfected  first
priority Lien, subject only to those exceptions expressly permitted by such Loan
Document.

         SECTION 9.2. Action if Bankruptcy. If any Event of Default described in
clauses (a) through (d) of Section 9.1.9 shall occur,  the  Commitments  (if not
theretofore  terminated)  shall  automatically  terminate  and  the  outstanding
principal  amount  of all  outstanding  Loans and all  other  Obligations  shall
automatically be and become  immediately due and payable and each Borrower shall
immediately comply with its obligations under Section 4.7, in each case, without
notice or demand.

         SECTION 9.3. Action if Other Event of Default.  If any Event of Default
(other than any Event of Default described in clauses (a) through (d) of Section
9.1.9)  shall occur for any reason,  whether  voluntary or  involuntary,  and be
continuing,  the  Administrative  Agent,  upon  the  direction  of the  Required
Lenders,  shall by notice to the  Borrowers  declare  all or any  portion of the
outstanding  principal  amount of the Loans and other  Obligations to be due and
payable and/or the Commitments (if not theretofore  terminated) to be terminated
and/or demand immediate  compliance of each Borrower with its obligations  under
Section  4.7,  whereupon  the  full  unpaid  amount  of  such  Loans  and  other
Obligations  which  shall be so  declared  due and  payable  shall be and become
immediately due and payable, without further notice, demand or presentment,  the
Commitments  shall terminate  and/or, as the case may be, each Borrower shall be
obligated to comply immediately with its obligations under Section 4.7.

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                                                     ARTICLE X

                                                BORROWERS GUARANTY

     SECTION 10.1.  Guaranty.  Each Borrower hereby absolutely,  unconditionally
and irrevocably

                  (a) guarantees (in such capacity, a "Borrower  Guarantor") the
         full and punctual  payment  when due,  whether at stated  maturity,  by
         required prepayment, declaration, acceleration, demand or otherwise, of
         all  Obligations of each other Borrower (in such capacity,  a "Borrower
         Debtor") now or hereafter  existing,  whether for principal,  interest,
         fees,  expenses or otherwise  (including  all such amounts  which would
         become due but for the  operation of the  automatic  stay under Section
         362(a) of the United States Bankruptcy Code, 11 U.S.C.  ss.362(a),  and
         the  operation  of  Sections  502(b) and  506(b) of the  United  States
         Bankruptcy Code, 11 U.S.C. ss.502(b) and ss.506(b)), and

                  (b) indemnifies and holds harmless each Secured Party and each
         holder  of a Note  for  any  and  all  costs  and  expenses  (including
         reasonable attorneys' fees and expenses) incurred by such Secured Party
         or such holder,  as the case may be, in enforcing  any rights under the
         guaranty set forth in this Article X;

provided,  however,  that in the case of the guaranty made by each of Dollar and
Thrifty,  Dollar  or  Thrifty,  as the case may be,  shall be  liable  under the
guaranty  set forth in this Article X for the maximum  amount of such  liability
that can be hereby  incurred  without  rendering  the guaranty set forth in this
Article  X, as it  relates to Dollar or  Thrifty,  as the case may be,  voidable
under applicable law relating to fraudulent  conveyance or fraudulent  transfer,
and not for any  greater  amount.  The  guaranty  set  forth in this  Article  X
constitutes  a guaranty  of  payment  when due and not of  collection,  and each
Borrower  Guarantor  specifically  agrees  that it  shall  not be  necessary  or
required  that any Secured  Party or any holder of any Note  exercise any right,
assert any claim or demand or enforce any remedy whatsoever against any Borrower
Debtor or any other  Obligor (or any other  Person)  before or as a condition to
the obligations of such Borrower  Guarantor under the guaranty set forth in this
Article X.

         SECTION  10.2.   Acceleration  of  Borrowers  Guaranty.  Each  Borrower
Guarantor agrees that, if an Event of Default of the nature set forth in Section
9.1.9 shall occur at a time when any of the Obligations of a Borrower Debtor may
not then be due and payable,  such Borrower Guarantor agrees that it will pay to
the  Administrative  Agent for the account of the Secured Parties  forthwith the
full amount which would be payable  under the guaranty set forth in this Article
X by such Borrower Guarantor if all such Obligations were then due and payable.

         SECTION 10.3.  Guaranty  Absolute,  etc. The guaranty set forth in this
Article X shall in all respects be a  continuing,  absolute,  unconditional  and
irrevocable guaranty of payment, and shall remain in full force and effect until
all Obligations of each Borrower and each other Obligor

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have been paid in full in cash, all obligations of each Borrower Guarantor under
the  guaranty  set forth in this Article X shall have been paid in full in cash,
all Letters of Credit have been terminated or expired and all Commitments  shall
have terminated. Each Borrower Guarantor guarantees that the Obligations of each
Borrower  Debtor  will be paid  strictly  in  accordance  with the terms of this
Agreement and each other Loan Document under which they arise, regardless of any
law,  regulation  or  order  now or  hereafter  in  effect  in any  jurisdiction
affecting  any of such terms or the rights of any Secured Party or any holder of
any Note with respect  thereto.  The liability of each Borrower  Guarantor under
the guaranty set forth in this  Article X shall be absolute,  unconditional  and
irrevocable irrespective of:

                  (a) any lack of validity, legality or enforceability of this
         Agreement, any Note or any other Loan Document;

                  (b) the failure of any Secured Party or any holder of any Note

                           (i) to assert any claim or demand or to  enforce  any
                  right or remedy against any Borrower Debtor, any other Obligor
                  or any other Person (including any other guarantor  (including
                  such  Borrower   Guarantor))  under  the  provisions  of  this
                  Agreement, any Note, any other Loan Document or otherwise, or

                           (ii) to  exercise  any  right or remedy  against  any
                  other  guarantor  (including  such Borrower  Guarantor) of, or
                  collateral securing, any Obligations of any Borrower Debtor;

                  (c) any change in the time,  manner or place of payment of, or
         in any other term of,  all or any of the  Obligations  of any  Borrower
         Debtor, or any other extension, compromise or renewal of any Obligation
         of the any Borrower Debtor;

                  (d) any  reduction,  limitation,  impairment or termination of
         any  Obligations of any Borrower  Debtor for any reason,  including any
         claim of waiver,  release,  surrender,  alteration or  compromise,  and
         shall not be subject to (and such Borrower  Guarantor hereby waives any
         right to or claim of) any defense or setoff,  counterclaim,  recoupment
         or  termination  whatsoever  by reason of the  invalidity,  illegality,
         nongenuineness,  irregularity, compromise,  unenforceability of, or any
         other event or occurrence  affecting,  any  Obligations of any Borrower
         Debtor or otherwise;

                  (e)  any   amendment   to,   rescission,   waiver,   or  other
         modification  of, or any consent to departure from, any of the terms of
         this Agreement, any Note or any other Loan Document;

               (f) any addition,  exchange, release, surrender or non-perfection
          of any  collateral,  or any  amendment  to or  waiver  or  release  or
          addition of, or consent to departure from,

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<PAGE>

          any other  guaranty,  held by any  Secured  Party or any holder of any
          Note securing any of the Obligations of any Borrower Debtor; or

                  (g) any other circumstance which might otherwise  constitute a
         defense  available  to,  or a legal  or  equitable  discharge  of,  any
         Borrower Debtor, any surety or any guarantor.

         SECTION 10.4.  Reinstatement,  etc. Each Borrower Guarantor agrees that
the guaranty  set forth in this  Article X shall  continue to be effective or be
reinstated, as the case may be, if at any time any payment (in whole or in part)
of any of the  Obligations  is  rescinded  or must  otherwise be restored by any
Secured  Party or any holder of any Note,  upon the  insolvency,  bankruptcy  or
reorganization  of any Borrower Debtor or otherwise,  all as though such payment
had not been made.

         SECTION  10.5.  Waiver,  etc.  Each  Borrower  Guarantor  hereby waives
promptness, diligence, notice of acceptance and any other notice with respect to
any of the Obligations of any Borrower Debtor and the guaranty set forth in this
Article X and any requirement that the  Administrative  Agent, any other Secured
Party or any holder of any Note protect,  secure, perfect or insure any security
interest or Lien, or any property subject thereto,  or exhaust any right or take
any action  against any Borrower  Debtor,  any other Obligor or any other Person
(including  any  other  guarantor)  or  entity or any  collateral  securing  the
Obligations of any Borrower Debtor.

         SECTION 10.6. Postponement of Subrogation, etc. Each Borrower Guarantor
agrees  that it will not  exercise  any  rights  which it may  acquire by way of
rights of  subrogation  under the  guaranty  set forth in this Article X, by any
payment made under the guaranty set forth in this Article X or otherwise,  until
the prior payment in full in cash of all Obligations of each Borrower Debtor and
each other Obligor,  the  termination or expiration of all Letters of Credit and
the termination of all Commitments. Any amount paid to any Borrower Guarantor on
account of any such  subrogation  rights prior to the payment in full in cash of
all  Obligations of each Borrower Debtor and each other Obligor shall be held in
trust for the benefit of the Secured Parties and each holder of a Note and shall
immediately be paid to the  Administrative  Agent for the benefit of the Secured
Parties  and  each  holder  of a Note  and  credited  and  applied  against  the
Obligations of each Borrower  Debtor and each other Obligor,  whether matured or
unmatured,  in accordance with the terms of this Agreement;  provided,  however,
that if

                  (a) such  Borrower  Guarantor  has made payment to the Secured
         Parties and each holder of a Note of all or any part of the Obligations
         of each Borrower Debtor, and

                  (b) all  Obligations  of each  Borrower and each other Obligor
         have  been  paid in full in cash,  all  Letters  of  Credit  have  been
         terminated  or  expired  and  all  Commitments  have  been  permanently
         terminated,

each  Secured  Party and each holder of a Note  agrees  that,  at such  Borrower
Guarantor's request, the Administrative  Agent, on behalf of the Secured Parties
and the holders of the Notes, will

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execute and deliver to the Parent  appropriate  documents  (without recourse and
without  representation  or  warranty)  necessary  to evidence  the  transfer by
subrogation to such Borrower  Guarantor of an interest in the Obligations of the
applicable  Borrower  Debtor  resulting  from  such  payment  by  such  Borrower
Guarantor.  In furtherance of the foregoing,  for so long as any  Obligations or
Commitments  remain  outstanding,  such  Borrower  Guarantor  shall refrain from
taking any action or commencing  any  proceeding  against such Borrow Debtor (or
its successors or assigns, whether in connection with a bankruptcy proceeding or
otherwise)  to recover any  amounts in the  respect of  payments  made under the
guaranty  set forth in this  Article X to any  Secured  Party or any holder of a
Note.

         SECTION 10.7.  Right of  Contribution.  Each Borrower  Guarantor hereby
agrees  that to the extent that a Borrower  Guarantor  shall have paid more than
its proportionate  share of any payment made hereunder,  such Borrower Guarantor
shall be entitled to seek and  receive  contribution  from and against any other
Borrower  Guarantor  hereunder who has not paid its proportionate  share of such
payment. Each Borrower Guarantor's right of contribution shall be subject to the
terms and  conditions of Section 10.6. The provisions of this Section 10.7 shall
in no respect limit the obligations and liabilities of any Borrower Guarantor to
the  Administrative  Agent  and each  other  Secured  Party,  and each  Borrower
Guarantor shall remain liable to the Administrative Agent and each other Secured
Party for the full amount guaranteed by such Borrower Guarantor hereunder.

     SECTION 10.8. Successors, Transferees and Assigns; Transfers of Notes, etc.
The guaranty set forth in this Article X shall:

          (a) be  binding  upon each  Borrower  Guarantor,  and its  successors,
     transferees and assigns; and

          (b) inure to the benefit of and be enforceable  by the  Administrative
     Agent and each other Secured Party.

Without  limiting the  generality  of the  foregoing  clause (b), any Lender may
assign or otherwise  transfer (in whole or in part) any Note or Credit Extension
held by it to any other Person or entity,  and such other Person or entity shall
thereupon  become vested with all rights and benefits in respect thereof granted
to such Lender under any Loan Document (including the guaranty set forth in this
Article X) or otherwise,  subject,  however,  to any contrary provisions in such
assignment or transfer, and to the provisions of Section 12.11 and Article XI.

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                                                    ARTICLE XI

                                                    THE AGENTS

         SECTION 11.1. Actions.  Each Lender hereby appoints Credit Suisse First
Boston as its Administrative Agent under and for purposes of this Agreement, the
Notes and each other Loan Document.  Each Lender  authorizes the  Administrative
Agent to act on behalf of such Lender under this  Agreement,  the Notes and each
other Loan Document and, in the absence of other written  instructions  from the
Required  Lenders received from time to time by the  Administrative  Agent (with
respect to which the Administrative Agent agrees that it will comply,  except as
otherwise  provided in this Section or as otherwise  advised by counsel in order
to avoid contravention of applicable law), to exercise such powers hereunder and
thereunder as are  specifically  delegated to or required of the  Administrative
Agent by the terms  hereof  and  thereof,  together  with such  powers as may be
reasonably  incidental thereto.  Each Lender hereby indemnifies (which indemnity
shall survive any  termination of this  Agreement) each Agent pro rata according
to  such  Lender's  Percentage,  from  and  against  any  and  all  liabilities,
obligations,  losses,  damages,  claims, costs or expenses of any kind or nature
whatsoever  which  may at any time be  imposed  on,  incurred  by,  or  asserted
against, such Agent in any way relating to or arising out of this Agreement, the
Notes and any other Loan Document,  including reasonable attorneys' fees, and as
to which such Agent is not reimbursed by the Borrowers;  provided, however, that
no Lender  shall be liable for the payment of any  portion of such  liabilities,
obligations,  losses, damages, claims, costs or expenses which are determined by
a court of competent  jurisdiction in a final proceeding to have resulted solely
from such Agent's  gross  negligence  or willful  misconduct.  No Agent shall be
required to take any action  hereunder,  under the Notes or under any other Loan
Document,  or to prosecute or defend any suit in respect of this Agreement,  the
Notes or any other Loan Document,  unless such Agent is indemnified hereunder to
its satisfaction.  If any indemnity in favor of either Agent shall be or become,
in such Agent's  determination,  inadequate,  such Agent may call for additional
indemnification  from the Lenders and cease to do the acts  indemnified  against
hereunder until such additional indemnity is given.

         SECTION 11.2. Funding Reliance,  etc. Unless the  Administrative  Agent
shall have been  notified by telephone,  confirmed in writing,  by any Lender by
12:00 noon (New York City,  New York time) on the  Business  Day of a Borrowing,
with respect to ABR Loans,  and by 5:00 p.m.  (New York City,  New York time) on
the Business Day prior to a Borrowing,  with respect to Eurodollar  Loans,  that
such Lender  will not make  available  the amount  which  would  constitute  its
Percentage of such Borrowing on the date specified therefor,  the Administrative
Agent  may  assume  that  such  Lender  has made such  amount  available  to the
Administrative  Agent and, in reliance upon such  assumption,  make available to
the applicable  Borrower a corresponding  amount. If and to the extent that such
Lender shall not have made such amount  available to the  Administrative  Agent,
such  Lender  and  the  applicable   Borrower   severally  agree  to  repay  the
Administrative Agent forthwith on demand such corresponding amount together with
interest thereon,  for each day from the date the Administrative Agent made such
amount  available  to such  Borrower  to the date  such  amount is repaid to the
Administrative Agent, at the interest rate

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applicable at the time to Loans  comprising  such Borrowing (in the case of such
Borrower)  and (in the case of the  Lender),  at the Federal  Funds Rate for the
first two  Business  Days after  which  such  amount  has not been  repaid,  and
thereafter at the interest rate applicable to Loans comprising such Borrowing.

         SECTION 11.3.  Exculpation.  Neither Agent nor any of their  respective
directors,  officers,  employees or agents shall be liable to any Lender for any
action taken or omitted to be taken by it under this Agreement or any other Loan
Document,  or in connection  herewith or  therewith,  except for its own willful
misconduct or gross  negligence,  nor responsible for any recitals or warranties
herein or therein,  nor for the effectiveness,  enforceability,  validity or due
execution of this  Agreement or any other Loan  Document,  nor for the creation,
perfection  or priority of any Liens  purported to be created by any of the Loan
Documents, or the validity,  genuineness,  enforceability,  existence,  value or
sufficiency of any collateral  security,  nor to make any inquiry respecting the
performance by any Borrower of its obligations hereunder or under any other Loan
Document.  Any such inquiry which may be made by either Agent shall not obligate
it to make any  further  inquiry  or to take any  action.  Each  Agent  shall be
entitled to rely upon advice of counsel  concerning  legal  matters and upon any
notice, consent, certificate,  statement or writing which such Agent believes to
be genuine and to have been presented by a proper Person.

         SECTION 11.4. Successor. The Administrative Agent may resign as such at
any time upon at least 30 days' prior  written  notice to the  Borrowers and all
Lenders.  If the  Administrative  Agent at any time shall  resign,  the Required
Lenders  may (with the  consent of the  Borrowers  so long as a Default  has not
occurred  and  is not  then  continuing,  such  consent  not to be  unreasonably
withheld or delayed) appoint another Lender as a successor  Administrative Agent
which shall thereupon become the Administrative Agent hereunder. If no successor
Administrative  Agent shall have been so appointed by the Required Lenders,  and
shall  have  accepted  such  appointment,  within  30 days  after  the  retiring
Administrative  Agent's giving written notice of resignation,  then the retiring
Administrative  Agent  may,  on  behalf  of the  Lenders,  appoint  a  successor
Administrative  Agent, which shall be one of the Lenders or a commercial banking
institution  organized  under the laws of the U.S.  (or any State  thereof) or a
U.S. branch or agency of a commercial banking institution, and having a combined
capital  and  surplus  of at  least  $500,000,000.  Upon the  acceptance  of any
appointment as the Administrative Agent hereunder by a successor  Administrative
Agent, such successor Administrative Agent shall be entitled to receive from the
retiring  Administrative Agent such documents of transfer and assignment as such
successor  Administrative  Agent may  reasonably  request,  and shall  thereupon
succeed to and become vested with all rights,  powers,  privileges and duties of
the retiring  Administrative Agent, and the retiring  Administrative Agent shall
be discharged  from its duties and obligations  under this Agreement.  After any
retiring  Administrative  Agent's  resignation  hereunder as the  Administrative
Agent, the provisions of

                  (a) this  Article  XI shall  inure  to its  benefit  as to any
         actions  taken  or  omitted  to  be  taken  by  it  while  it  was  the
         Administrative Agent under this Agreement; and

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               (b) Section 11.3 and Section 11.4 shall  continue to inure to its
          benefit.

         SECTION 11.5.  Credit  Extensions by Agents.  Each Agent shall have the
same rights and powers with  respect to (x) the Loans made by it in its capacity
as a Lender or any of its  Affiliates,  (y) the  Notes  held by it or any of its
Affiliates,  and (z) its participating interests in the Letters of Credit as any
other Lender and may  exercise  the same as if it were not an Agent.  Each Agent
and its Affiliates may accept deposits from, lend money to, and generally engage
in any kind of business with any Borrower or any  Subsidiary or Affiliate of any
Borrower as if Credit Suisse First Boston and Chase were not Agents hereunder.

         SECTION 11.6. Credit Decisions.  Each Lender  acknowledges that it has,
independently  of each Agent and each other  Lender,  and based on such Lender's
review of the financial information of the Borrowers,  this Agreement, the other
Loan  Documents (the terms and  provisions of which being  satisfactory  to such
Lender) and such other documents,  information and investigations as such Lender
has deemed appropriate,  made its own credit decision to extend its Commitments.
Each Lender also acknowledges that it will, independently of each Agent and each
other Lender, and based on such other documents,  information and investigations
as it shall  deem  appropriate  at any  time,  continue  to make its own  credit
decisions as to  exercising or not  exercising  from time to time any rights and
privileges available to it under this Agreement or any other Loan Document.

         SECTION 11.7.  Collateral Agent. Each Lender consents and agrees to all
of the  terms  and  provisions  of the  Intercreditor  Agreement  and the  other
Security  Documents,  as the same may be in  effect  from time to time or may be
amended, supplemented or otherwise modified from time to time in accordance with
the provisions of the Security Documents and this Agreement,  and authorizes and
directs the Collateral Agent (as defined in the Intercreditor  Agreement) to act
as collateral agent pursuant to the Intercreditor  Agreement (including pursuant
to the appointment thereof under Section 5.1 of the Intercreditor Agreement).

         SECTION 11.8. Copies,  etc. The Administrative  Agent shall give prompt
notice to each Lender of each  notice or request  required  or  permitted  to be
given to the Administrative  Agent by any Borrower pursuant to the terms of this
Agreement (unless concurrently  delivered to the Lenders by such Borrower).  The
Administrative  Agent will distribute to each Lender each document or instrument
received for its account and copies of all other communications  received by the
Administrative  Agent from any Borrower for  distribution  to the Lenders by the
Administrative Agent in accordance with the terms of this Agreement or any other
Loan Document.

         SECTION  11.9.  Subagents.  At any time,  for the purposes of complying
with any legal  requirements,  restrictions or conditions in any jurisdiction in
which any  particular  act or acts are to be  performed,  or for the purposes of
obtaining a judgment in any  jurisdiction of either a judgment  already obtained
or the  enforcement of any of the provisions of this Agreement or any other Loan
Document or for any other similar reason,  the  Administrative  Agent shall have
the

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power, upon notice in writing to the Parent, to appoint any Person to act as its
subagent  with  such of the  rights  (including  the right to  remuneration  and
indemnity),  powers,  duties and obligations that the  Administrative  Agent has
hereunder or under any other Loan Document as may be conferred or imposed by the
instrument of appointment;  provided,  however,  that such subagent shall not be
entitled to exercise any greater  trusts,  powers,  authorities  and  discretion
than,  or to do anything  which could not have been done by, the  Administrative
Agent  pursuant to this  Agreement or any other Loan  Document.  Any subagent so
appointed  may be  removed  by the  Administrative  Agent in like  manner.  Such
reasonable  remuneration as the Administrative Agent may pay to any such Person,
together with any reasonable costs,  charges,  liabilities and expenses incurred
by it in performing its functions as such  subagent,  shall for purposes of this
Agreement  and  each  other  Loan  Document,   be  treated  as  costs,  charges,
liabilities and expenses incurred by the Administrative Agent.

                                                    ARTICLE XII

                                             MISCELLANEOUS PROVISIONS

         SECTION  12.1.  Waivers,   Amendments,  etc.  The  provisions  of  this
Agreement  and of each other  Loan  Document  may from time to time be  amended,
modified or waived, if such amendment,  modification or waiver is in writing and
consented to by each Borrower and the Required Lenders; provided,  however, that
no such amendment, modification or waiver which would:

                  (a)  modify  any  requirement  hereunder  that any  particular
         action be taken by all the Lenders or by the Required  Lenders shall be
         effective unless consented to by each Lender;

                  (b)  modify  this  Section  12.1,  change  the  definition  of
         "Required Lenders", increase the Commitment Amount or the Percentage of
         any Lender,  reduce any fees  described  in Article III (other than any
         fee payable to the  Administrative  Agent solely for its own account or
         the Issuer  solely for its own account),  release all or  substantially
         all of the collateral, except as otherwise specifically provided in any
         Loan  Document,  release any Guarantor from its  obligations  under its
         Guaranty,  or extend  the  Commitment  Termination  Date  shall be made
         without the consent of each Lender;

                  (c) extend the due date for,  or reduce the amount of, (i) any
         scheduled  repayment or  prepayment  of principal of or interest on any
         Loan (or  reduce the  principal  amount of or rate of  interest  on any
         Loan) or (ii) any repayment of a  Reimbursement  Obligation  (or reduce
         the  amount of or rate of  interest  on any  Reimbursement  Obligation)
         shall be made without the consent of each Lender;

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                    (d) modify  Section  2.2.4 shall be made without the consent
               of Credit Suisse First Boston and Chase;

                    (e) affect adversely the rights or obligations of the Issuer
               qua the Issuer  shall be made  without the consent of the Issuer;
               or

                  (f)  affect   adversely  the  rights  or  obligations  of  the
         Administrative Agent qua the Administrative Agent shall be made without
         the consent of the Administrative Agent.

Notwithstanding   the   foregoing   provisions   of  this  Section   12.1,   the
Administrative Agent and the Borrowers may, in connection with implementation or
maintenance of any CP Program or MTN Program, without the consent of any Lender,
enter into any amendment,  supplement or other  modification  to any Enhancement
Letters of Credit or Enhancement Letter of Credit Application and Agreement,  in
form  and  substance  satisfactory  to the  Administrative  Agent,  to cure  any
ambiguity or to correct or  supplement  any  provision in this  Agreement or any
other Loan Document that may be  inconsistent  with any provision  applicable to
such CP Program or MTN  Program;  provided,  however,  that (i) any such  action
shall not have an adverse effect on the interests of the Lenders and (ii) a copy
of any such amendment,  supplement or other  modification  shall be furnished to
the Lenders or the Issuer in accordance  with the notice  provisions  hereof not
later than five days prior to the execution thereof by the Administrative Agent.
No failure or delay on the part of either Agent,  the Issuer,  any Lender or the
holder of any Note in exercising  any power or right under this Agreement or any
other Loan Document shall operate as a waiver  thereof,  nor shall any single or
partial  exercise  of any such  power or right  preclude  any  other or  further
exercise  thereof or the  exercise of any other power or right.  No notice to or
demand on any  Borrower in any case shall  entitle it to any notice or demand in
similar or other  circumstances.  No waiver or  approval  by either  Agent,  the
Issuer,  any Lender or the holder of any Note under this  Agreement or any other
Loan  Document  shall,  except  as may be  otherwise  stated  in such  waiver or
approval,  be  applicable  to  subsequent  transactions.  No waiver or  approval
hereunder shall require any similar or dissimilar waiver or approval  thereafter
to be granted hereunder.

         SECTION 12.2. Notices. All notices and other communications provided to
any party hereto under this  Agreement  or any other Loan  Document  shall be in
writing or by facsimile and addressed, delivered or transmitted to such party at
its  address or  facsimile  number set forth in the case of any  Borrower or any
Agent,  below its signature  hereto or in the case of any Lender,  in Schedule I
hereto or in a Lender Assignment Agreement or at such other address or facsimile
number as may be designated by such party in a notice to the other parties. Each
notice shall be deemed to have been duly given or made when  delivered,  or five
Business  Days after being  deposited  in the mail,  postage  prepaid and return
receipt  requested,  or,  in the  case  of  facsimile  notice,  when  electronic
confirmation  thereof  is  received  by the  transmitter,  except  that  notices
pursuant to Article II, III, IV or XI to the  Administrative  Agent shall not be
effective  until  actually  received by the  Administrative  Agent,  and notices
pursuant  to Article  IV to the Issuer  shall not be  effective  until  actually
received by the Issuer.

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         SECTION 12.3. Payment of Costs and Expenses. The Borrowers, jointly and
severally,  agree to pay on demand all expenses of each Agent and each  Arranger
(including  the  reasonable  fees and  out-of-pocket  expenses of counsel to the
Agents  and of local  counsel,  if any,  who may be  retained  by counsel to the
Agents) in connection with

                  (a) the  negotiation,  preparation,  execution and delivery of
         this Agreement and of each other Loan Document, including schedules and
         exhibits, and any amendments,  waivers, consents,  supplements or other
         modifications  to this Agreement or any other Loan Document as may from
         time to time  hereafter  be required,  whether or not the  transactions
         contemplated hereby are consummated;

                  (b) the filing, recording, refiling or rerecording of any Loan
         Document  and/or  any  Uniform  Commercial  Code  financing  statements
         relating  thereto  and  all  amendments,  supplements,  amendments  and
         restatements  and other  modifications  to any  thereof and any and all
         other  documents or  instruments  of further  assurance  required to be
         filed or recorded or refiled or  rerecorded  by the terms hereof or the
         terms of any Loan Document; and

                  (c) the  preparation and review of the form of any document or
         instrument relevant to this Agreement or any other Loan Document.

The  Borrowers  further,  jointly and  severally,  agree to pay, and to save the
Agents,  the Arrangers,  the Issuer and the Lenders  harmless from all liability
for, any stamp, issuance,  excise or other similar taxes which may be payable in
connection  with  the  execution  or  delivery  of this  Agreement,  the  Credit
Extensions hereunder,  the issuance of the Notes, Letters of Credit or any other
Loan Documents.  The Borrowers also,  jointly and severally,  agree to reimburse
each  Agent,  the  Issuer  and  each  Lender  upon  demand  for  all  reasonable
out-of-pocket expenses (including reasonable attorneys' fees and legal expenses)
incurred by such Agent or such Lender in connection  with (x) the negotiation of
any restructuring or "work-out",  whether or not consummated, of any Obligations
and (y) the enforcement of any Obligations.

         SECTION 12.4.  Indemnification.  In  consideration of the execution and
delivery of this  Agreement by each Agent,  each  Arranger,  the Issuer and each
Lender and the extension of the Commitments,  the Borrowers hereby,  jointly and
severally,  indemnify,  exonerate and hold each Agent, each Arranger, the Issuer
and each Lender and each of their respective officers, directors,  employees and
agents  (collectively,  the  "Indemnified  Parties")  free and harmless from and
against any and all actions, causes of action, suits, losses, costs, liabilities
and damages,  and expenses  incurred in connection  therewith  (irrespective  of
whether  any  such  Indemnified  Party  is a  party  to  the  action  for  which
indemnification  hereunder is sought),  including reasonable attorneys' fees and
disbursements  whether  incurred in connection with actions between or among the
parties  hereto or the  parties  hereto  and third  parties  (collectively,  the
"Indemnified  Liabilities"),  incurred by the Indemnified Parties or any of them
as a result of, or arising out of, or relating to

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                  (a) any transaction  financed or to be financed in whole or in
         part,  directly  or  indirectly,   with  the  proceeds  of  any  Credit
         Extension,  including all Indemnified Liabilities arising in connection
         with the Original  Transaction,  the amendment and  restatement  of the
         Original  Credit  Agreement  in the  form  hereof,  any  of  the  other
         transactions  contemplated  hereby or by the Amendment Agreement or the
         use of any Letter of Credit;

                  (b) the entering into and  performance  of this  Agreement and
         any other Loan Document by any of the  Indemnified  Parties  (including
         any action brought by or on behalf of any Borrower as the result of any
         determination  by the  Required  Lenders  pursuant to Article VI not to
         fund any Credit Extension; provided that any such action is resolved by
         final  judgment of a court of competent  jurisdiction  in favor of such
         Indemnified Party);

                  (c) any investigation, litigation or proceeding related to any
         acquisition  or  proposed  acquisition  by  the  Parent  or  any of its
         Subsidiaries  of all or any  portion  of the  stock  or  assets  of any
         Person,  whether or not such Agent,  such Arranger,  the Issuer or such
         Lender is party thereto;

                  (d) any investigation, litigation or proceeding related to any
         environmental  cleanup,  audit,  compliance or other matter relating to
         the  protection of the  environment or the Release by the Parent or any
         of its Subsidiaries of any Hazardous Material; or

                  (e) the presence on or under, or the escape, seepage, leakage,
         spillage, discharge,  emission,  discharging or releases from, any real
         property owned or operated by the Parent or any  Subsidiary  thereof of
         any Hazardous  Material  (including any losses,  liabilities,  damages,
         injuries,  costs,  expenses  or claims  asserted  or arising  under any
         Environmental  Law),  regardless  of  whether  caused by, or within the
         control of, the Parent or such Subsidiary,

except  for any  such  Indemnified  Liabilities  arising  for the  account  of a
particular Indemnified Party by reason of the relevant Indemnified Party's gross
negligence or willful  misconduct or a breach by such Indemnified  Party (or its
agents  or  employees  or any other  Person  under  its  control)  of any of its
obligations  under this Agreement,  as determined by a final judgment of a court
of competent  jurisdiction.  If and to the extent that the foregoing undertaking
may be  unenforceable  for any reason,  each Borrower  hereby agrees to make the
maximum  contribution to the payment and satisfaction of each of the Indemnified
Liabilities which is permissible under applicable law.

         SECTION 12.5. Survival. The obligations of each Borrower under Sections
4.9, 5.3, 5.4, 5.5, 5.6, 12.3 and 12.4, and the obligations of the Lenders under
Section  11.1,  shall in each case  survive  any  assignment  from one Lender to
another  and any  termination  of this  Agreement,  the  payment  in full of all
Obligations and the termination of all Commitments. The representations

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and  warranties  made by each Obligor in this  Agreement  and in each other Loan
Document  shall survive the  execution  and delivery of this  Agreement and each
such other Loan Document.

         SECTION  12.6.  Severability.  Any  provision of this  Agreement or any
other Loan Document  which is prohibited or  unenforceable  in any  jurisdiction
shall, as to such provision and such jurisdiction,  be ineffective to the extent
of such  prohibition  or  unenforceability  without  invalidating  the remaining
provisions of this  Agreement or such Loan Document or affecting the validity or
enforceability of such provision in any other jurisdiction.

         SECTION 12.7.  Headings.  The various headings of this Agreement and of
each other Loan Document are inserted for convenience  only and shall not affect
the meaning or  interpretation  of this Agreement or such other Loan Document or
any provisions hereof or thereof.

         SECTION  12.8.  Execution in  Counterparts,  Effectiveness,  etc.  This
Agreement may be executed by the parties hereto in several counterparts, each of
which shall constitute  together but one and the same agreement.  This Agreement
shall become effective pursuant to the terms of the Amendment Agreement.

         SECTION 12.9.  Governing Law; Entire  Agreement.  THIS  AGREEMENT,  THE
NOTES AND EACH OTHER LOAN  DOCUMENT  SHALL EACH BE DEEMED TO BE A CONTRACT  MADE
UNDER AND GOVERNED BY THE LAWS OF THE STATE OF NEW YORK. This Agreement, the Fee
Letter,   the  Notes  and  the  other  Loan  Documents   constitute  the  entire
understanding among the parties hereto with respect to the subject matter hereof
and supersede any prior agreements, written or oral, with respect thereto.

         SECTION 12.10.  Successors and Assigns. This Agreement shall be binding
upon and shall inure to the benefit of the parties  hereto and their  respective
successors and assigns; provided, however, that:

                  (a) no  Borrower  may  assign  or  transfer  either  of  their
         respective  rights or obligations  hereunder  without the prior written
         consent  of the  Administrative  Agent and all of the  Lenders,  except
         permitted pursuant to clause (a) of Section 8.2.9 provided that, in the
         event of any such  transaction,  the  Administrative  Agent  shall have
         received such supplements or other  modifications to this Agreement and
         the other Loan  Documents as it may  reasonably  request to confirm the
         Obligations of such Borrower and the other Obligors); and

               (b) the rights of sale,  assignment  and  transfer of the Lenders
          are subject to Section 12.11.

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         SECTION 12.11. Sale and Transfer of Loans and Notes;  Participations in
Loans and Notes. Each Lender may assign, or sell  participations  in, its Loans,
Letters of Credit and  Commitments  to one or more other  Persons in  accordance
with this Section 12.11.

         SECTION 12.11.1.  Assignments.  Any Lender,

                  (a) with the written consents of each Borrower, the Issuer and
         the  Administrative  Agent (which  consents  shall not be  unreasonably
         delayed or withheld and which  consent,  in the case of such  Borrower,
         (i)  shall be deemed to have  been  given in the  absence  of a written
         notice  delivered by such Borrower to the  Administrative  Agent, on or
         before the fifth  Business Day after  receipt by such  Borrower of such
         Lender's  request for  consent,  stating,  in  reasonable  detail,  the
         reasons why such  Borrower  proposes to withhold  such consent and (ii)
         shall not be required if an Event of Default has  occurred  and is then
         continuing) may at any time assign and delegate to one or more Eligible
         Assignees, and

                  (b)  with  notice  to  the  Borrowers,   the  Issuer  and  the
         Administrative  Agent,  but without the  consent of any  Borrower,  the
         Issuer or the  Administrative  Agent, may assign and delegate to any of
         its Affiliates which is an Eligible Assignee or to any other Lender

(each  assignee to whom such  assignment  and  delegation  is to be made,  being
hereinafter  referred to as an "Assignee  Lender"),  all or any fraction of such
Lender's  total  Loans,  participations  in Letter of  Credit  Outstandings  and
Commitments  (which assignment and delegation shall be of a constant,  and not a
varying,  percentage of all the assigning  Lender's Loans and  Commitments) in a
minimum  aggregate  amount equal to the lesser of  $5,000,000  and the aggregate
amount  of such  assigning  Lender's  Loans,  participation  in Letter of Credit
Outstanding and  Commitments;  provided,  however,  that, after giving effect to
such assignment, the assigning Lender shall have Commitments,  participations in
Letter of Credit  Outstandings  and Loans  aggregating at least $5,000,000 or no
such Commitments,  participations and Loans; provided further, however, that any
such Assignee Lender will comply, if applicable,  with the provisions  contained
in the last  sentence of Section 5.6;  provided  further,  however,  that,  each
Borrower,  the Issuer and the Administrative Agent shall be entitled to continue
to deal solely and directly with such Lender in connection with the interests so
assigned and delegated to an Assignee Lender until

                  (i) written notice of such assignment and delegation, together
         with  payment  instructions,  addresses  and related  information  with
         respect  to  such  Assignee  Lender,  shall  have  been  given  to  the
         Borrowers,  the Issuer and the  Administrative  Agent by such assigning
         Lender and such Assignee Lender,

                  (ii) such Assignee Lender shall have executed and delivered to
         the  Borrowers,  the  Issuer  and the  Administrative  Agent  a  Lender
         Assignment Agreement, accepted by the Administrative Agent, and

                  (iii)the processing fees described below shall have been paid.

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From and  after the date  that the  Administrative  Agent  accepts  such  Lender
Assignment  Agreement,  (x) the  Assignee  Lender  thereunder  shall  be  deemed
automatically  to have  become a party  hereto and to the extent that rights and
obligations  hereunder have been assigned and delegated to such Assignee  Lender
in connection with such Lender Assignment  Agreement,  shall have the rights and
obligations of a Lender  hereunder and under the other Loan  Documents,  and (y)
the assigning Lender,  to the extent that rights and obligations  hereunder have
been  assigned and  delegated by it in  connection  with such Lender  Assignment
Agreement,  shall be released from its obligations hereunder and under the other
Loan  Documents.  Within five Business Days after its receipt of notice that the
Administrative Agent has received an executed Lender Assignment Agreement,  each
Borrower   shall,  to  the  extent   requested,   execute  and  deliver  to  the
Administrative  Agent (for delivery to the relevant  Assignee  Lender) new Notes
evidencing such Assignee  Lender's  assigned Loans and  Commitments  and, if the
assigning  Lender  has  retained  Loans  and  Commitments  hereunder  which  are
evidenced by any Notes,  replacement  Notes in the principal amount of the Loans
and Commitments  retained by the assignor Lender  hereunder (such Notes to be in
exchange  for,  but not in payment of,  those  Notes then held by such  assignor
Lender).  Each such Note shall be dated the date of the predecessor  Notes.  The
assignor Lender shall mark the predecessor Notes "exchanged" and deliver them to
each  applicable  Borrower.  Accrued  interest  on that  part  of the  principal
comprising any assigned  Loans,  and accrued fees,  shall be paid as provided in
the Lender Assignment Agreement.  Accrued interest on that part of the principal
of any Loans not assigned shall be paid to the assignor Lender. Accrued interest
and  accrued  fees  shall be paid at the same  time or  times  provided  in this
Agreement.  Such  assigning  Lender  must  also  pay a  processing  fee  to  the
Administrative  Agent upon  delivery of any Lender  Assignment  Agreement in the
amount of $3,500. Any attempted assignment and delegation not made in accordance
with this Section 12.11.1 shall be null and void.

         Notwithstanding  any other provision set forth in this  Agreement,  any
Lender may at any time  create a security  interest in all or any portion of its
rights under this Agreement  (including the Loans owing to it and the Notes held
by it) in favor of any Federal  Reserve Bank in accordance  with Regulation A of
the F.R.S. Board;  provided,  however, the obligations of such Lender under this
Agreement  or under any other Loan  Document  shall not be delegated or assigned
pursuant  to any  foreclosure  under such pledge  without  the  consents of each
Borrower, the Administrative Agent and the Issuer.

         The Borrowers hereby designate the Administrative Agent to serve as the
Borrowers'  agent,  solely for the  purpose  of this  paragraph,  to  maintain a
register (the  "Register")  on which the  Administrative  Agent will record each
Lender's Loan Commitment,  the Loans made by each Lender,  and each repayment in
respect of the principal amount of the Loans of each Lender and annexed to which
the Administrative Agent shall retain a copy of each Lender Assignment Agreement
delivered to the Administrative Agent pursuant to this Section 12.11.1.  Failure
to make any recordation, or any error in such recordation,  shall not affect the
Borrowers  obligations  in respect of such Loans.  The  entries in the  Register
shall be conclusive,  in the absence of manifest error,  and the Borrowers,  the
Administrative  Agent and the  Lenders  shall  treat each Person in whose name a
Loan is registered as the owner thereof for all purposes of this

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Agreement,  notwithstanding  notice or any provision  herein to the contrary.  A
Lender's Loan Commitment and the Loans made pursuant  thereto may be assigned or
otherwise  transferred  in  whole  or in  part  only  by  registration  of  such
assignment or transfer in the Register. Any assignment or transfer of a Lender's
Loan  Commitment or the Loans made  pursuant  thereto shall be registered in the
Register only upon delivery to the  Administrative  Agent of a Lender Assignment
Agreement duly executed by the assignor thereof.  No assignment or transfer of a
Lender's Loan  Commitment or the Loans made pursuant  thereto shall be effective
unless such  assignment or transfer  shall have been recorded in the Register by
the Administrative Agent as provided in this Section.

         SECTION 12.11.2. Participations. Any Lender may at any time sell to one
or  more  commercial  banks  or  other  financial  institutions  (each  of  such
commercial  banks  and  other  financial  institutions  being  herein  called  a
"Participant") participating interests (or a sub- participating interest, in the
case of a Lender's  participating  interest in a Letter of Credit) in any of the
Loans,  Commitments,  or other  interests  of such Lender  hereunder;  provided,
however, that

                  (a) no participation or sub-participation contemplated in this
         Section  12.11 shall  relieve such Lender from its  Commitments  or its
         other obligations hereunder or under any other Loan Document,

                  (b) such Lender shall  remain  solely   responsible   for  the
          performance of its Commitments and such other obligations,

                  (c)  each   Borrower   and   each   other   Obligor   and  the
         Administrative  Agent shall  continue to deal solely and directly  with
         such Lender in  connection  with such Lender's  rights and  obligations
         under this Agreement and each of the other Loan Documents,

                  (d) no Participant, unless such Participant is an Affiliate of
         such Lender,  or is itself a Lender,  shall be entitled to require such
         Lender to take or refrain from taking any action hereunder or under any
         other  Loan  Document,  except  that such  Lender  may  agree  with any
         Participant  that such  Lender  will not,  without  such  Participant's
         consent, take any actions of the type described in clause (b) or (c) of
         Section 12.1,

                  (e) no  Borrower  shall be  required  to pay any amount  under
         Section  5.6 that is greater  than the amount  which it would have been
         required to pay had no participating interest been sold, and

                  (f) such Lender shall comply with any  obligation  to withhold
         taxes or any filing or reporting  requirements imposed under applicable
         law  relating  to  such   Participant   and  the   Borrowers   and  the
         Administrative  Agent shall  continue to deal solely and directly  with
         such Lender in connection with such matters.

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Each Borrower  acknowledges  and agrees that each  Participant,  for purposes of
Sections 5.3,  5.4,  5.5,  5.6,  5.8, 5.9, 12.3 and 12.4,  shall be considered a
Lender;  provided,  that no Participant shall be entitled to receive any greater
payment  under  Section  5.3, 5.4 or 5.5 than the Lender that  transferred  such
rights to such  Participant  would have been entitled to receive with respect to
such  rights,  unless such  transfer  is made with a  Borrower's  prior  written
consent.

         SECTION  12.12.  Other  Transactions.  Nothing  contained  herein shall
preclude either Agent or any other Lender from engaging in any  transaction,  in
addition to those  contemplated  by this  Agreement or any other Loan  Document,
with any  Borrower  or any of its  Affiliates  in which  such  Borrower  or such
Affiliate is not restricted hereby from engaging with any other Person.

         SECTION 12.13.  Independence of Covenants.  All covenants  contained in
this  Agreement and each other Loan Document shall be given  independent  effect
such that, in the event a particular action or condition is not permitted by any
of such covenants, the fact that it would be permitted by an exception to, or be
otherwise  within  the  limitations  of,  another  covenant  shall  not,  unless
expressly so provided in such first covenant,  avoid the occurrence of a Default
or an Event of Default if such action is taken or such condition exists.

         SECTION 12.14. Confidentiality.  The Agents, the Issuer and the Lenders
shall hold all non-public  information  provided to them by the Parent or any of
its Subsidiaries  pursuant to or in connection with this Agreement in accordance
with their customary  procedures for handling  confidential  information of this
nature, but may make disclosure to any of their examiners, regulators (including
the  National  Association  of  Insurance  Commissioners),  Affiliates,  outside
auditors,  counsel  and other  professional  advisors  in  connection  with this
Agreement or any other Loan Document or as reasonably  required by any potential
bona  fide  transferee,  participant  or  assignee,  or in  connection  with the
exercise of remedies under a Loan Document,  or as requested by any governmental
agency  or  representative  thereof  or  pursuant  to legal  process;  provided,
however,  that (a) unless  specifically  prohibited by  applicable  law or court
order,  each  Agent,  the  Issuer  and each  Lender  shall  promptly  notify the
Borrowers of any request by any governmental  agency or  representative  thereof
(other than any such request in connection  with an examination of the financial
condition of such Agent, the Issuer or such Lender by such governmental  agency)
for disclosure of any such non-public information and, where practicable,  prior
to disclosure of such information;  (b) prior to any such disclosure pursuant to
this Section  12.14,  each Agent,  the Issuer and each Lender shall  require any
such bona fide  transferee,  participant and assignee  receiving a disclosure of
non-public  information  to  agree,  for  the  benefit  of the  Parent  and  its
Subsidiaries,  in writing  (i) to be bound by this  Section  12.14;  and (ii) to
require  such Person to require any other  Person to whom such Person  discloses
such non-public information to be similarly bound by this Section 12.14; and (c)
except as may be required by an order of a court of competent  jurisdiction  and
to the extent set forth  therein,  no Lender  shall be  obligated or required to
return any materials furnished by the Parent or any of its Subsidiary.

     SECTION 12.15. Forum Selection and Consent to Jurisdiction.  ANY LITIGATION
BASED HEREON, OR ARISING OUT OF, UNDER, OR IN CONNECTION WITH,

                                                        127

<PAGE>

THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT,  OR ANY COURSE OF CONDUCT,  COURSE OF
DEALING,  STATEMENTS  (WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE ADMINISTRATIVE
AGENT,  THE LENDERS OR ANY BORROWER SHALL BE BROUGHT AND MAINTAINED  EXCLUSIVELY
IN THE COURTS OF THE STATE OF NEW YORK OR IN THE UNITED  STATES  DISTRICT  COURT
FOR THE SOUTHERN DISTRICT OF NEW YORK; PROVIDED,  HOWEVER, THAT ANY SUIT SEEKING
ENFORCEMENT  AGAINST ANY  COLLATERAL  OR OTHER  PROPERTY MAY BE BROUGHT,  AT THE
ADMINISTRATIVE  AGENT'S  OPTION,  IN THE COURTS OF ANY  JURISDICTION  WHERE SUCH
COLLATERAL OR OTHER PROPERTY MAY BE FOUND.  EACH BORROWER  HEREBY  EXPRESSLY AND
IRREVOCABLY  SUBMITS TO THE  JURISDICTION OF THE COURTS OF THE STATE OF NEW YORK
AND OF THE UNITED STATES  DISTRICT  COURT FOR THE SOUTHERN  DISTRICT OF NEW YORK
FOR THE PURPOSE OF ANY SUCH LITIGATION AS SET FORTH ABOVE AND IRREVOCABLY AGREES
TO BE BOUND BY ANY JUDGMENT RENDERED THEREBY IN CONNECTION WITH SUCH LITIGATION.
EACH  BORROWER  FURTHER  IRREVOCABLY  CONSENTS  TO THE  SERVICE  OF  PROCESS  BY
REGISTERED MAIL,  POSTAGE PREPAID,  OR BY PERSONAL SERVICE WITHIN OR WITHOUT THE
STATE OF NEW YORK. EACH BORROWER HEREBY EXPRESSLY AND IRREVOCABLY WAIVES, TO THE
FULLEST  EXTENT  PERMITTED BY LAW, ANY  OBJECTION  WHICH SUCH PERSON MAY HAVE OR
HEREAFTER MAY HAVE TO THE LAYING OF VENUE OF ANY SUCH LITIGATION  BROUGHT IN ANY
SUCH COURT  REFERRED  TO ABOVE AND ANY CLAIM THAT ANY SUCH  LITIGATION  HAS BEEN
BROUGHT  IN AN  INCONVENIENT  FORUM.  TO THE  EXTENT  THAT ANY  BORROWER  HAS OR
HEREAFTER  MAY ACQUIRE ANY IMMUNITY FROM  JURISDICTION  OF ANY COURT OR FROM ANY
LEGAL PROCESS (WHETHER THROUGH SERVICE OR NOTICE,  ATTACHMENT PRIOR TO JUDGMENT,
ATTACHMENT IN AID OF EXECUTION OR OTHERWISE)  WITH RESPECT TO SUCH PERSON OR THE
PROPERTY OF SUCH PERSON,  EACH BORROWER HEREBY  IRREVOCABLY WAIVES SUCH IMMUNITY
IN RESPECT OF THE  OBLIGATIONS OF SUCH PERSON UNDER THIS AGREEMENT AND THE OTHER
LOAN DOCUMENTS.

         SECTION 12.16.  Waiver of Jury Trial.  THE  ADMINISTRATIVE  AGENT,  THE
LENDERS AND EACH BORROWER HEREBY KNOWINGLY,  VOLUNTARILY AND INTENTIONALLY WAIVE
ANY RIGHTS THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY  LITIGATION  BASED
HEREON,  OR ARISING OUT OF, UNDER, OR IN CONNECTION  WITH, THIS AGREEMENT OR ANY
OTHER LOAN  DOCUMENT,  OR ANY COURSE OF CONDUCT,  COURSE OF DEALING,  STATEMENTS
(WHETHER ORAL OR WRITTEN) OR ACTIONS OF THE ADMINISTRATIVE AGENT, THE LENDERS OR
ANY BORROWER.  EACH BORROWER  ACKNOWLEDGES  AND AGREES THAT IT HAS RECEIVED FULL
AND SUFFICIENT CONSIDERATION FOR THIS PROVISION (AND EACH OTHER

                                                        128

<PAGE>

PROVISION  OF EACH  OTHER  LOAN  DOCUMENT  TO WHICH IT IS A PARTY) AND THAT THIS
PROVISION IS A MATERIAL INDUCEMENT FOR THE ADMINISTRATIVE  AGENT AND THE LENDERS
ENTERING INTO THIS AGREEMENT AND EACH SUCH OTHER LOAN DOCUMENT.

                [REMAINDER OF THIS PAGE LEFT INTENTIONALLY BLANK]

                                                        129

<PAGE>

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

DOLLAR THRIFTY AUTOMOTIVE GROUP, INC.

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

Address:      5330 East 31st Street
              Tulsa, OK 74135

Facsimile No.: (918) 669-2301

Attention:    Pamela S.  Peck

DOLLAR RENT A CAR SYSTEMS, INC.

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

Address:      5330 East 31st Street
              Tulsa, OK 74135

Facsimile No.: (918) 669-3046

Attention:    Vicki J.  Vaniman

                                                      S-1
                          1

<PAGE>

THRIFTY RENT-A-CAR SYSTEM, INC.

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

Address:      5310 East 31st Street
              Tulsa, OK 74135

Facsimile No.: (918) 669-2596

Attention:    Randall J. Holder

CREDIT SUISSE FIRST BOSTON, as the
     Administrative Agent and as an Arranger

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

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

Address:      Eleven Madison Avenue
              13th Floor
              New York, NY  10010-3629

Facsimile No.:  (212) 325-8304

Attention:    Andrea Chicas

                                                      S-2
                          2

<PAGE>

CREDIT SUISSE FIRST BOSTON, as
     Issuer

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

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

THE CHASE MANHATTAN BANK, as
     the Syndication Agent

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

Address:

Facsimile No.:

Attention:

CHASE SECURITIES INC., as
     an Arranger

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

Address:

Facsimile No.:

Attention:

                                                      S-3
                          3

<PAGE>

LENDERS:

CREDIT SUISSE FIRST BOSTON

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

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

                                                      S-4
                          4

<PAGE>

THE CHASE MANHATTAN BANK

By: _______________________
      Name:
      Title:

                                                      S-5
                          5

<PAGE>

BANK OF OKLAHOMA, NATIONAL
    ASSOCIATION

By: _______________________
      Name:
      Title:

                                                      S-6
                          6

<PAGE>

MIDFIRST BANK

By: _______________________
      Name:
      Title:

                                                      S-7
                          7

<PAGE>

THE BANK OF NOVA SCOTIA

By: _______________________
      Name:
      Title:

                                                      S-8
                          8

<PAGE>

TEXTRON FINANCIAL CORPORATION

By: _______________________
      Name:
      Title:

                                                      S-9
                          9

<PAGE>

DEUTSCHE BANK AG, NEW YORK
    BRANCH AND/OR CAYMAN
    ISLANDS BRANCH

By: _______________________
      Name:
      Title:

By: _______________________
      Name:
      Title:

                                                      S-10
                         10

<PAGE>

DRESDNER BANK AG, NEW YORK
    AND GRAND CAYMAN BRANCHES

By: _______________________
      Name:
      Title:

                                                      S-11
                         11

<PAGE>

LOCAL OKLAHOMA BANK

By: _______________________
      Name:
      Title:

                                                      S-12
                         12

<PAGE>

BANK OF TOKYO - MITSUBISHI
    TRUST COMPANY

By: _______________________
      Name:
      Title:

                                                      S-13
                         13

<PAGE>

ARVEST STATE BANK

By: _______________________
      Name:
      Title:

                                                      S-14
                         14

<PAGE>

<TABLE>
<CAPTION>

                                                                                                                          SCHEDULE I

                                                         LENDER INFORMATION

<S>                                  <C>                       <C>                                  <C>
LENDER                               PERCENTAGE                DOMESTIC OFFICE                      EURODOLLAR OFFICE
------                               ----------                ---------------                      -----------------
Credit Suisse First Boston           16.7441860465%            Credit Suisse First Boston           Credit Suisse First Boston
                                                               Eleven Madison Avenue                Eleven Madison Avenue
                                                               New York, NY  10010-3629             New York, NY  10010-3629
                                                               Telecopier:  212-325-6677            Telecopier:  212-325-6677
                                                               Attn: Andrea Chicas                  Attn: Andrea Chicas

The Chase Manhattan Bank             15.8139534884%            Chase Manhattan Bank                 Chase Manhattan Bank
                                                               240 Park Avenue 48th Floor           240 Park Avenue 48th Floor
                                                               New York, NY 10017                   New York, NY 10017
                                                               Telecopier: 212-270-5659             Telecopier: 212-270-5659
                                                               Attn: Karen Sharf                    Attn: Karen Sharf

Bank of Oklahoma, National           11.6279069767%            Bank of Oklahoma, N.A.               Bank of Oklahoma, N.A.
Association                                                    Bok Tower 8SE                        Bok Tower 8SE
                                                               One Williams Center                  One Williams Center
                                                               Tulsa, OK 74192                      Tulsa, OK 74192
                                                               Telecopier: 918-295-0400             Telecopier: 918-295-0400
                                                               Attn: Robert D Mattax                Attn: Robert D Mattax

</TABLE>

                                                                -1-

<PAGE>

<TABLE>
<CAPTION>

<S>                                  <C>                       <C>                                  <C>
LENDER                               PERCENTAGE                DOMESTIC OFFICE                      EURODOLLAR OFFICE
------                               ----------                ---------------                      -----------------

Deutsche Bank AG New York            1.6279069767%             Deutsche Bank AG New York Branch     Deutsche Bank AG New York Branch
Branch and/ or Cayman Islands                                    and/or Cayman Islands Branch         and/or Cayman Islands Branch
Branch                                                         31 West 52nd Street                  31 West 52nd Street
                                                               New York, New York 10019             New York, New York 10019
                                                               Facsimile: 212-469-2930              Facsimile: 212-469-2930
                                                               Attn:   Hans - Josef Thiele          Attn:   Hans - Josef Thiele

Bank of Tokyo - Mitsubishi, Trust    9.3023255814%             Bank of Tokyo-Mitsubishi Trust Co.   BankofTokyo-Mitsubishi Trust Co.
Company                                                        1251 Avenue of the Americas          1251 Avenue of the Americas
                                                               New York, NY 10002-1104              New York, NY 10002-1104
                                                               Facsimile: 212-782-6402              Facsimile: 212-782-6402
                                                               Attn: Kathleen McGroary              Attn: Kathleen McGroary

Dresdner Bank AG, New York           6.9767441860%             Dresdner Bank NA                     Dresdner Bank NA
and Grand Cayman Branches                                      75 Wall Street                       75 Wall Street
                                                               New York, NY 10005-2889              New York, NY 10005-2889
                                                               Facsimile: 212-429-2524              Facsimile: 212-429-2524
                                                               Attn: Ken Hamilton                   Attn: Ken Hamilton

Local Oklahoma Bank                  6.9767441860%             Local Oklahoma Bank                  Local Oklahoma Bank
                                                               2550 East 73rd Street, Suite 200     2550 East 73rd Street, Suite 200
                                                               Tulsa, OK 74136                      Tulsa, OK 74136
                                                               Facsimile: 918-497-2497              Facsimile: 918-497-2497
                                                               Attn: Elisabeth Blue                 Attn: Elisabeth Blue

</TABLE>

                                                                -2-

<PAGE>

<TABLE>
<CAPTION>

<S>                                  <C>                       <C>                                  <C>
LENDER                               PERCENTAGE                DOMESTIC OFFICE                      EURODOLLAR OFFICE
------                               ----------                ---------------                      -----------------

MidFirst Bank                        6.9767441860%             MidFirst Bank                        MidFirst Bank
                                                               321 S. Boston Suite 104              321 S. Boston Suite 104
                                                               Tulsa, OK 74103                      Tulsa, OK 74103
                                                               Facsimile: 918-587-4058              Facsimile: 918-587-4058
                                                               Attn: Nicholas E. Fitzgerald         Attn: Nicholas E. Fitzgerald

The Bank of Nova Scotia              4.6511627907%             The Bank of Nova Scotia              The Bank of Nova Scotia
                                                               600 Peachtree Street, Suite 2700     600 Peachtree Street, Suite 2700
                                                               Atlanta, GA 30308                    Atlanta, GA 30308
                                                               Facsimile: 404-888-8998              Facsimile: 404-888-8998
                                                               Attn: Viki Gibson                    Attn: Viki Gibson

Arvest State Bank                    4.6511627907%             Arvest State Bank                    Arrest State Bank
                                                               South Garnett Road                   South Garnett Road
                                                               Tulsa, OK 74146                      Tulsa, OK 74146
                                                               Facsimile: 918-631-6820              Facsimile: 918-631-6820
                                                               Attn: Michael E. Gibson              Attn: Michael E. Gibson

Textron Financial Corporation        4.6511627907%             Textron Financial Corp.              Textron Financial Corp.
                                                               830 Post Road East                   830 Post Road East
                                                               Westport, CT 06880                   Westport, CT 06880
                                                               Facsimile: 203-454-3784              Facsimile: 203-454-3784
                                                               Attn: Stewart Schulman               Attn: Stewart Schulman

</TABLE>

                                                        -3-

<PAGE>

<TABLE>
<CAPTION>

                                                 TABLE OF CONTENTS

Section                                                                                                        Page

                                                     ARTICLE I

                                         DEFINITIONS AND ACCOUNTING TERMS
<S>           <C>                                                                                                <C>
1.1.          Defined Terms.......................................................................................3
1.2.          Use of Defined Terms...............................................................................40
1.3.          Cross-References...................................................................................40
1.4.          Accounting and Financial Determinations............................................................40

                                                    ARTICLE II

                                    COMMITMENTS, BORROWING PROCEDURES AND NOTES

2.1.          Commitments........................................................................................40
2.1.1.        Loan Commitment....................................................................................40
2.1.2.        Commitment to Issue Letters of Credit..............................................................41
2.1.3.        Lenders Not Permitted or Required to Make Loans or Issue Letters of Credit
                  Under Certain Circumstances....................................................................41
2.2.          Reduction of Commitment Amounts....................................................................42
2.2.1.        Optional...........................................................................................42
2.2.2.        Mandatory..........................................................................................42
2.2.3.        Corresponding Reductions...........................................................................43
2.2.4.        Initial Reductions.................................................................................43
2.3.          Borrowing Procedure................................................................................44
2.4.          Continuation and Conversion Elections..............................................................45
2.5.          Funding............................................................................................45
2.6.          Loan Accounts......................................................................................46

                                                    ARTICLE III

                                    REPAYMENTS, PREPAYMENTS, INTEREST AND FEES

3.1.          Repayments and Prepayments.........................................................................46
3.2.          Interest Provisions................................................................................48
3.2.1.        Rates..............................................................................................48
3.2.2.        Post-Maturity Rates................................................................................48
3.2.3.        Payment Dates......................................................................................48
3.3.          Fees...............................................................................................49

                                                      -i-
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
Section                                                                                                        Page

<S>           <C>                                                                                                <C>
3.3.1.        Commitment Fees....................................................................................49
3.3.2.        [INTENTIONALLY OMITTED]............................................................................49
3.3.3.        Administrative Agent's Fee.........................................................................49
3.3.4.        Letter of Credit Face Amount Fee...................................................................50
3.3.5.        Letter of Credit Issuing Fee.......................................................................50
3.3.6.        Letter of Credit Administrative Fee................................................................50

                                                    ARTICLE IV

                                                 LETTERS OF CREDIT

4.1.          Issuance Requests..................................................................................50
4.2.          Issuances and Extensions...........................................................................52
4.3.          Expenses...........................................................................................52
4.4.          Other Lenders' Participation.......................................................................52
4.5.          Disbursements......................................................................................53
4.6.          Reimbursement......................................................................................54
4.7.          Deemed Disbursements...............................................................................54
4.8.          Nature of Reimbursement Obligations................................................................55
4.9.          Indemnity..........................................................................................56
4.10.         Borrowers' Guaranty of Reimbursement Obligations of its Subsidiaries...............................56
4.10.1.       Guaranty...........................................................................................56
4.10.2.       Acceleration of Guaranty...........................................................................57
4.10.3.       Guaranty Absolute, etc.............................................................................57
4.10.4.       Reinstatement, etc.................................................................................58
4.10.5.       Waiver, etc........................................................................................59
4.10.6.       Postponement of Subrogation, etc...................................................................59
4.10.7.       Right of Contribution..............................................................................59
4.10.8.       Successors, Transferees and Assigns; Transfers of Notes, etc.......................................60
4.11.         No Bankruptcy Petition Against RCFC or Dollar Thrifty Funding......................................60
4.12.         Original Letters of Credit.........................................................................61

                                                     ARTICLE V

                                   CERTAIN EURODOLLAR RATE AND OTHER PROVISIONS

5.1.          Eurodollar Rate Lending Unlawful...................................................................61
5.2.          Deposits Unavailable...............................................................................61
5.3.          Increased Eurodollar Loan Costs, etc...............................................................61
5.4.          Funding Losses.....................................................................................62
5.5.          Increased Capital Costs............................................................................63

                                                      -ii-
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
Section                                                                                                        Page

<S>           <C>                                                                                                <C>
5.6.          Taxes..............................................................................................63
5.7.          Payments, Computations, etc........................................................................66
5.8.          Sharing of Payments................................................................................67
5.9.          Setoff.............................................................................................68
5.10.         Replacement of Lender..............................................................................68

                                                    ARTICLE VI

                                               CONDITIONS PRECEDENT

6.1.          [INTENTIONALLY OMITTED]............................................................................69
6.2.          All Credit Extensions..............................................................................69
6.2.1.        Compliance with Warranties, No Default, etc........................................................69
6.2.2.        Credit Request.....................................................................................70
6.2.3.        Enhancement Letters of Credit......................................................................70
6.2.4.        Satisfactory Legal Form............................................................................70

                                                    ARTICLE VII

                                          REPRESENTATIONS AND WARRANTIES

7.1.          Organization, etc..................................................................................71
7.2.          Due Authorization, Non-Contravention, etc..........................................................71
7.3.          Government Approval, Regulation, etc...............................................................72
7.4.          Validity, etc......................................................................................72
7.5.          Financial Information; Absence of Undisclosed Liabilities..........................................72
7.6.          No Material Adverse Change.........................................................................73
7.7.          Litigation, Labor Controversies, etc...............................................................73
7.8.          Subsidiaries.......................................................................................73
7.9.          Ownership of Properties............................................................................74
7.10.         Taxes..............................................................................................74
7.11.         Pension and Welfare Plans..........................................................................74
7.12.         Environmental Warranties...........................................................................75
7.13.         Intellectual Property..............................................................................76
7.14.         Regulations U and X................................................................................77
7.15.         Accuracy of Information............................................................................77
7.16.         Original Transaction Documents.....................................................................77
7.17.         Non-Guarantor Subsidiaries.........................................................................78
7.18.         Non-Impairment, etc................................................................................79

                                                      -iii-
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
Section                                                                                                        Page

                                                   ARTICLE VIII

                                                     COVENANTS

<S>           <C>                                                                                                <C>
8.1.          Affirmative Covenants..............................................................................79
8.1.1.        Financial Information, Reports, Notices, etc.......................................................79
8.1.2.        Compliance with Laws, Material Agreements, etc.....................................................82
8.1.3.        Maintenance of Properties..........................................................................83
8.1.4.        Insurance..........................................................................................83
8.1.5.        Books and Records..................................................................................84
8.1.6.        Environmental Covenant.............................................................................84
8.1.7.        Use of Proceeds....................................................................................85
8.1.8.        Additional Real Property...........................................................................85
8.1.9.        Future Subsidiaries................................................................................86
8.2.          Negative Covenants.................................................................................89
8.2.1.        Business Activities................................................................................89
8.2.2.        Indebtedness.......................................................................................90
8.2.3.        Liens..............................................................................................94
8.2.4.        Financial Condition................................................................................96
8.2.5.        Investments........................................................................................98
8.2.6.        Restricted Payments, etc..........................................................................100
8.2.7.        Capital Expenditures, etc.........................................................................103
8.2.8.        Take or Pay Contracts.............................................................................103
8.2.9.        Consolidation, Merger, etc........................................................................103
8.2.10.       Asset Dispositions, etc...........................................................................104
8.2.11.       Modification of Certain Agreements................................................................105
8.2.12.       Transactions with Affiliates......................................................................105
8.2.13.       Negative Pledges, Restrictive Agreements, etc.....................................................105
8.2.14.       Ability to Amend; Restrictive Agreements..........................................................106
8.2.15.       Accounting Changes................................................................................106
8.2.16.       Activities of the Parent..........................................................................106

                                                    ARTICLE IX

                                                 EVENTS OF DEFAULT

9.1.          Listing of Events of Default......................................................................107
9.1.1.        Non-Payment of Obligations........................................................................107
9.1.2.        Breach of Warranty................................................................................107
9.1.3.        Non-Performance of Certain Covenants and Obligations..............................................108
9.1.4.        Non-Performance of Other Covenants and Obligations................................................108

                                                      -iv-
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
Section                                                                                                        Page

<S>           <C>                                                                                               <C>
9.1.5.        Default on Other Indebtedness.....................................................................108
9.1.6.        Judgments.........................................................................................108
9.1.7.        Pension Plans.....................................................................................109
9.1.8.        Change in Control.................................................................................109
9.1.9.        Bankruptcy, Insolvency, etc.......................................................................109
9.1.10.       Impairment of Security, ..........................................................................110
9.2.          Action if Bankruptcy..............................................................................110
9.3.          Action if Other Event of Default..................................................................110

                                                     ARTICLE X

                                                BORROWERS GUARANTY

10.1.         Guaranty..........................................................................................110
10.2.         Acceleration of Borrowers Guaranty................................................................111
10.3.         Guaranty Absolute, etc............................................................................111
10.4.         Reinstatement, etc................................................................................112
10.5.         Waiver, etc.......................................................................................113
10.6.         Postponement of Subrogation, etc..................................................................113
10.7.         Right of Contribution.............................................................................114
10.8.         Successors, Transferees and Assigns; Transfers of Notes, etc......................................114

                                                    ARTICLE XI

                                                    THE AGENTS

11.1.         Actions...........................................................................................114
11.2.         Funding Reliance, etc.............................................................................115
11.3.         Exculpation.......................................................................................115
11.4.         Successor.........................................................................................116
11.5.         Credit Extensions by Agents.......................................................................116
11.6.         Credit Decisions..................................................................................116
11.7.         Collateral Agent..................................................................................117
11.8.         Copies, etc.......................................................................................117
11.9.         Subagents.........................................................................................117

                                                      -v-
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
Section                                                                                                        Page
                                                    ARTICLE XII

                                             MISCELLANEOUS PROVISIONS
<S>           <C>                                                                                               <C>
12.1.         Waivers, Amendments, etc..........................................................................118
12.2.         Notices...........................................................................................119
12.3.         Payment of Costs and Expenses.....................................................................119
12.4.         Indemnification...................................................................................120
12.5.         Survival..........................................................................................121
12.6.         Severability......................................................................................121
12.7.         Headings..........................................................................................121
12.8.         Execution in Counterparts, Effectiveness, etc.....................................................122
12.9.         Governing Law; Entire Agreement...................................................................122
12.10.        Successors and Assigns............................................................................122
12.11.        Sale and Transfer of Loans and Notes; Participations in Loans and Notes...........................122
12.11.1.      Assignments.......................................................................................122
12.11.2.      Participations....................................................................................124
12.12.        Other Transactions................................................................................125
12.13.        Independence of Covenants.........................................................................125
12.14.        Confidentiality...................................................................................126
12.15.        Forum Selection and Consent to Jurisdiction.......................................................126
12.16.        Waiver of Jury Trial..............................................................................127

SCHEDULE I            -    Lender Information
SCHEDULE II           -    Subordinated Intercompany Note Terms
SCHEDULE III          -    Existing Material Property
SCHEDULE IV           -    [INTENTIONALLY OMITTED]
SCHEDULE V            -    Non-Counted Assets

DISCLOSURE SCHEDULE

EXHIBIT A             -    Form of Revolving Note
EXHIBIT B-1           -    Form of Borrowing Request
EXHIBIT B-2           -    Form of Issuance Request
EXHIBIT C             -    Form of Continuation/Conversion Notice
EXHIBIT D             -    Form of Compliance Certificate
EXHIBIT E             -    Form of Pledge Agreement
EXHIBIT F             -    Form of Security Agreement
EXHIBIT G             -    Form of Subsidiary Guaranty
EXHIBIT H-1           -    Form of Mortgage
EXHIBIT H-2           -    Form of Deed of Trust
EXHIBIT I             -    Form of Intercreditor Agreement
EXHIBIT J             -    Form of CP Enhancement Letter of Credit

                                                      -vi-
</TABLE>

<PAGE>

<TABLE>
<CAPTION>
Section                                                                                                       Page

<S>                   <C>
EXHIBIT K             -    Form of Amendment Effective Date Certificate
EXHIBIT L             -    Form of Lender Assignment Agreement
EXHIBIT M             -    Form of U.S. Tax Compliance Certificate

                                                      -vii-
</TABLE>

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