Document:

<PAGE>

                         SECOND AMENDMENT TO AMENDED AND
                      RESTATED LOAN AND SECURITY AGREEMENT

                  THIS SECOND AMENDMENT TO AMENDED AND RESTATED LOAN AND
SECURITY AGREEMENT (as heretofore amended and as may be further amended,
restated, modified and supplemented from time to time) (the "Second Amendment"),
is effective as of October 10, 2000, by and among OPTICARE EYE HEALTH NETWORK,
INC., formerly known as CONSOLIDATED EYE CARE, INC., a North Carolina
corporation ("CEC"), OPTICARE EYE HEALTH CENTERS, INC., a Connecticut
corporation ("OptiCare"), PRIMEVISION HEALTH, INC., a Delaware corporation
("PVC" and together with CEC and OptiCare, the "Borrowers"), OPTICARE HEALTH
SYSTEMS, INC., a Delaware corporation (the "Parent"; and together with the
Borrowers, the "Obligors"), the financial institutions from time to time party
hereto (collectively, the "Lenders") and BANK AUSTRIA CREDITANSTALT CORPORATE
FINANCE, INC., in its capacity as agent for the Lenders (in such capacity, the
"Agent"). Capitalized terms used herein and not otherwise defined shall have the
meanings ascribed to them in the Loan Agreement.

                  WHEREAS, the Obligors, the Lenders, and the Agent are parties
to a certain Amended and Restated Loan and Security Agreement dated as of August
13, 1999 (as the same shall have been amended, restated, modified and
supplemented from time to time, including a certain First Amendment dated June
30, 2000, the "Loan Agreement");

                  WHEREAS, without limiting the rights or remedies of the Agent
or the Lenders, as a result of the failure to make past due interest payments
for September, 2000, the Obligors are in default of their obligations contained
in the Loan Agreement (the "Interest Defaults");

                  WHEREAS, Alexander Enterprise Holdings Corp. ("Alexander
Enterprise") has agreed to loan and advance to the Parent, in immediate
available funds, up to $2,250,000 pursuant to a certain subordinated note (the
"Subordinated Note") dated of even date herewith;

                  WHEREAS, the Obligors, the Lenders and the Agent have agreed,
on the terms and conditions set forth herein, to certain modifications of the
Loan Agreement in order to facilitate the transaction hereby contemplated; and

                  WHEREAS, from and after the Effective Date (as hereinafter
defined) of this Second Amendment, the Loan Agreement shall be amended, subject
to and upon the terms and conditions set forth herein;

<PAGE>

                  NOW, THEREFORE, for valuable consideration, the receipt and
sufficiency of which is hereby acknowledged, and subject to the fulfillment of
the conditions set forth below, the parties hereto agree as follows:

SECTION 1. Amendment to Loan Agreement. The Loan Agreement is hereby amended as
follows:

                  (a) Section 1.1 of the Loan Agreement is hereby amended by
adding the following new definitions in appropriate alphabetical order:

                  "Alexander Enterprise" shall have the meaning given to such
term in the recitals to this Second Amendment.

                  "Alexander Enterprise Common Stock" shall have the meaning
ascribed to the term "Common Stock" in the Investor Warrant Agreement.

                  "Alexander Enterprise Documents" shall have the meaning given
to such term in the Subordination Agreement.

                  "Alexander Enterprise Security Agreement" means that certain
security agreement and that certain pledge and security agreement dated of even
date hereof executed by the Obligors and Alexander Enterprise, together with all
related documents thereto, pursuant to which the Obligors grant a junior and
subordinated lien, security interest or mortgage on any of the Collateral to
secure the Subordinated Note.

                  "Alexander Enterprise Warrant Agreement" means that certain
warrant agreement between Alexander Enterprise and the Parent dated of even date
herewith.

                  "Alexander Enterprise Warrants" shall have the meaning
ascribed to such term in the Alexander Enterprise Warrant Agreement.

                  "Maximum Junior Debt Lien" means the junior and subordinated
liens, mortgages and security interests to be granted by the Obligors upon the
Collateral in the maximum aggregate amount of (i) $2,250,000 of principal
obligations plus interest and the reasonable fees, expenses or other costs owed
by the Obligors to Alexander Enterprise not to exceed $17,500; less (ii) the
amount of any Net Cash Proceeds paid by the Obligors to the Investor pursuant to
and in accordance with the terms of the Subordination Agreement.

                  "Qualified Sale" means a sale or other disposition of the
Collateral pursuant to (i) a purchase and sale agreement in form and substance
satisfactory to the Agent and the Lenders or (ii) the sale or liquidation of the
Collateral pursuant to an exercise of remedies by the Agent or pursuant to any
insolvency, bankruptcy,

                                       2
<PAGE>

receivership, reorganization, assignment for the benefit of creditors or other
similar proceeding (whether or not pursuant to bankruptcy laws).

                  "Second Amendment" means this Second Amendment to the Loan
Agreement dated as of October 5, 2000.

                  "Subordination Agreement" means that certain Intercreditor,
Subordination and Partial Sales Proceeds Allocation Agreement between Alexander
Enterprise, the Agent and the Lenders, with the consent of the Obligors,
substantially in the form annexed hereto as Exhibit "A."

                  "Subordinated Note" shall have the meaning given to such term
in the recitals to this Second Amendment, which shall be in form and substance
satisfactory to the Agent.

                  (b) Section 2.13(b) of the Loan Agreement is amended by
deleting in its entirety all of Section 2.13(b) of the Loan Agreement and
substituting in its place and stead the following new Section 2.13(b):

                  Section 2.13(b) Obligators shall make a mandatory prepayment
                  of the Loans owing by them immediately following the sale,
                  transfer or other disposition of any assets by the Obligors or
                  any of their respective Subsidiaries (other than the sale of
                  inventory in the normal course of such Person's business) of
                  all of the Net Cash Proceeds of such sale, transfer or other
                  disposition of assets. Any mandatory prepayment made under
                  this Section 2.13(b) may be applied by the Agent and the
                  Lenders in such manner and to such amount of the Obligations
                  as the Agent and the Lenders shall deem appropriate in their
                  sole and absolute discretion; provided further that (i) the
                  first $5,000,000 of the Net Cash Proceeds received by the
                  Obligors will be remitted by the Obligors to the Agent for
                  application toward the Obligations; (ii) an amount equal to
                  $2,250,000 in principal obligations outstanding and all owed
                  and unpaid interest due under the Subordinated Note, together
                  with up to $17,500.00 in reasonable fees and expenses, if any
                  incurred, in connection with the exercise of Alexander
                  Enterprise's rights under the Subordinated Note of any
                  remaining Net Cash Proceeds shall be paid by the Obligors to
                  the Investor, in satisfaction of the Maximum Junior Debt Lien;
                  and (iii) any further Net Cash Proceeds thereafter received by
                  the Obligors shall be remitted to the Agent to be applied
                  against the Obligations. Any mandatory prepayments of
                  Revolving Loans under this Section 2.13(b) will also result in
                  a reduction of the Aggregate Commitments in an amount equal to
                  such mandatory prepayment. Each mandatory prepayment shall be
                  accompanied by any amount required to be prepaid pursuant to
                  Section 4.9 hereof.

                                       3
<PAGE>

                  (c) Section 4.1 of the Loan Agreement is amended to add the
following new subsection (c) at the end thereof:

                           (c) The Lenders agree to defer the interest payments
                  due November 3, 2000 and the interest payment due November 10,
                  2000 to December 1, 2000, at which time such interest payments
                  shall be immediately due and payable in full.

                  (d) Section 6.22 of the Loan Agreement is amended to add the
following sentence at the end thereof:

                  Schedule 6.22 shall incorporate by reference the Subordinated
                  Note and the Alexander Enterprise Security Agreement, as the
                  same are modified by the Subordination Agreement.

                  (e) Section 6.23 of the Loan Agreement is amended to add the
following sentence to the end thereof:

                  Schedule 6.23 shall incorporate by reference the Maximum
                  Junior Debt Lien granted in favor of Alexander Enterprise
                  pursuant to the Subordinated Note and the Alexander Enterprise
                  Security Agreement, as the same are modified by the
                  Subordination Agreement.

                  (f) Section 8.1 of the Loan Agreement is amended to add the
following sentence to the end thereof:

                  The Obligors shall be permitted to grant the Maximum Junior
                  Debt Lien in favor of Alexander Enterprise pursuant to the
                  Subordinated Note and the Alexander Enterprise Security
                  Agreement, as the same are modified by the Subordination
                  Agreement.

                  (g) Section 8.2 of the Loan Agreement is amended to add the
following provision:

                           and (g) $2,250,000 of junior and subordinated
                  indebtedness incurred from Alexander Enterprise pursuant to
                  terms of the Subordinated Note and the Subordination
                  Agreement.

                  (h) Section 8.3 of the Loan Agreement is amended to add the
following provision:

                           and (c) the sale of the Collateral pursuant to a
                  Qualified Sales, the Net Cash Proceeds of which are paid to
                  the Lenders and Alexander Enterprise, as the case may be, as
                  provided in Section 2.13(b) (but in all events subject to the
                  terms of the Subordination Agreement).

                                       4
<PAGE>

                  (i) Section 8.7 of the Loan Agreement is amended to add the
following provision:

                  and (d) the issuance of the Alexander Enterprise Warrants to
                  Alexander Enterprise for the purchase of 2.25 million shares
                  of Alexander Enterprise Common Stock at an exercise price of
                  $1.00 per share with a term of 5 years.

                  (j) Schedule 6.27 to the Loan Agreement is hereby amended to
include the Alexander Enterprise Warrants.

SECTION 2. Waiver of Certain Events of Default. Upon the occurrence of the
Effective Date (i) the Agent and the Lenders shall permanently waive the
Interest Defaults; and (ii) the Agent and the Lenders agree not to assert as an
Event of Default the provisions of Sections 2.13(c) and 2.13(d) of the Loan
Agreement as it relates solely to the allocation of Net Cash Proceeds to the
extent the same is allocated as expressly contemplated by the Subordinated Note,
this Second Amendment and the Subordination Agreement.

SECTION 3. Representations and Warranties. Each Obligor hereby represents and
warrants (which representations and warranties shall survive the execution and
delivery hereof) to the Lenders and the Agent that all of such Obligor's
representations and warranties contained in the Loan Agreement and the other
Loan Documents are true and correct in all material respects on and as of the
date hereof as fully as though such representations and warranties had been made
on the date hereof and with specific reference to this Second Amendment and any
and all documents executed in connection herewith. To induce the Lenders and the
Agent to enter into this Second Amendment, each Obligor hereby represents and
warrants that, on and as of the date of this Second Amendment and after giving
effect to the waivers contained herein, no Event of Default, nor any event or
condition which, with notice, lapse of time or both, would constitute an Event
of Default has occurred and is continuing under the Loan Agreement, except with
respect to the Interest Default. As further inducement of the Lenders and the
Agent to enter into this Second Amendment the Obligors represent and warrant to
the Agent and the Lenders as follows:

                  (a) It has the corporate power and authority to execute,
deliver and carry out the terms and provisions of this Second Amendment and the
transactions contemplated hereby and has taken or caused to be taken all
necessary corporate action to authorize the execution, delivery and performance
of this Second Amendment and the transactions contemplated hereby;

                  (b) No consent of any person (including, without limitation,
shareholders or creditors of the Obligors), and no action of, or filing with any
governmental or public body or authority is required to authorize, or is
otherwise required in connection with the execution, delivery and performance of
this Second Amendment

                                       5
<PAGE>

and the other instruments and documents contemplated hereby which has not been
obtained;

                  (c) This Second Amendment and the other instruments and
documents contemplated hereby have been duly executed and delivered by a duly
authorized officer on behalf of such party, and constitutes a legal, valid and
binding obligation of such party enforceable against such party in accordance
with its terms, subject to bankruptcy, reorganization, insolvency, moratorium
and other similar laws affecting the enforcement of creditors' rights generally
and the exercise of judicial discretion in accordance with general principles of
equity; and

                  (d) The execution, delivery and performance of this Second
Amendment and the other instruments and documents contemplated hereby will not
violate any law, statute or regulation, or any order or decree of any court or
governmental instrumentality, or conflict with, or result in the breach of, or
constitute a default under any contractual obligation of such party.

SECTION 4. Expenses. The Obligors, jointly and severally, agree to pay,
immediately upon demand by the Lenders and the Agent, all attorneys' fees, and
other out-of-pocket charges and expenses incurred by the Lenders and the Agent
in connection with the negotiation, preparation, execution, and delivery of this
Second Amendment and other instrument, document, agreement or amendment executed
in connection with this Second Amendment

SECTION 5. Defaults Hereunder. The breach of any representation, warranty or
covenant contained herein or in any document executed in connection herewith, or
failure to observe or comply with any term or agreement contained herein or in
any document executed in conjunction herewith, shall constitute an Event of
Default under the Loan Documents and the Lenders and the Agent shall be entitled
to exercise all rights and remedies they may have under the Loan Agreement, any
of the other Loan Documents, and applicable law.

SECTION 6. Conditions to Effectiveness.

           (a) This Second Amendment shall become effective on the date
(the "Effective Date") upon which the following conditions have been satisfied
in full or waived by the Agent in writing:

                  (i) The Agent shall have received in form and substance
satisfactory to the Agent and its counsel, counterparts of this Second Amendment
executed by each of the Obligors and the Required Lenders and such other
approvals or documents as the Agent may reasonably request;

                                       6
<PAGE>

                  (ii) All representations and warranties contained in this
Second Amendment or otherwise made in writing to the Agent in connection
herewith shall be true and correct in all material respects;

                  (iii) No Default or Event of Default shall have occurred and
be continuing under the Loan Agreement (other than those Default(s) or Event(s)
of Default to be cured and satisfied after giving effect to this Second
Amendment);

                  (iv) The Agent shall have received payment in full of all
reasonable costs and expenses owing to the Agent and the Lenders in accordance
with Section 4 hereof, including, without limitation, the reasonable fees and
expenses of counsel to the Agent and counsel to the individual Lenders; and

                  (v) The Agent and Lenders shall have received the following
documents, each duly executed and delivered to the Lenders and the Agent, and
each to be satisfactory in form and substance to the Agent and its counsel:

                                    (1) a certificate of the Secretary of each
                           Obligor certifying (a) that attached thereto is a
                           true and complete copy of the Articles or Certificate
                           of Incorporation of such Obligor as in effect in the
                           date of such certification, or that such Certificate
                           of Incorporation has not been amended, restated,
                           supplemented or otherwise modified since August 13,
                           1999; (b) that attached thereto is a true and
                           complete copy of the bylaws of such Obligor, as in
                           effect on the date of such certification, or that the
                           bylaws in effect on such date of certification have
                           not been amended, restated, supplemented or otherwise
                           modified since August 13, 1999; (c) that attached
                           thereto is a true and complete copy of resolutions
                           adopted by the Board of Directors of such Obligor,
                           authorizing the execution, delivery, and performance
                           of this Second Amendment and/or other instruments,
                           documents or agreements delivered pursuant hereto;
                           and (d) as to the incumbency and genuineness of the
                           signatures of the officers of each Obligor executing
                           this Second Amendment or any of the other
                           instruments, documents, or agreements executed
                           pursuant hereto;

                                    (2) Certificates as to No Default and
                           Related Matters from the Obligors, executed by an
                           officer of each of the Obligors;

                                    (3) An opinion of counsel to the Obligors as
                           to the enforceability of this Second Amendment and
                           the Subordination Agreement and as to such other
                           matters as the Agent may require;

                                    (4) such acknowledgements, reaffirmations
                           and consents as the Agent may require in respect of
                           any guarantors of

                                       7
<PAGE>

                           the Secured Obligations or any obligations under the
                           Subordinated Note; and

                                    (5) such other documents as the Agent or the
                           Lenders may reasonably request.

                  (vi) The terms and conditions of the Subordinated Note shall
be satisfactory to the Agent, and Alexander Enterprise and the Lenders shall
have fully executed and delivered the Subordination Agreement, which shall be in
terms satisfactory to the Agent and which shall be substantially in the form of
Exhibit "A" hereto.

                  (vii) Receipt by the Agent of all past due interest which gave
rise to the Interest Defaults.

                  (viii) The Agent shall have received a payment of $1,200,000
from the Borrower which shall be applied as follows: (a) $350,000 shall be
applied to past due interest; (b) $375,000 shall be applied as payment in
reduction of the principal amount of the Obligations due on October 1, 2000; and
(c) $475,000 shall be applied as a prepayment of interest due in the order of
maturity. Such payments shall not constitute Net Cash Proceeds.

                  (b) Once all the conditions precedent set forth above have
been fulfilled, this Second Amendment will be deemed effective as of the date of
such fulfillment.

SECTION 7. Agreement Regarding Qualified Sale and Engagement of Consultant.

                  (a) The Obligors hereby agree that they shall: be in contract
to conduct a Qualified Sale(s) (i) by January 1, 2001; (ii) with the closing to
take place no later then February 15, 2001; (iii) the aggregate Net Cash
Proceeds of which Qualified Sale or Sales shall not be less than $10,000,000;
and (iv) which Qualified Sale or Sales shall be consummated (including the
payment of all applicable Net Cash Proceeds) by February 15, 2001; and

                  (b) The Obligors confirm and agree that the Obligors are
obligated to reimburse the Agent for its reasonable costs and expenses as
provided in Section 14.5 of the Loan Agreement, and that the reimbursement of
the Agent for expenses incurred through the retention of a financial advisor is
an expense properly included within the terms of Section 14.5 of the Loan
Agreement. The Agent has advised the Obligors that it is the Agent's present
intention to cause the Agent's financial advisor to review the Obligors' books
and records for approximately 2-3 days beginning the week of October 9, 2000 at
a cost of $2,500 per day. The Obligors hereby acknowledge their obligation to
pay such expenses within five (5) days of being invoiced by the financial
advisor.

                                       8
<PAGE>

SECTION 8. Ratification; Waiver of Defenses.

                  (a) The Loan Agreement and the Loan Documents remain in full
force and effect and are hereby ratified and affirmed. Each Obligor hereby (i)
confirms and agrees that such Obligor is truly and justly indebted to the Agent
and the Lenders in the aggregate amount of the Obligations without defense,
counterclaim or offset of any kind whatsoever; and (ii) reaffirms and admits the
validity and enforceability of the Loan Agreement and the Loan Documents and the
Liens in the Collateral which were granted pursuant to the Loan Documents and
otherwise.

                  (b) This Second Amendment shall be limited precisely as
written and shall not be deemed (i) to be a consent granted pursuant to, or a
waiver or modification of, any other term or condition of the Loan Agreement or
any of the instruments or agreements referred to therein or a waiver of any
Default or Event of Default under the Loan Agreement, whether or not known to
the Agent or the Lenders or (ii) to prejudice any other right or rights which
the Agent or the Lenders may now have or have in the future under or in
connection with the Loan Agreement or any of the instruments or agreements
referred to therein.

                  (c) Other than expressly provided for in this Second
Amendment, nothing contained in this Second Amendment shall constitute a
modification or waiver of any term or provision of the Loan Agreement.

SECTION 9. References. All references to the Loan Agreement in the Loan
Agreement or any other Loan Document and the other documents and instruments
delivered pursuant to or in connection therewith shall mean such Loan Agreement
as modified hereby and as each may in the future be amended, restated,
supplemented or modified from time to time. This Second Amendment shall
constitute a Loan Document.

SECTION 10. Counterparts. This Second Amendment may be executed by the parties
hereto individually or in combination, in one or more counterparts, each of
which shall be an original and all of which, taken together, shall constitute
one and the same agreement. Delivery of an executed counterpart of a signature
page by telecopier shall be effective as delivery of a manually executed
counterpart.

SECTION 11. Governing Law. THIS AMENDMENT AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES HEREUNDER SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE WITH THE LAWS
OF THE STATE OF NEW YORK, WITHOUT GIVING EFFECT TO ANY CONFLICT OF LAW
PRINCIPLES.

SECTION 12. Miscellaneous. The parties hereto shall, at any time and from time
to time following the execution of this Second Amendment, execute and deliver
all such further instruments and take all such further action as may be
reasonably necessary or appropriate in order to carry out the provisions of this
Second Amendment.

                                       9
<PAGE>

SECTION 13. Headings. Section headings in this Second Amendment are included
herein for convenience of reference only and are not to affect the construction
of, or to be taken into consideration in interpreting, this Second Amendment.

                         [SIGNATURES ON FOLLOWING PAGE]

                                       10
<PAGE>

                  IN WITNESS WHEREOF, the Obligors, the Lenders and the Agent
have caused this Amendment to be duly executed by their respective officers of
the day and year first above written.

                                    OPTICARE HEALTH SYSTEMS, INC.

                                    By: /s/ Steven Ditman
                                        ----------------------------------------
                                        Name: Steven Ditman
                                        Title: Executive Vice President and CFO

                                    OPTICARE EYE HEALTH CENTERS, INC.

                                    By: /s/ Steven Ditman
                                        ----------------------------------------
                                        Name: Steven Ditman
                                        Title: Chief Financial Officer

                                    PRIMEVISION HEALTH, INC.

                                    By: /s/ Steven Ditman
                                        ----------------------------------------
                                        Name: Steven Ditman
                                        Title: Chief Financial Officer

                                    OPTICARE EYE HEALTH NETWORK, INC.

                                    By: /s/ Steven Ditman
                                        ----------------------------------------
                                        Name: Steven Ditman
                                        Title: Chief Financial Officer

                                       11
<PAGE>

                                    BANK AUSTRIA CREDITANSTALT
                                    CORPORATE FINANCE, INC., AS AGENT

                                    By: /s/ A.W. Seidel
                                        ----------------------------------------
                                        Name: A.W. Seidel
                                        Title: Senior Vice President

                                    By: /s/ Peter Halter
                                        ----------------------------------------
                                         Name: Peter Halter
                                         Title: Vice President

                                    BANK AUSTRIA CREDITANSTALT
                                    CORPORATE FINANCE, INC., AS LENDER

                                    By: /s/ A.W. Seidel
                                        ----------------------------------------
                                        Name: A.W. Seidel
                                        Title: Senior Vice President

                                    By: /s/ Peter Halter
                                        ----------------------------------------
                                         Name: Peter Halter
                                         Title: Vice President

                                       12<PAGE>

 THIS SECURED PROMISSORY NOTE MAY NOT BE ASSIGNED WITHOUT THE PRIOR CONSENT OF
  BANK AUSTRIA CREDITANSTALT CORPORATE FINANCE, INC., AS AGENT FOR THE LENDERS
 UNDER THE BANK AUSTRIA LOAN AGREEMENT (AS DEFEINED HEREIN), AND IS SUBJECT TO
   THE TERMS AND CONDITIONS OF THAT CERTAIN INTERCREDITOR, SUBORDINATION AND
       PARTIAL SALES PROCEEDS ALLOCATION AGREEMENT DATED THE DATE HEREOF

                             SECURED PROMISSORY NOTE

$2,250,000                                                  October 10, 2000

         FOR VALUE RECEIVED, OptiCare Eye Health Centers, Inc., a Connecticut
corporation ("OptiCare"), Primevision Health, Inc., a Delaware corporation
("PVH"), and OptiCare Eye Health Networks, Inc, a North Carolina corporation
formerly known as Consolidated Eye Care, Inc., ("CEC" and, together with
OptiCare and PVH, the "Makers"), jointly and severally, promise to pay to the
order of Alexander Enterprise Holdings Corp., or its successors or assigns (the
"Payee"), in the lawful money of the United States of America the principal sum
of Two Million Two Hundred Fifty Thousand Dollars ($2,250,000) on the Maturity
Date (as hereinafter defined), with interest thereon from the date of this Note
to and including the date immediately preceding the Maturity Date calculated at
the Applicable Interest Rate (as hereinafter defined).

         1. Joint and Several Liability. The obligations and liabilities of each
of the Makers shall be joint and several.

         2. Interest. Interest shall accrue on the unpaid principal amount of
this Note at the Applicable Interest Rate from and including the date of this
Note to and including the day immediately preceding the Maturity Date and shall
be payable on each date on which any principal amount outstanding hereunder is
paid, whether at maturity, by acceleration or prepayment or otherwise. For the
purposes of this Section 2, the following terms shall have the meaning set forth
below:

         "Applicable Interest Rate" shall mean an interest rate per annum equal
to the Eurodollar Rate plus two and one-quarter percent (2 1/4%).

         "Business Day" means a day on which banks are not authorized or
required to be closed in New York, New York and on which dealings are carried on
in the London interbank market.

         "Eurodollar Rate" shall mean for any Interest Period:

                  (a) the offered rate for deposits in United States Dollars
         with a maturity comparable to such Interest Period appearing on the
         display designated on page "EDS" of the Bloomberg Service (or any other
         relevant page or screen of such Service, or on any

<PAGE>

         successor or substitute page of such Service, or any successor to such
         Service, providing rate quotations comparable to those currently
         provided on such page of such Service, as determined by the Investor
         from time to time, for purposes of providing quotations of interest
         rate applicable to United States Dollar deposits in the London
         interbank market) as of approximately 11:00 a.m. (London time) on the
         date two Business Days prior to the commencement of such Interest
         Period; and

                  (b) if such rate does not appear on said "EDS" page (or such
         successor or substitute), the offered rate for deposits in United
         States Dollars with a maturity comparable to such Interest Period
         appearing on the display designated on page "LIBO" on the Reuter
         Monitor Money Rates Service (or on any successor or substitute page for
         such Service, or any successor to such Service, providing rate
         quotations comparable to those currently provided on such page for such
         Service, as determined by the Investor from time to time, for purposes
         of providing quotations of interest rate applicable to United States
         Dollar deposits in the London interbank market) as of approximately
         11:00 a.m. (London time) on the date two Business Days prior to the
         commencement of such Interest Period; and

                  (c) in the event that neither rate referred to in clauses (a)
         or (b) is available at such time for any reason, the offered rate for
         deposits in United States Dollars with a maturity comparable to such
         Interest Period appearing on Page 3750 of the Telerate Service of
         Bridge Information Services (or on any successor or substitute page of
         such Service, or any successor to such Service, providing rate
         quotations comparable to those currently provided on such page of such
         Service, as determined by the Investor from time to time, for purposes
         of providing quotations of interest rates applicable to United States
         Dollar deposits in the London interbank market) as of approximately
         11:00 a.m. (London time) on the date two Business Days prior to the
         commencement of such Interest Period;

provided, however, that if (1) the relevant rates do not appear on page "EDS" on
the Bloomberg Service, (2) the relevant rates do not appear on page "LIBO" on
the Router monitor money Rate Service or (3) the relevant rates do not appear on
Telerate Page 3750, then the Eurodollar Rate shall be deemed to mean for such
Interest Period a fluctuating rate of interest per annum, calculated daily,
equal to the prime rate of interest as published in The Wall Street Journal
(Eastern edition) (and if more than one such rate is reported, the highest rate)
less 25 basis points (.25%).

         "Interest Period" shall mean the period of six (6) months commencing on
the date hereof and each successive period of six (6) months, provided, however,
that:

                  (i) no Interest Period shall end after the Maturity Date;

                  (ii) each Interest Period that begins on the last Business Day
of a calendar month (or on any day for which there is no numerically
corresponding day in the appropriate subsequent calendar month) shall end on the
last Business Day of the appropriate subsequent calendar month, provided that
such Business Day does not occur after the Maturity Date; and

                                       2
<PAGE>

                  (iii) whenever the last day of any Interest Period would
otherwise occur on a day other than a Business Day, the last day of such
Interest Period shall be extended to occur on the next succeeding Business Day,
provided that, if such extension would cause the last day of such Interest
Period to occur in the next following calendar month, the last day of such
Interest Period shall occur on the immediately preceding Business Day.

         Interest on the principal sum of this Note shall be calculated on the
basis of the actual number of days elapsed in a Three Hundred sixty-five (365)
day year.

         3. Maturity Date; Mandatory Prepayment.

                  a. The term "Maturity Date" as used in this Note shall mean
         June 1, 2003.

                  b. Upon the completion of any one or more Qualified Sales, as
         such term is defined in that certain Amended and Restated Loan and
         Security Agreement dated as of August 13, 1999, as amended, by and
         among the Makers, OptiCare Health Systems, Inc., the lenders from time
         to time party thereto (the "Lenders"), Bank Austria, AG, in its
         capacity as LC Issuer, and Bank Austria Creditanstalt Corporate
         Finance, Inc., as agent for the Lenders (the "Agent") (such Amended and
         Restated Loan and Security Agreement, as amended by a certain First
         Amendment dated June 30, 2000 and a certain Second Amendment dated the
         date hereof and as it may be further amended from time to time, being
         hereinafter referred to as the "Bank Austria Loan Agreement"), and
         following the mandatory prepayment to the Lenders of the sum of
         $5,000,000 pursuant to Section 2.13(b) of the Bank Austria Loan
         Agreement, the Makers shall mandatorily prepay the lesser of (i) the
         unpaid principal amount of this Note, together with all accrued and
         unpaid interest and any other amounts due and owing to the Payee
         hereunder or under the Security Agreement (as hereinafter defined) and
         (ii) in the event that the Net Cash Proceeds (as such term is defined
         in the Bank Austria Loan Agreement) are not sufficient to prepay the
         entire unpaid principal amount of this Note, such portion of the unpaid
         principal amount of this Note as is equal to the balance of such Net
         Cash Proceeds, together with interest accrued and unpaid on such
         principal amount prepaid.

         4. Security. The obligations of the Makers under this Note are secured
pursuant to the terms of the Security Agreement (the "Security Agreement") dated
the date hereof, made by the Debtors party thereto in favor of the Payee. If an
Event of Default (as hereinafter defined) shall have occurred and the principal
amount of this Note shall have become immediately due and payable, the Payee
shall be entitled to exercise, in addition to any right, power or remedy
permitted by law or equity, all his remedies under such Security Agreement,
subject, however, to the terms and conditions of the Intercreditor,
Subordination and Partial Sales Proceeds Allocation Agreement dated the date
hereof made by the Payee in favor of the Agent and the Lenders (the
"Intercreditor Agreement").

                                       3
<PAGE>

         5. Defaults and Remedies.

                  a. The following events shall be "Events of Default"
         hereunder:

                           (i) the Makers default in the payment when due
                  (whether at maturity, by acceleration or mandatory prepayment
                  or otherwise) of any principal amount of this Note or interest
                  on the principal amount of this Note;

                           (ii) a court of competent jurisdiction enters a
                  decree or order in an voluntary or involuntary case under any
                  present or future federal or state bankruptcy, insolvency or
                  similar law or appoints a conservator or receiver or
                  liquidator in any insolvency, readjustment of debt,
                  marshalling of assets and liabilities or similar proceedings,
                  or for the winding-up or liquidation of the affairs of any
                  Maker, which decree or order shall have remained in force
                  undischarged or unstayed for a period of 60 days;

                           (iii) any Maker consents to the appointment of a
                  conservator or receiver or liquidator in any insolvency,
                  readjustment of debt, marshalling of assets and liabilities or
                  similar proceedings of or relating to it or of or relating to
                  all or substantially all of its property;

                           (iv) any Maker admits in writing its inability to pay
                  its debts generally as they become due, files a petition to
                  take advantage of any applicable insolvency or reorganization
                  statute, makes an assignment for the benefit of its creditors,
                  or voluntarily suspends payment of its obligations; or

                           (v) an Event of Default under, and as defined in, the
                  Bank Austria Loan Agreement, shall have occurred.

                  b. If an Event of Default, other than the Event of Default
         specified in Sections 5(a)(ii), (iii) or (iv), occurs and is
         continuing, the Payee may, at its option and in addition to any right,
         power or remedy permitted by law or equity or herein granted, by notice
         to the Makers declare the principal amount of this Note to be due and
         payable immediately, and upon any such declaration the same shall
         become and shall be immediately due and payable; provided, however,
         that the Payee agrees that, if an Event of Default specified in Section
         5(a)(v) occurs, the Payee shall not declare the principal amount of
         this Note to be due and payable immediately unless and until the unpaid
         principal amount outstanding under the Bank Austria Loan Agreement has
         been declared or has otherwise become immediately due and payable. If
         an Event of Default specified in Sections 5(a)(ii), (iii) or (iv)
         hereof occurs, the principal amount of this Note shall automatically
         become and be immediately due and payable, without any declaration or
         other act on the part of the Payee.

         6. Waivers. The Makers hereby waive presentment, demand for payment,
notice of dishonor and any and all other notices or demands in connection with
the delivery, acceptance, performance, default or enforcement of this Note and
hereby consent to any waivers or modifications that may be granted or consented
to by the Payee of this Note. No waiver by the Payee of any breach of any
covenant of the Makers herein contained or any term or condition

                                       4
<PAGE>

hereof shall be construed as a waiver of any subsequent breach of the same or of
any other covenant, term or condition herein.

         7. Default Interest. If any amount required to be paid under this Note
shall not be paid when due, the Makers shall pay default interest on the unpaid
balance of such amount at a rate per annum equal to the Applicable Interest Rate
plus two percent (2%).

         8. Tax Indemnity.

                  a. If, as a result of any change in, or amendment to, the laws
         or treaties (or regulations or rulings promulgated thereunder) of the
         United States of America (or any political subdivision or taxing
         authority thereof or therein) affecting taxation, or any change in
         official position regarding the application or interpretation of such
         laws, treaties, regulations or rulings (including a holding, judgment
         or order by court of competent jurisdiction), which change amendment
         application or interpretation becomes effective after the date hereof,
         the Makers are required to deduct or withhold any tax from any sum
         payable by the Makers hereunder, then, from and after such date, all
         sums payable by the Makers hereunder, whether principal, interest,
         expenses or otherwise, shall be paid in full, without any deduction or
         withholding whatsoever and, each Maker hereby jointly and severally
         agrees to pay to the Payee such additional amount as will result in the
         receipt by the Payee of the full amount stated herein (including after
         deducting any required amounts from such additional payments). In such
         event, the Makers shall pay directly to the appropriate taxing
         authority any tax to be paid by them pursuant to this Section 8. Each
         Maker jointly and severally indemnifies and agrees to hold the Payee
         harmless from any liability or fines with respect to the delay or
         failure of any Maker to report such transaction or to pay such taxes or
         other withholding, duties, fees or charges or to make any filing with
         any taxing authority or any other government agency.

                  b. If any Maker shall pay any tax or charge as provided herein
         or shall make any deduction or withholding from any amount paid
         hereunder, within 10 days of payment of such amount, such Maker shall
         forward to the Payee official receipts or other evidence acceptable to
         the Payee establishing payment of such amount. Notwithstanding the
         obligation of the Makers under this Section 8 to pay taxes as required
         by this Section 8, if the Payee is required to pay any taxes or other
         charges, the Payee may pay any such taxes and charges (if required
         under law or otherwise) and shall be entitled to reimbursement if so
         entitled hereunder upon forwarding to the Makers official receipts or
         other evidence establishing payment of such amounts.

         9. Enforcement. In the event that any Payee of this Note shall
institute any action for the enforcement or the collection of this Note, and
such action shall be successful, there shall be immediately due and payable, in
addition to the unpaid balance of this Note, all late charges, and all costs and
expenses of such action, including reasonable attorneys' fees. The Makers waive
the right to interpose any setoff, counterclaim or defense of any nature or
description whatsoever.

                                       5
<PAGE>

         10. Replacement of Note. Upon receipt by the Makers of evidence
satisfactory to them of the loss, theft, destruction or mutilation of this Note,
and (in case of loss, theft or destruction) of an indemnity reasonably
satisfactory to it, and upon reimbursement to the Makers of all reasonable
expenses incidental thereto, and upon surrender and cancellation of this Note if
mutilated, the Makers will make and delivery a new Note of like tenor in lieu of
this Note.

         11. Amendments. This Note may not be changed, modified, amended, or
terminated except by a writing duly executed by the Makers and the Payee.

         12. Notices. Any notice or other communication required or which may be
given hereunder shall be in writing and either delivered personally to the
addressee, faxed to the addressee or mailed, certified mail, postage prepaid,
and shall be deemed given when so delivered personally, faxed with confirmed
answer back, or if mailed, three (3) days after the date of mailing, as follows:

                  If to the Makers, to:

                           c/o Opticare Health Systems, Inc.
                           87 Grandview Avenue
                           Waterbury, Connecticut  06708
                           Attention:  Chief Financial Officer
                           Facsimile:  (203) 596-2227

                  If to the Payee, to:

                           c/o Alpha Private Equity Group
                           499 Park Avenue
                           New York, New York  10022
                           Attention:  Jared Bluestein
                           Facsimile:  (212) 421-0169

                           With a copy to:

                           Coudert Brothers
                           1114 Avenue of the Americas
                           New York, New York  10036
                           Attention:  David A. Boillot, Esq.
                           Fax:  (212) 626-4120

         13. Governing Law. This Note and all transactions contemplated
hereunder or evidenced hereby shall be governed by, construed under, and
enforced in accordance with the laws of the State of New York

         14. Assignment. None of the Makers may assign its rights or obligations
under this Note without the prior written consent of the Payee.

                                       6
<PAGE>

         15. Successors. This Note shall be binding upon the successors and
permitted assignees of the parties hereto.

         16. Intercreditor Agreement. This Note and the rights of the Payee
herein are subject, in all respects, to the terms and provisions of the
Intercreditor Agreement in the event of any conflict between the terms of this
Note and the Intercreditor Agreement, the Intercreditor Agreement shall govern.

         IN WITNESS WHEREOF, the Makers have caused this Note to be executed by
their duly authorized officers as of the day and year first above written.

                                    OPTICARE EYE HEALTH CENTERS, INC.

                                    By: /s/ Steven L. Ditman
                                        ----------------------------------------
                                        Name: Steven L. Ditman
                                        Title: Chief Financial Officer

                                    PRIMEVISION HEALTH, INC.

                                    By: /s/ Steven L. Ditman
                                        ----------------------------------------
                                        Name: Steven L. Ditman
                                        Title: Chief Financial Officer

                                    OPTICARE EYE HEALTH NETWORK, INC.

                                    By: /s/ Steven L. Ditman
                                        ----------------------------------------
                                        Name: Steven L. Ditman
                                        Title: Chief Financial Officer

                                       7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00017-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00017-of-00352.parquet"}]]