Document:

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                                                                  Exhibit 4.1

                                                                  EXECUTION COPY

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                               GOSS HOLDINGS, INC.

                                  $112,500,000

                   12 1/4% SENIOR SUBORDINATED NOTES DUE 2005

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

                                    INDENTURE

                          DATED AS OF NOVEMBER 19, 1999

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

                                  HSBC BANK USA

                                     TRUSTEE

--------------------------------------------------------------------------------
<PAGE>

                              CROSS REFERENCE TABLE

TRUST INDENTURE
ACT SECTION

<TABLE>
<CAPTION>
                                                       INDENTURE SECTION
<S>                                                                 <C>
310 (a)(1)......................................................    8.10
    (a)(2)......................................................    8.10
    (a)(3)......................................................    N/A
    (a)(4)......................................................    N/A
    (a)(5)......................................................    8.10
    (b).........................................................    8.10
    (c).........................................................    N/A
311 (a).........................................................    8.11
    (b).........................................................    8.11
    (c).........................................................    N/A
312 (a).........................................................    2.05
    (b).........................................................    12.03
    (c).........................................................    12.03
313 (a).........................................................    11.02
    (b)(i)......................................................    11.02
    (b)(2)......................................................    8.06
    (c).........................................................    8.06; 11.02
    (d).........................................................    8.06
314 (a).........................................................    8.03; 11.02
    (b).........................................................    11.03
    (c)(1)......................................................    12.04
    (c)(2)......................................................    12.04
    (c)(3)......................................................    N/A
    (d).........................................................    11.02; 11.03
    (e).........................................................    12.05
    (f).........................................................    N/A
315 (a).........................................................    8.01
    (b).........................................................    8.05; 12.02
    (c).........................................................    8.01
    (d).........................................................    8.01
    (e).........................................................    7.11
316 (a)(1)(A)...................................................    7.05
    (a)(1)(B)...................................................    7.04
    (a)(2)......................................................    N/A
    (b).........................................................    7.07
317 (a)(1)......................................................    7.08
    (a)(2)......................................................    7.09
    (b).........................................................    2.04
318 (a).........................................................    12.01
    (b).........................................................    N/A
    (c) ........................................................    12.01
</TABLE>

     Note: This Cross-Reference Table shall not, for any purpose, be deemed to
     be part of the Indenture.

                                       i
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                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                           Page

<S>                                                                           <C>
RECITALS OF THE COMPANY........................................................1

                                    ARTICLE I

                   DEFINITIONS AND INCORPORATION BY REFERENCE

   Section 1.01  Definitions...................................................1
   Section 1.02  Other Definitions............................................15
   Section 1.03  Incorporation by Reference of Trust Indenture Act............16
   Section 1.04  Rules of Construction........................................16

                                   ARTICLE II

                                    THE NOTES

   Section 2.01  Form and Dating..............................................16
   Section 2.02  Execution and Authentication.................................17
   Section 2.03  Registrar and Paying Agent...................................17
   Section 2.04  Paying Agent to Hold Money In Trust..........................18
   Section 2.05  Lists of Holders.............................................18
   Section 2.06  Transfer and Exchange........................................18
   Section 2.07  Replacement Notes............................................19
   Section 2.08  Outstanding Notes............................................19
   Section 2.09  Temporary Notes..............................................19
   Section 2.10  Cancellation.................................................20
   Section 2.11  Defaulted Interest...........................................20
   Section 2.12  CUSIP Number.................................................20

                                   ARTICLE III

                                   REDEMPTION

   Section 3.01  Notices to Trustee...........................................20
   Section 3.02  Selection of Notes to be Redeemed............................21
   Section 3.03  Notice of Redemption.........................................21
   Section 3.04  Effect of Notice of Redemption...............................22
   Section 3.05  Deposit of Redemption Price..................................22
   Section 3.06  Notes Redeemed in Part.......................................22

                                       ii
<PAGE>

                                   ARTICLE IV

                CHANGE OF CONTROL AND ENTERPRISE VALUATION EVENT

   Section 4.01  Change of Control and Enterperise Valuation Event............22

                                    ARTICLE V

                                    COVENANTS

   Section 5.01  Payment of Principal, Premium and Interest...................25
   Section 5.02  Maintenance of Office or Agency..............................25
   Section 5.03  SEC Reports..................................................25
   Section 5.04  Limitation On Debt...........................................26
   Section 5.05  Limitation on Debt and Preferred Stock of Subsidiaries
                 of Goss......................................................27
   Section 5.06  Limitation On Restricted Payments............................28
   Section 5.07  Limitation On Restrictions On Distributions from
                  Subsidiaries................................................31
   Section 5.08  Limitation On Sales of Assets and Subsidiary Stock...........32
   Section 5.09  Limitation On Affiliate Transactions.........................33
   Section 5.10  Compliance Certificates......................................34
   Section 5.11  Further Instruments and Acts.................................35

                                   ARTICLE VI

                                   SUCCESSORS

   Section 6.01  When the Company May Merge or Transfer Assets................35
   Section 6.02  Successor Company Substituted................................36

                                   ARTICLE VII

                              DEFAULTS AND REMEDIES

   Section 7.01  Events of Default............................................36
   Section 7.02  Acceleration.................................................37
   Section 7.03  Other Remedies...............................................38
   Section 7.04  Waiver of Past Defaults......................................38
   Section 7.05  Control by Majority..........................................38
   Section 7.06  Limitation On Suits..........................................39
   Section 7.07  Unconditional Right of Holders to Receive Payment............39
   Section 7.08  Collection Suit by Trustee...................................39
   Section 7.09  Trustee May File Proofs of Claim.............................39
   Section 7.10  Priorities...................................................40
   Section 7.11  Undertaking for Costs........................................40
   Section 7.12  Waiver of Stay, Extension and Usury Laws.....................40

                                      iii
<PAGE>

                                  ARTICLE VIII

                                     TRUSTEE

   Section 8.01  Duties of Trustee............................................41
   Section 8.02  Rights of Trustee............................................42
   Section 8.03  Individual Rights of Trustee.................................43
   Section 8.04  Trustee's Disclaimer.........................................43
   Section 8.05  Notice of Default............................................43
   Section 8.06  Reports by Trustee to Holders................................43
   Section 8.07  Compensation and Indemnity...................................44
   Section 8.08  Replacement of Trustee.......................................44
   Section 8.09  Successor Trustee by Merger, Etc.............................45
   Section 8.10  Eligibility: Disqualification................................46
   Section 8.11  Preferential Collection of Claims Against the Company........46
   Section 8.12  May Hold Securities..........................................46

                                   ARTICLE IX

                       DISCHARGE OF INDENTURE; DEFEASANCE

   Section 9.01  Discharge of Liability on Notes; Defeasance..................46
   Section 9.02  Conditions to Defeasance.....................................47
   Section 9.03  Application of Trust Money...................................49
   Section 9.04  Repayment to the Company.....................................49
   Section 9.05  Indemnity for Government Obligations.........................49
   Section 9.06  Reinstatement................................................49

                                    ARTICLE X

                        AMENDMENT, SUPPLEMENT AND WAIVER

   Section 10.01 Without Consent of Holders...................................49
   Section 10.02 With Consent of Holders......................................50
   Section 10.03 Compliance with Trust Indenture Act..........................52
   Section 10.04 Revocation and Effect of Consents and Waivers................52
   Section 10.05 Notation On or Exchange of Notes.............................52
   Section 10.06 Trustee to Sign Amendments, Etc..............................52
   Section 10.07 Payment for Consents.........................................52

                                   ARTICLE XI

                             SUBORDINATION OF NOTES

                                       iv
<PAGE>

   Section 11.01 Agreement to Subordinate.....................................53
   Section 11.02 Payment Over of Proceeds Upon Dissolution; Etc...............53
   Section 11.03 No Payment When Senior Debt in Default.......................54
   Section 11.04 Acceleration of Payment of Notes.............................55
   Section 11.05 Payment Permitted If No Default..............................55
   Section 11.06 Subrogation to Rights of Holders of Senior Debt..............55
   Section 11.07 Provisions Solely to Define Relative Rights..................56
   Section 11.08 Trustee to Effectuate Subordination..........................56
   Section 11.09 No Waiver of Subordination Provisions........................56
   Section 11.10 Notice to Trustee............................................57
   Section 11.11 Reliance on Judicial Order or Certificate of Liquidating Age.57
   Section 11.12 Trustee Not Fiduciary for Holders of Senior Debt.............58
   Section 11.13 Rights of Trustee as holder of Senior Debt; Preservation of
                 Trustee's Rights.............................................58
   Section 11.14 Article XI Applicable to Paying Agents.......................58
   Section 11.15 Trust Moneys Not Subordinated................................58
   Section 11.16 Reliance by holders of Senior Debt on Subordination
                 Provisions...................................................58
   Section 11.17 Distribution or Notice to Representative.....................59
   Section 11.18 Article XI Not To Prevent Events of Default or Limit Right
                 To Accelerate................................................59

                                   ARTICLE XII

                                  MISCELLANEOUS

   Section 12.01 Trust Indenture Act Controls.................................59
   Section 12.02 Notices......................................................59
   Section 12.03 Communication by Holders with Other Holders..................60
   Section 12.04 Certificate and Opinion as to Conditions Precedent...........60
   Section 12.05 Statements Required in Certificate or Opinion................60
   Section 12.06 Rules by Trustee and Agents..................................61
   Section 12.07 No Personal Liability of Directors, Officers, Employees,
                 Incorporators and Stockholders...............................61
   Section 12.08 Governing Law................................................61
   Section 12.09 No Adverse Interpretation of Other Agreements................61
   Section 12.10 Successors...................................................61
   Section 12.11 Severabilily.................................................62
   Section 12.12 Counterpart Originals........................................62
   Section 12.13 Table of Contents, Headings, Etc.............................62
</TABLE>

EXHIBIT A  --  Form of Note; Form of Trustee's Certificate of Authentication

                                       v
<PAGE>

     INDENTURE, dated as of November 19, 1999, between Goss Holdings, Inc. ("the
Company"), a corporation duly organized and existing under the laws of the State
of Delaware, and HSBC Bank USA, a New York banking corporation, as trustee (the
"Trustee").

                             RECITALS OF THE COMPANY

     The Company has duly authorized the execution and delivery of this
Indenture to provide for the original issuance of up to $112,500,000 aggregate
principal amount of the Company's 12 1/4% Senior Subordinated Notes Due 2005
(together with the additional such Notes issued in lieu of the payment of cash
interest as provided herein, the "Notes") issuable as provided in this
Indenture. All things necessary to make this Indenture a valid agreement of the
Company, in accordance with its terms, have been done, and the Company has done
all things necessary to make the Notes, when executed by the Company and
authenticated and delivered by the Trustee hereunder and duly issued by the
Company, the valid obligations of the Company as hereinafter provided.

                   NOW, THEREFORE, THIS INDENTURE WITNESSETH:

     For and in consideration of the premises and the purchase of the Notes by
the Holders thereof, it is mutually agreed, for the equal and proportionate
benefit of all Holders of the Notes, as follows:

                                   ARTICLE I

                          DEFINITIONS AND INCORPORATION

                                  BY REFERENCE

Section 1.01 Definitions.

     "Additional Assets" means (i) any property or assets (other than Debt and
Capital Stock) used or useful in a Related Business; (ii) the Capital Stock of a
Person that becomes a Subsidiary as a result of the acquisition of such Capital
Stock by the Company or another Subsidiary or (iii) Capital Stock constituting a
minority interest in any Person that at such time is a Subsidiary; provided,
however, that any such Subsidiary described in clause (ii) or (iii) above is
primarily engaged in a Related Business.

     "Affiliate" of any specified Person means any other Person, directly or
indirectly, controlling or controlled by or under direct or indirect common
control with such specified Person. For the purposes of this definition,
"control" when used with respect to any Persons means the power to direct the
management and policies of such Person, directly or indirectly, whether through
the ownership of voting securities, by contract or otherwise; and the terms
"controlling" and "controlled" have meanings correlative to the foregoing. For
purposes of the provisions described in Sections 5.06, 5.08 and 5.09 only,
"Affiliate" shall also mean any beneficial owner of Capital Stock representing
10% or more of the total voting power of the Voting Stock (on a fully diluted
basis) of the Company or of rights or warrants to purchase such Capital Stock
(whether or not currently exercisable) and any Person who would be an Affiliate
of any such beneficial owner pursuant to the first sentence hereof.
Notwithstanding the foregoing, none of the Banks shall be deemed to be an
Affiliate of the Company and its Subsidiaries solely

<PAGE>

as a result of the security interests held by the Banks in the Capital Stock of
the Company's Subsidiaries pursuant to the Credit Agreement.

     "Agent" means any Registrar, Paying Agent or co-registrar.

     "Asset Disposition" means any sale, transfer or other disposition (or
series of related sales, transfers or dispositions) by the Company or any
Subsidiary, including any disposition by means of a merger, consolidation or
similar transaction (each referred to for the purposes of this definition as a
"disposition"), of (i) any shares of Capital Stock of a Subsidiary (other than
directors' qualifying shares or shares required by applicable law to be held by
a Person other than the Company or a Subsidiary), (ii) all or substantially all
the assets of any division or line of business of the Company or any Subsidiary
or (iii) any other assets of the Company or any Subsidiary outside of the
ordinary course of business of the Company or such Subsidiary (other than, in
the case of (i), (ii) and (iii) above, (v) any disposition, or related series of
dispositions, of assets with an aggregate fair market value of $1 million or
less for each such disposition or related series of dispositions, (w)
dispositions permitted under Article VI, (x) a disposition by a Subsidiary to
the Company or a Subsidiary to a Wholly Owned Subsidiary, (y) sales of Customer
Notes to third parties and (z) for purposes of the covenant described in Section
5.08 only, a disposition that constitutes a Restricted Payment permitted by the
covenant described under Section 5.06.

     "Average Life" means, as of the date of determination, with respect to any
Debt or Preferred Stock, the quotient obtained by dividing (i) the sum of the
products of numbers of years from the date of determination to the dates of each
successive scheduled principal payment of such Debt or redemption or similar
payment with respect to such Preferred Stock multiplied by the amount of such
payment by (ii) the sum of all such payments.

     "Banks" means the lenders under the Credit Facility.

     "Bankruptcy Law" means the U.S. Bankruptcy Code, 11 U.S.C. ss. 101, et.
seq., or any similar federal or state law for the relief of debtors.

     "Board of Directors" means the Board of Directors of the Company or any
committee thereof duly authorized to act on behalf of such Board.

     "Business Day" means each day which is not a Legal Holiday.

     "Capital Lease Obligations" of any Person means an obligation that is
required to be classified and accounted for as a capital lease on the face of
the balance sheet of such Person prepared in accordance with GAAP, and the
amount of Debt represented by such obligation shall be the capitalized amount of
such obligation determined in accordance with GAAP; and 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 penalty.

     "Capital Stock" of any Person means any and all shares, interests, rights
to purchase, warrants, options, participations or other equivalents of or
interests in such Person

                                       2
<PAGE>

(however designated) or the equity of such Person, including any Preferred
Stock, but excluding any debt securities convertible or exchangeable into such
equity.

     "Cash Equivalents" means (i) obligations issued or unconditionally
guaranteed by the United States of America or any agency thereof, or obligations
issued by any agency or instrumentality thereof and backed by the full faith and
credit of the United States of America, (ii) commercial paper rated the highest
grade by Moody's Investors Service, Inc. and Standard & Poor's Ratings Group and
maturing not more than one year from the date of creation thereof, (iii) time
deposits with, and certificates of deposit and banker's acceptances issued by,
any bank having capital surplus and undivided profits aggregating at least $500
million and maturing not more than one year from the date of creation thereof,
(iv) repurchase agreements that are secured by a perfected security interest in
an obligation described in clause (i) and are with any bank described in clause
(iii), (v) shares of any money market mutual fund that (a) has at least 95% of
its assets invested continuously in the types of investments referred to in
clauses (i) and (ii) above, (b) has net assets of not less than $500 million,
and (c) has the highest rating obtainable from either Standard & Poor's Ratings
Group or Moody's Investors Service, Inc. and (vi) readily marketable direct
obligations issued by any state of the United States of America or any political
subdivision thereof having one of the two highest rating categories obtainable
from either Moody's Investors Service, Inc. or Standard & Poor's Ratings Group.

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

     "Consolidated Coverage Ratio" as of any date of determination means the
ratio of (i) the aggregate amount of EBITDA for the period of the most recent
four consecutive fiscal quarters ending at least 45 days prior to the date of
such determination to (ii) Consolidated Interest Expense for such four fiscal
quarters; provided, however, that (1) if the Company or any Subsidiary has
Incurred any Debt since the beginning of such period that remains outstanding
(other than revolving credit Debt Incurred under the Credit Facility with
respect to which the related commitment remains outstanding) or if the
transaction giving rise to the need to calculate the Consolidated Coverage Ratio
is an Incurrence of Debt, or both, EBITDA and Consolidated Interest Expense for
such period shall be calculated after giving effect on a pro forma basis to such
Debt as if such Debt had been Incurred on the first day of such period and the
discharge of any other Debt repaid, repurchased, defeased or otherwise
discharged with the proceeds of such new Debt as if such discharge had occurred
on the first day of such period, (2) if since the beginning of such period any
Debt of the Company or any Subsidiary has been repaid, repurchased, defeased or
otherwise discharged or if the transaction giving rise to the need to calculate
the Consolidated Coverage Ratio will include any such repayment, repurchase,
defeasement or discharge not otherwise covered in clause (1) above, or both (in
either case other than revolving credit Debt Incurred pursuant to the Credit
Facility or any similar arrangement unless such revolving credit Debt has been
permanently repaid and has not been replaced), Consolidated Interest Expense for
such period shall be calculated, after giving effect thereto on a pro forma
basis, as if such Debt had been repaid, repurchased, defeased or otherwise
discharged on the first day of such period, (3) if since the beginning of such
period the Company or any Subsidiary shall have made any Asset Disposition, the
EBITDA for such period shall be reduced by an amount equal to the EBITDA (if
positive) directly attributable to the assets which are the subject of such
Asset Disposition for such period, or increased by an amount equal to the EBITDA
(if negative), directly attributable thereto for such period and Consolidated
Interest Expense for such period shall be reduced by an amount equal to the
Consolidated Interest

                                       3
<PAGE>

Expense directly attributable to any Debt of the Company or any Subsidiary
repaid, repurchased, defeased or otherwise discharged with respect to the
Company and its continuing Subsidiaries in connection with such Asset
Disposition for such period (or, if the Capital Stock of any Subsidiary is sold,
the Consolidated Interest Expense for such period directly attributable to the
Debt of such Subsidiary to the extent the Company and its continuing
Subsidiaries are no longer liable for such Debt after such sale), (4) if since
the beginning of such period the Company or any Subsidiary (by merger or
otherwise) shall have made an Investment in any Subsidiary (or any Person which
becomes a Subsidiary) or an acquisition of assets, including any acquisition of
assets occurring in connection with a transaction requiring a calculation to be
made hereunder, which constitutes all or substantially all of an operating unit
of a business, EBITDA and Consolidated Interest Expense for such period shall be
calculated after giving pro forma effect thereto (including the Incurrence of
any Debt) as if such Investment or acquisition occurred on the first day of such
period and (5) if since the beginning of such period any Person (that
subsequently became a Subsidiary or was merged with or into the Company or any
Subsidiary since the beginning of such period) shall have made any Asset
Disposition, any Investment or acquisition of assets that would have required an
adjustment pursuant to clause (3) or (4) above if made by the Company or a
Subsidiary during such period, EBITDA and Consolidated Interest Expense for such
period shall be calculated after giving pro forma effect thereto as if such
Asset Disposition, Investment or acquisition occurred on the first day of such
period. For purposes of this definition, whenever pro forma effect is to be
given to an acquisition of assets, the amount of income or earnings relating
thereto and the amount of Consolidated Interest Expense associated with any Debt
Incurred in connection therewith, the pro forma calculations shall be determined
in good faith by a responsible financial or accounting Officer of the Company.
If any Debt bears a floating rate of interest and is being given pro forma
effect, the interest of such Debt shall be calculated as if the rate in effect
on the date of determination had been the applicable rate for the entire period
(taking into account any Interest Rate Agreement applicable to such Debt if such
Interest Rate Agreement has a remaining term in excess of 12 months).

     "Consolidated Interest Expense" means, for any period, the total interest
expense of the Company and its consolidated Subsidiaries, plus, to the extent
not included in such total interest expense, and to the extent incurred by the
Company or its Subsidiaries, (i) interest expense attributable to Capital Lease
Obligations, (ii) amortization of debt discount, (iii) capitalized interest,
(iv) non-cash interest expenses, (v) commissions, discounts and other fees and
charges owed with respect to letters of credit and bankers' acceptance
financing, (vi) net costs associated with Interest Rate Agreements (including
amortization of fees), (vii) Preferred Stock dividends in respect of all
Preferred Stock (except dividends payable solely in shares of Capital Stock of
the Company (other than Disqualified Stock of the Company)) held by Persons
other than the Company or a Wholly Owned Subsidiary, (viii) interest incurred in
connection with Investments in discontinued operations, (ix) interest accruing
on any Debt of any other Person to the extent such Debt is Guaranteed by the
Company or any Subsidiary and (x) the cash contributions to any employee stock
ownership plan or similar trust to the extent such contributions are used by
such plan or trust to pay interest or fees to any Person (other than the
Company) in connection with Debt Incurred by such plan or trust; provided,
however, that there shall not be included in such Consolidated Interest Expense
any amount of Interest Expense of any Subsidiary if the net income of such
Subsidiary is excluded in the calculation of Consolidated Net Income (but only
in the same proportion as such net income is excluded) because the declaration
or payment of dividends or similar distributions by such Subsidiary of

                                       4
<PAGE>

such net income is not at the time permitted by the operation of the terms of
its charter or any agreement, instrument, judgment, decree, order, statute, rule
or governmental regulation applicable to such Subsidiary.

     "Consolidated Net Income" means, for any period, the net income of the
Company and its consolidated Subsidiaries; provided, however, that there shall
not be included in such Consolidated Net Income: (i) any net income of any
Person if such Person is not a Subsidiary, except that (A) subject to the
exclusion contained in clause (iv) below, the Company's equity in the net income
of any such Person for such period shall be included in such Consolidated Net
Income up to the aggregate amount of cash actually distributed by such Person
during such period to the Company or a Subsidiary as a dividend or other
distribution (subject, in the case of a dividend or other distribution paid to a
Subsidiary, to the limitations contained in clause (iii) below) and (B) the
Company's equity in a net loss of any such Person for such period shall be
included in determining such Consolidated Net Income to the extent of any cash
actually contributed by the Company or a Subsidiary to such Person during such
Period; (ii) any net income (or loss) of any Person acquired by the Company or a
Subsidiary in a pooling of interests transaction for any period prior to the
date of such acquisition; (iii) any net income of any Subsidiary if such
Subsidiary is subject to restrictions, directly or indirectly, on the payment of
dividends or the making of distributions by such Subsidiary, directly or
indirectly, to the Company, except that (A) subject to the exclusion contained
in clause (iv) below, the Company's equity in the net income of any such
Subsidiary for such period shall be included in such Consolidated Net Income up
to the aggregate amount of cash actually distributed by such Subsidiary during
such period to the Company or another Subsidiary as a dividend or other
distribution (subject, in the case of a dividend or other distribution paid to
another Subsidiary, to the limitation contained in this clause) and (B) the
Company's equity in a net loss of any such Subsidiary for such period shall be
included in determining such Consolidated Net Income to the extent of any cash
actually contributed by the Company or a Subsidiary to such Person during such
Period; (iv) any gain or loss net of tax realized upon the sale or other
disposition of any assets of the Company or its consolidated Subsidiaries
(including pursuant to any sale-and-leaseback arrangement) which is not sold or
otherwise disposed of in the ordinary course of business and any gain or loss
net of tax realized upon the sale or other disposition of any Capital Stock of
any Person; (v) extraordinary gains or losses net of tax; and (vi) the
cumulative effect of a change in accounting principles, net of tax.
Notwithstanding the foregoing, for the purposes of Section 5.06 only, there
shall be excluded from Consolidated Net Income any dividends, repayments of
loans or advances or other transfers of assets from a Subsidiary to the extent
such dividends, repayments or transfers increase the amount of Restricted
Payments permitted under such covenant pursuant to clause (a)(3)(D) thereof.

     "Consolidated Net Worth" means the total of the amounts shown on the
balance sheet of the Company and its consolidated Subsidiaries, determined on a
consolidated basis in accordance with GAAP, as of the end of the most recent
fiscal quarter of the Company ending at least 45 days prior to the taking of any
action for the purpose of which the determination is being made, as (i) the par
or stated value of all outstanding Capital Stock of the Company plus (ii)
paid-in capital or capital surplus relating to such Capital Stock plus (iii) any
retained earnings or earned surplus less (A) any accumulated deficit and (B) any
amounts attributable to Disqualified Stock.

                                       5
<PAGE>

     "Corporate Trust Office of the Trustee" shall be at the address of the
Trustee specified in Section 12.02 or such other address as to which the Trustee
may give notice to the Company.

     "Credit Facility" means the credit facility consisting of the Tranche A,
Tranche B and term facilities made pursuant to that certain Second Amended and
Restated Credit Agreement, dated as of November 19, 1999, among Goss, certain
Subsidiaries of Goss, Bankers Trust Company as administrative agent, Lehman
Brothers as documentation agent, the co-agents named therein and the lenders
named therein, including (i) any related notes, guarantees, collateral
documents, instruments and agreements executed in connection therewith, and in
each case as amended, modified, renewed, refunded, replaced or refinanced from
time to time, in whole or in part, and (ii) any credit agreements, notes,
guarantees, collateral documents, instruments and agreements executed in
connection with any such amendment, modification, renewal, refunding,
replacement or refinancing and any credit facilities or agreements that replace,
refund or refinance any part of the loans, credit facilities or commitments
thereunder (subject to Sections 5.04 and 5.05), including such replacement,
refunding or refinancing facility that increased the amount borrowable
thereunder, alters the maturity date thereof or alters the allocation of term
loans and revolving loans.

     "Credit Facility Guaranty" means the Second Amended and Restated Guaranty
dated as of November 19, 1999 between the Company and Bankers Trust Company, as
agent and the Guaranty dated as of November 19, 1999 between the Company and
Bankers Trust Company as agent for the Banks including (i) any guarantees and
instruments executed in connection therewith, and in each case as amended,
modified, renewed, refunded, replaced or refinanced from time to time, in whole
or in part, and (ii) any guarantees and instruments executed in connection with
any such amendment, modification, renewal, refunding, replacement or refinancing

     "Currency Agreement" means in respect of a Person any foreign exchange
contract, currency swap agreement or other similar agreement to which such
Person is a party or a beneficiary.

     "Custodian" means any receiver, trustee, assignee, liquidator or similar
official under any Bankruptcy Law.

     "Customer Notes" means notes receivable, on terms consistent with the past
practices of the Company and its Subsidiaries and with prevailing industry
practices, issued in connection with customer financing provided to purchasers
of the Company's and its Subsidiaries' products and secured by a valid and
enforceable first priority Lien on the products being purchased.

     "Customer Notes Guarantees" means Guarantees by the Company and its
Subsidiaries, on terms consistent with the past practices of the Company and its
Subsidiaries and with prevailing industry practices, of all or a portion of
Customer Notes issued by the Company or its Subsidiaries and sold to third
parties, or of all or a portion of customer notes or other financing provided by
third parties to purchasers of the Company's and its Subsidiaries' products;
provided, however, that "Customer Notes Guarantees" shall not include the
provision of letters of credit in respect of financing provided by a third party
to purchasers of the Company's and its Subsidiaries' products to the extent such
letters of credit are Incurred under the Revolving Credit Facility.

                                       6
<PAGE>

     "Debt" of any Person means, without duplication, (i) the principal of and
premium (if any) in respect of (A) debt of such Person for money borrowed and
(B) debt evidenced by notes, debentures, bonds or other similar instruments for
the payment of which such Person is responsible or liable; (ii) all Capital
Lease Obligations of such Person; (iii) all obligations of such Person issued or
assumed as the deferred purchase price of property, all conditional sale
obligations of such Person and all obligations of such Person under any title
retention agreement (but excluding (x) trade accounts payable and other current
trade liabilities arising in the ordinary course of business and payable in
accordance with customary practices and (y) deferred purchase price obligations
where payment is due within six months of delivery); (iv) all obligations of
such Person for the reimbursement of any obligor on any letter of credit,
banker's acceptance, or other similar credit transaction (other than obligations
with respect to letters of credit and related Hedging Obligations securing
obligations (other than obligations described in (i) through (iii) above)
entered into in the ordinary course of business of such Person to the extent
such letters of credit are not drawn upon or, if and to the extent drawn upon,
such drawing is reimbursed no later than the third Business Day following
receipt by such Person of a demand for reimbursement following payment on the
letter of credit); (v) the amount of all obligations of such Person with respect
to the redemption, repayment or other repurchase of any Disqualified Stock or,
with respect to any Subsidiary of such Person, any Preferred Stock (but
excluding, in each case, any accrued dividends); (vi) all Hedging Obligations of
such Person (other than Hedging Obligations excluded pursuant to clause (iv)
above); (vii) all obligations of the type referred to in clauses (i) through (v)
of other Persons and all dividends of other Persons for the payment of which, in
either case, such Person is responsible or liable, directly or indirectly, as
obligor, guarantor or otherwise, including by means of any Guarantee; and (viii)
all obligations of the type referred to in clauses (i) through (vi) of other
Persons secured by any Lien on any property or asset of such Person (whether or
not such obligation is assumed by such Person), the amount of such obligation
being deemed to be the lesser of the value of such property or assets or the
amount of the obligation so secured. The amount of Debt of any Person at any
date shall be the outstanding balance of all obligations as described above and
the maximum liability, upon the occurrence of the contingency giving rise to the
obligation, of any contingent obligations at such date; provided, however, that
the amount outstanding at any time of any Debt Incurred with original issue
discount is the face amount of such Debt less the remaining unamortized portion
of the original issue discount of such Debt at such time as determined in
conformity with GAAP.

     "Deemed Asset Value" means 75% of the fair market value of assets (other
than cash) received by the Company from the issuance or sale of its Capital
Stock or as a capital contribution, in either case as determined in good faith
by the Board of Directors; provided, however, that such determination shall be
confirmed by a nationally recognized investment banking firm or appraisal firm
in the event that the value determined by the Board of Directors exceeds $10
million.

     "Default" means any event that is, or after notice or with the passage of
time or both would be, an Event of Default.

     "Disqualified Stock" means, with respect to any Person, any Capital Stock
which by its terms (or by the terms of any security into which it is convertible
or for which it is exchangeable) or upon the happening of any event (i) matures
or is mandatorily redeemable pursuant to a sinking fund obligation or otherwise,
(ii) is convertible or exchangeable for Debt or Disqualified Stock or (iii) is
redeemable at the option of the Holder thereof, in whole or in part,

                                       7
<PAGE>

in each case on or prior to the first anniversary of the Stated Maturity of the
Notes; provided, however, that any Capital Stock that would not constitute
Disqualified Stock but for provisions thereof giving Holders thereof the right
to require such Person to repurchase or redeem such Capital Stock upon the
occurrence of an "asset sale" or "change of control" occurring prior to the
first anniversary of the Stated Maturity of the Notes shall not constitute
Disqualified Stock if the "asset sale" or "change of control" provisions
applicable to such Capital Stock are not more favorable to the holders of such
Capital Stock than the provisions described under Section 5.08 and Article IV.

     "EBITDA" for any period means the sum of Consolidated Net Income, plus
Consolidated Interest Expense plus the following to the extent deducted in
calculating such Consolidated Net Income: (a) all income tax expense of the
Company, (b) depreciation expense, (c) amortization expense and (d) all other
non-cash items reducing Consolidated Net Income (other than any non-cash item to
the extent it represents an accrual of, or a reserve for, cash disbursements for
any subsequent period prior to the Stated Maturity of the Notes) and less, to
the extent added in calculating Consolidated Net Income, non-cash items (other
than any non-cash item to the extent it represents an accrual for cash receipts
reasonably expected to be received within 12 months after the date of such
accrual), in each case for such period. Notwithstanding the foregoing, the
provision for taxes based on the income or profits of, and the depreciation and
amortization of, a Subsidiary of the Company shall be added to Consolidated Net
Income to compute EBITDA only to the extent (and in the same proportion) that
the net income of such Subsidiary was included in calculating Consolidated Net
Income and only if a corresponding amount would be permitted at the date of
determination to be dividended to the Company by such Subsidiary without prior
approval other than for the board of directors of such Subsidiary (that has not
been obtained), pursuant to the terms of its charter and all agreements,
instruments, judgments, decrees, orders, statutes, rules and governmental
regulations applicable to such Subsidiary or its stockholders.

     "Enterprise Valuation" means the aggregate Fair Market Value of the Company
or Goss as of the date of the occurrence of an Enterprise Valuation Event.

     "Enterprise Valuation Event" means any Change of Control consisting of or
resulting from one or more transactions wherein the aggregate consideration
therefor has a value in excess of $600,000,000 or which fairly reflects an
Enterprise Valuation for the Company and its Subsidiaries in excess of
$600,000,000.

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

     "Fair Market Value" means with respect to an asset or a business, the price
at which such asset or business would change hands between a willing buyer and
willing seller, neither being under compulsion to buy or sell and both having
reasonable knowledge of all relevant facts as of the applicable valuation date.

     "Foreign Subsidiary" means a subsidiary that is organized under the laws of
any country other than the U.S. and substantially all the assets of which are
located outside of the U.S.

     "GAAP" means generally accepted accounting principles in the United States
of America as in effect as of the Issue Date, including those set forth (i) in
the opinions and

                                       8
<PAGE>

pronouncements of the Accounting Principles Board of the American Institute of
Certified Public Accountants, (ii) statements and pronouncements of the
Financial Accounting Standards Board, (iii) in such other statements by such
other entity as approved by a significant segment of the accounting profession,
and (iv) the rules and regulations of the SEC governing the inclusion of
financial statements (including pro forma financial statements) in periodic
reports required to be filed pursuant to Section 13 of the Exchange Act,
including opinions and pronouncements in staff accounting bulletins and similar
written statements from the accounting staff of the SEC.

     "Goss" means Goss Graphic Systems, Inc., a Delaware corporation or any
successor thereof.

     "Guarantee" means any obligation, contingent or otherwise, of any Person
directly or indirectly guaranteeing any Debt or other obligation of any Person
and any obligation, direct or indirect, contingent or otherwise, of such Person
(i) to purchase or pay (or advance or supply funds for the purchase or payment
of) such Debt or other obligation of such Person (whether arising by virtue of
partnership arrangements, or by agreement to keep-well, to purchase assets,
goods, securities or services, to take-or-pay, or to maintain financial
statement conditions or otherwise); or (ii) entered into for purposes of
assuring in any other manner the obligee of such Debt or other obligation of the
payment thereof or to protect such obligee against loss in respect thereof (in
whole or in part); provided, however, that the term "Guarantee" shall not
include endorsements for collection or deposit in the ordinary course of
business. The term "Guarantee" used as a verb shall have a corresponding
meaning. The term "Guarantor" shall mean any Person guaranteeing any obligation.

     "Hedging Obligations" of any Person means the obligations of such Person
pursuant to any Interest Rate Agreement or Currency Agreement.

     "Holder" or "Noteholder" means the Person in whose name a Note is
registered on the Registrar's books.

     "Incur" means issue, assume, Guarantee, incur or otherwise become liable
for; provided, however, that any Debt or Capital Stock of a Person existing at
the time such Person becomes a Subsidiary (whether by merger, consolidation,
acquisition or otherwise) shall be deemed to be Incurred by such Subsidiary at
the time it becomes a Subsidiary. The term "Incurrence" when used as a noun
shall have a correlative meaning. The accretion of principal of a non-interest
bearing or other discount security shall be deemed to be the Incurrence of Debt.

     "Indenture" means this Indenture, as amended, supplemented or otherwise
modified from time to time in accordance with the terms hereof.

     "Interest Rate Agreement" means any interest rate swap agreement, interest
rate cap agreement or other financial agreement or arrangement designed to
protect the Company or any Subsidiary against fluctuations in interest rates.

     "Investment" in any Person means any loan or advance (other than advances
to customers in the ordinary course of business on commercially reasonable terms
that are recorded as accounts receivable on the balance sheet of such Person)
to, any acquisition of Capital Stock, equity interest, obligation or other
security of, or capital contribution or other investment in, or any other credit
extension to (including by way of Guarantee of any Debt of), such Person.

     "Issue Date" means the date on which the Plan has been declared effective.

                                       9
<PAGE>

     "Joint Venture Contract" means that certain Joint Venture Contract, dated
October 29, 1993, between Rockwell Graphic Systems, Inc. and Shanghai Printing &
Packaging Machinery Corp., as in effect on October 15, 1996.

     "Legal Holiday" means a Saturday, a Sunday or a day on which banking
institutions in The City of New York or at a place of payment we authorized by
law, regulation or executive order to remain closed. If a payment date is a
Legal Holiday, payment may be made at that place on the next succeeding day that
is not a Legal Holiday, and no interest shall accrue on such payment for the
intervening period.

     "Lien" means any mortgage, pledge, security interest, encumbrance, lien or
charge of any kind (including any conditional sale or other title retention
agreement or lease in the nature thereof).

     "Net Available Cash" from an Asset Disposition means cash payments received
(including any cash payments received by way of deferred payment of principal
pursuant to a note or installment receivable or otherwise, but only as and when
received, but excluding any other consideration received in the form of
assumption by the acquiring Person of Debt or other obligations relating to such
properties or assets that are the subject of such Asset Disposition or received
in any other noncash form) therefrom, in each case net of (i) all legal, title
and recording expenses, commissions and other fees and expenses incurred, and
all Federal, state, provincial, foreign and local taxes required to be accrued
as a liability under GAAP, as a consequence of such Asset Disposition; (ii) all
payments made on any Debt which is secured by any assets subject to such Asset
Disposition, in accordance with the terms of any Lien upon or other security
agreement of any kind with respect to such assets, or which must by its terms,
or in order to obtain a necessary consent to such Asset Disposition, or by
applicable law be repaid out of the proceeds from such Asset Disposition; (iii)
all distributions and other payments required to be made to minority interest
holders in Subsidiaries or joint ventures as a result of such Asset Disposition;
and (iv) the deduction of appropriate amounts provided by the seller as a
reserve, in accordance with GAAP, against any liabilities associated with the
property or other assets disposed in such Asset Disposition and retained by the
Company or any Subsidiary after such Asset Disposition.

     "Net Cash Proceeds" means with respect to any issuance or sale of Capital
Stock, the cash proceeds (including cash equivalents) of such issuance or sale
net of attorneys' fees, accountants' fees, underwriters' or placement agents'
fees, discounts or commissions and brokerage, consultant and other fees actually
incurred in connection with such issuance or sale and net of taxes paid or
payable as a result thereof.

     "Note Register" means the register of the Notes and the transfer and
exchange of the Notes as provided in Section 2.03 of this Indenture.

     "Notes" has the meaning set forth in the first recital.

     "Officer" means with respect to any Person the Chairman of the Board, the
Chief Executive Officer, the President, the Chief Operating Officer, the Chief
Financial Officer, the Treasurer, Controller, Secretary or any Vice-President of
such Person.

                                       10
<PAGE>

     "Officers' Certificate" means a certificate signed on behalf of the Company
by two Officers of the Company, one of whom must be the principal executive
officer, principal financial officer, treasurer or principal accounting officer
of the Company.

     "Opinion of Counsel" means a written opinion from legal counsel, who may be
an employee of or counsel to the Company.

     "Permitted Holders" means Stonington and its Affiliates.

     "Permitted Investment" means (A) an Investment by the Company or any
Subsidiary in (i) the Company or a Wholly Owned Subsidiary or a Person that
will, upon the making of such Investment, become a Wholly Owned Subsidiary; (ii)
another Person if as a result of, and contemporaneously with, such Investment
such other Person is merged or consolidated with or into, or transfers or
conveys all or substantially all its assets to, the Company or a Wholly Owned
Subsidiary; (iii) Temporary Cash Investments; (iv) receivables owing to the
Company or any Subsidiary if created or acquired in the ordinary course of
business and payable or dischargeable in accordance with customary trade terms;
(v) payroll, travel and similar advances to cover matters that are expected at
the time of such advances ultimately to be treated as expenses for accounting
purposes, that are made in the ordinary course of business; (vi) loans or
advances to employees, officers or directors made in the ordinary course of
business consistent with past practices of the Company or a Subsidiary and that
do not in the aggregate exceed $ 4 million at any time; (vii) stock, obligations
or securities received in settlement of debts created in the ordinary course of
business and owing to the Company or any Subsidiary or in satisfaction of
judgments; and (viii) any Person to the extent such Investment represents the
non-cash portion of the consideration received for an Asset Disposition as
permitted pursuant to the covenant described under Section 5.08, (B) any
Investment by the Company in the Permitted Joint Venture at the times and in the
amounts and manner required by the Joint Venture Contract and (C) Customer Notes
issued following the Issue Date by the Company and its Subsidiaries; provided
that the amount of Investments made pursuant to Customer Notes following the
Issue Date, in the aggregate, at any one time outstanding may not exceed $30
million less the amount of Customer Notes Guarantees Incurred following the
Issue Date then outstanding pursuant to Section 5.04(b)(4) and 5.05(i).

     "Permitted Joint Venture" means Shanghai Rockwell Graphic Systems Co.,
Ltd., a joint venture formed by the Company and Shanghai Printing & Packaging
Machinery Corp. pursuant to the Joint Venture Contract.

     "Person" means any individual, corporation, partnership, limited liability
company, joint venture, association, joint-stock company, trust, unincorporated
organization, government or any agency or political subdivision thereof or any
other entity.

     "Plan" means the Joint Plan of Reorganization of Goss Graphic Systems, Inc.
("Systems"), Goss Holdings, Inc. and Goss Realty, L.L.C. ("Realty") under
Chapter 11 of the United States Bankruptcy Code filed with the United States
Bankruptcy Court for the District of Delaware and confirmed by such court on
October 21, 1999 with respect to the Company and Systems and November 4, 1999
with respect to Realty, as the same may be amended, modified or supplemented
from time to time in accordance with the terms thereof.

                                       11
<PAGE>

     "Preferred Stock" means, as applied to the Capital Stock of any
corporation, Capital Stock of any class or classes (however designated) which is
preferred as to the payment of dividends, or as to the distribution of assets
upon any voluntary or involuntary liquidation or dissolution of such
corporation, over shares of Capital Stock of any other class of such
corporation.

     "Principal" of a Note means the principal of the Note plus the premium, if
any, payable on the Note which is due or overdue or is to become due at the
relevant time.

     "Public Equity Offering" means a primary public offering of any class of
common stock of the Company or Goss pursuant to an effective registration
statement under the Securities Act.

     "Public Market" means any time after (x) a Public Equity Offering has been
consummated, and (y) at least 15% of the total issued and outstanding common
stock of the Company or Goss, as the case may be, has been distributed by means
of an effective registration statement under the Securities Act or sales
pursuant to Rule 144 under the Securities Act.

     "Refinance" means, with respect to any Debt, to refinance, extend, renew,
refund, repay, prepay, redeem, defease or retire, or to issue other Debt in
exchange or replacement for, such indebtedness. "Refinanced" and "Refinancing"
shall have correlative meanings.

     "Refinancing Debt" means Debt that Refinances any Debt of the Company or
any Subsidiary existing on the Issue Date or Incurred in compliance with this
Indenture, including Debt that Refinances Refinancing Debt; provided, however,
that (i) such Refinancing Debt has a Stated Maturity no earlier than the Stated
Maturity of the Debt being Refinanced; (ii) such Refinancing Debt has an Average
Life at the time such Refinancing Debt is Incurred that is equal to or greater
than the Average Life of the Debt being Refinanced; (iii) such Refinancing Debt
has an aggregate principal amount (or if Incurred with original issue discount,
an aggregate issue price) that is equal to or less than the aggregate principal
amount (or if Incurred with original issue discount, the aggregate accreted
value) then outstanding or committed (plus fees and expenses, including any
premium and defeasance costs) under the Debt being Refinanced; and (iv) with
respect to any Refinancing Debt of Debt other than Senior Debt, such Refinancing
Debt shall rank no more senior, and shall be at least as subordinated, in right
of payment to the Notes as the Debt being so extended, renewed, refunded or
refinanced; provided, further, however, that Refinancing Debt shall not include
Debt of a Subsidiary that Refinances Debt of the Company.

     "Related Business" means the business of the Company and its Subsidiaries
on the Issue Date and any business related, ancillary or complementary to the
businesses of the Company and its Subsidiaries on the Issue Date.

     "Representative" means any trustee, agent or representative (if any) for an
issue of Senior Debt of the Company.

     "Responsible Officer" means, when used with respect to the Trustee, any
officer within the Corporate Trust Office of the Trustee (or any successor group
of the Trustee) with direct responsibility for the administration of the
Indenture and also means with respect to a particular corporate trust matter,
any other officer to whom such matter is referred because of his or her
knowledge and familiarity with the particular subject.

     "Restricted Payment" with respect to any Person means (i) the declaration
or payment of any dividends or any other distributions of any sort in respect of
its Capital Stock

                                       12
<PAGE>

(including any payment in connection with any merger or consolidation involving
such Person) or similar payment to the direct or indirect holders of its Capital
Stock (other than (x) dividends or distributions payable solely in its Capital
Stock (other than Disqualified Stock) or rights to acquire its Capital Stock
(other than Disqualified Stock), (y) dividends or distributions payable solely
to the Company or a Subsidiary, and (z) pro rata dividends or other
distributions made by a Subsidiary that is not a Wholly Owned Subsidiary to
minority stockholders (or owners of an equivalent interest in the case of a
Subsidiary that is an entity other than a corporation)), (ii) the purchase,
redemption or other acquisition or retirement for value of any Capital Stock of
the Company held by any Person or of any Capital Stock of a Subsidiary held by
any Affiliate of the Company (other than a Subsidiary), including the exercise
of any option to exchange any Capital Stock (other than into Capital Stock of
the Company that is not Disqualified Stock), (iii) the purchase, repurchase,
redemption, defeasance or other acquisition or retirement for value, prior to
scheduled maturity, scheduled repayment or scheduled sinking fund payment of any
Subordinated Obligations (other than the purchase, repurchase or other
acquisition of Subordinated Obligations purchased in anticipation of satisfying
a sinking fund obligation, principal installment or final maturity, in each case
due within one year of the date of acquisition) or (iv) the making of any
Investment in any Person (other than a Permitted Investment).

     "SEC" means the Securities and Exchange Commission.

     "Secured Debt" means any Debt of the Company or a Subsidiary secured by a
Lien.

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

     "Senior Debt" means (i) Debt of the Company whether outstanding on the
Issue Date or thereafter incurred (including, without limitation, Debt (and
other obligations including for fees, expenses, reimbursements, indemnities or
otherwise) Incurred pursuant to the Credit Facility Guaranty, any Interest Rate
Agreement or Currency Agreement entered into with a Bank in connection with the
Credit Facility and any other Guarantee by the Company of any Debt or monetary
obligation of any of its Subsidiaries under the Credit Facility or any such
Interest Rate Agreement or Currency Agreement) and (ii) accrued and unpaid
interest thereon (including interest accruing on or after the filing of any
petition in bankruptcy or for reorganization relating to the Company or a
Subsidiary at the rate otherwise applicable thereto whether or not post-filing
interest is allowed in such proceeding).

     "Senior Subordinated Debt" means the Notes and any other Debt of the
Company that specifically provides that such Debt is to rank pari passu with the
Notes in right of payment and is not subordinated by its terms in right of
payment to any Debt or other obligation of the Company which is not Senior Debt.

     "Significant Subsidiary" means any Subsidiary that would be a "Significant
Subsidiary" of the Company as such term is defined in Rule 1-02 of Regulation
S-X, promulgated by the SEC.

     "Stated Maturity" means with respect to any security the date specified in
such security as the fixed date on which the final payment of principal of such
security is due and payable, including pursuant to any mandatory redemption
provision (but excluding any provision

                                       13
<PAGE>

providing for the repurchase of such security at the option of the holder
thereof upon the happening of any contingency unless such contingency has
occurred).

     "Stonington" means Stonington Partners, Inc.

     "Subordinated Obligation" means any Debt of the Company (whether
outstanding on the Issue Date or thereafter Incurred) which by its written terms
is subordinate or junior in right of payment to the Notes.

     "Subsidiary" means, in respect of any Person, any corporation, association,
partnership or other business entity of which more than 50% of the total voting
power of shares of Capital Stock or other interests (including partnership
interests) entitled (without regard to the occurrence of any contingency) to
vote in the election of directors, managers or trustees thereof is at the time
owned or controlled, directly or indirectly, by (i) such Person; (ii) such
Person and one or more Subsidiaries of such Person; or (iii) one or more
Subsidiaries of such Person.

     "Tangible Property" means all land, buildings, machinery and equipment and
leasehold interests and improvements which would be reflected on a balance sheet
of the Company prepared in accordance with generally accepted accounting
principles, excluding (i) all rights, contracts and other intangible assets of
any nature whatsoever; and (ii) all inventories and other current assets.

     "Temporary Cash Investments" means any of the following: (i) any investment
in direct obligations of the United States of America or any agency thereof or
obligations guaranteed by the United States of America or any agency thereof,
(ii) investments in time deposit accounts, certificates of deposit and money
market deposits maturing within 270 days of the date of acquisition thereof
issued by a bank or trust company which is organized under the laws of the
United States of America, any state thereof or any foreign country recognized by
the United States, and which bank or trust company has capital, surplus and
undivided profits aggregating in excess of $50,000,000 (or the foreign currency
equivalent thereof) and has outstanding debt which is rated "A" (or such similar
equivalent rating) or higher by at least one nationally recognized statistical
rating organization (as defined in Rule 436 under the Securities Act) or any
money-market fund sponsored by a registered broker dealer or mutual fund
distributor, (iii) repurchase obligations with a term of not more than 30 days
for underlying securities of the types described in clause (i) above entered
into with a bank meeting the qualifications described in clause (ii) above, (iv)
investments in commercial paper, maturing not more than 180 days after the date
of acquisition, issued by a corporation (other than an Affiliate of the Company)
organized and in existence under the laws of the United States of America, any
jurisdiction thereof or any foreign country recognized by the United States of
America with a rating at the time as of which any investment therein is made of
"P-1" (or higher) according to Moody's Investors Service, Inc. or "A-1" (or
higher) according to Standard and Poor's Ratings Group, and (v) investments in
securities with maturities of nine months or less from the date of acquisition
issued or fully guaranteed by any state, commonwealth or territory of the United
States of America, or by any political subdivision or taxing authority thereof,
and rated at least "A" by Standard & Poor's Ratings Group or "A" by Moody's
Investors Service, Inc.

     "TIA" means the Trust Indenture Act of 1939 (15 U.S.C. ss.ss. 77aaa-77bbbb)
as in effect on the date on which this Indenture is qualified under the TIA.

                                       14
<PAGE>

     "Trustee" means the party named as such above until a successor replaces it
in accordance with the applicable provisions of this Indenture, and thereafter
such term shall mean such successor serving hereunder.

     "U.S. Government Obligation" means direct obligations (or certificates
representing an ownership interest in such obligations) of the United States of
America (including any agency or instrumentality thereof) for the payment of
which the full faith and credit of the United States of America is pledged and
which are not callable at the issuer's option.

     "Voting Stock" of a Person means all classes of Capital Stock or other
interests (including partnership interests) of such Person then outstanding and
normally entitled (without regard to the occurrence of any contingency) to vote
in the election of directors, managers or trustees thereof.

     "Wholly Owned Subsidiary" means a Subsidiary all the Capital Stock of which
(other than directors' qualifying shares and shares held by other Persons to the
extent such shares are required by applicable law to be held by a Person other
than the Company or a Subsidiary) is owned by the Company or one or more Wholly
Owned Subsidiaries.

Section 1.02 Other Definitions.

               Term                                              Defined in
                                                                 Article/Section

               "Affiliate Transaction".................             Section 5.09
               "Blockage Notice".......................            Section 11.03
               "Change of Control".....................               Article IV
               "covenant defeasance"...................             Section 9.01
               "Default Amount"........................             Section 7.02
               "Excess Proceeds Offer".................             Section 5.08
               "Excess Proceeds Payment"...............             Section 5.08
               "Event of Default"......................             Section 7.01
               "Final Payment Default".................             Section 7.01
               "legal defeasance"......................             Section 9.01
               "Non-payment Default"...................             Section 7.01
               "Notes Payment".........................            Section 11.02
               "Paying Agent"..........................             Section 2.03
               "parent corporation"....................               Article IV
               "Payment Blockage Period"...............            Section 11.03
               "Proceeding"............................            Section 11.02
               "Registrar".............................             Section 2.03
               "specified corporation".................               Article IV
               "Successor Company".....................             Section 6.01

                                       15
<PAGE>

Section 1.03 Incorporation by Reference of Trust Indenture Act.

     Whenever this Indenture refers to a provision of the TIA, the provision is
incorporated by reference in and made a part of this Indenture.

     The following TIA terms used in this Indenture have the following meanings:

     (i)  "indenture securities" means the Notes;

     (ii) "indenture security holder" means a Holder or Noteholder;

     (iii) "indenture to be qualified" means this Indenture;

     (iv) "indenture trustee" or "institutional trustee" means the Trustee;

     (v)  "obligor" upon the Notes means each of the Company and any successor
          obligor upon the Notes.

     All other terms used in this Indenture that are (i) defined by the TIA;
(ii) defined by TIA reference to another statute; or (iii) defined by SEC rule
under the TIA have the meanings so assigned to them.

Section 1.04   Rules of Construction.

     Unless the context otherwise requires:

     (i)  a term has the meaning assigned to it;

     (ii) an accounting term not otherwise defined has the meaning assigned to
          it in accordance with GAAP;

     (iii) the word "or" shall not be deemed to be exclusive;

     (iv) words in the singular include the plural, and words in the plural
          include the singular; and

     (v)  provisions apply to successive events and transactions.

                                   ARTICLE II

                                    THE NOTES

Section 2.01 Form and Dating.

     The Notes and the Trustee's certificate of authentication shall be
substantially in the form of Exhibit A hereto, the terms of which are
incorporated in and made a part of this Indenture. The Notes may have such
notations, legends or endorsements approved as to form by the Company and
required, as applicable, by law, stock exchange rule, agreements to which the
Company is subject and/or usage. Each Note shall be dated the date of its
authentication. The Notes shall be issuable only in denominations of $1.00 and
integral multiples thereof.

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Section 2.02 Execution and Authentication.

     Two Officers of the Company shall sign the Notes for the Company by manual
or facsimile signature. The Company's seal shall be reproduced on the Notes.

     If an Officer whose signature is on a Note no longer holds that office at
the time such Note is authenticated, such Note shall be valid nevertheless.

     A Note shall not be valid until authenticated by the manual signature of
the Trustee. The signature of the Trustee shall be conclusive evidence that a
Note has been authenticated in accordance with the terms of this Indenture.

     The Trustee, upon a written order of the Company signed by two Officers of
the Company, shall authenticate the Notes for original issue up to an aggregate
principal amount stated in paragraph 4 of the Notes. The aggregate principal
amount of Notes outstanding at any time shall not exceed the amount set forth
therein except as provided in Section 2.07.

     The Trustee may appoint an authenticating agent acceptable to the Company
to authenticate the Notes. Unless limited by the terms of such appointment, any
such authenticating agent may authenticate the Notes whenever the Trustee may do
so. Each reference in this Indenture to authentication by the Trustee includes
authentication by such authenticating agent of the Trustee. An authenticating
agent has the same rights as an Agent to deal with the Company or an Affiliate
of the Company.

     The Trustee shall have the right to decline to authenticate and deliver any
Notes under this Section 2.02 if the Trustee, being advised by counsel,
determines that such action may not lawfully be taken or if the Trustee in good
faith shall determine that such action would expose the Trustee to personal
liability to existing Holders for which the Trustee is not indemnified.

Section 2.03 Registrar and Paying Agent.

     The Company shall maintain (i) an office or agency where the Notes may be
presented for registration of transfer or for exchange (including any
co-registrar, the "Registrar"); and (ii) an office or agency where the Notes may
be presented for payment ("Paying Agent"). The Registrar shall keep a register
of the Holders and of the transfer and exchange of the Notes (the "Note
Register"). The Company may appoint one or more co-registrars and one or more
additional paying agents. The term "Paying Agent" shall include any such
additional paying agent. The Company may change any Paying Agent, Registrar or
co-registrar without prior notice to any Holder. The Company shall notify the
Trustee and the Trustee shall notify the Holders of the name and address of any
Agent not a party to this Indenture. The Company or any of its domestically
incorporated Wholly Owned Subsidiaries may act as Paying Agent, Registrar or
co-registrar. The Company shall enter into an appropriate agency agreement with
any Agent not a party to this Indenture, which shall incorporate the provisions
of the TIA. Any such agency agreement shall implement the provisions of this
Indenture that relate to such Agent. If the Company fails to maintain a
Registrar or Paying Agent, or fails to give the foregoing notice, the Trustee
shall act as such, as appropriate, and shall be entitled to appropriate
compensation in accordance with Section 8.07.

     The Company initially appoints the Trustee as Registrar, Paying Agent and
agent for service of notices and demands in connection with the Notes.

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Section 2.04 Paying Agent to Hold Money In Trust.

     On or prior to each due date of the principal of, premium, if any, and
interest on any Note, the Company shall deposit with the Paying Agent a sum
sufficient to pay such principal, premium, if any, and interest when so becoming
due. The Company shall require each Paying Agent (other than the Trustee) to
agree in writing that the Paying Agent shall hold in trust for the benefit of
the Holders or the Trustee all money held by the Paying Agent for the payment of
principal of, premium, if any, and interest on the Notes, and shall notify the
Trustee of any Default by the Company in making any such payment. While any such
Default continues, the Trustee may require a Paying Agent to pay all money held
by it to the Trustee. The Company at any time may require a Paying Agent to pay
all money held by it to the Trustee. Upon payment over to the Trustee, the
Paying Agent (if other than the Company or its domestically incorporated Wholly
Owned Subsidiaries) shall have no further liability for the money delivered to
the Trustee. If the Company or its domestically incorporated Wholly Owned
Subsidiaries acts as Paying Agent, it shall segregate and hold in a separate
trust fund for the benefit of the Holders all money held by it as Paying Agent.

Section 2.05 Lists of Holders.

     The Trustee shall preserve in as current a form as is reasonably
practicable the most recent list available to it of the names and addresses of
the Holders. If the Trustee is not the Registrar, the Company shall furnish to
the Trustee at least five Business Days before each interest payment date and at
such other times as the Trustee may request in writing a list in such form and
as of such date as the Trustee may reasonably require of the names and addresses
of the Holders.

Section 2.06 Transfer and Exchange.

     Notes shall be issued in registered form. When Notes are presented to the
Registrar with a request to register the transfer or to exchange them for an
equal principal amount of Notes of other denominations, the Registrar shall
register the transfer or make the exchange; provided, however, that any Note
presented or surrendered for registration of transfer or exchange shall be duly
endorsed or accompanied by a written instruction of transfer in form
satisfactory to the Registrar and the Trustee duly executed by the Holder
thereof or by his attorney duly authorized in writing. To permit registrations
of transfer and exchanges, the Company shall execute and the Trustee shall
authenticate Notes at the Registrar's request.

     Neither the Company nor the Registrar shall be required to (i) issue,
register the transfer of or exchange Notes during a period beginning at the
opening of business on a Business Day 15 days before the day of any selection of
Notes for redemption under Section 3.02; (ii) register the transfer of or
exchange any Note so selected for redemption in whole or in part, except the
unredeemed portion of any Note being redeemed in part or (iii) register the
transfer of or exchange any Note during a period beginning at the opening of
business 15 days before an interest payment date and ending at the close of
business on the interest payment date.

     No service charge shall be made to any Holder of a Note for any
registration of transfer or exchange (except as otherwise expressly permitted
herein), but the Company may require payment of a sum sufficient to cover any
transfer tax or similar governmental charge payable in connection therewith.

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     Prior to due presentment to the Trustee for registration of the transfer of
any Note, the Trustee, any Agent and the Company may deem and treat the Person
in whose name any Note is registered in the Note Register as the absolute owner
of such Note for the purpose of receiving payment of principal of, premium, if
any, and interest on such Note and for all other purposes whatsoever, whether or
not such Note is overdue, and none of the Trustee, any Agent nor the Company
shall be affected by any notice to the contrary.

Section 2.07 Replacement Notes.

     If any mutilated Note is surrendered to the Trustee, or the Company and the
Trustee receive evidence to their satisfaction of the destruction, loss or theft
of any Note, the Company shall issue and the Trustee shall authenticate a
replacement Note if the Company's and the Trustee's reasonable requirements for
the replacements of Notes are met. If required by the Trustee or the Company, an
indemnity bond shall be supplied by the Holder that is sufficient in the
judgment of the Trustee and the Company to protect the Company, the Trustee, any
Agent or any authenticating agent from any loss which any of them may suffer if
a Note is replaced. The Company and the Trustee may charge the Holder for their
expenses in replacing a Note.

     Every replacement Note shall be an obligation of the Company.

Section 2.08 Outstanding Notes.

     The Notes outstanding at any time are all the Notes authenticated by the
Trustee, except for those cancelled by it, those delivered to it for
cancellation and those described in this Section 2.08 as not outstanding. A Note
does not cease to be outstanding because the Company, a Subsidiary of the
Company or an Affiliate of the Company holds such Note.

     If a Note is replaced pursuant to Section 2.07, it shall cease to be
outstanding unless the Trustee receives proof satisfactory to it that such
replaced Note is held by a bona fide purchaser. A mutilated Note ceases to be
outstanding upon surrender of such Note and replacement thereof pursuant to
Section 2.07.

     If the Paying Agent segregates and holds in trust, in accordance with this
Indenture, on a redemption date or maturity date money sufficient to pay all
principal and interest payable on that date with respect to the Notes (or
portions thereof) to be redeemed or maturing, as the case may be, and the Paying
Agent is not prohibited from paying such money to the Holders on that date
pursuant to the terms of this Indenture, then on and after that date such Notes
(or portions thereof) shall cease to be outstanding and interest thereon shall
cease to accrue.

Section 2.09 Temporary Notes.

     Until definitive Notes are ready for delivery, the Company may prepare and
the Trustee shall authenticate temporary Notes. Temporary Notes shall be
substantially in the form of definitive Notes but may have such variations as
the Company and the Trustee consider appropriate for temporary Notes. Without
unreasonable delay, the Company shall prepare and the Trustee shall authenticate
definitive Notes in exchange for temporary Notes. Until such exchange, temporary
Notes shall be entitled to the same rights, benefits and privileges as
definitive Notes.

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Section 2.10 Cancellation.

     The Company at any time may deliver Notes to the Trustee for cancellation.
The Registrar and the Paying Agent shall forward to the Trustee any Notes
surrendered to them for registration of transfer, exchange or payment. The
Trustee and no one else shall cancel all Notes surrendered for registration of
transfer, exchange, payment, replacement or cancellation, and shall dispose of
such cancelled Notes in accordance with its customary procedures, unless the
Company directs cancelled Notes to be returned to it. The Company may not issue
new Notes to replace Notes it has redeemed, paid or delivered to the Trustee for
cancellation.

Section 2.11 Defaulted Interest.

     If the Company defaults in a payment of interest on the Notes, the Company
shall pay such defaulted interest in any lawful manner and shall pay interest on
defaulted installments of interest at the rate borne by the Notes to the extent
lawful. The Company may pay such defaulted interest to the Persons who are
Holders of the Notes on a subsequent special record date, which date shall be at
the earliest practicable date but in all events at least five Business Days
prior to the payment date, in each case at the rate provided in the Notes. The
Company shall fix or cause to be fixed any such special record date and payment
date, and, at least 15 days prior to the special record date, the Company shall
mail or cause to be mailed to each Holder of a Note a notice that states such
special record date, such related payment date and the amount of any such
defaulted interest to be paid to Holders of the Notes.

Section 2.12 CUSIP Number.

     The Company in issuing the Notes may use a "CUSIP" number, and, if the
Company shall do so, the Trustee shall use such CUSIP number in notices of
redemption or exchange as a convenience to Holders; provided, however, that any
such notice may state that no representation is made as to the correctness or
accuracy of the CUSIP number printed in such notice or on the Notes and that
reliance may be placed only on the other identification numbers printed on the
Notes. The Company will notify the Trustee of any change in a CUSIP number.

                                  ARTICLE III

                                   REDEMPTION

Section 3.01 Notices to Trustee.

     If the Company elects to redeem Notes pursuant to paragraph 5 of the Notes,
the Company shall notify the Trustee in writing of the redemption date, the
principal amount of Notes to be redeemed, the CUSIP number of such Notes and the
paragraph of the Notes pursuant to which the redemption will occur.

     The Company shall give each notice to the Trustee provided for in this
Section 3.01 at least 60 but not more than 90 days before the redemption date
unless the Trustee consents to a shorter period. Such notice shall be
accompanied by an Officers' Certificate and an Opinion of Counsel from the
Company to the effect that such redemption will comply with the conditions
herein. If fewer than all of the Notes are to be redeemed, the record date
relating to such

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redemption shall be selected by the Company and given to the Trustee, which
record date shall not be less than 15 days after the date of notice to the
Trustee.

Section 3.02 Selection of Notes to be Redeemed.

     If fewer than all the Notes are to be redeemed, the Trustee shall select
the Notes to be redeemed by lot or by such other methods as the Trustee in its
sole discretion shall deem to be fair and appropriate and that comply with the
applicable legal and securities exchange requirements, if any. The Trustee shall
make the selection from outstanding Notes not previously called for redemption.
Notes and portions of Notes the Trustee selects shall be in amounts of $1.00 or
a whole multiple of $1.00. Provisions of this Indenture that apply to Notes
called for redemption also apply to portions of Notes called for redemption. The
Trustee shall notify the Company promptly of the Notes or portions of Notes to
be redeemed.

Section 3.03 Notice of Redemption.

     The Company shall, at least 30 days but not more than 60 days before a
redemption date, mail or cause to be mailed, by first class-mail, a notice of
redemption to each Holder of Notes of that are to be redeemed.

     The notice shall identify the Notes to be redeemed and shall state:

          (i)  the redemption date;

          (ii) the redemption price;

          (iii) if any Note is being redeemed in part, the portion of the
     principal amount of such Note to be redeemed and that, after the redemption
     date, upon surrender of such Note, a new Note or Notes in principal amount
     equal to the unredeemed portion shall be issued upon cancellation of the
     original Note;

          (iv) the name and address of the Paying Agent;

          (v) that Notes called for redemption must be surrendered to the Paying
     Agent to collect the redemption price;

          (vi) that, unless the Company defaults in making such redemption
     payment or the Paying Agent is prohibited from making such payment pursuant
     to the terms of this Indenture, interest on Notes called for redemption
     ceases to accrue on and after the redemption date;

          (vii) the paragraph of the Notes and/or the Section of this Indenture
     pursuant to which the Notes called for redemption are being redeemed; and

          (viii) that no representation is made as to the correctness or
     accuracy of the CUSIP number, if any, listed in such notice or printed on
     the Notes.

     At the Company's request, at least five Business Days prior to the date
upon which such notice is to be mailed unless the Trustee consents to a shorter
period, the Trustee shall give the notice of redemption in the Company's name
and at the Company's expense. In

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such event, the Company shall provide the Trustee with the information required
by this Section 3.03.

Section 3.04 Effect of Notice of Redemption.

     Once notice of redemption is mailed in accordance with Section 3.03, Notes
called for redemption shall become due and payable on the redemption date and at
the redemption price stated in such notice of redemption. Upon surrender to the
Paying Agent, such Notes shall be paid at the redemption price stated in such
notice of redemption, plus accrued interest to the redemption date. Failure to
give notice to a Holder or any defect in any notice shall not affect the
validity of any notice to any other Holder.

Section 3.05 Deposit of Redemption Price.

     On or prior to any redemption date, the Company shall deposit with the
Paying Agent (or, if the Company or a Subsidiary is the Paying Agent, shall
segregate and hold in trust) money sufficient to pay the redemption price of and
accrued interest on all Notes to be redeemed on that date. The Trustee or the
Paying Agent shall promptly return to the Company any money deposited with the
Trustee or the Paying Agent by the Company in excess of the amounts necessary to
pay the redemption price of, and accrued interest on, all Notes to be redeemed
on that date other than Notes or portions of Notes called for redemption which
have been delivered by the Company to the Trustee for cancellation.

Section 3.06 Notes Redeemed in Part.

     Upon surrender of a Note that is redeemed in part, the Company shall issue
and the Trustee shall authenticate for the Holder (at the expense of the
Company) a new Note equal in principal amount to the unredeemed portion of the
Note surrendered.

                                   ARTICLE IV

                CHANGE OF CONTROL AND ENTERPRISE VALUATION EVENT

Section 4.01 Change of Control and Enterprise Valuation Event.

     (a) Upon the occurrence, from time to time, of any of the following events
(each a "Change of Control"), each Holder shall have the right to require that
the Company repurchase such Holder's Notes at a purchase price in cash equal to,
in the case of an Enterprise Valuation Event, 107% or, in all other cases, 101%
of the principal amount thereof plus accrued and unpaid interest, if any, to the
date of purchase (subject to the right of Holders of record on the relevant
record date to receive interest due on the relevant interest payment date):

          (i) prior to a Public Equity Offering, the Permitted Holders cease to
     be the "beneficial owner" (as defined in Rules l3d-3 and l3d-5 under the
     Exchange Act), directly or indirectly, of a majority in the aggregate of
     the total voting power of the Voting Stock of the Company or Goss, whether
     as a result of issuance of securities of the Company or Goss, any merger,
     consolidation, liquidation or dissolution of the Company or Goss, any
     direct or indirect transfer of securities or otherwise (for purposes of
     this clause (i) and clause (ii) below, the Permitted Holders shall be
     deemed to beneficially own any Voting Stock of a corporation

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     (the "specified corporation") held by any other corporation (the "parent
     corporation") so long as the Permitted Holders beneficially own (as so
     defined), directly or indirectly, in the aggregate a majority of the voting
     power of the Voting Stock of the parent corporation);

          (ii) on or after a Public Equity Offering, (A) any "person" (as such
     term is used in Sections 13(d) and 14(d) of the Exchange Act), other than
     one or more Permitted Holders, is or becomes the beneficial owner (as
     defined in clause (i) above, except that for purposes of this clause (ii)
     such person shall be deemed to have "beneficial ownership" of all shares
     that any such person has the right to acquire, whether such right is
     exercisable immediately or only after the passage of time), directly or
     indirectly, of more than 40% of the total voting power of the Voting Stock
     of the Company or Goss; provided, however, that the Permitted Holders
     beneficially own (as defined in clause (i) above), directly or indirectly,
     in the aggregate a lesser percentage of the total voting power of the
     Voting Stock of the Company or Goss than such other person and do not have
     the right or ability by voting power, contract or otherwise to elect or
     designate for election a majority of the Board of Directors (for the
     purposes of this clause (ii), such other person shall be deemed to
     beneficially own any voting stock of a specified corporation held by a
     parent corporation, if such other person is the beneficial owner (as
     defined in this clause (ii)), directly or indirectly, of more than 40% of
     the voting power of the Voting Stock of such parent corporation and the
     Permitted Holders beneficially own (as defined in clause (i) above),
     directly or indirectly, in the aggregate a lesser percentage of the voting
     power of the Voting Stock of such parent corporation and do not have the
     right or ability by voting power, contract or otherwise to elect or
     designate for election a majority of the board of directors of such parent
     corporation);

          (iii) during any period of two consecutive years, individuals who at
     the beginning of such period constituted the Board of Directors of the
     Company or Goss (together with any new directors whose election by such
     Board of Directors or whose nomination for election by the shareholders of
     the Company or Goss, as the case may be, was approved by a vote of not less
     than 66-2/3% of the directors of the Company or Goss, as the case may be,
     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 a majority of the Board of
     Directors then in office; or

          (iv) the merger or consolidation of the Company or Goss with or into
     another Person or the merger of another Person with or into the Company or
     Goss or the sale or transfer in one or a series of transactions of all or
     substantially all the assets of the Company or Goss to another Person, and,
     in the case only of any such merger or consolidation, the securities of the
     Company or Goss, as the case may be, that are outstanding immediately prior
     to such transaction and which represent 100% of the aggregate voting power
     of the Voting Stock of the Company or Goss are changed into or exchanged
     for cash, securities or property unless pursuant to such transaction such
     securities are changed into or exchanged

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<PAGE>

     for, in addition to any other consideration, securities of the surviving
     corporation that represent immediately after such transaction, at least, a
     majority of the aggregate voting power of the Voting Stock of the surviving
     corporation.

     (b) Notwithstanding the foregoing, if at the time of the occurrence of a
Change of Control the terms of the Credit Agreement restrict or prohibit the
repurchase of Notes pursuant to Section 4.01(a), then, prior to the mailing of
the notice to Holders provided for in Section 4.01(c) but in any event within 30
days following any such Change of Control, the Company shall (i) repay in full
all Debt under the Credit Agreement or offer to repay in full all such Debt and
repay the Debt of each Bank that has accepted such offer or (ii) obtain any
required consent or waiver under the Credit Agreement to permit the repurchase
of the Notes as provided for in Section 4.01(a).

     (c) Within 30 days following any Change of Control, the Company shall mail
a notice to each Holder with a copy to the Trustee stating: (1) that a Change of
Control has occurred and that such Holder has the right to require the Company
to purchase such Holder's Notes at a purchase price in cash equal to, in the
case of an Enterprise Valuation Event, 107% or, in all other cases, 101% of the
principal amount thereof plus accrued and unpaid interest, if any, to the date
of purchase (subject to the right of Holders of record on the relevant record
date to receive interest due on the relevant interest payment date); (2) the
circumstances and, to the extent available, relevant facts regarding such Change
of Control (including information with respect to pro forma historical income,
cash flow and capitalization after giving effect to such Change of Control); (3)
the repurchase date (which shall be no earlier than 30 days nor later than 60
days from the date such notice is mailed); (4) the instructions, determined by
the Company consistent with the covenant described hereunder, that a Holder must
follow in order to have its Notes purchased and, in the case of a Change of
Control that is not treated by the Company as an Enterprise Valuation Event, (5)
a written report from a nationally recognized investment bank or financial
advisory firm addressed to the Trustee confirming such treatment and setting
forth such bank's or firm's analysis thereof in reasonable detail.

     (d) The Company shall comply, to the extent applicable, with the
requirements of Section 14(e) of the Exchange Act and any other securities laws
or regulations in connection with the repurchase of Notes pursuant to the
provisions of this Article IV. To the extent that the provisions of any
securities laws and regulations conflict with the provisions of this Section
4.01, the Company shall comply with the applicable securities laws and
regulations and shall not be deemed to have breached its obligations under this
Article IV by virtue thereof.

     (e) In the event that an Enterprise Valuation Event shall have occurred
within the period of 180 days following any optional redemption of Notes
pursuant to Section 5 of the Notes, the Company shall pay to each Holder whose
Notes were redeemed the difference between the optional redemption price
received by such Holder and the purchase price such Holder would have received
had redeemed Notes instead been purchased as provided in this Article IV, in
each case excluding any portion of such redemption and purchase prices
consisting of accrued interest. Such payment shall be made within 30 days of the
occurrence of such Enterprise Valuation Event, in a manner agreed to by the
Company and the Trustee.

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                                    ARTICLE V

                                    COVENANTS

Section 5.01 Payment of Principal, Premium and Interest.

     The Company shall duly and punctually pay the principal of (and premium, if
any) and interest on the Notes in accordance with the terms of this Indenture
and the Notes.

Section 5.02 Maintenance of Office or Agency.

     The Company shall maintain an office or agency (which may be an office of
the Trustee or an affiliate of the Trustee, Registrar or co-registrar) where
Notes may be surrendered for registration of transfer or exchange and where
notices and demands to or upon the Company in respect of the Notes and this
Indenture may be served. The Company shall give prompt written notice to the
Trustee of the location, and any change in such location, of such office or
agency. If at any time the Company shall fail to maintain any such required
office or agency or shall fail to furnish the Trustee with the address thereof,
such presentations, surrenders, notices and demands may be made or served at the
Corporate Trust Office of the Trustee.

     The Company also from time to time may designate one or more additional
offices or agencies where the Notes may be presented or surrendered for any or
all such purposes and from time to time may rescind any such designation;
provided, however, that no such designation or rescission shall in any manner
relieve the Company of its obligation to maintain an office or agency for such
purposes. The Company shall give prompt written notice to the Trustee of any
such designation or rescission and of any change in the location of any such
other office or agency.

Section 5.03 SEC Reports.

     So long as any of the Notes remain outstanding, the Company shall cause
copies of all quarterly and annual financial reports and of the information,
documents, and other reports (or copies of such portions of any of the foregoing
as the SEC may by rules and regulations prescribe) which the Company or Goss is
required to file with the SEC pursuant to Section 13 or 15(d) of the Exchange
Act, to be filed with the Trustee and mailed to the Holders at their addresses
appearing in the Note Register maintained by the Registrar, in each case, within
5 Business Days of filing with the SEC. If neither the Company nor Goss is
subject to the requirements of such Section 13 or 15(d) of the Exchange Act, the
Company shall nevertheless continue to file with the SEC, in conformity with
Section 13 or Section 15(d) of the Exchange Act, and provide the Trustee and
Holders with such annual and quarterly reports (without exhibits in the case of
documents provided to the Trustee and Holders) and such information, documents
and other reports (or copies of such portions of any of the foregoing as the SEC
may by rules and regulations prescribe) which are specified in Section 13 or
Section 15(d) of the Exchange Act. The Company shall also comply with the
provisions of TIA ss. 314(a).

     Delivery of such reports, information and documents to the Trustee is for
informational purposes only and the Trustee's receipt of such shall not
constitute constructive notice of any information contained therein or
determinable from information contained therein,

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including the Company's compliance with any of its covenants hereunder (as to
which the Trustee is entitled to rely exclusively on Officers' Certificates).

Section 5.04 Limitation On Debt.

     (a) The Company shall not, and shall not permit Goss to, Incur, directly or
indirectly, any Debt unless, on the date of such Incurrence, the Consolidated
Coverage Ratio exceeds 2.0 to 1.0.

     (b) Notwithstanding the foregoing paragraph (a), the Company or Goss, as
the case may be, may Incur any or all of the following Debt:

          (i) Debt Incurred pursuant to the Revolving Credit Facility and the
     Credit Facility Guaranty in respect thereof; provided, however, that, after
     giving effect to any such Incurrence, the aggregate principal amount of
     such Debt then outstanding does not exceed $250 million (excluding, for

     purposes of calculating such aggregate principal amount, the amount of
     Hedging Obligations guaranteed pursuant to the Credit Agreement Guaranty).

          (ii) Customer Notes Guarantees Incurred following the Issue Date in an
     aggregate amount at any one time outstanding not to exceed $30 million less
     the amount of Customer Notes Guarantees Incurred following the Issue Date
     then outstanding pursuant to Section 5.05(i) and less the amount of
     Investments in Customer Notes made following the Issue Date then
     outstanding pursuant to clause (c) of the definition of "Permitted
     Investment";

          (iii) Debt owed to and held by a Wholly Owned Subsidiary of Goss;
     provided, however, that any subsequent issuance or transfer of any Capital
     Stock which results in any such Wholly Owned Subsidiary ceasing to be a
     Wholly Owned Subsidiary or any subsequent transfer of such Debt (other than
     to another Wholly Owned Subsidiary of Goss) shall be deemed, in each case,
     to constitute the Incurrence of such Debt by the Company or Goss, as the
     case may be;

          (iv) the Notes;

          (v) Debt (including without limitation Customer Notes Guarantees)
     outstanding on the Issue Date (other than Debt described in clauses (i),
     (ii), (iii), (iv), (v), or (vii) of this Section 5.04);

          (vi) Refinancing Debt in respect of Debt Incurred pursuant to
     paragraph (a) above or pursuant to clause (iv) or (v) above or this clause
     (vi);

          (vii) Hedging Obligations with respect to (1) Debt permitted to be
     Incurred by the Company or its Subsidiaries pursuant to this Indenture or
     (2) transactions denominated in foreign currencies; and

          (viii) Debt (which Debt may, but need not, be Incurred in whole or in
     part under the Credit Agreement) in an aggregate principal amount which,

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<PAGE>

     together with all other Debt of the Company and Goss outstanding on the
     date of such Incurrence (other than Debt permitted by clauses (i) through
     (x) of this paragraph (b) or paragraph (a) above), and giving effect to any
     concurrent Refinancing of Debt permitted by this Indenture, does not exceed
     $15 million.

     For purposes of determining compliance with this covenant, (i) in the event
that an item of Debt meets the criteria of more than one of the types of Debt
described in paragraph (b) or is entitled to be incurred pursuant to paragraph
(a), the Company, in its sole discretion, will classify such item of Debt in any
manner that complies with this covenant and such debt will be treated as having
been incurred pursuant to only one of such clauses of paragraph (b) or pursuant
to paragraph (a); and (ii) an item of Debt may be divided and classified in more
than one of the types of Debt in paragraph (b) or pursuant to paragraph (a).

     (c) Notwithstanding paragraph (a) and paragraph (b) above, the Company
shall not Incur any Debt if the proceeds thereof are used, directly or
indirectly, to Refinance any Subordinated Obligations unless such Debt shall be
subordinated to the Notes to at least the same extent as such Subordinated
Obligations.

     (d) Notwithstanding paragraph (a) and paragraph (b) above, (i) the Company
shall not Incur any Debt if such Debt is subordinated or junior in ranking in
right of payment to any Senior Debt, unless such Debt is Senior Subordinated
Debt or is expressly subordinated in right of payment to Senior Subordinated
Debt; and (ii) the Company shall not issue any Secured Debt which is not Senior
Debt unless contemporaneously therewith effective provision is made to secure
the Notes equally and ratably with such Secured Debt for so long as such Secured
Debt is secured by a Lien.

Section 5.05 Limitation on Debt and Preferred Stock of Subsidiaries of Goss.

     The Company shall not permit any Subsidiary of Goss to Incur, directly or
indirectly, any Debt or Preferred Stock except:

     (a) Guarantees by such Subsidiaries of Debt of the Company or Goss
described in clause (b)(i), (ii) and (iv) of Section 5.04, other Debt of the
Company or Goss Incurred under the Credit Facility which is permitted to be
Incurred pursuant to the terms of this Indenture, and Debt of Foreign
Subsidiaries described in clauses (e) and (f) below;

     (b) Debt or Preferred Stock issued to and held by the Company, Goss or a
Wholly Owned Subsidiary; provided, however, that any subsequent issuance or
transfer of any Capital Stock which results in any such Wholly Owned Subsidiary
ceasing to be a Wholly Owned Subsidiary or any subsequent transfer of such Debt
or Preferred Stock (other than to the Company or a Wholly Owned Subsidiary)
shall be deemed, in each case, to constitute the issuance of such Debt or
Preferred Stock by the issuer thereof;

     (c) Debt or Preferred Stock of a Subsidiary of Goss Incurred and
outstanding on or prior to the date on which such Subsidiary was acquired by the
Company (other than Debt or Preferred Stock Incurred in connection with, or to
provide all or any portion of the funds or credit support utilized to
consummate, the transaction or series of related transactions pursuant to which
such Subsidiary became a Subsidiary or was acquired by the Company); provided,

                                       27
<PAGE>

however, that on the date of such acquisition and after giving effect thereto,
the Company would have been able to Incur at least $1.00 of additional Debt
pursuant to Section 5.04(a);

     (d) Debt or Preferred Stock outstanding on the Issue Date (other than Debt
described in clause (a), (b) or (c));

     (e) Debt of a Foreign Subsidiary Incurred pursuant to the Credit Facility;
provided, however, that, after giving effect to any such Incurrence, the
aggregate principal amount of Debt outstanding of such Foreign Subsidiary
pursuant to this clause (e) does not exceed the greater of (x) $175 million and
(y) the sum of 85% of the gross book value of the accounts receivable of such
Foreign Subsidiary and 65% of the gross book value of the inventories of such
Foreign Subsidiary;

     (f) Refinancing Debt Incurred in respect of Debt or Preferred Stock
referred to in clause (a), (c) or (d) or this clause (f); provided, however,
that to the extent such Refinancing Debt directly or indirectly Refinances Debt
or Preferred Stock of a Subsidiary described in clause (c), such Refinancing
Debt shall be Incurred only by such Subsidiary;

     (g) Hedging Obligations by a Subsidiary with respect to (x) Debt permitted
to be Incurred by such Subsidiary pursuant to this Indenture and (y)
transactions by such Subsidiary denominated in foreign currencies; and

     (h) Customer Notes Guarantees Incurred following the Issue Date in an
aggregate amount at any one time outstanding not to exceed $30 million less the
amount of Customer Notes Guarantees Incurred following the Issue Date then
outstanding pursuant to Section 5.04(b)(ii) and less the amount of Investments
in Customer Notes made following the Issue Date then outstanding pursuant to
clause (B) of the definition of "Permitted Investment."

Section 5.06 Limitation On Restricted Payments.

     (a) The Company shall not, and shall not permit any Subsidiary, directly or
indirectly, to make a Restricted Payment if at the time the Company or such
Subsidiary makes such Restricted Payment:

          (i) a Default shall have occurred and be continuing (or would result
     therefrom);

          (ii) the Company, after giving pro forma effect to such Restricted
     Payment, would not be permitted to Incur an additional $1.00 of Debt
     pursuant to Section 5.04(a); or

          (iii) the aggregate amount of such Restricted Payment and all other
     Restricted Payments since the Issue Date would exceed the sum of:

          (A) 50% of the Consolidated Net Income accrued during the period
     (treated as one accounting period) from the beginning of the fiscal quarter
     during which the Notes were originally issued to the end of the most recent
     fiscal quarter ending at least 45 days prior to the date of such

                                       28
<PAGE>

     Restricted Payment (or, in case such Consolidated Net Income shall be a
     deficit, minus 100% of such deficit); (B) the aggregate Net Cash Proceeds
     and aggregate Deemed Asset Value received by the Company from the issue or
     sale of its Capital Stock (other than Disqualified Stock) or capital
     contributions with respect thereto subsequent to the Issue Date (other than
     an issuance or sale to a Subsidiary of the Company and except as set forth
     in clause (C) other than an issuance or sale to an employee stock ownership
     plan or to a trust established by the Company or any of its Subsidiaries
     for the benefit of their employees); (C) the aggregate Net Cash Proceeds
     received by the Company from the issuance or sale of its Capital Stock
     (other than Disqualified Stock) to an employee stock ownership plan or
     trust established by the Company or any of its Subsidiaries for the benefit
     of their employees subsequent to the date on which the Notes were
     originally issued, other than any such issuance or sale to the extent the
     purchase by such plan or trust is financed by Debt of such plan or trust
     and for which the Company is liable as guarantor or otherwise; and (D) the
     amount by which Debt of the Company is reduced on the Company's balance
     sheet upon the conversion or exchange (other than by a Subsidiary of the
     Company) subsequent to the Issue Date, of any Debt of the Company
     convertible or exchangeable for Capital Stock (other than Disqualified
     Stock) of the Company (less the amount of any cash, or the fair value of
     any other property, distributed by the Company or any Subsidiary upon such
     conversion or exchange, except to the extent that such distribution results
     in a reduction in Consolidated Net Income reflected pursuant to clause (A)
     above).

     (b) The provisions of the foregoing paragraph (a) shall not prohibit:

          (i) any purchase or redemption of Capital Stock or Subordinated
     Obligations of the Company made by exchange for, or out of the proceeds of
     the substantially concurrent sale of, Capital Stock of the Company (other
     than Disqualified Stock and other than Capital Stock issued or sold to a
     Subsidiary of the Company or an employee stock ownership plan or to a trust
     established by the Company or any of its Subsidiaries for the benefit of
     their employees to the extent the purchase by such plan or trust is
     financed by Debt of such plan or trust and for which the Company or any
     Subsidiary is liable as guarantor or otherwise), provided, however, that
     (A) such purchase or redemption shall be excluded in the calculation of the
     amount of Restricted Payments and (B) the Net Cash Proceeds from such sale
     shall be excluded from the calculation of amounts under clauses (iii)(B)
     and (iii)(C) of paragraph (a) above;

          (ii) any purchase, repurchase, redemption, defeasance or other
     acquisition or retirement for value of Subordinated Obligations together
     with any premium payable in connection therewith made by exchange for, or
     out of the proceeds of the substantially concurrent sale of, Debt of the
     Company which is permitted to be Incurred pursuant to Section 5.04;
     provided, however, that such purchase, repurchase, redemption, defeasance
     or other acquisition or retirement

                                       29
<PAGE>

     for value shall be excluded in the calculation of the amount of Restricted
     Payments;

          (iii) dividends paid within 60 days after the date of declaration
     thereof if at such date of declaration such dividend would have complied
     with this covenant; provided, however, that at the time of declaration of
     such dividend, no other Default shall have occurred and be continuing (or
     would result therefrom); and provided, further, however, that such dividend
     shall be included in the calculation of the amount of Restricted Payments;

          (iv) the repurchase of shares of, or options to purchase shares of,
     common stock of the Company or any of its Subsidiaries from employees,
     former employees, directors or former directors of the Company or any of
     its Subsidiaries (or permitted transferees of such employees, former
     employees, directors or former directors), pursuant to the terms of the
     agreements (including employment agreements) or plans (or amendments
     thereto) approved by the Board of Directors under which such individuals
     purchase or sell or are granted the option to purchase or sell, shares of
     such common stock; provided, however, that the aggregate amount of such
     repurchases in any calendar year shall not exceed the sum of (x) $2 million
     and (y) the aggregate Net Cash Proceeds from any reissuance during such
     calendar year of Capital Stock to employees, officers or directors of the
     Company or its Subsidiaries; provided further, however, that to the extent
     that the aggregate amount of such repurchases is less than $2 million in
     any calendar year, the unused portion of such $2 million may be carried
     forward to the succeeding calendar year (provided that the aggregate amount
     of the repurchases in any calendar year shall, in no event, exceed $4
     million plus the amount of aggregate Net Cash Proceeds from any reissuance
     of Capital Stock described above) in any calendar year; and provided,
     further, however, that such repurchases shall be excluded in the
     calculation of the amount of Restricted Payments;

          (v) Investments in any Person primarily engaged in a Related Business
     in an aggregate amount not to exceed $10 million; provided, however, that
     the amount of such Investments shall be excluded in the calculation of the
     amount of Restricted Payments;

          (vi) the payment of any cash dividend on the common stock of the
     Company following a Public Equity Offering by the Company and a payment to
     the Company used solely to pay dividends on the common stock of the
     Company, in each case as long as no Default or Event of Default has
     occurred and is continuing or would thereby result; provided that the
     aggregate amount of all such dividends and payments under this clause (vi)
     shall not exceed 6% of the Net Cash Proceeds received by the Company in any
     such Public Equity Offering in any calendar year; provided further,
     however, that such dividends and payments shall be included in the
     calculation of Restricted Payments;

                                       30
<PAGE>

          (vii) Investments in Customer Notes to the extent such Investments are
     in existence on the Issue Date; provided, however, that the amount of such
     Investments shall be excluded in the calculation of the amount of
     Restricted Payments; or

          (viii) Restricted Payments in an aggregate amount not to exceed $10
     million; provided, however, that the amount of such Restricted Payments
     shall be excluded in the calculation of the amount of Restricted Payments.

Section 5.07 Limitation On Restrictions On Distributions from Subsidiaries.

     (a) The Company shall not, and shall not permit any Subsidiary to, create
or otherwise cause or permit to exist or become effective any consensual
encumbrance or restriction on the ability of any Subsidiary to:

          (i) pay dividends or make any other distributions on its Capital Stock
     to the Company or a Subsidiary or pay any Debt owed to the Company,

          (ii) make any loans or advances to the Company or

          (iii) transfer any of its property or assets to the Company, except:

               (1) any encumbrance or restriction pursuant to the Credit
     Facility or any agreement in effect or entered into on the Issue Date or
     pursuant to the issuance of the Notes;

               (2) any encumbrance or restriction with respect to a Subsidiary
     of Goss pursuant to an agreement relating to any Debt Incurred by such
     Subsidiary on or prior to the date on which such Subsidiary was acquired by
     the Company (other than Debt Incurred as consideration in, or to provide
     all or any portion of the funds or credit support utilized to consummate,
     the transaction or series of related transactions pursuant to which such
     Subsidiary became a Subsidiary or was acquired by the Company) and
     outstanding on such date;

               (3) any encumbrance or restriction pursuant to an agreement
     effecting a Refinancing of Debt Incurred pursuant to an agreement referred
     to in clause (1) or (2) or contained in any amendment to an agreement
     referred to in clause (1) or clause (2); provided, however, that the
     encumbrances and restrictions contained in any of such refinancing
     agreement or amendment are no less favorable to the Noteholders than
     encumbrances and restrictions with respect to such Subsidiary contained in
     such agreements;

               (4) any such encumbrance or restriction (A) that restricts in a
     customary manner the subletting, assignment or transfer of any property or
     asset that is a lease, license, conveyance or contract or similar property
     or asset the subject of such encumbrance or restriction, (B) existing by
     virtue of any transfer of, agreement to transfer, option or right with
     respect to, or Lien on, any property or assets of the Company or any
     Subsidiary not otherwise prohibited by this Indenture or (C) arising or

                                       31
<PAGE>

     agreed to in the ordinary course of business, not relating to any
     Indebtedness, and that do not, individually or in the aggregate, detract
     from the value of property or assets of the Company or any Subsidiary in
     any manner material to the Company or any Subsidiary; provided that, in
     each case, such encumbrance or restriction relates to, and restricts
     dealings with, only the property or asset the subject of such encumbrance
     or restriction; provided further, that such encumbrance or restriction does
     not prohibit, limit or otherwise restrict the making or payment of any
     dividend or other distribution to the Company or any Subsidiary;

               (5) in the case of this clause (iii), restrictions contained in
     security agreements or mortgages securing Debt of a Subsidiary of Goss to
     the extent such restrictions restrict the transfer of the property subject
     to such security agreements or mortgages;

               (6) any encumbrance or restriction imposed solely upon a Foreign
     Subsidiary pursuant to an agreement relating to Indebtedness Incurred by
     such Foreign Subsidiary which is permitted under the covenant described in
     Section 5.05; and

               (7) any restriction with respect to a Subsidiary of Goss imposed
     pursuant to an agreement entered into for the sale or disposition of all or
     substantially all the Capital Stock or assets of such Subsidiary pending
     the closing of such sale or disposition.

Section 5.08 Limitation On Sales of Assets and Subsidiary Stock.

     (a) The Company shall not, and shall not permit any Subsidiary to, directly
or indirectly, consummate any Asset Disposition unless

          (i) the Company or such Subsidiary receives consideration at the time
     of such Asset Disposition at least equal to the fair market value, as
     determined in good faith by the Board of Directors (including as to the
     value of all non-cash consideration), of the shares and assets subject to
     such Asset Disposition and at least 75% of the consideration thereof
     received by the Company or such Subsidiary is in the form of cash or Cash
     Equivalents, and

          (ii) the Company (x) within 180 days (in the case of (A) below) or 360
     days (in the case of (B) below) after receipt of such Net Available Cash,
     (A) to the extent the Company so elects (or is so required by the terms of
     any Senior Debt), applies an amount equal to 100% of the Net Available Cash
     to repay, prepay, redeem or purchase Senior Debt of the Company or Goss or
     Debt (other than any Disqualified Stock) of a Wholly Owned Subsidiary of
     Goss (in each case other than Debt owed to the Company or an Affiliate of
     the Company) or (B) invests or commits to invest the balance of such Net
     Available Cash not applied pursuant to clause (A), in Additional Assets;
     provided, however, that in the case of any commitment to invest such
     investment must be made within one month thereafter, and any amount not so
     invested shall be treated as Excess Proceeds (as defined below); and (y)
     applies the balance of such Net Available Cash not

                                       32
<PAGE>

     applied pursuant to clause (x), as provided in the following paragraphs of
     this covenant. Notwithstanding the foregoing provisions of this paragraph,
     the Company and its Subsidiaries shall not be required to apply any Net
     Available Cash in accordance with this paragraph except to the extent that
     the aggregate Net Available Cash from all Asset Dispositions which are not
     applied in accordance with this paragraph exceeds $10 million. The amount
     of Net Available Cash required to be applied and not applied as so required
     shall constitute "Excess Proceeds". Pending application of Net Available
     Cash pursuant to this covenant, such Net Available Cash shall be invested
     in Temporary Cash Investments or applied to repay Debt Incurred under the
     Revolving Credit Facility without commitment reduction thereunder.

     For the purposes of this covenant, the following are deemed to be included
in Cash Equivalents: (x) the assumption of Debt of the Company or any Subsidiary
and the release of the Company or such Subsidiary from all liability on such
Debt in connection with such Asset Disposition, (y) Temporary Cash Investments,
and (z) securities received by the Company or any Subsidiary from the transferee
that are promptly converted by the Company or such Subsidiary into cash.

     (b) If, as of the first day of any calendar month, the aggregate amount of
Excess Proceeds not theretofore subject to an Excess Proceeds Offer (as defined
below) totals at least $10 million, the Company must, not later than the
fifteenth Business Day of such month, make an offer (an "Excess Proceeds Offer")
to purchase from the Holders (and to purchase Debt from the holders of any other
Senior Subordinated Debt) on a pro rata basis an aggregate principal amount of
Notes equal to the Excess Proceeds (rounded down to the nearest multiple of
$1,000) on such date, at a purchase price equal to 100% of the principal amount
of such Notes, plus, in each case, accrued interest (if any) to the date of
purchase (or, in respect of such other Senior Subordinated Debt, such lesser
price, if any, as may be provided for by the terms of such Senior Subordinated
Debt) (the "Excess Proceeds Payment").

     (c) The Company shall comply, to the extent applicable, with the
requirements of Section 14(e) of the Exchange Act and any other securities laws
or regulations in connection with the repurchase of Notes pursuant to this
Section 5.08. To the extent that the provisions of any securities laws or
regulations conflict with provisions of this Section 5.08, the Company shall
comply with the applicable securities laws and regulations and shall not be
deemed to have breached its obligations under this clause by virtue thereof.

Section 5.09 Limitation On Affiliate Transactions.

     (a) The Company shall not, and shall not permit any Subsidiary to, enter
into or permit to exist any transaction or series of similar transactions
(including the purchase, sale, lease or exchange of any property, employee
compensation arrangements or the rendering of any service with any Affiliate of
the Company or of Goss (an "Affiliate Transaction") unless (x) such transaction
does not consist of the issuance of securities pursuant to stock options, stock
ownership plans or other similar employee compensation arrangements and (y) the
terms thereof:

                                       33
<PAGE>

          (i) are no less favorable to the Company or such Subsidiary than those
     that could be obtained at the time of such transaction in arm's length
     dealings with a Person who is not such an Affiliate,

          (ii) if such Affiliate Transaction involves an amount in excess of $3
     million, (1) are set forth in writing and (2) have been approved by a
     majority of the members of the Board of Directors having no personal stake
     in such Affiliate Transaction, and

          (iii) if such Affiliate Transaction involves an amount in excess of
     $15 million, have been determined by a nationally recognized investment
     banking firm to be fair, from a financial standpoint, to the Company and
     its Subsidiaries.

     (b) The provisions of the foregoing paragraph (a) shall not prohibit:

          (i) any Restricted Payment permitted to be paid pursuant to Section
     5.06;

          (ii) any issuance of securities, or other payments, awards or grants
     in cash, securities or otherwise pursuant to, or the funding of, employment
     arrangements, stock options and stock ownership plans approved by the Board
     of Directors and, with respect to stock options and stock ownership plans,
     issued pursuant to the Plan;

          (iii) loans or advances to employees in the ordinary course of
     business in accordance with the past practices of the Company or its
     Subsidiaries and their predecessors, but in any event not to exceed $4
     million in the aggregate outstanding at any one time;

          (iv) the payment of reasonable and customary fees to directors of the
     Company and its Subsidiaries who are not employees of the Company or its
     Subsidiaries; and

          (v) any Affiliate Transaction between the Company and a Wholly Owned
     Subsidiary or between Wholly Owned Subsidiaries.

Section 5.10 Compliance Certificates.

     The Company shall deliver to the Trustee, within 120 days after the end of
each fiscal year, an Officers' Certificate stating that a review of the
activities of the Company and its Subsidiaries during the preceding fiscal year
has been made under the supervision of the signing Officers with a view to
determining whether the Company has kept, observed, performed and fulfilled its
obligations under this Indenture, and further stating, as to each such Officer
signing such Officers' Certificate, that to the best of his or her knowledge the
Company has kept, observed, performed and fulfilled each covenant contained in
this Indenture and is not in default in the performance or observance of any of
the terms, provisions and conditions of this Indenture (or, if a Default or
Event of Default shall have occurred, describing all such Defaults or Events of

                                       34
<PAGE>

Default of which he or she may have knowledge and what action each is taking or
proposes to take with respect thereto). The Company shall also comply with TIA
ss. 314(a)(4).

Section 5.11 Further Instruments and Acts.

     Upon request of the Trustee, the Company will execute and deliver such
further instruments and do such further acts as may be reasonably necessary or
proper to carry out more effectively the purpose of this Indenture.

                                   ARTICLE VI

                                   SUCCESSORS

Section 6.01 When the Company May Merge or Transfer Assets.

     The Company shall not consolidate with or merge with or into, or convey,
transfer or lease, in one transaction or a series of transactions, all or
substantially all its assets to, any Person, unless:

          (i) the resulting, surviving or transferee Person (the "Successor
     Company") shall be a Person organized and existing under the laws of the
     United States of America, any State thereof or the District of Columbia and
     the Successor Company (if not the Company) shall expressly assume, by an
     indenture supplemental hereto, executed and delivered to the Trustee, in
     form satisfactory to the Trustee, all the obligations of the Company under
     the Notes and this Indenture;

          (ii) immediately after giving effect to such transaction (and treating
     any Debt which becomes an obligation of the Successor Company or any
     Subsidiary of the Successor Company as a result of such transaction as
     having been Incurred by such Successor Company or such Subsidiary at the
     time of such transaction), no Default shall have occurred and be
     continuing;

          (iii) immediately after giving effect to such transaction, the
     Successor Company would be able to Incur an additional $1.00 of Debt
     pursuant to Section 5.04(a);

          (iv) immediately after giving effect to such transaction, the
     Successor Company shall have Consolidated Net Worth in an amount which is
     not less than the Consolidated Net Worth of the Company prior to such
     transaction; and

          (v) the Company shall have delivered to the Trustee an Officers'
     Certificate and an Opinion of Counsel, each stating that such
     consolidation, merger or transfer and such supplemental indenture (if any)
     comply with the terms of this Indenture.

                                       35
<PAGE>

Section 6.02 Successor Company Substituted.

     The Successor Company shall be the successor to the Company and shall
succeed to, and be substituted for, and may exercise every right and power of,
the Company under this Indenture, but the predecessor Company in the case of a
conveyance, transfer or lease shall not be released from the obligation to pay
the principal of and interest on the Notes.

                                  ARTICLE VII

                              DEFAULTS AND REMEDIES

Section 7.01 Events of Default.

     Each of the following shall constitute an "Event of Default":

          (i) the Company defaults in any payment of interest on any Note when
     the same becomes due and payable, whether or not such payment shall be
     prohibited by Article XI, and such default continues for a period of 30
     days;

          (ii) the Company defaults in the payment of the principal of any Note
     when the same becomes due and payable at its Stated Maturity, upon optional
     redemption, upon declaration, upon required repurchase or otherwise,
     whether or not such payment shall be prohibited by Article XI;

          (iii) the Company fails to comply with Article VI;

          (iv) the Company fails to comply for 30 days after the notice
     specified in this Section 7.01 with any of its obligations contained in
     Article IV (other than a failure to purchase Notes), Section 5.03, Section
     5.04, Section 5.05, Section 5.06, Section 5.07, Section 5.08 (other than a
     failure to purchase Notes), or Section 5.09;

          (v) the Company fails to comply with any of its agreements in this
     Indenture (other than those referred to in clause (i), clause (ii), clause
     (iii) or clause (iv) of this Section 7.01) and such failure continues for
     60 days after the notice specified in this Section 7.01;

          (vi) a default under the Credit Agreement or under any other mortgage,
     indenture or instrument under which there may be issued or by which there
     may be secured or evidenced any Debt for money borrowed by the Company or
     any of its Subsidiaries (or the payment of which is Guaranteed by the
     Company or any of its Subsidiaries) whether such Debt or Guarantee now
     exists, or is created after the date of this Indenture, which default (1)
     is caused by failure to pay principal of or premium, if any, or interest on
     such Debt within any applicable grace period after final maturity ("Final
     Payment Default"), or (2) results in the acceleration of such Debt prior to
     its final stated maturity and, in each case, the principal amount of any
     such Debt, together with the principal amount of any other such Debt under
     which there has been a Final Payment Default or the maturity of which has

                                       36
<PAGE>

     been so accelerated, aggregates $10 million or more and such default or
     acceleration continues for 30 days after the notice specified in this
     Section 7.01;

          (vii) the Company or any Significant Subsidiary of the Company
     pursuant to or within the meaning of Bankruptcy Law: (1) commences a
     voluntary case, (2) consents to the entry of an order for relief against it
     in an involuntary case, (3) consents to the appointment of a Custodian of
     it or for all or substantially all of its property; or (4) makes a general
     assignment for the benefit of its creditors;

          (viii) a court of competent jurisdiction enters an order or decree
     under any Bankruptcy Law that: (1) is for relief against the Company or any
     Significant Subsidiary of the Company in an involuntary case, (2), appoints
     a Custodian of the Company or any Significant Subsidiary of the Company or
     for all or substantially all of the property of the Company or any
     Significant Subsidiary of the Company, or (3) orders the liquidation of the
     Company or any Significant Subsidiary of the Company, and any such order or
     decree remains unstayed and in effect for 60 consecutive days; and

          (ix) any final non-appealable judgment or decree for the payment of
     money in excess of $10 million is rendered against the Company or a
     Significant Subsidiary, remains outstanding for a period of 60 days
     following such judgment and is not discharged, waived or stayed within 10
     days after notice; provided, that, the amount of such money judgment or
     decree shall be calculated net of any insurance coverage that the Company
     has determined in good faith is available in whole or in part with respect
     to such money, judgment or decree.

     A Default under clauses (iv), (v), (vi) or (ix) will not constitute an
Event of Default until the Trustee or the Holders of at least 25% in principal
amount of the outstanding Notes notify the Company of the Default and the
Company does not cure such Default within the time specified after receipt of
such notice.

     The foregoing will constitute Events of Default whatever the reason for any
such Event of Default and whether it is voluntary or involuntary or is effected
by operation of law or pursuant to any judgment, decree or order of any court or
any order, rule or regulation of any administrative or governmental body.

     The Company shall deliver to the Trustee, within 30 days after the
occurrence thereof, an Officers' Certificate of any Event of Default pursuant to
clause (iii), clause (vii) or clause (viii) and any event which with the giving
of notice or the lapse of time would become an Event of Default pursuant to
clauses (iv), (v), (vi) or (ix), its status and what action the Company is
taking or proposes to take in respect thereof.

Section 7.02 Acceleration.

     If an Event of Default (other than an Event of Default specified in clause
(vii) or clause (viii) of Section 7.01) occurs and is continuing, the Trustee or
the Holders of at least 25% in aggregate principal amount of the then
outstanding Notes, may declare the principal of and accrued but unpaid interest
on all the Notes to be due and payable (collectively, the "Default

                                       37
<PAGE>

Amount") by notice in writing to the Company, the administrative agent under the
Credit Agreement (if any Debt is then outstanding under the Credit Facility) and
the Trustee specifying the respective Event of Default and that it is a "notice
of acceleration"; provided, however, that the failure to so notify the
administrative agent under the Credit Facility shall not affect the validity of
such acceleration. Upon such a declaration, the Default Amount shall be due and
payable immediately, subject to Article IX and XI of this Indenture.
Notwithstanding the foregoing, in case of an Event of Default specified in
clause (vii) or clause (viii) of Section 7.01, all outstanding Notes shall ipso
facto become and be immediately due and payable without any declaration or other
act on the part of the Trustee or any Holders of the Notes. Under certain
circumstances, the Holders of a majority in aggregate principal amount of the
then outstanding Notes by written notice to the Trustee may on behalf of all of
the Holders rescind an acceleration and its consequences (i) if the rescission
would not conflict with any judgment or decree (ii) all existing Events of
Default (except nonpayment of principal, interest or premium that has become due
solely because of the acceleration) have been cured or waived and (iii) the
Company has paid the Trustee all amounts due pursuant to Section 8.07.

Section 7.03 Other Remedies.

     If an Event of Default occurs and is continuing, the Trustee may pursue any
available remedy to collect the payment of principal, premium, if any, and
interest on the Notes or to enforce the performance of any provision of the
Notes and this Indenture.

     The Trustee may maintain a proceeding even if it does not possess any of
the Notes or does not produce any such Notes in the proceeding. A delay or
omission by the Trustee or any Holder of a Note in exercising any right or
remedy accruing upon any Event of Default shall not impair the right or remedy
or constitute a waiver of or acquiescence in such Event of Default. No remedy
shall be exclusive of any other remedy. All remedies shall be cumulative to the
extent permitted by law.

Section 7.04 Waiver of Past Defaults.

     Holders of a majority in aggregate principal amount of the Notes then
outstanding by notice to the Trustee may on behalf of the Holders of all of the
Notes waive an existing Default and its consequences, except (i) a Default in
the payment of the principal of, premium, if any, or interest on, the Notes; or
(ii) a Default in respect of a provision that under Section 10.02 cannot be
amended without the consent of each Holder affected thereby. Upon any such
waiver, such Default shall cease to exist, and any Event of Default arising
therefrom shall be deemed to have been cured for every purpose of this
Indenture; but no such waiver shall extend to any subsequent or other Default or
impair any right consequent thereon.

Section 7.05 Control by Majority.

     Subject to certain restrictions, Holders of a majority in principal amount
of the Notes then outstanding may direct the time, method and place of
conducting any proceeding for exercising any remedy available to the Trustee or
exercising any trust or power conferred on the Trustee. However, the Trustee may
refuse to follow any direction that conflicts with law or the terms of this
Indenture or if, subject to Section 8.01, the Trustee reasonably determines that
such action, if taken, would be unduly prejudicial to the rights of other
Holders or may involve the Trustee in personal liability.

                                       38
<PAGE>

Section 7.06 Limitation On Suits.

     Except to enforce the right to receive payment of principal, premium, if
any, or interest when due, no Holder of a Note may pursue any remedy with
respect to this Indenture or the Notes, unless:

          (i) such Holder has previously given the Trustee written notice that
     an Event of Default is continuing;

          (ii) Holders of at least 25% in principal amount of the Notes then
     outstanding have made a written request to the Trustee to pursue the
     remedy;

          (iii) such Holders have offered the Trustee reasonable security or
     indemnity against any loss, liability or expense;

          (iv) the Trustee has not complied with such request within 60 days
     after the receipt thereof and the offer of security or indemnity; and

          (v) Holders of a majority in principal amount of the Notes then
     outstanding have not given the Trustee a direction inconsistent with such
     request within such 60-day period.

     A Holder of a Note shall not use this Indenture to prejudice the rights of
another Holder of a Note or to obtain a preference or priority over another
Holder of a Note.

Section 7.07 Unconditional Right of Holders to Receive Payment.

     Notwithstanding any other provision of this Indenture, the right of any
Holder of a Note to receive payment of principal, premium, if any, and interest
on such Note, on or after the respective due dates expressed in such Note, or to
bring suit for the enforcement of any such payment on or after such respective
dates, shall not be impaired or affected without the consent of any such Holder
of a Note.

Section 7.08 Collection Suit by Trustee.

     If an Event of Default specified in Section 7.01(i) or Section 7.01(ii)
occurs and is continuing, the Trustee may recover judgment in its own name and
as trustee of an express trust against the Company for the entire amount then
due and owing, plus the amounts provided for in Section 8.07.

Section 7.09 Trustee May File Proofs of Claim.

     The Trustee may file such proofs of claim and other papers or documents as
may be necessary or advisable in order to have the claims of the Trustee and the
Holders of the Notes allowed in any judicial proceedings relative to the
Company, the Company's creditors or the Company's property, and, unless
prohibited by law or applicable regulations, may vote on behalf of the Holders
in any election of a trustee in bankruptcy or other Person performing similar
functions, and any Custodian in any such judicial proceeding is hereby
authorized by each Holder to make payments to the Trustee, and, in the event
that the Trustee shall consent to the making of such payments directly to the
Holders, to pay to the Trustee any amount due to it for

                                       39
<PAGE>

the reasonable compensation, expenses, disbursements and advances of the
Trustee, its agents and counsel, and any other amounts due to Trustee under
Section 8.07. Nothing herein contained shall be deemed to authorize the Trustee
to authorize or consent to or accept or adopt on behalf of any Holder any plan
of reorganization, arrangement, adjustment or composition affecting the Notes or
the rights of any Holder thereof, or to authorize the Trustee to vote in respect
of the claim of any Holder in any such proceeding.

Section 7.10 Priorities.

     If the Trustee collects any money pursuant to this Article VII, it shall
pay out the money in the following order:

          (i) FIRST: to the Trustee for amounts due to it under Section 8.07;

          (ii) SECOND: to holders of Senior Debt to the extent required by
     Article XI;

          (iii) THIRD: to Holders for amounts due and unpaid on the Notes for
     principal, premium, if any, and interest, ratably, without preference or
     priority of any kind, according to the amounts due and payable on the Notes
     for principal, premium, if any, and interest, respectively; and

          (iv) FOURTH: to the Company.

     The Trustee may fix a record date and payment date for any payment to
Holders pursuant to this Section 7.10.

Section 7.11 Undertaking for Costs.

     In any suit for the enforcement of any right or remedy under this Indenture
or in any suit against the Trustee for any action taken or omitted by it as a
Trustee, a court in its discretion may require the filing by any party litigant
in the suit of an undertaking to pay the costs of the suit, and the court in its
discretion may assess reasonable costs, including reasonable attorneys' fees,
against any party litigant in the suit, having due regard to the merits and good
faith of the claims or defenses made by the party litigant. This Section 7.11
shall not apply to a suit by the Trustee, a suit by a Holder pursuant to Section
7.07, or a suit by Holders of more than 10% in principal amount of the Notes
then outstanding.

Section 7.12 Waiver of Stay, Extension and Usury Laws.

     The Company (to the extent that it may lawfully do so) shall not at any
time insist upon, plead, or in any manner whatsoever claim or take the benefit
or advantage of, any stay, extension or usury law wherever enacted, now or at
any time hereafter in force, that may affect the covenants or the performance of
this Indenture; and the Company (to the extent that it may lawfully do so)
hereby expressly waives all benefit or advantage of any such law, and shall not,
by resort to any such law, hinder, delay or impede the execution of any power
herein granted to the Trustee, but shall suffer and permit the execution of
every such power as though no such law had been enacted.

                                       40
<PAGE>

                                  ARTICLE VIII

                                     TRUSTEE

Section 8.01 Duties of Trustee.

     (a) If an Event of Default of which a Responsible Officer of the Trustee is
aware has occurred and is continuing, the Trustee shall exercise such of the
rights and powers vested in it by this Indenture, and use the same degree of
care and skill in their exercise, as a prudent man would exercise or use under
the circumstances in the conduct of his own affairs.

     (b) Except during the continuance of an Event of Default of which a
Responsible Officer of the Trustee is aware:

          (i) the duties of the Trustee shall be determined solely by the
     express provisions of this Indenture and the Trustee need perform only
     those duties that are specifically set forth in this Indenture and no
     others; and

          (ii) in the absence of bad faith on its part, the Trustee may
     conclusively rely, as to the truth of the statements and the correctness of
     the opinions expressed therein, upon certificates or opinions furnished to
     the Trustee and conforming to the requirements of this Indenture. However,
     the Trustee shall examine the certificates and opinions to determine
     whether or not they conform to the requirements of this Indenture.

     (c) The Trustee shall not be relieved from liabilities for its own
negligent action, its own negligent failure to act, or its own willful
misconduct or bad faith, except that:

          (i) this paragraph does not limit the effect of paragraph (b) of this
     Section 8.01;

          (ii) the Trustee shall not be liable for any error of judgment made in
     good faith, unless it is proved that the Trustee was negligent in
     ascertaining the pertinent facts; and

          (iii) the Trustee shall not be liable with respect to any action taken
     or omitted to be taken by it in good faith in accordance with a direction
     received by it pursuant to Section 7.05.

     (d) Whether or not therein expressly so provided, every provision of this
Indenture that in any way relates to the Trustee is subject to paragraph (a),
paragraph (b) and paragraph (c) of this Section 8.01.

     (e) No provision of this Indenture shall require the Trustee to expend or
risk its own funds or otherwise incur financial liability in the performance of
any of its duties hereunder or in the exercise of any of its rights or powers,
if the Trustee shall have reasonable grounds to believe that repayment of such
funds or adequate indemnity against such risk or liability is not reasonably
assured to it.

                                       41
<PAGE>

     (f) The Trustee shall not be liable for interest on any money received by
it except as the Trustee may agree in writing with the Company.

     (g) Money held in trust by the Trustee need not be segregated from other
funds except to the extent required by law.

     (h) Every provision of this Indenture relating to the conduct or affecting
the liability of or affording protection to the Trustee shall be subject to the
provisions of this Section 8.01 and to the provisions of the TIA.

Section 8.02 Rights of Trustee.

     (a) The Trustee may rely upon any document reasonably believed by it to be
genuine and to have been signed or presented by the proper Person. The Trustee
need not investigate any fact or matter stated in any such document

     (b) Before the Trustee acts or refrains from taking any action, the Trustee
may require an Officers' Certificate or an Opinion of Counsel or both. The
Trustee shall not be liable for any action taken or omitted to be taken by it in
good faith in reliance on such Officers' Certificate or such Opinion of Counsel.

     (c) The Trustee may act through agents and shall not be responsible for the
misconduct or negligence of any agent; provided, however, that any such agent is
appointed by the Trustee with due care.

     (d) The Trustee shall not be liable for any action taken or omitted to be
taken by it in good faith which it reasonably believes to be authorized or
within its rights or powers conferred upon it by this Indenture; provided,
however, that the Trustee's conduct does not constitute negligence, willful
misconduct or bad faith.

     (e) The Trustee may consult with counsel of its selection, and the written
advice or opinion of counsel with respect to legal matters shall be full and
complete authorization and protection from liability in respect to any action
taken, omitted or suffered by the Trustee hereunder in good faith and in
accordance with the advice or opinion of such counsel.

     (f) The Trustee shall be under no obligation to exercise any of the rights
or powers vested in it by this Indenture at the request or direction of any of
the Holders pursuant to this Indenture, unless such Holders shall have offered
to the Trustee reasonable security or indemnity against the costs, expenses and
liabilities which might be incurred by it in compliance with such request or
direction.

     (g) The Trustee shall not be bound to make any investigation into the facts
or matters stated in any resolution, certificate, statement, instrument,
opinion, report, notice, request, direction, consent, order, bond, debenture,
note, other evidence of indebtedness or other paper or document, but the Trustee
in its discretion, may make such further inquiry or investigation into such
facts or matters as it may see fit, and, if the Trustee shall determine to make
such further inquiry or investigation, it shall be entitled to examine the
books, records and

                                       42
<PAGE>

premises of the Company, personally or by agent or attorney at the sole cost of
the Company, and shall incur no liability or additional liability of any kind by
reason of such inquiry or investigation, provided, however, that the Trustee's
conduct does not constitute negligence, willful misconduct or bad faith.

Section 8.03 Individual Rights of Trustee.

     The Trustee in its individual or any other capacity may become the owner or
pledgee of Notes and may otherwise deal with the Company or any Affiliate of the
Company with the same rights as it would have if the Trustee were not the
trustee hereunder. However, in the event the Trustee acquires any conflicting
interest in accordance with the TIA it must eliminate such conflicting interest
within 90 days, apply to the SEC for permission to continue as Trustee or
resign. Any Paying Agent, Registrar or co-registrar may do the same-with like
rights and duties. The Trustee shall at all times remain subject to Section 8.10
and Section 8.11.

     The Trustee shall not be charged with knowledge of any default or event of
default with respect to the Notes, other than a Default or Event of Default
under Section 7.01(i) or (ii), unless either (i) a Responsible Officer of the
Trustee shall have actual knowledge of such Default or Event of default or (ii)
written notice of such Default or Event of Default shall have been given to the
Trustee by the Company or by any Holder of the Notes.

Section 8.04 Trustee's Disclaimer.

     The Trustee shall not be responsible for and makes no representation as to
the validity or adequacy of this Indenture or the Notes, it shall not be
accountable for the Company's use of the proceeds of the Notes and it shall not
be responsible for any statement contained herein or any statement contained in
the Notes or any other document in connection with the sale of the Notes or
pursuant to this Indenture other than the Trustee's certificates of
authentication.

Section 8.05 Notice of Default.

     If a Default occurs and is continuing and if such Default is known to the
Responsible Officer of the Trustee, the Trustee must mail to each Holder a
notice of such Default within 90 days (or such shorter period as may be required
by applicable law) after such Default occurs. Except in the case of a Default in
payment of principal of, premium, if any, or interest on any Note, the Trustee
may withhold the notice if and so long as a committee of its Responsible
Officers in good faith determines that withholding the notice is in the
interests of the Holders.

Section 8.06 Reports by Trustee to Holders.

     Within 60 days after each May 15, beginning with the May 15 following the
date of this Indenture, the Trustee shall mail to Holders of the Notes a brief
report dated as of such reporting date that complies with TIA ss. 313(a) to the
extent such a report is required by TIA ss. 313(a). The Trustee also shall
comply with TIA ss. 313(b).

     A copy of each report at the time of its mailing to the Holders shall be
mailed to the Company and filed with the SEC and each stock exchange, if any, on
which the Notes may be listed. The Company shall promptly notify the Trustee
upon the Notes being listed on any stock exchange and any delisting thereof.

                                       43
<PAGE>

Section 8.07 Compensation and Indemnity.

     The Company shall pay to the Trustee from time to time compensation as such
parties shall agree in writing for the Trustee's acceptance of this Indenture
and its services hereunder (which compensation shall not be limited by any
provision of law in regard to the compensation of the trustee of an express
trust). The Company shall reimburse the Trustee for all reasonable out-of-pocket
expenses incurred or made by it in the course of its services hereunder. Such
expenses shall include the reasonable compensation and expenses, disbursements
and advances of the Trustee's agents, counsel, accountants and experts.

     The Company shall indemnify the Trustee and any predecessor Trustee and
their agents against any and all loss, liability or reasonable expense,
including taxes (other than taxes based upon, measured by or determined by the
income of the Trustee) incurred in connection with the administration of this
trust, including attorneys fees and expenses, and the performance of its duties
under this Indenture, including the costs and expenses of defending itself
against any claim or liability in connection with the exercise or performance of
any of its power or duties hereunder, except any such loss, liability or expense
attributable to the negligence, willful misconduct or bad faith of the Trustee.

     The Trustee shall notify the Company promptly of any claim for which it may
seek indemnity. Failure by the Trustee to so notify the Company shall not
relieve the Company of its obligations hereunder except to the extent that the
Company may be materially prejudiced by such failure. The Company shall defend
the claim and the Trustee shall cooperate in the defense of such claim. The
Trustee may have separate counsel of its selection and the Company shall pay the
reasonable fees and expenses of such counsel. The Company need not reimburse any
expense or indemnify against any loss, liability or expense incurred by the
Trustee through the Trustee's own negligence, willful misconduct or bad faith.
The Company need not pay for any settlement made without its consent, which
consent shall not be unreasonably withheld.

     The Company's payment obligations under this Section 8.07 shall survive the
resignation or removal of the Trustee or the satisfaction and discharge of this
Indenture.

     To secure the Company's payment obligations under this Section 8.07, the
Trustee shall have a Lien prior to the Notes on all money or property held or
collected by the Trustee, except such money or property that is held by it in
trust for the benefit of Holders to pay principal and interest on particular
Notes.

     If the Trustee shall incur expenses after the occurrence of a Default
specified in Section 7.01(vii) or Section 7.01(viii), such expenses (including
the reasonable fees and expenses of its agents and counsel) are intended to
constitute expenses of administration under Bankruptcy Law.

Section 8.08 Replacement of Trustee.

     A resignation or removal of the Trustee and appointment of a successor
Trustee shall become effective only upon the successor Trustee's acceptance of
appointment as provided in this Section 8.08.

     The Trustee may resign at any time and be discharged from the trust hereby
created by so notifying the Company in writing. The Holders of not less than a
majority in

                                       44
<PAGE>

principal amount of the Notes then outstanding may remove the Trustee by so
notifying the Trustee and the Company in writing. The Company shall remove the
Trustee if:

          (i) the Trustee fails to comply with Section 8.10;

          (ii) the Trustee is adjudged bankrupt or insolvent;

          (iii) a Custodian or other public officer takes charge of the Trustee
     or its property; or

          (iv) the Trustee otherwise becomes incapable of acting.

     If the Trustee resigns or is removed or if a vacancy exists in the office
of Trustee for any reason (the Trustee in such event being referred to herein as
the retiring Trustee), the Company shall promptly appoint a successor Trustee.
Within one year after the successor Trustee takes office, the Holders of a
majority in principal amount of the then outstanding Notes may appoint a
successor Trustee to replace the successor Trustee appointed by the Company.

     If a successor Trustee does not take office within 30 days after the
retiring Trustee gives notice of its resignation or is removed, the retiring
Trustee, the Company or the Holders of at least 10% in principal amount of the
then outstanding Notes may petition any court of competent jurisdiction for the
appointment of a successor Trustee.

     If the Trustee after written request by any Holder who has been a Holder
for at least six months fails to comply with Section 8.10, such Holder may
petition any court of competent jurisdiction for the removal of the Trustee and
the appointment of a successor Trustee.

     Any successor Trustee shall deliver a written acceptance of its appointment
to the retiring Trustee and to the Company. Thereupon, the resignation or
removal of the retiring Trustee shall become effective, and the successor
Trustee shall have all of the rights, powers and duties of the Trustee under
this Indenture. The successor Trustee shall mail a notice of its succession to
Holders. The retiring Trustee shall promptly transfer all property held by it as
Trustee to the successor Trustee, subject to the Lien provided for in Section
8.07. Notwithstanding replacement of the Trustee pursuant to this Section 8.08,
the Company's obligations under Section 8.07 shall continue for the benefit of
the retiring Trustee.

Section 8.09 Successor Trustee by Merger, Etc.

     If the Trustee consolidates with, merges or converts into, or transfers all
or substantially all of its corporate trust business or assets to, another
corporation or banking association, the resulting, surviving or transferee
entity without any further act shall constitute the successor Trustee; provided,
however, that such entity shall be otherwise qualified and eligible under this
Article VIII.

     In case at the time such successor or successors by merger, conversion or
consolidation to the Trustee shall succeed to the trusts created by this
Indenture any of the Notes shall have been authenticated but not delivered, any
such successor to the Trustee may adopt the certificate of authentication of any
predecessor trustee, and deliver such Notes so authenticated, and in case at
that time any of the Notes shall not have been authenticated, any successor to
the Trustee may authenticate such Notes either in the name of any predecessor
hereunder or in the name of the successor to the Trustee; and in all such cases
such certificates shall have the full

                                       45
<PAGE>

force which it is anywhere in the Notes or in this Indenture provided that the
certificate of the Trustee shall have.

Section 8.10 Eligibility: Disqualification.

     This Indenture at all times shall have a Trustee which satisfies the
requirements of TIA ss. 310(a). Trustee shall be a corporation organized and
doing business under the laws of the United States of America or of any State
thereof authorized under such laws to exercise corporate trustee power, shall be
subject to supervision or examination by federal or state authority and shall
have a combined capital and surplus of at least $50 million as set forth in its
most recently published annual report of condition. The Trustee shall be subject
to TIA ss. 310 (b); provided, however, that there shall be excluded from the
operation of TIA ss. 310(b)(1) any indenture or indentures under which other
securities or certificates of interest or participation in other securities of
the Company are outstanding if the requirements for such exclusion set forth in
TIA ss. 310(b)(1) are met.

Section 8.11 Preferential Collection of Claims Against the Company.

     The Trustee shall comply with TIA ss. 311(a), excluding any creditor
relationship listed in TIA ss. 311(b). A Trustee which has resigned or been
removed shall be subject to TIA ss. 311(a) to the extent indicated therein.

Section 8.12 May Hold Securities

     The Trustee, any authenticating agent, any paying agent, any registrar or
any other agent of the Company, in its individual or any other capacity, may
become the owner or pledgee of Securities and, subject to Section 8.11 hereof
and the provisions of the TIA, may otherwise deal with the Company with the same
rights it would have if it were not Trustee, authenticating agent, paying agent,
security registrar or such other agent.

                                   ARTICLE IX

                       DISCHARGE OF INDENTURE; DEFEASANCE

Section 9.01 Discharge of Liability on Notes; Defeasance.

(a) When (i) the Company delivers to the Trustee all outstanding Notes (other
than Notes replaced pursuant to Section 2.07) for cancellation or (ii) all
outstanding Notes have become due and payable, whether at maturity or as a
result of the mailing of a notice of redemption pursuant to Article III of this
Indenture and the Company irrevocably deposits with the Trustee funds sufficient
to pay at maturity or upon redemption all outstanding Notes including interest
thereon to maturity or such redemption date (other than Notes replaced pursuant
to Section 2.07), and if in either case the Company pays all other sums payable
hereunder by the Company, then this Indenture shall, subject to Section 9.01(c),
cease to be of further effect. The Trustee shall acknowledge satisfaction and
discharge of this Indenture on demand of the Company accompanied by an Officers'
Certificate and an Opinion of Counsel and at the cost and expense of the
Company.

                                       46
<PAGE>

     (b) Subject to Section 9.01(c) and Section 9.02, the Company at any time
may terminate (i) all of the Company obligations under the Notes and this
Indenture ("legal defeasance"), except for certain obligations, including those
respecting the defeasance trust and obligations to register the transfer or
exchange of the Notes, to replace mutilated, destroyed, lost or stolen Notes and
to maintain a registrar and paying agent in respect of the Notes; or (ii) its
obligations under Article IV, Section 5.03, Section 5.04, Section 5.05, Section
5.06, Section 5.07, Section 5.08, Section 5.09, Section 5.10, Section 6.01(iii),
Section 6.01(iv) and the operation of Section 7.01(iv), Section 7.01(vi),
Section 7.01(vii) (with respect only to Significant Subsidiaries), Section
7.01(viii) (with respect only to Significant Subsidiaries) and Section 7.01(ix)
("covenant defeasance"). The Company may exercise its legal defeasance option
notwithstanding its prior exercise of its covenant defeasance option.

     If the Company exercises its legal defeasance option, payment of the Notes
may not be accelerated because of an Event of Default with respect thereto. If
the Company exercises its covenant defeasance option, payment of the Notes may
not be accelerated because of an Event of Default specified in Section 7.01
(iv), Section 7.01(vi), Section 7.01(vii) (with respect only to Significant
Subsidiaries), Section 7.01(viii) (with respect only to Significant
Subsidiaries) or Section 7.01(ix), or because of the failure of the Company to
comply with Article IV or Section 6.01(iii) or Section 6.01(iv).

     Upon satisfaction of the conditions set forth herein and at the request of
the Company, the Trustee shall acknowledge in writing the discharge of those
obligations of the Company terminated thereby.

     (c) Notwithstanding clause (a) and clause (b) above, the Company's
obligations contained in Section 2.03, Section 2.04, Section 2.05, Section 2.06,
Section 2.07, Section 8.07, Section 8.08 and this Article IX shall survive until
the Notes have been paid in full. Thereafter, the Company's obligations
contained in Section 8.07, Section 9.04 and Section 9.05 shall survive.

Section 9.02 Conditions to Defeasance.

     The Company may exercise its legal defeasance option or its covenant
defeasance option only if:

          (i) the Company irrevocably deposits in trust (the "defeasance trust")
     with the Trustee money or U.S. Government Obligations for the payment of
     principal, premium (if any) and interest on the Notes to maturity or
     redemption, as the case may be;

          (ii) such defeasance does not result in a breach or violation of, or
     constitute a default under, this Indenture, the Credit Agreement or any
     other material agreement or instrument to which the Company is a party or
     by which it is bound;

          (iii) the Company delivers to the Trustee a certificate from a
     nationally recognized firm of independent accountants expressing their
     opinion that the payments of principal and interest when due and without
     reinvestment on the deposited U.S. Government Obligations plus any
     deposited money without

                                       47
<PAGE>

     investment will provide cash at such times and in such amounts as will be
     sufficient to pay principal and interest when due on all the Notes to
     maturity or redemption, as the case may be;

          (iv) 123 days pass after the deposit is made and during the 123-day
     period no Default specified in Section 7.01(vii) or Section 7.01(viii) in
     either case with respect to the Company occurs which is continuing at the
     end of the period;

          (v) the deposit does not result in a breach or violation of, or
     constitute a default under, this Indenture (including, without limitation,
     Article XI hereof), the Credit Agreement or any other material agreement or
     instrument to which the Company is a party or by which the Company is
     bound;

          (vi) the Company delivers to the Trustee an Opinion of Counsel to the
     effect that the trust resulting from the deposit does not constitute, or is
     qualified as, a regulated investment company under the U.S. Investment
     Company Act of 1940, as amended;

          (vii) in the case of the legal defeasance option, the Company shall
     have delivered to the Trustee an Opinion of Counsel in the United States
     stating that (1) the Company has received from or there has been published
     by, the Internal Revenue Service a ruling, or (2) since the date of this
     Indenture there has been a change in the applicable U.S. Federal income tax
     law, in either case to the effect that, and based thereon such Opinion of
     Counsel shall confirm that, the Holders will not recognize income, gain or
     loss for U.S. Federal income tax purposes as a result of such defeasance
     and will be subject to U.S. Federal income tax on the same amounts, in the
     same manner and at the same times as would have been the case if such
     deposit and defeasance had not occurred;

          (viii) in the case of the covenant defeasance option, the Company
     shall have delivered to the Trustee an Opinion of Counsel in the United
     States to the effect that the Holders will not recognize income, gain or
     loss for U.S. Federal income tax purposes as a result of such covenant
     defeasance and will be subject to U.S. Federal income tax on the same
     amounts, in the same manner and at the same times as would have been the
     case if such covenant defeasance had not occurred; and

          (ix) the Company delivers to the Trustee an Officers' Certificate and
     an Opinion of Counsel, each stating that all conditions precedent to the
     defeasance and discharge of the Notes as contemplated by this Article IX
     have been complied with.

     Before or after a deposit, the Company may make arrangements satisfactory
to the Trustee for the redemption of the Notes at a future date in accordance
with Article III.

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<PAGE>

Section 9.03 Application of Trust Money.

     The Trustee shall hold in trust money or U.S. Government Obligations
deposited with it pursuant to this Article IX. The Trustee shall apply the
deposited money and the money from U.S. Government Obligations through the
Paying Agent and in accordance with this Indenture to the payment of principal
of, premium, if any, and interest on the Notes.

Section 9.04 Repayment to the Company.

     The Trustee and the Paying Agent shall promptly turn over to the Company
upon request any excess money or securities held by them at any time.

     Subject to any applicable abandoned property law, the Trustee and the
Paying Agent shall pay to the Company upon request any money held by them for
the payment of principal or interest that remains unclaimed for two years, and,
thereafter, Holders entitled to the money shall look to the Company for payment
as general creditors.

Section 9.05 Indemnity for Government Obligations.

     The Company shall pay and indemnify the Trustee against any tax, fee or
other charge imposed on or assessed against deposited U.S. Government
Obligations or the principal and interest received on such U.S. Government
Obligations.

Section 9.06 Reinstatement.

     If the Trustee or Paying Agent is unable to apply any money or U.S.
Government Obligations in accordance with this Article IX by reason of any legal
proceeding or by reason of any order or judgment of any court or governmental
authority enjoining, restraining or otherwise prohibiting such application, the
Company's obligations under this Indenture and the Notes shall be revived and
reinstated as though no deposit had occurred pursuant to this Article IX until
such time as the Trustee or Paying Agent is permitted to apply all such money or
U.S. Government Obligations in accordance with this Article IX; provided,
however, that, if the Company has made any payment of interest on or principal
of any of the Notes because of the reinstatement of its obligations, the Company
shall be subrogated to the rights of the Holders of such Notes to receive such
payment from the money or U.S. Government Obligations held by the Trustee or
Paying Agent.

                                   ARTICLE X

                        AMENDMENT, SUPPLEMENT AND WAIVER

Section 10.01 Without Consent of Holders.

     The Company and the Trustee may amend or supplement this Indenture or the
Notes without the consent of any Holder:

          (i) to cure any ambiguity, omission, defect or inconsistency;

          (ii) to provide for the assumption of the Company's obligations to the
     Holders in the case of a merger or consolidation pursuant to Article VI;

                                       49
<PAGE>

          (iii) to provide for uncertificated Notes in addition to or in place
     of certificated Notes (provided that the uncertificated Notes are issued in
     registered form for purposes of Section 163(f) of the Code, or in a manner
     such that the uncertificated Notes are described in Section 163(f)(2)(B) of
     the Code);

          (iv) to add guarantees with respect to the Notes;

          (v) to secure the Notes;

          (vi) to add to the covenants of the Company and its Subsidiaries
     hereunder for the benefit of the Holders or to surrender any right or power
     conferred upon the Company;

          (vii) to make any change that would provide any additional rights or
     benefits to the Holders or that does not adversely affect the rights
     hereunder of any Holder; or

          (viii) to comply with requirements of the SEC in order to effect or
     maintain the qualification of this Indenture under the TIA.

     No amendment may be made to any provision of Article XI that would
adversely affect the rights of any holder of Senior Debt then outstanding unless
the holders of such Senior Debt (or their Representative) consent to such
change.

     Upon the request of the Company accompanied by a resolution of the Board of
Directors of the Company authorizing the execution of any such amended or
supplemental Indenture, and upon receipt by the Trustee of the documents
described in Sections 10.06 and 12.04, the Trustee shall join with the Company
in the execution of any amended or supplemental Indenture authorized or
permitted by the terms of this Indenture and to make any further appropriate
agreements and stipulations which may be contained therein, but the Trustee
shall not be obligated to enter into such amended or supplemental Indenture
which affects its own rights, dudes or immunities under this Indenture or
otherwise.

     After an amendment, supplement or waiver under this Section 10.01 becomes
effective, the Company shall mail to the Holders affected thereby a notice
briefly describing any such amendment, supplement or waiver. Any failure of the
Company to mail such notice, or any defect therein, shall not in any way impair
or affect the validity of any such amended or supplement Indenture or waiver.
Subject to Section 7.04 and Section 7.07, the Holders of a majority in aggregate
principal amount of the Notes then outstanding may waive compliance by the
Company in any particular instance with any provision of this Indenture or the
Notes.

Section 10.02 With Consent of Holders.

     The Company and the Trustee may amend or supplement this Indenture, the
Notes or any amended or supplemental Indenture with the written consent of the
Holders of at least a majority in principal amount of the Notes then outstanding
(including, without limitation, consents obtained in connection with a Lender
offer or exchange for the Notes) and any existing Event of Default and its
consequences or compliance with any provision of this Indenture or the Notes may
be waived with the consent of the Holders of a majority in principal amount of
the

                                       50
<PAGE>

Notes then outstanding. However, without the consent of each Holder of an
outstanding Note affected thereby, any amendment, supplement or waiver may not,
among other things:

          (i) reduce the amount of Notes the Holders of which must consent to an
     amendment;

          (ii) reduce the rate of or extend the time for payment of interest on
     any Note;

          (iii) reduce the principal of or extend the Stated Maturity of any
     Note;

          (iv) reduce the premium payable upon the redemption of any Note or
     change the time at which any Note may be redeemed in accordance with
     Article III;

          (v) make any Note payable in money other than that stated in the Note;

          (vi) impair the right of any Holder of the Notes to receive payment of
     principal of and interest on such Holder's Notes on or after the due dates
     therefor or to institute suit for the enforcement of any payment on or with
     respect to such Holder's Notes;

          (vii) make any change in Section 7.04 or Section 7.07 or the second
     sentence of this Section 10.02; or

          (viii) make any change in any provision of Article XI that adversely
     affects the interests of any Holder.

     Upon the request of the Company accompanied by a resolution of the Board of
Directors of the Company authorizing the execution of any such amended or
supplemental Indenture, and upon the filing with the Trustee of evidence
satisfactory with the Trustee of the consent of the Holders as aforesaid and
upon receipt by the Trustee of the documents described in Sections 10.06 and
12.04, the Trustee shall join with the Company in the execution of such amended
or supplemental Indenture unless such amended or supplemental Indenture affects
the Trustee's own rights, duties or immunities under this Indenture or
otherwise, in which case the Trustee may in its discretion, but shall not be
obligated to, enter into such amended or supplemental Indenture.

     It shall not be necessary for the consent of the Holders under this Section
10.02 to approve the particular form of any proposed amendment, supplement or
waiver, but it shall be sufficient if such consent approves the substance
thereof.

     After an amendment, supplement or waiver under this Section 10.02 becomes
effective, the Company shall mail to the Holders affected thereby a notice
briefly describing any such amendment, supplement or waiver. Any failure of the
Company to mail such notice, or any defect therein, shall not in any way impair
or affect the validity of any such amended or supplemental Indenture or waiver.
Subject to Section 7.04 and Section 7.07, the Holders of a majority in aggregate
principal amount of the Notes then outstanding may waive compliance by the
Company in any particular instance with any provision of this Indenture or the
Notes.

                                       51
<PAGE>

Section 10.03 Compliance with Trust Indenture Act.

     Every amendment or supplement to this Indenture or the Notes shall be set
forth in an amended or supplemental Indenture that complies with the TIA as then
in effect.

Section 10.04 Revocation and Effect of Consents and Waivers.

     Until an amendment, supplement or waiver becomes effective, a consent to
such amendment, supplement or waiver by a Holder is a continuing and binding
consent by the Holder and every subsequent Holder of the Notes or portion of a
Note that evidences the same Debt as the consenting Holder's Note, even if a
notation of the consent or waiver is not made on any Note. However, any such
Holder or subsequent Holder may revoke the consent as to its Note if the Trustee
receives written notice of revocation before the date the waiver, supplement or
amendment becomes effective. An amendment, supplement or waiver shall become
effective in accordance with its terms and thereafter shall bind every Holder.

     The Company may, but shall not be obligated to, fix a record date for the
purpose of determining the Holders entitled to give their consent or take any
other action described above or required or permitted to be taken pursuant to
this Indenture. If a record date is fixed, then notwithstanding the immediately
preceding paragraph, such Persons which were Holders at such record date (or
their duly designated proxies), and only such Persons, shall be entitled to give
such consent or to revoke any consent previously given or to take any such
action, whether or not such Persons continue to be Holders after such record
date. No such consent shall be valid or effective for more than 120 days after
such record date.

Section 10.05 Notation On or Exchange of Notes.

     If an amendment or supplement changes the terms of a Note, the Trustee may
require the Holder to deliver such Note to the Trustee. The Trustee may place an
appropriate notation on the Note regarding the changed terms and return it to
the Holder. Alternatively, if the Company or the Trustee so determines, the
Company in exchange for such Note shall issue and the Trustee shall authenticate
a new Note that reflects such changed terms. Failure to make the appropriate
notation or to issue a new Note shall not affect the validity of such amendment
or supplement.

Section 10.06 Trustee to Sign Amendments, Etc.

     The Trustee shall sign any amended or supplemental Indenture authorized
pursuant to this Article X if the amendment or supplement does not adversely
affect the rights, duties, liabilities or immunities of the Trustee. If it does,
the Trustee may but need not sign it. In signing such amendment or supplement
the Trustee shall be entitled to receive, and (subject to Section 8.01) shall be
fully protected in relying upon, an Officer's Certificate and an Opinion of
Counsel stating that such amendment or supplement is authorized or permitted
pursuant to this Indenture. The Company shall not sign any amendment or
supplemental Indenture until the Board of Directors approves any such amendment
or supplemental Indenture.

Section 10.07 Payment for Consents.

     The Company shall not, and shall not permit any of its Subsidiaries to,
directly or indirectly, pay or cause to be paid any consideration, whether by
way of interest, fee or

                                       52
<PAGE>

otherwise, to any Holder for or as an inducement to any consent, amendment,
supplement or waiver with respect to any term or provision of this Indenture or
the Notes, unless such consideration is offered to be paid or agreed to be paid
to all Holders that consent, waive or agree to amend or supplement in the time
frame set forth in the solicitation documents relating to any such consent,
waiver or agreement to amend or supplement.

                                   ARTICLE XI

                             SUBORDINATION OF NOTES

Section 11.01 Agreement to Subordinate.

     The Company agrees, and each Holder by accepting the Notes agrees, that the
Indebtedness evidenced by the Notes is subordinated in right of payment, to the
extent and in the manner provided in this Article XI, to the prior payment in
full in cash or Cash Equivalents of all Senior Debt and that the subordination
is for the benefit of and enforceable by the holders of Senior Debt. The Notes
shall in all respects rank pari passu with all other Senior Subordinated Debt of
the Company and only Indebtedness of the Company which is Senior Debt shall rank
senior to the Notes in accordance with the provisions set forth herein. All
provisions of this Article XI shall be subject to Section 11.15 hereof.

Section 11.02 Payment Over of Proceeds Upon Dissolution; Etc.

     In the event of (i) any insolvency or bankruptcy case or proceeding, or any
receivership, liquidation, reorganization or other similar case or proceeding in
connection therewith, relative to the Company or to its creditors, as such, or
to its assets; or (ii) any liquidation, dissolution or other winding up of the
Company, whether voluntary or involuntary and whether or not involving
insolvency or bankruptcy; or (iii) any assignment for the benefit of creditors
or any other marshalling of assets or liabilities of the Company, then and in
any such event specified in clause (i), clause (ii) or clause (iii) above (each
such event, if any, herein sometimes referred to as a "Proceeding"):

    (1) the holders of Senior Debt will be entitled to receive payment of such
        Senior Debt in full in cash or Cash Equivalents before the Noteholders
        are entitled to receive any payment or distribution of cash, securities
        or other property with respect to the principal of, premium, (if any),
        or interest on or other obligations in respect of the Notes, or on
        account of any purchase or other acquisition of Notes by the Company
        (all such payments, distributions, purchases and acquisitions herein
        referred to, individually and collectively, as a "Notes Payment"), and
        to that end the holders of Senior Debt of the Company shall be entitled
        to receive, for application to the payment thereof, any Notes Payment
        which may be payable or deliverable in respect of the Notes in any such
        Proceeding; and

    (2) until the Senior Debt is paid in full in cash or Cash Equivalents, any
        Notes Payment to which Noteholders would be entitled but for this
        Article XI will be made to holders of such Senior Debt as their
        interests may appear. If a Notes Payment is made to Noteholders that,
        due to this Article XI should not have been made to them such
        Noteholders are required to hold it in trust for the holders of Senior
        Debt and pay it over to them as their interests may appear.

                                       53
<PAGE>

     In the event that, notwithstanding the foregoing provisions of this Section
11.02, the Trustee receives payment or distribution of assets of the Company of
any kind or character, before all the Senior Debt of the Company is paid in full
in cash or Cash Equivalents, then and in such event, such Notes Payment shall be
paid over or delivered forthwith to the trustee in bankruptcy, receiver,
liquidating trustee, custodian, assignee, agent or other Person making payment
or distribution of assets of the Company for application to the payment of all
Senior Debt of the Company remaining unpaid, to the extent necessary to pay the
Senior Debt of the Company in full in cash or Cash Equivalents, after giving
effect to any concurrent payment or distribution to or for the holders of Senior
Debt of the Company.

     The consolidation of the Company with, or the merger of the Company into,
another Person or the liquidation or dissolution of the Company following the
conveyance or transfer of all or substantially all of its properties and assets
as an entirety to another Person upon the terms and conditions set forth in
Article VI shall not be deemed a Proceeding for the purposes of this Section
11.02 if the person formed by such consolidation or into which the Company is
merged or the Person which acquires by conveyance or transfer such properties
and assets as an entirety, as the case may be, shall, as part of such
consolidation, merger, conveyance or transfer, comply with the conditions set
forth in Article VI.

Section 11.03 No Payment When Senior Debt in Default.

     The Company may not make any Notes Payment or make any deposit pursuant to
the provisions described under Article IX if (i) any Senior Debt is not paid
when due or (ii) any other default on Senior Debt occurs and the maturity of
such Senior Debt is accelerated in accordance with its terms unless, in either
case, the default has been cured or waived or has ceased to exist and any such
acceleration has been rescinded or such Senior Debt has been discharged or paid
in full; provided, however, that the Company may make Notes Payments or make any
deposit pursuant to the provisions described under Article IX without regard to
the foregoing if the Company and the Trustee receive written notice approving
such payment from the Representative of the Senior Debt with respect to which
either of the events set forth in clause (i) or (ii) of the immediately
preceding sentence has occurred and is continuing. During the continuance of any
default (other than a default described in clause (i) or (ii) of the second
preceding sentence) (a "non-payment default") with respect to any Senior Debt
pursuant to which the maturity thereof may be accelerated immediately without
further notice (except such notice as may be required to effect such
accelerations) or the expiration of any applicable grace periods, the Company
may not make Notes Payments for a period (a "Payment Blockage Period")
commencing upon the receipt by the Trustee (with a copy to the Company) of
written notice (a "Blockage Notice") of such default from the Representative of
the holders of such Designated Senior Debt specifying an election to effect a
Payment Blockage Period and ending 179 days thereafter (or earlier if such
Payment Blockage Period is terminated (i) by written notice to the Trustee and
the Company from the Person or Persons who gave such Blockage Notice, (ii)
because the default giving rise to such Blockage Notice is no longer continuing
or (iii) because Senior Debt has been discharged or repaid in full).
Notwithstanding the provisions described in the immediately preceding sentence,
unless an event described in clause (i) or (ii) of the first sentence of this
paragraph has occurred, the Company may resume payments on the Notes after the
end of such Payment Blockage Period. The Notes shall not be subject to more than
one Payment Blockage Period in any consecutive 360-day period. For all purposes
of this paragraph, no non-payment default with respect to Senior Debt that
existed or was continuing on the date of

                                       54
<PAGE>

the commencement of any Payment Blockage Period with respect to the Senior Debt
initiating such Payment Blockage Period will be, or can be, made the basis for
the commencement of a second Payment Blockage Period, unless such default has
been cured or waived for a period of not less than 90 consecutive days.

     In the event that, notwithstanding the foregoing, the Company shall make
any Notes Payment to the Trustee or any Holder prohibited by the foregoing
provisions of this Section 11.03, then and in such event, such Notes Payment
shall be paid over and delivered forthwith to the holders of the Senior Debt of
the Company remaining unpaid, to the extent necessary to pay in full in cash or
Cash Equivalents all the Senior Debt of the Company.

     If payment of the Notes is accelerated because of an Event of Default, the
Company shall promptly notify the holders of Senior Debt or the Representative
of such holders of the acceleration.

     The provisions of this Section 11.03 shall not apply to any Notes Payment
with respect to which Section 11.02 would be applicable.

Section 11.04 Acceleration of Payment of Notes.

     If payment of the Notes is accelerated because of an Event of Default, the
Company or the Trustee shall promptly notify the holders of all Senior Debt (or
the Representative of such holders) of the acceleration. If any Senior Debt is
outstanding none of the Company or any Guarantor may pay the Notes until five
Business Days after the Representative of all Senior Debt receives notice of
such acceleration and, thereafter, may pay the Notes only if such payments are
otherwise permitted pursuant to this Article XI at such time.

Section 11.05 Payment Permitted If No Default.

     Nothing contained in this Article XI or elsewhere in this Indenture or in
any of the Notes shall prevent the Company, at any time except during the
pendency of any Proceeding referred to in Section 11.02 or under the conditions
described in Section 11.03, from making Notes Payments.

Section 11.06 Subrogation to Rights of Holders of Senior Debt.

     Subject to the payment in full of all amounts due or to become due on or in
respect of Senior Debt of the Company, or the provision for such payment, in
cash or Cash Equivalents or otherwise in a manner satisfactory to the holders of
Senior Debt of the Company, the Holders shall be subrogated (equally and ratably
with the holders of all Debt of the Company, if any, which by its express terms
is subordinated to Senior Debt of the Company to substantially the same extent
as the Notes are subordinated to the Senior Debt of the Company and is entitled
to like rights of subrogation by reason of any payments or distributions made to
holders of such Senior Debt) in right of payment to the rights of the holders of
such Senior Debt of the Company to receive payments and distributions of cash,
property and securities applicable to the Senior Debt of the Company until the
principal of (and premium, if any) and interest on the Notes shall be paid in
full. For purposes of such subrogation, no payments or distributions to the
holders of the Senior Debt of the Company of any cash, property or securities to
which the Holders or the Trustee would be entitled except for the provisions of
this Article XI, and no payments over pursuant to the provisions of this Article
XI to the holders of Senior Debt of the

                                       55
<PAGE>

Company by Holders or the Trustee, shall, as among the Company, its creditors
other than holders of Senior Debt and the Holders, be deemed to be a payment or
distribution by the Company to or on account of the Senior Debt of the Company.

Section 11.07 Provisions Solely to Define Relative Rights.

     The provisions of this Article XI are and are intended solely for the
purpose of defining the relative rights of the Holders on the one hand and the
holders of Senior Debt of the Company on the other hand. Nothing contained in
this Article XI or elsewhere in this Indenture or in the Notes is intended to or
shall (i) impair, as among the Company, its creditors other than holders of
Senior Debt and the Holders, the obligation of the Company, which is absolute
and unconditional, to pay to the Holders the principal of (and premium, if any)
and interest on the Notes as and when the same shall become due and payable in
accordance with their terms; or (ii) affect the relative rights against the
Company of the Holders and creditors of the Company other than the holders of
Senior Debt; or (iii) prevent the Trustee or the Holder from exercising all
remedies otherwise permitted by applicable law upon default under this
Indenture, subject to the rights, if any, under this Article XI of the holders
of Senior Debt of the Company to receive cash, property and securities otherwise
payable or deliverable to the Trustee or such Holder.

Section 11.08 Trustee to Effectuate Subordination.

     Each Holder of a Note by such Holder's acceptance thereof authorizes and
directs the Trustee on such Holder's behalf to take such action as may be
necessary or appropriate to effectuate the subordination provided in this
Article XI and appoints the Trustee his attorney-in-fact for any and all such
purposes. If the Trustee does not file a proper claim or proof of debt in the
form required in any bankruptcy, insolvency or receivership proceeding prior to
30 days before the expiration of the time to file such claim or claims, then the
holders of the Senior Debt or their Representative are hereby authorized to file
an appropriate claim for and on behalf of the Holders. Nothing herein contained
shall be deemed to authorize the Trustee or the holders of Senior Debt or their
Representative to authorize or consent to or accept or adopt on behalf of any
Holder any plan of reorganization, arraignment, adjudication or composition
affecting the Notes or the rights of any Holder thereof, or to authorize the
Trustee for the holder of Senior Debt or their Representative to vote in respect
of the claim of any Holder in any such proceeding.

Section 11.09 No Waiver of Subordination Provisions.

     No right of any present or future holder of any Senior Debt of the Company
to enforce subordination as herein provided shall at any time in any way be
prejudiced or impaired by any act or failure to act on the part of the Company
or by any noncompliance by the Company with the terms, provisions and covenants
of this Indenture.

     Without in any way limiting the generality of the foregoing paragraph, the
holders of the Senior Debt may, at any time and from time to time, without the
consent of or notice to the Trustee or the Holders, without incurring
responsibility to the Holders and without impairing or releasing the
subordination provided in this Article or the obligations hereunder of the
Holders to the holders of Senior Debt, do any one or more of the following: (a)
change the manner, place or terms of payment or extend the time of payment of,
or renew or alter, Senior Debt or any instrument evidencing the same or any
agreement under which Senior Debt is outstanding; provided, however, that any
such alteration shall not increase the amount of Senior Debt

                                       56
<PAGE>

outstanding in a manner prohibited by this Indenture; (b) sell, exchange,
release or otherwise deal with any property pledged, mortgaged or otherwise
securing Senior Debt; (c) release any Person liable in any manner for the
collection of Senior Debt; and (d) exercise of refrain from exercising any
rights against the Company or any other Person; provided, however, that in no
event shall any such actions limit the right of the Holder to take any action to
accelerate the maturity of the Notes in accordance with the provisions set forth
in Article V or to pursue any rights or remedies against the parties to the
Indenture under the Indenture or under applicable laws if the taking of such
action does not otherwise violate the terms of this Article.

Section 11.10 Notice to Trustee.

     The Company shall give prompt written notice to the Trustee of any fact
known to the Company which would prohibit the making of any payment to or by the
Trustee in respect of the Notes. Notwithstanding the provisions of this Article
XI or any other provision of this Indenture, the Trustee shall not be charged
with knowledge of the existence of any facts which could prohibit the making of
any payment to or by the Trustee in respect of the Notes, unless and until the
Trustee shall have received written notice thereof specifically referencing this
Article XI from the Company or a holder of Senior Debt of the Company or from
any Representative or trustee therefor; and, prior to the receipt of any such
written notice, the Trustee, subject to the provisions of Section 8.01, shall be
entitled in all respects to assume that no such facts exist; provided, however,
that if the Trustee shall not have received the notice provided for in this
Section 11.10 at least three Business Days prior to the date upon which by the
terms hereof any money may became payable for any purpose (including, without
limitation, the payment of the principal of (and premium, if any) or interest on
any Note), then, anything herein contained to the contrary notwithstanding, the
Trustee shall have full power and authority to receive such money and to apply
the same to the purpose for which such money was received and shall not be
affected by any notice to the contrary which may be received by it within three
Business Days prior to such date.

     Subject to the provisions of Section 8.01, the Trustee and the Holders
shall be entitled to rely on the Representative for the holders of Senior Debt
for the purpose of ascertaining the Persons entitled to participate in any
payment or distribution pursuant to this Article XI. In the event that the
Trustee determines in good faith that further evidence is required with respect
to the right of any person as a holder of Senior Debt of the Company to
participate in any payment or distribution pursuant to this Article XI, the
Trustee may request each Person to furnish evidence to the reasonable
satisfaction of the Trustee as to the amount of Senior Debt of the Company held
by such Person, the extent to which such Person is entitled to participate in
such payment or distribution and any other facts pertinent to the rights of such
Person under this Article XI, and if such evidence is not finished, the Trustee
may defer any payment to such Person pending judicial determination as to the
right of such Person to receive such payment.

Section 11.11 Reliance on Judicial Order or Certificate of Liquidating Age.

     Upon any payment or distribution of assets of the Company referred to in
this Article XI, the Trustee, subject to the provisions of Section 8.01, and the
Holders shall be entitled to rely upon any order or decree entered by any court
of competent jurisdiction in which such Proceeding is pending, or a certificate
of the trustee in bankruptcy, receiver, liquidating trustee, custodian, assignee
for the benefit of creditors, agent or other Person making such

                                       57
<PAGE>

payment or distribution, delivered to the Trustee or to the Holders, for the
purpose of ascertaining the persons entitled to participate in such payment or
distribution, the holders of the Senior Debt of the Company and other Debt of
the Company, the amount thereof or payable thereon, the amount or amounts paid
or distributed thereon and all other facts pertinent thereto or to this Article
XI.

Section 11.12 Trustee Not Fiduciary for Holders of Senior Debt.

     The Trustee shall not be deemed to owe any fiduciary duty to the holders of
Senior Debt of the Company and shall not be liable to any such holders if it
shall mistakenly in the absence of gross negligence or willful misconduct pay
over or distribute to Holders or to the Company or to any other Person cash,
property or securities to which any holders of Senior Debt of the Company shall
be entitled by virtue of this Article XI or otherwise. With respect to the
holders of Senior Debt of the Company, the Trustee undertakes to perform or to
observe only such of its covenants or obligations as are specifically set forth
in this Article XI and no implied covenants or obligations with respect to
holders of Senior Debt of the Company shall be read into this Indenture against
the Trustee.

Section 11.13 Rights of Trustee as holder of Senior Debt; Preservation of
Trustee's Rights.

     The Trustee in its individual capacity shall be entitled to all the rights
set forth in this Article XI with respect to any Senior Debt of the Company
which may at any time be held by it, to the same extent as any other holder of
Senior Debt of the Company, and nothing in this Indenture shall deprive the
Trustee of any of its rights as such holder.

     Nothing in this Article XI shall apply to claims of, or payments to, the
Trustee under or pursuant to Section 8.07.

Section 11.14 Article XI Applicable to Paying Agents.

     In case at any time any Paying Agent other than the Trustee shall have been
appointed by the Company and be then acting hereunder, the term "Trustee" as
used in this Article XI shall in such case (unless the context otherwise
requires) be construed as extending to and including such Paying Agent within
its meaning as fully for all intents and purposes as if such Paying Agent were
named in this Article XI in addition to or in place of the Trustee; provided,
however, that Section 11.13 shall not apply to the Company or any Affiliate of
the Company if it or such Affiliate acts as Paying Agent.

Section 11.15 Trust Moneys Not Subordinated.

     Notwithstanding anything contained herein to the contrary, payments from
money or the proceeds of U.S. Government Obligations held in trust under Article
IX by the Trustee for the payment of principal of, premium, if any, and interest
on the Notes shall not be subordinated to the prior payment of any Senior Debt
or subject to the restrictions on this Article XI, and none of the Trustee or
the Holders shall be obligated to pay over any such amount to the Company or any
holder of Senior Debt of the Company or any other creditor of the Company.

Section 11.16 Reliance by holders of Senior Debt on Subordination Provisions.

     Each Holder by accepting a Note acknowledges and agrees that the foregoing
subordination provisions are, and are intended to be, an inducement and a
consideration to each

                                       58
<PAGE>

holder of any Senior Debt, whether such Senior Debt was created or acquired
before or after the issuance of the Notes, to acquire and continue to hold, or
to continue to hold, such Senior Debt and such holder of Senior Debt shall be
deemed conclusively to have relied on such subordination provisions in acquiring
and continuing to hold, or in continuing to hold, such Senior Debt.

Section 11.17 Distribution or Notice to Representative.

     Whenever a distribution is to be made or a notice given to holders of
Senior Debt, the distribution may be made and the notice given to their
Representative (if any).

Section 11.18 Article XI Not To Prevent Events of Default or Limit Right To
Accelerate.

     The failure to make a payment pursuant to the Notes by reason of any
provision in this Article XI shall not be construed as preventing the occurrence
of a Default. Nothing in this Article XI shall have any effect on the right of
the Holders or the Trustee to accelerate the maturity of the Notes.

                                  ARTICLE XII

                                  MISCELLANEOUS

Section 12.01 Trust Indenture Act Controls.

     If any provision of this Indenture limits, qualifies or conflicts with the
duties imposed by TIA ss. 318(c), such imposed duties shall control.

Section 12.02 Notices.

     Any notice or communication by the Company or the Trustee to the other is
duly given if in writing and delivered in person or mailed by first class mail
(registered or certified, return receipt requested), telex, telecopier or
overnight air courier guaranteeing next day delivery, to the other's address:

          If to the Company:

    Goss Holdings, Inc.
    700 Oakmont Lane
    Westmont, Illinois 60559
    Telecopier No.:  (708) 850-5807
    Attention:  Chief Financial Officer

          If to the Trustee:

    HSBC Bank USA
    140 Broadway
    New York, NY 10005
    Telecopier No: (212) 658-6425
    Attention: Vice President - Issuer Services

                                       59
<PAGE>

     The Company or the Trustee, by notice each to the other may designate
additional or different addresses for subsequent notices or communications.

     All notices and communications (other than those sent to Holders) shall be
deemed to have been duly given: at the time delivered by hand, if personally
delivered; five Business Days after being deposited in the mail, postage
prepaid, if mailed; when answered back, if telexed; when receipt acknowledged,
if telecopied; and the next Business Day after timely delivery to the courier,
if sent by overnight air courier guaranteeing next day delivery.

     Any notice or communication to a Holder shall be mailed by first class
mail, certified or registered, return receipt requested, or by overnight air
courier guaranteeing next day delivery to its address shown on the Note
Register. Any notice or communication shall also be so mailed to any Person
described in TIA ss. 313(c), to the extent required by the TIA. Failure to mail
a notice or communication to a Holder or any defect in such notice shall not
affect its sufficiency with respect to other Holders.

     If a notice or communication is mailed in the manner set forth above within
the time prescribed, such notice or communication shall be deemed to be duly
given whether or not the addressee receives it.

     If the Company mails a notice or communication to Holders, it shall make a
copy to the Trustee and each Agent at the same time.

Section 12.03 Communication by Holders with Other Holders.

     Holders pursuant to TIA ss. 312(b) may communicate with other Holders with
respect to their rights under this Indenture or the Notes. The Company, the
Trustee, the Registrar, the Paying Agent and any other Person shall have the
protection of TIA ss. 312(c).

Section 12.04 Certificate and Opinion as to Conditions Precedent.

     Upon any request or application by the Company to the Trustee to take any
action under this Indenture, the Company shall furnish to the Trustee:

          (i) an Officers' Certificate in form and substance reasonably
     satisfactory to the Trustee stating that, in the opinion of the signers,
     all conditions and covenants, if any, provided for in this Indenture
     relating to the proposed action have been satisfied; and

          (ii) an Opinion of Counsel in form and substance reasonably
     satisfactory to the Trustee stating that, in the opinion of such counsel,
     all conditions and covenants have been satisfied.

Section 12.05 Statements Required in Certificate or Opinion.

     Each certificate or opinion with respect to compliance with a condition or
covenant contained in this Indenture shall include:

          (i) a statement that the Person making such certificate or opinion has
     read such condition or covenant;

                                       60
<PAGE>

          (ii) a brief statement as to the nature and scope of the examination
     or investigation upon which the statements or opinions contained in such
     certificate or opinion are based;

          (iii) a statement that, in the opinion of such Person, he or she has
     made such examination or investigation as is necessary to enable him or her
     to express an informed opinion as to whether such condition or covenant has
     been satisfied; and

          (iv) a statement as to whether, in the opinion of such Person, such
     condition or covenant has been satisfied.

Section 12.06 Rules by Trustee and Agents.

     The Trustee may make reasonable rules for action by or at a meeting of
Holders. The Registrar and Paying Agent may make reasonable rules and set
reasonable requirements for their functions.

Section 12.07 No Personal Liability of Directors, Officers, Employees,
              Incorporators and Stockholders.

     No past, present or future director, officer, employee, incorporator or
stockholder of the Company, as such, shall have any liability for any
obligations of the Company under the Notes or this Indenture or for any claim
based on, in respect of, or by reason of, such obligations. Each Holder by
accepting a Note waives and releases all such liability. Such waiver and release
form a part of the consideration for issuance of the Notes.

Section 12.08 Governing Law.

     THIS INDENTURE AND THE NOTES SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO
APPLICABLE PRINCIPLES OF CONFLICT OF LAW TO THE EXTENT THAT THE APPLICATION OF
THE LAW OF ANOTHER JURISDICTION WOULD BE REQUIRED THEREBY.

Section 12.09 No Adverse Interpretation of Other Agreements.

     This Indenture may not he used to interpret another indenture, loan or debt
agreement of the Company or its Subsidiaries. Any such indenture, loan or debt
agreement may not be used to interpret this Indenture.

Section 12.10 Successors.

     All agreements of the Company contained in this Indenture and the Notes
shall bind the Company and its successors. All agreements of the Trustee in this
Indenture shall bind the Trustee and its successors.

                                       61
<PAGE>

Section 12.11 Severabilily.

     In case any provision of this Indenture or the Notes shall be invalid,
illegal or unenforceable, the validity, legality and enforceability of the
remaining provisions shall not in any way be affected or impaired thereby.

Section 12.12 Counterpart Originals.

     The parties may sign any number of copies of this Indenture. Each such
signed copy shall be deemed to be an original, and all of such signed copies
together shall represent one and the same agreement.

Section 12.13 Table of Contents, Headings, Etc.

     The Table of Contents, Cross-Reference Table and Headings of the Articles
and Sections of this Indenture have been inserted for convenience only, and
shall not, for any reason, be deemed to be part of this Indenture and shall in
no way modify or restrict any of the terms or provisions hereof.

                                       62
<PAGE>

                                   SIGNATURES

Dated as of November __, 1999                 GOSS HOLDINGS, INC.

                                              By:
                                                 ----------------------------
                                              Name:
                                              Title:

Dated as of November __, 1999                 HSBC BANK USA
                                                  as Trustee

                                              By:
                                                 ----------------------------
                                              Title:
<PAGE>

                                                                       EXHIBIT A

                               GOSS HOLDINGS, INC.

                   12 1/4% SENIOR SUBORDINATED NOTES DUE 2005

No. 1                                              Principal Amount $112,500,000

CUSIP No. 383413 AA 9

     GOSS HOLDINGS, INC., a Delaware corporation, promises to pay to CEDE & CO.
or registered assigns, the principal sum of $112,500,000 Dollars on November 19,
2005.

     Interest Payment Dates: May 19 and November 19.

     Record Dates: May 1 and November 1.

     Additional provisions of this Note are set forth on the reverse side of
     this Note.

     Date:
          -----------------------

[Seal]

                                            GOSS HOLDINGS, INC.

                                            By
                                              ------------------------------
                                            Name:
                                            Title:

                                            By
                                              ------------------------------

                                            Name:
                                            Title:

                     TRUSTEE'S CERTIFICATE OF AUTHENTICATION

HSBC BANK USA,
    as Trustee, certifies
    that this is one of the
    Notes referred to in the

    Indenture.

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

By:
   ----------------------------------
   Name:
   Title:

                                      A-1
<PAGE>

                                       A-9

                              REVERSE SIDE OF NOTE

                   12 1/4% Senior Subordinated Notes Due 2005

1. Interest

     GOSS HOLDINGS, INC., a Delaware corporation (such corporation, and its
successors and assigns under the Indenture hereinafter referred to, being herein
called "the Company"), promises to pay interest on the principal amount of this
Note at the rate per annum shown above provided, however, interest payments due
on and before November 19, 2001 shall be paid in the form of additional Notes
identical in form to this Note, in lieu of cash. The Company will pay interest,
whether in cash or in the form of additional Notes as aforesaid, semi-annually
on May 19 and November 19 of each year, commencing May 19, 2000. Interest on the
Notes will accrue from the most recent date to which interest has been paid, or,
if no interest has been paid, from November 19, 1999. Interest will be computed
on the basis of a 360-day year of twelve 30-day months. The Company shall pay
interest on overdue principal at the rate borne by the Notes and shall pay
interest on overdue installments of interest at such rate to the extent lawful.

2. Method of Payment

     The Company will pay interest on the Notes (except defaulted interest) to
the Persons who are registered holders of Notes at the close of business on the
May 1 or November 1 next preceding the interest payment date even if Notes are
cancelled after the record date and on or before the interest payment date.
Holders must surrender Notes to a Paying Agent to collect principal payments.
The Company will pay principal and interest in money of the United States that
at the time of payment is legal tender for payment of public and private debts.
However, the Company may pay principal and interest by check payable in such
money. The Company may deliver any such interest payment to the Paying Agent or
to a Holder at the Holder's registered address. On each Interest Payment Date on
and prior to November 19, 2001, the Trustee shall authenticate additional Notes
for original issuance to each Holder on the relevant Record Date in the
aggregate principal amount required to pay such interest. Additional Notes are
an additional obligation of the Company and shall be governed by, and entitled
to the benefits of, the Indenture (as such term is defined below) and shall be
subject to the terms of the Indenture and shall rank pari passu with and be
subject to the same terms (including the rate of interest from time to time
payable thereon) as this Note (except, as the case may be, with respect to the
issuance date and aggregate principal amount).

3. Paying Agent and Registrar

     Initially, HSBC Bank USA, a New York banking corporation (the "Trustee"),
will act as Paying Agent and Registrar. The Company may appoint and change any
Paying Agent, Registrar or co-registrar without notice. The Company or any of
its domestically incorporated Wholly Owned Subsidiaries may act as Paying Agent,
Registrar or co-registrar.

                                      A-2
<PAGE>

4. Indenture

     The Company issued the Notes under an Indenture dated as of November 19,
1999 (the "Indenture"), between the Company and the Trustee. The terms of the
Notes include those stated in the Indenture and those made part of the Indenture
by reference to the Trust Indenture Act of 1939 (15 U.S.C. ss.ss. 77aaa-77bbbb)
as in effect on the date of the Indenture (the "TIA"). Terms defined in the
Indenture and not defined herein have the meanings ascribed thereto in the
Indenture. The Notes are subject to all such terms, and Holders are referred to
the Indenture and the TIA for a statement of those terms.

     The Notes are unsecured senior subordinated obligations of the Company
limited to $112,500,000 aggregate principal amount (except as otherwise provided
in Section 1 of this Note relating to the Company's option to make certain
interest payments on the Notes in the form of additional Notes). The Indenture
imposes certain limitations on the incurrence of additional indebtedness by the
Company and certain of its subsidiaries, the payment of dividends on, and the
redemption of, capital stock of the Company and certain of its Subsidiaries, the
making of Investments, restrictions on distributions from certain Subsidiaries,
the use of proceeds from the sale of assets and Subsidiary stock and
transactions with affiliates. The Indenture also restricts the ability of the
Company to consolidate or merge with or into, or to transfer all or
substantially all its assets to, another person.

5. Optional Redemption

     The Notes will be redeemable, at the Company's option, in whole or in part,
at any time and from time to time, upon not less than 30 nor more than 60 days'
prior notice mailed by first-class mail to each Holder's registered address, at
a redemption price (expressed as a percentage of principal amount), equal to
103.5%, plus accrued interest to the redemption date (subject to the right of
Holders of record on the relevant record date to receive interest due on the
relevant interest payment date).

     In the case of any partial redemption, selection of the Notes for
redemption will be made by the Trustee on a pro rata basis, by lot or by such
other method as the Trustee in its sole discretion shall deem to be fair and
appropriate and in compliance with the applicable legal and securities exchange
requirements, if any. If any Note is to be redeemed in part only, the notice of
redemption relating to such Note shall state the portion of the principal amount
thereof to be redeemed. A new Note in principal amount equal to the unredeemed
portion thereof will be issued in the name of the Holder thereof upon
cancellation of the original Note.

6. Notice of Redemption

     Notice of redemption shall be mailed at least 30 days but not more than 60
days before the redemption date to each Holder of Notes to be redeemed at its
registered address. Notes in denominations larger than $1,000 may be redeemed in
part but only in whole multiples of $1.00 if money sufficient to pay the
redemption price of and accrued interest on all Notes (or portions thereof) to
be redeemed on the redemption date is deposited with the Paying Agent on or
before the redemption date and certain other conditions are satisfied, on and
after such date interest ceases to accrue on such Notes (or such portions
thereof) called for redemption.

                                      A-3
<PAGE>

7. Put Provisions

     Upon a Change of Control, any Holder will have the right to cause the
Company to repurchase all or any part of the Notes of such Holder at a purchase
price equal to, in the case of an Enterprise Valuation Event, 107% or, in all
other cases, 101% of the principal amount of the Notes to be repurchased plus
accrued interest to the date of repurchase (subject to the right of Holders of
record on the relevant record date to receive interest due on the interest
payment date) as provided in, and subject to the terms of, the Indenture.

8. Subordination

     The Notes are subordinated to Senior Debt, as such term is defined in the
Indenture. To the extent provided in the Indenture, Senior Debt must be paid in
full in cash or Cash Equivalents before the Notes may be paid. The Company
agrees, and each Holder by accepting a Note agrees, to the subordination
provisions contained in the Indenture and authorizes the Trustee to give effect
to such subordination provisions and appoints the Trustee as attorney-in-fact
for such purpose.

9. Denominations, Transfer, Exchange

     The Notes are in registered form without coupons in denominations of $1.00
and integral multiples of $1.00 (except that, as provided in Section 1 of this
Note, additional Notes shall be issued in the amount of accrued and unpaid
interest on the Notes due on and before November 19, 2001). Holders may transfer
or exchange Notes in accordance with the Indenture. The Registrar may require a
Holder, among other things, to furnish appropriate endorsements or transfer
documents and to pay any taxes and fees required by law or permitted by the
Indenture. The Registrar need not register the transfer of or exchange any Note
selected for redemption (except, in the case of a Note to be redeemed in part,
the portion of the Note not to be redeemed) or any Notes for a period of 15 days
before a selection of Notes to be redeemed or 15 days before an interest payment
date.

10. Persons Deemed Owners

     The registered Holder of this Note may be treated as the sole owner of such
Note for all purposes.

11. Unclaimed Money

     Subject to applicable abandoned property law, if money for the payment of
principal or interest remains unclaimed for two years, the Trustee or Paying
Agent shall pay the money back to the Company at its request. After any such
payment, Holders entitled to the money must look only to the Company and not to
the Trustee or Paying Agent for payment as general creditors.

12. Discharge and Defeasance

                                      A-4
<PAGE>

     Subject to certain conditions, the Company at any time may terminate some
or all of its obligations under the Notes and the Indenture if the Company
deposits with the Trustee money or U.S. Government Obligations for the payment
of principal and interest on the Notes to redemption or maturity, as the case
may be.

13. Amendment, Waiver

     Subject to certain exceptions set forth in the Indenture, (i) the Indenture
or the Notes may be amended with the written consent of the Holders of at least
a majority in principal amount outstanding of the Notes; and (ii) any default or
compliance with any provision may be waived with the written consent of the
Holders of a majority in principal amount of the Notes then outstanding. Subject
to certain exceptions set forth in the Indenture, without the consent of any
Holder, the Company and the Trustee may amend the Indenture or the Notes to cure
any ambiguity, omission, defect or inconsistency, or to comply with Article VI
of the Indenture, or to provide for uncertificated Notes, in addition to or in
place of certificated Notes, or to add guarantees with respect to the Notes or
add additional covenants or surrender rights and powers conferred on the
Company, or to make any change that would provide additional rights or benefits
to the Holders or that does not adversely affect the rights of any Holder or to
comply with requirements of the SEC in connection with the qualification of the
Indenture under the TIA.

14. Defaults and Remedies

     Under the Indenture, Events of Default include (i) default for 30 days in
payment of interest; (ii) default in payment of principal on the Notes at
maturity, upon redemption, upon declaration, upon required repurchase or
otherwise; (iii) failure by the Company to comply with other covenants in the
Indenture or the Notes, in certain cases subject to notice and lapse of time;
(iv) certain accelerations (including failure to pay within any grace period
after final maturity) of other Debt of the Company or any of its Subsidiaries if
the amount accelerated (or so unpaid) aggregates $10 million or more; (v)
certain events of bankruptcy or insolvency with respect to the Company and its
Significant Subsidiaries; and (vi) certain judgments or decrees for the payment
of money in excess of $10 million. If an Event of Default occurs and is
continuing, the Trustee or the Holders of at least 25% in principal amount of
the Notes may declare all the Notes to be due and payable immediately. Certain
events of bankruptcy or insolvency are Events of Default which will result in
the Notes being due and payable immediately upon the occurrence of such Events
of Default.

     Holders may not enforce the Indenture or the Notes except as provided in
the Indenture. The Trustee may refuse to enforce the Indenture or the Notes
unless it receives reasonable indemnity or security. Subject to certain
limitations, Holders of a majority in principal amount of the Notes may direct
the Trustee in its exercise of any trust or power. The Trustee may withhold from
Holders notice of any continuing Default (except a Default in payment of
principal or interest) if it determines that withholding such notice is in the
interest of the Holders.

                                      A-5
<PAGE>

15. Trustee Dealings with the Company

     Subject to certain limitations imposed by the TIA, the Trustee under the
Indenture, in its individual or any other capacity, may become the owner or
pledgee of Notes and may otherwise deal with and collect obligations owed to it
by the Company or its Affiliates and may otherwise deal with the Company or its
Affiliates with the same rights it would have if it were not Trustee.

16. No Recourse Against Others

     A past, present or future director, officer, employee or stockholder, as
such, of the Company or the Trustee shall not have any liability for any
obligations of the Company under the Notes or the Indenture or for any claim
based on, in respect of or by reason of such obligations. By accepting a Note,
each Holder waives and releases all such liability. The waiver and release are
part of the consideration for the issue of the Notes.

17. Authentication

     This Note shall not be valid until an authorized signatory of the Trustee
(or an authenticating agent) manually signs the certificate of authentication on
the face of this Note.

18. Abbreviations

     Customary abbreviations may be used in the name of a Holder or an assignee,
such as TEN COM (=tenants in common), TEN ENT (=tenants by the entireties), JT
TEN (=joint tenants with rights of survivorship and not as tenants in common),
CUST (=custodian), and U/G/M/A (=Uniform Gift to Minors Act).

19. Governing Law

     THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS
OF THE STATE OF NEW YORK WITHOUT GIVING EFFECT TO APPLICABLE PRINCIPLES OF
CONFLICT OF LAW TO THE EXTENT THAT THE APPLICATION OF THE LAW OF ANOTHER
JURISDICTION WOULD BE REQUIRED THEREBY.

20. CUSIP Numbers

     Pursuant to the recommendation promulgated by the Committee on Uniform
Security Identification Procedures the Company has caused CUSIP numbers to be
printed on the Notes and has directed the Trustee to use such CUSIP numbers in
notices of redemption as a convenience to Holders. No representation is made as
to the accuracy of such numbers either as printed on the Notes or as contained
in any notice of redemption and reliance may be placed only on the other
identification numbers placed thereon.

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

                                      A-6
<PAGE>

     The Company will furnish to any Holder upon written request and without
charge to such Holder a copy of the Indenture which contains the text of this
Note in larger type.

Requests may be made to:

                               Goss Holdings, Inc.
                                700 Oakmont Lane,
                             Westmont Illinois 60559

                       Attention: Chief Financial Officer

                                      A-7
<PAGE>
================================================================================

                                 ASSIGNMENT FORM

     To assign this Note, complete the form below:

     I or we assign and transfer this Note to:

          [Print or type assignee's name, address and zip code]

          [Insert assignee's soc. sec. or tax I.D. No. ]

     and irrevocably appoint __________________________ agent to transfer this
     Note on the books of the Company. The agent may substitute another to act
     for him.

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

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

Date:______________________  Your Signature:____________________________________

Sign exactly as your name appears on the face of this Note.

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

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

Guaranteed:
           ---------------------------------
           (Signature must be guaranteed by an "eligible guarantor
           institution", that is, a bank, stockbroker, saving and loan
           association or credit union meeting the requirements of the
           Registrar, which requirements include membership or participation in
           the Securities Transfer Agents Medallion Program ("STAMP") or such
           other "signature guarantee program" as may be determined by the
           Registrar in addition to, or in substitution for, STAMP, all in
           accordance with the Securities Exchange Act of 1934, as amended.)

                                      A-8
<PAGE>

                   OPTION OF HOLDER OF NOTE TO ELECT PURCHASE

If you elect to have this Note purchased by the Company pursuant to Article IV,
check the box:

                                      [ ]

If you elect to have only part of this Note purchased by the Company pursuant to
Article IV, state the amount:

                                              $
                                               ---------------------------------

Date:                          Your Signature:
     ------------------------                 ----------------------------------
                                                (Sign exactly as your name
                                                appears on the face of the
                                                Note)

Guaranteed:
            --------------------------------------------------------------------
            (Signature must be guaranteed by an "eligible guarantor
            institution", that is, a bank, stockbroker, saving and loan
            association or credit union meeting the requirements of the
            Registrar, which requirements include membership or participation in
            the Securities Transfer Agents Medallion Program ("STAMP") or such
            other "signature guarantee program" as may be determined by the
            Registrar in addition to, or in substitution for, STAMP, all in
            accordance with the Securities Exchange Act of 1934, as amended.)

                                      A-9<PAGE>

                                                                Exhibit 4.2

================================================================================

                                  $250,000,000
                           SECOND AMENDED AND RESTATED
                         MULTICURRENCY CREDIT AGREEMENT

                          DATED AS OF NOVEMBER 19, 1999

                                      AMONG

                           GOSS GRAPHIC SYSTEMS, INC.,
                          GOSS GRAPHIC SYSTEMS LIMITED,
                      GOSS SYSTEMES GRAPHIQUES NANTES S.A.,
                                       AND
                     GOSS GRAPHIC SYSTEMS JAPAN CORPORATION,
                                  AS BORROWERS,

                           THE LENDERS LISTED HEREIN,
                                   AS LENDERS,

                                       AND

                             BANKERS TRUST COMPANY,
                             AS ADMINISTRATIVE AGENT

================================================================================
<PAGE>

                           GOSS GRAPHIC SYSTEMS, INC.,
                          GOSS GRAPHIC SYSTEMS LIMITED,
                      GOSS SYSTEMES GRAPHIQUES NANTES S.A.,
                                       AND
                     GOSS GRAPHIC SYSTEMS JAPAN CORPORATION

                                  $250,000,000
                           SECOND AMENDED AND RESTATED
                         MULTICURRENCY CREDIT AGREEMENT

                                TABLE OF CONTENTS

<TABLE>
<CAPTION>
                                                                                        PAGE

<S>     <C>                                                                                 <C>
Section 1.......................................................................DEFINITIONS 4
1.1     Certain Defined Terms...............................................................4
1.2     Accounting Terms; Utilization of GAAP for Purposes of Calculations Under
        Agreement..........................................................................48
1.3     Other Definitional Provisions......................................................48

Section 2.......................................AMOUNTS AND TERMS OF COMMITMENTS AND LOANS 48
2.1     Commitments; Making of Loans; the Register; Notes..................................48
2.2     Interest on the Loans..............................................................61
2.3     Fees...............................................................................65
2.4     Repayments, Prepayments and Reductions in Revolving Loan Commitments;
        General Provisions Regarding Payments..............................................66
2.5     Use of Proceeds....................................................................75
2.6     Special Provisions Governing Offshore Rate Loans...................................76
2.7     Increased Costs; Taxes; Capital Adequacy...........................................78
2.8     Obligations of Lenders and Issuing Lenders to Mitigate; Replacement of Lenders.....78
2.9     Indemnifying Lenders...............................................................78

Section 3................................................................LETTERS OF CREDIT 78
3.1     Issuance of Letters of Credit and Lenders' Purchase of Participations Therein......78
3.2     Letter of Credit Fees..............................................................82
3.3     Drawings and Reimbursement of Amounts Drawn Under Letters of Credit................83
3.4     Obligations Absolute...............................................................86
3.5     Indemnification; Nature of Issuing Lenders' Duties.................................87

                                       i
<PAGE>

3.6     Increased Costs and Taxes Relating to Letters of Credit............................88

Section 4........................................CONDITIONS TO LOANS AND LETTERS OF CREDIT 89
4.1     Conditions to Initial Effectiveness................................................89
4.2     Conditions to All Loans............................................................98
4.3     Conditions to Letters of Credit....................................................99
4.4     Conditions to Japanese Loans.......................................................99

Section 5.......................................BORROWERS' REPRESENTATIONS AND WARRANTIES 100
5.1     Organization, Powers, Qualification, Good Standing, Business and Subsidiaries.....100
5.2     Authorization of Borrowing, etc...................................................101
5.3     Financial Condition...............................................................102
5.4     No Material Adverse Change; No Restricted Junior Payments.........................102
5.5     Title to Properties; Liens........................................................102
5.6     Litigation; Adverse Facts.........................................................103
5.7     Payment of Taxes..................................................................103
5.8     Performance of Agreements; No Materially Adverse Agreements.......................104
5.9     Governmental Regulation...........................................................104
5.10    Securities Activities.............................................................104
5.11    Employee Benefit Plans............................................................104
5.12    Certain Fees......................................................................105
5.13    Environmental Protection..........................................................105
5.14    Employee Matters..................................................................107
5.15    Solvency..........................................................................107
5.16    Matters Relating to Collateral....................................................107
5.17    Disclosure........................................................................108

Section 6................................................BORROWERS' AFFIRMATIVE COVENANTS 109
6.1     Financial Statements and Other Reports............................................109
6.2     Corporate Existence, etc..........................................................115
6.3     Payment of Taxes and Claims; Tax Consolidation....................................115
6.4     Maintenance of Properties; Insurance; Application of Net Insurance/
        Condemnation Proceeds.............................................................115
6.5     Inspection; Records; Lender Meeting...............................................117

                                       ii
<PAGE>

6.6     Compliance with Laws, etc.........................................................117
6.7     Environmental Disclosure and Inspection...........................................117
6.8     Execution of Future Guaranties and Collateral Documents...........................121
6.9     Additional Real Property Collateral...............................................122
6.10    Assignability and Recording of Lease Agreements...................................124
6.11    Year 2000 Covenant................................................................125
6.12    Cash Maintenance..................................................................125
6.13    Assumption by New Holdings of Obligations Under this Agreement....................125
6.14    Delivery of Additional Documents..................................................125

Section 7...................................................BORROWERS' NEGATIVE COVENANTS 127
7.1     Indebtedness......................................................................127
7.2     Liens and Related Matters.........................................................128
7.3     Investments; Joint Ventures.......................................................129
7.4     Contingent Obligations............................................................130
7.5     Restricted Junior Payments........................................................131
7.6     Financial Covenants...............................................................132
7.7     Restriction on Fundamental Changes; Asset Sales and Acquisitions..................133
7.8     Consolidated Capital Expenditures.................................................134
7.9     Sales and Lease-Backs.............................................................134
7.10    Transactions with Shareholders and Affiliates.....................................135
7.11    Disposal of Subsidiary Stock......................................................135
7.12    Conduct of Business; Limitations on Subsidiaries..................................135
7.13    Amendments of Certain Documents; Designation of Senior Debt.......................135
7.14    Fiscal Year.......................................................................136
7.15    Foreign Unfunded Pension Plans....................................................136

Section 8...............................................................EVENTS OF DEFAULT 136
8.1     Failure to Make Payments When Due.................................................136
8.2     Default in Other Agreements.......................................................136
8.3     Breach of Certain Covenants.......................................................137
8.4     Breach of Warranty................................................................137
8.5     Other Defaults Under Loan Documents...............................................137

                                      iii
<PAGE>

8.6     Involuntary Bankruptcy; Appointment of Receiver, etc..............................137
8.7     Voluntary Bankruptcy; Appointment of Receiver, etc................................138
8.8     Judgments and Attachments.........................................................138
8.9     Dissolution.......................................................................139
8.10    Employee Benefit Plans............................................................139
8.11    Change in Control.................................................................139
8.12    Invalidity of Loan Documents......................................................140
8.13    Failure of Security...............................................................140
8.14    Action Relating to Certain Subordinated Indebtedness..............................140
8.15    Amendment of Certain Documents of New Holdings....................................140
8.16    Conduct of Business Relating to New Holdings......................................140
8.17    Failure of Goss Realty and LaSalle Bank National Associate to Perform.............142

Section 9............................................................ADMINISTRATIVE AGENT 142
9.1     Appointment.......................................................................142
9.2     Powers and Duties; General Immunity...............................................142
9.3     Representations and Warranties; No Responsibility For Appraisal of
        Creditworthiness..................................................................144
9.4     Right to Indemnity................................................................144
9.5     Successor Agent...................................................................144
9.6     Collateral Documents and Guaranties...............................................145
9.7     Documentation Agent...............................................................146

Section 10..................................................................MISCELLANEOUS 146
10.1    Assignments and Participations in Loans and Letters of Credit.....................146
10.2    Expenses..........................................................................149
10.3    Indemnity.........................................................................150
10.4    Set-Off; Security Interest in Deposit Accounts....................................151
10.5    Ratable Sharing...................................................................152
10.6    Amendments and Waivers............................................................152
10.7    Independence of Covenants.........................................................154
10.8    Notices...........................................................................154
10.9    Survival of Representations, Warranties and Agreements............................155

                                       iv
<PAGE>

10.10   Failure or Indulgence Not Waiver; Remedies Cumulative.............................155
10.11   Marshalling; Payments Set Aside...................................................155
10.12   Severability......................................................................155
10.13   Obligations Several; Independent Nature of Lenders' Rights........................156
10.14   Headings..........................................................................156
10.15   Applicable Law....................................................................156
10.16   Successors and Assigns............................................................156
10.17   Consent to Jurisdiction and Service of Process....................................156
10.18   Waiver of Jury Trial..............................................................157
10.19   Confidentiality...................................................................157
10.20   Judgment Currency.................................................................158
10.21   Counterparts; Effectiveness.......................................................158
10.22   No Immunity.......................................................................158
10.23   Intention to Secure Obligations Under Hedge Agreements............................159

        Signature pages .................................................................  S-1
</TABLE>

                                       v
<PAGE>

EXHIBITS

I          FORM OF NOTICE OF BORROWING
II         FORM OF NOTICE OF CONVERSION/CONTINUATION
III        FORM OF REQUEST FOR ISSUANCE OF LETTER OF CREDIT
IV         FORM OF TERM NOTE
V          FORM OF TRANCHE A REVOLVING NOTE
VI         FORM OF TRANCHE B REVOLVING NOTE
VII        FORM OF SWING LINE NOTE
VIII       FORM OF COMPLIANCE CERTIFICATE
IX         FORM OF AUDITOR'S LETTER
X-A        FORM OF OPINION OF KIRKLAND & ELLIS
X-B        INTENTIONALLY OMITTED
X-C        FORM OF OPINION OF LINKLATERS & PAINES
X-D        INTENTIONALLY OMITTED
XI         FORM OF OPINION OF O'MELVENY & MYERS LLP
XII        FORM OF ASSIGNMENT AGREEMENT
XIII       FORM OF COLLATERAL ACCOUNT AGREEMENT
XIV        FORM OF GUARANTY
XV         FORM OF SECURITY AGREEMENT
XVI        FORM OF SUBSIDIARY GUARANTY
XVII       FORM OF NOTICE OF ALLOCATION
XVIII      FORM OF BORROWING BASE CERTIFICATE
XIX        FORM OF INTERCREDITOR AGREEMENT
XX         FORM OF MASTER ASSIGNMENT AGREEMENT

                                       vi
<PAGE>

                                    SCHEDULES

 1.1(a)    BANK OF ENGLAND RELATIVE RESERVE RATIO REQUIREMENT CALCULATION
 2.1       LENDERS' COMMITMENTS AND PRO RATA SHARES
 4.1A      TAX GOOD STANDINGS TO BE DELIVERED POST-CLOSING
 5.1       SUBSIDIARIES OF COMPANY
 5.5       REAL PROPERTY ASSETS
 5.6       LITIGATION
 5.12      CERTAIN FEES
 5.13      ENVIRONMENTAL MATTERS
 7.1A      CERTAIN INTERCOMPANY INDEBTEDNESS
 7.1B      CERTAIN EXISTING INDEBTEDNESS
 7.2       CERTAIN EXISTING LIENS
 7.3       CERTAIN EXISTING INVESTMENTS
 7.4       CERTAIN EXISTING CONTINGENT OBLIGATIONS; EXISTING LETTERS OF CREDIT

                                     ANNEXES

A          2.7 INCREASED COSTS; TAXES; CAPITAL ADEQUACY
B          2.8 OBLIGATIONS OF LENDERS AND ISSUING LENDERS TO MITIGATE
C          2.9 INDEMNIFYING LENDERS

                                      vii
<PAGE>

                           GOSS GRAPHIC SYSTEMS, INC.,
                          GOSS GRAPHIC SYSTEMS LIMITED,
                      GOSS SYSTEMES GRAPHIQUES NANTES S.A.,
                                       AND
                     GOSS GRAPHIC SYSTEMS JAPAN CORPORATION

                                  $250,000,000
                           SECOND AMENDED AND RESTATED
                         MULTICURRENCY CREDIT AGREEMENT

     This SECOND AMENDED AND RESTATED MULTICURRENCY CREDIT AGREEMENT is dated as
of November 19, 1999 and entered into by and among GOSS GRAPHIC SYSTEMS, INC., a
corporation organized under the laws of the State of Delaware ("COMPANY") and
whose registered office is at 700 Oakmont Lane, Westmont, Illinois 60559, GOSS
GRAPHIC SYSTEMS LIMITED (Company Number 3212468), a company organized under the
laws of England ("GOSS UK") and whose registered office is at Greenbank Street,
Preston, Lancashire PR1 7LA, GOSS SYSTEMES GRAPHIQUES NANTES S.A., a societe
anonyme organized under the laws of the Republic of France ("GOSS FRANCE") and
whose registered office is at 20, rue de Koufra, 44300 Nantes, GOSS GRAPHIC
SYSTEMS JAPAN CORPORATION, a corporation organized under the laws of Japan
("GOSS JAPAN") and whose registered office is at Mitsuya Toranomon Building,
22-14 Toranomon 1-Chome, Minato-Ku, Tokyo 105, THE FINANCIAL INSTITUTIONS ACTING
AS LENDERS AND LISTED ON THE SIGNATURE PAGES HEREOF, THE FINANCIAL INSTITUTIONS
ACTING AS INDEMNIFYING LENDERS AND IDENTIFIED AS SUCH ON SCHEDULE 2.1 ANNEXED
HERETO, BANKERS TRUST COMPANY ("BTCO"), as administrative agent for Lenders (in
such capacity, "ADMINISTRATIVE AGENT") and whose registered office is at One
Bankers Trust Plaza, 130 Liberty Street, New York, New York 10006, and LEHMAN
BROTHERS, as documentation agent for Lenders (in such capacity, "DOCUMENTATION
AGENT") and whose registered office is at 3 World Financial Center, New York,
New York 10285.

                                 R E C I T A L S

     WHEREAS, (i) Borrowers, BTCo and certain Lenders (this and other terms used
in these recitals without definition being used as defined in subsection 1.1)
are parties to that certain $200,000,000 Amended and Restated Multicurrency
Credit Agreement dated as of January 29, 1998, as amended from time to time (as
so amended, the "EXISTING CREDIT Agreement"), and (ii) Company issued 12% senior
subordinated notes due 2006 in an aggregate principal amount of $225,000,000
(the "OLD NOTES") to certain noteholders (the "OLD NOTEHOLDERS") in October
1996;

     WHEREAS, on July 30, 1999, Old Holdings, Company and Goss Realty (the
"DEBTOR ENTITIES") filed voluntary petitions for relief under the Bankruptcy
Code with the

                                       1
<PAGE>

United States  Bankruptcy Court for the District of Delaware (the "COURT") (such
proceedings jointly  administered as Case No. 99-02756 are hereinafter  referred
to as the "CHAPTER 11 CASES");

     WHEREAS, in connection with the Chapter 11 Cases, Borrowers, BTCo and
certain Lenders entered into that certain $50,000,000 Debtor-in-Possession
Multicurrency Credit Agreement and Amendment to Multicurrency Credit Agreement,
in each case dated as of July 30, 1999, as amended from time to time (as so
amended, collectively, the "DIP CREDIT AGREEMENT");

     WHEREAS, the Debtor Entities and certain creditors thereof agreed to the
terms of the Reorganization Plan, which Reorganization Plan shall have been
confirmed by the Court and become effective on or before the Effective Date;

     WHEREAS, pursuant to the Reorganization Plan, on or before the Effective
Date, (i) Stonington or Affiliates thereof will form New Holdings and Old
Holdings shall merge with and into New Holdings with New Holdings as the
surviving entity, (ii) New Holdings shall authorize 15,000,000 shares and issue
10,000,000 shares of New Holdings Common Stock, 3,136,250 of which shall be
issued to the Old Noteholders, 350,000 of which shall be issued to Rockwell
International Corporation, and 6,513,750 of which shall be issued to Stonington
or Affiliates thereof, each representing approximately 31.3%, 3.5% and 65.1% of
the issued and outstanding shares of New Holdings Common Stock respectively,
prior to any issuance under New Holdings' management equity plan, (iii) New
Holdings shall issue to the Old Noteholders the New Holdings Subordinated Notes
in an aggregate principal amount of $112,500,000, (iv) Stonington or Affiliates
thereof will contribute not less than $50,000,000 as common equity to New
Holdings (the "STONINGTON EQUITY CONTRIBUTION"), $25,000,000 of which shall be a
Cash contribution by Stonington or Affiliates thereof and $25,000,000 of which
shall be from the conversion of Stonington's or its Affiliate's $25,000,000
commitment under the DIP Credit Agreement into Cash, which Cash shall be
transferred to New Holdings, and (v) New Holdings will in turn contribute the
Stonington Equity Contribution to Company as common equity;

     WHEREAS,  pursuant  to the  Reorganization  Plan,  the  obligations  of the
Borrowers under the Existing Credit Agreement (including the Existing Letters of
Credit)  shall be continued as and/or  converted  into Term Loans to Company and
Goss UK in an aggregate principal amount of $150,000,000 and Tranche B Revolving
Loans and Tranche B Letters of Credit to all Borrowers in an aggregate principal
of $50,000,000  pursuant to an amendment and  restatement of the Existing Credit
Agreement and a Master Assignment Agreement;

     WHEREAS, the Domestic Tranche A Lenders have agreed to provide Domestic
Tranche A Revolving Loans to Company in an aggregate principal amount of
$50,000,000 which Loans will be documented with the amendment and restatement of
the Existing Credit Agreement;

     WHEREAS, pursuant to such amendment and restatement of the Existing Credit
Agreement, a portion of such revolving credit facilities shall be available for
Swing Line Loans

                                       2
<PAGE>

in an  aggregate  principal  amount  of  $5,000,000  and for  Letters  of Credit
(including  all  Existing  Letters  of Credit) up to an  aggregate  sublimit  of
$75,000,000 in order to provide for the working capital requirements and general
corporate purposes of Borrowers and their respective Subsidiaries;

     WHEREAS, pursuant to the Reorganization Plan, the Company shall use the
proceeds of the Stonington Equity Contribution to repay the DIP Credit Agreement
(such amendment and restatement and related transactions are hereinafter
collectively referred to as the "REFINANCINGS");

     WHEREAS, to facilitate the Refinancings, all lenders under the Existing
Credit Agreement, pursuant to the Master Assignment Agreement, have agreed to
assign (or have been deemed under the Reorganization Plan to have assigned) to
Administrative Agent all of their existing loans and existing commitments under
the Existing Credit Agreement and Administrative Agent, pursuant to the Master
Assignment Agreement, has agreed to assign to each Lender under this Agreement
the Loans and Commitments set forth on Schedule 2.1 annexed hereto;

     WHEREAS, Company desires to secure all of its Obligations hereunder and
under the other Loan Documents (i) with respect to the Domestic Tranche A
Revolving Loan Commitments by granting to Administrative Agent, on behalf of
Domestic Tranche A Lenders, a senior Lien on substantially all of its real,
personal and mixed property, including a pledge of all of the capital stock of
each of its Domestic Subsidiaries and 66% of the capital stock of each of its
Foreign Subsidiaries, and (ii) with respect to the Domestic Term Loans and the
Domestic Tranche B Revolving Loan Commitments by granting to Administrative
Agent, on behalf of Domestic Tranche B Lenders, a Lien on substantially all of
their real, personal and mixed property, including a pledge of all of the
capital stock of each of their respective Domestic Subsidiaries and 66% of the
capital stock of each of their respective Foreign Subsidiaries, subject only to
the senior Lien described in the foregoing clause (i);

     WHEREAS, Goss UK and Goss Japan desire to secure all of their respective
Obligations hereunder and under the other Loan Documents with respect to the
Term Loans and Tranche B Revolving Loan Commitments by granting to
Administrative Agent, on behalf of UK Lenders and Japanese Lenders,
respectively, a Lien on substantially all of their real, personal and mixed
property;

     WHEREAS, Goss France desires to secure all of its respective Obligations
hereunder and under the other Loan Documents with respect to the Tranche B
Revolving Loan Commitments by granting to Administrative Agent, on behalf of
French Lenders, a Lien on substantially all of its real, personal and mixed
property;

     WHEREAS, New Holdings and the Domestic Subsidiaries have agreed to guaranty
the Obligations of Company hereunder and under the other Loan Documents with
respect to the Domestic Tranche A Revolving Loan Commitments, and all such Loan
Parties have agreed to secure such guaranties with a senior Lien on
substantially all of their respective

                                       3
<PAGE>

real,  personal and mixed property,  including a pledge of all of the capital of
each of their respective  Domestic  Subsidiaries and 66% of the capital stock of
each of their respective Foreign Subsidiaries; and

     WHEREAS, New Holdings and the Domestic Subsidiaries have agreed to guaranty
the Obligations of Borrowers hereunder and under the other Loan Documents with
respect to the Term Loans and the Tranche B Revolving Loan Commitments, and
Company has agreed to guaranty the Obligations of Goss UK, Goss France and Goss
Japan hereunder and under the other Loan Documents with respect to the Term
Loans and the Tranche B Revolving Loan Commitments, and all such Loan Parties
have agreed to secure such guaranties with a Lien on substantially all of their
respective real, personal and mixed property, including a pledge of all of the
capital of each of their respective Domestic Subsidiaries and 66% of the capital
stock of each of their respective Foreign Subsidiaries, subject only to the
senior Lien described in the preceding recital.

     NOW, THEREFORE, in consideration of the premises and the agreements,
provisions and covenants herein contained, Borrowers, Lenders and Administrative
Agent agree as follows:

SECTION 1. DEFINITIONS

1.1 CERTAIN DEFINED TERMS.

     The following terms used in this Agreement shall have the following
meanings:

     "ACCOUNT" means, with respect to any Person, all present and future rights
of such Person to payment for goods sold or leased or for services rendered
(except those evidenced by instruments or chattel paper), whether now existing
or hereafter arising and wherever arising, and whether or not they have been
earned by performance.

     "ADDITIONAL MORTGAGE" has the meaning assigned to that term in subsection
6.9A(a).

     "ADDITIONAL MORTGAGE POLICY" has the meaning assigned to that term in
subsection 6.9A(d).

     "ADDITIONAL FLOOD HAZARD PROPERTY" has the meaning assigned to that term in
subsection 6.9A(f).

     "ADJUSTED OFFSHORE RATE" means, for any Interest Rate Determination Date
with respect to an Interest Period for an Offshore Rate Loan, the rate per annum
equal to the sum of (x) the rate determined by Administrative Agent to be the
arithmetic mean (rounded upwards, if necessary, to the nearest five decimal
places) of the offered quotations for deposits (for delivery on the first day of
such Interest Period) in the Applicable Currency with maturities comparable to

                                       4
<PAGE>

such Interest Period as of approximately 11:00 A.M. (London time) on such
Interest Rate Determination Date as set forth on Telerate Display Screen page
number 3740 or 3750 (or such other page(s) as may replace such page(s) from time
to time on such Telerate system) (provided that in the event the rate referenced
in the preceding clause (x) does not appear on such Telerate page 3740 or 3750
(or otherwise), such rate shall be the offered quotation (rounded upwards, if
necessary, to the nearest five decimal places) to first class banks in the
London interbank market by Administrative Agent for deposits (for delivery on
the first day of such Interest Period) in the Applicable Currency of amounts in
Same Day Funds comparable to the principal amount of the Offshore Rate Loan of
the Administrative Agent for which the Adjusted Offshore Rate is then being
determined with maturities comparable to such Interest Period as of
approximately 11:00 A.M. (London time) on such Interest Rate Determination Date)
plus (y) the additional cost (expressed as a percentage per annum and rounded
upwards, if necessary, to the nearest five decimal places) to Lenders of
complying with (i) the relative reserve asset ratio required by the Bank of
England from time to time, if any, expressed as a percentage per annum and
calculated in the manner set forth in Schedule 1.1(a), or (ii) any analogous
requirement of any central banking or financial regulatory authority imposed in
respect of the funding or maintenance of Commitments or Loans of the type
contemplated hereby and applicable to the Applicable Currency.

     "ADMINISTRATIVE AGENT" has the meaning assigned to that term in the
introduction to this Agreement, and includes any Affiliates of Administrative
Agent (including, without limitation, Deutsche Bank) performing such functions
or acting as collateral agent or as an Issuing Lender, and in each case includes
any such successor Administrative Agent appointed pursuant to subsection 9.5.

     "AFFECTED CLASS" has the meaning assigned to that term in subsection 10.6.

     "AFFECTED LENDER" has the meaning assigned to that term in subsection 2.6C.

     "AFFECTED LOANS" has the meaning assigned to that term in subsection 2.6C.

     "AFFILIATE", as applied to any Person, means any other Person directly or
indirectly controlling, controlled by, or under common control with, that
Person. For the purposes of this definition, "control" (including, with
correlative meanings, the terms "controlling", "controlled by" and "under common
control with"), as applied to any Person, means the possession, directly or
indirectly, of the power to direct or cause the direction of the management and
policies of that Person, whether through the ownership of voting securities or
by contract or otherwise; provided that Administrative Agent shall not be
considered to be an "Affiliate" of New Holdings or any of its Subsidiaries.

     "AGGREGATE AMOUNTS DUE" has the meaning assigned to that term in subsection
10.5.

                                       5
<PAGE>

     "AGREEMENT" means this Second Amended and Restated Multicurrency Credit
Agreement dated as of November 19, 1999, as it may be amended, supplemented or
otherwise modified from time to time.

     "APPLICABLE BASE RATE MARGIN" means, as of any date of determination, a
percentage per annum as set forth below opposite the applicable period:

                     PERIOD                  APPLICABLE BASE RATE MARGIN
                     ------                  ---------------------------

      from and including the Effective Date            2.75%
      through and including March 31, 2002

      from but excluding March 31, 2002                3.00%
      through and including September 30, 2002

      from but excluding September 30, 2002            3.75%
      through and including the Commitment

      Termination Date

     "APPLICABLE CURRENCY" means with respect to any particular Loan or Letter
of Credit, Dollars or the applicable Offshore Currency in which such Loan or
Letter of Credit is denominated or payable.

     "APPLICABLE OFFSHORE RATE MARGIN" means, as of any date of determination, a
percentage per annum as set forth below opposite the applicable period:

                     PERIOD                  APPLICABLE BASE RATE MARGIN
                     ------                  ---------------------------

      from and including the Effective Date            3.75%
      through and including March 31, 2002

      from but excluding March 31, 2002                4.00%
      through and including September 30, 2002

      from but excluding September 30, 2002            4.75%
      through and including the Commitment

      Termination Date

     "APPLIED AMOUNT" has the meaning assigned to that term in subsection
2.4B(iv).

     "ASSET SALE" means the sale, assignment or other transfer for value by
Company or any of its Subsidiaries to any Person other than Company or any of
its wholly-owned Subsidiaries of (i) any of the stock of any of Company's
Subsidiaries, (ii) substantially all of the assets of any division or line of
business of Company or any of its Subsidiaries, or (iii) any other assets
(whether tangible or intangible) of Company or any of its Subsidiaries (other
than (a) inventory sold in the ordinary course of business, (b) the sale of
obsolete, surplus or excess

                                       6
<PAGE>

equipment and machinery in the ordinary course of business or consistent with
past practice, (c) the sale of equipment and machinery returned by or taken in
trade from a customer in the ordinary course of business and consistent with
past practice, and (d) any such other assets to the extent that the aggregate
value of such assets sold in any single transaction or related series of
transactions is equal to $500,000 or less, or $2,000,000 or less in the
aggregate for all such excluded assets under this clause (d)); provided that the
term "Asset Sale" shall not include the sale of Accounts, notes and other
evidences of Indebtedness, whether secured or unsecured, which sale is
non-recourse to Company and its Subsidiaries, in each case in the ordinary
course of business and consistent with the past practices of Company and its
Subsidiaries as part of a governmental sponsored or private agency export credit
program.

     "ASSIGNMENT AGREEMENT" means an Assignment Agreement in substantially the
form of Exhibit XII annexed hereto.

     "AUDITOR'S LETTER" means a letter, substantially in the form of Exhibit IX
annexed hereto, acknowledged by Arthur Andersen LLP and delivered to
Administrative Agent pursuant to subsection 6.1(iii).

     "BANKRUPTCY CODE" means Title 11 of the United States Code entitled
"Bankruptcy", as now and hereafter in effect, or any successor statute, and any
similar or comparable law of any applicable Governmental Authority.

     "BASE AUDITS AND APPRAISALS" has the meaning assigned to that term in
subsection 6.5B.

     "BASE RATE" means, at any time, the higher of (x) the Prime Rate or (y) the
rate which is 1/2 of 1% in excess of the Federal Funds Effective Rate.

     "BASE RATE LOANS" means Loans bearing interest at rates determined by
reference to the Base Rate as provided in subsection 2.2A.

     "BORROWER" means (i) with respect to Domestic Term Loans, Domestic
Revolving Loans and Swing Line Loans, Company, (ii) with respect to UK Term
Loans and UK Tranche B Revolving Loans, Goss UK, (iii) with respect to French
Tranche B Revolving Loans, Goss France, and (iv) with respect to Japanese
Tranche B Revolving Loans, Goss Japan, and "BORROWERS" means any combination
thereof, collectively.

     "BORROWING BASE CERTIFICATE" means a certificate substantially in the form
of Exhibit XVIII annexed hereto delivered by Company pursuant to subsection
6.1(xviii).

     "BUSINESS DAY" means (i) for all purposes other than as covered by clauses
(ii) and (iii) below, any day excluding Saturday, Sunday and any day which is a
legal holiday under the laws of the State of New York or is a day on which
banking institutions located in either such state are authorized or required by
law or other governmental action to close, (ii) with respect to all notices,
determinations, fundings and payments in connection with the Adjusted Offshore

                                       7
<PAGE>

Rate or any Offshore Rate Loans, any day that is a Business Day described in
clause (i) above and that is also a day for trading by and between banks in
Dollar deposits in the London interbank market, and (iii) with respect to all
notices, determinations, fundings and payments in any Offshore Currency in
connection with the Adjusted Offshore Rate or any Offshore Rate Loans, any day
that is a Business Day described in clause (i) above and that is also a day on
which banks and foreign exchange markets are open for foreign exchange business
in London and on which banks and foreign exchange markets are also open for
foreign exchange business in the principal financial center of the country of
that Offshore Currency.

     "CAPITAL LEASE", as applied to any Person, means any lease of any property
(whether real, personal or mixed) by that Person as lessee that, in conformity
with GAAP, is accounted for as a capital lease on the balance sheet of that
Person.

     "CASH" means money, currency or a credit balance in a Deposit Account.

     "CASH EQUIVALENTS" means, as at any date of determination, (i) (a)
marketable securities (1) issued or directly and unconditionally guaranteed as
to interest and principal by the United States Government or (2) issued by any
agency of the United States the obligations of which are backed by the full
faith and credit of the United States, in each case maturing within one year
after such date; (b) marketable direct obligations issued by any state of the
United States of America or any political subdivision of any such state or any
public instrumentality thereof, in each case maturing within one year after such
date and having, at the time of the acquisition thereof, the highest rating
obtainable from either Standard & Poor's Ratings Group ("S&P") or Moody's
Investors Service, Inc. ("Moody's"); (c) commercial paper maturing no more than
one year from the date of creation thereof and having, at the time of the
acquisition thereof, a rating of at least A-1 from S&P or at least P-1 from
Moody's; (d) certificates of deposit or bankers' acceptances maturing within one
year after such date and issued or accepted by any Lender or by any commercial
bank organized under the laws of the United States of America or any state
thereof or the District of Columbia that (1) is at least "adequately
capitalized" (as defined in the regulations of its primary Federal banking
regulator) and (2) has Tier 1 capital (as defined in such regulations) of not
less than $100,000,000; and (e) shares of any money market mutual fund that (1)
has at least 95% of its assets invested continuously in the types of investments
referred to in clauses (a) and (b) above, (2) has net assets of not less than
$500,000,000, and (3) has the highest rating obtainable from either S&P or
Moody's, and (ii) with respect to Goss UK, Goss France or Goss Japan, such other
European, Japanese or Australian investments which are comparable in term and
credit quality to those described in the foregoing clause (i)(a)-(e).

     "CERTIFICATE RE NON-BANK STATUS" means a certificate in form and substance
satisfactory to Administrative Agent delivered by a Lender to Administrative
Agent pursuant to subsection 2.7B(iii) (as fully set forth in Annex A) pursuant
to which such Lender certifies, under penalty of perjury, that it is not (i) a
"bank" as such term is defined in subsection 881(c)(3) of the Internal Revenue
Code; (ii) a 10 percent shareholder of Company within the meaning of Section
871(h)(3)(B) or Section 881(c)(3)(B) of the Internal Revenue Code; or (iii) a

                                       8
<PAGE>

"controlled" foreign corporation related to Company within the meaning of
Section 864(d)(4) of the Internal Revenue Code.

     "CLASS" means, as applied to Lenders, each of the following two classes of
Lenders: (i) Lenders having Domestic Tranche A Revolving Loan Exposure, and (ii)
Lenders having Term Loan Exposure and Tranche B Revolving Loan Exposure (which
together constitute a single class).

     "COLLATERAL" means, collectively, all of the real, personal and mixed
property (including capital stock) in which Liens are purported to be granted by
the Collateral Documents.

     "COLLATERAL ACCOUNT" has the meaning assigned to that term in the
Collateral Account Agreement.

     "COLLATERAL ACCOUNT AGREEMENT" means (i) each Second Amended and Restated
Collateral Account Agreement executed by each of Company, Goss UK and Goss
Japan, on the one hand, and Administrative Agent, on the other hand, and (ii)
the Amended and Restated Collateral Account Agreement executed by Goss France
and Administrative Agent, in each case pursuant to which each such Borrower may
pledge cash to Administrative Agent to secure the obligations of such Borrower
to reimburse an Issuing Lender for payments made under one or more Letters of
Credit as provided in Section 3, substantially in the form of Exhibit XIII
annexed hereto, as each such Collateral Account Agreement may hereafter be
amended, supplemented or otherwise modified from time to time.

     "COLLATERAL DOCUMENTS" means the Collateral Account Agreements, the
Security Agreements and the Mortgages and all other instruments and documents
delivered by any Loan Party pursuant to this Agreement or any of the other Loan
Documents in order to grant to Administrative Agent, on behalf of Lenders, Liens
on any real, personal or mixed property of that Loan Party as security for the
Obligations.

     "COMMERCIAL LETTER OF CREDIT" means any letter of credit or similar
instrument issued for the purpose of providing the primary payment mechanism in
connection with the purchase of any materials, goods or services by a Borrower
or any of its Subsidiaries in the ordinary course of business of such Borrower
or such Subsidiary.

     "COMMITMENT TERMINATION DATE" means September 30, 2003.

     "COMMITMENTS" means the Domestic Term Loan Commitments, the Domestic
Tranche A Revolving Loan Commitments, the Domestic Tranche B Revolving Loan
Commitments, the Tranche A Swing Line Loan Commitment, the Tranche B Swing Line
Commitment, the UK Term Loan Commitments, the UK Tranche B Revolving Loan
Commitments, the French Tranche B Revolving Loan Commitments, the Japanese
Tranche B Revolving Loan Commitments or any combination thereof.

                                       9
<PAGE>

     "COMPANY" has the meaning assigned to that term in the introduction to this
Agreement.

     "COMPANY COMMON STOCK" means the common stock of Company, par value $0.01
per share.

     "COMPLIANCE CERTIFICATE" means a certificate substantially in the form of
Exhibit VIII annexed hereto delivered to Administrative Agent and Lenders by
Company pursuant to subsection 6.1(iv).

     "COMPUTATION DATE" has the meaning assigned to that term in subsection
2.1F(i).

     "CONSOLIDATED ADJUSTED EBITDA" means, for any period, (a) the sum, without
duplication, of the amounts for such period of (i) Consolidated Net Income, (ii)
Consolidated Interest Expense, (iii) provisions for taxes based on income, (iv)
total depreciation expense, (v) total amortization expense, and (vi) other
non-cash items reducing Consolidated Net Income less (b) other non-cash items
increasing Consolidated Net Income, all of the foregoing determined on a
consolidated basis for Company and its Subsidiaries in conformity with GAAP.

     "CONSOLIDATED CAPITAL EXPENDITURES" means, for any period, the sum of the
aggregate of all expenditures (whether paid in cash or other consideration or
accrued as a liability and including that portion of Capital Leases which is
capitalized on the consolidated balance sheet of Company and its Subsidiaries)
by Company and its Subsidiaries during that period that, in conformity with
GAAP, are included in "additions to property, plant or equipment" or comparable
items reflected in the consolidated statement of cash flows of Company and its
Subsidiaries.

     "CONSOLIDATED CASH INTEREST EXPENSE" means, for any period, Consolidated
Interest Expense for such period excluding, however, any interest expense not
payable in Cash (including amortization of discount and amortization of debt
issuance costs).

     "CONSOLIDATED CURRENT ASSETS" means, as at any date of determination, the
total assets of Company and its Subsidiaries on a consolidated basis which may
properly be classified as current assets in conformity with GAAP, excluding Cash
and Cash Equivalents.

     "CONSOLIDATED CURRENT LIABILITIES" means, as at any date of determination,
the total liabilities of Company and its Subsidiaries on a consolidated basis
which may properly be classified as current liabilities in conformity with GAAP,
excluding the current portions of any Indebtedness.

     "CONSOLIDATED EXCESS CASH FLOW" means, for any period, an amount (if
positive) equal to (i) the sum, without duplication, of the amounts for such
period of (a) Consolidated Adjusted EBITDA and (b) the Consolidated Working
Capital Adjustment minus (ii) the sum, without duplication, of the amounts for
such period of (a) voluntary and scheduled repayments of Consolidated Total Debt
(excluding repayments of Revolving Loans except to the

                                       10
<PAGE>

extent the Revolving Loan Commitments are permanently reduced in connection with
such repayments), (b) Consolidated Capital Expenditures (net of any proceeds of
any related financings with respect to such expenditures), (c) Consolidated Cash
Interest Expense, and (d) the provision for current taxes based on income of
Company and its Subsidiaries and payable in cash with respect to such period.

     "CONSOLIDATED FIXED CHARGES" means, for any period, the sum (without
duplication) of the amounts for such period of (i) Consolidated Cash Interest
Expense accrued after the Effective Date, (ii) scheduled principal payments made
on Consolidated Total Debt, (iii) consolidated cash taxes accrued after the
Effective Date, (iv) the aggregate of all expenditures by Company and its
Subsidiaries with respect to Operating Leases, and (v) Restricted Junior
Payments made to New Holdings with respect to regularly scheduled interest in
respect of the New Holdings Subordinated Notes, all of the foregoing as
determined on a consolidated basis for Company and its Subsidiaries in
conformity with GAAP.

     "CONSOLIDATED INTEREST EXPENSE" means, for any period, total interest
expense (including that portion attributable to Capital Leases in accordance
with GAAP and capitalized interest) of Company and its Subsidiaries on a
consolidated basis with respect to Consolidated Total Debt, including, without
limitation, all commissions, discounts and other fees and charges owed with
respect to letters of credit, but excluding, however, (x) any amounts referred
to in subsection 2.3 payable to Administrative Agent and Lenders on or before
the Effective Date and (y) any net interest income; provided further that with
respect to discounts relating to sales of Accounts, which sales are off-balance
sheet and non-recourse to Company and its Subsidiaries, such discounts shall be
included in the definition of "Consolidated Interest Expense" for purposes of
this Agreement.

     "CONSOLIDATED NET INCOME" means, for any period, the net income (or loss)
of Company and its Subsidiaries on a consolidated basis for such period taken as
a single accounting period determined in conformity with GAAP; provided that
there shall be excluded (i) the income (or loss) of any Person (other than a
Subsidiary of Company) in which any other Person (other than Company or any of
its Subsidiaries) has a joint interest, except to the extent of the amount of
dividends or other distributions actually paid to Company or any of its
Subsidiaries by such Person during such period, (ii) the income (or loss) of any
Person accrued prior to the date it becomes a Subsidiary of Company or is merged
into or consolidated with Company or any of its Subsidiaries or that Person's
assets are acquired by Company or any of its Subsidiaries, (iii) the income of
any Subsidiary of Company to the extent that the declaration or payment of
dividends or similar distributions by that Subsidiary of that income 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 that Subsidiary, (iv) any after-tax gains or losses attributable
to Asset Sales or returned surplus assets of any Pension Plan, and (v) (to the
extent not included in clauses (i) through (iv) above) any net extraordinary
gains or net non-cash extraordinary losses.

                                       11
<PAGE>

     "CONSOLIDATED TOTAL DEBT" means, as at any date of determination, the
aggregate stated balance sheet amount of all Indebtedness of Company and its
Subsidiaries, determined on a consolidated basis in accordance with GAAP.

     "CONSOLIDATED WORKING CAPITAL" means, as at any date of determination, the
excess (or deficit) of Consolidated Current Assets over Consolidated Current
Liabilities.

     "CONSOLIDATED WORKING CAPITAL ADJUSTMENT" means, for any period on a
consolidated basis, the amount (which may be a negative number) by which
Consolidated Working Capital as of the beginning of such period exceeds (or is
less than) Consolidated Working Capital as of the end of such period.

     "CONTINGENT OBLIGATION", as applied to any Person, means any direct or
indirect liability, contingent or otherwise, of that Person (i) with respect to
any Indebtedness, lease, dividend or other obligation of another if the primary
purpose or intent thereof by the Person incurring the Contingent Obligation is
to provide assurance to the obligee of such obligation of another that such
obligation of another will be paid or discharged, or that any agreements
relating thereto will be complied with, or that the holders of such obligation
will be protected (in whole or in part) against loss in respect thereof, (ii)
with respect to any letter of credit issued for the account of that Person or as
to which that Person is otherwise liable for reimbursement of drawings, or (iii)
under Hedge Agreements. Contingent Obligations shall include, without
limitation, (a) the direct or indirect guaranty, endorsement (other than for
collection or deposit in the ordinary course of business), co-making,
discounting with recourse or sale with recourse by such Person of the obligation
of another, (b) the obligation to make take-or-pay or similar payments if
required regardless of non-performance by any other party or parties to an
agreement, and (c) any liability of such Person for the obligation of another
through any agreement (contingent or otherwise) (X) to purchase, repurchase or
otherwise acquire such obligation or any security therefor, or to provide funds
for the payment or discharge of such obligation (whether in the form of loans,
advances, stock purchases, capital contributions or otherwise) or (Y) to
maintain the solvency or any balance sheet item, level of income or financial
condition of another if, in the case of any agreement described under subclauses
(X) or (Y) of this sentence, the primary purpose or intent thereof is as
described in the preceding sentence. The amount of any Contingent Obligation
shall be equal to the amount of the obligation so guaranteed or otherwise
supported or, if less, the amount to which such Contingent Obligation is
specifically limited.

     "CONTRACTUAL OBLIGATION", as applied to any Person, means any provision of
any Security issued by that Person or of any material indenture, mortgage, deed
of trust, contract, undertaking, agreement or other instrument to which that
Person is a party or by which it or any of its properties is bound or to which
it or any of its properties is subject.

     "COURT ORDER" has the meaning assigned to that term in subsection 4.1H.

     "COURT" has the meaning assigned to such term in the Recitals to this
Agreement.

                                       12
<PAGE>

     "COVERED REAL PROPERTY ASSET" has the meaning assigned to that term in
subsection 6.9A

     "CURRENCY AGREEMENT" means any foreign exchange contract, currency swap
agreement, futures contract, option contract, synthetic cap or other similar
agreement or arrangement.

     "DEPOSIT ACCOUNT" means a demand, time, savings, passbook or like account
with a bank, savings and loan association, credit union or like organization,
other than an account evidenced by a negotiable certificate of deposit.

     "DOCUMENTATION AGENT" shall have the meaning assigned to such term in the
introduction to this Agreement. The Documentation Agent, in its capacity as
Documentation Agent, shall have no duties or responsibilities in addition to
those of a Lender as provided under this Agreement.

     "DIP CREDIT AGREEMENT" has the meaning assigned to such term in the
Recitals to this Agreement.

     "DOLLAR EQUIVALENTS" means, at any time, (x) as to any amount denominated
in Dollars, the amount thereof at such time, and (y) as to any amount
denominated in an Offshore Currency or any other currency other than Dollars,
the equivalent amount in Dollars as determined by Administrative Agent at such
time on the basis of the Exchange Rate for the purchase of Dollars with such
Offshore Currency or other currency on the most recent Computation Date provided
for in subsection 2.1F(i) or such other time as may be reasonably specified by
Administrative Agent.

     "DOLLARS" and the sign "$" mean the lawful money of the United States of
America.

     "DOMESTIC LENDERS" means the Domestic Tranche A Lenders or the Domestic
Tranche B Lenders or both.

     "DOMESTIC LOANS" means the Domestic Term Loans or the Domestic Revolving
Loans or both.

     "DOMESTIC REVOLVING LOAN COMMITMENTS" means the Domestic Tranche A
Revolving Loan Commitments or the Domestic Tranche B Revolving Loan Commitments
or both.

     "DOMESTIC REVOLVING LOAN EXPOSURE" means the Domestic Tranche A Revolving
Loan Exposure or the Domestic Tranche B Revolving Loan Exposure or both.

     "DOMESTIC REVOLVING LOANS" means the Domestic Tranche A Revolving Loans or
the Domestic Tranche B Revolving Loans or both.

                                       13
<PAGE>

     "DOMESTIC SUBSIDIARY" means a direct or indirect Subsidiary of Company that
is incorporated or organized under the laws of a state of the United States of
America.

     "DOMESTIC TERM LOAN COMMITMENT" means the commitment of a Lender to make
Term Loans to Company pursuant to subsection 2.1A(i)(a), and "DOMESTIC TERM LOAN
COMMITMENTS" means such commitments of all such Lenders in the aggregate.

     "DOMESTIC TERM LOAN EXPOSURE" means, with respect to any Domestic Lender as
of any date of determination, (i) prior to the funding of the Domestic Term
Loans, that Lender's Domestic Term Loan Commitment and (ii) after the funding of
the Domestic Term Loans, the outstanding principal amount of the Domestic Term
Loans of that Lender.

     "DOMESTIC TERM LOANS" means the Loans made by Lenders to Company pursuant
to subsection 2.1A(i)(a).

     "DOMESTIC TRANCHE A LENDER" and "DOMESTIC TRANCHE A LENDERS" means the
Lenders that have Domestic Tranche A Revolving Loan Commitments or a Tranche A
Swing Line Loan Commitment or that have Domestic Tranche A Revolving Loans or
Tranche A Swing Line Loans outstanding, together with their successors and
permitted assigns pursuant to subsection 10.1, and the term "DOMESTIC TRANCHE A
LENDERS" shall include Swing Line Lender unless the context otherwise requires.

     "DOMESTIC TRANCHE A REVOLVING LOAN COMMITMENT" means the commitment of a
Domestic Tranche A Lender (i) to make Domestic Tranche A Revolving Loans to
Company pursuant to subsection 2.1A(ii)(a), (ii) to issue and/or purchase
participations in Tranche A Letters of Credit for the account of Company
pursuant to Section 3, and (iii) except for Swing Line Lender, to purchase
participations in Tranche A Swing Line Loans pursuant to subsection 2.1A(iii),
and "DOMESTIC TRANCHE A REVOLVING LOAN COMMITMENTS" means such commitments of
all such Lenders in the aggregate.

     "DOMESTIC TRANCHE A REVOLVING LOAN EXPOSURE" means, with respect to any
Domestic Tranche A Lender as of any date of determination, (i) prior to the
termination of the Domestic Tranche A Revolving Loan Commitments, that Lender's
Domestic Tranche A Revolving Loan Commitment and (ii) after the termination of
the Domestic Tranche A Revolving Loan Commitments, the sum of (a) the aggregate
outstanding principal amount of the Domestic Tranche A Revolving Loans of that
Lender plus (b) in the event that Lender is an Issuing Lender, the aggregate
Tranche A Letter of Credit Usage in respect of all Tranche A Letters of Credit
issued by that Lender for the benefit of Company (in each case net of any
participations purchased by other Lenders in such Tranche A Letters of Credit or
any unreimbursed drawings thereunder) plus (c) the aggregate amount of all
participations purchased by that Lender in any outstanding Tranche A Letters of
Credit for the benefit of Company or any unreimbursed drawings under any such
Tranche A Letters of Credit plus (d) in the case of Swing Line Lender, the
aggregate outstanding principal amount of all Tranche A Swing Line Loans (net of
any participations therein purchase by other Lenders) plus (e) the aggregate
amount of all participations purchased by that Lender in any outstanding Tranche
A Swing Line Loans.

                                       14
<PAGE>

     "DOMESTIC TRANCHE A REVOLVING LOANS" means the Loans made by Lenders to
Company pursuant to subsection 2.1A(ii)(a).

     "DOMESTIC TRANCHE B LENDER" and "DOMESTIC TRANCHE B LENDERS" means the
Lenders that have Domestic Term Loan Commitments, Domestic Tranche B Revolving
Loan Commitments or a Tranche B Swing Line Loan Commitment or that have Domestic
Term Loans, Domestic Tranche B Revolving Loans or Tranche B Swing Line Loans
outstanding, together with their successors and permitted assigns pursuant to
subsection 10.1, and the term "DOMESTIC TRANCHE B LENDERS" shall include Swing
Line Lender unless the context otherwise requires.

     "DOMESTIC TRANCHE B REVOLVING LOAN COMMITMENT" means the commitment of a
Domestic Tranche B Lender (i) to make Domestic Tranche B Revolving Loans to
Company pursuant to subsection 2.1A(ii)(b), (ii) to issue and/or purchase
participations in Tranche B Letters of Credit for the account of Company
pursuant to Section 3, and (iii) except for Swing Line Lender, to purchase
participations in Tranche B Swing Line Loans pursuant to subsection 2.1A(iii),
and "DOMESTIC TRANCHE B REVOLVING LOAN COMMITMENTS" means such commitments of
all such Lenders in the aggregate.

     "DOMESTIC TRANCHE B REVOLVING LOAN EXPOSURE" means, with respect to any
Domestic Lender as of any date of determination, (i) prior to the termination of
the Domestic Tranche B Revolving Loan Commitments, that Lender's Domestic
Tranche B Revolving Loan Commitment and (ii) after the termination of the
Domestic Tranche B Revolving Loan Commitments, the sum of (a) the aggregate
outstanding principal amount of the Domestic Tranche B Revolving Loans of that
Lender plus (b) in the event that Lender is an Issuing Lender, the aggregate
Tranche B Letter of Credit Usage in respect of all Tranche B Letters of Credit
issued by that Lender for the benefit of Company (in each case net of any
participations purchased by other Lenders in such Tranche B Letters of Credit or
any unreimbursed drawings thereunder) plus (c) the aggregate amount of all
participations purchased by that Lender in any outstanding Tranche B Letters of
Credit for the benefit of Company or any unreimbursed drawings under any such
Tranche B Letters of Credit plus (d) in the case of Swing Line Lender, the
aggregate outstanding principal amount of all Tranche B Swing Line Loans (net of
any participations therein purchase by other Lenders) plus (e) the aggregate
amount of all participations purchased by that Lender in any outstanding Tranche
B Swing Line Loans.

     "DOMESTIC TRANCHE B REVOLVING LOANS" means the Loans made by Lenders to
Company pursuant to subsection 2.1A(ii)(b).

     "EFFECTIVE DATE" means the date on or before November 19, 1999, on which
the initial Loans are made under this Agreement.

     "EFFECTIVE DATE MORTGAGE" has the meaning assigned to that term in
subsection 4.1I(i).

     "EFFECTIVE DATE MORTGAGED PROPERTY" has the meaning assigned to that term
in subsection 4.1I(i).

                                       15
<PAGE>

     "EFFECTIVE DATE MORTGAGE POLICIES" has the meaning assigned to that term in
subsection 4.1I(iv).

     "ELIGIBLE ACCOUNTS RECEIVABLE" means the aggregate amount of all Accounts
of Company deemed by Administrative Agent in the exercise of its Permitted
Discretion to be eligible for inclusion in the calculation of the Tranche A
Borrowing Base. In determining the amount to be so included, the face amount of
such Accounts shall be reduced by the amount of all returns, discounts,
deductions, claims, credits, charges, or other allowances. Unless otherwise
approved in writing by Administrative Agent, an Account shall not be an Eligible
Account Receivable if:

          (a) it arises out of a sale made by Company to an Affiliate; or

          (b) the goods giving rise to such Account have been shipped, delivered
     and invoiced, and title has passed, to the account debtor and such Account
     is classified by Company in accordance with its past practices and
     procedures as an "account receivable not yet due" (collectively, the
     "EXTENDED PAYMENT ACCOUNTS"), but only to the extent (1) the aggregate
     amount of all such Extended Payment Accounts of Company exceeds 20% of all
     Accounts of Company or (2) final payment on such an Extended Payment
     Account shall not be received by Company within 270 days after shipment and
     delivery of the goods giving rise to such Extended Payment Account; or

          (c) it is unpaid more than 90 days after the original payment due
     date; or

          (d) it is from the same account debtor or its Affiliate and fifty
     percent (50%) or more of all Accounts from that account debtor (and its
     Affiliates) are ineligible under (c) above; or

          (e) when aggregated with all other Accounts of an account debtor, such
     Account exceeds 25% in face value of all Accounts of Company then
     outstanding, but only to the extent of such excess, unless such excess is
     supported by an irrevocable letter of credit satisfactory to Administrative
     Agent (as to form, substance and issuer) and assigned to Administrative
     Agent; or

          (f) the account debtor for such Account is a creditor of Company, has
     or has asserted a right of setoff against Company, or has disputed its
     liability or otherwise has made any claim with respect to such Account or
     any other Account which has not been resolved, in each case to the extent
     of the amount owed by Company to such account debtor, the amount of such
     actual or asserted right of setoff, or the amount of such dispute or claim,
     as the case may be; or

          (g) the account debtor is (or its assets are) the subject of any of
     the events described in subsection 8.6 or 8.7; or

                                       16
<PAGE>

          (h) (1) such Account is not payable in Dollars or (2) the account
     debtor for such Account is located outside the United States or Canada; or

          (i) the sale to the account debtor is on a bill-and-hold, guarantied
     sale, sale-and-return, sale on approval or consignment basis or made
     pursuant to any other written agreement providing for repurchase or return;
     or

          (j) Administrative Agent determines by its own credit analysis that
     collection of such Account is uncertain or that such Account may not be
     paid; or

          (k) the account debtor is any federal, state, local, provincial, or
     other comparable or similar governmental authority, agency or
     instrumentality; or

          (l) such Account does not comply with all requirements of all
     applicable laws, rules, regulations and orders of any governmental
     authority, including without limitation the Federal Consumer Credit
     Protection Act, the Federal Truth in Lending Act, Regulation Z of the Board
     of Governors of the Federal Reserve System and all Environmental Laws; or

          (m) such Account arises as a result of any progress billing or such
     Account is subject to any adverse security deposit, progress payment or
     other similar advance made by or for the benefit of the applicable account
     debtor; or

          (n) it is not subject to a valid and perfected First Priority Lien in
     favor of Administrative Agent or does not otherwise conform to the
     representations and warranties contained in the Loan Documents; or

          (o) it is an Account with a customer credit balance that is unpaid
     more than 90 days after the original payment date for which a debit balance
     exists; or

          (p) it is not owned solely by Company or Company does not have good,
     valid and marketable title thereto;

provided that Administrative Agent, in the exercise of its Permitted Discretion,
may impose additional restrictions (or eliminate the same) to the standards of
eligibility set forth in this definition.

     "ELIGIBLE ASSIGNEE" means (A) (i) a commercial bank organized under the
laws of the United States or any state thereof; (ii) a savings and loan
association or savings bank organized under the laws of the United States or any
state thereof; (iii) a commercial bank organized under the laws of any other
country or a political subdivision thereof; provided that (x) such bank is
acting through a branch or agency located in the United States or (y) such bank
is organized under the laws of a country that is a member of the Organization
for Economic Cooperation and Development or a political subdivision of such
country; and (iv) any other entity which is an "accredited investor" (as defined
in Regulation D under the Securities Act)

                                       17
<PAGE>

which extends credit or buys loans as one of its businesses including, but not
limited to, insurance companies, mutual funds and lease financing companies, in
each case (under clauses (i) through (iv) above) that is reasonably acceptable
to Administrative Agent; and (B) any Lender and any Affiliate of any Lender;
provided that no Affiliate of Company shall be an Eligible Assignee.

     "ELIGIBLE EQUIPMENT" means the aggregate amount of all Equipment of Company
deemed by Administrative Agent in the exercise of its Permitted Discretion to be
eligible for inclusion in the calculation of the Tranche A Borrowing Base. In
determining the amount to be so included, such Equipment shall be valued at the
liquidation value of such Equipment. Unless otherwise approved in writing by
Administrative Agent, an item of Equipment shall not be included in Eligible
Equipment if:

          (a) it is not owned solely by Company or Company does not have good,
     valid and marketable title thereto; or

          (b) it is not located in the United States; or

          (c) it is not subject to a valid and perfected First Priority Lien in
     favor of Administrative Agent ; or

          (d) it is not first-quality goods, is obsolete or slow moving, or does
     not otherwise conform to the representations and warranties contained in
     the Loan Documents;

provided that Administrative Agent, in the exercise of its Permitted Discretion,
may impose additional restrictions (or eliminate the same) to the standards of
eligibility set forth in this definition.

     "ELIGIBLE INVENTORY" means the aggregate amount of Inventory of Company
deemed by Administrative Agent in the exercise of its Permitted Discretion to be
eligible for inclusion in the calculation of the Tranche A Borrowing Base. In
determining the amount to be so included, such Inventory shall be valued at the
lower of cost or market, on a basis consistent with Company's current and
historical accounting practice. Unless otherwise approved in writing by
Administrative Agent, an item of Inventory shall not be included in Eligible
Inventory if:

          (a) it is not owned solely by Company or Company does not have good,
     valid and marketable title thereto; or

          (b) it is not located in the United States; or

          (c) it consists of goods or Inventory (including consigned goods or
     Inventory) not located on property owned or leased by Company or in a
     contract warehouse; provided that such goods or Inventory (other than
     consigned goods or Inventory) shall not

                                       18
<PAGE>

     be excluded under this clause (c) if such goods are located on property
     owned or leased by Company or in a contract warehouse, in each case that is
     subject to a collateral access agreement (in form and substance
     satisfactory to Administrative Agent) executed by any applicable mortgagee,
     lessor or contract warehouseman, as the case may be, and such goods are
     segregated or otherwise separately identifiable from goods of others, if
     any, stored on the premises; or

          (d) it is not subject to a valid and perfected First Priority Lien in
     favor of Administrative Agent except, with respect to Inventory stored at
     sites described in clause (c) above, for Liens for unpaid rent or normal
     and customary warehousing charges; or

          (e) it consists of goods (1) inspected by Company and determined by
     Company to be returnable to the supplier or (2) returned or rejected by
     Company's customers, or goods in transit to third parties (other than to
     warehouse sites covered by a collateral access agreement (in form and
     substance satisfactory to Administrative Agent)); or

          (f) it consists of raw materials constituting Inventory which are
     sub-assemblies or works in process or other partially manufactured goods
     constituting Inventory; or

          (g) it consists of raw materials located at the Redding, Pennsylvania
     Facility not assigned to a specific contract with customers; or

          (h) it consists of raw materials, such as castings, that are not
     currently used by Company in the manufacture of goods for its customers; or

          (i) it is not first-quality goods, is obsolete or slow moving, or is
     not accountable due to loss or shrinkage or valuation capitalization, or
     does not otherwise conform to the representations and warranties contained
     in the Loan Documents; or

          (j) it consists of Inventory to be included in finished goods and such
     Inventory has been assigned to specific contracts with customers who have
     made advance payments with respect to such Inventory on such contracts;

provided that Administrative Agent, in the exercise of its Permitted Discretion,
may impose additional restrictions (or eliminate the same) to the standards of
eligibility set forth in this definition.

     "ELIGIBLE REAL PROPERTY" means the aggregate amount of all Real Property
Assets of Company deemed by Administrative Agent in the exercise of its
Permitted Discretion to be eligible for inclusion in the calculation of the
Tranche A Borrowing Base. In determining the amount to be so included, such Real
Property Assets shall be valued at fair market value. Unless otherwise approved
in writing by Administrative Agent, an item of Real Property Assets shall not be
included in Eligible Real Property Assets if:

                                       19
<PAGE>

          (a) it is not owned solely by a Company or such Company does not have
     good, valid and marketable title thereto; or

          (b) it is not located in the United States; or

          (c) it is not subject to a valid and perfected First Priority Lien in
     favor of Administrative Agent , or does not otherwise conform to the
     representations and warranties contained in the Loan Documents;

provided that Administrative Agent, in the exercise of its Permitted Discretion,
may impose additional restrictions (or eliminate the same) to the standards of
eligibility set forth in this definition.

     "EMPLOYEE BENEFIT PLAN" means any "employee benefit plan" as defined in
Section 3(3) of ERISA which is, or was at any time, maintained or contributed to
by Company or any of its ERISA Affiliates. Any such plan of a former ERISA
Affiliate of the Company shall continue to be considered an Employee Benefit
Plan within the meaning of this definition solely with respect to the period
during which such former ERISA Affiliate was an ERISA Affiliate of the Company
and with respect to liabilities existing after such period for which the Company
could be liable under the Internal Revenue Code or ERISA.

     "ENVIRONMENTAL CLAIM" means any allegation, investigation, notice, notice
of violation, claim, demand, action, suit, proceeding, abatement order or other
direction (conditional or otherwise) by any Governmental Authority or any other
Person arising (i) pursuant to or in connection with any actual or alleged
violation of any Environmental Law, (ii) in connection with any Hazardous
Materials or any actual or alleged Hazardous Materials Activity, or (iii) in
connection with any actual or alleged damage, injury, threat or harm to health,
safety, natural resources or the environment.

     "ENVIRONMENTAL LAWS" means any and all current or future statutes,
ordinances, orders, rules, regulations, plans, policies or decrees and
requirements having the force of law of any Governmental Authority relating to
(i) environmental matters, including, without limitation, those relating to any
Hazardous Materials Activity, (ii) the generation, use, storage, transportation
or disposal of Hazardous Materials, or (iii) occupational safety and health,
industrial hygiene, land use or the protection of human, plant or animal health
or welfare from environmental hazards, in any manner applicable to Company or
any of its Subsidiaries or any of their respective properties, including,
without limitation, the Comprehensive Environmental Response, Compensation, and
Liability Act (42 U.S.C. ss. 9601 et seq.) ("CERCLA"), the Hazardous Materials
Transportation Act (49 U.S.C. ss. 1801 et seq.), the Resource Conservation and
Recovery Act (42 U.S.C. ss. 6901 et seq.), the Federal Water Pollution Control
Act (33 U.S.C. ss. 1251 et seq.), the Clean Air Act (42 U.S.C. ss. 7401 et
seq.), the Toxic Substances Control Act (15 U.S.C. ss. 2601 et seq.), the
Federal Insecticide, Fungicide and Rodenticide Act (7 U.S.C. ss.136 et seq.),
the Occupational Safety and Health Act (29 U.S.C. ss. 651 et seq.) and the
Emergency Planning and Community Right-to-Know Act (42 U.S.C. ss. 11001 et
seq.), each as

                                       20
<PAGE>

amended, and any analogous future or present local, state and federal laws,
statutes and regulations promulgated pursuant to any of the foregoing.

     "EQUIPMENT" means, with respect to a Person, all equipment in all of its
forms, all parts thereof and all accessions thereto owned or held by such
Person, including without limitation all equipment, parts and accessions
relating to the manufacture, production, servicing, maintenance or repair of
press systems, printing presses and related finished goods and spare parts;
provided that "Equipment" shall not include any materials or other items that
would otherwise constitute "Inventory".

     "ERISA" means the Employee Retirement Income Security Act of 1974, as
amended from time to time, and any successor statute, and any similar or
comparable laws in a jurisdiction outside of the U.S. applicable to Company or
any of its Subsidiaries.

     "ERISA AFFILIATE", as applied to any Person, means (i) any corporation
which is a member of a controlled group of corporations within the meaning of
Section 414(b) of the Internal Revenue Code of which that Person is a member;
(ii) any trade or business (whether or not incorporated) which is a member of a
group of trades or businesses under common control within the meaning of Section
414(c) of the Internal Revenue Code of which that Person is a member; and (iii)
except for purposes of Title IV of ERISA, any member of an affiliated service
group within the meaning of Section 414(m) or (o) of the Internal Revenue Code
of which that Person, any corporation described in clause (i) above or any trade
or business described in clause (ii) above is a member. Any former ERISA
Affiliate of a Person shall continue to be considered an ERISA Affiliate within
the meaning of this definition solely with respect to the period during which
such entity was an ERISA Affiliate of the Person and with respect to liabilities
arising after such period for which the Person could be liable under the
Internal Revenue Code or ERISA.

     "ERISA EVENT" means (i) a "reportable event" within the meaning of Section
4043 of ERISA and the regulations issued thereunder with respect to any Pension
Plan (excluding those for which the provision for 30-day notice to the PBGC has
been waived by regulation); (ii) the failure to meet the minimum funding
standard of Section 412 of the Internal Revenue Code with respect to any Pension
Plan (whether or not waived in accordance with Section 412(d) of the Internal
Revenue Code) or the failure to make by its due date a required installment
under Section 412(m) of the Internal Revenue Code with respect to any Pension
Plan or the failure to make any required contribution to a Multiemployer Plan;
(iii) the provision by the administrator of any Pension Plan pursuant to Section
4041(a)(2) of ERISA of a notice of intent to terminate such plan in a distress
termination described in Section 4041(c) of ERISA; (iv) the withdrawal by
Company or any of its ERISA Affiliates from any Pension Plan with two or more
contributing sponsors or the termination of any such Pension Plan resulting in
liability pursuant to Sections 4063 or 4064 of ERISA; (v) the institution by the
PBGC of proceedings to terminate any Pension Plan, or the occurrence of any
event or condition which could reasonably be expected to constitute grounds
under ERISA for the termination of, or the appointment of a trustee to
administer, any Pension Plan; (vi) the imposition of liability on Company or any
of its

                                       21
<PAGE>

ERISA Affiliates pursuant to Section 4062(e) or 4069 of ERISA or by reason of
the application of Section 4212(c) of ERISA; (vii) the withdrawal by Company or
any of its ERISA Affiliates in a complete or partial withdrawal (within the
meaning of Sections 4203 and 4205 of ERISA) from any Multiemployer Plan if there
is any potential liability therefor, or the receipt by Company or any of its
ERISA Affiliates of notice from any Multiemployer Plan that it is in
reorganization or insolvency pursuant to Section 4241 or 4245 of ERISA, or that
it intends to terminate or has terminated under Section 4041A or 4042 of ERISA;
(viii) the occurrence of an act or omission which could reasonably be expected
to give rise to the imposition on Company or any of its ERISA Affiliates of
material fines, penalties, taxes or related charges under Chapter 43 of the
Internal Revenue Code or under Section 409 or 502(c), (i) or (l) or 4071 of
ERISA in respect of any Employee Benefit Plan; (ix) the assertion of a material
claim (other than routine claims for benefits) against any Employee Benefit Plan
other than a Multiemployer Plan or the assets thereof, or against Company or any
of its ERISA Affiliates in connection with any such Employee Benefit Plan; (x)
receipt from the Internal Revenue Service of notice of the failure of any
Pension Plan (or any other Employee Benefit Plan intended to be qualified under
Section 401(a) of the Internal Revenue Code) to qualify under Section 401(a) of
the Internal Revenue Code, or the failure of any trust forming part of any
Pension Plan to qualify for exemption from taxation under Section 501(a) of the
Internal Revenue Code; or (xi) the imposition of a Lien pursuant to Section
401(a)(29) or 412(n) of the Internal Revenue Code or pursuant to ERISA with
respect to any Pension Plan; provided that any event described in the foregoing
clauses shall not be an ERISA Event if Company and/or its Subsidiaries are (or
would be) liable for any potential liability resulting from such event solely
because of their affiliation with an ERISA Affiliate (excluding Company and all
Subsidiaries) and (i) such events could not reasonably be expected to result
(individually or in the aggregate) in liability (including joint and several
liability) of Company and its Subsidiaries of more than $1,000,000, or (ii)
neither Company and its Subsidiary could reasonably be expected to be liable
(either individually or on a joint and several basis) for any potential
liability resulting from such event; provided further that any event described
in the foregoing proviso shall be an ERISA Event if the PBGC or any other
governmental authority notifies Company or one of its Subsidiaries that Company
or one of its Subsidiaries is liable for any potential liability resulting from
such event.

     "EURO" has the meaning assigned to that term in subsection 2.1F(ii).

     "EU" means the European Union.

     "EVENT OF DEFAULT" means each of the events set forth in Section 8.

     "EXCHANGE ACT" means the Securities Exchange Act of 1934, as amended from
time to time, and any successor statute, and any comparable or similar laws in a
jurisdiction outside of the United States applicable to Company or any of its
Subsidiaries.

     "EXCHANGE RATE" means, with respect to any currency other than Dollars, the
rate of exchange quoted by the Wall Street Journal on the date of determination
as applicable to trading among banks at 4:00 P.M. (New York time) on the
immediately preceding Business Day

                                       22
<PAGE>

(or at such other time and on such other date specified in the Wall Street
Journal) in the New York foreign exchange market for such other currency.

     "EXISTING CREDIT AGREEMENT" has the meaning assigned to such term in the
Recitals to this Agreement.

     "EXISTING LETTERS OF CREDIT" means the letters of credit identified as such
in Schedule 7.4 annexed hereto (but not any refinancings, renewals or extensions
thereof).

     "FACILITIES" means the manufacturing plants, offices, warehouses and all
other real property (including, without limitation, all buildings, fixtures or
other improvements located thereon) and related facilities now, hereafter or
heretofore owned, leased, operated or used by Company or any of its Subsidiaries
or any of their respective predecessors or Affiliates.

     "FEDERAL FUNDS EFFECTIVE RATE" means, for any period, a fluctuating
interest rate equal for each day during such period to 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, 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 Administrative Agent from three Federal funds brokers
of recognized standing selected by Administrative Agent.

     "FEE PROPERTY" means a Real Property Asset consisting of a fee interest in
real property.

     "FINANCIAL PLAN" has the meaning assigned to that term in subsection
6.1(xiii).

     "FIRST PRIORITY" means, with respect to any Lien purported to be created in
any Collateral pursuant to any Collateral Document, that (i) such Lien has
priority over any other Lien (other than those Permitted Encumbrances that as a
matter of statutory law have priority over any other Lien irrespective of the
prior perfection or filing of such other Lien) on such Collateral and (ii) such
Lien is the only Lien (other than Permitted Encumbrances that as a matter of
statutory law have priority over any other Lien irrespective of the prior
perfection or filing of such other Lien) to which such Collateral is subject.

     "FISCAL QUARTER" means a fiscal quarter of any Fiscal Year.

     "FISCAL YEAR" means the fiscal year of Company and its Subsidiaries ending
on December 31 of each calendar year.

     "FLOOD HAZARD PROPERTY" means a Mortgaged Property located in an area in
the United States designated by the Federal Emergency Management Agency as
having special flood or mud slide hazards.

                                       23
<PAGE>

     "FOREIGN SUBSIDIARY" means a direct or indirect Subsidiary of Company that
is incorporated or organized under the laws of a jurisdiction other than that of
the United States of America.

     "FOREIGN UNFUNDED PENSION PLAN" means a Pension Plan described in Section
4(b)(4) of ERISA that is not required to be funded pursuant to applicable
foreign law.

     "FRANCS" and the sign "FF" mean the lawful money of the Republic of France.

     "FRENCH INDEMNIFYING LENDER" means each financial institution that is
designated as a French Indemnifying Lender on Schedule 2.1 annexed hereto, and
each financial institution which is designated, with the approval of
Administrative Agent, as a French Indemnifying Lender in an Assignment
Agreement.

     "FRENCH LENDER" and "FRENCH LENDERS" means the Lenders that have French
Tranche B Revolving Loan Commitments or that have French Revolving Loans
outstanding, together with their successors and permitted assigns pursuant to
subsection 10.1.

     "FRENCH TRANCHE B REVOLVING LOAN COMMITMENT" means the commitment of a
French Lender (i) to make French Tranche B Revolving Loans to Goss France
pursuant to subsection 2.1A(ii)(b) and (ii) to issue and/or purchase
participations in Tranche B Letters of Credit for the account of Goss France
pursuant to Section 3, and "FRENCH TRANCHE B REVOLVING LOAN COMMITMENTS" means
such commitments of all such Lenders in the aggregate.

     "FRENCH TRANCHE B REVOLVING LOAN EXPOSURE" means, with respect to any
French Lender as of any date of determination (i) prior to the termination of
the French Tranche B Revolving Loan Commitments, that Lender's French Tranche B
Revolving Loan Commitment and (ii) after the termination of the French Tranche B
Revolving Loan Commitments, the sum of (a) the aggregate outstanding principal
amount of the French Tranche B Revolving Loans of that Lender plus (b) in the
event that Lender is an Issuing Lender, the aggregate Tranche B Letter of Credit
Usage in respect of all Tranche B Letters of Credit issued by that Lender for
the benefit of Goss France (in each case net of any participations purchased by
other Lenders in such Tranche B Letters of Credit or any unreimbursed drawings
thereunder) plus (c) the aggregate amount of all participations purchased by
that Lender in any outstanding Tranche B Letters of Credit for the benefit of
Goss France or any unreimbursed drawings under any such Tranche B Letters of
Credit.

     "FRENCH TRANCHE B REVOLVING LOANS" means the Loans made by Lenders to Goss
France pursuant to subsection 2.1A(ii)(b).

     "FUNDING DATE" means the date of the funding of a Loan.

     "FUNDING AND PAYMENT OFFICE" means (i) the office or offices of
Administrative Agent and/or Swing Line Lender set forth on the signature pages
hereof, or (ii) such other office or offices of Administrative Agent and/or
Swing Line Lender as may from time to time hereafter

                                       24
<PAGE>

be designated as such in a written notice delivered by Administrative Agent
and/or Swing Line Lender to Borrowers and Lenders.

     "GAAP" means, subject to the limitations on the application thereof set
forth in subsection 1.2, generally accepted accounting principles set forth in
opinions and pronouncements of the Accounting Principles Board of the American
Institute of Certified Public Accountants and statements and pronouncements of
the Financial Accounting Standards Board or in such other statements by such
other entity as may be approved by a significant segment of the accounting
profession, in each case as the same are applicable to the circumstances as of
the date of determination.

     "GOSS FRANCE" has the meaning assigned to that term in the introduction to
this Agreement and is a wholly-owned Subsidiary of Company.

     "GOSS REALTY" means Goss Realty, L.L.C., a limited liability company
organized under the laws of Delaware and a wholly-owned Subsidiary of Company.

     "GOSS JAPAN" has the meaning assigned to that term in the introduction to
this Agreement and is a wholly-owned Subsidiary of Company.

     "GOSS UK" has the meaning assigned to that term in the introduction to this
Agreement and is a wholly-owned Subsidiary of Company.

     "GOVERNMENTAL AUTHORITY" means any federal, state or local governmental
authority, agency or court in the United States, or other comparable or similar
governmental authority, agency or court in a jurisdiction outside of the United
States, in each case applicable to Company or any of its Subsidiaries.

     "GOVERNMENTAL AUTHORIZATION" means any permit, license, authorization,
plan, directive, consent order or consent decree of or from any Governmental
Authority.

     "GUARANTOR" means, at any time, New Holdings, Company or any of their
respective Subsidiaries that is then a party to any of the Guaranties or
Subsidiary Guaranties.

     "GUARANTY" means each of (i) the Guaranty executed and delivered by New
Holdings, (ii) the Second Amended and Restated Guaranty executed and delivered
by New Holdings and (iii) the Second Amended and Restated Guaranty executed and
delivered by Company, in each case on the Effective Date substantially in the
form of Exhibit XIV attached hereto, and any other guaranty, document or
instrument with a similar or comparable effect executed by any Foreign
Subsidiary that is a Borrower, in form and substance satisfactory to
Administrative Agent, in each case as such Guaranty may be amended, supplemented
or otherwise modified from time to time, and "GUARANTIES" means all such
Guaranties, collectively.

                                       25
<PAGE>

     "HAZARDOUS MATERIALS" means (i) any chemical, material or substance which,
at the time of determination, is defined as or included in the definition of
"hazardous substances", "hazardous wastes", "hazardous materials", "extremely
hazardous waste", "restricted hazardous waste", "infectious waste", "toxic
substances" or any other formulations intended to define, list or classify
substances by reason of deleterious properties such as ignitability,
corrosivity, reactivity, carcinogenicity, toxicity, reproductive toxicity, "TCLP
toxicity" or "EP toxicity" or words of similar meaning and regulatory effect
under any applicable Environmental Laws; (ii) any oil, petroleum, petroleum
fraction or petroleum derived substance; (iii) any drilling fluids, produced
waters and other wastes associated with the exploration, development or
production of crude oil, natural gas or geothermal resources; (iv) any flammable
substances or explosives; (v) any radioactive materials; (vi) any
asbestos-containing material; (vii) urea formaldehyde foam insulation; (viii)
electrical equipment which contains any oil or dielectric fluid containing a
mixture of polychlorinated biphenyls; (ix) pesticides; and (x) any other
chemical, material or substance, exposure to which is prohibited, limited,
regulated or determined by any Governmental Authority or which may or could pose
a hazard to the health and safety of the owners, occupants or any Persons in the
vicinity of the Facilities or to the indoor or outdoor environment.

     "HAZARDOUS MATERIALS ACTIVITY" means any past, current, proposed or
threatened activity, event or occurrence involving any Hazardous Materials,
including the use, manufacture, possession, storage, holding, presence,
existence, location, Release, threatened Release, discharge, placement,
generation, transportation, processing, construction, treatment, abatement,
removal, remediation, disposal, disposition or handling of any Hazardous
Materials, and any corrective action or response action with respect to any of
the foregoing.

     "HEDGE AGREEMENT" means an Interest Rate Agreement or a Currency Agreement
designed to hedge against fluctuations in interest rates or currency values,
respectively.

     "INDEBTEDNESS", as applied to any Person, means, without duplication, (i)
all indebtedness for borrowed money, (ii) that portion of obligations with
respect to Capital Leases that is properly classified as a liability on a
balance sheet in conformity with GAAP, (iii) notes payable and drafts accepted
representing extensions of credit whether or not representing obligations for
borrowed money, (iv) any obligation owed for all or any part of the deferred
purchase price of property or services (excluding any such obligations incurred
under ERISA), which purchase price is (a) due more than six months from the date
of incurrence of the obligation in respect thereof or (b) evidenced by a note or
similar written instrument, and (v) all indebtedness secured by any Lien on any
property or asset owned or held by that Person regardless of whether the
indebtedness secured thereby shall have been assumed by that Person or is
nonrecourse to the credit of that Person. Obligations under Interest Rate
Agreements and Currency Agreements constitute Contingent Obligations and not
Indebtedness.

     "INDEMNIFIED ENVIRONMENTAL LIABILITIES" has the meaning assigned to that
term in subsection 10.3.

                                       26
<PAGE>

     "INDEMNIFIED LIABILITIES" has the meaning assigned to that term in
subsection 10.3.

     "INDEMNIFYING LENDER" means each UK Indemnifying Lender, each French
Indemnifying Lender and each Japanese Indemnifying Lender, and "INDEMNIFYING
LENDERS" means, collectively, all such financial institutions.

     "INDEMNITEE" has the meaning assigned to that term in subsection 10.3.

     "INDEMNITY AMOUNT" means for each Indemnifying Lender which is a signatory
hereto the amount and the percentage that is so designated and set forth
opposite such Indemnifying Lender's name on Schedule 2.1 annexed hereto, and for
each financial institution which becomes an Indemnifying Lender pursuant to an
Assignment Agreement the amount and the percentage that is so designated in such
Assignment Agreement.

     "INDEMNITY PARTICIPATION" shall have the meaning set forth therefor in
subsection 2.9A as set forth in Annex C attached hereto.

     "INTERCREDITOR AGREEMENT" means the Intercreditor Agreement, substantially
in the form of Exhibit XIX annexed hereto, executed and delivered on the
Effective Date by Borrowers, Administrative Agent, Domestic Tranche A Lenders
and Tranche B Lenders.

     "INTEREST PAYMENT DATE" means (i) with respect to any Base Rate Loan, each
first Business Day after each March 31, June 30, September 30 and December 31 of
each year, commencing on the first such date to occur after the Effective Date,
and (ii) with respect to any Offshore Rate Loan, the last day of each Interest
Period applicable to such Loan; provided that in the case of each Interest
Period of six months "Interest Payment Date" shall also include the date that is
three months after the commencement of such Interest Period.

     "INTEREST PERIOD" has the meaning assigned to that term in subsection 2.2B.

     "INTEREST RATE AGREEMENT" means any interest rate swap agreement, interest
rate cap agreement, interest rate collar agreement or other similar agreement or
arrangement.

     "INTEREST RATE DETERMINATION DATE" means, (i) with respect to any Interest
Period relating to any Loan (other than Loans denominated in Sterling), the
second Business Day prior to the first day of such Interest Period, and (ii)
with respect to any Interest Period relating to any Loan denominated in
Sterling, the first day of such Interest Period.

     "INTERNAL REVENUE CODE" means the Internal Revenue Code of 1986, as amended
to the date hereof and from time to time hereafter, and any successor statute,
and any similar or comparable laws in a jurisdiction outside of the United
States applicable to Company or any of its Subsidiaries.

                                       27
<PAGE>

     "INVENTORY" means, with respect to a Person, all goods, merchandise and
other personal property which are held by such Person for sale or lease,
including those held for display or demonstration or out on lease or consignment
or to be furnished under a contract of service, including without limitation
(but without duplication) raw materials, components, works in process, finished
goods (including without limitation all completed offset newspaper press
systems, insert web offset press systems and commercial web offset printing
presses, or accessories thereto, and other related goods and merchandise, in
each case constituting finished goods which are held for sale or lease by such
Person, including those held for display or demonstration), spare parts
(including without limitation all components, goods, merchandise or spare parts
relating to press equipment held for sale or lease by such Person in connection
with the servicing, maintenance or repair of finished goods sold or leased by
such Person), or other materials used or consumed, or to be used or consumed, in
the business of such Person; provided that "Inventory" shall not include any
materials or other items that would otherwise constitute "Equipment".

     "INVESTMENT" means (i) any direct or indirect purchase or other acquisition
by Company or any of its Subsidiaries of, or of a beneficial interest in, any
Securities of any other Person (other than a Person that prior to such purchase
or acquisition was a wholly-owned Domestic Subsidiary of Company), (ii) any
direct or indirect redemption, retirement, purchase or other acquisition for
value, by any Subsidiary of Company from any Person other than Company or any of
its Subsidiaries, of any equity Securities of such Subsidiary, or (iii) any
direct or indirect loan, advance (other than advances to employees for moving,
entertainment and travel expenses, drawing accounts and similar expenditures in
the ordinary course of business) or capital contribution by Company or any of
its Subsidiaries to any other Person other than a wholly-owned Domestic
Subsidiary of Company, including all indebtedness and accounts receivable from
that other Person that are not current assets or did not arise from sales to
that other Person in the ordinary course of business. The amount of any
Investment shall be the original cost of such Investment plus the cost of all
additions thereto and minus returns of capital thereon, without any adjustments
for increases or decreases in value, or write-ups, write-downs or write-offs
with respect to such Investment. The definition of "INVESTMENT" shall not
include any Indebtedness or Accounts that are current assets and that arose from
sales of goods and services in the ordinary course of business and consistent
with the past practices of Company and its Subsidiaries.

     "ISSUING LENDER" means, with respect to any Letter of Credit, the Lender
which agrees or is otherwise obligated to issue such Letter of Credit,
determined as provided in subsection 3.1B(ii).

     "JAPANESE INDEMNIFYING LENDER" means each financial institution that is
designated as a Japanese Indemnifying Lender on Schedule 2.1 annexed hereto, and
each financial institution which is designated, with the approval of
Administrative Agent, as a Japanese Indemnifying Lender in an Assignment
Agreement.

                                       28
<PAGE>

     "JAPANESE LENDER" and "JAPANESE LENDERS" means the Lenders that have
Japanese Tranche B Revolving Loan Commitments or that have Japanese Tranche B
Revolving Loans outstanding, together with their successors and permitted
assigns pursuant to subsection 10.1.

     "JAPANESE TRANCHE B REVOLVING LOAN COMMITMENT" means the commitment of a
Japanese Lender (i) to make Japanese Tranche B Revolving Loans to Goss Japan
pursuant to subsection 2.1A(ii)(b) and (ii) to issue and/or purchase
participations in Tranche B Letters of Credit for the account of Goss Japan
pursuant to Section 3, and "JAPANESE REVOLVING LOAN COMMITMENTS" means such
commitments of all such Lenders in the aggregate.

     "JAPANESE TRANCHE B REVOLVING LOAN EXPOSURE" means, with respect to any
Japanese Lender as of any date of determination (i) prior to the termination of
the Japanese Tranche B Revolving Loan Commitments, that Lender's Japanese
Tranche B Revolving Loan Commitment and (ii) after the termination of the
Japanese Tranche B Revolving Loan Commitments, the sum of (a) the aggregate
outstanding principal amount of the Japanese Tranche B Revolving Loans of that
Lender plus (b) in the event that Lender is an Issuing Lender, the aggregate
Tranche B Letter of Credit Usage in respect of all Tranche B Letters of Credit
issued by that Lender for the benefit of Goss Japan (in each case net of any
participations purchased by other Lenders in such Tranche B Letters of Credit or
any unreimbursed drawings thereunder) plus (c) the aggregate amount of all
participations purchased by that Lender in any outstanding Tranche B Letters of
Credit for the benefit of Goss Japan or any unreimbursed drawings under any such
Tranche B Letters of Credit.

     "JAPANESE TRANCHE B REVOLVING LOANS" means the Loans made by Lenders to
Goss Japan pursuant to subsection 2.1A(ii)(b).

     "JOINT VENTURE" means a joint venture, partnership, limited liability
company or other similar arrangement, whether in corporate, partnership, limited
liability company or other legal form; provided that in no event shall any
corporate Subsidiary of any Person be considered to be a Joint Venture to which
such Person is a party.

     "LENDER" and "LENDERS" means the Domestic Lenders, the UK Lenders, the
French Lenders or the Japanese Lenders or any combination thereof; provided that
the term "Lenders," when used in the context of a particular Commitment, shall
mean Lenders having that Commitment.

     "LENDING OFFICE" means, with respect to any Lender, the office or offices
of such Lender specified as its "Lending Office" or "Domestic Lending Office" or
"Offshore Lending Office", as the case may be, on the signature pages hereof, or
such other office or offices as such Lender may from time to time notify
Borrowers and Administrative Agent.

     "LETTER OF CREDIT" or "LETTERS OF CREDIT" means Tranche A Letters of Credit
or Tranche B Letters of Credit or both.

                                       29
<PAGE>

     "LETTER OF CREDIT USAGE" means the Tranche A Letter of Credit Usage or the
Tranche B Letter of Credit Usage or both.

     "LIEN" means any lien, mortgage, pledge, assignment, security interest,
charge or encumbrance of any kind (including any conditional sale or other title
retention agreement, any lease in the nature thereof, and any agreement to give
any security interest) and any option, trust or other preferential arrangement
having the practical effect of any of the foregoing.

     "LOAN" or "LOANS" means one or more of the Term Loans, the Revolving Loans
or the Swing Line Loans or any combination thereof.

     "LOAN DOCUMENTS" means this Agreement, the Notes, the Letters of Credit
(and any applications for, or reimbursement agreements or other documents or
certificates executed by a Borrower in favor of an Issuing Lender relating to,
the Letters of Credit), the Guaranties and the Collateral Documents and, solely
for purposes of the use of the term "Loan Documents" in the definition of the
term "Obligations," the Hedging Agreements to which a Loan Party and any Lender
or any of its Affiliates is a party.

     "LOAN PARTIES" means each of the Borrowers, the Guarantors or any of
Company's Subsidiaries executing any other Loan Document.

     "LOCAL TIME" means (i) with respect to Base Rate Loans, New York time, and
(ii) with respect to Offshore Rate Loans, London time.

     "MARGIN STOCK" has the meaning assigned to that term in Regulation U of the
Board of Governors of the Federal Reserve System as in effect from time to time.

     "MARKS" and the sign "DM" mean the lawful money of the Federal Republic of
Germany.

     "MASTER ASSIGNMENT AGREEMENT" means that certain Master Assignment
Agreement, substantially in the form of Exhibit XX annexed hereto, among
Company, the lenders under the Existing Credit Agreement, the Lenders under this
Agreement and Administrative Agent, pursuant to which all lenders under the
Existing Credit Agreement assign (or are deemed under the Reorganization Plan to
have assigned) their loans and commitments thereunder to Administrative Agent,
and Administrative Agent assigns to each Lender under this Agreement, and such
Lender purchases from Administrative Agent, the Loans and Commitments as set
forth in Schedule 2.1 annexed hereto.

     "MATERIAL ADVERSE EFFECT" means (i) a material adverse effect upon the
business, operations, properties, assets, condition (financial or otherwise) or
prospects of (a) Company and its Domestic Subsidiaries, taken as a whole, (b)
Goss UK and its Subsidiaries, taken as a whole, (c) Goss France and its
Subsidiaries, taken as a whole, (d) Goss Japan and its Subsidiaries, taken as a
whole, or (e) Company and its Subsidiaries, taken as a whole; provided that in
the event of the occurrence of a material adverse effect as described in the
foregoing clauses (a), (b), (c) or

                                       30
<PAGE>

(d), such Borrower shall have five days after receipt of notice from
Administrative Agent to cure such material adverse effect (without causing a
material adverse effect for any other Borrower) before it shall become a
"Material Adverse Effect" as defined in this clause (i); (ii) the impairment in
any material respect of the ability of any Loan Party to perform, or of
Administrative Agent or any Lender to enforce, the Obligations; or (iii) a
material adverse effect on the value of the Collateral or the amount which
Administrative Agent or any Lender would be likely to receive (after giving
consideration to delays in payment and costs of enforcement) in the liquidation
of the Collateral.

     "MATERIAL CONTRACT" means any contract or other arrangement to which any
Borrower or any of its Subsidiaries is a party (other than the Loan Documents)
for which breach, nonperformance, cancellation or failure to renew could
reasonably be expected to have a Material Adverse Effect.

     "MATERIAL LEASEHOLD" means a Real Property Asset consisting of a leasehold
interest in an Operating Lease or a Capital Lease which is reasonably determined
by Administrative Agent to be of material value as collateral for the
Obligations.

     "MATERIAL SUBSIDIARY" means any Subsidiary of New Holdings that (i) owns 5%
or more of the assets of New Holdings and its Subsidiaries, measured on a
consolidated basis, or (ii) accounts for 5% or more of Consolidated Net Income.

     "MAXIMUM LETTER OF CREDIT AMOUNT" means, as of any date of determination,
for all Borrowers, the Dollar Equivalent of $75,000,000 less the aggregate
amount of all reductions made to all Tranche A Revolving Loan Commitments and
Tranche B Revolving Loan Commitments pursuant to subsections 2.4A(iii), 2.4B(ii)
and 2.4.B(iii), as the case may be.

     "MAXIMUM TERM LOAN COMMITMENTS" means, as of any date of determination, (i)
for Company, the Dollar Equivalent of the Domestic Term Loan Commitments
available to Company less the aggregate amount of all reductions made to
Domestic Term Loan Commitments pursuant to subsections 2.4A(i) and 2.4B(iii),
(ii) for Goss UK, the Dollar Equivalent of the UK Term Loan Commitments
available to Goss UK less the aggregate amount of all reductions made to UK Term
Loan Commitments pursuant to subsections 2.4A(i) and 2.4B(iii), and (iii) for
Company and Goss UK together, $150,000,000 less the aggregate amount of all
reductions made to all Term Loan Commitments pursuant to subsections 2.4A(i) and
2.4B(iii).

     "MAXIMUM TRANCHE A REVOLVING LOAN COMMITMENTS" means, as of any date of
determination, for Company, the Dollar Equivalent of $50,000,000 less the
aggregate amount of all reductions made to all Tranche A Revolving Loan
Commitments pursuant to subsections 2.4A(iii), 2.4B(ii) and 2.4.B(iii).

     "MAXIMUM TRANCHE B REVOLVING LOAN COMMITMENTS" means, as of any date of
determination, (i) for Company, the Dollar Equivalent of the Tranche B Revolving
Loan Commitments available to Company as set forth in the most recent Notice of
Allocation

                                       31
<PAGE>

delivered by Borrowers to Administrative Agent pursuant to subsection
2.1A(ii)(c), (ii) for Goss UK, the Dollar Equivalent of the Tranche B Revolving
Loan Commitments available to Goss UK as set forth in the most recent Notice of
Allocation delivered by Borrowers to Administrative Agent pursuant to subsection
2.1A(ii)(c), which Maximum Tranche B Revolving Loan Commitments for Goss UK
shall not exceed the Dollar Equivalent of $35,000,000, (iii) for Goss France,
the Dollar Equivalent of the Tranche B Revolving Loan Commitments available to
Goss France as set forth in the most recent Notice of Allocation delivered by
Borrowers to Administrative Agent pursuant to subsection 2.1A(ii)(c), which
Maximum Tranche B Revolving Loan Commitments for Goss France shall not exceed
the Dollar Equivalent of $500,000, (iv) for Goss Japan, the Dollar Equivalent of
the Tranche B Revolving Loan Commitments available to Goss Japan as set forth in
the most recent Notice of Allocation delivered by Borrowers to Administrative
Agent pursuant to subsection 2.1A(ii)(c), which Maximum Tranche B Revolving Loan
Commitments for Goss Japan shall not exceed the Dollar Equivalent of
$35,000,000, and (v) for all Borrowers, the Dollar Equivalent of $50,000,000
less the aggregate amount of all reductions made to all Tranche B Revolving Loan
Commitments pursuant to subsections 2.4A(iii), 2.4B(ii) and 2.4.B(iii).

     "MINIMUM AMOUNT" means (i) in the case of Swing Line Loans, $250,000 and
integral multiples of $100,000 in excess of that amount, (ii) in the case of
Base Rate Loans and Offshore Rate Loans denominated in Dollars and having a
particular Interest Period, $1,000,000 and integral multiples of $100,000 in
excess of that amount, (iii) in the case of Offshore Rate Loans denominated in
Sterling and having a particular Interest Period, (pound)1,000,000 and integral
multiples of (pound)100,000 in excess of that amount, (iv) in the case of
Offshore Rate Loans denominated in Francs and having a particular Interest
Period, FF6,000,000 and integral multiples of FF600,000 in excess of that
amount, (v) in the case of Offshore Rate Loans denominated in Marks and having a
particular Interest Period, DM3,000,000 and integral multiples of DM300,000 in
excess of that amount, and (vi) in the case of Offshore Rate Loans denominated
in Yen and having a particular Interest Period, (Y)150,000,000 and integral
multiples of (Y)15,000,000 in excess of that amount.

     "MORTGAGE" means an instrument (whether designated as a deed of trust, a
trust deed or a mortgage or by any similar title) executed and delivered by any
Borrower or any of its Subsidiaries encumbering a Fee Property or a Material
Leasehold, as such instrument may be amended, supplemented or otherwise modified
from time to time, and "MORTGAGES" means all such instruments, including the
Mortgages set forth on Schedule 5.5 and any Additional Mortgages (as defined in
subsection 6.9), collectively.

     "MORTGAGED PROPERTY" means any property so identified on Schedule 5.5 or an
Additional Mortgaged Property (as defined in subsection 6.9).

     "MULTIEMPLOYER PLAN" means a "multiemployer plan", as defined in Section
3(37) of ERISA, to which Company or any of its ERISA Affiliates is contributing,
or ever has contributed, or to which Company or any of its ERISA Affiliates has,
or ever has had, an obligation to contribute.

                                       32
<PAGE>

     "NET ASSET SALE PROCEEDS" means, with respect to any Asset Sale, Cash
payments (including any Cash received by way of deferred payment pursuant to, or
by monetization of, a note receivable or otherwise, but only as and when so
received) received from such Asset Sale, net of any bona fide direct costs
incurred in connection with such Asset Sale, including without limitation (i)
income taxes reasonably estimated to be actually payable as a result of such
Asset Sale within two years of the date of such Asset Sale and (ii) payment of
the outstanding principal amount of, premium or penalty, if any, and interest on
any Indebtedness (other than the Loans) that is secured by a Lien on the stock
or assets in question and that is required to be repaid under the terms thereof
as a result of such Asset Sale.

     "NET DEBT PROCEEDS" has the meaning assigned to that term in subsection
2.4B(iii).

     "NET EQUITY PROCEEDS" has the meaning assigned to that term in subsection
2.4B(iii).

     "NET INSURANCE/CONDEMNATION PROCEEDS" means any Cash payments or proceeds
received by Administrative Agent or by any Borrower or any of such Borrower's
Subsidiaries (i) under any business interruption or casualty insurance policy in
respect of a covered loss thereunder or (ii) as a result of the taking of any
assets of any Borrower or any of its respective Subsidiaries by any Person
pursuant to the power of eminent domain, condemnation or otherwise, or pursuant
to a sale of any such assets to a purchaser with such power under threat of such
a taking, in each case net of any actual and reasonable documented costs
incurred by such Borrower or any of its respective Subsidiaries in connection
with the adjustment or settlement of any claims of such Borrower or such
Subsidiary in respect thereof.

     "NET PROCEEDS AMOUNT" has the meaning assigned to that term in subsection
2.4B(iii).

     "NET REVERSION AMOUNT" has the meaning assigned to that term in subsection
2.4B(iii)(c).

     "NET SETTLEMENT PROCEEDS" means any Cash payments or proceeds received by
any Borrower or any of such Borrower's Subsidiaries as a result of or in
connection with any settlement of any claim, action or proceeding, before any
court, arbitrator or other governmental body involving such Borrower or such
Subsidiary (including any trade action existing as of the Effective Date), net
of legal fees relating to such settlement and income taxes reasonably estimated
to be actually payable as a result of such settlement within two years of the
date of such settlement.

     "NEW HOLDINGS" means Goss Holdings, Inc., a corporation organized under the
laws of the State of Delaware and successor by merger to Old Holdings.

     "NEW HOLDINGS COMMON STOCK" means the voting and nonvoting common stock of
New Holdings.

                                       33
<PAGE>

     "NEW HOLDINGS SUBORDINATED NOTE INDENTURE" means the subordinated note
indenture dated as of November 19, 1999 by and between New Holdings and HSBC
Bank USA, as Trustee, pursuant to which the New Holdings Subordinated Notes are
issued, as such indenture may be amended from time to time to the extent
permitted under subsection 7.13.

     "NEW HOLDINGS SUBORDINATED NOTES" means those certain 12.25% subordinated
notes due 2005 in an aggregate principal amount of $112,500,000 issued by New
Holdings to the Old Noteholders pursuant to the New Holdings Subordinated Note
Indenture, with interest payable by New Holdings only in additional New Holdings
Subordinated Notes until the interest payable as of April __, 2002, as such
notes may be amended from time to time to the extent permitted under subsection
7.13.

     "NON-FRENCH LENDER" has the meaning assigned to that term in subsection
2.7B(iii).

     "NON-JAPANESE LENDER" has the meaning assigned to that term in subsection
2.7B(iii).

     "NON-US LENDER" has the meaning assigned to that term in subsection
2.7B(iii).

     "NOTES" means one or more of the Term Notes, the Revolving Notes or the
Swing Line Notes or any combination thereof.

     "NOTICE OF ALLOCATION" means a notice substantially in the form of Exhibit
XVII annexed hereto delivered by Borrowers to Administrative Agent pursuant to
subsection 2.1A(ii)(c) for the purpose of (i) allocating the Tranche B Revolving
Loan Commitments among the Domestic Tranche B Revolving Loan Commitments, the UK
Tranche B Revolving Loan Commitments, the French Tranche B Revolving Loan
Commitments and the Japanese Tranche B Revolving Loan Commitments, and (ii)
suballocating such Tranche B Revolving Loan Commitment amounts for each Borrower
between the Tranche B Revolving Loan Suballocation and Tranche B Letters of
Credit Suballocation for each Borrower.

     "NOTICE OF BORROWING" means a notice substantially in the form of Exhibit I
annexed hereto delivered by a Borrower to Administrative Agent pursuant to
subsection 2.1B with respect to a proposed borrowing.

     "NOTICE OF CONVERSION/CONTINUATION" means a notice substantially in the
form of Exhibit II annexed hereto delivered by a Borrower to Administrative
Agent pursuant to subsection 2.2D with respect to a proposed conversion or
continuation of the applicable basis for determining the interest rate with
respect to the Loans specified therein.

     "OBLIGATIONS" means all obligations of every nature of each Loan Party from
time to time owed to Administrative Agent or any Lender under the Loan
Documents, whether for principal, interest (including interest accruing on or
after the occurrence of any of the events

                                       34
<PAGE>

described in subsection 8.6 or 8.7 whether or not allowed), reimbursement of
amounts drawn under Letters of Credit, fees, expenses, indemnification or
otherwise.

     "OFFICERS' CERTIFICATE" means, as applied to any corporation, a certificate
executed on behalf of such corporation by its chairman of the board (if an
officer) or its president or one of its vice presidents (or comparable officer
in the case of Goss UK, Goss France or Goss Japan) and by its chief financial
officer or its treasurer; provided that any Officers' Certificate required to be
delivered by any Loan Party on the Effective Date may be executed on behalf of
such Loan Party by any one of the foregoing officers; provided further that
every Officers' Certificate with respect to the compliance with a condition
precedent to the making of any Loans hereunder shall include (i) a statement
that the officer or officers making or giving such Officers' Certificate have
read such condition and any definitions or other provisions contained in this
Agreement relating thereto, (ii) a statement that, in the opinion of the
signers, they have made or have caused to be made such examination or
investigation as is necessary to enable them to express an informed opinion as
to whether or not such condition has been complied with, and (iii) a statement
as to whether, in the opinion of the signers, such condition has been complied
with.

     "OFFSHORE CURRENCY" means Sterling, Francs, Marks, or Yen.

     "OFFSHORE CURRENCY LOANS" means any Loans denominated in an Offshore
Currency.

     "OFFSHORE RATE LOANS" means Loans bearing interest at rates determined by
reference to the Adjusted Offshore Rate as provided in subsection 2.2A.

     "OLD HOLDINGS" means GGS Holdings, Inc., a Delaware corporation.

     "OLD NOTEHOLDERS" has the meaning assigned to such term in the Recitals to
this Agreement.

     "OLD NOTES" has the meaning assigned to such term in the Recitals to this
Agreement.

     "OPERATING LEASE" means, as applied to any Person, any lease (including,
without limitation, leases that may be terminated by the lessee at any time) of
any property (whether real, personal or mixed) that is not a Capital Lease other
than any such lease under which that Person is the lessor.

     "PBGC" means the Pension Benefit Guaranty Corporation (or any successor
thereto), or any similar or comparable governmental agency or authority in a
jurisdiction outside of the United States applicable to Company or any of its
Subsidiaries.

     "PENSION PLAN" means any Employee Benefit Plan, other than a Multiemployer
Plan, which is subject to Section 412 of the Internal Revenue Code or Section
302 of ERISA.

                                       35
<PAGE>

     "PERMITTED DISCRETION" means Administrative Agent's good faith judgment
based upon any factor which it believes in good faith: (i) will or could
adversely affect the value of any Collateral, the enforceability or priority of
Administrative Agent's Liens thereon or the amount which Administrative Agent
and Lenders would be likely to receive (after giving consideration to delays in
payment and costs of enforcement) in the liquidation of such Collateral; (ii)
suggests that any collateral report or financial information delivered to
Administrative Agent by any Person on behalf of any Loan Party is incomplete,
inaccurate or misleading in any material respect; (iii) materially increases the
likelihood of a bankruptcy, reorganization or other insolvency proceeding
involving any Borrower or any of its Subsidiaries or any of the Collateral; or
(iv) creates or reasonably could be expected to create a Potential Event of
Default or Event of Default. In exercising such judgment, Administrative Agent
may consider such factors already included in or tested by the definition of
Eligible Accounts Receivable, Eligible Inventory, Eligible Equipment and
Eligible Real Property, as well as any of the following: (i) the financial and
business climate of any Borrower's industry and general macroeconomic
conditions, (ii) changes in collection history and dilution with respect to any
such Borrower's Accounts, (iii) changes in demand for, and pricing of, any such
Borrower's Inventory, (iv) changes in any concentration of risk with respect to
such Accounts, Inventory, Equipment or Real Property Assets, and (v) any other
factors that change the credit risk of lending to any Borrower on the security
of such Accounts, Inventory, Equipment or Real Property Assets, including
without limitation any foreign exchange risks or uncertainties. The burden of
establishing lack of good faith shall be on Borrowers.

     "PERMITTED ENCUMBRANCES" means the following types of Liens (other than any
such Lien imposed pursuant to Section 401(a)(29) or 412(n) of the Internal
Revenue Code or by ERISA):

          (i) Liens for taxes, assessments or governmental charges or claims the
     payment of which is not, at the time, required by subsection 6.3 (other
     than any Lien relating to or imposed in connection with any Environmental
     Claim);

          (ii) statutory Liens of landlords and Liens of carriers, warehousemen,
     mechanics and materialmen and other Liens imposed by law incurred in the
     ordinary course of business for sums not yet delinquent or being contested
     in good faith, if such reserve or other appropriate provision, if any, as
     shall be required by GAAP shall have been made therefor;

          (iii) Liens incurred or deposits made in the ordinary course of
     business in connection with workers' compensation, unemployment insurance
     and other types of social security, or to secure the performance of
     tenders, statutory obligations, surety and appeal bonds, bids, leases,
     government contracts, trade contracts, performance and return-of-money
     bonds and other similar obligations (exclusive of obligations for the
     payment of borrowed money); provided, however, that "Permitted
     Encumbrances" shall not include Liens for the benefit of any customer of
     Company or any of its Subsidiaries or for

                                       36
<PAGE>

     any advances, deposits, progress payments or other similar payments made to
     Company or any of its Subsidiaries by a customer;

          (iv) any attachment or judgment Lien not constituting an Event of
     Default under subsection 8.8 (other than any Lien relating to or imposed in
     connection with any Environmental Claim);

          (v) leases or subleases granted to others not interfering in any
     material respect with the ordinary conduct of the business of Company or
     any of its Subsidiaries;

          (vi) easements, rights-of-way, restrictions, covenants, declarations,
     encroachments, minor defects or irregularities in title, and other similar
     charges or encumbrances not interfering in any material respect with the
     ordinary conduct of the business of Company or any of its Subsidiaries;

          (vii) any (a) restriction or encumbrance that the interest or title of
     a lessor or sublessor may be subject to, or (b) subordination of the
     interest of the lessee or sublessee under a lease to any restriction or
     encumbrance referred to in the preceding clause (a);

          (viii) Liens arising from filing UCC financing statements relating
     solely to leases permitted by this Agreement;

          (ix) Liens in favor of customs and revenue authorities arising as a
     matter of law to secure payment of customs duties in connection with the
     importation of goods;

          (x) licenses of patents, trademarks and other intellectual property
     rights granted by Company or any of its Subsidiaries in the ordinary course
     of business and not interfering in any material respect with the ordinary
     conduct of the business of Company or such Subsidiary; and

          (xi) the title exceptions approved by Administrative Agent and shown
     on Schedule B of the Mortgages set forth on Schedule 5.5.

     "PERSON" means and includes natural persons, corporations, limited
partnerships, general partnerships, limited liability companies, limited
liability partnerships, joint stock companies, Joint Ventures, associations,
companies, trusts, banks, trust companies, land trusts, business trusts or other
organizations, whether or not legal entities, and governments and agencies and
political subdivisions thereof.

     "PHASE I REPORT" has the meaning assigned to that term in subsection 6.7B.

     "POTENTIAL EVENT OF DEFAULT" means a condition or event that, after notice
or passage of time or both, would constitute an Event of Default.

     "PRIME RATE" means the rate that BTCo announces from time to time as its
prime lending rate as in effect from time to time. The Prime Rate is a reference
rate and does not

                                       37
<PAGE>

necessarily  represent the lowest or best rate actually charged to any customer.
Administrative  Agent or any other  Lender  may make  commercial  loans or other
loans at rates of interest at, above or below the Prime Rate.

     "PRO RATA SHARE" means, on any date of determination,

          (i) with respect to all payments, computations and other matters
     relating to a Type of Term Loan Commitment or a Type of Term Loan of any
     Lender, the percentage obtained by dividing (x) the Term Loan Exposure of
     such Type of that Lender by (y) the aggregate Term Loan Exposure of such
     Type of all Lenders;

          (ii) with respect to all payments, computations and other matters
     relating to a Type of Revolving Loan Commitment or a Type of Revolving
     Loans of any Lender or any Letters of Credit of such Type or participations
     in such Revolving Loans or Letters of Credit purchased by any Lender, the
     percentage obtained by dividing (x) the Revolving Loan Exposure of such
     Type of that Lender by (y) the aggregate Revolving Loan Exposure of such
     Type of all Lenders; and

          (iii) for all other purposes with respect to each Lender, the
     percentage obtained by dividing (x) the Term Loan Exposure of all Types of
     that Lender plus the Revolving Loan Exposure of all Types of that Lender by
     (y) the sum of the aggregate Term Loan Exposure of all Types of all Lenders
     plus the aggregate Revolving Loan Exposure of all Types of all Lenders;

in any such case as the applicable percentage may be adjusted by assignments
permitted pursuant to subsection 10.1. The initial Pro Rata Share of each Lender
is set forth opposite the name of that Lender in Schedule 2.1 annexed hereto.

     "PUBLIC OFFERING" means any bona fide primary underwritten public offering
of New Holdings Common Stock or Company Common Stock pursuant to an effective
registration statement under the Securities Act (other than pursuant to a
registration statement on Form S-8 or otherwise relating to equity securities
issuable exclusively under any employee benefit plan of New Holdings).

     "REAL PROPERTY ASSETS" means all real property from time to time owned in
fee by any Loan Party and all rights, title and interest in and to any and all
leases of real property as to which any Loan Party has a leasehold or license
interest, including without limitation any such fee or leasehold or license
interests acquired by any Loan Party after the date hereof.

     "REFINANCINGS" has the meaning assigned to such term in the Recitals to
this Agreement.

     "REFUNDED SWING LINE LOANS" has the meaning assigned to that term in
subsection 2.1A(iii).

                                       38
<PAGE>

     "REGION" has the meaning assigned to that term in subsection 6.1(i).

     "REGISTER" has the meaning assigned to that term in subsection 2.1D.

     "REGULATION D" means Regulation D of the Board of Governors of the Federal
Reserve System, as in effect from time to time, and any similar or comparable
laws in the UK, France or Japan.

     "REIMBURSEMENT DATE" has the meaning assigned to that term in subsection
3.3B.

     "RELEASE" means any release, spill, emission, leaking, pumping, pouring,
injection, escaping, deposit, disposal, discharge, dispersal, dumping, leaching
or migration of Hazardous Materials into the environment (including, without
limitation, the abandonment or disposal of any barrels, containers or other
closed receptacles containing any Hazardous Materials), or into or out of any
Facility, including the movement of any Hazardous Material through the air,
soil, surface water or groundwater.

     "RELEVANT DATE" has the meaning assigned to that term in subsection
2.7B(iii).

     "REORGANIZATION PLAN" means that certain Second Amended Plan of
Reorganization of Goss Graphic Systems, Inc., GGS Holdings, Inc. and Goss
Realty, L.L.C. under Chapter 11 of the Bankruptcy Code dated September 7, 1999.

     "REPLACED LENDER" has the meaning assigned to that term in subsection 2.8B.

     "REPLACEMENT LENDER" has the meaning assigned to that term in subsection
2.8B.

     "REQUEST FOR ISSUANCE OF LETTER OF CREDIT" means a notice substantially in
the form of Exhibit III annexed hereto delivered by a Borrower to Administrative
Agent pursuant to subsection 3.1B(i) with respect to the proposed issuance of a
Letter of Credit.

     "REQUISITE CLASS LENDERS" means, at any time of determination, (i) for the
Class of Lenders having Domestic Tranche A Revolving Loan Exposure, Lenders
having or holding more than a majority of the sum of the aggregate Domestic
Tranche A Revolving Loan Exposure of all Lenders, and (ii) for the Class of
Lenders having Term Loan Exposure and Tranche B Revolving Loan Exposure, Lenders
having or holding more than a majority of the aggregate Term Loan Exposure of
all Lenders plus the aggregate Tranche B Revolving Loan Exposure of all Lenders.

     "REQUISITE LENDERS" means Lenders having or holding a majority of the sum
of the aggregate Term Loan Exposure of all Types of all Lenders plus the
aggregate Revolving Loan Exposure of all Types of all Lenders.

                                       39
<PAGE>

     "RESTRICTED JUNIOR PAYMENT" means (i) any dividend or other distribution,
direct or indirect, on account of any shares of any class of stock of Company
now or hereafter outstanding, except a dividend payable solely in shares of that
class of stock to the holders of that class, (ii) any redemption, retirement,
sinking fund or similar payment, purchase or other acquisition for value, direct
or indirect, of any shares of any class of stock of Company now or hereafter
outstanding, (iii) any payment made to retire, or to obtain the surrender of,
any outstanding warrants, options or other rights to acquire shares of any class
of stock of Company now or hereafter outstanding, and (iv) any payment or
prepayment of principal of, premium, if any, or interest on, or redemption,
purchase, retirement, defeasance (including in-substance or legal defeasance),
sinking fund or similar payment with respect to, any Subordinated Indebtedness.

     "REVOLVING LOAN COMMITMENTS" means the Domestic Tranche A Revolving Loan
Commitments, the Domestic Tranche B Revolving Loan Commitments, the UK Tranche B
Revolving Loan Commitments, the French Tranche B Revolving Loan Commitments or
the Japanese Tranche B Revolving Loan Commitments or any combination thereof.

     "REVOLVING LOAN EXPOSURE" means the Domestic Tranche A Revolving Loan
Exposure, the Domestic Tranche B Revolving Loan Exposure, the UK Tranche B
Revolving Loan Exposure, the French Tranche B Revolving Loan Exposure or the
Japanese Tranche B Revolving Loan Exposure or any combination thereof.

     "REVOLVING LOANS" means the Domestic Tranche A Revolving Loans, the
Domestic Tranche B Revolving Loans, the UK Tranche B Revolving Loans, the French
Tranche B Revolving Loans or the Japanese Tranche B Revolving Loans or any
combination thereof.

     "REVOLVING NOTES" means the Tranche A Revolving Notes and the Tranche B
Revolving Notes.

     "SAME DAY FUNDS" means (i) with respect to disbursements and payments in
Dollars, immediately available funds, and (ii) with respect to disbursements and
payments in an Offshore Currency, same day or other funds as may be determined
by Administrative Agent to be customary in the place of disbursement or payment
for the settlement of international banking transactions in the relevant
Offshore Currency.

     "SECOND PRIORITY" means, with respect to any Lien purported to be created
in any Collateral pursuant to any Collateral Document, that (i) such Lien has
priority over any other Lien (other than First Priority Liens permitted under
this Agreement and the other Loan Documents and those Permitted Encumbrances
that as a matter of statutory law have priority over any other Lien irrespective
of the prior perfection or filing of such other Lien) on such Collateral and
(ii) such Lien is the only Lien (other than First Priority Liens permitted under
this Agreement and the other Loan Documents and Permitted Encumbrances that as a
matter of statutory law have priority over any other Lien irrespective of the
prior perfection or filing of such other Lien) to which such Collateral is
subject.

                                       40
<PAGE>

     "SECURITIES" means any stock, shares, partnership interests, equity
interests, voting trust certificates, certificates of interest or participation
in any profit-sharing agreement or arrangement, whether certificated or
uncertificated, options, warrants, bonds, debentures, notes, or other evidences
of indebtedness, secured or unsecured, convertible, subordinated or otherwise,
or in general any instruments commonly known as "securities" or any certificates
of interest, shares or participations in temporary or interim certificates for
the purchase or acquisition of, or any right to subscribe to, purchase or
acquire, any of the foregoing.

     "SECURITIES ACT" means the Securities Act of 1933, as amended from time to
time, and any successor statute, and any comparable or similar laws in a
jurisdiction outside of the United States applicable to Company or any of its
Subsidiaries.

     "SECURITY AGREEMENT" means each of (i) the Security Agreement executed and
delivered by New Holdings, Company and, if applicable, Domestic Subsidiaries of
Company, and (ii) the Second Amended and Restated Security Agreement executed
and delivered by New Holdings, Company and, if applicable, Domestic Subsidiaries
of Company, in each case on the Effective Date, substantially in the form of
Exhibit XV annexed hereto, or any other security or pledge agreement, document
or instrument with a similar or comparable effect executed by Company and/or any
Foreign Subsidiary that is a Borrower, in form and substance satisfactory to
Administrative Agent, as such Security Agreement may be amended or supplemented
or otherwise modified from time to time, and "SECURITY AGREEMENTS" means all
such Security Agreements, collectively.

     "SOLVENT" means, with respect to any Person, that as of the date of
determination both (A) (i) the then fair saleable value of the property of such
Person is (y) greater than the total amount of liabilities (including contingent
liabilities) of such Person and (z) not less than the amount that will be
required to pay the probable liabilities on such Person's then existing debts as
they become absolute and matured considering all financing alternatives and
potential asset sales reasonably available to such Person; (ii) such Person's
capital is not unreasonably small in relation to its business or any
contemplated or undertaken transaction; and (iii) such Person does not intend to
incur, or believe (nor should it reasonably believe) that it will incur, debts
beyond its ability to pay such debts as they become due; and (B) such Person is
"solvent" within the meaning given that term and similar terms under applicable
laws relating to fraudulent transfers and conveyances. For purposes of this
definition, the amount of any contingent liability at any time shall be computed
as the amount that, in light of all of the facts and circumstances existing at
such time, represents the amount that can reasonably be expected to become an
actual or matured liability.

     "STANDBY LETTER OF CREDIT" means any standby letter of credit or similar
instrument issued for the purpose of supporting (i) Indebtedness of Company or
any of its Subsidiaries in respect of industrial revenue or development bonds or
financings; (ii) workers' compensation liabilities of Company or any of its
Subsidiaries; (iii) the obligations of third party insurers of Company or any of
its Subsidiaries arising by virtue of the laws of any jurisdiction requiring
third party insurers; (iv) obligations with respect to Capital Leases or
Operating Leases

                                       41
<PAGE>

of Company or any of its Subsidiaries; (v) performance, payment, deposit or
surety obligations of Company or any of its Subsidiaries, in any case if
required by law or governmental rule or regulation or in accordance with custom
and practice in the industry; and (vi) Currency Agreements that are Hedge
Agreements with respect to customer contracts for the sale of finished goods
entered into in the ordinary course of business and consistent with past
practices; provided that Standby Letters of Credit may not be issued for the
purpose of supporting (a) trade payables or (b) any Indebtedness constituting
"antecedent debt" (as that term is used in the Bankruptcy Code).

     "STERLING" and the sign "(POUND)" mean the lawful money of the UK.

     "STONINGTON" means Stonington Partners, Inc., a corporation organized under
the laws of Delaware.

     "STONINGTON EQUITY CONTRIBUTION" shall have the meaning assigned to such
term in the Recitals to this Agreement.

     "STONINGTON EQUITY SUB" means Stonington Financing II, LLC, a Delaware
limited liability company and an Affiliate of Stonington."

     "SUBORDINATED INDEBTEDNESS" means (i) the Indebtedness of New Holdings
evidenced by the New Holdings Subordinated Notes, and (ii) any other
Indebtedness of New Holdings or the Company (other than Indebtedness to any of
its Subsidiaries) that is subordinated in right of payment to the Obligations
pursuant to documentation containing maturities, amortization schedules,
covenants, defaults, remedies, subordination provisions and other material terms
in form and substance satisfactory to Administrative Agent and Requisite
Lenders.

     "SUBSIDIARY" means, with respect to any Person, any corporation,
partnership, limited liability company, association, joint venture or other
business entity of which more than 50% of the total voting power of shares of
stock or other ownership interests entitled (without regard to the occurrence of
any contingency) to vote in the election of the Person or Persons (whether
directors, managers, trustees or other Persons performing similar functions)
having the power to direct or cause the direction of the management and policies
thereof is at the time owned or controlled, directly or indirectly, by that
Person or one or more of the other Subsidiaries of that Person or a combination
thereof.

     "SUBSIDIARY GUARANTOR" means any Subsidiary that is party to a Subsidiary
Guaranty.

     "SUBSIDIARY GUARANTY" means each of (i) the Subsidiary Guaranty, if any,
executed and delivered by Domestic Subsidiaries on the Effective Date, (ii) the
Second Amended and Restated Subsidiary Guaranty, if any, executed and delivered
by Domestic Subsidiaries on the Effective Date, and (iii) any Subsidiary
Guaranty and any Second Amended and Restated Subsidiary Guaranty to be executed
and delivered by Domestic Subsidiaries from time to time

                                       42
<PAGE>

thereafter in accordance with subsection 6.8A, substantially in the form of
Exhibit XVI annexed hereto, or any other guaranty, document or instrument with a
similar or comparable effect executed by any Foreign Subsidiary other than a
Borrower, in form and substance satisfactory to Administrative Agent, as such
Subsidiary Guaranty may be amended, supplemented or otherwise modified from time
to time, and "SUBSIDIARY GUARANTIES" means all such Subsidiary Guaranties
collectively.

     "SWING LINE LENDER" means BTCo, or any Person serving as successor
Administrative Agent hereunder, in its capacity as Swing Line Lender hereunder.

     "SWING LINE LOAN COMMITMENT" means the Tranche A Swing Line Loan Commitment
or the Tranche B Swing Line Loan Commitment or both.

     "SWING LINE LOANS" means the Tranche A Swing Line Loans or the Tranche B
Swing Line Loans or both.

     "SWING LINE NOTES" means (i) the promissory notes of Company issued
pursuant to subsection 2.1E on the Effective Date and (ii) any promissory notes
issued by Company to any successor Administrative Agent and Swing Line Lender
pursuant to the last sentence of subsection 10.1B(i), in each case substantially
in the form of Exhibit VII annexed hereto, as it may be amended, supplemented or
otherwise modified from time to time.

     "TAX" or "TAXES" means any present or future tax, levy, impost, duty,
charge, fee, deduction or withholding of any nature and whatever called, by
whomsoever, on whomsoever and wherever imposed, levied, collected, withheld or
assessed; provided that "TAX ON THE OVERALL NET INCOME" of a Person shall be
construed as a reference to a tax imposed by the jurisdiction in which that
Person's principal office (and/or, in the case of a Lender, its lending office)
is located or in which that Person is deemed to be doing business on all or part
of the net income, profits or gains of that Person (whether worldwide, or only
insofar as such income, profits or gains are considered to arise in or to relate
to a particular jurisdiction, or otherwise).

     "TAX CREDIT" shall have the meaning assigned to that term in subsection
2.7.B.

     "TERM LOAN COMMITMENTS" means the Domestic Term Loan Commitments or the UK
Term Loan Commitments or any combination thereof.

     "TERM LOAN EXPOSURE" means the Domestic Term Loan Exposure or the UK Term
Loan Exposure or any combination thereof.

     "TERM LOANS" means the Domestic Term Loans or the UK Term Loans or any
combination thereof.

     "TERM NOTES" means (i) the promissory notes of Borrowers issued pursuant to
subsection 2.1E on the Effective Date and (ii) any promissory notes issued by
Borrowers pursuant to the last sentence of subsection 10.1B(i) in connection
with assignments of Term

                                       43
<PAGE>

Loan Commitments and Term Loans of any Lender, in each case substantially in the
form of Exhibit IV annexed hereto, as they may be amended, supplemented or
otherwise modified from time to time.

     "TITLE COMPANY" means First American Title Insurance Company.

     "TOTAL OUTSTANDING TERM LOANS" means, as of any date of determination, the
Dollar Equivalent of the total aggregate principal amount of Term Loans then
outstanding.

     "TOTAL UTILIZATION OF TRANCHE A REVOLVING LOAN COMMITMENTS" means, as at
any date of determination, for Company the Dollar Equivalent of the sum of (i)
the aggregate principal amount of all outstanding Tranche A Revolving Loans made
to Company (other than Tranche A Revolving Loans made for the purpose of
repaying any Refunded Swing Line Loans, or reimbursing the applicable Issuing
Lender for any amount drawn under any Tranche A Letter of Credit but not yet so
applied) plus (ii) the Tranche A Letter of Credit Usage with respect to all
Tranche A Letters of Credit issued for the account of Company plus (iii) the
aggregate principal amount of all outstanding Tranche A Swing Line Loans made to
Company.

     "TOTAL UTILIZATION OF TRANCHE B REVOLVING LOAN COMMITMENTS" means, as at
any date of determination, for any Borrower the Dollar Equivalent of the sum of
(i) the aggregate principal amount of all outstanding Tranche B Revolving Loans
made to such Borrower (other than Tranche B Revolving Loans made for the purpose
of repaying any Refunded Swing Line Loans in the case of Company, or reimbursing
the applicable Issuing Lender for any amount drawn under any Tranche B Letter of
Credit but not yet so applied in the case of all Borrowers) plus (ii) the
Tranche B Letter of Credit Usage with respect to all Tranche B Letters of Credit
issued for the account of such Borrower plus (iii) in the case of Company, the
aggregate principal amount of all outstanding Tranche B Swing Line Loans made to
Company.

     "TRANCHE A BORROWING BASE" means, as at any date of determination, an
aggregate amount equal to:

          (i) eighty-five percent (85%) of Eligible Accounts Receivable of
     Company, plus

          (ii) sixty-five percent (65%) of Eligible Inventory of Company, plus

          (iii) fifty percent (50%) of Eligible Equipment of Company, plus

          (iv) fifty percent (50%) of Eligible Real Property of Company, minus

          (v) the aggregate amount of reserves, if any, established by
     Administrative Agent in the exercise of its Permitted Discretion against
     Eligible Accounts Receivable, Eligible Inventory, Eligible Equipment and
     Eligible Real Property of Company;

                                       44
<PAGE>

provided that Administrative Agent, in the exercise of its Permitted Discretion,
may (a) increase or decrease reserves against Eligible Accounts Receivable,
Eligible Inventory, Eligible Equipment and Eligible Real Property of Company and
(b) reduce the advance rates provided in this definition, or restore such
advance rates to any level equal to or below the advance rates in effect as of
the Effective Date.

     "TRANCHE A LETTER OF CREDIT" or "TRANCHE A LETTERS OF CREDIT" means
Commercial Letters of Credit and Standby Letters of Credit issued or to be
issued by Issuing Lenders for the account of Company with respect to Tranche A
Revolving Loan Commitments pursuant to subsection 3.1.

     "TRANCHE A LETTER OF CREDIT USAGE" means, as at any date of determination,
for Company the Dollar Equivalent of the sum of (i) the maximum aggregate amount
which is or at any time thereafter may become available for drawing under all
Tranche A Letters of Credit then outstanding issued for the account of Company
plus (ii) the aggregate amount of all drawings under such Tranche A Letters of
Credit honored by Issuing Lenders not theretofore reimbursed.

     "TRANCHE A REVOLVING NOTE" means (i) the promissory note of Borrowers
issued pursuant to subsection 2.1E on the Effective Date and (ii) any promissory
note or notes issued by Borrowers pursuant to the last sentence of subsection
10.1B(i) in connection with assignments of Domestic Tranche A Revolving Loan
Commitments and Domestic Tranche A Revolving Loans of any Lender, in each case
substantially in the form of Exhibit V annexed hereto, as they may be amended,
supplemented or otherwise modified from time to time, and "TRANCHE A REVOLVING
NOTES" means all such Tranche A Revolving Notes, collectively.

     "TRANCHE A SWING LINE LOAN COMMITMENT" means the commitment of Swing Line
Lender to make Tranche A Swing Line Loans to Company pursuant to subsection
2.1A(iii).

     "TRANCHE A SWING LINE LOANS" means the Loans made by Swing Line Lender to
Company with respect to the Domestic Tranche A Revolving Loan Commitments
pursuant to subsection 2.1A(iii).

     "TRANCHE B BORROWING BASE" means, as at any date of determination, an
aggregate amount equal to:

          (i) seventy-five percent (75%) of the aggregate stated balance sheet
     amount of all of the Accounts of Company and its Subsidiaries determined on
     a consolidated basis in conformity with GAAP, plus

          (ii) ten percent (10%) of the aggregate stated balance sheet amount of
     all of the Inventory of Company and its Subsidiaries determined on a
     consolidated basis in conformity with GAAP, minus

                                       45
<PAGE>

          (iii) the amount of (1) the aggregate outstanding Domestic Tranche A
     Revolving Loans plus (2) the aggregate Tranche A Letter of Credit Usage
     plus (3) the aggregate outstanding amount of all Tranche A Swing Line
     Loans.

     "TRANCHE B LETTER OF CREDIT" or "TRANCHE B LETTERS OF CREDIT" means
Commercial Letters of Credit and Standby Letters of Credit issued or to be
issued by Issuing Lenders for the account of a Borrower with respect to Tranche
B Revolving Loan Commitments pursuant to subsection 3.1 and the Existing Letters
of Credit.

     "TRANCHE B LETTERS OF CREDIT SUBALLOCATION" means, as of any date of
determination, for any Borrower, the Dollar Equivalent of the amount of Tranche
B Revolving Loan Commitments allocated to such Borrower to be made available for
issuing Tranche B Letters of Credit for the account of such Borrower as set
forth in the most recent Notice of Allocation delivered to Administrative Agent
pursuant to subsection 2.1A(ii)(c); provided that the Tranche B Letters of
Credit Suballocation shall be automatically adjusted in accordance with the
second proviso contained in subsection 2.1A(ii)(c).

     "TRANCHE B LETTER OF CREDIT USAGE" means, as at any date of determination,
for any Borrower the Dollar Equivalent of the sum of (i) the maximum aggregate
amount which is or at any time thereafter may become available for drawing under
all Tranche B Letters of Credit then outstanding issued for the account of such
Borrower plus (ii) the aggregate amount of all drawings under such Tranche B
Letters of Credit honored by Issuing Lenders not theretofore reimbursed.

     "TRANCHE B REVOLVING LOAN COMMITMENTS" means the Domestic Tranche B
Revolving Loan Commitment, the UK Tranche B Revolving Loan Commitments, the
French Tranche B Revolving Loan Commitments or the Japanese Tranche B Revolving
Loan Commitments or any combination thereof.

     "TRANCHE B REVOLVING LOAN EXPOSURE" means the Domestic Tranche B Revolving
Loan Exposure, the UK Tranche B Revolving Loan Exposure, the French Tranche B
Revolving Loan Exposure or the Japanese Tranche B Revolving Loan Exposure or any
combination thereof.

     "TRANCHE B REVOLVING LOAN SUBALLOCATION" means, as of any date of
determination, for any Borrower, the Dollar Equivalent of the amount of Tranche
B Revolving Loan Commitments allocated to such Borrower to be made available for
making Tranche B Revolving Loans to such Borrower as set forth in the most
recent Notice of Allocation delivered to Administrative Agent pursuant to
subsection 2.1A(ii)(c); provided that the Tranche B Revolving Loan Suballocation
shall be automatically adjusted in accordance with the second proviso contained
in subsection 2.1A(ii)(c).

     "TRANCHE B REVOLVING LOANS" means the Domestic Tranche B Revolving Loans,
the UK Tranche B Revolving Loans, the French Tranche B Revolving Loans or the
Japanese Tranche B Revolving Loans or any combination thereof.

                                       46
<PAGE>

     "TRANCHE B REVOLVING NOTE" means (i) the promissory note of Borrowers
issued pursuant to subsection 2.1E on the Effective Date and (ii) any promissory
note or notes issued by Borrowers pursuant to the last sentence of subsection
10.1B(i) in connection with assignments of Domestic Tranche B Revolving Loan
Commitments and Domestic Tranche A Revolving Loans of any Lender, in each case
substantially in the form of Exhibit VI annexed hereto, as they may be amended,
supplemented or otherwise modified from time to time, and "TRANCHE B REVOLVING
NOTES" means all such Tranche B Revolving Notes, collectively.

     "TRANCHE B SWING LINE LOAN COMMITMENT" means the commitment of Swing Line
Lender to make Tranche B Swing Line Loans to Company pursuant to subsection
2.1A(iii).

     "TRANCHE B SWING LINE LOANS" means the Loans made by Swing Line Lender to
Company with respect to the Domestic Tranche B Revolving Loan Commitments
pursuant to subsection 2.1A(iii).

     "TRIGGERING EVENT" means (i) the occurrence and continuation of any Event
of Default under subsection 8.1, 8.6 or 8.7 or (ii) the acceleration of the
maturity of the Obligations as a result of any Event of Default, which
acceleration has not been rescinded in accordance with the provisions of Section
8.

     "TYPE" means:

          (i) with respect to a Commitment, a Domestic Term Loan Commitment, a
     UK Term Loan Commitment, a Domestic Tranche A Revolving Loan Commitment, a
     Domestic Tranche B Revolving Loan Commitment, a UK Tranche B Revolving Loan
     Commitment, a French Tranche B Revolving Loan Commitment, a Japanese
     Tranche B Revolving Loan Commitment, a Tranche A Swing Line Loan Commitment
     or a Tranche B Swing Line Loan Commitment;

          (ii) with respect to a Term Loan Commitment, a Domestic Term Loan
     Commitment or a UK Term Loan Commitment;

          (iii) with respect to a Revolving Loan Commitment, a Domestic Tranche
     A Revolving Loan Commitment, a Domestic Tranche B Revolving Loan
     Commitment, a UK Tranche B Revolving Loan Commitment, a French Tranche B
     Revolving Loan Commitment or a Japanese Tranche B Revolving Loan
     Commitment;

          (iv) with respect to a Swing Line Commitment, a Tranche A Swing Line
     Commitment or a Tranche B Swing Line Commitment;

          (v) with respect to a Loan, a Domestic Term Loan, UK Term Loan, a
     Domestic Tranche A Revolving Loan, a Domestic Tranche B Revolving Loan, a
     UK Tranche B Revolving Loan, a French Tranche B Revolving Loan or a
     Japanese Tranche B Revolving Loan;

                                       47
<PAGE>

          (vi) with respect to a Term Loan, a Domestic Term Loan or a UK Term
     Loan;

          (vii) with respect to a Revolving Loan, a Domestic Tranche A Revolving
     Loan, a Domestic Tranche B Revolving Loan, a French Tranche B Revolving
     Loan and a Japanese Tranche B Revolving Loan;

          (viii) with respect to a Swing Line Loan, a Tranche A Swing Line Loan
     or a Tranche B Swing Line Loan; and

          (ix) with respect to a Letter of Credit, a Tranche A Letter of Credit
     or a Tranche B Letter of Credit.

     "UK" means the United Kingdom of Great Britain and Northern Ireland.

     "UK DOUBLE TAX TREATY LENDER" means a Person resident in a jurisdiction
with a double tax treaty with the UK under which payments of interest by Goss UK
to such Person may be made without withholding or deduction for or on account of
Tax.

     "UK INDEMNIFYING LENDER" means each financial institution that is
designated as a UK Indemnifying Lender on Schedule 2.1 annexed hereto, and each
financial institution which is designated, with the approval of the
Administrative Agent, as a UK Indemnifying Lender in an Assignment Agreement.

     "UK LENDER" and "UK LENDERS" means the Lenders that have UK Term Loan
Commitments or UK Tranche B Revolving Loan Commitments or that have UK Term
Loans or UK Tranche B Revolving Loans outstanding, together with their
successors and permitted assigns pursuant to subsection 10.1.

     "UK QUALIFYING LENDER" means a Person entitled to receive payments of
interest in respect of each UK Revolving Loan under this Agreement free of
withholding or deduction for or on account of UK income tax under Section
349(3)(a) of the Income and Corporation Taxes Act 1988 of the UK.

     "UK TERM LOAN COMMITMENT" means the commitment of a Lender to make Term
Loans to Goss UK pursuant to subsection 2.1A(i)(b), and "UK TERM LOAN
COMMITMENTS" means such commitments of all such Lenders in the aggregate.

     "UK TERM LOAN EXPOSURE" means, with respect to any UK Lender as of any date
of determination, (i) prior to the funding of the UK Term Loans, that Lender's
UK Term Loan Commitment and (ii) after the funding of the UK Term Loans, the
outstanding principal amount of the UK Term Loans of that Lender.

     "UK TERM LOANS" means the Loans made by Lenders to Goss UK pursuant to
subsection 2.1A(i)(b).

                                       48
<PAGE>

     "UK TRANCHE B REVOLVING LOAN COMMITMENT" means the commitment of a UK
Lender (i) to make UK Tranche B Revolving Loans to Goss UK pursuant to
subsection 2.1A(ii)(b) and (ii) to issue and/or purchase participations in
Tranche B Letters of Credit for the account of Goss UK pursuant Section 3, and
"UK TRANCHE B REVOLVING LOAN COMMITMENTS" means such commitments of all such
Lenders in the aggregate.

     "UK TRANCHE B REVOLVING LOAN EXPOSURE" means, with respect to any UK Lender
as of any date of determination (i) prior to the termination of the UK Tranche B
Revolving Loan Commitments, that Lender's UK Tranche B Revolving Loan Commitment
and (ii) after the termination of the UK Tranche B Revolving Loan Commitments,
the sum of (a) the aggregate outstanding principal amount of the UK Tranche B
Revolving Loans of that Lender plus (b) in the event that Lender is an Issuing
Lender, the aggregate Tranche B Letter of Credit Usage in respect of all Tranche
B Letters of Credit issued by that Lender for the benefit of Goss UK (in each
case net of any participations purchased by other Lenders in such Tranche B
Letters of Credit or any unreimbursed drawings thereunder) plus (c) the
aggregate amount of all participations purchased by that Lender in any
outstanding Tranche B Letters of Credit for the benefit of Goss UK or any
unreimbursed drawings under any such Tranche B Letters of Credit.

     "UK TRANCHE B REVOLVING LOANS" means the Loans made by the Lenders to Goss
UK pursuant to subsection 2.1A(ii)(b).

     "YEAR 2000 PROBLEM" means any significant risk that computer hardware,
software or equipment containing embedded microchips essential to the business
or operations of Company or any of its Subsidiaries will not, in the case of
dates or time periods occurring after December 31, 1999, function at least as
effectively and reliably as in the case of times or time periods occurring
before January 1, 2000, including the making of accurate leap year calculations.

     "YEN" and the sign "(Y)" mean the lawful money of Japan.

1.2  ACCOUNTING TERMS; UTILIZATION OF GAAP FOR PURPOSES OF CALCULATIONS UNDER
     AGREEMENT.

     Except as otherwise expressly provided in this Agreement, all accounting
terms not otherwise defined herein shall have the meanings assigned to them in
conformity with GAAP. Financial statements and other information required to be
delivered by Company to Lenders pursuant to clauses (i), (ii), (iii) and (xiii)
of subsection 6.1 shall be prepared in accordance with GAAP (to the extent GAAP
is applicable thereto) as in effect at the time of such preparation (and
delivered together with the reconciliation statements provided for in subsection
6.1(v)). Calculations in connection with the definitions, covenants and other
provisions of this Agreement shall utilize accounting principles and policies in
conformity with those used to prepare the financial statements referred to in
subsection 5.3.

                                       49
<PAGE>

1.3 OTHER DEFINITIONAL PROVISIONS.

     References to "Sections" and "subsections" shall be to Sections and
subsections, respectively, of this Agreement unless otherwise specifically
provided. Any of the terms defined in subsection 1.1 may, unless the context
otherwise requires, be used in the singular or the plural, depending on the
reference. An Event of Default shall "continue" or be "continuing" until such
Event of Default has been waived in accordance with subsection 10.6 hereof.

SECTION 2. AMOUNTS AND TERMS OF COMMITMENTS AND LOANS

2.1 COMMITMENTS; MAKING OF LOANS; THE REGISTER; NOTES.

     A. COMMITMENTS.

     (i) Term Loans. Subject to the terms and conditions of this Agreement and
in reliance upon the representations and warranties of Borrowers set forth
herein, Lenders hereby severally agree (or are deemed under the Reorganization
Plan to have agreed) to make the Term Loans described in subsections 2.1A(i)(a)
and 2.1A(i)(b):

          (a) Domestic Term Loans. Each Domestic Tranche B Lender severally
     agrees to lend to Company on the Effective Date an amount in Dollars not
     exceeding its Pro Rata Share of the aggregate amount of the Domestic Term
     Loan Commitments to be used for the purposes identified in subsection 2.5A.
     The amount of each such Lender's Domestic Term Loan Commitment is set forth
     opposite its name on Schedule 2.1 annexed hereto and the aggregate amount
     of the Domestic Term Loan Commitments is $131,243,580; provided that the
     Domestic Term Loan Commitments of Lenders shall be adjusted to give effect
     to any assignments of the Domestic Term Loan Commitments pursuant to
     subsection 10.1B. Each Lender's Domestic Term Loan Commitment shall expire
     immediately and without further action on November 19, 1999 if the Domestic
     Term Loans are not made on or before that date. Company may make only one
     borrowing under the Domestic Term Loan Commitments. Amounts borrowed under
     this subsection 2.1A(i)(a) and subsequently repaid or prepaid may not be
     reborrowed.

          (b) UK Term Loans. Each UK Lender severally agrees to lend to Goss UK
     on the Effective Date an amount in Sterling not exceeding its Pro Rata
     Share of the aggregate amount of the UK Term Loan Commitments to be used
     for the purposes identified in subsection 2.5A. The amount of each such
     Lender's UK Term Loan Commitment is set forth opposite its name on Schedule
     2.1 annexed hereto and the aggregate amount of the UK Term Loan Commitments
     is $18,756,420; provided that the UK Term Loan Commitments of Lenders shall
     be adjusted to give effect to any assignments of the UK Term Loan
     Commitments pursuant to subsection 10.1B. Each Lender's UK Term Loan
     Commitment shall expire immediately and without further action on November
     19, 1999 if the UK Term Loans are not made on or before that date.

                                       50
<PAGE>

     Goss UK may make only one borrowing under the UK Term Loan Commitments.
     Amounts borrowed under this subsection 2.1A(i)(b) and subsequently repaid
     or prepaid may not be reborrowed.

     (ii) Revolving Loans. Subject to the terms and conditions of this Agreement
and in reliance upon the representations and warranties of Borrowers set forth
herein, Lenders hereby severally agree (or are deemed under the Reorganization
Plan to have agreed) to make the Revolving Loans described in subsections
2.1A(ii)(a) and 2.1A(ii)(b):

          (a) Tranche A Revolving Loan Commitments and Tranche A Revolving
     Loans. Each Domestic Tranche A Lender severally agrees, subject to the
     limitations set forth in subsection 2.1A(ii)(c) and 2.1A(ii)(d), to lend to
     Company from time to time during the period from the Effective Date to but
     excluding the Commitment Termination Date an aggregate amount not exceeding
     its Pro Rata Share of the aggregate amount of the applicable Domestic
     Tranche A Revolving Loan Commitments as in effect from time to time to be
     used for the purposes identified in subsection 2.5A; provided, however,
     that Domestic Tranche A Lenders may not make, and Company may not borrow,
     Domestic Tranche A Revolving Loans (x) on the Effective Date, or (y) at any
     other time so long as an amount equal to or greater than the applicable
     Minimum Amount with respect to Tranche B Revolving Loan Commitments remains
     outstanding at such time. The original amount of each Lender's applicable
     Domestic Tranche A Revolving Loan Commitment is set forth opposite its name
     on Schedule 2.1 annexed hereto and the aggregate original amount of all
     Domestic Tranche A Revolving Loan Commitments is $50,000,000; provided that
     the applicable Domestic Tranche A Revolving Loan Commitments of a Lender
     shall be adjusted to give effect to any assignments of the Tranche A
     Revolving Loan Commitments of such Lender pursuant to subsection 10.1B;
     provided further that the amount of the Domestic Tranche A Revolving Loan
     Commitments shall be reduced from time to time by the amount of any
     reductions thereto made pursuant to subsections 2.4A(iii), 2.4B(ii) and
     2.4B(iii); and provided further that Domestic Tranche A Revolving Loans may
     be made in Dollars only. Each Lender's applicable Domestic Tranche A
     Revolving Loan Commitment shall expire on the Commitment Termination Date
     and all Domestic Tranche A Revolving Loans and all other amounts owed
     hereunder with respect to the Domestic Tranche A Revolving Loans and the
     Domestic Tranche A Revolving Loan Commitments shall be paid in full no
     later than that date; provided that each Lender's applicable Domestic
     Tranche A Revolving Loan Commitment shall expire immediately and without
     further action on November 19, 1999 if the Term Loans are not made on or
     before that date. Subject to the terms and conditions of this Agreement,
     amounts borrowed under this subsection 2.1A(ii)(a) may be repaid and
     reborrowed to but excluding the Commitment Termination Date.

          (b) Tranche B Revolving Loan Commitments and Tranche B Revolving
     Loans. Each Domestic Tranche B Lender, UK Lender, French Lender and
     Japanese Lender severally agrees, subject to the limitations set forth in
     subsection

                                       51
<PAGE>

     2.1A(ii)(c) and 2.1A(ii)(d), to lend to Company, Goss UK, Goss France and
     Goss Japan, respectively, from time to time during the period from the
     Effective Date to but excluding the Commitment Termination Date an
     aggregate amount in the Applicable Currency, when valued in Dollar
     Equivalents, not exceeding its Pro Rata Share of the aggregate amount of
     the applicable Tranche B Revolving Loan Commitments as in effect from time
     to time to be used for the purposes identified in subsection 2.5A. The
     original amount of each Lender's applicable Tranche B Revolving Loan
     Commitment is set forth opposite its name on Schedule 2.1 annexed hereto
     and the Dollar Equivalent of the aggregate original amount of all Tranche B
     Revolving Loan Commitments is $50,000,000, and the Dollar Equivalent of the
     aggregate original amount of the Tranche B Revolving Loan Commitments,
     Tranche B Revolving Loan Suballocations and Tranche B Letters of Credit
     Suballocations allocated to each Borrower are set forth on Schedule 2.1;
     provided that the Tranche B Revolving Loan Commitments, the Tranche B
     Revolving Loan Suballocations and the Tranche B Letters of Credit
     Suballocations shall be adjusted to give effect to any Notice of Allocation
     pursuant to subsection 2.1A(ii)(c); provided further that the applicable
     Tranche B Revolving Loan Commitments of a Lender shall be adjusted to give
     effect to any assignments of the Tranche B Revolving Loan Commitments of
     such Lender pursuant to subsection 10.1B; provided further that the amount
     of the Tranche B Revolving Loan Commitments shall be reduced from time to
     time by the amount of any reductions thereto made pursuant to subsections
     2.4B(ii) and 2.4B(iii); and provided further that (w) Domestic Tranche B
     Revolving Loans may be made only in Dollars or any Offshore Currency, (x)
     UK Tranche B Revolving Loans may be made only in Sterling, Marks or
     Dollars, (y) French Tranche B Revolving Loans may be made only in Francs or
     Dollars, and (z) Japanese Tranche B Revolving Loans may be made only in Yen
     or Dollars. Each Lender's applicable Tranche B Revolving Loan Commitment
     shall expire on the Commitment Termination Date and all Tranche B Revolving
     Loans and all other amounts owed hereunder with respect to the Tranche B
     Revolving Loans and the Tranche B Revolving Loan Commitments shall be paid
     in full no later than that date; provided that each Lender's applicable
     Tranche B Revolving Loan Commitment shall expire immediately and without
     further action on November 19, 1999 if the Term Loans and the Initial
     Tranche B Revolving Loans are not made on or before that date. Subject to
     the terms and conditions of this Agreement, amounts borrowed under this
     subsection 2.1A(ii)(b) may be repaid and reborrowed to but excluding the
     Commitment Termination Date.

          (c) Allocation of Tranche B Revolving Loan Commitments; Notices of
     Allocation. The initial amounts allocated to the Tranche B Revolving Loan
     Commitments, the Tranche B Revolving Loan Suballocations and the Tranche B
     Letters of Credit Suballocations for each Borrower are set forth in
     Schedule 2.1 annexed hereto. Borrowers may change the amount of the Tranche
     B Revolving Loan Commitments, the Tranche B Revolving Loan Suballocations
     and the Tranche B Letters of Credit Suballocations allocated to each
     Borrower at any time by delivering a Notice of Allocation to Administrative
     Agent at least three (3) Business Days prior to the date upon which such
     allocation is to be effective. Such Notice of Allocation shall specify the
     new

                                       52
<PAGE>

     amounts for each of (i) the Domestic Tranche B Revolving Loan Commitments,
     the Tranche B Revolving Loan Suballocation for Company and the Tranche B
     Letters of Credit Suballocation for Company, (ii) the UK Tranche B
     Revolving Loan Commitments, the Tranche B Revolving Loan Suballocation for
     Goss UK and the Tranche B Letters of Credit Suballocation for Goss UK,
     (iii) the French Tranche B Revolving Loan Commitments, the Tranche B
     Revolving Loan Suballocation for Goss France and the Tranche B Letters of
     Credit Suballocation for Goss France, and (iv) the Japanese Tranche B
     Revolving Loan Commitments, the Tranche B Revolving Loan Suballocation for
     Goss Japan and the Tranche B Letters of Credit Suballocation of Goss Japan;
     provided that

               (1) the sum of all Tranche B Revolving Loan Suballocations for
          all Borrowers shall always equal the Maximum Tranche B Revolving Loan
          Commitments for all Borrowers then in effect;

               (2) the sum of the Tranche B Revolving Loan Suballocation for any
          Borrower plus the Tranche B Letters of Credit Suballocation for such
          Borrower shall always equal the Maximum Tranche B Revolving Loan
          Commitments for such Borrower;

               (3) (a) the Tranche B Revolving Loan Suballocation plus the
          Tranche B Letters of Credit Suballocation for Goss UK shall not exceed
          $35,000,000, (b) the Tranche B Revolving Loan Suballocation plus the
          Tranche B Letters of Credit Suballocation for Goss France shall not
          exceed $500,000 and (c) the Tranche B Revolving Loan Suballocation
          plus the Tranche B Letters of Credit Suballocation for Goss Japan
          shall not exceed $35,000,000;

               (4) the sum of the Tranche B Letters of Credit Suballocations for
          all Borrowers shall not exceed (x) the Maximum Letter of Credit Amount
          less (y) the Tranche A Letter of Credit Usage;

               (5) the Tranche B Revolving Loan Commitments for any Borrower
          shall not in any event be reduced to an amount that is less than the
          Total Utilization of Tranche B Revolving Loan Commitments for such
          Borrower;

               (6) the Tranche B Revolving Loan Suballocation for any Borrower
          shall not in any event be reduced to an amount that is less than the
          Dollar Equivalent of the sum of the aggregate principal amount of all
          outstanding Tranche B Revolving Loans made to such Borrower (other
          than Tranche B Revolving Loans made for the purpose of repaying any
          Refunded Tranche B Swing Line Loans in the case of Company, or
          reimbursing the applicable Issuing Lender for any amount drawn under
          any Tranche B Letter of Credit but not yet so applied in the case of
          all Borrowers) plus in the case of Company, the aggregate principal
          amount of all outstanding Tranche B Swing Line Loans made to Company;
          and

                                       53
<PAGE>

               (7) the Tranche B Letters of Credit Suballocation for any
          Borrower shall not in any event be reduced to an amount less than the
          Tranche B Letter of Credit Usage with respect to all Tranche B Letters
          of Credit issued for the account of such Borrower;

        provided further that in the event that Tranche B Revolving Loans are
        made with respect to any Borrower pursuant to subsection 3.3B to
        reimburse an Issuing Lender for honoring a drawing under a Tranche B
        Letter of Credit, then (x) the Tranche B Revolving Loan Suballocation
        for such Borrower shall be increased automatically by an amount equal to
        the amount of such Tranche B Revolving Loans made and (y) the Tranche B
        Letters of Credit Suballocation for such Borrower shall be reduced
        automatically by an equal amount, in each case such increase or decrease
        shall occur without any further action by any Borrower or Administrative
        Agent. Administrative Agent shall promptly notify each Lender of any
        requested change in the allocation of the Tranche B Revolving Loan
        Commitments and the amount of such Lender's Pro Rata Share of the new
        Domestic Tranche B Revolving Loan Commitments, the UK Tranche B
        Revolving Loan Commitments, the French Tranche B Revolving Loan
        Commitments and the Japanese Tranche B Revolving Loan Commitments, as
        the case may be.

               (d) Limitation on Revolving Loans. Anything contained in this
        Agreement to the contrary notwithstanding, the Revolving Loans and the
        Revolving Loan Commitments shall be subject to the limitations that:

                    (1) in no event shall the Total Utilization of Tranche A
               Revolving Commitments for Company exceed (x) the Maximum Tranche
               A Revolving Loan Commitments then in effect or (y) the Tranche A
               Borrowing Base then in effect;

                    (2) in no event shall (x) the Total Utilization of Tranche B
               Revolving Loan Commitments for any Borrower exceed the Maximum
               Tranche B Revolving Loan Commitments for such Borrower then in
               effect, and (y) the Total Utilization of Tranche B Revolving
               Commitments for all Borrowers exceed (i) the Maximum Tranche B
               Revolving Loan Commitments for all Borrowers then in effect or
               (ii) the Tranche B Borrowing Base then in effect; and

                    (3) with respect to any Borrower, in no event shall the
               Dollar Equivalent of the sum of (x) the aggregate principal
               amount of all outstanding Tranche B Revolving Loans made to such
               Borrower (other than Tranche B Revolving Loans made for the
               purpose of repaying any Refunded Swing Line Loans in the case of
               Company, or reimbursing the applicable Issuing Lender for any
               amount drawn under any Tranche B Letter of Credit but not yet so
               applied in the case of all Borrowers) plus (y) in the case of
               Company, the aggregate principal amount of all outstanding
               Tranche B Swing Line Loans made to Company, exceed the Tranche B
               Revolving Loan Suballocation for such Borrower then in effect.

                                       54
<PAGE>

     (iii) Swing Line Loans. Swing Line Lender agrees, subject to the
limitations set forth below with respect to the maximum amount of Swing Line
Loans permitted to be outstanding from time to time, to make a portion of either
the Tranche A Revolving Loan Commitments or the Tranche B Revolving Loan
Commitments available to Company, from time to time during the period from the
Effective Date to but excluding the Commitment Termination Date, by making
Tranche A Swing Line Loans or Tranche B Swing Line Loans, respectively, in
Dollars to Company, in an aggregate amount not exceeding the amount of the
applicable Swing Line Loan Commitment to be used for the purposes identified in
subsection 2.5A, notwithstanding the fact that (x) such Tranche A Swing Line
Loans, when aggregated with Swing Line Lender's outstanding Domestic Tranche A
Revolving Loans and such Swing Line Lender's Pro Rata Share of the Tranche A
Letter of Credit Usage for Company then in effect, may exceed such Swing Line
Lender's Domestic Tranche A Revolving Loan Commitment, or (y) such Tranche B
Swing Line Loans, when aggregated with Swing Line Lender's outstanding Domestic
Tranche B Revolving Loans and such Swing Line Lender's Pro Rata Share of the
Tranche B Letter of Credit Usage for Company then in effect, may exceed such
Swing Line Lender's Domestic Tranche B Revolving Loan Commitment, as the case
may be; provided, however, that at any time Swing Line Lender may make, and
Company may borrow, only one Type of Swing Line Loan; provided further that
Swing Lender may not make, and Company may not borrow, Tranche A Swing Line
Loans so long as an amount equal to the applicable Minimum Amount with respect
to Tranche B Revolving Loan Commitments remains outstanding. The original amount
of the Tranche A Swing Line Loan Commitment is $5,000,000 and the original
amount of the Tranche B Swing Line Loan Commitment is $5,000,000; provided that
any reduction of the Domestic Tranche A Revolving Loan Commitments or Tranche B
Revolving Loan Commitments, as the case may be, made pursuant to subsection
2.4A(iii), 2.4B(ii) or 2.4B(iii) which reduces the aggregate Domestic Tranche A
Revolving Loan Commitments or Tranche B Revolving Loan Commitments,
respectively, to an amount less than the then current amount of the Tranche A
Swing Line Loan Commitment or Tranche B Swing Line Loan Commitment,
respectively, shall result in an automatic corresponding reduction of the
Tranche A Swing Line Loan Commitment or Tranche B Swing Line Loan Commitment,
respectively, to the amount of the Domestic Tranche A Revolving Loan
Commitments, as so reduced, or the Tranche B Revolving Loan Commitments, as so
reduced, respectively, without any further action on the part of Company,
Administrative Agent or the Swing Line Lender. Each Swing Line Loan Commitment
shall expire on the Commitment Termination Date and all Swing Line Loans and all
other amounts owed hereunder with respect to the Swing Line Loans shall be paid
in full no later than that date; provided that each Swing Line Loan Commitment
shall expire immediately and without further action on November 19, 1999 if the
Term Loans are not made on or before that date. Amounts borrowed under this
subsection 2.1A(iii) may be repaid and reborrowed to but excluding the
Commitment Termination Date.

     Anything contained in this Agreement to the contrary notwithstanding, the
Swing Line Loans and the Swing Line Loan Commitments shall be subject to the
limitations that:

                                       55
<PAGE>

          (1) in no event shall the Total Utilization of Tranche A Revolving
     Commitments for Company exceed (x) the Maximum Tranche A Revolving Loan
     Commitments then in effect or (y) the Tranche A Borrowing Base then in
     effect;

          (2) in no event shall (x) the Total Utilization of Tranche B Revolving
     Loan Commitments for Company exceed the Maximum Tranche B Revolving Loan
     Commitments for Company then in effect, and (y) the Total Utilization of
     Tranche B Revolving Commitments for all Borrowers exceed (i) the Maximum
     Tranche B Revolving Loan Commitments for all Borrowers then in effect or
     the Tranche B Borrowing Base then in effect; and

          (3) in no event shall the Dollar Equivalent of the sum of (x) the
     aggregate principal amount of all outstanding Tranche B Revolving Loans
     made to Company (other than Tranche B Revolving Loans made for the purpose
     of repaying any Refunded Swing Line Loans, or reimbursing the applicable
     Issuing Lender for any amount drawn under any Tranche B Letter of Credit
     but not yet so applied) plus (y) the aggregate principal amount of all
     outstanding Tranche B Swing Line Loans made to Company, exceed the Tranche
     B Revolving Loan Suballocation for Company then in effect.

     With respect to Swing Line Loans which have not been voluntarily prepaid by
Company pursuant to subsection 2.4B(i), Swing Line Lender may, at any time in
its sole and absolute discretion, deliver to Administrative Agent (with a copy
to Company), no later than 12:00 P.M. (New York time) on the first Business Day
in advance of the proposed Funding Date, a notice (which shall be deemed to be a
Notice of Borrowing given by Company) requesting the Domestic Tranche A Lenders
or Tranche B Lenders, as the case may be, to make Domestic Tranche A Revolving
Loans or Tranche B Revolving Loans, as the case may be, that are Base Rate Loans
on such Funding Date in an amount equal to the amount of such Swing Line Loans
(the "REFUNDED SWING LINE LOANS") outstanding on the date such notice is given
which Swing Line Lender requests such applicable Lenders to prepay. Anything
contained in this Agreement to the contrary notwithstanding, (i) the proceeds of
such Revolving Loans made by such Lenders other than Swing Line Lender shall be
immediately delivered by Administrative Agent to Swing Line Lender (and not to
Company) and applied to repay a corresponding portion of such Refunded Swing
Line Loans and (ii) on the day such Revolving Loans are made, Swing Line
Lender's Pro Rata Share of such Refunded Swing Line Loans shall be deemed to be
paid with the proceeds of a Revolving Loan made by Swing Line Lender, and such
portion of such Swing Line Loans deemed to be so paid shall no longer be
outstanding as Swing Line Loans and shall no longer be due under the Swing Line
Note of Swing Line Lender but shall instead constitute part of Swing Line
Lender's applicable outstanding Revolving Loans and shall be due under the
applicable Revolving Note of Swing Line Lender. Company hereby authorizes
Administrative Agent and Swing Line Lender to charge Company's accounts with
Administrative Agent and Swing Line Lender (up to the amount available in each
such account) in order to immediately pay Swing Line Lender the amount of such
Refunded Swing Line Loans to the extent the proceeds of such Revolving Loans
made by the applicable Lenders, including the Revolving Loan deemed to be made
by Swing Line Lender, are not sufficient to repay in full such Refunded

                                       56
<PAGE>

Swing Line Loans.  If any portion of any such amount paid (or deemed to be paid)
to Swing Line Lender  should be  recovered by or on behalf of Company from Swing
Line  Lender in  bankruptcy,  by  assignment  for the  benefit of  creditors  or
otherwise, the loss of the amount so recovered shall be ratably shared among all
applicable Lenders in the manner contemplated by subsection 10.5.

     If for any reason (a) the applicable Revolving Loans are not made upon the
request of Swing Line Lender as provided in the immediately preceding paragraph
in an amount sufficient to repay any amounts owed to Swing Line Lender in
respect of any outstanding Swing Line Loans or (b) the applicable Revolving Loan
Commitments are terminated at a time when any Swing Line Loans are outstanding,
each applicable Lender shall be deemed to, and hereby agrees to, have purchased
a participation in such outstanding Swing Line Loans in an amount equal to its
Pro Rata Share (calculated, in the case of the foregoing clause (b), immediately
prior to such termination of the applicable Revolving Loan Commitments) of the
unpaid amount of such Swing Line Loans together with accrued interest thereon.
Upon one Business Day's notice from Swing Line Lender, each applicable Lender
shall deliver to Swing Line Lender an amount equal to its respective
participation in Same Day Funds at the Funding and Payment Office. In the event
any such applicable Lender fails to make available to Swing Line Lender the
amount of such applicable Lender's participation as provided in this paragraph,
Swing Line Lender shall be entitled to recover such amount on demand from such
applicable Lender together with interest thereon at the rate customarily used by
Swing Line Lender for the correction of errors among banks for three Business
Days and thereafter at the Base Rate. In the event Swing Line Lender receives a
payment of any amount in which other applicable Lenders have purchased
participations as provided in this paragraph, Swing Line Lender shall promptly
distribute to each such other applicable Lender its Pro Rata Share of such
payment.

     Anything contained herein to the contrary notwithstanding, each applicable
Lender's obligation to make the applicable Revolving Loans for the purpose of
repaying any Refunded Swing Line Loans pursuant to the second preceding
paragraph and each applicable Lender's obligation to purchase a participation in
any unpaid Swing Line Loans pursuant to the immediately preceding paragraph
shall be absolute and unconditional and shall not be affected by any
circumstance, including (a) any set-off, counterclaim, recoupment, defense or
other right which such applicable Lender may have against Swing Line Lender,
Company or any other Person for any reason whatsoever; (b) the occurrence or
continuation of an Event of Default or a Potential Event of Default; (c) any
adverse change in the business, operations, properties, assets, condition
(financial or otherwise) or prospects of Company or any of its Subsidiaries; (d)
any breach of this Agreement or any other Loan Document by any party thereto; or
(e) any other circumstance, happening or event whatsoever, whether or not
similar to any of the foregoing; provided that such obligations of each
applicable Lender are subject to the condition that (X) Swing Line Lender
believed in good faith that all conditions under Section 4 to the making of the
applicable Refunded Swing Line Loans or other unpaid Swing Line Loans, as the
case may be, were satisfied at the time such Refunded Swing Line Loans or unpaid
Swing Line Loans were made or (Y) the satisfaction of any such condition not
satisfied had been waived in accordance with subsection 10.6 prior to or at the
time such Refunded Swing Line Loans or other unpaid Swing Line Loans were made.

                                       57
<PAGE>

     B. BORROWING MECHANICS.

     (i) Minimum Amounts. Revolving Loans made on any Funding Date (other than
Revolving Loans made pursuant to a request by a Swing Line Lender pursuant to
subsection 2.1A(iii) for the purpose of repaying any Refunded Swing Line Loans
or Revolving Loans made pursuant to subsection 3.3B for the purpose of
reimbursing any Issuing Lender for the amount of a drawing under a Letter of
Credit issued by it) shall be in an aggregate minimum amount equal to the
applicable Minimum Amount. Swing Line Loans made on any Funding Date shall be in
an aggregate minimum amount equal to the applicable Minimum Amount.

     (ii) Notice of Borrowing. Whenever a Borrower desires that Lenders make
Term Loans or Revolving Loans it shall deliver to Administrative Agent a Notice
of Borrowing (1) no later than 12:00 Noon (London time) at least three Business
Days in advance of the proposed Funding Date in the case of an Offshore Rate
Loan or (2) no later than 12:00 Noon (New York time) at least one Business Day
in advance of the proposed Funding Date in the case of a Revolving Loan made as
a Base Rate Loan. Whenever a Borrower desires that Swing Line Lender make a
Swing Line Loan, it shall deliver to Administrative Agent a Notice of Borrowing
no later than 1:30 P.M. (Chicago time) on the proposed Funding Date. The Notice
of Borrowing shall specify (i) the Borrower, (ii) the proposed Funding Date
(which shall be a Business Day), (iii) the amount and Type of Loans requested,
(iv) in the case of Swing Line Loans and any Loans made on the Effective Date,
that such Loans shall be Base Rate Loans, (v) in the case of (x) any Domestic
Tranche A Revolving Loans or (y) any Domestic Tranche B Revolving Loans not made
on the Effective Date, whether such Loans shall be Base Rate Loans or Offshore
Rate Loans, (vi) in the case of any Tranche B Revolving Loans other than
Domestic Tranche B Revolving Loans made after the Effective Date, that such
Loans shall be Offshore Rate Loans, (vii) in the case of any Revolving Loans
requested to be made as Offshore Rate Loans, the initial Interest Period
requested therefor, and (viii) the Applicable Currency the Loan is to be made
in.

     (iii) Continuation/Conversion. (a) Term Loans and Revolving Loans
denominated in Dollars may be continued as or converted into Base Rate Loans and
Offshore Rate Loans and (b) Term Loans and Revolving Loans denominated in an
Offshore Currency may be continued as Offshore Rate Loans and may not be
converted into Base Rate Loans, in each case in the manner provided in
subsection 2.2D.

     (iv) Telephonic Notice. In lieu of delivering the above-described Notice of
Borrowing, a Borrower may give Administrative Agent telephonic notice by the
required time of any proposed borrowing under this subsection 2.1B; provided
that such notice shall be promptly confirmed in writing by delivery of a Notice
of Borrowing to Administrative Agent on or before the applicable Funding Date.

     Neither Administrative Agent nor any Lender shall incur any liability to
Borrower in acting upon any telephonic notice referred to above that
Administrative Agent believes in good faith to have been given by a duly
authorized officer or other person authorized to borrow on behalf of such
Borrower or for otherwise acting in good faith under this subsection 2.1B, and

                                       58
<PAGE>

upon funding of Loans by Lenders in accordance with this Agreement pursuant to
any such telephonic notice such Borrower shall have effected Loans hereunder.

     (v) Certification of Certain Items. The applicable Borrower shall notify
Administrative Agent prior to the funding of any Loans in the event that any of
the matters to which such Borrower is required to certify in the applicable
Notice of Borrowing is no longer true and correct as of the applicable Funding
Date, and the acceptance by such Borrower of the proceeds of any Loans shall
constitute a re-certification by such Borrower, as of the applicable Funding
Date, as to the matters to which such Borrower is required to certify in the
applicable Notice of Borrowing.

     (vi) Offshore Rate Loans. Except as otherwise provided in subsections 2.6B,
2.6C and 2.6G, a Notice of Borrowing for an Offshore Rate Loan (or telephonic
notice in lieu thereof) shall be irrevocable on and after the related Interest
Rate Determination Date, and the Borrower giving such notice shall be bound to
make a borrowing in accordance therewith.

     C. DISBURSEMENT OF FUNDS.

          (i) Subject to this subsection 2.1C and subsection 2.1D,

          (a) all Domestic Term Loans under this Agreement shall be made by
     Domestic Tranche B Lenders simultaneously and proportionately to their
     respective Pro Rata Shares of Domestic Term Loan Commitments;

          (b) all UK Term Loans under this Agreement shall be made by UK Lenders
     simultaneously and proportionately to their respective Pro Rata Shares of
     UK Term Loan Commitments;

          (c) all Domestic Tranche A Revolving Loans under this Agreement shall
     be made by Domestic Tranche A Lenders simultaneously and proportionately to
     their respective Pro Rata Shares of the Domestic Tranche A Revolving Loan
     Commitments;

          (d) all Domestic Tranche B Revolving Loans under this Agreement shall
     be made by Domestic Tranche B Lenders, respectively, simultaneously and
     proportionately to their respective Pro Rata Shares of the Domestic Tranche
     B Revolving Loan Commitments;

          (e) all UK Tranche B Revolving Loans under this Agreement shall be
     made by UK Lenders simultaneously and proportionately to their respective
     Pro Rata Shares of the UK Tranche B Revolving Loan Commitments;

          (f) all French Tranche B Revolving Loans under this Agreement shall be
     made by French Lenders simultaneously and proportionately to their
     respective Pro Rata Shares of the French Tranche B Revolving Loan
     Commitments; and

                                       59
<PAGE>

          (g) all Japanese Tranche B Revolving Loans under this Agreement shall
     be made by Japanese Lenders simultaneously and proportionately to their
     respective Pro Rata Shares of the Japanese Tranche B Revolving Loan
     Commitments;

in each case it being understood that no Lender shall be responsible for any
default by any other Lender in that other Lender's obligation to make a Loan
requested hereunder nor shall the Commitment of any Lender to make any Type of
Loan requested be increased or decreased as a result of a default by any other
Lender in that other Lender's obligation to make a Loan requested hereunder.

     (ii) Promptly after receipt by Administrative Agent of a Notice of
Borrowing pursuant to subsection 2.1B (or telephonic notice in lieu thereof),
Administrative Agent shall notify each applicable Lender or Swing Line Lender,
as the case may be, of the proposed borrowing. Each such Lender shall make the
amount of its applicable Loan available to Administrative Agent, at the
applicable Funding and Payment Office, not later than 12:00 Noon (Local Time) on
the applicable Funding Date, and Swing Line Lender shall make the amount of its
applicable Swing Line Loan available to Administrative Agent not later than 3:00
P.M. (Chicago time) on the applicable Funding Date, in each case in Same Day
Funds in the Applicable Currency, at the Funding and Payment Office. Except as
provided in subsection 2.1A(iii) and subsection 3.3B with respect to Revolving
Loans used to repay Refunded Swing Line Loans or to reimburse any Issuing Lender
for the amount of a drawing under a Letter of Credit issued by it, upon
satisfaction or waiver of the conditions precedent specified in subsection 4.1
(in the case of Loans made on the Effective Date) and, subject to the provisions
set forth in the immediately preceding paragraph, subsection 4.2 (in the case of
all Loans), Administrative Agent shall make the proceeds of such Loans available
to the applicable Borrower on the applicable Funding Date by causing an amount
of Same Day Funds in the Applicable Currency equal to the proceeds of all such
Loans received by Administrative Agent from Lenders or Swing Line Lender, as the
case may be, to be credited to the account of such Borrower at the Funding and
Payment Office.

     Unless Administrative Agent shall have been notified by any Lender prior to
the Funding Date for any Loans that such Lender does not intend to make
available to Administrative Agent the amount of such Lender's Loan requested on
such Funding Date, Administrative Agent may assume that such Lender has made
such amount available to Administrative Agent on such Funding Date and
Administrative Agent may, in its sole discretion, but shall not be obligated to,
make available to Borrower a corresponding amount on such Funding Date. If such
corresponding amount is not in fact made available to Administrative Agent by
such Lender, Administrative Agent shall be entitled to recover such
corresponding amount on demand from such Lender together with interest thereon,
for each day from such Funding Date until the date such amount is paid to
Administrative Agent at the customary rate set by Administrative Agent for the
correction of errors among banks for three Business Days and thereafter at the
Base Rate. If such Lender does not pay such corresponding amount forthwith upon
Administrative Agent's demand therefor, Administrative Agent shall promptly
notify Borrower and Borrower shall immediately pay such corresponding amount in

                                       60
<PAGE>

the Applicable Currency to Administrative Agent together with interest thereon,
for each day from such Funding Date until the date such amount is paid to
Administrative Agent at the rate payable under this Agreement for Base Rate
Loans. Nothing in this subsection 2.1C shall be deemed to relieve any Lender
from its obligation to fulfill its Commitments hereunder or to prejudice any
rights that Borrower may have against any Lender as a result of any default by
such Lender hereunder.

     D. THE REGISTER.

     (i) Administrative Agent shall maintain, at its address referred to in
subsection 10.8, a register for the recordation of the names and addresses of
Lenders and the Commitments and Loans of each Lender from time to time (the
"REGISTER"). The Register shall be available for inspection by any Borrower or
any Lender at any reasonable time and from time to time upon reasonable prior
notice.

     (ii) Administrative Agent shall record in the Register the applicable Term
Loan Commitment (if any) and applicable Revolving Loan Commitment and the
applicable Term Loan (if any) and applicable Revolving Loans from time to time
of each Lender, the applicable Swing Line Loan Commitment and the applicable
Swing Line Loans from time to time of Swing Line Lender, and each repayment or
prepayment in respect of the principal amount of the applicable Term Loan (if
any) or applicable Revolving Loans of each Lender or the applicable Swing Line
Loans of Swing Line Lender. Any such recordation shall be conclusive and binding
on each Borrower and each Lender, absent manifest error; provided that failure
to make any such recordation, or any error in such recordation, shall not affect
any Lender's Commitments or any Borrower's Obligations in respect of any
applicable Loans.

     (iii) Each Lender shall record on its internal records (including, without
limitation, the Notes held by such Lender) the amount of the applicable Term
Loan (if any) and each applicable Revolving Loan made by it and each payment in
respect thereof. Any such recordation shall be conclusive and binding on each
applicable Borrower, absent manifest error; provided that failure to make any
such recordation, or any error in such recordation, shall not affect Lender's
Commitments or any Borrower's Obligations in respect of any applicable Loans;
and provided further that in the event of any inconsistency between the Register
and any Lender's records, the recordations in the Register shall govern.

     (iv) Borrowers, Administrative Agent and Lenders shall deem and treat the
Persons listed as Lenders in the Register as the holders and owners of the
corresponding Commitments and Loans listed therein for all purposes hereof, and
no assignment or transfer of any such Commitment or Loan shall be effective, in
each case unless and until an Assignment Agreement effecting the assignment or
transfer thereof shall have been accepted by Administrative Agent and recorded
in the Register as provided in subsection 10.1B(ii). Prior to such recordation,
all amounts owed with respect to the applicable Commitment or Loan shall be owed
to the Lender listed in the Register as the owner thereof, and any request,
authority or consent of any Person who, at the time of making such request or
giving such authority or

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<PAGE>

consent, is listed in the Register as a Lender shall be conclusive and binding
on any subsequent holder, assignee or transferee of the corresponding
Commitments or Loans.

     (v) Each Borrower hereby designates BTCo to serve as such Borrower's agent
solely for purposes of maintaining the Register as provided in this subsection
2.1D, and each Borrower hereby agrees that, to the extent BTCo serves in such
capacity, BTCo and its officers, directors, employees, agents and affiliates
shall constitute Indemnitees for all purposes under subsection 10.3.

     E. NOTES. Each Borrower shall execute and deliver on the Effective Date (i)
to each applicable Lender (or to Administrative Agent for that Lender) (a) a
Term Note, substantially in the form of Exhibit IV annexed hereto, to evidence
that Lender's Term Loans, in the principal amount of that Lender's applicable
Term Loan and with other appropriate insertions, (b) a Tranche A Revolving Note,
substantially in the form of Exhibit V annexed hereto, to evidence that Lender's
Tranche A Revolving Loans, in the principal amount of that Lender's applicable
Domestic Tranche A Revolving Loan Commitments and with other appropriate
insertions and (c) a Tranche B Revolving Note, substantially in the form of
Exhibit VI annexed hereto to evidence that Lender's Tranche B Revolving Loans,
in the principal amount of that Lender's applicable Tranche B Revolving Loan
Commitments and with other appropriate insertions and (ii) to Swing Line Lender
(or to Administrative Agent for that Lender) a Swing Line Note with respect to
the Domestic Tranche A Revolving Loan Commitments and a Swing Line Note with
respect to the Tranche B Revolving Loan Commitments, in each case substantially
in the form of Exhibit VII annexed hereto, to evidence Swing Line Lender's
Tranche A Swing Line Loans and Tranche B Swing Line Loans, respectively, in the
principal amount of the Tranche A Swing Line Loan Commitment and Tranche B Swing
Line Loan Commitment, respectively, and with other appropriate insertions.

     F. SPECIAL PROVISIONS GOVERNING OFFSHORE CURRENCY LOANS AND OFFSHORE
CURRENCY LETTERS OF CREDIT. Notwithstanding any other provision of this
Agreement to the contrary, the following provisions shall govern with respect to
Offshore Currency Loans and to Letters of Credit denominated in a currency other
than Dollars, in each case as to the matters covered:

          (i) Calculation of Dollar Equivalent Amount of Offshore Currency Loans
     and Foreign Currency Letters of Credit. For purposes of determining (1)
     whether the Total Utilization of Tranche B Revolving Loan Commitments
     exceeds the Maximum Tranche B Revolving Loan Commitments then in effect,
     (2) the Letter of Credit Usage, or (3) whether the aggregate Total
     Utilization of the Tranche B Revolving Loans and the Total Outstanding Term
     Loans exceeds the MaximumTerm Loan Commitment then in effect,
     Administrative Agent shall determine the Dollar Equivalent amounts with
     respect to any Revolving Loans that are Offshore Currency Loans and with
     respect to any Letters of Credit denominated in a currency other than
     Dollars (a) at the time a Notice of Allocation is given, (b) on the first
     Business Day of each month of each calendar year, and (c) at such other
     dates as Administrative Agent may reasonably require (each such date under

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<PAGE>

     clauses (a) - (c) being a "COMPUTATION DATE"). Administrative Agent shall
     determine the Dollar Equivalent amount for a particular Revolving Loan at
     the time a Notice of Borrowing or a Notice of Conversion/Continuation is
     given with respect to such Revolving Loan and for a particular Letter of
     Credit at the time a Request for Issuance of Letter of Credit is given with
     respect to such Letter of Credit.

          (ii) European Union. The EU has introduced a single currency (the
     "EURO") and has initiated the process of substituting the Euro for the
     national currencies of the member states participating in the EU. On the
     date on which any Offshore Currency is replaced by the Euro, it is hereby
     acknowledged and agreed that "Sterling," "Francs" and "Marks," each as
     defined herein, shall include the Euro and that conversion of any
     outstanding Loans denominated in such Offshore Currency into the Euro shall
     take effect; provided that the original Offshore Currency shall be retained
     for so long as legally permissible; provided further that any such
     conversion shall be based on the rate of conversion officially fixed by the
     EU on the date the Euro replaces the applicable Offshore Currency.
     Notwithstanding anything contained herein to the contrary, none of the
     introduction of the Euro, the substitution of such currency for any
     Offshore Currency, the fixing of such official rate of conversion nor any
     economic consequences that arise from any of the aforementioned events or
     otherwise in connection with the EU shall give rise to any right to
     terminate prematurely, contest, cancel, rescind, modify or renegotiate this
     Agreement or any of its provisions or to raise any other objections and/or
     exceptions or to assert any claims for compensation.

2.2 INTEREST ON THE LOANS.

     A. RATE OF INTEREST. Subject to the provisions of subsections 2.6 and 2.7,
each Term Loan and each Revolving Loan shall bear interest on the unpaid
principal amount thereof from the date made through maturity (whether by
acceleration or otherwise) at a rate determined by reference to the Base Rate or
to the Adjusted Offshore Rate. Subject to the provisions of subsection 2.7, each
Swing Line Loan shall bear interest on the unpaid principal amount hereof from
the date made through maturity (whether by acceleration or otherwise) at a rate
determined by reference to the Base Rate. The applicable basis for determining
the rate of interest with respect to any Term Loan or any Revolving Loan shall
be selected by the Borrower initially at the time a Notice of Borrowing is given
with respect to such Loan pursuant to subsection 2.1B, and the basis for
determining the interest rate with respect to any Term Loan or any Revolving
Loan may be changed from time to time pursuant to subsection 2.2D. If on any day
a Term Loan or a Revolving Loan denominated in Dollars is outstanding with
respect to which notice has not been delivered to Administrative Agent in
accordance with the terms of this Agreement specifying the applicable basis for
determining the rate of interest, then for that day that Loan shall bear
interest determined by reference to the Base Rate. If on any day a Term Loan or
a Revolving Loan denominated in an Offshore Currency is outstanding with respect
to which notice has not been delivered to Administrative Agent in accordance
with the terms of this Agreement specifying the applicable basis for determining
the rate of interest, then such Loan

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<PAGE>

shall bear  interest  determined  by reference to the Offshore Rate Loan with an
Interest  Period of, and the applicable  Interest  Period shall be deemed to be,
one month.

     Subject to the provisions of subsections 2.2E and 2.7, the Term Loans and
Revolving Loans shall bear interest through maturity as follows:

          (a) if a Base Rate Loan, then at the sum of the Base Rate plus the
     Applicable Base Rate Margin; or

          (b) if an Offshore Rate Loan, then at the sum of the Adjusted Offshore
     Rate plus the Applicable Offshore Rate Margin.

     Subject to the provisions of subsections 2.2E and 2.7, the Swing Line Loans
shall bear interest through maturity at the sum of the Base Rate plus the
Applicable Base Rate Margin.

     B. INTEREST PERIODS. In connection with each Offshore Rate Loan, a Borrower
may, pursuant to the applicable Notice of Borrowing or Notice of
Conversion/Continuation, as the case may be, select an interest period (each an
"INTEREST PERIOD") to be applicable to such Loan, which Interest Period shall
be, at Borrower's option, either a one, two, three or six month period; provided
that:

          (i) the initial Interest Period for any such Loan shall commence on
     the Funding Date in respect of such Loan, in the case of a Loan initially
     made as an Offshore Rate Loan or on the date specified in the applicable
     Notice of Conversion/Continuation, in the case of a Loan converted to an
     Offshore Rate Loan;

          (ii) in the case of immediately successive Interest Periods applicable
     to an Offshore Rate Loan continued as such pursuant to a Notice of
     Conversion/Continuation, each successive Interest Period shall commence on
     the day on which the next preceding Interest Period expires;

          (iii) if an Interest Period would otherwise expire on a day that is
     not a Business Day, such Interest Period shall expire on the next
     succeeding Business Day; provided that, if any Interest Period would
     otherwise expire on a day that is not a Business Day but is a day of the
     month after which no further Business Day occurs in such month, such
     Interest Period shall expire on the next preceding Business Day;

          (iv) any Interest Period that begins on the last Business Day of a
     calendar month (or on a day for which there is no numerically corresponding
     day in the calendar month at the end of such Interest Period) shall,
     subject to clause (v) of this subsection 2.2B, end on the last Business Day
     of a calendar month;

          (v) no Interest Period with respect to any portion of the Term Loans
     and no Interest period with respect to any portion of the Revolving Loans
     shall extend beyond the Commitment Termination Date;

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<PAGE>

          (vi) no Interest Period with respect to any portion of the Term Loans
     of any Borrower shall extend beyond a date on which such Borrower is
     required to make a scheduled payment of principal of the Term Loans of such
     Borrower unless the sum of (a) the aggregate principal amount of Term Loans
     of such Borrower that are Base Rate Loans plus (b) the aggregate principal
     amount of Term Loans of such Borrower that are Offshore Rate Loans with
     Interest Periods expiring on or before such date equals or exceeds the
     principal amount required to be paid on the Term Loans of such Borrower on
     such date;

          (vii) no Interest Period with respect to any portion of the Domestic
     Tranche A Revolving Loans shall extend beyond the date on which a permanent
     reduction of the Domestic Tranche A Revolving Loan Commitments is scheduled
     to occur unless the sum of (a) the aggregate principal amount of Domestic
     Tranche A Revolving Loans that are Base Rate Loans plus (b) the aggregate
     principal amount of Domestic Tranche A Revolving Loans that are Offshore
     Rate Loans with Interest Periods expiring on or before such date plus (c)
     the excess of the Domestic Tranche A Revolving Loan Commitments then in
     effect over the aggregate principal amount of Domestic Tranche A Revolving
     Loans then outstanding equals or exceeds the permanent reduction of the
     Domestic Tranche A Revolving Loan Commitments that is scheduled to occur on
     such date;

          (viii) there shall be no more than twelve (12) Interest Periods for
     any Borrower outstanding at any time; and

          (ix) in the event a Borrower fails to specify an Interest Period for
     any Offshore Rate Loan in the applicable Notice of Borrowing or Notice of
     Conversion/Continuation, such Borrower shall be deemed to have selected an
     Interest Period of one month.

     C. INTEREST PAYMENTS. Subject to the provisions of subsection 2.2E,
interest on each Loan shall be payable in arrears on and to each Interest
Payment Date applicable to that Loan, upon any prepayment of that Loan (to the
extent accrued on the amount being prepaid) and at maturity (including final
maturity); provided that in the event any Swing Line Loans or any Revolving
Loans that are Base Rate Loans are prepaid pursuant to subsection 2.4B(i),
interest accrued on such Swing Line Loans or Revolving Loans through the date of
such prepayment shall be payable on the next succeeding Interest Payment Date
applicable to Base Rate Loans (or, if earlier, at final maturity).

     D. CONVERSION OR CONTINUATION. Subject to the provisions of subsection 2.6,
a Borrower shall have the option (i) to convert at any time all or any part of
its outstanding Term Loans or Revolving Loans denominated in Dollars equal to
the Minimum Amount from Loans bearing interest at a rate determined by reference
to one basis to Loans bearing interest at a rate determined by reference to an
alternative basis, or (ii) upon the expiration of any Interest Period applicable
to any Offshore Rate Loan to continue all or any portion of such Loan equal to
the Minimum Amount as an Offshore Rate Loan; provided, however, that any
Offshore Rate Loan denominated in Dollars may only be converted into a Base Rate
Loan on the expiration date of

                                       65
<PAGE>

an Interest Period applicable thereto; provided further that Revolving Loans
denominated in an Offshore Currency may not be converted into Base Rate Loans
and that Loans denominated in one currency may not be converted into Loans
denominated in another currency.

     A Borrower shall deliver a Notice of Conversion/Continuation to
Administrative Agent no later than 12:00 Noon (Local Time) at least one Business
Day in advance of the proposed conversion date (in the case of a conversion of
an Offshore Rate Loan denominated in Dollars to a Base Rate Loan) and at least
three Business Days in advance of the proposed conversion/continuation date (in
the case of a conversion to, or a continuation of, an Offshore Rate Loan). A
Notice of Conversion/Continuation shall specify (i) the proposed conversion/
continuation date (which shall be a Business Day), (ii) the amount and Type of
the Loan to be converted/continued, (iii) the nature of the proposed
conversion/continuation, (iv) in the case of a conversion to, or a continuation
of, an Offshore Rate Loan, the requested Interest Period, and (v) in the case of
a conversion to, or a continuation of, an Offshore Rate Loan, that no Potential
Event of Default or Event of Default has occurred and is continuing. In lieu of
delivering the above-described Notice of Conversion/Continuation, a Borrower may
give Administrative Agent telephonic notice by the required time of any proposed
conversion/continuation under this subsection 2.2D; provided that such notice
shall be promptly confirmed in writing by delivery of a Notice of
Conversion/Continuation to Administrative Agent on or before the proposed
conversion/continuation date.

     Upon receipt of written or telephonic notice of any proposed
conversion/continuation under this subsection 2.2D, Administrative Agent shall
promptly transmit said notice by telefacsimile or telephone to each applicable
Lender.

     Neither Administrative Agent nor any Lender shall incur any liability to
any Borrower in acting upon any telephonic notice referred to above that
Administrative Agent believes in good faith to have been given by a duly
authorized officer or other person authorized to act on behalf of such Borrower
or for otherwise acting in good faith under this subsection 2.2D, and upon
conversion or continuation of the applicable basis for determining the interest
rate with respect to any Loans in accordance with this Agreement pursuant to any
such telephonic notice any Borrower shall have effected a conversion or
continuation, as the case may be, hereunder.

     Except as otherwise provided in subsections 2.6B, 2.6C and 2.6G, a Notice
of Conversion/Continuation for conversion to, or continuation of, an Offshore
Rate Loan (or telephonic notice in lieu thereof) shall be irrevocable on and
after the related Interest Rate Determination Date, and Borrower shall be bound
to effect a conversion or continuation in accordance therewith.

     E. DEFAULT RATE. Upon the occurrence and during the continuation of any
Event of Default, the outstanding principal amount of all Loans and, to the
extent permitted by applicable law, any interest payments thereon not paid when
due and any fees and other amounts then due and payable hereunder, shall
thereafter bear interest (including post-petition interest in

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<PAGE>

any proceeding under the Bankruptcy Code) payable upon demand at a rate that is
2.00% per annum in excess of the interest rate otherwise payable under this
Agreement with respect to Base Rate Loans. Payment or acceptance of the
increased rates of interest provided for in this subsection 2.2E is not a
permitted alternative to timely payment and shall not constitute a waiver of any
Event of Default or otherwise prejudice or limit any rights or remedies of
Administrative Agent or any Lender.

     F. COMPUTATION OF INTEREST. Interest on the Loans (other than Loans
denominated in Sterling) shall be computed on the basis of a 360-day year and
interest on Loans denominated in Sterling shall be computed on the basis of a
365-day year, in each case for the actual number of days elapsed in the period
during which it accrues. In computing interest on any Loan, (i) the date of the
making of such Loan or the first day of an Interest Period applicable to such
Loan or, with respect to a Base Rate Loan being converted from an Offshore Rate
Loan, the date of conversion of such Offshore Rate Loan to such Base Rate Loan
shall be included, and (ii) the date of payment of such Loan or the expiration
date of an Interest Period applicable to such Loan or, with respect to a Base
Rate Loan being converted to an Offshore Rate Loan, the date of conversion of
such Base Rate Loan to such Offshore Rate Loan shall be excluded; provided that
if a Loan is repaid on the same day on which it is made, no interest shall be
paid on that Loan.

     G. EFFECTIVE GLOBAL RATE. For the purposes of Articles L 313-1 to L 313-6
of the French Code de la Consummation, the parties acknowledge that the taux
effectif global for Offshore Rate Loans denominated in Francs may only be
determined during the course of the Offshore Rate Loans denominated in Francs.
By way of example, the taux effectif global applicable on November 19, 1999,
taking into account the fees, commissions and expenses which are payable or
estimated to be payable by Goss France and assuming a base interest rate of
3.50563% per annum (being the Adjusted Offshore Rate for Francs for a period of
three months) if the French Revolving Loan Commitment were fully drawn from the
Effective Date to the Commitment Termination Date, would be 6.106% per annum and
the taux de periode would be 1.5265% for a period of three months.

2.3 FEES.

     A. COMMITMENT FEES.

     (i) Company. Company agrees to (1) pay to Administrative Agent in Dollars,
for distribution to each Domestic Tranche A Lender in proportion to that
Lender's Pro Rata Share of the Domestic Tranche A Revolving Loan Commitment,
commitment fees for the period from and including the Effective Date to and
excluding the Commitment Termination Date in an amount equal to (x) the average
of the daily excess of the Domestic Tranche A Revolving Loan Commitments over
the sum of (i) the aggregate principal amount of outstanding Domestic Tranche A
Revolving Loans (but not any outstanding Tranche A Swing Line Loans) plus (ii)
the Tranche A Letter of Credit Usage of Company multiplied by (y) 0.500%, and
(2) pay to Administrative Agent in Dollars, for distribution to each Domestic
Tranche B Lender in

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<PAGE>

proportion to that Lender's Pro Rata Share of the Domestic Tranche B Revolving
Loan Commitment, commitment fees for the period from and including the Effective
Date to and excluding the Commitment Termination Date in an amount equal to (x)
the average of the daily excess of the Domestic Tranche B Revolving Loan
Commitments over the sum of (i) the Dollar Equivalent of the aggregate principal
amount of outstanding Domestic Tranche B Revolving Loans (but not any
outstanding Tranche B Swing Line Loans) plus (ii) the Tranche B Letter of Credit
Usage of Company multiplied by (y) 0.500%.

     (ii) Goss UK. Goss UK agrees to pay to Administrative Agent in Dollars, for
distribution to each UK Lender in proportion to that Lender's Pro Rata Share of
the UK Tranche B Revolving Loan Commitment, commitment fees for the period from
and including the Effective Date to and excluding the Commitment Termination
Date in an amount equal to (x) the average of the daily excess of the UK Tranche
B Revolving Loan Commitments over the sum of (i) the Dollar Equivalent of the
aggregate principal amount of outstanding UK Tranche B Revolving Loans plus (ii)
the Tranche B Letter of Credit Usage of Goss UK multiplied by (y) 0.500%.

     (iii) Goss France. Goss France agrees to pay to Administrative Agent in
Dollars, for distribution to each French Lender in proportion to that Lender's
Pro Rata Share of the French Tranche B Revolving Loan Commitment, commitment
fees for the period from and including the Effective Date to and excluding the
Commitment Termination Date in an amount equal to (x) the average of the daily
excess of the French Tranche B Revolving Loan Commitments over the sum of (i)
the Dollar Equivalent of the aggregate principal amount of outstanding French
Tranche B Revolving Loans plus (ii) the Tranche B Letter of Credit Usage of Goss
France multiplied by (y) 0.500%.

     (iv) Goss Japan. Goss Japan agrees to pay to Administrative Agent in
Dollars, for distribution to each Japanese Lender in proportion to that Lender's
Pro Rata Share of the Japanese Tranche B Revolving Loan Commitment, commitment
fees for the period from and including the Effective Date to and excluding the
Commitment Termination Date in an amount equal to (x) the average of the daily
excess of the Japanese Tranche B Revolving Loan Commitments over the sum of (i)
the Dollar Equivalent of the aggregate principal amount of outstanding Japanese
Tranche B Revolving Loans plus (ii) the Tranche B Letter of Credit Usage of Goss
Japan multiplied by (y) 0.500%.

     (v) Calculation. Such commitment fees shall be calculated on the basis of a
360-day year and the actual number of days elapsed and be payable quarterly in
arrears on each date that is three Business Days after each March 31, June 30,
September 30 and December 31 of each year, commencing on the first such date to
occur after the Effective Date, and on the Commitment Termination Date. For
purposes of calculating commitment fees under this subsection 2.3A, the Dollar
Equivalent amount of the aggregate principal amount of any outstanding Offshore
Currency Loans shall be determined based upon the Exchange Rate as of March 31,
June 30, September 30 or December 31, as the case may be, of each year with
respect to such Offshore Currency Loan. Administrative Agent shall provide to
Borrowers on each first

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<PAGE>

Business Day after each March 31, June 30, September 30 and December 31 of each
year a report specifying the commitment fees payable by each Borrower and
including the calculations of such commitment fees and the Exchange Rate used,
and Borrowers shall pay such commitment fees no later than two Business Days
after delivery of such report.

     B. FACILITY FEES. Company hereby agrees to pay to Administrative Agent, on
the Effective Date, for distribution to each Domestic Tranche A Lender as set
forth on Schedule 2.1 annexed hereto, facility fees in the aggregate amount of
$3,750,000.

     C. OTHER FEES. Each Borrower agrees to pay to Administrative Agent such
other fees in the amounts and at the times separately agreed upon between such
Borrower and Administrative Agent.

2.4  REPAYMENTS, PREPAYMENTS AND REDUCTIONS IN REVOLVING LOAN COMMITMENTS;
     GENERAL PROVISIONS REGARDING PAYMENTS.

     A. SCHEDULED PAYMENTS OF TERM LOANS AND SCHEDULED REDUCTIONS OF DOMESTIC
TRANCHE A REVOLVING LOAN COMMITMENTS.

     (i) Scheduled Payments of Domestic Term Loans. Company shall make principal
payments on the Domestic Term Loans in installments on the dates and in the
amounts set forth below:

              DATE                                       SCHEDULED REPAYMENT OF
              ----                                       ----------------------
                                                            DOMESTIC TERM LOANS
                                                            -------------------
     December 31, 2002                                           $5,000,000
     March 31, 2003                                              $5,000,000
     June 30, 2003                                               $5,000,000
     September 30, 2003                                         $116,243,580
                                                                ============
     TOTAL                                                      $131,243,580

; provided that the scheduled installments of principal of the Domestic Term
Loans set forth above shall be reduced in connection with any voluntary or
mandatory prepayments of the Term Loans in accordance with subsection 2.4B(iv);
and provided further that the Domestic Term Loans and all other amounts owed
hereunder with respect to the Domestic Term Loans shall be paid in full no later
than the Commitment Termination Date, and the final installment payable by
Company in respect of the Domestic Term Loans on such date shall be in an
amount, if such amount is different from that specified above, sufficient to
repay all amounts owing by Company under this Agreement with respect to the
Domestic Term Loans.

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<PAGE>

     (ii) Scheduled Payments of UK Term Loans. Goss UK shall pay in full the UK
Term Loans and all other amounts owed hereunder with respect to the UK Term
Loans no later than the Commitment Termination Date.

     (iii) Scheduled Reductions of Domestic Tranche A Revolving Loan
Commitments. The Domestic Tranche A Revolving Loan Commitments shall be
permanently reduced on the dates and in the amounts set forth below:

             DATE                             SCHEDULED REDUCTION OF DOMESTIC
             ----                             -------------------------------
                                           TRANCHE A REVOLVING LOAN COMMITMENTS
                                           ------------------------------------
     March 31, 2002                                     $6,250,000
     June 30, 2002                                      $6,250,000
     September 30, 2002                                 $6,250,000
     December 31, 2002                                  $6,250,000
     March 31, 2003                                     $6,250,000
     June 30, 2003                                      $6,250,000
     September 30, 2003                                $12,500,000
                                                       ===========
     TOTAL                                             $50,000,000

; provided that the scheduled reductions of the Domestic Tranche A Revolving
Loan Commitments set forth above shall be reduced in connection with any
voluntary or mandatory reductions of the Domestic Tranche A Revolving Loan
Commitments in accordance with subsection 2.4B(iv).

     B. PREPAYMENTS AND UNSCHEDULED REDUCTIONS IN REVOLVING LOAN COMMITMENTS.

     (i) Voluntary Prepayments. Company may, upon written or telephonic notice
to Administrative Agent on or prior to 12:00 Noon (New York time) on the date of
prepayment, which notice, if telephonic, shall be promptly confirmed in writing,
at any time from time to time prepay any Swing Line Loan on any Business Day in
whole or in part in an aggregate minimum amount equal to the applicable Minimum
Amount. Each Borrower may, upon not less than one Business Day's prior written
or telephonic notice, in the case of Base Rate Loans, and three Business Days'
prior written or telephonic notice, in the case of Offshore Rate Loans, in each
case given to Administrative Agent by 12:00 Noon (Local Time) on the date
required and, if given by telephone, promptly confirmed in writing to
Administrative Agent (which original written or telephonic notice Administrative
Agent will promptly transmit by telefacsimile or telephone to each Lender), at
any time and from time to time prepay any Term Loans or Revolving Loans on any
Business Day in whole or in part in an aggregate minimum amount equal to the
applicable Minimum Amount; provided, however, that an Offshore Rate Loan may not
be prepaid prior to the expiration of the Interest Period applicable thereto
unless such

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<PAGE>

Borrower pays to each Lender all such amounts as are payable pursuant to
subsection 2.6D. Notice of prepayment having been given as aforesaid, the
principal amount of the Loans specified in such notice shall become due and
payable on the prepayment date specified therein. Any such voluntary prepayment
shall be applied as specified in subsection 2.4B(iv).

     (ii) Voluntary Reductions of Revolving Loan Commitments. Company may, upon
not less than three Business Days' prior written or telephonic notice confirmed
in writing to Administrative Agent (which original written or telephonic notice
such Administrative Agent will promptly transmit by telefacsimile or telephone
to each Lender), at any time and from time to time terminate in whole or
permanently reduce in part, without premium or penalty, the Revolving Loan
Commitments in an amount up to the amount by which the Revolving Loan
Commitments exceed the Total Utilization of Commitments with respect to all
Borrowers; provided that any such partial reduction of the Revolving Loan
Commitments shall be in an aggregate minimum amount equal to the applicable
Minimum Amount. Company's notice to Administrative Agent shall designate the
date (which shall be a Business Day) of such termination or reduction and the
amount of any partial reduction, and such termination or reduction of such
Revolving Loan Commitments shall be effective on the date specified in such
notice and shall reduce such Revolving Loan Commitment of each Lender
proportionately to its Pro Rata Share.

     (iii) Mandatory Prepayments of Loans and Mandatory Reductions of Revolving
Loan Commitments. The Loans shall be prepaid, and the Revolving Loan Commitments
shall be permanently reduced (unless otherwise specified below), in the amounts
and under the circumstances set forth below, all such prepayment and/or
reductions to be applied as set forth below or as more specifically provided in
subsection 2.4B(iv):

          (a) Prepayments and Reductions from Net Asset Sale Proceeds. No later
     than the first Business Day following the date of receipt by any Borrower
     or any of its Subsidiaries of any Net Asset Sale Proceeds in respect of any
     Asset Sale, (1) such Borrower shall prepay its Loans and/or such Borrower's
     Revolving Loan Commitments shall be permanently reduced in an aggregate
     amount equal to 100% of such Net Asset Sale Proceeds, and (2) to the extent
     that any such Net Asset Sale Proceeds remain after the applications
     required pursuant to the foregoing clause (1), such Borrower shall cause
     the excess of such Net Asset Sale Proceeds to be applied to prepay the
     remaining outstanding Loans of all other Borrowers and/or the Revolving
     Loan Commitments of all other Borrowers shall be permanently reduced, in
     each case on a pro rata basis (in accordance with the respective
     outstanding amount of Revolving Loan Commitments).

          (b) Prepayments and Reductions from Net Insurance/Condemnation
     Proceeds. No later than the first Business Day following the date of
     receipt by Administrative Agent or by any Borrower or any of its
     Subsidiaries of any Net Insurance/Condemnation Proceeds that are required
     to be applied to prepay the Loans and/or reduce the Revolving Loan

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<PAGE>

     Commitments pursuant to the provisions of subsection 6.4C, (1) such
     Borrower shall prepay its Loans and/or such Borrower's Revolving Loan
     Commitments shall be permanently reduced, in an aggregate amount equal to
     100% of such Net Insurance/Condemnation Proceeds, and (2) to the extent
     that any such Net Insurance/Condemnation Proceeds remain after the
     applications required pursuant to the foregoing clause (1), such Borrower
     shall cause the excess of such Net Insurance/ Condemnation Proceeds to be
     applied to prepay the remaining outstanding Loans of all other Borrowers
     and/or the Revolving Loan Commitments of all other Borrowers shall be
     permanently reduced, in each case on a pro rata basis (in accordance with
     the respective outstanding amount of Revolving Loan Commitments).

          (c) Prepayments and Reductions Due to Reversion of Surplus Assets of
     Pension Plans. On the date of return to any Borrower or any of its
     Subsidiaries of any surplus assets of any pension plan of such Borrower or
     any of its Subsidiaries, (1) such Borrower shall prepay its Loans and/or
     such Borrower's Revolving Loan Commitments shall be permanently reduced in
     an aggregate amount (such amount being the "NET REVERSION AMOUNT") equal to
     100% of such returned surplus assets, net of transaction costs and expenses
     incurred in obtaining such return, including incremental taxes payable as a
     result thereof, and (2) to the extent that any such Net Reversion Amount
     remains after the applications required pursuant to the foregoing clause
     (1), such Borrower shall cause the excess of such Net Reversion Amount to
     be applied to prepay the remaining outstanding Loans of all other Borrowers
     and/or the Revolving Loan Commitments of all other Borrowers shall be
     permanently reduced, in each case on a pro rata basis (in accordance with
     the respective outstanding amount of Revolving Loan Commitments).

          (d) Prepayments and Reductions Due to Issuance of Equity Securities.
     No later than the first Business Day following the date of receipt by New
     Holdings or Company of the Cash proceeds (any such proceeds, net of
     underwriting discounts and commissions and other reasonable costs
     associated therewith, including reasonable legal fees and expenses, being
     the "NET EQUITY PROCEEDS") from the issuance of any equity Securities of
     New Holdings or Company (other than proceeds from New Holdings Common Stock
     issued to officers and employees of Company and its Subsidiaries pursuant
     to option plans or other similar plans or agreements adopted by New
     Holdings' Board of Directors), (1) Company shall prepay its Loans and/or
     Company's Revolving Loan Commitments shall be permanently reduced in an
     aggregate amount equal to 100% of such Net Equity Proceeds, and (2) to the
     extent that any such Net Equity Proceeds remain after the applications
     required pursuant to the foregoing clause (1), Company shall cause such
     remaining Net Equity Proceeds to be applied to prepay the remaining
     outstanding Loans of all other Borrowers and/or the Revolving Loan
     Commitments of all other Borrowers shall be permanently reduced, in each
     case on a pro rata basis (in accordance with the respective outstanding
     amount of Revolving Loan Commitments). In the case of the receipt by New
     Holdings of such Net Equity Proceeds from the issuance of any equity
     Securities of New Holdings, Company shall cause New Holdings to immediately
     contribute such Net Equity Proceeds to Company and Company shall apply such
     Net Equity Proceeds pursuant to this subsection 2.4B(iii)(d) as though
     initially received by Company from the issuance of its own equity
     Securities; provided, however,

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     that the Net Equity Proceeds from the Stonington Equity Contribution shall
     be excluded from the provisions of this subsection 2.4B(iii)(d).

          (e) Prepayments and Reductions Due to Issuance of Debt Securities. No
     later than the first Business Day following the date of receipt by any
     Borrower or any of its Subsidiaries of the Cash proceeds (any such
     proceeds, net of underwriting discounts and commissions and other
     reasonable costs and expenses associated therewith, including reasonable
     legal fees and expenses, being the "NET DEBT Proceeds") from the issuance
     of any debt Securities of New Holdings, such Borrower or any such
     Subsidiary, (1) such Borrower shall prepay its Loans and/or such Borrower's
     Revolving Loan Commitments shall be permanently reduced in an aggregate
     amount equal to 100% of such Net Debt Proceeds, and (2) to the extent that
     such Net Debt Proceeds remain after the applications required pursuant to
     the foregoing clause, such Borrower shall cause the excess of such Net Debt
     Proceeds to be applied to prepay the remaining outstanding Revolving Loans
     of all other Borrowers and/or the Revolving Loan Commitments of all other
     Borrowers shall be permanently reduced in each case on a pro rata basis (in
     accordance with the respective outstanding amount of Revolving Loan
     Commitments). In the case of the receipt by New Holdings of such Net Debt
     Proceeds from the issuance of any debt Securities of New Holdings, New
     Holdings shall immediately contribute such Net Debt Proceeds to Company and
     Company shall apply such Net Debt Proceeds pursuant to this subsection
     2.4B(iii)(e) as though initially received by Company from the issuance of
     its own debt Securities.

          (f) Prepayments from Net Settlement Proceeds. No later than the first
     Business Day following the date of receipt by Agent or by any Borrower or
     any of its Subsidiaries of any Net Settlement Proceeds, (1) such Borrower
     shall prepay its Loans in an aggregate amount equal to 100% of such Net
     Settlement Proceeds, and (2) to the extent that any such Net Settlement
     Proceeds remain after the applications required pursuant to the foregoing
     clause (1), such Borrower shall cause the excess of such Net Settlement
     Proceeds to be applied to prepay the remaining outstanding Loans of all
     other Borrowers on a pro rata basis (in accordance with the respective
     outstanding amount of Revolving Loan Commitments). No reductions of
     Revolving Loan Commitments shall be due in respect of receipts of Net
     Settlement Proceeds.

          (g) Prepayments and Reductions from Consolidated Excess Cash Flow. In
     the event that there shall be Consolidated Excess Cash Flow for any Fiscal
     Year (commencing with Fiscal Year 2002), Company shall, no later than 100
     days after the end of such Fiscal Year, prepay the Loans and/or the
     Revolving Loan Commitments shall be permanently reduced in an aggregate
     amount equal to 75% of such Consolidated Excess Cash Flow.

          (h) Calculations of Net Proceeds Amounts; Additional Prepayments and
     Reductions Based on Subsequent Calculations. Concurrently with any
     prepayment of the Loans and/or reduction of the Revolving Loan Commitments
     pursuant to subsections

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     2.4B(iii)(a)-(e) and (g), Borrower shall deliver to Administrative Agent an
     Officers' Certificate demonstrating the calculation of the amount (the "NET
     PROCEEDS AMOUNT") of the applicable Net Asset Sale Proceeds or Net
     Insurance/Condemnation Proceeds, the applicable Net Reversion Amount, Net
     Equity Proceeds or Net Debt Proceeds (as such terms are defined in
     subsections 2.4B(iii)(c), (d) and (e)) or the Net Settlement Proceeds or
     Consolidated Excess Cash Flow, as the case may be, that gave rise to such
     prepayment and/or reduction. In the event that Borrower shall subsequently
     determine that the actual Net Proceeds Amount was greater than the amount
     set forth in such Officers' Certificate, Borrower shall promptly make an
     additional prepayment of the Loans (and/or, if applicable, the Revolving
     Loan Commitments shall be permanently reduced) in an amount equal to the
     amount of such excess, and Borrower shall concurrently therewith deliver to
     Administrative Agent an Officers' Certificate demonstrating the derivation
     of the additional Net Proceeds Amount resulting in such excess.

          (i) Prepayments Due to Restrictions of Revolving Loan Commitments.
     Company shall from time to time promptly (x) prepay first its Swing Line
     Loans and second its Revolving Loans and/or (y) cash collateralize its
     outstanding Letters of Credit, and each Goss UK, Goss France and Goss Japan
     shall from time to time promptly (x) prepay its Revolving Loans and/or (y)
     cash collateralize its outstanding Letters of Credit, in each case to the
     extent necessary (1) so that the Total Utilization of Tranche A Revolving
     Loan Commitments and Total Utilization of Tranche B Revolving Loan
     Commitments shall not exceed the Maximum Tranche A Revolving Loan
     Commitments and Maximum Tranche B Revolving Loan Commitments, respectively,
     then in effect and/or (2) to give effect to the limitations set forth in
     subsection 2.1A(ii)(d) and the second paragraph of subsection 2.1A(iii).

          (j) Prepayments Due to Currency Fluctuations.

          (1) If on any Computation Date Administrative Agent shall have
     determined that the Total Utilization of Tranche B Revolving Loan
     Commitments exceeds the Maximum Tranche B Revolving Loan Commitments
     (whether for a particular Borrower or all Borrowers) because of a change in
     applicable rates of exchange between Dollars and Offshore Currencies, then
     Administrative Agent shall give notice to the applicable Borrower(s) that a
     prepayment is required under this subsection 2.4B(iii)(j)(1), and (I) in
     the case of Company, Company shall promptly (x) prepay first its Swing Line
     Loans and second its Tranche B Revolving Loans and/or (y) cash
     collateralize its outstanding Tranche B Letters of Credit, and (II) in the
     case of a Borrower other than Company, such Borrower shall promptly (x)
     prepay its Tranche B Revolving Loans and/or (y) cash collateralize its
     outstanding Tranche B Letters of Credit, in each case to the extent
     necessary so that the Total Utilization of Tranche B Revolving Loan
     Commitments shall not exceed the Maximum Tranche B Revolving Loan
     Commitments (whether for such Borrower or all Borrowers) then in effect.

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          (2) If on any Computation Date Administrative Agent shall have
     determined that the Total Outstanding Term Loans exceeds the Maximum Term
     Loan Commitments, (whether for the Company or Goss UK or both) because of a
     change in applicable rates of exchange between Dollars and Offshore
     Currencies, then Administrative Agent shall give notice to the applicable
     Borrower(s) that a prepayment is required under this subsection
     2.4B(iii)(j)(2), and each affected Borrower shall promptly prepay its Term
     Loans, in each case to the extent necessary so that the Total Outstanding
     Term Loans shall not exceed the Maximum Term Loan Commitments (whether for
     such Borrower or all Borrowers) then in effect.

          (k) Prepayments of Domestic Tranche A Revolving Loans Due to
     Availability of Tranche B Revolving Loan Commitments. Company shall from
     time to time prepay first its Tranche A Swing Line Loans and second its
     Domestic Tranche A Revolving Loans in the event that an equivalent amount
     or more of Tranche B Revolving Loan Commitments becomes available.

          (l) Reductions of Revolving Loan Commitments Not Limited to Amount of
     Revolving Loans Outstanding. The amount of any required reduction of the
     Revolving Loan Commitments pursuant to any provision of this subsection
     2.4B(iii) shall not be affected by the fact that the outstanding principal
     amount of Revolving Loans at the time of such reduction is less than the
     amount of such reduction.

          (iv) Application of Prepayments.

          (a) Application of Voluntary Prepayments by Type of Loans. Any
     voluntary prepayments pursuant to subsection 2.4B(i) shall be applied (x)
     in the case of Company, first to repay Company's outstanding Swing Line
     Loans to the full extent thereof, second to repay Company's outstanding
     Domestic Tranche A Revolving Loans to the full extent thereof, third to
     repay Company's outstanding Domestic Tranche B Revolving Loans to the full
     extent thereof, and fourth to repay Company's outstanding Domestic Term
     Loans to the full extent thereof, or (y) in case of any Borrower other than
     Company, first to repay such Borrower's outstanding Tranche B Revolving
     Loans to the full extent thereof, and second to repay such Borrower's
     outstanding Term Loans to the full extent thereof. Any voluntary
     prepayments of the Term Loans pursuant to subsection 2.4B(i) shall be
     applied on a pro rata basis (in accordance with the respective outstanding
     principal amounts thereof) to each scheduled installment of principal of
     the Term Loans of each Borrower set forth in subsections 2.4A(i) and
     2.4A(ii) that is unpaid at the time of such prepayment.

          (b) Application of Mandatory Prepayments by Type of Loans. Any amount
     (the "APPLIED AMOUNT") required to be applied as a mandatory prepayment of
     the Loans and a reduction of the Revolving Loan Commitments pursuant to
     subsections 2.4B(iii)(a)-(h) shall be applied, (x) in the case of Company,
     first to prepay the Swing

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     Line Loans to the full extent thereof and to permanently reduce the
     applicable Revolving Loan Commitments by the amount of such prepayments,
     second, to the extent of any remaining portion of the Applied Amount, to
     prepay the Domestic Tranche A Revolving Loans to the full extent thereof
     and to further permanently reduce the Domestic Tranche A Revolving Loan
     Commitments by the amount of such prepayment, third, to the extent of any
     remaining portion of the Applied Amount, to prepay the Domestic Tranche B
     Revolving Loans to the full extent thereof and to further permanently
     reduce the Domestic Tranche B Revolving Loan Commitments then in effect by
     the amount of such prepayment, fourth, to the extent of any remaining
     portion of the Applied Amount, to prepay the Domestic Term Loans to the
     full extent thereof, fifth, to the extent of any remaining portion of the
     Applied Amount, to prepay on a pro rata basis the UK Tranche B Revolving
     Loans, the French Tranche B Revolving Loans and the Japanese Tranche B
     Revolving Loans to the full extent thereof and to further permanently
     reduce on a pro rata basis the UK Tranche B Revolving Loan Commitments, the
     French Tranche B Revolving Loan Commitments and the Japanese Tranche B
     Revolving Loan Commitments then in effect by the amount of such prepayment,
     and sixth, to the extent of any remaining portion or the Applied Amount, to
     prepay the UK Term Loans to the full extent thereof, and (y) in the case of
     any Borrower other than Company, first to prepay the Tranche B Revolving
     Loans of that Borrower to the full extent thereof and to further
     permanently reduce the Tranche B Revolving Loan Commitments of that
     Borrower by the amount of such prepayment, second, to the extent of any
     remaining portion of the Applied Amount, to prepay the Term Loans, if any,
     of that Borrower to the full extent thereof, third, to the extent of any
     remaining portion of the Applied Amount, to prepay the Domestic Tranche A
     Revolving Loans of Company to the full extent thereof and to further
     permanently reduce the Domestic Tranche A Revolving Loan Commitments of
     Company then in effect by the amount of such prepayment, fourth, to the
     extent of any remaining portion of the Applied Amount, to prepay on a pro
     rata basis the Tranche B Revolving Loans of each of the other Borrowers to
     the full extent thereof and to further reduce on a pro rata basis the
     Tranche B Revolving Loan Commitments of each of the other Borrowers then in
     effect by the amount of such prepayment, and fifth, to the extent of any
     remaining portion of the Applied Amount, to prepay the Domestic Term Loans
     of Company to the full extent thereof.

          (c) Application of Mandatory Prepayments of Term Loans to the
     Scheduled Installments of Principal Thereof. Any mandatory prepayments of
     the Term Loans pursuant to subsection 2.4B(iii) shall be applied to prepay
     the Term Loans on a pro rata basis (in accordance with the respective
     outstanding principal amounts thereof) and shall be applied to reduce the
     scheduled installments of principal of the Term Loans set forth in
     subsections 2.4A(i) and 2.4A(ii) in inverse order of maturity.

          (d) Application of Prepayments to Base Rate Loans and Offshore Rate
     Loans. Considering Term Loans and Revolving Loans being prepaid separately,
     any prepayment of thereof shall be applied first to Base Rate Loans to the
     full extent thereof

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     before application to Offshore Rate Loans, in each case in a manner which
     minimizes the amount of any payments required to be made by Borrowers
     pursuant to subsection 2.6D.

          (e) Application of Unscheduled Reductions of Domestic Tranche A
     Revolving Loan Commitments. Any voluntary reduction of the Domestic Tranche
     A Revolving Loan Commitments pursuant to subsection 2.4B(ii) shall be
     applied to reduce the scheduled reductions of the Domestic Tranche A
     Revolving Loan Commitments set forth in subsection 2.4A(iii) in forward
     chronological order. Any mandatory reduction of the Domestic Tranche A
     Revolving Loan Commitments pursuant to subsection 2.4B(iii) shall be
     applied on a pro rata basis (in accordance with the respective outstanding
     principal amounts thereof) to each scheduled reduction of the Domestic
     Tranche A Revolving Loan Commitments set forth in subsection 2.4A(iii) that
     is remaining at the time of such mandatory reduction in inverse order of
     maturity.

     C. GENERAL PROVISIONS REGARDING PAYMENTS.

     (i) Manner and Time of Payment. Borrowers shall make all payments in
respect of any Loan denominated in an Applicable Currency in the same Applicable
Currency. All payments by Borrower of (x) principal and interest in respect of
Loans hereunder and under any Notes shall be made in the same Applicable
Currency as incurred, and (y) except as may be otherwise provided elsewhere in
this Agreement, all fees and all other Obligations hereunder and under any Notes
shall be made in Dollars (amounts denominated in a currency other than Dollars
shall be converted into Dollars by reference to the applicable Exchange Rate),
in each case in Same Day Funds and without defense, setoff, counterclaim or
other deduction, free of any restriction or condition, and delivered to
Administrative Agent not later than 12:00 Noon (Local Time) on the date due to
the applicable Funding and Payment Office. Funds received by Administrative
Agent after the times specified above on the due dates specified above shall be
deemed to have been paid by Borrowers on the next succeeding Business Day. Each
Borrower hereby authorizes Administrative Agent to charge its accounts with
Administrative Agent in order to cause timely payment to be made to
Administrative Agent of all principal, interest, fees and expenses due hereunder
(subject to sufficient funds being available in its accounts for that purpose).

     (ii) Application of Payments to Principal and Interest. Except as provided
in subsection 2.2C, all payments in respect of the principal amount of any Loan
shall include payment of accrued interest on the principal amount being repaid
or prepaid, and all such payments (and, in any event, any payments in respect of
any Loan on a date when interest is due and payable with respect to such Loan)
shall be applied to the payment of interest before application to principal.

     (iii) Apportionment of Payments. Aggregate principal and interest payments
in respect of Term Loans and Revolving Loans shall be apportioned among all
outstanding Loans to which such payments relate, in each case proportionately to
such Lenders' respective Pro Rata Shares. Administrative Agent shall promptly
distribute to the applicable Lender, at its

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primary address set forth below its name on the appropriate signature page
hereof or at such other address as such Lender may request, its Pro Rata Share
of all such payments received by Administrative Agent and the commitment fees of
such Lender when received by Administrative Agent pursuant to subsection 2.3.
Notwithstanding the foregoing provisions of this subsection 2.4C(iii), if,
pursuant to the provisions of subsection 2.6C, any Notice of Conversion/
Continuation is withdrawn as to any Affected Lender or if any Affected Lender
makes Base Rate Loans in lieu of its Pro Rata Share of any Offshore Rate Loans,
Administrative Agent shall give effect thereto in apportioning payments received
thereafter.

     (iv) Payments on Business Days. Whenever any payment to be made hereunder
shall be stated to be due on a day that is not a Business Day, such payment
shall be made on the next succeeding Business Day and such extension of time
shall be included in the computation of the payment of interest hereunder or of
the commitment or Letter of Credit fees hereunder, as the case may be.

     (v) Notation of Payment. Each Lender agrees that before disposing of any
Note held by it, or any part thereof (other than by granting participations
therein), that Lender will make a notation thereon of all Loans evidenced by
that Note and all principal payments previously made thereon and of the date to
which interest thereon has been paid; provided that the failure to make (or any
error in the making of) a notation of any Loan made under such Note shall not
limit or otherwise affect the obligations of any Borrower hereunder or under
such Note with respect to any Loan or any payments of principal or interest on
such Note.

2.5 USE OF PROCEEDS.

     A. TERM LOANS. The obligations of the Borrowers under the Existing Credit
Agreement (including the Existing Letters of Credit) shall be continued as
and/or converted into Domestic Term Loans in an aggregate principal amount of
$131,243,580, UK Term Loans in an aggregate principal amount of $18,756,420 and
Tranche B Revolving Loans and Tranche B Letters of Credit in an aggregate
principal amount of $50,000,000.

     B. REVOLVING LOANS; SWING LINE LOANS. Up to $50,000,000 of the Tranche B
Revolving Loan Commitments shall be used by Borrowers on the Effective Date in
connection with the continuation and/or conversion of the obligations of the
Borrowers under the Existing Credit Agreement (including the Existing Letters of
Credit) into Tranche B Revolving Loans and Tranche B Letters of Credit
hereunder. The proceeds of any other Revolving Loans and Swing Line Loans shall
be used for working capital and general corporate purposes, which may include
without limitation the making of intercompany loans to any of Company's
wholly-owned Subsidiaries for their own working capital and general corporate
purposes in accordance with subsection 7.1(iii).

     C. MARGIN REGULATIONS. No portion of the proceeds of any borrowing under
this Agreement shall be used by any Borrower or any of its Subsidiaries in any
manner that might cause the borrowing or the application of such proceeds to
violate Regulation U, Regulation T or Regulation X of the Board of Governors of
the Federal Reserve System or any

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other regulation of such Board or to violate the Exchange Act, or to violate any
other similar or  comparable  laws of the UK, France or Japan in each case as in
effect on the date or dates of such borrowing and such use of proceeds.

2.6 SPECIAL PROVISIONS GOVERNING OFFSHORE RATE LOANS.

     Notwithstanding any other provision of this Agreement to the contrary, the
following provisions shall govern with respect to Offshore Rate Loans as to the
matters covered:

     A. DETERMINATION OF APPLICABLE INTEREST RATE. As soon as practicable after
11:00 A.M. (London time) on each Interest Rate Determination Date,
Administrative Agent shall determine (which determination shall, absent manifest
error, be final, conclusive and binding upon all parties) the interest rate that
shall apply to the Offshore Rate Loans for which an interest rate is then being
determined for the applicable Interest Period and shall promptly give notice
thereof (in writing or by telephone confirmed in writing) to the Borrower and
each applicable Lender.

     B. INABILITY TO DETERMINE APPLICABLE INTEREST RATE. In the event that
Administrative Agent shall have determined (which determination shall be final
and conclusive and binding upon all parties hereto), on any Interest Rate
Determination Date with respect to any Offshore Rate Loans that by reason of
circumstances affecting the interbank Eurodollar market adequate and fair means
do not exist for ascertaining the interest rate applicable to such Loans on the
basis provided for in the definition of Adjusted Offshore Rate, Administrative
Agent shall on such date give notice (by telefacsimile or by telephone confirmed
in writing) to the Borrower and each applicable Lender, of such determination,
whereupon (i) no Loans may be made as, or converted to, Offshore Rate Loans
until such time as Administrative Agent notifies such Borrower and such Lenders
that the circumstances giving rise to such notice no longer exist and (ii) any
Notice of Borrowing or Notice of Conversion/Continuation given by a Borrower
with respect to the Loans in respect of which such determination was made shall
be deemed to be rescinded by such Borrower.

     C. ILLEGALITY OR IMPRACTICABILITY OF OFFSHORE RATE LOANS. In the event that
on any date any Lender shall have determined (which determination shall be final
and conclusive and binding upon all parties hereto but shall be made only after
consultation with the Borrower and Administrative Agent) that the making,
maintaining or continuation of its Offshore Rate Loans (i) has become unlawful
as a result of compliance by such Lender in good faith with any law, treaty,
governmental rule, regulation, guideline or order (or would conflict with any
such treaty, governmental rule, regulation, guideline or order not having the
force of law even though the failure to comply therewith would not be unlawful)
or (ii) has become impracticable, or would cause such Lender material hardship,
as a result of contingencies occurring after the date of this Agreement which
materially and adversely affect the interbank Eurodollar market or the position
of such Lender in that market, then, and in any such event, such Lender shall be
an "AFFECTED LENDER" and it shall on that day give notice (by telefacsimile or
by telephone confirmed in writing) to the Borrower and Administrative Agent of
such determination (which

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<PAGE>

notice Administrative Agent shall promptly transmit to each other applicable
Lender). Thereafter (a) the obligation of the Affected Lender to make Loans as,
or to convert Loans to, Offshore Rate Loans shall be suspended until such notice
shall be withdrawn by the Affected Lender, (b) to the extent such determination
by the Affected Lender relates to an Offshore Rate Loan then being requested by
a Borrower pursuant to a Notice of Borrowing or a Notice of
Conversion/Continuation, the Affected Lender shall make such Loan as (or convert
such Loan to, as the case may be) a Base Rate Loan, (c) the Affected Lender's
obligation to maintain its outstanding Offshore Rate Loans (the "AFFECTED
LOANS"), shall be terminated at the earlier to occur of the expiration of the
Interest Period then in effect with respect to the Affected Loans or when
required by law, and (d) the Affected Loans shall automatically convert into
applicable Base Rate Loans on the date of such termination. Notwithstanding the
foregoing, to the extent a determination by an Affected Lender as described
above relates to an Offshore Rate Loan then being requested by a Borrower
pursuant to a Notice of Borrowing or a Notice of Conversion/Continuation, such
Borrower shall have the option, subject to the provisions of subsection 2.6D, to
rescind such Notice of Borrowing or Notice of Conversion/Continuation as to all
Lenders by giving notice (by telefacsimile or by telephone confirmed in writing)
to Administrative Agent of such rescission on the date on which the Affected
Lender gives notice of its determination as described above (which notice of
rescission Administrative Agent shall promptly transmit to each other applicable
Lender). Except as provided in the immediately preceding sentence, nothing in
this subsection 2.6C shall affect the obligation of any Lender other than an
Affected Lender to make or maintain Loans as, or to convert Loans to, Offshore
Rate Loans in accordance with the terms of this Agreement.

     D. COMPENSATION FOR BREAKAGE OR NON-COMMENCEMENT OF INTEREST PERIODS. A
Borrower shall compensate each Lender, upon written request by that Lender
(which request shall set forth in reasonable detail the basis for requesting
such amounts), for all reasonable losses, expenses and liabilities (including,
without limitation, any interest paid by that Lender to lenders of funds
borrowed by it to make or carry its Offshore Rate Loans, and any loss, expense
or liability sustained by that Lender in connection with the liquidation or
re-employment of such funds) which that Lender may sustain: (i) if for any
reason (other than a default by that Lender) a borrowing of any Offshore Rate
Loan does not occur on a date specified therefor in a Notice of Borrowing or a
telephonic request for borrowing, or a conversion to or continuation of any
Offshore Rate Loan does not occur on a date specified therefor in a Notice of
Conversion/Continuation or a telephonic request for conversion or continuation,
(ii) if any prepayment or other principal payment or any conversion of any of
its Offshore Rate Loans occurs on a date prior to the last day of an Interest
Period applicable to that Loan, (iii) if any prepayment of any of its Offshore
Rate Loans is not made on any date specified in a notice of prepayment given by
the Borrower, or (iv) as a consequence of any other default by the Borrower in
the repayment of its Offshore Rate Loans when required by the terms of this
Agreement.

     E. BOOKING OF OFFSHORE RATE LOANS. Any Lender may make, carry or transfer
Offshore Rate Loans at, to, or for the account of any of its branch offices or
the office of an Affiliate of that Lender.

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     F. ASSUMPTIONS CONCERNING FUNDING OF OFFSHORE RATE LOANS. Calculation of
all amounts payable to a Lender under this subsection 2.6 and under subsection
2.7A (as fully set forth in Annex A) shall be made as though that Lender had
actually funded each of its relevant Offshore Rate Loans through the purchase of
a Eurodollar deposit bearing interest at the rate obtained pursuant to clause
(i) of the definition of Adjusted Offshore Rate in an amount equal to the amount
of such Offshore Rate Loan and having a maturity comparable to the relevant
Interest Period and through the transfer of such Eurodollar deposit from an
offshore office of that Lender to a domestic office of that Lender; provided,
however, that each Lender may fund each of its Offshore Rate Loans in any manner
it sees fit and the foregoing assumptions shall be utilized only for the
purposes of calculating amounts payable under this subsection 2.6 and under
subsection 2.7A.

     G. OFFSHORE RATE LOANS AFTER DEFAULT. After the occurrence of and during
the continuation of a Potential Event of Default or an Event of Default, (i)
Borrowers may elect to have an Offshore Rate Loan denominated in an Offshore
Currency made or maintained as an Offshore Rate Loan, (ii) Borrowers may not
elect to have a Base Rate Loan denominated in Dollars converted to an Offshore
Rate Loan, after the expiration of any Interest Period then in effect for that
Loan, (iii) Borrowers may not elect to have an Offshore Rate Loan denominated in
Dollars maintained as an Offshore Rate Loan, and such Loan shall be converted
into a Base Rate Loan, and (iv) subject to the provisions of subsection 2.6D,
any Notice of Borrowing or Notice of Conversion/Continuation given by any
Borrower with respect to a requested borrowing or conversion/continuation that
has not yet occurred shall be deemed to be rescinded by such Borrower.

2.7 INCREASED COSTS; TAXES; CAPITAL ADEQUACY.

     Provisions regarding increased costs, taxes, and capital adequacy are set
forth in Annex A attached hereto and such Annex A is incorporated herein by this
reference.

2.8  OBLIGATIONS OF LENDERS AND ISSUING LENDERS TO MITIGATE; REPLACEMENT OF
     LENDERS.

     Provisions regarding obligations of Lenders and Issuing Lenders to mitigate
are set forth in Annex B attached hereto and such Annex B is incorporated herein
by this reference.

2.9  INDEMNIFYING LENDERS.

     Provisions regarding Indemnifying Lenders are set forth in Annex C attached
hereto and such Annex C is incorporated herein by this reference.

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SECTION 3. LETTERS OF CREDIT

3.1  ISSUANCE OF LETTERS OF CREDIT AND LENDERS' PURCHASE OF PARTICIPATIONS
     THEREIN.

     A. LETTERS OF CREDIT. In addition to Borrowers requesting that Lenders make
Revolving Loans pursuant to subsection 2.1A(ii) and that Swing Line Lender makes
Swing Line Loans pursuant to subsection 2.1A(iii), Borrowers may request, in
accordance with the provisions of this subsection 3.1, from time to time during
the period from the Effective Date to but excluding the date which is (x) the
fifth Business Day prior to the Commitment Termination Date (in the case of
Standby Letters of Credit) and (y) the thirtieth Business Day prior to the
Commitment Termination Date (in the case of Commercial Letters of Credit), that
one or more Lenders issue Letters of Credit payable on a sight basis for the
account of such Borrower for the purposes specified in the definitions of
Commercial Letters of Credit and Standby Letters of Credit. Subject to the terms
and conditions of this Agreement and in reliance upon the representations and
warranties of Borrowers set forth herein, any one or more Lenders may, but
(except as provided in subsection 3.1B(ii)) shall not be obligated to, issue
such Letters of Credit in accordance with the provisions of this subsection 3.1;
provided that Borrowers shall not request that any Lenders issue (and no Lender
shall issue):

          (i) any Letter of Credit if, after giving effect to such issuance, the
     Total Utilization of Tranche A Revolving Loan Commitments for Company would
     exceed (x) the Maximum Tranche A Revolving Loan Commitments then in effect
     or (y) the Borrowing Base then in effect;

          (ii) any Letter of Credit if, after giving effect to such issuance,
     (x) the Total Utilization of Tranche B Revolving Loan Commitments for all
     Borrowers would exceed the Maximum Tranche B Revolving Loan Commitments for
     all Borrowers then in effect, or (y) the Total Utilization of Tranche B
     Revolving Loan Commitments for any Borrower would exceed the Maximum
     Tranche B Revolving Loan Commitments for such Borrower then in effect;

          (iii) any Letter of Credit if, after giving effect to such issuance,
     (x) the Tranche A Letter of Credit Usage of Company plus the Tranche B
     Letter of Credit Usage of all Borrowers would exceed the Maximum Letter of
     Credit Amount, and (y) the Tranche B Letter of Credit Usage of any Borrower
     would exceed the Tranche B Letters of Credit Suballocation for such
     Borrower then in effect;

          (iv) any Standby Letter of Credit having an expiration date later than
     the earlier of (a) the date which is five (5) Business Days prior to the
     Commitment Termination Date and (b) the date which is one year from the
     date of issuance of such Standby Letter of Credit; provided that the
     immediately preceding clause (b) shall not prevent any Issuing Lender from
     agreeing that a Standby Letter of Credit will automatically be extended for
     one or more successive periods not to exceed one year each unless such
     Issuing Lender elects not to extend for any such additional period; and
     provided further that such Issuing Lender shall elect not to extend such
     Standby Letter of

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     Credit if it has knowledge that an Event of Default has occurred and is
     continuing (and has not been waived in accordance with subsection 10.6) at
     the time such Issuing Lender must elect whether or not to allow such
     extension; or

          (v) any Commercial Letter of Credit having an expiration date (a)
     later than the earlier of (X) the date which is thirty (30) Business Days
     prior to the Revolving Commitment Termination Date and (Y) the date which
     is 180 days from the date of issuance of such Commercial Letter of Credit
     or (b) that is otherwise unacceptable to the applicable Issuing Lender in
     its reasonable discretion.

     B. MECHANICS OF ISSUANCE.

          (i) Request for Issuance. Whenever any Borrower desires the issuance
     of a Letter of Credit, it shall deliver to Administrative Agent a Request
     for Issuance of Letter of Credit in the form of Exhibit III annexed hereto
     no later than 12:00 Noon (New York time) at least two (2) Business Days, or
     such shorter period as may be agreed to by the Issuing Lender in any
     particular instance, in advance of the proposed date of issuance. The
     Request for Issuance of Letter of Credit shall specify (a) the proposed
     date of issuance (which shall be a Business Day), (b) the Type of Letter of
     Credit and whether the Letter of Credit is to be a Standby Letter of Credit
     or a Commercial Letter of Credit, (c) the face amount of the Letter of
     Credit expressed in Dollars or in a currency other than Dollars, (d) the
     expiration date of the Letter of Credit, (e) the name and address of the
     beneficiary, and (f) either the verbatim text of the proposed Letter of
     Credit or the proposed terms and conditions thereof, including a precise
     description of any documents to be presented by the beneficiary which, if
     presented by the beneficiary prior to the expiration date of the Letter of
     Credit, would require the Issuing Lender to make payment under the Letter
     of Credit; provided that the Issuing Lender, in its reasonable discretion,
     may require changes in the text of the proposed Letter of Credit or any
     such documents.

          Such Borrower shall notify the applicable Issuing Lender (and
     Administrative Agent, if Administrative Agent or one of its Affiliates is
     not such Issuing Lender) prior to the issuance of any Letter of Credit in
     the event that any of the matters to which it is required to certify in the
     applicable Request for Issuance of Letter of Credit is no longer true and
     correct as of the proposed date of issuance of such Letter of Credit, and
     upon the issuance of any Letter of Credit such Borrower shall be deemed to
     have re-certified, as of the date of such issuance, as to the matters to
     which it is required to certify in the applicable Request for Issuance of
     Letter of Credit.

          (ii) Determination of Issuing Lender. Upon receipt by Administrative
     Agent of a Request for Issuance of Letter of Credit pursuant to subsection
     3.1B(i) requesting the issuance of a Letter of Credit, in the event
     Administrative Agent or one of its Affiliates elects to issue such Letter
     of Credit, Administrative Agent shall promptly so notify Borrower, and
     Administrative Agent or such Affiliate shall be the Issuing Lender with
     respect thereto. In the event that Administrative Agent or one of its
     Affiliates, in the sole

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     discretion of the Administrative Agent or such Affiliate, elects not to
     issue such Letter of Credit, Administrative Agent shall promptly notify
     Borrower, whereupon Borrower may request any other applicable Lender to
     issue such Letter of Credit by delivering to such Lender a copy of the
     applicable Request for Issuance of Letter of Credit. Any applicable Lender
     so requested to issue such Letter of Credit shall promptly notify Borrower
     and Administrative Agent whether or not, in its sole discretion, it has
     elected to issue such Letter of Credit, and any such applicable Lender
     which so elects to issue such Letter of Credit shall be the Issuing Lender
     with respect thereto. In the event that all other applicable Lenders shall
     have declined to issue such Letter of Credit, notwithstanding the prior
     election of Administrative Agent or its Affiliates not to issue such Letter
     of Credit, Administrative Agent or one of its Affiliates shall be obligated
     to issue such Letter of Credit and shall be the Issuing Lender with respect
     thereto, notwithstanding the fact that (x) with respect to any such Tranche
     A Letter of Credit, the Tranche A Letter of Credit Usage with respect to
     such Tranche A Letter of Credit and with respect to all other Tranche A
     Letters of Credit issued by the Administrative Agent or one of its
     Affiliates, when aggregated with Administrative Agent's outstanding
     Domestic Tranche A Revolving Loans and Tranche A Swing Line Loans, may
     exceed Administrative Agent's Domestic Tranche A Revolving Loan Commitments
     for such Borrower then in effect, or (y) with respect to any such Tranche B
     Letter of Credit, the Tranche B Letter of Credit Usage with respect to such
     Tranche B Letter of Credit and with respect to all other Tranche B Letters
     of Credit issued by the Administrative Agent or its Affiliates, when
     aggregated with Administrative Agent's outstanding Tranche B Revolving
     Loans and Tranche B Swing Line Loans, may exceed Administrative Agent's
     Tranche B Revolving Loan Commitments for such Borrower then in effect.

          (iii) Issuance of Letter of Credit. Upon satisfaction or waiver (in
     accordance with subsection 10.6) of the conditions set forth in subsection
     4.3, the Issuing Lender shall issue the requested Letter of Credit in
     accordance with the Issuing Lender's standard operating procedures.

          (iv) Notification to Lenders. Upon the issuance of or amendment to any
     Standby Letter of Credit, the applicable Issuing Lender shall promptly
     notify the applicable Borrower and Administrative Agent of such issuance or
     amendment and which notice shall be accompanied by a copy of such Standby
     Letter of Credit or amendment. Promptly after receipt of such notice (or,
     if Administrative Agent or one of its Affiliates is the Issuing Lender,
     together with such notice), Administrative Agent shall notify each
     applicable Lender of such issuance or modification and the amount of such
     Lender's respective participation in such Standby Letter of Credit or
     amendment, as determined in accordance with subsection 3.1C. Upon request
     of any applicable Lender, Administrative Agent will furnish such Lender
     with copies of any such issuance or amendment.

          (v) Reports to Lenders. In the event that the Issuing Lender is other
     than Administrative Agent or one of its Affiliates, such Issuing Lender
     will send by facsimile transmission to Administrative Agent, promptly on
     the first Business Day of each week,

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     its daily maximum amount available to be drawn under the Commercial Letters
     of Credit issued by such Issuing Lender for the previous week.
     Administrative Agent shall deliver to each Lender upon each calendar month
     end, and upon each Commercial Letter of Credit fee payment, a report
     setting forth the daily maximum amount available to be drawn for all
     Issuing Lenders during such period.

     C. REVOLVING LENDERS' PURCHASE OF PARTICIPATIONS IN LETTERS OF CREDIT.
Immediately upon the issuance of each Letter of Credit for the benefit of
Company, Goss UK, Goss France or Goss Japan, as the case may be, each applicable
Lender shall be deemed to, and hereby agrees to, have irrevocably purchased from
the Issuing Lender a participation in such Letter of Credit and drawings
thereunder in an amount equal to such Lender's Pro Rata Share of the applicable
Revolving Loan Commitment of the maximum amount which is or at any time may
become available to be drawn thereunder. Upon satisfaction of the conditions set
forth in subsection 4.1, the Existing Letters of Credit shall, effective as of
the Effective Date, become Tranche B Letters of Credit under this Agreement to
the same extent as if initially issued hereunder and each Domestic Tranche B
Lender, UK Lender, French Lender and/or Japanese Lender, as the case may be,
shall be deemed to have irrevocably purchased from the Issuing Lender(s) of such
Existing Letters of Credit a participation in such applicable Tranche B Letters
of Credit and drawings thereunder in an amount equal to such Lender's Pro Rata
Share of the maximum amount which is or at any time may become available to be
drawn thereunder. All such Existing Letters of Credit which become Tranche B
Letters of Credit under this Agreement shall be fully secured by the Collateral
commencing on the Effective Date to the same extent as if initially issued
hereunder on such date.

3.2 LETTER OF CREDIT FEES.

     Each Borrower agrees to pay the following amounts with respect to Letters
of Credit issued hereunder for such Borrower's account:

          (i) with respect to each Standby Letter of Credit, (a) a fronting fee,
     payable in Dollars directly to the applicable Issuing Lender for its own
     account, equal to the greater of (X) $500 per year per Letter of Credit and
     (Y) 0.25% per annum of the Dollar Equivalent of the daily maximum amount
     available to be drawn under such Standby Letter of Credit, and (b) a letter
     of credit fee, payable in Dollars to Administrative Agent for the account
     of Lenders, equal to (x) the Applicable Offshore Rate Margin multiplied by
     (y) the Dollar Equivalent of the daily maximum amount available to be drawn
     under such Standby Letter of Credit, in each case payable in arrears on and
     to (but excluding) the date that is three Business Days after each March
     31, June 30, September 30 and December 31 of each year and computed on the
     basis of a 360-day year for the actual number of days elapsed;

          (ii) with respect to each Commercial Letter of Credit, (a) a fronting
     fee, payable in Dollars directly to the applicable Issuing Lender for its
     own account, equal to the greater of (X) $500 per year per Letter of Credit
     and (Y) 0.25% per annum of the

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     Dollar Equivalent of the daily maximum amount available to be drawn under
     such Commercial Letter of Credit, in each case payable in arrears on and to
     (but excluding) the date that is three Business Days after each March 31,
     June 30, September 30 and December 31 of each year and computed on the
     basis of a 360-day year for the actual number of days elapsed; and

          (iii) with respect to the issuance, amendment or transfer of each
     Letter of Credit and each payment of a drawing made thereunder (without
     duplication of the fees payable under clauses (i) and (ii) above),
     documentary and processing charges payable directly to the applicable
     Issuing Lender for its own account in accordance with such Issuing Lender's
     standard schedule for such charges in effect at the time of such issuance,
     amendment, transfer or payment, as the case may be.

     For purposes of calculating any fees payable under clauses (i) or (ii) of
this subsection 3.2, (1) the Dollar Equivalent of the daily amount available to
be drawn under any Letter of Credit shall be determined as of the close of
business on any date of determination, (2) any adjustments in the Applicable
Offshore Rate Margin shall be made in accordance with subsection 2.2A, (3) any
amount which is denominated in a currency other than Dollars shall be determined
based on the applicable Exchange Rate for such currency as of each first
Business Day after each March 31, June 30, September 30 or December 31, as the
case may be, of each year, and (4) Administrative Agent shall provide to
Borrowers on each first Business Day after each March 31, June 30, September 30
or December 31 of each year a report specifying the Letter of Credit fees
payable by each Borrower and including the calculations of such fees and the
Exchange Rate used, and Borrowers shall pay such fees no later than two Business
Days after delivery of such report. Promptly upon receipt by Administrative
Agent of any amount described in clause (i)(b) and (ii)(b) of this subsection
3.2, Administrative Agent shall distribute to each other applicable Lender its
Pro Rata Share of such amount. With respect to Existing Letters of Credit, the
fees described in clauses (i) and (ii) above shall accrue from and including the
Effective Date.

3.3 DRAWINGS AND REIMBURSEMENT OF AMOUNTS DRAWN UNDER LETTERS OF CREDIT.

     A. RESPONSIBILITY OF ISSUING LENDER WITH RESPECT TO DRAWINGS. In
determining whether to honor any drawing under any Letter of Credit by the
beneficiary thereof, the Issuing Lender shall be responsible only to exercise
reasonable care to determine that the documents required to be delivered under
such Letter of Credit have been delivered and that they substantially comply on
their face with the requirements of such Letter of Credit.

     B. REIMBURSEMENT BY BORROWERS OF AMOUNTS DRAWN UNDER LETTERS OF CREDIT. In
the event an Issuing Lender has determined to honor a drawing under a Letter of
Credit issued by it, (i) such Issuing Lender shall immediately notify the
Borrower and

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Administrative Agent and (ii) Borrower shall reimburse such Issuing Lender on or
before the Business Day immediately following the date on which such drawing is
honored (the "REIMBURSEMENT DATE") in an amount in same day funds in Dollars
(which amount, in the case of a drawing under a Letter of Credit which is
denominated in a currency other than Dollars, shall be calculated by reference
to the applicable Exchange Rate) equal to the amount of such drawing; provided
that, anything contained in this Agreement to the contrary notwithstanding, (i)
unless the Borrower shall have notified Administrative Agent and such Issuing
Lender prior to 12:00 Noon (New York time) on the date such drawing is honored
that such Borrower intends to reimburse such Issuing Lender for the amount of
such drawing with funds other than the proceeds of Revolving Loans, such
Borrower shall be deemed to have given a timely Notice of Borrowing to
Administrative Agent requesting Lenders to make applicable Revolving Loans that
are (x) Base Rate Loans (in the case of Company) or (y) Offshore Rate Loans with
an Interest Period of one week (in the case of Goss UK, Goss France or Goss
Japan) on the Reimbursement Date in an amount in Dollars (which amount, in the
case of a drawing under a Letter of Credit which is denominated in a currency
other than Dollars, shall be calculated by reference to the applicable Exchange
Rate) equal to the amount of such drawing and (ii) subject to satisfaction or
waiver of the conditions specified in subsection 4.2C, Lenders shall, on the
Reimbursement Date, make applicable Revolving Loans denominated in Dollars that
are (x) Base Rate Loans (in the case of Company) or (y) Offshore Rate Loans with
an Interest Period of one week (in the case of Goss UK, Goss France or Goss
Japan) in the amount of such drawing, the proceeds of which shall be applied
directly by Administrative Agent to reimburse such Issuing Lender for the amount
of such drawing; and provided further that if for any reason proceeds of
applicable Revolving Loans are not received by such Issuing Lender on the
Reimbursement Date in an amount equal to the amount of such drawing, such
Borrower shall reimburse such Issuing Lender, on demand, in an amount in same
day funds equal to the excess of the amount of such drawing over the aggregate
amount of such applicable Revolving Loans, if any, which are so received.
Nothing in this subsection 3.3B shall be deemed to relieve any Lender from its
obligation to make applicable Revolving Loans on the terms and conditions set
forth in this Agreement, and such Borrower shall retain any and all rights it
may have against any Lender resulting from the failure of such Lender to make
such applicable Revolving Loans under this subsection 3.3B.

     C. PAYMENT BY LENDERS OF UNREIMBURSED DRAWINGS UNDER LETTERS OF CREDIT.

          (i) Payment by Lenders. In the event that the Borrower shall fail for
     any reason to reimburse any Issuing Lender as provided in subsection 3.3B
     in an amount (calculated in the case of a drawing under a Letter of Credit
     denominated in an Offshore Currency, by reference to the applicable
     Exchange Rate) equal to the amount of any drawing honored by such Issuing
     Lender under a Letter of Credit issued by it, such Issuing Lender shall
     promptly notify each other Lender having a Revolving Loan Commitment of
     such Type, of the unreimbursed amount of such drawing and having a
     Revolving Loan Commitment of such Type, of such other Lender's respective
     participation therein based on such Lender's Pro Rata Share. Each such
     Lender shall make available to such Issuing Lender an amount equal to its
     respective participation in

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     same day funds in Dollars, at the office of such Issuing Lender specified
     in such notice, not later than 12:00 Noon (New York time) on the first
     business day (under the laws of the jurisdiction in which such office of
     such Issuing Lender is located) after the date notified by such Issuing
     Lender. In the event that any such Lender fails to make available to such
     Issuing Lender on such business day the amount of such Lender's
     participation in such Letter of Credit or the amount of the unreimbursed
     drawing regarding such Letter of Credit as provided in this subsection
     3.3C, such Issuing Lender shall be entitled to recover such amount on
     demand from such Lender together with interest thereon at the rate
     customarily used by such Issuing Lender for the correction of errors among
     banks for three Business Days and thereafter at the Base Rate. Nothing in
     this subsection 3.3C shall be deemed to prejudice the right of any such
     Lender to recover from any Issuing Lender any amounts made available by
     such Lender to such Issuing Lender pursuant to this subsection 3.3C in the
     event that it is determined by the final judgment of a court of competent
     jurisdiction that the payment with respect to a Letter of Credit by such
     Issuing Lender in respect of which payment was made by such Lender
     constituted gross negligence or willful misconduct (as determined by a
     final judgment of a court of competent jurisdiction) on the part of such
     Issuing Lender.

          (ii) Distribution to Lenders of Reimbursements Received From
     Borrowers. In the event any Issuing Lender shall have been reimbursed by
     other Lenders pursuant to subsection 3.3C(i) for all or any portion of any
     drawing honored by such Issuing Lender under a Letter of Credit issued by
     it, such Issuing Lender shall distribute to each other Lender which has
     paid all amounts payable by it under subsection 3.3C(i) with respect to
     such drawing such other Lender's Pro Rata Share of all payments
     subsequently received by such Issuing Lender from a Borrower in
     reimbursement of such drawing when such payments are received. Any such
     distribution shall be made to a Lender at its primary address set forth
     below its name on the appropriate signature page hereof or at such other
     address as such Lender may request.

     D. INTEREST ON AMOUNTS DRAWN UNDER LETTERS OF CREDIT.

          (i) Payment of Interest by Borrowers. Each Borrower agrees to pay to
     Issuing Lender, with respect to drawings made under any Letters of Credit
     issued by such Issuing Lender at such Borrower's request, interest on the
     amount paid by such Issuing Lender in respect of each such drawing from the
     date of such drawing to but excluding the date such amount is reimbursed by
     the Borrower (including any such reimbursement out of the proceeds of
     Revolving Loans pursuant to subsection 3.3B) at a rate equal to (a) for the
     period from the date of such drawing to but excluding the Reimbursement
     Date, the rate then in effect under this Agreement with respect to
     Revolving Loans that are Base Rate Loans and (b) thereafter, a rate which
     is 2.00% per annum in excess of the rate of interest otherwise payable
     under this Agreement with respect to Revolving Loans that are Base Rate
     Loans. Interest payable pursuant to this subsection 3.3D(i) shall be
     computed on the basis of a 360-day year for the actual number of days
     elapsed in the

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     period during which it accrues and shall be payable on demand or, if no
     demand is made, on the date on which the related drawing under a Letter of
     Credit is reimbursed in full.

          (ii) Distribution of Interest Payments by Issuing Lender. Promptly
     upon receipt by any Issuing Lender of any payment of interest pursuant to
     subsection 3.3D(i) with respect to a drawing under a Letter of Credit
     issued by it, (a) such Issuing Lender shall distribute to each other
     applicable Lender, out of the interest received by such Issuing Lender in
     respect of the period from the date of such drawing to but excluding the
     date on which such Issuing Lender is reimbursed for the amount of such
     drawing (including any such reimbursement out of the proceeds of Revolving
     Loans pursuant to subsection 3.3B), the amount that such other Lender would
     have been entitled to receive in respect of the letter of credit fee that
     would have been payable in respect of such Letter of Credit for such period
     pursuant to subsection 3.2 if no drawing had been made under such Letter of
     Credit, and (b) in the event such Issuing Lender shall have been reimbursed
     by other Lenders pursuant to subsection 3.3C(i) for all or any portion of
     such drawing, such Issuing Lender shall distribute to each other Lender
     which has paid all amounts payable by it under subsection 3.3C(i) with
     respect to such drawing such other Lender's Pro Rata Share of any interest
     received by such Issuing Lender in respect of that portion of such drawing
     so reimbursed by such other Lender for the period from the date on which
     such Issuing Lender was so reimbursed by such other Lender to but excluding
     the date on which such portion of such drawing is reimbursed by the
     Borrower. Any such distribution shall be made to a Lender at its primary
     address set forth below its name on the appropriate signature page hereof
     or at such other address as such Lender may request.

3.4 OBLIGATIONS ABSOLUTE.

     The obligation of a Borrower to reimburse an Issuing Lender for drawings
made under the Letters of Credit issued by it and to repay any Revolving Loans
made by Lenders pursuant to subsection 3.3B and the obligations of Lenders under
subsection 3.3C(i) shall be unconditional and irrevocable, and any such payments
shall be made strictly in accordance with the terms of this Agreement under all
circumstances including, without limitation, any of the following circumstances:

          (i) any lack of validity or enforceability of any Letter of Credit;

          (ii) the existence of any claim, set-off, defense or other right which
     any Borrower or any Lender may have at any time against a beneficiary or
     any transferee of any Letter of Credit (or any Persons for whom any such
     transferee may be acting), any Issuing Lender or other Lender or any other
     Person or, in the case of a Lender, against any Borrower, whether in
     connection with this Agreement, the transactions contemplated herein or any
     unrelated transaction (including any underlying transaction between
     Borrower or one of its Subsidiaries and the beneficiary for which any
     Letter of Credit was procured);

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          (iii) any draft or document presented under any Letter of Credit
     proving to be forged, fraudulent, invalid or insufficient in any respect or
     any statement therein being untrue or inaccurate in any respect;

          (iv) payment by the applicable Issuing Lender under any Letter of
     Credit against presentation of a draft or document which does not
     substantially comply with the terms of such Letter of Credit;

          (v) any adverse change in the business, operations, properties,
     assets, condition (financial or otherwise) or prospects of Borrower or any
     of its Subsidiaries;

          (vi) any breach of this Agreement or any other Loan Document by any
     party thereto;

          (vii) any other circumstance or happening whatsoever, whether or not
     similar to any of the foregoing; or

          (viii) the fact that an Event of Default or a Potential Event of
     Default shall have occurred and be continuing;

provided, in each case, that payment by the applicable Issuing Lender under the
applicable Letter of Credit shall not have constituted gross negligence or
willful misconduct of such Issuing Lender under the circumstances in question
(as determined by a final judgment of a court of competent jurisdiction).

3.5 INDEMNIFICATION; NATURE OF ISSUING LENDERS' DUTIES.

     A. INDEMNIFICATION. In addition to amounts payable as provided in
subsection 3.6, each Borrower hereby agrees to protect, indemnify, pay and save
harmless each Issuing Lender from and against any and all claims, demands,
liabilities, damages, losses, costs, charges and expenses (including reasonable
fees, expenses and disbursements of counsel and reasonable allocated costs of
internal counsel) which such Issuing Lender may incur or be subject to as a
consequence, direct or indirect, of (i) the issuance of any Letter of Credit by
such Issuing Lender, other than as a result of (a) the gross negligence or
willful misconduct of such Issuing Lender as determined by a final judgment of a
court of competent jurisdiction or (b) subject to the following clause (ii), the
wrongful dishonor by such Issuing Lender of a proper demand for payment made
under any Letter of Credit issued by it or (ii) the failure of such Issuing
Lender to honor a drawing under any such Letter of Credit as a result of any act
or omission, whether rightful or wrongful, of any Governmental Authority (all
such acts or omissions herein called "GOVERNMENTAL ACTS").

     B. NATURE OF ISSUING LENDERS' DUTIES. As between any Borrower on the one
hand and any Issuing Lender on the other hand, Borrower assumes all risks of the
acts and omissions of, or misuse of the Letters of Credit issued by such

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Issuing Lender by, the respective beneficiaries of such Letters of Credit. In
furtherance and not in limitation of the foregoing, such Issuing Lender shall
not be responsible (absent a determination of a court of competent jurisdiction
of gross negligence or willful misconduct by Issuing Lender) for: (i) the form,
validity, sufficiency, accuracy, genuineness or legal effect of any document
submitted by any party in connection with the application for and issuance of
any such Letter of Credit, even if it should in fact prove to be in any or all
respects invalid, insufficient, inaccurate, fraudulent or forged; (ii) the
validity or sufficiency of any instrument transferring or assigning or
purporting to transfer or assign any such 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; (iii) failure of the beneficiary of
any such Letter of Credit to comply fully with any conditions required in order
to draw upon such Letter of Credit; (iv) errors, omissions, interruptions or
delays in transmission or delivery of any messages, by mail, cable, telegraph,
telex or otherwise, whether or not they be in cipher; (v) errors in
interpretation of technical terms; (vi) any loss or delay in the transmission or
otherwise of any document required in order to make a drawing under any such
Letter of Credit or of the proceeds thereof; (vii) the misapplication by the
beneficiary of any such Letter of Credit of the proceeds of any drawing under
such Letter of Credit; or (viii) any consequences arising from causes beyond the
control of such Issuing Lender, including without limitation any Governmental
Acts, and none of the above shall affect or impair, or prevent the vesting of,
any of such Issuing Lender's rights or powers hereunder.

     In furtherance and extension and not in limitation of the specific
provisions set forth in the first paragraph of this subsection 3.5B, any action
taken or omitted by any Issuing Lender under or in connection with the Letters
of Credit issued by it or any documents and certificates delivered thereunder,
if taken or omitted in good faith, shall not put such Issuing Lender under any
resulting liability to any Borrower.

     Notwithstanding anything to the contrary contained in this subsection 3.5,
each Borrower shall retain any and all rights it may have against any Issuing
Lender for any liability arising solely out of the gross negligence or willful
misconduct of such Issuing Lender, as determined by a final judgment of a court
of competent jurisdiction or out of a wrongful dishonor by Issuing Lender of a
proper demand for payment made under any Letter of Credit.

3.6     INCREASED COSTS AND TAXES RELATING TO LETTERS OF CREDIT.

     In the event that any Issuing Lender or Lender shall determine (which
determination shall, absent manifest error, be final and conclusive and binding
upon all parties hereto) that any law, treaty or governmental rule, regulation
or order, or any change therein or in the interpretation, administration or
application thereof (including the introduction of any new law, treaty or
governmental rule, regulation or order), or any determination of a court or
governmental authority, in each case that becomes effective after the date
hereof, or compliance by any Issuing Lender or Lender with any guideline,
request or directive issued or made after the date hereof by any central bank or
other governmental or quasi-governmental authority (whether or not having the
force of law):

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          (i) subjects such Issuing Lender or Lender (or its applicable lending
     or letter of credit office) to any additional Tax (other than any Tax on
     the overall net income of such Issuing Lender or Lender) with respect to
     the issuing or maintaining of any Letters of Credit or the purchasing or
     maintaining of any participations therein or any other obligations under
     this Section 3, whether directly or by such being imposed on or suffered by
     any particular Issuing Lender;

          (ii) imposes, modifies or holds applicable any reserve (including
     without limitation any marginal, emergency, supplemental, special or other
     reserve), special deposit, compulsory loan, FDIC insurance or similar
     requirement in respect of any Letters of Credit issued by any Issuing
     Lender or participations therein purchased by any Lender; or

          (iii) imposes any other condition (other than with respect to a Tax
     matter) on or affecting such Issuing Lender or Lender (or its applicable
     lending or letter of credit office) regarding this Section 3 or any Letter
     of Credit or any participation therein;

and the result of any of the foregoing is to increase the cost to such Issuing
Lender or Lender of agreeing to issue, issuing or maintaining any Letter of
Credit or agreeing to purchase, purchasing or maintaining any participation
therein or to reduce any amount received or receivable by such Issuing Lender or
Lender (or its applicable lending or letter of credit office) with respect
thereto in an amount deemed by such Issuing Lender or Lender (in its sole
discretion) to be material; then, in any case, such Borrower shall promptly pay
to such Issuing Lender or Lender, upon receipt of the statement referred to in
the next sentence, such additional amount or amounts as may be necessary to
compensate such Issuing Lender or Lender for any such increased cost or
reduction in amounts received or receivable hereunder. Such Issuing Lender or
Lender shall deliver to the Borrower a written statement, setting forth in
reasonable detail the basis for calculating the additional amounts owed to such
Issuing Lender or Lender under this subsection 3.6, which statement shall be
conclusive and binding upon all parties hereto absent manifest error.

SECTION 4. CONDITIONS TO LOANS AND LETTERS OF CREDIT

     The obligations of Lenders to make Loans and the issuance of Letters of
Credit hereunder are subject to the satisfaction of the following conditions.

4.1 CONDITIONS TO INITIAL EFFECTIVENESS.

     The obligations of Lenders to purchase or make the Term Loans, the Initial
Tranche B Revolving Loans and/or Swing Line Loans on the Effective Date are, in
addition to the conditions precedent specified in subsection 4.2, subject to
prior or concurrent satisfaction of the following conditions, and the Existing
Letters of Credit shall become Tranche B Letters of Credit under this Agreement
upon the prior or concurrent satisfaction of the following conditions:

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     A. BORROWER DOCUMENTS. On or before the Effective Date, each Borrower shall
deliver or cause to be delivered to Lenders (or to Administrative Agent for
Lenders with sufficient originally executed copies, where appropriate, for each
Lender and its counsel) the following, each, unless otherwise noted, dated the
Effective Date:

          (i) Certified copies of its Certificate or Articles of Incorporation,
     together with a good standing certificate from the Secretary of State of
     its jurisdiction of incorporation and each other state in which it is
     qualified as a foreign corporation to do business and, to the extent
     generally available and except with respect to those jurisdictions set
     forth on Schedule 4.1A, a certificate or other evidence of good standing as
     to payment of any applicable franchise or similar taxes from the
     appropriate taxing authority of each of such jurisdictions, and in the case
     of Goss UK, Goss France and Goss Japan, the comparable or equivalent
     documentation under the laws of the applicable Governmental Authority, each
     dated a recent date prior to the Effective Date;

          (ii) Copies of its Bylaws, certified as of the Effective Date by its
     corporate secretary or an assistant secretary, and in the case of Goss UK,
     Goss France and Goss Japan, the comparable or equivalent documentation,
     certified as of the Effective Date by a duly authorized officer;

          (iii) Resolutions of its Board of Directors approving and authorizing
     the execution, delivery and performance of this Agreement and the other
     Loan Documents to which it is a party, certified as of the Effective Date
     by its corporate secretary, an assistant secretary or other duly authorized
     officer as being in full force and effect without modification or
     amendment;

          (iv) Signature and incumbency certificates of its officers executing
     this Agreement and the other Loan Documents to which it is a party;

          (v) Executed and acknowledged (where applicable) originals of this
     Agreement, the Notes (duly executed in accordance with subsection 2.1E,
     drawn to the order of each applicable Lender and with appropriate
     insertions) and the other Loan Documents to which it is a party and which
     are required to be delivered on the Effective Date, which Loan Documents
     shall include:

               a. in the case of Company: a Collateral Account Agreement,
          Guaranties of Obligations of Goss UK, Goss France and Goss Japan,
          Security Agreements and/or amendments thereto and Mortgages and/or
          amendments thereto, if any;

               b. in the case of Goss UK: a Collateral Account Agreement,
          Security Agreements and Mortgages, if any;

               c. in the case of Goss France: a Collateral Account Agreement,
          Security Agreements and/or amendments thereto, if any;

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               d. in the case of Goss Japan: a Collateral Account Agreement;

          (vi) An Officers' Certificate from each Borrower as to authorized
     signatories of that Borrower for Notices of Borrowing, Notices of
     Conversion/Continuation, Requests of Issuance of Letters of Credit and
     Notices of Allocation; and

          (vii) Such other documents as Administrative Agent may reasonably
     request.

     B. NEW HOLDINGS AND SUBSIDIARY DOCUMENTS. On or before the Effective Date,
Company shall cause New Holdings and each Borrower shall cause each of its
Subsidiaries to deliver to Lenders (or to Administrative Agent for Lenders with
sufficient originally executed copies, where appropriate, for each Lender and
its counsel) the following, each, unless otherwise noted, dated the Effective
Date:

          (i) Certified copies of the Certificate or Articles of Incorporation
     of such Person, together with a good standing certificate from the
     Secretary of State of the State of its jurisdiction of incorporation and
     each other state in which such Person is qualified as a foreign corporation
     to do business and, to the extent generally available, a certificate or
     other evidence of good standing as to payment of any applicable franchise
     or similar taxes from the appropriate taxing authority of each of such
     jurisdictions, and in the case of any Foreign Subsidiary, to the extent
     generally available the comparable or equivalent documentation under the
     laws of the applicable Governmental Authority, each dated a recent date
     prior to the Effective Date;

          (ii) Copies of the Bylaws of such Person, certified as of the
     Effective Date by such Person's corporate secretary or an assistant
     secretary, and in the case of any Foreign Subsidiary, the comparable or
     equivalent documentation, certified as of the Effective Date by a duly
     authorized officer;

          (iii) Resolutions of the Board of Directors of such Person approving
     and authorizing the execution, delivery and performance of the Loan
     Documents to which it is a party, certified as of the Effective Date by the
     corporate secretary, an assistant secretary or other duly authorized
     officer of such Person as being in full force and effect without
     modification or amendment;

          (iv) Signature and incumbency certificates of the officers of such
     Person executing the Loan Documents to which it is a party;

          (v) Executed originals of the Loan Documents to which such Person is a
     party, which Loan Documents shall include:

               a. in the case of New Holdings: Guaranties of Obligations of each
          Borrower, and, with respect to such Guaranties, Security Agreements
          pledging 100% of the stock of Company;

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               b. in the case of each Domestic Subsidiary: Subsidiary Guaranties
          of the Obligations of each Borrower, and with respect to such
          Subsidiary Guaranties, Subsidiary Security Agreements and Mortgages,
          if any;

               c. in the case of each other Foreign Subsidiary (other than
          Sayama Sub): to the extent available without causing adverse tax
          consequences for Company and its Subsidiaries, Subsidiary Guaranties
          of the Obligations of each Borrower, and with respect to such
          Subsidiary Guaranties, a Security Agreement and Mortgages, if any; and

     (vi) Such other documents as Administrative Agent may reasonably request.

     C. NO MATERIAL ADVERSE EFFECT. Since July 31, 1999, no Material Adverse
Effect shall have occurred.

     D. PROCEEDS OF EQUITY CAPITALIZATION OF NEW HOLDINGS AND COMPANY.

          (i) New Holdings Common Stock. On or before the Effective Date, New
     Holdings shall have authorized 15,000,000 shares of New Holdings Common
     Stock and shall have issued 10,000,000 shares of New Holdings Common Stock
     to the Old Noteholders and Stonington or Affiliates thereof and Rockwell
     International Corporation.

          (ii) Stonington Equity Contribution. On or before the Effective Date,
     (1) Stonington or Affiliates thereof shall have contributed to New Holdings
     not less than $50,000,000 in Cash as common equity, $25,000,000 of which
     shall be a Cash contribution by Stonington or Affiliates thereof and
     $25,000,000 of which shall be from the conversion of Stonington's or its
     Affiliate's $25,000,000 commitment under the DIP Credit Agreement into
     Cash, which Cash shall be transferred to New Holdings, and (2) New Holdings
     shall have contributed such $50,000,000 amount to Company as common equity.

          (iii) Use of Proceeds by Company. Company shall have provided evidence
     satisfactory to Administrative Agent that the proceeds of the equity
     capitalization of Company described in the immediately preceding clause
     (ii) have been irrevocably committed, prior to the conversion and/or
     continuation of the obligations of the Borrowers under the Existing Credit
     Agreement as or into Term Loans, Tranche B Revolving Loans and Tranche B
     Letters of Credit on the Effective Date, to the repayment of the DIP Credit
     Agreement pursuant to subsection 4.1E below.

     E. TERMINATION OF DIP CREDIT AGREEMENT AND RELATED LIENS; EXISTING LETTERS
OF CREDIT; EXISTING CREDIT AGREEMENT. On the Effective Date, Company and its
Subsidiaries shall have (a) repaid in full all Indebtedness outstanding under
the DIP Credit Agreement (the aggregate principal of which Indebtedness shall
not exceed $50,000,000), (b) terminated any commitments to lend or make other
extensions of credit thereunder, (c) delivered to Administrative Agent all
documents or instruments necessary to release all Liens securing

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Indebtedness or other obligations of Company and its Subsidiaries thereunder,
and (d) made arrangements satisfactory to Administrative Agent with respect to
the cancellation of any letters of credit (other than the Existing Letters of
Credit) outstanding thereunder or the issuance of Tranche B Letters of Credit to
support the obligations of Company and its Subsidiaries with respect thereto. On
the Effective Date, the obligations of the Borrowers under the Existing Credit
Agreement (including the Existing Letters of Credit), which obligations shall be
in an aggregate principal amount not to exceed $200,000,000, shall be continued
as and/or converted into Term Loans, Tranche B Revolving Loans and Tranche B
Letters of Credit hereunder pursuant to this Agreement and the Master Assignment
Agreement. Borrowers shall have furnished to Administrative Agent copies of all
Existing Letters of Credit and all amendments thereto. Borrowers shall have paid
to the applicable Lenders with respect to such Existing Letters of Credit all
fees and other amounts owing with respect thereto but excluding the Effective
Date.

     F. NECESSARY CONSENTS. Company and its Subsidiaries shall have obtained all
Governmental Authorizations and all consents of other Persons, in each case that
are necessary or advisable in connection with the Refinancings and the continued
operation of the business to be conducted by Company and its Subsidiaries in
substantially the same manner as conducted prior to the consummation of the
Refinancings, and each of the foregoing shall be in full force and effect, in
each case other than those the failure to obtain, which either individually or
in the aggregate, would not be reasonably likely to have a Material Adverse
Effect. All applicable waiting periods shall have expired without any action
being taken or threatened by any competent authority which would restrain,
prevent or otherwise impose adverse conditions on the Refinancings. No action,
request for stay, petition for review or rehearing, reconsideration or appeal
with respect to any of the foregoing shall be pending, and the time for any
applicable agency to take action to set aside its consent on its own motion
shall have expired. Administrative Agent shall have received an Officer's
Certificate of Company to the effect set forth in this subsection 4.1F.

     G. LENDER AGREEMENTS.

     (i) On or before the Effective Date, Borrowers, each lender under the
Existing Credit Agreement, BTCo, as administrative agent under the Existing
Credit Agreement, each Lender under this Agreement and Administrative Agent
shall have executed and delivered the Master Assignment Agreement, and on the
Effective Date, each such lender, BTCo, Lender and Administrative Agent shall
have sold, purchase and/or assigned such loans and/or commitments pursuant to
the Master Assignment Agreement such that each Lender's Pro Rata Share of the
Loans and/or Commitments upon consummation of the closing of the Refinancing
shall be as set forth on Schedule 2.1 annexed hereto.

     (ii) On or before the Effective Date, Borrowers, Lenders and Administrative
Agent shall have executed and delivered the Intercreditor Agreement.

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     H. REORGANIZATION PLAN; RELATED ORDERS.

     (i) The Reorganization Plan shall have been confirmed by the Court pursuant
to an order of the Court (the "COURT ORDER"), in form and substance satisfactory
to Administrative Agent, entered by the Court and such Court Order shall be
unstayed.

     (ii) The Reorganization Plan shall have become effective in accordance with
the terms of the Court Order.

     I. EFFECTIVE DATE MORTGAGES; EFFECTIVE DATE MORTGAGE POLICIES; AMENDMENTS
TO EXISTING MORTGAGES; ETC. Administrative Agent shall have received from
Company and each applicable Subsidiary Guarantor:

          (i) Effective Date Mortgages; Amendments to Existing Mortgages. Fully
     executed and notarized Mortgages (each a "EFFECTIVE DATE MORTGAGE" and,
     collectively, the "EFFECTIVE DATE MORTGAGES"), in proper form for recording
     in all appropriate places in all applicable jurisdictions, encumbering each
     Real Property Asset listed in Schedule 5.5 annexed hereto (each a
     "EFFECTIVE DATE MORTGAGED PROPERTY" and, collectively, the "EFFECTIVE DATE
     MORTGAGED PROPERTIES"), and fully executed and notarized amendments to
     Mortgages, if any, in proper form for recording in all appropriate places
     in all applicable jurisdictions, with respect to any Mortgages existing as
     of the Effective Date and listed on Schedule 5.5 annexed hereto;

          (ii) Opinions of Local Counsel. An opinion of counsel (which counsel
     shall be reasonably satisfactory to Administrative Agent) in each state in
     which a Effective Date Mortgaged Property is located with respect to the
     enforceability of the form(s) of Effective Date Mortgages and the
     amendments to existing Mortgages to be recorded in such state and such
     other matters as Administrative Agent may reasonably request, in each case
     in form and substance reasonably satisfactory to Administrative Agent;

          (iii) Title Insurance. (a) ALTA mortgagee title insurance policies or
     unconditional commitments therefor (the "EFFECTIVE DATE MORTGAGE POLICIES")
     issued by the Title Company with respect to the Effective Date Mortgaged
     Properties listed in Part A of Schedule 5.5 annexed hereto, in amounts not
     less than the respective amounts designated therein with respect to any
     particular Effective Date Mortgaged Properties, insuring fee simple title
     to, or a valid leasehold interest in, each such Effective Date Mortgaged
     Property vested in such Loan Party and assuring Administrative Agent that
     the applicable Effective Date Mortgages create valid and enforceable
     mortgage Liens on the respective Effective Date Mortgaged Properties
     encumbered thereby and that the applicable amendments to Mortgages create
     valid and enforceable mortgage Liens on the respective Mortgages encumbered
     thereby, subject only to a standard survey exception, which Effective Date
     Mortgage Policies (1) shall include an endorsement for mechanics' liens,
     for future advances under this Agreement and for any other matters
     reasonably requested by Administrative Agent and (2) shall provide for
     affirmative insurance and such reinsurance as Administrative Agent may
     reasonably request, all of the foregoing in

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     form and substance reasonably satisfactory to Administrative Agent; and (b)
     evidence satisfactory to Administrative Agent that such Loan Party has (i)
     delivered to the Title Company all certificates and affidavits required by
     the Title Company in connection with the issuance of the Effective Date
     Mortgage Policies and (ii) paid to the Title Company or to the appropriate
     governmental authorities all expenses and premiums of the Title Company in
     connection with the issuance of the Effective Date Mortgage Policies and
     all recording and stamp taxes (including mortgage recording and intangible
     taxes) payable in connection with recording the Effective Date Mortgages in
     the appropriate real estate records;

          (iv) Environmental Indemnity. If requested by Administrative Agent, an
     environmental indemnity agreement, satisfactory in form and substance to
     Administrative Agent and its counsel, with respect to the indemnification
     of Administrative Agent and Lenders for any liabilities that may be imposed
     on or incurred by any of them as a result of any Hazardous Materials
     Activity.

     J. SECURITY INTERESTS IN PERSONAL AND MIXED PROPERTY. To the extent not
otherwise satisfied pursuant to subsection 4.1I, Agent shall have received
evidence satisfactory to it that New Holdings, Company and Subsidiary Guarantors
shall have taken or caused to be taken all such actions, executed and delivered
or caused to be executed and delivered all such agreements, documents and
instruments, and made or caused to be made all such filings and recordings
(other than the filing or recording of items described in clauses (iii), (iv)
and (v) below) that may be necessary or, in the opinion of Administrative Agent,
desirable in order to (x) create in favor of Administrative Agent, for the
benefit of Domestic Tranche A Lenders, a valid and (upon such filing and
recording) perfected First Priority security interest in the entire personal and
mixed property Collateral, and (y) create and/or continue in favor of
Administrative Agent, for the benefit of Tranche B Lenders, a valid and (upon
such filing and recording) perfected Second Priority security interest in the
entire personal and mixed property Collateral. Such actions shall include the
following:

          (i) Schedules to Collateral Documents. Delivery to Administrative
     Agent of accurate and complete schedules to all of the applicable
     Collateral Documents.

          (ii) Stock Certificates and Instruments. Delivery to Administrative
     Agent of (a) certificates (which certificates shall be accompanied by
     irrevocable undated stock powers, duly endorsed in blank and otherwise
     satisfactory in form and substance to Administrative Agent) representing
     all capital stock pledged pursuant to the Security Agreement and (b) all
     promissory notes or other instruments (duly endorsed, where appropriate, in
     a manner satisfactory to Administrative Agent) evidencing any Collateral;

          (iii) Lien Searches and UCC Termination Statements. Delivery to
     Administrative Agent of (a) the results of a recent search, by a Person
     satisfactory to Administrative Agent, of all effective UCC financing
     statements and fixture filings and all judgment and tax lien filings which
     may have been made with respect to any personal

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     or mixed property of any Loan Party, together with copies of all such
     filings disclosed by such search, and (b) UCC termination statements duly
     executed by all applicable Persons for filing in all applicable
     jurisdictions as may be necessary to terminate any effective UCC financing
     statements or fixture filings disclosed in such search (other than any such
     financing statements or fixture filings in respect of Liens permitted to
     remain outstanding pursuant to the terms of this Agreement).

          (iv) UCC Financing Statements, Fixture Filings and Amendments to UCC
     Financing Statements and Fixture Filings. Delivery to Administrative Agent
     of UCC financing statements and, where appropriate, fixture filings, and
     amendments to UCC financing statements, and, where appropriate, amendments
     to fixture filings, in each case duly executed by each applicable Loan
     Party with respect to all personal and mixed property Collateral of such
     Loan Party, for filing in all jurisdictions as may be necessary or, in the
     opinion of Administrative Agent, desirable to perfect or maintain the
     perfection of the security interests created in such Collateral pursuant to
     the Collateral Documents;

          (v) PTO Cover Sheets, Etc. Delivery to Administrative Agent of all
     cover sheets or other documents or instruments required to be filed with
     the United States Patent and Trademark Office in order to create and/or
     continue or perfect and/or maintain perfected Liens in respect of any
     intellectual property Collateral; and

          (vi) Opinions of Local Counsel. Delivery to Administrative Agent of an
     opinion of counsel (which counsel shall be reasonably satisfactory to
     Administrative Agent) under the laws of each jurisdiction in which any Loan
     Party or any personal or mixed property Collateral is located with respect
     to the creation and/or continuation and perfection of the security
     interests in favor of Administrative Agent in such Collateral and such
     other matters governed by the laws of such jurisdiction regarding such
     security interests as Administrative Agent may reasonably request, in each
     case in form and substance reasonably satisfactory to Administrative Agent.

     K. AUDIT OF INVENTORY AND ACCOUNTS RECEIVABLE. On or before the Effective
Date, Administrative Agent (or an independent auditor satisfactory to
Administrative Agent) shall have completed audits of the Inventory and Accounts
receivable of Company and its Subsidiaries, and Administrative Agent shall be
satisfied with the results thereof.

     L. FINANCIAL STATEMENTS; PRO FORMA BALANCE SHEET; BORROWING BASE
CERTIFICATES. On or before the Effective Date, Lenders shall have received from
Company:

          (i) audited financial statements of Borrowers, consisting of combined
     balance sheets for Fiscal Years ended September 30, 1998, September 30,
     1997 and September 30, 1996, and the combined statements of operations and
     cash flows for Fiscal Years ended September 30, 1998, September 30, 1997,
     and September 30, 1996;

          (ii) unaudited financial statements of Borrowers as at August 31,
     1999, consisting of a combined balance sheet and the related combined
     statement of operations

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     and cash flows for the three Fiscal Quarter period ending on such date, all
     in reasonable detail and certified by the chief financial officer of
     Company that they fairly present the financial condition of Borrowers as at
     the dates indicated and the results of its operations and its cash flows
     for the periods indicated, subject to changes resulting from audit and
     normal year-end adjustments;

          (iii) pro forma combined balance sheet of Company and its Subsidiaries
     as at the Effective Date, prepared in accordance with GAAP and reflecting
     the consummation of the Refinancings which pro forma financial statements
     shall be in form and substance satisfactory to Administrative Agent;

          (iv) projected financial statements of Company and its Subsidiaries
     consisting of a combined balance sheet and the related combined statements
     of operations and cash flows for the five-year period after the Effective
     Date (including financial projections for each month during the
     twelve-month period following the Effective Date), which financial
     projections shall be in form and substance satisfactory to Lenders; and

          (v) Borrowing Base Certificates for Company certifying the applicable
     Tranche A Borrowing Base and Tranche B Borrowing Base for Company as of
     September 30, 1999, in form and substance satisfactory to Administrative
     Agent.

     M. EVIDENCE OF INSURANCE. Agent shall have received a certificate from
Company's insurance broker or other evidence satisfactory to it that all
insurance required to be maintained pursuant to subsection 6.4 is in full force
and effect and that Administrative Agent, on behalf of Lenders, has been named
as additional insured and/or loss payee thereunder to the extent required under
subsection 6.4.

     N. OPINIONS OF BORROWERS' COUNSEL. Lenders shall have received (i)
originally executed copies of one or more favorable written opinions of Kirkland
& Ellis, counsel for Borrowers, in form and substance reasonably satisfactory to
Administrative Agent and its counsel, dated as of the Effective Date and setting
forth substantially the matters in the opinions designated in Exhibit X-A
annexed hereto and as to such other matters as Administrative Agent acting on
behalf of Lenders may reasonably request, and (ii) originally executed copies of
one or more favorable written opinions of Linklaters & Paines, local counsel for
Goss UK, in form and substance reasonably satisfactory to Administrative Agent
and its counsel, dated as of the Effective Date and setting forth substantially
the matters in the opinions designated in Exhibit X-C annexed hereto and as to
such other matters as Administrative Agent acting on behalf of Lenders may
reasonably request.

     O. OPINIONS OF O'MELVENY & MYERS LLP. Lenders shall have received
originally executed copies of one or more favorable written opinions of
O'Melveny & Myers LLP, dated as of the Effective Date, substantially in the form
of Exhibit XI annexed hereto and as to such other matters as Administrative
Agent acting on behalf of Lenders may reasonably request.

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     P. EXPENSES AND FEES. Company shall have paid to Administrative Agent, for
distribution (as appropriate) to Lenders, the fees payable on the Effective Date
referred to in subsection 2.3. Company shall have paid to Administrative Agent
all of the Administrative Agent's costs and expenses incurred in connection with
the consummation of the transactions contemplated hereby and shall have paid all
of the fees, costs and expenses of all of Administrative Agent's experts,
consultants, auditors, appraisers, counsel and other advisors, including without
limitation the fees and expenses of O'Melveny & Myers LLP and of local and
foreign counsel to Administrative Agent.

     Q. REPRESENTATIONS AND WARRANTIES; PERFORMANCE OF AGREEMENTS. Each Borrower
shall have delivered to Administrative Agent an Officers' Certificate, in form
and substance satisfactory to Administrative Agent, to the effect that the
representations and warranties in Section 5 hereof are true, correct and
complete in all material respects on and as of the Effective Date to the same
extent as though made on and as of that date (or, to the extent such
representations and warranties specifically relate to an earlier date, that such
representations and warranties were true, correct and complete in all material
respects on and as of such earlier date) and that such Borrower shall have
performed in all material respects all agreements and satisfied all conditions
which this Agreement provides shall be performed or satisfied by it on or before
the Effective Date except as otherwise disclosed to and agreed to in writing by
Administrative Agent and Requisite Lenders, and, if no Loans are made on the
Effective Date, that all conditions precedent described in subsection 4.2B have
been satisfied to the same extent as if the Existing Letters of Credit becoming
Tranche B Letters of Credit under this Agreement were the making of a Loan and
the date of the Existing Letters of Credit becoming Tranche B Letters of Credit
under this Agreement were a Funding Date.

     R. COMPLETION OF PROCEEDINGS. All corporate and other proceedings taken or
to be taken in connection with the transactions contemplated hereby and all
documents incidental thereto not previously found acceptable by Administrative
Agent, acting on behalf of Lenders, and its counsel shall be satisfactory in
form and substance to Administrative Agent and such counsel, and Administrative
Agent and such counsel shall have received all such counterpart originals or
certified copies of such documents as Administrative Agent may reasonably
request.

     Each Lender hereby agrees that by its execution and delivery of its
signature pages thereto and by the funding of its loans to be made on the
Effective Date, such Lender approves of and consents to each of the matters set
forth in this subsection 4.1 which must be approved by, or which must be
satisfactory to, all or Requisite Lenders; provided that in the case of any
agreement or document which must be approved by, or which must be satisfactory
to, all or Requisite Lenders, Administrative Agent or Company shall have
delivered a copy of such agreement or document in substantially the form in
which executed or delivered to such Lender on or prior to the Effective Date.

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4.2 CONDITIONS TO ALL LOANS.

     The obligations of Lenders to make Loans on each Funding Date are subject
to the following further conditions precedent:

     A. Administrative Agent shall have received before that Funding Date, in
accordance with the provisions of subsection 2.1B, an originally executed Notice
of Borrowing, in each case signed by the chief executive officer, the chief
financial officer or the treasurer of the Borrower or by any other authorized
signatory of such Borrower.

     B. As of that Funding Date:

          (i) The representations and warranties contained herein and in the
     other Loan Documents shall be true, correct and complete in all material
     respects on and as of that Funding Date to the same extent as though made
     on and as of that date, except to the extent such representations and
     warranties specifically relate to an earlier date, in which case such
     representations and warranties shall have been true, correct and complete
     in all material respects on and as of such earlier date;

          (ii) No event shall have occurred and be continuing or would result
     from the consummation of the borrowing contemplated by such Notice of
     Borrowing that would constitute an Event of Default or a Potential Event of
     Default;

          (iii) Borrower shall have performed in all material respects all
     agreements and satisfied all conditions which this Agreement provides shall
     be performed or satisfied by it on or before that Funding Date;

          (iv) No order, judgment or decree of any court, arbitrator or
     governmental authority shall purport to enjoin or restrain any Lender from
     making the Loans to be made by it on that Funding Date;

          (v) The making of the Loans requested on such Funding Date shall not
     violate any law including, without limitation, Regulation T, Regulation U
     or Regulation X of the Board of Governors of the Federal Reserve System or
     any other comparable or similar law of any Governmental Authority; and

          (vi) There shall not be pending or, to the knowledge of Borrower,
     threatened, any action, suit, proceeding, governmental investigation or
     arbitration against or affecting Company or any of its Subsidiaries or any
     property of Company or any of its Subsidiaries that has not been disclosed
     by any Borrower in writing pursuant to subsection 5.6 or 6.1(x) prior to
     the making of the last preceding Loans (or, in the case of the initial
     Loans, prior to the execution of this Agreement), and there shall have
     occurred no development not so disclosed in any such action, suit,
     proceeding, governmental investigation or arbitration so disclosed, that,
     in either event, in the opinion of Administrative Agent or of Requisite
     Lenders, would be expected to have a Material Adverse Effect; and no

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     injunction or other restraining order shall have been issued and no hearing
     to cause an injunction or other restraining order to be issued shall be
     pending or noticed with respect to any action, suit or proceeding seeking
     to enjoin or otherwise prevent the consummation of, or to recover any
     damages or obtain relief as a result of, the transactions contemplated by
     this Agreement or the making of Loans hereunder.

     C. The Existing Letters of Credit shall have become Tranche B Letters of
Credit under this Agreement.

4.3 CONDITIONS TO LETTERS OF CREDIT.

     The issuance of any Letter of Credit hereunder (whether or not the Issuing
Lender is obligated to issue such Letter of Credit) is subject to the following
conditions precedent:

     A. On or before the date of issuance of the initial Letter of Credit
pursuant to this Agreement, the initial Loans shall have been made.

     B. On or before the date of issuance of such Letter of Credit,
Administrative Agent shall have received, in accordance with the provisions of
subsection 3.1B(i), an originally executed Request for Issuance of Letter of
Credit, in each case signed by the chief executive officer, the chief financial
officer or the treasurer of Borrower, or by any other authorized signatory of
Borrower, together with all other information specified in subsection 3.1B(i)
and such other documents or information as the Issuing Lender may reasonably
require in connection with the issuance of such Letter of Credit.

     C. On the date of issuance of such Letter of Credit, (x) with respect to
Company, all conditions precedent described in subsection 4.2B shall be
satisfied to the same extent as if the issuance of such Letter of Credit were
the making of a Loan and the date of issuance of such Letter of Credit were a
Funding Date, and (y) with respect to Goss Japan, as the case may be, all
conditions precedent described in subsections 4.2B and 4.4 shall be satisfied to
the same extent as if the issuance of such Letter of Credit were the making of a
Loan and the date of issuance of such Letter of Credit were a Funding Date.

4.4 CONDITIONS TO JAPANESE LOANS.

     The obligations of Lenders to purchase or make any Japanese Tranche B
Revolving Loans pursuant to the Tranche B Revolving Loan Commitments following
the Effective Date are, in addition to the conditions precedent specified in
subsections 4.1 and 4.2, subject to prior or concurrent satisfaction of the
following conditions:

          A. JAPANESE SECURITY DOCUMENTS. On or before the applicable Funding
     Date with respect to such Japanese Tranche B Revolving Loans,
     Administrative Agent shall have received evidence satisfactory to it that
     Goss Japan shall have (i) taken or caused to be taken such actions, (ii)
     executed and delivered or caused to be executed and delivered all such
     agreements, amendments, documents and instruments and, if requested

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     by Administrative Agent, legal opinions (in each case, in form and
     substance satisfactory to Administrative Agent and its counsel), and (iii)
     made or caused to be made all such filings and recordings, in each case of
     clauses (i), (ii) and (iii) that may be necessary or, in the opinion of
     Administrative Agent, desirable to, maintain and continue in favor of
     Administrative Agent, for the benefit of Lenders, a valid and perfected
     security interest as of such date in the entire real, personal and mixed
     property Collateral of Goss Japan and Administrative Agent shall have
     received executed copies of all such agreements, amendments, documents and
     instruments and, if requested by Administrative Agent, legal opinions, and
     such other documents and instruments as may be requested by Administrative
     Agent.

SECTION 5. BORROWERS' REPRESENTATIONS AND WARRANTIES

     In order to induce Lenders to enter into this Agreement and to make the
Loans, to induce Issuing Lenders to issue Letters of Credit and to induce other
Lenders to purchase participations therein, each Borrower represents and
warrants to each Lender, on the date of this Agreement, on each Funding Date and
on the date of issuance of each Letter of Credit, that the following statements
are true, correct and complete:

5.1  ORGANIZATION, POWERS, QUALIFICATION, GOOD STANDING, BUSINESS AND
     SUBSIDIARIES.

     A. ORGANIZATION AND POWERS. Each Loan Party is a corporation duly
organized, validly existing and in good standing under the laws of its
jurisdiction of incorporation. Each Loan Party has all requisite corporate power
and authority to own and operate its properties, to carry on its business as now
conducted and as proposed to be conducted, to enter into the Loan Documents to
which it is a party and to carry out the transactions contemplated thereby.

     B. QUALIFICATION AND GOOD STANDING. Each Loan Party is qualified to do
business and in good standing in every jurisdiction where its assets are located
and wherever necessary to carry out its business and operations, except in
jurisdictions, individually or in the aggregate for all such jurisdictions,
where the failure to be so qualified or in good standing has not had and will
not have a Material Adverse Effect.

     C. CONDUCT OF BUSINESS. Company and its Subsidiaries are engaged only in
the businesses permitted to be engaged in pursuant to subsection 7.12.

     D. SUBSIDIARIES. All of the Subsidiaries of New Holdings are identified in
Schedule 5.1 annexed hereto. The capital stock of each of the Subsidiaries of
New Holdings identified in Schedule 5.1 annexed hereto is duly authorized,
validly issued, fully paid and nonassessable and none of such capital stock
constitutes Margin Stock. Each of the Subsidiaries of New Holdings identified in
Schedule 5.1 annexed hereto is a corporation duly organized, validly existing
and in good standing under the laws of its respective jurisdiction of
incorporation set forth therein, has all requisite corporate power and authority
to own and operate its properties

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and to carry on its business as now conducted and as proposed to be conducted,
and is qualified to do business and in good standing in every jurisdiction where
its assets are located and wherever necessary to carry out its business and
operations, in each case except where failure to be so qualified or in good
standing or a lack of such corporate power and authority, individually or in the
aggregate, has not had and will not have a Material Adverse Effect. Schedule 5.1
annexed hereto correctly sets forth, the ownership interest of New Holdings and
each of its Subsidiaries in each of the Subsidiaries of New Holdings identified
therein.

5.2 AUTHORIZATION OF BORROWING, ETC.

     A. AUTHORIZATION OF BORROWING. The execution, delivery and performance of
the Loan Documents have been duly authorized by all necessary corporate action
on the part of each Loan Party that is a party thereto.

     B. NO CONFLICT. The execution, delivery and performance by any Loan Party
of the Loan Documents to which it is a party and the consummation of the
transactions contemplated by the Loan Documents do not and will not (i) violate
any provision of any law or any governmental rule or regulation applicable to
any Loan Party, the Certificate or Articles of Incorporation or Bylaws, or other
organizational or governing documents, of any Loan Party or any order, judgment
or decree of any court or other Governmental Authority binding on any Loan
Party, (ii) conflict with, result in a breach of or constitute (with due notice
or lapse of time or both) a default under any Contractual Obligation of any Loan
Party, except for such breaches, conflicts and defaults which could not
reasonably be expected to have, individually or in the aggregate, a Material
Adverse Effect, (iii) result in or require the creation or imposition of any
Lien upon any of the properties or assets of any Loan Party (other than any
Liens created under any of the Loan Documents in favor of Administrative Agent
on behalf of Lenders), or (iv) require any approval of stockholders or any
approval or consent of any Person under any Contractual Obligation of any Loan
Party, except for such approvals or consents (a) which will be obtained on or
before the Effective Date or (b) which the failure to obtain could not
reasonably be expected to have, individually or in the aggregate, a Material
Adverse Effect.

     C. GOVERNMENTAL CONSENTS. The execution, delivery and performance by any
Loan Party of the Loan Documents and the consummation of the transactions
contemplated by the Loan Documents do not and will not require any registration
with, consent or approval of, or notice to, or other action to, with or by, any
federal, state or other governmental authority or regulatory body, except for
filings required in connection with the perfection of security interests granted
pursuant to the Loan Documents, and such other registrations, consents,
approvals, notices or other actions which have been or will be made, obtained,
given or taken on or before the Effective Date or which the failure to obtain or
take could not reasonably be expected to have, individually or in the aggregate,
a Material Adverse Effect.

     D. BINDING OBLIGATION. Each of the Loan Documents has been duly executed
and delivered by each Loan Party that is a party thereto and is the legally
valid and binding obligation of such Loan Party, enforceable against such Loan
Party in accordance with

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its respective terms, except as may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws relating to or limiting creditors'
rights generally or by equitable principles relating to enforceability.

     E. VALID ISSUANCE OF COMPANY COMMON STOCK AND NEW HOLDINGS COMMON STOCK.
All issued and outstanding shares of Company Common Stock and New Holdings
Common Stock are duly and validly issued, fully paid and nonassessable. No
stockholder of Company nor any stockholder of New Holdings has any preemptive
rights to subscribe for any additional equity Securities of Company or equity
Securities of New Holdings. Any issuance and sale of such Company Common Stock
or New Holdings Common Stock, upon such issuance and sale, will either (a) have
been registered or qualified under applicable federal and state securities laws
or (b) be exempt therefrom.

5.3 FINANCIAL CONDITION.

     Company has heretofore delivered to Lenders, at Lenders' request, the
financial statements and information described in subsection 4.1L. All such
statements (other than the projected financial statements of Company and its
Subsidiaries) were prepared in conformity with GAAP and fairly present the
financial position (on a consolidated and, where applicable, consolidating
basis) of the entities described in such financial statements as at the
respective dates thereof and the results of operations and cash flows (on a
consolidated and, where applicable, consolidating basis) of the entities
described therein for each of the periods then ended, subject, in the case of
any such unaudited financial statements, to changes resulting from audit and
normal year-end adjustments. None of the Loan Parties has any Contingent
Obligation, contingent liability or liability for taxes, long-term lease or
unusual forward or long-term commitment that is not reflected in the foregoing
financial statements or the notes thereto and which in any such case is material
in relation to the business, operations, properties, assets, condition
(financial or otherwise) or prospects of Company and its Subsidiaries, taken as
a whole.

5.4 NO MATERIAL ADVERSE CHANGE; NO RESTRICTED JUNIOR PAYMENTS.

     Since July 31, 1999, no event or change has occurred that has caused or
evidences, either in any case or in the aggregate, a Material Adverse Effect.
Since July 31, 1999, neither Company nor any of its Subsidiaries has directly or
indirectly declared, ordered, paid or made, or set apart any sum or property
for, any Restricted Junior Payment or agreed to do so except as permitted by
subsection 7.5.

5.5 TITLE TO PROPERTIES; LIENS.

     A. TITLE TO PROPERTIES; LIENS. New Holdings, Company and its Subsidiaries
have (i) good, sufficient and legal title to (in the case of fee interests in
real property), (ii) valid leasehold interests in (in the case of leasehold
interests in real or personal property), or (iii) good title to (in the case of
all other personal property), all of their respective properties and assets
reflected in the financial statements referred to in subsection 5.3 or in the
most recent financial

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statements delivered pursuant to subsection 6.1, in each case except for assets
disposed of since the date of such financial statements in the ordinary course
of business or as otherwise permitted under subsection 7.7. Except as permitted
by this Agreement, all such properties and assets are free and clear of Liens.

     B. REAL PROPERTY. As of the Effective Date, Schedule 5.5 annexed hereto
contains a true, accurate and complete list of (i) all Fee Properties and (ii)
all leases, subleases or assignments of leases (together with all amendments,
modifications, supplements, renewals or extensions of any thereof) affecting
each Real Property Asset of any Loan Party, regardless of whether such Loan
Party is the landlord or tenant (whether directly or as an assignee or successor
in interest) under such lease, sublease or assignment. Except as specified in
Schedule 5.5 annexed hereto, each agreement listed in clause (ii) of the
immediately preceding sentence is in full force and effect and Company does not
have knowledge of any default that has occurred and is continuing thereunder,
and each such agreement constitutes the legally valid and binding obligation of
each applicable Loan Party, enforceable against such Loan Party in accordance
with its terms, except as enforcement may be limited by bankruptcy, insolvency,
reorganization, moratorium or similar laws relating to or limiting creditors'
rights generally or by equitable principles.

5.6 LITIGATION; ADVERSE FACTS.

     Except as set forth in Schedule 5.6 annexed hereto or, with respect to
Environmental Claims, as set forth on Schedule 5.13 annexed hereto, there are no
actions, suits, proceedings, arbitrations or governmental investigations
(whether or not purportedly on behalf of New Holdings, Company or any of their
respective Subsidiaries) at law or in equity or before or by any federal, state,
municipal or other governmental department, commission, board, bureau, agency or
instrumentality, domestic or foreign, pending or, to the knowledge of any
Borrower, threatened against or affecting New Holdings, Company or any of their
respective Subsidiaries or any property of New Holdings, Company or any of their
respective Subsidiaries that, individually or in the aggregate, could reasonably
be expected to result in a Material Adverse Effect. Neither New Holdings nor
Company nor any of their respective Subsidiaries is (i) in violation of any
applicable laws (excluding Environmental Laws which are covered in subsection
5.13) that, individually or in the aggregate, could reasonably be expected to
result in a Material Adverse Effect or (ii) subject to or in default with
respect to any final judgments, writs, injunctions, decrees, rules or
regulations of any court or any federal, state, municipal or other governmental
department, commission, board, bureau, agency or instrumentality, domestic or
foreign, that, individually or in the aggregate, could reasonably be expected to
result in a Material Adverse Effect.

5.7 PAYMENT OF TAXES.

     Except to the extent permitted by subsection 6.3, all material tax returns
and reports of New Holdings, Company and their respective Subsidiaries required
to be filed by any of them have been timely filed or extensions with respect to
filing have been properly obtained,

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<PAGE>

and all material taxes, assessments, fees and other governmental charges upon
New Holdings, Company and their respective Subsidiaries and upon their
respective properties, assets, income, businesses and franchises which are due
and payable have been paid when due and payable. None of the Borrowers knows of
any material proposed tax assessment against New Holdings, Company or any of
their respective Subsidiaries which is not being actively contested by New
Holdings, Company or such Subsidiary in good faith and by appropriate
proceedings; provided that such reserves or other appropriate provisions, if
any, as shall be required in conformity with GAAP shall have been made or
provided therefor.

5.8 PERFORMANCE OF AGREEMENTS; NO MATERIALLY ADVERSE AGREEMENTS.

     A. Neither New Holdings nor Company nor any of their respective
Subsidiaries is in default in the performance, observance or fulfillment of any
of the obligations, covenants or conditions contained in any of its Contractual
Obligations, and no condition exists that, with the giving of notice or the
lapse of time or both, would constitute such a default, except where the
consequences, direct or indirect, of such default or defaults, if any,
individually or in the aggregate, could not reasonably be expected to have a
Material Adverse Effect.

     B. Neither New Holdings nor Company nor any of their respective
Subsidiaries is a party to or is otherwise subject to any agreements or
instruments or any charter or other internal restrictions which, individually or
in the aggregate, could reasonably be expected to result in a Material Adverse
Effect.

     C. The Contractual Obligations of each of New Holdings and Company and
their respective Subsidiaries are in full force and effect and no defaults that
could reasonably be expected to result in a Material Adverse Effect currently
exist thereunder.

5.9 GOVERNMENTAL REGULATION.

     Neither New Holdings nor Company nor any of their respective Subsidiaries
is subject to regulation under the Public Utility Holding Company Act of 1935,
the Federal Power Act, the Interstate Commerce Act or the Investment Company Act
of 1940 or under any other federal or state statute or regulation or under any
other comparable or similar laws of any Governmental Authority which may limit
its ability to incur Indebtedness or which may otherwise render all or any
portion of the Obligations unenforceable.

5.10 SECURITIES ACTIVITIES.

     Neither New Holdings nor Company nor any of their respective Subsidiaries
is engaged principally, or as one of its important activities, in the business
of extending credit for the purpose of purchasing or carrying any Margin Stock.

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5.11 EMPLOYEE BENEFIT PLANS.

     A. New Holdings and Company and each of their respective Subsidiaries are
in compliance in all material respects with all applicable provisions and
requirements of ERISA and the regulations and published interpretations
thereunder and the terms of each Employee Benefit Plan, and have performed all
their material obligations under each Employee Benefit Plan.

     B. No ERISA Event has occurred or is reasonably expected to occur that
could reasonably be expected to result in an aggregate liability to the Company
or any of its Subsidiaries of more than $1,000,000.

     C. In accordance with the most recent actuarial valuation for any Pension
Plan, the excess of the aggregated accumulated benefit obligations, as defined
in Statement of Financial Accounting Standards No. 87, over the aggregate total
fair market value for all such Pension Plans (excluding for purposes of such
computation (1) any Pension Plans with respect to which the fair market value of
the assets exceeds such accumulated benefit obligations and (2) any Foreign
Unfunded Pension Plan), does not exceed $12,000,000.

5.12 CERTAIN FEES.

     Except as set forth in Schedule 5.12 annexed hereto, no broker's or
finder's fee or commission will be payable with respect to this Agreement or any
of the transactions contemplated hereby, and each Borrower hereby indemnifies
Lenders against, and agrees that it will hold Lenders harmless from, any claim,
demand or liability for any such broker's or finder's fees alleged to have been
incurred in connection herewith or therewith and any expenses (including
reasonable fees, expenses and disbursements of counsel) arising in connection
with any such claim, demand or liability.

5.13 ENVIRONMENTAL PROTECTION.

     Except as set forth in Schedule 5.13 annexed hereto:

          (i) the operations of Company and each of its Subsidiaries (including,
     without limitation, all operations and conditions at or in the Facilities)
     comply in all material respects with all Environmental Laws;

          (ii) Company and each of its Subsidiaries have obtained all
     Governmental Authorizations under Environmental Laws necessary to their
     respective operations, and all such Governmental Authorizations are being
     maintained in good standing, and Company and each of its Subsidiaries are
     in compliance in all material respects with such Governmental
     Authorizations;

          (iii) neither Company nor any of its Subsidiaries has received (a) any
     notice or claim to the effect that it is or may be liable to any Person as
     a result of or in connection

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     with any Hazardous Materials or (b) any letter or request for information
     under Section 104 of the Comprehensive Environmental Response,
     Compensation, and Liability Act (42 U.S.C. ss. 9604) or comparable state
     laws, and, to the best of the Borrowers' knowledge, none of the operations
     of Company or any of its Subsidiaries is the subject of any federal or
     state investigation relating to or in connection with any Hazardous
     Materials at any Facility or at any other location except for such of the
     foregoing which would not reasonably be expected to have a Material Adverse
     Effect;

          (iv) none of the operations of Company or any of its Subsidiaries is
     subject to any judicial or administrative proceeding alleging the violation
     of or liability under any Environmental Laws which if adversely determined
     could reasonably be expected to have a Material Adverse Effect;

          (v) neither Company nor any of its Subsidiaries nor any of their
     respective Facilities or operations are subject to any outstanding written
     order, consent, decree or settlement agreement with any Person relating to
     (a) any Environmental Laws, (b) any Environmental Claims, or (c) any
     Hazardous Materials Activity, except for such of the foregoing which would
     not reasonably be expected to have a Material Adverse Effect;

          (vi) neither Company nor any of its Subsidiaries has any contingent
     liability in connection with any Release by Company or any of its
     Subsidiaries except for such of the foregoing which would not reasonably be
     expected to have a Material Adverse Effect;

          (vii) neither Company nor any of its Subsidiaries nor, to the best
     knowledge of the Borrowers, any predecessor of Company or any of its
     Subsidiaries has filed any notice under any Environmental Laws indicating
     past or present treatment of Hazardous Materials at any Facility and none
     of Company's or any of its Subsidiaries' operations involves the
     generation, transportation, treatment, storage or disposal of hazardous
     waste, as defined under 40 C.F.R. Parts 260-270 or any state equivalent;

          (viii) there are and, to Company's knowledge, have been no conditions,
     occurrences, or Hazardous Materials Activities which could reasonably be
     expected to form the basis of an Environmental Claim against Company or any
     of its Subsidiaries that, individually or in the aggregate, could
     reasonably be expected to have a Material Adverse Effect;

          (ix) neither Company nor any of its Subsidiaries nor, to the best
     knowledge of Company, any of their respective predecessors has disposed of
     any Hazardous Materials in a manner that would reasonably be expected to
     give rise to an Environmental Claim having a Material Adverse Effect;

          (x) to the best knowledge of Company, no underground storage tanks or
     surface impoundments are on or at any Facility;

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          (xi) no Lien in favor of any Person relating to or in connection with
     any Environmental Claim has been filed or has been attached to any Facility
     except for any such Lien which would not reasonably be expected to have a
     Material Adverse Effect;

          (xii) commencing at least ten years prior to the Effective Date,
     Company has maintained an environmental management system for its and each
     of its Subsidiaries' operations that demonstrates a commitment to
     environmental compliance and includes procedures for (a) preparing and
     updating written compliance manuals covering pertinent regulatory areas,
     (b) tracking changes in applicable Environmental Laws and modifying
     operations to comply with new requirements thereunder, (c) training
     employees to comply with applicable environmental requirements and updating
     such training as necessary, (d) performing regular internal compliance
     audits of each Facility and ensuring correction of any incidents of
     non-compliance detected by means of such audits, and (e) reviewing the
     compliance status of off-site waste disposal facilities; and

          (xiii) compliance with all current or reasonably foreseeable future
     requirements pursuant to or under Environmental Laws will not, individually
     or in the aggregate, have a reasonable possibility of giving rise to a
     Material Adverse Effect.

     Notwithstanding anything in this subsection 5.13 to the contrary, no event
or condition has occurred or is occurring with respect to Company or any of its
Subsidiaries relating to any Environmental Laws, any Release of any Hazardous
Materials at any Facility or any other location, or any Hazardous Materials
Activity, including without limitation any matter disclosed in Schedule 5.13
annexed hereto which, individually or in the aggregate, has had or could
reasonably be expected to have, a Material Adverse Effect.

5.14 EMPLOYEE MATTERS.

     There is no strike or work stoppage in existence or threatened involving
Company or any of its Subsidiaries that could reasonably be expected to have a
Material Adverse Effect.

5.15 SOLVENCY.

     (i) Company and each of its Subsidiaries is and, upon the incurrence of any
Obligations by any Borrower on any date on which this representation is made,
will be, Solvent.

     (ii) With respect to Goss France: (a) Goss France has not ceased or
suspended or threatened or announced an intention to cease or suspend payment of
its debts whether pursuant to Article 3 of law No. 85-98 dated 25 January, 1985
or otherwise; (b) Goss France has not become insolvent or had any moratorium
declared in respect of any of its indebtedness; (c) Goss France has not applied
for the appointment of a conciliator pursuant to law No. 84-148 dated 1 March,
1984; (d) Goss France has not applied for the appointment of a mandataire ad
hoc; (e) Goss France is not the object of a judgment declaring its redressement
or liquidation judiciaire pursuant to law No. 85-98 dated 25 January 1985 or
subject to a plan for the transfer of the whole or part of its business; and (f)
no administrator, receiver, liquidator or similar officer

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has been appointed with respect to Goss France or its assets nor so far as is
aware is any petition or proceeding for any such appointment pending nor has any
resolution for any such appointment been passed.

5.16    MATTERS RELATING TO COLLATERAL.

     A. CREATION, CONTINUATION, PERFECTION AND PRIORITY OF LIENS. The execution
and delivery of the Collateral Documents by Loan Parties, together with (i) the
actions taken on or prior to the date hereof pursuant to subsections 4.1I, 4.1J,
6.8 and 6.9 and (ii) the delivery to Administrative Agent of any Pledged
Collateral not delivered to Administrative Agent at the time of execution and
delivery of the applicable Collateral Document (all of which Pledged Collateral
has been so delivered) are effective to create and/or continue in favor of
Administrative Agent for the benefit of Lenders, as security for the respective
Secured Obligations (as defined in the applicable Collateral Document in respect
of any Collateral), a valid and perfected senior Lien on all of the Collateral
with respect to the Domestic Tranche A Revolving Loan Commitments and a valid
and perfected junior Lien on all of the Collateral with respect to the Tranche B
Revolving Loan Commitments and Term Loans, and all filings and other actions
necessary or desirable to perfect and maintain the perfection and First senior
status and junior status of such Liens, as the case may be, have been duly made
or taken and remain in full force and effect, other than the filing of any UCC
financing statements and/or UCC financing statement amendments delivered to
Administrative Agent for filing (but not yet filed) and the periodic filing of
UCC continuation statements in respect of UCC financing statements filed by or
on behalf of Administrative Agent.

     B. GOVERNMENTAL AUTHORIZATIONS. No authorization, approval or other action
by, and no notice to or filing with, any governmental authority or regulatory
body is required for either (i) the pledge or grant by any Loan Party of the
Liens purported to be created in favor of Agent pursuant to any of the
Collateral Documents or (ii) the exercise by Administrative Agent of any rights
or remedies in respect of any Collateral (whether specifically granted or
created pursuant to any of the Collateral Documents or created or provided for
by applicable law), except for filings or recordings contemplated by subsection
5.16A and except as may be required, in connection with the disposition of any
Pledged Collateral, by laws generally affecting the offering and sale of
securities.

     C. ABSENCE OF THIRD-PARTY FILINGS. Except such as may have been filed in
favor of Administrative Agent as contemplated by subsection 5.16A or as
otherwise permitted under this Agreement and the other Loans Documents, (i) no
effective UCC financing statement, fixture filing or other instrument similar in
effect covering all or any part of the Collateral is on file in any filing or
recording office and (ii) no effective filing covering all or any part of the
intellectual property Collateral is on file in the United States Patent and
Trademark Officer.

     D. MARGIN REGULATIONS. The pledge of the Pledged Collateral pursuant to the
Collateral Documents does not violate Regulation T, U or X of the Board of
Governors of the Federal Reserve System.

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     E. INFORMATION REGARDING COLLATERAL. All information supplied to
Administrative Agent by or on behalf of any Loan Party with respect to any of
the Collateral (in each case taken as a whole with respect to any particular
Collateral) is accurate and complete in all material respects.

5.17 DISCLOSURE.

     No representation or warranty of Company or any of its Subsidiaries
contained in any Loan Document or in any other document, certificate or written
statement furnished to Lenders by or on behalf of Company or any of its
Subsidiaries for use in connection with the transactions contemplated by this
Agreement contains any untrue statement of a material fact or omits to state a
material fact (known to any Borrower, in the case of any document not furnished
by it) necessary in order to make the statements contained herein or therein not
misleading in light of the circumstances in which the same were made. Any
projections and pro forma financial information contained in such materials are
based upon good faith estimates and assumptions believed by the Borrowers to be
reasonable at the time made, it being recognized by Lenders that such
projections as to future events are not to be viewed as facts and that actual
results during the period or periods covered by any such projections may differ
from the projected results. There are no facts known (or which should upon the
reasonable exercise of diligence be known) to the Borrowers (other than matters
of a general economic nature) that, individually or in the aggregate, could
reasonably be expected to result in a Material Adverse Effect and that have not
been disclosed herein or in such other documents, certificates and statements
furnished to Lenders for use in connection with the transactions contemplated
hereby.

SECTION 6. BORROWERS' AFFIRMATIVE COVENANTS

     Each Borrower covenants and agrees that, so long as any of the Commitments
hereunder shall remain in effect and until payment in full of all of the Loans
and other Obligations and the cancellation or expiration of all Letters of
Credit, unless Requisite Lenders shall otherwise give prior written consent,
such Borrower shall perform, and shall cause each of its Subsidiaries to
perform, all covenants in this Section 6.

6.1 FINANCIAL STATEMENTS AND OTHER REPORTS.

     Each Borrower will maintain, and cause each of its Subsidiaries to
maintain, a system of accounting established and administered in accordance with
sound business practices to permit preparation of financial statements in
conformity with GAAP. Company will deliver to Administrative Agent and Lenders:

          (i) Monthly Financials: as soon as available and in any event within
     30 days after the end of each month ending after the Effective Date, (a)
     the consolidated and consolidating (by geographic region, which regions
     shall consist of the United States, Europe and Asia, each, a "REGION")
     balance sheets of each Borrower and its Subsidiaries as at the end of such
     month and the related consolidated and consolidating (by Region)

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     statements of income, stockholders' equity and cash flows of such Borrower
     and its Subsidiaries for such month and for the period from the beginning
     of the then current Fiscal Year to the end of such month and setting forth
     in comparative form the corresponding figures for the corresponding periods
     of the previous Fiscal Year and the corresponding figures from the
     Financial Plan for the current Fiscal Year, all in reasonable detail and
     certified by the chief financial officer of Company that they fairly
     present, in all material respects, the financial condition of such Borrower
     and its Subsidiaries as at the dates indicated and the results of their
     operations and their cash flows for the periods indicated, subject to
     changes resulting from audit and normal year-end adjustments, and (b) a
     report describing the operations of such Borrower and its Subsidiaries in
     the form prepared for presentation to senior management for such month and
     for the period from the beginning of the then current Fiscal Year to the
     end of such month, and (c) a report comparing the achievements of Company
     with respect to contract margin improvement, collection of Accounts and
     disposition of stale Inventory against the corresponding figures from the
     Financial Plan for the current Fiscal Year;

          (ii) Quarterly Financials: as soon as available and in any event
     within 45 days after the end of each Fiscal Quarter, (a) the consolidated
     and consolidating (by Region) balance sheets of each Borrower and its
     Subsidiaries as at the end of such Fiscal Quarter and the related
     consolidated and consolidating (by Region) statements of income,
     stockholders' equity and cash flows of such Borrower and its Subsidiaries
     for such Fiscal Quarter and for the period from the beginning of the then
     current Fiscal Year to the end of such Fiscal Quarter, setting forth in
     each case in comparative form the corresponding figures for the
     corresponding periods of the previous Fiscal Year and the corresponding
     figures from the Financial Plan for the current Fiscal Year, all in
     reasonable detail and certified by the chief financial officer of Company
     that they fairly present, in all material respects, the financial condition
     of such Borrower and its Subsidiaries as at the dates indicated and the
     results of their operations and their cash flows for the periods indicated,
     subject to changes resulting from audit and normal year-end adjustments,
     and (b) a narrative report describing the operations of such Borrower and
     its Subsidiaries in the form prepared for presentation to senior management
     for such Fiscal Quarter and for the period from the beginning of the then
     current Fiscal Year to the end of such Fiscal Quarter;

          (iii) Year-End Financials: as soon as available and in any event
     within 100 days after the end of each Fiscal Year, (a) the consolidated and
     consolidating (by Region) balance sheets of such Borrower and its
     Subsidiaries as at the end of such Fiscal Year and the related consolidated
     and consolidating (by Region) statements of income, stockholders' equity
     and cash flows of such Borrower and its Subsidiaries for such Fiscal Year,
     setting forth in each case in comparative form the corresponding figures
     for the previous Fiscal Year and the corresponding figures from the
     Financial Plan for the Fiscal Year covered by such financial statements,
     all in reasonable detail and certified by the chief financial officer of
     Company that they fairly present, in all material respects, the financial
     condition of such Borrower and its Subsidiaries as at the dates indicated
     and the

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     results of their operations and their cash flows for the periods indicated,
     (b) a narrative report describing the operations of such Borrower and its
     Subsidiaries in the form prepared for presentation to senior management for
     such Fiscal Year, and (c) in the case of such consolidated financial
     statements with respect to Company and its Subsidiaries, (1) a report
     thereon of Arthur Andersen LLP or other independent certified public
     accountants of recognized national standing selected by Company and
     satisfactory to Administrative Agent, which report shall be unqualified as
     to scope of audit, shall express no doubts about the ability of Company and
     its Subsidiaries to continue as a going concern, and shall state that such
     consolidated financial statements fairly present, in all material respects,
     the consolidated financial position of Company and its Subsidiaries as at
     the dates indicated and the results of their operations and their cash
     flows for the periods indicated in conformity with GAAP applied on a basis
     consistent with prior years (except as otherwise disclosed in such
     financial statements) and that the examination by such accountants in
     connection with such consolidated financial statements has been made in
     accordance with generally accepted auditing standards and (2) an Auditor's
     Letter, substantially in the form of Exhibit IX annexed hereto with such
     changes as are approved by Administrative Agent, acknowledged by such
     accounting firm acknowledging that Lenders will receive such consolidated
     financial statements in such report and will use such financial statements
     and report in their credit analyses of each Borrower and its Subsidiaries;

          (iv) Officers' and Compliance Certificates: (a) together with each
     delivery of financial statements of each Borrower and its Subsidiaries
     pursuant to subdivisions (i), (ii) and (iii) above, an Officers'
     Certificate of Company stating that the signers have reviewed the terms of
     this Agreement and have made, or caused to be made under their supervision,
     a review in reasonable detail of the transactions and condition of each
     Borrower and its Subsidiaries during the accounting period covered by such
     financial statements and that such review has not disclosed the existence
     during or at the end of such accounting period, and that the signers do not
     have knowledge of the existence as at the date of such Officers'
     Certificate, of any condition or event that constitutes an Event of Default
     or Potential Event of Default, or, if any such condition or event existed
     or exists, specifying the nature and period of existence thereof and what
     action Borrowers have taken, are taking and propose to take with respect
     thereto; and (b) together with each delivery of financial statements
     pursuant to subdivision (ii) and (iii) above, a Compliance Certificate
     demonstrating in reasonable detail compliance during and at the end of the
     applicable accounting periods with the restrictions contained in Section 7;

          (v) Reconciliation Statements: if, as a result of any change in
     accounting principles and policies from those used in the preparation of
     the audited financial statements referred to in subsection 5.3, the
     consolidated financial statements of Company and its Subsidiaries delivered
     pursuant to subdivisions (i), (ii), (iii) or (xiii) of this subsection 6.1
     will differ in any material respect from the consolidated financial
     statements that would have been delivered pursuant to such subdivisions had
     no such change in accounting principles and policies been made, then (a)
     together with the first

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     delivery of financial statements pursuant to subdivision (i), (ii), (iii)
     or (xiii) of this subsection 6.1 following such change, consolidated
     financial statements of Company and its Subsidiaries for (y) the current
     Fiscal Year to the effective date of such change and (z) the full Fiscal
     Year immediately preceding the Fiscal Year in which such change is made, in
     each case prepared on a pro forma basis as if such change had been in
     effect during such periods, and (b) together with each delivery of
     financial statements pursuant to subdivision (i), (ii), (iii) or (xiii) of
     this subsection 6.1 following such change, a written statement of the chief
     accounting officer or chief financial officer of Company setting forth the
     differences (including without limitation any differences that would affect
     any calculations relating to the financial covenants set forth in
     subsection 7.6) which would have resulted if such financial statements had
     been prepared without giving effect to such change;

          (vi) Accountants' Certification: together with each delivery of
     consolidated financial statements of Company and its Subsidiaries pursuant
     to subdivision (iii) above, a written statement by the independent
     certified public accountants giving the report thereon (a) stating that
     their audit examination has included a review of the terms of this
     Agreement and the other Loan Documents as they relate to accounting
     matters, (b) stating whether, in connection with their audit examination,
     any condition or event that constitutes an Event of Default or Potential
     Event of Default has come to their attention and, if such a condition or
     event has come to their attention, specifying the nature and period of
     existence thereof; provided that such accountants shall not be liable by
     reason of any failure to obtain knowledge of any such Event of Default or
     Potential Event of Default that would not be disclosed in the course of
     their audit examination, and (c) stating that based on their audit
     examination nothing has come to their attention that causes them to believe
     either or both that the information contained in the certificates delivered
     therewith pursuant to subdivision (iv) above is not correct or that the
     matters set forth in the Compliance Certificates delivered therewith
     pursuant to subdivision (iv) above for the applicable Fiscal Year are not
     stated in accordance with the terms of this Agreement;

          (vii) Accountants' Reports: promptly upon receipt thereof (unless
     restricted by applicable professional standards), copies of all reports
     submitted to any Borrower by independent certified public accountants in
     connection with each annual, interim or special audit of the financial
     statements of any Borrower and its Subsidiaries made by such accountants,
     including, without limitation, any comment letter submitted by such
     accountants to management in connection with their annual audit;

          (viii) SEC Filings and Press Releases: promptly upon their becoming
     available, copies of (a) all financial statements, reports, notices and
     proxy statements sent or made available generally by any Borrower to its
     security holders or by any Subsidiary of any Borrower to its security
     holders other than any Borrower or another Subsidiary of a Borrower, (b)
     all regular and periodic reports and all registration statements (other
     than on Form S-8 or a similar form) and prospectuses, if any, filed by a
     Borrower or any of its

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     Subsidiaries with any securities exchange or with the Securities and
     Exchange Commission or any governmental or private regulatory authority,
     and (c) all press releases and other statements made available generally by
     a Borrower or any of its Subsidiaries to the public concerning material
     developments in the business of such Borrower or any of its Subsidiaries;

          (ix) Events of Default, etc.: promptly upon any officer of any Loan
     Party obtaining knowledge (a) of any condition or event that constitutes an
     Event of Default or Potential Event of Default, or becoming aware that any
     Lender has given any notice (other than to Administrative Agent) or taken
     any other action with respect to a claimed Event of Default or Potential
     Event of Default, (b) that any Person has given any notice to a Borrower or
     any of its Subsidiaries or taken any other action with respect to a claimed
     default or event or condition of the type referred to in subsection 8.2,
     (c) of any condition or event that would be required to be disclosed in a
     current report filed by a Borrower with the Securities and Exchange
     Commission on Form 8-K (Items 1, 2, 4, 5 and 6 of such Form as in effect on
     the date hereof) if such Borrower were required to file such reports under
     the Exchange Act, or (d) of the occurrence of any event or change that has
     caused or evidences, either in any case or in the aggregate, a Material
     Adverse Effect, an Officers' Certificate specifying the nature and period
     of existence of such condition, event or change, or specifying the notice
     given or action taken by any such Person and the nature of such claimed
     Event of Default, Potential Event of Default, default, event or condition,
     and what action Borrowers have taken, are taking and propose to take with
     respect thereto;

          (x) Litigation or Other Proceedings: (a) promptly upon any officer of
     any Loan Party obtaining knowledge of (X) the institution of, or
     non-frivolous threat of, any action, suit, proceeding (whether
     administrative, judicial or otherwise), governmental investigation or
     arbitration against or affecting such Borrower or any of its Subsidiaries
     or any property of such Borrower or any of its Subsidiaries (collectively,
     "PROCEEDINGS") not previously disclosed in writing by Company or any of its
     Subsidiaries to Lenders or (Y) any material development in any Proceeding
     that, in any case:

               (1) could reasonably be expected to result in a Material Adverse
          Effect; or

               (2) seeks to enjoin or otherwise prevent the consummation of, or
          to recover any damages or obtain relief as a result of, the
          transactions contemplated hereby;

          written notice thereof together with such other information as may be
          reasonably available to such Borrower to enable Lenders and their
          counsel to evaluate such matters; and (b) within twenty days after the
          end of each Fiscal Quarter, a schedule of all Proceedings involving an
          alleged liability of, or claims against or affecting, any Borrower or
          any of its Subsidiaries equal to or greater than

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          $500,000, and promptly after request by Administrative Agent such
          other information as may be reasonably requested by Administrative
          Agent to enable Administrative Agent and its counsel to evaluate any
          of such Proceedings;

          (xi) ERISA Events: promptly upon becoming aware of the occurrence of
     or forthcoming occurrence of any ERISA Event, a written notice specifying
     the nature thereof, what action Company or any of its ERISA Affiliates has
     taken, is taking or proposes to take with respect thereto and, when known,
     any action taken or threatened by the Internal Revenue Service, the
     Department of Labor or the PBGC with respect thereto;

          (xii) ERISA Notices: with reasonable promptness, copies of (a) each
     Schedule B (Actuarial Information) to the annual report (Form 5500 Series)
     filed by Company or any of its ERISA Affiliates with the Internal Revenue
     Service with respect to each Pension Plan; (b) all notices received by
     Company or any of its ERISA Affiliates from a Multiemployer Plan sponsor
     concerning an ERISA Event; and (c) such other documents or governmental
     reports or filings relating to any Employee Benefit Plan as Administrative
     Agent shall reasonably request;

          (xiii) Financial Plans: as soon as practicable and in any event no
     later than 45 days after the beginning of each Fiscal Year, a consolidated
     and consolidating (by Region and by product line) plan and financial
     forecast for such Fiscal Year (the "FINANCIAL PLAN" for such Fiscal Year),
     including without limitation (a) a forecasted consolidated and
     consolidating (by Region and by product line) balance sheet and forecasted
     consolidated and consolidating (by Region and by product line) statements
     of income and cash flows of each Borrower and its Subsidiaries for such
     Fiscal Year, together with a pro forma Compliance Certificate for such
     Fiscal Year and an explanation of the assumptions on which such forecasts
     are based, and (b) forecasted consolidated and consolidating (by Region and
     by product line) balance sheet and forecasted consolidated and
     consolidating (by Region and by product line) statements of income and cash
     flows of each Borrower and its Subsidiaries for each month of such Fiscal
     Year, together with an explanation of the assumptions on which such
     forecasts are based;

          (xiv) Insurance: as soon as practicable and in any event by the last
     day of each Fiscal Year, a report in form and substance satisfactory to
     Administrative Agent outlining all material insurance coverage maintained
     as of the date of such report by Company and its Subsidiaries and all
     material insurance coverage planned to be maintained by Company and its
     Subsidiaries in the immediately succeeding Fiscal Year and confirming the
     status of Administrative Agent as loss payee under all such insurance to
     the extent required by subsection 6.4;

          (xv) Board of Directors: with reasonable promptness, written notice of
     any change in the Board of Directors of any Borrower;

          (xvi) New Subsidiaries: promptly upon any Person becoming a Subsidiary
     of Company, a written notice setting forth with respect to such Person (a)
     the date on which

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     such Person became a Subsidiary of Company and (b) all of the data required
     to be set forth in Schedule 5.1 annexed hereto with respect to all
     Subsidiaries of Company (it being understood that such written notice shall
     be deemed to supplement Schedule 5.1 annexed hereto for all purposes of
     this Agreement);

          (xvii) UCC Search Report: as promptly as practicable after the date of
     delivery to Administrative Agent of any UCC financing statement executed by
     any Loan Party pursuant to subsection 4.1J or 6.8A, copies of completed UCC
     searches evidencing the proper filing, recording and indexing of all such
     UCC financing statements and listing all other effective financing
     statements in that jurisdiction that name such Loan Party as debtor,
     together with copies of all such financing statements not previously
     delivered to Administrative Agent by or on behalf of any Borrower or such
     Loan Party;

           (xviii) Borrowing Base Certificate: (a) as soon as available and in
     any event within fifteen (15) days after the last Business Day of each
     month ending after the Effective Date or (b) as soon as available and in
     any event within three (3) Business Days after a written request from
     Administrative Agent, a Borrowing Base Certificate dated and certified as
     of the last Business Day of such month or such date of request, as
     applicable, together with any additional schedules and other information
     as Administrative Agent may reasonably request, and such Borrowing Base
     Certificate shall, with respect to Equipment and Real Property Assets, use
     the most recently available appraised values for Equipment and Real
     Property Assets; and

          (xix) Other Information: with reasonable promptness, such other
     information and data with respect to any Borrower or any of its
     Subsidiaries as from time to time may be reasonably requested by
     Administrative Agent on its own behalf or on behalf of any Lender.

6.2 CORPORATE EXISTENCE, ETC.

     Except as permitted under subsection 7.7, each Borrower will, and will
cause each of its Subsidiaries to, at all times preserve and keep in full force
and effect its corporate existence and all rights and franchises material to its
business.

6.3 PAYMENT OF TAXES AND CLAIMS; TAX CONSOLIDATION.

     A. Each Borrower will, and will cause each of its Subsidiaries to, pay all
taxes, assessments and other governmental charges imposed upon it or any of its
properties or assets or in respect of any of its income, businesses or
franchises before any material penalty accrues thereon, and all claims
(including, without limitation, claims for labor, services, materials and
supplies) for sums that have become due and payable and that by law have or may
become a material Lien upon any of its properties or assets, prior to the time
when any material penalty or fine shall be incurred with respect thereto;
provided that no such charge or claim need be paid if being contested in good
faith by appropriate proceedings promptly instituted and

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diligently conducted and if such reserve or other appropriate provision, if any,
as shall be required in conformity with GAAP shall have been made therefor.

     B. None of the Borrowers will nor will any such Borrower permit any of its
Subsidiaries to, file or consent to the filing of any consolidated income tax
return with any Person (other than New Holdings or any of its Subsidiaries).

6.4  MAINTENANCE OF PROPERTIES; INSURANCE; APPLICATION OF NET INSURANCE/
     CONDEMNATION PROCEEDS.

     A. MAINTENANCE OF PROPERTIES. Each Borrower will, and will cause each of
its Subsidiaries to, maintain or cause to be maintained in good repair, working
order and condition, ordinary wear and tear excepted, all of their respective
material properties used or useful in the business of such Borrower and its
Subsidiaries (including, without limitation, all patents, trademarks,
tradenames, copyrights, registered names, service marks, technology, know-how
and processes used in or necessary for the conduct of the business of Company
and its Subsidiaries as currently conducted that are material to the condition
(financial or otherwise), business or operations of Company and its
Subsidiaries) and from time to time will make or cause to be made all
appropriate repairs, renewals and replacements thereof such that the properties
will remain in substantially the same condition and working order, ordinary wear
and tear excepted, that exists as of the Effective Date.

     B. INSURANCE. Each Borrower will maintain or cause to be maintained, with
financially sound and reputable insurers, insurance with respect to its
properties and business and the properties and businesses of its Subsidiaries
against loss or damage of the kinds customarily carried or maintained under
similar circumstances by corporations of established reputation engaged in
similar businesses. Without limiting the generality of the foregoing, each
Borrower will maintain or cause to be maintained (i) flood insurance with
respect to each Flood Hazard Property or Covered Real Property Asset (as defined
in subsection 6.9) that is Flood Hazard Property to the extent that such Flood
Hazard Property or Covered Real Property Asset that is Flood Hazard Property is
located in a community that participates in the National Flood Insurance Program
and (ii) public liability insurance, third party property damage insurance and
replacement value insurance on the Collateral under such policies of insurance,
with such insurance companies, in such amounts and covering such risks as are at
all times satisfactory to Administrative Agent in its commercially reasonable
judgment. Each such policy of insurance that insures against loss or damage with
respect to any Collateral or against losses due to business interruption shall
name Administrative Agent for the benefit of Lenders as the loss payee
thereunder for any covered loss in excess of $500,000 and shall provide for at
least 30 days (15 days in the event of non-payment of premium) prior written
notice to Administrative Agent of any modification or cancellation of such
policy.

     C. APPLICATION OF NET INSURANCE/CONDEMNATION PROCEEDS. Upon receipt by
Administrative Agent of any Net Insurance/Condemnation

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Proceeds as loss payee (i) in respect of any such business interruption
insurance constituting Net Insurance/Condemnation Proceeds, (a) Administrative
Agent shall, so long as no Event of Default shall have occurred and be
continuing, deliver such Net Insurance/Condemnation Proceeds to the applicable
Borrower, and (b) if an Event of Default shall have occurred and be continuing,
Administrative Agent shall, and Borrowers hereby authorize Administrative Agent
to, apply such Net Insurance/ Condemnation Proceeds to prepay the Loans as
provided in subsection 2.4B(iii)(b), and (ii) in respect of any such insurance
against loss or damage with respect to any Collateral, (a) to the extent that
any Borrower or any of its Subsidiaries intends to use any such insurance
proceeds to repair, restore or replace the assets of such Borrower or Subsidiary
in respect of which such Net Insurance/Condemnation Proceeds were received,
Administrative Agent shall, so long as no Event of Default shall have occurred
and be continuing, (A) in the event the aggregate amount of such Net
Insurance/Condemnation Proceeds in respect of any covered loss does not exceed
$2,500,000, deliver such Net Insurance/Condemnation Proceeds to such Borrower,
and such Borrower shall, or shall cause such Subsidiary to, use such Net
Insurance/Condemnation Proceeds to effect such repair, restoration or
replacement, and (B) in the event the aggregate amount of such Net Insurance/
Condemnation Proceeds exceeds $2,500,000, hold such proceeds in a cash
collateral account and so long as any Borrower or any of its Subsidiaries
proceeds to repair, restore or replace the assets of such Borrower or such
Subsidiary in respect of which such Net Insurance/ Condemnation Proceeds were
received, Administrative Agent shall from time to time disburse to such Borrower
or such Subsidiary amounts necessary to pay the cost of such repair, restoration
or replacement after the receipt by Administrative Agent of invoices or other
documentation reasonably satisfactory to Administrative Agent describing the
amount of costs so incurred; provided, however, that if in the reasonable good
faith belief of Administrative Agent, such Borrower or such Subsidiary is not
proceeding diligently with the repair, restoration or replacement,
Administrative Agent shall, and Borrowers hereby authorize Administrative Agent
to, apply such insurance proceeds to prepay the Loans as provided in subsection
2.4B(iii)(b), and (b) if an Event of Default shall have occurred and be
continuing or to the extent that neither the applicable Borrower nor any of its
Subsidiaries intends to use any such Net Insurance/ Condemnation Proceeds to
repair, restore or replace assets of such Borrower or any of its Subsidiaries as
described above, Administrative Agent shall, and Borrowers hereby authorize
Administrative Agent to, apply such Net Insurance/ Condemnation Proceeds to
prepay the Loans as provided in subsection 2.4B(iii)(b).

6.5 INSPECTION; RECORDS; LENDER MEETING.

     A. INSPECTION RIGHTS; RECORDS. Each Borrower shall, and shall cause each of
its Subsidiaries to, permit any authorized representatives designated by
Administrative Agent (which may include representatives of any Lender at such
Lender's expense) to visit and inspect any of the properties of such Borrower or
any of its Subsidiaries, including its and their financial and accounting
records, and to make copies and take extracts therefrom, and to discuss its and
their affairs, finances and accounts with its and their officers and independent
public accountants (provided that such Borrower may, if it so chooses, be
present at or participate in any such discussion). Each Borrower shall, and
shall cause each of its Subsidiaries to, maintain all of their financial and
accounting records in accordance with GAAP (or the equivalent of GAAP in
jurisdictions outside of the United States).

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     B. AUDITS AND APPRAISALS. Upon the request of Administrative Agent, each
Borrower shall, and shall cause each of its Subsidiaries to, permit any
authorized representatives designated by Administrative Agent to conduct one or
more audits of all Accounts and Inventory of Loan Parties and one or more
appraisals of all Equipment and Real Property Assets, in each case during each
twelve-month period after the Effective Date (exclusive of any audits or
appraisals required under subsections 4.1K and 4.1L (the "BASE AUDITS AND
APPRAISALS")), or upon the occurrence and during the continuation of an Event of
Default, such additional audits of Accounts and Inventory and appraisals of
Equipment and Real Property Assets as Administrative Agent may require, each
such audit and/or appraisal to be substantially similar in scope and substance
to the Base Audits and Appraisals, all upon reasonable notice and at such
reasonable times during normal business hours and as often as may be reasonably
requested.

     C. LENDER MEETING. Without in any way limiting the foregoing, each Borrower
will participate in a meeting of Administrative Agent and Lenders at least once
during each Fiscal Year to be held at such Borrower's corporate offices (or such
other location as may be agreed to by such Borrower and Administrative Agent) at
such time as may be agreed to by such Borrower and Administrative Agent.

6.6 COMPLIANCE WITH LAWS, ETC.

     Each Borrower shall, and shall cause each of its Subsidiaries to, comply
with the requirements of all applicable laws, rules, regulations and orders of
any governmental authority (including without limitation all Environmental
Laws), noncompliance with which could reasonably be expected to cause,
individually or in the aggregate at any time, a Material Adverse Effect.

6.7 ENVIRONMENTAL DISCLOSURE AND INSPECTION.

     A. COMPLIANCE WITH ENVIRONMENTAL LAWS. Each Borrower shall, and shall cause
each of its Subsidiaries to, exercise all due diligence in order to comply in
all material respects and cause (i) all tenants under any leases or occupancy
agreements affecting any portion of the Facilities and (ii) all other Persons on
or occupying such property, to comply in all material respects with all
Environmental Laws.

     B. ENVIRONMENTAL REPORTS; ENVIRONMENTAL REVIEW AND INSPECTION.

     (i) Upon request by Administrative Agent from time to time, Borrowers shall
deliver as soon as practicable to Administrative Agent reports and other
information, in form, scope and substance satisfactory to Administrative Agent,
regarding environmental matters relating to the Facilities, which reports shall
include (i) a Phase I environmental assessment for each of the Facilities
currently owned, leased, operated or used by Company or any of its Domestic
Subsidiaries (collectively, the "PHASE I REPORT") which (a) conforms to the ASTM
Standard Practice for Environmental Site Assessments: Phase I Environmental Site
Assessment Process, E 1527, (b) was conducted by one or more environmental
consulting firms reasonably satisfactory to Administrative Agent, and (c)
includes an estimate of the reasonable worst-case

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cost of investigating and remediating any Hazardous Materials Activity
identified in the Phase I Report as giving rise to an actual or potential
material violation of any Environmental Law or as presenting a material risk of
giving rise to a material Environmental Claim, and (ii) a current compliance
audit setting forth an assessment of Company's, its Domestic Subsidiaries' and
such Facilities' current and past compliance with Environmental Laws and an
estimate of the cost of rectifying any non-compliance with current Environmental
Laws identified therein and the cost of compliance with reasonably anticipated
future Environmental Laws identified therein.

     (ii) Each Borrower agrees that Administrative Agent may, from time to time
and in its reasonable discretion, (a) retain, at Borrower's expense, an
independent professional consultant to review any environmental audits,
investigations, analyses and reports relating to Hazardous Materials prepared by
or for Borrower and (b)conduct its own investigation of any Facility; provided
that, in the case of any Facility no longer owned, leased, operated or used by
Borrower or any of its Subsidiaries, Borrower shall only be obligated to use its
best efforts to obtain permission for Administrative Agent's professional
consultant to conduct an investigation of such Facility. For purposes of
conducting such a review and/or investigation, each Borrower hereby grants to
Administrative Agent and its agents, employees, consultants and contractors the
right to enter into or onto any Facilities currently owned, leased, operated or
used by Borrower or any of its Subsidiaries and to perform such tests on such
property (including taking samples of soil, groundwater and suspected
asbestos-containing materials) as are reasonably necessary in connection
therewith. Any such investigation of any Facility shall be conducted, unless
otherwise agreed to by Borrower and Administrative Agent, during normal business
hours and, to the extent reasonably practicable, shall be conducted so as not to
interfere with the ongoing operations at such Facility or to cause any damage or
loss to any property at such Facility. Each Borrower and Administrative Agent
hereby acknowledge and agree that any report of any investigation conducted at
the request of Administrative Agent pursuant to this subsection 6.7B will be
obtained and shall be used by Administrative Agent and Lenders for the purposes
of Lenders' internal credit decisions, to monitor and police the Loans and to
protect Lenders' security interests, if any, created by the Loan Documents.
Administrative Agent agrees to deliver a copy of any such report to Company with
the understanding that each Borrower acknowledges and agrees that (x) it will
indemnify and hold harmless Administrative Agent and each Lender from any costs,
losses or liabilities relating to Borrower's use of or reliance on such report,
(y) neither Administrative Agent nor any Lender makes any representation or
warranty with respect to such report, and (z) by delivering such report to
Borrower, neither Administrative Agent nor any Lender is requiring or
recommending the implementation of any suggestions or recommendations contained
in such report.

     C. ENVIRONMENTAL DISCLOSURE. Each Borrower and its Subsidiaries will
deliver to Administrative Agent and Lenders:

          (i) Environmental Audits and Reports. As soon as practicable following
     receipt thereof, copies of all environmental audits, investigations,
     analyses and reports of any kind or character, whether prepared by
     personnel of Borrower or any of its Subsidiaries or by independent
     consultants, governmental authorities or any other

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     Persons, with respect to significant environmental matters at any Facility
     which, individually or in the aggregate, could reasonably be expected to
     result in a Material Adverse Effect or with respect to any Environmental
     Claims which, individually or in the aggregate, could reasonably be
     expected to result in a Material Adverse Effect;

          (ii) Notice of Certain Releases, Remedial Actions, Etc. Each Borrower
     shall promptly upon the occurrence thereof advise Administrative Agent and
     Lenders in writing and in reasonable detail of (i) any Release required to
     be reported to any Governmental Authority under any applicable
     Environmental Laws, (ii) any Environmental Claims made to or on such
     Borrower or any of its Subsidiaries or Affiliates that could reasonably be
     expected to give rise to a Material Adverse Effect or with respect to any
     Release required to be reported to any Governmental Authority, (iii) any
     remedial action taken by such Borrower or any other Person in response to
     (x) any Hazardous Materials Activities the existence of which could
     reasonably be expected to give rise to an Environmental Claim having a
     Material Adverse Effect, or (y) any Environmental Claim made to or on such
     Borrower or any of its Subsidiaries or Affiliates that could have a
     Material Adverse Effect, (iv) such Borrower's discovery of any occurrence
     or condition on any real property adjoining or in the vicinity of any
     Facility that could cause such Facility or any part thereof to be subject
     to any restrictions on the ownership, occupancy, transferability or use
     thereof under any Environmental Laws, and (v) any request for information
     from any Governmental Authority that suggests such agency is investigating
     whether such Borrower or any of its Subsidiaries may be potentially
     responsible for a Release, except for in each case those matters set forth
     on Schedule 5.13.

          (iii) Written Communications Regarding Environmental Claims, Releases,
     Etc. As soon as practicable following the sending or receipt thereof by
     Borrower or any of its Subsidiaries, a copy of any and all written
     communications with respect to (a) any Environmental Claims that,
     individually or in the aggregate, have a reasonable possibility of giving
     rise to a Material Adverse Effect, (b) any Release required to be reported
     to any federal, state or local governmental or regulatory agency, and (c)
     any request for information from any governmental agency that suggests such
     agency is investigating whether Borrower or any of its Subsidiaries may be
     potentially responsible for any Hazardous Materials Activity.

          (iv) Notice of Certain Proposed Actions Having Environmental Impact.
     Prompt written notice describing in reasonable detail (a) any proposed
     acquisition of stock, assets, or property by Borrower or any of its
     Subsidiaries that could reasonably be expected to (1) expose Borrower or
     any of its Subsidiaries to, or result in, Environmental Claims that could
     reasonably be expected to have, individually or in the aggregate, a
     Material Adverse Effect or (2) affect the ability of Borrower or any of its
     Subsidiaries to maintain in full force and effect all material Governmental
     Authorizations required under any Environmental Laws for their respective
     operations and (b) any proposed action to be taken by Borrower or any of
     its Subsidiaries to commence new manufacturing or other

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     industrial operations or to modify current operations in a manner that
     could reasonably be expected to subject Borrower or any of its Subsidiaries
     to any material additional obligations or requirements under any
     Environmental Laws that could reasonably be expected to have, individually
     or in the aggregate, a Material Adverse Effect.

          (v) Other Information. Each Borrower shall, at its own expense,
     provide copies of such documents or information as Administrative Agent may
     reasonably request in relation to any matters disclosed pursuant to this
     subsection 6.7.

     D. BORROWER'S REMEDIAL ACTION REGARDING HAZARDOUS MATERIALS.

          (i) Remedial Actions Relating to Hazardous Materials Activities. Each
     Borrower shall promptly undertake, and shall cause each of its Subsidiaries
     promptly to undertake, any and all investigations, studies, sampling,
     testing, abatement, cleanup, removal, remediation or other response actions
     necessary to remove, remediate, clean up or abate any Hazardous Materials
     Activity on, under or about any Facility that is in violation of any
     Environmental Laws or that presents a material risk of giving rise to an
     Environmental Claim. In the event Borrower or any of its Subsidiaries
     undertakes any such action with respect to any Hazardous Materials,
     Borrower or such Subsidiary shall conduct and complete such action in
     compliance with all applicable Environmental Laws and in accordance with
     the policies, orders and directives of all federal, state and local
     governmental authorities except when, and only to the extent that,
     Borrower's or such Subsidiary's liability with respect to such Hazardous
     Materials Activity is being contested in good faith by Borrower or such
     Subsidiary.

          (ii) Actions with Respect to Environmental Claims and Violations of
     Environmental Laws. Each Borrower shall promptly take, and shall cause each
     of its Subsidiaries promptly to take, any and all actions necessary to (i)
     cure any violation of applicable Environmental Laws by Borrower or its
     Subsidiaries that could reasonably be expected to have, individually or in
     the aggregate, a Material Adverse Effect and (ii) make an appropriate
     response to any Environmental Claim made to or on Borrower or any of its
     Subsidiaries and discharge any obligations it may have to any Person
     thereunder where failure to do so could reasonably be expected to have,
     individually or in the aggregate, a Material Adverse Effect.

6.8 EXECUTION OF FUTURE GUARANTIES AND COLLATERAL DOCUMENTS.

     A. EXECUTION OF FUTURE SUBSIDIARY GUARANTY AND COLLATERAL DOCUMENTS. In the
event that any Person becomes a Domestic Subsidiary of Company after the date
hereof, Company will promptly notify Administrative Agent of that fact, will
execute a pledge amendment to the Security Agreement executed and delivered by
Company pledging 100% of the capital stock of such Domestic Subsidiary owned by
Company and cause such Subsidiary to execute and deliver to Administrative Agent
a counterpart of the Subsidiary Guaranty, a counterpart of the Security
Agreement, and, if applicable, Additional Mortgages (as defined in subsection
6.9) and to take all such further action and execute all such further documents
and

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instruments as may be reasonably required to (x) grant and perfect in favor of
Administrative Agent, for the benefit of Domestic Tranche A Lenders, a First
Priority security interest in all of the Real Property Assets and all of the
personal property assets of such Subsidiary described in the applicable
Collateral Documents, and (y) grant and perfect in favor of Administrative
Agent, for the benefit of Domestic Tranche B Lenders, a Second Priority security
interest in all of the Real Property Assets and all of the personal property
assets of such Subsidiary described in the applicable Collateral Documents.

     B. EXECUTION OF FUTURE FOREIGN SUBSIDIARY GUARANTY AND COLLATERAL
Documents. In the event that any Person becomes a direct Foreign Subsidiary of
Company or any Domestic Subsidiary of Company after the date hereof, Company
will promptly notify Administrative Agent of that fact and Company or such
Domestic Subsidiary will execute a pledge amendment to the Security Agreement
executed and delivered by Company or such Domestic Subsidiary pledging not less
than 66% of the capital stock of such Foreign Subsidiary. In the event that U.S.
tax laws are amended to permit a Foreign Subsidiary to guarantee the Domestic
Term Loans, the Domestic Tranche A Revolving Loans, the Domestic Tranche B
Revolving Loans and the Swing Line Loans without the incurrence of an investment
in U.S. property or other deemed dividends for U.S. tax purposes or without
otherwise resulting in U.S. taxable income, Company will promptly notify
Administrative Agent of that fact and Company or such Domestic Subsidiary will
execute pledge amendments to the Security Agreement executed and delivered by
Company or such Domestic Subsidiary pledging not less than 100% of the stock of
its Foreign Subsidiaries and Company will cause its Foreign Subsidiaries to
execute and deliver to Administrative Agent a counterpart of the Subsidiary
Guaranty, a counterpart of the Security Agreement and. if applicable, Additional
Mortgages and to take all such further action and execute all such further
documents and instruments as may be reasonably required to (x) grant and perfect
in favor of Administrative Agent, for the benefit of Domestic Tranche A Lenders,
a First Priority security interest in all of the Real Property Assets and all of
the personal property assets of such Subsidiary described in the applicable
Collateral Documents, and (y) grant and perfect in favor of Administrative
Agent, for the benefit of Domestic Tranche B Lenders, a Second Priority security
interest in all of the Real Property Assets and all of the personal property
assets of such Subsidiary described in the applicable Collateral Documents.

     C. SUBSIDIARY CHARTER DOCUMENTS, LEGAL OPINIONS, ETC. With respect to any
such new Subsidiary, Company shall deliver to Administrative Agent, together
with the applicable Guaranty and such Collateral Documents if, and to the
extent, requested by Administrative Agent:

          (i) certified copies of such Subsidiary's Articles or Certificate of
     Incorporation, together with a good standing certificate from the Secretary
     of State (or comparable official) of the jurisdiction of its incorporation,
     each to be dated a recent date prior to their delivery to Administrative
     Agent

          (ii) a copy of such Subsidiary's Bylaws (or comparable or equivalent
     documentation), certified by its corporate secretary or an assistant
     corporate secretary or

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     other appropriate officer as of a recent date prior to their delivery to
     Administrative Agent;

          (iii) a certificate executed by the secretary or an assistant
     secretary or other appropriate officer of such Subsidiary as to (a) the
     incumbency and signatures of the officers of such Subsidiary executing such
     Guaranty and the Collateral Documents to which such Subsidiary is a party
     and (b) the fact that the attached resolutions of the Board of Directors of
     such Subsidiary authorizing the execution, delivery and performance of such
     Guaranty and such Collateral Documents are in full force and effect and
     have not been modified or rescinded; and

          (iv) a favorable opinion of counsel to such Subsidiary, in form and
     substance satisfactory to Administrative Agent and its counsel, as to (a)
     the due organization and good standing of such Subsidiary, (b) the due
     authorization, execution and delivery by such Subsidiary of such Guaranty
     and such Collateral Documents, (c) the enforceability of such Guaranty and
     such Collateral Documents against such Subsidiary, and (d) such other
     matters as Administrative Agent may reasonably request, all of the
     foregoing to be satisfactory in form and substance to Administrative Agent
     and its counsel.

6.9 ADDITIONAL REAL PROPERTY COLLATERAL.

     A. ADDITIONAL MORTGAGES, ETC. From and after the Effective Date, in the
event that (i) any Borrower or any of its Subsidiaries acquires any Fee Property
or any Material Leasehold (other than any Fee Property or Material Leasehold
which Administrative Agent in its sole discretion affirmatively waives the
requirements set forth in this subsection 6.9 with respect to such Fee Property
or Material Leasehold) (each a "COVERED REAL PROPERTY ASSET") or (ii) at the
time any Person becomes a Subsidiary of any Borrower, such Person owns or holds
any Covered Real Property Asset, such Borrower or such Subsidiary shall, as soon
as practicable after the acquisition of such Covered Real Property Asset or such
Person's becoming a Subsidiary of any Borrower, as the case may be, deliver to
Administrative Agent the following:

          (a) Additional Mortgage. Fully executed and acknowledged counterparts
     of Mortgages (each an "ADDITIONAL MORTGAGE" and collectively, the
     "ADDITIONAL Mortgages") in recordable form encumbering such Covered Real
     Property Asset, which Mortgages shall create a valid and enforceable First
     Priority Lien (or such other priority lien as may be specified in the
     applicable Additional Mortgage), subject to Permitted Encumbrances, on such
     Covered Real Property Asset in favor of Administrative Agent (or such other
     trustee as may be required or desired under local law) for the benefit of
     Lenders;

          (b) Opinion of Counsel. If required by Administrative Agent, an
     opinion of local counsel (which counsel shall be reasonably satisfactory to
     Administrative Agent) in the jurisdiction in which such Covered Real
     Property Asset is located with respect to the enforceability of Additional
     Mortgage recorded in such jurisdiction and such other

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     matters as Administrative Agent may reasonably request, in form and
     substance reasonably satisfactory to Administrative Agent;

          (c) Landlord Consent and Estoppel; Recorded Leasehold Interest. In the
     case of a Covered Real Property Asset consisting of a Material Leasehold,
     such estoppel letters from the landlord on such Material Leasehold as may
     be reasonably requested by Administrative Agent, in form and substance
     reasonably satisfactory to Administrative Agent;

          (d) Title Insurance. (1) If required by Administrative Agent, in the
     case of each such Covered Real Property Asset consisting of a Fee Property,
     an ALTA mortgagee title insurance policy issued by a title insurer
     reasonably satisfactory to Administrative Agent (an "ADDITIONAL MORTGAGE
     POLICY"), in an amount reasonably satisfactory to Administrative Agent,
     ensuring Administrative Agent that the applicable Additional Mortgage
     creates a valid and enforceable First Priority mortgage Lien (or such other
     priority lien as may be specified in the applicable Additional Mortgage) on
     such Covered Real Property Asset, free and clear of all defects and
     encumbrances except Permitted Encumbrances, which Additional Mortgage
     Policy (x) shall be in form and substance satisfactory to Administrative
     Agent and (y) shall include an endorsement for mechanics' liens, for future
     advances under this Agreement, the Notes and the other Loan Documents, and
     for any other matters that Administrative Agent may request, and (z) shall
     provide for affirmative insurance and such reinsurance as Administrative
     Agent may request, all of the foregoing in form and substance reasonably
     satisfactory to Administrative Agent; and (2) a current survey prepared in
     accordance with the Minimum Standard Detail Requirements for ALTA/ACSM Land
     Title Surveys jointly established and adopted by ALTA and ACSM in 1992 and
     meeting the requirement of a Class A Survey, as defined therein with
     respect to such Covered Real Property Asset showing gross area of such
     Covered Real Property Asset, lot lines and monuments, building lines,
     easements both burdening and benefiting such Covered Real Property Asset,
     utilities, including water and sewer lines to the point of connection with
     the public system, the improvements (including loading docks and the
     location and number of parking spaces), encroachments, if any, on such
     Covered Real Property Asset or over adjoining properties, and other matters
     located on or affecting such Covered Real Property Asset requested by the
     Administrative Agent. Each such Survey will contain a certificate addressed
     to the Administrative Agent and First American Title Insurance Company in
     form and substance satisfactory to Administrative Agent;

          (e) Title Report. If no Additional Mortgage Policy is required with
     respect to such Covered Real Property Asset, a title report obtained by
     Borrower in respect of any such Covered Real Property Asset, dated not more
     than 30 days prior to the date such Additional Mortgage is to be recorded
     and satisfactory in form and substance to Administrative Agent;

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          (f) Matters Relating to Flood Hazard Properties. (i) Evidence, which
     may be in the form of a letter from an insurance broker or a municipal
     engineer, as to whether (1) such Covered Real Property Asset (an
     "ADDITIONAL FLOOD HAZARD PROPERTY") is Flood Hazard Property and (2) the
     community in which such Covered Real Property Asset (if it is an Additional
     Flood Hazard Property) is located is participating in the National Flood
     Insurance Program; (ii) if such Covered Real Property Asset is an
     Additional Flood Hazard Property, Borrower's written acknowledgement of
     receipt of written notification from Administrative Agent (1) as to the
     existence of such Additional Flood Hazard Property and (2) as to whether
     the community in which such Flood Hazard Property is located is
     participating in the National Flood Insurance Program; and (iii) in the
     event such Covered Real Property Asset is an Additional Flood Hazard
     Property that is located in a community that participates in the National
     Flood Insurance Program, evidence that Borrower has obtained flood
     insurance in respect of such Flood Hazard Property to the extent required
     under the applicable regulations of the Board of Governors of the Federal
     Reserve System; and

          (g) Environmental Audit. If required by Administrative Agent, in the
     case of each such Covered Real Property Asset consisting of a Fee Property,
     environmental audits, reports and other information prepared by
     professional consultants mutually acceptable to Borrower and Administrative
     Agent, in form, scope and substance satisfactory to Administrative Agent in
     its reasonable discretion, concerning any environmental hazards or
     liabilities to which Borrower or any of its Subsidiaries may be subject
     with respect to such Additional Mortgaged Property.

     B. REAL ESTATE APPRAISALS. Each Borrower shall, and shall cause each of its
Subsidiaries to, permit any authorized representatives designated by
Administrative Agent, upon reasonable notice, to visit and inspect any
Additional Mortgaged Property for the purpose of obtaining an appraisal of
value, conducted by consultants retained by Administrative Agent in compliance
with all applicable banking regulations, with respect to such Covered Real
Property Asset.

6.10 ASSIGNABILITY AND RECORDING OF LEASE AGREEMENTS.

     From and after the Effective Date, in the event that any Borrower or any of
its Subsidiaries enters into any lease that is a Material Leasehold (other than
any Material Leasehold as to which Administrative Agent in its sole discretion
affirmatively waives the requirements set forth in this subsection 6.10), such
Borrower shall, or shall cause such Subsidiary to, (i) obtain lease terms
permitting (or not expressly prohibiting) the encumbrancing of such Material
Leasehold pursuant to an Additional Mortgage and the assignment of such Material
Leasehold interest to the successful bidder at a foreclosure or similar sale
(and to a subsequent third party assignee by Administrative Agent or any Lender
to the extent Administrative Agent or such Lender is the successful bidder at
such sale) in the event of a foreclosure or similar action pursuant to such
Additional Mortgage and (ii) cause such lease, or a memorandum of lease with
respect thereto, or other evidence of such lease in form and substance
reasonably satisfactory to

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Administrative Agent, to be recorded in all places to the extent necessary or
desirable, in the reasonable judgment of Administrative Agent, so as to enable
an Additional Mortgage encumbering such Material Leasehold to effectively create
a valid and enforceable Lien (subject to Permitted Encumbrances) on such
Material Leasehold in favor of Administrative Agent (or such other Person as may
be required or desired under local law) for the benefit of Lenders.

6.11 YEAR 2000 COVENANT.

     Each Borrower has reviewed, or will expeditiously review, its operations
and those of its Subsidiaries with a view to assessing whether its businesses,
or the businesses of any of its Subsidiaries, will be vulnerable to a Year 2000
Problem or to the effects of a Year 2000 Problem suffered by any of Company's or
any of its Subsidiaries' major commercial counter-parties. Each Borrower shall
take all actions necessary and commit adequate resources to assure that its
computer-based and other systems (and those of all Subsidiaries) are able to
effectively process data, including dates before, on and after January 1, 2000,
without experiencing any Year 2000 Problem that could cause a Material Adverse
Effect. At the request of Administrative Agent, each Borrower will provide
Administrative Agent with assurances and substantiations (including without
limitation the results of internal or external audit reports prepared in the
ordinary course of business) reasonably acceptable to Administrative Agent as to
the capability of each Borrower and its Subsidiaries to conduct its and their
businesses and operations before, on and after January 1, 2000 without
experiencing a Year 2000 Problem causing a Material Adverse Effect. Each
Borrower represents and warrants that it has a reasonable basis to believe that
no Year 2000 Problem will cause a Material Adverse Effect.

6.12 CASH MAINTENANCE.

     Each Borrower shall, and shall cause each of its Subsidiaries to, (x)
deposit, transfer and otherwise maintain all Cash in Deposit Accounts
established and maintained with Lenders and (y) maintain all Cash Equivalents
with Lenders. Any Cash of a Borrower not on deposit or otherwise maintained in a
Deposit Account established and maintained with a Lender and any Cash
Equivalents not maintained with a Lender, in each case as of the Effective Date,
shall be transferred by such Borrower to a Deposit Account established and
maintained with a Lender or to a Lender, as the case may be, no later than six
(6) months after the Effective Date. In the event that a Lender is replaced
pursuant to subsection 2.8 or a financial institution is no longer a Lender
under this Agreement, then all Cash and Cash Equivalents maintained with such
former Lender shall be transferred to a Lender no later than six (6) months
after such former Lender is replaced or is no longer a Lender, as the case may
be.

6.13 ASSUMPTION BY NEW HOLDINGS OF OBLIGATIONS UNDER THIS AGREEMENT.

     Company shall cause New Holdings to assume its Obligations under this
Agreement by executing and delivering on or prior to the Effective Date executed
and acknowledged originals of this Agreement.

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6.14 DELIVERY OF ADDITIONAL DOCUMENTS .

     A. COLLATERAL DOCUMENTS TO BE DELIVERED BY GOSS JAPAN. No later than one
hundred twenty (120) days after the Effective Date, Goss Japan shall (i) execute
and deliver to Administrative Agent executed and acknowledged (where applicable)
originals of any and all Security Agreements and Mortgages and/or amendments
thereto, (ii) deliver to Lenders originally executed copies of one or more
favorable written opinions of Anderson Mori, local counsel for Goss Japan, in
form and substance reasonably satisfactory to Administrative Agent and its
counsel, setting forth substantially the matters in the opinions designated in
Exhibit X-B annexed hereto and as to such other matters as Administrative Agent
acting on behalf of Lenders may reasonably request, and (iii) take any and all
other actions, including, without limitation, the recording, filing and/or
registration of any and all applicable Security Agreements and Mortgages and/or
amendments thereto, necessary or desirable, in the opinion of Administrative
Agent, to continue and maintain in favor of Administrative Agent, on behalf of
Japanese Lenders, a perfected Lien in the real, personal and mixed property
Collateral of Goss Japan.

     B. COLLATERAL DOCUMENTS AND OTHER DOCUMENTS TO BE DELIVERED BY COMPANY. No
later than one hundred twenty (120) days after the Effective Date, Company shall
deliver to Administrative Agent:

          (a) Landlord Consents and Estoppels; Recorded Leasehold Interests. In
     the case of each Effective Date Mortgaged Property consisting of a
     Leasehold Property, (a) a Landlord Consent and Estoppel with respect
     thereto and (b) evidence that such Leasehold Property is a Recorded
     Leasehold Interest;

          (b) Title Reports. With respect to each Effective Date Mortgaged
     Property listed in Part B of Schedule 5.5 annexed hereto, a title report
     issued by the Title Company with respect thereto, dated not more than 30
     days prior to the Effective Date and satisfactory in form and substance to
     Administrative Agent;

          (c) Copies of Documents Relating to Title Exceptions. Copies of all
     recorded documents listed as exceptions to title or otherwise referred to
     in the Effective Date Mortgage Policies or in the title reports delivered
     pursuant to subsection 6.14C(b); and

          (d) Matters Relating to Flood Hazard Properties. (a) Evidence, which
     may be in the form of a letter from an insurance broker or a municipal
     engineer, as to whether (1) any Effective Date Mortgaged Property is a
     Flood Hazard Property and (2) the community in which any such Flood Hazard
     Property is located is participating in the National Flood Insurance
     Program, (b) if there are any such Flood Hazard Properties, such Loan
     Party's written acknowledgement of receipt of written notification from
     Administrative Agent (1) as to the existence of each such Flood Hazard
     Property and (2) as to whether the community in which each such Flood
     Hazard Property is located is participating in the National Flood Insurance
     Program, and (c) in the event any such Flood Hazard Property is located in
     a community that participates in the National Flood Insurance Program,
     evidence that Company has obtained flood insurance in respect of

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     such Flood Hazard Property to the extent required under the applicable
     regulations of the Board of Governors of the Federal Reserve System.

          (e) Tax Good Standings. Copies of all certificates or other evidence
     of good standing as to payment of any applicable franchise or similar taxes
     from the appropriate taxing authority from the jurisdictions identified on
     Schedule 4.1A.

SECTION 7. BORROWERS' NEGATIVE COVENANTS

     New Holdings and each Borrower, as the case may be, covenants and agrees
that, so long as any of the Commitments hereunder shall remain in effect and
until payment in full of all of the Loans and other Obligations and the
cancellation or expiration of all Letters of Credit, unless Requisite Lenders
shall otherwise give prior written consent, New Holdings or such Borrower, as
the case may be, shall perform, and shall cause each of its Subsidiaries to
perform, all covenants in this Section 7.

7.1 INDEBTEDNESS.

     New Holdings and each Borrower shall not, and shall not permit any of its
Subsidiaries to, directly or indirectly, create, incur, assume or guaranty, or
otherwise become or remain directly or indirectly liable with respect to, any
Indebtedness, except:

          (i) Borrowers may become and remain liable with respect to the
     Obligations;

          (ii) Company and its Subsidiaries may become and remain liable with
     respect to Contingent Obligations permitted by subsection 7.4 and, upon any
     matured obligations actually arising pursuant thereto, the Indebtedness
     corresponding to the Contingent Obligations so extinguished;

          (iii) Company may become and remain liable with respect to
     Indebtedness to any of its wholly-owned Subsidiaries, and any wholly-owned
     Subsidiary of Company may become and remain liable with respect to
     Indebtedness to Company or any other wholly-owned Subsidiary of Company;
     provided that (a) all such intercompany Indebtedness shall be evidenced by
     promissory notes that are pledged to Administrative Agent pursuant to the
     terms of the applicable Collateral Documents, (b) all such intercompany
     Indebtedness owed by any Borrower to any of its Subsidiaries shall be
     subordinated in right of payment to the payment in full of the applicable
     Obligations pursuant to the terms of the such promissory notes or an
     intercompany subordination agreement, and (c) any payment by any Subsidiary
     of any Borrower under any guaranty of the applicable Obligations shall
     result in a pro tanto reduction of the amount of any intercompany
     Indebtedness owed by such Subsidiary to such Borrower or to any of its
     Subsidiaries for whose benefit such payment is made; provided further that
     (x) the aggregate amount of all such intercompany Indebtedness owing at any
     time from Goss UK to Company or the Domestic Subsidiaries of Company shall
     not exceed (1) the

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     amount listed on Schedule 7.1A relating to Goss UK or if all or any portion
     of such amount is repaid at any time, such lesser amount as is then
     outstanding plus (2) $36,902,321, (y) the aggregate amount of all such
     intercompany Indebtedness owing at any time from Goss France to Company or
     the Domestic Subsidiaries of Company shall not exceed (1) the amount listed
     on Schedule 7.1A relating to Goss France or if all or any portion of such
     amount is repaid at any time, such lesser amount as is then outstanding
     plus (2) $20,914,540, and (z) the aggregate amount of all such intercompany
     Indebtedness owing at any time from Goss Japan to Company or the Domestic
     Subsidiaries of Company shall not exceed (1) the amount listed on Schedule
     7.1A relating to Goss Japan or if all or any portion of such amount is
     repaid at any time, such lesser amount as is then outstanding plus (2)
     $21,824,773;

          (iv) Company and its Subsidiaries, as applicable, may remain liable
     with respect to Indebtedness described in Schedule 7.1B annexed hereto;

          (v) Goss Realty may become and remain liable with respect to (x)
     mortgage Indebtedness in the original principal amount of $30,000,000
     secured by the Real Property Assets relating to such mortgage Indebtedness
     and (y) any Indebtedness incurred to refinance the then outstanding
     aggregate principal amount of such mortgage Indebtedness (provided that
     such refinancing Indebtedness shall be in an aggregate principal amount not
     to exceed the then outstanding aggregate principal amount of such mortgage
     Indebtedness plus the amount of accrued but unpaid interest thereon and
     shall contain such other terms and conditions satisfactory to
     Administrative Agent), and Sayama Sub may become and remain liable with
     respect to mortgage Indebtedness in the original principal amount of (Y)3
     billion secured by the Real Property Assets relating to such mortgage
     Indebtedness;

          (vi) New Holdings may become and remain liable with respect to
     Indebtedness evidenced by the New Holdings Subordinated Notes in an
     original aggregate principal amount of $112,500,000; and

          (vii) Company and its Subsidiaries may become and remain liable with
     respect to Capital Leases, other Indebtedness and Contingent Obligations
     permitted pursuant to subsection 7.4(ix) in an aggregate principal amount
     not exceed $7,500,000 at any time outstanding.

7.2  LIENS AND RELATED MATTERS.

     A. PROHIBITION ON LIENS. None of New Holdings nor any Borrower shall, nor
shall New Holdings or any Borrower permit any of its Subsidiaries to, directly
or indirectly, create, incur, assume or permit to exist any Lien on or with
respect to any property or asset of any kind (including any document or
instrument in respect of goods or accounts receivable) of New Holdings, such
Borrower or any of their respective Subsidiaries, whether now owned or hereafter
acquired, or any income or profits therefrom, or file or permit the filing of,
or permit to remain in effect, any financing statement or other similar notice
of any Lien with respect to any

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such property, asset, income or profits under the Uniform Commercial Code of any
State or under any similar recording or notice statute, except:

          (i) Permitted Encumbrances;

          (ii) Liens granted pursuant to the applicable Collateral Documents;

          (iii) Liens described in Schedule 7.2 annexed hereto;

          (iv) Liens securing the mortgage Indebtedness permitted under
     subsection 7.1(v); and

          (v) Liens securing Capital Leases and other Indebtedness permitted
     under subsection 7.1(vii).

     B. EQUITABLE LIEN IN FAVOR OF LENDERS. If New Holdings, any Borrower or any
of their respective Subsidiaries shall create or assume any Lien upon any of its
properties or assets, whether now owned or hereafter acquired, other than Liens
excepted by the provisions of subsection 7.2A, it shall make or cause to be made
effective a provision whereby the Obligations will be secured by such Lien
equally and ratably with any and all other Indebtedness secured thereby as long
as any such Indebtedness shall be so secured; provided that, notwithstanding the
foregoing, this covenant shall not be construed as a consent by Requisite
Lenders to the creation or assumption of any such Lien not permitted by the
provisions of subsection 7.2A.

     C. NO FURTHER NEGATIVE PLEDGES. Except with respect to specific property
encumbered to secure payment of particular Indebtedness or to be sold pursuant
to an executed agreement with respect to an Asset Sale, none of New Holdings,
the Borrowers or any of their respective Subsidiaries shall enter into any
agreement prohibiting the creation or assumption of any Lien upon any of its
properties or assets, whether now owned or hereafter acquired.

     D. NO RESTRICTIONS ON SUBSIDIARY DISTRIBUTIONS TO BORROWERS OR OTHER
SUBSIDIARIES. Except as provided herein, none of New Holdings or any Borrower
will, nor will New Holdings or any Borrower permit any of its Subsidiaries to,
create or otherwise cause or suffer to exist or become effective any consensual
encumbrance or restriction of any kind on the ability of any such Subsidiary to
(i) pay dividends or make any other distributions on any of such Subsidiary's
capital stock owned by New Holdings or such Borrower or any other Subsidiary of
New Holdings or such Borrower, (ii) repay or prepay any Indebtedness owed by
such Subsidiary to New Holdings or such Borrower or any other Subsidiary of New
Holdings or such Borrower, (iii) make loans or advances to New Holdings or such
Borrower or any other Subsidiary of New Holdings or such Borrower, or (iv)
transfer any of its property or assets to New Holdings or such Borrower or any
other Subsidiary of New Holdings or such Borrower.

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7.3  INVESTMENTS; JOINT VENTURES.

     None of New Holdings or any Borrower shall, nor shall New Holdings or any
Borrower permit any of its Subsidiaries to, directly or indirectly, make or own
any Investment in any Person, including any Joint Venture, except:

          (i) Company and its Subsidiaries may make and own Investments in Cash
     Equivalents;

          (ii) Company and its Subsidiaries may (1) continue to own the
     Investments owned by them as of the Effective Date in Borrowers; (2)
     continue to own the Investments owned by them as of the Effective Date in
     their respective Subsidiaries; and (3) make additional Investments in such
     wholly-owned Subsidiaries or any other Person or Persons that after giving
     effect thereto are or will be a wholly-owned Subsidiary of the Company or
     any of its other Subsidiaries of up to $1,000,000 in the aggregate for all
     such additional Investments;

          (iii) in addition to the amounts permitted pursuant to subsection
     7.3(ii), Company and its Subsidiaries may make intercompany loans to the
     extent permitted under subsection 7.1(iii);

          (iv) Company and its Subsidiaries may continue to own the Investments
     owned by them and described in Schedule 7.3 annexed hereto;

          (v) Company may continue to own its Joint Venture interests in
     Shanghai Goss Graphic Systems Co., Ltd. pursuant to the terms of its joint
     venture contract with Shanghai Printing & Packaging Machinery Co., as in
     effect on the Effective Date, and may make additional Investments in such
     Joint Venture of up to $2,500,000 in the aggregate;

          (vi) Company and its Subsidiaries may make and maintain Investments in
     non-cash proceeds of Asset Sales in accordance with the provisions of
     subsection 7.7(iii);

          (vii) Company and its Subsidiaries may make and maintain investments
     received in connection with the bankruptcy or reorganization of suppliers
     and customers and in settlement of delinquent obligations of, and other
     disputes with, customers and suppliers, in each case arising in the
     ordinary course of business;

          (viii) Company and its Subsidiaries may make Consolidated Capital
     Expenditures permitted by subsection 7.8; and

          (ix) Company and its Subsidiaries may make and own other Investments
     in an aggregate amount not to exceed at any time $1,000,000.

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7.4  CONTINGENT OBLIGATIONS.

     None of New Holdings or any Borrower shall, nor shall New Holdings or any
Borrower permit any of its Subsidiaries to, directly or indirectly, create or
become or remain liable with respect to any Contingent Obligation, except:

                  (i) New Holdings and its Subsidiaries may become and remain
            liable with respect to Contingent Obligations arising under their
            respective Guaranties, including Contingent Obligations thereunder
            with respect to Interest Rate Agreements and Currency Agreements
            entered into with any Lender or any of its Affiliates;

                  (ii) Company and its Subsidiaries may become and remain liable
            with respect to Contingent Obligations in respect of Letters of
            Credit, including without limitation the Existing Letters of Credit
            listed on Schedule 7.4 annexed hereto; provided that no Loan Party
            shall have granted any Lien securing obligations (including any
            reimbursement obligations) relating to any Existing Letters of
            Credit (other than pursuant to the Loan Documents);

                  (iii) Company and its Subsidiaries may become and remain
            liable with respect to Contingent Obligations in respect of
            customary indemnification and purchase price adjustment obligations
            incurred in connection with Asset Sales or other sales of assets;

                  (iv) Company may become and remain liable with respect to
            Contingent Obligations in respect of any Indebtedness of any of
            Company's Subsidiaries permitted by subsection 7.1;

                  (v) Company and its Subsidiaries, as applicable, may remain
            liable with respect to Contingent Obligations described in Schedule
            7.4 annexed hereto;

                  (vi) Company and its Subsidiaries may become and remain liable
            with respect to Contingent Obligations under Hedge Agreements
            entered into in the ordinary course of business;

                  (vii) Company may become and remain liable with respect to
            Contingent Obligations in respect of performance guarantees entered
            into in favor of a customer of Goss UK, Goss France or Goss Japan,
            in the ordinary course of business and consistent with past
            practice, whereby Company guarantees the performance obligations of
            Goss UK, Goss France or Goss Japan in connection with the
            manufacture and delivery of any printing press and/or other
            machinery or equipment, including without limitation the repayment
            of any downpayment or other customer advance amount;

                  (viii) Company may become and remain liable with respect to
            Contingent Obligations in respect of performance bonds in favor of a
            customer (or designee of such customer) of Goss UK, Goss France or
            Goss Japan, in the ordinary course of business and consistent with
            past practice, in an aggregate amount not to exceed $10,000,000; and

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                  (ix) Company and its Subsidiaries may become and remain liable
            with respect to other Contingent Obligations; provided that the
            maximum aggregate liability, contingent or otherwise, of Company and
            its Subsidiaries in respect of all such other Contingent Obligations
            shall at no time exceed $1,000,000; provided further that the
            maximum aggregate amount of such other Contingent Obligations and
            Capital Leases and Indebtedness permitted pursuant to subsection
            7.1(vii) shall not exceed $7,500,000 at any time outstanding.

7.5  RESTRICTED JUNIOR PAYMENTS.

     No Borrower shall nor shall any Borrower permit any of its Subsidiaries to,
directly or indirectly, declare, order, pay, make or set apart any sum for any
Restricted Junior Payment; provided that so long as no Event of Default or
Potential Event of Default shall have occurred and be continuing or shall be
caused thereby, Company may make Restricted Junior Payments to New Holdings in
an amount necessary to permit New Holdings to make payments of regularly
scheduled interest in respect of the New Holdings Subordinated Notes, in
accordance to the terms of and to the extent required by, and subject to the
subordination provisions contained in, the New Holdings Subordinated Note
Indenture; provided further that so long as (x) no Event of Default or Potential
Event of Default shall have occurred and be continuing or shall be caused
thereby and (y) the Consolidated Leverage Ratio for the immediately preceding
four consecutive Fiscal Quarter period prior to such date of determination does
not exceed 3.00:1.00, Company may make Restricted Junior Payments to New
Holdings (i) in an aggregate amount not to exceed $250,000 in any Fiscal Year in
order to permit New Holdings to pay general administrative costs and expenses,
and (ii) in an amount necessary to permit New Holdings to discharge the
consolidated tax liabilities of New Holdings, Company and Company's
Subsidiaries, in each case so long as New Holdings applies the amount of any
such Restricted Junior Payment for such purpose.

7.6  FINANCIAL COVENANTS.

     A. MINIMUM FIXED CHARGE RATIO. Company shall not permit the ratio of (i)
Consolidated Adjusted EBITDA to (ii) Consolidated Fixed Charges for any
four-Fiscal Quarter period ending on any of the dates set forth below to be less
than the correlative ratio indicated:

             PERIOD                                   MINIMUM FIXED CHARGE RATIO
             ------                                   --------------------------
     December 31, 2000                                         0.76:1.00
     March 31, 2001                                            1.05:1.00
     June 30, 2001                                             1.20:1.00
     September 30, 2001                                        1.46:1.00
     December 31, 2001                                         1.34:1.00
     March 31, 2002                                            1.37:1.00

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     June 30, 2002                                             1.26:1.00
     September 30, 2002                                        1.19:1.00
     December 31, 2002                                         1.03:1.00
     March 31, 2003                                            1.02:1.00
     June 30, 2003                                             0.96:1.00
       and thereafter

     B.   MINIMUM CONSOLIDATED ADJUSTED EBITDA.

     Company shall not permit Consolidated Adjusted EBITDA for any four-Fiscal
Quarter period ending as of the last day of any Fiscal Quarter ending on any of
the dates set forth below to be less than the correlative amount indicated:

             PERIOD                                      MINIMUM CONSOLIDATED
             ------                                      --------------------
                                                            ADJUSTED EBITDA
                                                            ---------------
       March 31, 2000                                         ($2,000,000)
       June 30, 2000                                           $5,000,000
       September 30, 2000                                     $13,000,000
       December 31, 2000                                      $31,000,000
       March 31, 2001                                         $40,000,000
       June 30, 2001                                          $45,000,000
       September 30, 2001                                     $54,000,000
       December 31, 2001                                      $52,500,000
       March 31, 2002                                         $55,000,000
       June 30, 2002                                          $56,000,000
       September 30, 2002                                     $58,000,000
       December 31, 2002                                      $60,000,000
       March 31, 2003                                         $63,000,000
       June 30, 2003                                          $64,000,000
         and thereafter

; provided that, for purposes of this subsection 7.6B only, (i) with respect to
the Fiscal Quarter ended on March 31, 2000, Consolidated Adjusted EBITDA shall
be for the immediately preceding one Fiscal Quarter period; (ii) with respect to
the Fiscal Quarter ended on June 30, 2000, Consolidated Adjusted EBITDA shall be
for the immediately preceding two-consecutive

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Fiscal Quarter period; (iii) with respect to the Fiscal Quarter ended on
September 30, 2000, Consolidated Adjusted EBITDA shall be for the immediately
preceding three-consecutive Fiscal Quarter period; and (iv) for each subsequent
Fiscal Quarter after the Fiscal Quarter ended on September 30, 2000,
Consolidated Adjusted EBITDA shall be for the immediately preceding
four-consecutive Fiscal Quarter period ending as of the last day of any Fiscal
Quarter ending on any of the dates set forth above.

7.7  RESTRICTION ON FUNDAMENTAL CHANGES; ASSET SALES AND ACQUISITIONS.

     No Borrower shall nor shall any Borrower permit any of its Subsidiaries to,
alter the corporate, capital or legal structure of such Borrower or any of its
Subsidiaries, or enter into any transaction of merger or consolidation, or
liquidate, wind-up or dissolve itself (or suffer any liquidation or
dissolution), or convey, sell, lease or sub-lease (as lessor or sub-lessor),
transfer or otherwise dispose of, in one transaction or a series of
transactions, all or any part of its business, property or fixed assets
(including without limitation any Accounts or other accounts receivables),
whether now owned or hereafter acquired, or acquire by purchase or otherwise all
or substantially all the business, property or fixed assets of, or stock or
other evidence of beneficial ownership of, any Person or any division or line of
business of any Person, except:

          (i) any Subsidiary of Company may be merged with or into Company or
     any wholly-owned Subsidiary of Company, or may be liquidated, wound up or
     dissolved, or all or any part of its business, property or assets may be
     conveyed, sold, leased, transferred or otherwise disposed of, in one
     transaction or a series of transactions, to Company or any wholly-owned
     Subsidiary of Company; provided that, in the case of such a merger, Company
     or such wholly-owned Subsidiary shall be the continuing or surviving
     corporation and if any such transaction involves a Subsidiary Guarantor,
     the surviving corporation shall be the Company or such Subsidiary
     Guarantor;

          (ii) Company and its Subsidiaries may make Consolidated Capital
     Expenditures permitted by subsection 7.8;

          (iii) Company and its Subsidiaries may sell or otherwise dispose of
     assets in transactions that do not constitute Asset Sales (provided that
     the consideration received for such assets shall be in an amount at least
     equal to the fair market value thereof) and make Investments pursuant to
     subsection 7.3; and

          (iv) Company and its Subsidiaries may make Asset Sales of Real
     Property Assets located at Redding, Pennsylvania and at Westmont, Illinois;
     provided that (x) the consideration received for such assets shall be in an
     amount at least equal to the fair market value thereof; (y) the
     consideration received therefor shall be in Cash; and (z) the Net Asset
     Sale Proceeds of such Asset Sales shall be applied as mandatory prepayments
     as required by subsection 2.4B(iii)(a).

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7.8  CONSOLIDATED CAPITAL EXPENDITURES.

     No Borrower shall nor shall any Borrower permit any of its Subsidiaries to
make or incur Consolidated Capital Expenditures, in any Fiscal Year indicated
below, in an aggregate amount in excess of the corresponding amount set forth
below opposite such Fiscal Year:

        FISCAL YEAR                                         MAXIMUM CONSOLIDATED
                                                            CAPITAL EXPENDITURES
     Fiscal Year 2000                                           $17,500,000
     Fiscal Year 2001                                           $17,500,000
     Fiscal Year 2002                                           $18,500,000
     Fiscal Year 2003                                           $20,000,000
       and thereafter

7.9  SALES AND LEASE-BACKS.

     Except with respect to Goss Realty and Sayama Sub, no Borrower shall nor
shall any Borrower permit any of its Subsidiaries to, directly or indirectly,
become or remain liable as lessee or as a guarantor or other surety with respect
to any lease, whether an Operating Lease or a Capital Lease, of any property
(whether real, personal or mixed), whether now owned or hereafter acquired, (i)
which such Borrower or any of its Subsidiaries has sold or transferred or is to
sell or transfer to any other Person (other than such Borrower or any of its
Subsidiaries) or (ii) which such Borrower or any of its Subsidiaries intends to
use for substantially the same purpose as any other property which has been or
is to be sold or transferred by such Borrower or any of its Subsidiaries to any
Person (other than such Borrower or any of its Subsidiaries) in connection with
such lease.

7.10 TRANSACTIONS WITH SHAREHOLDERS AND AFFILIATES.

     No Borrower shall nor shall any Borrower permit any of its Subsidiaries to,
directly or indirectly, enter into or permit to exist any transaction
(including, without limitation, the purchase, sale, lease or exchange of any
property or the rendering of any service) with any holder of 5% or more of any
class of equity Securities of New Holdings or Company or with any Affiliate of
New Holdings or Company or of any such holder, on terms that are less favorable
to New Holdings or Company or that Subsidiary, as the case may be, than those
that might be obtained at the time from Persons who are not such a holder or
Affiliate; provided that the foregoing restriction shall not apply to (i) any
transaction between Company and any of its wholly-owned Subsidiaries or between
any of its wholly-owned Subsidiaries, (ii) reasonable and customary fees paid to
members of the Boards of Directors of Company and its Subsidiaries, (iii)
reasonable financial advisory or structuring fees paid to Stonington for
services rendered by

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Stonington and  reimbursement  of out-of-pocket  expenses,  and (iv) arms-length
transactions in the ordinary course of business with other companies  managed by
Stonington.

7.11 DISPOSAL OF SUBSIDIARY STOCK.

     Except pursuant to the Collateral Documents and except for any sale of 100%
of the capital stock or other equity Securities of any of its Subsidiaries in
compliance with the provisions of subsection 7.7(i) or (iii), no Borrower shall:

          (i) directly or indirectly sell, assign, pledge or otherwise encumber
     or dispose of any shares of capital stock or other equity Securities of any
     of its Subsidiaries, except to qualify directors if required by applicable
     law; or

          (ii) permit any of its Subsidiaries directly or indirectly to sell,
     assign, pledge or otherwise encumber or dispose of any shares of capital
     stock or other equity Securities of any of its Subsidiaries (including such
     Subsidiary), except to Company, another Subsidiary of Company, or to
     qualify directors if required by applicable law.

7.12 CONDUCT OF BUSINESS; LIMITATIONS ON SUBSIDIARIES.

     From and after the Effective Date, no Borrower shall nor shall any Borrower
permit any of its Subsidiaries to, engage in any business other than (i) the
businesses engaged in by such Borrower and its Subsidiaries on the Effective
Date and similar or related businesses and (ii) such other lines of business as
may be consented to by Requisite Lenders.

7.13 AMENDMENTS OF CERTAIN DOCUMENTS; DESIGNATION OF SENIOR DEBT.

     Except as may be permitted by subsection 7.5, none of New Holdings or any
Borrower shall, nor shall New Holdings or any Borrower permit any of its
Subsidiaries to, amend or otherwise change the terms of any Subordinated
Indebtedness or any agreement related thereto or any guaranty entered into by
any Loan Party in connection therewith, or make any payment consistent with an
amendment thereof or change thereto, if the effect of such amendment or change
is to increase the interest rate on such Subordinated Indebtedness, change any
dates upon which payments of principal or interest are due thereon, change the
terms of any payments from payment-in-kind to cash pay, change any of the
covenants with respect thereto in a manner which is more restrictive to such
Borrower or any of its Subsidiaries, change any event of default or condition to
an event of default with respect thereto in a manner which is more restrictive
to such Borrower, change the redemption, prepayment or defeasance provisions
thereof, change the subordination provisions thereof (or of any guaranty
thereof), or change any collateral therefor (other than to release such
collateral), or if the effect of such amendment or change, together with all
other amendments or changes made, is to increase the obligations of the obligor
thereunder or to confer any additional rights on the holders of such
Subordinated Indebtedness (or a trustee or other representative on their behalf)
which would be adverse to any Loan Party or Lenders.

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7.14 FISCAL YEAR.

     None of Company nor any of its Subsidiaries shall change its Fiscal
Year-end from December 31 without giving 60 days notice to Administrative Agent
and Lenders of such change.

7.15 FOREIGN UNFUNDED PENSION PLANS.

     No Borrower shall, nor shall any Borrower permit any of its Subsidiaries
to, adopt or amend any Foreign Unfunded Pension Plan if such adoption or
amendment could reasonably be expected to result in a Material Adverse Effect.

SECTION 8. EVENTS OF DEFAULT

     If any of the following conditions or events ("EVENTS OF DEFAULT") shall
occur:

8.1  FAILURE TO MAKE PAYMENTS WHEN DUE.

     Failure by any Borrower to pay any installment of principal of any Loan
when due, whether at stated maturity, by acceleration, by notice of voluntary
prepayment, by mandatory prepayment or otherwise; failure by any Borrower to pay
when due any amount payable to an Issuing Lender in reimbursement of any drawing
under a Letter of Credit; or failure by any Borrower to pay interest on any Loan
or any fee or any other amount due under this Agreement within five (5) days
after the date due; or

8.2  DEFAULT IN OTHER AGREEMENTS.

          (i) Failure of any Borrower or any of its Subsidiaries to pay when due
     any principal of or interest on one or more items of Indebtedness (other
     than Indebtedness referred to in subsection 8.1) or Contingent Obligations
     in an aggregate principal amount of $5,000,000 or more, in each case beyond
     the end of any grace period provided therefor; or

          (ii) breach or default by any Borrower or any of its Subsidiaries with
     respect to any other material term of (a) one or more items of Indebtedness
     or Contingent Obligations in the aggregate principal amounts referred to in
     clause (i) above or (b) any loan agreement, mortgage, indenture or other
     agreement relating to such item(s) of Indebtedness or Contingent
     Obligation(s), if the effect of such breach or default is to cause, or to
     permit the holder or holders of that Indebtedness or Contingent
     Obligation(s) (or a trustee on behalf of such holder or holders) to cause,
     that Indebtedness or Contingent Obligation(s) to become or be declared due
     and payable prior to its stated maturity or the stated maturity of any
     underlying obligation, as the case may be (upon the giving or receiving of
     notice, lapse of time, both, or otherwise); or

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8.3  BREACH OF CERTAIN COVENANTS.

     Failure of any Borrower to perform or comply with any term or condition
contained in subsection 2.5 or 6.2 or Section 7 of this Agreement; or

8.4  BREACH OF WARRANTY.

     Any representation, warranty, certification or other statement made by any
Borrower or any of its Subsidiaries in any Loan Document or in any statement or
certificate at any time given by any Borrower or any of its Subsidiaries in
writing pursuant hereto or thereto or in connection herewith or therewith shall
be false in any material respect on the date as of which made; or

8.5  OTHER DEFAULTS UNDER LOAN DOCUMENTS.

     Any Borrower or any of its Subsidiaries shall default in the performance of
or compliance with any term contained in this Agreement or any of the other Loan
Documents, other than any such term referred to in any other subsection of this
Section 8, and such default shall not have been remedied or waived within 30
days after receipt by any Borrower of notice from Administrative Agent or any
Lender of such default; or

8.6  INVOLUNTARY BANKRUPTCY; APPOINTMENT OF RECEIVER, ETC.

          (i) A court having jurisdiction in the premises shall enter a decree
     or order for relief in respect of New Holdings, any Borrower or any of its
     Material Subsidiaries in an involuntary case under the Bankruptcy Code
     which decree or order is not stayed; or (ii) an involuntary case shall be
     commenced against New Holdings, any Borrower or any of its Material
     Subsidiaries under the Bankruptcy Code; or a decree or order of a court
     having jurisdiction in the premises for the appointment of a receiver,
     liquidator, sequestrator, trustee, custodian or other officer having
     similar powers over New Holdings, any Borrower or any of its Material
     Subsidiaries, or over all or a substantial part of its property, shall have
     been entered; or there shall have occurred the involuntary appointment of
     an interim receiver, trustee or other custodian of New Holdings, any
     Borrower or any of its Material Subsidiaries for all or a substantial part
     of its property; or a warrant of attachment, execution or similar process
     shall have been issued against any substantial part of the property of New
     Holdings, any Borrower or any of its Material Subsidiaries, and any such
     event described in this clause (ii) shall continue for 60 days unless
     dismissed, bonded or discharged; or (iii) with respect to Goss France: (a)
     Goss France ceases or threatens or announces an intention to cease or
     suspend payment of its debts whether pursuant to Article 3 of law No. 85-89
     dated 25 January 1985 or otherwise, (b) Goss France becomes insolvent or
     has any moratorium declared in respect of any of its indebtedness, (c) Goss
     France applies for the appointment of a conciliator pursuant to law No.
     84-148 dated 1 March 1984, (d) Goss France applies for the appointment of a
     mandataire ad hoc, (e) Goss France becomes the object of a judgment
     declaring its redressment judiciare (after notice to terminate addressed to
     the administrateur

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<PAGE>

     remaining without response for one month or upon the administrateur
     electing to terminate) or liquidation judiciaire pursuant to law No. 85-998
     of 25 January 1985 or subject to a plan for the transfer of the whole or
     part of its business, or (f) an administrator, receiver, liquidator or
     similar officer is appointed with respect to Goss France or its assets or
     any petition or proceedings for any such appointment is brought or a
     resolution for such appointment is passed; or

8.7  VOLUNTARY BANKRUPTCY; APPOINTMENT OF RECEIVER, ETC.

          (i) New Holdings, any Borrower or any of its Material Subsidiaries
     shall have an order for relief entered with respect to it or commence a
     voluntary case under the Bankruptcy Code, or shall consent to the entry of
     an order for relief in an involuntary case, or to the conversion of an
     involuntary case to a voluntary case, under any such law, or shall consent
     to the appointment of or taking possession by a receiver, trustee or other
     custodian for all or a substantial part of its property; or New Holdings,
     any Borrower or any of its Material Subsidiaries shall make any assignment
     for the benefit of creditors; or (ii) New Holdings, any Borrower or any of
     its Material Subsidiaries shall be unable, or shall fail generally, or
     shall admit in writing its inability, to pay its debts as such debts become
     due; or the Board of Directors of New Holdings, any Borrower or any of its
     Material Subsidiaries (or any committee thereof) shall adopt any resolution
     or otherwise authorize any action to approve any of the actions referred to
     in clause (i) above or this clause (ii); or

8.8  JUDGMENTS AND ATTACHMENTS.

     Any money judgment, writ or warrant of attachment or similar process
involving (i) in any individual case an amount in excess of $2,500,000 or (ii)
in the aggregate at any time an amount in excess of $5,000,000 (in either case
to the extent not adequately covered by insurance as to which a solvent and
unaffiliated insurance company has acknowledged coverage) shall be entered or
filed against New Holdings, any Borrower or any of its Subsidiaries or any of
their respective assets and shall remain undischarged, unvacated, unbonded or
unstayed for a period of 60 days (or in any event later than five days prior to
the date of any proposed sale thereunder); or

8.9  DISSOLUTION.

     Any order, judgment or decree shall be entered against New Holdings, any
Borrower or any of its Subsidiaries decreeing the dissolution or split up of New
Holdings, any Borrower or that Subsidiary and such order shall remain
undischarged or unstayed for a period in excess of 60 days; or

8.10 EMPLOYEE BENEFIT PLANS.

     There shall occur one or more ERISA Events which individually or in the
aggregate results in or might reasonably be expected to result in liability of
any Borrower or any

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of its Subsidiaries in excess of $2,500,000 during the term of this Agreement;
or there shall exist an excess of aggregated accumulated benefit obligations, as
defined in Statement of Financial Accounting Standards No. 87, over the
aggregate total fair market value for all Pension Plans (excluding for purposes
of such computation (1) each Pension Plan with respect to which the fair market
value of the assets exceeds such accumulated benefit obligations and (2) each
Foreign Unfunded Pension Plan), which exceeds $12,000,000; or

8.11 CHANGE IN CONTROL.

          (i) A change shall occur in the Board of Directors of New Holdings so
     that a majority of the Board of Directors of New Holdings ceases to consist
     of the individuals who constituted the Board of Directors of New Holdings
     on the Effective Date (or individuals whose election or nomination for
     election was approved by a vote of at least 75% of the directors then in
     office who either were directors of New Holdings on the Effective Date or
     whose election or nomination for election previously was so approved); or

          (ii) any Person or Group (within the meaning of Rule 13d-3 of the
     Securities and Exchange Commission), other than Stonington and its
     Affiliates, shall become or be the owner, directly or indirectly,
     beneficially or of record, of shares representing more than 30% of the
     aggregate ordinary voting power represented by the issued and outstanding
     capital stock of New Holdings on a fully diluted basis, unless Stonington
     and its Affiliates shall own and continue to so own capital stock
     representing not less than a majority of such aggregate ordinary voting
     power; or

          (iii) at any time prior to a Public Offering, Stonington shall cease
     to own, directly or indirectly, beneficially or of record, at least 51% of
     each of the New Holdings Common Stock or any other class of voting capital
     stock of New Holdings; or

          (iv) New Holdings shall cease to beneficially own and control,
     directly or indirectly, 100% of the issued and outstanding shares of
     capital stock of Company or shall cease to have the ability to elect all of
     the Board of Directors of Company; or

          (v) Company shall cease to beneficially own and control, directly or
     indirectly, 100% of the issued and outstanding shares of capital stock of
     each of the other Borrowers (other than directors' qualifying shares) or
     Company shall cease to have the ability to elect all of the Board of
     Directors of each of the other Borrowers; or

8.12 INVALIDITY OF LOAN DOCUMENTS.

     Any Guaranty for any reason, other than the satisfaction in full of all
Obligations, ceases to be in full force and effect (other than in accordance
with its terms) or is declared to be null and void; or any Loan Party denies
that it has any further liability, including without limitation with respect to
future advances by Lenders, under any Loan Document to which it is a party, or
gives notice to such effect; or the validity of any Loan Document shall be
contested by

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any Governmental Authority (whether by a general suspension of payments or a
moratorium on the payment of any class of indebtedness or otherwise); or any
treaty, law, regulation, communique, decree, ordinance or policy of any
Governmental Authority shall purport to render any provision of any Loan
Document invalid or unenforceable or shall purport to prevent or materially
delay the performance or observance by any Loan Party of its obligations under
any Loan Documents; or

8.13 FAILURE OF SECURITY.

     Any Collateral Document shall, at any time, cease to be in full force and
effect (other than by reason of a release of Collateral in accordance with the
terms thereof) or shall be declared null and void, or the validity or
enforceability thereof shall be contested by any Loan Party, or Administrative
Agent shall not have or shall cease to have a valid and perfected First Priority
security interest in the Collateral; or

8.14 ACTION RELATING TO CERTAIN SUBORDINATED INDEBTEDNESS.

     Any event shall occur which, under the terms of the New Holdings
Subordinated Note Indenture shall require New Holdings or any of its
Subsidiaries to purchase, redeem or otherwise acquire or offer to purchase,
redeem or otherwise acquire all or a portion of any such Subordinated
Indebtedness; or New Holdings or any of its Subsidiaries shall for any other
reason purchase, redeem or otherwise acquire or offer to purchase, redeem or
otherwise acquire, or make any other payments in respect of, all or any portion
of any such Subordinated Indebtedness, except to the extent expressly permitted
by subsection 7.5; or

8.15 AMENDMENT OF CERTAIN DOCUMENTS OF NEW HOLDINGS.

     New Holdings shall agree to any material amendment to, or waive any of its
material rights under, or otherwise change any material terms of the New
Holdings Subordinated Note Indenture as in effect on the Effective Date, in a
manner adverse to New Holdings or any of its Subsidiaries or to Lenders without
the prior written consent of Administrative Agent and Requisite Lenders; or

8.16 CONDUCT OF BUSINESS RELATING TO NEW HOLDINGS.

     New Holdings shall engage in any business other than owning 100% of the
capital stock of Company, issuing and servicing the New Holdings Subordinated
Notes and entering into and performing its obligations under and in accordance
with the Loan Documents to which it is a party and the New Holdings Subordinated
Note Indenture, or shall own any assets other than (a) the capital stock of
Company and (b) Cash and Cash Equivalents in an amount not to exceed $1,000,000
at any one time for the purpose of paying general operating expenses of New
Holdings or shall incur or permit to exist any Indebtedness or any other
liabilities other than liabilities related to the permitted business of New
Holdings and which are not material in amount, either individually or in the
aggregate:

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THEN (i) upon the occurrence of any Event of Default described in subsection 8.6
or 8.7, each of (a) the unpaid principal amount of and accrued interest on the
Loans, (b) an amount equal to the maximum amount that may at any time be drawn
under all Letters of Credit then outstanding (whether or not any beneficiary
under any such Letter of Credit shall have presented, or shall be entitled at
such time to present, the drafts or other documents or certificates required to
draw under such Letter of Credit), and (c) all other Obligations shall
automatically become immediately due and payable, without presentment, demand,
protest or other requirements of any kind, all of which are hereby expressly
waived by each Borrower, and the obligation of each Lender to make any Loan, the
obligation or right of any Issuing Lender to issue any Letter of Credit
hereunder shall thereupon terminate, and (ii) upon the occurrence and during the
continuation of any other Event of Default, Administrative Agent shall, upon the
written request or with the written consent of the applicable Requisite Class
Lenders in accordance with the terms and conditions set forth in the
Intercreditor Agreement, by written notice to each applicable Borrower, declare
all or any portion of the amounts described in clauses (a) through (c) above
with respect to the Type of Loans and Commitments of such requesting or
consenting Class to be, and the same shall forthwith become, immediately due and
payable, without presentment, demand, protest or other requirements of any kind,
all of which are hereby expressly waived by each applicable Borrower, and the
obligation of each Lender to make any Loan, the obligation or right of any
Issuing Lender to issue any Letter of Credit hereunder shall thereupon
terminate; provided that the foregoing shall not affect in any way the
obligations of Lenders under subsection 3.3C(i).

     Any amounts described in clause (b) above, when received by Administrative
Agent, shall be held by Administrative Agent pursuant to the terms of the
Collateral Account Agreement and shall be applied as therein provided.

     Notwithstanding anything contained in the second preceding paragraph, if at
any time within 60 days after an acceleration of the Loans pursuant to clause
(ii) of such paragraph each applicable Borrower shall pay all arrears of
interest and all payments on account of principal which shall have become due
otherwise than as a result of such acceleration (with interest on principal and,
to the extent permitted by law, on overdue interest, at the rates specified in
this Agreement) and all Events of Default and Potential Events of Default (other
than non-payment of the principal of and accrued interest on the Loans, in each
case which is due and payable solely by virtue of acceleration) shall be
remedied or waived pursuant to subsection 10.6, then the applicable Requisite
Class Lenders, by written notice to each applicable Borrower, may at their
option rescind and annul such acceleration and its consequences; but such action
shall not affect any subsequent Event of Default or Potential Event of Default
or impair any right consequent thereon. The provisions of this paragraph are
intended merely to bind applicable Lenders to a decision which may be made at
the election of Requisite Class Lenders and are not intended to benefit any
Borrower and do not grant any Borrower the right to require applicable Lenders
to rescind or annul any acceleration hereunder, even if the conditions set forth
herein are met.

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8.17 FAILURE OF GOSS REALTY AND LASALLE BANK NATIONAL ASSOCIATE TO PERFORM..

     Goss Realty or LaSalle Bank National Association shall fail to execute all
documents necessary to consummate the transactions contemplated by that certain
Stipulation and Plan Modification to the Reorganization Plan as confirmed by the
Court on November 2, 1999, on or before November 30, 1999 or such later date as
may be approved by the Court.

SECTION 9. ADMINISTRATIVE AGENT

9.1  APPOINTMENT.

     BTCo and its applicable Affiliates are hereby appointed by each Lender as
the Administrative Agent so appointed hereunder and under the other Loan
Documents, and each such Lender hereby authorizes Administrative Agent to act as
its agent in accordance with the terms of this Agreement and the other Loan
Documents. Administrative Agent agrees to act upon the express conditions
contained in this Agreement and the other Loan Documents, as applicable. The
provisions of this Section 9 are solely for the benefit of Administrative Agent
and Lenders and Borrowers shall have no rights as a third party beneficiary of
any of the provisions thereof. In performing its functions and duties under this
Agreement, Administrative Agent shall act solely as an agent of Lenders and does
not assume and shall not be deemed to have assumed any obligation towards or
relationship of agency or trust with or for any Borrower or any of its
Subsidiaries.

9.2  POWERS AND DUTIES; GENERAL IMMUNITY.

     A. POWERS; DUTIES SPECIFIED. Each Lender irrevocably authorizes
Administrative Agent to take such action on such Lender's behalf and to exercise
such powers, rights and remedies hereunder and under the other Loan Documents as
are specifically delegated or granted to Administrative Agent by the terms
hereof and thereof, together with such powers, rights and remedies as are
reasonably incidental thereto. Administrative Agent shall have only those duties
and responsibilities that are expressly specified in this Agreement and the
other Loan Documents. Administrative Agent may exercise such powers, rights and
remedies and perform such duties by or through its agents or employees.
Administrative Agent shall not have, by reason of this Agreement or any of the
other Loan Documents, a fiduciary relationship in respect of any Lender; and
nothing in this Agreement or any of the other Loan Documents, expressed or
implied, is intended to or shall be so construed as to impose upon
Administrative Agent any obligations in respect of this Agreement or any of the
other Loan Documents except as expressly set forth herein or therein.

     B. NO RESPONSIBILITY FOR CERTAIN MATTERS. Administrative Agent shall not be
responsible to any Lender for the execution, effectiveness, genuineness,
validity, enforceability, collectibility or sufficiency of this Agreement or any
other Loan Document or for any representations, warranties, recitals or
statements made herein or therein or made in any written or oral statements or
in any financial or other statements, instruments, reports or

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certificates or any other documents furnished or made by Administrative Agent to
Lenders or by or on behalf of any Borrower to Administrative Agent or any Lender
in connection with the Loan Documents and the transactions contemplated thereby
or for the financial condition or business affairs of any Borrower or any other
Person liable for the payment of any Obligations, nor shall Administrative Agent
be required to ascertain or inquire as to the performance or observance of any
of the terms, conditions, provisions, covenants or agreements contained in any
of the Loan Documents or as to the use of the proceeds of the Loans or the use
of the Letters of Credit or as to the existence or possible existence of any
Event of Default or Potential Event of Default. Anything contained in this
Agreement to the contrary notwithstanding, Administrative Agent shall not have
any liability arising from confirmations of the amount of outstanding Loans or
the Letter of Credit Usage or the component amounts thereof.

     C. EXCULPATORY PROVISIONS. Neither Administrative Agent nor any of their
officers, directors, employees or agents shall be liable to Lenders for any
action taken or omitted by Administrative Agent under or in connection with any
of the Loan Documents except to the extent caused by an Agent's gross negligence
or willful misconduct. If Administrative Agent shall request instructions from
Lenders with respect to any act or action (including the failure to take an
action) in connection with this Agreement or any of the other Loan Documents,
Administrative Agent shall be entitled to refrain from such act or taking such
action unless and until Administrative Agent shall have received instructions
from Requisite Lenders. Without prejudice to the generality of the foregoing,
(i) Administrative Agent shall be entitled to rely, and shall be fully protected
in relying, upon any communication, instrument or document believed by it to be
genuine and correct and to have been signed or sent by the proper person or
persons, and shall be entitled to rely and shall be protected in relying on
opinions and judgments of attorneys (who may be attorneys for Borrowers and
their Subsidiaries), accountants, experts and other professional advisors
selected by it; and (ii) no Lender shall have any right of action whatsoever
against Administrative Agent as a result of Administrative Agent acting or
(where so instructed) refraining from acting under this Agreement or any of the
other Loan Documents in accordance with the instructions of Requisite Lenders.
Administrative Agent shall be entitled to refrain from exercising any power,
discretion or authority vested in it under this Agreement or any of the other
Loan Documents unless and until it has obtained the instructions of Requisite
Lenders.

     D. ADMINISTRATIVE AGENT ENTITLED TO ACT AS LENDER. The agency hereby
created shall in no way impair or affect any of the rights and powers of, or
impose any duties or obligations upon, Administrative Agent in their individual
capacity as a Lender hereunder. With respect to their participation in the Loans
and the Letters of Credit, Administrative Agent shall have the same rights and
powers hereunder as any other Lender and may exercise the same as though it were
not performing the duties and functions delegated to it hereunder, and the term
"Lender" or "Lenders" or any similar term shall, unless the context clearly
otherwise indicates, include Administrative Agent, in each case in its
individual capacity. Administrative Agent and each of its respective Affiliates
may accept deposits from, lend money to and generally engage in any kind of
banking, trust, financial advisory or other business with any Borrower or any of
its Affiliates as if it were not performing the duties specified herein, and may
accept fees and other

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consideration from any Borrower for services in connection with this Agreement
and otherwise without having to account for the same to Lenders.

9.3  REPRESENTATIONS AND WARRANTIES; NO RESPONSIBILITY FOR APPRAISAL OF
     CREDITWORTHINESS.

     Each Lender represents and warrants that it has made its own independent
investigation of the financial condition and affairs of each Borrower and its
Subsidiaries in connection with the making of the Loans and the issuance of
Letters of Credit hereunder and that it has made and shall continue to make its
own appraisal of the creditworthiness of each Borrower and its Subsidiaries.
Administrative Agent shall not have any duty or responsibility, either initially
or on a continuing basis, to make any such investigation or any such appraisal
on behalf of Lenders or to provide any Lender with any credit or other
information with respect thereto, whether coming into its possession before the
making of the Loans or at any time or times thereafter, and Administrative Agent
shall not have any responsibility with respect to the accuracy of or the
completeness of any information provided to Lenders.

9.4  RIGHT TO INDEMNITY.

     Each Lender, in proportion to its Pro Rata Share, severally agrees to
indemnify Administrative Agent and its respective officers, directors, employees
or agents to the extent that Administrative Agent and such officers, directors,
employees or agents shall not have been reimbursed by Borrowers, for and against
any and all liabilities, obligations, losses, damages, penalties, actions,
judgments, suits and reasonable costs and expenses (including, without
limitation, reasonable counsel fees and disbursements) or disbursements of any
kind or nature whatsoever which may be imposed on, incurred by or asserted
against Administrative Agent and such officers, directors, employees or agents
in exercising its or their powers, rights and remedies or performing its or
their duties hereunder or under the other Loan Documents or otherwise in its or
their capacity as Administrative Agent or as an officer, director, employee or
agent of Administrative Agent in any way relating to or arising out of this
Agreement or the other Loan Documents; provided that no Lender shall be liable
for any portion of such liabilities, obligations, losses, damages, penalties,
actions, judgments, suits, costs, expenses or disbursements resulting from
Administrative Agent's or such officer's, director's, employee's or agent's
gross negligence or willful misconduct. If any indemnity furnished to
Administrative Agent or any such officer, director, employee or agent for any
purpose shall, in the opinion of Administrative Agent or such officer, director,
employee or agent be insufficient or become impaired, Administrative Agent or
such officer, director, employee or agent may call for additional indemnity and
cease, or not commence, to do the acts indemnified against until such additional
indemnity is furnished.

9.5  SUCCESSOR AGENT.

     Administrative Agent may resign at any time by giving 30 days' prior
written notice thereof to Lenders and each Borrower, and Administrative Agent
may be removed at any time with or without cause by an instrument or concurrent
instruments in writing delivered to

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each Borrower and Administrative Agent, as the case may be, and signed by
Requisite Lenders. Upon any such notice of resignation or any such removal,
Requisite Lenders shall have the right, upon five Business Days' notice to each
Borrower, to appoint a successor Administrative Agent. Upon the acceptance of
any appointment as Administrative Agent hereunder by a successor Administrative
Agent that successor Administrative Agent shall thereupon succeed to and become
vested with all the rights, powers, privileges and duties of the retiring or
removed Administrative Agent and the retiring or removed Administrative Agent
shall be discharged from its duties and obligations under this Agreement. After
any retiring or removed Administrative Agent's resignation or removal hereunder
as Administrative Agent, the provisions of this Section 9 shall inure to its
benefit as to any actions taken or omitted to be taken by it while it was
Administrative Agent under this Agreement.

9.6  COLLATERAL DOCUMENTS AND GUARANTIES.

     Each Lender hereby further authorizes Administrative Agent to enter into
each Collateral Document as secured party on behalf of and for the benefit of
Lenders and agrees to be bound by the terms of each Collateral Document;
provided that, subject to any provision of subsection 10.6 requiring the consent
of any additional Lenders, Administrative Agent shall not enter into or consent
to any amendment, modification, termination or waiver of any provision contained
in any Collateral Document or any Guaranty without the prior consent of
Requisite Lenders, but Administrative Agent may (i) release any Lien covering
any items of Collateral that are the subject of a sale or other disposition of
assets permitted by this Agreement or to which Requisite Lenders have consented
and (ii) release any Guarantor (other than any Borrower or New Holdings) from
its Guaranty if all of the capital stock of such Guarantor is sold to a Person
that is not any Affiliate of Company pursuant to a sale or other disposition
permitted hereunder or to which Requisite Lenders have consented. Anything
contained in any of the Loan Documents to the contrary notwithstanding, each
Lender agrees that no Lender shall have any right individually to realize upon
any of the Collateral under any Collateral Document or to enforce any of the
Guaranties, it being understood and agreed that all rights and remedies under
the Collateral Documents and the Guaranties may be exercised solely by
Administrative Agent for the benefit of Lenders in accordance with the terms
thereof.

     It is hereby specified that the obligations of the Company under this
Agreement shall be substituted in lieu of its obligations resulting from the
Existing Credit Agreement and that therefore Administrative Agent hereby
reserves, as provided under Article 1278 of French Civil Code, as security for
the obligations of the Company under this Agreement, the benefit, of the
security interest created by the Share Pledge Agreement dated October 15, 1996
as amended on January 29, 1998 among Company and Administrative Agent relating
to the pledge of Goss France's shares by Company.

     It is hereby specified that the obligations of Goss France under this
Agreement shall be substituted in lieu of its obligations resulting from the
Existing Credit Agreement and that therefore Administrative Agent hereby
reserves, as provided under Article 1278 of French Civil Code, as security for
the obligations of Goss France under this Agreement, the benefit, of

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the security interest created by the Trademark Pledge Agreement date January 29,
1998, among Goss France and Administrative Agent.

9.7  DOCUMENTATION AGENT.

     Any Lender identified on the facing page, the introduction, the signature
pages or in any provision of this Agreement as "documentation agent" shall have
no right, power, obligation, liability, responsibility or duty under this
Agreement or any other Loan Document other those applicable to all Lenders as
such. Without limiting the foregoing, any Lender so identified as "documentation
agent" shall not have or be deemed to have any fiduciary relationship with any
Lender. Each Lender acknowledges that it has not relied, and will not rely, on
any of Lenders so identified in deciding to enter into this Agreement or in
taking or not taking action hereunder.

SECTION 10. MISCELLANEOUS

10.1 ASSIGNMENTS AND PARTICIPATIONS IN LOANS AND LETTERS OF CREDIT.

     A. GENERAL. Subject to subsection 10.1B, each Lender shall have the right
at any time to (i) sell, assign or transfer to any Eligible Assignee, or (ii)
sell participations to any Person in, all or any part of its Commitments or any
Loan or Loans made by it or its Letters of Credit or participations therein or
any other interest herein or in any other Obligations owed to it; provided that
no such sale, assignment, transfer or participation shall, without the consent
of Company, require Company to file a registration statement with the Securities
and Exchange Commission or apply to qualify such sale, assignment, transfer or
participation under the securities laws of any state; provided further that no
such sale, assignment or transfer described in clause (i) above shall be
effective unless and until an Assignment Agreement effecting such sale,
assignment or transfer shall have been accepted by Administrative Agent and
recorded in the Register as provided in subsection 10.1B(ii); and provided
further that no such sale, assignment, transfer or participation of any Letter
of Credit or any participation therein may be made separately from a sale,
assignment, transfer or participation of a corresponding interest in the
Revolving Loan Commitment and the Revolving Loans of the Lender effecting such
sale, assignment, transfer or participation. Except as otherwise provided in
this subsection 10.1, no Lender shall, as between Borrowers and such Lender, be
relieved of any of its obligations hereunder as a result of any sale, assignment
or transfer of, or any granting of participations in, all or any part of its
Commitments or the Loans, the Letters of Credit or participations therein, or
the other Obligations owed to such Lender.

     B. ASSIGNMENTS.

          (i) Amounts and Terms of Assignments. Each Commitment, Loan, Letter of
     Credit or participation therein, or other Obligation may (a) be assigned in
     any amount to another Lender, or to an Affiliate of the assigning Lender or
     another Lender, with the

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     giving of notice to Company and Administrative Agent or (b) be assigned in
     an aggregate amount of not less than $5,000,000 (or such lesser amount as
     shall constitute the aggregate amount of the Commitments, Loans, Letters of
     Credit and participations therein, and other Obligations of the assigning
     Lender) to any other Eligible Assignee with the consent of Company if there
     has not occurred and is then continuing an Event of Default and of
     Administrative Agent and, in the case of an assignment of an Indemnity
     Amount or an Indemnity Participation, the consent of Administrative Agent
     (which consent of Company and Administrative Agent shall not be
     unreasonably withheld); provided that any such assignment by a Lender in
     accordance with either clause (a) or (b) above (x) of any Domestic Tranche
     A Revolving Loan Commitment, any Domestic Tranche A Revolving Loan or any
     Tranche A Letter of Credit shall effect a pro rata assignment of each such
     Type of Commitment and each such Type of Loan of the assigning Lender and
     (y) of any Tranche B Revolving Loan Commitment, any Term Loan Commitment,
     any Tranche B Revolving Loans, any Term Loans or any Tranche B Letters of
     Credit shall effect a pro rata assignment of each such Type of Commitment
     and each such Type of Loan of the assigning Lender, and in the event that
     any such assigning Lender is an Indemnifying Lender, shall also effect a
     pro rata assignment of any Indemnity Participation and Indemnity Amount;
     provided further that notwithstanding the foregoing, in the event that an
     Indemnifying Lender is making an assignment to any other Lender or Eligible
     Assignee, which Lender or Eligible Assignee desires to become a UK Lender,
     a French Lender or a Japanese Lender hereunder, as the case may be,
     Administrative Agent shall be entitled to assign to such other Lender or
     Eligible Assignee, without making a pro rata assignment of any other Type
     of Commitment or Type of Loan of Administrative Agent, that portion of its
     UK Tranche B Revolving Loan Commitment, its French Tranche B Revolving Loan
     Commitment or its Japanese Tranche B Revolving Loan Commitment, as the case
     may be, which represents the portion of the Indemnity Participation and
     Indemnity Amount being assigned to such other Lender or Eligible Assignee
     by such Indemnifying Lender, and upon such assignment by Administrative
     Agent, such other Lender or Eligible Assignee shall become a UK Lender, a
     French Lender or a Japanese Lender hereunder, as the case may be. To the
     extent of any such assignment in accordance with either clause (a) or (b)
     above, the assigning Lender shall be relieved of its obligations with
     respect to its Commitments, Loans, Letters of Credit or participations
     therein, or other Obligations or the portion thereof so assigned. The
     parties to each such assignment shall execute and deliver to Administrative
     Agent, for its acceptance and recording in the Register, an Assignment
     Agreement, together with a processing and recordation fee of $3,500, and
     with such forms, certificates or other evidence, if any, with respect to
     any withholding tax matters as the assignee under such Assignment Agreement
     may be required to deliver to Administrative Agent or the appropriate
     persons, as the case may be, pursuant to subsection 2.7B(iii)(a) (as fully
     set forth in Annex A). Upon such execution, delivery, acceptance and
     recordation, from and after the effective date specified in such Assignment
     Agreement, (y) the assignee thereunder shall be a party hereto and, to the
     extent that rights and obligations hereunder have been assigned to it
     pursuant to such Assignment Agreement, shall have the rights and
     obligations of a Lender hereunder and

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     (z) the assigning Lender thereunder shall, to the extent that rights and
     obligations hereunder have been assigned by it pursuant to such Assignment
     Agreement, relinquish its rights and be released from its obligations under
     this Agreement (and, in the case of an Assignment Agreement covering all or
     the remaining portion of an assigning Lender's rights and obligations under
     this Agreement, such Lender shall cease to be a party hereto; provided
     that, anything contained in any of the Loan Documents to the contrary
     notwithstanding, if such Lender is the Issuing Lender with respect to any
     outstanding Letters of Credit such Lender shall continue to have all rights
     and obligations of an Issuing Lender with respect to such Letters of Credit
     until the cancellation or expiration of such Letters of Credit and the
     reimbursement of any amounts drawn thereunder). The Commitments hereunder
     shall be modified to reflect the Commitment of such assignee and any
     remaining Commitment of such assigning Lender and, if any such assignment
     occurs after the issuance of the Notes hereunder, the assigning Lender
     shall, upon the effectiveness of such assignment or as promptly thereafter
     as practicable, surrender its applicable Notes to Administrative Agent for
     cancellation, and thereupon new Notes shall be issued to the assignee
     and/or to the assigning Lender, substantially in the form of Exhibit IV,
     Exhibit V, Exhibit VI or Exhibit VII annexed hereto, as the case may be,
     with appropriate insertions, to reflect the new Commitments and/or
     outstanding Loans, as the case may be, of the assignee and/or the assigning
     Lender.

          (ii) Acceptance by Administrative Agent; Recordation in Register;
     Recording Fees in Japan. Upon its receipt of an Assignment Agreement
     executed by an assigning Lender and an assignee representing that it is an
     Eligible Assignee, together with the processing and recordation fee
     referred to in subsection 10.1B(i) and any forms, certificates or other
     evidence with respect to any withholding tax matters that such assignee may
     be required to deliver to Administrative Agent or the appropriate persons,
     as the case may be, pursuant to subsection 2.7B(iii) (as fully set forth in
     Annex A), Administrative Agent shall, if Administrative Agent and Company
     have consented to the assignment evidenced thereby (in each case to the
     extent such consent is required pursuant to subsection 10.1B(i)), (a)
     accept such Assignment Agreement by executing a counterpart thereof as
     provided therein (which acceptance shall evidence any required consent of
     Administrative Agent to such assignment), (b) record the information
     contained therein in the Register, and (c) give prompt notice thereof to
     Company. Administrative Agent shall maintain a copy of each Assignment
     Agreement delivered to and accepted by it as provided in this subsection
     10.1B(ii). Each Eligible Assignee shall be solely responsible for all fees,
     costs and expenses (including reasonable attorney fees, costs and expenses
     incurred by Administrative Agent) relating to the registering and recording
     the security interests of such Eligible Assignee with respect to any
     Mortgages in Japan.

     C. PARTICIPATIONS. The holder of any participation (other than an Indemnity
Participation), other than an Affiliate of the Lender granting such
participation, shall not be entitled to require such Lender to take or omit to
take any action hereunder except action directly affecting (i) the extension of
the scheduled final maturity date of any Loan allocated to such

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participation or (ii) a reduction of the principal amount of or the rate of
interest payable on any Loan or fees payable on any Letter of Credit allocated
to such participation, and all amounts payable by Borrowers hereunder (including
without limitation amounts payable to such Lender pursuant to subsections 2.6D,
2.7 and 3.6) shall be determined as if such Lender had not sold such
participation. Each Borrower and each Lender hereby acknowledges and agrees
that, solely for purposes of subsections 10.4 and 10.5, (a) any participation
will give rise to a direct obligation of such Borrower to the participant and
(b) the participant shall be considered to be a "Lender".

     D. ASSIGNMENTS TO FEDERAL RESERVE BANKS. In addition to the assignments and
participations permitted under the foregoing provisions of this subsection 10.1,
any Lender may assign and pledge all or any portion of its Loans, the other
Obligations owed to such Lender, and its Notes to any Federal Reserve Bank as
collateral security pursuant to Regulation A of the Board of Governors of the
Federal Reserve System and any operating circular issued by such Federal Reserve
Bank; provided that (i) no Lender shall, as between any Borrower and such
Lender, be relieved of any of its obligations hereunder as a result of any such
assignment and pledge and (ii) in no event shall such Federal Reserve Bank be
considered to be a "Lender" or be entitled to require the assigning Lender to
take or omit to take any action hereunder.

     E. INFORMATION. Each Lender may furnish any information concerning Company
and its Subsidiaries in the possession of that Lender from time to time to
assignees and participants (including prospective assignees and participants),
subject to subsection 10.19.

10.2 EXPENSES.

     Whether or not the transactions contemplated hereby shall be consummated,
each Borrower agrees to pay promptly (i) all the actual and reasonable costs and
expenses of preparation of the Loan Documents and any consents, amendments,
waivers or other modifications thereto; (ii) all the actual and reasonable costs
of furnishing all opinions by counsel for any Borrower (including without
limitation any opinions requested by Lenders as to any legal matters arising
hereunder) and of any Borrower's performance of and compliance with all
agreements and conditions on its part to be performed or complied with under
this Agreement and the other Loan Documents including, without limitation, with
respect to confirming compliance with environmental and insurance requirements;
(iii) the actual and reasonable fees, expenses and disbursements of counsel to
Administrative Agent (including actual and reasonable allocated costs of
internal counsel) in connection with the negotiation, preparation, execution and
administration of the Loan Documents and any consents, amendments, waivers or
other modifications thereto and any other documents or matters requested by any
Borrower; (iv) all the actual and reasonable costs and expenses of creating and
perfecting Liens in favor of Administrative Agent on behalf of Lenders pursuant
to the Loan Documents, including without limitation costs of conducting record
searches, examining Collateral, costs of title insurance premiums, real estate
survey costs, and fees and taxes in connection with the filing of financing
statements, costs of preparing and recording Loan Documents, fees and expenses
of counsel for providing such opinions as Administrative Agent or Requisite
Lenders may reasonably request,

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and fees and expenses of legal counsel to Administrative Agent; (v) all the
actual costs and reasonable expenses of obtaining and reviewing any appraisals
provided for under this Agreement and any environmental audits or reports
provided for under this Agreement; (vi) all other actual and reasonable costs
and expenses incurred by Administrative Agent in connection with the syndication
of the Commitments and the negotiation, preparation and execution of the Loan
Documents and any consents, amendments, waivers or other modifications thereto
and the transactions contemplated thereby; (vii) after the occurrence of an
Event of Default, all costs and expenses, including reasonable attorneys' fees
(including actual and reasonable allocated costs of internal counsel) and costs
of settlement, incurred by Administrative Agent and Lenders in enforcing any
Obligations of or in collecting any payments due from any Loan Party hereunder
or under the other Loan Documents by reason of such Event of Default or in
connection with any refinancing or restructuring of the credit arrangements
provided under this Agreement in the nature of a "work-out" or pursuant to any
insolvency or bankruptcy proceedings, and (viii) all fees, expenses,
disbursements and other costs or liabilities of any financial advisors,
accountants, auditors or appraisers retained by Administrative Agent or its
counsel in connection with this Agreement or any other Loan Document or the
transactions contemplated thereby.

10.3 INDEMNITY.

     In addition to the payment of expenses pursuant to subsection 10.2, whether
or not the transactions contemplated hereby shall be consummated, each Borrower
agrees to defend, indemnify, pay and hold harmless Administrative Agent and
Lenders, and the officers, directors, employees, agents and affiliates of
Administrative Agent and Lenders (collectively called the "INDEMNITEES") from
and against any and all other liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, claims, costs, expenses and disbursements
of any kind or nature whatsoever (including without limitation the reasonable
fees and disbursements of counsel for such Indemnitees in connection with any
investigative, administrative or judicial proceeding commenced or threatened by
any Person, whether or not any such Indemnitee shall be designated as a party or
a potential party thereto), whether direct, indirect or consequential and
whether based on any federal, state or foreign laws, statutes, rules or
regulations (including without limitation securities and commercial laws,
statutes, rules or regulations and Environmental Laws), on common law or
equitable cause or on contract or otherwise, that may be imposed on, incurred
by, or asserted against any such Indemnitee, in any manner relating to or
arising out of this Agreement or the other Loan Documents or the transactions
contemplated hereby or thereby (including without limitation Lenders' agreement
to make the Loans hereunder or the use or intended use of the proceeds of any of
the Loans or the issuance of Letters of Credit hereunder or the use or intended
use of any of the Letters of Credit) or the statements contained in the
commitment letter delivered by any Lender to any Borrower with respect thereto
(collectively called the "INDEMNIFIED LIABILITIES"); provided that Borrowers
shall not have any obligation to any Indemnitee hereunder with respect to any
Indemnified Liabilities to the extent such Indemnified Liabilities arise solely
from the gross negligence or willful misconduct of that Indemnitee as determined
by a final judgment of a court of competent jurisdiction. To the extent that the
undertaking to defend, indemnify, pay and hold harmless set forth in the
preceding sentence may be unenforceable because it is violative of any law or
public policy, each Borrower

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shall contribute the maximum portion that it is permitted to pay and satisfy
under applicable law to the payment and satisfaction of all Indemnified
Liabilities incurred by the Indemnitees or any of them.

     Without limiting the generality of the foregoing, each Borrower further
agrees to fully and promptly pay, perform, discharge, defend (subject to
Indemnitee's selection of counsel), indemnify and hold harmless each Indemnitee
from and against any Indemnified Environmental Liabilities; provided that
Borrowers shall not have any obligation to any Indemnitee hereunder with respect
to any Indemnified Environmental Liabilities to the extent such Indemnified
Environmental Liabilities arise solely from the gross negligence or willful
misconduct of that Indemnitee as determined by a final judgment of a court of
competent jurisdiction. To the extent that the undertaking to defend, indemnify,
pay and hold harmless set forth in the preceding sentence may be unenforceable
because it is violative of any law or public policy, each Borrower shall
contribute the maximum portion that it is permitted to pay and satisfy under
applicable law to the payment and satisfaction of all Indemnified Environmental
Liabilities incurred by the Indemnitees or any of them. As used herein,
"INDEMNIFIED ENVIRONMENTAL LIABILITIES" means any liabilities, obligations,
losses, damages (including, without limitation, natural resource damages),
penalties, actions, judgments, suits, claims (including Environmental Claims),
costs (including, without limitation, the costs of any investigation, study,
sampling, testing, abatement, cleanup, removal, remediation, or other response
action necessary to remove, remediate, clean up, or abate any Hazardous
Materials or any activity relating to Hazardous Materials that is in violation
of any Environmental Laws or that presents a material risk of giving rise to an
Environmental Claim), expenses and disbursements of any kind or nature
whatsoever, whether direct, indirect or consequential and whether based on any
federal, state or foreign laws, statutes, rules or regulations (including
without limitation securities and commercial laws, statutes, rules or
regulations and Environmental Laws), on common law or equitable cause or on
contract or otherwise, that may be imposed on, incurred by, or asserted against
any such Indemnitee, in any manner relating to or arising out of: (i) any
Release, threatened Release or disposal of any Hazardous Materials at any of the
Facilities; (ii) the Release, threatened Release, or disposal at any location of
any Hazardous Materials generated at or originating from any of the Facilities
by or at the direction of Company or any of its Subsidiaries; (iii) any
Environmental Claim in connection with any of the Facilities; or (iv) the
operation of or violation of any Environmental Law at any of the Facilities.

10.4 SET-OFF; SECURITY INTEREST IN DEPOSIT ACCOUNTS.

     In addition to any rights now or hereafter granted under applicable law and
not by way of limitation of any such rights, upon the occurrence of any Event of
Default and consultation with Administrative Agent each Lender is hereby
authorized by each Borrower at any time or from time to time, without notice to
any Borrower or to any other Person, any such notice being hereby expressly
waived, to set off and to appropriate and to apply any and all deposits (general
or special, including, but not limited to, Indebtedness evidenced by
certificates of deposit, whether matured or unmatured, but not including trust
accounts) and any other

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Indebtedness at any time held or owing by that Lender or any of its Affiliates
to or for the credit or the account of such Borrower against and on account of
the obligations and liabilities of such Borrower under this Agreement, the
Letters of Credit and participations therein and the other Loan Documents,
including, but not limited to, all claims of any nature or description arising
out of or connected with this Agreement, the Letters of Credit and
participations therein or any other Loan Document, irrespective of whether or
not (i) that Lender shall have made any demand hereunder or (ii) the principal
of or the interest on the Loans or any amounts in respect of the Letters of
Credit or any other amounts due hereunder shall have become due and payable
pursuant to Section 8 and although said obligations and liabilities, or any of
them, may be contingent or unmatured. Each Borrower hereby further grants to
Administrative Agent and each Lender for the benefit of all Lenders a security
interest in all deposits and accounts maintained with Administrative Agent or
such Lender as security for the Obligations.

10.5 RATABLE SHARING

     Lenders hereby agree among themselves that if any of them shall, whether by
voluntary payment, by realization upon security, through the exercise of any
right of set-off or banker's lien, by counterclaim or cross action or by the
enforcement of any right under the Loan Documents or otherwise, or as adequate
protection of a deposit treated as cash collateral under the Bankruptcy Code,
receive payment or reduction of a proportion of the aggregate amount of
principal, interest, amounts payable in respect of Letters of Credit, fees and
other amounts then due and owing to that Lender from a Borrower hereunder or
under the other Loan Documents (collectively, the "AGGREGATE AMOUNTS DUE" to
such Lender) which is greater than the proportion received by any other Lender
in respect of the Aggregate Amounts Due to such other Lender, then the Lender
receiving such proportionately greater payment shall (i) notify Administrative
Agent and each other Lender of the receipt of such payment and (ii) apply a
portion of such payment to purchase participations (which it shall be deemed to
have purchased from each seller of a participation simultaneously upon the
receipt by such seller of its portion of such payment) in the Aggregate Amounts
Due to the other Lenders so that all such recoveries of Aggregate Amounts Due
shall be shared by all Lenders in proportion to the Aggregate Amounts Due to
them; provided that if all or part of such proportionately greater payment
received by such purchasing Lender is thereafter recovered from such Lender upon
the bankruptcy or reorganization of such Borrower or otherwise, those purchases
shall be rescinded and the purchase prices paid for such participations shall be
returned to such purchasing Lender ratably to the extent of such recovery, but
without interest. Each Borrower expressly consents to the foregoing arrangement
and agrees that any holder of a participation so purchased may exercise any and
all rights of banker's lien, set-off or counterclaim with respect to any and all
monies owing by such Borrower to that holder with respect thereto as fully as if
that holder were owed the amount of the participation held by that holder.

10.6 AMENDMENTS AND WAIVERS.

     No amendment, modification, termination or waiver of any provision of this
Agreement or of the Notes, and no consent to any departure by any Borrower
therefrom, shall in

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any event be effective without the written concurrence of such Borrower and
Requisite Lenders; provided that any such amendment, modification, termination,
waiver or consent which:

          (a) amends, modifies or waives any provision of this subsection 10.6;
     or

          (b) reduces the percentage specified in the definition "Requisite
     Lenders"; or

          (c) consents to the assignment or transfer by any Borrower of any of
     its rights and obligations under this Agreement or any other Loan Document;

shall be effective only if evidenced in a writing signed by or on behalf of all
Lenders; provided further that any such amendment, modification, termination,
waiver or consent which:

          (a) extends the final scheduled maturity of any Domestic Tranche A
     Revolving Loan or any Notes relating thereto, or extends the stated
     maturity of any Tranche A Letter of Credit beyond the Commitment
     Termination Date, or reduces the rate or extends the time of payment of
     interest or fees thereon (except in connection with a waiver of
     applicability of any post-default increase in interest rates), or reduces
     the principal amount thereof (except to the extent repaid in cash); or

          (b) releases all or substantially all of (x) the Collateral (except as
     expressly provided in the Loan Documents) under all the Collateral
     Documents with respect to the Domestic Tranche A Revolving Loan
     Commitments, or (y) the Guarantors (except as expressly provided in the
     Loan Documents) from their obligations under any of the Guaranties with
     respect to the Domestic Tranche A Revolving Loan Commitments; or

          (c) increases the advance rates provided for in the definition of
     "Tranche A Borrowing Base" or "Tranche B Borrowing Base" to any level above
     the advance rates in effect as of the Effective Date;

shall be effective only if evidenced in a writing signed by or on behalf of all
Domestic Tranche A Lenders (with Obligations being directly affected in the case
of clause (a) above); provided further that any such amendment, modification,
termination, waiver or consent which:

          (a) extends the final scheduled maturity of any Term Loan or Tranche B
     Revolving Loan or any Notes relating thereto, or extends the stated
     maturity of any Tranche B Letter of Credit beyond the Commitment
     Termination Date, or reduces the rate or extends the time of payment of
     interest or fees thereon (except in connection with a waiver of
     applicability of any post-default increase in interest rates), or reduces
     the principal amount thereof (except to the extent repaid in cash); or

          (b) releases all or substantially all of (x) the Collateral (except as
     expressly provided in the Loan Documents) under all the Collateral
     Documents with respect to the Term Loans or Tranche B Revolving Loan
     Commitments, or (y) the Guarantors (except

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as expressly provided in the Loan Documents) from their obligations under any of
the Guaranties with respect to the Term Loans or Tranche B Revolving Loan
Commitments;

shall be effective only if evidenced in a writing signed by or on behalf of all
Domestic Tranche B Lenders, UK Lenders, French Lenders and Japanese Lenders
(with Obligations being directly affected in the case of clause (a) above).

     In addition, (i) no amendment, modification, termination or waiver of any
provision of any Note shall be effective without the written concurrence of the
Lender which is the holder of that Note, (ii) no amendment, modification,
termination or waiver of any provision of subsection 2.1A(iii) or any other
provision of this Agreement relating to the Swing Line Lender shall be effective
without the written concurrence of Swing Line Lender, (iii) to the extent
related to (a) UK Indemnifying Lenders or UK Tranche B Revolving Loan
Commitments, (b) French Indemnifying Lenders or French Tranche B Revolving Loan
Commitments, or (c) Japanese Indemnifying Lenders or Japanese Tranche B
Revolving Loan Commitments, no amendment, modification, termination or waiver of
any provision of subsection 2.9 or of related definitions shall be effective
without the written concurrence of, respectively, (x) the UK Indemnifying
Lenders holding a majority of the UK Tranche B Revolving Loan Exposure and of
Administrative Agent, (y) the French Indemnifying Lenders holding a majority of
the French Tranche B Revolving Loan Exposure and of Administrative Agent, and
(z) the Japanese Indemnifying Lenders holding a majority of the Japanese Tranche
B Revolving Loan Exposure and of Administrative Agent, (iv) no amendment,
modification, termination or waiver of any provision of Section 9 or of any
other provision of this Agreement which, by its terms, expressly requires the
approval or concurrence of Administrative Agent shall be effective without the
written concurrence of Administrative Agent, and (v) no amendment, modification,
termination or waiver of any provision of subsection 2.4 which has the effect of
(x) extending or reducing any interim scheduled payments applicable to either
Class or (y) changing any interim scheduled payments, voluntary and mandatory
prepayments, or Commitment reductions applicable to either Class (the "AFFECTED
CLASS") in a manner that disproportionately disadvantages such Class relative to
the other Class, shall be effective without the written concurrence of Requisite
Class Lenders of such Class or such Affected Class (it being understood and
agreed that any amendment, modification, termination or waiver of voluntary or
mandatory prepayment, or Commitment reduction from those set forth in subsection
2.4 with respect to one Class but not the other Class shall be deemed to
disadvantage such other Class for purposes of this clause (v)).

     Administrative Agent may, but shall have no obligation to, with the
concurrence of any Lender, execute amendments, modifications, waivers or
consents on behalf of that Lender. Any waiver or consent shall be effective only
in the specific instance and for the specific purpose for which it was given. No
notice to or demand on any Borrower in any case shall entitle such Borrower to
any other or further notice or demand in similar or other circumstances. Any
amendment, modification, termination, waiver or consent effected in accordance
with this subsection 10.6 shall be binding upon each Lender at the time
outstanding, each future Lender and, if signed by any Borrower, on such
Borrower.

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10.7 INDEPENDENCE OF COVENANTS.

     All covenants hereunder shall be given independent effect so that if 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 would otherwise be within
the limitations of, another covenant shall not avoid the occurrence of an Event
of Default or Potential Event of Default if such action is taken or condition
exists.

10.8 NOTICES.

     Unless otherwise specifically provided herein, any notice or other
communication herein required or permitted to be given shall be in writing and
may be personally served, telexed or sent by telefacsimile or mail or courier
service and shall be deemed to have been given when delivered in person or by
courier service, upon receipt of telefacsimile or telex, or three Business Days
after depositing it in the mail with postage prepaid and properly addressed;
provided that notices to Administrative Agent shall not be effective until
received. For the purposes hereof, the address of each party hereto shall be as
set forth under such party's name on the signature pages hereof or (i) as to
Borrowers and Administrative Agent, such other address as shall be designated by
such Person in a written notice delivered to the other parties hereto and (ii)
as to each other party, such other address as shall be designated by such party
in a written notice delivered to Administrative Agent.

10.9 SURVIVAL OF REPRESENTATIONS, WARRANTIES AND AGREEMENTS.

     A. All representations, warranties and agreements made herein shall survive
the execution and delivery of this Agreement and the making of the Loans and the
issuance of the Letters of Credit hereunder.

     B. Notwithstanding anything in this Agreement or implied by law to the
contrary, the agreements of Borrowers set forth in subsections 2.6D, 2.7, 3.5A,
3.6, 10.2, 10.3 and 10.4 and the agreements of Lenders set forth in subsections
9.2C, 9.4 and 10.5 shall survive the payment of the Loans, the cancellation or
expiration of the Letters of Credit and the reimbursement of any amounts drawn
thereunder, and the termination of this Agreement.

10.10 FAILURE OR INDULGENCE NOT WAIVER; REMEDIES CUMULATIVE.

     No failure or delay on the part of Administrative Agent or any Lender in
the exercise of any power, right or privilege hereunder or under any other Loan
Document shall impair such power, right or privilege or be construed to be a
waiver of any default or acquiescence therein, nor shall any single or partial
exercise of any such power, right or privilege preclude other or further
exercise thereof or of any other power, right or privilege. All rights and
remedies existing under this Agreement and the other Loan Documents are
cumulative to, and not exclusive of, any rights or remedies otherwise available.

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10.11 MARSHALLING; PAYMENTS SET ASIDE.

     None of Administrative Agent or any Lender shall be under any obligation to
marshal any assets in favor of any Borrower or any other party or against or in
payment of any or all of the Obligations. To the extent that any Borrower makes
a payment or payments to Administrative Agent or Lenders (or to Agent for the
benefit of Lenders), or Administrative Agent or Lenders enforce any security
interests or exercise their rights of setoff, and such payment or payments or
the proceeds of such enforcement or setoff or any part thereof are subsequently
invalidated, declared to be fraudulent or preferential, set aside and/or
required to be repaid to a trustee, receiver or any other party under any
bankruptcy law, any other state or federal law, common law or any equitable
cause, then, to the extent of such recovery, the obligation or part thereof
originally intended to be satisfied, and all Liens, rights and remedies therefor
or related thereto, shall be revived and continued in full force and effect as
if such payment or payments had not been made or such enforcement or setoff had
not occurred.

10.12 SEVERABILITY.

     In case any provision in or obligation under this Agreement or the Notes
shall be invalid, illegal or unenforceable in any jurisdiction, the validity,
legality and enforceability of the remaining provisions or obligations, or of
such provision or obligation in any other jurisdiction, shall not in any way be
affected or impaired thereby.

10.13 OBLIGATIONS SEVERAL; INDEPENDENT NATURE OF LENDERS' RIGHTS.

     The obligations of Lenders hereunder are several and no Lender shall be
responsible for the obligations or Commitments of any other Lender hereunder.
Nothing contained herein or in any other Loan Document, and no action taken by
Lenders pursuant hereto or thereto, shall be deemed to constitute Lenders as a
partnership, an association, a joint venture or any other kind of entity. The
amounts payable at any time hereunder to each Lender shall be a separate and
independent debt, and each Lender shall be entitled to protect and enforce its
rights arising out of this Agreement and it shall not be necessary for any other
Lender to be joined as an additional party in any proceeding for such purpose.

10.14 HEADINGS.

     Section and subsection headings in this Agreement are included herein for
convenience of reference only and shall not constitute a part of this Agreement
for any other purpose or be given any substantive effect.

10.15 APPLICABLE LAW.

     THIS AGREEMENT AND THE RIGHTS AND OBLIGATIONS OF THE PARTIES HEREUNDER
SHALL BE GOVERNED BY, AND SHALL BE CONSTRUED AND ENFORCED IN ACCORDANCE WITH,
THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING WITHOUT LIMITATION SECTION
5-1401 OF THE

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GENERAL OBLIGATIONS LAW OF THE STATE OF NEW YORK), WITHOUT REGARD TO CONFLICTS
OF LAWS PRINCIPLES.

10.16 SUCCESSORS AND ASSIGNS.

     This Agreement shall be binding upon the parties hereto and their
respective successors and assigns and shall inure to the benefit of the parties
hereto and the successors and assigns of Lenders (it being understood that
Lenders' rights of assignment are subject to subsection 10.1). None of
Borrowers' rights or obligations hereunder nor any interest therein may be
assigned or delegated by any Borrower without the prior written consent of all
Lenders.

10.17 CONSENT TO JURISDICTION AND SERVICE OF PROCESS.

     ALL JUDICIAL PROCEEDINGS BROUGHT AGAINST ANY BORROWER ARISING OUT OF OR
RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT OR ANY OBLIGATION MAY BE
BROUGHT IN ANY STATE OR FEDERAL COURT OF COMPETENT JURISDICTION IN THE STATE OF
NEW YORK, AND BY EXECUTION AND DELIVERY OF THIS AGREEMENT EACH BORROWER ACCEPTS
FOR ITSELF AND IN CONNECTION WITH ITS PROPERTIES, GENERALLY AND UNCONDITIONALLY,
THE NONEXCLUSIVE JURISDICTION OF THE AFORESAID COURTS AND WAIVES ANY DEFENSE OF
FORUM NON CONVENIENS AND IRREVOCABLY AGREES TO BE BOUND BY ANY JUDGMENT RENDERED
THEREBY IN CONNECTION WITH THIS AGREEMENT, SUCH OTHER LOAN DOCUMENT OR SUCH
OBLIGATION. Each Borrower hereby agrees that service of all process in any such
proceeding in any such court may be made by registered or certified mail, return
receipt requested, to such Borrower at its address provided in subsection 10.8,
such service being hereby acknowledged by such Borrower to be sufficient for
personal jurisdiction in any action against such Borrower in any such court and
to be otherwise effective and binding service in every respect. Nothing herein
shall affect the right to serve process in any other manner permitted by law or
shall limit the right of any Lender to bring proceedings against any Borrower in
the courts of any other jurisdiction.

10.18 WAIVER OF JURY TRIAL.

     EACH OF THE PARTIES TO THIS AGREEMENT HEREBY AGREES TO WAIVE ITS RESPECTIVE
RIGHTS TO A JURY TRIAL OF ANY CLAIM OR CAUSE OF ACTION BASED UPON OR ARISING OUT
OF THIS AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS OR ANY DEALINGS BETWEEN
THEM RELATING TO THE SUBJECT MATTER OF THIS LOAN TRANSACTION OR THE
LENDER/BORROWER RELATIONSHIP THAT IS BEING ESTABLISHED. The scope of this waiver
is intended to be all-encompassing of any and all disputes that may be filed in
any court and that relate to the subject matter of this transaction, including
without limitation contract claims, tort claims, breach of duty claims and all
other common law and statutory claims. Each party hereto acknowledges that this
waiver is a material inducement to enter into a business relationship, that each
has already relied on this waiver in entering into this Agreement, and that

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each will continue to rely on this waiver in their related future dealings. Each
party hereto further warrants and represents that it has reviewed this waiver
with its legal counsel and that it knowingly and voluntarily waives its jury
trial rights following consultation with legal counsel. THIS WAIVER IS
IRREVOCABLE, MEANING THAT IT MAY NOT BE MODIFIED EITHER ORALLY OR IN WRITING
(OTHER THAN BY A MUTUAL WRITTEN WAIVER SPECIFICALLY REFERRING TO THIS SUBSECTION
10.18 AND EXECUTED BY EACH OF THE PARTIES HERETO), AND THIS WAIVER SHALL APPLY
TO ANY SUBSEQUENT AMENDMENTS, RENEWALS, SUPPLEMENTS OR MODIFICATIONS TO THIS
AGREEMENT OR ANY OF THE OTHER LOAN DOCUMENTS OR TO ANY OTHER DOCUMENTS OR
AGREEMENTS RELATING TO THE LOANS MADE HEREUNDER. In the event of litigation,
this Agreement may be filed as a written consent to a trial by the court.

10.19 CONFIDENTIALITY.

     Each Lender shall hold all non-public information obtained pursuant to the
requirements of this Agreement which has been identified in writing as
confidential by any Borrower in accordance with such Lender's customary
procedures for handling confidential information of this nature and in
accordance with safe and sound banking practices, it being understood and agreed
by each Borrower that in any event a Lender may make disclosures to Affiliates
of such Lender, to the legal counsel and accountants of such Lender or of such
Affiliates, or disclosures reasonably required by any bona fide assignee,
transferee or participant (who shall have agreed to the confidentiality of the
same) in connection with the contemplated assignment or transfer by such Lender
of any Loans or any participations therein or disclosures required or requested
by any governmental agency or representative thereof or pursuant to legal
process; provided that, unless specifically prohibited by applicable law or
court order, each Lender shall notify Company of any request by any governmental
agency or representative thereof (other than any such request in connection with
any examination of the financial condition of such Lender by such governmental
agency) for disclosure of any such non-public information prior to disclosure of
such information; and provided further that in no event shall any Lender be
obligated or required to return any materials furnished by Company or any of its
Subsidiaries.

10.20 JUDGMENT CURRENCY.

     (a) If, for the purposes of obtaining judgment in any court, it is
necessary to convert a sum due hereunder in any currency (the "ORIGINAL
CURRENCY") into another currency (the "OTHER CURRENCY"), the parties hereto
agree, to the fullest extent permitted by law, that the rate of exchange used
shall be that at which in accordance with normal banking procedures
Administrative Agent or a Lender could purchase the Original Currency with such
Other Currency in New York, New York on the Business Day immediately preceding
the day on which any such judgment, or any relevant part thereof, is given.

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     (b) The obligations of each Borrower in respect of any sum due from it to
Administrative Agent or any Lender hereunder shall, notwithstanding any judgment
in such Other Currency, be discharged only to the extent that on the Business
Day following receipt by Administrative Agent or Lender of any sum adjudged to
be so due in such Other Currency Administrative Agent or Lender may in
accordance with normal banking procedures purchase the Original Currency with
such Other Currency; if the Original Currency so purchased is less than the sum
originally due Administrative Agent or Lender in the Original Currency, such
Borrower agrees, as a separate obligation and notwithstanding any such judgment,
to indemnify Administrative Agent or Lender against such loss, and if the
Original Currency so purchased exceed the sum originally due to Administrative
Agent or Lender in the Original Currency, Lender shall remit such excess to such
Borrower.

10.21 COUNTERPARTS; EFFECTIVENESS.

     This Agreement and any amendments, waivers, consents or supplements hereto
or in connection herewith may be executed in any number of counterparts and by
different parties hereto in separate counterparts, each of which when so
executed and delivered shall be deemed an original, but all such counterparts
together shall constitute but one and the same instrument; signature pages may
be detached from multiple separate counterparts and attached to a single
counterpart so that all signature pages are physically attached to the same
document. This Agreement shall become effective upon the execution of a
counterpart hereof by each of the parties hereto and receipt by each Borrower
and Administrative Agent of written or telephonic notification of such execution
and authorization of delivery thereof.

10.22 NO IMMUNITY.

     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,
execution or otherwise) with respect to itself or its property, such Borrower
hereby irrevocably waives such immunity in respect of its obligations under this
Agreement and, without limiting the generality of the foregoing, agrees that the
waivers set forth in this subsection 10.22 shall have the fullest scope
permitted under the Foreign Sovereign Immunities Act of 1976 of the United
States and are intended to be irrevocable for purposes of such Act.

10.23 INTENTION TO SECURE OBLIGATIONS UNDER HEDGE AGREEMENTS.

     Borrowers may from time to time enter into one or more Hedging Agreements
with or one or more Lenders in accordance with the terms of the Credit
Agreement, and it is intended that the obligations of Borrowers under the
Hedging Agreements, including the obligation of Borrowers to make payments
thereunder in the event of early termination thereof be secured pursuant to the
Loan Documents.

                  [Remainder of page intentionally left blank]

                                      165
<PAGE>

     IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be
duly executed and delivered by their respective officers thereunto duly
authorized as of the date first written above.

                            [Signature pages to come]

                                      S-1
<PAGE>

                                     ANNEX A

2.7  INCREASED COSTS; TAXES; CAPITAL ADEQUACY.

     A. COMPENSATION FOR INCREASED COSTS AND TAXES. Subject to the provisions of
subsection 2.7B, in the event that any Lender shall determine (which
determination shall, absent manifest error, be final and conclusive and binding
upon all parties hereto) that any law, treaty or governmental rule, regulation
or order, or any change therein or in the interpretation, administration or
application thereof (including the introduction of any new law, treaty or
governmental rule, regulation or order), or any determination of a court or
governmental authority, in each case that becomes effective after the date
hereof, or compliance by such Lender with any guideline, request or directive
issued or made after the date hereof by any central bank or other governmental
or quasi-governmental authority (whether or not having the force of law):

          (i) subjects such Lender (or its applicable lending office) to any
     additional Tax (other than any Tax on the overall net income of such
     Lender) with respect to this Agreement or any of its obligations hereunder
     or any payments to such Lender (or its applicable lending office) of
     principal, interest, commitment fees or any other amount payable hereunder;

          (ii) imposes, modifies or holds applicable any reserve (including
     without limitation any marginal, emergency, supplemental, special or other
     reserve), special deposit, compulsory loan, FDIC insurance or similar
     requirement against assets held by, or deposits or other liabilities in or
     for the account of, or advances or loans by, or other credit extended by,
     or any other acquisition of funds by, any office of such Lender (other than
     any such reserve or other requirements with respect to Offshore Rate Loans
     that are reflected in the definition of Adjusted Offshore Rate); or

          (iii) imposes any other condition (other than with respect to a Tax
     matter) on or affecting such Lender (or its applicable lending office) or
     its obligations hereunder or the interbank Eurodollar market for the
     Applicable Currency;

and the result of any of the foregoing is to increase the cost to such Lender of
agreeing to make, making or maintaining Loans hereunder or to reduce any amount
received or receivable by such Lender (or its applicable lending office) with
respect thereto in an amount deemed by such Lender (in its sole discretion) to
be material; then, in any such case, the applicable Borrower shall promptly pay
to such Lender, upon receipt of the statement referred to in the next sentence,
such additional amount or amounts (in the form of an increased rate of, or a
different method of calculating, interest or otherwise as such Lender in its
sole discretion shall determine) as may be necessary to compensate such Lender
for any such increased cost or reduction in amounts received or receivable
hereunder. Such Lender shall deliver to the applicable Borrower (with a copy to
Administrative Agent) a written statement, setting forth in reasonable detail
the basis for calculating the additional amounts owed to such Lender under this
subsection 2.7A, which statement shall be conclusive and binding upon all
parties hereto absent manifest error.

                                   Annex A-1
<PAGE>

     B. WITHHOLDING OF TAXES.

          (i) Payments to Be Free and Clear. All sums payable by Borrowers under
     this Agreement and the other Loan Documents shall be paid free and clear
     of, and, except to the extent required by law, without any deduction or
     withholding on account of, any Tax (other than a Tax on the overall net
     income of any Lender) imposed, levied, collected, withheld or assessed by
     or within the United States of America, the UK, France or Japan or any
     political subdivision in or of the United States of America, the UK, France
     or Japan or any other jurisdiction from or to which a payment is made by or
     on behalf of any Borrower or by any federation or organization of which the
     United States of America, the UK, France or Japan or any such jurisdiction
     is a member at the time of payment.

          (ii) Grossing-up of Payments. If any Borrower or any other Person
     (including any Funding Lender with respect to any payments made to an
     Indemnifying Lender under subsection 2.9) is required by law to make any
     deduction or withholding on account of any such Tax from any sum paid or
     payable by any Borrower to Administrative Agent or any Lender under any of
     the Loan Documents or by any Funding Lender with respect to any payments
     made to an Indemnifying Lender under subsection 2.9:

               (a) such Borrower shall notify Administrative Agent of any such
          requirement or any change in any such requirement as soon as such
          Borrower becomes aware of it;

               (b) such Borrower shall pay any such Tax before the date on which
          penalties attach thereto, such payment to be made (if the liability to
          pay is imposed on such Borrower) for its own account or (if that
          liability is imposed on Administrative Agent or any such Lender, as
          the case may be) on behalf of and in the name of Administrative Agent
          or any such Lender;

               (c) the sum payable by such Borrower or by such Funding Lender in
          respect of which the relevant deduction, withholding or payment is
          required shall be increased to the extent necessary to ensure that,
          after the making of that deduction, withholding or payment,
          Administrative Agent, such Lender or Indemnifying Lender, as the case
          may be, receives on the due date a net sum equal to what it would have
          received had no such deduction, withholding or payment been required
          or made; and

               (d) within 30 days after paying any sum from which it is required
          by law to make any deduction or withholding, and within 30 days after
          the due date of payment of any Tax which it is required by clause (b)
          above to pay, such Borrower shall deliver to Administrative Agent
          evidence reasonably satisfactory to the other affected parties of such
          deduction, withholding or payment and of its making payment thereof to
          the relevant taxing or other authority;

                                   Annex A-2
<PAGE>

          provided that no such additional amount of United States Tax shall be
          required to be paid to any Lender under clause (c) above except to the
          extent that any change after the date hereof (in the case of each
          Lender listed on the signature pages hereof) or after the date of the
          Assignment Agreement pursuant to which such Lender became a Lender (in
          the case of each other Lender) in any such requirement for a
          deduction, withholding or payment as is mentioned therein shall result
          in an increase in the rate of such deduction, withholding or payment
          from that in effect at the date of this Agreement or at the date of
          such Assignment Agreement, as the case may be, in respect of payments
          to such Lender; provided further that any such additional amount of
          UK, French, or Japanese Tax, as the case may be, shall be required to
          be paid by Borrower to Administrative Agent, any applicable
          Indemnifying Lender or to any other Lender under clause (c) above
          whether or not any such payment shall be required as a result of any
          change in applicable laws and regulations after the date hereof (i.e.,
          Borrower shall be required to pay such additional amount of UK,
          French, or Japanese Tax, as the case may be, even if the obligation to
          make such payment shall have arisen under applicable laws and
          regulations as in effect on the date hereof); and provided further
          that notwithstanding anything to the contrary contained in this
          Agreement or in any other Loan Document, to the extent that
          Administrative Agent is required by any applicable law or regulation,
          whether or not in effect on the date hereof, to make any deduction or
          withholding on account of any such UK, French, or Japanese Tax from
          any sum paid or payable by Administrative Agent to any Indemnifying
          Lender pursuant to subsection 2.9, (a) Borrower shall pay any such Tax
          before the date on which penalties attach thereto, such payment to be
          made (if the liability to pay is imposed on such Borrower) for its own
          account or (if that liability is imposed on Administrative Agent or
          such Indemnifying Lender, as the case may be) on behalf of and in the
          name of Administrative Agent or such Indemnifying Lender; and (b) the
          sum payable by such Borrower or by Administrative Agent in respect of
          which the relevant deduction, withholding or payment is required shall
          be increased to the extent necessary to ensure that, after the making
          of that deduction, withholding or payment, Administrative Agent or
          Indemnifying Lender, as the case may be, receives on the due date a
          net sum equal to what it would have received had no such deduction,
          withholding or payment been required or made. Borrower shall indemnify
          Administrative Agent and each applicable Indemnifying Lender for any
          Tax (other than a Tax on the overall net income of any Lender)
          imposed, levied, collected, withheld or assessed by or under any
          applicable Governmental Authority with respect to the payments to be
          made pursuant to subsection 2.9.

          (iii) Evidence of Exemption from Withholding Taxes.

               (a) (1) Each Lender that is organized under the laws of any
          jurisdiction other than the United States or any state or other
          political subdivision thereof (for purposes of this subsection
          2.7B(iii), a "NON-US LENDER") shall deliver to Administrative Agent
          for transmission to Company, on or prior to the Effective Date (in the
          case of each Lender listed on the signature pages hereof) or on or
          prior to the date of the Assignment Agreement pursuant to which it
          becomes

                                   Annex A-3
<PAGE>

          a Lender (in the case of each other Lender), and at such other times
          as may be necessary in the determination of Company or Administrative
          Agent (each in the reasonable exercise of its discretion), (X) two
          original copies of Internal Revenue Service Form 1001 or 4224 (or any
          successor forms), properly completed and duly executed by such Non-US
          Lender, together with any other certificate or statement of exemption
          required under the Internal Revenue Code or the regulations issued
          thereunder to establish that such Non-US Lender is not subject to
          deduction or withholding of United States federal income tax with
          respect to any payments to such Non-US Lender of principal, interest,
          fees or other amounts payable under any of the Loan Documents or (Y)
          if such Non-US Lender is not a "bank" or other Person described in
          Section 881(c)(3) of the Internal Revenue Code and cannot deliver
          either Internal Revenue Service Form 1001 or 4224 pursuant to clause
          (X) above, a Certificate re Non-Bank Status together with two original
          copies of Internal Revenue Service Form W-8 (or any successor form),
          properly completed and duly executed by such Non-US Lender, together
          with any other certificate or statement of exemption required under
          the Internal Revenue Code or the regulations issued thereunder to
          establish that such Non-US Lender is not subject to deduction or
          withholding of United States federal income tax with respect to any
          payments to such Non-US Lender of interest payable under any of the
          Loan Documents.

               (2) Each UK Lender (other than a UK Qualifying Lender; provided
          that this clause 2.7B(iii)(a)(3) shall apply to a UK Qualifying Lender
          who loses such status, other than through a change in any applicable
          law, treaty or governmental rule, regulation or order, or any change
          in the interpretation, administration or application thereof after the
          Relevant Date (as defined below) as set out in clause 2.7B(iii)(c),
          from the date of such loss) shall deliver to the appropriate Person
          such application forms, certificates, documents or other evidence as
          may be required from time to time, properly completed and duly
          executed by such UK Lender, to enable Goss UK to be able to pay
          interest on the UK Loans from it without withholding or deduction for
          or on account of any UK income tax. Each UK Lender severally warrants
          to Goss UK that on the Relevant Date (as defined in clause
          2.7B(iii)(c)) (i) it is a UK Qualifying Lender or (ii) it is a UK
          Double Tax Treaty Lender that has or will timely fulfill its
          obligations under subsection 2.7B(iii).

               (3) Each French Lender that is organized under the laws of any
          jurisdiction other than France or any political subdivision thereof
          (for purposes of this subsection 2.7B(iii), a "NON-FRENCH LENDER")
          agrees to deliver to Goss France and Administrative Agent upon request
          such certificates, documents or other evidence as may be required from
          time to time, properly completed and duly executed by such Non-French
          Lender, to establish the basis for any applicable exemption from or
          reduction of Taxes with respect to any payments to such Non-

                                   Annex A-4
<PAGE>

          French Lender of principal, interest, fees, commissions or any other
          amount payable under this Agreement or the French Revolving Loans.

               (4) Each Japanese Lender that is organized under the laws of any
          jurisdiction other than Japan or any political subdivision thereof
          (for purposes of this subsection 2.7B(iii), a "NON-JAPANESE LENDER")
          agrees to deliver to Goss Japan and Administrative Agent upon request
          such certificates, documents or other evidence as may be required from
          time to time, properly completed and duly executed by such
          Non-Japanese Lender, to establish the basis for any applicable
          exemption from or reduction of Taxes with respect to any payments to
          such Non-Japanese Lender of principal, interest, fees, commissions or
          any other amount payable under this Agreement or the Japanese
          Revolving Loans.

               (b) Each Lender required to deliver any forms, certificates or
          other evidence with respect to United States federal income tax
          withholding matters or UK, French or Japanese income tax withholding
          matters pursuant to subsection 2.7B(iii)(a) hereby agrees, from time
          to time after the initial delivery by such Lender of such forms,
          certificates or other evidence, whenever a lapse in time or change in
          circumstances renders such forms, certificates or other evidence
          obsolete or inaccurate in any material respect, that such Lender shall
          (1)(W) in the case of any Non-US Lender, promptly deliver to
          Administrative Agent for transmission to Company two new original
          copies of Internal Revenue Service Form 1001 or 4224, or a Certificate
          re Non-Bank Status and two original copies of Internal Revenue Service
          Form W-8, as the case may be, (X) in the case of any Non-French
          Lender, promptly deliver to Administrative Agent for transmission to
          Goss France such certificates, documents or other evidence as may be
          required from time to time under the third paragraph of subsection
          2.7B(iii)(a), (Y) in the case of any Non-Japanese Lender, promptly
          deliver to Administrative Agent for transmission to Goss Japan such
          certificates, documents or other evidence as may be required from time
          to time under the fourth paragraph of subsection 2.7B(iii)(a), or (Z)
          in the case of any UK Lender, promptly deliver to the appropriate
          Persons such application forms, certificates, documents or other
          evidence as may be required from time to time under the second
          paragraph of subsection 2.7B(iii)(a), in each case properly completed
          and duly executed by such Lender, together with any other certificate
          or statement of exemption required in order to confirm or establish
          that such Lender is not subject to deduction or withholding of United
          States, French, Japanese or UK (as applicable) Tax with respect to
          payments to such Lender under the Loan Documents or (2) notify
          Administrative Agent and Borrower of its inability to deliver any such
          forms, certificates or other evidence.

               (c) The Borrower shall not be required to pay any additional
          amount to or in respect of any payment to any Non-US Lender,
          Non-French Lender, Non-Japanese Lender or UK Lender that is not a UK
          Indemnifying Lender in respect of

                                   Annex A-5
<PAGE>

          that payment, as the case may be, under clause (c) of subsection
          2.7B(ii) if such Lender shall both (i) have failed to satisfy the
          requirements of clause (a) or (b) (provided that for the purpose of
          this subsection 2.7B(iii)(c) its obligations under such clause (b)
          shall not be considered to be duly fulfilled by its notification to
          Administrative Agent and Borrower of its inability to deliver any
          form, certificate or other evidence) of this subsection 2.7B(iii) and
          (ii) is not a UK Qualifying Lender; provided further that if such
          Lender shall have satisfied the requirements of subsection
          2.7B(iii)(a) (in the case of any payment, or part thereof, connected
          with any Commitment, Loan, Letter of Credit or Indemnity
          Participation, sold, assigned or transferred pursuant to an Assignment
          Agreement) after the date of such Assignment Agreement or (in any
          other case) after the Effective Date (hereinafter, the "RELEVANT
          DATE"), or is a UK Qualifying Lender on the Relevant Date, as the case
          may be, nothing in this subsection 2.7B(iii)(c) shall relieve the
          Borrower of its obligation to pay any additional amounts pursuant to
          clause (c) of subsection 2.7B(ii) in the event that, as a result of
          any change in any applicable law, treaty or governmental rule,
          regulation or order, or any change in the interpretation,
          administration or application thereof, such Lender either is no longer
          a UK Qualifying Lender or is no longer properly entitled to deliver
          forms, certificates or other evidence at a subsequent date
          establishing the fact that such Lender is exempt from withholding tax
          or is subject to withholding tax at a rate higher than on the Relevant
          Date, as described in subsection 2.7B(iii)(a), as the case may be.

               (d) The Borrower shall not be required to pay any additional
          amount under clause (c) of subsection 2.7B(ii) to any French
          Indemnifying Lender if Administrative Agent is not either a French
          corporation or a bank which has and acts through a permanent
          establishment in France and holds a valid Certificate of Exemption
          from withholding tax for foreign corporations or non-residents,
          provided, however, that nothing in this subsection 2.7(iii) shall
          relieve the applicable Borrower of its obligation to pay any
          additional amounts pursuant to clause (c) of subsection 2.7B(ii) to an
          Indemnifying Lender which becomes a French Lender, Japanese Lender or
          a UK Lender, as the case may be, upon the occurrence of a Triggering
          Event under subsection 2.9A, notwithstanding the fact that such
          Indemnifying Lender is not properly entitled to deliver forms,
          certificates or other evidence establishing that such Indemnifying
          Lender is exempt from Tax (other than Tax on its overall net income)
          with respect to payments received from such Borrower, whether or not
          as a result of any change in applicable law, treaty or governmental
          rule, regulation or order, or any change in the interpretation,
          administration or application thereof after the Effective Date.

               (e) The Borrower shall not be required to pay any additional
          amount under clause (c) of subsection 2.7B(ii) to any Japanese
          Indemnifying Lender if Administrative Agent is not either a Japanese
          corporation or a bank which has and acts through a permanent
          establishment in Japan and holds a valid Certificate of

                                   Annex A-6
<PAGE>

          Exemption from withholding tax for foreign corporations or
          non-residents, provided, however, that nothing in this subsection
          2.7(iii) shall relieve the applicable Borrower of its obligation to
          pay any additional amounts pursuant to clause (c) of subsection
          2.7B(ii) to an Indemnifying Lender which becomes a Japanese Lender, a
          French Lender or a UK Lender, as the case may be, upon the occurrence
          of a Triggering Event under subsection 2.9A, notwithstanding the fact
          that such Indemnifying Lender is not properly entitled to deliver
          forms, certificates or other evidence establishing that such
          Indemnifying Lender is exempt from Tax (other than Tax on its overall
          net income) with respect to payments received from such Borrower,
          whether or not as a result of any change in applicable law, treaty or
          governmental rule, regulation or order, or any change in the
          interpretation, administration or application thereof after the
          Effective Date.

               (f) If:

                    (i) Goss UK makes a payment under paragraph (c) of
               subsection 2.7B(ii) (a "TAX PAYMENT") in respect of a payment to
               a UK Double Tax Treaty Lender (that had duly fulfilled its
               obligations under subsection 2.7B(iii)), such payment having been
               made prior to Goss UK receiving a notice from the Inland Revenue
               permitting it to pay gross, and

                    (ii) that UK Double Tax Treaty Lender determines that it has
               obtained a refund of Tax or obtained and used a credit against
               Tax on its Overall Net Income (a "TAX CREDIT") which that UK
               Lender is attributable to that Tax Payment

               then, if in its absolute discretion it can do so without any
               adverse consequences, that UK Double Tax Treaty Lender shall
               reimburse Goss UK such amount as that UK Double Tax Treaty Lender
               shall reasonably determine to be such proportion of that Tax
               Credit as will leave that UK Double Tax Treaty Lender (after that
               reimbursement) in no better or worse position in respect of its
               world wide Tax liabilities than it would have been in if no Tax
               Payment had been required. No UK Double Tax Treaty Lender shall
               be obliged to disclose any information regarding its Tax affairs
               and computations.

     C. CAPITAL ADEQUACY ADJUSTMENT. If any Lender shall have determined that
the adoption, effectiveness, phase-in or applicability after the date hereof of
any law, rule or regulation (or any provision thereof) regarding capital
adequacy, or any change therein or in the interpretation or administration
thereof by any governmental authority, central bank or comparable agency charged
with the interpretation or administration thereof, or compliance by any Lender
(or its applicable lending office) with any guideline, request or directive
regarding capital adequacy (whether or not having the force of law) of any such
governmental authority, central bank or comparable agency, has or would have the
effect of reducing the rate of return on the capital of such Lender or any
corporation controlling such Lender as a consequence of, or

                                   Annex A-7
<PAGE>

with reference to, such Lender's Loans, Commitments or Letters of Credit or any
participations therein or any other obligations hereunder with respect to the
Loans or the Letters of Credit, in the case of any Lender, to a level below that
which such Lender or such controlling corporation could have achieved but for
such adoption, effectiveness, phase-in, applicability, change or compliance
(taking into consideration the policies of such Lender or such controlling
corporation with regard to capital adequacy and in an amount deemed by such
Lender (in its sole discretion) to be material), then from time to time, within
five Business Days after receipt by the Borrower from such Lender of the
statement referred to in the next sentence, Borrowers shall pay to such Lender
such additional amount or amounts as will compensate such Lender or such
controlling corporation on an after-tax basis for such reduction. Such Lender
shall deliver to the Borrower (with a copy to Administrative Agent) a written
statement, setting forth in reasonable detail the basis of the calculation of
such additional amounts, which statement shall be conclusive and binding upon
all parties hereto absent manifest error. Notwithstanding any provision of this
subsection 2.7 to the contrary, Borrowers shall pay, on terms and conditions
consistent with this subsection 2.7, any additional amount or amounts as will
compensate any Lender or any corporation controlling such Lender on an after-tax
basis for any reduction in the rate of return on the capital of such Lender or
such controlling entity because of any overlap of the Revolving Loan
Commitments, whether or not as a result of any change in applicable law, treaty
or governmental rule, regulation or order, or any change in the interpretation,
administration or application thereof.

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                                   Annex A-8
<PAGE>

                                     ANNEX B

2.8  OBLIGATION OF LENDERS AND ISSUING LENDERS TO MITIGATE; REPLACEMENT OF
     LENDERS.

     A. Each Lender and Issuing Lender agrees that, as promptly as practicable
after the officer of such Lender or Issuing Lender responsible for administering
the Loans or Letters of Credit of such Lender or Issuing Lender, as the case may
be, becomes aware of the occurrence of an event or the existence of a condition
that would cause such Lender to become an Affected Lender or that would entitle
such Lender or Issuing Lender to receive payments under subsection 2.7 or
subsection 3.6, it will, to the extent not inconsistent with the internal
policies of such Lender or Issuing Lender and any applicable legal or regulatory
restrictions, use reasonable efforts (i) to make, issue, fund or maintain the
Commitments of such Lender or the affected Loans or Letters of Credit of such
Lender or Issuing Lender through another lending or letter of credit office of
such Lender or Issuing Lender, or (ii) take such other measures as such Lender
or Issuing Lender may deem reasonable, if as a result thereof the circumstances
which would cause such Lender to be an Affected Lender would cease to exist or
the additional amounts which would otherwise be required to be paid to such
Lender or Issuing Lender pursuant to subsection 2.7 or subsection 3.6 would be
materially reduced and if, as determined by such Lender or Issuing Lender in its
sole discretion, the making, issuing, funding or maintaining of such Commitments
or Loans or Letters of Credit through such other lending or letter of credit
office or in accordance with such other measures, as the case may be, would not
otherwise materially adversely affect such Commitments or Loans or Letters of
Credit or the interests of such Lender or Issuing Lender; provided that such
Lender or Issuing Lender will not be obligated to utilize such other lending or
letter of credit office pursuant to this subsection 2.8 unless the applicable
Borrower agrees to pay all incremental expenses incurred by such Lender or
Issuing Lender as a result of utilizing such other lending or letter of credit
office as described in clause (i) above or if the use of such other office is
inconsistent with the internal policies of such Lender or any applicable legal
or regulatory restrictions. A certificate as to the amount of any such expenses
payable by a Borrower pursuant to this subsection 2.8 (setting forth in
reasonable detail the basis for requesting such amount) submitted by such Lender
or Issuing Lender to such Borrower (with a copy to Administrative Agent) shall
be conclusive absent manifest error.

     B. If any Borrower receives a notice pursuant to subsection 2.6C, Borrowers
shall have the right, if no Potential Event of Default or Event of Default then
exists, to replace such Lender (a "REPLACED LENDER") with one or more Eligible
Assignees (collectively, the "REPLACEMENT LENDER") acceptable to Administrative
Agent; provided that (i) at the time of any replacement pursuant to this
subsection 2.8B, the Replacement Lender shall enter into one or more Assignment
Agreements pursuant to subsection 10.1B (and with all fees payable pursuant to
such subsection 10.1B to be paid by the Replacement Lender) pursuant to which
the Replacement Lender shall acquire all of the outstanding Loans and
Commitments of, and in each case participations in Letters of Credit and Swing
Line Loans by, the Replaced Lender and, in connection therewith, shall pay to
(x) the Replaced Lender in respect thereof an amount equal to the sum of (A) an
amount equal to the principal of, and all accrued interest on, all outstanding

                                   Annex B-1
<PAGE>

Loans of the Replaced Lender, (B) an amount equal to all unpaid drawings with
respect to Letters of Credit that have been funded by (and not reimbursed to)
such Replaced Lender, together with all then unpaid interest with respect
thereto at such time and (C) an amount equal to all accrued, but theretofore
unpaid, fees owing to the Replaced Lender with respect thereto, (y) the
appropriate Issuing Lender an amount equal to such Replaced Lender's Pro Rata
Share of any unpaid drawings with respect to Letters of Credit (which at such
time remains an unpaid drawing) issued by it to the extent such amount was not
theretofore funded by such Replaced Lender, and (z) Swing Line Lender an amount
equal to such Replaced Lender's Pro Rata Share of any Refunded Swing Line Loans
to the extent such amount was not theretofore funded by such Replaced Lender,
and (ii) all obligations (including without limitation all such amounts, if any,
owing under subsection 2.6D) of Company owing to the Replaced Lender (other than
those specifically described in clause (i) above in respect of which the
assignment purchase price has been, or is concurrently being, paid), shall be
paid in full to such Replaced Lender concurrently with such replacement. Upon
the execution of the respective Assignment Agreements, recordation of such
assignment in the Register by Administrative Agent pursuant to subsection 2.1D,
the payment of amounts referred to in clauses (i) and (ii) above and delivery to
the Replacement Lender of the appropriate Note or Notes executed by Borrowers,
the Replacement Lender shall become a Lender hereunder and the Replaced Lender
shall cease to constitute a Lender hereunder except with respect to
indemnification provisions under this Agreement which by the terms of this
Agreement survive the termination of this Agreement, which indemnification
provisions shall survive as to such Replaced Lender. Notwithstanding anything to
the contrary contained above, no Issuing Lender may be replaced hereunder at any
time while it has Letters of Credit outstanding hereunder unless arrangements
satisfactory to such Issuing Lender (including the furnishing of a Standby
Letter of Credit in form and substance, and issued by an issuer, satisfactory to
such Issuing Lender or the furnishing of cash collateral in amounts and pursuant
to arrangements satisfactory to such Issuing Lender) have been made with respect
to such outstanding Letters of Credit.

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                                   Annex B-2
<PAGE>

                                     ANNEX C

2.9  INDEMNIFYING LENDERS.

     A. PURCHASE OF PARTICIPATIONS BY INDEMNIFYING LENDERS. Upon the execution
of this Agreement or an Assignment Agreement, as the case may be, (1) each UK
Indemnifying Lender shall be deemed to, and hereby agrees to, have irrevocably
purchased an Indemnity Participation (as defined below) from Administrative
Agent in the UK Revolving Loan Commitment of Administrative Agent, including
without limitation the UK Revolving Loans and the participations purchased by
Administrative Agent pursuant to subsection 3.1C in the Letters of Credit issued
by Administrative Agent for the benefit of Goss UK and any drawings thereunder,
(2) each French Indemnifying Lender shall be deemed to, and hereby agrees to,
have irrevocably purchased an Indemnity Participation (as defined below) from
Administrative Agent in the French Revolving Loan Commitment of Administrative
Agent, including without limitation the French Revolving Loans and the
participations purchased by Administrative Agent pursuant to subsection 3.1C in
the Letters of Credit issued by Administrative Agent for the benefit of Goss
France and any drawings thereunder, and (3) each Japanese Indemnifying Lender
shall be deemed to, and hereby agrees to, have irrevocably purchased a
participation (the "INDEMNITY PARTICIPATION") from Administrative Agent in the
Japanese Revolving Loan Commitment of Administrative Agent, including without
limitation the Japanese Revolving Loans and the participations purchased by
Administrative Agent pursuant to subsection 3.1C in the Letters of Credit issued
by the Administrative Agent and any drawings thereunder, in each case in a
proportionate amount based on such Indemnifying Lender's Indemnity Amount. Upon
the occurrence of a Triggering Event, each Indemnifying Lender, upon one
Business Day's notice from Administrative Agent, shall deliver to Administrative
Agent by wire transfer in immediately available funds its proportionate share
based on its Indemnity Amount of the aggregate unpaid principal amount of
Administrative Agent's UK Revolving Loans, French Revolving Loans or Japanese
Revolving Loans, as the case may be, and any accrued and unpaid interest thereon
and the aggregate unreimbursed amount of any payments made by Administrative
Agent pursuant to subsection 3.3C to the applicable Issuing Lender with respect
to any unreimbursed drawings on Letters of Credit issued by such Issuing Lender.
Each Indemnifying Lender's obligations under this subsection 2.9 shall be
absolute and unconditional and shall not be affected by any circumstance,
including, without limitation, (a) any set-off, counterclaim, recoupment,
defense or other right which Administrative Agent or any Lender may have against
Administrative Agent, Loan Party or other Person for any reason whatsoever; (b)
the occurrence or continuance of an Event of Default or a Potential Event of
Default; (c) any adverse change in the condition (financial or otherwise) of any
Loan Party; (d) any breach of this Agreement by any Loan Party, Administrative
Agent or any Lender; or (e) any other circumstance, happening, or event
whatsoever, whether or not similar to any of the foregoing; provided that the
obligations of each Indemnifying Lender are subject to the condition that at the
time such UK Revolving Loan, French Revolving Loan or Japanese Revolving Loan,
as the case may be, was made or such Letter of Credit was issued the duly
authorized officer of Administrative Agent responsible for the administration of
the credit relationship with Goss UK,

                                   Annex C-1
<PAGE>

Goss France or Goss Japan, as the case may be, believed in good faith that
either (x) no Event of Default had occurred and was continuing or (y) any Event
of Default that had occurred and was continuing had been waived by Requisite
Lenders at the time such UK Revolving Loan, French Revolving Loan or Japanese
Revolving Loan, as the case may be, was made or such Letter of Credit was
issued.

     B. PAYMENT OF INDEMNITY FEES. Administrative Agent shall promptly pay by
wire transfer of immediately available funds to each applicable Indemnifying
Lender, as an indemnity fee for the Indemnity Participation provided to
Administrative Agent by such Indemnifying Lender in this subsection 2.9, the
following amounts, in each case in proportion to such Indemnifying Lender's
Indemnity Amount: (i) with respect to the UK Revolving Loans, French Revolving
Loans or Japanese Revolving Loans, as the case may be, an amount equal to (x)
the excess of the interest received by Administrative Agent pursuant to
subsection 2.2C from Goss UK, from Goss France or Goss Japan, as the case may
be, over the Adjusted Offshore Rate on such UK Revolving Loans, French Revolving
Loans or Japanese Revolving Loans less (y) 0.125% per annum to be retained by
Administrative Agent as an Indemnity Participation fee; (ii) with respect to
Letters of Credit, (x) letter of credit fees received by Administrative Agent
pursuant to subsections 3.2(i)(b) and 3.2(ii)(b) from the applicable Issuing
Lender less (y) 0.125% per annum to be retained by Administrative Agent as an
Indemnity Participation fee; and (iii) commitment fees received by
Administrative Agent pursuant to subsection 2.3A from Administrative Agent;
provided that if any such indemnity fee is less than $10,000, Administrative
Agent shall not be required to so promptly pay such indemnity fee to an
Indemnifying Lender until the aggregate unpaid amount of indemnity fees
accumulates to an amount exceeding $10,000. The excess, if any, of the interest
payable to Administrative Agent on the UK Revolving Loans, the French Revolving
Loans or Japanese Revolving Loans, as the case may be, over the interest
distributable to an Indemnifying Lender under this subsection 2.9B in respect
thereof, and the excess, if any, of the letter of credit and commitment fees
payable to Administrative Agent over and in addition to the letter of credit and
commitment fees distributable to such Indemnifying Lender under this subsection
2.9B, shall be retained by Administrative Agent.

     C. OTHER PAYMENTS. Provided that an Indemnifying Lender shall have made any
payments to Administrative Agent required by this subsection 2.9, including the
payments required to be made upon the occurrence of a Triggering Event pursuant
to subsection 2.9A, Administrative Agent shall promptly pay by wire transfer of
immediately available funds to such Indemnifying Lender any principal or other
payments thereafter recovered by Administrative Agent from Goss UK, Goss France
or Goss Japan, as the case may be, to the extent allocable to such Indemnifying
Lender's Indemnity Participation. If Administrative Agent shall pay any amount
to an Indemnifying Lender pursuant to this subsection 2.9 in the belief or
expectation that a related payment has been or will be received or collected and
such related payment is not received or collected by Administrative Agent, then
such Indemnifying Lender will promptly on demand by Administrative Agent return
such amount to Administrative Agent, together with interest thereon at such rate
as Administrative Agent shall determine to be customary between banks for
correction of errors. If Administrative Agent determines at any time that any
amount

                                   Annex C-2
<PAGE>

received or collected by Administrative Agent pursuant to this Agreement is to
be returned to Goss UK, Goss France or Goss Japan, as the case may be, under
this Agreement or paid to any other Person or entity pursuant to any insolvency
law, any sharing clause in this Agreement, or otherwise, then, notwithstanding
any other provision of this Agreement, Administrative Agent shall not be
required to distribute any portion thereof to any Indemnifying Lender, and each
Indemnifying Lender will promptly on demand by Administrative Agent repay any
portion that Administrative Agent shall have distributed to such Indemnifying
Lender, together with interest thereon at such rate, if any, as Administrative
Agent shall pay to Goss UK, Goss France or Goss Japan, as the case may be, or
such other Person or entity with respect thereto. If any amounts returned by
Administrative Agent to Goss UK, Goss France or Goss Japan, as the case may be,
pursuant to this subsection 2.9 are later recouped by Administrative Agent,
Administrative Agent shall promptly pay to each Indemnifying Lender a
proportionate amount based on such Indemnifying Lender's Indemnity Amount.

     D. INDEMNITY FOR COSTS AND EXPENSES. If Administrative Agent incurs any
costs or expenses (including, without limitation, in indemnifying Administrative
Agent pursuant to subsection 9.4) in connection with any effort to enforce or
protect Administrative Agent's or any Indemnifying Lender's rights or interests
with respect to this Agreement or the other Loan Documents, then, other than in
the case of Administrative Agent's gross negligence or willful misconduct, each
Indemnifying Lender will reimburse Administrative Agent on demand for each such
Indemnifying Lender's proportionate share based on such Indemnifying Lender's
Indemnity Amount of any portion of such costs or expenses which is not
reimbursed by or on behalf of Goss UK, Goss France or Goss Japan, as the case
may be. If Administrative Agent recovers any amounts for which Administrative
Agent has previously been reimbursed by an Indemnifying Lender hereunder,
Administrative Agent shall promptly distribute to such Indemnifying Lender such
Indemnifying Lender's proportionate share thereof based on such Indemnifying
Lender's Indemnity Amount.

     E. CERTAIN TAX MATTERS. Each Indemnifying Lender agrees to deliver to
Administrative Agent from time to time upon request such certificates,
statements, documents, forms or other evidence, properly completed and executed
by such Indemnifying Lender, as may be required at any time in order to comply
with any applicable tax laws or regulations or to confirm or maintain in effect
such Indemnifying Lender's entitlement to exemption from or reduction of any
applicable withholding tax on any payments hereunder. Each Indemnifying Lender
hereby agrees to indemnify and hold harmless Administrative Agent from any
applicable taxes, penalties, interest and other expenses, costs and losses
incurred or payable by Administrative Agent as a result of either (i) such
Indemnifying Lender's failure to submit any statement, document, form or
certificate or other evidence that such Indemnifying Lender is required to
provide pursuant to this subsection or (ii) Administrative Agent's reliance on
any such statement, document, form or certificate or other evidence which such
Indemnifying Lender has provided to Administrative Agent pursuant to this
subsection.

     F. INDEMNIFYING LENDER CONSENT. Notwithstanding any provision to the
contrary contained in this Agreement or the other Loan Documents and so long as
an

                                   Annex C-3
<PAGE>

Indemnifying Lender has not failed to make any payments required to be made by
such Indemnifying Lender under this subsection 2.9 or is not otherwise in
default under its obligations under this subsection 2.9, Administrative Agent
hereby agrees that, to the extent of but only to the extent of such Indemnifying
Lender's proportionate share based on its Indemnity Amount, Administrative Agent
will not agree to any amendment, modification, termination or waiver of any
provision of this Agreement or the other Loan Documents, or to any departure by
Goss UK, Goss France or Goss Japan, as the case may be, therefrom, in each case
related to the Indemnity Participation without the prior written consent of such
Indemnifying Lender. Nothing herein contained shall prevent Administrative Agent
from consenting to any amendment, modification, termination or waiver of any
provision of this Agreement or the other Loan Documents, or to any departure by
Goss UK, Goss France or Goss Japan, as the case may be, therefrom, to the extent
unrelated to the Indemnity Participation or to the extent that Administrative
Agent's interests or Pro Rata Share is not related to the Indemnity
Participation or the Indemnity Amount.

     G. FAILURE TO MAKE REQUIRED PAYMENTS. In the event that any Person
obligated to make a payment to any other Person pursuant to this subsection 2.9
fails to make available to the Person entitled to receive such payment the
amount of such payment, the Person entitled to receive such payment shall be
entitled to recover such amount on demand from such other Person, together with
interest at the customary rate set by Administrative Agent for the correction of
errors among Lenders for three Business Days and thereafter at the sum of the
Base Rate plus 1.50% per annum.

     H. ASSIGNMENT MATTERS. Administrative Agent may from time to time sell or
transfer to other Persons assignments or participations or other interests in
Administrative Agent's UK Revolving Loans and UK Revolving Loan Commitments,
French Revolving Loans and French Revolving Loan Commitments or Japanese
Revolving Loans and Japanese Revolving Loan Commitments, as the case may be, but
not in the portion thereof allocated to the Indemnity Participation hereunder.
An Indemnifying Lender's Indemnity Participation may not be sold, pledged,
assigned, or otherwise transferred (i) without Administrative Agent's prior
written consent; provided that this restriction shall not apply to any such
transfer to any of such Indemnifying Lender's Affiliates; or (ii) without a pro
rata assignment in accordance with subsection 10.1B of each Type of Revolving
Loan Commitment and Revolving Loan held by such Indemnifying Lender.

     I. MISCELLANEOUS. In no event shall the Indemnity Participation be
construed as a loan or other extension of credit by an Indemnifying Lender to
Administrative Agent. In no event shall this Agreement be construed to require
an Indemnifying Lender to make any Loans or to otherwise extend any credit to
Goss UK, Goss France or Goss Japan, as the case may be, or to Administrative
Agent under this Agreement or under the other Loan Documents. In no event shall
this Agreement be construed to require an Indemnifying Lender to fund or pay to
Administrative Agent such Indemnifying Lender's Indemnity Amount except upon the
occurrence of a Triggering Event pursuant to subsection 2.9A. Each Indemnifying
Lender agrees that Administrative Agent may take legal action to enforce or
protect an Indemnifying Lender's or Administrative Agent's interests in respect
of this Agreement and the other Loan Documents.

                                   Annex C-4
<PAGE>

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                                   Annex C-5

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