Document:

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                                                                     EXHIBIT 4.1

                          TRANSACTION OPTION AGREEMENT

         THIS TRANSACTION OPTION AGREEMENT (this "Agreement") is entered into as
of February 19, 2002, by and between Cytyc Corporation, a Delaware corporation
("Parent"), and Digene Corporation, a Delaware corporation (the "Company").

         WHEREAS, concurrently with the execution and delivery of this
Agreement, the Company, Parent and Merger Sub, a Delaware corporation and a
newly-formed, wholly-owned direct subsidiary of Parent ("Merger Sub"), are
entering into an Agreement and Plan of Merger, dated as of the date hereof (the
"Merger Agreement"), which provides, among other things, for a business
combination between Parent and the Company to be effected by the merger of
Merger Sub with and into the Company upon the terms and subject to the
conditions of the Merger Agreement; and

         WHEREAS, as a condition to Parent's willingness to enter into the
Merger Agreement, Parent has requested that the Company agree, and the Company
has agreed, to grant the Option (as hereinafter defined) to Parent upon the
terms and subject to the conditions set forth herein;

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

         SECTION 1. Grant of Option. The Company hereby grants to Parent an
irrevocable option (the "Option") to purchase, subject to the terms hereof, up
to a number of shares (the "Option Shares") of fully paid and nonassessable
common stock, par value $0.01 per share, of the Company ("Company Common
Stock"), equal to 19.9% of the number of shares of Company Common Stock issued
and outstanding (before giving effect to the exercise of the Option) in
accordance with Section 2 of this Agreement at a purchase price per share in
cash equal to $28.81 (the "Option Price"). The number and type of Option Shares
and the Option Price are subject to adjustment as set forth herein.

         SECTION 2.  Exercise of Option.

                (a)     Parent may exercise the Option, in whole or in part and
from time to time on or after the Appointment Time if, but only if, after giving
effect to the exercise of the Option and as a result of such exercise, the
number of shares of the Company Common Stock then owned by Parent and Merger Sub
will represent at least 90.1% of the shares of the Company Common Stock then
outstanding.

                (b)     In the event that Parent desires to exercise the Option,
it shall deliver to the Company a written notice (such notice being herein
referred to as an "Exercise Notice" and the date of issuance of an Exercise
Notice being herein referred to as the "Notice Date") specifying (i) the total
number of Option Shares it desires to purchase pursuant to such exercise and
(ii) a place and date, not earlier than three (3) business days nor later than
ten (10) business days from the Notice Date, for the closing of such purchase
(the "Option Closing Date"); provided, that if the closing of the purchase and
sale pursuant to the Option (the "Option

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Closing") cannot be consummated, by reason of any applicable decree, injunction
or order, the period of time that otherwise would run pursuant to this Section
2(b) shall run instead from the date on which such restriction on consummation
has expired or been terminated; and provided further, without limiting the
foregoing, that if, in the reasonable opinion of Parent, prior notification to
or approval of any regulatory agency is required in connection with such
purchase, the Company or Parent, as the case may be, shall promptly file the
required notice or application for approval and shall expeditiously process the
same and the period of time that otherwise would run pursuant to this sentence
shall run instead from the date on which any required notification periods have
expired or been terminated or such approvals have been obtained and any
requisite waiting period or periods shall have passed.

                (c)     At the Option Closing, Parent shall pay to the Company
the aggregate Option Price for the number of shares of Company Common Stock or
other securities being purchased pursuant to the exercise of the Option in
immediately available funds by wire transfer to a bank account designated by the
Company; provided that failure or refusal of the Company to designate such a
bank account shall not preclude Parent from exercising the Option; and provided,
further, that failure or refusal of the Company to designate such a bank account
shall not preclude Parent from exercising the Option by delivering a bank check
in the amount of the aggregate Option Price to the Company at the address set
forth in the Merger Agreement for the Company no later than Option Closing Date.

                (d)     At the Option Closing, simultaneously with the delivery
of immediately available funds or bank check as provided in Section 2(c) hereof,
the Company shall deliver to Parent a certificate or certificates representing
the number of Option Shares purchased by Parent and, if the Option should be
exercised in part only, a new agreement substantially similar to this Agreement
evidencing the rights of Parent thereof to purchase the balance of the Option
Shares purchasable hereunder. If at the time of issuance of any Option Shares
pursuant to an exercise of all or part of the Option hereunder, the Company
shall have issued any rights or other securities which are attached to or
otherwise associated with the Company Common Stock, then each Option Share
issued pursuant to such exercise shall also represent such rights or other
securities with terms substantially the same as and at least as favorable to
Parent as are provided to stockholders generally and, if applicable, under any
stockholder rights agreement or similar agreement of the Company then in effect.

                (e)     Certificates for Option Shares delivered at an Option
Closing hereunder may be endorsed with a restrictive legend that shall read
substantially as follows:

         "THE SECURITIES REPRESENTED HEREBY ARE SUBJECT TO RESTRICTIONS ON
         TRANSFERABILITY AND RESALE AND MAY NOT BE TRANSFERRED OR RESOLD EXCEPT
         AS PERMITTED UNDER THE SECURITIES ACT OF 1933, AS AMENDED AND
         APPLICABLE STATE SECURITIES LAWS, PURSUANT TO REGISTRATION OR EXEMPTION
         THEREFROM."

         It is understood and agreed that the reference to the resale
restrictions of the Securities Act of 1933, as amended (the "Securities Act"),
in the above legend shall be removed by delivery of substitute certificate(s)
without such reference if Parent shall have delivered to the Company a

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copy of a letter from the staff of the Securities and Exchange Commission (the
"SEC"), or an opinion of counsel reasonably satisfactory to the Company, to the
effect that such legend is not then required for purposes of the Securities Act.

                (f)     Upon the delivery by Parent to the Company of the
Exercise Notice, and the tender of the applicable Option Price in immediately
available funds or by bank check, Parent shall be deemed to be the holder of
record of the Option Shares issuable upon such exercise, notwithstanding that
the stock transfer books of the Company shall then be closed or that
certificates representing such Option Shares shall not then be actually
delivered to Parent or the Company shall have failed or refused to designate the
bank account described in Section 2(d). The Company shall pay all expenses that
may be payable in connection with the preparation, issuance and delivery of
stock certificates under this Section 2 in the name of Parent. Parent shall pay
all expenses that may be payable in connection with the issuance and delivery of
stock certificates or a substitute option agreement in the name of any assignee,
transferee or designee of Parent.

         SECTION 3. Covenants of the Company. In addition to its other
agreements and covenants herein, the Company agrees (i) that it shall at all
times maintain, free from preemptive rights, sufficient authorized but unissued
or treasury shares of Company Common Stock (and other securities of the Company)
issuable pursuant to this Agreement so that the Option may be exercised without
additional authorization of Company Common Stock after giving effect to all
other options, warrants, convertible securities and other rights to purchase
Company Common Stock; (ii) that it will not, by charter amendment or through
reorganization, consolidation, merger, dissolution or sale of assets, or by any
other voluntary act, avoid or seek to avoid the observance or performance of any
of the covenants, stipulation or conditions to be observed or performed
hereunder by the Company; (iii) promptly to take any and all action as may from
time to time be required (including complying with all premerger notification,
reporting and waiting requirements under the Hart-Scott-Rodino Antitrust
Improvements Act of 1976, as amended, and the rules and regulations promulgated
thereunder) in order to permit Parent to exercise the Option and the Company to
duly and effectively issue Option Shares pursuant hereto; and (iv) promptly to
take all action provided herein to protect the rights of Parent against dilution
in accordance with Section 5 hereof.

         SECTION 4. Exchange; Replacement. This Agreement (and the Option
granted hereby) are exchangeable, without expense, at the option of Parent, upon
presentation and surrender of this Agreement at the principal office of the
Company, for other agreements providing for Options of different denominations
entitling the holder thereof to purchase, on the same terms and subject to the
same conditions as are set forth herein, in the aggregate the same number of
shares of Company Common Stock purchasable hereunder. The terms "Agreement" and
"Option" as used herein include any agreements and related options for which
this Agreement (and the Option granted hereby) may be exchanged. Upon receipt by
the Company of evidence reasonably satisfactory to it of the loss, theft,
destruction or mutilation of this Agreement, and (in the case of loss, theft or
destruction) of reasonably satisfactory indemnification, and upon surrender and
cancellation of this Agreement, if mutilated, the Company will execute and
deliver a new Agreement of like tenor and date.

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         SECTION 5. Adjustments. The number of shares of Company Common Stock
purchasable upon the exercise of the Option shall be subject to adjustment from
time to time as provided in this Section 5. In the event of any change in, or
distributions in respect of, Company Common Stock by reason of stock dividends,
splits, mergers, recapitalizations, combinations, subdivisions, conversions,
exchanges of shares or other similar transactions, then that which is then
purchasable upon exercise hereof shall be appropriately adjusted so that Parent
shall receive upon exercise of the Option and payment of the aggregate Option
Price hereunder the number and class of shares or other securities or property
(including cash) that Parent would have owned or been entitled to receive after
the happening of any of the events described above if the Option had been
exercised immediately prior to such event, or the record date therefor, as
applicable. Whenever the number of shares of Company Common Stock subject to
this Option is adjusted pursuant to this Section 5, the Option Price shall be
appropriately adjusted in such manner as shall fully preserve the economic
benefits provided hereunder and proper provision shall be made in any agreement
governing any such transaction to provide for such proper adjustment and the
full satisfaction of the Company's obligations hereunder.

         SECTION 6. Representations and Warranties of the Company. The Company
hereby represents and warrants to Parent as follows:

                (a)     The Company has full corporate power and authority to
execute and deliver this Agreement and to consummate the transactions
contemplated hereby. The execution and delivery of this Agreement and the
consummation of the transactions contemplated hereby have been duly and validly
authorized by the board of directors of the Company and no other corporate
proceedings on the part of the Company are necessary to authorize this Agreement
or to consummate the transactions so contemplated. This Agreement has been duly
and validly executed and delivered by the Company.

                (b)     The Company has taken all necessary corporate action to
authorize and reserve and to permit it to issue, and at all times from the date
hereof through the termination of this Agreement in accordance with its terms
will have reserved for issuance upon the exercise of the Option, that number of
shares of Company Common Stock equal to the maximum number of shares of Company
Common Stock at any time and from time to time issuable hereunder, and all such
shares of Company Common Stock, upon issuance pursuant hereto, will be duly
authorized, validly issued, fully paid, nonassessable, and will be delivered
free and clear of all liens and not subject to any preemptive rights.

                (c)     The execution and delivery of this Agreement does not,
and the consummation of the transactions contemplated hereby will not, conflict
with, or result in any violation pursuant to any provisions of the certificate
of incorporation or bylaws of the Company or any subsidiary of the Company, or
of any loan or credit agreement, note, mortgage, indenture, lease, plan or other
agreement, contractual obligation, instrument, permit, concession, franchise or
license applicable to the Company or any subsidiary of the Company or their
respective properties or assets.

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                (d)     No "fair price", "moratorium", "control share
acquisition" or other similar anti-takeover statute or regulation enacted under
state or federal laws applicable to the Company or any of its subsidiaries will
apply to this Agreement or the transactions contemplated hereby. The Company has
taken, and will in the future take, all steps necessary to irrevocably exempt
the transactions contemplated by this Agreement from any other applicable state
takeover law and from any applicable charter provision containing change of
control or anti-takeover provisions.

         SECTION 7. Representations and Warranties of Parent. Parent hereby
represents and warrants to the Company as follows:

                (a)     Parent has full corporate power and authority to execute
and deliver this Agreement and to consummate the transactions contemplated
hereby. The execution and delivery of this Agreement and the consummation of the
transactions contemplated hereby have been duly and validly authorized by the
board of directors of Parent and no other corporate proceedings on the part of
Parent are necessary to authorize this Agreement or to consummate the
transactions so contemplated. This Agreement has been duly and validly executed
and delivered by Parent.

                (b)     Parent is entering into this Agreement and is acquiring
and/or will acquire the Option Shares for its own account and not with a view to
resale or distribution of all or any part of the Option Shares in violation of
applicable law.

         SECTION 8. Assignment. Neither of the parties hereto may assign any of
its rights or obligations under this Agreement or the Option created hereunder
to any other person without the express written consent of the other party.

         SECTION 9. Best Efforts. Each of Parent and the Company will use its
reasonable best efforts to make all filings with, and to obtain consents of, all
third parties and Governmental Entities necessary to the consummation of the
transactions contemplated by this Agreement, including without limitation, if
applicable, making application to list the shares of Company Common Stock
issuable hereunder on the Nasdaq National Market of The Nasdaq Stock Market upon
official notice of issuance.

         SECTION 10. Specific Performance. The parties hereto acknowledge that
damages would be an inadequate remedy for a breach of this Agreement by either
party hereto and that the obligations of the parties hereto shall be enforceable
by either party hereto through injunctive or other equitable relief.

         SECTION 11. Severability. If any term or other provision of this
Agreement is invalid, illegal or incapable of being enforced by any rule or law,
or public policy, all other conditions and provisions of this Agreement shall
nevertheless remain in full force and effect. Upon such determination that any
term or other provision is invalid, illegal or incapable of being enforced, the
parties hereto shall negotiate in good faith to modify this Agreement so as to
effect the original intent of the parties as closely as possible to the fullest
extent permitted by applicable law in a mutually acceptable manner in order that
the terms of this Agreement remain as originally contemplated to the fullest
extent possible.

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         SECTION 12. Notices. All notices, claims, demands and other
communications hereunder shall be deemed to have been duly given or made when
delivered in person, by registered or certified mail (postage prepaid, return
receipt requested), by overnight courier or by facsimile at the respective
addresses of the parties set forth in the Merger Agreement,

         SECTION 13. Governing Law. This Agreement shall be governed by and
construed in accordance with the laws of the State of Delaware, regardless of
the laws that might otherwise govern under applicable principles of conflicts of
laws thereof.

         SECTION 14. Counterparts. This Agreement may be executed in any number
of counterparts, each of which will be deemed to be an original, but all of
which shall constitute one and the same agreement.

         SECTION 15. Definitions. Capitalized terms used and not defined herein
shall have the meanings set forth in the Merger Agreement.

         SECTION 16. Expenses. Notwithstanding anything to the contrary in the
Merger Agreement, each of the parties hereto shall bear and pay all costs and
expenses incurred by it or on its behalf in connection with the transactions
contemplated hereunder.

         SECTION 17. Termination. This Agreement shall terminate upon the
earlier of the Effective Time or termination of the Merger Agreement for any
reason in accordance with its terms.

         SECTION 18. Entire Agreement. Except as otherwise expressly provided
herein or in the Merger Agreement, this Agreement contains the entire agreement
between the parties with respect to the transactions contemplated hereunder and
supersedes all prior arrangements or understandings with respect thereof,
written or oral. The terms and conditions of this Agreement shall inure to the
benefit of and be binding upon the parties hereto and their respective
successors and permitted assigns. Nothing in this Agreement, express or implied,
is intended to confer upon any party, other than the parties hereto, and their
successors and permitted assigns, any rights, remedies, obligations or
liabilities under or by reason of this Agreement, except as expressly provided
herein. Any provision of this Agreement may be waived only in writing at any
time by the party that is entitled to the benefits of such provision. This
Agreement may not be modified, amended, altered or supplemented except upon the
execution and delivery of a written agreement executed by the parties hereto.

         SECTION 19. Further Assurances. In the event of any exercise of the
Option by Parent, the Company and Parent shall execute and deliver all other
documents and instruments and take all other action that may be reasonably
necessary to the fullest extent permitted by law in order to consummate the
transactions provided for by such exercise. Nothing contained in this Agreement
shall be deemed to authorize the Company or Parent to breach any provision of
the Merger Agreement.

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         IN WITNESS WHEREOF, each of the parties hereto has caused this
Transaction Option Agreement to be executed as of the date first written above
by their respective officers thereunto duly authorized.

                                     CYTYC CORPORATION

                                     By: /s/ Patrick J. Sullivan
                                        ----------------------------------------
                                     Name.  Patrick J. Sullivan
                                     Title: Chief Executive Officer

                                     DIGENE CORPORATION

                                     By: /s/ Charles M. Fleischman
                                        ----------------------------------------
                                     Name:  Charles M. Fleischman
                                     Title: PresidentEXECUTION VERSION

                                                                    Exhibit 4(b)

                          HANGER ORTHOPEDIC GROUP, INC.

                          10 3/8% SENIOR NOTES DUE 2009

                          REGISTRATION RIGHTS AGREEMENT

                                                               February 15, 2002

Lehman Brothers Inc.
J.P. Morgan Securities Inc.
Salomon Smith Barney Inc.
BNP Paribas Securities Corp.
c/o Lehman Brothers Inc.
745 Seventh Avenue
New York, New York 10019

Ladies and Gentlemen:

       Hanger Orthopedic Group, Inc., a Delaware corporation (the "Company"),
proposes to issue and sell (the "Initial Placement") to Lehman Brothers Inc.,
J.P. Morgan Securities Inc., Salomon Smith Barney Inc. and BNP Paribas
Securities Corp. (the "Initial Purchasers"), upon terms set forth in a purchase
agreement dated as of February 8, 2002 (the "Purchase Agreement") among the
Company, the subsidiary guarantors named therein (the "Guarantors") and the
Initial Purchasers, $200,000,000 of its 10 3/8% Senior Notes due 2009 (the
"Initial Notes"). As an inducement to the Initial Purchasers to enter into the
Purchase Agreement and purchase the Initial Notes and in satisfaction of a
condition to the Initial Purchasers' obligations under the Purchase Agreement,
the Company and the Guarantors agree with each of the Initial Purchasers for the
benefit of the holders from time to time of the Initial Notes (including the
Initial Purchasers and the Market Maker (as defined below)) (each of the
foregoing a "Holder" and together the "Holders"), as follows:

       1. Definitions. Capitalized terms used herein without definition shall
have their respective meanings set forth in the Purchase Agreement. As used in
this Agreement, the following capitalized defined terms shall have the following
meanings:

              "Affiliate" of any specified person means any other person that,
       directly or indirectly, is in control of, is controlled by, or is under
       common control with, such specified person. For purposes of this
       definition, control of a person means the power, direct or indirect, to
       direct or cause the direction of the management and policies of such
       person whether by contract or otherwise; and the terms "controlling" and
       "controlled" have meanings correlative to the foregoing.

              "Business Day" means each Monday, Tuesday, Wednesday, Thursday or
       Friday which is not a day on which banking institutions in New York, New
       York are generally authorized or obligated by law or executive order to
       close.

              "Closing Date" has the meaning set forth in the Purchase
       Agreement.

              "Commission" means the Securities and Exchange Commission.

              "Company" has the meaning set forth in the preamble hereto.

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              "Damages Payment Date" means, with respect to the Initial Notes,
       each date on which interest is paid in accordance with the Indenture.

              "Delay Period" has the meaning set forth in Section 5(i) hereof.

              "Exchange Act" means the Securities Exchange Act of 1934, as
       amended, and the rules and regulations of the Commission promulgated
       thereunder.

              "Exchange Offer" means the proposed offer to the Holders to issue
       and deliver to such Holders, in exchange for the Notes, a like aggregate
       principal amount of Exchange Notes.

              "Exchange Offer Consummation Deadline" has the meaning set forth
       in Section 2(a) hereof.

              "Exchange Offer Effectiveness Deadline" has the meaning set forth
       in Section 2(a) hereof.

              "Exchange Offer Filing Deadline" has the meaning set forth in
       Section 2(a) hereof.

              "Exchange Offer Registration Period" means the longer of (A) the
       period until the expiration of the Exchange Offer and (B) two years after
       effectiveness of the Exchange Offer Registration Statement, exclusive of
       any period during which any stop order shall be in effect suspending the
       effectiveness of the Exchange Offer Registration Statement; provided,
       however, that in the event that all resales of Exchange Notes (including,
       subject to the time periods set forth herein, any resales by Exchanging
       Dealers) covered by such Exchange Offer Registration Statement have been
       made, the Exchange Offer Registration Statement need not remain
       continuously effective for the period set forth in clause (B) above.

              "Exchange Offer Registration Statement" means a Registration
       Statement of the Company on an appropriate form under the Securities Act
       with respect to the Exchange Offer, all amendments and supplements to
       such Registration Statement, including post-effective amendments, in each
       case including the Prospectus contained therein, all exhibits thereto and
       all material incorporated by reference therein.

              "Exchange Notes" means securities issued by the Company, identical
       in all material respects to the Notes to be issued under the Indenture.

              "Exchanging Dealer" means any Holder (which may include the
       Initial Purchasers) that is a broker-dealer, electing to exchange Notes
       acquired for its own account as a result of market-making activities or
       other trading activities for Exchange Notes.

              "Guarantors" has the meaning set forth in the preamble hereto.

              "Holder" has the meaning set forth in the preamble hereto.

              "Indenture" means the Indenture, dated as of February 15, 2002,
       among the Company, the Guarantors and Wilmington Trust Company, as
       trustee, pursuant to which the Notes are to be issued, as such Indenture
       is amended or supplemented from time to time in accordance with the terms
       thereof.

              "Initial Notes" means the 10 3/8% Senior Notes due 2009, of the
       same series under the Indenture as the Exchange Notes, for so long as
       such securities constitute Transfer Restricted Securities.

              "Initial Placement" has the meaning set forth in the preamble
       hereto.

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              "Initial Purchasers" has the meaning set forth in the preamble
       hereto.

              "Losses" has the meaning set forth in Section 7(d) hereto.

              "Majority Holders" means the Holders of a majority of the
       aggregate principal amount of Notes registered under a Registration
       Statement.

              "Managing Underwriters" means the investment banker or investment
       bankers and manager or managers that shall administer an underwritten
       offering under a Shelf Registration Statement.

              "Market-Making Registration Statement" has the meaning set forth
       in Section 3(a) hereto.

              "Market Maker" has the meaning set forth in Section 3(a) hereto.

              "Notes" means the Initial Notes and Exchange Notes.

              "Offering Memorandum" has the meaning set forth in the Purchase
       Agreement.

              "Prospectus" means the prospectus included in any Registration
       Statement (including, without limitation, a prospectus that discloses
       information previously omitted from a prospectus filed as part of an
       effective registration statement in reliance upon Rule 430A under the
       Securities Act), as amended or supplemented by any prospectus supplement,
       with respect to the terms of the offering of any portion of the Notes
       covered by such Registration Statement, and all amendments and
       supplements to the Prospectus, including post-effective amendments.

              "Purchase Agreement" has the meaning set forth in the preamble
       hereto.

              "Registration Default" has the meaning set forth in Section 6(b)
       hereof.

              "Registration Statement" means any Exchange Offer Registration
       Statement, Market-Making Registration Statement or Shelf Registration
       Statement pursuant to the provisions of this Agreement, amendments and
       supplements to such registration statement, including post-effective
       amendments, in each case including the Prospectus contained therein, all
       exhibits thereto, and all material incorporated by reference therein.

              "Securities Act" means the Securities Act of 1933, as amended, and
       the rules and regulations of the Commission promulgated thereunder.

              "Shelf Effectiveness Deadline" has the meaning set forth in
       Section 4(b) hereof.

              "Shelf Filing Deadline" has the meaning set forth in Section 4(a)
       hereof.

              "Shelf Registration" means a registration effected pursuant to
       Section 4 hereof.

              "Shelf Registration Period" has the meaning set forth in Section
       4(b) hereof.

              "Shelf Registration Statement" means a "shelf" registration
       statement of the Company pursuant to the provisions of Section 4 hereof,
       which covers some or all of the Notes or Exchange Notes, as applicable,
       on an appropriate form under Rule 415 under the Securities Act, or any
       similar rule that may be adopted by the Commission, amendments and
       supplements to such registration statement, including post-effective
       amendments, in each case including the Prospectus contained therein, all
       exhibits thereto and all material incorporated by reference therein.

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              "Transfer Restricted Securities" means each Note until: (i) the
       date on which such Note has been exchanged by a Person other than a
       broker-dealer for an Exchange Note in the Exchange Offer; (ii) following
       the exchange by a broker-dealer in the Exchange Offer of a Note for an
       Exchange Note, the date on which such Exchange Note is sold to a
       purchaser who receives from such broker-dealer on or prior to the date of
       such sale a copy of the Prospectus contained in the Exchange Offer
       Registration Statement; (iii) the date on which such Note has been
       effectively registered under the Securities Act and disposed of in
       accordance with the Shelf Registration Statement; or (iv) the date on
       which such Note is distributed to the public pursuant to Rule 144 under
       the Securities Act.

              "Trust Indenture Act" means the Trust Indenture Act of 1939, as
       amended.

              "Trustee" means Wilmington Trust Company and any successors
       thereto.

              "Underwriter" means any underwriter of Notes in connection with an
       offering thereof under a Shelf Registration Statement.

              "Underwritten Registration" or "Underwritten Offering" means a
       registration in which the Notes of the Company are sold to an underwriter
       for reoffering to the public.

       2. Exchange Offer; Resales of Exchange Notes by Exchanging Dealers;
Private Exchange.

              (a) The Company and the Guarantors shall prepare and file with the
       Commission the Exchange Offer Registration Statement with respect to the
       Exchange Offer on or prior to the 90th calendar day after the Closing
       Date (the "Exchange Offer Filing Deadline"). The Company and the
       Guarantors shall use their respective best efforts (i) to cause the
       Exchange Offer Registration Statement to be declared effective under the
       Securities Act on or prior to the 150th calendar day following the
       Closing Date (the "Exchange Offer Effectiveness Deadline") and remain
       effective until the closing of the Exchange Offer and (ii) to consummate
       the Exchange Offer on or prior to the 30th Business Day following the
       date on which the Exchange Offer Registration Statement was declared
       effective by the Commission (the "Exchange Offer Consummation Deadline").

              (b) Upon the effectiveness of the Exchange Offer Registration
       Statement, the Company shall promptly commence the Exchange Offer, it
       being the objective of such Exchange Offer to enable each Holder electing
       to exchange Notes for Exchange Notes (assuming that such Holder (x) is
       not an "affiliate" of the Company within the meaning of the Securities
       Act, (y) is not a broker-dealer that acquired the Notes in a transaction
       other than as a part of its market-making or other trading activities and
       (z) if such Holder is not a broker-dealer, acquires the Exchange Notes in
       the ordinary course of such Holder's business, is not participating in
       the distribution of the Exchange Notes and has no arrangements or
       understandings with any person to participate in the distribution of the
       Exchange Notes) to resell such Exchange Notes from and after their
       receipt without any limitations or restrictions under the Securities Act
       and without material restrictions under the securities laws of a
       substantial proportion of the several states of the United States.

              (c) In connection with the Exchange Offer, the Company shall mail
       to each Holder a copy of the Prospectus forming part of the Exchange
       Offer Registration Statement, together with an appropriate letter of
       transmittal and related documents, stating, in addition to such other
       disclosures as are required by applicable law:

                     (i) that the Exchange Offer is being made pursuant to this
              Agreement and that all Notes validly tendered will be accepted for
              exchange;

                     (ii) the dates of acceptance for exchange;

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                     (iii) that any Notes not tendered will remain outstanding
              and continue to accrue interest, but will not retain any rights
              under this Agreement;

                     (iv) that Holders electing to have Notes exchanged pursuant
              to the Exchange Offer will be required to surrender such Notes,
              together with the enclosed letters of transmittal, to the
              institution and at the address (located in the Borough of
              Manhattan, The City of New York) specified in the notice prior to
              the close of business on the last day of acceptance for exchange;
              and

                     (v) that Holders will be entitled to withdraw their
              election, not later than the close of business on the last day of
              acceptance for exchange, by sending to the institution and at the
              address (located in the Borough of Manhattan, The City of New
              York) specified in the notice a telegram, telex, facsimile
              transmission or letter setting forth the name of such Holder, the
              aggregate principal amount of Notes delivered for exchange and a
              statement that such Holder is withdrawing his election to have
              such Notes exchanged; and shall keep the Exchange Offer open for
              acceptance for not less than 20 days (or longer if required by
              applicable law) after the date notice thereof is mailed to the
              Holders; utilize the services of a depositary for the Exchange
              Offer with an address in the Borough of Manhattan, The City of New
              York; and comply in all respects with all applicable laws relating
              to the Exchange Offer.

              (d) As soon as practicable after the close of the Exchange Offer,
       the Company shall:

                     (i) accept for exchange all Notes duly tendered and not
              validly withdrawn pursuant to the Exchange Offer;

                     (ii) deliver to the Trustee for cancellation all Notes so
              accepted for exchange; and

                     (iii) cause the Trustee promptly to authenticate and
              deliver to each Holder Exchange Notes equal in principal amount to
              the Notes of such Holder so accepted for exchange.

              (e) The Initial Purchasers, the Company and the Guarantors
       acknowledge that, pursuant to interpretations by the staff of the
       Commission of Section 5 of the Securities Act, and in the absence of an
       applicable exemption therefrom, each Exchanging Dealer is required to
       deliver a Prospectus in connection with a sale of any Exchange Notes
       received by such Exchanging Dealer pursuant to the Exchange Offer in
       exchange for Notes acquired for its own account as a result of
       market-making activities or other trading activities. Accordingly, the
       Company and the Guarantors shall:

                     (i) include the information set forth in Annex A hereto on
              the cover of the Exchange Offer Registration Statement, in Annex B
              hereto in the forepart of the Exchange Offer Registration
              Statement in a section setting forth details of the Exchange
              Offer, in Annex C hereto in the underwriting or plan of
              distribution section of the Prospectus forming a part of the
              Exchange Offer Registration Statement, and in Annex D hereto in
              the letter of transmittal delivered pursuant to the Exchange
              Offer; and

                     (ii) use their respective best efforts to keep the Exchange
              Offer Registration Statement continuously effective under the
              Securities Act during the Exchange Offer Registration Period for
              delivery of the Prospectus included therein by Exchanging Dealers
              in connection with sales of Exchange Notes received pursuant to
              the Exchange Offer, as contemplated by Section 5(h) below;
              provided, however, that the Company and the Guarantors shall not
              be required to maintain the effectiveness of the Exchange Offer
              Registration Statement for more than 30 days following the
              expiration of

                                       5
<PAGE>

              the Exchange Offer unless the Company and the Guarantors have been
              notified in writing on or prior to the 30th day following the
              expiration of the Exchange Offer by one or more Exchanging Dealers
              that such Holder has received Exchange Notes as to which it will
              be required to deliver a Prospectus upon resale.

              (f) In the event that an Initial Purchaser determines that it is
       not eligible to participate in the Exchange Offer with respect to the
       exchange of Notes constituting any portion of an unsold allotment, upon
       the effectiveness of the Shelf Registration Statement as contemplated by
       Section 4 hereof and at the request of the Initial Purchasers, the
       Company and the Guarantors shall issue and deliver to the Initial
       Purchasers, or to the party purchasing Initial Notes registered under the
       Shelf Registration Statement from the Initial Purchasers, in exchange for
       such Initial Notes, a like principal amount of Exchange Notes. The
       Company and the Guarantors shall use their respective best efforts to
       cause the CUSIP Service Bureau to issue the same CUSIP number for such
       Exchange Notes as for Exchange Notes issued pursuant to the Exchange
       Offer.

              (g) The Company and the Guarantors shall use their respective best
       efforts to complete the Exchange Offer as provided above and shall comply
       with the applicable requirements of the Securities Act, the Exchange Act
       and other applicable laws and regulations in connection with the Exchange
       Offer. The Exchange Offer shall not be subject to any conditions, other
       than that (i) the Exchange Offer does not violate applicable law or any
       applicable interpretation of the staff of the Commission, (ii) no action
       or proceeding shall have been instituted or threatened in any court or by
       any governmental agency which might materially impair the ability of the
       Company or any of the Guarantors to proceed with the Exchange Offer, and
       no material adverse development shall have occurred in any existing
       action or proceeding with respect to the Company or any of the
       Guarantors, and (iii) all governmental approvals shall have been
       obtained, which approvals the Company and the Guarantors deem necessary
       for the consummation of the Exchange Offer. The Company and the
       Guarantors shall inform the Initial Purchasers, upon their request, of
       the names and addresses of the Holders to whom the Exchange Offer is
       made, and the Initial Purchasers shall have the right, subject to
       applicable law, to contact such Holders and otherwise facilitate the
       tender of Notes in the Exchange Offer.

              (h) As a condition to its participation in the Exchange Offer
       pursuant to the terms of this Agreement, each Holder of Transfer
       Restricted Securities shall furnish, upon the request of the Company and
       the Guarantors, prior to the expiration thereof, a written representation
       to the Company and the Guarantors (which may be contained in the letter
       of transmittal contemplated by the Exchange Offer Registration Statement)
       to the effect that (A) it is not an Affiliate of the Company or any of
       the Guarantors, (B) it is not engaged in, and does not intend to engage
       in, and has no arrangement or understanding with any person to
       participate in, a distribution of the Exchange Notes to be issued in the
       Exchange Offer, and (C) it is acquiring the Exchange Notes in its
       ordinary course of business. In addition, all such Holders of Transfer
       Restricted Securities shall otherwise cooperate in the Company's and the
       Guarantors' preparations for the Exchange Offer. Each Holder hereby
       acknowledges and agrees that any broker-dealer and any such Holder using
       the Exchange Offer to participate in a distribution of the securities to
       be acquired in the Exchange Offer (1) could not under Commission policy
       as in effect on the date of this Agreement rely on the position of the
       Commission enunciated in Morgan Stanley and Co., Inc. (available June 5,
       1991) and Exxon Capital Holdings Corporation (available May 13, 1988), as
       interpreted in the Commission's letter to Shearman & Sterling dated July
       2, 1993, and similar no-action letters, and (2) must comply with the
       registration and prospectus delivery requirements of the Securities Act
       in connection with a secondary resale transaction and that such a
       secondary resale transaction should be covered by an effective
       registration statement containing the selling security holder information
       required by Item 507 or 508, as applicable, of Regulation S-K if the
       resales are of Exchange Notes obtained by such Holder in exchange for
       Initial Notes acquired by such Holder directly from the Company and the
       Guarantors.

       3. Market-Making Registration Statement.

                                       6
<PAGE>

              (a) For so long as any of the Notes are outstanding and J.P.
       Morgan Securities Inc. (the "Market Maker") or any of its affiliates (as
       defined in the rules and regulations of the Commission under the
       Securities Act) owns any equity securities of the Company or the
       Guarantors and proposes to make a market in the Notes as part of its
       business in the ordinary course, the following provisions shall apply for
       the sole benefit of the Market Maker:

                     (i) The Company and the Guarantors shall prepare and file
              with the Commission a Registration Statement (the "Market-Making
              Registration Statement") (which may be the same Registration
              Statement as the Exchange Offer Registration Statement or the
              Shelf Registration Statement, if permitted by the rules and
              regulations of the Commission) on the date that the Exchange Offer
              Registration Statement or the Shelf Registration Statement, as
              applicable, is filed with the Commission covering sales of the
              Notes by the Market Maker. The Company and the Guarantors shall
              use their respective best efforts to cause such Market-Making
              Registration Statement to be declared effective by the Commission
              on or prior to the expiration of the Exchange Offer.

                     (ii) The Company and the Guarantors shall also: (A)
              periodically amend the Market-Making Registration Statement so
              that the information contained therein complies with the
              requirements of Section 10(a) under the Securities Act; (B) within
              45 days following the end of each of the Company's fiscal quarters
              (if requested by the Market Maker), file a supplement to the
              Prospectus contained in the Market-Making Registration Statement
              which sets forth the financial results of the Company for such
              quarter; (C) amend the Market-Making Registration Statement or
              supplement the related Prospectus when necessary to reflect any
              material changes in the information provided therein; and (D)
              amend the Market-Making Registration Statement when required to do
              so in order to comply with Section 10(a)(3) of the Securities Act;
              provided, however, that (1) prior to filing the Market-Making
              Registration Statement, any amendment thereto or any supplement to
              the related Prospectus, the Company and the Guarantors will
              furnish to the Market Maker copies of all such documents proposed
              to be filed, which documents will be subject to the review of the
              Market Maker and its counsel, (2) the Company and the Guarantors
              will not file the Market-Making Registration Statement, any
              amendment thereto or any supplement to the related Prospectus to
              which the Market Maker and its counsel shall reasonably object
              unless the Company and the Guarantors are advised by their counsel
              that such Market-Making Registration Statement, amendment or
              supplement is required to be filed, and (3) the Company and the
              Guarantors will provide the Market Maker and its counsel with
              copies of the Market-Making Registration Statement and each
              amendment and supplement filed.

                     (iii) If at any time the Company becomes no longer eligible
              to use Form S-3 under the Securities Act with respect to sales of
              the Notes, the Company and the Guarantors shall file a
              post-effective amendment to the Market-Making Registration
              Statement to convert it to a Form S-1 registration statement as
              soon as practicable.

                     (iv) The Company and the Guarantors shall notify the Market
              Maker and, if requested by the Market Maker, confirm such advice
              in writing, (A) when the Market-Making Registration Statement, any
              amendment or post-effective amendment thereto and any amendment or
              supplement to the related Prospectus has been filed and, with
              respect to the Market-Making Registration Statement or any
              post-effective amendment, when the same has become effective; (B)
              of any request by the Commission for any post-effective amendment
              to the Market-Making Registration Statement, any amendment or
              supplement to the related Prospectus or for additional
              information; (C) of the issuance by the Commission of any stop
              order suspending the effectiveness of the Market-Making
              Registration Statement or the initiation of any proceedings for
              that purpose; (D) of the receipt by the Company and the Guarantors
              of any notification with respect to the suspension of the
              qualification of the Notes for sale in any jurisdiction or the
              initiation or threatening of any proceedings for such purpose; (E)
              of the happening of any event which

                                       7
<PAGE>

              makes any statement made in the Market-Making Registration
              Statement, the related Prospectus or any amendment or supplement
              thereto untrue or which requires the making of any changes in the
              Market-Making Registration Statement, the related Prospectus or
              any amendment or supplement thereto in order to make the
              statements therein not misleading; and (F) of any advice from a
              nationally recognized statistical rating organization that such
              organization has placed the Company under surveillance or review
              with negative implications or has determined to downgrade the
              rating of the Notes or any other debt obligation of the Company,
              whether or not such downgrade shall have been publicly announced.

                     (v) If any event contemplated by clauses (a)(iv)(B) through
              (E) of this Section 3 occurs during the period for which the
              Company and the Guarantors are required to maintain an effective
              Market-Making Registration Statement, the Company and the
              Guarantors shall promptly prepare and file with the Commission a
              post-effective amendment to the Market-Making Registration
              Statement or a supplement to the related Prospectus or file any
              other required document so that the Prospectus will not include an
              untrue statement of a material fact or omit to state a material
              fact necessary in order to make the statements therein, in light
              of the circumstances under which they were made, not misleading.

                     (vi) In the event of the issuance of any stop order
              suspending the effectiveness of the Market-Making Registration
              Statement or of any order suspending the qualification of the
              Notes for sale in any jurisdiction, the Company and the Guarantors
              shall use promptly their best efforts to obtain its withdrawal.

                     (vii) The Company and the Guarantors shall furnish to the
              Market Maker, without charge, (A) at least one conformed copy of
              the Market-Making Registration Statement and any amendment or
              post-effective amendment thereto; and (B) as many copies of the
              related Prospectus and any amendment or supplement thereto as the
              Market Maker may reasonably request.

                     (viii) The Company and the Guarantors shall consent to the
              use of the Prospectus contained in the Market-Making Registration
              Statement or any amendment or supplement thereto by the Market
              Maker in connection with the offering and sale of the Notes.

                     (ix) For so long as any Notes are outstanding, the Company
              and the Guarantors shall furnish to the Market Maker (A) as soon
              as practicable after the end of each of the Company's fiscal
              years, the number of copies reasonably requested by the Market
              Maker of the Company's annual report for such year, (B) as soon as
              available, the number of copies reasonably requested by the Market
              Maker of each report (including, without limitation, reports on
              Forms 10-K, 10-Q and 8-K) or definitive proxy statements of the
              Company filed under the Exchange Act or mailed to stockholders,
              and (C) all public reports and all reports and financial
              statements furnished by the Company and the Guarantors to the New
              York Stock Exchange or any U.S. national securities exchange or
              quotation service upon which the Notes may be listed pursuant to
              requirements of or agreements with such exchange or quotation
              service or to the Commission pursuant to the Exchange Act or any
              rule or regulation of the Commission thereunder.

              (b) Prior to the effective date of the Market-Making Registration
       Statement, the Company and the Guarantors will use their respective best
       efforts to register or qualify, or cooperate with the Market Maker and
       its counsel in connection with the registration or qualification of, the
       Notes for offer and sale under the securities or blue sky laws of such
       jurisdictions as the Market Maker reasonably requests, and do any and all
       other acts or things necessary or advisable to enable the offer and sale
       in such jurisdictions of the Notes covered by the Market-Making
       Registration Statement, provided that none of the Company or any of the

                                       8
<PAGE>

       Guarantors will be required to qualify as a foreign corporation or as a
       dealer in securities in any jurisdiction in which it is not then so
       qualified, to file any general consent to service of process or to take
       any action that would subject it to general service of process in any
       such jurisdiction where it is not so subject or to subject itself to
       taxation in respect of doing business in any jurisdiction in which it is
       not otherwise so subject.

              (c) Each of the Company and the Guarantors represents that the
       Market-Making Registration Statement, any amendments or post-effective
       amendments thereto, any amendments or supplements to the related
       Prospectus and any documents filed by them under the Exchange Act will,
       when they become effective or are filed with the Commission, as the case
       may be, conform in all respects to the requirements of the Securities Act
       and the Exchange Act and the rules and regulations of the Commission
       promulgated thereunder and will not, as of the effective date of the
       Market-Making Registration Statement or such post-effective amendments
       and as of the filing date of amendments or supplements to such Prospectus
       or filings under the Exchange Act, contain an untrue statement of a
       material fact or omit to state a material fact required to be stated
       therein or necessary to make the statements therein not misleading;
       provided that no representation or warranty is made as to information
       contained in or omitted from the Market-Making Registration Statement or
       the related Prospectus in reliance upon and in conformity with written
       information furnished to the Company and the Guarantors by the Market
       Maker specifically for inclusion therein, which information the parties
       hereto agree will be limited to the statements concerning the
       market-making activities of the Marker Maker to be set forth on the cover
       page and in the "Plan of Distribution" section of the Prospectus.

              (d) At the time of effectiveness of the Market-Making Registration
       Statement and each time that the Market-Making Registration Statement or
       the related Prospectus shall be amended or such Prospectus shall be
       supplemented, the Company and the Guarantors shall concurrently therewith
       (if requested by the Market Maker) furnish the Market Maker and its
       counsel with a certificate of the Company's chief executive officer and
       chief financial officer to the effect that:

                     (i) The Market-Making Registration Statement has been
              declared effective by the Commission under the Securities Act as
              of the date and time specified in such certificate;

                     (ii) In the case of a post-effective amendment to the
              Market-Making Registration Statement, such post-effective
              amendment has become effective under the Securities Act as of the
              date and time specified in such certificate;

                     (iii) In the case of an amendment or supplement to the
              Prospectus contained in the Market-Making Registration Statement,
              such supplement was filed with the Commission pursuant to the
              subparagraph of Rule 424(b) under the Securities Act specified in
              such certificate on the date specified therein;

                     (iv) To the knowledge of such officers, no stop order
              suspending the effectiveness of the Market-Making Registration
              Statement has been issued and no proceeding for that purpose is
              pending or threatened by the Commission; and

                     (v) Such officers have carefully examined the Market-Making
              Registration Statement and the related Prospectus (and, in the
              case of an amendment or supplement, such amendment or supplement)
              and as of the date of the Market-Making Registration Statement or
              such amendment or supplement, as applicable, the Market-Making
              Registration Statement and the related Prospectus, as amended or
              supplemented, if applicable, did not include any untrue statement
              of a material fact and did not omit to state a material fact
              required to be stated therein or necessary to make the statements
              therein not misleading.

                                       9
<PAGE>

              (e) At the time of effectiveness of the Market-Making Registration
       Statement and each time that the Market-Making Registration Statement or
       the related Prospectus shall be amended or such Prospectus shall be
       supplemented, the Company and the Guarantors shall concurrently therewith
       (if requested by the Market Maker) furnish the Market Maker and its
       counsel with the written opinion of counsel for the Company and the
       Guarantors satisfactory to the Market Maker to the effect that:

                     (i) The Market-Making Registration Statement has been
              declared effective by the Commission under the Securities Act as
              of the date and time specified in that opinion;

                     (ii) In the case of a post-effective amendment to the
              Market-Making Registration Statement, such post-effective
              amendment has become effective under the Securities Act as of the
              date and time specified in that opinion;

                     (iii) In the case of an amendment or supplement to the
              Prospectus contained in the Market-Making Registration Statement,
              such supplement was filed with the Commission pursuant to the
              subparagraph of Rule 424(b) under the Securities Act specified in
              such opinion on the date specified therein;

                     (iv) To the knowledge of such counsel, no stop order
              suspending the effectiveness of the Market-Making Registration
              Statement has been issued and no proceeding for that purpose is
              pending or threatened by the Commission; and

                     (v) Such counsel has reviewed the Market-Making
              Registration Statement and the related Prospectus (and, in the
              case of an amendment or supplement, such amendment or supplement)
              and participated with officers of the Company and the Guarantors
              and their independent public accountants in the preparation of the
              Market-Making Registration Statement and such Prospectus (and, in
              the case of an amendment or supplement, such amendment or
              supplement) and has no reason to believe that as of the date of
              the Market-Making Registration Statement or such amendment or
              supplement, as applicable, the Market-Making Registration
              Statement, as amended, if applicable, contained any untrue
              statement of a material fact or omitted to state a material fact
              required to be stated therein or necessary to make the statements
              therein not misleading, or that the related Prospectus, as amended
              or supplemented, if applicable, contains any untrue statement of a
              material fact or omits to state a material fact required to be
              stated therein or necessary to make the statements therein, in the
              light of the circumstances under which they were made, not
              misleading.

              (f) At the time of effectiveness of the Market-Making Registration
       Statement and concurrently each time that the Market-Making Registration
       Statement or the related Prospectus shall be amended or such Prospectus
       shall be supplemented to include audited annual financial information,
       the Company and the Guarantors shall (if requested by the Market Maker)
       furnish the Market Maker and its counsel with a letter from
       PricewaterhouseCoopers LLP (or other independent public accountants for
       the Company of nationally recognized standing), in form satisfactory to
       the Market Maker, addressed to the Market Maker and dated the date of
       delivery of such letter, (i) confirming that they are independent public
       accountants within the meaning of the Securities Act and are in
       compliance with the applicable requirements relating to the qualification
       of accountants under Rule 2-01 of Regulation S-X of the Commission and
       (ii) in all other respects, substantially in the form of the letter
       delivered to the Initial Purchasers pursuant to Section 7(i) of the
       Purchase Agreement with, in the case of an amendment or supplement to
       include audited financial information, such changes as may be necessary
       to reflect the amended or supplemental financial information.

              (g) The agreements contained in this Section 3 and the
       representations, warranties and agreements contained in this Agreement
       shall survive all offers and sales of the Notes and shall

                                       10
<PAGE>

       remain in full force and effect, regardless of any termination or
       cancellation of this Agreement or any investigation made by or on behalf
       of any indemnified party.

              (h) For purposes of this Section 3, any reference to the terms
       "amend," "amendment" or "supplement" with respect to the Market-Making
       Registration Statement or the Prospectus contained therein shall be
       deemed to refer to and include the filing under the Exchange Act of any
       document deemed to be incorporated therein by reference.

       4. Shelf Registration. If (i) the Company and the Guarantors are not
required to file the Exchange Offer Registration Statement, (ii) because of any
change in law or applicable interpretations thereof by the Commission's staff,
the Company and the Guarantors determine upon advice of their outside counsel
that they are not permitted to effect the Exchange Offer as contemplated by
Section 2 hereof, or (iii) any Holder of Transfer Restricted Securities notifies
the Company and the Guarantors prior to the 20th day following the expiration of
the Exchange Offer that: (A) such Holder is prohibited by applicable law or
Commission policy from participating in the Exchange Offer, (B) such Holder may
not resell the Exchange Notes acquired by it in the Exchange Offer to the public
without delivering a Prospectus and that the Prospectus contained in the
Exchange Offer Registration Statement is not appropriate or available for such
resales by such Holder, or (C) such Holder is an Exchanging Dealer and holds
Initial Notes acquired directly from the Company and the Guarantors or one of
their Affiliates (it being understood that, for purposes of this Section 4, (x)
the requirement that the Initial Purchasers deliver a Prospectus containing the
information required by Items 507 and/or 508 of Regulation S-K under the
Securities Act in connection with sales of Exchange Notes acquired in exchange
for such Notes shall result in such Exchange Notes being not "freely tradeable,"
and (y) the requirement that an Exchanging Dealer deliver a Prospectus in
connection with sales of Exchange Notes acquired in the Exchange Offer in
exchange for Notes acquired as a result of market-making activities or other
trading activities shall not result in such Exchange Notes being not "freely
tradeable"), the following provisions shall apply:

              (a) The Company and the Guarantors shall prepare and file with the
       Commission, on or prior to the 30th calendar day after such filing
       obligation arises (the "Shelf Filing Deadline"), a Shelf Registration
       Statement relating to the offer and sale of the Notes or the Exchange
       Notes, as applicable, by the Holders from time to time in accordance with
       the methods of distribution elected by such Holders and set forth in such
       Shelf Registration Statement and Rule 415 under the Securities Act;
       provided that, with respect to Exchange Notes received by the Initial
       Purchasers in exchange for Initial Notes constituting any portion of an
       unsold allotment, the Company and the Guarantors may, if permitted by
       current interpretations by the Commission's staff, file a post-effective
       amendment to the Exchange Offer Registration Statement containing the
       information required by Regulation S-K Items 507 and/or 508, as
       applicable, in satisfaction of its obligations under this paragraph (a)
       with respect thereto, and any such Exchange Offer Registration Statement,
       as so amended, shall be referred to herein as, and governed by the
       provisions herein applicable to, a Shelf Registration Statement.

              (b) The Company and the Guarantors shall use their respective best
       efforts to cause the Shelf Registration Statement to be declared
       effective under the Securities Act on or prior to the 90th calendar day
       after the Shelf Registration Statement is required to be filed under this
       Section 4 (the "Shelf Effectiveness Deadline") and to keep such Shelf
       Registration Statement continuously effective in order to permit the
       Prospectus contained therein to be usable by Holders for a period of two
       years from the date the Shelf Registration Statement is declared
       effective by the Commission or such shorter period that will terminate
       when all the Initial Notes or Exchange Notes, as applicable, covered by
       the Shelf Registration Statement have been sold pursuant to the Shelf
       Registration Statement (in any such case, such period being called the
       "Shelf Registration Period"). The Company and the Guarantors shall be
       deemed not to have used their respective best efforts to keep the Shelf
       Registration Statement effective during the requisite period if the
       Company or any of the Guarantors voluntarily takes any action that would
       result in Holders of Notes covered thereby not being able to offer and
       sell such Notes during that period, unless (i) such action is required by
       applicable law, (ii) the Company and the Guarantors comply with

                                       11
<PAGE>

       this Agreement or (iii) such action is taken by the Company or any of the
       Guarantors in good faith and for valid business reasons (not including
       avoidance of the Company's and the Guarantors' obligations hereunder),
       including the acquisition or divestiture of assets, so long as the
       Company and the Guarantors promptly thereafter comply with the
       requirements of Section 5(m) hereof, if applicable.

       5. Registration Procedures. In connection with any Exchange Offer
Registration Statement and any Shelf Registration Statement, the following
provisions shall apply:

              (a) The Company and the Guarantors shall, within a reasonable time
       prior to the filing of any Registration Statement, any Prospectus, any
       amendment to a Registration Statement or amendment or supplement to a
       Prospectus or any document which is to be incorporated by reference into
       a Registration Statement or a Prospectus after initial filing of a
       Registration Statement, provide copies of such document to the Initial
       Purchasers and their counsel (and, in the case of a Shelf Registration
       Statement, the Majority Holders and their counsel, upon their request)
       and make such representatives of the Company and the Guarantors as shall
       be reasonably requested by the Initial Purchasers or their counsel (and,
       in the case of a Shelf Registration Statement, the Majority Holders or
       their counsel) available for discussion of such document, and shall not
       at any time file or make any amendment to the Registration Statement, any
       Prospectus or any amendment of or supplement to a Registration Statement
       or a Prospectus or any document which is to be incorporated by reference
       into a Registration Statement or a Prospectus, of which the Initial
       Purchasers and their counsel (and, in the case of a Shelf Registration
       Statement, the Majority Holders and their counsel) shall not have
       previously been advised and furnished a copy or to which the Initial
       Purchasers or their counsel (and, in the case of a Shelf Registration
       Statement, the Majority Holders or their counsel) shall object, except
       for any amendment or supplement or document (a copy of which has been
       previously furnished to the Initial Purchasers and their counsel (and, in
       the case of a Shelf Registration Statement, the Majority Holders and
       their counsel, upon their request)) which counsel to the Company and the
       Guarantors shall advise the Company and the Guarantors, in the form of a
       written opinion, is required in order to comply with applicable law; the
       Initial Purchasers agree that if they receive timely notice and drafts
       under this clause (a), they will not take actions or make objections
       pursuant to this clause (a) such that the Company and the Guarantors are
       unable to comply with its obligations under Section 2.

              (b) The Company and the Guarantors shall ensure that:

                     (i) any Registration Statement and any amendment thereto
              and any Prospectus contained therein and any amendment or
              supplement thereto complies in all material respects with the
              Securities Act and the rules and regulations thereunder;

                     (ii) any Registration Statement and any amendment thereto
              does not, when it becomes effective, contain an untrue statement
              of a material fact or omit to state a material fact required to be
              stated therein or necessary to make the statements therein not
              misleading; and

                     (iii) any Prospectus forming part of any Registration
              Statement, including any amendment or supplement to such
              Prospectus, does not include an untrue statement of a material
              fact or omit to state a material fact necessary in order to make
              the statements therein, in light of the circumstances under which
              they were made, not misleading.

              (c) (1) The Company and the Guarantors shall advise the Initial
       Purchasers and, in the case of a Shelf Registration Statement, the
       Holders of Initial Notes covered thereby, and, if requested by the
       Initial Purchasers or any such Holder, confirm such advice in writing:

                     (i) when a Registration Statement and any amendment thereto
              has been filed with the Commission and when the Registration
              Statement or any post-effective amendment thereto has become
              effective; and

                                       12
<PAGE>

                     (ii) of any request by the Commission for amendments or
              supplements to the Registration Statement or the Prospectus
              included therein or for additional information.

                  (2) During the Shelf Registration Period or the Exchange Offer
         Registration Period, as applicable, the Company and the Guarantors
         shall advise the Initial Purchasers and, in the case of a Shelf
         Registration Statement, the Holders of Initial Notes or Exchange Notes
         covered thereby, and, in the case of an Exchange Offer Registration
         Statement, any Exchanging Dealer that has provided in writing to the
         Company and the Guarantors a telephone or facsimile number and address
         for notices, and, if requested by the Initial Purchasers or any such
         Holder or Exchanging Dealer, confirm such advice in writing:

                     (i) of the issuance by the Commission of any stop order
              suspending the effectiveness of the Registration Statement or the
              initiation of any proceedings for that purpose;

                     (ii) of the receipt by the Company and the Guarantors of
              any notification with respect to the suspension of the
              qualification of the Initial Notes or Exchange Notes included
              therein for sale in any jurisdiction or the initiation or
              threatening of any proceeding for such purpose; and

                     (iii) of the happening of any event that requires the
              making of any changes in the Registration Statement or the
              Prospectus so that, as of such date, the Registration Statement or
              the Prospectus does not include an untrue statement of a material
              fact or omit to state a material fact necessary to make the
              statements therein (in the case of the Prospectus, in light of the
              circumstances under which they were made) not misleading (which
              advice shall be accompanied by an instruction to suspend the use
              of the Prospectus until the requisite changes have been made).

              (d) The Company and the Guarantors shall use their respective best
       efforts to obtain the withdrawal of any order suspending the
       effectiveness of any Registration Statement at the earliest possible
       time.

              (e) The Company and the Guarantors shall furnish to each Holder of
       Notes covered by any Shelf Registration Statement that so requests,
       without charge, at least one copy of such Shelf Registration Statement
       and any post-effective amendment thereto, including financial statements
       and schedules, and, if the Holder so requests in writing, all exhibits
       thereto.

              (f) The Company and the Guarantors shall, during the Shelf
       Registration Period, deliver to each Holder of Notes covered by any Shelf
       Registration Statement, without charge, as many copies of the Prospectus
       (including each preliminary Prospectus) included in such Shelf
       Registration Statement and any amendment or supplement thereto as such
       Holder may reasonably request; and the Company and the Guarantors consent
       to the use of the Prospectus or any amendment or supplement thereto by
       each of the selling Holders of Notes in connection with the offering and
       sale of the Notes covered by the Prospectus or any amendment or
       supplement thereto.

              (g) The Company and the Guarantors shall furnish to each
       Exchanging Dealer that so requests, without charge, at least one copy of
       the Exchange Offer Registration Statement and any post-effective
       amendment thereto, including financial statements and schedules, any
       documents incorporated by reference therein and, if the Exchanging Dealer
       so requests in writing, all exhibits thereto.

              (h) The Company and the Guarantors shall, during the Exchange
       Offer Registration Period, promptly deliver to each Exchanging Dealer,
       without charge, as many copies of the Prospectus included in such
       Exchange Offer Registration Statement and any amendment or

                                       13
<PAGE>

       supplement thereto as such Exchanging Dealer may reasonably request for
       delivery by such Exchanging Dealer in connection with a sale of Exchange
       Notes received by it pursuant to the Exchange Offer; and the Company and
       the Guarantors consent to the use of the Prospectus or any amendment or
       supplement thereto by any such Exchanging Dealer, as provided in Section
       2(e) above.

              (i) Each Holder of Notes and each Exchange Dealer agrees by its
       acquisition of such Notes by a Holder or Exchange Notes to be sold by
       such Exchange Dealer, as the case may be, that upon actual receipt of any
       notice from the Company (x) of the happening of any event of the kind
       described in paragraph (c)(2)(i), (c)(2)(ii), or (c)(2)(iii) of this
       Section 5, or (y) that the Board of Directors of the Company has resolved
       that the Company has a bona fide business purpose for doing so, then the
       Company may delay the filing or the effectiveness of the Exchange Offer
       Registration Statement or the Shelf Registration Statement (if not then
       filed or effective, as applicable) and shall not be required to maintain
       the effectiveness thereof or amend or supplement the Exchange Offer
       Registration Statement or the Shelf Registration Statement, in all cases,
       for a period (a "Delay Period") expiring upon the earlier to occur of (i)
       in the case of the immediately preceding clause (x), such Holder's or
       Exchange Dealer's receipt of the copies of the supplemented or amended
       Prospectus contemplated by Section 5(m) hereof, or until it is advised in
       writing by the Company that the use of the applicable Prospectus may be
       resumed, and has received copies of any amendments or supplements
       thereto, or (ii) in the case of the immediately preceding clause (y), the
       date which is the earlier of (A) the date on which such business purpose
       ceases to interfere with the Company's obligations to file or maintain
       the effectiveness of any such Registration Statement pursuant to this
       Agreement or (B) 60 days after the Company notifies the Holders of such
       good faith determination. There shall not be more than 60 days of Delay
       Periods during any 12-month period. Each of the Exchange Offer
       Registration Period or the Shelf Registration Period, if applicable,
       shall be extended by the number of days during any Delay Period. Any
       Delay Period will not alter the obligations of the Company and the
       Guarantors to pay Liquidated Damages under the circumstances set forth in
       Section 6 hereof.

              (j) Prior to the Exchange Offer or any other offering of Initial
       Notes or Exchange Notes pursuant to any Registration Statement, the
       Company and the Guarantors shall register or qualify or cooperate with
       the Holders of Notes included therein and their respective counsel in
       connection with the registration or qualification of such Initial Notes
       or Exchange Notes for offer and sale under the securities or blue sky
       laws of such states as any such Holders reasonably request in writing and
       do any and all other acts or things necessary or advisable to enable the
       offer and sale in such states of the Notes covered by such Registration
       Statement; provided, however, that none of the Company or any of the
       Guarantors will be required to qualify as a foreign corporation or as a
       dealer in securities in any jurisdiction in which it is not then so
       qualified, to file any general consent to service of process or to take
       any action that would subject it to general service of process in any
       such jurisdiction where it is not then so subject or to subject itself to
       taxation in respect of doing business in any jurisdiction in which it is
       not otherwise so subject.

              (k) The Company and the Guarantors shall issue, upon the request
       of any Holder of Initial Notes covered by the Shelf Registration
       Statement, Exchange Notes, having an aggregate principal amount equal to
       the aggregate principal amount of Initial Notes surrendered to the
       Company and the Guarantors by such Holder in exchange therefor or being
       sold by such Holder; such Exchange Notes to be registered in the name of
       such Holder or in the name of the purchaser(s) of such Exchange Notes, as
       the case may be; in return, the Initial Notes held by such Holder shall
       be surrendered to the Company for cancellation.

              (l) The Company and the Guarantors shall cooperate with the
       Holders to facilitate the timely preparation and delivery of certificates
       representing Initial Notes or Exchange Notes to be sold pursuant to any
       Registration Statement free of any restrictive legends and in
       denominations of $1,000 or an integral multiple thereof and registered in
       such names as Holders may request prior to sales of Initial Notes or
       Exchange Notes pursuant to such Registration Statement.

                                       14
<PAGE>

              (m) Upon the occurrence of any event contemplated by paragraph
       (c)(2)(iii) of this Section 5, the Company and the Guarantors shall
       promptly prepare and file a post-effective amendment to any Registration
       Statement or an amendment or supplement to the related Prospectus or any
       other required document so that, as thereafter delivered to purchasers of
       the Initial Notes or Exchange Notes included therein, the Prospectus will
       not include an untrue statement of a material fact or omit to state any
       material fact necessary to make the statements therein, in light of the
       circumstances under which they were made, not misleading and, in the case
       of a Shelf Registration Statement, notify the Holders to suspend use of
       the Prospectus as promptly as practicable after the occurrence of such an
       event. Notwithstanding the foregoing, the Company and the Guarantors
       shall not be required to amend or supplement a Shelf Registration
       Statement, any related Prospectus or any document incorporated therein by
       reference, for a period not to exceed an aggregate of 30 days in any
       calendar year, if the Company determines in its good faith judgment that
       the disclosure of such event at such time would have a material adverse
       effect on the business, operations, or prospects of the Company and the
       Guarantors or the disclosure otherwise related to a pending material
       business transaction that has not yet been publicly disclosed.

              (n) Not later than the effective date of any such Registration
       Statement hereunder, the Company and the Guarantors shall provide a CUSIP
       number for the Initial Notes or Exchange Notes, as the case may be,
       registered under such Registration Statement, and provide the Trustee
       with certificates for such Initial Notes or Exchange Notes, in a form
       eligible for deposit with The Depository Trust Company.

              (o) The Company and the Guarantors shall use their respective best
       efforts to comply with all applicable rules and regulations of the
       Commission and shall make generally available to its security holders as
       soon as practicable after the effective date of the applicable
       Registration Statement an earnings statement meeting the requirements of
       Rule 158 under the Securities Act.

              (p) The Company and the Guarantors shall cause the Indenture to be
       qualified under the Trust Indenture Act not later than the effective date
       of the first Registration Statement required by this Agreement, and, in
       connection therewith, cooperate with the Trustee and the Holders of
       Initial Notes or Exchange Notes to effect such changes to the Indenture
       as may be required for such Indenture to be so qualified in accordance
       with the terms of the Trust Indenture Act; and to execute, and use its
       best efforts to cause the Trustee to execute, all documents that may be
       required to effect such changes and all other forms and documents
       required to be filed with the Commission to enable such Indenture to be
       so qualified in a timely manner.

              (q) The Company and the Guarantors may require each Holder of
       Notes to be sold pursuant to any Shelf Registration Statement to furnish
       to the Company and the Guarantors such information regarding the Holder
       and the distribution of such Initial Notes as the Company and the
       Guarantors may from time to time reasonably require for inclusion in such
       Registration Statement.

              (r) The Company and the Guarantors shall, if requested, promptly
       incorporate in a Prospectus supplement or post-effective amendment to a
       Shelf Registration Statement, such information as the Managing
       Underwriters, if any, and Majority Holders reasonably agree should be
       included therein, and shall make all required filings of such Prospectus
       supplement or post-effective amendment promptly upon notification of the
       matters to be incorporated in such Prospectus supplement or
       post-effective amendment.

              (s) In the case of any Shelf Registration Statement, the Company
       and the Guarantors shall enter into such agreements (including
       underwriting agreements) and take all other appropriate actions in order
       to expedite or to facilitate the registration or the disposition of any
       Initial Notes included therein, and in connection therewith, if an
       underwriting agreement is entered into, cause the same to contain
       indemnification provisions and procedures no less favorable than those
       set forth in Section 7 (or such other provisions and procedures
       acceptable to the Majority

                                       15
<PAGE>

       Holders and the Managing Underwriters, if any) with respect to all
       parties to be indemnified pursuant to Section 7.

              (t) In the case of any Shelf Registration Statement, the Company
       and the Guarantors shall:

                     (i) make reasonably available for inspection by the Holders
              of Notes to be registered thereunder, any underwriter
              participating in any disposition pursuant to such Shelf
              Registration Statement, and any attorney, accountant or other
              agent retained by the Holders or any such underwriter all relevant
              financial and other records, pertinent corporate documents and
              properties of the Company and any of its subsidiaries;

                     (ii) cause the Company's officers, directors and employees
              to supply all relevant information reasonably requested by the
              Holders or any such underwriter, attorney, accountant or agent in
              connection with any such Registration Statement as is customary
              for similar due diligence examinations and make such
              representatives of the Company as shall be reasonably requested by
              the Initial Purchasers or Managing Underwriters, if any, available
              for discussion of any such Registration Statement; provided,
              however, that any non-public information that is designated in
              writing by the Company, in good faith, as confidential at the time
              of delivery of such information shall be kept confidential by the
              Holders or any such underwriter, attorney, accountant or agent,
              unless such disclosure is made in connection with a court
              proceeding or required by law, or such information becomes
              available to the public generally or through a third party without
              an accompanying obligation of confidentiality other than as a
              result of a disclosure of such information by any such Holder,
              underwriter, attorney, accountant or agent;

                     (iii) make such representations and warranties to the
              Holders of Notes registered thereunder and the underwriters, if
              any, in form, substance and scope as are customarily made by
              issuers to underwriters in similar underwritten offerings as may
              be reasonably requested by them;

                     (iv) obtain opinions of counsel to the Company and the
              Guarantors and updates thereof (which counsel and opinions (in
              form, scope and substance) shall be reasonably satisfactory to the
              Managing Underwriters, if any) addressed to each selling Holder
              and the underwriters, if any, covering such matters as are
              customarily covered in opinions requested in similar underwritten
              offerings and such other matters as may be reasonably requested by
              such Holders and underwriters;

                     (v) obtain "cold comfort" letters and updates thereof from
              the independent certified public accountants of the Company (and,
              if necessary, any other independent certified public accountants
              of any subsidiary of the Company or of any business acquired by
              the Company for which financial statements and financial data are,
              or are required to be, included in the Registration Statement),
              addressed to the underwriters, if any, and use reasonable efforts
              to have such letter addressed to the selling Holders of Notes
              registered thereunder (to the extent consistent with Statement on
              Auditing Standards No. 72 ("SAS 72") of the American Institute of
              Certified Public Accountants (AICPA)), in customary form and
              covering matters of the type customarily covered in "cold comfort"
              letters in connection with similar underwritten offerings, or if
              the provision of such "cold comfort" letters is not permitted by
              SAS 72 or if requested by the Initial Purchasers or their counsel
              in lieu of a "cold comfort" letter, an agreed-upon procedures
              letter under Statement on Auditing Standards No. 75 of the AICPA,
              covering matters requested by the Initial Purchasers or their
              counsel; and

                     (vi) deliver such documents and certificates as may be
              reasonably requested by the Majority Holders and the Managing
              Underwriters, if any, and customarily

                                       16
<PAGE>

              delivered in similar offerings, including those to evidence
              compliance with Section 5(m) and with any conditions contained in
              the underwriting agreement or other agreement entered into by the
              Company and the Guarantors.

              The foregoing actions set forth in clauses (iii), (iv), (v) and
       (vi) of this Section 5(t) shall be performed at (A) the effectiveness of
       such Shelf Registration Statement and each post-effective amendment
       thereto and (B) each closing under any underwriting or similar agreement
       as and to the extent required thereunder.

              (u) The Company and the Guarantors shall, in the case of a Shelf
       Registration, use its best efforts to cause all Notes to be listed on any
       securities exchange or any automated quotation system on which similar
       securities issued by the Company and the Guarantors are then listed if
       requested by the Majority Holders, to the extent such Notes satisfy
       applicable listing requirements.

       6. Registration Expenses; Remedies.

              (a) The Company and the Guarantors shall bear all expenses
       incurred in connection with the performance of their obligations under
       Sections 2, 3, 4 and 5 hereof, including without limitation: (i) all
       Commission, stock exchange or National Association of Securities Dealers,
       Inc. registration and filing fees, (ii) all fees and expenses incurred in
       connection with compliance with state securities or blue sky laws
       (including reasonable fees and disbursements of counsel for any
       underwriters, any Holders or the Market Maker in connection with blue sky
       qualification of any of the Notes), (iii) all expenses of any persons in
       preparing or assisting in preparing, word processing, printing and
       distributing any Registration Statement, any Prospectus, any amendments
       or supplements thereto, any underwriting agreements, securities sales
       agreements and other documents relating to the performance of and
       compliance with this Agreement, (iv) the fees and disbursements of the
       Trustee and its counsel, (v) the fees and disbursements of counsel for
       the Company and the Guarantors and, in the case of a Shelf Registration
       Statement, the fees and disbursements of one counsel for the Holders
       (which counsel shall be selected by the Majority Holders and which
       counsel may also be counsel for the Initial Purchasers) and, in the case
       of an Exchange Offer Registration Statement, the fees and expenses of
       counsel to the Initial Purchasers acting in connection therewith and, in
       the case of a Market-Making Registration Statement, the expenses of the
       Market Maker (including the fees and expenses of counsel to the Market
       Maker) (vi) the fees and disbursements of the independent public
       accountants of the Company, including the expenses of any special audits
       or "cold comfort" letters required by or incident to such performance and
       compliance, but excluding fees and expenses of counsel to the
       underwriters, the Holders or the Market Maker (other than fees and
       expenses set forth in clauses (ii) and (v) above) and underwriting
       discounts and commissions and transfer taxes, if any, relating to the
       sale or disposition of Notes by a Holder.

              (b) If any of the following occurs:

                     (i) the Company and the Guarantors fail to file the
              Exchange Offer Registration Statement on or prior to the Exchange
              Offer Filing Deadline or the Shelf Registration Statement on or
              prior to the Shelf Filing Deadline, as the case may be, or, if
              that day is not a Business Day, then the next day that is a
              Business Day;

                     (ii) the Exchange Offer Registration Statement or the Shelf
              Registration Statement, as the case may be, is not declared
              effective by the Commission on or prior to the Exchange Offer
              Effectiveness Deadline or the Shelf Effectiveness Deadline,
              respectively, or, if that day is not a Business Day, then the next
              day that is a Business Day;

                     (iii) the Company and the Guarantors fail to consummate the
              Exchange Offer by the Exchange Offer Consummation Deadline; or

                                       17
<PAGE>

                     (iv) the Exchange Offer Registration Statement or the Shelf
              Registration Statement, as the case may be, is declared effective
              but thereafter ceases to be effective or usable in connection with
              resales of Transfer Restricted Securities during the periods
              specified in this Agreement (each such event referred to in
              clauses (i) through (iv) above, a "Registration Default"),

       then the Company and the Guarantors will pay liquidated damages
       ("Liquidated Damages") to each Holder of Notes, with respect to the first
       90-day period immediately following the occurrence of the first
       Registration Default in an amount equal to $0.05 per week per $1,000
       principal amount of Notes held by such Holder. The amount of the
       Liquidated Damages will increase by an additional $0.05 per week per
       $1,000 principal amount of Notes with respect to each subsequent 90-day
       period until all Registration Defaults have been cured, up to a maximum
       amount of Liquidated Damages for all Registration Defaults of $0.50 per
       $1,000 principal amount of Notes.

              (c) The Company and the Guarantors shall pay all accrued
       Liquidated Damages on each Damages Payment Date to the Global Note Holder
       by wire transfer of immediately available funds or by federal funds check
       and to Holders of Certificated Notes by wire transfer to the accounts
       specified by them or by mailing checks to their registered addresses if
       no such accounts have been specified.

              (d) Following the cure of all Registration Defaults, the accrual
       of Liquidated Damages will cease.

              (e) Without limiting the remedies available to the Initial
       Purchasers and the Holders, the Company and the Guarantors acknowledge
       that any failure by them to comply with their obligations under Sections
       2, 3 and 4 hereof may result in material irreparable injury to the
       Initial Purchasers or the Holders for which there is no adequate remedy
       at law, that it will not be possible to measure damages for such injuries
       precisely and that, in the event of any such failure, the Initial
       Purchasers or any Holder may obtain such relief as may be required to
       specifically enforce the Company's and the Guarantors' obligations under
       Sections 2, 3 and 4 hereof.

       7. Indemnification and Contribution.

              (a) In connection with any Registration Statement, the Company and
       the Guarantors agree to indemnify and hold harmless each Holder of Notes
       covered thereby (including the Initial Purchasers, the Market Maker and,
       with respect to any Prospectus delivery as contemplated by Sections 2(e)
       and 5(h) hereof, each Exchanging Dealer) the directors, officers,
       employees and agents of such Holder and each person who controls such
       Holder within the meaning of either the Securities Act or the Exchange
       Act, against any and all losses, claims, damages or liabilities, joint or
       several, to which they or any of them may become subject under the
       Securities Act, the Exchange Act or other federal or state statutory law
       or regulation, at common law or otherwise, insofar as such losses,
       claims, damages or liabilities (or actions in respect thereof) arise out
       of or are based upon any untrue statement or alleged untrue statement of
       a material fact contained in such Registration Statement as originally
       filed or in any amendment thereof, or in any preliminary Prospectus or
       Prospectus, or in any amendment thereof or supplement thereto, or arise
       out of or are based upon the omission or alleged omission to state
       therein a material fact required to be stated therein or necessary to
       make the statements therein (in the case of any Prospectus, in light of
       the circumstances under which they were made) not misleading, and agrees
       to reimburse each such indemnified party, as incurred, for any legal or
       other expenses reasonably incurred by them in connection with
       investigating or defending any such loss, claim, damage or liability (or
       action in respect thereof); provided, however, that the Company and the
       Guarantors will not be liable in any case

                                       18
<PAGE>

       to the extent that any such loss, claim, damage or liability arises out
       of or is based upon any such untrue statement or alleged untrue statement
       or omission or alleged omission made therein in reliance upon and in
       conformity with written information furnished to the Company and the
       Guarantors by or on behalf of any indemnified party specifically for
       inclusion therein; provided further, however, that the Company and the
       Guarantors will not be liable in any case with respect to any untrue
       statement or omission or alleged untrue statement or omission made in any
       preliminary Prospectus or Prospectus, or in any amendment thereof or
       supplement thereto to the extent that any such loss, claim, damage or
       liability (or action in respect thereof) resulted from the fact that any
       indemnified party sold Notes to a person to whom there was not sent or
       given, at or prior to the written confirmation of such sale, a copy of
       the Prospectus as then amended or supplemented, if the Company and the
       Guarantors had previously complied with the provisions of Section 5(c)(2)
       and 5(f) or 5(h) hereof and if the untrue statement contained in or
       omission from such preliminary Prospectus or Prospectus was corrected in
       the Prospectus as then amended or supplemented. This indemnity agreement
       will be in addition to any liability that the Company and the Guarantors
       may otherwise have.

              The Company and the Guarantors also agree to indemnify or
       contribute to Losses of, as provided in Section 7(d) hereof, any
       underwriters of Notes registered under a Shelf Registration Statement,
       their employees, officers, directors and agents and each person who
       controls such underwriters on the same basis as that of the
       indemnification of the Initial Purchasers and the selling Holders
       provided in this Section 7(a) and shall, if requested by any Holder,
       enter into an underwriting agreement reflecting such agreement, as
       provided in Section 5(s) hereof.

              (b) Each Holder of Notes covered by a Registration Statement
       (including the Initial Purchasers, the Market Maker and, with respect to
       any Prospectus delivery as contemplated by Sections 2(e) and 5(h) hereof,
       each Exchanging Dealer) severally agrees to indemnify and hold harmless
       (i) the Company and the Guarantors, (ii) each of the directors of the
       Company or any of the Guarantors, (iii) each of the officers of the
       Company or any of the Guarantors who signs such Registration Statement
       and (iv) each Person who controls the Company or any of the Guarantors
       within the meaning of either the Securities Act or the Exchange Act to
       the same extent as the foregoing indemnity from the Company and the
       Guarantors to each such Holder, but only with respect to written
       information furnished to the Company and the Guarantors by or on behalf
       of such Holder specifically for inclusion in the documents referred to in
       the foregoing indemnity. This indemnity agreement will be in addition to
       any liability that any such Holder may otherwise have.

              (c) Promptly after receipt by an indemnified party under this
       Section 7 of notice of any claim or the commencement of any action, such
       indemnified party will, if a claim in respect thereof is to be made
       against the indemnifying party under this Section 7, notify the
       indemnifying party in writing of the claim or commencement of that
       action; but the failure so to notify the indemnifying party (i) will not
       relieve the indemnifying party from liability under paragraph (a) or (b)
       above unless and to the extent it has been materially prejudiced by such
       failure and (ii) will not, in any event, relieve the indemnifying party
       from any obligations to any indemnified party other than the
       indemnification obligation provided in paragraph (a) or (b) above. The
       indemnifying party shall be entitled to appoint counsel (including local
       counsel) of the indemnifying party's choice at the indemnifying party's
       expense to represent the indemnified party in any action for which
       indemnification is sought (in which case the indemnifying party shall not
       thereafter be responsible for the fees and expenses of any separate
       counsel retained by the indemnified party or parties except as set forth
       below); provided, however, that such counsel shall be reasonably
       satisfactory to the indemnified party. After notice from the indemnifying
       party to the indemnified party of its election to assume the defense of
       such claim or action, the indemnifying party shall not be liable to the
       indemnified party under this Section 7 for any legal or other expenses
       subsequently incurred by the indemnified party in connection with the
       defense thereof other than reasonable costs of investigation; provided,
       however, that any indemnified party shall have the right to employ
       separate counsel in any such action and to participate in the defense
       thereof, but the fees and expenses of such counsel shall be at the
       expense of the indemnified party unless (i) the employment of such
       counsel has been specifically authorized by the indemnifying party in
       writing, or (ii) such indemnified party shall have been advised by such
       counsel that there may one or more legal defenses available to it that
       are different from or additional to those available to the indemnifying
       party and in the reasonable judgment of such counsel it is advisable for
       such indemnified party to employ separate counsel or (iii) the
       indemnifying party has failed to

                                       19
<PAGE>

       assume the defense of such action and employ counsel reasonably
       satisfactory to the indemnified party, in which case, if such indemnified
       party notifies the indemnifying party in writing that it elects to employ
       separate counsel at the expense of the indemnifying party. It is
       understood that the indemnifying party shall not, in connection with any
       proceeding or related proceedings in the same jurisdiction arising out of
       the same general allegations or circumstances, be liable for the
       reasonable fees and expenses of more than one separate firm (in addition
       to any local counsel) at any time for all such indemnified parties and
       that all such fees and expenses shall be reimbursed as they are incurred.
       An indemnifying party will not, (i) without the prior written consent of
       the indemnified parties (which consent shall not be unnecessarily
       withheld) settle or compromise or consent to the entry of any judgment
       with respect to any pending or threatened claim, action, suit or
       proceeding in respect of which indemnification or contribution may be
       sought hereunder (whether or not the indemnified parties are actual or
       potential parties to such claim or action) unless such settlement,
       compromise or consent includes an unconditional release of each
       indemnified party from all liability arising out of such claim, action,
       suit or proceeding or (ii) be liable for any settlement of any such
       action effected without its written consent (which consent shall not be
       unreasonably withheld), but if settled with the consent of the
       indemnifying party or if there be a final judgment of the plaintiff in
       any such action, the indemnifying party agrees to indemnify and hold
       harmless any indemnified party from and against any loss or liability by
       reason of such settlement or judgment.

              (d) In the event that the indemnity provided in paragraph (a) or
       (b) of this Section 7 is unavailable to or insufficient to hold harmless
       an indemnified party for any reason, then each applicable indemnifying
       party, in lieu of indemnifying such indemnified party, shall have a joint
       and several obligation to contribute to the aggregate losses, claims,
       damages and liabilities (including legal or other expenses reasonably
       incurred in connection with investigating or defending the same)
       (collectively "Losses") to which such indemnified party may be subject in
       such proportion as is appropriate to reflect the relative benefits
       received by such indemnifying party, on the one hand, and such
       indemnified party, on the other hand, from the Initial Placement and the
       Registration Statement that resulted in such Losses; provided, however,
       that in no case shall the Initial Purchasers or any subsequent Holder of
       any Note be responsible, in the aggregate, for any amount in excess of
       the purchase discount or commission applicable to such Note, or in the
       case of an Exchange Note, applicable to the Note that was exchangeable
       into such Exchange Note, nor shall any underwriter be responsible for any
       amount in excess of the underwriting discount or commission applicable to
       the Notes purchased by such underwriter under the Registration Statement
       that resulted in such Losses. If the allocation provided by the
       immediately preceding sentence is unavailable for any reason, the
       indemnifying party and the indemnified party shall contribute in such
       proportion as is appropriate to reflect not only such relative benefits
       but also the relative fault of such indemnifying party, on the one hand,
       and such indemnified party, on the other hand, in connection with the
       statements or omissions that resulted in such Losses as well as any other
       relevant equitable considerations. Benefits received by the Company and
       the Guarantors shall be deemed to be equal to the total net proceeds from
       the Initial Placement (before deducting expenses). Benefits received by
       the Initial Purchasers shall be deemed to be equal to the total purchase
       discounts and commissions, and benefits received by any other Holders
       shall be deemed to be equal to the value of receiving Initial Notes or
       Exchange Notes, as applicable, registered under the Securities Act.
       Benefits received by any Underwriter shall be deemed to be equal to the
       total underwriting discounts and commissions, as set forth on the cover
       page of the Prospectus forming a part of the Registration Statement that
       resulted in such Losses. Relative fault shall be determined by reference
       to whether any alleged untrue statement or omission relates to
       information provided by the indemnifying party, on the one hand, or by
       the indemnified party, on the other hand. The parties agree that it would
       not be just and equitable if contribution were determined by pro rata
       allocation or any other method of allocation that did not take account of
       the equitable considerations referred to above. Notwithstanding the
       provisions of this paragraph (d), no person guilty of fraudulent
       misrepresentation (within the meaning of Section 11(f) of the Securities
       Act) shall be entitled to contribution from any person who was not guilty
       of such fraudulent misrepresentation. For purposes of this Section 7,
       each person who controls a Holder within the meaning of either the
       Securities Act or the Exchange Act and each director, officer,

                                       20
<PAGE>

       employee and agent of such Holder shall have the same rights to
       contribution as such Holder, and each person who controls the Company or
       any of the Guarantors within the meaning of either the Securities Act or
       the Exchange Act, each officer of the Company or any of the Guarantors
       who shall have signed the Registration Statement and each director of the
       Company or any of the Guarantors shall have the same rights to
       contribution as the Company and the Guarantors, subject in each case to
       the applicable terms and conditions of this paragraph (d).

              (e) The provisions of this Section 7 will remain in full force and
       effect, regardless of any investigation made by or on behalf of any
       Holder, the Company or any of the Guarantors or any of their respective
       officers, directors or controlling persons referred to in Section 7
       hereof, and will survive the sale by a Holder of Notes covered by a
       Registration Statement.

       8. Rule 144A.

       The Company and the Guarantors hereby agree with each Holder, for so long
as any Transfer Restricted Securities remain outstanding, to make available to
any Holder or beneficial owner of Transfer Restricted Securities in connection
with any sale thereof and any prospective purchaser of such Transfer Restricted
Securities from such Holder or beneficial owner, the information required by
Rule 144A(d)(4) under the Securities Act, if applicable, in order to permit
resales of such Transfer Restricted Securities pursuant to Rule 144A.

       9. Participation In Underwritten Registrations.

       No Holder may participate in any Underwritten Registration hereunder
unless such Holder (a) agrees to sell such Holder's Transfer Restricted
Securities on the basis provided in any underwriting arrangements approved by
the Persons entitled hereunder to approve such arrangements and (b) completes
and executes all reasonable questionnaires, powers of attorney, indemnities,
underwriting agreements, lock-up letters and other documents required under the
terms of such underwriting arrangements.

       10. Selection Of Underwriters.

       The Holders of Transfer Restricted Securities covered by the Shelf
Registration Statement who desire to do so may sell such Transfer Restricted
Securities in an Underwritten Offering. In any such Underwritten Offering, the
investment banker or investment bankers and manager or managers that will
administer the offering will be selected by the Holders of a majority in
aggregate principal amount of the Transfer Restricted Securities included in
such offering; provided that such investment bankers and managers must be
reasonably satisfactory to the Company and the Guarantors.

       11. Miscellaneous.

              (a) No Inconsistent Agreement. Neither the Company nor any of the
       Guarantors has, as of the date hereof, entered into, nor shall any of
       them, on or after the date hereof, enter into, any agreement that
       conflicts with the rights granted to the Holders herein or otherwise
       conflicts with the provisions hereof.

              (b) Amendments and Waivers. The provisions of this Agreement,
       except for Section 3 and the following sentence, including the provisions
       of this sentence, may not be amended, qualified, modified or
       supplemented, and waivers or consents to departures from the provisions
       of this Agreement (with the exception of Section 3 and the following
       sentence) may not be given, unless the Company and the Guarantors have
       obtained the written consent of the Holders of at least a majority of the
       then outstanding aggregate principal amount of Notes (or, after the
       expiration of any Exchange Offer in accordance with Section 2 hereof, of
       Exchange Notes); provided that with respect to any matter that directly
       or indirectly affects the rights of the Initial Purchasers hereunder, the
       Company and the Guarantors shall obtain the written consent of the

                                       21
<PAGE>

       Initial Purchasers. The provisions of Section 3 of this Agreement and the
       provisions of this sentence may not be amended, qualified, modified or
       supplemented, and waivers or consents to departures from the provisions
       of Section 3 or this sentence may not be given, unless the Company and
       the Guarantors have obtained the written consent of the Market Maker.
       Notwithstanding the foregoing (except the foregoing proviso), a waiver or
       consent to departure from the provisions hereof with respect to a matter
       that relates exclusively to the rights of Holders whose Initial Notes or
       Exchange Notes are being sold pursuant to a Registration Statement and
       that does not directly or indirectly affect the rights of other Holders
       may be given by the Majority Holders, determined on the basis of Notes
       being sold rather than registered under such Registration Statement.

              (c) Notices. All notices and other communications provided for or
       permitted hereunder shall be made in writing by hand-delivery,
       first-class mail, telex, telecopier, or air courier guaranteeing
       overnight delivery:

                     (i) if to a Holder, at the most current address given by
              such Holder to the Company in accordance with the provisions of
              this Section 11(c), which address initially is, with respect to
              each Holder, the address of such Holder maintained by the Trustee,
              with a copy in like manner to Lehman Brothers Inc.;

                     (ii) if to the Initial Purchasers, at Lehman Brothers Inc.,
              745 Seventh Avenue, New York, NY 10019, Attention: Michael
              Konigsberg, Fax: (646) 758-4247, with a copy to Weil, Gotshal &
              Manges LLP, 767 Fifth Avenue, New York, NY 10153, Attention: Rod
              Miller, Fax: (212) 310-8007;

                     (iii) if to the Company and the Guarantors, at Hanger
              Orthopedic Group, Inc., Two Bethesda Metro Center, Suite 1200,
              Bethesda, MD 20814, Attention: Ivan R. Sabel, Fax: (301) 986-0702,
              with a copy to Foley & Lardner, 3000 K Street, N.W., Suite 500,
              Washington, DC 20007-5109, Attention: Jay W. Freedman, Esq., Fax:
              (202) 672-5399; and

                     (iv) if to the Market Maker, at J.P. Morgan Securities
              Inc., 270 Park Avenue, 4th Floor, New York, NY 10017, Attention:
              High Yield Capital Markets, Fax: (212) 270-0994, with a copy to
              JPMorgan Chase Bank, Legal Department, 270 Park Avenue, 40th
              Floor, New York, NY 10017, Attention: Stuart D. Fishman, Fax:
              (212) 270-7473.

              All such notices and communications shall be deemed to have been
       duly given when received. The Initial Purchasers, the Company and the
       Guarantors, and the Market Maker, by notice to the other parties may
       designate additional or different addresses for subsequent notices or
       communications.

              (d) Successors and Assigns. This Agreement shall inure to the
       benefit of and be binding upon the successors and assigns of each of the
       parties, including, without the need for an express assignment or any
       consent by the Company and the Guarantors thereto, subsequent Holders of
       Initial Notes and/or Exchange Notes. The Company and the Guarantors
       hereby agree to extend the benefits of this Agreement to any Holder of
       Initial Notes and/or Exchange Notes and any such Holder may specifically
       enforce the provisions of this Agreement as if an original party hereto.

              (e) Counterparts. This Agreement may be executed in any number of
       counterparts and by the parties hereto in separate counterparts, each of
       which when so executed shall be deemed to be an original and all of which
       taken together shall constitute one and the same Agreement.

              (f) Headings. The headings in this Agreement are for convenience
       of reference only and shall not limit or otherwise affect the meaning
       hereof.

                                       22
<PAGE>

              (g) Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND
       CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK.

              (h) Severability. In the event that any one or more of the
       provisions contained herein, or the application thereof in any
       circumstances, is held invalid, illegal or unenforceable in any respect
       for any reason, the validity, legality and enforceability of any such
       provision in every other respect and of the remaining provisions hereof
       shall not be in any way impaired or affected thereby, it being intended
       that all of the rights and privileges of the parties shall be enforceable
       to the fullest extent permitted by law.

              (i) Initial Notes Held by the Company, Etc. Whenever the consent
       or approval of Holders of a specified percentage of the aggregate
       principal amount of Initial Notes or Exchange Notes is required
       hereunder, Initial Notes or Exchange Notes, as applicable, held by the
       Company and the Guarantors or their Affiliates (other than subsequent
       Holders of Initial Notes or Exchange Notes if such subsequent Holders are
       deemed to be Affiliates solely by reason of their holdings of such
       Initial Notes or Exchange Notes) shall not be counted in determining
       whether such consent or approval was given by the Holders of such
       required percentage.

            [THE REMAINDER OF THIS PAGE IS INTENTIONALLY LEFT BLANK]

                                       23
<PAGE>

       Please confirm that the foregoing correctly sets forth the agreements
under the Registration Rights Agreement among the Company, the Guarantors and
the Initial Purchasers.

                                       Very truly yours,

                                       HANGER ORTHOPEDIC GROUP, INC.

                                       By:  /s/ George E. McHenry
                                            ------------------------------------
                                            Name: George E. McHenry
                                            Title: Executive Vice President and
                                                   Chief Financial Officer

                                       A.D. CRAIG COMPANY
                                       ADVANCED ORTHOPEDIC TECHNOLOGIES, INC.
                                       ADVANCED ORTHOPEDIC TECHNOLOGIES
\                                       (CLAYTON), INC.
                                       DOBI-SYMPLEX, INC.
                                       E.A. WARNICK-POMEROY CO., INC.
                                       EUGENE TEUFEL & SON ORTHOTICS &
                                        PROSTHETICS, INC.
                                       FRANK J. MALONE & SON, INC.
                                       HANGER PROSTHETICS & ORTHOTICS, INC.
                                       HANGER PROSTHETICS & ORTHOTICS EAST, INC.
                                       HANGER PROSTHETICS & ORTHOTICS HOLDINGS,
                                        INC.
                                       HANGER PROSTHETICS & ORTHOTICS WEST, INC.
                                       HPO, INC.
                                       MEADOWBROOK ORTHOPEDICS, INC.
                                       MEDICAL ARTS O&P SERVICES, INC.
                                       OPNET, INC.
                                       ORTHOTIC & PROSTHETIC REHABILITATION
                                        TECHNOLOGIES, INC.
                                       PROGRESSIVE ORTHOPEDIC
                                       SOUTHERN PROSTHETIC SUPPLY, INC.
                                       UNIVERSITY ORTHOTIC & PROSTHETIC
                                        CONSULTANTS, LTD.

                                       By:  /s/ Glenn M. Lohrmann
                                            ------------------------------------
                                            Name: Glenn M. Lohrmann
                                            Title: Vice President, Secretary and
                                                   Treasurer

                                       24
<PAGE>

The foregoing Agreement is hereby
accepted as of the date first above written.

LEHMAN BROTHERS INC.

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

For itself and as representative of the Initial Purchasers.

<PAGE>
                                                                         ANNEX A

       Each broker-dealer that receives Exchange Notes for its own account
pursuant to the Exchange Offer must acknowledge that it will deliver a
prospectus in connection with any resale of such Exchange Notes. The Letter of
Transmittal states that by so acknowledging and by delivering a prospectus, a
broker-dealer will not be deemed to admit that it is an "underwriter" within the
meaning of the Securities Act. This Prospectus, as it may be amended or
supplemented from time to time, may be used by a broker-dealer in connection
with resales of Exchange Notes received in exchange for Notes where such Notes
were acquired by such broker-dealer as a result of market-making activities or
other trading activities. The Company has agreed that, starting on the
Expiration Date (as defined herein) and ending on the close of business one year
after the Expiration Date, it will make this Prospectus available to any
broker-dealer for use in connection with any such resale. See "Plan of
Distribution."

<PAGE>

                                                                         ANNEX B

       Each broker-dealer that receives Exchange Notes for its own account in
exchange for Notes, where such Notes were acquired by such broker-dealer as a
result of market-making activities or other trading activities, must acknowledge
that it will deliver a prospectus in connection with any resale of such Exchange
Notes. See "Plan of Distribution."

<PAGE>

                                                                         ANNEX C

       Each broker-dealer that receives Exchange Notes for its own account
pursuant to the Exchange Offer must acknowledge that it will deliver a
prospectus in connection with any resale of such Exchange Notes. This
Prospectus, as it may be amended or supplemented from time to time, may be used
by a broker-dealer in connection with resales of Exchange Notes received in
exchange for Notes where such Notes were acquired as a result of market-making
activities or other trading activities. The Company has agreed that, starting on
the Expiration Date and ending on the close of business one year after the
Expiration Date, it will make this Prospectus, as amended or supplemented,
available to any broker-dealer for use in connection with any such resale. In
addition, until such date all dealers effecting transactions in the Exchange
Notes may be required to deliver a prospectus.

<PAGE>

                                                                         ANNEX D

       If the undersigned is a broker-dealer that will receive Exchange Notes
for its own account in exchange for Notes, it represents that the Notes to be
exchanged for the Exchange Notes were acquired by it as a result of
market-making activities or other trading activities and acknowledges that it
will deliver a prospectus in connection with any resale of such Exchange Notes;
however, by so acknowledging and by delivering a prospectus, the undersigned
will not be deemed to admit that it is an "underwriter" within the meaning of
the Securities Act.

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