Document:

<PAGE>
                                                                    Exhibit 10.6

                           RESTRICTED STOCK AGREEMENT

                  THIS AGREEMENT, dated as of the 2nd day of January 2004,
between DYCOM INDUSTRIES, INC., a Florida corporation (the "COMPANY"), and
STEVEN NIELSEN (the "PARTICIPANT").

                  WHEREAS, the Participant is the President and Chief Executive
Officer of the Company and, pursuant to the 2003 Amended and Restated Employment
Agreement between the Company and the Participant, as may be amended from time
to time (the "EMPLOYMENT AGREEMENT"), the Company grants to the Participant
100,000 restricted shares ("RESTRICTED STOCK") of common stock, par value
$.0331/3 per share, of the Company (the "COMMON STOCK") under the Company's 2003
Long-Term Incentive Plan (the "PLAN"), subject to the terms and conditions
hereinafter set forth;

                  NOW, THEREFORE, in consideration of the covenants and
agreements herein contained, the parties hereto agree as follows:

         1. DEFINITIONS; INCORPORATION OF PLAN TERMS.

                  Capitalized terms used herein without definition shall have
the meanings assigned to them in the Plan, a copy of which is attached hereto.
This Award Agreement and the Restricted Stock shall be subject to the Plan, the
terms of which are incorporated herein by reference, and in the event of any
conflict or inconsistency between the Plan and this Award Agreement, the Plan
shall govern. The date of grant with respect to the Restricted Stock shall be
January 2nd, 2004 (the "GRANT DATE").

         2. GRANT OF RESTRICTED STOCK.

                  Subject to the terms and conditions contained herein and in
the Plan, the Company hereby grants 100,000 shares of Restricted Stock to the
Participant as of the Grant Date.

         3. VESTING OF RESTRICTED STOCK.

                  Unless previously vested or forfeited in accordance with the
terms of the Plan or this Award Agreement, the Restricted Stock shall vest and
become non-forfeitable over a period of four years: twenty-five percent of the
Restricted Stock will vest on December 31, 2004 and an additional twenty-five
percent will vest on each of December 31, 2005, December 31, 2006 and December
31, 2007; PROVIDED that the Participant remains in the employ of the Company
through such dates.

                  Except to the extent otherwise provided by the Plan or this
Award Agreement, in the event the Participant's employment is terminated on or
before December 31, 2004, (i) because of death, (ii) by reason of disability (as
defined in paragraph 5(b) of the Employment Agreement), (iii) by the Company for
any reason other than for Cause (as defined in paragraph 5(a) of the Employment
Agreement) or (iv) by the Participant for Good Reason (as defined in paragraph

<PAGE>

5(c) of the Employment Agreement), then Twenty-Five Thousand (25,000) of the
restricted shares granted hereunder shall be deemed to be immediately and fully
vested and all restrictions on such restricted shares shall lapse on the date of
such termination or resignation.

         4. TERMINATION OF EMPLOYMENT.

                  Except to the extent otherwise provided by the Plan or this
Award Agreement, in the event of the Participant's termination of employment for
any reason, the Participant shall immediately forfeit all unvested Restricted
Stock as of the date of such termination.

         5. CHANGE IN CONTROL.

                  In the event that the Participant's employment is terminated
without Cause or he resigns for Good Reason during the 13-month period
commencing on the date of a Change of Control, all unvested Restricted Stock
shall immediately and fully vest and all restrictions shall lapse. For purposes
of this Paragraph 5, "Change in Control" shall have the meaning set forth in
paragraph 5(c) of the Employment Agreement.

         6. NONTRANSFERABILITY OF THE RESTRICTED STOCK.

                  Unless determined otherwise by the Committee, Restricted Stock
may not be sold, pledged, assigned, hypothecated, transferred or disposed of in
any manner other than by will or by the laws of descent or distribution or
pursuant to a "qualified domestic relations order" as defined in the Internal
Revenue Code of 1986, as amended, or Title I of the Employee Retirement Income
Security Act of 1974, as amended, and the rules and regulations thereunder,
prior to the date that such Restricted Stock becomes vested and non-forfeitable;
PROVIDED, HOWEVER, that Restricted Stock shall be transferable, in whole or in
part, with the written consent of the Committee, to trusts established wholly or
in part for the benefit of the Participant's immediate family members. Such
transfers are subject to the terms and conditions of the Plan and this Award
Agreement. The restrictions on transferability set forth above shall not apply
to Restricted Stock after the date that such Restricted Stock becomes vested and
non-forfeitable as set forth herein.

         7. RIGHTS AS A STOCKHOLDER.

                  The Participant shall have, with respect to the Restricted
Stock, all of the rights of a stockholder of the Company, including, if
applicable, the right to vote the Restricted Stock and to receive any cash
dividends, subject to the restrictions set forth in the Plan and this Award
Agreement.

         8. DIVIDENDS AND DISTRIBUTIONS.

                  Any Common Stock or other securities of the Company received
by the Participant as a result of a distribution to holders of Restricted Stock
or as a dividend on the Restricted Stock shall be subject to the same
restrictions as such Restricted Stock, and all references to Restricted Stock
hereunder shall be deemed to include such Common Stock or other securities.

                                       2
<PAGE>

         9. ISSUANCE OF CERTIFICATES.

                  The Participant shall be issued four certificates in respect
of the Restricted Stock at the Grant Date, each certificate representing
twenty-five percent (25%) of the Common Stock covered by the award of Restricted
Stock. Such certificates shall be held in custody by the Company until the
restrictions thereon shall have lapsed and the Participant shall deliver a stock
power, endorsed in blank, relating to the Restricted Stock.

         10. TAXES AND WITHHOLDINGS.

                  No later than the date as of which an amount first becomes
includable in the gross income of the Participant for applicable income tax
purposes with respect to Restricted Stock, the Participant shall pay to the
Company or make arrangements satisfactory to the Committee regarding payment of
any federal, state or local taxes of any kind required by law to be withheld
with respect to such amount.

                  Unless otherwise determined by the Committee, in accordance
with rules and procedures established by the Committee, the minimum required
withholding obligations may be settled with Common Stock, including Common Stock
that is part of the Award that gives rise to the withholding requirement. The
obligation of the Company under this Award Agreement shall be conditional upon
such payment or arrangements and the Company shall, to the extent permitted by
law, have the right to deduct any such taxes from any payment of any kind
otherwise due to the Participant.

         11. NOTICES.

                  All notices and other communications under this Award
Agreement shall be in writing and shall be given by hand delivery to the other
party or by facsimile, overnight courier, or registered or certified mail,
return receipt requested, postage prepaid, addressed as follows:

                  If to the Participant: at the last known address on record at
the Company.

                  If to the Company:   Michael K. Miller, Esquire
                                       General Counsel and Secretary
                                       Dycom Industries, Inc.
                                       4440 PGA Boulevard, Suite 500
                                       Palm Beach Gardens, Florida 33410-6542

or to such other address or facsimile number as any party shall have furnished
to the other in writing in accordance with this Paragraph 11. Notice and
communications shall be effective when actually received by the addressee.

         12. SUCCESSOR.

                  Except as otherwise provided hereunder, this Award Agreement
shall be binding upon and shall inure to the benefit of any successor or
successors of the Company, and to any transferee or successor of the Participant
pursuant to Paragraph 6.

                                       3
<PAGE>

         13. GOVERNING LAW.

                  The interpretation, performance and enforcement of this Award
Agreement shall be governed by the laws of the State of Florida without
reference to principles of conflict of laws, as applied to contracts executed in
and performed wholly within the State of Florida.

         14. SEVERABILITY.

                  If any provision of this Award Agreement shall be held illegal
or invalid for any reason, such illegality or invalidity shall not affect the
remaining provisions of this Award Agreement, but this Award Agreement shall be
construed and enforced as if such illegal or invalid provision had never been
included herein.

         15. NO RESTRICTION ON RIGHT OF COMPANY TO EFFECT CORPORATE CHANGES.

                  Neither the Plan nor this Award Agreement shall affect or
restrict in any way the right or power of the Company or its shareholders to
make or authorize any adjustment, recapitalization, reorganization or other
change in the capital structure or business of the Company, or any merger or
consolidation of the Company, or any issue of stock or of options, warrants or
rights to purchase stock or of bonds, debentures, preferred or prior preference
stocks whose rights are superior to or affect the Common Stock or the rights
thereof or which are convertible into or exchangeable for Common Stock, or the
dissolution or liquidation of the Company, or any sale or transfer of all or any
part of the assets or business of the Company, or any sale or transfer of all or
any part of its assets or business, or any other corporate act or proceeding,
whether of a similar character or otherwise.

         16. EXCHANGE ACT.

                  Notwithstanding anything contained in the Plan or this Award
Agreement to the contrary, if the consummation of any transaction under the Plan
or this Award Agreement would result in the possible imposition of liability on
the Participant pursuant to Section 16(b) of the Exchange Act, the Committee
shall have the right, in its sole discretion, but shall not be obligated, to
defer such transaction to the extent necessary to avoid such liability, but in
no event for a period in excess of 180 days.

         17. AMENDMENT.

                  This Award Agreement may not be modified, amended or waived
except by an instrument in writing signed by both parties hereto. The waiver by
either party of compliance with any provision of this Award Agreement shall not
operate or be construed as a waiver of any other provision of this Award
Agreement, or of any subsequent breach by such party of a provision of this
Award Agreement.

         18. CLAIM TO AWARDS AND EMPLOYMENT RIGHTS.

                  The Participant shall not have any claim or right to receive
or be eligible to receive any additional Awards under the Plan. Neither the Plan

                                       4
<PAGE>

nor this Award Agreement nor any action taken or omitted to be taken hereunder
or thereunder shall be deemed to create or confer on the Participant any right
to be retained in the employ of the Company or to interfere with or to limit in
any way the right of the Company to terminate the employment of the Participant
at any time.

         19. ENTIRE AGREEMENT.

                  This Award Agreement and the Plan set forth the entire
agreement and understanding between the parties hereto with respect to the
matters covered herein, and supersede all prior agreements and understandings
concerning such matters. This Award Agreement may be executed in one or more
counterparts, each of which shall be deemed to be an original, but all such
counterparts shall together constitute one and the same agreement. The headings
of sections and subsections herein are included solely for convenience of
reference and shall not affect the meaning of any of the provisions of this
Award Agreement.

         IN WITNESS WHEREOF, the Company has caused this Award Agreement to be
executed by its duly authorized officer and the Participant has executed this
Award Agreement, both as of the day and year first above written.

                                     DYCOM INDUSTRIES, INC.

                                     By:  /s/ Michael K. Miller
                                          ------------------------------
                                     Name:  Michael K. Miller
                                     Title:  General Counsel and Secretary

                                     /s/ Steven Nielsen
                                     -----------------------------------
                                     Steven Nielsen

                                       5<PAGE>

                                                                    EXHIBIT 4.11

                          FOURTH SUPPLEMENTAL INDENTURE

         THIS FOURTH SUPPLEMENTAL INDENTURE dated as of March 8, 2004 (the
"Fourth Supplemental Indenture") by and among Pierre Foods, Inc. (formerly Fresh
Foods, Inc.), a North Carolina corporation (the "Company"), Fresh Foods
Properties LLC, a North Carolina limited liability company and wholly-owned
subsidiary of the Company ("Fresh Foods") and Compass Outfitters LLC, a North
Carolina limited liability company and wholly-owned subsidiary of the Company,
each as a subsidiary guarantor (collectively, the "Subsidiary Guarantors") and
U.S. Bank National Association, a national banking association and successor to
State Street Bank and Trust Company ("SSBT"), as trustee (the "Trustee").

         WHEREAS, an Indenture dated as of June 9, 1998 among the Company, each
of several subsidiaries of the Company as Guarantors and SSBT as trustee was
executed and delivered to SSBT, as supplemented by a First Supplemental
Indenture dated as of September 5, 1998 among the Company, Pierre Leasing, LLC,
a North Carolina limited liability company, as Additional Guarantor, and SSBT as
trustee, a Second Supplemental Indenture dated as of February 26, 1999 among the
Company, Fresh Foods Restaurant Group, LLC, a Delaware limited liability company
as Additional Guarantor, and SSBT as trustee, and a Third Supplemental Indenture
dated as of October 8, 1999 among the Company and SSBT as trustee (collectively,
the "Original Indenture" and, collectively, with this Fourth Supplemental
Indenture, the "Indenture"), providing for the issuance of the Company's 10-3/4%
Senior Notes due 2006 (the "Notes"). Capitalized terms used herein but not
otherwise defined have the definitions set forth in the Original Indenture.

         WHEREAS, Section 9.02 of the Original Indenture provides that the
Company and the Trustee may amend the Original Indenture or the Notes with the
written consent of the Holders of not less than a majority in principal amount
of the Notes then outstanding.

         WHEREAS, Holders representing not less than a majority in principal
amount of the Notes currently outstanding ("Majority Holders") have heretofore
agreed to certain amendments to the Original Indenture to: (i) increase the per
annum rate of interest payable with respect to the Notes; (ii) grant to the
Trustee for the benefit of all Holders a lien on all assets of the Company,
junior and subordinate only to the liens securing the Senior Debt; (iii) provide
the Holders with the right to require the Company to repurchase the Notes; (iv)
establish provision for the mandatory redemption of the Notes in certain
circumstances; (v) limit the aggregate annual compensation that may be paid to
certain executives of the Company; (vi) require the Company to terminate all
related party transactions, including related party transactions with its
Covered Executive Group (as defined herein), other than the certain permitted
related party transactions as set forth herein; (vii) permit the transfer of
certain assets and the transfer on a subordinated basis of certain indebtedness
of PF Management, Inc. ("PFMI") to the Company; (viii) provide for the terms of
subordination of the PFMI indebtedness assumed by the Company; and (ix) provide
for certain changes to the Company's corporate governance and oversight
including, without limitation, (A) the appointment to the Company's Board of
Directors of one outside director acceptable to both the Company and the
Majority Holders and (B) the appointment of an independent audit firm to
monitor, at the Company's expense, the Company's compliance on an annual basis
with the covenants set forth in the Indenture.

<PAGE>

         WHEREAS, Section 6.04 of the Original Indenture provides that certain
past Defaults (as defined in the Original Indenture) or compliance with any
provisions of the Indenture may be waived with the consent of the Majority
Holders.

         WHEREAS, the Majority Holders have heretofore agreed to waive any and
all Defaults occurring prior to the date hereof by the Company under the
Indenture.

         NOW THEREFORE, the Company, the Subsidiary Guarantors and the Trustee
hereby agree as follows:

                                    ARTICLE I

                                   AMENDMENTS

         1.       Section 1.01 of the Original Indenture is hereby amended as
follows:

                  (a)      The following new definitions are hereby added to
         Section 1.01:

                           (i)         "Additional Bonus Pool" has the
                                    meaning assigned to it in Section 4.20.

                           (ii)        "Assumed PFMI Indebtedness" means the
                                    Indebtedness set forth on Exhibit C hereto,
                                    which shall be subordinated as set forth in
                                    Section 4.21.

                           (iii)       "Cash Sweep Payment" has the meaning
                                    assigned to it in Section 3.07.

                           (iv)        "Cash Sweep Payment Conditions" has the
                                    meaning assigned to it in Section 3.07.

                           (v)         "Collateral" means all assets of the
                                    Company, the Subsidiary Guarantors or any of
                                    their respective Restricted Subsidiaries,
                                    defined as Collateral in any of the
                                    Collateral Documents, including without
                                    limitation, all of the following property
                                    and interests in such property, whether now
                                    owned or existing or hereafter created,
                                    acquired or arising and wheresoever located:
                                    accounts, certificated securities, chattel
                                    paper, computer hardware and software,
                                    contract rights, deposit accounts,
                                    documents, equipment, financial assets,
                                    fixtures, general intangibles, goods,
                                    instruments, intellectual property,
                                    inventory, investment property, money,
                                    letter-of-credit rights, payment
                                    intangibles, security entitlements,
                                    supporting obligations, uncertificated
                                    securities, and all other personal and real
                                    property.

                                        2
<PAGE>

                           (vi)        "Collateral Documents" means,
                                    collectively, (i) the Security Agreement;
                                    (ii) Second Mortgage executed by the Company
                                    in favor of the Trustee dated as of March 8,
                                    2004 for property located at 9990 Princeton
                                    Road, Cincinnati, Ohio; (iii) the Second
                                    Deed of Trust executed by the Company in
                                    favor of the Trustee dated as of March 8,
                                    2004 for property located at 1000 WSMP
                                    Drive, Claremont, North Carolina; (iv) the
                                    Pledge Agreement between the Company and the
                                    Trustee dated as of March 8, 2004; (v)
                                    Trademark Security Agreement between the
                                    Company and the Trustee dated as of March 8,
                                    2004 and (vi) Trademark Security Agreement
                                    between Fresh Foods and the Trustee dated as
                                    of March 8, 2004, as each such document may
                                    from time to time be amended, restated,
                                    supplemented or otherwise modified.

                           (vii)       "Consent Fee Payment" means the fee in an
                                    amount equal to 3% of the outstanding
                                    principal amount of the Notes held by those
                                    Holders consenting to the restructuring of
                                    the Notes as set forth herein.

                           (viii)      "Consolidated Excess Cash" means, with
                                    respect to any Fiscal Year, the amount by
                                    which the sum of (i) the Consolidated EBITDA
                                    (as defined in the Bank Facility in
                                    existence on the date hereof) of the Company
                                    and its Subsidiaries for such Fiscal Year,
                                    less (ii) the Company's and its
                                    Subsidiaries' Capital Expenditures permitted
                                    by (and as Capital Expenditures is defined
                                    in) the Company's Bank Facility in existence
                                    on the date hereof; less (iii) cash payments
                                    made during such Fiscal Year by the Company
                                    and its Subsidiaries for taxes, assessments
                                    and governmental charges levied or imposed
                                    upon the Company or any of its Subsidiaries
                                    by reason of the income, profits or Property
                                    of the Company or any of its Subsidiaries,
                                    is greater than one hundred ten percent
                                    (110%) of the sum of (a) the Company's
                                    Consolidated Interest Expense (as defined in
                                    the Bank Facility in existence as of the
                                    date hereof) for such Fiscal Year, plus (b)
                                    principal payments required to be made
                                    during such Fiscal Year by the Company and
                                    its Subsidiaries under the instruments and
                                    agreements governing the Company's and its
                                    Subsidiaries' Permitted Indebtedness.

                           (ix)        "Covered Executives" means James
                                    Richardson, David Clark and James Templeton.

                                        3
<PAGE>

                           (x)         "Covered Executive Group" has the meaning
                                    assigned to it in Section 4.20.

                           (xi)        "Credit Availability Amount" means, on
                                    any date of determination thereof, the
                                    amount which the Company is entitled to
                                    borrow under its revolving line of credit
                                    extended to it as part of the Bank Facility,
                                    such amount being the difference derived
                                    when the sum of the principal amount of
                                    revolving loans and letters of credit then
                                    outstanding under the Bank Facility is
                                    subtracted from the Company's borrowing base
                                    as calculated and determined in accordance
                                    with the terms of the Bank Facility.

                           (xii)       "Distribution" has the meaning assigned
                                    to it in Section 4.09(c).

                           (xiii)      "Fiscal Year" means the fiscal year of
                                    the Company which means twelve (12) periods
                                    consisting of four (4) or five (5) weeks
                                    each determined based on a 52-53 week
                                    accounting period, the last week of which
                                    ends on the last day of February if it falls
                                    on a Saturday, and, if not, on the first
                                    Saturday in March of each year. When a year
                                    is used in connection with a Fiscal Year,
                                    such as Fiscal Year 2004, such reference
                                    shall mean the Fiscal Year ending in that
                                    year.

                           (xiv)       "Independent Director" has the meaning
                                    assigned to it in Section 4.23(b).

                           (xv)        "PFMI" means PF Management, Inc., a North
                                    Carolina corporation.

                           (xvi)       "Security Agreement" means that certain
                                    Security Agreement dated as of March 8, 2004
                                    by the Company in favor of the Trustee (for
                                    the benefit of the Holders).

                           (xvii)      "Senior Debt" means all Indebtedness
                                    arising under the Bank Facility.

                           (xviii)     "Senior Lender" means Fleet Capital
                                    Corporation, and any other lenders or
                                    financial institutions that are parties to
                                    the Bank Facility from time to time.

                           (xix)       "Subordination Agreement" means the Lien
                                    Subordination Agreement between the Trustee
                                    and the Senior Lender, and acknowledged and
                                    agreed to by the Company and others, in the
                                    form attached as Exhibit D, as

                                        4
<PAGE>

                                    the same may from time to time be amended,
                                    restated, modified or supplemented.

                           (xx)        "2005 Offer" has the meaning assigned to
                                    it in Section 4.22(a).

                           (xxi)       "2005 Offer Purchase Date" has the
                                    meaning assigned to it in Section 4.22(a).

                           (xxii)      "2005 Offer Purchase Price" has the
                                    meaning assigned to it in Section 4.22(a).

                  (b)      The definition of "Bank Facility" is hereby amended
         by (1) deleting the words "Credit Agreement dated as of June 9, 1998
         among the Company and the Subsidiaries listed therein, the lenders
         party thereto and First Union Commercial Corporation as administrative
         agent thereunder"; and substituting therefor the words "Loan and
         Security Agreement dated as of August 13, 2003 among the Company, PFMI
         and the Senior Lender" and (2) striking "$75,000,000" in the fourth
         line thereof and substituting therefor "$40,000,000".

                  (c)      The definition of "Net Available Cash" in the
         Indenture is hereby amended by adding the words "other than any fees or
         other amounts paid or payable to the Company, any Affiliate of the
         Company, the Covered Executives or any Affiliate of the Covered
         Executives" immediately after the word "commissions" in the eighth line
         thereof.

                  (d)      The definition of "Permitted Indebtedness" is hereby
         amended as follows: (1) subsection (ii) thereof shall read in its
         entirety as follows: "Indebtedness under the Bank Facility; provided
         that the aggregate principal amount of Indebtedness outstanding under
         the Bank Facility at any one time shall not exceed $40.0 million."; (2)
         in subsection (ix) thereof, by adding "(xii), (xiii), (xiv)" after (i)
         in the second line thereof; and (3) by adding the following subsections
         at the end thereof to read as follows: "(xii) the Assumed PFMI
         Indebtedness; (xiii) Indebtedness arising from the transfer and
         assignment to the Company of the British Aerospace BAe Series 800A
         aircraft from Columbia Hill Aviation, LLC; or (xiv) Indebtedness
         arising from the Company's repurchase of the Notes pursuant to Section
         4.22."

                  (e)      The definition of "Permitted Investment" is hereby
         amended by: (1) in subsection (iv) thereof, adding the words ", other
         than the Covered Executives, and" after the word "Subsidiaries"; and
         (2) adding the following clause to the end of subsection (viii)
         thereof, immediately preceding the period: "; provided, however, that
         no such Investment may be made in an Affiliate of the Company other
         than as expressly permitted in this Indenture."

                  (f)      The definition of "Permitted Liens" is hereby amended
         by: (1) in subsection (xii) thereof, adding the following after the
         reference to clause (xi): ", (xiii) or (xiv)"; (2) deleting the words
         "Liens existing on the Issue Date and" at the beginning of subsection
         (xiii) thereof; (3) deleting the word "and" from the end of subsection
         (xiii), (4)

                                        5
<PAGE>

         deleting the "." and adding "; and" to the end of subsection (xiv) and
         adding a subsection (xv) to the end thereof, reading "(xv) Liens
         securing the Notes."

                  (g)      The definition of "Refinancing Indebtedness" is
         hereby amended by: (1) adding the words "each of the following
         conditions are first satisfied" immediately after the clause "provided
         that" in the fourth line thereof; and (2) subsection (ii) is hereby
         amended in its entirety to read as follows: "the terms and conditions
         of the Refinancing Indebtedness, including the required principal
         payments or prepayments and interest rate, are to the Company at least
         as favorable as, and no more restrictive than, the terms and conditions
         of the Indebtedness so extended, refinanced, renewed, replaced,
         defeased or refunded;".

         2.       Section 2.01(a) of the Original Indenture is hereby amended in
its entirety to read as follows: "The Notes and the certificate of
authentication of the Trustee thereon shall be substantially in the form of
Exhibit A hereto, which is hereby incorporated in and expressly made a part of
this Indenture."

         3.       Section 2.05(c) of the Original Indenture is hereby amended by
adding the words "or mandatory" immediately after the word "optional" in the
first line thereof.

         4.       The first sentence of Section 3.01 of the Original Indenture
is hereby amended, in its entirety, to read as follows: "If the Company elects
to redeem Notes pursuant to paragraph 6(a) thereof or is required to redeem
Notes pursuant to paragraph 6(b) thereof, it shall, in any such case, notify the
Trustee in writing of the Redemption Date and the principal amount of Notes to
be redeemed."

         5.       A new Section 3.07 is hereby added to the Indenture, which
shall read in its entirety as follows:

                           SECTION 3.07. Cash Sweep Payment. The Company shall
                  redeem Notes following the end of each Fiscal Year in
                  accordance with the procedures set forth in this Section 3.07.
                  Within thirty (30) days following the delivery by the Company
                  to the Trustee and the Senior Lender of the audited financial
                  statements of the Company and its Subsidiaries for each Fiscal
                  Year ending after the date of the Fourth Supplemental
                  Indenture, but in no event later than one hundred twenty (120)
                  days following the end of each such Fiscal Year, the Company
                  shall redeem Notes by paying an amount (the "Cash Sweep
                  Payment") equal to 60% of the Company's Consolidated Excess
                  Cash for such Fiscal Year to the Trustee. Each Cash Sweep
                  Payment shall be used to redeem, on a pro rata basis, the
                  outstanding Notes at a redemption price in cash equal to 100%
                  of the aggregate principal amount thereof plus accrued and
                  unpaid interest thereon to the Redemption Date.
                  Notwithstanding the foregoing, a Cash Sweep Payment shall be
                  paid by the Company only if each of the Cash Sweep Payment
                  Conditions is first satisfied. The "Cash Sweep Payment

                                        6
<PAGE>

                  Conditions" are as follows: (i) the payment is made after the
                  Senior Lender shall have received the Company's audited
                  financial statements required by the Bank Facility; and (ii)
                  the Credit Availability Amount on the date of such payment and
                  for each day during the 90-day period immediately preceding
                  the date of such payment equals or exceeds $5.0 million, in
                  each case determined on a pro forma basis after giving effect
                  to such payment. At the time that a Cash Sweep Payment is
                  made, the Company shall deliver to the Trustee a certificate
                  (as set forth in Section 11.05) confirming that the Cash Sweep
                  Payment Conditions have been satisfied and setting forth the
                  applicable calculations showing satisfaction thereof.

         6.       Section 4.01 of the Indenture is hereby amended to add ",
Section 4.22" immediately after the word "Section 4.11" in the second sentence
of the second paragraph thereof.

         7.       Section 4.05 of the Indenture is hereby amended to add "except
as otherwise provided in any of the Collateral Documents," immediately prior to
the word "nothing" in the seventh line thereof.

         8.       Section 4.08 of the Indenture is hereby amended by adding the
following sentence at the end thereof: "Notwithstanding anything set forth in
this Section 4.08, in no event shall the Company be permitted to assume or
otherwise become responsible for making any payments with respect to any
Indebtedness of PFMI other than the Assumed PFMI Indebtedness, which shall be
subordinated as set forth in Section 4.21."

         9.       Section 4.09(b)(i) of the Indenture is hereby amended by
deleting the words "or Subordinated Obligations" in the second line thereof.

         10.      Section 4.09(b)(ii) of the Indenture is hereby amended by: (1)
deleting the word "Indebtedness" in the fourth line thereof and substituting
therefor the words "Subordinated Obligations" and deleting the word "is" and
substituting therefor the word "are" and (2) adding the following proviso at the
end thereof: "and provided, further, however, that in the case of any
refinancing of Assumed PFMI Indebtedness with Subordinated Obligations of the
Company, such Subordinated Obligations must have a maturity date that is no
earlier than the maturity date of the Assumed PFMI Indebtedness being refinanced
thereby and on terms no more favorable to the lender of such Subordinated
Obligations than the Assumed PFMI Indebtedness; and".

         11.      Section 4.09(b)(iii) of the Indenture is hereby deleted in its
entirety.

         12.      Section 4.09(b)(iv) of the Indenture is hereby renumbered as
Section 4.09(b)(iii).

         13.      Section 4.09 of the Indenture is hereby amended to add a new
subsection (c) thereto, which shall read, in its entirety, as follows: "(c)
Notwithstanding anything set forth in this Section 4.09, in no event shall the
Company be permitted to declare or make, or permit any of its respective
Subsidiaries to declare or make, any Distributions. "Distribution" shall mean
(i) the payment of any dividends or other distributions on capital stock of a
corporation or

                                        7
<PAGE>

membership interests of the limited liability company (except distributions in
such stock or membership interests) or (ii) the redemption or acquisition of
securities (or any warrant or option for the purchase of any such securities)
unless made contemporaneously from the net proceeds of the sale of such
securities."

         14.      Section 4.12 of the Indenture is hereby amended, in its
entirety, to read as follows:

                           "SECTION 4.12 Limitation on Affiliate Transactions.
                  Except for those transactions specifically listed below, the
                  Company shall not, and shall not permit any Restricted
                  Subsidiary, to enter into or permit to exist any transaction
                  with any Affiliate of the Company (an "Affiliate
                  Transaction"):

                           (i)         compensation arrangements with directors
                                    and officers of the Company (other than
                                    Covered Executives) in their capacities as
                                    such, which shall be approved by the Board
                                    of Directors of the Company including the
                                    Independent Director;

                           (ii)        compensation arrangements with the
                                    Covered Executives that meet the
                                    requirements of Section 4.20 hereof;

                           (iii)       the loan of $5,000,000 to James
                                    Richardson pursuant to the promissory note
                                    dated January 31, 2000 pledged as Collateral
                                    to the Senior Lender and the Trustee, until
                                    a Change of Control occurs as provided in
                                    Section 4.14(a)(i) or (ii);

                           (iv)        the lease agreement dated September 1,
                                    1998 between the Company and Columbia Hill
                                    Land, LLC with respect to the Company's
                                    Hickory, North Carolina office; provided
                                    that annual payments of rent under that
                                    lease do not exceed $116,000;

                           (v)         the continuance of the guarantees of the
                                    value and validity of the collateral
                                    securing the Senior Debt made by James
                                    Richardson and David Clark;

                           (vi)        the assumption by the Company of the
                                    Assumed PFMI Indebtedness, which shall be
                                    subordinated as set forth in Section 4.21;
                                    and

                           (vii)       the transfer by Columbia Hill Aviation,
                                    LLC to the Company of title to the British
                                    Aerospace BAe Series 800A aircraft and
                                    engines and the assumption by the Company of
                                    the purchase money debt secured thereby
                                    owing to

                                        8
<PAGE>

                                    Bombardier Capital, Inc. under a term loan
                                    agreement dated December 11, 2001, as
                                    amended March 1, 2002."

         15.      A new Section 4.20 is hereby added to the Indenture, which
shall read in its entirety as follows:

                           "SECTION 4.20 Limitation on Compensation of Covered
                  Executives. The aggregate annual base cash compensation or
                  management or consulting fees payable, collectively, to the
                  Covered Executives, Affiliates of the Covered Executives, or
                  management companies on behalf of the Covered Executives
                  (collectively, the "Covered Executive Group"), shall not
                  exceed $2.2 million and the aggregate annual benefits and
                  perquisites provided, collectively, to the Covered Executives
                  shall be similar in type to those benefits and perquisites
                  described on Exhibit B hereto and shall not exceed $500,000 in
                  aggregate value per Fiscal Year; provided that:

                           (a)      the Covered Executive Group also shall,
                                    collectively, be eligible to receive up to
                                    $1.2 million in the aggregate in annual
                                    bonus compensation with respect to a Fiscal
                                    Year of the Company, if the Company's
                                    Consolidated EBITDA for that Fiscal Year is
                                    equal to or greater than $35.0 million. For
                                    the purpose of calculating the annual bonus
                                    compensation for the Company's 2004 Fiscal
                                    Year, Consolidated EBITDA for such Fiscal
                                    Year shall be deemed to be equal to: the
                                    Company's Consolidated EBITDA for the period
                                    from August 1, 2003 through the end of the
                                    Company's 2004 Fiscal Year, as such amount
                                    shall be annualized; and

                           (b)      the Covered Executives also shall be
                                    eligible to receive, collectively,
                                    additional annual bonus compensation, with
                                    respect to a Fiscal Year of the Company,
                                    from a bonus pool (the "Additional Bonus
                                    Pool"), the maximum amount of which shall be
                                    calculated for each Fiscal Year of the
                                    Company as follows:

                                    (i)           With respect to the first $2.0
                                             million in aggregate principal
                                             amount of the Notes that are
                                             redeemed as the result of the Cash
                                             Sweep Payment in that Fiscal Year,
                                             $0 shall be added to the Additional
                                             Bonus Pool for that Fiscal Year;

                                        9
<PAGE>

                                    (ii)          With respect to the next $2.0
                                             million in aggregate principal
                                             amount of the Notes that are
                                             redeemed as the result of the Cash
                                             Sweep Payment in that Fiscal Year,
                                             5% of such amount so redeemed
                                             thereby shall be added to the
                                             Additional Bonus Pool for that
                                             Fiscal Year;

                                    (iii)         With respect to the next $2.0
                                             million in aggregate principal
                                             amount of the Notes that are
                                             redeemed as the result of the Cash
                                             Sweep Payment in that Fiscal Year,
                                             10% of such amount so redeemed
                                             thereby shall be added to the
                                             Additional Bonus Pool for that
                                             Fiscal Year;

                                    (iv)          With respect to the next $2.0
                                             million in aggregate principal
                                             amount of the Notes that are
                                             redeemed as the result of the Cash
                                             Sweep Payment in that Fiscal Year,
                                             15% of such amount so redeemed
                                             thereby shall be added to the
                                             Additional Bonus Pool for that
                                             Fiscal Year;

                                    (v)           With respect to each
                                             additional $2.0 million in
                                             aggregate principal amount of the
                                             Notes that are redeemed as the
                                             result of the Cash Sweep Payment in
                                             that Fiscal Year, an additional 5%
                                             of such amount so redeemed thereby
                                             shall be added to the Additional
                                             Bonus Pool for that Fiscal Year.

                           The amounts added to the Additional Bonus Pool for a
                  Fiscal Year shall be based only on the aggregate principal
                  amount of the Notes redeemed as a result of the Cash Sweep
                  Payment in that Fiscal Year, calculated as provided in this
                  Section 4.20. No other Note redemptions or repayments of any
                  kind shall be included in the calculation of the Additional
                  Bonus Pool."

         16.      A new Section 4.21 is hereby added to the Indenture, which
shall read, in its entirety, as follows:

                           "SECTION 4.21 Subordination of Assumed PFMI
                  Indebtedness. The Assumed PFMI Indebtedness shall be
                  subordinated in right of payment to the Senior Debt, the
                  Notes, and to all other Indebtedness of the Company not
                  expressly subordinated to the Assumed PFMI Indebtedness or
                  declared to be pari passu with the Assumed PFMI Indebtedness.
                  Subject to such subordination, the Assumed PFMI Indebtedness
                  shall be subject to repayment only in accordance with the
                  amortization schedule attached hereto as Exhibit C; provided,
                  however, that the Assumed

                                       10
<PAGE>

                  PFMI Indebtedness may be refinanced in accordance with the
                  terms of Section 4.09 (b)(ii) hereof. For every full Fiscal
                  Year (or part thereof in the case of Fiscal Year 2004)
                  following the date hereof, the Company shall not permit any
                  amortization of principal or interest of the Assumed PFMI
                  Indebtedness if, after taking into account such amortization,
                  Consolidated Excess Cash for such Fiscal Year (or part thereof
                  in the case of Fiscal Year 2004) would be reduced below zero.

         17.      A new Section 4.22 is hereby added to the Indenture, which
shall read, in its entirety, as follows:

                           "SECTION 4.22 Repurchase of Notes on March 31, 2005.

                           (a)      Each Holder shall have the right to require
                  that the Company repurchase such Holder's Notes pursuant to
                  the offer described in Section 4.22(b) hereof (the "2005
                  Offer") at a purchase price in cash in an amount equal to 100%
                  of the aggregate principal amount of such Notes (the "2005
                  Offer Purchase Price") (or portions thereof) to be redeemed
                  plus accrued and unpaid interest (in $1,000 multiples) on
                  March 31, 2005 (the "2005 Offer Purchase Date") (subject to
                  the right of holders of record on the relevant Record Date to
                  receive interest due on the relevant Interest Payment Date).

                           (b)      At least thirty (30) days prior to January
                  1, 2005, the Company shall mail a notice to each Holder with a
                  copy to the Trustee stating:

                                    (i)           That on March 31, 2005, the
                                             Holders have the right to require
                                             the Company to repurchase their
                                             Notes, that the 2005 Offer is being
                                             made pursuant to this Section 4.22
                                             and that all Notes that are timely
                                             tendered will be accepted for
                                             payment;

                                    (ii)          the 2005 Offer Purchase Price
                                             to be paid with respect to Notes
                                             tendered;

                                    (iii)         that any Notes or portions
                                             thereof not tendered or accepted
                                             for payment will continue to accrue
                                             interest;

                                    (iv)          that, unless the Company

                                             defaults in the payment of the 2005
                                             Offer Purchase Price with respect
                                             thereto, all Notes or portions
                                             thereof accepted for payment
                                             pursuant to the 2005 Offer shall
                                             cease to accrue interest from and
                                             after the 2005 Offer Purchase Date;

                                       11
<PAGE>

                                    (v)           that any Holder may elect to
                                             have any Notes or portions thereof
                                             purchased pursuant to the 2005
                                             Offer by completing the form
                                             entitled "Option of Holder to Elect
                                             Purchase" on the reverse of such
                                             Notes and tendering the Notes to
                                             the Paying Agent at the address
                                             specified in the notice no later
                                             than January 15, 2005. Any Holder
                                             not completing such form and
                                             tendering such Holder's Notes to
                                             the Paying Agent by January 15,
                                             2005 shall be automatically deemed
                                             to have irrevocably waived its
                                             right to require the Company to
                                             repurchase such Holder's Notes
                                             pursuant to the 2005 Offer;

                                    (vi)          that no Holder shall be
                                             entitled to withdraw such election
                                             once made;

                                    (vii)         that any Holder electing to
                                             have Notes purchased pursuant to
                                             the 2005 Offer must specify the
                                             principal amount that is being
                                             tendered for purchase;

                                    (viii)        that the Trustee will return
                                             to the Holder of a Global Note that
                                             is being purchased in part, such
                                             Global Note with a notation on
                                             Schedule A thereof adjusting the
                                             principal amount thereof to be
                                             equal to the unpurchased portion of
                                             such Global Note; and

                                    (ix)          any other information
                                             necessary to enable any Holder to
                                             tender Notes and to have such Notes
                                             purchased pursuant to this Section
                                             4.22.

                           (c)      On the 2005 Offer Purchase Date, the Company
                  shall (i) accept for payment all Notes or portions thereof
                  properly tendered pursuant to the 2005 Offer, (ii) irrevocably
                  deposit with the Paying Agent, by 10:00 a.m., New York City
                  time, on such date, in immediately available funds, an amount
                  equal to the 2005 Offer Purchase Price in respect of all Notes
                  or portions thereof so tendered and (iii) deliver or cause to
                  be delivered to the Trustee an Officers' Certificate stating
                  the aggregate principal amount of Notes or portions thereof
                  being purchased by the Company. Subject to the provisions of
                  Section 4.01 hereof, the Paying Agent shall promptly send by
                  first-class mail, postage prepaid, to each Holder or portions
                  thereof so accepted for payment the 2005 Offer Purchase Price
                  for such Notes or portions thereof. The Company shall publicly
                  announce the results of the 2005 Offer on or as soon as
                  practicable after the 2005 Offer Purchase Date. For purposes
                  of this Section 4.22, the Trustee shall act as the Paying
                  Agent.

                                       12
<PAGE>

                           (d)      Upon surrender of a Global Note that is
                  purchased in part pursuant to the 2005 Offer, the Paying Agent
                  shall forward such Global Note to the Trustee who shall make a
                  notation on Schedule A thereof to reduce the principal amount
                  of such Global Note to an amount equal to the unpurchased
                  portion of such Global Note, as provided in Section 2.05(c)
                  and 4.22 hereof.

                           (e)      The Company shall comply, to the extent
                  applicable, with the requirements of Section 14(e) of the
                  Exchange Act and any other securities laws or regulations in
                  connection with the repurchase of Notes pursuant to this
                  Section 4.22. To the extent that the provisions of any
                  securities laws or regulations conflict with provisions of
                  this Section 4.22, the Company shall comply with the
                  applicable securities laws and regulations and shall not be
                  deemed to have breached its obligations under this Section
                  4.22 by virtue thereof.

                           (f)      Notwithstanding any delay or failure by the
                  Company to give notice of the 2005 Offer, each Holder shall
                  have the right to tender its Notes for purchase in accordance
                  with this Section 4.22."

         18.      A new Section 4.23 is hereby added to the Indenture, which
shall read, in its entirety, as follows:

                           "SECTION 4.23  Corporate Governance and Oversight.

                           (a)      The Company shall at all times follow
                  currently accepted "best practices" for a private company of
                  its approximate size operating in the food processing industry
                  in its governance and financial reporting.

                           (b)      The Company shall, within 90 days following
                  the earlier of the end of a Fiscal Year or the date of the
                  Fourth Supplemental Indenture, engage and continue to engage,
                  and pay the reasonable expenses of an independent audit firm
                  to monitor compliance with the covenants and other provisions
                  set forth in the Indenture for each Fiscal Year.

                           (c)      The Company and its shareholder PFMI agree
                  that so long as any of the Notes remain outstanding, at least
                  one independent director (the "Independent Director")
                  acceptable to both the Company and the holders of a majority
                  in principal amount of the Notes then outstanding shall be a
                  member of the Board of Directors of the Company. The holders
                  of a majority in principal amount of the Notes then
                  outstanding shall approve the Independent Director each year
                  following the date of the Fourth

                                       13
<PAGE>

                  Supplemental Indenture. The Independent Director shall be
                  covered by directors and officers liability insurance and
                  indemnification by the Company to the same extent as the other
                  directors of the Company, and the Company shall continue to
                  maintain such directors and officers liability insurance
                  coverage for so long as it is obligated hereunder to maintain
                  an Independent Director as a member of the Board of Directors.
                  The Independent Director shall not be removed by PFMI without
                  the prior written consent of the holders of a majority in
                  principal amount of the Notes then outstanding. On any removal
                  or resignation of the Independent Director, the provisions of
                  Section 4.23(c) and (d) shall apply to his or her replacement.

                           (d)      The Company shall cause to be delivered to
                  the Noteholders and the Trustee no later than ten (10)
                  business days following the date of the resignation or removal
                  of the Independent Director, a consent solicitation seeking
                  approval of the Majority Holders of the Company's nominee for
                  the Independent Director. The Company shall provide the
                  information required by Item 404(a) and (b) of Regulation S-K
                  with respect to such nominee. Following the receipt of the
                  approval of the Majority Holders for the Company's nominee,
                  said nominee shall be appointed as a member of the board of
                  directors of the Company in accordance with standard
                  procedures for the seating of a director and shall serve as
                  the Independent Director. If the Majority Holders have not
                  approved the Company's nominee within fourteen (14) days
                  following the date the consent solicitation seeking approval
                  for the Company's nominee is caused to be delivered to the
                  Noteholders and the Trustee, the consent solicitation shall
                  close. The Noteholders may then nominate a candidate for the
                  Independent Director (the "Noteholder Nominee") by providing
                  written notification to the Company (with a copy to the
                  Trustee) setting forth the Noteholder Nominee and providing
                  information regarding any affiliations the Noteholder Nominee
                  has with any Noteholder. Upon the Company's approval of the
                  Noteholder Nominee, he or she shall be appointed as a member
                  of the board of directors of the Company in accordance with
                  standard procedures for the seating of a director and shall
                  serve as the Independent Director. If an Independent Director
                  has not been selected to become a member of the Company's
                  board of directors by the fortieth (40th) day following the
                  removal or resignation of the Independent Director, then the
                  parties hereby agree to submit the selection of the
                  Independent Director within five (5) days of such date to a
                  single arbitrator selected by the American Arbitration
                  Association in Wilmington, Delaware, in accordance with the
                  rules of the American Arbitration Association then in effect,
                  except as follows: Each of the Company and the Noteholders may
                  submit to the

                                       14
<PAGE>

                  arbitrator one additional nominee, as well as their respective
                  original nominees, in each case with the information required
                  by Item 404(a) and (b) of Regulation S-K with respect to such
                  nominee. The venue of the arbitration shall be at the offices
                  of the neutral arbitrator in Wilmington, Delaware unless
                  otherwise agreed by the parties. The award of the arbitrator
                  shall be specifically enforceable in any court of competent
                  jurisdiction. The arbitrator shall make the final,
                  nonappealable selection of the Independent Director within
                  fifteen (15) days, and such person selected as the Independent
                  Director shall be appointed as a member of the board of
                  directors of the Company in accordance with standard
                  procedures for the seating of a director and shall serve as
                  the Independent Director."

         19.      Section 5.01 of the Indenture is hereby amended by adding a
new subsection (c) thereto which shall read, in its entirety, as follows:

                           "(c) Notwithstanding anything set forth in this
                  Section 5.01 to the contrary, in no event shall PFMI be merged
                  with or into the Company."

         20.      A new ARTICLE 5A is hereby added to the Indenture, which shall
read, in its entirety, as follows:

                                   ARTICLE 5A

                                    SECURITY

                           SECTION 5A.01  Security.

                           The performance of the obligations of the Company and
                  the Subsidiary Guarantors under the Notes and the Indenture
                  are secured by the Collateral Documents to the extent
                  specified in the Collateral Documents.

                           SECTION 5A.02  Recording, etc.

                           The Company and the Subsidiary Guarantors will cause
                  the applicable Collateral Documents and any financing
                  statements, all amendments or supplements to each of the
                  foregoing and any other similar security documents as
                  necessary, to be registered, recorded and filed and/or re
                  recorded, re filed and renewed in such manner and in such
                  place or places, if any, as may be required by law or
                  reasonably requested by the Trustee in order fully to preserve
                  and protect (a) the Lien on the Collateral securing (for the
                  benefit of the Holders) the obligations under the Notes, (b)
                  the Lien of the Subsidiary Guarantors securing (for the
                  ratable benefit of the Holders) the guaranteed obligations
                  under the Indenture and to

                                       15
<PAGE>

                  effectuate and preserve the security of the Holders and all
                  rights of the Trustee under the Indenture and the Collateral
                  Documents.

                           The Company and the Subsidiary Guarantors shall
                  furnish to the Trustee:

                           (a)      promptly after the execution and delivery of
                  this Fourth Supplemental Indenture, and promptly after the
                  execution and delivery of any other instrument of further
                  assurance or amendment, an Opinion of Counsel either (i)
                  stating that, in the opinion of such counsel, all action has
                  been taken with respect to the recording, registering and
                  filing of the Indenture, all applicable Collateral Documents,
                  financing statements and all other instruments necessary to
                  make effective the Lien intended to be created by such
                  Collateral Documents and reciting the details of such action,
                  or (ii) stating that, in the opinion of such counsel, no such
                  action is necessary to make any Lien created under any of the
                  Collateral Documents effective as intended by such Collateral
                  Documents; and

                           (b)      within 30 days after the end of a Fiscal
                  Year in each year beginning with Fiscal Year 2005, an Opinion
                  of Counsel, dated as of such date, either (i)(1) stating that,
                  in the opinion of such counsel, action has been taken with
                  respect to the recording, registering, filing, re recording,
                  re registering and re filing of this Indenture and all
                  supplemental indentures, financing statements, continuation
                  statements or other instruments of further assurance as is
                  necessary to maintain the Lien of this Indenture and the
                  Collateral Documents and reciting the details of such action
                  or referring to prior Opinions of Counsel in which such
                  details are given, and (2) stating that, based on all relevant
                  laws as in effect on the date of such Opinion of Counsel, all
                  financing statements and continuation statements have been
                  executed and filed that are necessary as of such date and
                  during the succeeding twelve (12) months fully to preserve and
                  protect the rights of the Holders and the Trustee hereunder
                  and under the Collateral Documents with respect to the
                  security interests in the Collateral, or (ii) stating that, in
                  the opinion of such counsel, no such action is necessary to
                  maintain such Lien.

                           SECTION 5A.03  Protection of the Trust Estate.

                           Upon prior written notice to the Company and the
                  Subsidiary Guarantors, the Trustee shall have the power
                  subject to the provisions of the Subordination Agreement (i)
                  to institute and maintain such suits and proceedings as it may
                  deem expedient, to prevent any impairment of the Collateral
                  under any of the

                                       16
<PAGE>

                  Collateral Documents; and (ii) to enforce the obligations of
                  the Subsidiary Guarantors and/or the Company under this
                  Indenture or the Collateral Documents, to institute and
                  maintain such suits and proceedings as may be expedient to
                  prevent any impairment of the Collateral under the Collateral
                  Documents and in the profits, rents, revenues and other income
                  arising therefrom.

                           SECTION 5A.04 Release of Lien.

                           (a)      Collateral may be released from the Lien and
                  security interest created by this Indenture and the Collateral
                  Documents at any time or from time to time in accordance with
                  the provisions of the Collateral Documents and the
                  Subordination Agreement and as provided hereby.

                           (b)      Upon the request of the Company pursuant to
                  an Officers' Certificate and Opinion of Counsel certifying
                  that all conditions precedent hereunder have been met (and at
                  the sole cost and expense of the Company), the Trustee shall
                  release: (i) Collateral which is the subject of an Asset Sale,
                  provided that the Net Proceeds from such Asset Sale are
                  applied in accordance with Section 4.11 hereof; (ii) machinery
                  and equipment sold in the ordinary course of the Company's
                  business; (iii) Collateral which may be released with the
                  consent of the Holders pursuant to Section 9.02 hereof; and
                  (iv) all Collateral (except as provided in Article 8 hereof)
                  upon discharge or defeasance of this Indenture in accordance
                  with Article 8 hereof.

                           (c)      Upon receipt of such Officers' Certificate,
                  the Trustee shall execute, deliver or acknowledge any
                  necessary or proper instruments of termination, satisfaction
                  or release to evidence the release of any Collateral permitted
                  to be released pursuant to this Indenture or the Collateral
                  Documents.

                           (d)      The release of any Collateral from the Lien
                  under this Indenture and the Collateral Documents will not be
                  deemed to impair the security under this Indenture in
                  contravention of the provisions hereof if and to the extent
                  the Collateral is released pursuant to the terms hereof.

                           SECTION 5A.05. Subordination of Liens. The Liens
                  granted to the Trustee pursuant to the Collateral Documents
                  shall be subordinated in right of priority to all of the Liens
                  granted as security for the Senior Debt in the manner and to
                  the extent provided in the Subordination Agreement. Each of
                  the Collateral Documents shall contain the legend required by
                  the terms of the Subordination Agreement.

                                       17
<PAGE>

         21.      Section 6.01 of the Indenture is hereby amended by (a) adding
the section references "4.12, 4.20, 4.22, 4.23(b)" immediately after the section
reference "4.14" in the second line of subsection (c) thereof; (b) by deleting
the word "or" at the end of subsections (f), (g) and (h); (c) by deleting the
period at the end of subsection (i) and adding ";" to the end thereof; and (d)
by adding subsections (j) and (k) to the end thereof to read, in their entirety,
as follows:

                           "(j) the Company or either Subsidiary Guarantor
                  breaches or fails to comply with any agreement, covenant or
                  provision of any of the Collateral Documents and such default
                  has occurred and is continuing for the period specified
                  therein; or

                           (k) the repudiation by the Company or either
                  Subsidiary Guarantor of its obligations under, the initiation
                  or prosecution of any claim, action or other proceeding by the
                  Company or either Subsidiary Guarantor or their Affiliates
                  challenging the enforceability of, or any judgment or decree
                  by a court or governmental agency of competent jurisdiction
                  declaring the unenforceability of, any of the Collateral
                  Documents that would impair the benefits to the Trustee or the
                  Holders thereunder."

         22.      Section 6.03 of the Indenture is hereby amended by adding the
words "or any of the Collateral Documents" immediately after the word
"Indenture" in the fourth line of the second paragraph thereof.

         23.      Section 6.07 of the Indenture is hereby amended by adding the
following words to the end thereof, immediately before the period: ", except
that no Holder shall have the right to institute any such suit or take any
action if and to the extent that the institution or prosecution thereof or the
entry of judgment therein would, under applicable law, result in the surrender,
impairment or loss of the Lien of the Collateral Documents upon any property
subject to such Lien; provided that the foregoing shall not prevent the Trustee
from instituting any such suit or taking such action at the direction of and/or
with the written consent of the Holders of at least a majority in principal
amount of the Notes".

         24.      Section 7.01(b)(2) of the Indenture is hereby amended by
adding the words "and the Collateral Documents" immediately after the word
"Indenture" in each of the fourth and sixth lines thereof.

         25.      Section 7.04 of the Indenture is hereby amended by adding the
words ", the Collateral Documents" immediately after the word "Indenture" in the
second and fourth lines thereof.

         26.      Section 8.01(a)(ii) of the Indenture is hereby amended by (a)
adding the words ", as a result of the repurchase rights set forth in Section
4.11, 4.14 or 4.22 hereof" immediately after the word "Maturity" in the second
line thereof, (b) adding the words "or repurchase" immediately after the word
"redemption" in the fourth line thereof and (c) adding the words ", applicable
repurchase date" immediately after the word "Maturity" in the fifth line
thereof.

                                       18
<PAGE>

         27.      Section 8.01(b)(ii) of the Indenture shall be amended by
adding the words "and Sections 4.20 through 4.23" immediately after the word
"4.15" in the first line thereof.

         28.      Section 9.01(b) of the Indenture is hereby amended by adding
the following words to the end thereof, immediately before the semicolon: "or as
permitted in Article 5A".

         29.      Section 9.02(f) of the Indenture is hereby amended by deleting
the final word "or". Section 9.02(g) of the Indenture shall be amended by adding
the words "any of the Collateral Documents or" immediately after the word "in"
thereof and by replacing the period with the clause "; or".

         30.      Section 9.02 of the Indenture is hereby amended by adding a
subsection (h) thereto to read, in its entirety, as follows:

                           "(h) to directly or indirectly release all or
                  substantially all of the Liens granted pursuant to the
                  Collateral Documents."

         31.      Section 11.01 of the Indenture is hereby amended by replacing
the words "another provision which is required to be included in this Indenture
by the TIA, the required provision shall control" with "the duties imposed by
operation of Section 318(c) of the TIA, the imposed duties shall control."

         32.      Section 11.02 of the Indenture is hereby amended by restating
in its entirety the address for notice to the Company or any Guarantor to read
as follows:

                                   "Pierre Foods, Inc.
                                   9990 Princeton Road
                                   Cincinnati, Ohio 45246
                                   Attention: Chief Financial Officer"

         33.      Section 11.02 of the Indenture shall be amended by restating
in its entirety the address for notice to the Trustee to read as follows:

                                   "U.S. Bank National Association
                                   One Federal Street - 3rd Floor
                                   Boston, MA 02110
                                   Attention: Corporate Trust Services
                                   (Pierre Foods, Inc. (f/k/a Fresh Foods, Inc.)
                                   Senior Notes Due 2006)"

         34.      A new ARTICLE 12 is hereby added to the Indenture, which shall
read, in its entirety, as follows:

                                   ARTICLE 12

                                  SUBORDINATION

                           The Company agrees, and each Holder by accepting a
                  Note

                                       19
<PAGE>

                  agrees, that the Liens securing the Notes granted pursuant to
                  this Indenture and the Collateral Documents are subordinated
                  to the extent and in the manner provided in the Subordination
                  Agreement annexed hereto as Exhibit D.

                                   ARTICLE II

                               WAIVER AND RELEASE

         Pursuant to Section 6.04 of the Original Indenture providing that
certain past Defaults or compliance with any provisions of the Indenture may be
waived with the consent of the Majority Holders, as of the date of this Fourth
Supplemental Indenture, consents were received from the Holders of 97.74% of the
aggregate principal amount of the outstanding Notes to waive any and all
Defaults by the Company under the Indenture occurring on or prior to the date
hereof.

         In connection with the receipt of consents from the Majority Holders,
the Trustee, on behalf of the Holders, in their capacities as such, fully and
forever waives any defaults or events of default under the Indenture existing on
the date hereof that are capable of being waived by the holders of a majority of
the aggregate principal amount of the Notes outstanding, including any Defaults
or Events of Default and those Defaults and Events of Default previously alleged
by certain of the Noteholders. Notwithstanding the foregoing, the waiver of the
Default of Section 4.07 of the Original Indenture (requiring filing of reports
with the SEC) shall be effective only upon the Company's filing of its
delinquent SEC reports within the time period set forth in Article III, Section
2 of this Fourth Supplemental Indenture.

                                   ARTICLE III

                                  MISCELLANEOUS

         1.       The execution of this Fourth Supplemental Indenture and the
Subordination Agreement by the Trustee (the "Closing") shall be subject to the
satisfaction by the Company of each of the following conditions, and shall occur
on a date mutually agreed upon by the parties (the "Closing Date") following
satisfaction of these conditions precedent, which will be no later than five (5)
business days after the closing of the consent solicitation effectuated by the
Company to obtain the consent of the Majority Holders set forth in subsection
(a) below. At the Closing, the Company shall deliver to the Trustee a
certificate (as set forth in Section 11.05) confirming that each of the
following conditions has been satisfied:

                  (a)      Receipt of consents of the Majority Holders to the
         amendments to the Original Indenture set forth in this Fourth
         Supplemental Indenture and the Subordination Agreement;

                  (b)      Satisfaction of the requirements of Sections 9.02 and
         9.06 of the Indenture;

                  (c)      The Company has paid (or has reimbursed the
         Noteholders for) the reasonable fees and disbursements of Anderson Kill
         & Olick, P.C. incurred in connection

                                       20
<PAGE>

         with the Company to the extent that the same have not previously been
         paid by the Company;

                  (d)      The Company has paid the reasonable fees and
         disbursements (not to exceed $112,500) charged by CIBC in connection
         with its engagement by the Noteholders to perform financial due
         diligence of the Company;

                  (e)      The Company has paid the outstanding fees and
         disbursements of the Trustee;

                  (f)      The Company has paid the reasonable fees and
         disbursements of Shipman & Goodwin LLP, counsel to the Trustee;

                  (g)      The Company has obtained an executed Consent to
         Assignment from each party to whom the Assumed PFMI Indebtedness is
         owed, such consents to be in substantially in the form agreed to by the
         Company and Anderson Kill & Olick, P.C. on January 30, 2004, with such
         changes therein as do not materially impair the rights of the
         Noteholders as set forth herein or in the Collateral Documents; and

                  (h)      The Company has paid the Consent Fee Payment to the
         Trustee.

         2.       At the Closing, the Company, the Subsidiary Guarantors and
PFMI shall enter into the each of the agreements set forth below to which such
party is a party:

                  (a)      Fourth Supplemental Indenture;

                  (b)      Acknowledgement of the Subordination Agreement;

                  (c)      Assignment and Assumption and Subordination Agreement
         between the Company and PFMI substantially in the form agreed to by the
         Company and Anderson Kill & Olick, P.C. on January 30, 2004, with such
         changes therein as do not materially impair the rights of the
         Noteholders as set forth herein or in the Collateral Documents;

                  (d)      Termination Agreements substantially in the form
         agreed to by the Company and Anderson Kill & Olick, P.C. on January 30,
         2004, with such changes therein as do not materially impair the rights
         of the Noteholders as set forth herein or in the Collateral Documents,
         terminating all Affiliate Transactions except those permitted under
         Section 4.12;

                  (e)      the Collateral Documents substantially in the form
         agreed to by the Company and Anderson Kill & Olick, P.C. on January 30,
         2004, with such changes therein as do not materially impair the rights
         of the Noteholders as set forth herein or in the Collateral Documents

                  (f)      Transfer and Assumption Agreement between the Company
         and Columbia Hill Aviation LLC, pursuant to which Columbia Hill
         Aviation, LLC to the Company shall convey title to the British
         Aerospace BAe Series 800A aircraft and engines to the Company, and the
         Company shall assume the purchase money debt secured thereby

                                       21
<PAGE>

         owing to Bombardier Capital, Inc. under a term loan agreement dated
         December 11, 2001, as amended March 1, 2002; and

                  (g)      Amendment No. 1 to, and Consent under, the Bank
         Facility.

         3.       The Company shall comply with the following covenants
following the Closing:

                  (a)      The Company shall file the following reports with the
         SEC on the business day next following the date of this Fourth
         Supplemental Indenture: (a) the Company's Annual Report on Form 10 K
         with respect to its Fiscal Year ended March 1, 2003; (b) the Company's
         Quarterly Report on Form 10-Q with respect to the fiscal quarter ended
         May 31, 2003; (c) the Company's Quarterly Report on Form 10-Q with
         respect to the fiscal quarter ended August 30, 2003; and (d) the
         Company's Quarterly Report on Form 10-Q with respect to the fiscal
         quarter ended November 29, 2003.

                  (b)      The Company shall cause to be delivered to the
         Noteholders and the Trustee no later than ten (10) business days
         following the Closing Date, a consent solicitation seeking approval of
         the Majority Holders of the Company's nominee for the Independent
         Director. The Company shall provide the information required by Item
         404(a) and (b) of Regulation S-K with respect to such nominee.
         Following the receipt of the approval of the Majority Holders for the
         Company's nominee, said nominee shall be appointed as a member of the
         board of directors of the Company in accordance with standard
         procedures for the seating of a director and shall serve as the
         Independent Director. If the Majority Holders have not approved the
         Company's nominee within fourteen (14) days following the date the
         consent solicitation seeking approval for the Company's nominee is
         caused to be delivered to the Noteholders and the Trustee, the consent
         solicitation shall close. The Noteholders may then nominate a candidate
         for the Independent Director (the "Noteholder Nominee") by providing
         written notification to the Company (with a copy to the Trustee)
         setting forth the Noteholder Nominee and providing information
         regarding any affiliations the Noteholder Nominee has with any
         Noteholder. Upon the Company's approval of the Noteholder Nominee, he
         or she shall be appointed as a member of the board of directors of the
         Company in accordance with standard procedures for the seating of a
         director and shall serve as the Independent Director. If an Independent
         Director has not been selected to become a member of the Company's
         board of directors by the fortieth (40th) day following the Closing
         Date, then the parties hereby agree to submit the selection of the
         Independent Director within five (5) days of such date to a single
         arbitrator selected by the American Arbitration Association in
         Wilmington, Delaware, in accordance with the rules of the American
         Arbitration Association then in effect, except as follows: Each of the
         Company and the Noteholders may submit to the arbitrator one additional
         nominee, as well as their respective original nominees, in each case
         with the information required by Item 404(a) and (b) of Regulation S-K
         with respect to such nominee. The venue of the arbitration shall be at
         the offices of the neutral arbitrator in Wilmington, Delaware unless
         otherwise agreed by the parties. The award of the arbitrator shall be
         specifically enforceable in any court of competent jurisdiction. The
         arbitrator shall make the final, nonappealable selection of the
         Independent Director within fifteen (15) days, and such person selected
         as the Independent Director shall be appointed as a member of the board
         of directors of

                                       22
<PAGE>

the Company in accordance with standard procedures for the seating of a
director and shall serve as the Independent Director.

         4.       Exhibit A, Exhibit B, Exhibit C and Exhibit D attached to this
Fourth Supplemental Indenture shall be Exhibit A, Exhibit B, Exhibit C and
Exhibit D, respectively, to the Indenture. Exhibits A, B, C and D attached to
the Original Indenture, and all references in the Original Indenture to such
exhibits, are hereby deleted from the Indenture.

         5.       The Trustee accepts the trusts created by the Original
Indenture, as supplemented by this Fourth Supplemental Indenture, and agrees to
perform the same upon the terms and conditions in the Original Indenture, as
supplemented by this Fourth Supplemental Indenture. The Trustee is relying on
the Opinion of Counsel and the Officers' Certificate delivered to the Trustee by
the Company stating that this Fourth Supplemental Indenture complies with and
has received all necessary authorizations under the Original Indenture,
including, without limitation, Section 9.02 thereof. The Trustee shall not be
responsible in any manner whatsoever for or in respect of the validity or
sufficiency of this Fourth Supplemental Indenture, except for the Trustee's
certificate of authentication, or the due execution hereof by the Company and
the Subsidiary Guarantors, or for or in respect of the recitals contained
herein, all of which recitals are made by the Company and the Subsidiary
Guarantors.

         6.       All capitalized terms used and not defined herein shall have
the respective meanings assigned to them in the Original Indenture.

         7.       This Fourth Supplemental Indenture may be executed in any
number of counterparts, each of which when so executed shall be deemed to be an
original, but all such counterparts shall together constitute but one and the
same instrument.

                                       23
<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Fourth
Supplemental Indenture to be duly executed as of the date first above written.

ATTEST:                                           PIERRE FOODS, INC.

     /S/ Robyn S. Queen                           By:   /S/ Pamela M. Witters
-------------------------------                       --------------------------
Name: Robyn S. Queen                                  Name: Pamela M. Witters
Title:                                                Title: CFO

ATTEST:                                           FRESH FOODS PROPERTIES LLC

     /S/ Robyn S. Queen                           By:   /S/ Pamela M. Witters
-------------------------------                       --------------------------
Name: Robyn S. Queen                                  Name: Pamela M. Witters
Title:                                                Title: Manager

ATTEST:                                           COMPASS OUTFITTERS LLC

     /S/ Robyn S. Queen                           By:   /S/ Pamela M. Witters
-------------------------------                       --------------------------
Name: Robyn S. Queen                                  Name: Pamela M. Witters
Title:                                                Title: Manager

                                                  U.S. BANK NATIONAL
                                                  ASSOCIATION, AS TRUSTEE

                                                  By: /S/ Alison D.B. Nadeau
                                                      --------------------------
                                                      Name: Alison D.B. Nadeau
                                                      Title: Vice President

                                                  PF MANAGEMENT, INC. (WITH
                                                  RESPECT TO THE PROVISIONS OF
                                                  SECTION 4.23(c) AND (d) AND
                                                  ARTICLE III, SECTION 3(b)

                                                  By:   /S/ David R. Clark
                                                      --------------------------
                                                      Name: David R. Clark
                                                      Title: President

                                       24
<PAGE>

                                    EXHIBIT A

                                  Form of Note

                                                                       EXHIBIT A

                                FORM GLOBAL NOTE

                                  FACE OF NOTE

                               PIERRE FOODS, INC.

No. ___________                                         CUSIP No. ______________

                  [THIS NOTE IS A GLOBAL NOTE WITHIN THE MEANING OF THE
                  INDENTURE HEREINAFTER REFERRED TO.

                  UNLESS THIS NOTE IS PRESENTED BY AN AUTHORIZED REPRESENTATIVE
                  OF THE DEPOSITORY TRUST COMPANY TO PIERRE FOODS, INC. OR A
                  SUCCESSOR THEREOF OR THE REGISTRAR FOR REGISTRATION OF
                  TRANSFER OR EXCHANGE AND ANY NOTE ISSUED IS REGISTERED IN THE
                  NAME OF CEDE & CO. OR SUCH OTHER ENTITY AS HAS BEEN REQUESTED
                  BY AN AUTHORIZED REPRESENTATIVE OF THE DEPOSITORY TRUST
                  COMPANY (AND ANY PAYMENT HEREON IS MADE TO CEDE & CO. OR TO
                  SUCH OTHER ENTITY AS HAS BEEN REQUESTED BY AN AUTHORIZED
                  REPRESENTATIVE OF THE DEPOSITORY TRUST COMPANY), ANY TRANSFER,
                  PLEDGE OR OTHER USE HEREOF FOR VALUE OR OTHERWISE BY OR TO ANY
                  PERSON IS WRONGFUL SINCE THE REGISTERED OWNER HEREOF, CEDE &
                  CO., HAS AN INTEREST HEREIN.

                  TRANSFER OF THIS GLOBAL NOTE SHALL BE LIMITED TO TRANSFER IN
                  WHOLE, AND NOT IN PART, TO NOMINEES OF THE DEPOSITORY TRUST
                  COMPANY OR TO A SUCCESSOR THEREOF OR SUCH SUCCESSORS NOMINEE.]

                                       25

<PAGE>

                                   GLOBAL NOTE

                   REPRESENTING 10 3/4% SENIOR NOTES DUE 2006

         Pierre Foods, Inc., a North Carolina corporation, for value received,
hereby promises to pay to Cede & Co., or its registered assigns, the principal
sum indicated on Schedule A hereof, on June 1, 2006.

         Interest Payment Dates: June 1 and December 1, commencing December 1,
1998.

         Record Dates: May 15 and November 15.

         Reference is hereby made to the further provisions of this Note set
forth on the reverse hereof, which further provisions shall for all purposes
have the same effect as if set forth at this place.

         Unless the certificate of authentication hereon has been duly executed
by the Trustee referred to on the reverse by manual signature, this Note shall
not be entitled to any benefit under the Indenture or be valid or obligatory for
any purposes.

                                       26
<PAGE>

IN WITNESS WHEREOF, Pierre Foods, Inc. has caused this Note to be duly executed.

                                             PIERRE FOODS, INC.

                                             By: ______________________________
                                                 Name:
                                                 Title:

Attest: _________________

Dated: _________________

TRUSTEE'S CERTIFICATE OF AUTHENTICATION

U.S. Bank National Association,
    as Trustee, certifies that this
    is one of the Notes referred
    to in the Indenture

By: _________________
    Authorized Signatory

                                       27
<PAGE>

                                REVERSE SIDE NOTE

                               PIERRE FOODS, INC.

                                      NOTE

                   REPRESENTING 10-3/4% SENIOR NOTES DUE 2006

1.       Indenture

         This Note is one of a duly authorized issue of debt securities of the
Company (as defined below) designated as its "10-3/4% Senior Notes Due 2006"
(herein called the "Notes") limited in aggregate principal amount to
$115,000,000, issued under an indenture dated as of June 9, 1998, as
supplemented from time to time, the "Indenture") among the Company, as issuer
and the guarantors listed on Annex A hereto (collectively, the "Guarantors"),
and U.S. Bank National Association, as trustee (the "Trustee," which term
includes any successor trustee under the Indenture). The terms of the Notes
include those stated in the Indenture and those made part of the Indenture by
reference to the Trust Indenture Act of 1939, as amended (15 U.S. Code Sections
77aaa-77bbbb). The Notes are subject to all such terms, and Holders of Notes are
referred to the Indenture and such Act for a statement of the respective rights,
limitations of rights, duties and immunities thereunder of the Company, the
Guarantors, the Trustee and each Holder and of the terms upon which the Notes
are, and are to be, authenticated and delivered. The summary of the terms of
this Note contained herein does not purport to be complete and is qualified by
reference to the Indenture. To the extent permitted by applicable law, in the
event of any inconsistency between the terms of this Note and the terms of the
Indenture, the terms of the Indenture shall control. All capitalized terms used
in this Note which are not defined herein shall have the meanings assigned to
them in the Indenture.

         The Indenture restricts, among other things, the Company's ability to
incur additional indebtedness, pay dividends or make certain other restricted
payments, incur liens to secure pari passu or subordinated indebtedness, sell
stock of Restricted Subsidiaries, apply net proceeds from certain asset sales,
merge or consolidate with any other person, sell, assign, transfer, lease,
convey or otherwise dispose of substantially all of the assets of the Company or
enter into certain transactions with affiliates. The Indenture permits, under
certain circumstances, Restricted Subsidiaries of the Company to be deemed
Unrestricted Subsidiaries and thus not subject to the restrictions of the
Indenture.

2.       Principal  and Interest

         Pierre Foods, Inc., a North Carolina corporation (such corporation, and
its successors and assigns under the Indenture hereinafter referred to, being
herein called the "Company"), promises to pay the principal amount set forth on
Schedule A of this Note to the Holder hereof on June 1, 2006.

         The Company shall pay interest at a rate of (i) 10.75% per annum, from
the Issue Date or from the most recent Interest Payment Date thereafter to which
interest has been paid or duly provided for until __________, 2004, (ii) 12.25%
per annum from __________, 2004 or the most recent Interest Payment Date
thereafter to which interest has been paid or duly provided for

                                       28
<PAGE>

until March 31, 2005 and (iii) 13.25% per annum from April 1, 2005 or from the
most recent Interest Payment Date thereafter to which interest has been paid or
duly provided for, in each case, semiannually in arrears on June 1 and December
1 of each year, in cash, to the Holder hereof until the principal amount hereof
is paid or made available for payment. The interest so payable, and punctually
paid or duly provided for, on any Interest Payment Date will, subject to certain
exceptions provided in the Indenture, be paid to the Person in whose name this
Note (or the Note in exchange or substitution for which this Note was issued) is
registered at the close of business on the Record Date for interest payable on
such Interest Payment Date. The Record Date for any interest payment is the
close of business on May 15 or November 15, as the case may be, whether or not a
Business Day, immediately preceding the Interest Payment Date on which such
interest is payable. Any such interest not so punctually paid or duly provided
for ("Defaulted Interest") shall forthwith cease to be payable to the Holder on
such Record Date and shall be paid as provided in Section 2.11 of the Indenture.
Interest will be computed on the basis of a 360-day year of twelve 30-day
months.

         Each payment of interest in respect of an Interest Payment Date will
include interest accrued through the day before such Interest Payment Date. If
an Interest Payment Date falls on a day that is not a Business Day, the interest
payment to be made on such Interest Payment Date will be made on the next
succeeding Business Day with the same force and effect as if made on such
Interest Payment Date, and no additional interest will accrue as a result of
such delayed payment.

         To the extent lawful, the Company shall pay interest on overdue
principal, overdue premium and Defaulted interest at the applicable interest
rate borne on this Note. The Company's obligation pursuant to the previous
sentence shall apply whether such overdue amount is due at its maturity, as a
result of the Company's obligations pursuant to Section 3.05, Section 4.11,
Section 4.14 or Section 4.22 of the Indenture, or otherwise.

3.       Method of Payment

         The Company, through the Paying Agent, shall pay interest on this Note
to the registered Holder of this Note, as provided above. The Holder must
surrender this Note to a Paying Agent to collect principal payments. The Company
will pay principal, premium, if any, and interest and Liquidated Damages, if
any, in money of the United States of America that at the time of payment is
legal tender for payment of all debts public and private. Principal, premium, if
any, and interest and Liquidated Damages, if any, shall be paid by check mailed
to the registered Holders at their registered addresses; provided that all
payments with respect to Notes the Holders of which have given wire transfer
instructions to the Company will be required to be made by wire transfer of
immediately available funds to the accounts specified by the Holders thereof.

4.       Paying Agent and Registrar

         Initially, the Trustee will act as Paying Agent and Registrar under the
Indenture. The Company may, upon written notice to the Trustee, appoint and
change any Paying Agent or Registrar. The Company or any of its Affiliates may
act as Paying Agent or Registrar, provided that if the Company or such Affiliate
is acting as Paying Agent, the Company or such Affiliate

                                       29
<PAGE>

shall segregate all funds held by it as Paying Agent and hold them in trust for
the benefit of the Holders or the Trustee.

5.       Guarantees

         This Note is entitled to the benefits of the Guarantees made by the
Guarantors listed on Annex A hereto and may thereafter be entitled to Guarantees
made by other Guarantors for the benefit of the Holders of Notes. Each present
Guarantor has, and each future Guarantor will, irrevocably and unconditionally,
jointly and severally, guarantee on a senior unsecured basis the punctual
payment when due, whether at Stated Maturity, by acceleration, in connection
with a Change of Control Offer, an Asset Sale Offer or redemption, or otherwise,
of all obligations of the Company under the Indenture and this Note, whether for
payment of principal of, premium, if any, interest or Liquidated Damages, if
any, on the Notes, expenses, indemnification or otherwise. A Guarantor shall be
released from its Guarantee upon the terms and subject to the conditions set
forth in the Indenture.

6.       Redemption

         (a) Optional Redemption. The Notes are subject to redemption at the
option of the Company, in whole or in part, on at least 30 calendar days, but
not more than 60 calendar days, prior notice, at the redemption prices
(expressed as percentages of principal amount) set forth below, plus accrued and
unpaid interest thereon, if any, and Liquidated Damages, if any, to the
applicable Redemption Date (subject to the right of each Holder of record on the
relevant Record Date to receive interest due on the relevant Interest Payment
Date), if redeemed during the twelve-month period beginning June 1 of the years
indicated below:

<TABLE>
<CAPTION>
YEAR                                PERCENTAGE
----                                ----------
<S>                                 <C>
2003                                102.688%
2004 and thereafter                 100.000%
</TABLE>

         (b) Mandatory Redemption

         Within 30 days following the delivery by the Company to the Trustee and
the Senior Lender of the audited financial statements for the Company and its
Subsidiaries for the 2005 and 2006 Fiscal Years, but in no event later than 120
days following the end of each such Fiscal Year, the Company shall make a
payment to the Trustee equal to 60% of the Company's Consolidated Excess Cash
for such Fiscal Year (the "Cash Sweep Payment"), if, but only if, each of the
Cash Sweep Payment Conditions are first satisfied. The Cash Sweep Payment shall
be used to redeem, on a pro rata basis, outstanding Notes, at a redemption price
in cash equal to 100% of the aggregate principal amount thereof plus accrued and
unpaid interest thereon to the Redemption Date.

7.       Notice of Redemption

         At least 20 calendar days but not more than 60 calendar days before a
Redemption Date, the Company shall deliver to the Trustee and send, by
first-class mail, postage prepaid, to

                                       30
<PAGE>

Holders of Notes to be redeemed at the addresses of such Holders as they appear
in the Note Register, a notice of redemption.

         In the case of a redemption pursuant to Section 6(a) above, if fewer
than all the Notes are to be redeemed at any time, the Trustee shall select the
Notes to be redeemed pro rata or by lot or by a method that complies with
applicable legal and securities exchange requirements, if any, and that the
Trustee considers fair and appropriate and in accordance with methods generally
used at the time of selection by fiduciaries in similar circumstances. In the
case of a redemption pursuant to Section 6(b) above, if fewer than all the Notes
are to be redeemed at any time, the Trustee shall select the Notes to be
redeemed pro rata. In either case, the Trustee shall make the selection from
outstanding Notes not previously called for redemption; provided that the
Trustee may select for redemption portions (equal to $1,000 or any integral
multiple thereof) of the principal of Notes that have denominations larger than
$1,000 (Notes in denominations of $1,000 or less may be redeemed only in whole).
If any Note is redeemed subsequent to a Record Date with respect to any Interest
Payment Date specified above and on or prior to such Interest Payment Date, then
any accrued interest will be paid on such Interest Payment Date to the Holder of
the Note on such Record Date. If money in an amount sufficient to pay the
Redemption Price of all Notes (or portions thereof) to be redeemed on the
Redemption Date is deposited with the Paying Agent on or before the applicable
Redemption Date and certain other conditions are satisfied, interest on the
Notes or portions thereof to be redeemed on the applicable Redemption Date will
cease to accrue.

8.       Repurchase at the Option of Holders upon Change of Control

         Upon the occurrence of a Change of Control, each Holder shall have the
right in accordance with the terms hereof and the Indenture to require the
Company to purchase such Holder's Notes, in whole or in part, in a principal
amount that is an integral multiple of $1,000, pursuant to a Change of Control
Offer, at a purchase price in cash equal to 101% of the principal amount of such
Notes (or portions thereof) plus accrued and unpaid interest and Liquidated
Damages, if any, to the Change of Control Payment Date.

         Within 30 calendar days following any Change of Control, the Company
shall send, or cause to be sent, by first-class mail, postage prepaid, a notice
regarding the Change of Control Offer to each Holder with a copy to the Trustee.
The Holder of this Note may elect to have this Note or a portion hereof in an
authorized denomination purchased by completing the form entitled "Option of
Holder to Elect Purchase" appearing below and tendering this Note pursuant to
the Change of Control Offer. Unless the Company defaults in the payment of the
Change of Control Purchase Price with respect thereto, all Notes or portions
thereof accepted for payment pursuant to the Change of Control Offer will cease
to accrue interest from and after the Change of Control Payment Date.

9.       Repurchase at the Option of Holders upon Asset Sale

         If at any time the Company or any Restricted Subsidiary engages in any
Asset Sale, as a result of which the aggregate amount of Excess Proceeds exceeds
$5.0 million, the Company shall, within 30 calendar days of the date the amount
of Excess Proceeds exceeds $5.0 million, use the then-existing Excess Proceeds
to make an offer to purchase from all Holders of Notes, on

                                       31
<PAGE>

a pro rata basis, Notes in an aggregate principal amount equal in amount to the
then-existing Excess Proceeds, at a purchase price in cash in an amount equal to
100% of the principal amount thereof plus accrued and unpaid interest thereon
and Liquidated Damages to the Asset Sale Purchase Date (subject to the right of
each Holder of record on the relevant Record Date to receive interest due on the
relevant Interest Payment Date). Upon completion of an Asset Sale Offer
(including payment of the Asset Sale Purchase Price for accepted Notes), any
surplus Excess Proceeds that were the subject of such offer shall cease to be
Excess Proceeds, and the Company may then use such amounts for general corporate
purposes.

         Within 30 calendar days of the date the amount of Excess Proceeds
exceeds $5.0 million, the Company shall send, or cause to be sent, by
first-class mail, postage prepaid, a notice regarding the Asset Sale Offer to
each Holder. The Holder of this Note may elect to have this Note or a portion
hereof in an authorized denomination purchased by completing the form entitled
"Option of Holder to Elect Purchase" appearing below and tendering this Note
pursuant to the Asset Sale Offer. Unless the Company defaults in the payment of
the Asset Sale Purchase Price with respect thereto, all Notes, or portions
thereof selected for payment pursuant to the Asset Sale Offer will cease to
accrue interest from and after the Asset Sale Purchase Date.

10.      Repurchase at the Option of Holders on March 31, 2005

         At least thirty (30) days prior to January 1, 2005, the Company shall
send or cause to be sent, by first-class mail, postage prepaid, a notice
regarding the 2005 Offer to each Holder. Pursuant to the 2005 Offer, the Holder
of this Note may elect to have this Note or a portion hereof in an authorized
denomination purchased by completing the form entitled "Option of Holder to
Elect Purchase" appearing below and tending this Note to the Paying Agent no
later than January 15, 2004. On March 31, 2005, the Company shall purchase all
Notes from Holders electing to have their Notes purchased on such date at a
purchase price in cash equal to 100% of the principal amount thereof plus
accrued and unpaid interest thereon to the 2005 Offer Purchase Date. Unless the
Company defaults in the payment of the 2005 Offer Purchase Price with respect
thereto, all Notes, or portions thereof, tendered for payment pursuant to the
2005 Offer will cease to accrue interest from and after March 31, 2005.

11.      Collateral Documents.

         The Notes are entitled to the benefits of the Collateral Documents
which set forth, among other things, the Collateral securing the obligations of
the Notes. Each Holder, by accepting a Note, agrees to be bound by all of the
terms and provisions of the Collateral Documents, as the same may be amended
from time to time. Each Holder, by accepting a Note, further agrees the Liens
securing the Notes granted pursuant to the Indenture and the Collateral
Documents are subordinated in right of priority to all of the Liens granted as
security for the Senior Debt to the extent and in the manner provided in the
Subordination Agreement.

12.      The Global Note.

         So long as this Global Note is registered in the name of the Depositary
or its nominee, members of, or participants in, the Depositary ("Agent Members")
shall have no rights under the Indenture with respect to this Note held on their
behalf by the Depositary or the Trustee as its

                                       32
<PAGE>

custodian, and the Depositary may be treated by the Company, the Guarantors, the
Trustee and any agent of the Company, the Guarantors or the Trustee as the
absolute owner of this Note for all purposes. Notwithstanding the foregoing,
nothing herein shall (i) prevent the Company, the Guarantors, the Trustee or any
agent of the Company, the Guarantors or the Trustee, from giving effect to any
written certification, proxy or other authorization furnished by the Depositary
or (ii) impair, as between the Depositary and its Agent Members, the operation
of customary practices governing the exercise of the rights of a Holder.

         The Holder of this Global Note may grant proxies and otherwise
authorize any Person, including Agent Members and Persons that may hold
interests in this Global Note through Agent Members, to take any action which a
Holder is entitled to take under the Indenture or the Notes.

         Whenever, as a result of optional or mandatory redemption by the
Company, a Change of Control Offer, an Asset Sale Offer or the 2005 Offer, this
Global Note is redeemed, repurchased or exchanged in part, this Global Note
shall be surrendered by the Holder thereof to the Trustee who shall cause an
adjustment to be made to Schedule A hereof so that the principal amount of this
Note will be equal to the portion not redeemed, repurchased or exchanged and
shall thereafter return this Note to such Holder; provided that this Note shall
be in a principal amount of $1,000 or an integral multiple of $1,000.

13.      Transfer and Exchange

         A Holder may transfer or exchange Notes as provided in the Indenture
and subject to certain limitations therein set forth. The Registrar may require
a Holder, among other things, to furnish appropriate endorsements or transfer
documents and to pay any taxes, fees and expenses required by law or permitted
by the Indenture.

14.      Denominations

         The Notes are issuable only in registered form without coupons in
denominations of $1,000 and integral multiples thereof of principal amount.

15.      Discharge and Defeasance

         Subject to certain conditions, the Company at any time may terminate
some or all of the obligations of the Company and the Guarantors under the
Notes, the Guarantees and the Indenture if the Company irrevocably deposits in
trust with the Trustee cash or U.S. Government Obligations for the payment of
principal, premium, if any, interest and Liquidated Damages, if any, on the
Notes to redemption or maturity, as the case may be.

16.      Amendment; Waiver

         Subject to certain exceptions set forth in the Indenture, (i) the
Indenture or the Notes may be amended with the written consent of the Holders of
at least a majority in principal amount of the outstanding Notes (which consent
may, but need not, be given in connection with any tender offer or exchange
offer for the Notes) and (ii) any past Default and its consequences or any
compliance with any provisions of the Indenture may be waived with the written
consent of the Holders of at least a majority in principal amount of the
outstanding Notes. Subject to certain

                                       33
<PAGE>

exceptions set forth in the Indenture, without the consent of any Holder, the
Company and the Trustee may amend the Indenture or the Notes (i) to evidence the
succession of another Person to the Company and the assumption by such successor
of the covenants of the Company under the Indenture and contained in the Notes;
(ii) to add to the covenants of the Company, for the benefit of the Holders of
all of the Notes, or to surrender any right or power conferred on the Company
under the Indenture; (iii) to provide for uncertificated Notes in addition to or
in place of Certificated Notes; (iv) to secure the Notes; (v) to cure any
ambiguity, omission, defect or inconsistency in the Indenture, provided that
such actions shall not adversely affect the interests of the Holders of Notes in
any material respect; (vi) to comply with the requirements of the SEC in order
to effect or maintain the qualification of the Indenture under the TIA; or (vii)
to evidence the agreement or acknowledgment of a Restricted Subsidiary that it
is a Guarantor for all purposes under the Indenture (including, without
limitation, Article 11 thereof).

17.      Defaults and Remedies

         Under the Indenture, Events of Default include: (i) a default for 30
days in the payment when due of interest on, or Liquidated Damages with respect
to, the Notes (whether or not prohibited by the subordination provisions of the
Indenture); (ii) a default in the payment when due of the principal of or
premium, if any, on the Notes (whether or not prohibited by the subordination
provisions of the Indenture); (iii) failure by the Company to observe or perform
certain covenants, conditions, agreements or other provisions of the Indenture
or this Note (and, in the case of certain covenants, agreements or other
provisions, such failure has continued for 30 calendar days after written notice
by the Trustee or the Holders of at least 25% in principal amount of the Notes);
(iv) a default in the payment of Indebtedness of the Company or any of its
Significant Subsidiaries within any applicable grace period after final maturity
or acceleration of such Indebtedness in an amount in excess of $5.0 million in
the aggregate; (v) certain events of bankruptcy or insolvency with respect to
the Company or any of its Significant Subsidiaries; (vi) certain undischarged
judgments in excess of $5.0 million against the Company or any of its
Significant Subsidiaries; or (vii) the Guarantee of any Guarantor ceasing for
any reason to be in full force and effect (other than in accordance with the
terms of the Indenture) or any Guarantor denying or disaffirming its obligations
under its Guarantee.

         If an Event of Default occurs and is continuing, the Trustee or the
Holders of at least 25% in principal amount of the Notes, subject to certain
limitations, may declare all the Notes to be immediately due and payable.
Certain events of bankruptcy or insolvency shall result in the Notes being
immediately due and payable upon the occurrence of such Events of Default
without any further act of the Trustee or any Holder.

         Holders of Notes may not enforce the Indenture or the Notes except as
provided in the Indenture. The Trustee may refuse to enforce the Indenture or
the Notes unless it receives reasonable indemnity or security. Subject to
certain limitations, Holders of a majority in principal amount of the Notes may
direct the Trustee in its exercise of any trust or power under the Indenture.
The Holders of a majority in principal amount of the then outstanding Notes, by
written notice to the Trustee and the Company, may rescind any declaration of
acceleration and its consequences if the rescission would not conflict with any
judgment or decree, and if all existing Events of Default have been cured or
waived, except nonpayment of principal, interest,

                                       34
<PAGE>

premium or Liquidated Damages that has become due solely because of
acceleration. No such rescission shall affect any subsequent Default or impair
any right consequent thereto.

18.      Individual Rights of Trustee

         Subject to certain limitations imposed by the TIA, the Trustee or any
Paying Agent or Registrar, in its individual or any other capacity, may become
the owner or pledgee of Notes and may otherwise deal with the Company, the
Guarantors or their Affiliates with the same rights it would have if it were not
Trustee, Paying Agent or Registrar, as the case may be, under the Indenture.

19.      No Recourse Against Certain Others

         No director, officer, employee, incorporator or stockholder of the
Company or any Guarantor, as such, shall have any liability for any obligations
of the Company or such Guarantor under the Notes, the Guarantees or the
Indenture or for any claim based on, in respect of, or by reason of, such
obligations or their creation, solely by reason of its status as a director,
officer, employee, incorporator or stockholder of the Company or such Guarantor.
By accepting a Note, each Holder waives and releases all such liability (but
only such liability) as part of the consideration for issuance of such Note to
such Holder.

20.      Authentication

         This Note shall not be valid until the Trustee or an authenticating
agent signs the certificate of authentication on the other side of this Note.

21.      Abbreviations

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

22.      CUSIP Numbers

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

                                       35
<PAGE>

23.      Governing Law

         THE INDENTURE AND THIS NOTE SHALL BE GOVERNED BY, AND CONSTRUED IN
ACCORDANCE WITH, THE LAWS OF THE STATE OF NEW YORK APPLICABLE TO AGREEMENTS MADE
AND TO BE PERFORMED IN SAID STATE.

         The Company will furnish to any Holder upon written request and without
charge to the Holder a copy of the Indenture. Requests may be made to:

         Pierre Foods, Inc.
         9990 Princeton Road
         Cincinnati, Ohio  45246
         Attention:  Chief Financial Officer

                                       36
<PAGE>

                                   SCHEDULE A

                          SCHEDULE OF PRINCIPAL AMOUNT

The initial principal amount at maturity of this Note shall be
$___________________. The following decreases/increases in the principal amount
in denominations of $1,000 or integral multiples thereof at maturity of this
Note have been made:

<TABLE>
<CAPTION>
                                                                         Total Principal
                            Decrease in                                Amount at Maturity
Date of Decrease/       Principal Amount at   Increase in Principal      Following such       Notation Made by or
     Increase                Maturity           Amount at Maturity     Decrease/ Increase    on Behalf of Trustee
-----------------       -------------------   ---------------------    ------------------    --------------------
<S>                     <C>                   <C>                      <C>                   <C>
-----------------       -------------------   ---------------------    ------------------    --------------------

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

-----------------       -------------------   ---------------------    ------------------    --------------------
</TABLE>

                                       37
<PAGE>

                                   ASSIGNMENT

                    (To be executed by the registered Holder
                  if such Holder desires to transfer this Note)

FOR VALUE RECEIVED __________________________ hereby sells, assigns and
transfers unto

PLEASE INSERT SOCIAL SECURITY OR OTHER
TAX IDENTIFYING NUMBER OF TRANSFEREE

_____________________________________________

________________________________________________________________________________

________________________________________________________________________________
                  (Please print name and address of transferee)

________________________________________________________________________________
this Note, together with all right, title and interest herein, and does hereby
irrevocably constitute and appoint ________________________ Attorney to transfer
this Note on the Note Register, with full power of substitution.

Date:  ________________________

______________________________________      ____________________________________
Signature of Holder                         Signature Guaranteed:

NOTICE: The signature to the foregoing Assignment must correspond to the Name as
written upon the face of this Note in every particular, without alteration or
any change whatsoever.

SIGNATURE GUARANTEED: Signature must be guaranteed by an Eligible Guarantor
Institution (banks, stockbrokers, savings and loan associations and credit
unions) with membership in an approved signature guarantee medallion program
pursuant to Securities and Exchange Commission Rule 17Ad-15.

                                       38
<PAGE>

                       OPTION OF HOLDER TO ELECT PURCHASE

                             (check as appropriate)

[ ]      In connection with the Change of Control Offer made pursuant to
         Section 4.14 of the Indenture, the undersigned hereby elects to have

         [ ]      the entire principal amount

         [ ]      $______________ ($1,000 in principal amount or an integral
                  multiple thereof) of this Note repurchased by the Company. The
                  undersigned hereby directs the Trustee or Paying Agent to pay
                  it or _____________________ an amount in cash equal to 101% of
                  the principal amount indicated in the preceding sentence plus
                  accrued and unpaid interest and Liquidated Damages thereon, if
                  any, to the Change of Control Payment Date.

[ ]      In connection with the Asset Sale Offer made pursuant to Section 4.11
         of the Indenture, the undersigned hereby elects to have

         [ ]      the entire principal amount

         [ ]      $______________ ($1,000 in principal amount or an integral
                  multiple thereof) of this Note repurchased by the Company. The
                  undersigned hereby directs the Trustee or Paying Agent to pay
                  it or _____________________ an amount in cash equal to 100% of
                  the principal amount indicated in the preceding sentence plus
                  accrued and unpaid interest and Liquidated Damages thereon, if
                  any, to the Asset Sale Purchase Date.

[ ]      In connection with the 2005 Offer made pursuant to Section 4.22 of the
         Indenture, the undersigned elects to have

         [ ]      the entire principal amount

         [ ]      $______________ ($1,000 in principal amount or an integral
                  multiple thereof) of this Note repurchased by the Company. The
                  undersigned hereby directs the Trustee or Paying Agent to pay
                  it or _____________________ an amount in cash equal to 100% of
                  the principal amount indicated in the preceding sentence plus
                  accrued and unpaid interest, if any, to the 2005 Offer
                  Purchase Date.

                                       39
<PAGE>

Dated: __________

___________________________________         __________________________________
Signature of Holder                         Signature Guaranteed:

NOTICE: The signature to the foregoing Assignment must correspond to the Name as
written upon the face of this Note in every particular, without alteration or
any change whatsoever.

SIGNATURE GUARANTEED: Signature must be guaranteed by an Eligible Guarantor
Institution (banks, stockbrokers, savings and loan associations and credit
unions) with membership in an approved signature guarantee medallion program
pursuant to Securities and Exchange Commission Rule 17Ad-15.

                                       40
<PAGE>

                                     ANNEX A

Fresh Foods Properties LLC

Compass Outfitters LLC

                                       41
<PAGE>

                                    EXHIBIT B

                              Executive Perquisites

401(k) Company match
Auto and related expenses
Club membership, dues and expenses
Group medical insurance
Life insurance

                                       42
<PAGE>

                                    EXHIBIT C

               Assumed PFMI Indebtedness and Amortization Schedule

<TABLE>
<CAPTION>
                                                                                  AMORTIZATION SCHEDULE
                                                                    ----------------------------------------------
                                                     ASSUMED           F2005       F2005       F2005       F2005
                                                      PFMI            5/29/04     8/28/04     11/27/04    2/26/05
                                                  INDEBTEDNESS          Q1           Q2          Q3          Q4
                                                  ------------      ----------------------------------------------
<S>                                               <C>               <C>          <C>          <C>          <C>
PRINCIPAL BALANCE:
    Bank of Granite                                   300,000               -      100,000          -            -
    Boies Family Limited Partnership                  250,000         250,000            -          -            -
    Branch Banking and Trust Co <A>                    93,556          12,414       12,539     12,664       12,791
    Carolina First Bank                             1,140,000               -      380,000          -            -
    Connor, Charles                                 2,097,773         239,949      245,998    252,199      258,557
    First Century Bank                              3,153,000               -    1,051,000          -            -
    Giordano, Ron                                     500,000               -            -          -            -
    Hash, Cecil                                     2,163,465               -            -          -            -
    Hash, Cecil                                       250,000               -            -          -            -
    Hefner, Larry                                     240,000               -            -          -            -
    Helderman, Donna                                   73,245               -            -          -            -
    Howard, Doug & Donna                              182,970               -            -          -            -
    Howard, Eathel                                     89,160               -            -          -            -
    Howard, Rick                                       94,268               -            -          -            -
    Howard, Rick                                      150,000         100,000            -          -            -
    Lutz, Bobby J.                                     86,798               -            -          -            -
    Lutz, Bobby M.                                     27,638               -            -          -            -
    Miller, Dent                                      807,757          91,564       94,105     96,717       99,401
    Minton, Gary                                      500,000               -            -          -            -
    Peoples Bank                                      900,000               -      300,000          -            -
    Pierre Foods, Inc. <B>                            993,247         993,247            -          -            -
    Potts, Barry                                       22,500               -            -          -            -
    S&D Land Company                                  271,125          30,125       30,125     30,125       30,125
    Sidwell, Greg                                     250,000               -            -          -            -
    S&D Land Company                                   60,356           6,706        6,706      6,706        6,706
    S&D Land Company (Peoples Bank)                   430,000               -            -          -            -
    Wiggins, John                                     250,000               -            -          -            -
                                                                    ----------------------------------------------
                    TOTAL PRINCIPAL REDUCTIONS                      1,724,006    2,220,473    398,411      407,580
                                                                    ----------------------------------------------
                    Less Non- Cash Elimination                       (993,247)           -          -            -
                      TOTAL PRINCIPAL PAYMENTS                        730,759    2,220,473    398,411      407,580
                                                   ----------
                    TOTAL ASSUMED INDEBTEDNESS     15,376,858
                                                   ----------

<CAPTION>
                                                                 AMORTIZATION SCHEDULE
                                                 -----------------------------------------------------------
                                                  F2006        F2006       F2006       F2006         F2007
                                                 5/28/05      8/27/05     11/26/05    2/25/06       5/27/06
                                                   Q1           Q2           Q3         Q4            Q1
                                                 -----------------------------------------------    --------
<S>                                              <C>         <C>          <C>         <C>           <C>
PRINCIPAL BALANCE:
    Bank of Granite                                    -       100,000          -           -               -
    Boies Family Limited Partnership                   -             -          -           -               -
    Branch Banking and Trust Co <A>               12,919        13,048     13,178       4,004               -
    Carolina First Bank                                -       380,000          -           -         380,000
    Connor, Charles                              265,075       271,757    278,608     285,631               -
    First Century Bank                                 -     1,051,000          -           -               -
    Giordano, Ron                                      -             -          -           -               -
    Hash, Cecil                                        -             -          -           -       2,163,465
    Hash, Cecil                                        -             -          -           -         250,000
    Hefner, Larry                                      -             -          -           -         240,000
    Helderman, Donna                                   -             -          -           -          73,245
    Howard, Doug & Donna                               -             -          -           -         182,970
    Howard, Eathel                                     -             -          -           -          89,160
    Howard, Rick                                       -             -          -           -          94,268
    Howard, Rick                                  50,000             -          -           -               -
    Lutz, Bobby J.                                     -             -          -           -          86,798
    Lutz, Bobby M.                                     -             -          -           -          27,638
    Miller, Dent                                 102,160       104,995    107,909     110,904               -
    Minton, Gary                                       -             -          -           -               -
    Peoples Bank                                       -       300,000          -           -               -
    Pierre Foods, Inc. <B>                             -             -          -           -               -
    Potts, Barry                                       -             -          -           -          22,500
    S&D Land Company                              30,125        30,125     30,125      30,125          30,125
    Sidwell, Greg                                      -             -          -           -         250,000
    S&D Land Company                               6,706         6,706      6,706       6,706           6,706
    S&D Land Company (Peoples Bank)                    -             -          -           -         430,000
    Wiggins, John                                      -             -          -           -         250,000
                                                 --------------------------------------------   -------------
                    TOTAL PRINCIPAL REDUCTIONS   466,984     2,257,631    436,526     437,370       4,576,875
                                                 --------------------------------------------   -------------
                    Less Non- Cash Elimination         -             -          -           -               -
                      TOTAL PRINCIPAL PAYMENTS   466,984     2,257,631    436,526     437,370       4,576,875

                    TOTAL ASSUMED INDEBTEDNESS

</TABLE>

 <A> Principal payments will fluctuate due to variable interest rates

<B> Balance assumed is eliminated against Pierre Foods, Inc. receivable for same
    amount

<PAGE>

                                    EXHIBIT D

                          LIEN SUBORDINATION AGREEMENT

         THIS LIEN SUBORDINATION AGREEMENT (this "Agreement"), made and entered
into this _____ day of January, 2004, by and between U.S. BANK NATIONAL
ASSOCIATION, a national banking association, in its capacity as Trustee under
the Indenture (as defined below) (in such capacity, the "Junior Lienholder" as
hereinafter further defined); and FLEET CAPITAL CORPORATION, a Rhode Island
corporation (the "Senior Lienholder" as hereinafter further defined);

                                    RECITALS:

         A.       Pierre Foods, Inc. (f/k/a Fresh Foods, Inc.) (the "Borrower"),
a North Carolina corporation, has issued its Senior Notes due 2006 in the
aggregate principal amount of $115,000,000 (hereafter, together with any and all
renewals, extensions, substitutions, modifications and consolidations of such
Senior Notes, the "Notes") pursuant to that certain Indenture, dated as of June
9, 1998, between the Borrower and certain of its subsidiaries named in such
Indenture and the Trustee, as successor to State Street Bank and Trust Company,
as supplemented by a certain (i) First Supplemental Indenture dated as of
September 5, 1999, (ii) Second Supplemental Indenture dated as of February 26,
1999, (iii) Third Supplemental Indenture dated as of October 8, 1999, and (iv)
Fourth Supplemental Indenture dated as of the date hereof (the "Fourth
Supplemental Indenture") (collectively, as so amended, together with any and all
renewals, extensions, substitutions, modifications and consolidations, the
"Indenture").

         B.       The Borrower, the Senior Lienholder and the parent company of
the Borrower have entered into a certain Loan and Security Agreement, dated
August 13, 2003 (such Loan and Security Agreement, as amended, modified,
supplemented or restated from time to time, being herein called the "Senior
Lienholder Loan Agreement" as hereinafter further defined), pursuant to which,
and upon the terms and subject to the conditions contained therein, the Senior
Lienholder has agreed to make loans and extend credit and other financial
accommodations to the Borrower.

         C.       To induce the Senior Lienholder to enter into the Senior
Lienholder Loan Agreement and make loans and credit and other financial
accommodations to the Borrower thereunder, Fresh Foods Properties, LLC, Columbia
Hill Aviation, LLC, Compass Outfitters, LLC, PF Purchasing, LLC, and PF
Distribution, LLC (the "Subsidiary Guarantors"), each a North Carolina limited
liability company, have each unconditionally guaranteed the payment and
performance of all of the indebtedness, obligations and liabilities owing from
time to time by the Borrower to the Senior Lienholder under the Senior
Lienholder Loan Agreement or in connection therewith.

                                       D-1
<PAGE>

         D.       Pursuant to the Fourth Supplemental Indenture and the Senior
Lienholder Loan Agreement, the Borrower and some or all of the Subsidiary
Guarantors are each concurrently herewith granting liens and security interests
in substantially all of their assets and properties to the Trustee, for the
benefit of itself and the holders of the Notes, and to the Senior Lienholder,
respectively.

         E.       It is a requirement of the Senior Lienholder's consenting to
the granting by the Borrower and the Subsidiary Guarantors of such liens and
security interests to the Trustee pursuant to the Fourth Supplemental Indenture
that the Trustee enter into this Agreement with the Senior Lienholder, by which
the Trustee subordinates its liens and security interests in all of the assets
and properties of the Borrower and the Subsidiary Guarantors to the liens and
security interests of the Senior Lienholder therein and grants other assurances
to the Senior Lienholder with respect thereto.

         F.       The Trustee is therefore willing to enter into this Agreement
with the Senior Lienholder in order to satisfy such requirements of the Senior
Lienholder under the Senior Lienholder Loan Agreement.

         NOW, THEREFORE, in consideration of the foregoing, and for other good
and valuable consideration, the receipt and sufficiency of which hereby are
acknowledged, the parties hereto hereby agree as follows:

         1.       Certain Definitions. All terms used in this agreement that are
defined in the Code shall have the meanings ascribed thereto in the Code unless
otherwise expressly defined herein. As used in this Agreement, the following
terms shall have the following meanings for the purposes of this Agreement:

                  "Action" shall have the meaning ascribed to such term in
         Section 8(b) of this Agreement.

                  "Code" shall mean the Uniform Commercial Code of the State of
         North Carolina as in effect from time to time.

                  "Credit Parties" shall mean the Borrower and the Subsidiary
         Guarantors and "Credit Party" shall mean any of them.

                  "Defense" shall have the meaning ascribed in such term in
         Section 8(b) of this Agreement.

                  "Documents" shall mean the Junior Lienholder Documents and the
         Senior Lienholder Documents, respectively.

                                       D-2
<PAGE>

                  "Junior Lienholder" shall mean U. S. Bank National
         Association, in its capacity as trustee for the holders of the Notes
         under the Indenture, and its successors and assigns, including any
         successor trustee under the Indenture.

                  "Junior Lienholder Documents" shall mean all agreements,
         documents and instruments evidencing, documenting, securing or
         otherwise relating to the Notes or any of the other Junior Lienholder
         Debt, whether now existing or hereafter incurred, all as the same may
         from time to time be amended, modified, extended, renewed or restated.

                  "Junior Lienholder Debt" shall mean all present and future
         indebtedness, whether principal, interest (including, without
         limitation, interest accruing after the commencement of any bankruptcy
         proceeding by or against a Credit Party), fees, costs, expenses,
         liabilities and obligations and other amounts now or hereafter owed by
         the Credit Parties or any of them to the Junior Lienholder or the
         Noteholders arising under, on account of, or related to, the Notes
         (including, without limitation, all of the indebtedness evidenced by or
         arising under any one or more of the Junior Lienholder Documents), all
         whether direct or indirect, absolute or contingent, secured or
         unsecured, due or to become due, liquidated or unliquidated, and
         whether arising under contract, in tort or otherwise.

                  "Lienholders" shall mean the Junior Lienholder, on the one
         hand, and the Senior Lienholder, on the other hand, and "Lienholder"
         shall mean either of them.

                  "Liens" shall mean the liens and security interests granted by
         the Credit Parties or any of them to each Lienholder under the
         Documents and a "Lien" shall refer to the liens and security interests
         granted by the Credit Parties or any of them to one of the Lienholders.

                  "Noteholders" shall mean the holders of the Notes.

                  "Person" shall mean an individual, partnership, corporation,
         limited liability company, joint stock company, land trust, business or
         unincorporated organization, or a government or agency or political
         subdivision thereof.

                  "Senior Lienholder" shall mean Fleet Capital Corporation, a
         Rhode Island corporation, its successors and assigns, and any other
         lender or lenders refinancing or refunding all or any portion of the
         Senior Lienholder Debt.

                  "Senior Lienholder Collateral" shall mean all of the assets,
         properties and interests in property of the Credit Parties, whether now
         existing or hereafter acquired or arising, wherever located.

                                       D-3
<PAGE>

                  "Senior Lienholder Documents" shall mean the Senior Lienholder
         Loan Agreement and all other agreements, documents and instruments
         evidencing, documenting, securing or otherwise relating to all or any
         portion of the Senior Lienholder Debt, whether now existing or
         hereafter entered into, all as the same may from time to time be
         amended, modified, extended, renewed or restated.

                  "Senior Lienholder Debt" shall mean all present and future
         indebtedness, whether principal, interest (including, without
         limitation, interest accruing after the commencement of any bankruptcy
         proceeding by or against a Credit Party), fees, costs, expenses,
         liabilities and obligations (including, without limitation, letter of
         credit reimbursement obligations) and other amounts now or hereafter
         owed by the Credit Parties or any of them to the Senior Lienholder
         arising under, on account of, or related to, the Senior Lienholder Loan
         Agreement (including, without limitation, all of the indebtedness
         evidenced by or arising under any one or more of the Senior Lienholder
         Documents), all whether direct or indirect, absolute or contingent,
         secured or unsecured, due or to become due, liquidated or unliquidated,
         and whether arising under contract, in tort or otherwise.

         2.       No Third Party Beneficiaries. All undertakings, agreements,
representations and warranties contained in this Agreement are solely for the
benefit of the Junior Lienholder, the Noteholders and the Senior Lienholder and
there are no other parties (including, without limitation, the Credit Parties)
who are intended to be benefited in any way by this Agreement.

         3.       Reservation of Liens as Against Third Parties. Nothing
contained in this Agreement is intended to affect or limit in any way the Liens
of the Junior Lienholder and/or the Senior Lienholder in any of the property and
assets of the Credit Parties, whether tangible or intangible, insofar as the
Credit Parties and third parties are concerned. The Junior Lienholder and the
Senior Lienholder each specifically reserves all of its respective Liens and
rights to assert such Liens as against the Credit Parties and third parties.

         4.       Priority of Liens. Irrespective of (a) the time, order, manner
or method of creation, attachment or perfection of the respective Liens of the
Junior Lienholder or the Senior Lienholder in any property or assets of the
Credit Parties, (b) the time or manner of the filing of the respective financing
statements, mortgages, deeds of trust or other documents of the Junior
Lienholder or the Senior Lienholder, (c) whether the Junior Lienholder or the
Senior Lienholder or any bailee or agent thereof holds possession of any
property or assets of the Credit Parties, (d) the dating, execution or delivery
of any agreement, document or instrument granting the Junior Lienholder or the
Senior Lienholder Liens in any property or assets of the Credit Parties, (e) the
giving or failure to give notice of the acquisition or expected acquisition of
any purchase money or other Liens, and (f) any provision of the Code or any
other applicable law to the contrary, all Liens of the Junior Lienholder,
whether now or hereafter arising and howsoever existing, in all of the Senior
Lienholder Collateral shall be and hereby are subordinated to all Liens of the
Senior Lienholder in all of the Senior Lienholder Collateral.

                                       D-4
<PAGE>

         5.       Standstill as to Enforcement of Lien. Unless and until all of
the Senior Lienholder Debt shall have been fully, finally and indefeasibly paid
in cash and all outstanding commitments of the Senior Lienholder for the
incurring of additional Senior Lienholder Debt are terminated in writing, the
Junior Lienholder and the Noteholders shall not (a) take any action with respect
to the Senior Lienholder Collateral, whether by judicial or non-judicial
foreclosure, notification to account debtors or other obligors on the Senior
Lienholder Collateral, taking or obtaining possession of any of the Senior
Lienholder Collateral, or otherwise realizing upon the whole or any part of the
Senior Lienholder Collateral, or (b) in any manner interfere with the Senior
Lienholder's Lien in, or enforcement or collection of, the Senior Lienholder
Collateral. Nothing contained in this Section 5 shall be deemed to prohibit the
Junior Lienholder or the Noteholders from (i) enforcing their respective rights
under the Junior Lienholder Documents other than as expressly prohibited hereby
or (ii) intervening or participating in any judicial proceeding to the extent
necessary to establish or preserve its Lien in the Senior Lienholder Collateral,
so long as such intervention or participation does not interfere with the
foregoing rights of the Senior Lienholder.

         6.       Provisions Concerning Insurance and Condemnation.

         (a)      Each Lienholder agrees that the other Lienholder shall be
entitled to obtain loss payee endorsements and/or additional insured status with
respect to any and all policies of insurance now or hereafter obtained by the
Credit Parties insuring casualty or other loss to any property of the Credit
Parties in which such Lienholder may have a Lien. The rights and priorities of
any party to any insurance proceeds shall be as provided in Section 4 of this
Agreement.

         (b)      In the event of the occurrence of any casualty with respect to
any of the Senior Lienholder Collateral, the Lienholders agree that the Senior
Lienholder shall have the sole and exclusive right to adjust, compromise or
settle any such loss with the insurer thereof, and to collect and receive the
proceeds from such insurer. Any insurer shall be fully protected if it acts in
reliance on the provisions of this Section 6.

         (c)      In the event that the Senior Lienholder Collateral or any
portion thereof is taken by condemnation or insurance proceeds are payable for
loss, damage or other casualty to any of the Senior Lienholder Collateral, then
the proceeds payable from such condemnation or casualty shall be applied as set
forth in the Senior Lienholder Loan Agreement or as otherwise agreed by the
Senior Lienholder, and the decision made by the Senior Lienholder as to whether
such proceeds shall be applied in whole or in part to the payment of the Senior
Lienholder Debt or released therefrom to the Credit Parties for the repair,
restoration or replacement of the damaged or condemned Collateral shall be
conclusive and binding upon the Junior Lienholder and the Noteholders. The
Junior Lienholder agrees to execute such consents, releases, endorsements and
other documents as may be reasonably necessary to accomplish the application of
such condemnation or casualty proceeds, all without any additional consideration
or payment to the Junior Lienholder or the Noteholders.

                                       D-5
<PAGE>

         7.       Waivers by the Junior Lienholder.

         (a)      The Senior Lienholder shall not have any liability to the
Junior Lienholder or the Noteholders for, and the Junior Lender expressly waives
on behalf of itself and the Noteholders any claim which it may now or hereafter
have against the Senior Lienholder, arising out of or related to any actions
which the Senior Lienholder in good faith takes or omits to take with respect to
the Senior Lienholder Collateral, including, without limitation, actions with
respect to the creation, perfection or continuation of the Liens in the Senior
Lienholder Collateral, and actions with respect to the foreclosure upon, sale,
disposition, collection or failure to realize upon, the Senior Lienholder
Collateral. Without limiting the generality of the foregoing, the Senior
Lienholder may, without regard to the existence of any rights the Junior
Lienholder or the Noteholders may now or hereafter have in and to the Senior
Lienholder Collateral, and upon such terms and conditions as the Senior
Lienholder may deem appropriate, compromise, settle, adjust and in general deal
in any manner with the Senior Lienholder Collateral and the account debtors
indebted thereon, engage third parties to assist the Senior Lienholder in the
effectuation of the liquidation, collection or foreclosure of the Senior
Lienholder Collateral, and incur such out-of-pocket costs and expenses
incidental to the actions described in this Agreement as the Senior Lienholder
may deem appropriate, including, without limitation, the fees and disbursements
of counsel to the Senior Lienholder and any other third party professionals
engaged by it.

         (b)      The Junior Lienholder expressly waives on behalf of itself and
the Noteholders any right to require the Senior Lienholder to marshal the Senior
Lienholder Collateral for the Senior Lienholder Debt or otherwise to compel the
Senior Lienholder to seek recourse against or satisfaction of the Senior
Lienholder Debt from one source before seeking recourse or satisfaction from the
Senior Lienholder Collateral or any other source. The Junior Lienholder
irrevocably waives on behalf of itself and the Noteholders any claims it may
have against the Senior Lienholder, whether at law or in equity, including
rights under the Code, and, specifically, any right to assert any claim or bring
any action, suit or proceeding, whether at law or in equity (an "Action")
against the Senior Lienholder or raise any affirmative defense, claim or
counterclaim (a "Defense") in any Action brought against it by the Senior
Lienholder, the effect of which is to contest the commercial reasonableness of
the decisions or actions of the Senior Lienholder (whether made or taken alone
or through any of its agents or representations) with respect to the Senior
Lienholder Collateral, and in furtherance thereof, the Junior Lienholder
explicitly and irrevocably covenants with the Senior Lienholder on behalf of
itself and the Noteholders that the Junior Lienholder and the Noteholders shall
forever and for all time forbear from bringing any such Action or asserting any
such Defense.

         (c)      The Junior Lienholder hereby further waives any and all rights
to: (i) require the Senior Lienholder to enforce any guaranty or any Lien given
by any person or entity other than the Credit Parties to secure the payment of
any of the Senior Lienholder Debt as a condition precedent or concurrent to
taking any action against or with respect to the Senior Lienholder Collateral;
and (ii) bring any action to contest the validity, legality, enforceability,
perfection,

                                       D-6
<PAGE>

priority or avoidability of any of the Liens of the Senior Lienholder in the
Senior Lienholder Collateral.

         (d)      Except as otherwise set forth in Section 9 of this Agreement,
if a Credit Party shall become subject to a proceeding under the Bankruptcy
Code, or a proceeding under any other insolvency law, nothing contained in this
Section 7 shall in any way impair, limit or restrict the right of the Junior
Lienholder to object to any proposed sale or other disposition of any of the
Senior Lienholder Collateral in such proceeding.

         8.       Release of Lien of the Junior Lienholder. The Junior
Lienholder agrees, on behalf of itself and the Noteholders, whether or not a
default has occurred under the Indenture or any of the other Junior Lienholder
Documents, to release or otherwise terminate its Lien in all or any portion of
the Senior Lienholder Collateral upon written request of the Credit Parties or
the Senior Lienholder to the extent necessary to permit all or portion of the
Senior Lienholder Collateral to be sold or otherwise disposed of by the Credit
Parties or the Senior Lienholder, whether or not in the ordinary course of any
Credit Party's business; provided, however, that (i) the Senior Lienholder shall
have consented to such sale or other disposition, (ii) substantially
contemporaneously with such release or termination, the proceeds of such sale or
disposition (net of reasonable sales expenses and customary closing costs which
are required to be paid as a condition of the sale and which the Senior
Lienholder permits to be paid) are applied to the Senior Lienholder Debt, and
(iii) in the case of any such proceeds arising from the sale or other
disposition of any fixed assets of the Credit Parties, any outstanding
commitments for the incurring of Senior Lienholder Debt are reduced by the
amount of such proceeds actually received by the Senior Lienholder. Nothing
herein contained shall in any way constitute a waiver by the Junior Lienholder
or the Noteholders of any violation of Section 4.11 or any other provision of
the Indenture or the other Junior Lienholder Documents that may result from the
consummation of any such sale or other disposition of the Senior Lienholder
Collateral or a waiver of any default under the Junior Lienholder Documents that
may arise therefrom.

         9.       Bankruptcy Financing Issues. This Agreement shall continue in
full force and effect after the filing of any petition for relief by or against
any Credit Party under the Bankruptcy Code and all converted or succeeding cases
in respect thereof (all references herein to a Credit Party being deemed to
apply to such Credit Party as a debtor-in-possession and to a trustee for such
Credit Party), and shall apply with full force and effect with respect to all
Senior Lienholder Collateral acquired by such Credit Party, and to all Senior
Lienholder Debt and Junior Lienholder Debt incurred by such Credit Party,
subsequent to such filing. If a Credit Party shall become subject to a
proceeding under the Bankruptcy Code, and if the Senior Lienholder shall desire
to permit the use of cash collateral by such Credit Party or to provide
post-petition financing from the Senior Lienholder to such Credit Party, the
Junior Lienholder agrees that no objection will be raised by the Junior
Lienholder to any such use of cash collateral or such post-petition financing
from the Senior Lienholder on the grounds of a failure to provide adequate
protection for the Junior Lienholder's junior Lien, provided that the Junior
Lienholder is granted a comparable junior Lien on the post-petition Senior
Lienholder Collateral of such Credit Party.

                                       D-7
<PAGE>

         10.      Legend. Each of the Junior Debt Documents (including, without
limitation, any Code financing statement filed to perfect the Liens of the
Junior Lienholder in any of the Senior Lienholder Collateral) shall contain in a
conspicuous manner the following legend:

                  "The liens and security interests of the Trustee granted or
                  evidenced hereby, and the enforcement thereof, are
                  subordinated to the liens and security interests granted to
                  Fleet Capital Corporation ("Fleet"), its successors and
                  assigns, as the senior lienholder, in the manner and to the
                  extent set forth in, and is otherwise subject to the terms of,
                  that certain Lien Subordination Agreement, dated January ___,
                  2004, between the Trustee and Fleet, and acknowledged and
                  agreed to by the Borrower and its subsidiaries, as the same
                  may be amended, modified or otherwise supplemented from time
                  to time."

         11.      Term. This Agreement shall remain in full force and effect
until all of the Senior Lienholder Debt shall have been fully, finally, and
indefeasibly paid in cash and all outstanding commitments of the Senior
Lienholder for the incurring of additional Senior Lienholder Debt are terminated
in writing. This Agreement shall continue to be effective or be reinstated, as
the case may be, if at any time any payment of any of the Senior Lienholder Debt
is rescinded or must otherwise be returned by the Senior Lienholder upon the
insolvency, bankruptcy or reorganization of a Credit Party or otherwise, all as
though such payment had not been made. This is a continuing agreement of
subordination and the Senior Lienholder may continue to extend credit or other
financial accommodations and loan monies to or for the benefit of the Credit
Parties, in reliance hereon, under the Senior Lienholder Documents or otherwise
without notice to the Junior Lienholder or the Noteholders.

         12.      No Waiver of Subordination Provisions.

                  (a)      No right of the Senior Lienholder to enforce the
provisions of this Agreement shall at any time or in any way be prejudiced or
impaired by (i) any act or failure to act on the part of the Credit Parties, or
(ii) any act or failure to act by the Senior Lienholder, or (iii) any
non-compliance by the Credit Parties with the terms, provisions and covenants of
any of the Junior Lienholder Documents, regardless of any knowledge thereof the
Senior Lienholder may have or be otherwise charged with.

                  (b)      Without in any way limiting the generality of
subsection (a) of this Section 12, the Senior Lienholder may, at any time and
from time to time, without the consent of or notice to the Junior Lienholder or
the Noteholders, without incurring responsibility to the Junior Lienholder and
the Noteholders, and without impairing or releasing the lien subordination
provided hereunder or the obligations of the Junior Lienholder or the
Noteholders hereunder, do any one or more of the following:

                                       D-8
<PAGE>

                  (i)      Amend, modify, waive or consent to any term or
         provision set forth in any of the Senior Lienholder Documents;

                  (ii)     Change the manner, place or terms of payment or
         extend the time of payment of, or refund or refinance, or renew or
         alter, any of the Senior Lienholder Debt;

                  (iii)    Sell, exchange, release or otherwise deal with any
         property pledged, mortgaged or otherwise securing all or any portion of
         the Senior Lienholder Debt;

                  (iv)     Release any Person liable in any manner for the
         payment or collection of any of the Senior Lienholder Debt;

                  (v)      Exercise or refrain from exercising any rights
         against the Credit Parties or any other Person; and

                  (vi)     Take any other action under the Senior Lienholder
         Documents or otherwise with respect to the Credit Parties, the Senior
         Lienholder Debt or the Senior Lienholder Collateral which might
         otherwise constitute a defense available to, or a discharge of, the
         Junior Lienholder or the Noteholders in respect of their respective
         obligations under this Agreement.

         13.      Reliance by the Senior Lienholder; Waiver of Notices; No
Representations by the Senior Lienholder. All of the Senior Lienholder Debt
shall be deemed to have been made or incurred in reliance upon this Agreement.
The Junior Lienholder for itself and the Noteholders expressly waives all notice
of the acceptance by the Senior Lienholder of the provisions of this Agreement
and all other notices not specifically required pursuant to the terms of this
Agreement. The Junior Lienholder agrees that the Senior Lienholder has not made
any representation or warranty with respect to the due execution, legality,
validity, completeness or enforceability of any of the Senior Lienholder
Documents, the perfection or priority of any Lien securing any of the Senior
Lienholder Debt or the collectability of any of the Senior Lienholder Debt. The
Senior Lienholder shall be entitled to manage and supervise its credit
facilities with the Credit Parties in accordance with applicable law and its
usual business practices, modified from time to time as it deems appropriate
under the circumstances, without regard to the existence of any rights that the
Junior Lienholder or the Noteholders may have in any of the property or assets
of the Credit Parties, and the Senior Lienholder shall have no liability to the
Junior Lienholder or the Noteholders for any loss, claim or damage allegedly
suffered by the Junior Lienholder or the Noteholders in any proceeding by the
Senior Lienholder to foreclose or otherwise enforce any of its Liens in any of
the Senior Lienholder Collateral.

         14.      Financial Condition of the Credit Parties. The Noteholders
shall each be responsible for keeping informed of the financial condition of the
Credit Parties and of all other circumstances bearing upon the risk of
nonpayment of the Junior Lienholder Debt that diligent

                                       D-9
<PAGE>

inquiry would reveal and the Junior Lienholder hereby agrees for itself and on
behalf of the Noteholders that the Senior Lienholder shall have no duty to
advise the Junior Lienholder or the Noteholders of any information regarding
such condition or any such circumstances.

         15.      Code Notices. If the Senior Lienholder shall be required by
the Code or any other applicable law to give notice to the Junior Lienholder or
the Noteholders of any action taken or to be taken by the Senior Lienholder
against or with respect to any of the Senior Lienholder Collateral, such notice
shall be given in accordance with Section 20 below and five (5) days notice
shall be conclusively deemed to be commercially reasonable.

         16.      Further Assurances. Each Lienholder agrees to take any and all
additional actions and execute, deliver, file and record any additional
documents, agreements and instruments as may be necessary or as the other
Lienholder may from time to time reasonably request to effect the subordination
and other provisions of this Agreement.

         17.      No Violation of Documents. Each Lienholder agrees that the
terms and provisions of this Agreement, or the Liens granted by the Credit
Parties to each of them thereunder, do not violate any term or provision of any
of its respective Documents with the Credit Parties; and to the extent any of
the terms or provisions of this Agreement are inconsistent with any of the terms
and provisions of such Lienholder's Documents, the provisions of such Documents
shall be deemed to have been superseded by this Agreement.

         18.      Entire Agreement; Modifications in Writing. This Agreement
constitutes and expresses the entire understanding among the parties hereto with
respect to the subject matter hereof, and supersedes all prior and
contemporaneous agreements and understandings, inducements or conditions,
whether express or implied, oral or written. No amendment, modification,
supplement, termination, consent to or waiver of any provision of this Agreement
nor any consent to any departure therefrom shall in any event be effective
unless the same shall be in writing and signed by or on behalf of each
Lienholder. Any waiver of any provision of this Agreement, and any consent to
any departure from the terms of any provision of this Agreement, shall be
effective only in the specific instances and for the specific purpose for which
given.

         19.      Waiver; Failure or Delay. No failure or delay on the part of a
Lienholder in the exercise of any power, right, remedy or privilege under this
Agreement shall impair such power, right, remedy or privilege or shall operate
as a waiver thereof; nor shall any single or partial exercise of any such power,
right, remedy or privilege preclude any other or further exercise of any other
power, right, remedy or privilege. The waiver of any such right, power, remedy
or privilege with respect to particular facts and circumstances shall not be
deemed to be a waiver with respect to other facts and circumstances.

         20.      Notices. All notices, requests and demands to or upon a
Lienholder, to be effective, shall be in writing and shall be sent by certified
or registered mail, return receipt requested, by overnight air courier or by
facsimile, and shall be deemed to have been received by the other Lienholder
when sent during customary business hours by facsimile, transmission

                                      D-10
<PAGE>

confirmed (or, if sent after 5:00 o'clock p.m., eastern time, on the following
business day), when delivered against a receipt, one (1) business day after
sending by overnight air courier, and three (3) business days after mailing, if
sent by certified or registered mail. Notices shall be addressed as follows:

         If to the Senior Lienholder:  Fleet Capital Corporation
                                       6100 Fairview Road, Suite 200
                                       Charlotte, North Carolina 28210
                                       Attention:  Southeast Loan Administration
                                       Facsimile No.:  704-553-6739

         With a copy to:               Carruthers & Roth, P.A.
                                       235 North Edgeworth Street
                                       Greensboro, North Carolina 27401
                                       Attention:  Kenneth M. Greene, Esq.
                                       Facsimile No.: 336-273-7885

         If to the Junior Lienholder:  U. S. Bank National Association
                                       One Federal Street - 3rd Floor
                                       Boston, Massachusetts 02110
                                       Attention: Corporate Trust Department
                                       (Pierre Foods, Inc. a/k/a Fresh Foods,
                                       Inc. Senior Notes due 2006)
                                       Facsimile No. 617-603-6683

         With a copy to:               Shipman & Goodwin LLP
                                       One American Row
                                       Hartford, Connecticut 06103-2819
                                       Attention:  Ira Goldman, Esq.
                                       Facsimile No.: 860-251-5899

or to such other address as each party may designate for itself by notice given
in accordance with this Section 20. Any written notice or demand that is not
sent in conformity with the provisions hereof shall nevertheless be effective on
the date that such notice is actually received by the noticed party.

         21.      Severability. Whenever possible, each provision of this
Agreement shall be interpreted in such a manner as to be effective and valid
under applicable law, but if any provision of this Agreement shall be prohibited
by or invalid under applicable law, such provision shall be ineffective only to
the extent of such prohibition or invalidity, without invalidating the remainder
of such provisions or the remaining provisions of this Agreement.

         22.      Successors and Assigns. This Agreement shall be binding upon
and inure to the benefit of each Lienholder and their respective successors and
assigns. Any person or entity whose loans to the Credit Parties hereafter are
used to refinance the Senior Lienholder Debt shall

                                      D-11
<PAGE>

be deemed for all purposes hereof to be the successor to the Senior Lienholder,
and from and after the date of any such refinancing and satisfaction in full of
any Senior Lienholder Debt, such person or entity shall be deemed a party hereto
in the place and stead of the Senior Lienholder as if such person or entity had
been the original signatory hereto.

         23.      Equitable Remedies. Each party to this Agreement acknowledges
that the breach of any of the provisions of this Agreement is likely to cause
irrevocable damage to the other party. Therefore, the relief to which any party
shall be entitled in the event of any such breach or threatened breach shall
include, without limitation, a mandatory injunction for specific performance,
injunctive or other judicial relief to prevent a violation of any of the
provisions of this Agreement, damages and any other relief to which it may be
entitled at law or in equity.

         24.      Attorneys' Fees and Expenses. In the event of any dispute
concerning the meaning or interpretation of this Agreement which results in
litigation, or in the event of any litigation by a party hereto to enforce the
provisions hereof, the prevailing party shall be entitled to recover from the
non-prevailing party, in addition to its other damages, its reasonable
attorneys' fees and expenses and any actual court costs incurred.

         25.      Section Titles. The section titles contained in this Agreement
are and shall be without substantive meaning or content of any kind whatsoever
and are not a part of the agreement among the parties hereto.

         26.      Authority. Each party represents and warrants to each other
party that it has the authority to enter into this Agreement and that the person
signing for such party is authorized and directed to do so. The Junior
Lienholder further warrants and represents to the Senior Lienholder that the
Junior Lienholder has been duly authorized by the requisite number of
Noteholders required under the terms of the Indenture to enter into this
Agreement on behalf of all of the Noteholders and that, upon the execution and
delivery hereof by all of the parties hereto, this Agreement shall be binding
upon and enforceable against the Noteholders.

         27.      Counterparts. This Agreement may be executed by the parties
hereto in one or more counterparts, each of which when so executed shall be an
original. When taken together, such counterparts shall constitute but one and
the same document.

         28.      GOVERNING LAW; CONSENT TO FORUM. THIS AGREEMENT HAS BEEN
NEGOTIATED, EXECUTED AND DELIVERED AT AND SHALL BE DEEMED TO HAVE BEEN MADE IN
NORTH CAROLINA. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN ACCORDANCE
WITH THE LAWS OF THE STATE OF NORTH CAROLINA. AS PART OF THE CONSIDERATION FOR
NEW VALUE RECEIVED, AND REGARDLESS OF ANY PRESENT OR FUTURE DOMICILE OR
PRINCIPAL PLACE OF BUSINESS OF THE JUNIOR LIENHOLDER OR THE SENIOR LIENHOLDER,
EACH LIENHOLDER HEREBY CONSENTS AND AGREES THAT THE SUPERIOR COURT OF
MECKLENBURG COUNTY, NORTH CAROLINA, OR, AT THE

                                      D-12
<PAGE>

SENIOR LIENHOLDER'S OPTION, THE UNITED STATES DISTRICT COURT FOR THE WESTERN
DISTRICT OF NORTH CAROLINA, CHARLOTTE DIVISION, SHALL HAVE EXCLUSIVE
JURISDICTION TO HEAR AND DETERMINE ANY CLAIMS OR DISPUTES BETWEEN THE JUNIOR
LIENHOLDER AND THE SENIOR LIENHOLDER PERTAINING TO THIS AGREEMENT OR TO ANY
MATTER ARISING OUT OF OR RELATED TO THIS AGREEMENT. EACH LIENHOLDER EXPRESSLY
SUBMITS AND CONSENTS IN ADVANCE TO SUCH JURISDICTION IN ANY ACTION OR SUIT
COMMENCED IN ANY SUCH COURT, AND EACH LIENHOLDER HEREBY WAIVES ANY OBJECTION
WHICH SUCH LIENHOLDER MAY HAVE BASED UPON LACK OF PERSONAL JURISDICTION,
IMPROPER VENUE OR FORUM NON CONVENIENS AND HEREBY CONSENTS TO THE GRANTING OF
SUCH LEGAL OR EQUITABLE RELIEF AS IS DEEMED APPROPRIATE BY SUCH COURT. EACH
LIENHOLDER HEREBY WAIVES PERSONAL SERVICE OF THE SUMMONS, COMPLAINT AND OTHER
PROCESS ISSUED IN ANY SUCH ACTION OR SUIT AND AGREES THAT SERVICE OF SUCH
SUMMONS, COMPLAINT AND OTHER PROCESS MAY BE MADE BY REGISTERED OR CERTIFIED MAIL
ADDRESSED TO SUCH LIENHOLDER AT THE ADDRESS SET FORTH IN THIS AGREEMENT AND THAT
SERVICE SO MADE SHALL BE DEEMED COMPLETED UPON THE EARLIER OF SUCH LIENHOLDER'S
ACTUAL RECEIPT THEREOF OR 3 DAYS AFTER DEPOSIT IN THE U.S. MAILS, PROPER POSTAGE
PREPAID. NOTHING IN THIS AGREEMENT SHALL BE DEEMED OR OPERATE TO AFFECT THE
RIGHT OF A LIENHOLDER TO SERVE LEGAL PROCESS IN ANY OTHER MANNER PERMITTED BY
LAW, OR TO PRECLUDE THE ENFORCEMENT BY SUCH LIENHOLDER OF ANY JUDGMENT OR ORDER
OBTAINED IN SUCH FORUM OR THE TAKING OF ANY ACTION UNDER THIS AGREEMENT TO
ENFORCE SAME IN ANY OTHER APPROPRIATE FORUM OR JURISDICTION.

         29.      WAIVERS OF TRIAL BY JURY. EACH LIENHOLDER WAIVES, TO THE
FULLEST EXTENT PROVIDED BY APPLICABLE LAW, THE RIGHT TO TRIAL BY JURY IN ANY
ACTION, SUIT, PROCEEDING OR COUNTERCLAIM OF ANY KIND ARISING OUT OF OR RELATING
TO THIS AGREEMENT, THE SENIOR LIENHOLDER COLLATERAL OR THE SENIOR LIENHOLDER
DOCUMENTS. EACH LIENHOLDER ACKNOWLEDGES THAT THE FOREGOING WAIVERS ARE A
MATERIAL INDUCEMENT TO THE OTHER LIENHOLDER'S ENTERING INTO ITS RESPECTIVE
DOCUMENTS WITH THE CREDIT PARTIES AND EXTENDING CREDIT TO THE CREDIT PARTIES
THEREUNDER AND THAT EACH LIENHOLDER IS RELYING UPON THE FOREGOING WAIVERS IN ITS
FUTURE DEALINGS WITH THE CREDIT PARTIES. EACH LIENHOLDER WARRANTS AND REPRESENTS
THAT IT HAS REVIEWED THE FOREGOING WAIVERS WITH ITS LEGAL COUNSEL AND HAS
KNOWINGLY AND VOLUNTARILY WAIVED ITS JURY TRIAL RIGHTS FOLLOWING CONSULTATION
WITH LEGAL COUNSEL. IN THE EVENT OF

                                      D-13
<PAGE>

LITIGATION, THIS AGREEMENT MAY BE FILED AS A WRITTEN CONSENT TO A TRIAL BY THE
COURT.

                                      D-14
<PAGE>

         IN WITNESS WHEREOF, this Agreement has been duly executed by the
parties hereto as of the day and year first above written.

                                       JUNIOR LIENHOLDER:

                                       U. S. BANK NATIONAL
                                       ASSOCIATION, as Trustee

                                       By: _____________________________________
                                           Title: ______________________________

                                       SENIOR LIENHOLDER:

                                       FLEET CAPITAL CORPORATION

                                       By: _____________________________________
                                           Title: ______________________________

                                      D-15
<PAGE>

                          ACKNOWLEDGMENT AND AGREEMENT
                                OF CREDIT PARTIES

         The undersigned, Pierre Foods, Inc. (the "Borrower"), a North Carolina
corporation, and its subsidiaries, Fresh Foods Properties, LLC, Columbia Hill
Aviation, LLC, Compass Outfitters, LLC, PF Purchasing, LLC, and PF Distribution,
LLC, each a North Carolina limited liability company (the "Subsidiary
Guarantors" and, together with the Borrower, the "Credit Parties"), each hereby
accepts and acknowledges receipt of a copy of the within and foregoing Lien
Subordination Agreement (the "Agreement") and consents to and agrees to bound by
all of the terms and provisions thereof.

         IN WITNESS WHEREOF, the undersigned has caused this Acknowledgment and
Agreement to be duly executed on the day and year first above written.

                                            BORROWER:

                                            PIERRE FOODS, INC.

                                            By:   /S/ Pamela M. Witters
                                                --------------------------------
                                            Title: CFO

                                            SUBSIDIARY GUARANTORS:

                                            FRESH FOODS PROPERTIES, LLC

                                            By:    /S/ Pamela M. Witters
                                                --------------------------------
                                            Title: Manager

                                            COMPASS OUTFITTERS, LLC

                                            By:    /S/ Pamela M. Witters
                                                --------------------------------
                                            Title: Manager

                     [Signatures Continue on the Next Page]

                                      D-16
<PAGE>

                                            COLUMBIA HILL AVIATION, LLC

                                            By:    /S/ Brian D. Davis
                                                --------------------------------
                                            Title: Manager

                                            PF PURCHASING, LLC

                                            By:    /S/ Brian D. Davis
                                                --------------------------------
                                            Title: Manager

                                            PF DISTRIBUTION, LLC

                                            By:    /S/ Brian D. Davis
                                                --------------------------------
                                                Title: Manager

                                      D-17

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00061-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00061-of-00352.parquet"}]]