Document:

<PAGE>

                      JOINDER, CONSENT AND AMENDMENT NO. 1

                                       TO

                      REVOLVING CREDIT, TERM LOAN, GUARANTY
                             AND SECURITY AGREEMENT

         THIS JOINDER, CONSENT AND AMENDMENT NO. 1 ("Amendment") is entered into
as of February 23, 2000 by and among SUNSOURCE INC., a corporation organized
under the laws of the State of Delaware ("SunSource"), SUNSOURCE TECHNOLOGY
SERVICES INC., a corporation organized under the laws of the State of Delaware
("STSI"), THE HILLMAN GROUP, INC., a corporation organized under the laws of the
State of Delaware ("Hillman"), HARDING GLASS, INC., a corporation organized
under the laws of the State of Delaware ("Harding"), KAR PRODUCTS INC., a
corporation organized under the laws of the State of Delaware ("KAR")
(SunSource, STSI, Hillman, Harding and KAR, each a "Borrower" and collectively
"Borrowers"), 1394066 Ontario Inc., a corporation organized under the laws of
the Province of Ontario ("Ontario Inc."), the other Credit Parties (as defined
in the Loan Agreement (as defined herein)) named therein or which hereafter
become a party thereto, the financial institutions which are now or which
hereafter become a party thereto (collectively, the "Lenders" and individually a
"Lender") and PNC BANK, NATIONAL ASSOCIATION, a national banking association
("PNC"), as Agent for Lenders (PNC, in such capacity, the "Agent").

                                   BACKGROUND

         Borrowers, the other Credit Parties, Lenders and Agent are parties to
that certain Revolving Credit, Term Loan, Guaranty and Security Agreement dated
as of December 15, 1999 (as amended, restated, supplemented or otherwise
modified from time to time, the "Loan Agreement") pursuant to which Agent and
Lenders provide Borrowers with certain financial accommodations.

         Borrowers have requested that Agent and Lenders amend the Loan
Agreement and allow for the transfer of certain assets as provided for in that
certain Contribution Agreement dated as of February 10, 2000 by and among
SunSource, SUNSOURCE INDUSTRIAL SERVICES COMPANY, INC., a corporation organized
under the laws of the State of Delaware ("SISC"), KAR, A & H HOLDING COMPANY,
INC., a corporation organized under the laws of the State of Michigan ("A & H
Holding"), SUNSOURCE CANADA INVESTMENT COMPANY, an unlimited liability company
organized under the laws of the Province of Nova Scotia ("SunSource Canada"), A.
& H. BOLT & NUT COMPANY LTD., a company organized under the laws of the Province
of Ontario ("A & H Bolt") and GC-SUN HOLDINGS, L.P., a Delaware limited
partnership ("Partnership")(as amended, supplemented, modified or restated from
time to time, the "Contribution Agreement"), and Agent and Lenders are willing
to do so on the terms and conditions hereafter set forth.
<PAGE>

         Borrowers have informed Agent that SISC and A & H Holding will own
forty-nine percent (49%) of all of the Units (as defined in the Amended and
Restated Agreement of Limited Partnership of GC-Sun Holdings, L.P. dated as of
March 2, 2000 among GC-Limited, Inc., a Delaware corporation ("Glencoe Corp."),
SISC, A & H Holding, and GC-Sun G.P., Inc. a Delaware corporation ("GC-SUN")(the
"Partnership Agreement").

         NOW, THEREFORE, in consideration of any loan or advance or grant of
credit heretofore or hereafter made to or for the account of Borrowers by Agent
and Lenders, and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto hereby agree as
follows:

         1. Definitions. All capitalized terms not otherwise defined herein
shall have the meanings given to them in the Loan Agreement.

         2. Joinder Agreement.

            (a) Ontario Inc. is hereby added as an additional Guarantor under
the Loan Agreement, and all references to "Guarantor" or "Guarantors" thereunder
and under all of the Other Documents shall hereafter be deemed to include
Ontario Inc.

            (b) Ontario Inc. hereby adopts the Loan Agreement and each of the
Other Documents and assumes in full, and acknowledges that it is jointly and
severally liable for, the payment, discharge, satisfaction and performance of
all Obligations under the Loan Agreement and the Other Documents. Ontario Inc.
hereby acknowledges and confirms that Ontario Inc. hereby grants to Agent for
its benefit and for the ratable benefit of Lenders a continuing lien and
security interest in all presently existing and hereafter arising Collateral
which Ontario Inc. now or hereafter owns or has an interest in, wherever
located, to secure prompt repayment of any and all Obligations owed to Agent and
Lenders and to secure prompt performance by Borrowers of each and all of their
covenants and obligations under the Loan Agreement, this Amendment and the Other
Documents. Agent's lien and security interest in the Collateral shall attach to
all Collateral without further act on the part of Agent, Ontario Inc.

         3. Consent. Subject to satisfaction of the conditions precedent set
forth in Section 5 below, Agent and Lenders hereby (a) consent to the
transactions contemplated by the Contribution Agreement entered into by KAR,
SunSource, SISC, A & H Bolt, A & H Holding, Ontario Inc. and SunSource Canada
provided that no Credit Party shall make any contribution or distribution of any
kind or nature to the Partnership including, without limitation, satisfying a
capital call made by the Partnership without the prior written consent of Agent
and Required Lenders and (b) release (i) all Liens which Agent may have upon the
assets of KAR, A & H Bolt and SunSource Canada and any stock of such entities
which was pledged to Agent as security for the Obligations, and Agent further
agrees, at Borrowers' expense, to deliver to SunSource such UCC-3 termination
statements and mortgage satisfactions as may be reasonably requested by
Borrowers in connection with the above described release of the Agent's Lien on
such items of Collateral and (ii) KAR, A & H Bolt and SunSource Canada as Credit
Parties under the Loan Agreement.

                                      -2-
<PAGE>

         4. Amendment to Loan Agreement. Subject to satisfaction of the
conditions precedent set forth in Section 5 below, the Loan Agreement is hereby
amended as follows:

            (a) Section 1.2 is amended as follows:

                (i) the following defined terms are amended in their entirety to
provide as follows:

            "Eligible Inventory" shall mean and include Inventory (excluding
work in process), with respect to each Borrower valued at the lower of cost or
market value, determined on a first-in-first-out basis, which is not, in Agent's
reasonable opinion, obsolete, slow moving or unmerchantable and which Agent, in
its reasonable discretion, shall not deem ineligible Inventory, based on such
considerations as Agent may from time to time deem appropriate including,
without limitation, whether the Inventory is subject to a perfected, first
priority security interest in favor of Agent and no other Lien (other than
Permitted Encumbrances) as confirmed by Uniform Commercial Code, tax lien and
pending suit and judgment searches reasonably satisfactory to Agent, whether
Agent has received an executed landlord or warehouse agreement in favor of
Agent, in form and substance satisfactory to Agent, with respect to such
Inventory and whether the Inventory conforms to all standards imposed by any
governmental agency, division or department thereof which has regulatory
authority over such goods or the use or sale thereof. Inventory (excluding work
in process and unpaid finished goods and raw materials received from suppliers
within the immediately preceding thirty (30) day period) of J.N. Fauver shall be
deemed to constitute Eligible Inventory to the extent it would constitute
Eligible Inventory based upon the criteria set forth above. The value of
Inventory of J.N. Fauver shall be converted to Dollars by Credit Parties
(subject to review and revision by Agent in its reasonable discretion) based
upon the exchange rate on the date of computation.

            "Guarantor" shall mean A & H Holding, J.N. Fauver, Ontario Inc.,
SunSource Corporate, SunSource Industrial, SunSource Inventory, SunSource
Investment, SunSub A and any other Person who may hereafter guarantee payment or
performance of the whole or any part of the Obligations and "Guarantors" means
collectively all such Persons.

            "Individual Maximum Revolving Advance Amount" shall mean $20,000,000
with respect to the Harding Division, $45,000,000 with respect to the Hillman
Division and $50,000,000 and with respect to the SunSource Division, it being
understood and agreed that no Advances shall be made by Agent or Lenders to J.
N. Fauver; rather J. N. Fauver is part of the SunSource Division for purposes of
calculating Advances which can be made solely to SunSource Technology.

            "Mortgage" shall mean the Deed of Trust, Assignment of Rents and
Security Agreement dated as of even date herewith, with SunSource Technology as
grantor and Agent as beneficiary, encumbering property located in Arlington,
Texas.

            "Operating Division" shall mean as applicable, the Harding Division,
Hillman Division or SunSource Division.

                                      -3-
<PAGE>

            "Pledge Agreement" shall mean, collectively, (a) the Pledge
Agreements each dated as of the Closing Date made by each of SunSource,
SunSource Investment, SunSub A and SunSource Industrial in favor of Agent and
(b) the Pledge Agreements each dated as of the Joinder, Consent and Amendment
No. 1 Effective Date made by each of SunSource Industrial, A&H Holding and
Ontario Inc. in favor of Agent, as each of the foregoing may be amended,
restated, modified and/or supplemented from time to time.

            "Purchasing Lender" shall have meaning set forth in Section 17.3
hereof.

            "Transferee" shall have the meaning set forth in Section 17.3(b)
hereof

               (ii) The last paragraph of "Eligible Receivables" is hereby
amended by deleting the paragraph in its entirety and replacing in its stead the
following:

         "Receivables of J.N. Fauver shall be deemed to constitute Eligible
Receivables to the extent they would constitute Eligible Receivables based upon
the criteria set forth above. The value of Receivables of J.N. Fauver shall be
converted by Credit Parties (subject to review and revision by Agent in its
reasonable discretion) to Dollars based upon the exchange rate on the date of
computation.

               (iii) by deleting the following defined term in its entirety:

            "Kar Division"

               (iv) by adding the following defined term in its appropriate
alphabetical order:

            "Axxess Technologies" shall mean Axxess Technologies, Inc., a
corporation organized under the laws of the State of Delaware.

            "Joinder, Consent and Amendment No. 1 Effective Date" shall mean
March 2, 2000.

            "Ontario Inc." shall mean 1394066 Ontario Inc., a corporation
organized under the laws of the Province of Ontario

            "Term Loan Reserve" shall mean $15,000,000. The Term Loan Reserve
shall remain in place until the earlier of (a) the date the Harding Divestiture
is consummated or (b) the date the $110,000,000 acquisition of the stock of
Axxess Technologies by SunSource or Hillman is consummated.

                                      -4-
<PAGE>

            (b) Clause (iv) of Section 2.1(a) is amended in its entirety to
provide as follows:

            "Such reserves including, without limitation, the Term Loan Reserve,
as Agent may reasonably deem proper and necessary from time to time."

            (c) The first paragraph of Section 17.2(b) is amended in its
entirety to provide as follows:

               "(b) The Required Lenders, Agent with the consent in writing of
            the Required Lenders, and Credit Parties may, subject to the
            provisions of this Section 17.2 (b), from time to time enter into
            written supplemental agreements to this Agreement or the Other
            Documents executed by Credit Parties, for the purpose of adding or
            deleting any provisions or otherwise changing, varying or waiving in
            any manner the rights of Lenders, Agent or Credit Parties thereunder
            or the conditions, provisions or terms thereof or waiving any Event
            of Default thereunder, but only to the extent specified in such
            written agreements; provided, however, that no such supplemental
            agreement shall, without the consent of all Lenders:

               (i) increase the Commitment Percentage or maximum dollar
            commitment of any Lender.

               (ii) extend the maturity of any Note or the due date for any
            amount payable hereunder, or decrease the rate of interest or reduce
            any fee payable by Borrowers to Lenders pursuant to this Agreement.

               (iii) alter the definition of the term Required Lenders or alter,
            amend or modify this Section 17.2(b).

               (iv) release any Collateral during any calendar year (other than
            in accordance with the provisions of this Agreement) having an
            aggregate value in excess of $1,000,000.

               (v) change the rights and duties of Agent.

               (vi) permit any Revolving Advance to be made if after giving
            effect thereto the total of Revolving Advances outstanding hereunder
            would exceed the Formula Amount for more than thirty (30)
            consecutive Business Days or exceed one hundred and ten percent
            (110%) of the Formula Amount.

               (vii) increase the Advance Rates above the Advance Rates in
            effect on the Closing Date.

                                      -5-
<PAGE>

               (viii) permit any Credit Party or any Subsidiary of any Credit
            Party to (x) enter into any merger, amalgamation, consolidation or
            other reorganization with or into Axxess Technologies or (y) acquire
            all or a substantial portion of the assets or stock of Axxess
            Technologies."

            (d) Section 17.6 is amended in its entirety to provide as follows:

         Notice. Any notice or request hereunder may be given to Borrowing Agent
or any Credit Party or to Agent or any Lender at their respective addresses set
forth below or at such other address as may hereafter be specified in a notice
designated as a notice of change of address under this Section. Any notice,
request, demand, direction or other communication (for purposes of this Section
17.6 only, a "Notice") to be given to or made upon any party hereto under any
provision of this Loan Agreement shall be given or made by telephone or in
writing (which includes by means of electronic transmission (i.e., "e-mail") or
facsimile transmission or by setting forth such Notice on a site on the World
Wide Web (a "Website Posting") if Notice of such Website Posting (including the
information necessary to access such site) has previously been delivered to the
applicable parties hereto by another means set forth in this Section 17.6) in
accordance with this Section 17.6. Any such Notice must be delivered to the
applicable parties hereto at the addresses and numbers set forth under their
respective names on Section 17.6 hereof or in accordance with any subsequent
unrevoked Notice from any such party that is given in accordance with this
Section 17.6. Any Notice shall be effective:

            (a) In the case of hand-delivery, when delivered;

            (b) If given by mail, four days after such Notice is deposited with
the United States Postal Service, with first-class postage prepaid, return
receipt requested;

            (c) In the case of a telephonic Notice, when a party is contacted by
telephone, if delivery of such telephonic Notice is confirmed no later than the
next Business Day by hand delivery, a facsimile or electronic transmission, a
Website Posting or an overnight courier delivery of a confirmatory Notice
(received at or before noon on such next Business Day);

            (d) In the case of a facsimile transmission, when sent to the
applicable party's facsimile machine's telephone number, if the party sending
such Notice receives confirmation of the delivery thereof from its own facsimile
machine;

            (e) In the case of electronic transmission, when actually received;

            (f) In the case of a Website Posting, upon delivery of a Notice of
such posting (including the information necessary to access such site) by
another means set forth in this Section 17.6; and

            (g) If given by any other means (including by overnight courier),
when actually received.

Any Lender giving a Notice to Credit Party shall concurrently send a copy
thereof to the Agent, and the Agent shall promptly notify the other Lenders of
its receipt of such Notice.

                                      -6-
<PAGE>

         (A)    If to Agent or             PNC Bank, National Association
                PNC at:                    Two Tower Center
                                           East Brunswick, New Jersey 08816
                                           Attention:      Ryan Peak
                                           Telephone:      (732) 220-4315
                                           Telecopier:     (732) 220-4393

                with a copy to:            PNC Bank, National Association
                                           PNC Agency Services
                                           One PNC Plaza
                                           249 Fifth Avenue
                                           Pittsburgh, Pennsylvania 15222
                                           Attention: Arlene Ohler
                                           Telephone:      (412) 762-3627
                                           Telecopier:     (412) 762-8672

                and a copy to:             Hahn & Hessen LLP
                                           350 Fifth Avenue
                                           New York, New York 10118-0075
                                           Attention:      Steven J. Seif, Esq.
                                           Telephone:      (212) 946-0294
                                           Telecopier:     (212) 594-7167

         (B)    If to a Lender other than Agent, as specified on the signature
                pages hereof

         (C)    If to Borrowing Agent
                or any Credit Party, at:  SunSource Inc.
                                           3000 One Logan Square, 30th Floor
                                           Philadelphia, Pennsylvania 19103
                                           Attention:      Joseph M. Corvino
                                           Telephone:      (215) 282-1290
                                           Telecopier:     (215) 282-1309

                with a copy to:            Morgan, Lewis & Bockius, LLP
                                           1701 Market Street
                                           Philadelphia, Pennsylvania
                                           Attention:      Andrew Hamilton, Esq.
                                           Telephone:      (215) 963-4837
                                           Telecopier:     (215) 963-5299

         (e) All of the Schedules to the Loan Agreement are hereby amended in
their entirety by the Schedules attached hereto.

            5. Conditions of Effectiveness. This Amendment shall become
effective upon satisfaction of the following conditions precedent:

                                      -7-
<PAGE>

               (i) Agent shall have received four (4) copies of this Amendment
executed by all Credit Parties and Lenders.

               (ii) Each document (including, without limitation, any Uniform
Commercial Code financing statement) required by this Amendment or under law or
reasonably requested by Agent to be filed, registered or recorded in order to
create, in favor of Agent, a perfected security interest in or lien upon the
Collateral owned by Ontario Inc. shall have been delivered to Agent;

               (iii) Agent shall have received a copy of the resolutions in form
and substance reasonably satisfactory to Agent, of the Board of Directors of (A)
Ontario Inc. authorizing (1) the execution, delivery and performance of this
Amendment and the pledge agreement executed by Ontario Inc. in favor of Agent in
connection herewith, and (2) the granting by Ontario Inc. of the continuing
security interest upon the Collateral, certified by the Secretary or an
Assistant Secretary of Ontario Inc., as of the date of this Amendment; (B) SISC
authorizing the execution, delivery and performance of the amendment to the
pledge agreement with respect to the pledge of the stock of J.N. Fauver and the
pledge agreement executed by SISC in favor of Agent in connection with the
pledge of the Units; and (C) A & H Holding authorizing the execution, delivery
and performance of the pledge agreements executed by A & H Holding in favor of
Agent in connection with the pledge of the Units and pledge of the stock of
Ontario Inc. and, each such certificate shall state that the resolutions thereby
certified and have not been amended, modified, revoked or rescinded as of the
date of such certificate;

               (iv) Agent shall have received a certificate of the Secretary or
an Assistant Secretary of Ontario Inc., dated the Joinder, Consent and Amendment
No. 1 Agreement Effective Date, as to the incumbency and signature of the
officers of Ontario Inc. executing this Amendment, any certificate or other
documents to be delivered by it pursuant hereto, together with evidence of the
incumbency of such Secretary or Assistant Secretary;

               (v) Agent shall have received a copy of the Articles or
Certificate of Incorporation of Ontario Inc., and all amendments thereto,
certified by the Secretary of State or other appropriate official of its
jurisdiction of incorporation together with copies of the By-Laws of Ontario
Inc. and all agreements of Ontario Inc.'s shareholders certified as accurate and
complete by the Secretary of Ontario Inc.;

               (vi) Agent shall have received good standing certificates for
Ontario Inc. dated not more than 30 days prior to the Joinder, Consent and
Amendment No. 1 Agreement Effective Date, issued by the Secretary of State or
other appropriate official of Ontario Inc.'s jurisdiction of incorporation and
each jurisdiction where the conduct of Ontario Inc.'s business activities or the
ownership of its properties necessitates qualification;

               (vii) Agent shall have received in form and substance
satisfactory to Agent, certified copies of Ontario Inc.'s liability insurance
policies, together with endorsements naming Agent as a co-insured;

                                      -8-
<PAGE>

               (viii) Agent shall have received the executed opinions of counsel
from the law firm of Morgan, Lewis & Bockius and Latham & Watkins in form and
substance satisfactory to Agent, which shall cover such matters incident to the
transactions contemplated by this Amendment and the Contribution Agreement;

               (ix) Agent shall have received an agreement from the Partnership
subordinating the pledge of the Partnership Units to the pledge of such Units in
favor of Agent and such other certificates, instruments, documents and
agreements as may reasonably be required by Agent or its counsel, including but
not limited to the Contribution Agreement, the Amended and Restated Agreement of
Limited Partnership of GC-SUN Holdings, L.P., subordinated pledge agreements,
intercompany transaction documents, Management Agreements, fee agreements,
Registration Rights Agreement and payment direction letter by SISC to the
Partnership re: payment of intercompany indebtedness, each of which shall be in
form and substance satisfactory to Agent and its counsel;

               (x) Agent shall have received payment in the amount of at least
$105,000,000 (the "Proceeds") to be applied against the Revolving Advances;

               (xi) Agent shall have received (i) fully executed Pledge
Agreements: (t) by SISC and A&H Holding, in favor of Agent pledging each of
SISC's and A&H Holdings' Units in the Partnership to Agent, (y) by A & H Holding
in favor of Agent pledging the common stock of Ontario Inc. to Agent and (z) by
Ontario Inc. in favor of Agent pledging the common stock of J.N. Fauver (Canada)
Limited to Agent and (ii) a fully executed amendment to the Pledge Agreement by
SISC in favor of Agent which provides for the pledging the stock of A & H
Holding; and

               (xii) Agent shall have received a fully executed Collateral
Assignment of the rights of SunSource, A & H Holding, SunSource Corporate and
SISC under the Contribution Agreement, the Management Agreement between GC-Sun
Holdings II, L.P. ("Holdings II") and SunSource Corporate and the Transaction
Fee Letter among Holdings II, the Partnership and SunSource (the "Collateral
Assignment"), in form and substance satisfactory to Agent.

            6. Application of Proceeds. Notwithstanding anything contained in
Section 2.14(a) of the Loan Agreement to the contrary, the Proceeds received by
Agent from the transactions contemplated in the Contribution Agreement shall be
applied first to the Revolving Advances in such order as Agent may determine,
subject to Borrowers' ability to reborrow Revolving Advances in accordance with
the terms hereof and second, to the outstanding principal installments of the
Term Loan in the inverse order of the maturities thereof.

            7. Representations and Warranties. Each Credit Party (including,
without limitation, Ontario Inc.) hereby represents and warrants as follows:

                  (a) This Amendment and the Loan Agreement, as amended hereby,
               constitute legal, valid and binding obligations of such Credit
               Party and are enforceable against such Credit Party in accordance
               with their respective terms.

                                      -9-
<PAGE>

                  (b) Upon the effectiveness of this Amendment, such Credit
               Party hereby reaffirms all covenants, representations and
               warranties made in the Loan Agreement to the extent the same are
               not amended hereby and agrees that all such covenants,
               representations and warranties shall be deemed to have been
               remade as of the effective date of this Amendment except (i) to
               the extent of changes resulting from transactions contemplated by
               this Amendment and (ii) to the extent that such representations
               or warranties related expressly to an earlier date.

                  (c) No Event of Default or Default has occurred and is
               continuing or would exist after giving effect to this Amendment.

                  (d) Such Credit Party has no defense, counterclaim or offset
               with respect to the Loan Agreement.

                  (e) Ontario Inc. has full power, authority and legal right to
               enter into this Amendment and to perform all its respective
               obligations hereunder. The execution, delivery and performance by
               Ontario Inc. of this Amendment (i) is within Ontario Inc.'s
               corporate powers, has been duly authorized, is not in
               contravention of law or the terms of Ontario Inc.'s By-Laws,
               Articles of Incorporation or other applicable documents relating
               to Ontario Inc.'s formation or to the conduct of Ontario Inc.'s
               business or of any material agreement or undertaking to which
               Ontario Inc. is a party or by which Ontario Inc. is bound, and
               (ii) will not conflict with nor result in any breach in any of
               the provisions of or constitute a default under or result in the
               creation of any Lien except (Permitted Encumbrances) upon any
               asset of Ontario Inc. under the provisions of any agreement,
               charter document, instrument, by-law, of other instrument to
               which Ontario Inc. or its property is party or by which it may be
               bound.

                  (f) Ontario Inc. is duly formed and in good standing under the
               laws of the Province of Ontario and is qualified to do business
               and is in good standing in such jurisdictions which constitute
               all jurisdictions in which qualification and good standing are
               necessary for Ontario Inc. to conduct its business and own its
               property and where the failure to so qualify would have a
               material adverse effect on Ontario Inc. or its business. Ontario
               Inc. has previously delivered to Agent true and complete copies
               of its Articles of Incorporation, By-Laws and for all other
               documents relating to Ontario Inc.'s formation, and will promptly
               notify Agent of any amendments or changes thereto.

         8. Effect on the Loan Agreement.

                  (a) Upon the effectiveness of Section 5 hereof, each reference
in the Loan Agreement to "this Agreement," "hereunder," "hereof," "herein" or
words of like import shall mean and be a reference to the Loan Agreement as
amended hereby.

                                      -10-
<PAGE>

            (b) Except as specifically amended herein, the Loan Agreement, and
all other documents, instruments and agreements executed and/or delivered in
connection therewith, shall remain in full force and effect, and are hereby
ratified and confirmed.

            (c) Except as expressly provided herein, the execution, delivery and
effectiveness of this Amendment shall not operate as a waiver of any right,
power or remedy of Agent, nor constitute a waiver of any provision of the Loan
Agreement, or any other documents, instruments or agreements executed and/or
delivered under or in connection therewith.

         9. Governing Law. This Amendment shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns and
shall be governed by and construed in accordance with the laws of the State of
New York.

         10. Headings. Section headings in this Amendment are included herein
for convenience of reference only and shall not constitute a part of this
Amendment for any other purpose.

         11. Counterparts. This Amendment may be executed by the parties hereto
in one or more counterparts, each of which shall be deemed an original and all
of which when taken together shall constitute one and the same agreement. Any
signature delivered by a party via facsimile shall be deemed an original
signature hereto.

         12. Release. For and in consideration of Agent's and Lenders'
agreements contained herein, KAR, A & H Bolt and SunSource Canada each hereby
release Agent and Lenders and each of their respective officers, directors,
representatives, employees, agents, attorneys-in-fact and affiliates from all
claims, demands, suits, actions, debts, promises, obligations, liabilities,
damages, costs or expenses relating to the Loan Agreement or the Other Documents
or any of the transactions relating to the Loan Agreement or the Other
Documents, of any kind whatsoever, whether in law or equity, known or unknown,
that KAR, A & H Bolt and SunSource Canada at any time had or arising as of a
result of the Loan Agreement or the Other Documents that KAR, A & H Bolt or
SunSource Canada or their successors and assigns hereafter can or may have
against Agent or Lenders by reason of any acts, cause, matter or thing
whatsoever up to and including the effective date of this Amendment arising out
of or relating to the Loan Agreement or the Other Documents and hereby agree to
indemnify Agent and Lenders from, and hold Agent and Lenders harmless against,
the same.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                      -11-
<PAGE>

                                                (Signature Page Joinder, Consent
                                                and Amendment No. 1)

         IN WITNESS WHEREOF, this Amendment has been duly executed as of the day
and year first written above.
<TABLE>
<CAPTION>
<S>                                                  <C>
                                                     SUNSOURCE INC., as a Borrower
                                                     SUNSOURCE TECHNOLOGY SERVICES INC.,
                                                     as a Borrower
                                                     THE HILLMAN GROUP, INC., as a Borrower
                                                     HARDING GLASS, INC., as a Borrower
                                                     KAR PRODUCTS INC., as a Borrower
                                                     A & H HOLDING COMPANY, INC., as a Guarantor
                                                     SUNSOURCE CORPORATE GROUP, INC., as a
                                                            Guarantor
                                                     SUNSOURCE INDUSTRIAL SERVICES COMPANY, INC., as a
                                                            Guarantor
                                                     SUNSOURCE INVENTORY MANAGEMENT COMPANY, INC., as a
                                                            Guarantor
                                                     SUNSOURCE INVESTMENT COMPANY, INC.,
                                                            as a Guarantor
                                                     SUNSUB A INC., as a Guarantor

                                                     By: /s/ Joseph M. Corvino
                                                         -----------------------------------
                                                     Name:  Joseph M. Corvino
                                                     Title: Vice President of each of the foregoing
                                                            corporations

                                                     J. N. FAUVER (CANADA) LIMITED
                                                     SUNSOURCE CANADA INVESTMENT COMPANY, as a Guarantor

                                                     By: /s/ Joseph M. Corvino
                                                         -----------------------------------
                                                     Name:  Joseph M. Corvino
                                                     Title: President of each of the foregoing corporations

                                                     A. & H. BOLT & NUT COMPANY LIMITED, as
                                                     a Guarantor

                                                     By: /s/ Joseph M. Corvino
                                                         -----------------------------------
                                                     Name: Joseph M. Corvino
                                                     Title: Assistant Secretary
</TABLE>
                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -12-
<PAGE>
<TABLE>
<CAPTION>
<S>                                                  <C>
                                                     1394066 ONTARIO INC., as a
                                                     Guarantor

                                                     By: /s/ Joseph M. Corvino
                                                         -----------------------------------
                                                     Name: Joseph M. Corvino
                                                     Title:   President

                                                     PNC BANK, NATIONAL ASSOCIATION, as
                                                     Agent and as Lender

                                                     By: /s/ Ryan Peak
                                                         -----------------------------------
                                                     Name: Ryan Peak
                                                     Title:   Vice President

                                                     BANK OF AMERICA BUSINESS CREDIT, as
                                                     Co-Agent and Lender

                                                     By: /s/ Richard Levenson
                                                         -----------------------------------
                                                         Name:  Richard Levenson
                                                         Title: Senior Vice President

                                                     FIRSTAR BANK, N.A., as
                                                     Co-Agent and Lender

                                                     By: /s/ Suzanne E. Geiger
                                                         -----------------------------------
                                                     Name:  Suzanne E. Geiger
                                                     Title: Vice President
</TABLE>
                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -13-
<PAGE>
<TABLE>
<CAPTION>
<S>                                                  <C>
                                                     FIFTH THIRD BANK, as Lender

                                                     By: /s/ Anthony M. Buehler
                                                         -----------------------------------
                                                     Name:  Anthony M. Buehler
                                                     Title: Assistant Vice President

                                                     CITIZENS BUSINESS CREDIT, as Lender

                                                     By: /s/ Vincent P. O'Leary
                                                         -----------------------------------
                                                     Name:  Vincent P. O'Leary
                                                     Title: Senior Vice President

                                                     GMAC COMMERCIAL CREDIT LLC, as
                                                     Lender

                                                     By: /s/ Daniel J. Mussay
                                                         -----------------------------------
                                                     Name:  Daniel J. Mussay
                                                     Title: Senior Vice President

                                                     COMERICA BANK, as Lender

                                                     By: /s/ Ronald Pagoto
                                                         -----------------------------------
                                                     Name:  Ronald Pagoto
                                                     Title: Vice President
</TABLE>
                                      -14-
<PAGE>

                                    Schedules
                                    ---------
                                 (See Attached)

                                       -15-<PAGE>

                      JOINDER, CONSENT AND AMENDMENT NO. 2

                                       TO

                      REVOLVING CREDIT, TERM LOAN, GUARANTY
                             AND SECURITY AGREEMENT

         THIS JOINDER, CONSENT AND AMENDMENT NO. 2 ("Amendment") is entered into
as of April __, 2000 by and among SUNSOURCE INC., a corporation organized under
the laws of the State of Delaware ("SunSource"), SUNSOURCE TECHNOLOGY SERVICES
INC., a corporation organized under the laws of the State of Delaware ("STSI"),
THE HILLMAN GROUP, INC., a corporation organized under the laws of the State of
Delaware ("Hillman"), HARDING GLASS, INC., a corporation organized under the
laws of the State of Delaware ("Harding"), AXXESS TECHNOLOGIES, INC., a
corporation organized under the laws of the State of Delaware ("Axxess
Technologies") (SunSource, STSI, Hillman, Harding and Axxess Technologies, each
a "Borrower" and collectively "Borrowers"), the other Credit Parties (as defined
in the Loan Agreement (as defined herein)) named in the Loan Agreement or which
hereafter become a party thereto, the financial institutions which are now or
which hereafter become a party thereto (collectively, the "Lenders" and
individually a "Lender") and PNC BANK, NATIONAL ASSOCIATION, a national banking
association ("PNC"), as Agent for Lenders (PNC, in such capacity, the "Agent").

                                   BACKGROUND

         Borrowers, the other Credit Parties, Lenders and Agent are parties to
that certain Revolving Credit, Term Loan, Guaranty and Security Agreement dated
as of December 15, 1999 (as amended, restated, supplemented or otherwise
modified from time to time, the "Loan Agreement") pursuant to which Agent and
Lenders provide Borrowers with certain financial accommodations.

         Borrowers have requested that Agent and Lenders permit the merger of
Axxess Technologies and THE HILLMAN GROUP ACQUISITION CORP., a corporation
organized under the laws of the State of Delaware ("Acquisition Corp.") pursuant
to the Amended and Restated Agreement and Plan of Merger dated as of April __,
2000 by and among SunSource, Hillman, Acquisition Corp., Axxess Technologies and
the Persons listed on the signature page of such agreement ("Stockholders") (as
amended, restated, supplemented or otherwise modified from time to time, the
"Merger Agreement") and amend the Loan Agreement to, inter alia, join Axxess
Technologies as a Borrower and permit certain subordinated indebtedness issued
by Axxess in connection with Merger Agreement; Agent and Lenders are willing to
do so on the terms and conditions hereafter set forth.

         NOW, THEREFORE, in consideration of any loan or advance or grant of
credit heretofore or hereafter made to or for the account of Borrowers by Agent
and Lenders, and for other good and valuable consideration, the receipt and
sufficiency of which are hereby acknowledged, the parties hereto hereby agree as
follows:

<PAGE>

         1. Definitions. All capitalized terms not otherwise defined herein
shall have the meanings given to them in the Loan Agreement.

         2. Joinder Agreement.

            (a) Axxess Technologies is hereby added as an additional Borrower
under the Loan Agreement, and all references to "Borrower" or "Borrowers"
thereunder and under all of the Other Documents shall hereafter be deemed to
include Axxess Technologies

            (b) Axxess Technologies hereby adopts the Loan Agreement and each of
the Other Documents and assumes in full, and acknowledges that it is jointly and
severally liable for, the payment, discharge, satisfaction and performance of
all Obligations under the Loan Agreement and the Other Documents. Axxess
Technologies hereby acknowledges and confirms that Axxess Technologies hereby
grants to Agent for its benefit and for the ratable benefit of Lenders a
continuing lien and security interest in all presently existing and hereafter
arising Collateral which Axxess Technologies now or hereafter owns or has an
interest in, wherever located, to secure prompt repayment of any and all
Obligations owed to Agent and Lenders and to secure prompt performance by
Borrowers of each and all of their covenants and obligations under the Loan
Agreement, this Amendment and the Other Documents. Agent's lien and security
interest in the Collateral shall attach to all Collateral without further act on
the part of Agent or Axxess Technologies.

         3. Consent. Subject to satisfaction of the conditions precedent set
forth in Section 5 below, Agent and Lenders hereby consent to the transactions
contemplated by the Merger Agreement entered into by and among SunSource,
Hillman, Acquisition Corp., Axxess Technologies and Stockholders.

         4. Amendment to Loan Agreement. Subject to satisfaction of the
conditions precedent set forth in Section 5 below, the Loan Agreement is hereby
amended as follows:

            (a) Section 1.2 is amended as follows:

                (i) by adding the following defined terms in their appropriate
            alphabetical order:

            "Acquisition Corp." shall mean The Hillman Group Acquisition Corp.,
a corporation organized under the laws of the State of Delaware.

            "Applicable Percentage" shall mean 3.00% initially; provided, such
percentage may be reduced by .25% upon the timely receipt by Agent of the
financial statements referred to in Section 9.7 hereof evidencing a Fixed Charge
Coverage Ratio not less than 1.35 to 1.00 for the fiscal year ended (x) December
31, 2000 and/or (y) December 31, 2001.

            "Axxess Merger" shall mean the merger of Acquisition Corp. with and
into Axxess Technologies.

                                      -2-

<PAGE>

            "Axxess Long Term Subordinated Note" shall have the meaning given to
the term "Long Term Subordinated Note" in the Axxess Subordination Agreement.

            "Axxess Subordination Agreement" shall mean that certain
Subordination Agreement dated as of the Joinder, Consent and Amendment No. 2
Effective Date by and among Agent and the Axxess Subordinated Lenders

            "Axxess Subordinated Lenders" shall mean, collectively, (a) Warburg,
Pincus Investors, L.P., (b) Stephen Miller, (c) George Heredia, (d) David
Richards, (e) Brad Lines, (f) Mike Mueller, (g) Mark Yeary, (h) Steve Polodniak,
(i) Deborah Camper, (j) Jim Perkins, (k) Lynn Hagen, (l) Bill Neitzke, (m) Donna
Kern, and (n) Adrian Gluck.

            "Axxess Subordinated Notes" shall have the meaning given to the term
"Subordinated Note" in the Axxess Subordination Agreement.

            "Joinder, Consent and Amendment No. 2 Effective Date" shall mean
April ___, 2000.

            "SunSource Long Term Subordinated Guaranty" shall have the meaning
given to the term "Long Term Subordinated Guaranty" in the Axxess Subordination
Agreement.

            "SunSource Subordinated Guaranties" shall have the meaning given to
the term "Subordinated Guaranty" in the Axxess Subordination Agreement.

                (ii) the following defined terms are amended in their entirety
            to provide as follows:

            "Earnings Before Interest and Taxes" shall mean for any period the
sum of (i) net income (or loss) of Borrowers on a consolidated basis for such
period (excluding extraordinary gains), plus (ii) all interest expense of
Borrowers on a consolidated basis for such period, plus (iii) all charges
against income of Borrowers on a consolidated basis for such period for federal,
provincial, state and local taxes expensed, plus (iv) loss on the Harding
Divestiture net of any tax benefit from such loss minus (v) all credits to
income of Borrowers on a consolidated basis for such period for federal, state
and local taxes credited and minus (vi) gain on contribution of Kar and A & H
Bolt.

            "EBITDA" shall mean for any period the sum of (i) Earnings Before
Interest and Taxes for such period plus (ii) depreciation expenses for such
period, plus (iii) amortization expenses for such period plus (iv) non cash
charges for such period related to the write-off of inventory step-up as a
result of the application of Accounting Principles Board #16, Accounting for
Business Combinations, to the acquisition of Axxess Technologies and the
contribution of Kar and A & H Bolt.

            "Hillman Division" shall mean Hillman and Axxess Technologies.

                                      -3-
<PAGE>

            "Individual Maximum Revolving Advance Amount" shall mean $20,000,000
with respect to the Harding Division, $50,000,000 with respect to the Hillman
Division and $50,000,000 with respect to the SunSource Division, it being
understood and agreed that no Advances shall be made by Agent or Lenders to J.
N. Fauver; rather J. N. Fauver is part of the SunSource Division for purposes of
calculating Advances which can be made solely to SunSource Technology.

            "LIBOR Margin" shall mean the Applicable Percentage.

            "Maximum Loan Amount" shall mean $136,500,000 (subject to adjustment
pursuant to Section 2.14(c)) less repayments of the Term Loan.

            "Maximum Revolving Advance Amount" shall mean $115,000,000 (subject
to adjustment pursuant to Section 2.14(c)).

            "Note" shall mean collectively, the Term Note and the Revolving
Credit Note.

            "Pledge Agreement" shall mean, collectively, (a) the Pledge
Agreements each dated as of the Closing Date made by each of SunSource,
SunSource Investment, SunSub A and SunSource Industrial in favor of Agent, (b)
the Pledge Agreements each dated as of the Joinder, Consent and Amendment No. 1
Effective Date made by each of SunSource Industrial, A&H Holding and Ontario
Inc. in favor of Agent and (c) the Pledge Agreement dated as of the Joinder,
Consent and Amendment No. 2 Effective Date made by Hillman in favor of Agent, as
each of the foregoing may be amended, restated, modified and/or supplemented
from time to time.

            "Subordinated Debt Payments" shall mean and include all cash
actually expended to make payments of principal and interest on the Junior
Subordinated Debentures, the Axxess Subordinated Notes, Axxess Long Term
Subordinated Note, SunSource Long Term Subordinated Guaranty and the SunSource
Subordinated Guaranties.

            "Tax Refund" shall mean any federal income tax refund received by
SunSource or any of its Subsidiaries.

            "Undrawn Availability" at a particular date shall mean an amount
equal to (a) the lesser of (i) the Formula Amount or (ii) the Maximum Revolving
Advance Amount, minus (b) the sum of (i) the outstanding amount of Advances
(other than the Term Loan) plus (ii) all amounts due and owing to Borrowers'
trade creditors which are outstanding beyond normal trade terms, plus (iii) fees
and expenses for which Borrowers are liable but which have not been paid or
charged to Borrowers' Account.

            (b) Sections 2.4, 6.7, 6.8, 6.12, 7.3, 7.6, 7.8, 7.11, 7.18, 7.19,
9.5, 9.7, 9.10 and 10.12 are hereby amended in their entirety to provide as
follows:

                                      -4-

<PAGE>

                            "2.4 On December 15, 1999, Lenders, severally and
            jointly, made a term loan to Borrowers in the original principal
            amount of $25,000,000 (the "Original Term Loan") of which
            $20,250,000 is outstanding as of the Joinder, Consent and Amendment
            No.2 Effective Date. Subject to the terms and conditions set forth
            herein, on the Joinder, Consent and Amendment No. 2 Effective Date,
            Lender shall make an additional term loan to Borrowers in the
            original principal amount of the product of such Lender's Commitment
            Percentage of $1,250,000 (the "Additional Term Loan"). On the
            Joinder, Consent and Amendment No. 2 Effective Date, the Additional
            Term Loan shall be consolidated into the Original Term Loan,
            constituting an aggregate consolidated term loan in the principal
            amount of $21,500,000 (as so consolidated, the "Term Loan"). The
            Term Loan shall be, with respect to principal, payable as follows,
            subject to acceleration upon the occurrence of an Event of Default
            under this Agreement or termination of this Agreement: equal
            quarterly installments of $1,250,000 each commencing on July 1, 2000
            and on the first day of each July, October, January and April
            thereafter until December 14, 2004 when the entire unpaid principal
            balance of the Term Loan shall be due and payable. The Term Loan
            shall be evidenced by one or more secured promissory notes
            (collectively, the "Term Note") in substantially the form attached
            hereto as Exhibit 2.4."

                            6.7 Undrawn Availability. Maintain, with respect to
            Borrowers on a consolidated basis, at all times at least $5,000,000
            of Undrawn Availability (as calculated under Section 2.1(a)(y))
            including, without limitation, after giving effect to any payments
            made under the Junior Subordinated Debentures, the Axxess
            Subordinated Notes, Axxess Long Term Subordinated Note, SunSource
            Long Term Subordinated Guaranty and the SunSource Subordinated
            Guaranties.

                            6.8 Deferred Interest. In the event (a) at the end
            of any calendar month, Undrawn Availability with respect to
            Borrowers on a consolidated basis is less than $8,000,000 or (b) the
            Fixed Charge Coverage Ratio for the (i) three (3) month period
            ending on June 30, 2000 is less than 1.10 to 1.00, (ii) six (6)
            month period ending on September 30, 2000 is less than 1.10 to 1.00,
            (iii) nine (9) month period ending on December 31, 2000 is less than
            1.10 to 1.00, (iv) four (4) fiscal quarter period ending on March
            31, 2001 is less than 1.15 to 1.00, (v) four (4) fiscal quarter
            period ending June 30, 2001 is less than 1.20 to 1.00 or (vi) four
            (4) fiscal quarter period ending on September 30, 2001 or on the
            last day of each fiscal quarter thereafter, tested on a rolling four
            (4) quarter basis, is less than 1.25 to 1.00, Credit Parties shall
            exercise their right to defer interest due under the Junior
            Subordinated Debentures and prior to paying any such deferred
            interest under the Junior Subordinated Debentures prior to the end
            of such deferral period, Credit Parties shall obtain the written
            consent of Required Lenders to make such payment.

                            6.12 Harding Mortgages. If the Harding Divestiture
            is not consummated on or before April 30, 2000, Harding shall, at
            the request of Agent, execute and deliver to Agent a Mortgage, in
            form and substance satisfactory to Agent, on each of its owned Real
            Property having a fair market value of $100,000 or more along with
            such other instruments, agreements or documents reasonably requested
            by Agent in connection therewith including, without limitation,
            title commitments, surveys and environmental reports, all of which
            shall be in form and substance satisfactory to Agent.

                                      -5-
<PAGE>

                            7.3 Guaranties. Become liable upon the obligations
            of any Person by assumption, endorsement or guaranty thereof or
            otherwise (other than to Lenders) except (a) as disclosed on
            Schedule 7.3, (b) the endorsement of checks in the ordinary course
            of business and (c) SunSource may (i) guaranty, in the ordinary
            course of business, obligations of any other Credit Party under such
            Credit Party's real property leases and (ii) make and deliver to the
            Axxess Subordinated Lenders, the SunSource Subordinated Guaranties
            and SunSource Long Term Subordinated Guaranty as each is in effect
            on the Joinder, Consent and Amendment No. 2 Effective Date.

                            7.6 Capital Expenditures. Contract for, purchase or
            make any expenditure or commitments for fixed or capital assets
            (including capitalized leases) in any fiscal year in an aggregate
            amount for all Credit Parties in excess of $14,000,000 inclusive of
            Harding and $13,000,000 excluding Harding.

                            7.8 Indebtedness. Create, incur, assume or suffer to
            exist any Indebtedness (exclusive of trade debt) except in respect
            of (i) Indebtedness to Agent or to Lenders; (ii) Indebtedness
            incurred for capital expenditures permitted under Section 7.6
            hereof; (iii) Indebtedness due under the Junior Subordinated
            Debentures as in effect on the date hereof, (iv) Indebtedness set
            forth in the financial statements delivered pursuant to Section 5.5
            hereof and (v) Indebtedness due under the Axxess Subordinated Notes
            and Axxess Long Term Subordinated Note as each is in effect on the
            Joinder, Consent and Amendment No. 2 Effective Date.

                            7.11 Leases. Enter as lessee into any lease
            arrangement for real or personal property (unless capitalized and
            permitted under Section 7.6 hereof) if after giving effect thereto,
            aggregate annual rental payments for all leased property would in
            any one fiscal year exceed $18,500,000 inclusive of Harding and
            $14,000,000 excluding Harding in the aggregate for all Credit
            Parties.

                            7.18 Junior Subordinated Debentures, the Axxess
            Subordinated Notes, Axxess Long Term Subordinated Note, SunSource
            Long Term Subordinated Guaranty and the SunSource Subordinated
            Guaranties. At any time, directly or indirectly, pay, prepay,
            repurchase, redeem, retire or otherwise acquire, or make any payment
            on account of any principal of, interest on or premium payable in
            connection with the repayment or redemption of the Junior
            Subordinated Debentures, the Axxess Subordinated Notes, Axxess Long
            Term Subordinated Note, SunSource Long Term Subordinated Guaranty or
            the SunSource Subordinated Guaranties, except for (a) payments of
            interest (subject to Sections 6.7 and 6.8 hereof) required by the
            terms of the Junior Subordinated Debentures as in effect on the
            Closing Date and (b) payments expressly permitted by the Axxess
            Subordination Agreement on the Axxess Subordinated Notes and the
            SunSource Subordinated Guaranties (subject to Section 6.7 hereof).

                                      -6-
<PAGE>

                            7.19 Other Agreements. Enter into any material
            amendment, waiver or modification of the Junior Subordinated
            Debentures, the Axxess Subordinated Notes, Axxess Long Term
            Subordinated Note, SunSource Long Term Subordinated Guaranty or the
            SunSource Subordinated Guaranties, or any related agreements.

                            9.5 Material Occurrences. Promptly notify Agent in
            writing upon the occurrence of (a) any Event of Default or Default;
            (b) any event of default under the Junior Subordinated Debentures,
            the Axxess Subordinated Notes, Axxess Long Term Subordinated Note,
            SunSource Long Term Subordinated Guaranty or the SunSource
            Subordinated Guaranties; (c) any event which with the giving of
            notice or lapse of time, or both, would constitute an event of
            default under the Junior Subordinated Debentures, the Axxess
            Subordinated Notes, Axxess Long Term Subordinated Note, SunSource
            Long Term Subordinated Guaranty or the SunSource Subordinated
            Guaranties; (d) any event, development or circumstance whereby any
            financial statements or other reports furnished to Agent fail in any
            material respect to present fairly, in accordance with GAAP
            consistently applied, the financial condition or operating results
            of any Credit Party as of the date of such statements; (e) any
            accumulated retirement plan funding deficiency which, if such
            deficiency continued for two plan years and was not corrected as
            provided in Section 4971 of the Code, could subject any Credit Party
            to a tax imposed by Section 4971 of the Code; (f) each and every
            default by any Credit Party which might result in the acceleration
            of the maturity of any Indebtedness in excess of $50,000, including
            the names and addresses of the holders of such Indebtedness with
            respect to which there is a default existing or with respect to
            which the maturity has been or could be accelerated, and the amount
            of such Indebtedness; and (g) any other development in the business
            or affairs of any Credit Party which could reasonably be expected to
            have a Material Adverse Effect on such Credit Party; in each case
            describing the nature thereof and the action Credit Parties propose
            to take with respect thereto.

                            9.7 Annual Financial Statements. Furnish Agent and
            Lenders within ninety (90) days after the end of each fiscal year of
            Borrowers, financial statements of Borrowers on a consolidating and
            consolidated basis including, but not limited to, statements of
            income and stockholders' equity and cash flow from the beginning of
            the current fiscal year to the end of such fiscal year and the
            balance sheet as at the end of such fiscal year, all prepared in
            accordance with GAAP applied on a basis consistent with prior
            practices, and in reasonable detail and reported upon without
            qualification by an independent certified public accounting firm
            selected by Borrowers and satisfactory to Agent (the "Accountants").
            The report of the Accountants shall be accompanied by a statement of
            the Accountants certifying that (i) they have caused the Loan
            Agreement to be reviewed, (ii) in making the examination upon which
            such report was based either no information came to their attention
            which to their knowledge constituted an Event of Default or a
            Default under this Agreement or any related agreement or, if such
            information came to their attention, specifying any such Default or

                                      -7-

<PAGE>

            Event of Default, its nature, when it occurred and whether it is
            continuing, and such report shall contain or have appended thereto
            calculations which set forth Credit Parties' compliance with the
            requirements or restrictions imposed by Sections 6.5, 6.6, 6.8, 7.6
            and 7.11 hereof. In addition, the reports shall be accompanied by a
            certificate of the Chief Financial Officer of SunSource, on behalf
            of each Credit Party, which shall state that, based on an
            examination sufficient to permit him to make an informed statement,
            no Default or Event of Default exists, or, if such is not the case,
            specifying such Default or Event of Default, its nature, when it
            occurred, whether it is continuing and the steps being taken by the
            affected Credit Party with respect to such event, and such
            certificate shall have appended thereto calculations which set forth
            Credit Party's compliance with the requirements or restrictions
            imposed by Sections 6.5, 6.6, 6.8, 7.6 and 7.11 hereof.

                            9.10 Other Reports. Furnish Agent as soon as
            available, but in any event within ten (10) days after the issuance
            thereof, (i) with copies of such financial statements, reports and
            returns as each Borrower shall send to its stockholders and (ii)
            copies of all notices sent pursuant to the Junior Subordinated
            Debentures, the Axxess Subordinated Notes, Axxess Long Term
            Subordinated Note, SunSource Long Term Subordinated Guaranty and the
            SunSource Subordinated Guaranties.

                            10.12 an event of default has occurred and been
            declared under the Junior Subordinated Debentures, the Axxess
            Subordinated Notes, Axxess Long Term Subordinated Note, SunSource
            Long Term Subordinated Guaranty or the SunSource Subordinated
            Guaranties which default shall not have been cured or waived within
            any applicable grace period;"

            (c) A new Section 2.14(d) is hereby added immediately following
Section 2.14(c) and provides as follows:

                " (d) Upon the receipt of the Tax Refund, the Borrowers shall
                repay the Advances in an amount equal to the Tax Refund. Such
                repayments shall be made within one (1) Business Day of receipt
                of such Tax Refund, and until paid, such proceeds shall be held
                in trust for Agent. The first $3,000,000 of such repayments
                shall be applied to the outstanding principal installments of
                the Term Loan in the inverse order of the maturities thereof and
                the portion of such repayments in excess of $3,000,000 shall be
                applied to the remaining Advances in such order as Agent may
                determine, subject to Borrowers' ability to reborrow Revolving
                Advances in accordance with the terms hereof."

                                      -8-

<PAGE>

            (d) A new Section 5.25 is hereby added immediately following Section
5.25 and provides as follows:

                            "5.25 Delivery of Axxess Subordinated Notes and
            SunSource Subordinated Guaranties. Agent has received complete
            copies of the Axxess Subordinated Notes, Axxess Long Term
            Subordinated Note, SunSource Long Term Subordinated Guaranty and the
            SunSource Subordinated Guaranties (including all exhibits, schedules
            and disclosure letters referred to therein or delivered pursuant
            thereto, if any) and all amendments thereto, waivers relating
            thereto and other side letters or agreements affecting the terms
            thereof. None of such documents and agreements has been amended or
            supplemented, nor have any of the provisions thereof been waived,
            except pursuant to a written agreement or instrument which has
            heretofore been delivered to Agent."

            (e) Sections 6.5 and 6.13 are hereby amended in their entirety to
provide "INTENTIONALLY OMITTED."

            (f) All of the Schedules to the Loan Agreement are hereby amended in
their entirety by the Schedules attached hereto.

         5. Conditions of Effectiveness. This Amendment shall become effective
upon satisfaction, in a manner reasonably satisfactory to Agent, of the
following conditions precedent:

            (i) Agent shall have received ten (10) copies of this Amendment
executed by all Credit Parties and Lenders;

            (ii) Agent shall have received (i) Second Amended and Restated
Revolving Credit Notes duly executed and delivered by an authorized officer of
each Borrower in favor of (x) Bank of America, N.A., (y) Firstar Bank, N.A. and
(z) Fifth Third Bank, (ii) Third Amended and Restated Revolving Credit Note duly
executed by an authorized officer of each Borrower in favor of PNC, (iii) Second
Amended and Restated Term Notes duly executed and delivered by an authorized
officer of each Borrower in favor of (x) Bank of America, N.A., (y) Firstar
Bank, N.A. and (z) Fifth Third Bank and (iv) Third Amended and Restated Term
Note duly executed and delivered by an authorized officer of each Borrower in
favor of PNC each of which shall be in form and substance reasonably
satisfactory to Agent;

            (iii) Agent shall have received a duly executed Accountant's Access
Letter dated as of the date hereof;

            (iv) Each document (including, without limitation, any Uniform
Commercial Code financing statement) required by this Amendment, any related
agreement or under law or reasonably requested by Agent to be filed, registered
or recorded in order to create, in favor of Agent, a perfected security interest
in or lien upon the Collateral shall have been properly filed, registered or
recorded in each jurisdiction in which the filing, registration or recordation
thereof is so required or requested, and Agent shall have received an
acknowledgment copy, or other evidence satisfactory to it, of each such filing,
registration or recordation and satisfactory evidence of the payment of any
necessary fee, tax or expense relating thereto;

                  (v) Agent shall have received a copy of the resolutions in
form and substance reasonably satisfactory to Agent, of the Board of Directors
of (1) Axxess Technologies authorizing (i) the execution, delivery and
performance of this Amendment and the Merger Agreement and (ii) the granting by
Axxess Technologies of the continuing security interest upon the Collateral,
certified by the Secretary or an Assistant Secretary of Axxess Technologies, as
of the date of this Amendment and (2) Acquisition Corp. authorizing the
execution, delivery and performance of the Merger Agreement;

                                      -9-

<PAGE>

            (vi) Agent shall have received (1) a certificate of the Secretary or
an Assistant Secretary of Axxess Technologies, dated the Joinder, Consent and
Amendment No. 2 Effective Date, as to the incumbency and signature of the
officers of Axxess Technologies executing this Amendment, any certificate or
other documents to be delivered by it pursuant hereto, together with evidence of
the incumbency of such Secretary or Assistant Secretary; and (2) a Certificate
of the Secretary or an Assistant Secretary of Acquisition Corp., dated the
Joinder, Consent and Amendment No. 2 Effective Date as of the incumbency and
signature of the officers of Acquisition Corp. executing the Merger Agreement,
any certificate or other documents to be delivered by it pursuant hereto,
together with evidence of the incumbency of such Secretary of Assistant
Secretary;

            (vii) Agent shall have received (1) a copy of the Articles or
Certificate of Incorporation of Axxess Technologies, and all amendments thereto,
certified by the Secretary of State or other appropriate official of its
jurisdiction of incorporation together with copies of the By-Laws of Axxess
Technologies and all agreements of Axxess Technologies' shareholders certified
as accurate and complete by the Secretary of Axxess Technologies and (2) a copy
of the Articles or Certificate of Incorporation of Acquisition Corp., and all
amendments thereto, certified by the Secretary of State or other appropriate
official of its jurisdiction of incorporation together with copies of the
By-Laws of Acquisition Corp. and all agreements of Acquisition Corp.'s
shareholders certified as accurate and complete by the Secretary of Acquisition
Corp.;

            (viii) Agent shall have received (1) good standing certificates for
Axxess Technologies dated not more than 30 days prior to the Joinder, Consent
and Amendment No. 2 Effective Date, issued by the Secretary of State or other
appropriate official of Axxess Technologies' jurisdiction of incorporation and
each jurisdiction where the conduct of Axxess Technologies' business activities
or the ownership of its properties necessitates qualification and (2) good
standing certificates for Acquisition Corp. dated not more than 30 days prior to
the Joinder, Consent and Amendment No. 2 Effective Date, issued by the Secretary
of State or other appropriate official of Acquisition Corp.'s jurisdiction of
incorporation and each jurisdiction where the conduct of Acquisition Corp.'s
business activities or the ownership of its properties necessitates
qualifications;

            (ix) Agent shall have received the executed opinions of counsel from
the law firms of Morgan, Lewis & Bockius, Mariscal, Weeks, McIntyre &
Friedlander, P.A. and Willkie Farr & Gallagher in form and substance
satisfactory to Agent, which shall cover such matters incident to the
transactions contemplated by this Amendment and the Merger Agreement;

                                      -10-
<PAGE>

            (x) Agent shall have received a fully executed Pledge Agreement by
Hillman in favor of Agent, pledging the stock of Axxess Technologies to Agent in
form and substance satisfactory to Agent;

            (xi) Agent shall have received a duly executed Collateral Assignment
of the rights of SunSource and Hillman under the Merger Agreement in form and
substance satisfactory to Agent;

            (xii) Agent shall have received all environmental studies and
reports prepared by independent environmental engineering firms with respect to
all real property owned or leased by Axxess Technologies;

            (xiii) (i) No litigation, investigation or proceeding before or by
any arbitration or Governmental Body shall be continuing or threatened against
Axxess Technologies or against the officers or directors of Axxess Technologies
(A) in connection with the Other Documents or any of the transactions
contemplated thereby and which, in the reasonable opinion of Agent, is deemed
material or (B) which could, in the reasonable opinion of Agent, have a Material
Adverse Effect; and ( ii) no injunction, writ, restructuring order or other
order of any nature materially adverse to Axxess Technologies or the conduct of
its business shall have been issued by any Governmental Body;

            (xiv) Agent shall have completed Collateral examinations and
received appraisals, the results of which shall be satisfactory in form and
substance to Lenders, of Receivables, Inventory, General Intangibles, Real
Property and Equipment of Axxess Technologies and all books and records in
connection therewith;

            (xv) Agent shall have received duly executed copies of a Trademark
Collateral Security Agreement, Trademark Assignment of Security, Patent
Collateral Security Agreement, Patent Assignment of Security and Copyright
Mortgage, each of which shall be (x) made by Axxess Technologies in favor of
Agent and (y) in form and substance satisfactory to Agent;

            (xvi) Agent shall have received (or waived the requirement for)
executed landlord, mortgagee or warehouseman agreements satisfactory to Agent
with respect to all premises leased by Axxess Technologies at which Equipment,
Inventory and/or records of Axxess Technologies is located;

            (xvii) Agent shall have received any and all Consents necessary to
permit the effectuation of the transactions contemplated by this Amendment and
the Merger Agreement; and Agent shall have received such Consents and waivers of
such third parties as might assert claims with respect to the Collateral, as
Agent and its counsel shall deem necessary;

            (xviii) Agent shall have received a duly executed copies of the
Axxess Subordinated Notes, Axxess Long Term Subordinated Note, SunSource Long
Term Subordinated Guaranty and the SunSource Subordinated Guaranties, each of
which shall be in form and substance satisfactory to Agent;

                                      -11-
<PAGE>

            (xix) All corporate and other proceedings, and all documents,
instruments and other legal matters in connection with the Merger Agreement
shall be satisfactory in form and substance to Agent and its counsel;

            (xx) Agent shall have received a duly executed fee letter made by
Credit Parties in favor of Agent which shall be in form and substance
satisfactory to Agent;

            (xxi) Agent shall have received a copy of the Pro Forma Financial
Statements which shall be satisfactory in all respects to Agent;

            (xxii) Agent shall have received final executed copies of the Merger
Agreement and all related agreements, documents and instruments as in effect on
the Joinder, Consent and Amendment No. 2 Effective Date and the transactions
contemplated by such documentation shall have been consummated including,
without limitation, (a) the receipt by Borrowers of the proceeds of (x) the
Axxess Subordinated Notes in the sum of $12,000,000 and (y) the Axxess Long Term
Subordinated Note in the sum of $11,000,000 and (b) the consummation of the
Axxess Merger in accordance with the laws of the State of Delaware;

            (xxiii) Agent shall have entered into the Axxess Subordination
Agreement which shall set forth the basis upon which the Axxess Subordinated
Lenders may receive, and Borrowers may make, payments under the Axxess
Subordinated Notes, Axxess Long Term Subordinated Note, SunSource Long Term
Subordinated Guaranty and the SunSource Subordinated Guaranties, which basis
shall be satisfactory in form and substance to Lenders in their sole discretion;

            (xxiv) Agent shall have received in form and substance satisfactory
to Agent, certified copies of Axxess Technologies' casualty insurance policies,
together with loss payable endorsements on Agent's standard form of loss payee
endorsement naming Agent as loss payee, and certified copies of Axxess
Technologies' liability insurance policies, together with endorsements naming
Agent as a co-insured;

            (xxv) Agent shall have received duly executed agreements
establishing the Blocked Accounts or Depository Accounts with financial
institutions acceptable to Agent for the collection or servicing of the
Receivables of Axxess Technologies and proceeds of the Collateral;

            (xxvi) (i) since September 30, 1999, there shall not have occurred
any event, condition or state of facts which could reasonably be expected to
have a Material Adverse Effect and (ii) no representations made or information
supplied to Lenders shall have been proven to be inaccurate or misleading in any
material respect;

            (xxvii) Agent shall have reviewed all material contracts of Axxess
Technologies including, without limitation, leases, union contracts, labor
contracts, vendor supply contracts, license agreements and distributorship
agreements and such contracts and agreements shall be satisfactory in all
respects to Agent;

                                      -12-
<PAGE>

            (xxviii) after giving effect to the transactions contemplated by
this Amendment, Borrowers on a consolidated basis shall have at least
$15,000,000 of Undrawn Availability which will be evidenced by a Borrowing Base
Certificate, in form and substance satisfactory to Agent, delivered by Borrowers
to Agent; and

            (xxix) All corporate and other proceedings, and all documents,
instruments and other legal matters in connection with the transactions
contemplated by this Amendment shall be satisfactory in form and substance to
Agent and its counsel.

         6. Representations and Warranties. Each Credit Party (including,
without limitation, Axxess Technologies) hereby represents and warrants as
follows:

            (a) This Amendment and the Loan Agreement, as amended hereby,
constitute legal, valid and binding obligations of such Credit Party and are
enforceable against such Credit Party in accordance with their respective terms.

            (b) Upon the effectiveness of this Amendment, such Credit Party
hereby reaffirms all covenants, representations and warranties made in the Loan
Agreement to the extent the same are not amended hereby and agrees that all such
covenants, representations and warranties shall be deemed to have been remade as
of the effective date of this Amendment except (i) to the extent of changes
resulting from transactions contemplated by this Amendment and (ii) to the
extent that such representations or warranties related expressly to an earlier
date.

            (c) No Event of Default or Default has occurred and is continuing or
would exist after giving effect to this Amendment.

            (d) Such Credit Party has no defense, counterclaim or offset with
respect to the Loan Agreement.

            (e) Axxess Technologies has full power, authority and legal right to
enter into this Amendment and to perform all its respective obligations
hereunder. The execution, delivery and performance by Axxess Technologies of
this Amendment (i) is within Axxess Technologies' corporate powers, has been
duly authorized, is not in contravention of law or the terms of Axxess
Technologies' By-Laws, Articles of Incorporation or other applicable documents
relating to Axxess Technologies' formation or to the conduct of Axxess
Technologies' business or of any material agreement or undertaking to which
Axxess Technologies is a party or by which Axxess Technologies is bound, and
(ii) will not conflict with nor result in any breach in any of the provisions of
or constitute a default under or result in the creation of any Lien except
(Permitted Encumbrances) upon any asset of Axxess Technologies under the
provisions of any agreement, charter document, instrument, by-law, of other
instrument to which Axxess Technologies or its property is party or by which it
may be bound.

                                      -13-
<PAGE>

            (f) Axxess Technologies is duly formed and in good standing under
the laws of the State of Delaware and is qualified to do business and is in good
standing in such jurisdictions which constitute all jurisdictions in which
qualification and good standing are necessary for Axxess Technologies to conduct
its business and own its property and where the failure to so qualify would have
a material adverse effect on Axxess Technologies or its business. Axxess
Technologies has previously delivered to Agent true and complete copies of its
Articles of Incorporation, By-Laws and for all other documents relating to
Axxess Technologies' formation, and will promptly notify Agent of any amendments
or changes thereto.

         7. Effect on the Loan Agreement.

            (a) Upon the effectiveness of Section 5 hereof, each reference in
the Loan Agreement to "this Agreement," "hereunder," "hereof," "herein" or words
of like import shall mean and be a reference to the Loan Agreement as amended
hereby.

            (b) Except as specifically amended herein, the Loan Agreement, and
all other documents, instruments and agreements executed and/or delivered in
connection therewith, shall remain in full force and effect, and are hereby
ratified and confirmed.

            (c) Except as expressly provided herein, the execution, delivery and
effectiveness of this Amendment shall not operate as a waiver of any right,
power or remedy of Agent, nor constitute a waiver of any provision of the Loan
Agreement, or any other documents, instruments or agreements executed and/or
delivered under or in connection therewith.

         8. Governing Law. This Amendment shall be binding upon and inure to the
benefit of the parties hereto and their respective successors and assigns and
shall be governed by and construed in accordance with the laws of the State of
New York.

         9. Headings. Section headings in this Amendment are included herein for
convenience of reference only and shall not constitute a part of this Amendment
for any other purpose.

         10. Counterparts. This Amendment may be executed by the parties hereto
in one or more counterparts, each of which shall be deemed an original and all
of which when taken together shall constitute one and the same agreement. Any
signature delivered by a party via facsimile shall be deemed an original
signature hereto.

                    [BALANCE OF PAGE INTENTIONALLY LEFT BLANK
                              SIGNATURES TO FOLLOW]

                                      -14-
<PAGE>

                                                     (Signature Page to Joinder)

         IN WITNESS WHEREOF, this Amendment has been duly executed as of the day
and year first written above.

                   SUNSOURCE INC., as a Borrower
                   SUNSOURCE TECHNOLOGY SERVICES INC., as a Borrower
                   THE HILLMAN GROUP, INC., as a Borrower
                   HARDING GLASS, INC., as a Borrower
                   AXXESS TECHNOLOGIES, INC., as a Borrower
                   A & H HOLDING COMPANY, INC., as a Guarantor
                   SUNSOURCE CORPORATE GROUP, INC., as a Guarantor
                   SUNSOURCE INDUSTRIAL SERVICES COMPANY, INC., as a Guarantor
                   SUNSOURCE INVENTORY MANAGEMENT COMPANY, INC., as a Guarantor
                   SUNSOURCE INVESTMENT COMPANY, INC., as a Guarantor
                   SUNSUB A INC., as a Guarantor

                   By:  /s/ Joseph M. Corvino
                        ---------------------
                   Name:  Joseph M. Corvino
                   Title: Vice President of each of the foregoing corporations

                   1394066 ONTARIO INC., as a
                   Guarantor

                   J. N. FAUVER (CANADA) LIMITED, as a Guarantor

                   By: /s/ Joseph M. Corvino
                       ---------------------
                   Name:  Joseph M. Corvino
                   Title: President of each of the foregoing corporations

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

<PAGE>

                                                     (Signature Page to Joinder)

                                           PNC BANK, NATIONAL ASSOCIATION, as
                                           Agent and as Lender

                                           By:  /s/ Ryan Peak
                                                ----------------------------
                                                Name:  Ryan Peak
                                                Title: Vice President

                                           BANK OF AMERICA, N.A., as
                                           Co-Agent and Lender

                                           By:  /s/ Richard Levenson
                                                ----------------------------
                                                Name:  Richard Levenson
                                                Title: Senior Vice President

                                           FIRSTAR BANK, N.A., as
                                           Co-Agent and Lender

                                           By:  /s/ Michael A. Gasser
                                                ----------------------------
                                                Name:  Michael A. Gasser
                                                Title: Vice President

                                           FIFTH THIRD BANK, as Lender

                                           By:  /s/ David C. Gordley
                                                ----------------------------
                                                Name:  David C. Gordley
                                                Title: Vice President

<PAGE>

                                    Schedules
                                 (See Attached)

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