Document:

<PAGE>   1

                                                                    EXHIBIT 10.4

                      SERIES A-1 INCREMENTAL LOAN AGREEMENT

                  SERIES A-1 INCREMENTAL LOAN AGREEMENT dated as of May 31, 2000
between LAMAR ADVERTISING COMPANY ("Holdings"), LAMAR MEDIA CORP. (the
"Borrower"), the SUBSIDIARY GUARANTORS party hereto, the SERIES A-1 LENDERS
party hereto and THE CHASE MANHATTAN BANK, as Administrative Agent.

                  The Borrower, the Subsidiary Guarantors party thereto, the
lenders party thereto and The Chase Manhattan Bank, as Administrative Agent, are
parties to a Credit Agreement dated as of August 13, 1999 (the "Credit
Agreement") providing for extensions of credit (by means of loans and letters of
credit) in an aggregate principal amount up to but not exceeding $1,000,000,000
(which, in the circumstances contemplated by Section 2.01(d) thereof, may be
increased to $1,400,000,000).

                  Section 2.01(d) of the Credit Agreement contemplates that at
any time and from time to time prior to December 31, 2001, the Borrower may
request that the Lenders (as defined therein) offer to enter into commitments to
make Incremental Loans under and as defined in said Section 2.01(d), which
Incremental Loans may be made in one or more separate "series" of term loans but
which in the aggregate may not exceed $400,000,000. The Borrower has now
requested that $20,000,000 of Incremental Loans under said Section 2.01(d) be
made available to it in a single series of term loans (the "Series A-1 Loans").
The Series A-1 Lenders (as defined below) are willing to make such loans on the
terms and conditions set forth below and in accordance with the applicable
provisions of the Credit Agreement and, accordingly, the parties hereto hereby
agree as follows:

                                    ARTICLE I

                                  DEFINED TERMS

                  Terms defined in the Credit Agreement are used herein as
defined therein. In addition, the following terms have the meanings specified
below:

                  "Series A-1 Commitment" means, with respect to each Series A-1
         Lender, the commitment of such Lender to make Series A-1 Loans
         hereunder. The amount of each Series A-1 Lender's Series A-1 Commitment
         is (i) set forth opposite such Series A-1 Lender's signature hereto or
         (ii) evidenced by an assignment of such Series A-1 Commitment pursuant
         to Section 10.04 of the Credit Agreement. The aggregate original amount
         of the Series A-1 Commitments is $20,000,000.

                  "Series A-1 Effective Date" means the date on which the
         conditions specified in Article IV are satisfied (or waived by the
         Required Series A-1 Lenders).

                      Series A-1 Incremental Loan Agreement

<PAGE>   2
                                      -2-

                  "Series A-1 Lender" means (a) on the date hereof, a Lender
         that has executed and delivered this Agreement and (b) thereafter, the
         Lenders from time to time holding Series A-1 Commitments or Series A-1
         Loans after giving effect to any assignments thereof pursuant to
         Section 10.04 of the Credit Agreement.

                                   ARTICLE II

                                SERIES A-1 LOANS

                  Section 2.01. Commitments. Subject to the terms and conditions
set forth herein and in the Credit Agreement, each Series A-1 Lender agrees to
make Series A-1 Loans to the Borrower on the Series A-1 Effective Date in an
aggregate principal amount equal to such Series A-1 Lender's Series A-1
Commitment. Proceeds of Series A-1 Loans shall be available for any use
permitted under Section 6.09 of the Credit Agreement.

                  Section 2.02. Termination of Commitments. Unless previously
terminated, the Series A-1 Commitments shall terminate after the borrowing of
the Series A-1 Loans on the Series A-1 Effective Date.

                  Section 2.03. Repayment of Loans. The Borrower hereby
unconditionally promises to pay to the Administrative Agent for the account of
the Series A-1 Lenders the outstanding principal amount of the Series A-1 Loans
on each Principal Payment Date set forth below in the aggregate principal amount
set forth opposite such Principal Payment Date:

<TABLE>
<CAPTION>
                  Principal Payment Date                      Principal Amount
                  ----------------------                      ----------------

<S>                                                           <C>
                  September 30, 2001                           $1,000,000
                  December 31, 2001                            $1,000,000

                  March 31, 2002                               $  500,000
                  June 30, 2002                                $  500,000
                  September 30, 2002                           $  500,000
                  December 31, 2002                            $  500,000

                  March 31, 2003                               $1,000,000
                  June 30, 2003                                $1,000,000
                  September 30, 2003                           $1,000,000
                  December 31, 2003                            $1,000,000

                  March 31, 2004                               $1,250,000
                  June 30, 2004                                $1,250,000
                  September 30, 2004                           $1,250,000
                  December 31, 2004                            $1,250,000

                  March 31, 2005                               $1,400,000
                  June 30, 2005                                $1,400,000
                  September 30, 2005                           $1,400,000
                  December 31, 2005                            $1,400,000

                  March 1, 2006                                $1,400,000
</TABLE>

                      Series A-1 Incremental Loan Agreement

<PAGE>   3
                                      -3-

To the extent not previously paid, all Series A-1 Loans shall be due and payable
on the Tranche A Maturity Date.

                  Section 2.04. Applicable Margin. The Applicable Margin for
Series A-1 Loans shall be the respective rates provided for the Tranche A Term
Loans in Section 1.01 of the Credit Agreement.

                  Section 2.05. Status of Agreement. The Series A-1 Commitments
of each Series A-1 Lender constitute Incremental Loan Commitments, the Series
A-1 Lenders constitute Incremental Loan Lenders and the Series A-1 Loans
constitutes a single "Series" of Incremental Loans under Section 2.01(d) of the
Credit Agreement.

                                   ARTICLE III

                   REPRESENTATION AND WARRANTIES; NO DEFAULTS

                  The Borrower and each Subsidiary Guarantor represents and
warrants to the Lenders and the Administrative Agent, as to itself and each of
its Subsidiaries that, after giving effect to the provisions hereof, (i) each of
the representations and warranties set forth in Article IV of the Credit
Agreement is true and correct on and as of the date hereof as if made on and as
of the date hereof (or, if any such representation or warranty is expressly
stated to have been made as of a specific date, such representation or warranty
is true and correct as of such specific date) and as if each reference therein
to the Credit Agreement or Loan Documents included reference to this Agreement
and (ii) no Default or Event of Default has occurred and is continuing.

                                   ARTICLE IV

                                   CONDITIONS

                  The obligations of the Series A-1 Lenders to make the Series
A-1 Loans is subject to the conditions precedent that each of the following
conditions shall have been satisfied (or waived by the Required Series A-1
Lenders):

                  (a) Counterparts of Agreement. The Administrative Agent (or
         Special Counsel) shall have received from each party hereto either (i)
         a counterpart of this Agreement

                      Series A-1 Incremental Loan Agreement

<PAGE>   4
                                      -4-

         signed on behalf of such party or (ii) written evidence satisfactory to
         the Administrative Agent (which may include telecopy transmission of a
         signed signature page of this Agreement) that such party has signed a
         counterpart of this Agreement.

                  (b) Opinion of Counsel to Credit Parties. The Administrative
         Agent (or Special Counsel) shall have received a favorable written
         opinion (addressed to the Administrative Agent and the Series A-1
         Lenders and dated the Series A-1 Effective Date) of Kean, Miller,
         Hawthorne, D'Armond, McCowan & Jarman, L.L.P., counsel to the Credit
         Parties, substantially in the form of Annex 1, and covering such
         matters relating to the Credit Parties or this Agreement as the
         Administrative Agent shall request (and each Credit Party hereby
         requests such counsel to deliver such opinion).

                  (c) Opinion of Special Counsel. The Administrative Agent shall
         have received a favorable written legal opinion (addressed to
         Administrative Agent and the Series A-1 Lenders and dated the Series
         A-1 Effective Date) of Special Counsel, substantially in the form of
         Annex 2 (and the Administrative Agent hereby requests such counsel to
         deliver such opinion).

                  (d) Corporate Matters. The Administrative Agent (or Special
         Counsel) shall have received such documents and certificates as either
         the Administrative Agent or Special Counsel may reasonably request
         relating to the organization, existence and good standing of each
         Credit Party, the authorization of the Borrowings hereunder and any
         other legal matters relating to the Credit Parties, the Credit
         Agreement or this Agreement, all in form and substance reasonably
         satisfactory to each Agent.

                  (e) Notes. The Administrative Agent (or Special Counsel) shall
         have received for each Series A-1 Lender that shall have requested a
         promissory note at least one Business Day prior to the Series A-1
         Effective Date, a duly completed and executed promissory note for such
         Series A-1 Lender.

                  (f) Fees and Expenses. The Administrative Agent shall have
         received all fees and other amounts due and payable on or prior to the
         Series A-1 Effective Date, including, to the extent invoiced,
         reimbursement or payment of all out-of-pocket expenses required to be
         reimbursed or paid by the Borrower hereunder.

                  (g) Additional Conditions. The Administrative Agent (or
         Special Counsel) shall have received a certificate, dated the Series
         A-1 Effective Date and signed by a Financial Officer confirming that
         (i) after giving effect to the Borrowing hereunder (under the
         assumption that such Borrowing had been consummated on the first day of
         the respective periods for which calculations are to be made under the
         covenants in Section 7.09 of the Credit Agreement), the Borrower would
         have been in compliance with the applicable provisions of Section 7.09
         of the Credit Agreement and (ii) each of the applicable conditions
         precedent set forth in Section 5.03 of the Credit Agreement to the
         making of Series A-1 Loans on the Series A-1 Effective Date shall have
         been satisfied.

                      Series A-1 Incremental Loan Agreement

<PAGE>   5
                                      -5-

                                    ARTICLE V

                         GUARANTY AND PLEDGE BY HOLDINGS

                  By its signature hereto, Holdings confirms that the
obligations of the Borrower under this Agreement and in respect of the Series
A-1 Loans are entitled to the benefits of the guarantee and pledge set forth in
the Holdings Guaranty and Pledge Agreement and constitute Guaranteed Obligations
and Secured Obligations (in each case, as defined therein).

                                   ARTICLE VI

                                  MISCELLANEOUS

                  SECTION 6.01. Expenses. The Obligors jointly and severally
agree to pay, or reimburse the Administrative Agent or Lenders for paying, (i)
all reasonable out-of-pocket expenses incurred by the Administrative Agent and
its Affiliates, including the reasonable fees, charges and disbursements of
Special Counsel, in connection with the syndication of the Incremental Loans
provided for herein and the preparation of this Agreement.

                  SECTION 6.02. Counterparts; Integration; Effectiveness. This
Agreement may be executed in counterparts (and by different parties hereto on
different counterparts), each of which shall constitute an original, but all of
which when taken together shall constitute a single contract. This Agreement
shall become effective when this Agreement shall have been executed by the
Administrative Agent and when the Administrative Agent shall have received
counterparts hereof and thereof which, when taken together, bear the signatures
of each of the other parties hereto and thereto, and thereafter shall be binding
upon and inure to the benefit of the parties hereto and their respective
successors and assigns. Delivery of an executed counterpart of a signature page
of this Agreement by telecopy shall be effective as delivery of a manually
executed counterpart of this Agreement.

                  SECTION 6.03. Governing Law. This Agreement shall be governed
by, and construed in accordance with, the law of the State of New York.

                  SECTION 6.04. Headings. Article and Section headings used
herein are for convenience of reference only, are not part of this Agreement and
shall not affect the construction of, or be taken into consideration in
interpreting, this Agreement.

                      Series A-1 Incremental Loan Agreement

<PAGE>   6
                                      -6-

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

                                             HOLDINGS

                                        LAMAR ADVERTISING COMPANY

                                        By /s/ KEITH A. ISTRE
                                          ----------------------------
                                             Title:

                                             BORROWER

                                        LAMAR MEDIA CORP.

                                        By /s/ KEITH A. ISTRE
                                          ----------------------------
                                             Title:

                                       SUBSIDIARY GUARANTORS

                                        INTERSTATE LOGOS, INC.
                                        LAMAR ADVERTISING OF COLORADO SPRINGS,
                                             INC.
                                        LAMAR TEXAS GENERAL PARTNER, INC.
                                        TLC PROPERTIES, INC.
                                        TLC PROPERTIES II, INC.
                                        LAMAR PENSACOLA TRANSIT, INC.
                                        LAMAR ADVERTISING OF YOUNGSTOWN, INC.
                                        NEBRASKA LOGOS, INC.
                                        MISSOURI LOGOS, INC.
                                        OHIO LOGOS, INC.
                                        UTAH LOGOS, INC.
                                        TEXAS LOGOS, INC.
                                        SOUTH CAROLINA LOGOS, INC.
                                        VIRGINIA LOGOS, INC
                                        MINNESOTA LOGOS, INC.
                                        MICHIGAN LOGOS, INC.
                                        FLORIDA LOGOS, INC.
                                        KENTUCKY LOGOS, INC.

                      Series A-1 Incremental Loan Agreement

<PAGE>   7
                                      -7-

                                        NEVADA LOGOS, INC.
                                        TENNESSEE LOGOS, INC.
                                        KANSAS LOGOS, INC.
                                        COLORADO LOGOS, INC.
                                        NEW MEXICO LOGOS, INC.
                                        CANADIAN TODS LIMITED
                                        LAMAR ADVERTISING OF MICHIGAN, INC.
                                        LAMAR ELECTRICAL, INC.
                                        LAMAR ADVERTISING OF WEST VIRGINIA, INC.
                                        LAMAR ADVERTISING OF ASHLAND, INC.
                                        AMERICAN SIGNS, INC.
                                        LAMAR OCI NORTH CORPORATION
                                        LAMAR OCI SOUTH CORPORATION
                                        LAMAR ROBINSON, INC.
                                        LAMAR ADVERTISING OF KENTUCKY, INC.
                                        LAMAR FLORIDA, INC.
                                        LAMAR ADVERTISING OF IOWA, INC.
                                        LAMAR ADVAN, INC.
                                        LAMAR ADVERTISING OF SOUTH DAKOTA

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        OKLAHOMA LOGOS, L.L.C.
                                        MISSISSIPPI LOGOS, L.L.C.
                                        DELAWARE LOGOS, L.L.C.
                                        NEW JERSEY LOGOS, L.L.C.
                                        GEORGIA LOGOS, L.L.C.

                                        By: Interstate Logos, Inc.
                                        Its: Sole and Managing Member

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                      Series A-1 Incremental Loan Agreement

<PAGE>   8
                                      -8-

                                        INTERSTATE LOGOS, L.L.C.

                                        By: Lamar Media Corp.,
                                        Its Sole and Managing Member

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        LAMAR ADVERTISING OF MACON, L.L.C.

                                        By: Lamar Advertising Company
                                        Its: Sole and Managing Member

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        THE LAMAR COMPANY, L.L.C.

                                        By: Lamar Media Corp.,
                                        Its Sole and Managing Member

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        LAMAR ADVERTISING OF PENN, LLC

                                        By: The Lamar Company, L.L.C., Its
                                             Manager
                                        By: Lamar Media Corp., Its Manager

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                      Series A-1 Incremental Loan Agreement

<PAGE>   9
                                      -9-

                                        LAMAR ADVERTISING OF LOUISIANA, L.L.C.
                                        By: The Lamar Company, L.L.C., Its
                                             Manager
                                        By: Lamar Media Corp., Its Manager

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        LAMAR TENNESSEE, L.L.C.
                                        By: Lamar Media Corp., Its Manager

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        LAMAR TEXAS LIMITED PARTNERSHIP

                                        By: Lamar Texas General Partner, Inc.
                                        Its General Partner

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        MISSOURI LOGOS, A PARTNERSHIP

                                        By: Missouri Logos, Inc.,
                                        Its General Partner

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                      Series A-1 Incremental Loan Agreement

<PAGE>   10
                                      -10-

                                        LAMAR AIR, L.L.C.

                                        By: The Lamar Company, L.L.C., Its
                                             Manager
                                        By: Lamar Media Corp., Its Manager

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        TLC PROPERTIES, L.L.C.

                                        By: TLC Properties, Inc.
                                        Its Manager

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        LAMAR MW SIGN CORPORATION
                                        LAMAR MARTIN CORPORATION
                                        LAMAR NEVADA SIGN CORPORATION
                                        LAMAR OUTDOOR CORPORATION
                                        LAMAR WHITECO OUTDOOR CORPORATION
                                        DOWLING COMPANY, INCORPORATED
                                        HARDIN DEVELOPMENT CORPORATION
                                        LINDSAY OUTDOOR ADVERTISING INC
                                        PARSONS DEVELOPMENT COMPANY
                                        REVOLUTION OUTDOOR ADVERTISING, INC.
                                        SCENIC OUTDOOR MARKETING &
                                          CONSULTING INC.

                                        By:     /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                      Series A-1 Incremental Loan Agreement

<PAGE>   11
                                      -11-

                                        LAMAR WEST, L.P.
                                        By: Lamar MW Sign Corporation,
                                            Its General Partner

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        OUTDOOR PROMOTIONS WEST, L.L.C.
                                        TRANSIT AMERICA LAS VEGAS, L.L.C.
                                        TRIUMPH OUTDOOR LOUISIANA, L.L.C.
                                        TRIUMPH OUTDOOR RHODE ISLAND, L.L.C.

                                        By: Triumph Outdoor Holdings, L.L.C.,
                                             Its Manager

                                        By: Lamar Outdoor Corporation, Its
                                             Manager

                                        By:  /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                        TRIUMPH OUTDOOR HOLDINGS, L.L.C.

                                        By: Lamar Outdoor Corporation, Its
                                             Manager

                                        By: /s/ KEITH A. ISTRE
                                            ------------------------------------
                                                 Keith A. Istre
                                                 Vice President - Finance and
                                                 Chief Financial Officer

                                         ADMINISTRATIVE AGENT

                                                 THE CHASE MANHATTAN BANK,
                                                   as Administrative Agent

                                                 By  /s/ WILLIAM ROTTINO
                                                     ----------------------

                      Series A-1 Incremental Loan Agreement

<PAGE>   12

                               SERIES A-1 LENDERS

$20,000,000                             THE CHASE MANHATTAN BANK

                                        By: /s/ WILLIAM ROTTINO
                                            ------------------------------------
                                            Title:

                      Series A-1 Incremental Loan Agreement

<PAGE>   13

                                                                         ANNEX 1

                 [Form of Opinion of Counsel to Credit Parties]

                                                                  May [__], 2000

To the Lenders party to the
 Series A-1 Incremental Loan Agreement
  referred to below and
  The Chase Manhattan Bank,
  as Administrative Agent

Ladies and Gentlemen:

                  We have acted as counsel to LAMAR ADVERTISING COMPANY
("Holdings"), LAMAR MEDIA CORP. (herein the "Borrower") and the SUBSIDIARY
GUARANTORS, in connection with the Series A-1 Incremental Loan Agreement dated
as of May __, 2000 (the "Series A-1 Agreement") between Lamar Advertising
Company ("Holdings") Lamar Media Corp. (the "Borrower"), the Subsidiary
Guarantors party thereto, the Series A-1 Lenders party thereto (the "Series A-1
Lenders") and The Chase Manhattan Bank, as Administrative Agent (the
"Administrative Agent"), which Series A-1 Agreement is being entered into
pursuant to Section 2.01(d) of the Credit Agreement dated as of August 13, 1999
(the "Credit Agreement") between the Borrower, the Subsidiary Guarantors party
thereto, the lenders party thereto and the Administrative Agent. Terms defined
in the Series A-1 Agreement and Credit Agreement are used herein as defined
therein. This opinion is being delivered pursuant to clause (b) of Article IV of
the Series A-1 Agreement.

                  In rendering the opinions expressed below, we have examined
the following agreements, instruments and other documents:

                  (a)      the Series A-1 Agreement;

                  (b)      the Credit Agreement; and

                  (c)      the Holdings Guaranty and Pledge Agreement.

The agreements, instruments and other documents referred to in the foregoing
lettered clauses are collectively referred to as the "Credit Documents".

                  In our examination, we have assumed the genuineness of all
signatures, the authenticity of all documents submitted to us as originals and
the conformity with authentic original documents of all documents submitted to
us as copies. When relevant facts were not independently established, we have
relied upon statements of governmental officials and upon

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   14
                                      -2-

representations made in or pursuant to the Credit Documents and certificates of
appropriate representatives of the Credit Parties.

                  In rendering the opinions expressed below, we have assumed,
with respect to all of the documents referred to in this opinion letter, that
(except, to the extent set forth in the opinions expressed below, as to the
Credit Parties):

         (i)      such documents have been duly authorized by, have been duly
                  executed and delivered by, and constitute legal, valid,
                  binding and enforceable obligations of, all of the parties to
                  such documents;

         (ii)     all signatories to such documents have been duly authorized;
                  and

         (iii)    all of the parties to such documents are duly organized and
                  validly existing and have the power and authority (corporate
                  or other) to execute, deliver and perform such documents.

                  Based upon and subject to the foregoing and subject also to
the comments and qualifications set forth below, and having considered such
questions of law as we have deemed necessary as a basis for the opinions
expressed below, we are of the opinion that:

                  1. Holdings is a corporation duly organized, validly existing
         and in good standing under the laws of the State of Delaware. The
         Borrower is a corporation duly organized, validly existing and in good
         standing under the laws of the State of Delaware. Each Subsidiary of
         the Borrower is a corporation, partnership or other entity duly
         organized, validly existing and in good standing under the laws of the
         respective state indicated opposite its name in Schedule 4.14 to the
         Credit Agreement.

                  2. Each Credit Party has all requisite corporate or other
         power to execute and deliver, and to perform its obligations under, the
         Credit Documents to which it is a party. The Borrower has all requisite
         corporate power to borrow under the Credit Agreement and to incur
         liability in respect of Letters of Credit under the Credit Agreement.

                  3. The execution, delivery and performance by each Credit
         Party of each Credit Document to which it is a party, and the
         borrowings and the incurrence of liability in respect of Letters of
         Credit by the Borrower under the Credit Agreement, have been duly
         authorized by all necessary corporate or other action on the part of
         such Credit Party.

                  4. Each Credit Document has been duly executed and delivered
         by each Credit Party party thereto.

                  Form of Opinion of Counsel to Credit Parties
<PAGE>   15
                                      -3-

                  5. Under Louisiana conflict of laws principles, the stated
         choice of New York law to govern the Credit Documents will be honored
         by the courts of the State of Louisiana and the Credit Documents will
         be construed in accordance with, and will be treated as being governed
         by, the law of the State of New York. However, if the Credit Documents
         were stated to be governed by and construed in accordance with the law
         of the State of Louisiana, or if a Louisiana court were to apply the
         law of the State of Louisiana to the Credit Documents, each Credit
         Document would nevertheless constitute the legal, valid and binding
         obligation of each Credit Party party thereto, enforceable against such
         Credit Party in accordance with its terms, except as may be limited by
         bankruptcy, fraudulent conveyance, insolvency, reorganization,
         moratorium or other similar laws relating to or affecting the rights of
         creditors generally and except as the enforceability of the Credit
         Documents is subject to the application of general principles of equity
         (regardless of whether considered in a proceeding in equity or at law),
         including, without limitation, (a) the possible unavailability of
         specific performance, injunctive relief or any other equitable remedy
         and (b) concepts of materiality, reasonableness, good faith and fair
         dealing.

                  6. No authorization, approval or consent of, and no filing or
         registration with, any governmental or regulatory authority or agency
         of the United States of America or the State of Louisiana is required
         on the part of any Credit Party for the execution, delivery or
         performance by any Credit Party of any of the Credit Documents or for
         the borrowings by the Borrower under the Credit Agreement.

                  7. The execution, delivery and performance by each Credit
         Party of, and the consummation by each Credit Party of the transactions
         contemplated by, the Credit Documents to which such Credit Party is a
         party do not and will not (a) violate any provision of the charter or
         by-laws of any Credit Party, (b) violate any applicable law, rule or
         regulation, (c) violate any order, writ, injunction or decree of any
         court or governmental authority or agency or any arbitral award
         applicable to the Credit Parties or any of their respective
         Subsidiaries of which we have knowledge (after due inquiry) or (d)
         based on an opinion of the General Counsel of the Borrower, result in a
         breach of, constitute a default under, require any consent under, or
         result in the acceleration or required prepayment of any indebtedness
         pursuant to the terms of, any agreement or instrument of which we have
         knowledge (after due inquiry) to which the Credit Parties or any of
         their respective Subsidiaries is a party or by which any of them is
         bound or to which any of them is subject, or result in the creation or
         imposition of any Lien upon any property of any Credit Party pursuant
         to, the terms of any such agreement or instrument.

                  8. Except as set forth in Schedule 4.06 to the Credit
         Agreement, we have no knowledge (after due inquiry) of any legal or
         arbitral proceedings, or any proceedings by or before any governmental
         or regulatory authority or agency, pending or threatened against or
         affecting the Credit Parties or any of their respective Subsidiaries or
         any of

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   16
                                      -4-

         their respective properties that, if adversely determined, could have a
         Material Adverse Effect.

                  The foregoing opinions are subject to the following comments
and qualifications:

                  (A) The enforceability of Section 10.03 of the Credit
         Agreement may be limited by laws limiting the enforceability of
         provisions exculpating or exempting a party, or requiring
         indemnification of a party for, liability for its own action or
         inaction, to the extent the action or inaction involves gross
         negligence, recklessness, willful misconduct or unlawful conduct.

                  (B) Clause (iii) of the second sentence of Section 3.02 of the
         Credit Agreement may not be enforceable to the extent that the
         Guaranteed Obligations (as defined in the Credit Agreement) are
         materially modified.

                  (C) The enforceability of provisions in the Credit Documents
         to the effect that terms may not be waived or modified except in
         writing may be limited under certain circumstances.

                  (D) We express no opinion as to (i) the effect of the laws of
         any jurisdiction in which any Lender is located (other than the State
         of Louisiana) that limit the interest, fees or other charges such
         Lender may impose for the loan or use of money or other credit, (ii)
         the last sentence of Section 2.16(d) of the Credit Agreement, (iii) the
         first sentence of Section 10.09(b) of the Credit Agreement (and any
         similar provisions in any of the other Credit Documents), insofar as
         such sentence relates to the subject matter jurisdiction of the United
         States District Court for the Southern District of New York to
         adjudicate any controversy related to the Credit Documents and (iv)
         Section 3.06 or 3.09 of the Credit Agreement (and any similar
         provisions in any of the other Credit Documents).

                  (E) We express no opinion as to the applicability to the
         obligations of any Subsidiary Guarantor (or the enforceability of such
         obligations) of Section 548 of the Bankruptcy Code or any other
         provision of law relating to fraudulent conveyances, transfers or
         obligations or of the provisions of the law of the jurisdiction of
         incorporation of any Subsidiary Guarantor restricting dividends, loans
         or other distributions by a corporation for the benefit of its
         stockholders.

                  Partners or Associates of this Firm are members of the Bar of
the State of Louisiana and we do not hold ourselves out as being conversant with
the laws of any jurisdiction other than those of the United States of America
and the State of Louisiana, and we express no opinion as to the laws of any
jurisdiction other than those of the United States of America, the State of
Louisiana and the General Corporation Law of the State of Delaware.

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   17
                                      -5-

                  At the request of our clients, this opinion letter is,
pursuant to clause (b) of Article IV of the Series A-1 Agreement, provided to
you by us in our capacity as counsel to the Credit Parties and may not be relied
upon by any Person for any purpose other than in connection with the
transactions contemplated by the Series A-1 Agreement without, in each instance,
our prior written consent.

                                             Very truly yours,

                  Form of Opinion of Counsel to Credit Parties
<PAGE>   18

                                                                         ANNEX 2

                      [Form of Opinion of Special Counsel]

                                                            [Date]

To the Series A-1 Lenders
   and the Administrative Agent party
   to the Series A-1 Incremental Loan Agreement and
   Credit Agreement referred to below

Ladies and Gentlemen:

                  We have acted as special New York counsel to The Chase
Manhattan Bank ("Chase") in connection with the Series A-1 Incremental Loan
Agreement dated as of May __, 2000 (the "Series A-1 Agreement") between Lamar
Advertising Company ("Holdings"), Lamar Media Corp. (the "Borrower"), the
Subsidiary Guarantors party thereto, the Series A-1 Lenders party thereto (the
"Series A-1 Lenders") and The Chase Manhattan Bank, as Administrative Agent (the
"Administrative Agent"), which Series A-1 Agreement is being entered into
pursuant to Section 2.01(d) of the Credit Agreement dated as of August 13, 1999
(the "Credit Agreement") between the Borrower, the Subsidiary Guarantors party
thereto, the lenders party thereto and the Administrative Agent. Terms defined
in the Series A-1 Agreement and Credit Agreement are used herein as defined
therein. This opinion is being delivered pursuant to clause (c) of Article IV of
the Series A-1 Agreement.

                  In rendering the opinions expressed below, we have examined
the following agreements, instruments and other documents:

                  (a)      the Series A-1 Agreement;

                  (b)      the Credit Agreement; and

                  (c)      the Holdings Guaranty and Pledge Agreement.

The agreements, instruments and other documents referred to in the foregoing
lettered clauses are collectively referred to as the "Credit Documents".

                  In our examination, we have assumed the authenticity of all
documents submitted to us as originals and the conformity with authentic
original documents of all documents submitted to us as copies. When relevant
facts were not independently established, we have relied upon representations
made in or pursuant to the Credit Documents.

                       Form of Opinion of Special Counsel

<PAGE>   19
                                      -2-

                  In rendering the opinions expressed below, we have assumed,
with respect to all of the documents referred to in this opinion letter, that:

         (i)      such documents have been duly authorized by, have been duly
                  executed and delivered by, and (except to the extent set forth
                  in the opinions below as to the Credit Parties) constitute
                  legal, valid, binding and enforceable obligations of, all of
                  the parties to such documents;

         (ii)     all signatories to such documents have been duly authorized;

         (iii)    all of the parties to such documents are duly organized and
                  validly existing and have the power and authority (corporate
                  or other) to execute, deliver and perform such documents; and

         (iv)     the Series A-1 Agreement has become effective in accordance
                  with the provisions of Section 5.02 thereof.

                  Based upon and subject to the foregoing and subject also to
the comments and qualifications set forth below, and having considered such
questions of law as we have deemed necessary as a basis for the opinions
expressed below, we are of the opinion that each of the Credit Documents
constitutes the legal, valid and binding obligation of each Credit Party party
thereto, enforceable against such Credit Party in accordance with its terms,
except as may be limited by bankruptcy, insolvency, reorganization, moratorium,
fraudulent conveyance or other similar laws relating to or affecting the rights
of creditors generally and except as the enforceability of the Credit Documents
is subject to the application of general principles of equity (regardless of
whether considered in a proceeding in equity or at law), including, without
limitation, (a) the possible unavailability of specific performance, injunctive
relief or any other equitable remedy and (b) concepts of materiality,
reasonableness, good faith and fair dealing.

                  The foregoing opinions are subject to the following comments
and qualifications:

                  (A) The enforceability of Section 10.03(b) of the Credit
         Agreement may be limited by laws limiting the enforceability of
         provisions exculpating or exempting a party, or requiring
         indemnification of a party for, liability for its own action or
         inaction, to the extent the action or inaction involves gross
         negligence, recklessness, willful misconduct or unlawful conduct.

                  (B) Clause (iii) of the second sentence of Section 3.02 of the
         Credit Agreement may not be enforceable to the extent that the
         Guaranteed Obligations (as defined in the Credit Agreement) are
         materially modified.

                  (C) The enforceability of provisions in the Credit Documents
         to the effect that terms may not be waived or modified except in
         writing may be limited under certain circumstances.

                       Form of Opinion of Special Counsel

<PAGE>   20
                                      -3-

                  (D) We express no opinion as to (i) the effect of the laws of
         any jurisdiction in which any Lender is located (other than the State
         of New York) that limit the interest, fees or other charges such Lender
         may impose for the loan or use of money or other credit, (ii) the last
         sentence of Section 2.16(d) of the Credit Agreement, (iii) the first
         sentence of Section 10.09(b) of the Credit Agreement, insofar as such
         sentence relates to the subject matter jurisdiction of the United
         States District Court for the Southern District of New York to
         adjudicate any controversy related to the Credit Documents, (iv) the
         waiver of inconvenient forum set forth in Section 10.09(c) with respect
         to proceedings in the United States District Court for the Southern
         District of New York and (v) Section 3.06 or 3.09 of the Credit
         Agreement.

                  (E) We express no opinion as to the applicability to the
         obligations of any Subsidiary Guarantor (or the enforceability of such
         obligations) of Section 548 of the United States Bankruptcy Code,
         Article 10 of the New York Debtor and Creditor Law or any other
         provision of law relating to fraudulent conveyances, transfers or
         obligations or of the provisions of the law of the jurisdiction of
         incorporation of any Subsidiary Guarantor restricting dividends, loans
         or other distributions by a corporation for the benefit of its
         stockholders.

                  (F) We wish to point out that the obligations of Holdings
         under the Holdings Guaranty and Pledge Agreement, and the rights and
         remedies of the Administrative Agent under Sections 6.05 through 6.09
         (inclusive) of the Holdings Guaranty and Pledge Agreement, may be
         subject to possible limitations upon the exercise of remedial or
         procedural provisions contained in the Holdings Guaranty and Pledge
         Agreement, provided that such limitations do not, in our opinion (but
         subject to the other comments and qualifications set forth in this
         opinion letter), make the remedies and procedures that will be afforded
         to the Administrative Agent and the Secured Parties (as defined in the
         Holdings Guarantee and Pledge Agreement) inadequate for the practical
         realization of the substantive benefits purported to be provided to the
         Administrative Agent and such Secured Parities by the Holdings Guaranty
         and Pledge Agreement.

                  (G) We express no opinion as to the existence of, or the
         right, title or interest of Holdings in, to or under any of the Pledged
         Stock (as defined in the Holdings Guaranty and Pledge Agreement).

                  (H) We express no opinion as to the creation, perfection or
         priority of any security interest in any Collateral (as defined in the
         Holdings Guaranty and Pledge Agreement).

                       Form of Opinion of Special Counsel

<PAGE>   21
                                      -4-

                  The foregoing opinions are limited to matters involving the
Federal laws of the United States and the law of the State of New York, and we
do not express any opinion as to the laws of any other jurisdiction. At the
request of our client, this opinion is rendered solely to you in connection with
the above matter. This opinion may not be relied upon by you for any other
purpose or relied upon by any other Person (other than your successors and
assigns as Lenders and Persons that acquire participations in your extensions of
credit under the Credit Agreement) without our prior written consent.

                                        Very truly yours,

RJW/WFC

                       Form of Opinion of Special Counsel<PAGE>   1

                                                                  Exhibit 10.5

              SERIES A-2 AND SERIES B-1 INCREMENTAL LOAN AGREEMENT

         SERIES A-2 AND SERIES B-1 INCREMENTAL LOAN AGREEMENT dated as of June
22, 2000 between LAMAR ADVERTISING COMPANY ("Holdings"), LAMAR MEDIA CORP. (the
"Borrower"), the SUBSIDIARY GUARANTORS party hereto, the SERIES A-2 AND SERIES
B-1 LENDERS party hereto (including each Series A-2 and each Series B-1 Lender,
each as defined below, that becomes a party hereto pursuant to a Lender
Addendum as defined below) and THE CHASE MANHATTAN BANK, as Administrative
Agent.

         The Borrower, the Subsidiary Guarantors party thereto, the lenders
party thereto and The Chase Manhattan Bank, as Administrative Agent, are
parties to a Credit Agreement dated as of August 13, 1999 (the "Credit
Agreement") providing for extensions of credit (by means of loans and letters
of credit) in an aggregate principal amount up to but not exceeding
$1,000,000,000 (which, in the circumstances contemplated by Section 2.01(d)
thereof, may be increased to $1,400,000,000).

         Section 2.01(d) of the Credit Agreement contemplates that at any time
and from time to time prior to December 31, 2001, the Borrower may request that
the Lenders (as defined therein) offer to enter into commitments to make
Incremental Loans under and as defined in said Section 2.01(d), which
Incremental Loans may be made in one or more separate "series" of term loans
but which in the aggregate may not exceed $400,000,000. Series A-1 Loans in an
aggregate amount of $20,000,000 have been previously established. The Borrower
has now requested that $230,000,000 of Incremental Loans under said Section
2.01(d) be made available to it in two series of term loans (the "Series A-2
Loans" and the "Series B-1 Loans"). The Series A-2 and Series B-1 Lenders (as
defined below) are willing to make such loans on the terms and conditions set
forth below and in accordance with the applicable provisions of the Credit
Agreement and, accordingly, the parties hereto hereby agree as follows:

                                   ARTICLE I

                                 DEFINED TERMS

         Terms defined in the Credit Agreement are used herein as defined
therein. In addition, the following terms have the meanings specified below:

                  "Lender Addendum" means, with respect to any Series A-2 and
         Series B-1 Lender, a Lender Addendum substantially in form of Annex 1
         hereto, dated as of the date hereof and executed and delivered by such
         Series A-2 and Series B-1 Lender as provided in Section 2.05.

                  "Series A-2 and Series B-1 Effective Date" means the date on
         which the conditions specified in Article IV are satisfied (or waived
         by the Required Series A-2 and Series B-1 Lenders).

<PAGE>   2

                                      -2-

                  "Series A-2 Commitment" means, with respect to each Series
         A-2 Lender, the commitment of such Lender to make Series A-2 Loans
         hereunder. The amount of each Series A-2 Lender's Series A-2
         Commitment is set forth in the Lender Addendum executed and delivered
         by such Series A-2 Lender. The aggregate original amount of the Series
         A-2 Commitments is $130,000,000.

                  "Series B-1 Commitment" means, with respect to each Series
         B-1 Lender, the commitment of such Lender to make Series B-1 Loans
         hereunder. The amount of each Series B-1 Lender's Series B-1
         Commitment is set forth in the Lender Addendum executed and delivered
         by such Series B-1 Lender. The aggregate original amount of the Series
         B-1 Commitments is $100,000,000.

                  "Series A-2 Lender" means (a) on the date hereof, a Lender
         that has executed and delivered a Lender Addendum that sets forth a
         Series A-2 Commitment for such Lender and (b) thereafter, the Lenders
         from time to time holding Series A-2 Commitments or Series A-2 Loans
         after giving effect to any assignments thereof pursuant to Section
         10.04 of the Credit Agreement.

                  "Series B-1 Lender" means (a) on the date hereof, a Lender
         that has executed and delivered a Lender Addendum that sets forth a
         Series B-1 Commitment for such Lender and (b) thereafter, the Lenders
         from time to time holding Series B-1 Commitments or Series B-1 Loans
         after giving effect to any assignments thereof pursuant to Section
         10.04 of the Credit Agreement.

                                   ARTICLE II

                        SERIES A-2 AND SERIES B-1 LOANS

         Section 2.01. Commitments. Subject to the terms and conditions set
forth herein and in the Credit Agreement, each (i) Series A-2 Lender agrees to
make Series A-2 Loans to the Borrower on the Series A-2 and Series B-1
Effective Date in an aggregate principal amount equal to such Series A-2
Lender's Series A-2 Commitment and (ii) Series B-1 Lender agrees to make Series
B-1 Loans to the Borrower on the Series A-2 and Series B-1 Effective Date in an
aggregate principal amount equal to such Series B-1 Lender's Series B-1
Commitment. Proceeds of the Series A-2 Loans and Series B-1 Loans shall be
available for any use permitted under Section 6.09 of the Credit Agreement.

         Section 2.02. Termination of Commitments. Unless previously
terminated, the Series A-2 Commitments and the Series B-1 Commitments shall
terminate after the Borrowing of the Series A-2 Loans and Series B-1 Loans on
the Series A-2 and Series B-1 Effective Date.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   3

                                      -3-

                  Section 2.03.  Repayment of Loans.

         (a) Series A-2 Loans. The Borrower hereby unconditionally promises to
pay to the Administrative Agent for the account of the Series A-2 Lenders the
outstanding principal amount of the Series A-2 Loans on each Principal Payment
Date set forth below in the aggregate principal amount set forth opposite such
Principal Payment Date:

<TABLE>
<CAPTION>
              Principal Payment Date                  Principal Amount
              ----------------------                  ----------------
<S>                                                   <C>
              September 30, 2001                         $6,500,000
              December 31, 2001                          $6,500,000

              March 31, 2002                             $3,250,000
              June 30, 2002                              $3,250,000
              September 30, 2002                         $3,250,000
              December 31, 2002                          $3,250,000

              March 31, 2003                             $6,500,000
              June 30, 2003                              $6,500,000
              September 30, 2003                         $6,500,000
              December 31, 2003                          $6,500,000

              March 31, 2004                             $8,125,000
              June 30, 2004                              $8,125,000
              September 30, 2004                         $8,125,000
              December 31, 2004                          $8,125,000

              March 31, 2005                             $9,100,000
              June 30, 2005                              $9,100,000
              September 30, 2005                         $9,100,000
              December 31, 2005                          $9,100,000

              March 1, 2006                              $9,100,000
</TABLE>

To the extent not previously paid, all Series A-2 Loans shall be due and
payable on the Tranche A Maturity Date.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   4

                                      -4-

         (b) Series B-1 Loans. The Borrower hereby unconditionally promises to
pay to the Administrative Agent for the account of the Series B-1 Lenders the
outstanding principal amount of the Series B-1 Loans on each Principal Payment
Date set forth below in the aggregate principal amount set forth opposite such
Principal Payment Date:

<TABLE>
<CAPTION>
             Principal Payment Date               Principal Amount
             ----------------------               ----------------
<S>                                               <C>
             September 30, 2001                         $250,000
             December 31, 2001                          $250,000

             March 31, 2002                             $250,000
             June 30, 2002                              $250,000
             September 30, 2002                         $250,000
             December 31, 2002                          $250,000

             March 31, 2003                             $250,000
             June 30, 2003                              $250,000
             September 30, 2003                         $250,000
             December 31, 2003                          $250,000

             March 31, 2004                             $250,000
             June 30, 2004                              $250,000
             September 30, 2004                         $250,000
             December 31, 2004                          $250,000

             March 31, 2005                             $250,000
             June 30, 2005                              $250,000
             September 30, 2005                         $250,000
             December 31, 2005                          $250,000

             March 31, 2006                             $250,000
             June 30, 2006                              $250,000
             August 1, 2006                          $95,000,000
</TABLE>

To the extent not previously paid, all Series B-1 Loans shall be due and
payable on the Tranche B Maturity Date.

         Section 2.04. Applicable Margin. The Applicable Margin for Series A-2
Loans shall be the respective rates provided for the Tranche A Term Loans in
Section 1.01 of the Credit Agreement. The Applicable Margin for Series B-1
Loans shall be the respective rates provided for the Tranche B Term Loans in
Section 1.01 of the Credit Agreement.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   5

                                      -5-

         Section 2.05. Delivery of Lender Addenda. Each Series A-2 Lender and
Series B-1 Lender shall become a party to this Agreement by delivering to each
Agent a Lender Addendum duly executed by such Series A-2 Lender and Series B-1
Lender, the Borrower and the Administrative Agent.

         Section 2.06. Status of Agreement. The Series A-2 Commitments of each
Series A-2 Lender and the Series B-1 Commitments of each Series B-1 Lender
constitute Incremental Loan Commitments, the Series A-2 Lenders and Series B-1
Lenders constitute Incremental Loan Lenders and the Series A-2 Loans and the
Series B-1 Loans each constitute a single Series of Incremental Loans under
Section 2.01(d) of the Credit Agreement.

                                  ARTICLE III

                   REPRESENTATION AND WARRANTIES; NO DEFAULTS

         The Borrower and each Subsidiary Guarantor represents and warrants to
the Lenders and the Administrative Agent, as to itself and each of its
Subsidiaries that, after giving effect to the provisions hereof, (i) each of
the representations and warranties set forth in Article IV of the Credit
Agreement is true and correct on and as of the date hereof as if made on and as
of the date hereof (or, if any such representation or warranty is expressly
stated to have been made as of a specific date, such representation or warranty
is true and correct as of such specific date) and as if each reference therein
to the Credit Agreement or Loan Documents included reference to this Agreement
and (ii) no Default or Event of Default has occurred and is continuing.

                                   ARTICLE IV

                                   CONDITIONS

         The obligations of the Series A-2 Lenders and Series B-1 Lenders to
make Series A-2 Loans and Series B-1 Loans is subject to the conditions
precedent that each of the following conditions shall have been satisfied (or
waived by the Required Series A-2 Lenders and Required Series B-1 Lenders):

                  (a) Counterparts of Agreement. The Administrative Agent (or
         Special Counsel) shall have received from each party hereto either (i)
         a counterpart of this Agreement signed on behalf of such party or (ii)
         written evidence satisfactory to the Administrative Agent (which may
         include telecopy transmission of a signed signature page of this
         Agreement) that such party has signed a counterpart of this Agreement.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   6

                                      -6-

                  (b) Opinion of Counsel to Credit Parties. The Administrative
         Agent (or Special Counsel) shall have received a favorable written
         opinion (addressed to the Administrative Agent and the Series A-2
         Lenders and Series B-1 Lenders and dated the Series A-2 and Series B-1
         Effective Date) of Kean, Miller, Hawthorne, D'Armond, McCowan &
         Jarman, L.L.P., counsel to the Credit Parties, substantially in the
         form of Annex 2, and covering such matters relating to the Credit
         Parties or this Agreement as the Administrative Agent shall request
         (and each Credit Party hereby requests such counsel to deliver such
         opinion).

                  (c) Opinion of Special Counsel. The Administrative Agent
         shall have received a favorable written legal opinion (addressed to
         Administrative Agent, the Series A-2 Lenders and Series B-1 Lenders
         and dated the Series A-2 and Series B-1 Effective Date) of Special
         Counsel, substantially in the form of Annex 3 (and the Administrative
         Agent hereby requests such counsel to deliver such opinion).

                  (d) Corporate Matters. The Administrative Agent (or Special
         Counsel) shall have received such documents and certificates as either
         the Administrative Agent or Special Counsel may reasonably request
         relating to the organization, existence and good standing of each
         Credit Party, the authorization of the Borrowings hereunder and any
         other legal matters relating to the Credit Parties, the Credit
         Agreement or this Agreement, all in form and substance reasonably
         satisfactory to each Agent.

                  (e) Notes. The Administrative Agent (or Special Counsel)
         shall have received for each Series A-2 Lender and Series B-1 Lender
         that shall have requested a promissory note at least one Business Day
         prior to the Series A-2 and Series B-1 Effective Date, a duly
         completed and executed promissory note for such Series A-2 Lender and
         Series B-1 Lender.

                  (f) Fees and Expenses. The Administrative Agent shall have
         received all fees and other amounts due and payable on or prior to the
         Series A-2 and Series B-1 Effective Date, including, to the extent
         invoiced, reimbursement or payment of all out-of-pocket expenses
         required to be reimbursed or paid by the Borrower hereunder.

                  (g) Additional Conditions. The Administrative Agent (or
         Special Counsel) shall have received a certificate, dated the Series
         A-2 and Series B-1 Effective Date and signed by a Financial Officer
         confirming that (i) after giving effect to the Borrowing hereunder
         (under the assumption that such Borrowing had been consummated on the
         first day of the respective periods for which calculations are to be
         made under the covenants in Section 7.09 of the Credit Agreement), the
         Borrower would have been in compliance with the applicable provisions
         of Section 7.09 of the Credit Agreement and (ii) each of the
         applicable conditions precedent set forth in Section 5.03 of the
         Credit Agreement to the making of Series A-2 Loans and Series B-1
         Loans on the Series A-2 and Series B-1 Effective Date shall have been
         satisfied.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   7

                                      -7-

                                   ARTICLE V

                        GUARANTY AND PLEDGE BY HOLDINGS

         By its signature hereto, Holdings confirms that the obligations of the
Borrower under this Agreement and in respect of the Series A-2 Loans and
Series B-1 Loans are entitled to the benefits of the guarantee and pledge set
forth in the Holdings Guaranty and Pledge Agreement and constitute Guaranteed
Obligations and Secured Obligations (in each case, as defined therein).

                                   ARTICLE VI

                                 MISCELLANEOUS

         SECTION 6.01. Expenses. The Obligors jointly and severally agree to
pay, or reimburse the Administrative Agent, Series A-2 Lenders or Series B-1
Lenders for paying, (i) all reasonable out-of-pocket expenses incurred by the
Administrative Agent and its Affiliates, including the reasonable fees, charges
and disbursements of Special Counsel, in connection with the syndication of the
Series A-2 Loans and Series B-1 Loans provided for herein and the preparation
of this Agreement.

         SECTION 6.02. Counterparts; Integration; Effectiveness. This Agreement
may be executed in counterparts (and by different parties hereto on different
counterparts), each of which shall constitute an original, but all of which
when taken together shall constitute a single contract. This Agreement shall
become effective when this Agreement shall have been executed by the
Administrative Agent and when the Administrative Agent shall have received
counterparts hereof and thereof which, when taken together, bear the signatures
of each of the other parties hereto and thereto, and thereafter shall be
binding upon and inure to the benefit of the parties hereto and their
respective successors and assigns. Delivery of an executed counterpart of a
signature page of this Agreement by telecopy shall be effective as delivery of
a manually executed counterpart of this Agreement.

         SECTION 6.03. Governing Law. This Agreement shall be governed by, and
construed in accordance with, the law of the State of New York.

         SECTION 6.04. Headings. Article and Section headings used herein are
for convenience of reference only, are not part of this Agreement and shall not
affect the construction of, or be taken into consideration in interpreting,
this Agreement.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   8

                                      -8-

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

                                       HOLDINGS

                                    LAMAR ADVERTISING COMPANY

                                    By /s/ KEITH A. ISTRE
                                       ----------------------
                                       Title:

                                       BORROWER

                                    LAMAR MEDIA CORP.

                                    By /s/ KEITH A. ISTRE
                                       ----------------------
                                       Title:

                                    SUBSIDIARY GUARANTORS

                                    INTERSTATE LOGOS, INC.
                                    LAMAR ADVERTISING OF COLORADO SPRINGS, INC.
                                    LAMAR TEXAS GENERAL PARTNER, INC.
                                    TLC PROPERTIES, INC.
                                    TLC PROPERTIES II, INC.
                                    LAMAR PENSACOLA TRANSIT, INC.
                                    LAMAR ADVERTISING OF YOUNGSTOWN, INC.
                                    NEBRASKA LOGOS, INC.
                                    MISSOURI LOGOS, INC.
                                    OHIO LOGOS, INC.
                                    UTAH LOGOS, INC.
                                    TEXAS LOGOS, INC.
                                    SOUTH CAROLINA LOGOS, INC.
                                    VIRGINIA LOGOS, INC
                                    MINNESOTA LOGOS, INC.
                                    MICHIGAN LOGOS, INC.

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   9

                                     -9-

                                    FLORIDA LOGOS, INC.
                                    KENTUCKY LOGOS, INC.
                                    NEVADA LOGOS, INC.
                                    TENNESSEE LOGOS, INC.
                                    KANSAS LOGOS, INC.
                                    COLORADO LOGOS, INC.
                                    NEW MEXICO LOGOS, INC.
                                    CANADIAN TODS LIMITED
                                    LAMAR ADVERTISING OF MICHIGAN, INC.
                                    LAMAR ELECTRICAL, INC.
                                    LAMAR ADVERTISING OF WEST VIRGINIA, INC.
                                    LAMAR ADVERTISING OF ASHLAND, INC.
                                    AMERICAN SIGNS, INC.
                                    LAMAR OCI NORTH CORPORATION
                                    LAMAR OCI SOUTH CORPORATION
                                    LAMAR ROBINSON, INC.
                                    LAMAR ADVERTISING OF KENTUCKY, INC.
                                    LAMAR FLORIDA, INC.
                                    LAMAR ADVERTISING OF IOWA, INC.
                                    LAMAR ADVAN, INC.
                                    LAMAR ADVERTISING OF SOUTH DAKOTA, INC.

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

                                    OKLAHOMA LOGOS, L.L.C.
                                    MISSISSIPPI LOGOS, L.LC.
                                    DELAWARE LOGOS, L.L.C.
                                    NEW JERSEY LOGOS, L.L.C.
                                    GEORGIA LOGOS, L.L.C.

                                    By: Interstate Logos, Inc.
                                    Its: Sole and Managing Member

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   10

                                     -10-

                                    INTERSTATE LOGOS, L.L.C.

                                    By: Lamar Media Corp.,
                                    Its Sole and Managing Member

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                              Keith A. Istre
                                              Vice President - Finance and
                                              Chief Financial Officer

                                    LAMAR ADVERTISING OF MACON, L.L.C.

                                    By: The Lamar Company, L.L.C., Its Manager
                                    By: Lamar Media Corp., Its Manager

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

                                    THE LAMAR COMPANY, L.L.C.

                                    By: Lamar Media Corp.,
                                    Its Sole and Managing Member

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   11

                                     -11-

                                    LAMAR ADVERTISING OF PENN, LLC

                                    By: The Lamar Company, L.L.C., Its Manager
                                    By: Lamar Media Corp., Its Manager

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

                                    LAMAR ADVERTISING OF LOUISIANA, L.L.C.
                                    By: The Lamar Company, L.L.C., Its Manager
                                    By: Lamar Media Corp., Its Manager

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

                                    LAMAR TENNESSEE, L.L.C.
                                    By: The Lamar Company, L.L.C., Its Manager
                                    By: Lamar Media Corp., Its Manager

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

                                    LAMAR TEXAS LIMITED PARTNERSHIP

                                    By: Lamar Texas General Partner, Inc.
                                    Its General Partner

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                             Keith A. Istre
                                             Vice President - Finance and
                                             Chief Financial Officer

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   12

                                     -12-

                                    LAMAR AIR, L.L.C.

                                    By: The Lamar Company, L.L.C., Its Manager
                                    By: Lamar Media Corp., Its Manager

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                    Keith A. Istre
                                    Vice President - Finance and
                                    Chief Financial Officer

                                    TLC PROPERTIES, L.L.C.
                                    By: TLC Properties, Inc.
                                    Its Manager

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                    Keith A. Istre
                                    Vice President - Finance and
                                    Chief Financial Officer

                                    LAMAR MW SIGN CORPORATION
                                    LAMAR MARTIN CORPORATION
                                    LAMAR NEVADA SIGN CORPORATION
                                    LAMAR OUTDOOR CORPORATION
                                    LAMAR WHITECO OUTDOOR CORPORATION
                                    DOWLING COMPANY, INCORPORATED
                                    HARDIN DEVELOPMENT CORPORATION
                                    LINDSAY OUTDOOR ADVERTISING INC
                                    PARSONS DEVELOPMENT COMPANY
                                    REVOLUTION OUTDOOR ADVERTISING, INC.
                                    SCENIC OUTDOOR MARKETING &
                                        CONSULTING, INC.

                                    By: /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                           Keith A. Istre
                                           Vice President - Finance and
                                           Chief Financial Officer

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   13

                                     -13-

                                    LAMAR WEST, L.P.
                                    By: Lamar MW Sign Corporation,
                                                   Its General Partner

                                    By:    /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                           Keith A. Istre
                                           Vice President - Finance and
                                           Chief Financial Officer

                                    OUTDOOR PROMOTIONS WEST, LLC
                                    TRANSIT AMERICA LAS VEGAS, L.L.C.
                                    TRIUMPH OUTDOOR LOUISIANA, LLC
                                    TRIUMPH OUTDOOR RHODE ISLAND, LLC

                                    By: Triumph Outdoor Holdings, LLC,
                                        Its Manager

                                    By: Lamar Outdoor Corporation, Its Manager

                                    By:    /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                           Keith A. Istre
                                           Vice President - Finance and
                                           Chief Financial Officer

                                    TRIUMPH OUTDOOR HOLDINGS, LLC

                                    By: Lamar Outdoor Corporation, Its Manager

                                    By:    /s/ KEITH A. ISTRE
                                       ----------------------------------------
                                           Keith A. Istre
                                           Vice President - Finance and
                                           Chief Financial Officer

                                    OUTDOOR WEST, INC. OF TENNESSEE
                                    OUTDOOR WEST, INC. OF GEORGIA
                                    LAMAR ADVERTISING OF TEXAS, INC.
                                    LAMAR ADVANTAGE HOLDING COMPANY

                                    By:    /s/ KEITH A. ISTRE
                                      -----------------------------------------
                                           Keith A. Istre
                                           Vice President-Finance and
                                           Chief Financial Officer

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   14

                                     -14-

                                    LAMAR ADVANTAGE GP COMPANY, L.L.C.
                                    LAMAR ADVANTAGE LP COMPANY, L.L.C.

                                    By:  Lamar Advertising of Texas, Inc.
                                    Its: Sole and Managing Member

                                    By:    /s/ KEITH A. ISTRE
                                      ---------------------------------------
                                           Keith A. Istre
                                           Vice President-Finance and
                                           Chief Financial Officer

                                    LAMAR ADVANTAGE OUTDOOR COMPANY, L.P.

                                    By:  Lamar Advantage GP Company, L.L.C.
                                    Its: General Partner
                                    By:  Lamar Advertising of Texas, Inc.
                                    Its: Sole and Managing Member

                                    By:    /s/ KEITH A. ISTRE
                                      ---------------------------------------
                                           Keith A. Istre
                                           Vice President-Finance and
                                           Chief Financial Officer

                                    LAMAR T.T.R., L.L.C.

                                    By:  Lamar Advertising of Youngstown, Inc.
                                    Its: Sole and Managing Member

                                    By:    /s/ KEITH A. ISTRE
                                      ---------------------------------------
                                           Keith A. Istre
                                           Vice President-Finance and
                                           Chief Financial Officer

                                    AZTEC GROUP, INC.
                                    SUNSHINE SIGN CORP.

                                    By:    /s/ KEITH A. ISTRE
                                      ---------------------------------------
                                           Keith A. Istre
                                           Vice President-Finance and
                                           Chief Financial Officer

              Series A-2 and Series B-1 Incremental Loan Agreement

<PAGE>   15

                                     -15-

                                    ADMINISTRATIVE AGENT

                                       THE CHASE MANHATTAN BANK,
                                        as Administrative Agent

                                       By /s/ WILLIAM ROTTIRO
                                          -------------------------------------
                                          Title:

              Series A-2 and Series B-1 Incremental Loan Agreement
<PAGE>   16

                                                                       ANNEX 1

                           [Form Of Lender Addendum]

                                LENDER ADDENDUM

         Reference is made to the Series A-2 and Series B-1 Incremental Loan
Agreement dated as of June 22, 2000 (the "Series A-2 and Series B-1 Agreement")
between Lamar Advertising Company, Lamar Media Corp. (the "Borrower"), the
Subsidiary Guarantors party thereto, the Series A-2 and Series B-1 Lenders
named therein (the "Series A-2 and Series B-1 Lenders") and The Chase Manhattan
Bank, as Administrative Agent (the "Administrative Agent"), which Series A-2
and Series B-1 Agreement is being entered into pursuant to Section 2.01(d) of
the Credit Agreement dated as of August 13, 1999 (the "Credit Agreement") among
the Borrower, the Subsidiary Guarantors party thereto, the lenders party
thereto and the Administrative Agent. Terms used but not defined in this Lender
Addendum have the meanings assigned to such terms in the Series A-2 and Series
B-1 Agreement and the Credit Agreement.

         By its signature below, and subject to the acceptance hereof by the
Borrower and the Administrative Agent as provided below, the undersigned hereby
becomes a Series A-2 Lender and/or Series B-1 Lender under the Series A-2 and
Series B-1 Agreement, having the Series A-2 Commitment and the Series B-1
Commitment, as applicable, set forth below opposite its name.

         This Lender Addendum shall be governed by, and construed in accordance
with, the law of the State of New York.

         This Lender Addendum may be executed in counterparts (and by different
parties hereto on different counterparts), each of which shall constitute an
original, but all of which when taken together shall constitute a single
contract.

                                Lender Addendum

<PAGE>   17

                                      -2-

         IN WITNESS WHEREOF, the parties hereto have caused this Lender
Addendum to be duly executed and delivered by their proper and duly authorized
officers as of this ___ day of June, 2000.

Amount of Series A-2                 ------------------------------------------
  Commitment:                        [Name of Series A-2 and Series B-1 Lender]

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

Amount of Series B-1
  Commitment                          By:
                                         --------------------------------------
                                         Name:
   $                                     Title:
    ---------------

                                Lender Addendum

<PAGE>   18

                                      -3-

Accepted and agreed:

THE CHASE MANHATTAN BANK,
  As Administrative Agent

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

LAMAR MEDIA CORP.

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

                                Lender Addendum

<PAGE>   19

                                                                       ANNEX 2

                 [Form of Opinion of Counsel to Credit Parties]

                                                                  June 22, 2000

To the Series A-2 Lenders and Series B-1 Lenders
   party to the Series A-2 and Series B-1 Loan
   Agreement referred to below and The Chase Manhattan
   Bank, as Administrative Agent

Ladies and Gentlemen:

         We have acted as counsel to LAMAR ADVERTISING COMPANY ("Holdings"),
LAMAR MEDIA CORP. (herein the "Borrower") and the SUBSIDIARY GUARANTORS, in
connection with the Series A-2 and Series B-1 Incremental Loan Agreement dated
as of June 22, 2000 (the "Series A-2 and Series B-1 Agreement") between Lamar
Advertising Company ("Holdings") Lamar Media Corp. (the "Borrower"), the
Subsidiary Guarantors party thereto, the Series A-2 Lenders and Series B-1
Lenders party thereto (the "Series A-2 Lenders" and "Series B-1 Lenders",
respectively) and The Chase Manhattan Bank, as Administrative Agent (the
"Administrative Agent"), which Series A-2 and Series B-1 Agreement is being
entered into pursuant to Section 2.01(d) of the Credit Agreement dated as of
August 13, 1999 (the "Credit Agreement") between the Borrower, the Subsidiary
Guarantors party thereto, the lenders party thereto and the Administrative
Agent. Terms defined in the Series A-2 and Series B-1 Agreement and Credit
Agreement are used herein as defined therein. This opinion is being delivered
pursuant to clause (b) of Article IV of the Series A-2 and Series B-1
Agreement.

         In rendering the opinions expressed below, we have examined the
following agreements, instruments and other documents:

         (a)      the Series A-2 and Series B-1 Agreement;

         (b)      the Credit Agreement; and

         (c)      the Holdings Guaranty and Pledge Agreement.

The agreements, instruments and other documents referred to in the foregoing
lettered clauses are collectively referred to as the "Credit Documents".

         In our examination, we have assumed the genuineness of all signatures,
the authenticity of all documents submitted to us as originals and the
conformity with authentic

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   20

                                      -2-

original documents of all documents submitted to us as copies. When relevant
facts were not independently established, we have relied upon statements of
governmental officials and upon representations made in or pursuant to the
Credit Documents and certificates of appropriate representatives of the Credit
Parties.

         In rendering the opinions expressed below, we have assumed, with
respect to all of the documents referred to in this opinion letter, that
(except, to the extent set forth in the opinions expressed below, as to the
Credit Parties):

         (i)      such documents have been duly authorized by, have been duly
                  executed and delivered by, and constitute legal, valid,
                  binding and enforceable obligations of, all of the parties to
                  such documents;

         (ii)     all signatories to such documents have been duly authorized;
                  and

         (iii)    all of the parties to such documents are duly organized and
                  validly existing and have the power and authority (corporate
                  or other) to execute, deliver and perform such documents.

         Based upon and subject to the foregoing and subject also to the
comments and qualifications set forth below, and having considered such
questions of law as we have deemed necessary as a basis for the opinions
expressed below, we are of the opinion that:

                  1. Holdings is a corporation duly organized, validly existing
         and in good standing under the laws of the State of Delaware. The
         Borrower is a corporation duly organized, validly existing and in good
         standing under the laws of the State of Delaware. Each Subsidiary of
         the Borrower is a corporation, partnership or other entity duly
         organized, validly existing and in good standing under the laws of the
         respective state indicated opposite its name in Schedule 4.14 to the
         Credit Agreement or pursuant to a Joinder Agreement as required by
         Section 6.10 of the Credit Agreement.

                  2. Each Credit Party has all requisite corporate or other
         power to execute and deliver, and to perform its obligations under,
         the Credit Documents to which it is a party. The Borrower has all
         requisite corporate power to borrow under the Credit Agreement and to
         incur liability in respect of Letters of Credit under the Credit
         Agreement.

                  3. The execution, delivery and performance by each Credit
         Party of each Credit Document to which it is a party, and the
         borrowings and the incurrence of liability in respect of Letters of
         Credit by the Borrower under the Credit Agreement, have been duly
         authorized by all necessary corporate or other action on the part of
         such Credit Party.

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   21

                                      -3-

                  4. Each Credit Document has been duly executed and delivered
         by each Credit Party party thereto.

                  5. Under Louisiana conflict of laws principles, the stated
         choice of New York law to govern the Credit Documents will be honored
         by the courts of the State of Louisiana and the Credit Documents will
         be construed in accordance with, and will be treated as being governed
         by, the law of the State of New York. However, if the Credit Documents
         were stated to be governed by and construed in accordance with the law
         of the State of Louisiana, or if a Louisiana court were to apply the
         law of the State of Louisiana to the Credit Documents, each Credit
         Document would nevertheless constitute the legal, valid and binding
         obligation of each Credit Party party thereto, enforceable against
         such Credit Party in accordance with its terms, except as may be
         limited by bankruptcy, fraudulent conveyance, insolvency,
         reorganization, moratorium or other similar laws relating to or
         affecting the rights of creditors generally and except as the
         enforceability of the Credit Documents is subject to the application
         of general principles of equity (regardless of whether considered in a
         proceeding in equity or at law), including, without limitation, (a)
         the possible unavailability of specific performance, injunctive relief
         or any other equitable remedy and (b) concepts of materiality,
         reasonableness, good faith and fair dealing.

                  6. No authorization, approval or consent of, and no filing or
         registration with, any governmental or regulatory authority or agency
         of the United States of America or the State of Louisiana is required
         on the part of any Credit Party for the execution, delivery or
         performance by any Credit Party of any of the Credit Documents or for
         the borrowings by the Borrower under the Credit Agreement.

                  7. The execution, delivery and performance by each Credit
         Party of, and the consummation by each Credit Party of the
         transactions contemplated by, the Credit Documents to which such
         Credit Party is a party do not and will not (a) violate any provision
         of the charter or by-laws of any Credit Party, (b) violate any
         applicable law, rule or regulation, (c) violate any order, writ,
         injunction or decree of any court or governmental authority or agency
         or any arbitral award applicable to the Credit Parties or any of their
         respective Subsidiaries of which we have knowledge (after due inquiry)
         or (d) based on an opinion of the General Counsel of the Borrower,
         result in a breach of, constitute a default under, require any consent
         under, or result in the acceleration or required prepayment of any
         indebtedness pursuant to the terms of, any agreement or instrument of
         which we have knowledge (after due inquiry) to which the Credit
         Parties or any of their respective Subsidiaries is a party or by which
         any of them is bound or to which any of them is subject, or result in
         the creation or imposition of any Lien upon any property of any Credit
         Party pursuant to, the terms of any such agreement or instrument.

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   22
                                      -4-

                  8. Except as set forth in Schedule 4.06 to the Credit
         Agreement, we have no knowledge (after due inquiry) of any legal or
         arbitral proceedings, or any proceedings by or before any governmental
         or regulatory authority or agency, pending or threatened against or
         affecting the Credit Parties or any of their respective Subsidiaries
         or any of their respective properties that, if adversely determined,
         could have a Material Adverse Effect.

                  The foregoing opinions are subject to the following comments
         and qualifications:

                  (A) The enforceability of Section 10.03 of the Credit
         Agreement may be limited by laws limiting the enforceability of
         provisions exculpating or exempting a party, or requiring
         indemnification of a party for, liability for its own action or
         inaction, to the extent the action or inaction involves gross
         negligence, recklessness, willful misconduct or unlawful conduct.

                  (B) Clause (iii) of the second sentence of Section 3.02 of
         the Credit Agreement may not be enforceable to the extent that the
         Guaranteed Obligations (as defined in the Credit Agreement) are
         materially modified.

                  (C) The enforceability of provisions in the Credit Documents
         to the effect that terms may not be waived or modified except in
         writing may be limited under certain circumstances.

                  (D) We express no opinion as to (i) the effect of the laws of
         any jurisdiction in which any Lender is located (other than the State
         of Louisiana) that limit the interest, fees or other charges such
         Lender may impose for the loan or use of money or other credit, (ii)
         the last sentence of Section 2.16(d) of the Credit Agreement, (iii)
         the first sentence of Section 10.09(b) of the Credit Agreement (and
         any similar provisions in any of the other Credit Documents), insofar
         as such sentence relates to the subject matter jurisdiction of the
         United States District Court for the Southern District of New York to
         adjudicate any controversy related to the Credit Documents and (iv)
         Section 3.06 or 3.09 of the Credit Agreement (and any similar
         provisions in any of the other Credit Documents).

                  (E) We express no opinion as to the applicability to the
         obligations of any Subsidiary Guarantor (or the enforceability of such
         obligations) of Section 548 of the Bankruptcy Code or any other
         provision of law relating to fraudulent conveyances, transfers or
         obligations or of the provisions of the law of the jurisdiction of
         incorporation of any Subsidiary Guarantor restricting dividends, loans
         or other distributions by a corporation for the benefit of its
         stockholders.

         Partners or Associates of this Firm are members of the Bar of the
State of Louisiana and we do not hold ourselves out as being conversant with
the laws of any jurisdiction

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   23

                                      -5-

other than those of the United States of America and the State of Louisiana,
and we express no opinion as to the laws of any jurisdiction other than those
of the United States of America, the State of Louisiana and the General
Corporation Law of the State of Delaware.

         At the request of our clients, this opinion letter is, pursuant to
clause (b) of Article IV of the Series A-2 and Series B-1 Agreement, provided
to you by us in our capacity as counsel to the Credit Parties and may not be
relied upon by any Person for any purpose other than in connection with the
transactions contemplated by the Series A-2 and Series B-1 Agreement without,
in each instance, our prior written consent.

                                             Very truly yours,

                  Form of Opinion of Counsel to Credit Parties

<PAGE>   24

                                                                        ANNEX 3

                      [Form of Opinion of Special Counsel]

                                                        [Date]

To the Series A-2 Lenders and Series B-1
   Lenders and the Administrative Agent party
   to the Series A-2 and Series B-1 Loan
   Agreement and Credit Agreement referred to
   below

Ladies and Gentlemen:

         We have acted as special New York counsel to The Chase Manhattan Bank
("Chase") in connection with the Series A-2 and Series B-1 Incremental Loan
Agreement dated as of June 22, 2000 (the "Series A-2 and Series B-1 Agreement")
between Lamar Advertising Company ("Holdings"), Lamar Media Corp. (the
"Borrower"), the Subsidiary Guarantors party thereto, the Series A-2 and Series
B-1 Lenders party thereto (the "Series A-2 Lenders" and "Series B-1 Lenders",
respectively) and The Chase Manhattan Bank, as Administrative Agent (the
"Administrative Agent"), which Series A-2 and Series B-1 Agreement is being
entered into pursuant to Section 2.01(d) of the Credit Agreement dated as of
August 13, 1999 (the "Credit Agreement") between the Borrower, the Subsidiary
Guarantors party thereto, the lenders party thereto and the Administrative
Agent. Terms defined in the Series A-2 and Series B-1 Agreement and Credit
Agreement are used herein as defined therein. This opinion is being delivered
pursuant to clause (c) of Article IV of the Series A-2 and Series B-1
Agreement.

         In rendering the opinions expressed below, we have examined the
following agreements, instruments and other documents:

         (a)      the Series A-2 and Series B-1 Agreement;

         (b)      the Credit Agreement; and

         (c)      the Holdings Guaranty and Pledge Agreement.

The agreements, instruments and other documents referred to in the foregoing
lettered clauses are collectively referred to as the "Credit Documents".

         In our examination, we have assumed the authenticity of all documents
submitted to us as originals and the conformity with authentic original
documents of all documents

                       Form of Opinion of Special Counsel
<PAGE>   25

                                      -2-

submitted to us as copies. When relevant facts were not independently
established, we have relied upon representations made in or pursuant to the
Credit Documents.

         In rendering the opinions expressed below, we have assumed, with
respect to all of the documents referred to in this opinion letter, that:

         (i)      such documents have been duly authorized by, have been duly
                  executed and delivered by, and (except to the extent set
                  forth in the opinions below as to the Credit Parties)
                  constitute legal, valid, binding and enforceable obligations
                  of, all of the parties to such documents;

         (ii)     all signatories to such documents have been duly authorized;

         (iii)    all of the parties to such documents are duly organized and
                  validly existing and have the power and authority (corporate
                  or other) to execute, deliver and perform such documents; and

         (iv)     the Series A-2 and Series B-1 Agreement has become effective
                  in accordance with the provisions of Section 6.02 thereof.

         Based upon and subject to the foregoing and subject also to the
comments and qualifications set forth below, and having considered such
questions of law as we have deemed necessary as a basis for the opinions
expressed below, we are of the opinion that each of the Credit Documents
constitutes the legal, valid and binding obligation of each Credit Party party
thereto, enforceable against such Credit Party in accordance with its terms,
except as may be limited by bankruptcy, insolvency, reorganization, moratorium,
fraudulent conveyance or other similar laws relating to or affecting the rights
of creditors generally and except as the enforceability of the Credit Documents
is subject to the application of general principles of equity (regardless of
whether considered in a proceeding in equity or at law), including, without
limitation, (a) the possible unavailability of specific performance, injunctive
relief or any other equitable remedy and (b) concepts of materiality,
reasonableness, good faith and fair dealing.

                  The foregoing opinions are subject to the following comments
         and qualifications:

                  (A) The enforceability of Section 10.03(b) of the Credit
         Agreement may be limited by laws limiting the enforceability of
         provisions exculpating or exempting a party, or requiring
         indemnification of a party for, liability for its own action or
         inaction, to the extent the action or inaction involves gross
         negligence, recklessness, willful misconduct or unlawful conduct.

                  (B) Clause (iii) of the second sentence of Section 3.02 of
         the Credit Agreement may not be enforceable to the extent that the
         Guaranteed Obligations (as defined in the Credit Agreement) are
         materially modified.

                       Form of Opinion of Special Counsel
<PAGE>   26

                                      -3-

                  (C) The enforceability of provisions in the Credit Documents
         to the effect that terms may not be waived or modified except in
         writing may be limited under certain circumstances.

                  (D) We express no opinion as to (i) the effect of the laws of
         any jurisdiction in which any Lender is located (other than the State
         of New York) that limit the interest, fees or other charges such
         Lender may impose for the loan or use of money or other credit, (ii)
         the last sentence of Section 2.16(d) of the Credit Agreement, (iii)
         the first sentence of Section 10.09(b) of the Credit Agreement,
         insofar as such sentence relates to the subject matter jurisdiction of
         the United States District Court for the Southern District of New York
         to adjudicate any controversy related to the Credit Documents, (iv)
         the waiver of inconvenient forum set forth in Section 10.09(c) with
         respect to proceedings in the United States District Court for the
         Southern District of New York and (v) Section 3.06 or 3.09 of the
         Credit Agreement.

                  (E) We express no opinion as to the applicability to the
         obligations of any Subsidiary Guarantor (or the enforceability of such
         obligations) of Section 548 of the United States Bankruptcy Code,
         Article 10 of the New York Debtor and Creditor Law or any other
         provision of law relating to fraudulent conveyances, transfers or
         obligations or of the provisions of the law of the jurisdiction of
         incorporation of any Subsidiary Guarantor restricting dividends, loans
         or other distributions by a corporation for the benefit of its
         stockholders.

                  (F) We wish to point out that the obligations of Holdings
         under the Holdings Guaranty and Pledge Agreement, and the rights and
         remedies of the Administrative Agent under Sections 6.05 through 6.09
         (inclusive) of the Holdings Guaranty and Pledge Agreement, may be
         subject to possible limitations upon the exercise of remedial or
         procedural provisions contained in the Holdings Guaranty and Pledge
         Agreement, provided that such limitations do not, in our opinion (but
         subject to the other comments and qualifications set forth in this
         opinion letter), make the remedies and procedures that will be
         afforded to the Administrative Agent and the Secured Parties (as
         defined in the Holdings Guarantee and Pledge Agreement) inadequate for
         the practical realization of the substantive benefits purported to be
         provided to the Administrative Agent and such Secured Parities by the
         Holdings Guaranty and Pledge Agreement.

                  (G) We express no opinion as to the existence of, or the
         right, title or interest of Holdings in, to or under any of the
         Pledged Stock (as defined in the Holdings Guaranty and Pledge
         Agreement).

                  (H) We express no opinion as to the creation, perfection or
         priority of any security interest in any Collateral (as defined in the
         Holdings Guaranty and Pledge Agreement).

                       Form of Opinion of Special Counsel
<PAGE>   27

                                      -4-

         The foregoing opinions are limited to matters involving the Federal
laws of the United States and the law of the State of New York, and we do not
express any opinion as to the laws of any other jurisdiction. At the request of
our client, this opinion is rendered solely to you in connection with the above
matter. This opinion may not be relied upon by you for any other purpose or
relied upon by any other Person (other than your successors and assigns as
Lenders and Persons that acquire participations in your extensions of credit
under the Credit Agreement) without our prior written consent.

                                        Very truly yours,

RJW/WFC

                       Form of Opinion of Special Counsel

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