Document:

New Hires/Subsequent Grants

                   FORM OF MANAGEMENT STOCKHOLDER'S AGREEMENT

            This Management Stockholder's Agreement (this "Agreement") is
entered into as of March __, 2000 between EVENFLO COMPANY, INC., a Delaware
corporation (the "Company"), and __________________ (the "Purchaser") (the
Company and the Purchaser being hereinafter collectively referred to as the
"Parties").

                                    RECITALS

            The Company proposes to sell shares of its Class A Common Stock, par
value $1.00 per share (the "Common Stock"), to key employees of the Company and
certain other investors at a price of $5.00 per share of Common Stock.

            This Agreement is one of several other agreements ("Other
Purchasers' Agreements") which have been, or which in the future will be,
entered into between the Company and other individuals who are or will be key
employees of the Company or one of its subsidiaries (collectively, the "Other
Purchasers"). In addition, the Company has also entered into, and may in the
future enter into, agreements with other purchasers pursuant to which such other
purchasers purchased or will purchase shares of Common Stock.

            The Company has agreed to sell _______________ shares of Common
Stock to Purchaser so that Purchaser shall receive, in the aggregate,
_______________ shares of Common Stock (the "Purchase Stock"). In addition, the
Company will grant to Purchaser an option or options to purchase _________
shares of Common Stock ("Options") at an exercise price of $5.00 per share of
Common Stock pursuant to the terms of the Evenflo Ownership Plan (the "Option
Plan") and the "Non-Qualified Stock Option Agreement" attached hereto as Exhibit
A.

                                    AGREEMENT

            To implement the foregoing and in consideration of the mutual
agreements contained herein, the Parties agree as follows:

            1. Purchase of Stock; Issuance of Options.

            (a) Subject to the terms and conditions hereinafter set forth, the
      Purchaser hereby subscribes for and shall purchase, and the Company shall
      sell to the Purchaser and deliver to the Purchaser (or, at the Purchaser's
      option, the Purchaser's Trust (as hereinafter defined)), the Purchase
      Stock at a purchase price of $5.00 per share on __________ __, 2000 (the
      "Purchase Date"). The Company shall have no obligation to sell any
      Purchase Stock to any person who (i) is a resident or citizen of a state
      or other jurisdiction in which

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                                                                               2

      the sale of the Purchase Stock to him or her would constitute a violation
      of the securities or "blue sky" laws of such jurisdiction or (ii) is not
      an employee of the Company or any of its subsidiaries on the date hereof.

            (b) The aggregate price for the Purchase Stock shall be $__________
      (such amount hereinafter sometimes referred to as the "Purchase Price").
      The Purchase Price shall be paid in the following manner: (i) the
      Purchaser shall deliver to the Company at least three business days prior
      to the Purchase Date cash or a certified bank check or checks payable to
      the order of the Company in the aggregate amount of the Purchase Price or
      (ii) on the Purchase Date the Purchaser shall pay to the Company by wire
      transfer of immediately available funds the aggregate amount of the
      Purchase Price. On the Purchase Date, in consideration of receipt of the
      Purchase Price, the Company will deliver to the Purchaser a certificate,
      registered in the Purchaser's name, for the Purchase Stock, which shall be
      subject to the terms and conditions hereinafter set forth.

            (c) Subject to the terms and conditions hereinafter set forth and
      upon and as of the Purchase Date, the Company shall issue to the Purchaser
      the Options and the Parties shall execute and deliver to each other copies
      of the Non-Qualified Stock Option Agreement concurrently with the issuance
      of the Options.

            2. Purchaser's Representations, Warranties and Agreements.

            (a) The Purchaser agrees and acknowledges that he will not, directly
or indirectly, offer, transfer, sell, assign, pledge, hypothecate or otherwise
dispose of (any such act being herein referred to as a "transfer") any shares of
the Purchase Stock and, at the time of exercise, the Common Stock issuable upon
exercise of the Options (collectively, and, together with any other shares of
Common Stock beneficially owned by the Purchaser as of the date hereof or
hereafter acquired, the "Stock") unless such transfer complies with Section 3 of
this Agreement. Furthermore, if the Purchaser is an "affiliate" (as defined
under Rule 405 of the rules and regulations promulgated under the Act and as
interpreted by the Board of Directors of the Company) of the Company (an
"Affiliate"), the Purchaser agrees and acknowledges that he will not transfer
any shares of the Stock unless (i) the transfer is pursuant to an effective
registration statement under the Securities Act of 1933, as amended, and the
rules and regulations in effect thereunder (the "Act"), and in compliance with
applicable provisions of state securities laws or (ii) (A) counsel for the
Purchaser (which shall be such counsel acceptable to the Company) shall have
furnished the Company with an opinion, satisfactory in form and substance to the
Company, that no such registration is required because of the availability of an
exemption from registration under the Act and such transfer is in compliance
with the applicable provisions of state securities laws and (B) if the Purchaser
is a citizen or resident of any country other than the United States, or the
Purchaser desires to effect any transfer in any such country, counsel for the
Purchaser (which counsel shall be acceptable to the Company) shall have
furnished the Company with an opinion or other advice satisfactory in form and
substance to the Company to the effect that such transfer will comply with the
securities laws of such jurisdiction. Notwithstanding the foregoing, the Company
acknowledges and agrees that any of the following

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                                                                               3

transfers are deemed to be in compliance with the Act and this Agreement and no
opinion of counsel is required in connection therewith: (x) a transfer made
pursuant to Section 4, 5 or 6 hereof, (y) a transfer upon the death of the
Purchaser to his executors, administrators, testamentary trustees, legatees or
beneficiaries (the "Purchaser's Estate") or a transfer to the executors,
administrators, testamentary trustees, legatees or beneficiaries of a person who
has become a holder of Stock in accordance with the terms of this Agreement,
provided that it is expressly understood that any such transferee shall be bound
by the provisions of this Agreement and (z) a transfer made after the Purchase
Date in compliance with the federal securities laws to a trust or custodianship
the beneficiaries of which may include only the Purchaser, his spouse or his
lineal descendants (a "Purchaser's Trust") or a transfer made after the third
anniversary of the Purchase Date to such a trust by a person, other than the
Purchaser, who has become a holder of Stock in accordance with the terms of this
Agreement, provided that such transfer is made expressly subject to this
Agreement and that the transferee agrees in writing to be bound by the terms and
conditions hereof.

            (b) During the term of this Agreement, the certificate (or
certificates) representing the Stock shall bear the following legend:

            "THE SHARES REPRESENTED BY THIS CERTIFICATE MAY NOT BE TRANSFERRED,
            SOLD, ASSIGNED, PLEDGED, HYPOTHECATED OR OTHERWISE DISPOSED OF
            UNLESS SUCH TRANSFER, SALE, ASSIGNMENT, PLEDGE, HYPOTHECATION OR
            OTHER DISPOSITION COMPLIES WITH THE PROVISIONS OF THE MANAGEMENT
            STOCKHOLDER'S AGREEMENT DATED AS OF MARCH ___, 2000 BETWEEN EVENFLO
            COMPANY, INC. (THE "COMPANY") AND THE PURCHASER NAMED ON THE FACE
            HEREOF (A COPY OF WHICH IS ON FILE WITH THE SECRETARY OF THE
            COMPANY)."

            (c) The Purchaser acknowledges that he has been advised that (i) the
Purchase Stock has been registered on Form S-8 under the Act, (ii) a restrictive
legend in the form heretofore set forth shall be placed on the certificates
representing the Stock and (iii) a notation shall be made in the appropriate
records of the Company indicating that the Stock is subject to restrictions on
transfer and appropriate transfer restrictions will be issued to the Company's
transfer agent with respect to the Stock. If the Purchaser is an Affiliate, the
Purchaser also acknowledges that (i) the Stock must be held indefinitely and the
Purchaser must continue to bear the economic risk of the investment in the Stock
unless it is subsequently registered under the Act or an exemption from such
registration is available, (ii) it is not anticipated that there will be any
market on an exchange or a quotation service for the Stock, (iii) when and if
shares of the Stock may be disposed of without registration in reliance on Rule
144 or the rules and regulations promulgated under the Act, such disposition can
be made only in limited amounts in accordance with the terms and conditions of
such Rule, and (iv) if the Rule 144 exemption is not available, public sale
without registration will require compliance with Regulation A or some other
exemption under the Act.

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                                                                               4

            (d) If any shares of the Stock are to be disposed of in accordance
with Rule 144 under the Act or otherwise, the Purchaser shall promptly notify
the Company of such intended disposition and shall deliver to the Company at or
prior to the time of such disposition such documentation as the Company may
reasonably request in connection with such sale and, in the case of a
disposition pursuant to Rule 144, shall deliver to the Company an executed copy
of any notice on Form 144 required to be filed with the Securities and Exchange
Commission (the "SEC").

            (e) The Purchaser agrees that, if any shares of the capital stock of
the Company are offered to the public pursuant to an effective registration
statement under the Act (other than registration of securities issued under an
employee plan), the Purchaser will not effect any public sale or distribution of
any shares of the Stock not covered by such registration statement within 7 days
prior to, or within 180 days after, the effective date of such registration
statement, unless otherwise agreed to in writing by the Company.

            (f) The Purchaser represents and warrants that (i) he has received
and reviewed the documents comprising the Prospectus (the "Prospectus") relating
to the Purchase Stock and the documents referred to therein, certain of which
documents set forth the rights, preferences and restrictions relating to the
Purchase Stock and (ii) he has been given the opportunity to obtain any
additional information or documents and to ask questions and receive answers
about such documents, the Company and the business and prospects of the Company
which he deems necessary to evaluate the merits and risks related to his
investment in the Purchase Stock and to verify the information contained in the
Prospectus and the information received as indicated in this Section 2(f)(ii),
and he has relied solely on such information.

            (g) The Purchaser further represents and warrants that (i) his
financial condition is such that he can afford to bear the economic risk of
holding the Purchase Stock for an indefinite period of time and has adequate
means for providing for his current needs and personal contingencies, (ii) he
can afford to suffer a complete loss of his investment in the Purchase Stock,
(iii) he understands and has taken cognizance of all risk factors related to the
purchase of the Purchase Stock, including those set forth in the Prospectus
referred to above, and (iv) his knowledge and experience in financial and
business matters are such that he is capable of evaluating the merits and risks
of his purchase of the Purchase Stock as contemplated by this Agreement.

            3. Restriction on Transfer.

            Except for transfers permitted by clauses (x), (y) and (z) of
Section 2(a) or a sale of shares of Stock pursuant to an effective registration
statement under the Act filed by the Company (as described herein but excluding
the Form S-8 filed in connection with this agreement) or pursuant to the Sale
Participation Agreement (as defined below), the Purchaser agrees that he will
not transfer, sell, assign, pledge, hypothecate or otherwise dispose of any
shares of the Stock at any time prior to the fifth anniversary of the Purchase
Date. No transfer of

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                                                                               5

any such shares in violation hereof shall be made or recorded on the books of
the Company and any such transfer shall be void and of no effect.

            4. Right of First Refusal.

            If at any time after the fifth anniversary of the Purchase Date, the
Purchaser receives a bona fide offer to purchase any or all of his shares of
Stock (the "Offer") from a third party (the "Offeror") which the Purchaser
wishes to accept, the Purchaser shall cause the Offer to be reduced to writing
and shall notify the Company in writing of his wish to accept the Offer. The
Purchaser's notice shall contain an irrevocable offer to sell such shares of
Stock to the Company (in the manner set forth below) at a purchase price equal
to the price contained in, and on the same terms and conditions of, the Offer,
and shall be accompanied by a true copy of the Offer (which shall identify the
Offeror). At any time within 30 days after the date of the receipt by the
Company of the Purchaser's notice, the Company shall have the right and option
to purchase, or to arrange for a third party to purchase, all of the shares of
Stock covered by the Offer either (i) at the same price and on the same terms
and conditions as the Offer or (ii) if the Offer includes any consideration
other than cash, then at the sole option of the Company, at the equivalent all
cash price, determined in good faith by the Company's Board of Directors, by
delivering a certified bank check or checks in the appropriate amount (and any
such non-cash consideration to be paid) to the Purchaser at the principal office
of the Company against delivery of certificates or other instruments
representing the shares of the Purchase Stock so purchased, appropriately
endorsed by the Purchaser. If at the end of such 30 day period, the Company has
not tendered the purchase price for such shares in the manner set forth above,
the Purchaser may during the succeeding 30 day period sell not less than all of
the shares of Stock covered by the Offer to the Offeror at a price and on terms
no less favorable to the Purchaser than those contained in the Offer. Promptly
after such sale, the Purchaser shall notify the Company of the consummation
thereof and shall furnish such evidence of the completion and time of completion
of such sale and of the terms thereof as may reasonably be requested by the
Company. If, at the end of 30 days following the expiration of the 30 day period
for the Company to purchase the Stock, the Purchaser has not completed the sale
of such shares of the Stock as aforesaid, all the restrictions on sale, transfer
or assignment contained in this Agreement shall again be in effect with respect
to such shares of the Stock.

            5. Purchaser's Resale of Stock and Options to the Company Upon The
               Purchaser's Death or Disability.

            (a) Except as otherwise provided herein, if at any time prior to the
fifth anniversary of the Purchase Date, (i) the Purchaser is still in the employ
of the Company or any subsidiary of the Company, or had retired from the Company
and its subsidiaries (A) at age 65 or over after having been employed by the
Company or any subsidiary for at least five years after the Purchase Date or (B)
at age 55 or over if such Purchaser has been employed with the Company or a
Subsidiary for a minimum of 15 years and after having been employed by the
Company or any subsidiary for at least five years after the Purchase Date
("Retirement") and (ii) the Purchaser either dies or becomes Permanently
Disabled, then the Purchaser, the Purchaser's Estate or a Purchaser's Trust, as
the case may be, shall have the right, for six months (or such

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longer time as determined by the Board of Directors) following the date of death
or Permanent Disability, to (I) sell to the Company, and the Company shall be
required to purchase, on one occasion, all or any portion of the shares of Stock
then held by the Purchaser, the Purchaser's Trust and/or the Purchaser's Estate,
as the case may be, at the Section 5 Repurchase Price, as determined in
accordance with Section 7, and (II) require the Company to pay to the Purchaser
or the Purchaser's Estate or the Purchaser's Trust, as the case may be, an
additional amount equal to the Option Excess Price determined on the basis of a
Section 5 Repurchase Price as provided in Section 8 with respect to the
termination of outstanding Options held by the Purchaser. The Purchaser, the
Purchaser's Estate and/or the Purchaser's Trust, as the case may be, shall send
written notice to the Company of its intention to sell shares of Stock and to
terminate such Options in exchange for the payment referred to in the preceding
sentence (the "Redemption Notice"). The completion of the purchase shall take
place at the principal office of the Company on the tenth business day after the
giving of the Redemption Notice. The Section 5 Repurchase Price and any payment
with respect to the Options as described above shall be paid by delivery to the
Purchaser, the Purchaser's Estate or the Purchaser's Trust, as the case may be,
of a wire transfer of immediately available funds or a certified bank check or
checks in the appropriate amount payable to the order of the Purchaser, the
Purchaser's Estate or the Purchaser's Trust, as the case may be, against
delivery of certificates or other instruments representing the Purchase Stock so
purchased and appropriate documents cancelling the Options so terminated
appropriately endorsed or executed by the Purchaser, the Purchaser's Estate or
the Purchaser's Trust, or his or its duly authorized representative. For
purposes of this Agreement, Purchaser shall be deemed to have a "Permanent
Disability" if the Purchaser is unable to engage in the activities required by
the Purchaser's job by reason of any medically determined physical or mental
impairment which can be expected to result in death or which has lasted or can
be expected to last for a continuous period of not less than 12 months, or if
the majority of the Board of Directors of the Company shall, in good faith,
determine the Purchaser is permanently disabled.

            (b) Notwithstanding anything in Section 5(a) to the contrary and
subject to Section 11, if there exists and is continuing a default or an event
of default on the part of the Company or any subsidiary of the Company under any
loan, guarantee or other agreement under which the Company or any subsidiary of
the Company has borrowed money or if the repurchase referred to in Section 5(a)
would result in a default or an event of default on the part of the Company or
any subsidiary of the Company under any such agreement or if a repurchase would
not be permitted under Delaware General Corporation Law (the "DGCL") (or if the
Company reincorporates in another state, the business corporation law of such
state) (each such occurrence being an "Event"), the Company shall not be
obligated to repurchase any of the Stock or the Options from the Purchaser, the
Purchaser's Estate or the Purchaser's Trust, as the case may be, until the first
business day which is 10 calendar days after all of the foregoing Events have
ceased to exist (the "Repurchase Eligibility Date"); provided, however, that (i)
the number of shares of Stock subject to repurchase under this Section 5(b)
shall be that number of shares of Stock, and (ii) the number of Exercisable
Option Shares (as defined in Section 8) for purposes of calculating the Option
Excess Price payable under this Section 5(b) shall be the number of Exercisable
Option Shares, held by the Purchaser, the Purchaser's Estate or a Purchaser's
Trust,

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                                                                               7

as the case may be, at the time of delivery of a Redemption Notice in accordance
with Section 5(a) hereof; provided, further, that the Repurchase Calculation
Date (as defined herein) shall be determined in accordance with Section 7 as of
the Repurchase Eligibility Date (unless the Section 5 Repurchase Price would be
greater if the Repurchase Calculation Date had been determined as if no Event
had occurred in which case, solely for purposes of this proviso, the Repurchase
Calculation Date shall be determined as if no Event had occurred). All Options
exercisable as of the date of a Redemption Notice shall continue to be
exercisable until the repurchase pursuant to such Redemption Notice.

            (c) Notwithstanding any other provision of this Section 5 to the
contrary and subject to Section 11, the Purchaser, the Purchaser's Estate or the
Purchaser's Trust, as the case may be, shall have the right to withdraw any
Redemption Notice which has been pending for 60 or more days and which has
remained unsatisfied because of the provisions of Section 5(b).

            6. The Company's Option to Repurchase Stock and Options of
               Purchaser.

            (a) If, on or prior to the fifth anniversary of the Purchase Date,
(i) the Purchaser's active employment with the Company (and/or, if applicable,
its subsidiaries) is voluntarily or involuntarily terminated for any reason
whatsoever, with or without Cause, (ii) the beneficiaries of a Purchaser's Trust
shall include any person or entity other than the Purchaser, his spouse or his
lineal descendants, or (iii) the Purchaser shall effect a transfer of any of the
Stock other than as permitted in this Agreement (alternatively, a "Call Event"),
the Company shall have the right to purchase all, but not less than all, of the
shares of the Stock then held by the Purchaser, the Purchaser's Estate or a
Purchaser's Trust at the Section 6 Repurchase Price determined in accordance
with Section 7 hereof; provided, however, that if the termination of employment
results from (A) the death or permanent disability of the Purchaser or (B) the
Retirement (as defined in Section 5(a)) of the Purchaser from the Company or any
of its subsidiaries, the Company shall have the right to purchase all, but not
less than all, of the shares of Stock then held by the Purchaser or a
Purchaser's Trust but the Repurchase Price shall be the Section 5 Repurchase
Price. In the event of Purchaser's active employment with the Company is
terminated by the Company for Cause, all Options (whether or not then
exercisable and whether such Options are held by Purchaser, Purchaser's Trust or
Purchaser's Estate) shall terminate without any payment. The Company shall have
a period of 75 days from the date of a Call Event in which to give notice in
writing to the Purchaser of the exercise of such election ("Call Notice").
Except as set forth above, in the event that the Company exercises its right to
repurchase shares of Stock pursuant to this Section 6, the Company shall also
pay the Purchaser an amount equal to the Option Excess Price determined on the
basis of the Section 6 Repurchase Price or the Section 5 Repurchase Price, as
the case may be, as provided in Section 7, with respect to the termination of
outstanding Options held by the Purchaser.

            (b) The completion of the purchases pursuant to the foregoing shall
take place at the principal office of the Company on the tenth business day
after the giving of notice of the exercise of the option to purchase. The
Section 5 Repurchase Price or the Section 6 Repurchase

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Price, as the case may be, and any payment with respect to the Options as
described above shall be paid by delivery to the Purchaser of a wire transfer of
immediately available funds or a certified bank check or checks in the
appropriate amount payable to the order of the Purchaser against delivery of
certificates or other instruments representing the Purchase Stock so purchased
and appropriate documents cancelling the Options so terminated, appropriately
endorsed or executed by the Purchaser, the Purchaser's Trust or his or its
authorized representative.

            (c) Notwithstanding any other provision of this Section 6 to the
contrary and subject to Section 11, if there exists and is continuing any Event,
the Company shall delay the repurchase of any of the Stock or the Options
(pursuant to a Call Notice given on a timely basis in accordance with Section
6(a) hereof) from the Purchaser, the Purchaser's Estate, or the Purchaser's
Trust, as the case may be, until the Repurchase Eligibility Date; provided,
however, that (i) the number of shares of Stock subject to repurchase under this
Section 6(c) shall be that number of shares of Stock and (ii) the number of
Exercisable Option Shares for purposes of calculating the Option Excess Price
payable under this Section 6(c) shall be the number of Exercisable Option Shares
held by the Purchaser, the Purchaser's Estate or a Purchaser's Trust, as the
case may be, at the time of delivery of a Call Notice in accordance with Section
6(a) hereof; provided, further, that the Repurchase Calculation Date shall be
determined in accordance with Section 7 based on the Repurchase Eligibility Date
(unless the applicable Repurchase Price would be greater if the Repurchase
Calculation Date had been determined as if no Event had occurred, in which case,
solely for purposes of this proviso, the Repurchase Calculation Date shall be
determined as if no Event had occurred). All Options exercisable as of the date
of a Call Notice shall continue to be exercisable until the repurchase pursuant
to such Call Notice.

            7. Determination of Repurchase Price.

            (a) The Section 5 Repurchase Price and the Section 6 Repurchase
Price are hereinafter collectively referred to as the "Repurchase Price." The
Repurchase Price shall be calculated on the basis of the audited financial
statements, if available, or the unaudited financial statements of the Company
or the Market Price Per Share (as defined in Section 7(f)) as of the last day of
the fiscal quarter preceding the later of (i) the fiscal quarter in which the
event giving rise to the repurchase occurs and (ii) the fiscal quarter in which
the Repurchase Eligibility Date occurs (hereinafter called the "Repurchase
Calculation Date"). The event giving rise to the repurchase shall be the death,
permanent disability, retirement or termination of employment, as the case may
be, of the Purchaser, not the giving of any notice required pursuant to Section
5 or 6.

            (b) Prior to a Public Offering (as hereinafter defined) the Section
5 Repurchase Price shall be a per share Repurchase Price equal to $5.00 plus the
amount, if any, by which the Book Value Per Share (as defined in Section 7(d))
as of the Repurchase Calculation Date exceeds $5.00. After a Public Offering,
the Section 5 Repurchase Price shall be a per share Repurchase Price equal to
$5.00 plus the amount, if any, by which the Market Price Per Share as of the
Repurchase Calculation Date exceeds $5.00.

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            (c) Prior to a Public Offering, the Section 6 Repurchase Price shall
be a per share Repurchase Price equal to the lesser of (i) the Book Value Per
Share (as defined in paragraph (d) below) or (ii) $5.00 plus (x) the Percentage
(as defined below) multiplied by (y) the amount, if any, by which the Book Value
Per Share as of the Repurchase Calculation Date exceeds $5.00. After a Public
Offering, the Section 6 Repurchase Price shall be a per share Repurchase Price
equal to the lesser of (i) Market Price Per Share or (ii) $5.00 plus (a) the
Percentage multiplied by (b) the amount, if any, by which the Market Price Per
Share as of the Repurchase Calculation Date exceeds $5.00; provided, however,
that in the event of Purchaser's termination without Cause by the Company
(and/or, if applicable, its subsidiaries) or with Good Reason by the Purchaser,
the Section 6 Repurchase Price shall be the Book Value Per Share or Market Price
Per Share, as the case may be. For purposes of this Agreement the following
definitions shall apply: "Cause" shall mean (i) the Purchaser's willful and
continued failure to perform Purchaser's duties with respect to the Company or
its subsidiaries which continues beyond ten days after a written demand for
substantial performance is delivered to Purchaser by the Company or (ii)
misconduct by Purchaser involving (x) dishonesty or breach of trust in
connection with Purchaser's employment which is reasonably likely to be
injurious to the Company or (y) conduct which would be a reasonable basis for an
indictment of Purchaser for a felony or for a misdemeanor involving moral
turpitude; and "Good Reason" shall mean (i) a material reduction in Purchaser's
base salary or (ii) a substantial reduction in Purchaser's duties and
responsibilities other than as approved by the Chief Executive Officer or
President of the Company.

            The "Percentage" shall be determined as follows:

Repurchase Calculation Date                                  Percentage
---------------------------                                  ----------

Purchase Date through and including the first
  anniversary of the Purchase Date                                0%

After the first anniversary of the Purchase Date
  through and including the second anniversary of the
  Purchase Date                                                  20%

After the second anniversary of the Purchase Date
  through and including the third anniversary of the
  Purchase Date                                                  40%

After the third anniversary of the Purchase Date
  through and including the fourth anniversary of the
  Purchase Date                                                  60%

After the fourth anniversary of the Purchase Date
  through and including the fifth anniversary of the
  Purchase Date                                                  80%

After the fifth anniversary of the Purchase Date                100%

            (d) For purposes of this Agreement, "Book Value Per Share" shall
mean book value per common share on a fully diluted basis determined in
accordance with generally accepted accounting principles, excluding any
extraordinary or unusual items or the effects of purchase accounting adjustments
and amortization thereof, as determined in the discretion of the

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Compensation Committee of the Board of Directors of the Company; provided that
until the date that the foregoing calculation results in a Book Value Per Share
of $5.00 or a per share amount in excess thereof, Book Value Per Share shall be
deemed to equal $5.00 (the "Initial Base Value") if EBITDA (defined as earnings
before interest, taxes, depreciation and amortization and before such
extraordinary and unusual items as determined in the discretion of the Board of
Directors of the Company) for the preceding fiscal year exceeds EBITDA of the
next preceding completed fiscal year. In the event that (A) EBITDA for the
preceding completed fiscal year is lower than or equal to EBITDA of the next
preceding completed fiscal year and (B) Book Value Per Share as calculated in
accordance with the preceding sentence without giving effect to the proviso
thereto is less than $5.00 per share, then Book Value Per Share shall equal the
Initial Base Value less the net loss per share for such fiscal year as
calculated in accordance with the preceding sentence (the "Adjusted Base
Value"). In any subsequent year in which clauses (A) and (B) of the preceding
sentence are satisfied, the Adjusted Base Value shall be further reduced by the
calculation of net loss per share for such preceding completed fiscal year. In
the event that the Initial Base Value has been previously adjusted and (A)
EBITDA for the preceding completed fiscal year is greater than EBITDA of the
next preceding completed fiscal year and (B) Book Value Per Share as calculated
in accordance with the first sentence of this definition without giving effect
to the proviso thereto is less than $5.00 per share, then Book Value Per Share
shall be equal to the greater of the Adjusted Base Value and the amount derived
by calculating Book Value Per Share.

            (e) As used herein the term "Public Offering" shall mean the sale of
shares of Common Stock to the public subsequent to the date hereof pursuant to a
registration statement under the Act which has been declared effective by the
SEC (other than a registration statement on Form S-4 or Form S-8 or any other
similar form) which results in an active trading market in the Common Stock if
such a market does not already exist. A "Qualified Public Offering" shall mean a
Public Offering pursuant to an effective registration statement relating to the
sale of shares of Common Stock held by any of the KKR Affiliates (as defined
below); provided, however, that a "Qualified Public Offering" shall be deemed to
have occurred if there has been a Public Offering and there exists an active
trading market in 40% or more of the Common Stock.

            (f) As used herein the term "Market Price Per Share" shall mean the
price per share equal to the average of the last sale price of the Common Stock
on the Repurchase Calculation Date on each exchange on which the Common Stock
may at the time be listed or, if there shall have been no sales on any of such
exchanges on the Repurchase Calculation Date, the average of the closing bid and
asked prices on each such exchange at the end of the Repurchase Calculation Date
or if there is no such bid and asked price on the Repurchase Calculation Date on
the next preceding date when such bid and asked price occurred or, if the Common
Stock shall not be so listed, the average of the closing sales prices as
reported by NASDAQ or any other nationally recognized stock exchange at the end
of the Repurchase Calculation Date. If the Common Stock is not so listed or
reported by NASDAQ or any other nationally recognized stock exchange, then the
Market Price Per Share shall be the Book Value Per Share.

<PAGE>
                                                                              11

            (g) In determining the Repurchase Price, appropriate and equitable
adjustments shall be made by the Compensation Committee or the Board of
Directors for any future issuances of rights to acquire and securities
convertible into Common Stock and any stock dividends, splits, combinations,
recapitalizations or any other adjustment in the number of outstanding shares of
Common Stock.

            8. Stock Issued to Purchaser Upon Exercise of Stock Options;
               Termination of Options.

            (a) The Company may from time to time grant to the Purchaser, in
addition to the Options, options under the Option Plan to purchase shares of
Common Stock at $5.00 per share or at a different option exercise price. The
term "Purchase Stock" or "Stock" as used in this Agreement shall include all
shares of Common Stock of the Company purchased by the Purchaser pursuant to
this Agreement and issued to the Purchaser by the Company upon exercise of the
Options and of any other stock options held by the Purchaser or by other
acquisition of shares of Common Stock.

            (b) All outstanding Options granted to the Purchaser under the
Option Plan or otherwise, whether or not then exercisable, will be automatically
terminated upon the payment by the Company to the Purchaser (if not otherwise
terminated pursuant to Section 3.2 of the Non-Qualified Stock Option Agreement
relating to such Options), pursuant to the provisions of Sections 5 or 6 of this
Agreement, of an amount equal to the Option Excess Price. If the Option Excess
Price is zero or a negative number, all outstanding stock options granted to the
Purchaser under the Option Plan or otherwise, whether or not then exercisable,
shall be automatically terminated upon the repurchase of Stock as provided in
Sections 5 or 6. The Option Excess Price is the excess, if any, of the Section 5
Repurchase Price or the Section 6 Repurchase Price, depending on which
Repurchase Price is being used to repurchase the remainder of the Stock, over
the option exercise price (as provided in the stock option agreement) multiplied
by the number of Exercisable Option Shares. For purposes hereof, "Exercisable
Option Shares" shall mean the shares of Common Stock which, at the time of
determination of the Option Excess Price, could be purchased by the Purchaser
upon exercise of his outstanding options. Notwithstanding the foregoing, in the
event of the occurrence of a Call Event, all outstanding Options (whether or not
then exercisable) will be automatically terminated without payment therefor.

            9. The Company's Representations and Warranties.

            (a) The Company represents and warrants to the Purchaser that (i)
this Agreement has been duly authorized, executed and delivered by the Company
and (ii) the Purchase Stock, when issued and delivered in accordance with the
terms hereof, will be duly and validly issued, fully paid and nonassessable.

            (b) If the Company shall have engaged in a Public Offering, the
Company will file the reports required to be filed by it under the Act and the
Exchange Act and the rules and

<PAGE>
                                                                              12

regulations adopted by the SEC thereunder, to the extent required from time to
time to enable the Purchaser to sell shares of Stock without registration under
the Act within the limitations of the exemptions provided by (A) Rule 144 or
Rule 144A under the Act, as such Rules may be amended from time to time, or (B)
any similar rule or regulation hereafter adopted by the SEC. Notwithstanding
anything contained in this Section 9(b), the Company may deregister under
Section 12 or 15 of the Exchange Act if it is then permitted to do so pursuant
to the Exchange Act and the rules and regulations thereunder. Nothing in this
Section 9(b) shall be deemed to limit in any manner the restrictions on sales of
Stock contained in this Agreement.

            10. "Piggyback" Registration Rights.

            (a) Effective upon the purchase of Common Stock pursuant to this
Agreement, until the later of (i) the first occurrence of a Qualified Public
Offering (as defined in Section 7(e) above) or (ii) the fifth anniversary of the
Purchase Date, the Purchaser hereby agrees to be bound by all of the terms,
conditions and obligations of the Registration Rights Agreement dated as of
August 20, 1998 between the Company and KKR 1996 Fund L.P. (the "Registration
Rights Agreement") and, in the case of a Qualified Public Offering and subject
to the limitations set forth in this Section 10, shall have all of the rights
and privileges of the Registration Rights Agreement, in each case as if the
Purchaser were an original party (other than the Company) thereto; provided,
however, that the Purchaser shall not have any rights to request registration
under Section 3 of the Registration Rights Agreement; and provided further, that
the Purchaser shall not be bound by any amendments to the Registration Rights
Agreement unless Purchaser consents thereto. Notwithstanding anything to the
contrary contained in the Registration Rights Agreement, the Purchaser's rights
and obligations under the Registration Rights Agreement shall be subject to the
limitations and additional obligations set forth in this Section 10. All shares
of Stock purchased by the Purchaser pursuant to this Agreement and held by the
Purchaser, the Purchaser's Trust or the Purchaser's Estate, including shares
purchased upon the exercise of Options, shall be deemed to be Registrable
Securities as defined in the Registration Rights Agreement.

            (b) The Company will promptly notify the Purchaser in writing (a
"Notice") of any proposed registration (a "Proposed Registration"). If within 15
days of the receipt by the Purchaser of such Notice, the Company receives from
the Purchaser, the Purchaser's Trust or the Purchaser's Estate a written request
(a "Request") to register shares of Stock held by the Purchaser, the Purchaser's
Estate or the Purchaser's Trust (which Request will be irrevocable unless
otherwise mutually agreed to in writing by the Purchaser and the Company),
shares of Stock will be so registered as provided in this Section 10; provided,
however, that for each such registration statement only one Request, which shall
be executed by the Purchaser, the Purchaser's Trust or the Purchaser's Estate,
as the case may be, may be submitted for all Registrable Securities held by the
Purchaser, the Purchaser's Estate and the Purchaser's Trust.

            (c) The maximum number of shares of Stock which will be registered
pursuant to a Request will be the lowest of (i) the number of shares of Stock
then held by the Purchaser (which for purposes of this subparagraph (c) shall
include shares held by the

<PAGE>
                                                                              13

Purchaser, Purchaser's Estate or a Purchaser's Trust), including all shares of
Stock which the Purchaser is then entitled to acquire under an unexercised
Option to the extent then exercisable or (ii) the maximum number of shares of
Stock which the Company can register in the Proposed Registration without
adverse effect on the offering in the view of the managing underwriters (reduced
pro rata with all Other Purchasers) as more fully described in subsection (d) of
this Section 10, (iii) the maximum number of shares which the Purchaser (pro
rata based upon the aggregate number of shares of Common Stock the Purchaser and
all Other Purchasers have requested be registered) and all Other Purchasers are
permitted to register under the Registration Rights Agreement or (iv) the
product of (A) the number of shares of stock then held by the Purchaser and (B)
the quotient determined by dividing (1) the total number of shares of Stock
requested by KKR Affiliates (as defined below) to be registered by the Company
by (2) the aggregate number of shares of Stock owned by the KKR Affiliates.

            (d) If a Proposed Registration involves an underwritten offering and
the managing underwriter advises the Company in writing that, in its opinion,
the number of shares of Stock requested to be included in the Proposed
Registration exceeds the number which can be sold in such offering, so as to be
likely to have an adverse effect on the price, timing or distribution of the
shares of Stock offered in such Public Offering as contemplated by the Company,
then the Company will include in the Proposed Registration (i) first, 100% of
the shares of Stock the Company proposes to sell and (ii) second, to the extent
of the number of shares of Stock requested to be included in such registration
which, in the opinion of such managing underwriter, can be sold without having
the adverse effect referred to above, the number of shares of Stock which the
"Holders" (as defined in the Registration Rights Agreement), including, without
limitation, the Purchaser and Other Purchasers have requested to be included in
the Proposed Registration, such amount to be allocated pro rata among all
requesting Holders on the basis of the relative number of shares of Stock then
held by each such Holder (provided that any shares thereby allocated to any such
Holder that exceed such Holder's request will be reallocated among the remaining
requesting Holders in like manner).

            (e) Upon delivering a Request the Purchaser, the Purchaser's Estate
or Purchaser's Trust (or his or their authorized representative) will, if
requested by the Company, execute and deliver a custody agreement and power of
attorney in form and substance satisfactory to the Company with respect to the
shares of Stock to be registered pursuant to this Section 10 (a "Custody
Agreement and Power of Attorney"). The Custody Agreement and Power of Attorney
will provide, among other things, that the Purchaser, the Purchaser's Estate or
Purchaser's Trust (or his or their authorized representative) will deliver to
and deposit in custody with the custodian and attorney-in-fact named therein a
certificate or certificates representing such shares of Stock (duly endorsed in
blank by the registered owner or owners thereof or accompanied by duly executed
stock powers in blank) and irrevocably appoint said custodian and
attorney-in-fact as the Purchaser's, Purchaser's Estate or Purchaser's Trust's
agent and attorney-in-fact with full power and authority to act under the
Custody Agreement and Power of Attorney on the Purchaser's behalf with respect
to the matters specified therein.

<PAGE>
                                                                              14

            (f) The Purchaser agrees that he will execute such other agreements
as the Company may reasonably request to further evidence the provisions of this
Section 10.

            11. Pro Rata Repurchases.

            Notwithstanding anything to the contrary contained in Sections 5, 6
or 7, if at any time consummation of all purchases and payments to be made by
the Company pursuant to this Agreement and the Other Purchasers' Agreements
would result in an Event, then the Company shall make purchases from, and
payments to, the Purchaser and the Other Purchasers pro rata (on the basis of
the proportion of the number of shares of Stock and the number of Options each
such Purchaser and all Other Purchasers have elected or are required to sell to
the Company) for the maximum number of shares of Stock and shall pay the Option
Excess Price for the maximum number of Options permitted without resulting in an
Event (the "Maximum Repurchase Amount"). The provisions of Section 5(b) and 6(c)
shall apply in their entirety to payments and repurchases with respect to
Options and shares of Stock which may not be made due to the limits imposed by
the Maximum Repurchase Amount under this Section 11. Until all of such Stock and
Options are purchased and paid for by the Company, the Purchaser and the Other
Purchasers whose Stock and Options are not purchased in accordance with this
Section 11 shall have priority, on a pro rata basis, over other purchases of
Common Stock and Options by the Company pursuant to this Agreement and the Other
Purchasers' Agreements.

            12. Rights to Negotiate Repurchase Price.

            Nothing in this Agreement shall be deemed to restrict or prohibit
the Company from purchasing shares of Stock or Options from the Purchaser, at
any time, upon such terms and conditions, and for such price, as may be mutually
agreed upon between the Parties, whether or not at the time of such purchase
circumstances exist which specifically grant the Company the right to purchase,
or the Purchaser the right to sell, shares of Stock or the Company has the right
to pay, or the Purchaser has the right to receive, the Option Excess Price under
the terms of this Agreement.

            13. Covenant Regarding 83(b) Election.

            Except as the Company may otherwise agree in writing, the Purchaser
hereby covenants and agrees that he will make an election provided pursuant to
Treasury Regulation 1.83-2 with respect to the Stock, including without
limitation, the Stock to be acquired pursuant to Section 1 and the Stock to be
acquired upon each exercise of the Purchaser's Options; and Purchaser further
covenants and agrees that he will furnish the Company with copies of the forms
of election the Purchaser files within 30 days after the date hereof, and within
30 days after each exercise of Purchaser's Non-Qualified Options and with
evidence that each such election has been filed in a timely manner.

<PAGE>
                                                                              15

            14. Notice of Change of Beneficiary.

            Immediately prior to any transfer of Stock to a Purchaser's Trust,
the Purchaser shall provide the Company with a copy of the instruments creating
the Purchaser's Trust and with the identity of the beneficiaries of the
Purchaser's Trust. The Purchaser shall notify the Company immediately prior to
any change in the identity of any beneficiary of the Purchaser's Trust.

            15. Expiration of Certain Provisions.

            The provisions contained in Sections 4, 5 and 6 of this Agreement
and the portion of any other provision of this Agreement which incorporates the
provisions of Sections 4, 5 and 6, shall terminate and be of no further force or
effect with respect to any shares of Stock sold by the Purchaser (i) pursuant to
an effective registration statement filed by the Company pursuant to Section 10
hereof or (ii) pursuant to the terms of the Sale Participation Agreement of even
date herewith, among the Purchaser and KKR 1996 Fund L.P.

            The provisions contained in Sections 2(e), 3, 4, 5, 6 and 13 of this
Agreement, and the portion of any other provisions of this Agreement which
incorporate the provisions of such Sections, shall terminate and be of no
further force or effect upon (A) the consummation of a merger, reorganization,
business combination or liquidation of the Company, or a sale of Common Stock
owned by other investors, but only if such merger, reorganization, business
combination, liquidation or sale of Common Stock results in KKR 1996 Fund L.P.,
or any affiliate thereof (collectively, the "KKR Affiliates"), no longer having
the power (i) to elect a majority of the Board of Directors of the Company or
such other corporation which succeeds to the Company's rights and obligations
pursuant to such merger, reorganization, business combination, liquidation or
stock sale, or (ii) if the resulting entity of such merger, reorganization,
business combination, liquidation or stock sale is not a corporation, to select
the general partner(s) or other persons or entities controlling the operations
and business of the resulting entity or (B) a sale of all or substantially all
of the assets of the Company (other than in connection with financing
transactions, sale and leaseback transactions and similar transactions) to a
person who is not a KKR Affiliate.

            16. Recapitalizations, etc.

            The provisions of this Agreement shall apply, to the full extent set
forth herein with respect to the Stock or the Options, to any and all shares of
capital stock of the Company or any capital stock, partnership units or any
other security evidencing ownership interests in any successor or assign of the
Company (whether by merger, consolidation, sale of assets or otherwise) which
may be issued in respect of, in exchange for, or substitution of the Stock or
the Options, by reason of any stock dividend, split, reverse split, combination,
recapitalization, liquidation, reclassification, merger, consolidation or
otherwise.

<PAGE>
                                                                              16

            17. Purchaser's Employment by the Company.

            Nothing contained in this Agreement or in any other agreement
entered into by the Company and the Purchaser contemporaneously with the
execution of this Agreement (i) obligates the Company or any subsidiary of the
Company to employ the Purchaser in any capacity whatsoever or (ii) prohibits or
restricts the Company (or any such subsidiary) from terminating the employment,
if any, of the Purchaser at any time or for any reason whatsoever, with or
without Cause, and the Purchaser hereby acknowledges and agrees that neither the
Company nor any other person has made any representations or promises whatsoever
to the Purchaser concerning the Purchaser's employment or continued employment
by the Company or any subsidiary of the Company.

            18. State Securities Laws.

            The Company hereby agrees to use its best efforts to comply with all
state securities or "blue sky" laws which might be applicable to the sale of the
Stock and the issuance of the Options to the Purchaser.

            19. Binding Effect.

            The provisions of this Agreement shall be binding upon and accrue to
the benefit of the parties hereto and their respective heirs, legal
representatives, successors and assigns. In the case of a transferee permitted
under Section 2(a) hereof, such transferee shall be deemed the Purchaser
hereunder; provided, however, that no transferee (including without limitation,
transferees referred to in Section 2(a) hereof) shall derive any rights under
this Agreement unless and until such transferee has delivered to the Company a
valid undertaking and becomes bound by the terms of this Agreement.

            20. Amendment.

            This Agreement may be amended only by a written instrument signed by
the Parties hereto.

            21. Closing.

            Except as otherwise provided herein, the closing of each purchase
and sale of shares of Stock and the payment of the Option Excess Price, if any,
pursuant to this Agreement shall take place at the principal office of the
Company on the tenth business day following delivery of the notice by either
Party to the other of its exercise of the right to purchase or sell such Stock
hereunder or to cause the payment of the Option Excess Price, if any.

<PAGE>
                                                                              17

            22. Applicable Law.

            The laws of the State of Delaware (or if the Company reincorporates
in another state, of that state) shall govern the interpretation, validity and
performance of the terms of this Agreement, regardless of the law that might be
applied under principles of conflicts of law. Any suit, action or proceeding
against the Purchaser, with respect to this Agreement, or any judgment entered
by any court in respect of any thereof, may be brought in any court of competent
jurisdiction in the State of Delaware (or if the Company reincorporates in
another state, in that state) or the State of New York, as the Company may elect
in its sole discretion, and the Purchaser hereby submits to the non-exclusive
jurisdiction of such courts for the purpose of any such suit, action, proceeding
or judgment. By the execution and delivery of this Agreement, the Purchaser
appoints The Corporation Trust Company, at its office in New York, New York or
Wilmington, Delaware (or if the Company reincorporates in another state, an
office in that state), as the case may be, as his agent upon which process may
be served in any such suit, action or proceeding. Service of process upon such
agent, together with notice of such service given to the Purchaser in the manner
provided in Section 25 hereof, shall be deemed in every respect effective
service of process upon him in any suit, action or proceeding. Nothing herein
shall in any way be deemed to limit the ability of the Company to serve any such
writs, process or summonses in any other manner permitted by applicable law or
to obtain jurisdiction over the Purchaser, in such other jurisdictions and in
such manner, as may be permitted by applicable law. The Purchaser hereby
irrevocably waives any objections which he may now or hereafter have to the
laying of the venue of any suit, action or proceeding arising out of or relating
to this Agreement brought in any court of competent jurisdiction in the State of
Delaware (or if the Company reincorporates in another state, in that state) or
the State of New York, and hereby further irrevocably waives any claim that any
such suit, action or proceeding brought in any such court has been brought in
any inconvenient forum. No suit, action or proceeding against the Company with
respect to this Agreement may be brought in any court, domestic or foreign, or
before any similar domestic or foreign authority other than in a court of
competent jurisdiction in the State of Delaware (or if the Company
reincorporates in another state, in that state) or the State of New York, and
the Purchaser hereby irrevocably waives any right which he may otherwise have
had to bring such an action in any other court, domestic or foreign, or before
any similar domestic or foreign authority. The Company hereby submits to the
jurisdiction of such courts for the purpose of any such suit, action or
proceeding. EACH PARTY IRREVOCABLY AND UNCONDITIONALLY WAIVES TRIAL BY JURY IN
ANY LEGAL ACTION OR PROCEEDING IN RELATION TO THIS AGREEMENT AND FOR ANY
COUNTERCLAIM THEREIN.

            23. Assignability of Certain Rights by the Company.

            The Company shall have the right to assign any or all of its rights
or obligations to purchase shares of Stock pursuant to Sections 4, 5 and 6
hereof; provided, however, that the Company shall remain obligated to perform
its obligations notwithstanding such assignment in the event that such assignee
fails to perform the obligations so assigned to it.

<PAGE>
                                                                              18

            24. Miscellaneous.

            In this Agreement (i) all references to "dollars" or "$" are to
United States dollars and (ii) the word "or" is not exclusive. If any provision
of this Agreement shall be declared illegal, void or unenforceable by any court
of competent jurisdiction, the other provisions shall not be affected, but shall
remain in full force and effect.

            25. Notices.

            All notices and other communications provided for herein shall be in
writing and shall be deemed to have been duly given if delivered by hand
(whether by overnight courier or otherwise) or sent by registered or certified
mail, return receipt requested, postage prepaid, to the Party to whom it is
directed:

            (a)   If to the Company, to it at the following address:

                  c/o Kohlberg Kravis Roberts & Co.
                  9 West 57th Street
                  Suite 4200
                  New York, New York  10019

                  Attn:  Marc Lipschultz

            with a copy to:

                  Simpson Thacher & Bartlett
                  425 Lexington Avenue
                  New York, New York  10017-3909

                  Attn:  Arthur D. Robinson, Esq.

            (b)   If to the Purchaser, to him at the address set forth below
                  under his signature;

                  or at such other address as either party shall have specified
                  by notice in writing to the other.

            26. Covenant Not to Compete; Confidential Information.

            (a) In consideration of the Company entering into this Agreement
with the Purchaser, the Purchaser hereby agrees effective as of the Purchase
Date, for so long as the Purchaser is employed by the Company or one of its
subsidiaries and for a period of one year thereafter (the "Noncompete Period"),
the Purchaser shall not, directly or indirectly, engage in the production, sale
or distribution of any product produced, sold or distributed by the Company

<PAGE>
                                                                              19

or its subsidiaries on the date hereof or during the Noncompete Period anywhere
in the world in which the Company or its subsidiaries is doing business other
than through the Purchaser's employment with the Company or any of its
subsidiaries. At the Company's option, the Noncompete Period may be extended for
an additional one year period if (i) within nine months of the termination of
the Purchaser's employment, the Company gives the Purchaser notice of such
extension and (ii) beginning with the first anniversary of such termination, the
Company pays the Purchaser an amount equal to the Purchaser's base salary on the
date of the termination of his employment. Such amount shall be paid in
installments in a manner consistent with the then current salary payment
policies of the Company. For purposes of this Agreement, the phrase "directly or
indirectly engage in" shall include any direct or indirect ownership or profit
participation interest in such enterprise, whether as an owner, stockholder,
member, partner, joint venturer of otherwise, and shall include any direct or
indirect participation in such enterprise as a consultant, licensor of
technology or otherwise.

            (b) The Purchaser will not disclose or use at any time any
Confidential Information (as defined below) of which the Purchaser is or becomes
aware, whether or not such information is developed by him, except to the extent
that such disclosure or use is directly related to and required by the
Purchaser's performance of duties, if any, assigned to the Purchaser by the
Company. As used in this Agreement, the term "Confidential Information" means
information that is not generally known to the public and that is used,
developed or obtained by the Company or its subsidiaries in connection with its
business, including but not limited to (i) products or services, (ii) fees,
costs and pricing structures, (iii) designs, (iv) computer software, including
operating systems, applications and program listings, (v) flow charts, manuals
and documentation, (vi) data bases, (vii) accounting and business methods,
(viii) inventions, devices, new developments, methods and processes, whether
patentable or unpatentable and whether or not reduced to practice, (ix)
customers and clients and customer or client lists, (x) other copyrightable
works, (xi) all technology and trade secrets, and (xii) all similar and related
information in whatever form. Confidential Information will not include any
information that has been published in a form generally available to the public
prior to the date the Purchaser proposes to disclose or use such information.
The Purchaser acknowledges and agrees that all copyrights, works, inventions,
innovations, improvements, developments, patents, trademarks and all similar or
related information which relate to the actual or anticipated business of the
Company and its subsidiaries (including its predecessors) and conceived,
developed or made by the Purchaser while employed by the Company or its
subsidiaries belong to the Company. The Purchaser will perform all actions
reasonably requested by the Company (whether during or after the Noncompete
Period) to establish and confirm such ownership at the Company's expense
(including without limitation assignments, consents, powers of attorney and
other instruments).

            (c) Notwithstanding clauses (a) and (b) above, if at any time a
court holds that the restrictions stated in such clauses (a) and (b) are
unreasonable or otherwise unenforceable under circumstances then existing, the
parties hereto agree that the maximum period, scope or geographic area
determined to be reasonable under such circumstances by such court will be
substituted for the stated period, scope or area. Because the Purchaser's
services are unique and because the Purchaser has had access to Confidential
Information, the parties hereto agree that

<PAGE>
                                                                              20

money damages will be an inadequate remedy for any breach of this Agreement. In
the event a breach or threatened breach of this Agreement, the Company or its
successors or assigns may, in addition to other rights and remedies existing in
their favor, apply to any court of competent jurisdiction for specific
performance and/or injunctive relief in order to enforce, or prevent any
violations of, the provisions hereof (without the posting of a bond or other
security).

            (d) Notwithstanding the foregoing paragraphs (a), (b) and (c), the
provisions of any employment agreement in effect on the date hereof between the
Company and Purchaser which contains covenants relating to confidentiality and
competition shall supersede and replace the provisions of paragraphs (a), (b)
and (c) and shall be deemed incorporated by reference in this Agreement in their
entirety.

<PAGE>
                                                                              21

            IN WITNESS WHEREOF, the Parties have executed this Agreement as of
the date first above written.

                                       EVENFLO COMPANY, INC.

                                       By_________________________________
                                       Name:
                                       Title:

                                       _________________________________________
                                                   Purchaser (print)

                                       _________________________________________
                                                   Purchaser Signature

                                       _________________________________________

                                       _________________________________________
                                                  Address of Purchaser

<PAGE>

                                                                       EXHIBIT A

                  Form of Non-Qualified Stock Option Agreement

[See Exhibit B to the Prospectus.]INITIAL GRANT

                             EVENFLO OWNERSHIP PLAN

                  FORM OF NON-QUALIFIED STOCK OPTION AGREEMENT

            THIS AGREEMENT, dated as of March __, 2000, is made by and between
Evenflo Company, Inc., a Delaware corporation (the "Company"), and
_____________________, an employee of the Company or a Subsidiary (as defined
below) or Affiliate (as defined below) of the Company ("Optionee").

            WHEREAS, the Company wishes to afford the Optionee the opportunity
to purchase shares of its Common Stock, par value $1.00 per share (the "Common
Stock");

            WHEREAS, the Company wishes to carry out the Plan (as hereinafter
defined), the terms of which are hereby incorporated by reference and made a
part of this Agreement; and

            WHEREAS, the Committee (as hereinafter defined), appointed to
administer the Plan, has determined that it would be to the advantage and best
interest of the Company and its stockholders to grant the Options (as
hereinafter defined) provided for herein to the Optionee as an incentive for
increased efforts during his term of office with the Company or its Subsidiaries
or Affiliates, and has advised the Company thereof and instructed the
undersigned officers to issue said Options;

            NOW, THEREFORE, in consideration of the mutual covenants herein
contained and other good and valuable consideration, receipt of which is hereby
acknowledged, the parties hereto do hereby agree as follows:

                                    ARTICLE I

                                   DEFINITIONS

            Whenever the following terms are used in this Agreement, they shall
have the meaning specified in the Plan or below unless the context clearly
indicates to the contrary.

Section 1.1 - Affiliate

            "Affiliate" shall mean, with respect to the Company, any corporation
directly or indirectly controlling, controlled by, or under common control with,
the Company or any other entity designated by the Board of Directors of the
Company in which the Company or an Affiliate has an interest.

<PAGE>
                                                                               2

Section 1.2 - Cause

            "Cause" shall mean (i) the Optionee's willful and continued failure
to perform Optionee's duties with respect to the Company or its subsidiaries
after a written demand for substantial performance is delivered to Optionee by
the Company or (ii) misconduct by Optionee involving (x) dishonesty or breach of
trust in connection with Optionee's employment which is reasonably likely to be
injurious to the Company or (y) conduct which would be a reasonable basis for an
indictment of Optionee for a felony or for a misdemeanor involving moral
turpitude.

Section 1.3 - Change of Control

      A "Change of Control" means (i) a sale of all or substantially all of the
assets of the Company to a Person or Group who is not an Affiliate of Kohlberg
Kravis Roberts & Co., L.P. ("KKR"), (ii) a sale by KKR or any of its Affiliates
resulting in (A) more than 50% of the voting stock of the Company being held by
a Person or Group that does not include KKR or any of its Affiliates and (B)
more than 50% of the seats on the Board of Directors of the Company being
controlled by or being designees of a party or parties other than KKR or any of
its Affiliates, or (iii) a merger or consolidation of the Company into another
Person which is not an Affiliate of KKR.

Section 1.4 - Code

            "Code" shall mean the Internal Revenue Code of 1986, as amended.

Section 1.5 - Committee

            "Committee" shall mean the Compensation Committee of the Board of
Directors of the Company.

Section 1.6 - Grant Date

            "Grant Date" shall mean the date on which the Options provided for
in this Agreement were granted.

Section 1.7 - Group

            "Group" means two or more Persons acting together as a partnership,
limited partnership, syndicate or other group for the purpose of acquiring,
holding or disposing of securities of the Company.

<PAGE>
                                                                               3

Section 1.8 - Management Stockholder's Agreement

            "Management Stockholder's Agreement" shall mean the Management
Stockholder's Agreement dated as of the date hereof between the Optionee and the
Company.

Section 1.9 - Options

            "Options" shall mean the non-qualified options to purchase Common
Stock granted under this Agreement.

Section 1.10 - Permanent Disability

            The Optionee shall be deemed to have a "Permanent Disability" if the
Optionee is unable to engage in the activities required by the Optionee's job by
reason of any medically determined physical or mental impairment which can be
expected to result in death or which has lasted or can be expected to last for a
continuous period of not less than 12 months, or if the majority of the Board of
Directors of the Company shall, in good faith, determine the Optionee is
permanently disabled.

Section 1.11 - Person

            "Person" means an individual, partnership, corporation, business
trust, joint stock company, trust, unincorporated association, joint venture,
governmental authority or other entity of whatever nature.

Section 1.12 - Plan

            "Plan" shall mean the Evenflo Ownership Plan.

Section 1.13 - Pronouns

            The masculine pronoun shall include the feminine and neuter, and the
singular the plural, where the context so indicates.

Section 1.14 - Reorganization Date

            "Reorganization Date" shall mean August 20, 1998.

Section 1.15 - Retirement

            "Retirement" shall mean (i) retirement at age 65 or over after
having been employed by the Company or any subsidiary for at least five years
after the Grant Date or (ii) retirement at age 55 or over if such Optionee has
been employed with the Company and/or a

<PAGE>
                                                                               4

Subsidiary for a minimum of 15 years and after having been employed by the
Company and/or any Subsidiary for at least five years after the Grant Date.

Section 1.16 - Secretary

            "Secretary" shall mean the Secretary of the Company.

Section 1.17 - Subsidiary

            "Subsidiary" shall mean any company in an unbroken chain of
companies beginning with the Company if each of the companies, or group of
commonly controlled companies (other than the last company in the unbroken
chain), then owns stock possessing 50% or more of the total combined voting
power of all classes of stock in one of the other companies in such chain.

                                   ARTICLE II

                                GRANT OF OPTIONS

Section 2.1 - Grant of Options

            For good and valuable consideration, on and as of the date hereof
the Company irrevocably grants to the Optionee an Option to purchase any part or
all of an aggregate of the number of shares set forth with respect to each such
Option on the signature page hereof of its Common Stock upon the terms and
conditions set forth in this Agreement.

Section 2.2 - Exercise Price

            Subject to Section 2.4, the exercise price of the shares of stock
covered by the Options shall be $5.00 per share without commission or other
charge.

Section 2.3 - Consideration to the Company

            In consideration of the granting of these Options by the Company,
the Optionee agrees to render faithful and efficient services to the Company or
a Subsidiary or Affiliate, with such duties and responsibilities as the Company
shall from time to time prescribe. Nothing in this Agreement or in the Plan
shall confer upon the Optionee any right to continue in the employ of the
Company or any Subsidiary or Affiliate or shall interfere with or restrict in
any way the rights of the Company and its Subsidiaries or Affiliates, which are
hereby expressly reserved, to terminate the employment of the Optionee at any
time for any reason whatsoever, with or without cause.

<PAGE>
                                                                               5

Section 2.4 - Adjustments to Options Pursuant to Merger, Consolidation, etc.

            Subject to Section 9 of the Plan, in the event that the outstanding
shares of the stock subject to an Option are, from time to time, changed into or
exchanged for a different number or kind of shares of the Company or other
securities of the Company by reason of a merger, consolidation,
recapitalization, reclassification, stock split, stock dividend, combination of
shares, or otherwise, the Committee shall make an appropriate and equitable
adjustment in the number and kind of shares and/or the amount of consideration
as to which or for which, as the case may be, such Option, or portions thereof
then unexercised, shall be exercisable. Any such adjustment made by the
Committee shall be final and binding upon the Optionee, the Company and all
other interested persons.

                                   ARTICLE III

                            PERIOD OF EXERCISABILITY

Section 3.1 - Commencement of Exercisability

            (a) Options shall become exercisable as follows:

                                            Percentage of Option
Date Option                                 Shares Granted As to Which
Becomes Exercisable                         Option Is Exercisable
-------------------                         ---------------------

After the first anniversary
  of the Reorganization Date                          20%

After the second anniversary
  of the Reorganization Date                          40%

After the third anniversary
  of the Reorganization Date                          60%

After the fourth anniversary
  of the Reorganization Date                          80%

After the fifth anniversary
  of the Reorganization Date                          100%

            Notwithstanding the foregoing, the Option shall become immediately
exercisable as to 100% of the shares of Common Stock subject to such Option
immediately prior to a Change of Control (but only to the extent such Option has
not otherwise terminated or become exercisable).

<PAGE>
                                                                               6

            (b) Notwithstanding the foregoing, no Option shall become
exercisable as to any additional shares of Common Stock following the
termination of employment of the Optionee for any reason other than a
termination of employment because of death, Permanent Disability or Retirement
of the Optionee and any Option (other than as provided in the next succeeding
sentence) which is not exercisable as of the Optionee's termination of
employment shall be immediately cancelled. In the event of a termination of
employment because of such death, Permanent Disability or Retirement, the
Options shall immediately become exercisable as to all shares of Common Stock
subject thereto.

Section 3.2 - Expiration of Options

            Except as otherwise provided in Section 5 or 6 of the Management
Stockholder's Agreement, the Options may not be exercised to any extent by the
Optionee after the first to occur of the following events:

            (a) The tenth anniversary of the Grant Date; or

            (b) The first anniversary of the date of the Optionee's termination
      of employment by reason of death, Permanent Disability or Retirement; or

            (c) The first business day which is fifteen calendar days after the
      earlier of (i) 75 days after termination of employment of the Optionee for
      any reason other than for death, Permanent Disability or Retirement
      (except as to the extent described in clause (e) below) or (ii) the
      delivery of notice by the Company that it does not intend to exercise its
      call right under Section 6 of the Management Stockholder's Agreement;
      provided, however, that in any event the Options shall remain exercisable
      under this subsection 3.2(c) until at least 45 days after termination of
      employment of the Optionee for any reason other than for death, Permanent
      Disability or Retirement; or

            (d) The date the Option is terminated pursuant to Section 5, 6 or
      8(b) of the Management Stockholder's Agreement;

            (e) The date of an Optionee's termination of employment by the
      Company for Cause; or

            (f) If the Committee so determines pursuant to Section 9 of the
      Plan, the effective date of either the merger or consolidation of the
      Company into another Person, or the exchange or acquisition by another
      Person of all or substantially all of the Company's assets or 80% or more
      of its then outstanding voting stock, or the recapitalization,
      reclassification, liquidation or dissolution of the Company. At least ten
      (10) days prior to the effective date of such merger, consolidation,
      exchange, acquisition, recapitalization, reclassification, liquidation or
      dissolution, the Committee shall give the Optionee notice of such event if
      the Option has then neither been fully exercised nor become unexercisable
      under this Section 3.2.

<PAGE>
                                                                               7

                                   ARTICLE IV

                               EXERCISE OF OPTION

Section 4.1 - Person Eligible to Exercise

            Except as otherwise provided in the Management Stockholder's
Agreement, during the lifetime of the Optionee, only he may exercise an Option
or any portion thereof. After the death of the Optionee, any exercisable portion
of an Option may, prior to the time when an Option becomes unexercisable under
Section 3.2, be exercised by his personal representative or by any person
empowered to do so under the Optionee's will or under the then applicable laws
of descent and distribution.

Section 4.2 - Partial Exercise

            Any exercisable portion of an Option or the entire Option, if then
wholly exercisable, may be exercised in whole or in part at any time prior to
the time when the Option or portion thereof becomes unexercisable under Section
3.2; provided, however, that any partial exercise shall be for whole shares of
Common Stock only.

Section 4.3 - Manner of Exercise

            An Option, or any exercisable portion thereof, may be exercised
solely by delivering to the Secretary or his office all of the following prior
to the time when the Option or such portion becomes unexercisable under Section
3.2:

            (a) Notice in writing signed by the Optionee or the other person
      then entitled to exercise the Option or portion thereof, stating that the
      Option or portion thereof is thereby exercised, such notice complying with
      all applicable rules established by the Committee;

            (b) Full payment (in cash, by check or by a combination thereof) for
      the shares with respect to which such Option or portion thereof is
      exercised;

            (c) A bona fide written representation and agreement, in a form
      satisfactory to the Committee, signed by the Optionee or other person then
      entitled to exercise such Option or portion thereof, stating that the
      shares of stock are being acquired for his own account, for investment and
      without any present intention of distributing or reselling said shares or
      any of them except as may be permitted under the Securities Act of 1933,
      as amended (the "Act"), and then applicable rules and regulations
      thereunder, and that the Optionee or other person then entitled to
      exercise such Option or portion thereof will indemnify the Company against
      and hold it free and harmless from any loss, damage, expense or liability
      resulting to the Company if any sale or distribution of the shares by such
      person is contrary to the representation and

<PAGE>
                                                                               8

      agreement referred to above; provided, however, that the Committee may, in
      its absolute discretion, take whatever additional actions it deems
      appropriate to ensure the observance and performance of such
      representation and agreement and to effect compliance with the Act and any
      other federal or state securities laws or regulations;

            (d) Full payment to the Company of all amounts which, under federal,
      state or local law, it is required to withhold upon exercise of the
      Option; and

            (e) In the event the Option or portion thereof shall be exercised
      pursuant to Section 4.1 by any person or persons other than the Optionee,
      appropriate proof of the right of such person or persons to exercise the
      option.

Without limiting the generality of the foregoing, the Committee may require an
opinion of counsel acceptable to it to the effect that any subsequent transfer
of shares acquired on exercise of an Option does not violate the Act, and may
issue stop-transfer orders covering such shares. Share certificates evidencing
stock issued on exercise of this Option shall bear an appropriate legend
referring to the provisions of subsection (c) above and the agreements herein.
The written representation and agreement referred to in subsection (c) above
shall, however, not be required if the shares to be issued pursuant to such
exercise have been registered under the Act, and such registration is then
effective in respect of such shares.

Section 4.4 - Conditions to Issuance of Stock Certificates

            The shares of stock deliverable upon the exercise of an Option, or
any portion thereof, may be either previously authorized but unissued shares or
issued shares which have then been reacquired by the Company. Such shares shall
be fully paid and nonassessable. The Company shall not be required to issue or
deliver any certificate or certificates for shares of stock purchased upon the
exercise of an Option or portion thereof prior to fulfillment of all of the
following conditions:

            (a) The obtaining of approval or other clearance from any state or
      federal governmental agency which the Committee shall, in its absolute
      discretion, determine to be necessary or desirable; and

            (b) The lapse of such reasonable period of time following the
      exercise of the Option as the Committee may from time to time establish
      for reasons of administrative convenience.

Section 4.5 - Rights as Stockholder

            The holder of an Option shall not be, nor have any of the rights or
privileges of, a stockholder of the Company in respect of any shares purchasable
upon the exercise of the Option or any portion thereof unless and until
certificates representing such shares shall have been issued by the Company to
such holder.

<PAGE>
                                                                               9

                                    ARTICLE V

                                  MISCELLANEOUS

Section 5.1 - Administration

            The Committee shall have the power to interpret the Plan and this
Agreement and to adopt such rules for the administration, interpretation and
application of the Plan as are consistent therewith and to interpret or revoke
any such rules. All actions taken and all interpretations and determinations
made by the Committee shall be final and binding upon the Optionee, the Company
and all other interested persons. No member of the Committee shall be personally
liable for any action, determination or interpretation made in good faith with
respect to the Plan or the Options. In its absolute discretion, the Board of
Directors may at any time and from time to time exercise any and all rights and
duties of the Committee under the Plan and this Agreement.

Section 5.2 - Options Not Transferable

            Except as provided in the Management Stockholder's Agreement,
neither the Options nor any interest or right therein or part thereof shall be
liable for the debts, contracts or engagements of the Optionee or his successors
in interest or shall be subject to disposition by transfer, alienation,
anticipation, pledge, encumbrance, assignment or any other means whether such
disposition be voluntary or involuntary or by operation of law by judgment,
levy, attachment, garnishment or any other legal or equitable proceedings
(including bankruptcy), and any attempted disposition thereof shall be null and
void and of no effect; provided, however, that this Section 5.2 shall not
prevent transfers made solely for estate planning purposes or by will or by the
applicable laws of descent and distribution.

Section 5.3 - Shares to Be Reserved

            The Company shall at all times during the term of the Options
reserve and keep available such number of shares of stock as will be sufficient
to satisfy the requirements of this Agreement.

Section 5.4 - Notices

            Any notice to be given under the terms of this Agreement to the
Company shall be addressed to the Company in care of its Secretary, and any
notice to be given to the Optionee shall be addressed to him at the address
given beneath his signature hereto. By a notice given pursuant to this Section
5.4, either party may hereafter designate a different address for notices to be
given to him. Any notice which is required to be given to the Optionee shall, if
the Optionee is then deceased, be given to the Optionee's personal
representative if such representative has previously informed the Company of his
status and address by written notice under this Section 5.4. Any notice shall
have been deemed duly

<PAGE>
                                                                              10

given when enclosed in a properly sealed envelope or wrapper addressed as
aforesaid, deposited (with postage prepaid) in a post office or branch post
office regularly maintained by the United States Postal Service.

Section 5.5 - Titles

            Titles are provided herein for convenience only and are not to serve
as a basis for interpretation or construction of this Agreement.

Section 5.6 - Applicability of Plan and Management Stockholder's Agreement

            The Options and the shares of Common Stock issued to the Optionee
upon exercise of the Options shall be subject to all of the terms and provisions
of the Plan and the Management Stockholder's Agreement, to the extent applicable
to the Options and such shares. In the event of any conflict between this
Agreement and the Plan, the terms of the Plan shall control. In the event of any
conflict between this Agreement or the Plan and the Management Stockholder's
Agreement, the terms of the Management Stockholder's Agreement shall control.

Section 5.7 - Amendment

            This Agreement may be amended only by a writing executed by the
parties hereto which specifically states that it is amending this Agreement.

Section 5.8 - Governing Law

            The laws of the State of Delaware (or if the Company reincorporates
in another state, the laws of that state) shall govern the interpretation,
validity and performance of the terms of this Agreement regardless of the law
that might be applied under principles of conflicts of laws.

Section 5.9 - Jurisdiction

            Any suit, action or proceeding against the Optionee with respect to
this Agreement, or any judgment entered by any court in respect of any thereof,
may be brought in any court of competent jurisdiction in the State of Delaware
(or if the Company reincorporates in another state, in that state) or New York,
as the Company may elect in its sole discretion, and the Optionee hereby submits
to the non-exclusive jurisdiction of such courts for the purpose of any such
suit, action, proceeding or judgment. The Optionee hereby irrevocably waives any
objections which he may now or hereafter have to the laying of the venue of any
suit, action or proceeding arising out of or relating to this Agreement brought
in any court of competent jurisdiction in the State of Delaware (or if the
Company reincorporates in another state, in that state) or New York, and hereby
further irrevocably waives any claim that any such suit, action or proceeding
brought in any such court has been brought in any inconvenient

<PAGE>
                                                                              11

forum. No suit, action or proceeding against the Company with respect to this
Agreement may be brought in any court, domestic or foreign, or before any
similar domestic or foreign authority other than in a court of competent
jurisdiction in the State of Delaware (or if the Company reincorporates in
another state, in that state) or New York, and the Optionee hereby irrevocably
waives any right which he may otherwise have had to bring such an action in any
other court, domestic or foreign, or before any similar domestic or foreign
authority. The Company hereby submits to the jurisdiction of such courts for the
purpose of any such suit, action or proceeding.

Section 5.10 - Counterparts

            This Agreement may be signed in two or more counterparts, each of
which will be deemed an original.

<PAGE>
                                                                              12

            IN WITNESS WHEREOF, this Agreement has been executed and delivered
by the parties hereto.

                                       EVENFLO COMPANY, INC.

                                       By_______________________________________
                                       Name:
                                       Title:

                                       Aggregate number of shares of Common
                                       Stock subject to the Option granted
__________________________________     hereunder subject to (100% of total
        Optionee Name (Print)          number of shares):

                                       ________________

__________________________________
         Optionee Signature

__________________________________

__________________________________
         Optionee's Address

Optionee's Taxpayer
Identification Number:

________________________

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