Document:

<PAGE>

                                                                    Exhibit 10.4

                                      PLEDGE AGREEMENT dated as of the Closing
                              Date (as defined herein), between the pledgor set
                              forth on the signature page hereto (the
                              "Pledgor"), and RESOLUTION PERFORMANCE PRODUCTS
                               -------
                              LLC, a Delaware limited liability company (the
                              "Company").
                              --------

          The Pledgor and Resolution Performance Products Inc., a Delaware
corporation and the Company's corporate parent ("RPP Inc."), are parties to (i)
                                                 --------
a Participation Agreement, dated as of the date hereof, pursuant to which the
Pledgor purchased that number of shares of Common Stock, $1.00 par value, of RPP
Inc. set forth on the signature page hereto (the "Pledged Shares"), for the per
                                                  --------------
share purchase price set forth on the signature page hereto and certain Junior
Subordinated Notes, dated as of the date hereof, with an aggregate initial
principal amount set forth on the signature page hereto (the "Pledged Notes"),
                                                              -------------
for the per note purchase price set forth on the signature page hereto; and (ii)
a Non-Qualified Stock Option Agreement, dated as of the date hereof, pursuant to
which the Pledgor is receiving options to purchase that amount of shares of
Common Stock, $1.00 par value, of RPP Inc. set forth on the signature page
hereto (the "Pledged Options"), for the per option exercise price set forth on
             ---------------
the signature page hereto.  The Pledgor shall also pledge hereunder the shares
received by the Pledgor upon exercise of any options granted to such Pledgor by
the Company (the "Pledged Option Shares"), which initial amount is set forth on
                  ---------------------
the signature page hereto.  The Pledgor shall pledge hereunder the Pledged
Shares, the Pledged Notes, the Pledged Options, and the Pledged Option Shares.
As used herein, the Pledged Shares, the Pledged Notes, the Pledged Options and
the Pledged Option Shares shall be referred to collectively as the "Pledged
Securities."  This Pledge Agreement provides the terms and conditions upon which
a Promissory Note executed by the Pledgor in favor of the Company (the "Note")
                                                                        ----
in partial payment for the purchase price of the Pledged Securities is secured
by a pledge to the Company of the Pledged Securities.  As used herein, the
"Closing Date" means the date of the closing of the transactions contemplated by
the Master Sale Agreement, dated July 10, 2000, among Shell Oil Company, RPP
Inc., Resin Acquisition, LLC and RPP Holdings LLC (as assignee of Resin
Acquisition, LLC).

          NOW, THEREFORE, in consideration of the promises contained herein and
other good and valuable consideration the receipt and sufficiency of which are
hereby acknowledged, and in order to induce the Company to accept the Note as
payment for the Pledged Securities, the Pledgor and the Company hereby agree as
follows:

     SECTION 1.  PLEDGE.
                 ------

          The Pledgor hereby pledges to the Company, and grants to the Company a
security interest in, the Pledged Securities as security for the prompt and
complete payment when due of the unpaid principal and of interest on the Note.

     SECTION 2.  DELIVERY OF PLEDGED SECURITIES.
                 ------------------------------

          Upon the execution of this Pledge Agreement, the Pledgor shall deliver
to the Company the certificates representing the Pledged Securities, together
with duly executed forms of assignment sufficient to transfer title thereto to
the Company.  Upon the exercise of any
<PAGE>

Pledged Option, in lieu of delivering certificates to the Pledgor, the Company
will retain the certificates and such certificates will be subject to this
Pledge Agreement.

     SECTION 3.  VOTING RIGHTS; CASH DISTRIBUTIONS.
                 ---------------------------------

          Notwithstanding anything to the contrary contained herein, during the
term of this Pledge Agreement until such time as there exists a default in the
payment of principal or interest on the Note or any other default under the
Note, the Pledgor shall be entitled to all voting rights with respect to the
Pledged Securities and shall be entitled to receive all cash distributions paid
in respect of the Pledged Securities.  Upon the occurrence of and during the
continuance of any such default, the Company shall retain all such cash
distributions payable on the Pledged Securities as additional security
hereunder.

     SECTION 4.  STOCK DIVIDENDS; DISTRIBUTIONS ETC.
                 -----------------------------------

          If, while this Pledge Agreement is in effect, the Pledgor becomes
entitled to receive or receives any securities or other property in addition to,
in substitution of, or in exchange for any of the Pledged Securities (whether as
a distribution in connection with any recapitalization, reorganization or
reclassification, distributions or otherwise), the Pledgor shall accept such
securities or other property on behalf of and for the benefit of the Company as
additional security for the Pledgor's obligations under the Note and shall
promptly deliver such additional security to the Company together with duly
executed forms of assignment, and such additional security shall be deemed to be
part of the Pledged Securities hereunder.

     Section 5.  DEFAULT.
                 -------

          If the Pledgor defaults in the payment of the principal or interest
under the Note as it becomes due (whether upon demand, acceleration or
otherwise) or any other event of default under the Note occurs and has not been
remedied within the 10 day period provided in Section 3(a)(i) of the Note
(including the bankruptcy or insolvency of the Pledgor) (each such occurrence
shall be deemed a "Default"), the Company may exercise any and all of the
                   -------
rights, powers and remedies of an owner of the Pledged Securities (including the
right to vote the shares and receive dividends and distributions with respect to
such shares) and shall have and may exercise without demand any and all the
rights and remedies granted to a secured party upon default under the Uniform
Commercial Code of the State of New York or otherwise available to the Company
under applicable law.  Without limiting the foregoing, if the Pledgor Defaults,
the Company is authorized to sell, assign and deliver at its discretion, from
time to time, all or any part of the Pledged Securities at any private sale or
public auction, on not less than ten days written notice to the Pledgor, at such
price or prices and upon such terms as the Company may deem advisable.  The
Pledgor shall have no right to redeem the Pledged Securities after any such sale
or assignment.  At any such sale or auction, the Company or any other holder of
shares of the Company may bid for, and become the purchaser of, the whole or any
part of the Pledged Securities offered for sale.  In case of any such sale,
after deducting the costs, attorneys' fees and other expenses of sale and
delivery, the remaining proceeds of such sale shall be applied to the principal
of and accrued interest on the Note; provided, however, that after payment in
                                     --------  -------
full of the indebtedness evidenced by the Note, the balance of the proceeds of
sale then remaining shall be

                                       2
<PAGE>

paid to the Pledgor and the Pledgor shall be entitled to the return of any of
the Pledged Securities remaining in the hands of the Company.

     Section 6.  COSTS AND ATTORNEYS' FEES.
                 -------------------------

          All costs and expenses, including reasonable attorneys' fees, incurred
in exercising any right, power or remedy conferred by this Pledge Agreement or
in the enforcement thereof, shall become part of the indebtedness secured
hereunder and shall be paid by the Pledgor or repaid from the proceeds of the
sale of the Pledged Securities hereunder.

     Section 7.  PAYMENT OF INDEBTEDNESS AND RELEASE OF PLEDGED SECURITIES.
                 ---------------------------------------------------------

          Upon payment in full of the indebtedness evidenced by the Note, the
Company shall surrender the Pledged Securities to the Pledgor together with all
forms of assignment.

     Section 8.  FURTHER ASSURANCES.
                 ------------------

          The Pledgor agrees that at any time and from time to time upon the
written request of the Company, the Pledgor will execute and deliver such
further documents and do such further acts and things as the Company may
reasonably request in order to effect the purposes of this Pledge Agreement.

     Section 9.  SEVERABILITY.
                 ------------

          Any provision of this Pledge Agreement which is prohibited or
unenforceable in any jurisdiction shall, as to such jurisdiction, be ineffective
to the extent of such prohibition or unenforceability without invalidating the
remaining provisions hereof, and any such prohibition or unenforceability in any
jurisdiction shall not invalidate or render unenforceable such provision in any
other jurisdiction.

     Section 10.  NO WAIVER; CUMULATIVE REMEDIES.
                  ------------------------------

          The Company shall not by any act, delay, omission or otherwise be
deemed to have waived any of its rights or remedies hereunder, and no waiver
shall be valid unless in writing, signed by the Company, and then only to the
extent therein set forth.  A waiver by the Company of any right or remedy
hereunder on any one occasion shall not be construed as a bar to any right or
remedy which the Company would otherwise have on any future occasion.  No
failure to exercise nor any delay in exercising on the part of the Company, any
right, power or privilege hereunder shall preclude any other or further exercise
thereof or the exercise of any other right, power or privilege.  The rights and
remedies herein provided are cumulative and may be exercised singly or
concurrently, and are not exclusive of any rights or remedies provided by law.

     Section 11.  WAIVERS, AMENDMENTS; APPLICABLE LAW.
                  -----------------------------------

          This Pledge Agreement sets forth the entire agreement of the parties
hereto as to the subject matter hereof and supersedes all previous agreements
between the parties hereto, whether written, oral or otherwise.  None of the
terms or provisions of this Pledge Agreement

                                       3
<PAGE>

may be waived, altered, modified or amended except by an instrument in writing,
duly executed by the parties hereto. This Pledge Agreement and all obligations
of the Pledgor hereunder shall together with the rights and remedies of the
Company hereunder, inure to the benefit of the Company and its successors and
assigns. This Pledge Agreement and the rights and obligations hereunder shall be
governed by, and construed in accordance with, the laws of the State of New
York.

                                 *  *  *  *  *

                                       4
<PAGE>

          IN WITNESS WHEREOF, this Pledge Agreement has been executed as of the
date first above written.

                              /s/ David T. Preston
                              --------------------
                               David T. Preston

                              RESOLUTION PERFORMANCE PRODUCTS LLC

                              By: /s/ David T. Preston
                                  --------------------
                                  Name: David T. Preston
                                  Title: President
Number of Pledged Shares: 750

Per Share Price of
Pledged Shares: $100

Aggregate Initial Principal
Amount of Pledged Notes: $175,000

Per Note Price of
Pledged Notes: $1000

Initial Number of Shares of
Common Stock for
Pledged Options: 3,900

Option Price for Options: $100

Number of Pledged
Option Shares:  3,900<PAGE>

                                                                    Exhibit 10.5

                            SECURED PROMISSORY NOTE

AMOUNT SET FORTH ON THE SIGNATURE PAGE HERETO                 New York, New York
                                                               November 14, 2000

     SECTION 1.  GENERAL.  For value received, the payor signatory hereto (the
                 -------
"Payor") hereby promises to pay to the order of Resolution Performance Products
------
LLC, a Delaware limited liability company, or its successors and assigns (the
"Payee"), the principal amount set forth on the signature page hereto (the
------
"Principal Amount") by payment on or prior to the eighth anniversary of the date
-----------------
hereof (the "Maturity Date"). The Payor shall pay interest in arrears on the
             -------------
Maturity Date, on the unpaid balance of the outstanding principal amount of this
Note from time to time at the rate per annum equal to the interest rate set
forth on the signature page hereto (computed on the basis of a 360-day year and
the actual number of days elapsed) (the "Interest Rate"). The principal of, and
                                         -------------
interest on, this Note shall be payable in such coin or currency of the United
States of America as at the time of payment shall be legal tender therein for
the payment of public and private debts; provided that, at the Payor's election,
                                         -------- ----
which election shall initially be exercised as of the date hereof and set forth
on the signature page hereto, the interest on this Note shall either (i) accrue
and be payable on November 1 and May 1 of each year (each a "Payment Date") or
                                                             ------------
(ii) accrue and compound on a semi-annual basis on each Payment Date and be
payable in one installment on the Maturity Date.  If Payor initially elects to
have the interest on this Note accrue and compound on a semi-annual basis on
each Payment Date and be payable in one installment on the Maturity Date in
accordance with (ii) of the preceding sentence, then Payor shall have the option
on any Payment Date prior to the Maturity Date, which option may be exercised
only once and be effective and irrevocable as of the date of the exercise of
such option, to have the interest on this Note accrue and be payable on each
Payment Date in accordance with (i) of the preceding sentence; provided that,
                                                               -------- ----
upon the exercise of such option, Payor shall pay to the Payee all accrued,
compounded and unpaid interest as of the date of the exercise of such option.

     SECTION 2.  PREPAYMENT. This Note may be prepaid in whole or in part prior
                 ----------
to its due date without the consent of the Payee. Any prepayment shall be in an
amount equal to the principal amount plus any interest due and payable thereon
(including any deferred interest and any accrued, compounded and unpaid
interest).

     SECTION 3.  EVENTS OF DEFAULT.
                 -----------------

       (a) Definitions. In each case of the happening of the following events
           -----------
(each of which is an "Event of Default"):
                      ----------------

           (i) if a default occurs in the payment of any premium, installment
     of, principal of, interest on, or other obligation with respect to, this
     Note, whether at the due date thereof or upon acceleration thereof, and
     such default shall continue for more than ten (10) days after notice
     thereof from the Payee;
<PAGE>

           (ii) if the Payor shall (1) apply for or consent to the appointment
     of a receiver, trustee, custodian or liquidator of his property, (2) admit
     in writing his or her inability to pay his or her debts as they mature, (3)
     make a general assignment for the benefit of creditors, or (4) file a
     voluntary petition in bankruptcy, or a petition or an answer seeking
     reorganization or an arrangement with creditors, or to take advantage of
     any bankruptcy, reorganization, insolvency, readjustment of debt,
     dissolution or liquidation laws or statutes, or an answer admitting the
     material allegations of a petition filed against it in any proceeding under
     any such law; or

           (iii) there shall be filed against the Payor an involuntary petition
     seeking the appointment of a receiver, trustee, custodian or liquidator of
     the Payor or a substantial part of his assets, or an involuntary petition
     under any bankruptcy, reorganization or insolvency law of any jurisdiction,
     whether now or hereafter in effect (any of the foregoing petitions being
     hereinafter referred to as an "Involuntary Petition") and such Involuntary
                                    --------------------
     Petition shall not have been dismissed within sixty (60) days after it was
     filed;

then, upon each and every such Event of Default and at any time thereafter
during the continuance of such Event of Default, at the election of the Payee,
this Note shall immediately become due and payable, both as to principal and
interest (including any deferred interest and any accrued and unpaid interest),
without presentment, demand, or protest, all of which are hereby expressly
waived, anything contained herein or other evidence of such indebtedness to the
contrary notwithstanding (except in the case of an Event of Default under
paragraphs (ii) or (iii) of this Section 3(a), in which event such indebtedness
shall automatically become due and payable).

     (b) Remedies on Default, Etc.  In case any one or more Events of Default
         ------------------------
shall occur and be continuing and acceleration of this Note shall have occurred,
the Payee may, inter alia, proceed to protect and enforce its rights by an
               ----- ----
action at law, suit in equity or other appropriate proceeding, whether for the
specific performance of any agreement contained in this Note, or for an
injunction against a violation of any of the terms hereof or thereof or in and
of the exercise of any power granted hereby or thereby or by law. No right
conferred upon the Payee hereby shall be exclusive of any other right referred
to herein or now or hereafter available at law, in equity, by statute or
otherwise.

     SECTION 4.  ACCELERATION. In each case of the happening of the following
                 ------------
events (each of which is an "Acceleration Event"):
                             ------------------

           (i) the termination of the Payor's employment with the Payee or any
     of its Affiliates (as such term is defined in the 2000 Stock Option Plan
     (the "Stock Option Plan")) of Resolution Performance Products Inc., a
           -----------------
     Delaware corporation and the Payee's corporate parent ("RPP Inc.");
                                                             --------

           (ii) the occurrence of any event, or series of events, pursuant to
     which RPP Holdings LLC and/or its Affiliates shall cease to beneficially
     own and/or control (i) at least 50% of the issued and outstanding equity
     interests of RPP Inc. or the Payee or (ii) all or substantially all of the
     assets of RPP Inc. or the Payee; or

                                       2
<PAGE>

           (iii) the occurrence of any event, or series of events, pursuant to
     which the Payor transfers, sells or otherwise disposes of any Pledged
     Share, Pledged Note or Pledged Option Share (as such terms are defined in
     the Pledge Agreement dated as of the date hereof between the Payor and the
     Payee (the "Pledge Agreement"));
                 ----------------

then, upon an Event of Acceleration set forth in subsection (i) and (ii) above
and at any time thereafter, at the election of the Payee, this Note shall
immediately become due and payable, both as to principal and interest (including
any deferred interest and any accrued and unpaid interest), without presentment,
demand or protest, all of which are hereby expressly waived, anything contained
herein or other evidence of such indebtedness to the contrary notwithstanding.
Upon an Event of Acceleration set forth in subsection (iii) above and at any
time thereafter, at the election of the Payee, that portion of this Note shall
become immediately due and payable, both as to principal and interest (including
any deferred interest and any accrued, compounded and unpaid interest), equal to
(i) the product of the total principal amount due and payable under this Note
multiplied by the quotient obtained by dividing (x) the value (at Original Cost)
of Pledged Shares, Pledged Notes and Pledged Option Shares (as such terms are
defined in the Pledge Agreement) held by the Payor immediately after such Event
of Acceleration by (y) the total value (at Original Cost) of the Pledged Shares,
the Pledged Notes and the Pledged Option Shares held by Payor immediately before
such Event of Acceleration plus (ii) all accrued and unpaid interest on such
                           ----
principal amount payable, without presentment, demand or protest, all of which
are hereby expressly waived, anything contained herein or other evidence of such
indebtedness to the contrary notwithstanding. As used herein, "Original Cost"
means (i) with respect to Pledged Shares or Pledged Option Shares, $100 per
share, subject to appropriate adjustment by the Board of Directors of RPP Inc.
for stock splits, stock dividends, combinations and similar transactions and
(ii) with respect to the Pledged Notes, $1,000 per note.

     SECTION 5.  REPAYMENT UPON TERMINATION. The Pledged Shares, the Pledged
                 --------------------------
Notes and the Pledged Option Shares (as such terms are defined in the Pledge
Agreement) are subject to certain repurchase rights as set forth in the Investor
Rights Agreement, dated as of the date hereof, among RPP Inc., the Payor and the
other parties thereto.  The Pledged Options are subject to certain repurchase
rights set forth in the option agreement dated the date hereof between the Payor
and RPP Inc.

     SECTION 6.  DEFENSES. The obligations of the Payor under this Note shall
                 --------
not be subject to reduction, limitation, impairment, termination, defense, set-
off, counterclaim or recoupment for any reason.

     SECTION 7.  REPLACEMENT OF NOTES. Upon receipt by the Payor of evidence
                 --------------------
satisfactory to it of the loss, theft, destruction, or mutilation of this Note,
and (in case of loss, theft or destruction) of an indemnity reasonably
satisfactory to it, and upon surrender and cancellation of this Note, if
mutilated, the Payor will deliver a new Note of like tenor in lieu of this Note.
Any Note delivered in accordance with the provisions of this Section shall be
dated as of the date of this Note.

     SECTION 8.  EXTENSION OF MATURITY. Should the principal of or interest on
                 ---------------------
this Note become due and payable on other than a business day, the maturity date
thereof shall be extended to the next succeeding business day, and, in the case
of principal, interest shall be payable

                                       3
<PAGE>

thereon at the rate per annum herein specified during such extension. For the
purposes of the preceding sentence, a business day shall be any day that is not
a Saturday, Sunday, or legal holiday in the State of New York.

     SECTION 9.  ATTORNEYS' AND COLLECTION FEES. Should the indebtedness
                 ------------------------------
evidenced by this Note or any part hereof be collected at law or in equity or in
bankruptcy, receivership or other court proceedings, or this Note be placed in
the hands of attorneys for collection, the Payor agrees to pay, in addition to
principal and interest due and payable hereon, all costs of collection,
including reasonable attorneys' fees and expenses, incurred by the Payee in
collecting or enforcing this Note.

     SECTION 10. WAIVERS.
                 -------

       (a) The Payor hereby waives presentment, demand for payment, notice of
dishonor, notice of protest and all other notices or demands in connection with
the delivery, acceptance, performance or default of this Note.

       (b) No delay by the Payee in exercising any power or right hereunder
shall operate as a waiver of any power or right, nor shall any single or partial
exercise of any power or right preclude other or further exercise thereof, or
the exercise of any other power or right hereunder or otherwise; and no waiver
whatsoever or modification of the terms hereof shall be valid unless set forth
in writing by the Payee and then only to the extent set forth therein.

     SECTION 11. SECURITY; RECOURSE. The obligations of the Payor under this
                 ------------------
Note are secured by the Pledged Securities (as such term is defined in the
Pledge Agreement) as set forth in the Pledge Agreement, a copy of which is
attached hereto and incorporated herein as Exhibit A. Except for recourse to
                                           ---------
such Pledged Securities, this Note shall be nonrecourse.

     SECTION 12. AMENDMENTS AND WAIVERS. No provision of this Note may be
                 ----------------------
amended or waived without the express written consent of both the Payor and the
Payee.

     SECTION 13. GOVERNING LAW. This Note is made and delivered in, and shall be
                 -------------
governed by and construed in accordance with the laws of, the State of New York
(without giving effect to principles of conflicts of laws).

                                   * * * * *

                                       4
<PAGE>

     IN WITNESS WHEREOF, the Payor has duly executed and delivered this Note as
of the date first written above.

                                          /s/ Wouter W. Jongepier
                                          ------------------------------
                                              WOUTER W. JONGEPIER

Principal Amount of Note:

US$ 50,000.00

Interest Rate: 10.75%

___________________

Interest Election:

[_]   Accru and payable on November 1 and May 1 of each year.

[X]   Accrue and compound on a semi-annual basis on November 1 and May 1 of each
      year and be payable in one installment on the Maturity Date.

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00021-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00021-of-00352.parquet"}]]