Document:

<Page>

                                                                    EXHIBIT 10.6

                                                                  EXECUTION COPY

================================================================================

                                IESI CORPORATION
                             A DELAWARE CORPORATION

                  AMENDED AND RESTATED STOCKHOLDERS' AGREEMENT

                         Dated as of September 10, 2001

================================================================================

<Page>

                                TABLE OF CONTENTS

<Table>
<Caption>
                                                                                                          PAGE
<S>                                                                                                        <C>
ARTICLE I  DEFINITIONS......................................................................................2

Section 1.01.     Certain Definitions.......................................................................2

ARTICLE II  MANAGEMENT; VOTING OF SHARES....................................................................7

Section 2.01.     Board Of Directors........................................................................7

Section 2.02.     Certain Restrictions......................................................................9

Section 2.03.     Approval Of Certain Transactions..........................................................9

ARTICLE III  TRANSFER OF SHARES............................................................................11

Section 3.01.     General Restrictions On Transfer.........................................................11

ARTICLE IV  RIGHT OF FIRST OFFER...........................................................................12

Section 4.01.     First Offer Right........................................................................12

ARTICLE V  TAG ALONG AND BRING ALONG RIGHTS................................................................14

Section 5.01.     Tag Along Rights.........................................................................14

Section 5.02.     Bring Along Rights.......................................................................15

ARTICLE VI  ISSUANCE OF STOCK..............................................................................16

Section 6.01.     Rights Upon Issuance Of Additional Securities............................................16

ARTICLE VII  MISCELLANEOUS.................................................................................18

Section 7.01.     Representations And Warranties...........................................................18

Section 7.02.     Legend...................................................................................19

Section 7.03.     Termination Upon Public Offering Or Sale Transaction.....................................20

Section 7.04.     Amendment; Waiver........................................................................20

Section 7.05.     Further Assurances.......................................................................20

Section 7.06.     Notices..................................................................................20

Section 7.07.     Binding Effect; Assignment...............................................................20

Section 7.08.     Severability.............................................................................21

Section 7.09.     Specific Performance.....................................................................21

Section 7.10.     Governing Law............................................................................21

Section 7.11.     Entire Agreement.........................................................................21

Section 7.12.     Counterparts.............................................................................21

Section 7.13.     Board Meetings...........................................................................21

Section 7.14.     Information..............................................................................21
</Table>

                                       -i-
<Page>

                                TABLE OF CONTENTS
                                   (CONTINUED)

<Table>
<Caption>
                                                                                                          PAGE
<S>                                                                                                        <C>
Section 7.15.     Warrant Holders..........................................................................21

Section 7.16      Expenses.................................................................................21
</Table>

                                      -ii-
<Page>

                  AMENDED AND RESTATED STOCKHOLDERS' AGREEMENT

          This AMENDED AND RESTATED STOCKHOLDERS' AGREEMENT (this "Agreement")
is entered into September 10, 2001, by and among IESI Corporation, a Delaware
corporation (the "Company"), the stockholders named on the signature pages
hereto (collectively, the "Stockholders"), J. Bruce Boisture (the "Warrant
Holder") and each other Person that may become a Stockholder or a Warrant Holder
after the date hereof and who executes a Joinder Agreement (as hereinafter
defined).

                                   WITNESSETH:

          WHEREAS, certain of the Stockholders have heretofore entered into a
certain Stockholders' Agreement, dated March 25, 1997 (the "First Agreement"),
and thereafter entered into a certain Amended and Restated Stockholders'
Agreement, dated as of June 25, 1997 (the "Second Agreement"), and thereafter
entered into a certain Amended and Restated Stockholders' Agreement, dated as of
May 22, 1998 (the "Third Agreement"), and thereafter entered into a certain
Amended and Restated Stockholders' Agreement, dated as of December 15, 1998 (the
"Fourth Agreement"), and thereafter entered into a certain Amended and Restated
Stockholders' Agreement, dated as of June 30, 1999 (the "Fifth Agreement" and
together with the First Agreement, the Second Agreement, the Third Agreement and
the Fourth Agreement, the "Prior Agreements") each of which outlined the various
rights and obligations of the parties thereto as Stockholders of the Company;

          WHEREAS, concurrently herewith, the Company and the purchasers named
therein are entering into that certain Stock Purchase Agreement of even date
herewith (the "Purchase Agreement"), pursuant to which the Company is issuing
[50,000] shares of its Series D Convertible Preferred Stock (the "Series D
Preferred Stock"), par value $1.00 per share, to certain of the Stockholders;

          WHEREAS, the Stockholders own, beneficially and of record, all of the
issued and outstanding shares of Common Stock (as hereinafter defined) and all
of the issued and outstanding shares of Preferred Stock (as hereinafter
defined);

          WHEREAS, the Stockholders and the Warrant Holder deem it to be in
their best interests to provide for consistent and uniform management of the
Company;

          WHEREAS, the Stockholders and the Warrant Holder desire to restrict
the Transfer (as hereinafter defined) of shares of Company Stock (as hereinafter
defined), whether issued and outstanding on the date hereof or issued from time
to time hereafter;

          WHEREAS, the Stockholders and the Warrant Holder desire to evidence
their agreement with respect to certain other matters in relation to the Company
and their respective holdings of Common Stock and Preferred Stock; and

                                       -1-
<Page>

          WHEREAS, the Stockholders and the Warrant Holder intend that this
Agreement shall replace and supersede the Prior Agreements;

          NOW, THEREFORE, in consideration of the premises, the terms and
provisions set forth herein, the mutual benefits to be gained by the performance
thereof and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties hereto agree as follows:

                                    ARTICLE I

                                   DEFINITIONS

     SECTION 1.01.     CERTAIN DEFINITIONS. As used herein, the terms set forth
below shall have the following respective meanings:

          "Act" has the meaning specified in Section 7.02 hereof.

          "Additional Securities" means all Securities which are issued by the
Company after the date hereof other than (i) any Securities issued or issuable
to all of the holders of Securities then outstanding on a proportionate basis
(based on such holders' respective ownership of the Securities); (ii) any
Securities issued or issuable to any employees, officers or directors pursuant
to any Employee Plan approved by the Board; (iii) Securities which are reissued
by the Company to employees following the repurchase, redemption or other
acquisition of such Securities by the Company from any employee; (iv) any
Securities issued pursuant to a public offering of Equity Securities pursuant to
an effective registration statement under the Act; or (v) any Securities issued
by the Company upon conversion, exercise or exchange of Securities issued (a) on
or before the date hereof or (b) after the date hereof in compliance with the
provisions of Article VI hereof; or (vi) Common Stock issued pursuant to the
Investment Right.

          "Affiliate" of any particular Person means any other Person
controlling, controlled by or under common control with such particular Person,
where "control" means the possession, directly or indirectly, of the power to
direct the management and policies of a Person whether through the ownership of
voting securities, contract or otherwise; provided that TCC, TCC2, Thayer and
their affiliates shall not be deemed "Affiliates" of the Company.

          "Agreement" has the meaning specified in the Introduction hereto.

          "Amended Charter" means the Fourth Amended and Restated Certificate of
Incorporation of the Company in the form annexed hereto as Exhibit A.

          "Article V Notice" has the meaning specified in Section 5.01(a)
hereof.

          "Article V Sellers" has the meaning specified in Section 5.01 hereof.

          "Article V Shares" has the meaning specified in Section 5.01(a)
hereof.

                                       -2-
<Page>

          "Bank Credit Agreement" means that certain Credit Agreement dated as
of August 31, 1999, by and among the Company, its subsidiaries named therein and
BankBoston, N.A., as agent, as the same may be amended, modified or supplemented
from time to time.

          "Board" has the meaning specified in Section 2.01 hereof.

          "Bring Along Notice" has the meaning specified in Section 5.02(b)
hereof.

          "Bring Along Sale" has the meaning specified in Section 5.02(a)
hereof.

          "Business Day" means any day that is not a Saturday, a Sunday or other
day on which banks are required or authorized by law to be closed in the City of
New York, New York.

          "Bylaws" means the Bylaws of the Company as in effect on the date
hereof and as the same may hereafter be amended from time to time.

          "Common Stock" means the Class A Common Stock, par value $0.01 per
share, and the Class B Common Stock, par value $0.01 per share, of the Company.

          "Company" has the meaning specified in the Introduction hereto.

          "Company Stock" means the Common Stock and the Preferred Stock.

          "Company Transfer" is defined in Section 3.01(a) hereto.

          "Employee Plan" means any equity incentive plan, agreement, bonus,
award, stock purchase plan, stock option plan or other stock arrangement with
respect to any employee, officer or director of (i) the Company or (ii) any
subsidiary of the Company.

          "EOF II" means Environmental Opportunities Fund II, L.P., a Delaware
limited partnership.

          "EOF Delaware" means Environmental Opportunities Fund, L.P., a
Delaware limited partnership.

          "EOF Institutional" means Environmental Opportunities Fund II
(Institutional), L.P., a Delaware limited partnership.

          "Fifth Agreement" has the meaning specified in the first recital to
this Agreement.

          "First Agreement" has the meaning specified in the first recital to
this Agreement.

          "Fourth Agreement" has the meaning specified in the first recital to
this Agreement.

          "IESI Capital" means IESI Capital LLC, IESI Capital II LLC, IESI
Capital III LLC, IESI Capital IV LLC and IESI Capital V LLC, each a Mississippi
limited liability company.

                                       -3-
<Page>

          "Investment" as applied to any Person means (i) any direct or indirect
purchase or other acquisition by such Person of any notes, obligations,
instruments, stock, securities or ownership interest (including partnership
interests and joint venture interests) of any other Person and (ii) any capital
contribution by such Person to any other Person.

          "Issuance Notice" has the meaning specified in Section 6.01(a) to this
Agreement.

          "JESCO" means Jim Sowell Construction Co., Inc.

          "Joinder Agreement" has the meaning specified in Section 3.01(a) to
this Agreement.

          "Like Percentage" means the percentage derived from a fraction, the
numerator of which is the total number of Paid-In Shares proposed to be
transferred by the Proposing Stockholder(s) under Section 5.02(a) and the
denominator of which is the total number of Paid-In Shares held by the Proposing
Stockholder(s).

          "Offer Notice" has the meaning specified in Section 4.01(a) to this
Agreement.

          "Offered Stock" has the meaning specified in Section 4.01(a) to this
Agreement.

          "Option Period" has the meaning specified in Section 5.01(b) hereof.

          "Other Stockholders" is defined in Section 4.01(a) hereof.

          "Paid-In Shares" means the Common Stock and the Preferred Stock on an
as-if-converted basis.

          "Participant" has the meaning specified in Section 5.01(b) hereof.

          "Permitted Transferee" means (a) in the case of JESCO, Sowell, (b) in
the case of a Stockholder who is a natural person and is a signatory to the
Agreement on the date hereof, any spouse, child (natural or adopted), spouse of
any such child, grandchild, sister, brother or parent of such Stockholder and to
whom Common Stock is transferred from such Stockholder by (i) will or the laws
of descent and distribution or (ii) by gift without consideration of any kind,
(c) any trust in which there are and continue to be during the term of this
Agreement no beneficiaries other than Permitted Transferees, (d) any charitable
foundation, all the trustees of which are Permitted Transferees, (e) any
Stockholder, and (f) any Person with respect to which a resolution approved by
the Board has been adopted stating that the Board has no objection if a Transfer
of Common Stock is made to such Person (provided, however, that such transfer is
subject to the provisions of Section 5.01) and (g) in the case of EOF Delaware,
EOF II, EOF Institutional, Suez, SEI, TCC, TCC2 or Thayer, a Transfer by any of
them to any of their respective general partners, limited partners or members,
and by any such Persons, to any of their respective general partners, limited
partners or members, and (h) in the case of a Stockholder who is not a natural
person, an Affiliate thereof.

                                       -4-
<Page>

          "Person" means any individual, corporation, partnership, limited
liability company, association, trust or any other entity or organization of any
kind or character, including a governmental authority or agency.

          "Preferred Stock" means the Series A Preferred Stock, the Series B
Preferred Stock, the Series C Preferred Stock and the Series D Preferred Stock.

          "Prior Agreements" has the meaning specified in the first recital to
this Agreement.

          "Proposing Stockholders" has the meaning specified in Section 5.02(a)
hereof.

          "Pro Rata Portion" means, as to an individual Stockholder, the
percentage of the Total Shares owned by such Stockholder (including, as to any
individual Stockholder who holds warrants to purchase Common Stock, the number
of shares of Common Stock that would then be issued upon exercise of such
warrants).

          "Public Offering" means a firm commitment underwritten public offering
of Common Stock of the Company, subsequent to which the Common Stock listed is
on a national securities exchange or on the NASDAQ System, at an offering price
to the public (without deduction for underwriting fees, commission or discounts)
in an aggregate amount not less than U.S. [$20,000,000] pursuant to an effective
registration statement under the Act.

          "Public Sale" means any sale of Common Stock or Preferred Stock to the
public pursuant to any offering registered under the Act or to the public
through a broker, dealer or market maker pursuant to the provisions of Rule 144
adopted under the Act.

          "Purchase Agreement" has the meaning specified in the second recital
to this Agreement.

          "Registration Agreement" means that certain Amended and Restated
Registration Rights Agreement of even date herewith among the Company and the
parties named therein as Stockholders.

          "Response Notice" has the meaning specified in Section 6.01(b) to this
Agreement.

          "Sale Transaction" means any merger, consolidation, recapitalization,
sale, transfer or issuance of shares of the Company's capital stock by the
Company or any holders, thereof, or any series of such transactions, in each
case which results in any Person or group of Persons (as the term "group" is
used under the Securities Exchange Act of 1934), other than the holders of
Common Stock and Preferred Stock as of the date of the Purchase Agreement, and
the Affiliates thereof, owning more than 50% by vote of the voting stock of the
Company outstanding at the time of such merger, consolidation, recapitalization,
sale, transfer or issuance or series of such transactions.

          "Second Agreement" has the meaning specified in the first recital to
this Agreement.

                                       -5-
<Page>

          "Securities" means any capital stock or other similar security of the
Company, including, without limitation, Company Stock, securities containing
equity features and securities containing profit participation features, and any
debt or equity security convertible or exchangeable, with or without
consideration, into or for any stock or similar security, or any security
carrying any warrant, option or right to subscribe for or to purchase any of the
foregoing.

          "SEI" means SEI Associates, a Delaware partnership.

          "Selling Party" has the meaning specified in Section 5.01(b) hereof.

          "Series A Preferred Stock" means the Series A Convertible Preferred
Stock, par value $1.00 per share, of the Company.

          "Series B Preferred Stock" means the Series B Convertible Preferred
Stock, par value $1.00 per share, of the Company.

          "Series C Preferred Stock" means the Series C Convertible Preferred
Stock, par value $1.00 per share, of the Company.

          "Series D Preferred Stock" has the meaning specified in the second
recital to this Agreement.

          "Share" means any share of Common Stock or any other security
exercisable, convertible or exchangeable into Common Stock.

          "Sowell" means James E. Sowell.

          "Stockholders" means the Persons identified in the Introduction hereto
and each other Person that may hereafter become a record owner of shares of
Common Stock or Preferred Stock and who executes a conformed copy hereof or a
Joinder Agreement.

          "Subsidiaries" means (i) any corporation more than 50% of whose stock
of any class or classes having by the terms thereof ordinary voting power to
elect a majority of the directors of such corporation (excluding any class or
classes having such voting power solely by reason of the happening of a
contingency) is owned by the Company directly or indirectly through other
Subsidiaries, and (ii) any partnership, association, joint venture or other
entity in which the Company directly or indirectly through other Subsidiaries
has more than a 50% equity interest.

          "Suez" means Suez Equity Investors L.P., a Delaware limited
partnership.

          "TCC" means TC Carting, L.L.C., a Delaware limited liability company.

          "TCC2" means TC Carting II, L.L.C., a Delaware limited liability
company.

          "Thayer" means Thayer Equity Investors IV, L.P.

                                       -6-
<Page>

          "Third Agreement" has the meaning specified in the first recital to
this Agreement.

          "Total Shares" means the total number of shares of Common Stock
outstanding, assuming the exercise, conversion or exchange into Common Stock of
all Shares.

          "Transfer" means any sale, transfer, assignment, gift, exchange,
pledge, hypothecation, encumbrance or other disposition of any shares of Company
Stock or any interest therein, whether voluntary or involuntary and regardless
of the nature or method thereof (other than an exchange, reclassification or
other conversion of shares of Company Stock into cash, securities or other
property pursuant to a merger, consolidation or recapitalization of the
Company). For the purposes of Sections 4.01, 5.01 and 5.02, "Transfer" means any
sale, transfer or other disposition of any shares of Company Stock or any
interest therein for value, whether voluntary or involuntary and regardless of
the nature or method thereof (other than an exchange, reclassification or other
conversion of shares of Company Stock into cash, securities or other property
pursuant to a merger, consolidation or recapitalization of the Company).

          "Transferring Stockholder" has the meaning specified in Section
4.01(a) to this Agreement.

          "Warrant Holder" has the meaning specified in the Introduction hereto.

                                   ARTICLE II

                          MANAGEMENT; VOTING OF SHARES

     SECTION 2.01.     BOARD OF DIRECTORS. The Company shall at all times be
managed by or under the direction of a Board of Directors (the "Board"), which
shall consist of not more than eight members unless Suez should fail or be
unable to exercise its right to designate a director pursuant to this Section,
in which case the Board shall consist of not more than seven members. Suez may
exercise its right to designate a director pursuant to this Section at any time.
The Stockholders hereby agree to use their best efforts and to take all
reasonably necessary or desirable actions within their power, whether in their
capacities as stockholders, directors, members of a board committee, officers of
the Company or otherwise (including, but not limited to, the voting of shares of
Company Stock owned by them, attendance at meetings in person or by proxy for
purposes of obtaining a quorum and execution of written consents in lieu of
meetings), and the Company shall take all reasonably necessary or desirable
actions within its control (including, without limitation, calling special board
and stockholder meetings) to effectuate and carry out the following provisions:

          (a)      The Stockholders shall be entitled to representation on the
Board as follows:

          (i)      Charles F. Flood shall have the right to serve as a director
                   for so long as he shall remain chief executive officer of the
                   Company;

          (ii)     IESI Capital shall have the right to designate one director;

                                       -7-
<Page>

          (iii)    EOF Delaware shall have the right to designate one director;

          (iv)     TCC shall have the right to designate two directors, who are
                   initially designated as Daniel M. Dickenson and Robert E.
                   Michalik;

          (v)      Thayer shall have the right to designate two directors, one
                   of whom is initially designated as Charles R. Cummings; and

          (vi)     Subject to Regulation Y of the Governors of the Federal
                   Reserve System, 12 C.F.R. 225, Suez shall have the right to
                   designate one director.

          The Stockholders hereby agree to vote all of the voting securities of
the Company owned by them for the election of the directors designated in
accordance with this Section 2.01(a) or to cause the directors then in office to
elect such persons in the case of a vacancy. In the event of a tie in any vote
of the Board, one of the TCC directors designated by TCC as the tie breaker
shall have the right to cast the tie-breaking vote. Sowell and, in the event
that Suez should fail or be unable to exercise its right to designate a director
pursuant to this Section 2.01, Suez shall have the right to (a) designate a
representative to attend and observe meetings of the Board and the executive
committee and (b) receive all information and consents distributed to directors.

          (b)      A director may be removed only if the Person or Persons, if
any, entitled to designate such director pursuant to Section 2.01(a) hereof
delivers a written notice to the Company stating that such director shall
forthwith be removed and replaced with a substitute director designated in such
notice.

          (c)      In the event that any vacancy is created on the Board by
reason of the death, resignation or removal of any director designated pursuant
to Section 2.01(a), such vacancy shall be filled by a substitute director
designated by the Person or Persons, if any, entitled to designate the director
whose death, resignation or removal created such vacancy and each of the
Stockholders shall cause its designated directors to elect the person designated
to fill the vacancy.

          (d)      Any committee of the Board will be constituted to give each
of IESI Capital, Suez, EOF Delaware, TCC and Thayer representation thereon at
least proportionate to their representation on the Board.

          (e)      Directors shall not be entitled to receive any compensation
from the Company for service as a director; PROVIDED, HOWEVER, that all
reasonable out-of-pocket expenses of each director (and a representative of Suez
if no director has been designated as provided in Section 2.01 (a) (vi))
incurred in connection with attending regular and special board meetings and any
meeting of any board committee shall be paid by the Company.

     SECTION 2.02.     CERTAIN RESTRICTIONS. No Stockholder shall grant any
proxy, enter into or agree to be bound by any voting trust agreement or
arrangement of any kind with respect to any voting securities of the Company, or
enter into any stockholder agreements or arrangement of any kind with respect to
any Securities of the Company, any of which is inconsistent with the provisions
of this Agreement, including, but not limited to, any agreement

                                       -8-
<Page>

or arrangement with respect to the voting of voting securities of the Company,
nor shall any Stockholder act as a member of a group or in concert with any
other Person in connection with the acquisition of shares of Securities of the
Company in any manner inconsistent with the provisions of this Agreement;
PROVIDED, HOWEVER, that the foregoing shall in no way restrict IESI Capital, EOF
Delaware, TCC or Thayer from establishing any arrangement with respect to the
exercise of their respective rights pursuant to Section 2.01(a) hereof.

     SECTION 2.03.     APPROVAL OF CERTAIN TRANSACTIONS. Neither the Company nor
any Subsidiaries nor any of their officers, employees, agents or advisors, shall
do or take or cause to be done or taken, nor shall any of them cause or permit
any direct or indirect subsidiary of the Company to do or take or cause to be
done or taken, any of the actions or decisions set forth below without the prior
consent and approval of each of the directors appointed by TCC and Thayer:

          (a)      Make any substantial change in the character of the Company's
or any Subsidiary's principal business;

          (b)      Adopt or modify in any material respect the Company's or any
Subsidiary's annual business and financial plan or any other material budget for
the Company or any Subsidiary;

          (c)      (i) Amend or modify the Bank Credit Agreement; or (ii)
create, incur, assume or permit to exist any indebtedness or other obligation
that under generally accepted accounting principles is required to be shown on
the consolidated balance sheet of the Company as a liability, including, but not
limited to, indebtedness evidenced by a promissory note, bond or similar written
obligation to pay money and indebtedness guaranteed by the Company or any
Subsidiary or for which the Company or any Subsidiary is otherwise liable, other
than such indebtedness or other obligation (A) arising in the ordinary course of
business of the Company or any Subsidiary, (B) contemplated in the Company's
most recently approved annual or financial plan, as approved by the Board, or
(C) in an amount of up to $5,000,000 incurred in connection with an acquisition
permitted by or consented to under the Bank Credit Agreement as the same may be
amended or supplemented from time to time in accordance with Section 2.03(c)(i);
PROVIDED, HOWEVER, that each of such directors shall have been deemed to
approve, and nothing in this Section shall operate to restrict, the amendment of
the Bank Credit Agreement to provide for the increase in the line of credit
provided for therein to an aggregate of $275 million;

          (d)      Except as set forth in the Company's or any Subsidiary's
annual business and financial plan, as approved by the Board, make any
expenditure for fixed or capital assets that exceed by more than 10% the
aggregate limitations set forth therein;

          (e)      Sell, lease, pledge, encumber, assign, exchange, transfer or
otherwise dispose of, or part with control of (whether in one transaction or a
series of transactions) all or substantially all of the assets of the Company or
any Subsidiary (including, without limitation, receivables and leasehold
interests), whether now owned or hereafter acquired, except for (i) sales or
other dispositions of inventory in the ordinary course of business and (ii)
sales or other dispositions of assets which have become worn out or obsolete or
which are promptly being replaced;

                                       -9-
<Page>

          (f)      Purchase or acquire any property from, exchange any property
with, or lease any property to, lend or advance any money to, borrow any money
from, guarantee any obligation of, acquire any stock, obligations or securities
of, enter into any merger or consolidation agreement with, or enter into any
other transaction or arrangement or otherwise deal with (i) any officer,
director or shareholder of the Company or any Subsidiary in an amount greater
than $100,000 or (ii) any Affiliate of the Company or any Subsidiary, except for
transactions (A) entered into in the ordinary course of business, (B) having
terms no less favorable to the Company than in similar transactions negotiated
with a third party, and (C) under which the Company's obligations do not exceed
$100,000 per year;

          (g)      Issue, offer or sell, or obligate itself to issue, offer or
sell, to any person or entity, any Equity Securities, except as otherwise
required under this Agreement or the Registration Agreement;

          (h)      Agree to register any securities of the Company or any
Subsidiary under the Act, except as otherwise required under the Registration
Agreement;

          (i)      Make any loan or advance to or other Investment in any person
or entity, except advances and similar expenditures in the ordinary course of
business;

          (j)      Declare or pay out any dividend or make any distribution on
its capital stock or purchase, redeem (by direct payment, sinking fund or
otherwise) or otherwise acquire or retire for value any of its Capital Stock,
except for optional redemption of the Preferred Stock in accordance with the
terms thereof;

          (k)      Directly or indirectly (i) encourage, solicit, initiate,
pursue or enter into, or engage or participate in, any negotiations or
agreements with any Person concerning any merger, acquisition, consolidation,
sale of all or substantially all of the assets of the Company or any Subsidiary,
recapitalization, or other business combination or change in control transaction
involving the Company or any Subsidiary or any division or business unit
thereof, or (ii) acquire all or substantially all of the ownership interests or
assets, or any division or business unit, of any other Person;

          (l)      Change or appoint the chairman, chief executive officer, the
chief operating officer or the chief financial officer of the Company; or

          (m)      Agree to any of the actions described in the foregoing
clauses (a) through (l).

                                   ARTICLE III

                               TRANSFER OF SHARES

     SECTION 3.01.     GENERAL RESTRICTIONS ON TRANSFER.

          (a)      Except as otherwise provided in this Agreement, no
Stockholder shall directly or indirectly effect a Transfer of any Shares owned
or held by such Stockholder unless (i) such Transfer is to a Permitted
Transferee (other than Transfers to another Stockholder that is

                                      -10-
<Page>

not an Affiliate of the transferring Stockholder or Transfers that are
consummated after compliance with the provisions of Section 4.01, Section 5.01
or Section 5.02 hereof), (ii) the certificate or certificates representing such
Shares bear a legend as provided in Section 7.02 hereof to the effect that such
Shares are not registered under the Act and that the Transfer thereof is subject
to the terms of this Agreement, (iii) the Permitted Transferee shall have
executed, as a condition to obtaining ownership of such Shares, an instrument
substantially in the form attached hereto as Exhibit B (a "Joinder Agreement")
in which the Permitted Transferee agrees that its ownership of such shares of
Company Stock shall be subject to, and that the Permitted Transferee will comply
with, all of the terms and conditions of this Agreement and in which the
Permitted Transferee confirms that the representations and warranties contained
in Section 7.01(a) hereof are true and correct with respect to such Permitted
Transferee as of the date of such Joinder Agreement, and (iv) such Joinder
Agreement shall have been promptly delivered to the Board of the Company prior
to the acquisition by such Permitted Transferee of such Shares. Such a Permitted
Transferee that is not already a party to this Agreement, by executing a Joinder
Agreement as hereinabove provided, shall become a party to this Agreement and
shall be deemed a Stockholder for purposes hereof. Notwithstanding the
foregoing, a Stockholder may effect a Transfer of Shares owned or held by such
Stockholder (i) pursuant to a Public Sale, or (ii) to the Company, in a
transaction that is incidental to (A) the exercise, conversion or exchange of
such Shares in accordance with the terms of such Shares, (B) a combination of
such Shares (including a reverse stock split), or (C) a recapitalization,
reorganization or reclassification, or merger or consolidation involving the
Company or the Shares (each a "Company Transfer").

          (b)      No Stockholder shall directly or indirectly effect a Transfer
of any Shares owned or held by such Stockholder if such action would constitute
a violation of any federal securities laws or any state securities or blue sky
laws or a breach of the conditions under which such Transfer is exempt from
registration under any such laws or a breach of any undertaking or agreement on
the part of such Stockholder made or entered into pursuant to such laws or in
connection with obtaining an exemption from registration thereunder. Such
Stockholder shall deliver to the Company a written opinion of counsel acceptable
to the Company, in form and substance reasonably satisfactory to the Company, to
the effect that the Transfer of such Shares is exempt from registration under
the Act and applicable state securities laws; PROVIDED, HOWEVER, that in the
event of a Transfer of Shares between Suez (or its successors or assigns
hereunder) and any of its Affiliates who are Stockholders; EOF (or its
successors or assigns hereunder) and any of its Affiliates who are Stockholders;
IESI Capital and any of the other entities included in such definition
hereunder; and between and among Thayer, TCC2 and TCC, no opinion of counsel
shall be required, unless, in any case, the Company reasonably requests such an
opinion. The Company shall promptly advise a selling Stockholder whether such
opinion of counsel is in form and substance satisfactory to the Company.

          (c)      The Company shall refuse to record in its stock transfer
books a Transfer by any Stockholder of any Shares that is not effected in
compliance with this Agreement, and any such attempted Transfer shall be null
and void.

                                      -11-
<Page>

                                   ARTICLE IV

                              RIGHT OF FIRST OFFER

     SECTION 4.01      FIRST OFFER RIGHT.

          (a)      At least 30 days prior to making any Transfer of any Company
Stock (other than in a Public Sale, to a Permitted Transferee (but not Transfers
to a Stockholder that is not an affiliate of the transferring Stockholder (the
"Transferring Stockholder")) or a Company Transfer), the Transferring
Stockholder shall deliver a written notice (an "Offer Notice") to the Company
and the other Stockholders (the "Other Stockholders"). The Offer Notice shall
disclose in reasonable detail the proposed number of shares of Company Stock to
be transferred (the "Offered Stock"), the proposed terms and conditions of the
Transfer and the identity of the prospective transferee(s) (if any). The Company
shall promptly provide to any Stockholder, upon written request to the Company
for the purpose of delivering an Offer Notice, a list of names and addresses of
all the Stockholders. First, the Company may elect to purchase all (but not less
than all) of the Offered Stock specified in the Offer Notice at the price and on
the terms specified therein by delivering written notice of such election to the
Transferring Stockholder and the Other Stockholders as soon as practical but in
any event within ten days after the delivery of the Offer Notice. If the Company
does not elect to purchase all of the Offered Stock within such ten-day period,
each Other Stockholder may elect to purchase a portion of such Offered Stock at
the price and on the terms specified in the Offer Notice by delivering written
notice of such election to the Transferring Stockholder as soon as practical,
but in any event within 20 days after delivery of the Offer Notice, provided
that the rights granted to the Other Stockholders under this Section 4.01(a)
shall only exist if the Other Stockholders collectively elect to purchase all
(or more than all as provided in the next sentence) and not less than all of the
Offered Stock. If the Other Stockholders have in the aggregate elected to
purchase more than the number of shares of Offered Stock being offered by the
Transferring Stockholder, the Offered Stock shall be allocated among the Other
Stockholders electing to purchase Shares pro rata based upon the number of
Shares elected to be purchased. Any Offered Stock not elected to be purchased by
the end of such 20 day period shall be re-offered by the Transferring
Stockholder, for the ten-day period following the expiration of such 20 day
period, on a pro rata basis to the Other Stockholders who have elected to
purchase Offered Stock and, if any Offered Stock remains after such re-offering,
the Company shall have the right to purchase such remaining Offered Stock. If
the Company or any Other Stockholders have elected to purchase all (but not less
than all) Offered Stock from the Transferring Stockholder, the transfer of such
Shares shall be consummated as soon as practical after the delivery of the
election notice(s) to the Transferring Stockholder, but in any event within 15
days after the expiration of the final applicable election period.

          (b)      If the Company and the Other Stockholders have not elected to
purchase all of the Offered Stock, the Transferring Stockholder may, within 60
days after the expiration of the applicable election period and subject to the
provisions of Section 5.01 hereof, Transfer such Offered Stock to one or more
third parties at a price no less than the price per Share specified in the Offer
Notice and on other terms no more favorable to the transferees thereof than
offered to the Company and the Other Stockholders in the Offer Notice. Any
Offered Stock not transferred

                                      -12-
<Page>

within such 60 day period shall be re-offered to the Company and the Other
Stockholders under subparagraph (a) above prior to any subsequent Transfer.

          (c)      At any closing pursuant to subparagraph (a) above, the
Company and/or the relevant Other Stockholder(s), as the case may be, shall
deliver to the Transferring Stockholder the full amount of the purchase price of
the Offered Stock (any cash portion thereof to be paid in immediately available
funds), and the Transferring Stockholder shall execute and deliver to the
Company or the relevant Other Stockholder(s) certificate(s) representing the
Shares being transferred, free of any liens, claims or encumbrances (other than
those imposed by Federal or state securities laws and this Agreement), and such
duly executed stock powers or other instruments of conveyance as the Company or
the relevant Other Stockholder(s), as the case may be, shall reasonably request
to convey title to the Offered Stock. The Transferring Stockholder shall pay any
applicable federal, state or local taxes incurred in connection with the
foregoing transfer.

     SECTION 4.02.     PLEDGE OF SHARES. A Stockholder shall have the right to
pledge any shares of Company Stock owned or held by such Stockholder to the
Company, a commercial bank, savings and loan association or other lending or
financial institution as security for any indebtedness of such Stockholder;
PROVIDED, HOWEVER, that no such pledge shall be made unless (i) the Person to
which such pledge is made shall have executed an appropriate document in which
such Person agrees that, in the event of realization upon such Shares, such
Shares shall continue to be subject to the terms and conditions of this
Agreement and that such Person will not effect any Transfer of such Shares
except in compliance with the provisions hereof as if such Person was a
Stockholder, and (ii) such document shall have been promptly delivered to, and
shall have been approved by, the Company prior to the pledge of such Shares,
which approval shall not be unreasonably withheld.

                                    ARTICLE V

                        TAG ALONG AND BRING ALONG RIGHTS

     SECTION 5.01.     TAG ALONG RIGHTS. In the event that any Stockholder or
group of Stockholders (such Stockholder or Stockholders, together with their
respective Permitted Transferees, shall be hereinafter referred to as the
"Article V Sellers") proposes to Transfer in a single transaction or a series of
related transactions to any Person or group of Persons (other than any Person
who is a Stockholder as of the date hereof or a Permitted Transferee or any
Company Transfer), other than in a Public Sale or a Transfer to the Company or
another Stockholder pursuant to Section 4.01, Paid-In Shares representing an
amount equal to or greater than 5% of the Paid-In Shares in the aggregate, the
Article V Sellers shall first comply with the following:

          (a)      The Article V Seller or Sellers shall give written notice
(the "Article V Notice") to the Company and each Stockholder identifying the
number of Paid-In Shares it desires to Transfer (the "Article V Shares"), the
intended method of the Transfer, the price such Article V Seller desires to
receive for such Article V Shares, the proposed transfer date, and all

                                      -13-
<Page>

other pertinent terms thereof, including, if known, the identity of any proposed
buyer or buyers of such Article V Shares. The Company shall promptly provide to
any Stockholder, upon written request to the Company, for the purpose of
delivering an Article V Notice, a list of the names and addresses of all of the
Stockholders. For purposes hereof, a bona fide third-party tender or exchange
offer to purchase shares of Company Stock shall be deemed to be an offer to
purchase such Shares at the price specified therein, without regard to any
provisions thereof with respect to proration or conditions to the offeror's
obligation to purchase.

          (b)      Any Stockholder that is not an Article V Seller (a
"Participant") may elect to participate in the contemplated Transfer by
delivering a written notice to the Company and the Article V Seller or Sellers,
within 30 Business Days (the "Option Period") after receipt of the Article V
Notice, specifying the number of Paid-In Shares such Participant elects to sell.
Each such Participant may elect to Transfer in the contemplated transaction, at
the same price and on the same terms, up to a number of Paid-in Shares equal to
the product of (i) the quotient determined by dividing the percentage of Paid-In
Shares owned by such Stockholder by the aggregate percentage of Paid-In Shares
owned by the Article V Sellers and all Participants and (ii) the number of
Paid-in Shares to be sold in the proposed transaction. If the Participants and
the Article V Sellers (singularly, a "Selling Party", and, collectively, the
"Selling Parties") in the aggregate elect to sell more than the total number of
Paid-In Shares that the proposed buyer or buyers wish to purchase, then each
Selling Party shall be entitled to sell to such buyer or buyers that number of
Shares equal to the number of Paid-In Shares to be so purchased by such buyer or
buyers from the Selling Parties multiplied by a fraction the numerator of which
is the number of Paid-in Shares such Selling Party elects to sell and the
denominator of which is the aggregate number of Paid-in Shares all of such
Selling Parties elect to sell.

          (c)      Each Article V Seller and Participant shall effect its
participation in a sale or other Transfer by arranging for the delivery to the
buyer or buyers of one or more certificates, properly endorsed for transfer,
which represent the number of shares of Company Stock which the Article V Seller
or Participant is entitled to sell pursuant to this Section 5.01. All shares of
Company Stock proposed to be transferred by each Article V Seller and
Participant shall be transferred free and clear of all liens, claims and
encumbrances of any kind (other than those imposed by federal and state
securities laws and this Agreement) and such Article V Seller and Participant
shall, if requested, deliver certificates to such effect.

     SECTION 5.02.     BRING ALONG RIGHTS.

          (a)      If TCC, Thayer and/or TCC2 (a "Proposing Stockholder") shall
propose a Transfer (in a business combination or otherwise) of 51% or more of
the aggregate of the Paid-In Shares in a bona fide arm's length transaction (a
"Bring Along Sale") with a party who is not an Affiliate of such Proposing
Stockholder, the Proposing Stockholder(s), at its option, may require that (i)
each other Stockholder sell or exchange a Like Percentage of its Paid-In Shares
in the same transaction at the same price and on the same terms and conditions
as applicable to the Proposing Stockholder(s), and (ii) if Stockholder approval
of the transaction is required, then each Stockholder shall vote its shares of
Company Stock in favor thereof. Each Stockholder covenants and agrees that it
shall vote for, consent to and raise no objections against the Bring Along Sale
(and shall waive any rights of appraisal) and shall fully cooperate with and
take all necessary and desirable actions in connection with the consummation of
such Bring Along Sale,

                                      -14-
<Page>

including without limitation executing and delivering (i) a purchase and sale
agreement in the form to be entered into by the Proposing Stockholder(s), (ii)
instruments of conveyance and transfer and (iii) such other documents as the
Proposing Stockholder(s) or the buyer(s) may reasonably require to consummate
the Bring Along Sale. The obligations of the other Stockholders with respect to
any Bring Along Sale are subject to the conditions that upon consummation of the
Bring Along Sale, all of the holders of Common Stock will receive the same form
and amount of consideration per share of Common Stock, all of the holders of the
same series of Preferred Stock will receive the same form and amount of
consideration per share of such series of Preferred Stock, and if any holder of
Common Stock or any series of Preferred Stock is given an option as to the form
and amount of consideration to be received, all holders of such stock will be
given the same option.

          (b)      The Proposing Stockholders shall give written notice (the
"Bring Along Notice") to each of the other Stockholders, identifying the
proposed buyer or buyers, a description of the Bring Along Sale, the number of
shares of Company Stock to be transferred, the amount and type of consideration
to be paid, the proposed transfer date and all other pertinent terms thereof no
later than 15 days prior to such proposed transfer date. The Company shall
promptly provide to the Proposing Stockholders, upon written request to the
Company for the purpose of delivering a Bring Along Notice, a list of the names
and addresses of all of the Stockholders.

          (c)      On the closing date of a Transfer pursuant to this Section
5.02, the Proposing Stockholders and the other Stockholders shall sell the
shares of Company Stock owned by them to the buyer or buyers designated in the
Bring Along Notice on the terms and conditions acceptable to the Proposing
Stockholders which shall be at least as favorable as those set forth in the
Bring Along Notice. By execution of this Agreement, each Stockholder hereby
irrevocably designates and appoints the Proposing Stockholders, or any one of
them, as its attorney in fact to transfer such Stockholder's shares of Company
Stock on the books of the Company in connection with any Transfer made or
required to be made by such Stockholder (if such Stockholder is not a Proposing
Stockholder) pursuant to this Section 5.02. All shares of Company Stock to be
Transferred by each Stockholder pursuant to this Section 5.02 shall be free and
clear of all liens, claims and encumbrances of any kind (other than those
imposed by federal and state securities laws and this Agreement) and such
Stockholder shall, if requested, deliver certificates to such effect.

          (d)      For the purposes of Section 5.01 and Section 5.02, a
"Transfer" shall include a merger, consolidation or similar combination,
exchange, sale of assets followed by a liquidation, any disposition for cash,
marketable securities, debt obligations and/or other property or a combination
thereof and a public offering of shares of Company Stock pursuant to a
registration statement under the Act.

                                   ARTICLE VI

                                ISSUANCE OF STOCK

     SECTION 6.01.     RIGHTS UPON ISSUANCE OF ADDITIONAL SECURITIES. Except as
otherwise provided in Section 6.01(e), the Company hereby grants to each
Stockholder

                                      -15-
<Page>

the following rights with respect to any and all proposed issuances of
Additional Securities by the Company:

          (a)      The Company shall give each Stockholder written notice of the
Company's intention to issue Additional Securities (the "Issuance Notice"),
describing the type of Additional Securities, the price at which the Additional
Securities will be issued and the general terms upon which the Company proposes
to issue the Additional Securities, including the anticipated date of such
issuance.

          (b)      Each Stockholder shall have 20 Business Days from the date it
receives the Issuance Notice to agree to purchase all or any portion of its Pro
Rata Portion of such Additional Securities by giving written notice to the
Company of its desire to purchase Additional Securities (the "Response Notice")
and stating therein the quantity of Additional Securities to be purchased. Such
Response Notice shall constitute the irrevocable agreement of such Stockholder
to purchase the quantity of Additional Securities indicated in the Response
Notice at the price and upon the terms stated in the Issuance Notice; PROVIDED,
HOWEVER, that if the Company is proposing to issue Additional Securities for
consideration other than all cash, and subject to the limitations on the rights
set forth in this Section 6.01(e), the Company shall accept from such
Stockholder either non-cash consideration which is reasonably comparable to the
non-cash consideration proposed by the Company or the cash value of such
non-cash consideration. Any purchase by a Stockholder of Additional Securities
shall be consummated on or prior to the later of the date on which all other
Additional Securities described in the applicable Issuance Notice are issued or
the tenth Business Day following delivery of the Response Notice by such
Stockholder.

          (c)      The Company shall have 120 days from the date of the Issuance
Notice to consummate the proposed issuance of the Additional Securities, which
the Stockholders have not elected to purchase pursuant to Section 6.01(b).
Notwithstanding the foregoing, the Company may sell the Additional Securities
which the Stockholders have not elected to purchase pursuant to a Response
Notice at a price and upon terms that are less favorable to the Company than
those specified in the Issuance Notice; PROVIDED that any purchase of Additional
Securities by the Stockholders consummated at the time of such issuance,
pursuant to the last sentence of Section 6.01(b), shall be upon the same less
favorable terms; PROVIDED, FURTHER that if a Stockholder did not elect to
purchase any or all of its Pro Rata Portion of Additional Securities based upon
the terms specified in the relevant Issuance Notice, the Company shall provide
such Stockholder with a revised Issuance Notice reflecting such less favorable
terms, and each such Stockholder shall have 15 Business Days from the date such
Stockholder receives such revised Issuance Notice to agree to purchase all or
any portion of its Pro Rata Portion of such Additional Securities to be issued
upon the less favorable terms set forth in the revised Issuance Notice by giving
written notice to the Company of its desire to purchase such Additional
Securities and stating therein the quantity of Additional Securities to be
purchased. In the event the Company proposes to issue Additional Securities
after such 180-day period or Additional Securities in addition to those
specified in the Issuance Notice, it must again comply with the procedures set
forth in this Section 6.01.

          (d)      In the event the Company grants to any Person rights to
participate in any issuances of Securities which are more favorable than the
rights granted to the Stockholders in

                                      -16-
<Page>

this Section 6.01, the rights granted to the Stockholders shall be expanded to
the extent necessary to make such rights no less favorable than the rights
granted to such other Person; PROVIDED, HOWEVER, that the foregoing provisions
shall not apply to the rights granted by the Company to any underwriter to
acquire Securities to be issued and sold by the Company in a Public Offering.

          (e)      Notwithstanding the foregoing provisions of this Section
6.01, the Stockholders shall not have the right to participate in the issuances
of any Securities (i) made as part of the consideration paid by the Company in
any merger, consolidation, combination, acquisition of securities of another
corporation or purchase of any business or assets for such securities by or with
the Company; PROVIDED that the Board shall have determined, in its sole
discretion by resolution approved by the Board, that the consideration to be
received by the Company in such issuance is not less than the fair market value
of the Securities to be issued in such transaction; PROVIDED, FURTHER, that no
Stockholder or Affiliate thereof shall own any interest in the corporation or
entity with whom the merger, consolidation, combination, acquisition or purchase
of assets is consummated, unless such Stockholder is an executive officer of the
Company on such date and will be employed by the entity with which the merger,
consolidation, combination, acquisition or purchase of assets transaction is
consummated after the date of such transaction; or (ii) any Securities issued or
issuable to any employees, officers or directors pursuant to any Employee Plan
approved by the Board.

                                   ARTICLE VII

                                  MISCELLANEOUS

     SECTION 7.01.     REPRESENTATIONS AND WARRANTIES.

          (a)      Each of the Stockholders hereby represents and warrants to
the Company and the other Stockholders as follows:

          (i)      such Stockholder has full power and authority to execute,
                   deliver and perform this Agreement and to consummate the
                   transactions contemplated hereby without the consent,
                   concurrence or joinder of any other Person (except for any
                   such consent, concurrence or joinder that has been obtained
                   and a copy of which has been delivered to the Company);

          (ii)     the execution, delivery, and performance by such Stockholder
                   of this Agreement and the consummation by it of the
                   transactions contemplated hereby have been duly authorized by
                   all necessary action on the part of such Stockholder;

          (iii)    this Agreement has been duly and validly executed and
                   delivered by such Stockholder and constitutes a binding
                   obligation of such Stockholder, enforceable against such
                   Stockholder in accordance with its terms; and

          (iv)     the execution, delivery and performance by such Stockholder
                   of this Agreement and the consummation by such Stockholder of
                   the transactions contemplated hereby will not (with or
                   without the giving of notice or the lapse of time, or both)
                   (A) violate any provision of law, statute, rule or

                                      -17-
<Page>

                   regulation to which such Stockholder is subject, (B) violate
                   any order, judgment, or decree applicable to such Stockholder
                   or its properties or assets, or (C) conflict with, or result
                   in a breach or default under, any agreement or other
                   instrument to which such Stockholder is a party or by which
                   such Stockholder or its properties or assets is bound.

          (b)      The Company hereby represents to each of the Stockholders as
follows:

          (i)      the Company is a corporation duly organized, validly existing
                   and in good standing under the laws of the State of Delaware;

          (ii)     the Company has all requisite corporate power and authority
                   under the Amended Charter and By-Laws to execute, deliver and
                   perform this Agreement and to consummate the transactions
                   contemplated hereby;

          (iii)    the execution, delivery and performance by the Company of
                   this Agreement and the consummation by the Company of the
                   transactions contemplated hereby have been duly authorized by
                   all necessary corporate action on the part of the Company;

          (iv)     this Agreement has been duly and validly executed and
                   delivered by the Company and constitutes a binding obligation
                   of the Company, enforceable against the Company in accordance
                   with its terms; and

          (v)      the execution, delivery and performance by the Company of
                   this Agreement and the consummation by the Company of the
                   transactions contemplated hereby will not (with or without
                   the giving of notice or the lapse of time, or both) (A)
                   violate any provision of law, statute, rule or regulation to
                   which the Company is subject, (B) violate any order,
                   judgment, or decree applicable to the Company or its
                   properties or assets, or (C) conflict with, or result in a
                   breach or default under, the Amended Charter or Bylaws or any
                   other agreement or other instrument to which the Company is a
                   party or by which the Company or its properties or assets is
                   bound.

     SECTION 7.02.     LEGEND. A copy of this Agreement shall be filed with the
permanent records of the Company and shall be kept at all times at the principal
place of business of the Company. Each Stockholder agrees that all certificates
representing shares of Common Stock and Preferred Stock shall have affixed
thereto a legend substantially in the following form:

     "THE SHARES REPRESENTED BY THIS CERTIFICATE HAVE NOT BEEN REGISTERED UNDER
     THE SECURITIES ACT OF 1933, AS AMENDED (THE "ACT"), OR ANY STATE SECURITIES
     LAWS AND MAY NOT BE OFFERED, SOLD, TRANSFERRED OR OTHERWISE DISPOSED OF OR
     PLEDGED OR HYPOTHECATED UNLESS REGISTERED UNDER THE ACT AND ANY APPLICABLE
     STATE SECURITIES LAWS OR UNLESS AN EXEMPTION FROM REGISTRATION UNDER THE
     ACT AND ANY SUCH LAWS IS AVAILABLE

                                      -18-
<Page>

     (AND, IN SUCH CASE, AN OPINION OF COUNSEL ACCEPTABLE TO THE COMPANY, IN
     FORM AND SUBSTANCE REASONABLY SATISFACTORY TO THE COMPANY, SHALL HAVE BEEN
     DELIVERED TO THE COMPANY TO THE EFFECT THAT THE OFFER, SALE, TRANSFER,
     DISPOSITION, PLEDGE OR HYPOTHECATION THEREOF IS EXEMPT FROM REGISTRATION
     UNDER THE ACT AND ANY SUCH LAWS).

     THE SHARES REPRESENTED BY THIS CERTIFICATE ARE SUBJECT TO CERTAIN
     RESTRICTIONS ON TRANSFER AS SET FORTH IN A STOCKHOLDERS' AGREEMENT DATED AS
     OF SEPTEMBER 10, 2001 AMONG THE COMPANY AND ITS STOCKHOLDERS, AS IT MAY BE
     AMENDED FROM TIME TO TIME. A COPY OF SUCH AGREEMENT WILL BE FURNISHED TO
     THE RECORD HOLDER OF THE SHARES REPRESENTED BY THIS CERTIFICATE WITHOUT
     CHARGE UPON WRITTEN REQUEST TO THE COMPANY AT ITS PRINCIPAL PLACE OF
     BUSINESS OR REGISTERED OFFICE. NO REGISTRATION OF TRANSFER OF SUCH SHARES
     WILL BE MADE ON THE BOOKS OF THE COMPANY UNLESS AND UNTIL SUCH RESTRICTIONS
     SHALL BE COMPLIED WITH."

     SECTION 7.03.     TERMINATION UPON PUBLIC OFFERING OR SALE TRANSACTION. If
this Agreement has not previously been terminated by the written consent of all
the Stockholders then party hereto, this Agreement, except for the provisions of
Section 2.01, shall terminate upon the effective date of a Public Offering or
Sale Transaction. In addition, upon the request of the underwriter in connection
with an initial Public Offering, the Stockholders will discuss the termination
of Section 2.01.

     SECTION 7.04.     AMENDMENT; WAIVER. The provisions of this Agreement may
be amended, and compliance with the provisions hereof may be waived, only by a
written instrument executed by Stockholders holding not less than seventy
percent (70%) of the Paid-In Shares and the Company; PROVIDED, HOWEVER, that the
Agreement may be amended to add a new Stockholder as a party hereto by the
Company and such new Stockholder executing and delivering a Joinder Agreement.
No failure on the part of any party to exercise any right, power or privilege
granted hereunder shall operate as a waiver thereof, nor shall any single or
partial exercise thereof preclude any other or further exercise thereof or the
exercise of any other right, power or privilege granted hereunder.

     By virtue of the execution hereof, any non-compliance with the provisions
of the Prior Agreements in connection with the issuance of the Series D
Preferred Stock is hereby waived.

     SECTION 7.05.     FURTHER ASSURANCES. Each Stockholder agrees to do, or
cause to be done, such further acts and to execute and deliver, or to cause to
be executed and delivered, such further agreements, instruments, certificates
and other documents as may be necessary or appropriate to effectuate and carry
out the purposes of this Agreement.

     SECTION 7.06.     NOTICES. All notices and other communications hereunder
shall be in writing and shall be given by delivery in person, by registered or
certified mail (return

                                      -19-
<Page>

receipt requested and with postage prepaid thereon) or by facsimile transmission
to the parties at their respective addresses as reflected in the Company's
records (or to such other address as any party shall have furnished to the
others pursuant to this Section 7.06). All notices and other communications
hereunder that are addressed as provided in this Section 7.06 shall be deemed
duly and validly given, (a) if delivered in person or by overnight courier, upon
delivery, (b) if delivered by registered or certified mail, 72 hours after being
placed in a depository of the United States mails, and (c) if delivered by
facsimile transmission, upon transmission thereof and receipt of the appropriate
confirmation.

     SECTION 7.07.     BINDING EFFECT; ASSIGNMENT. This Agreement shall be
binding upon and inure to the benefit of the parties hereto and their respective
heirs, assigns, executors, administrators, personal representatives and
successors (it being understood and agreed that nothing contained in this
Agreement is intended to confer upon any other Person any rights, benefits or
remedies of any kind or character whatsoever). No Stockholder may assign this
Agreement to any Person (other than a Permitted Transferee of Shares previously
owned or held by such Stockholder that acquired the same in compliance with the
provisions of this Agreement) without the prior written consent of each of the
other parties hereto.

     SECTION 7.08.     SEVERABILITY. In the event that any provision set forth
in this Agreement is found to be invalid, illegal or unenforceable, the
validity, legality and enforceability of the remaining terms and provisions
hereof shall not be in any way affected thereby, and this Agreement shall be
construed as if such invalid, illegal or unenforceable provision had never been
contained herein.

     SECTION 7.09.     SPECIFIC PERFORMANCE. The parties hereto agree that a
violation of the provisions hereof would cause irreparable injury to the parties
hereto for which they would have no adequate remedy at law. Accordingly, in the
event of any such violation, the parties hereto shall be entitled to preliminary
and other injunctive relief without necessity of complying with any requirement
as to the posting of a bond or other security. Any such injunctive relief shall
be in addition to any other remedies that may now or hereafter be available at
law or in equity.

     SECTION 7.10.     GOVERNING LAW. This Agreement shall be governed by and
construed in accordance with the laws of the State of Delaware.

     SECTION 7.11.     ENTIRE AGREEMENT. This Agreement constitutes the entire
agreement among the parties with respect to the subject matter hereof and
supersedes all prior agreements or understandings, whether written or oral,
among the parties or any of them with respect thereto, including the Prior
Agreements.

     SECTION 7.12.     COUNTERPARTS. This Agreement may be executed in one or
more counterparts, each of which shall be deemed an original, but all of which
together shall constitute one and the same instrument.

     SECTION 7.13.     BOARD MEETINGS. The Company shall conduct quarterly board
meetings at which the financial statements and activities of the Company in the
prior quarter are reviewed.

     SECTION 7.14.     INFORMATION. Each Stockholder shall receive all
information provided to any other Stockholder, in their capacity as such, at the
time such other Stockholder receives such information.

                                      -20-
<Page>

     SECTION 7.15.     WARRANT HOLDERS. No right granted under this Agreement
shall be effective as to any Warrant Holder that is a party to this Agreement on
the date hereof, or that becomes a party to this Agreement by submitting a
Joinder Agreement to the Company in connection with being issued, after the date
hereof, warrants to purchase Company Stock, until such Warrant Holder exercises
its right to purchase shares of Company Stock pursuant to its warrants. Upon any
such purchase, the Warrant Holder shall become a Stockholder with respect to the
shares of Company Stock purchased, subject to all the terms, conditions and
restrictions and entitled to all the rights and benefits of this Agreement. The
foregoing notwithstanding, upon becoming a party to this Agreement, Warrant
Holders shall be subject to all the terms, conditions and restrictions of this
Agreement.

     SECTION 7.16.     EXPENSES. The costs and expenses (including reasonable
attorney's fees) associated with any filings with any governmental body and any
approvals of any governmental authority (including with respect to the
Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended) required under
the Amended Charter in connection with the conversion or redemption of any
capital stock of the Company shall be paid by the Company.

                                      -21-
<Page>

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

ADDRESSES:                              COMPANY:

6125 Airport Freeway                    IESI CORPORATION
Haltom City, Texas 76177                a Delaware corporation
Attn: President
Tel: (817) 314-5800
Fax: (817) 314-5239                     By:
                                           -------------------------------------
                                        Name:
                                             -----------------------------------
with a copy to                          Title:
                                              ----------------------------------

IESI Corporation
2 Commerce Street
Bayonne, New Jersey 07002
Attn:   Secretary
Tel:  (201) 437-5200
Fax:  (201) 437-5300

c/o Jeffrey Keenan                      IESI CAPITAL LLC,
11201 Brookwood Street                  a Mississippi limited liability company
Leawood, Kansas 66211
Tel: (913) 906-9601
Fax: (913) 906-9716                     By:
                                           -------------------------------------
                                           Jeffrey J. Keenan
                                           Managing Member

c/o Jeffrey Keenan                      IESI CAPITAL II LLC,
11201 Brookwood Street                  a Delaware limited partnership
Leawood, Kansas 66211
Tel: (913) 906-9601
Fax: (913) 906-9716                     By:
                                           -------------------------------------
                                           Jeffrey J. Keenan
                                           Managing Member

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -22-
<Page>

c/o Jeffrey Keenan                      IESI CAPITAL III LLC,
11201 Brookwood Street                  a Mississippi limited liability company
Leawood, Kansas 66211
Tel: (913) 906-9601
Fax: (913) 906-9716                     By:
                                           -------------------------------------
                                           Jeffrey J. Keenan
                                           Managing Member

c/o Jeffrey Keenan                      IESI CAPITAL IV LLC,
11201 Brookwood Street                  a Mississippi limited liability company
Leawood, Kansas 66211
Tel: (913) 906-9601
Fax: (913) 906-9716                     By:
                                           -------------------------------------
                                           Jeffrey J. Keenan
                                           Managing Member

c/o Jeffrey Keenan                      IESI CAPITAL V LLC,
11201 Brookwood Street                  a Mississippi limited liability company
Leawood, Kansas 66211
Tel: (913) 906-9601
Fax: (913) 906-9716                     By:
                                           -------------------------------------
                                           Jeffrey J. Keenan
                                           Managing Member

1601 Elm Street                         JIM SOWELL CONSTRUCTION CO., INC.,
Suite 300                               a Texas corporation
Dallas, Texas 75201
Attn: Steven Smathers
Fax: (214) 871-1569
                                        By:
                                           -------------------------------------
                                        Name:
                                             -----------------------------------
                                        Title:
                                              ----------------------------------

c/o AEA Investors                       ----------------------------------------
301 Commerce Street, Suite 1405         CHARLES R. CUMMINGS
Fort Worth, Texas 76102

3330 North Beach Street
Haltom City, Texas 76117

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -23-
<Page>

c/o IESI Corporation                    ----------------------------------------
6125 Airport Freeway                    CHARLES F. FLOOD
Suite 202
Halton City, Texas 76117

9214 Summer Hill Boulevard              ----------------------------------------
Fountain Hills, Arizona 85268           JOSEPH G. MRJENOVICH

c/o Sanders Morris Harris               ENVIRONMENTAL OPPORTUNITIES
3100 Chase Tower                        FUND II, L.P.,
600 Travis Street, Suite 3100           a Delaware limited partnership
Houston, Texas 77002                    By: Fund II Mgt. Co., LLC, its General
Attn:  Bruce R. McMaken                     Partner
Fax: (713) 250-4294

                                        By:
                                           -------------------------------------
                                           Bruce R. McMaken
                                           Manager

c/o Sanders Morris Harris               ENVIRONMENTAL OPPORTUNITIES
3100 Chase Tower                        FUND II (INSTITUTIONAL), L.P.,
600 Travis Street, Suite 3100           a Delaware limited partnership
Houston, Texas 77002                    By: Fund II Mgt. Co., LLC, its General
Attn: Bruce R. McMaken                      Partner
Fax: (713) 250-4294

                                        By:
                                           -------------------------------------
                                           Bruce R. McMaken
                                           Manager

c/o Sanders Morris Harris               ENVIRONMENTAL OPPORTUNITIES FUND, L.P.,
3100 Chase Tower                        a Delaware limited partnership
600 Travis Street                       By: Environmental Opportunities
Suite 3100                                  Management Co., LLC, its General
Houston, Texas 77002                        Partner
Attn: Bruce R. McMaken
Fax: (713) 250-4294                     By:
                                           -------------------------------------
                                           Kenneth Ch'uan-k'ai Leung
                                           Manager

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -24-
<Page>

c/o M.H. Mererson & Co., Inc.           MANHATTAN GROUP FUNDING,
Newport Office Tower                    a New Jersey limited partnership
525 Washington Boulevard
Jersey City, NJ 07303

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

Fleet National Bank                     BANCBOSTON INVESTMENTS INC.,
100 Federal Street                      a Massachusetts corporation
MA DE 10008H
Boston, Massachusetts 02110

Attn:  Mr. Tim Laurion                  By:
                                           -------------------------------------
                                        Printed Name:
                                                     ---------------------------
                                        Title:
                                              ----------------------------------

666 Third Avenue, 9th Floor             SUEZ EQUITY INVESTORS, L.P.,
New York, New York 10017                a Delaware limited partnership
Fax:  (646) 658-2203                    By SEI Capital, L.L.C., its General
                                           Partner,

                                        By:
                                           -------------------------------------
                                           Michael F. Walsh
                                           Member

666 Third Avenue, 9th Floor             SEI ASSOCIATES,
New York, New York 10017                a Delaware partnership
Fax:  (646) 658-2203

                                        By:
                                           -------------------------------------
                                           Michael F. Walsh
                                           Partner

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -25-
<Page>

1455 Pennsylvania Avenue, N.W.          TC CARTING, L.L.C.,
Suite 350                               a Delaware limited liability company
Washington, D.C. 20004
Fax: 202-371-0391                       By:Thayer Equity Investors III, L.P.,
                                           its Managing Member

                                        By:Thayer Equity Partners, L.L.C.,
                                           its General Partner

                                        By:
                                           -------------------------------------

1455 Pennsylvania Avenue, N.W.          THAYER EQUITY INVESTORS IV, L.P.
Suite 350
Washington, D.C. 20004                  By:TC Equity Partners IV, L.L.C.,
Fax: 202-371-0391                          its General Partner

                                        By:
                                           -------------------------------------

1455 Pennsylvania Avenue, N.W.          TC CARTING II, L.L.C.,
Suite 350                               a Delaware limited liability company
Washington, D.C. 20004
Fax: 202-371-0391                       By:TC Management Partners IV, L.L.C.,
                                           its Managing Member

                                        By:Thayer Equity Partners IV, L.L.C.,
                                           its General Partner

                                        By:
                                           -------------------------------------

315 Engle Street                        ----------------------------------------
Tenafly, New Jersey  07670              PAUL RUTIGLIANO

265 River Road, Apt. 5                  ----------------------------------------
Grandview, New York 10960               PATRICIA RUTIGLIANO

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -26-
<Page>

2628 East Main                          ----------------------------------------
Mendham, New Jersey 07945               SALVATORE RUTIGLIANO

735 Shelby Lane                         ----------------------------------------
Rivervale, New Jersey 07675             DENNIS RUTIGLIANO

735 Shelby Lane                         ----------------------------------------
Rivervale, New Jersey 07675             MELANIE RUTIGLIANO

58 Windsor Oval                         ----------------------------------------
New Rochelle, New York 10805            JOHN T. PASQUALE

76 Gail Drive                           ----------------------------------------
New Rochelle, New York 10805            RONALD PASQUALE

2632 National Drive                     ----------------------------------------
Brooklyn, New York 11234                HELEN COLANGELO

7 Louis Drive                           ----------------------------------------
Melville, New York 11747                MAURO DELL'OLIO

49 High Street                          ----------------------------------------
Farmington, Connecticut 06032           J. BRUCE BOISTURE

1 Hoagland Lane                         ----------------------------------------
Brookville, New York 11545              ANTHONY VITALE, SR

17 Harvest Drive                        ----------------------------------------
Plainsboro, New Jersey 08536            EDWARD L. APUZZI

                    [SIGNATURES CONTINUED ON FOLLOWING PAGE]

                                      -27-
<Page>

17 Dudley Court                         ----------------------------------------
Wayne, New Jersey 07470                 JOSEPH LO VERDE

41 Roosevelt Drive                      ----------------------------------------
East Norwich, New York 11732            JOIE MARIE VITALE-HEIN

6 Concord Court                         ----------------------------------------
Lynnbrook, New York 11563               PETER W. PORRI

c/o IESI Corporation                    ----------------------------------------
6125 Airport Freeway                    KIMBERLY FLOOD
Suite 202
Haltom City, Texas 76117

                                      -28-
<Page>

                                    EXHIBIT A

                                 AMENDED CHARTER

                                      -29-
<Page>

                                    EXHIBIT B

                                JOINDER AGREEMENT

          THIS JOINDER AGREEMENT (this "Agreement") is made this __ day of
_____, by _____________ (the "New Stockholder") in favor of IESI Corporation, a
Delaware corporation (the "Company") and the other parties to the Stockholders'
Agreement referred to below.

                                   WITNESSETH:

          WHEREAS, the Company and the stockholders named on EXHIBIT A hereto
(collectively, the "Stockholders") are parties to that certain Amended and
Restated Stockholders' Agreement dated as of [ __], 2001 (the "Stockholders'
Agreement"); and

          WHEREAS, concurrently with the execution and delivery of this
Agreement to the Board of the Company, the New Stockholder is acquiring ____
shares of ______ Stock of the Company; and

          WHEREAS, it is a condition to the transfer of such shares to the New
Stockholder that he execute and deliver this Agreement;

          NOW, THEREFORE, in consideration of the premises, the terms and
provisions set forth herein, the mutual benefits to be gained by the performance
thereof and other good and valuable consideration, the receipt and sufficiency
of which are hereby acknowledged, the parties agree as follows:

          1.   The New Stockholder acknowledges and agrees that by execution and
delivery of this Agreement, he becomes a party to the Stockholders' Agreement,
subject to the terms, conditions and restrictions set forth therein. The New
Stockholder hereby acknowledges receipt of a true and correct copy of the
Stockholders' Agreement and confirms that the representations and warranties
contained in Section 7.01(a) thereof are true and correct with respect to such
New Stockholder.

          2.   This Agreement shall be governed by and construed in accordance
with the laws of the State of Delaware.

          3.   This Agreement and the Stockholders' Agreement constitute the
entire agreement among the parties with respect to the subject matter hereof.

          4.   In the event that any provision set forth in this Agreement is
found to be invalid, illegal or unenforceable, the validity, legality and
enforceability of the remaining terms and provisions hereof shall not be in any
way affected thereby, and this Agreement shall be construed as if such invalid,
illegal or unenforceable provision had never been contained herein.

                                      -30-
<Page>

          5.   This Agreement may be executed in one or more counterparts, each
of which shall be deemed an original, but all of which together shall constitute
one and the same instrument.

     IN WITNESS WHEREOF, the parties have entered into this Agreement as of the
date written above.

     ADDRESS:                           COMPANY:

     2 Commerce Street                  IESI Corporation,
     Bayonne, New Jersey 07002          a Delaware corporation
                                        By:
                                           -------------------------------------
                                        Name:
                                             -----------------------------------
                                        Title:
                                              ----------------------------------

     ADDRESS:                           NEW STOCKHOLDER:

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

                                      -31-<Page>

                                                                    EXHIBIT 10.7

                                                                  EXECUTION COPY

                           FOURTH AMENDED AND RESTATED
                    REVOLVING CREDIT AND TERM LOAN AGREEMENT

                         Dated as of September 14, 2001

                                      among

                         IESI CORPORATION (the "PARENT")
                and its Subsidiaries listed on SCHEDULE 2 hereto
                        (collectively, the "BORROWERS"),

                    THE LENDERS LISTED ON SCHEDULE 1 HERETO,

                  FLEET NATIONAL BANK, as Administrative Agent,

           LASALLE BANK NATIONAL ASSOCIATION, as Documentation Agent,

              CREDIT SUISSE FIRST BOSTON, as Syndication Agent, and

               CITICORP NORTH AMERICA, INC., as Syndication Agent

                                      with

                       FLEET SECURITIES, INC., as Arranger

<Page>

                                TABLE OF CONTENTS

<Table>
<S>                                                                                   <C>
1.  DEFINITIONS AND RULES OF INTERPRETATION........................................... 1
        1.1.   DEFINITIONS............................................................ 1
        1.2.   RULES OF INTERPRETATION................................................20

2.  THE REVOLVING CREDIT FACILITY.....................................................21
        2.1.   COMMITMENT TO LEND.....................................................21
        2.2.   INCREASE IN TOTAL REVOLVING CREDIT COMMITMENT; REALLOCATION............22
        2.3.   COMMITMENT FEE.........................................................23
        2.4.   REDUCTION OF TOTAL REVOLVING CREDIT COMMITMENT.........................23
        2.5.   THE REVOLVING CREDIT NOTES.............................................23
        2.6.   INTEREST ON REVOLVING CREDIT LOANS.....................................24
        2.7.   REQUESTS FOR REVOLVING CREDIT LOANS....................................24
        2.8.   CONVERSION OPTIONS.....................................................25
                 2.8.1.   CONVERSION TO DIFFERENT TYPE OF REVOLVING CREDIT LOAN.......25
                 2.8.2.   CONTINUATION OF TYPE OF REVOLVING CREDIT LOAN...............25
                 2.8.3.   EURODOLLAR RATE LOANS.......................................25
        2.9.   FUNDS FOR REVOLVING CREDIT LOAN........................................26
                 2.9.1.   FUNDING PROCEDURES..........................................26
                 2.9.2.   ADVANCES BY ADMINISTRATIVE AGENT............................26
        2.10.   SWING LINE LOANS; SETTLEMENTS.........................................27
        2.11.   REPAYMENT OF THE REVOLVING CREDIT LOANS...............................29
                 2.11.1.  MATURITY....................................................29
                 2.11.2.  MANDATORY REPAYMENT OF THE REVOLVING CREDIT LOANS...........29
                 2.11.3.  OPTIONAL PREPAYMENT OF THE REVOLVING CREDIT LOANS...........30

3.  THE TERM LOAN.....................................................................30
        3.1.   COMMITMENT TO LEND.....................................................30
        3.2.   INCREASE IN TERM LOAN; REALLOCATION....................................30
        3.3.   THE TERM NOTES.........................................................31
        3.4.   SCHEDULE OF INSTALLMENT PAYMENTS OF PRINCIPAL OF TERM LOAN.............32
        3.5.   OPTIONAL PREPAYMENT OF TERM LOAN.......................................32
        3.6.   MANDATORY PREPAYMENTS OF THE TERM LOAN.................................32
                 3.6.1.   PREPAYMENT OF SUBORDINATED DEBT.............................32
                 3.6.2.   PREPAYMENT OF TERM LOAN WITH PROCEEDS OF SUBORDINATED DEBT..33
                 3.6.3.   PAYMENT PROVISIONS..........................................33
        3.7.   INTEREST ON TERM LOAN..................................................33
                 3.7.1.   INTEREST RATES..............................................33
                 3.7.2.   NOTIFICATION BY BORROWERS...................................34
                 3.7.3.   AMOUNTS, ETC................................................34

4.  LETTERS OF CREDIT.................................................................34
        4.1.   LETTER OF CREDIT COMMITMENTS...........................................34
                 4.1.1.   COMMITMENT TO ISSUE LETTERS OF CREDIT.......................34
                 4.1.2.   LETTER OF CREDIT APPLICATIONS...............................35
</Table>

<Page>

                                      -ii-

<Table>
<S>                                                                                   <C>
                 4.1.3.   TERMS OF LETTERS OF CREDIT..................................35
                 4.1.4.   REIMBURSEMENT OBLIGATIONS OF REVOLVING CREDIT LENDERS.......35
                 4.1.5.   PARTICIPATIONS OF REVOLVING CREDIT LENDERS..................35
        4.2.   REIMBURSEMENT OBLIGATION OF THE BORROWERS..............................36
        4.3.   LETTER OF CREDIT PAYMENTS..............................................37
        4.4.   OBLIGATIONS ABSOLUTE...................................................37
        4.5.   RELIANCE BY ISSUER.....................................................38
        4.6.   LETTER OF CREDIT FEE...................................................38

5.  CERTAIN GENERAL PROVISIONS........................................................39
        5.1.   FEES...................................................................39
        5.2.   FUNDS FOR PAYMENTS.....................................................39
                 5.2.1.   PAYMENTS TO ADMINISTRATIVE AGENT............................39
                 5.2.2.   NO OFFSET, ETC..............................................39
                 5.2.3.   NON-U.S. LENDERS............................................39
        5.3.   COMPUTATIONS...........................................................40
        5.4.   INABILITY TO DETERMINE EURODOLLAR RATE.................................41
        5.5.   ILLEGALITY.............................................................41
        5.6.   ADDITIONAL COSTS, ETC..................................................41
        5.7.   CAPITAL ADEQUACY.......................................................43
        5.8.   CERTIFICATE............................................................43
        5.9.   INDEMNITY..............................................................43
        5.10.  DEFAULT INTEREST.......................................................44
        5.11.  CONCERNING JOINT AND SEVERAL LIABILITY OF THE BORROWERS................44

6.  COLLATERAL SECURITY...............................................................47

7.  REPRESENTATIONS AND WARRANTIES....................................................47
        7.1.   CORPORATE AUTHORITY....................................................47
                 7.1.1.   INCORPORATION; GOOD STANDING................................47
                 7.1.2.   AUTHORIZATION...............................................48
                 7.1.3.   ENFORCEABILITY..............................................48
        7.2.   GOVERNMENTAL APPROVALS.................................................48
        7.3.   TITLE TO PROPERTIES; LEASES............................................48
        7.4.   FINANCIAL STATEMENTS AND PROJECTIONS...................................48
                 7.4.1.   FISCAL YEAR.................................................48
                 7.4.2.   FINANCIAL STATEMENTS........................................48
                 7.4.3.   PROJECTIONS.................................................49
        7.5.   NO MATERIAL ADVERSE CHANGES, ETC.......................................49
        7.6.   FRANCHISES, PATENTS, COPYRIGHTS, ETC...................................49
        7.7.   LITIGATION.............................................................49
        7.8.   NO MATERIALLY ADVERSE CONTRACTS, ETC...................................49
        7.9.   COMPLIANCE WITH OTHER INSTRUMENTS, LAWS, ETC...........................49
        7.10.  TAX STATUS.............................................................50
        7.11.  NO EVENT OF DEFAULT....................................................50
        7.12.  HOLDING COMPANY AND INVESTMENT COMPANY ACTS............................50
        7.13.  ABSENCE OF FINANCING STATEMENTS, ETC...................................50
        7.14.  PERFECTION OF SECURITY INTEREST........................................50
</Table>

<Page>

                                      -iii-

<Table>
<S>                                                                                   <C>
        7.15.  CERTAIN TRANSACTIONS...................................................50
        7.16.  EMPLOYEE BENEFIT PLANS.................................................51
                 7.16.1.  IN GENERAL..................................................51
                 7.16.2.  TERMINABILITY OF WELFARE PLANS..............................51
                 7.16.3.  GUARANTEED PENSION PLANS....................................51
                 7.16.4.  MULTIEMPLOYER PLANS.........................................52
        7.17.  USE OF PROCEEDS........................................................52
                 7.17.1.  GENERAL.....................................................52
                 7.17.2.  REGULATIONS U AND X.........................................52
                 7.17.3.  INELIGIBLE SECURITIES.......................................52
        7.18.  ENVIRONMENTAL COMPLIANCE...............................................52
        7.19.  SUBSIDIARIES, ETC......................................................54
        7.20.  DISCLOSURE.............................................................54
        7.21.  CAPITALIZATION.........................................................54

8.  AFFIRMATIVE COVENANTS.............................................................55
        8.1.   PUNCTUAL PAYMENT.......................................................55
        8.2.   MAINTENANCE OF OFFICE..................................................55
        8.3.   RECORDS AND ACCOUNTS...................................................55
        8.4.   FINANCIAL STATEMENTS, CERTIFICATES AND INFORMATION.....................55
        8.5.   NOTICES................................................................57
                 8.5.1.   DEFAULTS....................................................57
                 8.5.2.   ENVIRONMENTAL EVENTS........................................57
                 8.5.3.   NOTIFICATION OF CLAIM AGAINST COLLATERAL....................58
                 8.5.4.   NOTICE OF LITIGATION AND JUDGMENTS..........................58
        8.6.   LEGAL EXISTENCE; MAINTENANCE OF PROPERTIES.............................58
        8.7.   INSURANCE..............................................................59
        8.8.   TAXES..................................................................59
        8.9.   INSPECTION OF PROPERTIES AND BOOKS, ETC................................59
                 8.9.1.   GENERAL.....................................................59
                 8.9.2.   COMMUNICATIONS WITH ACCOUNTANTS.............................59
        8.10.  COMPLIANCE WITH LAWS, CONTRACTS, LICENSES, AND PERMITS.................60
        8.11.  EMPLOYEE BENEFIT PLANS.................................................60
        8.12.  USE OF PROCEEDS........................................................60
        8.13.  INTEREST RATE PROTECTION...............................................60
        8.14.  NEW BORROWERS..........................................................60
        8.15.  CLOSURE AND POST CLOSURE LIABILITIES...................................61
        8.16.  FURTHER ASSURANCES.....................................................61
        8.17.  ENVIRONMENTAL INDEMNIFICATION..........................................61
        8.18.  POST-CLOSING REQUIREMENT...............................................61

9.  CERTAIN NEGATIVE COVENANTS........................................................62
        9.1.   RESTRICTIONS ON INDEBTEDNESS...........................................62
        9.2.   RESTRICTIONS ON LIENS..................................................63
                 9.2.1.   PERMITTED LIENS.............................................63
                 9.2.1.   RESTRICTIONS ON NEGATIVE PLEDGES AND UPSTREAM
                            LIMITATIONS...............................................64
        9.3.   RESTRICTIONS ON INVESTMENTS............................................65
        9.4.   RESTRICTED PAYMENTS; AMENDMENTS TO DOCUMENTS...........................65
</Table>

<Page>

                                      -iv-

<Table>
<S>                                                                                   <C>
        9.5.   MERGER, CONSOLIDATION AND DISPOSITION OF ASSETS........................66
                 9.5.1.   MERGERS AND ACQUISITIONS....................................66
                 9.5.2.   DISPOSITION OF ASSETS.......................................67
        9.6.   SALE AND LEASEBACK.....................................................68
        9.7.   COMPLIANCE WITH ENVIRONMENTAL LAWS.....................................68
        9.8.   SUBORDINATED DEBT......................................................68
        9.9.   EMPLOYEE BENEFIT PLANS.................................................68
        9.10.  BUSINESS ACTIVITIES....................................................69
        9.11.  FISCAL YEAR............................................................69
        9.12.  TRANSACTIONS WITH AFFILIATES...........................................69
        9.13.  NEW FRANCHISE AGREEMENTS...............................................69

10. FINANCIAL COVENANTS...............................................................69
        10.1.  LEVERAGE RATIO.........................................................69
        10.2.  INTEREST COVERAGE......................................................69
        10.3.  CONSOLIDATED NET WORTH.................................................70
        10.4.  CAPITAL EXPENDITURES...................................................70

11. CLOSING CONDITIONS................................................................70
        11.1.  LOAN DOCUMENTS.........................................................70
        11.2.  CERTIFIED COPIES OF GOVERNING DOCUMENTS................................70
        11.3.  CORPORATE OR OTHER ACTION..............................................70
        11.4.  INCUMBENCY CERTIFICATE.................................................71
        11.5.  VALIDITY OF LIENS......................................................71
        11.6.  PERFECTION CERTIFICATES AND UCC SEARCH RESULTS.........................71
        11.7.  CERTIFICATES OF INSURANCE..............................................71
        11.8.  CONSOLIDATED TOTAL FUNDED DEBT TO PRO FORMA EBITDA.....................71
        11.9.  RECEIPT OF THE SERIES D CONVERTIBLE PREFERRED STOCK PROCEEDS...........71
        11.10. SUBORDINATED DEBT......................................................71
        11.11. OPINION OF COUNSEL.....................................................72
        11.12. ENVIRONMENTAL PERMIT CERTIFICATE.......................................72
        11.13. PAYMENT OF FEES........................................................72

12. CONDITIONS TO ALL BORROWINGS......................................................72
        12.1.  REPRESENTATIONS TRUE; NO EVENT OF DEFAULT..............................72
        12.2.  NO LEGAL IMPEDIMENT....................................................73
        12.3.  PROCEEDINGS AND DOCUMENTS..............................................73

13. EVENTS OF DEFAULT; ACCELERATION; ETC..............................................73
        13.1.  EVENTS OF DEFAULT AND ACCELERATION.....................................73
        13.2.  TERMINATION OF COMMITMENTS.............................................76
        13.3.  REMEDIES...............................................................76
        13.4.  DISTRIBUTION OF COLLATERAL PROCEEDS....................................76

14. THE AGENTS........................................................................77
        14.1.  AUTHORIZATION..........................................................77
        14.2.  EMPLOYEES AND ADMINISTRATIVE AGENTS....................................78
        14.3.  NO LIABILITY...........................................................78
        14.4.  NO REPRESENTATIONS.....................................................78
                 14.4.1.  GENERAL.....................................................78
</Table>

<Page>

                                       -v-

<Table>
<S>                                                                                   <C>
                 14.4.2.  CLOSING DOCUMENTATION, ETC..................................79
        14.5.  PAYMENTS...............................................................79
                 14.5.1.  PAYMENTS TO ADMINISTRATIVE AGENT............................79
                 14.5.2.  DISTRIBUTION BY ADMINISTRATIVE AGENT........................79
                 14.5.3.  DELINQUENT LENDERS..........................................80
        14.6.  HOLDERS OF NOTES.......................................................80
        14.7.  INDEMNITY..............................................................80
        14.8.  ADMINISTRATIVE AGENT AS LENDER.........................................81
        14.9.  RESIGNATION............................................................81
        14.10. NOTIFICATION OF DEFAULTS AND EVENTS OF DEFAULT.........................81
        14.11. DUTIES IN THE CASE OF ENFORCEMENT......................................81
        14.12. DUTIES OF DOCUMENTATION AGENT AND SYNDICATION AGENTS...................82

15. ASSIGNMENT AND PARTICIPATION......................................................82
        15.1.  CONDITIONS TO ASSIGNMENT BY LENDERS....................................82
        15.2.  CERTAIN REPRESENTATIONS AND WARRANTIES; LIMITATIONS; COVENANTS.........83
        15.3.  REGISTER...............................................................84
        15.4.  NEW NOTES..............................................................84
        15.5.  PARTICIPATIONS.........................................................84
        15.6.  ASSIGNEE OR PARTICIPANT AFFILIATED WITH THE BORROWERS..................85
        15.7.  MISCELLANEOUS ASSIGNMENT PROVISIONS....................................85
        15.8.  ASSIGNMENT BY BORROWERS................................................86

16. PROVISIONS OF GENERAL APPLICATIONS................................................86
        16.1.  SETOFF.................................................................86
        16.2.  EXPENSES...............................................................86
        16.3.  INDEMNIFICATION........................................................87
        16.4.  TREATMENT OF CERTAIN CONFIDENTIAL INFORMATION..........................88
                 16.4.1.  CONFIDENTIALITY.............................................88
                 16.4.2.  PRIOR NOTIFICATION..........................................89
                 16.4.3.  OTHER.......................................................89
        16.5.  SURVIVAL OF COVENANTS, ETC.............................................89
        16.6.  NOTICES................................................................89
        16.7.  GOVERNING LAW..........................................................90
        16.8.  HEADINGS...............................................................91
        16.9.  COUNTERPARTS...........................................................91
        16.10. ENTIRE AGREEMENT, ETC..................................................91
        16.11. WAIVER OF JURY TRIAL...................................................91
        16.12. CONSENTS, AMENDMENTS, WAIVERS, ETC.....................................92
        16.13. BORROWERS' REPRESENTATIVE..............................................93
        16.14. SEVERABILITY...........................................................93

17. PARI PASSU TREATMENT..............................................................93

18. TRANSITIONAL ARRANGEMENTS.........................................................94
        18.1.  PRIOR CREDIT AGREEMENT SUPERSEDED......................................94
        18.2.  RETURN AND SUBSTITUTION OF NOTES.......................................94
        18.3.  INTEREST AND FEES UNDER PRIOR CREDIT AGREEMENT.........................95
        18.4.  MISCELLANEOUS..........................................................95
</Table>

<Page>

                                      -vi-

                                    EXHIBITS

EXHIBIT A        Form of Revolving Credit Note
EXHIBIT B        Form of Loan Request
EXHIBIT C        Form of Swing Line Note
EXHIBIT D        Form of Term Note
EXHIBIT E        Form of Compliance Certificate
EXHIBIT F        Form of Joinder Agreement
EXHIBIT G        Form of Environmental Permit Certificate
EXHIBIT H        Form of Assignment and Acceptance
EXHIBIT I        Form(s) of Subordinated Debt

                                    SCHEDULES

SCHEDULE 1       Lenders and Commitments
SCHEDULE 2       Subsidiaries of the Parent
SCHEDULE 4.1.1   Existing Letters of Credit
SCHEDULE 7.3     Title to Properties; Leases
SCHEDULE 7.7     Litigation
SCHEDULE 7.15    Certain Transactions
SCHEDULE 7.18    Environmental Compliance
SCHEDULE 7.21    Capitalization
SCHEDULE 8.7     Insurance
SCHEDULE 9.1     Existing Indebtedness
SCHEDULE 9.2     Existing Liens
SCHEDULE 9.3     Existing Investments
SCHEDULE 9.12    Transactions With Affiliates

<Page>

                           FOURTH AMENDED AND RESTATED
                    REVOLVING CREDIT AND TERM LOAN AGREEMENT

        This FOURTH AMENDED AND RESTATED REVOLVING CREDIT AND TERM LOAN
AGREEMENT is made as of September 14, 2001, by and among (a) IESI Corporation, a
Delaware corporation (the "PARENT"), and the subsidiaries of the Parent
identified on SCHEDULE 2 hereto (the "SUBSIDIARIES," and collectively with the
Parent, the "BORROWERS"), (b) the lenders listed on SCHEDULE 1 hereto
(collectively, the "LENDERS"), (c) FLEET NATIONAL BANK ("FLEET"), as
administrative agent for itself and the other Lenders (in such capacity, the
"ADMINISTRATIVE AGENT"), (d) LASALLE Bank National ASSOCIATION, as documentation
agent for itself and the other Lenders (in such capacity, the "DOCUMENTATION
AGENT"), and (e) CREDIT SUISSE FIRST BOSTON, as syndication agent for itself and
the other Lenders, and CITICORP NORTH AMERICA, INC., as syndication agent for
itself and the other Lenders (collectively in such capacities, the "SYNDICATION
AGENTS").

        WHEREAS, pursuant to a Third Amended and Restated Revolving Credit
Agreement, dated as of August 31, 1999 (as amended and in effect from time to
time, the "PRIOR CREDIT AGREEMENT"), by and among the Borrowers, Fleet and the
other lenders identified on SCHEDULE 2 thereto as Banks (the "PRIOR BANKS"), and
Fleet as the Administrative Agent thereunder, the Prior Banks made revolving
credit loans and other extensions of credit to the Borrowers for general
corporate and working capital purposes, capital expenditures and to fund certain
acquisitions permitted thereunder; and

        WHEREAS, the Borrowers have requested, among other things, to amend and
restate the Prior Credit Agreement on the terms and conditions set forth herein
and the Lenders, the Administrative Agent and the Documentation Agent are
willing to amend and restate the Prior Credit Agreement on the terms and
conditions set forth herein;

        NOW THEREFORE, the Borrowers, the Lenders, the Administrative Agent and
the Documentation Agent agree that, as of the Closing Date, the Prior Credit
Agreement is hereby amended and restated in its entirety as set forth herein.

                   1. DEFINITIONS AND RULES OF INTERPRETATION.

        1.1.    DEFINITIONS. The following terms shall have the meanings set
forth in this Section 1 or elsewhere in the provisions of this Credit Agreement
referred to below:

        ACCOUNTANTS. Ernst & Young, LLP or such other independent certified
public accountants satisfactory to the Administrative Agent.

        ACKNOWLEDGEMENT AND CONSENT. The Acknowledgment and Consent, dated as of
the Closing Date and as the same may be amended and in effect from time to time,
by and among IESI TX, IESI DE and the Administrative Agent and in form and
substance satisfactory to the Administrative Agent.

<Page>

                                       -2-

        ADJUSTMENT DATE. The first Business Day immediately following the date
on which a Compliance Certificate is to be delivered by the Borrowers pursuant
to Section 8.4(d).

        ADMINISTRATIVE AGENT'S OFFICE. The Administrative Agent's office located
at 100 Federal Street, Boston, Massachusetts 02110, or at such other location as
the Administrative Agent may designate from time to time.

        ADMINISTRATIVE AGENT. Fleet National Bank, acting as administrative
agent for the Lenders, and each other Person appointed as the successor
Administrative Agent in accordance with Section 14.9.

        ADMINISTRATIVE AGENT'S SPECIAL COUNSEL. Bingham Dana LLP or such other
counsel as may be approved by the Administrative Agent.

        AFFILIATE. Any Person that would be considered to be an affiliate of the
Borrowers or any Lender, as the case may be, under Rule 144(a) of the Rules and
Regulations of the Securities and Exchange Commission, as in effect on the date
hereof, if the Borrowers or such Lender, as the case may be, were issuing
securities.

        APPLICABLE COMMITMENT FEE RATE. As set forth in the table in the
definition of "APPLICABLE MARGIN" under the heading "APPLICABLE COMMITMENT FEE
RATE".

        APPLICABLE MARGIN. For each period commencing on an Adjustment Date
through the date immediately preceding the next Adjustment Date (each a "RATE
ADJUSTMENT PERIOD"), the Applicable Margin shall be the applicable margin set
forth below with respect to the Pricing Ratio, as determined for the Reference
Period of the Borrowers ending on the fiscal quarter ended immediately prior to
the applicable Rate Adjustment Period.

<Table>
<Caption>
                                         REVOLVING CREDIT LOANS     TERM LOAN
                                       -------------------------- ------------------
                                           BASE                   BASE                 APPLICABLE
                                           RATE      EURODOLLAR   RATE    EURODOLLAR   COMMITMENT
LEVEL           PRICING RATIO              LOANS     RATE LOANS   LOANS   RATE LOANS    FEE RATE
---------------------------------------------------------------------------------------------------
 <S>   <C>                                 <C>          <C>       <C>        <C>         <C>
  I            LESS THAN 2.50:1            0.25%        2.25%     1.25%      3.25%       0.375%
---------------------------------------------------------------------------------------------------
 II    GREATER THAN OR EQUAL TO 2.50:1     0.50%        2.50%     1.25%      3.25%       0.500%
                    and
             LESS THAN  3.00:1
---------------------------------------------------------------------------------------------------
 III   GREATER THAN OR EQUAL TO 3.00:1     0.75%        2.75%     1.25%      3.25%       0.500%
                    and
             LESS THAN 3.50:1
---------------------------------------------------------------------------------------------------
 IV    GREATER THAN OR EQUAL TO 3.50:1     1.00%        3.00%     1.25%      3.25%       0.500%
---------------------------------------------------------------------------------------------------
</Table>

        Notwithstanding the foregoing, (a) for the Loans outstanding and the
Letter of Credit Fees and the Commitment Fee payable during the period
commencing on the Closing Date through the date which is six (6) months
following the Closing

<Page>

                                       -3-

Date, the Applicable Margin shall be the Applicable Margin set forth in Level II
above, and (b) if the Borrowers fail to deliver any Compliance Certificate
pursuant to Section 8.4(d) hereof then, for the period commencing on the next
Adjustment Date to occur subsequent to such failure through the date immediately
following the date on which such Compliance Certificate is delivered, the
Applicable Margin shall be the highest Applicable Margin set forth above.

        APPLICABLE PENSION LEGISLATION. At any time, any pension or retirement
benefits legislation (be it national, federal, provincial, territorial or
otherwise) then applicable to the Borrowers.

        ARRANGER. Fleet Securities, Inc.

        ASSIGNMENT AND ACCEPTANCE. See Section 15.1.

        BALANCE SHEET DATE. December 31, 2000.

        BASE RATE. The higher of (a) the variable annual rate of interest so
designated from time to time by Fleet as its "PRIME RATE", such rate being a
reference rate and not necessarily representing the lowest or best rate being
charged to any customer, and (b) one-half of one percent (0.5%) above the
Federal Funds Effective Rate. For the purposes of this definition, "FEDERAL
FUNDS EFFECTIVE RATE" shall mean for any day, the rate per annum equal to the
weighted average of the rates on overnight federal funds transactions with
members of the Federal Reserve System arranged by federal funds brokers, as
published for such day (or, if such day is not a Business Day, for the next
preceding Business Day) by the Federal Reserve Bank of New York, or, if such
rate is not so published for any day that is a Business Day, the average of the
quotations for such day on such transactions received by the Administrative
Agent from three funds brokers of recognized standing selected by the
Administrative Agent. Changes in the Base Rate resulting from any changes in
Fleet's "PRIME RATE" shall take place immediately without notice or demand of
any kind.

        BASE RATE LOANS. Revolving Credit Loans and all or any portion of the
Term Loan bearing interest calculated by reference to the Base Rate.

        BENEFIT AMOUNT. See Section 5.11(f).

        BORROWERS. As defined in the preamble hereto.

        BROOKLYN TRANSFER STATION ADDBACK AMOUNT. For each fiscal quarter
referenced in the table below, the amount set forth opposite such fiscal quarter
in such table:

<Table>
<Caption>
             FISCAL QUARTER ENDING:     AMOUNT
         ----------------------------------------
               <S>                    <C>
               September 30, 2000     $ 1,800,000
</Table>

<Page>

                                       -4-

<Table>
                <S>                   <C>
                December 31, 2000     $ 1,800,000
         ----------------------------------------
                 March 31, 2001       $ 1,200,000
         ----------------------------------------
                  June 30, 2001       $   600,000
</Table>

        BUSINESS DAY. Any day on which banking institutions in Boston,
Massachusetts, are open for the transaction of banking business and, in the case
of Eurodollar Rate Loans, also a day which is a Eurodollar Business Day.

        CAPITAL ASSETS. Fixed assets, both tangible (such as land, buildings,
fixtures, machinery and equipment) and intangible (such as patents, copyrights,
trademarks, franchises and good will); PROVIDED that Capital Assets shall not
include (a) any item customarily charged directly to expense or depreciated over
a useful life of twelve (12) months or less in accordance with GAAP or (b) any
item obtained through an acquisition permitted by Section 9.5.1.

        CAPITAL EXPENDITURES. Amounts paid or Indebtedness incurred by the
Borrowers in connection with the purchase or lease by the Borrowers of Capital
Assets that would be required to be capitalized and shown on the balance sheet
of such Persons in accordance with GAAP, but excluding capital expenditures
required to service any Franchise Agreement which are incurred within a sliding
four month period prior to or after commencement of service for such Franchise
Agreement.

        CAPITALIZED LEASES. Leases under which any Borrower is the lessee or
obligor, the discounted future rental payment obligations under which are
required to be capitalized on the balance sheet of the lessee or obligor in
accordance with GAAP.

        CAPITAL STOCK. Any and all shares, interests, participations or other
equivalents (however designated) of capital stock of a corporation, any and all
equivalent ownership interests in a Person (other than a corporation) and any
and all warrants, rights or options to purchase any of the foregoing.

        CERCLA. See Section 7.18(a).

        CFO. Chief Financial Officer.

        CHANGE OF CONTROL. An event or series of events by which any Person or
group of Persons (within the meaning of Section 13 or 14 of the Securities
Exchange Act of 1934) shall have acquired beneficial ownership (within the
meaning of Rule 13d-3 promulgated by the Securities and Exchange Commission
under said Act), directly OR indirectly, of twenty percent (20%) or more of the
outstanding shares of Capital Stock of the Parent; or, during any period of
twelve (12) consecutive calendar months, individuals who were directors of the
Parent on the first day of such period shall cease to constitute a majority of
the board of directors of the Parent.

        CLOSING DATE. The first date on which the conditions set forth in
Section 11 have been satisfied and any Revolving Credit Loans and the Term Loan
are to be made or any Letter of Credit is to be issued hereunder.

<Page>

                                       -5-

        CODE. The Internal Revenue Code of 1986.

        COLLATERAL. All of the property, rights and interests of the Borrowers
that are or are intended to be subject to the Liens created by the Security
Documents.

        COMMITMENT FEE. See Section 2.3.

        COMPLIANCE CERTIFICATE. See Section 8.4(d).

        CONSOLIDATED OR CONSOLIDATED. With reference to any term defined herein,
shall mean that term as applied to the accounts of the Borrowers, consolidated
in accordance with GAAP.

        CONSOLIDATED EARNINGS BEFORE INTEREST AND TAXES OR EBIT. For any period,
the Consolidated Net Income (or Deficit) of the Borrowers PLUS (a) interest
expense and (b) income taxes, to the extent that each was deducted in
determining Consolidated Net Income (or Deficit), in each case determined in
accordance with GAAP.

        CONSOLIDATED EARNINGS BEFORE INTEREST, TAXES, DEPRECIATION AND
AMORTIZATION OR EBITDA. For any Reference Period (without duplication), EBIT
PLUS (a) depreciation expense and amortization expense, to the extent that each
was deducted in determining Consolidated Net Income (or Deficit), determined in
accordance with GAAP, (b) for the fiscal quarter ending December 31, 2000,
start-up and integration expenses of up to $150,000 (pre-tax) in the aggregate,
(c) for the fiscal quarter ended September 30, 2001, special charges of up to
$600,000 in the aggregate relating to the cancellations of a high-yield debt
offering and other financing costs, and (d) for the fiscal quarter ended
September 30, 2001, special charges of up to $1,200,000 for the write-off of
landfill development projects.

        For purposes of calculating the covenant set forth in Section 10.1 and
the Pricing Ratio, the Borrowers may include the EBITDA for the prior twelve
(12) months of companies acquired by the Borrowers during the respective
reporting period (without duplication with respect to the adjustments set forth
above) only if (A) the financial statements of such acquired Borrowers have been
audited for the period sought to be included by an independent accounting firm
satisfactory to the Administrative Agent, or (B) the Administrative Agent
consents to such inclusion after being furnished with other acceptable financial
statements. Such acquired EBITDA may be further adjusted to add-back
non-recurring private company expenses which are discontinued upon acquisition
(such as owner's compensation), as approved by the Administrative Agent.
Simultaneously with the delivery of the financial statements referred to in (A)
and (B) above, the CFO of the Parent shall deliver to the Administrative Agent a
Compliance Certificate and appropriate documentation certifying the historical
operating results, adjustments and balance sheet of the acquired company.

        For purposes of calculating the covenant set forth in Section 10.1 (but
not the Pricing Ratio), the Borrowers may, with the consent of the
Administrative Agent,

<Page>

                                       -6-

include in the calculation of EBITDA the PRO FORMA projected EBITDA from a new
contract with a municipality for exclusive waste management services which first
became effective within the twelve (12) month period prior to the date of such
calculation, such projections to include the period beginning on the day after
the date of such calculation and ending on the date which is one year following
the date on which such contract first became effective. In addition, for
purposes of calculating the covenant set forth in Section 10.1 (but not the
Pricing Ratio), for each fiscal quarter referenced in the table contained in the
definition of "BROOKLYN TRANSFER STATION ADDBACK AMOUNT", EBITDA shall include,
without duplication, the Brooklyn Transfer Station Addback Amount applicable for
such fiscal quarter.

        CONSOLIDATED NET INCOME (OR DEFICIT). The consolidated net income (or
deficit) of the Borrowers, after deduction of all expenses, taxes, and other
proper charges, determined in accordance with GAAP.

        CONSOLIDATED NET WORTH. The excess of Consolidated Total Assets over
Consolidated Total Liabilities, LESS, to the extent otherwise includable in the
computations of Consolidated Net Worth, any subscriptions receivable.

        CONSOLIDATED TOTAL ASSETS. The sum of all assets ("CONSOLIDATED BALANCE
SHEET ASSETS") of the Borrowers determined on a consolidated basis in accordance
with GAAP.

        CONSOLIDATED TOTAL FUNDED DEBT. With respect to the Borrowers, the sum,
without duplication, of (a) the aggregate amount of Indebtedness of the
Borrowers on a consolidated basis, relating to (i) the borrowing of money or the
obtaining of credit, including the issuance of notes, bonds, debentures or
similar debt instruments, (ii) in respect of any Capitalized Leases, (iii) the
deferred purchase price of assets and companies (typically known as holdbacks)
other than short-term trade credit incurred in the ordinary course of business,
and (iv) any unpaid reimbursement obligation under letters of credit
outstanding; PLUS (b) Indebtedness of the type referred to in clause (a) of
another Person guaranteed by the Borrowers.

        CONSOLIDATED TOTAL INTEREST EXPENSE. For any period, the aggregate
amount of interest required to be paid or accrued by the Borrowers during such
period on all Indebtedness of the Borrowers outstanding during all or any part
of such period, whether such interest was or is required to be reflected as an
item of expense or capitalized, including payments consisting of interest in
respect of any Capitalized Lease, and including commitment fees, agency fees,
facility fees, balance deficiency fees and similar fees or expenses in
connection with the borrowing of money but excluding (a) non-cash charges for
interest expense attributable to loan fees paid in connection with this Credit
Agreement or the Prior Credit Agreement, (b) Series C Convertible Preferred
Stock non-cash dividends that are classified as interest under GAAP, and (c)
Series D Convertible Preferred Stock non-cash dividends that are classified as
interest under GAAP.

<Page>

                                       -7-

        CONSOLIDATED TOTAL LIABILITIES. All liabilities of the Borrowers
determined on a consolidated basis in accordance with GAAP and classified as
such on the consolidated balance sheet of the Borrowers.

        CONSULTING ENGINEER. An environmental consulting firm acceptable to the
Administrative Agent.

        CONVERSION REQUEST. A notice given by the Borrowers to the
Administrative Agent of the Borrowers' election to convert or continue a Loan in
accordance with Section 2.8.

        CREDIT AGREEMENT. This Fourth Amended and Restated Revolving Credit and
Term Loan Agreement, including the Schedules and Exhibits hereto, as the same
may be amended, supplemented and otherwise modified and in effect from time to
time.

        DEFAULT. See Section 13.1.

        DELINQUENT LENDER. See Section 14.5.3.

        DISPOSAL (OR DISPOSED). See definition of "RELEASE".

        DISTRIBUTION. (a) The declaration or payment of any dividend on or in
respect of any shares of any class of Capital Stock of any Borrower, other than
dividends payable solely in shares of common stock of such Borrower; (b) the
purchase, redemption, defeasance, retirement or other acquisition of any shares
of any class of Capital Stock of any Borrower, directly or indirectly through a
Subsidiary of such Borrower or otherwise (including the setting apart of assets
for a sinking or other analogous fund to be used for such purpose); (c) the
return of capital by any Borrower to its shareholders as such; or any other
distribution on or in respect of any shares of any class of Capital Stock of any
Borrower.

        DOCUMENTATION AGENT. As defined in the preamble hereto.

        DOLLARS or $. Dollars in lawful currency of the United States of
America.

        DOMESTIC LENDING OFFICE. Initially, the office of each Lender designated
as such in SCHEDULE 1 hereto; thereafter, such other office of such Lender, if
any, located within the United States that will be making or maintaining Base
Rate Loans.

        DRAWDOWN DATE. The date on which any Revolving Credit Loan or the Term
Loan is made or is to be made, and the date on which any Revolving Credit Loan
is converted or continued in accordance with Section 2.8 or all or any portion
of the Term Loan is converted or continued in accordance with Section 3.7.2.

        EBITDA. See definition of "CONSOLIDATED EARNINGS BEFORE INTEREST, TAXES,
DEPRECIATION AND AMORTIZATION".

<Page>

                                       -8-

        EMPLOYEE BENEFIT PLAN. Any employee benefit plan within the meaning of
Section 3(3) of ERISA maintained or contributed to by any Borrower or any ERISA
Affiliate, other than a Guaranteed Pension Plan or a Multiemployer Plan.

        ENVIRONMENTAL LAWS. See Section 7.18(a).

        EPA. See Section 7.18(b).

        ERISA. The Employee Retirement Income Security Act of 1974.

        ERISA AFFILIATE. Any Person which is treated as a single employer with
the Borrowers under Section 414 of the Code.

        ERISA REPORTABLE EVENT. A reportable event with respect to a Guaranteed
Pension Plan within the meaning of Section 4043 of ERISA and the regulations
promulgated thereunder.

        EUROCURRENCY RESERVE RATE. For any day with respect to a Eurodollar Rate
Loan, the maximum rate (expressed as a decimal) at which any bank subject
thereto would be required to maintain reserves under Regulation D of the Board
of Governors of the Federal Reserve System (or any successor or similar
regulations relating to such reserve requirements) against "EUROCURRENCY
LIABILITIES" (as that term is used in Regulation D), if such liabilities were
outstanding. The Eurocurrency Reserve Rate shall be adjusted automatically on
and as of the effective date of any change in the Eurocurrency Reserve Rate.

        EURODOLLAR BUSINESS DAY. Any day on which commercial banks are open for
international business (including dealings in Dollar deposits) in London or such
other eurodollar interbank market as may be selected by the Administrative Agent
in its sole discretion acting in good faith.

        EURODOLLAR LENDING OFFICE. Initially, the office of each Lender
designated as such in SCHEDULE 1 hereto; thereafter, such other office of such
Lender, if any, that shall be making or maintaining Eurodollar Rate Loans.

        EURODOLLAR RATE. For any Interest Period with respect to a Eurodollar
Rate Loan, the rate of interest equal to (a) the rate per annum for the
Administrative Agent (rounded upwards to the nearest 1/16 of one percent) at
which the Administrative Agent's Eurodollar Lending Office is offered Dollar
deposits two (2) Eurodollar Business Days prior to the beginning of such
Interest Period in the interbank eurodollar market where the eurodollar and
foreign currency and exchange operations of such Eurodollar Lending Office are
customarily conducted, for delivery on the first day of such Interest Period for
the number of days comprised therein and in an amount comparable to the amount
of the Eurodollar Rate Loan to which such Interest Period applies, divided by
(b) a number equal to 1.00 MINUS the Eurocurrency Reserve Rate, if applicable.

        EURODOLLAR RATE LOANS. Revolving Credit Loans and all or any portion of
the Term Loan bearing interest calculated by reference to the Eurodollar Rate.

<Page>

                                       -9-

        EVENT OF DEFAULT. See Section 13.1.

        FEE LETTER. That certain fee letter, dated as of August 3, 2001, among
the Parent, the Administrative Agent and the Arranger, as the same may be
amended, supplemented or otherwise modified and in effect from time to time.

        FEES. Collectively, the Commitment Fee, the Letter of Credit Fees, the
fees payable pursuant to the Fee Letter, and any other fees payable hereunder or
under the other Loan Documents.

        FINANCIAL AFFILIATE. A Subsidiary of the bank holding company
controlling any Lender, which Subsidiary is engaging in any of the activities
permitted by Section 4(e) of the Bank Holding Company Act of 1956 (12 U.S.C.
Section 1843).

        FINANCIAL LETTER OF CREDIT. A letter of credit where the event which
triggers payment is financial, such as the failure to pay money, and not
performance-related, such as failure to ship a product or provide a service, as
set forth in greater detail in the letter dated March 30, 1995 from the Board of
Governors of the Federal Reserve System or in any applicable directive or letter
ruling of the Board of Governors of the Federal Reserve System issued subsequent
thereto.

        FLEET. Fleet National Bank, a national banking association, in its
individual capacity.

        FRANCHISE AGREEMENT. A contract providing for exclusive waste management
services between a municipality and a Borrower.

        GAAP OR GENERALLY ACCEPTED ACCOUNTING PRINCIPLES. (a) When used in
Section 10, whether directly or indirectly through reference to a capitalized
term used therein, means (i) principles that are consistent with the principles
promulgated or adopted by the Financial Accounting Standards Board and its
predecessors, in effect for the fiscal year ended on the Balance Sheet Date, and
(ii) to the extent consistent with such principles, the accounting practice of
the Borrowers reflected in its financial statements for the year ended on the
Balance Sheet Date, and (b) when used in general, other than as provided above,
means principles that are (i) consistent with the principles promulgated or
adopted by the Financial Accounting Standards Board and its predecessors, as in
effect from time to time, and (ii) consistently applied with past financial
statements of the Borrowers adopting the same principles, provided that in each
case referred to in this definition of "GAAP" a certified public accountant
would, insofar as the use of such accounting principles is pertinent, be in a
position to deliver an unqualified opinion (other than a qualification regarding
changes in GAAP) as to financial statements in which such principles have been
properly applied.

        GOVERNING DOCUMENTS. With respect to any Person, its certificate or
articles of incorporation, its by-laws and all shareholder agreements, voting
trusts and similar arrangements applicable to any of its Capital Stock.

<Page>

                                      -10-

        GOVERNMENTAL AUTHORITY. Any foreign, federal, state, regional, local,
municipal or other government, or any department, commission, board, bureau,
agency, public authority or instrumentality thereof, or any court or arbitrator.

        GUARANTEED PENSION PLAN. Any employee pension benefit plan within the
meaning of Section 3(2) of ERISA maintained or contributed to by any Borrower or
any ERISA Affiliate the benefits of which are guaranteed on termination in full
or in part by the PBGC pursuant to Title IV of ERISA, other than a Multiemployer
Plan.

        HAZARDOUS SUBSTANCES. See Section 7.18(b).

        INDEBTEDNESS. As to any Person and whether recourse is secured by or is
otherwise available against all or only a portion of the assets of such Person
and whether or not contingent, but without duplication:

                (a)     every obligation of such Person for money borrowed,

                (b)     every obligation of such Person evidenced by bonds,
        debentures, notes or other similar instruments, including obligations
        incurred in connection with the acquisition of property, assets or
        businesses,

                (c)     every reimbursement obligation of such Person with
        respect to letters of credit, bankers' acceptances or similar facilities
        issued for the account of such Person,

                (d)     every obligation of such Person issued or assumed as the
        deferred purchase price of property or services (including (i) secured
        royalty payments and (ii) securities repurchase agreements, but
        excluding trade accounts payable or accrued liabilities arising in the
        ordinary course of business which are not overdue or which are being
        contested in good faith),

                (e)     every obligation of such Person under any Capitalized
        Lease or any operating lease having a term longer than three (3) years,

                (f)     all sales by such Person of (i) accounts or general
        intangibles for money due or to become due, (ii) chattel paper,
        instruments or documents creating or evidencing a right to payment of
        money or (iii) other receivables (collectively "RECEIVABLES"), whether
        pursuant to a purchase facility or otherwise, other than in connection
        with the disposition of the business operations of such Person relating
        thereto or a disposition of defaulted receivables for collection and not
        as a financing arrangement, and together with any obligation of such
        Person to pay any discount, interest, fees, indemnities, penalties,
        recourse, expenses or other amounts in connection therewith,

                (g)     every obligation of such Person (an "EQUITY RELATED
        PURCHASE OBLIGATION") to purchase, redeem, retire or otherwise acquire
        for value any shares of Capital Stock issued by such Person or any
        rights measured by the value of such Capital Stock,

<Page>

                                      -11-

                (h)     every obligation of such Person under any forward
        contract, futures contract, swap, option or other financing agreement or
        arrangement (including, without limitation, caps, floors, collars and
        similar agreements), the value of which is dependent upon interest
        rates, currency exchange rates, commodities or other indices (a
        "DERIVATIVE CONTRACT"),

                (i)     every obligation in respect of Indebtedness of any other
        entity (including any partnership in which such Person is a general
        partner) to the extent that such Person is liable therefor as a result
        of such Person's ownership interest in or other relationship with such
        entity, except to the extent that the terms of such Indebtedness provide
        that such Person is not liable therefor and such terms are enforceable
        under applicable law,

                (j)     every obligation, contingent or otherwise, of such
        Person guaranteeing, or having the economic effect of guarantying or
        otherwise acting as surety for, any obligation of a type described in
        any of clauses (a) through (i) (the "PRIMARY OBLIGATION") of another
        Person (the "PRIMARY OBLIGOR"), in any manner, whether directly or
        indirectly, and including, without limitation, any obligation of such
        Person (i) to purchase or pay (or advance or supply funds for the
        purchase of) any security for the payment of such primary obligation,
        (ii) to purchase property, securities or services for the purpose of
        assuring the payment of such primary obligation, or (iii) to maintain
        working capital, equity capital or other financial statement condition
        or liquidity of the primary obligor so as to enable the primary obligor
        to pay such primary obligation, and

                (k)     any Indebtedness of such Person of a type described in
        any of clauses (a) through (j) above which is secured or supported by
        (or for which the holder of such Indebtedness has an existing right,
        contingent or otherwise, to be secured or supported by) any Lien on (or
        other right of recourse to or against) property owned or acquired by
        such Person.

         The "AMOUNT" or "PRINCIPAL AMOUNT" of any Indebtedness at any time of
determination represented by (A) any Indebtedness, issued at a price that is
less than the principal amount at maturity thereof, shall be the amount of the
liability in respect thereof determined in accordance with GAAP, (B) any
Capitalized Lease shall be the principal component of the aggregate of the
rentals obligation under such Capitalized Lease payable over the term thereof
that is not subject to termination by the lessee, (C) any sale of receivables
shall be the amount of unrecovered capital or principal investment of the
purchaser (other than the Borrowers) thereof, excluding amounts representative
of yield or interest earned on such investment, (D) any derivative contract
shall be the maximum amount of any termination or loss payment required to be
paid by such Person if such derivative contract were, at the time of
determination, to be terminated by reason of any event of default or early
termination event thereunder, whether or not such event of default or early
termination event has in fact occurred, (E) any equity related purchase
obligation shall be the maximum fixed redemption or purchase price thereof
inclusive of any accrued and unpaid dividends to be comprised in such

<Page>

                                      -12-

redemption or purchase price, and (F) any guaranty or other contingent liability
referred to in clause (j) shall be an amount equal to the stated or determinable
amount of the primary obligation in respect of which such guaranty or other
contingent obligation is made or, if not stated or determinable, the maximum
reasonably anticipated liability in respect thereof (assuming such Person is
required to perform thereunder) as determined by such Person in good faith.

        INELIGIBLE SECURITIES. Securities which may not be underwritten or dealt
in by member banks of the Federal Reserve System under Section 16 of the Banking
Act of 1933 (12 U.S.C. Section 24, Seventh), as amended.

        IESI DE. IESI DE LP Corporation, a Delaware corporation.

        IESI TX. IESI TX GP Corporation, a Delaware corporation.

        IESI TX LANDFILL. IESI TX Landfill LP, a Texas limited partnership.

        INTEREST PAYMENT DATE. (a) As to any Base Rate Loan, the last day of the
calendar quarter with respect to interest accrued during such calendar quarter,
including, without limitation, the calendar quarter which includes the Drawdown
Date of such Base Rate Loan; and (b) as to any Eurodollar Rate Loan in respect
of which the Interest Period is (i) three (3) months or less, the last day of
such Interest Period and (ii) more than three (3) months, the date that is three
(3) months from the first day of such Interest Period and, in addition, the last
day of such Interest Period.

        INTEREST PERIOD. With respect to each Revolving Credit Loan or all or
any relevant portion of the Term Loan, (a) initially, the period commencing on
the Drawdown Date of such Loan and ending on the last day of one of the periods
set forth below, as selected by the Borrowers in a Loan Request or as otherwise
required by the terms of this Credit Agreement (i) for any Base Rate Loan, the
last day of the calendar quarter; and (ii) for any Eurodollar Rate Loan, one
(1), two (2), three (3) or six (6) months; and (b) thereafter, each period
commencing on the last day of the next preceding Interest Period applicable to
such Revolving Credit Loan or all or such portion of the Term Loan and ending on
the last day of one of the periods set forth above, as selected by the Borrowers
in a Conversion Request; PROVIDED that all of the foregoing provisions relating
to Interest Periods are subject to the following:

                (A)     if any Interest Period with respect to a Eurodollar Rate
        Loan would otherwise end on a day that is not a Eurodollar Business Day,
        that Interest Period shall be extended to the next succeeding Eurodollar
        Business Day unless the result of such extension would be to carry such
        Interest Period into another calendar month, in which event such
        Interest Period shall end on the immediately preceding Eurodollar
        Business Day;

                (B)     if any Interest Period with respect to a Base Rate Loan
        would end on a day that is not a Business Day, that Interest Period
        shall end on the next succeeding Business Day;

<Page>

                                      -13-

                (C)     if the Borrowers shall fail to give notice as provided
        in Section 2.8, the Borrowers shall be deemed to have requested a
        conversion of the affected Eurodollar Rate Loan to a Base Rate Loan and
        the continuance of all Base Rate Loans as Base Rate Loans on the last
        day of the then current Interest Period with respect thereto;

                (D)     any Interest Period relating to any Eurodollar Rate Loan
        that begins on the last Eurodollar Business Day of a calendar month (or
        on a day for which there is no numerically corresponding day in the
        calendar month at the end of such Interest Period) shall end on the last
        Eurodollar Business Day of a calendar month; and

                (E)     any Interest Period that would otherwise extend beyond
        the Revolving Credit Loan Maturity Date (if comprising a Revolving
        Credit Loan) or the Term Loan Maturity Date (if comprising the Term Loan
        or a portion thereof) shall end on the Revolving Credit Loan Maturity
        Date or (as the case may be) the Term Loan Maturity Date.

        INTEREST RATE AGREEMENT. Any interest rate swap agreement, interest rate
cap agreement, interest rate collar agreement, interest rate futures contract,
interest rate option agreement or other similar agreement or arrangement to
which any Borrower is a party, designed to protect such Borrower against
fluctuations in interest rates.

        INVESTMENTS. All expenditures made and all liabilities incurred
(contingently or otherwise) for the acquisition of stock or Indebtedness of, or
for loans, advances, capital contributions or transfers of property to, or in
respect of any guaranties (or other commitments as described under
Indebtedness), or obligations of, any Person. In determining the aggregate
amount of Investments outstanding at any particular time: (a) the amount of any
Investment represented by a guaranty shall be taken at not less than the
principal amount of the obligations guaranteed and still outstanding; (b) there
shall be included as an Investment all interest accrued with respect to
Indebtedness constituting an Investment unless and until such interest is paid;
(c) there shall be deducted in respect of each such Investment any amount
received as a return of capital (but only by repurchase, redemption, retirement,
repayment, liquidating dividend or liquidating distribution); (d) there shall
not be deducted in respect of any Investment any amounts received as earnings on
such Investment, whether as dividends, interest or otherwise, except that
accrued interest included as provided in the foregoing clause (b) may be
deducted when paid; and (e) there shall not be deducted from the aggregate
amount of Investments any decrease in the value thereof.

        L/C SUPPORTED IRBs. Industrial revenue bonds or solid waste disposal
bonds issued by or at the request of the Borrowers which are backed by direct
pay Letters of Credit issued hereunder.

        LENDER AFFILIATE. (a) With respect to any Lender, (i) an Affiliate of
such Lender or (ii) any entity (whether a corporation, partnership, limited
liability

<Page>

                                      -14-

company, trust or legal entity) that is engaged in making, purchasing, holding
or otherwise investing in bank loans and similar extensions of credit in the
ordinary course of its business and is administered or managed by such Lender or
an Affiliate of such Lender and (b) with respect to any Lender that is a fund
which invests in bank loans and similar extensions of credit, any other entity
(whether a corporation, partnership, limited liability company, trust or other
legal entity) that is a fund that invests in bank loans and similar extensions
of credit and is managed by the same investment advisor as such Lender or by an
Affiliate of such investment advisor.

        LENDERS. Collectively, the Revolving Credit Lenders and the Term
Lenders.

        LETTER(S) OF CREDIT. See Section 4.1.1.

        LETTER OF CREDIT APPLICATION. See Section 4.1.1.

        LETTER OF CREDIT FEE. See Section 4.6.

        LETTER OF CREDIT PARTICIPATION. See Section 4.1.4.

        LEVERAGE RATIO. As at any date of determination, the ratio of (a)
Consolidated Total Funded Debt outstanding on such date to (b) EBITDA for the
Reference Period ending on such date.

        LIEN. Any mortgage, deed of trust, security interest, pledge,
hypothecation, assignment, attachment, deposit arrangement, encumbrance, lien
(statutory, judgment or otherwise), or other security agreement or preferential
arrangement of any kind or nature whatsoever (including any conditional sale or
other title retention agreement, any Capitalized Lease, any financing lease
involving substantially the same economic effect as any of the foregoing and the
filing of any financing statement under the UCC or comparable law of any
jurisdiction).

        LOAN DOCUMENTS. This Credit Agreement, the Notes, the Letter of Credit
Applications, the Letters of Credit, the Fee Letter and the Security Documents.

        LOAN REQUEST. See Section 2.7.

        LOANS. Collectively, the Revolving Credit Loans, the Swing Line Loans
and the Term Loan.

        MATERIAL ACQUISITION. Any acquisition or series of related acquisitions
permitted under Section 9.5.1 for which the aggregate cash consideration
(including the aggregate amount of all Consolidated Total Funded Debt assumed or
incurred) exceeds $12,500,000.

        MATERIAL ADVERSE EFFECT. With respect to any event or occurrence of
whatever nature (including any adverse determination in any litigation,
arbitration or governmental investigation or proceeding):

<Page>

                                      -15-

                (a) a material adverse effect on the business, properties,
        prospects, condition (financial or otherwise), assets, operations or
        income of the Borrowers;

                (b) an adverse effect on the ability of any of the Borrowers to
        perform any of its respective Obligations under any of the Loan
        Documents to which such Borrower is a party; or

                (c) any impairment of the validity, binding effect or
        enforceability of this Credit Agreement or any of the other Loan
        Documents, any impairment of the rights, remedies or benefits available
        to the Administrative Agent or any Lender under any Loan Document or any
        impairment of the attachment, perfection or priority of any Lien of the
        Administrative Agent under the Security Documents.

        MAXIMUM DRAWING AMOUNT. The maximum aggregate amount that the
beneficiaries may at any time draw under outstanding Letters of Credit, as such
aggregate amount may be reduced from time to time pursuant to the terms of the
Letters of Credit.

        MOODY'S. Moody's Investors Services, Inc.

        MULTIEMPLOYER PLAN. Any multiemployer plan within the meaning of Section
3(37) of ERISA maintained or contributed to by any Borrower or any ERISA
Affiliate.

        NET CASH PROCEEDS. With respect to any issuance of Subordinated Debt,
the excess of the gross cash proceeds received by such Person from such issuance
after deduction of reasonable and customary transaction expenses (including
without limitation, underwriting discounts and commissions) actually incurred in
connection with such issuance.

        NOTES. The Revolving Credit Notes, the Term Notes and the Swing Line
Note.

        OBLIGATIONS. All Indebtedness, obligations and liabilities of any of the
Borrowers to any of the Lenders and the Administrative Agent, individually or
collectively, existing on the date of this Credit Agreement or arising
thereafter, direct or indirect, joint or several, absolute or contingent,
matured or unmatured, liquidated or unliquidated, secured or unsecured, arising
by contract, operation of law or otherwise, arising or incurred under this
Credit Agreement or any of the other Loan Documents or any Interest Rate
Agreement with a Lender or in respect of any of the Loans made or Reimbursement
Obligations incurred or any of the Notes, Letter of Credit Application, Letter
of Credit or other instruments at any time evidencing any thereof.

        OUTSTANDING. With respect to the Loans, the aggregate unpaid principal
thereof as of any date of determination.

<Page>

                                      -16-

        PBGC. The Pension Benefit Guaranty Corporation created by Section 4002
of ERISA and any successor entity or entities having similar responsibilities.

        PERFECTION CERTIFICATES. The Perfection Certificates as defined in the
Security Agreement.

        PERFORMANCE LETTER OF CREDIT. A letter of credit where the event which
triggers payment is performance-related, such as failure to ship a product or
provide a service, and not a Financial Letter of Credit.

        PERMITTED LIENS. Liens permitted by Section 9.2.

        PERSON. Any individual, corporation, limited liability company,
partnership, limited liability partnership, trust, other unincorporated
association, business, or other legal entity, and any Governmental Authority.

        PLEDGE AGREEMENT. The Amended and Restated Collateral Assignment of
Partnership Interests, dated as of the Closing Date and as the same may be
amended and in effect from time to time, by and among IESI TX, IESI DE and the
Administrative Agent and in form and substance satisfactory to the
Administrative Agent.

        PRICING RATIO. As at any date of determination, the ratio of (a) the sum
of (i) Consolidated Total Funded Debt outstanding on such date PLUS (ii) the
maximum drawing amount of outstanding Financial Letters of Credit, to (b) EBITDA
for the Reference Period ending on such date.

        PRIOR BANKS. As defined in the preamble hereto.

        PRIOR CREDIT AGREEMENT. As defined in the preamble hereto.

        RCRA. See Section 7.18(a).

        REAL ESTATE. All real property at any time owned or leased (as lessee or
sublessee) by any Borrower.

        RECORD. The grid attached to a Note, or the continuation of such grid,
or any other similar record, including computer records, maintained by any
Lender with respect to any Loan referred to in such Note.

        REFERENCE PERIOD. As of any date of determination, the period of four
(4) consecutive fiscal quarters of the Borrowers ending on such date, or if such
date is not a fiscal quarter end date, the period of four (4) consecutive fiscal
quarters most recently ended (in each case treated as a single accounting
period).

        REGISTER. See Section 15.3.

<Page>

                                      -17-

        REIMBURSEMENT OBLIGATION. The Borrowers' obligation to reimburse the
Administrative Agent and the Revolving Credit Lenders on account of any drawing
under any Letter of Credit as provided in Section 4.2.

        RELEASE. As such term is defined in the CERCLA and the term "DISPOSAL"
(or "DISPOSED") shall have the meaning specified in RCRA and regulations
promulgated thereunder; PROVIDED that in the event either CERCLA or RCRA is
amended so as to broaden the meaning of any term defined thereby, such broader
meaning shall apply as of the effective date of such amendment; and PROVIDED,
FURTHER, to the extent that the laws of a state wherein the property lies
establishes a meaning for "RELEASE" or "DISPOSAL" which is broader than
specified in either CERCLA or RCRA, such broader meaning shall apply.

        REQUIRED LENDERS. As of any date, any combination of Lenders the sum of
whose aggregate Revolving Credit Commitments and outstanding principal amount of
the Term Loan constitute at least fifty-one percent (51%) of the sum of the
Total Revolving Credit Commitment and the total outstanding principal amount of
the Term Loans or, if the Total Revolving Credit Commitment has been terminated
or if the Revolving Credit Loan Maturity Date has occurred, any combination of
Lenders holding at least fifty-one percent (51%) of the total outstanding
principal amount of the Loans and the Maximum Drawing Amount of outstanding
Letters of Credit on such date.

        REVOLVING CREDIT COMMITMENT. With respect to each Revolving Credit
Lender, the amount set forth on SCHEDULE 1 hereto as the amount of such
Revolving Credit Lender's commitment to make Revolving Credit Loans to, and to
participate in the issuance, extension and renewal of Letters of Credit for the
account of, the Borrowers, as the same may be increased, reduced or reallocated
from time to time in accordance with this Credit Agreement; or if such
commitment is terminated pursuant to the provisions hereof, zero.

        REVOLVING CREDIT COMMITMENT PERCENTAGE. With respect to each Revolving
Credit Lender, the percentage set forth on SCHEDULE 1 hereto as such Revolving
Credit Lender's percentage of the Total Revolving Credit Commitment.

        REVOLVING CREDIT LENDERS. Each of the Lenders with a Revolving Credit
Commitment as set forth on SCHEDULE 1 hereto, and any other Person who becomes
an assignee of any rights and obligations of a Revolving Credit Lender pursuant
to Section 15.

        REVOLVING CREDIT LOAN MATURITY DATE. August 31, 2004.

        REVOLVING CREDIT LOANS. Revolving credit loans made or to be made by the
Revolving Credit Lenders to the Borrowers pursuant to Section 2.

        REVOLVING CREDIT NOTE RECORD. A Record with respect to a Revolving
Credit Note.

        REVOLVING CREDIT NOTES. See Section 2.5.

<Page>

                                      -18-

        SARA. See Section 7.18(a).

        SECURITY AGREEMENT. The Fourth Amended and Restated Security Agreement,
dated as of the Closing Date and as the same may be amended and in effect from
time to time, by and among the Borrowers and the Administrative Agent and in
form and substance satisfactory to the Administrative Agent.

        SECURITY DOCUMENTS. The Security Agreement, the Stock Pledge Agreement,
the Pledge Agreement, the Acknowledgment and Consent and all other instruments
and documents, including without limitation Uniform Commercial Code financing
statements, required to be executed or delivered pursuant to any Security
Document.

        SERIES C CONVERTIBLE PREFERRED STOCK. The 55,000 shares of Series C
Convertible Preferred Stock of the Parent sold in June and July 1999 in a
private placement to four (4) existing stockholders, or affiliates thereof, of
the Parent for aggregate gross proceeds of $55,000,000.

        SERIES D CONVERTIBLE PREFERRED STOCK. The 55,000 shares of Series D
Convertible Preferred Stock of the Parent sold on or prior to the Closing Date
in a private placement to four (4) existing stockholders of the Parent for
aggregate gross proceeds of $55,000,000.

        SETTLEMENT. The making or receiving of payments, in immediately
available funds, by the Revolving Credit Lenders to or from the Administrative
Agent in accordance with Section 2.10 hereof to the extent necessary to cause
each such Revolving Credit Lender's actual share of the outstanding amount of
the Swing Line Loans to be equal to such Revolving Credit Lender's Revolving
Credit Commitment Percentage of the outstanding amount of such Swing Line Loans,
in any case when, prior to such action, the actual share is not so equal.

        SETTLEMENT AMOUNT. See Section 2.10(b).

        SETTLEMENT DATE. See Section 2.10(b).

        SETTLING LENDER. See Section 2.10(b).

        S&P. Standard & Poor's Ratings Group.

        STOCK PLEDGE AGREEMENT. The Fourth Amended and Restated Stock Pledge
Agreement, dated as of the Closing Date and as the same may be amended and in
effect from time to time, by and among certain of the Borrowers and the
Administrative Agent and in form and substance satisfactory to the
Administrative Agent.

        SUBORDINATED DEBT. (a) Unsecured Indebtedness of the Borrowers with
respect to promissory notes issued by any Borrower to a seller in connection
with an acquisition permitted by Section 9.5.1 hereof that is expressly
subordinated and made junior to the payment and performance in full of the
Obligations, and evidenced as

<Page>

                                      -19-

such by a written instrument provided to the Administrative Agent containing
subordination provisions in substantially the form of EXHIBIT I or other terms
reasonably acceptable to the Administrative Agent and the Required Lenders, and
(b) unsecured Indebtedness of the Parent (and subordinated unsecured guarantees
thereof by its Subsidiaries) issued or to be issued pursuant to a debt offering
or offerings, either pursuant to a public offering of debt securities or a
private placement of debt securities on terms no less favorable to the Lenders
than terms of "market" public senior subordinated unsecured debt and on terms
and conditions acceptable to the Administrative Agent and the Required Lenders.

        SUBSIDIARY. Any corporation, association, trust, or other business
entity of which the designated parent shall at any time own directly or
indirectly through a Subsidiary or Subsidiaries at least a majority (by number
of votes) of the outstanding Voting Stock.

        SWING LINE LOANS. See Section 2.10(a).

        SWING LINE NOTE. See Section 2.10(a).

        SYNDICATION AGENTS. As defined in the preamble hereto.

        TERM LENDERS. Each of the Lenders holding a portion of the Term Loan as
set forth on Schedule 1 hereto, and any other Person who becomes an assignee of
any rights and obligations of a Term Lender pursuant to Section 15.

        TERM LOAN. The term loan made or to be made by the Term Lenders to the
Borrowers on the Closing Date in the aggregate principal amount of $39,200,000
pursuant to Section 3.1, as the same may be increased, reduced or reallocated
from time to time in accordance with this Credit Agreement.

        TERM LOAN AMOUNT. With respect to each Term Lender, the amount set forth
on SCHEDULE 1 hereto as the amount of such Term Lender's commitment to make a
portion of the Term Loan to the Borrowers.

        TERM LOAN MATURITY DATE. August 31, 2006.

        TERM LOAN PERCENTAGE. With respect to each Term Lender, the percentage
set forth on SCHEDULE 1 hereto as such Term Lender's percentage of the aggregate
Term Loan Amounts of all the Term Lenders.

        TERM NOTES. See Section 3.3.

        TERM NOTE RECORD. A Record with respect to a Term Note.

        TOTAL FACILITY AMOUNT. The sum of the Total Revolving Credit Commitment
PLUS the Term Loan, which shall equal $261,700,000 on the Closing Date, as the
same may be increased, reduced or reallocated from time to time in accordance
with this Credit Agreement.

<Page>

                                      -20-

        TOTAL REVOLVING CREDIT COMMITMENT. The sum of the Revolving Credit
Commitments of the Revolving Credit Lenders, as in effect from time to time.

        TYPE. As to any Revolving Credit Loan or all or any portion of the Term
Loan, its nature as a Base Rate Loan or a Eurodollar Rate Loan.

        UNPAID REIMBURSEMENT OBLIGATION. Any Reimbursement Obligation for which
the Borrowers do not reimburse the Administrative Agent and the Revolving Credit
Lenders on the date specified in, and in accordance with, Section 4.2.

        VOTING STOCK. Stock or similar interests, of any class or classes
(however designated), the holders of which are at the time entitled, as such
holders, to vote for the election of a majority of the directors (or persons
performing similar functions) of the corporation, association, trust or other
business entity involved, whether or not the right so to vote exists by reason
of the happening of a contingency.

        1.2. RULES OF INTERPRETATION.

                (a)     A reference to any document or agreement shall include
        such document or agreement as amended, modified or supplemented from
        time to time in accordance with its terms and the terms of this Credit
        Agreement.

                (b)     The singular includes the plural and the plural includes
        the singular.

                (c)     A reference to any law includes any amendment or
        modification to such law.

                (d)     A reference to any Person includes its permitted
        successors and permitted assigns.

                (e)     Accounting terms not otherwise defined herein have the
        meanings assigned to them by GAAP applied on a consistent basis by the
        accounting entity to which they refer.

                (f)     The words "INCLUDE", "INCLUDES" and "INCLUDING" are not
        limiting.

                (g)     All terms not specifically defined herein or by GAAP,
        which terms are defined in the Uniform Commercial Code as in effect in
        the Commonwealth of Massachusetts, have the meanings assigned to them
        therein, with the term "INSTRUMENT" being that defined under Article 9
        of the Uniform Commercial Code.

                (h)     Reference to a particular "Section" refers to that
        section of this Credit Agreement unless otherwise indicated.

<Page>

                                      -21-

                (i)     The words "HEREIN", "HEREOF", "HEREUNDER" and words of
        like import shall refer to this Credit Agreement as a whole and not to
        any particular section or subdivision of this Credit Agreement.

                (j)     Unless otherwise expressly indicated, in the computation
        of periods of time from a specified date to a later specified date, the
        word "FROM" means "FROM AND INCLUDING," the words "TO" and "UNTIL" each
        mean "TO BUT EXCLUDING," and the word "THROUGH" means "TO AND
        INCLUDING."

                (k)     This Credit Agreement and the other Loan Documents may\
        use several different limitations, tests or measurements to regulate the
        same or similar matters. All such limitations, tests and measurements
        are, however, cumulative and are to be performed in accordance with the
        terms thereof.

                (l)     This Credit Agreement and the other Loan Documents are
        the result of negotiation among, and have been reviewed by counsel to,
        among others, the Administrative Agent and the Borrowers and are the
        product of discussions and negotiations among all parties. Accordingly,
        this Credit Agreement and the other Loan Documents are not intended to
        be construed against the Administrative Agent or any of the Lenders
        merely on account of the Administrative Agent's or any Lender's
        involvement in the preparation of such documents.

                        2. THE REVOLVING CREDIT FACILITY.

        2.1. COMMITMENT TO LEND. Subject to the terms and conditions set forth
in this Credit Agreement, each of the Revolving Credit Lenders severally agrees
to lend to the Borrowers and the Borrowers may borrow, repay, and reborrow from
time to time from the Closing Date up to but not including the Revolving Credit
Loan Maturity Date upon notice by the Borrowers to the Administrative Agent
given in accordance with Section 2.7, such sums as are requested by the
Borrowers up to a maximum aggregate amount outstanding (after giving effect to
all amounts requested) at any one time equal to such Revolving Credit Lender's
Revolving Credit Commitment MINUS such Revolving Credit Lender's Revolving
Credit Commitment Percentage of the sum of the Maximum Drawing Amount and all
Unpaid Reimbursement Obligations, PROVIDED that the sum of the outstanding
amount of the Revolving Credit Loans (after giving effect to all amounts
requested) PLUS the outstanding amount of the Swing Line Loans (after giving
effect to all amounts requested) PLUS the Maximum Drawing Amount and all Unpaid
Reimbursement Obligations shall not at any time exceed the Total Revolving
Credit Commitment at such time. The Revolving Credit Loans shall be made PRO
RATA in accordance with each Revolving Credit Lender's Revolving Credit
Commitment Percentage. Each request for a Revolving Credit Loan hereunder shall
constitute a representation and warranty by the Borrowers that the conditions
set forth in Section 11 and Section 12, in the case of the initial Revolving
Credit Loans to be made on the Closing Date, and Section 12, in the case of all
other Revolving Credit Loans, have been satisfied on the date of such request.

<Page>

                                      -22-

        2.2. INCREASE IN TOTAL REVOLVING CREDIT COMMITMENT; REALLOCATION.
(a) INCREASE IN TOTAL REVOLVING CREDIT COMMITMENT. Unless a Default or Event of
Default has occurred and is continuing, the Borrowers may request, on one or
more occasions at any time prior to the Revolving Credit Loan Maturity Date,
that the Total Revolving Credit Commitment in effect on the date of such request
be increased by an amount such that Total Facility Amount does not exceed
$275,000,000; PROVIDED that (i) any Revolving Credit Lender which is a party to
this Credit Agreement prior to such increase shall have the right to elect to
fund its PRO RATA share of the increase and any additional amounts allocated by
the Administrative Agent, thereby increasing its Revolving Credit Commitment
hereunder, but no Revolving Credit Lender shall be required to do so, (iii) in
the event that it becomes necessary to include one or more new Revolving Credit
Lenders to provide additional funding under this Section 2.2 in order to enable
such increase in the Total Revolving Credit Commitment to occur, such new
Revolving Credit Lenders shall be acceptable to the Administrative Agent, (iv)
such new Revolving Credit Lender(s) shall have executed and delivered to the
Administrative Agent an instrument of accession in form and substance
satisfactory to the Administrative Agent, (v) the Revolving Credit Lenders'
Revolving Credit Commitment Percentages shall be correspondingly adjusted, (vi)
each new Revolving Credit Lender shall make all (if any) such payments to the
other Revolving Credit Lenders as may be necessary to result in the sum of the
Revolving Credit Loans to be made by such new Revolving Credit Lender PLUS such
new Revolving Credit Lender's proportionate share of the Maximum Drawing Amount
and all Unpaid Reimbursement Obligations being equal to such new Revolving
Credit Lender's Revolving Credit Commitment Percentage of the aggregate
principal amount of the sum of all Revolving Credit Loans outstanding to the
Borrowers as of such date PLUS the Maximum Drawing Amount and all Unpaid
Reimbursement Obligations as of such date, and (vii) Revolving Credit Notes
shall be issued or amended and such other changes shall be made to the Loan
Documents, as shall be necessary to reflect any such increase in the Total
Revolving Credit Commitment. Any such increase in the Total Revolving Credit
Commitment shall require, among other things, the satisfaction of such
conditions precedent as the Administrative Agent may require, including, without
limitation, the Administrative Agent's receipt of evidence of applicable
corporate authorization and other corporate documentation from the Borrowers and
the legal opinion of counsel to the Borrowers, each in form and substance
satisfactory to the Administrative Agent and such Revolving Credit Lenders as
are participating in such increase.

        (b)     REALLOCATION. In the event that the Borrowers request that the
Total Facility Amount be increased, subject to the satisfaction of each of the
conditions precedent to such increase set forth in Sections 2.2(a) and 3.2(a),
the Administrative Agent may, in its sole discretion and at the request of the
Arranger, reallocate the Total Facility Amount by permanently decreasing the
Total Revolving Credit Commitment and increasing the Term Loan by an equal
amount; PROVIDED that no Revolving Credit Lender shall be required to reallocate
all or any portion of its Revolving Credit Commitment to the Term Loan without
its prior written consent; and PROVIDED, FURTHER, that after giving effect to
such reallocation, the Total Revolving Credit Commitment shall not be less than
$125,000,000; and PROVIDED, FURTHER, that

<Page>

                                      -23-

the Total Facility Amount shall not exceed $275,000,000. The Borrowers and the
Revolving Credit Lenders further agree that the Administrative Agent may make
conforming changes to this Credit Agreement as the Administrative Agent may
determine are necessary to accomplish the reallocations authorized herein,
including without limitation revisions to SCHEDULE 1 hereto, PROVIDED that prior
to giving effect to such changes, the Administrative Agent shall have provided
written notice to the Revolving Credit Lenders and the Borrowers of such
changes. If requested by the Administrative Agent, or any affected Revolving
Credit Lender, the Borrowers hereby agree to issue new Notes, and the applicable
Revolving Credit Lenders agree to cancel and return any old Notes that are
replaced by such new Notes, as applicable in connection with any such
reallocations.

        2.3.    COMMITMENT FEE. The Borrowers jointly and severally agree to pay
to the Administrative Agent for the accounts of the Revolving Credit Lenders in
accordance with their respective Revolving Credit Commitment Percentages a
commitment fee (the "COMMITMENT FEE") equal to the Applicable Commitment Fee
Rate MULTIPLIED BY the amount of the average daily unused portion of the Total
Revolving Credit Commitment during each calendar quarter or portion thereof from
the Closing Date to the Revolving Credit Maturity Date (or to the date of
termination in full of the Total Revolving Credit Commitment, if earlier). The
Commitment Fee shall be payable quarterly in arrears on the first Business Day
of each calendar quarter for the immediately preceding calendar quarter
commencing on October 1, 2001, with a final payment on the Revolving Credit
Maturity Date.

        2.4.    REDUCTION OF TOTAL REVOLVING CREDIT COMMITMENT. The Borrowers
shall have the right at any time and from time to time upon five (5) Business
Days prior written notice to the Administrative Agent to reduce by $1,000,000 or
an integral multiple of $500,000 in excess thereof or to terminate entirely the
Total Revolving Credit Commitment, whereupon the Revolving Credit Commitments of
the Revolving Credit Lenders shall be reduced PRO RATA in accordance with their
respective Revolving Credit Commitment Percentages of the amount specified in
such notice or, as the case may be, terminated. Promptly after receiving any
notice of the Borrowers delivered pursuant to this Section 2.4, the
Administrative Agent will notify the Revolving Credit Lenders of the substance
thereof. Upon the effective date of any such reduction or termination, the
Borrowers shall pay to the Administrative Agent for the respective accounts of
the Revolving Credit Lenders the full amount of any Commitment Fee then accrued
on the amount of the reduction. No reduction or termination of the Commitments
may be reinstated.

        2.5.    THE REVOLVING CREDIT NOTES. The Revolving Credit Loans shall be
evidenced by separate promissory notes of the Borrowers in substantially the
form of EXHIBIT B hereto (each a "REVOLVING CREDIT NOTE"), dated as of the
Closing Date (or such other date on which a Revolving Credit Lender may become a
party hereto in accordance with Section 15 hereof) and completed with
appropriate insertions. One Revolving Credit Note shall be payable to the order
of each Revolving Credit Lender in a principal amount equal to such Revolving
Credit Lender's Revolving Credit Commitment or, if less, the outstanding amount
of all Revolving Credit Loans made by such Revolving Credit Lender, plus
interest accrued thereon, as set forth below.

<Page>

                                      -24-

The Borrowers irrevocably authorize each Revolving Credit Lender to make or
cause to be made, at or about the time of the Drawdown Date of any Revolving
Credit Loan or at the time of receipt of any payment of principal on such
Revolving Credit Lender's Revolving Credit Note, an appropriate notation on such
Revolving Credit Lender's Revolving Credit Note Record reflecting the making of
such Revolving Credit Loan or (as the case may be) the receipt of such payment.
The outstanding amount of the Revolving Credit Loans set forth on such Revolving
Credit Lender's Revolving Credit Note Record shall be PRIMA FACIE evidence of
the principal amount thereof owing and unpaid to such Revolving Credit Lender,
but the failure to record, or any error in so recording, any such amount on such
Revolving Credit Lender's Revolving Credit Note Record shall not limit or
otherwise affect the Obligations of the Borrowers hereunder or under any
Revolving Credit Note to make payments of principal of or interest on any
Revolving Credit Note when due.

        2.6. INTEREST ON REVOLVING CREDIT LOANS. Except as otherwise provided in
Section 5.10,

                (a)     Each Revolving Credit Loan which is a Base Rate Loan
        shall bear interest for the period commencing with the Drawdown Date
        thereof and ending on the last day of the Interest Period with respect
        thereto at the rate per annum equal to the Base Rate PLUS the Applicable
        Margin with respect to Base Rate Loans as in effect from time to time.

                (b)     Each Revolving Credit Loan which is a Eurodollar Rate
        Loan shall bear interest for the period commencing with the Drawdown
        Date thereof and ending on the last day of the Interest Period with
        respect thereto at the rate per annum equal to the Eurodollar Rate
        determined for such Interest Period PLUS the Applicable Margin with
        respect to Eurodollar Rate Loans as in effect from time to time.

The Borrowers jointly and severally promise to pay interest on each Revolving
Credit Loan in arrears on each Interest Payment Date with respect thereto.

        2.7. REQUESTS FOR REVOLVING CREDIT LOANS.

        The Borrowers shall give to the Administrative Agent written notice in
the form of EXHIBIT C hereto (or telephonic notice confirmed in a writing in the
form of EXHIBIT C hereto) of each Revolving Credit Loan requested hereunder (a
"LOAN REQUEST") not later than 11:00 a.m. (Boston time) (a) one (1) Business Day
prior to the proposed Drawdown Date of any Base Rate Loan and (b) three (3)
Eurodollar Business Days prior to the proposed Drawdown Date of any Eurodollar
Rate Loan. Each such notice shall specify (i) the principal amount of the
Revolving Credit Loan requested, (ii) the proposed Drawdown Date of such
Revolving Credit Loan, (iii) the Interest Period for such Revolving Credit Loan
and (iv) the Type of such Revolving Credit Loan. Promptly upon receipt of any
such notice, the Administrative Agent shall notify each of the Revolving Credit
Lenders thereof. Each Loan Request shall be irrevocable and binding on the
Borrowers and shall obligate the Borrowers to accept the Revolving Credit Loan
requested from the Revolving Credit Lenders on

<Page>

                                      -25-

the proposed Drawdown Date. Each Loan Request shall be in a minimum aggregate
amount of $500,000 or an integral multiple of $100,000 in excess thereof.

        2.8. CONVERSION OPTIONS.

                2.8.1.  CONVERSION TO DIFFERENT TYPE OF REVOLVING CREDIT LOAN.
        The Borrowers may elect from time to time to convert any outstanding
        Revolving Credit Loan to a Revolving Credit Loan of another Type,
        PROVIDED that (a) with respect to any such conversion of a Eurodollar
        Rate Loan to a Base Rate Loan, the Borrowers shall give the
        Administrative Agent at least three (3) Business Days prior written
        notice of such election; (b) with respect to any such conversion of a
        Base Rate Loan to a Eurodollar Rate Loan, the Borrowers shall give the
        Administrative Agent at least four (4) Eurodollar Business Days prior
        written notice of such election; (c) with respect to any such conversion
        of a Eurodollar Rate Loan into a Base Rate Loan, such conversion shall
        only be made on the last day of the Interest Period with respect thereto
        and (d) no Revolving Credit Loan may be converted into a Eurodollar Rate
        Loan when any Default or Event of Default has occurred and is
        continuing. On the date on which such conversion is being made each
        Revolving Credit Lender shall take such action as is necessary to
        transfer its Revolving Credit Commitment Percentage to its Domestic
        Lending Office or its Eurodollar Lending Office, as the case may be. All
        or any part of outstanding Revolving Credit Loans of any Type may be
        converted into a Revolving Credit Loan of another Type as provided
        herein, PROVIDED that any partial conversion shall be in an aggregate
        principal amount of $500,000 or an integral multiple of $100,000 in
        excess thereof. Each Conversion Request relating to the conversion of a
        Revolving Credit Loan to a Eurodollar Rate Loan shall be irrevocable by
        the Borrowers.

                2.8.2.  CONTINUATION OF TYPE OF REVOLVING CREDIT LOAN. Any
        Revolving Credit Loan of any Type may be continued as a Revolving Credit
        Loan of the same Type upon the expiration of an Interest Period with
        respect thereto by compliance by the Borrowers with the notice
        provisions contained in Section 2.8.1; PROVIDED that no Eurodollar Rate
        Loan may be continued as such when any Default or Event of Default has
        occurred and is continuing, but shall be automatically converted to a
        Base Rate Loan on the last day of the first Interest Period relating
        thereto ending during the continuance of any Default or Event of Default
        of which officers of the Administrative Agent active upon the Borrowers'
        account have actual knowledge. In the event that the Borrowers fail to
        provide any such notice with respect to the continuation of any
        Eurodollar Rate Loan as such, then such Eurodollar Rate Loan shall be
        automatically converted to a Base Rate Loan on the last day of the first
        Interest Period relating thereto. The Administrative Agent shall notify
        the Revolving Credit Lenders promptly when any such automatic conversion
        contemplated by this Section 2.8 is scheduled to occur.

                2.8.3.  EURODOLLAR RATE LOANS. Any conversion to or from
        Eurodollar Rate Loans shall be in such amounts and be made pursuant to

<Page>

                                      -26-

        such elections so that, after giving effect thereto, the aggregate
        principal amount of all Eurodollar Rate Loans having the same Interest
        Period shall not be less than $500,000 or an integral multiple of
        $100,000 in excess thereof. No more than eight (8) Eurodollar Rate Loans
        (whether Revolving Credit Loans or a portion of the Term Loan) having
        different Interest Periods may be outstanding at any time.

        2.9. FUNDS FOR REVOLVING CREDIT LOAN.

                2.9.1.  FUNDING PROCEDURES. Not later than 1:00 p.m. (Boston
        time) on the proposed Drawdown Date of any Revolving Credit Loans, each
        of the Revolving Credit Lenders will make available to the
        Administrative Agent, at the Administrative Agent's Office, in
        immediately available funds, the amount of such Revolving Credit
        Lender's Revolving Credit Commitment Percentage of the amount of the
        requested Revolving Credit Loans. Upon receipt from each Revolving
        Credit Lender of such amount, and upon receipt of the documents required
        by Sections 11 and 12 and the satisfaction of the other conditions set
        forth therein, to the extent applicable, the Administrative Agent will
        make available to the Borrowers the aggregate amount of such Revolving
        Credit Loans made available to the Administrative Agent by the Revolving
        Credit Lenders. The failure or refusal of any Revolving Credit Lender to
        make available to the Administrative Agent at the aforesaid time and
        place on any Drawdown Date the amount of its Revolving Credit Commitment
        Percentage of the requested Revolving Credit Loans shall not relieve any
        other Revolving Credit Lender from its several obligation hereunder to
        make available to the Administrative Agent the amount of such other
        Revolving Credit Lender's Revolving Credit Commitment Percentage of any
        requested Revolving Credit Loans.

                2.9.2.  ADVANCES BY ADMINISTRATIVE AGENT. The Administrative
        Agent may, unless notified to the contrary by any Revolving Credit
        Lender prior to a Drawdown Date, assume that such Revolving Credit
        Lender has made available to the Administrative Agent on such Drawdown
        Date the amount of such Revolving Credit Lender's Revolving Credit
        Commitment Percentage of the Revolving Credit Loans to be made on such
        Drawdown Date, and the Administrative Agent may (but it shall not be
        required to), in reliance upon such assumption, make available to the
        Borrowers a corresponding amount. If any Revolving Credit Lender makes
        available to the Administrative Agent such amount on a date after such
        Drawdown Date, such Revolving Credit Lender shall pay to the
        Administrative Agent on demand an amount equal to the product of (a) the
        average computed for the period referred to in clause (c) below, of the
        weighted average interest rate paid by the Administrative Agent for
        federal funds acquired by the Administrative Agent during each day
        included in such period, TIMES (b) the amount of such Revolving Credit
        Lender's Revolving Credit Commitment Percentage of such Revolving Credit
        Loans, TIMES (c) a fraction, the numerator of which is the number of
        days that elapse from and including such Drawdown Date to the date on
        which the amount of such Revolving

<Page>

                                      -27-

        Credit Lender's Revolving Credit Commitment Percentage of such Revolving
        Credit Loans shall become immediately available to the Administrative
        Agent, and the denominator of which is 360. A statement of the
        Administrative Agent submitted to such Revolving Credit Lender with
        respect to any amounts owing under this paragraph shall be PRIMA FACIE
        evidence of the amount due and owing to the Administrative Agent by such
        Revolving Credit Lender. If the amount of such Revolving Credit Lender's
        Revolving Credit Commitment Percentage of such Revolving Credit Loans is
        not made available to the Administrative Agent by such Revolving Credit
        Lender within three (3) Business Days following such Drawdown Date, the
        Administrative Agent shall be entitled to recover such amount from the
        Borrowers on demand, with interest thereon at the rate per annum
        applicable to the Revolving Credit Loans made on such Drawdown Date.

        2.10. SWING LINE LOANS; SETTLEMENTS.

        (a)     Solely for ease of administration of the Revolving Credit Loans
and so long as the Administrative Agent has not received a written notice
pursuant to Section 8.5 of a Default or Event of Default, the Administrative
Agent may, upon receipt of a Loan Request requesting a Swing Line Loan no later
than 2:30 p.m. (Boston time) on the proposed date of funding, but shall not be
required to, fund Base Rate Loans made in accordance with the provisions of this
Credit Agreement ("SWING LINE LOANS") for periods not to exceed seven (7) days
in any one case, bearing interest as set forth in Section 2.6. The Swing Line
Loans shall be evidenced by a promissory note of the Borrowers in substantially
the form of EXHIBIT C hereto (the "SWING LINE NOTE") dated as of the Closing
Date, and shall each be in a minimum amount of $100,000 or greater; PROVIDED
that the outstanding amount of Swing Line Loans advanced by the Administrative
Agent hereunder shall not exceed $10,000,000 at any time. Each Revolving Credit
Lender shall remain severally and unconditionally liable to fund its PRO RATA
share (based upon each Revolving Credit Lender's Revolving Credit Commitment
Percentage) of such Swing Line Loans on each Settlement Date and, in the event
the Administrative Agent chooses not to fund all Swing Line Loans requested on
any date, to fund its Revolving Credit Commitment Percentage of the Base Rate
Loans requested, subject to satisfaction of the provisions hereof relating to
the making of Base Rate Loans. Prior to each Settlement, all payments or
repayments of the principal of, and interest on, Swing Line Loans shall be
credited to the account of the Administrative Agent.

        (b)     The Revolving Credit Lenders shall effect Settlements on (i) the
Business Day immediately following any day which the Administrative Agent gives
written notice to the Revolving Credit Lenders to effect a Settlement, (ii) the
Business Day immediately following the Administrative Agent's becoming aware of
the existence of any Default or Event of Default, (iii) the Revolving Credit
Loan Maturity Date, and (iv) in any event, the seventh day on which any Swing
Line Loan remains outstanding (each such date, a "SETTLEMENT DATE"). The
Administrative Agent shall give telephonic notice to the Revolving Credit
Lenders one (1) Business Day prior to each such Settlement Date of (A) the
respective outstanding amount of Revolving Credit Loans made by each Revolving
Credit Lender as at the close of

<Page>

                                      -28-

business on the prior day, and (B) the amount that any Revolving Credit Lender
(each, a "SETTLING LENDER"), shall pay to effect a Settlement (a "SETTLEMENT
AMOUNT"). A statement of the Administrative Agent submitted to the Revolving
Credit Lenders with respect to any amounts owing hereunder shall be PRIMA FACIE
evidence of the amount due and owing. Each Settling Lender shall, not later than
1:00 p.m. (Boston time) on each Settlement Date, effect a wire transfer of
immediately available funds to the Administrative Agent at the Administrative
Agent's Office in the amount of such Revolving Credit Lender's Settlement
Amount. All funds advanced by any Revolving Credit Lender as a Settling Lender
pursuant to this Section 2.10 shall for all purposes be treated as a Base Rate
Loan to the Borrowers.

        (c)     The Administrative Agent may (unless notified to the contrary by
any Settling Lender by 12:00 noon (Boston time) one (1) Business Day prior to
the Settlement Date) assume that each Settling Lender has made available (or
will make available by the time specified in Section 2.10(b)) to the
Administrative Agent its Settlement Amount, and the Administrative Agent may
(but shall not be required to), in reliance upon such assumption, effect
Settlements. If the Settlement Amount of such Settling Lender is made available
to the Administrative Agent on a date after such Settlement Date, such Settling
Lender shall pay the Administrative Agent on demand an amount equal to the
product of (i) the average, computed for the period referred to in clause (iii)
below, of the weighted average annual interest rate paid by the Administrative
Agent for federal funds acquired by the Administrative Agent during each day
included in such period TIMES (ii) such Settlement Amount TIMES (iii) a
fraction, the numerator of which is the number of days that elapse from and
including such Settlement Date to but not including the date on which such
Settlement Amount shall become immediately available to the Administrative
Agent, and the denominator of which is 365. Upon payment of such amount such
Settling Lender shall be deemed to have delivered its Settlement Amount on the
Settlement Date and shall become entitled to interest payable by the Borrowers
with respect to such Settling Lender's Settlement Amount as if such share were
delivered on the Settlement Date. If such Settlement Amount is not in fact made
available to the Administrative Agent by such Settling Lender within five (5)
Business Days of such Settlement Date, the Administrative Agent shall be
entitled to recover such amount from the Borrowers, with interest thereon at the
Base Rate.

        (d)     After any Settlement Date, any payment by the Borrowers of Swing
Line Loans hereunder shall be allocated PRO RATA among the Revolving Credit
Lenders in accordance with the Revolving Credit Lenders' respective Revolving
Credit Commitment Percentages.

        (e)     If, prior to the making of a Revolving Credit Loan pursuant to
paragraph (b) of this Section 2.10, a Default or Event of Default has occurred
and is continuing, each Revolving Credit Lender will, on the date such Revolving
Credit Loan was to have been made, purchase an undivided participating interest
in the outstanding Swing Line Loans in an amount equal to its Revolving Credit
Commitment Percentage. Each Revolving Credit Lender will immediately transfer to
the Administrative Agent, in immediately available funds, the amount of its

<Page>

                                      -29-

participation and upon receipt thereof the Administrative Agent will deliver to
such Revolving Credit Lender a participation certificate dated the date of
receipt of such funds and in such amount.

        (f)     Whenever, at any time after the Administrative Agent has
received from any Revolving Credit Lender such Revolving Credit Lender's
participating interest in the Swing Line Loans pursuant to clause (e) above, the
Administrative Agent receives any payment on account thereof, the Administrative
Agent will distribute to such Revolving Credit Lender its participating interest
in such amount (appropriately adjusted, in the case of interest payments, to
reflect the period of time during which such Revolving Credit Lender's
participating interest was outstanding and funded) in like funds as received;
PROVIDED, HOWEVER, that in the event that such payment received by the
Administrative Agent is required to be returned, such Revolving Credit Lender
will return to the Administrative Agent any portion thereof previously
distributed by the Administrative Agent to it in like funds as such payment is
required to be returned by the Administrative Agent.

        (g)     Each Revolving Credit Lender's obligation to purchase
participating interests pursuant to clause (e) above shall be absolute and
unconditional and shall not be affected by any circumstance, including, without
limitation, (i) any set-off, counterclaim, recoupment, defense or other right
which such Revolving Credit Lender may have against the Administrative Agent,
the Borrowers or any other Person for any reason whatsoever; (ii) the occurrence
or continuance of a Default or Event of Default; (iii) any adverse change in the
condition (financial or otherwise) of the Borrowers or any other Person; (iv)
any breach of this Credit Agreement by the Borrowers or any other Revolving
Credit Lender or the Administrative Agent; or (v) any other circumstance,
happening or event whatsoever, whether or not similar to any of the foregoing.

        2.11. REPAYMENT OF THE REVOLVING CREDIT LOANS.

                2.11.1. MATURITY. The Borrowers jointly and severally promise to
        pay on the Revolving Credit Loan Maturity Date, and there shall become
        absolutely due and payable on the Revolving Credit Loan Maturity Date,
        all of the Revolving Credit Loans outstanding on such date, together
        with any and all accrued and unpaid interest thereon.

                2.11.2. MANDATORY REPAYMENT OF THE REVOLVING CREDIT LOANS. If at
        any time the sum of the outstanding amount of the Revolving Credit
        Loans, the outstanding amount of the Swing Line Loans, the Maximum
        Drawing Amount and all Unpaid Reimbursement Obligations exceeds the
        Total Revolving Credit Commitment at such time, then the Borrowers shall
        immediately pay the amount of such excess to the Administrative Agent
        for the respective accounts of the Revolving Credit Lenders for
        application: FIRST, to any Unpaid Reimbursement Obligations; SECOND, to
        the Swing Line Loans, THIRD, to the Revolving Credit Loans; and FOURTH,
        to provide to the Administrative Agent cash collateral for Reimbursement
        Obligations as contemplated by Section 4.2(b) and (c). Each

<Page>

                                      -30-

        payment of any Unpaid Reimbursement Obligations or prepayment of
        Revolving Credit Loans shall be allocated among the Revolving Credit
        Lenders, in proportion, as nearly as practicable, to each Reimbursement
        Obligation or (as the case may be) the respective unpaid principal
        amount of each Revolving Credit Lender's Revolving Credit Note, with
        adjustments to the extent practicable to equalize any prior payments or
        repayments not exactly in proportion.

                2.11.3. OPTIONAL PREPAYMENT OF THE REVOLVING CREDIT LOANS. The
        Borrowers shall have the right, at its election, to repay the
        outstanding amount of the Revolving Credit Loans, as a whole or in part,
        at any time without penalty or premium, PROVIDED that any full or
        partial prepayment of the outstanding amount of any Eurodollar Rate
        Loans pursuant to this Section 2.11.3 may be made only on the last day
        of the Interest Period relating thereto. The Borrowers shall give the
        Administrative Agent, no later than 11:00 a.m. (Boston time), at least
        one (1) Business Days prior written notice of any proposed prepayment
        pursuant to this Section 2.11.3 of Base Rate Loans, and three (3)
        Eurodollar Business Days notice of any proposed prepayment pursuant to
        this Section 2.11.3 of Eurodollar Rate Loans, in each case specifying
        the proposed date of prepayment of Revolving Credit Loans and the
        principal amount to be prepaid. Each such partial prepayment of the
        Revolving Credit Loans (a) shall be in a minimum amount of $1,000,000 or
        an integral multiple of $500,000 in excess thereof, (b) shall be
        accompanied by the payment of accrued interest on the principal prepaid
        to the date of prepayment and (c) shall be applied, in the absence of
        instruction by the Borrowers, FIRST to the principal of Base Rate Loans
        and THEN to the principal of Eurodollar Rate Loans. Each partial
        prepayment shall be allocated among the Revolving Credit Lenders, in
        proportion, as nearly as practicable, to the respective unpaid principal
        amount of each Revolving Credit Lender's Revolving Credit Note, with
        adjustments to the extent practicable to equalize any prior repayments
        not exactly in proportion.

                                3. THE TERM LOAN.

        3.1. COMMITMENT TO LEND. Subject to the terms and conditions set forth
in this Credit Agreement, each Term Lender agrees to lend to the Borrowers on
the Closing Date the amount of its Term Loan Percentage of the principal amount
of $39,200,000.

        3.2. INCREASE IN TERM LOAN; REALLOCATION. (a) INCREASE IN TERM LOAN.
Unless a Default or Event of Default has occurred and is continuing, the
Borrowers may request, on one or more occasions at any time prior to the Term
Loan Maturity Date, that the Total Facility Amount in effect on the date of such
request be increased by an amount such that Total Facility Amount does not
exceed $275,000,000; PROVIDED that (i) any Term Lender which is a party to this
Credit Agreement prior to such increase shall have the right to elect to fund
its PRO RATA share of the increase and any additional amounts allocated by the
Administrative Agent, thereby increasing its Term Loan Amount hereunder, but no
Term Lender

<Page>

                                      -31-

shall be required to do so, (ii) in the event that it becomes necessary to
include one or more new Term Lenders to provide additional funding under this
Section 3.2 in order to enable such increase in the Term Loan to occur, such new
Term Lenders shall be acceptable to the Administrative Agent, (iii) such new
Term Lender(s) shall have executed and delivered to the Administrative Agent an
instrument of accession in form and substance satisfactory to the Administrative
Agent, (iv) the Term Lenders' Term Loan Percentages shall be correspondingly
adjusted, (v) each new Term Lender shall make all (if any) such payments to the
other Term Lenders as may be necessary to result in the Term Loan to be made by
such new Term Lender being equal to such new Term Lender's Term Loan Percentage
of the aggregate principal amount of the Term Loan outstanding to the Borrowers
as of such date, and (vi) Term Notes shall be issued or amended and such other
changes shall be made to the Loan Documents, as shall be necessary to reflect
any such increase in the Term Loan. Any such increase in the Term Loan shall
require, among other things, the satisfaction of such conditions precedent as
the Administrative Agent may require, including, without limitation, the
Administrative Agent's receipt of evidence of applicable corporate authorization
and other corporate documentation from the Borrowers and the legal opinion of
counsel to the Borrowers, each in form and substance satisfactory to the
Administrative Agent and such Term Lenders as are participating in such
increase.

        (b)     REALLOCATION. In the event that the Borrowers request that the
Total Facility Amount be increased, subject to the satisfaction of each of the
conditions precedent to such increase set forth in Sections 2.2(a) and 3.2(a),
the Administrative Agent may, in its sole discretion and at the request of the
Arranger, reallocate the Total Facility Amount by permanently decreasing the
Term Loan and increasing the Total Revolving Credit Commitment by an equal
amount; PROVIDED that no Term Lender shall be required to reallocate all or any
portion of its Term Loan Amount to the Revolving Credit Loans without its prior
written consent; and PROVIDED, FURTHER, that after giving effect to such
reallocation, the Total Revolving Credit Commitment shall not be less than
$125,000,000; and PROVIDED, FURTHER, that the Total Facility Amount shall not
exceed $275,000,000. The Borrowers and the Term Lenders further agree that the
Administrative Agent may make conforming changes to this Credit Agreement as the
Administrative Agent may determine are necessary to accomplish the reallocations
authorized herein, including without limitation revisions to SCHEDULE 1 hereto,
PROVIDED that prior to giving effect to such changes, the Administrative Agent
shall have provided written notice to the Term Lenders and the Borrowers of such
changes. If requested by the Administrative Agent, or any affected Term Lender,
the Borrowers hereby agree to issue new Notes, and the applicable Term Lenders
agree to cancel and return any old Notes that are replaced by such new Notes, as
applicable in connection with any such reallocations.

        3.3. THE TERM NOTES. The Term Loan shall be evidenced by separate
promissory notes of the Borrowers in substantially the form of EXHIBIT D hereto
(each a "TERM NOTE"), dated as of the Closing Date (or such other date on which
a Term Lender may become a party hereto in accordance with Section 15 hereof)
and completed with appropriate insertions. One Term Note shall be payable to the
order of each Term Lender in a principal amount equal to such Term Lender's Term
Loan

<Page>

                                      -32-

Percentage of the Term Loan and representing the obligation of the Borrowers to
pay to such Term Lender such principal amount or, if less, the outstanding
amount of such Term Lender's Term Loan Percentage of the Term Loan, plus
interest accrued thereon, as set forth below. The Borrowers irrevocably
authorize each Term Lender to make or cause to be made a notation on such Term
Lender's Term Note Record reflecting the original principal amount of such Term
Lender's Term Loan Percentage of the Term Loan and, at or about the time of such
Term Lender's receipt of any principal payment on such Term Lender's Term Note,
an appropriate notation on such Term Lender's Term Note Record reflecting such
payment. The aggregate unpaid amount set forth on such Term Lender's Term Note
Record shall be PRIMA FACIE evidence of the principal amount thereof owing and
unpaid to such Term Lender, but the failure to record, or any error in so
recording, any such amount on such Term Lender's Term Note Record shall not
affect the Obligations of the Borrowers hereunder or under any Term Note to make
payments of principal of and interest on any Term Note when due.

        3.4. SCHEDULE OF INSTALLMENT PAYMENTS OF PRINCIPAL OF TERM LOAN. The
Borrowers jointly and severally promise to pay to the Administrative Agent for
the account of the Term Lenders, in accordance with their respective Term Loan
Percentages, the principal amount of the Term Loan in four (4) consecutive
payments, each such payment equal to one percent (1%) of the notional amount of
the Term Loan, and due and payable on each anniversary of the Term Loan,
commencing on the first anniversary of the Term Loan, with a final additional
payment on the Term Loan Maturity Date in an amount equal to the unpaid
principal balance of the Term Loan.

        3.5. OPTIONAL PREPAYMENT OF TERM LOAN. The Borrowers shall have the
right at any time to prepay the Term Notes on or before the Term Loan Maturity
Date, as a whole, or in part, upon not less than five (5) Business Days prior
written notice to the Administrative Agent, without premium or penalty, PROVIDED
that (a) each partial prepayment shall be in the principal amount of $1,000,000
or an integral multiple of $500,000 in excess thereof, (b) no portion of the
Term Loan bearing interest at the Eurodollar Rate may be prepaid pursuant to
this Section 3.5 except on the last day of the Interest Period relating thereto
except in accordance with Section 5.9, and (c) each partial prepayment shall be
allocated among the Term Lenders, in proportion, as nearly as practicable, to
the respective outstanding amount of each Term Lender's Term Note, with
adjustments to the extent practicable to equalize any prior prepayments not
exactly in proportion. Any prepayment of principal of the Term Loan shall
include all interest accrued to the date of prepayment and shall be applied
against the scheduled installments of principal due on the Term Loan in the
inverse order of maturity. No amount repaid with respect to the Term Loan may be
reborrowed.

        3.6. MANDATORY PREPAYMENTS OF THE TERM LOAN.

                3.6.1.  PREPAYMENT OF SUBORDINATED DEBT. If at any time any of
        the Borrowers are required to make any prepayments of any Subordinated
        Debt as a result of any sale or other disposition of assets otherwise
        permitted

<Page>

                                      -33-

        hereunder, the Borrowers shall, one (1) Business Day prior to making
        such prepayment, prepay the Term Loan in an amount at least equal to
        such prepayment.

                3.6.2.  PREPAYMENT OF TERM LOAN WITH PROCEEDS OF SUBORDINATED
        DEBT. In the event any Borrower receives Net Cash Proceeds from any
        issuance of Subordinated Debt at any time after the Closing Date, and on
        the date of such issuance the Leverage Ratio is greater than 3.25:1, the
        Borrowers shall make a prepayment of the Term Loan in an amount equal to
        fifty percent (50%) of such Net Cash Proceeds. Notwithstanding the
        foregoing, the Borrowers may issue up to $150,000,000 of Subordinated
        Debt without having to make a prepayment of the Term Loan otherwise
        required by this Section 3.6.2, PROVIDED that no Default or Event of
        Default has occurred and is continuing or would exist as a result
        thereof.

                3.6.3.  PAYMENT PROVISIONS. Each prepayment of the Term Loan
        required by this Section 3.6 shall be allocated among the Term Lenders
        in accordance with each such Term Lender's Term Loan Percentage. Any
        prepayment of principal of the Term Loan shall include all interest
        accrued to the date of prepayment and shall be applied against the
        scheduled installments of principal due on the Term Loan in the inverse
        order of maturity. No amount repaid with respect to the Term Loan may be
        reborrowed. Any Term Lender may decline to accept any payments due to
        such Term Lender pursuant to this Section 3.6, in which case the
        Borrowers may retain the amount of any prepayment so declined.

        3.7.    INTEREST ON TERM LOAN.

                3.7.1.  INTEREST RATES. Except as otherwise provided in Section
        5.10, the Term Loan shall bear interest during each Interest Period
        relating to all or any portion of the Term Loan at the following rates:

                        (a)     To the extent that all or any portion of the
                Term Loan bears interest during such Interest Period at the Base
                Rate, the Term Loan or such portion shall bear interest during
                such Interest Period at the rate per annum equal to the Base
                Rate PLUS the Applicable Margin with respect to Base Rate Loans
                as in effect from time to time.

                        (b)     To the extent that all or any portion of the
                Term Loan bears interest during such Interest Period at the
                Eurodollar Rate, the Term Loan or such portion shall bear
                interest during such Interest Period at the rate per annum equal
                to the Eurodollar Rate determined for such Interest Period PLUS
                the Applicable Margin with respect to Eurodollar Rate Loans as
                in effect from time to time.

        The Borrowers jointly and severally promise to pay interest on the Term
        Loan or any portion thereof outstanding during each Interest Period in
        arrears on each Interest Payment Date applicable to such Interest
        Period.

<Page>

                                      -34-

                3.7.2.  NOTIFICATION BY BORROWERS. The Borrowers shall notify
        the Administrative Agent, such notice to be irrevocable, at least three
        (3) Eurodollar Business Days prior to the Drawdown Date of the Term Loan
        if all or any portion of the Term Loan is to bear interest at the
        Eurodollar Rate. After the Term Loan has been made, the provisions of
        Section 2.8 shall apply MUTATIS MUTANDIS with respect to all or any
        portion of the Term Loan so that the Borrowers may have the same
        interest rate options with respect to all or any portion of the Term
        Loan as it would be entitled to with respect to the Revolving Credit
        Loans.

                3.7.3.  AMOUNTS, ETC. Any portion of the Term Loan bearing
        interest at the Eurodollar Rate relating to any Interest Period shall be
        in the amount of $500,000 or an integral multiple of $100,000 in excess
        thereof. No Interest Period relating to the Term Loan or any portion
        thereof bearing interest at the Eurodollar Rate shall extend beyond the
        date on which a regularly scheduled installment payment of the principal
        of the Term Loan is to be made unless a portion of the Term Loan at
        least equal to such installment payment has an Interest Period ending on
        such date or is then bearing interest at the Base Rate.

                              4. LETTERS OF CREDIT.

        4.1. LETTER OF CREDIT COMMITMENTS.

                4.1.1.  COMMITMENT TO ISSUE LETTERS OF CREDIT. Subject to the
        terms and conditions hereof and the execution and delivery by the
        Borrowers of a letter of credit application on the Administrative
        Agent's customary form (a "LETTER OF CREDIT APPLICATION"), the
        Administrative Agent on behalf of the Revolving Credit Lenders and in
        reliance upon the agreement of the Revolving Credit Lenders set forth in
        Section 4.1.4 and upon the representations and warranties of the
        Borrowers contained herein, agrees, in its individual capacity, to
        issue, extend and renew for the account of the Borrowers one or more
        standby letters of credit and, in the case of L/C Supported IRBs, direct
        pay letters of credit ("IRB LETTERS OF CREDIT", and together with the
        standby Letters of Credit, "LETTERS OF CREDIT"), in such form as may be
        requested from time to time by the Borrowers and agreed to by the
        Administrative Agent; PROVIDED, HOWEVER, that, after giving effect to
        such request, (a) the sum of the aggregate Maximum Drawing Amount and
        all Unpaid Reimbursement Obligations shall not exceed $30,000,000 at any
        one time, and (b) the sum of (i) the Maximum Drawing Amount on all
        Letters of Credit, (ii) all Unpaid Reimbursement Obligations, (iii) the
        amount of all Revolving Credit Loans outstanding and (iv) the amount of
        all outstanding Swing Line Loans shall not exceed the Total Revolving
        Credit Commitment at such time. The letters of credit listed on SCHEDULE
        4.1.1 issued by the issuing bank under the Prior Credit Agreement shall
        be Letters of Credit under this Credit Agreement. This Credit Agreement
        shall be the "REIMBURSEMENT AGREEMENT" referred to in the L/C Supported
        IRBs.

<Page>

                                      -35-

                4.1.2.  LETTER OF CREDIT APPLICATIONS. Each Letter of Credit
        Application shall be completed to the satisfaction of the Administrative
        Agent. In the event that any provision of any Letter of Credit
        Application shall be inconsistent with any provision of this Credit
        Agreement, then the provisions of this Credit Agreement shall, to the
        extent of any such inconsistency, govern.

                4.1.3.  TERMS OF LETTERS OF CREDIT. Each Letter of Credit
        issued, extended or renewed hereunder shall, among other things, provide
        for the payment of sight drafts for honor thereunder when presented in
        accordance with the terms thereof and when accompanied by the documents
        described therein. No standby Letter of Credit shall have an expiry date
        later than the earlier of (i) one (1) year after the date of issuance of
        such standby Letter of Credit (which may incorporate automatic renewals
        for periods of up to one (1) year, PROVIDED that the Administrative
        Agent may, upon thirty (30) days notice to the beneficiary, cancel such
        standby Letter of Credit which has been renewed beyond its initial one
        (1) year term), or (ii) thirty (30) days prior to the Revolving Credit
        Maturity Date. No IRB Letter of Credit shall have an expiry date later
        than thirty (30) days prior to the Revolving Credit Maturity Date. Each
        Letter of Credit so issued, extended or renewed shall be subject to the
        Uniform Customs and Practice for Documentary Credits (1993 Revision),
        International Chamber of Commerce Publication No. 500 or any successor
        version thereto adopted by the Administrative Agent in the ordinary
        course of its business as a letter of credit issuer and in effect at the
        time of issuance of such Letter of Credit (the "UNIFORM CUSTOMS") or, in
        the case of a standby Letter of Credit, either the Uniform Customs or
        the International Standby Practices (ISP98), International Chamber of
        Commerce Publication No. 590, or any successor code of standby letter of
        credit practices among banks adopted by the Administrative Agent in the
        ordinary course of its business as a standby letter of credit issuer and
        in effect at the time of issuance of such Letter of Credit.

                4.1.4.  REIMBURSEMENT OBLIGATIONS OF REVOLVING CREDIT LENDERS.
        Each Revolving Credit Lender severally agrees that it shall be
        absolutely liable, without regard to the occurrence of any Default or
        Event of Default or any other condition precedent whatsoever, to the
        extent of such Revolving Credit Lender's Revolving Credit Commitment
        Percentage, to reimburse the Administrative Agent on demand for the
        amount of each draft paid by the Administrative Agent under each Letter
        of Credit to the extent that such amount is not reimbursed by the
        Borrowers pursuant to Section 4.2 (such agreement for a Revolving Credit
        Lender being called herein the "LETTER OF CREDIT PARTICIPATION" of such
        Revolving Credit Lender).

                4.1.5.  PARTICIPATIONS OF REVOLVING CREDIT LENDERS. Each such
        payment made by a Revolving Credit Lender shall be treated as the
        purchase by such Revolving Credit Lender of a participating interest in
        the Borrowers' Reimbursement Obligation under Section 4.2 in an amount
        equal to such payment.

<Page>

                                      -36-

        Each Revolving Credit Lender shall share in accordance with its
        participating interest in any interest which accrues pursuant to
        Section 4.2.

        4.2. REIMBURSEMENT OBLIGATION OF THE BORROWERS. In order to induce the
Administrative Agent to issue, extend and renew each Letter of Credit and the
Revolving Credit Lenders to participate therein, the Borrowers hereby jointly
and severally agree to reimburse or pay to the Administrative Agent, for the
account of the Administrative Agent or (as the case may be) the Revolving Credit
Lenders, with respect to each Letter of Credit issued, extended or renewed by
the Administrative Agent hereunder,

                (a)     except as otherwise expressly provided in Section 4.2(b)
        and (c), on each date that any draft presented under such Letter of
        Credit is honored by the Administrative Agent, or the Administrative
        Agent otherwise makes a payment with respect thereto, (i) the amount
        paid by the Administrative Agent under or with respect to such Letter of
        Credit, and (ii) the amount of any taxes, fees, charges or other costs
        and expenses whatsoever incurred by the Administrative Agent or any
        Revolving Credit Lender in connection with any payment made by the
        Administrative Agent or any Revolving Credit Lender under, or with
        respect to, such Letter of Credit; PROVIDED, HOWEVER, that if the
        Borrowers do not reimburse the Administrative Agent on the date the
        Administrative Agent makes payment with respect to such Letter of
        Credit, such an amount shall, provided that an Event of Default
        specified in Section 13.1(h) or Section 13.1(i) has not occurred,
        automatically become a Loan which is a Base Rate Loan,

                (b)     upon the reduction (but not termination) of the Total
        Revolving Credit Commitment to an amount less than the Maximum Drawing
        Amount, an amount equal to such difference, which amount shall be held
        by the Administrative Agent for the benefit of the Revolving Credit
        Lenders and the Administrative Agent as cash collateral for all
        Reimbursement Obligations, and

                (c)     upon the termination of the Total Revolving Credit
        Commitment, or the acceleration of the Reimbursement Obligations with
        respect to all Letters of Credit in accordance with Section 13, an
        amount equal to the then Maximum Drawing Amount on all Letters of
        Credit, which amount shall be held by the Administrative Agent for the
        benefit of the Revolving Credit Lenders and the Administrative Agent as
        cash collateral for all Reimbursement Obligations.

Each such payment shall be made to the Administrative Agent at the
Administrative Agent's Office in immediately available funds. Interest on any
and all amounts remaining unpaid by the Borrowers under this Section 4.2 at any
time from the date such amounts become due and payable (whether as stated in
this Section 4.2, by acceleration or otherwise) until payment in full (whether
before or after judgment) shall be payable to the Administrative Agent on demand
at the rate specified in Section 5.10 for overdue principal on the Revolving
Credit Loans.

<Page>

                                      -37-

        4.3. LETTER OF CREDIT PAYMENTS. If any draft shall be presented or other
demand for payment shall be made under any Letter of Credit, the Administrative
Agent shall notify the Borrowers of the date and amount of the draft presented
or demand for payment and of the date and time when it expects to pay such draft
or honor such demand for payment. If the Borrowers fail to reimburse the
Administrative Agent as provided in Section 4.2 on or before the date that such
draft is paid or other payment is made by the Administrative Agent, the
Administrative Agent may at any time thereafter notify the Revolving Credit
Lenders of the amount of any such Unpaid Reimbursement Obligation. No later than
3:00 p.m. (Boston time) on the Business Day next following the receipt of such
notice, each Revolving Credit Lender shall make available to the Administrative
Agent, at the Administrative Agent's Office, in immediately available funds,
such Revolving Credit Lender's Revolving Credit Commitment Percentage of such
Unpaid Reimbursement Obligation, together with an amount equal to the product of
(a) the average, computed for the period referred to in clause (c) below, of the
weighted average interest rate paid by the Administrative Agent for federal
funds acquired by the Administrative Agent during each day included in such
period, TIMES (b) the amount equal to such Revolving Credit Lender's Revolving
Credit Commitment Percentage of such Unpaid Reimbursement Obligation, TIMES (c)
a fraction, the numerator of which is the number of days that elapse from and
including the date the Administrative Agent paid the draft presented for honor
or otherwise made payment to the date on which such Revolving Credit Lender's
Revolving Credit Commitment Percentage of such Unpaid Reimbursement Obligation
shall become immediately available to the Administrative Agent, and the
denominator of which is 360. The responsibility of the Administrative Agent to
the Borrowers and the Revolving Credit Lenders shall be only to determine that
the documents (including each draft) delivered under each Letter of Credit in
connection with such presentment shall be in conformity in all material respects
with such Letter of Credit.

        4.4. OBLIGATIONS ABSOLUTE. The Borrowers' obligations under this Section
4 shall be absolute and unconditional under any and all circumstances and
irrespective of the occurrence of any Default or Event of Default or any
condition precedent whatsoever or any setoff, counterclaim or defense to payment
which the Borrowers may have or have had against the Administrative Agent, any
Revolving Credit Lender or any beneficiary of a Letter of Credit. The Borrowers
further agree with the Administrative Agent and the Revolving Credit Lenders
that the Administrative Agent and the Revolving Credit Lenders shall not be
responsible for, and the Borrowers' Reimbursement Obligations under Section 4.2
shall not be affected by, among other things, the validity or genuineness of
documents or of any endorsements thereon, even if such documents should in fact
prove to be in any or all respects invalid, fraudulent or forged, or any dispute
between or among the Borrowers, the beneficiary of any Letter of Credit or any
financing institution or other party to which any Letter of Credit may be
transferred or any claims or defenses whatsoever of the Borrowers against the
beneficiary of any Letter of Credit or any such transferee. The Administrative
Agent and the Revolving Credit Lenders shall not be liable for any error,
omission, interruption or delay in transmission, dispatch or delivery of any
message or advice, however transmitted, in connection with any

<Page>

                                      -38-

Letter of Credit. The Borrowers agree that any action taken or omitted by the
Administrative Agent or any Revolving Credit Lender under or in connection with
each Letter of Credit and the related drafts and documents, if done in good
faith, shall be binding upon the Borrowers and shall not result in any liability
on the part of the Administrative Agent or any Revolving Credit Lender to the
Borrowers.

        4.5. RELIANCE BY ISSUER. To the extent not inconsistent with Section
4.4, the Administrative Agent shall be entitled to rely, and shall be fully
protected in relying upon, any Letter of Credit, draft, writing, resolution,
notice, consent, certificate, affidavit, letter, cablegram, telegram, telecopy,
telex or teletype message, statement, order or other document believed by it to
be genuine and correct and to have been signed, sent or made by the proper
Person or Persons and upon advice and statements of legal counsel, independent
accountants and other experts selected by the Administrative Agent. The
Administrative Agent shall be fully justified in failing or refusing to take any
action under this Credit Agreement unless it shall first have received such
advice or concurrence of the Required Lenders as it reasonably deems appropriate
or it shall first be indemnified to its reasonable satisfaction by the Revolving
Credit Lenders against any and all liability and expense which may be incurred
by it by reason of taking or continuing to take any such action. The
Administrative Agent shall in all cases be fully protected in acting, or in
refraining from acting, under this Credit Agreement in accordance with a request
of the Required Lenders, and such request and any action taken or failure to act
pursuant thereto shall be binding upon the Revolving Credit Lenders and all
future holders of the Revolving Credit Notes or of a Letter of Credit
Participation.

        4.6. LETTER OF CREDIT FEE. The Borrowers jointly and severally agree to
pay a fee (in each case, a "LETTER OF CREDIT FEE") to the Administrative Agent
(a) in respect of each Financial Letter of Credit, in an amount equal to the
Applicable Margin per annum with respect to Eurodollar Rate Loans of the face
amount of such Financial Letter of Credit which shall be for the accounts of the
Revolving Credit Lenders in accordance with their respective Revolving Credit
Commitment Percentages, PLUS an amount equal to one-eighth of one percent
(0.125%) per annum of the face amount of such Financial Letter of Credit which
shall be for the account of the Administrative Agent, as a fronting fee, and (b)
in respect of each Performance Letter of Credit, in an amount equal to fifty
percent (50%) of the Applicable Margin per annum with respect to Eurodollar Rate
Loans of the face amount of such Performance Letter of Credit which shall be for
the accounts of the Revolving Credit Lenders in accordance with their respective
Revolving Credit Commitment Percentages, PLUS an amount equal to one-eighth of
one percent (0.125%) per annum of the face amount of such Performance Letter of
Credit shall be for the account of the Administrative Agent, as a fronting fee.
Such Letter of Credit Fee shall be payable quarterly in arrears on each calendar
quarter end date following the date of issuance, extension, amendment or renewal
of such Letter of Credit and on the Final Maturity Date. In respect of each
Letter of Credit, the Borrowers shall also pay to the Administrative Agent for
the Administrative Agent's own account, at such other time or times as such
charges are customarily made by the Administrative Agent, the Administrative
Agent's customary issuance, amendment, negotiation or document examination and
other administrative fees as in effect from time to time.

<Page>

                                      -39-

                         5. CERTAIN GENERAL PROVISIONS.

        5.1. FEES. The Borrowers jointly and severally agree to pay all Fees in
the amounts and at the times and otherwise in accordance with the terms
specified herein or the Loan Documents, as the case may be.

        5.2. FUNDS FOR PAYMENTS.

                5.2.1.  PAYMENTS TO ADMINISTRATIVE AGENT. All payments of
        principal, interest, Reimbursement Obligations, Fees and any other
        amounts due hereunder or under any of the other Loan Documents shall be
        made on the due date thereof to the Administrative Agent in Dollars, for
        the respective accounts of the Lenders and the Administrative Agent, at
        the Administrative Agent's Office or at such other place that the
        Administrative Agent may from time to time designate, in each case at or
        about 11:00 a.m. (Boston, Massachusetts, time or other local time at the
        place of payment) and in immediately available funds. Any such amounts
        received by 11:00 a.m. (Boston, Massachusetts, time or other local time
        at the place of payment) shall be forwarded to the Lenders by the close
        of business on the same day.

                5.2.2.  NO OFFSET, ETC. All payments by the Borrowers hereunder
        and under any of the other Loan Documents shall be made without
        recoupment, setoff or counterclaim and free and clear of and without
        deduction for any taxes, levies, imposts, duties, charges, fees,
        deductions, withholdings, compulsory loans, restrictions or conditions
        of any nature now or hereafter imposed or levied by any jurisdiction or
        any political subdivision thereof or taxing or other authority therein
        unless the Borrowers are compelled by law to make such deduction or
        withholding. If any such obligation is imposed upon the Borrowers with
        respect to any amount payable by it hereunder or under any of the other
        Loan Documents, the Borrowers will pay to the Administrative Agent, for
        the account of the Lenders or (as the case may be) the Administrative
        Agent, on the date on which such amount is due and payable hereunder or
        under such other Loan Document, such additional amount in Dollars as
        shall be necessary to enable the Lenders or the Administrative Agent to
        receive the same net amount which the Lenders or the Administrative
        Agent would have received on such due date had no such obligation been
        imposed upon the Borrowers. The Borrowers will deliver promptly to the
        Administrative Agent certificates or other valid vouchers for all taxes
        or other charges deducted from or paid with respect to payments made by
        the Borrowers hereunder or under such other Loan Document.

                5.2.3.  NON-U.S. LENDERS. Each Lender and the Administrative
        Agent that is not a U.S. Person as defined in Section 7701(a)(30) of the
        Code for federal income tax purposes (a "NON-U.S. LENDER") hereby agrees
        that, if and to the extent it is legally able to do so, it shall, prior
        to the date of the first payment by the Borrowers hereunder to be made
        to such Lender or the Administrative Agent or for such Lender's or the
        Administrative Agent's account, deliver to the Borrowers and the
        Administrative Agent, as

<Page>

                                      -40-

        applicable, such certificates, documents or other evidence, as and when
        required by the Code or Treasury Regulations issued pursuant thereto,
        including (a) in the case of a Non-U.S. Lender that is a "BANK" for
        purposes of Section 881(c)(3)(A) of the Code, two (2) duly completed
        copies of Internal Revenue Service Form W-8BEN or Form W-8ECI and any
        other certificate or statement of exemption required by Treasury
        Regulations, or any subsequent versions thereof or successors thereto,
        properly completed and duly executed by such Lender or the
        Administrative Agent establishing that with respect to payments of
        principal, interest or fees hereunder it is (i) not subject to United
        States federal withholding tax under the Code because such payment is
        effectively connected with the conduct by such Lender or Administrative
        Agent of a trade or business in the United States or (ii) totally exempt
        or partially exempt from United States federal withholding tax under a
        provision of an applicable tax treaty and (b) in the case of a Non-U.S.
        Lender that is not a "bank" for purposes of Section 881(c)(3)(A) of the
        Code, a certificate in form and substance reasonably satisfactory to the
        Administrative Agent and the Borrowers and to the effect that (i) such
        Non-U.S. Lender is not a "BANK" for purposes of Section 881(c)(3)(A) of
        the Code, is not subject to regulatory or other legal requirements as a
        bank in any jurisdiction, and has not been treated as a bank for
        purposes of any tax, securities law or other filing or submission made
        to any governmental authority, any application made to a rating agency
        or qualification for any exemption from any tax, securities law or other
        legal requirements, (ii) is not a ten (10) percent shareholder for
        purposes of Section 881(c)(3)(B) of the Code and (iii) is not a
        controlled foreign corporation receiving interest from a related person
        for purposes of Section 881(c)(3)(C) of the Code, together with a
        properly completed Internal Revenue Service Form W-8 or W-9, as
        applicable (or successor forms). Each Lender or the Administrative Agent
        agrees that it shall, promptly upon a change of its lending office or
        the selection of any additional lending office, to the extent the forms
        previously delivered by it pursuant to this section are no longer
        effective, and promptly upon the Borrowers' or the Administrative
        Agent's reasonable request after the occurrence of any other event
        (including the passage of time) requiring the delivery of a Form W-8BEN,
        Form W-8ECI, Form W-8 or W-9 in addition to or in replacement of the
        forms previously delivered, deliver to the Borrowers and the
        Administrative Agent, as applicable, if and to the extent it is properly
        entitled to do so, a properly completed and executed Form W-8BEN, Form
        W-8ECI, Form W-8 or W-9, as applicable (or any successor forms thereto).

        5.3.    COMPUTATIONS. All computations of interest on Base Rate Loans
and of Fees shall be based on a 365/366-day year and paid for the actual number
of days elapsed. All computations of interest on Eurodollar Rate Loans shall be
based on a 360-day year and paid for the actual number of days elapsed. Except
as otherwise provided in the definition of the term "INTEREST PERIOD" with
respect to Eurodollar Rate Loans, whenever a payment hereunder or under any of
the other Loan Documents becomes due on a day that is not a Business Day, the
due date for such payment shall be extended to the next succeeding Business Day,
and interest shall

<Page>

                                      -41-

accrue during such extension. The outstanding amount of the Loans as reflected
on the Revolving Credit Note Records and the Term Note Records from time to time
shall be considered correct and binding on the Borrowers unless within five (5)
Business Days after receipt of any notice by the Administrative Agent or any of
the Lenders of such outstanding amount, the Administrative Agent or such Lender
shall notify the Borrowers to the contrary.

        5.4. INABILITY TO DETERMINE EURODOLLAR RATE. In the event, prior to the
commencement of any Interest Period relating to any Eurodollar Rate Loan, the
Administrative Agent shall determine or be notified by the Required Lenders that
(a) adequate and reasonable methods do not exist for ascertaining the Eurodollar
Rate that would otherwise determine the rate of interest to be applicable to any
Eurodollar Rate Loan during any Interest Period or (b) the Eurodollar Rate
determined or to be determined for such Interest Period will not adequately and
fairly reflect the cost to the Lenders of making or maintaining their Eurodollar
Rate Loans during such period, the Administrative Agent shall forthwith give
notice of such determination (which shall be conclusive and binding on the
Borrowers and the Lenders) to the Borrowers and the Lenders. In such event
(i) any Loan Request or Conversion Request with respect to Eurodollar Rate Loans
shall be automatically withdrawn and shall be deemed a request for Base Rate
Loans, (ii) each Eurodollar Rate Loan will automatically, on the last day of the
then current Interest Period relating thereto, become a Base Rate Loan, and
(iii) the obligations of the Lenders to make Eurodollar Rate Loans shall be
suspended until the Administrative Agent or the Required Lenders determine that
the circumstances giving rise to such suspension no longer exist, whereupon the
Administrative Agent or, as the case may be, the Administrative Agent upon the
instruction of the Required Lenders, shall so notify the Borrowers and the
Lenders.

        5.5. ILLEGALITY. Notwithstanding any other provisions herein, if any
present or future law, regulation, treaty or directive or the interpretation or
application thereof shall make it unlawful for any Lender to make or maintain
Eurodollar Rate Loans, such Lender shall forthwith give notice of such
circumstances to the Borrowers and the other Lenders and thereupon (a) the
commitment of such Lender to make Eurodollar Rate Loans or convert Base Rate
Loans to Eurodollar Rate Loans shall forthwith be suspended and (b) such
Lender's Revolving Credit Loans then outstanding as Eurodollar Rate Loans, if
any, shall be converted automatically to Base Rate Loans on the last day of each
Interest Period applicable to such Eurodollar Rate Loans or within such earlier
period as may be required by law. The Borrowers hereby jointly and severally
agree promptly to pay the Administrative Agent for the account of such Lender,
upon demand by such Lender, any additional amounts necessary to compensate such
Lender for any costs incurred by such Lender in making any conversion in
accordance with this Section 5.5, including any interest or fees payable by such
Lender to lenders of funds obtained by it in order to make or maintain its
Eurodollar Rate Loans hereunder.

        5.6. ADDITIONAL COSTS, ETC. If any present or future applicable law,
which expression, as used herein, includes statutes, rules and regulations
thereunder and interpretations thereof by any competent court or by any
governmental or other

<Page>

                                      -42-

regulatory body or official charged with the administration or the
interpretation thereof and requests, directives, instructions and notices at any
time or from time to time hereafter made upon or otherwise issued to any Lender
or the Administrative Agent by any central bank or other fiscal, monetary or
other authority (whether or not having the force of law), shall:

                (a)     subject any Lender or the Administrative Agent to any
        tax, levy, impost, duty, charge, fee, deduction or withholding of any
        nature with respect to this Credit Agreement, the other Loan Documents,
        any Letters of Credit, such Lender's Revolving Credit Commitment or the
        Loans (other than taxes based upon or measured by the income or profits
        of such Lender or the Administrative Agent), or

                (b)     materially change the basis of taxation (except for
        changes in taxes on income or profits) of payments to any Lender of the
        principal of or the interest on any Loans or any other amounts payable
        to any Lender or the Administrative Agent under this Credit Agreement or
        any of the other Loan Documents, or

                (c)     impose or increase or render applicable (other than to
        the extent specifically provided for elsewhere in this Credit Agreement)
        any special deposit, reserve, assessment, liquidity, capital adequacy or
        other similar requirements (whether or not having the force of law)
        against assets held by, or deposits in or for the account of, or Loans
        by, or Letters of Credit issued by, or Revolving Credit Commitment of an
        office of any Lender, or

                (d)     impose on any Lender or the Administrative Agent any
        other conditions or requirements with respect to this Credit Agreement,
        the other Loan Documents, any Letters of Credit, the Loans, such
        Lender's Revolving Credit Commitment, or any class of loans, letters of
        credit or commitments of which any of the Loans or such Lender's
        Revolving Credit Commitment forms a part, and the result of any of the
        foregoing is

                        (i)     to increase the cost to any Lender of making,
                funding, issuing, renewing, extending or maintaining any of the
                Loans or such Lender's Revolving Credit Commitment or any Letter
                of Credit, or

                        (ii)    to reduce the amount of principal, interest,
                Reimbursement Obligation or other amount payable to such Lender
                or the Administrative Agent hereunder on account of such
                Lender's Revolving Credit Commitment, any Letter of Credit or
                any of the Loans, or

                        (iii)   to require such Lender or the Administrative
                Agent to make any payment or to forego any interest or
                Reimbursement Obligation or other sum payable hereunder, the
                amount of which payment or foregone interest or Reimbursement
                Obligation or other sum is calculated by reference to the gross
                amount of any sum

<Page>

                                      -43-

                receivable or deemed received by such Lender or the
                Administrative Agent from the Borrowers hereunder,

then, and in each such case, the Borrowers will, upon demand made by such Lender
or (as the case may be) the Administrative Agent at any time and from time to
time and as often as the occasion therefor may arise, pay to such Lender or the
Administrative Agent such additional amounts as will be sufficient to compensate
such Lender or the Administrative Agent for such additional cost, reduction,
payment or foregone interest or Reimbursement Obligation or other sum.

        5.7. CAPITAL ADEQUACY. If after the date hereof any Lender or the
Administrative Agent determines that (a) the adoption of or change in any law,
governmental rule, regulation, policy, guideline or directive (whether or not
having the force of law) regarding capital requirements for Lenders or Lender
holding companies or any change in the interpretation or application thereof by
a Governmental Authority with appropriate jurisdiction, or (b) compliance by
such Lender or the Administrative Agent or any corporation controlling such
Lender or the Administrative Agent with any law, governmental rule, regulation,
policy, guideline or directive (whether or not having the force of law) of any
such entity regarding capital adequacy, has the effect of reducing the return on
such Lender's or the Administrative Agent's commitment with respect to any Loans
to a level below that which such Lender or the Administrative Agent could have
achieved but for such adoption, change or compliance (taking into consideration
such Lender's or the Administrative Agent's then existing policies with respect
to capital adequacy and assuming full utilization of such entity's capital) by
any amount deemed by such Lender or (as the case may be) the Administrative
Agent to be material, then such Lender or the Administrative Agent may notify
the Borrowers of such fact. To the extent that the amount of such reduction in
the return on capital is not reflected in the Base Rate, the Borrowers jointly
and severally agree to pay such Lender or (as the case may be) the
Administrative Agent for the amount of such reduction in the return on capital
as and when such reduction is determined upon presentation by such Lender or (as
the case may be) the Administrative Agent of a certificate in accordance with
Section 6.9 hereof. Each Lender shall allocate such cost increases among its
customers in good faith and on an equitable basis.

        5.8. CERTIFICATE. A certificate setting forth any additional amounts
payable pursuant to Sections 5.6 or 5.7 and a brief explanation of such amounts
which are due, submitted by any Lender or the Administrative Agent to the
Borrowers, shall be conclusive, absent manifest error, that such amounts are due
and owing.

        5.9. INDEMNITY. The Borrowers jointly and severally agree to indemnify
each Lender and to hold each Lender harmless from and against any loss, cost or
expense (including loss of anticipated profits) that such Lender may sustain or
incur as a consequence of (a) default by the Borrowers in payment of the
principal amount of or any interest on any Eurodollar Rate Loans as and when due
and payable, including any such loss or expense arising from interest or fees
payable by such Lender to banks of funds obtained by it in order to maintain its
Eurodollar Rate Loans, (b) default by the Borrowers in making a borrowing or
conversion after the

<Page>

                                      -44-

Borrowers have given (or are deemed to have given) a Loan Request, notice (in
the case of all or any portion of the Term Loans pursuant to Section 3.7.2) or a
Conversion Request relating thereto in accordance with Section 2.7 or Section
2.8 or Section 3.7 or (c) the making of any payment of a Eurodollar Rate Loan or
the making of any conversion of any such Loan to a Base Rate Loan on a day that
is not the last day of the applicable Interest Period with respect thereto,
including interest or fees payable by such Lender to lenders of funds obtained
by it in order to maintain any such Loans.

        5.10. DEFAULT INTEREST.

        Overdue principal and (to the extent permitted by applicable law)
interest on the Loans and all other overdue amounts payable hereunder or under
any of the other Loan Documents shall bear interest compounded monthly and
payable on demand at a rate per annum equal to two percent (2%) above the rate
of interest then applicable thereto (or, if no rate of interest is then
applicable thereto, the Base Rate) until such amount shall be paid in full
(after as well as before judgment).

        5.11. CONCERNING JOINT AND SEVERAL LIABILITY OF THE BORROWERS.

        (a)     Each of the Borrowers accepts joint and several liability for
the Obligations of all of the Borrowers hereunder and under the other Loan
Documents in consideration of the financial accommodations to be provided by the
Administrative Agent and the Lenders under this Credit Agreement, for the mutual
benefit, directly and indirectly, of each of the Borrowers and in consideration
of the undertakings of each other Borrower to accept joint and several liability
for the Obligations.

        (b)     Each of the Borrowers, jointly and severally, hereby irrevocably
and unconditionally accepts, not merely as a surety but also as a co-debtor,
joint and several liability with the other Borrowers with respect to the payment
and performance of all of the Obligations (including, without limitation, any
Obligations arising under this Section 5.11), it being the intention of the
parties hereto that all of the Obligations shall be the joint and several
Obligations of each of the Borrowers without preferences or distinction among
them.

        (c)     If and to the extent that any of the Borrowers shall fail to
make any payment with respect to any of the Obligations as and when due or to
perform any of the Obligations in accordance with the terms thereof, then in
each such event the other Borrowers will make such payment with respect to, or
perform, such Obligation.

        (d)     The Obligations of each of the Borrowers under the provisions of
this Section 5.11 constitute full recourse Obligations of each of the Borrowers
enforceable against each such Borrower to the full extent of its properties and
assets, irrespective of the validity, regularity or enforceability of this
Credit Agreement or any other circumstance whatsoever.

<Page>

                                      -45-

        (e)     Except as otherwise expressly provided in this Credit Agreement,
each of the Borrowers, to the fullest extent permitted by applicable law, hereby
waives notice of acceptance of its joint and several liability, notice of any
Loans made under this Credit Agreement, notice of any action at any time taken
or omitted by the Administrative Agent or the Lenders under or in respect of any
of the Obligations, and, generally, to the extent permitted by applicable law,
all demands, notices and other formalities of every kind in connection with this
Credit Agreement. Each of the Borrowers, to the fullest extent permitted by
applicable law, hereby waives all defenses which may be available by virtue of
any valuation, stay, moratorium law or other similar law now or hereafter in
effect, any right to require the marshaling of assets of the Borrowers and any
other Person primarily or secondarily liable with respect to any of the
Obligations and all suretyship defenses generally. Each of the Borrowers, to the
fullest extent permitted by applicable law, hereby assents to, and waives notice
of, any extension or postponement of the time for the payment of any of the
Obligations, the acceptance of any payment of any of the Obligations, the
acceptance of any partial payment thereon, any waiver, consent or other action
or acquiescence by the Lenders at any time or times in respect of any default by
any of the Borrowers in the performance or satisfaction of any term, covenant,
condition or provision of this Credit Agreement, any and all other indulgences
whatsoever by the Lenders in respect of any of the Obligations, and the taking,
addition, substitution or release, in whole or in part, at any time or times, of
any security for any of the Obligations or the addition, substitution or
release, in whole or in part, of any of the Borrowers. Without limiting the
generality of the foregoing, each of the Borrowers assents to any other action
or delay in acting or failure to act on the part of the Lenders with respect to
the failure by any of the Borrowers to comply with any of its respective
Obligations, including, without limitation, any failure strictly or diligently
to assert any right or to pursue any remedy or to comply fully with applicable
laws or regulations thereunder, which might, but for the provisions of this
Section 5.11, afford grounds for terminating, discharging or relieving any of
the Borrowers, in whole or in part, from any of its Obligations under this
Section 5.11, it being the intention of each of the Borrowers that, so long as
any of the Obligations hereunder remain unsatisfied, the Obligations of such
Borrowers under this Section 5.11 shall not be discharged except by performance
and then only to the extent of such performance. The Obligations of each of the
Borrowers under this Section 5.11 shall not be diminished or rendered
unenforceable by any winding up, reorganization, arrangement, liquidation,
re-construction or similar proceeding with respect to any of the Borrowers, the
Administrative Agent or the Lenders. The joint and several liability of the
Borrowers hereunder shall continue in full force and effect notwithstanding any
absorption, merger, amalgamation or any other change whatsoever in the name,
membership, constitution or place of formation of any of the Borrowers, the
Administrative Agent or the Lenders.

        (f)     To the extent any Borrower makes a payment hereunder in excess
of the aggregate amount of the benefit received by such Borrower in respect of
the extensions of credit under the Credit Agreement (the "BENEFIT AMOUNT"), then
such Borrower, after the payment in full, in cash, of all of the Obligations,
shall be entitled to recover from each other Borrower such excess payment, PRO
RATA, in accordance with the ratio of the Benefit Amount received by each such
other

<Page>

                                      -46-

Borrower to the total Benefit Amount received by all Borrowers, and the right to
such recovery shall be deemed to be an asset and property of such Borrower so
funding; PROVIDED, that each of the Borrowers hereby agrees that it will not
enforce any of its rights of contribution or subrogation against the other
Borrowers with respect to any liability incurred by it hereunder or under any of
the other Loan Documents, any payments made by it to any of the Lenders or the
Administrative Agent with respect to any of the Obligations or any collateral
security therefor until such time as all of the Obligations have been
irrevocably paid in full in cash. Any claim which any Borrower may have against
any other Borrower with respect to any payments to the Lenders or the
Administrative Agent hereunder or under any other Loan Document are hereby
expressly made subordinate and junior in right of payment, without limitation as
to any increases in the Obligations arising hereunder or thereunder, to the
prior payment in full of the Obligations and, in the event of any insolvency,
bankruptcy, receivership, liquidation, reorganization or other similar
proceeding under the laws of any jurisdiction relating to any Borrower, its
debts or its assets, whether voluntary or involuntary, all such Obligations
shall be paid in full before any payment or distribution of any character,
whether in cash, securities or other property, shall be made to any other
Borrower therefor.

        (g)     Each of the Borrowers hereby agrees that the payment of any
amounts due with respect to the Indebtedness owing by any Borrower to any other
Borrower is hereby subordinated to the prior payment in full in cash of the
Obligations. Each Borrower hereby agrees that after the occurrence and during
the continuance of any Default or Event of Default, such Borrower will not
demand, sue for or otherwise attempt to collect any such Indebtedness of any
other Borrower owing to such Borrower until the Obligations shall have been paid
in full in cash. If, notwithstanding the foregoing sentence, such Borrower shall
collect, enforce or receive any amounts in respect of such Indebtedness before
payment in full in cash of the Obligations, such amounts shall be collected,
enforced, received by such Borrower as trustee for the Administrative Agent and
be paid over to the Administrative Agent for the PRO RATA accounts of the
Lenders (in accordance with each such Lender's Revolving Credit Commitment
Percentage and Term Loan Percentage) to be applied to repay (or be held as
security for the repayment of) the Obligations.

        (h)     The provisions of this Section 5.11 are made for the benefit of
the Administrative Agent and the Lenders and their successors and assigns, and
may be enforced in good faith by them from time to time against any or all of
the Borrowers as often as the occasion therefor may arise and without
requirement on the part of the Administrative Agent or the Lenders first to
marshal any of their claims or to exercise any of their rights against any other
Borrower or to exhaust any remedies available to them against any other Borrower
or to resort to any other source or means of obtaining payment of any of the
Obligations hereunder or to elect any other remedy. The provisions of this
Section 5.11 shall remain in effect until all of the Obligations shall have been
paid in full or otherwise fully satisfied. If at any time, any payment, or any
part thereof, made in respect of any of the Obligations, is rescinded or must
otherwise be restored or returned by the Administrative Agent or the Lenders
upon the insolvency, bankruptcy or reorganization of any of the

<Page>

                                      -47-

Borrowers or is repaid in good faith settlement of a pending or threatened
avoidance claim, or otherwise, the provisions of this Section 5.11 will
forthwith be reinstated in effect, as though such payment had not been made.

        (i)     It is the intention and agreement of the Borrowers and the
Lenders that the obligations of the Borrowers under this Credit Agreement shall
be valid and enforceable against the Borrower to the maximum extent permitted by
applicable law. Accordingly, if any provision of this Credit Agreement creating
any obligation of the Borrowers in favor of the Lenders shall be declared to be
invalid or unenforceable in any respect or to any extent, it is the stated
intention and agreement of the Borrowers and the Lenders that any balance of the
obligation created by such provision and all other obligations of the Borrowers
to the Lenders created by other provisions of this Credit Agreement shall remain
valid and enforceable. Likewise, if by final order a court of competent
jurisdiction shall declare any sums which the Lenders may be otherwise entitled
to collect from the Borrowers under this Credit Agreement to be in excess of
those permitted under any law (including any federal or state fraudulent
conveyance or like statute or rule of law) applicable to the Borrower's
obligations under this Credit Agreement, it is the stated intention and
agreement of the Borrowers and the Lenders that all sums not in excess of those
permitted under such applicable law shall remain fully collectible by the
Lenders from the Borrowers.

                             6. COLLATERAL SECURITY.

        The Obligations shall be secured by a perfected first priority security
interest (subject only to Permitted Liens entitled to priority under applicable
law) in all of the assets of the Borrowers (other than motor vehicles and real
estate), whether now owned or hereafter acquired, pursuant to the terms of the
Security Documents to which the Borrowers are a party.

                       7. REPRESENTATIONS AND WARRANTIES.

        The Borrowers represent and warrant to the Lenders and the
Administrative Agent as follows:

        7.1. CORPORATE AUTHORITY.

                7.1.1.  INCORPORATION; GOOD STANDING. Each of the Borrowers (a)
        is a corporation (or similar business entity) duly organized, validly
        existing and in good standing under the laws of its jurisdiction of
        incorporation or formation, (b) has all requisite corporate (or the
        equivalent company) power to own its property and conduct its business
        as now conducted and as presently contemplated, and (c) is in good
        standing as a foreign corporation (or similar business entity) and is
        duly authorized to do business in each jurisdiction where such
        qualification is necessary except where a failure to be so qualified
        would not have a Material Adverse Effect.

<Page>

                                      -48-

                7.1.2.  AUTHORIZATION. The execution, delivery and performance
        of this Credit Agreement and the other Loan Documents to which any
        Borrower is or is to become a party and the transactions contemplated
        hereby and thereby (a) are within the corporate (or the equivalent
        company) authority of such Person, (b) have been duly authorized by all
        necessary corporate (or the equivalent company) proceedings, (c) do not
        and will not conflict with or result in any breach or contravention of
        any provision of law, statute, rule or regulation to which any Borrowers
        is subject or any judgment, order, writ, injunction, license or permit
        applicable to such Borrower and (d) do not conflict with any provision
        of the Governing Documents of, or any agreement or other instrument
        binding upon, such Borrower.

                7.1.3.  ENFORCEABILITY. The execution and delivery of this
        Credit Agreement and the other Loan Documents to which any Borrower is
        or is to become a party will result in valid and legally binding
        obligations of such Person enforceable against it in accordance with the
        respective terms and provisions hereof and thereof, except as
        enforceability is limited by bankruptcy, insolvency, reorganization,
        moratorium or other laws relating to or affecting generally the
        enforcement of creditors' rights and except to the extent that
        availability of the remedy of specific performance or injunctive relief
        is subject to the discretion of the court before which any proceeding
        therefor may be brought.

        7.2. GOVERNMENTAL APPROVALS. The execution, delivery and performance by
the Borrowers of this Credit Agreement and the other Loan Documents to which any
Borrower is or is to become a party and the transactions contemplated hereby and
thereby do not require the approval or consent of, or filing with, any
governmental agency or authority other than those already obtained.

        7.3. TITLE TO PROPERTIES; LEASES. Except as indicated on SCHEDULE 7.3
hereto, the Borrowers own all of the assets reflected in the consolidated
balance sheet of the Borrowers as at the Balance Sheet Date or acquired since
that date (except property and assets sold or otherwise disposed of in the
ordinary course of business since that date), subject to no Liens or other
rights of others, except Permitted Liens.

        7.4. FINANCIAL STATEMENTS AND PROJECTIONS.

                7.4.1.  FISCAL YEAR. Each of the Borrowers has a fiscal year
        which is the twelve (12) months ending on December 31 of each calendar
        year.

                7.4.2.  FINANCIAL STATEMENTS. There has been furnished to each
        of the Lenders a consolidated balance sheet of the Borrowers as at the
        Balance Sheet Date, and a consolidated statement of income of the
        Borrowers for the fiscal year then ended, certified by the Accountants.
        Such balance sheet and statement of income have been prepared in
        accordance with GAAP and fairly present the financial condition of the
        Borrowers as at the close of business on the date thereof and the
        results of operations for the fiscal year then ended.

<Page>

                                      -49-

        There are no contingent liabilities of any Borrower as of such date
        involving material amounts, known to the officers of such Borrower,
        which were not disclosed in such balance sheet and the notes related
        thereto.

                7.4.3.  PROJECTIONS. The projections of the annual operating
        budgets of the Borrowers on a consolidated basis, balance sheets and
        cash flow statements for the 2001 to 2006 fiscal years, copies of which
        have been delivered to each Lender, disclose all assumptions made with
        respect to general economic, financial and market conditions used in
        formulating such projections. To the knowledge of the Borrowers, no
        facts exist that (individually or in the aggregate) would result in any
        material change in any of such projections. The projections are based
        upon reasonable estimates and assumptions, have been prepared on the
        basis of the assumptions stated therein and reflect the reasonable
        estimates of the Borrowers of the results of operations and other
        information projected therein.

        7.5. NO MATERIAL ADVERSE CHANGES, ETC. Since the Balance Sheet Date
there has been no event or occurrence which has had a Material Adverse Effect.
Since the Balance Sheet Date, no Borrower has made any Distribution.

        7.6. FRANCHISES, PATENTS, COPYRIGHTS, ETC. Each of the Borrowers
possesses all franchises, patents, copyrights, trademarks, trade names, licenses
and permits, and rights in respect of the foregoing, adequate for the conduct of
its business substantially as now conducted without known conflict with any
rights of others.

        7.7. LITIGATION. Except as set forth in SCHEDULE 7.7 hereto, there are
no actions, suits, proceedings or investigations of any kind pending or
threatened against the Borrowers before any Governmental Authority, that, (a) if
adversely determined, might, either in any case or in the aggregate, (i) have a
Material Adverse Effect or (ii) materially impair the right of the Borrowers,
considered as a whole, to carry on business substantially as now conducted by
them, or result in any substantial liability not adequately covered by
insurance, or for which adequate reserves are not maintained on the consolidated
balance sheet of the Borrowers, or (b) which question the validity of this
Credit Agreement or any of the other Loan Documents, or any action taken or to
be taken pursuant hereto or thereto.

        7.8. NO MATERIALLY ADVERSE CONTRACTS, ETC. None of the Borrowers is
subject to any Governing Document or other legal restriction, or any judgment,
decree, order, law, statute, rule or regulation that has or is expected in the
future to have a Material Adverse Effect. None of the Borrowers is a party to
any contract or agreement that has or is expected, in the judgment of the
Borrowers' officers, to have any Material Adverse Effect.

        7.9. COMPLIANCE WITH OTHER INSTRUMENTS, LAWS, ETC. None of the Borrowers
is in violation of any provision of its Governing Documents, or any agreement or
instrument to which it may be subject or by which it or any of its properties
may be bound or any decree, order, judgment, statute, license, rule or

<Page>

                                      -50-

regulation, in any of the foregoing cases in a manner that could result in the
imposition of substantial penalties or have a Material Adverse Effect.

        7.10. TAX STATUS. The Borrowers (a) have made or filed all federal,
state and foreign income and all other tax returns, reports and declarations
required by any jurisdiction to which any of them is subject, (b) have paid all
taxes and other governmental assessments and charges shown or determined to be
due on such returns, reports and declarations, except those being contested in
good faith and by appropriate proceedings and (c) have set aside on their books
provisions reasonably adequate for the payment of all taxes for periods
subsequent to the periods to which such returns, reports or declarations apply.
There are no unpaid taxes in any material amount claimed to be due by the taxing
authority of any jurisdiction, and none of the officers of the Borrowers know of
any basis for any such claim.

        7.11. NO EVENT OF DEFAULT. No Default or Event of Default has occurred
and is continuing.

        7.12. HOLDING COMPANY AND INVESTMENT COMPANY ACTS. None of the Borrowers
is a "HOLDING COMPANY", or a "SUBSIDIARY COMPANY" of a "HOLDING COMPANY", or an
"AFFILIATE" of a "HOLDING COMPANY", as such terms are defined in the Public
Utility Holding Company Act of 1935; nor is it an "INVESTMENT COMPANY", or an
"AFFILIATED COMPANY" or a "PRINCIPAL UNDERWRITER" of an "INVESTMENT COMPANY", as
such terms are defined in the Investment Company Act of 1940.

        7.13. ABSENCE OF FINANCING STATEMENTS, ETC. Except with respect to
Permitted Liens, there is no financing statement, security agreement, chattel
mortgage, real estate mortgage or other document filed or recorded with any
filing records, registry or other public office, that purports to cover, affect
or give notice of any present or possible future Lien on any assets or property
of the Borrowers or any rights relating thereto.

        7.14. PERFECTION OF SECURITY INTEREST. All filings, assignments, pledges
and deposits of documents or instruments have been made and all other actions
have been taken that are necessary or advisable, under applicable law, to
establish and perfect the Administrative Agent's security interest in the
Collateral. The Collateral and the Administrative Agent's rights with respect to
the Collateral are not subject to any setoff, claims, withholdings or other
defenses. The Borrowers are the owners of the Collateral free from any Lien,
except for Permitted Liens.

        7.15. CERTAIN TRANSACTIONS. Except as set forth on SCHEDULE 7.15 hereto
and for arm's length transactions pursuant to which any Borrower makes payments
in the ordinary course of business upon terms no less favorable than such
Borrower could obtain from third parties, none of the officers, directors, or
employees of such Borrower is presently a party to any transaction with such
Borrower (other than for services as employees, officers and directors),
including any contract, agreement or other arrangement providing for the
furnishing of services to or by, providing for rental of real or personal
property to or from, or otherwise requiring payments to or from any officer,
director or such employee or, to the knowledge of such Borrower,

<Page>

                                      -51-

any corporation, partnership, trust or other entity in which any officer,
director, or any such employee has a substantial interest or is an officer,
director, trustee or partner.

        7.16. EMPLOYEE BENEFIT PLANS.

                7.16.1. IN GENERAL. Each Employee Benefit Plan and each
        Guaranteed Pension Plan has been maintained and operated in compliance
        in all material respects with the provisions of ERISA and all Applicable
        Pension Legislation and, to the extent applicable, the Code, including
        but not limited to the provisions thereunder respecting prohibited
        transactions and the bonding of fiduciaries and other persons handling
        plan funds as required by Section 412 of ERISA. The Borrowers has
        heretofore delivered to the Administrative Agent the most recently
        completed annual report, Form 5500, with all required attachments, and
        actuarial statement required to be submitted under Section 103(d) of
        ERISA, with respect to each Guaranteed Pension Plan.

                7.16.2. TERMINABILITY OF WELFARE PLANS. No Employee Benefit
        Plan, which is an employee welfare benefit plan within the meaning of
        Section 3(1) or Section 3(2)(B) of ERISA, provides benefit coverage
        subsequent to termination of employment, except as required by Title I,
        Part 6 of ERISA or the applicable state insurance laws. The Borrowers
        may terminate each such Plan at any time (or at any time subsequent to
        the expiration of any applicable bargaining agreement) in the discretion
        of the Borrowers without liability to any Person other than for claims
        arising prior to termination.

                7.16.3. GUARANTEED PENSION PLANS. Each contribution required to
        be made to a Guaranteed Pension Plan, whether required to be made to
        avoid the incurrence of an accumulated funding deficiency, the notice or
        lien provisions of Section 302(f) of ERISA, or otherwise, has been
        timely made. No waiver of an accumulated funding deficiency or extension
        of amortization periods has been received with respect to any Guaranteed
        Pension Plan, and none of the Borrowers or any ERISA Affiliate is
        obligated to or has posted security in connection with an amendment to a
        Guaranteed Pension Plan pursuant to Section 307 of ERISA or Section
        401(a)(29) of the Code. No liability to the PBGC (other than required
        insurance premiums, all of which have been paid) has been incurred by
        the Borrowers or any ERISA Affiliate with respect to any Guaranteed
        Pension Plan and there has not been any ERISA Reportable Event (other
        than an ERISA Reportable Event as to which the requirement of 30 days
        notice has been waived), or any other event or condition which presents
        a material risk of termination of any Guaranteed Pension Plan by the
        PBGC. Based on the latest valuation of each Guaranteed Pension Plan
        (which in each case occurred within twelve months of the date of this
        representation), and on the actuarial methods and assumptions employed
        for that valuation, the aggregate benefit liabilities of all such
        Guaranteed Pension Plans within the meaning of Section 4001 of ERISA did
        not exceed the aggregate value of the assets of all such Guaranteed
        Pension Plans,

<Page>

                                      -52-

        disregarding for this purpose the benefit liabilities and assets of any
        Guaranteed Pension Plan with assets in excess of benefit liabilities.

                7.16.4. MULTIEMPLOYER PLANS. None of the Borrowers or any ERISA
        Affiliate has incurred any material liability (including secondary
        liability) to any Multiemployer Plan as a result of a complete or
        partial withdrawal from such Multiemployer Plan under Section 4201 of
        ERISA or as a result of a sale of assets described in Section 4204 of
        ERISA. None of the Borrowers or any ERISA Affiliate has been notified
        that any Multiemployer Plan is in reorganization or insolvent under and
        within the meaning of Section 4241 or Section 4245 of ERISA or is at
        risk of entering reorganization or becoming insolvent, or that any
        Multiemployer Plan intends to terminate or has been terminated under
        Section 4041A of ERISA.

        7.17. USE OF PROCEEDS.

                7.17.1. GENERAL. The proceeds of the Loans shall be used solely
        (a) to refinance the Indebtedness under the Prior Credit Agreement; (b)
        to finance acquisitions permitted pursuant to Section 9.5.1; and (c) for
        capital expenditures, working capital and general corporate purposes.
        The Borrowers will use Letters of Credit solely for working capital and
        general corporate purposes.

                7.17.2. REGULATIONS U AND X. No portion of any Loan is to be
        used, and no portion of any Letter of Credit is to be obtained, for the
        purpose of purchasing or carrying any "MARGIN SECURITY" or "MARGIN
        STOCK" as such terms are used in Regulations U and X of the Board of
        Governors of the Federal Reserve System, 12 C.F.R. Parts 221 and 224.

                7.17.3. INELIGIBLE SECURITIES. No portion of the proceeds of any
        Loans is to be used, and no portion of any Letter of Credit is to be
        obtained, for the purpose of knowingly purchasing, or providing credit
        support for the purchase of, during the underwriting or placement period
        or within thirty (30) days thereafter, any Ineligible Securities
        underwritten or privately placed by a Financial Affiliate.

        7.18. ENVIRONMENTAL COMPLIANCE. The Borrowers have taken all necessary
steps to investigate the past and present condition and usage of the Real Estate
and the operations conducted thereon and, based upon such diligent
investigation, has determined that, except as set forth on SCHEDULE 7.18 hereto:

                (a)     none of the Borrowers or any operator of the Real Estate
        or any operations thereon is in violation, or alleged violation, of any
        judgment, decree, order, law, license, rule or regulation pertaining to
        environmental matters, including without limitation, those arising under
        the Resource Conservation and Recovery Act ("RCRA"), the Comprehensive
        Environmental Response, Compensation and Liability Act of 1980 as
        amended ("CERCLA"), the Superfund Amendments and Reauthorization Act of
        1986 ("SARA"), the Federal Clean Water Act, the Federal Clean Air Act,
        the Toxic Substances

<Page>

                                      -53-

        Control Act, or any state, local or foreign law, statute, regulation,
        ordinance, order or decree relating to health, safety or the environment
        (hereinafter "ENVIRONMENTAL LAWS"), which violation would have a
        material adverse effect on the environment or a Material Adverse Effect;

                (b)     none of the Borrowers has received notice from any third
        party including, without limitation, any Governmental Authority, (i)
        that any one of them has been identified by the United States
        Environmental Protection Agency ("EPA") as a potentially responsible
        party under CERCLA with respect to a site listed on the National
        Priorities List, 40 C.F.R. Part 300 Appendix B; (ii) that any hazardous
        waste, as defined by 42 U.S.C. Section 6903(5), any hazardous substances
        as defined by 42 U.S.C. Section 9601(14), any pollutant or contaminant
        as defined by 42 U.S.C. Section 9601(33) and any toxic substances, oil
        or hazardous materials or other chemicals or substances regulated by any
        Environmental Laws ("HAZARDOUS SUBSTANCES") which any one of them has
        generated, transported or disposed of has been found at any site at
        which a Governmental Authority has conducted or has ordered that the
        Borrowers conduct a remedial investigation, removal or other response
        action pursuant to any Environmental Law; or (iii) that it is or shall
        be a named party to any claim, action, cause of action, complaint, or
        legal or administrative proceeding (in each case, contingent or
        otherwise) arising out of any third party's incurrence of costs,
        expenses, losses or damages of any kind whatsoever in connection with
        the release of Hazardous Substances;

                (c)     (i) no portion of the Real Estate has been used for the
        handling, processing, storage or disposal of Hazardous Substances except
        in accordance with applicable Environmental Laws; and no underground
        tank or other underground storage receptacle for Hazardous Substances is
        located on any portion of the Real Estate; (ii) in the course of any
        activities conducted by the Borrowers or operators of its properties, no
        Hazardous Substances have been generated or are being used on the Real
        Estate except in accordance with applicable Environmental Laws; (iii)
        there have been no releases (i.e. any past or present releasing,
        spilling, leaking, pumping, pouring, emitting, emptying, discharging,
        injecting, escaping, disposing or dumping) or threatened releases of
        Hazardous Substances on, upon, into or from the properties of the
        Borrowers, which releases would have a material adverse effect on the
        value of any of the Real Estate or adjacent properties or the
        environment; (iv) to the best of the Borrowers' knowledge, there have
        been no releases on, upon, from or into any real property in the
        vicinity of any of the Real Estate which, through soil or groundwater
        contamination, may have come to be located on, and which would have a
        material adverse effect on the value of, the Real Estate; and (v) in
        addition, any Hazardous Substances that have been generated on any of
        the Real Estate have been transported offsite only by carriers having an
        identification number issued by the EPA (or the equivalent thereof in
        any foreign jurisdiction), treated or disposed of only by treatment or
        disposal facilities maintaining valid permits as required under
        applicable Environmental Laws, which transporters and facilities have
        been

<Page>

                                      -54-

        and are, to the best of the Borrowers' knowledge, operating in
        compliance with such permits and applicable Environmental Laws; and

                (d)     none of the Borrowers or any of the other Real Estate is
        subject to any applicable Environmental Law requiring the performance of
        Hazardous Substances site assessments, or the removal or remediation of
        Hazardous Substances, or the giving of notice to any Governmental
        Authority or the recording or delivery to other Persons of an
        environmental disclosure document or statement by virtue of the
        transactions set forth herein and contemplated hereby, or as a condition
        to the effectiveness of any other transactions contemplated hereby.

        7.19. SUBSIDIARIES, ETC. SCHEDULE 2 hereto sets forth a complete and
accurate list of the Subsidiaries of the Parent, including the name of each such
Subsidiary and its jurisdiction of incorporation, together with the number of
authorized and outstanding shares of each such Subsidiary. Each Subsidiary
listed on SCHEDULE 2 is wholly owned by the Parent or by a Subsidiary of the
Parent and is a Borrower hereunder, one hundred percent (100%) of the Capital
Stock of which has been pledged to the Administrative Agent on behalf of the
Lenders pursuant to the Stock Pledge Agreement or the Pledge Agreement. Each of
the Borrowers has good and marketable title to all of the shares it purports to
own of the Capital Stock of each of its Subsidiaries, free and clear in each
case of any Lien. All such Capital Stock have been duly issued and are fully
paid and non-assessable. None of the Borrowers is engaged in any joint venture
or partnership with any other Person.

        7.20. DISCLOSURE. Neither this Credit Agreement nor any of the other
Loan Documents contains any untrue statement of a material fact or omits to
state a material fact (known to the Borrowers in the case of any document or
information not furnished by it or any of its Subsidiaries) necessary in order
to make the statements herein or therein not misleading. There is no fact known
to the Borrowers which has a Material Adverse Effect, or which is reasonably
likely in the future to have a Material Adverse Effect, exclusive of effects
resulting from changes in general economic conditions, legal standards or
regulatory conditions.

        7.21. CAPITALIZATION.

        (a)     CAPITAL STOCK. As of the date hereof, (i) the authorized Capital
Stock of the Parent consists of (A) 4,050,000 shares of common stock (par value
$0.01 per share), 3,600,000 shares of which is Class A voting common stock and
450,000 shares of which is Class B non-voting common stock, and (B) 252,100
shares of preferred stock; (ii) the issued and outstanding Capital Stock of the
Parent consists of (A) 142,000 shares of Class A voting common stock, (B)
112,981 shares of Class B non-voting common stock, (C) 32,000 shares of Series A
Convertible Preferred Stock, (D) 20,100 shares of Series B Convertible Preferred
Stock, (E) 55,000 shares of Series C Convertible Preferred Stock and (F) 55,000
shares of Series D Convertible Preferred Stock. All such outstanding shares have
been duly issued and are fully paid and non-assessable.

<Page>

                                      -55-

        (b)     OPTIONS, ETC. Except as set forth on SCHEDULE 7.21, no Person
has outstanding any rights (either preemptive or otherwise) or options (except
for the options for common stock issued to employees in accordance with a bona
fide option plan approved by the Board of Directors of the Parent) to subscribe
for or purchase from the Borrowers, or any warrants or other agreements
providing for or requiring the issuance by the Borrowers of, any capital stock
or any securities convertible into or exchangeable for its capital stock.

                            8. AFFIRMATIVE COVENANTS.

        The Borrowers covenant and agree that, so long as any Loan, Unpaid
Reimbursement Obligation, Letter of Credit or Note is outstanding or any Lender
has any obligation to make any Loans or the Administrative Agent has any
obligation to issue, extend or renew any Letters of Credit:

        8.1. PUNCTUAL PAYMENT. The Borrowers will duly and punctually pay or
cause to be paid the principal and interest on the Loans, all Reimbursement
Obligations, the Letter of Credit Fees, the Fees and all other amounts provided
for in this Credit Agreement and the other Loan Documents to which the Borrowers
are party, all in accordance with the terms of this Credit Agreement and such
other Loan Documents.

        8.2. MAINTENANCE OF OFFICE. Each of the Borrowers will maintain its
chief executive office at 6125 Airport Freeway, Suite 202, Haltom City, Texas
76117, or at such other place in the United States of America as such Borrower
shall designate upon thirty (30) days' prior written notice to the
Administrative Agent, where notices, presentations and demands to or upon such
Borrower in respect of the Loan Documents to which such Borrower is a party may
be given or made.

        8.3. RECORDS AND ACCOUNTS. Each of the Borrowers will (a) keep true and
accurate records and books of account in which full, true and correct entries
will be made in accordance with GAAP, (b) maintain adequate accounts and
reserves for all taxes (including income taxes), depreciation, depletion,
obsolescence and amortization of its properties and the properties of its
Subsidiaries, contingencies, and other reserves, and (c) at all times engage the
Accountants and will not permit more than thirty (30) days to elapse between the
cessation of such Accountants as the independent certified public accountants of
the Borrowers and the appointment in such capacity of a successor firm as shall
be satisfactory to the Administrative Agent.

        8.4. FINANCIAL STATEMENTS, CERTIFICATES AND INFORMATION. The Borrowers
will deliver to each of the Lenders:

                (a)     as soon as practicable, but in any event not later than
        one hundred twenty (120) days, or ninety (90) days if and when the
        Parent becomes a publicly traded company, after the end of each fiscal
        year of the Borrowers, the consolidated and

<Page>

                                      -56-

        consolidating balance sheets of the Borrowers, each as at the end of
        such year, and the related consolidated and consolidating statements of
        income, statements of cash flow, and statements of operations for such
        year, each setting forth in comparative form the figures for the
        previous fiscal year and all such consolidated and consolidating
        statements to be in reasonable detail, prepared in accordance with GAAP,
        and certified, without qualification and without an expression of
        uncertainty as to the ability of the Borrowers to continue as going
        concerns, by the Accountants, together with an annual budget and
        projections prepared by the CFO for the next fiscal year in form and
        substance satisfactory to the Administrative Agent. In addition,
        simultaneously therewith, the Borrowers shall use their best efforts to
        provide the Lenders with a written statement from such accountants to
        the effect that they have read a copy of this Credit Agreement, and
        that, in making the examination necessary to said certification, they
        have obtained no knowledge of any Default or Event of Default, or, if
        such Accountants shall have obtained knowledge of any then existing
        Default or Event of Default they shall disclose in such statement any
        such Default or Event of Default; PROVIDED that such Accountants shall
        not be liable to the Lenders for failure to obtain knowledge of any
        Default or Event of Default;

                (b)     as soon as practicable, but in any event not later than
        forty-five (45) days after the end of each of the fiscal quarters of the
        Borrowers, copies of the unaudited consolidated and consolidating
        balance sheets and statements of operations of the Borrowers, each as at
        the end of such quarter, and the related consolidated and consolidating
        statements of cash flow for the portion of the Borrowers' fiscal year
        then elapsed, all in reasonable detail and prepared in accordance with
        GAAP, together with a certification by the CFO that the information
        contained in such financial statements fairly presents the financial
        position of the Borrowers on the date thereof (subject to year-end
        adjustments);

                (c)     as soon as practicable, but in any event not later than
        thirty (30) days after the end of each of the fiscal month of the
        Borrowers, copies of the unaudited consolidated and consolidating
        balance sheets and statements of operations of the Borrowers, each as at
        the end of such month, subject to year-end adjustments, and the related
        consolidated and consolidating statements of cash flow for the portion
        of the Borrowers' fiscal year then elapsed, all in reasonable detail and
        prepared in accordance with GAAP;

                (d)     simultaneously with the delivery of the financial
        statements referred to in subsections (a) and (b) above, a statement
        certified by the CFO in substantially the form of EXHIBIT E hereto (a
        "COMPLIANCE CERTIFICATE") and setting forth in reasonable detail
        computations evidencing compliance with the covenants contained in
        Sections 8, 9 and 10 and (if applicable) reconciliations to reflect
        changes in GAAP since the Balance Sheet Date; PROVIDED that if the
        Borrowers shall at the time of issuance of such Compliance Certificate
        or at any other time obtain knowledge of any Default or Event of
        Default, the Borrowers shall include in such Compliance Certificate or
        otherwise deliver forthwith to each of the Lenders a certificate
        specifying the nature and period

<Page>

                                      -57-

        of existence thereof and what action the Borrowers propose to take with
        respect thereto;

                (e)     contemporaneously with or promptly following the
        delivery thereof to the board of directors of the Parent, copies of the
        financial statements, financial projections, and variance reports
        concerning the Parent in substantially the same form in which such
        information is supplied to the board of directors of the Parent;

                (f)     contemporaneously with the filing or mailing thereof,
        copies of all material of a financial nature filed with the Securities
        and Exchange Commission or sent to the stockholders of any Borrower;

                (g)     from time to time upon request of the Administrative
        Agent, projections of the Borrowers updating those projections delivered
        to the Lenders and referred to in Section 7.4.3 or, if applicable,
        updating any later such projections delivered in response to a request
        pursuant to this Section 8.4(g); and

                (h)     from time to time such other financial data and
        information (including accountants' management letters) as the
        Administrative Agent or any Lender may reasonably request.

        8.5. NOTICES.

                8.5.1.  DEFAULTS. The Borrowers will promptly notify the
        Administrative Agent and each of the Lenders in writing of the
        occurrence of any Default or Event of Default, together with a
        reasonably detailed description thereof, and the actions the Borrowers
        propose to take with respect thereto. If any Person shall give any
        notice or take any other action in respect of a claimed default (whether
        or not constituting an Event of Default) under this Credit Agreement or
        any other note, evidence of Indebtedness, indenture or other obligation
        to which or with respect to which any Borrower is a party or obligor in
        excess of $1,000,000, whether as principal, guarantor, surety or
        otherwise, the Borrowers shall forthwith give written notice thereof to
        the Administrative Agent and each of the Lenders, describing the notice
        or action and the nature of the claimed default.

                8.5.2.  ENVIRONMENTAL EVENTS. The Borrowers will promptly notify
        the Administrative Agent and each of the Lenders, (i) upon any Borrower
        obtaining knowledge of any violation of any Environmental Law regarding
        the Real Estate or any Borrower's operations, which violation could have
        a Material Adverse Effect; (ii) upon any Borrower obtaining knowledge of
        any potential or known Release or threat of Release of any Hazardous
        Substance at, from, or into the Real Estate which it reports in writing
        or is reportable by it in writing to any governmental authority and
        which is material in amount or nature or which could materially affect
        the value of the Real Estate; (iii) upon any Borrower's receipt of any
        notice of violation of any Environmental Laws or of any Release or
        threatened Release of Hazardous Substances,

<Page>

                                      -58-

        including a notice or claim of liability or potential responsibility
        from any third party (including without limitation any Governmental
        Authority) and including notice of any formal inquiry, proceeding,
        demand, investigation or other action with regard to (A) any Borrower's,
        or any Person's operation of the Real Estate, (B) contamination on, from
        or into the Real Estate, or (C) investigation or remediation of offsite
        locations at which any Borrower, or any of their predecessors is alleged
        to have directly or indirectly Disposed of Hazardous Substances; or (iv)
        upon any Borrower obtaining knowledge that any expense or loss has been
        incurred by such governmental authority in connection with the
        assessment, containment, removal or remediation of any Hazardous
        Substances with respect to which any Borrower may be liable or for which
        a lien may be imposed on the Real Estate.

                8.5.3.  NOTIFICATION OF CLAIM AGAINST COLLATERAL. The Borrowers
        will, immediately upon becoming aware thereof, notify the Administrative
        Agent and each of the Lenders in writing of any setoff, claims
        (including, with respect to the Real Estate, environmental claims),
        withholdings or other defenses to which any of the Collateral, or the
        Administrative Agent's rights with respect to the Collateral, are
        subject.

                8.5.4.  NOTICE OF LITIGATION AND JUDGMENTS. Each of the
        Borrowers will give notice to the Administrative Agent and each of the
        Lenders in writing within fifteen (15) days of becoming aware of any
        litigation or proceedings threatened in writing or any pending
        litigation and proceedings affecting the Borrowers or to which any
        Borrower is or becomes a party involving an uninsured claim against any
        Borrower that could reasonably be expected to have a Material Adverse
        Effect on the Borrowers and stating the nature and status of such
        litigation or proceedings. Each of the Borrowers will give notice to the
        Administrative Agent and each of the Lenders, in writing, in form and
        detail satisfactory to the Administrative Agent, within ten (10) days of
        any judgment not covered by insurance, final or otherwise, against the
        Borrowers in an amount in excess of $1,000,000.

        8.6. LEGAL EXISTENCE; MAINTENANCE OF PROPERTIES. Except where the
failure of any Borrower to remain so qualified could not reasonably be expected
to result in a Material Adverse Effect, the Borrowers will do or cause to be
done all things necessary to preserve and keep in full force and effect its
legal existence, rights and franchises and those of its Subsidiaries. It (i)
will cause all of its properties and those of its Subsidiaries used or useful in
the conduct of its business or the business of its Subsidiaries to be maintained
and kept in good condition, repair and working order and supplied with all
necessary equipment, (ii) will cause to be made all necessary repairs, renewals,
replacements, betterments and improvements thereof, all as in the judgment of
the Borrowers may be necessary so that the business carried on in connection
therewith may be properly and advantageously conducted at all times, and (iii)
will continue to engage primarily in the businesses now conducted by them and in
related businesses; PROVIDED that nothing in this Section 8.6 shall prevent the
Borrowers from discontinuing the operation and maintenance of any of its
properties or any of those of its Subsidiaries if such

<Page>

                                      -59-

discontinuance is, in the judgment of the Borrowers, desirable in the conduct of
its or their business and that do not in the aggregate have a Material Adverse
Effect.

        8.7. INSURANCE.

        Each of the Borrowers will maintain with financially sound and reputable
insurers insurance with respect to its properties and business against such
casualties and contingencies as shall be in accordance with the general
practices of businesses engaged in similar activities in similar geographic
areas and in amounts, containing such terms, in such amount, in such forms and
for such periods as may be reasonable and prudent and in accordance with the
terms of the Security Agreements, but in no event less than the amounts and
coverages set forth on SCHEDULE 8.7 hereto. In addition, the Borrowers will
furnish from time to time, upon the Administrative Agent's request, a summary of
the insurance coverage of each of the Borrowers, which summary shall be in form
and substance satisfactory to the Administrative Agent and, if requested by the
Administrative Agent, will furnish to the Administrative Agent copies of the
applicable policies.

        8.8. TAXES. Each of the Borrowers will duly pay and discharge, or cause
to be paid and discharged, before the same shall become overdue, all taxes,
assessments and other governmental charges imposed upon it and its Real Estate,
sales and activities, or any part thereof, or upon the income or profits
therefrom, as well as all claims for labor, materials, or supplies that if
unpaid might by law become a Lien or charge upon any of its property; PROVIDED
that any such tax, assessment, charge, levy or claim need not be paid if the
validity or amount thereof shall currently be contested in good faith by
appropriate proceedings and if such Borrower shall have set aside on its books
adequate reserves with respect thereto; and PROVIDED FURTHER that such Borrower
will pay all such taxes, assessments, charges, levies or claims forthwith upon
the commencement of proceedings to foreclose any Lien that may have attached as
security therefor.

        8.9. INSPECTION OF PROPERTIES AND BOOKS, ETC.

                8.9.1.  GENERAL. The Borrowers shall permit the Lenders, through
        the Administrative Agent or any of the Lenders' other designated
        representatives, to visit and inspect any of the properties of the
        Borrowers, to examine the books of account of the Borrowers (and to make
        copies thereof and extracts therefrom), and to discuss the affairs,
        finances and accounts of the Borrowers with, and to be advised as to the
        same by, its and their officers, all at such reasonable times and
        intervals as the Administrative Agent or any Lender may reasonably
        request.

                8.9.2.  COMMUNICATIONS WITH ACCOUNTANTS. The Borrowers authorize
        the Administrative Agent and, if accompanied by the Administrative
        Agent, the Lenders to communicate directly with the Accountants and
        authorizes such Accountants to disclose to the Administrative Agent and
        the Lenders any and all financial statements and other supporting
        financial documents and schedules including copies of any

<Page>

                                      -60-

        management letter with respect to the business, financial condition and
        other affairs of the Borrowers. At the request of the Administrative
        Agent, the Borrowers shall deliver a letter addressed to such
        Accountants instructing them to comply with the provisions of this
        Section 8.9.2.

        8.10. COMPLIANCE WITH LAWS, CONTRACTS, LICENSES, AND PERMITS. Each of
the Borrowers will comply with (a) the applicable laws and regulations wherever
its business is conducted, including all Environmental Laws, (b) the provisions
of its Governing Documents, (c) all agreements and instruments by which it or
any of its properties may be bound and (d) except where noncompliance would not
have a Material Adverse Effect, all applicable laws, orders, decrees, orders,
judgments, licenses and permits, including without limitation all environmental
permits. If any authorization, consent, approval, permit or license from any
officer, agency or instrumentality of any government shall become necessary or
required in order that any Borrower may fulfill any of its obligations hereunder
or any of the other Loan Documents to which such Borrower is a party, the
Borrower will immediately take or cause to be taken all reasonable steps within
the power of such Borrower to obtain such authorization, consent, approval,
permit or license and furnish the Administrative Agent and the Lenders with
evidence thereof.

        8.11. EMPLOYEE BENEFIT PLANS. The Borrowers will (a) promptly upon
filing the same with the Department of Labor or Internal Revenue Service upon
request of the Administrative Agent, furnish to the Administrative Agent a copy
of the most recent actuarial statement required to be submitted under Section
103(d) of ERISA and Annual Report, Form 5500, with all required attachments, in
respect of each Guaranteed Pension Plan, (b) promptly upon receipt or dispatch,
furnish to the Administrative Agent any notice, report or demand sent or
received in respect of a Guaranteed Pension Plan under Sections 302, 4041, 4042,
4043, 4063, 4065, 4066 and 4068 of ERISA, or in respect of a Multiemployer Plan,
under Sections 4041A, 4202, 4219, 4242, or 4245 of ERISA and (c) promptly
furnish to the Administrative Agent a copy of all actuarial statements required
to be submitted under all Applicable Pension Legislation.

        8.12. USE OF PROCEEDS. The Borrowers will use the proceeds of the Loans
and obtain Letters of Credit solely for the purposes set forth in Section 7.17.

        8.13. INTEREST RATE PROTECTION. Not later than September 30, 2001, the
Borrowers (i) shall have entered into Interest Rate Agreements for a notional
amount equal to at least sixty percent (60%) of its floating rate Consolidated
Total Funded Debt as set forth on the applicable balance sheet of the Borrowers,
and on such terms and conditions, including, without limitation, with respect to
the interest rate applicable to such arrangements, as shall be satisfactory to
the Administrative Agent.

        8.14. NEW BORROWERS. Any newly-created or acquired Subsidiary of the
Parent or of a Subsidiary of the Parent permitted under Section 9.5.1 shall
become a Borrower hereunder and become a party to the Security Documents by
(i) signing a joinder agreement in substantially the form attached hereto as
EXHIBIT F (the

<Page>

                                      -61-

"JOINDER AGREEMENT"), (ii) signing allonges to the Notes and (iii) providing
such other documentation as the Administrative Agent may reasonably request,
including, without limitation, documentation with respect to the conditions
specified in Section 11 hereof, and one hundred percent (100%) of the Capital
Stock and assets (excluding motor vehicles and real estate) of such new
Subsidiaries shall be pledged to the Administrative Agent for the benefit of the
Lenders. In such event, the Administrative Agent is hereby authorized by the
parties to update SCHEDULE 2 to include such new Subsidiary.

        8.15. CLOSURE AND POST CLOSURE LIABILITIES. The Borrowers shall at all
times adequately accrue, in accordance with GAAP and as required by applicable
Environmental Laws, all closure and post closure liabilities with respect to the
operations of the Borrowers.

        8.16. FURTHER ASSURANCES. Each of the Borrowers will cooperate with the
Lenders and the Administrative Agent and execute such further instruments and
documents as the Lenders or the Administrative Agent shall reasonably request to
carry out to their satisfaction the transactions contemplated by this Credit
Agreement and the other Loan Documents.

        8.17. ENVIRONMENTAL INDEMNIFICATION. THE BORROWERS COVENANT AND AGREE
THAT THEY WILL INDEMNIFY AND HOLD THE ADMINISTRATIVE AGENT AND THE LENDERS
HARMLESS FROM AND AGAINST ANY AND ALL CLAIMS, EXPENSE, DAMAGE, LOSS OR LIABILITY
INCURRED BY THE ADMINISTRATIVE AGENT OR THE LENDERS (INCLUDING ALL COSTS OF
LEGAL REPRESENTATION) RELATING TO (A) ANY RELEASE OR THREATENED RELEASE OF
HAZARDOUS SUBSTANCES ON THE REAL ESTATE; (B) ANY VIOLATION OF ANY ENVIRONMENTAL
LAWS WITH RESPECT TO CONDITIONS AT THE REAL ESTATE OR THE OPERATIONS CONDUCTED
THEREON; OR (C) THE INVESTIGATION OR REMEDIATION OF OFFSITE LOCATIONS AT WHICH
THE BORROWERS OR THEIR PREDECESSORS ARE ALLEGED TO HAVE DIRECTLY OR INDIRECTLY
DISPOSED OF HAZARDOUS SUBSTANCES. IT IS EXPRESSLY ACKNOWLEDGED BY THE BORROWERS
THAT THIS COVENANT OF INDEMNIFICATION SHALL INCLUDE CLAIMS, EXPENSE, DAMAGE,
LOSS OR LIABILITY INCURRED BY THE ADMINISTRATIVE AGENT OR THE LENDERS BASED UPON
THE ADMINISTRATIVE AGENT'S OR THE LENDERS' NEGLIGENCE, AND THIS COVENANT SHALL
SURVIVE ANY FORECLOSURE OR ANY MODIFICATION, RELEASE OR DISCHARGE OF THE
SECURITY DOCUMENTS OR THE PAYMENT OF THE OBLIGATIONS AND SHALL INURE TO THE
BENEFIT OF THE ADMINISTRATIVE AGENT AND THE LENDERS, THEIR SUCCESSORS AND
ASSIGNS.

        8.18. POST-CLOSING REQUIREMENT. Not later than sixty (60) days after the
Closing Date, (a) the Borrowers will take all actions necessary to amend the
Limited Partnership Agreement of IESI TX Landfill (including, without
limitation, Section 5 thereof) to expressly permit the transactions contemplated
by the Security

<Page>

                                      -62-

Documents and (b) IESI TX shall have delivered to the Administrative Agent a
certified copy of the Limited Partnership Agreement of IESI TX Landfill, as so
amended and then in effect.

                         9. CERTAIN NEGATIVE COVENANTS.

        The Borrowers covenant and agree that, so long as any Loan, Unpaid
Reimbursement Obligation, Letter of Credit or Note is outstanding or any Lender
has any obligation to make any Loans or the Administrative Agent has any
obligations to issue, extend or renew any Letters of Credit:

        9.1. RESTRICTIONS ON INDEBTEDNESS. The Borrowers will not create, incur,
assume, guarantee or be or remain liable, contingently or otherwise (whether by
agreement to purchase any obligations, stock, assets, goods or services, or to
supply or advance any funds, assets, goods or services or otherwise), with
respect to any Indebtedness other than the following, PROVIDED that no Default
or Event of Default shall have occurred and be continuing at the time of the
incurrence of such Indebtedness or after giving effect thereto:

                (a)     Indebtedness to the Lenders and the Administrative Agent
        arising under any of the Loan Documents;

                (b)     endorsements for collection, deposit or negotiation and
        warranties of products or services, in each case incurred in the
        ordinary course of business;

                (c)     Subordinated Debt in an aggregate amount not to exceed
        $150,000,000 at any time outstanding; PROVIDED that in the event that
        any Subsidiary of the Parent guarantees any Subordinated Debt, the terms
        of such guaranty shall provide for the release of such guaranty upon the
        sale of stock or all or substantially all of the assets of such
        Subsidiary (even if such sale was made in a foreclosure);

                (d)     Indebtedness incurred in connection with the acquisition
        or lease financing of any real or personal property by such Borrower or
        under any Capitalized Lease, PROVIDED that the aggregate principal
        amount of such Indebtedness of the Borrowers shall not exceed $6,000,000
        at any one time;

                (e)     Indebtedness in respect of Interest Rate Agreements
        entered into pursuant to Section 8.14;

                (f)     Indebtedness existing on the date hereof and listed and
        described on SCHEDULE 9.1 hereto, together with any renewals, extensions
        or refinancings thereof on terms which (i) do not increase the principal
        amount thereunder, and (ii) are not materially different than those in
        effect as of the date hereof; PROVIDED that no such Indebtedness may be
        prepaid without prior written consent of the Required Lenders;

<Page>

                                      -63-

                (g)     incurrence by any Borrower of guaranty, suretyship or
        indemnification obligations in connection with such Borrower's
        performance of services for its respective customers in the ordinary
        course of its business;

                (h)     Indebtedness with respect to landfill closure bonds of
        the Borrowers in an aggregate amount not to exceed $50,000,000;

                (i)     Indebtedness with respect to the L/C Supported IRBs;

                (j)     Unpaid accrued dividends with respect to the Series C
        Convertible Preferred Stock and the Series D Convertible Preferred Stock
        to the extent treated as Indebtedness under GAAP; and

                (k)     Indebtedness of IESI MO Corporation with respect to
        royalty payments secured by Liens permitted pursuant to Section
        9.2.1(ix).

        9.2. RESTRICTIONS ON LIENS.

                9.2.1.  PERMITTED LIENS. The Borrowers will not (a) create or
incur or suffer to be created or incurred or to exist any Lien upon any of its
property or assets of any character whether now owned or hereafter acquired, or
upon the income or profits therefrom; (b) transfer any of such property or
assets or the income or profits therefrom for the purpose of subjecting the same
to the payment of Indebtedness or performance of any other obligation in
priority to payment of its general creditors; (c) acquire, or agree or have an
option to acquire, any property or assets upon conditional sale or other title
retention or purchase money security agreement, device or arrangement; (d)
suffer to exist for a period of more than thirty (30) days after the same shall
have been incurred any Indebtedness or claim or demand against it that if unpaid
might by law or upon bankruptcy or insolvency, or otherwise, be given any
priority whatsoever over its general creditors; or (e) sell, assign, pledge or
otherwise transfer any "RECEIVABLES" as defined in clause (g) of the definition
of the term "INDEBTEDNESS," with or without recourse; PROVIDED that the
Borrowers may create or incur or suffer to be created or incurred or to exist:

                (i)     Liens to secure taxes, assessments and other government
        charges in respect of obligations not overdue or Liens on properties to
        secure claims for labor, material or supplies in respect of obligations
        not overdue;

                (ii)    deposits or pledges made in connection with, or to
        secure payment of, workmen's compensation, unemployment insurance, old
        age pensions or other social security obligations;

                (iii)   Liens on properties in respect of judgments or awards
        that have been in force for less than the applicable period for taking
        an appeal so long as execution is not levied thereunder or in respect of
        which such Borrower shall at the time in good faith be prosecuting an
        appeal or proceedings for review and in respect of which a stay of
        execution shall have been obtained pending such appeal or review and in
        respect of which the Borrowers have maintained adequate reserves;

<Page>

                                      -64-

                (iv)    Liens of carriers, warehousemen, mechanics and
        materialmen, and other like Liens on properties, in existence less than
        one hundred twenty (120) days from the date of creation thereof in
        respect of obligations not overdue;

                (v)     encumbrances on Real Estate consisting of easements,
        rights of way, zoning restrictions, restrictions on the use of real
        property and defects and irregularities in the title thereto, landlord's
        or lessor's liens and other minor Liens, PROVIDED that none of such
        Liens (A) interferes materially with the use of the property affected in
        the ordinary conduct of the business of the Borrowers, and (B)
        individually or in the aggregate have a Material Adverse Effect;

                (vi)    Liens existing on the date hereof and listed on SCHEDULE
        9.2 hereto;

                (vii)   purchase money or lease security interests in or
        purchase money mortgages on real or personal property acquired or leased
        after the date hereof to secure purchase money or lease Indebtedness of
        the type and amount permitted by Section 9.1(d), incurred in connection
        with the acquisition or lease of such property, which security interests
        or mortgages cover only the real or personal property so acquired or
        leased;

                (viii)  Liens in favor of the Administrative Agent for the
        benefit of the Lenders and the Administrative Agent under the Security
        Documents; and

                (ix)    Liens on the real property contemplated for use as a
        landfill in Washington County, Missouri to secure royalty payments to be
        made by IESI MO Corporation to WaCo Landholding, Inc. in an amount not
        to exceed $8,000,000.

                        9.2.2.  RESTRICTIONS ON NEGATIVE PLEDGES AND UPSTREAM
        LIMITATIONS. The Borrowers will not (a) enter into or permit to exist
        any arrangement or agreement (excluding the Credit Agreement and the
        other Loan Documents) which directly or indirectly prohibits any
        Borrower from creating, assuming or incurring any Lien upon its
        properties, revenues or assets whether now owned or hereafter acquired,
        or (b) enter into any agreement, contract or arrangement (excluding the
        Credit Agreement and the other Loan Documents) restricting the ability
        of such Borrower to pay or make dividends or distributions in cash or
        kind to any other Borrower, to make loans, advances or other payments of
        whatsoever nature to such Borrower, or to make transfers or
        distributions of all or any part of its assets to such Borrower; in each
        case other than (i) restrictions on specific assets which assets are the
        subject of purchase money security interests to the extent permitted
        under Section 9.2.1, and (ii) customary anti-assignment provisions
        contained in leases and licensing agreements entered into by such
        Borrower in the ordinary course of its business.

<Page>

                                      -65-

        9.3. RESTRICTIONS ON INVESTMENTS. The Borrowers will not make or permit
to exist or to remain outstanding any Investment except Investments in:

                (a)     marketable direct or guaranteed obligations of the
        United States of America that mature within one (1) year from the date
        of purchase by such Borrower;

                (b)     demand deposits, certificates of deposit, bank
        acceptances and time deposits of United States banks having total assets
        in excess of $100,000,000;

                (c)     securities commonly known as "COMMERCIAL PAPER" maturing
        not more than nine (9) months from the date of issue and issued by a
        corporation organized and existing under the laws of the United States
        of America or any state thereof that at the time of purchase have been
        rated and the ratings for which are not less than "P 1" if rated by
        Moody's, and not less than "A 1" if rated by S&P ;

                (d)     Investments existing on the date hereof and listed on
        SCHEDULE 9.3 hereto;

                (e)     Investments associated with insurance policies required
        or allowed by state law to be posted as financial assurance for landfill
        closure and post-closure liabilities;

                (f)     Investments by any Borrower in any other Borrower;

                (g)     Investments consisting of loans and advances to
        employees for moving, entertainment, travel and other similar expenses
        in the ordinary course of business not to exceed $250,000 in the
        aggregate at any time outstanding;

                (h)     Investments by any Borrower in connection with an
        acquisition permitted by Section 9.5.1; and

                (i)     other Investments not otherwise permitted hereunder not
        to exceed $10,000,000 in the aggregate at any time outstanding.

        9.4. RESTRICTED PAYMENTS; AMENDMENTS TO DOCUMENTS. The Borrowers will
not make any Distributions other than Distributions to any other Borrower. The
Borrowers shall not, without the prior written consent of the Administrative
Agent, effect or permit any change in or amendment to any document or instrument
pertaining to the terms of any Borrower's (other than the Parent's) Capital
Stock. The Parent shall not, without the prior written consent of the
Administrative Agent, effect or permit any change in or amendment to any
document or instrument pertaining to the terms of the Parent's Capital Stock in
any manner which would (a) create a mandatory obligation to make any
Distribution thereunder or (b) increase the amount of, or accelerate the timing
of, any obligation (other than stock issued in connection with acquisitions
permitted under Section 9.5.1 and stock issued under existing

<Page>

                                      -66-

stock option plans) of the Parent to make any Distribution thereunder or with
respect to any of its Capital Stock, or (c) otherwise adversely affect the
rights of the Lenders and the Administrative Agent. The Parent will, with
respect to any amendment not requiring the prior written consent of the
Administrative Agent as set forth above, (i) provide written notice of any such
amendment to the Administrative Agent at least seven (7) days prior to the
proposed effective date of such amendment and (ii) deliver to the Administrative
Agent a certificate from the CFO, in form and substance satisfactory to the
Administrative Agent, certifying that such amendment shall not violate the
provisions of this Section 9.4.

        9.5. MERGER, CONSOLIDATION AND DISPOSITION OF ASSETS.

                9.5.1.  MERGERS AND ACQUISITIONS. The Borrowers will not become
        a party to any merger, amalgamation or consolidation, or agree to or
        effect any asset acquisition or stock acquisition (other than the
        acquisition of assets in the ordinary course of business consistent with
        past practices) except as otherwise provided in this Section 9.5.1. Any
        of the Borrowers may acquire the assets or stock of any other Borrower,
        or may merge or consolidate with or into any other Borrower, PROVIDED
        that, in the case of a merger or consolidation of the Parent and a
        Borrower, the Parent shall be the surviving entity. Any of the Borrowers
        may acquire all or substantially all of the assets or Capital Stock of
        any Person, PROVIDED that:

                (a)     the Borrowers shall have delivered to each of the
        Lenders a Compliance Certificate certifying they are in current
        compliance with and, giving effect to the proposed acquisition
        (including any borrowings made or to be made in connection therewith),
        will continue to be in compliance with all of the covenants in Section
        10 hereof on a PRO FORMA historical combined basis as if the transaction
        occurred on the first day of the period of measurement;

                (b)     at the time of such acquisition, no Default or Event of
        Default has occurred and is continuing, and such acquisition will not
        otherwise create a Default or an Event of Default hereunder;

                (c)     the business to be acquired is predominantly in the same
        lines of business as the Borrowers, or businesses reasonably related or
        incidental thereto;

                (d)     the business to be acquired operates predominantly in
        the continental United States;

                (e)     all of the assets to be acquired shall be owned by an
        existing or newly created Subsidiary of the Parent which Subsidiary
        shall be a Borrower, one hundred percent (100%) of the assets (excluding
        motor vehicle equipment) and Capital Stock of which have been or,
        simultaneously with such acquisition, will be pledged to the
        Administrative Agent on behalf of the Lenders or, in the case of a stock
        or other equity interest acquisition, the acquired company,
        simultaneously with such acquisition, shall become a

<Page>

                                      -67-

        Borrower or shall be merged with and into a wholly owned Subsidiary that
        is a Borrower and such newly acquired or created Subsidiary shall
        otherwise comply with the provisions of Section 8.14 hereof;

                (f)     not later than seven (7) days prior to the proposed
        acquisition date, a copy of the purchase agreement and financial
        projections, together with audited (if available, or otherwise
        unaudited) financial statements for any Subsidiary to be acquired or
        created for the preceding two (2) fiscal years or such shorter period of
        time as such Subsidiary has been in existence shall have been furnished
        to the Administrative Agent, only in cases of Material Acquisitions or
        upon request by the Administrative Agent;

                (g)     not later than seven (7) days prior to the proposed
        acquisition date, (i) a summary of the Borrowers' results of their
        standard due diligence review, and (ii) in the case of a landfill
        acquisition, including a review by a Consulting Engineer and a copy of
        the Consulting Engineer's report shall have been furnished to the
        Administrative Agent, only in cases of Material Acquisitions or upon
        request by the Administrative Agent;

                (h)     cash consideration to be paid by such Borrower in
        connection with any such acquisition or series of related acquisitions
        (including the aggregate amount of all Consolidated Total Funded Debt
        assumed or incurred), shall not exceed $12,500,000 without the prior
        written consent of the Administrative Agent and the Required Lenders;

                (i)     the board of directors and (if required by applicable
        law) the shareholders, or the equivalent thereof, of the Person to be
        acquired has approved such acquisition; and

                (j)     if such acquisition is made by a merger, a Borrower
        shall be the surviving entity.

                9.5.2.  DISPOSITION OF ASSETS. The Borrowers will not become a
        party to or agree to or effect any disposition of assets, other than (a)
        the sale of inventory, the licensing of intellectual property and the
        disposition of obsolete assets, in each case in the ordinary course of
        business consistent with past practices, (b) a disposition of assets
        from a Borrower to any other Borrower, (c) the sale or exchange of
        routes which in the business judgement of the Borrowers does not have a
        material adverse effect on the business or financial condition of the
        Borrowers, (d) assets with a fair market value of less than $10,000,000
        transferred in connection with an asset swap, which swap in the business
        judgement of the Borrowers does not have a material adverse effect on
        the business or financial condition of the Borrowers, and (e) assets
        with a fair market value in excess of $10,000,000 transferred in
        connection with an asset swap, which swap shall have received the prior
        written approval of the Administrative Agent and the Required Lenders.

<Page>

                                      -68-

        9.6. SALE AND LEASEBACK. The Borrowers will not enter into any
arrangement, directly or indirectly, whereby a Borrower shall sell or transfer
any property owned by it in order then or thereafter to lease such property or
lease other property that such Borrower intends to use for substantially the
same purpose as the property being sold or transferred.

        9.7. COMPLIANCE WITH ENVIRONMENTAL LAWS. The Borrowers will not (a) use
any of the Real Estate or any portion thereof for the handling, processing,
storage or disposal of Hazardous Substances, (b) cause or permit to be located
on any of the Real Estate any underground tank or other underground storage
receptacle for Hazardous Substances, (c) generate any Hazardous Substances on
any of the Real Estate, (d) conduct any activity at any Real Estate or use any
Real Estate in any manner so as to cause a release (i.e. releasing, spilling,
leaking, pumping, pouring, emitting, emptying, discharging, injecting, escaping,
leaching, disposing or dumping) or threatened release of Hazardous Substances
on, upon or into the Real Estate or (e) otherwise conduct any activity at any
Real Estate or use any Real Estate in any manner that would violate any
Environmental Law or bring such Real Estate in violation of any Environmental
Law.

        9.8. SUBORDINATED DEBT. The Borrowers will not amend, supplement or
otherwise modify the terms of the Subordinated Debt or prepay, redeem or
repurchase any of the Subordinated Debt.

        9.9. EMPLOYEE BENEFIT PLANS. None of the Borrowers or any ERISA
Affiliate will:

                (a)     engage in any "PROHIBITED TRANSACTION" within the
        meaning of Section 406 of ERISA or Section 4975 of the Code which could
        result in a material liability for the Borrowers, taken as a whole; or

                (b)     permit any Guaranteed Pension Plan to incur an
        "ACCUMULATED FUNDING DEFICIENCY", as such term is defined in Section 302
        of ERISA, whether or not such deficiency is or may be waived; or

                (c)     fail to contribute to any Guaranteed Pension Plan to an
        extent which, or terminate any Guaranteed Pension Plan in a manner
        which, could result in the imposition of a lien or encumbrance on the
        assets of any Borrower pursuant to Section 302(f) or Section 4068 of
        ERISA; or

                (d)     amend any Guaranteed Pension Plan in circumstances
        requiring the posting of security pursuant to Section 307 of ERISA or
        Section 401(a)(29) of the Code;

                (e)     permit or take any action which would result in the
        aggregate benefit liabilities (with the meaning of Section 4001 of
        ERISA) of all Guaranteed Pension Plans exceeding the value of the
        aggregate assets of such Plans, disregarding for this purpose the
        benefit liabilities and assets of any such Plan with assets in excess of
        benefit liabilities; or

<Page>

                                      -69-

                (f)     permit or take any action which would contravene any
        Applicable Pension Legislation.

        9.10. BUSINESS ACTIVITIES. The Borrowers will not engage directly or
indirectly (whether through Subsidiaries or otherwise) in any type of business
other than the businesses conducted by them on the Closing Date and in related
businesses.

        9.11. FISCAL YEAR. The Borrowers will not change the date of the end of
their fiscal year from that set forth in Section 7.4.1.

        9.12. TRANSACTIONS WITH AFFILIATES. Except as set forth on SCHEDULE 9.12
hereto, the Borrowers will not engage in any transaction with any Affiliate
(other than for services as employees, officers and directors), including any
contract, agreement or other arrangement providing for the furnishing of
services to or by, providing for rental of real or personal property to or from,
or otherwise requiring payments to or from any such Affiliate or, to the
knowledge of the Borrowers, any corporation, partnership, trust or other entity
in which any such Affiliate has a substantial interest or is an officer,
director, trustee or partner, on terms more favorable to such Person than would
have been obtainable on an arm's-length basis in the ordinary course of
business.

        9.13. NEW FRANCHISE AGREEMENTS. Following the Closing Date, the
Borrowers shall not enter into any Franchise Agreement with projected up-front
Capital Expenditures in excess of $3,000,000 without the consent of the
Administrative Agent and the Required Lenders.

                            10. FINANCIAL COVENANTS.

        The Borrowers covenant and agree that, so long as any Loan, Unpaid
Reimbursement Obligation, Letter of Credit or Note is outstanding or any Lender
has any obligation to make any Loans or the Administrative Agent has any
obligation to issue, extend or renew any Letters of Credit:

        10.1. LEVERAGE RATIO. As at the end of any fiscal quarter referenced in
the table below, the Leverage Ratio for the Reference Period the ended shall not
exceed the ratio set forth opposite such fiscal quarter in such table:

<Table>
<Caption>
            FISCAL QUARTERS ENDING             RATIO
        ------------------------------------------------
            <S>                               <C>
            9/30/01 through 6/30/03           3.75:1
        ------------------------------------------------
            9/30/03 and thereafter            3.50:1
        ------------------------------------------------
</Table>

        10.2. INTEREST COVERAGE. As at the end of any fiscal quarter referenced
in the table below, the ratio of (a) EBITDA for the Reference Period then ended
to (b)

<Page>

                                      -70-

Consolidated Total Interest Expense for such Reference Period shall not be less
than the ratio set forth opposite such fiscal quarter in such table:

<Table>
<Caption>
             FISCAL QUARTERS ENDING          RATIO
        ----------------------------------------------
            <S>                             <C>
            9/30/01 through 9/30/02         2.50:1
        ----------------------------------------------
            12/31/02 and thereafter         2.75:1
        ----------------------------------------------
</Table>

        10.3. CONSOLIDATED NET WORTH. The Borrowers will not permit their
Consolidated Net Worth at any time to be less than the sum of (a) $125,000,000
PLUS (b) the amount of the net proceeds of the Series D Convertible Preferred
Stock offering MINUS $5,000,000, PLUS (c) on a cumulative basis, one hundred
percent (100%) of proceeds of any new equity offering PLUS (d) fifty percent
(50%) of the positive Consolidated Net Income for each fiscal quarter following
the Closing Date.

        10.4. CAPITAL EXPENDITURES. The Borrowers will not make annual Capital
Expenditures (a) for each of the fiscal years ending December 31, 2001 and
December 31, 2002, in excess of 1.6 times the actual depreciation expense for
each such fiscal year, and (b) for each fiscal year ending thereafter, in excess
of 1.4 times the actual depreciation expense for each such fiscal year.

                             11. CLOSING CONDITIONS.

        The obligations of the Lenders to make the initial Revolving Credit
Loans and/or the Term Loan, as the case may be, and of the Administrative Agent
to issue any initial Letters of Credit shall be subject to the satisfaction of
the following conditions precedent:

        11.1. LOAN DOCUMENTS.

        Each of the Loan Documents shall have been duly executed and delivered
by the respective parties thereto, shall be in full force and effect and shall
be in form and substance satisfactory to each of the Lenders. Each Lender shall
have received a fully executed copy of each such document.

        11.2. CERTIFIED COPIES OF GOVERNING DOCUMENTS. Each of the Lenders shall
have received from each of the Borrowers a copy, certified by a duly authorized
officer of such Person to be true and complete on the Closing Date, of each of
its Governing Documents as in effect on such date of certification.

        11.3. CORPORATE OR OTHER ACTION. All corporate (or other) action
necessary for the valid execution, delivery and performance by each of the
Borrowers of this Credit Agreement and the other Loan Documents to which such
Borrower is or is to become a party shall have been duly and effectively taken,
and evidence thereof satisfactory to the Lenders shall have been provided to
each of the Lenders.

<Page>

                                      -71-

        11.4. INCUMBENCY CERTIFICATE. Each of the Lenders shall have received
from each of the Borrowers an incumbency certificate, dated as of the Closing
Date, signed by a duly authorized officer of such Borrower, and giving the name
and bearing a specimen signature of each individual who shall be authorized: (a)
to sign, in the name and on behalf of such Person, each of the Loan Documents to
which such Person is or is to become a party; (b) to make Loan Requests and
Conversion Requests and to apply for Letters of Credit; and (c) to give notices
and to take other action on its behalf under the Loan Documents.

        11.5. VALIDITY OF LIENS. The Security Documents shall be effective to
create in favor of the Administrative Agent a legal, valid and enforceable first
(except for Permitted Liens entitled to priority under applicable law) security
interest in and Lien upon the Collateral. All filings, recordings, deliveries of
instruments and other actions necessary or desirable in the opinion of the
Administrative Agent to protect and preserve such security interests shall have
been duly effected. The Administrative Agent shall have received evidence
thereof in form and substance satisfactory to the Administrative Agent.

        11.6. PERFECTION CERTIFICATES AND UCC SEARCH RESULTS. The Administrative
Agent shall have received from each of the Borrowers a completed and fully
executed Perfection Certificate and the results of UCC searches (and the
equivalent thereof in all applicable foreign jurisdictions) with respect to the
Collateral, indicating no Liens other than Permitted Liens and otherwise in form
and substance satisfactory to the Administrative Agent.

        11.7. CERTIFICATES OF INSURANCE. The Administrative Agent shall have
received (a) a certificate of insurance from an independent insurance broker
dated as of the Closing Date, identifying insurers, types of insurance,
insurance limits, and policy terms, and otherwise describing the insurance
obtained in accordance with the provisions of the Security Agreements and (b)
certified copies of all policies evidencing such insurance (or certificates
therefore signed by the insurer or an agent authorized to bind the insurer).

        11.8. CONSOLIDATED TOTAL FUNDED DEBT TO PRO FORMA EBITDA. The
Administrative Agent shall have received a certificate from the CFO, in form and
substance satisfactory to the Administrative Agent, certifying that the ratio
Consolidated Total Funded Debt to EBITDA for the immediately preceding twelve
(12) month period shall not exceed 3.10:1.00.

        11.9. RECEIPT OF THE SERIES D CONVERTIBLE PREFERRED STOCK PROCEEDS. The
Administrative Agent shall have received evidence satisfactory to the
Administrative Agent that the Borrowers shall have received new equity proceeds
from the issuance of the Series D Convertible Preferred Stock on or prior to the
Closing Date equal to at least $45,000,000 from Persons acceptable to the
Administrative Agent and on terms satisfactory to the Administrative Agent.

        11.10. SUBORDINATED DEBT. The Administrative Agent shall have received a
certificate from the CFO, in form and substance satisfactory to the
Administrative

<Page>

                                      -72-

Agent, certifying that (a) the Obligations are permitted Indebtedness under the
existing Subordinated Debt, and (b) no default under the existing Subordinated
Debt has occurred and is continuing or would result after giving effect to the
transactions contemplated by this Credit Agreement and the other Loan Documents.

        11.11. OPINION OF COUNSEL. Each of the Lenders and the Administrative
Agent shall have received a favorable legal opinion addressed to the Lenders and
the Administrative Agent, dated as of the Closing Date, in form and substance
satisfactory to the Lenders and the Administrative Agent, from:

        (a)     Kelly, Hart & Hallman, counsel to the Borrowers;

        (b)     Drinker, Biddle & Reath, special counsel to the Borrowers in
Pennsylvania;

        (c)     Craft, Fridkin & Rhyme, LLC, special counsel to the Borrowers in
Missouri;

        (d)     McDermott, Will & Emery, special counsel to the Borrowers in New
York and New Jersey;

        (e)     Johnson Law Firm, special counsel to the Borrowers in Arkansas;
and

        (f)     Gold, Weems, Bruser, Sues & Rundell, special counsel to the
Borrowers in Louisiana.

        11.12. ENVIRONMENTAL PERMIT CERTIFICATE. The Administrative Agent shall
have received an environmental permit certificate, in the form attached hereto
as EXHIBIT G, from the Parent satisfactory to the Administrative Agent
concerning principal operating permits at the Borrowers' principal operating
facilities.

        11.13. PAYMENT OF FEES. The Borrowers shall have paid to the Lenders,
the Administrative Agent or the Arranger, as applicable, all fees required to be
paid on the Closing Date in connection with this Credit Agreement and the other
Loan Documents.

                        12. CONDITIONS TO ALL BORROWINGS.

        The obligations of the Lenders to make any Loan, including the Revolving
Credit Loan and the Term Loan, and of the Administrative Agent to issue, extend
or renew any Letter of Credit, in each case whether on or after the Closing
Date, shall also be subject to the satisfaction of the following conditions
precedent:

        12.1. REPRESENTATIONS TRUE; NO EVENT OF DEFAULT. Each of the
representations and warranties of each of the Borrowers contained in this Credit
Agreement, the other Loan Documents or in any document or instrument delivered
pursuant to or in connection with this Credit Agreement shall be true as of the
date as of which they were made and shall also be true at and as of the time of
the making of such Loan or the issuance, amendment, extension or renewal of such

<Page>

                                      -73-

Letter of Credit, with the same effect as if made at and as of that time (except
to the extent of changes resulting from transactions contemplated or permitted
by this Credit Agreement and the other Loan Documents and changes occurring in
the ordinary course of business that singly or in the aggregate are not
materially adverse, and to the extent that such representations and warranties
relate expressly to an earlier date) and no Default or Event of Default shall
have occurred and be continuing.

        12.2. NO LEGAL IMPEDIMENT. No change shall have occurred in any law or
regulations thereunder or interpretations thereof that in the reasonable opinion
of any Lender would make it illegal for such Lender to make such Loan or to
participate in the issuance, extension or renewal of such Letter of Credit or in
the reasonable opinion of the Administrative Agent would make it illegal for the
Administrative Agent to issue, extend or renew such Letter of Credit.

        12.3. PROCEEDINGS AND DOCUMENTS. All proceedings in connection with the
transactions contemplated by this Credit Agreement, the other Loan Documents and
all other documents incident thereto shall be satisfactory in substance and in
form to the Lenders and to the Administrative Agent and the Administrative
Agent's Special Counsel, and the Lenders, the Administrative Agent and such
counsel shall have received all information and such counterpart originals or
certified or other copies of such documents as the Administrative Agent may
reasonably request.

                    13. EVENTS OF DEFAULT; ACCELERATION; ETC.

        13.1. EVENTS OF DEFAULT AND ACCELERATION. If any of the following events
("EVENTS OF DEFAULT" or, if the giving of notice or the lapse of time or both is
required, then, prior to such notice or lapse of time, "DEFAULTS") shall occur:

                (a)     the Borrowers shall fail to pay any principal of the
        Loans or any Reimbursement Obligation when the same shall become due and
        payable, whether at the stated date of maturity or any accelerated date
        of maturity or at any other date fixed for payment;

                (b)     the Borrowers shall fail to pay any interest on the
        Loans, any Fees, or other sums due hereunder or under any of the other
        Loan Documents, within five (5) Business Days the same shall become due
        and payable, whether at the stated date of maturity or any accelerated
        date of maturity or at any other date fixed for payment;

                (c)     the Borrowers shall fail to comply with any of the
        covenants contained in Sections 8.2, 8.3, 8.5, 8.6, 8.9, 8.14, 8.15, 9
        or 10;

                (d)     the Borrowers shall fail to comply with any of the
        covenants contained in Sections 8.4, 8.10 or 8.17 for ten (10) days;

                (e)     the Borrowers shall fail to perform any term, covenant
        or agreement contained herein or in any of the other Loan Documents
        (other than those specified elsewhere in this Section 14.1) for thirty
        (30) days after written

<Page>

                                      -74-

        notice of such failure has been given to the Borrowers by the
        Administrative Agent;

                (f)     any representation or warranty of any of the Borrowers
        in this Credit Agreement or any of the other Loan Documents or in any
        other document or instrument delivered pursuant to or in connection with
        this Credit Agreement shall prove to have been false in any material
        respect upon the date when made or deemed to have been made or repeated;

                (g)     any of the Borrowers shall fail to pay at maturity, or
        within any applicable period of grace, any obligation for borrowed money
        or credit received or in respect of any Capitalized Leases in an
        aggregate amount in excess of $1,000,000, or fail to observe or perform
        any material term, covenant or agreement contained in any agreement by
        which it is bound, evidencing or securing borrowed money or credit
        received or in respect of any Capitalized Leases in an aggregate amount
        in excess of $1,000,000 for such period of time as would permit
        (assuming the giving of appropriate notice if required) the holder or
        holders thereof or of any obligations issued thereunder to accelerate
        the maturity thereof, or any such holder or holders shall rescind or
        shall have a right to rescind the purchase of any such obligations;

                (h)     any of the Borrowers shall make an assignment for the
        benefit of creditors, or admit in writing its inability to pay or
        generally fail to pay its debts as they mature or become due, or shall
        petition or apply for the appointment of a trustee or other custodian,
        liquidator or receiver of such Borrower or of any substantial part of
        the assets of such Borrower or shall commence any case or other
        proceeding relating to such Borrower under any bankruptcy,
        reorganization, arrangement, insolvency, readjustment of debt,
        dissolution or liquidation or similar law of any jurisdiction, now or
        hereafter in effect, or shall take any action to authorize or in
        furtherance of any of the foregoing, or if any such petition or
        application shall be filed or any such case or other proceeding shall be
        commenced against such Borrower and such Borrower shall indicate its
        approval thereof, consent thereto or acquiescence therein or such
        petition or application shall not have been dismissed within forty-five
        (45) days following the filing thereof;

                (i)     a decree or order is entered appointing any such
        trustee, custodian, liquidator or receiver or adjudicating any of the
        Borrowers bankrupt or insolvent, or approving a petition in any such
        case or other proceeding, or a decree or order for relief is entered in
        respect of such Borrower in an involuntary case under federal bankruptcy
        laws as now or hereafter constituted, and such decree or order remains
        in effect for more than sixty (60) days, whether or not consecutive;

                (j)     there shall remain in force, undischarged, unsatisfied
        and unstayed, for more than thirty (30) days, whether or not
        consecutive, any final judgment against any of the Borrowers that, with
        other outstanding

<Page>

                                      -75-

        final judgments, undischarged, against such Borrower exceeds in the
        aggregate $1,000,000, after taking into account any undisputed insurance
        coverage;

                (k)     if any of the Loan Documents shall be cancelled,
        terminated, revoked or rescinded or the Administrative Agent's security
        interests, mortgages or liens in a substantial portion of the Collateral
        shall cease to be perfected, or shall cease to have the priority
        contemplated by the Security Documents, in each case otherwise than in
        accordance with the terms thereof or with the express prior written
        agreement, consent or approval of the Lenders, or any action at law,
        suit or in equity or other legal proceeding to cancel, revoke or rescind
        any of the Loan Documents shall be commenced by or on behalf of any of
        the Borrowers party thereto or any of their respective stockholders, or
        any court or any other governmental or regulatory authority or agency of
        competent jurisdiction shall make a determination that, or issue a
        judgment, order, decree or ruling to the effect that, any one or more of
        the Loan Documents is illegal, invalid or unenforceable in accordance
        with the terms thereof;

                (l)     any of the Borrowers or any ERISA Affiliate incurs any
        liability to the PBGC or a Guaranteed Pension Plan pursuant to Title IV
        of ERISA in an aggregate amount exceeding $1,000,000, or the Borrowers
        or any ERISA Affiliate is assessed withdrawal liability pursuant to
        Title IV of ERISA by a Multiemployer Plan requiring aggregate annual
        payments exceeding $1,000,000, or any of the following occurs with
        respect to a Guaranteed Pension Plan: (i) an ERISA Reportable Event, or
        a failure to make a required installment or other payment (within the
        meaning of Section 302(f)(1) of ERISA), PROVIDED that the Administrative
        Agent determines in its reasonable discretion that such event (A) could
        be expected to result in liability of any of the Borrowers to the PBGC
        or such Guaranteed Pension Plan in an aggregate amount exceeding
        $1,000,000 and (B) could constitute grounds for the termination of such
        Guaranteed Pension Plan by the PBGC, for the appointment by the
        appropriate United States District Court of a trustee to administer such
        Guaranteed Pension Plan or for the imposition of a lien in favor of such
        Guaranteed Pension Plan; or (ii) the appointment by a United States
        District Court of a trustee to administer such Guaranteed Pension Plan;
        or (iii) the institution by the PBGC of proceedings to terminate such
        Guaranteed Pension Plan; or

                (m)     a Change of Control shall occur;

then, and in any such event, so long as the same may be continuing, the
Administrative Agent may, and upon the request of the Required Lenders shall, by
notice in writing to the Borrowers declare all amounts owing with respect to
this Credit Agreement, the Notes and the other Loan Documents and all
Reimbursement Obligations to be, and they shall thereupon forthwith become,
immediately due and payable without presentment, demand, protest or other notice
of any kind, all of which are hereby expressly waived by the Borrowers; PROVIDED
that in the event of

<Page>

                                      -76-

any Event of Default specified in Sections 13.1(h) and 13.1(i), all such amounts
shall become immediately due and payable automatically and without any
requirement of notice from the Administrative Agent or any Lender.

        13.2. TERMINATION OF COMMITMENTS. If any one or more of the Events of
Default specified in Section 13.1(h) or Section 134.1(i) shall occur, any unused
portion of the credit hereunder shall forthwith terminate and each of the
Lenders shall be relieved of all further obligations to make Loans to the
Borrowers and the Administrative Agent shall be relieved of all further
obligations to issue, extend or renew Letters of Credit. If any other Event of
Default shall have occurred and be continuing, the Administrative Agent may and,
upon the request of the Required Lenders, shall, by notice to the Borrowers,
terminate the unused portion of the credit hereunder, and upon such notice being
given such unused portion of the credit hereunder shall terminate immediately
and each of the Lenders shall be relieved of all further obligations to make
Loans and the Administrative Agent shall be relieved of all further obligations
to issue, extend or renew Letters of Credit. No termination of the credit
hereunder shall relieve the Borrowers of any of the Obligations.

        13.3. REMEDIES. In case any one or more of the Events of Default shall
have occurred and be continuing, and whether or not the Lenders shall have
accelerated the maturity of the Loans pursuant to Section 13.1, each Lender, if
owed any amount with respect to the Loans or the Reimbursement Obligations, may,
with the consent of the Required Lenders but not otherwise, proceed to protect
and enforce its rights by suit in equity, action at law or other appropriate
proceeding, whether for the specific performance of any covenant or agreement
contained in this Credit Agreement and the other Loan Documents or any
instrument pursuant to which the Obligations to such Lender are evidenced,
including as permitted by applicable law the obtaining of the EX PARTE
appointment of a receiver, and, if such amount shall have become due, by
declaration or otherwise, proceed to enforce the payment thereof or any other
legal or equitable right of such Lender. No remedy herein conferred upon any
Lender or the Administrative Agent or the holder of any Note or purchaser of any
Letter of Credit Participation is intended to be exclusive of any other remedy
and each and every remedy shall be cumulative and shall be in addition to every
other remedy given hereunder or now or hereafter existing at law or in equity or
by statute or any other provision of law.

        13.4. DISTRIBUTION OF COLLATERAL PROCEEDS. In the event that, following
the occurrence or during the continuance of any Event of Default, the
Administrative Agent or any Lender, as the case may be, receives any monies in
connection with the enforcement of any the Security Documents, or otherwise with
respect to the realization upon any of the Collateral, such monies shall be
distributed for application as follows:

                (a)     FIRST, to the payment of, or (as the case may be) the
        reimbursement of the Administrative Agent for or in respect of all
        reasonable costs, expenses, disbursements and losses which shall have
        been incurred or sustained by the Administrative Agent in connection
        with the collection of such monies by the Administrative Agent, for the
        exercise, protection or

<Page>

                                      -77-

        enforcement by the Administrative Agent of all or any of the rights,
        remedies, powers and privileges of the Administrative Agent under this
        Credit Agreement or any of the other Loan Documents or in respect of the
        Collateral or in support of any provision of adequate indemnity to the
        Administrative Agent against any taxes or liens which by law shall have,
        or may have, priority over the rights of the Administrative Agent to
        such monies;

                (b)     SECOND, to all other Obligations; PROVIDED that (i)
        distributions shall be made (A) PARI PASSU among Obligations with
        respect to the Administrative Agent's fees and all other Obligations and
        (B) with respect to each type of Obligation owing to the Lenders, such
        as interest, principal, fees and expenses, among the Lenders PRO RATA in
        accordance with the amount of all such Obligations outstanding, and (ii)
        the Administrative Agent may in its discretion make proper allowance to
        take into account any Obligations not then due and payable;

                (c)     THIRD, upon payment and satisfaction in full or other
        provisions for payment in full satisfactory to the Lenders and the
        Administrative Agent of all of the Obligations, to the payment of any
        obligations required to be paid pursuant to Section 9-608(a)(1)(C) or
        9-615(a)(3) of the Uniform Commercial Code of the Commonwealth of
        Massachusetts; and

                (d)     FOURTH, the excess, if any, shall be returned to the
        Borrowers or to such other Persons as are entitled thereto.

                                 14. THE AGENTS.

        14.1. AUTHORIZATION.

                (a)     The Administrative Agent is authorized to take such
        action on behalf of each of the Lenders and to exercise all such powers
        as are hereunder and under any of the other Loan Documents and any
        related documents delegated to the Administrative Agent, together with
        such powers as are reasonably incident thereto, including the authority,
        without the necessity of any notice to or further consent of the
        Lenders, from time to time to take any action with respect to any
        Collateral or the Security Documents which may be necessary to perfect,
        maintain perfected or insure the priority of the security interest in
        and liens upon the Collateral granted pursuant to the Security
        Documents, PROVIDED that no duties or responsibilities not expressly
        assumed herein or therein shall be implied to have been assumed by the
        Administrative Agent.

                (b)     The relationship between the Administrative Agent and
        each of the Lenders is that of an independent contractor. The use of the
        term "ADMINISTRATIVE AGENT" is for convenience only and is used to
        describe, as a form of convention, the independent contractual
        relationship between the Administrative Agent and each of the Lenders.
        Nothing contained in this Credit Agreement nor the other Loan Documents
        shall be construed to create

<Page>

                                      -78-

        an agency, trust or other fiduciary relationship between the
        Administrative Agent and any of the Lenders.

                (c)     As an independent contractor empowered by the Lenders to
        exercise certain rights and perform certain duties and responsibilities
        hereunder and under the other Loan Documents, the Administrative Agent
        is nevertheless a "REPRESENTATIVE" of the Lenders, as that term is
        defined in Article 1 of the Uniform Commercial Code, for purposes of
        actions for the benefit of the Lenders and the Administrative Agent with
        respect to all collateral security and guaranties contemplated by the
        Loan Documents. Such actions include the designation of the
        Administrative Agent as "SECURED PARTY", "MORTGAGEE" or the like on all
        financing statements and other documents and instruments, whether
        recorded or otherwise, relating to the attachment, perfection, priority
        or enforcement of any security interests, mortgages or deeds of trust in
        collateral security intended to secure the payment or performance of any
        of the Obligations, all for the benefit of the Lenders and the
        Administrative Agent.

        14.2. EMPLOYEES AND ADMINISTRATIVE AGENTS. The Administrative Agent may
exercise its powers and execute its duties by or through employees or agents and
shall be entitled to take, and to rely on, advice of counsel concerning all
matters pertaining to its rights and duties under this Credit Agreement and the
other Loan Documents. The Administrative Agent may utilize the services of such
Persons as the Administrative Agent in its sole discretion may reasonably
determine, and all reasonable fees and expenses of any such Persons shall be
paid by the Borrowers.

        14.3. NO LIABILITY. Neither the Administrative Agent nor any of its
shareholders, directors, officers or employees nor any other Person assisting
them in their duties nor any agent or employee thereof, shall be liable for any
waiver, consent or approval given or any action taken, or omitted to be taken,
in good faith by it or them hereunder or under any of the other Loan Documents,
or in connection herewith or therewith, or be responsible for the consequences
of any oversight or error of judgment whatsoever, except that the Administrative
Agent or such other Person, as the case may be, may be liable for losses due to
its willful misconduct or gross negligence.

        14.4. NO REPRESENTATIONS.

                14.4.1. GENERAL. The Administrative Agent shall not be
        responsible for the execution or validity or enforceability of this
        Credit Agreement, the Notes, the Letters of Credit, any of the other
        Loan Documents or any instrument at any time constituting, or intended
        to constitute, collateral security for the Notes, or for the value of
        any such collateral security or for the validity, enforceability or
        collectability of any such amounts owing with respect to the Notes, or
        for any recitals or statements, warranties or representations made
        herein or in any of the other Loan Documents or in any certificate or
        instrument hereafter furnished to it by or on behalf of the Borrowers,
        or be bound to ascertain or inquire as to the performance or

<Page>
                                      -79-

        observance of any of the terms, conditions, covenants or agreements
        herein or in any instrument at any time constituting, or intended to
        constitute, collateral security for the Notes or to inspect any of the
        properties, books or records of the Borrowers. The Administrative Agent
        shall not be bound to ascertain whether any notice, consent, waiver or
        request delivered to it by the Borrowers or any holder of any of the
        Notes shall have been duly authorized or is true, accurate and complete.
        The Administrative Agent has not made nor does it now make any
        representations or warranties, express or implied, nor does it assume
        any liability to the Lenders, with respect to the credit worthiness or
        financial conditions of the Borrowers. Each Lender acknowledges that it
        has, independently and without reliance upon the Administrative Agent or
        any other Lender, and based upon such information and documents as it
        has deemed appropriate, made its own credit analysis and decision to
        enter into this Credit Agreement.

                14.4.2. CLOSING DOCUMENTATION, ETC. For purposes of determining
        compliance with the conditions set forth in Section 11, each Lender that
        has executed this Credit Agreement shall be deemed to have consented to,
        approved or accepted, or to be satisfied with, each document and matter
        either sent, or made available, by the Administrative Agent or the
        Arranger to such Lender for consent, approval, acceptance or
        satisfaction, or required thereunder to be consented to or approved by
        or acceptable or satisfactory to such Lender, unless an officer of the
        Administrative Agent or the Arranger active upon the Borrowers' account
        shall have received notice from such Lender prior to the Closing Date
        specifying such Lender's objection thereto and such objection shall not
        have been withdrawn by notice to the Administrative Agent or the
        Arranger to such effect on or prior to the Closing Date.

        14.5. PAYMENTS.

                14.5.1. PAYMENTS TO ADMINISTRATIVE AGENT. A payment by the
        Borrowers to the Administrative Agent hereunder or under any of the
        other Loan Documents for the account of any Lender shall constitute a
        payment to such Lender. The Administrative Agent agrees promptly to
        distribute to each Lender such Lender's PRO RATA share of payments
        received by the Administrative Agent for the account of the Lenders
        except as otherwise expressly provided herein or in any of the other
        Loan Documents.

                14.5.2. DISTRIBUTION BY ADMINISTRATIVE AGENT. If in the opinion
        of the Administrative Agent the distribution of any amount received by
        it in such capacity hereunder, under the Notes or under any of the other
        Loan Documents might involve it in liability, it may refrain from making
        distribution until its right to make distribution shall have been
        adjudicated by a court of competent jurisdiction. If a court of
        competent jurisdiction shall adjudge that any amount received and
        distributed by the Administrative Agent is to be repaid, each Person to
        whom any such distribution shall have been made shall either repay to
        the Administrative Agent its proportionate

<Page>

                                      -80-

        share of the amount so adjudged to be repaid or shall pay over the same
        in such manner and to such Persons as shall be determined by such court.

                14.5.3. DELINQUENT LENDERS. Notwithstanding anything to the
        contrary contained in this Credit Agreement or any of the other Loan
        Documents, any Lender that fails (a) to make available to the
        Administrative Agent its PRO RATA share of any Loan or to purchase any
        Letter of Credit Participation or (b) to comply with the provisions of
        Section 16.1 with respect to making dispositions and arrangements with
        the other Lenders, where such Lender's share of any payment received,
        whether by setoff or otherwise, is in excess of its PRO RATA share of
        such payments due and payable to all of the Lenders, in each case as,
        when and to the full extent required by the provisions of this Credit
        Agreement, shall be deemed delinquent (a "DELINQUENT LENDER") and shall
        be deemed a Delinquent Lender until such time as such delinquency is
        satisfied. A Delinquent Lender shall be deemed to have assigned any and
        all payments due to it from the Borrowers, whether on account of
        outstanding Loans, Unpaid Reimbursement Obligations, interest, fees or
        otherwise, to the remaining nondelinquent Lenders for application to,
        and reduction of, their respective PRO RATA shares of all outstanding
        Loans and Unpaid Reimbursement Obligations. The Delinquent Lender hereby
        authorizes the Administrative Agent to distribute such payments to the
        nondelinquent Lenders in proportion to their respective PRO RATA shares
        of all outstanding Loans and Unpaid Reimbursement Obligations. A
        Delinquent Lender shall be deemed to have satisfied in full a
        delinquency when and if, as a result of application of the assigned
        payments to all outstanding Loans and Unpaid Reimbursement Obligations
        of the nondelinquent Lenders, the Lenders' respective PRO RATA shares of
        all outstanding Loans and Unpaid Reimbursement Obligations have returned
        to those in effect immediately prior to such delinquency and without
        giving effect to the nonpayment causing such delinquency.

        14.6. HOLDERS OF NOTES. The Administrative Agent may deem and treat the
payee of any Note or the purchaser of any Letter of Credit Participation as the
absolute owner or purchaser thereof for all purposes hereof until it shall have
been furnished in writing with a different name by such payee or by a subsequent
holder, assignee or transferee.

        14.7. INDEMNITY. The Lenders ratably agree hereby to indemnify and hold
harmless the Administrative Agent and its affiliates from and against any and
all claims, actions and suits (whether groundless or otherwise), losses,
damages, costs, expenses (including any expenses for which the Administrative
Agent or such affiliate has not been reimbursed by the Borrowers as required by
Section 16.2), and liabilities of every nature and character arising out of or
related to this Credit Agreement, the Notes, or any of the other Loan Documents
or the transactions contemplated or evidenced hereby or thereby, or the
Administrative Agent's actions taken hereunder or thereunder, except to the
extent that any of the same shall be directly caused by the Administrative
Agent's willful misconduct or gross negligence.

<Page>

                                      -81-

        14.8. ADMINISTRATIVE AGENT AS LENDER. In its individual capacity, Fleet
shall have the same obligations and the same rights, powers and privileges in
respect to its Commitment and the Loans made by it, and as the holder of any of
the Notes and as the purchaser of any Letter of Credit Participations, as it
would have were it not also the Administrative Agent.

        14.9. RESIGNATION. The Administrative Agent may resign at any time by
giving sixty (60) days prior written notice thereof to the Lenders and the
Borrowers. Upon any such resignation, the Required Lenders shall have the right
to appoint a successor Administrative Agent. Unless a Default or Event of
Default shall have occurred and be continuing, such successor Administrative
Agent shall be reasonably acceptable to the Borrowers. If no successor
Administrative Agent shall have been so appointed by the Required Lenders and
shall have accepted such appointment within thirty (30) days after the retiring
Administrative Agent's giving of notice of resignation, then the retiring
Administrative Agent may, on behalf of the Lenders, appoint a successor
Administrative Agent, which shall be a financial institution having a rating of
not less than "A" or its equivalent by S&P. Upon the acceptance of any
appointment as Administrative Agent hereunder by a successor Administrative
Agent, such successor Administrative Agent shall thereupon succeed to and become
vested with all the rights, powers, privileges and duties of the retiring
Administrative Agent, and the retiring Administrative Agent shall be discharged
from its duties and obligations hereunder. After any retiring Administrative
Agent's resignation, the provisions of this Credit Agreement and the other Loan
Documents shall continue in effect for its benefit in respect of any actions
taken or omitted to be taken by it while it was acting as Administrative Agent.

        14.10. NOTIFICATION OF DEFAULTS AND EVENTS OF DEFAULT. Each Lender
hereby agrees that, upon learning of the existence of a Default or an Event of
Default, it shall promptly notify the Administrative Agent thereof. The
Administrative Agent hereby agrees that upon receipt of any notice under this
Section 14.10 it shall promptly notify the other Lenders of the existence of
such Default or Event of Default.

        14.11. DUTIES IN THE CASE OF ENFORCEMENT. In case one of more Events of
Default have occurred and shall be continuing, and whether or not acceleration
of the Obligations shall have occurred, the Administrative Agent shall, if (a)
so requested by the Required Lenders and (b) the Lenders have provided to the
Administrative Agent such additional indemnities and assurances against expenses
and liabilities as the Administrative Agent may reasonably request, proceed to
enforce the provisions of the Security Documents authorizing the sale or other
disposition of all or any part of the Collateral and exercise all or any such
other legal and equitable and other rights or remedies as it may have in respect
of such Collateral. The Required Lenders may direct the Administrative Agent in
writing as to the method and the extent of any such sale or other disposition,
the Lenders hereby agreeing to indemnify and hold the Administrative Agent,
harmless from all liabilities incurred in respect of all actions taken or
omitted in accordance with such directions, PROVIDED that the Administrative
Agent need not comply with any such direction to the extent that the
Administrative Agent reasonably believes the

<Page>

                                      -82-

Administrative Agent's compliance with such direction to be unlawful or
commercially unreasonable in any applicable jurisdiction.

        14.12. DUTIES OF DOCUMENTATION AGENT AND SYNDICATION AGENTS. None of the
Documentation Agent and the Syndication Agents shall have any right, power,
obligation, liability, responsibility or duty under this Credit Agreement or any
of the other Loan Documents other than those applicable to it in its capacity as
a Lender.

                        15. ASSIGNMENT AND PARTICIPATION.

        15.1. CONDITIONS TO ASSIGNMENT BY LENDERS.

        Except as provided herein, each Lender may assign to one or more
commercial banks, other financial institutions or other Persons, all or a
portion of its interests, rights and obligations under this Credit Agreement
(including all or a portion of its Revolving Credit Commitment Percentage, its
Term Loan Percentage, its Commitment and the portion of the Loans at the time
owing to it, the Notes held by it and its participating interest in the risk
relating to any Letters of Credit); PROVIDED that (a) each of the Administrative
Agent and, unless a Default or Event of Default shall have occurred and be
continuing, the Borrowers shall have given their prior written consent to such
assignment, which consent, in the case of the Borrowers, will not be
unreasonably withheld; except that (i) the consent of the Borrowers or the
Administrative Agent shall not be required in connection with any assignment by
a Lender to (A) an existing Lender or (B) a Lender Affiliate of such Lender, and
(ii) the Administrative Agent may, without the consent of the Borrowers, assign
such portion of its Revolving Credit Commitment and interests in the risk
relating to the Loans and outstanding Letters of Credit necessary to reach its
desired hold level, (b) each such assignment shall be of a constant, and not a
varying, percentage of the rights and obligations under this Credit Agreement
being assigned by such Lender, (c) each assignment (or, in the case of
assignments by a Lender to its Lender Affiliates, the aggregate holdings of such
Lender and its Lender Affiliates after giving effect to such assignments), shall
be in an amount that is a whole multiple of $2,500,000 (or such lesser amount as
shall constitute the aggregate holdings of such Lender) and (d) the parties to
such assignment shall execute and deliver to the Administrative Agent, for
recording in the Register (as hereinafter defined), an Assignment and
Acceptance, substantially in the form of EXHIBIT G hereto (an "ASSIGNMENT AND
ACCEPTANCE"), together with any Notes subject to such assignment. Upon such
execution, delivery, acceptance and recording, from and after the effective date
specified in each Assignment and Acceptance, which effective date shall be at
least five (5) Business Days after the execution thereof, (y) the assignee
thereunder shall be a party hereto and, to the extent provided in such
Assignment and Acceptance, have the rights and obligations of a Lender
hereunder, and (z) the assigning Lender shall, to the extent provided in such
assignment and upon payment to the Administrative Agent of the registration fee
referred to in Section 15.3, be released from its obligations under this Credit
Agreement.

<Page>

                                      -83-

        15.2. CERTAIN REPRESENTATIONS AND WARRANTIES; LIMITATIONS; COVENANTS. By
executing and delivering an Assignment and Acceptance, the parties to the
assignment thereunder confirm to and agree with each other and the other parties
hereto as follows:

                (a)     other than the representation and warranty that it is
        the legal and beneficial owner of the interest being assigned thereby
        free and clear of any adverse claim, the assigning Lender makes no
        representation or warranty, express or implied, and assumes no
        responsibility with respect to any statements, warranties or
        representations made in or in connection with this Credit Agreement or
        the execution, legality, validity, enforceability, genuineness,
        sufficiency or value of this Credit Agreement, the other Loan Documents
        or any other instrument or document furnished pursuant hereto or the
        attachment, perfection or priority of any security interest or mortgage,

                (b)     the assigning Lender makes no representation or warranty
        and assumes no responsibility with respect to the financial condition of
        the Borrowers or any other Person primarily or secondarily liable in
        respect of any of the Obligations, or the performance or observance by
        the Borrowers or any other Person primarily or secondarily liable in
        respect of any of the Obligations of any of their obligations under this
        Credit Agreement or any of the other Loan Documents or any other
        instrument or document furnished pursuant hereto or thereto;

                (c)     such assignee confirms that it has received a copy of
        this Credit Agreement, together with copies of the most recent financial
        statements referred to in Sections 7.4 and 8.4 and such other documents
        and information as it has deemed appropriate to make its own credit
        analysis and decision to enter into such Assignment and Acceptance;

                (d)     such assignee will, independently and without reliance
        upon the assigning Lender, the Administrative Agent or any other Lender
        and based on such documents and information as it shall deem appropriate
        at the time, continue to make its own credit decisions in taking or not
        taking action under this Credit Agreement;

                (e)     such assignee appoints and authorizes the Administrative
        Agent to take such action as agent on its behalf and to exercise such
        powers under this Credit Agreement and the other Loan Documents as are
        delegated to the Administrative Agent by the terms hereof or thereof,
        together with such powers as are reasonably incidental thereto;

                (f)     such assignee agrees that it will perform in accordance
        with their terms all of the obligations that by the terms of this Credit
        Agreement are required to be performed by it as a Lender;

                (g)     such assignee represents and warrants that it is legally
        authorized to enter into such Assignment and Acceptance;

<Page>

                                      -84-

                (h)     such assignee acknowledges that it has made arrangements
        with the assigning Lender satisfactory to such assignee with respect to
        its PRO RATA share of Letter of Credit Fees in respect of outstanding
        Letters of Credit; and

                (i)     such assignee acknowledges that it has complied with the
        provisions of Section 5.2.3 to the extent applicable.

        15.3. REGISTER. The Administrative Agent shall maintain a copy of each
Assignment and Acceptance delivered to it and a register or similar list (the
"REGISTER") for the recordation of the names and addresses of the Lenders and
the Revolving Credit Commitment Percentage of, and principal amount of the
Revolving Credit Loans owing to and Letter of Credit Participations purchased
by, the Lenders from time to time. The entries in the Register shall be
conclusive, in the absence of manifest error, and the Borrowers, the
Administrative Agent and the Lenders may treat each Person whose name is
recorded in the Register as a Lender hereunder for all purposes of this Credit
Agreement. The Register shall be available for inspection by the Borrowers and
the Lenders at any reasonable time and from time to time upon reasonable prior
notice. Upon each such recordation, the assigning Lender agrees to pay to the
Administrative Agent a registration fee in the sum of $3,500.

        15.4. NEW NOTES. Upon its receipt of an Assignment and Acceptance
executed by the parties to such assignment, together with each Note subject to
such assignment, the Administrative Agent shall (a) record the information
contained therein in the Register, and (b) give prompt notice thereof to the
Borrowers and the Lenders (other than the assigning Lender). Within five (5)
Business Days after receipt of such notice, the Borrowers, at their own expense,
shall execute and deliver to the Administrative Agent, in exchange for each
surrendered Note, a new Note to the order of such Assignee in an amount equal to
the amount assumed by such Assignee pursuant to such Assignment and Acceptance
and, if the assigning Lender has retained some portion of its obligations
hereunder, a new Note to the order of the assigning Lender in an amount equal to
the amount retained by it hereunder. Such new Notes shall provide that they are
replacements for the surrendered Notes, shall be in an aggregate principal
amount equal to the aggregate principal amount of the surrendered Notes, shall
be dated the effective date of such Assignment and Acceptance and shall
otherwise be in substantially the form of the assigned Notes. Within five (5)
days of issuance of any new Notes pursuant to this Section 15.4, the Borrowers
shall deliver upon the request of the assignee Lender an opinion of counsel,
addressed to the Lenders and the Administrative Agent, relating to the due
authorization, execution and delivery of such new Notes and the legality,
validity and binding effect thereof, in form and substance satisfactory to the
Lenders. The surrendered Notes shall be cancelled and returned to the Borrowers.

        15.5. PARTICIPATIONS. Each Lender may sell participations to one or more
Lenders or other entities in all or a portion of such Lender's rights and
obligations under this Credit Agreement and the other Loan Documents; PROVIDED
that (a) any such sale or participation shall not affect the rights and duties
of the selling Lender hereunder to the Borrowers and (b) the only rights granted
to the participant

<Page>

                                      -85-

pursuant to such participation arrangements with respect to waivers, amendments
or modifications of the Loan Documents shall be the rights to approve waivers,
amendments or modifications that would reduce the principal of or the interest
rate on any Loans, extend the term or increase the amount of the Revolving
Credit Commitment or the portion of the Term Loan of such Lender as it relates
to such participant, reduce the amount of any Commitment Fee or Letter of Credit
Fees to which such participant is entitled or extend any regularly scheduled
payment date for principal or interest.

        15.6. ASSIGNEE OR PARTICIPANT AFFILIATED WITH THE BORROWERS. If any
assignee Lender is an Affiliate of the Borrowers, then any such assignee Lender
shall have no right to vote as a Lender hereunder or under any of the other Loan
Documents for purposes of granting consents or waivers or for purposes of
agreeing to amendments or other modifications to any of the Loan Documents or
for purposes of making requests to the Administrative Agent pursuant to Section
13.1 or Section 13.2, and the determination of the Required Lenders shall for
all purposes of this Credit Agreement and the other Loan Documents be made
without regard to such assignee Lender's interest in any of the Loans or
Reimbursement Obligations. If any Lender sells a participating interest in any
of the Loans or Reimbursement Obligations to a participant, and such participant
is the Borrowers or an Affiliate of the Borrowers, then such transferor Lender
shall promptly notify the Administrative Agent of the sale of such
participation. A transferor Lender shall have no right to vote as a Lender
hereunder or under any of the other Loan Documents for purposes of granting
consents or waivers or for purposes of agreeing to amendments or modifications
to any of the Loan Documents or for purposes of making requests to the
Administrative Agent pursuant to Section 13.1 or Section 13.2 to the extent that
such participation is beneficially owned by the Borrowers or any Affiliate of
the Borrowers, and the determination of the Required Lenders shall for all
purposes of this Credit Agreement and the other Loan Documents be made without
regard to the interest of such transferor Lender in the Loans or Reimbursement
Obligations to the extent of such participation.

        15.7. MISCELLANEOUS ASSIGNMENT PROVISIONS. Any assigning Lender shall
retain its rights to be indemnified pursuant to Section 16.3 with respect to any
claims or actions arising prior to the date of such assignment. Anything
contained in this Section 15 to the contrary notwithstanding, any Lender may at
any time pledge or assign a security interest in all or any portion of its
interest and rights under this Credit Agreement (including all or any portion of
its Notes) to secure obligations of such Lender, including any pledge or
assignment to secure obligations to (a) any of the twelve Federal Reserve Banks
organized under Section 4 of the Federal Reserve Act, 12 U.S.C. Section 341 and
(b) with respect to any Lender that is a fund that invests in bank loans, to any
lender or any trustee for, or any other representative of, holders of
obligations owed or securities issued by such fund as security for such
obligations or securities or any institutional custodian for such fund or for
such lender. Any foreclosure or similar action by any Person in respect of such
pledge or assignment shall be subject to the other provisions of this Section
15. No such pledge or the enforcement thereof shall release the pledgor Lender
from its obligations hereunder or under any of the other Loan Documents, provide
any voting rights hereunder to

<Page>

                                      -86-

the pledgee thereof, or affect any rights or obligations of the Borrowers or
Administrative Agent hereunder.

        15.8. ASSIGNMENT BY BORROWERS. No Borrower shall assign or transfer any
of its rights or obligations under any of the Loan Documents without the prior
written consent of each of the Lenders.

                     16. PROVISIONS OF GENERAL APPLICATIONS.

        16.1. SETOFF. The Borrowers hereby grant to the Administrative Agent and
each of the Lenders a continuing lien, security interest and right of setoff as
security for all liabilities and obligations to the Administrative Agent and
each Lender, whether now existing or hereafter arising, upon and against all
deposits, credits, collateral and property, now or hereafter in the possession,
custody, safekeeping or control of the Administrative Agent or such Lender or
any Lender Affiliate and their successors and assigns or in transit to any of
them. Regardless of the adequacy of any collateral, if any of the Obligations
are due and payable and have not been paid or any Event of Default shall have
occurred, any deposits or other sums credited by or due from any of the Lenders
to such Borrower and any securities or other property of such Borrower in the
possession of such Lender may be applied to or set off by such Lender against
the payment of Obligations and any and all other liabilities, direct, or
indirect, absolute or contingent, due or to become due, now existing or
hereafter arising, of such Borrower to such Lender. ANY AND ALL RIGHTS TO
REQUIRE ANY LENDER TO EXERCISE ITS RIGHTS OR REMEDIES WITH RESPECT TO ANY OTHER
COLLATERAL WHICH SECURES THE OBLIGATIONS, PRIOR TO EXERCISING ITS RIGHT OF
SETOFF WITH RESPECT TO SUCH DEPOSITS, CREDITS OR OTHER PROPERTY OF THE BORROWERS
ARE HEREBY KNOWINGLY, VOLUNTARILY AND IRREVOCABLY WAIVED. The Lenders agree
among themselves that, if a Lender shall obtain payment on any Loan outstanding
under this Credit Agreement through the exercise of a right of offset, banker's
lien or counterclaim, or from any other source (other than by way of a PRO RATA
payment under this Agreement or a required payment under a Note), it shall
promptly make such adjustments with the other Lenders as shall be equitable to
the end that all the Lenders shall share the benefits of such payments PRO RATA
in accordance with the aggregate unpaid amount of the Notes held by each Lender
immediately prior to the payment obtained by such Lender as aforesaid. The
Lenders further agree among themselves that if any payment to a Lender obtained
by such Lender through the exercise of a right of offset, banker's lien or
counterclaim, or from any other source (other than by way of a PRO RATA payment)
as aforesaid shall be rescinded or must otherwise be restored, the Lenders who
shall have shared the benefit of such payment shall return their share of that
benefit to the Lender whose payment shall have been rescinded or otherwise
restored.

        16.2. EXPENSES. The Borrowers jointly and severally agree to pay (a) the
reasonable costs of producing and reproducing this Credit Agreement, the other
Loan Documents and the other agreements and instruments mentioned herein, (b)
any taxes (including any interest and penalties in respect thereto) payable by
the

<Page>

                                      -87-

Administrative Agent or any of the Lenders (other than taxes based upon the
Administrative Agent's or any Lender's net income) on or with respect to the
transactions contemplated by this Credit Agreement (the Borrowers hereby
agreeing to indemnify the Administrative Agent and each Lender with respect
thereto), (c) the reasonable fees, expenses and disbursements of the
Administrative Agent's Special Counsel or any local counsel to the
Administrative Agent incurred in connection with the preparation, syndication,
administration or interpretation of the Loan Documents and other instruments
mentioned herein, each closing hereunder, any amendments, modifications,
approvals, consents or waivers hereto or hereunder, or the cancellation of any
Loan Document upon payment in full in cash of all of the Obligations or pursuant
to any terms of such Loan Document for providing for such cancellation, (d) the
fees, expenses and disbursements of the Administrative Agent or any of its
affiliates incurred by the Administrative Agent or such affiliate in connection
with the preparation, syndication, administration or interpretation of the Loan
Documents and other instruments mentioned herein, including all title insurance
premiums and surveyor, engineering, appraisal and examination charges, (e) any
fees, costs, expenses and bank charges, including bank charges for returned
checks, incurred by the Administrative Agent in establishing, maintaining or
handling agency accounts, lock box accounts and other accounts for the
collection of any of the Collateral, (f) all reasonable out-of-pocket expenses
(including without limitation reasonable attorneys' fees and costs, which
attorneys may be employees of any Lender or the Administrative Agent, and
reasonable consulting, accounting, appraisal, investment bankruptcy and similar
professional fees and charges) incurred by any Lender or the Administrative
Agent in connection with (i) the enforcement of or preservation of rights under
any of the Loan Documents against the Borrowers or the administration thereof
after the occurrence of a Default or Event of Default and (ii) any litigation,
proceeding or dispute whether arising hereunder or otherwise, in any way related
to any Lender's or the Administrative Agent's relationship with the Borrowers
and (g) all reasonable fees, expenses and disbursements of any Lender or the
Administrative Agent incurred in connection with UCC searches, UCC filings,
intellectual property searches or intellectual property filings. The covenants
contained in this Section 16.2 shall survive payment or satisfaction in full of
all of the Obligations.

        16.3. INDEMNIFICATION. The Borrowers jointly and severally agree to
indemnify and hold harmless the Administrative Agent, its affiliates and the
Lenders from and against any and all claims, actions and suits whether
groundless or otherwise, and from and against any and all liabilities, losses,
damages and expenses of every nature and character arising out of this Credit
Agreement or any of the other Loan Documents or the transactions contemplated
hereby including, without limitation, (a) any actual or proposed use by the
Borrowers of the proceeds of any of the Loans or Letters of Credit, (b) the
reversal or withdrawal of any provisional credits granted by the Administrative
Agent upon the transfer of funds from lock box, bank agency, concentration
accounts or otherwise under any cash management arrangements with the Borrowers
or in connection with the provisional honoring of funds transfers, checks or
other items, (c) any actual or alleged infringement of any patent, copyright,
trademark, service mark or similar right of the Borrowers comprised in the
Collateral, (d) the Borrowers entering into or

<Page>

                                      -88-

performing this Credit Agreement or any of the other Loan Documents or (e) with
respect to the Borrowers and their respective properties and assets, the
violation of any Environmental Law, the presence, disposal, escape, seepage,
leakage, spillage, discharge, emission, release or threatened release of any
Hazardous Substances or any action, suit, proceeding or investigation brought or
threatened with respect to any Hazardous Substances (including, but not limited
to, claims with respect to wrongful death, personal injury or damage to
property), in each case including, without limitation, the reasonable fees and
disbursements of counsel and allocated costs of internal counsel incurred in
connection with any such investigation, litigation or other proceeding. In
litigation, or the preparation therefor, the Lenders and the Administrative
Agent and its affiliates shall be entitled to select their own counsel and, in
addition to the foregoing indemnity, the Borrowers agrees to pay promptly the
reasonable fees and expenses of such counsel. If, and to the extent that the
obligations of the Borrower under this Section 16.3 are unenforceable for any
reason, the Borrowers hereby agree to make the maximum contribution to the
payment in satisfaction of such obligations which is permissible under
applicable law. The covenants contained in this Section 16.3 shall survive
payment or satisfaction in full of all other Obligations.

        16.4. TREATMENT OF CERTAIN CONFIDENTIAL INFORMATION.

                16.4.1. CONFIDENTIALITY. Each of the Lenders and the
        Administrative Agent agrees, on behalf of itself and each of its
        affiliates, directors, officers, employees and representatives, to use
        reasonable precautions to keep confidential, in accordance with their
        customary procedures for handling confidential information of the same
        nature and in accordance with safe and sound banking practices, any
        non-public information supplied to it by the Borrowers pursuant to this
        Credit Agreement that is identified by such Person as being confidential
        at the time the same is delivered to the Lenders or the Administrative
        Agent, provided that nothing herein shall limit the disclosure of any
        such information (a) after such information shall have become public
        other than through a violation of this Section 16.4, or becomes
        available to any of the Lenders or the Administrative Agent on a
        nonconfidential basis from a source other than the Borrowers, (b) to the
        extent required by statute, rule, regulation or judicial process, (c) to
        counsel for any of the Lenders or the Administrative Agent, (d) to bank
        examiners or any other regulatory authority having jurisdiction over any
        Lender or the Administrative Agent, or to auditors or accountants, (e)
        to the Administrative Agent, any Lender or any Financial Affiliate, (f)
        in connection with any litigation to which any one or more of the
        Lenders, the Administrative Agent or any Financial Affiliate is a party,
        or in connection with the enforcement of rights or remedies hereunder or
        under any other Loan Document, (g) to a Lender Affiliate or a Subsidiary
        or affiliate of the Administrative Agent, (h) to any actual or
        prospective assignee or participant or any actual or prospective
        counterparty (or its advisors) to any swap or derivative transactions
        referenced to credit or other risks or events arising under this Credit
        Agreement or any other Loan Document so long as such assignee,
        participant or counterparty, as the case may be, agrees to be bound

<Page>

                                      -89-

        by the provisions of Section 16.4 or (i) with the consent of the
        Borrowers. Moreover, each of the Administrative Agent, the Lenders and
        any Financial Affiliate is hereby expressly permitted by the Borrowers
        to refer to any of the Borrowers in connection with any advertising,
        promotion or marketing undertaken by the Administrative Agent, such
        Lender or such Financial Affiliate and, for such purpose, the
        Administrative Agent, such Lender or such Financial Affiliate may
        utilize any trade name, trademark, logo or other distinctive symbol
        associated with the Borrowers or any of their businesses.

                16.4.2. PRIOR NOTIFICATION. Unless specifically prohibited by
        applicable law or court order, each of the Lenders and the
        Administrative Agent shall, prior to disclosure thereof, notify the
        Borrowers of any request for disclosure of any such non-public
        information by any governmental agency or representative thereof (other
        than any such request in connection with an examination of the financial
        condition of such Lender by such governmental agency) or pursuant to
        legal process.

                16.4.3. OTHER. In no event shall any Lender or the
        Administrative Agent be obligated or required to return any materials
        furnished to it or any Financial Affiliate by the Borrowers. The
        obligations of each Lender under this Section 16.4 shall supersede and
        replace the obligations of such Lender under any confidentiality letter
        in respect of this financing signed and delivered by such Lender to the
        Borrowers prior to the date hereof and shall be binding upon any
        assignee of, or purchaser of any participation in, any interest in any
        of the Loans or Reimbursement Obligations from any Lender.

        16.5. SURVIVAL OF COVENANTS, ETC. All covenants, agreements,
representations and warranties made herein, in the Notes, in any of the other
Loan Documents or in any documents or other papers delivered by or on behalf of
the Borrowers pursuant hereto shall be deemed to have been relied upon by the
Lenders and the Administrative Agent, notwithstanding any investigation
heretofore or hereafter made by any of them, and shall survive the making by the
Lenders of any of the Loans and the issuance, extension or renewal of any
Letters of Credit, as herein contemplated, and shall continue in full force and
effect so long as any Letter of Credit or any amount due under this Credit
Agreement or the Notes or any of the other Loan Documents remains outstanding or
any Lender has any obligation to make any Loans or the Administrative Agent has
any obligation to issue, extend or renew any Letter of Credit, and for such
further time as may be otherwise expressly specified in this Credit Agreement.
All statements contained in any certificate or other paper delivered to any
Lender or the Administrative Agent at any time by or on behalf of the Borrowers
pursuant hereto or in connection with the transactions contemplated hereby shall
constitute representations and warranties by such Borrower hereunder.

        16.6. NOTICES. Except as otherwise expressly provided in this Credit
Agreement, all notices and other communications made or required to be given
pursuant to this Credit Agreement or the Notes or any Letter of Credit
Applications shall be in writing and shall be delivered in hand, mailed by
United States

<Page>

                                      -90-

registered or certified first class mail, postage prepaid, sent by overnight
courier, or sent by telegraph, telecopy, facsimile or telex and confirmed by
delivery via courier or postal service, addressed as follows:

                (a)     if to the Borrowers, at IESI Corporation, 6125 Airport
        Freeway, Suite 202, Haltom City, Texas 76117, Attention: Thomas Cowee,
        Senior Vice President and Chief Financial Officer, fax number: (817)
        314-5238, or at such other address for notice as the Borrowers shall
        last have furnished in writing to the Person giving the notice;

                (b)     if to the Administrative Agent, at 100 Federal Street,
        Boston, Massachusetts 02110, USA, Attention: Timothy M. Laurion,
        Managing Director, Mail Stop MA DE 10008H, fax number: (617) 434-2160 or
        such other address for notice as the Administrative Agent shall last
        have furnished in writing to the Person giving the notice; and

                (c)     if to any Lender, at such Lender's address set forth on
        SCHEDULE 1 hereto, or such other address for notice as such Lender shall
        have last furnished in writing to the Person giving the notice.

        Any such notice or demand shall be deemed to have been duly given or
made and to have become effective (i) if delivered by hand, overnight courier or
facsimile to a responsible officer of the party to which it is directed, at the
time of the receipt thereof by such officer or the sending of such facsimile and
(ii) if sent by registered or certified first-class mail, postage prepaid, on
the third Business Day following the mailing thereof. Any notice or other
communication to be made hereunder or under the Notes or any Letter of Credit
Applications, even if otherwise required to be in writing under other provisions
of this Credit Agreement, the Notes or any Letter of Credit Applications, may
alternatively be made in an electronic record transmitted electronically under
such authentication and other procedures as the parties hereto may from time to
time agree in writing (but not an electronic record), and such electronic
transmission shall be effective at the time set forth in such procedures. Unless
otherwise expressly provided in such procedures, such an electronic record shall
be equivalent to a writing under the other provisions of this Credit Agreement,
the Notes or any Letter of Credit Applications, and such authentication, if made
in compliance with the procedures so agreed by the parties hereto in writing
(but not an electronic record), shall be equivalent to a signature under the
other provisions of this Credit Agreement, the Notes or any Letter of Credit
Applications.

        16.7. GOVERNING LAW. THIS CREDIT AGREEMENT AND, EXCEPT AS OTHERWISE
SPECIFICALLY PROVIDED THEREIN, EACH OF THE OTHER LOAN DOCUMENTS ARE CONTRACTS
UNDER THE LAWS OF THE COMMONWEALTH OF MASSACHUSETTS AND SHALL FOR ALL PURPOSES
BE CONSTRUED IN ACCORDANCE WITH AND GOVERNED BY THE LAWS OF SAID COMMONWEALTH OF
MASSACHUSETTS (EXCLUDING THE LAWS APPLICABLE TO CONFLICTS OR CHOICE OF LAW).
EACH OF THE BORROWERS AGREES THAT ANY SUIT FOR THE ENFORCEMENT OF THIS CREDIT
AGREEMENT OR ANY OF THE OTHER

<Page>

                                      -91-

LOAN DOCUMENTS MAY BE BROUGHT IN THE COURTS OF THE COMMONWEALTH OF MASSACHUSETTS
OR ANY FEDERAL COURT SITTING THEREIN AND CONSENTS TO THE NONEXCLUSIVE
JURISDICTION OF SUCH COURT AND SERVICE OF PROCESS IN ANY SUCH SUIT BEING MADE
UPON THE BORROWERS BY MAIL AT THE ADDRESS SPECIFIED IN SECTION 16.6. EACH OF THE
BORROWERS HEREBY WAIVES ANY OBJECTION THAT IT MAY NOW OR HEREAFTER HAVE TO THE
VENUE OF ANY SUCH SUIT OR ANY SUCH COURT OR THAT SUCH SUIT IS BROUGHT IN AN
INCONVENIENT COURT.

        16.8. HEADINGS. The captions in this Credit Agreement are for
convenience of reference only and shall not define or limit the provisions
hereof.

        16.9. COUNTERPARTS. This Credit Agreement and any amendment hereof may
be executed in several counterparts and by each party on a separate counterpart,
each of which when executed and delivered shall be an original, and all of which
together shall constitute one instrument. In proving this Credit Agreement it
shall not be necessary to produce or account for more than one such counterpart
signed by the party against whom enforcement is sought. Delivery by facsimile by
any of the parties hereto of an executed counterpart hereof or of any Loan
Document or of any amendment or waiver hereto or thereto shall be as effective
as an original executed counterpart hereof or thereof or of such amendment or
waiver and shall be considered a representation that an original executed
counterpart hereof or thereof or such amendment or waiver, as the case may be,
will be delivered.

        16.10. ENTIRE AGREEMENT, ETC. The Loan Documents and any other documents
executed in connection herewith or therewith express the entire understanding of
the parties with respect to the transactions contemplated hereby. Neither this
Credit Agreement nor any term hereof may be changed, waived, discharged or
terminated, except as provided in Section 16.12.

        16.11. WAIVER OF JURY TRIAL. EACH OF THE BORROWERS HEREBY WAIVES ITS
RIGHT TO A JURY TRIAL WITH RESPECT TO ANY ACTION OR CLAIM ARISING OUT OF ANY
DISPUTE IN CONNECTION WITH THIS CREDIT AGREEMENT, THE NOTES OR ANY OF THE OTHER
LOAN DOCUMENTS, ANY RIGHTS OR OBLIGATIONS HEREUNDER OR THEREUNDER OR THE
PERFORMANCE OF SUCH RIGHTS AND OBLIGATIONS OR ANY COURSE OF CONDUCT, COURSE OF
DEALINGS, STATEMENTS (WHETHER VERBAL OR WRITTEN) OR ACTIONS OF ANY PARTY,
INCLUDING ANY COURSE OF CONDUCT, COURSE OF DEALINGS, STATEMENTS OR ACTIONS OF
THE ADMINISTRATIVE AGENT OR ANY LENDER RELATING TO THE ADMINISTRATION OF THE
LOANS OR ENFORCEMENT OF THE LOAN DOCUMENTS AND AGREES THAT IT WILL NOT SEEK TO
CONSOLIDATE ANY SUCH ACTION WITH ANY OTHER ACTION IN WHICH A JURY TRIAL CANNOT
BE OR HAS NOT BEEN WAIVED. Except as prohibited by law, each of the Borrowers
hereby waives any right it may have to claim or recover in any litigation
referred to in the preceding sentence any special, exemplary, punitive or
consequential damages or

<Page>

                                      -92-

any damages other than, or in addition to, actual damages. Each of the Borrowers
(a) certifies that no representative, agent or attorney of any Lender or the
Administrative Agent has represented, expressly or otherwise, that such Lender
or the Administrative Agent would not, in the event of litigation, seek to
enforce the foregoing waivers and (b) acknowledges that each of the
Administrative Agent and the Lenders have been induced to enter into this Credit
Agreement and the other Loan Documents to which it is a party by, among other
things, the waivers and certifications contained herein.

        16.12. CONSENTS, AMENDMENTS, WAIVERS, ETC. Any consent or approval
required or permitted by this Credit Agreement to be given by the Lenders may be
given, and any term of this Credit Agreement, the other Loan Documents or any
other instrument related hereto or mentioned herein may be amended, and the
performance or observance by the Borrowers of any terms of this Credit
Agreement, the other Loan Documents or such other instrument or the continuance
of any Default or Event of Default may be waived (either generally or in a
particular instance and either retroactively or prospectively) with, but only
with, the written consent of the Borrowers and the written consent of the
Required Lenders. Notwithstanding the foregoing, no amendment, modification or
waiver shall:

                (a)     without the written consent of the Borrowers and each
        Lender directly affected thereby:

                        (i)     reduce or forgive the principal amount of any
                Loans or Reimbursement Obligations, or reduce the rate of
                interest on the Notes or the amount of the Commitment Fee or
                Letter of Credit Fees;

                        (ii)    increase the amount of such Revolving Lender's
                Commitment or such Term Lender's Term Loan Amount, or extend the
                expiration date of such Revolving Credit Lender's Revolving
                Credit Commitment;

                        (iii)   postpone or extend the Revolving Credit Loan
                Maturity Date or the Term Loan Maturity Date or any other
                regularly scheduled dates for payments of principal of, or
                interest on, the Loans or Reimbursement Obligations or any Fees
                or other amounts payable to such Lender (it being understood
                that (A) any vote to rescind any acceleration made pursuant to
                Section 13.1 of amounts owing with respect to the Loans and
                other Obligations and (B) any modifications of the provisions
                relating to amounts, timing or application of prepayments of
                Loans and other Obligations shall require only the approval of
                the Required Lenders); and

                        (iv)    other than pursuant to a transaction permitted
                by the terms of this Credit Agreement, release all or
                substantially all of the Collateral (excluding, if any Borrower
                becomes a debtor under the federal Bankruptcy Code, the release
                of "CASH COLLATERAL", as defined in Section 363(a) of the
                federal Bankruptcy Code pursuant to a cash

<Page>

                                      -93-

                collateral stipulation with the debtor approved by the Required
                Lenders);

                (b)     without the written consent of all of the Lenders, amend
        or waive this Section 16.12 or the definition of "REQUIRED LENDERS";

                (c)     without the written consent of the Administrative Agent,
        amend or waive Sections 2.10 or 14, the amount or time of payment of any
        fees payable for the Administrative Agent's account or any Letter of
        Credit Fees payable for the Administrative Agent's account or any other
        provision applicable to the Administrative Agent.

No waiver shall extend to or affect any obligation not expressly waived or
impair any right consequent thereon. No course of dealing or delay or omission
on the part of the Administrative Agent or any Lender in exercising any right
shall operate as a waiver thereof or otherwise be prejudicial thereto. No notice
to or demand upon the Borrowers shall entitle the Borrowers to other or further
notice or demand in similar or other circumstances.

        16.13. BORROWERS' REPRESENTATIVE. Each of the Borrowers hereby
irrevocably appoints the Parent as such Borrower's representative and agent for
all purposes under this Credit Agreement and authorizes the Parent, on behalf of
each such Borrower and in each such Borrower's name to give and receive all
notices and documents, certificates and instruments to be given or received by
the Borrowers or any of them in connection with this Credit Agreement and the
other Loan Documents, including receipt of service of legal process in
connection with any suit or proceeding arising under, or in connection with the
transactions contemplated by this Credit Agreement, delivery of Loan Requests,
Conversion Requests, Compliance Certificates and requests for waivers and
amendments and to acknowledge or consent to any amendments, waivers or
assignments.

        16.14. SEVERABILITY. The provisions of this Credit Agreement are
severable and if any one clause or provision hereof shall be held invalid or
unenforceable in whole or in part in any jurisdiction, then such invalidity or
unenforceability shall affect only such clause or provision, or part thereof, in
such jurisdiction, and shall not in any manner affect such clause or provision
in any other jurisdiction, or any other clause or provision of this Credit
Agreement in any jurisdiction.

                            17. PARI PASSU TREATMENT.

        (a)     Following the occurrence and during the continuance of any Event
of Default, each Lender agrees that if it shall, through the exercise of a right
of banker's lien, setoff or counterclaim against any Borrower (pursuant to
Section 16.1 or otherwise), including a secured claim under Section 506 of the
federal Bankruptcy Code or other security or interest arising from or in lieu
of, such secured claim, received by such Bank under any applicable bankruptcy,
insolvency or other similar law or otherwise, obtain payment (voluntary or
involuntary) in respect of the Loans, and other Obligations held by it as a
result of which the unpaid principal portion of

<Page>

                                      -94-

the Loans and the Obligations held by it shall be proportionately less than the
unpaid principal portion of the Loans and Obligations held by any other Lender,
it shall be deemed to have simultaneously purchased from such other Lender a
participation in the Loans and Obligations held by such other Lender, so that
the aggregate unpaid principal amount of the Loans, Obligations and
participations in Loans and Obligations held by each Lender shall be in the same
proportion to the aggregate unpaid principal amount of the Loans and Obligations
then Outstanding as the principal amount of the Loans and other Obligations held
by it prior to such exercise of banker's lien, setoff or counterclaim was to the
principal amount of all Loans and other Obligations outstanding prior to such
exercise of banker's lien, setoff or counterclaim; PROVIDED, however, that if
any such purchase or purchases or adjustments shall be made pursuant to this
Section 17 and the payment giving rise thereto shall thereafter be recovered,
such purchase or purchases or adjustments shall be rescinded to the extent of
such recovery and the purchase price or prices or adjustments restored without
interest.

        (b)     Each Borrower expressly consents to the foregoing arrangements
and agrees that any Person holding such a participation in the Loans and the
Obligations deemed to have been so purchased may exercise any and all rights of
banker's lien, setoff or counterclaim with respect to any and all moneys owing
by such Borrower to such Person as fully as if such Person had made a Loan
directly to such Borrower in the amount of such participation.

        (c)     Nothing contained in this Section 17 shall impair, as between
the Borrowers and any Lender, the obligation of the Borrowers to pay such Lender
all amounts payable in respect of such Lender's Loans and other Obligations as
and when the same shall become due and payable in accordance with the terms
thereof.

                         18. TRANSITIONAL ARRANGEMENTS.

        18.1. PRIOR CREDIT AGREEMENT SUPERSEDED. This Credit Agreement shall
supersede the Prior Credit Agreement in its entirety, except as provided in this
Section 18. On the Closing Date, the rights and obligations of the parties under
the Prior Credit Agreement which remain Lenders hereunder shall be subsumed
within and be governed by this Credit Agreement; PROVIDED, HOWEVER, (a) each of
the "LOANS" (as defined in the Prior Credit Agreement) outstanding under the
Prior Credit Agreement on the Closing Date shall, for purposes of this Credit
Agreement, be included as Revolving Credit Loans (as defined herein) and (b)
each of the letters of credit listed on SCHEDULE 4.1.1 issued by the issuing
banks under the Prior Credit Agreement shall be Letters of Credit under this
Credit Agreement.

        18.2. RETURN AND SUBSTITUTION OF NOTES. As soon as reasonably
practicable after its receipt of its Notes hereunder on the Closing Date, each
of the Lenders which is a party to the Prior Credit Agreement will promptly
return to the Parent, marked "SUBSTITUTED", any superseded promissory notes of
the Borrowers, and any allonges thereto, held by such Lender pursuant to the
Prior Credit Agreement.

<Page>

                                      -95-

        18.3. INTEREST AND FEES UNDER PRIOR CREDIT AGREEMENT. All interest and
all commitment, facility and other fees and expenses owing or accruing under or
in respect of the Prior Credit Agreement shall be calculated as of the Closing
Date (prorated in the case of any fractional periods) and shall be paid on the
dates and in accordance with the method specified in the Prior Credit Agreement,
as if the Prior Credit Agreement were still in effect to those Lenders who
remain Lenders hereunder, and shall be paid on the Closing Date with respect to
Prior Banks who are withdrawing as parties to this Credit Agreement.

        18.4. MISCELLANEOUS. For each of the UCC financing statements filed
previously in connection with the Prior Credit Agreement, any and all references
to "BankBoston, N.A., as Agent" shall be deemed to be references to "Fleet
National Bank, as Administrative Agent". The Borrowers acknowledge and agree
that the UCC financing statements previously filed in connection with the Prior
Credit Agreement shall remain in full force and effect with respect to the
Obligations hereunder.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

<Page>

                                      -96-

        IN WITNESS WHEREOF, the undersigned have duly executed this Credit
Agreement as a sealed instrument as of the date first set forth above.

                                IESI CORPORATION
                                IESI TX CORPORATION
                                IESI NY CORPORATION
                                IESI NJ CORPORATION
                                IESI NJ RECYCLING CORPORATION
                                IESI AR CORPORATION
                                IESI MO CORPORATION
                                IESI AR LANDFILL CORPORATION
                                IESI PA CORPORATION
                                IESI TX GP CORPORATION
                                WASTE WATCHER'S, INC.
                                IESI PA BETHLEHEM LANDFILL CORPORATION
                                IESI PA BLUE RIDGE LANDFILL CORPORATION
                                IESI LA CORPORATION
                                IESI LA LANDFILL CORPORATION

                                By:
                                   --------------------------------------
                                   Thomas J. Cowee, Senior Vice President

                                IESI TX LANDFILL LP,
                                By IESI TX GP Corporation, its General
                                Partner

                                By:
                                   --------------------------------------
                                   Thomas J. Cowee, Senior Vice President

                                IESI DE LP CORPORATION
                                IESI DE CORPORATION

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

<Page>

                                      -97-

                                FLEET NATIONAL BANK, individually
                                   and as Administrative Agent

                                By:
                                    --------------------------------------
                                     Timothy M. Laurion, Managing
                                               Director

                                [INSERT OTHER LENDERS]

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

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}]]