Document:

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                                                                     EXHIBIT 4.1

                                                               EXECUTION VERSION
================================================================================

               AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                            dated as of May 17, 2004

                                      among

                          YORK RECEIVABLES FUNDING LLC,

                         YORK INTERNATIONAL CORPORATION,
                                   as Servicer

                     THE MEMBERS OF VARIOUS PURCHASER GROUPS
                         FROM TIME TO TIME PARTY HERETO

                                       and

              THE BANK OF TOKYO-MITSUBISHI, LTD., NEW YORK BRANCH,
                                as Administrator

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

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                                TABLE OF CONTENTS
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                                                                                        PAGE
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ARTICLE I    AMOUNTS AND TERMS OF THE PURCHASES.................................         2

      Section 1.1.  Purchase Facility...........................................         2
      Section 1.2.  Making Purchases............................................         2
      Section 1.3.  Purchased Interest Computation..............................         5
      Section 1.4.  Settlement Procedures.......................................         5
      Section 1.5.  Fees........................................................         9
      Section 1.6.  Payments and Computations, Etc..............................        10
      Section 1.7.  Increased Costs.............................................        10
      Section 1.8.  Requirements of Law.........................................        11
      Section 1.9.  Inability to Determine Euro-Rate............................        12
      Section 1.10. Extension of Termination Date...............................        13

ARTICLE II   REPRESENTATIONS AND WARRANTIES; COVENANTS; TERMINATION EVENTS......        14

      Section 2.1.  Representations and Warranties; Covenants...................        14
      Section 2.2.  Termination Events..........................................        14

ARTICLE III  INDEMNIFICATION....................................................        14

      Section 3.1.  Indemnities by the Seller...................................        14
      Section 3.2.  Indemnities by the Servicer.................................        16
      Section 3.3.  Funding Plan; Funding Losses................................        16

ARTICLE IV   ADMINISTRATION AND COLLECTIONS.....................................        17

      Section 4.1.  Appointment of the Servicer.................................        17
      Section 4.2.  Duties of the Servicer......................................        18
      Section 4.3.  Lock-Box Account Arrangements...............................        19
      Section 4.4.  Enforcement Rights..........................................        20
      Section 4.5.  Responsibilities of the Seller..............................        21
      Section 4.6.  Servicing Fee...............................................        21

ARTICLE V    THE AGENTS.........................................................        22

      Section 5.1.  Appointment and Authorization...............................        22
      Section 5.2.  Delegation of Duties........................................        23
      Section 5.3.  Exculpatory Provisions......................................        23
      Section 5.4.  Reliance by Agents..........................................        23
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                                      -i-
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                                TABLE OF CONTENTS
                                  (continude)

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      Section 5.5.  Notice of Termination Events............................................    24
      Section 5.6.  Non-Reliance on Administrator, Purchaser Agents and Other Purchasers....    24
      Section 5.7.  Administrators and Affiliates...........................................    25
      Section 5.8.  Indemnification.........................................................    25
      Section 5.9.  Successor Administrator.................................................    26

ARTICLE VI   MISCELLANEOUS..................................................................    26

      Section 6.1.  Amendments, Etc.........................................................    26
      Section 6.2.  Notices, Etc............................................................    26
      Section 6.3.  Successors and Assigns; Participations; Assignments.....................    27
      Section 6.4.  Costs, Expenses and Taxes...............................................    29
      Section 6.5.  No Proceedings; Limitation on Payments..................................    29
      Section 6.6.  GOVERNING LAW AND JURISDICTION..........................................    30
      Section 6.7.  Execution in Counterparts...............................................    30
      Section 6.8.  Survival of Termination.................................................    31
      Section 6.9.  WAIVER OF JURY TRIAL....................................................    31
      Section 6.10. Sharing of Recoveries...................................................    31
      Section 6.11. Right of Setoff.........................................................    31
      Section 6.12. Entire Agreement........................................................    31
      Section 6.13. Headings................................................................    31
      Section 6.14. Purchaser Groups' Liabilities...........................................    32
      Section 6.15. Confidentiality.........................................................    32
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EXHIBIT I      Definitions
EXHIBIT II     Conditions of Purchases
EXHIBIT III    Representations and Warranties
EXHIBIT IV     Covenants
EXHIBIT V      Termination Events
EXHIBIT VI     Supplemental Perfection Representations, Warranties and Covenants

SCHEDULE I     Credit and Collection Policy
SCHEDULE II    Lock-Box Banks and Lock-Box Accounts
SCHEDULE III   Trade Names

                                      -ii-
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ANNEX A           Initial Information Package
ANNEX B           Form of Purchase Notice
ANNEX C           Form of Assumption Agreement
ANNEX D           Form of Transfer Supplement
ANNEX E           Form of Paydown Notice
ANNEX F           List of Eligible Foreign Obligor Countries

<PAGE>

      This AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT (as amended,
amended and restated, supplemented or otherwise modified from time to time, this
"Agreement") is entered into as of May 17, 2004, among YORK RECEIVABLES FUNDING
LLC, a Delaware limited liability company, as seller (the "Seller"), YORK
INTERNATIONAL CORPORATION, a Delaware corporation ("York"), as initial servicer
(in such capacity, together with its successors and permitted assigns in such
capacity, the "Servicer"), GOTHAM FUNDING CORPORATION ("Gotham"), a Delaware
corporation, as a Conduit Purchaser, THE BANK OF TOKYO-MITSUBISHI, LTD., NEW
YORK BRANCH, ("BTMNY"), as agent for the Gotham Purchaser Group, LIBERTY STREET
FUNDING CORP. ("Liberty Street"), a Delaware corporation, as a Conduit
Purchaser, THE BANK OF NOVA SCOTIA ("BNS"), a Canadian chartered bank acting
through its New York Agency, as agent for the Liberty Street Purchaser Group,
each of the other members of each Purchaser Group that become parties hereto by
executing an Assumption Agreement or a Transfer Supplement and BTMNY as
administrator for each Purchaser Group a party hereto or that become parties
hereto (in such capacity, the "Administrator").

      PRELIMINARY STATEMENTS. Certain terms that are capitalized and used
throughout this Agreement are defined in Exhibit I. References in the Exhibits
hereto to the "Agreement" refer to this Agreement, as amended, amended and
restated supplemented or otherwise modified from time to time.

      The Seller desires to sell, transfer and assign an undivided variable
percentage interest in a pool of receivables, and the Purchasers desire to
acquire such undivided variable percentage interest, as such percentage interest
shall be adjusted from time to time based upon, in part, reinvestment payments
that are made by such Purchasers.

      This Agreement amends and restates in its entirety, as of the Closing
Date, the Receivables Purchase Agreement, dated as of December 21, 2001 (as
amended, amended and restated, supplemented or otherwise modified prior to the
date hereof, the "Original Agreement"), among the Seller, the Servicer, the
members of the various purchaser groups from time to time party thereto and PNC
Bank, National Association, as administrator. Upon the effectiveness of this
Agreement, the terms and provisions of the Original Agreement shall, subject to
this paragraph, be superseded hereby in their entirety. Notwithstanding the
amendment and restatement of the Original Agreement by this Agreement, (i) the
Seller and York shall continue to be liable to any Indemnified Party or Affected
Person (as such terms are defined in the Original Agreement) with respect to all
unpaid Investment, Discount (as such terms are defined in the Original
Agreement) and fees and expenses (collectively, the "Original Agreement
Outstanding Amounts") under the Original Agreement (which shall continue to
accrue thereunder until such amounts are paid in full) and all agreements to
indemnify such parties in connection with events or conditions arising or
existing prior to the effective date of this Agreement and (ii) the security
interest created under the Original Agreement shall remain in full force and
effect as security for such Original Agreement Outstanding Amounts until such
Original Agreement Outstanding Amounts shall have been paid in full. Upon the
effectiveness of this Agreement, each reference to the Original Agreement in any
other document, instrument or agreement shall mean and be a reference to this
Agreement. Nothing contained herein, unless expressly herein stated to the
contrary, is intended to amend, modify or otherwise affect any

<PAGE>

other instrument, document or agreement executed and or delivered in connection
with the Original Agreement.

      In consideration of the mutual agreements, provisions and covenants
contained herein, the parties hereto agree as follows:

                                   ARTICLE I
                       AMOUNTS AND TERMS OF THE PURCHASES

      Section 1.1.Purchase Facility.

            (a)   On the terms and subject to the conditions hereof, the Seller
      may, from time to time before the Facility Termination Date, request that
      the Conduit Purchasers, or, only if a Conduit Purchaser denies such
      request or is unable to fund (and provides notice of such denial or
      inability to the Seller, the Administrator and its Purchaser Agent),
      ratably request that the Related Committed Purchasers, make purchases of
      and reinvestments in undivided percentage ownership interests with regard
      to the Purchased Interest from the Seller from time to time from the date
      hereof to the Facility Termination Date, but solely in the case of
      purchases (and not reinvestments), subject to the related Funding Plan.
      Subject to Section 1.4(b), concerning reinvestments, at no time will a
      Conduit Purchaser have any obligation to make a purchase. Each Related
      Committed Purchaser severally hereby agrees, on the terms and subject to
      the conditions hereof, to make Purchases before the Facility Termination
      Date, based on the applicable Purchaser Group's Ratable Share of each
      purchase requested pursuant to Section 1.2(a) (each a "Purchase") (and, in
      the case of each Related Committed Purchaser, its Commitment Percentage of
      its Purchaser Group's Ratable Share of such Purchase) to the extent its
      Investment would not thereby exceed its Commitment and the Aggregate
      Investment would not (after giving effect to all Purchases on such date)
      exceed the Purchase Limit.

            (b)   The Seller may, upon at least 60 days' written notice to the
      Administrator and each Purchaser Agent terminate the purchase facility
      provided for in this Section 1.1(b) in whole or, upon 30 days' written
      notice to the Administrator and each Purchaser Agent, from time to time,
      irrevocably reduce in part the unfunded portion of the Purchase Limit (but
      not below the amount which would cause the Group Investment of any
      Purchaser Group to exceed its Group Commitment (after giving effect to
      such reduction)); provided that each partial reduction shall be in the
      amount of at least $5,000,000, or an integral multiple of $1,000,000 in
      excess thereof and unless terminated in whole, the Purchase Limit shall in
      no event be reduced below $50,000,000. Such reduction shall at the option
      of the Seller be applied either (i) ratably to reduce the Group Commitment
      of each Purchaser Group or (ii) to terminate the Group Commitment of any
      one Purchaser Group.

      Section 1.2. Making Purchases.

            (a)   Each purchase (but not reinvestment) of undivided percentage
      ownership interests with regard to the Purchased Interest hereunder shall
      be made upon the Seller's irrevocable written notice in the form of Annex
      B hereto delivered to the Administrator

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      and each Purchaser Agent in accordance with Section 6.2 (which notice must
      be received by the Administrator and each Purchaser Agent before 11:00
      a.m., New York City time) at least three Business Days before the
      requested Purchase Date, which notice shall specify: (A) the amount
      requested to be paid to the Seller (such amount, which shall not be less
      than $1,000,000, with respect to each Purchaser Group, being the aggregate
      of the Investments of each Purchaser within such Purchaser Group, relating
      to the undivided percentage ownership interest then being purchased), (B)
      the date of such purchase (which shall be a Business Day), and (C) a pro
      forma calculation of the Purchased Interest after giving effect to the
      increase in the Aggregate Investment. If the Purchase is requested from a
      Conduit Purchaser and such Conduit Purchaser determines, in its sole
      discretion, to make the requested Purchase, such Conduit Purchaser shall
      transfer to the account of the Seller described in Section 1.2(b), below
      (the "Disbursement Account"), an amount equal to such Conduit Purchaser's
      Purchaser Group Ratable Share of such Purchase on the requested Purchase
      Date. If the Purchase is requested from the Related Committed Purchasers
      for a Purchaser Group (in the case where the related Conduit Purchaser
      determined not to or was unable to make such Purchase), subject to the
      terms and conditions hereof, such Related Committed Purchasers for a
      Purchaser Group shall transfer the applicable Purchaser Group's Ratable
      Share of each Purchase (and, in the case of each Related Committed
      Purchaser, its Commitment Percentage of its Purchaser Group's Ratable
      Share of such Purchase) into the Disbursement Account on the Purchase Date
      and shall use its reasonable best efforts to make such transfer by no
      later than 4:00 p.m. (New York time) on such Purchase Date.

            (b)   On the date of each Purchase, each Purchaser (or the related
      Purchaser Agent on its behalf), shall make available to the Seller in same
      day funds, at, Wilmington Trust, account number 57038-0, ABA 031100092, an
      amount equal to the proceeds of such Purchase.

            (c)   Effective on the date of each Purchase pursuant to this
      Section 1.2 and each reinvestment pursuant to Section 1.4, the Seller
      hereby sells and assigns to the Administrator for the benefit of the
      Purchasers (ratably, according to each such Purchaser's Investment) an
      undivided percentage ownership interest in: (i) each Pool Receivable then
      existing, (ii) all Related Security with respect to such Pool Receivables,
      and (iii) all Collections with respect to, and other proceeds of, such
      Pool Receivables and Related Security.

            (d)   To secure all of the Seller's obligations (monetary or
      otherwise) under this Agreement and the other Transaction Documents to
      which it is a party, whether now or hereafter existing or arising, due or
      to become due, direct or indirect, absolute or contingent, the Seller
      hereby grants to the Administrator, for the benefit of the Purchasers, a
      security interest in all of the Seller's right, title and interest
      (including any undivided interest of the Seller) in, to and under all of
      the following, whether now or hereafter owned, existing or arising: (i)
      all Pool Receivables, (ii) all Related Security with respect to such Pool
      Receivables, (iii) all Collections with respect to such Pool Receivables,
      (iv) the Lock-Box Accounts (and the related lock-boxes) and all amounts on
      deposit therein, and all certificates and instruments, if any, from time
      to time evidencing such Lock-Box Accounts (and such related lock-boxes)
      and amounts on deposit therein,

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      (v) all books and records of each Receivable, all rights, remedies, powers
      and privileges of the Seller in any accounts into which Collections are or
      may be received and all rights (but none of the obligations) of the Seller
      under the Purchase and Sale Agreement and (vi) all proceeds and products
      of, and all amounts received or receivable under any or all of, the
      foregoing (collectively, the "Pool Assets"). The Administrator, for the
      benefit of the Purchasers, shall have, with respect to the Pool Assets,
      and in addition to all the other rights and remedies available to the
      Administrator and the Purchasers, all the rights and remedies of a secured
      party under any applicable UCC.

            (e)   The Seller may, with the written consent of the Administrator
      and each Purchaser, add additional Persons as Purchasers (either to an
      existing Purchaser Group or by creating new Purchaser Groups) or cause an
      existing Purchaser to increase its Commitment in connection with a
      corresponding increase in the Purchase Limit; provided, however, that the
      Commitment of any Purchaser may only be increased with the consent of such
      Purchaser. Each new Purchaser (or Purchaser Group) and each Purchaser
      increasing its Commitment shall become a party hereto or increase its
      Commitment, as the case may be, by executing and delivering to the
      Administrator and the Seller an Assumption Agreement in the form of Annex
      C hereto (which Assumption Agreement shall, in the case of any new
      Purchaser or Purchasers be executed by each Person in such new Purchaser's
      Purchaser Group).

            (f)   Each Related Committed Purchaser's obligation hereunder shall
      be several, such that the failure of any Related Committed Purchaser to
      make a payment in connection with any purchase hereunder shall not relieve
      any other Related Committed Purchaser of its obligation hereunder to make
      payment for any Purchase. Further, in the event any Related Committed
      Purchaser fails to satisfy its obligation to make a purchase as required
      hereunder, upon receipt of notice of such failure from the Administrator
      (or any relevant Purchaser Agent), subject to the limitations set forth
      herein, the non-defaulting Related Committed Purchasers in such defaulting
      Related Committed Purchaser's Purchaser Group shall purchase the
      defaulting Related Committed Purchaser's Commitment Percentage of the
      related Purchase pro rata in proportion to their relative Commitment
      Percentages (determined without regard to the Commitment Percentage of the
      defaulting Related Committed Purchaser; it being understood that a
      defaulting Related Committed Purchaser's Commitment Percentage of any
      Purchase shall be first put to the Related Committed Purchasers in such
      defaulting Related Committed Purchaser's Purchaser Group and thereafter if
      there are no other Related Committed Purchasers in such Purchaser Group or
      if such other Related Committed Purchasers are also defaulting Related
      Committed Purchasers, then such defaulting Related Committed Purchaser's
      Commitment Percentage of such Purchase shall be put to each other
      Purchaser Group ratably and applied in accordance with this paragraph
      (f)). Notwithstanding anything in this paragraph (f) to the contrary, no
      Related Committed Purchaser shall be required to make a Purchase pursuant
      to this paragraph for an amount which would cause (i) the aggregate
      Investment of such Related Committed Purchaser (after giving effect to
      such Purchase) to exceed its Commitment or (ii) the sum of the aggregate
      Investments of all Purchasers in the Purchaser Group of such Related
      Committed Purchaser (after giving effect to such Purchase) to exceed the
      sum of the Commitments of all of the Purchasers in such Purchaser Group.

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<PAGE>

      Section 1.3. Purchased Interest Computation. The Purchased Interest shall
be initially computed on the date of the initial Purchase hereunder. Thereafter,
until the Facility Termination Date, such Purchased Interest shall be
automatically recomputed (or deemed to be recomputed) on each Business Day other
than a Termination Day. From and after the occurrence of any Termination Day,
the Purchased Interest shall (until the event(s) giving rise to such Termination
Day are satisfied or are waived by the Administrator and a Simple Majority of
the Purchasers) be deemed to be 100%. The Purchased Interest shall become zero
when the Aggregate Investment thereof and Aggregate Discount thereon shall have
been paid in full, all the amounts owed by the Seller and the Servicer hereunder
to each Purchaser, the Administrator and any other Indemnified Party or Affected
Person are paid in full, and the Servicer shall have received the accrued
Servicing Fee thereon.

      Section 1.4. Settlement Procedures.

            (a)   The collection of the Pool Receivables shall be administered
      by the Servicer in accordance with this Agreement. The Seller shall
      provide to the Servicer on a timely basis all information needed for such
      administration, including notice of the occurrence of any Termination Day
      and current computations of the Purchased Interest.

            (b)   The Servicer shall, on each day on which Collections of Pool
      Receivables are received (or deemed received) by the Seller or the
      Servicer:

                  (i)   set aside and hold in trust (and shall, at the request
            of the Administrator (with the consent or at the direction of the
            Majority Purchasers), segregate in a separate account approved by
            the Administrator if, at the time of such request, there exists an
            Unmatured Termination Event or a Termination Event or if the failure
            to so segregate reasonably could be expected to cause a Material
            Adverse Effect) for the benefit of each Purchaser Group, out of the
            Purchasers' Share of such Collections, first, an amount equal to the
            Aggregate Discount accrued through such day for each Portion of
            Investment and not previously set aside, second, an amount equal to
            the fees set forth in each Purchaser Group Fee Letter accrued and
            unpaid through such day, and third, to the extent funds are
            available therefor, an amount equal to the aggregate of each
            Purchaser Group's Ratable Share of the Purchasers' Share of the
            Servicing Fee accrued through such day and not previously set aside,

                  (ii)  subject to Section 1.4(f), if such day is not a
            Termination Day, remit to the Seller, ratably, on behalf of each
            Purchaser Group, the remainder of the Purchasers' Share of such
            Collections. Such remainder shall, to the extent representing a
            return on the Aggregate Investment, ratably, according to each
            Purchaser's Investment, be automatically reinvested in Pool
            Receivables, and in the Related Security, Collections and other
            proceeds with respect thereto; provided, however, that if the
            Purchased Interest would exceed 100%, then the Servicer shall not
            reinvest, but shall set aside and hold in trust for the benefit of
            the Purchasers (and shall, at the request of the Administrator (with
            the consent or at the direction of the Majority Purchasers),
            segregate in a separate account approved by the Administrator if, at
            the time of such request, there exists an

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<PAGE>

            Unmatured Termination Event or a Termination Event or if the failure
            to so segregate reasonably could be expected to cause a Material
            Adverse Effect) a portion of such Collections that, together with
            the other Collections set aside pursuant to this paragraph, shall
            equal the amount necessary to reduce the Purchased Interest to 100%;
            provided, further, that in the case of any Purchaser that has
            provided notice (an "Exiting Notice") to its Purchaser Agent of its
            refusal, pursuant to Section 1.10, to extend its Commitment
            hereunder (an "Exiting Purchaser"), then such Purchaser's ratable
            share of such Collections based on its Investment shall not be
            reinvested and shall instead be held in trust for the benefit of
            such Purchaser and applied in accordance with clause (iii) below,

                  (iii) if such day is a Termination Day (or any day following
            the provision of an Exiting Notice), set aside, segregate and hold
            in trust (and shall, at the request of the Administrator (with the
            consent or at the direction of a Simple Majority of the Purchasers),
            segregate in a separate account approved by the Administrator) for
            the benefit of each Purchaser Group the entire remainder of the
            Purchasers' Share of the Collections (or in the case of an Exiting
            Purchaser an amount equal to such Exiting Purchaser's ratable share
            of such Collections based on its Investment; provided, that solely
            for the purpose of determining such Exiting Purchaser's ratable
            share of such Collections applicable to its Investment (and not for
            purposes of calculating any Fees or Discount payable to such Exiting
            Purchaser hereunder), such Exiting Purchaser's Investment shall be
            deemed to remain constant from the date of the provision of an
            Exiting Notice until the date such Exiting Purchaser's Investment
            has been paid in full; it being understood that if such day is also
            a Termination Day, such Exiting Purchaser's Investment shall be
            recalculated taking into account amounts received by such Purchaser
            in respect of this parenthetical and thereafter Collections shall be
            set aside for such Exiting Purchaser ratably in respect of its
            Investment (as recalculated)); provided, that if amounts are set
            aside and held in trust on any Termination Day of the type described
            in clause (a) of the definition of "Termination Day" (or any day
            following the provision of an Exiting Notice) and, thereafter, the
            conditions set forth in Section 2 of Exhibit II are satisfied or
            waived by the Administrator and a Simple Majority of the Purchasers
            (or in the case of an Exiting Notice, such Exiting Notice has been
            revoked by the related Exiting Purchaser, and written notice thereof
            has been provided to the Administrator, the related Purchaser Agent
            and the Servicer), such previously set-aside amounts shall, to the
            extent representing a return on Aggregate Investment (or the
            Investment of the Exiting Purchaser) and ratably in accordance with
            each Purchaser's Investment, be reinvested in accordance with clause
            (ii) on the day of such subsequent satisfaction or waiver of
            conditions or revocation of Exiting Notice, and

                  (iv)  release to the Seller (subject to Section 1.4(f)) for
            its own account any Collections in excess of: (x) amounts required
            to be reinvested in accordance with clause (ii) or the proviso to
            clause (iii) plus (y) the amounts that are required to be set aside
            pursuant to clause (i), the proviso to clause (ii) and clause (iii)
            plus (z) the Seller's Share of the Servicing Fee accrued and unpaid
            through such day

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<PAGE>

            and all reasonable and appropriate out-of-pocket costs and expenses
            of the Servicer for servicing, collecting and administering the Pool
            Receivables.

            (c)   The Servicer shall, in accordance with the priorities set
      forth in Section 1.4(d), below, deposit into each applicable Purchaser's
      account (or such other account designated by such applicable Purchaser or
      its Purchaser Agent), on each Settlement Date (or solely with respect to
      Collections held for the Purchasers pursuant to clause (f)(iii) of Section
      1.4 such other date approved by the Administrator with at least (5)
      Business Days prior written notice to the Administrator of such payment),
      Collections held for each Purchaser with respect to such Purchaser's
      Portion(s) of Investment pursuant to clause (b)(i) or (f) plus the amount
      of Collections then held for such Purchaser pursuant to clauses (b)(ii)
      and (iii) of Section 1.4; provided, York may retain the portion of the
      Collections set aside pursuant to clause (b)(i) that represents the
      aggregate of each Purchaser Group's Ratable Share of the Purchasers' Share
      of the Servicing Fee. On or before the last day of each Yield Period with
      respect to any Portion of Investment, the applicable Purchaser Agent will
      notify the Servicer by facsimile of the amount of the Discount accrued
      with respect to each such Portion of Investment during the related Yield
      Period then ending.

            (d)   The Servicer shall distribute the amounts described (and at
      the times set forth) in Section 1.4(c), as follows:

                  (i)   if such distribution occurs on a day that is not a
            Termination Day and the Purchased Interest does not exceed 100%,
            first to each Purchaser Agent ratably according to the Discount
            accrued during such Yield Period (for the benefit of the relevant
            Purchasers within such Purchaser Agent's Purchaser Group) in payment
            in full of all accrued Discount and fees (other than Servicing Fees)
            with respect to each Portion of Investment maintained by such
            Purchasers; it being understood that each Purchaser Agent shall
            distribute such amounts to the Purchasers within its Purchaser Group
            ratably according to Discount, and second, if the Servicer has set
            aside amounts in respect of the Servicing Fee pursuant to clause
            (b)(i) and has not retained such amounts pursuant to clause (c), to
            the Servicer's own account (payable in arrears on each Settlement
            Date) in payment in full of the aggregate of each Purchaser Group's
            Ratable Share of the Purchasers' Share of accrued Servicing Fees so
            set aside, and

                  (ii)  if such distribution occurs on a Termination Day or on a
            day when the Purchased Interest exceeds 100%, first to the
            Servicer's own account in payment in full of all accrued Servicing
            Fees, second to each Purchaser Agent ratably according to Discount
            (for the benefit of the relevant Purchasers within such Purchaser
            Agent's Purchaser Group) in payment in full of all accrued Discount
            with respect to each Portion of Investment funded or maintained by
            the Purchasers within such Purchaser Agent's Purchaser Group, third
            to each Purchaser Agent ratably according to the Group Investment of
            such Purchaser Agent's Purchaser Group (for the benefit of the
            relevant Purchasers within such Purchaser Agent's Purchaser Group)
            in payment in full of each Purchaser's Investment (or, if such day
            is not a Termination Day, the amount necessary to

                                       7
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            reduce the Purchased Interest to 100%); it being understood that
            each Purchaser Agent shall distribute the amounts described in the
            first and second clauses of this Section 1.4(d)(ii) to the
            Purchasers within its Purchaser Group ratably according to Discount
            and Investment, respectively and fourth, if the Aggregate Investment
            and accrued Aggregate Discount with respect to each Portion of
            Investment for all Purchaser Groups have been reduced to zero, and
            all accrued Servicing Fees payable to the Servicer have been paid in
            full, to each Purchaser Group ratably (for the benefit of the
            Purchasers within such Purchaser Group) in accordance with its
            Ratable Share, the Administrator and any other Indemnified Party or
            Affected Person in payment in full of any other amounts owed thereto
            by the Seller or Servicer hereunder.

After the Aggregate Investment, Aggregate Discount, fees payable pursuant to
each Purchaser Group Fee Letter and Servicing Fees with respect to the Purchased
Interest, and any other amounts payable by the Seller and the Servicer to each
Purchaser Group, the Administrator or any other Indemnified Party or Affected
Person hereunder, have been paid in full, all additional Collections with
respect to the Purchased Interest shall be paid to the Seller for its own
account.

            (e)   For the purposes of this Section 1.4:

                  (i)   if on any day the Outstanding Balance of any Pool
            Receivable is reduced or adjusted as a result of any defective,
            rejected, returned, repossessed or foreclosed goods or services, or
            any revision, cancellation, allowance, discount or other adjustment
            made by the Seller or any Affiliate of the Seller, or the Servicer
            or any Affiliate of the Servicer, or any setoff or dispute between
            the Seller or any Affiliate of the Seller, or the Servicer or any
            Affiliate of the Servicer and an Obligor, the Seller shall be deemed
            to have received on such day a Collection of such Pool Receivable in
            the amount of such reduction or adjustment;

                  (ii)  if on any day any of the representations or warranties
            in Section 1(g) or (n) of Exhibit III is not true with respect to
            any Pool Receivable, the Seller shall be deemed to have received on
            such day a Collection of such Pool Receivable in full;

                  (iii) except as provided in clause (i) or (ii), or as
            otherwise required by applicable law or the relevant Contract, all
            Collections received from an Obligor of any Receivable shall be
            applied to the Receivables of such Obligor in the order of the age
            of such Receivables, starting with the oldest such Receivable,
            unless such Obligor designates in writing its payment for
            application to specific Receivables; and

                  (iv)  if and to the extent the Administrator, any Purchaser
            Agent or any Purchaser shall be required for any reason to pay over
            to an Obligor (or any trustee, receiver, custodian or similar
            official in any Insolvency Proceeding) any amount received by it
            hereunder, such amount shall be deemed not to have been so received
            by such Person but rather to have been retained by the Seller and,
            accordingly, such Person shall have a claim against the Seller for
            such amount,

                                       8
<PAGE>

            payable when and to the extent that any distribution from or on
            behalf of such Obligor is made in respect thereof.

            (f)   If at any time the Seller shall wish to cause the reduction of
      Aggregate Investment (but not to commence the liquidation, or reduction to
      zero, of the entire Aggregate Investment), the Seller may do so as
      follows, but subject to the related Funding Plan for the applicable
      calendar month:

                  (i)   the Seller shall give the Administrator, each Purchaser
            Agent and the Servicer written notice in the form of Annex E hereto
            (A) at least two Business Days' prior written notice thereof for any
            reduction of Aggregate Investment less than or equal to $10,000,000
            and (B) at least three Business Days' prior written notice thereof
            for any reduction of Aggregate Investment greater than $10,000,000
            (in each case such notice shall include the amount of such proposed
            reduction and the proposed date on which such reduction will
            commence);

                  (ii)  on the proposed date of commencement of such reduction
            and on each day thereafter, the Servicer shall cause Collections not
            to be reinvested until the amount thereof not so reinvested shall
            equal the desired amount of reduction; and

                  (iii) the Servicer shall hold such Collections in trust for
            the benefit of each Purchaser ratably according to its Investment,
            for payment to each such Purchaser (or its related Purchaser Agent
            for the benefit of such Purchaser) on the (i) next Settlement Date
            with respect to any Portions of Investment maintained by such
            Purchaser immediately following the related current Yield Period or
            (ii) such other date approved by the Administrator with at least
            five Business Days prior written notice to the Administrator of such
            payment, and the Aggregate Investment (together with the Investment
            of any related Purchaser) shall be deemed reduced in the amount to
            be paid to such Purchaser (or its related Purchaser Agent for the
            benefit of such Purchaser) only when in fact finally so paid;

provided, that:

            (A)   the amount of any such reduction shall be not less than
      $1,000,000 for each Purchaser Group and shall be an integral multiple of
      $100,000, and the entire Aggregate Investment after giving effect to such
      reduction shall be not less than $50,000,000 and shall be in an integral
      multiple of $100,000 (unless the Aggregate Investment shall have been
      reduced to zero); and

            (B)   with respect to any Portion of Investment, the Seller shall
      choose a reduction amount, and the date of commencement thereof, so that
      to the extent practicable such reduction shall commence and conclude in
      the same Yield Period.

      Section 1.5. Fees. The Seller shall pay to each Purchaser Agent for the
benefit of the related Purchasers certain fees in the amounts and on the dates
set forth in letters, dated the date

                                       9
<PAGE>

hereof (or dated the date any such Purchaser Agent and the related Purchaser
Group become a party hereto pursuant to an Assumption Agreement, a Transfer
Supplement or otherwise), each such letter (as amended, amended and restated,
supplemented, or otherwise modified from time to time, a "Purchaser Group Fee
Letter") in each case among the Seller, the Servicer, the related Purchasers and
the related Purchaser Agent.

      Section 1.6. Payments and Computations, Etc.

            (a)   All amounts to be paid or deposited by the Seller or the
      Servicer hereunder shall be made without reduction for offset or
      counterclaim and shall be paid or deposited no later than 2:00 p.m. (New
      York City time) on the day when due in same day funds to the applicable
      Purchaser's account (as such account is identified in the related
      Purchaser Group Fee Letter). All amounts received after 2:00 p.m. (New
      York City time) will be deemed to have been received on the next Business
      Day.

            (b)   The Seller or the Servicer, as the case may be, shall, to the
      extent permitted by law, pay interest on any amount not paid or deposited
      by the Seller or the Servicer, as the case may be, when due hereunder, at
      an interest rate equal to the Base Rate, payable on demand.

            (c)   All computations of interest under clause (b) and all
      computations of Discount, fees and other amounts hereunder shall be made
      on the basis of a year of 360 (or 365 or 366, as applicable, with respect
      to Discount or other amounts calculated by reference to the Base Rate)
      days for the actual number of days elapsed. Whenever any payment or
      deposit to be made hereunder shall be due on a day other than a Business
      Day, such payment or deposit shall be made on the next Business Day and
      such extension of time shall be included in the computation of such
      payment or deposit.

      Section 1.7. Increased Costs.

            (a)   If any Purchaser Agent, Purchaser, Liquidity Provider, the
      Administrator, the Program Administrator or any other Program Support
      Provider or any of their respective Affiliates (each an "Affected Person")
      reasonably determines that the existence of or compliance with: (i) any
      law or regulation or generally accepted accounting standard or any change
      therein or in the interpretation or application thereof, in each case
      adopted, issued or occurring after the date hereof, or (ii) any request,
      guideline or directive from any central bank or other Governmental
      Authority (whether or not having the force of law) issued or occurring
      after the date of this Agreement, affects or would affect the amount of
      capital required or expected to be maintained by such Affected Person, and
      such Affected Person determines that the amount of such capital is
      increased by or based upon the existence of any commitment to make
      purchases of (or otherwise to maintain the investment in) Pool Receivables
      related to this Agreement or any related liquidity facility, credit
      enhancement facility or other commitments of the same type, then, upon
      demand by such Affected Person (with a copy to the Administrator), the
      Seller shall promptly pay to the Administrator, for the account of such
      Affected Person, from time to time as specified by such Affected Person,
      additional amounts sufficient to compensate such Affected Person for both
      increased costs and

                                       10
<PAGE>

      maintenance of bargained for yield in the light of such circumstances, to
      the extent that such Affected Person reasonably determines such increase
      in capital to be allocable to the existence of any of such commitments. A
      certificate as to such amounts submitted to the Seller and the
      Administrator by such Affected Person shall be conclusive and binding for
      all purposes, absent manifest error.

            (b)   If, due to either: (i) the introduction of or any change in or
      in the interpretation of any law, regulation or generally accepted
      accounting standard or (ii) compliance with any guideline or request from
      any central bank or other Governmental Authority (whether or not having
      the force of law), there shall be any increase in the cost to any Affected
      Person of agreeing to purchase or purchasing, or maintaining the ownership
      of, the Purchased Interest or any portion thereof in respect of which
      Discount is computed by reference to the Euro-Rate, then, upon demand by
      such Affected Person, the Seller shall promptly pay to such Affected
      Person, from time to time as specified by such Affected Person, additional
      amounts sufficient to compensate such Affected Person for both increased
      costs and maintenance of bargained for yield. A certificate as to such
      amounts submitted to the Seller and the Administrator by such Affected
      Person shall be conclusive and binding for all purposes, absent manifest
      error.

            (c)   If such increased costs affect the related Affected Person's
      portfolio of financing transactions, such Affected Person shall use
      reasonable averaging and attribution methods to allocate such increased
      costs to the transactions contemplated by this Agreement.

            (d)   Each Affected Person will notify Seller and the applicable
      Purchaser Agent promptly after it has received official notice of any
      event which will entitle such Affected Person to such additional amounts
      as compensation pursuant to this Section 1.7. Such additional amounts
      shall accrue from the date as to which such Affected Person becomes
      subject to such additional costs as a result of such event (or if such
      notice of such event is not given to Seller by such Affected Person within
      90 days after such Affected Person received such official notice of such
      event, from the date which is 90 days prior to the date such notice is
      given to Seller by such Affected Person).

      For avoidance of doubt any increase in cost and/or reduction in yield
      caused by regulatory capital allocation adjustments due to Financial
      Accounting Standards Board's Interpretation 46 (or any future statement or
      interpretation issued by the Financial Accounting Standards Board or any
      successor thereto) shall be covered by this Section 1.7.

      Section 1.8. Requirements of Law.

            If any Affected Person reasonably determines that the existence of
      or compliance with: (a) any law or regulation or any change therein or in
      the interpretation or application thereof, in each case adopted, issued or
      occurring after the date hereof, or (b) any request, guideline or
      directive from any central bank or other Governmental Authority (whether
      or not having the force of law) issued or occurring after the date of this
      Agreement:

                                       11
<PAGE>

                  (i)   does or shall subject such Affected Person to any tax of
            any kind whatsoever with respect to this Agreement, any increase in
            the Purchased Interest or any portion thereof or in the amount of
            such Person's Investment relating thereto, or does or shall change
            the basis of taxation of payments to such Affected Person on account
            of Collections, Discount or any other amounts payable hereunder
            (excluding taxes imposed on the overall pre-tax net income of such
            Affected Person, and franchise taxes imposed on such Affected
            Person, by the jurisdiction under the laws of which such Affected
            Person is organized or a political subdivision thereof),

                  (ii)  does or shall impose, modify or hold applicable any
            reserve, special deposit, compulsory loan or similar requirement
            against assets held by, or deposits or other liabilities in or for
            the account of, purchases, advances or loans by, or other credit
            extended by, or any other acquisition of funds by, any office of
            such Affected Person that are not otherwise included in the
            determination of the Euro-Rate or the Base Rate hereunder, or

                  (iii) does or shall impose on such Affected Person any other
            condition,

and the result of any of the foregoing is: (A) to increase the cost to such
Affected Person of acting as Administrator or as a Purchaser Agent, or of
agreeing to purchase or purchasing or maintaining the ownership of undivided
percentage ownership interests with regard to the Purchased Interest (or
interests therein) or any Portion of Investment, or (B) to reduce any amount
receivable hereunder (whether directly or indirectly), then, in any such case,
upon demand by such Affected Person, the Seller shall promptly pay to such
Affected Person additional amounts necessary to compensate such Affected Person
for such additional cost or reduced amount receivable. All such amounts shall be
payable as incurred. A certificate from such Affected Person to the Seller and
the Administrator certifying, in reasonably specific detail, the basis for,
calculation of, and amount of such additional costs or reduced amount receivable
shall be conclusive and binding for all purposes, absent manifest error;
provided, however, that no Affected Person shall be required to disclose any
confidential or tax planning information in any such certificate.

      Each Affected Person will notify Seller and the applicable Purchaser Agent
promptly after it has received official notice of any event which will entitle
such Affected Person to such additional amounts as compensation pursuant to this
Section 1.8. Such additional amounts shall accrue from the date as to which such
Affected Person becomes subject to such additional costs as a result of such
event (or if such notice of such event is not given to Seller by such Affected
Person within 90 days after such Affected Person received such official notice
of such event, from the date which is 90 days prior to the date such notice is
given to Seller by such Affected Person).

      Section 1.9. Inability to Determine Euro-Rate. (a) If the Administrator
(or any Purchaser Agent) determines before the first day of any Yield Period
(which determination shall be final and conclusive) that, by reason of
circumstances affecting the interbank eurodollar market generally, deposits in
dollars (in the relevant amounts for such Yield Period) are not being offered to
banks in the interbank eurodollar market for such Yield Period, or adequate
means do

                                       12
<PAGE>

not exist for ascertaining the Euro-Rate for such Yield Period, then the
Administrator shall give notice thereof to the Seller. Thereafter, until the
Administrator or such Purchaser Agent notifies the Seller that the circumstances
giving rise to such suspension no longer exist, (A) no Portion of Investment
shall be funded at the Yield Rate determined by reference to the Euro-Rate and
(B) the Discount for any outstanding Portions of Investment then funded at the
Yield Rate determined by reference to the Euro-Rate shall, on the last day of
the then current Yield Period, be converted to the Yield Rate determined by
reference to the Base Rate.

      (b) If, on or before the first day of any Yield Period, the Administrator
shall have been notified by any Purchaser, Purchaser Agent or Liquidity Provider
that, such Person has determined (which determination shall be final and
conclusive) that, any enactment, promulgation or adoption of or any change in
any applicable law, rule or regulation, or any change in the interpretation or
administration thereof by a governmental authority, central bank or comparable
agency charged with the interpretation or administration thereof, or compliance
by such Person with any guideline, request or directive (whether or not having
the force of law) of any such authority, central bank or comparable agency shall
make it unlawful or impossible for such Person to fund or maintain any Portion
of Investment at the Yield Rate and based upon the Euro-Rate, the Administrator
shall notify the Seller thereof. Upon receipt of such notice, until the
Administrator notifies the Seller that the circumstances giving rise to such
determination no longer apply, (A) no Portion of Investment funded by the
affected Person shall be funded at the Yield Rate determined by reference to the
Euro-Rate and (B) the Discount for any outstanding Portions of Investment then
funded at the Yield Rate determined by reference to the Euro-Rate shall be
converted to the Yield Rate determined by reference to the Base Rate either (i)
on the last day of the then current Yield Period if such Person may lawfully
continue to maintain such Portion of Investment at the Yield Rate determined by
reference to the Euro-Rate to such day, or (ii) immediately, if such Person may
not lawfully continue to maintain such Portion of Investment at the Yield Rate
determined by reference to the Euro-Rate to such day.

      Section 1.10. Extension of Termination Date. The Seller may advise the
Administrator and each Purchaser Agent in writing of its desire to extend the
Facility Termination Date for an additional 364 days, provided such request is
made not more than 90 days prior to, and not less than 60 days prior to, the
then current Facility Termination Date. In the event that the Purchaser Agents
are all agreeable to such extension, the Administrator shall so notify the
Seller in writing (it being understood that the Purchaser Agents may accept or
decline such a request in their sole discretion and on such terms as they may
elect) not less than 30 days prior to the then current Facility Termination Date
and the Seller, the Administrator, the Purchaser Agents and the Purchasers shall
enter into such documents as the Purchasers may deem necessary or appropriate to
reflect such extension, and all reasonable costs and expenses incurred by the
Purchasers, the Administrator and the Purchaser Agents in connection therewith
(including reasonable Attorneys' Costs) shall be paid by the Seller. In the
event the Purchaser Agents decline the request for such extension, the
Administrator shall so notify the Seller of such determination; provided,
however, that the failure of the Administrator to notify the Seller of the
determination to decline such extension shall not affect the understanding and
agreement that the Purchaser Agents shall be deemed to have refused to grant the
requested extension in the event the Administrator fails to affirmatively notify
the Seller, in writing, of their agreement to accept the requested extension.

                                       13
<PAGE>

                                   ARTICLE II
                   REPRESENTATIONS AND WARRANTIES; COVENANTS;
                               TERMINATION EVENTS

      Section 2.1. Representations and Warranties; Covenants. Each of the Seller
and the Servicer hereby makes the representations and warranties, and hereby
agrees to perform and observe the covenants, applicable to it set forth in
Exhibits III, IV and VI, respectively.

      Section 2.2. Termination Events. If any of the Termination Events set
forth in Exhibit V shall occur, the Administrator may (with the consent of a
Simple Majority of the Purchasers) or shall (at the direction of a Simple
Majority of the Purchasers), by notice to the Seller, declare the Facility
Termination Date to have occurred (in which case the Facility Termination Date
shall be deemed to have occurred); provided, that automatically upon the
occurrence of any event (without any requirement for the passage of time or the
giving of notice) described in paragraph (f) of Exhibit V, the Facility
Termination Date shall occur. Upon any such declaration, occurrence or deemed
occurrence of the Facility Termination Date, the Administrator, each Purchaser
Agent and each Purchaser shall have, in addition to the rights and remedies that
they may have under this Agreement, all other rights and remedies provided after
default under the New York UCC and under other applicable law, which rights and
remedies shall be cumulative.

                                  ARTICLE III
                                 INDEMNIFICATION

      Section 3.1. Indemnities by the Seller. Without limiting any other rights
that any Purchaser Agent, Purchaser, Liquidity Provider, the Administrator, the
Program Administrator or any Program Support Provider or any of their respective
Affiliates, shareholders, employees, officers, directors, managers, agents,
counsel, successors, transferees or assigns (each, an "Indemnified Party") may
have hereunder or under applicable law, the Seller hereby agrees to indemnify
each Indemnified Party from and against any and all claims, damages, expenses,
costs, losses and liabilities (including Attorney Costs) (all of the foregoing
being collectively referred to as "Indemnified Amounts") arising out of or
resulting from this Agreement (whether directly or indirectly), the use of
proceeds of purchases or reinvestments, the ownership of the Purchased Interest,
or any interest therein, or the funding or maintenance thereof, or in respect of
any Receivable, Related Security or Contract, excluding, however: (a)
Indemnified Amounts to the extent resulting from gross negligence or willful
misconduct on the part of such Indemnified Party or its officers, directors,
agents or counsel, (b) recourse with respect to any Receivable to the extent
that such Receivable is uncollectible on account of the insolvency, bankruptcy
or lack of credit worthiness of the related Obligor, or (c) any overall net
income taxes or franchise taxes imposed on such Indemnified Party by the
jurisdiction under the laws of which such Indemnified Party is organized or any
political subdivision thereof. Without limiting or being limited by the
foregoing, and subject to the exclusions set forth in the preceding sentence,
the Seller shall pay on demand (which demand shall be accompanied by
documentation of the Indemnified Amounts, in reasonable detail) to each
Indemnified Party any and all amounts necessary to indemnify such Indemnified
Party from and against any and all Indemnified Amounts relating to or resulting
from any of the following:

                                       14
<PAGE>

                  (i)   the failure of any Receivable included in the
            calculation of the Net Receivables Pool Balance as an Eligible
            Receivable to be an Eligible Receivable, the failure of any
            information contained in an Information Package to be true and
            correct as of the date such information was provided (except to
            extent that such in formation relates expressly to an earlier date,
            and in which case such information shall be true and correct as of
            such earlier date), or the failure of any other information provided
            to such Indemnified Party by the Seller or Servicer with respect to
            Receivables or this Agreement to be true and correct as of the date
            such information was provided (except to extent that such in
            formation relates expressly to an earlier date, and in which case
            such information shall be true and correct as of such earlier date),

                  (ii)  the failure of any representation, warranty or statement
            made or deemed made by the Seller (or any of its officers) under or
            in connection with this Agreement to have been true and correct as
            of the date made or deemed made in all respects when made,

                  (iii) the failure by the Seller to comply with any applicable
            law, rule or regulation with respect to any Pool Receivable or the
            related Contract, or the failure of any Pool Receivable or the
            related Contract to conform to any such applicable law, rule or
            regulation,

                  (iv)  the failure to vest in the Administrator (for the
            benefit of the Purchasers) a valid and enforceable: (A) perfected
            undivided percentage ownership interest, to the extent of the
            Purchased Interest, in the Receivables in, or purporting to be in,
            the Receivables Pool and the other Pool Assets, or (B) first
            priority perfected security interest in the Pool Assets, in each
            case, free and clear of any Adverse Claim,

                  (v)   the failure to have filed, or any delay in filing,
            financing statements or other similar instruments or documents under
            the UCC of any applicable jurisdiction or other applicable laws with
            respect to any Receivables in, or purporting to be in, the
            Receivables Pool and the other Pool Assets, whether at the time of
            any purchase or reinvestment or at any subsequent time,

                  (vi)  any dispute, claim, offset or defense (other than
            discharge in bankruptcy of the Obligor) of the Obligor to the
            payment of any Receivable in, or purporting to be in, the
            Receivables Pool (including a defense based on such Receivable or
            the related Contract not being a legal, valid and binding obligation
            of such Obligor enforceable against it in accordance with its
            terms), or any other claim resulting from the sale of the goods or
            services related to such Receivable or the furnishing or failure to
            furnish such goods or services or relating to collection activities
            with respect to such Receivable,

                  (vii) any failure of the Seller, any Originator, any Affiliate
            of the Seller or the Servicer to perform its duties or obligations
            in accordance with the

                                       15
<PAGE>

            provisions hereof and the other Transaction Documents to which it is
            a party or under the Contracts,

                  (viii) any products liability or other claim, investigation,
            litigation or proceeding arising out of or in connection with
            merchandise, insurance or services that are the subject of any
            Contract,

                  (ix)  the commingling of Collections at any time with other
            funds,

                  (x)   the use of proceeds of purchases or reinvestments, or

                  (xi)  any reduction in the Aggregate Investment as a result of
            the distribution of Collections pursuant to Section 1.4(d), if all
            or a portion of such distributions shall thereafter be rescinded or
            otherwise must be returned for any reason.

      Section 3.2. Indemnities by the Servicer. Without limiting any other
rights that any Indemnified Party may have hereunder or under applicable law,
the Servicer hereby agrees to indemnify each Indemnified Party from and against
any and all Indemnified Amounts arising out of or resulting from (whether
directly or indirectly): (a) the failure of any information contained in an
Information Package to be true and correct as of the date such information was
provided (except to extent that such in formation relates expressly to an
earlier date, and in which case such information shall be true and correct as of
such earlier date), or the failure of any other information provided to such
Indemnified Party by, or on behalf of, the Servicer to be true and correct as of
the date such information was provided (except to extent that such in formation
relates expressly to an earlier date, and in which case such information shall
be true and correct as of such earlier date), (b) the failure of any
representation, warranty or statement made or deemed made by the Servicer (or
any of its officers) under or in connection with this Agreement or any other
Transaction Document to which it is a party to have been true and correct as of
the date made or deemed made in all respects when made, (c) the failure by the
Servicer to comply with any applicable law, rule or regulation with respect to
any Pool Receivable or the related Contract, (d) any dispute, claim, offset or
defense of the Obligor to the payment of any Receivable in, or purporting to be
in, the Receivables Pool resulting from or related to the collection activities
with respect to such Receivable, (e) any failure of the Servicer to perform its
duties or obligations in accordance with the provisions hereof or any other
Transaction Document to which it is a party, (f) the failure of the Servicer to
have filed, or any delay in filing, financing statements or other similar
instruments or documents under the UCC of any applicable jurisdiction or other
applicable laws with respect to any Receivables in, or purporting to be in, the
Receivables Pool and the other Pool Assets, for the benefit of the Affected
Parties or otherwise, whether at the time of any purchase or reinvestment or at
any subsequent time, or (g) any commingling by the Servicer of Collections at
any time with other funds.

      Section 3.3. Funding Plan; Funding Losses. On or before the first Business
Day of each calendar month, the Servicer (on behalf of the Seller) shall provide
the Administrator and each Purchaser Agent with the Funding Plan for such
calendar month (for the avoidance of doubt, any such anticipated purchases (but
not reinvestments) and repayments under any Funding Plan remain subject to each
of the terms and conditions of this Agreement). If any Affected Person

                                       16
<PAGE>

actually incurs any loss (including loss of Yield), cost or expense (including
any loss or expense incurred by reason of the liquidation or reemployment of
deposits or other funds acquired by such Affected Person), at any time, that is
not otherwise paid in connection with the payment of Discount hereunder, as a
result of (a) any settlement (including any full or partial repayment of
principal) with respect to any Portion of Investment, howsoever funded, being
made on any day other than the scheduled last day of an applicable Yield Period
with respect thereto or a day set forth in the related Funding Plan, (b) any
Purchase not being completed by Seller in accordance with its request therefor
under Section 1.2, or (c) any other reduction in a Purchaser's Investment not
permitted pursuant to the terms of this Agreement then, upon written notice from
the applicable Purchaser Agent to the Seller, the Seller shall pay to such
Purchaser Agent for the account of the applicable Affected Persons within 5
Business Days the amount of such loss or expense. Each Affected Person agrees to
use commercially reasonable efforts to mitigate any such loss, cost or expense.
If an Affected Person incurs any loss or expense (including any loss or expense
incurred by reason of the liquidation or reemployment of deposits or other funds
acquired by such Affected Person), at any time, and is not entitled to
reimbursement for such loss or expense in the manner set forth above, such
Affected Party shall individually bear such loss or expense without recourse to,
or payment from, any other Affected Party.

                                   ARTICLE IV
                         ADMINISTRATION AND COLLECTIONS

      Section 4.1. Appointment of the Servicer.

            (a)   The servicing, administering and collection of the Pool
      Receivables shall be conducted by the Person so designated from time to
      time as the Servicer in accordance with this Section. Until the
      Administrator gives notice to York (in accordance with this Section 4.1)
      of the designation of a new Servicer, York is hereby designated as, and
      hereby agrees to perform the duties and obligations of, the Servicer
      pursuant to the terms hereof. Upon the occurrence of a Termination Event,
      the Administrator may (with the consent of the Majority Purchasers) or
      shall (at the direction of the Majority Purchasers) designate as Servicer
      any Person (including itself) to succeed York or any successor Servicer,
      on the condition in each case that any such Person so designated shall
      agree to perform the duties and obligations of the Servicer pursuant to
      the terms hereof.

            (b)   Upon the designation of a successor Servicer as set forth in
      clause (a), York agrees that it will terminate its activities as Servicer
      hereunder in a manner that the Administrator reasonably determines will
      facilitate the transition of the performance of such activities to the new
      Servicer, and York shall cooperate with and assist such new Servicer. Such
      cooperation shall include access to and transfer of related records
      (including all Contracts) and, subject to restrictions in applicable
      contracts and agreements use by the new Servicer of all licenses, hardware
      or software necessary or desirable to collect the Pool Receivables and the
      Related Security.

            (c)   York acknowledges that, in making their decision to execute
      and deliver this Agreement, the Administrator and each Purchaser Group
      have relied on York's agreement to act as Servicer hereunder. Accordingly,
      York agrees that it will not voluntarily resign as Servicer.

                                       17
<PAGE>

            (d)   The Servicer may delegate its duties and obligations hereunder
      to any subservicer (each a "Sub-Servicer"); provided, that, in each such
      delegation: (i) such Sub-Servicer shall agree in writing to perform the
      duties and obligations of the Servicer pursuant to the terms hereof, (ii)
      the Servicer shall remain primarily liable for the performance of the
      duties and obligations so delegated, (iii) the Seller, the Administrator
      and each Purchaser Group shall have the right to look solely to the
      Servicer for performance, and (iv) the terms of any agreement with any
      Sub-Servicer shall provide that the Administrator may terminate such
      agreement upon the termination of the Servicer hereunder by giving notice
      of its desire to terminate such agreement to the Servicer (and the
      Servicer shall provide appropriate notice to each such Sub-Servicer);
      provided, however, that if any such delegation is to any Person other than
      an Originator or an Affiliate thereof, the Administrator and the Majority
      Purchasers shall have consented in writing in advance to such delegation.

            (e)   The Administrator and the Purchasers consent to the
      outsourcing of certain functions related to the servicing hardware and
      software utilized by the Servicer to Electronic Data Systems Corporation
      ("EDSC") as in effect on the date hereof; provided, that (i) the Servicer
      shall remain primarily liable for the performances and obligations
      subcontracted and (ii) the Seller, the Administrator, and each Purchaser
      Group shall have the right to look to the Servicer for performance of such
      subcontracts. York agrees that it shall provide the Administrator and each
      Purchaser Agent with: (I) within 10 Business Days of its receipt of a
      notice of termination from EDSC (or any Person acting on behalf of EDSC)
      related to such subcontract, a copy of such notice of termination; (II) a
      copy of any notice of termination issued by it to EDSC, contemporaneously
      with such delivery to EDSC; and (III) within 10 Business Days of the
      effectiveness of any material amendment, change, modification or waiver
      with respect to such subcontract to the extent related to accounts
      receivable outsourcing, an executed copy of such amendment, modification
      or waiver.

      Section 4.2. Duties of the Servicer.

            (a)   The Servicer shall take or cause to be taken all such action
      as may be necessary or advisable to administer and collect each Pool
      Receivable from time to time, all in accordance with this Agreement and
      all applicable laws, rules and regulations, with reasonable care and
      diligence, and in accordance with the Credit and Collection Policies. The
      Servicer shall set aside, for the account of each Purchaser Group, the
      amount of the Collections to which each such Purchaser Group is entitled
      in accordance with Article I. The Servicer may, in accordance with the
      applicable Credit and Collection Policy, take such action as the Servicer
      may determine to be appropriate to maximize Collections thereof or reflect
      adjustments required under the applicable Contract; provided, however,
      that: (i) such action shall not change the number of days such Pool
      Receivable has remained unpaid from the date of the original due date
      related to such Pool Receivable, (ii) such action shall not alter the
      status of such Pool Receivable as a Delinquent Receivable or a Defaulted
      Receivable or limit the rights of the Administrator or any Purchaser Group
      under this Agreement and (iii) if a Termination Event has occurred and
      York or an Affiliate thereof is serving as the Servicer, York or such
      Affiliate may take such action only upon the prior approval of the
      Administrator (with the consent of the

                                       18
<PAGE>

      Majority Purchasers). The Seller shall deliver to the Servicer and the
      Servicer shall hold for the benefit of the Seller and the Administrator
      (individually and for the benefit of each Purchaser Group), in accordance
      with their respective interests, all records and documents (including
      computer tapes or disks) with respect to each Pool Receivable.
      Notwithstanding anything to the contrary contained herein, the
      Administrator may direct the Servicer (whether the Servicer is York or any
      other Person) to commence or settle any legal action to enforce collection
      of any Pool Receivable or to foreclose upon or repossess any Related
      Security; provided, however, that no such direction may be given unless
      either: (A) a Termination Event has occurred or (B) the Administrator
      believes in good faith that failure to commence, settle or effect such
      legal action, foreclosure or repossession could adversely affect
      Receivables constituting a material portion of the Pool Receivables.

            (b)   The Servicer shall, as soon as practicable following actual
      receipt of collected funds, turn over to the Seller the collections of any
      indebtedness that is not a Pool Receivable, less, if York or an Affiliate
      thereof is not the Servicer, all reasonable and appropriate out-of-pocket
      costs and expenses of such Servicer of servicing, collecting and
      administering such collections. The Servicer, if other than York or an
      Affiliate thereof, shall, as soon as practicable upon demand, deliver to
      the Seller all records in its possession that evidence or relate to any
      indebtedness that is not a Pool Receivable, and copies of records in its
      possession that evidence or relate to any indebtedness that is a Pool
      Receivable.

            (c)   The Servicer's obligations hereunder shall terminate on the
      later of: (i) the Facility Termination Date and (ii) the date on which all
      amounts required to be paid to the Purchaser Agents, each Purchaser, the
      Administrator and any other Indemnified Party or Affected Person hereunder
      shall have been paid in full.

      After such termination, if York or an Affiliate thereof was not the
Servicer on the date of such termination, the Servicer shall promptly deliver to
the Seller all books, records and related materials that the Seller previously
provided to the Servicer, or that have been obtained by the Servicer, in
connection with this Agreement.

      Section 4.3. Lock-Box Account Arrangements. Upon the occurrence of a
Termination Event, the Administrator may (with the consent of a Simple Majority
of the Purchasers) or shall (upon the direction of a Simple Majority of the
Purchasers) at any time thereafter give notice to each Lock-Box Bank that the
Administrator is exercising its rights under the Lock-Box Agreements to do any
or all of the following: (a) to have the exclusive ownership and control of the
Lock-Box Accounts (and the related lock-boxes) transferred to the Administrator
(for the benefit of the Purchasers) and to exercise exclusive dominion and
control over the funds deposited therein, (b) to have the proceeds that are sent
to the respective Lock-Box Accounts (and the respective related lock-boxes)
redirected pursuant to the Administrator's instructions rather than deposited in
the applicable Lock-Box Account (or sent to the applicable related lock-box),
and (c) to take any or all other actions permitted under the applicable Lock-Box
Agreement. The Seller hereby agrees that if the Administrator at any time takes
any action set forth in the preceding sentence, the Administrator shall have
exclusive control (for the benefit of the Purchasers) of the proceeds (including
Collections) of all Pool Receivables and the Seller

                                       19
<PAGE>

hereby further agrees to take any other action that the Administrator or any
Purchaser Agent may reasonably request to transfer such control. Any proceeds of
Pool Receivables received by the Seller or the Servicer thereafter shall be sent
immediately to the Administrator. The parties hereto hereby acknowledge that if
at any time the Administrator takes control of any Lock-Box Account (and any
such related lock-box), the Administrator shall not have any rights to the funds
therein in excess of the unpaid amounts due to the Administrator, the Purchaser
Groups, any Indemnified Party or any other Person hereunder, and the
Administrator shall distribute or cause to be distributed such funds in
accordance with Section 4.2(b) and Article I (in each case as if such funds were
held by the Servicer thereunder).

      Section 4.4. Enforcement Rights.

            (a)   At any time following the occurrence of a Termination Event:

                  (i)   the Administrator may (with the consent or at the
            direction of the Majority Purchasers) direct the Obligors that
            payment of all amounts payable under any Pool Receivable is to be
            made directly to the Administrator or its designee,

                  (ii)  the Administrator may (with the consent or at the
            direction of the Majority Purchasers) instruct the Seller or the
            Servicer to give notice of the Purchaser Groups' interest in Pool
            Receivables to each Obligor, which notice shall direct that payments
            be made directly to the Administrator or its designee (on behalf of
            such Purchaser Groups), and the Seller or the Servicer, as the case
            may be, shall give such notice at the expense of the Seller or the
            Servicer, as the case may be; provided, that if the Seller or the
            Servicer, as the case may be, fails to so notify each Obligor, the
            Administrator (at the Seller's or the Servicer's, as the case may
            be, expense) may so notify the Obligors, and

                  (iii) the Administrator may (with the consent or at the
            direction of the Majority Purchasers) request the Servicer to, and
            upon such request the Servicer shall: (A) assemble all of the
            records necessary or desirable to collect the Pool Receivables and
            the Related Security, and transfer or license (or cause to be
            licensed) to a successor Servicer the use of all software necessary
            or desirable to collect the Pool Receivables and the Related
            Security, and make the same available to the Administrator or its
            designee (for the benefit of the Purchasers) at a place selected by
            the Administrator, and (B) segregate all cash, checks and other
            instruments received by it from time to time constituting
            Collections in a manner acceptable to the Administrator and,
            promptly upon receipt, remit all such cash, checks and instruments,
            duly endorsed or with duly executed instruments of transfer, to the
            Administrator or its designee.

            (b)   The Seller hereby authorizes the Administrator (on behalf of
      each Purchaser Group), and irrevocably appoints the Administrator as its
      attorney-in-fact with full power of substitution and with full authority
      in the place and stead of the Seller, which appointment is coupled with an
      interest, to take any and all steps in the name of the Seller and on
      behalf of the Seller necessary or desirable, in the determination of the

                                       20
<PAGE>

      Administrator, after the occurrence of a Termination Event, to collect any
      and all amounts or portions thereof due under any and all Pool Assets,
      including endorsing the name of the Seller on checks and other instruments
      representing Collections and enforcing such Pool Assets. Notwithstanding
      anything to the contrary contained in this subsection, none of the powers
      conferred upon such attorney-in-fact pursuant to the preceding sentence
      shall subject such attorney-in-fact to any liability if any action taken
      by it shall prove to be inadequate or invalid, nor shall they confer any
      obligations upon such attorney-in-fact in any manner whatsoever.

            (c)   The parties hereto hereby acknowledge that if at any time the
      Administrator takes steps in the name of Seller and on behalf of the
      Seller pursuant to the powers granted in Section 4.4(b) to collect any and
      all amounts or portions thereof due under any Pool Assets, the
      Administrator shall not have any rights to collect amounts or portions
      thereof in excess of the unpaid amounts due to the Administrator, the
      Purchaser Groups, any Indemnified Party or any other Persons hereunder,
      and the Administrator shall distribute or cause to be distributed such
      amounts in accordance with Section 4.2(b) and Article I (in each case as
      if such amounts were hold by the Servicer thereunder).

      Section 4.5. Responsibilities of the Seller.

            (a)   Anything herein to the contrary notwithstanding, the Seller
      shall: (i) perform all of its obligations, if any, under the Contracts
      related to the Pool Receivables to the same extent as if interests in such
      Pool Receivables had not been transferred hereunder, and the exercise by
      the Administrator, the Purchaser Agents or the Purchasers of their
      respective rights hereunder shall not relieve the Seller from such
      obligations, and (ii) pay when due any taxes, including any sales taxes
      payable in connection with the Pool Receivables and their creation and
      satisfaction. The Administrator, the Purchaser Agents or any of the
      Purchasers shall not have any obligation or liability with respect to any
      Pool Asset, nor shall any of them be obligated to perform any of the
      obligations of the Seller, Servicer, York or the Originators thereunder.

            (b)   York hereby irrevocably agrees that if at any time it shall
      cease to be the Servicer hereunder, it shall act (if the then-current
      Servicer so requests) as the data-processing agent of the Servicer and, in
      such capacity, York shall conduct the data-processing functions of the
      administration of the Receivables and the Collections thereon in
      substantially the same way that York conducted such data-processing
      functions while it acted as the Servicer and shall be entitled to recover
      from the Servicing Fee its reasonable costs and expenses incurred while
      acting as such data-processing agent of the Servicer.

      Section 4.6. Servicing Fee. (a) Subject to clause (b), the Servicer shall
be paid a fee (the "Servicing Fee") equal to 1.00% per annum of the daily
average aggregate Outstanding Balance of the Pool Receivables. The Aggregate of
each Purchaser Group's Ratable Share of such fee shall be paid through the
distributions contemplated by Section 1.4(d), and the Seller's Share of such fee
shall be paid by the Seller.

                                       21
<PAGE>

      (b)   If the Servicer ceases to be York or an Affiliate thereof, the
servicing fee shall be the greater of: (i) the amount calculated pursuant to
clause (a), and (ii) an alternative amount specified by the successor Servicer
not to exceed 110% of the aggregate reasonable costs and expenses incurred by
such successor Servicer in connection with the performance of its obligations as
Servicer.

                                   ARTICLE V
                                   THE AGENTS

      Section 5.1. Appointment and Authorization. (a) Each Purchaser and each
Purchaser Agent hereby irrevocably designates and appoints BTMNY as the
"Administrator" hereunder and authorizes the Administrator to take such actions
and to exercise such powers as are delegated to the Administrator hereby and to
exercise such other powers as are reasonably incidental thereto. Further,
Gotham, pursuant to the Program Administration Agreement, has appointed and
authorized the Program Administrator (or its respective designees) to take such
action as agent on its behalf and to exercise such powers under this Agreement
as are delegated to the Program Administrator by the terms hereof, together with
such powers as are reasonably incidental thereto. The Administrator shall hold,
in its name, for the benefit of each Purchaser, ratably, the Purchased Interest.
The Administrator shall not have any duties other than those expressly set forth
herein or any fiduciary relationship with any Purchaser or Purchaser Agent, and
no implied obligations or liabilities shall be read into this Agreement, or
otherwise exist, against the Administrator. The Administrator does not assume,
nor shall it be deemed to have assumed, any obligation to, or relationship of
trust or agency with, the Seller or Servicer. Notwithstanding any provision of
this Agreement or any other Transaction Document to the contrary, in no event
shall the Administrator ever be required to take any action which exposes the
Administrator to personal liability or which is contrary to the provision of any
Transaction Document or applicable law.

      (b)   Each Purchaser hereby irrevocably designates and appoints the
respective institution identified as the Purchaser Agent for such Purchaser's
Purchaser Group on the signature pages hereto or in the Assumption Agreement or
Transfer Supplement pursuant to which such Purchaser becomes a party hereto, and
each authorizes such Purchaser Agent to take such action on its behalf under the
provisions of this Agreement and to exercise such powers and perform such duties
as are expressly delegated to such Purchaser Agent by the terms of this
Agreement, if any, together with such other powers as are reasonably incidental
thereto. Notwithstanding any provision to the contrary elsewhere in this
Agreement, no Purchaser Agent shall have any duties or responsibilities, except
those expressly set forth herein, or any fiduciary relationship with any
Purchaser or other Purchaser Agent or the Administrator, and no implied
covenants, functions, responsibilities, duties, obligations or liabilities on
the part of such Purchaser Agent shall be read into this Agreement or otherwise
exist against such Purchaser Agent.

      (c)   Except as otherwise specifically provided in this Agreement, the
provisions of this Article V are solely for the benefit of the Purchaser Agents,
the Administrator and the Purchasers, and none of the Seller or Servicer shall
have any rights as a third-party beneficiary or otherwise under any of the
provisions of this Article V, except that this Article V shall not affect any
obligations which any Purchaser Agent, the Administrator or any Purchaser may
have to the

                                       22
<PAGE>

Seller or the Servicer under the other provisions of this Agreement.
Furthermore, no Purchaser shall have any rights as a third-party beneficiary or
otherwise under any of the provisions hereof in respect of a Purchaser Agent
which is not the Purchaser Agent for such Purchaser.

      (d)   In performing its functions and duties hereunder, the Administrator
shall act solely as the agent of the Purchasers and the Purchaser Agents and
does not assume nor shall be deemed to have assumed any obligation or
relationship of trust or agency with or for the Seller or Servicer or any of
their successors and assigns. In performing its functions and duties hereunder,
each Purchaser Agent shall act solely as the agent of its respective Purchaser
and does not assume nor shall be deemed to have assumed any obligation or
relationship of trust or agency with or for the Seller, the Servicer, any other
Purchaser, any other Purchaser Agent or the Administrator, or any of their
respective successors and assigns.

      Section 5.2. Delegation of Duties. The Administrator may execute any of
its duties through agents or attorneys-in-fact and shall be entitled to advice
of counsel concerning all matters pertaining to such duties. The Administrator
shall not be responsible for the negligence or misconduct of any agents or
attorneys-in-fact selected by it with reasonable care.

      Section 5.3. Exculpatory Provisions. None of the Purchaser Agents, the
Administrator, the Program Administrator or any of their shareholders,
directors, officers, managers, agents or employees shall be liable for any
action taken or omitted (i) with the consent or at the direction of the Majority
Purchasers (or in the case of any Purchaser Agent, the Purchasers within its
Purchaser Group that have a majority of the aggregate Commitment of such
Purchaser Group) or (ii) in the absence of such Person's gross negligence or
willful misconduct. The Administrator shall not be responsible to any Purchaser,
Purchaser Agent, the Program Administrator or other Person for (i) any recitals,
representations, warranties or other statements made by the Seller, Servicer, or
any of their Affiliates, (ii) the value, validity, effectiveness, genuineness,
enforceability or sufficiency of any Transaction Document, (iii) any failure of
the Seller, any Originator or any of their Affiliates to perform any obligation
or (iv) the satisfaction of any condition specified in Exhibit II. The
Administrator shall not have any obligation to any Purchaser or Purchaser Agent
to ascertain or inquire about the observance or performance of any agreement
contained in any Transaction Document or to inspect the properties, books or
records of the Seller, Servicer, any Originator or any of their Affiliates.

      Section 5.4. Reliance by Agents. (a) Each Purchaser Agent, the Program
Administrator and the Administrator shall in all cases be entitled to rely, and
shall be fully protected in relying, upon any document or other writing or
conversation believed by it to be genuine and correct and to have been signed,
sent or made by the proper Person and upon advice and statements of legal
counsel (including counsel to the Seller), independent accountants and other
experts selected by the Administrator. Each Purchaser Agent and the
Administrator shall in all cases be fully justified in failing or refusing to
take any action under any Transaction Document unless it shall first receive
such advice or concurrence of the Majority Purchasers (or in the case of any
Purchaser Agent, the Purchasers within its Purchaser Group that have a majority
of the aggregate Commitment of such Purchaser Group), and assurance of its
indemnification, as it deems appropriate.

                                       23
<PAGE>

      (b)   The Administrator shall in all cases be fully protected in acting,
or in refraining from acting, under this Agreement in accordance with a request
of the Majority Purchasers or the Purchaser Agents, and such request and any
action taken or failure to act pursuant thereto shall be binding upon all
Purchasers, the Administrator and Purchaser Agents.

      (c)   The Purchasers within each Purchaser Group with a majority of the
Commitment of such Purchaser Group shall be entitled to request or direct the
related Purchaser Agent to take action, or refrain from taking action, under
this Agreement on behalf of such Purchasers. Such Purchaser Agent shall in all
cases be fully protected in acting, or in refraining from acting, under this
Agreement in accordance with a request of such majority Purchasers, and such
request and any action taken or failure to act pursuant thereto shall be binding
upon all of such Purchaser Agent's Purchasers.

      (d)   Unless otherwise advised in writing by a Purchaser Agent or by any
Purchaser on whose behalf such Purchaser Agent is purportedly acting, each party
to this Agreement may assume that (i) such Purchaser Agent is acting for the
benefit of each of the Purchasers in respect of which such Purchaser Agent is
identified as being the "Purchaser Agent" in the definition of "Purchaser Agent"
hereto, as well as for the benefit of each assignee or other transferee from any
such Person, and (ii) each action taken by such Purchaser Agent has been duly
authorized and approved by all necessary action on the part of the Purchasers on
whose behalf it is purportedly acting. Each Purchaser Agent and its Purchaser(s)
shall agree amongst themselves as to the circumstances and procedures for
removal, resignation and replacement of such Purchaser Agent.

      Section 5.5. Notice of Termination Events. Neither any Purchaser Agent nor
the Administrator shall be deemed to have knowledge or notice of the occurrence
of any Termination Event or Unmatured Termination Event unless such Person has
received notice from any Purchaser, Purchaser Agent, the Servicer or the Seller
stating that a Termination Event or an Unmatured Termination Event has occurred
hereunder and describing such Termination Event or Unmatured Termination Event.
In the event that the Administrator receives such a notice, it shall promptly
give notice thereof to each Purchaser Agent whereupon each such Purchaser Agent
shall promptly give notice thereof to its Purchasers. In the event that a
Purchaser Agent receives such a notice (other than from the Administrator), it
shall promptly give notice thereof to the Administrator. The Administrator shall
take such action concerning a Termination Event or an Unmatured Termination
Event as may be directed by the Majority Purchasers (unless such action
otherwise requires the consent of all Purchasers), but until the Administrator
receives such directions, the Administrator may (but shall not be obligated to)
take such action, or refrain from taking such action, as the Administrator deems
advisable and in the best interests of the Purchasers and Purchaser Agents.

      Section 5.6. Non-Reliance on Administrator, Purchaser Agents and Other
Purchasers. Each Purchaser expressly acknowledges that none of the
Administrator, the Purchaser Agents nor any of their respective officers,
directors, employees, agents, attorneys-in-fact or Affiliates has made any
representations or warranties to it and that no act by the Administrator, or any
Purchaser Agent hereafter taken, including any review of the affairs of the
Seller, York, Servicer or any Originator, shall be deemed to constitute any
representation or warranty by the Administrator or such Purchaser Agent, as
applicable. Each Purchaser represents and warrants

                                       24
<PAGE>

to the Administrator and the Purchaser Agents that, independently and without
reliance upon the Administrator, Purchaser Agents or any other Purchaser and
based on such documents and information as it has deemed appropriate, it has
made and will continue to make its own appraisal of and investigation into the
business, operations, property, prospects, financial and other conditions and
creditworthiness of the Seller, York, Servicer or the Originators, and the
Receivables and its own decision to enter into this Agreement and to take, or
omit, action under any Transaction Document. Except for items specifically
required to be delivered hereunder, the Administrator shall not have any duty or
responsibility to provide any Purchaser Agent with any information concerning
the Seller, York, Servicer or the Originators or any of their Affiliates that
comes into the possession of the Administrator or any of its officers,
directors, employees, agents, attorneys-in-fact or Affiliates.

      Section 5.7. Administrators and Affiliates. Each of the Purchasers, the
Program Administrator and the Administrator and their Affiliates may extend
credit to, accept deposits from and generally engage in any kind of banking,
trust, debt, equity or other business with the Seller, York, Servicer or any
Originator or any of their Affiliates and BTMNY may exercise or refrain from
exercising its rights and powers as if it were not the Administrator. With
respect to the acquisition of the Eligible Receivables pursuant to this
Agreement, each of the Purchaser Agents and the Administrator shall have the
same rights and powers under this Agreement as any Purchaser and may exercise
the same as though it were not such an agent, and the terms "Purchaser" and
"Purchasers" shall include each of the Purchaser Agents and the Administrator in
their individual capacities.

      Section 5.8. Indemnification. Each Purchaser Group shall indemnify and
hold harmless the Administrator (but solely in its capacity as Administrator)
and its officers, directors, employees, representatives, counsel and agents (to
the extent not reimbursed by the Seller, York or Servicer and without limiting
the obligation of the Seller, York or Servicer to do so), ratably in accordance
with its Ratable Share from and against any and all liabilities, obligations,
losses, damages, penalties, judgments, settlements, costs, expenses and
disbursements of any kind whatsoever (including in connection with any
investigative or threatened proceeding, whether or not the Administrator or such
Person shall be designated a party thereto) that may at any time be imposed on,
incurred by or asserted against the Administrator or such Person as a result of,
or related to, any of the transactions contemplated by the Transaction Documents
or the execution, delivery or performance of the Transaction Documents or any
other document furnished in connection therewith (but excluding any such
liabilities, obligations, losses, damages, penalties, judgments, settlements,
costs, expenses or disbursements resulting solely from the gross negligence or
willful misconduct of the Administrator or such Person as finally determined by
a court of competent jurisdiction); provided, that in the case of each Purchaser
that is a commercial paper conduit, such indemnity shall be provided solely to
the extent of amounts received by such Purchaser under this Agreement which
exceed the amounts required to repay such Purchaser's outstanding Notes.
Notwithstanding anything in this Section 5.8 to the contrary, each of the
Administrator, each Purchaser Agent and each Purchaser hereby covenants and
agrees that it shall not institute against, or join any other Person in
instituting against, any Conduit Purchaser any bankruptcy, reorganization,
arrangement, insolvency or liquidation proceeding or other proceedings under any
federal or state bankruptcy or similar law, for one year and a day after the
latest maturing Note issued by such Conduit Purchaser is paid in full.

                                       25
<PAGE>

      Section 5.9. Successor Administrator. The Administrator may, upon at least
five (5) days notice to the Seller, each Purchaser and each Purchaser Agent,
resign as Administrator. Such resignation shall not become effective until a
successor agent is appointed by the Majority Purchasers and has accepted such
appointment. Upon such acceptance of its appointment as Administrator hereunder
by a successor Administrator, such successor Administrator shall succeed to and
become vested with all the rights and duties of the retiring Administrator, and
the retiring Administrator shall be discharged from its duties and obligations
under the Transaction Documents. After any retiring Administrator's resignation
hereunder, the provisions of Sections 3.1 and 3.2 and this Article V shall inure
to its benefit as to any actions taken or omitted to be taken by it while it was
the Administrator.

                                   ARTICLE VI
                                  MISCELLANEOUS

      Section 6.1. Amendments, Etc. No amendment or waiver of any provision of
this Agreement or any other Transaction Document, or consent to any departure by
the Seller or the Servicer therefrom, shall be effective unless in a writing
signed by the Administrator and each of the Majority Purchasers, and, in the
case of any amendment, by the other parties thereto; and then such amendment,
waiver or consent shall be effective only in the specific instance and for the
specific purpose for which given; provided, however, that, if required by the
securitization program documents governing any Conduit Purchaser's commercial
paper program, no such material amendment shall be effective until both Moody's
and Standard & Poor's have notified the related Purchaser Agent in writing that
such action will not result in a reduction or withdrawal of the rating of any
Notes; provided, further that no such amendment or waiver shall, without the
consent of each affected Purchaser, (A) extend the date of any payment or
deposit of Collections by the Seller or the Servicer, (B) reduce the rate or
extend the time of payment of Discount, (C) reduce any fees payable to the
Administrator, any Purchaser Agent or any Purchaser pursuant to the applicable
Purchaser Group Fee Letter, (D) change the amount of Investment of any
Purchaser, any Purchaser's pro rata share of the Purchased Interest or any
Related Committed Purchaser's Commitment, (E) amend, modify or waive any
provision of the definition of "Majority Purchaser" or this Section 6.1, (F)
consent to or permit the assignment or transfer by the Seller of any of its
rights and obligations under this Agreement, (G) change the definition of
"Concentration Percentage," "Concentration Reserve," "Concentration Reserve
Percentage," "Eligible Receivable," "Ineligible Elimination Amounts," "Loss
Reserve," "Loss Reserve Percentage," "Dilution Reserve," "Dilution Reserve
Percentage," "Specifically Reserved Dilution Amount," "Termination Event,"
"Total Reserve," "Yield Reserve," or "Yield Reserve Percentage", (H) amend or
modify any defined term (or any defined term used directly or indirectly in such
defined term) used in clauses (A) through (G) above in a manner that would
circumvent the intention of the restrictions set forth in such clauses, or (I)
otherwise materially and adversely affect the rights of any such Purchaser
hereunder. No failure on the part of the Purchasers or the Administrator to
exercise, and no delay in exercising any right hereunder shall operate as a
waiver thereof, nor shall any single or partial exercise of any right hereunder
preclude any other or further exercise thereof or the exercise of any other
right.

      Section 6.2. Notices, Etc. All notices and other communications hereunder
shall, unless otherwise stated herein, be in writing (which shall include
facsimile communication) and be sent or delivered to each party hereto at its
address set forth under its name on the signature pages

                                       26
<PAGE>

hereof (or in any Assumption Agreement pursuant to which it became a party
hereto) or at such other address as shall be designated by such party in a
written notice to the other parties hereto. Notices and communications by
facsimile shall be effective when sent (and shall be followed by hard copy sent
by first class mail), and notices and communications sent by other means shall
be effective when received.

      Section 6.3. Successors and Assigns; Participations; Assignments.

            (a)   Successors and Assigns. This Agreement shall be binding upon
      and inure to the benefit of the parties hereto and their respective
      successors and assigns. Except as otherwise provided herein, neither the
      Seller nor York, as Servicer, may assign or transfer any of its respective
      rights or obligations or delegate any of its respective duties hereunder
      or under any Transaction Document without the prior written consent of the
      Administrator, the Purchaser Agents and the Purchasers.

            (b)   Participations. Any Purchaser may sell to one or more Persons
      (each a "Participant") participating interests in the interests of such
      Purchaser hereunder; provided, however, that no Purchaser shall grant any
      participation under which the Participant shall have rights to approve any
      amendment to or waiver of this Agreement or any other Transaction
      Document. Such Purchaser shall remain solely responsible for performing
      its obligations hereunder, and the Seller, each Purchaser Agent and the
      Administrator shall continue to deal solely and directly with such
      Purchaser in connection with such Purchaser's rights and obligations
      hereunder. A Purchaser shall not agree with a Participant to restrict such
      Purchaser's right to agree to any amendment hereto, except amendments that
      require the consent of all Purchasers.

            (c)   Assignments by Certain Related Committed Purchasers. Any
      Related Committed Purchaser may assign to one or more Persons (each a
      "Purchasing Related Committed Purchaser"), reasonably acceptable to the
      related Purchaser Agent in its sole discretion, any portion of its
      Commitment pursuant to a supplement hereto, substantially in the form of
      Annex D hereto with any changes as have been approved by the parties
      thereto (a "Transfer Supplement"), executed by each such Purchasing
      Related Committed Purchaser, such selling Related Committed Purchaser,
      such related Purchaser Agent. Any such assignment by Related Committed
      Purchaser cannot be for an amount less than $10,000,000. Upon (i) the
      execution of the Transfer Supplement, (ii) delivery of an executed copy
      thereof to the Seller, such related Purchaser Agent and the Administrator
      and (iii) payment by the Purchasing Related Committed Purchaser to the
      selling Related Committed Purchaser of the agreed purchase price, such
      selling Related Committed Purchaser shall be released from its obligations
      hereunder to the extent of such assignment and such Purchasing Related
      Committed Purchaser shall for all purposes be a Related Committed
      Purchaser party hereto and shall have all the rights and obligations of a
      Related Committed Purchaser hereunder to the same extent as if it were an
      original party hereto. The amount of the Commitment of the selling Related
      Committed Purchaser allocable to such Purchasing Related Committed
      Purchaser shall be equal to the amount of the Commitment of the selling
      Related Committed Purchaser transferred regardless of the purchase price
      paid therefor. The Transfer Supplement shall be an amendment hereof only
      to the extent necessary to reflect the addition of such Purchasing

                                       27
<PAGE>

      Related Committed Purchaser as a "Related Committed Purchaser" and any
      resulting adjustment of the selling Related Committed Purchaser's
      Commitment.

            (d)   Replaceable Related Committed Purchaser. If any Related
      Committed Purchaser (a "Replaceable Related Committed Purchaser") shall
      (i) petition the Seller for any amounts under Section 1.7 or 1.8 or (ii)
      cease to have a short-term debt rating of "A-1" by Standard & Poor's or
      "P-1" by Moody's (if such a rating is required by the related Purchaser's
      securitization program), the related Purchaser Agent or the Administrator
      may and if requested by the Seller, use its reasonable best efforts to
      designate a replacement financial institution (a "Replacement Related
      Committed Purchaser"), to which such Replaceable Related Committed
      Purchaser shall, subject to its receipt of an amount equal to the
      aggregate outstanding principal balance of its Investment and accrued and
      unpaid Discount thereon (and, if applicable, its receipt (unless a later
      date for the remittance thereof shall be agreed upon by the Seller and
      such Replaceable Related Committed Purchaser) of all amounts claimed under
      Section 1.7 and/or 1.8) promptly assign all of its rights, obligations and
      Commitment hereunder, together with all of its right, title and interest
      in, to and under the Purchased Interest allocable to it, to the
      Replacement Related Committed Purchaser in accordance with Section 6.3(c),
      above. Once such assignment becomes effective, the Replacement Related
      Committed Purchaser shall be deemed to be a "Related Committed Purchaser"
      for all purposes hereof and such Replaceable Related Committed Purchaser
      shall cease to be "Related Committed Purchaser" for all purposes hereof
      and shall have no further rights or obligations hereunder.

            (e)   Assignment by Conduit Purchasers. Each party hereto agrees and
      consents (i) to any Conduit Purchaser's assignment, participation, grant
      of security interests in or other transfers of any portion of, or any of
      its beneficial interest in, the Purchased Interest (or portion thereof),
      including without limitation to any collateral agent or Program Support
      Provider in connection with its commercial paper program and (ii) to the
      complete assignment by any Conduit Purchaser of all of its rights and
      obligations hereunder to any other Person, and upon such assignment such
      Conduit Purchaser shall be released from all obligations and duties, if
      any, hereunder; provided, however, that such Conduit Purchaser may not,
      without the prior consent of its Related Committed Purchasers, make any
      such transfer of its rights hereunder under clause (ii) above unless the
      assignee (i) is principally engaged in the purchase of assets similar to
      the assets being purchased hereunder, (ii) has as its Purchaser Agent the
      Purchaser Agent of the assigning Conduit Purchaser and (iii) issues
      commercial paper or other Notes with credit ratings substantially
      comparable to the ratings of the assigning Conduit Purchaser. Any
      assigning Conduit Purchaser shall deliver to any assignee a supplement
      hereto, substantially in the form of Annex D hereto with any changes as
      have been approved by the parties thereto (also, a "Transfer Supplement"),
      duly executed by such Conduit Purchaser, assigning any portion of its
      interest in the Purchased Interest to its assignee. Such Conduit Purchaser
      shall promptly (i) notify each of the other parties hereto of such
      assignment and (ii) take all further action that the assignee reasonably
      requests in order to evidence the assignee's right, title and interest in
      such interest in the Purchased Interest and to enable the assignee to
      exercise or enforce any rights of such Conduit Purchaser hereunder. Upon
      the assignment of any portion of its interest in the Purchased Interest,

                                       28
<PAGE>

      the assignee shall have all of the rights hereunder with respect to such
      interest (except that the Discount therefor shall thereafter accrue at the
      rate, determined with respect to the assigning Conduit Purchaser unless
      the Seller, the related Purchaser Agent and the assignee shall have agreed
      upon a different Discount).

            (f)   Opinions of Counsel. If required by the Administrator or the
      applicable Purchaser Agent or to maintain the ratings of any Conduit
      Purchaser's Notes, each Transfer Supplement must be accompanied by an
      opinion of counsel of the assignee as to such matters as the Administrator
      or such Purchaser Agent may reasonably request.

      Section 6.4. Costs, Expenses and Taxes. (a) In addition to the rights of
indemnification granted under Section 3.1, the Seller agrees to pay on demand
(which demand shall be accompanied by documentation thereof in reasonable
detail) all reasonable costs and expenses in connection with the preparation,
execution, delivery and administration (including periodic audits by the
Administrator of Pool Receivables) of this Agreement, the other Transaction
Documents and the other documents and agreements to be delivered hereunder (and
all reasonable costs and expenses in connection with any amendment, waiver or
modification of any thereof), including: (i) Attorney Costs for the
Administrator, each Purchaser Group and their respective Affiliates and agents
with respect thereto and with respect to advising the Administrator, each
Purchaser Group and their respective Affiliates and agents as to their rights
and remedies under this Agreement and the other Transaction Documents, (ii) all
reasonable costs and expenses (including Attorney Costs and due diligence costs
and expenses), if any, of the Administrator, each Purchaser Group and their
respective Affiliates and agents in connection with the enforcement of this
Agreement and the other Transaction Documents and (iii) all costs and expenses
(including Attorney Costs) of the Administrator, each Purchaser Group and their
respective Affiliates and agents in connection with any Take Out Securitization
or the satisfaction of the conditions precedent thereto.

            (b)   In addition, the Seller shall pay on demand any and all stamp
      and other taxes and fees payable in connection with the execution,
      delivery, filing and recording of this Agreement or the other documents or
      agreements to be delivered hereunder, and agrees to save each Indemnified
      Party harmless from and against any liabilities with respect to or
      resulting from any delay in paying or omission to pay such taxes and fees.

      Section 6.5. No Proceedings; Limitation on Payments.

            (a)   Each of the Seller, York, the Servicer, the Administrator, the
      Purchaser Agents, the Purchasers, each assignee of the Purchased Interest
      or any interest therein, and each Person that enters into a commitment to
      purchase the Purchased Interest or interests therein, hereby covenants and
      agrees that it will not institute against, or join any other Person in
      instituting against, any Conduit Purchaser any bankruptcy, reorganization,
      arrangement, insolvency or liquidation proceeding, or other proceeding
      under any federal or state bankruptcy or similar law, for one year and one
      day after the latest maturing Note issued by such Conduit Purchaser is
      paid in full. The provisions of this Section 6.5(a) shall survive any
      termination of this Agreement.

                                       29
<PAGE>

            (b)   Notwithstanding any provisions contained in this Agreement to
      the contrary, no Conduit Purchaser shall or shall be obligated to, pay any
      amount, if any, payable by it pursuant to this Agreement or any other
      Transaction Document unless (i) such Conduit Purchaser has received funds
      which may be used to make such payment and which funds are not required to
      repay the Notes when due and (ii) after giving effect to such payment,
      either (x) such Conduit Purchaser could issue Notes to refinance all
      outstanding Notes (assuming such outstanding Notes matured at such time)
      in accordance with the program documents governing such Conduit
      Purchaser's securitization program or (y) all Notes are paid in full. Any
      amount which such Conduit Purchaser does not pay pursuant to the operation
      of the preceding sentence shall not constitute a claim (as defined in
      Section. 101 of the Bankruptcy Code) against or company obligation of such
      Conduit Purchaser for any such insufficiency unless and until such Conduit
      Purchaser satisfies the provisions of clauses (i) and (ii) above. The
      provisions of this Section 6.5(b) shall survive any termination of this
      Agreement.

      Section 6.6. GOVERNING LAW AND JURISDICTION.

            (a)   THIS AGREEMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER AND
      GOVERNED BY THE INTERNAL LAWS OF THE STATE OF NEW YORK (INCLUDING FOR SUCH
      PURPOSE SECTIONS 5-1401 AND 5-1402 OF THE GENERAL OBLIGATIONS LAW OF THE
      STATE OF NEW YORK) EXCEPT TO THE EXTENT THAT THE VALIDITY OR PERFECTION OF
      A SECURITY INTEREST OR REMEDIES HEREUNDER, IN RESPECT OF ANY PARTICULAR
      COLLATERAL ARE GOVERNED BY THE LAWS OF A JURISDICTION OTHER THAN THE STATE
      OF NEW YORK.

            (b)   ANY LEGAL ACTION OR PROCEEDING WITH RESPECT TO THIS AGREEMENT
      MAY BE BROUGHT IN THE COURTS OF THE STATE OF NEW YORK OR OF THE UNITED
      STATES FOR THE SOUTHERN DISTRICT OF NEW YORK; AND, BY EXECUTION AND
      DELIVERY OF THIS AGREEMENT, EACH OF THE PARTIES HERETO CONSENTS, FOR
      ITSELF AND IN RESPECT OF ITS PROPERTY, TO THE NON-EXCLUSIVE JURISDICTION
      OF THOSE COURTS. EACH OF THE PARTIES HERETO IRREVOCABLY WAIVES, TO THE
      MAXIMUM EXTENT PERMITTED BY LAW, ANY OBJECTION, INCLUDING ANY OBJECTION TO
      THE LAYING OF VENUE OR BASED ON THE GROUNDS OF FORUM NON CONVENIENS, THAT
      IT MAY NOW OR HEREAFTER HAVE TO THE BRINGING OF ANY ACTION OR PROCEEDING
      IN SUCH JURISDICTION IN RESPECT OF THIS AGREEMENT OR ANY DOCUMENT RELATED
      HERETO. EACH OF THE PARTIES HERETO WAIVES PERSONAL SERVICE OF ANY SUMMONS,
      COMPLAINT OR OTHER PROCESS, WHICH SERVICE MAY BE MADE BY ANY OTHER MEANS
      PERMITTED BY NEW YORK LAW.

      Section 6.7. Execution in Counterparts. This Agreement may be executed in
any number of counterparts, each of which, when so executed, shall be deemed to
be an original, and all of which, when taken together, shall constitute one and
the same agreement.

                                       30
<PAGE>

      Section 6.8. Survival of Termination. The provisions of Sections 1.7, 1.8,
3.1, 3.2, 6.4, 6.5, 6.6, 6.9 and 6.14 shall survive any termination of this
Agreement.

      Section 6.9. WAIVER OF JURY TRIAL. EACH OF THE PARTIES HERETO WAIVES THEIR
RESPECTIVE RIGHTS TO A TRIAL BY JURY OF ANY CLAIM OR CAUSE OF ACTION BASED UPON
OR ARISING OUT OF OR RELATED TO THIS AGREEMENT OR THE TRANSACTIONS CONTEMPLATED
HEREBY IN ANY ACTION, PROCEEDING OR OTHER LITIGATION OF ANY TYPE BROUGHT BY ANY
OF THE PARTIES AGAINST ANY OTHER PARTY OR PARTIES, WHETHER WITH RESPECT TO
CONTRACT CLAIMS, TORT CLAIMS OR OTHERWISE. EACH OF THE PARTIES HERETO AGREES
THAT ANY SUCH CLAIM OR CAUSE OF ACTION SHALL BE TRIED BY A COURT TRIAL WITHOUT A
JURY. WITHOUT LIMITING THE FOREGOING, EACH OF THE PARTIES HERETO FURTHER AGREES
THAT ITS RESPECTIVE RIGHT TO A TRIAL BY JURY IS WAIVED BY OPERATION OF THIS
SECTION AS TO ANY ACTION, COUNTERCLAIM OR OTHER PROCEEDING THAT SEEKS, IN WHOLE
OR IN PART, TO CHALLENGE THE VALIDITY OR ENFORCEABILITY OF THIS AGREEMENT OR ANY
PROVISION HEREOF. THIS WAIVER SHALL APPLY TO ANY SUBSEQUENT AMENDMENTS,
RENEWALS, SUPPLEMENTS OR MODIFICATIONS TO THIS AGREEMENT.

      Section 6.10. Sharing of Recoveries. Each Purchaser agrees that if it
receives any recovery, through set-off, judicial action or otherwise, on any
amount payable or recoverable hereunder in a greater proportion than should have
been received hereunder or otherwise inconsistent with the provisions hereof,
then the recipient of such recovery shall purchase for cash an interest in
amounts owing to the other Purchasers (as return of Investment or otherwise),
without representation or warranty except for the representation and warranty
that such interest is being sold by each such other Purchaser free and clear of
any Adverse Claim created or granted by such other Purchaser, in the amount
necessary to create proportional participation by the Purchaser in such
recovery. If all or any portion of such amount is thereafter recovered from the
recipient, such purchase shall be rescinded and the purchase price restored to
the extent of such recovery, but without interest.

      Section 6.11. Right of Setoff. During a Termination Event, each Purchaser
is hereby authorized (in addition to any other rights it may have) to setoff,
appropriate and apply (without presentment, demand, protest or other notice
which are hereby expressly waived) any deposits and any other indebtedness held
or owing by such Purchaser (including by any branches or agencies of such
Purchaser) to, or for the account of, the Seller against amounts owing by the
Seller hereunder (even if contingent or unmatured).

      Section 6.12. Entire Agreement. This Agreement and the other Transaction
Documents embody the entire agreement and understanding between the parties
hereto, and supersede all prior or contemporaneous agreements and understandings
of such Persons, verbal or written, relating to the subject matter hereof and
thereof.

      Section 6.13. Headings. The captions and headings of this Agreement and
any Exhibit, Schedule or Annex hereto are for convenience of reference only and
shall not affect the interpretation hereof or thereof.

                                       31
<PAGE>

      Section 6.14. Purchaser Groups' Liabilities. The obligations of each
Purchaser Agent and each Purchaser under the Transaction Documents are solely
the corporate obligations of such Person. Except with respect to any claim
arising out of the intentional breach of this Agreement, willful misconduct or
gross negligence of the Administrator, any Purchaser Agent or any Purchaser, no
claim may be made by the Seller or the Servicer or any other Person against the
Administrator, any Purchaser Agent or any Purchaser or their respective
Affiliates, shareholders, directors, officers, employees, managers, attorneys or
agents (including J.H. Management Corporation) for any special, indirect,
consequential or punitive damages in respect of any claim for breach of contract
or any other theory of liability arising out of or related to the transactions
contemplated by the Agreement or any other Transaction Document, or any act,
omission or event occurring in connection therewith; and each of Seller and
Servicer hereby waives, releases, and agrees not to sue upon any claim for any
such damages, whether or not accrued and whether or not known or suspected to
exist in its favor.

      Section 6.15. Confidentiality. Unless otherwise required by applicable
law, each of the Seller and the Servicer agrees to maintain the confidentiality
of this Agreement and the other Transaction Documents (and all drafts thereof)
in communications with third parties and otherwise; provided, that this
Agreement may be disclosed to: (a) third parties to the extent such disclosure
is made pursuant to a written agreement of confidentiality in form and substance
reasonably satisfactory to the Administrator, and (b) the Seller's legal counsel
and auditors if they agree to hold it confidential. Unless otherwise required by
applicable law, each of the Administrator, the Purchaser Agents and the
Purchasers agree to maintain the confidentiality of non-public financial
information regarding York and its Subsidiaries and Affiliates; provided, that
such information may be disclosed to: (i) third parties to the extent such
disclosure is made pursuant to a written agreement of confidentiality in form
and substance reasonably satisfactory to York, (ii) legal counsel and auditors
of the Purchasers, the Purchaser Agents or the Administrator if they agree to
hold it confidential, (iii) the rating agencies rating the Notes, (iv) any
Program Support Provider, potential Program Support Provider and the Program
Administrator (if they agree to hold it confidential), (v) any placement agent
placing the Notes and (vi) any regulatory authorities having jurisdiction over
BTMNY, BNS, the Purchasers, the Purchaser Agents or any Program Support
Provider.

                  [REMAINDER OF PAGE INTENTIONALLY LEFT BLANK]

                                       32
<PAGE>

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

                           YORK RECEIVABLES FUNDING LLC, as Seller

                           By:   _______________________________________________
                                 Name: _________________________________________
                                 Title: ________________________________________

                                 Address:

                                      York Receivables Funding LLC
                                      1403 Foulk Road, Suite 102
                                      Wilmington, Delaware 19803

                                      Attention: James P. Corcoran
                                      Telephone: (717) 771-7438
                                      Facsimile: (717) 771-6843

                           YORK INTERNATIONAL CORPORATION

                           By:   _______________________________________________
                                 Name: _________________________________________
                                 Title: ________________________________________

                                  Address:

                                       York International Corporation
                                       631 S.  Richland Avenue
                                       York, Pennsylvania 17403

                                       Attention: James P. Corcoran
                                       Telephone: (717) 771-7438
                                       Facsimile: (717) 771-6843

                        S-1            Amended and Restated Receivables Purchase
                                                                       Agreement

<PAGE>

                                  THE BANK OF TOKYO-MITSUBISHI, LTD., NEW
                                      YORK BRANCH,
                                      as Administrator

                                  By:   ________________________________________
                                        Name:___________________________________
                                        Title:__________________________________

                                        Address:

                                             The Bank of Tokyo-Mitsubishi, Ltd.,
                                             New York Branch
                                             1251 Avenue of the Americas
                                             New York, NY  10020-1104

                                             Attention: Securitization Group
                                             Telephone No.: 212-782-6963
                                             Facsimile No.: 212-782-6448

                        S-2            Amended and Restated Receivables Purchase
                                                                       Agreement
<PAGE>

PURCHASERS:

                                   GOTHAM FUNDING CORPORATION, as a Conduit
                                   Purchaser

                                   By:   _______________________________________
                                         Name: _________________________________
                                         Title: ________________________________

                                         Address:

                                              Gotham Funding Corporation
                                              c/o J.H. Management Corporation
                                              One International Plaza
                                              Boston, MA 02110

                                              Attention: Nancy D. Smith
                                              Telephone No.: 617-951-7727
                                              Facsimile No.: 617-951-7050

                                       With a copy to:

                                            The Bank of Tokyo-Mitsubishi, Ltd.,
                                            New York Branch
                                            1251 Avenue of the Americas
                                            New York, NY  10020-1104

                                            Attention: Securitization Group
                                            Telephone No.:  212-782-6963
                                            Facsimile No.:  212-782-6448

                        S-3            Amended and Restated Receivables Purchase
                                                                       Agreement

<PAGE>

                                LIBERTY STREET FUNDING CORP.,
                                as a Conduit Purchaser

                                By:   ______________________________________
                                      Name: ________________________________
                                      Title: _______________________________

                                      Address:

                                         Liberty Street Funding Corp.
                                         c/o Global Securitization Services, LLC
                                         114 West 47th Street, Suite 1715
                                         New York, New York 10036

                                         Attention: Andrew L. Stidd
                                         Telephone No.: (212) 302-5151
                                         Facsimile No.: (212) 302-8767

                                With a copy to:

                                         The Bank of Nova Scotia
                                         One Liberty Plaza
                                         New York, New York 10006

                                         Attention: Richard Garritt
                                         Telephone No.: (212) 225-5026
                                         Facsimile No.: (212) 225-5090

                        S-4            Amended and Restated Receivables Purchase
                                                                       Agreement

<PAGE>

                                         THE BANK OF TOKYO-MITSUBISHI, LTD.,
                                         NEW YORK BRANCH,
                                         as Gotham Purchaser Agent

                                   By:   _______________________________________
                                         Name:__________________________________
                                         Title:_________________________________

                                         Address:

                                            The Bank of Tokyo-Mitsubishi, Ltd.,
                                            New York Branch
                                            1251 Avenue of the Americas
                                            New York, NY  10020-1104

                                            Attention: Securitization Group
                                            Telephone No.: 212-782-6963
                                            Facsimile No.: 212-782-6448

                                            THE BANK OF TOKYO-MITSUBISHI, LTD.,
                                            NEW YORK BRANCH,
                                            as Related Committed Purchaser

                                            By:_________________________________
                                            Name:_______________________________
                                            Title:______________________________

                                            The Bank of Tokyo-Mitsubishi, Ltd.,
                                            New York Branch
                                            1251 Avenue of the Americas
                                            New York, NY  10020-1104

                                            Commitment $100,000,000

                        S-5            Amended and Restated Receivables Purchase
                                                                       Agreement
<PAGE>

                         THE BANK OF NOVA SCOTIA,
                         as Liberty Street Purchaser Agent and Related Committed
                         Purchaser

                         By: ________________________________________________
                             Name:___________________________________________
                             Title:__________________________________________

                             Address:

                                  The Bank of Nova Scotia
                                  One Liberty Plaza
                                  New York, New York 10006

                                  Attention: Richard Garritt
                                  Telephone No.: (212) 225-5026
                                  Facsimile No.: (212) 225-5090

                                  Commitment $100,000,000

                        S-6            Amended and Restated Receivables Purchase
                                                                       Agreement

<PAGE>

                                    EXHIBIT I
                                   DEFINITIONS

      As used in the Agreement (including its Exhibits, Schedules and Annexes),
the following terms shall have the following meanings (such meanings to be
equally applicable to both the singular and plural forms of the terms defined).
Unless otherwise indicated, all Section, Annex, Exhibit and Schedule references
in this Exhibit are to Sections of and Annexes, Exhibits and Schedules to the
Agreement.

      "Administrator" has the meaning set forth in the preamble to the
Agreement.

      "Adverse Claim" means a lien, security interest or other charge or
encumbrance, or any other type of preferential arrangement; it being understood
that any thereof in favor of the Administrator (for the benefit of the
Purchasers ) or the federal government with respect to any Receivable described
in clause (a)(ii) of the definition of "Eligible Receivable" shall not
constitute an Adverse Claim.

      "Affected Person" has the meaning set forth in Section 1.7 of the
Agreement.

      "Affiliate" means, as to any Person: (a) any Person that, directly or
indirectly, is in control of, is controlled by or is under common control with
such Person, or (b) who is a director or officer: (i) of such Person or (ii) of
any Person described in clause (a), except that, in the case of each Conduit
Purchaser, Affiliate shall mean the holder of its capital stock. For purposes of
this definition, control of a Person shall mean the power, direct or indirect:
(x) to vote 25% or more of the securities having ordinary voting power for the
election of directors of such Person, or (y) to direct or cause the direction of
the management and policies of such Person, in either case whether by ownership
of securities, contract, proxy or otherwise.

      "Aggregate Discount" at any time, means the sum of the aggregate for each
Purchaser of the accrued and unpaid Discount with respect to each such
Purchaser's Investment at such time.

      "Aggregate Investment" means the amount paid to the Seller in respect of
the Purchased Interest or portion thereof by each Purchaser pursuant to the
Agreement, as reduced from time to time by Collections distributed and applied
on account of such Aggregate Investment pursuant to Section 1.4(d) of the
Agreement; provided, that if such Aggregate Investment shall have been reduced
by any distribution, and thereafter all or a portion of such distribution is
rescinded or must otherwise be returned for any reason, such Aggregate
Investment shall be increased by the amount of such rescinded or returned
distribution as though it had not been made.

      "Agreement" has the meaning set forth in the preamble to the Agreement.

      "Assumption Agreement" means an agreement substantially in the form set
forth in Annex C to the Agreement.

      "Attorney Costs" means and includes all reasonable fees and disbursements
of any law firm or other external counsel.

                                      I-1
<PAGE>

      "Bankruptcy Code" means the United States Bankruptcy Reform Act of 1978
(11 U.S.C. Section 101, et seq.), as amended from time to time.

      "Base Rate" means, for any day, (a) in the case of the Purchaser Group
including Gotham, the Gotham Base Rate, (b) in the case of the Purchaser Group
including Liberty Street, the Liberty Street Base Rate, and (c) in the case of
each other Purchaser Group, shall mean the rate set forth as the Base Rate for
such Purchaser Group in the related Purchaser Group Fee Letter.

      "BBA" means the British Bankers' Association.

      "Benefit Plan" means any employee benefit pension plan as defined in
Section 3(2) of ERISA in respect of which the Seller, any Originator, York or
any ERISA Affiliate is, or at any time during the immediately preceding six
years was, an "employer" as defined in Section 3(5) of ERISA.

      "BTMNY" has the meaning set forth in the preamble to the Agreement.

      "BTM Trust Company" means the Program Administrator.

      "Business Day" means any day (other than a Saturday or Sunday) on which:
(a) banks are not authorized or required to close in New York City, New York and
(b) if this definition of "Business Day" is utilized in connection with the
Euro-Rate, dealings are carried out in the London interbank market.

      "Cancelled Distributor" means each of the Obligors listed in the most
recently delivered Information Package, with whom no Originator is doing
business.

      "Cancelled Obligor" means an Obligor with whom York or any other
Originator has ceased transacting business.

      "Change in Control" means (a) with respect to Seller, that at any time
York shall fail to own, directly or indirectly through one or more wholly-owned
Subsidiaries free and clear of any Adverse Claim, 100% of the shares of
outstanding voting stock of the Seller on a fully diluted basis, (b) with
respect to any Originator other than York, that at any time York shall fail to
own, directly or indirectly through one or more wholly-owned Subsidiaries free
and clear of any Adverse Claim, 100% of the share of outstanding voting stock of
such Originator on a fully diluted basis, and (c) with respect to York, the
acquisition by any person or group of persons (within the meaning of Section 13
or 14 of the Securities Exchange Act of 1934, as amended) of 20% or more of the
shares of outstanding voting stock of York.

      "Closing Date" means May 17, 2004.

      "Collections" means, with respect to any Pool Receivable: (a) all funds
that are received by any Originator, York, the Seller or the Servicer in payment
of any amounts owed in respect of such Receivable (including purchase price,
finance charges, interest and all other charges), or that are applied to amounts
owed in respect of such Receivable (including insurance payments and net
proceeds of the sale or other disposition of repossessed goods or other
collateral or

                                      I-2
<PAGE>

property of the related Obligor or any other Person directly or indirectly
liable for the payment of such Pool Receivable and available to be applied
thereon), (b) all amounts deemed to have been received pursuant to Section
1.4(e) of the Agreement and (c) all other proceeds of such Pool Receivable.

      "Commitment" means, with respect to each Related Committed Purchaser, the
maximum amount which such Purchaser is obligated to pay hereunder on account of
any Purchase, as set forth below its signature to this Agreement or in the
Assumption Agreement pursuant to which it became a Purchaser, as such amount may
be modified in connection with any subsequent assignment pursuant to Section
6.3(c) or in connection with a change in the Purchase Limit pursuant to Section
1.1(b).

      "Commitment Percentage" means, for each Related Committed Purchaser in a
Purchaser Group, such Related Committed Purchaser's Commitment divided by the
total of all Commitments of all Related Committed Purchasers in such Purchaser
Group.

      "Company Note" has the meaning set forth in Section 3.1 of the Purchase
and Sale Agreement.

      "Concentration Percentage" means as to any Obligor which is (a) a Group A
Obligor, 16.0%, (b) a Group B Obligor, 16.0%, (c) a Group C Obligor, 8.0%, or
(d) a Group D Obligor, 5.0%.

      "Concentration Reserve" means, on any day, an amount equal to: (a) the
Aggregate Investment at the close of business of the Servicer on such date
multiplied by (b) (i) the Concentration Reserve Percentage on such date, divided
by (ii) 100% minus the Concentration Reserve Percentage on such date.

      "Concentration Reserve Percentage" means, on any date, the quotient of (i)
the greatest of (a) the largest aggregate Outstanding Balance of the Receivables
of any single Group A Obligor or Group B Obligor, (b) the sum of the largest
aggregate Outstanding Balances of the Receivables of any two Group C Obligors or
(c) the sum of the largest aggregate Outstanding Balances of the Receivables of
any four Group D Obligors, divided by (ii) the aggregate Outstanding Balance of
all Eligible Receivables, on such date. For the purposes of this definition the
Outstanding Balance of an Obligor shall exclude the Excess Concentration Amounts
for such Obligor.

      "Conduit Purchasers" means each commercial paper conduit that is a party
to the Agreement, as a purchaser, or that becomes a party to the Agreement, as a
purchaser pursuant to an Assumption Agreement.

      "Contract" means, with respect to any Receivable, any and all contracts,
understandings, instruments, agreements, leases, invoices, notes or other
writings pursuant to which such Receivable arises or that evidence such
Receivable or under which an Obligor becomes or is obligated to make payment in
respect of such Receivable.

      "CP Rate" for any Yield Period for any Portion of Investment (a) in the
case of the Purchaser Group including Gotham, means the Gotham CP Rate, (b) in
the case of the Purchaser

                                      I-3
<PAGE>

Group including Liberty Street, means the Liberty Street CP Rate and (c) in the
case of each other Purchaser Group, shall mean the rate set forth as the CP Rate
for such Purchaser Group in the related Purchaser Group Fee Letter.

      "Credit and Collection Policy" means, as the context may require, those
receivables credit and collection policies and practices of each Originator and
of York in effect on the date of the Agreement and described in Schedule I to
the Agreement, as the same may be modified from time to time in compliance with
the Agreement.

      "Current Days' Sales Outstanding" means, for any calendar month, an amount
computed as of the last day of such calendar month equal to: (a) the average of
the Outstanding Balance of all Pool Receivables that are not passed their
respective due date as of the last day of the most recent three calendar months
divided by (b)(i) the average of the aggregate credit sales made by the
Originators during most recent three calendar months divided by (ii) 90.

      "Cut-off Date" has the meaning set forth in the Purchase and Sale
Agreement.

      "Debt" means: (a) indebtedness for borrowed money, (b) obligations
evidenced by bonds, debentures, notes or other similar instruments, (c)
obligations to pay the deferred purchase price of property or services, (d)
obligations as lessee under leases that shall have been or should be, in
accordance with generally accepted accounting principles, recorded as capital
leases, and (e) obligations under direct or indirect guaranties in respect of,
and obligations (contingent or otherwise) to purchase or otherwise acquire, or
otherwise to assure a creditor against loss in respect of, indebtedness or
obligations of others of the kinds referred to in clauses (a) through (d).

      "Default Ratio" means the ratio (expressed as a percentage and rounded to
the nearest 1/100 of 1%, with 5/1000th of 1% rounded upward) computed as of the
last day of each calendar month by dividing: (a) the aggregate Outstanding
Balance of all Pool Receivables that became Defaulted Receivables (other than
any Receivable the Obligor of which is an Affiliate of any Originator) during
such month excluding Ineligible Elimination Amounts, by (b)(i) at all times
during which the Current Days' Sales Outstanding is less than or equal to 45,
the aggregate credit sales made by the Originators (other than any sales made to
an Obligor which is an Affiliate of any Originator) during the month that is
five months before such month and (ii) at all other times, the aggregate credit
sales made by the Originators (other than any sales made to an Obligor which is
an Affiliate of any Originator) during the month that is six months before such
month.

      "Defaulted Receivable" means a Receivable:

            (a) as to which any payment, or part thereof, remains unpaid for
      more than 120 days, in each case from the due date for such payment, or

            (b) without duplication (i) as to which an Insolvency Proceeding
      shall have occurred with respect to the Obligor thereof or any other
      Person obligated thereon or owning any Related Security with respect
      thereto, (ii) that has been charged-off as uncollectible or (iii) that
      should have been charged-off as uncollectible pursuant to the Credit and
      Collection Policy. The "Outstanding Balance" of any Defaulted Receivable

                                      I-4
<PAGE>

      the Obligor of which is not a Cancelled Obligor shall be determined
      without regard to any credit memos or balances. The "Outstanding Balance"
      of any Defaulted Receivable the Obligor of which is a Cancelled Obligor
      shall be determined with regard to any credit memos or balances applicable
      to such Cancelled Obligor, provided that such credit memos or balances are
      applied in chronological order beginning with the most current
      "Outstanding Balances"; provided, however, that if such credit memos or
      balances exceed the "Outstanding Balances" of such Cancelled Obligor then
      the excess of such credit memos or balances over such "Outstanding
      Balances" shall be applied and reported to the "current aging" category as
      set forth on the Information Package.

      "Delinquency Ratio" means the ratio (expressed as a percentage and rounded
to the nearest 1/100 of 1%, with 5/1000th of 1% rounded upward) computed as of
the last day of each calendar month by dividing: (a) the aggregate Outstanding
Balance of all Pool Receivables that were Delinquent Receivables (other than any
Receivable the Obligor of which is an Affiliate of any Originator) on such day
excluding Ineligible Elimination Amounts by (b) the aggregate Outstanding
Balance of all Pool Receivables (other than any Receivable the Obligor of which
is an Affiliate of any Originator) on such day.

      "Delinquent Receivable" means a Receivable (a) as to which any payment, or
part thereof, remains unpaid for more than 90 days from the due date for such
payment or (b) without duplication, which has been (or consistent with the
Credit and Collection Policy, would be) classified as a Delinquent Receivable by
the applicable Originator. The `Outstanding Balance' of any Delinquent
Receivable the Obligor of which is not a Cancelled Obligor shall be determined
without regard to any credit memos or balances. The "Outstanding Balance" of any
Delinquent Receivable the Obligor of which is a Cancelled Obligor shall be
determined with regard to any credit memos or balances applicable to such
Cancelled Obligor provided that such credit memos or balances are applied in
chronological order beginning with the most current "Outstanding Balances";
provided, however, that if such credit memos or balances exceed the "Outstanding
Balances" of such Cancelled Obligor then the excess of such credit memos or
balances over such "Outstanding Balances" shall be applied and reported to the
"current aging" category as set forth on the Information Package.

      "Dilution Ratio" means the ratio (expressed as a percentage and rounded to
the nearest 1/100th of 1%, with 5/1000th of 1% rounded upward), computed as of
the last day of each calendar month by dividing: (a) the aggregate amount of
payments made or owed by the Seller pursuant to Section 1.4(e)(i) of the
Agreement during such calendar month excluding payments related to Ineligible
Elimination Amounts, Specifically Reserved Dilution Amount and amounts reported
as non-dilutive credits and rebills on the Information Package, by (b) the
aggregate credit sales made by the Originators during the calendar month that is
one month prior to such calendar month.

      "Dilution Reserve" means, on any day, an amount equal to: (a) the
Aggregate Investment at the close of business of the Servicer on such date
multiplied by (b) (i) the Dilution Reserve Percentage on such date, divided by
(ii) 100% minus the Dilution Reserve Percentage on such date.

                                      I-5
<PAGE>

      "Dilution Reserve Percentage" means, on any date that the Servicer has
long-term senior unsecured debt ratings as set forth in the grid below, the
applicable percentage determined in accordance with the formula indicated under
the heading "Dilution Reserve Percentage Clause":

                          YORK RECEIVABLES FUNDING LLC
                           DILUTION RESERVE PERCENTAGE

<TABLE>
<CAPTION>
                                                                 DILUTION RESERVE PERCENTAGE
 MOODY'S RATING                            S&P RATING                    CLAUSE
------------------                    ------------------         ----------------------------
<S>                                   <C>                        <C>
Better than Baa1                        Better than BBB+                  (I)
      Baa1                                    BBB+                        (I)
      Baa1                                     BBB                       (II)
      Baa1                                    BBB-                       (II)
      Baa1                               Lower than BBB-                 (III)
      Baa2                                    BBB+                       (II)
      Baa2                                     BBB                       (II)
      Baa2                                    BBB-                       (II)
      Baa2                               Lower than BBB-                 (III)
      Baa3                                    BBB+                       (II)
      Baa3                                     BBB                       (II)
      Baa3                                BBB- or Lower                  (III)
 Lower than Baa3                              BBB+                       (III)
 Lower than Baa3                               BBB                       (III)
 Lower than Baa3                              BBB-                       (III)
 Lower than Baa3                         Lower than BBB-                 (III)
    Not Rated                                Not Rated                   (III)
</TABLE>

Ratings based on Servicer's long-term unsecured debt ratings.

Where:
   (I)      = 10%

  (II)      the greater of (a) 10.00%,or (b) the percentage determined by the
            following formula: ED x DHR

 (III)      the greater of (a) 10.00% or (b) the percentage determined by the
            following formula: [[(2.0 x ED) + ((DS-ED) x DS/ED))] x DHR];

provided that, (i) if the Servicer has only one long-term unsecured debt rating,
the Servicer may obtain an additional long-term senior unsecured debt rating
from a nationally recognized rating agency reasonably acceptable to the
Administrative Agent, and until the issuance of such additional rating, the
Dilution Reserve Percentage shall be determined by reference to the ratings
level which is one ratings level lower than the ratings level of the available
rating and (ii) if any rating shall be changed (other than as a result of a
change in the rating system of the applicable Rating Agency), such change shall
be effective as of the date on which such change is first announced by the
applicable Rating Agency.

                                      I-6
<PAGE>

For the purposes of this definition, the abbreviations set forth in the formulas
above shall have the following meanings:

ED = the "Expected Dilution," which shall be equal to the 12-month rolling
average Dilution Ratio, expressed as a percentage;

DS = the "Dilution Spike," which shall be equal to the highest one month
Dilution Ratio over the immediately preceding 12 months, expressed as a
percentage; and

DHR = the "Dilution Horizon Ratio," which shall be equal to the aggregate credit
sales made by the Originators (other than sales to Obligors which are Affiliates
of any Originator) during the two preceding calendar months divided by the Net
Receivables Pool Balance as of the last day of most recent calendar month;
provided, however, if the Servicer has a rating of at least BBB- from Standard &
Poor's and Baa3 from Moody's, the "Dilution Horizon Ratio" shall be equal to:

(i) the aggregate credit sales made by the Originators (other than sales to
Obligors which are Affiliates of any Originator) during the preceding calendar
month plus (ii) 50% of the aggregate credit sales made by the Originators (other
than sales to Obligors which are Affiliates of any Originator) during the
penultimate calendar month.

      "Discount" means with respect to any Purchaser:

            (a) for any Portion of Investment for any Yield Period with respect
      to any Purchaser to the extent such Portion of Investment will be funded
      by such Purchaser during such Yield Period through the issuance of Notes:

                                CPR x I x ED/360

            (b) for any Portion of Investment for any Yield Period with respect
      to any Purchaser to the extent such Portion of Investment will not be
      funded by such Purchaser during such Yield Period through the issuance of
      Notes:

                              YR x I x ED/Year + TF

      where:

            YR     =    the Yield Rate, as applicable, for such Portion of
                        Investment for such Yield Period with respect to such
                        Purchaser,

            I      =    the Investment with respect to such Portion of
                        Investment during such Yield Period with respect to such
                        Purchaser,

            CPR    =    the CP Rate for the Portion of Investment for such Yield
                        Period with respect to such Purchaser,

            ED     =     the actual number of days during such Yield Period,

                                      I-7
<PAGE>

            Year   =    if such Portion of Investment is funded based upon: (a)
                        the Euro-Rate, 360 days, and (b) the Base Rate, 365 or
                        366 days, as applicable, and

            TF      =   the Termination Fee, if any, for the Portion of
                        Investment for such Yield Period with respect to such
                        Purchaser;

provided, that no provision of the Agreement shall require the payment or permit
the collection of Discount in excess of the maximum permitted by applicable law;
and provided further, that Discount for any Portion of Investment shall not be
considered paid by any distribution to the extent that at any time all or a
portion of such distribution is rescinded or must otherwise be returned for any
reason.

      "Eligible Foreign Obligor" means an Obligor which is:

      (a) (i) a resident of any country listed on Annex F to the Agreement, (ii)
a member of the Organisation for Economic Co-operation and Development (or any
successor organization) and (iii) has a short-term foreign currency rating (or,
if such country does not have such a short-term foreign currency rating, a
long-term foreign currency rating) of at least "A-2" (or "A+") by Standard &
Poor's and "P-2" (or "A1") by Moody's; provided, that the Eligible Receivables
(to the extent that they satisfy each of the other requirements in the
definition of Eligible Receivable) related to such Obligors in the aggregate,
shall not exceed 5.00% of the aggregate Outstanding Balance of all other
Eligible Receivables at such time; or

      (b) (i) a Canadian resident, (ii) a member of the Organisation for
Economic Co-operation and Development (or any successor organization), and (iii)
Canada then maintains a short-term foreign currency rating (or, if Canada does
not have such a short-term foreign currency rating, a long-term foreign currency
rating) of at least "A-1" (or "A+") by Standard & Poor's and "P-1" (or "A1") by
Moody's; provided that Eligible Receivables (to the extent that they satisfy
each of the other requirements in the definition of Eligible Receivable),
related to such Obligors in the aggregate shall not exceed 5.00% of the
aggregate Outstanding Balance of all other Eligible Receivables at such time.

      "Eligible Receivable" means, at any time, a Pool Receivable:

            (a)   the Obligor of which is: (A)(i) a United States resident or
      (ii) an Eligible Foreign Obligor, (B) such Receivable results from goods
      and services sold in and performed in and/or shipped from the United
      States by the applicable Originator and (C) payment for such goods and
      services is denominated and payable only in U.S. dollars in the United
      States and payable to such Originator at a Lock-Box Bank and subject to a
      Lock-Box Agreement, (D) not a Government Authority; provided, however,
      that if the Obligor of such Receivable is a Government Authority, such
      Receivable shall be deemed to satisfy the requirements of this clause (D)
      to the extent that the sum of aggregate Outstanding Balance of such
      Receivables at such time is less than or equal to 6.00% of the aggregate
      Outstanding Balance of all other Eligible Receivables at such time, as
      determined, without giving effect to this proviso or the provisos to
      clause (a)(i); provided, further that if a Servicer Downgrade Event
      exists, the percentage of Receivables the

                                      I-8
<PAGE>

      Obligors of which are Government Authorities described in clause (D) above
      shall automatically be reduced to zero (0.00%) (it being understood that
      during the continuance of a Servicer Downgrade Event, if, with respect to
      any Receivable the Obligor of which is a Government Authority, the Seller
      and the applicable Originator shall have provided evidence reasonably
      satisfactory to the Administrator that any such Receivable complies fully
      with the Federal Assignment of Claims Act and all other similar applicable
      laws of Governmental Authorities with respect to any transfer or pledge of
      such Receivable have been fully complied with and such Receivable
      otherwise satisfies the requirements of this definition, such Receivable
      shall be deemed to satisfy the requirements of this clause (D) upon
      written notice thereof by the Administrator; (iii) not subject to any
      action of the type described in paragraph (f) of Exhibit V to the
      Agreement; and (iv) not an Affiliate of York (for the avoidance of doubt,
      after each of the conditions set forth in Section (q) of paragraph 1 of
      Exhibit IV are satisfied, no foreign receivable shall be an "Eligible
      Receivable" hereunder),

            (b)   that is denominated and payable only in U.S. dollars in the
      United States,

            (c)   that does not have a stated maturity which is more than 60
      days after the original invoice date of such Receivable; provided,
      however, that up to 10.00% of the aggregate Outstanding Balance of all
      Receivables may have a stated maturity which is more than 60 days but not
      more than 180 days from the original invoice date of such Receivable;
      provided, further, that up to 10.00% of the aggregate Outstanding Balance
      of all Receivables may have a stated maturity which is more than 180 days
      but not more than 360 days from the original invoice date of such
      Receivables and such Receivables are covered by an insurance policy in
      form and substance acceptable to the Purchasers,

            (d)   that arises under a duly authorized Contract for the sale and
      delivery of goods and services in the ordinary course of an Originator's
      business,

            (e)   that arises under a duly authorized Contract that is in full
      force and effect and that is a legal, valid and binding obligation of the
      related Obligor, enforceable against such Obligor in accordance with its
      terms,

            (f)   that conforms in all material respects with all applicable
      laws, rulings and regulations in effect,

            (g)   that is not the subject of any asserted dispute, offset, hold
      back defense, Adverse Claim or other claim,

            (h)   that satisfies all applicable requirements of the applicable
      Credit and Collection Policy,

            (i)   that has not been modified, waived or restructured since its
      creation, except as permitted pursuant to Section 4.2 of the Agreement,

            (j)   in which the Seller owns good and marketable title, free and
      clear of any Adverse Claims, and that is freely assignable by the Seller
      (including without any consent of the related Obligor),

                                      I-9
<PAGE>

            (k)   for which the Administrator (for the benefit of each
      Purchaser) shall have a valid and enforceable undivided percentage
      ownership or security interest, to the extent of the Purchased Interest,
      and a valid and enforceable first priority perfected security interest
      therein and in the Related Security and Collections with respect thereto,
      in each case free and clear of any Adverse Claim,

            (l)   that constitutes an account as defined in the UCC, and that is
      not evidenced by instruments or chattel paper,

            (m)   that is not a Defaulted Receivable or a Delinquent Receivable,

            (n)   for which none of the Originator thereof, the Seller and the
      Servicer has established any offset arrangements with the related Obligor,

            (o)   for which Defaulted Receivables of the related Obligor
      do not exceed 25% of the Outstanding Balance of all such Obligor's
      Receivables,

            (p)   that represents amounts earned and payable by the Obligor that
      are not subject to the performance of additional services by the
      Originator or Servicer thereof, including without limitation, any progress
      billed Receivables,

            (q)   the Obligor of which is neither a Cancelled Distributor, nor
      Rheem Manufacturing Company or any of its successors,

            (r)   does not have "pay-when-pay" or other similar terms where the
      related original due date is not a date certain set forth in the related
      Contract; provided however, that so long as such Receivable meets all of
      the other requirements of this definition, up to 2.00% of the aggregate
      Outstanding Balance of all Eligible Receivables may be "Eligible
      Receivables" without satisfying this clause (r), and

            (s)   that represents amounts payable by the Obligor that are not
      related to maintenance billings that are billed in advance of the related
      service period or performance as set forth on the Servicer's books and
      records; provided however so long as a Receivable meets all of the other
      requirements of this definition, up to 4.00% of the aggregate Outstanding
      Balance of all Eligible Receivables may be "Eligible Receivables" without
      satisfying this clause (s).

      "ERISA" means the Employee Retirement Income Security Act of 1974, as
amended from time to time, and any successor statute of similar import, together
with the regulations thereunder, in each case as in effect from time to time.
References to sections of ERISA also refer to any successor sections.

      "ERISA Affiliate" means: (a) any corporation that is a member of the same
controlled group of corporations (within the meaning of Section 414(b) of the
Internal Revenue Code) as the Seller, any Originator or York, (b) a trade or
business (whether or not incorporated) under common control (within the meaning
of Section 414(c) of the Internal Revenue Code) with the Seller, any Originator
or York, or (c) a member of the same affiliated service group (within the

                                      I-10
<PAGE>

meaning of Section 414(m) of the Internal Revenue Code) as the Seller, any
Originator, any corporation described in clause (a) or any trade or business
described in clause (b).

      "Euro-Rate" means with respect to any Yield Period, the interest rate per
annum determined by the Administrator by dividing (the resulting quotient
rounded upwards, if necessary, to the nearest 1/100th of 1% per annum) (i) the
rate of interest determined by the applicable Purchaser Agent in accordance with
its usual procedures (which determination shall be conclusive absent manifest
error) to be the average of the London interbank market offered rates for U.S.
dollars quoted by the BBA as set forth on Dow Jones Markets Service (formerly
known as Telerate) (or appropriate successor or, if BBA or its successor ceases
to provide display page 3750 (or such other display page on the Dow Jones
Markets Service system as may replace display page 3750) at or about 11:00 a.m.
(London time) on the Business Day which is two (2) Business Days prior to the
first day of such Yield Period for an amount comparable to the Portion of
Investment to be funded at the Yield Rate and based upon the Euro-Rate during
such Yield Period by (ii) a number equal to 1.00 minus the Euro-Rate Reserve
Percentage. The Euro-Rate may also be expressed by the following formula:

                      Average of London interbank offered rates quoted
                      by BBA as shown on Dow Jones Markets Service
                      display page 3750 or appropriate successor
      Euro-Rate = --------------------------------------------------
                        1.00 - Euro-Rate Reserve Percentage

where "Euro-Rate Reserve Percentage" means, the maximum effective percentage in
effect on such day as prescribed by the Board of Governors of the Federal
Reserve System (or any successor) for determining the reserve requirements
(including without limitation, supplemental, marginal, and emergency reserve
requirements) with respect to eurocurrency funding (currently referred to as
"Eurocurrency Liabilities"). The Euro-Rate shall be adjusted with respect to any
Portion of Investment funded at the Yield Rate and based upon the Euro-Rate that
is outstanding on the effective date of any change in the Euro-Rate Reserve
Percentage as of such effective date. The applicable Purchaser Agent shall give
prompt notice to the Seller of the Euro-Rate as determined or adjusted in
accordance herewith (which determination shall be conclusive absent manifest
error).

      "Excess Concentration" means, on any date, the sum of the amounts by which
the Outstanding Balance of Eligible Receivables of each Obligor then in the
Receivables Pool exceeds an amount equal to: (a) the applicable Concentration
Percentage for such Obligor multiplied by (b) the Outstanding Balance of all
Eligible Receivables, on such date.

      "Excluded Foreign Receivables" each Receivable, the Obligor of which is
not a United States resident to the extent originated from and after the cut-off
date identified in the notice under Section (q) of section 1 of Exhibit IV.

      "Exiting Notice" has the meaning set forth in Section 1.4(b)(ii).

      "Exiting Purchaser" has the meaning set forth in Section 1.4(b)(ii).

                                      I-11
<PAGE>

      "Facility Termination Date" means the earliest to occur of: (a) with
respect to each Purchaser, May 16, 2005, subject to any extension pursuant to
Section 1.10 of the Agreement (it being understood that if any such Purchaser
does not extend its Commitment hereunder then the Purchase Limit shall be
reduced ratably with respect to the Purchasers in each Purchaser Group by an
amount equal to the Commitment of such Exiting Purchaser and the Commitment
Percentages and Group Commitments of the Purchasers within each Purchaser Group
shall be appropriately adjusted), (b) the date determined pursuant to Section
2.2 of the Agreement, (c) the date the Purchase Limit reduces to zero pursuant
to Section 1.1(b) of the Agreement, (d) with respect to each Purchaser Group,
the date that the commitments of all of the Liquidity Providers terminate under
the related Liquidity Agreements, (e) with respect to each Purchaser Group, the
date that the commitment, of all of the Related Committed Purchasers of such
Purchaser Group terminate pursuant to Section 1.10 and (f) the failure to cause
the amendment or modification of any Transaction Document or related opinion as
required by Moody's or Standard & Poor's and such failure shall continue for 10
Business Days after such amendment is initially requested.

      "Federal Funds Rate" means, for any day, the per annum rate set forth in
the weekly statistical release designated as H.15(519), or any successor
publication, published by the Federal Reserve Board (including any such
successor, "H.15(519)") for such day opposite the caption "Federal Funds
(Effective)." If on any relevant day such rate is not yet published in
H.15(519), the rate for such day will be the rate set forth in the daily
statistical release designated as the Composite 3:30 p.m. Quotations for U.S.
Government Securities, or any successor publication, published by the Federal
Reserve Bank of New York (including any such successor, the "Composite 3:30 p.m.
Quotations") for such day under the caption "Federal Funds Effective Rate." If
on any relevant day the appropriate rate is not yet published in either
H.15(519) or the Composite 3:30 p.m. Quotations, the rate for such day will be
the arithmetic mean as determined by the applicable Purchaser Agent of the rates
for the last transaction in overnight Federal funds arranged before 9:00 a.m.
(New York time) on that day by each of three leading brokers of Federal funds
transactions in New York City selected by such Purchaser Agent.

      "Federal Reserve Board" means the Board of Governors of the Federal
Reserve System, or any entity succeeding to any of its principal functions.

      "Fees" means the fees payable by the Seller to each Purchaser Group
pursuant to the applicable Purchaser Group Fee Letter.

      "Funding Plan" means, a written report delivered by the Seller (or the
Servicer on its behalf) to the Administrator and each Purchaser Agent on or
before the first Business Day of each calendar month setting forth each Business
Day during such calendar month that the Seller anticipates either making a
purchase (but not a reinvestment) in accordance with and subject to the terms
and provisions of the Agreement (including Section 1.1(a)) or causing a
reduction in the Aggregate Investment in accordance with and pursuant to the
terms and provisions of the Agreement (including Section 1.4(f)); provided, that
in no event shall the total number of Business Days for such anticipated changes
set forth any Funding Plan on which either a purchase or a reduction is
anticipated exceed four.

      "GAAP" means the generally accepted accounting principles and practices in
the United States, consistently applied.

                                      I-12
<PAGE>

      "Gotham" has the meaning set forth in the preamble to the Agreement.

      "Gotham Base Rate" means, in the case of Gotham or any Purchaser in its
Purchaser Group, for any day, a fluctuating interest rate per annum as shall be
in effect from time to time, which rate shall be at all times equal to the
higher of:

            (a)   the rate of interest in effect for such day as publicly
      announced from time to time by BTM Trust Company as its "prime rate" in
      the United States, such rate to change as and when such designated rate
      changes (this "prime rate" is not intended to be the lowest rate of
      interest charged by BTM Trust Company in connection with extensions of
      credit to debtors), and

            (b)   0.50% per annum above the latest Federal Funds Rate determined
      by its Purchaser Agent.

      "Gotham CP Rate" means, with respect to Gotham for any Yield Period with
respect to any Portion of Investment, the per annum rate calculated by its
Purchaser Agent to reflect Gotham's cost of financing such Portion of
Investment, taking into account the "weighted average cost" (as defined below)
related to the issuance of Gotham's Notes that are allocated, in whole or in
part, by Gotham (or by its Purchaser Agent) to fund or maintain such Portion of
Investment (and which may also be allocated in part to the funding of other
Portions of Investment hereunder or of other assets of Gotham); provided,
however, that if any component of such rate is a discount rate, in calculating
the "Gotham CP Rate" for such Portion of Investment for such Yield Period,
Gotham shall for such component use the rate resulting from converting such
discount rate to an interest bearing equivalent rate per annum. As used in this
definition, Gotham's "weighted average cost" shall consist of (x) the actual
interest rate (or discount) paid to purchasers of Gotham's Notes, together with
the commissions of placement agents and dealers in respect of such Notes, to the
extent such commissions are allocated, in whole or in part, to such Notes by
Gotham (or by its Purchaser Agent) and (y) any incremental carrying costs
incurred with respect to Gotham's Notes maturing on dates other than those on
which corresponding funds are received by Gotham. Notwithstanding the foregoing,
the "Gotham CP Rate" for any day while a Termination Event exists shall be an
interest rate equal to 2% above the Gotham Base Rate in effect on such day.

      "Gotham Yield Rate" for any Yield Period for any Portion of Investment of
the Purchased Interest in the case of Gotham or any Purchaser in its Purchaser
Group, means an interest rate per annum equal to: (a) the rate set forth as the
"Applicable Margin" in the Purchaser Group Fee Letter relating to Gotham above
the Euro-Rate for such Yield Period, or (b) if requested by the Seller, the Base
Rate for such Yield Period; provided, however, that in the case of:

            (i)   any Yield Period on or before the first day of which the
      Administrator shall have been notified by any Purchaser within the Gotham
      Purchaser Group or other Program Support Provider that the introduction of
      or any change in or in the interpretation of any law or regulation makes
      it unlawful, or any central bank or other Governmental Authority asserts
      that it is unlawful, for such Person, to fund any Euro-

                                      I-13
<PAGE>

      Rate Portion of Investment (and such Person shall not have subsequently
      notified the Administrator that such circumstances no longer exist),

            (ii)  any Yield Period of one to (and including) 29 days,

            (iii) any Yield Period as to which the Administrator does not
      receive notice before noon (New York City time) on the third Business Day
      preceding the first day of such Yield Period that the Seller desires that
      the related Portion of Investment be a Euro-Rate Portion of Investment, or

            (iv)  any Yield Period relating to a Portion of Investment that is
      less than $5,000,000,

the "Yield Rate" for each such Yield Period shall be an interest rate per annum
equal to the Base Rate in effect on each day of such Yield Period. The "Yield
Rate" for any day while a Termination Event exists shall be an interest rate
equal to 2.5% per annum above the applicable Base Rate in effect on such day.

      "Governmental Authority" means any nation or government, any state or
other political subdivision thereof, any central bank (or similar monetary or
regulatory authority) thereof, any body or entity exercising executive,
legislative, judicial, regulatory or administrative functions of or pertaining
to government, including any court, and any Person owned or controlled, through
stock or capital ownership or otherwise, by any of the foregoing.

      "Group A Obligor" means an Obligor with a short-term senior unsecured
indebtedness rating (or, if such Obligor does not have such a short-term rating,
a long-term senior unsecured indebtedness rating) of at least "A-1" (or "A+") by
Standard & Poor's and "P-1" (or "A1") by Moody's.

      "Group B Obligor" means an Obligor with a short-term senior unsecured
indebtedness rating (or, if such Obligor does not have such a short-term rating,
a long-term senior unsecured indebtedness rating) of at least "A-2" (or "BBB+")
by Standard & Poor's and "P-2" (or "Baa1") by Moody's, that is not a Group A
Obligor.

      "Group C Obligor" means an Obligor with a short-term senior unsecured
indebtedness rating (or, if such Obligor does not have such a short-term rating,
a long-term senior unsecured indebtedness rating) of at least "A-3" (or "BBB-")
by Standard & Poor's and "P-3" (or "Baa3") by Moody's, that is not a Group A
Obligor or a Group B Obligor.

      "Group Commitment" means with respect to any Purchaser Group the aggregate
of the Commitments of each Purchaser within such Purchaser Group.

      "Group D Obligor" means an Obligor which is not a Group A Obligor, a Group
B Obligor, a Group C Obligor or an Eligible Foreign Obligor.

      "Group Investment" means with respect to any Purchaser Group, an amount
equal to the aggregate of all Investments of the Purchasers within such
Purchaser Group.

                                      I-14
<PAGE>

      "Indemnified Amounts" has the meaning set forth in Section 3.1 of the
Agreement.

      "Indemnified Party" has the meaning set forth in Section 3.1 of the
Agreement.

      "Independent Director" has the meaning set forth in paragraph 3(c) of
Exhibit IV to the Agreement.

      "Ineligible Elimination Amounts" means amounts which are reported by the
Servicer as inputs to the Information Package as credit memos or aged invoices
which relate to Receivables, the Obligors of which are Cancelled Distributors.

      "Information Package" means a report, in substantially the form of Annex A
to the Agreement (with appropriate additions and adjustments as may be requested
by the Administrator or any Purchaser Agent, as such requested additions or
adjustments are reasonably available or determinable by the Servicer), including
all supporting input information, source data information, worksheets and
calculations furnished to the Administrator and each Purchaser Group Agent
pursuant to the Agreement.

      "Insolvency Proceeding" means: (a) any case, action or proceeding before
any court or other Governmental Authority relating to bankruptcy,
reorganization, insolvency, liquidation, receivership, dissolution, winding-up
or relief of debtors, or (b) any general assignment for the benefit of creditors
of a Person or, composition, marshaling of assets for creditors of a Person, or
other, similar arrangement in respect of its creditors generally or any
substantial portion of its creditors, in each of cases (a) and (b) undertaken
under U.S. Federal, state or foreign law, including the Bankruptcy Code.

      "Internal Revenue Code" means the Internal Revenue Code of 1986, as
amended from time to time, and any successor statute of similar import, together
with the regulations thereunder, in each case as in effect from time to time.
References to sections of the Internal Revenue Code also refer to any successor
sections.

      "Investment" means with respect to any Purchaser the amount paid to the
Seller by such Purchaser pursuant to the Agreement, or such amount divided or
combined in accordance with the Agreement, in each case reduced from time to
time by Collections distributed and applied on account of such Investment
pursuant to Section 1.4(d) of the Agreement; provided, that if such Investment
shall have been reduced by any distribution and thereafter all or a portion of
such distribution is rescinded or must otherwise be returned for any reason,
such Investment shall be increased by the amount of such rescinded or returned
distribution as though it had not been made.

      "Liberty Street" has the meaning set forth in the preamble to the
Agreement.

      "Liberty Street Base Rate" means, in the case of Liberty Street or any
Purchaser in its Purchaser Group, for any day, a fluctuating interest rate per
annum as shall be in effect from time to time, which rate shall be at all times
equal to the higher of:

      (a) the rate of interest in effect for such day as publicly announced from
time to time by BNS in New York, New York as its "reference rate". Such
"reference rate" is set by BNS based

                                      I-15
<PAGE>

upon various factors, including BNS's costs and desired return, general economic
conditions and other factors, and is used as a reference point for pricing some
loans, which may be priced at, above or below such announced rate, and

      (b) 0.50% per annum above the latest Federal Funds Rate.

      "Liberty Street CP Rate" means, with respect to Liberty Street for any
Yield Period with respect to any Portion of Investment, the per annum rate
equivalent to the "weighted average cost" (as defined below) related to the
issuance of Liberty Street's Notes that are allocated, in whole or in part, by
Liberty Street (or by its Purchaser Agent) to fund or maintain such Portion of
Investment (and which may also be allocated in part to the funding of other
Portions of Investment hereunder or of other assets of Liberty Street);
provided, however, that if any component of such rate is a discount rate, in
calculating the "Liberty Street CP Rate" for such Portion of Investment for such
Yield Period, Liberty Street shall for such component use the rate resulting
from converting such discount rate to an interest bearing equivalent rate per
annum. As used in this definition, Liberty Street's "weighted average cost"
shall consist of (x) the actual interest rate (or discount) paid to purchasers
of Liberty Street's Notes, together with the commissions of placement agents and
dealers in respect of such Notes, to the extent such commissions are allocated,
in whole or in part, to such Notes by Liberty Street (or by its Purchaser Agent)
and (y) any incremental carrying costs incurred with respect to Liberty Street's
Notes maturing on dates other than those on which corresponding funds are
received by Liberty Street. Notwithstanding the foregoing, the "Liberty Street
CP Rate" for any day while a Termination Event exists shall be an interest rate
equal to 2% above the Base Rate in effect on such day.

      "Liberty Street Yield Rate" for any Yield Period for any Portion of
Investment of the Purchased Interest in the case of Liberty Street or any
Purchaser in its Purchaser Group, means an interest rate per annum equal to: (a)
the rate set forth as the "Applicable Margin" in the Purchaser Group Fee Letter
relating to Liberty Street above the Euro-Rate for such Yield Period, or (b) if
requested by the Seller the Base Rate for such Yield Period; provided, however,
that in the case of:

                  (i)   any Yield Period on or before the first day of which BNS
            shall have been notified by any Purchaser within the Liberty Street
            Purchaser Group or other Program Support Provider that the
            introduction of or any change in or in the interpretation of any law
            or regulation makes it unlawful, or any central bank or other
            Governmental Authority asserts that it is unlawful, for such Person,
            to fund any Euro-Rate Portion of Investment (and such Person shall
            not have subsequently notified BNS that such circumstances no longer
            exist),

                  (ii)  any Yield Period of one to (and including) 29 days,

                  (iii) any Yield Period as to which BNS does not receive notice
            before noon (New York City time) on the third Business Day preceding
            the first day of such Yield Period that the Seller desires that the
            related Portion of Investment be a Euro-Rate Portion of Investment,
            or

                                      I-16
<PAGE>

                  (iv)  any Yield Period relating to a Portion of Investment
            that is less than $5,000,000,

the "Yield Rate" for each such Yield Period shall be an interest rate per annum
equal to the Base Rate in effect on each day of such Yield Period. The "Yield
Rate" for any day while a Termination Event exists shall be an interest rate
equal to 2% per annum above the applicable Base Rate in effect on such day.

      "Liquidity Agent" means each of the banks acting as agent for the various
Liquidity Banks under each Liquidity Agreement.

      "Liquidity Agreement" means any agreement entered into in connection with
this Agreement pursuant to which a Liquidity Provider agrees to make purchases
or advances to, or purchase assets from, any Conduit Purchaser in order to
provide liquidity for such Conduit Purchaser's Purchases.

      "Liquidity Provider" means each bank or other financial institution that
provides liquidity support to any Conduit Purchaser pursuant to the terms of a
Liquidity Agreement.

      "Lock-Box Account" means an account in the name of the Seller and
maintained by the Seller at a bank or other financial institution for the
purpose of, directly or indirectly, receiving Collections.

      "Lock-Box Agreement" means (i) with respect to any lock-box agreement
executed prior to the Closing Date, an agreement, among, inter alia, each
applicable Originator, the Seller, the Servicer, the Administrator and a
Lock-Box Bank and (ii) with respect to any lock-box agreement executed on or
after the Closing Date, an agreement, among, inter alia, each Originator, the
Seller, the Servicer, the Administrator and a Lock-Box Bank.

      "Lock-Box Bank" means any of the banks or other financial institutions
holding one or more Lock-Box Accounts.

      "Loss Horizon" (a) (i) at all times during which the Current Days' Sales
Outstanding is less than or equal to 45, the aggregate credit sales (other than
sales made to an Obligor which is an Affiliate of any Originator) made by the
Originators during the five most recent calendar months, and (ii) at all other
times, the aggregate credit sales (other than sales made to an Obligor which is
an Affiliate of any Originator) made by the Originators during the six most
recent calendar months divided by (b) the Net Receivables Pool Balance as of
such date.

      "Loss Reserve" means, on any date, an amount equal to (a) the Aggregate
Investment at the close of business of the Servicer on such date multiplied by
(b) (i) the Loss Reserve Percentage on such date divided by (2) 100% minus the
Loss Reserve Percentage on such date.

      "Loss Reserve Percentage" means, on any date, the greater of, (a) 15.0%
and (b) the product of (i) 2 times (ii) the highest average of the Default
Ratios for any three consecutive calendar months during the twelve most recent
calendar months multiplied by (iii) the Loss Horizon.

                                      I-17
<PAGE>

      "Majority Purchasers" means, at any time, Purchasers whose Commitments
aggregate more than 66.67% of the aggregate of the Commitments of all
Purchasers; provided, however, that so long as any Purchaser's Commitment is
greater than 50% of the aggregate Commitments, then "Majority Purchasers" shall
mean a minimum of two Purchasers whose Commitments aggregate more than 50% of
the aggregate Commitments.

      "Material Adverse Effect" means, relative to any Person with respect to
any event or circumstance, a material adverse effect on:

            (a)   the assets, operations, business or financial condition of
      such Person.

            (b)   the ability of any of such Person to perform its obligations
      under the Agreement or any other Transaction Document to which it is a
      party,

            (c)   the validity or enforceability of any other Transaction
      Document, or the validity, enforceability or collectibility of a material
      portion of the Pool Receivables, or

            (d)   the status, perfection, enforceability or priority of any
      Purchaser's or the Seller's interest in the Pool Assets.

      "Moody's" means Moody's Investors Service, Inc.

      "Net Receivables Pool Balance" means, at any time: (a) the Outstanding
Balance of Eligible Receivables then in the Receivables Pool minus (b) the sum
of (i) the Excess Concentration and (ii) Specifically Reserved Dilution Amount;
provided that such calculation shall exclude the Receivables for which the
related Obligor has a net credit balance with respect to such Obligor's Eligible
Receivables.

      "Notes" means short-term promissory notes issued, or to be issued, by each
Conduit Purchaser to fund its investments in accounts receivable or other
financial assets.

      "Obligor" means, with respect to any Receivable, the Person obligated to
make payments pursuant to the Contract relating to such Receivable.

      "Original Agreement" has the meaning set forth in the preliminary
statements of the Agreement.

      "Original Agreement Outstanding Amounts" has the meaning set forth in the
preliminary statements of the Agreement.

      "Originator" has the meaning set forth in the Purchase and Sale Agreement.

      "Originator Assignment Certificate" means each assignment, in
substantially the form of Exhibit C to the Purchase and Sale Agreement,
evidencing Seller's ownership of the Receivables generated by Originator, as the
same may be amended, supplemented, amended and restated, or otherwise modified
from time to time in accordance with the Purchase and Sale Agreement.

                                      I-18
<PAGE>

      "Outstanding Balance" of any Receivable at any time means the then
outstanding principal balance thereof.

      "Payment Date" has the meaning set forth in Section 2.2 of the Purchase
and Sale Agreement.

      "Performance Guaranty" means the Amended and Restated Performance
Guaranty, dated as of the Closing Date, by York in favor of the Administrator,
on behalf of the Purchasers, as such agreement may be amended, amended and
restated, supplemented or otherwise modified from time to time.

      "Person" means an individual, partnership, corporation (including a
business trust), joint stock company, trust, unincorporated association, joint
venture, limited liability company or other entity, or a government or any
political subdivision or agency thereof.

      "Pool Assets" has the meaning set forth in Section 1.2(d) of the
Agreement.

      "Pool Receivable" means a Receivable in the Receivables Pool.

      "Portion of Investment" means, with respect to any Purchaser and its
related Investment, the portion of such Investment being funded or maintained by
such Purchaser by reference to a particular interest rate basis.

      "Program Administration Agreement" means that certain management agreement
between Gotham and BTM Trust Company governing certain aspects of the
administration of Gotham's commercial paper facility.

      "Program Administrator" means Bank of Tokyo-Mitsubishi Trust Company, a
New York corporation and its successors under the Program Administration
Agreement.

      "Program Support Agreement" means and includes any Liquidity Agreement and
any other agreement entered into by any Program Support Provider providing for:
(a) the issuance of one or more letters of credit for the account of any Conduit
Purchaser, (b) the issuance of one or more surety bonds for which the such
Conduit Purchaser is obligated to reimburse the applicable Program Support
Provider for any drawings thereunder, (c) the sale by such Conduit Purchaser to
any Program Support Provider of the Purchased Interest (or portions thereof)
maintained by such Conduit Purchaser and/or (d) the making of loans and/or other
extensions of credit to any Conduit Purchaser in connection with such Conduit
Purchaser's securitization program contemplated in the Agreement, together with
any letter of credit, surety bond or other instrument issued thereunder (but
excluding any discretionary advance facility provided by the Administrator).

      "Program Support Provider" means and includes with respect to each Conduit
Purchaser any Liquidity Provider and any other Person (other than any customer
of such Conduit Purchaser) now or hereafter extending credit or having a
commitment to extend credit to or for the account of, or to make purchases from,
such Conduit Purchaser pursuant to any Program Support Agreement.

                                      I-19
<PAGE>

      "Purchase" is defined in Section 1.1(a).

      "Purchase and Sale Agreement" means the Purchase and Sale Agreement, dated
as of December 21, 2001, among the Seller and the Originators, as such agreement
may be amended, amended and restated, supplemented or otherwise modified from
time to time.

      "Purchase and Sale Indemnified Amounts" has the meaning set forth in
Section 9.1 of the Purchase and Sale Agreement.

      "Purchase and Sale Indemnified Party" has the meaning set forth in Section
9.1 of the Purchase and Sale Agreement.

      "Purchase and Sale Termination Date" has the meaning set forth in Section
1.4 of the Purchase and Sale Agreement.

      "Purchase and Sale Termination Event" has the meaning set forth in Section
8.1 of the Purchase and Sale Agreement.

      "Purchase Date" means the date of which a Purchase or a reinvestment is
made pursuant to the Agreement.

      "Purchase Facility" has the meaning set forth in Section 1.1 of the
Purchase and Sale Agreement.

      "Purchase Limit" means $200,000,000, as such amount may be reduced
pursuant to Section 1.1(b) of the Agreement. References to the unused portion of
the Purchase Limit shall mean, at any time, the Purchase Limit minus the then
outstanding Aggregate Investment.

      "Purchase Price" has the meaning set forth in Section 2.1 of the Purchase
and Sale Agreement.

      "Purchase Report" has the meaning set forth in Section 2.2 of the Purchase
and Sale Agreement.

      "Purchased Interest" means, at any time, the undivided percentage
ownership interest in: (a) each and every Pool Receivable now existing or
hereafter arising, (b) all Related Security with respect to such Pool
Receivables and (c) all Collections with respect to, and other proceeds of, such
Pool Receivables and Related Security. Such undivided percentage interest shall
be computed as:

                      Aggregate Investment + Total Reserves
                  -----------------------------------------------
                          Net Receivables Pool Balance

      The Purchased Interest shall be determined from time to time pursuant to
Section 1.3 of the Agreement.

      "Purchaser" means each Conduit Purchaser and/or each Related Committed
Purchaser, as applicable.

                                      I-20
<PAGE>

      "Purchaser Agent" means each Person acting as agent on behalf of a
Purchaser Group and designated as a Purchaser Agent for such Purchaser Group on
the signature pages to the Agreement or any other Person who becomes a party to
this Agreement as a Purchaser Agent pursuant to an Assumption Agreement or a
Transfer Supplement.

      "Purchaser Group" means, for each Conduit Purchaser, such Conduit
Purchaser, its Related Committed Purchasers and its related Purchaser Agent.

      "Purchaser Group Fee Letter" has the meaning set forth in Section 1.5 of
the Agreement.

      "Purchasers' Share" of any amount means such amount multiplied by the
Purchased Interest at the time of determination.

      "Ratable Share" means, for each Purchaser Group, such Purchaser Group's
aggregate Commitments divided by the aggregate Commitments of all Purchaser
Groups.

      "Rating Agency" means each of Standard & Poor's and Moody's.

      "Rating Agency Condition" means, with respect to any material event or
occurrence, receipt by the Administrator (or the applicable Purchaser Agent) of
written confirmation from each of Standard & Poor's and Moody's that such event
or occurrence shall not cause the rating on the then outstanding Notes of any
applicable Conduit Purchaser to be downgraded or withdrawn.

      "Receivable" means any indebtedness and other obligations (whether or not
earned by performance) owed to the Seller or any Originator by, or any right of
the Seller or any Originator to payment from or on behalf of, an Obligor (other
than (i) any YorkSource Receivables, (ii) only after each of the conditions set
forth in clause (q) of paragraph 1 of Exhibit IV the Agreement have been
satisfied, Excluded Foreign Receivables and any other foreign receivables
included at the time of such Take-Out Securitization pursuant to and in
accordance with such clause (q), or (iii) such Originator's "Miami Export
Portfolio" relating to its Latin America operations and individuals on their
books and records under the indicator "Company 810"), whether constituting an
account, chattel paper, instrument or general intangible, arising in connection
with property or goods that have been or are to be sold or otherwise disposed
of, or services rendered or to be rendered by an Originator, and includes the
obligation to pay any finance charges, fees and other charges with respect
thereto. Indebtedness and other obligations arising from any one transaction,
including indebtedness and other obligations represented by an individual
invoice or agreement, shall constitute a Receivable separate from a Receivable
consisting of the indebtedness and other obligations arising from any other
transaction.

      "Receivables Pool" means, at any time, all of the then outstanding
Receivables purchased or otherwise acquired by the Seller pursuant to the
Purchase and Sale Agreement prior to the Facility Termination Date.

      "Related Committed Purchaser" means each Person listed as such (and its
respective Commitment) for each Conduit Purchaser as set forth on the signature
pages of the Agreement or in any Assumption Agreement or Transfer Supplement.

                                      I-21
<PAGE>

      "Related Rights" has the meaning set forth in Section 1.1 of the Purchase
and Sale Agreement.

      "Related Security" means, with respect to any Receivable:

            (a) all of the Seller's and the Originator thereof's interest in any
      goods (including returned goods), and documentation of title evidencing
      the shipment or storage of any goods (including returned goods), relating
      to any sale giving rise to such Receivable,

            (b) all instruments and chattel paper that may evidence such
      Receivable,

            (c) all other security interests or liens and property subject
      thereto from time to time purporting to secure payment of such Receivable,
      whether pursuant to the Contract related to such Receivable or otherwise,
      together with all UCC financing statements or similar filings relating
      thereto, and

            (d) all of the Seller's and the Originator thereof's rights,
      interests and claims under the Contracts and all guaranties, indemnities,
      insurance, letters of credit and other agreements (including the related
      Contract) or arrangements of whatever character from time to time
      supporting or securing payment of such Receivable or otherwise relating to
      such Receivable, whether pursuant to the Contract related to such
      Receivable or otherwise.

      "Seller" has the meaning set forth in the preamble to the Agreement.

      "Seller's Share" of any amount means the greater of: (a) $0 and (b) such
amount minus the product of (i) such amount multiplied by (ii) the Purchased
Interest.

      "Servicer" has the meaning set forth in the preamble to the Agreement.

      "Servicer Downgrade Event" means either a withdrawal of York's long-term
senior unsecured debt rating by Standard & Poor's or Moody's or the reduction of
such rating below "BBB-" by Standard & Poor's or below "Baa3" by Moody's.

      "Servicing Fee" shall mean the fee referred to in Section 4.6 of the
Agreement.

      "Settlement Date" means (a) prior to the Facility Termination Date the
23rd calendar day of each calendar month or if such day is not a Business Day
the next succeeding Business Day and (b) on and after the Facility Termination
Date, each day selected from time to time by the Administrator (it being
understood that the Administrator may select such Settlement Date to occur as
frequently as daily), or in the absence of any such selection, the day which
would be the Settlement Date for the Portion of Investment pursuant to clause
(a) of this definition; provided, that the initial Settlement Date shall be the
Closing Date.

      "Simple Majority" means, at any time, Purchasers whose Commitments
aggregate 50% or more of the aggregate of the Commitments of all Purchasers;
provided, however, that so long as any Purchaser's Commitment is greater than
50% but less than 100% of the aggregate

                                      I-22
<PAGE>

Commitments, then "Simple Majority" shall mean a minimum of two Purchasers whose
Commitments aggregate more than 50% of the aggregate Commitments.

      "Solvent" means, with respect to any Person at any time, a condition under
which:

            (a)   the fair value and present fair saleable value of such
      Person's total assets is, on the date of determination, greater than such
      Person's total liabilities (including contingent and unliquidated
      liabilities) at such time;

            (b)   the fair value and present fair saleable value of such
      Person's assets is greater than the amount that will be required to pay
      such Person's probable liability on its existing debts as they become
      absolute and matured ("debts," for this purpose, includes all legal
      liabilities, whether matured or unmatured, liquidated or unliquidated,
      absolute, fixed, or contingent);

            (c)   such Person is and shall continue to be able to pay all of its
      liabilities as such liabilities mature; and

            (d)   such Person does not have unreasonably small capital with
      which to engage in its current and in its anticipated business.

      For purposes of this definition:

            (A)   the amount of a Person's contingent or unliquidated
      liabilities at any time shall be that amount which, in light of all the
      facts and circumstances then existing, represents the amount which can
      reasonably be expected to become an actual or matured liability;

            (B)   the "fair value" of an asset shall be the amount which may be
      realized within a reasonable time either through collection or sale of
      such asset at its regular market value;

            (C)   the "regular market value" of an asset shall be the amount
      which a capable and diligent business person could obtain for such asset
      from an interested buyer who is willing to Purchase such asset under
      ordinary selling conditions; and

            (D)   the "present fair saleable value" of an asset means the amount
      which can be obtained if such asset is sold with reasonable promptness in
      an arm's-length transaction in an existing and not theoretical market.

      "Specifically Reserved Dilution Amount" means, at any time, the sum of (A)
the greater of (i) the UPG Cash Discount Reserve and (ii) an amount equal to the
product of (x) 0.008 and (y) the aggregate credit sales made by the Unitary
Products Group segment of York in the most recent calendar month; (B) the
greater of (i) the UPG Co-op Advertising Reserve and (ii) an amount equal to the
product of (x) 0.01 and (y) the aggregate credit sales made by the Unitary
Products Group segment of York in the most recent

                                      I-23
<PAGE>

calendar month; (C) the greater of (i) the UPG Volume Rebates Reserve and (ii)
an amount equal to the product of (x) .002 and (y) the aggregate credit sales
made by the Unitary Products Group segment of York in the most recent calendar
month; (D) the greater of (i) the York Refrigeration Group Rebate Reserve and
(ii) an amount equal to the product of (x) 0.0225 and (y) the aggregate credit
sales made by the York Refrigeration Group segment of York in the most recent
calendar month; and (E) the UPG Price Discount Matrix Reserve; it being
understood that in each case, such other factor as reasonably determined by York
with the consent of the Purchasers, the Purchaser Agents and the Administrator
may be used in lieu of the specific factor stated herein.

      "Standard & Poor's" means Standard & Poor's, a division of The McGraw-Hill
Companies, Inc.

      "Subsidiary" means, as to any Person, a corporation, partnership, limited
liability company or other entity of which shares of stock of each class or
other interests having ordinary voting power (other than stock or other
interests having such power only by reason of the happening of a contingency) to
elect a majority of the Board of Directors or other managers of such entity are
at the time owned, or management of which is otherwise controlled: (a) by such
Person, (b) by one or more Subsidiaries of such Person or (c) by such Person and
one or more Subsidiaries of such Person.

      "Take Out Securitization" means, subject to Section (q) of paragraph 1 of
Exhibit IV, any asset securitization, secured loan, receivables sale or similar
transaction undertaken by the Seller with a third party (excluding any
Originator) involving foreign receivables (and the Related Security with respect
thereto), other than one pursuant to the Transaction Documents; provided, that
the effective date of any such Take Out Securitization shall occur on the last
day of a monthly accounting period and; provided further that Seller
concurrently notifies the Originators that foreign receivables shall no longer
be acquired by it under the Purchase and Sale Agreement as of the cut-off date
specified in the notice delivered under Section (q) of paragraph 1 of Exhibit
IV.

      "Tangible Net Worth" means, with respect to any Person, the tangible net
worth of such Person as determined in accordance with GAAP.

      "Termination Day" means: (a) each day on which the conditions set forth in
Section 2 of Exhibit II to the Agreement are not satisfied or (b) each day that
occurs on or after the Facility Termination Date.

      "Termination Event" has the meaning specified in Exhibit V to the
Agreement.

      "Termination Fee" means, for any Yield Period, with respect to any
Purchaser, the amount, if any, by which: (a) the additional Discount related to
such Purchaser's Investment (calculated without taking into account any
Termination Fee or any shortened duration of such Yield Period) that would have
accrued during such Yield Period on the reductions of Investment relating to
such Yield Period had such reductions not been made, exceeds (b) the income, if
any, received by such Purchaser from investing the proceeds of such reductions
of Investment, as determined by the such Purchaser's Purchaser Agent, which
determination shall be binding and conclusive for all purposes, absent manifest
error.

      "Total Reserves" means, at any time, the sum of the Yield Reserve and the
greater of (a) the sum of the Loss Reserve and the Dilution Reserve, or (b) the
Concentration Reserve.

                                      I-24
<PAGE>

      "Transaction Documents" means the Agreement, the Lock-Box Agreements, each
Purchaser Group Fee Letter, the Purchase and Sale Agreement, the Performance
Guaranty and all other certificates, instruments, UCC financing statements,
reports, notices, agreements and documents executed or delivered under or in
connection with any of the foregoing, in each case as the same may be amended,
supplemented or otherwise modified from time to time in accordance with the
Agreement.

      "Transfer Supplement" has the respective meanings set forth in Sections
6.3(c) and 6.3(e).

      "Turnover Rate" means, for any calendar month, an amount computed as of
the last day of such calendar month equal to: (a) the Outstanding Balance of all
Pool Receivables as of the last day of the most recent calendar month, divided
by (b) the quotient of (i) the aggregate credit sales made by the Originators
during the three calendar months ended on the last day of such calendar month,
divided by (ii) 3.

      "UCC" means the Uniform Commercial Code as from time to time in effect in
the applicable jurisdiction.

      "Unmatured Purchase and Sale Termination Event" means any event which,
with the giving of notice or lapse of time, or both, would become a Purchase and
Sale Termination Event.

      "Unmatured Termination Event" means an event that, with the giving of
notice or lapse of time, or both, would constitute a Termination Event.

      "UPG Cash Discount Reserve" means, at any time, the greater of (a) the
balance as of the end of the most recent calendar month of reserves or
liabilities maintained on the books and records of the Unitary Products Group
segment of York or the Servicer in the ordinary course of business according to
policies consistently applied and reported on the Information Package related
to, or in anticipation of, cash discounts affecting the Receivables; or (b) the
highest amount of credits issued in any calendar month over the immediately
preceding three calendar months related to such cash discounts credits.

      "UPG Co-op Advertising Reserve" means, at any time, the greater of (a) the
balance as of the beginning of the most recent calendar month of reserves or
liabilities maintained on the books and records of the Unitary Products Group
segment of York or the Servicer in the ordinary course of business according to
policies consistently applied and reported on the Information Package related
to, or in anticipation of, co-op advertising programs affecting the Receivables;
or (b) the amount of credits issued in the most recent calendar month related to
such co-op advertising programs.

      "UPG Price Discount Matrix Reserve" means, at any time, the greater of (a)
the balance as of the end of the most recent calendar month of reserves or
liabilities maintained on the books and records of the Unitary Products Group
segment of York or the Servicer in the ordinary course of business according to
policies consistently applied and reported on the Information Package related
to, or in anticipation of, price discounts affecting the Receivables; or (b) the
actual amount of credits issued against Receivables in the most recent calendar
month related to such pricing discounts.

                                      I-25
<PAGE>

      "UPG Volume Rebates Reserve" means, at any time, an amount equal to the
sum of (A) an amount equal to the product of (x) 0.50 and (y) the balance as of
the beginning of the most recent calendar month of reserves or liabilities
maintained on the books and records of the Unitary Products Group segment of
York or the Servicer in the ordinary course of business according to policies
consistently applied and reported on the Information Package related to, or in
anticipation of, volume rebates affecting the Receivables; and (B) the amount of
credits issued in the most recent calendar month related to such volume rebates
(if current month credits are less than or equal to $0, then credits issued in
the calendar month that is one month prior to the current calendar month).

      "Yield Period" means, with respect to each Portion of Investment: (a)
before the Facility Termination Date: (i) initially the period commencing on the
date of the initial Purchase pursuant to Section 1.2 of the Agreement (or in the
case of any fees payable hereunder, commencing on the Closing Date) and ending
on (but not including) the next Settlement Date, and (ii) thereafter, each
period commencing on such Settlement Date and ending on (but not including) the
next Settlement Date, and (b) on and after the Facility Termination Date, such
period (including a period of one day) as shall be selected from time to time by
the Administrator or, in the absence of any such selection, each period of 30
days from the last day of the preceding Yield Period.

      "Yield Rate" for any Yield Period for any Portion of Investment of the
Purchased Interest (a) in the case of the Purchaser Group including Gotham,
means the Gotham Yield Rate, (b) in the case of the Purchaser Group including
Liberty Street, means the Liberty Street Yield Rate and (c) in the case of each
other Purchaser Group, shall mean the rate set forth as the Yield Rate for such
Purchaser Group in the related Purchaser Group Fee Letter.

      "Yield Reserve" shall be equal to the Aggregate Investment multiplied by a
percentage equal to (a) the Yield Reserve Percentage divided by (b) 100% minus
the Yield Reserve Percentage.

      "Yield Reserve Percentage" means, on any date, an amount equal to (a) the
sum of the Base Rate for the most recent period plus 1.0%, multiplied by (b) the
product of 1.5 times the Turnover Rate, divided by (c) 12.

      "York" has the meaning set forth in the preamble to the Agreement.

      "York Refrigeration Group Rebate Reserve" means, at any time, the greater
of (a) the balance as of the beginning of the most recent calendar month of
reserves or liabilities maintained on the books and records of the York
Refrigeration Group segment of York or the Servicer in the ordinary course of
business according to policies consistently applied and reported on the
Information Package related to, or in anticipation of, rebate programs affecting
the Receivables; or (b) the amount of credits issued in the most recent calendar
month related to such rebate programs.

      "YorkSource Receivables" means any indebtedness and other obligations
(whether or not earned by performance) owed to the Seller or any Originator by,
or any right of the Seller or any Originator to payment from or on behalf of, an
Obligor arising after July 16, 2004 related to an Originator's YorkSource
program with respect to bundled design, installation, operation and

                                      I-26
<PAGE>

maintenance contracts (including the related usage billings and equipment costs)
as set forth on such Originator's books and records.

      Other Terms. All accounting terms not specifically defined herein shall be
construed in accordance with generally accepted accounting principles. All terms
used in Article 9 of the UCC in the State of New York, and not specifically
defined herein, are used herein as defined in such Article 9. Unless the context
otherwise requires, "or" means "and/or," and "including" (and with correlative
meaning "include" and "includes") means including without limiting the
generality of any description preceding such term. Unless the context otherwise
requires, any reference to a calendar month, whether used in any calculation or
otherwise, which such calendar month occurred prior to the Closing Date shall be
and shall be deemed to be a reference to a "Fiscal Month" (as such term is
defined in the Original Agreement).

                                      I-27
<PAGE>

                                   EXHIBIT II
                             CONDITIONS OF PURCHASES

      1.    Conditions Precedent to Initial Purchase. The initial Purchase under
this Agreement is subject to the following conditions precedent that the
Administrator and each Purchaser Agent shall have received on or before the date
of such Purchase, each in form and substance (including the date thereof)
satisfactory to the Administrator and each Purchaser Agent:

            (a)   A counterpart of the Agreement and the other Transaction
      Documents executed by the parties thereto.

            (b)   Certified copies of: (i) the resolutions of the Board of
      Directors, the Managing Member or other managers of each of the Seller,
      the Originators and York authorizing the execution, delivery and
      performance by the Seller, such Originator and York, as the case may be,
      of the Agreement and the other Transaction Documents to which it is a
      party; (ii) all documents evidencing other necessary organizational action
      and governmental approvals, if any, with respect to the Agreement and the
      other Transaction Documents and (iii) the certificate of incorporation and
      by-laws or certificate of formation and limited liability company
      agreement or any other organizational document, as applicable, of the
      Seller, each Originator and York.

            (c)   A certificate of the Secretary or Assistant Secretary of the
      Seller, the Originators and York certifying the names and true signatures
      of its officers who are authorized to sign the Agreement and the other
      Transaction Documents. Until the Administrator and each Purchaser Agent
      receives a subsequent incumbency certificate from the Seller, an
      Originator or York, as the case may be, the Administrator and each
      Purchaser Agent shall be entitled to rely on the last such certificate
      delivered to it by the Seller, such Originator or York, as the case may
      be.

            (d)   Acknowledgment copies, or time stamped receipt copies, of
      proper financing statements, duly filed on or before the date of such
      initial purchase under the UCC of all jurisdictions that the Administrator
      may deem necessary or desirable in order to perfect the interests of the
      Seller, York and the Administrator (on behalf of each Purchaser)
      contemplated by the Agreement and the Purchase and Sale Agreement.

            (e)   Acknowledgment copies, or time-stamped receipt copies, of
      proper financing statements, if any, necessary to release all security
      interests and other rights of any Person in the Receivables, Contracts or
      Related Security previously granted by the Originators, York or the Seller
      (other than the financing statements in favor of the "Administrator" under
      the Original Agreement and each of which shall have been fully assigned to
      the Administrator).

            (f)   Completed UCC search reports, dated on or shortly before the
      date of the initial purchase hereunder, listing the financing statements
      filed in all applicable jurisdictions referred to in subsection (d) above
      that name the Originators or the Seller as

                                      II-1
<PAGE>

      debtor, together with copies of such other financing statements, and
      similar search reports with respect to judgment liens, federal tax liens
      and liens of the Pension Benefit Guaranty Corporation in such
      jurisdictions, as the Administrator or any Purchaser Agent may request,
      showing no Adverse Claims on any Pool Assets.

            (g)   Copies of executed Lock-Box Agreements with each Lock-Box Bank
      and each amendment thereto.

            (h)   Favorable opinions, in form and substance reasonably
      satisfactory to the Administrator and each Purchaser Agent, of: (i) Blank
      Rome LLP, counsel for the Seller, each Originator, York and the Servicer,
      and (ii) general counsel for Seller, York and each Originator.

            (i)   Satisfactory results of a review and audit (performed by
      representatives of each Purchaser Agent) of the Servicer's collection,
      operating and reporting systems, the Credit and Collection Policy of each
      Originator, historical receivables data and accounts, including
      satisfactory results of a review of the Servicer's operating location(s)
      in each case, in the sole discretion of the Administrator and each
      Purchaser.

            (j)   An Information Package representing the performance of the
      Receivables Pool for the calendar month before closing and a Funding Plan
      for the calendar month during which the Closing Date occurs.

            (k)   Evidence of payment by the Seller of all accrued and unpaid
      fees (including those contemplated by each Purchaser Group Fee Letter),
      costs and expenses to the extent then due and payable on the date thereof,
      including any such costs, fees and expenses arising under or referenced in
      Section 6.4 of the Agreement and the Fee Letter.

            (l)   Each Purchaser Group Fee Letter (received only by the related
      Purchaser Group Agent) duly executed by the Seller and the Servicer.

            (m)   Good standing certificates with respect to each of the Seller,
      the Originators and the Servicer issued by the Secretary of State (or
      similar official) of the state of each such Person's organization and
      principal place of business.

            (n)   To the extent required by each Conduit Purchaser's commercial
      paper program, letters from each of the rating agencies then rating the
      Notes confirming the rating of such Notes after giving effect to the
      transaction contemplated by the Agreement.

            (o)   Each Liquidity Agreement (received only by the related
      Purchaser Group Agent) and all other Transaction Documents duly executed
      by the parties thereto.

            (p)   A computer file containing all information with respect to the
      Receivables as the Administrator or any Purchaser Agent may reasonably
      request.

            (q)   Such other approvals, opinions or documents as the
      Administrator or any Purchaser Agent may reasonably request.

                                      II-2
<PAGE>

      2.    Conditions Precedent to All Purchases and Reinvestments. Each
Purchase (including the initial Purchase) and each reinvestment shall be subject
to the further conditions precedent that:

            (a)   solely in the case of each purchase but not a reinvestment,
      the Servicer shall have delivered to the Administrator and each such
      Purchaser Agent on or before such purchase, in form and substance
      satisfactory to the Administrator and such Purchaser Agent, a Funding
      Plan, a completed pro forma Information Package to reflect the level of
      Investment with respect to each Purchaser Group and related reserves and
      the calculation of the Purchased Interest after such subsequent purchase
      and a completed purchase notice in the form of Annex B to the Agreement;
      and

            (b)   on the date of such purchase or reinvestment, the following
      statements shall be true (and acceptance of the proceeds of such purchase
      or reinvestment shall be deemed a representation and warranty by the
      Seller that such statements are then true):

                  (i)   the representations and warranties contained in Exhibit
            III to the Agreement are true and correct in all material respects
            on and as of the date of such purchase or reinvestment as though
            made on and as of such date (except to the extent that such
            representations and warranties relate expressly to an earlier date,
            and in which case such representations and warranties shall be true
            and correct in all material respects as of such earlier date);

                  (ii)  no event has occurred and is continuing, or would result
            from such purchase or reinvestment, that constitutes a Termination
            Event or an Unmatured Termination Event;

                  (iii) after giving effect to such purchase or reinvestment,
            the Purchased Interest will not exceed 100% and the Aggregate
            Investment will not exceed the Purchase Limit; and

                  (iv)  the Facility Termination Date shall not have occurred.

                                      II-3
<PAGE>

                                   EXHIBIT III
                         REPRESENTATIONS AND WARRANTIES

      1.    Representations and Warranties of the Seller. The Seller represents
and warrants as follows:

            (a)   The Seller is a limited liability company duly organized,
      validly existing and in good standing under the laws of the State of
      Delaware, and is duly qualified to do business and is in good standing as
      a foreign organization in every jurisdiction where the nature of its
      business requires it to be so qualified, except where the failure to be so
      qualified would not have a Material Adverse Effect.

            (b)   The execution, delivery and performance by the Seller of the
      Agreement and the other Transaction Documents to which it is a party,
      including its use of the proceeds of purchases and reinvestments: (i) are
      within its organizational powers; (ii) have been duly authorized by all
      necessary organizational action; (iii) do not contravene or result in a
      default under or conflict with: (A) its certification of formation or
      limited liability company agreement, (B) any law, rule or regulation
      applicable to it, (C) any indenture, loan agreement, mortgage, deed of
      trust or other material agreement or instrument to which it is a party or
      by which it is bound, or (D) any order, writ, judgment, award, injunction
      or decree binding on or affecting it or any of its property; and (iv) do
      not result in or require the creation of any Adverse Claim upon or with
      respect to any of its properties. The Agreement and the other Transaction
      Documents to which it is a party have been duly executed and delivered by
      the Seller.

            (c)   No authorization, approval or other action by, and no notice
      to or filing with, any Governmental Authority or other Person is required
      for its due execution, delivery and performance by the Seller of the
      Agreement or any other Transaction Document to which it is a party, other
      than the Uniform Commercial Code filings referred to in Exhibit II to the
      Agreement, all of which shall have been filed on or before the date of the
      first purchase hereunder.

            (d)   Each of the Agreement and the other Transaction Documents to
      which the Seller is a party constitutes its legal, valid and binding
      obligation of the Seller enforceable against the Seller in accordance with
      its terms, except as enforceability may be limited by bankruptcy,
      insolvency, reorganization or other similar laws from time to time in
      effect affecting the enforcement of creditors' rights generally and by
      general principles of equity, regardless of whether such enforceability is
      considered in a proceeding in equity or at law.

            (e)   There is no pending or, to Seller's best knowledge, threatened
      action or proceeding affecting Seller or any of its properties before any
      Governmental Authority or arbitrator.

            (f)   No proceeds of any purchase or reinvestment will be used to
      acquire any equity security of a class that is registered pursuant to
      Section 12 of the Securities Exchange Act of 1934.

                                     III-1
<PAGE>

            (g)   The Seller is the legal and beneficial owner of the Pool
      Receivables and Related Security, free and clear of any Adverse Claim.
      Upon each purchase or reinvestment, Administrator (for the benefit of each
      Purchaser) shall acquire a valid and enforceable perfected undivided
      percentage ownership or security interest, to the extent of the Purchased
      Interest, in each Pool Receivable then existing or thereafter arising and
      in the Related Security, Collections and other proceeds with respect
      thereto, free and clear of any Adverse Claim. The Agreement creates a
      security interest in favor of the Administrator (for the benefit of each
      Purchaser) in the Pool Assets, and the Administrator (for the benefit of
      each Purchaser) has a first priority perfected security interest in the
      Pool Assets, free and clear of any Adverse Claims. No effective financing
      statement or other instrument similar in effect covering any Pool Asset is
      on file in any recording office, except those filed in favor of the Seller
      pursuant to the Purchase and Sale Agreement and the Administrator (for the
      benefit of each Purchaser) relating to the Agreement, or in respect of
      which the Administrator has received evidence satisfactory to the
      Administrator of acknowledgment copies, or time-stamped receipt copies, of
      proper financing statements releasing or terminating, as applicable, all
      security interests and other rights of any Person in such Pool Asset.

            (h)   Each Information Package (if prepared by the Seller or one of
      its Affiliates, or to the extent that information contained therein is
      supplied by the Seller or an Affiliate), information, exhibit, financial
      statement, document, book, record or report furnished or to be furnished
      at any time by or on behalf of the Seller to the Administrator or any
      Purchaser Agent in connection with the Agreement or any other Transaction
      Document to which it is a party is or will be complete and accurate in all
      material respects as of its date or as of the date so furnished, and does
      not and will not contain any material misstatement of fact or omit to
      state a material fact or any fact necessary to make the statements
      contained therein not misleading.

            (i)   The Seller's principal place of business and chief executive
      office (as such terms are used in the UCC) and the office where it keeps
      its records concerning the Receivables are located at the address referred
      to in Section 1(b) and 2(b) of Exhibit IV to the Agreement. The Seller is
      a limited liability company, organized under the laws of the State of
      Delaware and its organizational number is 3469762.

            (j)   The names and addresses of all the Lock-Box Banks, together
      with the account numbers of the Lock-Box Accounts (and the related
      lock-boxes) at such Lock-Box Banks, are specified in Schedule II to the
      Agreement (or at such other Lock-Box Banks and/or with such other Lock-Box
      Accounts (and such other related lock-boxes) as have been notified to the
      Administrator in accordance with the Agreement) and all Lock-Box Accounts
      (and all related lock-boxes) are subject to Lock-Box Agreements. Seller
      has not granted to any Person, other than the Administrator as
      contemplated by the Agreement, dominion and control of any Lock-Box
      Account, or the right to take dominion and control of any such account at
      a future time or upon the occurrence of a future event.

            (k)   The Seller is not in violation of any order of any court,
      arbitrator or Governmental Authority.

                                     III-2
<PAGE>

            (l)   Neither the Seller nor any of its Affiliates has any direct or
      indirect ownership or other financial interest in any Purchaser.

            (m)   No proceeds of any purchase or reinvestment will be used for
      any purpose that violates any applicable law, rule or regulation,
      including Regulations T, U or X of the Federal Reserve Board.

            (n)   Each Pool Receivable included as an Eligible Receivable in the
      calculation of the Net Receivables Pool Balance is an Eligible Receivable.

            (o)   No event has occurred and is continuing that constitutes a
      Termination Event or an Unmatured Termination Event and no event would
      result from a purchase in respect of, or reinvestment in respect of, the
      Purchased Interest or from the application of the proceeds therefrom that
      constitutes a Termination Event or an Unmatured Termination Event.

            (p)   The Seller has accounted for each sale of undivided percentage
      ownership interests in Receivables in its books and financial statements
      as sales, consistent with generally accepted accounting principles.

            (q)   The Seller has complied in all material respects with the
      Credit and Collection Policy of each Originator with regard to each
      Receivable originated by such Originator.

            (r)   The Seller has complied in all material respects with all of
      the terms, covenants and agreements contained in the Agreement and the
      other Transaction Documents that are applicable to it and all laws, rules,
      regulations and orders that are applicable to it.

            (s)   The Seller's complete organizational name is set forth in the
      preamble to the Agreement, and it does not use and has not during the last
      six years used any other organizational name, trade name, doing-business
      name or fictitious name, except as set forth on Schedule III to the
      Agreement and except for names first used after the date of the Agreement
      and set forth in a notice delivered to the Administrator pursuant to
      Section 1(k)(iv) of Exhibit IV to the Agreement.

            (t)   The Seller is not an "investment company," or a company
      "controlled" by an "investment company" within the meaning of the
      Investment Company Act of 1940, as amended. In addition, the Seller is not
      a "holding company," a "subsidiary company" of a "holding company" or an
      "affiliate" of a "holding company" or of a "subsidiary company" of a
      "holding company" within the meaning of the Public Utility Holding Company
      Act of 1935, as amended.

            (u)   With respect to each Receivable transferred to the Seller
      under the Purchase and Sale Agreement, Seller has given reasonably
      equivalent value to the Originator thereof in consideration therefor and
      such transfer was not made for or on account of an antecedent debt. No
      transfer by any Originator of any Receivable under the

                                     III-3
<PAGE>

      Purchase and Sale Agreement is or may be voidable under any section of the
      Bankruptcy Code.

            (v)   Each Contract with respect to each Receivable is effective to
      create, and has created, a legal, valid and binding obligation of the
      related Obligor to pay the Outstanding Balance of the Receivable created
      thereunder and any accrued interest thereon, enforceable against the
      Obligor in accordance with its terms, except as such enforcement may be
      limited by applicable bankruptcy, insolvency, reorganization or other
      similar laws relating to or limiting creditors' rights generally and by
      general principles of equity (regardless of whether enforcement is sought
      in a proceeding in equity or at law).

            (w)   Since its most recent fiscal year end, there has been no
      change in the business, operations, financial condition, properties or
      assets of the Seller which would have a Material Adverse Effect on its
      ability to perform its obligations under the Agreement or any other
      Transaction Document to which it is a party or materially and adversely
      affect the transactions contemplated under the Agreement or such other
      Transaction Documents.

            (x)   The Seller has filed all tax returns and reports required by
      law to have been filed by it and has paid all taxes and governmental
      charges thereby shown to be owing, except any such taxes or charges which
      are being diligently contested in good faith by appropriate proceedings
      and for which adequate reserves in accordance with GAAP shall have been
      set aside on its books.

      2.    Representations and Warranties of York (including in its capacity as
the Servicer). York, individually and in its capacity as the Servicer,
represents and warrants as follows:

            (a)   York is a corporation duly incorporated, validly existing and
      in good standing under the laws of the State of Delaware, and is duly
      qualified to do business and is in good standing as a foreign corporation
      in every jurisdiction where the nature of its business requires it to be
      so qualified, except where the failure to be so qualified would not have a
      Material Adverse Effect.

            (b)   The execution, delivery and performance by York, of the
      Agreement and the other Transaction Documents to which it is a party,
      including the Servicer's use of the proceeds of purchases and
      reinvestments: (i) are within its corporate powers; (ii) have been duly
      authorized by all necessary corporate action; (iii) do not contravene or
      result in a default under or conflict with: (A) its charter or by-laws,
      (B) any law, rule or regulation applicable to it, (C) any indenture, loan
      agreement, mortgage, deed of trust or other material agreement or
      instrument to which it is a party or by which it is bound, or (D) any
      order, writ, judgment, award, injunction or decree binding on or affecting
      it or any of its property; and (iv) do not result in or require the
      creation of any Adverse Claim upon or with respect to any of its
      properties. The Agreement and the other Transaction Documents to which
      York is a party have been duly executed and delivered by York.

                                     III-4
<PAGE>

            (c)   No authorization, approval or other action by, and no notice
      to or filing with any Governmental Authority or other Person, is required
      for the due execution, delivery and performance by York of the Agreement
      or any other Transaction Document to which it is a party.

            (d)   Each of the Agreement and the other Transaction Documents to
      which York is a party constitutes the legal, valid and binding obligation
      of York enforceable against York in accordance with its terms, except as
      enforceability may be limited by bankruptcy, insolvency, reorganization or
      other similar laws from time to time in effect affecting the enforcement
      of creditors' rights generally and by general principles of equity,
      regardless of whether such enforceability is considered in a proceeding in
      equity or at law.

            (e)   The balance sheets of York and its consolidated Subsidiaries
      as at December 31, 2003, and the related statements of income and retained
      earnings for the fiscal year then ended, copies of which have been
      furnished to the Administrator and each Purchaser Agent, fairly present
      the financial condition of York and its consolidated Subsidiaries as at
      such date and the results of the operations of York and its Subsidiaries
      for the period ended on such date, all in accordance with generally
      accepted accounting principles consistently applied, and since December
      31, 2003 there has been no event or circumstances which have had a
      Material Adverse Effect.

            (f)   Except as disclosed in the most recent audited financial
      statements of York furnished to the Administrator and each Purchaser
      Agent, there is no pending or, to its best knowledge, threatened action or
      proceeding affecting it or any of its Subsidiaries before any Governmental
      Authority or arbitrator that could have a Material Adverse Effect.

            (g)   No proceeds of any purchase or reinvestment will be used to
      acquire any equity security of a class that is registered pursuant to
      Section 12 of the Securities Exchange Act of 1934.

            (h)   Each Information Package (if prepared by York or one of its
      Affiliates, or to the extent that information contained therein is
      supplied by York or an Affiliate), information, exhibit, financial
      statement, document, book, record or report furnished or to be furnished
      at any time by or on behalf of the Servicer to the Administrator, any
      Purchaser or any Purchaser Agent in connection with the Agreement is or
      will be complete and accurate in all material respects as of its date or
      as of the date so furnished and does not and will not contain any material
      misstatement of fact or omit to state a material fact or any fact
      necessary to make the statements contained therein not materially
      misleading.

            (i)   The principal place of business and chief executive office (as
      such terms are used in the UCC) of York and the office where it keeps its
      records concerning the Receivables are located at the address referred to
      in Section 2(b) of Exhibit IV to the Agreement. York is a corporation,
      organized under the laws of the State of Delaware and its organizational
      number is 2164946.

                                     III-5
<PAGE>

            (j)   York is not in violation of any order of any court, arbitrator
      or Governmental Authority, which could have a Material Adverse Effect.

            (k)   Neither York nor any of its Affiliates has any direct or
      indirect ownership or other financial interest in any Purchaser.

            (l)   The Servicer has complied in all material respects with the
      Credit and Collection Policy of each Originator with regard to each
      Receivable originated by such Originator.

            (m)   York has complied in all material respects with all of the
      terms, covenants and agreements contained in the Agreement and the other
      Transaction Documents that are applicable to it.

            (n)   York is not an "investment company" or a company "controlled"
      by an "investment company" within the meaning of the Investment Company
      Act of 1940, as amended. In addition, York is not a "holding company," a
      "subsidiary company" of a "holding company," or an "affiliate" of a
      "holding company" or of a "subsidiary company" of a "holding company"
      within the meaning of the Public Utility Holding Company Act of 1935, as
      amended.

            (o)   Since its most recent fiscal year end, there has been no
      change in the business, operations, financial condition, properties or
      assets of the Servicer which would have a Material Adverse Effect on its
      ability to perform its obligations under the Agreement or any other
      Transaction Document to which it is a party or materially and adversely
      affect the transactions contemplated under the Agreement or such other
      Transaction Documents.

            (p)   [RESERVED].

            (q)   The Servicer has filed all tax returns and reports required by
      law to have been filed by it and has paid all taxes and governmental
      charges thereby shown to be owing, except any such taxes or charges which
      are being diligently contested in good faith by appropriate proceedings
      and for which adequate reserves in accordance with GAAP shall have been
      set aside on its books.

                                     III-6
<PAGE>

                                   EXHIBIT IV
                                    COVENANTS

      1.    Covenants of the Seller. Until the latest of the Facility
Termination Date, the date on which no Investment of or Discount in respect of
the Purchased Interest shall be outstanding or the date all other amounts owed
by the Seller under the Agreement to any Purchaser, Purchaser Agent, the
Administrator and any other Indemnified Party or Affected Person shall be paid
in full:

            (a)   Compliance with Laws, Etc. The Seller shall comply in all
      material respects with all applicable laws, rules, regulations and orders,
      and preserve and maintain its organizational existence, rights,
      franchises, qualifications and privileges, except to the extent that the
      failure so to comply with such laws, rules and regulations or the failure
      so to preserve and maintain such rights, franchises, qualifications and
      privileges would not have a Material Adverse Effect.

            (b)   Offices, Records and Books of Account, Etc. The Seller: (i)
      shall keep its principal place of business and chief executive office (as
      such terms or similar terms are used in the UCC) and the office where it
      keeps its records concerning the Receivables at the address of the Seller
      set forth under its name on the signature page to the Agreement and keep
      its state of organization at the state set forth in Section 1(a) of
      Exhibit III or, pursuant to clause (k)(iv) below, at any other locations
      in jurisdictions where all actions reasonably requested by the
      Administrator to protect and perfect the interest of the Administrator
      (for the benefit of the Purchasers) in the Receivables and related items
      (including the Pool Assets) have been taken and completed and (ii) shall
      provide the Administrator with at least 30 days' written notice before
      making any change in the Seller's name or making any other change in the
      Seller's identity or organizational structure (including a Change in
      Control) that could render any UCC financing statement filed in connection
      with this Agreement "seriously misleading" as such term (or similar term)
      is used in the UCC or to be filed in the incorrect jurisdiction in order
      to protect and perfect the interest of the Administrator (for the benefit
      of the Purchasers) in the Receivables and related items (including the
      Pool Assets) as a first priority security interest; each notice to the
      Administrator pursuant to this sentence shall set forth the applicable
      change and the effective date thereof. The Seller also will maintain and
      implement (or cause the Servicer to maintain and implement) administrative
      and operating procedures (including an ability to recreate records
      evidencing Receivables and related Contracts in the event of the
      destruction of the originals thereof), and keep and maintain (or cause the
      Servicer to keep and maintain) all documents, books, records, computer
      tapes and disks and other information reasonably necessary or advisable
      for the collection of all Receivables (including records adequate to
      permit the daily identification of each Receivable and all Collections of
      and adjustments to each existing Receivable). The Seller will (and will
      cause each Originator to) on or prior to the date of the Agreement, mark
      its master data processing records and other books and records relating to
      the Purchased Interest (and at all times thereafter (until the latest of
      the Facility Termination Date or the date all other amounts owed by the
      Seller under the Agreement shall be paid in full) continue to maintain
      such records) with a legend, acceptable to the Administrator, describing
      the Purchased Interest.

                                      IV-1
<PAGE>

            (c)   Performance and Compliance with Contracts and Credit and
      Collection Policy. The Seller shall (and shall cause the Servicer to), at
      its expense, timely and fully perform and comply with all material
      provisions, covenants and other promises required to be observed by it
      under the Contracts related to the Receivables and timely and fully comply
      in all material respects with the applicable Credit and Collection
      Policies with regard to each Receivable and the related Contract.

            (d)   Ownership Interest, Etc. The Seller shall (and shall cause the
      Servicer to), at its expense, take all action necessary or desirable to
      establish and maintain a valid and enforceable undivided percentage
      ownership or security interest, to the extent of the Purchased Interest
      which shall not be greater than 100%, in the Pool Receivables, the Related
      Security and Collections with respect thereto, and a first priority
      perfected security interest in the Pool Assets, in each case free and
      clear of any Adverse Claim, in favor of the Administrator (for the benefit
      of the Purchasers), including taking such action to perfect, protect or
      more fully evidence the interest of the Administrator (for the benefit of
      the Purchasers) as the Administrator, may reasonably request.

            (e)   Sales, Liens, Etc. The Seller shall not sell, assign (by
      operation of law or otherwise) or otherwise dispose of, or create or
      suffer to exist any Adverse Claim upon or with respect to, any or all of
      its right, title or interest in, to or under any Pool Assets (including
      the Seller's undivided interest in any Receivable, Related Security or
      Collections, or upon or with respect to any account to which any
      Collections of any Receivables are sent), or assign any right to receive
      income in respect of any items contemplated by this paragraph; provided
      however, the Seller may (I) sell (or direct the Servicer on its behalf to
      sell) to a third-party collection agency, any Receivables (and the Related
      Security with respect thereto) in an arms-length transaction which,
      consistent with the Credit and Collection Policy and the terms and
      conditions of this Agreement and the other Transaction Documents, have
      been written off the Seller's books as uncollectible if all proceeds of
      any such sale are remitted to a Lock-Box Account and are treated and
      applied as Collections hereunder and distributed as such in accordance
      herewith and (II) may sell and assign, without recourse, any Excluded
      Foreign Receivables (and the Related Security with respect thereto) in
      connection with a Take Out Securitization, after satisfaction of each of
      the conditions set forth in clause (q) of this Exhibit IV and if all
      proceeds of any such sale are remitted to a Lock-Box Account and are
      treated and applied as Collections hereunder and distributed as such in
      accordance herewith; provided, further, no such sale or assignment, as
      applicable, shall be permitted (A) at any time a Termination Event or an
      Unmatured Termination Event exists or would result from such sale or
      assignment, as applicable and (B) unless each buyer or assignor, as
      applicable, in any such sale or assignment, as applicable, agrees that any
      amounts payable by a Conduit Purchaser in connection with any such sale or
      assignment, as applicable, are subject to the limitations set forth in
      Section 6.5(b) of the Agreement and that it will not institute any
      proceeding of the type described in clause (f) of Exhibit V hereto against
      any Conduit Purchaser until a year and a day after the latest maturing
      Note issued by such Conduit Purchaser has finally been paid in full. The
      Administrator and each Purchaser Agent agree that each (i) automatically
      and without any further consent or action release and all of their right,
      title and interest in, to and under each such Receivable (and the Related
      Security with respect thereto) which has

                                      IV-2
<PAGE>

      been sold or assigned, as applicable, in accordance with the terms of this
      clause (e) and (ii) agree, from time to time take such action, or execute
      and deliver such instruments, at the sole expense of the Seller,
      (including authorizing the filing UCC3 termination statements) as may be
      reasonably requested by the Seller (or the Servicer on its behalf) in
      order to release the Administrator's security interest in such Receivable
      (and the Related Security with respect thereto) so sold or assigned, as
      applicable.

            (f)   Extension or Amendment of Receivables. Except as provided in
      the Agreement, the Seller shall not, and shall not permit the Servicer to,
      extend the maturity or adjust the Outstanding Balance or otherwise modify
      the terms of any Pool Receivable, or amend, modify or waive any term or
      condition of any related Contract.

            (g)   Change in Business or Credit and Collection Policy. The Seller
      shall not make (or permit any Originator to make) any change in the
      character of its business or in any Credit and Collection Policy that
      would have a Material Adverse Effect. The Seller shall not make (or permit
      any Originator to make) any other change in any Credit and Collection
      Policy without the prior written consent of thereof to the Administrator
      and each Purchaser Agent.

            (h)   Audits. The Seller shall (and shall cause each Originator to),
      from time to time during regular business hours, but no more frequently
      than annually unless (x) a Termination Event or an Unmatured Termination
      Event has occurred and is continuing or (y) in the opinion of the
      Administrator (with the consent or at the direction of the Majority
      Purchasers) reasonable grounds for insecurity exist with respect to the
      collectibility of a material portion of the Pool Receivables or with
      respect to the Seller's performance or ability to perform in any material
      respect its obligations under the Agreement, as reasonably requested in
      advance (unless a Termination Event or Unmatured Termination Event exists)
      by the Administrator or any Purchaser, permit the Administrator or any
      Purchaser, or agent or representatives of the Administration or any
      Purchaser: (i) to examine and make copies of and abstracts from all books,
      records and documents (including computer tapes and disks) in the
      possession or under the control of the Seller (or any such Originator)
      relating to Receivables and the Related Security, including the related
      Contracts, and (ii) to visit the offices and properties of the Seller and
      the Originators for the purpose of examining such materials described in
      clause (i) above, and to discuss matters relating to Receivables and the
      Related Security or the Seller's, York's or the Originator's performance
      under the Transaction Documents or under the Contracts with any of the
      officers, employees, agents or contractors of the Seller, York or the
      Originator having knowledge of such matters and (iii) without limiting
      clauses (i) and (ii) above, no more than once annually (unless a
      Termination Event or an Unmatured Termination Event exists or there shall
      be a material variance in the performance of the Receivables), during
      regular business hours, and upon reasonable prior notice, to engage
      certified public accountants or other auditors acceptable to the Seller
      and the Administrator to conduct, at the Seller's expense, a review of the
      Seller's books and records with respect to such Receivables.

            (i)   Change in Lock-Box Banks, Lock-Box Accounts and Payment
      Instructions to Obligors. The Seller shall not, and shall not permit the
      Servicer or any

                                      IV-3
<PAGE>

      Originator to, add or terminate any bank as a Lock-Box Bank or any account
      as a Lock-Box Account (or any related lock-box) from those listed in
      Schedule II to the Agreement, or make any change in its instructions to
      Obligors regarding payments to be made to the Seller, the Originators, the
      Servicer or any Lock-Box Account (or related lock-box), unless the
      Administrator and the Majority Purchasers shall have consented thereto in
      writing and the Administrator shall have received copies of all agreements
      and documents (including Lock-Box Agreements) that it may reasonably
      request in connection therewith. Notwithstanding anything herein to the
      contrary, the Administrator and the Majority Purchasers shall not be
      required to consent in connection with the Seller's request to terminate
      and/or add any bank as a Lock-Box Bank and/or Lock-Box Account provided
      that the new Lock-Box Bank or Lock-Box Account to be added is (or is with)
      a commercial bank having a combined capital and surplus of at least
      $250,000,000. The Seller will not (and will not permit the Servicer to)
      deposit or otherwise credit, or cause or permit to be so deposited or
      credited, to any Lock-Box Account cash or cash proceeds other than
      Collections, including, from and after the effectiveness of any Take Out
      Securitization, cash or cash proceeds related to Excluded Foreign
      Receivables or any cash or cash proceeds of receivables which do not
      constitute "Receivables" under the Transaction Documents at the time of
      deposit.

            (j)   Deposits to Lock-Box Accounts. The Seller shall (or shall
      cause the Servicer to): (i) deposit, or cause to be deposited, any
      Collections received by it, the Servicer or any Originator into Lock-Box
      Accounts not later than one Business Day after receipt thereof, and (ii)
      instruct all Obligors to make payments of all Receivables to one or more
      Lock-Box Accounts or to lock-boxes to which only Lock-Box Banks have
      access (and shall instruct the Lock-Box Banks to cause all items and
      amounts relating to such Receivables received in such lock-boxes to be
      removed and deposited into a Lock-Box Account on a daily basis). Each
      Lock-Box Account shall at all times be subject to a Lock-Box Agreement.
      The Seller will not (and will not permit the Servicer to) deposit or
      otherwise credit, or cause or permit to be so deposited or credited, to
      any Lock-Box Account cash or cash proceeds other than Collections
      including, from and after the effectiveness of any Take Out
      Securitization, cash or cash proceeds related to Excluded Foreign
      Receivables cash or cash proceeds of receivables which do not constitute
      "Receivables" under the Transaction Documents at the time of deposit.

            (k)   Reporting Requirements. The Seller will provide to the
      Administrator (in multiple copies, if requested by the Administrator) and
      each Purchaser Agent the following:

                  (i)   as soon as available and in any event within 90 days
            after the end of each fiscal year of the Seller, unaudited financial
            statements for such year certified as to accuracy by the chief
            financial officer or treasurer of the Seller;

                  (ii)  as soon as possible and in any event within five days
            after the occurrence of each Termination Event or Unmatured
            Termination Event, a statement of the chief financial officer of the
            Seller setting forth details of such Termination Event or Unmatured
            Termination Event and the action that the Seller has taken and
            proposes to take with respect thereto;

                                      IV-4
<PAGE>

                  (iii) promptly after the filing or receiving thereof, copies
            of all reports and notices that the Seller or any Affiliate files
            under ERISA with the Internal Revenue Service, the Pension Benefit
            Guaranty Corporation or the U.S. Department of Labor or that the
            Seller or any Affiliate receives from any of the foregoing or from
            any multiemployer plan (within the meaning of Section 4001(a)(3) of
            ERISA) to which the Seller or any of its Affiliates is or was,
            within the preceding five years, a contributing employer, in each
            case in respect of the assessment of withdrawal liability or an
            event or condition that could, in the aggregate, result in the
            imposition of material liability on the Seller and/or any such
            Affiliate;

                  (iv)  at least 30 days before any change in the Seller's name
            or any other change requiring the amendment of UCC financing
            statements, a notice setting forth such changes and the effective
            date thereof;

                  (v)   promptly after the Seller obtains knowledge thereof,
            notice of any: (A) litigation, investigation or proceeding that may
            exist at any time between the Seller and any Person or (B)
            litigation or proceeding relating to any Transaction Document;

                  (vi)  promptly after obtaining knowledge thereof, notice of a
            material adverse change in the business, operations, property or
            financial or other condition of the Seller, the Servicer or any
            Originator; and

                  (vii) such other information respecting the Receivables or the
            condition or operations, financial or otherwise, of the Seller or
            any of its Affiliates as the Administrator or any Purchaser Agent
            may from time to time reasonably request.

            (l)   Certain Agreements. Without the prior written consent of the
      Administrator and the Majority Purchasers, the Seller will not (and will
      not permit any Originator to) amend, modify, waive, revoke or terminate
      any Transaction Document to which it is a party or any provision of
      Seller's certificate of incorporation or by-laws.

            (m)   Restricted Payments. (i) Except pursuant to clause (ii) below,
      the Seller will not: (A) purchase or redeem any shares of its capital
      stock, (B) declare or pay any dividend or set aside any funds for any such
      purpose, (C) prepay, purchase or redeem any Debt, (D) lend or advance any
      funds or (E) repay any loans or advances to, for or from any of its
      Affiliates (the amounts described in clauses (A) through (E) being
      referred to as "Restricted Payments").

                  (ii)  Subject to the limitations set forth in clause (iii)
            below, the Seller may make Restricted Payments so long as such
            Restricted Payments are made only in one or more of the following
            ways: (A) the Seller may make cash payments (including prepayments)
            on the Company Note in accordance with its terms, and (B) if no
            amounts are then outstanding under the Company Note, the Seller may
            declare and pay dividends.

                                      IV-5
<PAGE>

                  (iii) The Seller may make Restricted Payments only out of the
            funds it receives pursuant to Sections 1.4(b)(ii) and (iv) of the
            Agreement. Furthermore, the Seller shall not pay, make or declare:
            (A) any dividend if, after giving effect thereto, the Seller's
            Tangible Net Worth would be less than $20,000,000 or (B) any
            Restricted Payment (including any dividend) if, after giving effect
            thereto, any Termination Event or Unmatured Termination Event shall
            have occurred and be continuing.

            (n)   Other Business. The Seller will not: (i) engage in any
      business other than the transactions contemplated by the Transaction
      Documents; (ii) create, incur or permit to exist any Debt of any kind (or
      cause or permit to be issued for its account any letters of credit or
      bankers' acceptances) other than pursuant to this Agreement or the Company
      Note; or (iii) form any Subsidiary or make any investments in any other
      Person; provided, however, that the Seller shall be permitted to incur
      minimal obligations to the extent necessary for the day-to-day operations
      of the Seller (such as expenses for stationery, audits, maintenance of
      legal status, etc.).

            (o)   Use of Seller's Share of Collections. The Seller shall apply
      the Seller's Share of Collections to make payments in the following order
      of priority: (i) the payment of its expenses (including all obligations
      payable to the Purchaser Groups and the Administrator under the Agreement
      and under each Purchaser Group Fee Letter); (ii) the payment of accrued
      and unpaid interest on the Company Note; and (iii) other legal and valid
      organizational purposes.

            (p)   Tangible Net Worth. The Seller will not permit its Tangible
      Net Worth, at any time, to be less than $20,000,000.

            (q)   Take Out Securitization of Foreign Receivables. The Seller
      may, upon not less than 30 days prior written notice from it (or the
      Servicer on its behalf) to the Administrator, the Originators and each
      Purchaser (which notice shall specify the cut-off date after which foreign
      receivables shall no longer be sold by Originators and purchased by the
      Seller under the Purchase and Sale Agreement), enter into a Take Out
      Securitization, but solely to the extent that each of the following
      conditions have been satisfied:

                  (i)   On or prior to the effectiveness of such Take Out
            Securitization and the documents relating thereto and if requested
            by the Administrator or any Purchaser Agent, the applicable
            transferees, lenders, investors and/or similar parties under such
            Take Out Securitization shall have delivered a fully executed copy
            of an intercreditor agreement among, inter alia, the Administrator
            and each Purchaser Agent, in form and substance reasonably
            acceptable to the Administrator and each such Purchaser Agent, and
            all of the conditions precedent to such intercreditor agreement
            shall have been satisfied;

                  (ii)  On or prior to the effectiveness of such Take Out
            Securitization and the documents relating thereto, at the request of
            the Administrator or any Purchaser Agent, the Servicer shall have
            provided a twelve-month pro forma

                                      IV-6
<PAGE>

            Information Package restating all applicable historical data and
            information from the Closing Date through the effective date of such
            Take Out Securitization, related to the Receivables Pool after
            giving effect to such Take Out Securitization;

                  (iii) On or prior to the effectiveness of such Take Out
            Securitization and the documents relating thereto, each of the
            Servicer and the Seller shall have delivered an officer certificate,
            stating that immediately prior to the effectiveness of the Take Out
            Securitization and immediately after giving effect thereto:

                  (A)   each of the representations and warranties contained in
            the Agreement are correct on and as of such dates as though made on
            and as of such dates and shall be deemed to have been made on such
            dates;

                  (B)   no Termination Event or Unmatured Termination Event has
            occurred and is continuing, or would result from such Take Out
            Securitization;

                  (C)   the Purchased Interest will not exceed 100% and the
            Aggregate Investment will not exceed the Purchase Limit;

                  (D)   the Facility Termination Date shall not have occurred;
            and

                  (E)   upon the Administrator's consent referred to in clause
            (v) below related to the foreign Receivables with respect thereto
            the proceeds from any such Take Out Securitization have been
            remitted to a Lock-Box Account and are and will be treated and
            applied as Collections under the Agreement and distributed as such
            in accordance therewith.

                  (iv)  On or prior to the effectiveness of such Take Out
            Securitization and the documents relating thereto, each of the
            Seller and the Servicer shall have provided the Administrator and
            each Purchaser Agent with such other approvals, opinions, reports or
            documents or shall enter into any amendments hereto as the
            Administrator or any Purchaser Agent may reasonably request.

                  (v)   Upon the satisfaction of each of the conditions set
            forth in this Section 1(q) and payment of the fees set forth in
            Section 6.4 of the Agreement, the Administrator and each Purchaser
            Agent may, prior to the specified cut off date for such Take Out
            Securitization, consent to the Seller's disposal of the foreign
            Receivables in which it or any Purchaser then has an interest, and
            absent such consent the Seller shall not include any foreign
            receivable in which any Purchaser has an interest in the Take-Out
            Securitization (which excludes Excluded Foreign Receivables).

      2.    Covenants of the Servicer and York. Until the latest of the Facility
Termination Date, the date on which no Investment of or Discount in respect of
the Purchased Interest shall be outstanding or the date all other amounts owed
by the Seller under the Agreement to the Purchaser Agents, the Purchasers, the
Administrator and any other Indemnified Party or Affected Person shall be paid
in full:

                                      IV-7
<PAGE>

            (a)   Compliance with Laws, Etc. The Servicer and, to the extent
      that it ceases to be the Servicer, York shall comply (and shall cause each
      Originator to comply) in all material respects with all applicable laws,
      rules, regulations and orders, and preserve and maintain its corporate
      existence, rights, franchises, qualifications and privileges, except to
      the extent that the failure so to comply with such laws, rules and
      regulations or the failure so to preserve and maintain such existence,
      rights, franchises, qualifications and privileges would not have a
      Material Adverse Effect.

            (b)   Offices, Records and Books of Account, Etc. The Servicer and,
      to the extent that it ceases to be the Servicer, York, shall keep (and
      shall cause each Originator to keep) its principal place of business and
      chief executive office (as such terms or similar terms are used in the
      applicable UCC) and the office where it keeps its records concerning the
      Receivables at the address of the Servicer set forth under its name on the
      signature page to the Agreement or, upon at least 30 days' prior written
      notice of a proposed change to the Administrator, at any other locations
      in jurisdictions where all actions reasonably requested by the
      Administrator to protect and perfect the interest of the Administrator
      (for the benefit of each Purchaser) in the Receivables and related items
      (including the Pool Assets) have been taken and completed. The Servicer
      and, to the extent that it ceases to be the Servicer, York, also will (and
      will cause each Originator to) maintain and implement administrative and
      operating procedures (including an ability to recreate records evidencing
      Receivables and related Contracts in the event of the destruction of the
      originals thereof), and keep and maintain all documents, books, records,
      computer tapes and disks and other information reasonably necessary or
      advisable for the collection of all Receivables (including records
      adequate to permit the daily identification of each Receivable and all
      Collections of and adjustments to each existing Receivable). The Servicer
      will (and will cause each Originator to) on or prior to the date of the
      Agreement, mark its master data processing records and other books and
      records relating to the Purchased Interest (and at all times thereafter
      (until the latest of the Facility Termination Date or the date all other
      amounts owing by the Seller under the Agreement shall be paid in full)
      continue to maintain such records) with a legend, acceptable to the
      Administrator, describing the Purchased Interest.

            (c)   Performance and Compliance with Contracts and Credit and
      Collection Policy. The Servicer and, to the extent that it ceases to be
      the Servicer, York, shall (and shall cause each Originator to), at its
      expense, timely and fully perform and comply with all material provisions,
      covenants and other promises required to be observed by it under the
      Contracts related to the Receivables, and timely and fully comply in all
      material respects with the applicable Credit and Collection Policies with
      regard to each Receivable and the related Contract.

            (d)   Extension or Amendment of Receivables. Except as provided in
      the Agreement, the Servicer and, to the extent that it ceases to be the
      Servicer, York, shall not extend (and shall not permit any Originator to
      extend), the maturity or adjust the Outstanding Balance or otherwise
      modify the terms of any Pool Receivable, or amend, modify or waive any
      term or condition of any related Contract.

                                      IV-8
<PAGE>

            (e)   Change in Business or Credit and Collection Policy. The
      Servicer and, to the extent that it ceases to be the Servicer, York, shall
      not make (and shall not permit any Originator to make) any change in the
      character of its business or in any Credit and Collection Policy that
      would have a Material Adverse Effect. The Servicer and, to the extent that
      it ceases to be the Servicer, York, shall not make (and shall not permit
      any Originator to make) any other change in any Credit and Collection
      Policy without the prior written consent of the Administrator and each
      Purchaser Agent.

            (f)   Audits. The Servicer and, to the extent that it ceases to be
      the Servicer, York, shall (and shall cause each Originator to), from time
      to time during regular business hours, but no more frequently than annual
      unless (x) a Termination Event or Unmatured Termination Event has occurred
      and is continuing or (y) in the opinion of the Administrator (with the
      consent or at the direction of the Majority Purchasers) reasonable grounds
      for insecurity exist with respect to the collectibility of a material
      portion of the Pool Receivables or with respect to the Servicer's
      performance or ability to perform in any material respect its obligations
      under the Agreement, as reasonably requested in advance (unless a
      Termination Event or Unmatured Termination Event exists) by the
      Administrator or a Purchaser, permit the Administrator or a Purchaser, or
      of the Administrator or any Purchaser agent or representative: (i) to
      examine and make copies of and abstracts from all books, records and
      documents (including computer tapes and disks) in its possession or under
      its control relating to Receivables and the Related Security, including
      the related Contracts; and (ii) to visit its offices and properties for
      the purpose of examining such materials described in clause (i) above, and
      to discuss matters relating to Receivables and the Related Security or its
      performance hereunder or under the Contracts with any of its officers,
      employees, agents or contractors having knowledge of such matters and
      (iii) without limiting clauses (i) and (ii) above, no more than once
      annually (unless a Termination Event or an Unmatured Termination Event
      exists or there shall be a material variance in the performance of the
      Receivables), during regular business hours, and upon reasonable prior
      notice, to engage certified public accountants or other auditors
      acceptable to the Servicer and the Administrator to conduct, at the
      Servicer's expense, a review of the Servicer's books and records with
      respect to such Receivables.

            (g)   Change in Lock-Box Banks, Lock-Box Accounts and Payment
      Instructions to Obligors. The Servicer and, to the extent that it ceases
      to be the Servicer, York, shall not (and shall not permit any Originator
      to) add or terminate any bank as a Lock-Box Bank or any account as a
      Lock-Box Account (or any related lock-box) from those listed in Schedule
      II to the Agreement, or make any change in its instructions to Obligors
      regarding payments to be made to the Servicer or any Lock-Box Account (or
      related lock-box), unless the Administrator and the Majority Purchasers
      shall have consented thereto in writing and the Administrator shall have
      received copies of all agreements and documents (including Lock-Box
      Agreements) that it may reasonably request in connection therewith.
      Notwithstanding anything herein to the contrary, the Administrator and the
      Majority Purchasers shall not be required to consent in connection with
      the Servicer's request to terminate and/or add any bank as a Lock-Box Bank
      and/or Lock-Box Account provided that the new Lock-Box Bank or Lock-Box
      Account to be added is (or is with) a commercial bank having a combined
      capital and surplus of at least

                                      IV-9
<PAGE>

      $250,000,000. The Servicer will not deposit or otherwise credit, or cause
      or permit to be so deposited or credited, to any Lock-Box Account cash or
      cash proceeds other than Collections, including, from and after the
      effectiveness of any Take Out Securitization, cash or cash proceeds
      related to Excluded Foreign Receivables or any cash or cash proceeds of
      receivables which do not constitute "Receivables" under the Transaction
      Documents at the time of deposit.

            (h)   Deposits to Lock-Box Accounts. The Servicer shall: (i)
      deposit, or cause to be deposited, any Collections received by it into
      Lock-Box Accounts not later than one Business Day after receipt thereof,
      and (ii) instruct all Obligors to make payments of all Receivables to one
      or more Lock-Box Accounts or to lock-boxes to which only Lock-Box Banks
      have access (and shall instruct the Lock-Box Banks to cause all items and
      amounts relating to such Receivables received in such lock-boxes to be
      removed and deposited into a Lock-Box Account on a daily basis). Each
      Lock-Box Account shall at all times be subject to a Lock-Box Agreement.
      The Servicer will not deposit or otherwise credit, or cause or permit to
      be so deposited or credited, to any Lock-Box Account cash or cash proceeds
      other than Collections, including, from and after the effectiveness of any
      Take Out Securitization, cash or cash proceeds related to Excluded Foreign
      Receivables. or any cash or cash proceeds of receivables which do not
      constitute "Receivables" under the Transaction Documents at the time of
      deposit.

            (i)   Reporting Requirements. York shall provide to the
      Administrator (in multiple copies, if requested by the Administrator) and
      each Purchaser Agent the following:

                  (i)   as soon as available and in any event within 45 days
            after the end of the first three quarters of each fiscal year of
            York and the Seller, balance sheets of York and its consolidated
            Subsidiaries and of Seller as of the end of such quarter and
            statements of income, retained earnings and cash flow of York and
            its consolidated Subsidiaries and the Seller for the period
            commencing at the end of the previous fiscal year and ending with
            the end of such quarter, certified by the chief financial officer of
            such Person;

                  (ii)  as soon as available and in any event within 90 days
            after the end of each fiscal year of York and of Seller, a copy of
            the annual report for such year for York and its consolidated
            Subsidiaries and the Seller, containing financial statements for
            such year audited by independent certified public accountants of
            nationally recognized standing;

                  (iii) as to the Servicer only, as soon as available and in any
            event not later than two Business Days prior to the Settlement Date,
            an Information Package as of the last day of such month or, within
            10 Business Days of a request by the Administrator or any Purchaser
            Agent, an Information Package for such periods as is specified by
            the Administrator or such Purchaser Agent (including on a
            semi-monthly, weekly or daily basis);

                                     IV-10
<PAGE>

                  (iv)  as soon as possible and in any event within five days
            after becoming aware of the occurrence of each Termination Event or
            Unmatured Termination Event, a statement of the chief financial
            officer of York setting forth details of such Termination Event or
            Unmatured Termination Event and the action that such Person has
            taken and proposes to take with respect thereto;

                  (v)   promptly after the sending or filing thereof, copies of
            all reports that York sends to any of its security holders, and
            copies of all reports and registration statements that York or any
            Subsidiary files with the Securities and Exchange Commission or any
            national securities exchange; provided, that any filings with the
            Securities and Exchange Commission that have been granted
            "confidential" treatment shall be provided promptly after such
            filings have become publicly available;

                  (vi)  promptly after the filing or receiving thereof, copies
            of all reports and notices that York or any of its Affiliate files
            under ERISA with the Internal Revenue Service, the Pension Benefit
            Guaranty Corporation or the U.S. Department of Labor or that such
            Person or any of its Affiliates receives from any of the foregoing
            or from any multiemployer plan (within the meaning of Section
            4001(a)(3) of ERISA) to which such Person or any of its Affiliate is
            or was, within the preceding five years, a contributing employer, in
            each case in respect of the assessment of withdrawal liability or an
            event or condition that could, in the aggregate, result in the
            imposition of a liability on York and/or any such Affiliate;

                  (vii) at least thirty days before any change in York's or any
            Originator's name or any other change requiring the amendment of UCC
            financing statements, a notice setting forth such changes and the
            effective date thereof;

                  (viii) promptly after York obtains knowledge thereof, notice
            of any: (A) litigation, investigation or proceeding that may exist
            at any time between York or any of its Subsidiaries and any
            Governmental Authority that, if not cured or if adversely
            determined, as the case may be, would have a Material Adverse
            Effect; (B) litigation or proceeding adversely affecting such Person
            or any of its Subsidiaries in which the amount involved is
            $1,000,000 or more and not covered by insurance or in which
            injunctive or similar relief is sought; or (C) litigation or
            proceeding relating to any Transaction Document;

                  (ix)  promptly after obtaining knowledge thereof, notice of a
            material adverse change in the business, operations, property or
            financial or other condition of the Servicer, the Seller or York or
            any of its subsidiaries;

                  (x)   promptly after the occurrence thereof, notice of any
            downgrade or withdrawal of any of York's debt ratings (long or short
            term) by any Rating Agency;

                  (xi)  such other information respecting the Receivables or the
            condition or operations, financial or otherwise, of York or any of
            its Affiliates as the

                                     IV-11
<PAGE>

            Administrator or any Purchaser Agent may from time to time
            reasonably request; and

                  (xii) promptly after the occurrence thereof, notice of any
            material acquisition or investment by York of or in any Person,
            business or operation.

      3.    Separate Existence. Each of the Seller and York hereby acknowledges
that the Purchasers, the Purchaser Agents, the Administrator and the Liquidity
Providers are entering into the transactions contemplated by this Agreement and
the other Transaction Documents in reliance upon the Seller's identity as a
legal entity separate from York and its Affiliates. Therefore, from and after
the date hereof, each of the Seller and York shall take all steps specifically
required by the Agreement or reasonably required by the Administrator to
continue the Seller's identity as a separate legal entity and to make it
apparent to third Persons that the Seller is an entity with assets and
liabilities distinct from those of York and any other Person, and is not a
division of York, its Affiliates or any other Person. Without limiting the
generality of the foregoing and in addition to and consistent with the other
covenants set forth herein, each of the Seller and York shall take such actions
as shall be required in order that:

            (a)   The Seller will be a limited purpose limited liability company
      whose primary activities are restricted in its limited liability company
      agreement to: (i) purchasing or otherwise acquiring from the Originators,
      owning, holding, granting security interests or selling interests in Pool
      Assets, (ii) entering into agreements for the selling and servicing of the
      Receivables Pool, and (iii) conducting such other activities as it deems
      necessary or appropriate to carry out its primary activities;

            (b)   The Seller shall not engage in any business or activity, or
      incur any indebtedness or liability, other than as expressly permitted by
      the Transaction Documents;

            (c)   Not less than one member of the Seller's Board of Directors
      (the "Independent Director") shall be an individual who is not a direct,
      indirect or beneficial stockholder, officer, director, employee,
      affiliate, associate or supplier of York or any of its Affiliates. The
      limited liability company agreement of the Seller shall provide that: (i)
      the Seller's Board of Directors shall not approve, or take any other
      action to cause the filing of, a voluntary bankruptcy petition with
      respect to the Seller unless the Independent Director shall approve the
      taking of such action in writing before the taking of such action, and
      (ii) such provision cannot be amended without the prior written consent of
      the Independent Director;

            (d)   The Independent Director shall not at any time serve as a
      trustee in bankruptcy for the Seller, York or any Affiliate thereof;

            (e)   Any employee, consultant or agent of the Seller will be
      compensated from the Seller's funds for services provided to the Seller.
      The Seller will not engage any agents other than its attorneys, auditors
      and other professionals, and a servicer and any other agent contemplated
      by the Transaction Documents for the Receivables Pool, which

                                     IV-12
<PAGE>

      servicer will be fully compensated for its services by payment of the
      Servicing Fee, and a manager, which manager will be fully compensated from
      the Seller's funds;

            (f)   The Seller will contract with the Servicer to perform for the
      Seller all operations required on a daily basis to service the Receivables
      Pool. The Seller will pay the Servicer the Servicing Fee pursuant to the
      Agreement. The Seller will not incur any material indirect or overhead
      expenses for items shared with York (or any other Affiliate thereof) that
      are not reflected in the Servicing Fee. To the extent, if any, that the
      Seller (or any Affiliate thereof) shares items of expenses not reflected
      in the Servicing Fee or the manager's fee, such as legal, auditing and
      other professional services, such expenses will be allocated to the extent
      practical on the basis of actual use or the value of services rendered,
      and otherwise on a basis reasonably related to the actual use or the value
      of services rendered; it being understood that York shall pay all expenses
      relating to the preparation, negotiation, execution and delivery of the
      Transaction Documents, including legal, agency and other fees;

            (g)   The Seller's operating expenses will not be paid by York or
      any other Affiliate thereof;

            (h)   All of the Seller's business correspondence and other
      communications shall be conducted in the Seller's own name and on its own
      separate stationery;

            (i)   The Seller's books and records will be maintained separately
      from those of York and any other Affiliate thereof;

            (j)   All financial statements of York or any Affiliate thereof that
      are consolidated to include Seller will contain detailed notes clearly
      stating that: (i) a special purpose limited liability company exists as a
      Subsidiary of York, and (ii) the Originators have sold receivables and
      other related assets to such special purpose Subsidiary that, in turn, has
      sold undivided interests therein to certain financial institutions and
      other entities;

            (k)   The Seller's assets will be maintained in a manner that
      facilitates their identification and segregation from those of York or any
      Affiliate thereof;

            (l)   The Seller will strictly observe organizational formalities in
      its dealings with York or any Affiliate thereof, and funds or other assets
      of the Seller will not be commingled with those of York or any Affiliate
      thereof except as permitted by the Agreement in connection with servicing
      the Pool Receivables. The Seller shall not maintain joint bank accounts or
      other depository accounts to which York or any Affiliate thereof (other
      than York in its capacity as the Servicer) has independent access. The
      Seller is not named, and has not entered into any agreement to be named,
      directly or indirectly, as a direct or contingent beneficiary or loss
      payee on any insurance policy with respect to any loss relating to the
      property of York or any Subsidiary or other Affiliate of York. The Seller
      will pay to the appropriate Affiliate the marginal increase or, in the
      absence of such increase, the market amount of its portion of the premium
      payable with respect to any insurance policy that covers the Seller and
      such Affiliate;

                                     IV-13
<PAGE>

            (m)   The Seller will maintain arm's-length relationships with York
      (and any Affiliate thereof). Any Person that renders or otherwise
      furnishes services to the Seller will be compensated by the Seller at
      market rates for such services it renders or otherwise furnishes to the
      Seller. Neither the Seller nor York will be or will hold itself out to be
      responsible for the debts of the other or the decisions or actions
      respecting the daily business and affairs of the other. The Seller and
      York will immediately correct any known misrepresentation with respect to
      the foregoing, and they will not operate or purport to operate as an
      integrated single economic unit with respect to each other or in their
      dealing with any other entity; and

            (n)   York shall not pay the salaries of Seller's employees, if any.

                                     IV-14
<PAGE>

                                    EXHIBIT V
                               TERMINATION EVENTS

      Each of the following shall be a "Termination Event":

      (a)   (i) the Seller, York, any Originator or the Servicer shall fail to
perform or observe any term, covenant or agreement under the Agreement or any
other Transaction Document and, except as otherwise provided herein, such
failure shall continue for more than 15 Business Days after knowledge or notice
thereof, (ii) the Seller or the Servicer shall fail to make when due any payment
or deposit to be made by it under the Agreement (without counting any amounts
made available in connection with the Take Out Securitization) and such failure
shall continue unremedied for one Business Day, (iii) York shall resign as
Servicer, and no successor Servicer reasonably satisfactory to the Administrator
and the Majority Purchasers shall have been appointed, (iv) the Seller shall
have breached any of its covenants and agreements set forth in the first
sentence of paragraph 1(b), or in paragraphs 1(d), 1(e), 1(f), 1(i), 1(j), 1(l),
1(m), 1(n) or paragraph 3 of Exhibit IV to the Agreement, after giving effect to
any applicable cure period, if any, expressly set forth therein, and solely to
the extent that no cure period is set forth in the related paragraph, the
applicable cure period shall be 5 Business Days or (v) York or the Servicer
shall have breached any of its covenants and agreements set forth in the first
sentence of paragraph 2(b), or in paragraphs 2(d), 2(g) or 2(h) or paragraph 3
of Exhibit IV to the Agreement, after giving effect to any applicable cure
period, if any, expressly set forth therein, and solely to the extent that no
cure period is set forth in the related paragraph, the applicable cure period
shall be 5 Business Days;

      (b)   York (or any Affiliate thereof) shall fail to transfer to any
successor Servicer when required any rights pursuant to the Agreement that York
(or such Affiliate) then has as Servicer;

      (c)   any representation or warranty made or deemed made by the Seller,
the Servicer, York or any Originator (or any of their respective officers) under
or in connection with the Agreement or any other Transaction Document, or any
information or report (other than in any Information Package) delivered by the
Seller, the Servicer, York or any Originator pursuant to the Agreement or any
other Transaction Document, shall prove to have been incorrect or untrue in any
respect when made or deemed made or delivered; provided, however, if the
violation of this paragraph (c) by the Seller, the Servicer or any Originator
may be cured without any potential or actual detriment to the Issuer, the
Administrator or any Program Support Provider, the Seller, the Servicer, York,
or such Originator, as applicable, shall have 15 Business Days from the earlier
of (i) such Person's actual knowledge of such failure and (ii) notice to such
Person of such failure to so cure any such violation before a Termination Event
shall occur so long as such Person is diligently attempting to effect such cure;

      (d)   the Seller or the Servicer shall fail to deliver the Information
Package pursuant to the Agreement, and such failure shall remain unremedied for
two Business Days;

      (e)   the Agreement or any purchase or reinvestment pursuant to the
Agreement shall for any reason: (i) cease to create, or the Purchased Interest
shall for any reason cease to be, a valid and enforceable perfected undivided
percentage ownership or security interest to the extent

                                      V-1
<PAGE>

of the Purchased Interest in each Pool Receivable, the Related Security and
Collections with respect thereto, free and clear of any Adverse Claim, or (ii)
cease to create with respect to the Pool Assets, or the interest of the
Administrator (for the benefit of the Purchasers) with respect to such Pool
Assets shall cease to be, a valid and enforceable first priority perfected
security interest, free and clear of any Adverse Claim;

      (f)   the Seller, York or any Originator shall generally not pay its debts
as such debts become due, or shall admit in writing its inability to pay its
debts generally, or shall make a general assignment for the benefit of
creditors; or any proceeding shall be instituted by or against the Seller, York
or any Originator seeking to adjudicate it a bankrupt or insolvent, or seeking
liquidation, winding up, reorganization, arrangement, adjustment, protection,
relief or composition of it or its debts under any law relating to bankruptcy,
insolvency or reorganization or relief of debtors, or seeking the entry of an
order for relief or the appointment of a receiver, trustee, custodian or other
similar official for it or for any substantial part of its property and, in the
case of any such proceeding instituted against it (but not instituted by it),
either such proceeding shall remain undismissed or unstayed for a period of 60
days, or any of the actions sought in such proceeding (including the entry of an
order for relief against, or the appointment of a receiver, trustee, custodian
or other similar official for, it or for any substantial part of its property)
shall occur; or the Seller, York or any Originator shall take any organizational
action to authorize any of the actions set forth above in this paragraph (f);

      (g)   (i) (A) the Default Ratio shall exceed 4%, or (B) the Delinquency
Ratio shall exceed 13% or (c) the Current Days' Sales Outstanding shall exceed
50 days or (ii) the average for three consecutive calendar months of (A) the
Default Ratio shall exceed 3.5%, (B) the Delinquency Ratio shall exceed 12%, or
(C) the Dilution Ratio shall exceed 7.25%;

      (h)   a Change in Control shall occur with respect to Seller, any
Originator or York;

      (i)   at any time (i) the sum of (A) the Aggregate Investment plus (B) the
Total Reserves, exceeds (ii) the sum of (A) the Net Receivables Pool Balance at
such time plus (B) the Purchasers' Share of the amount of Collections then on
deposit in the Lock-Box Accounts (other than amounts set aside therein
representing Discount and Fees), and such circumstance shall not have been cured
within five days;

      (j)   (i) York or any of its Subsidiaries shall fail to pay any principal
of or premium or interest on any of its Debt that is outstanding in a principal
amount of at least $25,000,000 in the aggregate when the same becomes due and
payable (whether by scheduled maturity, required prepayment, acceleration,
demand or otherwise), and such failure shall continue after the applicable grace
period, if any, specified in the agreement, mortgage, indenture or instrument
relating to such Debt (and shall have not been waived); or (ii) any other event
shall occur or condition shall exist under any agreement, mortgage, indenture or
instrument relating to any such Debt and shall continue after the applicable
grace period, if any, specified in such agreement, mortgage, indenture or
instrument (and shall have not been waived), if, in either case: (a) the effect
of such non-payment, event or condition is to give the applicable debtholders
the right (whether acted upon or not) to accelerate the maturity of such Debt,
or (b) any such Debt shall be declared to be due and payable, or required to be
prepaid (other than by a regularly scheduled required prepayment), redeemed,
purchased or defeased, or an offer to repay, redeem, purchase

                                      V-2
<PAGE>

or defease such Debt shall be required to be made, in each case before the
stated maturity thereof;

      (k)   either: (i) a contribution failure shall occur with respect to any
Benefit Plan sufficient to give rise to a lien under Section 302(f) of ERISA and
such failure shall not be cured within 10 days, (ii) the Internal Revenue
Service shall file a notice of lien asserting a claim or claims of $250,000 or
more in the aggregate pursuant to the Internal Revenue Code with regard to any
of the assets of Seller, any Originator, York or any ERISA Affiliate and such
lien shall have been filed and not released within 10 days, or (iii) the Pension
Benefit Guaranty Corporation shall, or shall indicate its intention in writing
to the Seller, any Originator, York or any ERISA Affiliate to, either file a
notice of lien asserting a claim pursuant to ERISA with regard to any assets of
the Seller, any Originator, York or any ERISA Affiliate or terminate any Benefit
Plan that has unfunded benefit liabilities, or any steps shall have been taken
to terminate any Benefit Plan subject to Title IV of ERISA so as to result in
any liability in excess of $1,000,000 and such lien shall have been filed and
not released within 10 days;

      (l)   one or more final judgments for the payment of money shall be
entered against the Seller or (ii) one or more final judgments for the payment
of money in an amount in excess of $20,000,000, individually or in the
aggregate, shall be entered against the Servicer or any Originator on claims not
covered by insurance or as to which the insurance carrier has denied its
responsibility, and such judgment shall continue unsatisfied and in effect for
sixty (60) consecutive days without a stay of execution; or

      (m)   the "Purchase and Sale Termination Date" under and as defined in the
Purchase and Sale Agreement shall occur under the Purchase and Sale Agreement or
any Originator shall for any reason cease to transfer, or cease to have the
legal capacity to transfer, or otherwise be incapable of transferring
Receivables to the Seller under the Purchase and Sale Agreement.

                                      V-3
<PAGE>

                                   EXHIBIT VI
                    SUPPLEMENTAL PERFECTION REPRESENTATIONS,
                            WARRANTIES AND COVENANTS

      In addition to the representations, warranties and covenants contained in
Exhibit III and Exhibit IV hereof, the Seller hereby makes the following
additional representations, warranties and covenants:

      1.    Receivables; Lock-box Accounts.

            (a)   Pool Receivables. The Pool Receivables constitute "accounts",
"general intangibles" or "tangible chattel paper", each within the meaning of
the applicable UCC.

            (b)   Lock-Box Accounts. Each Lock-Box Account constitutes a
"deposit account" within the meaning of the applicable UCC.

      2.    Creation of Security Interest. The Seller owns and has good and
marketable title to the Pool Receivables and Lock-Box Accounts (and the related
lock-boxes), free and clear of any Adverse Claim. The Agreement creates a valid
and continuing security interest (as defined in the applicable UCC) in the Pool
Receivables and the Lock-Box Accounts (and the related lock-boxes) in favor of
the Administrator (for the benefit of the Purchasers), which security interest
is prior to all other Adverse Claims and is enforceable as such as against any
creditors of and purchasers from the Seller.

      3.    Perfection.

            (a)   General. The Seller has or has caused, or will or will cause
within ten days after the date hereof, the filing of all appropriate financing
statements in the proper filing office in the appropriate jurisdictions under
applicable law in order to perfect the sale of the Pool Receivables from the
Originators to the Seller pursuant to the Purchase and Sale Agreement and the
security interest granted by the Seller to the Administrator (for the benefit of
the Purchasers) in the Receivables and Lock-Box Accounts (and the related
lock-boxes) hereunder.

            (b)   Tangible Chattel Paper. With respect to any Pool Receivable
that constitutes "tangible chattel paper", the Servicer is in possession of the
original copies of the tangible chattel paper that constitute or evidence such
Pool Receivables, and the Seller has filed and has caused each Originator to
file, or will file or will cause each Originator to file within ten days after
the date hereof, the financing statements described in paragraph (a) above, each
of which will contain a statement that: "A purchase of or a grant of a security
interest in any property described in this financing statement will violate the
rights of the Administrator." The Pool Receivables to the extent they are
evidenced by "tangible chattel paper" do not have any marks or notations
indicating that they have been pledged, assigned or otherwise conveyed to any
Person other than the Seller or the Administrator.

            (c)   Lock-Box Accounts. With respect to all Lock-Box Accounts (and
all related lock-boxes), the Seller has delivered to the Administrator, on
behalf of the Purchasers, a fully executed Lock-Box Agreement pursuant to which
the applicable Lock-Box Bank has agreed, following the occurrence and
continuation of a Termination Event, to comply with all

                                      VI-4
<PAGE>

instructions given by the Administrator with respect to all funds on deposit in
such Lock-Box Account (and all funds sent to the respective lock-box), without
further consent by the Seller or the Servicer.

      4.    Priority.

            (a)   Other than the transfer of the Receivables by the Originators
to the Seller pursuant to the Purchase and Sale Agreement and the grant of
security interest by the Seller to the Administrator (for the benefit of the
Purchasers) in the Pool Receivables and Lock-Box Accounts (and the related
lock-boxes) hereunder, neither the Seller nor any Originator has pledged,
assigned, sold, conveyed, or otherwise granted a security interest in any of the
Pool Receivables or Lock-Box Accounts (and the related lock-boxes) to any other
Person.

            (b)   Neither the Seller nor any Originator has authorized, or is
aware of, any filing of any financing statement against the Seller or any
Originator that include a description of collateral covering the Pool
Receivables or any other Pool Assets, other than any financing statement filed
pursuant to the Purchase and Sale Agreement and the Agreement or financing
statements that have been validly terminated prior to the date hereof.

            (c)   The Seller is not aware of any judgment, ERISA or tax lien
filings against either the Seller or any Originator.

            (d)   None of the Lock-Box Accounts (and the related lock-boxes) are
in the name of any Person other than the Seller or the Administrator. Neither
the Seller, the Servicer or any Originator has consented to any Lock-Box Bank's
complying with instructions of any person other than the Administrator.

      5.    Survival of Supplemental Representations. Notwithstanding any other
provision of the Agreement or any other Transaction Document, the
representations contained in this Exhibit VI shall be continuing, and remain in
full force and effect until such time as all the Investment has finally been
paid in full and all other obligations of the Seller under the Agreement or any
other Transaction Documents have been fully performed.

      6.    No Waiver. The parties to the Agreement: (i) shall not, without
obtaining a written confirmation of the then-current rating of the Notes by the
rating agencies then rating the Notes, waive any of the representations set
forth in this Exhibit VI; (ii) shall provide the ratings agencies rating the
Notes with prompt written notice of any breach of any representations set forth
in this Exhibit VI, and (iii) shall not, without obtaining a written
confirmation of the then-current rating of the Notes by the rating agencies then
rating the Notes (as determined after any adjustment or withdrawal of the
ratings following notice of such breach) waive a breach of any of the
representations set forth in this Exhibit VI.

      7.    Seller or Servicer to Maintain Perfection and Priority. In order to
evidence the interests of the Administrator under this Agreement, the Seller or
Servicer shall, from time to time take such action, or execute and deliver such
instruments (other than filing financing statements) as may be necessary or
advisable (including, without limitation, such actions as are requested by the
Administrator on behalf of the Purchasers) to maintain and perfect, as a
first-priority interest, the Administrator's security interest (for the benefit
of the Purchasers) in the

                                      VI-5
<PAGE>

Pool Assets. The Seller or Servicer shall, from time to time and within the time
limits established by law, prepare and present to the Administrator for the
Administrator's authorization and approval all financing statements, amendments,
continuations or initial financing statements in lieu of a continuation
statement, or other filings necessary to continue, maintain and perfect the
Administrator's security interest (for the benefit of the Purchasers in the Pool
Assets as a first-priority interest. The Administrator's approval of such
filings shall authorize the Seller or Servicer to file such financing statements
under the UCC without the signature of the Seller, any Originator or the
Administrator where allowed by applicable law. Notwithstanding anything else in
the Transaction Documents to the contrary, neither the Seller, the Servicer, nor
any Originator, shall have any authority to file a termination, partial
termination, release, partial release or any amendment that deletes the name of
a debtor or excludes collateral of any such financing statements, without the
prior written consent of the Administrator, on behalf of the Purchasers.

                                      VI-6
<PAGE>

                                   SCHEDULE I
                          CREDIT AND COLLECTION POLICY
                                [to be inserted]

                                  Schedule I-1

<PAGE>

                                   SCHEDULE II
                      LOCK-BOX BANKS AND LOCK-BOX ACCOUNTS

Lock-Box Bank                     Lock-Box(es)                           Account

                                  Schedule II-1

<PAGE>

                                  SCHEDULE III
                                   TRADE NAMES

Organizational Name                             Trade Names / Fictitious Names

York Receivables Funding LLC                    None

                                 Schedule III-1
<PAGE>

                                     ANNEX A

             TO AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                           INITIAL INFORMATION PACKAGE
                                [to be inserted]

                                    Annex A-1
<PAGE>

                                                                         ANNEX B
                          TO AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                             FORM OF PURCHASE NOTICE

                                  May 12, 2004

The Bank of Tokyo-Mitsubishi, Ltd., New York Branch, as Administrator and as a
Purchaser Agent
1251 Avenue of the Americas
New York, New York  10020-1104

The Bank of Nova Scotia, as a Purchaser Agent
One Liberty Plaza
New York, New York  10006

Ladies and Gentlemen:

      Reference is hereby made to the Amended and Restated Receivables Purchase
Agreement, dated as of May 17, 2004, (as heretofore amended, amended and
restated, supplemented or otherwise modified, the "Receivables Purchase
Agreement"), among York Receivables Funding LLC ("Seller "), York International
Corporation, as Servicer, Gotham Funding Corporation, Liberty Street Funding
Corp., The Bank of Nova Scotia, the various other Purchaser Groups from time to
time a party thereto and The Bank of Tokyo-Mitsubishi, Ltd., New York Branch,
(the "Administrator"). Capitalized terms used in this Purchase Notice and not
otherwise defined herein shall have the meanings assigned thereto in the
Receivables Purchase Agreement.

      This letter constitutes a Purchase Notice pursuant to Section 1.2(a) of
the Receivables Purchase Agreement. Seller desires to sell an undivided variable
interest in a pool of receivables on ___________, [2004], for a purchase price
of $____________. Subsequent to this Purchase, the Aggregate Investment will be
$___________. Each Purchaser's Purchaser Group Ratable Share of such Purchase is
set forth on Schedule I attached hereto.

      Seller hereby represents and warrants as of the date hereof, and as of the
date of Purchase, as follows:

      (i)   the representations and warranties contained in Exhibit III of the
Receivables Purchase Agreement are correct on and as of such dates as though
made on and as of such dates and shall be deemed to have been made on such
dates;

      (ii)  no Termination Event or Unmatured Termination Event has occurred and
is continuing, or would result from such purchase;

      (iii) after giving effect to the purchase proposed hereby, the Purchased
Interest will not exceed 100% and the Aggregate Investment will not exceed the
Purchase Limit; and

      (iv)  the Facility Termination Date shall not have occurred.

                                    Annex B-1

<PAGE>

      IN WITNESS WHEREOF, the undersigned has caused this Purchase Notice to be
executed by its duly authorized officer as of the date first above written.

                                         YORK RECEIVABLES FUNDING LLC

                                         By:_______________________________
                                         Name Printed:_____________________
                                         Title:____________________________

                                    Annex B-2

<PAGE>

                                  SCHEDULE I TO
                                 PURCHASE NOTICE

                                                                 Purchaser Group
Purchaser                                                          Ratable Share

                                    Annex B-3

<PAGE>

                                     ANNEX C
             TO AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                          FORM OF ASSUMPTION AGREEMENT

      THIS ASSUMPTION AGREEMENT (this "Agreement"), dated as of [______ __,
____], is among YORK RECEIVABLES FUNDING LLC (the "Seller"), [________], as
purchaser (the "[_____]Conduit Purchaser"), [________], as the related committed
purchaser (the "[______] Related Committed Purchaser" and together with the
Conduit Purchaser, the "[_____] Purchasers"), and [________], as agent for the
Purchasers (the "[______] Purchaser Agent" and together with the Purchasers, the
"[_______] Purchaser Group").

                                   BACKGROUND

      The Seller and various others are parties to a certain Amended and
Restated Receivables Purchase Agreement, dated as of May 17, 2004 (as amended,
amended and restated, supplemented or otherwise modified through the date
hereof, the "Receivables Purchase Agreement"). Capitalized terms used and not
otherwise defined herein have the respective meaning assigned to such terms in
the Receivables Purchase Agreement.

      NOW, THEREFORE, the parties hereto hereby agree as follows:

      SECTION 1. This letter constitutes an Assumption Agreement pursuant to
Section 1.2(e) of the Receivables Purchase Agreement. The Seller desires [the
[_____] Purchasers] [the [______] Related Committed Purchaser] to [become
Purchasers under] [increase its existing Commitment under] the Receivables
Purchase Agreement and upon the terms and subject to the conditions set forth in
the Receivables Purchase Agreement, the [________] Purchasers agree to [become
Purchasers thereunder] [increase its Commitment in an amount equal to the amount
set forth as the "Commitment" under the signature of the [______] Related
Committed Purchaser hereto].

      Seller hereby represents and warrants to the [________] Purchasers as of
the date hereof, as follows:

      (i)   the representations and warranties contained in Exhibit III of the
Receivables Purchase Agreement are correct on and as of such dates as though
made on and as of such dates and shall be deemed to have been made on such
dates;

      (ii)  no Termination Event or Unmatured Termination Event has occurred and
is continuing, or would result from such purchase; and

      (iii) the Facility Termination Date shall not have occurred.

      SECTION 2. Upon execution and delivery of this Agreement by the Seller and
each member of the [______] Purchaser Group, satisfaction of the other
conditions to assignment specified in Section 1.2(e) of the Receivables Purchase
Agreement (including the consent of the Administrator and each of the other
Purchasers party thereto) and receipt by the Administrator of counterparts of
this Agreement (whether by facsimile or otherwise) executed by each of the

                          Annex C-1

<PAGE>

parties hereto, [the [_____] Purchasers shall become a party to, and have the
rights and obligations of Purchasers under, the Receivables Purchase Agreement]
[the [______] Related Committed Purchaser shall increase its Commitment in the
amount set forth as the "Commitment" under the signature of the [______] Related
Committed Purchaser, hereto].

      SECTION 3. Each party hereto hereby covenants and agrees that it will not
institute against, or join any other Person in instituting against, any Conduit
Purchaser, any bankruptcy, reorganization, arrangement, insolvency or
liquidation proceeding, or other proceeding under any federal or state
bankruptcy or similar law, for one year and one day after the latest maturing
Notes issued by such Conduit Purchaser is paid in full. The covenant contained
in this paragraph shall survive any termination of the Receivables Purchase
Agreement.

      SECTION 4. THIS AGREEMENT SHALL BE GOVERNED BY THE INTERNAL LAWS OF THE
STATE OF NEW YORK. This Agreement may not be amended, supplemented or waived
except pursuant to a writing signed by the party to be charged. This Agreement
may be executed in counterparts, and by the different parties on different
counterparts, each of which shall constitute an original, but all together shall
constitute one and the same agreement.

                         (continued on following page)

                                   Annex C-2

<PAGE>

      IN WITNESS WHEREOF, the parties hereto have executed this Agreement by
their duly authorized officers as of the date first above written.

                        [___________], as a Conduit Purchaser

                        By:_____________________________________________________
                        Name Printed:___________________________________________
                        Title:__________________________________________________

                        [Address]

                        [___________], as a Related Committed Purchaser

                        By:_____________________________________________________
                        Name Printed:___________________________________________
                        Title:__________________________________________________

                        [Address]
                        [Commitment]

                        [_____________], as Purchaser Agent for [_________]

                        By:_____________________________________________________
                        Name Printed:___________________________________________
                        Title:__________________________________________________

                        [Address]

                                      S-1
<PAGE>

YORK RECEIVABLES FUNDING LLC,
as Seller

By:____________________________
Name Printed:____________________
Title:___________________________

Consented and Agreed:

THE BANK OF TOKYO-MITSUBISHI, LTD., NEW YORK BRANCH,
as Administrator

By:____________________________
Name Printed:____________________
Title:___________________________

Consented and Agreed:

[THE PURCHASERS]

                                      S-2

<PAGE>

                                     ANNEX D
             TO AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                           FORM OF TRANSFER SUPPLEMENT
                                 WITH RESPECT TO
                          YORK RECEIVABLES FUNDING LLC
               AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT
                              [_______ __, ______]

Section 1.

      [Commitment assigned:                                           $_________
      Assignor's remaining Commitment:                                $_________
      Investment allocable to Commitment assigned:                    $_________
      Investment assigned:](1)
      Assignor's remaining Investment:                                $_________
      Discount (if any) allocable to Investment assigned:             $_________
      Discount(if any) allocable to Assignor's remaining Investment:  $_________

Section 2.

      Effective Date of this Transfer Supplement:   [__________]

      Upon execution and delivery of this Transfer Supplement by transferee and
transferor and the satisfaction of the other conditions to assignment specified
in [Section 6.3(c)] [Section 6.3(e)] of the Receivables Purchase Agreement, from
and after the effective date specified above, the transferee shall become a
party to, and have the rights and obligations of a [Conduit Purchaser] [Related
Committed Purchaser] under, the Amended and Restated Receivables Purchase
Agreement, dated as of May 17, 2004 (as amended, amended and restated,
supplemented or otherwise modified through the date hereof, the "Receivables
Purchase Agreement"), among YORK RECEIVABLES FUNDING LLC, YORK INTERNATIONAL
CORPORATION and various other parties.

----------
(1)   Bracketed language is only applicable to assignments by Related Committed
      Purchasers pursuant to Section 6.3(c).

                                   Annex D-1
<PAGE>

ASSIGNOR:                               [_________], as a [Related
                                        Committed Purchaser for
                                        [_______]] [Conduit Purchaser]

                                        By:  ___________________________________
                                             Name:______________________________
                                             Title:_____________________________

ASSIGNEE:                               [_________], as a [Related
                                        Committed Purchaser for
                                        [_______]] [Conduit Purchaser]

                                        By:  ___________________________________
                                             Name:______________________________
                                             Title:_____________________________

                                        [Address]
                                        [Commitment Assigned](2)

----------
(2)   Bracketed language is only applicable to assignments by Related Committed
      Purchasers pursuant to Section 6.3(c).

                                   Annex D-2
<PAGE>

Accepted as of date first above written:

[___________],
  as Purchaser Agent for the
[______] Purchaser Group

By: _______________________________________________
    Name:__________________________________________
    Title:_________________________________________

                                   Annex D-3
<PAGE>

                                     ANNEX E
             TO AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                             FORM OF PAYDOWN NOTICE

                             [_____________, 20___]

The Bank of Tokyo-Mitsubishi, Ltd., New York Branch
1251 Avenue of the Americas
New York, New York  10020-1104
Attention:  Securitization Group

The Bank of Nova Scotia
One Liberty Plaza
New York, New York  10006
Attention:  Norman Last

Ladies and Gentlemen:

      Reference is hereby made to the Amended and Restated Receivables Purchase
Agreement, dated as of May 17, 2004 (as heretofore amended, amended and
restated, supplemented or otherwise modified, the "Receivables Purchase
Agreement"), among York Receivables Funding LLC ("Seller"), York International
Corporation, as Servicer, Gotham Funding Corporation, Liberty Street Funding
Corp., The Bank of Nova Scotia, the various other Purchaser Groups from time to
time a party thereto and The Bank of Tokyo-Mitsubishi, Ltd., New York Branch
(the "Administrator"). Capitalized terms used in this Purchase Notice and not
otherwise defined herein shall have the meanings assigned thereto in the
Receivables Purchase Agreement.

      This letter constitutes a Paydown Notice pursuant to Section 1.4(f)(i) of
the Receivables Purchase Agreement. Seller desires to reduce the Aggregate
Investment on ______________, ___ by(3) the application of $____________ in cash
to pay the Aggregate Investment and Discount to accrue (until such cash can be
used to pay commercial paper notes) with respect to such Aggregate Investment,
together with all cost related to such reduction of Aggregate Investment.

----------
(3)   Notice must be given at least three Business Days' prior to the requested
      paydown date, in the case of reductions greater than $10,000,000, or at
      least two Business Days prior to the requested paydown date, in case of
      reductions less than or equal to $10,000,000.

                                   Annex E-1
<PAGE>

      IN WITNESS WHEREOF, the undersigned has caused this Paydown Notice to be
executed by its duly authorized officer as of the date first above written.

                                            YORK RECEIVABLES FUNDING LLC

                                            By:_______________________________

                                            Name Printed:_____________________

                                            Title:____________________________

                                   Annex E-2

<PAGE>

                                                                         ANNEX F
                          TO AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT

                   LIST OF ELIGIBLE FOREIGN OBLIGOR COUNTRIES

-     Australia
-     Canada
-     France
-     Hungary
-     Italy
-     Japan
-     Korea
-     Poland
-     Spain
-     Sweden
                                    Annex G-1<PAGE>

                                                                    EXHIBIT 10.1

                         YORK INTERNATIONAL CORPORATION
                        2002 INCENTIVE COMPENSATION PLAN
               (AS AMENDED AND RESTATED EFFECTIVE JANUARY 1, 2004)

            The purpose of the York International Corporation 2002 Incentive
      Compensation Plan (the "Plan") is to give certain management and key
      employees who are in a position to contribute materially to the success
      and profitability of York International Corporation (the "Company") an
      incentive and reward for doing so; and to assist the Company in attracting
      and retaining the highest caliber of management and key employees. This
      will be accomplished through incentive compensation in the form of annual
      awards and mid-term performance awards.

      ARTICLE 1 - DEFINITIONS.

      For purposes of the Plan, the following terms shall have the meaning
indicated:

1.1.        Annual Award - the annual award granted a Participant under the
      Annual Program.

1.2.        Annual Performance Objectives - the performance objectives set forth
      in Section 3.2 used to determine Annual Awards.

1.3.        Annual Program - the annual program portion of the Plan set forth in
      Article 3.

1.4.        Annual Target Bonus - the annual target bonus amount under Article 3
      for a Participant for a Fiscal Year.

1.5.        Board - The Board of Directors of York International Corporation.

1.6.        Change in Control - any one or more of the following:

(a)         the acquisition by any individual, entity or group (within the
      meaning of Section 13(d)(3) or 14(d)(2) of the Securities Exchange Act of
      1934, as amended (the "Exchange Act")) (a "Person") of beneficial
      ownership (within the meaning of Rule 13d-3 promulgated under the Exchange
      Act) of 30% or more of the then outstanding shares of common stock of the
      Company (the "Outstanding Company Common Stock); provided, however, that
      for purposes of this subsection (a), the following acquisitions shall not
      constitute a Change in Control: (i) any

<PAGE>

      acquisition directly from the Company, (ii) any acquisition by the
      Company, (iii) any acquisition by any employee benefit plan (or related
      trust) sponsored or maintained by the Company or any corporation
      controlled by the Company, or (iv) any acquisition by any corporation
      pursuant to a transaction which complies with clauses (A) and (B) of
      subsection (c) of this Section 1.6; or

(b)         individuals who, as of the date hereof, constitute the Board (the
      "Incumbent Board') cease for any reason to constitute at least a majority
      of the Board; provided, however, that any individual becoming a director
      subsequent to the date hereof whose election, or nomination for election
      by the Company's shareholders, was approved by a vote of at least a
      majority of the directors then comprising the Incumbent Board shall be
      considered as though such individual were a member of the Incumbent Board,
      but excluding, for this purpose, any such individual whose initial
      assumption of office occurs as a result of an actual or threatened
      election contest with respect to the election or removal of directors or
      other actual or threatened solicitation of proxies or consents by or on
      behalf of a person or entity other than the Board; or

(c)         consummation of a reorganization, merger or consolidation involving
      the Company or any subsidiary of the Company or sale or other disposition
      of all or substantially all of the assets of the Company (a "Business
      Combination"), in each case, unless, following such Business Combination,
      (A) either (i) all or substantially all of the individuals and entities
      who were the beneficial owners, respectively, of the Outstanding Company
      Common Stock immediately prior to such Business Combination beneficially
      own, directly or indirectly, more than 50% of, respectively, the then
      outstanding shares of common stock and the combined voting power of the
      then outstanding voting securities entitled to vote generally in the
      election of directors, as the case may be, of the corporation resulting
      from such Business Combination (including without limitation, a
      corporation which as a result of such transactions owns the Company or all
      or

<PAGE>

      substantially all of the Company's assets either directly or through one
      or more subsidiaries) in substantially the same proportions as their
      ownership immediately prior to such Business Combination of the
      Outstanding Company Common Stock or (ii) at least a majority of the
      members of the board of directors of the corporation resulting from such
      Business Combination were members of the Incumbent Board at the time of
      the execution of the initial agreement, or at the time of the action of
      the Board, providing for such Business Combination and (B) no person
      (excluding any corporation resulting from such Business Combination or any
      employee benefit plan (or related trust) of the Company or such
      corporation resulting from such Business Combination) beneficially owns,
      directly or indirectly, 30% or more of, respectively, the then outstanding
      shares of common stock of the corporation resulting from such Business
      Combination or the combined voting power of the then outstanding voting
      securities of such corporation except to the extent that such ownership
      existed prior to the Business Combination; or

(d)         a complete liquidation or dissolution of the Company.

1.7.        Code - the Internal Revenue Code of 1986, as amended.

1.8.        Company - York International Corporation and except for purposes of
      Sections 1.6 and 1.13, any other company which is a subsidiary within the
      meaning of Section 424(f) of the Code with respect to York International
      Corporation.

1.9.        Compensation Committee - the compensation committee of the Board
      appointed by the Board that is solely composed of two or more persons who
      are "outside directors" in accordance with the meaning of Treasury
      Regulation Section 1.162-27(e)(3), "disinterested persons" in accordance
      with the meaning set forth in Rule 16b-3 of the Exchange Act and meet the
      requirements for

<PAGE>

      "independence" within the meaning of any applicable stock exchange or
      securities self regulatory organization rule.

1.10.       Covered Employee - any individual who is, or is determined by
      the Board to be likely to become, a "covered employee" within the meaning
      of Section 162(m) of the Code, as amended.

1.11.       Disability - an inability to perform the duties assigned by the
      Company to the Participant by reason of any medically determined physical
      or mental impairment which has lasted for a continuous period of more than
      six months.

1.12.       Effective Date - January 1, 2002. This amendment and restatement is
      effective January 1, 2004.

1.13.       Fiscal Year - the fiscal year of the Company.

1.14.       Management Stock Purchase Plan - the York International Corporation
      Management Stock Purchase Plan in effect from time to time.

1.15.       Measurement Period - three consecutive Fiscal Years or such other
      period selected and established by the Compensation Committee with respect
      to any Mid-Term Program.

1.16.       Mid-Term Target Bonus - the mid-term target bonus amount under
      Article 4 for a Participant for a Measurement Period.

1.17.       Mid-Term Award - the award earned by a Participant under the
      Mid-Term Program at the end of a Measurement Period.

1.18.       Mid-Term Performance Objectives - the performance objectives set
      forth in Section 4.2 used to determine Mid-Term Award.

1.19.       Mid-Term Program - the mid-term program portion of the Plan set
      forth in Article 4.

1.20.       Omnibus Stock Plan - the York International Corporation 2002 Omnibus
      Stock Plan, in effect from time to time.

<PAGE>

1.21.       Participant - an individual eligible to participate in the Plan in
      accordance with Article 2.

1.22.       Plan - The York International Corporation 2002 Incentive
      Compensation Plan.

1.23.       Retirement - termination of employment with the Company on or after
      the date the employee either attains 62 years of age or attains 55 years
      of age and completes 5 years of service or a retirement with the approval
      of the Board of Directors.

1.24.       Termination of Employment - a termination of employment with the
      Company other than by reason of death, incurring a Disability, or
      Retirement.

1.25.       Termination for Cause - a Termination of Employment if the employee
      was terminated for (i) providing the Company with materially false
      representations relied upon by the Company in furnishing information to
      shareholders, a stock exchange or the Securities and Exchange Commission,
      (ii) maintaining an undisclosed, unauthorized and material conflict of
      interest in the discharge of duties owed to the Company, (iii) misconduct
      causing a serious violation by the Company of state or federal laws, (iv)
      theft of Company funds or assets, or (v) conviction of a crime involving
      moral turpitude.

      ARTICLE 2 - ELIGIBILITY.

(a)         An individual shall be eligible for the Annual Program if he is (i)
      a Covered Employee or (ii) a management or key employee who is approved by
      the Compensation Committee to participate in the Annual Program for the
      specified Fiscal Year.

(b)         An individual who is hired or has changed position after the
      beginning of the Fiscal Year shall be eligible for the Annual Program if
      he is a management or key employee who is approved by the Compensation
      Committee to participate in the Annual Program for the specified Fiscal
      Year. Such a Participant shall be entitled to a pro-rated Annual Cash
      Award as described in Section 3.3(c) for that Fiscal Year payable in the
      same form and at the same time as Annual Cash Awards are paid to other
      Participants.

<PAGE>

(c)         An individual shall be eligible for the Mid-Term Program if he is
      (i) a Covered Employee or (ii) a management or key employee who is
      approved by the Compensation Committee to participate in the Mid-Term
      Program for the specified Measurement Period. An individual who previously
      received an award under the Mid-Term Program, but is not currently
      eligible to do so will nonetheless participate in the Mid-Term Program
      with respect to any Mid-Term Award previously granted until such Mid-Term
      Award is paid out or such Mid-Term Award expires.

(d)         An individual who is hired or has changed position after the
      beginning of a Measurement Period shall be eligible for the Mid-Term
      Program if he is a management or key employee who is approved by the
      Compensation Committee to participate in the Mid-Term Program for the
      specified Measurement Period. Such a Participant shall be entitled to a
      pro-rated Mid-Term Award as described in Section 4.3(c) for that
      Measurement Period payable in the same form and at the same time as
      Mid-Term Awards are paid to other Participants for that Measurement
      Period.

      ARTICLE 3 - ANNUAL PROGRAM.

3.1.  Annual Award Grants

            (a)   Annual Awards shall be determined in accordance with
      pre-established Annual Performance Objectives as described in Section 3.2.
      Once established, the Compensation Committee shall not have discretion to
      modify the terms of the Annual Awards, except that the Compensation
      Committee shall have the discretion to reduce the payout under any Annual
      Award, if in the sole judgment of the Compensation Committee, the amount
      of such payout does not reflect the design intentions of the Plan. It is
      intended that all Annual Awards under the Plan to Covered Employees will
      satisfy the requirements for deductibility under Section 162(m) of the
      Code.

<PAGE>

(b)   Not later than 90 days after the beginning of the Fiscal Year (or, if
      earlier, the date as of which 25% of the Participant's period of service
      for the Fiscal Year has elapsed), the Compensation Committee will approve
      the Annual Target Bonus for each Participant's Annual Award. The Annual
      Target Bonus will be based on several factors, including market
      competitive data, job responsibilities, the aggressiveness of the
      financial budget relative to prior year performance and market conditions
      and other factors considered relevant by the Compensation Committee. The
      Compensation Committee shall approve in writing a schedule setting forth
      the percentage of Annual Target Bonus payable based on the level of
      performance objectives achieved.

(c)   At the end of a Fiscal Year the Compensation Committee shall approve the
      payment to each Participant of his Annual Award, if any. The Annual Award
      shall be based on the degree to which the predetermined Annual Performance
      Objectives for that Fiscal Year are achieved. Prior to the payment of any
      Annual Awards the Compensation Committee shall certify the degree of
      achievement of the applicable Annual Performance Objective. The maximum
      amount payable to any individual Participant as an Annual Award for a
      Fiscal Year shall be $4,000,000.

3.2.  Annual Performance Objectives. Annual Performance Objectives shall be
      developed through the Company's business planning process and shall be
      approved by the Compensation Committee in writing not later than 90 days
      after the beginning of the Fiscal Year. The Annual Performance Objectives
      shall be composed of one or more of the following: fully diluted earnings
      per share, Corporate or Division earnings before interest and taxes (with
      or without a pro forma charge for the cost of capital) in absolute dollars
      or as a percentage of sales, revenue, sales, profit after tax, gross
      profit, operating profit, unit volume, return on equity, changes in
      working capital, return on capital, cash flow, total shareholder return,
      return on net capital employed, average net capital as a percent of sales,
      manufacturing efficiency, new product development project milestone dates,

<PAGE>

      information technology systems implementation project milestone dates,
      cost of quality, purchase price variance or, for Participants other than
      Covered Employees, other objectively measurable goals approved by the
      Compensation Committee. In establishing the goals, the Compensation
      Committee will keep in mind the requirement of Reg. Section 1.162-27(e)(2)
      that the outcome must be substantially uncertain at the time the Annual
      Performance Objectives are established. The Compensation Committee will
      determine whether the attainment of Annual Performance Objectives will be
      impacted by extraordinary, unusual, or non-recurring items or changes in
      Generally Accepted Accounting Principles. A different combination of goals
      may be used for different Participants or different positions (including
      differences between Corporate and Division positions). The goals used may
      vary for each Fiscal Year. However, the specific goals to be used for a
      Participant or a class of Participants for a specific Fiscal Year shall be
      approved in writing by the Compensation Committee.

3.3.  Forfeitability of Annual Award.

            (a)   Except as provided in Section 3.3(b) and Article 5, a
      Participant must remain employed by the Company until the last day of the
      Fiscal Year to receive his Annual Award, if any. If a Participant has a
      termination of Employment which is a Termination for Cause or which is
      voluntary prior to the end of the Fiscal Year, all rights to the Annual
      Award for that Fiscal Year shall be forfeited.

            (b)   If a Participant dies, incurs a Disability, has a Retirement
      or has a Termination of Employment other than a termination described in
      3.3(a) before the end of the Fiscal Year or takes an unpaid leave of
      absence of longer than 30 days during the Fiscal Year, then such
      Participant shall be entitled to a pro-rated Annual Award for that Fiscal
      Year as described in Section 3.3(c), payable at the same time applicable
      to other Participants.

<PAGE>

            (c)   The amount of the pro-rated Annual Award referred to in
      Section 3.3(b) shall be equal to the product of (i) the amount of the
      Annual Award for that Participant determined under Section 3.1 and 3.2 and
      (ii) a fraction, the numerator of which is the number of completed
      calendar months of service performed (in the case of a Disability, the
      number of completed months through the date of Disability) by the
      Participant for the Fiscal Year and the denominator of which is twelve.

3.4   Payment of Annual Award. Subject to Section 3.5, a Participant's Annual
      Award for a Fiscal Year shall be paid in a single cash payment within 75
      days of the end of that Fiscal Year; provided, however, that any award in
      excess of 100% of a Participant's Annual Target Bonus may be paid in the
      Company's common stock to be issued under the Omnibus Stock Plan or in a
      combination of cash and common stock, in the sole discretion of the
      Compensation Committee.

3.5   Deferral of Annual Award. A Participant may elect to defer a portion or
      all of his or her Annual Award under the terms of the Management Stock
      Purchase Plan.

      ARTICLE 4 - MID-TERM PROGRAM.

4.1.  Mid-Term Award Grants.

            (a)   Mid-Term Awards shall be determined in accordance with
      pre-established Mid-Term Performance Objectives as described in Section
      4.2. Once established, the Compensation Committee shall not have
      discretion to modify the terms of the Mid-Term Awards, except that the
      Compensation Committee shall have the discretion to reduce the payout
      under any Mid-Term Award, if in the sole judgment of the Compensation
      Committee, the amount of such payout does not reflect the design
      intentions of the Plan. It is intended that all payments hereunder to
      Covered Employees will satisfy the requirements for deductibility under
      Section 162(m) of the Code.

<PAGE>

            (b)   The Mid-Term Target Bonus for each Participant's Mid-Term
      Award for the Measurement Period shall be approved by the Compensation
      Committee no later than 90 days after the commencement of the
      Participant's period of service during the Measurement Period. The
      Mid-Term Target Bonus will be based on several factors, including market
      competitive data, job responsibilities and market conditions and other
      factors considered relevant by the Compensation Committee. The Mid-Term
      Award shall be based on the degree to which the predetermined Mid-Term
      Performance Objectives for that Measurement Period are achieved. The
      Compensation Committee shall approve in writing a schedule setting forth
      the percentage of Mid-Term Target Bonus payable based on the level of
      performance objective achieved.

            (c)   At the end of the Measurement Period, the Compensation
      Committee shall approve the payment to each Participant of his Mid-Term
      Award, if any. Prior to the payment of any Mid-Term Awards, the
      Compensation Committee shall certify that degree of achievement of the
      applicable Mid-Term Performance Objectives. The maximum amount payable to
      any individual Participant as a Mid-Term Award for a given Measurement
      Period is $3,000,000.

4.2.  Mid-Term Performance Objectives.

            The Mid-Term Performance Objectives shall be developed through the
      Company's business planning process and shall be approved by the
      Compensation Committee in writing not later than 90 days after the
      beginning of the Measurement Period to which they apply. The Mid-Term
      Performance Objectives shall be composed of one or more of the following:
      cumulative earnings per share over a specified period, fully diluted
      earnings per share, Corporate or Division earnings before interest and
      taxes (with or without a pro forma charge for the cost of capital) in
      absolute dollars or as a percentage of sales, revenue, sales, profit after
      tax, gross profit, operating profit, unit volume, return on equity,
      changes in working capital, Corporate or Division return on

<PAGE>

      net capital employed, cash flow, total shareholder return, total return to
      shareholders as compared to a relevant index of publicly traded companies
      as approved by the Compensation Committee or, for Participants other than
      Covered Employees, other objectively measurable goals approved by the
      Compensation Committee. The Compensation Committee will determine whether
      the achievement of Mid-Term Performance Objectives will be impacted by any
      extraordinary, unusual or non-recurring items or changes in Generally
      Accepted Accounting Principles. In establishing the goals, the
      Compensation Committee will keep in mind the requirements of Reg. Section
      1.162-27(e)(2) that the outcome must be substantially uncertain at the
      time the Mid-Term Performance Objectives are established. A different
      combination of goals may be used for different Participants or different
      positions (including differences between corporate and division
      positions). The goals used may vary for each Measurement Period. However,
      the specific goals to be used for a Participant or a class of Participants
      for a specific Measurement Period shall be approved in writing by the
      Compensation Committee.

4.3.  Forfeitability of the Mid-Term Award.

            (a)   Except as provided in Section 4.3(b) and Article 5, a
      Participant must remain employed by the Company until the end of the
      applicable Measurement Period to receive his Mid-Term Award. If the
      Participant has a Termination of Employment which is a Termination for
      Cause or which is voluntary prior to the end of the applicable Measurement
      Period, all rights to the Mid-Term Award shall be forfeited.

            (b)   If a Participant dies, incurs a Disability, has a Retirement
      or has a termination of Employment other than a termination described in
      Section 4.3(a) before the end of the applicable Measurement Period or
      takes an unpaid leave of absence of longer than 30 days during the
      Measurement Period, then such Participant shall be entitled to a pro-rated
      Mid-Term Award for the

<PAGE>

      Measurement Period, as described in Section 4.3(c).

            (c)   The amount of the pro-rated Mid-Term Award referred to in
      Section 4.3(b) shall be equal to the product of (i) the amount of the
      Mid-Term Award for that Participant determined under Section 4.1 and 4.2
      and (ii) a fraction, the numerator of which is the number of completed
      calendar months of service performed (in the case of a Disability, the
      number of completed months through the date of Disability) by the
      Participant for the Measurement Period and the denominator of which is the
      number of months in the Measurement Period.

4.4.  Payment of Mid-Term Award. Subject to Section 4.5, the payment of the
      Mid-Term Award, if any, will be made in cash within 75 days after the end
      of the Measurement Period, provided, however, that any award in excess of
      100% of a Participant's Mid-Term Target Bonus may be paid in the Company's
      common stock to be issued under the Omnibus Stock Plan or in a combination
      of cash and common stock, in the sole discretion of the Compensation
      Committee.

4.5   Deferral of Mid-Term Award. A Participant may elect to defer a portion or
      all of his or her Mid-Term Award under the terms of the Management Stock
      Purchase Plan.

      ARTICLE 5 - CHANGE IN CONTROL.

5.1.  Effect of Change in Control. In the event of a Change in Control, the Plan
      shall terminate and the Participants' right to receive an Annual Cash
      Award and Mid-Term Awards under the Annual Program and any Mid-Term
      Programs then in effect shall be measured as of the end of the fiscal
      month immediately preceding the date of the Change in Control pursuant to
      Sections 5.2 and 5.3.

5.2.  Measurement of Achievement under Annual Program.

            (a)   To the extent the percentage of an Annual Performance
      Objective that was anticipated to be achieved as of the date for
      measurement set forth in Section 5.1 can be

<PAGE>

      ascertained from the financial operating budget on which the Annual
      Program was based, achievement of such Annual Performance Objective shall
      be measured based on actual achievement as of such time versus anticipated
      achievement as of such time.

            (b)   In the event Section 5.2(a) above shall not apply, if any
      Annual Performance Objective is based on a measure that is not subject to
      proration, achievement of such Annual Performance Objective shall be
      measured as of the date set forth in Section 5.1 above. To the extent any
      Annual Performance Award is capable of proration, achievement of such
      Annual Performance Objective shall be measured as of the date set forth in
      Section 5.1 on a prorated basis. The prorated Annual Performance Objective
      shall be equal to the product of the (i) the Annual Performance Objective
      and (ii) a fraction, the numerator of which is the number of fiscal months
      elapsed under the Annual Program and the denominator of which is twelve.

5.3.  Measurement of Achievement under Mid-Term Programs.

            (a)   Achievement of that portion of any Mid-Term Awards outstanding
      as of the date of a Change in Control that is based on performance against
      an index shall be measured against such index as of the date set forth in
      Section 5.1 above.

            (b)   To the extent the percentage of a Mid-Term Performance
      Objective that was anticipated to be achieved as of the date for
      measurement set forth in Section 5.1 can be ascertained from the long-term
      plan on which the Mid-Term Program was based, achievement of such Mid-Term
      Performance Objective shall be measured based on actual achievement as of
      such time versus anticipated achievement as of such time.

            (c)   In the event that Sections 5.3(a) or 5.3(b) shall not be
      applicable, if any Mid-Term Performance Objective is based on a measure
      which is not subject to proration, achievement of such Mid-Term
      Performance Objective shall be measured as of the date set forth in
      Section 5.1

<PAGE>

      above. To the extent any such Mid-Term Performance Objective is capable of
      proration, achievement of such Mid-Term Performance Objective shall be
      measured as of the date set forth in Section 5.1 on a prorated basis. The
      prorated Mid-Term Performance Objective shall be equal to the product of
      (i) the Mid-Term Performance Objective and (ii) a fraction, the numerator
      of which is the number of fiscal months elapsed in the Measurement Period
      and the denominator of which is the total number of fiscal months in the
      Measurement Period.

5.4.  Payment of Awards. To the extent any Annual Award or Mid-Term Award has
      been earned, based on the methods of measurement set forth in Sections 5.2
      and 5.3 above, respectively, such Annual Award or Mid-Term Award shall be
      payable without any further approval by the Compensation Committee and
      without proration based on the amount of time elapsed under either the
      Annual Program or any Mid-Term Program. All payments shall be made as soon
      as practicable after the Change in Control, but in no event later than
      forty-five (45) days after the Change in Control.

      ARTICLE 6 - GENERAL.

6.1.  Nonassignability of Incentive Awards. No right under the Plan shall be
      subject to anticipation, sale, assignment, encumbrance or transfer other
      than by will or the laws of intestate succession.

6.2.  Unsecured Interest. A Participant shall have no interest in any fund or
      specified asset of the Company. Any amounts which are or may be set aside
      under the provisions of this Plan shall continue for all purposes to be a
      part of the general funds of the Company, and no person or entity other
      than the Company shall, by virtue of the provisions of this Plan, have any
      interest in such assets. No right to receive payments from the Company
      pursuant to this Plan shall be greater than the right of any unsecured
      creditor of the Company.

6.3.  No Right or Obligation of Continued Employment. Nothing contained in the
      Plan shall require

<PAGE>

      the Company or a related company to continue to employ a Participant, nor
      shall the Participant be required to remain in the employment of the
      Company or a related company.

6.4.  Withholding. The Company shall withhold all required local, state and
      federal and foreign taxes from the amount of any award. If awards are made
      in stock, the employee may deliver shares in satisfaction of the tax.

6.5.  Amendment and Termination of the Plan. The Plan may be amended or
      terminated at any time by the Board or by the Compensation Committee as
      delegated by the Board, provided that such termination or amendment shall
      not, without the consent of any Participant, affect such Participant's
      rights with respect to awards previously awarded to him. With the consent
      of the Participant affected, the Board, or by delegation of authority by
      the Board, the Committee, may amend outstanding awards in a manner not
      inconsistent with the Plan. Further, no amendment that would require
      shareholder approval under Section 162(m) of the Code shall be made
      without that approval.

6.6.  Binding on Successors. The obligations of the Company under the Plan shall
      be binding upon any organization which shall succeed to all or
      substantially all of the assets of the Company, and the term "Company,"
      whenever used in the Plan, shall mean and include any such organization
      after the succession.

6.7.  References. Any masculine personal pronoun shall be considered to mean
      also the corresponding feminine or neuter personal pronoun, as the context
      requires.

6.8.  Applicable Law. The Plan shall be governed by and construed in accordance
      with the internal laws of the Commonwealth of Pennsylvania, without
      reference to principles of conflicts of laws.

            IN WITNESS WHEREOF, the York International Corporation 2002
      Incentive Compensation Plan is, by the authority of the Board of Directors
      of the Corporation, executed the 23rd day of May, 2002, to be effective
      from January 1, 2002.

<PAGE>

Attest                                        YORK INTERNATIONAL CORPORATION

_______________________________               By: ___________________________
Secretary

[Corporate Seal]

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