Document:

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                                Exhibit 10.6

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                              SERVICE AGREEMENT

         This Service Agreement is made as of the 1st day of November, 2006
between Pinnacle Consulting, Inc., a Missouri corporation ("PROVIDER"), and
FutureFuel Corp., a Delaware corporation ("RECIPIENT").

                                  RECITALS

         A. Recipient is in need of certain financial, accounting and other
services.

         B. Provider is willing to provide such services to Recipient on the
terms set forth herein.

                                  AGREEMENT

         In consideration of the foregoing, the mutual covenants herein
contained and other good and valuable consideration (the receipt, adequacy
and sufficiency of which are hereby acknowledged by the parties by their
execution hereof), the parties agree as follows.

1.       DEFINITIONS. For purposes of this Agreement, the following capitalized
terms have the following meanings.

         "ACCOUNTING SERVICES" means any tax, accounting, financial or
payroll reporting services requested by Recipient, including: (i) the
preparation of general ledgers and monthly or other periodic accounting
statements, reports and Financial Statements; (ii) the obtaining of
necessary licenses and permits; and (iii) the filing of tax returns and
other reports or records with appropriate Governmental Authorities.

         "AFFILIATE" means: (i) any person which, directly or indirectly, is
in control of, is controlled by or is under common control with the party
for whom an affiliate is being determined; or (ii) any person who is a
director or officer (or comparable position) of any person described in
clause (i) above or of the party for whom an affiliate is being determined.
For purposes hereof, control of a person means the power, direct or
indirect, to: (a) vote 10% or more of the securities having ordinary voting
power for the election of directors (or comparable positions) of such
person; or (b) direct or cause the direction of the management and policies
of such person, whether by contract or otherwise and either alone or in
conjunction with others.

         "AGREEMENT" means this Service Agreement, including all Exhibits
hereto.

         "CONFIDENTIAL INFORMATION" means: (i) information not available to
the public concerning Provider's business and financial affairs delivered by
or on behalf of Provider to Recipient; (ii) information not available to the
public concerning Recipient's business and financial affairs delivered by or
on behalf of Recipient to Provider; and (iii) analyses, compilations,
forecasts, studies and other documents prepared on the basis of such
information by the parties or their agents, representatives, Affiliates,
employees or consultants.

         "DATA PROCESSING SERVICE" means that computer and data processing
personnel time required to develop, maintain and run the necessary programs
to prepare and store Recipient's operating, financial and tax reports,
Financial Statements, billing statements and payroll and other records, all
as requested by Recipient.

         "DISCLOSING PARTY" has the meaning set forth in Section 11.4.

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         "FINANCIAL SERVICES" means: (i) processing the payment of
expenditures; (ii) negotiating with lenders and servicing all loans; (iii)
opening bank accounts; (iv) managing investments; (v) performing bookkeeping
and record keeping associated with the foregoing; and (vi) performing any
other financial services; all as requested by Recipient.

         "FINANCIAL STATEMENTS" means the consolidated and consolidating
financial statements of Recipient and Recipient's Subsidiaries for the
applicable period, containing balance sheets, statements of income, changes
in stockholders' equity and cash flow, prepared in accordance with GAAP on a
consistent basis, and includes all notes thereto.

         "GAAP" means generally accepted accounting principles set forth in
the opinions and pronouncements of the Accounting Principles Board and the
American Institute of Certified Public Accountants and statements and
pronouncements of the Financial Accounting Standards Board or in such other
statements by such other entity as may be approved by a significant segment
of the accounting profession.

         "GENERAL ADMINISTRATIVE SERVICES" means those general office
services requested by Recipient, including secretarial and clerical work.

         "PROVIDER" has the meaning set forth in the opening paragraph of
this Agreement.

         "RECIPIENT" has the meaning set forth in the opening paragraph of
this Agreement.

         "SERVICES" means, collectively, the Accounting Services, the Data
Processing Services, the Financial Services and the General Administrative
Services.

         "SUBSIDIARY" with respect to any person means: (i) any corporation
of which such person and its other Subsidiaries own not less than 50% of the
outstanding stock of such corporation having ordinary voting power for the
election of directors of such corporation; (ii) any limited liability
company in which such person is a manager thereof (if management of the
limited liability company is vested in one or managers) or in which such
person and its other Subsidiaries own not less than 50% of the outstanding
member interests of such limited liability company (if management of the
limited liability company is vested in members); or (iii) any partnership,
limited or general, in which such person is a general partner.

2.       SERVICES PROVIDED. Subject to the terms and conditions hereof, during
the term of this Agreement, Provider agrees to provide Recipient and its
Affiliates with all requested Services.

3.       COMPENSATION FOR SERVICES. In consideration of Provider providing the
Services hereunder, Recipient agrees to pay to or for the account of
Provider, within ten days of invoice, for employees or independent
consultants of Provider in performing the Services the amounts set forth on
Exhibit A. In addition, Recipient agrees to reimburse Provider, within ten
days of invoice, for the reasonable, out-of-pocket ordinary and necessary
business expenses incurred by Provider in performing the Services for
Recipient hereunder.

4.       INVOICING. Provider agrees to invoice Recipient not more regularly
than monthly for the Services provided by Provider to Recipient hereunder.

5.       EMPLOYEES. Provider agrees that all personnel providing the Services
to Recipient required hereunder are the employees or independent consultants
of Provider and in no event are any such personnel employees (nor are they to
be deemed to be employees) of Recipient.

                                     2

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6.       COMPLIANCE WITH LAWS. Provider agrees that all Services provided to
Recipient hereunder will comply with all applicable laws in all material
respects.

7.       WARRANTIES AND DAMAGES. Provider makes no warranty regarding any
Service provided by Provider to Recipient hereunder except as set forth in
Section 6. Provider will not be liable to Recipient for any damages
resulting from the delay or failure in providing a Service hereunder if the
delay or failure was caused by events beyond Provider's control.

8.       TERM. This Agreement remains effective until terminated by either
party upon 30 days prior written notice to the other party. Notwithstanding
any such termination, Recipient is obligated to pay any amounts owed to
Provider hereunder through the date of such termination.

9.       RECORDS. Any and all financial records, computer records or other data
or documentation that Provider prepares on behalf of Recipient in providing
the Services as set forth in this Agreement are the property of Recipient.
Provider agrees to deliver reasonably promptly such records, data and
documentation to Recipient upon Recipient's request therefor and upon the
termination of this Agreement. The obligation of Provider to release any
such records, data and documentation related to or stored on behalf of
Recipient, including that which is in Provider's computer or computer
programs or software, survives the termination of this Agreement.

10.      RIGHT TO AUDIT. Recipient has the right, upon reasonable notice and
during reasonable times, to review Provider's books and records with respect
to the Services provided by Provider to Recipient in accordance with this
Agreement.

11.      MISCELLANEOUS.

         11.1.    AMENDMENT AND MODIFICATION. No amendment, modification,
                  supplement, termination, consent or waiver of any
                  provision of this Agreement, nor consent to any departure
                  herefrom, will in any event be effective unless the same
                  is in writing and is signed by the party against whom
                  enforcement of the same is sought. Any waiver of any
                  provision of this Agreement and any consent to any
                  departure from the terms of any provision of this
                  Agreement is to be effective only in the specific instance
                  and for the specific purpose for which given.

         11.2.    ASSIGNMENTS. No party may assign or transfer, voluntarily
                  or involuntarily, by operation of law (including a merger
                  or consolidation), judicial decree or otherwise, any of
                  its rights or obligations under this Agreement to any
                  other person without the prior written consent of the
                  other party, which consent may not be unreasonably
                  withheld.

         11.3.    CAPTIONS. Captions contained in this Agreement have been
                  inserted herein only as a matter of convenience and in no
                  way define, limit, extend or describe the scope of this
                  Agreement or the intent of any provision hereof.

         11.4.    CONFIDENTIALITY. Each party agrees to maintain any
                  Confidential Information that it may receive from the
                  other party confidential and may not disclose such
                  information to any person without the prior written
                  consent of the party originally furnishing such
                  Confidential Information. However, a party (the
                  "DISCLOSING PARTY") may disclose such Confidential
                  Information: (i) to legal counsel of the Disclosing Party;
                  (ii) to other professional advisors of the Disclosing
                  Party (but only if they have been informed of the
                  confidential nature of such Confidential Information and
                  agree in writing to be bound by the terms of this
                  Section); (iii) to regulatory officials having
                  jurisdiction over the Disclosing Party; and (iv) as
                  required by law or legal process or in connection with any
                  legal proceeding to which the Disclosing Party is a party
                  or is otherwise subject. In each such event (other than
                  pursuant to clause (i)), the Disclosing Party, prior to
                  such disclosure, is to inform the party originally
                  furnishing such

                                     3

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                  Confidential Information. The obligations of the parties
                  under this Section survive the termination of this
                  Agreement.

         11.5.    CONSTRUCTION. Unless the context of this Agreement clearly
                  requires otherwise: (i) references to the plural include
                  the singular and vice versa; (ii) references to any person
                  include such person's successors and assigns but, if
                  applicable, only if such successors and assigns are
                  permitted by this Agreement; (iii) references to one
                  gender include all genders; (iv) "including" is not
                  limiting; (v) "or" has the inclusive meaning represented
                  by the phrase "and/or"; (vi) the words "hereof", "herein",
                  "hereby", "hereunder" and similar terms in this Agreement
                  refer to this Agreement as a whole and not to any
                  particular provision of this Agreement; (vii) section and
                  Exhibit references are to this Agreement unless otherwise
                  specified; (viii) reference to any agreement (including
                  this Agreement), document or instrument means such
                  agreement, document or instrument as amended or modified
                  and in effect from time to time in accordance with the
                  terms thereof and, if applicable, the terms hereof; and
                  (ix) general or specific references to any law mean such
                  law as amended, modified, codified or reenacted, in whole
                  or in part, and in effect from time to time.

         11.6.    COUNTERPART FACSIMILE EXECUTION. For purposes of this
                  Agreement, a document (or signature page thereto) signed
                  and transmitted by facsimile machine or telecopier is to
                  be treated as an original document. The signature of any
                  party thereon, for purposes hereof, is to be considered as
                  an original signature, and the document transmitted is to
                  be considered to have the same binding effect as an
                  original signature on an original document. At the request
                  of any party, any facsimile or telecopy document is to be
                  re-executed in original form by the parties who executed
                  the facsimile or telecopy document. No party may raise the
                  use of a facsimile machine or telecopier or the fact that
                  any signature was transmitted through the use of a
                  facsimile or telecopier machine as a defense to the
                  enforcement of this Agreement or any amendment or other
                  document executed in compliance with this Section.

         11.7.    COUNTERPARTS. This Agreement may be executed by the
                  parties on any number of separate counterparts, and all
                  such counterparts so executed constitute one agreement
                  binding on all the parties notwithstanding that all the
                  parties are not signatories to the same counterpart.

         11.8.    ENTIRE AGREEMENT. This Agreement constitutes the entire
                  agreement among the parties pertaining to the subject
                  matter hereof and supersedes all prior agreements, letters
                  of intent, understandings, negotiations and discussions of
                  the parties, whether oral or written.

         11.9.    EXHIBITS. All of the Exhibits attached to this Agreement
                  are deemed incorporated herein by reference.

         11.10.   FAILURE OR DELAY. No failure on the part of any party to
                  exercise, and no delay in exercising, any right, power or
                  privilege hereunder operates as a waiver thereof; nor does
                  any single or partial exercise of any right, power or
                  privilege hereunder preclude any other or further exercise
                  thereof, or the exercise of any other right, power or
                  privilege. No notice to or demand on any party in any case
                  entitles such party to any other or further notice or
                  demand in similar or other circumstances.

         11.11.   FURTHER ASSURANCES. The parties will execute and deliver
                  such further instruments and do such further acts and
                  things as may be required to carry out the intent and
                  purpose of this Agreement.

         11.12.   GOVERNING LAW. This Agreement and the rights and
                  obligations of the parties hereunder are to be governed by
                  and construed and interpreted in accordance with the laws
                  of the State of Missouri applicable to contracts made and
                  to be performed wholly within Missouri, without regard to
                  choice or conflict of laws rules.

                                     4

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         11.13.   NO JOINT VENTURE OR PARTNERSHIP. The parties agree that
                  nothing contained herein is to be construed as making the
                  parties joint venturers or partners.

         11.14.   REMEDIES CUMULATIVE. Each and every right granted
                  hereunder and the remedies provided for under this
                  Agreement are cumulative and are not exclusive of any
                  remedies or rights that may be available to any party at
                  law, in equity or otherwise.

         11.15.   SEVERABILITY. Any provision of this Agreement which is
                  prohibited, unenforceable or not authorized in any
                  jurisdiction is, as to such jurisdiction, ineffective to
                  the extent of any such prohibition, unenforceability or
                  nonauthorization without invalidating the remaining
                  provisions hereof, or affecting the validity,
                  enforceability or legality of such provision in any other
                  jurisdiction, unless the ineffectiveness of such provision
                  would result in such a material change as to cause
                  completion of the transactions contemplated hereby to be
                  unreasonable.

         11.16.   SPECIFIC PERFORMANCE AND INJUNCTIVE RELIEF. Each party
                  recognizes that, if it fails to perform, observe or
                  discharge any of its obligations under this Agreement, no
                  remedy at law will provide adequate relief to the other
                  party. Therefore, each party is hereby authorized to
                  demand specific performance of this Agreement, and is
                  entitled to temporary and permanent injunctive relief, in
                  a court of competent jurisdiction at any time when any
                  other party fails to comply with any of the provisions of
                  this Agreement applicable to it. To the extent permitted
                  by applicable law, each party hereby irrevocably waives
                  any defense that it might have based on the adequacy of a
                  remedy at law which might be asserted as a bar to such
                  remedy of specific performance or injunctive relief.

         11.17.   SUCCESSORS AND ASSIGNS. All provisions of this Agreement
                  are binding upon, inure to the benefit of and are
                  enforceable by or against the parties and their respective
                  heirs, executors, administrators or other legal
                  representatives and permitted successors and assigns.

         11.18.   THIRD-PARTY BENEFICIARY. This Agreement is solely for the
                  benefit of the parties hereto and their respective
                  successors and permitted assigns, and no other person has
                  any right, benefit, priority or interest under or because
                  of the existence of this Agreement.

                              PINNACLE CONSULTING, INC.

                              By: /s/ Steven G. Twele
                                  ---------------------------------------------
                                  Steven G. Twele, President

                              FUTUREFUEL CORP.

                              By: /s/ Douglas D. Hommert
                                  ---------------------------------------------
                                  Douglas D. Hommert, Executive Vice President

                                     5

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                                  EXHIBIT A
                                     TO
                              SERVICE AGREEMENT

                    CHARGES FOR EMPLOYEES AND CONSULTANTS

Recipient agrees to pay for below employees or independent consultants of
Provider in performing the Services for Recipient in the amounts set forth
below.

                       Steve Twele               $400
                       Christopher Schmitt       $250
                       Jessie Yehling            $150
                       Joe Ingram                $250<PAGE>

                                Exhibit 10.7

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NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

    This document contains confidential information that has been omitted
    ---------------------------------------------------------------------
  omitted and filed separately with the Securities and Exchange Commission.
  -------------------------------------------------------------------------
       Such information is noted by three asterisks, as follows "***."
       ---------------------------------------------------------------
                                                                     2/15/00

                 NOBS SUPPLY AGREEMENT (P&G CONTRACT CT3696)
                 -------------------------------------------

This Agreement (hereinafter "Agreement") is effective as of January 1, 1999,
between Eastman Chemical Company, a Delaware corporation, with its principal
office in Kingsport, Tennessee (hereinafter "Eastman") and The Procter &
Gamble Manufacturing Company, an Ohio corporation, with offices in
Cincinnati, Ohio (hereinafter "P&G"). This Agreement supersedes, effective
as of the date hereof, the January 1, 1996, NOBS Supply Agreement and any
modifications thereto, the term of which started January 1, 1996 between
Eastman Chemical Company and The Procter & Gamble Manufacturing Company (the
"Prior Agreement") and supercedes the NOBS Letter Agreement between the
parties dated April 7, 1998.

NOTE:    For simplicity of terminology, the facility currently being
         utilized for the production of NOBS is hereafter referred to as
         "NOBS 1B", with the construction to debottleneck it from its
         previous status (hereinafter referred to as "NOBS 1A") having been
         previously completed. In addition, a separate plant (hereinafter
         referred to as "NOBS 2") has been restarted from Mothball Mode. All
         quantities of NOBS referenced in this Agreement are on a 100%
         active basis.

1.       Sale of NOBS
         Eastman agrees to sell, and P&G agrees to buy, a minimum of ***
         million pounds, and a maximum of *** million pounds, of 100% active
         stabilized sodium salt of nonanoyloxybenzenesulfonate(hereinafter
         "NOBS") derived from *** (hereinafter "Acid") produced from NOBS 1B
         during each period of 3 consecutive calendar months commencing each
         January 1, April 1, July 1 and October 1 (each such three-month
         period being hereinafter referred to as a "Contract Quarter") from
         the date hereof through the term of this Agreement.

         In addition, Eastman agrees to sell, and P&G agrees to buy, a
         minimum of *** pounds and a maximum of *** million pounds of NOBS
         produced from NOBS 2 during each Contract Quarter.

         Eastman hereby agrees to sell to P&G, and P&G hereby agrees to buy
         from Eastman, NOBS, in the quantities described above and in
         Article 4 below, that meets the specifications set forth in
         Attachment A or any modifications thereof mutually agreed upon in
         writing (the "Specifications").

         If Eastman produces material which does not meet the
         Specifications, P&G may purchase the material but is under no
         obligation to do so. The terms and conditions of such a sale shall
         be negotiated.

2.       Exclusive Production
         --------------------
         Recognizing that P&G provided to Eastman the original opportunity
         to manufacture NOBS for P&G, a proprietary compound of P&G, and
         Eastman developed a process for making NOBS, Eastman shall produce
         NOBS exclusively for P&G and its affiliates

                                   - 1 -

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NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

         through the term of this Agreement. Eastman shall not use NOBS 1B
         or NOBS 2 for production of a bleach activator for five (5) years
         from the termination or cancellation date hereof unless otherwise
         agreed to by P&G.

3.       Term of Agreement
         -----------------

         The Agreement shall commence on January 1, 1999 and shall be in
         effect until December 31, 2002 (the "Agreement Term").

4.       Quantity and Prices
         -------------------

         If Eastman receives orders for NOBS from NOBS 1B or NOBS 2 in
         excess of its contractual obligations during any Contract Quarter
         or month, Eastman will attempt to supply the excess to P&G but is
         not obligated to supply. During each Calendar Year during the
         Agreement Term, P&G and Eastman agree to adjust orders and shipping
         schedules to allow Eastman twenty-one (21) days of maintenance for
         NOBS 1B and NOBS 2 during which the production of NOBS will be
         limited. Eastman will plan appropriately to minimize the duration
         of these maintenance periods. These maintenance periods do not
         relieve Eastman of its obligation to supply NOBS as herein
         required.

         P&G affiliates will release against this contract quantity by
         issuing purchase orders which reference and incorporate the terms
         of this Agreement, and Eastman will invoice each affiliate directly
         in accordance with this Agreement.

         Eastman will endeavor to have sales hereunder made by the various
         marketing affiliates of Eastman for sales in their respective
         geographies of operation and references herein to sales by Eastman
         shall be deemed to be references to sales by such affiliates as
         appropriate.

         Eastman shall have the option to supply NOBS as herein required
         from either NOBS 1B or NOBS 2 as it determines in its discretion.
         The base prices of NOBS produced from NOBS 1B and NOBS 2 shall be
         determined in accordance with Attachment C, Schedules I and II
                                       ------------
         respectively. For quarterly contract pricing calculations, P&G can
         select the quantity to be calculated from either the NOBS 1B Base
         Sales Price (01) or NOBS 2 Base Sales Prices (02) in an amount for
         either category up to the respective maximum capacities for
         quantities from NOBS 1B or NOBS 2, based on the capacity therefor
         utilized for production of NOBS, and not less in either case than
         the minimum quantity in the applicable price schedule determined in
         accordance with Attachment C, Schedules I and II, respectively. The
                         ------------
         quarterly sales price of NOBS for invoicing purposes, for NOBS 1B
         and NOBS 2 quantities sold, shall be the weighted average of the
         quarterly sales price, N1 and N2, (as defined in Attachment C,
                                                          ------------
         Schedules III and TV) for the forecast quarterly volume, as
         adjusted according to Attachment C.
                               ------------

         Payment terms are net 30 days from date of invoice unless otherwise
         specifically agreed in writing for any particular order.

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NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

         To ensure the accuracy of the base price adjustments that result
         from variations in the quarterly forecast versus actual shipments,
         adjustments to the base prices for each upcoming Contract Quarter
         shall be calculated within three working days of the end of the
         current Contract Quarter.

         P&G shall pay the NOBS Supersacking Fee, as adjusted, as set out in
         Attachment D, if applicable.
         ------------

         Eastman will provide an incentive to P&G for purchases of NOBS
         using the following table. Eastman will reimburse P&G under the
         incentive by adjusting the NOBS selling price at the end of each
         calendar quarter using the miscellaneous cost factor - "M" as
         described Attachment C, Schedules III and IV.

         QUANTITIES PURCHASED ANNUALIZED    INCENTIVE ANNUALIZED
                100% ACTIVE BASIS              MILLIONS $ U.S.
                       ***                           ***
                       ***                           ***
                       ***                           ***
                       ***                           ***
                       ***                           ***
                       ***                           ***
                       ***                           ***

5.       Supply of Nonanoic Acid
         -----------------------
         Eastman agrees to purchase Acid from a supplier with whom P&G has
         contracted, so long as the Acid meets the specifications in
         Attachment B and any modifications mutually agreed upon in writing.
         ------------
         Any new supplier must be acceptable from a quality standpoint to
         both parties in addition to meeting such specifications. If P&G's
         specified sources are unable to provide sufficient Acid to allow
         Eastman to fill P&G' orders for NOBS, and Eastman has allowed the
         supplier a lead time consistent with Article 11 (unless otherwise
         agreed to by Eastman and P&G), then the Base Sales Price shall be
         calculated per Attachment C, based on the volume of NOBS that
                        ------------
         Eastman was able to ship with the quantity of acid available.

         Inability to fill P&G orders because of an insufficient supply of
         Acid from P&G's specified source(s) shall not constitute a default
         hereunder or a Force Majeure Event (as defined in Article 15) on
         the part of Eastman, but will constitute a Force Majeure Event on
         the part of P&G if the circumstances fit within the definition of
         Force Majeure in Article 15.

         P&G agrees to provide to Eastman all necessary information and to
         assist Eastman's purchase of Acid from P&G's specified source(s)
         throughout the term of the Agreement.

         Notwithstanding any provision herein to the contrary, Eastman shall
         have no liability for any defect in NOBS which is directly caused
         by or directly results from a latent defect in the Acid which was
         unknown to Eastman at time of use of such Acid, provided such Acid

                                   - 3 -

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NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

         was analyzed in accordance with Eastman's standard procedures upon
         receipt from P&G's specified source(s).

6.       Supply of Other Raw Materials
         -----------------------------
         Eastman agrees to work with P&G to determine the best source(s) for ***
         *** and other feedstocks.  If P&G can obtain a better value for such
         products from other suppliers, at P&G's option Eastman shall purchase
         such materials from such supplier(s) with whom P&G has contracted,
         so long as the materials meet the specifications mutually agreed to
         and provided such purchases do not create conflicts with any of
         Eastman's existing commitments. The responsibilities and terms for
         P&G's supply of these materials will be the same as those outlined
         for Acid in Article 5.

7.       NOBS Conversion Ratio
         ---------------------
         The conversion ratio is the number of pounds of *** required to
         produce one pound of NOBS, and shall not exceed ***.

8.       Process Improvements
         --------------------
         Eastman shall pursue improving Eastman's manufacturing process for
         NOBS. Eastman will implement various equipment and operational
         changes to NOBS 1B and NOBS 2 by June, 1999, at Eastman's expense,
         anticipated to improve process reliability and lower the NOBS
         manufacturing costs. Upon the completion of twelve months operation
         after these changes have been implemented, Eastman will share any
         material cost savings with P&G which result in a NOBS costs: (a)
         for NOBS 1B, below the planned costs for NOBS 1B which were used in
         the Prior Agreement (adjusted for changes in the Producer Price
         Index); and (b) for NOBS 2, below the cost structure used in the
         price curves for the April 7, 1998 Letter Agreement between the
         parties. Future material cost improvements will be shared with P&G
         after Eastman has recovered its costs associated in achieving said
         improvements. All sharing of cost savings will be by an appropriate
         adjustment in the Base Sales Price of NOBS and/or the applicable
         adjustment formula(s).

         If, during the Agreement Term, Eastman proposes a process
         improvement or change in raw material which will result in a
         significant change to the characteristics of any NOBS attribute
         listed on Attachment A, Eastman will notify in writing P&G of the
                   ------------
         proposed change. P&G shall notify Eastman within thirty (30) days
         thereafter whether such change is acceptable. If the change is
         acceptable and does not require requalification, Eastman may
         proceed with the change. If the change is acceptable and requires
         requalification, Eastman and P&G shall negotiate in good faith a
         price adjustment and schedule for the proposed change, and P&G may
         agree to such change, if economically viable and if requalification
         can be accomplished.

9.       Taxes/Excises
         -------------
         Eastman's price does not include any taxes (other than taxes based
         on Eastman's income), duties or customs applicable to the sale of
         NOBS hereunder, which shall be the responsibility of P&G; provided,
         however, that Eastman shall separately detail on each invoice the
         amount of any applicable sales tax.

                                   - 4 -

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NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

10.      Audit Clause
         ------------
         Since this Agreement allows Seller to pass through cost changes as
         part of the pricing provisions of Article 4, Seller shall maintain
         all documentation in support of such changes for at least two years
         following the date of the change. Buyer shall have the right to
         request an audit of Seller's supporting documentation, including
         price change and rebate notification letters from material
         suppliers, within one year after the change, upon thirty days prior
         written notice. Buyer shall conduct no more than one audit each
         calendar year. Buyer and Seller shall mutually agree on the date,
         time and location of the audit. The audit shall be conducted by
         Buyer's Internal Controls Department or other mutually agreeable
         independent third party. The auditor shall maintain the
         confidentiality of all data reviewed which was not previously known
         to the auditor or available to third parties on a non-confidential
         basis. This obligation of confidentiality shall continue until the
         material becomes generally available to the public, is shared with
         others by Seller on a non-confidential basis, is available to the
         auditor from third parties on a non-confidential basis or upon the
         expiration of a period of three years following the date of the
         audit, whichever occurs first. The auditor shall return to Seller
         all materials submitted to the auditor, and destroy all working
         papers, notes, memoranda, reports and other derivatives thereof,
         upon conclusion of the audit and resolution of any disputed
         amounts; provided, however, the auditor may retain one archival
         copy of the foregoing solely for the purpose of administering its
         confidentiality obligations. The auditor shall share with Buyer's
         Purchasing Personnel only the results of the audit. In the event
         the audit does not support price changes that have been implemented
         and/or proposed, Buyer and Seller will meet to review the results
         and make any appropriate pricing adjustments.

11.      Estimated Orders
         ----------------
         No later than fifteen (15) days prior to the beginning of each
         Calendar Quarter under this Agreement, P&G shall provide to Eastman
         estimated orders and bulk rail shipping schedules for the next
         Calendar Quarter and estimated orders for the following Calendar
         Quarter. Lead-times and related procedures for orders and order
         changes will be established and updated by mutual agreement of P&G
         and Eastman.

12.      Shipping Weights
         ----------------
         Unless proven in error, Eastman's shipping weights shall govern.
         Shortages or overages of less than 1% of the declared net weight
         will be disregarded, unless a pattern of shortages occurs. In such
         case, Eastman will reimburse P&G for NOBS P&G paid for but did not
         receive due to shortages. Delivery of a specific shipment that is
         within 5% of the quantity requested shall be accepted by P&G as
         complying with the shipment, although P&G shall pay for only the
         quantity actually delivered.

13.      Storage/Loading/Inventory Reporting of NOBS
         -------------------------------------------
         Eastman will target to store at the plant site *** pounds of NOBS.
         If P&G and Eastman agree to lead-times from receipt of firm orders
         of less than fourteen (14) days for railcars or less than forty-two
         (42) days for super-sacks, then P&G acknowledges that order
         variation may require use of target inventory and such use shall
         not constitute a breach by Eastman. Eastman will use reasonable
         efforts to re-attain such target level as soon as practicable.
         Eastman will advise P&G of NOBS production schedules for each
         Contract Quarter prior to the first day of each such quarter. P&G
         agrees to provide for

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         rail or truck loading of NOBS to meet the order schedule consistent
         with Article 11. Eastman is obligated to help coordinate
         transportation. Not later than thirty (30) days after the end of
         each Contract Quarter, Eastman will furnish P&G a statement of
         inventories of NOBS as of the last day of that Contract Quarter,
         including a list of receipts of Acid and other materials furnished
         in accordance with Articles 5 and 6 and NOBS shipments during that
         quarter.

14.      Product Warranty, Responsibility and Indemnity
         ----------------------------------------------
         (a)      Eastman warrants title to the NOBS supplied hereunder and
                  that NOBS will meet the Specifications when shipped from
                  its Magness, Arkansas plant; however, other than as
                  expressly provided in Articles 14 and 22, EASTMAN MAKES NO
                  OTHER WARRANTIES OR REPRESENTATIONS OF ANY KIND, EXPRESS
                  OR IMPLIED, AS TO MERCHANTABILITY, AS TO FITNESS FOR A
                  PARTICULAR PURPOSE, OR ANY OTHER MATTER WITH RESPECT TO
                  NOBS WHETHER USED ALONE OR IN COMBINATION WITH ANY OTHER
                  MATTER.

         (b)      Eastman shall deliver to P&G with each shipment of NOBS a
                  certificate of analysis substantially in the form
                  currently in use or as otherwise mutually agreed by the
                  parties. P&G shall examine the certificate of analysis
                  prior to accepting or using the shipment, but has no
                  obligation to Eastman to analyze a shipment. If when
                  loaded for shipment at Eastman's Magness, Arkansas plant,
                  NOBS does not meet the Specifications, or otherwise
                  contains objectionable levels of foreign substance or
                  latent defects which makes the NOBS unsafe or unusable by
                  P&G, or is unsafe or unusable due to changes in raw
                  material or process by Eastman contemplated in Article 8
                  but which were not approved by P&G in accordance with
                  Article 8 ("Nonconforming NOBS"), then Eastman agrees to
                  accept return of such NOBS and, at P&Gs option, shall
                  either replace NOBS returned at no cost to P&G or credit
                  P&G's account for the price of pounds returned.

         (c)      Subject to the limitations of Section 14(g), and provided
                  P&G uses reasonable efforts to mitigate its damages
                  proximately caused by Nonconforming NOBS and P&G provides
                  reasonable evidence to Eastman supporting the causal
                  connection between the defect and P&G damages:

                  (i)      Eastman shall pay 100% of the out-of-pocket cost
                           P&G incurs for added analytical services,
                           cleaning and repair of transportation equipment,
                           production costs, and product transportation, if
                           the NOBS which is the subject of the claim has
                           not been used by P&G; or

                  (ii)     Eastman shall pay 70% of the out-of-pocket cost
                           P&G incurs for used NOBS, other materials
                           combined with NOBS, lost packaging materials,
                           added analytical services, cleaning and repair of
                           production and transportation equipment,
                           production costs, loss of finished product,
                           recalled product, and product transportation, if
                           the NOBS which is the subject of the claim has
                           been used in other product by P&G.

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         (d)      Subject to the limitations of Section 14(g), Eastman
                  agrees to indemnify and hold harmless P&G for all claims,
                  damages and losses from any person or entity not a party
                  to this Agreement that are directly attributable to NOBS
                  after it has been loaded for shipment at Eastman's
                  Magness, Arkansas plant to the extent such claims, damages
                  and losses are proximately caused by Nonconforming NOBS.

         (e)      P&G agrees to indemnify and hold harmless Eastman for all
                  claims, damages and losses from any person or entity not a
                  party to this Agreement that are directly attributable to
                  NOBS after it has been loaded for shipment at Eastman's
                  Magness, Arkansas plant, except such claims, damages and
                  losses to the extent they are proximately caused by
                  Nonconforming NOBS and do not exceed the limitation set
                  forth in Paragraph 14(g). P&G further agrees to indemnify
                  and hold harmless Eastman for all claims, damages and
                  losses from any person or entity not a party to this
                  Agreement to the extent such claims, damages and losses
                  exceed the limitation set forth in Paragraph 14(g) even
                  though they were proximately caused by Nonconforming NOBS.

         (f)      EASTMAN'S TOTAL MAXIMUM AGGREGATE LIABILITY TO P&G UNDER
                  THIS ARTICLE 14 SHALL NOT BE GREATER THAN *** MILLION,
                  LESS ANY AMOUNTS PREVIOUSLY PAID UNDER THIS AGREEMENT.

         (g)      Except as expressly specified in Articles 14, 16, 17, 21
                  and 22, IN NO EVENT SHALL EITHER PARTY BE LIABLE TO THE
                  OTHER FOR ANY INCIDENTAL, INDIRECT, SPECIAL OR
                  CONSEQUENTIAL DAMAGES, OR ANY COSTS OF COVER.

15.      Force Majeure
         -------------

         (a)      The performance or observance by either party of any
                  obligations of such party under this Agreement may be
                  suspended by it, in whole or in part, in the event of any
                  of the following which prevents such performance or
                  observance: Act of God, war, riot, fire, explosion,
                  accident, flood, sabotage, strike, lockout, injunction,
                  inability to obtain fuel, power, raw materials, labor,
                  containers or transportation facilities, national defense
                  requirements, compliance with governmental law,
                  regulations, orders or action, breakage or failure of
                  machinery or equipment which could not have been prevented
                  through the exercise of standard industrial maintenance
                  procedures, or any other cause (whether similar or
                  dissimilar) beyond the reasonable control of such party (a
                  "Force Majeure Event"); provided, however, that the party
                  so prevented from complying with its obligation hereunder
                  shall immediately notify in writing the other party
                  thereof and such party so prevented shall exercise
                  diligence in an endeavor to remove or overcome the cause
                  of such inability to comply, and provided further that
                  neither party shall be required to settle a labor dispute
                  against its own judgment.

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                  Except as described in Article 5, deliveries suspended or
                  not made by reason of this Paragraph 15 shall be canceled
                  without liability to either party and this Agreement shall
                  otherwise remain unaffected. If performance by either
                  party is suspended for any period of one-hundred and
                  twenty (120) consecutive days because of a Force Majeure
                  Event either party may terminate the Agreement, and the
                  Cancellation Fee described in Article 17 shall only be
                  paid if the termination is due to a Force Majeure Event
                  asserted by P&G.

         (b)      In the event the Agreement is suspended for reasons of a
                  Force Majeure Event asserted by Eastman, and is thereafter
                  terminated by P&G as provided in Article 15(a), P&G shall
                  have the right to arrange for alternate supplier(s) to
                  provide NOBS in full or part, and Eastman shall provide a
                  non-exclusive license to such alternate suppliers procured
                  by P&G covering all the technology and know-how required
                  to produce NOBS from *** and *** that Eastman then owns.
                  Such license shall be provided royalty free for five (5)
                  years after termination. Thereafter, for successive
                  periods up to a total of ten (10) years or until any
                  patented portion of technology expires, Eastman shall
                  provide a non-exclusive license at a reasonable royalty
                  not to exceed two percent (2%) of the Price then
                  applicable. If during this ten (10) year period
                  non-patented, proprietary and confidential technology is
                  used, a similar reasonable royalty shall apply. However,
                  in no case shall the combined royalties for patented and
                  non- patented technology exceed two percent (2%) of the
                  Price then applicable. Further, Eastman will assist such
                  alternate supplier(s) until the supplier(s) are producing
                  product that meets specification; however, this effort
                  shall not exceed one (1) year or *** million in costs or
                  expenses, whichever occurs first. P&G shall have the
                  right, should it procure alternate suppliers, to continue
                  to purchase all amounts of product P&G requires from
                  alternate suppliers rather than from Eastman.

16.      Default
         -------
         (a)      Except as may be otherwise excused by Article 15, should
                  P&G materially default or otherwise fail to perform any
                  material duty under the terms of this Agreement, Eastman
                  shall give P&G written notice of such default whereupon
                  P&G shall have sixty (60) days to remedy such default. If
                  P&G fails to remedy such default within the sixty (60)
                  days, Eastman may terminate the Agreement, and the
                  provisions of Articles 17 and 19 shall apply (including
                  the payment of Cancellation Fees by P&G). The remedies set
                  forth in Articles 17 and 19 shall be Eastman's sole
                  remedies for P&G's default in the purchase of NOBS
                  hereunder.

         (b)      Except as may be otherwise excused by Article 15, should
                  Eastman materially default or otherwise fail to perform
                  any material duty under the terms of this Agreement, P&G
                  shall give written notice of such default to Eastman
                  whereupon Eastman shall have sixty (60) days to remedy
                  such default. If Eastman fails to remedy the material
                  default within the sixty (60) days, P&G may terminate the
                  Agreement and in doing so will not impair its rights under
                  Article 17. If the Agreement is terminated because of
                  Eastman's default, P&G shall not pay any

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NOBS Supply Agreement
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                  Cancellation Fee (as described in Article 17), nor shall
                  P&G pay for any NOBS not shipped as of the termination
                  date. The remedies set out in this paragraph of Article 16
                  shall be P&G' s sole remedy for Eastman's default in the
                  supply of NOBS hereunder except as provided in Paragraph
                  (c) below.

         (c)      In addition, if Eastman willfully and intentionally elects
                  not to honor material terms of this Agreement and P&G
                  terminates the Agreement, then, in addition to P&G's
                  rights set forth in Paragraph (b) above, P&G shall have
                  the right to arrange for alternate suppliers to provide
                  NOBS in full or in part, and Eastman shall:

         (1)      pay any and all out of pocket costs or expenses, not to
                  exceed *** million, less any amounts previously paid under
                  this Agreement, and provide assistance to develop
                  alternate supplier(s) until the suppliers are producing
                  product which meets specification in commercial
                  quantities. This obligation shall not require Eastman to
                  provide assistance and monies for more than three (3)
                  years after any default under this paragraph occurs; and

         (2)      provide a non-exclusive royalty-free license to such
                  alternate suppliers procured by P&G covering all the
                  technology and know-how required to produce NOBS from ***
                  and *** that Eastman then owns. Such license shall be
                  provided royalty free for five (5) years after termination.
                  Thereafter, for successive periods up to a total of ten (10)
                  years or until any patented portion of technology expires,
                  Eastman shall provide a non-exclusive license at a
                  reasonable royalty not to exceed two percent (2%) of the
                  Price then applicable. If during this ten (10) year period
                  non-patented, proprietary and confidential technology is
                  used, a similar reasonable royalty shall apply. However, in
                  no case shall the combined royalties for patented and
                  non-patented technology exceed two percent (2%) of the Price
                  then applicable. P&G shall have the right, should it procure
                  alternate suppliers, to continue to purchase all amounts of
                  product P&G requires from alternate suppliers rather than
                  from Eastman.

         (d)      Article 16 shall not be construed as giving either P&G or
                  Eastman a right to terminate this Agreement where a
                  legitimate dispute arises between the parties as to
                  applicability and/or enforcement of any Article.

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17.      Mothball/Termination
         --------------------

         (a)      Startup Delay, Standby Mode and Mothball Mode
                  ---------------------------------------------

                  1)       Stand-by Fee - At any time after the Startup
                           ------------
                           Date, P&G may request in writing to Eastman with
                           30 days notice that Eastman put the NOBS
                           production capabilities of NOBS 1B and/or NOBS 2
                           into a stand-by mode where all facilities and
                           resources are maintained in a condition that
                           production of NOBS could readily recommence
                           ("Stand-by Mode"). As long as NOBS 1B and/or NOBS
                           2 are in such a Stand-by Mode, P&G will pay
                           Eastman a stand-by fee (a "Stand-by Fee") of ***
                           per month for NOBS 1B and *** per month for NOBS
                           2. Upon at least 30 days' written notice from
                           P&G, Eastman will restart the NOBS production
                           capabilities of NOBS 1B or NOBS 2.

                           After Eastman's capital for all NOBS projects,
                           including without limitation, NOBS 1A, NOBS 1B
                           and NOBS 2 (dust control) has been recovered in
                           accordance with Eastman's capital recovery
                           schedule, the Stand-by Fee will be *** per month
                           for NOBS 1B and *** per month for NOBS 2.

                           If P&G does not submit orders for any upcoming
                           Calendar Quarter for at least *** million pounds
                           of NOBS from NOBS 1B, then NOBS 1B shall be put
                           into Stand-by Mode for such Calendar Quarter and
                           the Stand-by Fees shall apply. If P&G does not
                           submit orders for any upcoming Calendar Quarter
                           for at least *** pounds of NOBS from NOBS 2, then
                           NOBS 2 shall be put into Stand-by Mode for such
                           Calendar Quarter and the Stand-by Fees shall
                           apply. If P&G expects orders to remain below such
                           thresholds for subsequent quarters, then P&G may
                           request that NOBS 1B and/or NOBS 2 be put in
                           Mothball Mode as provided below.

                  2)       Mothball Fee - At any time after the Startup
                           ------------
                           Date, P&G may request in writing to Eastman with
                           90 days' notice, that Eastman put the NOBS 1B
                           and/or NOBS 2 into a mothball mode, where the
                           NOBS production capabilities would be shut down
                           and all operational costs minimized (the
                           "Mothball Mode"). As long as the NOBS production
                           capabilities of NOBS 1B or NOBS 2 are in the
                           Mothball Mode, P&G shall pay Eastman a fee
                           ("Mothball Fee") of *** per month for NOBS 1B or
                           *** per month for NOBS 2.

                           After Eastman's capital for all NOBS projects,
                           including without limitation, NOBS 1A, NOBS 1B
                           and NOBS 2 (dust control) has been recovered in
                           accordance with Eastman's capital recovery
                           schedule, the Mothball Fee will be *** per month
                           for NOBS 1B and *** per month for NOBS 2.

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                           At anytime after such portions of the plant have
                           been put into the Mothball Mode, P&G may request
                           in writing on at least 3 months' notice or such
                           greater period of time (up to 6 months) as may be
                           required by Eastman, that Eastman restart such
                           portion of NOBS 1B and NOBS 2 from a Mothball
                           Status for a one time start up fee (the "Startup
                           Fee") of *** million for NOBS 1B and *** million
                           for NOBS 2.

                           All fees described in this Article shall be
                           adjusted for changes in the Producer Price Index
                           as follows:

                                    NOBS 1B:
                                    $[Fee] X (PPI(3)* - 126.6)
                                             -----------------
                                                   126.6

                                    NOBS 2:
                                    $[Fee] X (PPI(3)* - 130.3)
                                             -----------------
                                                   130.3

                                    *PPI(3) is the Producer Price Index for
                                            Finished Goods as defined for
                                            Base Price adjustments in
                                            Attachments C and F.

         (b)      During the Agreement Term, in addition to its rights under
                  Article 16 and paragraph (a) of this Article 17, P&G may
                  elect one of the following termination options by giving
                  Eastman 180 days written notification (90 days written
                  notification while in Mothball Mode) of the termination
                  option selected:

                  Partial Termination (NOBS 1B or NOBS 2)
                  ---------------------------------------
                  P&G may elect to have Eastman discontinue production from
                  either NOBS 1B or NOBS 2 (the "Partial Termination
                  Option"). In the event P&G selects this Partial
                  Termination Option, Eastman shall begin to shut down
                  either NOBS 1B or NOBS 2 as designated and is obligated to
                  minimize any and all liabilities that P&G has, and P&G
                  will not be obligated to purchase NOBS from such facility
                  as required under Article 1.

                  In the event P&G elects the Partial Termination Option,
                  the fees for any subsequent production from the remaining
                  NOBS facility shall be determined as follows: (a) If the
                  facility remaining in operation is NOBS lB, the fees shall
                  continue to be those set forth in the Attachment C for
                                                        ------------
                  NOBS 1B; (b) if the facility remaining in operation is
                  NOBS 2, the base prices set forth in Attachment C for NOBS
                                                       ------------
                  2 shall be increased to fully compensate Eastman for the
                  operating costs of the *** recovery, *** recovery and ***
                  refining facilities which are located in NOBS 1B.

                  Full Termination (NOBS 1B and NOBS 2)
                  -------------------------------------
                  In the event P&G selects to cancel production from both
                  NOBS 1B and NOBS 2, (the "Full Termination Option"),
                  Eastman shall immediately begin to cancel

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                  production from both NOBS 1B and NOBS 2 and is obligated
                  to minimize any and all liabilities that P&G has, and this
                  Agreement shall thereupon be terminated except for
                  previously accrued obligations and obligations under
                  Articles 14, 16, 18, 19, 22, and 23.

                  Upon selection of either the Partial or Full Termination
                  Option, P&G shall pay to Eastman the applicable
                  Cancellation Fee or Fees set forth in Attachment E. The
                                                        ------------
                  applicable Cancellation Fee for NOBS 1B or NOBS 2 will be
                  reduced, but not below zero, by the appraised salvage
                  value of the machinery, equipment and support facilities
                  constructed for NOBS 1B or NOBS 2, respectively. Eastman
                  will determine and notify P&G of the appraised salvage
                  value, and return or credit to P&G such amount, but not to
                  exceed the applicable Cancellation Fee, within sixty (60)
                  days after Eastman's receipt of P&G's termination notice.
                  In no case shall the payment or credit of the salvage
                  value exceed the applicable Cancellation Fee.

                  If P&G is not satisfied with the appraised salvage value,
                  then P&G may, at its option and expense, have an
                  independent appraiser acceptable to Eastman review and
                  assess such salvage value. If the appraiser's salvage
                  value is greater than the salvage value finished by
                  Eastman, then P&G and Eastman will negotiate in good
                  faith, for a period not to exceed sixty (60) days from
                  receipt of the appraiser's salvage value, a mutually
                  agreed salvage value.

                  If no agreement regarding the salvage value of the
                  machinery, equipment and support facilities is reached
                  during that period, then within sixty (60) days
                  thereafter, P&G may notify Eastman in writing that it
                  chooses to take the appraised machinery, equipment and
                  support facilities in lieu of payment of the appraised
                  salvage value. If no notice is received by Eastman within
                  such sixty (60) day period, Eastman shall repay or credit
                  to P&G that portion of the Cancellation Fee equal to the
                  average of the two appraised salvage values. If P&G elects
                  to take the appraised machinery, equipment and support
                  facilities within the sixty (60) day period, then P&G will
                  select a suitable contractor, approved by Eastman, to
                  dismantle and remove the machinery, equipment and support
                  facilities. All costs of dismantling and removing items
                  and restoring the site shall be paid by P&G. P&G shall
                  also be responsible for any damage to property or personal
                  injury caused by or resulting from efforts of P&G or its
                  agents or contractors to dismantle and remove items and
                  restore the site, and shall indemnify Eastman for any
                  loss, liability or reasonable cost Eastman may incur as a
                  result of such efforts. Title to the appraised machinery,
                  equipment and support facilities or any part thereof
                  removed by P&G shall pass to P&G when the property leaves
                  Eastman's premises.

                  For purposes of determining the applicable Cancellation
                  Fee(s), the NOBS 1B and/or NOBS 2 facilities shall be
                  considered to have been in operation, and this Agreement
                  not cancelled, for any periods during which the applicable
                  Standby Fee or Mothball Fee was paid.

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                  P&G may terminate its obligations to purchase NOBS from
                  either NOBS 1B, NOBS 2, or from both facilities upon at
                  least 180 days' written notice while in operating or
                  standby mode; and upon at least 90 days written notice
                  while in Mothball Mode.

                  P&G may exercise the Partial or Full Termination options
                  upon less than the required prior written notice, as
                  follows (the "Additional Early Termination Fee"):

         1)       Early termination while in Operational or Stand-by Mode,
                  with less than 180 days written notice: P&G will pay an
                  additional early termination fee of ***/day for NOBS 1B
                  and ***/day for NOBS 2 for the number of days by which
                  the prior notice was less than 180 days, in additionto all
                  other applicable fees.

         2)       Early termination while in Mothball Mode, with less than
                  90 days written notice: P&G will pay an additional early
                  termination fee of ***/day for NOBS 1B and ***/day for
                  NOBS 2 for the number of days by which the prior notice
                  was less than 90 days, in addition to all other applicable
                  fees.

         (c)      Time of Payment: P&G shall pay the applicable Cancellation
                  ---------------
                  Fee or Fees and other fees specified in this Article 17
                  within thirty (30) days after receipt of invoice.

         (d)      Alternate Use: If this Agreement is terminated prior to
                  -------------
                  expiration of the originally scheduled Agreement Term but
                  after the Startup Date, and if at any point in the future
                  not exceeding five (5) years from receipt of the
                  applicable termination notice, Eastman develops an
                  alternate use, or produces alternate material(s) from NOBS
                  1B or NOBS 2 and/or any of its equipment and support
                  facilities as set forth in Paragraph (a), Eastman shall
                  reimburse P&G at the depreciated book value for all items
                  included in the alternate use within thirty (30) days from
                  starting to utilize item(s). As additional items are
                  utilized Eastman will make additional reimbursements to
                  P&G. In no case shall total reimbursements plus previously
                  paid or credited salvage values or depreciated book values
                  exceed the applicable Cancellation Fee or Fees received by
                  Eastman.

         (e)      Inventory Reporting: Upon termination, Eastman will
                  -------------------
                  furnish P&G a final report of all receipts and shipments
                  since the last statement per Article 13 and an ending
                  inventory, within thirty (30) days of its receipt of
                  notice of termination.

18.      Ownership of Technology
         -----------------------
         All technical data, process information, patents, and the like on
         unstabilized and stabilized NOBS obtained from plant operation are
         the exclusive property of Eastman. All technical data, process
         information, patents, and the like received from P&G for
         stabilizing NOBS are the exclusive property of P&G. All information
         available to either party separate from their relationship is
         excluded from the foregoing provisions. If either party desires to
         use the other party's intellectual property rights described in
         this Article with a third party, a mutually agreeable licensing
         agreement may be negotiated at the option of the licensor, except
         as may be otherwise provided under Articles 15 and 16.

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19.      Disposal of Materials
         ---------------------
         If this Agreement is terminated for reasons other than Eastman's
         breach, default, or inability to perform, all Acid, unstabilized
         NOBS and NOBS in Eastman's custody shall be disposed of lawfully as
         instructed by P&G. P&G shall pay all shipping charges, cost of
         material, and cost to destroy any material, not in excess of
         reasonable inventories based on P&G's quarterly estimates. After
         final arrangements have been made for disposal thereof, Eastman
         shall send a final accounting summary to P&G, which shall specify
         any amount owed to Eastman. Final amounts outstanding shall be
         payable net thirty (30) days after receipt of statement.

20.      Title and Risk of Loss
         ----------------------

         (a)      Title to and risk of loss of NOBS shall be transferred
                  from Eastman to P&G when shipped from Eastman's plant,
                  Magness, Arkansas, except when Eastman agrees in writing
                  that title to and risk of loss shall pass upon delivery to
                  P&G's facilities.

         (b)      Eastman will follow mutually agreed loading procedures for
                  P&G provided transportation. Eastman will not load any
                  suspect carriers and will notify P&G promptly. Further,
                  while carriers are on Eastman's property, Eastman will
                  take reasonable measures to protect such carriers against
                  tampering.

         (c)      Other materials, including raw materials purchased by
                  Eastman, coproducts, wastes, and residues resulting from
                  the production of NOBS, shall be the property of Eastman.

21.      Compliance with Law
         -------------------

         (a)      Eastman acknowledges that P&G has provided Eastman with
                  recommended precautions for exposure to and handling of
                  NOBS and wastes generated therefrom. Eastman represents to
                  P&G that Eastman understands such information. Eastman
                  also represents to P&G that Eastman shall advise and
                  inform its employees of the nature of such products and
                  the potential hazards connected therewith prior to such
                  individuals' employment in connection with NOBS
                  production. The form and content of such advice and
                  information will be at Eastman's discretion.

                  Eastman shall employ those safety and handling precautions
                  required by law or regulation to protect the safety and
                  well-being of persons, property and the environment in the
                  production of NOBS. Eastman agrees to inform P&G in
                  writing of any toxic or otherwise hazardous property
                  relating to NOBS which becomes known to Eastman during the
                  term of this Agreement.

         (b)      Eastman represents to P&G that with respect to the
                  operations described in this Agreement, Eastman is in
                  compliance with all present laws, rules, regulations and
                  governmental actions applicable hereunder, including the
                  Canadian

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                  Environmental Protection Act, the U.S. Toxic Substances
                  Control Act, regulations under said Acts and all other
                  relevant United States Federal and State legislation.
                  Eastman will comply with all laws, rules, regulations, and
                  governmental actions hereafter applicable and will apply
                  for permits and licenses hereafter required; provided,
                  however, P&G shall reimburse Eastman all costs and
                  expenses incurred by Eastman for compliance therewith; and
                  provided further that if in either Eastman's or P&G's
                  judgment compliance with laws, rules, regulations, or
                  governmental actions hereafter made applicable is unduly
                  onerous or expensive, P&G and Eastman shall endeavor to
                  renegotiate the Price; and if Eastman and P&G fail to
                  reach an agreement upon a new Price within sixty (60) days
                  after renegotiation is requested, Eastman or P&G shall
                  thereafter have the right to terminate this Agreement by
                  giving the other party at least sixty (60) days prior
                  written notice. In the event Eastman elects to terminate
                  this Agreement, pursuant to this Paragraph, P&G shall not
                  pay the Cancellation Fee as described in Article 17 and
                  the provisions of Article 15(b) will apply in the event
                  P&G elects to arrange for an alternative supplier(s) using
                  Eastman's technology.

         (c)      Eastman warrants compliance with applicable U.S. and
                  Canadian Customs and related governmental laws and
                  regulations. Eastman agrees to indemnify and save P&G
                  harmless for any liability, cost or expense incurred as a
                  result of Eastman's failure to comply. On shipments
                  originating outside of Canada, Eastman shall prepare
                  Canada Customs Invoices, otherwise conform to Canadian
                  Customs and related governmental laws and regulations and
                  mail promptly the required documents as instructed on
                  P&G's purchase order. The commercial invoice will be sent
                  to the address specified on the purchase order. In case of
                  L. T. L. Shipments individual packages shall be numbered
                  and these numbers shall be shown on the Canada Customs
                  Invoice in the space provided.

         (d)      Some of the material or services covered by this Agreement
                  are used on a contract with the Federal Government to
                  which the provisions of Section 202 of Executive Order
                  11246, Section 402 of The Vietnam Era Veterans
                  Readjustment Assistance Act of 1974 and Section 503 of The
                  Rehabilitation Act of 1973 apply, and consequently the
                  provisions of Section 202, Section 402 and 503 will become
                  binding upon the Eastman upon acceptance of this
                  Agreement, if this Agreement exceeds $10,000 or applies
                  against a contract exceeding $10,000 in one year with
                  respect to Sections 202 and 402, and $2,500 with respect
                  to Section 503. Regulation under the Executive Order, The
                  Vietnam Era Veterans Readjustment Act and the
                  Rehabilitation Act may require Eastman to develop an
                  Affirmative Action Compliance Program, to file an Employee
                  Information Report EEO-1 or other reports as prescribed,
                  and to certify that its facilities are not segregated on
                  the basis of race, color, religion or national origin.
                  (See 41 CFR 60)

22.      Patent Indemnity
         ----------------
         Eastman agrees to indemnify P&G against all damages, costs, and
         expenses which result from claims of infringement of U.S. and
         non-U.S. patents brought against P&G on account of the process used
         by Eastman, using technology selected by Eastman, to

                                   - 15 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

         manufacture NOBS under this Agreement. P&G agrees to indemnify
         Eastman against all damages, costs, and expenses which result from
         a claim of infringement of U.S. and non- U.S. patents on account of
         the manufacture and sale of NOBS or any part of the NOBS under this
         Agreement using technology selected by P&G.

         Either party claiming indemnity shall note the other party promptly
         upon receipt of notice of any claim. The indemnitor shall, at its
         option, have the right to assume the defense of any such lawsuit,
         and to settle any claim. If it elects not to assume the defense,
         the Indemnitor shall reimburse reasonable attorney's fees incurred
         by the Indemnitee. The indemnitee agrees to make available any
         information in its possession reasonably necessary for the defense
         of such suit.

         As long as Eastman is supplying material to P&G exclusively, P&G
         grants Eastman a fully-paid, non-exclusive license, without sub
         licensing rights, under any P&G patents protecting processes for
         the manufacture of NOBS and reduced to practice prior to the
         termination of this Agreement. As long as this Agreement is in
         effect, Eastman grants P&G a fully-paid, non-exclusive license,
         without sub licensing rights, except per Articles 15 and 16, under
         any Eastman patents protecting processes for the manufacture of
         NOBS from *** and *** and reduced to practice prior to the
         termination of this Agreement.

23.      Confidentiality
         ---------------
         During the course of this Agreement, it may be necessary for P&G to
         disclose certain stabilization technology relating to NOBS,
         specifications and properties for NOBS, commercial information
         relating to P&G's interest in NOBS, and the timing of P&G's
         requirements (all of which is collectively termed the
         "Information"). Said Information shall be written and identified as
         confidential (or if disclosed orally or visually, identified as
         confidential at the time of disclosure and confirmed in writing
         within thirty (30) days).

         P&G and Eastman hereby agree that any disclosure by P&G to Eastman
         regarding the Information shall be upon the following conditions:
         (i) that the disclosure of the Information will be received and
         held in confidence by Eastman as Eastman holds in confidence its
         own information of a similar nature, and (ii) that Eastman will not
         utilize the Information to produce NOBS for others.

         The commitments set forth in (i) and (ii) above shall not extend to
         any portion of the Information which: (1) is known to Eastman; (2)
         hereafter, through no act on the part of Eastman, is or becomes
         information generally available to the public; (3) corresponds in
         substance to information furnished to Eastman by any third party
         having a bona fide right to do so; (4) corresponds to information
         furnished by P&G to any third party on a non confidential basis
         other than in connection with Limited consumer testing; or (5) is
         independently developed by Eastman, as evidenced by Eastman's
         written records.

         Moreover, Eastman's obligations hereunder shall terminate after a
         period of five (5) years from the termination of this Agreement.
         Following termination of the commitments set forth in (i) and (ii)
         above with respect to the whole of the Information, or upon
         termination thereof in connection with specific portions of the
         Information by operation

                                   - 16 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

         of any of Items (1) through (5) in the preceding paragraph, Eastman
         shall be completely free of any expressed or implied obligations
         hereunder restricting disclosure and use of the Information and
         subject to P&G's patent rights.

         Eastman may provide the chemical name of the product and shipping
         destination (company and location) and any other information
         required by law to carriers required to ship NOBS to P&G.

24.      Independent Contractor
         ----------------------
         Eastman is and shall remain an independent contractor in its
         performance of this Agreement. The provisions of this Agreement
         shall not be construed as authorizing or reserving to P&G any right
         to exercise any control or direction over the operations,
         activities, employees, or agents of Eastman in connection with this
         Agreement, it being understood and agreed that the entire control
         and direction of such operations, activities, employees, or agents
         shall remain with Eastman as an independent contractor. Neither
         party to this Agreement shall have any authority to employ any
         person as an employee or agent for or on behalf of the other party
         to this Agreement, nor shall any person performing any duties or
         engaging in any work at the request of such party be deemed to be
         an employee or agent of the other party to this Agreement.

25.      Assignment
         ----------
         Neither party may assign or otherwise transfer any of its rights
         nor delegate the performance of its obligations under this
         Agreement to non affiliated parties without the prior written
         consent of the other party, and attempted assignment or transfer
         without such consent shall be void and of no effect. Subject to the
         foregoing, this Agreement shall inure to the benefit of and be
         binding upon the parties hereto and their respective successors and
         assigns.

26.      Notice
         ------
         Any notice required or permitted to be given under this Agreement
         shall be in writing and shall be deemed to have been sufficiently
         given if delivered by hand or deposited in the United States' mail,
         postage prepaid, addressed as shown below or to such other address
         as may be specified in a written notice given by such party. Both
         parties agree to acknowledge in writing receipt of any notice
         delivered in person.

                  Eastman Chemical Company
                  Box 431
                  Kingsport, Tennessee 37662
                  Attention: Business Manager, Fine Chemicals

                  The Procter & Gamble Manufacturing Company
                  5299 Spring Grove Avenue
                  Cincinnati, Ohio 45217
                  Attention: Associate Director, F&HC Chemical Purchases

                                   - 17 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

27.      Waiver/Severability
         -------------------
         The failure of either party to insist upon strict performance of
         any provision of this Agreement, or of any rules or regulations,
         shall not be construed as a waiver for the future of any such
         provision or rule. In the event any provision or portion thereof is
         held to be unenforceable or invalid by any court of competent
         jurisdiction, the provision shall be deleted, and the remaining
         portions shall remain valid and enforceable.

28.      Miscellaneous
         -------------

         (a)      Article headings, as to the contents of particular
                  Articles, are for convenience only but shall not act as a
                  limitation of the scope of the particular Articles to
                  which they refer where other Articles may modify, qualify
                  or further delineate the obligations of the parties.

         (b)      The validity, interpretation, and performance of this
                  Agreement and any dispute connected herewith shall be
                  governed and construed in accordance with the laws of the
                  State of Ohio.

29.      Attachments
         -----------

         The attachments listed below are incorporated into the Agreement
         and are a part hereof:

         A.       NOBS Extrudate Specifications and Testing Procedure
         B.       *** Specification
         C.       NOBS Fee Schedules
         D.       Super Sacking Fee
         E.       Cancellation Fee Schedules
         F.       Selection of Appropriate Index

                                   - 18 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

30.      Full Agreement
         --------------
         This Agreement, and its Attachments, and the Letter Agreement
         between the parties dated October 6, 1999 regarding the Small NOBS
         Project, constitutes the full understanding between the parties
         hereto with reference to the subject matter hereof and no
         statements or agreements, oral or written, made prior to or at the
         signing hereof shall vary or modify the written terms hereof, and
         neither party shall claim any amendment, modification, or release
         from any provision hereof by any agreement, acknowledgment,
         acceptance of purchase order forms, or otherwise, unless such
         Agreement is in writing, signed by both parties and specifically
         stating that it is an amendment to this Agreement.

<TABLE>
<C>                                                           <C>
ACCEPTED:                                                     ACCEPTED:

EASTMAN CHEMICAL COMPANY                                      THE PROCTER & GAMBLE
                                                              MANUFACTURING COMPANY

         /s/ Robert K. Hornsey                                         /s/ Bruce D. Stirling
-----------------------------------------------------         --------------------------------------------
Robert K. Hornsey                                             Bruce D. Stirling
Vice President and General Manager                            Vice President
Eastman Fine Chemicals Business Organization                  Global Fabric and Home Care Purchases
Eastman Chemical Company

Date:    Feb 23, 2000                                         Date:    March 26, 2000
     ------------------------------------------------              ---------------------------------------
</TABLE>

                                   - 19 -

<PAGE>
<PAGE>

<TABLE>
                                                     ATTACHMENT A
                                 NOBS EXTRUDATE SPECIFICATIONS AND TESTING PROCEDURES

<CAPTION>
                                  PROCTER & GAMBLE GLOBAL RAW MATERIAL SPECIFICATION
----------------------------------------------------------------------------------------------------------------------
<C>                                <C>                        <C>                          <C>
Supersedes: NEW                                               Specification Number:        10090497
                                                              Issue Number:                1
                                                              Issue Date:                  10 September, 1999
                                                              Page:                        1 of 4
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
                      MODIFICATIONS TO THIS RMS CAN ONLY BE MADE BY TECHNICAL BUYING SERVICE, NTC
----------------------------------------------------------------------------------------------------------------------
</TABLE>

               NONANOYLOXY BENZENE SULFONATE (NOBS) EXTRUDATES
               -----------------------------------------------
GENERAL:
-------

    1.   Human and Environmental Safety Considerations, Regulated Products
         Statements & other considerations of supply: It is Procter & Gamble's
         intent and responsibility to provide its customers with products
         which perform as expected, and which are safe for humans and are also
         safe in the environment. To ensure that these obligations are
         properly discharged, there are certain procedures with regard to raw
         materials which must be followed. These procedures are to permit
         Procter & Gamble Technical Buying Service, prior to shipment, to make
         a determination whether any process modifications or questionable
         material quality will have any negative effect on Procter & Gamble
         processes, finished products, the human and environmental safety of
         products; as well as to add to our basic safety information:

    *    It is the supplier's responsibility to notify Procter & Gamble's
         Laundry & Cleaning Purchasing, in writing, before making any
         significant changes in the method of manufacturing or supply of any
         material. This includes, but is not restricted to:-
         a)   Quality, type and derivation of the raw material ingredients.
         b)   Manufacturing conditions such as temperature, reaction rates,
              storage and shipping vessels, catalysts, batch vs. continuous
              process, and material of construction.
         c)   Blending of material having unusual properties.
         d)   Substituting its own product -
              i)   with one of another producer, or
              ii)  with product from toll processing (complete or partial) by
                   others.
         e)   Changing its source of supply if it is a Manufacturer
              Representative (Agent, Trader, etc.), or a Manufacturer with
              more than one producing plant.

    *    The supplier agrees upon request to submit to Procter & Gamble the
         results of all investigations which it has conducted, or which have
         been conducted for it, pertaining to the human and environmental
         safety of this material, except for proprietary information
         developed by or for a third party.

         Identifications of Shipping Papers with Raw Material Specification
         ------------------------------------------------------------------
         Number
         ------
         To aid in identification and preventing misuse of raw materials, the
         suppliers are required to include the "RMS No." on each shipper's
         invoice, and shipper's analysis report

    2.   Quality Assurance
         (i)      Suppliers are required to provide data via a Certificate of
                  Analysis and/or a periodic quality summary for all items
                  identified on this RMS as Critical Quality Items.
         (ii)     Certificate of Analysis (COA) In order to provide
                  reassurance on quality, suppliers are required to provide
                  each P&G receiving plant with a COA which covers those
                  Critical Quality Items listed below, along with or ahead of
                  each delivery.
         The COA must contain:
<TABLE>
<CAPTION>
         -------------------------------------------------------------------------------------------------------------
           Supplier information             Product information                      Analytical Results
         -------------------------------------------------------------------------------------------------------------
<C>                                       <C>                                      <C>
         >>Name & Address of Supplier     >>P&G RMS No. & Issue No.                >>All Critical Quality Items on
         >>Name & Address of              >>P&G Order No.                            this RMS.
           Manufacturer (if different     >>Supplier's product Trade Name.         >>Target value/limits/units as
           to Supplier)                   >>Supplier's Batch/Lot No. or other        specified on this RMS.
         >>Contact Name, Position &         unique identification.                 >>Analytical Result.
           Telephone/FAX No. to be used   >>For bulk deliveries - Tank car         >>Method used - Mark with * if
           in case of questions.            license plate No./Name of Ship or        different to that shown on this
                                            Vessel & Date loaded.                    RMS.
         -------------------------------------------------------------------------------------------------------------

<CAPTION>
===================================================================================================================
Changes to this issue: New RMS

                                -------------------------------------------------------------------------------------
                                Approvals
----------------------------------------------------------------------------------------------------------------------
<C>                   <C>       <C>                  <C>     <C>                  <C>     <C>                  <C>
Originator:           Date:     R&D Analytical:      Date:   TBS QA:              Date:   TBS Manager:         Date:
R.J. Grosse                     M.T. Denning                 D.G. Merelie                 P.R. Brougham

----------------------------------------------------------------------------------------------------------------------
</TABLE>

This document has been printed from GMDB on 17 February, 2000. It is your
responsibility to make sure that it is still current.

<PAGE>
<PAGE>

<TABLE>
                                                     ATTACHMENT A
                                 NOBS EXTRUDATE SPECIFICATIONS AND TESTING PROCEDURES

<CAPTION>
                                  PROCTER & GAMBLE GLOBAL RAW MATERIAL SPECIFICATION
----------------------------------------------------------------------------------------------------------------------
<C>                                <C>                        <C>                          <C>
Supersedes: NEW                                               Specification Number:        10090497
                                                              Issue Number:                1
                                                              Issue Date:                  10 September, 1999
                                                              Page:                        2 of 4
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
                     MODIFICATIONS TO THIS RMS CAN ONLY BE MADE BY TECHNICAL BUYING SERVICE, NTC
----------------------------------------------------------------------------------------------------------------------
</TABLE>

               NONANOYLOXY BENZENE SULFONATE (NOBS) EXTRUDATES
               -----------------------------------------------
         The requirement for a COA may be removed after a supplier has
         demonstrated his reliability over several months, but only after
         formal agreement to do so from P&G, Technical Buying Service, & if
         the supplier provides a summary of data on all Critical Quality
         Items at a frequency to be agreed with P&G Technical Buying
         Service.
         Suppliers must not use a method other than that defined on this RMS
         without agreement from P&G Technical Buying Service. In the event
         of differences between Supplier & P&G data the decision to accept
         or reject .will be based on the method shown on this RMS.

<TABLE>
<CAPTION>
===================================================================================================================
Changes to this issue: New RMS

                                -------------------------------------------------------------------------------------
                                Approvals
----------------------------------------------------------------------------------------------------------------------
<C>                   <C>       <C>                  <C>     <C>                  <C>     <C>                  <C>
Originator:           Date:     R&D Analytical:      Date:   TBS QA:              Date:   TBS Manager:         Date:
R.J. Grosse                     M.T. Denning                 D.G. Merelie                 P.R. Brougham

----------------------------------------------------------------------------------------------------------------------
</TABLE>

This document has been printed from GMDB on 17 February, 2000. It is your
responsibility to make sure that it is still current.

<PAGE>
<PAGE>

<TABLE>

                                                     ATTACHMENT A
                                 NOBS EXTRUDATE SPECIFICATIONS AND TESTING PROCEDURES

<CAPTION>
                                  PROCTER & GAMBLE GLOBAL RAW MATERIAL SPECIFICATION
----------------------------------------------------------------------------------------------------------------------
<C>                                <C>                        <C>                          <C>
Supersedes: NEW                                               Specification Number:        10090497
                                                              Issue Number:                1
                                                              Issue Date:                  10 September, 1999
                                                              Page:                        3 of 4
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
                     MODIFICATIONS TO THIS RMS CAN ONLY BE MADE BY TECHNICAL BUYING SERVICE, NTC
----------------------------------------------------------------------------------------------------------------------

<CAPTION>
                                    NONANOYLOXY BENZENE SULFONATE (NOBS) EXTRUDATES
                                    -----------------------------------------------
<C>                                                     <C>
CHARACTERISTICS:
----------------

         3.       Chemical Description:                 Extrudate of Nonanoyloxy Benzene Sulfonate (NOBS) with ***
                                                        agents.

         4.       Appearance:                           ***
                                                        ***
                                                        ***

         5.       Odour    a) As Is                     Free from objectionable odours and typical of previous
                                                        acceptable receipts. Specifically, there should  be no
                                                        more than a slight smell ***

                           b) In Solution               By *** in
                                                        ***

<CAPTION>
CRITICAL QUALITY ITEMS (To be included on all Certificates of Analysis):
------------------------------------------------------------------------
<C>                                                     <C>                             <C>
                  Item                                  Limits                          Analytical Method
                  ----                                  ------                          -----------------

         6.       Hunter Colour                         ***                             To be ***
                                                        ***                             ***
                                                        ***                             ***
                                                        ***

         7.       Attrition                             ***                             ***
                  ***

         8.       Activity (as NOBS)                    ***                             To be ***
                                                        ***
OTHER ITEMS:
------------

         9.       Bulk Density                          ***                             ***
                                                        ***

         10.      Cake Grade                            ***                             ***

         11.      Rate of Solubility                    ***                             ***

         12.      pH, ***                               ***                             ***

         13.      Water Insolubles ***                  ***

         14.      ***                                   ***                             ***
                  ***

         15.      ***                                   ***                             ***

         16.      ***                                   ***                             ***
                  ***

<CAPTION>
===================================================================================================================
Changes to this issue: New RMS

                                -------------------------------------------------------------------------------------
                                Approvals
----------------------------------------------------------------------------------------------------------------------
<C>                   <C>       <C>                  <C>     <C>                  <C>     <C>                  <C>
Originator:           Date:     R&D Analytical:      Date:   TBS QA:              Date:   TBS Manager:         Date:
R.J. Grosse                     M.T. Denning                 D.G. Merelie                 P.R. Brougham

----------------------------------------------------------------------------------------------------------------------
</TABLE>

This document has been printed from GMDB on 17 February, 2000. It is your
responsibility to make sure that it is still current.

<PAGE>
<PAGE>

<TABLE>
                                                     ATTACHMENT A
                                 NOBS EXTRUDATE SPECIFICATIONS AND TESTING PROCEDURES

<CAPTION>
                                  PROCTER & GAMBLE GLOBAL RAW MATERIAL SPECIFICATION
----------------------------------------------------------------------------------------------------------------------
<C>                                <C>                        <C>                          <C>
Supersedes: NEW                                               Specification Number:        10090497
                                                              Issue Number:                1
                                                              Issue Date:                  10 September, 1999
                                                              Page:                        4 of 4
----------------------------------------------------------------------------------------------------------------------

----------------------------------------------------------------------------------------------------------------------
                     MODIFICATIONS TO THIS RMS CAN ONLY BE MADE BY TECHNICAL BUYING SERVICE, NTC
----------------------------------------------------------------------------------------------------------------------

<CAPTION>
                                    NONANOYLOXY BENZENE SULFONATE (NOBS) EXTRUDATES
                                    -----------------------------------------------
<C>                                                     <C>                             <C>
                  ***

         17.      ***                                   ***                             ***

         18.      ***                                   ***                             ***

         19.      Particle Size                                                         ***
                  ***
                  ***                                   ***
                  ***                                   ***

<CAPTION>
===================================================================================================================
Changes to this issue: New RMS

                                -------------------------------------------------------------------------------------
                                Approvals
----------------------------------------------------------------------------------------------------------------------
<C>                   <C>       <C>                  <C>     <C>                  <C>     <C>                  <C>
Originator:           Date:     R&D Analytical:      Date:   TBS QA:              Date:   TBS Manager:         Date:
R.J. Grosse                     M.T. Denning                 D.G. Merelie                 P.R. Brougham

----------------------------------------------------------------------------------------------------------------------
</TABLE>

This document has been printed from GMDB on 17 February, 2000. It is your
responsibility to make sure that it is still current.

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                 Attachment B
                                 ------------

                               *** Specification
                                      ***

         ------------------------------------------------------------------
         ***                                                        ***
         ***                                                        ***
         ***                                                        ***
         ***                                                        ***
         ***                                                        ***
         ***                                                        ***
         ***                                                        ***

         ------------------------------------------------------------------

                                    - 20 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                 Attachment C
                                 ------------

                              NOBS Fee Schedules
                              ------------------

                                  Schedule I
                                  ----------

                       Base Sales Price *** for NOBS 1B

             Quantity (NOBS 100%) Million Pounds                       Price
             -----------------------------------                       -----
      Annual Rate                        Quarterly Rate                U.S. $/Lb
      -----------                        --------------                ---------
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***

Prices are based on the quarterly rate of purchases; annual rates are for
information only.

                                    - 21 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                 Attachment C
                                 ------------

                              NOBS Fee Schedules
                              ------------------

                                  Schedule II
                                  -----------

                        Base Sales Price *** for NOBS 2

          Quantity (NOBS 100%) Million Pounds                      Price
          -----------------------------------                      -----
   Annual Rate                        Quarterly Rate        Base Price U.S. $/Lb
   -----------                        --------------        --------------------
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***
            ***                                ***                   ***

Prices are based on the quarterly rate of purchases; annual rates are for
information only.

For invoicing purposes, the Price for NOBS from NOBS 1B and NOBS 2 shall be
multiplied by the estimated assay percentage of NOBS delivered during each
Contract Quarter, and the quantity shown thereon shall be the actual pounds
of NOBS-containing material delivered (not multiplied by or otherwise
adjusted for such average assay). At the end of each Contract Quarter, an
appropriate adjustment to the price (in the Miscellaneous Cost Factor,
below) shall be made to reflect any differences between such estimated
invoiced assay and such actual assay of NOBS delivered during such quarter.

The Base Sales Prices for NOBS 1B and NOBS 2 will be adjusted on the first
day of each Contract Quarter: for NOBS 1B per Attachment C, Schedules III, V
                                              ------------
and VII; and for NOBS 2 per Attachment C, Schedules IV, VI and VIII.
                            ------------

                                    - 22 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                Schedule III
                                ------------
                           NOBS 1B Price Indexing
                           ----------------------

Formula: N(1) = O(1) + A(1) + A(2) + A(3) + A(4) + A(5) + A(6) + B + C + D +
M + CR

N(1) = The quarterly selling price

O(1) = Base Sales Price, f.o.b. Magness, Arkansas, as established above.

A(1) = *** Index = *** x R

where *** = Eastman's purchase price for ***, delivered to Eastman's plant per
pound. For the quarter beginning Jan. 1, 1999 and all subsequent quarters,
Eastman's purchase price for *** will be the forecast price provided by the
*** supplier.

where R = The conversion ratio for ***, as stated in Article 7.

A2 = *** Index = *** x ***

where *** = Eastman's purchase price for ***, delivered to Eastman's plant,
beginning with a price of *** per pound. For the quarter beginning Jan. 1,
1999, Eastman's purchase price for *** will be the price paid by Eastman for
Sep-Oct-Nov 1998 purchases. For each succeeding quarter, the purchase price
will be the average purchase price paid by Eastman during the three months
preceding the month in which quarterly notice is to be given to P&G.

A3 = *** Index = *** x ***

where *** = Eastman's purchase price for ***, delivered to Eastman's plant,
beginning with a price of *** per pound. For the quarter beginning Jan. 1,
1999, Eastman's purchase price for *** will be the price paid by Eastman for
Sep-Oct-Nov 1998 purchases. For each succeeding quarter, the purchase price
will be the average purchase price paid by Eastman during the three months
preceding the month in which quarterly notice is to be given to P&G.

A4 = *** Index = *** x ***

where *** = Eastman's purchase price for ***, delivered to Eastman's plant,
beginning with a price of *** per pound. For the quarter beginning Jan. 1,
1999, Eastman's purchase price for *** will be the price paid by Eastman for
Sep-Oct-Nov 1998 purchases. For each succeeding quarter, the purchase price
will be the average purchase price paid by Eastman during the three months
preceding the month in which quarterly notice is to be given to P&G.

                                    - 23 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                Schedule III
                                ------------
                     NOBS 1B Price Indexing (Continued)
                     ----------------------------------

A5 = *** Index  = *** x ***

where S = Eastman's purchase price for *** delivered to Eastman's plant,
beginning with a price of *** per pound. For the quarter beginning Jan. 1,
1999, Eastman's purchase price for *** will be the price paid by Eastman for
Sep-Oct-Nov 1998 purchases. For each succeeding quarter, the purchase price
will be the average purchase price paid by Eastman during the three months
preceding the month in which quarterly notice is to be given to P&G.

A6 = *** Index - *** x ***
                    ***

where *** = ***
beginning with a base of ***,
non adjusted, published monthly by the US. Department of Labor, Bureau of
Labor Statistics.

B = *** Index = ***
                ***

where *** = ***
***
*** published monthly by the U.S. Department of Labor, Bureau of Labor
Statistics, *** beginning with a base of *** July, 1994.

C = *** Index = ***
                ***

where *** = ***
*** published monthly by the U.S. Department of Labor,
Bureau of Labor Statistics, *** beginning with a base of *** (August 1994).

D = *** Index = ***
                ***

where *** = ***,
published monthly by the U.S. Department of Labor, Bureau of Labor
Statistics (NSA), beginning with a base of *** (August 1994), and *** the
*** Index from Attachment C, Schedule V.
               ------------

                                    - 24 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                Schedule III
                                ------------
                     NOBS 1B Price Indexing (Continued)
                     ----------------------------------

M =Miscellaneous Cost Factor for NOBS 1B =  Miscellaneous Costs
                                            -------------------
                                            Million Lbs (100%) / quarter

to distribute quarterly the various miscellaneous costs, which are mutually
agreed to by Eastman and the P&G Associate Director of F&HC Chemical
Purchases, including the adjustments needed if the previous quarter's actual
volume is different enough from the forecast volume to require a change in
the base sales price from Attachment C, Schedule I). This factor will also
                          ------------
be used to credit savings that are generated through cost reduction efforts
of P&G or Eastman as described in Article 8.

CR = Capital Recovery
CR = CR-A + CR-B
CR-A = Capital Recovery 1A = ***
CR-B = Capital Recovery 1B = $XX/lb (see Attachment C, Schedule VII)

Effective January 1, 1995, the base sales price (O) under the Prior
          ---------------
Agreement was increased by ***/lb. (CR-A) to cover Eastman NOBS 1A capital
investment for all pounds purchased since January 1, 1995, until the total
pounds purchased multiplied by ***/lb. equals *** million. This charge will
continue under this Agreement for purchases from NOBS lB, and when the ***
million has been filly amortized (recovered by Eastman), the ***/lb. capital
recovery for NOBS lA will no longer apply. The base sales price (O1) for
purchases from NOBS 1B also will be increased by the appropriate capital
recovery charge, CR-B, as noted on Attachment C, Schedule VII, based on the
quantity of NOBS purchased in any Contract Quarter. This charge is to cover
Eastman's NOBS 1B capital investment, and will apply to all pounds purchased
after the start up of NOBS 1B until the total pounds purchased multiplied by
the quarterly capital recovery charge (CR-B) equals *** million. After the
*** million has been fully amortized, the capital recovery charge (CR-B)
will no longer apply. (NOTE: CR-A is a fixed charge; CR-B is a variable
charge, as taken from Attachment C, Schedule VII)

All price adjustments pursuant to the above formula will be to the nearest
$0.001 (dropping fractions of less than $0.0005 and rounding up fractions of
$0.0005 or more).

                                    - 25 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                 Schedule IV
                                 -----------
                            NOBS 2 Price Indexing
                            ---------------------

Formula: N(2) = O(2) + A(12) + A(22) + A(32) + A(42) + A(52) + A(62) + B(2)
+ C(2) + D(2) + M(2) + CR(2)

N(2)     =        The quarterly selling price

O(2)     =        Base Sales Price, ex works Magness, Arkansas as established
                  above.

A(12)    =        *** Index = *** X R

         where *** =        Eastman's purchase price for *** delivered Eastman's
                            plant per kg. For the quarter beginning January 1,
                            1999, and all subsequent quarters, Eastman's price
                            for *** will be the forecast price provided by the
                            *** supplier.

         where R =              The conversion ratio for *** as stated in
                                article 7)

A(22)    =        *** Index = *** X ***

         where              *** = Eastman's purchase price for *** delivered to
                            Eastman's plant, beginning with a price of ***/lb.
                            For the quarter beginning January 1, 1999,
                            Eastman's purchase price for *** will be the price
                            paid by Eastman for Sept.-Oct.-Nov. 1998 purchase.
                            For each succeeding quarter, the purchase price,
                            will be the average purchase price paid by Eastman
                            during the three months preceding the month in
                            which the quarterly price is to be given to P&G.

A(32)    =        *** Index = *** X ***

         where*** =         Eastman's purchase price for *** delivered to
                            Eastman's plant, beginning until a price of
                            ***/lb. For the quarter beginning January 1, 1999,
                            Eastman's purchase price will be the price paid by
                            Eastman for Sept.-Oct.-Nov. 1998 purchases. For
                            each succeeding quarter the purchase price will be
                            the average purchase price paid by Eastman during
                            the three month preceding the month in which the
                            quarterly notice is to be given to P&G.

                                    - 26 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                 Schedule IV
                                 -----------
                      NOBS 2 Price Indexing (Continued)
                      ---------------------------------

A(42)    -        *** Index = *** X ***

         where  *** =      Eastman's purchase price for ***, delivered
                           Eastman's plant beginning with a price of ***/lb.
                           For the quarter beginning January 1, 1999,
                           Eastman's purchase price will be the price paid by
                           Eastman for Sept.-Oct.-Nov. 1998 purchases. For
                           each succeeding quarter the purchase price will be
                           the average purchase price paid by Eastman during
                           the three month preceding the month in which the
                           quarterly notice is to be given to P&G.

A(52)    =        *** Index = *** X ***

         where  *** =      Eastman's purchase price of ***,
                           delivered to Eastman's plant, beginning with a
                           price of ***/lb. For the quarter beginning January
                           1, 1999, Eastman's purchase price will be the price
                           paid by Eastman for Sept.-Oct.-Nov. 1998 purchases.
                           For each succeeding quarter the purchase price will
                           be the average purchase price paid by Eastman
                           during the three month preceding the month in which
                           the quarterly notice is to be given to P&G.

A(62)    =        *** Index = for NOBS 2
                  ***
                  ***

         where  *** =      ***
                           ***, beginning with a base of *** (January, 1998) ***
                           *** in Producer Price Indexes non adjusted
                           published monthly by the U.S. Department of Labor,
                           Bureau of Labor Statistics.

B(2)     =        *** Index = ***
                              ***

         where  *** =      ***
                           ***
                           ***
                           Department of Labor, Bureau of Labor Statistics
                           *** beginning with a base of *** January, 1998.

                                    - 27 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                 Schedule IV
                                 -----------
                      NOBS 2 Price Indexing (Continued)
                      ---------------------------------

C2       =        *** Index = ***
                              ***

         where *** =         ***
                             *** in Producer Price Indexes, published
                             monthly by the U.S. Department of Labor, Bureau
                             of Labor Statistics *** , beginning with a base
                             of *** (January, 1998).

D2       =        *** Index for NOBS 2 = ***
                                         ***

         where *** = *** Producer Price
         Indexes published monthly by the U. S. Department of Labor, Bureau
         of Labor Statistics (NSA), beginning with a base of *** (January,
         1998) and *** = the *** *** from Attachment C, Schedule VI.

M2       =        Miscellaneous Cost Factor for NOBS 2 =

                           Miscellaneous Costs
                           -------------------
                           Million Lbs. as (100%) per quarter

         to distribute quarterly the miscellaneous costs which are mutually
         agreed to by Eastman and the P&G Associate Director of H&FC
         Purchases, including the adjustments needed if the previous
         quarters actual volume is different enough from the forecast volume
         to require a change in the base sales price (from Attachment C,
         Schedule II). This factor will also be used to credit savings that
         are generated through cost reduction efforts of P&G or Eastman as
         described in Article 8.

         If the "M" adjustment for the previous quarter due to volume changes
         for both NOBS 1 and NOBS 2 is greater than *** , the party owing this
         amount will reimburse the other party during the succeeding quarter
         by making the appropriate adjustment to the "M" calculation. ("M"
         adjustment multiplied by ***)

                                    - 28 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                 Schedule IV
                                 -----------
                      NOBS 2 Price Indexing (Continued)
                      ---------------------------------

CR(2)    =        Capital Recovery NOBS 2

The base sales price (O(2)) for purchases from NOBS 2 will be increased by the
appropriate capital recovery charge, CR(2), as noted, in Attachment C,
Schedule VIII - Capital Recovery for NOBS 2 capital investment and capital
recovery charge of *** million and will apply to all pounds purchased after
the start-up of NOBS 2 until the total pounds purchased multiplied by the
appropriate capital recovery charge (CR(2)) equals *** million. After the ***
million has been fully amortized, the capital recovery charge (CR(2)) will no
longer apply.

All price adjustments pursuant to the above formula will be to the nearest
$0.001 (dropping fractions of less than $.0005 and rounding up fractions of
$.0005 or more).

                                    - 29 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                 Schedule V
                                 ----------
                            *** Index for NOBS 1

             Quantity (NOBS 100%) Million Pounds
             -----------------------------------
      Annual Rate                        Quarterly Rate                *** Index
      -----------                        --------------                ---------
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***

                                    - 30 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment C
                                ------------

                                 Schedule VI
                                 -----------
                            *** Index for NOBS 2

             Quantity (NOBS 100%) Million Pounds
             -----------------------------------
      Annual Rate                        Quarterly Rate                *** Index
      -----------                        --------------                ---------
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***
      ***                                ***                           ***

                                    - 31 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

<TABLE>
                                                      Attachment C
                                                      ------------

                                                      Schedule VII
                                                      ------------
                                       NOBS 2 Quarterly Capital Recovery Schedule
<CAPTION>

-----------------------------------------------------------------------------------------------------------------------
         Annual Rate                  Quarterly Rate             Direct Capital $/lb             Infrastructure
         -----------                  --------------             -------------------             --------------
      Millions of Pounds            Millions of Pounds                                           Capital - $/lb
      ------------------            ------------------                                           --------------
-----------------------------------------------------------------------------------------------------------------------
<C>                             <C>                          <C>                           <C>
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
             ***                            ***                          ***                           ***
-----------------------------------------------------------------------------------------------------------------------
</TABLE>

                                    - 32 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment D
                                ------------

                           NOBS Super Sacking Fee

P&G will be invoiced as an invoice line item (a) for NOBS produced fiom NOBS
1B and from NOB S 2: a supersacking fee determined using the schedule below:

  Millions of Pounds of NOBS to
  be supersacked during such
  Contract* Quarter                         Base Supersacking Fee (X)($/lb)

-----------------------------------------------------------------------------
                    > ***                ***
-----------------------------------------------------------------------------
                     ***                 ***
-----------------------------------------------------------------------------
                     ***                 ***
-----------------------------------------------------------------------------
                     ***                 ***
-----------------------------------------------------------------------------

<FN>
                  *Based on forecast quantities. In the event actual
         supersacked quantities would result in a different Base Fee (X)
         being applicable, an adjustment will be made in the miscellaneous
         cost factor (Attachment C) in the next contract Quarter price
         calculations.

Each of the base fees shall be adjusted by the following formula at the
beginning of each Contract Quarter:

                                      ***
                                      ***

         where NSF         =        New Supersacking Fee

               PPI(3)      =        Producer Price Index most recently
                                    published for the prior contract quarter

                                    - 33 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment E
                                ------------

               NOBS 2 Cumulative Capital Recovery Schedule (for calculating
NOBS 2 Cancellation Fee)

                                   NOBS 2 Cumulative Capital Recovery (CCR(2)) -
                                   -------------------------------------------
                                                   Millions $
                                                   ----------

         Contract Quarter
         ----------------

         Jan-Mar `99                                  ***
         Apr - Jun `99                                ***
         Jul - Sept `99                               ***
         Oct - Dec `99                                ***
         Jan-Mar `00                                  ***
         Apr - Jun `00                                ***
         Jul - Sept `00                               ***
         Oct - Dec `00                                ***
         Jan-Mar `01                                  ***
         Apr - Jun `01                                ***
         Jul - Sept `01                               ***
         Oct - Dec `01                                ***

Should P&G cancel the NOBS 2 portion of this Agreement, the Cancellation Fee
owed by P&G will be the NOBS 2 Cumulative Capital Recovery for the
appropriate Contract Quarter reduced by the total amount of capital for the
total NOBS 2 pounds purchased, including Mothball Mode fees since January 1,
1999 multiplied by the actual capital recovery charged.

Cancellation Fee NOBS 2 = CCR(2) - (pounds purchased since NOBS 2 start-up X
               the actual capital recovery charged) - [capital recovery during
               Stand-by and Mothball Mode periods]

As of January, 2000, the NOBS 1B cancellation fee is zero ($0).

                                    - 34 -

<PAGE>
<PAGE>

NOBS Supply Agreement
1/1/99-12/31/01
P&G Contract CT3696

                                Attachment F
                                ------------

                       Selection of Appropriate Index
                       ------------------------------

The appropriate Producer Price Indexes for calculating the quarterly Base
Sales Price adjustments are the values available for the next to last month
before the applicable quarter. The appropriate Hourly Earnings Index is the
value available two months prior to the last month before the applicable
quarter.

                                            Applicable
                                            ----------
Index             Publisher                 Quarter           Date of Index
-----             ---------                 -------           -------------

Producer Price    U.S. Department of        Jan.-March        November
Indexes           Labor, Bureau of Labor    April-June        February
                  Statistics                July- Sep.        May
                                            Oct.-Dec.         August

Employment and    U.S. Department of        Jan.-March        October
Earnings          Labor, Bureau of Labor    April-June        January
                  Statistics                July-Sep.         April
                                            Oct.-Dec.         July

The appropriate estimated price for, *** and ***, for purposes of
calculating the quarterly Base Sales Price adjustments, will be
determined, except per Articles 5 and 6 and as otherwise noted in
this Attachment, as follows:

                                            Applicable
Index                      Publisher        Quarter           Date of Index
-----                      ---------        -------           -------------

Eastman's Average          Eastman          Jan.-March        Sept.-Oct.-Nov.
Purchase Price             Purchasing       April- June       Dec.-Jan.-Feb.
Delivered to Magness       Department       July-Sep.         March-April-May
for                                         Oct.-Dec.         June-July-Aug.
3-month periods

The appropriate price of *** will be determined by P&G and the *** supplier,
and provided to Eastman prior to the start of each Contract Quarter.

                                    - 35 -

<PAGE>
<PAGE>

October 6, 1999

Mr. Bill Hess
The Procter & Gamble Company
5299 Spring Grove Avenue
Cincinnati, OH 45217

Subject - NOBS Letter Agreement Relating to the "Small NOBS" Project

Dear Bill,

This Letter Agreement is between Eastman Chemical Company (Eastman) and The
Procter & Gamble Manufacturing Company (P&G).

P&G has expressed to Eastman the need to have the NOBS extrudate reduced in
physical size. Several plant trials have been run in the NOBS 1B
manufacturing facility by Eastman at P&G's request to determine the
feasibility of converting NOBS 1B and NOBS 2 to produce small NOBS.

In order to develop the necessary technical and financial information for
both parties to make a business decision regarding "small NOBS", the two
companies will work together as follows:

1.     Confirmation plant trials will be run during October, 1999 at
       Eastman. Any additional costs, not to exceed ***, incurred by Eastman
       as a result of the small NOBS trial will be invoiced by Eastman to
       P&G to be paid within 30 days of invoice. P&G will provide the
       required amounts of *** without charge.

       P&G will purchase within 60 days of completing the confirmation trial
       the inventory of the small NOBS which is produced during the
       confirmation trial at the normal weighted average contract sales
       price as adjusted in the quarter shipped. Any small NOBS which is
       produced during the confirmation, that is off-quality due to process
       changes needed to produce small NOBS will be purchased by P&G at the
       adjusted Quarter 4, 1999 contract sales price plus any rework or
       disposal costs. Eastman will not charge P&G for any costs associated
       with small NOBS which is produced during the confirmation that is off
       quality due to other reasons, including production errors.

<PAGE>
<PAGE>

Procter & Gamble
Small NOBS
Page 2

       Eastman and P&G will work together to minimize costs incurred in the
       confirmation trials.

2.     Following the confirmation trial, P&G and Eastman will agree on the
       final product specifications for small NOBS.

3.     Eastman will develop and provide to P&G an estimate of the cash-flow
       spending curve for the small NOBS capital project based on the
       current "ball-park" estimate of $*** (attached) of the total capital,
       as well as an estimate of adjusted Base Prices by October 1, 1999.

       At P&G's written request, Eastman will initiate Phase I Engineering
       which will require up to six months to develop detailed engineering
       and capital estimates. The Phase I engineering cost will not exceed
       $***. Additional charges may be incurred, at P&G's option, to
       purchase long lead-time equipment in order to reduce the overall
       project timeline.

       If Eastman and P&G agree to complete the capital project, the Phase I
       engineering costs and equipment purchases will be included in the
       capital cost of the project. If Eastman and P&G do not agree to
       complete the small NOBS project, the costs incurred by Eastman will
       be reimbursed by P&G within 30 days of date of invoice.

       Upon completion of Phase I engineering, Eastman will provide P&G with
       revised "not to exceed" capital costs and base sales prices based on
       the actual change in the cost per pound to produce small NOBS. The
       new price schedules will go into effect when product meeting the
       small NOBS specifications is shipped.

4.     At P&G's written request, Eastman will initiate the small NOBS
       capital project to provide small NOBS capacity in both NOBS 1B and
       NOBS 2 at an estimated total cost of $***.

       Eastman will provide a detailed spending curve for the construction
       project, base price curve, stand-by fee, mothball fee, and
       termination fee schedules to P&G by March 31, 2000. If during the
       construction period which is estimated to be 11 months, P&G
       terminates the project, Eastman will be reimbursed by P&G for all
       expenses reasonably incurred and not to exceed the spending curve
       with payment due within 30 days of date of invoice; provided,
       however, that P&G will have no obligation to reimburse Eastman if P&G
       terminates the project because Eastman

<PAGE>
<PAGE>

Procter & Gamble
Small NOBS
Page 3

       materially breaches this Letter Agreement and such breach does not
       result from events beyond Eastman's reasonable control.

5.     Upon mechanical completion of the small NOBS project for NOBS 1B and
       NOBS 2, P&G will reimburse to Eastman 50% of the total capital for
       each plant. Upon Eastman attaining production rates (NOBS 1B of ***
       million pounds/year and NOBS 2 of *** million pounds/year) for a two
       week run for each plant, P&G will reimburse Eastman for the remaining
       direct and support capital.

       The Stand-By Fee, Mothball Fee, Termination Fee and Capital Recovery
       Fee schedules will be adjusted for the new direct and support capital
       associated with the changes required to produce small NOBS.

6.     If it is required to build a surge inventory to cover P&G purchases
       during the time that NOBS 1B and NOBS 2 are not in operation due to the
       construction project and start-up, Eastman will produce and hold the
       surge inventory in P&G's railcars or in super sacks. P&G will pay to
       Eastman an inventory carrying cost on the total surge inventory at an
       annual interest rate of *** of Eastman's actual manufacturing costs.
       The surge inventory is defined as the amount by which end of week
       inventories exceed the normal safety stock of *** active pounds plus
       *** active pounds (a total of *** pounds) to protect both companies'
       business from potential delays in completing construction and
       restarting production.

7.     Eastman shall maintain all documentation in support of the small NOBS
       capital project for at least one year following mechanical completion.
       P&G shall have the right to request an audit of Eastman's supporting
       documentation within one year after mechanical completion, upon thirty
       days prior written notice. P&G and Eastman shall mutually agree on the
       date, time and location of the audit. The audit shall be conducted by
       P&G's Internal Controls Department or other mutually agreeable
       independent third party. The auditor shall maintain the confidentiality
       of all data reviewed which was not previously known to the auditor or
       available to third parties on a non-confidential basis. This obligation
       of confidentiality shall continue until the material becomes generally
       available to the public, is shared with others by Eastman on a
       non-confidential basis, is available to the auditor from third parties
       on a non-confidential basis or upon the expiration of a period of three
       years following the date of the audit, whichever occurs first. The
       auditor shall return to Eastman all materials submitted to the auditor,
       and destroy all working papers, notes, memoranda, reports and other
       derivatives thereof, upon conclusion of the audit and resolution of any
       disputed amounts; provided, however, the auditor may retain one
       archival copy of the foregoing solely for the purpose of administering
       its confidentiality obligations. The

<PAGE>
<PAGE>

Procter & Gamble
Small NOBS
Page 4

       auditor shall share with P&G's Purchasing Personnel only the results
       of the audit. In the event the audit does not support the capital
       costs invoiced by Eastman, then P&G and Eastman will meet to review
       the results and make appropriate adjustments.

8.     Eastman will maintain the capability to revert back to the production
       of the current NOBS product for one year after start of production of
       small NOBS.

The foregoing sections supplement and amend the relevant provisions of the
NOBS Supply Agreement currently in effect and any subsequent superseding
Agreement. Except as modified by this Letter Agreement, the previously
referenced Agreement remains in full force and effect and services provided
hereunder will be subject to that Agreement.

If the foregoing is accepted, please sign below and have one copy returned
to the undersigned. Eastman looks forward to implementing the small NOBS
project and continuing to work with P&G on this and future projects.

Sincerely,

/s/ John D. Boaz
John D. Boaz
Business Manager
Industrial & Consumer Intermediates

<TABLE>
<C>                                           <C>
EASTMAN CHEMICAL COMPANY                      THE PROCTER & GAMBLE
                                              MANUFACTURING COMPANY

By:      /s/ Robert Hornsey                   By:      /s/ Bruce D. Stirling
         -----------------------------------           -----------------------------------
         Robert Hornsey                                Bruce D. Stirling
         Vice President & General Manager              Vice President
         Fine Chemicals                                Global F&HC Purchases

Date:    10-18-99                             Date:    10/20/99
         -----------------------------------           -----------------------------------
</TABLE>

<PAGE>
<PAGE>

Procter & Gamble
Small NOBS
Page 5

                         Small NOBS Project Estimate
                         ---------------------------

A)       Engineering

         Preliminary                                          ***
         Final                                                ***
------------------------------------------------------------------------------

         Total Engineering                                                 ***

B)       Equipment/Construction

         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
         ***                                                  ***
------------------------------------------------------------------------------
         Total Equipment/Construction                                      ***

C)       Indirect Field and Office Costs ***
------------------------------------------------------------------------------

         Total Engineering, Field and Office Costs                         ***

D)       Contingency ***
------------------------------------------------------------------------------

         Subtotal                                                          ***

         Corporate Support Capital                                         ***
------------------------------------------------------------------------------

         Total                                                             ***

<PAGE>
<PAGE>

Procter & Gamble
Small NOBS
Page 6

                        Small NOBS Cash Flow Estimate
                        -----------------------------

                                     MONTHLY           CUMULATIVE
                                     -------           ----------
           1999
           ----
           October                   ***               ***
           November                  ***               ***
           December                  ***               ***
           2000
           ----
           January                   ***               ***
           February                  ***               ***
           March                     ***               ***
           April                     ***               ***
           May                       ***               ***
           June                      ***               ***
           July                      ***               ***
           August                    ***               ***
           September                 ***               ***
           October                   ***               ***
           November                  ***               ***
           December                  ***               ***
           2001
           ----
           January                   ***               ***
           February                  ***               ***

<PAGE>
<PAGE>

                     Addendum to Memorandum of Agreement
                     -----------------------------------

This serves as an addendum to the current NOBS SUPPLY AGREEMENT (P&G
Contract CT3696) between the Eastman Chemical Company and The Procter &
Gamble Manufacturing Company for the supply of nonanoyloxybenzenesulfonate
(hereinafter "NOBS").

P&G hereby communicates the termination of the aforementioned NOBS SUPPLY
AGREEMENT (hereinafter "Supply Agreement") effective June 30, 2002. This
letter states specific amendments to the Supply Agreement which Eastman and
P&G have mutually agreed upon for the purpose of facilitating the
termination process. These amendments do not release either party from
remaining terms and conditions of the Supply Agreement not specifically
referred to in this document.

Specifics of Addendum:

1.   Both parties agree that this serves as written notification of
     termination for the NOBS2 portion of the agreement effective March 31,
     2002.

2.   Both parties agree that this serves as written notification of
     termination for the NOBS1B portion of the agreement effective June 30,
     2002.

3.   Both parties agree to waive the appraisal requirement for the
     determination of cancellation penalties (Article 17, Paragraph b) and
     reimbursement for Alternate Use (Article 17, Paragraph d). All remaining
     terms in Article 17 shall remain. P&G agrees to pay *** million in
     cancellation penalties by September 30, 2001. This will begin the
     establishment of a "cancellation penalties account" to be updated
     throughout the termination process and reconciled per paragraph 10 below.
     Title and ownership of the NOBS plants, equipment and support facilities
     will remain with Eastman; provided, however, that use thereof shall be
     for any use other than the production of bleach activators according to
     Article 2 of the NOBS Supply Agreement. If Eastman finds an alternate use
     for the NOBS facilities, Eastman will be free to use the plan, equipment
     and support facilities without any reimbursement to P&G.

4.   This serves as written notification from P&G for Eastman to put NOBS2
     in standby mode effective October 1, 2001. P&G will pay a standby fee
     of ***/mth until such time as P&G requests NOBS2 to be taken out of
     standby mode or until March 31, 2002. This fee will be incorporated
     into the applicable quarterly material price via the "M-Calculation" as
     stated in Attachment C, Schedule III of the Supply Agreement. If P&G
     notifies Eastman to take NOBS2 out of standby mode at any time during
     the period from October 1, 2001 through March 31, 2002, the minimum
     quantity purchases requirement stated in Article 1 of the Supply
     Agreement will apply.

5.   P&G agrees to purchase *** million pounds of NOBS on 100% active basis
     between October 1, 2001 and June 30, 2002 (approximately *** pounds
     from October- December 2001, approximately *** pounds from
     January-March 2002, and approximately *** pounds from April-June 2002).
     Article 11 (Estimated Orders) of the Supply Agreement shall still apply
     to this quantity.

6.   Both parties agree that pricing for October 1, 2001 through March 31,
     2002 will be calculated quarterly per terms and conditions of the Supply
     Agreement.

7.   Both parties agree that actual pricing for April 1, 2002 through June
     30, 2002 will be EMS 9/25/01 ***/lb on 100% active basis, which is
     different than the Supply Agreement, indexed per

<PAGE>
<PAGE>

     Supply Agreement terms. P&G will be invoiced and pay Eastman ***/lb
     fixed price for all product purchased during this period. The balance
     [(actual price minus *** lb) * volume purchased] will be incorporated
     into the cancellation penalties account balance.

8.   For the period of April 1, 2002 through June 30, 2002 the NOBS1B
     facility will be put into standby mode when not in production for a fee
     of ***/mth, which is different than the Supply Agreement. The standby
     fee will be adjusted to compensate for actual pounds purchased using
     the following equation, which is not in the Supply Agreement:

     Standby Fee = (*** Pounds - Actual Pounds Purchased) / *** Pound Capacity
     X *** Quarterly Standby Fee

     This standby fee will be incorporated into the cancellation penalties
     account balance.

9.   For the period of April 1, 2002 through June 30, 2002, Eastman will
     endeavor to produce up to *** million pounds of NOBS on a 100% active
     basis if needed with appropriate notice from P&G in order to obtain
     sufficient raw materials. Pricing will be ***/lb on 100% active basis
     indexed per terms of the Supply Agreement. If P&G should need
     additional quantities of NOBS beyond June 2002, both parties will
     negotiate in good faith to reach an agreement for quantities and prices
     to be manufactured and sold by Eastman.

10.  During the first week of June 2002, both parties will meet to reconcile
     the cancellation penalties account balance. At this time, a total
     summary of applicable penalties will be compiled. If the total is above
     *** million (previously paid by P&G in September 2001), an invoice will
     be issued to be paid by P&G to Eastman within 30 days. If the total is
     below *** million, a credit will be issued to be paid by Eastman to P&G
     within 30 days.

11.  Throughout this termination process, Eastman and P&G will work closely
     together to minimize costs and inventory balances. P&G will instruct
     Eastman on the final disposition of remaining inventories of all
     materials used in the production of NOBS and both parties will adhere
     to the principles of Article 19 of the NOBS Supply Agreement.

12.  Upon business restructuring at the Eastman Chemical Company, this
     Addendum and the Supply Agreement shall be assigned to the Eastman
     Company as of close of business December 31, 2001.

13.  All other terms and conditions of the Supply Agreement not herein
     modified shall remain in full force and effect.

ACCEPTED:                           ACCEPTED:
The Procter & Gamble                Eastman Chemical Company
Manufacturing Company

/s/ Edward M. Sawicki               /s/ Keith T. Gockenbach
------------------------------      -----------------------------------------
Edward M. Sawicki                   Keith T. Gockenbach
Associate Director                  Vice President & General Manager
Fabric and Home Care Purchases      Performance Chemicals & Intermediates

Date:    25 Sept. 2001              Date:    10/1/01
     ----------------------              ------------------------------------

<PAGE>
<PAGE>

                                                                 July 1, 2002

                                    NOBS

                             SECOND ADDENDUM TO
                           MEMORANDUM OF AGREEMENT

This serves as a second addendum ("Second Addendum") to the NOBS Supply
Agreement (P&G Contract CT3696) between Eastman Chemical Company ("Eastman")
and The Procter & Gamble Manufacturing Company ("P&G") for the supply of
nonanoyloxybenzenesulfonate (hereafter "NOBS"), as amended by the Addendum
to Memorandum of Agreement ("First Amendment") accepted by P&G on September
25, 2001 and Eastman Chemical Company on October 1, 2001.

Subsequent to the First Amendment, P&G has expressed to Eastman the need to
have the NOBS manufacturing facilities remain operational after June 30,
2002 when the NOBS Supply Agreement was scheduled for termination as set
forth in the First Amendment. As per this Second Addendum, the NOBS Supply
Agreement shall be continued in full force and effect up through and
including June 30, 2003, except that any references therein to the NOBS2
facility shall be considered deleted, and the remaining text conformed to
said deletions.

1.       The First Amendment shall be cancelled in its entirety except for
         paragraph 1, and not withstanding anything else in the NOBS Supply
         Agreement or this Second Addendum, P&G shall have no further
         obligations whatsoever with respect to the NOBS2 facility or
         capital associated therewith.

2.       Both parties agree to waive the appraisal requirement for the
         determination of cancellation penalties (Article 17, Paragraph b)
         and reimbursement for Alternate Use (Article 17, Paragraph d). All
         remaining terms in Article 17 shall remain.

         P&G paid *** million in cancellation penalties by September 30,
         2001. This began the establishment of a "Cancellation Penalties
         Account" to be updated throughout the termination process and
         reconciled as below. Furthermore, during the time period April 1,
         2002 through June 30, 2002, the parties agreed that the base sales
         price for April 1, 2002 through June 30, 2002 was ***/lb on 100%
         active basis, which is different than the base sales price
         described in the NOBS Supply Agreement. The actual price of NOBS
         for this April 1, 2002 through June 30, 2002 quarter was the base
         sales price indexed per Attachment C of the NOBS Supply Agreement.
         P&G has been invoiced and is paying Eastman ***/lb for all product
         purchased during this period. The balance [(actual price minus
         ***/lb) * volume purchased] will be incorporated into the
         Cancellation Penalties Account balance.

         During the second week of July 2003, both parties will meet to
         reconcile the Cancellation Penalties Account balance. At this time,
         a total summary of applicable penalties will be compiled, and
         either a credit or invoice will be sent by Eastman to P&G, with
         credit issued or payment due within 30 days.

         Title and ownership of the NOBS plants, equipment and support
         facilities will remain with Eastman; provided, however, that use
         thereof shall be for any use other than the production of bleach
         activators according to Article 2 of the NOBS Supply Agreement.
         Pursuant to the First Amendment, Eastman had title and

EMS 7/2/02
KG 7/10/02

                                    - 1 -

<PAGE>
<PAGE>

                                                                  July 1, 2002

         ownership of the NOBS2 facility as of April 1, 2002; therefore, if,
         during the term of the NOBS Supply Agreement as extended by this
         Second Addendum, Eastman finds an alternate use for the NOBS2
         facility that is permitted under Paragraph 2 of the NOBS Supply
         Agreement, Eastman will be free to use the plant, equipment and
         support facilities without any reimbursement to P&G. The parties
         agree that the time period in Paragraph 2 of the NOBS Supply
         Agreement as it applies to the NOBS2 facility began running as of
         April 1, 2002. If, after the term of the NOBS Supply Agreement as
         extended by this Second Addendum, Eastman finds an alternate use
         for the NOBS1 facility that is permitted under Paragraph 2 of the
         NOBS Supply Agreement, Eastman will be free to use the plant,
         equipment and support facilities without any reimbursement to P&G.

3.       The first paragraph of the NOBS Supply Agreement titled Sale of
                                                                 -------
         NOBS shall be stricken and replaced with the following:
         ----

         P&G agrees to purchase 100% of its requirements for NOBS or
         NOBS-like materials for use as bleach activators, not to exceed ***
         million pounds on a 100% active basis per Contract Quarter, from
         Eastman for the period October 1, 2002 through June 30, 2003. P&G
         agrees to purchase 100% of its requirements for NOBS or NOBS-like
         materials for use as bleach activators, not to exceed *** million
         pounds on a 100% active basis for the period July 1, 2002 through
         September 30, 2002. Should P&G require in excess of *** million
         pounds during the time period July 1, 2002 through September 30,
         2002 Eastman will endeavor to produce the requested excess amounts.
         P&G shall purchase a minimum of *** million pounds of NOBS on a
         100% active basis per Contract Quarter beginning July 1, 2002,
         unless P&G has placed NOBS 1 in Stand-by Mode as defined in the
         NOBS Supply Agreement. Notwithstanding anything contained herein,
         P&G may purchase up to *** million pounds from an alternate
         supplier during the term of this Second Addendum.

         P&G agrees to buy from Eastman, and Eastman agrees to produce for
         P&G, in the quantities described above, NOBS that meets the
         specifications set forth in Exhibit A of the NOBS Supply Agreement
         ("Specifications") or any modifications agreed to by both parties
         and made a part of this Agreement.

         If Eastman produced material which does not meet the
         Specifications, P&G may purchase the material but is under no
         obligation to do so. The terms and conditions of such a sale shall
         be negotiated.

4.       The quarterly sales price for NOBS for invoicing purposes shall be
         as calculated per the NOBS Supply Agreement and all Attachments
         thereto ("Quarterly Invoice Price").

5.       In addition to the Quarterly Invoice Price, P&G agrees to pay a
         Quarterly Capacity Reservation Fee of *** million for four calendar
         quarters beginning July 1, 2002. The Capacity Reservation Fee shall
         be billed at the beginning of each calendar quarter (July 1, 2002;
         October 1, 2002; January 1, 2003; April 1, 2003) and shall be due
         and payable thirty days from the date of invoicing.

6.       In addition to the Quarterly Invoice Price and Quarterly Capacity
         Reservation Fee, P&G shall pay a cost recovery fee of *** million
         which shall be billed on

EMS 7/2/02
KG 7/10/02

                                    - 2 -

<PAGE>
<PAGE>

                                                                  July 1, 2002

         July 1, 2002 and due thirty days thereafter and a cost recovery fee
         of*** million which shall be billed on October 1, 2002 and due
         thirty days thereafter ("Cost Recovery Fees").

7.       Should P&G desire to purchase NOBS from Eastman beyond June 30,
         2003, a New NOBS Supply Agreement must be executed by the parties
         no later than May 1, 2003; otherwise, Eastman will not have
         sufficient time to plan for NOBS production beyond June 30, 2003.

8.       For the purposes of this Second Addendum, should P&G notify Eastman
         of its intent to exercise its rights under paragraph 17(b) of the
         NOBS Supply Agreement prior to January 1, 2003, P&G shall
         immediately pay Eastman a Termination Fee of ***, in addition to
         any and all other amounts due and payable pursuant to the NOBS
         Supply Agreement and/or this Second Addendum.

9.       P&G agrees to indemnify and hold harmless Eastman from and against
         all liabilities, claims, demands, causes of action and other
         litigation of every kind and character ("Claims") brought against
         Eastman by Clariant International Ltd., its parent, subsidiaries,
         agents, employees, contractors, subcontractors, or suppliers as a
         result of P&G's purchases of NOBS from Eastman under this Second
         Addendum and the NOBS Supply Agreement or any New NOBS Supply
         Agreement. Any limitations on indemnity obligations contained in
         either the NOBS Supply Agreement or any New NOBS Supply Agreement
         that may be signed by the parties shall not apply to this
         indemnification obligation. This indemnity obligation shall survive
         termination of the NOBS Supply Agreement, all Addendums, and any New
         NOBS Supply Agreement which may be executed by the parties.

           ACCEPTED:                                  ACCEPTED:

EASTMAN CHEMICAL COMPANY                   THE PROCTER & GAMBLE
                                           MANUFACTURING COMPANY

/s/ Keith Gockenbach                       /s/ Bob McDonald
---------------------------------------    ------------------------------------
Keith Gockenbach                           Bob McDonald
Vice President and General Manager         President
Performance Chemicals and Intermediates    Fabric and Home Care
Business Organization
Eastman Chemical Company

Date:    10 July 02                        Date:    July 2, 2002
     ----------------------------------         -------------------------------

EMS 7/2/02

                                    - 3 -

<PAGE>
<PAGE>

                                    NOBS

                              THIRD ADDENDUM TO
                            NOBS SUPPLY AGREEMENT

This serves as a third addendum ("Third Addendum") to the NOBS Supply
Agreement (P&G Contract CT3696) between Eastman Chemical Company ("Eastman")
and The Procter & Gamble Manufacturing Company ("P&G") for the supply of
nonanoyloxybenzenesulfonate (hereafter "NOBS"), as amended by the Addendum to
Memorandum of Agreement ("First Amendment") accepted by P&G on September 25,
2001 and Eastman Chemical Company on October 1, 2001, and as amended by the
Second Addendum to Memorandum of Agreement accepted by P&G on July 2, 2002 and
Eastman on July 3, 2002 ("Second Addendum").

Subsequent to the Second Addendum, P&G expressed to Eastman the need to have
the NOBS manufacturing facilities remain operational after June 30, 2003 when
the NOBS Supply Agreement was scheduled for termination as set forth in the
Second Addendum. As per the Second Addendum, the NOBS Supply Agreement was
continued in full force and effect up through and including June 30, 2003,
except that any references therein to the NOBS2 facility were deleted, and the
remaining text conformed to said deletions.

As per this Third Addendum, the NOBS Supply Agreement, and any provisions of
the Second Addendum not specifically cancelled herein, shall be continued in
full force and effect up through and including June 30, 2004, unless otherwise
extended as set forth in paragraphs 6 and 8 of this Third Addendum.

1.       The First Amendment was cancelled in its entirety by the Second
         Addendum except for paragraph 1, and not withstanding anything else
         in the NOBS Supply Agreement or the Second Addendum, P&G shall have
         no further obligations whatsoever with respect to the NOBS2 facility
         or capital associated therewith.

2.       The sections with numbers 3, 4, 5, 6, 7, and 8 of the Second Addendum
         shall be cancelled in their entirety.

3.       Section 2 of the Second Addendum shall be cancelled in its entirety
         and be replaced by the following: "P&G paid *** million in
         cancellation penalties by September 30, 2001 which began the
         establishment of a Cancellation Penalties Account. The payment by P&G
         to Eastman of *** *** Dollars and *** Cents *** on or before July
         15,2003 shall constitute payment in full of all P&G obligations to
         Eastman described in Section 2 of the Second Addendum. Both parties
         agree to waive the

<PAGE>
<PAGE>

         appraisal requirement for the determination of cancellation penalties
         (Article 17, Paragraph b) and reimbursement for Alternate Use
         (Article 17, Paragraph d). All remaining terms in Article 17 shall
         remain in full force and effect.

         Title and ownership of the NOBS plants, equipment and support
         facilities will remain with Eastman; provided, however, that use
         thereof shall be for any use other than the production of bleach
         activators according to Article 2 of the NOBS Supply Agreement.
         Pursuant to the First Amendment, Eastman had title and ownership of
         the NOBS2 facility as of April 1, 2002; therefore, if, during the
         term of the NOBS Supply Agreement as extended by this Second
         Addendum, Eastman finds an alternate use for the NOBS2 facility that
         is permitted under Paragraph 2 of the NOBS Supply Agreement, Eastman
         will be free to use the plant, equipment and support facilities
         without any reimbursement to P&G. The parties agree that the time
         period in Paragraph 2 of the NOBS Supply Agreement as it applies to
         the NOBS2 facility began running as of April 1, 2002. If, after the
         term of the NOBS Supply Agreement as extended by this Second
         Addendum, Eastman finds an alternate use for the NOBS1 facility that
         is permitted under Paragraph 2 of the NOBS Supply Agreement, Eastman
         will be free to use the plant, equipment and support facilities
         without any reimbursement to P&G.

4.       Section 9 of Addendum 2 will be cancelled in its entirety and
         replaced as follows: P&G agrees to indemnify and hold harmless
         Eastman from and against all liabilities, claims, demands, causes of
         action and other litigation ("Claims") brought against Eastman by
         Clariant International Ltd., its parent, subsidiaries, agents,
         employees, contractors, subcontractors, or suppliers as a result of
         P&G's purchases of NOBS from Eastman under the Second Addendum and
         all future Addenda and the NOBS Supply Agreement or any new NOBS
         Supply Agreement. Any limitations on indemnity obligations contained
         in either the NOBS Supply Agreement or any new NOBS Supply Agreement
         that may be signed by the parties shall not apply to this
         indemnification obligation. This indemnity obligation shall survive
         termination of the NOBS Supply Agreement, all Addendums, and any new
         NOBS Supply Agreement which may be executed by the parties.

5.       The first paragraph of the .NOBS Supply Agreement titled Sale of NOBS
         shall be stricken and replaced with the following:

         Eastman agrees to sell, and P&G agrees to purchase 100% of its
         requirements for NOBS or NOBS-like materials for use as bleach
         activators with the exception as described in Paragraph 5; not to
         exceed *** million pounds on a 100% active basis per Contract
         Quarter, from Eastman for the duration of this Third Addendum. P&G
         shall purchase a

                                       2

<PAGE>
<PAGE>

         minimum of *** million pounds of NOBS on a 100% active basis per
         Contract Quarter beginning July 1, 2003.

         P&G agrees to buy from Eastman, and Eastman agrees to produce for
         P&G, in the quantities described above, NOBS that meet the
         specification set forth in Exhibit A of the NOBS Supply Agreement
         ("Specifications") or any modifications agreed to by both parties and
         made a part of this Agreement.

         If Eastman produces material which does not meet the Specifications,
         P&G may purchase the material but is under no obligation to do so.
         The terms and conditions of such a sale shall be negotiated.

6.       The following exceptions are made to the 100% requirements purchase
         and sale obligations set forth in paragraph 4 of this Third Addendum:

         6.1      Notwithstanding anything stated in paragraph 4, P&G may
                  purchase up to *** lbs./yr. of NOBS on 100% active basis
                  from an alternate supplier during the first year of the term
                  of this Third Addendum.

         6.2      Pursuant to the NOBS Supply Agreement, should P&G's orders
                  for NOBS on a 100% active basis exceed *** million
                  lbs./quarter Eastman shall require 45 days written notice
                  from P&G. Eastman shall within 14 days of receiving such
                  order accept, in part, or in full, such order. If Eastman
                  elects not to accept some or all of such order then P&G may
                  purchase the amount Eastman rejects from alternate
                  suppliers. The price for any NOBS above *** million
                  Ibs./quarter shall be negotiated and agreed to by the
                  parties at such time. Should the parties be unable to agree
                  upon a price, P&G may purchase any amounts over *** million
                  Ibs./quarter from alternate suppliers.

         6.3      Should Eastman during any calendar quarter covered by this
                  Third Addendum be unable to supply NOBS on a 100% active
                  basis for which it has accepted a forecast or an order, then
                  P&G may purchase the quantity of NOBS on a 100% active basis
                  that Eastman is unable to supply from an alternate supplier.
                  The amounts purchased pursuant to this paragraph 6.3 shall
                  be included in the volumes used to set the Quarterly Invoice
                  Price and all other fees.

7.       Provided that P&G notifies Eastman no later than June 30, 2003 that
         P&G desires to extend the term of this Third Addendum through and
         including June 30, 2008, the quarterly sales price for NOBS for
         invoicing purposes

                                      3

<PAGE>
<PAGE>

         for the remaining term of the contract shall be calculated by
         replacing Attachment C, Schedule 1 of the NOBS Supply Agreement with
         Exhibit 1 of the Third Addendum and all other Attachments to the NOBS
         Supply Agreement shall apply (The foregoing shall be referred to as
         the "New Quarterly Invoice Price").

         Barring notification from P&G by June 30, 2003; beginning on July 1,
         2003, the quarterly sales price for NOBS for invoicing purposes shall
         be calculated as per the NOBS Supply Agreement and all Attachments
         thereto ("Quarterly Invoice Price").

         Provided that P&G notifies Eastman after June 30, 2003 but by no
         later than October 1, 2003 that P&G desires to extend the term of
         this Third Addendum through and including June 30, 2008, then the
         quarterly sales price for NOBS for invoicing purposes for the
         remaining term of the contract shall be the New Quarterly Invoice
         Price.

         Should P&G fail to notify Eastman by October 1, 2003 that it wishes
         to extend this Third Addendum through and including June 30, 2008,
         then the quarterly sales price for NOBS for the remaining term of the
         contract, for invoicing purposes shall be the Quarterly Invoice
         Price.

         Provided that P&G notifies Eastman after October 1, 2003 but by no
         later than January 1, 2004 that P&G desires to extend the term of
         this Third Addendum through and including June 30, 2008, then the
         quarterly sales price for NOBS for invoicing purposes for the
         remaining term of the contract shall be the New Quarterly Invoice
         Price.

         Should P&G fail to notify Eastman by January 1, 2004 that it wishes
         to extend this Third Addendum through and including June 30, 2008,
         then the quarterly sales price for NOBS for the remaining term of the
         contract for invoicing purposes shall be the Quarterly Invoice Price.

         Provided that P&G notifies Eastman after January 1, 2004 but by no
         later than April 1, 2004 that P&G desires to extend the term of this
         Third Addendum through and including June 30, 2008, then the
         quarterly sales price for NOBS for invoicing purposes for the
         remaining term of the contract shall be the New Quarterly Invoice
         Price.

         Should P&G fail to notify Eastman by April 1, 2004 that it wishes to
         extend this Third Addendum through and including June 30, 2008, then
         the quarterly sales price for NOBS for the remaining term of the
         contract for invoicing purposes shall be calculated as per the NOBS
         Supply Agreement and all Attachments thereto ("Quarterly Invoice
         Price").

                                      4

<PAGE>
<PAGE>

8.       Should P&G extend the term of this Third Addendum through and
         including June 30, 2008, Attachment D of the NOBS Supply Agreement
         shall be removed and replaced with Exhibit 2 as attached hereto and
         made a part hereof.

9.       Should P&G extend the term of this Third Addendum through and
         including June 30, 2008, the payment term shall be net 40 days from
         the date of invoice. This revised payment term shall be effective the
         first day of the quarter following P&G's exercise of the option
         described in paragraph 6.

10.      At any time, either party may provide notice that it wishes to extend
         the terms and conditions of this Third Addendum up through and
         including June 30, 2011. The party receiving notice shall have 30
         days to accept or reject such extension. If the receiving party
         rejects, the contract remains in force as it exists at the time of
         the notice. Nothing in this paragraph shall modify or eliminate the
         option in paragraph 6 to extend this contract through and including
         June 30, 2008. In any event, any such extension of this Third
         Addendum up through and including June 30, 2011 shall be executed by
         both parties no later than December 31, 2007.

11.      In addition to the Quarterly Invoice Price, P&G agrees to pay the
         following Quarterly Fees. A quarterly fee of *** million shall be
         assessed on July 1, 2003; a quarterly fee of *** million shall be
         assessed on October 1, 2003; a quarterly fee of *** million shall be
         assessed on January 1, 2004; and a quarterly fee of *** million shall
         be assessed on April 1, 2004. Each of these fees shall be billed at
         the beginning of each calendar quarter as noted (July 1, 2003;
         October 1, 2003; January 1, 2004; April 1, 2004) and shall be due and
         payable thirty days from date of invoicing.

         P&G's extension of this Third Addendum through June 30, 2008 before
         the assessment/invoice dates in this paragraph shall relieve it of
         the obligation to remit future Quarterly Fees.

         All other fees in the NOBS Supply Agreement shall remain and apply to
         this Third Addendum.

12.      Section 8 of the NOBS supply agreement titled "Process Improvements"
         shall be deleted in its entirety and replaced with the following:

         If, during the Agreement Term, Eastman proposes a material process
         improvement or material change in raw material which will result in a
         material change to the characteristics of any NOBS attribute listed
         on Attachment A of the NOBS Supply Agreement, Eastman will notify in
         writing P&G of the proposed change. P&G shall notify Eastrnan within

                                      5

<PAGE>
<PAGE>

         thirty (30) days thereafter whether such change is acceptable. If the
         change is acceptable and does not require requalification, Eastman
         may proceed with the change. If the change is acceptable and requires
         requalification, Eastman and P&G shall negotiate in good faith a
         price adjustment and schedule for the proposed change, and P&G may
         agree to such change, if economically viable and if requalification
         can be accomplished.

         If during the Agreement Term Eastman and P&G jointly develop any
         process improvements that result in cost savings the savings will be
         shared by the parties, after Eastman has recovered its costs
         associated in achieving the improvement.

13.      Should P&G desire to purchase NOBS from Eastman beyond June 30, 2004,
         extension of this Third Addendum must be executed no later than April
         1,2004. Otherwise, Eastman will not have sufficient time to plan for
         NOBS production beyond June 30, 2004.

14.      For the purposes of this Third Addendum, should P&G notify Eastman of
         its intent to exercise its rights under paragraph 17(b) of the NOBS
         Supply Agreement during the term of this Third Addendum, P&G shall
         immediately pay Eastman a fee of *** ("Additional Termination Fee"),
         in addition to any and all other amounts due and payable pursuant to
         the NOBS Supply Agreement and/or all Addenda.

15.      Any and all fees due hereunder including but not limited to the
         Additional Termination Fee and quarterly fees in paragraph 5
         hereunder shall be due and payable in addition to all other fees as
         provided for in the NOBS Supply Agreement should a default occur
         pursuant to Section 16 of the NOBS Supply Agreement.

ACCEPTED:                                 ACCEPTED:

EASTMAN CHEMICAL COMPANY                  THE PROCTER & GAMBLE
                                          MANUFACTURING COMPANY

/s/ Fred Buehler                          /s/ Keith Harrison
----------------------------------        ------------------------------------
Fred Buehler                              Keith Harrison
Vice President and General Manager        Global Product Supply Officer
Performance Chemicals                     The Procter & Gamble Company
Business Organization
Eastman Chemical Company

Date:    4/22/03                          Date:    4/16/03
     -----------------------------             -------------------------------

                                      6

<PAGE>
<PAGE>

                                  Exhibit 1
                                  ---------

                             NOBS Fee Schedules
                             ------------------

               Base Sales Price (designated, "O1") for NOBS 1B
               -----------------------------------------------

Quantity (NOBS 100%) Million Pounds                               Price
-----------------------------------                               -----

Annual Rate              Quarterly Rate                           U.S. $/Lb
-----------              --------------                           ---------

***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***
***                      ***                                      $  ***

Prices are based on the quarterly rate of purchases; annual rates are for
information only.

                                      7

<PAGE>
<PAGE>

                                  Exhibit 2
                                  ---------

                            NOBS Supersacking Fee

P&G will be invoiced as an invoice line item (a) for NOBS produced from NOBS
1B a supersacking fee determined using the schedule below:

<TABLE>
<CAPTION>
-------------------------------------------------------------------------------------------------
                                                    Base Supersacking Fee (X) ($/lb)
                                     ------------------------------------------------------------
  Millions of Pounds of NOBS to                                               Upon Extension
    be Supersacked during such                                            Effective 7/1/2004 to
        Contract* Quarter               7/1/2003 to 6/30/2004                   6/30/2008
-------------------------------------------------------------------------------------------------
               <C>                   <C>                                  <C>
               ***                   ***                                  ***
-------------------------------------------------------------------------------------------------
               ***                   ***                                  ***
-------------------------------------------------------------------------------------------------
               ***                   ***                                  ***
-------------------------------------------------------------------------------------------------
               ***                   ***                                  ***
-------------------------------------------------------------------------------------------------

<FN>
         *Based on forecast quantities. In the event actual supersacked
         quantities would result in a different Base Fee (X) being
         applicable, an adjustment will be made in the miscellaneous cost
         factor (Attachment C of NOBS Supply Agreement) in the next contract
         Quarter price calculations.
</TABLE>

Each of the base fees shall be adjusted by the following formula at the
beginning of each Contract Quarter:

                                                        ***
                                                        ***

                  where NSF =               New Supersacking Fee

                  PPI(3)    =               Producer Price Index most
                                            recently published for the prior
                                            contract quarter

                                      8

<PAGE>
<PAGE>

                                                                 18 June 2003
Mr. Fred Buehler
Vice President and General Manager
Performance Chemicals
Business Organization
Eastman Chemical Company

The purpose of this letter is to inform you that The Procter & Gamble
Manufacturing Company, et. al ("P&G") is hereby exercising our option with
Eastman Chemical Company to extend the Third Addendum of the NOBS Supply
Agreement ("Agreement") through and including June 30, 2008 according to
Paragraph 7 of the Agreement.

By exercising this option, the following actions shall result:

o    As per Paragraph 11 of the Agreement, P&G will be relieved of all
     Quarterly Fee payments.

o    As per Paragraph 7 of the Agreement, P&G's price will be the New
     Quarterly Price. This shall be calculated by replacing Attachment C,
     Schedule 1 of the NOBS Supply Agreement with Exhibit 1 of the Third
     Addendum and all other Attachments to the NOBS Supply Agreement shall
     apply.

                                    MWB
         Debbie Hanser
         Debbie, please                          Sincerely,
         put this in the P&G
         NOBS contract file.
               MAJ
                                                 /s/ R. Keith Harrison
                                                 R. Keith Harrison
                                                 Global Product Supply Officer
                                                 The Procter & Gamble Company

cc:      R. A. McDonald
         S. van Straelen
         E. M. Sawicki

             This document contains confidential information that
             ----------------------------------------------------
                has been omitted and filed separately with the
                ----------------------------------------------
                      Securities and Exchange Commission.
                      -----------------------------------
        Such information is noted by three asterisks, as follows "***."
        ---------------------------------------------------------------

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