Document:

<PAGE>

                    SUBORDINATED COPYRIGHT, PATENT, TRADEMARK
                              AND LICENSE MORTGAGE

          THIS SUBORDINATED COPYRIGHT, PATENT, TRADEMARK AND LICENSE MORTGAGE
(this "Mortgage") made as of this 8th day of October, 2003, by PEERLESS
CORPORATION, an Ohio corporation, having an office at 2121 Brooks Avenue,
Neenah, Wisconsin 54956 ("Mortgagor") in favor of The Bank of New York, a New
York banking corporation, as Trustee (the "Trustee") for the noteholders (the
"Noteholders") under the Indenture (as defined below). The Trustee's address is
101 Barclay Street, 8th Floor West, New York, New York 10286.

                              W I T N E S S E T H:

          WHEREAS, (a) that certain Indenture (as amended, supplemented or
otherwise modified from time to time, the "Indenture") dated as of the date
hereof by and among Neenah Foundry Company, a Wisconsin corporation ("Neenah
Foundry"), the Subsidiary Guarantors party thereto and the Trustee and (b) the
Collateral Documents (collectively with the Indenture, the "Indenture
Documents"), have been entered into to provide, among other things, (i) for the
issuance by Neenah Foundry of 11% senior secured notes due September 30, 2010 in
the aggregate principal amount of $133,130,000 and (ii) for the grant by
Mortgagor to the Trustee, on behalf of the Noteholders, of a security interest
in substantially all of Mortgagor's assets, including, without limitation, the
copyrights, copyright agreements, copyright applications, patents, patent
applications, trademarks, trademark applications, trade names, service marks,
service mark applications, goodwill and certain licenses of Mortgagor;

          NOW, THEREFORE, in consideration of the premises set forth herein and
for other good and valuable consideration, the receipt, sufficiency and adequacy
of which are hereby acknowledged, Mortgagor agrees as follows:

          1.   Incorporation of Indenture Documents.

               (a)  The Indenture Documents and the terms and provisions thereof
are hereby incorporated herein in their entirety by this reference. All terms
capitalized but not otherwise defined herein shall have the same meanings herein
as in the Indenture.

               (b)  Notwithstanding anything set forth in this Agreement to the
contrary, the liens securing this Mortgage are subordinate in the manner and to
the extent set forth in that certain Lien Subordination Agreement (the
"Subordination Agreement") dated as of the date hereof among Trustee, Neenah
Foundry and the other "Companies" (as defined therein) party thereto and Fleet
Capital Corporation ("Agent"), to the liens securing the indebtedness (including
interest) owed by the Companies pursuant to or in connection with that certain
Loan and Security Agreement dated as of the date hereof among Neenah Foundry,
certain of the other Companies, Agent and the lenders from time to time party
thereto, as such Loan and Security Agreement may be amended, supplemented or
otherwise modified from time to time and to indebtedness refinancing the
indebtedness under such Loan and Security Agreement; and the Trustee (on behalf
of itself and each Noteholder), by

<PAGE>

its acceptance hereof, irrevocably agrees to be bound by the provisions of the
Subordination Agreement and each agreement made therein by the Trustee on its
behalf.

          2.   Mortgage of Copyrights, Patents, Trademarks and Licenses. To
secure the complete and timely payment and satisfaction of all of the
Obligations, Mortgagor hereby grants to Mortgagee for its own benefit and the
benefit of Noteholders, and hereby reaffirms its prior grant pursuant to the
Indenture Documents of, a continuing security interest in all of its now
existing and hereafter created or acquired:

          (i) copyrights, rights and interests in copyrights, works protectable
     by copyrights, copyright registrations and copyright applications,
     including, without limitation, the copyright registrations and applications
     listed on Exhibit A attached hereto and hereby made a part hereof, and all
     renewals, extensions and continuations of any of the foregoing, all income,
     royalties, damages and payments now and hereafter due and/or payable under
     or with respect to any of the foregoing, including, without limitation,
     damages and payments for past, present or future infringements of any of
     the foregoing and the right to sue for past, present and future
     infringements of any of the foregoing (all of the foregoing are sometimes
     hereinafter individually and/or collectively referred to as the
     "Copyrights");

          (ii) patents and patent applications, including, without limitation,
     the inventions and improvements described and claimed therein, all
     patentable inventions and those patents and patent applications listed on
     Exhibit B attached hereto and made a part hereof, and all reissues,
     divisions, continuations, renewals, extensions and continuations-in-part of
     any of the foregoing, and all income, royalties, damages and payments now
     and hereafter due and/or payable under or with respect to any of the
     foregoing, including, without limitation, damages and payments for past,
     present or future infringements of any of the foregoing and the right to
     sue for past, present and future infringements of any of the foregoing (all
     of the foregoing are sometimes hereinafter individually and/or collectively
     referred to as the "Patents");

          (iii) trademarks, trademark registrations, trademark applications,
     trade names, corporate names, company names, business names, fictitious
     business names, trade styles, service marks, other business identifiers,
     prints and labels on which any of the foregoing have appeared or appear,
     all registrations and recordings thereof, and all applications in
     connection therewith (other than "intent to use" applications until a
     verified statement of use is filed with respect to such applications),
     including, without limitation, the trademarks, trade names, service marks,
     registrations and applications listed on Exhibit C attached hereto and
     hereby made a part hereof, and all renewals, extensions and continuations
     of any of the foregoing, and all income, royalties, damages and payments
     now and hereafter due and/or payable under or with respect to any of the
     foregoing, including, without limitation, damages and payments for past,
     present or future infringements of any of the foregoing and

                                       2
<PAGE>

     the right to sue for past, present and future infringements of any of the
     foregoing (all of the foregoing are sometimes hereinafter individually
     and/or collectively referred to as the "Trademarks"; provided, however, the
     term "Trademarks" shall not include any trademarks, trade names, business
     names or service marks incorporating the word "Peerless");

          (iv) all license agreements between Mortgagor and any other party with
     respect to any of the Copyrights or any of the Patents or any of the
     Trademarks or any other copyright, patent, trademark, service mark or any
     registration or application for registration or any other trade name or
     tradestyle, whether Mortgagor is a licensor or licensee under any such
     license agreement, including, without limitation, the licenses listed on
     Exhibit D attached hereto and hereby made a part hereof, other than license
     agreements which, according to their terms, may not be assigned without the
     prior consent of the other Person party thereto (unless such consent has
     been obtained) (all of the foregoing license agreements and Mortgagor's
     rights thereunder are referred to collectively as the "Licenses"); and

          (v) all rights corresponding to any of the foregoing throughout the
     world and the goodwill of Mortgagor's business connected with and
     symbolized by the Trademarks.

          Upon the occurrence and during the continuance of an Event of Default,
Mortgagee, on behalf of the Noteholders, shall have the power, to the extent
permitted by law, to exercise the rights and remedies of a secured party
provided under the Indenture, including without limitation the right to sell the
Copyrights, Patents, Trademarks and Licenses.

          3.   Warranties, Representations and Covenants. For purposes of this
Agreement, (a) the Copyrights listed on Exhibit A hereto, any other registered
Copyrights and any other Copyrights material to Mortgagor's business are
collectively referred to as the "Material Copyrights", (b) the Patents listed on
Exhibit B hereto, any other registered Patents and any other Patents material to
Mortgagor's business are collectively referred to as the "Material Patents", (c)
the Trademarks listed on Exhibit C hereto, any other registered Trademarks and
any other Trademarks material to Mortgagor's business are collectively referred
to as the "Material Trademarks") and (d) any Licenses added to Exhibit D hereto
pursuant to Section 5 below and any other Licenses material to Mortgagor's
business are collectively referred to as the "Material Licenses". Mortgagor
warrants and represents to Mortgagee that:

          (i) No Material Copyright, Material Patent, or Material Trademark has
     been adjudged invalid or unenforceable or, has been cancelled, in whole or
     in part;

          (ii) Each Material Copyright, Material Patent and Material Trademark
     is valid and enforceable;

                                       3
<PAGE>

          (iii) Mortgagor is the sole and exclusive owner of the entire
     unencumbered right, title and interest in and to each Material Copyright,
     Material Patent and Material Trademark, free and clear of any liens,
     charges and encumbrances, including, without limitation, licenses,
     shoprights and covenants by Mortgagor not to sue third parties;

          (iv) Mortgagor has no notice of any suits or actions commenced or
     threatened in writing with respect to any of the Material Copyrights,
     Material Patents or Material Trademarks;

          (v) Mortgagor has the unqualified right to execute and deliver this
     Mortgage and perform its terms;

          (vi) Mortgagor has no Material Licenses;

          (vii) Mortgagor has no notice of any infringement or unauthorized use
     presently being made of any of the Material Copyrights, Material Patents or
     Material Trademarks which would reasonably be expected to materially
     adversely affect the fair market value of the Material Copyrights, Material
     Patents or Material Trademarks or the benefits to Mortgagee of this
     Mortgage, including, without limitation, the priority or perfection of the
     security interest granted herein or the remedies of Mortgagee hereunder;
     and

          (viii) Mortgagor has no notice of any suits or actions commenced or
     threatened in writing with respect to any Material Copyright, Material
     Patent or Material Trademark.

          4.   Restrictions on Future Agreements. Mortgagor agrees that until
the Obligations (other than unasserted indemnity obligations) shall have been
satisfied in full and the Indenture Documents shall have been terminated (the
"Indenture Termination"), Mortgagor shall not, without the prior written consent
of Mortgagee, sell or assign its interest in, or grant any license under, any
Material Copyright, Material Patent, Material Trademark or Material License, or
enter into any other agreement with respect to any Material Copyright, Material
Patent, Material Trademark or Material License which is inconsistent with the
obligations under this Mortgage, except to the extent permitted under the terms
of the Indenture. Mortgagor further agrees that it shall not take any action, or
permit any action to be taken by others subject to its control, including
licensees, or fail to take any action, which would adversely affect the validity
or enforcement of the rights transferred to Mortgagee under this Mortgage.

          5.   New Copyrights, Patents, Trademarks, and Licenses. Mortgagor
represents and warrants that the Copyrights, Patents, Trademarks and Licenses
listed on Exhibits A, B, and C, respectively, constitute all of the United
States registered Copyrights, Patents and registered Trademarks now owned by
Mortgagor and not abandoned. If, before the Indenture Termination, Mortgagor
shall (i) become aware of any existing Copyrights, Patents, Trademarks or
Licenses of which Mortgagor has not previously informed mortgagee; (ii) obtain
rights to any new Copyrights, patentable inventions, Patents,

                                       4
<PAGE>

Trademarks or Licenses, or (iii) become entitled to the benefit of any
Copyrights, Patents, Trademarks or Licenses or any improvement on any Patent,
the provisions of Section 2 above shall automatically apply thereto. Mortgagor
hereby authorizes Mortgagee to modify this Mortgage by amending Exhibits A, B, C
and D, as applicable, to include any such registered Copyrights, Patents,
registered Trademarks and Material Licenses.

          6.   Royalties; Term. The term of the security interests/mortgages
granted herein shall extend until the earlier of (i) the expiration of each of
the respective Copyrights, Patents, Trademarks and Licenses encumbered
hereunder, and (ii) the Indenture Termination. Upon the occurrence of an Event
of Default, Mortgagor agrees that the use by Mortgagee of all Copyrights,
Patents, Trademarks and Licenses shall be worldwide and without any liability
for royalties or other related charges from Mortgagee to Mortgagor.

          7.   Release of Mortgage. This Mortgage is made for collateral
purposes only. Upon the Indenture Termination, Mortgagee shall take such actions
as may be necessary or proper to terminate and release its security interest in
the Copyrights, Patents, Trademarks, and Licenses created hereby and pursuant to
the Indenture Documents, subject to any disposition thereof which may have been
made by Mortgagee pursuant hereto or pursuant to the Indenture.

          8.   Expenses. All reasonable expenses incurred in connection with the
performance of any of the agreements set forth herein shall be borne by
Mortgagor. All reasonable fees, costs and expenses, of whatever kind or nature,
including reasonable attorneys' fees and legal expenses, incurred by Mortgagee
in connection with the filing or recording of any documents (including all taxes
in connection therewith) in public offices, the payment or discharge of any
taxes, maintenance fees, encumbrances or otherwise in protecting, maintaining or
preserving the Copyrights, Patents, Trademarks and Licenses, or in defending or
prosecuting any actions or proceedings arising out of or related to the
Copyrights, Patents, Trademarks and Licenses, shall be borne by and paid by
Mortgagor on written demand by Mortgagee and until so paid shall be added to the
principal amount of the Obligations and shall bear interest at the then
applicable rate as set forth in the Indenture.

          9.   Duties of Mortgagor. Mortgagor shall have the duty, in each case
as commercially reasonable (i) to file and prosecute diligently any copyright,
patent, trademark or service mark applications material to Mortgagor's business
and pending as of the date hereof or thereafter until the Indenture Termination,
(ii) to make application on uncopyrighted but copyrightable works, on unpatented
but patentable inventions and on trademarks and service marks, as appropriate,
material to Mortgagor's business, (iii) to preserve and maintain all rights in
the Material Copyrights, Material Patents, Material Trademarks and Material
Licenses and (iv) to ensure that the Material Copyrights, Material Patents,
Material Trademarks and Material Licenses are and remain enforceable subject to
any statutory expirations. Any expenses incurred in connection with Mortgagor's
obligations under this Section 9 shall be borne by Mortgagor. Mortgagor shall
not abandon any right to file an application with respect to a copyright,
patent, trademark or service mark that is material to Mortgagor's business, or
abandon any material Copyright, material Patent, material Trademark or material
License, without the written consent of Mortgagee. If Mortgagor fails to comply
with any of the foregoing duties, Mortgagee may perform said

                                       5
<PAGE>

duties in Mortgagor's name, to the extent permitted by law. Mortgagor agrees (i)
to maintain the quality of any and all products in connection with which the
Material Trademarks are used, consistent with the quality of said products as of
the date hereof, except to the extent that the failure to perform any of the
following would not reasonably be expected to have a Material Adverse Effect,
and (ii) to provide Mortgagee, upon Mortgagee's request from time to time, with
a certificate of an officer of Mortgagor certifying Mortgagor's compliance with
the foregoing. Upon the occurrence and during the continuation of an Event of
Default, Mortgagor agrees that Mortgagee, or a conservator appointed by
Mortgagee, shall have the right to establish such additional product quality
controls as Mortgagee, or said conservator, in its sole judgment exercised in a
commercially reasonable manner, may deem necessary to assure maintenance of the
quality of products sold by Mortgagor under the Trademarks. Mortgagor shall
promptly, upon demand, reimburse and indemnify Mortgagee for all reasonable
costs and expenses of Mortgagee, including reasonable attorney's fees and
expenses so incurred by Mortgagee, in the exercise of its rights under this
Section 9.

          10.  Mortgagee's Right to Sue. After the occurrence of an Event of
Default, Mortgagee shall have the right, but shall in no way be obligated, to
bring suit in its own name to enforce the Copyrights, Patents, Trademarks and
Licenses, and, if Mortgagee shall commence any such suit, Mortgagor shall, at
the request of Mortgagee, do any and all lawful acts and execute any and all
proper documents required by Mortgagee in aid of such enforcement and Mortgagor
shall promptly, upon demand, reimburse and indemnify Mortgagee for all
reasonable costs and expenses incurred by Mortgagee, including reasonable
attorneys' fees and expenses so incurred by Mortgagee, in the exercise of its
rights under this Section 10 other than costs and expenses incurred by Mortgagee
as a result of its gross negligence or willful misconduct.

          11.  Waivers. No course of dealing among Mortgagor, Mortgagee and the
Noteholders, nor any failure to exercise, nor any delay in exercising, on the
part of Mortgagee or Noteholders, any right, power or privilege hereunder or
under the Indenture shall operate as a waiver thereof; nor shall any single or
partial exercise of any right, power or privilege hereunder or thereunder
preclude any other or further exercise thereof or the exercise of any other
right, power or privilege.

          12.  Severability. The provisions of this Mortgage are severable, and
if any clause or provision shall be held invalid and unenforceable in whole or
in part in any jurisdiction, then such invalidity or unenforceability shall
affect only such clause or provision, or part thereof, in such jurisdiction, and
shall not in any manner affect such clause or provision in any other
jurisdiction, or any other clause or provision of this Mortgage in any
jurisdiction.

          13.  Modification. This Mortgage cannot be altered, amended or
modified in any way, except as specifically provided in Section 5 hereof or by a
writing signed by the parties hereto.

          14.  Cumulative Remedies; Power of Attorney; Effect on Indenture. All
of Mortgagee's rights and remedies with respect to the Copyrights, Patents,
Trademarks and Licenses, whether established hereby or by the Indenture, or by
any other agreements or by

                                       6
<PAGE>

law shall be cumulative and may be exercised singularly or concurrently. Subject
to the Subordination Agreement, upon the occurrence and during the continuation
of an Event of Default, Mortgagor hereby authorizes Mortgagee to make,
constitute and appoint any officer or agent of Mortgagee as Mortgagee may
select, in its sole discretion, as Mortgagor's true and lawful attorney-in-fact,
with power to (i) endorse Mortgagor's name on all applications, documents,
papers and instruments necessary or desirable for Mortgagee in the use of any or
all of the Copyrights, Patents, Trademarks and Licenses, or (ii) take any other
actions with respect to any or all of the Copyrights, Patents, Trademarks and
Licenses as Mortgagee deems to be in its best interest, or (iii) grant or issue
any exclusive or non-exclusive license under any or all of the Copyrights,
Patents, Trademarks or Licenses to any Person, or (iv) assign, pledge, convey or
otherwise transfer title in or dispose of any or all of the Copyrights, Patents,
Trademarks or Licenses to any Person, or (v) take any other actions with respect
to any or all of the Copyrights, Patents, Trademarks and Licenses as Mortgagee
deems to be in its best interests. Mortgagor hereby ratifies all that such
attorney-in-fact shall lawfully do or cause to be done by virtue hereof. This
power of attorney, being coupled with an interest, shall be irrevocable until
the Indenture Termination. Mortgagor acknowledges and agrees that this Mortgage
is not intended to limit or restrict in any way the rights and remedies of
Mortgagee or Noteholders or their respective successors transferees and assigns
under the Indenture but rather is intended to facilitate the exercise of such
rights and remedies. Mortgagee and such other parties shall have, in addition to
all other rights and remedies given it or them by the terms of this Mortgage and
the Indenture, all rights and remedies allowed by law and the rights and
remedies of a secured party under the Uniform Commercial Code (or such other
applicable law) as enacted in any jurisdiction in which the Copyrights, Patents,
Trademarks or Licenses may be located.

          15.  Binding Effect; Benefits. This Mortgage shall be binding upon
Mortgagor and its respective successors and permitted assigns, and shall inure
to the benefit of Mortgagee and Noteholders, their successors, nominees and
assigns.

          16.  GOVERNING LAW. THIS MORTGAGE SHALL BE GOVERNED BY AND CONSTRUED
IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF NEW YORK.

          17.  CONSENT TO FORUM AND WAIVERS. TO INDUCE TRUSTEE AND NOTEHOLDERS
TO ENTER INTO THE INDENTURE AND THIS AGREEMENT, MORTGAGOR IRREVOCABLY AGREES
THAT, SUBJECT TO MORTGAGEE'S SOLE AND ABSOLUTE ELECTION, ALL SUITS, ACTIONS OR
OTHER PROCEEDINGS IN ANY WAY, MANNER OR RESPECT ARISING OUT OF OR FROM OR
RELATED TO THIS AGREEMENT OR ANY DOCUMENTS EXECUTED IN CONNECTION HEREWITH,
SHALL BE SUBJECT TO LITIGATION IN THE COURTS OF THE STATE OF NEW YORK, OR, AT
MORTGAGEE'S OPTION, THE UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT
OF NEW YORK. MORTGAGOR HEREBY CONSENTS AND SUBMITS TO THE JURISDICTION OF ANY
LOCAL, STATE OR FEDERAL COURT LOCATED WITHIN NEW YORK COUNTY, NEW YORK.
MORTGAGOR HEREBY WAIVES ANY RIGHT IT MAY HAVE TO TRANSFER OR CHANGE THE VENUE OF
ANY SUIT, ACTION OR OTHER PROCEEDING BROUGHT

                                       7
<PAGE>

AGAINST MORTGAGOR BY MORTGAGEE IN ACCORDANCE WITH THIS SECTION. MORTGAGOR AND
MORTGAGEE HEREBY WAIVE, TO THE EXTENT PERMITTED BY LAW, TRIAL BY JURY. MORTGAGOR
FURTHER WAIVES ANY BOND OR SURETY OR SECURITY UPON SUCH BOND WHICH MIGHT, BUT
FOR THIS WAIVER, BE REQUIRED OF MORTGAGEE.

          18.  Headings. Paragraph headings used herein are for convenience only
and shall not modify the provisions which they precede.

          19.  Further Assurances. Mortgagor agrees to execute and deliver such
further agreements, instruments and documents, and to perform such further acts,
as Mortgagee shall request from time to time in order to carry out the purpose
of this Mortgage and agreements set forth herein.

          20.  Survival of Representations. All representations and warranties
of Mortgagor contained in this Mortgage shall survive the execution and delivery
of this Mortgage.

                                       8
<PAGE>

          IN WITNESS WHEREOF, Mortgagor has duly executed this Mortgage in favor
of Mortgagee as of the date first written above.

                                       PEERLESS CORPORATION

                                       By /s/ Gary LaChey
                                         ---------------------------------------

                                       Its VP-Finance, Treasurer, Secty. & CFO
                                          --------------------------------------

AGREED AND ACCEPTED THIS 8th day of October, 2003.

Bank of New York,
 as Trustee

By /s/ Patricia Gallagher
  -------------------------------------

Its Vice President
   ------------------------------------

                                       9
<PAGE>

                                    EXHIBIT A

                                   Copyrights

<TABLE>
<CAPTION>

                          TITLE                               REG. NO.        REG. DATE             OWNER
------------------------------------------------------      ------------      ---------      --------------------
<S>                                                         <C>               <C>            <C>
Roadrunner pony trailers for the construction industry      TX-2-330-002      07/11/88       Peerless Corporation

Roadrunner pony trailers: two and three axle models         TX-2-330-003      07/11/88       Peerless Corporation
</TABLE>

<PAGE>

                                    EXHIBIT B

                                     Patents

<TABLE>
<CAPTION>

                  TITLE                        REG. NO.        REGISTRANT             DATE OF REGISTRATION
-----------------------------------------      ------------    ----------             --------------------
<S>                                            <C>             <C>                    <C>
Trailer Frame Structure                        4576398         Peerless Corporation         3/18/86

Waste Receptacle Dumping Apparatus             4673327         Peerless Corporation         10/9/85

Log Trailer Load Extension Axle Assembly       5163698         Peerless Corporation         11/17/92
</TABLE>

<PAGE>

                                    EXHIBIT C

                                   Trademarks

<TABLE>
<CAPTION>

        TITLE                   REG. NO.        REG. DATE               OWNER
-----------------------      ------------      ----------        --------------------
<S>                          <C>               <C>               <C>
PAGE AND PAGE                1368852           11/05/1985        Peerless Corporation

ROADRUNNER                   1771327           05/18/1993        Peerless Corporation
</TABLE>

Exceptions to ownership:

Neenah sold its Peerless division to R.H. Little & Company in August 2002. While
the "Peerless" name was sold in this transaction, not all marks containing the
"Peerless" name were transferred. Neenah makes no representations or warranties
concerning the "Peerless" marks.

<PAGE>

                                    EXHIBIT D

                                    Licenses

                                      None.<PAGE>

                          SUBORDINATED PLEDGE AGREEMENT

         THIS SUBORDINATED PLEDGE AGREEMENT (this "Agreement") is made and
entered into as of October 8, 2003 by Neenah Foundry Company, a Wisconsin
corporation, having an office at 2121 Brooks Avenue, Neenah, Wisconsin 54956
(the "Pledgor"), in favor of The Bank of New York, a New York banking
corporation, as Trustee (the "Trustee") for the noteholders (the "Noteholders")
under the Indenture (as defined below). The Trustee's address is 101 Barclay
Street, 8th Floor West, New York, New York 10286. Capitalized terms used and not
otherwise defined herein have the meanings assigned in the Indenture (as defined
below).

                              W I T N E S S E T H:

         WHEREAS, that certain Indenture (as amended, supplemented or otherwise
modified from time to time, the "Indenture") dated as of the date hereof by and
among the Pledgor, the Subsidiary Guarantors party thereto and the Trustee has
been entered into pursuant to which the Pledgor has issued its 11% senior
secured notes due September 30, 2010 (the "Senior Secured Notes") in the
aggregate principal amount of $133,130,000;

         WHEREAS, Pledgor is jointly and severally liable for all of the
Obligations of itself and each Subsidiary Guarantor under the Indenture;

         WHEREAS, Pledgor owns 100% of the issued and outstanding capital stock
of each of Advanced Cast Products, Inc., a Delaware corporation, Gregg
Industries, Inc., a California corporation, Mercer Forge Corp., a Delaware
corporation, Deeter Foundry, Inc., a Nebraska corporation, Dalton Corporation,
an Indiana corporation, Cast Alloys, Inc., a California corporation, and Neenah
Transport, Inc., a Wisconsin corporation (collectively, the "Issuers"), all as
described on Schedule I hereto; and

         WHEREAS, to secure repayment and performance of all of Pledgor's
obligations, liabilities and indebtedness under the Indenture, Trustee and
Noteholders have required that Pledgor shall have made the pledge contemplated
by this Agreement;

         NOW, THEREFORE, in consideration of the premises, Pledgor hereby agrees
with Trustee as follows:

         1. Pledge. Pledgor hereby pledges to Trustee, for its own benefit and
the benefit of the Noteholders, and grants to Trustee, for its own benefit and
the benefit of Noteholders, a security interest in:

        (a) the shares of stock of each "Issuer" identified on Schedule I hereto
    held by Pledgor (the "Pledged Shares") and the certificates representing the
    Pledged Shares, and all stock dividends, cash dividends, cash, instruments,
    chattel paper and other rights, property or proceeds and products from time
    to

<PAGE>

    time received, receivable or otherwise distributed in respect of or in
    exchange for any or all of the Pledged Shares;

        (b) all additional shares of stock of each Issuer at any time acquired
    by Pledgor in any manner, and the certificates representing such additional
    shares (and any such additional shares shall constitute part of the Pledged
    Shares under this Agreement), and all stock dividends, cash dividends, cash,
    instruments, chattel paper and other rights, property or proceeds and
    products from time to time received, receivable or otherwise distributed in
    respect of or in exchange for any or all of such shares; and

        (c) all proceeds of any of the foregoing (the assets described in this
    Section 1 are collectively referred to as, the "Pledged Collateral").

        (d) Notwithstanding anything in this Agreement to the contrary, the
liens securing this Mortgage are subordinate in the manner and to the extent set
forth in that certain Lien Subordination Agreement (the "Subordination
Agreement") dated as of the date hereof among Trustee, the Pledgor and the other
"Companies" (as defined therein) party thereto and Fleet Capital Corporation
("Agent"), to the liens securing the indebtedness (including interest) owed by
the Companies pursuant to or in connection with that certain Loan and Security
Agreement dated as of the date hereof among Pledgor, certain of the other
Companies, Agent and the lenders from time to time party thereto, as such Loan
and Security Agreement may be amended, supplemented or otherwise modified from
time to time and to indebtedness refinancing the indebtedness under such Loan
and Security Agreement; and the Trustee (on behalf of itself and each
Noteholder), by its acceptance hereof, irrevocably agrees to be bound by the
provisions of the Subordination Agreement and each agreement made therein by the
Trustee on its behalf.

         2. Security for Obligations. This Agreement and all of the Pledged
Collateral secure the payment and performance of the Obligations (as such term
is defined in the Indenture), together with all reasonable costs and expenses,
including, without limitation, all court costs and reasonable attorneys' and
paralegals' fees and expenses paid or incurred by Trustee or any Noteholder in
endeavoring to collect all or any part of the Obligations from, or in
prosecuting any action against Pledgor or any guarantor of all or any part of
the Obligations (all such indebtedness, obligations and liabilities described in
this Section 2 being collectively called the "Secured Obligations").

         3. Delivery of Pledged Collateral. Subject to the Subordination
Agreement and the payment in full of the Senior Indebtedness (the "Loan
Agreement Termination"), all certificates or instruments representing or
evidencing the Pledged Collateral shall be delivered to and held by or on behalf
of Trustee pursuant hereto and shall be in suitable form for transfer by
delivery, or shall be accompanied by duly executed undated instruments of
transfer or assignment in blank, all in form and substance reasonably
satisfactory to Trustee. Prior to the Loan Agreement Termination, the Agent, and
after the Loan Agreement Termination, the Trustee, shall have the right, at any
time in its discretion and without notice to Pledgor following the occurrence
and during the continuance of an Event of Default, to transfer to or to register
in the name of Trustee or any of its nominees

                                       2
<PAGE>

any or all of the Pledged Collateral. In addition, prior to the Loan Agreement
Termination, the Agent, and after the Loan Agreement Termination, the Trustee,
shall have the right to exchange certificates or instruments representing or
evidencing Pledged Collateral for certificates or instruments of smaller or
larger denominations.

         4. Representations and Warranties. In order to induce Trustee to enter
into this Agreement and the Indenture, Pledgor represents and warrants that the
following statements are true, correct and complete:

        (a) Schedule I hereto completely and accurately sets forth all of the
    issued and outstanding stock of each Issuer as of the date hereof. All
    shares of such stock are owned legally and beneficially by Pledgor and have
    been duly authorized and validly issued and are fully paid and
    nonassessable. There are no outstanding warrants, options, subscriptions or
    other contractual arrangements for the purchase of any other shares of stock
    or any securities convertible into shares of stock of any Issuer, and there
    are no preemptive rights with respect to the shares of stock of any Issuer.

        (b) Assuming that Agent or Trustee has taken and is retaining possession
    of the Pledged Shares in the State of Illinois, in the case of Agent, or in
    the State of New York, in the case of Trustee, as required in Section 3
    above and further assuming that Agent or Trustee, as the case may be
    pursuant to Section 3 above, has taken possession of the Pledged Shares
    without notice (actual or constructive) of any adverse claims in respect of
    the Pledged Shares, the delivery of the Pledged Shares to the Agent or
    Trustee, as the case may be pursuant to Section 3 above, is effective to
    create a valid and perfected first priority security interest in the Pledged
    Collateral, free of any adverse claim, securing the payment of the Priority
    Lien Obligations and, on a subordinated basis pursuant to the Subordination
    Agreement, the Secured Obligations.

        (c) Subject to the Subordination Agreement, no consent of any other
    party (including, without limitation, any creditor of Pledgor) and no
    consent, authorization, approval or other action by, and no notice to or
    filing with, any governmental authority or regulatory body is required
    either (i) for the pledge by Pledgor of the Pledged Collateral pursuant to
    this Agreement or for the execution, delivery or performance of this
    Agreement by Pledgor or (ii) for the exercise by Trustee of the voting or
    other rights provided for in this Agreement or the remedies in respect of
    the Pledged Collateral pursuant to this Agreement (except as has already
    been obtained or taken and except as may be required in connection with such
    disposition by laws affecting the offering and sale of securities
    generally).

        (d) None of the Pledged Shares constitutes margin stock, as defined in
    Regulation U of the Board of Governors of the Federal Reserve System.

        (e) This Agreement is the legal, valid and binding obligation of
    Pledgor, enforceable against Pledgor in accordance with its terms, except as

                                       3
<PAGE>

    limited by applicable bankruptcy, reorganization, insolvency or similar laws
    affecting the enforcement of creditors' rights generally.

        (f) All information herein or hereafter supplied to Trustee by or on
    behalf of Pledgor with respect to the Pledged Collateral is and will be
    accurate and complete in all material respects.

         5. Further Assurances.

        (a) Subject to the Subordination Agreement, Pledgor will, from time to
    time, at Pledgor's expense, promptly execute and deliver all further
    instruments and documents and take all further action that is necessary, or
    that Trustee may reasonably request, in order to perfect and protect any
    security interest granted or purported to be granted hereby, to enable
    Trustee to exercise and enforce the rights and remedies of Trustee hereunder
    with respect to any Pledged Collateral or to carry out the provisions and
    purposes hereof. Without limiting the generality of the foregoing, Pledgor
    will: (i) execute and file such financing or continuation statements, or
    amendments thereto, and such other instruments or notices, as is necessary,
    or as Trustee may reasonably request, in order to perfect and preserve the
    security interests granted or purported to be granted hereby under the laws
    of any applicable jurisdiction or (ii) appear in and defend any action or
    proceeding that may affect Pledgor's title to or Trustee's security interest
    in the Pledged Collateral.

        (b) Pledgor will, promptly (and in any event within three Business Days)
    upon the purchase or acquisition of any additional shares of stock of any
    Issuer, deliver such Pledged Shares to the Agent or the Trustee, as the case
    may be pursuant to Section 3 above, together with a proxy substantially in
    the form attached hereto as Exhibit A, and a pledge amendment, duly executed
    by Pledgor, in substantially the form of Exhibit B hereto (a "Pledge
    Amendment"), in respect of the additional shares which are to be pledged
    pursuant to this Agreement. Pledgor hereby authorizes Trustee to attach each
    Pledge Amendment to this Agreement and agrees that all shares listed on any
    Pledge Amendment delivered to Trustee shall for all purposes hereunder be
    considered Pledged Collateral.

         6. Voting Rights; Dividends; Etc.

        (a) So long as no Event of Default shall have occurred and be continuing
    and Trustee shall not have delivered to Pledgor notice of its election to
    exercise the rights set forth in subsection (b) below:

            (i) Pledgor shall be entitled to exercise any and all voting and
        other consensual rights pertaining to the Pledged Collateral or any part
        thereof for any purpose not inconsistent with the terms of this
        Agreement or the Indenture.

                                       4
<PAGE>

            (ii) Except as otherwise expressly permitted in the Indenture, any
        and all instruments, chattel paper and other rights, property or
        proceeds and products (other than cash or checks) received, receivable
        or otherwise distributed in respect of, or in exchange for, any Pledged
        Collateral, shall be and shall be forthwith delivered to, prior to the
        Loan Agreement Termination, the Agent, and after the Loan Agreement
        Termination, the Trustee, to hold as Pledged Collateral, and shall, if
        received by Pledgor, be received in trust for the benefit of Trustee, be
        segregated from the other property or funds of Pledgor, and be forthwith
        delivered to, prior to the Loan Agreement Termination, the Agent, and
        after the Loan Agreement Termination, the Trustee, as Pledged Collateral
        in the same form as so received (with any necessary endorsement).

            (iii) Trustee shall promptly upon request execute and deliver (or
        cause to be executed and delivered) to Pledgor all such proxies and
        other instruments as Pledgor may reasonably request for the purpose of
        enabling Pledgor to exercise the voting and other rights which Pledgor
        is entitled to exercise pursuant to paragraph (i) above, and to receive
        the dividends which Pledgor is authorized to receive and retain pursuant
        to paragraph (ii) above.

        (b) Subject to the Subordination Agreement, upon the occurrence and
    during the continuance of an Event of Default:

            (i) Except as otherwise expressly permitted in the Indenture, all
        rights of Pledgor to receive and retain any cash dividends and
        distributions pursuant to subsection 6(a)(ii), and to exercise the
        voting and other consensual rights which Pledgor would otherwise be
        entitled to exercise pursuant to subsection 6(a)(i), shall cease to be
        effective upon written notice by Trustee to Pledgor of Trustee's intent
        to exercise its rights hereunder, and upon delivery of such notice shall
        become vested in Trustee who shall thereupon have the sole right to
        exercise such voting and other consensual rights and the sole right to
        receive and hold as Pledged Collateral such dividends (and, to the
        extent permissible, apply them to payment of the Secured Obligations).
        In order to effect such transfer of rights, Trustee shall have the
        right, upon such notice, to date and present to the applicable Issuer an
        irrevocable proxy executed by Pledgor substantially in the form attached
        hereto as Exhibit A (a "Proxy").

            (ii) Except as expressly permitted in the Indenture, all dividends
        which are received by Pledgor contrary to the provisions of this
        subsection 6(b) shall be received in trust for the benefit of Trustee
        (for the benefit of Noteholders), shall be segregated from other funds
        of Pledgor and shall be forthwith paid over to, prior to the Loan
        Agreement Termination, the Agent, and after the Loan Agreement
        Termination, the Trustee, as Pledged Collateral in the same form as so
        received (with any necessary endorsement).

         7. Transfers and Other Liens; Additional Shares.

                                       5
<PAGE>

        (a) Other than for Priority Liens and Priority Lien Documents prior to
    the Loan Agreement Termination, Pledgor agrees that Pledgor will not (i)
    encumber, sell, assign (by operation of law or otherwise) or otherwise
    dispose of, or grant any option with respect to, any of the Pledged
    Collateral or (ii) enter into any other contractual obligations which could
    reasonably be expected to restrict or inhibit the right or ability of
    Trustee to sell or otherwise dispose of the Pledged Collateral or any part
    thereof after the occurrence and during the continuance of an Event of
    Default.

        (b) Pledgor agrees that if any Issuer issues any stock or other
    securities (including any warrants, options, subscriptions or other
    contractual arrangements for the purchase of stock or securities convertible
    into stock) in addition to or in substitution for the Pledged Shares,
    Pledgor will deliver, promptly (and in any event within three Business Days)
    upon its acquisition (directly or indirectly) thereof, any and all writings
    evidencing any additional Pledged Collateral to, prior to the Loan Agreement
    Termination, the Agent, and after the Loan Agreement Termination, the
    Trustee. Pledgor hereby authorizes Trustee to modify this Agreement by
    unilaterally amending Schedule I to include such shares of stock or other
    securities.

         8. Trustee Appointed Attorney-in-Fact. Subject to the Subordination
Agreement, Pledgor hereby irrevocably appoints Trustee as Pledgor's
attorney-in-fact effective upon the occurrence and during the continuance of an
Event of Default, with full authority in the place and stead of Pledgor and in
the name of Pledgor, Trustee or otherwise, from time to time in the discretion
of Trustee to take any action (including completion and presentation of any
proxy) and to execute any instrument that is necessary or advisable to
accomplish the purposes of this Agreement, including, without limitation, to (i)
receive, endorse and collect all instruments made payable to Pledgor
representing any dividend or other distribution in respect of the Pledged
Collateral or any part thereof; (ii) exercise the voting and other consensual
rights pertaining to the Pledged Collateral; and (iii) sell, transfer, pledge,
make any agreement with respect to or otherwise deal with any of the Pledged
Collateral as fully and completely as though Trustee was the absolute owner
thereof for all purposes, and to do, at the option of Trustee and at Pledgor's
expense, at any time or from time to time, all acts and things that are
necessary or that the Trustee deems necessary to protect, preserve or realize
upon the Pledged Collateral. Pledgor hereby ratifies and approves all acts of
Trustee made or taken in accordance with the terms of this Section 8. Except as
specifically set forth in Section 10 hereof or in the event of the gross
negligence or willful misconduct of Trustee, neither Trustee nor any person
designated by Trustee shall be liable for any acts or omissions or for any error
of judgment or mistake of fact or law. This power of attorney, being coupled
with an interest, shall be irrevocable until all Secured Obligations (other than
unasserted contingent indemnity obligations) shall have been paid in full and
the Indenture Documents shall have been terminated.

         9. Trustee May Perform. If Pledgor fails to perform any agreement
contained herein, Trustee may itself perform, or cause performance of, such
agreement, and the expenses of Trustee incurred in connection therewith shall be
a part of the Secured Obligations.

                                       6
<PAGE>

         10. Limitation on Duty of Trustee with Respect to the Pledged
Collateral. The powers conferred on Trustee hereunder are solely to protect its
interest in the Pledged Collateral and shall not impose any duty on it to
exercise any such powers. Except for the safe custody of any Pledged Collateral
in its possession and the accounting for monies actually received by it
hereunder, Trustee shall have no duty with respect to any Pledged Collateral.
Trustee shall be deemed to have exercised reasonable care in the custody and
preservation of the Pledged Collateral in its possession if the Pledged
Collateral is accorded treatment that is substantially equivalent to that which
a reasonably prudent person in the industry accords to such property, it being
expressly agreed that Trustee shall have no responsibility for (i) ascertaining
or taking action with respect to calls, conversions, exchanges, maturities,
tenders or other matters relative to any Pledged Collateral, whether or not
Trustee has or is deemed to have knowledge of such matters, or (ii) taking any
necessary steps to preserve rights against any parties with respect to any
Pledged Collateral, but Trustee may do so and all expenses incurred in
connection therewith shall be payable by and for the sole account of Pledgor.

         11. Remedies upon Event of Default. Subject to the Subordination
Agreement, if any Event of Default shall have occurred and be continuing:

        (a) Trustee may exercise in respect of the Pledged Collateral, in
    addition to other rights and remedies provided for herein or otherwise
    available to it, all of the rights and remedies of a secured party under the
    Uniform Commercial Code (the "UCC") in the State of New York, whether or not
    the UCC applies to the affected Pledged Collateral, and Trustee may also,
    without notice except as specified below, sell the Pledged Collateral or any
    part thereof in one or more parcels at public or private sale, at any
    exchange, broker's board or at any office of Trustee or elsewhere, for cash,
    on credit, or for future delivery, at such price or prices and upon such
    other terms as Trustee deems commercially reasonable. Pledgor acknowledges
    and agrees that such a private sale may result in prices and other terms
    which may be less favorable to the seller than if such sale were a public
    sale. Pledgor agrees that, to the extent notice of sale shall be required by
    law, at least ten (10) days' notice to Pledgor of the time and place of any
    public sale or the time after which any private sale is to be made shall
    constitute reasonable notification. At any sale of the Pledged Collateral,
    if permitted by law, Trustee, on behalf of Noteholders, may bid (which bid
    may be, in whole or in part, in the form of cancellation of indebtedness)
    for the purchase of the Pledged Collateral or any portion thereof. Trustee
    shall not be obligated to make any sale of Pledged Collateral regardless of
    notice of sale having been given. Trustee may adjourn any public or private
    sale from time to time by announcement at the time and place fixed therefor,
    and such sale may, without further notice, be made at the time and place to
    which it was so adjourned. Trustee shall be under no obligation to delay a
    sale of any of the Pledged Collateral for the period of time necessary to
    permit the issuing corporation of such securities to register such
    securities for public sale under the Securities Act of 1933, as from time to
    time amended (the "Securities Act"), or under applicable state securities
    laws,

                                       7
<PAGE>

    even if the issuing corporation would agree to do so. To the extent
    permitted by law, Pledgor hereby specifically waives all rights of
    redemption, stay or appraisal which Pledgor has or may have under any law
    now existing or hereafter enacted.

        (b) Except as expressly permitted in the Indenture and in this
    Agreement, all cash proceeds received by Trustee in accordance with the
    terms hereof in respect of any sale of, collection from, or other
    realization upon all or any part of the Pledged Collateral may, in the
    discretion of Trustee, be held by Trustee as collateral for, and/or then or
    at any time thereafter applied (after payment of any amounts payable to
    Trustee pursuant to the terms of the Indenture) in whole or in part by
    Trustee against all or any part of the Secured Obligations in accordance
    with the provisions of Section 13. Any surplus of such cash or cash proceeds
    held by Trustee and remaining after payment in full of all the Secured
    Obligations shall be paid over to Pledgor or to whomsoever may be lawfully
    entitled to receive such surplus or as a court of competent jurisdiction may
    direct; provided, that in the event that all of the conditions to the
    termination of this Agreement pursuant to Section 14 shall not have been
    fulfilled, such balance shall be held and applied from time to time as
    provided in this subsection 11(b) until all such conditions shall have been
    fulfilled.

        (c) Pledgor recognizes that Trustee may be unable to effect a public
    sale of all or part of the Pledged Collateral and may be compelled to resort
    to one or more private sales to a restricted group of purchasers who will be
    obligated to agree, among other things, to acquire such Pledged Collateral
    for their own account, for investment and not with a view to the
    distribution or resale thereof. Pledgor acknowledges that any such private
    sales may be at prices and on terms less favorable to the seller than if
    sold at public sales and agrees that such private sales shall be deemed to
    have been made in a commercially reasonable manner, and that Trustee has no
    obligation to delay sale of any such Pledged Collateral for the period of
    time necessary to permit the issuer of such Pledged Collateral to register
    such Pledged Collateral for public sale under the Securities Act.

         12. Remedies Cumulative. No failure on the part of Trustee to exercise,
and no delay in exercising and no course of dealing with respect to, any power,
privilege or right under the Indenture, the other Collateral Documents or this
Agreement (collectively, the "Indenture Documents") shall operate as a waiver
thereof; nor shall any single or partial exercise by Trustee of any power,
privilege or right under any of the other Indenture Documents or this Agreement
preclude any other or further exercise thereof or the exercise of any other such
power, privilege or right. The powers, privileges and rights in this Agreement
and the other Indenture Documents are cumulative and are not exclusive of any
other remedies provided by law.

         13. Application of Proceeds. Subject to the Subordination Agreement,
upon the occurrence and during the continuance of an Event of Default, the
proceeds of any

                                       8
<PAGE>

sale of, or other realization upon, all or any part of the Pledged Collateral
shall be applied in the manner set forth in the Indenture.

         14. Termination of Security Interests; Release of Collateral. Upon
payment and performance in full of all Secured Obligations (other than
unasserted contingent indemnity obligations) and termination of the Indenture in
accordance with its terms, the security interests granted herein shall terminate
and all rights to the Pledged Collateral shall revert to Pledgor. Upon such
termination of the security interests or release of any Pledged Collateral,
Trustee will, at the expense of Pledgor, and subject to Section 20 herein,
promptly execute and deliver to Pledgor such documents as Pledgor shall
reasonably request to evidence the termination of the security interests or the
release of such Pledged Collateral which has not yet theretofore been sold or
otherwise applied or released. Such release shall be without recourse or
warranty to Trustee, except as to the absence of any prior assignments by
Trustee of its interest in the Pledged Collateral.

         15. Amendments, Waivers and Consents. No amendment, modification,
termination or waiver of any provision of this Agreement, or consent to any
departure by Pledgor therefrom, shall in any event be effective without the
written concurrence of Trustee and Pledgor.

         16. Notices. Any notice, approval, request, demand, consent or other
communication hereunder, including any notice of default or notice of sale,
shall be given to Pledgor or Trustee at the applicable address set forth above
(or to such other address previously designated by written notice to the serving
party) in accordance with the notice provision of the Indenture.

         17. Continuing Security Interest; Successors and Assigns. This
Agreement shall create a continuing security interest in the Pledged Collateral
and shall (i) remain in full force and effect until payment and performance in
full of all Secured Obligations (other than unasserted contingent indemnity
obligations) and termination of the Indenture, (ii) be binding upon Pledgor, its
successors and assigns, and (iii) inure, together with the rights and remedies
of Trustee hereunder, to the benefit of Trustee and its successors and assigns.
Pledgor may not assign or transfer any of its interests or obligations hereunder
without the prior consent of Trustee.

         18. Waiver.

        (a) In addition to any other waivers herein, Pledgor waives to the
    greatest extent it may lawfully do so, and agrees that it shall not at any
    time insist upon, plead or in any manner whatever claim or take the benefit
    or advantage of, any appraisal, valuation, stay, extension, marshalling of
    assets, redemption or similar law, or exemption, whether now or at any time
    hereafter in force, which may delay, prevent or otherwise affect the
    performance by Pledgor of its obligations under, or the enforcement by
    Trustee of, this Agreement. Pledgor hereby waives diligence, presentment and
    demand (whether for nonpayment or protest or of acceptance, maturity,
    extension of time, change in nature or form of the Secured Obligations,
    acceptance of

                                       9
<PAGE>

    further security, release of further security, composition or agreement
    arrived at as to the amount of, or the terms of the Secured Obligations,
    notice of adverse change in any Issuer's or any other Person's financial
    condition or any other fact which might materially increase the risk to
    Pledgor) with respect to any of the Secured Obligations or all other demands
    whatsoever and, to the fullest extent permitted by law, waives the benefit
    of all provisions of law which are or might be in conflict with the terms of
    this Agreement.

        (b) If Trustee may, under applicable law, proceed to realize its
    benefits under any of the Indenture Documents giving Trustee a Lien upon any
    Collateral, whether owned by any Issuer or by any other Person, either by
    judicial foreclosure or by non-judicial sale or enforcement, Trustee may, at
    its sole option, determine which of its remedies or rights it may pursue
    without affecting any of the rights and remedies of Trustee under this
    Agreement.

         19. Subrogation. Subject to, and solely effective following, the
payment in full in cash of all Obligations (other than unasserted contingent
indemnity obligations), Pledgor shall be subrogated to the rights of the
Noteholders to receive payments and distributions of cash, property and
securities applicable to such Obligations. For purposes of such subrogation, no
payments or distributions to the Noteholders of any cash, property or securities
to which the Noteholders would be entitled except for this provision, and no
payments over pursuant to the provisions of this paragraph to the Noteholders by
Pledgor shall, as among the Issuer (as defined in the Indenture) or any
Subsidiary Guarantor, their respective creditors (other than holders of such
Obligations) and Pledgor be deemed to be a payment or distribution by such
Issuer (as defined in the Indenture) or any Subsidiary Guarantor to or on
account of such Obligations.

         20. Reinstatement. This Agreement shall continue to be effective or be
reinstated, as the case may be, if at any time any amount received by Trustee or
any Noteholder in respect of the Secured Obligations is rescinded or must
otherwise be restored or returned by Trustee or any Noteholder upon the
insolvency, bankruptcy, dissolution, liquidation or reorganization of Pledgor or
any Issuer or upon the appointment of any intervenor or conservator of, or
trustee or similar official for, Pledgor or any Issuer or any substantial part
of its assets, or otherwise, all as though such payments had not been made.

         21. Severability. The provisions of this Agreement are severable, and
if any clause or provision shall be held invalid or unenforceable in whole or in
part in any jurisdiction, then such invalidity or unenforceability shall affect
only such clause or provision, or part thereof, in such jurisdiction and shall
not in any manner affect such clause or provision in any other jurisdiction, or
any other clause or provision of this Agreement in any jurisdiction.

         22. Interpretation. Time is of the essence of each provision of this
Agreement of which time is an element. All terms not defined herein or in the
Indenture shall have the meanings set forth in the UCC, except where the context
otherwise requires. To the extent any term or provision of this Agreement
conflicts with the provisions of the

                                       10
<PAGE>

Indenture and is not dealt with more specifically herein, the Indenture shall
control with respect to such term or provision.

         23. Survival of Provisions. All agreements, representations and
warranties made herein shall survive the execution and delivery of this
Agreement and the Indenture, the issuance of Notes thereunder and the execution
and delivery of the Notes. Notwithstanding anything in this Agreement or implied
by law to the contrary, the agreements, representations and warranties of
Pledgor set forth herein shall terminate only upon payment of the Secured
Obligations and the termination of this Agreement in accordance with its terms.

         24. Statute of Limitations. Pledgor hereby waives the right to plead
any statute of limitations as a defense to any indebtedness or obligation
hereunder or secured hereby to the full extent permitted by law.

         25. Headings Descriptive. The headings in this Agreement are for
convenience of reference only and shall not constitute a part of this Agreement
for any other purpose or be given any substantive effect.

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

         27. GOVERNING LAW. THIS AGREEMENT IS GOVERNED BY, AND SHALL BE
CONSTRUED AND ENFORCED IN ACCORDANCE WITH THE INTERNAL LAWS OF THE STATE OF NEW
YORK, WITHOUT REGARD TO CONFLICTS OF LAWS PRINCIPLES.

         28. WAIVER OF JURY TRIAL; JURISDICTION. PLEDGOR HEREBY CONSENTS TO THE
JURISDICTION OF STATE OR FEDERAL COURT LOCATED WITHIN NEW YORK COUNTY, NEW YORK
AND WAIVES ANY OBJECTION WHICH IT MAY HAVE BASED ON IMPROPER VENUE OR FORUM NON
CONVENIENS TO THE CONDUCT OF ANY PROCEEDING IN ANY SUCH COURT AND CONSENTS THAT
ALL SERVICE OF PROCESS UPON PLEDGOR BE MADE BY REGISTERED MAIL OR MESSENGER
DIRECTED TO PLEDGOR AT THE ADDRESS SET FORTH ABOVE AND THAT SERVICE SO MADE
SHALL BE DEEMED TO BE COMPLETED UPON ACTUAL RECEIPT THEREOF. PLEDGOR AND TRUSTEE
EACH HEREBY WAIVE, TO THE EXTENT PERMITTED BY LAW, TRIAL BY JURY. NOTHING
CONTAINED HEREIN SHALL AFFECT THE RIGHT OF TRUSTEE TO SERVE LEGAL PROCESS IN ANY
OTHER MANNER PERMITTED BY LAW OR AFFECT THE RIGHT OF TRUSTEE TO BRING ANY ACTION
OR PROCEEDING AGAINST PLEDGOR OR ITS PROPERTY IN THE COURTS OF ANY OTHER
JURISDICTION.

                                       11
<PAGE>

         29. Incorporation By Reference. In connection with its appointment and
acting hereunder the Trustee is entitled to all rights, privileges, benefits,
protections, immunities and indemnities provided to it under the Indenture.

                                       12
<PAGE>

         IN WITNESS WHEREOF, Pledgor has caused this Pledge Agreement to be duly
executed and delivered as of the day and year first above written.

                                     NEENAH FOUNDRY COMPANY

                                     By: /s/ Gary LaChey
                                         ---------------------------------------
                                     Title: VP-Finance, Treasurer, Secty. & CFO
                                            ------------------------------------

         By acceptance hereof as of this 8th day of October, 2003, Trustee
agrees to be bound by the provisions hereof.

                                     BANK OF NEW YORK, as Trustee

                                     By: /s/ Patricia Gallagher
                                         ---------------------------------------
                                     Title: Vice President
                                            ------------------------------------

                                       13
<PAGE>

                                   SCHEDULE I
                               TO PLEDGE AGREEMENT

<TABLE>
<CAPTION>

                                                         STOCK
     ISSUER OF PLEDGED            TYPE AND CLASS      CERTIFICATE        PAR        NUMBER OF
           STOCK                    OF STOCK            NUMBERS         VALUE        SHARES       PERCENTAGE
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
<S>                          <C>                   <C>               <C>          <C>           <C>
Advanced Cast Products, Inc.                                                                         100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
Gregg Industries, Inc.                                                                               100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
Mercer Forge Corp.                                                                                   100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
Deeter Foundry, Inc.                                                                                 100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
Dalton Corporation                                                                                   100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
Cast Alloys, Inc.                                                                                    100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------
Neenah Transport, Inc.                                                                               100%
----------------------------- -------------------- ----------------- ------------ ------------- ---------------

</TABLE>

<PAGE>

                                    EXHIBIT A

                                Irrevocable Proxy

         The undersigned hereby appoints Bank of New York, as Trustee
("Trustee") as proxy with full power of substitution, and hereby authorizes
Trustee to represent and vote all of the shares of the capital stock of
__________________________, held of record by the undersigned on the date of
exercise hereof or at any meeting or at any other time chosen by Trustee in its
sole discretion, but only at the times provided in that certain Pledge Agreement
dated as of October 8, 2003, executed by the undersigned in favor of Trustee.

Dated:  ___________ __, 2003

                                     NEENAH FOUNDRY COMPANY

                                     By
                                       -----------------------------------------
                                     Title
                                          --------------------------------------

<PAGE>

                                    EXHIBIT B

                                Pledge Amendment

         This Pledge Amendment, dated ___________________ is delivered pursuant
to Section 5(c) of the Pledge Agreement referred to below. The undersigned
hereby agrees that this Pledge Amendment may be attached to the Pledge
Agreement, dated as of October 8, 2003, between the undersigned and Bank of New
York, as trustee (the "Pledge Agreement"; capitalized terms defined therein
being used herein as therein defined) and that the shares listed on this Pledge
Amendment shall be deemed to be part of the Pledged Collateral and shall secure
all Secured Obligations.

Dated:  __________, 200__

                                     NEENAH FOUNDRY COMPANY

                                     By
                                       -----------------------------------------
                                     Title
                                          --------------------------------------

<TABLE>
<CAPTION>

                                                            STOCK CERTIFICATE
STOCK ISSUER                             CLASS OF STOCK           NO(S).             PAR VALUE     NUMBER OF SHARES
---------------------------------------- ---------------- ------------------------ ------------- -------------------
<S>                                      <C>              <C>                      <C>           <C>
---------------------------------------- ---------------- ------------------------ ------------- -------------------

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

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

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

<PAGE>

                      ASSIGNMENT SEPARATE FROM CERTIFICATE

         FOR VALUE RECEIVED, _________________, a _______________ corporation,
hereby sells, assigns and transfers unto Bank of New York, as trustee
_____________ (_____) Shares of the common stock of _____________________, a
_____________ corporation (the "Corporation"), standing in its name on the books
of the Corporation represented by Certificate(s) No. ____________________
herewith and does hereby irrevocably constitute and appoint ____________________
attorney to transfer the said stock on the books of the Corporation with full
power of substitution in the premises.

Dated:_____________

                                     NEENAH FOUNDRY COMPANY

                                     By
                                       -----------------------------------------
                                     Title
                                          --------------------------------------

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00059-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00059-of-00352.parquet"}]]