Document:

<PAGE>

                                                                     Exhibit 4.6

                          REGISTRATION RIGHTS AGREEMENT

                            DATED AS OF JULY 30, 2002
                                 BY AND BETWEEN

                               POPE & TALBOT, INC.

                                    AS ISSUER

                                       AND

                             BMO NESBITT BURNS CORP.

<PAGE>

           This Registration Rights Agreement (this "Agreement") is made
and entered into as of July 30, 2002, by and between Pope & Talbot, Inc., a
Delaware corporation (the "Company"), and BMO Nesbitt Burns Corp. (the "Initial
Purchaser"), who has agreed to purchase the Company's 8 3/8% Senior Notes due
2013 (the "Series A Notes") pursuant to the Purchase Agreement (as defined
below).

           This Agreement is made pursuant to the Purchase Agreement, dated
July 23, 2002 (the "Purchase Agreement"), by and between the Company and the
Initial Purchaser. In order to induce the Initial Purchaser to purchase the
Series A Notes, the Company has agreed to provide the registration rights set
forth in this Agreement. The execution and delivery of this Agreement is a
condition to the obligations of the Initial Purchaser set forth in Section 6(g)
of the Purchase Agreement. Capitalized terms used herein and not otherwise
defined shall have the meanings assigned to them in the Indenture, dated the
date hereof between the Company and J.P. Morgan Trust Company, National
Association, as Trustee, relating to the Series A Notes and the Series B Notes
(the "Indenture").

           The parties hereby agree as follows:

Section 1. DEFINITIONS

           As used in this Agreement, the following capitalized terms shall have
the following meanings:

           Act: The Securities Act of 1933, as amended.

           Affiliate: As defined in Rule 144 of the Act.

           Broker-Dealer: Any broker or dealer registered under the
Exchange Act.

           Business Day: Any day except a Saturday, Sunday or other day in the
City of New York, or in the city of the corporate trust office of the Trustee,
on which banks are authorized to close.

           Certificated Securities: Definitive Notes, as defined in the
Indenture.

           Closing Date: The date hereof.

           Commission: The Securities and Exchange Commission.

           Consummate: An Exchange Offer shall be deemed "Consummated" for
purposes of this Agreement upon the occurrence of (a) the filing and
effectiveness under the Act of the Exchange Offer Registration Statement
relating to the Series B Notes to be issued in the Exchange Offer, (b) the
maintenance of such Exchange Offer Registration Statement continuously effective
and the keeping of the Exchange Offer open for a period not less than the period
required pursuant to Section 3(b) hereof and (c) the delivery by the Company to
the Registrar under the Indenture of Series B Notes in the same aggregate
principal amount as the

                                       -2-

<PAGE>

aggregate principal amount of Series A Notes tendered by Holders thereof
pursuant to the Exchange Offer.

            Consummation Deadline:  As defined in Section 3(b) hereof.

            Effectiveness Deadline: As defined in Section 3(a) and 4(a) hereof.

            Exchange Act: the Securities Exchange Act of 1934, as amended.

            Exchange Offer: The exchange and issuance by the Company of a
principal amount of Series B Notes (which shall be registered pursuant to the
Exchange Offer Registration Statement) equal to the outstanding principal amount
of Series A Notes that are tendered by such Holders in connection with such
exchange and issuance.

            Exchange Offer Registration Statement: The Registration Statement
relating to the Exchange Offer, including the related Prospectus.

            Exempt Resales: The transaction in which the Initial Purchaser
proposes to sell the Series A Notes to certain "qualified institutional buyers,"
as such term is defined in Rule 144A under the Act and pursuant to Regulation S
under the Act.

            Filing Deadline: As defined in Section 3(a) and 4(a) hereof.

            Holders: As defined in Section 2 hereof.

            Interest Payment Date: As defined in the Indenture and the Notes.

            Holders: As defined in Section 2 hereof.

            Interest Payment Date: As defined in the Indenture and the Notes.

            Prospectus: the prospectus included in a Registration Statement at
the time such Registration Statement is declared effective, as amended or
supplemented by any prospectus supplement and by all other amendments thereto,
including post-effective amendments, and all material incorporated by reference
into such prospectus.

            Recommencement Date: As defined in Section 6(e) hereof.

            Registration Default: As defined in Section 5 hereof.

            Registration Statement: Any registration statement of the Company
relating to (a) an offering of Series B Notes pursuant to an Exchange Offer or
(b) the registration for resale of Transfer Restricted 8 3/8% Senior Notes
pursuant to the Shelf Registration Statement, in each case (i) that is filed
pursuant to the provisions of this Agreement and (ii) including the Prospectus
included therein, all amendments and supplements thereto (including
post-effective amendments) and all exhibits and material incorporated by
reference therein.

            Regulation S: Regulation S promulgated under the Act.

            Rule 144: Rule 144 promulgated under the Act.

                                       -3-

<PAGE>

            Series B Notes: The Company's 8 3/8% Series B Senior Notes due 2013
to be issued pursuant to the Indenture: (i) in the Exchange Offer or (ii) as
contemplated by Section 4 hereof.

            Shelf Registration Statement: As defined in Section 4 hereof.

            Suspension Notice: As defined in Section 6(e) hereof.

            TIA: The Trust Indenture Act of 1939 (15 U.S.C. Section
77aaa-77bbbb) as in effect on the date of the Indenture.

            Transfer Restricted 8 3/8% Senior Notes: (i) Each Series A Note,
until the earliest to occur of (a) the date on which such Series A Note is
exchanged in the Exchange Offer for a Series B Note which is entitled to be
resold to the public by the Holder thereof without complying with the prospectus
delivery requirements of the Act, (b) the date on which such Series A Note has
been disposed of in accordance with a Shelf Registration Statement, or (c) the
date on which such Series A Note is distributed to the public pursuant to Rule
144 under the Act and (ii) each Series B Note acquired by a Broker-Dealer in
exchange for a Series A Note acquired for its own account as a result of market
making activities or other trading activities until the date on which such
Series B Note is disposed of by a Broker-Dealer pursuant to the "Plan of
Distribution" contemplated by the Exchange Offer Registration Statement
(including the delivery of the Prospectus contained therein).

Section 2.  HOLDERS

            A Person is deemed to be a holder of Transfer Restricted 8 3/8%
Senior Notes (each, a "Holder") whenever such Person owns Transfer Restricted 8
3/8% Senior Notes.

Section 3.  REGISTERED EXCHANGE OFFER

     (a).   Unless the Exchange Offer shall not be permitted by applicable
     federal law (after the procedures set forth in Section 6(a)(i) below have
     been complied with), the Company shall (i) cause the Exchange Offer
     Registration Statement to be filed with the Commission as soon as
     practicable after the Closing Date, but in no event later than 45 days
     after the Closing Date (such 45th day being the "Filing Deadline"), (ii)
     use its reasonable best efforts to cause such Exchange Offer Registration
     Statement to become effective at the earliest possible time, but in no
     event later than 120 days after the Closing Date (such 120/th/ day being
     the "Effectiveness Deadline"), (iii) in connection with the foregoing, (A)
     file all pre-effective amendments to such Exchange Offer Registration
     Statement as may be necessary in order to cause it to become effective, (B)
     file, if applicable, a post-effective amendment to such Exchange Offer
     Registration Statement pursuant to Rule 430A under the Act and (C) cause
     all necessary filings, if any, in connection with the registration and
     qualification of the Series B Notes to be made under the Blue Sky laws of
     such jurisdictions as are requested by the Holders and as are necessary to
     permit Consummation of the Exchange Offer, and (iv) upon the effectiveness
     of such Exchange Offer Registration Statement, commence and Consummate the
     Exchange Offer. The Exchange Offer shall be on the appropriate form
     permitting (i) registration of the Series B Notes to be offered in exchange
     for the Series A

                                       -4-

<PAGE>

     Notes that are Transfer Restricted 8 3/8% Senior Notes and (ii) resales of
     Series B Notes by Broker-Dealers that tendered into the Exchange Offer
     Series A Notes that such Broker-Dealer acquired for its own account as a
     result of market making activities or other trading activities (other than
     Series A Notes acquired directly from the Company or any of its Affiliates)
     as contemplated by Section 3(c) below.

     (b). The Company shall use its reasonable best efforts to cause the
     Exchange Offer Registration Statement to be effective continuously, and
     shall keep the Exchange Offer open for a period of not less than the
     minimum period required under applicable federal and state securities laws
     to Consummate the Exchange Offer; provided, however, that in no event shall
     such period be less than 20 business days. The Company shall cause the
     Exchange Offer to comply with all applicable federal and state securities
     laws. No securities other than the Series B Notes shall be included in the
     Exchange Offer Registration Statement. The Company shall use its reasonable
     best efforts to cause the Exchange Offer to be Consummated on the earliest
     practicable date after the Exchange Offer Registration Statement has become
     effective, but in no event later than 45 business days thereafter unless a
     later date is required by federal securities laws (such day being the
     "Consummation Deadline").

     (c). The Company shall include a "Plan of Distribution" section in the
     Prospectus contained in the Exchange Offer Registration Statement and
     indicate therein that any Broker-Dealer who holds Series A Notes that are
     Transfer Restricted 8 3/8% Senior Notes that were acquired for the account
     of such Broker-Dealer as a result of market-making activities or other
     trading activities (other than Series A Notes acquired directly from the
     Company or any Affiliate of the Company), may exchange such Transfer
     Restricted 8 3/8% Senior Notes pursuant to the Exchange Offer. Such "Plan
     of Distribution" section shall also contain all other information with
     respect to such sales by such Broker-Dealers that the Commission may
     require in order to permit such sales pursuant thereto, but such "Plan of
     Distribution" shall not name any such Broker-Dealer or disclose the amount
     of Transfer Restricted 8 3/8% Senior Notes held by any such Broker-Dealer,
     except to the extent required by the Commission as a result of a change in
     policy, rules or regulations after the date of this Agreement.

            Because such Broker-Dealer may be deemed to be an "underwriter"
within the meaning of the Act and must, therefore, deliver a prospectus meeting
the requirements of the Act in connection with its initial sale of any Series B
Notes received by such Broker-Dealer in the Exchange Offer, the Company shall
permit the use of the Prospectus contained in the Exchange Offer Registration
Statement by such Broker-Dealer to satisfy such prospectus delivery requirement.
To the extent necessary to ensure that the prospectus contained in the Exchange
Offer Registration Statement is available for sales of Series B Notes by
Broker-Dealers, the Company agrees to use its reasonable best efforts to keep
the Exchange Offer Registration Statement continuously effective, supplemented,
amended and current as required by and subject to the provisions of Section 6(a)
and (c) hereof and in conformity with the requirements of this Agreement, the
Act and the policies, rules and regulations of the Commission as announced from
time to time, for a period of one year from the date on which the Exchange Offer
is Consummated or such shorter period as will terminate when all Transfer
Restricted 8 3/8% Senior Notes covered by such Registration Statement have been
sold pursuant thereto. The

                                       -5-

<PAGE>

Company shall provide sufficient copies of the latest version of such Prospectus
to such Broker-Dealers, promptly upon request, and in no event later than one
day after such request, at any time during such period.

SECTION 4. SHELF REGISTRATION

     (a).  Shelf Registration. If (i) the Exchange Offer is not permitted by
     applicable law (after the Company have complied with the procedures set
     forth in Section 6(a)(i) below) or (ii) if any Holder of Transfer
     Restricted 8 3/8% Senior Notes shall notify the Company within 20 business
     days following the Consummation of the Exchange Offer that (A) such Holder
     was prohibited by law or Commission policy from participating in the
     Exchange Offer or (B) such Holder may not resell the Series B Notes
     acquired by it in the Exchange Offer to the public without delivering a
     prospectus and the Prospectus contained in the Exchange Offer Registration
     Statement is not appropriate or available for such resales by such Holder
     or (C) such Holder is a Broker-Dealer and holds Series A Notes acquired
     directly from the Company or any of its Affiliates, then the Company shall:

          1.   use its reasonable best efforts to cause to be filed, on or prior
          to 45 days after the earlier of (i) the date on which the Company
          determines that the Exchange Offer Registration Statement cannot be
          filed as a result of clause (a)(i) above and (ii) the date on which
          the Company receives the notice specified in clause (a)(ii) above
          (such 45/th/ day, the "Filing Deadline"), a shelf registration
          statement pursuant to Rule 415 under the Act (which may be an
          amendment to the Exchange Offer Registration Statement (the "Shelf
          Registration Statement")), relating to all Transfer Restricted 8 3/8%
          Senior Notes; and

          2.   shall use its reasonable best efforts to cause such Shelf
          Registration Statement to become effective on or prior to 120 days
          after the earlier of (i) the date on which the Company determines that
          the Exchange Offer Registration Statement cannot be filed as a result
          of clause (a)(i) above and (ii) the date on which the Company receives
          the notice specified in clause (a)(ii) above (such 120/th/ day the
          "Effectiveness Deadline").

          If, after the Company has filed an Exchange Offer Registration
Statement that satisfies the requirements of Section 3(a) above, the Company is
required to file and make effective a Shelf Registration Statement solely
because the Exchange Offer is not permitted under applicable federal law (i.e.,
clause (a)(i) above), then the filing of the Exchange Offer Registration
Statement shall be deemed to satisfy the requirements of clause (x) above;
provided that, in such event, the Company shall remain obligated to meet the
Effectiveness Deadline set forth in clause (y).

          To the extent necessary to ensure that the Shelf Registration
Statement is available for sales of Transfer Restricted 8 3/8% Senior Notes by
the Holders thereof entitled to the benefit of this Section 4(a) and the other
securities required to be registered therein pursuant to Section 6(b)(ii)
hereof, the Company shall use its reasonable best efforts to keep any Shelf
Registration Statement required by this Section 4(a) continuously effective,
supplemented,

                                       -6-

<PAGE>

amended and current as required by and subject to the provisions of Sections
6(b) and (c) hereof and in conformity with the requirements of this Agreement,
the Act and the policies, rules and regulations of the Commission as announced
from time to time, for a period of at least two years (as extended pursuant to
Sections 6(c)(i) and 6(e)) following the Closing Date, or such shorter period as
will terminate when all Transfer Restricted 8 3/8% Senior Notes covered by such
Shelf Registration Statement have been sold pursuant thereto.

     (b).  Provision by Holders of Certain Information in Connection with the
     Shelf Registration Statement. No Holder of Transfer Restricted 8 3/8%
     Senior Notes may include any of its Transfer Restricted 8 3/8% Senior Notes
     in any Shelf Registration Statement pursuant to this Agreement unless and
     until such Holder furnishes to the Company in writing, within 20 days after
     receipt of a request therefor, the information specified in the Notice and
     Questionnaire attached hereto as Exhibit A. No Holder of Transfer
     Restricted 8 3/8% Senior Notes shall be entitled to liquidated damages
     pursuant to Section 5 hereof unless and until such Holder shall have
     provided all such information. By its acceptance of Transfer Restricted 8
     3/8% Senior Notes, each Holder agrees to promptly furnish additional
     information required to be disclosed in order to make the information
     previously furnished to the Company by such Holder not materially
     misleading.

SECTION 5. LIQUIDATED DAMAGES

           If (i) any Registration Statement required by this Agreement is not
filed with the Commission on or prior to the applicable Filing Deadline, (ii)
any such Registration Statement has not been declared effective by the
Commission on or prior to the applicable Effectiveness Deadline, (iii) the
Exchange Offer has not been Consummated on or prior to the Consummation Deadline
or (iv) any Registration Statement required by this Agreement is filed and
declared effective but shall thereafter cease to be effective or fail to be
usable for its intended purpose without being succeeded within two business days
by a post-effective amendment to such Registration Statement that cures such
failure and that is itself declared effective within five business days of
filing such post-effective amendment to such Registration Statement (each such
event referred to in clauses (i) through (iv), a "Registration Default"), then
the Company hereby agrees to pay to each Holder of Transfer Restricted 8 3/8%
Senior Notes affected thereby liquidated damages in an amount equal to $.05 per
week per $1,000 in principal amount of Transfer Restricted 8 3/8% Senior Notes
held by such Holder for each week or portion thereof that the Registration
Default continues for the first 90-day period immediately following the
occurrence of such Registration Default. The amount of the liquidated damages
shall increase by an additional $.05 per week per $1,000 in principal amount of
Transfer Restricted 8 3/8% Senior Notes with respect to each subsequent 90-day
period until all Registration Defaults have been cured, up to a maximum amount
of liquidated damages of $.50 per week per $1,000 in principal amount of
Transfer Restricted 8 3/8% Senior Notes; provided that the Company shall in no
event be required to pay liquidated damages for more than one Registration
Default at any given time. Notwithstanding anything to the contrary set forth
herein, (1) upon filing of the Exchange Offer Registration Statement (and/or, if
applicable, the Shelf Registration Statement), in the case of (i) above, (2)
upon the effectiveness of the Exchange Offer Registration Statement (and/or, if
applicable, the Shelf Registration Statement), in the case of (ii) above, (3)
upon Consummation of the Exchange Offer, in the case of (iii) above, or (4) upon
the filing of a post-effective

                                       -7-

<PAGE>

amendment to the Registration Statement or an additional Registration Statement
that causes the Exchange Offer Registration Statement (and/or, if applicable,
the Shelf Registration Statement) to again be declared effective or made usable
in the case of (iv) above, the liquidated damages payable with respect to the
Transfer Restricted 8 3/8% Senior Notes as a result of such clause (i), (ii),
(iii) or (iv), as applicable, shall cease.

           All accrued liquidated damages shall be paid to the Holders entitled
thereto, in the manner provided for the payment of interest in the Indenture, on
each Interest Payment Date, as more fully set forth in the Indenture and the
Notes. Notwithstanding the fact that any securities for which liquidated damages
are due cease to be Transfer Restricted 8 3/8% Senior Notes, all obligations of
the Company to pay liquidated damages with respect to securities shall survive
until such time as such obligations with respect to such securities shall have
been satisfied in full.

Section 6. REGISTRATION PROCEDURES

     (a).  Exchange Offer Registration Statement. In connection with the
     Exchange Offer, the Company shall (i) comply with all applicable provisions
     of Section 6(c) below, (ii) use its reasonable best efforts to effect such
     exchange and to permit the resale of Series B Notes by any Broker-Dealer
     that tendered Series A Notes in the Exchange Offer that such Broker-Dealer
     acquired for its own account as a result of its market making activities or
     other trading activities (other than Series A Notes acquired directly from
     the Company or any of its Affiliates) being sold in accordance with the
     intended method or methods of distribution thereof, and (iii) comply with
     all of the following provisions:

           1. If, following the date hereof there has been announced a change in
           Commission policy with respect to exchange offers such as the
           Exchange Offer, that in the reasonable opinion of counsel to the
           Company raises a substantial question as to whether the Exchange
           Offer is permitted by applicable federal law, the Company hereby
           agrees to seek a no-action letter or other favorable decision from
           the Commission allowing the Company to Consummate an Exchange Offer
           for such Transfer Restricted 8 3/8% Senior Notes. The Company hereby
           agrees to pursue the issuance of such a decision to the Commission
           staff level. In connection with the foregoing, the Company hereby
           agrees to take all such other actions as may be requested by the
           Commission or otherwise required in connection with the issuance of
           such decision, including without limitation (A) participating in
           telephonic conferences with the Commission staff, (B) delivering to
           the Commission staff an analysis prepared by counsel to the Company
           setting forth the legal bases, if any, upon which such counsel has
           concluded that such an Exchange Offer should be permitted and (C)
           diligently pursuing a resolution (which need not be favorable) by the
           Commission staff.

           2. As a condition to its participation in the Exchange Offer, each
           Holder of Transfer Restricted 8 3/8% Senior Notes (including, without
           limitation, any Holder who is a Broker Dealer) shall furnish, upon
           the request of the Company, prior to the Consummation of the Exchange
           Offer, a written representation to the Company (which may be
           contained in the letter of transmittal contemplated by the Exchange
           Offer Registration Statement) to the effect that (A) it is not an
           Affiliate

                                       -8-

<PAGE>

           of the Company, (B) it is not engaged in, and does not intend to
           engage in, and has no arrangement or understanding with any person to
           participate in, a distribution of the Series B Notes to be issued in
           the Exchange Offer and (C) it is acquiring the Series B Notes in its
           ordinary course of business. Each Holder using the Exchange Offer to
           participate in a distribution of the Series B Notes will be required
           to acknowledge and agree that, if the resales are of Series B Notes
           obtained by such Holder in exchange for Series A Notes acquired
           directly from the Company or an Affiliate thereof, it (1) could not,
           under Commission policy as in effect on the date of this Agreement,
           rely on the position of the Commission enunciated in Morgan Stanley
           and Co., Inc. (available June 5, 1991) and Exxon Capital Holdings
           Corporation (available May 13, 1988), as interpreted in the
           Commission's letter to Shearman & Sterling dated July 2, 1993, and
           similar no-action letters (including, if applicable, any no-action
           letter obtained pursuant to clause (i) above), and (2) must comply
           with the registration and prospectus delivery requirements of the Act
           in connection with a secondary resale transaction and that such a
           secondary resale transaction must be covered by an effective
           registration statement containing the selling security holder
           information required by Item 507 or 508, as applicable, of Regulation
           S-K.

     (b).  Shelf Registration Statement. In connection with the Shelf
     Registration Statement, the Company shall comply with all the provisions of
     Section 6(c) and 6(d) below and shall:

           1. use its reasonable best efforts to effect such registration to
           permit the sale of the Transfer Restricted 8 3/8% Senior Notes being
           sold in accordance with the intended method or methods of
           distribution thereof (as indicated in the information furnished to
           the Company pursuant to Section 4(b) hereof), and pursuant thereto
           the Company will prepare and file with the Commission a Registration
           Statement relating to the registration on any appropriate form under
           the Act, which form shall be available for the sale of the Transfer
           Restricted 8 3/8% Senior Notes in accordance with the intended method
           or methods of distribution thereof within the time periods and
           otherwise in accordance with the provisions hereof; and

           2. issue, upon the request of any Holder or purchaser of Series A
           Notes covered by any Shelf Registration Statement contemplated by
           this Agreement, Series B Notes having an aggregate principal amount
           equal to the aggregate principal amount of Series A Notes sold
           pursuant to the Shelf Registration Statement and surrendered to the
           Company for cancellation; the Company shall register Series B Notes
           on the Shelf Registration Statement for this purpose and issue the
           Series B Notes to the purchaser(s) of securities subject to the Shelf
           Registration Statement in the names as such purchaser(s) shall
           designate.

     (c).  General Provisions. In connection with any Registration Statement and
     any related Prospectus required by this Agreement, the Company shall:

                                       -9-

<PAGE>

           1.  use its reasonable best efforts to keep such Registration
           Statement continuously effective and provide all requisite financial
           statements for the period specified in Section 3 or 4 of this
           Agreement, as applicable. Upon the occurrence of any event that would
           cause any such Registration Statement or the Prospectus contained
           therein (A) to contain an untrue statement of material fact or omit
           to state any material fact necessary to make the statements therein
           not misleading or (B) not to be effective and usable for resale of
           Transfer Restricted 8 3/8% Senior Notes during the period required by
           this Agreement, the Company shall file promptly an appropriate
           amendment to such Registration Statement curing such defect, and, if
           Commission review is required, use its reasonable best efforts to
           cause such amendment to be declared effective as soon as practicable;
           if at any time the Commission shall issue any stop order suspending
           the effectiveness of any Registration Statement, or any state
           securities commission or other regulatory authority shall issue an
           order suspending the qualification or exemption from qualification of
           the Transfer Restricted 8 3/8% Senior Notes under state securities or
           Blue Sky laws, the Company shall use its reasonable best efforts to
           obtain the withdrawal or lifting of such order at the earliest
           possible time;

           2.  prepare and file with the Commission such amendments and
           post-effective amendments to the applicable Registration Statement as
           may be necessary to keep such Registration Statement effective for
           the applicable period set forth in Section 3 or 4 hereof, as the case
           may be; cause the Prospectus to be supplemented by any required
           Prospectus supplement, and as so supplemented to be filed pursuant to
           Rule 424 under the Act, and to comply fully with Rules 424, 430A and
           462, as applicable, under the Act in a timely manner; and comply with
           the provisions of the Act with respect to the disposition of all
           securities covered by such Registration Statement during the
           applicable period in accordance with the intended method or methods
           of distribution by the sellers thereof set forth in such Registration
           Statement or supplement to the Prospectus;

           3.  in connection with any sale of Transfer Restricted 8 3/8% Senior
           Notes that will result in such securities no longer being Transfer
           Restricted 8 3/8% Senior Notes, cooperate with the Holders to
           facilitate the timely preparation and delivery of certificates
           representing Transfer Restricted 8 3/8% Senior Notes to be sold and
           not bearing any restrictive legends; and to register such Transfer
           Restricted 8 3/8% Senior Notes in such denominations and such names
           as the selling Holders may request at least two business days prior
           to such sale of Transfer Restricted 8 3/8% Senior Notes;

           4.  use its reasonable best efforts to cause the disposition of the
           Transfer Restricted 8 3/8% Senior Notes covered by the Registration
           Statement to be registered with or approved by such other
           governmental agencies or authorities as may be necessary to enable
           the seller or sellers thereof to consummate the disposition of such
           Transfer Restricted 8 3/8% Senior Notes; provided, however, that the
           Company shall not be required to register or qualify as a foreign
           corporation where it is not now so qualified or to take any action
           that would subject it to the service of process in suits or to
           taxation, other than as to matters

                                      -10-

<PAGE>

           and transactions relating to the Registration Statement, in any
           jurisdiction where it is not now so subject;

           5.  provide a CUSIP number for all Transfer Restricted 8 3/8% Senior
           Notes not later than the effective date of a Registration Statement
           covering such Transfer Restricted 8 3/8% Senior Notes and provide the
           Trustee under the Indenture with certificates for the Transfer
           Restricted 8 3/8% Senior Notes which are in a form eligible for
           deposit with The Depository Trust Company, Euroclear or Clearstream;

           6.  otherwise use its reasonable best efforts to comply with all
           applicable rules and regulations of the Commission, and make
           generally available to its security holders with regard to any
           applicable Registration Statement, as soon as practicable, a
           consolidated earnings statement meeting the requirements of Rule 158
           (which need not be audited) covering a twelve-month period beginning
           after the effective date of the Registration Statement (as such term
           is defined in paragraph (c) of Rule 158 under the Act); and

           7.  cause the Indenture to be qualified under the TIA not later than
           the effective date of the first Registration Statement required by
           this Agreement and, in connection therewith, cooperate with the
           Trustee and the Holders to effect such changes to the Indenture as
           may be required for such Indenture to be so qualified in accordance
           with the terms of the TIA; and execute and use its best efforts to
           cause the Trustee to execute, all documents that may be required to
           effect such changes and all other forms and documents required to be
           filed with the Commission to enable such Indenture to be so qualified
           in a timely manner.

     (d).  Additional Provisions Applicable to Shelf Registration Statements and
     Certain Exchange Offer Prospectuses. In connection with each Shelf
     Registration Statement, and except as limited in Section 6(d)(8), each
     Exchange Offer Registration Statement if and to the extent that the Initial
     Purchaser has notified the Company that it is a holder of Series B Notes
     that are Transfer Restricted 8 3/8% Senior Notes (for so long as such
     Series B Notes are Transfer Restricted 8 3/8% Senior Notes or for the
     period provided in Section 3, whichever is shorter), the Company shall:

           1.  advise each Holder promptly and, if requested by such Holder,
           confirm such advice in writing, (A) when the Prospectus or any
           Prospectus supplement or post-effective amendment has been filed,
           and, with respect to any applicable Registration Statement or any
           post-effective amendment thereto, when the same has become effective,
           (B) of any request by the Commission for amendments to the
           Registration Statement or amendments or supplements to the Prospectus
           or for additional information relating thereto, (C) of the issuance
           by the Commission of any stop order suspending the effectiveness of
           the Registration Statement under the Act or of the suspension by any
           state securities commission of the qualification of the Transfer
           Restricted 8 3/8% Senior Notes for offering or sale in any
           jurisdiction, or the initiation of any proceeding for any of the
           preceding purposes, (D) of the existence of any fact or the happening
           of any event that

                                      -11-

<PAGE>

           makes any statement of a material fact made in the Registration
           Statement, the Prospectus, any amendment or supplement thereto or any
           document incorporated by reference therein untrue, or that requires
           the making of any additions to or changes in the Registration
           Statement in order to make the statements therein not misleading, or
           that requires the making of any additions to or changes in the
           Prospectus in order to make the statements therein, in the light of
           the circumstances under which they were made, not misleading;

           2.  if any fact or event contemplated by Section 6(d)(i)(D) above
           shall exist or have occurred, prepare a supplement or post-effective
           amendment to the Registration Statement or related Prospectus or any
           document incorporated therein by reference or file any other required
           document so that, as thereafter delivered to the purchasers of
           Transfer Restricted 8 3/8% Senior Notes, the Prospectus will not
           contain an untrue statement of a material fact or omit to state any
           material fact necessary to make the statements therein, in the light
           of the circumstances under which they were made, not misleading;

           3.  furnish to each Holder in connection with such exchange or sale,
           if any, before filing with the Commission, copies of any Registration
           Statement or any Prospectus included therein (except the Prospectus
           included in the Exchange Offer Registration Statement at the time it
           was declared effective) or any amendments or supplements to any such
           Registration Statement or Prospectus, which documents will be subject
           to the review and comment of such Holders in connection with such
           sale, if any, for a period of at least five business days, and the
           Company will not file any such Registration Statement or Prospectus
           or any amendment or supplement to any such Registration Statement or
           Prospectus to which such Holders shall reasonably object within five
           business days after the receipt thereof;

           4.  make available, at reasonable times, for inspection by each
           Holder and any attorney or accountant retained by such Holders, all
           financial and other records, pertinent corporate documents of the
           Company and cause the Company's officers, directors and employees to
           supply all information reasonably requested by any such Holder,
           attorney or accountant in connection with such Registration Statement
           or any post-effective amendment thereto subsequent to the filing
           thereof and prior to its effectiveness;

           5.  if requested by any Holders in connection with such exchange or
           sale, promptly include in any Registration Statement or Prospectus,
           pursuant to a supplement or post-effective amendment if necessary,
           such information as such Holders may reasonably request to have
           included therein, including, without limitation, information relating
           to the "Plan of Distribution" of the Transfer Restricted 8 3/8%
           Senior Notes; and make all required filings of such Prospectus
           supplement or post-effective amendment as soon as practicable after
           the Company is notified of the matters to be included in such
           Prospectus supplement or post-effective amendment;

                                      -12-

<PAGE>

           6.  furnish to each Holder in connection with such exchange or sale
           without charge, at least one copy of the Registration Statement, as
           first filed with the Commission, and of each amendment thereto,
           including all exhibits;

           7.  deliver to each Holder without charge, as many copies of the
           Prospectus (including each preliminary prospectus) and any amendment
           or supplement thereto as such Persons reasonably may request; the
           Company hereby consents to the use (in accordance with law) of the
           Prospectus and any amendment or supplement thereto by each selling
           Holder in connection with the offering and the sale of the Transfer
           Restricted 8 3/8% Senior Notes covered by the Prospectus or any
           amendment or supplement thereto;

           8.  in the case of a Shelf Registration Statement, upon the request
           of Holders who own a majority in aggregate principal amount of the
           Transfer Restricted 8 3/8% Senior Notes at the time outstanding,
           enter into such agreements (including underwriting agreements) and
           make such representations and warranties and take all such other
           actions in connection therewith in order to expedite or facilitate
           the disposition of the Transfer Restricted 8 3/8% Senior Notes
           pursuant to a Shelf Registration Statement as may be reasonably
           requested by such Holders in connection with any sale or resale
           pursuant to a Shelf Registration Statement. In such connection, the
           Company shall:

               a.   upon request of Holders who own a majority in aggregate
               principal amount of the Transfer Restricted 8 3/8% Senior Notes
               at the time outstanding, furnish to each Holder (or in the case
               of paragraphs (2) and (3), use its reasonable best efforts to
               cause to be furnished to Holders requesting such items), upon the
               effectiveness of the Shelf Registration Statement:

                    (1)   a certificate, dated such date, signed on behalf of
                    the Company by (x) the President or any Vice President and
                    (y) a principal financial or accounting officer of the
                    Company, confirming, as of the date thereof, the matters set
                    forth in Sections 2(a) (to the extent they relate to the
                    Shelf Registration Statement), 2(g) and 2(q) of the Purchase
                    Agreement and such other similar matters as such Holders may
                    reasonably request;

                    (2)  an opinion, dated the date of effectiveness of the
                    Shelf Registration Statement, of counsel for the Company in
                    customary form and covering such matters of the type
                    customarily covered by such an opinion as the requesting
                    Holders may reasonably request, and in any event including a
                    statement to the effect that such counsel has participated
                    in conferences with officers and other representatives of
                    the Company, representatives of the independent public
                    accountants for the Company and although such counsel has
                    not independently verified the accuracy, completeness or
                    fairness of such statements, such counsel advises that, on
                    the basis of the

                                      -13-

<PAGE>

                    foregoing, no facts came to such counsel's attention that
                    caused such counsel to believe that the applicable
                    Registration Statement, at the time such Registration
                    Statement or any post-effective amendment thereto became
                    effective, contained an untrue statement of a material fact
                    or omitted to state a material fact required to be stated
                    therein or necessary to make the statements therein not
                    misleading, or that the Prospectus contained in such
                    Registration Statement as of its date, contained an untrue
                    statement of a material fact or omitted to state a material
                    fact necessary in order to make the statements therein, in
                    the light of the circumstances under which they were made,
                    not misleading. Without limiting the foregoing, such counsel
                    may state further that such counsel assumes no
                    responsibility for, and has not independently verified, the
                    accuracy, completeness or fairness of the financial
                    statements, notes and schedules and other financial data
                    included in such Registration Statement or the related
                    Prospectus; and

                    (3) a customary comfort letter, dated as of the date of
                    effectiveness of the Shelf Registration Statement, from the
                    Company's independent accountants, in the customary form and
                    covering matters of the type customarily covered in comfort
                    letters to underwriters in connection with underwritten
                    offerings; and

               b.   deliver such other documents and certificates as may be
               reasonably requested by the selling Holders to evidence
               compliance with the matters covered in clause (A) above and with
               any customary conditions contained in any agreement entered into
               by the Company pursuant to this clause (8); and

          9. prior to any public offering of Transfer Restricted 8 3/8% Senior
          Notes, cooperate with the selling Holders and their counsel in
          connection with the registration and qualification of the Transfer
          Restricted 8 3/8% Senior Notes under the securities or Blue Sky laws
          of such jurisdictions as the selling Holders may request and do any
          and all other acts or things necessary or advisable to enable the
          disposition in such jurisdictions of the Transfer Restricted 8 3/8%
          Senior Notes covered by the applicable Registration Statement;
          provided, however, that the Company shall not be required to register
          or qualify as a foreign corporation where it is not now so qualified
          or to take any action that would subject it to the service of process
          in suits or to taxation, other than as to matters and transactions
          relating to the Registration Statement, in any jurisdiction where it
          is not now so subject.

   (e).   Restrictions on Holders. Each Holder's acquisition of a Transfer
   Restricted Security constitutes such Holder's agreement that, upon receipt
   of the notice referred to in Section 6(d)(i)(C) or any notice from the
   Company of the existence of any fact of the kind described in Section
   6(d)(i)(D) hereof (in each case, a "Suspension Notice"), such

                                      -14-

<PAGE>

     Holder will forthwith discontinue disposition of Transfer Restricted 8 3/8%
     Senior Notes pursuant to the applicable Registration Statement until (i)
     such Holder has received copies of the supplemented or amended Prospectus
     contemplated by Section 6(d)(ii) hereof, or (ii) such Holder is advised in
     writing by the Company that the use of the Prospectus may be resumed, and
     has received copies of any additional or supplemental filings that are
     incorporated by reference in the Prospectus (in each case, the
     "Recommencement Date"). Each Holder receiving a Suspension Notice shall be
     required to either (i) destroy any Prospectuses, other than permanent file
     copies, then in such Holder's possession which have been replaced by the
     Company with more recently dated Prospectuses or (ii) deliver to the
     Company (at the Company's expense) all copies, other than permanent file
     copies, then in such Holder's possession of the Prospectus covering such
     Transfer Restricted 8 3/8% Senior Notes that was current at the time of
     receipt of the Suspension Notice. The time period regarding the
     effectiveness of such Registration Statement set forth in Section 3 or 4
     hereof, as applicable, shall be extended by a number of days equal to the
     number of days in the period from and including the date of delivery of the
     Suspension Notice to the date of delivery of the Recommencement Date.

SECTION 7. REGISTRATION EXPENSES

     (a).  All expenses incident to the Company's performance of or compliance
     with this Agreement will be borne by the Company, regardless of whether a
     Registration Statement becomes effective, including without limitation: (i)
     all registration and filing fees and expenses; (ii) all fees and expenses
     of compliance with federal securities and state Blue Sky or securities
     laws; (iii) all expenses of printing (including certificates for the Series
     B Notes to be issued in the Exchange Offer and printing of Prospectuses),
     messenger and delivery services and telephone; (iv) all fees and
     disbursements of counsel for the Company, and one counsel for the Holders
     of Transfer Restricted 8 3/8% Senior Notes which shall be Latham & Watkins
     or such other counsel as may be selected by a majority of such Holders; (v)
     all application and filing fees in connection with listing the Series B
     Notes on a national securities exchange or automated quotation system
     pursuant to the requirements hereof; and (vi) all fees and disbursements of
     independent certified public accountants of the Company (including the
     expenses of any special audit and comfort letters required by or incident
     to such performance).

           The Company will, in any event, bear its internal expenses
(including, without limitation, all salaries and expenses of its officers and
employees performing legal or accounting duties), the expenses of any annual
audit and the fees and expenses of any Person, including special experts,
retained by the Company.

     (b).  In connection with any Registration Statement required by this
     Agreement (including, without limitation, the Exchange Offer Registration
     Statement and the Shelf Registration Statement), the Company will reimburse
     the Initial Purchaser and the Holders of Transfer Restricted 8 3/8% Senior
     Notes who are tendering Series A Notes into in the Exchange Offer and/or
     selling or reselling Series A Notes or Series B Notes pursuant to the "Plan
     of Distribution" contained in the Exchange Offer Registration Statement or
     the Shelf Registration Statement, as applicable, for the reasonable fees
     and

                                      -15-

<PAGE>

     disbursements of not more than one counsel, who shall be Latham & Watkins
     unless another firm shall be chosen by the Holders of a majority in
     principal amount of the Transfer Restricted 8 3/8% Senior Notes for whose
     benefit such Registration Statement is being prepared.

     (c).  Notwithstanding the foregoing, the Holders of the securities being
     registered shall pay all agency fees and commissions and underwriting
     discounts and commissions attributable to the sale of such securities and
     the fees and disbursements of any counsel or other advisors or experts
     retained by such Holders (severally or jointly), other than the counsel
     specifically referred to above.

SECTION 8. INDEMNIFICATION

     (a).  The Company agrees, to indemnify and hold harmless each Holder, its
     directors, officers and each Person, if any, who controls such Holder
     (within the meaning of Section 15 of the Act or Section 20 of the Exchange
     Act), from and against any and all losses, claims, damages, liabilities or
     judgments, (including without limitation, any legal or other expenses
     incurred in connection with investigating or defending any matter,
     including any action that could give rise to any such losses, claims,
     damages, liabilities or judgments) caused by any untrue statement or
     alleged untrue statement of a material fact contained in any Registration
     Statement, preliminary prospectus or Prospectus (or any amendment or
     supplement thereto) provided by the Company to any Holder or any
     prospective purchaser of Series B Notes or registered Series A Notes, or
     caused by any omission or alleged omission to state therein a material fact
     required to be stated therein or necessary to make the statements therein
     not misleading, except insofar as such losses, claims, damages, liabilities
     or judgments are caused by an untrue statement or omission or alleged
     untrue statement or omission that is based upon information relating to any
     of the Holders furnished in writing to the Company by any of the Holders.

     (b).  By its acquisition of Transfer Restricted 8 3/8% Senior Notes, each
     Holder of Transfer Restricted 8 3/8% Senior Notes agrees, severally and not
     jointly, to indemnify and hold harmless the Company, and its directors and
     officers, and each person, if any, who controls (within the meaning of
     Section 15 of the Act or Section 20 of the Exchange Act) the Company to the
     same extent as the foregoing indemnity from the Company set forth in
     section (a) above, but only with reference to information relating to such
     Holder furnished in writing to the Company by such Holder expressly for use
     in any Registration Statement. In no event shall any Holder, its directors,
     officers or any Person who controls such Holder be liable or responsible
     for any amount in excess of the amount by which the total amount received
     by such Holder with respect to its sale of Transfer Restricted 8 3/8%
     Senior Notes pursuant to a Registration Statement exceeds (i) the amount
     paid by such Holder for such Transfer Restricted 8 3/8% Senior Notes and
     (ii) the amount of any damages that such Holder, its directors, officers or
     any Person who controls such Holder has otherwise been required to pay by
     reason of such untrue or alleged untrue statement or omission or alleged
     omission.

     (c).  In case any action shall be commenced involving any person in respect
     of which indemnity may be sought pursuant to Section 8(a) or 8(b) (the
     "indemnified party"), the

                                      -16-

<PAGE>

     indemnified party shall promptly notify the person against whom such
     indemnity may be sought (the "indemnifying person") in writing and the
     indemnifying party shall assume the defense of such action, including the
     employment of counsel reasonably satisfactory to the indemnified party and
     the payment of all fees and expenses of such counsel, as incurred (except
     that in the case of any action in respect of which indemnity may be sought
     pursuant to both Sections 8(a) and 8(b), a Holder shall not be required to
     assume the defense of such action pursuant to this Section 8(c), but may
     employ separate counsel and participate in the defense thereof, but the
     fees and expenses of such counsel, except as provided below, shall be at
     the expense of the Holder). Any indemnified party shall have the right to
     employ separate counsel in any such action and participate in the defense
     thereof, but the fees and expenses of such counsel shall be at the expense
     of the indemnified party unless (i) the employment of such counsel shall
     have been specifically authorized in writing by the indemnifying party,
     (ii) the indemnifying party shall have failed to assume the defense of such
     action or employ counsel reasonably satisfactory to the indemnified party
     or (iii) the named parties to any such action (including any impleaded
     parties) include both the indemnified party and the indemnifying party, and
     the indemnified party shall have been advised by such counsel that there
     may be one or more legal defenses available to it which are different from
     or additional to those available to the indemnifying party (in which case
     the indemnifying party shall not have the right to assume the defense of
     such action on behalf of the indemnified party). In any such case, the
     indemnifying party shall not, in connection with any one action or separate
     but substantially similar or related actions in the same jurisdiction
     arising out of the same general allegations or circumstances, be liable for
     the fees and expenses of more than one separate firm of attorneys (in
     addition to any local counsel) for all indemnified parties and all such
     fees and expenses shall be reimbursed as they are incurred. Such firm shall
     be designated in writing by a majority of the Holders, in the case of the
     parties indemnified pursuant to Section 8(a), and by the Company, in the
     case of parties indemnified pursuant to Section 8(b). The indemnifying
     party shall indemnify and hold harmless the indemnified party from and
     against any and all losses, claims, damages, liabilities and judgments by
     reason of any settlement of any action effected with its written consent.
     No indemnifying party shall, without the prior written consent of the
     indemnified party, effect any settlement or compromise of, or consent to
     the entry of judgment with respect to, any pending or threatened action in
     respect of which the indemnified party is or could have been a party and
     indemnity or contribution may be or could have been sought hereunder by the
     indemnified party, unless such settlement, compromise or judgment (i)
     includes an unconditional release of the indemnified party from all
     liability on claims that are or could have been the subject matter of such
     action and (ii) does not include a statement as to or an admission of
     fault, culpability or a failure to act, by or on behalf of the indemnified
     party.

     (d).  To the extent that the indemnification provided for in this Section 8
     is unavailable to an indemnified party in respect of any losses, claims,
     damages, liabilities or judgments referred to therein, then each
     indemnifying party, in lieu of indemnifying such indemnified party, shall
     contribute to the amount paid or payable by such indemnified party as a
     result of such losses, claims, damages, liabilities or judgments (i) in
     such proportion as is appropriate to reflect the relative benefits received
     by the Company on the one hand, and the Holders, on the other hand, from
     their initial sale of Transfer

                                      -17-

<PAGE>

     Restricted 8 3/8% Senior Notes (or in the case of Series B Notes that are
     Transfer Restricted 8 3/8% Senior Notes, the sale of the Series A Notes for
     which such Series B Notes were exchanged) or (ii) if the allocation
     provided by clause 8(d)(i) is not permitted by applicable law, in such
     proportion as is appropriate to reflect not only the relative benefits
     referred to in clause 8(d)(i) above but also the relative fault of the
     Company on the one hand, and of the Holder, on the other hand, in
     connection with the statements or omissions which resulted in such losses,
     claims, damages, liabilities or judgments, as well as any other relevant
     equitable considerations. The relative fault of the Company on the one
     hand, and of the Holder, on the other hand, shall be determined by
     reference to, among other things, whether the untrue or alleged untrue
     statement of a material fact or the omission or alleged omission to state a
     material fact relates to information supplied by the Company on the one
     hand, or by the Holder, on the other hand, and the parties' relative
     intent, knowledge, access to information and opportunity to correct or
     prevent such statement or omission. The amount paid or payable by a party
     as a result of the losses, claims, damages, liabilities and judgments
     referred to above shall be deemed to include, subject to the applicable
     limitations set forth in this Section 8, any legal or other fees or
     expenses reasonably incurred by such party in connection with investigating
     or defending any action or claim.

            The Company and by its acquisition of Transfer Restricted 8 3/8%
Senior Notes, each Holder agree that it would not be just and equitable if
contribution pursuant to this Section 8(d) were determined by pro rata
allocation (even if the Holders were treated as one entity for such purpose) or
by any other method of allocation which does not take account of the equitable
considerations referred to in the immediately preceding paragraph. The amount
paid or payable by an indemnified party as a result of the losses, claims,
damages, liabilities or judgments referred to in the immediately preceding
paragraph shall be deemed to include, subject to the limitations set forth
above, any legal or other expenses reasonably incurred by such indemnified party
in connection with investigating or defending any matter, including any action
that could have given rise to such losses, claims, damages, liabilities or
judgments. Notwithstanding the provisions of this Section 8, no Holder, its
directors, its officers or any Person, if any, who controls such Holder shall be
required to contribute, in the aggregate, any amount in excess of the amount by
which the total received by such Holder with respect to the sale of Transfer
Restricted 8 3/8% Senior Notes pursuant to a Registration Statement exceeds (i)
the amount paid by such Holder for such Transfer Restricted 8 3/8% Senior Notes
and (ii) the amount of any damages which such Holder has otherwise been required
to pay by reason of such untrue or alleged untrue statement or omission or
alleged omission. No person guilty of fraudulent misrepresentation (within the
meaning of Section 11(f) of the Act) shall be entitled to contribution from any
person who was not guilty of such fraudulent misrepresentation. The Holders'
obligations to contribute pursuant to this Section 8(d) are several in
proportion to the respective principal amount of Transfer Restricted 8 3/8%
Senior Notes held by each Holder hereunder and not joint.

SECTION 9.  RULE 144A AND RULE 144

            The Company agrees with each Holder, for so long as any Transfer
Restricted 8 3/8% Senior Notes remain outstanding and during any period in which
the Company (i) is not subject to Section 13 or 15(d) of the Exchange Act, to
make available, upon request of any

                                      -18-

<PAGE>

Holder, to such Holder or beneficial owner of Transfer Restricted 8 3/8% Senior
Notes in connection with any sale thereof and any prospective purchaser of such
Transfer Restricted 8 3/8% Senior Notes designated by such Holder or beneficial
owner, the information required by Rule 144A(d)(4) under the Act in order to
permit resales of such Transfer Restricted 8 3/8% Senior Notes pursuant to Rule
144A, and (ii) is subject to Section 13 or 15(d) of the Exchange Act, to make
all filings required thereby in a timely manner in order to permit resales of
such Transfer Restricted 8 3/8% Senior Notes pursuant to Rule 144.

SECTION 10. MISCELLANEOUS

     (a).   Remedies. The Company acknowledges and agrees that any failure by
     the Company to comply with its obligations under Sections 3 and 4 hereof
     may result in material irreparable injury to the Initial Purchaser or the
     Holders for which there is no adequate remedy at law, that it will not be
     possible to measure damages for such injuries precisely and that, in the
     event of any such failure, the Initial Purchaser or any Holder may obtain
     such relief as may be required to specifically enforce the Company's
     obligations under Sections 3 and 4 hereof. The Company further agrees to
     waive the defense in any action for specific performance that a remedy at
     law would be adequate.

     (b).   No Inconsistent Agreements. The Company will not, on or after the
     date of this Agreement, enter into any agreement with respect to its
     securities that is inconsistent with the rights granted to the Holders in
     this Agreement or otherwise conflicts with the provisions hereof. The
     Company has not previously entered into any agreement granting any
     registration rights with respect to its securities to any Person that would
     require such securities to be included in any Registration Statement filed
     hereunder. The rights granted to the Holders hereunder do not in any way
     conflict with and are not inconsistent with the rights granted to the
     holders of the Company's securities under any agreement in effect on the
     date hereof.

     (c).   Amendments and Waivers. The provisions of this Agreement may not be
     amended, modified or supplemented, and waivers or consents to or departures
     from the provisions hereof may not be given unless (i) in the case of
     Section 5 hereof and this Section 10(c)(i), the Company has obtained the
     written consent of Holders of all outstanding Transfer Restricted 8 3/8%
     Senior Notes and (ii) in the case of all other provisions hereof, the
     Company has obtained the written consent of Holders of a majority of the
     outstanding principal amount of Transfer Restricted 8 3/8% Senior Notes
     (excluding Transfer Restricted 8 3/8% Senior Notes held by the Company or
     its Affiliates). Notwithstanding the foregoing, a waiver or consent to
     departure from the provisions hereof that relates exclusively to the rights
     of Holders whose Transfer Restricted 8 3/8% Senior Notes are being tendered
     pursuant to the Exchange Offer, and that does not affect directly or
     indirectly the rights of other Holders whose Transfer Restricted 8 3/8%
     Senior Notes are not being tendered pursuant to such Exchange Offer, may be
     given by the Holders of a majority of the outstanding principal amount of
     Transfer Restricted 8 3/8% Senior Notes subject to such Exchange Offer.

     (d).   Third Party Beneficiary. The Holders shall be third party
     beneficiaries to the agreements made hereunder between the Company, on the
     one hand, and the Initial

                                      -19-

<PAGE>

     Purchaser, on the other hand, and shall have the right to enforce such
     agreements directly to the extent they may deem such enforcement necessary
     or advisable to protect their rights hereunder.

     (e).  Notices. All notices and other communications provided for or
     permitted hereunder shall be made in writing by hand-delivery, first-class
     mail (registered or certified, return receipt requested), telex,
     telecopier, or air courier guaranteeing overnight delivery:

            1.    if to a Holder, at the address set forth on the records of the
            Registrar under the Indenture, with a copy to the Registrar under
            the Indenture; and

            2.    if to the Company, at 1500 S.W. First Avenue, Suite 200,
            Portland, Oregon 97201, Attention:  Maria Pope, with a copy (which
            shall not constitute notice) to Richard Josephson, Stoel Rives LLP,
            900 SW Fifth Avenue, Portland, Oregon 97202.

            All such notices and communications shall be deemed to have been
duly given at the time delivered by hand, when receipt acknowledged, if
telecopied; and on the next business day, if timely delivered to an air courier
guaranteeing overnight delivery.

            Copies of all such notices, demands or other communications shall be
concurrently delivered by the Person giving the same to the Trustee at the
address specified in the Indenture.

     (f).   Successors and Assigns. This Agreement shall inure to the benefit of
     and be binding upon the successors and assigns of each of the parties,
     including without limitation and without the need for an express
     assignment, subsequent Holders; provided, that nothing herein shall be
     deemed to permit any assignment, transfer or other disposition of Transfer
     Restricted 8 3/8% Senior Notes in violation of the terms hereof or of the
     Purchase Agreement or the Indenture. If any transferee of any Holder shall
     acquire Transfer Restricted 8 3/8% Senior Notes in any manner, whether by
     operation of law or otherwise, such Transfer Restricted 8 3/8% Senior Notes
     shall be held subject to all of the terms of this Agreement, and by taking
     and holding such Transfer Restricted 8 3/8% Senior Notes such Person shall
     be conclusively deemed to have agreed to be bound by and to perform all of
     the terms and provisions of this Agreement, including the restrictions on
     resale set forth in this Agreement and, if applicable, the Purchase
     Agreement, and such Person shall be entitled to receive the benefits
     hereof.

     (g).   Counterparts. This Agreement may be executed in any number of
     counterparts and by the parties hereto in separate counterparts, each of
     which when so executed shall be deemed to be an original and all of which
     taken together shall constitute one and the same agreement.

     (h).   Headings. The headings in this Agreement are for convenience of
     reference only and shall not limit or otherwise affect the meaning hereof.

                                      -20-

<PAGE>

     (i).   Governing Law. THIS AGREEMENT SHALL BE GOVERNED BY AND CONSTRUED IN
     ACCORDANCE WITH THE LAWS OF THE STATE OF NEW YORK, WITHOUT REGARD TO THE
     CONFLICT OF LAW RULES THEREOF.

     (j).   Severability. In the event that any one or more of the provisions
     contained herein, or the application thereof in any circumstance, is held
     invalid, illegal or unenforceable, the validity, legality and
     enforceability of any such provision in every other respect and of the
     remaining provisions contained herein shall not be affected or impaired
     thereby.

     (k).   Entire Agreement. This Agreement is intended by the parties as a
     final expression of their agreement and intended to be a complete and
     exclusive statement of the agreement and understanding of the parties
     hereto in respect of the subject matter contained herein. There are no
     restrictions, promises, warranties or undertakings, other than those set
     forth or referred to herein with respect to the registration rights granted
     with respect to the Transfer Restricted 8 3/8% Senior Notes. This Agreement
     supersedes all prior agreements and understandings between the parties with
     respect to such subject matter.

                                      -21-

<PAGE>

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

                              POPE & TALBOT, INC.

                              By: /s/ MICHAEL FLANNERY
                                  ----------------------------------------------
                              Name:  Michael Flannery
                              Title: President and Chief Executive Officer

                              By: /s/ MARIA M. POPE
                                  ----------------------------------------------
                              Name:  Maria M. Pope
                              Title: Vice President and Chief Financial Officer

BMO NESBITT BURNS CORP.

By: /s/ JAMES J. MOGLIA
    ----------------------------------
Name:  James J. Moglia
Title: Executive Managing Director

                                      -22-

<PAGE>

                                                                       Exhibit A

                               POPE & TALBOT, INC.

                        Notice of Registration Statement
                                       and
                      Selling Securityholder Questionnaire

                                 _________, 200_

Reference is hereby made to the Registration Rights Agreement (the "Registration
Rights Agreement") between Pope & Talbot, Inc. (the "Company") and the Purchaser
named therein. Pursuant to the Registration Rights Agreement, the Company has
filed with the United States Securities and Exchange Commission (the
"Commission") a registration statement on Form __ (the "Shelf Registration
Statement") for the registration and resale under Rule 415 of the Securities Act
of 1933, as amended (the "Securities Act"), of the Company's 8 3/8% Senior Notes
due 2013 (the "Securities"). A copy of the Registration Rights Agreement is
attached hereto. All capitalized terms not otherwise defined herein shall have
the meanings ascribed thereto in the Registration Rights Agreement.

Each beneficial owner of Registrable Securities (as defined below) is entitled
to have the Registrable Securities beneficially owned by it included in the
Shelf Registration Statement. In order to have Registrable Securities included
in the Shelf Registration Statement, this Notice of Registration Statement and
Selling Securityholder Questionnaire ("Notice and Questionnaire") must be
completed, executed and delivered to the Company's counsel at the address set
forth herein for receipt ON OR BEFORE [Deadline for Response]. Beneficial owners
of Registrable Securities who do not complete, execute and return this Notice
and Questionnaire by such date (i) will not be named as selling securityholders
in the Shelf Registration Statement and (ii) may not use the Prospectus forming
a part thereof for resales of Registrable Securities.

Certain legal consequences arise from being named as a selling securityholder in
the Shelf Registration Statement and related Prospectus. Accordingly, holders
and beneficial owners of Registrable Securities are advised to consult their own
securities law counsel regarding the consequences of being named or not being
named as a selling securityholder in the Shelf Registration Statement and
related Prospectus.

The term "Registrable Securities" means the Series A Notes as defined in the
Registration Rights Agreement.

                                      A-1

<PAGE>

                                    ELECTION

The undersigned holder (the "Selling Securityholder") of Registrable Securities
hereby elects to include in the Shelf Registration Statement the Registrable
Securities beneficially owned by it and listed below in Item (3). The
undersigned, by signing and returning this Notice and Questionnaire, agrees to
be bound with respect to such Registrable Securities by the terms and conditions
of this Notice and Questionnaire and the Registration Rights Agreement,
including, without limitation, Section 8 of the Registration Rights Agreement,
as if the undersigned Selling Securityholder were an original party thereto.

Upon any sale of Registrable Securities pursuant to the Shelf Registration
Statement, the Selling Securityholder will be required to deliver to the Company
and Trustee the Notice of Transfer set forth in Exhibit B to the Registration
Rights Agreement.

The Selling Securityholder hereby provides the following information to the
Company and represents and warrants that such information is accurate and
complete:

                                      A-2

<PAGE>

                                  QUESTIONNAIRE

(1) (a) Full Legal Name of Selling Securityholder:

    (b) Full Legal Name of Registered Holder (if not the same as in (a) above)
        of Registrable Securities Listed in Item (3) below:

    (c) Full Legal Name of DTC Participant (if applicable and if not the same
        as (b) above) Through Which Registrable Securities Listed in Item (3)
        below are Held:

(2)     Address for Notices to Selling Securityholder:
        _________________
        _________________
        _________________
        Telephone:      _________________________
        Fax:            _________________________
        Contact Person: _________________________

(3)     Beneficial Ownership of Securities:

        Except as set forth below in this Item (3), the undersigned does not
        beneficially own any Securities.

    (a) Principal amount of Registrable Securities beneficially owned:__________
        CUSIP No(s). of such Registrable Securities:____________________________

    (b) Principal amount of Securities other than Registrable Securities
        beneficially owned:
        ________________________________________________________________________
        CUSIP No(s). of such other Securities: _________________________________

    (c) Principal amount of Registrable Securities which the undersigned wishes
        to be included in the Shelf Registration Statement:_____________________
        CUSIP No(s). of such Registrable Securities to be included in the Shelf
        Registration Statement:_________________________________________________

(4)     Beneficial Ownership of Other Securities of the Company:

        Except as set forth below in this Item (4), the undersigned Selling
        Securityholder is not the beneficial or registered owner of any
        other securities of the Company, other than the Securities listed
        above in Item (3).

        State any exceptions here:

                                      A-3

<PAGE>

(5)     Relationships with the Company:

        Except as set forth below, neither the Selling Securityholder nor any of
        its affiliates, officers, directors or principal equity holders (5% or
        more) has held any position or office or has had any other material
        relationship with the Company (or its predecessors or affiliates) during
        the past three years.

        State any exceptions here:

(6)     Plan of Distribution:

        Except as set forth below, the undersigned Selling Securityholder
        intends to distribute the Registrable Securities listed above in Item
        (3) only as follows (if at all): Such Registrable Securities may be sold
        from time to time directly by the undersigned Selling Securityholder or,
        alternatively, through underwriters, broker-dealers or agents. Such
        Registrable Securities may be sold in one or more transactions at fixed
        prices, at prevailing market prices at the time of sale, at varying
        prices determined at the time of sale, or at negotiated prices. Such
        sales may be effected in transactions (which may involve crosses or
        block transactions) (i) on any national securities exchange or quotation
        service on which the Registered Securities may be listed or quoted at
        the time of sale, (ii) in the over-the-counter market, (iii) in
        transactions otherwise than on such exchanges or services or in the
        over-the-counter market, or (iv) through the writing of options. In
        connection with sales of the Registrable Securities or otherwise, the
        Selling Securityholder may enter into hedging transactions with
        broker-dealers, which may in turn engage in short sales of the
        Registrable Securities in the course of hedging the positions they
        assume. The Selling Securityholder may also sell Registrable Securities
        short and deliver Registrable Securities to close out such short
        positions, or loan or pledge Registrable Securities to broker-dealers
        that in turn may sell such securities.

        State any exceptions here:

By signing below, the Selling Securityholder acknowledges that it understands
its obligation to comply, and agrees that it will comply, with the provisions of
the Exchange Act and the rules and regulations thereunder, particularly
Regulation M.

In the event that the Selling Securityholder transfers all or any portion of the
Registrable Securities listed in Item (3) above after the date on which such
information is provided to the Company, the Selling Securityholder agrees to
notify the transferee(s) at the time of the transfer of its rights and
obligations under this Notice and Questionnaire and the Registration Rights
Agreement.

                                      A-4

<PAGE>

By signing below, the Selling Securityholder consents to the disclosure of the
information contained herein in its answers to Items (1) through (6) above and
the inclusion of such information in the Shelf Registration Statement and
related Prospectus. The Selling Securityholder understands that such information
will be relied upon by the Company in connection with the preparation of the
Shelf Registration Statement and related Prospectus.

In accordance with the Selling Securityholder's obligation under Section 4(b) of
the Registration Rights Agreement to provide such information as may be required
by law for inclusion in the Shelf Registration Statement, the Selling
Securityholder agrees to promptly notify the Company of any inaccuracies or
changes in the information provided herein which may occur subsequent to the
date hereof at any time while the Shelf Registration Statement remains in
effect. All notices hereunder and pursuant to the Registration Rights Agreement
shall be made in writing, by hand-delivery, first-class mail, or air courier
guaranteeing overnight delivery as follows:

                  (i)    To the Company:

                                                   Pope & Talbot, Inc.

                                                   1500 SW First Ave.

                                                   Portland, OR 97201

                                                   Attn: ________________

                  (ii)   With a copy to:
                                                   Stoel Rives LLP

                                                   900 SW Fifth Avenue

                                                   Suite 2600

                                                   Portland, OR  97204

                                                   Attn: Stuart Chestler

Once this Notice and Questionnaire is executed by the Selling Securityholder and
received by the Company's counsel, the terms of this Notice and Questionnaire,
and the representations and warranties contained herein, shall be binding on,
shall inure to the benefit of and shall be enforceable by the respective
successors, heirs, personal representatives, and assigns of the Company and the
Selling Securityholder (with respect to the Registrable Securities beneficially
owned by such Selling Securityholder and listed in Item (3) above. This
Agreement shall be governed in all respects by the laws of the State of New
York.

                                      A-5

<PAGE>

IN WITNESS WHEREOF, the undersigned, by authority duly given, has caused this
Notice and Questionnaire to be executed and delivered either in person or by its
duly authorized agent.

Dated: ________________________

               _________________________________________________________________
               Selling Securityholder
               (Print/type full legal name of beneficial owner of Registrable
               Securities)

               By: _____________________________________________________________
               Name:
               Title:

PLEASE RETURN THE COMPLETED AND EXECUTED NOTICE AND QUESTIONNAIRE FOR RECEIPT ON
OR BEFORE [DEADLINE FOR RESPONSE] TO THE COMPANY'S COUNSEL AT:

                             Stoel Rives LLP

                             900 SW Fifth Avenue

                             Suite 2600

                             Portland, OR 97204

                             Attn: Stuart Chestler

                                      A-6

<PAGE>

              NOTICE OF TRANSFER PURSUANT TO REGISTRATION STATEMENT

[Name of Trustee]
Pope & Talbot, Inc,
c/o [Name of Trustee]
[Address of Trustee]

Attention: Trust Officer

         Re:   Pope & Talbot, Inc. (the "Company")
               8 3/8% Senior Notes due 2013

Dear Sirs:

Please be advised that ____________________ has transferred $___________________
aggregate principal amount of the above-referenced  Notes pursuant to an
effective Registration Statement on Form ____ (File No. 333-________) filed by
the Company.

We hereby certify that the prospectus delivery requirements, if any, of the
Securities Act of 1933, as amended, have been satisfied and that the above-named
beneficial owner of the Notes is named as a "Selling Holder" in the Prospectus
dated ____, 200_ or in supplements thereto, and that the aggregate principal
amount of the Notes transferred are the Notes listed in such Prospectus opposite
such owner's name.

Dated:

                                 Very truly yours,

                                     ___________________________
                                     (Name)

                                 By: ___________________________
                                     (Authorized Signature)<PAGE>

                                                                    Exhibit 10.8

                            FIRST AMENDING AGREEMENT
                                       TO
                                CREDIT AGREEMENT

           THIS AMENDING AGREEMENT is dated this 22nd day of May, 2002

AMONG:

          POPE & TALBOT LTD., a company formed by amalgamation under the laws of
          the Province of British Columbia

          (the "Acquisition Borrower")
                                                               OF THE FIRST PART

AND:

          P&T FUNDING LIMITED PARTNERSHIP, a limited partnership formed under
          the laws of the Province of British Columbia

          (the "Operating Borrower")
                                                              OF THE SECOND PART

AND:

          MACKENZIE PULP LAND LTD., a company formed by incorporation under the
          laws of the Province of British Columbia

          (the "Guarantor")
                                                               OF THE THIRD PART

AND:

          EACH OF THE LENDERS NAMED ON THE SIGNATURE PAGES OF THIS AGREEMENT

          (collectively, the "Lenders")
                                                              OF THE FOURTH PART

AND:

          THE TORONTO-DOMINION BANK

          (the "Administration Agent")
                                                               OF THE FIFTH PART

WHEREAS:

A.    The Acquisition Borrower, the Operating Borrower, the Guarantor, Pope &
Talbot Mackenzie Pulp Operations Ltd. ("Mackenzie Pulp"), the Lenders and the
Administration Agent

<PAGE>

                                      -2-

entered into a Credit Agreement dated as of June 15, 2001 (the "Credit
Agreement") under which, inter alia, the Lenders made available to the Operating
Borrower an extendible revolving term facility (the "Operating Facility") in the
maximum amount of Cdn$110,000,000 (or the Equivalent Amount in US Dollars);

B.   On December 31, 2001, in the course of the winding-up of Mackenzie Pulp
pursuant to the Business Corporations Act (Alberta), Mackenzie Pulp transferred
all of its assets to the Acquisition Borrower and the Acquisition Borrower
assumed all of the obligations of Mackenzie Pulp. In connection with the
winding-up of Mackenzie Pulp:

     (i)   the Acquisition Borrower executed and delivered to the Administration
           Agent a debenture in the principal amount of Cdn.$160,000,000
           containing a fixed charge over all real property interests, and a
           floating charge and security interest over all present and
           after-acquired personal property, of the Acquisition Borrower
           relating to the pulp mill and related facilities and operations
           located in Mackenzie, British Columbia (collectively, the "Mackenzie
           Pulp Mill") acquired by the Acquisition Borrower from Mackenzie Pulp;

     (ii)  the Acquisition Borrower and the Land Trustee entered into a new
           beneficiary authorization and charge agreement in favour of the
           Administration Agent; and

     (iii) the Administration Agent, with the consent of the Lenders, released
           and discharged the Mackenzie Pulp Debenture, the Mackenzie Pulp
           Security Agreement and the original Beneficiary Authorization and
           Charge;

C.   On January 1, 2002, the Borrowers effected, with the acceptance of the
Lenders, a change of credit insurance underwriter for the Eligible Insured
Accounts Receivable from the Foreign Credit Insurance Association to AIG Global
Trade & Political Risk Insurance Company;

D.   The Operating Borrower has requested and the Lenders have agreed to the
extension of the Conversion Date for the Operating Facility under the Credit
Agreement, currently June 14, 2002, for a further 364 days, together with an
increase in the drawn and undrawn pricing spread on the Operating Facility; and

E.   The parties have agreed to enter into this Agreement to record such
amendments to the Credit Agreement.

     NOW THEREFORE THIS AGREEMENT WITNESSES that, for good and valuable
consideration (the receipt and sufficiency of which are acknowledged by all
parties), the parties covenant and agree as follows:

1.   Defined Terms. Unless otherwise defined in this Agreement, capitalized
terms used in this Agreement (including the recitals) shall have the meanings
ascribed to them in the Credit Agreement.

2.   Amendments. The Credit Agreement is hereby amended as follows, with effect
as and from the date hereof unless otherwise indicated:

<PAGE>

                                      -3-

     (a)  The definition of "Beneficiary Authorization and Charge" in Section
          1.1(r) of the Credit Agreement is amended by deleting "Mackenzie Pulp"
          wherever it appears and substituting "the Acquisition Borrower".

     (b)  The definition of "Conversion Date" in Section 1.1(ai) of the Credit
          Agreement is amended by deleting "June 14, 2002" and substituting
          "June 13, 2003".

     (c)  The definition of "Eligible Insured Accounts Receivable" in Section
          1.1(aq) of the Credit Agreement is amended by deleting "either the
          Foreign Credit Insurance Association ("FCIA") or Great American
          Insurance Co. ("GAI"), a wholly owned subsidiary of American Financial
          Group, Inc." therefrom and substituting the following:

                  "the Foreign Credit Insurance Association ("FCIA"), Great
                  American Insurance Co. ("GAI"), a wholly owned subsidiary of
                  American Financial Group, Inc., or AIG Global Trade &
                  Political Risk Insurance Company ("AIG")"

          and by adding "or AIG, as the case may be" after "GAI" in paragraph
          (ii) thereof.

     (d)  The definition of "Guarantors" in Section 1.1(bg) of the Credit
          Agreement is amended by deleting paragraph (i) thereof and renumbering
          paragraphs (ii) through (iv) as paragraphs (i) through (iii).

     (e)  The definition of "Material Subsidiary" in Section 1.1(cn) of the
          Credit Agreement is amended by deleting the words "Mackenzie Pulp and"
          in the last line thereof.

     (f)  A new definition of "Pope & Talbot Canada Debenture" is added as
          Section 1.1(df.1) of the Credit Agreement as follows:

          "(df.1) "Pope & Talbot Canada Debenture" means a debenture in the
                  principal amount of Cdn.$160,000,000, executed by the
                  Acquisition Borrower in favour of the Administration Agent
                  for the benefit of the Lenders, containing a fixed charge over
                  all real property interests, and a floating charge and
                  security interest over all present and after-acquired personal
                  property of, the Acquisition Borrower in connection with the
                  Mackenzie Mill, in form and content satisfactory to the
                  Lenders."

     (g)  The definition of "Security Documents" in Section 1.1(ds) of the
          Credit Agreement is amended by:

          (i)     deleting paragraphs (v) and (vi);

          (ii)    adding a new paragraph (v) as set out below:

                  "(v) the Pope & Talbot Canada Debenture"; and

          (iii)   renumbering paragraphs (vii) to (ix) as paragraphs (vi) to
                  (viii).

<PAGE>

                                      -4-

     (h)  Section 2.25 of the Credit Agreement is amended, with effect as and
          from June 14, 2002, by deleting "25 basis points per annum" from the
          seventeenth line thereof and substituting "45 basis points per annum".

     (i)  Section 3.12 of the Credit Agreement is amended, with effect as and
          from June 14, 2002, by:

          (i)   adding ", plus 25 basis points per annum" at the end of
                paragraphs (b)(i)(A) and (B) thereof;

          (ii)  deleting "100 basis points per annum" from the end of paragraph
                (b)(i)(C) thereof and substituting "125 basis points per annum";

          (iii) deleting "25 basis points per annum" from the end of paragraphs
                (b)(ii)(A) and (B) thereof and substituting "50 basis points per
                annum"; and

          (iv)  deleting "125 basis points per annum" from the end of paragraph
                (b)(ii)(C) thereof and substituting "150 basis points per
                annum".

     (j)  Section 4.5 of the Credit Agreement is amended, with effect as and
          from June 14, 2002, by:

          (i)   deleting "100 basis points" from paragraph (b)(i) thereof and
                substituting "125 basis points"; and

          (ii)  deleting "125 basis points" from paragraph (b)(ii) thereof and
                substituting "150 basis points".

     (k)  Section 5.3 of the Credit Agreement is amended, with effect as and
          from June 14. 2002, by:

          (i)   deleting "100 basis points" from the second line thereof and
                substituting "125 basis points"; and

          (ii)  deleting "125 basis points" from the third line thereof and
                substituting "150 basis points".

     (l)  Section 11.4 of the Credit Agreement is amended by deleting the words
          "the Mackenzie Pulp Debenture" in the last sentence thereof and
          substituting the words "the Pope & Talbot Canada Debenture".

     (m)  The form of Margin Report set out in Schedule 4 to the Credit
          Agreement is amended by deleting the column headed "Mackenzie Pulp".

     (n)  Schedule 5 to the Credit Agreement is amended by deleting the
          reference therein to Mackenzie Pulp as a Material Subsidiary of Pope &
          Talbot Canada.

3.   Guarantor's Consent. The Guarantor hereby:

     (a)  consents to the amendments to the Credit Agreement effected pursuant
          to this Agreement;

     (b)  confirms that its guarantee obligations pursuant to Article 10 of the
          Credit Agreement (the "Guarantee") remain in full force and effect,
          and shall include any modifications to the obligations of the
          Borrowers effected pursuant to this Agreement; and

     (c)  acknowledges and agrees that, notwithstanding its execution of this
          Agreement, the Credit Agreement (as amended by this Agreement) may, as
          provided in Section 10.2 of the Credit Agreement, be further amended
          without its consent and without diminishing its liability under the
          Guarantee (including any liability arising from such further
          amendments).

4.   Representations and Warranties of Borrowers and Guarantor. To induce the
Lenders to execute and deliver this Agreement, each of the Borrowers and the
Guarantor represents and warrants to the Lenders (which representations shall
survive the execution and delivery of this Agreement, and each of which shall be
deemed to be a representation for purposes of Section 12.1(e) of the Credit
Agreement) that:

<PAGE>

                                      -5-

     (a)  this Agreement has been duly authorized, executed and delivered by
          each Borrower and the Guarantor and constitutes a legal, valid and
          binding obligation, contract and agreement of each Borrower and the
          Guarantor, enforceable against it in accordance with its terms, except
          as enforcement may be limited by bankruptcy, insolvency,
          reorganization, moratorium or similar laws or equitable principles
          relating to or limiting creditors' rights generally;

     (b)  the execution, delivery and performance by each Borrower and the
          Guarantor of this Agreement:

          (i)   has been duly authorized by all necessary action of each
                Borrower and the Guarantor and, if required, shareholder action:

          (ii)  does not require the consent or approval of any governmental or
                regulatory body or agency;

          (iii) will not violate any provision of law, statute, rule or
                regulation or its organizational documents, any order of any
                court or any rule, regulation or order of any agency or
                government binding upon it, or any provision of any material
                indenture, agreement or other instrument to which it is a party
                or by which its properties or assets are or may be bound; and

          (iv)  will not result in a breach or constitute (alone or with due
                notice or lapse or time or both) a default under any material
                indenture, agreement or other instrument to which it is a party
                or by which its properties or assets are or may be bound;

     (c)  as of the date hereof and after giving effect to this Agreement, no
          Default or Event of Default has occurred and is continuing; and

     (d)  all the representations and warranties contained in Article 7 of the
          Credit Agreement are true and correct in all material respects with
          the same force and effect as if made by each Borrower on and as of the
          date hereof, except to the extent that such representations and
          warranties specifically relate to an earlier date, in which case they
          are true and correct as such earlier date.

5.   Payment of Expenses. Without limiting the Borrowers' obligations to the
Lenders under Section 14.5 of the Credit Agreement, the Borrowers jointly and
severally agree to pay upon demand the reasonable costs and expenses of the
Administration Agent and the Lenders and their counsel in connection with the
negotiation, preparation, approval, execution and delivery of this Agreement.

6.   Limited Effect and Confirmation of Credit Agreement. This Agreement is
limited to the matters set forth herein and, except as expressly set forth
herein, nothing herein shall constitute (or be implied to constitute) an
amendment of any term or provision of the Credit Agreement. Except as expressly
amended hereby, the terms and conditions of the Credit Agreement shall continue
in full force and effect.

<PAGE>

                                      -6-

7.   Counterparts and Facsimile. This Agreement may be executed in any number of
counterparts and by facsimile, all of which taken together shall constitute one
Agreement, and any of the parties hereto may execute this Agreement by signing
such a counterpart.

8.   Governing Law. This Agreement shall be construed in accordance with and
governed by the laws of the Province of British Columbia and the laws of Canada
applicable therein.

9.   Successors and Assigns. This Agreement shall enure to the benefit of and be
binding upon the parties to this Agreement and their respective successors and
permitted assigns.

     IN WITNESS WHEREOF the parties hereto have caused this Agreement to be
executed as of the date first above written.

POPE & TALBOT LTD.

Per:   /s/  Maria Pope
       -------------------------------
       Authorized Signatory

P&T FUNDING LIMITED PARTNERSHIP
by its General Partner,
POPE & TALBOT LTD.

Per:   /s/  Maria Pope
       -------------------------------
       Authorized Signatory

MACKENZIE PULP LAND LTD.

Per:   /s/  Maria Pope
       -------------------------------
       Authorized Signatory

THE TORONTO-DOMINION BANK,
as Lender

Per:   /s/ Frazer Scott
       -------------------------------
       Authorized Signatory

<PAGE>

                                      -7-

BANK OF MONTREAL,
as Lender

Per:   /s/ Dana Fleury
       -------------------------------
       Authorized Signatory

THE BANK OF NOVA SCOTIA,
as Lender

Per:   /s/ Kurt Foellmer
       -------------------------------
       Authorized Signatory

Per:   /s/ Arthur Okamoto
       -------------------------------
       Authorized Signatory

THE TORONTO-DOMINION BANK,
as Administration Agent

Per:   /s/ Nigel Sharpley
       -------------------------------
       Authorized Signatory

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00042-of-00352.parquet"}]]