Document:

MARINE PRODUCTS CORPORATION

                       2001 EMPLOYEE STOCK INCENTIVE PLAN

SECTION 1.      PURPOSES; DEFINITIONS.

     The  purpose  of  the  Marine  Products  Corporation  2001  Employee  Stock
Incentive  Plan (the  "Plan")  is to enable  Marine  Products  Corporation  (the
"Company")  to attract,  retain and reward  directors  and key  employees of the
Company and its  Subsidiaries  and  Affiliates,  and strengthen the mutuality of
interests between such persons and the Company's shareholders,  by offering such
persons  performance-based  stock  incentives  and/or other equity  interests or
equity-based incentives in the Company, as well as performance-based  incentives
payable in cash.

     For  purposes  of this Plan,  the  following  terms shall be defined as set
forth below:

     1. "Affiliate" means any entity other than the Company and its Subsidiaries
that is designated  by the Board as a  participating  employer  under this Plan,
provided  that the  Company  directly  or  indirectly  owns at least  20% of the
combined  voting power of all classes of stock of such entity or at least 50% of
the ownership interests in such entity.

     2. "Board" means the Board of Directors of the Company.

     3.  "Book  Value"  means,   at  any  given  date,   (i)  the   consolidated
stockholders'  equity  in the  Company  and its  Subsidiaries,  as  shown on the
Company's  consolidated balance sheet as of the end of the immediately preceding
fiscal year,  subject to such  adjustments as the Committee  shall in good faith
specify at or after grant,  divided by (ii) the number of shares of  Outstanding
Stock as of such  year-end  date (as adjusted by the  Committee  for  subsequent
events).

     4. "Code" means the Internal  Revenue Code of 1986, as amended from time to
time, and any successor thereto.

     5. "Committee"  means the Committee  referred to in Section 2 of this Plan.
If at any time no  Committee  shall be in  office,  then  the  functions  of the
Committee  specified  in  this  Plan  may  be  exercised  by  the  Board  or the
Compensation Committee of the Board, as set forth in Section 2 hereof.

     6. "Company" means Marine  Products  Corporation,  a corporation  organized
under the laws of the State of Delaware, or any successor corporation.

     7. "Disability" means disability as determined under procedures established
by the Committee for purposes of this Plan and shall in all events be consistent
with the definition of "disabled" provided in Sections 422(c)(6) and 22(e)(3) of
the Code.

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     8. "Early  Retirement" means retirement with the express written consent of
the  Committee  (given for  purposes  of this Plan only at or before the time of
such retirement)  from active  employment with the Company and/or any Subsidiary
or Affiliate or pursuant to the early  retirement  provisions of the  applicable
pension plan of such entity.

     9. "Fair  Market  Value"  means,  as of any given  date,  unless  otherwise
determined by the Committee in good faith:

          (i) if the  Stock  is  listed  on an  established  stock  exchange  or
     exchanges,  or traded on the NASDAQ National Market System  ("NASDAQ/NMS"),
     the closing price of the Stock as listed thereon on the applicable  day, or
     if no sale of Stock has been made on any exchange or on  NASDAQ/NMS on that
     date, on the next preceding day on which there was a sale of Stock;

          (ii) if the Stock is not listed on an  established  stock  exchange or
     NASDAQ/NMS but is instead traded  over-the-counter,  the mean of the dealer
     "bid" and "ask" prices of the Stock in the  over-the-counter  market on the
     applicable  day, as  reported by the  National  Association  of  Securities
     Dealers, Inc.; or

          (iii)  if  the  Stock  is  not  listed  on  any   exchange  or  traded
     over-the-counter, the value determined in good faith by the Committee.

     10.  "Incentive  Stock  Option"  means any Stock  Option  designated  as an
"Incentive Stock Option" within the meaning of Section 422 of the Code.

     11. "Non-Employee  Director" shall have the meaning set forth in Rule 16b-3
as promulgated by the Securities and Exchange  Commission  ("Commission")  under
the  Securities  Exchange Act of 1934, as amended (the "Exchange  Act"),  or any
successor definition adopted by the Commission.

     12.  "Non-Qualified  Stock  Option"  means any Stock  Option that is not an
Incentive Stock Option.

     13. "Normal  Retirement"  means retirement from active  employment with the
Company and/or any Subsidiary or Affiliate on or after age 65.

     14. "Other  Stock-Based Award" means an award under Section 7 below that is
valued in whole or in part by reference to or is otherwise based on, Stock.

     15.  "Outstanding  Stock" shall  include all  outstanding  shares of Common
Stock,  $.10 par value, of the Company as well as the number of shares of Common
Stock into which then  outstanding  shares of capital  stock of the Company,  of
whatever  class,  are convertible as of the year-end  immediately  preceding the
date of calculation thereof (as adjusted by the Committee in accordance with the
terms hereof).

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     16. "Performance-Accelerated Restricted Stock" means Restricted Stock which
is  subject  to  restrictions  for a stated  period of time  based on  continued
employment,  with the  opportunity  for the  restriction  period to be shortened
based on the achievement of predetermined performance goals.

     17.  "Performance  Stock" means Stock  awarded under Section 7 below at the
end of a specified  performance  period,  the amount of which is  determined  by
multiplying a  performance  factor times either (i) the Fair Market Value of the
Stock on the last day of the performance  period, or (ii) the difference between
the Fair Market Value of the Stock on the first and last days of the performance
period, provided, however, that at the discretion of the Committee, participants
may receive the value of  Performance  Stock in cash, as determined by reference
to the Fair Market Value on the date the amount of the award is determined.

     18. "Performance Unit" means an award pursuant to Section 7 with a starting
value  and an  associated  performance  period,  such  that  at  the  end of the
performance  period  participants  receive an amount,  payable in either cash or
Stock,  at the  discretion  of the  Committee,  equal to (i) the number of units
earned based on a  predetermined  performance  schedule  times the starting unit
value,  or (ii) the number of units granted times the ending unit value based on
a predetermined performance schedule.

     19.  "Plan" means this Marine  Products  Corporation  2001  Employee  Stock
Incentive Plan, as hereafter amended from time to time.

     20. "Premium Stock Option" means any Stock Option with an exercise price in
excess of the Fair Market  Value,  as computed on the date of grant of the Stock
Option.

     21.  "Restricted  Stock" means Stock awarded under Section 7 below which is
(i)  subject to  restrictions  for a stated  period of time  based on  continued
employment,  (ii)  subject  to  restrictions  which  will  lapse  only  upon the
achievement  of  predetermined   performance   goals,  or  (iii)  subject  to  a
combination of the restrictions described in (i) and (ii) above.

     22. "Retirement" means Normal or Early Retirement.

     23.  "Stock"  means the  Common  Stock,  $.10 par value per  share,  of the
Company.

     24. "Stock Appreciation Right" means the right pursuant to an award granted
under Section 6 below to receive an amount in either cash or Stock, equal to the
difference  between the Fair  Market  Value of the Stock on the date of exercise
and the Fair Market Value of the Stock on the date of grant of the right.

     25. "Stock Option" or "Option" means any option to purchase shares of Stock
granted pursuant to Section 5 below.

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     26.  "Subsidiary"  means any  corporation  (other  than the  Company) in an
unbroken  chain  of  corporations  beginning  with  the  Company  if each of the
corporations  (other than the last corporation in the unbroken chain) owns stock
possessing  100% of the total  combined  voting power of all classes of stock in
one of the other corporations in the chain.

SECTION 2.      ADMINISTRATION.

     This  Plan  shall be  administered  by a  Committee  of not  less  than two
Non-Employee  Directors,  who shall  serve at the  pleasure  of the Board,  such
Committee  to be  designated  by the  Board.  The  functions  of  the  Committee
specified in this Plan may be exercised by the Board if no Committee meeting the
requirements  of this Section 2 has been  designated  by the Board as having the
authority  to so  administer  this Plan and if a  resolution  to such  effect is
adopted by the Board after due  consideration  of the impact of such  resolution
upon the  status of this Plan  under  Rule  16b-3  promulgated  pursuant  to the
Exchange Act ("Rule 16b-3").

     The Committee shall have full authority to grant,  pursuant to the terms of
this Plan, to directors, officers and other key employees eligible under Section
4: (i) Stock Options,  including,  without limitation,  Incentive Stock Options,
Non-Qualified  Stock Options and Premium Stock Options,  (ii) Stock Appreciation
Rights,  and/or (iii) Other Stock-Based Awards,  including,  without limitation,
Restricted Stock,  Performance-Accelerated  Restricted Stock,  Performance Stock
and Performance Units.

     In particular, the Committee shall have the authority:

          (i) subject to Section 4 hereof, to select the directors, officers and
     other key employees of the Company or its  Subsidiaries  and  Affiliates to
     whom Stock  Options,  Stock  Appreciation  Rights and/or Other  Stock-Based
     Awards may from time to time be granted hereunder;

          (ii) to  determine  whether and to what extent  Stock  Options,  Stock
     Appreciation  Rights and/or Other  Stock-Based  Awards,  or any combination
     thereof, are to be granted hereunder to one or more eligible employees;

          (iii) to determine the number of shares of Stock to be covered by each
     such award granted hereunder;

          (iv) to determine the terms and conditions,  not inconsistent with the
     terms of this Plan,  of any award  granted  hereunder  (including,  but not
     limited  to, the share  price and any  restriction  or  limitation,  or any
     vesting,  acceleration or waiver of forfeiture  restrictions  regarding any
     Stock  Option or other award and/or the shares of Stock  relating  thereto,
     based in each case on such factors as the Committee shall determine, in its
     sole  discretion);

          (v) to determine whether and under what  circumstances  Stock Options,
     Stock Appreciation  Rights,  Performance Stock and Performance Units may be
     settled in cash;

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          (vi) to determine whether, to what extent and under what circumstances
     Stock Option  grants  and/or other awards under this Plan and/or other cash
     awards made by the Company are to be made,  and operate,  on a tandem basis
     vis-a-vis  other  awards under this Plan and/or cash awards made outside of
     this Plan, or on an additive basis; and

          (vii)  to   determine   whether,   to  what   extent  and  under  what
     circumstances  Stock and other  amounts  payable  with  respect to an award
     under this Plan shall be deferred either  automatically  or at the election
     of the participant  (including providing for and determining the amount (if
     any) of any deemed  earnings on any  deferred  amount  during any  deferral
     period).

     The  Committee  shall have the  authority  to adopt,  alter and repeal such
rules,  guidelines and practices  governing this Plan as it shall,  from time to
time, deem advisable; to interpret the terms and provisions of this Plan and any
award  issued  under this Plan (and any  agreements  relating  thereto);  and to
otherwise supervise the administration of this Plan.

     Except as otherwise specifically provided herein, all decisions made by the
Committee  pursuant  to the  provisions  of  this  Plan  shall  be  made  in the
Committee's  sole  discretion  and shall be final and  binding  on all  persons,
including the Company and all Plan participants.

SECTION 3.      STOCK SUBJECT TO PLAN.

     The total number of shares of Stock reserved and available for distribution
under this Plan shall be 1,500,000 shares.  Such shares may consist, in whole or
in part, of authorized and unissued shares or treasury shares.

     Subject to section  6(b)(iv)  below,  if any shares of Stock that have been
optioned  hereunder cease to be subject to a Stock Option, or if any such shares
of Stock that are subject to any Other  Stock-Based  Award granted hereunder are
forfeited or any such award otherwise terminates without a payment being made to
the  participant in the form of Stock,  such shares shall again be available for
distribution in connection with future awards under this Plan.

     In   the   event   of   any    merger,    reorganization,    consolidation,
recapitalization,  stock  dividends,  stock split or other  changes in corporate
structure  affecting  the Stock,  and  subject to Sections  5(k) and 5(m),  such
substitution  or  adjustment  shall be made in the  aggregate  number  of shares
reserved for issuance  under this Plan, in the number and option price of shares
subject  to  outstanding  Options  granted  under this Plan and in the number of
shares  subject to other  outstanding  awards  granted under this Plan as may be
determined to be appropriate by the Committee, in its sole discretion,  provided
that the number of shares  subject to any award shall always be a whole  number.
Such adjusted  option price shall be used to determine the amount payable by the
Company upon the exercise of any Stock  Appreciation  Right  associated with any
Stock Option.

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SECTION 4.      ELIGIBILITY.

     Directors,  officers  and  other  key  employees  of  the  Company  or  its
Subsidiaries  and Affiliates who are responsible for or contribute to the growth
and/or  profitability of the business of the Company and/or its Subsidiaries and
Affiliates  are eligible to be granted  awards under this Plan.  Notwithstanding
the foregoing,  Incentive  Stock Options may only be granted to employees of the
Company  and  any of its  Subsidiaries  or  Affiliates  that  are a  "subsidiary
corporation" (within the meaning of Section 424(f) of the Code). Furthermore, no
director who is not also an employee of the Company shall be eligible to receive
Incentive Stock Options.

SECTION 5.      STOCK OPTIONS.

     Stock Options may be granted alone,  in addition to or in tandem with other
awards granted under this Plan and/or cash awards made outside of this Plan. Any
Stock Option  granted under this Plan shall be in such form as the Committee may
from time to time approve.

     Stock Options  granted  under this Plan may be of two types:  (i) Incentive
Stock Options, and (ii) Non-Qualified Stock Options. Incentive Stock Options and
Non-Qualified  Stock  Options  may be issued as  Premium  Stock  Options  at the
discretion of the Board.

     Subject to the  restrictions  contained in Section 4 hereof  concerning the
grant of Incentive  Stock  Options,  the  Committee  shall have the authority to
grant to any optionee Incentive Stock Options,  Non-Qualified  Stock Options, or
both types of Stock  Options  (in each case with or without  Stock  Appreciation
Rights).  To the extent that the Fair Market Value of the shares with respect to
which Incentive Stock Options first become exercisable by an optionee during any
calendar  year  (under the Plan and any other  plans  granting  Incentive  Stock
Options  which are  established  by the  Company  or its  Subsidiaries)  exceeds
$100,000, such Options shall be treated as Non-Qualified Stock Options.

     Options granted under this Plan shall be subject to the following terms and
conditions  and  shall  contain  such  additional  terms  and  conditions,   not
inconsistent with the terms of this Plan, as the Committee shall deem desirable:

     (a) Option Price. The option price per share of Stock  purchasable  under a
Stock Option shall be determined by the Committee at the time of grant but shall
be (i) not less  than  100%  (or,  in the  case of an  employee  who owns  stock
possessing  more than 10% of the total  combined  voting power of all classes of
capital  stock  of  the  Company  or  of  any  of  its  Subsidiaries  or  parent
corporations,  not less  than  110%) of the Fair  Market  Value of the  Stock at
grant, in the case of Incentive Stock Options, and (ii) not less than 90% of the
Fair  Market  Value of the Stock at grant,  in the case of  Non-Qualified  Stock
Options.  Notwithstanding the foregoing, the Committee may grant Incentive Stock
Options or other options or awards  ("Spinoff  Grants") at less than Fair Market
Value to any employee who was  previously  employed by RPC, Inc.  ("RPC") or who
will be employed  by both RPC and the  Company to the extent the Spinoff  Grants
are  granted in  connection  with the  spinoff  of the  Company by RPC solely to
provide such employee with options or awards  equivalent in value to RPC options
or awards that terminated or were surrendered as a result of the spinoff.

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     (b)  Option  Term.  The  term of each  Stock  Option  shall be fixed by the
Committee,  but no Stock Option  shall be exercised  more than ten years (or, in
the case of an  employee  who owns stock  possessing  more than 10% of the total
combined  voting  power of all  classes  of stock of the  Company  or any of its
subsidiary  or parent  corporations,  more than five  years)  after the date the
Option is granted.

     (c) Exercisability.  Stock Options shall be exercised at such time or times
and subject to such terms and conditions as shall be determined by the Committee
at or after grant; provided,  however, that, except as provided in Section 5(f),
5(g),  or 5(k),  and  except in the case of  Spinoff  Grants,  unless  otherwise
determined  by the  Committee  at or  after  grant,  no  Stock  Option  shall be
exercisable  until at least one year after the  granting of the  Option.  If the
Committee provides, in its sole discretion, that any Stock Option is exercisable
only  in  installments,  the  Committee  may  waive  such  installment  exercise
provisions  at any  time at or after  grant  in whole or in part,  based on such
factors as the Committee shall determine, in its sole discretion.

     (d) Method of Exercise. Subject to whatever installment exercise provisions
or other  restrictions  apply under Section 5(c), Stock Options may be exercised
in whole or in part at any time  during the  option  period,  by giving  written
notice  of  exercise  to the  Company  specifying  the  number  of  shares to be
purchased;  provided, however, that if exercised in part, a Stock Option may not
be  exercised  for fewer than 100 shares,  unless the  remaining  balance of the
Stock  Option is less than 100  shares,  in which  case the Stock  Option may be
exercised for the remaining balance.

     Such notice shall be accompanied by payment in full of the purchase  price,
either by cash or such  instrument as the Committee may accept.  Payment in full
or in part may also be made in the form of  unrestricted  Stock already owned by
the optionee for a period of at least six months,  based,  in each case,  on the
Fair Market  Value of the Stock on the date the option is  exercised,  unless it
shall be determined by the Committee, at or after grant, in its sole discretion,
that unrestricted Stock is not a permissible form of payment with respect to any
Stock Option or Options.

     No shares of Stock shall be issued  until full  payment  therefor  has been
made. An optionee  shall  generally have the rights to dividends or other rights
of a  shareholder  with  respect to shares  subject to the Stock Option when the
optionee has given written notice of exercise, has paid in full for such shares,
and, if requested, has given the representation described in Section 10(a).

     (e)  Non-Transferability  of Options. No Stock Option shall be transferable
by  the  optionee  otherwise  than  by  will  or by  the  laws  of  descent  and
distribution, and all Stock Options shall be exercisable,  during the optionee's
lifetime, only by the optionee.

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     (f)  Termination  by Death.  Subject  to  Section  5(k),  if an  optionee's
employment  by the Company  and/or any  Subsidiary  or Affiliate  terminates  by
reason of death,  any Stock  Option  held by such  optionee  may  thereafter  be
exercised to the extent such option was  exercisable  at the time of death or on
such  accelerated  basis as the Committee may determine at or after grant (or as
may be determined in accordance with  procedures  established by the Committee),
by the legal  representative  of the estate or by the  legatee  of the  optionee
under the will of the optionee, for a period of six months (or such other period
as the  Committee may specify at grant) from the date of such death or until the
expiration  of the stated  term of such Stock  Option,  whichever  period is the
shorter.

     (g)  Termination  by Reason of  Disability.  Subject to Section 5(k), if an
optionee's  employment  by  the  Company  and/or  any  Subsidiary  or  Affiliate
terminates by reason of  Disability,  any Stock Option held by such optionee may
thereafter  be exercised by the optionee or his/her  guardian,  to the extent it
was exercisable at the time of termination or on such  accelerated  basis as the
Committee may determine at or after grant (or as may be determined in accordance
with procedures established by the Committee), for a period of one year (or such
other  period as the  Committee  may  specify  at  grant)  from the date of such
termination  of  employment  or until the  expiration of the stated term of such
Stock Option, whichever period is the shorter;  provided,  however, that, if the
optionee dies within such one-year period (or such other period as the Committee
may specify at grant),  any unexercised Stock Option held by such optionee shall
thereafter  be  exercisable  only  pursuant  to  Section  5(f).  In the event of
termination  of  employment  by  Disability,   if  a  Stock  Option  theretofore
designated  as an Incentive  Stock Option is exercised  more than one year after
such  termination  of  employment,  such  Stock  Option  shall be  treated  as a
Non-Qualified Stock Option.

     (h)  Termination  by Reason of  Retirement.  Subject to Section 5(k), if an
optionee's  employment  by  the  Company  and/or  any  Subsidiary  or  Affiliate
terminates  by reason of Normal or Early  Retirement,  any Stock  Option held by
such optionee may be exercised by the optionee, to the extent it was exercisable
at the time of such Retirement,  for a period of three months, less one day, (or
such other period as the  Committee  may specify at grant) from the date of such
termination,  or the  expiration  of the  stated  term  of  such  Stock  Option,
whichever period is the shorter;  provided,  however,  that if the optionee dies
within  such  three-month,  less one day,  period (or such  other  period as the
Committee  may  specify at grant),  any  unexercised  Stock  Option held by such
optionee shall  thereafter be exercisable  only pursuant to Section 5(f). In the
event of termination of employment by Retirement,  if a Stock Option theretofore
designated as an Incentive  Stock Option is exercised more than three (3) months
after such  termination of  employment,  such Stock Option shall be treated as a
Non-Qualified Stock Option.

     (i) Other  Termination.  Unless  otherwise  determined by the Committee (or
pursuant to procedures  established by the  Committee) at or after grant,  if an
optionee's  employment  by  the  Company  and/or  any  Subsidiary  or  Affiliate
terminates  for any  reason  other  than  death,  Disability  or Normal or Early
Retirement,  as in the  case  of  voluntary  resignation  of  employment  by the
optionee,  the Stock Option shall  thereupon  terminate and shall be immediately
forfeited, regardless of its vesting status.

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     (j) Buyout Provisions. The Committee may at any time offer to buy out for a
payment in cash or Stock a Stock Option previously granted,  based on such terms
and conditions as the Committee  shall establish and communicate to the optionee
at the time that such offer is made.

     (k) Certain Recapitalizations. In general, if the Company is merged into or
consolidated with another  corporation under  circumstances in which the Company
is not the surviving corporation,  or if the Company is liquidated,  or sells or
otherwise  disposes of  substantially  all of its assets to another  corporation
(any  such  merger,  consolidation,  etc.  being  hereinafter  referred  to as a
"Non-Acquiring  Transaction")  while  unexercised  Options are outstanding under
this Plan,  after the effective date of a Non-Acquiring  Transaction each holder
of an  outstanding  Option shall be entitled,  upon exercise of such Option,  to
receive such stock or other securities as the holders of the same class of stock
as those  shares  subject to the  Option  shall be  entitled  to receive in such
Non-Acquiring  Transaction  based upon the agreed upon  conversion  ratio or per
share distribution.  However, in the discretion of the Board of Directors, after
giving due consideration to the impact on the optionee, if any, pursuant to Rule
16b-3,  any limitations on  exercisability  of Options may be waived so that all
Options, from and after a date prior to the effective date of such Non-Acquiring
Transaction shall be exercisable in full. Furthermore,  in the discretion of the
Board of  Directors,  the right to  exercise  may be given to each  holder of an
Option during a 30-day period preceding the effective date of such Non-Acquiring
Transaction. Any outstanding Options not exercised within such 30-day period may
be  cancelled by the Board of  Directors  as of the  effective  date of any such
Non-Acquiring  Transaction.  To the extent that the foregoing adjustments relate
to stock or securities  of the Company,  such  adjustments  shall be made by the
Board of Directors,  whose determination in that respect shall be final, binding
and conclusive. The Committee need not treat all optionees and/or Options in the
same manner.

     (l)  Subdivision  or  Consolidation.  Except  as set  forth  in this  Plan,
optionees shall have no rights by reason of any subdivision or  consolidation of
shares of stock of any class or the  payment of any stock  dividend or any other
increase  or decrease in the number of shares of stock of any class or by reason
of any dissolution, liquidation, merger, or consolidation or spinoff of stock of
another corporation, and no issue by the Company of shares of stock of any class
shall affect, and no adjustment by reason thereof shall be made with respect to,
the  number or price of shares  subject  to the Stock  Option.  The grant of any
Stock  Option  pursuant  to this Plan  shall not  affect in any way the right or
power of the Company to make adjustments, reclassifications,  reorganizations or
changes of its capital or business structure or to merge or to consolidate or to
dissolve,  liquidate or sell,  or to transfer all or any part of its business or
assets.

     (m) Fractional Share. If any adjustment  referred to herein shall result in
a fractional  share for any  optionee  under any Stock  Option  hereunder,  such
fraction shall be completely disregarded and the optionee shall only be entitled
to the whole number of shares resulting from such adjustment.

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     (n)  Compliance  with  Section  422.  Unless  otherwise  determined  by the
Committee  with the consent of the optionee,  any Option  granted  hereunder and
designated  as  an  Incentive  Stock  Option  shall  comply  with  all  relevant
provisions  of Section 422 of the Code;  provided,  however,  that to the extent
that any such Option which is designated as an Incentive Stock Option  hereunder
fails for any reason to comply  with the  provisions  of Section 422 it shall be
treated as a Non-Qualified Stock Option.

SECTION 6.      STOCK APPRECIATION RIGHTS.

     (a) Grant and Exercise.  Stock Appreciation Rights may be granted alone, in
addition to or in tandem with all or part of any other award  granted under this
Plan. In the case of a  Non-Qualified  Stock  Option,  such tandem rights may be
granted  either at or after the time of the grant of such Stock  Option.  In the
case of an Incentive Stock Option, such tandem rights may be granted only at the
time of the grant of such Stock Option.

     A Stock  Appreciation Right or applicable portion thereof granted in tandem
with a given Stock Option shall terminate and no longer be exercisable  upon the
termination or exercise of the related Stock Option,  subject to such provisions
as the  Committee  may  specify  at grant  where a Stock  Appreciation  Right is
granted with respect to less than the full number of shares covered by a related
Stock Option.

     A Stock  Appreciation  Right may be exercised  by an  optionee,  subject to
Section 6(b), in accordance with the procedures established by the Committee for
such purpose.  Upon such exercise,  the optionee shall be entitled to receive an
amount  determined in the manner prescribed in Section 6(b). Stock Options which
were issued in tandem with exercised Stock  Appreciation  Rights shall no longer
be  exercisable  to the extent that the related Stock  Appreciation  Rights have
been exercised.

     (b) Terms and  Conditions.  Stock  Appreciation  Rights shall be subject to
such terms and conditions, not inconsistent with the provisions of this Plan, as
shall be determined from time to time by the Committee, including the following:

          (i) Except as set forth  below,  the term of each  Stock  Appreciation
     Right shall be fixed by the Committee, but no such Stock Appreciation Right
     shall be exercised more than ten years after the date it is granted.  Stock
     Appreciation   Rights  granted  in  tandem  with  Stock  Options  shall  be
     exercisable  only at such  time or times and to the  extent  that the Stock
     Options to which they relate shall be  exercisable  in accordance  with the
     provisions  of Section 5 and this  Section 6 whenever the Fair Market Value
     of the Stock  exceeds the option  price per share  specified in the related
     Stock Option.

                                       10
<PAGE>

          (ii) Stock  Appreciation  Rights  shall be  exercised  at such time or
     times and subject to such terms and  conditions  as shall be  determined by
     the Committee at or after grant;  provided however, that except as provided
     in Section 5(f), 5(g), or 5(k), as incorporated  herein by Section 6(b)(vi)
     below,  unless otherwise  determined by the Committee at or after grant, no
     Stock Appreciation Right shall be exercisable until at least one year after
     its date of grant. If the Committee provides, in its sole discretion,  that
     any Stock  Appreciation  Right is  exercisable  only in  installments,  the
     Committee may waive such installment  exercise provisions at any time at or
     after  grant in whole or in part,  based on such  factors as the  Committee
     shall  determine  in its  sole  discretion.  Upon the  exercise  of a Stock
     Appreciation Right, a participant shall be entitled to receive an amount in
     cash  and/or  shares of Stock  equal in value to the excess of Fair  Market
     Value of the Stock on the date of exercise  over the Fair  Market  Value of
     the  Stock  on the  date  of  grant  multiplied  by  the  number  of  Stock
     Appreciation  Rights  exercised,  with the  Committee  having  the right to
     determine  the form of payment.  Subject to whatever  installment  exercise
     provisions or other restrictions apply hereunder, Stock Appreciation Rights
     may be exercised in whole or in part at any time during the term thereof by
     giving written  notice of exercise to the Company  specifying the number of
     rights to be exercised.

          (iii)  No  Stock   Appreciation  Right  shall  be  transferable  by  a
     participant  otherwise  than  by  will  or  by  the  laws  of  descent  and
     distribution,  and all  Stock  Appreciation  Rights  shall be  exercisable,
     during the participant's lifetime, only by the participant.

          (iv) Upon the exercise of a tandem Stock Appreciation Right, the Stock
     Option or part  thereof to which such Stock  Appreciation  Right is related
     shall be deemed to have been  exercised  for the purpose of the  limitation
     set forth in  Section 3 of this Plan on the number of shares of Stock to be
     issued  under  this  Plan,  but only to the  extent of the number of shares
     issued under the Stock  Appreciation Right at the time of exercise based on
     the value of the Stock Appreciation Right at such time.

          (v) Stock  Appreciation  Rights issued in tandem with Incentive  Stock
     Options  shall  contain  such terms and  conditions  as the  Committee  may
     determine to be necessary  for the  qualification  of the  Incentive  Stock
     Options.

          (vi)  Sections  5(f)-(m)  hereof  shall  apply  equally  to all  Stock
     Appreciation  Rights  granted  pursuant to this Plan, as if each  reference
     therein  to  a  "Stock   Option"  was  instead  a  reference  to  a  "Stock
     Appreciation Right."

SECTION 7.      OTHER STOCK-BASED AWARDS.

     (a) Administration.  Other awards of Stock and other awards that are valued
in whole or in part by reference  to, or are  otherwise  based on, Stock ("Other
Stock-Based   Awards"),   including,   without  limitation,   Restricted  Stock,
Performance-Accelerated  Restricted Stock,  Performance Stock, Performance Units
and Stock  awards or options  valued by  reference  to Book Value or  Subsidiary
performance,  may be granted  either  alone or in  addition to or in tandem with
Stock Options or Stock  Appreciation  Rights granted under this Plan and/or cash
awards made outside of this Plan.

     Subject to the provisions of this Plan, the Committee  shall have authority
to  determine  the  persons to whom and the time or times at which  such  awards
shall be made,  the  number of shares of Stock to be  awarded  pursuant  to such
awards,  and all other conditions of the awards.  The Committee may also provide
for the grant of Stock upon the completion of a specified  performance period or
event.

                                       11
<PAGE>

     The  provisions  of Other  Stock-Based  Awards  need  not be the same  with
respect to each recipient.

     (b) Terms and Conditions.  Other  Stock-Based  Awards made pursuant to this
Section 7 shall be subject to the following terms and conditions:

          (i)  Subject to the  provisions  of this Plan and the award  agreement
     referred to in Section 7(b)(v) below,  Other Stock-Based  Awards and shares
     subject to such awards made under this Section 7 may not be sold, assigned,
     transferred,  pledged  or  otherwise  encumbered,  in the case of shares of
     Stock,  prior to the date on which the shares are issued, or, if later, the
     date on which any applicable  restriction,  performance or deferral  period
     lapses, and in all other cases, not at all.

          (ii) Subject to the  provisions  of this Plan and the award  agreement
     and unless otherwise determined by the Committee at grant, the recipient of
     an award under this Section 7 shall be entitled to receive, currently or on
     a deferred basis, as determined by the Committee,  interest or dividends or
     interest  or  dividend  equivalents  with  respect  to the number of shares
     covered  by the  award,  as  determined  at the  time of the  award  by the
     Committee, in its sole discretion,  and the Committee may provide that such
     amounts  (if any)  shall be deemed to have been  reinvested  in  additional
     Stock or otherwise reinvested.

          (iii) Any award under this Section 7 and any Stock covered by any such
     award  shall vest or be  forfeited  to the extent so  provided in the award
     agreement, as determined by the Committee, in its sole discretion.

          (iv) In the  event  of the  participant's  Retirement,  Disability  or
     death, and in other  instances,  the Committee may, in its sole discretion,
     waive  in  whole  or in  part  any or all  of  the  remaining  limitations,
     performance  requirements or restrictions  imposed (if any) with respect to
     any or all of an award under this Section 7 and/or  accelerate  the payment
     of cash or Stock pursuant to any such award.

          (v) Each award under this Section 7 shall be confirmed by, and subject
     to the terms of, an agreement or other  instrument  executed by the Company
     and by the participant.

          (vi) Stock (including  securities  convertible into Stock) issued on a
     bonus basis under this Section 7 may be issued for no cash consideration.

          (vii)  Other  Stock-Based   Awards,  to  the  extent  they  constitute
     derivative  securities  for purposes of Section 16 of the Exchange Act, and
     are owned by persons who are subject to Section  16(b) of the Exchange Act,
     shall be  transferable  only when and to the extent a Stock Option would be
     transferable  under Section 5(e) of this Plan.  The Committee may also take
     into account  other  provisions  contained in the Exchange Act or which are
     promulgated pursuant thereto.

                                       12
<PAGE>

          (viii) Unless otherwise determined by the Committee at or after grant,
     if a  participant's  employment  by the Company  and/or any  Subsidiary  or
     Affiliate  terminates by reason of death or Disability,  a pro rata portion
     of the  restrictions  pertaining to continued  employment on any Restricted
     Stock will lapse,  based on the number of full months the  participant  was
     employed  during the  restriction  period  divided  by the total  number of
     months  in the  restriction  period.  All  such  pro  rata  awards  will be
     determined  and  distributed  at such time as awards are paid to other Plan
     participants. (ix) Unless otherwise determined by the Committee at or after
     grant, if a  participant's  employment by the Company and/or any Subsidiary
     or  Affiliate  terminates  by  reason  of  Normal  Retirement,  all  of the
     restrictions  pertaining to continued  employment on any  Restricted  Stock
     will lapse.  Any such award will be determined and distributed at such time
     as awards are paid to other Plan participants.

          (x) Unless otherwise determined by the Committee at or after grant, if
     a  participant's  employment  by  the  Company  and/or  any  Subsidiary  or
     Affiliate  terminates by reason of death or  Disability,  the estate of the
     participant  or the  participant,  as  applicable,  will receive a pro rata
     portion of the payment or Stock the  participant  would have  received  for
     Performance Stock or Performance  Units, based on the number of full months
     in the performance  period prior to the participant's  death or Disability,
     divided by the total number of months in the performance  period.  All such
     pro rata payments will be determined and distributed at such time as awards
     are paid to other Plan participants.

          (xi) Unless  otherwise  determined by the Committee at or after grant,
     if a  participant's  employment  by the Company  and/or any  Subsidiary  or
     Affiliate  terminates  by  reason  of Early  Retirement  and if such  Early
     Retirement  occurs  before  age 65 and  before  completion  of 10  years of
     service with the Company and/or a Subsidiary or Affiliate subsequent to the
     date of grant of  Restricted  Stock or  Performance-Accelerated  Restricted
     Stock,  all such Restricted  Stock and  Performance-Accelerated  Restricted
     Stock will be forfeited by the  participant.  In addition,  in the event of
     Normal or Early  Retirement  before the end of the  performance  period for
     Performance  Stock or  Performance  Units,  no awards  will be paid  unless
     specifically approved by the Committee on a case-by-case basis.

          (xii) Unless  otherwise  determined  by the  Committee (or pursuant to
     procedures   established  by  the  Committee)  at  or  after  grant,  if  a
     participant's  employment by the Company and/or any Subsidiary or Affiliate
     terminates  for any reason other than death,  Disability or Normal or Early
     Retirement,  as in the case of voluntary  resignation  of employment by the
     participant, all Other Stock-Based Awards shall be immediately forfeited.

          (xiii) The Committee may at any time offer to buy out for a payment in
     cash or Stock an Other Stock-Based Award previously granted,  based on such
     terms and conditions as the Committee  shall  establish and  communicate to
     the participant at the time that such offer is made.

                                       13
<PAGE>

          (xiv)  Except as set forth in this  Plan,  participants  shall have no
     rights by reason of any subdivision or  consolidation of shares of stock of
     any class or the  payment of any stock  dividend  or any other  increase or
     decrease  in the number of shares of stock of any class or by reason of any
     dissolution,  liquidation, merger, or consolidation or spin-off of stock of
     another corporation,  and no issue by the Company of shares of stock of any
     class shall affect,  and no adjustment by reason thereof shall be made with
     respect to, the number or price of shares subject to any Other  Stock-Based
     Award. The grant of any Other Stock-Based Award pursuant to this Plan shall
     not  affect  in any  way  the  right  or  power  of  the  Company  to  make
     adjustments,  reclassifications,  reorganizations or changes of its capital
     or  business  structure  or to  merge  or to  consolidate  or to  dissolve,
     liquidate  or  sell,  or to  transfer  all or any part of its  business  or
     assets.

SECTION 8.      AMENDMENTS AND TERMINATION.

     The Board may  amend,  alter,  or  discontinue  this Plan,  but,  except as
otherwise provided herein, no amendment, alteration, or discontinuation shall be
made which would impair the rights of an optionee or  participant  under a Stock
Option, Stock Appreciation Right or Other Stock-Based Award theretofore granted,
without the optionee's or participant's  consent, or which, without the approval
of the Company's stockholders, would:

     (a) materially  increase the benefits  accruing to participants  under this
Plan;

     (b) materially  increase the number of securities which may be issued under
this Plan; or

     (c) materially  modify the requirements as to eligibility for participation
in this Plan.

     The  Committee  may  amend the  terms of any  Stock  Option or other  award
theretofore granted,  prospectively or retroactively,  but, subject to Section 3
above,  no such  amendment  shall  impair the rights of any holder  without  the
holder's  consent.  The  Committee  may also  substitute  new Stock  Options for
previously  granted Stock  Options (on a one for one or other basis),  including
previously granted Stock Options having higher option exercise prices.

     Subject to the above  provisions,  the Board shall have broad  authority to
amend this Plan to take into account  changes in applicable  securities  and tax
laws and accounting rules, as well as other developments.

SECTION 9.      UNFUNDED STATUS OF PLAN.

     This Plan is intended to constitute  an  "unfunded"  plan for incentive and
deferred  compensation.  With  respect  to  any  payments  not  yet  made  to  a
participant or optionee by the Company,  nothing contained herein shall give any
such participant or optionee any rights that are greater than those of a general
creditor of the Company. In its sole discretion, the Committee may authorize the
creation of trusts or other  arrangements to meet the obligations  created under
this Plan to  deliver  Stock or  payments  in lieu of or with  respect to awards
hereunder;  provided,  however,  that, unless the Committee otherwise determines
with the consent of the affected  participant,  the  existence of such trusts or
other arrangements is consistent with the "unfunded" status of this Plan.

                                       14
<PAGE>

SECTION 10.     GENERAL PROVISIONS.

     (a) The Company shall not be obligated to sell or issue any shares pursuant
to any  Option  unless  the  shares  with  respect  to which the Option is being
exercised are at the time  effectively  registered  or exempt from  registration
under the Securities Act of 1933, as amended (the "1933 Act"). The Company shall
have no  obligation  to  register  pursuant  to the 1933 Act any shares of Stock
issued  pursuant to this Plan. The Committee may require each person  purchasing
shares pursuant to a Stock Option or other award under this Plan to represent to
and agree with the  Company in  writing  that the  optionee  or  participant  is
acquiring the shares for investment and without a view to distribution  thereof.
The  certificates  for such shares may include  any legend  which the  Committee
deems appropriate to reflect any restrictions on transfer.

     All certificates  for shares of Stock or other  securities  delivered under
this Plan shall be subject to such  conditions,  stop-transfer  orders and other
restrictions as the Committee may deem advisable  under the rules,  regulations,
and other  requirements  of the  Securities and Exchange  Commission,  any stock
exchange  upon which the Stock is then  listed,  and any  applicable  federal or
state  securities law, and the Committee may cause a legend or legends to be put
on any such certificates to make appropriate reference to such restrictions.

     (b) Nothing  contained in this Plan shall  prevent the Board from  adopting
other or additional compensation  arrangements,  subject to stockholder approval
if such  approval is required,  and such  arrangements  may be either  generally
applicable or applicable only in specific cases.

     (c) The  adoption  of this Plan shall not confer  upon any  employee of the
Company or of any Subsidiary or Affiliate any right to continued employment with
the  Company  or a  Subsidiary  or  Affiliate,  as the case may be, nor shall it
interfere in any way with the right of the Company or a Subsidiary  or Affiliate
to terminate the employment of any of its employees at any time.

     (d) No later than the date as of which an amount first  becomes  includable
in the gross income of the  participant  for federal  income tax  purposes  with
respect to the exercise of any Option or Stock  Appreciation  Right or any award
under this Plan, the participant shall pay to the Company,  or make arrangements
satisfactory to the Committee  regarding the payment of, any federal,  state, or
local  taxes of any kind  required by law to be  withheld  with  respect to such
amount.  The  obligations of the Company under this Plan shall be conditional on
such payment or arrangements, and the Company and its Subsidiaries or Affiliates
shall,  to the extent  permitted by law, have the right to deduct any such taxes
from any payment of any kind otherwise due to the participant.

     (e) The actual or deemed reinvestment of dividends or dividend  equivalents
in additional  types of Plan awards at the time of any dividend payment shall be
permissible only if sufficient shares of Stock are available under Section 3 for
such reinvestment, taking into account other Plan awards then outstanding.

                                       15
<PAGE>

     (f) This Plan and all awards  made and  actions  taken  hereunder  shall be
governed by and construed in accordance  with the Delaware  General  Corporation
Law, to the extent  applicable,  and in accordance with the laws of the State of
Georgia in all other respects.

     (g) The value of awards made pursuant to this Plan shall not be included as
part of the  definition  of "cash  compensation"  in  connection  with any other
benefit offered by the Company.

SECTION 11.     EFFECTIVE DATE OF PLAN.

     This Plan shall be effective as of January __, 2001.

SECTION 12.     TERM OF PLAN.

     No Stock Option,  Stock Appreciation Right or Other Stock-Based Award shall
be  granted  pursuant  to this  Plan on or after the  tenth  anniversary  of the
effective date of this Plan, but awards granted prior to such tenth  anniversary
may extend beyond that date.

                                       16AGREEMENT REGARDING DISTRIBUTION
                           AND PLAN OF REORGANIZATION

     THIS AGREEMENT REGARDING DISTRIBUTION AND PLAN OF REORGANIZATION  (referred
to herein as the  "Agreement"),  dated as of ____________,  2001, by and between
RPC, INC., a Delaware corporation ("RPC"),  and MARINE PRODUCTS  CORPORATION,  a
Delaware corporation ("Marine").

                                    RECITALS

     A. RPC has formed Marine as a  wholly-owned  subsidiary  for the purpose of
taking title to the stock of Chaparral Boats, Inc. ("Chaparral"), a wholly owned
subsidiary of RPC, the assets and  liabilities  of which  constitute  RPC's boat
manufacturing operations (the "Boat Manufacturing Business").

     B. The  Board of  Directors  of RPC has  determined  that it is in the best
interests  of RPC and  its  shareholders  to  transfer  and  assign  to  Marine,
effective prior to the Effective Time (as defined herein),  the capital stock of
Chaparral,  as a capital  contribution,  and to  receive  in  exchange  therefor
additional shares of Marine Common Stock (as defined herein).

     C. The Board of Directors of RPC has further  determined  that it is in the
best  interests  of  RPC  and  its  shareholders  to  make a  distribution  (the
"Distribution") to the holders of RPC Common Stock (as defined herein) of all of
the outstanding shares of Marine Common Stock at the rate of one share of Marine
Common  Stock for every two shares of RPC  Common  Stock  outstanding  as of the
Record Date (as defined herein).

     E. The parties have  received a favorable  ruling  letter from the Internal
Revenue Service (the "IRS") concerning the non-taxability of the Distribution to
RPC or its shareholders pursuant to Section 355 of the Code (as defined herein),
if  consummated  pursuant to the terms and  conditions  contained in the request
therefor.

     F. The parties have  determined  that it is necessary  and desirable to set
forth the principal corporate  transactions  required to effect the Distribution
and to set  forth  other  agreements  that will  govern  certain  other  matters
following the Distribution.

     NOW,  THEREFORE,  in consideration of the foregoing premises and the mutual
agreements and covenants contained in this Agreement and other good and valuable
consideration the receipt and sufficiency of which are hereby acknowledged,  the
parties agree as follows:

<PAGE>

                                    ARTICLE I

                                   DEFINITIONS

     Section 1.01  Definitions.  As used herein,  the  following  terms have the
following meaning:

     "Action"  means  any  claim,  suit,  arbitration,  inquiry,  proceeding  or
investigation  by or before  any  court,  governmental  or other  regulatory  or
administrative agency or commission or any other tribunal.

     "Ancillary  Agreements" means all of the written  agreements,  instruments,
understandings,  assignments and other  arrangements  entered into in connection
with the transactions  contemplated hereby, including,  without limitation,  the
Employee Benefits Agreement,  the Transition Support Services Agreement, and the
Tax Sharing Agreement.

     "Assets" means all properties,  rights,  contracts,  leases and claims,  of
every kind and description,  wherever  located,  whether tangible or intangible,
and whether real, personal or mixed.

     "Chaparral" has the meaning set forth in the Recitals to this Agreement.

     "Chaparral Stock" means the capital stock of Chaparral to be transferred at
or prior to the Effective Time by RPC to Marine.

     "Code" means the Internal Revenue Code of 1986, as amended.

     "Commission" means the Securities and Exchange Commission.

     "Distribution" has the meaning set forth in the Recitals to this Agreement.

     "Distribution Agent" means SunTrust Bank, Atlanta, in its capacity as agent
for RPC in connection with the Distribution.

     "Distribution  Date"  means the date upon which the  Distribution  shall be
effective, as determined by the Board of Directors of RPC.

     "Effective Time" means 5:00 p.m. Atlanta time on the Distribution Date.

     "Employee Benefits Agreement" means the Employee Benefits Agreement entered
into at or prior to the Effective  Time between RPC,  Marine and  Chaparral,  as
amended from time to time.

     "Exchange Act" means the Securities Exchange Act of 1934, as amended.

     "Form 10" means the Registration  Statement on Form 10 filed by Marine with
the Commission pursuant to the Exchange Act.

     "Group"  means  the RPC  Group  or the  Marine  Group,  as the  context  so
requires.

                                       2
<PAGE>

     "Indemnifiable  Loss" means any and all damage, loss, liability and expense
(including,  without  limitation,   reasonable  expenses  of  investigation  and
reasonable  attorneys' fees and expenses) in connection with any and all Actions
or threatened Actions indemnifiable pursuant to Article IV.

     "Information  Statement" means that certain Information  Statement filed by
Marine  with  the  Securities  and  Exchange  Commission  and  provided  to  RPC
shareholders, pursuant to the Exchange Act.

     "Boat Manufacturing Business Assets" means all Assets used or useful in the
conduct of the Boat Manufacturing Business.

     "Liabilities" means any and all claims, debts, liabilities and obligations,
absolute or  contingent,  matured or not matured,  liquidated  or  unliquidated,
accrued or unaccrued,  known or unknown,  whenever arising,  including all costs
and expenses relating thereto, and including,  without limitation,  those debts,
liabilities  and  obligations  arising  under this  Agreement  or any  Ancillary
Agreement,  any law, rule,  regulation,  action,  order or consent decree of any
governmental  entity  or any  award of any  arbitrator  of any  kind,  and those
arising under any contract, commitment or undertaking.

     "Marine  Business"  means the Boat  Manufacturing  Business  which  will be
conducted by the Marine Group at and after the Effective Time.

     "Marine  Bylaws" means the bylaws of Marine in the form filed as an exhibit
to the Form 10 at the time they become effective.

     "Marine Common Stock" means the  outstanding  shares of common stock,  $.10
par value, of Marine.

     "Marine  Group"  means  Marine  and any of its  subsidiaries  and any other
subsidiary or division of any member of the RPC Group that, immediately prior to
the Effective Time, is included in the operations of the Marine Business.

     "Marine  Liabilities"  means (a)  Liabilities  of any  member of the Marine
Group  under  this  Agreement  or any  Ancillary  Agreement,  and (b)  except as
otherwise  expressly  provided in this  Agreement  or any  Ancillary  Agreement,
Liabilities  incurred in connection  with the conduct or operation of the Marine
Business or the ownership of the Chaparral Stock,  whether arising before, at or
after the Effective Time.

     "Prime  Rate" means the prime rate of interest as  determined  from time to
time by SunTrust Bank, Atlanta.

     "Record Date" means the date  designated by RPC's Board of Directors as the
record date for  determining  the  shareholders  of RPC  entitled to receive the
Distribution.

                                       3
<PAGE>

     "RPC Business"  means the business  conducted by RPC and its  subsidiaries,
joint ventures and partnerships, other than the Marine Business.

     "RPC Common Stock" means the outstanding  shares of common stock,  $.10 par
value, of RPC.

     "RPC  Group"   means  RPC  and  its   subsidiaries,   joint   ventures  and
partnerships, excluding any member of the Marine Group.

     "RPC  Liabilities"  means (i)  Liabilities  of any  member of the RPC Group
under this Agreement or any Ancillary  Agreement,  and (ii)  Liabilities,  other
than Marine  Liabilities,  incurred in connection  with the operation of the RPC
Business, whether arising before, at or after the Effective Time.

     "Securities Act" means the Securities Act of 1933, as amended.

     "Tax"  shall  have  the  meaning  given  to such  term  in the Tax  Sharing
Agreement.

     "Tax Sharing  Agreement" means the Tax Sharing Agreement entered into at or
before the Effective Time between RPC and Marine, as amended from time to time.

     "Transition  Support  Services  Agreement"  means  the  Transition  Support
Services  Agreement  entered into at or prior to the Effective  Time between RPC
and Marine, as amended from time to time.

                                   ARTICLE II

                  REORGANIZATION; TRANSFER OF CHAPARRAL STOCK;
               ASSETS AND LIABILITIES; AND TRANSITION ARRANGEMENTS

     Section 2.01 Reorganization.  At or before the Effective Time the following
transactions shall occur:

          (a) Anchor Crane and Hoist Company, Inc., a wholly owned subsidiary of
RPC,  shall  transfer  all of its assets and  liabilities  to RPC,  in  complete
liquidation under Section 332 of the Code;

          (b)  Chaparral  will  distribute  all of the  issued  and  outstanding
capital stock of RPC Investment Company to RPC;

          (c) the RPC  Intercompany  Balance (as defined in Section  8.03 below)
shall be adjusted as provided in Section 8.03 below.

          (d) RPC shall  contribute  to Marine all of the  Chaparral  Stock,  in
exchange for a number of shares of Marine  Common Stock that when  combined with
the shares of Marine  Common  Stock then owned by RPC shall equal  approximately
____________ shares.

                                       4
<PAGE>

     Section 2.02 Assets and Liabilities. Except as otherwise expressly provided
in this Agreement or in any of the Ancillary Agreements, RPC and Marine covenant
and agree that:

          (a) Marine shall at and after the Effective  Time be  responsible  for
timely payment and discharge of all of the Marine Liabilities.

          (b) RPC shall at and  after  the  Effective  Time be  responsible  for
timely payment and discharge of all of the RPC Liabilities.

          (c) It is the  understanding of the parties hereto that as of the date
hereof and  immediately  prior to the Effective  Time,  there are and will be no
Boat Manufacturing  Business Assets that are not Assets of Chaparral,  there are
and will be no Marine  Liabilities  that are not  Liabilities of Chaparral,  and
there are and will be no Assets or Liabilities of Chaparral or Marine other than
the Boat Manufacturing  Business Assets and Marine Liabilities;  however, in the
event that any  conveyance  of an Asset or assumption of a Liability is required
to reflect this  understanding  and is not  effected at or before the  Effective
Time,  the  obligation  to transfer such Asset and assume such  Liability  shall
continue past the Effective Time and shall be accomplished as soon thereafter as
practicable.

          (d) If any Asset may not be transferred  by reason of the  requirement
to obtain the consent of any third party and such consent has not been  obtained
by the  Effective  Time,  then such Asset  shall not be  transferred  until such
consent has been obtained,  and RPC and Marine,  as the case may be, shall cause
the  owner  of such  Asset  to use all  reasonable  efforts  to  provide  to the
appropriate  member of the other  Group all the rights and  benefits  associated
with such Asset.  Both parties shall otherwise  cooperate and use all reasonable
efforts to provide the economic and  operational  equivalent of an assignment or
transfer of the Asset.

          (e) From and after the  Effective  Time,  each  party  shall  promptly
transfer  or cause the  members of its Group  promptly  to transfer to the other
party or the appropriate  member of the other party's Group,  from time to time,
any  property  received  that is an Asset of the other  party or a member of its
Group.  Without limiting the foregoing,  funds received by a member of one Group
upon the  payment of  accounts  receivable  that belong to a member of the other
Group shall be transferred to the other Group by check or wire transfer not more
than five business days after receipt of such payment.

          (f) Except as expressly  set forth in this  Agreement or any Ancillary
Agreement,  or in any instrument or document  contemplated  by this Agreement or
any Ancillary Agreement, no member of the RPC Group nor any member of the Marine
Group has made or may be deemed to have made any  representation  or warranty as
to (i) the Assets,  business or Liabilities retained,  transferred or assumed as
contemplated  hereby or  thereby,  (ii) any  consents or  approvals  required in
connection  with the  transfer  or  assumption  by such  party  of any  Asset or
Liability  contemplated  hereby or thereby,  (iii) the value or freedom from any
lien, claim, equity or other encumbrance of, or any other matter concerning, any
Assets of such party or (iv) the  absence of any  defenses or right of setoff or
freedom  from  counterclaim  with  respect  to any claim or other  Asset of such
party.  EXCEPT AS MAY BE EXPRESSLY SET FORTH IN THIS  AGREEMENT OR ANY ANCILLARY
AGREEMENT, ALL ASSETS WERE, OR ARE BEING, TRANSFERRED,  OR ARE BEING RETAINED ON
AN "AS IS",  "WHERE  IS"  BASIS  AND THE  RESPECTIVE  TRANSFEREES  WILL BEAR THE
ECONOMIC AND LEGAL RISKS THAT ANY CONVEYANCE  SHALL PROVE TO BE  INSUFFICIENT TO
VEST IN THE TRANSFEREE A TITLE THAT IS FREE AND CLEAR OF ANY LIEN, CLAIM, EQUITY
OR OTHER  ENCUMBRANCE.

                                       5
<PAGE>

     Section 2.03 Ancillary Agreements. At or before the Effective Time, RPC and
Marine will execute and deliver:

          (a) A duly executed Employee Benefits Agreement;

          (b) A duly executed Tax Sharing Agreement;

          (c) A duly executed Transition Support Services Agreement; and

          (d) Such other  agreements,  leases,  documents or  instruments as the
parties may agree are  necessary  or  desirable in order to achieve the purposes
hereof.

     Section 2.04 Issuance of Marine Common Stock.  At the Effective Time and in
exchange for the transfer by RPC to Marine of the Chaparral Stock as provided in
this Agreement,  Marine will issue and deliver to RPC a certificate representing
____________ shares,  which, together with the 100 shares of Marine Common Stock
initially  issued to RPC will  constitute  all the shares to be  distributed  as
provided in Section 3.03 below.

     Section 2.05 Resignations. Prior to the Effective Time, Marine will deliver
or cause to be delivered to RPC the  resignation,  effective as of the Effective
Time, of James A. Lane, Jr. as a director and Executive Vice President of RPC.

     Section 2.06 Insurance.

          (a) If the  Distribution  occurs,  Marine will use its best efforts to
procure and maintain  directors' and officers'  liability  insurance coverage in
commercially  reasonable  amounts consistent with industry practice with respect
to directors and officers of RPC who will become  directors and officers  within
the Marine  Group as of the  Distribution  Date for acts of such  directors  and
officers  as  members  within the Marine  Group for  periods  from and after the
Distribution Date.

          (b) If the  Distribution  occurs,  RPC will use its  best  efforts  to
maintain  directors' and officers'  liability insurance coverage in commercially
reasonable  amounts consistent with industry practice for a period of five years
from the Distribution Date with respect to the directors and officers of RPC who
will become  directors  and  officers  of members of the Marine  Group as of the
Distribution  Date for acts of such directors and officers as members of the RPC
Group during periods prior to the Distribution Date.

                                   ARTICLE III

                                THE DISTRIBUTION

     Section 3.01 Cooperation Prior to the Distribution.

                                       6
<PAGE>

          (a) RPC and Marine shall prepare, and Marine shall mail to the holders
of  RPC  Common  Stock,  the  Information  Statement,   which  shall  set  forth
appropriate  disclosures  concerning  Marine,  the  Distribution  and any  other
appropriate matters.

          (b) RPC shall, as the sole shareholder of Marine,  approve, and Marine
shall adopt,  the Marine  employee  benefit plans  contemplated  by the Employee
Benefits Agreement and RPC and Marine shall cooperate in preparing,  filing with
the  Commission  under the  Securities  Act or the  Exchange  Act and causing to
become  effective any  registration  statements  or amendments  thereto that are
appropriate  to reflect  the  establishment  of or  amendments  to any  employee
benefit plan of Marine contemplated by the Employee Benefits Agreement.

          (c) RPC and Marine  shall take all such action as may be  necessary or
appropriate  under the securities or blue sky laws of states or other  political
subdivisions  of  the  United  States  in  connection   with  the   transactions
contemplated by this Agreement or any Ancillary Agreement.

          (d) Marine shall prepare, file and use its best efforts to cause to be
approved prior to the Record Date, the application to permit listing, subject to
official  notice of issuance,  of the Marine Common Stock on the American  Stock
Exchange or such other  quotation  system as the Marine Board of Directors shall
deem appropriate.

          (e) RPC shall use its best  efforts to cause the RPC  Common  Stock to
remain listed on the New York Stock Exchange.

     Section 3.02 RPC Board Action;  Conditions  Precedent to the  Distribution.
RPC's Board of Directors,  or a duly appointed committee thereof,  shall, in its
sole  discretion,  establish the Record Date and the  Distribution  Date and any
appropriate  procedures in connection with the  Distribution.  In no event shall
the  Distribution  occur  unless  the  following   conditions  shall  have  been
satisfied:

          (a) all necessary regulatory approvals shall have been received;

          (b) the Form 10 shall have become effective under the Exchange Act;

          (c) the Marine Board of Directors, as named in the Form 10, shall have
been elected by RPC as sole  shareholder of Marine,  and the Marine Bylaws shall
have been adopted and be in effect;

          (d) the Marine  Common  Stock shall have been  approved for listing on
the American Stock  Exchange,  subject to official  notice of issuance,  or such
other quotation system as the Marine Board of Directors shall deem appropriate;

          (e) the RPC Common  Stock  shall  remain  listed on the New York Stock
Exchange,  or shall be listed on such other quotation system as the RPC Board of
Directors shall deem appropriate.

          (f) the Information  Statement  forming part of the Form 10 referenced
above  shall  have been  mailed to all  stockholders  of RPC of record as of the
Record Date; and

                                       7
<PAGE>

          (g) no order,  injunction  or decree  issued by any court of competent
jurisdiction or other legal restraint or prohibition preventing  consummation of
the Distribution shall be in effect.

     Section 3.03 The Distribution.  On or before the Distribution Date, subject
to  satisfaction  or waiver of the conditions set forth in this  Agreement,  RPC
shall  deliver  to  the   Distribution   Agent  a  certificate  or  certificates
representing all of the then  outstanding  shares of Marine Common Stock held by
RPC,  endorsed in blank,  and shall instruct the Distribution  Agent,  except as
otherwise  provided in Section  3.04,  to distribute to each holder of record of
RPC Common  Stock on the Record Date one share of Marine  Common  Stock for each
two  shares  of RPC  Common  Stock so held  either  by  crediting  the  holder's
brokerage  account or by delivering a certificate or  certificates  representing
such  shares.  Marine  agrees to provide all  certificates  for shares of Marine
Common Stock that the  Distribution  Agent shall  require in order to effect the
Distribution.

     Section 3.04 Fractional Shares. The Distribution Agent shall not distribute
any  fractional  share of Marine  Common  Stock.  The  Distribution  Agent shall
aggregate all such  fractional  shares and sell them in an orderly  manner after
the  Distribution  Date in the open market and, after  completion of such sales,
distribute a pro rata portion of the  proceeds  from such sales,  based upon the
average gross  selling  price of all such Marine  Common Stock,  less a pro rata
portion of the aggregate  brokerage  commissions payable in connection with such
sales,  to each holder of RPC Common Stock who would  otherwise  have received a
fractional share of Marine Common Stock in the Distribution.

                                   ARTICLE IV

                                 INDEMNIFICATION

     Section 4.01 Marine  Indemnification  of the RPC Group. If the Distribution
occurs, on and after the Effective Time, Marine shall indemnify, defend and hold
harmless each member of the RPC Group, and each of their  respective  directors,
officers,  employees and agents (the "RPC Indemnitees") from and against any and
all Indemnifiable  Losses incurred or suffered by any of the RPC Indemnitees and
arising out of, or due to, (a) the failure of Marine or any member of the Marine
Group to pay, perform or otherwise discharge,  any of the Marine Liabilities and
(b) any untrue  statement  or alleged  untrue  statement  of any  material  fact
contained  in the  preliminary  or  final  Form  10,  the  preliminary  or final
Information  Statement or any amendment or supplement thereto or the omission or
alleged  omission to state therein a material fact required to be stated therein
or  necessary  to make the  statements  therein not  misleading  (other than the
information provided by RPC for use therein).

     Section  4.02 RPC  Indemnification  of Marine  Group.  If the  Distribution
occurs,  on and after the Effective Time, RPC shall  indemnify,  defend and hold
harmless each member of the Marine Group and each of their respective directors,
officers,  employees and agents (the "Marine  Indemnitees") from and against any
and  all  Indemnifiable  Losses  incurred  or  suffered  by any  of  the  Marine
Indemnitees  and arising out of, or due to, (a) the failure of RPC or any member
of the  RPC  Group  to  pay,  perform  or  otherwise  discharge,  any of the RPC
Liabilities  and (b) any untrue  statement  or alleged  untrue  statement of any

                                       8
<PAGE>

material fact contained in the  preliminary or final Form 10, the preliminary or
final  Information  Statement  or any  amendment  or  supplement  thereto or the
omission or alleged  omission to state  therein a material  fact  required to be
stated therein or necessary to make the statements  therein not misleading based
on information provided by RPC for use therein.

     Section 4.03 General Mutual  Indemnity.  RPC and Marine shall indemnify and
hold each other harmless from and against any Indemnifiable Losses, which may be
imposed or incurred as a result of  litigation in which RPC or Marine is a party
by  virtue  of their  prior  corporate  affiliation  and not as a  result  of or
attributable to the indemnified  party's fault or participation.  RPC and Marine
shall  promptly  notify each other,  as the case may be, of the existence of any
claim  against the other as a result of the  aforesaid  circumstances  and shall
give the indemnifying party reasonable  opportunity to defend such litigation at
such party's  expense and with counsel of its own  selection;  in which case the
indemnifying  party  shall have the right  reasonably  to control the defense or
settlement of such claim, provided that the indemnified party shall at all times
have the right to fully  participate in such defense at its own expense.  If the
indemnifying  party shall,  within a reasonable time after such notice,  fail to
defend,  the indemnified  party shall have the right (but not the obligation) at
the expense  (including  reasonable legal fees and expenses) of the indemnifying
party,  to  undertake  the defense of and to  compromise  or settle,  exercising
reasonable business judgment, such litigation on behalf, for the account, and at
the risk of the indemnifying party. In the event of such litigation,  each party
shall make  available  all  information  and  assistance  as the other party may
reasonably request.

     Section 4.04 Insurance and Third Party Obligations. No insurer or any other
third party shall be, by virtue of the foregoing indemnification  provisions (a)
entitled to a benefit it would not be entitled to receive in the absence of such
provisions,  (b) relieved of the responsibility to pay any claims to which it is
obligated,  or (c)  entitled  to any  subrogation  rights  with  respect  to any
obligation hereunder.

                                    ARTICLE V

                           INDEMNIFICATION PROCEDURES

     Section 5.01 Notice and Payment of Claims.  If any RPC Indemnitee or Marine
Indemnitee (the "Indemnified Party") determines that it is or may be entitled to
indemnification  by a party (the  "Indemnifying  Party") under Article IV (other
than in  connection  with any  Action or claim  subject to  Section  5.02),  the
Indemnified  Party  shall  deliver to the  Indemnifying  Party a written  notice
specifying,  to the extent reasonably  practicable,  the basis for its claim for
indemnification  and the  amount  for which  the  Indemnified  Party  reasonably
believes it is entitled to be indemnified.  After the  Indemnifying  Party shall
have been so  notified,  the  Indemnifying  Party  shall,  within 30 days  after
receipt of such notice,  pay the Indemnified  Party such amount in cash or other
immediately available funds (or reach agreement with the Indemnified Party as to
a mutually agreeable alternative payment schedule) unless the Indemnifying Party
objects  to  the  claim  for  indemnification  or  the  amount  thereof.  If the
Indemnifying  Party does not give the Indemnified Party written notice objecting
to such claim and  setting  forth the  grounds  therefor  within the same 30 day
period,  the  Indemnifying  Party  shall  be  deemed  to have  acknowledged  its
liability for such claim and the  Indemnified  Party may exercise any and all of
its rights under  applicable  law to collect such amount.  Any amount owed under
this  Section  5.01 that is not paid within such 30 day period,  or is otherwise

                                       9
<PAGE>

past due,  shall bear  interest at a simple rate of interest  per annum equal to
the Prime Rate plus 2%.

     Section 5.02 Notice and Defense of Third Party Claims.  Promptly  following
the earlier of (a) receipt of notice of the commencement by a third party of any
Action against or otherwise  involving any  Indemnified  Party or (b) receipt of
information  from a third party  alleging the  existence  of a claim  against an
Indemnified Party, in either case with respect to which  indemnification  may be
sought pursuant to this Agreement (a "Third Party Claim"), the Indemnified Party
shall give the  Indemnifying  Party written notice  thereof.  The failure of the
Indemnified  Party to give  notice as provided  in this  Section  5.02 shall not
relieve the Indemnifying  Party of its obligations under this Agreement,  except
to the extent that the Indemnifying  Party is prejudiced by such failure to give
notice.  Within 30 days after  receipt of such notice,  the  Indemnifying  Party
shall by giving written notice thereof to the Indemnified Party (a) acknowledge,
as between the parties  hereto,  liability for, and at its option  assumption of
the defense of such Third Party Claim at its sole cost and expense or (b) object
to the  claim of  indemnification  set  forth  in the  notice  delivered  by the
Indemnified  Party  pursuant to the first  sentence of this Section 5.02 setting
forth the grounds  therefor;  provided that if the  Indemnifying  Party does not
within  the  same 30 day  period  give  the  Indemnified  Party  written  notice
acknowledging  liability and electing to assume the defense or objecting to such
claim and setting forth the grounds  therefor,  the Indemnifying  Party shall be
deemed to have acknowledged, as between the parties hereto, its liability to the
Indemnified Party for such Third Party Claim. Any contest of a Third Party Claim
as to which the  Indemnifying  Party has elected to assume the defense  shall be
conducted  by  attorneys  employed  by the  Indemnifying  Party  and  reasonably
satisfactory to the Indemnified Party; provided that the Indemnified Party shall
have the right to  participate  in such  proceedings  and to be  represented  by
attorneys of its own choosing at the Indemnified  Party's sole cost and expense.
If the  Indemnifying  Party  assumes  the defense of a Third  Party  Claim,  the
Indemnifying  Party may settle or compromise the claim without the prior written
consent of the Indemnified  Party;  provided that the Indemnifying Party may not
agree to any such settlement pursuant to which any remedy or relief,  other than
monetary  damages  for  which  the  Indemnifying   Party  shall  be  responsible
hereunder,  shall be applied to or against the  Indemnified  Party,  without the
prior  written  consent of the  Indemnified  Party,  which  consent shall not be
unreasonably  withheld. If the Indemnifying Party does not assume the defense of
a Third Party Claim for which it has acknowledged  liability for indemnification
under Article IV, the Indemnified  Party may require the  Indemnifying  Party to
reimburse it on a current basis for its  reasonable  expenses of  investigation,
reasonable  attorney's fees and reasonable  out-of-pocket  expenses  incurred in
defending  against  such Third Party Claim and the  Indemnifying  Party shall be
bound by the result  obtained  with respect  thereto by the  Indemnified  Party;
provided  that the  Indemnifying  Party  shall not be liable for any  settlement
effected without its consent,  which consent shall not be unreasonably withheld.
The Indemnifying Party shall pay to the Indemnified Party in cash the amount for
which the  Indemnified  Party is entitled to be  indemnified  (if any) within 15
days after the final  resolution of such Third Party Claim (whether by the final
nonappealable judgment of a court of competent  jurisdiction or otherwise),  or,
in the case of any Third Party Claim as to which the Indemnifying  Party has not
acknowledged liability, within 15 days after such Indemnifying Party's objection
has been resolved by settlement,  compromise or the final nonappealable judgment
of a court of competent jurisdiction.

                                       10
<PAGE>

                                   ARTICLE VI

                                EMPLOYEE MATTERS

     Section  6.01  Employee  Benefits  Agreement.  All  matters  relating to or
arising out of any employee  benefit,  compensation  or welfare  arrangement  in
respect of any employee of Marine or Chaparral shall be governed by the Employee
Benefits  Agreement.  In the event of any  inconsistency  between  the  Employee
Benefits  Agreement,  this  Agreement  or any  other  Ancillary  Agreement,  the
Employee Benefits Agreement shall govern.

     Section 6.02 Dual Employees. Several current executive officers of RPC will
be executive  officers of both RPC and Marine immediately after the Distribution
Date.  Two-thirds of each such executive  officer's RPC options and  performance
restricted  stock  awards  that have not been earned and issued into escrow will
remain  subject  to the RPC  1994  Employee  Stock  Incentive  Plan  and will be
adjusted as provided in the Employee Benefits  Agreement,  and one-third of such
options  and awards will be replaced  with  options and awards  under the Marine
2001  Employee  Stock  Incentive  Plan  as  provided  in the  Employee  Benefits
Agreement.

                                   ARTICLE VII

                                   TAX MATTERS

     Section 7.01 Tax Sharing Agreement.  All matters relating to Taxes shall be
governed  exclusively  by  the  Tax  Sharing  Agreement.  In  the  event  of any
inconsistency  between the Tax Sharing  Agreement,  this  Agreement or any other
Ancillary Agreement, the Tax Sharing Agreement shall govern.

                                  ARTICLE VIII

                               ACCOUNTING MATTERS

     Section 8.01  Allocation of Prepaid  Items and Reserves.  All prepaid items
and reserves that have been  maintained by RPC on a consolidated  basis but that
relate in part to Assets or Liabilities  of Chaparral or the Boat  Manufacturing
Business  shall be allocated  between RPC and Marine as determined by RPC in its
reasonable discretion.

     Section 8.02 Accounting  Treatment.  The transfer by RPC of Chaparral Stock
and any other Boat  Manufacturing  Business  Assets to Marine  pursuant  to this
Agreement shall constitute a capital contribution by RPC to Marine.

     Section  8.03  Fifteen  Million  Dollar Cash  Balance and  Cancellation  of
Intercompany  Accounts. As used herein, "RPC Intercompany Balance" means the net
intercompany  account  balance payable by members of the RPC Group to members of
the Marine Group as of the Effective Time. On or before the  Distribution  Date,
RPC shall  prepare  and  deliver  to  Marine a  preliminary  Boat  Manufacturing
Business  balance  sheet which shall set forth a good faith  estimate of the RPC
Intercompany  Balance as of the Effective  Time.  On or before the  Distribution

                                       11
<PAGE>

Date, RPC shall pay to Marine that portion of the RPC Intercompany Balance equal
to (i) $15 million less (ii) the amount of cash or cash equivalents shown on the
preliminary Boat Manufacturing  Business balance sheet as an asset of the Marine
Group (the "Preliminary Payment Amount"). Within thirty (30) business days after
the  Effective  Time,  RPC shall  prepare  and  deliver  to Marine a final  Boat
Manufacturing Business balance sheet which shall set forth the final calculation
of the RPC Intercompany  Balance and a calculation of an amount equal to (i) $15
million less (ii) the amount of cash or cash equivalents shown on the final Boat
Manufacturing  Business  balance  sheet  as an asset of the  Marine  Group  (the
"Definitive  Payment Amount") as of the Effective Time. Within ten (10) business
days after the delivery of the final Boat Manufacturing  Business balance sheet,
RPC shall pay to Marine  any  amount  by which  the  Definitive  Payment  Amount
exceeds the Preliminary Payment Amount (or Marine shall pay to RPC any amount by
which the Preliminary  Payment Amount exceeds the Definitive  Payment Amount, as
the case may be). All amounts paid by RPC to Marine  hereunder shall be credited
against the RPC  Intercompany  Balance on Marine's  balance  sheet (and  debited
against RPC's balance  sheet).  Any  remaining RPC  Intercompany  Balance on the
books of Marine  and RPC in excess of all such  amounts so paid by RPC to Marine
hereunder  shall be cancelled  by Marine and RPC. Any disputes  arising from the
adjustments  required by the final Boat  Manufacturing  Business  balance  sheet
shall be resolved in accordance with Section 12.10 hereof.

                                   ARTICLE IX

                               TRANSITION SUPPORT

     Section 9.01 Transition Support Services Agreement. All matters relating to
the provision of support services by the RPC Group to the Marine Group after the
Effective Time shall be governed  exclusively by the Transition Support Services
Agreement.  In the event of any  inconsistency  between the  Transition  Support
Agreement,  this  Agreement or any other  Ancillary  Agreement,  the  Transition
Support Services Agreement shall govern.

                                    ARTICLE X

                                   INFORMATION

     Section  10.01  Provision  of  Corporate  Records.  As soon as  practicable
following  the  Effective  Time,  RPC and  Marine  shall  each  arrange  for the
provision to the other of existing corporate documents (e.g. minute books, stock
registers,  stock  certificates,  documents  of title,  contracts,  etc.) in its
possession  relating  to the other or its  business  and affairs or to any other
entity that is part of such  other's  respective  Group or to the  business  and
affairs of such other entity.

     Section 10.02 Access to Information. From and after the Effective Time, RPC
and Marine  shall each afford the other and its  accountants,  counsel and other
designated representatives reasonable access (including using reasonable efforts
to give  access to  persons or firms  possessing  information)  and  duplicating
rights  during  normal  business  hours  to  all  records,   books,   contracts,
instruments,  computer  data and other data and  information  in its  possession
relating  to the  business  and  affairs  of the  other or a member of its Group

                                       12
<PAGE>

(other  than  data  and  information  subject  to an  attorney/client  or  other
privilege),  insofar  as  such  access  is  reasonably  required  by  the  other
including, without limitation, for audit, accounting and litigation purposes.

     Section  10.03  Litigation  Cooperation.  RPC and  Marine  shall  each  use
reasonable  efforts to make available to the other,  upon written  request,  its
officers,  directors,   employees  and  agents,  and  the  officers,  directors,
employees and agents of its  subsidiaries,  as witnesses to the extent that such
persons may reasonably be required in connection with any legal,  administrative
or other proceedings  arising out of the business of the other, or of any entity
that is part of the others'  respective  Group,  prior to the Effective  Time in
which the requesting  party or one of its  subsidiaries may from time to time be
involved.

     Section 10.04 Retention of Records.  Except as otherwise required by law or
agreed to in writing, each party shall, and shall cause the members of its Group
to, retain all information  relating to the other's  business in accordance with
the past practice of such party. Notwithstanding the foregoing, either party may
destroy or otherwise  dispose of any  information at any time in accordance with
the corporate record  retention policy  maintained by such party with respect to
its own records.

     Section  10.05  Confidentiality.  Each party  shall,  and shall  cause each
member of its Group to,  hold and  cause  its  directors,  officers,  employees,
agents, consultants and advisors to hold, in strict confidence, unless compelled
to  disclose by  judicial  or  administrative  process or, in the opinion of its
counsel,  by other  requirements  of law, all  information  concerning the other
party (except to the extent that such  information can be shown to have been (a)
in the public domain through no fault of such  disclosing  party or (b) lawfully
acquired after the Effective Time on a non-confidential basis from other sources
by the  disclosing  party),  and neither  party shall  release or disclose  such
information  to any other  person,  except its  auditors,  attorneys,  financial
advisors, bankers and other consultants and advisors who shall be advised of the
provisions  of this  Section  10.05 and be bound by them.  Each  party  shall be
deemed  to  have  satisfied  its  obligation  to hold  confidential  information
concerning  or supplied by the other party if it  exercises  the same care as it
takes to preserve confidentiality for its own similar information.

                                   ARTICLE XI

                              INTEREST ON PAYMENTS

     Section  11.01  Interest.  Except as otherwise  expressly  provided in this
Agreement  or an  Ancillary  Agreement,  all  payments by one party to the other
under this Agreement or any Ancillary  Agreement shall be paid, by check or wire
transfer  of  immediately  available  funds to an account  in the United  States
designated by the recipient, within 30 days after receipt of an invoice or other
written  request  for  payment  setting  forth  the  specific  amount  due and a
description of the basis  therefor in reasonable  detail.  Any amount  remaining
unpaid  beyond its due date,  including  disputed  amounts  that are  ultimately
determined to be payable,  shall bear interest at a rate of simple  interest per
annum equal to the Prime Rate plus 2%.

                                       13
<PAGE>

                                   ARTICLE XII

                                  MISCELLANEOUS

     Section 12.01 Expenses.  Except as specifically  provided in this Agreement
or any  Ancillary  Agreement  and except as to salaries of any persons who as of
the Effective Time are employees of both RPC and Marine,  all costs and expenses
incurred  prior  to the  Effective  Time in  connection  with  the  preparation,
execution,  delivery and  implementation  of this  Agreement  and the  Ancillary
Agreements and with the  consummation of the  transactions  contemplated by this
Agreement   (including   transfer  taxes  and  the  fees  and  expenses  of  the
Distribution  Agent and of all  counsel,  accountants  and  financial  and other
advisors)  shall  be paid by RPC and all such  costs  incurred  at or after  the
Effective Time shall be paid by the party incurring such costs.

     Section 12.02 Notices.  All notices and communications under this Agreement
shall be  deemed  to have  been  given  (a) when  received,  if such  notice  or
communication  is delivered by facsimile,  hand  delivery or overnight  courier,
and, (b) three (3) business days after  mailing if such notice or  communication
is sent by United States registered or certified mail, return receipt requested,
first class postage prepaid.  All notices and  communications,  to be effective,
must be  properly  addressed  to the party to whom the same is  directed  at its
address as follows:

         If to RPC, to:             RPC, Inc.
                                    2170 Piedmont Road, N.E.
                                    Atlanta, Georgia  30324
                                    Attention:  Richard A. Hubbell
                                    Facsimile:  404-321-5483

         with a copy to:            Robert P. Finch, Esq.
                                    Arnall Golden & Gregory LLP
                                    2800 One Atlantic Center
                                    1201 West Peachtree Street
                                    Atlanta, Georgia  30309-3450
                                    Facsimile:  404-873-8617

         If to Marine, to:          Marine Products Corporation
                                    2170 Piedmont Road, N.E.
                                    Atlanta, Georgia  30324
                                    Attention:  Ben M. Palmer
                                    Facsimile:  404-321-5483

         with a copy to:            Robert P. Finch, Esq.
                                    Arnall Golden & Gregory LLP
                                    2800 One Atlantic Center
                                    1201 West Peachtree Street
                                    Atlanta, Georgia  30309
                                    Facsimile:  404-873-8617

                                       14
<PAGE>

Either party may, by written  notice  delivered to the other party in accordance
with this  Section  12.02,  change the  address to which  delivery of any notice
shall thereafter be made.

     Section 12.03  Amendment and Waiver.  This  Agreement may not be altered or
amended,  nor may any rights  hereunder be waived,  except by an  instrument  in
writing  executed by the party or parties to be charged  with such  amendment or
waiver. No waiver of any terms, provision or condition of or failure to exercise
or delay in exercising any rights or remedies under this  Agreement,  in any one
or more  instances,  shall be  deemed  to be,  or  construed  as, a  further  or
continuing waiver of any such term, provision,  condition, right or remedy or as
a waiver of any other term, provision or condition of this Agreement.

     Section 12.04 Entire Agreement. This Agreement, together with the Ancillary
Agreements,  constitutes  the entire  understanding  of the parties  hereto with
respect to the  subject  matter  hereof,  superseding  all  negotiations,  prior
discussions  and prior  agreements and  understandings  relating to such subject
matter.  To the extent that the  provisions of this  Agreement are  inconsistent
with the provisions of any Ancillary Agreement, the provisions of such Ancillary
Agreement shall prevail with respect to the subject matter hereof.

     Section 12.05 Parties in Interest. Neither of the parties hereto may assign
its rights or delegate any of its duties under this Agreement  without the prior
written  consent of the other party.  This Agreement  shall be binding upon, and
shall  inure  to the  benefit  of,  the  parties  hereto  and  their  respective
successors and permitted assigns.  Nothing contained in this Agreement,  express
or  implied,  is intended to confer any  benefits,  rights or remedies  upon any
person or entity  other than  members of the RPC Group and the Marine  Group and
the RPC Indemnitees and Marine Indemnitees under Articles IV and V hereof.

     Section 12.06 Further  Assurances and Consents.  In addition to the actions
specifically  provided  for  elsewhere  in this  Agreement,  each of the parties
hereto will use its  reasonable  efforts to (a) execute and deliver such further
instruments  and  documents  and take such other  actions as any other party may
reasonably  request in order to effectuate the purposes of this Agreement and to
carry out the terms hereof and (b) take, or cause to be taken, all actions,  and
do, or cause to be done, all things,  reasonably necessary,  proper or advisable
under applicable laws, regulations and agreements or otherwise to consummate and
make  effective the  transactions  contemplated  by this  Agreement,  including,
without  limitation,  using its  reasonable  efforts to obtain any  consents and
approvals,  make any  filings  and  applications  and remove any liens,  claims,
equity  or other  encumbrance  on an  Asset  of the  other  party  necessary  or
desirable  in  order  to  consummate  the  transactions   contemplated  by  this
Agreement;  provided  that  no  party  hereto  shall  be  obligated  to pay  any
consideration therefor (except for filing fees and other similar charges) to any
third party from whom such  consents,  approvals and amendments are requested or
to take any action or omit to take any  action if the taking of or the  omission
to take such action would be  unreasonably  burdensome to the party or its Group
or the business thereof.

     Section 12.07 Severability.  The provisions of this Agreement are severable
and should any provision  hereof be void,  voidable or  unenforceable  under any
applicable  law,  such  provision  shall  not  affect  or  invalidate  any other
provision of this Agreement,  which shall continue to govern the relative rights
and  duties of the  parties  as though  such  void,  voidable  or  unenforceable
provision were not a part hereof.

                                       15
<PAGE>

     Section  12.08   Governing  Law.  This  Agreement  shall  be  construed  in
accordance  with,  and  governed  by, the laws of the State of Georgia,  without
regard to the conflicts of law rules of such state.

     Section 12.09  Counterparts.  This Agreement may be executed in one or more
counterparts,  each of which shall be deemed an original instrument,  but all of
which together shall constitute but one and the same Agreement.

     Section 12.10 Disputes.

          (a) All disputes  arising from or in  connection  with this  Agreement
including, without limitation, any arising from Articles IV or V hereof, whether
based on contract,  tort, statute or otherwise,  including,  but not limited to,
disputes in connection with claims by third parties (collectively,  "Disputes"),
shall be resolved only in accordance  with the provisions of this Section 12.10;
provided,  however,  that nothing  contained  herein shall preclude either party
from  seeking  or  obtaining  (i)  injunctive  relief  to  prevent  an actual or
threatened breach of any of the provisions of this Agreement,  or (ii) equitable
or other judicial  relief to enforce the provisions of this Section 12.10 hereof
or to preserve the status quo pending resolution of Disputes hereunder.

          (b)  Either  party  may give the  other  party  written  notice of any
Dispute not  resolved  in the normal  course of  business.  Within 10 days after
delivery of the notice of a Dispute,  the  receiving  party shall  submit to the
other a written response.  The notice and the response shall include a statement
of such party's position and a summary of arguments supporting that position and
the name and title of the  executive  who will  represent  that party and of any
other person who will accompany such executive in resolving the Dispute.  Within
twenty (20) days after  delivery of the first  notice,  the  executives  of both
parties shall meet at a mutually  acceptable  time and place,  and thereafter as
often as they reasonably  deem  necessary,  and shall negotiate in good faith to
attempt to resolve the Dispute.  All reasonable requests for information made by
one party to the other will be honored.

          (c) If the Dispute has not been resolved by  negotiation  within sixty
(60) days of the first party's  notice,  the Dispute  shall be  submitted,  upon
application of either party, for resolution by binding arbitration in accordance
with the Commercial  Arbitration Rules of the American  Arbitration  Association
(the "Rules").  Arbitration shall be by a single  arbitrator  experienced in the
matters that are at issue in the Dispute,  which arbitrator shall be selected by
the parties in accordance with the Rules. The arbitration  shall be conducted in
Atlanta,  Georgia.  The decision of the arbitrator shall be final and binding as
to all matters at issue in the Dispute;  provided,  however,  if necessary  such
decision may be enforced by either party in any court of law having jurisdiction
over the parties or the subject  matter of the  Dispute.  Unless the  arbitrator
shall assess the costs and  expenses of the  arbitration  proceeding  and of the
parties  differently,  each party shall pay its costs and  expenses  incurred in
connection  with the arbitration  proceeding,  and the costs and expenses of the
arbitrator shall be shared equally by the parties.

                                       16
<PAGE>

     IN WITNESS  WHEREOF,  the parties  hereto have executed and delivered  this
Agreement as of the day and year first above written.

                                   RPC, INC.,
                                   a Delaware corporation

                                   By: _______________________________
                                   Name:______________________________
                                   Its:_______________________________

                                   MARINE PRODUCTS CORPORATION,
                                   a Delaware corporation

                                   By:_______________________________
                                   Name: ____________________________
                                   Its:______________________________

                                       17
<PAGE>

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