Document:

DiaSys Corporation - Exhibit 10.2

 

EXHIBIT  10.2 

SETTLEMENT AGREEMENT AND GENERAL RELEASE

                WHEREAS,
Todd M. DeMatteo ("DeMatteo") has filed a claim with the American Arbitration
Association ("AAA") (No.121160063703) against DiaSys Corporation, a Delaware corporation
("Employer" or "DiaSys") alleging breach of employment contract; and 

                WHEREAS,
the Employer and DeMatteo agree that a settlement and resolution of their differences
on the terms described below would best serve their individual interests, 

                NOW,
THEREFORE, the Employer and DeMatteo agree to the following as of July
14, 2004, the Effective Date hereof ("Effective Date"): 

                1.                The
Employer agrees to pay DeMatteo the gross sum of Two Hundred Thousand Dollars
($200,000.00), less the employee's share of customary employment related taxes
and withholding for the severance compensation portion and the sum of Seventy
Eight Thousand Dollars ($78,000.00) as reimbursement for payment of attorney's
fees and AAA fees, on or before August 16, 2004, and a further sum of Two Hundred
Thousand Dollars ($200,000.00) less the employee's share of customary employment
related taxes and customary withholding for the severance compensation portion,
on or before September 16, 2004. DeMatteo shall provide to DiaSys documentation
necessary to satisfy federal and Connecticut withholding requirements if DiaSys
so requests. DeMatteo agrees to provide to DiaSys a signed withdrawal of his claim
against DiaSys before the AAA (No. 121160063703) and in Connecticut Superior Court,
J.D. at Waterbury (No. CV03-0177184), together with executed Releases of Liens
sufficient to release all liens on any property, goods, or patents of DiaSys to
be held in escrow by Employer's counsel, Robert B. Cohen. Until the settlement
amount of Four Hundred Seventy Eight Thousand Dollars ($478,000.00) is paid in
full to DeMatteo, said withdrawal of action and Releases of Liens shall not be
filed. After proof of payment of all sums to DeMatteo, Robert B. Cohen will file
the same with the appropriate parties or offices. Thereafter, DeMatteo shall execute
and deliver to Robert B. Cohen any further releases as shall be necessary to fully
release and discharge all liens and claims in favor of DeMatteo. 

                2.                
All payments shall be made to Durant, Nichols, Trustee for Todd M. DeMatteo and
shall be sent via wire transfer to DeMatteo at: Westport National Bank, Fairfield,
Connecticut to Durant, Nichols Escrow Account, ABA # 021113251, Escrow Account
# 1054196. 

                3.                
Employer agrees that in the event it fails to pay to DeMatteo the sum of Two Hundred
Seventy Eight Thousand Dollars ($278,000.00) on or before August 14, 2004 and
such failure continues for three (3) business days after receipt by Employer of
a notice from DeMatteo that such amount has not been paid (such notice to be served
by either certified mail - return receipt requested or nationally recognized overnight
courier, directed to the Employer with a copy to the attorneys for the Employer
and served in the same manner), the parties hereby stipulate to judgment in favor
of DeMatteo, filed by DeMatteo in the Connecticut Superior Court, Judicial District
of Waterbury, in DeMatteo v. DiaSys Corporation, No. CV03-0177184, without requirement
of further notice of one party to the other, without any right to an adversarial
hearing of any nature, and without any appeal, set-off, counter-claim, or defense
of any nature or type by Employer, for the sum of Eight Hundred Seventy Five Dollars
($875,000.00), in accordance with the attached stipulated judgment signed by counsel
for both parties (attached as Exhibit C) to be held in escrow by DeMatteo's counsel,
Christopher M. Hodgson, and to be filed only if Employer fails to make the payment
described herein. Employer shall also pay DeMatteo's attorneys' fees and all costs
incurred in entering and collecting the judgment. 

                
4.                 Employer
agrees that in the event it fails to pay to DeMatteo the sum of Two Hundred Thousand
Dollars ($200,000.00) due on or before September 16, 2004 and such failure continues
for three (3) business days after receipt by Employer of a notice from DeMatteo
that such amount has not been paid (such notice to be served by either certified
mail - return receipt requested or nationally recognized overnight courier, directed
to the Employer with a copy to the attorneys for the Employer and served in the
same manner), the parties hereby stipulate to judgment in favor of DeMatteo, to
be filed by DeMatteo in the Connecticut Superior Court, Judicial District of Waterbury,
in DeMatteo v. DiaSys Corporation, No. CV03-0177184, without requirement of further
notice of one party to the other, without any right to an adversarial hearing
of any nature, and without any appeal, set-off, counter-claim, or defense of any
nature or type by Employer, for the sum of Five Hundred Seventy Five Thousand
Dollars ($575,000.00), in accordance with the attached stipulated judgment signed
by counsel for both parties (attached as Exhibit D) to be held in escrow by DeMatteo's
counsel, Christopher M. Hodgson, and to be filed only if Employer fails to make
the payment described herein. Employer shall also pay DeMatteo's attorneys' fees
and all costs incurred in entering and collecting the judgment. 

                
5.                
In consideration for the payments and benefits described in Paragraph 1 and for
other valuable consideration contained herein, DeMatteo, hereby for himself, his
heirs, executors, administrators, successors and 

 assigns, releases and forever discharges Employer, and all of
its present or former officers, directors, employees, attorneys, agents and all
of its subsidiaries and affiliates (collectively "Released Parties"), of and from
all claims or causes of action or other demands whatsoever known and unknown,
including but not limited to those arising out of and/or related to the complaint
filed with the AAA (No. 12116006370) and/or any other claim, which has previously
arisen or could have arisen in any manner against the Released Parties including
but not limited to those arising out of and/or related to his employment relationship
with the Employer, the termination of that relationship, or any claims of tortious
injury, or damages or otherwise from the beginning of the world through the date
hereof. DeMatteo further covenants and agrees that he will not file, initiate,
or cause to be initiated, or induce or encourage any other person or entity to
file, initiate, cause, or permit to be initiated, any claim or cause of action
of any type against Employer by, with or through any third party. DeMatteo understands
and acknowledges that this is a general release and he intends to be bound by
same. Notwithstanding the foregoing, nothing in this Agreement shall impede, limit
or invalidate any rights, entitlements or prerogatives which DeMatteo has as a
shareholder of the Employer. This Section shall not be construed to release any
liabilities and/or obligations of Employer as set forth in this Agreement, which
matters are explicitly reserved. 

                6.                
In consideration for the withdrawal of DeMatteo's claims described in Paragraphs
1 and for such other valuable consideration expressed in this Agreement, Employer,
hereby for itself, its present or former officials, directors, employees, agents,
and all of its subsidiaries and affiliates, releases and forever discharge DeMatteo,
and all of his heirs, executors, administrators and assigns (collectively "Released
Parties"), of and from all claims or causes of action or other demands whatsoever,
including but not limited to any claims which have previously arisen or could
have arisen out of DeMatteo's employment relationship with the Employer or the
termination of that relationship, any claims of breach of employment agreement
or restrictive covenants, or any claims relating to DeMatteo's service as a Director
of the Employer, and shall provide a signed withdrawal of its appeal in DeMatteo
v. DiaSys Corporation (A.C. No. 24730) by July 23, 2004 to DeMatteo's counsel,
Christopher M. Hodgson. Employer further covenants and agrees that it will not
file, initiate, or cause to be initiated, or induce or encourage any other person
or entity to file initiate, cause or permit to be initiated any claim or cause
of action of any type against any Released Party by, with or through any third
party. This Section shall not be construed to release any liabilities and/or obligations
of DeMatteo as set forth in this Agreement, which matters are explicitly reserved.
Employer shall pay any outstanding American Arbitration Association invoices in
Case No. 12116006703. 

                 7.                
Nothing herein shall be deemed to release such obligations as the Employer may
have to defend, indemnify and hold DeMatteo harmless from any actions as provided
by Delaware corporate law or, the Employer's bylaws in effect as of January 30,
2003 provided nothing herein shall be deemed to create such an obligation. Employer
shall provide DeMatteo with such other protections and assurances to the same
extent as Employer agreed to provide to those Directors who resigned on or about
January 17, 2003 to the extent that coverage is available. 

                8.                
NON-COMPETE PROVISIONS 

                a.
                In
further consideration for the Employer's promises and obligations to DeMatteo
as contained in this Agreement, DeMatteo agrees that he will not, alone or together
with any other person, firm or other entity manufacture, market and/or sell products
which compete with any of Employer's products set forth in Exhibit(s) A to this
Agreement (which is made a part hereof as more fully set forth herein). The products
and technology and improvements thereto covered by this non-compete provision
are set forth in Exhibit(s) A to this Agreement which is made a part hereof as
more fully set forth herein. This covenant not to compete shall expire upon the
earlier of: (a) two (2) years after the execution of this Agreement (July 16,
2006), (b) the date upon which the Employer files for a petition of bankruptcy
or similar protection; (c) the date upon which Employer ceases operations, excluding
merger or acquisition; (d) the date upon which any involuntary petition of bankruptcy
is filed against Employer and such petition is not removed within sixty (60) days
thereafter. 

                b.
                In
the event the restrictions contained in this Section shall be determined by a
court of competent jurisdiction to be partially or totally invalid or unenforceable
by reason of the duration in time or because of the scope of activities prohibited
thereby, or for any reason, then and only then such restriction shall be deemed
modified to the minimum extent necessary to render them valid and enforceable
for the maximum duration and scope for which they could legally be made and enforced
under the laws of such jurisdiction. 

                c.
                Notwithstanding
any wording of the preceding paragraphs of this Agreement to the contrary, Mr.
DeMatteo may engage in the business of investment banking and consult or perform
work for any company as long as he is not competing in any capacity in the selling,
developing manufacturing or distributing any of the products identified in Exhibit(s)
A. 

                d.
                DeMatteo
agrees for himself, his heirs, successors and assigns that if he commits a violation
of the prohibited acts set forth in paragraphs 8 a. above and the violations are
upheld by a court of competent jurisdiction and damages are awarded to DiaSys
Corporation as a result of said acts, then DeMatteo shall pay any judgment of
damages awarded by a competent Court. DeMatteo agrees that jurisdiction of any
claims under this paragraph is in the Connecticut courts and that service can
be made upon DeMatteo wherever located. 

                 e.                
In addition to damages for any violation of the non-compete provisions above,
DiaSys shall be entitled to an award from DeMatteo for attorneys' fees and costs
of suit and DeMatteo agrees that he will consent to jurisdiction for any claims
by DiaSys for an injunction against the prohibited acts. The prevailing party
shall be entitled to attorneys' fees and costs. DeMatteo agrees he will consent
to jurisdiction in Connecticut with regard to the injunction hearing. 

                9.
                In
further consideration of Employer's promises and obligations contained in this
Agreement, DeMatteo, for himself or any other entity, during the term of such
non-compete provision defined in Paragraph 8 above, shall not solicit business
OF ANY TYPE with any of Employer's distributors or current employees or solicit
for employment such employees, with the exception of Hua Sin Science Co., LTD
in China with whom DeMatteo has a special relationship, but subject nevertheless
to DeMatteo's obligations under Paragraph 8 hereto. 

                10.
              Employer
agrees not to publish orally or in writing any statement or information relative
to DeMatteo or this Agreement without DeMatteo's prior written consent, which
shall not be unreasonably withheld, conditioned or delayed. Any press release
issued shall be in writing and shall be signed by DeMatteo and an authorized officer
of the corporation and as attached hereto as Exhibit B. 

                11.
              It
is mutually agreed that this Agreement does not constitute an admission of wrongdoing
by the Employer or DeMatteo of any type. 

                12.
              Each
party acknowledges that entering this Agreement is wholly his or its free act
and deed, undertaken with full understanding and appreciation of the act and its
ramifications and only after he or it has had an opportunity to consult with his
advisor(s), legal and otherwise, and is free from coercion or persuasion of any
kind. 

                13.              
This agreement supersedes any and all other written or oral agreements or representations
between the parties and cannot be amended except in a specific writing executed
by all parties either personally, or in the case of a corporate party, by a duly
authorized representative. 

                14.
              The
parties agree that the provisions of this Agreement are severable and that if
any of its terms are deemed unenforceable, the remaining provisions of the Agreement
shall remain in effect. 

                 15.              
The provisions of this Agreement shall be interpreted in accordance with the laws
of the State of Connecticut. Any action or proceeding to enforce or interpret
this Agreement shall be brought in Connecticut Superior Court of United States
District Court for the State of Connecticut. 

                16.
              The
Employer's rights and obligations hereunder may be freely assigned to any acquirer
of the Employer. 

                17.              
DeMatteo represents and warrants that he has not assigned any claims or liens
or interests therein, including but not limited to those to be released pursuant
to this Agreement against the Employer or its property to any other person. 

                18.
              DeMatteo
represents and warrants that he knows of no actual, pending or threatened action
against Employer other than those which DeMatteo has already brought. 

                19.
              DiaSys
represents and warrants that it has no knowledge of any claims or facts which
individually or in the aggregate could be construed to be the basis for a claim
against DeMatteo and in favor of any person or entity which is not released by
this Agreement. 

                
Dated as of July 16, 2004. 

	Witness:	 	TODD DEMATTEO
	 	 	 
	S/CHRISTOPHER HODGSON 	 	S/TODD DEMATTEO
	 	 	 
	 	 	Date: 7/16/04
	 	 	 
	 	 	 
	 	 	                      DIASYS
      CORPORATION
	 	 	 
	S/CHRISTOPHER HODGSON	 	By: S/GREGORY WITCHEL

                 Gregory
      Witchel, President/CEO 

      

      Date:7/16/04 

 

 

	STATE OF CONNECTICUT)			
		
      ) ss. 

    	Farmington 	July 16, 2004
	COUNTY OF HARTFORD )	
      

    		

               
On this the 16th day of July, 2004, before me, the undersigned officer, personally
appeared TODD DEMATTEO, known to me (or satisfactorily proven) to be the
person whose name is subscribed to the within instrument and acknowledged that
he executed the same for the purposes therein contained. 

               
In Witness Whereof, I hereunto set my hand.

	 	S/CHRISTOPHER HODGSON
	 	Commissioner of the Superior Court

 

	STATE OF CONNECTICUT)			
		
      ) ss. 

    	Farmington 	July 16, 2004
	COUNTY OF HARTFORD )	
      

    		

 

               
On this the 16th day of July, 2004, before me, the undersigned officer, personally
appeared GREGORY WITCHEL, PRESIDENT/CEO of DIASYS CORPORATION, known to me (or
satisfactorily proven) to be the person whose name is subscribed to the within
instrument and acknowledged that he executed the same for the purposes therein
contained. 

               
In Witness Whereof I hereunto set my hand. 

	 	S/ROBERT B. COHEN
	 	Commissioner of the Superior Court$182,500,000

 

 

$182,500,000

TERM LOAN, REVOLVING CREDIT,
GUARANTEE AND SECURITY AGREEMENT

among

MISSISSIPPI CHEMICAL CORPORATION

a Debtor-in-Possession,

as Borrower

and

THE
SUBSIDIARIES OF

MISSISSIPPI CHEMICAL CORPORATION NAMED HEREIN,

as Debtors-in-Possession,

as Guarantors

and

THE LENDERS PARTY HERETO,

and

CITICORP NORTH AMERICA, INC.

as Administrative Agent

Dated as of July 1, 2004

CITIGROUP GLOBAL MARKETS INC.

PERRY PRINCIPALS INVESTMENTS, LLC

as

Joint Lead Arrangers

TABLE OF CONTENTS

  
    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              

Page

                              

                            

                          

                        

                      

                    

                  

                

              

            

          

        

      

    

  

SECTION 1 DEFINITIONS................................................................................................................... 2

1.1.       Defined
Terms................................................................................................................... 2

1.2.       Terms
Generally............................................................................................................... 18

1.3.       Accounting
Terms............................................................................................................ 19

SECTION 2 AMOUNT AND TERMS OF COMMITMENT............................................................... 19

2.1.       Term Loan
Commitments................................................................................................. 19

2.2.       Procedure for
Term Loan Borrowing................................................................................ 19

2.3.       Revolving
Credit Commitments......................................................................................... 19

2.4.       Procedure for
Revolving Credit Borrowing........................................................................ 20

2.5.       Repayment of
Loans; Evidence of Debt............................................................................. 20

2.6.       Interest
Rates and Payment Dates; Computation of Interest and Fees................................. 21

2.7.       Optional
Termination or Reduction of Revolving Credit Commitment.................................. 22

2.8.       Optional
Prepayment of Loans.......................................................................................... 22

2.9.       Mandatory
Prepayment.................................................................................................... 22

2.10.     Pro Rata
Treatment, Etc................................................................................................... 23

2.11.     Requirements
of Law....................................................................................................... 24

2.12.     Taxes.............................................................................................................................. 25

2.13.     Change of
Lending Office................................................................................................ 26

2.14.     Fees............................................................................................................................... 26

2.15.     Nature of Fees............................................................................................................... 27

2.16.     Priority and
Liens........................................................................................................... 27

2.17.     Payment of
Obligations.................................................................................................. 28

2.18.     No Discharge;
Survival of Claims.................................................................................. 28

SECTION 3 REPRESENTATIONS AND WARRANTIES.............................................................. 28

3.1.       Organization
and Qualification; Non-Contravention....................................................... 28

3.2.       No Default................................................................................................................... 28

3.3.       Statements
Made......................................................................................................... 28

3.4.       Financial
Statements..................................................................................................... 29

3.5.       Subsidiaries.................................................................................................................. 29

3.6.       Debt and
Security Interests........................................................................................... 29

3.7.       Approvals.................................................................................................................... 29

3.8.       The Order.................................................................................................................... 29

3.9.       Environmental
Matters; Hazardous Material.................................................................. 29

3.10.     Litigation...................................................................................................................... 30

3.11.     Federal
Regulations...................................................................................................... 30

3.12.     Compliance
with Law................................................................................................... 30

3.13.     Taxes........................................................................................................................... 30

3.14.     ERISA......................................................................................................................... 31

3.15.     Enforceability............................................................................................................... 31

3.16.     Investment
Company Act; Public Utility Holding Company Act; Other Regulations........ 31

3.17.     Restrictive
Agreements................................................................................................. 31

3.18.     No Default
Under Other Agreements........................................................................... 31

3.19.     Material
Adverse Effect............................................................................................... 31

SECTION 4 CONDITIONS PRECEDENT..................................................................................... 31

4.1.       Conditions to
Initial Extension of Credit....................................................................... 31

4.2.       Conditions to
Each Extension of Credit....................................................................... 32

SECTION 5 AFFIRMATIVE COVENANTS................................................................................. 34

5.1.       Financial
Statements, Etc............................................................................................ 34

5.2.       Compliance with
Laws, etc........................................................................................ 35

5.3.       Maintenance
of Property; Insurance........................................................................... 36

5.4.       Inspection................................................................................................................. 36

5.5.       Notice of
Suit or Adverse Change in Business or Default........................................... 36

5.6.       Taxes....................................................................................................................... 36

5.7.       Employee
Benefits.................................................................................................... 36

5.8.       Use of
Revolving Credit Loans................................................................................. 37

5.9.       Use of Term
Loans.................................................................................................. 37

5.10.     Provisions
Applicable Upon the Occurrence of an Event of Default........................... 37

5.11.     Approved Plan........................................................................................................ 37

5.12.     Bank Accounts........................................................................................................ 37

5.13.     Trinidad.................................................................................................................. 37

5.14.     Pledged Stock........................................................................................................ 38

5.15.     MCHI Guaranty..................................................................................................... 38

SECTION 6 NEGATIVE COVENANTS.................................................................................... 38

6.1.       Limitation on
Liens................................................................................................. 38

6.2.       Limitation on
Debt Obligations................................................................................ 39

6.3.       Consolidation
and Merger....................................................................................... 40

6.4.       Limitation on
Sale of Assets.................................................................................... 40

6.5.       Limitation on
Issuances of Dividends and Certain Other Restricted Payments........... 41

6.6.       Limitation on
Investments, Loans and Advances...................................................... 41

6.7.       Transactions
with Affiliates...................................................................................... 41

6.8.       Sale and
Leaseback Transactions............................................................................ 42

6.9.       Fiscal
Periods......................................................................................................... 42

6.10.     New
Subsidiaries.................................................................................................... 42

6.11.     Chapter 11
Claims.................................................................................................. 42

6.12.     No
Restrictions on Subsidiaries............................................................................... 42

6.13.     Capital
Expenditures............................................................................................... 42

6.14.     Minimum EBITDA................................................................................................. 42

6.15.     Assets,
Purchases, Executory Contracts, Pre-Petition Debt and Payments Outside

                   the
Ordinary Course of Business....................................................................... 42

6.16.     Limitation on
Restrictions on Disclosure of Certain Information................................ 43

6.17.     The
Budget............................................................................................................. 43

SECTION 7 EVENTS OF DEFAULT......................................................................................... 43

SECTION 8 THE AGENT........................................................................................................... 46

8.1.       Appointment.......................................................................................................... 46

8.2.       Delegation of
Duties............................................................................................... 46

8.3.       Exculpatory
Provisions........................................................................................... 46

8.4.       Reliance by
Administrative Agent............................................................................ 47

8.5.       Notice of
Default.................................................................................................... 47

8.6.       Non-Reliance
on Agent and Other Lenders............................................................. 47

8.7.       Indemnification........................................................................................................ 48

8.8.       Agent in Its
Individual Capacity................................................................................ 48

8.9.       Successor
Administrative Agent............................................................................... 48

8.10.     Duration of
Agency.................................................................................................. 49

8.11.     Collateral
Security................................................................................................... 49

8.12.     Enforcement by
the Administrative Agent................................................................. 49

SECTION 9 GUARANTEE.......................................................................................................... 49

9.1.       Guarantee............................................................................................................... 49

9.2.       Right of
Contribution............................................................................................... 50

9.3.       No
Subrogation...................................................................................................... 50

9.4.       Amendments,
etc. with respect to the Obligations.................................................... 50

9.5.       Guarantee
Absolute and Unconditional.................................................................... 50

9.6.       Reinstatement......................................................................................................... 51

9.7.       Payments............................................................................................................... 51

SECTION 10 REMEDIES; APPLICATION OF
PROCEEDS.................................................... 51

10.1.     Remedies;
Obtaining the Collateral Upon Default.................................................... 51

10.2.     Remedies;
Disposition of the Collateral.................................................................. 52

10.3.     Application of
Proceeds........................................................................................ 53

10.4.     WAIVER OF
CLAIMS....................................................................................... 53

10.5.     Remedies
Cumulative............................................................................................ 54

10.6.     Discontinuance
of Proceedings.............................................................................. 54

10.7.     Attorney............................................................................................................... 54

SECTION 11 MISCELLANEOUS............................................................................................ 55

11.1.     Amendments and
Waivers..................................................................................... 55

11.2.     Notices................................................................................................................. 56

11.3.     No Waiver;
Cumulative Remedies......................................................................... 57

11.4.     Survival of
Representations and Warranties........................................................... 57

11.5.     Payment of
Expenses and Taxes........................................................................... 57

11.6.     Successors and
Assigns; Participations; Purchasing Lenders.................................. 59

11.7.     Adjustments;
Set‐off............................................................................................ 61

11.8.     Counterparts........................................................................................................ 62

11.9.    GOVERNING LAW.......................................................................................... 62

11.10.   Submission To
Jurisdiction; Waivers...................................................................... 62

11.11.   Intentionally
Deleted............................................................................................. 62

11.12.   Confidentiality...................................................................................................... 62

11.13.   Integration........................................................................................................... 63

11.14.   WAIVERS OF
JURY TRIAL.......................................................................... 63

Schedules

	
  Schedule 1.1

  	
  -

  	
  Commitment Amounts

  
	
  Schedule 3.5

  	
  -

  	
  Subsidiaries

  
	
  Schedule 3.6

  	
  -

  	
  Existing Liens

  
	
  Schedule 3.9

  	
  -

  	
  Environmental Matters

  
	
  Schedule 3.10

  	
  -

  	
  Litigation

  
	
  Schedule 3.13

  	
  -

  	
  Taxes

  
	
  Schedule 5.12

  	
  - 

  	
  Bank Accounts

  
	
  Schedule 6.6

  	
  -

  	
  Intercompany Investments

  
	
  Schedule 6.13

  	
  -

  	
  Maximum Permitted Capital Expenditures

  
	
  Schedule 6.14

  	
  -

  	
  Minimum Required EBITDA

  
	

  	

  	

  
	
  Exhibits

  	

  	

  
	

  	

  	

  
	
  Exhibit A-1

  	
  -

  	
  Form of Term Note

  
	
  Exhibit A-2

  	
  - 

  	
  Form of Revolving Note

  
	
  Exhibit B

  	
  -

  	
  [Intentionally Reserved]

  
	
  Exhibit C

  	
  -

  	
  Form of Legal Opinion

  
	
  Exhibit D

  	
  -

  	
  Form of Compliance Certificate

  
	
  Exhibit E

  	
  -

  	
  Form of Assignment and Acceptance

  
	
  Exhibit F

  	
  -

  	
  Form of Borrowing Base Report

  
	
  Exhibit G

  	
  -

  	
  Form of Interim Order

  
	
  Exhibit H

  	
  -

  	
  Form of Borrowing Certificate

  
	
  Exhibit I

  	
  -

  	
  Farmland MissChem Project Contingent Obligations

  
	

  	

  	

  

TERM LOAN, REVOLVING CREDIT, GUARANTEE AND SECURITY
AGREEMENT, dated as of July 1, 2004, among (i) MISSISSIPPI CHEMICAL
CORPORATION a Mississippi corporation (the "Borrower"), which is a
debtor-in-possession in a case pending under Chapter 11 of the Bankruptcy Code,
(ii) each of the direct and indirect domestic Subsidiaries of Borrower
designated as a Guarantor on Schedule 3.5 hereto (collectively, the "Guarantors"
and together with the Borrower, the "Debtors" and each a "Debtor"),
each of which Guarantors is a debtor-in-possession in a case pending under
Chapter 11 of the Bankruptcy Code (the cases of the Borrower and the
Guarantors, each a "Case" and, collectively, the "Cases"), (iii)
CITICORP north america, INC. ("Citicorp"),
as administrative and collateral agent for the Lenders hereunder (in such
capacity and including any successors, the "Administrative Agent"), (iv)
CITIGROUP GLOBAL MARKETS INC., ("CGMI"), as a joint lead arranger, (v) Perry Principals Investments, LLC as a
joint lead arranger, ("Perry", and together with CGMI, in such capacity,
the "Joint Lead Arrangers") and (vi) each of the financial institutions
from time to time party hereto (collectively, the "Lenders").

INTRODUCTORY STATEMENT

On May 16, 2003 (the "Petition Date"), the Debtors
filed voluntary petitions with the Bankruptcy Court (such term and other
capitalized terms used in this Introductory Statement being used with the
meanings given to such terms in Section 1.1) initiating the Cases and have
continued in the possession of their assets and in the management of their
businesses pursuant to Bankruptcy Code Sections 1107 and 1108.

Pursuant to this Agreement and the Orders, the Lenders are
making available to the Borrower a term loan and revolving loan facility in an
aggregate principal amount not to exceed $182,500,000 (subject to mandatory and
optional reductions in accordance with Sections 2.8 and 2.9), all of the Borrower's
obligations under which are guaranteed by the Guarantors.

The proceeds of the Loans will be used to repay certain
debt outstanding on the date hereof and to provide working capital for, and for
other general corporate purposes of, the Borrower, in all cases subject to the
terms of this Agreement, the Loan Documents and the Orders.

To provide guarantees and security for the repayment of
the Loans and the payment of the other Obligations of the Debtors hereunder and
under the other Loan Documents, the Debtors are providing to the Administrative
Agent and the Lenders, pursuant to this Agreement, the Loan Documents and the
Orders, the following (each as more fully described herein):

(a)  a guarantee from each of the Guarantors of the due
and punctual payment and performance of the Obligations of the Borrower
hereunder and under the Notes;

(b)  with respect to the Obligations of the Loan Parties
hereunder, an allowed administrative expense claim having, pursuant Bankruptcy
Code Section 364(c)(1), Superpriority over any and all administrative expenses
of the kind specified in the Bankruptcy Code Sections 503(c) or 507(b);

(c)  pursuant to Bankruptcy Code Section 364(c)(2) a
perfected first priority lien on, on all property of the Debtors which secures
the Harris DIP Credit Agreement, the Prepetition Credit Agreement or the
Supplemental DIP Credit Agreement on the Closing Date and on all other property
of the Debtors that is not subject to valid, perfected and non-avoidable liens
as of the Closing Date;

(d)  pursuant to Bankruptcy Code Section 364(c)(3) a
perfected junior lien on, all property of the Debtors that is subject to valid,
perfected and non-avoidable liens in existence at the time of the commencement
of the Cases or to valid liens in existence at the time of such commencement
that are perfected subsequent to such commencement as permitted by Section
546(b) of the Bankruptcy Code (other than property that is subject to the liens
that secure the Prepetition Credit Facility, the Harris DIP Credit Agreement or
the Supplemental DIP Credit Agreement which liens (the "Released Liens")
shall be released and discharged on the Closing Date and which property shall
be covered under the liens described in paragraph (c) above); and

(e)  pursuant to Bankruptcy Code Section 364(d)(1), to the
extent not covered in (c) or (d) above, a perfected first priority, senior
priming lien on, and security interest in all present and after-acquired assets
that are presently subject to liens that are junior to the Released Liens.

All of the claims and the Liens granted hereunder and
pursuant to the Orders in the Cases to the Administrative Agent and the Lenders
shall be subject to the Administrative Expense Carve-Out, but in each case only
to the extent provided in Section 2.16 and the Orders.

To provide further security for the repayment of the Loans
and the payment of the other Obligations hereunder, MCHI is providing the MCHI
Guaranty to the Administrative Agent and the Lenders hereunder. 

Accordingly, the parties hereto hereby agree as follows:

SECTION
1

DEFINITION

1.1.            
Defined Terms.

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

"Administrative Agent":  the meaning set forth in
the preamble to this Agreement.

"Administrative Expense Carve-Out":  $1,500,000
plus, prior to the Termination Date, or such earlier date on which the Loans
become due and payable hereunder, an amount equal to accrued and pending
quarterly applications or monthly invoices in accordance with orders of the
Bankruptcy Court for professional fees and expenses (other than fees and
expenses in unpaid invoices of the Administrative Agent, the Lenders and their
professionals) incurred prior to such date to the extent (a) such fees and
expenses have not been paid and (b) of the amount provided for in the Budget
most recently provided to the Administrative Agent prior to the Termination
Date.

"Affiliate":  for any Person, any other Person
(including all directors and officers of such Person) that directly or
indirectly controls, or is under common control with, or is controlled by, such
Person. As used in this definition, "control" means the power, directly or
indirectly, to direct or cause the direction of management or policies of a
Person (through ownership of voting securities, by contract or otherwise),
provided that, in any event for purposes of the definition any Person that owns
directly or indirectly 10% or more of the securities having ordinary voting
power for the election of directors of a corporation or 10% or more of the
partnership or other ownership interests of any other Person will be deemed to
control such corporation or other Person. For purposes of avoiding doubt,
Phosphate Chemicals Export Assoc. shall not be considered an Affiliate of
Borrower.

"Aggregate Exposure":  with respect to any Lender
at any time, an amount equal to (a) until the Closing Date, the aggregate
amount of such Lender's Commitments at such time and (b) thereafter, the sum of
(i) the aggregate then unpaid principal amount of such Lender's Term Loans and
(ii) the amount of such Lender's Revolving Credit Commitment then in effect, or
if the Revolving Credit Commitments have terminated, the amount of such
Lender's Revolving Credit Loans then outstanding.

"Aggregate Exposure Percentage":  with respect to
any Lender at any time, the ratio (expressed as a percentage) of such Lender's
Aggregate Exposure at such time to the sum of the Aggregate Exposures of all
Lenders at such time.

"Aggregate Outstandings":  with respect to any
Lender at any time, an amount equal to the sum of the aggregate principal
amount of all Loans made by such Lender then outstanding.

"Agreement":  this Term Loan, Revolving Credit,
Guarantee and Security Agreement.

"Applicable Margin" means 3.75%.

"Approved Account Debtors" shall mean Alabama
Farmers Coop, Inc., CF Industries, Inc., Phosphate Chemicals Export Assoc.,
Tennessee Farmers Coop, Jimmy Sanders, Inc., Cargill, Inc., Potash Corporation
of Saskatchewan, Inc., IMC Agrico, Inc., ConAgra Fertilizer, Royster Clark,
BASF, Air Products, Debruce Fertilizer, Agriliance, LLC, Dyno Nobel, Inc, Bruce
Oakley, Inc., United Agri Products, Inc., Missouri Farmers Cooperative, Mosaic,
Nelson Brothers, Yara International, Orica Limited and El Dorado Chemical
Company.

"Approved Foreign Account Debtor" shall mean Potash
Corporation of Saskatchewan, Inc.

 "Approved Plan":  a plan of reorganization filed in
the Cases which shall, inter-alia implement the terms of the exit financing
commitment letter agreement dated as of June 23, 2004 among Perry, Citicorp, CGMI
and the Borrower. 

"Assignment and Acceptance":  an assignment and
acceptance entered into by a Lender and an assignee and accepted by the
Administrative Agent, substantially in the form of Exhibit E.

"Authorizations":  all applications, filings,
reports, documents, recordings and registrations with, and all validations,
exemptions, franchises, waivers, approvals, orders or authorizations, consents,
licenses, certificates and permits from Federal, state or local Governmental
Authorities.

"Available Revolving Credit Commitment":  as to any
Revolving Credit Lender at any time, an amount equal to the excess, if any, of
(a) the amount of such Lender's Revolving Commitment then in effect over (b)
such Lender's Revolving Extensions of Credit at such time; collectively, as to
all Lenders, the "Available Revolving Credit Commitments".

"Bankruptcy Code":  The Bankruptcy Reform Act of
1978, as heretofore and hereafter amended, and codified as 11 U.S.C. §§101 et
seq.

"Bankruptcy Court":  the United States Bankruptcy Court
for the Southern District of Mississippi, or any other court having
jurisdiction over the Cases from time to time. 

"Base Rate":  the higher of (a) the Federal Funds
Effective Rate plus one half of one percent (1⁄2%) per annum or (b) the Citibank
Base Rate.  Any change in the Base Rate due to a change in the Citibank Base
Rate or the Federal Funds Effective Rate shall be effective as of the opening
of business on the effective day of such change in the Citibank Base Rate or
the Federal Funds Effective Rate, respectively.

"Base Rate Loans":  Loans the rate of interest
applicable to which is based upon the Base Rate.

"Benefited Lender":  the meaning set forth in
Section 11.7(a).

"Board of Governors":  the Board of Governors of
the Federal Reserve System or any Governmental Authority which succeeds to the
powers and functions thereof.

"Borrower":  the meaning set forth in the preamble
to this Agreement.

"Borrowing":  the making of Loans by the Lenders on
a single Borrowing Date.

"Borrowing Base":  as of any time it is to be
determined, the sum (without duplication) of:

(a)        85%
of the amount of the amount of the Eligible Receivables of the Borrower and the
Guarantors (other than MCHI); plus

(b)        65%
of the lower of weighted average cost or market value (using the moving average
cost method of inventory valuation applied by the Borrower in accordance with
generally accepted accounting principles, consistently applied) of the Eligible
Inventory of the Borrower and the Guarantors (other than MCHI); minus

(c)        as
of any date, an amount equal to twice the amount of all then accrued and unpaid
charges owed to warehousemen and other third parties having inventory in their
possession and that have not executed and delivered to the Administrative Agent
a warehouseman's waiver satisfactory in form and substance to the
Administrative Agent; minus

(d)        as
of any date, an amount equal to six months rent payable with respect to all
leased facilities in which any inventory is kept and for which the landlord has
not executed and delivered to the Administrative Agent a landlord's waiver
satisfactory in form and substance to the Administrative Agent; minus

(e)        as
of any date, and to the extent applicable, an amount equal to the mark to
market exposure due to any Lender under a Hedging Agreement with respect to
hedging agreements for natural gas.

provided that (x) the Borrowing Base shall be
computed only as against and on so much of such Collateral as is included on
the certificates to be furnished from time to time by the Borrower pursuant to
this Agreement and, if required by the Administrative Agent pursuant to any of
the terms hereof or any Security Document, as verified by such other evidence
required to be furnished to the Administrative Agent pursuant hereto or
pursuant to any such Security Document, and (y) the Borrowing Base shall be
recalculated to the satisfaction of the Required Lenders upon the consummation
of any Disposition that results in Net Cash Proceeds in excess of $1,000,000.

"Borrowing Base Report":  a certificate substantially
in the form of Exhibit F hereto.

"Borrowing Date":  any Business Day specified in a
notice pursuant to Section 2.2 and/or 2.4 as a date on which the Borrower
requests a Loan hereunder.

"Budget":  the budget projecting the Debtors'
budgeted cash receipts and disbursements (including Costs of Reorganization) on
a monthly basis from the Closing Date through the Termination Date delivered to
satisfy the requirements of Section 4.1 (d) hereof and attached to the Interim
Order, as such budget may from time to time be extended or otherwise modified
with the consent of the Required Lenders.

"Business":  as defined in Section 3.9(b).

"Business Day":  any day other than a Saturday,
Sunday or other day on which commercial banks in New York City are required or
permitted to close. 

"Capital Expenditures":  for any period, with
respect to any Person, the aggregate of all expenditures by such Person and its
Subsidiaries for the acquisition or leasing (pursuant to a capital lease) of
fixed or capital assets or additions to equipment (including replacements,
capitalized repairs and improvements during such period) that should be
capitalized under GAAP on a consolidated balance sheet of such Person and its
Subsidiaries.

"Capital Lease Obligations":  present discounted
value of the rental obligations under any Capitalized Lease.

"Capital Stock":  any and all shares, interests,
participations or other equivalents (however designated) of capital stock of a
corporation, any and all equivalent ownership interests in a Person (other than
a corporation) and any and all warrants, rights or options to purchase any of
the foregoing.

"Capitalized Lease":  shall mean any lease or
obligation for rentals which is required to be capitalized on a consolidated
balance sheet of a Person and its Subsidiaries in accordance with generally
accepted accounting principles, consistently applied.

"Cases":  the meaning set forth in the preamble to
this Agreement.

"Cash Collateral":  the meaning set forth in
Section 363(a) of the Bankruptcy Code.

"Cash Equivalents":  (a) marketable direct
obligations issued by, or unconditionally guaranteed by, the United States
Government or issued by any agency thereof and backed by the full faith and
credit of the United States, in each case maturing within one year from the
date of acquisition; (b) certificates of deposit, time deposits, eurodollar
time deposits or overnight bank deposits having maturities of twelve months or
less from the date of acquisition issued by any Lender or by any commercial
bank organized under the laws of the United States or any state thereof having
combined capital and surplus of not less than $500,000,000; (c) commercial
paper of an issuer rated at least A-1 by Standard & Poor's Ratings Services
("S&P") or P-1 by Moody's Investors Service, Inc. ("Moody's"),
or carrying an equivalent rating by a nationally recognized rating agency, if
both of the two named rating agencies cease publishing ratings of commercial
paper issuers generally, and maturing within nine months from the date of
acquisition; (d) repurchase obligations of any Lender or of any commercial bank
satisfying the requirements of clause (b) of this definition, having a term of
not more than 30 days, with respect to securities issued or fully guaranteed or
insured by the United States government; (e) securities with maturities of one
year or less from the date of acquisition issued or fully guaranteed by any
state, commonwealth or territory of the United States, by any political
subdivision or taxing authority of any such state, commonwealth or territory or
by any foreign government, the securities of which state, commonwealth,
territory, political subdivision, taxing authority or foreign government (as
the case may be) are rated at least A by S&P or A by Moody's; (f) securities
with maturities of twelve months or less from the date of acquisition backed by
standby letters of credit issued by any Lender or any commercial bank
satisfying the requirements of clause (b) of this definition; (g) money market
mutual or similar funds that invest exclusively in assets satisfying the
requirements of clauses (a) through (f) of this definition; or (h) money market
funds that (i) comply with the criteria set forth in SEC Rule 2a-7 under the
Investment Company Act of 1940, as amended, (ii) are rated AAA by S&P and
Aaa by Moody's and (iii) have portfolio assets of at least $5,000,000,000.

"Cash Management Obligations":  all obligations of
the Loan Parties to any Lender, the Administrative Agent or, to La Salle Bank
with respect to the Collection Accounts or the Concentration Account. 

"Change of Control":  the occurrence, after the
date hereof, of (i) any Person or two or more Persons acting in concert (but
excluding Borrower's employees' stock fund) acquiring beneficial ownership
(within the meaning of Rule 13d-3 of the Securities and Exchange Commission
under the Securities Exchange Act of 1934, as amended), directly or indirectly,
of securities of the Borrower (or other securities convertible into such
securities) representing more than 20% of the combined voting power of all
securities of the Borrower entitled to vote in the election of directors; or
(ii) commencing after the date hereof, individuals who as of the date hereof
were directors of the Borrower ceasing for any reason to constitute a majority
of the Board of Directors of the Borrower unless the Persons replacing such
individuals were nominated by the Board of Directors of the Borrower; or (iii)
any Person or two or more Persons acting in concert acquiring by contract or
otherwise, or entering into a contract or arrangement which upon consummation
will result in its or their acquisition of, or control over, securities of the
Borrower (or other securities convertible into such securities) representing
more than 20% of the combined voting power of all securities of the Borrower
entitled to vote in the election of directors.

"Citibank Base Rate":  the rate of interest
announced by Citibank, N.A. from time to time as its prime rate.  The Citibank
Base Rate is a reference rate and does not necessarily represent the lowest
rate actually charged to any customer.  Citibank, N.A. may make commercial
loans or other loans at rates of interest at, above or below the Citibank Base
Rate.

"Closing Date":  the date on which the conditions
precedent to the making of the initial Extension of Credit set forth in Section
4.1 have been satisfied or waived.

"Code":  the Internal Revenue Code of 1986, as
amended from time to time.

"Collateral":  all property of the Loan Parties,
now owned or hereafter acquired, as more particularly described in the Orders.

"Collection Account":  the accounts of the Borrower
with LaSalle Bank set forth on Schedule 5.12 and designated as the Collection
Accounts. 

"Commitment":  with respect to each Lender, each of
the Term Loan Commitment and the Revolving Credit Commitment of such Lender.

"Commitment Fee":  the meaning set forth in Section
2.14.

 "Commonly Controlled Entity":  an entity, whether
or not incorporated, that is under common control with the Borrower within the
meaning of Section 4001 of ERISA or is part of a controlled group that includes
the Borrower and that is treated as a single employer under Section 414 of the
Code.

"Concentration Account":  the account, account no.
[********], established by the Borrower with the Administrative Agent, entitled
"[********************************************************]", which account and all amounts
deposited therein are subject to the exclusive dominion and control of the
Administrative Agent, and into which all amounts received into the Collection
Accounts will be transferred on a daily basis and which shall be used for the
daily operation of the Borrower's business.

"Confirmation Order":  an order of the Bankruptcy
Court confirming a plan of reorganization in any of the Cases.

"Contract":  any agreement or invoice pursuant to,
or under which, an Obligor shall be obligated to make payments with respect to
any Receivable.

"Contractual Obligation":  as to any Person, any
provision of any security issued by such Person or of any agreement, instrument
or other undertaking to which such Person is a party or by which it or any of
its property is bound. 

"Costs of Reorganization":  all legal, professional
and advisory fees paid by the Debtors (whether or not incurred by the Debtors)
in connection with the Cases as set forth in the Budget and approved in the
Orders or as may be otherwise approved from time to time by the Bankruptcy
Court, subject to the Lenders' and the Administrative Agent's right to object
thereto.

"Debt":  as of any time the Debt of any Person is
to be determined, the aggregate (without duplication) of:

(a)        all
indebtedness, obligations and liabilities with respect to borrowed money;

(b)        all
guaranties, endorsements (other than any liability arising out of the
endorsement of items for deposit or collection in the ordinary course of
business) and other contingent obligations in respect of, or any obligations to
purchase or otherwise acquire, debt or securities of others or to purchase
Property of others at the request or demand of any creditor of such Person;

(c)        all
reimbursement and other obligations with respect to letters of credit (whether
drawn or undrawn), banker's acceptances, customer advances and other extensions
of credit whether or not representing obligations for borrowed money;

(d)        Capitalized
Lease Obligations;

(e)        all debt
and liabilities secured by any lien or any security interest on any Property or
assets of such Person, whether or not the same would be classified as a
liability on a balance sheet; and

(f)        all
debt, obligations and liabilities representing the deferred purchase price of
Property, excluding trade payables incurred in the ordinary course of business
not more than 90 days past due;

all computed and determined on a consolidated basis for
such Person and its Subsidiaries after the elimination of intercompany items in
accordance with generally accepted accounting principles consistent with those
used in the preparation of the audit report referred to in Section 5.1(a)
hereof.

"Debtors":  the meaning set forth in the preamble
to this Agreement.

"Default":  any of the events specified in Section
7, whether or not any requirement for the giving of notice, the lapse of time,
or both, has been satisfied.

"Disposition":  the sale, lease, conveyance or
other disposition (including casualty and condemnation) of Property.

"Dollars" and "$":  lawful money of the United
  States.

"EBITDA":  means, for any Person and with reference
to any period, Net Income for such period plus all amounts deducted in arriving
at such Net Income amount, without duplication, in respect of (a) Interest
Expense (cash and non-cash) for such period, plus (b) federal, foreign, state
and local income taxes for such period, plus (c) all amounts properly charged
for depreciation of fixed assets and amortization of intangible assets during
such period on the books of such Person and its Subsidiaries, plus (d) other
noncash charges deducted in the calculation of Net Income for such period, plus
(e) any loss (or minus any gain) on any Disposition of all or any part of the
Trinidad Interest or any other asset (except sales of inventory in the ordinary
course of business) of the Borrower or any Subsidiary, plus (f) any reserves
established for restructuring charges (not to include restructuring charges
related to professional fees), including severance expenses, until such time as
such restructuring charges are paid in cash (at which time they will be
deducted in the calculation of EBITDA), plus (g) any write-down of the
Borrower's or its Subsidiaries assets according to GAAP.  However, EBITDA shall
not include any amounts attributable to the Borrower's or its Subsidiaries'
interest in FMCL, Houston Ammonia Terminal, L.P. or FMCL LLC except to the
extent received in cash by the Borrower or a Guarantor.

"Eligible Assignee":  the meaning set forth in
Section 11.6(c).

"Eligible Inventory":  all Inventory of the
Borrower and its domestic Subsidiaries which in each case the Administrative
Agent, in its reasonable judgment, deems to be Eligible Inventory; provided
that in no event shall inventory be deemed Eligible Inventory unless all
representations and warranties made with respect to such inventory are true and
correct and such inventory:

(a)               
is an asset of the Borrower or any of its domestic Subsidiaries to which
it has good and marketable title, is freely assignable, is subject to a
perfected, first priority security interest in favor of the Administrative
Agent for the benefit of the Lenders, and is free and clear of any other liens
and security interests;

(b)               
(i) is located in the United States or (ii) is in transit to the
Borrower or a domestic Subsidiary from a supplier, is fully insured and the
Administrative Agent is the loss payee on such insurance;

(c)               
if such Inventory consists of finished goods at locations which are leased
or warehouses not owned by the Borrower or any of its domestic Subsidiaries,
(i) any non-negotiable warehouse receipts or other non-negotiable documents for
such inventory are issued in the name of the Borrower or a domestic Subsidiary
or, alternatively, designate the Administrative Agent directly or by
endorsement as the only person to whom or to whose order the warehouseman is
legally obligated to deliver such goods and (ii) any negotiable warehouse
receipts or other negotiable documents for such inventory are in the possession
of the Administrative Agent;

(d)               
is not damaged or returned or obsolete or slow moving, and is of good
and merchantable quality free from any defects which might adversely affect the
market value thereof; and

(e)               
is not spare parts inventory.

"Eligible Receivable":  each Receivable of the
Borrower and its Subsidiaries which the Administrative Agent, in its reasonable
judgment, deems to be an Eligible Receivable; provided that in no event shall
an account receivable be deemed an Eligible Receivable unless all
representations and warranties made with respect to such account receivable are
true and correct and further provided that such account receivable:

(a)        arises out of the sale by the Borrower or any
of its Subsidiaries of raw materials or finished goods inventory delivered to
and accepted by, or out of the rendition by the Borrower of services fully
performed by the Borrower or any of its Subsidiaries and accepted by, the
account debtor on such account receivable and such account receivable otherwise
represents a final sale;

(b)        the account debtor on such account receivable
is either an Approved Foreign Account Debtor or principally located (as used in
the New York UCC) within the United States of America or, if such right has
arisen out of the sale of such goods shipped to, or out of the rendition of
services to, an account debtor located in any other country, such right is
either (i) supported by insurance issued by the Ex-IM Bank or any other insurer
acceptable to the Administrative Agent, in each case in form and substance
satisfactory to the Administrative Agent (which in any event shall insure not
less than ninety percent (90%) of the face amount of such account receivable
and shall be subject to such deductions as are acceptable to the Administrative
Agent) or (ii) secured by a valid and irrevocable letter of credit pursuant to
which any of the Borrower, any of its Subsidiaries or their respective
transferee may draw on an issuer acceptable to the Administrative Agent for the
full amount thereof;

(c)        is the valid, binding and legally enforceable
obligation of the account debtor obligated thereon and such account debtor is
not (i) a Subsidiary, member, manager, director, officer or employee of the
Borrower or any Subsidiary, (ii) is not an Affiliate of the Borrower or any
Subsidiary unless such account debtor has executed and delivered to the
Administrative Agent an agreement satisfactory in form and substance to the
Administrative Agent waiving all rights of set-off, counterclaims, recoupment
or other defenses with respect thereto, (iii) the United States of America, or
any state or political subdivision thereof, or any department, agency or
instrumentality of any of the foregoing, unless the Borrower or the relevant
Subsidiary has complied with the Assignment of Claims Act or any similar state
or local statute, as the case may be, to the satisfaction of the Administrative
Agent, (iv) a debtor under any proceeding under the Bankruptcy Code, or any
other comparable bankruptcy or insolvency law, or (v) an assignor for the
benefit of creditors;

(d)        is not evidenced by an instrument or chattel
paper unless, the same has been endorsed and delivered to the Administrative
Agent;

(e)        is an asset of the Borrower or a Subsidiary
to which it has good and marketable title, is freely assignable, is subject to
a perfected, first priority security interest in favor of the Administrative
Agent, and is free and clear of any other liens and security interests;

(f)        is not subject to any offset, counterclaim or
other defense with respect thereto (except to the extent deducted in
calculating the eligible amount thereof) and, with respect to said account
receivable or the contract or purchase order out of which the same arose, no
surety bond was required or given in connection therewith;

(g)        is not unpaid more than (i) 120 days from and
after its invoice date, or (ii) 30 days after its original due date on terms up
to 90 days;

(h)        is not owed by an account debtor who is
obligated on accounts receivable owed to the Borrower and its Subsidiaries more
than 50% of the aggregate unpaid balance of which have been past due for longer
than the relevant period specified in subsection (g) above unless the
Administrative Agent has approved the continued eligibility thereof;

(i)         would not cause the total accounts
receivable owing from any one account debtor (excluding Approved Account
Debtors) and its Affiliates to exceed 10% of all Eligible Receivables unless
the Borrower has requested in writing that the Administrative Agent approve the
continued eligibility thereof and the Administrative Agent has approved in
writing the continued eligibility thereof;

(j)         would not cause the total accounts
receivable owing from any one account debtor and its Affiliate to exceed any
credit limit established for purposes of determining eligibility hereunder by
the Administrative Agent in its reasonable judgment for such account debtor and
for which the Administrative Agent has given the Borrower at least five (5)
Business Day's prior notice of the establishment of any such credit limit;

(k)        does not arise from a sale to an account
debtor on a bill-and-hold, guaranteed sale, sale-or-return, sale-on-approval,
or any other repurchase or return basis; and

(l)         it is evidenced by an invoice dated not more
than five (5) Business Days after the shipment date.

Employee
Plans Carve-Out":  $4,700,000 minus the amount, if any, by which the
aggregate amount of all payments made under the Employee Retention and
Severance Plans exceed $3,800,000. 

"Employee Retention
and Severance Plans":  the Borrower's Key Employee Retention Plan, Key
Employee Severance Plan and All-Employee Supplemental Unemployment Benefit Plan
as approved by the Bankruptcy Court prior to the date hereof or as subsequently
approved by the Required Lenders.

"Environmental Laws":  any and all applicable
foreign, Federal, state, local or municipal laws, rules, orders, regulations,
statutes, ordinances, codes, decrees, legally binding requirements of any
Governmental Authority or other Requirements of Law (including common law)
regulating, relating to or imposing liability or standards of conduct
concerning protection of human health or the environment, as now or may at any
time hereafter be in effect.

"ERISA":  the Employee Retirement Income Security
Act of 1974, as amended from time to time, and the regulations promulgated and
rulings issued thereunder.

"Essential Trade Creditor":  (a) essential trade
creditors who agree to provide goods and services to the Debtors on a normal
and customary basis, and (b) the holders of certain tax claims and certain
employee related claims to the extent provided for in the Budget or, if not
provided for in the Budget, to the extent mutually agreed upon by the Borrower
and the Administrative Agent.

"Event of Default": any event or condition
identified as such in Section 7.1 hereof.

"Extensions of Credit": collectively, Revolving
Credit Loans and/or Term Loans, as to any Revolving Loan or Term Loan, an
"Extension of Credit".

"Farmland MissChem Project":  that certain
anhydrous ammonia plant owned by FMCL in Trinidad.

"Farmland MissChem Project Contingent Obligations": 
means the contingent obligations described on Exhibit I hereto.

"Federal Funds Effective Rate":  for any day, the
weighted average of the rates on overnight federal funds transactions with
members of the Federal Reserve System arranged by federal funds brokers, as
published on the next succeeding Business Day by the Federal Reserve Bank of
New York, or, if such rate is not so published for any day that is a Business
Day, the average of the quotations for the day of such transactions received by
the Administrative Agent from three federal funds brokers of nationally
recognized standing selected by it. 

"Fees":  collectively, the Commitment Fees, the fees
payable to the Joint Lead Arrangers as separately agreed by the Borrower and
the Joint Lead Arrangers, the fees referred to in Sections 2.14, 2.15 or 11.5
and any other fees payable by any Loan Party pursuant to this Agreement or any
other Loan Document.

"Final Order":  an order of the Bankruptcy Court
entered in the Cases, in substantially the form of the Interim Order, with such
modifications thereto as are reasonably satisfactory to the Administrative
Agent.

 "Financial Officer":  the Chief Financial Officer,
Chief Restructuring Officer, Principal Accounting Officer, Controller or
Treasurer of the Borrower. 

"Finished Goods":  completed goods which require no
additional processing or manufacturing to be sold by the relevant Loan Party in
the ordinary course of business.

"FMCL":  Point Lisas Nitrogen Limited (f/k/a
Farmland MissChem Limited), a Company incorporated under the Companies
Ordinance, Chapter 31, No. 1 and continued under the Companies Act, Chapter
81:01 of the laws of the Republic of Trinidad and Tobago.

"FMCL LLC":  FMCL, Limited Liability Company, a Delaware
limited liability company.

"Foreign Subsidiary":  MCHI, MissChem Barbados SRL,
MissChem Trinidad Limited and each other Subsidiary which (a) is organized
under the laws of a jurisdiction other than the United States of America or any
state thereof, (b) conducts substantially all of its business outside of the
United States of America, and (c) has substantially all of its assets outside
of the United States of America.

"Funding Office":  the office of the Administrative
Agent specified in Section 11.2 or such other office as may be specified from
time to time by the Administrative Agent as its funding office by written
notice to the Borrower and the Lenders.

"GAAP":  generally accepted accounting principles
in the United States of America applied on a consistent basis.

"Group Member":  the collective reference to the
Borrower and each of its Subsidiaries.

"Governmental Authority":  any nation or
government, any state or other political subdivision thereof, any agency,
authority, instrumentality, regulatory body, court, central bank or other
entity exercising executive, legislative, judicial, taxing, regulatory or
administrative functions of or pertaining to government, any securities exchange
and any self-regulatory organization (including the National Association of
Insurance Commissioners).

"Guarantee Obligation":  as to any Person, any
obligation of such Person guaranteeing or in effect guaranteeing any Debt,
leases, dividends or other obligations (the "primary obligations") of
any other Person (the "primary obligor") in any manner, whether directly
or indirectly, including without limitation, any obligation of such Person,
whether or not contingent (a) to purchase any such primary obligation or any
property constituting direct or indirect security therefor, (b) to advance or
supply funds (i) for the purchase or payment of any such primary obligation or
(ii) to maintain working capital or equity capital of the primary obligor or
otherwise to maintain the net worth or solvency of the primary obligor, (c) to
purchase property, securities or services primarily for the purpose of assuring
the owner of any such primary obligation of the ability of the primary obligor
to make payment of such primary obligation or (d) otherwise to assure or hold
harmless the owner of any such primary obligation against loss in respect
thereof; provided that notwithstanding the foregoing, the term Guarantee
Obligation shall not include endorsements of instruments for deposit or
collection in the ordinary course of business.  The amount of any Guarantee
Obligation shall be deemed to be an amount equal to the stated or determinable
amount of the primary obligation in respect of which such Guarantee Obligation
is made or, if not stated or determinable, the maximum reasonably anticipated
liability in respect thereof as determined by such Person in good faith.

"Guarantor":  each of the direct and indirect
domestic Subsidiaries of the Borrower designated as a Guarantor on Schedule 3.5
hereto and MCHI.

"Guaranty":  Section 9 of this Agreement and other
guaranty agreements in form and substance acceptable to the Administrative
Agent pursuant to which any Person guaranties the payment and performance of
any or all of the Obligations (including, without limitation, the MCHI
Guaranty), as the same may be supplemented, amended, restated or otherwise
modified from time to time and any agreement entered into in substitution
therefor or replacement thereof.

"Harris DIP Credit Agreement":  the Post-Petition
Credit Agreement among Mississippi Chemical Corporation and the banks party
thereto and Harris Trust and Savings Bank, as Administrative Agent, dated as of
May 16, 2003, as amended, supplemented or modified prior to the date hereof.

"Hedging Agreement":  all interest rate or currency
swap, caps or collar agreements, foreign exchange agreements, commodity
contracts or similar arrangements entered into by the Borrower with a Lender
providing for protection against fluctuations in interest rates, currency
exchange rates, commodity prices or the exchange of nominal interest
obligations, either generally or under specific contingencies.

"Hedging Agreement Obligations":  obligations of
the Borrower owing or due to a Lender under a Hedging Agreement.

"Interest Expense":  for any Person and with
reference to any period, the sum of all interest charges (including imputed
interest charges with respect to Capitalized Lease Obligations, all
amortization of debt discount and expense and all fees relating to letters of
credit accrued and all net obligations pursuant to interest rate hedging
agreements) of such Person and its Subsidiaries for such period determined on a
consolidated basis in accordance with generally accepted accounting principles,
consistently applied.

"Interim Order":  an order of the Bankruptcy Court
entered in the Cases granting interim approval of the transactions contemplated
by this Agreement and the other Loan Documents and granting the Liens and
Superpriority Claims described in the Introductory Statement in favor of the
Administrative Agent and the Lenders, substantially in the form of Exhibit G
hereto or otherwise in form and substance satisfactory to the Administrative
Agent.

 "Inventory":  all Raw Materials and Finished Goods
in which any Borrower or any Subsidiary now has or hereafter acquires any
right.

"Lenders":  the meaning set forth in the preamble
to this Agreement. 

"Lien":  any mortgage, pledge, hypothecation,
assignment, deposit arrangement, encumbrance, lien (statutory or other), charge
or other security interest or any preference, priority or other security
agreement or preferential arrangement of any kind or nature whatsoever
(including the interests of a vendor or lessor under any conditional sale,
capital lease or other title retention arrangement).

"Loan":  the meaning set forth in Section 2.1.

"Loan Documents":  this Agreement and any and all
exhibits hereto, the Notes, any Hedging Agreement, the Security Documents, the
MCHI Guaranty and the Orders.

"Loan Parties":  the Borrower and the Guarantors.

"Material Adverse Effect":  a material adverse
effect on (a) the business, condition (financial or otherwise), operations or
assets of the Borrower and its Subsidiaries taken as a whole, in each case,
other than such effects attributable to the commencement of the Cases or the
existence of prepetition claims and of defaults under such prepetition claims,
(b) the validity or enforceability either of the Orders or any of the Loan
Documents, (c) the rights and remedies of the Lenders, the Administrative Agent
and the Administrative Agent under the Orders and the Loan Documents or (d)
timely payment of the principal of or interest on the Loans, or other amounts
payable in connection therewith.

"Materials of Environmental Concern":  any gasoline
or petroleum (including crude oil or any fraction thereof) or petroleum
products or any hazardous or toxic substances, materials or wastes, defined or
regulated as such in or under any Environmental Law, including asbestos,
polychlorinated biphenyls and urea-formaldehyde insulation.

"MCHI":  Mississippi Chemical Holdings, Inc., a British
 Virgin Islands corporation.

"MCHI Guaranty":  means the Guaranty Agreement
dated as of the Closing Date, from MCHI to the Administrative Agent and the Lenders,
as the same may be supplemented, amended, restated or otherwise modified from
time to time and any agreement entered into in substitution therefor or
replacement thereof. 

"Minority Banks":  the meaning set forth in Section
11.1(b).

"MissChem  Barbados":  MissChem Barbados SRL,
a society with restricted liability formed in Barbados.

"Multiemployer Plan":  a Plan that is a
multiemployer plan as defined in Section 4001(a)(3) of ERISA.

"Net Cash Proceeds":  as applicable, (a) with
respect to any Disposition by a Person, cash and cash equivalent proceeds
received by or for such Person's account, net of (i) reasonable direct costs
relating to such Disposition, including reasonable investment banking fees,
reasonable legal and accounting fees and other reasonable fees and expenses,
(ii) sale, use or other transactional taxes and income taxes paid or payable by
such Person or any Person with respect to which such Person files a
consolidated return as a direct result of such Disposition (after giving effect
to any available deductions, credits, carry forwards, carry backs or other
items which would reduce any actual tax payable), provided, however, that Net
Cash Proceeds shall not include any casualty or condemnation proceeds to the
extent the Borrower has elected to use such proceeds to repair, rebuild, or
replace the assets subject to such casualty or condemnation, no Default or
Event of Default exists and, to the extent of proceeds in excess of $5,000,000
with respect to any single casualty or condemnation event, the Lenders have
approved such repair, rebuilding or replacement.

"Net Income" means, for any Person and with
reference to any period, the net income of such Person and its Subsidiaries for
such period determined on a consolidated basis in accordance with generally
accepted accounting principles, consistently applied, but excluding in any
event any items of extraordinary gain or loss.

"New York UCC":  the Uniform Commercial Code
as from time to time in effect in the State of New York.

"Non-Excluded Taxes":  the meaning set forth in
Section 2.12(a).

"Non-U.S. Lender":  the meaning set forth in
Section 2.12(d).

"Normalized Trade Creditor" shall mean an Essential
Trade Creditor that is a trade creditor and has executed an agreement (in form
and substance satisfactory to the Administrative Agent) with the Borrower
pursuant to which such Essential Trade Creditor agrees to continue to extend
credit and supply goods and/or services to the Borrower in accordance with
industry standards or terms acceptable to the Administrative Agent and
consistent with the assumptions used in the projections of the Borrower that
support feasibility of the Borrower and that have been approved by the
Administrative Agent.

"Note":  the meaning set forth in Section 2.5(e).

"Notice":  the giving of notice by the
Administrative Agent to the Borrower and its counsel (as set forth in Section
11.2) that a Default or an Event of Default has occurred and is continuing.

"Obligations":  (a) the principal of and interest
on the Loans and the Notes, (b) the Fees and all other present and future,
fixed or contingent, obligations and liabilities (monetary or otherwise) of the
Loan Parties to the Lenders and the Administrative Agent under the Loan
Documents, including without limitation, all costs and expenses payable
pursuant to Section 11.5, (c) Hedging Agreement Obligations and (d) the Cash
Management Obligations.

"Obligor":  with respect to any
Receivable, the Person primarily obligated to make payments in respect thereof.

"Orders":  the collective reference to the Interim
Order and the Final Order.

"Other Taxes":  any and all present or future stamp
or documentary taxes or any other excise or property taxes, charges or similar
levies arising from any payment made hereunder or from the execution, delivery
or enforcement of, or otherwise with respect to, this Agreement or any other
Loan Document.

"Participants":  the meaning set forth in Section
11.6(b).

"PBGC":  the Pension Benefit Guaranty Corporation
established pursuant to Subtitle A of Title IV of ERISA (or any successor).

"Permitted Liens":  Liens permitted to exist under
Section 6.1.

"Person":  an individual, partnership, corporation,
limited liability company, business trust, joint stock company, trust,
unincorporated association, joint venture, Governmental Authority or other
entity of whatever nature.

"Petition Date":  the meaning set forth in the
Introductory Statement.

"Petty Cash and Payroll Accounts":  local petty
cash  accounts and payroll accounts listed and described as such on Schedule
5.12 hereto or as may be approved by the Administrative Agent from time to
time.

"Plan":  at a particular time, any employee benefit
plan that is covered by ERISA and in respect of which the Borrower or a
Commonly Controlled Entity is (or, if such plan were terminated at such time,
would under Section 4069 of ERISA be deemed to be) an "employer" as defined in
Section 3(5) of ERISA.

"Pre-Petition Credit Agreement":  that certain
Amended and Restated Credit Agreement dated as of November 15, 2002 by and between the Borrower, the several lenders from time to time parties thereto, and
Harris Trust and Savings Bank, as administrative agent, as the same has from
time to time been modified or amended.

"Pre-Petition Obligations":  all the debt,
obligations and liabilities, fixed or contingent, of the Borrower and its
Subsidiaries to the pre-petition banks or the pre-petition agent arising or in
connection with the Pre-Petition Credit Agreement or evidenced by the
promissory notes issued by the Borrower thereunder or in connection with the
letters of credit issued by the pre-petition banks thereunder.

"Properties":  all assets and properties of any
nature whatsoever, whether real or personal, tangible or intangible, including
without limitation, intellectual property.

"Purchasing Card Program":  the credit/purchasing
card account of the Borrower with a credit limit not to exceed $50,000 at any
one time in the aggregate. 

"Purchasing Lender":  the meaning set forth in
Section 11.6(c).

"Raw Materials":  materials used or consumed in the
manufacturing or production of goods to be sold by the relevant Loan Party in
the ordinary course of business, but excluding work in progress.

"Receivable":  shall mean an
account receivable of the Borrower or any Subsidiary arising from the sale of
goods or the provisions of services in the ordinary course of business.

"Regulation D":  Regulation D of the Board of
Governors of the Federal Reserve System, comprising Part 204 of Title 12, Code
of Federal Regulations, as amended, and any successor thereto.

"Related Fund":  with respect to any Lender, any
fund that (x) invests in commercial loans and (y) is managed or advised by the
same investment advisor as such Lender, by such Lender or an Affiliate of such
Lender.

"Reportable Event":  any of the events set forth in
Section 4043(c) of ERISA, other than those events as to which the thirty day
notice period is waived under subsections .27, .28, .29, .30, .31, .32, .34 or
..35 of PBGC Reg. § 4043.

"Required Lenders":  at any time, the holders of
more than 50% of (a) until the Closing Date, the Commitments and (b)
thereafter, the sum of (i) the aggregate unpaid principal amount of the Term
Loans then outstanding and (ii) the Total Revolving Credit Commitments then in
effect or, if the Revolving Credit Commitments have been terminated, the Total
Revolving Credit Outstandings.

"Requirement of Law":  as to any Person, the
Certificate of Incorporation and By‐Laws or other organizational or
governing documents of such Person, and any law, treaty, rule or regulation or
determination of an arbitrator or a court or other Governmental Authority, in
each case applicable to or binding upon such Person or any of its property or
to which such Person or any of its property is subject.

"Revolving Credit Commitment":  as to any Lender,
the obligation of such Lender, if any, to make a Revolving Loan hereunder in a
principal amount not to exceed the amount set forth under the heading
"Revolving Credit Commitment" opposite such Lender's name on Schedule 1.1, or,
as the case may be, in the Assignment and Acceptance pursuant to which such
Lender became a party hereto, as the same may be changed from time to time
pursuant to the terms hereof.  The original amount of the Revolving Credit
Commitment is $22,500,000.

"Revolving Credit Commitment Percentage":  as to
any Revolving Credit Lender at any time, the percentage which such Lender's
Revolving Credit Commitment then constitutes of the aggregate Revolving Credit
Commitment (or, at any time after the Closing Date, the percentage which the
aggregate principal amount of such Lender's Revolving Loans then outstanding
constitutes of the aggregate principal amount of the Revolving Credit Loans
then outstanding).

"Revolving Credit Commitment Period":  means the
period from and including the Closing Date to the Termination Date.

"Revolving Credit Lender":  each Lender that has a
Revolving Credit Commitment or is the holder of a Revolving Credit Loan.

"Revolving Credit Loan":  as defined in Section
2.3.

"Revolving Credit Note":  as defined in Section
2.5.

 "Security Documents":  all security documents at
any time delivered to the Administrative Agent granting a Lien on any Property
of any Person to secure the Obligations.

"Senior Notes":  the Borrower's 7.25% Senior Notes
due 2017 in the original aggregate principal amount of $200,000,000.

"Single Employer Plan":  any Plan that is covered
by Title IV of ERISA, but that is not a Multiemployer Plan.

"Subsidiary":  for any Person, any corporation or
other entity of which more than fifty percent (50%) of the outstanding stock or
comparable equity interests having ordinary voting power for the election of
the Board of Directors of such corporation or similar governing body in the
case of a non-corporation (irrespective of whether or not, at the time, stock
or other equity interests of any other class or classes of such corporation or
other entity shall have or might have voting power by reason of the happening
of any contingency) is at the time directly or indirectly owned by such Person
or by one or more of its Subsidiaries.

"Supermajority Lenders":  Lenders holding Loans
representing at least 66-2/3% of the aggregate principal amount of the Loans
outstanding, or if no Loans are outstanding, Lenders having Commitments
representing at least 66-2/3% of the aggregate of the Term Loan Commitments and
the Total Revolving Loan Commitments.  

"Superpriority Claim": a claim against the Borrower
or any of the Guarantors in any of the Cases which is an administrative expense
claim with the priority authorized under Section 364(c)(1) of the Bankruptcy
Code, with priority over any or all administrative expenses of the kind
specified in Sections 503(b) or 507 of the Bankruptcy Code and over any or all
other costs and expenses of the kind specified in, or ordered pursuant to,
Sections 105, 326, 330, 331, 506(c) or 726 of the Bankruptcy Code. When used
with reference to the claim of the Administrative Agent or the Lenders, in
respect of the Obligations, the term Superpriority Claim shall mean a claim
which has priority over all such costs and expenses. When used with reference
to any other party, such party shall have a Superpriority Claim if its claim is
an administrative expense claim having priority over any administrative
expenses of the kind specified in Sections 503(b) or 507 of the Bankruptcy Code
or any of such other costs and expenses.

"Supplemental DIP Credit Agreement": the post
petition financing currently provided pursuant to that Supplemental
Post-Petition Credit Agreement dated as of December 15, 2003 among the
Borrower, the financial institutions named therein as investors and DSC
Chemicals, L.P. as agent (as the same has been amended, modified or
supplemented prior to the date hereof

"Supplemental Letter":  the Supplemental Letter
date June 23, 2004 among the Borrower, Perry Principals Investments LLC,
Citicorp North America, Inc. and Citigroup Global Markets Inc.

"Term Loan":  as defined in Section 2.1.

"Term Loan Commitment":  as to any Lender, the
obligation of such Lender, if any, to make a Term Loan to the Borrower
hereunder in a principal amount not to exceed the amount set forth under the
heading "Term Loan Commitment" opposite such Lender's name on Schedule 1.1, or,
as the case may be, in the Assignment and Acceptance pursuant to which such
Lender became a party hereto, as the same may be changed from time to time
pursuant to the terms hereof.  The original aggregate amount of the Term Loan
Commitments is $160,000,000.

"Term Loan Facility":  the Term Loan Commitments
and the Term Loans made thereunder.

"Term Loan Lender":  each Lender that has a Term
Loan Commitment or is the holder of a Term Loan.

"Term Loan Percentage":  as to any Term Loan Lender
at any time, the percentage which such Lender's Term Loan Commitment then
constitutes of the aggregate Term Loan Commitments (or, at any time after the
Closing Date, the percentage which the aggregate principal amount of such
Lender's Term Loan then outstanding constitutes of the aggregate principal
amount of the Term Loans then outstanding).

"Term Note":  as defined in Section 2.5.

 "Termination Date":  the earliest to occur of (a)
the effective date of a plan of reorganization in any of the Cases, or (b)
December 31, 2004, provided that if an Approved Plan has been filed on
the docket of the Bankruptcy Court at such date but has not been withdrawn,
confirmed or become effective, the Borrower may (provided that no Default or
Event of Default has occurred and is continuing) extend the December 31, 2004
date until March 31, 2005.  If the Borrower elects such extension, an extension
fee of 1% of the aggregate outstanding Term Loans and Total Revolving Credit
Commitment as of such date shall be payable on December 31, 2004, and provided
further that if an Approved Plan is on file as of March 31, 2005 but has
not been confirmed or become effective, the Borrower may (provided that no
Default or Event of Default has occurred or is continuing) extend the March 31,
2005 date until June 30, 2005.  If the Borrower elects such an extension, an
extension fee of 1% of the aggregate outstanding Term Loans and Total Revolving
Credit Commitment as of such date shall be payable on March 31, 2005.  

 "Total Outstandings":  at any time the aggregate
principal amount of all Loans outstanding at such time.

"Total Revolving Credit Commitment":  at any time
the sum of the Revolving Credit Commitments of all Revolving Credit Lenders. 

"Total Revolving Credit Outstandings":  at any time
the aggregate principal amount of all Revolving Credit Loans outstanding at
such time. 

"Transferee":  the meaning set forth in Section
11.6(f).

"Trinidad Interest":  (a) the capital stock or
other equity interests of the Borrower or its Subsidiaries in MCHI, MissChem
(Barbados) SRL, MissChem Trinidad Limited, FMCL, and/or any other Person that
at any time owns an equity interest in any of the foregoing, and (b) any
interest, direct or indirect, of the Borrower or its Subsidiaries in any rights
or Property of FMCL, and (c) the equity interests of the Borrower in FMCL LLC.

"United States":  the United
  States of America.

1.2.            
Terms Generally.  The definitions in Section
1.1 shall apply equally to both the singular and plural forms of the terms
defined.  Whenever the context may require, any pronoun shall include the
corresponding masculine, feminine and neuter forms.  All references herein to
Sections, Exhibits and Schedules shall be deemed references to Sections and
subsections of, and Exhibits and Schedules to, this Agreement unless the
context shall otherwise require.  References to agreements or other Contractual
Obligations shall, unless otherwise specified, be deemed to refer to such
agreements or Contractual Obligations as amended, supplemented, restated or
otherwise modified from time to time to the extent permitted herein.  Except as
otherwise expressly provided herein, all terms of an accounting or financial
nature shall be construed in accordance with GAAP, as in effect from time to
time; provided, however, that for purposes of determining
compliance with any covenant set forth in Section 6, such terms shall be
construed in accordance with GAAP as in effect on the date of this Agreement
applied on a basis consistent with the application used in the Borrower's
audited financial statements referred to in Section 5.1(a).

1.3.            
Accounting Term.  Any accounting term not
otherwise specifically defined in this Agreement shall have the meaning
customarily given to such term in accordance with generally accepted accounting
principles, consistently applied. Where the character or amount of any asset or
liability or item of income or expense is required to be determined or any
consolidation or other accounting computation is required to be made for the
purpose of this Agreement, it shall be done in accordance with generally
accepted accounting principles, to the extent applicable, except where such
principles are inconsistent with the requirements of this Agreement.

SECTION
2

AMOUNT AND TERMS OF COMMITMENT

2.1.            
Term Loan Commitments.   

Subject to the terms and
conditions hereof, the Term Loan Lenders severally and not jointly with the
other Term Loan Lenders agree to make term loans (each, a "Term Loan"
and collectively with the Revolving Credit Loans, the "Loans") to the
Borrower on the Closing Date in an amount for each Term Loan Lender not to
exceed the amount of the Term Loan Commitment of such Lender.  The Term Loans
of each Term Loan Lender shall mature and, unless earlier accelerated or
payable in accordance with the terms of this Agreement or the Orders, shall be
payable in full on the Termination Date.

2.2.            
Procedure for Term Loan Borrowing.   

The Borrower shall deliver to
the Administrative Agent a Borrowing Notice (which Borrowing Notice must be
received by the Administrative Agent prior to 12:00 P.M., New York City time,
one Business Day prior to the anticipated Closing Date) requesting that the
Term Loan Lenders make the Term Loans on the Closing Date.  Upon receipt of
such Borrowing Notice, the Administrative Agent shall promptly notify each Term
Loan Lender thereof.  Not later than 12:00 Noon, New York City time, on the Closing
Date each Term Loan Lender shall make available to the Administrative Agent at
the Funding Office an amount in immediately available funds equal to the Term
Loan or Term Loans to be made by such Lender.  The Administrative Agent shall
make available to the Borrower the aggregate of the amounts made available to
the Administrative Agent by the Term Loan Lenders, in like funds as received by
the Administrative Agent. 

2.3.            
Revolving Credit Commitments. 

Subject to the terms and
conditions hereof, the Revolving Credit Lenders, severally and not jointly with
the other Revolving Credit Lenders, agree to make revolving credit loans (each,
a "Revolving Loan" and, collectively, the "Revolving Credit Loans")
to the Borrower from time to time during the Revolving Credit Commitment Period
in an aggregate principal amount at any one time outstanding which does not
exceed the amount of such Lender's Revolving Credit Commitment Percentage of
the Borrowing Base, as at the date such Loan is to be made.  During the Revolving
Credit Commitment Period, the Borrower may use the Revolving Commitments by
borrowing, prepaying the Revolving Credit Loans in whole or in part, and
reborrowing, all in the accordance with the terms and conditions hereof.

2.4.            
Procedure for Revolving Credit Borrowing.   

The Borrower may borrow under
the Revolving Credit Commitments during the Revolving Credit Commitment Period
on any Business Day, provided that the Borrower shall give the
Administrative Agent irrevocable notice (which notice must be received by the
Administrative Agent prior to 1:00 P.M., New York City time on the same
Business Day of the requested Borrowing Date, specifying the amount to be
borrowed, and the requested Borrowing Date.  Each Borrowing under the Revolving
Credit Commitments shall be in an amount equal to $1,000,000 and additional
increments of $100,000 (or, if the then Available Revolving Credit Commitments
are less than $1,000,000, such lesser amount).  Upon receipt of any such notice
from the Borrower, the Administrative Agent shall promptly (and in any event
not later than 2:00 P.M., New York City time, on the date such notice is
received), notify each Revolving Credit Lender thereof.  Each Revolving Credit
Lender will make the amount of its Revolving Credit Commitment Percentage of
each Borrowing available to the Administrative Agent for the account of the
Borrower at the Funding Office prior to 3:00 P.M., New York City time, on the
Borrowing Date requested by the Borrower in funds immediately available to the
Administrative Agent.  Such Borrowing will then be made available to the
Borrower by the Administrative Agent crediting the account of the Borrower on
the books of the Funding Office with the aggregate of the amounts made
available to the Administrative Agent by the Revolving Credit Lenders and in
like funds as received by the Administrative Agent.

2.5.            
Repayment of Loans; Evidence of Debt.   (a)  The Borrower hereby
unconditionally promises to pay to the Administrative Agent for the account of 
the appropriate Revolving Credit Lender or Term Loan Lender, as the case may
be, (i) the then unpaid principal amount of each Revolving Credit Loan of such
Revolving Credit Lender on the Termination Date (or on such earlier date on
which the Loans become due and payable pursuant to Section 7) and (ii) the
principal amount of each Term Loan of such Term Loan Lender on the Termination
Date (or on such earlier date on which the Loans become due and payable
pursuant to Section 7).

(b)   Each Lender shall maintain in
accordance with its usual practice an account or accounts evidencing
indebtedness of the Borrower to such Lender resulting from each Loan of such
Lender from time to time, including the amounts of principal and interest
payable and paid to such Lender from time to time under this Agreement.

(c)   The Administrative Agent, on behalf
of the Borrower, shall maintain the Register pursuant to Section 11.6(d), and
shall record in the Register, with separate sub-accounts for each Lender, (i)
the amount of each Loan made hereunder and any Note evidencing such Loan, (ii)
the amount of any principal or interest due and payable or to become due and
payable from the Borrower to each Lender hereunder and (iii) both the amount of
any payment received by the Administrative Agent hereunder from the Borrower
and each Lender's share thereof.

(d)   The entries made in the Register
and the accounts of each Lender maintained pursuant to Sections 2.5(b) and (c)
shall, to the extent permitted by applicable law, be prima facie
evidence of the existence and amounts of the obligations of the Borrower
therein recorded; provided, however, that the failure of any
Lender or the Administrative Agent to maintain the Register or any such
account, or any error therein, shall not in any manner affect the obligation of
the Borrower to repay (with applicable interest) the Loans made to the Borrower
by such Lender in accordance with the terms of this Agreement.

(e)   The Borrower agrees that, upon
request by any Lender to the Administrative Agent notified to the Borrower, the
Borrower will execute and deliver to such Lender a promissory note of the
Borrower evidencing any Term Loans or Revolving Credit Loans, as the case may
be, of such Lender, substantially in the form of Exhibit A-1 and A-2,
respectively (a "Term Note" or "Revolving Credit Note",
respectively and, collectively, a "Note") with appropriate insertions as
to date and principal amount; provided, that delivery of Notes shall not
be a condition precedent to the occurrence of the Closing Date or the making of
the Loans on the Closing Date.  Each Lender is hereby authorized to record the
date and amount of each Loan made by such Lender and the date and amount of
each payment or prepayment of principal thereof, on the schedule (or any
continuation of the schedule) annexed to and constituting a part of each of its
Notes, and any such recordation shall, to the extent permitted by applicable
law, constitute prima facie evidence of the accuracy of the
information so recorded, provided that the failure to make any such
recordation (or any error therein) shall not affect the obligation of the
Borrower to repay (with applicable interest) the Loans made to the Borrower in
accordance with the terms of this Agreement.

2.6.            
Interest Rates and Payment Dates; Computation of Interest and Fees.   (a)  Each Loan shall bear
interest for each day on which it is outstanding at a rate per annum equal to
the Base Rate plus the Applicable Margin.

(b)   Notwithstanding the foregoing, at
any time after the occurrence and during the continuance of an Event of
Default, the Loans shall bear interest at a rate per annum equal to the rate
that would otherwise be applicable thereto pursuant to paragraph (a) of this
Section plus 2.00%. 

(c)   Interest accruing pursuant to this
Section 2.6(a) shall be payable in arrears on the first day of each calendar
month for interest accrued in the previous month, the Termination Date and the
date that the Loans become due and payable in accordance with Section 7 hereof;
provided that interest accruing pursuant to paragraph (b) of this
Section shall be payable from time to time on demand.

(d)   Interest and fees payable pursuant
hereto shall be calculated on the basis of a 360-day year for the actual days
elapsed, except that, with respect to Base Rate Loans the rate of interest on
which is calculated on the basis of the Citibank Base Rate, the interest
thereon shall be calculated on the basis of a 365- (or 366-, as the case may
be) day year for the actual days elapsed.  Any change in the interest rate on a
Loan resulting from a change in the Base Rate shall become effective as of the
opening of business on the day on which such change becomes effective.  The
Administrative Agent shall as soon as practicable notify the Borrower of the
effective date and the amount of each such change in interest rate.

(e)   Each determination of an interest
rate by the Administrative Agent pursuant to any provision of this Agreement
shall be conclusive and binding on the Borrower and the Lenders in the absence
of manifest error.  The Administrative Agent shall, at the request of the
Borrower, deliver to the Borrower a statement showing the quotations used by
the Administrative Agent in determining any interest rate hereunder.

(f)   In addition to the interest
otherwise provided for in paragraphs (a) and (b) of this Section, the Loans
shall bear additional interest for each day on which they are outstanding at a
rate per annum equal to 5.15%.  Accrued interest under this paragraph shall be
payable in arrears on the earliest to occur of (i) the date the Loans become
due and payable in accordance with Section 7 and (ii) the Termination Date. 

2.7.            
Optional Termination or Reduction of Revolving Credit Commitment.  Upon not less than three
Business Days' prior written notice to the Administrative Agent, the Borrower
may at any time, without premium or penalty, in whole permanently terminate, or
from time to time in part permanently reduce, the Total Revolving Credit
Commitment; provided that no such termination or reduction of the Total
Revolving Credit Commitment shall be permitted if, after giving effect thereto
and to any prepayments of the Loans related to such Total Revolving Credit
Commitment reduction, the Total Revolving Credit Outstandings at such time
would exceed either (i) the Total Revolving Credit Commitment or (ii) the
Borrowing Base.  Each such partial reduction of the Total Revolving Credit
Commitment shall be in the principal amount of $1,000,000 or a whole multiple
thereof.  Simultaneously with any termination or reduction of the Total
Revolving Credit Commitment, the Borrower shall pay to the Administrative Agent
for the account of each Revolving Credit Lender the Commitment Fee accrued on
the amount of the Revolving Credit Commitment of such Revolving Credit Lender
so terminated or reduced through the date thereof.  Any reduction of the Total
Revolving Credit Commitment pursuant to this Section 2.7 shall be applied pro
rata in accordance with each Lender's Revolving Credit Commitment Percentage to
reduce the Revolving Credit Commitment of each such Lender.

2.8.            
Optional Prepayment of Loans.  The Borrower may at any
time and from time to time prepay the Loans, in whole or in part, without
premium or penalty, (except as otherwise noted herein) upon irrevocable notice
to the Administrative Agent prior to 12:00 P.M., New York City time on the same
Business Day, which notice shall specify the date and amount of prepayment. 
Upon receipt of any such notice of prepayment the Administrative Agent shall
notify each relevant Lender thereof on the date of receipt of such notice.  If
any such notice is given, the amount specified in such notice shall be due and
payable on the date specified therein, together with accrued interest to such
date on the amount prepaid.  Partial prepayments shall be in an aggregate
principal amount of $500,000 or a whole multiple thereof.

2.9.            
Mandatory Prepayment  .   (a)  If on any date prior to the
termination of the Revolving Credit Commitment, the Total Revolving Credit
Outstandings as of such date exceed (i) the Total Revolving Credit Commitment
or (ii) the Borrowing Base, the Borrower, without notice or demand, shall
immediately apply an amount (without duplication) equal to any such excess to
the prepayment in full of any outstanding Revolving Credit Loans.

(b)   In the event of any Disposition
(whether voluntary or involuntary) outside the ordinary course of business of
any Property of the Borrower or any of its Subsidiaries (including the
Disposition of the Trinidad Interests or any part thereof) occurring prior to
the Termination Date that results in Net Cash Proceeds in excess of $1,000,000
in the aggregate, (x) the Borrower shall promptly notify the Administrative
Agent of such proposed Disposition or receipt of proceeds of such Disposition
(including the amount of the estimated Net Cash Proceeds to be received by the
Borrower or such Subsidiary in respect thereof) and (y) promptly upon receipt
by the Borrower or such Subsidiary of the Net Cash Proceeds of such
Disposition, the Borrower shall deliver all of such Net Cash Proceeds in excess
of $1,000,000 in the aggregate to the Administrative Agent for application to
the then outstanding Loans.  Nothing herein contained shall impair or otherwise
affect the prohibitions against the Disposition of Property contained herein
and in the Loan Documents or any requirement that the Bankruptcy Court approve
such Disposition. Any proceeds of a Disposition in this Section 2.9(b)
designated to pay actual taxes payable and costs of such Disposition shall be
held by the Administrative Agent in escrow until applied to such taxes and
costs. 

(c)   Prior to the earlier of the
Termination Date or the date upon which the Loans hereunder become due and
payable in accordance with Section 7, all proceeds of the Inventory and
proceeds of the Receivables of the Borrower and the Guarantors and all Cash
Collateral generated in the ordinary course of the Borrower's and the
Guarantors' businesses (other than the amounts subject to Section 2.9(b)
hereof) shall be deposited in the Collection Account and transferred on a daily
basis to the Concentration Account and applied daily as follows: (i) first,
to the payment of actual, necessary expenses of the type set forth in the
Budget (subject to variations from the Budget permitted herein); (ii) second,
to the costs, fees and expenses of the Administrative Agent (including without
limitation the fees and expenses of its counsel and other professionals and
previous employed or retained by the Administrative Agent) to the extent not
contained in the Budget; (iii) third, to the repayment of all Revolving
Loans hereunder until all Revolving Loans shall be fully paid; and (iv) fourth,
to be held by the Administrative Agent in the Concentration Account until
release or applied; and fifth, as the Orders shall provide it if then in
effect and otherwise as shall be determined by the Bankruptcy Court.   The
Administrative Agent shall make the application provided for by clauses (ii)
and (iii) above once each Business Day automatically after 2:00 P.M. (New York City time) on such day.

(d)   Amounts to be applied in connection
with prepayments made pursuant to paragraph (b) of this Section 2.9 shall be
applied, first, to the prepayment of the Term Loans and, second,
to reduce permanently the Total Revolving Credit Loans.

(e)   Any reduction of the Revolving
Credit Commitments shall be accompanied by prepayment of the Revolving Credit
Loans to the extent, if any, that the Total Revolving Credit Outstandings
exceeds the amount of the Total Revolving Credit Commitments as so reduced.

2.10.         
Pro Rata Treatment, Etc.   (a)  Each borrowing by the Borrower
from the Lenders hereunder, all payments and prepayments of principal and
interest in respect of the Loans (except as provided in Section 2.12) and all
payments of Commitment Fees shall be made pro rata among the Lenders in
accordance with their respective Revolving Credit Commitment Percentages or
Term Loan Percentages, as the case may be, of the relevant Lenders.   

(b)   All payments by the Borrower
hereunder and under the Notes shall be made in Dollars in immediately available
funds at the Funding Office by 2:00 P.M., New York City time, on the date on
which such payment shall be due, provided that if any payment hereunder
would become due and payable on a day other than a Business Day such payment
shall become due and payable on the next succeeding Business Day and, with
respect to payments of principal, interest thereon shall be payable at the then
applicable rate during such extension.  Interest in respect of any Loan
hereunder shall accrue from and including the date of such Loan to but
excluding the date on which such Loan is paid in full.

(c)   Unless the Administrative Agent
shall have been notified in writing by any Lender prior to a borrowing that
such Lender will not make the amount that would constitute its share of such
borrowing available to the Administrative Agent, the Administrative Agent may
assume that such Lender is making such amount available to the Administrative
Agent, and the Administrative Agent may, in reliance upon such assumption, make
available to the Borrower a corresponding amount.  If such amount is not made
available to the Administrative Agent by the required time on the Borrowing
Date therefor, such Lender shall pay to the Administrative Agent, on demand,
such amount with interest thereon, at a rate equal to the Federal Funds
Effective Rate, for the period until such Lender makes such amount immediately
available to the Administrative Agent.  A certificate of the Administrative
Agent submitted to any Lender with respect to any amounts owing under this
paragraph shall be conclusive in the absence of manifest error.  If such
Lender's share of such borrowing is not made available to the Administrative
Agent by such Lender within three Business Days after such Borrowing Date, the
Administrative Agent shall also be entitled to recover such amount with
interest thereon at the rate per annum applicable to Base Rate Loans, on
demand, from the Borrower, such recovery to be without prejudice to the rights
of the Borrower against any such Lender.

(d)   Unless the Administrative Agent
shall have been notified in writing by the Borrower prior to the date of any
payment due to be made by the Borrower hereunder that the Borrower will not
make such payment to the Administrative Agent, the Administrative Agent may
assume that the Borrower is making such payment, and the Administrative Agent
may, but shall not be required to, in reliance upon such assumption, make
available to the Lenders their respective pro rata shares of a
corresponding amount.  If such payment is not made to the Administrative Agent
by the Borrower within three Business Days after such due date, the
Administrative Agent shall be entitled to recover, on demand, from each Lender
to which any amount which was made available pursuant to the preceding
sentence, such amount with interest thereon at the rate per annum equal to the
daily average Federal Funds Effective Rate.  Nothing herein shall be deemed to
limit the rights of the Administrative Agent or any Lender against the Borrower.

2.11.         
Requirements of Law.   (a)  If the adoption of or
any change in any Requirement of Law or in the interpretation or application
thereof or compliance by any Lender with any request or directive (whether or
not having the force of law) from any central bank or other Governmental
Authority, in each case, made subsequent to the date hereof:

(i)                 
shall subject any Lender to any tax of any kind whatsoever with
respect to this Agreement or change the basis of taxation of payments to such
Lender in respect thereof (except for Non-Excluded Taxes or Excluded Taxes
covered by Section 2.12 and changes in the rate of tax on the overall net
income of such Lender); or

(ii)               
shall impose on such Lender any other condition;

and (A) the result of any of the foregoing is to increase
the cost to such Lender, by an amount that such Lender deems to be material, of
making, continuing or maintaining Loans or to reduce any amount receivable
hereunder in respect thereof, and (B) such Lender is generally charging such
costs to other borrowers under debtor in possession financing facilities, then,
in any such case, the Borrower shall promptly pay such Lender, upon its demand,
any additional amounts necessary to compensate such Lender for such increased
cost or reduced amount receivable.  If any Lender becomes entitled to claim any
additional amounts pursuant to this paragraph, it shall promptly notify the
Borrower (with a copy to the Administrative Agent) of the event by reason of
which it has become so entitled.

(b)   If any Lender shall have determined
that the adoption of or any change in any Requirement of Law regarding capital
adequacy or in the interpretation or application thereof or compliance by such
Lender or any corporation controlling such Lender with any request or directive
regarding capital adequacy (whether or not having the force of law) from any
Governmental Authority made subsequent to the date hereof shall have the effect
of reducing the rate of return on such Lender's or such corporation's capital
as a consequence of its obligations hereunder to a level below that which such
Lender or such corporation could have achieved but for such adoption, change or
compliance (taking into consideration such Lender's or such corporation's
policies with respect to capital adequacy) by an amount deemed by such Lender
to be material, and provided that such Lender is generally charging such costs
to other borrowers under debtor in possession financing facilities, then from
time to time, after submission by such Lender to the Borrower (with a copy to
the Administrative Agent) of a written request therefor, the Borrower shall pay
to such Lender such additional amount or amounts as will compensate such Lender
or such corporation for such reduction. 

(c)   A certificate as to any additional
amounts payable pursuant to this Section submitted by any Lender to the
Borrower (with a copy to the Administrative Agent) shall be conclusive in the
absence of manifest error.  Notwithstanding anything to the contrary in this
Section, the Borrower shall not be required to compensate a Lender pursuant to
this Section for any amounts incurred more than 180 days prior to the date that
such Lender notifies the Borrower of such Lender's intention to claim
compensation therefor; provided that, if the circumstances giving rise
to such claim have a retroactive effect, then such 180 days period shall be
extended to include the period of such retroactive effect.  The obligations of
the Borrower pursuant to this Section shall survive the termination of this
Agreement and the payment of the Loans and all other amounts payable hereunder.

2.12.         
Taxes.   (a)  All payments made by
the Borrower under this Agreement shall be made free and clear of, and without
deduction or withholding for or on account of, any present or future income,
stamp or other taxes, levies, imposts, duties, charges, fees, deductions or
withholdings, now or hereafter imposed, levied, collected, withheld or assessed
by any Governmental Authority.  If any such non-excluded taxes, levies,
imposts, duties, charges, fees, deductions or withholdings ("Non-Excluded
Taxes") or Other Taxes are required to be withheld from any amounts payable
to the Administrative Agent or any Lender hereunder, the amounts so payable to
the Administrative Agent or such Lender shall be increased to the extent
necessary to yield to the Administrative Agent or such Lender (after payment of
all Non-Excluded Taxes and Other Taxes) interest or any such other amounts
payable hereunder at the rates or in the amounts specified in this Agreement, provided,
however, that the Borrower shall not be required to increase any such
amounts payable to any Lender with respect to any Excluded Taxes.  "Excluded
Taxes" are any Taxes (i) that are attributable to such Lender's failure to
comply with the requirements of paragraph (d) or (e) of this Section or (ii)
that are United States withholding taxes imposed on amounts payable to such
Lender at the time such Lender becomes a party to this Agreement, except to the
extent that such Lender's assignor (if any) was entitled, at the time of
assignment, to receive additional amounts from the Borrower with respect to
such Non-Excluded Taxes pursuant to this paragraph, or (iii) net income taxes,
gross receipt taxes (imposed in lieu of net income taxes) and franchise taxes
(imposed in lieu of net income taxes) imposed on the Administrative Agent or
any Lender as a result of a present or former connection between the
Administrative Agent or such Lender and the jurisdiction of the Governmental
Authority imposing such tax or any political subdivision or taxing authority
thereof or therein (other than any such connection arising solely from the
Administrative Agent or such Lender having executed, delivered or performed its
obligations or received a payment under, or enforced, this Agreement or any
other Loan Document).

(b)   In addition, the Borrower shall pay
any Other Taxes to the relevant Governmental Authority in accordance with
applicable law.

(c)   Whenever any Non-Excluded Taxes or
Other Taxes are payable by the Borrower, as promptly as possible thereafter the
Borrower shall send to the Administrative Agent for its own account or for the
account of the relevant Lender, as the case may be, a certified copy of an
original official receipt received by the Borrower showing payment thereof.  If
the Borrower fails to pay any Non-Excluded Taxes or Other Taxes when due to the
appropriate taxing authority or fails to remit to the Administrative Agent the
required receipts or other required documentary evidence, the Borrower shall
indemnify the Administrative Agent and the Lenders for any incremental taxes,
interest or penalties that may become payable by the Administrative Agent or
any Lender as a result of any such failure.

(d)    Each Lender (or Transferee) that
is not a "U.S. Person" as defined in Section 7701(a)(30) of the Code  (a "Non‐U.S.
Lender") shall deliver to the Borrower and the Administrative Agent (or, in
the case of a Participant, to the Lender from which the related participation
shall have been purchased) two copies of either U.S. Internal Revenue Service
Form W-8BEN or Form W-8ECI, or, in the case of a Non‐U.S. Lender claiming
exemption from U.S. federal withholding tax under Section 871(h) or 881(c) of
the Code with respect to payments of "portfolio interest", a statement substantially
in the form of Exhibit H and a Form W-8BEN, or any subsequent versions thereof
or successors thereto, properly completed and duly executed by such Non‐U.S.
Lender claiming complete exemption from, or a reduced rate of, U.S. federal
withholding tax on all payments by the Borrower under this Agreement and the
other Loan Documents.  Such forms shall be delivered by each Non‐U.S.
Lender on or before the date it becomes a party to this Agreement (or, in the
case of any Participant, on or before the date such Participant purchases the
related participation).  In addition, each Non‐U.S. Lender shall deliver
such forms promptly upon the obsolescence or invalidity of any form previously
delivered by such Non‐U.S. Lender.  Each Non-U.S. Lender shall promptly notify
the Borrower at any time it determines that it is no longer in a position to
provide any previously delivered certificate to the Borrower (or any other form
of certification adopted by the U.S. taxing authorities for such purpose). 
Notwithstanding any other provision of this paragraph, a Non‐U.S. Lender
shall not be required to deliver any form pursuant to this paragraph that such
Non‐U.S. Lender is not legally able to deliver.

(e)   If
the Administrative Agent or any
Lender determines, in its good faith discretion, that it has received a refund
of any Non-Excluded Taxes or Other Taxes as to which it has been indemnified by
the Borrower or with respect to which the Borrower has paid additional amounts
pursuant to this Section 2.12, it shall pay over such refund to the Borrower
(but only to the extent of indemnity payments made, or additional amounts paid,
by the Borrower under this Section 2.12 with respect to the Non-Excluded Taxes
or Other Taxes giving rise to such refund), net of all out-of-pocket expenses
of the Administrative Agent or such Lender and without interest (other than any
interest paid by the relevant Governmental Authority with respect to such
refund); provided that the Borrower, upon the request of the
Administrative Agent or such Lender, agrees to repay the amount paid over to
the Borrower (plus any penalties, interest or other charges imposed by the
relevant Governmental Authority) to the Administrative Agent or such Lender in
the event the Administrative Agent or such Lender is required to repay such
refund to such Governmental Authority. This paragraph shall not be construed to
require the Administrative Agent or any Lender to make available its tax
returns (or any other information relating to its taxes which it deems
confidential) to the Borrower or any other Person.

(f)   The agreements in this Section
shall survive the termination of this Agreement and the payment of the Loans
and all other amounts payable hereunder.

2.13.         
Change of Lending Office.  Each Lender agrees that,
upon the occurrence of any event giving rise to the operation of Section 2.11
or 2.12(a) with respect to such Lender, it will, if requested by the Borrower,
use reasonable efforts (subject to overall policy considerations of such
Lender) to designate another lending office for any Loans affected by such
event with the object of avoiding the consequences of such event; provided
that such designation is made on terms that, in the good faith judgment of such
Lender, cause such Lender and its lending office(s) to suffer no economic,
legal or regulatory disadvantage, and provided, further, that
nothing in this Section shall affect or postpone any of the obligations of the
Borrower or the rights of any Lender pursuant to Section 2.11 or 2.12(a).

2.14.         
Fees.   (a)  The Borrower shall pay
to the Administrative Agent, for the account of each Revolving Credit Lender, a
commitment fee (the "Commitment Fee") for the period commencing on the
Closing Date to the Termination Date at the rate of 0.50% per annum on the
average daily Available Revolving Credit Commitments.  Such Commitment Fee, to
the extent then accrued, shall be payable (i) monthly, in arrears, on the first
day of each calendar month for fees accrued in the previous month, (ii) upon
any reduction or termination, in whole or in part, of the Total Revolving
Credit Commitment and (iii) on the Termination Date.  

(b)   The Borrower agrees to pay to the
Administrative Agent the fees in the amounts and on the dates from time to time
agreed to in writing by the Borrower and the Administrative Agent.

(c)   The Borrower agrees to pay on the
Closing Date, (i) CGMI an upfront fee of $1,937,500 for its own account; and
(ii) Perry an upfront fee of $1,712,500 for its own account.

(d)  If the Borrower elects to extend the Termination Date
in accordance with the provisions of the definition thereof, an extension fee
of 1% of the aggregate of (i) the Term Loans outstanding as of such date, and
(ii) the Total Revolving Credit Commitments as of such date shall be payable on
each such extension date.  Such extension fee shall be paid to the
Administrative Agent for the account of the Lenders. 

2.15.         
Nature of Fees.  All Fees shall be paid on
the dates due, in immediately available funds, to the Administrative Agent (for
the respective accounts of the Administrative Agent, the Joint Lead Arrangers
and the Lenders), as provided herein.  Once paid, none of the Fees shall be
refundable under any circumstances.

2.16.         
Priority and Liens.   (a)  The Loan Parties hereby
covenant, represent and warrant that, upon entry of the Interim Order (and the
Final Order), the Obligations of the Loan Parties hereunder and under the other
Loan Documents and the Orders, (i) pursuant to Section 364(c)(1) of the
Bankruptcy Code shall be entitled to joint and several Superpriority Claim
status in the Cases, (ii) pursuant to Section 364(c)(2) of the Bankruptcy Code
shall be secured by a perfected first priority lien on all property of the
Debtors that is subject to the Released Liens and on all other property that is
not subject to valid, perfected and non-avoidable liens as of the Closing Date,
(iii) pursuant to Section 364(c)(3) of the Bankruptcy Code shall be secured by
a perfected junior lien on all property of the Debtors that is subject to
valid, perfected and non-avoidable liens in existence at the time of the
commencement of the Cases or to valid liens in existence at the time of such
commencement that are perfected subsequent to such commencement as permitted by
Section 546(b) of the Bankruptcy Code (other than property that is subject to
the Released Liens and which property will be covered under the liens granted
to the Administrative Agent and the Lenders under paragraph (ii) above), and
(iv) pursuant to Section 364(d)(1) of the Bankruptcy Code shall be secured by a
perfected first priority, senior priming lien on all of the property of the
Debtors that is subject to existing liens that are junior to the Released
Liens, all of which existing liens (the "Primed Liens") shall be primed
by and made subject and subordinate to the perfected first priority senior
liens to be granted to the Administrative Agent and the Lenders, which senior
priming liens in favor of the Administrative Agent and the Lenders shall also
prime any liens granted after the commencement of the Cases to provide adequate
protection in respect of any Permitted Liens but shall not prime liens, if any,
to which the Primed Liens were subject at the time of the commencement of the
Cases, subject and subordinate in each case with respect to subclauses (i) through
(iv) above, only to the Permitted Liens and the fees and expenses subject to
the Administrative Expense Carve-Out and the payments subject to the Employee
Plans Carve-Out.

(b)   As to all Collateral, including
without limitation, all cash, Cash Equivalents and real property the title to
which is held by any Loan Party, or the possession of which is held by any Loan
Party in the form of a leasehold interest, such Loan Party hereby assigns and
conveys as security, grants a security interest in, hypothecates, mortgages,
pledges and sets over unto the Administrative Agent all of the right, title and
interest of the Borrower and such Guarantor in all of such Collateral,
including without limitation, all cash, Cash Equivalents and owned real
property and in all such leasehold interests, together in each case with all of
the right, title and interest of the Borrower and such Guarantor in and to all
buildings, improvements, and fixtures related thereto, any lease or sublease
thereof, all general intangibles relating thereto and all proceeds thereof. 
The Borrower and each Guarantor acknowledge that, pursuant to the Orders, the
Liens granted in favor of the Administrative Agent (on behalf of the Lenders)
in all of the Collateral shall be perfected without the recordation of any
Uniform Commercial Code financing statements, notices of Lien or other
instruments of mortgage or assignment.  The Borrower and each Guarantor further
agree that (a) the Administrative Agent shall have the rights and remedies set
forth in Section 10 in respect of the Collateral and (b) if requested by the
Administrative Agent, the Borrower and each of the Guarantors shall enter into
separate security agreements, pledge agreements and fee and leasehold mortgages
with respect to such Collateral on terms reasonably satisfactory to the
Administrative Agent.

2.17.         
Payment of Obligations.  Upon the maturity (whether
by acceleration or otherwise) of any of the Obligations under this Agreement or
any of the other Loan Documents, the Lenders shall be entitled to immediate
payment of such Obligations without further application to or order of the
Bankruptcy Court.

2.18.         
No Discharge; Survival of Claims.  The Borrower and each
Guarantor agrees that to the extent its Obligations hereunder are not satisfied
in full, (a) its Obligations arising hereunder shall not be discharged by the
entry of a Confirmation Order (and each Loan Party, pursuant to Section
1141(d)(4) of the Bankruptcy Code, hereby waives any such discharge) and (b)
the Superpriority Claim granted to the Administrative Agent and the Lenders
pursuant to the Orders and described in Section 2.16 and the Liens granted to
the Administrative Agent pursuant to the Orders and described in Section 2.16
shall not be affected in any manner by the entry of a Confirmation Order.

SECTION 3

REPRESENTATIONS AND WARRANTIES

In order to induce the Lenders to make the Loans
hereunder, the Borrower and each of the Guarantors jointly and severally
represent and warrant as follows:

3.1.            
Organization and Qualification; Non-Contravention.  Each domestic Group Member
(a) is duly organized, validly existing and in good standing under the laws of
the state of its incorporation, has full and adequate corporate power to carry
on its business as now conducted, is duly licensed or qualified in all jurisdictions
wherein the nature of its activities requires such licensing or qualifying,
except where the failure to be so licensed or qualified would not have a
Material Adverse Effect, and (b) subject to the entry by the Bankruptcy Court
of the Interim Order (or the Final Order, as applicable), has full right, power
and authority and has taken all necessary corporate action (including the
consent of shareholders if required) to enter into this Agreement and the other
Loan Documents to which it is a party, to make the borrowings herein provided
for, to execute and issue its Notes in evidence thereof, and to perform each
and all of the matters and things herein and therein provided for.

3.2.            
No Default.  Each Loan Party is in full
compliance with all of the terms and conditions of this Agreement, and no
Default or Event of Default is existing under this Agreement, the Orders or any
of the Loan Documents.

3.3.            
Statements Made.  The written statements,
which have been made by any Loan Party to any of the Lenders (solely in their
capacity as a Lender hereunder) or to the Bankruptcy Court in connection with
any Loan Document, and any information, exhibit or report delivered pursuant
hereto or thereto, taken as a whole and in light of the circumstances in which
made and when made, contain no untrue statement of a material fact and do not
omit to state a material fact necessary to make such statements not misleading
in any case.

3.4.            
Financial Statements.  The Borrower has furnished
the Administrative Agent and the Lenders with copies of (i) the annual audit
report as of June 30, 2003 and the accompanying financial statements of the
Borrower and its Subsidiaries and (ii) unaudited financial statements of the
Borrower and its Subsidiaries as of, and for the interim period ending March 31, 2004.  All such financial statements fairly present in all material respects the
financial condition of the Borrower and its Subsidiaries as at such dates and
the results of their operations for the fiscal periods ended on such dates all
in accordance with GAAP (except for the omission of footnotes and subject to
normal year-end audit adjustments with respect to such unaudited statements,
applied on a consistent basis, except as otherwise noted therein.  The Borrower
and its Subsidiaries have no material contingent liabilities other than as
indicated on said financial statements.

3.5.            
Subsidiaries.  Except as disclosed to the
Administrative Agent and the Lenders by the Borrower in writing from time to
time after the Closing Date, (a) Schedule 3.5 sets forth the name, location of
chief executive office or sole place of business, location of Inventory and
Equipment (as each such term is defined in the New York UCC) and jurisdiction
of incorporation of each Subsidiary.  Each Subsidiary is duly organized and validly
existing under the laws of the state or country of its incorporation or
formation, has full and adequate corporate power and authority to carry on its
business as now conducted, and is duly licensed or qualified to do business in
all jurisdictions wherein the nature of its activities requires such licensing
or qualification, except where the failure to be so licensed or qualified would
not have a Material Adverse Effect.

3.6.            
Debt and Security Interests.  The Borrower and its
Subsidiaries have no Debt except Debt permitted by Section 6.2 hereof, and
there are no Liens on any of the assets or Property of the Borrower or any
Subsidiary except for those permitted by Section 6.1 hereof.

3.7.            
Approvals.  Except for the entry of
the Interim Order (or the Final Order as applicable), no authorization,
consent, license exemption or filing or registration with any governmental
agency or instrumentality is or will be necessary for the valid execution,
delivery or performance by each Loan Party of the Loan Documents to which it is
a party, or for the legality, validity or enforceability hereof or thereof.

3.8.            
The Order.  As of the date of the
making of any Extension of Credit hereunder, the Interim Order or the Final
Order, as applicable, has been entered and has not been stayed, amended,
vacated, reversed, rescinded or otherwise modified in any respect (except in
accordance with the terms hereof).

3.9.            
Environmental Matters; Hazardous Material.  Except as in the aggregate
would not reasonably be expected to result in a Material Adverse Effect:

(a)   the Properties of any Group Member
do not contain any Materials of Environmental Concern in amounts or
concentrations or under circumstances that constitute a violation of, or could
give rise to any material liability under, any Environmental Law;

(b)   no Group Member has received or is
aware of any written notice of violation, alleged violation, non-compliance,
liability or potential liability regarding environmental matters arising under
or compliance with Environmental Laws with regard to any of the Properties or
the business operated by any Group Member (the "Business") which could
reasonably be expected to have a Material Adverse Effect, nor does any Group
Member have knowledge or reason to believe that any such notice will reasonably
be expected to be received or is being threatened;

(c)   Materials of Environmental Concern
have not been transported or disposed of from the Properties in violation of,
or in a manner or to a location that would reasonably be expected to give rise
to any material liability under, any Environmental Law, nor have any Materials
of Environmental Concern been generated, treated, stored or disposed of at, on
or under any of the Properties in violation of, or in a manner that would
reasonably be expected to give rise to any material liability under, any
applicable Environmental Law;

(d)   except as disclosed on Schedule
3.9, no judicial proceeding or governmental or administrative action is pending
or, to the knowledge of any Group Member, threatened, under any Environmental
Law to which any Group Member is or, to the knowledge of any Group Member, will
be named as a party with respect to the Properties or the Business, nor are
there any consent decrees or other decrees, consent orders, administrative
orders or other orders outstanding under any Environmental Law with respect to
the Properties or the Business;

(e)   there has been no release or threat
of release of Materials of Environmental Concern at or from the Properties, or
arising from or related to the operations of any Group Member in connection
with the Properties or otherwise in connection with the Business, in violation
of or in amounts or in a manner that would reasonably be expected to give rise
to any material liability under Environmental Laws;

(f)   the Properties and all operations
at the Properties are in compliance, and have in the last five years been in
compliance where the failure to be in compliance could reasonably be expected
to have a Material Adverse Effect, with all applicable Environmental Laws, and
there is no Material of Environmental Concern at, under or about the Properties
or violation of any Environmental Laws with respect to the Properties or the
Business where the failure to be in compliance could reasonably be expected to
have a Material Adverse Effect; and

(g)   no Group Member has contractually
assumed or, to the knowledge of any Group Member, assumed by operation of law
any liability of any other Person under Environmental Laws.

3.10.         
Litigation.  Except as disclosed on
Schedule 3.10, there is no litigation, labor controversy, governmental
proceeding or investigation pending, nor to the knowledge of the Borrower
threatened, against any Group Member which could reasonably be expected to have
a Material Adverse Effect.  

3.11.         
Federal Regulations.  No part of the proceeds of
any Loans, and no other extensions of credit hereunder, will be used for
"buying" or "carrying" any "margin stock" within the respective meanings of
each of the quoted terms under Regulation U or X as now and from time to time
hereafter in effect or for any purpose that violates the provisions of the
Regulations of the Board of Governors.   

3.12.         
Compliance with Law.  Neither the Borrower nor
any Subsidiary is in violation of any law, statute, regulation, ordinance,
judgment, order or decree applicable to it which violation could reasonably be
expected to have a Material Adverse Effect.

3.13.         
Taxes.  Except as disclosed on
Schedule 3.13, the Borrower and its Subsidiaries have filed or caused to be
filed all Federal, state and other material tax returns that are required to be
filed and have paid all taxes shown to be due and payable on said returns or on
any assessments made against it or any of its property and all other taxes,
fees or other charges imposed on it or any of its property by any Governmental
Authority.  To the knowledge of the Borrower and its Subsidiaries except as set
forth on Schedule 3.10, no claim is being asserted, with respect to any such
material tax, fee or other charge.

3.14.         
ERISA.  The Borrower and its
Subsidiaries are in compliance in all material respects with ERISA to the
extent applicable to it and neither the Borrower nor any Subsidiary has
received any notice to the contrary from the PBGC or any other governmental
entity or agency. No steps have been taken to terminate any Plan, and no
contribution failure has occurred with respect to any Plan sufficient to give
rise to a Lien under Section 302(f) of ERISA. Except for the commencement of
the Cases, no condition exists or event or transaction has occurred with
respect to any Plan which might result in the incurrence by the Borrower or any
Subsidiary of any material liability, fine or penalty.  

3.15.         
Enforceability.  This Agreement and the
other Loan Documents to which the Loan Parties are a party are the legal, valid
and binding agreements of each Loan Party, enforceable against them in
accordance with its terms and the Orders.

3.16.         
Investment Company Act; Public Utility Holding Company Act; Other
Regulations.  No Loan Party is an
"investment company", or a company "controlled" by an "investment company",
within the meaning of the Investment Company Act of 1940, as amended or a
"subsidiary company" of a "holding company," or an "affiliate" of a "holding
company" or a "subsidiary" of a "holding company," within the meaning of the
Public Utility Holding Company Act of 1935, as amended.  No Loan Party is
subject to regulation under any Requirement of Law (other than Regulation X of
the Board) that limits its ability to incur Debt.  

3.17.         
Restrictive Agreements.  Except for contractual
restrictions on the ability of the Borrower's Subsidiaries to pledge their
equity interests in Houston Ammonia Terminal, L.P. and/or the Trinidad
Interests, no Group Member is a party to any contract or agreement, or subject
to any charge or other corporate restriction, which affects its ability to
execute, deliver and perform the Loan Documents to which it is a party and
repay its indebtedness, obligations and liabilities under the Loan Documents or
which could reasonably be expected to have a Material Adverse Effect.

3.18.         
No Default Under Other Agreements.  Except for defaults
arising from the filing of the Cases, no Group Member is in default with
respect to any note, indenture, loan agreement, mortgage, lease, deed, or other
agreement to which it is a party or by which it or its Property is bound, which
default could reasonably be expected to have a Material Adverse Effect.

3.19.         
Material Adverse Effect.  Since the Closing Date,
there has not occurred, or become known, any event or condition that has had,
or could reasonably be expected to have, a Material Adverse Effect.

SECTION
4

CONDITIONS PRECEDENT

4.1.            
Conditions to Initial Extension of Credit.  The obligation of each
Lender to make or participate in the initial Extension of Credit is subject to
the satisfaction, immediately prior to or currently with the making of such
Extension of Credit, of the following conditions precedent:

(a)   Loan Documents.  The
Administrative Agent shall have received (i) this Agreement, executed and
delivered by a duly authorized officer of each Loan Party, with a counterpart
for each Lender and (ii) the MCHI Guaranty (to be held in escrow pending
receipt of Ex-Im Bank consent as contemplated by Section 5.15) executed and
delivered by a duly authorized officer of MCHI, with a counterpart for each
Lender; and (iii) any other Loan Documents required to be delivered by the
Closing Date, in each case executed and delivered by a duly authorized officer
of the relevant Loan Party.

(b)   Corporate Documents and
Proceedings.  The Borrower shall have delivered to the Administrative Agent
for the benefit of the Lenders: (a) copies, certified as true, correct and
complete by the Secretary or Assistant Secretary of the Borrower and each
Guarantor, of resolutions regarding the transactions contemplated by this
Agreement, duly adopted by the Board of Directors (or equivalent body) of the
Borrower and each Guarantor and satisfactory in form and substance to the
Administrative Agent; (b) an incumbency and signature certificate for the
Borrower and each Guarantor satisfactory in form and substance to the Administrative
Agent; (c) copies (executed or certified, as may be appropriate) of all legal
documents or proceedings taken in connection with the execution and delivery of
this Agreement and the other Loan Documents to the extent the Administrative
Agent may reasonably request; and (d) a Borrowing Base Report showing the
calculation of the Borrowing Base as of the Friday immediately preceding the
Closing Date.

(c)   Interim Order.  The Interim
Order in the form of Exhibit G hereto shall have been entered after notice
given and a hearing conducted in accordance with Bankruptcy Rule 4001(c) by the
Bankruptcy Court and shall be in full force and effect and shall not have been
amended, modified, stayed, vacated, reversed or rescinded in any respect.

(d)   Budget.  Receipt by the Administrative
Agent of the Budget, in form and substance reasonably satisfactory to the
Lenders.

(e)   Payment of Fees.  The
Administrative Agent shall have received all fees and other amounts then due
and payable to it and to the Joint Lead Arrangers in connection with the
execution and delivery of this Agreement and the transactions contemplated
hereby.

(f)   Insurance.  The
Administrative Agent shall have received evidence of insurance required by
Section 5.3 hereof.

(g)   Trustee.  No trustee, or
other disinterested person with expended powers pursuant to Section 1104(c) of
the Bankruptcy Code, shall have been appointed or designated with respect to
any Debtor or its respective business or Properties, including, without
limitation the Collateral, no order shall be entered appointing such a trustee
or other disinterested person and no motion shall be pending seeking such
relief.

(h)   Costs and Expenses.  The
Borrower shall have paid the reasonable costs and expenses (including the
reasonable fees and expenses of Simpson Thacher & Bartlett LLP, Simpson
Thacher & Bartlett LLP's local counsel and all collateral review and audit
fees incurred by the Administrative Agent) incurred by the Lenders and the
Administrative Agent in connection with this Agreement and the transaction contemplated
hereby for which the Borrower has received an invoice. 

(i)   Legal Opinion.  The
Administrative Agent shall have received the legal opinion of Phelps Dunbar
LLP, counsel to the Loan Parties, addressed to the Administrative Agent and the
Lenders and otherwise substantially in the form of Exhibit C hereto, such legal
opinion to cover such other matters incident to the transactions contemplated
by this Agreement as the Administrative Agent may reasonably require. 

4.2.            
Conditions to Each Extension of Credit.  The obligation of the
Lenders to make each Extension of Credit, including the initial Extension of
Credit, is subject to the following conditions precedent:

(a)   Representations and Warranties. 
Each of the representations and warranties set forth in Section 3 hereof shall
be and remain true and correct as of said time, except that the representations
and warranties made under Section 3.4 shall be deemed to refer to the most
recent financial statements furnished to the Lenders pursuant to Section 5.1
hereof.

(b)   No Default or Event of Default. 
The Borrower shall be in full compliance with all of the terms and conditions
hereof, and no Default or Event of Default shall have occurred and be
continuing on such Borrowing Date or after giving effect to such Extensions of
Credit on such Borrowing Date.

(c)   Bankruptcy Court Approval. 
The Interim Order shall be in full force and effect and shall not have been
stayed, reversed, vacated, rescinded, modified or amended in any respect;
provided that at the time of the making of any Loan the aggregate amount of
either of which, when added to the sum of the principal amount of all Loans
then outstanding would exceed the amount authorized by the Interim Order
(collectively, the "Additional Credit"), the Administrative Agent and
each of the Lenders shall have received a certified copy of the Final Order
which, in any event, shall have been entered by the Bankruptcy Court no later
than August 15, 2004 and at the time of the extension of any Additional Credit
the Final Order shall be in full force and effect, and shall not have been
vacated, stayed, reversed, modified or amended in any respect without the prior
written consent of the Administrative Agent, the Required Lenders; and if
either the Interim Order or the Final Order is the subject of a pending appeal
in any respect, none of the making of such Extensions of Credit, the grant of
Liens and Superpriority Claims pursuant to Section 2.16 or the performance by
the Borrower or any Guarantor of any of their respective obligations under any
of the Loan Documents shall be the subject of a presently effective stay
pending appeal.

(d)   Payment of Fees.  The
Borrower shall have paid to the Administrative Agent, the Joint Lead Arrangers
and the Lenders the then unpaid balance of all accrued and unpaid Fees,
expenses and other amounts then due and payable under and pursuant to this
Agreement or the Interim Order (or the Final Order, as applicable).

(e)   Borrowing Base Report.  The
Administrative Agent shall have received the timely delivery of the most recent
Borrowing Base Report (dated no more than seven (7) days prior to the making of
a Loan) required to be delivered hereunder.

(f)   Cash Management Order.  With
respect to any Extension of Credit after July 31, 2004, a cash management
order, which order shall include procedures requiring all proceeds of
Collateral and all revenues, income and cash flow of the Borrower and the
Guarantors to be deposited in a Collection Account or such other arrangement as
is acceptable to the Administrative Agent such that, except with respect to the
Petty Cash and Payroll Accounts, the Administrative Agent attains exclusive
dominion and control over such accounts and proceeds of collection deposited
therein, shall have been entered by the Bankruptcy Court and shall be in full
force and effect and shall not have been amended, modified, stayed, vacated,
reversed or rescinded in any respect.

The request by the Borrower for, and the acceptance by
the Borrower of, each extension of credit hereunder or a release of cash held
in the Concentration Account shall be deemed to be a representation and
warranty by the Borrower that the conditions specified in this Section 4.2 have
been satisfied or waived at that time.

SECTION
5

AFFIRMATIVE COVENANTS

Each of the Loan Parties hereby agrees that, so long as
the Commitments remain in effect, or any Extension of Credit remains
outstanding and unpaid or other amount is owing to any Lender or the
Administrative Agent hereunder or under any other Loan Document, such Loan
Party shall and shall cause each of its Subsidiaries to:

5.1.            
Financial Statements, Etc. Maintain a system of
accounting in accordance with sound accounting practice and deliver promptly to
the Administrative Agent, and each Lender such information regarding the
business and financial condition of the Borrower and its Subsidiaries as may be
reasonably requested by the Administrative Agent from time to time and, without
any request, deliver to the Administrative Agent and each Lender:

(a)   as soon as available and in any
event within 90 days after the end of each fiscal year of the Borrower, a copy
of the audit report for such year and accompanying financial statements,
including consolidated balance sheets and statements of income for the Borrower
and its Subsidiaries showing in comparative form the figures for the previous
fiscal year of the Borrower, all in reasonable detail, prepared and certified
by KPMG, LLP or other independent public accountants of nationally recognized
standing selected by the Borrower and reasonably satisfactory to the
Administrative Agent and copies of unaudited consolidating balance sheets and
statements of income for the Borrower and its Subsidiaries;

(b)   as soon as available and in any
event within 45 days after the end of each of the first three quarterly fiscal
periods of each fiscal year of the Borrower, a copy of consolidated and
consolidating balance sheets and income statements and consolidated cash flows
statements for the Borrower and its Subsidiaries for such quarterly period and
the year to date and for the corresponding periods of the preceding fiscal
year, all in reasonable detail, prepared by the Borrower and certified by the
chief financial officer of the Borrower; 

(c)   as soon as available and in any
event not later than 15 days after the end of each month, a copy of
consolidated and consolidating balance sheets and income statements and
consolidated cash flow statements for the Borrower and its Subsidiaries for
such month and the year to date and for the corresponding periods of the
preceding fiscal year, all in reasonable detail, prepared by the Borrower and
certified by the chief financial officer of the Borrower; 

(d)   together with the financial
statements delivered pursuant to Sections 5.1(a), (b) and (c), a Compliance
Certificate in the form of Exhibit D, prepared and signed by the president or
chief financial officer of the Borrower;

(e)   promptly upon their becoming
available, copies of all registration statements and regular periodic reports,
if any, which the Borrower shall have filed with the Securities and Exchange
Commission or any governmental agency substituted therefor, or any national
securities exchange, including copies of the Borrower's Form 10-K annual
report, including financial statements audited by KPMG, LLP or other
independent public accountants of nationally recognized standing selected by
the Borrower and reasonably satisfactory to the Required Lenders, its form 10-Q
quarterly report to the Securities and Exchange Commission and any Form 8-K
filed by the Borrower with the Securities and Exchange Commission;

(f)   promptly upon the mailing thereof
to the shareholders of the Borrower generally, copies of all financial
statements, reports and proxy statements so mailed;

(g)   as soon as available, but in any
event by Wednesday of each week, commencing with the week following the Closing
Date, a Borrowing Base Report setting forth the computation of the Borrowing
Base as of the last Business Day of the preceding week, together with such
other information as such certificate requires, certified as correct by the
chief financial officer of the Borrower (it being agreed that the Borrower may
elect to deliver a Borrowing Base Report more frequently than required by this
Section 5.1(g));

(h)   as soon as available, and in any
event within fifteen days after the end of each month, commencing with the
month ending June 30, 2004, an accounts receivable and accounts payable aging,
an accounts receivable concentration and reconciliation report, an inventory
report (broken down by category), information as to the amount of accrued and
pending applications for professional fees as of the end of such month which
would form part of the Administrative Expense Carve-Out, and such other
information and reports as the Administrative Agent may reasonably request,
each as of the close of such period and in reasonable detail prepared by the
Borrower and certified to by the Chief Financial Officer of the Borrower;

(i)   as soon as available and in any
event within fifteen days after the end of each month, commencing with the
month ending July 31, 2004, a report (the "Budget Report") in such form (i)
showing the actual receipts and disbursements of the Borrower and its
Subsidiaries during the immediately preceding month, and (ii) comparing the
actual receipts and disbursements for the Borrower and its Subsidiaries to the receipts
and disbursements shown in the Budget both for the month covered by such Budget
Report and on a cumulative basis for the period from the Closing Date to the
date of the Budget Report in each of the categories set forth in the Budget,
each Budget Report to be in form and substance reasonably satisfactory to the
Administrative Agent and certified by the chief financial officer of the
Borrower; 

(j)   to the extent not otherwise
provided directly to the Administrative Agent by the Bankruptcy Court, furnish
to the Administrative Agent or its counsel promptly after the same is
available, copies of all pleadings, motions, applications, judicial
information, financial information and other documents filed by or on behalf of
the Borrower or any of the Guarantors with the Bankruptcy Court in the Chapter
11 Cases, or distributed by or on behalf of the Borrower or any of the
Guarantors to any official committee appointed in the Chapter 11 Cases; and

(k)    (to be delivered to the
Administrative Agent only), promptly upon receiving the same, copies of all
written offers which the Borrower should reasonably expect to be of interest to
the Lenders and agreements regarding the sale or recapitalization of the
Borrower or any part of the Borrower's business.

All such financial statements delivered pursuant to
Sections 5.1(a), (b) and (c) shall be complete and correct in all material
respects and shall be prepared in reasonable detail and in accordance with GAAP
applied consistently throughout the periods reflected therein and with prior
periods (except as approved by such accountants or officer, as the case may be,
and disclosed therein).

5.2.            
Compliance with Laws, etc.  Comply in all material
respects with all applicable laws, rules, regulations and orders, including
Environmental Laws, such compliance to include (without limitation) the
maintenance and preservation of its corporate or partnership existence and
qualification as a foreign corporation or partnership.

5.3.            
Maintenance of Property; Insurance.  Keep and maintain all of
its Properties necessary or useful in its business in good condition and make
all necessary renewals, replacements, additions, betterments and improvements
thereto; provided, however, that nothing in this Section shall
prevent the Borrower or any Subsidiary from discontinuing the operating and
maintenance of any of its properties if such discontinuance is, in the judgment
of the Borrower, desirable in the conduct of its business and not
disadvantageous in any material respect to the Lenders.  Maintain with insurers
recognized as financially sound and reputable by prudent business persons
insurance policies in such forms and amounts and against such risks (but
including in any event public liability, product liability and business
interruption) as are customarily insured against by companies engaged in the
same or a similar business. Make the Administrative Agent co-insured and loss
payee under all such policies.  The Borrower shall provide the Administrative
Agent with evidence of insurance maintained by it upon the Administrative
Agent's request.

5.4.            
Inspection.  Permit and cause each
Subsidiary to, permit the Administrative Agent, by its representatives, to
inspect any of the Properties, corporate books and financial records of the
Borrower, and each Subsidiary, to examine and make copies of the books of
accounts and other financial records of the Borrower and its Subsidiaries and
to discuss the affairs, finances and accounts of the Borrower and its
Subsidiaries with, and to be advised as to the same by, its officers at such
reasonable times and reasonable intervals as the Required Lenders may
reasonably request. The Borrower shall pay the reasonable costs and expenses of
the Administrative Agent in connection with any inspection of the Borrower's
and its Subsidiaries' books and records.

5.5.            
Notice of Suit or Adverse Change in Business or Default.  As soon as possible, and
in any event within five days after the Borrower or any Subsidiary learns of
the following, give written notice to the Administrative Agent and the Lenders,
of:

(a)   any material proceedings being
instituted by or against the Borrower or any Subsidiary in any federal, state,
local or foreign court or before any commission or other regulatory body
(federal, state, local or foreign);

(b)   any Material Adverse Effect; and

(c)   the occurrence of any Default or
Event of Default.

5.6.            
Taxes.  Duly pay and discharge all
taxes, rates, assessments, fees and governmental charges upon or against the
Borrower or any Subsidiary or against its Properties in each case before the
same becomes delinquent and before penalties accrue thereon; provided, however,
that the Loan Parties shall not be required to pay and discharge
or to cause to be paid and discharged any such obligation, tax, assessment,
charge, levy or claim so long as the validity or amount thereof shall be
contested in good faith by appropriate proceedings or such obligations arose
prior to the Petition Date.

5.7.            
Employee Benefits.  Promptly pay and discharge
all obligations and liabilities arising under ERISA of a character which if unpaid
or unperformed is likely to result in the imposition of a lien against any of
its Property and will promptly notify the Administrative Agent of (a) the
occurrence of any reportable event (as defined in ERISA) which might result in
the termination by the PBGC of any Plan, (b) receipt of any notice from PBGC of
its intention to seek termination of any such Plan or appointment of a trustee
therefor, and (c) its intention to terminate or withdraw from any Plan. The
Borrower will not, and will not permit any Subsidiary to, voluntarily terminate
any such Plan or withdraw therefrom unless it shall be in compliance with all
of the terms and conditions of this Agreement after giving effect to any
liability to PBGC resulting from such termination or withdrawal.

5.8.            
Use of  Revolving Credit Loans.  Use the proceeds of the
Revolving Credit Loans made hereunder

(a)   in the case of the initial
Revolving Credit Loans made on the Closing Date to make re-payment of all
amounts outstanding under the Harris DIP Credit Agreement, the Supplemental DIP
Credit Agreement and the Prepetition Credit Agreement to the extent that such
amounts are not repaid with the proceeds of the Term Loans;

(b)   for the payment of professional
fees of the Administrative Agent;

(c)   for the payment of interest, fees and
expenses payable hereunder;

(d)   for payment of the Costs of
Reorganization; and 

(e)   in accordance with the Budget, for
working capital and other general corporate purposes of the Borrower.

5.9.            
Use of Term Loans.  Use the proceeds of the
Term Loans made hereunder on the Closing Date firstly to repay in full all
amounts outstanding under the Supplemental DIP Credit Agreement and the
Pre-Petition Credit Agreement and secondly, to the extent of any excess, for
payment of fees and expenses payable hereunder and working capital purposes of
the Borrower.

5.10.         
Provisions Applicable Upon the Occurrence of an Event of Default.  Upon the occurrence of an
Event of Default, the Borrower may use Cash Collateral for five Business Days
in an amount necessary to pay its payroll plus up to the lesser of $3,000,000
or the amount set forth in the Budget (other than payroll) for that period (or
such other greater amount as may be approved by (i) the Administrative Agent in
the case of amounts that do not exceed $5,000,000 and (ii) the Required Lenders
in the case of amounts that do exceed $5,000,000.   

5.11.         
Approved Plan.  File with the Bankruptcy
Court no later than July 31, 2004 an Approved Plan with the Bankruptcy Court
(which may be by way of modification to the Debtors' Joint Plan of Reorganization
filed in the Cases on April 15, 2004) and pursue in good faith and within its
fiduciary duties obtaining confirmation of the Approved Plan expeditiously,
unless the Administrative Agent, the Joint Lead Arrangers and the Required
Lenders agree otherwise.  

5.12.         
Bank Accounts.  (i) Maintain the
Collection Accounts listed on Schedule 5.12 with the banks listed thereon and
deposit all proceeds of Collateral and all revenues, income and cash flow of
the Borrower and the Guarantors into a Collection Account immediately upon
receipt, (ii) on or before July 31, 2004 ensure that the Administrative Agent
has exclusive dominion and control over the Collection Accounts and the
proceeds of collection deposited therein or enter into such arrangement with
respect to such accounts as may be acceptable to the Administrative Agent, and
(iii) until such time as the Administrative Agent has exclusive dominion and
control over the Collection Accounts, by no later than 2:00 P.M. New York City
time, on each Business Day transfer the balances in the Collection Accounts (in
excess of $1,000,000 in the aggregate) to the Concentration Account.  

5.13.         
Trinidad.  If any financing
arrangements to which any of MCHI, MissChem (Barbados) SRL, MissChem Trinidad
Limited, FMCL are a party replaced or refinanced prior to the Termination Date,
ensure that the terms of such replacement or refinancing permit the issuance or
existence of the MCHI Guaranty and does not restrict a pledge of the Trinidad
Interests to secure the Obligations.

5.14.         
Pledged Stock.   No later than 5 Business
Days following the Closing Date, deliver to the Administrative Agent (i) the
certificates representing the shares of Capital Stock pledged pursuant hereto
together with an undated stock power for each such certificate executed in
blank by a duly authorized officer of the pledgor thereof and (ii) each
promissory note (if any) pledged to the Administrative Agent pursuant hereto
endorsed (without recourse) in blank (or accompanied by an executed transfer
form in blank) by the pledgor thereof.

5.15.         
MCHI Guaranty.  Deliver the MCHI Guaranty on
the Closing Date to be held in escrow pending receipt by the Borrower of
consent from Ex-Im Bank to the issuance of the MCHI Guaranty. Upon receipt of
such consent the MCHI Guaranty will be automatically released from escrow and
shall become effective in accordance with its terms. The Borrower will use its
commercially reasonable best efforts to obtain such consent from Ex-Im Bank as
soon as practicable following the Closing Date.  

SECTION
6

NEGATIVE COVENANTS

Each of the Loan Parties hereby agrees that, so long as
the Commitments remain in effect, or any Loan or other amount is owing to any
Lender or the Administrative Agent hereunder or under any other Loan Document,
such Loan Party shall not, and shall not permit any Subsidiary directly or
indirectly, to:

6.1.            
Limitation on Liens.  Pledge, mortgage or
otherwise encumber or subject to or permit to exist upon or be subjected to any
Lien (including any conditional sale or other title retention agreement and any
lease in the nature thereof) on any of its Properties or any of the Collateral
of any kind or character, whether now owned or hereafter acquired, except for:

(a)   Released Liens;

(b)   Liens existing on the date hereof
and listed on Schedule 3.6;

(c)   Liens, pledges or deposits for
worker's compensation, unemployment insurance, old age benefits or social
security obligations, taxes, assessments, statutory obligations or other
similar charges, good faith deposits made in connection with the Purchasing
Card Program, tenders, contracts or leases to which the Borrower or any
Subsidiary is a party, deposits in amounts approved by the Bankruptcy Court
prior to the date hereof or otherwise approved by the Required Lenders with
Entergy Koch Trading Company to secure margin accounts on gas trading contracts
or other deposits required to be made in the ordinary course of business,
provided in each case the obligation secured is not overdue or, if overdue, is
being contested in good faith by appropriate proceedings and adequate reserves have
been provided therefor in accordance with generally accepted accounting
principles and that the obligation is not for borrowed money, customer
advances, trade payables, or obligations to agricultural producers;

(d)   the pledge of assets for the
purpose of securing an appeal or stay or discharge in the course of any legal
proceedings, provided that the aggregate amount of liabilities of the Borrower
or any Subsidiary so secured by a pledge of property permitted under this
subsection (d) including interest and penalties thereon, if any, shall not be
in excess of $2,000,000 at any one time outstanding;

(e)   Liens for property taxes and
assessments or governmental charges or levies which are not yet due and payable
and Liens in certificates of deposit or money market accounts in connection
with the Purchasing Card Program;

(f)   Liens incidental to the conduct of
business or the ownership of properties and assets (including warehousemen's
and attorneys' liens and statutory landlords' liens) or other liens of like
general nature incurred in the ordinary course of business and not in
connection with the borrowing of money, provided in each case, the obligation
secured is not overdue or, if overdue, is being contested in good faith by
appropriate actions or proceedings and adequate reserves have been provided
therefor in accordance with generally accepted accounting principles,
consistently applied;

(g)   minor survey exceptions or minor
encumbrances, easements or reservations, or rights of others for rights-of-way,
utilities and other similar purposes, or zoning or other restrictions as to the
use of real properties, which are necessary for the conduct of the activities
of the Borrower and its Subsidiaries or which customarily exist on properties
of corporations engaged in similar activities and similarly situated and which
do not in any event materially impair their use in the operation of the
business of the Borrower and its Subsidiaries;

(h)   the interests of lessors under
Capitalized Leases;

(i)   Liens securing the Borrower's and
its Subsidiaries' debt, obligations and liabilities in connection with
industrial revenue bonds issued for their account which are permitted by
Section 6.2(b), provided such Liens attach only to the Property financed by
such industrial revenue bonds;

(j)   Liens upon tangible personal
property acquired after the date hereof (by purchase, construction or
otherwise), or upon other Property acquired after the date hereof as a capital
expenditure, by the Borrower or any of its Subsidiaries, each of which Liens
either (A) existed on such Property before the time of its acquisition and was
not created in anticipation thereof or (B) was created solely for the purpose
of securing debt representing, or incurred to finance, refinance or refund, the
cost of such Property; provided that (i) no such Lien shall extend to or cover
any Property of the Borrower or any of its Subsidiaries other than the Property
so acquired, and (ii) the principal amount of debt secured by any such Lien
shall not exceed the fair market value of such Property at the time of
acquisition, and (C) the aggregate principal amount of all debt secured by such
Liens shall not at any one time exceed $5,000,000; and

(k)   Liens granted pursuant to the Deed
of Charge (Shares and Securities) dated as of November 10, 1998, among J.P.
Morgan Chase Bank, a collateral trustee, the Borrower, and certain of its
Subsidiaries, Farmland Industries, Inc. and certain of its Subsidiaries, and
FMCL, as amended by that certain Novation and Variation of Deed of Charge
(Shares and Securities), dated as of May 7, 2003, by and among Farmland
Trinidad Limited, MissChem Trinidad Limited, Farmland Industries, Inc.,
Mississippi Chemical Corporation, Koch Mineral Services, LLC, and JPMorgan
Chase Bank, and Farmland MissChem Limited.

6.2.            
Limitation on Debt Obligations.  Issue, incur, assume,
create or have outstanding any Debt, nor be or remain liable, whether as
endorser, surety, guarantor or otherwise, for or in respect of any Debt of any
other Person, other than:

(a)   debt of the Borrower and the
Guarantors arising under or pursuant to this Agreement or the other Loan
Documents;

(b)   debt of the Borrower or the
Borrower's Subsidiaries relating to industrial revenue bonds issued for their
account and outstanding on the Petition Date, and any debt issued or incurred
to refinance such debt in a principal amount that does not exceed the principal
amount of the debt being refinanced;

(c)   the liability of the Borrower and
its Subsidiaries arising out of the endorsement for deposit or collection of
commercial paper received in the ordinary course of business;

(d)   debt of the Borrower and its
Subsidiaries existing on the date hereof and listed on Schedule 6.2 hereof,
and, other than in the case of the Debt relating to the Harris DIP Credit
Agreement, the Supplemental DIP Credit Agreement and the Pre-petition Credit
Agreement, any debt issued or incurred to refinance any of the foregoing
permitted debt, provided that the principal amount of such refinancing debt
does not exceed the principal amount outstanding at such time of the debt being
refinanced;

(e)   the liability of the Borrower with
respect to the Farmland MissChem Project Contingent Obligations disclosed on
Exhibit E hereto;

(f)   debt of the Borrower evidenced by
the Senior Notes;

(g)   debt for borrowed money or
Capitalized Lease Obligations of the Borrower and its Subsidiaries not
otherwise permitted by this Section 6.2; provided that the aggregate principal
amount of all such debt shall not exceed $2,000,000 at any time; 

(h)   the debt of the Borrower to any
Subsidiary or any Subsidiary to the Borrower or any other Subsidiary provided
that the aggregate principal amount of all such debt of any Loan Party owing to
any Subsidiary which is not a Loan Party shall not exceed $1,000,000 at any
time; and

(i)   debt of the Borrower pursuant to
performance guarantees issued by the Borrower to secure performance of
contracts entered into by a Subsidiary of the Borrower.

6.3.            
Consolidation and Merger.  Consolidate with or merge
into any Person or permit any Person to merge into it, except that any
Subsidiary may be merged or consolidated with or into:

(a)   the Borrower, if the Borrower
should be the continuing or surviving entity; or 

(b)   any other Subsidiary which is a
Loan Party.

6.4.            
Limitation on  Sale of Assets.  Sell, lease, assign,
transfer or otherwise dispose of (whether in one transaction or in a series of
related transactions) all or any of its Property, whether now owned or
hereafter acquired, to any Person outside the ordinary course of business
without the prior approval of the Required Lenders and the Bankruptcy Court, except:

(a)   sale of its Inventory in the
ordinary course of business;

(b)   sales or leases of its machinery
and equipment that is obsolete, unusable or not needed for the Borrower's or
such Subsidiary's operations in the ordinary course of business; 

(c)   sales of precious metals used as
catalysts sold and replaced with similar precious metals in the ordinary course
of business; 

(d)   the sale of stock or assets as
contemplated by the Supplemental Letter; and 

(e)   sales of Property producing Net
Cash Proceeds of not more than the sum of $8,500,000 in the aggregate from the
Closing Date through the Termination Date.

6.5.            
Limitation on Issuances of Dividends and Certain Other
Restricted Payments.  In the case of the
Borrower, (a) Declare or pay any dividends or make any distribution on any
class of its capital stock or (b) make any other distributions with respect to
its capital stock (collectively, "Restricted Payments").

6.6.            
Limitation on Investments, Loans and Advances.  Make any investment
(whether through the purchase of stock, obligations or otherwise) in, or make
any loan or advance to, any other Person, except:

(a)   investments shown on Schedule 6.6
hereto;

(b)   investments by the Borrower or any
Subsidiary in loans and advances from the Borrower or any Subsidiary to, any
Subsidiary which is a Loan Party; 

(c)   intercompany Investments (i) by any
Loan Party in the Borrower or another Loan Party that, prior to such
investment, is a wholly owned Guarantor or (ii) listed on Schedule 6.6;

(d)   Investments (including debt
obligations) received in connection with bankruptcy or reorganization of
suppliers and customers in settlement of delinquent obligations of, and other
disputes with, customers and suppliers arising in the ordinary course of
business;

(e)   Hedging Agreements with Lenders or
hedging agreements approved by the Bankruptcy Court prior to the date hereof or
otherwise approved by the Required Lenders with respect to purchases of natural
gas and other raw materials to be used in the businesses of the Loan Parties; provided
that such purchases are entered into the ordinary course of business and for
bona fide business (and not speculative) purposes;

(f)   deposits made in the ordinary
course of business to secure the performance of leases or other contractual
arrangements; 

(g)   loans and advances to employees in
the ordinary course of business provided the aggregate principal amount of all
such loans and advances made by the Borrower or any of its Subsidiaries shall
not exceed $500,000 at any time;

(h)   cash or Cash Equivalents maintained
by the Borrower or any Subsidiary in (a) the Concentration Account and (b) in
the accounts listed on Schedule 5.12 not to exceed $1,000,000 at any time.

6.7.            
Transactions with Affiliates.  Enter into any
transaction, including without limitation, the purchase, sale, lease or
exchange of any Property, or the rendering of any service, with any Affiliate
of the Borrower except in the ordinary course of, and pursuant to the
reasonable requirements of, the Borrower's or such Subsidiary's business and
upon fair and reasonable terms no less favorable to such Loan Party than would
be obtained in a comparable arm's-length transaction with a Person not an
Affiliate of the Borrower, provided that the Borrower may continue to engage in
the following practices: (i) allocation of overhead expenses among the Borrower
and its Subsidiaries, (ii) the floor price provision of the ammonia purchase
agreements between the Borrower and FMCL, (iii) product pricing among the
Borrower and one or more Subsidiaries and Mississippi Chemical Company, L.P.,
(iv) management services provided by Mississippi Chemical Management Company to
Houston Ammonia Terminal, L.P. and to FMCL Limited Liability Company, and (v)
transactions between the Borrower and Guarantors and transactions between
Guarantors.  The inclusion of paragraphs (ii), (iii) and (iv) above shall not
be interpreted to mean the Borrower is taking the position that such
transactions are not on an arms' length basis.  

6.8.            
Sale and Leaseback Transactions.  Enter, directly or
indirectly, into any arrangement with any Person providing for the Borrower or
a Subsidiary to lease or rent Property that the Borrower or a Subsidiary has or
will sell or otherwise transfer to such Person.

6.9.            
Fiscal Periods.  Change its fiscal periods.

6.10.         
New Subsidiaries.  Directly or indirectly
organize or acquire any Subsidiary not listed on Schedule 3.5 attached hereto.

6.11.         
Chapter 11 Claims.  Create, incur, assume, or
suffer to exist (in each case, to "Incur") or permit any unsecured claim in the
Chapter 11 Cases or (subject to Section 726(b) of the Bankruptcy Code) any
superseding case or cases under Chapter 7 of the Bankruptcy Code (including,
without limitation, any deficiency claim remaining after the satisfaction of a
Lien that secures a claim) to be pari passu with or senior to the claims of the
Administrative Agent and the Lenders against the Borrower and the Guarantors
for the Obligations, or apply to the Bankruptcy Court for authority so to do,
except for the Administrative Expense Carve-Out and the Employee Plans
Carve-Out.

6.12.         
No Restrictions on Subsidiaries.  Assign, sell or transfer,
nor shall it permit any Subsidiary to issue, assign, sell or transfer, any
shares of capital stock or other equity interests of a Subsidiary except as
permitted by Section 6.4; provided, however, that the foregoing
shall not operate to prevent  

(a)   Liens on the capital stock or other
equity interests of Subsidiaries granted to the Administrative Agent pursuant
to the Orders, this Agreement or the Security Documents,

(b)   the issuance, sale, and transfer to
any person of any shares of capital stock of a Subsidiary solely for the
purpose of qualifying, and to the extent legally necessary to qualify, such
person as a director of such Subsidiary, and 

(c)   any transaction permitted by
Section 6.7 above.

6.13.         
Capital Expenditures.  Expend or become obligated
for Capital Expenditures during each period commencing on July 1, 2004, through the last day of each month in an aggregate amount for the Borrower and its
Subsidiaries in excess of the amount shown on Schedule 6.13 for such period.

6.14.         
Minimum EBITDA.  The Borrower will, as of
the last day of each month commencing July 31, 2004, have EBITDA for the period
from July 1, 2004, through the last day of such month in an amount not less
than the amount shown for such period on Schedule 6.14.

6.15.         
Assets, Purchases, Executory Contracts, Pre-Petition Debt and
Payments Outside the Ordinary Course of Business.  Directly or indirectly  

(a)   purchase any assets outside the
ordinary course of business, 

(b)   assume any material executory
contracts (other than executory contracts subject to pending motions for
assumption ) under Section 365 of the Bankruptcy Code without the prior
approval of the Administrative Agent,

(c)   pay any pre-petition debt, other
than (i) the Pre-Petition Obligations as permitted by this Agreement and the
Orders, (ii) pre-petition obligations owed to Normalized Trade Creditors to the
extent set forth in the Budget, and (iii) pre-petition obligations to other
Essential Trade Creditors that are not trade creditors, to the extent set forth
in the Budget, and 

(d)   make any payments outside the
ordinary course of their respective businesses, in each case without prior
approval of the Bankruptcy Court.

6.16.         
Limitation on Restrictions on Disclosure of Certain Information.  Directly or indirectly
enter into or suffer to exist or become effective any consensual encumbrance or
restriction on the ability of the Borrower to disclose to the Administrative
Agent or the Lenders the information and matters the Borrower is required to
report pursuant to Section 5.1(i) of this Agreement.

6.17.         
The Budget.   (a)  Permit the aggregate
disbursements for any month in the Budget, and the cumulative disbursements for
each period from July 1, 2004 through the last day of any month, to exceed the
amounts set forth in the Budget for such month or period, in each case if after
giving effect thereto the Borrower would not be in compliance with the
Borrowing Base requirements of this Agreement.  Notwithstanding anything to the
contrary contained herein, variances from the Budget shall be permitted so long
as the Borrower remains in compliance with the Borrowing Base requirements of
this Agreement and with Sections 6.13 and 6.14 hereof.

(b)   The Budget may be modified with the
written approval of the Administrative Agent.

(c)   The Budget shall be redetermined to
the Required Lenders' reasonable satisfaction within fifteen (15) days
following the consummation of any Disposition that results in cash proceeds in
excess of $1,000,000 and that was not contemplated by the Budget.

SECTION
7

EVENTS OF DEFAULT

If one or more of the following events (herein called "Events
of Default") shall occur and be continuing:

(a)   The Borrower shall fail to (i) pay
any principal of any Loan when due in accordance with the terms hereof or any
other Loan Document, (ii) pay any interest on any Loan within one Business Day
after any such interest becomes due in accordance with the terms thereof or
hereof, or (iii) pay any other amount payable hereunder or under any other Loan
Document within three Business Days after any such other amount becomes due in
accordance with the terms thereof or hereof; or

(b)   Any representation or warranty made
or deemed made by any Loan Party herein or in any other Loan Document or which
is contained in any certificate, document or financial or other statement
furnished at any time under or in connection with this Agreement or any other
Loan Document shall prove to have been incorrect in any material respect on or
as of the date made or deemed made; or

(c)   The Borrower or any of its
Subsidiaries shall default in the observance or performance of any covenant or
other agreement contained in Sections 2.9, 5.1, 5.2, 5.3, 5.4, 5.5, 5.8, 5.9,
5.11, 5.12 or Section 6 hereof; or

(d)   The Borrower or any of its
Subsidiaries shall default in the observance or performance of any covenant or
other agreement contained in this Agreement or any other Loan Document (other
than as provided in paragraphs (a) through (c) of this Section 7), and such
default shall continue unremedied for a period of 30 days after the earlier of
(i) the Borrower becoming aware of such default or, (ii) notice thereof having
been given to the Borrower by the Administrative Agent or any Lender; or

(e)   Other than defaults arising as a
result of the filing of the Cases, default shall occur under any evidence of
Debt in a principal amount exceeding $10,000,000 issued or assumed or
guaranteed by the Borrower or any Subsidiary, or under any mortgage, agreement
or other similar instrument under which the same may be issued or secured, the
effect of which default is to cause, or to permit the holder or holders of such
Debt to cause, such Debt to become due prior to its stated maturity; or

(f)   Any of the Cases shall be dismissed
or converted to a case under Chapter 7 of the Bankruptcy Code; or

(g)    A trustee under Chapter 7 or
Chapter 11 of the Bankruptcy Code shall be appointed in any of the Cases; or

(h)   An order of the Bankruptcy Court
shall be entered in any of the Cases appointing an examiner with enlarged
powers relating to the operation of the business (powers beyond those set forth
in Section 1106(a)(3) and (4) of the Bankruptcy Code) under Section 1106(b) of
the Bankruptcy Code; or

(i)   Any judgment or judgments, writ or
writs, or warrant or warrants of attachment, or any similar process or
processes in an aggregate amount in excess of $10,000,000 shall be entered or
filed against the Borrower or any Subsidiary or against any of their respective
Property or assets and remain unstayed and undischarged for a period of 30 days
from the date of its entry; or

(j)   Except for the commencement of the
Cases, any reportable event (as defined in ERISA) which constitutes grounds for
the termination of any Plan or for the appointment by the appropriate United
States District Court of a trustee to administer or liquidate any such Plan,
shall have occurred and be continuing thirty (30) days after the Borrower shall
have become aware of such reportable event; or any Plan subject to Title IV of
ERISA shall be terminated; or a trustee shall be appointed to administer any
such Plan; or the Pension Benefit Guaranty Corporation shall institute
proceedings to administer or terminate any such Plan; or

(k)   The failure of the Borrower or any
Guarantor to comply with any of the terms of the Orders; or

(l)   The granting of a Lien on or other
interest in any Property of the Borrower or any Guarantor, or Superpriority
Claim, which is superior to or ranks in parity with the Lien of the
Administrative Agent granted in this Agreement and the Orders except for the
Administrative Expense Carve Out; or

(m)   Any Lien purported to be created by
this Agreement, the Interim Order or the Final Order in any of the Collateral
shall, for any reason other than the acts of the Administrative Agent or the
Lenders, cease to be valid or any action is commenced by any Debtor which
contests the validity, perfection or enforceability of any Lien created by this
Agreement, the Interim Order or the Final Order; or

(n)   (i) An order shall be entered by
the Bankruptcy Court confirming a plan of reorganization of any Debtor without
the Required Lenders' consent, or (ii) any plan of reorganization of the
Debtors is confirmed which does not provide for the payment in full in cash (or
other consideration satisfactory to each respective Lender in its sole and
arbitrary discretion) of the Obligations upon the effective date of the plan; or

(o)   Any material provision of any Loan
Document shall, for any reason, cease to be valid and binding on the Borrower
or any of the Guarantors, or the Borrower or any of the Guarantors shall so
assert in any pleading filed in any court, or any Lien created by the Loan
Documents or the Financing Order shall cease to be a valid and perfected Lien
against any of the Collateral purported to be covered thereby pursuant to
Sections 364(c) and (d) of the Bankruptcy Code; or

(p)   The Interim Order or the Final
Order, as applicable, shall be amended, modified, stayed, vacated, reversed or
rescinded in any which materially and adversely affects the rights of the
Lenders or the Administrative Agent and which modification is not acceptable to
the Administrative Agent or the Final Order shall have not been entered by
August 15, 2004; or

(q)   An application shall be filed by
any Debtor for the approval of any other Superpriority Claim in any of the
Chapter 11 Cases which is pari passu with or senior to the claims of the
Administrative Agent and the Lenders with respect to the Obligations (except
for the Administrative Expense Carve-Out and the Employee Plans Carve-Out) or
there shall arise any such pari passu or Superpriority Claim; or

(r)   The Bankruptcy Court shall enter an
order or orders granting relief from the automatic stay applicable under
Section 362 of the Bankruptcy Code with respect to any Lien on any assets of
the Borrower or any Guarantor having an aggregate net book value (determined in
accordance with generally accepted accounting principles, consistently applied)
in excess of $10,000,000 for all such assets; or

(s)   Other than as contemplated by the
Budget, any Debtor permanently ceases operation of any of its businesses or
takes any material action for the purpose of effecting the foregoing without
the prior written consent of the Administrative Agent; or

(t)   Any change or event shall occur
which could have a Material Adverse Effect; or 

(u)   There shall occur a Change of
Control (other than pursuant to transaction approved in advance by the Required
Lenders); or

(v)   The Approved Plan shall be amended,
withdrawn or modified without the prior consent of the Administrative Agent and
the Required Lenders.

then, and in every such event and at any time thereafter
during the continuance of such event, and without further order of or
application to the Bankruptcy Court, the Administrative Agent may, and, at the
request of the Required Lenders, the Administrative Agent shall, by notice to
the Borrower (with a copy to counsel for any statutory committee appointed in
the Cases and to the United States Trustee), take one or more of the following
actions, at the same or different times (provided that with respect to clause
(iii) below and the enforcement of Liens or other remedies with respect to the
Collateral under clause (iv) below, the Administrative Agent shall provide the
Borrower (with a copy to counsel for any statutory committee appointed in the
Cases and to the United States Trustee) with seven days written notice prior to
taking the action contemplated thereby): (i) terminate forthwith the
Commitments; (ii) declare the Loans then outstanding to be forthwith due and
payable, whereupon the principal of the Loans, together with accrued interest
thereon and any unpaid accrued Fees and all other Obligations of the Borrower
accrued hereunder and under any other Loan Document, shall become forthwith due
and payable, without presentment, demand, protest or any other notice of any
kind, all of which are hereby expressly waived by the Loan Parties, anything contained
herein or in any other Loan Document to the contrary notwithstanding; (iii)
subject to the Interim Order (or the Final Order, as applicable), set-off
amounts in the Concentration Account, the Collection Account or any other
accounts of the Loan Parties and apply such amounts to the Obligations of the
Loan Parties hereunder and under the other Loan Documents in accordance with
Section 10.3; and (iv) exercise any and all remedies under this Agreement, the
Loan Documents, the Orders, and applicable law available to the Administrative
Agent and the Lenders.

SECTION 8

THE AGENT

8.1.            
Appointment.  Each Lender hereby
irrevocably designates and appoints the Administrative Agent as the agent of
such Lender under this Agreement and the other Loan Documents, and each such Lender
irrevocably authorizes the Administrative Agent, in such capacity, to take such
action on its behalf under the provisions of this Agreement and the other Loan
Documents and to exercise such powers and perform such duties as are expressly
delegated to the Administrative Agent by the terms of this Agreement and the
other Loan Documents, together with such other powers as are reasonably
incidental thereto.  Notwithstanding any provision to the contrary elsewhere in
this Agreement, the Administrative Agent shall not have any duties or
responsibilities, except those expressly set forth herein, or any fiduciary
relationship with any Lender, and no implied covenants, functions,
responsibilities, duties, obligations or liabilities shall be read into this
Agreement or any other Loan Document or otherwise exist against the
Administrative Agent.

8.2.            
Delegation of Duties.  The Administrative Agent
may execute any of its duties under this Agreement and the other Loan Documents
by or through agents or attorneys‐in‐fact and shall be entitled to
advice of counsel concerning all matters pertaining to such duties.  The
Administrative Agent shall not be responsible for the negligence or misconduct
of any agents or attorneys-in-fact selected by it with reasonable care.  The Administrative
Agent shall be entitled to advice and opinion of legal counsel concerning all
matters pertaining to the duties of the agencies hereby created.

8.3.            
Exculpatory Provisions.  Neither the Administrative
Agent nor any of their respective officers, directors, employees, agents,
attorneys‐in‐fact or affiliates shall be (i) liable for any action
lawfully taken or omitted to be taken by it or such Person under or in
connection with this Agreement or any other Loan Document (except to the extent
that any of the foregoing are found by a final and nonappealable decision of a
court of competent jurisdiction to have resulted from its or such Person's own
gross negligence or willful misconduct) or (ii) responsible in any manner to
any of the Lenders for any recitals, statements, representations or warranties
made by any Loan Party or any officer thereof contained in this Agreement or
any other Loan Document or in any certificate, report, statement or other
document referred to or provided for in, or received by the Agents under or in
connection with, this Agreement or any other Loan Document or for the value,
validity, effectiveness, genuineness, enforceability or sufficiency of this
Agreement or any other Loan Document or for any failure of any Loan Party a
party thereto to perform its obligations hereunder or thereunder.  The
Administrative Agent shall not be under any obligation to any Lender to
ascertain or to inquire as to the observance or performance of any of the
agreements contained in, or conditions of, this Agreement or any other Loan
Document, or to inspect the properties, books or records of any Loan Party.

8.4.            
Reliance by Administrative Agent.  The Administrative Agent
shall be entitled to rely, and shall be fully protected in relying, upon any
instrument, writing, resolution, notice, consent, certificate, affidavit,
letter, telecopy, telex or teletype message, statement, order or other document
or conversation believed by it to be genuine and correct and to have been
signed, sent or made by the proper Person or Persons and upon advice and
statements of legal counsel (including counsel to the Borrower), independent
accountants and other experts reasonably selected by the Administrative Agent. 
The Administrative Agent may deem and treat the payee of any Note as the owner
thereof for all purposes unless a written notice of assignment, negotiation or
transfer thereof shall have been filed with the Administrative Agent.  The
Administrative Agent shall be fully justified in failing or refusing to take
any action under this Agreement or any other Loan Document unless it shall
first receive such advice or concurrence of the Required Lenders (or, if so
specified by this Agreement, all Lenders) as it deems appropriate or it shall
first be indemnified to its satisfaction by the Lenders against any and all
liability and expense that may be incurred by it by reason of taking or
continuing to take any such action.  The Administrative Agent shall in all
cases be fully protected in acting, or in refraining from acting, under this
Agreement and the other Loan Documents in accordance with a request of the
Required Lenders (or, if so specified by this Agreement, all Lenders), and such
request and any action taken or failure to act pursuant thereto shall be
binding upon all the Lenders and all future holders of the Loans.

8.5.            
Notice of Default.  The Administrative Agent
shall not be deemed to have knowledge or notice of the occurrence of any
Default or Event of Default unless the Administrative Agent has received notice
from a Lender, or the Borrower referring to this Agreement, describing such
Default or Event of Default and stating that such notice is a "notice of
default".  In the event that the Administrative Agent receives such a notice,
the Administrative Agent shall give notice thereof to the Lenders.  The
Administrative Agent shall take such action with respect to such Default or
Event of Default as shall be reasonably directed by the Required Lenders (or,
if so specified by this Agreement, all Lenders); provided that unless and
until the Administrative Agent shall have received such directions, the
Administrative Agent may (but shall not be obligated to) take such action, or
refrain from taking such action, with respect to such Default or Event of
Default as it shall deem advisable in the best interests of the Lenders.

8.6.            
Non-Reliance on Agent and Other Lenders.  Each Lender expressly
acknowledges that neither the Administrative Agent nor any of its officers,
directors, employees, agents, attorneys‐in‐fact or affiliates have
made any representations or warranties to it and that no act by the
Administrative Agent hereafter taken, including any review of the affairs of
the Borrower and its Subsidiaries or any affiliate of the Borrower and its
Subsidiaries, shall be deemed to constitute any representation or warranty by
the Administrative Agent to any Lender.  Each Lender represents to the
Administrative Agent that it has, independently and without reliance upon the
Administrative Agent or any other Lender, and based on such documents and
information as it has deemed appropriate, made its own appraisal of and
investigation into the business, operations, property, financial and other
condition and creditworthiness of the Borrower and its Subsidiaries and their
affiliates and made its own decision to make its Loans hereunder and enter into
this Agreement.  Each Lender also represents that it will, independently and
without reliance upon the Administrative Agent or any other Lender, and based
on such documents and information as it shall deem appropriate at the time,
continue to make its own credit analysis, appraisals and decisions in taking or
not taking action under this Agreement and the other Loan Documents, and to
make such investigation as it deems necessary to inform itself as to the
business, operations, property, financial and other condition and
creditworthiness of the Loan Parties and their affiliates.  Except for notices,
reports and other documents expressly required to be furnished to the Lenders
by the Administrative Agent hereunder, the Administrative Agent shall not have
any duty or responsibility to provide any Lender with any credit or other
information concerning the business, operations, property, condition (financial
or otherwise), prospects or creditworthiness of the Borrower and its
Subsidiaries or any affiliate of the Borrower and its Subsidiaries that may
come into the possession of the Administration Agent or any of its officers,
directors, employees, agents, attorneys‐in‐fact or affiliates.

8.7.            
Indemnification.  The Lenders agree to
indemnify the Administrative Agent in its capacity as such (to the extent not
reimbursed by the Borrower and without limiting the obligation of the Borrower
to do so), ratably according to their respective Aggregate Exposure Percentages
in effect on the date on which indemnification is sought under this Section
(or, if indemnification is sought after the date upon which the Commitments
shall have terminated and the Loans shall have been paid in full, ratably in
accordance with such Aggregate Exposure Percentages immediately prior to such
date), from and against any and all liabilities, obligations, losses, damages,
penalties, actions, judgments, suits, costs, expenses or disbursements of any
kind whatsoever that may at any time (whether before or after the payment of
the Loans) be imposed on, incurred by or asserted against the Administrative
Agent in any way relating to or arising out of, the Commitments, this
Agreement, any of the other Loan Documents or any documents contemplated by or
referred to herein or therein or the transactions contemplated hereby or
thereby or any action taken or omitted by the Administrative Agent under or in
connection with any of the foregoing; provided that no Lender shall be
liable for the payment of any portion of such liabilities, obligations, losses,
damages, penalties, actions, judgments, suits, costs, expenses or disbursements
that are found by a final and nonappealable decision of a court of competent
jurisdiction to have resulted from the Administrative Agent's gross negligence
or willful misconduct.  The agreements in this Section shall survive the
payment of the Loans and all other amounts payable hereunder.

8.8.            
Agent in Its Individual Capacity.  The Administrative Agent
and its affiliates may make loans to, accept deposits from and generally engage
in any kind of business with any Loan Party as though the Administrative Agent
were not an Administrative Agent.  With respect to its Loans made or renewed by
it, the Administrative Agent shall have the same rights and powers under this
Agreement and the other Loan Documents as any Lender and may exercise the same
as though it were not an Agent, and the terms "Lender" and "Lenders" shall
include the Administrative Agent in its individual capacity.

8.9.            
Successor Administrative Agent.  The Administrative Agent
may resign as Administrative Agent upon 10 days' notice to the Lenders and the
Borrower.  If the Administrative Agent shall resign as Administrative Agent
under this Agreement and the other Loan Documents, then the Required Lenders
shall appoint from among the Lenders a successor agent for the Lenders, which
successor agent shall (unless an Event of Default shall have occurred and be
continuing) be subject to approval by the Borrower (which approval shall not be
unreasonably withheld or delayed), whereupon such successor agent shall succeed
to the rights, powers and duties of the Administrative Agent, and the term
"Administrative Agent" shall mean such successor agent effective upon such
appointment and approval, and the former Administrative Agent's rights, powers
and duties as Administrative Agent shall be terminated, without any other or
further act or deed on the part of such former Administrative Agent or any of
the parties to this Agreement or any holders of the Loans.  If no successor
agent has accepted appointment as Administrative Agent by the date that is 10
days following a retiring Administrative Agent's notice of resignation, the
retiring Administrative Agent's resignation shall nevertheless thereupon become
effective, and the Lenders shall assume and perform all of the duties of the
Administrative Agent hereunder until such time, if any, as the Required Lenders
appoint a successor agent as provided for above.  After any retiring
Administrative Agent's resignation as Administrative Agent, the provisions of
this Section 8 shall inure to its benefit as to any actions taken or omitted to
be taken by it while it was Administrative Agent under this Agreement and the
other Loan Documents.

8.10.         
Duration of Agency.  The agency established by
Section 8.1 hereof shall continue, and Sections 8.1 through and including
Section 8.12 shall remain in full force and effect, until the Notes and all
other amounts due hereunder and thereunder shall have been paid in full and the
Lenders' commitments to extend credit to or for the benefit of the Borrower
shall have terminated or expired.  

8.11.         
Collateral Security.  The Administrative Agent
will hold, administer and manage any Collateral pledged from time to time
hereunder either in its own name or as Administrative Agent, but each Lender
shall hold a direct, undivided pro-rata beneficial interest therein, on the
basis of its proportionate interest in the secured obligations, by reason of
and as evidenced by this Agreement and the other Loan Documents.

8.12.         
Enforcement by the Administrative Agent.  All rights of action under
this Agreement and under the Notes and all rights to the Collateral hereunder
may be enforced by the Administrative Agent and any suit or proceeding
instituted by the Administrative Agent in furtherance of such enforcement shall
be brought in its name as Administrative Agent without the necessity of joining
as plaintiffs or defendants any other Lenders, and the recovery of any judgment
shall be for the benefit of Lenders subject to the expenses of the
Administrative Agent.

SECTION
9

GUARANTEE

9.1.            
Guarantee.   (a)     Each
of the Guarantors hereby, jointly and severally, unconditionally and
irrevocably, guarantees to the Administrative Agent, for the ratable benefit of
the Lenders and their respective successors, indorsees, transferees and assigns
permitted hereunder, the prompt and complete payment and performance by the
Borrower when due (whether at the stated maturity, by acceleration or
otherwise) of the Obligations.

(b)   Anything herein or in any other
Loan Document to the contrary notwithstanding, the maximum liability of each
Guarantor under this Section 9.1 and under the other Loan Documents shall in no
event exceed the amount which is permitted under applicable federal and state
laws relating to the insolvency of debtors (after giving effect to the right of
contribution established in Section 9.2).

(c)   Each Guarantor agrees that the
Obligations may at any time and from time to time exceed the amount of the
liability of such Guarantor hereunder without impairing the guarantee contained
in this Section 9 or affecting the rights and remedies of the Administrative
Agent or any Lender hereunder.  

(d)   The guarantee contained in this
Section 9 shall remain in full force and effect until all the Obligations and
the obligations of each Guarantor under the guarantee contained in this Section
9 shall have been satisfied by payment in full and the Commitments shall be
terminated, notwithstanding that from time to time during the term of this
Agreement the Borrower may be free from any Obligations.

(e)   No payment made by the Borrower,
any of the Guarantors, any other guarantor or any other Person or received or
collected by the Administrative Agent or any Lender from the Borrower, any of
the Guarantors, any other guarantor or any other Person by virtue of any action
or proceeding or any set-off or appropriation or application at any time or
from time to time in reduction of or in payment of the Obligations shall be
deemed to modify, reduce, release or otherwise affect the liability of any
Guarantor hereunder which shall, notwithstanding any such payment (other than
any payment made by such Guarantor in respect of the Obligations or any payment
received or collected from such Guarantor in respect of the Obligations),
remain liable for the Obligations up to the maximum liability of such Guarantor
hereunder until the Obligations are paid in full and the Commitments are
terminated.

9.2.            
Right of Contribution.  Each Subsidiary Guarantor
hereby agrees that to the extent that a Subsidiary Guarantor shall have paid
more than its proportionate share of any payment made hereunder, such
Subsidiary Guarantor shall be entitled to seek and receive contribution from
and against any other Subsidiary Guarantor hereunder which has not paid its
proportionate share of such payment.  Each Subsidiary Guarantor's right of
contribution shall be subject to the terms and conditions of Section 9.3.  The
provisions of this Section 9.2 shall in no respect limit the obligations and
liabilities of any Subsidiary Guarantor to the Administrative Agent and the
Lenders, and each Subsidiary Guarantor shall remain liable to the
Administrative Agent and the Lenders for the full amount guaranteed by such
Subsidiary Guarantor hereunder.

9.3.            
No Subrogation.  Notwithstanding any
payment made by any Guarantor hereunder or any set-off or application of funds
of any Guarantor by the Administrative Agent or any Lender, no Guarantor shall
be entitled to be subrogated to any of the rights of the Administrative Agent
or any Lender against the Borrower or any other Guarantor or any collateral
security or guarantee or right of offset held by the Administrative Agent or
any Lender for the payment of the Obligations, nor shall any Guarantor seek or
be entitled to seek any contribution or reimbursement from the Borrower or any
other Guarantor in respect of payments made by such Guarantor hereunder, until
all amounts owing to the Administrative Agent and the Lenders by the Borrower
on account of the Obligations are paid in full, no Letter of Credit shall be
outstanding and the Commitments are terminated.  If any amount shall be paid to
any Guarantor on account of such subrogation rights at any time when all of the
Obligations shall not have been paid in full, such amount shall be held by such
Guarantor in trust for the Administrative Agent and the Lenders, segregated
from other funds of such Guarantor, and shall, forthwith upon receipt by such
Guarantor, be turned over to the Administrative Agent in the exact form
received by such Guarantor (duly indorsed by such Guarantor to the
Administrative Agent, if required), to be applied against the Obligations,
whether matured or unmatured, in accordance with the terms of this Agreement.

9.4.            
Amendments, etc. with respect to the Obligations.  Each Guarantor shall
remain obligated hereunder notwithstanding that, without any reservation of
rights against any Guarantor and without notice to or further assent by any
Guarantor, any demand for payment of any of the Obligations made by the Administrative
Agent or any Lender may be rescinded by the Administrative Agent or such Lender
and any of the Obligations continued, and the Obligations, or the liability of
any other Person upon or for any part thereof, or any collateral security or
guarantee therefor or right of offset with respect thereto, may, from time to
time, in whole or in part, be renewed, extended, amended, modified,
accelerated, compromised, waived, surrendered or released by the Administrative
Agent or any Lender, and this Agreement and the other Loan Documents and any
other documents executed and delivered in connection herewith or therewith may
be amended, modified, supplemented or terminated, in whole or in part, as the
Administrative Agent (or the Required Lenders or all Lenders, as the case may
be) may deem advisable from time to time, and any collateral security,
guarantee or right of offset at any time held by the Administrative Agent or
any Lender for the payment of the Obligations may be sold, exchanged, waived,
surrendered or released.  Neither the Administrative Agent nor any Lender shall
have any obligation to protect, secure, perfect or insure any Lien at any time
held by it as security for the Obligations or for the guarantee contained in
this Section 9 or any property subject thereto.   

9.5.            
Guarantee Absolute and Unconditional.  Each Guarantor waives any
and all notice of the creation, renewal, extension or accrual of any of the
Obligations and notice of or proof of reliance by the Administrative Agent or
any Lender upon the guarantee contained in this Section 9 or acceptance of the
guarantee contained in this Section 9; the Obligations, and any of them, shall
conclusively be deemed to have been created, contracted or incurred, or
renewed, extended, amended or waived, in reliance upon the guarantee contained
in this Section 9; and all dealings between the Borrower and any of the
Guarantors, on the one hand, and the Administrative Agent and the Lenders, on
the other hand, likewise shall be conclusively presumed to have been had or
consummated in reliance upon the guarantee contained in this Section 9.  Each
Guarantor waives diligence, presentment, protest, demand for payment and notice
of default or nonpayment to or upon the Borrower or any of the Guarantors with
respect to the Obligations.  Each Guarantor understands and agrees that the
guarantee contained in this Section 9 shall be construed as a continuing,
absolute and unconditional guarantee of payment without regard to (a) the
validity or enforceability of this Agreement or any other Loan Document, any of
the Obligations or any other collateral security therefor or guarantee or right
of offset with respect thereto at any time or from time to time held by the
Administrative Agent or any Lender, (b) any defense, set-off or counterclaim
(other than a defense of payment or performance) which may at any time be
available to or be asserted by the Borrower or any other Person against the
Administrative Agent or any Lender, (c) any change in the corporate existence
or structure of the Borrower or any other Person or any change in any law,
regulation or order (including the Orders) affecting the Obligations, or (d)
any other circumstance whatsoever (with or without notice to or knowledge of
the Borrower or such Guarantor) which constitutes, or might be construed to
constitute, an equitable or legal discharge of the Borrower for the
Obligations, or of such Guarantor under the guarantee contained in this Section
9, in bankruptcy or in any other instance.  When making any demand hereunder or
otherwise pursuing its rights and remedies hereunder against any Guarantor, the
Administrative Agent or any Lender may, but shall be under no obligation to,
make a similar demand on or otherwise pursue such rights and remedies as it may
have against the Borrower, any other Guarantor or any other Person or against
any collateral security or guarantee for the Obligations or any right of offset
with respect thereto, and any failure by the Administrative Agent or any Lender
to make any such demand, to pursue such other rights or remedies or to collect
any payments from the Borrower, any other Guarantor or any other Person or to
realize upon any such collateral security or guarantee or to exercise any such
right of offset, or any release of the Borrower, any other Guarantor or any
other Person or any such collateral security, guarantee or right of offset,
shall not relieve any Guarantor of any obligation or liability hereunder, and
shall not impair or affect the rights and remedies, whether express, implied or
available as a matter of law, of the Administrative Agent or any Lender against
any Guarantor.  For the purposes hereof "demand" shall include the commencement
and continuance of any legal proceedings.

9.6.            
Reinstatement.  The guarantee contained in
this Section 9 shall continue to be effective, or be reinstated, as the case
may be, if at any time payment, or any part thereof, of any of the Obligations
is rescinded or must otherwise be restored or returned by the Administrative
Agent or any Lender upon the insolvency, bankruptcy, dissolution, liquidation
or reorganization of any Loan Party, or upon or as a result of the appointment
of a receiver, intervenor or conservator of, or trustee or similar officer for,
any Loan Party or any substantial part of its property, or otherwise, all as
though such payments had not been made.

9.7.            
Payments.  Each Guarantor hereby
guarantees that payments hereunder will be paid to the Administrative Agent
without set-off or counterclaim in Dollars at the Funding Office.

SECTION
10

REMEDIES; APPLICATION OF PROCEEDS  

10.1.         
Remedies; Obtaining the Collateral Upon Default.  Upon the occurrence of the
occurrence and continuation of any Event of Default (and after notice of such
Event of Default, if required), to the extent any such action is not
inconsistent with the Interim Order (or the Final Order, as applicable) or
Section 7, the Administrative Agent, in addition to any rights now or hereafter
existing under applicable law, and without application to or order of the
Bankruptcy Court, shall have all rights as a secured creditor under the Uniform
Commercial Code in all relevant jurisdictions and may:

(a)   personally, or by agents or
attorneys, immediately retake possession of the Collateral or any part thereof,
from the Borrower, any Guarantor or any other Person who then has possession of
any part thereof with or without notice or process of law (but subject to any
Requirements of Law), and for that purpose may enter upon the Borrower's or any
Guarantor's premises where any of the Collateral is located and remove the same
and use in connection with such removal any and all services, supplies, aids
and other facilities of the Borrower or such Guarantor; 

(b)   instruct the obligor or obligors on
any agreements, instrument or other obligation constituting the Collateral to
make any payment required by the terms of such instrument or agreement directly
to the Concentration Account;

(c)   withdraw all monies, securities and
instruments in the Concentration Account for application to the Obligations in
accordance with Section 10.3;

(d)   sell, assign or otherwise
liquidate, or direct any Loan Party to sell, assign or otherwise liquidate, any
or all of the Collateral or any part thereof in accordance with Section 10.2,
and take possession of the proceeds of any such sale, assignment or liquidation;
and

(e)   take possession of the Collateral
or any part thereof, by directing the Borrower and any Guarantor in writing to
deliver the same to the Administrative Agent at any place or places designated
by the Administrative Agent, in which event the Borrower and such Guarantor
shall at its own expense:

(i)                 
forthwith cause the same to be moved to the place or places so
designated by the Administrative Agent and there delivered to the
Administrative Agent,

(ii)               
store and keep any Collateral so delivered to the Administrative
Agent at such place or places pending further action by the Administrative
Agent as provided in Section 10.2, and

(iii)              
while the Collateral shall be so stored and kept, provide such
guards and maintenance services as shall be necessary to protect the same and
to preserve and maintain them in good condition;

it being understood that the Borrower's and each
Guarantor's obligation so to deliver the Collateral is of the essence of this
Agreement and that, accordingly, upon application to the Bankruptcy Court, the
Administrative Agent shall be entitled to a decree requiring specific
performance by the Borrower or such Guarantor of such obligation.

10.2.         
Remedies; Disposition of the Collateral.  Upon the occurrence and
during the continuance of an Event of Default, and to the extent not
inconsistent with the Interim Order (or the Final Order, as applicable) or
Section 7, without application to or order of the Bankruptcy Court, any
Collateral repossessed by the Administrative Agent under or pursuant to Section
10.1 or the Interim Order (or the Final Order, as applicable) or otherwise, and
any other Collateral whether or not so repossessed by the Administrative Agent,
may be sold, assigned, leased or otherwise disposed of under one or more
contracts or as an entirety, and without the necessity of gathering at the
place of sale the property to be sold, and in general in such manner, at such
time or times, at such place or places and on such terms as the Administrative
Agent may, in compliance with any Requirements of Law, determine to be
commercially reasonable.  Any of the Collateral may be sold, leased or
otherwise disposed of, in the condition in which the same existed when taken by
the Administrative Agent or after any overhaul or repair which the
Administrative Agent shall determine to be commercially reasonable.  Any such
disposition which shall be a private sale or other private proceeding permitted
by applicable Requirements of Law shall be made upon not less than 10 days'
written notice to the Borrower specifying the time at which such disposition is
to be made and the intended sale price or other consideration therefor, and
shall be subject, for the 10 days after the giving of such notice, to the right
of the Borrower or any nominee of the Borrower to acquire the Collateral
involved at a price or for such other consideration at least equal to the
intended sale price or other consideration so specified.  Any such disposition
which shall be a public sale permitted by applicable Requirements of Law shall
be made upon not less than 10 days' written notice to the Borrower specifying
the time and place of such sale and, in the absence of applicable Requirement
of Law, shall be by public auction (which may, at the Administrative Agent's
option, be subject to reserve), after publication of notice of such auction not
less than 10 days prior thereto in USA Today and The Wall Street Journal,
National Edition.  Subject to Section 10.4, to the extent permitted by any such
Requirement of Law, the Administrative Agent on behalf of the Lenders or any
Lender may bid for and become the purchaser of the Collateral or any item
thereof, offered for sale in accordance with this Section 10.2 without
accountability to the Borrower or any Guarantor (except to the extent of
surplus money received).  If, under mandatory Requirements of Law, the
Administrative Agent shall be required to make disposition of the Collateral
within a period of time which does not permit the giving of notice to the
Borrower as hereinabove specified, the Administrative Agent need give the
Borrower only such notice of disposition as shall be reasonably practicable.

10.3.         
Application of Proceeds.   (a)  Notwithstanding anything to the
contrary contained in this Agreement or any other Loan Document, (i) if the
Administrative Agent takes action under clause (i) or (ii) of Section 7 upon
the occurrence and during the continuance of an Event of Default, any payment
by any Loan Party on account of principal of and interest on the Loans and any
proceeds arising out of any realization (including after foreclosure) upon the
Collateral shall be applied as follows: first, to the payment of
professional fees pursuant to the Administrative Expense Carve-Out, second,
to the payment in full of all costs and out-of-pocket expenses (including
without limitation, reasonable attorneys' fees and disbursements) paid or
incurred by the Administrative Agent or any of the Lenders in connection with
any such realization upon the Collateral and in satisfaction and payment of any
Cash Management Obligations and Hedging Agreement Obligations, third, as
a permanent reduction of the Revolving Credit Commitments, pro rata in
accordance with each Lender's Revolving Credit Commitment Percentage, to the
payment in full of the Revolving Credit Loans pro rata in accordance with the
respective amounts owing to the Revolving Credit Lenders (including any accrued
and unpaid interest (including interest accrued under Section 2.6(f)) thereon,
and any fees and other Obligations in respect thereof), and fourth to
the payment in full of the Term Loans pro rata in accordance with the
respective Term Loans outstanding to the Term Loan Lenders (including any
accrued and unpaid interest (including interest accrued under Section 2.6(f)
thereon, and any fees and other Obligations in respect thereof) and (ii) any
payments or distributions of any kind or character, whether in cash, property
or securities, made by any Loan Party or otherwise in a manner inconsistent
with clause (i) of this Section 10.3(a) shall be held in trust and paid over or
delivered to the Administrative Agent so that the priorities and requirements
set forth in such clause (i) are satisfied.

(b)   It is understood that the Loan
Parties shall remain liable to the extent of any deficiency between the amount
of the proceeds of the Collateral and the amount of the Obligations.

10.4.         
WAIVER OF CLAIMS.  EXCEPT AS OTHERWISE
PROVIDED IN THIS AGREEMENT, THE BORROWER AND THE GUARANTORS HEREBY WAIVE, TO
THE EXTENT PERMITTED BY APPLICABLE LAW:

(A)             
NOTICE AND JUDICIAL HEARING IN CONNECTION WITH THE ADMINISTRATIVE
AGENT'S TAKING POSSESSION OR THE ADMINISTRATIVE AGENT'S DISPOSITION OF ANY OF
THE COLLATERAL, INCLUDING WITHOUT LIMITATION, ANY AND ALL PRIOR NOTICE AND
HEARING FOR ANY PREJUDGMENT REMEDY OR REMEDIES AND ANY SUCH RIGHT WHICH THE
BORROWER OR ANY GUARANTOR WOULD OTHERWISE HAVE UNDER ANY REQUIREMENT OF LAW;

(B)             
ALL DAMAGES OCCASIONED BY SUCH TAKING OF POSSESSION EXCEPT ANY DAMAGES WHICH ARE
THE DIRECT RESULT OF THE ADMINISTRATIVE AGENT'S OR ANY LENDER'S GROSS NEGLIGENCE
OR WILLFUL MISCONDUCT;

(C)             
ALL OTHER REQUIREMENTS TO THE TIME, PLACE AND TERMS OF SALE OR OTHER
REQUIREMENTS WITH RESPECT TO THE ENFORCEMENT OF THE ADMINISTRATIVE AGENT'S
RIGHTS HEREUNDER; AND

(D)             
ALL RIGHTS OF REDEMPTION, APPRAISEMENT, VALUATION, STAY, EXTENSION OR MORATORIUM
NOW OR HEREAFTER IN FORCE UNDER ANY APPLICABLE LAW IN ORDER TO PREVENT OR DELAY
THE ENFORCEMENT OF THIS AGREEMENT OR THE ABSOLUTE SALE OF THE COLLATERAL OR ANY
PORTION THEREOF, AND EACH LOAN PARTY, FOR ITSELF AND ALL WHO MAY CLAIM UNDER IT,
INSOFAR AS IT OR THEY NOW OR HEREAFTER LAWFULLY MAY, HEREBY WAIVES THE BENEFIT
OF ALL SUCH LAWS.

10.5.         
Remedies Cumulative.  Each and every right,
power and remedy hereby specifically given to the Administrative Agent and the
Lenders shall be in addition to every other right, power and remedy
specifically given under this Agreement, the Final Order or the other Loan
Documents or now or hereafter existing at law or in equity, or by statute and
each and every right, power and remedy whether specifically herein given or
otherwise existing may be exercised from time to time or simultaneously and as
often and in such order as may be deemed expedient by the Administrative Agent
or any Lender.  All such rights, powers and remedies shall be cumulative and
the exercise or the beginning of exercise of one shall not be deemed a waiver
of the right to exercise of any other or others.  No delay or omission of the
Administrative Agent or any Lender in the exercise of any such right, power or
remedy and no renewal or extension of any of the Obligations shall impair any
such right, power or remedy or shall be construed to be a waiver of any Default
or Event of Default or an acquiescence therein.  In the event that the
Administrative Agent shall bring any suit to enforce any of its rights
hereunder and shall be entitled to judgment, then in such suit the
Administrative Agent may recover reasonable expenses, including reasonable
attorneys' fees, and the amounts thereof shall be included in such judgment.

10.6.         
Discontinuance of Proceedings.  In case the Administrative
Agent shall have instituted any proceeding to enforce any right, power or
remedy under this Agreement by foreclosure, sale, entry or otherwise, and such
proceeding shall have been discontinued or abandoned for any reason or shall
have been determined adversely to the Administrative Agent, then and in every
such case the Borrower, the Administrative Agent and each holder of any of the
Obligations shall be restored to their former positions and rights hereunder
with respect to the Collateral subject to the Liens granted under this
Agreement and the Final Order, and all rights, remedies and powers of the
Administrative Agent and the Lenders shall continue as if no such proceeding
had been instituted.

10.7.         
Attorney.  
(a)  Each Loan Party hereby irrevocably constitutes and appoints
the Administrative Agent and any officer or agent thereof, with full power of
substitution, as its true and lawful attorney-in-fact with full irrevocable
power and authority in the place and stead of such Loan Party and in the name
of such Loan Party or in its own name, for the purpose of carrying out the
terms of this Agreement, to take any and all appropriate action and to execute
any and all documents and instruments which may be necessary or desirable to
accomplish the purposes of this Agreement. The Administrative Agent agrees that
it will not exercise any rights under the power of attorney provided for in
this Section 10.7(a) unless an Event of Default shall have occurred and be continuing.

(b)   If any Loan Party fails to perform
or comply with any of its agreements contained herein, the Administrative
Agent, at its option, but without any obligation so to do, may perform or
comply, or otherwise cause performance or compliance, with such agreement.

(c)   The expenses of the Administrative
Agent incurred in connection with actions undertaken as provided in this
Section 10, together with interest thereon at a rate per annum equal to the
highest rate per annum at which interest would then be payable on any category
of past due Loans under the this Agreement, from the date of payment by the
Administrative Agent to the date reimbursed by the relevant Loan Party, shall
be payable by such Loan Party to the Administrative Agent on demand.

(d)   Each Grantor hereby ratifies all
that said attorneys shall lawfully do or cause to be done by virtue hereof. 
All powers, authorizations and agencies contained in this Agreement are coupled
with an interest and are irrevocable until this Agreement is terminated and the
security interests created hereby are released.

SECTION
11

MISCELLANEOUS

11.1.         
Amendments and Waivers.   (a)  None of this Agreement,
any Note, any other Loan Document, nor any terms hereof or thereof may be
amended, supplemented or modified except in accordance with the provisions of
this Section 11.1.  The Required Lenders may, or, with the written consent of
the Required Lenders, the Administrative Agent may, from time to time, (I)
enter into with the Loan Parties written amendments, supplements or modifications
hereto, to the Notes and to the other Loan Documents for the purpose of adding
any provisions to this Agreement, the Notes or the other Loan Documents or
changing in any manner the rights of the Lenders or of the Loan Parties
hereunder or thereunder or (II) waive, on such terms and conditions as the
Required Lenders or the Administrative Agent, as the case may be, may specify
in such instrument, any of the requirements of this Agreement, the Notes or the
other Loan Documents or any Default or Event of Default and its consequences; provided,
however, that no such waiver and no such amendment, supplement or
modification shall (v) reduce the amount or extend the scheduled date of
maturity of any Loan or other Extension of Credit or Note, or reduce the stated
rate of any interest or fee payable hereunder (provided, however,
that only the consent of the Required Lenders shall be necessary for the waiver
of payment of default interest) or extend the scheduled date of any payment
thereof or increase the amount or extend the expiration date of any Lender's
Commitment, or modify the Superpriority Claim status of the Lenders in respect
of any Extensions of Credit, in each case without the consent of each Lender
directly affected thereby, (w) without the consent of all the Lenders, release
any material portion of the Collateral, (x) without the consent of all the
Lenders, (i) amend, modify or waive any provision of this Section 11.1 or any
other provision of any Section hereof expressly requiring the consent of all
the Lenders, (ii) reduce the percentage specified in the definition of Required
Lenders, (iii) waive the condition precedent set forth in Section 4.2(b)
(unless the related Default or Event of Default could be waived by less than
all the Lenders), (iv) release all or substantially all of the Collateral for
the Obligations or (v) consent to the assignment or transfer by any Loan Party
of any of its rights and obligations under this Agreement and the other Loan
Documents or (y) without the consent of the Revolving Credit Lenders holding at
least 50% of the Total Revolving Credit Commitments amend or waive any
provision relating to the determination of the Borrowing Base or amend or waive
any provision hereof which would affect the ability by the Borrower to borrow
Revolving Credit Loans hereunder, or (z) amend, modify or waive any provision
of Section 8 without the written consent of the Administrative Agent.  Any such
waiver and any such amendment, supplement or modification shall apply equally
to each of the Lenders and shall be binding upon the Loan Parties, the Lenders,
the Administrative Agent and all future holders of the Notes.  In the case of
any waiver, the Loan Parties, the Lenders and the Administrative Agent shall be
restored to their former position and rights hereunder and under the
outstanding Notes and any other Loan Documents, and any Default or Event of
Default waived shall be deemed to have not occurred or to be cured and not
continuing, as the parties may agree; but no such waiver shall extend to any
subsequent or other Default or Event of Default, or impair any right consequent
thereon.

(b)  Notwithstanding anything to the contrary
contained in Section 11.1(a), in the event that the Borrower requests that this
Agreement be modified or amended in a manner which would require the unanimous
consent of all of the Lenders and such modification or amendment is agreed to
by the Supermajority Lenders, then with the consent of the Borrower and the
Supermajority Lenders, the Borrower and the Supermajority Lenders shall be
permitted to amend the Agreement without the consent of the Lender or Lenders
which did not agree to the modification or amendment requested by the Borrower
(such Lender or Lenders, the "Minority Banks") to provide for (w) the
termination of the Commitment of each of the Minority Banks, (x) the addition
to this Agreement of one or more other financial institutions (each of which
shall be an Eligible Assignee), or an increase in the Commitment of one or more
of the Supermajority Lenders, so that the aggregate of the  Commitments after
giving effect to such amendment shall be in the same amount as the aggregate of
the Commitments immediately before giving effect to such amendment, (y) if any
Loans are outstanding at the time of such amendment, the making of such
additional Loans by such new financial institutions or Supermajority Lender or
Lenders, as the case may be, as may be necessary to repay in full the
outstanding Loans of the Minority Banks immediately before giving effect to
such amendment and (z) such other modifications to this Agreement as may be
appropriate.

11.2.         
Notices.  All notices, requests and
demands to or upon the respective parties hereto to be effective shall be in
writing (including by telecopy), and, unless otherwise expressly provided
herein, shall be deemed to have been duly given or made when delivered by hand,
or three Business Days after being deposited in the mail, postage prepaid, or,
in the case of telecopy notice, when received, addressed as follows in the case
of the Loan Parties and the Administrative Agent, and as set forth in the
administrative questionnaire delivered to the Administrative Agent in the case
of the Lenders, or to such other address as may be hereafter notified by the
respective parties hereto and any future holders of the Notes:

The Borrower and the Guarantors:         Mississippi
Chemical Corporation

                                                            3622 Highway 49 East

                                                            Yazoo City, Mississippi
 39194-0388

                                                            Attention: Chief
Financial Officer

                                                            Telecopier No.:
662-751-2212

                                                            with
a copy to:

Vinson & Elkins LLP

3700 Trammel Crow Center

2001 Ross Avenue

  Dallas, Texas 75201

Attention:  A. Lamar Youngblood, Esq.

Telecopier No.:  214-999-7986

and

Phelps Dunbar LLP

  111 East Capitol Street, Suite 600

  Jackson, Mississippi 39201-2122

Attention:  James O'Mara, Esq.

Telecopier No.:  601-360-9777

The Administrative Agent:                    
The Administrative Agent:                    Citicorp
North America, Inc.

                                                            
  388 Greenwich Street, 19th floor

                                                           New
  York, New York 10013

                                                          
Attention:  Christopher Dunlop

                                                          
Telecopier No.: 212-816-2613

                                                            with a copy to:

                                                            Simpson Thacher & Bartlett
LLP

                                                             
  425 Lexington Avenue

                                                             
  New York, New York 10017

                                                          
Attention:  Mark Thompson, Esq., and David Mack, Esq.

                                                          
Telecopier No.:  212-455-2502

The
Committee:                                    Orrick, Herrington &
Sutcliffe LLP

                                                            666 Fifth Avenue

                                                            New York, New York 10103

                                                            Attention:  Thomas
L. Kent, Esq.

                                                            Telecopier No.: 
212-506-5151

provided that any notice, request or demand to or
upon any party hereto shall not be effective until received.

11.3.         
No Waiver; Cumulative Remedies.  No failure to exercise and
no delay in exercising, on the part of the Administrative Agent or any Lender,
any right, remedy, power or privilege hereunder shall operate as a waiver
thereof; nor shall any single or partial exercise of any right, remedy, power
or privilege hereunder preclude any other or further exercise thereof or the
exercise of any other right, remedy, power or privilege.  The rights, remedies,
powers and privileges herein provided are cumulative and not exclusive of any
rights, remedies, powers and privileges provided by law.

11.4.         
Survival of Representations and Warranties.  All representations and
warranties made herein and in any document, certificate or statement delivered
pursuant hereto or in connection herewith shall survive the execution and
delivery of this Agreement and the Notes.

11.5.         
Payment of Expenses and Taxes.  The Borrower agrees (a) to
pay or reimburse the Administrative Agent, the Joint Lead Arrangers and each
Lender for all its out-of-pocket costs and expenses reasonably incurred in
connection with the development, preparation and execution of, any amendment,
supplement or modification to, and the enforcement or preservation of any
rights under, this Agreement, the Notes, the other Loan Documents, the Orders
and any other documents prepared in connection herewith or therewith, and the
consummation and administration of the transactions contemplated hereby and
thereby, the reasonable and customary costs, fees and expenses of the
Administrative Agent, the Joint Lead Arrangers in connection with its monthly
and other periodic field examinations and appraisals and monitoring of assets
(including reasonable and customary internal collateral monitoring fees) and
the reasonable fees and disbursements of counsel to the Administrative Agent
and professionals engaged by the Administrative Agent, (b) to pay or reimburse
the Administrative Agent, the Joint Lead Arrangers and each Lender for all its
costs and expenses reasonably incurred in connection with the enforcement or
preservation of any rights under this Agreement, the Notes, the other Loan
Documents, the Orders and any such other documents following the occurrence and
during the continuance of a Default or an Event of Default, including without
limitation, the reasonable fees and disbursements of counsel to the
Administrative Agent, the Joint Lead Arrangers and the Lenders and
professionals engaged by the Administrative Agent, the Joint Lead Arrangers and
the Lenders, (c) to pay, and indemnify and hold harmless each Lender, the Joint
Lead Arrangers and the Administrative Agent from, any and all recording and
filing fees and any and all liabilities with respect to, or resulting from any
delay in paying, stamp, excise and other taxes (other than Excluded Taxes), if
any, which may be payable or determined to be payable in connection with the execution
and delivery of, or consummation or administration of any of the transactions
contemplated by, or any amendment, supplement or modification of, or any waiver
or consent under or in respect of, this Agreement, the Notes, the other Loan
Documents, the Orders and any such other documents, (d) to pay all the actual
and reasonable out-of-pocket expenses of the Administrative Agent
related to this Agreement, the other Loan Documents, the Orders, the Loans in
connection with the Cases (including without limitation, the on-going
monitoring by the Administrative Agent of the Cases, including attendance by
the Administrative Agent and counsel at hearings or other proceedings and the
on-going review of documents filed with the Bankruptcy Court) and (e) to pay,
indemnify or reimburse each Lender, the Administrative Agent, the Joint Lead
Arrangers their respective affiliates, and their respective officers,
directors, trustees, employees, advisors, agents and controlling persons (each,
an "Indemnitee") for, and hold each Indemnitee harmless from and against any
and all other liabilities, obligations, losses, damages, penalties, actions,
judgments, suits, costs, expenses or disbursements of any kind or nature
whatsoever with respect to the execution, delivery, enforcement, performance
and administration of this Agreement, the other Loan Documents and any such
other documents, including, without limitation, any of the foregoing relating
to the use of proceeds of the Loans or the violation of, noncompliance with or
liability under, any Environmental Law applicable to the operations of the
Borrower any of its Subsidiaries or any of the Properties and the fees and
disbursements and other charges of legal counsel in connection with claims,
actions or proceedings by any Indemnitee against the Borrower hereunder (all
the foregoing in this clause (e), collectively, the "Indemnified Liabilities"),
provided, that the Borrower shall have no obligation hereunder to any
Indemnitee with respect to Indemnified Liabilities to the extent such
Indemnified Liabilities are found by a final and nonappealable decision of a
court of competent jurisdiction to have resulted from the gross negligence or
willful misconduct of such Indemnitee.  No Indemnitee shall be liable for any
damages (other than damages arising from the gross negligence and willful
misconduct of such Indemnitee) arising from the use by unauthorized persons of
Information or other materials sent through electronic, telecommunications or
other information transmission systems that are intercepted by such persons or
for any special, indirect, consequential or punitive damages in connection with
this Agreement, the Loan Documents or any of the Loans made hereunder.  Without
limiting the foregoing, and to the extent permitted by applicable law, the
Borrower agrees not to assert and to cause its Subsidiaries not to assert, and
hereby waives and agrees to cause its Subsidiaries so to waive, all rights for
contribution or any other rights of recovery with respect to all claims, demands,
penalties, fines, liabilities, settlements, damages, costs and expenses of
whatever kind or nature, under or related to Environmental Laws, that any of
them might have by statute or otherwise against any Indemnitee.  All amounts
due under this Section shall be payable not later than 30 days after written
demand therefor.  Statements payable by the Borrower pursuant to this Section
shall be submitted to Mr. Timothy A. Dawson (Telephone No. 662-746-4131) (Fax
No. 662-751-2212), at the address of the Borrower set forth in Section 11.2, or
to such other Person or address as may be hereafter designated by the Borrower
in a notice to the Administrative Agent.  The agreements in this Section shall
survive repayment of the Loans and all other amounts payable hereunder

11.6.         
Successors and Assigns; Participations; Purchasing Lenders.   (a)  This Agreement shall be binding
upon and inure to the benefit of the Loan Parties, the Lenders, the
Administrative Agent all future holders of the Notes and their respective
successors and assigns, except that neither the Borrower nor any Guarantor may
assign or transfer any of its rights or obligations under this Agreement
without the prior written consent of each Lender.

(b)   Any Lender may, at its sole cost
and expense, without notice to or consent of the Administrative Agent and the
Borrower, in the ordinary course of its lending business and in accordance with
applicable law, at any time sell to one or more banks or other entities ("Participants")
participating interests in any Loan owing to such Lender, any Note held by such
Lender, any Commitment of such Lender or any other interest of such Lender
hereunder and under the other Loan Documents.  In the event of any such sale by
a Lender of a participating interest to a Participant, such Lender's
obligations under this Agreement to the other parties to this Agreement shall
remain unchanged, such Lender shall remain solely responsible for the
performance thereof, such Lender shall remain the holder of any such Note for
all purposes under this Agreement and the other Loan Documents, and the
Borrower and the Administrative Agent shall continue to deal solely and
directly with such Lender in connection with such Lender's rights and
obligations under this Agreement and the other Loan Documents.  No Lender shall
grant any participation under which the Participant shall have the right to
require such Lender to take or omit to take any action hereunder or approve any
amendment to or waiver of this Agreement or the Notes or any other Loan
Document, except to the extent such amendment or waiver would:  (i) extend the
final maturity date of, or extend any date for payment of any principal,
interest or fees applicable to, the Loans, or Commitments in which such
Participant is participating, (ii) reduce the interest rate or the amount of
principal or fees applicable to the Loans in which such Participant is
participating or (iii) release any Lien granted pursuant to Section 2.16(a)
hereof and the Interim Order (or the Final Order, as applicable) on all or
substantially all of the Collateral.  The Borrower agrees that if amounts
outstanding under this Agreement and the Notes are due or unpaid, or shall have
been declared or shall have become due and payable upon the occurrence of an Event
of Default, each Participant shall be deemed to have the right of set off in
respect of its participating interest in amounts owing under this Agreement and
any Note to the same extent as if the amount of its participating interest were
owing directly to it as a Lender under this Agreement or any Note, provided
that, in purchasing such participating interest, such Participant shall be
deemed to have agreed to share with the Lenders the proceeds thereof as
provided in Section 11.7(a) as fully as if it were a Lender hereunder.  The
Borrower also agrees that each Participant shall be entitled to the benefits of
Sections 2.10 and 2.11 with respect to its participation in the Commitments and
the Loans outstanding from time to time as if it were a Lender; and provided
that the Participant and the transferor Lender shall not be entitled to receive
in the aggregate any greater amount pursuant to such subsections than the
transferor Lender would have been entitled to receive in respect of the amount
of the participation transferred by such transferor Lender to such Participant
had no such transfer occurred.

(c)   Any Lender may, in the ordinary
course of its business of making or investing in loans and in accordance with
applicable law, at any time sell to any Lender or to one or more Eligible
Assignees (each a "Purchasing Lender") all or any part of its rights and
obligations under this Agreement and the Notes pursuant to an Assignment and
Acceptance, substantially in the form of Exhibit E, executed by such Purchasing
Lender, such transferor Lender (and, in the case of a Purchasing Lender that is
not then a Lender, by the Administrative Agent) and delivered to the
Administrative Agent for its acceptance and recording in the Register; provided
that (i) other than in the case of a sale to a Purchasing Lender that is an
Affiliate of the transferor Lender or to another Lender, or to an Affiliate or
Related Fund of any Lender (collectively, a "Related Party Transfer"),
the consent of the Administrative Agent shall be required (which consent shall
not be unreasonably withheld or delayed), (ii) other than (x) in the case of a
Related Party Transfer or (y) in connection with the syndication process which
shall not extend beyond 45 days after the Closing Date, the consent of the Borrower
shall be required (which consent shall not be unreasonably withheld or
delayed), unless a Default or Event of Default shall have occurred and is
continuing, (iii) if such Purchasing Lender is not then a Lender, such sale
must be to either (A) a commercial bank having total assets in excess of
$5,000,000,000, (B) a finance company, insurance company or other financial
institution or fund which is regularly engaged in the making of, purchasing or
investing in, loans and having total assets in excess of $100,000,000 or (C)
such other Person approved by the Administrative Agent and the Borrower (which
approval shall not be unreasonably withheld or delayed) (each, an "Eligible
Assignee") and (iv) if such sale is not to another Lender, Related Fund or
Affiliate of any Lender, or does not involve all of the transferor Lender's
rights and obligations under this Agreement, (A) the amount of the rights and
obligations so sold shall, unless otherwise agreed to in writing by the
Administrative Agent, not be less than $5,000,000 (or the entire amount of its
rights and obligations if less than $5,000,0000) and in each case to be an
entity which is not restricted from making future advances under a revolving
credit facility or to an entity that has filed for relief under the Bankruptcy
Code or is a financially distressed company and (B) after giving effect to such
assignment, the Commitment of each of the transferor Lender and the transferee
Lender shall be at least $5,000,000, or such lesser amount agreed to by the Administrative
Agent and the Borrower.  Upon such execution, delivery, acceptance and
recording of an Assignment and Acceptance, from and after the effective date of
such transfer determined pursuant to and as defined in such Assignment and
Acceptance, (x) the Purchasing Lender thereunder shall be a party hereto and,
to the extent provided in such Assignment and Acceptance, have the rights and
obligations of a Lender hereunder with a Commitment as set forth therein, and
(y) the transferor Lender thereunder shall, to the extent provided in such
Assignment and Acceptance, be released from its obligations under this
Agreement (and, in the case of a Assignment and Acceptance covering all or the
remaining portion of a transferor Lender's rights and obligations under this
Agreement, such transferor Lender shall cease to be a party hereto).  Such
Assignment and Acceptance shall be deemed to amend this Agreement (including
Schedule 1.1 hereof) to the extent, and only to the extent, necessary to
reflect the addition of such Purchasing Lender and the resulting adjustment of
the Revolving Credit Commitment Percentage and Commitment of each of the
transferor Lender and the Purchasing Lender arising from the purchase by such
Purchasing Lender of all or a portion of the rights and obligations of such
transferor Lender under this Agreement and the Notes.  To the extent requested
in writing by the transferor Lender or the Purchasing Lender on or prior to the
effective date of such transfer determined pursuant to such Assignment and
Acceptance, the Borrower, at its own expense, shall execute and deliver to the
Administrative Agent in exchange for the Note of the transferor Lender a new
Note to the order of such Purchasing Lender in an amount equal to the
Commitment assumed by it pursuant to such Assignment and Acceptance and, if the
transferor Lender has retained a Commitment hereunder, a new Note to the order
of the transferor Lender in an amount equal to the Commitment retained by it
hereunder.  Such new Notes shall be dated the Closing Date and shall otherwise
be in the form of the Note replaced thereby.  To the extent the transferor
Lender requested a Note pursuant to Section 2.5(e), the Note surrendered by the
transferor Lender shall be returned by the Administrative Agent to the Borrower
marked "cancelled".

(d)   The Administrative Agent, acting on
behalf of the Borrower, shall maintain at its address referred to in Section
11.2 a copy of each Assignment and Acceptance delivered to it and a register
(the "Register") for the recordation of the names and addresses of the
Lenders and the Commitment of, and principal amount of the Loans owing to, each
Lender from time to time.  The entries in the Register shall be conclusive, in
the absence of manifest error, and the Borrower, the Administrative Agent and
the Lenders may treat each Person whose name is recorded in the Register as the
owner of the Loans recorded therein for all purposes of this Agreement.  The
Register shall be available for inspection by the Borrower or any Lender at any
reasonable time and from time to time upon reasonable prior notice.  Any
assignment of any Loan whether or not evidenced by a Note shall be effective
only upon appropriate entries with respect thereto being made in the Register
(and each Note shall expressly so provide).  Any assignment or transfer of all
or part of a Loan evidenced by a Note shall be registered on the Register only
upon surrender for registration of assignment or transfer of the Note
evidencing such Loan, accompanied by a duly executed Assignment and Acceptance,
and thereupon one or more new Notes in the same aggregate principal amount
shall be issued to the designated Purchasing Lender and the old Notes shall be
returned by the Administrative Agent to the Borrower marked "cancelled". 

(e)   Upon its receipt of an Assignment
and Acceptance executed by a transferor Lender and a Purchasing Lender (and, in
the case of a Purchasing Lender that is not then a Lender, by the
Administrative Agent and the Borrower to the extent required under paragraph
(c) above) together with payment to the Administrative Agent of a registration
and processing fee of $3,500, the Administrative Agent shall (i) promptly
accept such Assignment and Acceptance, (ii) on the effective date of such
transfer determined pursuant thereto record the information contained therein
in the Register and (iii) give notice of such acceptance and recordation to the
Lenders and the Borrower.

(f)   Subject to Section 11.12, the
Borrower authorizes each Lender to disclose to any Participant or Purchasing
Lender (each, a "Transferee") and any prospective Transferee (in each
case which agrees to comply with the provisions of Section 11.12 hereof) any
and all financial information in such Lender's possession concerning the
Borrower and its Affiliates which has been delivered to such Lender by or on
behalf of the Borrower pursuant to this Agreement or any other Loan Document or
which has been delivered to such Lender by or on behalf of the Borrower in
connection with such Lender's credit evaluation of the Borrower and its
Affiliates prior to becoming a party to this Agreement.

(g)   Nothing herein shall prohibit any
Lender from pledging or assigning any Note to any Federal Reserve Bank in
accordance with applicable law.  In the case of any Lender that is a fund that invests
in bank loans, such Lender may, without the consent of the Borrower or the
Administrative Agent, assign or pledge all or any portion of its Notes or any
other instrument evidencing its rights as a Lender under this Agreement to any
trustee for, or any other representative of, holders of obligations owed or
securities issued, by such fund, as security for such obligations or
securities; provided that any foreclosure or similar action by such
trustee or representative shall be subject to the provisions of this Section
11.6 concerning assignments.

11.7.         
Adjustments; Set‐off.   (a)  If any Lender (a "Benefited
Lender") shall at any time receive any payment of all or part of its
Aggregate Outstandings, or interest thereon, or receive any collateral in
respect thereof (whether voluntarily or involuntarily, by set‐off or
otherwise), in a greater proportion than any such payment to or collateral
received by any other Lender, if any, in respect of such other Lender's
Aggregate Outstandings, or interest thereon, such Benefited Lender shall
purchase for cash from the other Lenders a participating interest in such
portion of each such other Lender's Loans or the Letter of Credit Outstandings
owing to it, or shall provide such other Lenders with the benefits of any such
payment or collateral, or the proceeds thereof, as shall be necessary to cause
such Benefited Lender to share the excess payment or benefits of such payment
or collateral or proceeds ratably with each of the Lenders; provided, however,
that if all or any portion of such excess payment or benefits is thereafter
recovered from such Benefited Lender, such purchase shall be rescinded, and the
purchase price and benefits returned, to the extent of such recovery, but
without interest.

(b)   Subject to (i) the Administrative
Expense Carve-Out, (ii) the Employee Plans Carve-Out, (iii) the Interim Order
(or the Final Order, as applicable) and (iii) the giving of the notice as
described Section 7, notwithstanding the provisions of Section 362 of the Bankruptcy
Code and any other rights and remedies of the Lenders provided by law, each
Lender, or Affiliate of such Lender shall have the right upon the occurrence of
an Event of Default to set-off and apply against the Obligations, whether
matured or unmatured, of the Loan Parties under this Agreement, the Notes or
any other Loan Document, any amount owing from such Lender or Affiliate to any
Loan Party at or at any time after, the happening of any Event of Default
subject in each case to Section 7 of this Agreement.

11.8.         
Counterparts.  This Agreement may be
executed by one or more of the parties to this Agreement on any number of
separate counterparts, and all of said counterparts taken together shall be
deemed to constitute one and the same instrument.

11.9.       

GOVERNING LAW.  THIS AGREEMENT, THE
NOTES AND THE OTHER LOAN DOCUMENTS AND THE RIGHTS AND OBLIGATIONS OF THE
PARTIES UNDER THIS AGREEMENT, THE NOTES AND THE OTHER LOAN DOCUMENTS SHALL BE
GOVERNED BY, AND CONSTRUED AND INTERPRETED IN ACCORDANCE WITH, THE LAW OF THE
STATE OF NEW YORK AND, TO THE EXTENT APPLICABLE, THE BANKRUPTCY CODE.

11.10.     
Submission To Jurisdiction; Waivers.  The Borrower and each
Guarantor hereby irrevocably and unconditionally:  

(a)   submits for itself and its property
in any legal action or proceeding relating to this Agreement or any of the
other Loan Documents, or for recognition and enforcement of any judgment in
respect thereof, to the non-exclusive general jurisdiction of the Bankruptcy
Court and, if the Bankruptcy Court does not have (or abstains from)
jurisdiction, to the non-exclusive general jurisdiction of any State or Federal
court of competent jurisdiction sitting in New York County, New York.

(b)   consents that any such action or
proceeding may be brought in such courts and waives any objection that it may
now or hereafter have to the venue of any such action or proceeding in any such
court or that such action or proceeding was brought in an inconvenient court
and agrees not to plead or claim the same;

(c)   agrees that service of process in
any such action or proceeding may be effected by mailing a copy thereof by
registered or certified mail (or any substantially similar form of mail),
postage prepaid, to the Borrower at its address set forth in Section 11.2 or at
such other address of which the Administrative Agent shall have been notified
pursuant thereto;

(d)   agrees that nothing herein shall
affect the right to effect service of process in any other manner permitted by
law or shall limit the right to sue in any other jurisdiction; and

(e)   waives, to the maximum extent not
prohibited by law, any right it may have to claim or recover in any legal
action or proceeding referred to in this Section any special, exemplary,
punitive or consequential damages.

11.11.     
Intentionally Deleted.

11.12.     
Confidentiality.  Each Lender agrees to keep
confidential all non-public information provided to it by any Loan Party
pursuant to this Agreement; provided that nothing herein shall prevent
any Lender from disclosing any such information (a) to the Administrative Agent
or any other Lender, (b) to any Transferee or prospective Transferee which
agrees to comply with the provisions of this subsection, (c) to its employees,
directors, agents, attorneys, accountants and other professional advisors, (d)
upon the request or demand, or in accordance with the requirements (including
reporting requirements), of any Governmental Authority having jurisdiction over
such Lender, (e) in response to any court or other Governmental Authority or as
may otherwise be required pursuant to any Requirement of Law, (f) which has
been publicly disclosed other than in breach of this Agreement, (g) in
connection with the exercise of any remedy hereunder, (h) which was available
to the Administrative Agent or such Lender prior to its disclosure to the
Administrative Agent or such Lender, as the case may be, by such Loan Party or
(i) to any direct or indirect contractual counterparty in any swap, hedge or
similar agreement (or to any such contractual counterparty's professional
advisor), so long as such contractual counterparty (or such professional
advisor) agrees to be bound by the provisions of this Section 11.12.
Notwithstanding anything to the contrary in the foregoing sentence or any other
express or implied agreement, arrangement or understanding, the parties hereto hereby
agree that, from the commencement of discussions with respect to the financing
provided hereunder, any party hereto (and each of its employees,
representatives, or agents) is permitted to disclose to any and all persons,
without limitation of any kind, the tax structure and tax aspects of the
transactions contemplated hereby, and all materials of any kind (including
opinions or other tax analyses) related to such tax structure and tax aspects.

11.13.     
Integration.   This Agreement and the other
Loan Documents represent the entire agreement of the Borrower, the Guarantors,
the Administrative Agent, the Joint Lead Arrangers and the Lenders with respect
to the subject matter hereof and thereof, and there are no promises,
undertakings, representations or warranties by the Joint Lead Arrangers, the
Administrative Agent or any Lender relative to subject matter hereof not
expressly set forth or referred to herein or in the other Loan Documents.

11.14.     
WAIVERS OF JURY TRIAL.   THE
BORROWER, THE GUARANTORS, THE ADMINISTRATIVE AGENT AND THE LENDERS HEREBY
IRREVOCABLY AND UNCONDITIONALLY WAIVE TRIAL BY JURY IN ANY LEGAL ACTION OR
PROCEEDING RELATING TO THIS AGREEMENT OR ANY OTHER LOAN DOCUMENT AND FOR ANY
COUNTERCLAIM THEREIN.   

IN WITNESS WHEREOF, the parties hereto have caused this
Agreement to be duly executed as of the day and the year first written.

  
    
      
        

MISSISSIPPI CHEMICAL
CORPORATION, as Debtor

and Debtor-In-Possession, and Borrower

By: /s/ Timothy A. Dawson                            

Name:  Timothy A. DAWSON

Title:  Senior Vice President and

Chief Financial Officer

        

      

    

  

  
    
      
        

MISSISSIPPI NITROGEN, INC., as Debtor and

Debtor-In-Possession

By: /s/ Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

MISSCHEM NITROGEN, L.L.C., as Debtor and

Debtor-In-Possession

By: /s/ Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

MISSISSIPPI CHEMICAL COMPANY, L.P., as

Debtor and Debtor-In-Possession

By:  MISSISSIPPI
CHEMICAL MANAGEMENT

COMPANY, Sole General Partner

By: /s/ Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

MISSISSIPPI CHEMICAL MANAGEMENT

COMPANY, as Debtor and Debtor-In-Possession

By: /s/ Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        
          

          MISSISSIPPI PHOSPHATES CORPORATION, as

          Debtor and Debtor-In-PossessionBy: /s/
Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

MISSISSIPPI POTASH, INC., as Debtor and

Debtor-In-Possession

By: /s/
Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

EDDY POTASH, INC., as Debtor and Debtor-In-

Possession

By: /s/
Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

TRIAD NITROGEN, L.L.C., as Debtor and Debtor-

In-Possession

By: /s/
Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

  
    
      
        

MELAMINE CHEMICALS, INC., as Debtor and

Debtor-In-Possession

By: /s/
Timothy A. Dawson                                

Name:  Timothy A. DAWSON

Title:  Vice President of Finance

        

      

    

  

ADMINISTRATIVE
AGENT AND LENDERS:

CITICORP NORTH AMERICA,
INC., as

Administrative Agent and Lender 

By: /s/ Christopher Dunlop                                 

Name:  CHRISTOPHER DUNLOP

Title:   Vice President

CITIGROUP GLOBAL MARKETS
INC., as Joint

Lead Arranger

By: /s/
Keith R. Karako                                     

Name:  KEITH R. KARAKO

Title:   Authorized Signer

PERRY PRINCIPALS
INVESTMENTS LLC, as

Lender and Joint Lead Arranger

By: /s/
Nathaniel J. Klipper                                

Name:  NATHANIEL J. KLIPPER

Title:  MANAGING DIRECTOR

SCHEDULE 6.13

	
  Dollars in Millions

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  
	

  	

  	

  	

  	

  	

  	
  Through End
  of:

  	

  	

  	

  	

  	

  
	

  	
  Jul-04

  	
  Aug-04

  	
  Sep-04

  	
  Oct-04

  	
  Nov-04

  	
  Dec-04

  	
  Jan-05

  	
  Feb-05

  	
  Mar-05

  	
  Apr-05

  	
  May-05

  	
  Jun-05

  
	
  Maximum Capital Expenditures

  	
  $    1.50

  	
  $    3.00

  	
  $    4.25

  	
  $    5.25

  	
  $    6.25

  	
  $    7.00

  	
  $    7.50

  	
  $    8.00

  	
  $    8.50

  	
  $    9.00

  	
  $    9.50

  	
  $ 10.25

  

In the event that
the transaction contemplated by the Supplemental Letter is consummated in a
month then the covenant for such month, and each month thereafter will be as
set forth below:

	
  Dollars in Millions

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  
	

  	

  	

  	

  	

  	
  Through End
  of:

  	

  	

  	

  	

  
	

  	
  Sep-04

  	
  Oct-04

  	
  Nov-04

  	
  Dec-04

  	
  Jan-05

  	
  Feb-05

  	
  Mar 05

  	
  Apr-05

  	
  May-05

  	
  Jun-05

  
	
  Month of Transaction Consummation

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  
	
  Sep-04

  	
  $     3.87

  	
  $     4.44

  	
  $     4.78

  	
  $     5.34

  	
  $     5.68

  	
  $     5.97

  	
  $     6.30

  	
  $     6.60

  	
  $     6.81

  	
  $     7.37

  
	
  Oct-04

  	

  	
  4.81

  	
  5.16

  	
  5.72

  	
  6.06

  	
  6.35

  	
  6.67

  	
  6.97

  	
  7.19

  	
  7.75

  
	
  Nov-04

  	

  	

  	
  5.59

  	
  6.15

  	
  6.49

  	
  6.78

  	
  7.11

  	
  7.41

  	
  7.62

  	
  8.19

  
	
  Dec-04

  	

  	

  	

  	
  6.81

  	
  7.15

  	
  7.44

  	
  7.77

  	
  8.06

  	
  8.28

  	
  8.84

  
	
  Jan-05

  	

  	

  	

  	

  	
  7.34

  	
  7.63

  	
  7.96

  	
  8.25

  	
  8.47

  	
  9.03

  
	
  Feb-05

  	

  	

  	

  	

  	

  	
  7.79

  	
  8.12

  	
  8.42

  	
  8.63

  	
  9.19

  
	
  Mar-05

  	

  	

  	

  	

  	

  	

  	
  8.33

  	
  8.62

  	
  8.84

  	
  9.40

  
	
  Apr-05

  	

  	

  	

  	

  	

  	

  	

  	
  8.80

  	
  9.01

  	
  9.57

  
	
  May-05

  	

  	

  	

  	

  	

  	

  	

  	

  	
  9.22

  	
  9.78

  
	
  Jun-05

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	
  10.06

  

SCHEDULE 6.14

	
  Dollars in Millions

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  
	

  	

  	

  	

  	

  	

  	
  Through End
  of:

  	

  	

  	

  	

  	

  
	

  	
  Jul-04

  	
  Aug-04

  	
  Sep-04

  	
  Oct-04

  	
  Nov-04

  	
  Dec-04

  	
  Jan-05

  	
  Feb-05

  	
  Mar-05

  	
  Apr-05

  	
  May-05

  	
  Jun-05

  
	
  Minimum EBITDA

  	
  $  (3.5)

  	
  $  (3.5)

  	
  $  (3.0)

  	
  $  (2.5)

  	
  $   (2.0)

  	
  $   (2.0)

  	
  $        -

  	
  $     1.0

  	
  $     2.0

  	
  $     4.0

  	
  $     5.5

  	
  $     6.5

  

In the event that
the transaction contemplated by the Supplemental Letter is consummated in a
month then the covenant for such month, and each month thereafter will be as
set forth below:

	
  Dollars in Millions

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  
	

  	

  	

  	

  	

  	
  Through End
  of:

  	

  	

  	

  	

  
	

  	
  Sep-04

  	
  Oct-04

  	
  Nov-04

  	
  Dec-04

  	
  Jan-05

  	
  Feb-05

  	
  Mar 05

  	
  Apr-05

  	
  May-05

  	
  Jun-05

  
	
  Month of Transaction Consummation

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	

  
	
  Sep-04

  	
  $    (3.7)

  	
  $    (4.3)

  	
  $    (3.4)

  	
  $    (3.8)

  	
  $    (3.0)

  	
  $    (2.3)

  	
  $    (1.9)

  	
  $     1.1 

  	
  $     2.2 

  	
  $     3.0 

  
	
  Oct-04

  	

  	
  (3.6)

  	
  (2.6)

  	
  (3.1)

  	
  (2.3)

  	
  (1.5)

  	
  (1.2)

  	
  1.9 

  	
  2.9 

  	
  3.7 

  
	
  Nov-04

  	

  	

  	
  (1.5)

  	
  (2.0)

  	
  (1.2)

  	
  (0.4)

  	
  (0.1)

  	
  3.0 

  	
  4.0 

  	
  4.8 

  
	
  Dec-04

  	

  	

  	

  	
  (2.5)

  	
  (1.7)

  	
  (0.9)

  	
  (0.5)

  	
  2.5 

  	
  3.5 

  	
  4.3 

  
	
  Jan-05

  	

  	

  	

  	

  	
  (1.2)

  	
  (0.4)

  	
  (0.1)

  	
  3.0 

  	
  4.0 

  	
  4.8 

  
	
  Feb-05

  	

  	

  	

  	

  	

  	
  0.7 

  	
  1.1 

  	
  4.1 

  	
  5.2 

  	
  6.0 

  
	
  Mar-05

  	

  	

  	

  	

  	

  	

  	
  1.4 

  	
  4.4 

  	
  5.4 

  	
  6.2 

  
	
  Apr-05

  	

  	

  	

  	

  	

  	

  	

  	
  5.0 

  	
  6.1 

  	
  6.9 

  
	
  May-05

  	

  	

  	

  	

  	

  	

  	

  	

  	
  5.0 

  	
  5.8 

  
	
  Jun-05

  	

  	

  	

  	

  	

  	

  	

  	

  	

  	
  6.3

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00069-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00069-of-00352.parquet"}]]