Document:

Prepared by MerrillDirect

364 DAY CREDIT AGREEMENT

by and among

CVS CORPORATION,

THE LENDERS PARTY HERETO,

CREDIT SUISSE FIRST BOSTON

and

FIRST UNION NATIONAL BANK

as Co-Documentation Agents,

and

FLEET NATIONAL BANK,

as Administrative Agent

Dated as of  May 21, 2001

BNY CAPITAL MARKETS, INC.

and

FLEET SECURITIES, INC., 

as Lead Arrangers and Book Runners

TABLE OF
CONTENTS

	1.
  DEFINITIONS AND PRINCIPLES OF CONSTRUCTION
	 	1.1 Definitions
	 	1.2 Principles of Construction
	2.
  AMOUNT AND TERMS OF LOANS
	 	2.1 Revolving Credit Loans
	 	2.2 [Intentionally Omitted]
	 	2.3 Notice
  of Borrowing Revolving Credit Loans
	 	2.4 Competitive Bid
  Loans and Procedure
	 	2.5
  Use of Proceeds
	 	2.6 Termination
  or Reduction of Commitments
	 	2.7 Prepayments of Loans
	3. PROCEEDS, PAYMENTS,
  CONVERSIONS, INTEREST, YIELD PROTECTION AND FEES
	 	3.1 Disbursement of the Proceeds of the Loans
	 	3.2 Payments
	 	3.3 Conversions; Other Matters
	 	3.4 Interest Rates and Payment Dates
	 	3.5
  Indemnification for Loss
	 	3.6 Reimbursement
  for Costs, Etc.
	 	3.7 Illegality of Funding
	 	3.8 Option
  to Fund; Substituted Interest Rate
	 	3.9 Certificates of Payment and Reimbursement
	 	3.10 Taxes; Net Payments
	 	3.11 Fees
	 	3.12
  [Intentionally Omitted]
	 	3.13 Replacement of Lender
	4. REPRESENTATIONS AND
  WARRANTIES
	 	4.1 Existence and Power
	 	4.2 Authority
	 	4.3 Binding
  Agreement
	 	4.4 Litigation
	 	4.5 No Conflicting Agreements
	 	4.6 Taxes
	 	4.7 Compliance with Applicable Laws; Filings
	 	4.8
  Governmental Regulations
	 	4.9 Federal Reserve Regulations; Use of Proceeds
	 	4.10 No Misrepresentation
	 	4.11 Plans
	 	4.12
  Environmental Matters
	 	4.13 Financial Statements
	5.
  CONDITIONS OF LENDING - FIRST LOANS ON THE FIRST BORROWING DATE
	 	5.1 Evidence of Corporate Action
	 	5.2 Notes
	 	5.3 Existing Bank Indebtedness
	 	5.4 Opinion of Counsel to the Borrower
	6. CONDITIONS OF
  LENDING - ALL LOANS
	 	6.1 Compliance
	 	6.2 Requests
	 	6.3 Loan
  Closings
	7.
  AFFIRMATIVE COVENANTS
	 	7.1 Legal
  Existence
	 	7.2 Taxes
	 	7.3 Insurance
	 	7.4 Performance of Obligations
	 	7.5 Condition of Property
	 	7.6 Observance of Legal Requirements
	 	7.7 Financial Statements and Other Information
	 	7.8 Records
	 	7.9 Authorizations
	8.
  NEGATIVE COVENANTS
	 	8.1
  Subsidiary Indebtedness
	 	8.2 Liens
	 	8.3 Dispositions
	 	8.4 Merger or
  Consolidation, Etc.
	 	8.5 Acquisitions
	 	8.6 Restricted Payments
	 	8.7 Limitation on Upstream Dividends by Subsidiaries
	 	8.8 Limitation on Negative Pledges
	 	8.9
  Ratio of Consolidated Indebtedness to
  Total Capitalization
	9. DEFAULT
	 	9.1 Events
  of Default
	 	9.2 Remedies
	10. AGENT
	 	10.1 Appointment
	 	10.2 Delegation of Duties
	 	10.3
  Exculpatory Provisions
	 	10.4 Reliance by Administrative Agent
	 	10.5 Notice
  of Default
	 	10.6 Non–Reliance
	 	10.7 Indemnification
	 	10.8 Administrative Agent in Its Individual Capacity
	 	10.9 Successor Administrative Agent
	 	10.10
  Co-Documentation Agents
	11. OTHER
  PROVISIONS
	 	11.1 Amendments,
  Waivers, Etc.
	 	11.2 Notices
	 	11.3 No Waiver; Cumulative Remedies
	 	11.4 Survival of Representations and Warranties
	 	11.5
  Payment of Expenses and Taxes; Indemnified
  Liabilities
	 	11.6 Lending
  Offices
	 	11.7
  Successors and Assigns
	 	11.8 Counterparts
	 	11.9 Set–off and Sharing of Payments
	 	11.10 Indemnity
	 	11.11 Governing
  Law
	 	11.12 Severability
	 	11.13 Integration
	 	11.14 Treatment of Certain Information
	 	11.15 Acknowledgments
	 	11.16
  Consent to Jurisdiction
	 	11.17 Service of Process
	 	11.18 No Limitation on Service or Suit
	 	11.19
  WAIVER OF TRIAL BY JURY
	 	11.20 Effective
  Date
	 	11.21   Notice
  of Commitment Termination

 

	EXHIBITS	 	 
	 	 	 
	Exhibit	A	List of
  Commitments and Lending and Notice Offices
	Exhibit	B-1	Form of
  Revolving Credit Note
	Exhibit	B-2	Form of
  Competitive Bid Note
	Exhibit	C	Form of
  Borrowing Request
	Exhibit	D	Form of
  Opinion of Counsel to the Borrower
	Exhibit	E	Form of
  Assignment and Acceptance Agreement
	Exhibit	F	Form of Competitive
  Bid Request
	Exhibit	G	Form of
  Invitation to Bid
	Exhibit	H	Form of
  Competitive Bid
	Exhibit	I	Form of
  Competitive Bid Accept/Reject Letter

             364 DAY
CREDIT AGREEMENT, dated as of May
21, 2001, by and among CVS CORPORATION, a Delaware corporation (the “Borrower”), the Lenders party hereto from time to time (each a “Lender”
and, collectively, the
“Lenders”),
CREDIT SUISSE FIRST BOSTON and FIRST
UNION NATIONAL BANK, as
co-documentation agents, (in such capacity, each a “Co-Documentation
Agent”), and FLEET
NATIONAL BANK (“FNB”), as
administrative agent for the Lenders (in such capacity, the “Administrative
Agent”).

1.          DEFINITIONS AND PRINCIPLES OF
CONSTRUCTION

             1.1        Definitions

                           When used in any Loan
Document (as defined below), each of the following terms shall have the meaning
ascribed thereto unless the context otherwise specifically requires:

             “ABR Advances”: the
Revolving Credit Loans (or any portions thereof) at such time as they (or such
portions) are made or are being maintained at a rate of interest based upon the
Alternate Base Rate.

             “Accumulated Funding Deficiency”: as defined
in Section 302 of ERISA.

             “Acquisition”: with respect
to any Person, the purchase or other acquisition by such Person, by any means
whatsoever (including by devise, bequest, gift, through a dividend or
otherwise), of (a) stock of, or other equity securities of, any other Person
if, immediately thereafter, such other Person would be either a consolidated
subsidiary of such Person or otherwise under the control of such Person, (b)
any business, going concern or division or segment thereof, or (c) the Property
of any other Person other than in the ordinary course of business, provided
that (i) no acquisition of substantially all of the assets, or any division or
segment, of such other Person shall be deemed to be in the ordinary course of
business and (ii) no redemption, retirement, purchase or acquisition by any
Person of the stock or other equity securities of such Person shall be deemed
to constitute an Acquisition.

             “Administrative Agent”: as defined
in the preamble.

             “Affected Advance”: as defined
in Section 3.8(b).

             “Affiliate”: with
respect to any Person at any time and from time to time, any other Person
(other than a wholly-owned subsidiary of such Person) which, at such time (a)
controls such Person, (b) is controlled by such Person or (c) is under common
control with such Person.  The term
“control”, as used in this definition with respect to any Person, means the
power, whether direct or indirect through one or more intermediaries, to direct
or cause the direction of the management and policies of such Person, whether
through the ownership of voting securities or other interests, by contract or
otherwise.

             “Aggregate Commitment Amount”: at any time,
the sum of the Commitment Amounts of the Lenders at such time under this
Agreement. 

             “Aggregate
Credit Exposure”: at any time, the sum at such time of (a) the
aggregate Committed Credit Exposure of the Lenders at such time under this
Agreement and (b) the aggregate outstanding principal balance of all
Competitive Bid Loans at such time under this Agreement.

             “Agreement”: this Credit
Agreement, as the same may be amended, supplemented or otherwise modified from
time to time.

             “Alternate Base Rate”: for any day,
a rate per annum equal to the greater of (a) the FNB Rate in effect on such
day, or (b) 0.50% plus the Federal
Funds Effective Rate (rounded, if necessary, to the nearest 1/100th of 1% or,
if there is no nearest 1/100 of 1%, then to the next higher 1/100 of 1%) in
effect on such day.

             “Applicable Margin”: (i) with
respect to the unpaid principal balance of ABR Advances, the applicable
percentage set forth below in the column entitled “ABR Advances”, (ii) with
respect to the unpaid principal balance of Eurodollar Advances, the applicable
percentage set forth below in the column entitled “Eurodollar Advances”, (iii)
with respect to the Facility Fee, the applicable percentage set forth below in
the column entitled “Facility Fee”, and (iv) with respect to the Utilization
Fee, the applicable percentage set forth below in the column entitled
“Utilization Fee”, in each case opposite the applicable Pricing Level:

	Pricing Level	ABR 

  Advances	 	Eurodollar Advances	 	Facility 

  Fee	 	Utilization

  Fee	 
	

	

	 	

	 	

	 	

	 
	Pricing Level I

	0	%	0.155	%	0.045	%	0.050	%
	Pricing Level II

	0	%	0.195	%	0.055	%	0.050	%
	Pricing Level III

	0	%	0.235	%	0.065	%	0.050	%
	Pricing Level IV

	0	%	0.300	%	0.075	%	0.050	%
	Pricing Level V

	0	%	0.350	%	0.100	%	0.100	%
	Pricing Level VI

	0	%	0.425	%	0.125	%	0.100	%
	Pricing Level VII	0	%	0.500	%	0.150	%	0.100	%

Decreases
in the Applicable Margin resulting from a change in Pricing Level shall become
effective upon the delivery by the Borrower to the Administrative Agent of a
notice pursuant to Section 7.7(d). 
Increases in the Applicable Margin resulting from a change in Pricing
Level shall become effective on the effective date of any downgrade or
withdrawal in the rating by Moody’s or S&P of the senior unsecured long
term debt rating of the Borrower.

             “Assignment”: as defined
in Section 11.7(c). 

             “Assignment and Acceptance
Agreement”: an assignment and acceptance agreement executed
by an assignor and an assignee pursuant to which, subject to the terms and
conditions hereof and thereof, the assignor assigns to the assignee all or any
portion of such assignor’s Loans, Notes and Commitment, substantially in the
form of Exhibit E.

             “Assignment Fee”: as defined
in Section 11.7(c).

             “Benefited Lender”: as defined
in Section 11.9(b).

             “Borrower”: as defined
in the preamble.

             “Borrowing Date”: (i) in
respect of Revolving Credit Loans, any Domestic Business Day or Eurodollar
Business Day, as the case may be, on which the Lenders shall make Revolving
Credit Loans pursuant to a Borrowing Request and (ii) in respect of Competitive
Bid Loans, any Domestic Business Day on which a Lender shall make a Competitive
Bid Loan pursuant to a Competitive Bid Request.

             “Borrowing Request”: a request
for Revolving Credit Loans in the form of Exhibit C.

              “Change of Control”:  any of the following:

                           (i)          any Person or group (as such term is
used in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended),
(a) shall have or acquire beneficial ownership of securities having 30% or more
of the ordinary voting power of the Borrower or (b) shall possess, directly or
indirectly, the power to direct or cause the direction of the management and
policies of the Borrower, whether through the ownership of voting securities,
by contract or otherwise; or

                           (ii)         the Continuing Directors shall cease
for any reason to constitute a majority of the board of directors of the
Borrower then in office.

             “Co-Documentation Agent”: as defined
in the preamble.

             “Commitment”: in respect
of any Lender, such Lender’s undertaking to make Revolving Credit Loans,
subject to the terms and conditions hereof, in an aggregate outstanding
principal amount not to exceed the Commitment Amount of such Lender.

             “Commitment Amount”: at any time
and with respect to any Lender, the amount set forth adjacent to such Lender’s
name under the heading “Commitment Amount” in Exhibit A at such time or, in the
event that such Lender is not listed on Exhibit A, the “Commitment Amount”
which such Lender shall have assumed from another Lender in accordance with Section
11.7 on or prior to such time, as the same may be adjusted from time to time
pursuant to Sections 2.6, 2.11 and 11.7(c).

             “Commitment Percentage”: at any time
and with respect to any Lender, a fraction the numerator of which is such
Lender’s Commitment Amount at such time, and the denominator of which is the
Aggregate Commitment Amount at such time.

             “Commitment
Period”: the period commencing on the Effective Date and ending on the
Commitment Termination Date, or on such earlier date as all of the Commitments
shall have been terminated in accordance with the terms hereof.

             “Commitment Termination Date”: the earlier
of May 20, 2002 and the date on which the Loans shall become due and payable,
whether by acceleration, notice of intention to prepay or otherwise.

             “Committed Credit Exposure”: with respect
to any Lender at any time, the sum at such time of the outstanding principal
balance of such Lender’s Revolving Credit Loans.

             “Competitive Bid”: an offer by
a Lender, in the form of Exhibit H, to make one or more Competitive Bid Loans.

             “Competitive Bid Accept/Reject
Letter”: a notification made by the Borrower pursuant to Section 2.4(d) in the
form of Exhibit I.

             “Competitive Bid Loan”: as defined
in Section 2.4(a).

             “Competitive Bid Note”: as defined
in Section 2.4(h).

             “Competitive Bid Rate”: as to any
Competitive Bid made by a Lender pursuant to Section 2.4(b), the fixed rate of
interest (which shall be expressed in the form of a decimal to no more than
four decimal places) offered by such Lender and accepted by the Borrower.

             “Competitive Bid Request”: a request by
the Borrower, in the form of Exhibit F, for Competitive Bids.

             “Competitive Interest Period”: as to any
Competitive Bid Loan, the period commencing on the date of such Competitive Bid
Loan and ending on the date requested in the Competitive Bid Request with
respect thereto, which shall not be earlier than 3 days after the date of such
Competitive Bid Loan or later than 180 days after the date of such Competitive
Bid Loan; provided that if any Competitive
Interest Period would end on a day other than a Domestic Business Day, such
Interest Period shall be extended to the next succeeding Domestic Business Day,
unless such next succeeding Domestic Business Day would be a date on or after
the Commitment Termination Date, in which case such Competitive Interest Period
shall end on the next preceding Domestic Business Day.  Interest shall accrue from and including the
first day of a Competitive Interest Period to but excluding the last day of
such Competitive Interest Period.

             “Consolidated”: the Borrower
and the Subsidiaries on a consolidated basis in accordance with GAAP.

             “Contingent Obligation”: as to any
Person (the “secondary obligor”), any obligation of such secondary obligor (a)
guaranteeing or in effect guaranteeing any return on any investment made by
another Person, or (b) guaranteeing or in effect guaranteeing any Indebtedness,
lease, dividend or other obligation (“primary obligation”) of any other Person
(the “primary obligor”) in any manner, whether directly or indirectly,
including any obligation of such secondary obligor, whether or not contingent,
(i) to purchase any such primary obligation or any Property constituting direct
or indirect security therefor, (ii) to advance or supply funds (A) for the
purchase or payment of any such primary obligation or (B) to maintain working
capital or equity capital of the primary obligor or otherwise to  maintain the net worth or solvency of the
primary obligor, (iii) to purchase Property, securities or services primarily
for the purpose of assuring the beneficiary of any such primary obligation of
the ability of the primary obligor to make payment of such primary obligation,
(iv) otherwise to assure or hold harmless the beneficiary of such primary obligation
against loss in respect thereof, and (v) in respect of the Indebtedness of any
partnership in which such secondary obligor is a general partner, except to the
extent that such Indebtedness of such partnership is nonrecourse to such
secondary obligor and its separate Property; provided that the term
“Contingent Obligation” shall not include the indorsement of instruments for
deposit or collection in the ordinary course of business.

             “Continuing  Director”:  any member of the board of directors of the Borrower who (i) is a
member of that board of directors on the Effective Date or (ii) was nominated
for election by the board of directors a majority of whom were directors on the
Effective Date or whose election or nomination for election was previously approved
by one or more of such directors.

             “Control Person”: as defined
in Section 3.6.

             “Convert”, “Conversion” and “Converted”: each, a reference to a
conversion pursuant to Section 3.3 of one Type of Revolving Credit Loan into
another Type of Revolving Credit Loan. 

             “Costs”:  as defined in Section 3.6.

             “Default”: any of the
events specified in Section 9.1, whether any requirement for the giving of
notice, the lapse of time, or both, or any other condition, has been satisfied.

             “Disposition”: with respect
to any Person, any sale, assignment, transfer or other disposition by such
Person by any means, of:

             (a)         the
Stock of, or other equity interests of, any other Person,

             (b)        any
business, operating entity, division or segment thereof, or

             (c)         any
other Property of such Person, other than (i) the sale of inventory (other than
in connection with bulk transfers), (ii) the disposition of equipment and (iii)
the sale of cash investments.

             “Dividend Restrictions”:  as defined in Section 8.7.

             “Dollar” or “$”: lawful
currency of the United States of America.

             “Domestic Business Day”: any day
(other than a Saturday, Sunday or legal holiday in the State of New York) on
which banks are open for business in New York City.

             “Effective Date”: as defined
in Section 11.20.

             “Eligible
SPC”: a special purpose corporation that (i) is organized under the
laws of the United States or any state thereof, (ii) is engaged in making,
purchasing or otherwise investing in commercial loans in the ordinary course of
its business and (iii) issues (or the parent of which issues) commercial paper
rated at least A-1 or the equivalent thereof by S&P or at least P-1 or the
equivalent thereof by Moody’s.

             “Employee Benefit Plan”: an employee
benefit plan, within the meaning of Section 3(3) of ERISA, maintained,
sponsored or contributed to by the Borrower, any Subsidiary or any ERISA
Affiliate.

             “ERISA”: the Employee
Retirement Income Security Act of 1974, as amended from time to time, or any
successor thereto, and the rules and regulations issued thereunder, as from
time to time in effect.

             “ERISA Affiliate”: when used
with respect to an Employee Benefit Plan, ERISA, the PBGC or a provision of the
Internal Revenue Code pertaining to employee benefit plans, any Person that is
a member of any group of organizations within the meaning of Sections 414(b) or
(c) of the Internal Revenue Code or, solely with respect to the applicable
provisions of the Internal Revenue Code, Sections 414(m) or (o) of the Internal
Revenue Code, of which the Borrower or any Subsidiary is a member.

             “ESOP Guaranty”: the guaranty
of the 8.52% ESOP Note maturing 2008 in the aggregate unpaid principal amount,
as of December 30, 2000, of $240,600,000.

             “Eurodollar Advance”: a portion of
the Revolving Credit Loans selected by the Borrower to bear interest during a
Eurodollar Interest Period selected by the Borrower at a rate per annum based
upon a Eurodollar Rate determined with reference to such Interest Period, all
pursuant to and in accordance with Section 2.1 or 3.3.

             “Eurodollar Business Day”: any Domestic
Business Day, other than a Domestic Business Day on which banks are not open
for dealings in Dollar deposits in the interbank eurodollar market.

             “Eurodollar Interest Period”: the period
commencing on any Eurodollar Business Day selected by the Borrower in
accordance with Section 2.1 or Section 3.3 and ending one, two, three or six
months thereafter, as selected by the Borrower in accordance with either such
Sections, subject to the following:

                           (i) if any Interest
Period would otherwise end on a day which is not a Eurodollar Business Day,
such Interest Period shall be extended to the immediately succeeding Eurodollar
Business Day unless the result of such extension would be to carry the end of
such Interest Period into another calendar month, in which event such Interest
Period shall end on the Eurodollar Business Day immediately preceding such day;
and

                           (ii) if any
Interest Period shall begin on the last Eurodollar Business Day of a calendar
month (or on a day for which there is no numerically corresponding day in the
calendar month at the end of such Interest Period), such Interest Period shall
end on the last Eurodollar Business Day of such latter calendar month.

             “Eurodollar Rate”: with respect
to each Eurodollar Advance and as determined by the Administrative Agent, the
rate of interest per annum (rounded, if necessary, to the nearest 1/100 of 1%
or, if there is no nearest 1/100 of 1%, then to the next higher 1/100 of 1%)
equal to a fraction, the numerator of which is the rate per annum quoted by FNB
at approximately 11:00 A.M.  (or as soon
thereafter as practicable) two Eurodollar Business Days prior to the first day
of such Interest Period to leading banks in the interbank eurodollar market as
the rate at which FNB is offering Dollar deposits in an amount approximately
equal to its Commitment Percentage of such Eurodollar Advance and having a
period to maturity approximately equal to the Interest Period applicable to
such Eurodollar Advance, and the denominator of which is an amount equal to
1.00 minus the aggregate of the then
stated maximum rates during such Interest Period of all reserve
requirements  (including marginal,
emergency, supplemental and special reserves), expressed as a decimal,
established by the Board of Governors of the Federal Reserve System and any
other banking authority to which FNB and other major United States money center
banks are subject, in respect of eurocurrency liabilities.

             “Event of Default”: any of the
events specified in Section 9.1, provided that any
requirement for the giving of notice, the lapse of time, or both, or any other
condition has been satisfied.

             “Existing Bank Indebtedness”:  all Indebtedness under the Existing Credit
Agreement and all accrued and unpaid monetary obligations of the Borrower under
the Existing Credit Agreement.

             “Existing Credit Agreement”: the 364 Day
Credit Agreement, dated as of May 26, 2000, by and among the Borrower, the
lenders party thereto, Fleet National Bank, as syndication agent, Credit Suisse
First Boston, as documentation agent, and The Bank of New York, as
administrative agent thereunder.

             “Expiration Date”: the first
date, occurring after the Commitments shall have terminated or been terminated
in accordance herewith, upon which there shall be no Loans outstanding.

             “Facility Fee”: as defined
in Section 3.11(a).

             “Federal Funds Effective Rate”: for any
period, a fluctuating interest rate per annum equal for each day during such
period to 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 for such day (or, if such day is not a Domestic Business Day, for
the next preceding Domestic Business Day) by the Federal Reserve Bank of New
York, or, if such rate is not so published for any day which is a Domestic
Business Day, the average (rounded, if necessary, to the nearest 1/100 of 1%
or, if there is no nearest 1/100 of 1%, then to the next higher 1/100 of 1%) of
the quotations for such day on such transactions received by the Administrative
Agent from three Federal funds brokers of recognized standing selected by the
Administrative Agent.

             “Fees”: as defined
in Section 3.2.

             “Financial Statements”: as defined
in Section 4.13.

             “FNB”: as defined
in the preamble.

             “FNB Rate”: a rate of
interest per annum equal to the rate of interest publicly announced in Boston,
Massachusetts by FNB from time to time as its prime commercial lending rate,
such rate to be adjusted automatically (without notice) on the effective date
of any change in such publicly announced rate. 

             “GAAP”: generally
accepted accounting principles set forth in the opinions and pronouncements of
the Accounting Principles Board and the American Institute of Certified Public
Accountants and statements and pronouncements of the Financial Accounting
Standards Board or such other principles as may be approved by a significant
segment of the accounting profession, which are applicable to the circumstances
as of the date of determination, consistently applied.

             “Governmental Authority”: any foreign,
federal, state, municipal or other government, or any department, commission,
board, bureau, agency, public authority or instrumentality thereof, or any
court or arbitrator.

             “Granting Lender”:  as defined in Section 11.7(f).

             “Highest Lawful Rate”: as to any
Lender, the maximum rate of interest, if any, which at any time or from time to
time may be contracted for, taken, charged or received on the Loans or the
Notes or which may be owing to such Lender pursuant to this Agreement under the
laws applicable to such Lender and this Agreement.

             “Indebtedness”: as to any
Person at a particular time, all items of such Person which constitute, without
duplication, (a) indebtedness for borrowed money or the deferred purchase price
of Property (other than trade payables and accrued expenses incurred in the
ordinary course of business), (b) indebtedness evidenced by notes, bonds,  debentures or similar instruments, (c) indebtedness
with respect to any conditional sale or other title retention agreement, (d)
indebtedness arising under acceptance facilities and the amount available to be
drawn under all letters of credit (excluding for purposes of Sections 8.1 and
8.10 letters of credit obtained in the ordinary course of business by the
Borrower or any Subsidiary) issued for the account of such Person and, without
duplication, all drafts drawn thereunder to the extent such Person shall not
have reimbursed the issuer in respect of the issuer’s payment of such drafts, (e)
that portion of any obligation of such Person, as lessee, which in accordance
with GAAP is required to be capitalized on a balance sheet of such Person, (f)
all indebtedness described in (a) - (e) above secured by any Lien on any
Property owned by such Person even though such Person shall not have assumed or
otherwise become liable for the payment thereof (other than carriers’,
warehousemen’s, mechanics’, repairmen’s or other like non–consensual
Liens arising in the ordinary course of business), and (g) Contingent
Obligations in respect of any indebtedness described in items (a) - (f) above; provided that, for purposes of this
definition, Indebtedness shall not include Intercompany Debt and obligations in
respect of interest rate caps, collars, exchanges, swaps or other, similar
agreements.

             “Indemnified Liabilities”: as defined
in Section 11.5.

             “Indemnified Person”:  as defined in Section 11.10.

             “Intercompany Debt”: (i)
Indebtedness of the Borrower to one or more of the Subsidiaries of the Borrower
and (ii) demand Indebtedness of one or more of the Subsidiaries of the Borrower
to the Borrower or any one or more of the other Subsidiaries of the Borrower.

             “Intercompany Disposition”: a
Disposition by the Borrower or any of the Subsidiaries of the Borrower to the
Borrower or to any of the other Subsidiaries of the Borrower.

             “Interest Payment Date”: (i) as to
any ABR Advance, the last day of each March, June, September and December,
commencing on the first of such days to occur after such ABR Advance is made or
any Eurodollar Advance is converted to an ABR Advance, (ii) as to any
Eurodollar Advance in respect of which the Borrower has selected a Eurodollar
Interest Period of one, two or three months, the last day of such Eurodollar
Interest Period, (iii) as to any Competitive Bid Loan in respect of which the
Borrower has selected a Competitive Interest Period of 90 days or less the last
day of such Competitive Interest Period and (iv) as to any Eurodollar Advance
or Competitive Bid Loan in respect of which the Borrower has selected an
Interest Period greater than three months or 90 days, as the case may be, the
last day of the third month or the 90th day, as the case may be, of such
Interest Period and the last day of such Interest Period. 

             “Interest
Period”: a Eurodollar Interest Period or a Competitive Interest Period, as the
case may be.

             “Internal Revenue Code”: the Internal
Revenue Code of 1986, as amended from time to time, or any successor thereto,
and the rules and regulations issued thereunder, as from time to time in
effect.

             “Invitation to Bid”: an
invitation by the Administrative Agent to the Lenders to make Competitive Bids
in the form of Exhibit G.

             “Lender”: as defined
in the preamble.

             “Lien”: any
mortgage, pledge, hypothecation, assignment, lien, deposit arrangement, charge,
encumbrance or other security arrangement or security interest of any kind, or
the interest of a vendor or lessor under any conditional sale agreement,
capital lease or other title retention agreement.

             “Loan”: a Revolving
Credit Loan or a Competitive Bid Loan, as the case may be.

             “Loan Documents”: this
Agreement and, upon the execution and delivery thereof, the Notes.

             “Loans”: the
Revolving Credit Loans and the Competitive Bid Loans.

             “Margin Stock”: any “margin
stock”, as said term is defined in Regulation U of the Board of Governors of
the Federal Reserve System, as the same may be amended or supplemented from
time to time.

             “Material Adverse”: with respect
to any change or effect, a material adverse change in, or effect on, as the
case may be, (i) the financial condition, operations, business, or Property of
the Borrower and the Subsidiaries taken as a whole, (ii) the ability of the
Borrower to perform its obligations under the Loan Documents, or (iii) the
ability of the Administrative Agent or any Lender to enforce the Loan
Documents.

             “Moody’s”: Moody’s
Investors Service, Inc.

             “Multiemployer Plan”: a Pension
Plan which is a multiemployer plan as defined in Section 4001(a)(3) of ERISA.

             “Net Worth”: at any date
of determination, the sum of all amounts which would be included under
shareholders’ equity on a Consolidated balance sheet of the Borrower and the
Subsidiaries determined in accordance with GAAP as at such date.

             “Note”: a Revolving
Credit Note or a Competitive Bid Note, as the case may be.

             “Other Credit Agreement”: the Five
Year Credit Agreement, dated as of May 21, 2001, by and among the
Borrower, the lenders party thereto, Credit Suisse First Boston and First Union
National Bank, as co-documentation agents, and The Bank of New York, as
administrative agent, as the same may be amended, supplemented or otherwise
modified from time to time.

             “PBGC”: the Pension
Benefit Guaranty Corporation established pursuant to Subtitle A of Title IV of
ERISA, or any Governmental Authority succeeding to the functions thereof.

             “Pension Plan”: at any time,
any Employee Benefit Plan (including a Multiemployer Plan) subject to Section
302 of ERISA or Section 412 of the Internal Revenue Code, the funding
requirements of which are, or at any time within the six years immediately
preceding the time in question, were in whole or in part, the responsibility of
the Borrower, any Subsidiary or an ERISA Affiliate.

             “Person”: any
individual, firm, partnership, limited liability company, joint venture,
corporation, association, business trust, joint stock company, unincorporated
association, trust, Governmental Authority or any other entity, whether acting
in an individual, fiduciary, or other capacity, and for the purpose of the
definition of “ERISA Affiliate”, a trade or business.

             “Pricing Level”:  Pricing Level I, Pricing Level II, Pricing
Level III, Pricing Level IV, Pricing Level V, Pricing Level VI or Pricing Level
VII, as the case may be.

             “Pricing Level I”: any time
when the senior unsecured long term debt rating of the Borrower by (x) S&P
is AA- or higher or (y) Moody’s is Aa3 or higher. 

             “Pricing
Level II”: any time when (i) the senior unsecured long term
debt rating of the Borrower by (x) S&P is A+ or higher or (y) Moody’s is A1
or higher and (ii) Pricing Level I does not apply.

             “Pricing Level III”: any time
when (i) the senior unsecured long term debt rating of the Borrower by (x)
S&P is A or higher or (y) Moody’s is A2 or higher and (ii) neither Pricing
Level I nor II applies.

             “Pricing Level IV”:  any time when (i) the senior unsecured long
term debt rating of the Borrower by (x) S&P is A- or higher or (y) Moody’s
is A3 or higher and (ii) none of Pricing Level I, II or III applies.

             “Pricing Level V”:  any time when (i) the senior unsecured long
term debt rating of the Borrower by (x) S&P is BBB+ or higher or (y)
Moody’s is Baa1 or higher and (ii) none of Pricing Level I, II, III or IV
applies.

             “Pricing Level VI”: any time
when (i) the senior unsecured long term debt rating of the Borrower by (x)
S&P is BBB or higher or (y) Moody’s is Baa2 or higher and (ii) none of
Pricing Level I, II, III, IV or V applies.

             “Pricing Level VII”: any time
when none of Pricing Level I, II, III, IV, V or VI applies.

             Notwithstanding each definition of
Pricing Level set forth above, if at any time the senior unsecured long term
debt ratings of the Borrower by S&P and Moody’s differ by more than one
equivalent rating level, then the applicable Pricing Level shall be determined
based upon the lower such rating adjusted upwards to the next higher rating
level.

             “Principal Office”: from time to
time, the principal office of FNB, located on the date hereof in Boston,
Massachusetts.

             “Prohibited Transaction”: a
transaction that is prohibited under Section 4975 of the Internal Revenue Code
or Section 406 of ERISA and not exempt under Section 4975 of the Internal
Revenue Code or Section 408 of ERISA.

             “Property”: in respect
of any Person, all types of real, personal or mixed property and all types of
tangible or intangible property owned or leased by such Person.

             “Regulatory Change”: (a) the
introduction or phasing in of any law, rule or regulation after the date
hereof, (b) the issuance or promulgation after the date hereof of any
directive, guideline or request from any central bank or United States or
foreign Governmental Authority (whether or not having the force of law), or (c)
any change after the date hereof in the interpretation of any existing law,
rule, regulation, directive, guideline or request by any central bank or United
States or foreign Governmental Authority charged with the administration
thereof, in each case applicable to the transactions contemplated by this
Agreement.

             “Replaced Lender”:  as defined in Section 3.13.

             “Replacement Lender”:  as defined in Section 3.13.

             “Reportable Event”: with respect
to any Pension Plan, (a) any event set forth in Sections 4043(c) (other than a
Reportable Event as to which the 30 day notice requirement is waived by the
PBGC under applicable regulations), 4062(e) or 4063(a) of ERISA, or the
regulations thereunder, (b) an event requiring the Borrower, any Subsidiary or
any ERISA Affiliate to provide security to a Pension Plan under Section
401(a)(29) of the Internal Revenue Code, or (c) the failure to make any payment
required by Section 412(m) of the Internal Revenue Code.

             “Required Lenders”: (a) at any
time prior to the Commitment Termination Date or such earlier date as all of
the Commitments shall have terminated or been terminated in accordance
herewith, Lenders having Commitment Amounts equal to or more than 51% of the
Aggregate Commitment Amount, and (b) at all other times, Lenders holding Notes
having an unpaid principal balance equal to or more than 51% of all Loans
outstanding.

             “Restricted Payment”:  with respect to any Person, any of the
following, whether direct or indirect: (a) the declaration or payment by such
Person of any dividend or distribution on any class of Stock of such Person,
other than a dividend payable solely in shares of that class of Stock to the
holders of such class, (b) the declaration or payment by such Person of any
distribution on any other type or class of equity interest or equity investment
in such Person, and (c) any redemption, retirement, purchase or acquisition of,
or sinking fund or other similar payment in respect of, any class of Stock of,
or other type or class of equity interest or equity investment in, such Person.

             “Restrictive
Agreement”:  as
defined in Section 8.7.

             “Revolving Credit Loans”: as defined
in Section 2.1(a).

             “Revolving Credit Note”: as defined
in Section 2.1(b).

              “S&P”: Standard & Poor’s, a division of The
McGraw-Hill Companies, Inc.

             “Solvent”: with respect
to any Person on a particular date, the condition that on such date, (i) the
fair value of the Property of such Person is greater than the total amount of
liabilities, including, without limitation, contingent liabilities, of such
Person, (ii) the present fair salable value of the assets of such Person is not
less than the amount that will be required to pay the probable liability of
such Person on its debts as they become absolute and matured, (iii) such Person
does not intend to, and does not believe that it will,  incur debts or liabilities beyond such Person’s
ability to pay as such debts and liabilities mature, and (iv) such Person is
not engaged in business or a transaction, and is not about to engage in
business or a transaction, for which such Person’s Property would constitute an
unreasonably small amount of capital. 
For purposes of this definition, the amount of any contingent liability
at any time shall be computed as the amount that, in light of all the facts and
circumstances existing at such time, represents the amount that can reasonably
be expected to become an actual or matured liability after taking into account
probable payments by co-obligors.

             “Special Counsel”: such counsel
as the Administrative Agent may engage from time to time.

             “Subsidiary”: at any time
and from time to time, any corporation, association, partnership, limited
liability company, joint venture or other business entity of which the Borrower
and/or any Subsidiary of the Borrower, directly or indirectly at such time,
either (a) in respect of a corporation, owns or controls more than 50% of the
outstanding stock having ordinary voting power to elect a majority of the board
of directors or similar managing body, irrespective of whether a class or
classes shall or might have voting power by reason of the happening of any
contingency, or (b) in respect of an association, partnership, limited
liability company, joint venture or other business entity, is entitled to share
in more than 50% of the profits and losses, however determined.

             “Tangible Net Worth”: at any date
of determination, Net Worth less all assets of the Borrower and its
Subsidiaries included in such Net Worth, determined on a Consolidated basis at
such date, that would be classified as intangible assets in accordance with
GAAP.

             “Termination Event”: with respect
to any Pension Plan, (a) a Reportable Event, (b) the termination of a Pension
Plan under Section 4041(c) of ERISA, or the filing of a notice of intent to
terminate a Pension Plan under Section 4041(c) of ERISA, or the treatment of a
Pension Plan amendment as a termination under Section 4041(e) of ERISA (except
an amendment made after such Pension Plan satisfies the requirement for a
standard termination under Section 4041(b) of ERISA), (c) the institution of
proceedings by the PBGC to terminate a Pension Plan under Section 4042 of
ERISA, or (d) the appointment of a trustee to administer any Pension Plan under
Section 4042 of ERISA.

             “Total Capitalization”: at any date,
the sum of the Borrower’s Consolidated Indebtedness and shareholders’ equity on
such date, determined in accordance with GAAP.

             “Type”: with respect
to any Revolving Credit Loan, the characteristic of such Loan as an ABR Advance
or a Eurodollar Advance, each of which constitutes a Type of Revolving Credit
Loan.

             “Unqualified Amount”: as defined
in Section 3.4(c).

             “Upstream Dividends”: as defined
in Section 8.7.

             “Utilization Fee”: as defined
in Section 3.11(b).

             1.2        Principles
of Construction

             (a)         All
capitalized terms defined in this Agreement shall have the meanings given such
capitalized terms herein when used in the other Loan Documents or in any
certificate, opinion or other document made or delivered pursuant hereto or
thereto, unless otherwise expressly provided therein.

             (b)        Unless
otherwise expressly provided herein, the word “fiscal”
when used herein shall refer to the relevant fiscal period of the
Borrower.  As used in the Loan Documents
and in any certificate, opinion or other document made or delivered pursuant
thereto, accounting terms not defined in Section 1.1, and accounting terms partly
defined in Section 1.1, to the extent not defined, shall have the respective
meanings given to them under GAAP. 

             (c)         The words “hereof”,
“herein”, “hereto” and “hereunder”
and similar words when used in each Loan Document shall refer to such Loan
Document as a whole and not to any particular provision of such Loan Document,
and Section, schedule and exhibit references contained therein shall refer to
Sections thereof or schedules or exhibits thereto unless otherwise expressly
provided therein.

             (d)        All
references herein to a time of day shall mean the then applicable time in New
York, New York, unless otherwise expressly provided herein.

             (e)         Section
headings have been inserted in the Loan Documents for convenience only and
shall not be construed to be a part thereof. 
Unless the context otherwise requires, words in the singular number
include the plural, and words in the plural include the singular.

             (f)         Whenever
in any Loan Document or in any certificate or other document made or delivered
pursuant thereto, the terms thereof require that a Person sign or execute the
same or refer to the same as having been so signed or executed, such terms
shall mean that the same shall be, or was, duly signed or executed by (i) in
respect of any Person that is a corporation, any duly authorized officer thereof,
and (ii) in respect of any other Person (other than an individual), any
analogous counterpart thereof.

             (g)        The
words “include” and “including”, when used in each Loan
Document, shall mean that the same shall be included “without limitation”,
unless otherwise specifically provided.

2.          AMOUNT AND TERMS OF LOANS

             2.1        Revolving
Credit Loans

                           (a)         Subject to the terms and conditions
hereof, each Lender severally (and not jointly) agrees to make loans under this
Agreement (each a “Revolving Credit Loan”
and, collectively with each other Revolving Credit Loan of such Lender and/or
with each Revolving Credit Loan of each other Lender, the “Revolving Credit Loans”) to the Borrower
from time to time during the Commitment Period, during which period the Borrower
may borrow, prepay and reborrow in accordance with the provisions hereof.  Immediately after making each Revolving
Credit Loan and after giving effect to all Competitive Bid Loans repaid on the
same date, the Aggregate Credit Exposure will not exceed the Aggregate
Commitment Amount.  With respect to each
Lender, at the time of the making of any Revolving Credit Loan, the sum of (I)
the principal amount of such Lender’s Revolving Credit Loan constituting a part
of the Revolving Credit Loans to be made and (II) the aggregate principal
balance of all other Revolving Credit Loans (exclusive of Revolving Credit
Loans which are repaid with the proceeds of, and simultaneously with the
incurrence of, the Revolving Credit Loans to be made) then outstanding from such
Lender will not exceed the Commitment of such Lender at such time.  During the Commitment Period, the Borrower
may borrow, prepay in whole or in part and reborrow Revolving Credit Loans
under the Commitments, all in accordance with the terms and conditions
hereof.  At the option of the Borrower,
indicated in a Borrowing Request, Revolving Credit Loans may be made as ABR
Advances or Eurodollar Advances.

                           (b)        Revolving Credit Loans made by each
Lender shall be evidenced by a promissory note of the Borrower, substantially
in the form of Exhibit B-1 (each, as indorsed or modified from time to time, a “Revolving Credit Note”), payable to the
order of such Lender, dated the Effective Date, and in the maximum stated
principal amount equal to such Lender’s Commitment Amount and evidencing the
obligation of the Borrower to pay such Commitment Amount, or, if less, the
aggregate unpaid principal balance of the Revolving Credit Loans made by such
Lender, with interest thereon as provided herein.

                           (c)         The aggregate outstanding principal
balance of all Revolving Credit Loans shall be due and payable on the
Commitment Termination Date or on such earlier date upon which all of the
Commitments shall have been voluntarily terminated by the Borrower in
accordance with Section 2.6.

             2.2        [Intentionally Omitted]

             2.3        Notice of
Borrowing Revolving Credit Loans

                           The Borrower agrees
to notify the Administrative Agent, which notification shall be irrevocable, no
later than (a) 10:00 A.M.  on the
proposed Borrowing Date in the case of Revolving Credit Loans to consist of ABR
Advances and (b) 10:00 A.M.  at least
two Eurodollar Business Days prior to the proposed Borrowing Date in the case
of Revolving Credit Loans to consist of Eurodollar Advances.  Each such notice shall specify (i) the
aggregate amount requested to be borrowed under the Commitments, (ii) the
proposed Borrowing Date, (iii) whether a borrowing of Revolving Credit Loans is
to be of ABR Advances or Eurodollar Advances, and the amount of each thereof
and (iv) the Interest Period for such Eurodollar Advances.  Each such notice shall be promptly confirmed
by delivery to the Administrative Agent of a Borrowing Request.  Each Eurodollar Advance to be made on a
Borrowing Date, when aggregated with all amounts to be Converted to Eurodollar
Advances on such date and having the same Interest Period as such Eurodollar
Advance, shall equal no less than $10,000,000, or an integral multiple of
$1,000,000 in excess thereof.  Each ABR
Advance made on each Borrowing Date shall equal no less than $5,000,000 or an
integral multiple of $500,000 in excess thereof.  The Administrative Agent shall promptly notify each Lender (by
telephone or otherwise, such notification to be confirmed by fax or other writing)
of each such Borrowing Request.  Subject
to its receipt of each such notice from the Administrative Agent and subject to
the terms and conditions hereof, each Lender shall make immediately available
funds available to the Administrative Agent at the address therefor set forth
in Section 11.2 not later than 1:00 P.M. on each Borrowing Date in an amount
equal to such Lender’s Commitment Percentage of the Revolving Credit Loans
requested by the Borrower on such Borrowing Date.

             2.4        Competitive
Bid Loans and Procedure

                           (a)         Subject to the terms and conditions
hereof, the Borrower may request competitive bid loans under this Agreement
(each a “Competitive Bid Loan”)
during the Commitment Period.  In order
to request Competitive Bids, the Borrower shall deliver by hand or fax to the
Administrative Agent a duly completed Competitive Bid Request not later than
11:00 A.M., one Domestic Business Day before the proposed Borrowing Date
therefor.  A Competitive Bid Request
that does not conform substantially to the format of Exhibit F may be rejected
by the Administrative Agent in the Administrative Agent’s reasonable
discretion, and the Administrative Agent shall promptly notify the Borrower of
such rejection by fax and telephone. 
Each Competitive Bid Request shall specify (x) the proposed Borrowing
Date for the Competitive Bid Loans then being requested (which shall be a
Domestic Business Day) and the aggregate principal amount thereof and (y) the
Competitive Interest Period or Interest Periods (which shall not exceed ten
different Interest Periods in a single Competitive Bid Request), with respect
thereto (which may not end after the Domestic Business Day immediately
preceding the Commitment Termination Date). 
Promptly after its receipt of each Competitive Bid Request that is not
rejected as aforesaid, the Administrative Agent shall invite by fax (in the
form of Exhibit G) the Lenders to bid, on the terms and conditions of this
Agreement, to make Competitive Bid Loans pursuant to such Competitive Bid
Request. 

                           (b)        Each Lender, in its sole and absolute
discretion, may make one or more Competitive Bids to the Borrower responsive to
a Competitive Bid Request.  Each
Competitive Bid by a Lender must be received by the Administrative Agent not
later than 10:00 A.M. on the proposed Borrowing Date for the relevant
Competitive Bid Loan.  Multiple bids
will be accepted by the Administrative Agent. 
Bids to make Competitive Bid Loans that do not conform substantially to
the format of Exhibit H may be rejected by the Administrative Agent after
conferring with, and upon the instruction of, the Borrower, and the
Administrative Agent shall notify the Lender making such nonconforming bid of
such rejection as soon as practicable. 
Each Competitive Bid shall be irrevocable and shall specify (x) the
principal amount (which (1) shall be in a minimum principal amount of
$5,000,000 or an integral multiple of $1,000,000 in excess thereof, and (2) may
equal the entire principal amount requested by the Borrower) of the Competitive
Bid Loan or Competitive Bid Loans that the Lender is willing to make to the
Borrower, (y) the Competitive Bid Rate or Rates at which the Lender is prepared
to make such Competitive Bid Loan or Competitive Bid Loans, and (z) the
Competitive Interest Period with respect to each such Competitive Bid Loan and
the last day thereof.  If any Lender
shall elect not to make a Competitive Bid, such Lender shall so notify the
Administrative Agent by fax not later than 10:00 A.M.  on the proposed Borrowing Date therefor, provided that the failure by any Lender to
give any such notice shall not obligate such Lender to make any Competitive Bid
Loan in connection with the relevant Competitive Bid Request.

                           (c)         With respect to each Competitive Bid
Request, the Administrative Agent shall (i) notify the Borrower by fax by 11:00
A.M.  on the proposed Borrowing Date
with respect thereto of each Competitive Bid made, the Competitive Bid Rate
applicable thereto and the identity of the Lender that made such Competitive
Bid, and (ii) send a list of all Competitive Bids to the Borrower for its
records as soon as practicable after completion of the bidding process.  Each notice and list sent by the
Administrative Agent pursuant to this Section 2.4(c) shall list the Competitive
Bids in ascending yield order.

                           (d)        The Borrower may in its sole and
absolute discretion, subject only to the provisions of this Section 2.4(d),
accept or reject any Competitive Bid made in accordance with the procedures set
forth in this Section 2.4, and the Borrower shall notify the Administrative
Agent by telephone, confirmed by fax in the form of a Competitive Bid
Accept/Reject Letter, whether and to what extent it has decided to accept or
reject any or all of such Competitive Bids not later than 12:00 Noon on the
proposed Borrowing Date therefor, provided
that the failure by the Borrower to give such notice shall be deemed to be a
rejection of all such Competitive Bids. 
In connection with each acceptance of one or more Competitive Bids by
the Borrower:

                                        (1)         the Borrower shall not accept a
Competitive Bid made at a particular Competitive Bid Rate if the Borrower has
decided to reject a Competitive Bid made at a lower Competitive Bid Rate unless
the acceptance of such lower Competitive Bid would subject the Borrower to any
requirement to withhold any taxes or deduct any amount from any amounts payable
under the Loan Documents, in which case the Borrower may reject such lower
Competitive Bid,

                                        (2)         the aggregate amount of the Competitive
Bids accepted by the Borrower shall not exceed the principal amount specified
in the Competitive Bid Request therefor,

                                        (3)         if the Borrower shall desire to accept
a Competitive Bid made at a particular Competitive Bid Rate, it must accept all
other Competitive Bids at such Competitive Bid Rate, except for any such
Competitive Bid the acceptance of which would subject the Borrower to any
requirement to withhold any taxes or deduct any amount from any amounts payable
under the Loan Documents, provided
that if the acceptance of all such other Competitive Bids would cause the aggregate
amount of all such accepted Competitive Bids to exceed the amount requested,
then such acceptance shall be made pro rata in accordance with the amount of
each such Competitive Bid at such Competitive Bid Rate,

                                        (4)         except pursuant to clause (3) above, no
Competitive Bid shall be accepted unless the Competitive Bid Loan with respect
thereto shall be in a minimum  principal
amount of $5,000,000 or an integral multiple of $1,000,000 in excess thereof,
and

                                        (5)         no Competitive Bid shall be accepted and
no Competitive Bid Loan shall be made, if immediately after giving effect
thereto, the Aggregate Credit Exposure would exceed the Aggregate Commitment
Amount. 

                           (e)         The Administrative Agent shall promptly
fax to each bidding Lender (with a copy to the Borrower) a Competitive Bid
Accept/Reject Letter advising such Lender whether its Competitive Bid has been
accepted (and if accepted, in what amount and at what Competitive Bid Rate),
and each successful bidder so notified will thereupon become bound, subject to
the other applicable conditions hereof, to make the Competitive Bid Loan in
respect of which each of its Competitive Bids has been accepted by making
immediately available funds available to the Administrative Agent at its
address set forth in Section 11.2 not later than 1:00 P.M. on the Borrowing
Date for such Competitive Bid Loan in the amount thereof.

                           (f)         Anything herein to the contrary
notwithstanding, if the Administrative Agent shall elect to submit a
Competitive Bid in its capacity as a Lender, it shall submit such bid directly
to the Borrower not later than 9:30 A.M. 
on the relevant proposed Borrowing Date.

                           (g)        All notices required by this Section
shall be given in accordance with Section 11.2.

                           (h)        The Competitive Bid Loans made by each
Lender shall be evidenced by a promissory note of the Borrower, substantially
in the form of Exhibit B-2 (each, as indorsed or modified from time to time, a “Competitive Bid Note”), payable to the
order of such Lender, dated the Effective Date, evidencing the obligation of
the Borrower to pay the aggregate unpaid principal balance of all Competitive
Bid Loans made by such Lender to the Borrower, together with interest thereon
as provided herein.  Each Competitive Bid
Loan shall be due and payable on the last day of the Interest Period applicable
thereto or on such earlier date upon which the Loans shall become due and
payable hereunder, whether by acceleration or otherwise.

             2.5        Use of
Proceeds

                           The Borrower agrees
that the proceeds of the Loans shall be used solely for its general corporate
purposes not inconsistent with the provisions hereof, including as a backup for
the Borrower’s commercial paper and to refinance all outstanding Indebtedness
under the Existing Credit Agreement. 
Notwithstanding anything to the contrary contained in any Loan Document,
the Borrower further agrees that no part of the proceeds of any Loan will be
used, directly or indirectly, for a purpose which violates any law, rule or
regulation of any Governmental Authority, including the provisions of
Regulations U or X of the Board of Governors of the Federal Reserve System, as
amended or any provision of this Agreement, including, without limitation, the
provisions of Section 4.9.

             2.6        Termination
or Reduction of Commitments

                           (a)         Voluntary
Termination or Reductions. 
At the Borrower’s option and upon at least three Domestic Business Days’
prior irrevocable notice to the Administrative 
Agent, the Borrower may (i) terminate the Commitments at any time or
(ii) permanently reduce the Aggregate Commitment Amount, in part at any time
and from time to time, provided
that (1) each such partial reduction shall be in an amount equal to at least
$10,000,000 or an integral multiple of $1,000,000 in excess thereof and (2)
immediately after giving effect to each such reduction, (i) the Aggregate
Commitment Amount shall equal or exceed the sum of the aggregate outstanding
principal balance of all Loans, and provided
further that a notice of termination of the Commitments delivered by
the Borrower may state that such notice is conditioned upon the effectiveness
of other credit facilities (such notice to specify the proposed effective
date), in which case such notice may be revoked by the Borrower (by notice to
the Administrative Agent on or prior to such specified effective date) if such
condition is not satisfied and the Borrower shall indemnify the Lenders in
accordance with Section 3.5.

                           (b)        In
General.  Each reduction of
the Aggregate Commitment Amount shall be made by reducing each Lender’s Commitment
Amount by a sum equal to such Lender’s Commitment Percentage of the amount of
such reduction. 

             2.7        Prepayments of Loans

                           (a)         Voluntary
Prepayments.  The Borrower
may prepay Revolving Credit Loans and Competitive Bid Loans, in whole or in
part, without premium or penalty, but subject to Section 3.5 at any time and
from time to time, by notifying the Administrative Agent, which notification
shall be irrevocable, at least two Eurodollar Business Days, in the case of a
prepayment of Eurodollar Advances, two Domestic Business Days, in the case of
Competitive Bid Loans, or one Domestic Business Day, in the case of a
prepayment of ABR Advances, prior to the proposed prepayment date specifying
(i) the Loans to be prepaid, (ii) the amount to be prepaid, and (iii) the date
of prepayment.  Upon receipt of each
such notice, the Administrative Agent shall promptly notify each Lender
thereof.  Each such notice given by the
Borrower pursuant to this Section shall be irrevocable, provided that, if a notice of prepayment
is given in connection with a conditional notice of termination of the
Commitments, as contemplated by Section 2.6, then such notice of prepayment may
be revoked if such notice of termination is revoked in accordance with Section
2.6, and the Borrower shall indemnify the Lenders in accordance with Section
3.5.  Each partial prepayment under this
Section shall be in a minimum amount of $1,000,000 ($500,000 in the case of ABR
Advances) or an integral multiple of $1,000,000 ($100,000 in the case of ABR Advances)
in excess thereof.

                           (b)        In
General.  Simultaneously with
each prepayment hereunder, the Borrower shall prepay all accrued interest on
the amount prepaid through the date of prepayment and indemnify the Lenders in
accordance with Section 3.5.

3.          PROCEEDS, PAYMENTS, CONVERSIONS, INTEREST, YIELD PROTECTION AND FEES

             3.1        Disbursement
of the Proceeds of the Loans

                                        The
Administrative Agent shall disburse the proceeds of the Loans at its office
specified in Section 11.2 by crediting or otherwise transferring the funds
received from each Lender to such account(s) as the Borrower shall designate in
its applicable Borrowing Request. 
Unless the Administrative Agent shall have received prior notice from a
Lender (by telephone or otherwise, such notice to be confirmed by fax or other
writing) that such Lender will not make available to the Administrative Agent
such Lender’s Commitment Percentage of the Revolving Credit Loans, or the
amount of any Competitive Bid Loan, to be made by it on a Borrowing Date, the Administrative
Agent may assume that such Lender has made such amount available to the
Administrative Agent on such Borrowing Date in accordance with this Section, provided that, in the case of a Revolving
Credit Loan, such Lender received notice thereof from the Administrative Agent
in accordance with the terms hereof, and the Administrative Agent may, in
reliance upon such assumption, make available to the Borrower on such Borrowing
Date a corresponding amount.  If and to
the extent such Lender shall not have so made such amount available to the
Administrative Agent, such Lender and the Borrower severally agree to pay to
the Administrative Agent, forthwith on demand, such corresponding amount (to
the extent not previously paid by the other), together with interest thereon
for each day from the date such amount is made available to the Borrower until
the date such amount is paid to the Administrative Agent, at a rate per annum
equal to, in the case of the Borrower, the applicable interest rate set forth
in Section 3.4(a) and, in the case of such Lender, the Federal Funds Effective
Rate from the date such payment is due until the third day after such date and,
thereafter, at the Federal Funds Effective Rate plus 2%.  Any such
payment by the Borrower shall be without prejudice to its rights against such
Lender.  If such Lender shall pay to the
Administrative Agent such corresponding amount, such amount so paid shall
constitute such Lender’s Loan as part of such Loans for purposes of this
Agreement, which Loan shall be deemed to have been made by such Lender on the
Borrowing Date applicable to such Loans. 

             3.2        Payments

                           (a)         Each borrowing of Revolving Credit
Loans by the Borrower from the Lenders, any Conversion of Revolving Credit
Loans from one Type to another, and any reduction in the Commitments shall be
made pro rata according to the Commitment Percentage of each Lender.  Each payment, including each prepayment, of
principal and interest on the Loans and of the Facility Fee and the Utilization
Fee (collectively, together with all of the other fees to be paid to the
Administrative Agent and the Lenders in connection with the Loan Documents, the
“Fees”), and of all of the other
amounts to be paid to the Administrative Agent and the Lenders in connection
with the Loan Documents shall be made by the Borrower to the Administrative
Agent at its office specified in Section 11.2 in funds immediately available in
Boston, Massachusetts by 3:00 P.M. on the due date for such payment.  The failure of the Borrower to make any such
payment by such time shall not constitute a default hereunder, provided that such payment is made on such
due date, but any such payment made after 3:00 P.M.  on such due date shall be deemed to have been made on the next
Domestic Business Day or Eurodollar Business Day, as the case may be, for the
purpose of calculating interest on amounts outstanding on the Loans.  If the Borrower has not made any such
payment prior to 3:00 P.M., the Borrower hereby authorizes the Administrative
Agent to deduct the amount of any such payment from such account(s) as the
Borrower may from time to time designate in writing to the Administrative
Agent, upon which the Administrative Agent shall apply the amount of such
deduction to such payment.  Promptly
upon receipt thereof by the Administrative Agent, each payment of principal and
interest on the:  (i) Revolving
Credit  Loans shall be remitted by the
Administrative Agent in like funds as received to each Lender (a) first, pro
rata according to the amount of interest which is then due and payable to the
Lenders, and (b) second, pro rata 
according to the amount of principal which is then due and payable to
the Lenders and (ii) Competitive Bid Loans shall be remitted by the Administrative
Agent in like funds as received to each applicable Lender.  Each payment of the Fees payable to the
Lenders shall be promptly transmitted by the Administrative Agent in like funds
as received to each Lender pro rata according to such Lender’s Commitment
Amount or, if the Commitments shall have terminated or been terminated,
according to the outstanding principal amount of such Lender’s Revolving Credit
Loans.

                           (b)        If any payment hereunder or under the
Loans shall be due and payable on a day which is not a Domestic Business Day or
Eurodollar Business Day, as the case may be, the due date thereof (except as
otherwise provided in the definition of Eurodollar Interest Period or
Competitive Interest Period) shall be extended to the next Domestic Business
Day or Eurodollar Business Day, as the case may be, and (except with respect to
payments in respect of the Facility Fee and the Utilization Fee) interest shall
be payable at the applicable rate specified herein during such extension. 

             3.3        Conversions; Other Matters

                           (a)         The Borrower may elect at any time and
from time to time to Convert one or more Eurodollar Advances to an ABR Advance
by giving the Administrative Agent at least one Domestic Business Day’s prior
irrevocable notice of such election, specifying the amount to be so Converted.  In addition, the Borrower may elect at any
time and from time to time to Convert an ABR Advance to any one or more new
Eurodollar Advances or to Convert any one or more existing Eurodollar Advances
to any one or more new Eurodollar Advances by giving the Administrative Agent
at least two Eurodollar Business Days’ prior irrevocable notice, in the case of
a Conversion to Eurodollar Advances, of such election, specifying the amount to
be so Converted and the initial Interest Period relating thereto, provided that any Conversion of an ABR
Advance to Eurodollar Advances shall only be made on a Eurodollar Business
Day.  The Administrative Agent shall
promptly provide the Lenders with notice of each such election.  ABR Advances and Eurodollar Advances may be
Converted pursuant to this Section in whole or in part, provided that the amount to be Converted
to each Eurodollar Advance, when aggregated with any Eurodollar Advance to be
made on such date in accordance with Section 2.1 and having the same Interest
Period as such first Eurodollar Advance, shall equal no less than $10,000,000
or an integral multiple of $1,000,000 in excess thereof.

                           (b)        Notwithstanding anything in this
Agreement to the contrary, upon the occurrence and during the continuance of a
Default or an Event of Default, the Borrower shall have no right to elect to
Convert any existing ABR Advance to a new Eurodollar Advance or to Convert any
existing Eurodollar Advance to a new Eurodollar Advance.  In such event, such ABR Advance shall be
automatically continued as an ABR Advance or such Eurodollar Advance shall be
automatically Converted to an ABR Advance on the last day of the Interest
Period applicable to such Eurodollar Advance. 
The foregoing shall not affect any other rights or remedies that the Administrative
Agent or any Lender may have under this Agreement or any other Loan Document.

                           (c)         Each Conversion shall be effected by
each Lender by applying the proceeds of each new ABR Advance or Eurodollar
Advance, as the case may be, to the existing Advance (or portion thereof) being
Converted (it being understood that such Conversion shall not constitute a
borrowing for purposes of Sections 4, 5 or 6).

                           (d)        Notwithstanding any other provision of
any Loan Document:

                           (i)
if the Borrower shall have failed to elect a Eurodollar Advance under Section
2.3 or this Section 3.3, as the case may be, in connection with any borrowing
of new Revolving Credit Loans or expiration of an Interest Period with respect
to any existing Eurodollar Advance, the amount of the Revolving Credit Loans
subject to such borrowing or such existing Eurodollar Advance shall thereafter
be an ABR Advance until such time, if any, as the Borrower shall elect a new
Eurodollar Advance pursuant to this Section 3.3,

                           (ii)
the Borrower shall not be permitted to select a Eurodollar Advance the Interest
Period in respect of which ends later than the Commitment Termination Date or
such earlier date upon which all of the Commitments shall have been voluntarily
terminated by the Borrower in accordance with Section 2.6, and

                           (iii)
the Borrower shall not be permitted to have more than 10 Eurodollar Advances
and Competitive Bid Loans, in the aggregate, outstanding at any one time, it
being understood and agreed that each borrowing of Eurodollar Advances or
Competitive Bid Loans pursuant to a single Borrowing Request or Competitive Bid
Request, as the case may be, shall constitute the making of one Eurodollar
Advance or Competitive Bid Loan for the purpose of calculating such limitation.

             3.4        Interest
Rates and Payment Dates

                           (a)         Prior
to Maturity.  Except as
otherwise provided in Sections 3.4(b) and 3.4(c), the Loans shall bear interest
on the unpaid principal balance thereof at the applicable interest rate or
rates per annum set forth below:

	LOANS	 	RATE
	 	 	 
	Revolving Credit Loans 

  constituting ABR Advances	 	Alternate Base Rate applicable thereto plus the Applicable
  Margin.
	 	 	 
	Revolving Credit Loans 

  constituting Eurodollar 

  Advances	 	Eurodollar Rate applicable 

  thereto plus
  the Applicable Margin.
	 	 	 
	Competitive
  Bid 

  Loans	 	Fixed rate of
  interest applicable thereto 

  accepted by the Borrower pursuant to 

  Section 2.4(d).

                           (b)        After
Maturity, Late Payment Rate. 
After maturity, whether by acceleration, notice of intention to prepay
or otherwise, the outstanding principal balance of the Loans shall bear
interest at the Alternate Base Rate plus
2% per annum until paid (whether before or after the entry of any judgment
thereon).  Any payment of principal,
interest or any Fees not paid on the date when due and payable shall bear
interest at the Alternate Base Rate plus
2% per annum from the due date thereof until the date such payment is made
(whether before or after the entry of any judgment thereon).

                           (c)         Highest
Lawful Rate.  Notwithstanding
anything to the contrary contained in this Agreement, at no time shall the
interest rate payable to any Lender on any of its Loans, together with the Fees
and all other amounts payable hereunder to such Lender to the extent the same
constitute or are deemed to constitute interest, exceed the Highest Lawful
Rate.  If in respect of any period
during the term of this Agreement, any amount paid to any Lender hereunder, to
the extent the same shall (but for the provisions of this Section 3.4)
constitute or be deemed to constitute interest, would exceed the maximum amount
of interest permitted by the Highest Lawful Rate during such period (such
amount being hereinafter referred to as an “Unqualified
Amount”), then (i) such Unqualified Amount shall be applied or shall
be deemed to have been applied as a prepayment of the Loans of such Lender, and
(ii) if, in any subsequent period during the term of this Agreement, all
amounts payable hereunder to such Lender in respect of such period which
constitute or shall be deemed to constitute interest shall be less than the
maximum amount of interest permitted by the Highest Lawful Rate during such
period, then the Borrower shall pay to such Lender in respect of such period an
amount (each a “Compensatory Interest
Payment”) equal to the lesser of (x) a sum which, when added to all
such amounts, would equal the maximum amount of interest permitted by the
Highest Lawful Rate during such period, and (y) an amount equal to the
aggregate sum of all Unqualified Amounts less
all other Compensatory Interest Payments.

                           (d)        General.  Interest shall be payable in arrears on each
Interest Payment Date, on the Commitment Termination Date and, to the extent
provided in Section 2.7(b), upon each prepayment of the Loans.  Any change in the interest rate on the Loans
resulting from an increase or a decrease in the Alternate Base Rate or any
reserve requirement shall become effective as of the opening of business on the
day on which such change shall become effective.  The Administrative Agent shall, as soon as practicable, notify
the Borrower and the Lenders of the effective date and the amount of each
change in the FNB Rate, but any failure to so notify shall not in any manner
affect the obligation of the Borrower to pay interest on the Loans in the amounts
and on the dates set forth herein.  Each
determination by the Administrative Agent of the Alternate Base Rate, the
Eurodollar Rate and the Competitive Rate pursuant to this Agreement shall be
conclusive and binding on the Borrower absent manifest error.  The Borrower acknowledges that to the extent
interest payable on the Loans is based on the Alternate Base Rate, such rate is
only one of the bases for computing interest on loans made by the Lenders, and
by basing interest payable on ABR Advances on the Alternate Base Rate, the
Lenders have not committed to charge, and the Borrower has not in any way
bargained for, interest based on a lower or the lowest rate at which the
Lenders may now or in the future make extensions of credit to other Persons.  All interest (other than interest calculated
with reference to the FNB Rate) shall be calculated on the basis of a 360–day
year for the actual number of days elapsed, and all interest determined with
reference to the FNB Rate shall be calculated on the basis of a 365/366-day
year for the actual number of days elapsed. 

             3.5        Indemnification for Loss

                           Notwithstanding
anything contained herein to the contrary, if: (i) the Borrower shall fail to
borrow a Eurodollar Advance or if the Borrower shall fail to Convert a  Eurodollar Advance after it shall have given
notice to do so in which it shall have requested a Eurodollar Advance pursuant
to Section 2.3 or 3.3, as the case may be, (ii) the Borrower shall fail to
borrow a Competitive Bid Loan after it shall have accepted any offer with
respect thereto in accordance with Section 2.4, (iii) a Eurodollar Advance or
Competitive Bid Loan shall be terminated for any reason prior to the last day
of the Interest Period applicable thereto, (iv) any repayment or prepayment of the
principal amount of a Eurodollar Advance or Competitive Bid Loan is made for
any reason on a date which is prior to the last day of the Interest Period
applicable thereto, or (v) the Borrower shall have revoked a notice of
prepayment or notice of termination of the Commitments that was conditioned
upon the effectiveness of other credit facilities pursuant to Section 2.6 or
2.7, the Borrower agrees to indemnify each Lender against, and to pay on demand
directly to such Lender the amount (calculated by such Lender using any method
chosen by such Lender which is customarily used by such Lender for such
purpose) equal to any loss or expense suffered by such Lender as a result of
such failure to borrow or Convert, or such termination, repayment, prepayment or
revocation, including any loss, cost or expense suffered by such Lender in
liquidating or employing deposits acquired to fund or maintain the funding of
such Eurodollar Advance or Competitive Bid Loan, as the case may be, or
redeploying funds prepaid or repaid, in amounts which correspond to such
Eurodollar Advance or Competitive Bid Loan, as the case may be, and any
reasonable internal processing charge customarily charged by such Lender in
connection therewith.

             3.6        Reimbursement for Costs, Etc.

                           If at any time or
from time to time there shall occur a Regulatory Change and any Lender shall
have reasonably determined that such Regulatory Change (i) shall have had or
will thereafter have the effect of reducing (A) the rate of return on such
Lender’s capital or the capital of any Person directly or indirectly owning or
controlling such Lender (each a “Control
Person”), or (B) the asset value (for capital purposes) to such
Lender or such Control Person, as applicable, of the Loans, or any
participation therein, in any case to a level below that which such Lender or
such Control Person could have achieved or would thereafter be able to achieve
but for such Regulatory Change (after taking into account such Lender’s or such
Control Person’s policies regarding capital), (ii) will impose, modify or deem
applicable any reserve, asset, special deposit or special assessment
requirements on deposits obtained in the interbank eurodollar market in
connection with the Loan Documents (excluding, with respect to any Eurodollar
Advance, any such requirement which is included in the determination of the
rate applicable thereto), (iii) will subject such Lender or such Control
Person, as applicable, to any tax (documentary, stamp or otherwise) with
respect to this Agreement or any Note, or (iv) will change the basis of
taxation of payments to such Lender or such Control Person, as applicable, of
principal, interest or fees payable under the Loan Documents (except, in the
case of clauses (iii) and (iv) above, for any tax or changes in the rate of tax
on such Lender’s or such Control Person’s net income) then, in each such case,
within ten days after demand by such Lender, the Borrower shall pay to such
Lender or such Control Person, as the case may be, such additional amount or amounts
as shall be sufficient to compensate such Lender or such Control Person, as the
case may be, for any such reduction, reserve or other requirement, tax, loss,
cost or expense (excluding general administrative and overhead costs)
(collectively, “Costs”) attributable
to such Lender’s or such Control Person’s compliance during the term hereof
with such Regulatory Change.  Each
Lender may make multiple requests for compensation under this Section. 

                           Notwithstanding
the foregoing, the Borrower will not be required to compensate any Lender for
any Costs under this Section 3.6 arising prior to 45 days preceding the date of
demand, unless the applicable Regulatory Change giving rise to such Costs is
imposed retroactively.  In the case of
retroactivity, such notice shall be provided to the Borrower not later than 45
days from the date that such Lender learned of such Regulatory Change.  The Borrower’s obligation to compensate such
Lender shall be contingent upon the provision of such timely notice (but any
failure by such Lender to provide such timely notice shall not affect the
Borrower’s obligations with respect to (i) Costs incurred from the date as of
which such Regulatory Change became effective to the date that is 45 days after
the date such Lender reasonably should have learned of such Regulatory Change
and (ii) Costs incurred following the provision of such notice). 

             3.7        Illegality of Funding

                           Notwithstanding any
other provision hereof, if any Lender shall reasonably determine that any law,
regulation, treaty or directive, or any change therein or in the interpretation
or application thereof, shall make it unlawful for such Lender to make or
maintain any Eurodollar Advance as contemplated by this Agreement, such Lender
shall promptly notify the Borrower and the Administrative Agent thereof, and
(a) the commitment of such Lender to make such Eurodollar Advances or Convert
ABR Advances to such Eurodollar Advances shall forthwith be suspended, (b) such
Lender shall fund its portion of each requested Eurodollar Advance as an ABR
Advance and (c) such Lender’s Loans then outstanding as such Eurodollar
Advances, if any, shall be Converted automatically to an ABR Advance on the
last day of the then current Interest Period applicable thereto or at such
earlier time as may be required.  If the
commitment of any Lender with respect to Eurodollar Advances is suspended
pursuant to this Section and such Lender shall have obtained actual knowledge
that it is once again legal for such Lender to make or maintain Eurodollar Advances,
such Lender shall promptly notify the Administrative Agent and the Borrower
thereof and, upon receipt of such notice by each of the Administrative Agent
and the Borrower, such Lender’s commitment to make or maintain Eurodollar
Advances shall be reinstated.  If the
commitment of any Lender with respect to Eurodollar Advances is suspended
pursuant to this Section, such suspension shall not otherwise affect such
Lender’s Commitment.

             3.8        Option to
Fund; Substituted Interest
Rate

                           (a)         Each Lender has indicated that, if the
Borrower requests a Eurodollar Advance or a Competitive Bid Loan, such Lender
may wish to purchase one or more deposits in order to fund or maintain its
funding of its Commitment Percentage of such Eurodollar Advance or its Competitive
Bid Loan during the Interest Period with respect thereto; it being understood
that the provisions of this Agreement relating to such funding are included
only for the purpose of determining the rate of interest to be paid in respect
of such Eurodollar Advance or Competitive Bid Loan and any amounts owing under
Sections 3.5 and 3.6.  Each Lender shall
be entitled to fund and maintain its funding of all or any part of each
Eurodollar Advance and Competitive Bid Loan in any manner it sees fit, but all
such determinations hereunder shall be made as if such Lender had actually
funded and maintained its Commitment Percentage of each Eurodollar Advance or
its Competitive Bid Loan, as the case may be, during the applicable Interest
Period through the purchase of deposits in an amount equal to the amount of its
Commitment Percentage of such Eurodollar Advance or the amount of such
Competitive Bid Loan, as the case may be, and 
having a maturity corresponding to such Interest Period.  Each Lender may fund its Loans from or for
the account of any branch or office of such Lender as such Lender may choose
from time to time, subject to Section 3.10.

                           (b)        In the event that (i) the Administrative
Agent shall have determined in good faith (which determination shall be conclusive
and binding upon the Borrower) that by reason of circumstances affecting the
interbank eurodollar market either adequate and reasonable means do not exist
for ascertaining the Eurodollar Rate applicable pursuant to Section 2.3 or
Section 3.3, or (ii) the Required Lenders shall have notified the
Administrative Agent that they have in good faith determined (which
determination shall be conclusive and binding on the Borrower) that the
applicable Eurodollar Rate will not adequately and fairly reflect the cost to
such Lenders of maintaining or funding loans bearing interest based on such
Eurodollar Rate with respect to any portion of the Loans that the Borrower has
requested be made as Eurodollar Advances or any Eurodollar Advance that will
result from the requested conversion of any portion of the Loans into
Eurodollar Advances (each, an “Affected
Advance”), the Administrative Agent shall promptly notify the
Borrower and the Lenders (by telephone or otherwise, to be promptly confirmed
in writing) of such determination on or, to the extent practicable, prior to
the requested Borrowing Date or conversion date for such Affected
Advances.  If the Administrative Agent
shall give such notice, (A) any Affected Advances shall be made as ABR Advances
(or, subject to the terms and conditions hereof, Competitive Bid Loans), (B)
the Loans (or any portion thereof) that were to have been Converted to Affected
Advances shall be Converted to or continued as ABR Advances (or, subject to the
terms and conditions hereof, Competitive Bid Loans), and (C) any outstanding
Affected Advances shall be Converted, on the last day of the then current
Interest Period with respect thereto, to ABR Advances (or, subject to the terms
and conditions hereof, Competitive Bid Loans). 
Until any notice under clauses (i) or (ii), as the case may be, of this
Section 3.8(b) has been withdrawn by the Administrative Agent (by notice to the
Borrower) promptly upon either (x) the Administrative Agent having determined
that such circumstances affecting the relevant market no longer exist and that
adequate and reasonable means do exist for determining the Eurodollar Rate
pursuant to Section 2.3 or Section 3.3, or (y) the Administrative Agent having
been notified by such Required Lenders that circumstances no longer render the
Loans (or any portion thereof) Affected Advances, no further Eurodollar
Advances shall be required to be made by the Lenders nor shall the Borrower
have the right to Convert all or any portion of the Loans to Eurodollar
Advances.

             3.9        Certificates
of Payment and Reimbursement

                           Each
Lender agrees, in connection with any request by it for payment or
reimbursement pursuant to Section 3.5 or 3.6, to provide the Borrower with a
certificate, signed by an officer of such Lender, setting forth a description
in reasonable detail of any such payment or reimbursement.  Each determination by each Lender of such
payment or reimbursement shall be conclusive absent manifest error. 

             3.10      Taxes; Net Payments

                           (a)         All payments made by the Borrower under
the Loan Documents shall be made free and clear of, and without reduction for
or on account of, any taxes required by law to be withheld from any amounts
payable under the Loan Documents.  In  the event that the Borrower is prohibited by
law from making such payments free of deductions or withholdings, then the
Borrower shall pay such additional amounts to the Administrative Agent, for the
benefit of the Lenders, as may be necessary in order that the actual amounts
received by the Lenders in respect of interest and any other amounts payable
under the Loan Documents after deduction or withholding (and after payment of
any additional taxes or other charges due as a consequence of the payment of
such additional amounts) shall equal the amount that would have been received
if such deduction or withholding were not required.  In the event that any such deduction or withholding can be
reduced or nullified as a result of the application of any relevant double
taxation convention, the Lenders and the Administrative Agent will, at the
expense of the Borrower, cooperate with the Borrower in making application to
the relevant taxing authorities seeking to obtain such reduction or
nullification, provided that the
Lenders and the Administrative Agent shall have no obligation to (i) engage in
any litigation, hearing or proceeding with respect thereto or (ii) disclose any
tax return or other confidential information. 
If the Borrower shall make any payment under this Section or shall make
any deduction or withholding from amounts paid under any Loan Document, the
Borrower shall forthwith forward to the Administrative Agent original or
certified copies of official receipts or other evidence acceptable to the
Administrative Agent establishing each such payment, deduction or withholding,
as the case may be, and the Administrative Agent in turn shall distribute
copies thereof to each Lender.  If any
payment to any Lender under any Loan Document is or becomes subject to any
withholding, such Lender shall (unless otherwise required by a Governmental
Authority or as a result of any law, rule, regulation, order or similar
directive applicable to such Lender) designate a different office or branch to
which such payment is to be made from that initially selected thereby, if such
designation would avoid such withholding and would not be otherwise
disadvantageous to such Lender in any respect. 
In the event that any Lender determines that it received a refund or
credit for taxes paid by the Borrower under this Section, such Lender shall
promptly notify the Administrative Agent and the Borrower of such fact and
shall remit to the Borrower the amount of such refund or credit applicable to
the payments made by the Borrower in respect of such Lender under this Section.

                           (b)        So long as it is lawfully able to do so,
each Lender not incorporated under the laws of the United States or any State
thereof shall deliver to the Borrower such certificates, documents, or other
evidence as the Borrower may reasonably require from time to time as are necessary
to establish that such Lender is not subject to withholding under Section 1441,
1442 or 3406 of the Internal Revenue Code or as may be necessary to establish,
under any law imposing upon the Borrower, hereafter, an obligation to withhold
any portion of the payments made by the Borrower under the Loan Documents, that
payments to the Administrative Agent on behalf of such Lender are not subject
to withholding.  Notwithstanding any
provision herein to the contrary, the Borrower shall have no obligation to pay
to any Lender any amount which the Borrower is liable to withhold due to the
failure of such Lender to file any statement of exemption required by the
Internal Revenue Code.

             3.11      Fees

                           (a)         Facility
Fee.  The Borrower agrees to
pay to the Administrative Agent for the pro rata account of each Lender a
fee (the “Facility Fee”) during
the period commencing on the Effective Date and ending on the Expiration Date,
payable quarterly in arrears on the last day of each March, June, September and
December of each year, commencing on the last day of the calendar quarter in
which the Effective Date shall have occurred, and on the Expiration Date, at a
rate per annum equal to the Applicable Margin of (a) prior to the Commitment
Termination Date or such earlier date upon which all of the Commitments shall
have been voluntarily terminated by the Borrower in accordance with Section
2.6, the Commitment Amount of such Lender (whether used or unused), and (b)
thereafter, the outstanding principal balance of all Revolving Credit Loans of
such Lender.  Notwithstanding anything
to the contrary contained in this Section, on and after the Commitment
Termination Date, the Facility Fee shall be payable upon demand.  In addition, upon each reduction of the
Aggregate Commitment Amount, the Borrower shall pay the Facility Fee accrued on
the amount of such reduction through the date of such reduction.  The Facility Fee shall be computed on the
basis of a 360-day year for the actual number of days elapsed.

                           (b)        Utilization
Fee.  The Borrower agrees to
pay to the Administrative Agent for the pro rata account of each Lender a fee
(the “Utilization Fee”) for each
day during the period commencing on the Effective Date and ending on the
Expiration Date (or, if later, the date when the Committed Credit Exposure of
such Lender is $0) that the sum of the Aggregate Credit Exposure plus the
Aggregate Credit Exposure (as defined in the Other Credit Agreement) on such
date exceeds 50% of the sum of the Aggregate Commitment Amount plus the
Aggregate Commitment Amount (as defined in the Other Credit Agreement) on such
date, payable on each Interest Payment Date (other than an Interest Payment
Date applicable solely to Competitive Bid Loans), at a rate per annum equal to
the Applicable Margin of the Committed Credit Exposure of such Lender on such
date.  Notwithstanding anything to the
contrary contained in this Section, on and after the Commitment Termination
Date, the Utilization Fee shall be payable upon demand.  The Utilization Fee shall be computed on the
basis of a 360-day year for the actual number of days elapsed.

             3.12      [Intentionally Omitted]

             3.13      Replacement
of Lender

If the Borrower is obligated to pay to any Lender any
amount under Section 3.6 or 3.10, the Borrower shall have the right within 90
days thereafter, in accordance with the requirements of Section 11.7(c), if no
Default or Event of Default shall exist, to replace such Lender (the “Replaced Lender”) with one or more other
assignees (each a “Replacement Lender”),
provided that (i) at the time of
any replacement pursuant to this Section, the Replacement Lender shall enter
into one or more Assignment and Acceptance Agreements pursuant to Section
11.7(c) (with the Assignment Fee payable pursuant to said Section 11.7(c) to be
paid by the Replacement Lender) pursuant to which the Replacement Lender shall
acquire the Commitment and the outstanding Loans of the Replaced Lender and, in
connection therewith, shall pay the following: (a) to the Replaced Lender, an
amount equal to the sum of (A) an amount equal to the principal of, and all
accrued interest on, all outstanding Loans of the Replaced Lender and (B) an
amount equal to all accrued, but unpaid, fees owing to the Replaced Lender and
(b) to the Administrative Agent an amount equal to all amounts owed by such
Replaced Lender to the Administrative Agent under this Agreement, including,
without limitation, an amount equal to the principal of, and all accrued
interest on, all outstanding Loans of the Replaced Lender, a corresponding
amount of which was made available by the Administrative Agent to the Borrower
pursuant to Section 3.1 and which has not been repaid to the Administrative
Agent by such Replaced Lender or the Borrower, and (ii) all obligations of the
Borrower owing to the Replaced Lender (other than those specifically described
in clause (i) above in respect of which the assignment purchase price has been,
or is concurrently being, paid) shall be paid in full to such Replaced Lender
concurrently with such replacement. 
Upon the execution of the respective Assignment and Acceptance
Agreements and the payment of amounts referred to in clauses (i) and (ii) of
this Section 3.13, the Replacement Lender shall become a Lender hereunder and
the Replaced Lender shall cease to constitute a Lender hereunder, except with
respect to indemnification provisions under this Agreement that are intended to
survive the termination of the Commitments.

4.          REPRESENTATIONS AND WARRANTIES

             In order to induce the
Administrative Agent and the Lenders to enter into this Agreement and the
Lenders to make the Loans, the Borrower hereby makes the following
representations and warranties to the Administrative Agent and the Lenders:

             4.1        Existence
and Power

             Each
of the Borrower and the Subsidiaries is duly organized, validly existing and in
good standing under the laws of the jurisdiction of its incorporation or
formation (except, in the case of the Subsidiaries, where the failure to be in
such good standing could not reasonably be expected to have a Material Adverse
effect), has all requisite corporate power and authority to own its Property
and to carry on its business as now conducted, and is qualified to do business
as a foreign corporation and is in good standing in each jurisdiction in which
it owns or leases real Property or in which the nature of its business requires
it to be so qualified (except those jurisdictions where the failure to be so
qualified or to be in good standing could not reasonably be expected to have a
Material Adverse effect).

             4.2        Authority

                           The Borrower has full
corporate power and authority to enter into, execute, deliver and perform the
terms of the Loan Documents, all of which have been duly authorized by all
proper and necessary corporate action and are not in contravention of any applicable
law or the terms of its Certificate of Incorporation and By–Laws.  No consent or approval of, or other action
by, shareholders of the Borrower, any Governmental Authority, or any other
Person (which has not already been obtained) is required to authorize in
respect of the Borrower, or is required in connection with the execution,
delivery, and performance by the Borrower of the Loan Documents or is required
as a condition to the enforceability of the Loan Documents against the
Borrower.

             4.3        Binding Agreement

                           The Loan Documents
constitute the valid and legally binding obligations of the Borrower,
enforceable in accordance with their respective terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting the enforcement of
creditors’ rights generally and by equitable principles relating to the
availability of specific performance as a remedy.

             4.4        Litigation

                           There are no actions,
suits, arbitration proceedings or claims (whether purportedly on behalf of the
Borrower, any Subsidiary or otherwise) pending or, to the knowledge of the
Borrower, threatened against the Borrower or any Subsidiary or any of their
respective Properties, or maintained by the Borrower or any Subsidiary, at law
or in equity, before any Governmental Authority which could reasonably be
expected to have a Material Adverse effect. 
There are no proceedings pending or, to the knowledge of the Borrower,
threatened against the Borrower or any Subsidiary (a) which call into question
the validity or enforceability of any Loan Document, or otherwise seek to
invalidate, any Loan Document, or (b) which might, individually or in the
aggregate, materially and adversely affect any of the transactions contemplated
by any Loan Document.

             4.5        No
Conflicting Agreements

                           (a)         Neither the Borrower nor any Subsidiary
is in default under any agreement to which it is a party or by which it or any
of its Property is bound the effect of which could reasonably be expected to
have a Material Adverse effect.  No
notice to, or filing with, any Governmental Authority is required for the due
execution, delivery and performance by the Borrower of the Loan Documents.

                           (b)        No provision of any existing material
mortgage, material indenture, material contract or material agreement or of any
existing statute, rule, regulation, judgment, decree or order binding on the
Borrower or any Subsidiary or affecting the Property of the Borrower or any
Subsidiary conflicts with, or requires any consent which has not already been
obtained under, or would in any way prevent the execution, delivery or
performance by the Borrower of the terms of, any Loan Document.  The execution, delivery or performance by
the Borrower of the terms of each Loan Document will not constitute a default
under, or result in the creation or imposition of, or obligation to create, any
Lien upon the Property of the Borrower or any Subsidiary pursuant to the terms
of any such mortgage, indenture, contract or agreement. 

             4.6        Taxes

                           The Borrower and each
Subsidiary has filed or caused to be filed all tax returns, and has paid, or
has made adequate provision for the payment of, all taxes shown to be due and
payable on said returns or in any assessments made against them, the failure of
which to file or pay could reasonably be expected to have a Material Adverse
effect, and no tax Liens (other than Liens permitted under Section 8.2) have
been filed against the Borrower or any Subsidiary and no claims are being
asserted with respect to such taxes which are required by GAAP to be reflected
in the Financial Statements and are not so reflected, except for taxes which
have been assessed but which are not yet due and payable.  The charges, accruals and reserves on the
books of the Borrower and each Subsidiary with respect to all federal, state,
local and other taxes are considered by the management of the Borrower to be
adequate, and the Borrower knows of no unpaid assessment which (a) could
reasonably be expected to have a Material Adverse effect, or (b) is or might be
due and payable against it or any Subsidiary or any Property of the Borrower or
any Subsidiary, except such thereof as are being contested in good faith and by
appropriate proceedings diligently conducted, and for which adequate reserves
have been set aside in accordance with GAAP or which have been assessed but are
not yet due and payable.

             4.7        Compliance
with Applicable Laws; Filings

                           Neither the Borrower
nor any Subsidiary is in default with respect to any judgment, order, writ,
injunction, decree or decision of any Governmental Authority which default
could reasonably be expected to have a Material Adverse effect.  The Borrower and each Subsidiary is
complying with all applicable statutes, rules and regulations of all Governmental
Authorities, a violation of which could reasonably be expected to have a
Material Adverse effect.  The Borrower
and each Subsidiary has filed or caused to be filed with all Governmental
Authorities all reports, applications, documents, instruments and information
required to be filed pursuant to all applicable laws, rules, regulations and
requests which, if not so filed, could reasonably be expected to have a
Material Adverse effect.

             4.8        Governmental
Regulations

                           Neither the Borrower
nor any Subsidiary nor any corporation controlling the Borrower or any
Subsidiary or under common control with the Borrower or any Subsidiary is
subject to regulation under the Investment Company Act of 1940, as amended, or
is subject to any statute or regulation which regulates the incurrence of
Indebtedness.

             4.9        Federal
Reserve Regulations; Use of Proceeds

                           The
Borrower is not engaged principally, or as one of its important activities, in
the business of extending credit for the purpose of purchasing or carrying any margin
stock within the meaning of Regulation U of the Board of Governors of the
Federal Reserve System, as amended.  No
part of the proceeds of the Loans has been or will be used, directly or
indirectly, for a purpose which violates any law, rule or regulation of any
Governmental Authority, including, without limitation, the provisions of
Regulations T, U or X of the Board of Governors of the Federal Reserve System,
as amended.  Anything in this Agreement
to the contrary notwithstanding, no Lender shall be obligated to extend credit
to or on behalf of the Borrower in violation of any limitation or prohibition
provided by any applicable law, regulation or statute, including said
Regulation U.  Following application of
the proceeds of each Loan, not more than 25% (or such greater or lesser
percentage as is provided in the exclusions from the definition of “Indirectly
Secured” contained in said Regulation U as in effect at the time of the making
of such Loan) of the value of the assets of the Borrower and the Subsidiaries
on a Consolidated basis that are subject to Section 8.2 will be Margin Stock. 

             4.10      No Misrepresentation

                           No representation or
warranty contained in any Loan Document and no certificate or written report
furnished by the Borrower to the Administrative Agent or any Lender contains or
will contain, as of its date, a misstatement of material fact, or omits or will
omit to state, as of its date, a material fact required to be stated in order
to make the statements therein contained not misleading in the light of the
circumstances under which made.

             4.11      Plans

                           Each Employee Benefit
Plan of the Borrower, each Subsidiary and each ERISA Affiliate is in compliance
with ERISA and the Internal Revenue Code, where applicable, except where the
failure to so comply would not be material. 
The Borrower, each Subsidiary and each ERISA Affiliate have complied
with the material requirements of Section 515 of ERISA with respect to each
Pension Plan which is a Multiemployer Plan, except where the failure to so comply
would not be material.  The Borrower,
each Subsidiary and each ERISA Affiliate has, as of the date hereof, made all
contributions or payments to or under each such Pension Plan required by law or
the terms of such Pension Plan or any contract or agreement.  No liability to the PBGC has been, or is
reasonably expected by the Borrower, any Subsidiary or any ERISA Affiliate to
be, incurred by the Borrower, any Subsidiary or any ERISA Affiliate.  Liability, as referred to in this Section
4.11, includes any joint and several liability, but excludes any current or, to
the extent it represents future liability in the ordinary course, any future
liability for premiums under Section 4007 of ERISA.  Each Employee Benefit Plan which is a group health plan within the
meaning of Section 5000(b)(1) of the Internal Revenue Code is in material
compliance with the continuation of health care coverage requirements of
Section 4980B of the Internal Revenue Code and with the portability,
nondiscrimination and other requirements of Sections 9801, 9802, 9803, 9811 and
9812 of the Internal Revenue Code.

             4.12      Environmental
Matters

                           Neither
the Borrower nor any Subsidiary (a) has received written notice or otherwise
learned of any claim, demand, action, event, condition, report or investigation
indicating or concerning any potential or actual liability which individually
or in the aggregate could reasonably be expected to have a Material Adverse
effect, arising in connection with (i) any non–compliance with or
violation of the requirements of any applicable federal, state or local
environmental health or safety statute or regulation, or (ii) the release or
threatened release of any toxic or hazardous waste, substance or constituent,
or other substance into the environment, (b) to the best knowledge of the
Borrower, has any threatened or actual liability in connection with the release
or threatened release of any toxic or hazardous waste, substance or
constituent, or other substance into the environment which individually or in the
aggregate could reasonably be expected to have a Material Adverse effect, (c)
has received notice of any federal or state investigation evaluating whether
any remedial action is needed to respond to a release or threatened release of
any toxic or hazardous waste, substance or constituent or other substance into
the environment for which the Borrower or any Subsidiary is or would be liable,
which liability would reasonably be expected to have a Material Adverse effect,
or (d) has received notice that the Borrower or any Subsidiary is or may be
liable to any Person under the Comprehensive Environmental Response,
Compensation and Liability Act, as amended, 42 U.S.C.  Section 9601 et seq., or any analogous state law, which
liability would reasonably be expected to have a Material Adverse effect.  The Borrower and each Subsidiary is in
compliance with the financial responsibility requirements of federal and state
environmental laws to the extent applicable, including those contained in 40
C.F.R., parts 264 and 265, subpart H, and any analogous state law, except in
those cases in which the failure so to comply would not reasonably be expected
to have a Material Adverse effect.

             4.13      Financial Statements

                           The Borrower has
heretofore delivered to the Lenders through the Administrative Agent copies of
(i) the audited Consolidated Balance Sheet of the Borrower and its Subsidiaries
as of December 30, 2000, and the related Consolidated Statements of Operations,
Shareholders’ Equity and Cash Flows for the fiscal year then ended, and (ii)
the unaudited Consolidated Balance Sheet of the Borrower and its Subsidiaries
as of March 31, 2001, and the related Consolidated Statements of Operations,
Shareholders’ Equity and Cash Flows for the fiscal quarter then ended.  The financial statements referred to in (i)
and (ii) immediately above, including all related notes and schedules, are
herein referred to collectively as the “Financial
Statements”.  The Financial
Statements fairly present the Consolidated financial condition and results of
the operations of the Borrower and the Subsidiaries as of the dates and for the
periods indicated therein and, except as noted therein, have been prepared in
conformity with GAAP as then in effect. 
Neither the Borrower nor any of the Subsidiaries has any obligation or
liability of any kind (whether fixed, accrued, contingent, unmatured or
otherwise) which, in accordance with GAAP as then in effect, should have been
disclosed in the Financial Statements and was not.  During the period from December 30, 2000 to and  including the Effective Date there has been
no Material Adverse change, including as a result of any change in law, in the
consolidated financial condition, operations, business or Property of the Borrower
and the Subsidiaries taken as a whole.

5.          CONDITIONS
OF LENDING - FIRST LOANS ON THE FIRST BORROWING DATE

             In addition to the requirements set
forth in Section 6, the obligation of each Lender on the first Borrowing Date
to make one or more Revolving Credit Loans and any Lender to make a Competitive
Bid Loan are subject to the fulfillment of the following conditions precedent
prior to or simultaneously with the Effective Date:

             5.1        Evidence
of Corporate Action

                           The Administrative
Agent shall have received a certificate, dated the Effective Date, of the
Secretary or an Assistant Secretary of the Borrower (i) attaching a true and
complete copy of the resolutions of its Board of Directors and of all documents
evidencing all other necessary corporate action (in form and substance
reasonably satisfactory to the Administrative Agent) taken by the Borrower to
authorize the Loan Documents and the transactions contemplated thereby, (ii)
attaching a true and complete copy of its Certificate of Incorporation and By–Laws,
(iii) setting forth the incumbency of the officer or officers of the Borrower
who may sign the Loan Documents and any other certificates, requests, notices
or other documents now or in the future required thereunder, and (iv) attaching
a certificate of good standing of the Secretary of State of the State of
Delaware.

             5.2        Notes

                           The Borrower shall
have delivered to the Administrative Agent (for delivery to the Lenders) the
Notes, executed by the Borrower. 

             5.3        Existing Bank Indebtedness

                           All Existing Bank
Indebtedness shall have been paid in full, the commitments under the Existing
Credit Agreement shall have been terminated and the Administrative Agent shall
have received satisfactory evidence of the foregoing.

             5.4        Opinion
of Counsel to the Borrower

                           The Administrative
Agent shall have received an opinion of Zenon Lankowsky, counsel to the
Borrower, dated the Effective Date, and in the form of Exhibit D.

6.          CONDITIONS OF LENDING - ALL LOANS

             The obligation of each Lender on
any Borrowing Date to make each Revolving Credit Loan and any Lender to make a
Competitive Bid Loan are subject to the fulfillment of the following conditions
precedent:

             6.1        Compliance

                           On each Borrowing
Date, and after giving effect to the Loans to be made on such Borrowing Date,
(a) there shall exist no Default or Event of Default, and (b) the
representations and warranties contained in this Agreement shall be true and
correct with the same effect as though such representations and warranties had
been made on such Borrowing Date, except those which are expressly specified to
be made as of an earlier date.

             6.2        Requests

                           The Administrative
Agent shall have received a Borrowing Request from the Borrower.

             6.3        Loan
Closings

                           All documents
required by the provisions of this Agreement to have been executed or delivered
by the Borrower to the Administrative Agent or any Lender on or before the
applicable Borrowing Date shall have been so executed or delivered on or before
such Borrowing Date.

7.          AFFIRMATIVE COVENANTS

             The Borrower covenants and agrees
that on and after the Effective Date and until the later to occur of (a) the
Commitment Termination Date and (b) the payment in full of the Loans, the Fees
and all other sums payable under the Loan Documents, the Borrower will:

             7.1        Legal
Existence

                           Except as may otherwise
be permitted by Sections 8.3 and 8.4, maintain, and cause each Subsidiary to
maintain, its corporate existence in good standing in the jurisdiction of its
incorporation or formation and in each other jurisdiction in which the failure
so to do could reasonably be expected to have a Material Adverse effect, except
that the corporate existence of Subsidiaries operating closing or discontinued
operations may be terminated.

             7.2        Taxes

                           Pay and discharge
when due, and cause each Subsidiary so to do, all taxes, assessments,
governmental charges, license fees and levies upon or with respect to the
Borrower and such Subsidiary, and upon the income, profits and Property thereof
unless, and only to the extent, that either (i)(a) such taxes, assessments,
governmental charges, license fees and levies shall be contested in good faith
and by appropriate proceedings diligently conducted by the Borrower or such
Subsidiary, and (b) such reserve or other appropriate provision as shall be
required by GAAP shall have been made therefor, or (ii) the failure to pay or
discharge such taxes, assessments, governmental charges, license fees and
levies could not reasonably be expected to have a Material Adverse effect.

             7.3        Insurance

                           Keep, and cause each
Subsidiary to keep, insurance with responsible insurance companies in such
amounts and against such risks as is usually carried by  the Borrower or such Subsidiary.

             7.4        Performance
of Obligations

                           Pay and discharge
promptly when due, and cause each Subsidiary so to do, all lawful Indebtedness,
obligations and claims for labor, materials and supplies or otherwise which, if
unpaid, could reasonably be expected to (a) have a Material Adverse effect, or
(b) become a Lien on the Property of the Borrower or any Subsidiary, except those
Liens permitted under Section 8.2, provided
that neither the Borrower nor such Subsidiary shall be required to pay or
discharge or cause to be paid or discharged any such Indebtedness, obligation
or claim so long as (i) the validity thereof shall be contested in good faith
and by appropriate proceedings diligently conducted by the Borrower or such
Subsidiary, and (ii) such reserve or other appropriate provision as shall be
required by GAAP shall have been made therefor.

             7.5        Condition of Property

                           Except
for ordinary wear and tear, at all times, maintain, protect and keep in good
repair, working order and condition, all material Property necessary for the
operation of its business (other than Property which is replaced with similar
Property) as then being operated, and cause each Subsidiary so to do.

             7.6        Observance
of Legal Requirements

                           Observe and comply in
all material respects, and cause each Subsidiary so to do, with all laws,
ordinances, orders, judgments, rules, regulations, certifications, franchises,
permits, licenses, directions and requirements of all Governmental Authorities,
which now or at any time hereafter may be applicable to it or to such
Subsidiary, a violation of which could reasonably be expected to have a
Material Adverse effect.

             7.7        Financial
Statements and Other Information

                           Maintain, and cause
each Subsidiary to maintain, a standard system of accounting in accordance with
GAAP, and furnish to each Lender:

                           (a)         As soon as available and, in any event,
within 120 days after the close of each fiscal year, a copy of (x) the
Borrower’s 10-K in respect of such fiscal year, and (y) (i) the Borrower’s
Consolidated Balance Sheet as of the end of such fiscal year, and (ii) the
related Consolidated Statements of Operations, Shareholders’ Equity and Cash
Flows, as of and through the end of such fiscal year, setting forth in each
case in comparative form the corresponding figures in respect of the previous
fiscal year, all in reasonable detail, and accompanied by a report of the
Borrower’s auditors, which report shall state that (A) such auditors audited
such financial statements, (B) such audit was made in accordance with generally
accepted auditing standards in effect at the time and provides a reasonable
basis for such opinion, and (C) said financial statements have been prepared in
accordance with GAAP;

                           (b)        As soon as available, and in any event
within 60 days after the end of each of the first three fiscal quarters of each
fiscal year, a copy of (x) the Borrower’s 10–Q in respect of such fiscal
quarter, and (y) (i) the Borrower’s Consolidated Balance Sheet as of the end of
such quarter and (ii) the related Consolidated Statements of Operations,
Shareholders’ Equity and Cash Flows for (A) such quarter and (B) the period
from the beginning of the then current fiscal year to the end of such quarter,
in each case in comparable form with the prior fiscal year, all in reasonable
detail and prepared in accordance with GAAP (without footnotes and subject to
year–end adjustments);

                           (c)         Simultaneously with the delivery of the
financial statements required by clauses (a) and (b) above, a certificate of
the chief financial officer or treasurer of the Borrower certifying that no
Default or Event of Default shall have occurred or be continuing or, if so,
specifying in such certificate all such Defaults and Events of Default, and
setting forth computations in reasonable detail demonstrating compliance with
Sections 8.1 and 8.10.

                           (d)        Prompt notice upon the Borrower becoming
aware of any change in a Pricing Level;

                           (e)         Promptly upon becoming available,
copies of all regular or periodic reports (including current reports on Form
8-K) which the Borrower or any Subsidiary may now or hereafter be required to
file with or deliver to the Securities and Exchange Commission, or any other
Governmental Authority succeeding to the functions thereof, and copies of all
material news releases sent to all stockholders;             

                           (f)         Prompt written notice of: (i) any
citation, summons, subpoena, order to show cause or other order naming the
Borrower or any Subsidiary a party to any proceeding before any Governmental
Authority which could reasonably be expected to have a Material Adverse effect,
and include with such notice a copy of such citation, summons, subpoena, order
to show cause or other order, (ii) any lapse or other termination of any
license, permit, franchise or other authorization issued to the Borrower or any
Subsidiary by any Governmental Authority, (iii) any refusal by any Governmental
Authority to renew or extend any license, permit, franchise or other
authorization, and (iv) any dispute between the Borrower or any Subsidiary and
any Governmental Authority, which lapse, termination, refusal or dispute,
referred to in clause (ii), (iii) or (iv) above, could reasonably be expected
to have a Material Adverse effect;

                           (g)        Prompt written notice of the occurrence
of (i) each Default, (ii) each Event of Default and (iii) each Material Adverse
change;

                           (h)        Promptly upon receipt thereof, copies of
any audit reports delivered in connection with the statements referred to in
Section 7.7(a); and

                           (i)          From time to time, such other
information regarding the financial position or business of the Borrower and
the Subsidiaries as the Administrative Agent, at the request of any Lender, may
reasonably request.

             7.8        Records

                           Upon reasonable
notice and during normal business hours, permit representatives of the
Administrative Agent and each Lender to visit the offices of the Borrower and
each Subsidiary, to examine the books and records (other than tax returns and
work papers related to tax returns) thereof and auditors’ reports relating
thereto, to discuss the affairs of the Borrower and each Subsidiary with the
respective officers thereof, and to meet and discuss the affairs of the Borrower
and each Subsidiary with the Borrower’s auditors.

             7.9        Authorizations

                           Maintain and cause
each Subsidiary to maintain, in full force and effect, all copyrights, patents,
trademarks, trade names, franchises, licenses, permits, applications, reports,
and other authorizations and rights, which, if not so maintained, would
individually or in the aggregate have a Material Adverse effect.

8.          NEGATIVE COVENANTS

             The Borrower covenants and agrees
that on and after the Effective Date and until the later to occur of (a) the
Commitment Termination Date and (b) the payment in full of the Loans, the Fees
and all other sums which are payable under the Loan Documents, the Borrower
will not:

             8.1        Subsidiary
Indebtedness

                           Permit
the Indebtedness of all Subsidiaries (excluding the ESOP Guaranty) to exceed
(on a combined basis) 10% of Tangible Net Worth.       

             8.2        Liens

                           Create, incur, assume
or suffer to exist any Lien against or on any Property now owned or hereafter
acquired by the Borrower or any of the Subsidiaries, or permit any of the
Subsidiaries so to do, except any one or more of the following types of Liens:
(a) Liens in connection with workers’ compensation, unemployment insurance or
other social security obligations (which phrase shall not be construed to refer
to ERISA or the minimum funding obligations under Section 412 of the Code), (b)
Liens to secure the performance of bids, tenders, letters of credit, contracts
(other than contracts for the payment of Indebtedness), leases, statutory
obligations, surety, customs, appeal, performance and payment bonds and other
obligations of like nature, in each such case arising in the ordinary course of
business, (c) mechanics’, workmen’s, carriers’, warehousemen’s, materialmen’s,
landlords’ or other like Liens arising in the ordinary course of business with
respect to obligations which are not due or which are being contested in good
faith and by appropriate proceedings diligently conducted, (d) Liens for taxes,
assessments, fees or governmental charges the payment of which is not required
by Section 7.2, (e) easements, rights of way, restrictions, leases of Property
to others, easements for installations of public utilities, title imperfections
and restrictions, zoning ordinances and other similar encumbrances affecting
Property which in the aggregate do not materially impair its use for the
operation of the business of the Borrower or such Subsidiary, (f) Liens on
Property of the Subsidiaries under capital leases and Liens on Property of the
Subsidiaries acquired (whether as a result of purchase, capital lease, merger
or other acquisition) and either existing on such Property when acquired, or
created contemporaneously with or within 12 months of such acquisition to
secure the payment or financing of the purchase price of such Property
(including the construction, development, substantial repair, alteration or
improvement thereof), and any renewals thereof,  provided that such
Liens attach only to the Property so purchased or acquired (including any such
construction, development, substantial repair, alteration or improvement
thereof) and provided further
that the Indebtedness secured by such Liens is permitted by Section 8.1, (g)
statutory Liens in favor of lessors arising in connection with Property leased
to the Borrower or any of the Subsidiaries, (h) Liens of attachments, judgments
or awards against the Borrower or any of the Subsidiaries with respect to which
an appeal or proceeding for review shall be pending or a stay of execution or
bond shall have been  obtained, or which
are otherwise being contested in good faith and by appropriate proceedings
diligently conducted, and in respect of which adequate reserves shall have been
established in accordance with GAAP on the books of the Borrower or such
Subsidiary, (i) Liens securing Indebtedness of a Subsidiary to the Borrower or
another Subsidiary, (j) Liens (other than Liens permitted by any of the
foregoing clauses) arising in the ordinary course of its business which do not
secure Indebtedness and do not, in the aggregate, materially detract from the
value of the business of the Borrower and its Subsidiaries, taken as a whole,
and (k) additional Liens securing Indebtedness of the Borrower and the
Subsidiaries in an aggregate outstanding Consolidated principal amount not
exceeding 10% of Tangible Net Worth.

             8.3        Dispositions

                           Make
any Disposition, or permit any of its Subsidiaries so to do, of all or
substantially all of the assets of the Borrower and the Subsidiaries on a
Consolidated basis.

             8.4        Merger or Consolidation, Etc.

                           The Borrower will not
consolidate with, be acquired by, or merge into or with any Person unless (x)
immediately after giving effect thereto no Default or Event of Default shall or
would exist and (y) either (i) the Borrower or (ii) a corporation organized and
existing under the laws of one of the States of the United States of America
shall be the survivor of such consolidation or merger, provided that if the
Borrower is not the survivor, the corporation which is the survivor shall
expressly assume, pursuant to an instrument executed and delivered to the
Administrative Agent, and in form and substance satisfactory to the
Administrative Agent, all obligations of the Borrower under the Loan Documents
and the Administrative Agent shall have received such documents, opinions and
certificates as it shall have reasonable requested in connection therewith.

             8.5        Acquisitions

                           Make any Acquisition,
or permit any of the Subsidiaries so to do, except any one or more of the
following: (a) Intercompany Dispositions permitted by Section 8.3 and (b)
Acquisitions by the Borrower or any of the Subsidiaries, provided that immediately before and after
giving effect to each such Acquisition no Default or Event of Default shall or
would exist.

             8.6        Restricted
Payments

                          Make
any Restricted Payment or permit any of the Subsidiaries so to do, except any
one or more of the following Restricted Payments: (a) any direct or indirect
Subsidiary may make dividends or other distributions to the Borrower or to any
other direct or indirect Subsidiary, and (b) the Borrower may make Restricted
Payments provided that, in the
case of this clause (b), immediately before and after giving effect thereto, no
Event of Default shall or would exist. 
Nothing in this Section 8.6 shall prohibit or restrict the declaration
or payment of dividends in respect of the Series One ESOP Convertible Preferred
Stock of the Borrower.

             8.7        Limitation
on Upstream Dividends by Subsidiaries

                           Permit or cause any
of the Subsidiaries to enter into or agree, or otherwise be or become subject,
to any agreement, contract or other arrangement (other than this Agreement)
with any Person (each a “Restrictive
Agreement”) pursuant to the terms of which (a) such Subsidiary is or
would be prohibited from declaring or paying any cash dividends on any class of
its stock owned directly or indirectly by the Borrower or any of the other
Subsidiaries or from making any other distribution on account of any class of
any such stock (herein referred to as “Upstream
Dividends”), or (b) the declaration or payment of Upstream Dividends
by a Subsidiary to the Borrower or another Subsidiary, on an annual or
cumulative basis, is or would be otherwise limited or restricted (“Dividend Restrictions”).  Notwithstanding the foregoing, nothing in this
Section 8.7 shall prohibit:

                           (i)          Dividend Restrictions set forth in any
Restrictive Agreement in effect on the date hereof and any extensions,
refinancings, renewals or replacements thereof; provided that the Dividend Restrictions in any such extensions,
refinancings, renewals or replacements are no less favorable in any material
respect to the Lenders than those Dividend Restrictions that are then in effect
and that are being extended, refinanced, renewed or replaced;       

                           (ii)         Dividend Restrictions existing with
respect to any Person acquired by the Borrower or any Subsidiary and existing
at the time of such acquisition, which Dividend Restrictions are not applicable
to any Person or the property or assets of any Person other than such Person or
its property or assets acquired, and any extensions, refinancings, renewals or
replacements of any of the foregoing; provided
that the Dividend Restrictions in any such extensions, refinancings, renewals
or replacements are no less favorable in any material respect to the Lenders
than those Dividend Restrictions that are then in effect and that are being
extended, refinanced, renewed or replaced; or

                           (iii)        Dividend Restrictions consisting of
customary net worth, leverage and other financial covenants, customary
covenants regarding the merger of or sale of assets of a Subsidiary, customary
restrictions on transactions with affiliates, and customary subordination
provisions governing Indebtedness owed to the Borrower or any Subsidiary
contained in, or required by, any agreement governing Indebtedness owed to the
Borrower or any Subsidiary contained in, or required by, any agreement
governing Indebtedness incurred by a Subsidiary in accordance with Section 8.1.

             8.8        Limitation
on Negative Pledges

                           Enter into any agreement,
other than (i) this Agreement, (ii) the Other Credit Agreement, (iii) any other
credit agreement that is substantially similar to this Agreement, and (iv)
purchase money mortgages or capital leases permitted by this Agreement (in
which cases, any prohibition or limitation shall only be effective against the
assets financed thereby), or permit any Subsidiary so to do, which prohibits or
limits the ability of the Borrower or such Subsidiary to create, incur, assume
or suffer to exist any Lien upon any of its Property or revenues, whether now
owned or hereafter acquired.

             8.9        Ratio of
Consolidated Indebtedness to Total Capitalization

                           Permit its ratio of
Consolidated Indebtedness to Total Capitalization at the end of any fiscal
quarter to exceed 0.6:1.0.

9.          DEFAULT

             9.1        Events of
Default

                           The following shall
each constitute an “Event of Default”
hereunder:

                           (a)         The failure of the Borrower to make any
payment of principal on any Loan when due and payable; or

                           (b)        The failure of the Borrower to make any
payment of interest on any Loan or of any Fee on any date when due and payable
and such default shall continue unremedied for a period of 5 Domestic Business
Days after the same shall be due and payable; or

                           (c)         The failure of the Borrower to observe
or perform any covenant or agreement contained in Sections 2.5 and 7.1 or in
Section 8; or

                           (d)        The failure of the Borrower to observe
or perform any other covenant or agreement contained in this Agreement, and
such failure shall have continued unremedied for a period of 30 days after the
Borrower shall have become aware of such failure; or

                           (e)         [Intentionally
Omitted]

                           (f)         Any representation or warranty of the
Borrower (or of any of its officers on its behalf) made in any Loan Document,
or made in any certificate, report, opinion (other than an opinion of counsel)
or other document delivered on or after the date hereof shall in any such case
prove to have been incorrect or misleading (whether because of misstatement or
omission) in any material respect when made; or

                           (g)        (i) 
Obligations in an aggregate Consolidated amount in excess of $25,000,000
of the Borrower (other than its obligations hereunder and under the Notes) and
the Subsidiaries, whether as principal, guarantor, surety or other obligor, for
the payment of any Indebtedness or any net liability under interest rate swap,
collar, exchange or cap agreements, (A) shall become or shall be declared to be
due and payable prior to the expressed maturity thereof, or (B) shall not be
paid when due or within any grace period for the payment thereof, or (ii) any
holder of any such obligations shall have the right to declare the Indebtedness
evidenced thereby due and payable prior to its stated maturity; or

                           (h)        The Borrower or any Subsidiary shall (i)
suspend or discontinue its business (except for store closings in the ordinary
course of business and except in connection with a permitted Disposition under
Section 8.3 and as may otherwise be expressly permitted herein), or (ii) make
an assignment for the benefit of creditors, or (iii) generally not be paying
its debts as such debts become due, or (iv) admit in writing its inability
to  pay its debts as they become due, or
(v) file a voluntary petition in bankruptcy, or (vi) become insolvent (however
such insolvency shall be evidenced), or (vii) file any petition or answer
seeking for itself any reorganization, arrangement, composition, readjustment
of debt, liquidation or dissolution or similar relief under any present or
future statute, law or regulation of any jurisdiction (including under any law
applicable to insurance companies), or (viii) petition or apply to any
tribunal, or any other Governmental Authority, for any receiver, custodian or
any trustee for any substantial part of its Property, or (ix) be the subject of
any proceeding specified in clause (vii) or (viii) filed against it which
remains undismissed for a period of 60 consecutive days, or (x) file any answer
admitting or not contesting the material allegations of any such petition filed
against it, or of any order, judgment or decree approving such petition in any
such proceeding, or (xi) seek, approve, consent to, or acquiesce in any such
proceeding, or in the appointment of any trustee, receiver, custodian,
liquidator, or fiscal agent for it, or any substantial part of its Property, or
an order is entered appointing any such trustee, receiver, custodian,
liquidator or fiscal agent and such order remains unstayed and in effect for 60
consecutive days, or (xii) take any formal action for the purpose of effecting
any of the foregoing (except as may otherwise be expressly permitted herein);
or          

                           (i)          An order for relief is entered under
the United States bankruptcy laws or any other decree or order is entered by a
court or other Governmental Authority having jurisdiction and continues
unstayed and in effect for a period of 60 consecutive days (i) adjudging the
Borrower or any Subsidiary bankrupt or insolvent, or (ii) approving as properly
filed a petition seeking reorganization, liquidation, arrangement, adjustment
or composition of, or in respect of the Borrower or any Subsidiary under the
United States bankruptcy laws or any other applicable Federal or state law, or
(iii) appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator (or other similar official) of the Borrower or any Subsidiary or
of substantially all of the Property of any thereof, or (iv) ordering the
winding up or liquidation of the affairs of the Borrower or any Subsidiary; or

                           (j)          Judgments or decrees in an aggregate
Consolidated amount in excess of $25,000,000 against the Borrower and the
Subsidiaries shall remain unpaid, unstayed on appeal, undischarged, unbonded or
undismissed for a period of 60 days; or

                           (k)         After the Effective Date a Change of
Control shall occur; or

                           (l)          (i) 
Any Termination Event shall occur (x) with respect to any Pension Plan
(other than a Multiemployer Plan) or (y) with respect to any other retirement
plan subject to Section 302 of ERISA or Section 412 of the Internal Revenue
Code, which plan, during the five year period prior to such Termination Event,
was the responsibility in whole or in part of the Borrower, any Subsidiary or
any ERISA Affiliate, provided
that this clause (y) shall only apply if, in connection with such Termination Event,
it is reasonably likely that liability under Section 4069 of ERISA in an
aggregate Consolidated amount in excess of $25,000,000 will be imposed upon the
Borrower, any Subsidiary or any ERISA Affiliate; (ii) any Accumulated Funding
Deficiency, whether or not waived, in an aggregate Consolidated amount in
excess of $25,000,000 shall exist with respect to any Pension Plan (other than
that portion of a Multiemployer Plan’s Accumulated Funding Deficiency to the
extent such Accumulated Funding Deficiency is attributable to employers other
than Borrower, any Subsidiary or any ERISA Affiliate); (iii) any Person shall
engage in any Prohibited Transaction involving any Employee Benefit Plan; (iv)
the Borrower, any Subsidiary or any ERISA Affiliate shall fail to pay when due
an  amount which is payable by it to the
PBGC or to a Pension Plan (including a Multiemployer Plan) under Title IV of
ERISA; (v) the imposition of any tax under Section 4980(B)(a) of the Internal
Revenue Code; or (vi) the assessment of a civil penalty with respect to any
Employee Benefit Plan under Section 502(c) of ERISA; in each case, to the
extent such event or condition would have a Material Adverse effect.

             9.2        Remedies

                           (a)         Upon the occurrence of an Event of
Default or at any time thereafter during the continuance of an Event of
Default, the Administrative Agent, at the written request of the Required
Lenders, shall notify the Borrower that the Commitments have been terminated
and/or that all of the Loans and the Notes and all accrued and unpaid interest
on any thereof and all other amounts owing under the Loan Documents have been
declared immediately due and payable, provided
that upon the occurrence of an Event of Default under Section 9.1(h) or (i)
with respect to the Borrower, the Commitments shall automatically terminate and
all of the Loans and the Notes and all accrued and unpaid interest on any
thereof and all other amounts owing under the Loan Documents shall become
immediately due and payable without declaration or notice to the Borrower.  To the fullest extent not prohibited by law,
except for the notice provided for in the preceding sentence, the Borrower
expressly waives any presentment, demand, protest, notice of protest or other
notice of any kind in connection with the Loan Documents and its obligations
thereunder.  To the fullest extent not
prohibited by law, the Borrower further expressly waives and covenants not to
assert any appraisement, valuation, stay, extension, redemption or similar law,
now or at any time hereafter in force which might delay, prevent or otherwise
impede the performance or enforcement of the Loan Documents.

                           (b)        In the event that the Commitments shall
have been terminated or all of the Loans and the Notes shall have been declared
due and payable pursuant to the provisions of this Section, the Administrative
Agent and the Lenders agree, among themselves, that any funds received from or
on behalf of the Borrower under any Loan Document by any Lender (except funds
received by any Lender as a result of a purchase pursuant to the provisions of
Section 11.9) shall be remitted to the Administrative Agent, and shall be
applied by the Administrative Agent in payment of the Loans, and the other
obligations of the Borrower under the Loan Documents in the following manner
and order: (1) first, to reimburse the Administrative Agent and the Lenders, in
that order, for any expenses due from the Borrower pursuant to the provisions
of Section 11.5, (2) second, to the payment of the Fees, (3) third, to the
payment of any expenses or amounts (other than the principal of and interest on
the Loans and the Notes) payable by the Borrower to the Administrative Agent or
any of the Lenders under the Loan Documents, (4) fourth, to the payment, pro
rata according to the outstanding principal balance of the Loans, of interest
due on the Loans, (5) fifth, to the payment, pro rata according to the
outstanding principal balance of the Loans, of the aggregate outstanding
principal balance of the Loans, and (6) sixth, any remaining funds shall be
paid to whosoever shall be entitled thereto or as a court of competent
jurisdiction shall direct.

                           (c)         In the event that the Loans and the
Notes shall have been declared due and payable pursuant to the provisions of
this Section 9.2, the Administrative Agent upon the written request of the
Required Lenders, shall proceed to enforce the rights of the holders of the
Notes by suit in equity, action at law and/or other appropriate proceedings,
whether for payment or the specific performance of any covenant or
agreement  contained in the Loan
Documents.  In the event that the
Administrative Agent shall fail or refuse so to proceed, each Lender shall be
entitled to take such action as the Required Lenders shall deem appropriate to
enforce its rights under the Loan Documents. 

10.        AGENT

             10.1      Appointment

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

             10.2      Delegation
of Duties

                           The Administrative
Agent may execute any of its duties under the Loan Documents by or through
agents or attorneys–in–fact and shall be entitled to rely upon the
advice of counsel concerning all matters pertaining to such duties, and shall
not be liable for any action taken or omitted to be taken in good faith upon
the advice of such counsel.

             10.3      Exculpatory
Provisions

                           None of the
Administrative Agent or any of its officers, directors, employees, agents,
attorneys–in-fact or Affiliates shall be (i) liable for any action
lawfully taken or omitted to be taken by the Administrative Agent or such
Person under or in connection with the Loan Documents (except the
Administrative Agent for its 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 party contained in the
Loan Documents or in any certificate, report, statement or other document
referred to or provided for in, or received by the Administrative Agent under or
in connection with, the Loan Documents or for the value, validity,
effectiveness, genuineness, enforceability or sufficiency of any of the Loan
Documents or for any failure of the Borrower or any other Person to perform its
obligations thereunder.  The Administrative
Agent shall not be under any obligation to any Lender to ascertain or to
inquire into the observance or performance of any of the covenants or
agreements contained in, or conditions of, the Loan Documents, or to inspect
the Property, books or records of the Borrower or any Subsidiary.  The Administrative Agent shall not be under
any liability or responsibility to the Borrower or any other Person as a
consequence of any failure or delay in performance, or any breach, by any
Lender of any of its obligations under any of the Loan Documents.  The Lenders acknowledge that the
Administrative Agent shall not be under any duty to take any discretionary
action permitted under the Loan Documents unless the Administrative Agent shall
be requested in writing to do so by the Required Lenders.

             10.4      Reliance
by Administrative Agent

                           The Administrative
Agent shall be entitled to rely, and shall be fully protected in relying, upon
any writing, resolution, notice, request, consent, certificate, affidavit,
opinion, letter, cablegram, telegram, fax, telex or teletype message,
statement, order or other document or conversation reasonably 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 selected by
the Administrative Agent.  The
Administrative Agent may treat each Lender, or the Person designated in the
last notice filed under Section 11.7, as the holder of all of the interests of
such Lender in its Loans and Notes until written notice of transfer, signed by
such Lender (or the Person designated in the last notice filed with the
Administrative Agent) and by the Person designated in such written notice of
transfer, in form and substance satisfactory to the Administrative Agent, shall
have been filed with the Administrative Agent and all requirements of Section
11.7 have been satisfied.  The Administrative
Agent shall not be under any duty to examine or pass upon the validity,
effectiveness or genuineness of the Loan Documents or any instrument, document
or communication furnished pursuant thereto or in connection therewith, and the
Administrative Agent shall be entitled to assume that the same are valid,
effective and genuine, have been signed or sent by the proper parties and are
what they purport to be.  The
Administrative Agent shall be fully justified in failing or refusing to take
any action not expressly required under the Loan Documents unless it shall
first receive such advice or concurrence of the Required Lenders as it deems
appropriate.  The Administrative Agent
shall in all cases be fully protected in acting, or in refraining from acting,
under the Loan Documents in accordance with a request of the Required Lenders
or, if required by Section 11.1, all Lenders, and such request and any action
taken or failure to act pursuant thereto shall be binding upon the Borrower,
all the Lenders and all future holders of the Notes.

             10.5      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
shall have received written notice thereof from a Lender or the Borrower
referring to this Agreement, describing such Default or Event of Default and
stating such notice is a “Notice of Default.” In the event that the
Administrative Agent receives such a notice, the Administrative Agent shall
promptly 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, 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 give such
directions, or refrain from taking such action or giving such directions, with
respect to such Default or Event of Default as it shall deem to be in the best
interests of the Lenders. 

             10.6      Non–Reliance

                           Each Lender expressly
acknowledges that neither the Administrative Agent nor any of its officers,
directors, employees, agents, attorneys-in–fact or Affiliates  has made any representations or warranties
to such Lender and that no act by the Administrative Agent hereafter, including
any review of the affairs of the Borrower or the 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 such Lender 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 evaluation of and
investigation into the business, operations, Property, financial and other
condition and creditworthiness of the Borrower and the Subsidiaries and has
made its own decision to 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, evaluations and decisions in taking
or not taking action under the 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 Borrower
and the Subsidiaries.  Each Lender
acknowledges that a copy of this Agreement and all exhibits and schedules
hereto have been made available to it and its individual counsel for review,
and each Lender acknowledges that it is satisfied with the form and substance
thereof.  Except for notices, reports
and other documents expressly required to be furnished to the Lenders by the
Administrative Agent hereunder, the Administrative Agent shall have no duty or
responsibility to provide any Lender with any credit or other information
concerning the business, operations, Property, financial and other condition or
creditworthiness of the Borrower or the Subsidiaries which may come into the
possession of the Administrative Agent or any of its officers, directors,
employees, agents, attorneys–in–fact or Affiliates.

             10.7      Indemnification

                           Each Lender agrees to
indemnify the Administrative Agent in its capacity as such (to the extent not
promptly reimbursed by the Borrower and without limiting the obligation of the
Borrower to do so), pro rata according to (i) at any time when no Loans are
outstanding, its Commitment Percentage, or if no Commitments then exist, its
Commitment Percentage on the last day on which Commitments did exist, and (ii)
at any time when Loans are outstanding (x) if the Commitments then exist, its
Commitment Percentage or (y) if the Commitments have been terminated or
otherwise no longer exist, the percentage equal to the fraction (A) the
numerator of which is such Lender’s share of the Aggregate Credit Exposure and
(B) the denominator of which is the Aggregate Credit Exposure, from and against
any and all liabilities, obligations, claims, losses, damages, penalties,
actions, judgments, suits, costs, expenses and disbursements of any kind
whatsoever, including any amounts paid to the Lenders by or for the account of
the Borrower pursuant to the terms of the Loan Documents that are subsequently
rescinded or avoided (or must otherwise be restored or returned), which may at
any time (including at any time following the payment of the Loans and the
Notes) be imposed on, incurred by or asserted against the Administrative Agent
in any way relating to or arising out of the Loan Documents or any other
document contemplated by or referred to therein or the transactions
contemplated thereby or any action taken or omitted to be taken by the
Administrative Agent under or in connection therewith; 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
to the extent resulting from the gross negligence or willful misconduct of the
Administrative Agent. The agreements in this Section shall survive the payment
of the Loans and the Notes and all other amounts payable under the Loan
Documents.  If the Administrative Agent
is subsequently reimbursed by the Borrower for such amounts, the Administrative
Agent shall remit to the Lenders their pro rata shares of such reimbursement to
the extent they previously paid such amounts.

             10.8      Administrative
Agent in Its Individual Capacity

                           FNB
and each Affiliate thereof, may make loans to, accept deposits from, issue
letters of credit for the account of and generally engage in any kind of
business with the Borrower and the Subsidiaries as though it were not the Administrative
Agent.  With respect to the Commitment
made or renewed by FNB and each Note issued to FNB, FNB shall have the same
rights and powers under the Loan Documents as any Lender and may exercise the
same as though it were not the Administrative Agent, and the term “Lender”
shall include FNB. 

             10.9      Successor
Administrative Agent

                           If at any time the
Administrative Agent deems it advisable, in its sole discretion, it may submit
to each Lender a written notification of its resignation as Administrative
Agent under the Loan Documents, such resignation to be effective on the earlier
to occur of (a) the thirtieth day after the date of such notice, and (b) the
date upon which any successor to the Administrative Agent, in accordance with
the provisions of this Section, shall have accepted in writing its appointment
as successor Administrative Agent.  Upon
any such resignation, the Required Lenders shall have the right to appoint from
among the Lenders a successor Administrative Agent, which successor Administrative
Agent, provided that no Default or Event of Default shall then exist, shall be
reasonably satisfactory to the Borrower. 
If no such successor Administrative Agent shall have been so appointed
by the Required Lenders and accepted such appointment within 30 days after the
retiring Administrative Agent’s giving of notice of resignation, then the
retiring Administrative Agent may, on behalf of the Lenders, appoint a
successor Administrative Agent, which successor Administrative Agent shall be a
commercial bank organized or licensed under the laws of the United States of
America or of any State thereof and having a combined capital and surplus of at
least $500,000,000.  Upon the written
acceptance of any appointment as Administrative Agent hereunder by a successor
Administrative Agent, such successor Administrative Agent shall automatically
become a party to this Agreement and shall thereupon succeed to and become
vested with all the rights, powers, privileges and duties of the retiring
Administrative Agent, and the retiring Administrative Agent’s rights, powers,
privileges and duties as Administrative Agent under the Loan Documents shall be
terminated.  The Borrower and the
Lenders shall execute such documents as shall be necessary to effect such
appointment.  After any retiring
Administrative Agent’s resignation as Administrative Agent, the provisions of
this Section 10 shall inure to its benefit as to any actions taken or omitted
to be taken by it while it was the Administrative Agent.  If at any time there shall not be a duly
appointed and acting Administrative Agent, upon notice duly given, the Borrower
agrees to make each payment when due under the Loan Documents directly to the
Lenders entitled thereto during such time.

             10.10    Co-Documentation
Agents

                           The Co-Documentation
Agents shall have no duties or obligations under the Loan Documents in their
capacity as Co-Documentation Agents.

11.        OTHER PROVISIONS

             11.1      Amendments, Waivers, Etc.

                           With the written
consent of the Required Lenders, the Administrative Agent and the Borrower may,
from time to time, enter into written amendments, supplements or modifications
of the Loan Documents and, with the written consent of the Required Lenders,
the Administrative Agent on behalf of the Lenders may execute and deliver to
any such parties a written instrument waiving or consenting to the departure
from, on such terms and conditions as the Administrative Agent may specify in
such instrument, any of the requirements of the Loan Documents or any Default
or Event of Default and its consequences, provided
that no such amendment, supplement, modification, waiver or consent shall,
without the consent of all of the Lenders (i) increase the Commitment Amount of
any Lender (provided that no
waiver of a Default or Event of Default shall be deemed to constitute such an
increase), (ii) extend the Commitment Period, (iii) reduce the amount, or
extend the time of payment, of the Fees, (iv) reduce the rate, or extend the
time of payment of, interest on any Revolving Credit Loan or any Revolving
Credit Note (other than the applicability of any post–default increase in
such rate of interest), (v) reduce the amount, or extend the time of payment of
any payment of any principal on any Revolving Credit Loan or any Revolving
Credit Note, (vi) decrease or forgive the principal amount of any Revolving
Credit Loan or any Revolving Credit Note, (vii) consent to any assignment or
delegation by the Borrower of any of its rights or obligations under any Loan
Document, (viii) change the provisions of this Section 11.1,  (ix) change the definition of Required
Lenders, (x) change the several nature of the obligations of the Lenders, or
(xi) change the sharing provisions among Lenders.  Notwithstanding the foregoing, no such amendment, supplement,
modification, waiver or consent shall (A) amend, modify or waive any provision
of Section 10 or otherwise change any of the rights or obligations of the
Administrative Agent under any Loan Document without the written consent of the
Administrative Agent or (B) change the amount or the time of payment of any
Competitive Bid Loan or interest thereon without the written consent of the
Lender holding such Competitive Bid Loan. 
Any such amendment, supplement, modification, waiver or consent shall
apply equally to each of the Lenders and shall be binding upon the parties to
the applicable Loan Document, the Lenders, the Administrative Agent and all
future holders of the Notes.  In the
case of any waiver, the Borrower, the Lenders and the Administrative Agent
shall be restored to their former position and rights under the Loan Documents,
but any Default or Event of Default waived shall not extend to any subsequent
or other Default or Event of Default, or impair any right consequent thereon.

             11.2      Notices

                           Except as otherwise
expressly provided herein, all notices, requests and demands to or upon the
respective parties hereto to be effective shall be in writing and, if in
writing, shall be deemed to have been duly given or made (a) when delivered by
hand, (b) one Domestic Business Day after having been sent by overnight courier
service at the cost of the sender, (c) five Domestic Business Days after having
been deposited in the mail, first–class postage prepaid, or (d) in the
case of fax notice, when sent, addressed as follows in the case of the Borrower
and the Administrative Agent, and as set forth in Exhibit A in the case of each
of the Lenders, or to such other addresses as to which the Administrative Agent
may be hereafter notified by the respective parties hereto or any future
holders of the Notes: 

	The Borrower:
	 
	 	CVS Corporation
	 	1 CVS Drive
	 	Woonsocket, Rhode Island  02895
	 	Attention: Philip C.  Galbo,
	 	Senior Vice President and Treasurer
	 	Facsimile: (401) 770-5192
	 	Telephone: (401) 765-1500
  (Ext.  3508)
	 	 
	 	with a copy, in the case of a
  notice of Default or Event of Default, to:
	 	 
	 	CVS Corporation
	 	1 CVS Drive
	 	Woonsocket, Rhode Island  02895
	 	Attention: Legal Department
	 	Facsimile: (401) 765-7887
	 	Telephone: (401) 765-1500
	 	 
	The Administrative Agent:	 
	 	 
	 	in the case of each Borrowing
  Request, each notice of prepayment under Section 2.7, each Competitive Bid
  Request, each Competitive Bid, and each Competitive Bid Accept/Reject Letter:	 
	 	 	 
	 	Fleet National Bank	 
	 	Agency Services	 
	 	MADE 10307C	 
	 	100 Federal Street	 
	 	Boston, Massachusetts 02110	 
	 	Attention: Mary Joyce	 
	 	Facsimile: (617) 346-5833	 
	 	Telephone: (617) 346-4918,	 
	 	 	 
	 	in all other cases:	 
	 	 	 
	 	Fleet National Bank	 
	 	Retail & Apparel Division	 
	 	MADE 10008F	 
	 	100 Federal Street	 
	 	Boston, Massachusetts 02110	 
	 	Attention: Thomas J. Bullard,
  Director,	 
	 	Facsimile: (617) 434-6685	 
	 	Telephone: (617) 434-3824,	 
						

except
that any notice, request or demand by the Borrower to or upon the
Administrative Agent or the Lenders pursuant to Sections 2.3, 2.4, 2.6, 2.7,
2.11 or 3.3 shall not be effective until received.  Any party to a Loan Document may rely on signatures of the
parties thereto which are transmitted by fax or other electronic means as fully
as if originally signed.

             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 under any Loan Document shall
operate as a waiver thereof, nor shall any single or partial exercise of any
right, remedy, power or privilege under any Loan Document preclude any other or
further exercise thereof or the exercise of any other right, remedy, power or
privilege.  The rights, remedies, powers
and privileges under the Loan Documents 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 in the Loan Documents and in any document, certificate or
statement delivered pursuant thereto or in connection therewith shall survive
the execution and delivery of the Loan Documents.

             11.5      Payment
of Expenses and Taxes; Indemnified Liabilities

                           The Borrower agrees,
promptly upon presentation of a statement or invoice therefor setting forth in
reasonable detail the items thereof, and whether any Loan is made, (a) to pay
or reimburse the Administrative Agent and its Affiliates for all its reasonable
costs and expenses actually incurred in connection with the development,
syndication, preparation and execution of, and any amendment, waiver, consent,
supplement or modification to, the Loan Documents, any documents prepared in
connection therewith and the consummation of the transactions contemplated
thereby, whether such Loan Documents or any such amendment, waiver, consent,
supplement or modification to the Loan Documents or any documents prepared in
connection therewith are executed and whether the transactions contemplated
thereby are consummated, including the reasonable fees and disbursements of
Special Counsel, (b) to pay, indemnify, and hold the Administrative Agent and
the Lenders harmless from any and all recording and filing fees and any and all
liabilities and penalties with respect to, or resulting from any delay (other
than penalties to the extent attributable to the negligence of the
Administrative Agent or the Lenders, as the case may be, in failing to pay such
fees or other liabilities when due) in paying, stamp, excise and other similar
taxes, if any, which may be payable or determined to be payable in connection
with the execution and delivery of, or consummation of any of the transactions
contemplated by, or any amendment, supplement or modification of, or any waiver
or consent under or in respect of, the Loan Documents and any such other
documents, and (c) to pay, reimburse, indemnify and hold each Indemnified
Person harmless from and against any and all other liabilities, obligations,
claims, losses, damages, penalties, actions, judgments, suits, costs, expenses
and disbursements of any kind or nature whatsoever (including reasonable
counsel fees and disbursements of counsel (including the allocated costs of
internal counsel) and such local counsel as may be required) actually incurred
with respect to the enforcement, performance of, and preservation of rights
under, the Loan Documents (all the foregoing, collectively, the “Indemnified Liabilities”) and, if and to
the extent that the foregoing indemnity may be unenforceable for any  reason, the Borrower agrees to make the maximum
payment permitted under applicable law; provided
that the Borrower shall have no obligation hereunder to pay Indemnified
Liabilities to an Indemnified Person to the extent arising from its gross
negligence or willful misconduct.  The
agreements in this Section shall survive the termination of the Commitments and
the payment of the Loans and the Notes and all other amounts payable under the
Loan Documents.

             11.6      Lending
Offices

                           Each Lender shall
have the right at any time and from time to time to transfer any Loan to a
different office of such Lender, subject to Section 3.10.

             11.7      Successors
and Assigns

                           (a)         The Loan Documents shall be binding
upon and inure to the benefit of the Borrower, the Lenders, the Administrative
Agent, all future holders of the Notes and their respective successors and
assigns; provided that the Borrower shall not assign, transfer or delegate any
of its rights or obligations under the Loan Documents without the prior consent
of the Administrative Agent and all of the Lenders.

                           (b)        Notwithstanding Section 11.7(c), but
subject to Section 11.7(e), each Lender may at any time assign all or any
portion of its rights under any Loan Document to any Federal Reserve Bank.            

                           (c)         In addition to its rights under Section
11.7(b), each Lender shall have the right, at any time, upon written notice to
the Administrative Agent of its intent to do so, to sell, assign, transfer or
negotiate (each an “Assignment”)
all or any portion of all of its Loans, its Commitment and its Notes and its
interest in the Loan Documents to any subsidiary or Affiliate of such Lender,
to any other Lender or, with the prior written consent of the Administrative
Agent and the Borrower (which consents shall not be unreasonably withheld and,
in the case of the Borrower, shall not be required if, at the time of such
Assignment, an Event of Default shall exist), to any other bank, insurance
company, pension fund, mutual or other similar fund or other financial
institution, provided that (i)
each such Assignment shall be of a constant, and not varying, percentage of all
of the assigning Lender’s rights and obligations under the Loan Documents and
be in a minimum amount of $5,000,000 (which minimum amount shall not be
applicable to an Assignment by a Lender to a subsidiary or Affiliate of such
Lender) or the full amount of such Lender’s Commitment, and (ii) the parties to
each such Assignment (excluding the Borrower if the Borrower is a party to such
assignment) shall execute and deliver to the Administrative Agent an Assignment
and Acceptance Agreement, together with a fee (the “Assignment Fee”), payable to the Administrative Agent, of
$3,500.  Upon receipt of each such
executed Assignment and Acceptance Agreement together with the Assignment Fee
therefor, the Administrative Agent shall execute the same and, in the event
that either the assignee thereunder is a Lender (or a subsidiary or Affiliate
thereof) or the Borrower shall have consented to such assignment (to the extent
that such consent  was not unreasonably
withheld and is required as aforesaid), (i) record the same and execute two
copies of such Assignment and Acceptance Agreement in the appropriate place,
deliver one copy to the assignor and one copy to the assignee, and (ii) request
the Borrower to execute and deliver (1) to such assignee, one or more Notes, in
an aggregate principal amount equal to the Loans assigned to, and Commitment
assumed by, such assignee, and (2) to such assignor, in the event that such
assignor shall retain any Loans and Commitment, one or more Notes in an
aggregate principal amount equal to the balance of such assignor Lender’s Loans
and Commitment, in each case against receipt of such assignor Lender’s existing
Note or Notes, as the case may be, appropriately marked to indicate their substitution.  The Borrower agrees that it shall, upon each
such request of the Administrative Agent, execute and deliver such new Notes at
its own cost and expense.  Upon such
delivery, acceptance and recording by the Administrative Agent, from and after
the effective date specified in such Assignment and Acceptance Agreement, the
assignee thereunder shall be a party hereto and shall for all purposes of the
Loan Documents be deemed a “Lender” and, to the extent provided in such
Assignment and Acceptance Agreement, the assignor Lender thereunder shall be
released from its obligations under the Loan Documents.

                           (d)        In addition to the participations
provided for in Section 11.9(b), each Lender may grant participations in all or
any part of its Loans, its Notes and its Commitment to one or more banks,
insurance companies, pension funds, mutual funds or other financial
institutions, provided that (i)
such Lender’s obligations under the Loan Documents shall remain unchanged, (ii)
such Lender shall remain solely responsible to the other parties to the Loan
Documents for the performance of such obligations, (iii) the Borrower, the
Administrative Agent and the Lenders shall continue to deal solely and directly
with such Lender in connection with such Lender’s rights and obligations under
the Loan Documents, and (iv) the voting rights of any holder of any
participation shall be limited to decisions that in accordance with Section
11.1 require the consent of all of the Lenders.  The Borrower acknowledges and agrees that any such participant
shall for purposes of Section 3.5, 3.6, 3.10 and 11.5 be deemed to be a
“Lender”, provided that in no event shall the Borrower be liable for any
amounts under said Sections in excess of the amounts for which it would be
liable but for such participation.

                           (e)         No Lender shall, as between and among
the Borrower, the Administrative Agent and such Lender, be relieved of any of
its obligations under the Loan Documents as a result of any assignment of or
granting of participations in, all or any part of its Loans, its Commitment and
its Notes, except that a Lender shall be relieved of its obligations to the
extent of any such assignment of all or any part of its Loans, its Commitment
or its Notes pursuant to Section 11.7(c).   

                           (f)         Notwithstanding anything to the
contrary contained herein, any Lender (a “Granting
Lender”) may grant to an Eligible SPC the option to fund all or any
part of any Loan that such Granting Lender would otherwise be obligated to fund
pursuant to this Agreement; provided that
(i) such designation shall not be effective unless the Borrower consents
thereto (which consent shall not be unreasonably withheld), (ii) nothing herein
shall constitute a commitment by any Eligible SPC to fund any Loan, and (iii)
if an Eligible SPC elects not to exercise such option or otherwise fails to
fund all or any part of such Loan, the Granting Lender shall be obligated to
fund such Loan pursuant to the terms hereof. 
The funding of a Loan by an Eligible SPC hereunder shall utilize the
Commitment of the Granting Lender to the same extent, and as if, such Loan were
funded by such Granting Lender.  As to
any Loans or portion thereof made by it, each Eligible SPC shall have all the
rights that a Lender making such Loans or portion thereof would have had under
this Agreement and otherwise; provided that (x) its voting rights under this
Agreement shall be exercised solely by its Granting Lender and (y) its Granting
Lender shall remain solely responsible to the other parties hereto for the
performance of such Granting Lender’s obligations under this Agreement,
including its obligations in respect of the Loans or portion thereof made by
it.  Each Granting Lender shall act as
administrative agent for its Eligible SPC and give and receive notices and
other communications on its behalf.  Any
payments for the account of any Eligible SPC shall be paid to its Granting
Lender as administrative agent for such Eligible SPC and neither the Borrower
nor the Administrative Agent shall be responsible for any Granting Lender’s
application of such payments.  Each
party hereto hereby agrees that no Eligible SPC shall be liable for any
indemnity or payment under this Agreement for which a Lender would otherwise be
liable for so long as, and to the extent, the Granting Lender provides such
indemnity or makes such payment. 
Notwithstanding anything to the contrary contained in this Agreement,
any Eligible SPC may (i) at any time, subject to payment of the Assignment Fee,
assign all or a portion of its interests in any Loans to its Granting Lender
(but nothing contained herein shall be construed in derogation of the
obligation of the Granting Lender to make Loans hereunder) or to any financial
institutions providing liquidity and/or credit support to or for the account of
such Eligible SPC to support the funding or maintenance of Loans, and (ii)
disclose on a confidential basis any non-public information relating to its
funding of Loans to any rating agency, commercial paper dealer or provider of
any surety or guarantee or credit or liquidity enhancements  to such Eligible SPC.  This Section may not be amended without the
prior written consent of each Granting Lender, all or any part of whose Loan is
being funded by an Eligible SPC at the time of such amendment.

             11.8      Counterparts

                           Each of the Loan
Documents (other than the Notes) may be executed on any number of separate
counterparts and all of said counterparts taken together shall be deemed to
constitute one and the same agreement. 
It shall not be necessary in making proof of any Loan Document to
produce or account for more than one counterpart signed by the party to be
charged.  A set of the copies of this
Agreement signed by all of the parties hereto shall be lodged with each of the
Borrower and the Administrative Agent. 
Any party to a Loan Document may rely upon the signatures of any other
party thereto  which are transmitted by
fax or other electronic means to the same extent as if originally signed.

             11.9      Set–off
and Sharing of Payments

                           (a)         In addition to any rights and remedies
of the Lenders provided by law, upon the occurrence of an Event of Default
under Section 9.1(a) or (b) or upon  the
acceleration of the payment of the Notes, each Lender shall have the right,
without prior notice to the Borrower, any such notice being expressly waived by
the Borrower, to set-off and apply against any indebtedness or other liability,
whether matured or unmatured, of the Borrower to such Lender arising under the
Loan Documents, any amount owing from such Lender to the Borrower.  To the extent permitted by applicable law,
the aforesaid right of set-off may be exercised by such Lender against the
Borrower or against any trustee in bankruptcy, custodian, debtor in possession,
assignee for the benefit of creditors, receiver, or execution, judgment or
attachment creditor of the Borrower, or against anyone else claiming through or
against the Borrower or such trustee in bankruptcy, custodian, debtor in
possession, assignee for the benefit of creditors, receivers, or execution,
judgment or attachment creditor, notwithstanding the fact that such right of
set-off shall not have been exercised by such Lender prior to the making,
filing or issuance of, service upon such Lender of, or notice to such Lender
of, any petition, assignment for the benefit of creditors, appointment or
application for the appointment of a receiver, or issuance of execution,
subpoena, order or warrant.  Each Lender
agrees promptly to notify the Borrower and the Administrative Agent after each
such set-off and application made by such Lender, provided that the failure to give such notice shall not
affect the validity of such set-off and application.

                           (b)        If any Lender (each a “Benefited Lender”) shall obtain any
payment (whether voluntary, involuntary, through the exercise of any right of
set–off, or otherwise) on account of its Loans or its Notes in excess of
its pro rata share (in accordance with the outstanding principal balance of all
Loans) of payments then due and payable on account of the Loans and Notes
received by all the Lenders, such Lender shall forthwith purchase, without
recourse, for cash, from the other Lenders such participations in their Loans
and Notes as shall be necessary to cause such purchasing Lender to share the
excess payment with each of them according to their pro rata share (in
accordance with the outstanding principal balance of all Loans), provided that if all or any portion of
such excess payment is thereafter recovered from such purchasing Lender, such
purchase from each Lender shall be rescinded and each such Lender shall repay
to the purchasing Lender the purchase price to the extent of such recovery,
together with an amount equal to such Lender’s pro rata share (according to the
proportion of (i) the amount of such Lender’s required repayment to (ii) the
total amount so recovered from the purchasing Lender) of any interest or other
amount paid or payable by the purchasing Lender in respect of the total amount
so recovered.  The Borrower agrees, to
the fullest extent permitted by law, that any Lender so purchasing a
participation from another Lender pursuant to this Section may exercise such
rights to payment (including the right of set–off) with respect to such
participation as fully as if such Lender were the direct creditor of the
Borrower in the amount of such participation. 

             11.10    Indemnity

                           The Borrower agrees
to indemnify and hold harmless each of the Administrative Agent, each Lender
and their respective Affiliates, officers, directors, employees, agents and
representatives (each an “Indemnified
Person”) from and against any loss, cost, liability, damage or
expense, including the reasonable fees and disbursements of counsel (including
the allocated costs of internal counsel) and such local counsel as may be
required to represent such Indemnified Person actually incurred by such
Indemnified Person in preparing for, defending against, or providing evidence,
producing documents or taking any other action in respect of, any litigation,
administrative proceeding or investigation under any federal securities law or
any other statute of any jurisdiction, or any regulation, or at common law or
otherwise, which is alleged to arise out of or is based upon (1) any untrue
statement or alleged untrue statement of any material fact by or on behalf of the
Borrower or any Subsidiary, in any document or schedule executed or filed with
any Governmental Authority by or on behalf of the Borrower or any Subsidiary
which relates to the transactions contemplated by the Loan Documents, (2) any
omission or alleged omission by or on behalf of the Borrower or any Subsidiary
to state any material fact required to be stated in such document or schedule,
or necessary to make the statements made therein, in light of the circumstances
under which made, not misleading, (3) any acts, practices or omissions or
alleged acts, practices or omissions of the Borrower or its agents relating to
the use of the proceeds of any Loan which is alleged to be in violation of
Section 2.5, or in violation of any federal securities law or of any other
statute, regulation or other law of any jurisdiction applicable thereto, or (4)
any Loan Document or any other document contemplated by or referred to therein
or the transactions contemplated thereby or any action taken or omitted to be
taken by such Indemnified Person under or in connection with any of the
foregoing.  Notwithstanding the above,
the Borrower shall have no liability under clause (4) of this Section to
indemnify or hold harmless any Indemnified Person for any loss, cost,
liability, damage or expense relating to income or withholding taxes or any tax
in lieu of such taxes.  The indemnity
set forth herein shall be in addition to any other obligations or liabilities
of the Borrower to each Indemnified Person hereunder or at common law or
otherwise, shall include the reasonable fees and disbursements of counsel
(including the allocated costs of internal counsel) and such local counsel as
may be required in connection with establishing liability under this Section or
collecting amounts payable under this Section and shall survive any termination
of this Agreement, the expiration of the Commitments and the payment of all
indebtedness of the Borrower under the Loan Documents, provided that the Borrower shall not have
any liability under this Section to any Indemnified Person with respect to
indemnified liabilities which are determined by a final and nonappealable
judgment of a court of competent jurisdiction to have arisen primarily from the
gross negligence or willful misconduct of such Indemnified Person.

             11.11    Governing
Law

                           The Loan Documents
and the rights and obligations of the parties thereto shall be governed by, and
construed and interpreted in accordance with, the laws of the State of New
York.

             11.12    Severability

                           Every provision of
the Loan Documents is intended to be severable, and if any term or provision
thereof shall be invalid, illegal or unenforceable for any reason, the
validity, legality and enforceability of the remaining provisions thereof shall
not be affected or impaired thereby, and any invalidity, illegality or
unenforceability in any jurisdiction shall not affect the validity, legality or
enforceability of any such term or provision in any other jurisdiction.

             11.13    Integration

                           All
exhibits to the Loan Documents shall be deemed to be a part thereof.  Each Loan Document embodies the entire
agreement and understanding between or among the parties thereto with respect
to the subject matter thereof and supersedes all prior agreements and
understandings between or among the parties thereto with respect to the subject
matter thereof. 

             11.14    Treatment of Certain
Information

                           Each Lender and the
Administrative Agent agrees to maintain as confidential and not to disclose,
publish or disseminate to any third parties any financial or other information
relating to the business, operations and condition, financial or otherwise, of
the Borrower provided to it, except if and to the extent that:

                           (a)         such information is in the public
domain at the time of disclosure;

                           (b)        such information is required to be
disclosed by subpoena or similar process or applicable law or regulations;

                           (c)         such information is required or
requested to be disclosed to any regulatory or administrative body or
commission to whose jurisdiction it may be subject;

                           (d)        such information is disclosed to its
counsel, auditors or other professional advisors;

                           (e)         such information is disclosed to (and,
unless and until it receives written objection from the Borrower, the Borrower
shall be deemed to have consented to disclosure of such information to)      its affiliates; provided that such
information shall be used in connection with this Agreement and the
transactions contemplated hereby;

                           (f)         such information is disclosed to its
officers, directors and employees;

                           (g)        such information is disclosed with the
prior written consent of the party furnishing the information;

                           (h)        such information is disclosed in
connection with any litigation or dispute involving the Borrower and/or it;

                           (i)          such information is disclosed in
connection with the sale of a participation or other disposition by it of any
of its interest in this Agreement, provided that such information shall not be
disclosed unless and until the party to whom it shall be disclosed shall have
agreed to keep such information confidential as set forth herein;

                           (j)          such information was in its possession
or in its affiliate’s possession as shown by clear and convincing evidence
prior to any of the Borrower and/or any or the Borrower’s representatives or
agents furnishing such information to it; or

                           (k)         such information is received by it,
without restriction as to its disclosure or use, from a Person who, to its
knowledge or reasonable belief, was not prohibited from disclosing such
information by any duty of confidentiality.

                           Except to the extent
prohibited or restricted by law or Governmental Authority, each Lender shall
notify the Borrower promptly of any disclosures of information made by it as
permitted pursuant to (h) above.

             11.15    Acknowledgments

                           The
Borrower acknowledges that (a) it has been advised by counsel in the
negotiation, execution and delivery of the Loan Documents, (b) by virtue of the
Loan Documents, none of the Administrative Agent or any Lender has any
fiduciary relationship to the Borrower, and the relationship between the
Administrative Agent and the Lenders, on the one hand, and the Borrower, on the
other hand, is solely that of debtor and creditor, and (c) by virtue of the
Loan Documents, no joint venture exists among the Lenders or among the Borrower
and the Lenders. 

             11.16    Consent to Jurisdiction

                           The Borrower
irrevocably submits to the non-exclusive jurisdiction of any New York State or
Federal Court sitting in the City of New York over any suit, action or
proceeding arising out of or relating to the Loan Documents.  The Borrower irrevocably waives, to the
fullest extent permitted by law, any objection which it may now or hereafter
have to the laying of the venue of any such suit, action or proceeding brought
in such a court and any claim that any such suit, action or proceeding brought
in such a court has been brought in an inconvenient forum.  The Borrower agrees that a final judgment in
any such suit, action or proceeding brought in such a court, after all
appropriate appeals, shall be conclusive and binding upon it.

             11.17    Service
of Process

                           The Borrower agrees
that process may be served against it in any suit, action or proceeding
referred to in Section 11.16 by sending the same by first class mail, return
receipt requested or by overnight courier service, with receipt acknowledged,
to the address of the Borrower set forth in Section 11.2.  The Borrower agrees that any such service
(i) shall be deemed in every respect effective service of process upon it in
any such suit, action, or proceeding, and (ii) shall to the fullest extent
enforceable by law, be taken and held to be valid personal service upon and
personal delivery to it.

             11.18    No
Limitation on Service or Suit

                           Nothing in the Loan
Documents or any modification, waiver, or amendment thereto shall affect the
right of the Administrative Agent or any Lender to serve process in any manner
permitted by law or limit the right of the Administrative Agent or any Lender
to bring proceedings against the Borrower in the courts of any jurisdiction or
jurisdictions.

             11.19    WAIVER OF
TRIAL BY JURY

                           THE ADMINISTRATIVE
AGENT, THE LENDERS AND THE BORROWER KNOWINGLY, VOLUNTARILY AND INTENTIONALLY
WAIVE ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY IN RESPECT OF ANY LITIGATION
ARISING OUT OF, UNDER OR IN CONNECTION WITH THE LOAN DOCUMENTS OR THE
TRANSACTIONS CONTEMPLATED THEREBY. 
FURTHER, THE BORROWER HEREBY CERTIFIES THAT NO REPRESENTATIVE OR AGENT
OF THE ADMINISTRATIVE AGENT OR THE LENDERS, OR COUNSEL TO THE ADMINISTRATIVE
AGENT OR THE LENDERS, HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE
ADMINISTRATIVE AGENT OR THE LENDERS WOULD NOT, IN THE EVENT OF SUCH LITIGATION,
SEEK TO ENFORCE THIS WAIVER OF RIGHT TO JURY TRIAL PROVISION.  THE BORROWER ACKNOWLEDGES THAT THE
ADMINISTRATIVE AGENT AND THE LENDERS HAVE BEEN INDUCED TO ENTER INTO THIS
AGREEMENT BY, INTER ALIA, THE
PROVISIONS OF THIS SECTION.

             11.20    Effective
Date

                           This Agreement shall
be effective at such time (the “Effective
Date”) as the Administrative Agent shall have received executed
counterparts hereof by the Borrower, the Administrative Agent and each Lender
and the conditions set forth in Sections 5.1 through 5.4 have been or
simultaneously will be satisfied, provided
that this Agreement shall not become effective or be binding on any party
hereto unless all of such conditions are satisfied not later than June 30,
2001.

             11.21    Notice of Commitment Termination

                           The Borrower hereby
gives notice that the Borrower wishes to terminate the commitments under the
Existing Credit Agreement, effective as of the Effective Date.  Each Lender that is a party to the Existing
Credit Agreement, by its execution hereof, waives any requirement of prior
notice set forth therein as a condition to the right of the Borrower to
terminate the commitments thereunder. 

             AS EVIDENCE of the
agreement by the parties hereto to the terms and conditions herein contained,
each such party has caused this 364 Day Credit Agreement to be executed on its
behalf.

	 	CVS CORPORATION
	 	 
	 	By:	 	 
	 	 	

	 
	 	Name:	 	 
	 	 	

	 
	 	Title:	 	 
	 	 	

	 

EXHIBIT
A

LIST OF COMMITMENTS, APPLICABLE
LENDING OFFICES

AND ADDRESSES FOR NOTICES

LIST
OF COMMITMENTS

	 	Lender	 	Commitment
  Amount	 
	 	

	 	

	 
	 	The Bank of New York	 	$	75,000,000	 
	 	Fleet National Bank	 	$	75,000,000	 
	 	Credit Suisse First
  Boston	 	$	60,000,000	 
	 	First Union National
  Bank	 	$	60,000,000	 
	 	ABN AMRO Bank N.V.	 	$	37,500,000	 
	 	Morgan Guaranty Trust
  Company of New York	 	$	37,500,000	 
	 	KeyBank National
  Association	 	$	37,500,000	 
	 	SunTrust Bank	 	$	37,500,000	 
	 	Firstar Bank, N.A.	 	$	37,500,000	 
	 	Mellon Bank, N.A.	 	$	25,000,000	 
	 	PNC Bank, National
  Association	 	$	25,000,000	 
	 	Comerica Bank	 	$	17,500,000	 
	 	Allfirst Bank	 	$	12,500,000	 
	 	Bank One, NA	 	$	12,500,000	 
	 	Citibank, N.A.	 	$	12,500,000	 
	 	Citizens Bank of Rhode
  Island	 	$	12,500,000	 
	 	Fifth Third Bank	 	$	12,500,000	 
	 	National City Bank	 	$	12,500,000	 
	 	Sovereign Bank	 	$	12,500,000	 
	 	Wachovia Bank, N.A.	 	$	12,500,000	 
	 	Wells Fargo Bank	 	$	10,000,000	 
	 	First Hawaiian Bank	 	$	7,500,000	 
	 	Regions Bank	 	$	7,500,000	 
	 	 	 	

	 
	 	TOTAL	 	$	650,000,000	 
							

LIST OF APPLICABLE LENDING OFFICES
AND ADDRESSES FOR NOTICES

THE BANK OF NEW YORK

 

Applicable
Lending Office for each Eurodollar Advance:

The Bank of New York

One Wall Street

New York, NY 10286

Applicable
Lending Office for all other Advances:

The Bank of New York

One Wall Street 

New York, NY 10286

Address for Notices:

The Bank of
New York

One Wall Street

22nd Floor

New York, NY  10286

Attention: Howard F. Bascom, 

Vice President

Telephone:  (212) 635–7894

Facsimile:  (212) 635–1481

 

FLEET NATIONAL BANK

Applicable Lending Office for each Eurodollar Advance:

Fleet
National Bank

One Hundred Federal Street

Boston, Massachusetts  02110

Applicable Lending Office for all other Advances:

Fleet
National Bank

One Hundred Federal Street

Boston, Massachusetts  02110

Attn:                 Thomas Bullard

Telephone:       (617) 434-3824

Facsimile:         (617) 434-6685

Address for Notices:

Fleet
National Bank

One Hundred Federal Street

Boston, Massachusetts  02110

Attention:        Vani Rattan

Telephone:       (617) 434-4137

Facsimile:         (617) 434-9933

CREDIT SUISSE FIRST
BOSTON

Applicable Lending Office for each Eurodollar Advance:

Credit Suisse
First Boston

11 Madison Avenue, 10th Floor

New York, New York  10010

Applicable Lending Office for all other Advances:

Credit Suisse
First Boston

11 Madison Avenue, 10th Floor

New York, New York  10010

Address for Notices:

Credit Suisse
First Boston

11 Madison Avenue, 10th Floor

New York, New York  10010

Attention:  Joel Glodowski

Telephone:  (212) 325–9171

Facsimile: (212) 325–8309

Address for Notices for Borrowings:

Credit Suisse
First Boston

5 World Trade Center

New York, New York 10048

Attention: Nilsa Ware

Telephone: (212) 322-5094

Facsimile: (212) 335-0593

 

FIRST UNION NATIONAL BANK

Applicable Lending Office for each Eurodollar Advance:

First Union
National Bank 

201 South College Street, CP17

Charlotte, North Carolina  28288-1183

Applicable Lending Office for all other Advances:

First Union
National Bank 

201 South College Street, CP17

Charlotte, North Carolina  28288-1183

Address for Notices:

First Union
National Bank

PA4843

Widener Building - 12th
Floor

One South Penn Square

Philadelphia, PA 19107

Attention:  Bill
Fox

Telephone:  (215) 786-8633

Facsimile:  (215) 786-2877

ABN AMRO BANK N.V.

Applicable
Lending Office for each Eurodollar Advance:

ABN Amro Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60804-1003

With a copy to:

ABN Amro Bank N.V.

55 East 52nd Street

New York, NY 10055

Attention: Carol Hom

Telephone: (212)  409-1469

Facsimile:  (212)  409-1662

Applicable Lending Office for all other Advances:

ABN
Amro Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60804-1003

Attention:  Sherry Manning

Telephone: (312)  992-5110

Facsimile:  (312)  992-5111

With
a copy to:

ABN Amro Bank N.V.

55 East 52nd Street

New York, NY 10055

Attention: Carol Hom

Telephone: (212)  409-1469

Facsimile:  (212)  409-1662

Address for Notices:

ABN Amro Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60804-1003

Attention:  Loan Administration

Telephone: (312) 992-5152

Facsimile:  (312)  992-5157

ALLFIRST BANK

Applicable Lending Office for each Eurodollar Advance :

Allfirst Bank

National Division, 18th Floor

25 S. Charles Street

Baltimore, Maryland  21201

Applicable Lending Office for all other Advances:

Allfirst Bank

National Division, 18th Floor

25 S. Charles Street

Baltimore, Maryland  21201

Attention:  C. Coney Burgess

Telephone: (410) 244-4203

Facsimile: (410) 545-2047

Address for Notices:

Allfirst Bank

National Division, 18th Floor

25 S. Charles Street

Baltimore, Maryland  21201

Attention:  C. Coney Burgess

Telephone: (410) 244-4203

Facsimile: (410) 545-2047

 

BANK ONE, NA (MAIN OFFICE CHICAGO)

Applicable Lending Office for each Eurodollar Advance :

Bank One, NA

One Bank Plaza

Suite IL1-0086

Chicago, IL  60670

Applicable Lending Office for all other Advances:

Bank One, NA

One Bank Plaza

Suite IL1-0086

Chicago, IL  60670

Attention:  Vincent Henchek

Telephone: (312) 732-9772

Facsimile: (312) 732-7101

Address for Notices:

Bank One, NA

One Bank Plaza

Suite IL1-0086

Chicago, IL  60670

Attention:
Vincent Henchek

Telephone: (312) 732-9772

Facsimile: (312) 732-7101

CITIBANK, N.A.

Applicable Lending Office for each Eurodollar Advance:

CitiBank, N.A.

2 Penns Way 2/2

New Castle, DE 19720

Attention:  Terry Jenkins

Telephone: (302) 894-6037

Facsimile:  (302) 894-6120

Applicable Lending Office for all other Advances:

CitiBank, N.A.

2 Penns Way 2/2

New Castle, DE 19720

Attention:  Terry Jenkins

Telephone: (302) 894-6037

Facsimile:  (302) 894-6120

Address for Notices:

CitiBank, N.A.

2 Penns Way 2/2

New Castle, DE 19720

Attention:  Terry Jenkins

Telephone: (302) 894-6037

Facsimile:  (302) 894-6120

 

CITIZENS BANK OF RHODE ISLAND

Applicable Lending Office
for each Eurodollar Advance:

Citizens Bank of Rhode
Island

Citizens Bank, Participation Group

One Citizens Drive

FDC-160

Riverside, RI 02914

Attention:  Carolyn Hawkins

Telephone: (401) 734-5296

Facsimile: (401) 734-4385

Applicable Lending Office for all other Advances:

Citizens Bank of Rhode
Island

Citizens Bank, Participation Group

One Citizens Drive

FDC-160

Riverside, RI 02914

Attention:  Carolyn Hawkins

Telephone: (401) 734-5296

Facsimile: (401) 734-4385

Address for Notices:

Citizens Bank of Rhode
Island

Citizens Bank, Participation Group

One Citizens Drive

FDC-160

Riverside, RI 02914

Attention:  Carolyn Hawkins

Telephone: (401) 734-5296

Facsimile: (401) 734-4385

COMERICA BANK

Applicable Lending Office for each Eurodollar Advance :

Comerica Bank

U.S. Banking East

500 Woodward Avenue, 9th Floor

Mail Code 3279

Detroit, Michigan  48275

Applicable Lending Office for all other Advances:

Comerica Bank

U.S. Banking East

500 Woodward Avenue, 9th Floor

Mail Code 3279

Detroit, Michigan  48275

Attention:  Jeffrey M. Lafferty

Telephone: (313) 222-6239

Facsimile: (313) 222-3330

Address for Notices:

Comerica Bank

One Detroit Center

500 Woodward Avenue

Mail Code 3280

Detroit, Michigan  48226

Attention:  Jeffrey M. Lafferty

Telephone: (313) 222-6239

Facsimile: (313) 222-3330

 

FIFTH THIRD BANK

Applicable Lending Office for each Eurodollar Advance:

Fifth Third Bank

38 Fountain Square Plaza

Mail Drop 109054

Cincinnati, OH  45263

Applicable Lending Office for all other Advances:

Fifth Third Bank

38 Fountain Square Plaza

Mail Drop 109054

Cincinnati, OH  45263

Attention:  Ann Pierson

Telephone: (513) 579-5295

Facsimile: (513) 579-5947

Address for Notices:

Fifth Third Bank

38 Fountain Square Plaza

Mail Drop 109054

Cincinnati, OH  45263

Attention:  Ann Pierson

Telephone: (513) 579-5295

Facsimile: (513) 579-5947

FIRST HAWAIIAN BANK

Applicable Lending Office for each Eurodollar Advance:

First Hawaiian Bank

999 Bishop Street, 11th Floor

Honolulu, Hawaii  96813

Applicable Lending Office for all other Advances:

First Hawaiian Bank

999 Bishop Street, 11th Floor

Honolulu, Hawaii  96813

Address for Notices:

First Hawaiian Bank

999 Bishop Street, 11th Floor

Honolulu, Hawaii  96813

Attention: Charles Jenkins

Telephone: (808) 525–6289

Facsimile: (808) 525–6372

 

FIRSTAR BANK

Applicable Lending Office for each Eurodollar Advance :

Firstar Bank

1350 Euclid Avenue, 8th Floor

Cleveland, OH 44115

Applicable Lending Office for all other Advances:

Firstar Bank

1350 Euclid Avenue, 8th Floor

Cleveland, OH  44115

Attention David Dannemiller

Telephone:  (216)  623-9233

Facsimile:  (216) 623-9208

Address for Notices:

Firstar Bank

1350 Euclid Avenue, 8th Floor

Cleveland, OH  44115

Attention:  David J. Dannemiller

Telephone(216) 623-9233

Facsimile:  (216) 623-9208

KEYBANK NATIONAL ASSOCIATION

Applicable Lending Office for each Eurodollar Advance:

KeyBank National Association

127 Public Square

OH-01-27-0606

Cleveland, Ohio  44114

Applicable Lending Office for all other Advances:

KeyBank National
Association

127 Public Square

OH-01-27-0606

Cleveland, Ohio  44114

Address for Notices:

KeyBank National
Association

127 Public Square

OH-01-27-0606

Cleveland, Ohio  44114

Attention: Marianne Meil

Telephone:  (216) 689-3443

Facsimile:   (216) 689-4981

 

MELLON BANK, N.A.

Applicable Lending Office for each Eurodollar Advance :

Mellon Bank, N.A.

Three Mellon Bank Center, Room 1203

Pittsburgh, PA  15259

Applicable Lending Office for all other Advances:

Mellon Bank, N.A.

Three Mellon Bank Center, Room 1203

Pittsburgh, PA  15259

Address for Notices:

Mellon Bank, N.A.

One Mellon Bank Center, Room 370

Pittsburgh, PA  15258

Attention: Louis Flori

Telephone: (412) 234-7298

Facsimile: (412) 236-1914

MORGAN GUARANTY TRUST COMPANY OF NEW YORK

Applicable Lending Office for each Eurodollar Advance:

Morgan Guaranty Trust
Company of New York

c/o J.P. Morgan Services, Inc.

Credit Operations 3/OPS 2

500 Stanton Christiana Road

Newark, DE 19713-2107

Attention:  Leslie Quezada

Telephone: (302) 634-4516

Facsimile: (302) 634-1852

Applicable Lending Office for all other Advances:

Morgan Guaranty Trust
Company of New York

c/o J.P. Morgan Services, Inc.

Credit Operations 3/OPS 2

500 Stanton Christiana Road

Newark, DE 19713-2107

Attention:  Leslie Quezada

Telephone: (302) 634-4516

Facsimile: (302) 634-1852

Address for Notices:

J.P. Morgan Chase &
Company

270 Park Avenue

New York, New York 10017

Attention:  Barry Bergman

Telephone: (212) 270-0203

Facsimile: (212) 270-5646

 

NATIONAL CITY BANK

Applicable Lending Office for each Eurodollar Advance :

National City Bank

One South Broad

13th Floor

Philadelphia, PA 19107

Attention: Thomas McDonnell

Telephone: 267-256-4041

Facsimile: 267-256-4001

Applicable Lending Office for all other Advances:

National City Bank

One South Broad

13th Floor

Philadelphia, PA 19107

Attention: Thomas McDonnell

Telephone: 267-256-4041

Facsimile: 267-256-4001

Address for Notices:

National City Bank

One South Broad

13th Floor

Philadelphia, PA 19107

Attention: Thomas McDonnell

Telephone: 267-256-4041

Facsimile: 267-256-4001

PNC BANK, NATIONAL ASSOCIATION

Applicable Lending Office for each Eurodollar Advance:

PNC Bank, National Association

Two Tower Center Boulevard

East Brunswick, New Jersey  08816

Applicable Lending Office for all other Advances:

PNC Bank, National Association

Two Tower Center Boulevard

East Brunswick, New Jersey  08816

Address for Notices:

PNC Bank, National Association

2 Tower Center 

East Brunswick, New Jersey  08816

Attention: Michael Richards

Telephone: (908) 220-3228

Facsimile: (908) 220-3231

 

REGIONS BANK

Applicable Lending Office for each Eurodollar Advance :

Regions Bank

417 North 20th Street

Birmingham, Alabama  35203

Applicable Lending Office for all other Advances:

Regions Bank

417 North 20th Street

Birmingham, Alabama  35203

Attention:  Kim Hassell

Telephone:  (205) 326-7038

Facsimile:  (205)  326-7759

Address for Notices:

Regions Bank

417 North 20th Street

Birmingham, Alabama  35203

Attention:  James Schmalz

Telephone:  (205) 326-7905

Facsimile:  (205)  326-7788

SOVEREIGN BANK

Applicable Lending Office for each Eurodollar Advance :

Sovereign Bank

15 Westminister Street

Providence, RI 02903

Applicable Lending Office for all other Advances:

Sovereign Bank

15 Westminister Street

Providence, RI 02903

Attention: Robert F. Camara

Telephone: (401) 752-1024

Facsimile: (401) 752-1041

Address for Notices:

Sovereign Bank

15 Westminister Street

Providence, RI 02903

Attention: Robert F. Camara

Telephone: (401) 752-1024

Facsimile: (401) 752-1041

 

SUNTRUST BANK

Applicable Lending Office for each Eurodollar Advance :

SunTrust Bank

25 Park Place, 21st Floor, Center 1927

Atlanta, Georgia  30303

Applicable Lending Office for all other Advances:

SunTrust Bank

25 Park Place, 21st Floor, Center 1927

Atlanta, Georgia  30303

Address for Notices:

SunTrust Bank

711 Fifth Avenue - 16th Floor

New York, New York  10022

Attention:  Keith Hubbard

Telephone: (212) 583–2612

Facsimile: (212) 371–9386

WACHOVIA BANK, N.A.

Applicable Lending Office for each Eurodollar Advance :

Wachovia Bank, N.A.

191 Peachtree Street NE

MC GA 370

Atlanta, Georgia  30303

Applicable Lending Office for all other Advances:

Wachovia Bank, N.A.

191 Peachtree Street NE

MC GA 370

Atlanta, Georgia  30303

Attention: Paige Mesaros

Telephone:  (404) 332-1322

Facsimile:  (404)  332-4136

Address for Notices:

Wachovia Bank, N.A.

191 Peachtree Street NE

MC GA 370

Atlanta, Georgia  30303

Attention: Paige Mesaros

Telephone:  (404) 332-1322

Facsimile:  (404)  332-4136

 

WELLS FARGO BANK, N.A.

Applicable Lending Office for each Eurodollar Advance :

Wells Fargo Bank, N.A.

201 Third Street

MAC 0187-081

San Francisco, CA 94103

Attention: Ginnie Padgett

Telephone:  (415) 477-5374

Facsimile:  (415)  979-0675

Applicable Lending Office for all other Advances:

Wells Fargo Bank, N.A.

201 Third Street

MAC 0187-081

San Francisco, CA 94103

Attention: Ginnie Padgett

Telephone:  (415) 477-5374

Facsimile:  (415)  979-0675

Address for Notices:

Wells Fargo Bank, N.A.

201 Third Street

MAC 0187-081

San Francisco, CA 94103

Attention: Ginnie Padgett

Telephone:  (415) 477-5374

Facsimile:  (415)  979-0675

EXHIBIT B-1

FORM OF REVOLVING CREDIT NOTE

	$______________.	________, 2001
	 	New York, New York

 

                           FOR
VALUE RECEIVED, the undersigned, CVS CORPORATION, a Delaware corporation (the
"Borrower"), hereby promises to pay to the order of
_________________________ (the "Lender") the lesser of
$_________________ or the outstanding principal balance of the Lender's Revolving
Credit Loans, together with interest thereon, at the rate or rates, in the
amounts and at the time or times set forth in the 364 Day Credit Agreement (as
the same may be amended, supplemented or otherwise modified from time to time,
the "Credit Agreement"), dated as of May 21, 2001, by and
among the Borrower, the Lenders party thereto, ­Credit Suisse First Boston and
First Union National Bank, as Co-Documentation Agents, and Fleet National Bank,
as the administrative agent (in such capacity, the "Administrative
Agent"), in each case at the office of the Administrative Agent
located at One Hundred Federal Street, Boston, Massachusetts, or at such other
place as the Administrative Agent may specify from time to time, in lawful
money of the United States of America in immediately available funds.

                           Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

                           The
Revolving Credit Loans evidenced by this Revolving Credit Note are prepayable
in the amounts, and on the dates, set forth in the Credit Agreement.  This Revolving Credit Note is one of the
Revolving Credit Notes under the Credit Agreement, and is subject to, and shall
be construed in accordance with, the provisions thereof, and is entitled to the
benefits set forth in the Loan Documents.

                           The
Lender is hereby authorized to record on the schedule annexed hereto, and any
continuation sheets which the Lender may attach thereto (a) the date and amount
of each Revolving Credit Loan made by the Lender, (b) the character of each
Revolving Credit Loan as one or more ABR Advances, one or more Eurodollar
Advances, or a combination thereof, (c) the Interest Period and Eurodollar Rate
applicable to each Eurodollar Advance, and (d) the date and amount of each
Conversion of, and each payment or prepayment of principal of, each Revolving
Credit Loan.  The failure to so record
or any error in so recording shall not affect the obligation of the Borrower to
repay the Revolving Credit Loans, together with interest thereon, as provided
in the Credit Agreement.

                           Except
as specifically otherwise provided in the Credit Agreement, the Borrower hereby
waives presentment, demand, notice of dishonor, protest, notice of protest and
all other demands, protests and notices in connection with the execution,
delivery, performance, collection and enforcement of this Revolving Credit
Note. 

                           This
Revolving Credit Note is being delivered in, is intended to be performed in,
shall be construed and interpreted in accordance with, and be governed by the
laws of, the State of New York.

                           This
Revolving Credit Note may only be amended by an instrument in writing executed
pursuant to the provisions of Section 11.1 of the Credit Agreement.

	CVS
  CORPORATION	 
	 	 	 
	By:	 	 
	 	

	 
	Name:	 	 
	 	

	 
	Title:	 	 
	 	

	 

SCHEDULE TO REVOLVING CREDIT NOTE

	Date	 	Amount of Revolving Credit Loan	 	Type of Advance (Eurodollar or ABR Advance)	 	Interest Period (If Eurodollar Advance)	 	Eurodollar Rate (If Eurodollar Advance)	 	Amount of Conversion or Principal Payment or
  Prepayment	 	Notation Made by	 
	

	 	

	 	

	 	

	 	

	 	

	 	

	 

EXHIBIT B-2

FORM OF COMPETITIVE BID NOTE

	 	_______, 2001
	 	New York, New York

             FOR VALUE RECEIVED, the
undersigned, CVS CORPORATION, a Delaware corporation (the "Borrower"),
hereby promises to pay to the order of _________________________ (the "Lender")
the  outstanding principal balance of
the Lender's Competitive Bid Loans, together with the interest due thereon, in
the amounts, at the rate or rates, and at the time or times set forth in the
364 Day Credit Agreement (as the same may be amended, supplemented or otherwise
modified from time to time, the "Credit Agreement"), dated as
of May 21, 2001, by and among the Borrower, the Lenders party thereto, Credit Suisse First Boston and First
Union National Bank, as Co-Documentation Agents, and Fleet
National Bank, as administrative agent (in such capacity, the "Administrative
Agent"), in each case at the office of the Administrative Agent
located at One Hundred Federal Street, Boston, Massachusetts, or at such other
place as the Administrative Agent may specify from time to time, in lawful
money of the United States of America in immediately available funds.

             Capitalized terms used herein that
are not otherwise defined herein shall have the respective meanings ascribed
thereto in the Credit Agreement.

             This Competitive Bid Note is one of
the Competitive Bid Notes under the Credit Agreement, and is subject to, and
shall be construed in accordance with, the provisions thereof, and is entitled
to the benefits set forth in the Loan Documents.

             The Lender is hereby authorized to
record on the schedule annexed hereto, and any continuation sheets which the
Lender may attach thereto (a) the date and amount of each Competitive Bid Loan
made by the Lender, (b) the Competitive Interest Period and the Competitive Bid
Rate applicable to each such Competitive Bid Loan, and (c) the date and amount
of each payment or prepayment of principal of each Competitive Bid Loan.  The failure to so record or any error in so
recording shall not affect the obligation of the Borrower to repay the
Competitive Bid Loans, together with interest thereon, as provided in the
Credit Agreement.

             Except as specifically otherwise
provided in the Credit Agreement, the Borrower hereby waives presentment,
demand, notice of dishonor, protest, notice of protest and all other demands,
protests and notices in connection with the execution, delivery, performance,
collection and enforcement of this Competitive Bid Note.

             This Competitive Bid Note is being
delivered in, is intended to be performed in, shall be construed and
interpreted in accordance with, and be governed by the laws of, the State of
New York.

             This Competitive Bid Note may only
be amended by an instrument in writing executed pursuant to the provisions of
Section 11.1 of the Credit Agreement.

	 	CVS CORPORATION	 
	 	 	 
	 	By:	 
	 	 	

	 	Name:	 
	 	 	

	 	Title:	 
	 	 	

				

SCHEDULE TO COMPETITIVE BID NOTE

	Date	 	Amount
  of Competitive Bid Loan	 	CompetitiveInterest Period	 	Competitive
  Bid Rate	 	Amount
  ofPrincipalPayment orPrepayment	 	NotationMade by	 
	

	 	

	 	

	 	

	 	

	 	

	 

EXHIBIT C

FORM OF
BORROWING REQUEST

[Date]

Fleet National Bank, as Administrative
Agent

One Hundred Federal Street

Boston, Massachusetts 02110

Attention:                                                ,

                                                                   

 

	Re:	364 Day Credit
  Agreement, dated as of May 21, 2001, by and among CVS Corporation, the
  Lenders party thereto, Credit Suisse First Boston and First Union National
  Bank, as Co-Documentation Agents, and Fleet National Bank, as Administrative
  Agent (as amended, supplemented or otherwise modified from time to time, the
  "Credit Agreement")

             Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

             Pursuant
to Section 2.3 of the Credit Agreement, the Borrower hereby gives noticeof its
intention to borrow Revolving Credit Loans in the aggregate sum
of $____________ on ____________, which borrowing shall consist of the
following type or types of Advances:

	Type of

  Advance(s)
(ABR or Eurodollar)	Amount	Interest Period
	

	

	

 

             Please transfer the proceeds of the
Revolving Credit Loans to: [specify instructions].

             The
Borrower hereby certifies that on the Borrowing Date set forth above, and after
giving effect to the Loans requested hereby:

              (a) There shall exist no Default or Event of Default.

              (b) The representations and warranties contained in the Credit
Agreement shall be true and correct, except those which are expressly specified
to be made as of an earlier date.

             IN EVIDENCE of the foregoing, the undersigned has caused
this Borrowing Request to be duly executed on its behalf.

	CVS CORPORATION
	 
	By:	 
	 	

	Name:	 
	 	

	Title:	 
	 	

 

EXHIBIT D

FORM OF OPINION OF

COUNSEL TO THE BORROWER

 

________,
2001

The Lenders, the Co-Documentation Agents, and

the Administrative Agent Referred
to Below

c/o Fleet National Bank,

as Administrative Agent

One Hundred Federal Street

Boston, Massachusetts  02110

Ladies and Gentlemen:

             I am general counsel of CVS
Corporation, a Delaware corporation (the "Borrower"), and have
acted as such in connection with the 364 Day Credit Agreement by and among the
Borrower, the lenders party thereto, Credit
Suisse First Boston and First Union National Bank, as Co-Documentation Agents, and
Fleet National Bank, as Administrative Agent, dated as of  May 21, 2001 (the "Credit Agreement").  Capitalized terms not otherwise defined
herein shall have the meanings assigned to them in the Credit Agreement.

             I have examined originals or
copies, certified or otherwise identified to my satisfaction, of such
documents, corporate records, certificates of public officials and other
instruments and have conducted such other investigations of fact and law as I
have deemed necessary or advisable for purposes of this opinion.  In rendering my opinions set forth below, I
have assumed (i) the due authorization, execution and delivery by all parties
thereto (other than the Borrower) of the Credit Agreement, (ii) the
authenticity of all documents submitted to me as originals and (iii) the
conformity to original documents of all documents submitted to me as copies.

             Based upon the foregoing, I am of
the opinion that: 

The Borrower is a corporation duly incorporated, validly existing and in good
standing under the laws of the State of Delaware.  The Borrower has all requisite corporate power and authority to
own its Property and to carry on its business as now conducted.

The Borrower is qualified to do
business as a foreign corporation and is in good standing in each jurisdiction in
which it owns or leases real Property or in which the nature of its business
requires it to be so qualified (except those jurisdictions where the failure to
be so qualified or to be in good standing could not reasonably be expected to
have a Material Adverse effect).

The execution, delivery and
performance by the Borrower of the Credit Agreement and the Notes are within
the Borrower's corporate powers and have been duly authorized by all necessary
corporate action on the part of the Borrower.

The execution, delivery and
performance by the Borrower of the Credit Agreement and Notes do not require
any action or approval on the part of the shareholders of the Borrower or any
action by or in respect of, or filing with, any governmental body, agency or
official under United States federal law or the Delaware General Corporation
Law, and do not contravene, or constitute a default under, any provision of (i)
United States federal law or the Delaware General Corporation Law, (ii) the
Certificate of Incorporation or bylaws of the Borrower or (iii) any existing
material mortgage, material indenture, material contract or material agreement,
in each case binding on the Borrower or any Subsidiary or affecting the
Property of the Borrower or any Subsidiary.

The Credit Agreement and the Notes
delivered by the Borrower on or prior to the date hereof have been duly
executed and delivered by the Borrower and each constitutes the valid and
binding agreement of the Borrower, in each case enforceable in accordance with
their respective terms, subject to applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws from time to time in effect
affecting the enforcement of creditors' rights generally and to general
principles of equity.

The Borrower is not an "investment
company" (as such term is defined in the United States Investment Company
Act of 1940, as amended).

To the best of my knowledge, there
are no actions, suits, arbitration proceedings or claims (whether purportedly
on behalf of the Borrower, any Subsidiary or otherwise) pending or threatened
against the Borrower or any Subsidiary or any of their respective Properties,
or maintained by the Borrower or any Subsidiary, at law or in equity, before
any Governmental Authority which could reasonably be expected to have a
Material Adverse effect.  To the best of
my knowledge, there are no proceedings pending or threatened against the
Borrower or any Subsidiary (a) which call into question the validity or
enforceability of, or otherwise seek to invalidate, any Loan Document or (b)
which could reasonably be expected to, individually or in the aggregate,
materially and adversely affect any of the transactions contemplated by any
Loan Document.

To the best of my knowledge, the
Borrower is not in default under any agreement to which it is a party or by
which it or any of its Property is bound the effect of which could reasonably
be expected to have a Material Adverse effect.

To the best of my knowledge, no
provision of any judgment, decree or order, in each case binding on the
Borrower or any Subsidiary or affecting the Property of the Borrower or any
Subsidiary conflicts with, or requires any consent which has not already been
obtained under, or would in any way prevent the execution, delivery or
performance by the Borrower of the terms of, any Loan Document.

             The foregoing opinion is subject to
the following qualifications:

             I express no opinion as to the
effect (if any) of any law of any jurisdiction (except the Commonwealth of
Massachusetts) in which any Lender is located which may limit the rate of
interest that such Lender may charge or collect.

             I express no opinion as to
provisions in the Credit Agreement which purport to create rights of set-off in
favor of participants or which provide for set-off to be made otherwise than in
accordance with applicable laws.

             I note that public policy
considerations or court decisions may limit the rights of any party to obtain
indemnification under the Credit Agreement.

             I am a member of the bar of the
Commonwealth of Massachusetts and the foregoing opinion is limited to the laws
of the Commonwealth of Massachusetts, the federal law of the United States of
America and the Delaware General Corporation Law.  For purposes of paragraph 5 of this opinion, I have assumed that,
with your permission and without any research or investigation, the laws of the
State of New York are identical to the law of the Commonwealth of
Massachusetts.

             This opinion is rendered solely to
you in connection with the above matter. 
This opinion may not be relied upon by you for any other purpose or
relied upon by any other person without my prior written consent, except that
any person that becomes a Lender in accordance with the provisions of the
Credit Agreement may rely upon this opinion as if it were specifically
addressed and delivered to such person on the date hereof.

Very truly
yours,

EXHIBIT E

FORM OF
ASSIGNMENT AND ACCEPTANCE AGREEMENT

             Assignment
and Acceptance Agreement (as the same may be amended, supplemented or otherwise
modified from time to time, this "Agreement"), dated as of
____________, by and between ____________ (the "Assignor") and
____________ (the "Assignee").

RECITALS

             I.           Reference is made to the 364 Day
Credit Agreement, dated as of May 21, 2001, by and among CVS Corporation, the Lenders
party thereto, Credit Suisse First Boston and First Union National Bank, as
Co-Documentation Agents, and Fleet National Bank, as Administrative Agent (as
the same may be amended, supplemented or otherwise modified from time to time,
the "Credit Agreement").

             II.          The Assignor wishes to assign and
delegate to the Assignee, and the Assignee wishes to purchase and assume from
the Assignor, some or all of the Assignor's rights and obligations under the
Loan Documents upon the terms, and subject to the conditions, contained herein.

             Therefore,
in consideration of the Recitals, the terms and conditions herein contained and
other good and valuable consideration, the receipt and sufficiency of which are
hereby acknowledged, the Assignor and the Assignee hereby agree as follows:

             1.          Defined Terms

                           (a)         Each capitalized term used herein that
is not defined herein shall have the meaning ascribed thereto in the Credit
Agreement.

                           (b)        When used in this Agreement, each of the
following capitalized terms shall have the meaning ascribed thereto unless the
context hereof otherwise specifically requires:

                           "Assigned
Percentage": _____%.

                           "Assignment
Effective Date": as defined in Section 5.

                           "Assignor
Rights and Obligations": as of the Assignment Effective Date, the Assigned
Percentage of all of the Assignor's rights and obligations under the Loan
Documents, including, without limitation, such percentage of its Loans, its
Commitment and its Notes.

                           "Purchase
Price": an amount equal to the Assigned Percentage of the aggregate
unpaid principal amount of the Assignor's Loans as of the Assignment Effective
Date.

             2.          Assignment;
Payment by Assignee

                           The
Assignor hereby assigns and delegates to the Assignee, and the Assignee hereby
purchases and assumes from the Assignor, without recourse or, except as
otherwise specifically provided herein, representation or warranty, the
Assignor Rights and Obligations.  The
Assignee agrees to pay to the Assignor the Purchase Price on the Assignment
Effective Date. 

             3.          Representations and Warranties

                           (a)         Assignor.         The Assignor hereby represents and warrants to the Assignee
as follows:

                                        (i)  the aggregate unpaid principal amount of its
Revolving Credit Loans is $___________, and such Revolving Credit Loans are
composed of the following ABR Advances and
Eurodollar Advances: (1) ABR Advances: $__________, and (2) Eurodollar
Advances: (A) $__________ for [length of Interest Period], the last day
of which is _______________, (B) $__________ for [length of Interest Period],
the last day of which is _______________,

                                        (ii)
the aggregate unpaid principal amount of its Competitive Bid Loans is
$_________, and such Competitive Bid Loans are composed of the following: (A)
$__________ for [length of Competitive Interest Period], the last day of which
is _______________, (B) $__________ for [length of Competitive Interest Period],
the last day of which is _______________, and

                                        (iii)
its Commitment Amount is $_______.

                           The
Assignor makes no representation or warranty with respect to the validity or
enforceability of the Credit Agreement or any other Loan Document or the
financial condition or creditworthiness of the Borrower.

                           (b)        Assignee.         The Assignee hereby represents and warrants to the Assignor
that (i) it is legally authorized to enter into this Agreement, (ii) it is an
"accredited investor" within the meaning of Regulation D, as amended,
promulgated under the Securities Act of 1933, as amended, [and] (iii) it has,
independently and without reliance upon the Assignor or the Administrative Agent,
and based on such documents and information as it has deemed appropriate, made
its own evaluation of, and investigation into, the business, operations,
Property, financial and other condition and creditworthiness of the Borrower
and made its own decision to enter into this Agreement [, and (iv) it is a Lender or a
subsidiary or Affiliate of a Lender]. 

             4.          Covenants of the Assignee

                           The
Assignee hereby covenants and agrees that it will, independently and without
reliance upon the Assignor or Administrative Agent, and based on such documents
and information as it shall deem appropriate at the time, continue to make its
own credit analysis, evaluations and decisions in taking or not taking action
under the 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 Borrower.  The Assignee further agrees to provide to the  Administrative Agent any forms required by
Section 3.10 of the Credit Agreement and any administrative questionnaire
reasonably required by the Administrative Agent.

             5.          Effectiveness of this Agreement

                           (a)         Section 2 of this Agreement shall not
become effective until such date (the "Assignment Effective Date")
as all of the following conditions shall have been fulfilled:

                                        (i)
The Administrative Agent shall have executed a copy of this Agreement and shall
have received duly executed counterparts hereof by each of the Assignor, the
Assignee and, if required by the Credit Agreement, the Borrower;

                                        (ii)
The Assignor shall have delivered to the Assignee (with a copy to the
Administrative Agent) a duly completed letter in the form of Annex A hereto;

                                        (iii)
The Assignee shall have confirmed in writing to the Assignor (with a copy to
the Administrative Agent) that, on or before the Assignment Effective Date, it
shall have transferred (in accordance with Section 6 hereof) the Purchase Price
to the Assignor.  At the time of such confirmation,
the Assignee shall be deemed to have remade the representations and warranties
contained in Section 3(b)(i), (ii) [and] (iii) [, and (iv)] hereof on and as
of the date of such confirmation;

                                        (iv)       The Administrative Agent shall have
received, for its own account, the assignment fee required to be paid pursuant
to Section 11.7 of the Credit Agreement; and

                                        (v)        The Administrative Agent shall have
received any forms required by Section 3.10 of the Credit Agreement and any
administrative questionnaire reasonably required by the Administrative Agent.

                           (b)        Upon the Assignment Effective Date, (i)
the Administrative Agent shall record the assignment contemplated hereby, (ii)
the Assignee shall be a Lender, and (iii) the Assignor, to the extent of the
assignment provided for herein, shall be released from its obligations under
the Loan Documents.

                           (c)         The Assignee hereby appoints and
authorizes the Administrative Agent to take such action, on and after the
Assignment Effective Date, as agent on its behalf and to exercise such powers
under the Loan Documents as are delegated to the Administrative Agent by the
terms thereof, together with such powers as are reasonably incidental thereto.

                           (d)        From and after the Assignment Effective
Date, the Administrative Agent shall make all payments in respect of the
interest assigned hereby (including payments of principal, interest, fees and
other amounts) to the Assignee.  The
Assignor and the Assignee shall make all appropriate adjustments with respect
to amounts under the Loan Documents which accrued prior to the Assignment
Effective Date, and which were paid thereafter, directly between themselves.

             6.          Payment
Instructions

                           All
payments to be made to the Assignor by the Assignee hereunder shall be made by
wire transfer of immediately available funds to the Assignor at: [Wire
Instructions]. 

             7.          Notices

                           All
notices, requests and demands to or upon the Assignee in connection with this
Agreement and the Loan Documents are to be sent or delivered to the place set
forth adjacent to its name on the signature page(s) hereof.

             8.          Miscellaneous

                           (a)         For purposes of this Agreement, all
calculations and determinations with respect to the outstanding principal
amount of the Assignor's Loans, the Assignor's Commitment Amount and all other
similar calculations and determinations, shall be made and shall be deemed to
be made as of the commencement of business on the date of such calculation or
determination, as the case may be.

                           (b)        Section headings have been inserted
herein for convenience only and shall not be construed to be a part hereof.

                           (c)         This Agreement embodies the entire
agreement and understanding among the parties hereto with respect to the
subject matter hereof and supersedes all other prior arrangements and
understandings among the parties hereto with respect to the subject matter
hereof.

                           (d)        This Agreement may be executed in any
number of separate counterparts and all of said counterparts taken together
shall be deemed to constitute one and the same agreement.  It shall not be necessary in making proof of
this Agreement to produce or account for more than one counterpart signed by
the party to be charged.

                           (e)         Every provision of this Agreement is
intended to be severable, and if any term or provision hereof shall be invalid,
illegal or unenforceable for any reason, the validity, legality and
enforceability of the remaining provisions hereof shall not be affected or
impaired thereby, and any invalidity, illegality or unenforceability in any
jurisdiction shall not affect the validity, legality or enforceability of any
such term or provision in any other jurisdiction.

                           (f)         This Agreement shall be binding upon
and inure to the benefit of the Assignor and the Assignee and their respective
successors and permitted assigns, except that neither party may assign or
transfer any of its rights or obligations hereunder (i) without the prior
written consent of the other party, and (ii) in contravention of the Credit
Agreement.

                           (g)        This Agreement and the rights and
obligations of the parties hereunder shall be governed by, and construed and
interpreted in accordance with, the laws of the State of New York.

             AS
EVIDENCE of the agreement by the parties hereto to the terms and conditions
herein contained, each such party has caused this Agreement to be duly executed
on its behalf.

	 	 	 	[NAME OF ASSIGNOR]
	 	 	 	 
	 	 	By	 
	 	 	 	

	 	 	Name:	 
	 	 	 	

	 	 	Title:	 
	 	 	 	

	 	 	 	 
	Address for notices:	 	 	[NAME OF ASSIGNEE]
	 	 	 	 
	 	 	 	 
	 	 	By:	 
	

	 	 	

	 	 	Name:	 
	

	 	 	

	 	 	Title:	 
	

	 	 	

	 	 	 	 

Attention:
_________

Telephone:_____________

Facsimile:_____________

Consented
to and Accepted this __ day of __________, ____

FLEET
NATIONAL BANK, as Administrative Agent

 

	By:	 
	 	

	Name:	 
	 	

	Title:	 
	 	

 

[Consented to this __ day
of __________, ____ 

 

	CVS CORPORATION	 
	 	 	 
	By:	 	 
	 	

	 
	Name:	 	 
	 	

	 
	Title:	 	 
	 	

	]

CVS CORPORATION 

364 DAY CREDIT AGREEMENT

ANNEX A TO
ASSIGNMENT AND

ACCEPTANCE
AGREEMENT

FORM OF
LETTER

[Assignment
Effective Date]

 

[Name and
Address of Assignee]

Attention:                                                ,

                                                                   

 

	Re:	Assignment
  and Acceptance Agreement, dated as of _______________, by and between
  _______________ and _______________ (as the same may be amended, supplemented
  or otherwise modified from time to time, the "Agreement")        

 

Ladies and Gentlemen:

             This
letter is being delivered pursuant to Section 5(a)(ii) of the Agreement.  Capitalized terms used herein that are not
otherwise defined herein shall have the respective meanings ascribed thereto in
the Agreement.

             The
Assignor hereby represents and warrants to the Assignee as follows:

             (i) the
aggregate unpaid principal amount of its Revolving Credit Loans is
$___________, and such Revolving Credit Loans are composed of the following ABR
Advances and Eurodollar Advances: (1) ABR Advances: $__________, and (2)
Eurodollar Advances: (A) $__________ for [length of Interest Period],
the last day of which is _______________, (B) $__________ for [length of
Interest Period], the last day of which is _______________,

             (ii) the
aggregate unpaid principal amount of its Competitive Bid Loans is $_________,
and such Competitive Bid Loans are composed of the following: (A) $__________
for [length
of Competitive Interest Period], the last day of which is
_______________, (B) $__________ for [length of Competitive Interest Period],
the last day of which is _______________,

             (iii) its
Commitment Amount is $_______, and

             (iv) it
is the legal and beneficial owner of the Assignor Rights and Obligations free
and clear of any adverse claim created by it.

	 	 	 	 	Very truly
  yours,
	 	 	 	 	 
	 	 	 	 	[NAME OF
  ASSIGNOR]
	 	 	 	 	 
	 	 	 	 	By:	 
	 	 	 	 	 	

	 	 	 	 	Name:	 
	 	 	 	 	 	

	 	 	 	 	Title:	 
	 	 	 	 	 	

cc: [Name and title

     of Administrative Agent contact]

CVS
CORPORATION 

364 DAY CREDIT AGREEMENT

EXHIBIT F

FORM OF
COMPETITIVE BID REQUEST

 

[Date]

Fleet
National Bank, as Administrative Agent

One Hundred
Federal Street

Boston,
Massachusetts 02110

Attention:                                                ,

                                                                   

 

	Re:	364 Day
  Credit Agreement, dated as of May 21, 2001, by and among CVS Corporation, the
  Lenders party thereto, Credit Suisse First Boston and First Union National
  Bank, as Co-Documentation Agents, and Fleet National Bank, as Administrative
  Agent (as amended, supplemented or otherwise modified from time to time, the
  "Credit Agreement")

             Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

             Pursuant
to Section 2.4 of the Credit Agreement, the Borrower hereby gives notice of its
request to borrow Competitive Bid Loans in the aggregate sum of $____________
on ____________, which borrowing shall consist of the following:

	Amount	Competitive Interest Period
	

	

             Please
transfer the proceeds of the Competitive Bid Loans to: [specify instructions].

             The
Borrower hereby certifies that on the Borrowing Date set forth above, and after
giving effect to the Competitive Bid Loans requested hereby:

             (a) There
shall exist no Default or Event of Default.

             (b) The
representations and warranties contained in the Credit Agreement shall be true
and correct, except those which are expressly specified to be made as of an
earlier date.

                CVS CORPORATION 

364 DAY CREDIT AGREEMENT

             IN
EVIDENCE of the foregoing, the undersigned has caused this Competitive Bid
Request to be duly executed on its behalf.

	CVS
  CORPORATION
	 
	By:	 
	 	

	Name:	 
	 	

	Title:	 
	 	

CVS
CORPORATION 

364 DAY CREDIT AGREEMENT

EXHIBIT G

FORM OF
INVITATION TO BID

 

[Date]

To the Lenders party

from time to time to the

captioned Credit Agreement

	Re:	364 Day
  Credit Agreement, dated as of May 21, 2001, by and among CVS Corporation, the
  Lenders party thereto, Credit Suisse First Boston and First Union National
  Bank, as Co-Documentation Agents, and Fleet National Bank, as Administrative
  Agent (as amended, supplemented or otherwise modified from time to time,
  "Credit Agreement")

                           Capitalized terms used herein that are not
otherwise defined herein shall have the respective meanings ascribed thereto in
the Credit Agreement.

                           Pursuant to a Competitive Bid Request, the
Borrower gave notice of its request to borrow Competitive Bid Loans in the
aggregate sum of $____________ on ____________, which borrowing would consist
of the following type or types of Competitive Advances:

	Amount	CompetitiveInterest Period
	

	

             The Lenders are hereby invited to bid, pursuant to the
terms and conditions of the Credit Agreement, on such requested Competitive Bid
Loans.

	FLEET NATIONAL BANK,

  as Administrative Agent
	 	 
	By:	 
	 	

	Name:	 
	 	

	Title:	 
	 	

 

 

CVS
CORPORATION 

364 DAY CREDIT AGREEMENT

EXHIBIT H

FORM OF
COMPETITIVE BID

[Date]

Fleet
National Bank, as Administrative Agent

One Hundred Federal Street

Boston, Massachusetts 02110

Attention:                                                ,

                                                                   

	Re:	364 Day
  Credit Agreement, dated as ofMay 21, 2001, by and among CVS
  Corporation, the Lenders party thereto, Credit Suisse First Boston and First
  Union National Bank, as Co-Documentation Agents, and Fleet National Bank, as
  Administrative Agent (as amended, supplemented or otherwise modified from
  time to time, the "Credit Agreement")

                           Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

                           In
response to a Competitive Bid Request, the undersigned Lender hereby offers to
make Competitive Loan(s) in the aggregate sum of $____________ on ____________:

	Amount	Competitive Interest Period	Competitive Bid Rate
	

	

	

	 	 	 
	 	 	[fixed
  rate]

 

	[LENDER]
	 
	By:	 
	 	

	Name:	 
	 	

	Title:	 
	 	

 

CVS
CORPORATION 

364 DAY CREDIT AGREEMENT

EXHIBIT I

FORM OF
COMPETITIVE BID ACCEPT/REJECT LETTER

 

[Date]

Fleet
National Bank, as Administrative Agent

One Hundred Federal Street

Boston, Massachusetts 02110

Attention:                                                ,

                                                                   

	Re:	364 Day
  Credit Agreement, dated as of May 21, 2001, by and among CVS Corporation, the
  Lenders party thereto, Credit Suisse First Boston and First Union National
  Bank, as Co-Documentation Agents, and Fleet National Bank, as Administrative
  Agent (as amended, supplemented or otherwise modified from time to time, the
  "Credit Agreement")

             Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

             Pursuant
to Section 2.4(d) of the Credit Agreement, the Borrower hereby gives notice of
its acceptance of the following Competitive Bids:

                                                                                                                                                                                          

                                                                                                                                                                                          ,

and its rejection of all other Competitive Bids, in each
case made pursuant to the Competitive Bid Request, dated _______________.

             IN
EVIDENCE of the foregoing, the undersigned has caused this Competitive Bid
Accept/Reject Letter to be duly executed on its behalf.

	CVS
  CORPORATION
	 
	By:	 
	 	

	Name:	 
	 	

	Title:Prepared by MerrillDirect

FIVE
YEAR CREDIT AGREEMENT

by
and among

CVS
CORPORATION,

THE
LENDERS PARTY HERETO,

CREDIT
SUISSE FIRST BOSTON

and

FIRST UNION NATIONAL BANK,

as Co-Documentation Agents,

and

THE
BANK OF NEW YORK,

as Administrative Agent

Dated
as of May 21, 2001

BNY
CAPITAL MARKETS, INC.

and

FLEET SECURITIES, INC.,

as Lead Arrangers and Book Runners

TABLE
OF CONTENTS

	1.
  DEFINITIONS AND PRINCIPLES OF CONSTRUCTION
	 	1.1 Definitions
	 	1.2 Principles of
  Construction
	 	 
	2. AMOUNT AND TERMS OF LOANS
	 	2.1
  Revolving Credit Loans
	 	2.2 Swing Line
  Loans
	 	2.3
  Notice of Borrowing Revolving Credit Loans and Swing Line Loans
	 	2.4 Competitive Bid
  Loans and Procedure
	 	2.5 Use of
  Proceeds
	 	2.6 Termination
  or Reduction of Commitments
	 	2.7
  Prepayments of Loans
	 	2.8 Letter of Credit
  Sub-facility
	 	2.9 Letter of Credit
  Participation
	 	2.10
  Absolute Obligation with respect to Letter of Credit Payments
	 	 
	3.
  PROCEEDS, PAYMENTS, CONVERSIONS, INTEREST, YIELD PROTECTION AND FEES
	 	3.1
  Disbursement of the Proceeds of the Loans
	 	3.2 Payments
	 	3.3 Conversions; Other
  Matters
	 	3.4 Interest Rates and
  Payment Dates
	 	3.5
  Indemnification for Loss
	 	3.6 Reimbursement
  for Costs, Etc.
	 	3.7
  Illegality of Funding
	 	3.8 Option to
  Fund; Substituted Interest Rate
	 	3.9
  Certificates of Payment and Reimbursement
	 	3.10
  Taxes; Net Payments
	 	3.11 Fees
	 	3.12 Letter of
  Credit Participation Fee
	 	3.13
  Replacement of Lender
	 	 
	4. REPRESENTATIONS AND
  WARRANTIES
	 	4.1
  Existence and Power
	 	4.2 Authority
	 	4.3 Binding
  Agreement
	 	4.4 Litigation
	 	4.5 No Conflicting Agreements
	 	4.6 Taxes
	 	4.7 Compliance
  with Applicable Laws; Filings
	 	4.8
  Governmental Regulations
	 	4.9
  Federal Reserve Regulations; Use of Proceeds
	 	4.10
  No Misrepresentation
	 	4.11 Plans
	 	4.12
  Environmental Matters
	 	4.13
  Financial Statements
	 	 
	5.
  CONDITIONS OF LENDING - FIRST LOANS AND LETTERS OF CREDIT ON THE FIRST
  BORROWING DATE
	 	5.1 Evidence of Corporate
  Action
	 	5.2 Notes
	 	5.3 Existing Bank
  Indebtedness
	 	5.4 Opinion of
  Counsel to the Borrower
	 	 
	6.
  CONDITIONS OF LENDING - ALL LOANS AND LETTERS OF CREDIT
	 	6.1 Compliance
	 	6.2 Requests
	 	6.3 Loan Closings
	 
	7. AFFIRMATIVE COVENANTS
	 	7.1 Legal
  Existence
	 	7.2 Taxes
	 	7.3 Insurance
	 	7.4 Performance of
  Obligations
	 	7.5
  Condition of Property
	 	7.6 Observance of
  Legal Requirements
	 	7.7
  Financial Statements and Other Information
	 	7.8 Records
	 	7.9
  Authorizations
	 	 
	8. NEGATIVE COVENANTS
	 	8.1
  Subsidiary Indebtedness
	 	8.2 Liens
	 	8.3 Dispositions
	 	8.4 Merger or Consolidation, Etc.
	 	8.5 Acquisitions
	 	8.6
  Restricted Payments
	 	8.7
  Limitation on Upstream Dividends by Subsidiaries
	 	8.8 Limitation on
  Negative Pledges
	 	8.9
  Ratio of Consolidated Indebtedness to Total Capitalization
	 	 
	9.
  DEFAULT
	 	9.1 Events of
  Default
	 	9.2 Remedies
	 	 
	10. AGENT
	 	10.1 Appointment
	 	10.2
  Delegation of Duties
	 	10.3
  Exculpatory Provisions
	 	10.4 Reliance by
  Administrative Agent
	 	10.5 Notice
  of Default
	 	10.6 Non-Reliance
	 	10.7
  Indemnification
	 	10.8
  Administrative Agent in Its Individual Capacity
	 	10.9 Successor
  Administrative Agent
	 	10.10
  Co-Documentation Agents
	 	 
	11. OTHER PROVISIONS
	 	11.1 Amendments, Waivers,
  Etc.
	 	11.2 Notices
	 	11.3 No Waiver; Cumulative
  Remedies
	 	11.4
  Survival of Representations and Warranties
	 	11.5
  Payment of Expenses and Taxes; Indemnified Liabilities
	 	11.6 Lending
  Offices
	 	11.7
  Successors and Assigns
	 	11.8 Counterparts
	 	11.9 Set-off and
  Sharing of Payments
	 	11.10 Indemnity
	 	11.11 Governing Law
	 	11.12 Severability
	 	11.13 Integration
	 	11.14 Treatment of
  Certain Information
	 	11.15
  Acknowledgments
	 	11.16
  Consent to Jurisdiction
	 	11.17
  Service of Process
	 	11.18 No Limitation on
  Service or Suit
	 	11.19
  WAIVER OF TRIAL BY JURY
	 	11.20 Effective
  Date
	 	11.21 Notice of
  Commitment Termination

 

EXHIBITS

	Exhibit	A	List of Commitments and Lending and Notice
  Offices
	Exhibit	B-1	Form of Revolving Credit Note
	Exhibit	B-2	Form of Competitive Bid Note
	Exhibit	B-3	Form of Swing Line Note
	Exhibit	C	Form of Borrowing Request
	Exhibit	D	Form of Opinion of Counsel to the Borrower
	Exhibit	E	Form of Assignment and Acceptance Agreement
	Exhibit	F	Form of Competitive Bid Request
	Exhibit	G	Form of Invitation to Bid
	Exhibit	H	Form of Competitive Bid
	Exhibit	I	Form of Competitive Bid Accept/Reject Letter
	Exhibit	J	Form of Letter of Credit Request

             FIVE YEAR CREDIT AGREEMENT, dated as of May 21,
2001, by and among CVS CORPORATION, a Delaware corporation
(the “Borrower”), the Lenders party
hereto from time to time (each a “Lender” and, collectively, the “Lenders”), CREDIT SUISSE FIRST BOSTON and FIRST UNION NATIONAL BANK, as co-documentation
agents, (in such capacity, each a “Co-Documentation Agent”), and THE BANK OF NEW YORK (“BNY”), as administrative agent
for the Lenders (in such capacity, the “Administrative Agent”).

1.          DEFINITIONS AND
PRINCIPLES OF CONSTRUCTION

             1.1        Definitions

                           When
used in any Loan Document (as defined below), each of the following terms shall
have the meaning ascribed thereto unless the context otherwise specifically
requires:

             “ABR
Advances”: the Revolving
Credit Loans (or any portions thereof) at such time as they (or such portions)
are made or are being maintained at a rate of interest based upon the Alternate
Base Rate.

             “Accumulated
Funding Deficiency”: as
defined in Section 302 of ERISA.

             “Acquisition”:
with respect to any Person,
the purchase or other acquisition by such Person, by any means whatsoever
(including by devise, bequest, gift, through a dividend or otherwise), of (a)
stock of, or other equity securities of, any other Person if, immediately
thereafter, such other Person would be either a consolidated subsidiary of such
Person or otherwise under the control of such Person, (b) any business, going
concern or division or segment thereof, or (c) the Property of any other Person
other than in the ordinary course of business, provided that (i) no acquisition
of substantially all of the assets, or any division or segment, of such other
Person shall be deemed to be in the ordinary course of business and (ii) no
redemption, retirement, purchase or acquisition by any Person of the stock or
other equity securities of such Person shall be deemed to constitute an
Acquisition.

             “Administrative
Agent”: as defined in the
preamble.

             “Affected
Advance”: as defined in
Section 3.8(b).

             “Affiliate”: with respect to any Person at any time and
from time to time, any other Person (other than a wholly-owned subsidiary of
such Person) which, at such time (a) controls such Person, (b) is controlled by
such Person or (c) is under common control with such Person.  The term “control”, as used in this
definition with respect to any Person, means the power, whether direct or
indirect through one or more intermediaries, to direct or cause the direction
of the management and policies of such Person, whether through the ownership of
voting securities or other interests, by contract or otherwise.

             “Aggregate
Commitment Amount”: at any
time, the sum of the Commitment Amounts of the Lenders at such time under this
Agreement.

             “Aggregate
Credit Exposure”: at any
time, the sum at such time of (a) the aggregate Committed Credit Exposure of
the Lenders at such time under this Agreement and (b) the aggregate outstanding
principal balance of all Competitive Bid Loans at such time under this
Agreement.

             “Agreement”: this Credit Agreement, as the same may be
amended, supplemented or otherwise modified from time to time.

             “Alternate
Base Rate”: for any day, a
rate per annum equal to the greater of (a) the BNY Rate in effect on such day,
or (b) 0.50% plus the Federal Funds Effective Rate (rounded, if necessary, to
the nearest l/100th of 1% or, if there is no nearest 1/100 of 1%, then to the
next higher 1/100 of 1%) in effect on such day.
             “Applicable
Margin”: (i) with respect
to the unpaid principal balance of ABR Advances, the applicable percentage set
forth below in the column entitled “ABR Advances”, (ii) with respect to
the unpaid principal balance of Eurodollar Advances, the applicable percentage
set forth below in the column entitled “Eurodollar Advances”, (iii) with
respect to the Facility Fee, the applicable percentage set forth below in the
column entitled “Facility Fee”, (iv) with respect to the Letter of Credit
Participation Fee, the applicable percentage set forth below in the column
entitled “Participation Fee”, and (v) with respect to the Utilization Fee, the
applicable percentage set forth below in the column entitled “Utilization Fee”,
in each case opposite the applicable Pricing Level:

	Pricing
  Level	ABR Advances	Eurodollar Advances	Facility Fee	Participation Fee	Utilization Fee
	 	 	 	 	 	 
	Pricing
  Level I	0%	0.130%	0.070%	0.130%	0.050%
	 	 	 	 	 	 
	Pricing
  Level II	0%	0.170%	0.080%	0.170%	0.050%
	 	 	 	 	 	 
	Pricing
  Level III	0%	0.215%	0.085%	0.215%	0.050%
	 	 	 	 	 	 
	Pricing
  Level IV	0%	0.275%	0.100%	0.275%	0.050%
	 	 	 	 	 	 
	Pricing
  Level V	0%	0.325%	0.125%	0.325%	0.100%
	 	 	 	 	 	 
	Pricing
  Level VI	0%	0.400%	0.150%	0.400%	0.100%
	 	 	 	 	 	 
	Pricing
  Level VII	0%	0.4625%	0.1875%	0.4625%	0.100%
	 	 	 	 	 	 

Decreases in the Applicable Margin
resulting from a change in Pricing Level shall become effective upon the
delivery by the Borrower to the Administrative Agent of a notice pursuant to
Section 7.7(d).  Increases in the
Applicable Margin resulting from a change in Pricing Level shall become
effective on the effective date of any downgrade or withdrawal in the rating by
Moody’s or S&P of the senior unsecured long term debt rating of the
Borrower.

             “Assignment”: as defined in Section 11.7(c).

             “Assignment
and Acceptance Agreement”:
an assignment and acceptance agreement executed by an assignor and an assignee
pursuant to which, subject to the terms and conditions hereof and thereof, the
assignor assigns to the assignee all or any portion of such assignor’s Loans,
Notes and Commitment, substantially in the form of Exhibit E.

             “Assignment
Fee”: as defined in Section
11.7(c).

             “Benefited
Lender”: as defined in
Section 11.9(b).

             “BNY”: as defined in the preamble.

             “BNY Rate”: a rate of interest per annum equal to the
rate of interest publicly announced in New York City by BNY from time to time
as its prime commercial lending rate, such rate to be adjusted automatically
(without notice) on the effective date of any change in such publicly announced
rate.

             “Borrower”: as defined in the preamble.

             “Borrowing
Date”: (i) in respect of
Revolving Credit Loans, any Domestic Business Day or Eurodollar Business Day,
as the case may be, on which the Lenders shall make Revolving Credit Loans
pursuant to a Borrowing Request or pursuant to a Mandatory Borrowing, (ii) in
respect of Competitive Bid Loans, any Domestic Business Day on which a Lender
shall make a Competitive Bid Loan pursuant to a Competitive Bid Request, (iii)
in respect of Swing Line Loans, any Domestic Business Day on which the Swing
Line Lender shall make a Swing Line Loan pursuant to a Borrowing Request and
(iv) in respect of Letters of Credit, any Domestic Business Day on which the
Issuer shall issue a Letter of Credit pursuant to a Letter of Credit Request.

             “Borrowing
Request”: a request for
Revolving Credit Loans or Swing Line Loans in the form of Exhibit C.

             “Change of Control”: any of the following :

             (i)          any Person or group (as such term is
used in Section 13(d)(3) of the Securities Exchange Act of 1934, as amended),
(a) shall have or acquire beneficial ownership of securities having 30% or more
of the ordinary voting power of the Borrower or (b) shall possess, directly or
indirectly, the power to direct or cause the direction of the management and
policies of the Borrower, whether through the ownership of voting securities,
by contract or otherwise; or

             (ii)         the Continuing Directors shall cease
for any reason to constitute a majority of the board of directors of the
Borrower then in office.

             “Co-Documentation
Agent”: as defined in the
preamble.

             “Commitment”: in respect of any Lender, such Lender’s
undertaking to make Revolving Credit Loans, subject to the terms and conditions
hereof, in an aggregate outstanding principal amount not to exceed the
Commitment Amount of such Lender.

             “Commitment
Amount”: at any time and
with respect to any Lender, the amount set forth adjacent to such Lender’s name
under the heading “Commitment Amount” in Exhibit A at such time or, in the
event that such Lender is not listed on Exhibit A, the “Commitment Amount”
which such Lender shall have assumed from another Lender in accordance with
Section 11.7 on or prior to such time, as the same may be adjusted from time to
time pursuant to Sections 2.6 and 11.7(c).

             “Commitment
Percentage”: at any time
and with respect to any Lender, a fraction the numerator of which is such
Lender’s Commitment Amount at such time, and the denominator of which is the
Aggregate Commitment Amount at such time.

             “Commitment
Period”: the period
commencing on the Effective Date and ending on the Commitment Termination Date,
or on such earlier date as all of the Commitments shall have been terminated in
accordance with the terms hereof.

             “Commitment
Termination Date”: the
earlier of May 21, 2006 and the date on which the Loans shall become due and
payable, whether by acceleration, notice of intention to prepay or otherwise.

             “Committed
Credit Exposure”: with
respect to any Lender at any time, the sum at such time of (a) the outstanding
principal balance of such Lender’s Revolving Credit Loans, (b) the Swing Line
exposure of such Lender and (c) the Letter of Credit Exposure of such Lender.

             “Competitive
Bid”: an offer by a Lender,
in the form of Exhibit H, to make one or more Competitive Bid Loans.

             “Competitive Bid Accept/Reject Letter”: a notification made by the Borrower
pursuant to Section 2.4(d) in the form of Exhibit I.

             “Competitive
Bid Loan”: as defined in
Section 2.4(a).

             “Competitive
Bid Note”: as defined in
Section 2.4(h).

             “Competitive
Bid Rate”: as to any
Competitive Bid made by a Lender pursuant to Section 2.4(b), the fixed rate of
interest (which shall be expressed in the form of a decimal to no more than
four decimal places) offered by such Lender and accepted by the Borrower.

             “Competitive
Bid Request”: a request by
the Borrower, in the form of Exhibit F, for Competitive Bids.

             “Competitive
Interest Period”: as to any
Competitive Bid Loan, the period commencing on the date of such Competitive Bid
Loan and ending on the date requested in the Competitive Bid Request with
respect thereto, which shall not be earlier than 3 days after the date of such
Competitive Bid Loan or later than 180 days after the date of such Competitive
Bid Loan; provided that if
any Competitive Interest Period would end on a day other than a Domestic
Business Day, such Interest Period shall be extended to the next succeeding
Domestic Business Day, unless such next succeeding Domestic Business Day would
be a date on or after the Commitment Termination Date, in which case such
Competitive Interest Period shall end on the next preceding Domestic Business
Day.  Interest shall accrue from and
including the first day of a Competitive Interest Period to but excluding the
last day of such Competitive Interest Period.

             “Consolidated”: the Borrower and the Subsidiaries on a
consolidated basis in accordance with GAAP.

             “Contingent
Obligation”: as to any
Person (the “secondary obligor”), any obligation of such secondary obligor (a)
guaranteeing or in effect guaranteeing any return on any investment made by
another Person, or (b) guaranteeing or in effect guaranteeing any Indebtedness,
lease, dividend or other obligation (“primary obligation”) of any other Person
(the “primary obligor”) in any manner, whether directly or indirectly,
including any obligation of such secondary obligor, whether or not contingent,
(i) to purchase any such primary obligation or any Property constituting direct
or indirect security therefor, (ii) to advance or supply funds (A) for the
purchase or payment of any such primary obligation or (B) to maintain working
capital or equity capital of the primary obligor or otherwise to maintain the
net worth or solvency of the primary obligor, (iii) to purchase Property,
securities or services primarily for the purpose of assuring the beneficiary of
any such primary obligation of the ability of the primary obligor to make
payment of such primary obligation, (iv) otherwise to assure or hold harmless
the beneficiary of such primary obligation against loss in respect thereof, and
(v) in respect of the Indebtedness of any partnership in which such secondary
obligor is a general partner, except to the extent that such Indebtedness of
such partnership is nonrecourse to such secondary obligor and its separate
Property; provided that the
term “Contingent Obligation” shall not include the indorsement of instruments
for deposit or collection in the ordinary course of business.

             “Continuing
Director”: any member of
the board of directors of the Borrower who (i) is a member of that board of
directors on the Effective Date or (ii) was nominated for election by the board
of directors a majority of whom were directors on the Effective Date or whose
election or nomination for election was previously approved by one or more of
such directors.

             “Control
Person”: as defined in
Section 3.6.

             “Convert”, “Conversion” and “Converted”: each, a reference to a conversion pursuant
to Section 3.3 of one Type of Revolving Credit Loan into another Type of
Revolving Credit Loan.

             “Costs”: as defined in Section 3.6.

             “Default”: any of the events specified in Section 9.1,
whether any requirement for the giving of notice, the lapse of time, or both,
or any other condition, has been satisfied.

             “Disposition”: with respect to any Person, any sale,
assignment, transfer or other disposition by such Person by any means, of:

             (a)         the Stock of, or other equity interests
of, any other Person,

             (b)        any business, operating entity, division
or segment thereof, or

             (c)         any other Property of such Person,
other than (i) the sale of inventory (other than in connection with bulk
transfers), (ii) the disposition of equipment and (iii) the sale of cash
investments.

             “Dividend
Restrictions”: as defined
in Section 8.7.

             “Dollar” or
“$”: lawful currency of the
United States of America.

             “Domestic
Business Day”: any day
(other than a Saturday, Sunday or legal holiday in the State of New York) on which
banks are open for business in New York City.

             “Effective
Date”: as defined in
Section 11.20.

             “Eligible SPC”: a special purpose
corporation that (i) is organized under the laws of the United States or any
state thereof, (ii) is engaged in making, purchasing or otherwise investing in
commercial loans in the ordinary course of its business and (iii) issues (or
the parent of which issues) commercial paper rated at least A-1 or the
equivalent thereof by S&P or at least P-1 or the equivalent thereof by Moody’s.

             “Employee
Benefit Plan”: an employee
benefit plan, within the meaning of Section 3(3) of ERISA, maintained,
sponsored or contributed to by the Borrower, any Subsidiary or any ERISA
Affiliate.

             “ERISA”: the Employee Retirement Income Security Act
of 1974, as amended from time to time, or any successor thereto, and the rules
and regulations issued thereunder, as from time to time in effect.

             “ERISA
Affiliate”: when used with
respect to an Employee Benefit Plan, ERISA, the PBGC or a provision of the Internal
Revenue Code pertaining to employee benefit plans, any Person that is a member
of any group of organizations within the meaning of Sections 414(b) or (c) of
the Internal Revenue Code or, solely with respect to the applicable provisions
of the Internal Revenue Code, Sections 414(m) or (o) of the Internal Revenue
Code, of which the Borrower or any Subsidiary is a member.

             “ESOP
Guaranty”: the guaranty of
the 8.52% ESOP Note maturing 2008 in the aggregate unpaid principal amount, as
of December 30, 2000, of $240,600,000.

             “Eurodollar
Advance”: a portion of the
Revolving Credit Loans selected by the Borrower to bear interest during a
Eurodollar Interest Period selected by the Borrower at a rate per annum based
upon a Eurodollar Rate determined with reference to such Interest Period, all
pursuant to and in accordance with Section 2.1 or 3.3.

             “Eurodollar
Business Day”: any Domestic
Business Day, other than a Domestic Business Day on which banks are not open
for dealings in Dollar deposits in the interbank eurodollar market.

             “Eurodollar
Interest Period”: the
period commencing on any Eurodollar Business Day selected by the Borrower in
accordance with Section 2.1 or Section 3.3 and ending one, two, three or six
months thereafter, as selected by the Borrower in accordance with either such
Sections, subject to the following:

             (i)  if any Interest Period would otherwise end on a day which is not
a Eurodollar Business Day, such Interest Period shall be extended to the
immediately succeeding Eurodollar Business Day unless the result of such
extension would be to carry the end of such Interest Period into another
calendar month, in which event such Interest Period shall end on the Eurodollar
Business Day immediately preceding such day; and

             (ii)  if any Interest Period shall begin on the
last Eurodollar Business Day of a calendar month (or on a day for which there
is no numerically corresponding day in the calendar month at the end of such
Interest Period), such Interest Period shall end on the last Eurodollar Business
Day of such latter calendar month.

             “Eurodollar
Rate”: with respect to each
Eurodollar Advance and as determined by the Administrative Agent, the rate of
interest per annum (rounded, if necessary, to the nearest 1/100 of 1% or, if
there is no nearest 1/100 of 1%, then to the next higher 1/100 of 1%) equal to
a fraction, the numerator of which is the rate per annum quoted by BNY at
approximately 11:00 A.M. (or as soon thereafter as practicable) two Eurodollar
Business Days prior to the first day of such Interest Period to leading banks
in the interbank eurodollar market as the rate at which BNY is offering Dollar
deposits in an amount approximately equal to its Commitment Percentage of such
Eurodollar Advance and having a period to maturity approximately equal to the
Interest Period applicable to such Eurodollar Advance, and the denominator of
which is an amount equal to 1.00 minus the aggregate of the then stated maximum
rates during such Interest Period of all reserve requirements (including
marginal, emergency, supplemental and special reserves), expressed as a
decimal, established by the Board of Governors of the Federal Reserve System
and any other banking authority to which BNY and other major United States
money center banks are subject, in respect of eurocurrency liabilities.

             “Event of
Default”: any of the events
specified in Section 9.1, provided that any requirement for the giving of notice, the lapse of time, or
both, or any other condition has been satisfied.

             “Existing
Bank Indebtedness”: all
Indebtedness under the Existing Credit Agreement and all accrued and unpaid
monetary obligations of the Borrower under the Existing Credit Agreement.

             “Existing
Credit Agreement”: the Five
Year Credit Agreement, dated as of May 23, 1997, by and among the Borrower, the
lenders party thereto, Fleet National Bank, as documentation agent, JP Morgan
Securities Inc., as syndication agent, and BNY, as administrative agent
thereunder.

             “Expiration
Date”: the first date,
occurring after the Commitments shall have terminated or been terminated in
accordance herewith, upon which there shall be no Loans or Letters of Credit
outstanding.

             “Facility Fee”: as defined in Section 3.11(a).

             “Federal
Funds Effective Rate”: for
any period, a fluctuating interest rate per annum equal for each day during
such period to 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 for such day (or, if such day is not a Domestic
Business Day, for the next preceding Domestic Business Day) by the Federal
Reserve Bank of New York, or, if such rate is not so published for any day
which is a Domestic Business Day, the average (rounded, if necessary, to the
nearest 1/100 of 1% or, if there is no nearest 1/100 of 1%, then to the next
higher 1/100 of 1%) of the quotations for such day on such transactions
received by the Administrative Agent from three Federal funds brokers of
recognized standing selected by the Administrative Agent.

             “Fees”: as defined in Section 3.2.

             “Financial
Statements”: as defined in
Section 4.13.

             “GAAP”: generally accepted accounting principles
set forth in the opinions and pronouncements of the Accounting Principles Board
and the American Institute of Certified Public Accountants and statements and
pronouncements of the Financial Accounting Standards Board or such other
principles as may be approved by a significant segment of the accounting
profession, which are applicable to the circumstances as of the date of determination,
consistently applied.

             “Governmental
Authority”: any foreign,
federal, state, municipal or other government, or any department, commission,
board, bureau, agency, public authority or instrumentality thereof, or any
court or arbitrator.

             “Granting Lender”:  as
defined in Section 11.7(f).

             “Highest
Lawful Rate”: as to any
Lender, the maximum rate of interest, if any, which at any time or from time to
time may be contracted for, taken, charged or received on the Loans or the
Notes or which may be owing to such Lender pursuant to this Agreement under the
laws applicable to such Lender and this Agreement.

             “Indebtedness”: as to any Person at a particular time, all
items of such Person which constitute, without duplication, (a) indebtedness
for borrowed money or the deferred purchase price of Property (other than trade
payables and accrued expenses incurred in the ordinary course of business), (b)
indebtedness evidenced by notes, bonds, debentures or similar instruments, (c)
indebtedness with respect to any conditional sale or other title retention
agreement, (d) indebtedness arising under acceptance facilities and the amount
available to be drawn under all letters of credit (excluding for purposes of
Sections 8.1 and 8.10 letters of credit obtained in the ordinary course of
business by the Borrower or any Subsidiary) issued for the account of such
Person and, without duplication, all drafts drawn thereunder to the extent such
Person shall not have reimbursed the issuer in respect of the issuer’s payment
of such drafts, (e) that portion of any obligation of such Person, as lessee,
which in accordance with GAAP is required to be capitalized on a balance sheet
of such Person, (f) all indebtedness described in (a) - (e) above secured by
any Lien on any Property owned by such Person even though such Person shall not
have assumed or otherwise become liable for the payment thereof (other than
carriers’, warehousemen’s, mechanics’, repairmen’s or other like non-consensual
Liens arising in the ordinary course of business), and (g) Contingent
Obligations in respect of any indebtedness described in items (a) - (f) above; provided that, for purposes of this definition,
Indebtedness shall not include Intercompany Debt and obligations in respect of
interest rate caps, collars, exchanges, swaps or other, similar agreements.

             “Indemnified Liabilities”: as defined in Section 11.5.

             “Indemnified
Person”: as defined in
Section 11.10.

             “Intercompany
Debt”: (i) Indebtedness of
the Borrower to one or more of the Subsidiaries of the Borrower and (ii) demand
Indebtedness of one or more of the Subsidiaries of the Borrower to the Borrower
or any one or more of the other Subsidiaries of the Borrower.

             “Intercompany
Disposition”: a Disposition
by the Borrower or any of the Subsidiaries of the Borrower to the Borrower or
to any of the other Subsidiaries of the Borrower.

             “Interest
Payment Date”: (i) as to
any ABR Advance, the last day of each March, June, September and December,
commencing on the first of such days to occur after such ABR Advance is made or
any Eurodollar Advance is converted to an ABR Advance, (ii) as to any Swing
Line Loan, the day on which the outstanding principal balance of such Swing
Line Loan shall become due and payable in accordance with Section 2.2(a), (iii)
as to any Eurodollar Advance in respect of which the Borrower has selected a
Eurodollar Interest Period of one, two or three months, the last day of such
Eurodollar Interest Period, (iv) as to any Competitive Bid Loan in respect of
which the Borrower has selected a Competitive Interest Period of 90 days or
less the last day of such Competitive Interest Period and (v) as to any
Eurodollar Advance or Competitive Bid Loan in respect of which the Borrower has
selected an Interest Period greater than three months or 90 days, as the case
may be, the last day of the third month or the 90th day, as the case may be, of
such Interest Period and the last day of such Interest Period.

             “Interest
Period”: a Eurodollar
Interest Period, a Swing Line Interest Period or a Competitive Interest Period,
as the case may be.

             “Internal
Revenue Code”: the Internal
Revenue Code of 1986, as amended from time to time, or any successor thereto,
and the rules and regulations issued thereunder, as from time to time in
effect.

             “Invitation
to Bid”: an invitation by
the Administrative Agent to the Lenders to make Competitive Bids in the form of
Exhibit G.

             “Issuer”: BNY.

             “Lender”: as defined in the preamble; such term to
also include the Swing Line Lender and the Issuer where the context hereof requires
or permits such inclusion.

             “Letter of
Credit”: as defined in
Section 2.8.

             “Letter of Credit Commitment”: the commitment of the Issuer to issue
Letters of Credit in accordance with the terms hereof in an aggregate
outstanding face amount not exceeding $50,000,000 (or, if less, the Aggregate
Commitment Amount) at any time, as the same may be reduced pursuant to Section
2.6.

             “Letter of
Credit Exposure”: at any
time, (a) in respect of all Lenders, the sum, without duplication, of (i) the
maximum aggregate amount which may be drawn under all unexpired Letters of
Credit at such time (whether the conditions for drawing thereunder have or may
be satisfied), (ii) the aggregate amount, at such time, of all unpaid drafts
(which have not been dishonored) drawn under all Letters of Credit, and (iii)
the aggregate unpaid principal amount of the Reimbursement Obligations at such
time, and (b) in respect of any Lender, an amount equal to such Lender’s
Commitment Percentage at such time multiplied by the amount determined under
clause (a) of this definition.

             “Letter of
Credit Participation”: with
respect to each Lender, its obligations to the Issuer under Section 2.9.

             “Letter of
Credit Participation Fee”:
as defined in Section 3.12.

             “Letter of
Credit Request”: a request
in the form of Exhibit K.

             “Lien”: any mortgage, pledge, hypothecation,
assignment, lien, deposit arrangement, charge, encumbrance or other security
arrangement or security interest of any kind, or the interest of a vendor or
lessor under any conditional sale agreement, capital lease or other title
retention agreement.

             “Loan”: a Revolving Credit Loan, a Competitive Bid
Loan or a Swing Line Loan, as the case may be.

             “Loan
Documents”: this Agreement
and, upon the execution and delivery thereof, the Notes and the Reimbursement
Agreements.

             “Loans”: the Revolving Credit Loans, the Competitive
Bid Loans and the Swing Line Loans.

             “Mandatory
Borrowing”: as defined in
Section 2.2(c).

             “Margin
Stock”: any “margin stock”,
as said term is defined in Regulation U of the Board of Governors of the
Federal Reserve System, as the same may be amended or supplemented from time to
time.

             “Material Adverse”: with respect to any change or effect, a
material adverse change in, or effect on, as the case may be, (i) the financial
condition, operations, business, or Property of the Borrower and the
Subsidiaries taken as a whole, (ii) the ability of the Borrower to perform its
obligations under the Loan Documents, or (iii) the ability of the
Administrative Agent, the Issuer or any Lender to enforce the Loan Documents.

             “Moody’s”: Moody’s Investors Service, Inc.

             “Multiemployer
Plan”: a Pension Plan which
is a multiemployer plan as defined in Section 4001(a)(3) of ERISA.

             “Negotiated
Rate”: with respect to each
Swing Line Loan, the rate per annum agreed to in writing by the Borrower and
the Swing Line Lender as the interest rate which such Swing Line Loan shall
bear.

             “Net Worth”: at any date of determination, the sum of
all amounts which would be included under shareholders’ equity on a
Consolidated balance sheet of the Borrower and the Subsidiaries determined in
accordance with GAAP as at such date.

             “Note”: a Revolving Credit Note, a Competitive Bid
Note or the Swing Line Note, as the case may be.

             “Other
Credit Agreement”: the 364
Day Credit Agreement, dated as of May 21, 2001, by and among the Borrower, the
lenders party thereto, Credit Suisse First Boston and First Union National
Bank, as co-documentation agents, and Fleet National Bank, as administrative
agent, as the same may be amended, supplemented or otherwise modified from time
to time.

             “PBGC”: the Pension Benefit Guaranty Corporation
established pursuant to Subtitle A of Title IV of ERISA, or any Governmental
Authority succeeding to the functions thereof.

             “Pension Plan”: at any time, any Employee Benefit Plan
(including a Multiemployer Plan) subject to Section 302 of ERISA or Section 412
of the Internal Revenue Code, the funding requirements of which are, or at any
time within the six years immediately preceding the time in question, were in
whole or in part, the responsibility of the Borrower, any Subsidiary or an
ERISA Affiliate.

             “Person”: any individual, firm, partnership, limited
liability company, joint venture, corporation, association, business trust,
joint stock company, unincorporated association, trust, Governmental Authority
or any other entity, whether acting in an individual, fiduciary, or other
capacity, and for the purpose of the definition of “ERISA Affiliate”, a trade
or business.

             “Pricing
Level”: Pricing Level I,
Pricing Level II, Pricing Level III, Pricing Level IV, Pricing Level V, Pricing
Level VI or Pricing Level VII, as the case may be.

             “Pricing
Level I”: any time when the
senior unsecured long term debt rating of the Borrower by (x) S&P is AA -
or higher or (y) Moody’s is Aa3 or higher.

             “Pricing
Level II”: any time when
(i) the senior unsecured long term debt rating of the Borrower by (x) S&P
is A+ or higher or (y) Moody’s is A1 or higher and (ii) Pricing Level I does
not apply.

             “Pricing
Level III”: any time when
(i) the senior unsecured long term debt rating of the Borrower by (x) S&P
is A or higher or (y) Moody’s is A2 or higher and (ii) neither Pricing Level I
nor II applies.

             “Pricing
Level IV”: any time when
(i) the senior unsecured long term debt rating of the Borrower by (x) S&P
is A - or higher or (y) Moody’s is A3 or higher and (ii) none of Pricing Level
I, II or III applies.

             “Pricing Level V”: any time when (i) the senior unsecured long
term debt rating of the Borrower by (x) S&P is BBB+ or higher or (y)
Moody’s is Baa1 or higher and (ii) none of Pricing Level I, II, III or IV
applies.

             “Pricing
Level VI”: any time when
(i) the senior unsecured long term debt rating of the Borrower by (x) S&P
is BBB or higher or (y) Moody’s is Baa2 or higher and (ii) none of Pricing
Level I, II, III, IV or V applies.

             “Pricing
Level VII”: any time when
none of Pricing Level I, II, III, IV, V or VI applies.

             Notwithstanding
each definition of Pricing Level set forth above, if at any time the senior unsecured
long term debt ratings of the Borrower by S&P and Moody’s differ by more
than one equivalent rating level, then the applicable Pricing Level shall be
determined based upon the lower such rating adjusted upwards to the next higher
rating level.

             “Principal
Office”: from time to time,
the principal office of BNY, located on the date hereof in New York, New York.

             “Prohibited
Transaction”: a transaction
that is prohibited under Section 4975 of the Internal Revenue Code or Section
406 of ERISA and not exempt under Section 4975 of the Internal Revenue Code or
Section 408 of ERISA.

             “Property”: in respect of any Person, all types of
real, personal or mixed property and all types of tangible or intangible
property owned or leased by such Person.

             “Regulatory
Change”: (a) the
introduction or phasing in of any law, rule or regulation after the date
hereof, (b) the issuance or promulgation after the date hereof of any
directive, guideline or request from any central bank or United States or
foreign Governmental Authority (whether or not having the force of law), or (c)
any change after the date hereof in the interpretation of any existing law,
rule, regulation, directive, guideline or request by any central bank or United
States or foreign Governmental Authority charged with the administration
thereof, in each case applicable to the transactions contemplated by this
Agreement.

             “Reimbursement
Agreement”: as defined in
Section 2.8(b).

             “Reimbursement Obligations”: all obligations and liabilities of the
Borrower due and to become due (a) under the Reimbursement Agreements and (b)
hereunder in respect of Letters of Credit.

             “Replaced
Lender”: as defined in
Section 3.13.

             “Replacement
Lender”: as defined in
Section 3.13.

             “Reportable
Event”: with respect to any
Pension Plan, (a) any event set forth in Sections 4043(c) (other than a
Reportable Event as to which the 30 day notice requirement is waived by the
PBGC under applicable regulations), 4062(e) or 4063(a) of ERISA, or the
regulations thereunder, (b) an event requiring the Borrower, any Subsidiary or
any ERISA Affiliate to provide security to a Pension Plan under Section
401(a)(29) of the Internal Revenue Code, or (c) the failure to make any payment
required by Section 412(m) of the Internal Revenue Code.

             “Required
Lenders”: (a) at any time
prior to the Commitment Termination Date or such earlier date as all of the
Commitments shall have terminated or been terminated in accordance herewith,
Lenders having Commitment Amounts equal to or more than 51% of the Aggregate
Commitment Amount, and (b) at all other times, Lenders holding Notes having an
unpaid principal balance equal to or more than 51% of all Loans outstanding.

             “Restricted
Payment”: with respect to
any Person, any of the following, whether direct or indirect: (a) the
declaration or payment by such Person of any dividend or distribution on any
class of Stock of such Person, other than a dividend payable solely in shares
of that class of Stock to the holders of such class, (b) the declaration or
payment by such Person of any distribution on any other type or class of equity
interest or equity investment in such Person, and (c) any redemption,
retirement, purchase or acquisition of, or sinking fund or other similar
payment in respect of, any class of Stock of, or other type or class of equity
interest or equity investment in, such Person.

             “Restrictive
Agreement”: as defined in
Section 8.7.

             “Revolving
Credit Loans”: as defined
in Section 2.1(a).

             “Revolving
Credit Note”: as defined in
Section 2.1(b).

             “S&P”: Standard & Poor’s, a division of The
McGraw-Hill Companies, Inc.

             “Solvent”: with respect to any Person on a particular
date, the condition that on such date, (i) the fair value of the Property of
such Person is greater than the total amount of liabilities, including, without
limitation, contingent liabilities, of such Person, (ii) the present fair
salable value of the assets of such Person is not less than the amount that
will be required to pay the probable liability of such Person on its debts as
they become absolute and matured, (iii) such Person does not intend to, and
does not believe that it will, incur debts or liabilities beyond such Person’s
ability to pay as such debts and liabilities mature, and (iv) such Person is
not engaged in business or a transaction, and is not about to engage in
business or a transaction, for which such Person’s Property would constitute an
unreasonably small amount of capital. 
For purposes of this definition, the amount of any contingent liability
at any time shall be computed as the amount that, in light of all the facts and
circumstances existing at such time, represents the amount that can reasonably
be expected to become an actual or matured liability after taking into account
probable payments by co-obligors.

             “Special Counsel”: such counsel as the Administrative Agent
may engage from time to time.

             “Subsidiary”: at any time and from time to time, any
corporation, association, partnership, limited liability company, joint venture
or other business entity of which the Borrower and/or any Subsidiary of the
Borrower, directly or indirectly at such time, either (a) in respect of a
corporation, owns or controls more than 50% of the outstanding stock having
ordinary voting power to elect a majority of the board of directors or similar
managing body, irrespective of whether a class or classes shall or might have
voting power by reason of the happening of any contingency, or (b) in respect
of an association, partnership, limited liability company, joint venture or
other business entity, is entitled to share in more than 50% of the profits and
losses, however determined.

             “Swing Line
Commitment”: the commitment
of the Swing Line Lender to make Swing Line Loans in accordance with the terms
hereof in an aggregate outstanding principal amount not exceeding $50,000,000
(or, if less, then the Aggregate Commitment Amount) at any time, as the same
may be reduced pursuant to Section 2.6.

             “Swing Line
Commitment Period”: the
period from the Effective Date to, but excluding, the Swing Line Termination
Date.

             “Swing Line
Exposure”: at any time, in
respect of any Lender, an amount equal to the aggregate principal balance of
Swing Line Loans at such time multiplied by such Lender’s Commitment Percentage
at such time.

             “Swing Line
Interest Period”: as to any
Swing Line Loan, the period commencing on the date of such Swing Line loan and
ending on the date set forth by the Borrower in the Borrowing Request with
respect to such Swing Line Loan; provided that the last day of any Swing Line Interest Period shall not be
earlier than one day after the date of such Swing Line Loan or later than 7
days after the date of such Swing Line Loan and in no event later than the
Swing Line Termination Date; and provided further that if any Swing Line Interest Period would end on a day other than a
Domestic Business Day, such Interest Period shall be extended to the next
succeeding Domestic Business Day.

             “Swing Line
Lender”: BNY.

             “Swing Line
Loan” and “Swing Line
Loans”: as defined in
Section 2.2(a).

             “Swing Line
Maturity Date”: as defined
in Section 2.2(a).

             “Swing Line
Note”: as defined in
Section 2.2(b).

             “Swing Line
Participation Amount”: as
defined in Section 2.2(d).

             “Swing Line
Termination Date”: the date
which is 7 Domestic Business Days prior to the Commitment Termination Date.

             “Tangible Net Worth”: at any date of determination, Net Worth
less all assets of the Borrower and its Subsidiaries included in such Net
Worth, determined on a Consolidated basis at such date, that would be
classified as intangible assets in accordance with GAAP.

             “Termination
Event”: with respect to any
Pension Plan, (a) a Reportable Event, (b) the termination of a Pension Plan
under Section 4041(c) of ERISA, or the filing of a notice of intent to
terminate a Pension Plan under Section 4041(c) of ERISA, or the treatment of a
Pension Plan amendment as a termination under Section 4041(e) of ERISA (except
an amendment made after such Pension Plan satisfies the requirement for a
standard termination under Section 4041(b) of ERISA), (c) the institution of
proceedings by the PBGC to terminate a Pension Plan under Section 4042 of
ERISA, or (d) the appointment of a trustee to administer any Pension Plan under
Section 4042 of ERISA.

             “Total
Capitalization”: at any
date, the sum of the Borrower’s Consolidated Indebtedness and shareholders’
equity on such date, determined in accordance with GAAP.

             “Type”: with respect to any Revolving Credit Loan,
the characteristic of such Loan as an ABR Advance or a Eurodollar Advance, each
of which constitutes a Type of Revolving Credit Loan.

             “Unqualified
Amount”: as defined in
Section 3.4(c).

             “Upstream
Dividends”: as defined in
Section 8.7.

             “Utilization Fee”: as defined in Section 3.11(b).

             1.2        Principles of Construction

                           (a)         All capitalized terms defined in this
Agreement shall have the meanings given such capitalized terms herein when used
in the other Loan Documents or in any certificate, opinion or other document
made or delivered pursuant hereto or thereto, unless otherwise expressly
provided therein.

                           (b)        Unless otherwise expressly provided
herein, the word “fiscal” when
used herein shall refer to the relevant fiscal period of the Borrower.  As used in the Loan Documents and in any
certificate, opinion or other document made or delivered pursuant thereto,
accounting terms not defined in Section 1.1, and accounting terms partly
defined in Section 1.1, to the extent not defined, shall have the respective
meanings given to them under GAAP.

                           (c)         The words “hereof”, “herein”, “hereto” and “hereunder” and similar words when used in each Loan
Document shall refer to such Loan Document as a whole and not to any particular
provision of such Loan Document, and Section, schedule and exhibit references
contained therein shall refer to Sections thereof or schedules or exhibits
thereto unless otherwise expressly provided therein.

                           (d)        All references herein to a time of day
shall mean the then applicable time in New York, New York, unless otherwise
expressly provided herein.

                           (e)         Section headings have been inserted in the
Loan Documents for convenience only and shall not be construed to be a part
thereof.  Unless the context otherwise
requires, words in the singular number include the plural, and words in the
plural include the singular.

                           (f)         Whenever in any Loan Document or in any
certificate or other document made or delivered pursuant thereto, the terms
thereof require that a Person sign or execute the same or refer to the same as
having been so signed or executed, such terms shall mean that the same shall
be, or was, duly signed or executed by (i) in respect of any Person that is a
corporation, any duly authorized officer thereof, and (ii) in respect of any
other Person (other than an individual), any analogous counterpart thereof.

                           (g)        The words “include” and “including”,
when used in each Loan Document, shall mean that the same shall be included
“without limitation”, unless otherwise specifically provided.

2.          AMOUNT AND TERMS OF
LOANS

             2.1        Revolving
Credit Loans

                           (a)         Subject to the terms and conditions
hereof, each Lender severally (and not jointly) agrees to make loans under this
Agreement (each a “Revolving Credit Loan” and,
collectively with each other Revolving Credit Loan of such Lender and/or with
each Revolving Credit Loan of each other Lender, the “Revolving Credit Loans”) to the Borrower from time to time
during the Commitment Period, during which period the Borrower may borrow,
prepay and reborrow in accordance with the provisions hereof.  Immediately after making each Revolving Credit
Loan and after giving effect to all Swing Line Loans and Competitive Bid Loans
repaid and all Reimbursement Obligations paid on the same date, the Aggregate
Credit Exposure will not exceed the Aggregate Commitment Amount.  With respect to each Lender, at the time of
the making of any Revolving Credit Loan, the sum of (I) the principal amount of
such Lender’s Revolving Credit Loan constituting a part of the Revolving Credit
Loans to be made, (II) the aggregate principal balance of all other Revolving
Credit Loans (exclusive of Revolving Credit Loans which are repaid with the
proceeds of, and simultaneously with the incidence of, the Revolving Credit
Loans to be made) then outstanding from such Lender and (III) the product of
(A) such Lender’s Commitment Percentage and (B) the sum of (1) the aggregate
principal balance of all Swing Line Loans (exclusive of Swing Line Loans which
are repaid with the proceeds of, and simultaneously with the incurrence of, the
Revolving Credit Loans to be made) then outstanding and (2) the Letter of
Credit Exposure of all Lenders, will not exceed the Commitment of such Lender
at such time.  During the Commitment
Period, the Borrower may borrow, prepay in whole or in part and reborrow
Revolving Credit Loans under the Commitments, all in accordance with the terms
and conditions hereof.  At the option of
the Borrower, indicated in a Borrowing Request, Revolving Credit Loans may be
made as ABR Advances or Eurodollar Advances.

                           (b)        Revolving Credit Loans made by each
Lender shall be evidenced by a promissory note of the Borrower, substantially
in the form of Exhibit B-1 (each, as indorsed or modified from time to time, a “Revolving Credit Note”), payable to the
order of such Lender, dated the Effective Date, and in the maximum stated
principal amount equal to such Lender’s Commitment Amount and evidencing the
obligation of the Borrower to pay such Commitment Amount, or, if less, the
aggregate unpaid principal balance of the Revolving Credit Loans made by such
Lender, with interest thereon as provided herein.

                           (c)         The aggregate outstanding principal
balance of all Revolving Credit Loans shall be due and payable on the
Commitment Termination Date or on such earlier date upon which all of the
Commitments shall have been voluntarily terminated by the Borrower in
accordance with Section 2.6.

             2.2        Swing Line Loans

                           (a)         Subject to the terms and conditions
hereof, the Swing Line Lender agrees to make loans under this Agreement (each a
“Swing Line Loan” and,
collectively, the “Swing Line Loans”)
to the Borrower from time to time during the Swing Line Commitment Period.  Swing Line Loans (i) may be repaid and
reborrowed in accordance with the provisions hereof, (ii) shall not,
immediately after giving effect thereto, result in the Aggregate Credit
Exposure exceeding the Aggregate Commitment Amount, and (iii) shall not,
immediately after giving effect thereto, result in the aggregate outstanding
principal balance of all Swing Line Loans exceeding the Swing Line
Commitment.  The Swing Line Lender shall
not be obligated to make any Swing Line Loan at a time when any Lender shall be
in default of its obligations under this Agreement unless the Swing Line Lender
has entered into arrangements satisfactory to it and the Borrower to eliminate
the Swing Line Lender’s risk with respect to such defaulting Lender’s
participation in such Swing Line Loan. 
The Swing Line Lender will not make a Swing Line Loan if the
Administrative Agent, or any Lender by notice to the Swing Line Lender and the
Borrower no later than one Domestic Business Day prior to the Borrowing Date
with respect to such Swing Line Loan, shall have determined that the conditions
set forth in Sections 5 and 6 have not been satisfied and such conditions
remain unsatisfied as of the requested time of the making of such Loan.  Each Swing Line Loan shall be due and
payable on the day (the “Swing Line Maturity
Date”) being the earliest of the last day of the Swing Line Interest
Period applicable thereto, the date on which the Swing Line Commitment shall
have been voluntarily terminated by the Borrower in accordance with Section
2.6, and the date on which the Loans shall become due and payable pursuant to
the provisions hereof, whether by acceleration or otherwise.  Each Swing Line Loan shall bear interest at
the Negotiated Rate applicable thereto. 
The Swing Line Lender shall disburse the proceeds of Swing Line Loans at
its office designated in Section 11.2 by crediting such proceeds to an account
of the Borrower maintained with the Swing Line Lender.

                           (b)        Swing Line Loans shall be evidenced by a
promissory note of the Borrower, substantially in the form of Exhibit B-3 (as
indorsed or modified from time to time, the “Swing
Line Note”), payable to the order of the Swing Line Lender, dated
the Effective Date, and in the maximum stated principal amount equal to the
Swing Line Commitment and evidencing the obligation of the Borrower to pay the
amount of the Swing Line Commitment or, if less, the aggregate unpaid principal
balance of the Swing Line Loans made by the Swing Line Lender which shall not
have been funded by a Mandatory Borrowing, together with interest thereon as
provided herein.

                           (c)         On any Domestic Business Day on which a
Swing Line Loan shall be due and payable and shall remain unpaid, the Swing
Line Lender may, in its sole discretion, give notice to the Lenders and the
Borrower that such outstanding Swing Line Loan shall be funded with a borrowing
of Revolving Credit Loans (provided that
such notice shall be deemed to have been automatically given upon the occurrence
of a Default or an Event of Default under Sections 9.1(h) or (i)), in which
case a borrowing of Revolving Credit Loans made as ABR Advances (each such
borrowing, a “Mandatory Borrowing”),
shall be made by all Lenders pro rata based
on each such Lender’s Commitment Percentage on the Domestic Business Day
immediately succeeding the giving of such notice.  The proceeds of each Mandatory Borrowing shall be remitted
directly to the Swing Line Lender to repay such outstanding Swing Line
Loan.  Each Lender irrevocably agrees to
make a Revolving Credit Loan pursuant to each Mandatory Borrowing in the amount
and in the manner specified in the preceding sentence and on the date specified
in writing by the Swing Line Lender not withstanding: (i) whether the amount of
such Mandatory Borrowing complies with the minimum amount for Loans otherwise
required hereunder, (ii) whether any condition specified in Section 6 is then
unsatisfied, (iii) whether a Default or an Event of Default then exists, (iv)
the Borrowing Date of such Mandatory Borrowing, (v) the aggregate principal
amount of all Loans then outstanding, (vi) the Aggregate Credit Exposure at
such time and (vii) the amount of the Commitments at such time.

                           (d)        Upon each receipt by a Lender of notice
of an Event of Default from the Administrative Agent pursuant to Section 10.5,
such Lender shall purchase unconditionally, irrevocably, and severally (and not
jointly) from the Swing Line Lender a participation in the outstanding Swing
Line Loans (including accrued interest thereon) in an amount equal to the
product of its Commitment Percentage and the outstanding balance of the Swing
Line Loans (each, a “Swing Line
Participation Amount”).  Each
Lender shall also be liable for an amount equal to the product of its Commitment
Percentage and any amounts paid by the Borrower pursuant to this Section that
are subsequently rescinded or avoided, or must otherwise be restored or
returned.  Such liabilities shall be
unconditional and without regard to the occurrence of any Default or Event of
Default or the compliance by the Borrower with any of its obligations under the
Loan Documents.

                           (e)         In furtherance of Section 2.2(d), upon
each receipt by a Lender of notice of an Event of Default from the
Administrative Agent pursuant to Section 10.5, such Lender shall promptly make
available to the Administrative Agent for the account of the Swing Line Lender
its Swing Line Participation Amount at the office of the Administrative Agent
specified in Section 11.2, in lawful money of the United States and in
immediately available funds.  The
Administrative Agent shall deliver the payments made by each Lender pursuant to
the immediately preceding sentence to the Swing Line Lender promptly upon
receipt thereof in like funds as received. 
Each Lender hereby indemnifies and agrees to hold harmless the
Administrative Agent and the Swing Line Lender from and against any and all
losses, liabilities (including liabilities for penalties), actions, suits,
judgments, demands, costs and expenses resulting from any failure on the part
of such Lender to pay, or from any delay in paying, the Administrative Agent
any amount such Lender is required by notice from the Administrative Agent to
pay in accordance with this Section upon receipt of notice of an Event of
Default from the Administrative Agent pursuant to Section 10.5 (except in
respect of losses, liabilities or other obligations suffered by the
Administrative Agent or the Swing Line Lender, as the case may be, resulting
from the gross negligence or willful misconduct of the Administrative Agent or
the Swing Line Lender, as the case may be), and such Lender shall pay interest
to the Administrative Agent for the account of the Swing Line Lender from the
date such amount was due until paid in full, on the unpaid portion thereof, at
a rate of interest per annum, whether before or after judgment, equal to (i)
from the date such amount was due until the third day therefrom, the Federal
Funds Effective Rate, and (ii) thereafter, the Federal Funds Effective Rate plus 2%, payable upon demand by the Swing
Line Lender.  The Administrative Agent
shall distribute such interest payments to the Swing Line Lender upon receipt
thereof in like funds as received.

                           (f)         Whenever the Administrative Agent is
reimbursed by the Borrower for the account of the Swing Line Lender for any
payment in connection with Swing Line Loans and such payment relates to an
amount previously paid by a Lender pursuant to this Section, the Administrative
Agent will promptly remit such payment to such Lender.

             2.3        Notice of Borrowing
Revolving Credit Loans and Swing Line Loans

                           The Borrower agrees
to notify the Administrative Agent (and with respect to a Swing Line Loan, the
Swing Line Lender), which notification shall be irrevocable, no later than (a)
12:00 Noon on the proposed Borrowing Date in the case of Swing Line Loans, (b)
10:00 A.M.  on the proposed Borrowing
Date in the case of Revolving Credit Loans to consist of ABR Advances and (c)
10:00 A.M. at least two Eurodollar Business Days prior to the proposed
Borrowing Date in the case of Revolving Credit Loans to consist of Eurodollar
Advances.  Each such notice shall
specify (i) the aggregate amount requested to be borrowed under the Commitments
or the Swing Line Commitment, (ii) the proposed Borrowing Date, (iii) whether a
borrowing of Revolving Credit Loans is to be of ABR Advances or Eurodollar
Advances, and the amount of each thereof (iv) the Interest Period for such
Eurodollar Advances and (v) the Swing Line Interest Period for, and the amount
of, each Swing Line Loan.  Each such
notice shall be promptly confirmed by delivery to the Administrative Agent
(and, with respect to a Swing Line Loan, the Swing Line Lender) of a Borrowing
Request.  Each Eurodollar Advance to be
made on a Borrowing Date, when aggregated with all amounts to be Converted to
Eurodollar Advances on such date and having the same Interest Period as such
Eurodollar Advance, shall equal no less than $10,000,000, or an integral
multiple of $1,000,000 in excess thereof. 
Each ABR Advance made on each Borrowing Date shall equal no less than
$5,000,000 or an integral multiple of $500,000 in excess thereof.  Each Swing Line Loan made on each Borrowing
Date shall equal no less than $1,000,000 or an integral multiple of $500,000 in
excess thereof.  The Administrative
Agent shall promptly notify each Lender (by telephone or otherwise, such
notification to be confirmed by fax or other writing) of each such Borrowing
Request.  Subject to its receipt of each
such notice from the Administrative Agent and subject to the terms and
conditions hereof, (A) each Lender shall make immediately available funds
available to the Administrative Agent at the address therefor set forth in
Section 11.2 not later than 1:00 P.M. 
on each Borrowing Date in an amount equal to such Lender’s Commitment
Percentage of the Revolving Credit Loans requested by the Borrower on such
Borrowing Date and/or (B) the Swing Line Lender shall make immediately
available funds available to the Borrower on such Borrowing Date in an amount
equal to the Swing Line Loan requested by the Borrower.

             2.4        Competitive
Bid Loans and Procedure

                           (a)         Subject to the terms and conditions
hereof, the Borrower may request competitive bid loans under this Agreement
(each a “Competitive Bid Loan”) during
the Commitment Period.  In order to
request Competitive Bids, the Borrower shall deliver by hand or fax to the
Administrative Agent a duly completed Competitive Bid Request not later than
11:00 A.M., one Domestic Business Day before the proposed Borrowing Date
therefor.  A Competitive Bid Request
that does not conform substantially to the format of Exhibit F may be rejected
by the Administrative Agent in the Administrative Agent’s reasonable
discretion, and the Administrative Agent shall promptly notify the Borrower of
such rejection by fax and telephone. 
Each Competitive Bid Request shall specify (x) the proposed Borrowing
Date for the Competitive Bid Loans then being requested (which shall be a
Domestic Business Day) and the aggregate principal amount thereof and (y) the
Competitive Interest Period or Interest Periods (which shall not exceed ten
different Interest Periods in a single Competitive Bid Request), with respect
thereto (which may not end after the Domestic Business Day immediately preceding
the Commitment Termination Date). 
Promptly after its receipt of each Competitive Bid Request that is not
rejected as aforesaid, the Administrative Agent shall invite by fax (in the
form of Exhibit G) the Lenders to bid, on the terms and conditions of this
Agreement, to make Competitive Bid Loans pursuant to such Competitive Bid
Request.

                           (b)        Each Lender, in its sole and absolute
discretion, may make one or more Competitive Bids to the Borrower responsive to
a Competitive Bid Request.  Each
Competitive Bid by a Lender must be received by the Administrative Agent not
later than 10:00 A.M.  on the proposed
Borrowing Date for the relevant Competitive Bid Loan.  Multiple bids will be accepted by the Administrative Agent.  Bids to make Competitive Bid Loans that do
not conform substantially to the format of Exhibit H may be rejected by the
Administrative Agent after conferring with, and upon the instruction of, the
Borrower, and the Administrative Agent shall notify the Lender making such
nonconforming bid of such rejection as soon as practicable.  Each Competitive Bid shall be irrevocable
and shall specify (x) the principal amount (which (1) shall be in a minimum
principal amount of $5,000,000 or an integral multiple of $1,000,000 in excess
thereof, and (2) may equal the entire principal amount requested by the
Borrower) of the Competitive Bid Loan or Competitive Bid Loans that the Lender
is willing to make to the Borrower, (y) the Competitive Bid Rate or Rates at
which the Lender is prepared to make such Competitive Bid Loan or Competitive
Bid Loans, and (z) the Competitive Interest Period with respect to each such
Competitive Bid Loan and the last day thereof. 
If any Lender shall elect not to make a Competitive Bid, such Lender
shall so notify the Administrative Agent by fax not later than 10:00 A.M.  on the proposed Borrowing Date therefor, provided that the failure by any Lender to
give any such notice shall not obligate such Lender to make any Competitive Bid
Loan in connection with the relevant Competitive Bid Request.

                           (c)         With respect to each Competitive Bid
Request, the Administrative Agent shall (i) notify the Borrower by fax by 11:00
A.M.  on the proposed Borrowing Date
with respect thereto of each Competitive Bid made, the Competitive Bid Rate
applicable thereto and the identity of the Lender that made such Competitive
Bid, and (ii) send a list of all Competitive Bids to the Borrower for its
records as soon as practicable after completion of the bidding process.  Each notice and list sent by the Administrative
Agent pursuant to this Section 2.4(c) shall list the Competitive Bids in
ascending yield order.

                           (d)        The Borrower may in its sole and
absolute discretion, subject only to the provisions of this Section 2.4(d),
accept or reject any Competitive Bid made in accordance with the procedures set
forth in this Section 2.4, and the Borrower shall notify the Administrative
Agent by telephone, confirmed by fax in the form of a Competitive Bid
Accept/Reject Letter, whether and to what extent it has decided to accept or
reject any or all of such Competitive Bids not later than 12:00 Noon on the
proposed Borrowing Date therefor, provided that
the failure by the Borrower to give such notice shall be deemed to be a
rejection of all such Competitive Bids. 
In connection with each acceptance of one or more Competitive Bids by
the Borrower:

                                        (1)         the Borrower shall not accept a
Competitive Bid made at a particular Competitive Bid Rate if the Borrower has
decided to reject a Competitive Bid made at a lower Competitive Bid Rate unless
the acceptance of such lower Competitive Bid would subject the Borrower to any
requirement to withhold any taxes or deduct any amount from any amounts payable
under the Loan Documents, in which case the Borrower may reject such lower Competitive
Bid,

                                        (2)         the aggregate amount of the Competitive
Bids accepted by the Borrower shall not exceed the principal amount specified
in the Competitive Bid Request therefor,

                                        (3)         if the Borrower shall desire to accept
a Competitive Bid made at a particular Competitive Bid Rate, it must accept all
other Competitive Bids at such Competitive Bid Rate, except for any such
Competitive Bid the acceptance of which would subject the Borrower to any
requirement to withhold any taxes or deduct any amount from any amounts payable
under the Loan Documents, provided that
if the acceptance of all such other Competitive Bids would cause the aggregate
amount of all such accepted Competitive Bids to exceed the amount requested,
then such acceptance shall be made pro rata in accordance with the amount of
each such Competitive Bid at such Competitive Bid Rate,

                                        (4)         except pursuant to clause (3) above, no
Competitive Bid shall be accepted unless the Competitive Bid Loan with respect
thereto shall be in a minimum principal amount of $5,000,000 or an integral
multiple of $1,000,000 in excess thereof, and

                                        (5)         no Competitive Bid shall be accepted
and no Competitive Bid Loan shall be made, if immediately after giving effect
thereto, the Aggregate Credit Exposure would exceed the Aggregate Commitment
Amount.

                           (e)         The Administrative Agent shall promptly
fax to each bidding Lender (with a copy to the Borrower) a Competitive Bid
Accept/Reject Letter advising such Lender whether its Competitive Bid has been
accepted (and if accepted, in what amount and at what Competitive Bid Rate),
and each successful bidder so notified will thereupon become bound, subject to
the other applicable conditions hereof, to make the Competitive Bid Loan in
respect of which each of its Competitive Bids has been accepted by making
immediately available funds available to the Administrative Agent at its
address set forth in Section 11.2 not later than 1 :00 P.M.  on the Borrowing Date for such Competitive
Bid Loan in the amount thereof.

                           (f)         Anything herein to the contrary
notwithstanding, if the Administrative Agent shall elect to submit a
Competitive Bid in its capacity as a Lender, it shall submit such bid directly
to the Borrower not later than 9:30 A.M. 
on the relevant proposed Borrowing Date.

                           (g)        All notices required by this Section
shall be given in accordance with Section 11.2.

                           (h)        The Competitive Bid Loans made by each
Lender shall be evidenced by a promissory note of the Borrower, substantially
in the form of Exhibit B-2 (each, as indorsed or modified from time to time, a “Competitive Bid Note”), payable to the
order of such Lender, dated the Effective Date evidencing the obligation of the
Borrower to pay the aggregate unpaid principal balance of all Competitive Bid
Loans made by such Lender to the Borrower, together with interest thereon as
provided herein.  Each Competitive Bid
Loan shall be due and payable on the last day of the Interest Period applicable
thereto or on such earlier date upon which the Loans shall become due and
payable hereunder, whether by acceleration or otherwise.

             2.5        Use of Proceeds

                           The
Borrower agrees that the proceeds of the Loans and Letters of Credit shall be
used solely for its general corporate purposes not inconsistent with the
provisions hereof, including as a backup for the Borrower’s commercial paper
and to refinance all outstanding Indebtedness under the Existing Credit
Agreement.  Notwithstanding anything to
the contrary contained in any Loan Document, the Borrower further agrees that
no part of the proceeds of any Loan or Letter of Credit will be used, directly
or indirectly, for a purpose which violates any law, rule or regulation of any
Governmental Authority, including the provisions of Regulations U or X of the
Board of Governors of the Federal Reserve System, as amended or any provision
of this Agreement, including, without limitation, the provisions of Section
4.9.

             2.6        Termination or Reduction
of Commitments

                           (a)         Voluntary
Termination or Reductions. 
At the Borrower’s option and upon at least three Domestic Business Days’
prior irrevocable notice to the Administrative Agent, the Borrower may (i)
terminate the Commitments, the Swing Line Commitment and the Letter of Credit
Commitment, at any time, or (ii) permanently reduce the Aggregate Commitment Amount,
the Swing Line Commitment or the Letter of Credit Commitment, in part at any
time and from time to time, provided that
(1) each such partial reduction shall be in an amount equal to at least (i) in
the case of the Aggregate Commitment Amount, $10,000,000 or an integral
multiple of $1,000,000 in excess thereof, (ii) in the case of the Swing Line
Commitment, $1,000,000, or an integral multiple of $1,000,000 in excess
thereof, and (iii) in the case of the Letter of Credit Commitment, $1,000,000,
or an integral multiple of $1,000,000 in excess thereof, and (2) immediately
after giving effect to each such reduction, (i) the Aggregate Commitment Amount
shall equal or exceed the sum of the aggregate outstanding principal balance of
all Loans and the Letter of Credit Exposure, (ii) the Swing Line Commitment
shall equal or exceed the aggregate outstanding principal balance of all Swing
Line Loans and (iii) the Letter of Credit Commitment shall equal or exceed the
Letter of Credit Exposure of all Lenders, and provided
further that a notice of termination of the Commitments, the Swing
Line Commitment and the Letter of Credit Commitment delivered by the Borrower
may state that such notice is conditioned upon the effectiveness of other
credit facilities (such notice to specify the proposed effective date), in
which case such notice may be revoked by the Borrower (by notice to the
Administrative Agent on or prior to such specified effective date) if such
condition is not satisfied and the Borrower shall indemnify the Lenders in
accordance with Section 3.5.

                           (b)        In
General.  Each reduction of
the Aggregate Commitment Amount shall be made by reducing each Lender’s
Commitment Amount by a sum equal to such Lender’s Commitment Percentage of the
amount of such reduction.

             2.7        Prepayments of Loans

                           (a)         Voluntary
Prepayments.  The Borrower
may prepay Revolving Credit Loans, Competitive Bid Loans and Swing Line Loans,
in whole or in part, without premium or penalty, but subject to Section 3.5 at
any time and from time to time, by notifying the Administrative Agent, which
notification shall be irrevocable, at least two Eurodollar Business Days, in
the case of a prepayment of Eurodollar Advances, two Domestic Business Days, in
the case of Competitive Bid Loans, or one Domestic Business Day, in the case of
a prepayment of Swing Line Loans and ABR Advances, prior to the proposed
prepayment date specifying (i) the Loans to be prepaid, (ii) the amount to be
prepaid, and (iii) the date of prepayment. 
Upon receipt of each such notice, the Administrative Agent shall
promptly notify each Lender thereof. 
Each such notice given by the Borrower pursuant to this Section shall be
irrevocable, provided that, if a
notice of prepayment is given in connection with a conditional notice of termination
of the Commitments, the Swing Line Commitment and the Letter of Credit
Commitment as contemplated by Section 2.6, then such notice of prepayment may
be revoked if such notice of termination is revoked in accordance with Section
2.6, and the Borrower shall indemnify the Lenders in accordance with Section
3.5.  Each partial prepayment under this
Section shall be in a minimum amount of $1,000,000 ($500,000 in the case of ABR
Advances and Swing Line Loans) or an integral multiple of $1,000,000 ($100,000
in the case of ABR Advances and Swing Line Loans) in excess thereof.

                           (b)        In
General.  Simultaneously with
each prepayment hereunder, the Borrower shall prepay all accrued interest on
the amount prepaid through the date of prepayment and indemnify the Lenders in
accordance with Section 3.5.

             2.8        Letter of Credit
Sub-facility

                           (a)         Subject to the terms and conditions
hereof and the payment by the Borrower to the Issuer of such fees as the
Borrower and the Issuer shall have agreed in writing, the Issuer agrees, in
reliance on the agreement of the other Lenders set forth in Section 2.9, to
issue standby letters of credit (each a “Letter
of Credit” and, collectively, the “Letters
of Credit”) during the Commitment Period for the account of the
Borrower, provided that
immediately after the issuance of each Letter of Credit (i) the Letter of
Credit Exposure of all Lenders shall not exceed the Letter of Credit
Commitment, and (ii) the Aggregate Credit Exposure shall not exceed the
Aggregate Commitment Amount.  Each Letter
of Credit shall have an expiration date which shall be not later than the
earlier to occur of one year from the date of issuance thereof or 5 days prior
to the Commitment Termination Date.  No
Letter of Credit shall be issued if the Administrative Agent, or any Lender by
notice to the Administrative Agent and the Issuer no later than 3:00 P.M.  one Domestic Business Day prior to the
requested date of issuance of such Letter of Credit, shall have determined that
the conditions set forth in Sections 5 and 6 have not been satisfied.

                           (b)        Each Letter of Credit shall be issued
for the account of the Borrower support of an obligation of the Borrower in
favor of a beneficiary who has requested the Issuance of such Letter of Credit
as a condition to a transaction entered into in connection with the Borrower’s
ordinary course of business.  The
Borrower shall give the Administrative Agent a Letter of Credit Request for the
issuance of each Letter of Credit by 12:00 Noon at least two Domestic Business
Days prior to the requested date of issuance. 
Such Letter of Credit Request shall be accompanied by the Issuer’s
standard Application and Agreement for Standby Letter of Credit (each a “Reimbursement Agreement”) executed by the
Borrower, and shall specify (i) the beneficiary of such Letter of Credit and
the obligations of the Borrower in respect of which such Letter of Credit is to
be issued, (ii) the Borrower’s proposal as to the conditions under which a
drawing may be made under such Letter of Credit and the documentation to be
required in respect thereof, (iii) the maximum amount to be available under
such Letter of Credit, and (iv) the requested date of issuance.  Upon receipt of such Letter of Credit
Request from the Borrower, the Administrative Agent shall promptly notify the
Issuer and each other Lender thereof. 
The Issuer shall, on the proposed date of issuance and subject to the
other terms and conditions of this Agreement, issue the requested Letter of
Credit.  Each Letter of Credit shall be
in form and substance reasonably satisfactory to the Issuer, with such
provisions with respect to the conditions under which a drawing may be made
thereunder and the documentation required in respect of such drawing as the
Issuer shall reasonably require.  Each
Letter of Credit shall be used solely for the purposes described therein.

                           (c)         Each payment by the Issuer of a draft
drawn under a Letter of Credit shall give rise to the obligation of the
Borrower to immediately reimburse the Issuer for the amount thereof.  The Issuer shall promptly notify the
Borrower of such payment by the Issuer of a draft drawn under a Letter of
Credit, but any failure to so notify shall not in any manner affect the
obligation of the Borrower to make reimbursement when due.  In lieu of such notice, if the Borrower has
not made reimbursement prior to the end of the Domestic Business Day when due,
the Borrower hereby authorizes the Issuer to deduct the amount of any such
reimbursement from such account(s) as the Borrower may from time to time designate
in writing to the Issuer, upon which the Issuer shall apply the amount of such
deduction to such reimbursement.  If all
or any portion of any reimbursement obligation in respect of a Letter of Credit
shall not be paid when due (whether at the stated maturity thereof, by
acceleration or otherwise), such overdue amount shall bear interest, payable
upon demand, at a rate per annum equal to the Alternate Base Rate plus the
Applicable Margin applicable to ABR Advances plus
2%, from the date of such nonpayment until paid in full (whether
before or after the entry of a judgment thereon).

             2.9        Letter of Credit
Participation

                           (a)         Each Lender hereby unconditionally and
irrevocably, severally (and not jointly) takes an undivided participating
interest in the obligations of the Issuer under and in connection with each
Letter of Credit in an amount equal to such Lender’s Commitment Percentage of
the amount of such Letter of Credit. 
Each Lender shall be liable to the Issuer for its Commitment Percentage
of the unreimbursed amount of any draft drawn and honored under each Letter of
Credit.  Each Lender shall also be
liable for an amount equal to the product of its Commitment Percentage and any
amounts paid by the Borrower pursuant to Sections 2.8 and 2.10 that are subsequently
rescinded or avoided, or must otherwise be restored or returned.  Such liabilities shall be unconditional and
without regard to the occurrence of any Default or Event of Default or the
compliance by the Borrower with any of its obligations under the Loan
Documents.

                           (b)        The Issuer shall promptly notify the
Administrative Agent, and the Administrative Agent shall promptly notify each
Lender (which notice shall be promptly confirmed in writing), of the date and
the amount of each draft paid under each Letter of Credit with respect to which
full reimbursement payment shall not have been made by the Borrower as provided
in Section 2.8(c), and forthwith upon receipt of such notice, such Lender shall
promptly make available to the Administrative Agent for the account of the
Issuer its Commitment Percentage of the amount of such unreimbursed draft at
the office of the Administrative Agent specified in Section 11.2 in lawful
money of the United States and in immediately available funds.  The Administrative Agent shall distribute
the payments made by each Lender pursuant to the immediately preceding sentence
to the Issuer promptly upon receipt thereof in like funds as received.  Each Lender shall indemnify and hold harmless
the Administrative Agent and the Issuer from and against any and all losses,
liabilities (including liabilities for penalties), actions, suits, judgments,
demands, costs and expenses (including, without limitation, reasonable
attorneys’ fees and expenses) resulting from any failure on the part of such
Lender to provide, or from any delay in providing, the Administrative Agent
with such Lender’s Commitment Percentage of the amount of any payment made by
the Issuer under a Letter of Credit in accordance with this clause (b) above
(except in respect of losses, liabilities or other obligations suffered by the
Administrative Agent or the Issuer, as the case may be, resulting from the
gross negligence or willful misconduct of the Administrative Agent or the
Issuer, as the case may be).  If a Lender
does not make available to the Administrative Agent when due such Lender’s
Commitment Percentage of any unreimbursed payment made by the Issuer under a
Letter of Credit, such Lender shall be required to pay interest to the
Administrative Agent for the account of the Issuer on such Lender’s Commitment
Percentage of such payment at a rate of interest per annum equal to (i) from
the date such Lender should have made such amount available until the third day
therefrom, the Federal Funds Effective Rate, and (ii) thereafter, the Federal
Funds Effective Rate plus 2%, in
each case payable upon demand by the Issuer. 
The Administrative Agent shall distribute such interest payments to the
Issuer upon receipt thereof in like funds as received.

                           (c)         Whenever the Administrative Agent is
reimbursed by the Borrower, for the account of the Issuer, for any payment
under a Letter of Credit and such payment relates to an amount previously paid
by a Lender in respect of its Commitment Percentage of the amount of such payment
under such Letter of Credit, the Administrative Agent (or the Issuer, if such
payment by a Lender was paid by the Administrative Agent to the Issuer) will
promptly pay over such payment to such Lender.

             2.10      Absolute
Obligation with respect to Letter of Credit Payments

                           The
Borrower’s obligation to reimburse the Administrative Agent for the account of
the Issuer for each payment under or in respect of each Letter of Credit shall
be absolute and unconditional under any and all circumstances and irrespective
of any set-off, counterclaim or defense to payment which the Borrower may have
or have had against the beneficiary of such Letter of Credit, the
Administrative Agent, the Issuer, the Swing Line Lender, any Lender or any
other Person, including, without limitation, any defense based on the failure
of any drawing to conform to the terms of such Letter of Credit, any drawing
document proving to be forged, fraudulent or invalid, or the legality,
validity, regularity or enforceability of such Letter of Credit, provided, however,
that, with respect to any Letter of Credit, the foregoing shall not relieve the
Issuer of any liability it may have to the Borrower for any actual damages
sustained by the Borrower arising from a wrongful payment (or failure to pay) under
such Letter of Credit made as a result of the Issuer’s gross negligence or
willful misconduct.

3.          PROCEEDS,
PAYMENTS, CONVERSIONS, INTEREST, YIELD PROTECTION AND FEES

             3.1        Disbursement of the
Proceeds of the Loans

                           The Administrative
Agent shall disburse the proceeds of the Loans (other than the Swing Line
Loans) at its office specified in Section 11.2 by crediting to the Borrower’s
general deposit account with the Administrative Agent the funds received from
each Lender.  Unless the Administrative
Agent shall have received prior notice from a Lender (by telephone or
otherwise, such notice to be confirmed by fax or other writing) that such
Lender will not make available to the Administrative Agent such Lender’s
Commitment Percentage of the Revolving Credit Loans, or the amount of any
Competitive Bid Loan, to be made by it on a Borrowing Date, the Administrative
Agent may assume that such Lender has made such amount available to the
Administrative Agent on such Borrowing Date in accordance with this Section, provided that, in the case of a Revolving
Credit Loan, such Lender received notice thereof from the Administrative Agent
in accordance with the terms hereof, and the Administrative Agent may, in
reliance upon such assumption, make available to the Borrower on such Borrowing
Date a corresponding amount.  If and to
the extent such Lender shall not have so made such amount available to the
Administrative Agent, such Lender and the Borrower severally agree to pay to
the Administrative Agent, forthwith on demand, such corresponding amount (to
the extent not previously paid by the other), together with interest thereon
for each day from the date such amount is made available to the Borrower until
the date such amount is paid to the Administrative Agent, at a rate per annum
equal to, in the case of the Borrower, the applicable interest rate set forth
in Section 3.4(a) and, in the case of such Lender, the Federal Funds Effective
Rate from the date such payment is due until the third day after such date and,
thereafter, at the Federal Funds Effective Rate plus 2%.  Any such
payment by the Borrower shall be without prejudice to its rights against such
Lender.  If such Lender shall pay to the
Administrative Agent such corresponding amount, such amount so paid shall constitute
such Lender’s Loan as part of such Loans for purposes of this Agreement, which
Loan shall be deemed to have been made by such Lender on the Borrowing Date
applicable to such Loans.

             3.2        Payments

                           (a)         Each borrowing of Revolving Credit
Loans by the Borrower from the Lenders, any Conversion of Revolving Credit
Loans from one Type to another, and any reduction in the Commitments shall be
made pro rata according to the Commitment Percentage of each Lender.  Each payment, including each prepayment, of
principal and interest on the Loans and of the Facility Fee, the Utilization
Fee and the Letter of Credit Participation Fee (collectively, together with all
of the other fees to be paid to the Administrative Agent, the Lenders, the
Issuer and the Swing Line Lender in connection with the Loan Documents, the “Fees”), and of all of the other amounts
to be paid to the Administrative Agent and the Lenders in connection with the
Loan Documents shall be made by the Borrower to the Administrative Agent at its
office specified in Section 11.2 in funds immediately available in New York by
3:00 P.M.  on the due date for such
payment.  The failure of the Borrower to
make any such payment by such time shall not constitute a default hereunder, provided that such payment is made on such
due date, but any such payment made after 3:00 P.M.  on such due date shall be deemed to have been made on the next
Domestic Business Day or Eurodollar Business Day, as the case may be, for the
purpose of calculating interest on amounts outstanding on the Loans.  If the Borrower has not made any such
payment prior to 3:00 P.M., the Borrower hereby authorizes the Administrative
Agent to deduct the amount of any such payment from such account(s) as the
Borrower may from time to time designate in writing to the Administrative
Agent, upon which the Administrative Agent shall apply the amount of such
deduction to such payment.  Promptly
upon receipt thereof by the Administrative Agent, each payment of principal and
interest on the: (i) Revolving Credit Loans shall be remitted by the
Administrative Agent in like funds as received to each Lender (a) first, pro
rata according to the amount of interest which is then due and payable to the
Lenders, and (b) second, pro rata according to the amount of principal which is
then due and payable to the Lenders, (ii) Competitive Bid Loans shall be
remitted by the Administrative Agent in like funds as received to each
applicable Lender and (iii) Swing Line Loans shall be remitted by the
Administrative Agent in like funds as received to the Swing Line Lender.  Each payment of the Fees payable to the
Lenders shall be promptly transmitted by the Administrative Agent in like funds
as received to each Lender pro rata according to such Lender’s Commitment
Amount or, if the Commitments shall have terminated or been terminated,
according to the outstanding principal amount of such Lender’s Revolving Credit
Loans.

                           (b)        If any payment hereunder or under the
Loans shall be due and payable on a day which is not a Domestic Business Day or
Eurodollar Business Day, as the case may be, the due date thereof (except as
otherwise provided in the definition of Eurodollar Interest Period or
Competitive Interest Period) shall be extended to the next Domestic Business
Day or Eurodollar Business Day, as the case may be, and (except with respect to
payments in respect of the Facility Fee, the Utilization Fee and the Letter of
Credit Participation Fee) interest shall be payable at the applicable rate
specified herein during such extension.

             3.3        Conversions; Other
Matters

                           (a)         The Borrower may elect at any time and
from time to time to Convert one or more Eurodollar Advances to an ABR Advance
by giving the Administrative Agent at least one Domestic Business Day’s prior
irrevocable notice of such election, specifying the amount to be so
Converted.  In addition, the Borrower
may elect at any time and from time to time to Convert an ABR Advance to any
one or more new Eurodollar Advances or to Convert any one or more existing
Eurodollar Advances to any one or more new Eurodollar Advances by giving the
Administrative Agent at least two Eurodollar Business Days’ prior irrevocable
notice, in the case of a Conversion to Eurodollar Advances, of such election,
specifying the amount to be so Converted and the initial Interest Period
relating thereto, provided that
any Conversion of an ABR Advance to Eurodollar Advances shall only be made on a
Eurodollar Business Day.  The
Administrative Agent shall promptly provide the Lenders with notice of each
such election.  ABR Advances and
Eurodollar Advances may be Converted pursuant to this Section in whole or in
part, provided that the amount to
be Converted to each Eurodollar Advance, when aggregated with any Eurodollar
Advance to be made on such date in accordance with Section 2.1 and having the
same Interest Period as such first Eurodollar Advance, shall equal no less than
$10,000,000 or an integral multiple of $1,000,000 in excess thereof.

                           (b)        Notwithstanding anything in this
Agreement to the contrary, upon the occurrence and during the continuance of a
Default or an Event of Default, the Borrower shall have no right to elect to
Convert any existing ABR Advance to a new Eurodollar Advance or to Convert any
existing Eurodollar Advance to a new Eurodollar Advance.  In such event, such ABR Advance shall be
automatically continued as an ABR Advance or such Eurodollar Advance shall be
automatically Converted to an ABR Advance on the last day of the Interest
Period applicable to such Eurodollar Advance. 
The foregoing shall not affect any other rights or remedies that the
Administrative Agent or any Lender may have under this Agreement or any other
Loan Document.

                           (c)         Each Conversion shall be effected by
each Lender by applying the proceeds of each new ABR Advance or Eurodollar
Advance, as the case may be, to the existing Advance (or portion thereof) being
Converted (it being understood that such Conversion shall not constitute a
borrowing for purposes of Sections 4, 5 or 6).

                           (d)        Notwithstanding any other provision of
any Loan Document:

                                        (i)          if the Borrower shall have failed to
elect a Eurodollar Advance under Section 2.3 or this Section 3.3, as the case
may be, in connection with any borrowing of new Revolving Credit Loans or
expiration of an Interest Period with respect to any existing Eurodollar
Advance, the amount of the Revolving Credit Loans subject to such borrowing or
such existing Eurodollar Advance shall thereafter be an ABR Advance until such
time, if any, as the Borrower shall elect a new Eurodollar Advance pursuant to
this Section 3.3,

                                        (ii)         the Borrower shall not be permitted to
select a Eurodollar Advance the Interest Period in respect of which ends later
than the Commitment Termination Date or such earlier date upon which all of the
Commitments shall have been voluntarily terminated by the Borrower in
accordance with Section 2.6, and

                                        (iii)        the Borrower shall not be permitted to
have more than 10 Eurodollar Advances and Competitive Bid Loans, in the
aggregate, outstanding at any one time, it being understood and agreed that
each borrowing of Eurodollar Advances or Competitive Bid Loans pursuant to a
single Borrowing Request or Competitive Bid Request, as the case may be, shall
constitute the making of one Eurodollar Advance or Competitive Bid Loan for the
purpose of calculating such limitation.

             3.4        Interest
Rates and Payment Dates

                           (a)         Prior
to Maturity.  Except as
otherwise provided in Sections 3.4(b) and 3.4(c), the Loans shall bear interest
on the unpaid principal balance thereof at the applicable interest rate or
rates per annum set forth below:

	 	LOANS	 	RATE
	 	 	 	 
	 	Revolving
  Credit Loans constituting ABR Advances	 	Alternate
  Base Rate applicable thereto plus the Applicable Margin.
	 	 	 	 
	 	Revolving
  Credit Loans constituting Eurodollar Advances	 	Eurodollar
  Rate applicable thereto plus the Applicable Margin.
	 	 	 	 
	 	Competitive
  Bid Loans	 	Fixed
  rate of interest applicable thereto accepted by the Borrower pursuant to
  Section 2.4(d).
	 	 	 	 
	 	Swing
  Line Loans	 	Negotiated
  Rate applicable thereto as provided in Section 2.2(a).

                           (b)        After
Maturity, Late Payment Rate.  After maturity, whether by acceleration,
notice of intention to prepay or otherwise, the outstanding principal balance
of the Loans shall bear interest at the Alternate Base Rate plus 2% per annum until paid (whether before or
after the entry of any judgment thereon). 
Any payment of principal, interest or any Fees not paid on the date when
due and payable shall bear interest at the Alternate Base Rate plus 2% per annum from the due date thereof until
the date such payment is made (whether before or after the entry of any
judgment thereon).

                           (c)         Highest
Lawful Rate.  Notwithstanding
anything to the contrary contained in this Agreement, at no time shall the
interest rate payable to any Lender on any of its Loans, together with the Fees
and all other amounts payable hereunder to such Lender to the extent the same
constitute or are deemed to constitute interest, exceed the Highest Lawful
Rate.  If in respect of any period
during the term of this Agreement, any amount paid to any Lender hereunder, to
the extent the same shall (but for the provisions of this Section 3.4)
constitute or be deemed to constitute interest, would exceed the maximum amount
of interest permitted by the Highest Lawful Rate during such period (such
amount being hereinafter referred to as an “Unqualified
Amount”), then (i) such Unqualified Amount shall be applied or shall
be deemed to have been applied as a prepayment of the Loans of such Lender, and
(ii) if, in any subsequent period during the term of this Agreement, all
amounts payable hereunder to such Lender in respect of such period which
constitute or shall be deemed to constitute interest shall be less than the
maximum amount of interest permitted by the Highest Lawful Rate during such
period, then the Borrower shall pay to such Lender in respect of such period an
amount (each a “Compensatory Interest
Payment”) equal to the lesser of (x) a sum which, when added to all
such amounts, would equal the maximum amount of interest permitted by the
Highest Lawful Rate during such period, and (y) an amount equal to the
aggregate sum of all Unqualified Amounts less
all other Compensatory Interest Payments.

                           (d)        General.  Interest shall be payable in arrears on each
Interest Payment Date, on the Commitment Termination Date and, to the extent
provided in Section 2.7(b), upon each prepayment of the Loans.  Any change in the interest rate on the Loans
resulting from an increase or a decrease in the Alternate Base Rate or any
reserve requirement shall become effective as of the opening of business on the
day on which such change shall become effective.  The Administrative Agent shall, as soon as practicable, notify
the Borrower and the Lenders of the effective date and the amount of each
change in the BNY Rate, but any failure to so notify shall not in any manner
affect the obligation of the Borrower to pay interest on the Loans in the
amounts and on the dates set forth herein. 
Each determination by the Administrative Agent of the Alternate Base
Rate, the Eurodollar Rate and the Competitive Rate pursuant to this Agreement
shall be conclusive and binding on the Borrower absent manifest error.  The Borrower acknowledges that to the extent
interest payable on the Loans is based on the Alternate Base Rate, such rate is
only one of the bases for computing interest on loans made by the Lenders, and
by basing interest payable on ABR Advances on the Alternate Base Rate, the
Lenders have not committed to charge, and the Borrower has not in any way bargained
for, interest based on a lower or the lowest rate at which the Lenders may now
or in the future make extensions of credit to other Persons.  All interest (other than interest calculated
with reference to the BNY Rate) shall be calculated on the basis of a 360-day
year for the actual number of days elapsed, and all interest determined with
reference to the BNY Rate shall be calculated on the basis of a 365/366-day
year for the actual number of days elapsed.

             3.5        Indemnification for Loss

                           Notwithstanding
anything contained herein to the contrary, if: (i) the Borrower shall fail to
borrow a Eurodollar Advance or if the Borrower shall fail to Convert a
Eurodollar Advance after it shall have given notice to do so in which it shall
have requested a Eurodollar Advance pursuant to Section 2.3 or 3.3, as the case
may be, (ii) the Borrower shall fail to borrow a Competitive Bid Loan after it
shall have accepted any offer with respect thereto in accordance with Section
2.4 or a Swing Line Loan after it shall have agreed to a Negotiated Rate with
respect thereto in accordance with Section 2.2(a), (iii) a Eurodollar Advance,
Competitive Bid Loan or Swing Line Loan shall be terminated for any reason
prior to the last day of the Interest Period applicable thereto, (iv) any
repayment or prepayment of the principal amount of a Eurodollar Advance,
Competitive Bid Loan or Swing Line Loan is made for any reason on a date which
is prior to the last day of the Interest Period applicable thereto, or (v) the
Borrower shall have revoked a notice of prepayment or notice of termination of
the Commitments, the Swing Line Commitment and the Letter of Credit Commitment
that was conditioned upon the effectiveness of other credit facilities pursuant
to Section 2.6 or 2.7, the Borrower agrees to indemnify each Lender (or the
Swing Line Lender, as applicable) against, and to pay on demand directly to
such Lender the amount (calculated by such Lender using any method chosen by
such Lender which is customarily used by such Lender for such purpose) equal to
any loss or expense suffered by such Lender as a result of such failure to
borrow or Convert, or such termination, repayment, prepayment or revocation,
including any loss, cost or expense suffered by such Lender in liquidating or
employing deposits acquired to fund or maintain the funding of such Eurodollar
Advance, Competitive Bid Loan or Swing Line Loan, as the case may be, or
redeploying funds prepaid or repaid, in amounts which correspond to such
Eurodollar Advance, Competitive Bid Loan or Swing Line Loan, as the case may
be, and any reasonable internal processing charge customarily charged by such
Lender in connection therewith.

             3.6        Reimbursement for
Costs, Etc.

                           If
at any time or from time to time there shall occur a Regulatory Change and the
Issuer or any Lender shall have reasonably determined that such Regulatory
Change (i) shall have had or will thereafter have the effect of reducing (A)
the rate of return on the Issuer’s or such Lender’s capital or the capital of
any Person directly or indirectly owning or controlling the Issuer or such
Lender (each a “Control Person”),
or (B) the asset value (for capital purposes) to the Issuer, such Lender or
such Control Person, as applicable, of the Reimbursement Obligations, or any
participation therein, or the Loans, or any participation therein, in any case
to a level below that which the Issuer, such Lender or such Control Person
could have achieved or would thereafter be able to achieve but for such
Regulatory Change (after taking into account the Issuer’s, such Lender’s or
such Control Person’s policies regarding capital), (ii) will impose, modify or
deem applicable any reserve, asset, special deposit or special assessment
requirements on deposits obtained in the interbank eurodollar market in
connection with the Loan Documents (excluding, with respect to any Eurodollar
Advance, any such requirement which is included in the determination of the
rate applicable thereto), (iii) will subject the Issuer, such Lender or such
Control Person, as applicable, to any tax (documentary, stamp or otherwise)
with respect to this Agreement, any Note, or any Reimbursement Agreement, or
(iv) will change the basis of taxation of payments to the Issuer, such Lender
or such Control Person, as applicable, of principal, interest or fees payable
under the Loan Documents (except, in the case of clauses (iii) and (iv) above,
for any tax or changes in the rate of tax on the Issuer’s, such Lender’s or
such Control Person’s net income) then, in each such case, within ten days
after demand by the Issuer or such Lender, as applicable, the Borrower shall
pay to the Issuer, such Lender or such Control Person, as the case may be, such
additional amount or amounts as shall be sufficient to compensate the Issuer,
such Lender or such Control Person, as the case may be, for any such reduction,
reserve or other requirement, tax, loss, cost or expense (excluding general
administrative and overhead costs) (collectively, “Costs”) attributable to the Issuer’s, such Lender’s or such
Control Person’s compliance during the term hereof with such Regulatory
Change.  The Issuer and each Lender may
make multiple requests for compensation under this Section.

                           Notwithstanding the
foregoing, the Borrower will not be required to compensate any Lender for any
Costs under this Section 3.6 arising prior to 45 days preceding the date of
demand, unless the applicable Regulatory Change giving rise to such Costs is
imposed retroactively.  In the case of
retroactivity, such notice shall be provided to the Borrower not later than 45
days from the date that such Lender learned of such Regulatory Change.  The Borrower’s obligation to compensate such
Lender shall be contingent upon the provision of such timely notice (but any
failure by such Lender to provide such timely notice shall not affect the
Borrower’s obligations with respect to (i) Costs incurred from the date as of
which such Regulatory Change became effective to the date that is 45 days after
the date such Lender reasonably should have learned of such Regulatory Change
and (ii) Costs incurred following the provision of such notice).

             3.7        Illegality of Funding

                           Notwithstanding
any other provision hereof, if any Lender shall reasonably determine that any
law, regulation, treaty or directive, or any change therein or in the
interpretation or application thereof, shall make it unlawful for such Lender
to make or maintain any Eurodollar Advance as contemplated by this Agreement,
such Lender shall promptly notify the Borrower and the Administrative Agent
thereof, and (a) the commitment of such Lender to make such Eurodollar Advances
or Convert ABR Advances to such Eurodollar Advances shall forthwith be
suspended, (b) such Lender shall fund its portion of each requested Eurodollar
Advance as an ABR Advance and (c) such Lender’s Loans then outstanding as such
Eurodollar Advances, if any, shall be Converted automatically to an ABR Advance
on the last day of the then current Interest Period applicable thereto or at
such earlier time as may be required. 
If the commitment of any Lender with respect to Eurodollar Advances is
suspended pursuant to this Section and such Lender shall have obtained actual
knowledge that it is once again legal for such Lender to make or maintain
Eurodollar Advances, such Lender shall promptly notify the Administrative Agent
and the Borrower thereof and, upon receipt of such notice by each of the
Administrative Agent and the Borrower, such Lender’s commitment to make or
maintain Eurodollar Advances shall be reinstated.  If the commitment of any Lender with respect to Eurodollar
Advances is suspended pursuant to this Section, such suspension shall not
otherwise affect such Lender’s Commitment.

             3.8        Option to Fund;
Substituted Interest Rate

                           (a)         Each Lender has indicated that, if the
Borrower requests a Swing Line Loan, a Eurodollar Advance or a Competitive Bid
Loan, such Lender may wish to purchase one or more deposits in order to fund or
maintain its funding of its Commitment Percentage of such Eurodollar Advance or
its Swing Line Loan or Competitive Bid Loan during the Interest Period with
respect thereto; it being understood that the provisions of this Agreement
relating to such funding are included only for the purpose of determining the
rate of interest to be paid in respect of such Swing Line Loan, Eurodollar
Advance or Competitive Bid Loan and any amounts owing under Sections 3.5 and
3.6.  The Swing Line Lender and each
Lender shall be entitled to fund and maintain its funding of all or any part of
each Swing Line Loan, Eurodollar Advance and Competitive Bid Loan in any manner
it sees fit, but all such determinations hereunder shall be made as if such
Lender had actually funded and maintained its Commitment Percentage of each
Eurodollar Advance or its Swing Line Loan or Competitive Bid Loan, as the case
may be, during the applicable Interest Period through the purchase of deposits
in an amount equal to the amount of its Commitment Percentage of such
Eurodollar Advance or the amount of such Swing Line Loan or Competitive Bid
Loan, as the case may be, and having a maturity corresponding to such Interest
Period.  Each Lender may fund its Loans
from or for the account of any branch or office of such Lender as such Lender
may choose from time to time, subject to Section 3.10.

                           (b)        In the event that (i) the Administrative
Agent shall have determined in good faith (which determination shall be
conclusive and binding upon the Borrower) that by reason of circumstances
affecting the interbank eurodollar market either adequate and reasonable means
do not exist for ascertaining the Eurodollar Rate applicable pursuant to
Section 2.3 or Section 3.3, or (ii) the Required Lenders shall have notified
the Administrative Agent that they have in good faith determined (which
determination shall be conclusive and binding on the Borrower) that the
applicable Eurodollar Rate will not adequately and fairly reflect the cost to
such Lenders of maintaining or funding loans bearing interest based on such
Eurodollar Rate with respect to any portion of the Loans that the Borrower has
requested be made as Eurodollar Advances or any Eurodollar Advance that will
result from the requested conversion of any portion of the Loans into
Eurodollar Advances (each, an “Affected
Advance”), the Administrative Agent shall promptly notify the
Borrower and the Lenders (by telephone or otherwise, to be promptly confirmed
in writing) of such determination on or, to the extent practicable, prior to
the requested Borrowing Date or conversion date for such Affected Advances.  If the Administrative Agent shall give such
notice, (A) any Affected Advances shall be made as ABR Advances (or, subject to
the terms and conditions hereof, Competitive Bid Loans), (B) the Loans (or any
portion thereof) that were to have been Converted to Affected Advances shall be
Converted to or continued as ABR Advances (or, subject to the terms and
conditions hereof, Competitive Bid Loans), and (C) any outstanding Affected
Advances shall be Converted, on the last day of the then current Interest
Period with respect thereto, to ABR Advances (or, subject to the terms and
conditions hereof, Competitive Bid Loans). 
Until any notice under clauses (i) or (ii), as the case may be, of this
Section 3.8(b) has been withdrawn by the Administrative Agent (by notice to the
Borrower) promptly upon either (x) the Administrative Agent having determined
that such circumstances affecting the relevant market no longer exist and that
adequate and reasonable means do exist for determining the Eurodollar Rate
pursuant to Section 2.3 or Section 3.3, or (y) the Administrative Agent having
been notified by such Required Lenders that circumstances no longer render the
Loans (or any portion thereof) Affected Advances, no further Eurodollar
Advances shall be required to be made by the Lenders nor shall the Borrower
have the right to Convert all or any portion of the Loans to Eurodollar
Advances.

             3.9        Certificates
of Payment and Reimbursement

                           Each
Issuer and each Lender agrees, in connection with any request by it for payment
or reimbursement pursuant to Section 3.5 or 3.6, to provide the Borrower with a
certificate, signed by an officer of the Issuer or such Lender, as the case may
be, setting forth a description in reasonable detail of any such payment or
reimbursement.  Each determination by the
Issuer and each Lender of such payment or reimbursement shall be conclusive
absent manifest error.

             3.10      Taxes;
Net Payments

                           (a)         All payments made by the Borrower under
the Loan Documents shall be made free and clear of, and without reduction for
or on account of, any taxes required by law to be withheld from any amounts
payable under the Loan Documents.  In
the event that the Borrower is prohibited by law from making such payments free
of deductions or withholdings, then the Borrower shall pay such additional
amounts to the Administrative Agent, for the benefit of the Issuer and the
Lenders, as may be necessary in order that the actual amounts received by the
Issuer and the Lenders in respect of interest and any other amounts payable
under the Loan Documents after deduction or withholding (and after payment of
any additional taxes or other charges due as a consequence of the payment of
such additional amounts) shall equal the amount that would have been received
if such deduction or withholding were not required.  In the event that any such deduction or withholding can be
reduced or nullified as a result of the application of any relevant double
taxation convention, the Lenders, the Issuer and the Administrative Agent will,
at the expense of the Borrower, cooperate with the Borrower in making
application to the relevant taxing authorities seeking to obtain such reduction
or nullification, provided that
the Lenders, the Issuer and the Administrative Agent shall have no obligation
to (i) engage in any litigation, hearing or proceeding with respect thereto or
(ii) disclose any tax return or other confidential information.  If the Borrower shall make any payment under
this Section or shall make any deduction or withholding from amounts paid under
any Loan Document, the Borrower shall forthwith forward to the Administrative
Agent original or certified copies of official receipts or other evidence
acceptable to the Administrative Agent establishing each such payment,
deduction or withholding, as the case may be, and the Administrative Agent in
turn shall distribute copies thereof to the Issuer and each Lender.  If any payment to the Issuer or any Lender
under any Loan Document is or becomes subject to any withholding, the Issuer or
such Lender, as the case may be, shall (unless otherwise required by a
Governmental Authority or as a result of any law, rule, regulation, order or
similar directive applicable to the Issuer or such Lender, as the case may be)
designate a different office or branch to which such payment is to be made from
that initially selected thereby, if such designation would avoid such
withholding and would not be otherwise disadvantageous to the Issuer or such
Lender, as the case may be, in any respect. 
In the event that the Issuer or any Lender determines that it received a
refund or credit for taxes paid by the Borrower under this Section, the Issuer
or such Lender, as the case may be, shall promptly notify the Administrative
Agent and the Borrower of such fact and shall remit to the Borrower the amount
of such refund or credit applicable to the payments made by the Borrower in
respect of the Issuer or such Lender, as the case may be, under this Section.

                           So long as it is
lawfully able to do so, each Lender not incorporated under the laws of the United
States or any State thereof shall deliver to the Borrower such certificates,
documents, or other evidence as the Borrower may reasonably require from time
to time as are necessary to establish that such Lender is not subject to
withholding under Section 1441, 1442 or 3406 of the Internal Revenue Code or as
may be necessary to establish, under any law imposing upon the Borrower,
hereafter, an obligation to withhold any portion of the payments made by the
Borrower under the Loan Documents, that payments to the Administrative Agent on
behalf of such Lender are not subject to withholding.  Notwithstanding any provision herein to the contrary, the
Borrower shall have no obligation to pay to the Issuer, the Swing Line Lender
or any Lender any amount which the Borrower is liable to withhold due to the
failure of the Issuer, the Swing Line Lender or such Lender, as the case may
be, to file any statement of exemption required by the Internal Revenue Code.

             3.11      Fees

                           (a)         Facility
Fee.  The Borrower agrees to pay
to the Administrative Agent for the pro rata account of each Lender a fee (the “Facility Fee”) during the period
commencing on the Effective Date and ending on the Expiration Date, payable
quarterly in arrears on the last day of each March, June, September and
December of each year, commencing on the last day of the calendar quarter in
which the Effective Date shall have occurred, and on the Expiration Date, at a
rate per annum equal to the Applicable Margin of (a) prior to the Commitment
Termination Date or such earlier date upon which all of the Commitments shall
have been voluntarily terminated by the Borrower in accordance with Section
2.6, the Commitment Amount of such Lender (whether used or unused), and (b)
thereafter, the sum of (i) the outstanding principal balance of all Revolving
Credit Loans of such Lender, (ii) such Lender’s Swing Line Exposure and (iii)
such Lender’s Letter of Credit Exposure. 
Notwithstanding anything to the contrary contained in this Section, on
and after the Commitment Termination Date, the Facility Fee shall be payable
upon demand.  In addition, upon each
reduction of the Aggregate Commitment Amount, the Borrower shall pay the
Facility Fee accrued on the amount of such reduction through the date of such
reduction.  The Facility Fee shall be
computed on the basis of a 360-day year for the actual number of days elapsed.

                           (b)        Utilization
Fee.  The Borrower agrees to
pay to the Administrative Agent for the pro rata account of each Lender a fee
(the “Utilization Fee”) for each
day during the period commencing on the Effective Date and ending on the
Expiration Date (or, if later, the date when the Committed Credit Exposure of
such Lender is $0) that the sum of the Aggregate Credit Exposure plus the
Aggregate Credit Exposure (as defined in the Other Credit Agreement) on such
date exceeds 50% of the sum of the Aggregate Commitment Amount plus the
Aggregate Commitment Amount (as defined in the Other Credit Agreement) on such
date, payable on each Interest Payment Date (other than an Interest Payment
Date applicable solely to Competitive Bid Loans) or if Letters of Credit are
outstanding, but no Revolving Credit Loans or Swing Line Loans are outstanding,
payable on each date that the Letter of Credit Participation Fee is payable, at
a rate per annum equal to the Applicable Margin of the Committed Credit
Exposure of such Lender on such date. 
Notwithstanding anything to the contrary contained in this Section, on
and after the Commitment Termination Date, the Utilization Fee shall be payable
upon demand.  The Utilization Fee shall
be computed on the basis of a 360-day year for the actual number of days
elapsed.

             3.12      Letter of
Credit Participation Fee

                           The
Borrower agrees to pay to the Administrative Agent for the pro rata account of
each Lender a fee (the “Letter of Credit
Participation Fee”) with respect to the Letters of Credit during the
period commencing on the Effective Date and ending on the Commitment
Termination Date or, if later, the date when the Letter of Credit Exposure of all
Lenders is $0, payable quarterly in arrears on the last day of each March,
June, September and December of each year, commencing on the last day of the
calendar quarter in which the Effective Date shall have occurred, and on the
last date of such period, at a rate per annum equal to the Applicable Margin of
the average daily aggregate amount which may be drawn under the Letters of
Credit during such period (whether or not the conditions for drawing thereunder
have or may be satisfied) multiplied by such Lender’s Commitment
Percentage.  The Letter of Credit
Participation Fee shall be computed on the basis of a 360-day year for the
actual number of days elapsed.

             3.13      Replacement
of Lender

                           If
the Borrower is obligated to pay to any Lender any amount under Section 3.6 or
3.10, the Borrower shall have the right within 90 days thereafter, in
accordance with the requirements of Section 11.7(c), if no Default or Event of
Default shall exist, to replace such Lender (the “Replaced Lender”) with one or more other assignees (each a “Replacement Lender”), reasonably
acceptable to the Swing Line Lender and the Issuer, provided that (i) at the time of any replacement pursuant to
this Section, the Replacement Lender shall enter into one or more Assignment
and Acceptance Agreements pursuant to Section 11.7(c) (with the Assignment Fee
payable pursuant to said Section 11.7(c) to be paid by the Replacement Lender)
pursuant to which the Replacement Lender shall acquire the Commitment, the
outstanding Loans, the Swing Line Exposure and the Letter of Credit Exposure of
the Replaced Lender and, in connection therewith, shall pay the following: (a)
to the Replaced Lender, an amount equal to the sum of (A) an amount equal to
the principal of, and all accrued interest on, all outstanding Loans and Swing
Line Participation Amounts of the Replaced Lender, (B) an amount equal to all
drawings on all Letters of Credit that have been funded by (and not reimbursed
to) such Replaced Lender, together with all then unpaid interest with respect
thereto at such time, and (C) an amount equal to all accrued, but unpaid, fees
owing to the Replaced Lender, (b) to the Issuer, an amount equal to such
Replaced Lender’s Commitment Percentage of all drawings (which at such time
remain unpaid drawings) to the extent such amount was not funded by such
Replaced Lender, (c) to the Swing Line Lender, an amount equal to such Replaced
Lender’s Commitment Percentage of any Mandatory Borrowing to the extent such
amount was not funded by such Replaced Lender, and (d) to the Administrative
Agent an amount equal to all amounts owed by such Replaced Lender to the
Administrative Agent under this Agreement, including, without limitation, an
amount equal to the principal of, and all accrued interest on, all outstanding
Loans of the Replaced Lender, a corresponding amount of which was made
available by the Administrative Agent to the Borrower pursuant to Section 3.1
and which has not been repaid to the Administrative Agent by such Replaced
Lender or the Borrower, and (ii) all obligations of the Borrower owing to the
Replaced Lender (other than those specifically described in clause (i) above in
respect of which the assignment purchase price has been, or is concurrently
being, paid) shall be paid in full to such Replaced Lender concurrently with
such replacement.  Upon the execution of
the respective Assignment and Acceptance Agreements and the payment of amounts
referred to in clauses (i) and (ii) of this Section 3.13, the Replacement Lender
shall become a Lender hereunder and the Replaced Lender shall cease to
constitute a Lender hereunder, except with respect to indemnification
provisions under this Agreement that are intended to survive the termination of
the Commitments.

4.          REPRESENTATIONS AND WARRANTIES

                           In
order to induce the Administrative Agent, the Lenders and the Issuer to enter
into this Agreement, the Lenders to make the Loans and the Issuer to issue
Letters of Credit, the Borrower hereby makes the following representations and
warranties to the Administrative Agent, the Lenders and the Issuer:

             4.1        Existence and Power

                           Each
of the Borrower and the Subsidiaries is duly organized, validly existing and in
good standing under the laws of the jurisdiction of its incorporation or
formation (except, in the case of the Subsidiaries, where the failure to be in
such good standing could not reasonably be expected to have a Material Adverse
effect), has all requisite corporate power and authority to own its Property
and to carry on its business as now conducted, and is qualified to do business
as a foreign corporation and is in good standing in each jurisdiction in which
it owns or leases real Property or in which the nature of its business requires
it to be so qualified (except those jurisdictions where the failure to be so qualified
or to be in good standing could not reasonably be expected to have a Material
Adverse effect).

             4.2        Authority

                           The
Borrower has full corporate power and authority to enter into, execute, deliver
and perform the terms of the Loan Documents, all of which have been duly
authorized by all proper and necessary corporate action and are not in
contravention of any applicable law or the terms of its Certificate of
Incorporation and By-Laws.  No consent
or approval of, or other action by, shareholders of the Borrower, any
Governmental Authority, or any other Person (which has not already been
obtained) is required to authorize in respect of the Borrower, or is required
in connection with the execution, delivery, and performance by the Borrower of
the Loan Documents or is required as a condition to the enforceability of the
Loan Documents against the Borrower.

             4.3        Binding Agreement

                           The
Loan Documents constitute the valid and legally binding obligations of the
Borrower, enforceable in accordance with their respective terms, except as such
enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting the enforcement of
creditors’ rights generally and by equitable principles relating to the
availability of specific performance as a remedy.

             4.4        Litigation

                           There are no actions,
suits, arbitration proceedings or claims (whether purportedly on behalf of the
Borrower, any Subsidiary or otherwise) pending or, to the knowledge of the
Borrower, threatened against the Borrower or any Subsidiary or any of their
respective Properties, or maintained by the Borrower or any Subsidiary, at law
or in equity, before any Governmental Authority which could reasonably be
expected to have a Material Adverse effect. 
There are no proceedings pending or, to the knowledge of the Borrower,
threatened against the Borrower or any Subsidiary (a) which call into question
the validity or enforceability of any Loan Document, or otherwise seek to
invalidate, any Loan Document, or (b) which might, individually or in the
aggregate, materially and adversely affect any of the transactions contemplated
by any Loan Document.

             4.5        No Conflicting Agreements

                           (a)         Neither the Borrower nor any Subsidiary
is in default under any agreement to which it is a party or by which it or any
of its Property is bound the effect of which could reasonably be expected to
have a Material Adverse effect.  No
notice to, or filing with, any Governmental Authority is required for the due
execution, delivery and performance by the Borrower of the Loan Documents.

                           (b)        No provision of any existing material
mortgage, material indenture, material contract or material agreement or of any
existing statute, rule, regulation, judgment, decree or order binding on the
Borrower or any Subsidiary or affecting the Property of the Borrower or any
Subsidiary conflicts with, or requires any consent which has not already been
obtained under, or would in any way prevent the execution, delivery or
performance by the Borrower of the terms of, any Loan Document.  The execution, delivery or performance by
the Borrower of the terms of each Loan Document will not constitute a default
under, or result in the creation or imposition of, or obligation to create, any
Lien upon the Property of the Borrower or any Subsidiary pursuant to the terms
of any such mortgage, indenture, contract or agreement.

             4.6        Taxes

                           The
Borrower and each Subsidiary has filed or caused to be filed all tax returns,
and has paid, or has made adequate provision for the payment of, all taxes
shown to be due and payable on said returns or in any assessments made against
them, the failure of which to file or pay could reasonably be expected to have
a Material Adverse effect, and no tax Liens (other than Liens permitted under
Section 8.2) have been filed against the Borrower or any Subsidiary and no
claims are being asserted with respect to such taxes which are required by GAAP
to be reflected in the Financial Statements and are not so reflected, except
for taxes which have been assessed but which are not yet due and payable.  The charges, accruals and reserves on the
books of the Borrower and each Subsidiary with respect to all federal, state,
local and other taxes are considered by the management of the Borrower to be
adequate, and the Borrower knows of no unpaid assessment which (a) could
reasonably be expected to have a Material Adverse effect, or (b) is or might be
due and payable against it or any Subsidiary or any Property of the Borrower or
any Subsidiary, except such thereof as are being contested in good faith and by
appropriate proceedings diligently conducted, and for which adequate reserves
have been set aside in accordance with GAAP or which have been assessed but are
not yet due and payable.

             4.7        Compliance with Applicable
Laws; Filings

                           Neither
the Borrower nor any Subsidiary is in default with respect to any judgment,
order, writ, injunction, decree or decision of any Governmental Authority which
default could reasonably be expected to have a Material Adverse effect.  The Borrower and each Subsidiary is
complying with all applicable statutes, rules and regulations of all
Governmental Authorities, a violation of which could reasonably be expected to
have a Material Adverse effect.  The
Borrower and each Subsidiary has filed or caused to be filed with all
Governmental Authorities all reports, applications, documents, instruments and
information required to be filed pursuant to all applicable laws, rules,
regulations and requests which, if not so filed, could reasonably be expected
to have a Material Adverse effect.

             4.8        Governmental Regulations

                           Neither the Borrower
nor any Subsidiary nor any corporation controlling the Borrower or any
Subsidiary or under common control with the Borrower or any Subsidiary is
subject to regulation under the Investment Company Act of 1940, as amended, or
is subject to any statute or regulation which regulates the incurrence of
Indebtedness.

             4.9        Federal
Reserve Regulations; Use of Proceeds

                           The
Borrower is not engaged principally, or as one of its important activities, in
the business of extending credit for the purpose of purchasing or carrying any
margin stock within the meaning of Regulation U of the Board of Governors of
the Federal Reserve System, as amended. 
No part of the proceeds of the Loans or the Letters of Credit has been
or will be used, directly or indirectly, for a purpose which violates any law,
rule or regulation of any Governmental Authority, including, without
limitation, the provisions of Regulations T, U or X of the Board of Governors
of the Federal Reserve System, as amended. 
Anything in this Agreement to the contrary notwithstanding, neither the
Issuer nor any Lender shall be obligated to extend credit to or on behalf of the
Borrower in violation of any limitation or prohibition provided by any
applicable law, regulation or statute, including said Regulation U.  Following application of the proceeds of
each Loan and the issuance of each Letter of Credit, not more than 25% (or such
greater or lesser percentage as is provided in the exclusions from the
definition of “Indirectly Secured” contained in said Regulation U as in effect
at the time of the making of such Loan or issuance of such Letter of Credit) of
the value of the assets of the Borrower and the Subsidiaries on a Consolidated
basis that are subject to Section 8.2 will be Margin Stock.

             4.10      No
Misrepresentation

                           No
representation or warranty contained in any Loan Document and no certificate or
written report furnished by the Borrower to the Administrative Agent or any
Lender contains or will contain, as of its date, a misstatement of material
fact, or omits or will omit to state, as of its date, a material fact required
to be stated in order to make the statements therein contained not misleading
in the light of the circumstances under which made.

             4.11      Plans

                           Each
Employee Benefit Plan of the Borrower, each Subsidiary and each ERISA Affiliate
is in compliance with ERISA and the Internal Revenue Code, where applicable,
except where the failure to so comply would not be material.  The Borrower, each Subsidiary and each ERISA
Affiliate have complied with the material requirements of Section 515 of ERISA
with respect to each Pension Plan which is a Multiemployer Plan, except where
the failure to so comply would not be material.  The Borrower, each Subsidiary and each ERISA Affiliate has, as of
the date hereof, made all contributions or payments to or under each such
Pension Plan required by law or the terms of such Pension Plan or any contract
or agreement.  No liability to the PBGC
has been, or is reasonably expected by the Borrower, any Subsidiary or any
ERISA Affiliate to be, incurred by the Borrower, any Subsidiary or any ERISA
Affiliate.  Liability, as referred to in
this Section 4.11, includes any joint and several liability, but excludes any
current or, to the extent it represents future liability in the ordinary
course, any future liability for premiums under Section 4007 of ERISA.  Each Employee Benefit Plan which is a group
health plan within the meaning of Section 5000(b)(1) of the Internal Revenue
Code is in material compliance with the continuation of health care coverage
requirements of Section 4980B of the Internal Revenue Code and with the
portability, nondiscrimination and other requirements of Sections 9801, 9802,
9803, 9811 and 9812 of the Internal Revenue Code.

             4.12      Environmental
Matters

                           Neither the Borrower
nor any Subsidiary (a) has received written notice or otherwise learned of any
claim, demand, action, event, condition, report or investigation indicating or
concerning any potential or actual liability which individually or in the
aggregate could reasonably be expected to have a Material Adverse effect,
arising in connection with (i) any non-compliance with or violation of the
requirements of any applicable federal, state or local environmental health or
safety statute or regulation, or (ii) the release or threatened release of any
toxic or hazardous waste, substance or constituent, or other substance into the
environment, (b) to the best knowledge of the Borrower, has any threatened or
actual liability in connection with the release or threatened release of any
toxic or hazardous waste, substance or constituent, or other substance into the
environment which individually or in the aggregate could reasonably be expected
to have a Material Adverse effect, (c) has received notice of any federal or
state investigation evaluating whether any remedial action is needed to respond
to a release or threatened release of any toxic or hazardous waste, substance
or constituent or other substance into the environment for which the Borrower
or any Subsidiary is or would be liable, which liability would reasonably be
expected to have a Material Adverse effect, or (d) has received notice that the
Borrower or any Subsidiary is or may be liable to any Person under the
Comprehensive Environmental Response, Compensation and Liability Act, as
amended, 42 U.S.C.  Section 9601 et
seq., or any analogous state law, which liability would reasonably be
expected to have a Material Adverse effect. 
The Borrower and each Subsidiary is in compliance with the financial
responsibility requirements of federal and state environmental laws to the
extent applicable, including those contained in 40 C.F.R., parts 264 and 265,
subpart H, and any analogous state law, except in those cases in which the
failure so to comply would not reasonably be expected to have a Material
Adverse effect.

             4.13      Financial Statements

                           The
Borrower has heretofore delivered to the Lenders through the Administrative
Agent copies of (i) the audited Consolidated Balance Sheet of the Borrower and
its Subsidiaries as of December 30, 2000, and the related Consolidated
Statements of Operations, Shareholders’ Equity and Cash Flows for the fiscal
year then ended, and (ii) the unaudited Consolidated Balance Sheet of the
Borrower and its Subsidiaries as of March 31, 2001, and the related
Consolidated Statements of Operations, Shareholders’ Equity and Cash Flows for
the fiscal quarter then ended.  The
financial statements referred to in (i) and (ii) immediately above, including
all related notes and schedules, are herein referred to collectively as the “Financial Statements”.  The Financial Statements fairly present the
Consolidated financial condition and results of the operations of the Borrower
and the Subsidiaries as of the dates and for the periods indicated therein and,
except as noted therein, have been prepared in conformity with GAAP as then in
effect.  Neither the Borrower nor any of
the Subsidiaries has any obligation or liability of any kind (whether fixed,
accrued, contingent, unmatured or otherwise) which, in accordance with GAAP as
then in effect, should have been disclosed in the Financial Statements and was
not.  During the period from December
30, 2000 to and including the Effective Date there has been no Material Adverse
change, including as a result of any change in law, in the consolidated
financial condition, operations, business or Property of the Borrower and the
Subsidiaries taken as a whole.

5.          CONDITIONS OF LENDING -
FIRST LOANS AND LETTERS OF CREDIT ON THE FIRST BORROWING DATE

                           In
addition to the requirements set forth in Section 6, the obligation of each
Lender on the first Borrowing Date to make one or more Revolving Credit Loans,
the Swing Line Lender to make one or more Swing Line Loans, the Issuer to issue
one or more Letters of Credit and any Lender to make a Competitive Bid Loan are
subject to the fulfillment of the following conditions precedent prior to or
simultaneously with the Effective Date:

             5.1        Evidence of Corporate
Action

                           The Administrative
Agent shall have received a certificate, dated the Effective Date, of the
Secretary or an Assistant Secretary of the Borrower (i) attaching a true and
complete copy of the resolutions of its Board of Directors and of all documents
evidencing all other necessary corporate action (in form and substance
reasonably satisfactory to the Administrative Agent) taken by the Borrower to
authorize the Loan Documents and the transactions contemplated thereby, (ii)
attaching a true and complete copy of its Certificate of Incorporation and
By-Laws, (iii) setting forth the incumbency of the officer or officers of the
Borrower who may sign the Loan Documents and any other certificates, requests,
notices or other documents now or in the future required thereunder, and (iv)
attaching a certificate of good standing of the Secretary of State of the State
of Delaware.

             5.2        Notes

                           The
Borrower shall have delivered to the Administrative Agent (for delivery to the
Lenders) the Notes, executed by the Borrower.

             5.3        Existing Bank
Indebtedness

                           All
Existing Bank Indebtedness shall have been paid in full, the commitments under
the Existing Credit Agreement shall have been terminated and the Administrative
Agent shall have received satisfactory evidence of the foregoing.

             5.4        Opinion of Counsel to
the Borrower

                           The
Administrative Agent shall have received an opinion of Zenon Lankowsky, counsel
to the Borrower, dated the Effective Date, and in the form of Exhibit D.

6.          CONDITIONS
OF LENDING - ALL LOANS AND LETTERS OF CREDIT

                           The
obligation of each Lender on any Borrowing Date to make each Revolving Credit
Loan (other than a Revolving Credit Loan constituting a Mandatory Borrowing),
the Swing Line Lender to make each Swing Line Loan, the Issuer to issue each
Letter of Credit and any Lender to make a Competitive Bid Loan are subject to
the fulfillment of the following conditions precedent:

             6.1        Compliance

                           On
each Borrowing Date, and after giving effect to the Loans to be made or the
Letters of Credit to be issued on such Borrowing Date, (a) there shall exist no
Default or Event of Default, and (b) the representations and warranties
contained in this Agreement shall be true and correct with the same effect as
though such representations and warranties had been made on such Borrowing
Date, except those which are expressly specified to be made as of an earlier
date.

             6.2        Requests

                           The
Administrative Agent shall have received either or both, as applicable, of a
Borrowing Request or a Letter of Credit Request from the Borrower.

             6.3        Loan Closings

                           All
documents required by the provisions of this Agreement to have been executed or
delivered by the Borrower to the Administrative Agent, any Lender or the Issuer
on or before the applicable Borrowing Date shall have been so executed or
delivered on or before such Borrowing Date.

7.          AFFIRMATIVE COVENANTS

                           The
Borrower covenants and agrees that on and after the Effective Date and until
the later to occur of (a) the Commitment Termination Date and (b) the payment
in full of the Loans, the Reimbursement Obligations, the Fees and all other
sums payable under the Loan Documents, the Borrower will:

             7.1        Legal Existence

                           Except
as may otherwise be permitted by Sections 8.3 and 8.4, maintain, and cause each
Subsidiary to maintain, its corporate existence in good standing in the
jurisdiction of its incorporation or formation and in each other jurisdiction
in which the failure so to do could reasonably be expected to have a Material
Adverse effect, except that the corporate existence of Subsidiaries operating
closing or discontinued operations may be terminated.

             7.2        Taxes

                           Pay and discharge
when due, and cause each Subsidiary so to do, all taxes, assessments,
governmental charges, license fees and levies upon or with respect to the
Borrower and such Subsidiary, and upon the income, profits and Property thereof
unless, and only to the extent, that either (i)(a) such taxes, assessments,
governmental charges, license fees and levies shall be contested in good faith
and by appropriate proceedings diligently conducted by the Borrower or such
Subsidiary, and (b) such reserve or other appropriate provision as shall be
required by GAAP shall have been made therefor, or (ii) the failure to pay or
discharge such taxes, assessments, governmental charges, license fees and
levies could not reasonably be expected to have a Material Adverse effect.

             7.3        Insurance

                           Keep,
and cause each Subsidiary to keep, insurance with responsible insurance
companies in such amounts and against such risks as is usually carried by the
Borrower or such Subsidiary.

             7.4        Performance of
Obligations

                           Pay
and discharge promptly when due, and cause each Subsidiary so to do, all lawful
Indebtedness, obligations and claims for labor, materials and supplies or
otherwise which, if unpaid, could reasonably be expected to (a) have a Material
Adverse effect, or (b) become a Lien on the Property of the Borrower or any
Subsidiary, except those Liens permitted under Section 8.2, provided that neither
the Borrower nor such Subsidiary shall be required to pay or discharge or cause
to be paid or discharged any such Indebtedness, obligation or claim so long as
(i) the validity thereof shall be contested in good faith and by appropriate
proceedings diligently conducted by the Borrower or such Subsidiary, and (ii)
such reserve or other appropriate provision as shall be required by GAAP shall
have been made therefor.

             7.5        Condition of Property

                           Except
for ordinary wear and tear, at all times, maintain, protect and keep in good
repair, working order and condition, all material Property necessary for the
operation of its business (other than Property which is replaced with similar
Property) as then being operated, and cause each Subsidiary so to do.

             7.6        Observance of Legal
Requirements

                           Observe and comply in
all material respects, and cause each Subsidiary so to do, with all laws,
ordinances, orders, judgments, rules, regulations, certifications, franchises,
permits, licenses, directions and requirements of all Governmental Authorities,
which now or at any time hereafter may be applicable to it or to such
Subsidiary, a violation of which could reasonably be expected to have a
Material Adverse effect.

             7.7        Financial
Statements and Other Information

                           Maintain,
and cause each Subsidiary to maintain, a standard system of accounting in
accordance with GAAP, and furnish to each Lender:

                           (a)         As soon as available and, in any event,
within 120 days after the close of each fiscal year, a copy of (x) the
Borrower’s 10-K in respect of such fiscal year, and (y) (i) the Borrower’s
Consolidated Balance Sheet as of the end of such fiscal year, and (ii) the
related Consolidated Statements of Operations, Shareholders’ Equity and Cash
Flows, as of and through the end of such fiscal year, setting forth in each
case in comparative form the corresponding figures in respect of the previous
fiscal year, all in reasonable detail, and accompanied by a report of the
Borrower’s auditors, which report shall state that (A) such auditors audited
such financial statements, (B) such audit was made in accordance with generally
accepted auditing standards in effect at the time and provides a reasonable
basis for such opinion, and (C) said financial statements have been prepared in
accordance with GAAP;

                           (b)        As soon as available, and in any event
within 60 days after the end of each of the first three fiscal quarters of each
fiscal year, a copy of (x) the Borrower’s 10-Q in respect of such fiscal
quarter, and (y) (i) the Borrower’s Consolidated Balance Sheet as of the end of
such quarter and (ii) the related Consolidated Statements of Operations,
Shareholders’ Equity and Cash Flows for (A) such quarter and (B) the period
from the beginning of the then current fiscal year to the end of such quarter,
in each case in comparable form with the prior fiscal year, all in reasonable
detail and prepared in accordance with GAAP (without footnotes and subject to
year-end adjustments);

                           (c)         Simultaneously with the delivery of the
financial statements required by clauses (a) and (b) above, a certificate of
the chief financial officer or treasurer of the Borrower certifying that no
Default or Event of Default shall have occurred or be continuing or, if so,
specifying in such certificate all such Defaults and Events of Default, and
setting forth computations in reasonable detail demonstrating compliance with
Sections 8.1 and 8.10.

                           (d)        Prompt notice upon the Borrower becoming
aware of any change in a Pricing Level;

                           (e)         Promptly upon becoming available,
copies of all regular or periodic reports (including current reports on Form
8-K) which the Borrower or any Subsidiary may now or hereafter be required to
file with or deliver to the Securities and Exchange Commission, or any other
Governmental Authority succeeding to the functions thereof, and copies of all
material news releases sent to all stockholders;

                           (f)         Prompt written notice of: (i) any
citation, summons, subpoena, order to show cause or other order naming the
Borrower or any Subsidiary a party to any proceeding before any Governmental
Authority which could reasonably be expected to have a Material Adverse effect,
and include with such notice a copy of such citation, summons, subpoena, order
to show cause or other order, (ii) any lapse or other termination of any
license, permit, franchise or other authorization issued to the Borrower or any
Subsidiary by any Governmental Authority, (iii) any refusal by any Governmental
Authority to renew or extend any license, permit, franchise or other
authorization, and (iv) any dispute between the Borrower or any Subsidiary and
any Governmental Authority, which lapse, termination, refusal or dispute,
referred to in clause (ii), (iii) or (iv) above, could reasonably be expected
to have a Material Adverse effect;

                           (g)        Prompt written notice of the occurrence
of (i) each Default, (ii) each Event of Default and (iii) each Material Adverse
change;

                           (h)        Promptly upon receipt thereof, copies of
any audit reports delivered in connection with the statements referred to in
Section 7.7(a); and

                           (i)          From time to time, such other
information regarding the financial position or business of the Borrower and
the Subsidiaries as the Administrative Agent, at the request of any Lender, may
reasonably request.

             7.8        Records

                           Upon
reasonable notice and during normal business hours, permit representatives of
the Administrative Agent and each Lender to visit the offices of the Borrower
and each Subsidiary, to examine the books and records (other than tax returns
and work papers related to tax returns) thereof and auditors’ reports relating
thereto, to discuss the affairs of the Borrower and each Subsidiary with the
respective officers thereof, and to meet and discuss the affairs of the
Borrower and each Subsidiary with the Borrower’s auditors.

             7.9        Authorizations

                           Maintain
and cause each Subsidiary to maintain, in full force and effect, all
copyrights, patents, trademarks, trade names, franchises, licenses, permits,
applications, reports, and other authorizations and rights, which, if not so
maintained, would individually or in the aggregate have a Material Adverse
effect.

8.          NEGATIVE COVENANTS

                           The
Borrower covenants and agrees that on and after the Effective Date and until
the later to occur of (a) the Commitment Termination Date and (b) the payment
in full of the Loans, the Reimbursement Obligations, the Fees and all other
sums which are payable under the Loan Documents, the Borrower will not:

             8.1        Subsidiary Indebtedness

                           Permit
the Indebtedness of all Subsidiaries (excluding the ESOP Guaranty) to exceed
(on a combined basis) 10% of Tangible Net Worth.

             8.2        Liens

                           Create, incur, assume
or suffer to exist any Lien against or on any Property now owned or hereafter
acquired by the Borrower or any of the Subsidiaries, or permit any of the
Subsidiaries so to do, except any one or more of the following types of Liens:
(a) Liens in connection with workers’ compensation, unemployment insurance or
other social security obligations (which phrase shall not be construed to refer
to ERISA or the minimum funding obligations under Section 412 of the Code), (b)
Liens to secure the performance of bids, tenders, letters of credit, contracts
(other than contracts for the payment of Indebtedness), leases, statutory
obligations, surety, customs, appeal, performance and payment bonds and other
obligations of like nature, in each such case arising in the ordinary course of
business, (c) mechanics’, workmen’s, carriers’, warehousemen’s, materialmen’s,
landlords’ or other like Liens arising in the ordinary course of business with
respect to obligations which are not due or which are being contested in good
faith and by appropriate proceedings diligently conducted, (d) Liens for taxes,
assessments, fees or governmental charges the payment of which is not required
by Section 7.2, (e) easements, rights of way, restrictions, leases of Property
to others, easements for installations of public utilities, title imperfections
and restrictions, zoning ordinances and other similar encumbrances affecting
Property which in the aggregate do not materially impair its use for the
operation of the business of the Borrower or such Subsidiary, (f) Liens on
Property of the Subsidiaries under capital leases and Liens on Property of the
Subsidiaries acquired (whether as a result of purchase, capital lease, merger
or other acquisition) and either existing on such Property when acquired, or
created contemporaneously with or within 12 months of such acquisition to
secure the payment or financing of the purchase price of such Property
(including the construction, development, substantial repair, alteration or
improvement thereof), and any renewals thereof, provided that such Liens attach only to the Property so
purchased or acquired (including any such construction, development,
substantial repair, alteration or improvement thereof) and provided further that the Indebtedness
secured by such Liens is permitted by Section 8.1, (g) statutory Liens in favor
of lessors arising in connection with Property leased to the Borrower or any of
the Subsidiaries, (h) Liens of attachments, judgments or awards against the
Borrower or any of the Subsidiaries with respect to which an appeal or
proceeding for review shall be pending or a stay of execution or bond shall
have been obtained, or which are otherwise being contested in good faith and by
appropriate proceedings diligently conducted, and in respect of which adequate
reserves shall have been established in accordance with GAAP on the books of
the Borrower or such Subsidiary, (i) Liens securing Indebtedness of a Subsidiary
to the Borrower or another Subsidiary, (j) Liens (other than Liens permitted by
any of the foregoing clauses) arising in the ordinary course of its business
which do not secure Indebtedness and do not, in the aggregate, materially
detract from the value of the business of the Borrower and its Subsidiaries,
taken as a whole, and (k) additional Liens securing Indebtedness of the
Borrower and the Subsidiaries in an aggregate outstanding Consolidated
principal amount not exceeding 10% of Tangible Net Worth.

             8.3        Dispositions

                           Make
any Disposition, or permit any of its Subsidiaries so to do, of all or
substantially all of the assets of the Borrower and the Subsidiaries on a
Consolidated basis.

             8.4        Merger or
Consolidation, Etc.

                           The
Borrower will not consolidate with, be acquired by, or merge into or with any
Person unless (x) immediately after giving effect thereto no Default or Event
of Default shall or would exist and (y) either (i) the Borrower or (ii) a
corporation organized and existing under the laws of one of the States of the
United States of America shall be the survivor of such consolidation or merger,
provided that if the Borrower is not the survivor, the corporation which is the
survivor shall expressly assume, pursuant to an instrument executed and
delivered to the Administrative Agent, and in form and substance satisfactory
to the Administrative Agent, all obligations of the Borrower under the Loan
Documents and the Administrative Agent shall have received such documents,
opinions and certificates as it shall have reasonable requested in connection
therewith.

             8.5        Acquisitions

                           Make
any Acquisition, or permit any of the Subsidiaries so to do, except any one or
more of the following: (a) Intercompany Dispositions permitted by Section 8.3 and
(b) Acquisitions by the Borrower or any of the Subsidiaries, provided that immediately before and after
giving effect to each such Acquisition no Default or Event of Default shall or
would exist.

             8.6        Restricted Payments

                           Make
any Restricted Payment or permit any of the Subsidiaries so to do, except any
one or more of the following Restricted Payments: (a) any direct or indirect
Subsidiary may make dividends or other distributions to the Borrower or to any
other direct or indirect Subsidiary, and (b) the Borrower may make Restricted
Payments provided that, in the
case of this clause (b), immediately before and after giving effect thereto, no
Event of Default shall or would exist. 
Nothing in this Section 8.6 shall prohibit or restrict the declaration
or payment of dividends in respect of the Series One ESOP Convertible Preferred
Stock of the Borrower.

             8.7        Limitation on Upstream
Dividends by Subsidiaries

                           Permit
or cause any of the Subsidiaries to enter into or agree, or otherwise be or
become subject, to any agreement, contract or other arrangement (other than
this Agreement) with any Person (each a “Restrictive
Agreement”) pursuant to the terms of which (a) such Subsidiary is or
would be prohibited from declaring or paying any cash dividends on any class of
its stock owned directly or indirectly by the Borrower or any of the other
Subsidiaries or from making any other distribution on account of any class of
any such stock (herein referred to as “Upstream
Dividends”), or (b) the declaration or payment of Upstream Dividends
by a Subsidiary to the Borrower or another Subsidiary, on an annual or
cumulative basis, is or would be otherwise limited or restricted (“Dividend Restrictions”).  Notwithstanding the foregoing, nothing in
this Section 8.7 shall prohibit:

                                        (i)          Dividend Restrictions set forth in any
Restrictive Agreement in effect on the date hereof and any extensions,
refinancings, renewals or replacements thereof; provided that the Dividend Restrictions in any such
extensions, refinancings, renewals or replacements are no less favorable in any
material respect to the Lenders than those Dividend Restrictions that are then
in effect and that are being extended, refinanced, renewed or replaced;

                                        (ii)         Dividend Restrictions existing with
respect to any Person acquired by the Borrower or any Subsidiary and existing
at the time of such acquisition, which Dividend Restrictions are not applicable
to any Person or the property or assets of any Person other than such Person or
its property or assets acquired, and any extensions, refinancings, renewals or
replacements of any of the foregoing; provided
that the Dividend Restrictions in any such extensions, refinancings,
renewals or replacements are no less favorable in any material respect to the
Lenders than those Dividend Restrictions that are then in effect and that are
being extended, refinanced, renewed or replaced; or

                                        (iii)        Dividend Restrictions consisting of
customary net worth, leverage and other financial covenants, customary
covenants regarding the merger of or sale of assets of a Subsidiary, customary
restrictions on transactions with affiliates, and customary subordination
provisions governing Indebtedness owed to the Borrower or any Subsidiary
contained in, or required by, any agreement governing Indebtedness owed to the
Borrower or any Subsidiary contained in, or required by, any agreement
governing Indebtedness incurred by a Subsidiary in accordance with Section 8.1.

             8.8        Limitation on Negative
Pledges

                           Enter
into any agreement, other than (i) this Agreement, (ii) the Other Credit
Agreement, (iii) any other credit agreement that is substantially similar to
this Agreement, and (iv) purchase money mortgages or capital leases permitted
by this Agreement (in which cases, any prohibition or limitation shall only be
effective against the assets financed thereby), or permit any Subsidiary so to
do, which prohibits or limits the ability of the Borrower or such Subsidiary to
create, incur, assume or suffer to exist any Lien upon any of its Property or
revenues, whether now owned or hereafter acquired.

             8.9        Ratio of Consolidated
Indebtedness to Total Capitalization

                           Permit
its ratio of Consolidated Indebtedness to Total Capitalization at the end of
any fiscal quarter to exceed 0.6 : 1.0.

9.          DEFAULT

             9.1        Events of Default

                           The
following shall each constitute an “Event of Default” hereunder:

                           (a)         The failure of the Borrower to make any
payment of principal on any Loan or any reimbursement payment in respect of any
Letter of Credit when due and payable; or

                           (b)        The failure of the Borrower to make any
payment of interest on any Loan or of any Fee on any date when due and payable
and such default shall continue unremedied for a period of 5 Domestic Business
Days after the same shall be due and payable; or

                           (c)         The failure of the Borrower to observe
or perform any covenant or agreement contained in Sections 2.5 and 7.1 or in
Section 8; or

                           (d)        The failure of the Borrower to observe
or perform any other covenant or agreement contained in this Agreement, and
such failure shall have continued unremedied for a period of 30 days after the
Borrower shall have become aware of such failure; or

                           (e)         An Event of Default (as defined in any
Reimbursement Agreement) shall occur under any Reimbursement Agreement; or

                           (f)         Any representation or warranty of the
Borrower (or of any of its officers on its behalf) made in any Loan Document,
or made in any certificate, report, opinion (other than an opinion of counsel)
or other document delivered on or after the date hereof shall in any such case
prove to have been incorrect or misleading (whether because of misstatement or
omission) in any material respect when made; or

                           (g)        (i) Obligations in an aggregate
Consolidated amount in excess of $25,000,000 of the Borrower (other than its obligations
hereunder and under the Notes) and the Subsidiaries, whether as principal,
guarantor, surety or other obligor, for the payment of any Indebtedness or any
net liability under interest rate swap, collar, exchange or cap agreements, (A)
shall become or shall be declared to be due and payable prior to the expressed
maturity thereof, or (B) shall not be paid when due or within any grace period
for the payment thereof, or (ii) any holder of any such obligations shall have
the right to declare the Indebtedness evidenced thereby due and payable prior
to its stated maturity; or

                           (h)        The Borrower or any Subsidiary shall (i)
suspend or discontinue its business (except for store closings in the ordinary
course of business and except in connection with a permitted Disposition under
Section 8.3 and as may otherwise be expressly permitted herein), or (ii) make
an assignment for the benefit of creditors, or (iii) generally not be paying
its debts as such debts become due, or (iv) admit in writing its inability to
pay its debts as they become due, or (v) file a voluntary petition in
bankruptcy, or (vi) become insolvent (however such insolvency shall be
evidenced), or (vii) file any petition or answer seeking for itself any
reorganization, arrangement, composition, readjustment of debt, liquidation or
dissolution or similar relief under any present or future statute, law or
regulation of any jurisdiction (including under any law applicable to insurance
companies), or (viii) petition or apply to any tribunal, or any other
Governmental Authority, for any receiver, custodian or any trustee for any
substantial part of its Property, or (ix) be the subject of any proceeding
specified in clause (vii) or (viii) filed against it which remains undismissed
for a period of 60 consecutive days, or (x) file any answer admitting or not
contesting the material allegations of any such petition filed against it, or
of any order, judgment or decree approving such petition in any such
proceeding, or (xi) seek, approve, consent to, or acquiesce in any such
proceeding, or in the appointment of any trustee, receiver, custodian,
liquidator, or fiscal agent for it, or any substantial part of its Property, or
an order is entered appointing any such trustee, receiver, custodian,
liquidator or fiscal agent and such order remains unstayed and in effect for 60
consecutive days, or (xii) take any formal action for the purpose of effecting
any of the foregoing (except as may otherwise be expressly permitted herein);
or

                           (i)          An order for relief is entered under
the United States bankruptcy laws or any other decree or order is entered by a
court or other Governmental Authority having jurisdiction and continues
unstayed and in effect for a period of 60 consecutive days (i) adjudging the
Borrower or any Subsidiary bankrupt or insolvent, or (ii) approving as properly
filed a petition seeking reorganization, liquidation, arrangement, adjustment
or composition of, or in respect of the Borrower or any Subsidiary under the
United States bankruptcy laws or any other applicable Federal or state law, or
(iii) appointing a receiver, liquidator, assignee, trustee, custodian,
sequestrator (or other similar official) of the Borrower or any Subsidiary or
of substantially all of the Property of any thereof, or (iv) ordering the
winding up or liquidation of the affairs of the Borrower or any Subsidiary; or

                           (j)          Judgments or decrees in an aggregate
Consolidated amount in excess of $25,000,000 against the Borrower and the
Subsidiaries shall remain unpaid, unstayed on appeal, undischarged, unbonded or
undismissed for a period of 60 days; or

                           (k)         After the Effective Date a Change of
Control shall occur; or

                           (l)          (i) Any Termination Event shall occur
(x) with respect to any Pension Plan (other than a Multiemployer Plan) or (y)
with respect to any other retirement plan subject to Section 302 of ERISA or
Section 412 of the Internal Revenue Code, which plan, during the five year
period prior to such Termination Event, was the responsibility in whole or in
part of the Borrower, any Subsidiary or any ERISA Affiliate, provided that this clause (y) shall only
apply if, in connection with such Termination Event, it is reasonably likely
that liability under Section 4069 of ERISA in an aggregate Consolidated amount
in excess of $25,000,000 will be imposed upon the Borrower, any Subsidiary or
any ERISA Affiliate; (ii) any Accumulated Funding Deficiency, whether or not
waived, in an aggregate Consolidated amount in excess of $25,000,000 shall
exist with respect to any Pension Plan (other than that portion of a
Multiemployer Plan’s Accumulated Funding Deficiency to the extent such
Accumulated Funding Deficiency is attributable to employers other than
Borrower, any Subsidiary or any ERISA Affiliate); (iii) any Person shall engage
in any Prohibited Transaction involving any Employee Benefit Plan; (iv) the
Borrower, any Subsidiary or any ERISA Affiliate shall fail to pay when due an
amount which is payable by it to the PBGC or to a Pension Plan (including a
Multiemployer Plan) under Title IV of ERISA; (v) the imposition of any tax
under Section 4980(B)(a) of the Internal Revenue Code; or (vi) the assessment
of a civil penalty with respect to any Employee Benefit Plan under Section
502(c) of ERISA; in each case, to the extent such event or condition would have
a Material Adverse effect.

             9.2        Remedies

                           (a)         Upon the occurrence of an Event of
Default or at any time thereafter during the continuance of an Event of
Default, the Administrative Agent, at the written request of the Required
Lenders, shall notify the Borrower that the Commitments, the Swing Line
Commitment and the Letter of Credit Commitment have been terminated and/or that
all of the Loans, the Notes and the Reimbursement Obligations and all accrued
and unpaid interest on any thereof and all other amounts owing under the Loan
Documents have been declared immediately due and payable, provided that upon the occurrence of an
Event of Default under Section 9.1(h) or (i) with respect to the Borrower, the
Commitments, the Swing Line Commitment and the Letter of Credit Commitment
shall automatically terminate and all of the Loans, the Notes and the
Reimbursement Obligations and all accrued and unpaid interest on any thereof
and all other amounts owing under the Loan Documents shall become immediately
due and payable without declaration or notice to the Borrower.  To the fullest extent not prohibited by law,
except for the notice provided for in the preceding sentence, the Borrower
expressly waives any presentment, demand, protest, notice of protest or other
notice of any kind in connection with the Loan Documents and its obligations
thereunder.  To the fullest extent not
prohibited by law, the Borrower further expressly waives and covenants not to
assert any appraisement, valuation, stay, extension, redemption or similar law,
now or at any time hereafter in force which might delay, prevent or otherwise
impede the performance or enforcement of the Loan Documents.

                           (b)        In the event that the Commitments, the
Swing Line Commitment and the Letter of Credit Commitment shall have been
terminated or all of the Loans, the Notes and the Reimbursement Obligations
shall have been declared due and payable pursuant to the provisions of this
Section, (i) the Borrower shall forthwith deposit an amount equal to the Letter
of Credit Exposure in a cash collateral account with and under the exclusive
control of the Administrative Agent, and (ii) the Administrative Agent, the
Issuer and the Lenders agree, among themselves, that any funds received from or
on behalf of the Borrower under any Loan Document by the Issuer or any Lender
(except funds received by the Issuer or any Lender as a result of a purchase
from the Issuer or such Lender, as the case may be, pursuant to the provisions
of Section 11.9) shall be remitted to the Administrative Agent, and shall be
applied by the Administrative Agent in payment of the Loans, the Reimbursement
Obligations and the other obligations of the Borrower under the Loan Documents
in the following manner and order: (1) first, to reimburse the Administrative
Agent, the Issuer and the Lenders, in that order, for any expenses due from the
Borrower pursuant to the provisions of Section 11.5 and the Reimbursement
Agreements, (2) second, to the payment of the Fees, (3) third, to the payment
of any expenses or amounts (other than the principal of and interest on the
Loans and the Notes and the Reimbursement Obligations) payable by the Borrower
to the Administrative Agent, the Issuer or any of the Lenders under the Loan
Documents, (4) fourth, to the payment, pro rata according to the outstanding
principal balance of the Loans and the Letter of Credit Exposure of each
Lender, of interest due on the Loans and the Reimbursement Obligations, (5)
fifth, to the payment, pro rata according to the sum of (A) the aggregate
outstanding principal balance of the Loans plus
(B) the aggregate outstanding balance of the Reimbursement
Obligations, of the aggregate outstanding principal balance of the Loans and
the aggregate outstanding balance of the Reimbursement Obligations, and (6)
sixth, any remaining funds shall be paid to whosoever shall be entitled thereto
or as a court of competent jurisdiction shall direct.

                           (c)         In the event that the Loans and the
Notes and the Reimbursement Obligations shall have been declared due and
payable pursuant to the provisions of this Section 9.2, the Administrative
Agent upon the written request of the Required Lenders, shall proceed to
enforce the Reimbursement Obligations and the rights of the holders of the
Notes by suit in equity, action at law and/or other appropriate proceedings,
whether for payment or the specific performance of any covenant or agreement
contained in the Loan Documents.  In the
event that the Administrative Agent shall fail or refuse so to proceed, the
Issuer and each Lender shall be entitled to take such action as the Required
Lenders shall deem appropriate to enforce its rights under the Loan Documents.

10.        AGENT

             10.1      Appointment

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

             10.2      Delegation
of Duties

                           The
Administrative Agent may execute any of its duties under the Loan Documents by
or through agents or attorneys-in-fact and shall be entitled to rely upon the
advice of counsel concerning all matters pertaining to such duties, and shall
not be liable for any action taken or omitted to be taken in good faith upon
the advice of such counsel.

             10.3      Exculpatory
Provisions

                           None
of the Administrative Agent or any of its officers, directors, employees,
agents, attorneys-in-fact or Affiliates shall be (i) liable for any action
lawfully taken or omitted to be taken by the Administrative Agent or such
Person under or in connection with the Loan Documents (except the
Administrative Agent for its 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 party contained in the
Loan Documents or in any certificate, report, statement or other document
referred to or provided for in, or received by the Administrative Agent under
or in connection with, the Loan Documents or for the value, validity,
effectiveness, genuineness, enforceability or sufficiency of any of the Loan
Documents or for any failure of the Borrower or any other Person to perform its
obligations thereunder.  The
Administrative Agent shall not be under any obligation to any Lender to
ascertain or to inquire into the observance or performance of any of the
covenants or agreements contained in, or conditions of, the Loan Documents, or
to inspect the Property, books or records of the Borrower or any
Subsidiary.  The Administrative Agent
shall not be under any liability or responsibility to the Borrower or any other
Person as a consequence of any failure or delay in performance, or any breach,
by any Lender of any of its obligations under any of the Loan Documents.  The Lenders acknowledge that the
Administrative Agent shall not be under any duty to take any discretionary
action permitted under the Loan Documents unless the Administrative Agent shall
be requested in writing to do so by the Required Lenders.

             10.4      Reliance
by Administrative Agent

                           The Administrative
Agent shall be entitled to rely, and shall be fully protected in relying, upon
any writing, resolution, notice, request, consent, certificate, affidavit,
opinion, letter, cablegram, telegram, fax, telex or teletype message,
statement, order or other document or conversation reasonably 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 selected by
the Administrative Agent.  The
Administrative Agent may treat each Lender, or the Person designated in the
last notice filed under Section 11.7, as the holder of all of the interests of
such Lender in its Loans and Notes until written notice of transfer, signed by
such Lender (or the Person designated in the last notice filed with the
Administrative Agent) and by the Person designated in such written notice of
transfer, in form and substance satisfactory to the Administrative Agent, shall
have been filed with the Administrative Agent and all requirements of Section
11.7 have been satisfied.  The
Administrative Agent shall not be under any duty to examine or pass upon the
validity, effectiveness or genuineness of the Loan Documents or any instrument,
document or communication furnished pursuant thereto or in connection
therewith, and the Administrative Agent shall be entitled to assume that the
same are valid, effective and genuine, have been signed or sent by the proper
parties and are what they purport to be. 
The Administrative Agent shall be fully justified in failing or refusing
to take any action not expressly required under the Loan Documents unless it
shall first receive such advice or concurrence of the Required Lenders as it
deems appropriate.  The Administrative
Agent shall in all cases be fully protected in acting, or in refraining from
acting, under the Loan Documents in accordance with a request of the Required
Lenders or, if required by Section 11.1, all Lenders, and such request and any
action taken or failure to act pursuant thereto shall be binding upon the
Borrower, all the Lenders and all future holders of the Notes.

             10.5      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
shall have received written notice thereof from a Lender or the Borrower
referring to this Agreement, describing such Default or Event of Default and
stating such notice is a “Notice of Default.” 
In the event that the Administrative Agent receives such a notice, the
Administrative Agent shall promptly 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, 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 give such directions, or refrain from taking such action or giving such
directions, with respect to such Default or Event of Default as it shall deem
to be in the best interests of the Lenders.

             10.6      Non-Reliance

                           Each
Lender expressly acknowledges that neither the Administrative Agent nor any of
its officers, directors, employees, agents, attorneys-in-fact or Affiliates has
made any representations or warranties to such Lender and that no act by the
Administrative Agent hereafter, including any review of the affairs of the
Borrower or the 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 such Lender 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 evaluation of and
investigation into the business, operations, Property, financial and other
condition and creditworthiness of the Borrower and the Subsidiaries and has
made its own decision to 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, evaluations and decisions in taking
or not taking action under the 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 Borrower
and the Subsidiaries.  Each Lender
acknowledges that a copy of this Agreement and all exhibits and schedules
hereto have been made available to it and its individual counsel for review,
and each Lender acknowledges that it is satisfied with the form and substance
thereof.  Except for notices, reports
and other documents expressly required to be furnished to the Lenders by the
Administrative Agent hereunder, the Administrative Agent shall have no duty or
responsibility to provide any Lender with any credit or other information
concerning the business, operations, Property, financial and other condition or
creditworthiness of the Borrower or the Subsidiaries which may come into the
possession of the Administrative Agent or any of its officers, directors,
employees, agents, attorneys-in-fact or Affiliates.

             10.7      Indemnification

                           Each Lender agrees to
indemnify the Administrative Agent in its capacity as such (to the extent not
promptly reimbursed by the Borrower and without limiting the obligation of the
Borrower to do so), pro rata according to (i) at any time when no Loans are
outstanding, its Commitment Percentage, or if no Commitments then exist, its
Commitment Percentage on the last day on which Commitments did exist, and (ii)
at any time when Loans are outstanding (x) if the Commitments then exist, its
Commitment Percentage or (y) if the Commitments have been terminated or
otherwise no longer exist, the percentage equal to the fraction (A) the numerator
of which is such Lender’s share of the Aggregate Credit Exposure and (B) the
denominator of which is the Aggregate Credit Exposure, from and against any and
all liabilities, obligations, claims, losses, damages, penalties, actions,
judgments, suits, costs, expenses and disbursements of any kind whatsoever,
including any amounts paid to the Lenders by or for the account of the Borrower
pursuant to the terms of the Loan Documents that are subsequently rescinded or
avoided (or must otherwise be restored or returned), which may at any time
(including at any time following the payment of the Loans and the Notes) be
imposed on, incurred by or asserted against the Administrative Agent in any way
relating to or arising out of the Loan Documents or any other document
contemplated by or referred to therein or the transactions contemplated thereby
or any action taken or omitted to be taken by the Administrative Agent under or
in connection therewith; 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 to the extent resulting from the gross negligence or
willful misconduct of the Administrative Agent.  The agreements in this Section shall survive the payment of the
Loans and the Notes and all other amounts payable under the Loan
Documents.  If the Administrative Agent
is subsequently reimbursed by the Borrower for such amounts, the Administrative
Agent shall remit to the Lenders their pro rata shares of such reimbursement to
the extent they previously paid such amounts.

             10.8      Administrative
Agent in Its Individual Capacity

                           BNY
and each Affiliate thereof, may make loans to, accept deposits from, issue
letters of credit for the account of and generally engage in any kind of
business with the Borrower and the Subsidiaries as though it were not the
Administrative Agent.  With respect to
the Commitment made or renewed by BNY and each Note issued to BNY, BNY shall
have the same rights and powers under the Loan Documents as any Lender and may
exercise the same as though it were not the Administrative Agent, the Issuer
and the Swing Line Lender, and the term “Lender” shall include BNY.

             10.9      Successor
Administrative Agent

                           If
at any time the Administrative Agent deems it advisable, in its sole
discretion, it may submit to each Lender a written notification of its
resignation as Administrative Agent under the Loan Documents, such resignation
to be effective on the earlier to occur of (a) the thirtieth day after the date
of such notice, and (b) the date upon which any successor to the Administrative
Agent, in accordance with the provisions of this Section, shall have accepted
in writing its appointment as successor Administrative Agent.  Upon any such resignation, the Required
Lenders shall have the right to appoint from among the Lenders a successor
Administrative Agent, which successor Administrative Agent, provided that no
Default or Event of Default shall then exist, shall be reasonably satisfactory
to the Borrower.  If no such successor
Administrative Agent shall have been so appointed by the Required Lenders and
accepted such appointment within 30 days after the retiring Administrative
Agent’s giving of notice of resignation, then the retiring Administrative Agent
may, on behalf of the Lenders, appoint a successor Administrative Agent, which
successor Administrative Agent shall be a commercial bank organized or licensed
under the laws of the United States of America or of any State thereof and
having a combined capital and surplus of at least $500,000,000.  Upon the written acceptance of any
appointment as Administrative Agent hereunder by a successor Administrative
Agent, such successor Administrative Agent shall automatically become a party
to this Agreement and shall thereupon succeed to and become vested with all the
rights, powers, privileges and duties of the retiring Administrative Agent, and
the retiring Administrative Agent’s rights, powers, privileges and duties as
Administrative Agent under the Loan Documents shall be terminated.  The Borrower and the Lenders shall execute
such documents as shall be necessary to effect such appointment.  After any retiring Administrative Agent’s
resignation as Administrative Agent, the provisions of this Section 10 shall
inure to its benefit as to any actions taken or omitted to be taken by it while
it was the Administrative Agent.  If at
any time there shall not be a duly appointed and acting Administrative Agent,
upon notice duly given, the Borrower agrees to make each payment when due under
the Loan Documents directly to the Lenders entitled thereto during such time.

             10.10    Co-Documentation
Agents

                           The
Co-Documentation Agents shall have no duties or obligations under the Loan
Documents in their capacity as Co-Documentation Agents.

11.        OTHER PROVISIONS

             11.1      Amendments,
Waivers, Etc.

                           With
the written consent of the Required Lenders, the Administrative Agent and the
Borrower may, from time to time, enter into written amendments, supplements or
modifications of the Loan Documents and, with the written consent of the
Required Lenders, the Administrative Agent on behalf of the Lenders may execute
and deliver to any such parties a written instrument waiving or consenting to
the departure from, on such terms and conditions as the Administrative Agent
may specify in such instrument, any of the requirements of the Loan Documents
or any Default or Event of Default and its consequences, provided that no such amendment,
supplement, modification, waiver or consent shall, without the consent of all
of the Lenders (i) increase the Commitment Amount of any Lender (provided that no waiver of a Default or
Event of Default shall be deemed to constitute such an increase), (ii) extend
the Commitment Period, (iii) reduce the amount, or extend the time of payment,
of the Fees, (iv) reduce the rate, or extend the time of payment of, interest
on any Revolving Credit Loan, any Revolving Credit Note or any Reimbursement
Obligation (other than the applicability of any post-default increase in such
rate of interest), (v) reduce the amount, or extend the time of payment of any
payment of any Reimbursement Obligation or principal on any Revolving Credit
Loan or any Revolving Credit Note, (vi) decrease or forgive the principal
amount of any Revolving Credit Loan, any Revolving Credit Note or any
Reimbursement Obligation, (vii) consent to any assignment or delegation by the
Borrower of any of its rights or obligations under any Loan Document, (viii)
change the provisions of this Section 11.1, (ix) change the definition of
Required Lenders, (x) change the several nature of the obligations of the
Lenders, (xi) change the sharing provisions among Lenders, or (xii) extend the
expiration date of a Letter of Credit beyond the Commitment Termination
Date.  Notwithstanding the foregoing, no
such amendment, supplement, modification, waiver or consent shall (A) amend,
modify or waive any provision of Section 10 or otherwise change any of the
rights or obligations of the Administrative Agent, the Issuer or the Swing Line
Lender under any Loan Document without the written consent of the
Administrative Agent, the Issuer or the Swing Line Lender, as the case may be,
(B) change the Letter of Credit Commitment, change the amount or the time of payment
of the Letter of Credit Commissions, or change any other term or provision
which relates to the Letter of Credit Commitment or the Letters of Credit
without the written consent of the Issuer, (C) change the Swing Line
Commitment, change the amount or the time of payment of the Swing Line Loans or
interest thereon or change any other term or provision which relates to the
Swing Line Commitment or the Swing Line Loans without the written consent of
the Swing Line Lender or (D) change the amount or the time of payment of any
Competitive Bid Loan or interest thereon without the written consent of the
Lender holding such Competitive Bid Loan. 
Any such amendment, supplement, modification, waiver or consent shall
apply equally to each of the Lenders and shall be binding upon the parties to
the applicable Loan Document, the Lenders, the Administrative Agent and all
future holders of the Notes and the Reimbursement Obligations.  In the case of any waiver, the Borrower, the
Lenders and the Administrative Agent shall be restored to their former position
and rights under the Loan Documents, but any Default or Event of Default waived
shall not extend to any subsequent or other Default or Event of Default, or
impair any right consequent thereon.

             11.2      Notices

                           Except
as otherwise expressly provided herein, all notices, requests and demands to or
upon the respective parties hereto to be effective shall be in writing and, if
in writing, shall be deemed to have been duly given or made (a) when delivered
by hand, (b) one Domestic Business Day after having been sent by overnight
courier service at the cost of the sender, (c) five Domestic Business Days
after having been deposited in the mail, first-class postage prepaid, or (d) in
the case of fax notice, when sent, addressed as follows in the case of the
Borrower, the Administrative Agent, the Issuer and the Swing Line Lender, and
as set forth in Exhibit A in the case of each of the Lenders, or to such other
addresses as to which the Administrative Agent may be hereafter notified by the
respective parties hereto or any future holders of the Notes:

             The Borrower:

CVS
Corporation

1 CVS Drive

Woonsocket, Rhode Island 02895

Attention:  Philip C. Galbo,

                           Senior Vice
President and Treasurer

Facsimile: (401) 770-5192

Telephone: (401) 765-1500 (Ext. 3508)

with
a copy, in the case of a notice of Default or Event of Default, to:

CVS
Corporation

1 CVS Drive

Woonsocket, Rhode Island 02895

Attention: Legal Department

Facsimile: (401) 765-7887

Telephone: (401) 765-1500

             The
Administrative Agent, the Swing Line Lender and the Issuer:

in
the case of each Borrowing Request, each notice of prepayment under
Section 2.7, each Letter of Credit Request, each Competitive Bid Request,
each Competitive Bid, and each Competitive Bid Accept/Reject Letter:

The
Bank of New York

One Wall Street

New York, New York 10286

Attention:  Arlene Tellerman,

                           Agency Function
Administration

Facsimile: (212) 635-6365, 6366 or 6367

Telephone: (212) 635-4696,

in
all other cases:

The
Bank of New York

Retailing Industry Division

8th Floor

One Wall Street

New York, New York 10286

Attention:  Howard F. Bascom,

                           Vice President

Facsimile: (212) 635-1481

Telephone: (212) 635-7894,

except that any notice, request or demand
by the Borrower to or upon the Administrative Agent or the Lenders pursuant to
Sections 2.3, 2.4, 2.6, 2.7, 2.8, 2.9 or 3.3 shall not be effective until
received.  Any party to a Loan Document
may rely on signatures of the parties thereto which are transmitted by fax or
other electronic means as fully as if originally signed.

             11.3      No
Waiver; Cumulative Remedies

                           No
failure to exercise and no delay in exercising, on the part of the
Administrative Agent, any Lender or the Issuer, any right, remedy, power or
privilege under any Loan Document shall operate as a waiver thereof, nor shall
any single or partial exercise of any right, remedy, power or privilege under
any Loan Document preclude any other or further exercise thereof or the
exercise of any other right, remedy, power or privilege.  The rights, remedies, powers and privileges
under the Loan Documents 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 in the Loan Documents and in any document,
certificate or statement delivered pursuant thereto or in connection therewith
shall survive the execution and delivery of the Loan Documents.

             11.5      Payment of Expenses and
Taxes; Indemnified Liabilities

                           The Borrower agrees,
promptly upon presentation of a statement or invoice therefor setting forth in
reasonable detail the items thereof, and whether any Loan is made or Letter of
Credit is issued, (a) to pay or reimburse the Administrative Agent and its
Affiliates for all its reasonable costs and expenses actually incurred in
connection with the development, syndication, preparation and execution of, and
any amendment, waiver, consent, supplement or modification to, the Loan
Documents, any documents prepared in connection therewith and the consummation
of the transactions contemplated thereby, whether such Loan Documents or any
such amendment, waiver, consent, supplement or modification to the Loan
Documents or any documents prepared in connection therewith are executed and
whether the transactions contemplated thereby are consummated, including the
reasonable fees and disbursements of Special Counsel, (b) to pay, indemnify,
and hold the Administrative Agent, the Lenders and the Issuer harmless from any
and all recording and filing fees and any and all liabilities and penalties
with respect to, or resulting from any delay (other than penalties to the
extent attributable to the negligence of the Administrative Agent, the Lenders
or the Issuer, as the case may be, in failing to pay such fees or other
liabilities when due) in paying, stamp, excise and other similar taxes, if any,
which may be payable or determined to be payable in connection with the
execution and delivery of, or consummation of any of the transactions
contemplated by, or any amendment, supplement or modification of, or any waiver
or consent under or in respect of, the Loan Documents and any such other
documents, and (c) to pay, reimburse, indemnify and hold each Indemnified
Person harmless from and against any and all other liabilities, obligations,
claims, losses, damages, penalties, actions, judgments, suits, costs, expenses
and disbursements of any kind or nature whatsoever (including reasonable
counsel fees and disbursements of counsel (including the allocated costs of internal
counsel) and such local counsel as may be required) actually incurred with
respect to the enforcement, performance of, and preservation of rights under,
the Loan Documents (all the foregoing, collectively, the “Indemnified Liabilities”) and, if and to
the extent that the foregoing indemnity may be unenforceable for any reason,
the Borrower agrees to make the maximum payment permitted under applicable law;
provided that the Borrower shall
have no obligation hereunder to pay Indemnified Liabilities to an Indemnified
Person to the extent arising from its gross negligence or willful
misconduct.  The agreements in this
Section shall survive the termination of the Commitments and the payment of the
Loans and the Notes and all other amounts payable under the Loan Documents.

             11.6      Lending Offices

                           Each
Lender shall have the right at any time and from time to time to transfer any
Loan to a different office of such Lender, subject to Section 3.10.

             11.7      Successors
and Assigns

                           (a)         The Loan Documents shall be binding
upon and inure to the benefit of the Borrower, the Lenders, the Administrative
Agent, the Issuer, all future holders of the Notes and the Reimbursement
Obligations and their respective successors and assigns; provided that the
Borrower shall not assign, transfer or delegate any of its rights or
obligations under the Loan Documents without the prior consent of the
Administrative Agent, the Issuer and all of the Lenders.

                           (b)        Notwithstanding Section 11.7(c), but
subject to Section 11.7(e), each Lender may at any time assign all or any
portion of its rights under any Loan Document to any Federal Reserve Bank.

                           (c)         In addition to its rights under Section
11.7(b), each Lender shall have the right, at any time, upon written notice to
the Administrative Agent of its intent to do so, to sell, assign, transfer or
negotiate (each an “Assignment”)
all or any portion of all of its Loans, its Commitment and its Notes and its
interest in the Loan Documents to any subsidiary or Affiliate of such Lender,
to any other Lender or, with the prior written consent of the Administrative
Agent, the Borrower, the Swing Line Lender and the Issuer (which consents shall
not be unreasonably withheld and, in the case of the Borrower, shall not be
required if, at the time of such Assignment, an Event of Default shall exist),
to any other bank, insurance company, pension fund, mutual or other similar
fund or other financial institution,
provided that (i) each such Assignment shall be of a constant, and
not varying, percentage of all of the assigning Lender’s rights and obligations
under the Loan Documents and be in a minimum amount of $5,000,000 (which
minimum amount shall not be applicable to an Assignment by a Lender to a
subsidiary or Affiliate of such Lender) or the full amount of such Lender’s
Commitment, and (ii) the parties to each such Assignment (excluding the
Borrower if the Borrower is a party to such assignment) shall execute and
deliver to the Administrative Agent an Assignment and Acceptance Agreement,
together with a fee (the “Assignment Fee”),
payable to the Administrative Agent, of $3,500.  Upon receipt of each such executed Assignment and Acceptance
Agreement together with the Assignment Fee therefor, the Administrative Agent
shall execute the same and, in the event that either the assignee thereunder is
a Lender (or a subsidiary or Affiliate thereof) or the Borrower shall have
consented to such assignment (to the extent that such consent was not
unreasonably withheld and is required as aforesaid), (i) record the same and
execute two copies of such Assignment and Acceptance Agreement in the
appropriate place, deliver one copy to the assignor and one copy to the
assignee and (ii) request the Borrower to execute and deliver (1) to such
assignee, one or more Notes, in an aggregate principal amount equal to the
Loans assigned to, and Commitment assumed by, such assignee, and (2) to such
assignor, in the event that such assignor shall retain any Loans and
Commitment, one or more Notes in an aggregate principal amount equal to the
balance of such assignor Lender’s Loans and Commitment, in each case against
receipt of such assignor Lender’s existing Note or Notes, as the case may be,
appropriately marked to indicate their substitution.  The Borrower agrees that it shall, upon each such request of the
Administrative Agent, execute and deliver such new Notes at its own cost and
expense.  Upon such delivery, acceptance
and recording by the Administrative Agent, from and after the effective date
specified in such Assignment and Acceptance Agreement, the assignee thereunder
shall be a party hereto and shall for all purposes of the Loan Documents be
deemed a “Lender” and, to the extent provided in such Assignment and Acceptance
Agreement, the assignor Lender thereunder shall be released from its
obligations under the Loan Documents.

                           (d)        In addition to the participations
provided for in Section 11.9(b), each Lender may grant participations in all or
any part of its Loans, its Notes and its Commitment to one or more banks,
insurance companies, pension funds, mutual funds or other financial
institutions, provided that (i)
such Lender’s obligations under the Loan Documents shall remain unchanged, (ii)
such Lender shall remain solely responsible to the other parties to the Loan
Documents for the performance of such obligations, (iii) the Borrower, the
Administrative Agent, the Issuer and the Lenders shall continue to deal solely
and directly with such Lender in connection with such Lender’s rights and
obligations under the Loan Documents, and (iv) the voting rights of any holder
of any participation shall be limited to decisions that in accordance with
Section 11.1 require the consent of all of the Lenders.  The Borrower acknowledges and agrees that any
such participant shall for purposes of Section 3.5, 3.6, 3.10 and 11.5 be
deemed to be a “Lender”, provided that in no event shall the Borrower be liable
for any amounts under said Sections in excess of the amounts for which it would
be liable but for such participation.

                           (e)         No Lender shall, as between and among
the Borrower, the Administrative Agent, the Issuer, the Swing Line Lender and
such Lender, be relieved of any of its obligations under the Loan Documents as
a result of any assignment of or granting of participations in, all or any part
of its Loans, its Commitment and its Notes, except that a Lender shall be
relieved of its obligations to the extent of any such assignment of all or any
part of its Loans, its Commitment or its Notes pursuant to Section 11.7(c).

                           (f)         Notwithstanding anything to the
contrary contained herein, any Lender (a “Granting
Lender”) may grant to an Eligible SPC the option to fund all or any
part of any Loan that such Granting Lender would otherwise be obligated to fund
pursuant to this Agreement; provided that (i)
such designation shall not be effective unless the Borrower consents thereto
(which consent shall not be unreasonably withheld), (ii) nothing herein shall
constitute a commitment by any Eligible SPC to fund any Loan, and (iii) if an
Eligible SPC elects not to exercise such option or otherwise fails to fund all
or any part of such Loan, the Granting Lender shall be obligated to fund such
Loan pursuant to the terms hereof.  The
funding of a Loan by an Eligible SPC hereunder shall utilize the Commitment of
the Granting Lender to the same extent, and as if, such Loan were funded by
such Granting Lender.  As to any Loans
or portion thereof made by it, each Eligible SPC shall have all the rights that
a Lender making such Loans or portion thereof would have had under this
Agreement and otherwise; provided that (x) its voting rights under this
Agreement shall be exercised solely by its Granting Lender and (y) its Granting
Lender shall remain solely responsible to the other parties hereto for the
performance of such Granting Lender’s obligations under this Agreement,
including its obligations in respect of the Loans or portion thereof made by
it.  Each Granting Lender shall act as
administrative agent for its Eligible SPC and give and receive notices and
other communications on its behalf.  Any
payments for the account of any Eligible SPC shall be paid to its Granting
Lender as administrative agent for such Eligible SPC and neither the Borrower
nor the Administrative Agent shall be responsible for any Granting Lender’s
application of such payments.  Each
party hereto hereby agrees that no Eligible SPC shall be liable for any
indemnity or payment under this Agreement for which a Lender would otherwise be
liable for so long as, and to the extent, the Granting Lender provides such
indemnity or makes such payment. 
Notwithstanding anything to the contrary contained in this Agreement,
any Eligible SPC may (i) at any time, subject to payment of the Assignment Fee,
assign all or a portion of its interests in any Loans to its Granting Lender
(but nothing contained herein shall be construed in derogation of the
obligation of the Granting Lender to make Loans hereunder) or to any financial
institutions providing liquidity and/or credit support to or for the account of
such Eligible SPC to support the funding or maintenance of Loans, and (ii)
disclose on a confidential basis any non-public information relating to its
funding of Loans to any rating agency, commercial paper dealer or provider of
any surety or guarantee or credit or liquidity enhancements  to such Eligible SPC.  This Section may not be amended without the
prior written consent of each Granting Lender, all or any part of whose Loan is
being funded by an Eligible SPC at the time of such amendment.

             11.8      Counterparts

                           Each
of the Loan Documents (other than the Notes) may be executed on any number of
separate counterparts and all of said counterparts taken together shall be
deemed to constitute one and the same agreement.  It shall not be necessary in making proof of any Loan Document to
produce or account for more than one counterpart signed by the party to be
charged.  A set of the copies of this
Agreement signed by all of the parties hereto shall be lodged with each of the
Borrower and the Administrative Agent. 
Any party to a Loan Document may rely upon the signatures of any other
party thereto which are transmitted by fax or other electronic means to the
same extent as if originally signed.

             11.9      Set-off
and Sharing of Payments

                           (a)         In addition to any rights and remedies
of the Lenders and the Issuer provided by law, upon the occurrence of an Event
of Default under Section 9.1(a) or (b) or upon the acceleration of the payment
of the Notes, each Lender and the Issuer shall have the right, without prior
notice to the Borrower, any such notice being expressly waived by the Borrower,
to set-off and apply against any indebtedness or other liability, whether
matured or unmatured, of the Borrower to such Lender or the Issuer arising
under the Loan Documents, any amount owing from such Lender or the Issuer to
the Borrower.  To the extent permitted
by applicable law, the aforesaid right of set-off may be exercised by such
Lender or the Issuer against the Borrower or against any trustee in bankruptcy,
custodian, debtor in possession, assignee for the benefit of creditors,
receiver, or execution, judgment or attachment creditor of the Borrower, or
against anyone else claiming through or against the Borrower or such trustee in
bankruptcy, custodian, debtor in possession, assignee for the benefit of
creditors, receivers, or execution, judgment or attachment creditor,
notwithstanding the fact that such right of set-off shall not have been
exercised by such Lender or the Issuer prior to the making, filing or issuance
of, service upon such Lender or the Issuer of, or notice to such Lender or the
Issuer of, any petition, assignment for the benefit of creditors, appointment
or application for the appointment of a receiver, or issuance of execution,
subpoena, order or warrant.  Each Lender
and the Issuer agree promptly to notify the Borrower and the Administrative
Agent after each such set-off and application made by such Lender or the
Issuer, provided that the failure
to give such notice shall not affect the validity of such set-off and application.

                           (b)        If any Lender or the Issuer (each a “Benefited Lender”) shall obtain any
payment (whether voluntary, involuntary, through the exercise of any right of
set-off, or otherwise) on account of its Loans or its Notes or the
Reimbursement Obligations in excess of its pro rata share (in accordance with
the outstanding principal balance of all Loans or the Reimbursement
Obligations) of payments then due and payable on account of the Loans and Notes
received by all the Lenders or the Reimbursement Obligations, such Lender or
the Issuer, as the case may be, shall forthwith purchase, without recourse, for
cash, from the other Lenders such participations in their Loans and Notes or
the Reimbursement Obligations as shall be necessary to cause such purchasing
Lender or the Issuer to share the excess payment with each of them according to
their pro rata share (in accordance with the outstanding principal balance of
all Loans or the Reimbursement Obligations), provided
that if all or any portion of such excess payment is thereafter
recovered from such purchasing Lender or the Issuer, such purchase from each
Lender shall be rescinded and each such Lender shall repay to the purchasing
Lender or the Issuer the purchase price to the extent of such recovery, together
with an amount equal to such Lender’s pro rata share (according to the
proportion of (i) the amount of such Lender’s required repayment to (ii) the
total amount so recovered from the purchasing Lender or the Issuer) of any
interest or other amount paid or payable by the purchasing Lender in respect of
the total amount so recovered.  The
Borrower agrees, to the fullest extent permitted by law, that any Lender or the
Issuer so purchasing a participation from another Lender pursuant to this
Section may exercise such rights to payment (including the right of set-off)
with respect to such participation as fully as if such Lender or the Issuer
were the direct creditor of the Borrower in the amount of such participation.

             11.10    Indemnity

                           The
Borrower agrees to indemnify and hold harmless each of the Administrative
Agent, the Issuer, each Lender and their respective Affiliates, officers,
directors, employees, agents and representatives (each an “Indemnified Person”) from and against any
loss, cost, liability, damage or expense, including the reasonable fees and
disbursements of counsel (including the allocated costs of internal counsel)
and such local counsel as may be required to represent such Indemnified Person
actually incurred by such Indemnified Person in preparing for, defending
against, or providing evidence, producing documents or taking any other action
in respect of, any litigation, administrative proceeding or investigation under
any federal securities law or any other statute of any jurisdiction, or any
regulation, or at common law or otherwise, which is alleged to arise out of or
is based upon (1) any untrue statement or alleged untrue statement of any
material fact by or on behalf of the Borrower or any Subsidiary, in any
document or schedule executed or filed with any Governmental Authority by or on
behalf of the Borrower or any Subsidiary which relates to the transactions
contemplated by the Loan Documents, (2) any omission or alleged omission by or
on behalf of the Borrower or any Subsidiary to state any material fact required
to be stated in such document or schedule, or necessary to make the statements
made therein, in light of the circumstances under which made, not misleading,
(3) any acts, practices or omissions or alleged acts, practices or omissions of
the Borrower or its agents relating to the use of the proceeds of any Loan or
Letter of Credit which is alleged to be in violation of Section 2.5, or in
violation of any federal securities law or of any other statute, regulation or
other law of any jurisdiction applicable thereto, or (4) any Loan Document or
any other document contemplated by or referred to therein or the transactions
contemplated thereby or any action taken or omitted to be taken by such
Indemnified Person under or in connection with any of the foregoing.  Notwithstanding the above, the Borrower
shall have no liability under clause (4) of this Section to indemnify or hold
harmless any Indemnified Person for any loss, cost, liability, damage or
expense relating to income or withholding taxes or any tax in lieu of such
taxes.  The indemnity set forth herein
shall be in addition to any other obligations or liabilities of the Borrower to
each Indemnified Person hereunder or at common law or otherwise, shall include
the reasonable fees and disbursements of counsel (including the allocated costs
of internal counsel) and such local counsel as may be required in connection
with establishing liability under this Section or collecting amounts payable
under this Section and shall survive any termination of this Agreement, the
expiration of the Commitments and the payment of all indebtedness of the
Borrower under the Loan Documents, provided that
the Borrower shall not have any liability under this Section to any Indemnified
Person with respect to indemnified liabilities which are determined by a final
and nonappealable judgment of a court of competent jurisdiction to have arisen
primarily from the gross negligence or willful misconduct of such Indemnified
Person.

             11.11    Governing
Law

                           The Loan Documents
and the rights and obligations of the parties thereto shall be governed by, and
construed and interpreted in accordance with, the laws of the State of New
York.

             11.12    Severability

                           Every
provision of the Loan Documents is intended to be severable, and if any term or
provision thereof shall be invalid, illegal or unenforceable for any reason,
the validity, legality and enforceability of the remaining provisions thereof
shall not be affected or impaired thereby, and any invalidity, illegality or unenforceability
in any jurisdiction shall not affect the validity, legality or enforceability
of any such term or provision in any other jurisdiction.

             11.13    Integration

                           All
exhibits to the Loan Documents shall be deemed to be a part thereof.  Each Loan Document embodies the entire
agreement and understanding between or among the parties thereto with respect
to the subject matter thereof and supersedes all prior agreements and
understandings between or among the parties thereto with respect to the subject
matter thereof.

             11.14    Treatment
of Certain Information

                           Each
Lender, the Issuer and the Administrative Agent agrees to maintain as
confidential and not to disclose, publish or disseminate to any third parties
any financial or other information relating to the business, operations and
condition, financial or otherwise, of the Borrower provided to it, except if
and to the extent that:

                           (a)         such information is in the public
domain at the time of disclosure;

                           (b)        such information is required to be
disclosed by subpoena or similar process or applicable law or regulations;

                           (c)         such information is required or
requested to be disclosed to any regulatory or administrative body or
commission to whose jurisdiction it may be subject;

                           (d)        such information is disclosed to its
counsel, auditors or other professional advisors;

                           (e)         such information is disclosed to (and,
unless and until it receives written objection from the Borrower, the Borrower
shall be deemed to have consented to disclosure of such information to) its
affiliates; provided that such information shall be used in connection with
this Agreement and the transactions contemplated hereby;

                           (f)         such information is disclosed to its
officers, directors and employees;

                           (g)        such information is disclosed with the
prior written consent of the party furnishing the information;

                           (h)        such information is disclosed in
connection with any litigation or dispute involving the Borrower and/or it;

                           (i)          such information is disclosed in
connection with the sale of a participation or other disposition by it of any
of its interest in this Agreement, provided that such information shall not be
disclosed unless and until the party to whom it shall be disclosed shall have
agreed to keep such information confidential as set forth herein;

                           (j)          such information was in its possession
or in its affiliate’s possession as shown by clear and convincing evidence
prior to any of the Borrower and/or any or the Borrower’s representatives or
agents furnishing such information to it; or

                           (k)         such information is received by it,
without restriction as to its disclosure or use, from a Person who, to its
knowledge or reasonable belief, was not prohibited from disclosing such
information by any duty of confidentiality.

                           Except
to the extent prohibited or restricted by law or Governmental Authority, each
Lender shall notify the Borrower promptly of any disclosures of information
made by it as permitted pursuant to (h) above.

             11.15    Acknowledgments

                           The
Borrower acknowledges that (a) it has been advised by counsel in the
negotiation, execution and delivery of the Loan Documents, (b) by virtue of the
Loan Documents, none of the Administrative Agent, the Issuer, or any Lender has
any fiduciary relationship to the Borrower, and the relationship between the
Administrative Agent, the Issuer, and the Lenders, on the one hand, and the
Borrower, on the other hand, is solely that of debtor and creditor, and (c) by
virtue of the Loan Documents, no joint venture exists among the Lenders or
among the Borrower and the Lenders.

             11.16    Consent
to Jurisdiction

                           The
Borrower irrevocably submits to the non-exclusive jurisdiction of any New York
State or Federal Court sitting in the City of New York over any suit, action or
proceeding arising out of or relating to the Loan Documents.  The Borrower irrevocably waives, to the
fullest extent permitted by law, any objection which it may now or hereafter
have to the laying of the venue of any such suit, action or proceeding brought
in such a court and any claim that any such suit, action or proceeding brought
in such a court has been brought in an inconvenient forum.  The Borrower agrees that a final judgment in
any such suit, action or proceeding brought in such a court, after all
appropriate appeals, shall be conclusive and binding upon it.

             11.17    Service
of Process

                           The
Borrower agrees that process may be served against it in any suit, action or
proceeding referred to in Section 11.16 by sending the same by first class
mail, return receipt requested or by overnight courier service, with receipt
acknowledged, to the address of the Borrower set forth in Section 11.2.  The Borrower agrees that any such service
(i) shall be deemed in every respect effective service of process upon it in
any such suit, action, or proceeding, and (ii) shall to the fullest extent
enforceable by law, be taken and held to be valid personal service upon and
personal delivery to it.

             11.18    No
Limitation on Service or Suit

                           Nothing in the Loan
Documents or any modification, waiver, or amendment thereto shall affect the
right of the Administrative Agent, the Issuer or any Lender to serve process in
any manner permitted by law or limit the right of the Administrative Agent, the
Issuer or any Lender to bring proceedings against the Borrower in the courts of
any jurisdiction or jurisdictions.

             11.19    WAIVER OF TRIAL BY JURY

                           THE
ADMINISTRATIVE AGENT, THE ISSUER, THE LENDERS AND THE BORROWER KNOWINGLY,
VOLUNTARILY AND INTENTIONALLY WAIVE ANY RIGHT THEY MAY HAVE TO A TRIAL BY JURY
IN RESPECT OF ANY LITIGATION ARISING OUT OF, UNDER OR IN CONNECTION WITH THE
LOAN DOCUMENTS OR THE TRANSACTIONS CONTEMPLATED THEREBY.  FURTHER, THE BORROWER HEREBY CERTIFIES THAT
NO REPRESENTATIVE OR AGENT OF THE ADMINISTRATIVE AGENT, THE ISSUER, OR THE
LENDERS, OR COUNSEL TO THE ADMINISTRATIVE AGENT, THE ISSUER, OR THE LENDERS,
HAS REPRESENTED, EXPRESSLY OR OTHERWISE, THAT THE ADMINISTRATIVE AGENT, THE
ISSUER, OR THE LENDERS WOULD NOT, IN THE EVENT OF SUCH LITIGATION, SEEK TO
ENFORCE THIS WAIVER OF RIGHT TO JURY TRIAL PROVISION.  THE BORROWER ACKNOWLEDGES THAT THE ADMINISTRATIVE AGENT, THE
ISSUER, AND THE LENDERS HAVE BEEN INDUCED TO ENTER INTO THIS AGREEMENT BY, INTER ALIA, THE PROVISIONS OF THIS
SECTION.

             11.20    Effective
Date

                           This
Agreement shall be effective at such time (the “Effective
Date”) as the Administrative Agent shall have received executed
counterparts hereof by the Borrower, the Administrative Agent, the Issuer, and
each Lender and the conditions set forth in Sections 5.1 through 5.4 have been
or simultaneously will be satisfied, provided
that this Agreement shall not become effective or be binding on any
party hereto unless all of such conditions are satisfied not later than June
30, 2001.

             11.21    Notice of Commitment
Termination

                           The
Borrower hereby gives notice that the Borrower wishes to terminate the
commitments under the Existing Credit Agreement, effective as of the Effective
Date.  Each Lender that is a party to
the Existing Credit Agreement, by its execution hereof, waives any requirement
of prior notice set forth therein as a condition to the right of the Borrower
to terminate the commitments thereunder.

             AS EVIDENCE of the agreement by the parties hereto to
the terms and conditions herein contained, each such party has caused this Five
Year Credit Agreement to be executed on its behalf.

	 	CVS
  CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

EXHIBIT
A

LIST
OF COMMITMENTS, APPLICABLE LENDING OFFICES

AND ADDRESSES FOR NOTICES

12.        LIST
OF COMMITMENTS

	 	 	Lender	 	Commitment
  Amount
	 	

	 	

	 	The Bank of New York	$75,000,000
	 	Fleet National Bank	$75,000,000
	 	Credit Suisse First Boston	$60,000,000
	 	First Union National Bank	$60,000,000
	 	ABN AMRO Bank N.V.	$37,500,000
	 	Morgan Guaranty Trust Company of New York	$37,500,000
	 	KeyBank National Association	$37,500,000
	 	SunTrust Bank	$37,500,000
	 	Firstar Bank, N.A.	$37,500,000
	 	Mellon Bank, N.A.	$25,000,000
	 	PNC Bank, National Association	$25,000,000
	 	Comerica Bank	$17,500,000
	 	Allfirst Bank	$12,500,000
	 	Bank One, NA	$12,500,000
	 	Citibank, N.A.	$12,500,000
	 	Citizens Bank of Rhode Island	$12,500,000
	 	Fifth Third Bank	$12,500,000
	 	National City Bank	$12,500,000
	 	Sovereign Bank	$12,500,000
	 	Wachovia Bank, N.A.	$12,500,000
	 	Wells Fargo Bank	$10,000,000
	 	First Hawaiian Bank	$7,500,000
	 	Regions Bank	$7,500,000
	 	 	

	 	 	TOTAL	$650,000,000
						

 

13.        LIST
OF APPLICABLE LENDING OFFICES AND ADDRESSES FOR NOTICES

THE BANK OF NEW YORK

Applicable Lending Office for each Eurodollar
Advance:

The Bank of New York

One Wall Street

New York, NY 10286

Applicable Lending Office for all other
Advances:

The Bank of New York

One Wall Street 

New York, NY 10286

Address for
Notices:

The Bank of New York

One Wall Street

22nd Floor

New York, NY  10286

Attention: Howard F. Bascom, 

Vice President

Telephone:  (212) 635–7894

Facsimile:  (212) 635–1481

FLEET NATIONAL BANK

Applicable
Lending Office for each Eurodollar Advance:

Fleet National Bank

One Hundred Federal Street

Boston, Massachusetts  02110

Applicable
Lending Office for all other Advances:

Fleet National Bank

One Hundred Federal Street

Boston, Massachusetts  02110

Attn:          Thomas Bullard

Telephone: (617) 434-3824

Facsimile:  (617) 434-6685

Address for
Notices:

Fleet National Bank

One Hundred Federal Street

Boston, Massachusetts  02110

Attention:        Vani Rattan

Telephone:       (617) 434-4137

Facsimile:         (617) 434-9933

CREDIT SUISSE FIRST BOSTON

Applicable
Lending Office for each Eurodollar Advance:

Credit Suisse First Boston

11 Madison Avenue, 10th Floor

New York, New York  10010

Applicable
Lending Office for all other Advances:

Credit Suisse First Boston

11 Madison Avenue, 10th Floor

New York, New York  10010

Address for Notices:Credit Suisse First Boston

11 Madison Avenue, 10th Floor

New York, New York  10010

Attention:  Joel Glodowski

Telephone:  (212) 325–9171

Facsimile: (212) 325–8309

Address for
Notices for Borrowings:

Credit Suisse First Boston

5 World Trade Center

New York, New York 10048

Attention: Nilsa Ware

Telephone: (212) 322-5094

Facsimile: (212) 335-0593

FIRST UNION NATIONAL BANK

Applicable
Lending Office for each Eurodollar Advance:

First Union National Bank 

201 South College Street, CP17

Charlotte, North Carolina  28288-1183

Applicable
Lending Office for all other Advances:

First Union National Bank 

201 South College Street, CP17

Charlotte, North Carolina  28288-1183

Address for Notices:

First Union National Bank

PA4843

Widener Building - 12th
Floor

One South Penn Square

Philadelphia, PA 19107

Attention:  Bill Fox

Telephone:  (215) 786-8633

Facsimile:  (215) 786-2877

ABN AMRO BANK N.V.

Applicable
Lending Office for each Eurodollar Advance:

ABN
Amro Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60804-1003

With
a copy to:

ABN
Amro Bank N.V.

55 East 52nd Street

New York, NY 10055

Attention: Carol Hom

Telephone: (212)  409-1469

Facsimile:  (212)  409-1662

Applicable
Lending Office for all other Advances:

ABN
Amro Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60804-1003

Attention:  Sherry Manning

Telephone: (312)  992-5110

Facsimile:  (312)  992-5111

With
a copy to:

ABN
Amro Bank N.V.

55 East 52nd Street

New York, NY 10055

Attention: Carol Hom

Telephone: (212)  409-1469

Facsimile:  (212)  409-1662

Address for Notices:

ABN
Amro Bank N.V.

208 South LaSalle Street, Suite 1500

Chicago, IL 60804-1003

Attention:  Loan Administration

Telephone: (312) 992-5152

Facsimile:  (312)  992-5157

 

ALLFIRST BANK

Applicable
Lending Office for each Eurodollar Advance :

Allfirst
Bank

National Division, 18th Floor

25 S. Charles Street

Baltimore, Maryland  21201

Applicable
Lending Office for all other Advances:

Allfirst
Bank

National Division, 18th Floor

25 S. Charles Street

Baltimore, Maryland  21201

Attention:  C. Coney Burgess

Telephone: (410) 244-4203

Facsimile: (410) 545-2047

Address for
Notices:

Allfirst
Bank

National Division, 18th Floor

25 S. Charles Street

Baltimore, Maryland  21201

Attention:  C. Coney Burgess

Telephone: (410) 244-4203

Facsimile: (410) 545-2047

BANK ONE, NA (MAIN OFFICE CHICAGO)

Applicable
Lending Office for each Eurodollar Advance :

Bank
One, NA

One Bank Plaza

Suite IL1-0086

Chicago, IL  60670

Applicable
Lending Office for all other Advances:

Bank
One, NA

One Bank Plaza

Suite IL1-0086

Chicago, IL  60670

Attention: 
Vincent Henchek

Telephone: (312) 732-9772

Facsimile: (312) 732-7101

Address for
Notices:

Bank
One, NA

One Bank Plaza

Suite IL1-0086

Chicago, IL  60670

Attention: Vincent Henchek

Telephone: (312) 732-9772

Facsimile: (312) 732-7101

CITIBANK, N.A.

Applicable
Lending Office for each Eurodollar Advance:

CitiBank,
N.A.

2 Penns Way 2/2

New Castle, DE 19720

Attention:  Terry Jenkins

Telephone: (302) 894-6037

Facsimile:  (302) 894-6120

Applicable Lending Office for all other
Advances:

CitiBank,
N.A.

2 Penns Way 2/2

New Castle, DE 19720

Attention:  Terry Jenkins

Telephone: (302) 894-6037

Facsimile:  (302) 894-6120

Address
for Notices:

CitiBank,
N.A.

2 Penns Way 2/2

New Castle, DE 19720

Attention:  Terry Jenkins

Telephone: (302) 894-6037

Facsimile:  (302) 894-6120

CITIZENS BANK OF RHODE ISLAND

Applicable
Lending Office for each Eurodollar Advance:

Citizens
Bank of Rhode Island

Citizens Bank, Participation Group

One Citizens Drive

FDC-160

Riverside, RI 02914

Attention:  Carolyn Hawkins

Telephone: (401) 734-5296

Facsimile: (401) 734-4385

Applicable
Lending Office for all other Advances:

Citizens
Bank of Rhode Island

Citizens Bank, Participation Group

One Citizens Drive

FDC-160

Riverside, RI 02914

Attention:  Carolyn Hawkins

Telephone: (401) 734-5296

Facsimile: (401) 734-4385

Address for
Notices:

Citizens
Bank of Rhode Island

Citizens Bank, Participation Group

One Citizens Drive

FDC-160

Riverside, RI 02914

Attention:  Carolyn Hawkins

Telephone: (401) 734-5296

Facsimile: (401) 734-4385

COMERICA BANK

Applicable
Lending Office for each Eurodollar Advance :

Comerica
Bank

U.S. Banking East

500 Woodward Avenue, 9th Floor

Mail Code 3279

Detroit, Michigan  48275

Applicable
Lending Office for all other Advances:

Comerica Bank 

U.S. Banking East

500 Woodward Avenue, 9th Floor

Mail Code 3279

Detroit, Michigan  48275

Attention:  Jeffrey M. Lafferty

Telephone: (313) 222-6239

Facsimile: (313) 222-3330

Address for Notices:

Comerica
Bank

One Detroit Center

500 Woodward Avenue

Mail Code 3280

Detroit, Michigan  48226

Attention:  Jeffrey M. Lafferty

Telephone: (313) 222-6239

Facsimile: (313) 222-3330

FIFTH THIRD BANK

Applicable
Lending Office for each Eurodollar Advance:

Fifth
Third Bank

38 Fountain Square Plaza

Mail Drop 109054

Cincinnati, OH  45263

Applicable
Lending Office for all other Advances:

Fifth
Third Bank

38 Fountain Square Plaza

Mail Drop 109054

Cincinnati, OH  45263

Attention:  Ann
Pierson

Telephone: (513) 579-5295

Facsimile: (513) 579-5947

Address for
Notices:

Fifth
Third Bank

38 Fountain Square Plaza

Mail Drop 109054

Cincinnati, OH  45263

Attention: 
Ann Pierson

Telephone: (513) 579-5295

Facsimile: (513) 579-5947

FIRST HAWAIIAN BANK

Applicable
Lending Office for each Eurodollar Advance:

First
Hawaiian Bank

999 Bishop Street, 11th Floor

Honolulu, Hawaii  96813

Applicable
Lending Office for all other Advances:

First
Hawaiian Bank

999 Bishop Street, 11th Floor

Honolulu, Hawaii  96813

Address for Notices:

First
Hawaiian Bank

999 Bishop Street, 11th Floor

Honolulu, Hawaii  96813

Attention: Charles Jenkins

Telephone: (808) 525–6289

Facsimile: (808) 525–6372

FIRSTAR BANK

Applicable
Lending Office for each Eurodollar Advance :

Firstar Bank

1350 Euclid Avenue, 8th Floor

Cleveland, OH 44115

Applicable
Lending Office for all other Advances:

Firstar Bank

1350 Euclid Avenue, 8th Floor

Cleveland, OH  44115

Attention David Dannemiller

Telephone:  (216)  623-9233

Facsimile:  (216) 623-9208

Address for
Notices:

Firstar Bank

1350 Euclid Avenue, 8th Floor

Cleveland, OH  44115

Attention:  David J. Dannemiller

Telephone(216) 623-9233

Facsimile:  (216) 623-9208

KEYBANK NATIONAL ASSOCIATION

Applicable
Lending Office for each Eurodollar Advance:

KeyBank
National Association

127 Public Square

OH-01-27-0606

Cleveland, Ohio  44114

Applicable
Lending Office for all other Advances:

KeyBank
National Association

127 Public Square

OH-01-27-0606

Cleveland, Ohio  44114

Address for Notices:

KeyBank
National Association

127 Public Square

OH-01-27-0606

Cleveland, Ohio  44114

Attention: Marianne Meil

Telephone:  (216) 689-3443

Facsimile:   (216) 689-4981

MELLON BANK, N.A.

Applicable
Lending Office for each Eurodollar Advance :

Mellon
Bank, N.A.

Three Mellon Bank Center, Room 1203

Pittsburgh, PA  15259

Applicable
Lending Office for all other Advances:

Mellon
Bank, N.A.

Three Mellon Bank Center, Room 1203

Pittsburgh, PA  15259

Address for
Notices:

Mellon
Bank, N.A.

One Mellon Bank Center, Room 370

Pittsburgh, PA  15258

Attention: Louis Flori

Telephone: (412) 234-7298

Facsimile: (412) 236-1914

MORGAN GUARANTY TRUST COMPANY
OF NEW YORK

Applicable
Lending Office for each Eurodollar Advance:

Morgan
Guaranty Trust Company of New York

c/o J.P. Morgan Services, Inc.

Credit Operations 3/OPS 2

500 Stanton Christiana Road

Newark, DE 19713-2107

Attention:  Leslie Quezada

Telephone: (302) 634-4516

Facsimile: (302) 634-1852

Applicable
Lending Office for all other Advances:

Morgan
Guaranty Trust Company of New York

c/o J.P. Morgan Services, Inc.

Credit Operations 3/OPS 2

500 Stanton Christiana Road

Newark, DE 19713-2107

Attention:  Leslie Quezada

Telephone: (302) 634-4516

Facsimile: (302) 634-1852

Address for Notices:

J.P.
Morgan Chase & Company

270 Park Avenue

New York, New York 10017

Attention:  Barry Bergman

Telephone: (212) 270-0203

Facsimile: (212) 270-5646

NATIONAL CITY BANK

Applicable
Lending Office for each Eurodollar Advance :

National
City Bank

One South Broad

13th Floor

Philadelphia, PA 19107

Attention: Thomas McDonnell

Telephone: 267-256-4041

Facsimile: 267-256-4001

Applicable
Lending Office for all other Advances:

National
City Bank

One South Broad

13th Floor

Philadelphia, PA 19107

Attention: Thomas McDonnell

Telephone: 267-256-4041

Facsimile: 267-256-4001

Address for
Notices:

National
City Bank

One South Broad

13th Floor

Philadelphia, PA 19107

Attention: Thomas McDonnell

Telephone: 267-256-4041

Facsimile: 267-256-4001

PNC BANK, NATIONAL ASSOCIATION

Applicable
Lending Office for each Eurodollar Advance:

PNC
Bank, National Association

Two Tower Center Boulevard

East Brunswick, New Jersey  08816

Applicable
Lending Office for all other Advances:

PNC
Bank, National Association

Two Tower Center Boulevard

East Brunswick, New Jersey  08816

Address for
Notices:

PNC
Bank, National Association

2 Tower Center 

East Brunswick, New Jersey  08816

Attention: Michael Richards

Telephone: (908) 220-3228

Facsimile: (908) 220-3231

REGIONS BANK

Applicable
Lending Office for each Eurodollar Advance :

Regions Bank

417 North 20th Street

Birmingham, Alabama  35203

Applicable
Lending Office for all other Advances:

Regions Bank

417 North 20th Street

Birmingham, Alabama  35203

Attention:  Kim Hassell

Telephone:  (205) 326-7038

Facsimile:  (205)  326-7759

Address for
Notices:

Regions Bank

417 North 20th Street

Birmingham, Alabama  35203

Attention:  James Schmalz

Telephone:  (205) 326-7905

Facsimile:  (205)  326-7788

SOVEREIGN BANK

Applicable
Lending Office for each Eurodollar Advance :

Sovereign
Bank

15 Westminister Street

Providence, RI 02903

Applicable
Lending Office for all other Advances:

Sovereign
Bank

15 Westminister Street

Providence, RI 02903

Attention: Robert F. Camara

Telephone: (401) 752-1024

Facsimile: (401) 752-1041

Address
for Notices:

Sovereign
Bank

15 Westminister Street

Providence, RI 02903

Attention: Robert F. Camara

Telephone: (401) 752-1024

Facsimile: (401) 752-1041

SUNTRUST BANK

Applicable
Lending Office for each Eurodollar Advance :

SunTrust
Bank

25 Park Place, 21st Floor, Center 1927

Atlanta, Georgia  30303

Applicable
Lending Office for all other Advances:

SunTrust
Bank

25 Park Place, 21st Floor, Center 1927

Atlanta, Georgia  30303

Address for Notices:

SunTrust
Bank

711 Fifth Avenue - 16th Floor

New York, New York  10022

Attention:  Keith Hubbard

Telephone: (212) 583–2612

Facsimile: (212) 371–9386

WACHOVIA BANK, N.A.

Applicable
Lending Office for each Eurodollar Advance :

Wachovia
Bank, N.A.

191 Peachtree Street NE

MC GA 370

Atlanta, Georgia  30303

Applicable
Lending Office for all other Advances:

Wachovia
Bank, N.A.

191 Peachtree Street NE

MC GA 370

Atlanta, Georgia  30303

Attention: Paige Mesaros

Telephone:  (404) 332-1322

Facsimile:  (404)  332-4136

Address for
Notices:

Wachovia
Bank, N.A.

191 Peachtree Street NE

MC GA 370

Atlanta, Georgia  30303

Attention: Paige Mesaros

Telephone:  (404) 332-1322

Facsimile:  (404)  332-4136

WELLS FARGO BANK, N.A.

Applicable
Lending Office for each Eurodollar Advance :

Wells Fargo
Bank, N.A.

201 Third Street

MAC 0187-081

San Francisco, CA 94103

Attention: Ginnie Padgett

Telephone:  (415) 477-5374

Facsimile:  (415)  979-0675

Applicable
Lending Office for all other Advances:

Wells Fargo
Bank, N.A.

201 Third Street

MAC 0187-081

San Francisco, CA 94103

Attention: Ginnie Padgett

Telephone:  (415) 477-5374

Facsimile:  (415)  979-0675

Address for
Notices:

Wells Fargo
Bank, N.A.

201 Third Street

MAC 0187-081

San Francisco, CA 94103

Attention: Ginnie Padgett

Telephone:  (415) 477-5374

Facsimile:  (415)  979-0675

EXHIBIT B-1

FORM OF REVOLVING CREDIT NOTE

	$______________.	________, 2001
	 	New York, New York

                           FOR
VALUE RECEIVED, the undersigned, CVS CORPORATION, a Delaware corporation (the
"Borrower"), hereby promises to pay to the order of
_________________________ (the "Lender") the lesser of
$_________________ or the outstanding principal balance of the Lender's
Revolving Credit Loans, together with interest thereon, at the rate or rates,
in the amounts and at the time or times set forth in the Five Year  Credit Agreement (as the same may be
amended, supplemented or otherwise modified from time to time, the "Credit
Agreement"), dated as of May 21, 2001, by and among the Borrower, the
Lenders party thereto, ­ Credit Suisse First Boston and First Union National
Bank, as Co-Documentation Agents, and The Bank of New York, as the
administrative agent (in such capacity, the "Administrative Agent"),
in each case at the office of the Administrative Agent located at One Wall
Street, New York, New York, or at such other place as the Administrative Agent
may specify from time to time, in lawful money of the United States of America
in immediately available funds.

                           Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

                           The
Revolving Credit Loans evidenced by this Revolving Credit Note are prepayable
in the amounts, and on the dates, set forth in the Credit Agreement.  This Revolving Credit Note is one of the
Revolving Credit Notes under the Credit Agreement, and is subject to, and shall
be construed in accordance with, the provisions thereof, and is entitled to the
benefits set forth in the Loan Documents.

                           The
Lender is hereby authorized to record on the schedule annexed hereto, and any
continuation sheets which the Lender may attach thereto (a) the date and amount
of each Revolving Credit Loan made by the Lender, (b) the character of each
Revolving Credit Loan as one or more ABR Advances, one or more Eurodollar
Advances, or a combination thereof, (c) the Interest Period and Eurodollar Rate
applicable to each Eurodollar Advance, and (d) the date and amount of each
Conversion of, and each payment or prepayment of principal of, each Revolving
Credit Loan.  The failure to so record
or any error in so recording shall not affect the obligation of the Borrower to
repay the Revolving Credit Loans, together with interest thereon, as provided
in the Credit Agreement.

                           Except
as specifically otherwise provided in the Credit Agreement, the Borrower hereby
waives presentment, demand, notice of dishonor, protest, notice of protest and
all other demands, protests and notices in connection with the execution,
delivery, performance, collection and enforcement of this Revolving Credit
Note.

                           This
Revolving Credit Note is being delivered in, is intended to be performed in,
shall be construed and interpreted in accordance with, and be governed by the
laws of, the State of New York.

                           This Revolving Credit Note may only be
amended by an instrument in writing executed pursuant to the provisions of
Section 11.1 of the Credit Agreement.

	 	CVS CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

SCHEDULE TO REVOLVING CREDIT NOTE

	Date	 	Amount of  Revolving  Credit
  Loan	 	Type of Advance(Eurodollar or ABR Advance)	 	Interest Period (If
  Eurodollar Advance)	 	Eurodollar Rate (If
  Eurodollar Advance)	 	Amount of Conversion 
  or Principal Payment or
  Prepayment	 	Notation Made by
	

	 	

	 	

	 	

	 	

	 	

	 	

 

EXHIBIT B-2

FORM OF COMPETITIVE BID NOTE

	 	________, 2001
	 	New York, New York

 

             FOR
VALUE RECEIVED, the undersigned, CVS CORPORATION, a Delaware corporation (the
"Borrower"), hereby promises to pay to the order of
_________________________ (the "Lender") the  outstanding principal balance of the
Lender's Competitive Bid Loans, together with the interest due thereon, in the
amounts, at the rate or rates, and at the time or times set forth in the Five
Year Credit Agreement (as the same may be amended, supplemented or otherwise
modified from time to time, the "Credit Agreement"), dated as
of May 21, 2001, by and among the Borrower, the Lenders party thereto, Credit Suisse First Boston and First
Union National Bank, as Co-Documentation Agents, and The Bank of
New York, as administrative agent (in such capacity, the "Administrative
Agent"), in each case at the office of the Administrative Agent
located at One Wall Street, New York, New York, or at such other place as the
Administrative Agent may specify from time to time, in lawful money of the
United States of America in immediately available funds.

             Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

             This
Competitive Bid Note is one of the Competitive Bid Notes under the Credit
Agreement, and is subject to, and shall be construed in accordance with, the
provisions thereof, and is entitled to the benefits set forth in the Loan
Documents.

             The
Lender is hereby authorized to record on the schedule annexed hereto, and any
continuation sheets which the Lender may attach thereto (a) the date and amount
of each Competitive Bid Loan made by the Lender, (b) the Competitive Interest
Period and the Competitive Bid Rate applicable to each such Competitive Bid
Loan, and (c) the date and amount of each payment or prepayment of principal of
each Competitive Bid Loan.  The failure
to so record or any error in so recording shall not affect the obligation of
the Borrower to repay the Competitive Bid Loans, together with interest
thereon, as provided in the Credit Agreement.

             Except
as specifically otherwise provided in the Credit Agreement, the Borrower hereby
waives presentment, demand, notice of dishonor, protest, notice of protest and
all other demands, protests and notices in connection with the execution,
delivery, performance, collection and enforcement of this Competitive Bid Note.

             This
Competitive Bid Note is being delivered in, is intended to be performed in,
shall be construed and interpreted in accordance with, and be governed by the
laws of, the State of New York.

             This
Competitive Bid Note may only be amended by an instrument in writing executed
pursuant to the provisions of Section 11.1 of the Credit Agreement.

	 	CVS CORPORATION	 
	 	 	 
	 	By:	 
	 	 	

	 
	 	Name:	 
	 	 	

	 
	 	Title:	 
	 	 	

	 
					

SCHEDULE TO COMPETITIVE BID NOTE

	Date	 	Amount of Competitive Bid Loan	 	Competitive Interest Period	 	Competitive  Bid Rate	 	Amount of Principal Payment or
  Prepayment	 	Notation Made by	 
     
	

	 	

	 	

	 	

	 	

	 	

	 

EXHIBIT B-3

FORM
OF SWING LINE NOTE

	$50,000,000.	________,
  2001
	 	New
  York, New York

                           FOR
VALUE RECEIVED, the undersigned, CVS CORPORATION, a Delaware corporation (the
"Borrower"), hereby promises to pay to the order of THE BANK
OF NEW YORK (the "Lender") the lesser of $50,000,000 or the
outstanding principal balance of the Lender's Swing Line Loans, together with
interest thereon, at the rate or rates, in the amounts and at the time or times
set forth in the Five Year Credit Agreement (as the same may be amended,
supplemented or otherwise modified from time to time, the "Credit
Agreement"), dated as of May 21, 2001, by and among the Borrower, the
Lenders party thereto, Credit
Suisse First Boston and First Union National Bank, as Co-Documentation Agents,
and The Bank of New York, as administrative agent (in such capacity, the "Administrative
Agent"), in each case at the office of the Administrative Agent
located at One Wall Street, New York, New York, or at such other place as the
Administrative Agent may specify from time to time, in lawful money of the
United States of America in immediately available funds.

                           Capitalized
terms used herein that are not otherwise defined herein shall have the respective
meanings ascribed thereto in the Credit Agreement.

                           The
Swing Line Loans evidenced by this Swing Line Note are prepayable in the
amounts, and on the dates, set forth in the Credit Agreement.  This Swing Line Note is the Swing Line Note
under the Credit Agreement, and is subject to, and shall be construed in
accordance with, the provisions thereof, and is entitled to the benefits set
forth in the Loan Documents.

                           The
Lender is hereby authorized to record on the schedule annexed hereto, and any
continuation sheets which the Lender may attach thereto (a) the date and amount
of each Swing Line Loan made by the Lender, (b) the Swing Line Interest Period
and Negotiated Rate applicable to each Swing Line Loan, and (c) the date and
amount of each payment or prepayment of principal of each Swing Line Loan.  The failure to so record or any error in so
recording shall not affect the obligation of the Borrower to repay the Swing
Line Loans, together with interest thereon, as provided in the Credit
Agreement.

                           Except
as specifically otherwise provided in the Credit Agreement, the Borrower hereby
waives presentment, demand, notice of dishonor, protest, notice of protest and
all other demands, protests and notices in connection with the execution,
delivery, performance, collection and enforcement of this Swing Line Note.

                           This Swing
Line Note is being delivered in, is intended to be performed in, shall be
construed and interpreted in accordance with, and be governed by the laws of,
the State of New York.

                           This
Swing Line Note may only be amended by an instrument in writing executed
pursuant to the provisions of Section 11.1 of the Credit Agreement.

	 	CVS
  CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

SCHEDULE
TO SWING LINE NOTE

	Date	 	Amount
  of Swing Line Loan	 	Interest
  Period	 	Negotiated
  Rate	 	Amount
  of Principal Payment or Prepayment	 	Notation
  Made by	 
	

	 	

	 	

	 	

	 	

	 	

	 

EXHIBIT C

FORM OF BORROWING REQUEST

                                                                                                                                   [Date]

The Bank of New York, as Administrative Agent

One Wall Street

New York, New York 10286

Attention:                                                ,

                                                                   

	Re:	Five Year Credit Agreement, dated as of May 21, 2001, by and
  among CVS Corporation, the Lenders party thereto, Credit Suisse First Boston
  and First Union National Bank, as Co-Documentation Agents, and The Bank of
  New York, as Administrative Agent (as amended, supplemented or otherwise
  modified from time to time, the "Credit Agreement")

             Capitalized
terms used herein that are not otherwise defined herein shall have the

respective meanings ascribed thereto in the Credit Agreement.

             Pursuant to
Section 2.3 of the Credit Agreement, the Borrower hereby gives notice of its
intention to borrow Revolving Credit Loans in the aggregate sum of
$____________ on ____________, and/or a Swing Line Loan in the sum of
$____________ on ____________, which borrowing shall consist of the following
type or types of Advances:

	Type of Advance(s)	 	 
	(ABR, Eurodollar or Swing Line)	Amount	Interest Period
	

	

	

             The Borrower
hereby certifies that on the Borrowing Date set forth above, and after

giving effect to the Loans requested hereby:

             (a) There shall
exist no Default or Event of Default.

             (b) The
representations and warranties contained in the Credit Agreement shall be true
and correct, except those which are expressly specified to be made as of an
earlier date.

             IN EVIDENCE of
the foregoing, the undersigned has caused this Borrowing Request to be duly
executed on its behalf.

	 	CVS CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

EXHIBIT D

FORM OF OPINION OF

COUNSEL TO THE BORROWER

______, 2001

The Lenders,
the Co-Documentation Agents, and

the Administrative Agent Referred
to Below

c/o The Bank of New York,

as Administrative Agent

One Wall Street

New York, New York 10286

Ladies and
Gentlemen:

             I
am general counsel of CVS Corporation, a Delaware corporation (the "Borrower"),
and have acted as such in connection with the Five Year Credit Agreement by and
among the Borrower, the lenders party thereto, Credit Suisse First Boston and First Union National Bank,
as Co-Documentation Agents, and The Bank of New York, as
Administrative Agent, dated as of  May
21, 2001 (the "Credit Agreement").  Capitalized terms not otherwise defined herein shall have the
meanings assigned to them in the Credit Agreement.

             I
have examined originals or copies, certified or otherwise identified to my
satisfaction, of such documents, corporate records, certificates of public
officials and other instruments and have conducted such other investigations of
fact and law as I have deemed necessary or advisable for purposes of this
opinion.  In rendering my opinions set
forth below, I have assumed (i) the due authorization, execution and delivery
by all parties thereto (other than the Borrower) of the Credit Agreement, (ii)
the authenticity of all documents submitted to me as originals and (iii) the
conformity to original documents of all documents submitted to me as copies.

             Based
upon the foregoing, I am of the opinion that:

             14.        The Borrower is a corporation duly
incorporated, validly existing and in good standing under the laws of the State
of Delaware.  The Borrower has all
requisite corporate power and authority to own its Property and to carry on its
business as now conducted.

             15.        The Borrower is qualified to do business
as a foreign corporation and is in good standing in each jurisdiction in which
it owns or leases real Property or in which the nature of its business requires
it to be so qualified (except those jurisdictions where the failure to be so
qualified or to be in good standing could not reasonably be expected to have a
Material Adverse effect).

             16.        The execution, delivery and performance
by the Borrower of the Credit Agreement and the Notes are within the Borrower's
corporate powers and have been duly authorized by all necessary corporate
action on the part of the Borrower.

             17.        The execution, delivery and performance
by the Borrower of the Credit Agreement and Notes do not require any action or
approval on the part of the shareholders of the Borrower or any action by or in
respect of, or filing with, any governmental body, agency or official under
United States federal law or the Delaware General Corporation Law, and do not
contravene, or constitute a default under, any provision of (i) United States
federal law or the Delaware General Corporation Law, (ii) the Certificate of
Incorporation or bylaws of the Borrower or (iii) any existing material
mortgage, material indenture, material contract or material agreement, in each
case binding on the Borrower or any Subsidiary or affecting the Property of the
Borrower or any Subsidiary.

             18.        The Credit Agreement and the Notes
delivered by the Borrower on or prior to the date hereof have been duly
executed and delivered by the Borrower and each constitutes the valid and
binding agreement of the Borrower, in each case enforceable in accordance with
their respective terms, subject to applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws from time to time in effect
affecting the enforcement of creditors' rights generally and to general principles
of equity.

             19.        The Borrower is not an "investment
company" (as such term is defined in the United States Investment Company
Act of 1940, as amended).

             20.        To the best of my knowledge, there are
no actions, suits, arbitration proceedings or claims (whether purportedly on
behalf of the Borrower, any Subsidiary or otherwise) pending or threatened
against the Borrower or any Subsidiary or any of their respective Properties,
or maintained by the Borrower or any Subsidiary, at law or in equity, before
any Governmental Authority which could reasonably be expected to have a
Material Adverse effect.  To the best of
my knowledge, there are no proceedings pending or threatened against the
Borrower or any Subsidiary (a) which call into question the validity or enforceability
of, or otherwise seek to invalidate, any Loan Document or (b) which could
reasonably be expected to, individually or in the aggregate, materially and
adversely affect any of the transactions contemplated by any Loan Document.

             21.        To the best of my knowledge, the
Borrower is not in default under any agreement to which it is a party or by
which it or any of its Property is bound the effect of which could reasonably
be expected to have a Material Adverse effect.

             22.        To the best of my knowledge, no provision of any judgment,
decree or order, in each case binding on the Borrower or any Subsidiary or
affecting the Property of the Borrower or any Subsidiary conflicts with, or
requires any consent which has not already been obtained under, or would in any
way prevent the execution, delivery or performance by the Borrower of the terms
of, any Loan Document.

             The
foregoing opinion is subject to the following qualifications:

             22.1      I
express no opinion as to the effect (if any) of any law of any jurisdiction (except
the Commonwealth of Massachusetts) in which any Lender is located which may
limit the rate of interest that such Lender may charge or collect.

             22.2      I
express no opinion as to provisions in the Credit Agreement which purport to
create rights of set-off in favor of participants or which provide for set-off
to be made otherwise than in accordance with applicable laws.

             22.3      I note
that public policy considerations or court decisions may limit the rights of
any party to obtain indemnification under the Credit Agreement.

             I
am a member of the bar of the Commonwealth of Massachusetts and the foregoing
opinion is limited to the laws of the Commonwealth of Massachusetts, the
federal law of the United States of America and the Delaware General
Corporation Law.  For purposes of
paragraph 5 of this opinion, I have assumed that, with your permission and
without any research or investigation, the laws of the State of New York are
identical to the law of the Commonwealth of Massachusetts.

             This
opinion is rendered solely to you in connection with the above matter.  This opinion may not be relied upon by you
for any other purpose or relied upon by any other person without my prior
written consent, except that any person that becomes a Lender in accordance
with the provisions of the Credit Agreement may rely upon this opinion as if it
were specifically addressed and delivered to such person on the date hereof.

Very truly yours,

EXHIBIT E

FORM OF ASSIGNMENT AND ACCEPTANCE AGREEMENT

             Assignment and Acceptance Agreement
(as the same may be amended, supplemented or otherwise modified from time to
time, this "Agreement"), dated as of ____________, by and
between ____________ (the "Assignor") and ____________ (the
"Assignee").

RECITALS

             I.           Reference
is made to the Five Year Credit Agreement, dated as of May 21, 2001, by and
among CVS Corporation, the Lenders party thereto, Credit Suisse First Boston
and First Union National Bank, as Co-Documentation Agents, and The Bank of New
York, as Administrative Agent (as the same may be amended, supplemented or
otherwise modified from time to time, the "Credit Agreement").

             II.          The
Assignor wishes to assign and delegate to the Assignee, and the Assignee wishes
to purchase and assume from the Assignor, some or all of the Assignor's rights
and obligations under the Loan Documents upon the terms, and subject to the
conditions, contained herein.

             Therefore, in consideration of the
Recitals, the terms and conditions herein contained and other good and valuable
consideration, the receipt and sufficiency of which are hereby acknowledged,
the Assignor and the Assignee hereby agree as follows:

             1.          Defined
Terms

                           (a)         Each capitalized term used herein that
is not defined herein shall have the meaning ascribed thereto in the Credit
Agreement.

                           (b)        When used in this Agreement, each of the
following capitalized terms shall have the meaning ascribed thereto unless the
context hereof otherwise specifically requires:

                           "Assigned
Percentage": _____%.

                           "Assignment
Effective Date": as defined in Section 5.

                           "Assignor
Rights and Obligations": as of the Assignment Effective Date, the
Assigned Percentage of all of the Assignor's rights and obligations under the
Loan Documents, including, without limitation, such percentage of its Revolving
Credit Loans, its Competitive Bid Loans, its Commitment, its Swing Line
Exposure, its Letter of Credit Exposure and its Revolving Credit Note and
Competitive Bid Note.

                           "Purchase
Price": an amount equal to the Assigned Percentage of the aggregate
unpaid principal amount of the Assignor's Revolving Credit Loans and
Competitive Bid Loans as of the Assignment Effective Date.

             2.          Assignment; Payment by Assignee

                           The Assignor hereby
assigns and delegates to the Assignee, and the Assignee hereby purchases and
assumes from the Assignor, without recourse or, except as otherwise
specifically provided herein, representation or warranty, the Assignor Rights
and Obligations.  The Assignee agrees to
pay to the Assignor the Purchase Price on the Assignment Effective Date.

             3.          Representations
and Warranties

                           (a)         Assignor.         The Assignor hereby represents and warrants to the Assignee
as follows:

	 	(i)	the
  aggregate unpaid principal amount of its Revolving Credit Loans is
  $___________, 
	and
  such Revolving Credit Loans are composed of the following ABR Advancesand
  Eurodollar Advances: (1) ABR Advances: $__________, and (2) Eurodollar
  Advances: (A) $__________ for [length of Interest Period], the last day
  of which is _______________, (B) $__________ for [length of Interest Period],
  the last day of which is _______________,
	 
	 	(ii)	the
  aggregate unpaid principal amount of its Competitive Bid Loans is $_________,
  and 
	such
  Competitive Bid Loans are composed of the following: (A) $__________ for [length of
  Competitive Interest Period], the last day of which is
  _______________, (B) $__________ for [length of Competitive Interest Period],
  the last day of which is _______________,
	 	 
	 	(iii)	its
  Commitment Amount is $_______,	 
	 	 	 
	 	(iv)	its
  Swing Line Exposure is $_______, and	 
	 	 	 
	 	(v)	its
  Letter of Credit Exposure is $_______.	 

 

                           The Assignor makes no
representation or warranty with respect to the validity or enforceability of
the Credit Agreement or any other Loan Document or the financial condition or
creditworthiness of the Borrower.

                           (b)        Assignee.         The Assignee hereby represents and warrants to the Assignor
that (i) it is legally authorized to enter into this Agreement, (ii) it is an
"accredited investor" within the meaning of Regulation D, as amended,
promulgated under the Securities Act of 1933, as amended, [and] (iii) it has,
independently and without reliance upon the Assignor or the Administrative
Agent, and based on such documents and information as it has deemed
appropriate, made its own evaluation of, and investigation into, the business,
operations, Property, financial and other condition and creditworthiness of the
Borrower and made its own decision to enter into this Agreement [, and (iv)
it is a Lender or a subsidiary or Affiliate of a Lender].

             4.          Covenants
of the Assignee

                           The Assignee hereby
covenants and agrees that it will, independently and without reliance upon the
Assignor or Administrative Agent, and based on such documents and information
as it shall deem appropriate at the time, continue to make its own credit
analysis, evaluations and decisions in taking or not taking action under the
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 Borrower.  The Assignee further agrees to provide to the  Administrative Agent any forms required by
Section 3.10 of the Credit Agreement and any administrative questionnaire
reasonably required by the Administrative Agent.

             5.          Effectiveness of this Agreement

                           (a)         Section 2 of this Agreement shall not
become effective until such date (the "Assignment Effective Date")
as all of the following conditions shall have been fulfilled:

                                        (i) The
Administrative Agent shall have executed a copy of this Agreement and shall have
received duly executed counterparts hereof by each of the Assignor, the
Assignee and, if required by the Credit Agreement, the Borrower;

                                        (ii) The
Assignor shall have delivered to the Assignee (with a copy to the
Administrative Agent) a duly completed letter in the form of Annex A hereto;

                                        (iii)
The Assignee shall have confirmed in writing to the Assignor (with a copy to
the Administrative Agent) that, on or before the Assignment Effective Date, it
shall have transferred (in accordance with Section 6 hereof) the Purchase Price
to the Assignor.  At the time of such
confirmation, the Assignee shall be deemed to have remade the representations
and warranties contained in Section 3(b)(i), (ii) [and] (iii) [, and (iv)]
hereof on and as of the date of such confirmation;

                                        (iv)       The Administrative Agent shall have
received, for its own account, the assignment fee required to be paid pursuant
to Section 11.7 of the Credit Agreement; and

                                        (v)        The Administrative Agent shall have
received any forms required by Section 3.10 of the Credit Agreement and any
administrative questionnaire reasonably required by the Administrative Agent.

                           (b)        Upon the Assignment Effective Date, (i)
the Administrative Agent shall record the assignment contemplated hereby, (ii)
the Assignee shall be a Lender, and (iii) the Assignor, to the extent of the
assignment provided for herein, shall be released from its obligations under
the Loan Documents.

                           (c)         The Assignee hereby appoints and
authorizes the Administrative Agent to take such action, on and after the
Assignment Effective Date, as agent on its behalf and to exercise such powers
under the Loan Documents as are delegated to the Administrative Agent by the
terms thereof, together with such powers as are reasonably incidental thereto.

                           (d)        From and after the Assignment Effective
Date, the Administrative Agent shall make all payments in respect of the
interest assigned hereby (including payments of principal, interest, fees and
other amounts) to the Assignee.  The
Assignor and the Assignee shall make all appropriate adjustments with respect
to amounts under the Loan Documents which accrued prior to the Assignment
Effective Date, and which were paid thereafter, directly between themselves.

             6.          Payment Instructions

                           All payments to be made
to the Assignor by the Assignee hereunder shall be made by wire transfer of
immediately available funds to the Assignor at: [Wire Instructions].

             7.          Notices

                           All notices, requests
and demands to or upon the Assignee in connection with this Agreement and the
Loan Documents are to be sent or delivered to the place set forth adjacent to
its name on the signature page(s) hereof.

             8.          Miscellaneous

                           (a)         For purposes of this Agreement, all
calculations and determinations with respect to the outstanding principal
amount of the Assignor's Loans, the Assignor's Commitment Amount, the
Assignor’s Swing Line Exposure, the Assignor’s Letter of Credit Exposure and
all other similar calculations and determinations, shall be made and shall be
deemed to be made as of the commencement of business on the date of such
calculation or determination, as the case may be.

                           (b)        Section headings have been inserted
herein for convenience only and shall not be construed to be a part hereof.

                           (c)         This Agreement embodies the entire
agreement and understanding among the parties hereto with respect to the
subject matter hereof and supersedes all other prior arrangements and
understandings among the parties hereto with respect to the subject matter
hereof.

                           (d)        This Agreement may be executed in any
number of separate counterparts and all of said counterparts taken together
shall be deemed to constitute one and the same agreement.  It shall not be necessary in making proof of
this Agreement to produce or account for more than one counterpart signed by
the party to be charged.

                           (e)         Every provision of this Agreement is
intended to be severable, and if any term or provision hereof shall be invalid,
illegal or unenforceable for any reason, the validity, legality and
enforceability of the remaining provisions hereof shall not be affected or
impaired thereby, and any invalidity, illegality or unenforceability in any
jurisdiction shall not affect the validity, legality or enforceability of any
such term or provision in any other jurisdiction.

                          (f)         This Agreement shall be binding upon
and inure to the benefit of the Assignor and the Assignee and their respective
successors and permitted assigns, except that neither party may assign or
transfer any of its rights or obligations hereunder (i) without the prior
written consent of the other party, and (ii) in contravention of the Credit
Agreement.

                           (g)        This Agreement and the rights and
obligations of the parties hereunder shall be governed by, and construed and
interpreted in accordance with, the laws of the State of New York.

             AS EVIDENCE of the agreement by the
parties hereto to the terms and conditions herein contained, each such party
has caused this Agreement to be duly executed on its behalf.

	 	 	 	 	[NAME OF ASSIGNOR]
	 	 	 	 	 
	 	 	 	 	By:
	 	 	 	 	 	

	 	 	 	 	Name:
	 	 	 	 	 	

	 	 	 	 	Title:
	 	 	 	 	 	

	 	 	 	 	 	 
	Address for notices:	 	 	[NAME OF ASSIGNEE]
	 	 	 	 
	 	 	 	 	By:
	

	 	 	 	

	 	 	 	 	Name:
	

	 	 	 	

	 	 	 	 	Title:
	

	 	 	 	

	 	 	 	 	 
	Attention:	 	 	 	 
	 	

	 	 	 
	Telephone:	 	 	 	 
	 	

	 	 	 
	Facsimile:	 	 	 	 
	 	

	 	 	 
							

Consented to
and Accepted this __ day of __________, ____

THE BANK OF
NEW YORK, as Administrative Agent

	By:
	 	

	Name:
	 	

	Title:
	 	

[Consented to this __ day of
__________, ____

	CVS CORPORATION
	 
	By:
	 	

	Name:
	 	

	Title:
	 	

ANNEX A TO
ASSIGNMENT AND

ACCEPTANCE AGREEMENT

FORM OF LETTER

[Assignment Effective Date]

[Name and
Address of Assignee]

Attention:                                                ,

                                                                   

 

	Re:	Assignment and Acceptance Agreement, dated as
  of _______________, by and between _______________ and _____ (as the same may
  be amended, supplemented or otherwise modified from time to time, the
  "Agreement")

Ladies and
Gentlemen:

             This letter is being delivered
pursuant to Section 5(a)(ii) of the Agreement. 
Capitalized terms used herein that are not otherwise defined herein
shall have the respective meanings ascribed thereto in the Agreement.

             The Assignor hereby represents and
warrants to the Assignee as follows:

             (i)          the
aggregate unpaid principal amount of its Revolving Credit Loans is
$___________, and such Revolving Credit Loans are composed of the following ABR
Advances and Eurodollar Advances: (1) ABR Advances: $__________, and (2)
Eurodollar Advances: (A) $__________ for [length of Interest Period],
the last day of which is _______________, (B) $__________ for [length of
Interest Period], the last day of which is _______________,

             (ii)         the aggregate unpaid principal amount of its Competitive Bid
Loans is $_________, and such Competitive Bid Loans are composed of the
following: (A) $__________ for [length of Competitive Interest Period],
the last day of which is _______________, (B) $__________ for [length of
Competitive Interest Period], the last day of which is
_______________,

             (iii)        its Commitment Amount is $_______,

             (iv)       its Swing Line Exposure is $_______,

             (v)        its
Letter of Credit Exposure is $_______, and

             (vi)       it is the legal and beneficial owner of the Assignor Rights
and Obligations free and clear of any adverse claim created by it.

	 	 	 	 	Very truly yours,
	 	 	 	 	 
	 	 	 	 	[NAME OF ASSIGNOR]
	 	 	 	 	 
	 	 	 	 	By:
	 	 	 	 	 	

	 	 	 	 	Name:
	 	 	 	 	 	

	 	 	 	 	Title:
	 	 	 	 	 	

 

cc: [Name
and title of Administrative Agent contact]

EXHIBIT F

FORM OF COMPETITIVE BID REQUEST

[Date]

The Bank of
New York, as Administrative Agent

One Wall Street

New York, New York 10286

Attention:                                                ,

                                                                   

 

	 	Re:	Five Year Credit Agreement, dated as of May 21,
  2001, by and among CVS Corporation, the Lenders party thereto, Credit Suisse
  First Boston and First Union National Bank, as Co-Documentation Agents, and
  The Bank of New York, as Administrative Agent (as amended, supplemented or
  otherwise modified from time to time, the "Credit Agreement")

             Capitalized terms used herein that
are not otherwise defined herein shall have the respective meanings ascribed
thereto in the Credit Agreement.

             Pursuant to Section 2.4 of the
Credit Agreement, the Borrower hereby gives notice of its request to borrow
Competitive Bid Loans in the aggregate sum of $____________ on ____________,
which borrowing shall consist of the following:

	 	Competitive
	Amount	Interest Period
	

	

             The Borrower hereby certifies that
on the Borrowing Date set forth above, and after giving effect to the
Competitive Bid Loans requested hereby:

             (a) There shall exist no Default or
Event of Default.

             (b) The representations and
warranties contained in the Credit Agreement shall be true and correct, except
those which are expressly specified to be made as of an earlier date.

             IN EVIDENCE of the foregoing, the
undersigned has caused this Competitive Bid Request to be duly executed on its
behalf.

	 	CVS CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

EXHIBIT G

FORM OF INVITATION TO BID

[Date]

To the Lenders party

from time to time to the

captioned Credit Agreement

	 	Re:	Five Year Credit Agreement, dated as of May
  21, 2001, by and among CVS Corporation, the Lenders party thereto, Credit
  Suisse First Boston and First Union National Bank, as Co-Documentation
  Agents, and The Bank of New York, as Administrative Agent (as amended,
  supplemented or otherwise modified from time to time, "Credit
  Agreement")

                           Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

                           Pursuant
to a Competitive Bid Request, the Borrower gave notice of its request to borrow
Competitive Bid Loans in the aggregate sum of $____________ on ____________,
which borrowing would consist of the following type or types of Competitive
Advances:

	Amount	Competitive Interest Period
	

	

                           The
Lenders are hereby invited to bid, pursuant to the terms and conditions of the
Credit Agreement, on such requested Competitive Bid Loans.

	 	THE BANK OF NEW YORK,
	 	as Administrative Agent
	 	 
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

EXHIBIT H

FORM OF COMPETITIVE BID

[Date]

The Bank of
New York, as Administrative Agent

One Wall Street

New York, New York 10286

Attention:                                                ,

                                                                  

 

	 	Re:	Five Year Credit Agreement, dated as ofMay
  21, 2001, by and among CVS Corporation, the Lenders party thereto, Credit
  Suisse First Boston and First Union National Bank, as Co-Documentation
  Agents, and The Bank of New York, as Administrative Agent (as amended,
  supplemented or otherwise modified from time to time, the "Credit
  Agreement")

                           Capitalized terms
used herein that are not otherwise defined herein shall have the respective
meanings ascribed thereto in the Credit Agreement.

                           In response to a
Competitive Bid Request, the undersigned Lender hereby offers to make
Competitive Loan(s) in the aggregate sum of $____________ on ____________:

	Amount	 	Competitive Interest Period	 	Competitive Bid Rate
	

	 	

	 	

	 	 	 	 	[fixed rate]

 

	 	[LENDER]
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

EXHIBIT I

FORM OF COMPETITIVE BID ACCEPT/REJECT LETTER

[Date]

The Bank of
New York, as Administrative Agent

One Wall Street

New York, New York 10286

Attention:                                                ,

                                                                   

 

	 	Re:	Five Year Credit Agreement, dated as of May 21,
  2001, by and among CVS Corporation, the Lenders party thereto, Credit Suisse
  First Boston and First Union National Bank, as Co-Documentation Agents, and
  The Bank of New York, as Administrative Agent (as amended, supplemented or
  otherwise modified from time to time, the "Credit Agreement")

                           Capitalized terms
used herein that are not otherwise defined herein shall have the respective
meanings ascribed thereto in the Credit Agreement.

                           Pursuant to Section
2.4(d) of the Credit Agreement, the Borrower hereby gives notice of its
acceptance of the following Competitive Bids:

                                                                                                                                                                                           

                                                                                                                                                                                           ,

and its
rejection of all other Competitive Bids, in each case made pursuant to the
Competitive Bid Request, dated _______________.

                           IN EVIDENCE of the
foregoing, the undersigned has caused this Competitive Bid Accept/Reject Letter
to be duly executed on its behalf.

	 	CVS CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:
	 	 	

EXHIBIT J

FORM OF LETTER OF CREDIT REQUEST

[Date]

The Bank of New York, as Administrative
Agent

One Wall Street

New York, New York  10286

Attention:                                                ,

                                                                   

 

	 	Re:	Five
  Year Credit Agreement, dated as of May 21, 2001, by and among CVS
  Corporation, the Lenders party thereto, Credit Suisse First Boston and First Union National Bank,
  as Co-Documentation Agents, and The Bank of New York, as
  Administrative Agent (as amended, supplemented or otherwise modified from
  time to time, the “Credit Agreement”)

 

                           Capitalized
terms used herein that are not otherwise defined herein shall have the
respective meanings ascribed thereto in the Credit Agreement.

                           Pursuant
to Section 2.8(b) of the Credit Agreement, the Borrower hereby gives
notice of its intention to have issued by the Issuer a Letter of Credit for the
account of the Borrower and for the benefit of ____________________ on
_______________ in connection with ___________________ in the maximum amount of
$_____________.  A drawing may be made
under such Letter of Credit under the following conditions:
_______________________________________.

                           The
Borrower hereby certifies that on the above requested date of issuance of such
Letter of Credit, and after giving effect to the issuance of such Letter of
Credit:

                           (a)         There shall exist no Default or Event
of Default.

                           (b)        The representations and warranties
contained in the Credit Agreement shall be true and correct, except those which
are expressly specified to be made as of an earlier date.

                           IN
EVIDENCE of the foregoing, the undersigned has caused this Letter of Credit
Request to be duly executed on its behalf.

	 	CVS CORPORATION
	 	 
	 	By:
	 	 	

	 	Name:
	 	 	

	 	Title:

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00028-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00028-of-00352.parquet"}]]