Document:

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                                                                EXHIBIT 10.15(a)
                           STOCK PURCHASE AGREEMENT
                           ------------------------

     Agreement (the "Agreement") made as of the 25th day of June 1999, by and
among the parties listed on Exhibit A attached hereto (the "Buyers"), MNP
                            ---------
Corporation, a Michigan corporation ("MNP"), and Meridian National Corporation,
a Delaware corporation (the "Company").

                                   RECITALS:
                                   --------

     1.   The aggregate number of shares of stock which the Company has
authority to issue is 25,000,000 shares, divided into two classes as follows:
5,000,000 shares of preferred stock with a par value of $.001 per share (the
"Preferred Stock") and 20,000,000 shares of common stock with a par value of
$.01 per share (the "Common Stock").

     2.   There are 3,717,552 issued and outstanding shares of the Common Stock
as of the date of this Agreement.

     3.   The Buyers desire to purchase, and the Company desires to issue and
sell, shares of the Common Stock in the amounts and for the consideration set
forth below, subject to the terms and conditions of this Agreement.

     4.   MNP desires to loan, and the Company desires to borrow, funds in the
amounts and pursuant to the terms set forth below, subject to the terms and
conditions of this Agreement.

     NOW, THEREFORE, in consideration of the mutual promises hereinafter set
forth and other good and valuable consideration, the receipt of which is hereby
acknowledged, the parties hereby agree as follows:

     1.   Purchase and Sale of the Shares.
          -------------------------------

          1.01  Purchase and Sale.  Subject to and upon the terms and conditions
                -----------------
of this Agreement, at the closing of the transactions contemplated by this
Agreement (the "Closing"), the Company shall issue, sell, transfer, convey,
assign and deliver to the Buyers 4,200,000 shares (the "Shares") of the Common
Stock (to be divided among the Buyers in the amounts set forth opposite each of
the Buyers as set forth on Exhibit B attached hereto), and the Buyers shall
                           ---------
purchase, acquire and accept from the Company, all of the Shares. At the
Closing, the Company shall deliver to the Buyers certificates evidencing the
Shares.

          1.02  Further Assurances.  At any time and from time to time after the
                ------------------
Closing, at the Buyers' request and without further
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consideration, the Company shall promptly execute and deliver such instruments
of sale, transfer, conveyance, assignment and confirmation, and take all such
other action as the Buyers may reasonably request to more effectively transfer,
convey and assign to the Buyers, and to confirm the Buyers' title to, all of the
Shares.

          1.03 Purchase Price for the Shares.
               -----------------------------

               (a)  The purchase price to be paid by the Buyers for the Shares
shall be Two Hundred Ninety Four Thousand Dollars ($294,000.00) (the "Purchase
Price"). The Purchase Price shall be payable at the Closing, in cash, by bank
check, or by wire transfer of immediately available funds to an account
designated by the Company.

          1.04 Closing.  The Closing shall take place at the offices of Jacob &
               -------
Weingarten, P.C., at 10:00 a.m., Eastern Daylight Time, on September 1, 1999, or
at such other place, time or date as may be mutually agreed upon in writing by
the parties hereto (the "Closing Date"); provided, however, that such date may
be extended in accordance with the provisions of Subsection 11.01 hereof.  The
issuance and sale of the Shares by the Company to the Buyers shall be deemed to
occur at 9:01 a.m., Eastern Daylight Time, on the Closing Date.

          1.05 Disclosure Schedule.  The following are the disclosure schedules
               -------------------
to be delivered to the Buyers by the Company pursuant to Section 6.08 of this
Agreement and when so delivered will form part of this Agreement:

          4.01    Organizational Matters
          4.02    Options, Warrants and Other Rights
          4.03    Subsidiaries
          4.05    Absence of Undisclosed Liabilities
          4.06    Litigation
          4.07    Insurance
          4.08    Tangible Personal Property
          4.09    Intangible Property
          4.10    Leases
          4.11    Real Estate
          4.13    Accounts Receivable
          4.14    Tax Matters
          4.16    Contracts and Commitments
          4.17    Compliance with Agreements and Laws
          4.18    Employee Relations
          4.19    Employee Benefit Plans
          4.20    Customers
          4.22    Warranty and Product Liability Claims

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          4.25    Indebtedness to and From Officers, Directors and Stockholders
          4.26    Banking Facilities
          4.27    Powers of Attorney and Suretyships
          4.28    Conflicts of Interest
          4.32    Environmental Matters
          6.09    Secured Indebtedness

     2.   Representations of the Buyers.
          -----------------------------

     Each of the Buyers shall deliver to the Company as to himself/itself an
executed copy of the representations and warranties set forth in Exhibit C. Upon
                                                                 ---------
issuance of the Shares, the Buyers represent and warrant that they will not own
more than 53.05% of the issued and outstanding shares of the Common Stock of the
Company.

     3.   Representations Regarding the Shares.
          ------------------------------------

     The Company represents and warrants to the Buyers with regard to the
issuance and sale of the Shares as follows:

          (a)  The Shares which are to be issued to the Buyers pursuant hereto
are free and clear of any and all covenants, conditions, restrictions, voting
trust arrangements, liens, charges, encumbrances, options and adverse claims or
rights whatsoever; and, upon consummation of the purchase contemplated hereby,
the Buyers will acquire from the Company good and marketable title to the
Shares, free and clear of all covenants, conditions, restrictions, voting trust
arrangements, liens, charges, encumbrances, options and adverse claims or rights
whatsoever, except restrictions imposed by law. Upon issuance, the Shares will
represent 53.05% of the issued and outstanding shares of the Common Stock of the
Company.

          (b)  Except as set forth on Exhibit 3 (b), the Company is not a party
to, subject to or bound by any agreement or any judgment, order, writ,
prohibition, injunction or decree of any court or other governmental body which
would prevent the execution or delivery of this Agreement by the Company or the
issuance, transfer, conveyance and sale of the Shares pursuant to the terms of
this Agreement.

          (c)  No investment banker, broker or finder has acted for the Company
in connection with this Agreement or the transactions contemplated hereby, and
no investment banker, broker or finder is entitled to any fee or other
commissions in respect of such transactions based upon agreements, arrangements
or understandings made by or on behalf of the Company.

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     4.   Representations Regarding the Company.
          -------------------------------------

     The Company represents and warrants to the Buyers with regard to the
Company that:

          4.01 Organization and Authority.  The Company is a corporation duly
               --------------------------
organized, validly existing and in good standing under the laws of the State of
Delaware, and has all requisite power and authority (corporate and other) to own
its properties, to carry on its business as now being conducted, to execute and
deliver this Agreement and the agreements contemplated herein, and to consummate
the transactions contemplated hereby and thereby.  The Company is duly qualified
to do business and in good standing in all jurisdictions in which its ownership
of property or the character of its business requires such qualification.
Certified copies of the Certificate of Incorporation and Bylaws of the Company,
as amended to date, have been previously delivered to the Buyers, are complete
and correct, and no amendments have been made thereto or have been authorized
since the date thereof.  Schedule 4.01 sets forth a true, correct and complete
list of (a) the dates of all amendments to the Certificate of Incorporation,
Bylaws and other governing instruments of the Company, and (b) all consents and
approvals of third parties that are necessary for the consummation of the
transactions contemplated by this Agreement.

          4.02 Capitalization of the Company.
               -----------------------------

               (a)  As of the date of this Agreement, the Company's capital
stock consists of:

                    (i)   Five Thousand (5,000) authorized shares of $100 Series
A Preferred Stock, Par Value $.001 per share (the "First Preferred Stock"), Four
Thousand (4,000) shares of which are issued and outstanding on the date hereof;

                    (ii)  One Million Three Hundred Seventy Five Thousand
(1,375,000) authorized shares of Series B Convertible Voting Preferred Stock,
par value $.001 per share (the "Second Preferred Stock"), Two Hundred Six
Thousand Seven Hundred Fifty-Two (206,752) shares of which are issued and
outstanding on the date hereof;

                    (iii) Twenty Million (20,000,000) authorized shares of the
Common Stock, Three Million Seven Hundred Seventeen Thousand Five Hundred Fifty
Two (3,717,552) shares of which are issued and outstanding on the date hereof.

                                      -4-
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               (b)  All such issued and outstanding shares of First Preferred
Stock, Second Preferred Stock, and Common Stock have been and on the Closing
Date will be duly and validly issued and are, or will be, fully paid and
nonassessable.

               (c)  Except as set forth in Schedule 4.02, there are not, and on
the Closing Date there will not be, outstanding:

                    (i)   any options, warrants or other rights to purchase from
the Company any capital stock of the Company;

                    (ii)  any securities convertible into or exchangeable for
shares of such stock; or

                    (iii) any other commitments of any kind for the issuance of
additional shares of capital stock or options, warrants or other securities of
the Company.

               (d)  No shares of the issued and outstanding shares of First
Preferred Stock, no shares of the issued and outstanding shares of Second
Preferred Stock, and no shares of the issued and outstanding shares of Common
Stock are held in the treasury of the Company.

          4.03 Subsidiaries.
               ------------

               (a)  Schedule 4.03 sets forth:

                    (i)   the name and percentage ownership by the Company of
each corporation, partnership, joint venture or other entity in which the
Company has, directly or indirectly, an equity interest representing 20% or more
of the capital stock thereof or other equity interests therein (individually, a
"Subsidiary" and collectively, the "Subsidiaries");

                    (ii)  the jurisdiction of incorporation, capitalization and
ownership of each Subsidiary;

                    (iii) the names of the officers and directors of each
Subsidiary; and

                    (iv)  the jurisdictions in which each Subsidiary is
qualified or holds licenses to do business as a foreign corporation.

               (b)  Except as set forth in Schedule 4.03, the Company owns of
record and beneficially all of the outstanding capital stock of each of the
Subsidiaries free and clear of all covenants, conditions, restrictions, liens,
charges and

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encumbrances.

               (c)  Each of the Subsidiaries is a corporation or other entity
duly organized and validly existing and in good standing under all applicable
laws and has all requisite power and authority to own its properties and carry
on its business as now being conducted. Each of the Subsidiaries is duly
qualified to do business and in good standing in all jurisdictions in which its
ownership of property or the character of its business requires such
qualification. Certified copies of the charter, bylaws and other governing
instruments of the Subsidiaries, each as amended to date, have been previously
delivered to the Buyers, are complete and correct, and no amendments have been
made thereto or have been authorized since the date thereof. Schedule 4.03 sets
forth a true, correct and complete list of the dates of all amendments to the
charter, bylaws and other governing instruments of each of the Subsidiaries. The
Company does not own any capital stock of or other equity interest in any
corporation, partnership or other entity, other than the Subsidiaries. The
shares of capital stock of each Subsidiary shown in Schedule 4.03 to be issued
and outstanding have been duly and validly issued and are fully paid and
nonassessable.

               (d)  Except as set forth in Schedule 4.03, none of the
Subsidiaries holds shares of its capital stock in its treasury, and there are
not, and on the Closing Date there will not be, outstanding any (i) options,
warrants or other rights with respect to the capital stock of any of the
Subsidiaries, (ii) any securities convertible into or exchangeable for shares of
such stock, or (iii) any other commitments of any kind for the issuance of
additional shares of capital stock or options, warrants or other securities of
any of them.

          4.04 Financial Statements.
               --------------------

               (a)  The Company has previously delivered to the Buyers the
audited consolidated financial statements of the Company as of February 28,
1999, which include the balance sheet and the related statements of income,
shareholders' equity, retained earnings and cash flow of the Company for the one
year period then ended and the footnotes thereto (collectively, the "Year End
Financial Statements"). The Year End Financial Statements have been audited and
certified by Rehmann Robson, independent public accountants for the Company. The
Company has also previously delivered to the Buyers the unaudited consolidated
financial statements of the Company as of May 31, 1999, which include the
balance sheet (the "Current Balance Sheet") and the statement of operations of
the Company and the Subsidiaries for the 3-month period then ended
(collectively, the "Current Financial

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Statements"). The Year End Financial Statements and the Current Financial
Statements (collectively, the "Financial Statements") have been prepared in
accordance with generally accepted accounting principles (except the Current
Financial Statements are subject to normal year-end adjustments and lack
footnotes) applied consistently with past practices.

               (b)  The Financial Statements fairly present, as of their
respective dates, the financial condition, retained earnings, assets and
liabilities of the Company and the results of operations of the Company's
business for the periods indicated; with respect to the contracts and
commitments for the sale of goods or the provision of services by the Company,
the Financial Statements contain and reflect adequate reserves, which are
consistent with previous reserves taken, for all reasonably anticipated material
losses and costs and expenses; and the amount shown as accrued for current and
deferred income and other taxes in the Financial Statements are sufficient for
the payment of all accrued and unpaid income taxes, interest, penalties,
assessments or deficiencies applicable to the Company, whether disputed or not,
for the applicable period then ended and periods prior thereto.

          4.05 Absence of Undisclosed Liabilities.  To the best knowledge of
               ----------------------------------
the Company, except as and to the extent (a) reflected and reserved against in
the Current Balance Sheet, (b) set forth on Schedule 4.05, or (c) incurred in
the ordinary course of business after the date of the Current Balance Sheet and
not material in amount, either individually or in the aggregate, neither the
Company nor any of the Subsidiaries has any liability or obligation, secured or
unsecured, whether accrued, absolute, contingent, unasserted or otherwise, which
are material to the condition (financial or otherwise) of the assets,
properties, business or prospects of the Company or the Subsidiaries taken as a
whole.  For purposes of this Subsection 4.05, "material" means any amount in
excess of $50,000.

          4.06 Litigation.  Except as set forth on Section 4.06 and except for
               ----------
actions involving less than $10,000 individually and $50,000 in one aggregate
and which are not covered by insurance and which are not being defended by
insurance carrier counsel:

               (a)  There is no action, suit or proceeding to which the Company
or any of the Subsidiaries is a party (either as a plaintiff or defendant)
pending or, to the best knowledge of the Company threatened before any court or
government agency, authority, body or arbitrator; and to the best knowledge of
the Company, there is no basis for any such action, suit or proceeding;

               (b)  Neither the Company nor any of the

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Subsidiaries, nor any officer, director or employee of any of the foregoing, has
been permanently or temporarily enjoined by any order, judgment or decree of any
court or any government agency, authority or body from engaging in or continuing
any conduct or practice in connection with the business, assets, or properties
of the Company or any of the Subsidiaries; and

               (c)  There is not in existence on the date hereof any order,
judgment or decree of any court, tribunal or agency enjoining or requiring the
Company or any of the Subsidiaries to take any action of any kind with respect
to its business, assets or properties.

          4.07 Insurance.  Schedule 4.07 sets forth a true, correct and
               ---------
complete list of all fire, theft, casualty, general liability, workers
compensation, business interruption, environmental impairment, product
liability, automobile and other insurance policies maintained by the Company or
any of the Subsidiaries and of all life insurance policies maintained for any of
their employees, specifying the type of coverage, the amount of coverage, the
premium, the insurer and the expiration date of each such policy (collectively,
the "Insurance Policies") and all claims made under such Insurance Policies
since January 1, 1998. The Insurance Policies are in full force and effect and
are in amounts of a nature which are adequate and customary for the Company's
and Subsidiaries' business.  All premiums due on the Insurance Policies or
renewals thereof have been paid, and there is no default under the Insurance
Policies.  Except as set forth on Schedule 4.07, neither the Company nor any of
the Subsidiaries has received any notice or other communication from any issuer
of the Insurance Policies since January 1, 1998 canceling or materially amending
any of the Insurance Policies, materially increasing any deductibles or retained
amounts thereunder, or materially increasing the annual or other premiums
payable thereunder, and, to the best knowledge of the Company, no such
cancellation, amendment or increase of deductibles, retainer or premiums is
threatened.  Except as set forth on Schedule 4.07, neither the Company nor any
of the Subsidiaries has any dispute or claims with any insurance carrier
regarding claims, settlements or premiums and neither the Company nor any of the
Subsidiaries has failed to give any notice or present any claim under any
Insurance Policy in due and timely fashion.  There are no outstanding
requirements or recommendations by any issuer of the Insurance Policies or by
any Board of Fire Underwriters or other similar body exercising similar
functions or by any governmental authority exercising similar functions which
requires or recommends any changes in the conduct of the business of, or any
repairs or other work to be done on or with respect to any of the properties or
assets of, the Company or any of the Subsidiaries.

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          4.08 Personal Property.
               -----------------

               (a)  Schedule 4.08 sets forth:

                    (i)   a true, correct and complete list of all personal
property (the "Personal Property"), including a description and the book value
thereof, which is (A) owned by the Company or any of the Subsidiaries as of the
date hereof having a net book value per unit in excess of $50,000; or (B) in the
possession of or use in the business of the Company or any of the Subsidiaries
and having rental payments therefor in excess of $5,000 per month or $60,000 per
year; and

                    (ii)  a description of the owner of, and any agreement
relating to the use of, each item of Personal Property not owned by the Company
or a Subsidiary and the circumstances under which such property is used.

               (b)  Except as disclosed in Schedule 4.08:

                    (i)   the Company or the Subsidiary, as the case may be, has
good and marketable title to each item of Personal Property free and clear of
all liens, leases, encumbrances, claims under bailment and storage agreements,
equities, conditional sales contracts, security interests, charges and
restrictions, except for liens, if any, for personal property taxes not due;

                    (ii)  no officer, director, stockholder or employee of the
Company or any Subsidiary, nor any spouse, child or other relative or affiliate
thereof, owns directly or indirectly, in whole or in part, any of the Personal
Property described in Schedule 4.08 ;

                    (iii) each item of Personal Property not owned by the
Company or a Subsidiary is in such condition on the date hereof that upon the
return of such property to its owner in its present condition at the end of the
relevant lease term or as otherwise contemplated by the applicable agreement
between the Company or the relevant Subsidiary, as the case may be, and the
owner or lessor thereof, the obligations of the Company or the relevant
Subsidiary, as the case may be, to such owner or lessor will be discharged;

                    (iv)  the Personal Property actually used and useful in the
Company's business is in good operating condition and repair, normal wear and
tear excepted, is currently used by either the Company or the relevant
Subsidiary in the ordinary course of its business and in the production of
products of the Company or

                                      -9-
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the relevant Subsidiary, and normal maintenance has been consistently performed
with respect to the Personal Property; and

               (v)  the Company and each Subsidiary own or otherwise have the
right to use all of the Personal Property now used by them in the operation of
their business or the use of which is necessary for the performance of any
material contract, letter of intent or proposal to which any of them is a party.

          4.09 Intangible Property.
               -------------------

               (a)  Schedule 4.09 sets forth:

                    (i)   a true, correct and complete list and, where
appropriate, a description of, all items of intangible property owned by, or
used in the business of, the Company or any of the Subsidiaries, including, but
not limited to, United States and foreign patents, patent applications, trade
names, trademarks, trade name and trademark registrations, copyright
registrations and applications for any of the foregoing (the "Intangible
Property"); and

                    (ii)  a true, correct and complete list of all licenses or
similar agreements or arrangements to which the Company or any of the
Subsidiaries is a party, either as licensee or licensor, with respect to the
Intangible Property.

               (b)  Except as otherwise disclosed in Schedule 4.09:

                    (i)   the Company or a Subsidiary is the sole and exclusive
owner of all right, title and interest in and to the Intangible Property and all
designs, permits, labels and packages used on or in connection therewith, free
and clear of all liens, security interests, charges, encumbrances, equities and
other adverse claims;

                    (ii)  no officer, director, stockholder or employee of the
Company or any Subsidiary, nor any spouse, child or other relative or affiliate
thereof, owns directly or indirectly, in whole or in part, any of the Intangible
Property;

                    (iii) no actions or other judicial or adversary proceedings
concerning any of the Intangible Property have been initiated, there is no basis
for any such action or proceeding and, to the best knowledge of the Company, no
such action or proceeding is threatened;

                    (iv)  the Company or the relevant Subsidiary has the right
and authority to use the Intangible Property in

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connection with the conduct of its business in the manner presently conducted,
and, to the best knowledge of the Company, such use does not conflict with,
infringe upon or violate any rights of any other person, corporation or entity;

                    (v)   there are no outstanding, nor any threatened disputes
or other disagreements with respect to any licenses or similar agreements or
arrangements described in Schedule 4.09;

                    (vi)  to the best knowledge of the Company, the Intangible
Property owned by the Company or the relevant Subsidiary is sufficient to
conduct the Company's or the relevant Subsidiary's business as presently
conducted; and

                    (vii) to the best knowledge of the Company, the Company or
the relevant Subsidiary has taken all steps reasonably necessary to protect its
right, title and interest in and to Intangible Property.

          4.10 Leases.  Schedule 4.10 sets forth (a) a true, correct and
               ------
complete list as of the date hereof of all leases of real property, identifying
separately each ground lease, to which the Company or any of the Subsidiaries is
a party and (b) a description, specifying the terms thereof in reasonable
detail, of all oral leases of real property (collectively, the "Leases").  True,
correct and complete copies of all Leases which are reduced to writing, and all
amendments, modifications and supplemental agreements thereto, have previously
been delivered by the Company to the Buyers.  To the best knowledge of the
Company, the Leases are in full force and effect, are binding and enforceable
against each of the parties thereto in accordance with their respective terms
and, except as set forth on Schedule 4.10, have not been modified or amended
since the date of delivery to the Buyers.  No party to any Lease has sent
written notice to the other claiming that such party is in default thereunder,
which remains uncured.  Except as set forth on Schedule 4.10, to the best
knowledge of the Company, there has not occurred any event which would
constitute a breach of or default in performance of any covenant, agreement or
condition contained in any Lease, nor has there occurred any event which with
the passage of time or the giving of notice or both would constitute such a
breach or material default.  Neither the Company nor any of the Subsidiaries is
obligated to pay any leasing or brokerage commission relating to any Lease and,
except as set forth on Schedule 4.10, will not have any enforceable obligation
to pay any leasing or brokerage commission upon the renewal of any Lease.
Except as set forth on Schedule 4.10, no construction, alteration or other
leasehold improvement work with respect to any of the Leases remains to be paid
for or to be performed by the

                                      -11-
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Company or any of the Subsidiaries.

          4.11 Real Estate.
               -----------

               (a)  Schedule 4.11 contains a true, correct and complete list of
the addresses of all real property (the "Real Estate"), and legal descriptions
thereof, owned (the "Owned Real Estate") or leased by the Company or any
Subsidiary. Schedule 4.11 sets forth a true, correct and complete list of all
liabilities, liens, encumbrances, tenancies, and to the best knowledge of the
Company, easements, restrictions, reservations, agreements or other obligations
affecting the Owned Real Estate (collectively, the "Exceptions"). On the Closing
Date, the Company or the relevant Subsidiary will have good, clear, record and
marketable title to the Owned Real Estate, free and clear of all such
Exceptions, other than those Exceptions marked as permitted exceptions on
Schedule 4.11 (the "Permitted Exceptions").

               (b)  Except as set forth on Schedule 4.11, no work has been
performed on or materials supplied to the Real Estate at the request of the
Company within any applicable statutory period which could give rise to
mechanics, construction, or materialman's liens.

               (c)  To the best knowledge of the Company, there is no pending or
threatened condemnation or eminent domain proceeding with respect to the Real
Estate.

               (d)  Except as set forth on Schedule 4.11, there are no taxes or
betterment assessments other than ordinary real estate taxes pending or payable
against the Real Estate and there are no contingencies existing under which any
assessment for real estate taxes may be retroactively filed against the Real
Estate; there are no taxes or levies, permit fees or connection fees which must
be paid respecting existing curb cuts, sewer hook-ups, water-main hook-ups or
services of a like nature.

               (e)  [intentionally omitted]

               (f)  Except as set forth on Schedule 4.11, all utility systems
serving the Real Estate, public or private, are in good operating condition, all
installation charges therefor have been fully paid and all service charges
therefor have been or will be paid by the Company or the relevant Subsidiary up
to and including the Closing Date. Since January 1, 1998, neither the Company
nor any of the Subsidiaries has experienced any material interruption in the
delivery of adequate quantities of any utilities (including, without limitation,
electricity, natural gas, potable water, water for cooling or similar purposes
and fuel oil)

                                      -12-
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or other public services (including, without limitation, sanitary and industrial
sewer service) required in the operation of its business during such period.

               (g)  Except as set forth on Schedule 4.11, the Real Estate is not
located in any special flood hazard area designated by any government agencies
having jurisdiction over the Real Estate (collectively, the "Government
Agencies").

               (h)  To the best knowledge of the Company, the Real Estate
complies in all material respects with the requirements of all building, zoning,
subdivision, health, safety, environmental, pollution control, waste products,
sewage control and all other applicable statutes, laws, codes, ordinances,
rules, orders, regulations and decrees (collectively, the "Government
Regulations") of any and all Government Agencies. There is no action pending or,
to the best knowledge of the Company, threatened by any Government Agencies
claiming that the Real Estate violates such Governmental Regulations or
threatening to shut down the business of the Company or any of the Subsidiaries.

               (i)  There are no suits, petitions, notices or proceedings
pending, given or, to the best knowledge of the Company, threatened by any
persons or Government Agencies before any court, Governmental Agencies or
instrumentalities, administrative or otherwise, which if given, commenced or
concluded would have an adverse effect on the Company's title or leasehold
interest to the Real Estate or the operation of the business of the Company or
any Subsidiary as presently operated.

               (j)  Neither the Company nor any of the Subsidiaries has received
notice from any insurer of the Real Estate threatening to cancel any insurance
coverage or requiring any changes or corrective work to the Real Estate which
has not been complied with.

               (k)  All of the buildings, fixtures and other improvements
located on the Real Estate are in good operating condition and repair, and the
operation thereof as presently conducted is not in violation of any applicable
building code, zoning ordinance or other law or regulation.

               (l)  Schedule 4.11 sets forth a true, correct and complete list
of all title insurance policies, surveys, engineering reports and hazardous
waste reports prepared with respect to the Real Estate since January 1, 1994,
copies of which have previously been delivered by the Company to the Buyers.

                                      -13-
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          4.12 Inventory. To the best knowledge of the Company, a true, correct
               ---------
and complete list of the steel inventory of the Company and the Subsidiaries
(the "Inventory") as of May 31, 1999 has previously been delivered by the
Company to the Buyers.

          4.13 Accounts Receivable.
               -------------------

               (a)  To the best knowledge of the Company, a true, correct and
complete list of the accounts and notes receivable of the Company and the
Subsidiaries (the "Accounts Receivable") as of May 31, 1999 has previously been
delivered by the Company to the Buyers.

               (b)  Except as set forth on Schedule 4.13, all Accounts
Receivable in excess of $5,000.00 arose out of the sales of inventory or
services in the ordinary course of business.

          4.14 Tax Matters.
               -----------

               (a)  Except as set forth on Schedule 4.14:

                    (i)   Within the times and in the manner prescribed by law,
the Company and each of the Subsidiaries have filed all tax returns and all tax
returns for foreign countries, provinces and other governing bodies having
jurisdiction to levy taxes upon them which are required to be filed;

                    (ii)  The Company and each of the Subsidiaries have paid all
taxes, interest, penalties, assessments and deficiencies which have become due
or which have been claimed to be due;

                    (iii) All tax returns filed by the Company and the
Subsidiaries for the taxable years ending February 28, 1996 through February 28,
1998 constitute complete and accurate representations of the respective tax
liabilities of the Company and the Subsidiaries for such years and accurately
set forth all items (to the extent required to be included or reflected in such
returns) relevant to their future tax liabilities;

                    (iv)  Neither the Company nor any of the Subsidiaries has
waived or extended any applicable statute of limitations relating to the
assessment of federal, state, local or foreign taxes;

                    (v)   No examinations of the federal, state, local or
foreign tax returns of the Company or any of the Subsidiaries is currently in
progress or, to the best knowledge of Company, threatened; and

                                      -14-
<PAGE>

                    (vi)  The Company and the Subsidiaries are current in the
payment of income, franchise, real estate, sales and withholding taxes and other
employee benefits or taxes.

               (b)  Schedule 4.14 sets forth those taxable years for which the
tax returns of the Company and the Subsidiaries have been reviewed or audited by
applicable federal, state, local and foreign taxing authorities and those tax
years for which such tax returns have received clearances or other indications
of approval from applicable federal, state, local and foreign taxing
authorities. No issue or issues have been raised in connection with any prior or
pending review or audit of such federal, state, local or foreign tax returns
which the Company reasonably believes may be expected to be raised in the future
by such taxing authorities in connection with the audit or review of the tax
returns of the Company or any of the Subsidiaries.

          4.15 Books and Records.  The general ledgers and books of account of
               -----------------
the Company and the Subsidiaries, all federal, state and local income,
franchise, property and other tax returns filed by the Company and the
Subsidiaries, and all other books and records of the Company and the
Subsidiaries are in all material respects complete and correct and have been
maintained in accordance with good business practice and in accordance with all
applicable procedures required by laws and regulations.

          4.16 Contracts and Commitments.
               -------------------------

               (a)  Schedule 4.16 contains, as of the date of this Agreement, a
true, complete and correct list of the following (collectively, the
"Contracts"):

                    (i)   all loan agreements, indentures, mortgages and
guaranties for amounts in excess of $50,000 to which the Company or any of the
Subsidiaries is a party or by which the Company or any of the Subsidiaries or
any of their property is bound;

                    (ii)  all pledges, conditional sale or title retention
agreements, security agreements, equipment obligations, personal property leases
and lease purchase agreements for amounts in excess of $50,000 to which the
Company or any of the Subsidiaries is a party or by which the Company or any of
the Subsidiaries or any of their property is bound;

                    (iii) all contracts, agreements, commitments, purchase
orders or other understandings or arrangements to which the Company or any of
the Subsidiaries is a party or by which the

                                      -15-
<PAGE>

Company or any of the Subsidiaries or any of their property is bound which
exceed $50,000.00 and have not been entered into in the ordinary course of
business (for purposes of this subsection, contracts, agreements, commitments,
orders or other understandings or arrangements for the purchase of inventory at
a price higher than market price, and contracts, agreements, commitments, orders
or other understandings or arrangements for the sale of products at a price
lower than market price, are not in the ordinary course of business);

                    (iv)   all collective bargaining agreements, employment and
consulting agreements, executive compensation plans, bonus plans, deferred
compensation agreements, pension plans, retirement plans, employee stock option
or stock purchase plans and group life, health and accident insurance and other
employee benefit plans, agreements, arrangements or commitments to which the
Company or any of the Subsidiaries is a party or by which the Company or any of
the Subsidiaries or any of their property is bound;

                    (v)    all agency agreements or franchise agreements to
which the Company or any of the Subsidiaries is a party or by which the Company
or any of the Subsidiaries or any of their property is bound;

                    (vi)   all material contracts, agreements or other
understandings or arrangements between the Company and any of the Subsidiaries,
or affiliates of the Company or any of the Subsidiaries, including, but not
limited to, any tax sharing arrangements;

                    (vii)  all leases, whether operating, capital or otherwise,
under which the Company or any of the Subsidiaries is lessor or lessee;

                    (viii) all contracts, agreements and other documents or
information relating to past disposal of waste (whether or not hazardous), which
the Company does not maintain and retain in the ordinary course of business; and

                    (ix)   any other material agreements or contracts entered
into by the Company or any of the Subsidiaries.

               (b)  Except as set forth on Schedule 4.16:

                    (i)    each Contract is a valid and binding agreement of the
Company or the relevant Subsidiary, enforceable against the Company or the
relevant Subsidiary in accordance with its terms, and the Company or the
relevant Subsidiary does not have

                                      -16-
<PAGE>

any knowledge that any Contract is not a valid and binding agreement of the
other parties thereto;

                    (ii)   the Company or the relevant Subsidiary has fulfilled
all material obligations required pursuant to the Contracts to have been
performed by the Company or the relevant Subsidiary, as the case may be, on its
part prior to the date hereof, and the Company or the relevant Subsidiary, as
the case may be, has no reason to believe that it will not be able to fulfill,
when due, all of its obligations under the Contracts which remain to be
performed after the date hereof;

                    (iii)  the Company or the relevant Subsidiary is not in
breach of or default under any Contract, and no event has occurred which with
the passage of time or giving of notice or both would constitute such a default,
result in a loss of rights or result in the creation of any lien, charge or
encumbrance, thereunder or pursuant thereto;

                    (iv)   there is no existing breach or default by any other
party to any Contract, and no event has occurred which with the passage of time
or giving of notice or both would constitute a default by such other party,
result in a loss of rights or result in the creation of any lien, charge or
encumbrance thereunder or pursuant thereto;

                    (v)    there are and, since January 1, 1998, have been no
claims of a non-routine nature relating to the Company or any Subsidiary by
customers of the Company or any of the Subsidiaries under any warranties,
whether express or implied;

                    (vi)   the Company and the Subsidiaries are not restricted
by any Contract from carrying on their business anywhere in the world;

                    (vii)  neither the Company nor any of the Subsidiaries has
any written or oral Contracts to sell products or perform services which are
expected to be performed at, or to result in, a loss; and

                    (viii) neither the Company nor any of the Subsidiaries has
experienced any shortages of components or other supplies (collectively
"Supplies") within the twelve (12) month period preceding the date hereof, and
the Company and the Subsidiaries have on hand, or have reason to believe they
can timely obtain, a sufficient quantity of Supplies to satisfy all orders
heretofore received and all orders anticipated to be received during the
remainder of calendar year 1999.

                                      -17-
<PAGE>

          4.17 Compliance with Agreements and Laws. To the best knowledge of
               -----------------------------------
the Company, except as set forth on Schedule 4.17, the Company and the
Subsidiaries each have all requisite licenses, permits and certificates,
including environmental, health and safety permits, from all governmental
authorities necessary to conduct its business and own and operate its assets for
which the failure to have would have a material adverse affect on the Company or
any of the Subsidiaries (collectively, the "Permits"). To the best knowledge of
the Company, neither the Company nor any of the Subsidiaries is in violation of
any law, regulation or ordinance (including, without limitation, laws,
regulations or ordinances relating to building, zoning, environmental, disposal
of hazardous substances, land use or similar matters) relating to its
properties, the enforcement of which would have a material adverse affect on the
Company or any of the Subsidiaries.  The business of the Company and the
Subsidiaries as conducted since January 1, 1994 has not violated, and on the
date hereof does not violate, in any material respect, any federal, state, local
or foreign laws, regulations or orders (including, but not limited to, any of
the foregoing relating to employment discrimination, occupational safety,
environmental protection, and hazardous waste) the enforcement of which would
have a material adverse effect on the results of operations, condition
(financial or otherwise), assets, properties or business of the Company or any
of the Subsidiaries.  Except as set forth on Schedule 4.17, neither the Company
nor any of the Subsidiaries has received notice or communication from any
governmental or regulatory authority or otherwise since January 1, 1994 of any
such violation or noncompliance.

          4.18 Employee Relations.
               ------------------

               (a)  To the best knowledge of the Company, the Company and each
of the Subsidiaries is in compliance with all laws respecting employment and
employment practices, terms and conditions of employment, and wages and hours,
the enforcement of which would have a material adverse affect on the Company or
any of the Subsidiaries.

               (b)  Except as set forth on Schedule 4.18:

                    (i)   none of the employees of the Company or the
Subsidiaries is represented by any labor union;

                    (ii)  there is no unfair labor practice complaint against
the Company or any of the Subsidiaries pending before any governmental authority
or agency;

                    (iii) there is no pending labor strike or other material
labor trouble affecting the Company or any of the

                                     -18-

<PAGE>

Subsidiaries (including, without limitation, any organizational drive);

                    (iv)  there is no material labor grievance pending against
the Company or any of the Subsidiaries;

                    (v)   there is no pending representation question respecting
the employees of the Company or any of the Subsidiaries;

                    (vi)  there are no pending arbitration proceedings arising
out of or under any collective bargaining agreement to which the Company or any
of the Subsidiaries is a party, nor, to the best knowledge of the Company, is
there any basis for which a claim may be made under any collective bargaining
agreement to which the Company or any of the Subsidiaries is a party; and

                    (vii) neither the Company nor any of the Subsidiaries has
any continuing obligation for health, life, medical insurance or other similar
fringe benefits to any former employee of the Company or any Subsidiary.

               (c)  Schedule 4.18 sets forth a true, correct and complete list
of (i) the employee benefits provided by the Company and the Subsidiaries to
their employees and all contracts or agreements between the Company and the
Subsidiaries on the one hand, and their respective employees, on the other hand
and (ii) the current payroll of the Company and the Subsidiaries, including the
job titles and salary, of such persons who received an annual salary in excess
of $75,000, including the amounts paid or payable as bonus payments for the
fiscal year ended February 28, 1999 and to end February 28, 2000.

          4.19 Employee Benefit Plans.
               ----------------------

               (a)  Schedule 4.19 contains a true, correct and complete list of
all pension, benefit, profit sharing, retirement, deferred compensation,
welfare, insurance, disability, bonus, vacation pay, severance pay and other
similar plans, programs and agreements, whether reduced to writing or not,
relating to the employees of the Company and the Subsidiaries (the "Employee
Plans"). Neither the Company nor any of the Subsidiaries has contributed to, or
has any past or present obligation to contribute to, any stock option or stock
purchase plan or other plan designed to hold the stock of the Company or any of
the Subsidiaries or any of their affiliates.

               (b)  With respect to all Employee Plans, the Company

                                     -19-

<PAGE>

or the relevant Subsidiary is in substantial compliance with the requirements
prescribed by any and all statutes, orders or governmental rules or regulations
currently in effect. The Company or the relevant Subsidiary has in all material
respects performed all obligations required to be performed by it under, and is
not in violation in any respect of, and there has been no default or violation
by any other party with respect to, any of the Employee Plans.

               (c)  The Company has previously delivered to the Buyers true,
correct and complete copies of all Employee Plans which have been reduced to
writing and written descriptions of all Employee Plans which have not been
reduced to writing, and all agreements, including trust agreements and insurance
contracts, related to such Employee Plans, and the Summary Plan Description and
all modifications thereto for each Employee Plan communicated to employees.

          4.20 Customers.  Except as set forth on Schedule 4.20, none of the
               ---------
customers representing sales in excess of $250,000 in the most recent fiscal
year of either the Company or any of the Subsidiaries has notified the Company
or the relevant Subsidiary, as the case may be, that it intends to discontinue
its relationship with the Company or the relevant Subsidiary, as the case may
be.  Except as set forth on Schedule 4.20, or in the ordinary course of
business, neither the Company nor any of the Subsidiaries has any outstanding
disputes with any such customers for an amount, either individually or in the
aggregate, in excess of $25,000.

          4.21 [Intentionally omitted]

          4.22 Warranty and Product Liability Claims.  Schedule 4.22 contains a
               -------------------------------------
true, correct and complete list of all warranty and product liability claims in
excess of $100,000 made against the Company or any of the Subsidiaries from
January 1, 1998 through the date hereof, the current status of all such claims
and the costs of all actions taken in satisfaction of such claims.  All
information relative to such claims and those arising thereafter shall be
available to the Buyers from and after the date hereof.

          4.23 [Intentionally omitted]

          4.24 [Intentionally omitted]

          4.25 Indebtedness To and From Officers, Directors and Stockholders.
               -------------------------------------------------------------
Except as set forth on Schedule 4.25 and except for intercompany indebtedness
payable among the Company and any Subsidiary or among the Subsidiaries, neither
the Company nor any

                                     -20-
<PAGE>

of the Subsidiaries is indebted, directly or indirectly, to any person who is an
officer, director or stockholder of any of the foregoing or any affiliate of any
such person in any amount whatsoever other than for salaries for services
rendered, and no such officer, director, stockholder or affiliate is indebted to
the Company or any of the Subsidiaries except for advances made to employees of
the Company or any of the Subsidiaries in the ordinary course of business.

          4.26  Banking Facilities.  Schedule 4.26 sets forth a true, correct
                ------------------
and complete list of:

                (a) each bank, savings and loan or similar financial institution
in which the Company or any of the Subsidiaries has an account or safety deposit
box and the numbers of the accounts or safety deposit boxes maintained by the
Company or any of the Subsidiaries thereat; and

                (b) the names of all persons authorized to draw on each such
account or to have access to any such safety deposit box facility, together with
a description of the authority (and conditions therefor, if any) of each such
person with respect thereto.

          4.27  Powers of Attorney and Suretyships.  Except as set forth on
                ----------------------------------
Schedule 4.27, neither the Company nor any of the Subsidiaries has any general
or special powers of attorney outstanding (whether as grantor or grantee
thereof) or has any obligation or liability (whether actual, accrued, accruing,
continent or otherwise) as guarantor, surety, co-signer, endorser, co-maker,
indemnitor or otherwise outside the ordinary course of business in respect of
the obligation of any person, corporation, partnership, joint venture,
association, organization or other entity, except as endorser or maker of checks
or letters of credit, respectively, endorsed or made in the ordinary course of
business.

          4.28  Conflicts of Interest.  To the best knowledge of the Company,
                ---------------------
except as set forth on Schedule 4.28, no officer or  director of the Company,
any Subsidiary, nor any affiliate of any such person or entities, now has or
within the last three (3) years had, either directly or indirectly:

                (a) an equity or debt interest in any corporation, partnership,
joint venture, association, organization or other person or entity which
furnishes or sells or during such period furnished or sold services or products
to the Company or any of the Subsidiaries, or purchases or during such period
purchased from the Company or any of the Subsidiaries any goods or services, or
otherwise does or during such period did business with the Company

                                      -21-
<PAGE>

or any of the Subsidiaries; or

                (b) a beneficial interest in any contract, commitment or
agreement to which the Company or any of the Subsidiaries is or was a party or
under which any of them is or was obligated or bound or to which any of their
respective properties may be or may have been subject, other than stock options
and other contracts, commitments or agreements between the Company or any of the
Subsidiaries and such persons in their capacities as employees, officers or
directors of the Company or such Subsidiary.

          4.29  Disclosure.  The information concerning the Company and the
                ----------
Subsidiaries set forth in this Agreement, the Exhibits and Schedules to this
Agreement and any document, statement or certificate furnished or to be
furnished to the Buyers pursuant hereto, does not and will not contain any
untrue statement of a material fact or omit to state a material fact required to
be stated herein or therein or necessary to make the statements and facts
contained herein or therein, in light of the circumstances in which they are
made, not false or misleading.  To the best knowledge of the Company, the
Company has disclosed to the Buyers all material facts pertaining to the
transactions contemplated by this Agreement and the Exhibits hereto.  Copies of
all documents heretofore or hereafter delivered or made available to the Buyers
pursuant to this Agreement were or will be complete and accurate copies of such
documents.

          4.30  Agreement Not in Breach of Other Instruments.  Except for the
                --------------------------------------------
National Bank of Canada, neither the execution and delivery of this Agreement,
nor the consummation of the transactions contemplated hereby, will violate, or
result in a breach of, any of the terms and provisions of, or constitute a
default under, or conflict with, (a) any agreement, indenture or other
instrument to which the Company or any of the Subsidiaries is a party or by
which any of them is bound, (b) the charter documents or bylaws of the Company
or any of the Subsidiaries, or (c) any judgment, decree, order or award of any
court, governmental body or arbitrator applicable to the Company or any of the
Subsidiaries.

          4.31  Authority; Approvals.  The Company has the requisite power and
                --------------------
authority to execute, deliver and carry out this Agreement. This Agreement and
all other instruments and agreements contemplated hereby constitute (or will
constitute) legal, valid and binding obligations of the Company enforceable in
accordance with their respective terms.  All consents, approvals (including,
without limitation, any approvals of the shareholders, directors, and/or
officers of the Company required under the Certificate of Incorporation, Bylaws
and other governing instruments of the Company or any of the Subsidiaries),
authorizations or other

                                      -22-
<PAGE>

requirements prescribed by any law, rule or regulation which must be obtained or
satisfied by the Company or any of the Subsidiaries and which are necessary for
the execution and delivery by the Company of this Agreement, the issuance and
delivery of the Shares to the Buyers, or the execution and delivery of any other
documents or instruments to be executed and delivered by the Company in
connection herewith have been, or prior to the Closing Date will be, obtained
and satisfied (including, without limitation, all requisite consents and
approvals of all lenders, lessors and other third parties whose consent or
approval is required in order for the Company and the Subsidiaries to consummate
the transactions contemplated by this Agreement).

          4.32  Environmental Matters.  To the best knowledge of the Company,
                ---------------------
except as set forth on Schedule 4.32, neither the Company nor any of the
Subsidiaries is in violation of any law, ruling, order, decree, regulation,
permit, or other environmental or hazardous waste requirement applicable to the
Company, any of the Subsidiaries, or any of the Real Estate, or any part
thereof, relating to health, safety, pollution, hazardous waste, environmental
or other similar matters, which has not been substantially corrected and the
enforcement of which would have a material adverse affect on the Company or any
of the Subsidiaries.  Neither the Company nor any of the Subsidiaries has
received notice from any governmental authority alleging any such violation in
respect to any of the Real Estate or any part thereof.

          4.33  Knowledge.  The phrase "to the best knowledge of the Company" or
                ---------
similar language as used in this Agreement means the actual present knowledge of
William D. Feniger or James L. Rosino, after reasonable investigation.

                                      -23-
<PAGE>

     5.   Access to Information; Public Announcements.
          -------------------------------------------

          5.01  Access to Management, Properties and Records.

          (a)   From the date of this Agreement until the Closing Date, the
Company shall afford the officers, attorneys, accountants and other authorized
representatives of the Buyers free and full access upon reasonable notice and
during normal business hours to all management personnel, offices, properties,
books and records of the Company and the Subsidiaries, so that the Buyers may
have full opportunity to make such investigation as it shall desire to make of
the management, business, properties and affairs of the Company and the
Subsidiaries, and the Buyers shall be permitted to make abstracts from, or
copies of, all such books and records.  The Company shall furnish to the Buyers
such financial and operating data and other information as to the business of
the Company and the Subsidiaries as the Buyers shall reasonably request.

          (b)   All information furnished pursuant to Section 5.01(a) (the
"Information"), including but not limited to Information furnished to agents,
representatives, attorneys and accountants (collectively "Representatives"), by
the Company or any of its representatives shall be used solely in connection
with the consummation of the transactions contemplated by this Agreement and the
Buyers shall transmit the Information only to those Representatives of the
Buyers who have a need to know the Information.  If the transactions
contemplated by this Agreement do not occur, the Information and all copies
thereof, except for that portion of the Information which consists of analyses,
compilations, data, studies or other documents prepared by the Buyers and the
Representatives, shall be returned by the Buyers and the Representatives without
retaining any copies thereof, to the Company.

          (c)   If the Buyers, at their option and expense, elect within fifteen
days following the date hereof, to have a report or reports prepared by an
engineer or other professional selected by the Buyers, certifying that the Real
Estate (i) materially complies with all applicable environmental and wetlands
laws, rules and regulations and that there is not now, and never has been,
manufacture, storage, or disposal of hazardous wastes at the Real Estate in
violation of such laws, rules and regulations, (ii) materially complies with all
applicable building, health and fire codes, and subdivision control laws, rules
and regulations, and (iii) does not contain any friable asbestos, the Company
shall cooperate with such engineer or professional to the extent necessary to
prepare such reports, including, without limitation, providing such engineer or
professional access to the Real Estate and necessary records, and arranging
interviews with employees of

                                      -24-
<PAGE>

the Company and the Subsidiaries.

           (d)   The Company shall authorize the release to the Buyers of all
files pertaining to the business or operations of the Company and the
Subsidiaries held by any governmental authorities, agencies or
instrumentalities. The Company's authorization shall specifically waive all
previous claims of privilege or other restrictions, and in any case where a
release by a present or former employee of the Company or any Subsidiary is
necessary, the Company shall exercise its best efforts to obtain such a release.

     5.02  Public Announcements.  Prior to the Closing Date, any and all general
           --------------------
public announcements or other general public communications concerning this
Agreement and the purchase and sale of the Shares by the Buyers, and the timing,
manner and content of such disclosures, shall be subject to the mutual agreement
of the Company and the Buyers; provided, however, that the Company may make any
public disclosure it believes in good faith is required by law or regulation (in
which case the Company will advise and give the Buyers an opportunity to review
and comment prior to making the disclosure).

     6.    Pre-Closing and Closing Covenants.
           ---------------------------------

     From and after the date hereof and until the Closing Date:

     6.01  Conduct of Business.  The Company and the Subsidiaries shall carry on
           -------------------
their business diligently and substantially in the same manner as heretofore and
shall not make or institute any unusual or new methods of manufacture, purchase,
sale, shipment or delivery, lease, management, accounting or operation, and
shall not ship or deliver any quantity of products in excess of normal shipment
or delivery levels, except as agreed to in writing by the designated
representative of the Buyers.  All of the property of the Company and the
Subsidiaries shall be used, operated, repaired and maintained in a normal
business manner consistent with past practice.

     6.02  Absence of Material Changes.  Without the prior written consent by
           ---------------------------
the designated representative of the Buyers (currently Larry S. Berman, who may
designate another representative of the Buyers in his place by delivering
written notice of the name of such person to the Company), but subject at all
times to the exercise by the Company's Board of Directors of its fiduciary
duties to all of the Company's shareholders, neither the Company nor any of the
Subsidiaries shall:

           (a) Take any action to amend its charter documents or bylaws;

                                      -25-
<PAGE>

          (b) Issue any stock, bonds or other corporate securities or grant any
option or issue any warrant to purchase or subscribe to any of such securities
or issue any securities convertible into such securities;

          (c) Incur any obligation or liability (absolute or contingent),
including any mortgage, equipment loan or other long-term debt obligation or
increased borrowing under any existing lines of credit, except current
liabilities incurred and obligations under contracts entered into in the
ordinary course of business and except for increases in the credit lines with
steel mills;

          (d) Declare or make any payment or distribution to its stockholders
with respect to its stock or purchase or redeem any shares of its capital stock;

          (e) Except to the extent required by the terms under which the
Company's preferred stock was issued and except as required by written
employment agreements, make, accrue or become liable for any payment to any
officer, director, or stockholder of the Company or any affiliate of any such
person or entity, other than (i) payment under existing supply contracts and
leases, and (ii) payments of compensation and benefits consistent with the past
practices of the Company and Subsidiaries;

          (f) Mortgage, pledge, or subject to any lien, charge or any other
encumbrance any of their respective assets or properties;

          (g) Sell, assign, or transfer any of its assets, except for products
sold in the ordinary course of business;

          (h) Cancel any debts or claims, except in the ordinary course of
business;

          (i) Merge or consolidate with or into any corporation or other entity;

          (j) Make, accrue or become liable for any bonus, profit sharing or
incentive payment, except for accruals under existing plans, if any, or increase
the rate of compensation payable or to become payable by it to any of its
officers, directors or employees;

          (k) Waive any rights of material value;

          (l) Modify, amend, alter or terminate any of its executory contracts
of a material value or which are material in

                                      -26-
<PAGE>

amount;

          (m) Take or permit any act or omission constituting a breach or
default under any material contract, indenture or agreement by which it or its
properties are bound, which has not been previously disclosed in writing to the
Buyer;

          (n) Fail to use reasonable efforts to (i) preserve the possession and
control of its assets and business, (ii) keep in faithful service its present
officers and key employees, (iii) preserve the goodwill of its customers,
suppliers, agents, brokers and others having business relations with it, and
(iv) keep and preserve its business existing on the date hereof until after the
Closing Date;

          (o) Fail to operate its business and maintain its books, accounts and
records in the customary manner and in the ordinary or regular course of
business and maintain in reasonably good repair its business premises, fixtures,
machinery, furniture and equipment;

          (p) Enter into any lease, contract, agreement or understanding other
than those entered into in the ordinary course of business providing for
payments in excess of $50,000 in an instance or $150,000 in the aggregate;

          (q) Incur any capital expenditure in excess of $25,000 in an instance
or $100,000 in the aggregate;

          (r) Engage any new employee for a salary in excess of $75,000 per
annum;

          (s) Materially alter the terms, status or funding condition of any
Employee Plan; or

          (t) Commit or agree to do any of the foregoing in the future.

    6.03  Compliance with Laws.  The Company and each of the Subsidiaries will
          --------------------
comply in all material respects with all laws and regulations which are
applicable to it or to the conduct of its business and will perform and comply
with all contracts, commitments and obligations by which they are bound.

    6.04  Continued Truth of Representations and Warranties.  The Company nor
          -------------------------------------------------
any Subsidiary will take any actions which would result in any of the
representations or warranties set forth in Sections 3 and 4 hereof being untrue.

                                      -27-
<PAGE>

     6.05  Continuing Obligation to Inform.  From time to time prior to the
           -------------------------------
Closing, the Company will deliver to the Buyers supplemental information
concerning events subsequent to the date hereof which would render any
statement, representation or warranty in this Agreement or any information
contained in any Schedule to this Agreement inaccurate or incomplete in any
material respect at any time after the date hereof until the Closing Date.

     6.06  Exclusive Dealing. The Company will not (a) solicit acquisition or
           -----------------
investment proposals relating to the assets or the stock of the Company or any
of the Subsidiaries from any outside sources; (b) entertain or discuss any
acquisition or investment proposals relating to the assets or the stock of the
Company or any of the Subsidiaries from any unsolicited outside sources, or (c)
disclose (other than in the ordinary course of business, or to its attorneys,
accountants or investment advisors) to any outside sources any non-published
information concerning the Company or the Subsidiaries, or their business and/or
financial condition, other than to the Buyers; provided, however, that the
Company may make any public disclosure it believes in good faith is required by
law or regulation (in which case the Company will advise and give the Buyers an
opportunity to review and comment prior to making the disclosure).
Notwithstanding anything contained herein to the contrary, in the event that the
Company is in receipt of a Superior Proposal (as hereinafter defined) and the
Board of Directors of the Company determines, in consultation with legal
counsel, that the failure to take action with respect to such Superior Proposal
would constitute a breach by the Board of Directors of the Company of their
fiduciary duties under applicable laws, including their duties under Section 141
of the Delaware General Corporation Law, then the Company's Board of Directors
shall be free, without encumbrance under this Agreement, to entertain or discuss
any acquisition or investment proposals relating to the assets or the stock of
the Company or any of the Subsidiaries and to terminate this Agreement.  As used
in this Section 6.06, the term "Superior Proposal" shall mean a bona fide
written proposal from a third party for a competing transaction, which the
Company's Board of Directors and/or financial advisor  determines is reasonably
capable of being financed, on terms which the Board of Directors of the Company
reasonably determines to be more favorable than the issuance of the Shares to
the Buyer, in accordance with and having regard to the interests of the
Company's stockholders.

     6.07  Reports, Taxes, etc.  The Company and the Subsidiaries will duly and
           -------------------
timely file all reports or returns required to be filed with all governmental
authorities, will promptly pay all federal, state, local and foreign taxes,
assessments and governmental charges levied or assessed upon them or any of
their properties (unless contesting such in good faith and adequate

                                      -28-
<PAGE>

provision has been made therefor), and will duly observe and conform to all
lawful requirements of any governmental authority relating to any of their
properties or to the operation and conduct of their business and all covenants,
terms and conditions upon or under which any of their properties are held.

     6.08  Disclosure Schedules.  The Company shall deliver complete and
           --------------------
accurate copies of the schedules listed in Section 1.05 to the Buyers no later
than fourteen (14) days from the date of this Agreement (or such other date as
the parties may agree) and shall provide copies to the Buyer of all documents
listed thereon, provided that failure to do so within such period will not give
rise to any claim for breach of covenant by the Company if the Company has made
reasonable efforts to so deliver such schedules.  The Buyers shall, not later
than ten (10) days following the date on which it is provided with all
information which it has requested in connection with its due diligence review
notify the Company as to whether or not it is satisfied with such due diligence
review.

     6.09  Debt Infusion.  On or before the Closing Date, the Company and MNP
           -------------
shall enter into a loan agreement (the "Loan Agreement") pursuant to which the
Company shall borrow (the "Loan") an amount equal to One Million Two Hundred Six
Thousand Dollars ($1,206,000). The Loan Agreement shall be upon such terms and
conditions reasonably negotiated by the Company and MNP Corporation; provided,
in all circumstances, the Loan Agreement shall provide: (a) that MNP
Corporation, on a totally discretionary basis, may loan up to an additional Two
Million Dollars ($2,000,000) to the Company; (b) that the Loan (and any
additional loans) shall be on a demand basis; (c) that interest shall accrue at
a rate equal to the interest rate being paid by the Company to National Bank of
Canada (the "Bank"); (d) that the Loan (and any additional loans) shall be
secured by a security interest and lien on all the assets of the Company and the
Subsidiaries, subject only to the security interests and liens set forth on
Schedule 6.09; (e) that MNP shall negotiate and execute an Intercreditor
Agreement with the Bank; and (f) for customary affirmative and negative
covenants, including, without limitation, negative covenants of the type set
forth in Section 6.02 (a) through (m) of this Agreement. MNP acknowledges that
the granting of such security interest to it may be in violation of certain
covenants contained within the obligations set forth on Schedule 6.09.

     7.    Best Efforts to Obtain Satisfaction of Conditions.
           -------------------------------------------------

     The Company, the Subsidiaries and the Buyers covenant and agree to use
their best efforts to obtain the satisfaction of the conditions specified in
this Agreement.

                                      -29-
<PAGE>

     8.    Conditions to Obligations of the Buyers.
           ---------------------------------------

     The obligations of the Buyers and MNP under this Agreement are subject to
the fulfillment, at the Closing Date, of the following conditions precedent,
each of which may be waived in writing in the sole discretion of the Buyers and
MNP:

     8.01  Continued Truth of Representations and Warranties of the Company and
           --------------------------------------------------------------------
Compliance with Covenants and Obligations.  The representations and warranties
-----------------------------------------
of the Company as qualified by the Disclosure Schedules, as supplemented from
time to time, shall be true on and as of the Closing Date as though such
representations and warranties were made on and as of such date (except for
representations made as a specified date), except for any changes permitted by
the terms hereof or consented to in writing by the Buyers.  The Company and the
Subsidiaries shall have performed and complied with all terms, conditions,
covenants, obligations, agreements and restrictions required by this Agreement
to be performed or complied with by each of them prior to or at the Closing
Date.

     8.02  Performance by the Company.  At the Closing, the Company shall have
           --------------------------
delivered to the Buyers a certificate signed by an officer of the Company as to
the compliance with Subsection 8.01 hereof.

     8.03  Governmental Approvals.  All governmental agencies, departments,
           ----------------------
bureaus commissions and similar bodies, the consent, authorization or approval
of which is necessary under any applicable law, rule, order or regulation for
the consummation by the Company or the Subsidiaries of the transactions
contemplated by this Agreement and the operation of the business of the Company
and the Subsidiaries by the Buyers shall have consented to, authorized,
permitted or approved such transactions.

     8.04  Adverse Proceedings.  No action or proceeding by or before any court
           -------------------
or other governmental body shall have been instituted or threatened by any
governmental body or person whatsoever which shall seek to restrain, prohibit or
invalidate the transactions contemplated by this Agreement or which might affect
the right of the Buyers to own the Shares or own or operate the business of the
Company and the Subsidiaries after the Closing.

     8.05  Opinion of Counsel.  The Buyers shall have received an opinion of
           ------------------
Shumaker, Loop & Kendrick, LLP, counsel to the Company and the Subsidiaries,
dated as of the Closing Date, in substantially the form attached hereto as
Exhibit D, and as to such
---------

                                      -30-
<PAGE>

other matters as may be reasonably requested by the Buyers or its counsel.

     8.06  Intercreditor Agreement. MNP shall have received an executed
           -----------------------
Intercreditor Agreement with the Bank.

     9.    Conditions to Obligations of the Company.
           ----------------------------------------

     The obligations of the Company under this Agreement are subject to the
fulfillment, at the Closing Date, of the following conditions precedent, each of
which may be waived in writing in the sole discretion of the Company:

     9.01  Continued Truth of Representations and Warranties of the Buyers:
           ----------------------------------------------------------------
Compliance with Covenants and Obligations. The representations and warranties of
-----------------------------------------
the Buyers in this Agreement shall be true on and as of the Closing Date as
though such representations and warranties were made on and as of such date,
except for any changes consented to in writing by the Company. The Buyers and
MNP shall have performed and complied with all terms, conditions, covenants,
obligations, agreements and restrictions required by this Agreement to be
performed or complied with by each of them prior to or at the Closing Date.

     9.02  Governmental Approvals.  All governmental agencies, departments,
           ----------------------
bureaus, commissions and similar bodies, the consent, authorization or approval
of which is necessary under any applicable law, rule, order or regulation for
the consummation by the Buyers of the transactions contemplated by this
Agreement shall have consented to, authorized, permitted or approved such
transactions.

     9.03  Adverse Proceedings.  No action or proceeding by or before any court
           -------------------
or other governmental body shall have been instituted or threatened by any
governmental body or person whatsoever which shall seek to restrain, prohibit or
invalidate the transactions contemplated by this Agreement or which might affect
the right of the Company to issue and deliver the Shares.

     9.04  Opinion of Counsel.  The Company shall have received an opinion of
           ------------------
Jacob & Weingarten, P.C., counsel to the Buyers, dated as of the Closing Date,
in substantially the form attached hereto as Exhibit E, and as to such other
                                             ---------
matters as may be reasonably requested by the Company or its counsel.

     9.05  Forbearance Agreement. The Company shall have received  an executed
           ---------------------
extension to its existing Forbearance Agreement with the Bank.

                                      -31-
<PAGE>

     9.06   Favorable Opinion.  The Company shall have received a favorable
            -----------------
opinion from an investment banking firm acceptable to the Company's Board of
Directors to the effect that the consideration being paid by the Buyers for the
Shares is fair from a financial point of view to the Company.

     10.    Post Closing Matters.
            --------------------

     10.01  Survival of Representations.  All representations and warranties
            ---------------------------
made in Sections 3 or 4 hereof by the Company, or in any instrument or document
furnished in connection therewith, shall survive the Closing and any
investigation at any time made by or on behalf of the Buyers.

     10.02  Securities Filings.  Buyers acknowledge that the Company is a
            ------------------
registered under Section 12(g) of the Securities Exchange Act of 1934 (the
"Act") having minority shareholders, and that the Company has certain
obligations pursuant to such Act, including the obligation to file periodic
reports in compliance with such Act and the rules and interpretations of the
Securities and Exchange Commission (the "Commission") pursuant to the Act.
Buyers shall cooperate with the Company to enable the Company to fulfill its
obligations pursuant to the Act and the rules of the Commission.

     10.03  No Additional Purchases.  Buyers shall not purchase additional
            -----------------------
shares of the Company's common stock until at least two weeks after the Company
files its Annual Report on Form 10-K for its fiscal year ended February 29,
2000, without the consent of a majority vote of the Company's shareholders other
than the Buyers pursuant to a special meeting at which proxies are solicited in
accordance with the Act.

     10.04  Compliance With Securities Regulations.  Buyers shall operate the
            --------------------------------------
Company on an arms length basis, in recognition of its status as a company
registered pursuant to Section 12(g) under the Act having minority shareholders,
including, but not  limited to, compliance with (to the extent applicable)
Regulation S-X of the Commission and Rule 14f-1 of the rules of the Commission
promulgated pursuant to the Act and applicable laws of the State of Delaware.

     11.    Termination of Agreement; Option to Proceed; Damages.
            ----------------------------------------------------

     11.01  Termination by Lapse of Time.  This Agreement shall terminate at
            ----------------------------
5:00 p.m., Eastern Standard Time, on September 1, 1999, if the transactions
contemplated hereby have not been

                                      -32-
<PAGE>

consummated, unless such date is extended by the written consent of all the
parties hereto.

     11.02  Termination by Agreement of the Parties.  This Agreement may be
            ---------------------------------------
terminated by the mutual written agreement of the parties hereto. In the event
of such termination by agreement, the Buyers shall have no further obligation or
liability to the Company under this Agreement, and the Company shall have no
further obligation or liability to the Buyers under this Agreement.

     11.03  Termination by the Company.  This Agreement may be terminated by the
            --------------------------
Company if: (a) at any time prior to the Closing there shall occur a breach of
any of the representations, warranties or covenants of the Buyers, or (b) the
conditions precedent set forth in Section 9 of this Agreement are not fulfilled
at the Closing Date.

     11.04  Termination by the Buyers.  This Agreement may be terminated by the
            -------------------------
Buyers if: (a) at any time prior to the Closing there shall occur a breach of
any of the representations, warranties or covenants of the Company, or (b) the
conditions precedent set forth in Section 8 of this Agreement are not fulfilled
at the Closing Date, or (c) the due diligence review conducted by the Buyers
shall reveal any matter which, in the opinion of the Buyers, is materially
adverse or the Schedules shall contain disclosure of and matter which, in the
opinion of the Buyers, is materially adverse, and of which the Buyers have not
had full and accurate disclosure on the date hereof, provided that the Buyers
shall deliver such notice within ten (10) days of the completion of their due
diligence review or receipt by them of the complete and final Schedules, as the
case may be.

     11.05  Remedies.  If this Agreement is terminated by the Company pursuant
            --------
to Section 11.03 (a) above, the Company shall have available to it all remedies
afforded to it by applicable law. If this Agreement is terminated because (1)
the  Company's Board of Directors accepts a Superior Proposal as provided in
Section 6.06, or (ii) the Buyer is unwilling to close because of a willful or
fraudulent statement in any of the representations or warranties made in
Sections 4.01 through 4.32 of this Agreement, then the Company, upon demand by
the Buyers, shall reimburse the Buyers the amount of One Hundred Thousand
Dollars ($100,000) for their costs in connection with this Agreement (the
"Break-Up Fee"). If this Agreement is terminated for any other reason (except
pursuant to Section 11.02, 11.03, or 11.04 (c)), then the Company, upon demand
by the Buyers, shall reimburse the Buyers for their direct out-of-pocket
expenses, up to the amount of Forty Thousand Dollars ($40,000) for their costs
in connection with this Agreement (the

                                      -33-
<PAGE>

"Reimbursement Amount"). THE COMPANY ACKNOWLEDGES AND AGREES THAT: (i) EACH OF
THE BREAK-UP FEE AND THE REIMBURSEMENT AMOUNT IS A REASONABLE ESTIMATE OF AND
BEARS A REASONABLE RELATIONSHIP TO THE COSTS (INCLUDING THE VALUE OF TIME AND
LOST OPPORTUNITIES) INCURRED BY THE BUYERS AS A RESULT OF THE FAILURE OF THE
CLOSING TO OCCUR; (ii) THE ACTUAL COSTS INCURRED BY THE BUYERS AS A RESULT OF
THE FAILURE TO CLOSE UNDER THIS AGREEMENT WOULD BE EXTREMELY DIFFICULT AND
IMPRACTICAL TO DETERMINE; (iii) THE COMPANY SEEKS TO LIMIT ITS LIABILITY UNDER
THIS AGREEMENT TO THE AMOUNT OF THE BREAK-UP FEE AND THE REIMBURSEMENT AMOUNT IN
THE EVENT THE CLOSING DOES NOT OCCUR; AND (iv) EACH OF THE BREAK-UP FEE AND THE
REIMBURSEMENT AMOUNT SHALL BE AND CONSTITUTE A VALID LIQUIDATED AMOUNT.

     12.  Notices.
          -------

     Any notices or other communications required or permitted hereunder shall
be sufficiently given if delivered personally or sent by Federal Express (or any
other nationally recognized overnight delivery service), addressed as follows or
to such other address of which the parties may have given notice:

     To the Buyers:    See Exhibit A
                           ---------

     To MNP:           MNP Corporation
                       Craig L. Stormer
                       44225 Utica Road
                       P.O. Box 189002
                       Utica, MI  48318-9002

     With a copy to:   Steven P. Schubiner, Esq.
                       Jacob & Weingarten, P.C.
                       2301 West Big Beaver Road, Suite 777
                       Troy, Michigan 48084

     To the Company:   William D. Feniger
                       Meridian National Corporation
                       805 Chicago St.
                       Toledo, OH 43611

     With a copy to:   John W. Hilbert, II
                       Shumaker, Loop & Kendrick, LLP
                       1000 Jackson
                       Toledo, OH 43624-1573

Unless otherwise specified herein, such notices or other communications shall be
deemed received (a) on the date delivered, if delivered personally, or (b) on
the next business day, if sent

                                      -34-
<PAGE>

by a nationally recognized overnight delivery service such as Federal Express.

     13.  Successors and Assigns.
          ----------------------

     This Agreement shall be binding upon and inure to the benefit of the
parties hereto and their respective successors and assigns, except that no party
may not assign its obligations hereunder without the prior written consent of
the other parties. Any assignment in contravention of this provision shall be
void. No assignment shall release the Buyers or the Company from any obligation
or liability under this Agreement.

     14.  Entire Agreement; Amendments; Attachments.
          -----------------------------------------

          (a)  This Agreement, all Schedules and Exhibits hereto, and all
agreements and instruments to be delivered by the parties pursuant hereto
represent the entire understanding and agreement between the parties hereto with
respect to the subject matter hereof and supersede all prior oral and written
and all contemporaneous oral negotiations, commitments and understandings
between such parties.  The parties hereto may amend or modify this Agreement, in
such manner as may be agreed upon, by a written instrument executed by all of
them.

          (b)  If the provisions of any Schedule or Exhibit to this Agreement
are inconsistent with the provisions of this Agreement, the provision of the
Agreement shall prevail. The Exhibits and Schedules attached hereto or to be
attached hereafter are hereby incorporated as integral parts of this Agreement.

     15.  Severability.
          ------------

     Any provision of this Agreement which is invalid, illegal or unenforceable
in any jurisdiction shall, as to that jurisdiction, be ineffective to the extent
of such invalidity, illegality or unenforceability, without affecting in any way
the remaining provisions hereof in such jurisdiction or rendering that or any
other provision of this Agreement invalid, illegal or unenforceable in any other
jurisdiction.

                                      -35-
<PAGE>

     16.  Legal Fees.
          ----------

     In the event that legal proceedings are commenced by the Buyers against the
Company, or by the Company against the Buyers, in connection with this Agreement
or the transactions contemplated hereby, the party or parties which do not
prevail in such proceedings shall pay the reasonable attorneys' fees and other
costs and expenses, including investigation costs, incurred by the prevailing
party in such proceedings.

     17.  Governing Law.
          -------------

     This Agreement shall be governed by and construed in accordance with the
laws of the State of Delaware.

     18.  Section Headings.
          ----------------

     The section headings are for the convenience of the parties and in no way
alter, modify, amend, limit, or restrict the contractual obligations of the
parties.

     19.  Counterparts.
          ------------

     This Agreement may be executed in one or more counterparts, each of which
shall be deemed to be an original, but all of which shall be one and the same
document.

                                      -36-
<PAGE>

     IN WITNESS WHEREOF, this Agreement has been duly executed by the parties
hereto as of and on the date first above written.

                                   COMPANY
                                   -------

                                   MERIDIAN NATIONAL CORPORATION,
                                   a Delaware corporation

                                   By: /s/ William D. Feniger
                                       --------------------------------------

                                   Its: Chief Executive Officer
                                        -------------------------------------

                                   MNP
                                   ---

                                   MNP CORPORATION, a
                                   Michigan corporation

                                   By: /s/ Craig L. Stormer
                                       --------------------------------------

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

                                   BUYERS
                                   ------

                                   MNP EXECUTIVE HOLDINGS, LLC, a
                                   Michigan limited liability company

                                   By: /s/ Craig L. Stormer
                                       --------------------------------------

                                   Its: Member
                                        -------------------------------------

                                   THE BERMAN FAMILY, LLC, a
                                   Michigan limited liability company

                                   By: /s/ Larry S. Berman
                                       --------------------------------------
                                       Larry S. Berman, Trustee
                                       Its: Manager

                   [signatures continued on following page]

                                      -37-
<PAGE>

                                   CRAIG L. STORMER, DECLARATION
                                   OF TRUST DATED 7/25/95

                                   By: /s/ Craig L. Stormer
                                       --------------------------------------
                                       Craig L. Stormer, Trustee

                                   THOMAS R. KLEIN, DECLARATION
                                   OF TRUST DATED 3/6/97

                                   By: /s/ Thomas R. Klein
                                       --------------------------------------
                                       Thomas R. Klein, Trustee

                                      -38-
<PAGE>

                                   EXHIBIT A
                                   ---------

BUYERS:
------

     THE BERMAN FAMILY, LLC
     44225 Utica Road
     P.O. Box 189002
     Utica, MI 48318-9002

     MNP EXECUTIVE HOLDINGS, LLC
     44225 Utica Road
     P.O. Box 189002
     Utica, MI 48318-9002

     CRAIG L. STORMER, DECLARATION
     OF TRUST DATED 7/25/95
     44225 Utica Road
     P.O. Box 189002
     Utica, MI 48318-9002

     THOMAS R. KLEIN, DECLARATION
     OF TRUST DATED 3/6/97
     44225 Utica Road
     P.O. Box 189002
     Utica, MI 48318-9002
<PAGE>

                                   EXHIBIT B
                                   ---------

               3,570,000 shares:  The Berman Family LLC

                 210,000 shares:  MNP Executive Holdings LLC

                 210,000 Shares:  Craig L. Stormer, Declaration
                                  of Trust Dated 7/25/95

                 210,000 shares:  Thomas R. Klein, Declaration
                                  of Trust Dated 3/6/9<PAGE>

                                                                EXHIBIT 10.15(b)

                                 LOAN AGREEMENT
                                --------------

     THIS AGREEMENT, dated as of June 30, 1999, is by and among MERIDIAN
NATIONAL CORPORATION, a Delaware corporation ("MNC"), OTTAWA RIVER STEEL CO., an
Ohio corporation ("ORS"), ENVIRONMENTAL PURIFICATION INDUSTRIES COMPANY, an Ohio
general partnership ("EPI"), on the one hand, and MNP CORPORATION, a Michigan
corporation ("Lender"), on the other hand.

                               R E C I T A L S :
                               -----------------

     A.   The Borrowers have requested Lender to extend credit to the Borrowers
in order to cure certain "Current Defaults" (as defined in a certain letter
agreement of April 29, 1999 from the Bank to MNC, ORS, and certain other
borrowers) under that certain Loan and Security Agreement, dated as of December
6, 1989 (as amended) by and among the Bank, MNC, ORS, and certain other
borrowers (the "Bank's Loan Agreement").

     B.   Lender is willing to extend to a loan to the Borrowers, upon the terms
and conditions set forth in this Agreement.

          NOW, THEREFORE, the parties to this Agreement, in consideration of
their mutual covenants and agreements set forth in this Agreement and intending
to be legally bound by this Agreement, covenant and agree as follows:

                                   ARTICLE I
                                  DEFINITIONS
                                  -----------

          1.01.  Certain Definitions.  In addition to other words and terms
                 -------------------
defined elsewhere in this Agreement, the following defined words and terms are
used in this Agreement as defined in this Section 1.01, except where the context
otherwise requires:

          "Account(s)" shall mean all accounts, accounts receivable, contract
rights for the payment of money, chattel paper, and all other obligations and
receivables now owned or hereafter acquired by any of the Borrowers, whether now
existing or hereafter arising, as each of those terms are defined in the UCC.

          "Affiliate" shall mean any Person which, directly or indirectly, is in
control of, is controlled by, or is under common control with, another Person.
For purposes of this definition, a Person shall be deemed to be "controlled by"
another Person if such other Person possesses, directly or indirectly, power
either to (a) vote 10% or more of the securities having ordinary voting power
for the election of directors of such Person, or (b) direct or cause
<PAGE>

the direction of the management and policies of such Person whether by contract
or otherwise.

          "Agreement" shall mean this Loan Agreement and all other agreements,
instruments and documents attached to this Agreement, referred to herein or
delivered in connection herewith as any or all of the foregoing may be amended,
modified or supplemented from time to time.

          "ALTA Loan Policy" shall mean an ALTA Loan Policy of Title Insurance
issued by Chicago Title Company in the amount of $1,500,000, insuring Lender
that the Mortgage is a second priority lien upon the Mortgaged Property,
including insurance against construction liens upon the Mortgaged Property, and
containing no exceptions other than Permitted Liens.

          "Bank" shall mean National Bank of Canada, a Canadian chartered bank.

          "Base Rate" the "prime rate" of interest published from time to time
by The Wall Street Journal (the "WSJ"), as the base rate on corporate loans
posted by at least 75% of the nation's 30 largest banks, with any change in the
Base Rate to take effect on the day specified in the WSJ of such change of
"prime rate". In the event the WSJ discontinues publication of the "prime rate"
and a substitute or substitutes be provided therefor, then such substitute which
in the judgment of Lender most nearly provides the measurement now being
published by the WSJ shall be used as the Base Rate. In the event the WSJ
discontinues publication of the "prime rate"  and no substitute is provided
therefor, any index, service or publication which in the judgment of Lender most
nearly provides the measurement now being provided by the WSJ shall be used in
place of the "prime rate" published by the WSJ.

          "Borrowers" shall mean MNC, ORS, and EPI, collectively.

          "Business Day" shall mean any day other than a Saturday, Sunday or
public holiday under the laws of the State of Michigan.

          "Closing Date" shall mean the date of this Agreement.

          "Collateral" shall have the meaning assigned to that term in the
Security Agreement.

          "Debt" shall have the meaning assigned to that term in the Security
Agreement.

          "Demand Promissory Notes" shall mean the Initial Demand Promissory
Note and the Additional Demand Promissory Note, collectively.

<PAGE>

          "Dividend" shall mean a distribution of cash, securities or other
property (other than common or preferred stock of any of the Borrowers) on
common or preferred stock of any of the Borrowers.

          "Dollars" and the symbol "$" shall mean lawful money of the United
States of America.

          "Environmental Laws" shall mean all federal, state or local
environmental laws, including but not limited to, the Clean Water Act, the Clean
Air Act, the Resource Conservation and Recovery Act, the Toxic Substances
Control Act and the Comprehensive Environmental Response, Compensation and
Liability Act ("Superfund"), as amended, and their state and local law
counterparts and all rules and regulations promulgated thereunder.

          "Equipment" shall mean any and all equipment (as that term is defined
in the UCC) owned by any of the Borrowers now or at any time hereafter acquired,
wherever located, together with all accessories, parts, repairs, replacements,
substitutions, attachments, modifications, additions, improvements, upgrades and
accessions of, to or upon such items of equipment, now or at any time hereafter
acquired.

          "Event of Default" shall mean any of the Events of Default described
in Section 6.01 of this Agreement.

          "GAAP" shall mean generally accepted accounting principles in the
United States of America applied on a consistent basis and applied to both
classification of items and amounts, which shall include but not be limited to
the official interpretations thereof by the Financial Accounting Standards
Board, its predecessors and successors, as such accounting principles may be
amended from time to time.

          "Guarantee" shall include any obligation of any Person guaranteeing or
in effect guaranteeing any liability or obligation of any other Person (the
"primary obligor") in any manner, whether directly or indirectly, orally or in
writing, including, without limiting the generality of the foregoing, through
issuance of a letter or other advice of credit, through the providing of any
"comfort letter" or other assurance as to the then current or future financial
condition, creditworthiness or ability to pay Indebtedness of any other Person,
or through any other agreement, contingent or otherwise.

                                      -3-
<PAGE>

          "Indebtedness" shall mean all items of indebtedness which in
accordance with GAAP should be included in determining total liabilities as
shown on the liability side of a balance sheet as at the date as of which
indebtedness is to be determined.

          "Indebtedness for Money Borrowed" shall mean all Indebtedness (a)
which is (i) in respect of borrowed money advances, whether or not secured by a
purchase money mortgage or other Lien to secure all or part of the purchase
price of property subject to such mortgage or Lien, whether or not evidenced by
a note, bond, debenture, or similar evidence of Indebtedness, or (ii) owed to
any bank, insurance company or other financial institution in respect of an
extension of credit by such bank, insurance company or other financial
institution or (b) which consists of a Guarantee in respect of any of the
foregoing.

          "Insurance" shall mean the insurance on the Collateral as described in
Section 4.01(e) hereof.

          "Investment" in any Person shall include all investments, computed in
accordance with GAAP, made by stock or other securities, purchase, capital
contribution, loan, participation, advance, a Guarantee in respect of any
Indebtedness of such Person, or otherwise, or by agreeing or becoming or
remaining obligated to do any of the foregoing.

          "Law" or "Laws" shall mean any law (including without limitation
common law), constitution, statute, treaty, regulation, rule, ordinance, order,
injunction, writ, decree or award of any Official Body.

          "Lender" shall mean MNP Corporation, a Michigan corporation.

          "Lien" or "Liens" shall mean security interests, pledges, bailments,
leases (including financing leases), mortgages, the grant of a power to confess
judgment when exercisable by its terms, conditional sales and title retention
agreements, charges, encumbrances, liens, agreements to give or authorize the
filing of any financing statement or similar notice and security devices,
arrangements or similar interests in real or personal property.

          "Loan" or "Loans" shall mean the loans as described in Article II
hereof.

          "Loan Documents" shall mean this Agreement, the Demand Promissory
Notes, the Security Documents, and all other agreements, instruments,
certificates and documents contemplated by or

                                      -4-
<PAGE>

delivered or required to be delivered under this Agreement or in connection
herewith, in each instance as the same may be amended, modified or supplemented
from time to time.

          "Mortgage" shall mean the second mortgage dated as of the date hereof
from ORS to Lender with respect to the Mortgaged Property.

          "Mortgaged Property" shall have the meaning set forth in the Mortgage.

          "Official Body" shall mean any government or political subdivision or
any agency, authority, bureau, central bank, commission, department or
instrumentality of any government or political subdivision, or any court,
tribunal, grand jury or arbitrator, in each case whether foreign or domestic.

          "Permitted Liens" shall mean those liens and encumbrances disclosed on
Exhibit B attached hereto.
---------

          "Person" shall mean an individual, corporation, partnership (general
or limited), trust, business trust, unincorporated association, joint venture,
joint-stock company, limited liability company, Official Body or any other
entity of whatever nature.

          "Potential Event of Default" shall mean the occurrence of an event or
the existence of a condition or an act or omission which, with (a) the lapse of
time prescribed by Article VI hereof, (b) the giving of notice, if required, by
Lender of a default under Article VI of this Agreement, or (c) both, would be an
Event of Default.

          "Security Agreement" shall mean the Security Agreement dated as of the
date hereof, given by the Borrowers to Lender, and all other agreements,
instruments and documents attached thereto, referred to therein or delivered in
connection therewith as any or all of the foregoing may be amended, modified or
supplemented from time to time.

          "Security Documents" shall mean collectively the Security Agreement,
the Mortgage, any and all UCC financing statements, and any and all other
security documents or agreements executed by the Borrowers as each may be
amended, modified or supplemented from time to time.

          "Stock Purchase Agreement" shall mean that certain Stock Purchase
Agreement, dated June 25, 1999, by and among the parties

                                      -5-
<PAGE>

listed on Exhibit A attached thereto (the "Buyers"), Lender, and MNC.

          "UCC" shall mean the Uniform Commercial Code (or any successor statute
thereto), as in effect in the State of Michigan or any other applicable state.
Terms and phrases defined in the UCC are used herein as therein defined, except
where the context otherwise requires.

          1.02.  Accounting Principles.  The character or amount of any asset,
                 ---------------------
liability, capital account or reserve and of any item of income or expense to be
determined, and any consolidation or other accounting computation to be made,
and the construction of any definition containing a financial term, pursuant to
this Agreement, shall be determined or made, as the case may be, in accordance
with GAAP, unless such principles are inconsistent with the express requirements
of this Agreement.

          1.03.  Construction.  Unless the context of this Agreement otherwise
                 ------------
clearly requires, references to the plural include the singular, the singular
the plural and the part the whole and "or" has the inclusive meaning represented
by the phrase "and/or".  References in this Agreement to "determination" by
Lender means good faith estimates by Lender (in the case of quantitative
determinations) and good faith beliefs by Lender (in the case of qualitative
determinations).  The words "hereof", "herein", "hereunder" and similar terms in
this Agreement refer to this Agreement as a whole and not to any particular
provision of this Agreement.  The section and other headings contained in this
Agreement are for reference purposes only and shall not control or affect the
construction of this Agreement or the interpretation thereof in any respect.
Section, subsection and exhibit references are to this Agreement unless
otherwise specified.

          When, in this Agreement or in any other Loan Document, a
representation or warranty is made to "the best knowledge of the Borrowers,"
such shall mean the actual present knowledge of William D. Feniger or James L.
Rosino, after reasonable investigation. Such diligent investigation included,
without limitation, consultation with legal counsel to the extent deemed
appropriate by the officers of the Borrowers, a review of relevant records of
the Borrowers and inquiry of employees of the Borrowers whom the officers of the
Borrowers charged with responsibility for such matters.

                                   ARTICLE II
                                   THE CREDIT
                                   ----------

                                      -6-
<PAGE>

          2.01.  Loans.  (a) Subject to the terms and conditions hereof, and
                 -----
relying upon the representations and warranties of each of the Borrowers herein
set forth, Lender agrees to make Loans to the Borrowers (the "Initial Loans") on
any Business Day, at any time or from time to time until the aggregate unpaid
balance of all advances outstanding under the Initial Loans equal One Million
Five Hundred Thousand Dollars ($1,500,000.00). Lender shall not be obligated to
relend any portion of the Initial Loans repaid or prepaid by the Borrowers; any
reborrowing of the Initial Loans by the Borrowers shall be made at the option
of, and in the sole discretion of, Lender.

          (b)  Subject to the terms and conditions hereof, and relying upon the
representations and warranties of each of the Borrowers herein set forth, Lender
may make discretionary additional Loans to the Borrowers (the "Additional
Loans") on any Business Day, at any time or from time to time until the
aggregate unpaid balance of all advances outstanding under the Additional Loans
equal One Million Five Thousand Dollars ($1,500,000.00). Lender shall not be
obligated to lend or relend the Additional Loans at any time; each borrowing or
reborrowing of an Additional Loan which may be made under this Agreement shall
be made at the option of, and in the sole and absolute discretion of, Lender.

          2.02.  Demand Promissory Notes.  The obligation of the Borrowers to
                 -----------------------
repay the aggregate unpaid principal amount of the Initial Loans made by Lender
shall be joint and several, and shall be evidenced by the Initial Demand
Promissory Note of the Borrowers in the form attached hereto as Exhibit A, in
                                                                ---------
the face amount of One Million Five Hundred Thousand Dollars ($1,500,000.00),
bearing interest as set forth in Section 2.03(a) below, and payable in full upon
Lender's demand. The obligation of the Borrowers to repay the aggregate unpaid
principal amount of the Additional Loans if and when made by Lender shall be
joint and several, and shall be evidenced by the Additional Demand Promissory
Note of the Borrowers in the form attached hereto as Exhibit A-1, in the face
                                                     -----------
amount of One Million Five Hundred Thousand Dollars ($1,500,000.00), bearing
interest as set forth in Section 2.03(a) below, and payable in full upon
Lender's demand. Each of the Demand Promissory Notes shall be dated and
delivered by the Borrowers to Lender on the Closing Date.

          2.03.  Interest; Payments; Additional Compensation in Certain
                 ------------------------------------------------------
Circumstances.
-------------

          (a) Interest Rate and Payments. The Borrowers shall pay interest upon
              --------------------------
the unpaid principal balance of the Loans outstanding from time to time, which
interest shall accrue at the Bank's "Base Rate" (as defined in the Bank's Loan
Agreement), plus one (1.00%)

                                      -7-
<PAGE>

percentage point (which amount shall change immediately upon any change in the
Bank's Base Rate); provided, however, at any time the Borrowers are not indebted
to the Bank, interest shall accrue at the Base Rate plus one (1.0%) percentage
point, which amount shall change immediately upon any change in the Base Rate.
Interest shall be due and payable on the seventh day of each calendar month
commencing on the seventh day of the first calendar month following the Closing
Date and on the seventh day of each calendar month thereafter until Lender shall
demand repayment of the Loans in full.

          (b)  Place, Time and Amount.  All payments and prepayments to be made
               ----------------------
in respect of the principal or interest on the Loans, and all other charges and
amounts payable under this Agreement or the Demand Promissory Notes shall become
due at 12:00 o'clock Noon, Detroit time, at the office of Lender, 44225 Utica
Road, Utica, Michigan 48317, on the day when due, in Dollars and in funds
immediately available at such office.

          (c)  Interest After Maturity or Event of Default.  After an Event of
               -------------------------------------------
Default has occurred and is continuing or after the principal amount of all or
any part of any Loan shall have become due and payable by acceleration,
declaration, or otherwise, the principal amount of all or any part of any Loan
shall thereafter bear interest at an aggregate fluctuating rate per annum which
shall be equal to the applicable interest rate then in effect pursuant to
Sections 2.03 (a) hereof, plus four (4.00) additional percentage points (the
"Default Rate").

          (d)  Maximum Rate.  In no contingency or event shall interest charged
               ------------
hereunder, however such interest may be characterized or computed, exceed the
highest rate permissible under any Law which a court of competent jurisdiction
shall, in a final determination, deem applicable to this Agreement (the "Maximum
Rate").  In the event that any such court determines that the rate of interest
charged hereunder exceeded the Maximum Rate during any period or periods, the
rate of interest hereunder for such period or periods shall be deemed to have
been the Maximum Rate, and the rate of interest hereunder shall be deemed to
have continued to be and shall continue to be the Maximum Rate for such period
as is necessary for the total amount of interest paid or accrued hereunder to
equal the amount of interest that would have been paid or accrued hereunder had
the interest rate hereunder at all times remained as provided in the preceding
subsections of this Section 2.03.  If, notwithstanding the foregoing interest
rate adjustment, a court of competent jurisdiction determines that Lender has
received interest in excess of the Maximum Rate, any such excess shall (i)
first, be applied by Lender to any unpaid costs and expenses owed to Lender
under this Agreement or any other

                                      -8-
<PAGE>

Loan Document and to the unpaid principal amount of the Loans made by Lender
(without any applicable prepayment penalty), and (ii) second, be refunded by
Lender to the Borrowers.

          2.04   Late Charges.  The Borrowers (as applicable) shall pay to
                 ------------
Lender promptly upon demand by Lender, five cents ($0.05) on each dollar of any
delinquent payment on any amounts due hereunder or under any of the Loan
Documents, which amount is not paid within fourteen (14) days after it is due.

          2.05.  Security For the Debt.  The Debt shall at all times be secured
                 ---------------------
by: (a) a security interest granted and created by the Borrowers in favor of and
for the benefit of Lender in the Collateral pursuant to the terms of the
Security Agreement; and (b) the Mortgage.

                                  ARTICLE III
                        REPRESENTATIONS AND WARRANTIES
                        ------------------------------

     Each of the Borrowers makes the following representations and warranties to
Lender, as of the date of this Agreement, which representations and warranties
shall survive the execution and delivery of this Agreement and the issuance of
the Demand Promissory Notes hereunder:

          3.01.  Organization and Qualification.  Each Borrower (other than EPI)
                 ------------------------------
is a corporation duly organized, validly existing and in good standing under the
laws of state of its incorporation, and is duly qualified to do business as a
foreign corporation in good standing in each jurisdiction in which the nature of
its activities or ownership of property, or both, requires it to be so qualified
or, if not so qualified, in which a failure to so qualify would not have a
material adverse effect on its business, operations, properties or financial
condition. EPI is a general partnership duly organized, validly existing and in
good standing under the laws of state of Ohio, and is duly qualified to do
business as a foreign partnership in good standing in each jurisdiction in which
the nature of its activities or ownership of property, or both, requires it to
be so qualified or, if not so qualified, in which a failure to so qualify would
not have a material adverse effect on its business, operations, properties or
financial condition.

          3.02.  Power; Legal Capacity.  The Borrowers have the requisite power
                 ---------------------
and authority to execute, deliver and carry out this Agreement, including,
without limitation, the Demand Promissory Notes, the other Loan Documents and
the other

                                      -9-
<PAGE>

instruments, documents and agreements contemplated or required hereby
or thereby, and to make the borrowings provided for herein.  The Borrowers have
all requisite power and authority under the laws of each state in which they
conduct business to own and operate their respective properties and to carry on
their respective business as now conducted and as presently proposed to be
conducted.

          3.03.  [intentionally omitted]

          3.04.  Conflict with Other Instruments, etc.  Except as set forth on
                 ------------------------------------
Exhibit B attached hereto, the execution and delivery by each of the Borrowers
---------
of this Agreement, the Demand Promissory Notes, the Security Documents, the Loan
Documents and the other instruments, documents and agreements contemplated or
required hereby or thereby to which it is a party, the consummation of the
transactions herein or therein contemplated, and compliance by each of the
Borrowers with the terms, conditions and provisions hereof or thereof will not
conflict with or result in a breach of any of the terms, conditions or
provisions of the articles of incorporation or by-laws of each of the Borrowers,
or any Law or any agreement or instrument to which any of the Borrowers is a
party or by which any of the Borrowers or its properties is bound or to which
any of the Borrowers or its properties is subject, or constitute a default
thereunder or result in the creation or imposition of any Lien, other than Liens
in favor of Lender.

          3.05.  Authorization, Governmental Approvals.  Except as set forth on
                 -------------------------------------
Exhibit C attached hereto, the execution and delivery of this Agreement, the
---------
making of the borrowings contemplated by the provisions hereof, the execution,
issuance and delivery of the Demand Promissory Notes to evidence such
borrowings, the execution and delivery of the Security Documents, the Loan
Documents and all other instruments, documents and agreements contemplated or
required by the provisions hereof or thereof to be executed and delivered by
each of the Borrowers and the consummation of the transactions by each of the
Borrowers herein and therein contemplated have each been duly authorized by all
necessary corporate or partnership action on the part of each of the Borrowers.
Except as set forth on Exhibit B, No other authorization, consent, approval,
                       ---------
license or exemption of, and no registration, qualification, designation,
declaration or filing with, any Person, and no other vote, authorization,
consent or approval of directors of each of the Borrowers, or of any Person, is
or was necessary to the valid execution and delivery of this Agreement by each
of the Borrowers, the making by each of the Borrowers of the borrowings
contemplated by the provisions hereof, the execution, issuance and delivery by
each of the Borrowers of the Demand Promissory Notes to evidence such
borrowings, the

                                      -10-
<PAGE>

execution and delivery by each of the Borrowers of the Security Documents, the
Loan Documents and all other instruments, documents and agreements contemplated
or required by the provisions hereof or thereof to be executed and delivered by
each of the Borrowers or the consummation by each of the Borrowers of the
transactions herein and therein contemplated.

          3.06.  Validity and Binding Effect.  This Agreement, the Demand
                 ---------------------------
Promissory Notes, the Security Documents, the Loan Documents and all other
instruments and agreements contemplated thereby to which each of the Borrowers
is a party have each been duly and validly executed and delivered by each of the
Borrowers and constitute legal, valid and binding obligations of each of the
Borrowers enforceable in accordance with their respective terms, except as the
enforceability of any of the foregoing may be limited by bankruptcy, insolvency
or other similar laws of general application relating to or affecting the
enforcement of creditors' rights or by general principles of equity.

          3.07.  Title to Property, etc.  The Borrowers: (a) do not hold any
                 ----------------------
title to any real properties, except for the real property owned by ORS
described on an applicable Schedule to the Stock Purchase Agreement (the "Real
Property"); (b) have a lessee's leasehold interest in the properties described
on the Schedules attached to the Stock Purchase Agreement (such leasehold
interests and the Real Property is hereinafter collectively referred to as the
"Borrowers' Properties") pursuant to the lease agreements described on the
Schedules attached to the Stock Purchase Agreement (the "Borrowers' Leases");
(c) except as set forth on an applicable Schedule to the Stock Purchase
Agreement, have maintained the Borrowers' Leases in full force and effect and
are not in violation of or default of or have committed a breach of any term,
condition or provision of the Borrowers' Leases; (d) maintain their chief
executive offices at the locations set forth on Exhibit D; (e) will maintain
                                                ---------
their chief executive offices within the respective states set forth in Exhibit
                                                                        -------
D; and (f) except as set forth on an applicable Schedule to the Stock Purchase
-
Agreement, have and will maintain good and marketable title to all of the
Equipment and their other personal property assets purported to be owned by them
and necessary to the operation of their businesses as presently conducted,
including, without limitation, all of the Collateral in each case free and clear
of all Liens (including, without limitation, Liens arising by operation of Law
or otherwise in favor of the Environmental Protection Agency, and the Internal
Revenue Service). None of the Borrowers' assets are goods covered by a
certificate of title (as such terms are defined in the UCC). Except as
specifically set forth on the Schedules attached to the Stock

                                      -11-
<PAGE>

Purchase Agreement, the Borrowers do not lease any personal property.

          3.08. [intentionally omitted]

          3.09.  Books and Records.  Each of the Borrowers makes and keeps
                 -----------------
books, records and accounts which, in reasonable detail, accurately and fairly
reflect its business and other transactions and maintains, a system of
accounting controls sufficient to assure that (a) business and other
transactions are carried out in accordance with authorization of management, (b)
business and other transactions are recorded as necessary to permit preparation
of financial statements in accordance with GAAP and to maintain adequate
accountability for assets and their utilization, (c) access to assets, whether
by officers or otherwise, is permitted only in accordance with management's
general or specific authorization and (d) the recorded accounting for assets is
compared with existing assets at reasonable intervals and appropriate action is
taken with respect to any differences found to exist.

          3.10.  Taxes.  Each of the Borrowers has filed all required federal,
                 -----
state, local and other tax returns and has paid, all taxes which have become due
pursuant to such returns or to assessments received.  None of the Borrowers
knows of any additional material assessments for which adequate reserves have
not been established on the books of the Borrowers.

          3.11.  Litigation or Proceedings; Commitments and Contingencies.
                 --------------------------------------------------------

          (a)  Except as set forth on Exhibit E attached hereto and except for
                                      ---------
actions involving less than $10,000 individually and $50,000 in one aggregate
and which are not covered by insurance and which are not being defended by
insurance carrier counsel, (i) there is no litigation or any governmental
proceeding or investigation pending, or any litigation or governmental
proceeding threatened in writing against any of the Borrowers before any
Official Body which, if determined adversely to any of the Borrowers, might
result in any material adverse change in the financial condition, business or
operations of any of the Borrowers or in the inability of any of the Borrowers
to perform its obligations under the Loan Documents and (ii) there is no
litigation or governmental proceeding or investigation pending or overtly
threatened concerning any of the Borrowers arising under any federal, state or
local law, regulation or rule regulating (A) the release or discharge of
materials into or the protection of the

                                      -12-
<PAGE>

environment, or (B) the management, handling or disposal of hazardous waste or
toxic substances, or (C) the public health.

          (b)    Except for any Guarantees within the consolidated group, there
are no Guarantees of Indebtedness for Money Borrowed of any of the Borrowers or
letters of credit as to which any of the Borrowers is an account party. None of
the Borrowers is obligated under any Guarantee or has any known contingent
liabilities which are required by GAAP to be recorded in its financial
statements or disclosed in the notes thereto which are not therein so recorded
or disclosed.

          3.12.  Franchises, Permits, etc.   To best of knowledge of the
                 ------------------------
Borrowers, each of the Borrowers possesses adequate franchises, licenses,
permits, trademarks and patents to own its properties and to carry on its
business as presently conducted.

          3.13.  Compliance with Law.  To best of knowledge of the Borrowers,
                 -------------------
none of the Borrowers is in violation of or subject to any liability on account
of any Law, which would result in any material adverse change in the financial
condition, business or operations of any of the Borrowers.

          3.14.  Compliance with Environmental Laws.
                 ----------------------------------

          (a)    To best of knowledge of the Borrowers, each of the Borrowers is
in compliance with all Environmental Laws. Each of the Borrowers will be deemed
to be in compliance with this Subsection (a) if it is taking action required by
any Official Body within time limits set by such Official Body to correct any
violation or if it is contesting an order that is stayed during the pendency of
appropriate judicial or administrative proceedings being diligently pursued by
it.

          (b)    To best of knowledge of the Borrowers, each of the Borrowers
has obtained all material permits, licenses and other authorizations which are
required for the operation of its business under the Environmental Laws, and
each of the Borrowers is in full compliance and shall remain in full compliance
with all material terms and conditions of any such permits, licenses and/or
authorizations. The consummation of the transactions contemplated by this
Agreement will not alter or impair any rights under any such permits, licenses
and authorizations. To best of knowledge of the Borrowers, each of the Borrowers
is in full compliance with any other material limitations, restrictions,
conditions, requirements, schedules, and/or timetables set forth in the
Environmental Laws or contained in any order, decree, variance, plan,
injunction, judgment, notice or demand letter.

                                      -13-
<PAGE>

          3.15.  No Environmental Liabilities.  To best of knowledge of the
                 ----------------------------
Borrowers, and except as set forth in Schedule 4.32 of the Stock Purchase
Agreement, none of the Borrowers has any liability arising out of the
generation, storage, treatment or disposal of any hazardous waste or substance,
including, but not limited to, those substances designated under Superfund (42
U.S.C. (S)9603) as hazardous, and any petroleum or petroleum-related materials,
the enforcement of which would have a material adverse effect on any of the
Borrowers.

          3.16.  [intentionally omitted]

          3.17.  [intentionally omitted]

          3.18.  [intentionally omitted]

          3.19.  No Event of Default; Compliance with Instruments.  No Event of
                 ------------------------------------------------
Default or Potential Event of Default has occurred and except for its
obligations to the Bank, none of the Borrowers is in violation of or default of
or has committed a breach of any term, condition or provision of any agreement,
indenture, instrument, charter instrument, by-law or other instrument to which
it is a party or by which it is bound or to which it or any of its properties is
subject in any instance where such violation, default or breach would have a
material adverse effect on the business, operations, properties or financial
condition of any of the Borrowers taken as a whole.

          3.20.  Disclosure.  Neither this Agreement nor any other Loan Document
                 ----------
or any other agreement, document, certificate or statement when furnished in
writing to Lender by any of the Borrowers in connection with the transactions
contemplated hereby or thereby contains or will contain any untrue statement of
a material fact or omits or will omit to state a material fact necessary in
order to make the statements contained herein and therein not misleading in
light of the circumstances under which they were made.  There is no fact known
to any of the Borrowers which materially adversely affects or in the reasonably
foreseeable future is reasonably likely materially and adversely to affect the
business, property or assets, or financial condition of any of the Borrowers
taken as a whole, which has not been set forth in this Agreement, in the other
Loan Documents, in the other agreements, documents, certificates and statements
furnished in writing to Lender prior to the date hereof in connection with the
transactions contemplated hereby or thereby, or in the Stock Purchase Agreement.

          3.21.  Burdensome Obligations.  None of the Borrowers is a party to
                 ----------------------
any agreement, deed, lease or other instrument, which,

                                      -14-
<PAGE>

in the opinion of the management of each of the Borrowers, is so unusual or
burdensome as to in the foreseeable future materially and adversely affect or
impair the business or assets or the condition, financial or otherwise, of any
of the Borrowers.

          3.22.  Continuing Effect.  All representations and warranties of each
                 -----------------
of the Borrowers hereunder shall survive the execution and delivery of this
Agreement and the other Loan Documents.

                                   ARTICLE IV
                             CONDITIONS OF LENDING
                             ---------------------

     The obligations of Lender to make the Loans hereunder on any date are
subject to the performance by the Borrowers of their respective obligations to
be performed hereunder on or before such date and to the satisfaction of the
following requirements. If Lender makes a Loan without the satisfaction of a
specific requirement set forth below, then the Borrowers, to the extent the
requirement is under its control, shall fulfil the requirement within fifteen
(15) days of the date of this Agreement.

          4.01.  Loan.  At the time of making the Loans, Lender shall have
                 ----
received the following documents, together with such other executed originals or
copies as Lender may request and the following conditions precedent shall have
been satisfied:

          (a) The Demand Promissory Notes, the Security Agreement, the Mortgage,
and each of the other Loan Documents as Lender may request duly executed by the
parties thereto and delivered to Lender.

          (b) (i) Copies of all documents evidencing corporate action taken by
the Borrowers relative to this Agreement and the other Loan Documents in form
and substance satisfactory to Lender and counsel for Lender, certified by the
respective Secretary of each of the Borrowers, (ii) copies of the By-Laws of
each of the Borrowers, certified by the respective Secretary of each of the
Borrowers, (iii) a certificate or certificates, dated a recent date, of the
Secretary of State or other similar official as to true and correct copies of
the Articles of Incorporation of each of the Borrowers, together with all
amendments thereto, and the good standing of each of the Borrowers under the
Laws of the States of Delaware, Michigan and Ohio (as applicable) and in each
state where it is qualified, or is required by law to be so qualified to do
business, and (iv) copies of all existing leases of the Borrowers' Properties.

                                      -15-
<PAGE>

          (c) Certificates, signed by the respective Secretary of each of the
Borrowers, certifying as to the name of the respective officers of each of the
Borrowers authorized to sign this Agreement and the other Loan Documents and as
to the specimens of the true signatures of such officers, on which Lender may
conclusively rely until a revised certificate is similarly so delivered.

          (d) Such financing statements, results of Lien searches, and other
documents or instruments necessary to collateralize the Loans fully in
accordance with the priorities described herein, together with evidence of the
filing or recording of such documents or instruments.

          (e) (i)  A commitment for the issuance of the ALTA Loan Policy, and
(ii) insurance certificates for all insurance required by Section 5.01(c)
hereof, by the Security Agreement or by the Mortgage, including, without
limitation, business interruption insurance and extended fire and casualty
insurance (which shall contain a lender's loss payable endorsement and a thirty-
day notice of cancellation provision), issued to Lender as an additional named
insured and additional loss payee and, in the case of extended fire and casualty
insurance, covering the property described in the Security Agreement and the
Mortgage, and in compliance with Section 5.01(c) of this Agreement.

          (f) A favorable opinion, dated as of the date of this Agreement, of
counsel for the Borrowers in form and scope satisfactory to counsel for Lender,
as to such matters relating to the transactions contemplated hereby as Lender
and such counsel may reasonably request.

          (g) Each of the Borrowers' representations and warranties in Article
III hereof shall be true and accurate with the same effect as though such
representations and warranties had been made on and as of such date (except
representations and warranties which relate solely to an earlier date).

          (h) No Event of Default and no Potential Event of Default shall have
occurred and be continuing or shall exist.

          (i) Each of the Borrowers shall be in compliance with each of the
covenants set forth in Article V hereof.

          (j) Lender shall have been granted a security interest  in the
Collateral under the UCC, and all filings, recordings and other actions
necessary to perfect such interests shall have been effected.

                                      -16-
<PAGE>

          (k) The Mortgage shall have been executed and delivered to Lender and
shall have been properly recorded in the real estate records in the county where
the Mortgaged Property is located, and Lender shall have a lien on the Mortgaged
Property, subject only to the Permitted Liens.

          (l) All legal details and proceedings in connection with the
transactions contemplated by this Agreement and all documents delivered to
Lender pursuant to this Section 4.01 shall be in form and substance satisfactory
to Lender and Lender shall have received all such counterpart originals or
certified copies of such documents and proceedings in connection with such
transactions, in form and substance satisfactory to Lender, as Lender shall
reasonably request.

                                   ARTICLE V
                                   COVENANTS
                                   ---------

          5.01.  Affirmative Covenants of the Borrowers.  The Borrowers covenant
                 --------------------------------------
to Lender that, so long as the Borrowers may borrow hereunder and until payment
in full of the Demand Promissory Notes issued hereunder, and interest thereon,
compensation, amounts and obligations payable hereunder and under the other Loan
Documents, each of the Borrowers will:

          (a) Preservation of Existence, etc.  Preserve and maintain its
              ------------------------------
existence in the jurisdiction of its incorporation, and qualify and remain
qualified as a foreign corporation in each jurisdiction in which failure to
qualify would have a material adverse effect on the business, operations,
properties or financial condition of any of the Borrowers.

          (b) Payment of Taxes, etc.  Pay or discharge all taxes, assessments
              ---------------------
and governmental charges or levies imposed upon it or upon its income or profits
and payable by it, or upon any properties belonging to it, prior to the date on
which penalties attach thereto, and all lawful claims which, if unpaid, might
become a Lien upon any properties of any of the Borrowers, provided that none of
the Borrowers shall be required to pay any such tax, assessment, charge, levy or
claim which is being contested in good faith and by appropriate proceedings
diligently conducted and for which reserves or other provisions required by GAAP
are being maintained on the books of the contesting Borrower with respect
thereto.

          (c) Maintenance of Insurance.  Maintain insurance on its properties
              ------------------------
and businesses with responsible insurance carriers in such amounts, of such
types and covering such casualties, risks and

                                      -17-
<PAGE>

contingencies as Lender may require, including, without limitation, business
interruption insurance and extended fire and casualty insurance, and, in the
case of insurance maintained by the Borrowers, naming Lender as an additional
loss payee and containing a loss payable endorsement and a thirty (30) day
notice of cancellation provision.

          (d) Maintenance of Properties, etc.  Maintain and preserve all of its
              ------------------------------
properties which are necessary or useful in the proper conduct of its business
in good working order and condition, ordinary wear and tear excepted.

          (e) Maintenance of Franchises, Permits, etc.  Maintain and preserve
              ---------------------------------------
adequate franchises, licenses, permits, trademarks and patents which are
necessary for the conduct of its business.

          (f) Keeping of Records and Books of Account.  Keep adequate records
              ---------------------------------------
and books of account, in which substantially complete entries will be made in
accordance with GAAP reflecting all financial transactions required thereby.

          (g) Visitation Rights.  At any reasonable time and from time to time
              -----------------
upon at least one (1) Business Days' prior notice, permit Lender or any agents
or representatives thereof during normal working hours to examine and make
copies of and abstracts from the records and books of account of, and visit the
properties of, the Borrowers and to discuss the affairs, finances and accounts
of each of the Borrowers with any of its appropriate employees, officers or
directors; provided, however than if an Event of Default has occurred and is
continuing, Lender may exercise its visitation rights at any time without
notice.

          (h) Compliance with Laws.  Comply with all Laws having applicability
              --------------------
to it or to the business or businesses at any time conducted by the Borrowers,
the non-compliance with which would result in a material adverse change in the
financial condition, business or operations of any of the Borrowers taken as a
whole.  Each of the Borrowers will comply with all Environmental Laws or
regulations and hazardous waste or toxic substances management, handling or
disposal laws and regulations (the non-compliance with which would result in a
material adverse change in the financial condition, business or operations of
any of the Borrowers taken as a whole), whether regarding (i) the conduct of its
business, or (ii) the use, maintenance or operation of property owned or
possessed by it or (iii) otherwise.  Each of the Borrowers will be deemed to be
in compliance with this Subsection (h) if it is taking action required by any
Official Body within time limits set by such Official Body to correct any
violation or if it is contesting an

                                      -18-
<PAGE>

order that is stayed during the pendency of appropriate judicial or
administrative proceedings being diligently pursued by it.

          (i) Loan Documents.  Keep, observe and comply with all covenants and
              --------------
obligations of the Borrowers, which are set forth in the Security Documents, the
other Loan Documents or any other agreement or instrument delivered in
connection herewith or therewith.

          (j) Further Assurances for the Security Interest.  Do all such other
              --------------------------------------------
acts and things and execute and deliver all such other instruments and
documents, including without limitation further security agreements, pledges,
endorsements, assignments and notices, as Lender may reasonably deem necessary
or advisable from time to time to preserve the security interests granted in the
Security Agreement.  Lender, and its officers, employees and authorized agents,
or any of them, are hereby irrevocably appointed the attorneys-in-fact of the
Borrowers (without requiring any of them to serve as such) to do, at the
Borrowers' expense, all acts and things which Lender may deem necessary or
advisable to preserve, to perfect and continue perfected Lender's security
interests in the Collateral, including without limitation the signing and filing
of financing, continuation or other similar statements and notices on behalf of
each of the Borrowers.  Lender agrees that unless an Event of Default shall have
occurred and be continuing or shall exist, such acts and things shall be
undertaken by Lender after notice to the Borrowers; provided, however, that the
                                                    --------  -------
failure of Lender to give such notice shall not limit, reduce or otherwise
affect the rights, powers and privileges of Lender or the obligations of the
Borrowers hereunder or under any Loan Document and shall not invalidate, impair
or otherwise affect any action or things undertaken by Lender.

          5.02.  Negative Covenants.  Each of the Borrowers covenant to Lender
                 ------------------
that until payment in full of the Loans and all interest thereon, and all
amounts and obligations payable hereunder and under the other Loan Documents,
each of the Borrowers will not, without the prior written consent of Lender:

          (a)  Amendments.  Take any action to amend its charter documents or
               ----------
bylaws;

          (b)  Stock.  Issue any stock, bonds or other corporate securities or
               -----
grant any option or issue any warrant to purchase or subscribe to any of such
securities or issue any securities convertible into such securities;

          (c)  Indebtedness.  Incur any obligation or liability (absolute or
               ------------
contingent), including any mortgage, Guarantee,

                                      -19-
<PAGE>

equipment loan or other long-term debt obligation or increased borrowing under
any existing lines of credit, except current liabilities incurred and
obligations under contracts entered into in the ordinary course of business and
except for increases in the credit lines with steel mills;

          (d)  Dividends.  Except for MNC's Series A and B Preferred Stock,
               ---------
declare or make any Dividend, payment or distribution to its stockholders with
respect to its stock or purchase or redeem any shares of its capital stock;

          (e)  Payments To Insiders.  Except to the extent required by the terms
               --------------------
under which MNC's preferred stock was issued and except as required by written
employment agreements, make, accrue or become liable for any payment to any
officer, director, or stockholder of the Borrowers or any Affiliate of any such
Person, other than (i) payment under existing supply contracts and leases, and
(ii) payments of compensation and benefits consistent with the past practices of
the Borrowers;

          (f)  Liens.  Mortgage, pledge, or subject to any lien, charge or any
               -----
other encumbrance any of their respective assets or properties;

          (g)  Sales. Sell, assign, or transfer any of its assets, except for
               -----
products sold in the ordinary course of business;

          (h)  Cancellation of Indebtedness.  Cancel any debts or claims, except
               ----------------------------
in the ordinary course of business;

          (i)  Merge. Merge or consolidate with or into any corporation or other
               -----
entity;

          (j)  Bonuses.  Make, accrue or become liable for any bonus, profit
               --------
sharing or incentive payment, except for accruals under existing plans, if any,
or increase the rate of compensation payable or to become payable by it to any
of its officers, directors or employees;

          (k)  Waiver.  Waive any rights of material value;
               ------

          (l)  Contracts. Modify, amend, alter or terminate any of its executory
               ---------
contracts of a material value or which are material in amount;

          (m)  Breaches. Take or permit any act or omission constituting a
               --------
breach or default under any material contract, indenture or agreement by which
it or its properties are bound;

                                      -20-
<PAGE>

          (n) Investments.  Intentionally make or acquire any Investments in any
              -----------
Person (including any Guarantee of Indebtedness of any Person) except:
Investments (i) in marketable obligations issued or guaranteed by the United
States of America or an instrumentality or agency thereof, maturing not more
than one year after the date of acquisition thereof, (ii) in certificates of
deposit or other obligations maturing not more than one year after the date of
acquisition thereof issued by any Bank, (iii) in open market commercial paper
with a maturity not in excess of 360 days from the date of acquisition thereof
which on the date as of which investments are computed for any purpose under
this Agreement has a rating of not less than Standard & Poor's Corporation's "A"
or Moody's Investors Service, Inc.'s "A2", and (iv) in repurchase agreements
having a maturity of not greater than one year from the date of issuance thereof
collateralized by obligations of the United States of America or any agency
thereof.

                                  ARTICLE VI
                                    DEFAULT
                                    -------

          6.01.  Events of Default.  An Event of Default shall mean the
                 -----------------
occurrence or existence of one or more of the following described events:

          (a) Any of the Borrowers shall default in the payment of any principal
of, or interest on, the Demand Promissory Notes when due, whether upon demand or
by acceleration or otherwise; or

          (b) Any of the Borrowers shall default in the payment of any amounts
due hereunder (other than as set forth in Section 6.01 (a) above) or under any
other Loan Documents and such default shall not be remedied for a period of ten
(10) calendar days after notice thereof to the Borrowers from Lender; or

          (c) Except for defaults currently existing and disclosed on a Schedule
to the Stock Purchase Agreement, any of the Borrowers shall default (i) in any
payment of principal of or interest on any other obligation for borrowed money
or under any Guarantee or contingent liability (including but not limited to
reimbursement obligations under letters of credit) beyond any period of grace
provided with respect thereto, or (ii) in the performance of any other material
covenant, agreement, term or condition contained in any agreement, indenture or
instrument under which any such obligation is created if the effect of such
default is to cause, or permit the holder or holders of such obligation (or a
trustee on behalf of such holder or holders) to cause, such obligation to become
due prior to its stated maturity, unless such

                                      -21-
<PAGE>

default is being contested in good faith and by appropriate proceedings
diligently conducted; or

          (d) Any representation or warranty made herein or in any other Loan
Document by any of the Borrowers shall prove to have been false or misleading in
any material respect as of the time made; or

          (e) Any certificate or financial statement furnished pursuant to the
provisions of this Agreement or pursuant to any other Loan Document shall prove
to have been knowingly false or misleading in any material respect as of the
time furnished; or

          (f) Any of the Borrowers shall be in default of the provisions of any
of the subsections of Section 5.02 hereunder; or

          (g) Any of the Borrowers shall default in the performance of any other
covenant, condition or provision of this Agreement, and such default shall not
be remedied for a period of thirty (30) calendar days after either (i) any of
the Borrowers (as applicable) shall become aware thereof, or (ii) notice thereof
to the Borrowers (as applicable) from Lender; or

          (h) Any of the Borrowers shall default in the performance of any
covenant, condition or provision of any Loan Document beyond the date of any
applicable grace period; or

          (i) A final judgment which, with other final judgments against any of
the Borrowers exceeds an aggregate of $100,000.00 (and not covered by insurance)
shall have been entered against any of the Borrowers if, within 30 days after
the entry thereof, such judgment shall not have been discharged or execution
thereof stayed pending appeal; or

          (j) Any default under, or institution of foreclosure or other
proceedings by a third party to enforce any Lien of any kind upon the
Collateral, the Mortgaged Property, or any portion thereof unless any of the
Borrowers is contesting such in good faith and has made reserves for loss if
recommended by its independent certified accountants; or

          (k) A proceeding shall have been instituted in a court having
jurisdiction in the premises seeking a decree or order for relief in respect of
any of the Borrowers in an involuntary case under any applicable bankruptcy,
insolvency or other similar law now or hereafter in effect, or for the
appointment of a receiver, liquidator, assignee, custodian, trustee,
sequestrator (or similar official) of any of the Borrowers, or for any
substantial part of their respective property, or for the winding-up or
liquidation of their respective affairs, or such court shall enter a decree or

                                      -22-
<PAGE>

order granting the relief sought in such proceeding and such proceeding shall
not have been dismissed within 60 days after the institution thereof; or

          (l) Any of the Borrowers shall commence a voluntary case under any
applicable bankruptcy, insolvency or other similar law now or hereafter in
effect, shall consent to the entry of an order for relief in an involuntary case
under any such law, or shall consent to the appointment of or taking possession
by a receiver, liquidator, assignee, trustee, custodian, sequestrator (or other
similar official) of any of the Borrowers, or for any substantial part of their
respective property, or shall make a general assignment for the benefit of
creditors, or shall take any action in furtherance of, or indicating their
respective consent to, approval of or acquiescence in, any of the foregoing; or

          (m) The Stock Purchase Agreement is terminated prior to the issuance
of the Shares (as defined in the Stock Purchase Agreement) to the Buyers.

          6.02.  Consequences of Event of Default. If an Event of Default
                 --------------------------------
specified under paragraphs (a) through (n) of Section 6.01 shall occur, Lender
may, by notice to the Borrowers declare the unpaid balance of the Demand
Promissory Notes then outstanding and interest accrued thereon and all other
obligations and liabilities of the Borrowers hereunder and thereunder and under
the other Loan Documents to be forthwith due and payable, and the same shall
thereupon become and be immediately due and payable, without presentment,
demand, protest or notice of any kind, all of which are hereby expressly waived.
The rights of Lender set forth in this Section 6.02 shall in no way limit
Lender's absolute right to demand payment of the unpaid balance of the Demand
Promissory Notes then outstanding and interest accrued thereon.

                                  ARTICLE VII
                                 MISCELLANEOUS
                                 -------------

          7.01.  Modifications, Amendments or Waivers.  Lender, the Borrowers,
                 ------------------------------------
may from time to time enter into written agreements amending or changing any
provision of this Agreement or any other Loan Document, and Lender may grant
waivers or consent to a departure from the due performance of the obligations of
the Borrowers hereunder or thereunder; provided, however, that all such
                                       --------  -------
amendments or waivers must be in writing signed by each of the parties hereto.

          7.02.  No Implied Waivers; Cumulative Remedies; Writing Required.  No
                 ---------------------------------------------------------
delay or failure of Lender in exercising any right,

                                      -23-
<PAGE>

power or remedy hereunder or under any other Loan Document shall affect or
operate as a waiver thereof; nor shall any single or partial exercise thereof or
any abandonment or discontinuance of steps to enforce such a right, power or
remedy preclude any further exercise thereof or of any other right, power or
remedy. The rights and remedies hereunder and under the other Loan Documents of
Lender are cumulative and not exclusive of any rights or remedies which it would
otherwise have. Any waiver, permit, consent or approval of any kind or character
on the part of Lender of any breach or default under this Agreement or under any
other Loan Document or any such waiver of any provision or condition of this
Agreement or of any other Loan Document must be in writing and shall be
effective only to the extent in such writing specifically set forth.

          7.03.  Taxes.  The Borrowers agree to pay any and all stamp, document,
                 -----
transfer or recording taxes, and similar impositions payable or hereafter
determined to be payable in connection with this Agreement or any other Loan
Document or any other documents, instruments or transactions pursuant to or in
connection herewith and therewith, and agree to save Lender harmless from and
against any and all present or future claims or liabilities with respect to, or
resulting from any delay in paying or omission to pay, any such taxes or similar
impositions.

          7.04.  Holidays.  Whenever any payment or action to be made or taken
                 --------
hereunder or under the Demand Promissory Notes shall be stated to be due on a
day which is not a Business Day, such payment or action shall be made or taken
on the next following Business Day, and such extension of time shall be included
in computing interest or fees, if any, in connection with such payment or
action.

          7.05.  Notices.  Any notice, demand, request or other communication
                 -------
which any party hereto may be required or may desire to give hereunder shall be
in writing and shall be deemed to have been properly given (a) if hand
delivered, or if sent by telecopy, effective upon receipt, or (b) if delivered
by overnight courier service, effective on the day following delivery to such
courier service addressed as follows:

          THE BORROWERS:
          -------------

          MERIDIAN NATIONAL CORPORATION
          805 Chicago Street
          Toledo, Ohio 43611
          Attn:  William D. Feniger

                                      -24-
<PAGE>

          LENDER:
          ------

          MNP CORPORATION
          44225 Utica Road
          Utica, Michigan 48317
          Attention: Craig L. Stormer

          7.06. Reimbursement of Expenses; Taxes.   The Borrowers shall promptly
                --------------------------------
upon receipt of a written invoice to pay or cause to be paid or to reimburse
Lender and save Lender harmless against liability for the payment of all
reasonable out-of-pocket expenses, including, without limitation, the reasonable
fees and expenses of counsel to Lender, and, following the occurrence of an
Event of Default and prior to the cure or waiver thereof, other reasonable
expenses incurred by officers or employees of Lender's credit recovery group (or
any successor group) incurred by Lender (a) arising in connection with the
development, preparation, printing, execution, performance or delivery of this
Agreement, the other Loan Documents, or other instruments and documents to be
delivered hereunder or thereunder, (b) relating to any amendments, waivers or
consents pursuant to the provisions hereof or thereof, (c) arising in connection
with the enforcement of or preservation of rights under this Agreement or the
other Loan Documents, collection of any amount due under the Demand Promissory
Notes or hereunder or under the other Loan Documents, or the proof and
allowability of any claim arising under this Agreement or under any Loan
Document, whether in any bankruptcy or receivership proceeding or otherwise,
and/or (d) arising in connection with any suit to enforce or enjoin performance
hereof or thereof, or any litigation, proceeding, dispute or other adjustment or
realignment of the Borrowers' financial structure which necessitates the
involvement, approval or consent of Lender or preparation therefor involving or
in any way related to this Agreement or the other Loan Documents, including
without limitation, in all such events enumerated in subparagraphs (a) through
(d) of this Section 7.06, any and all reasonable attorneys' fees and costs and
expenses for litigation, preparation for litigation or otherwise.

          7.07.  Survival.  All representations, warranties, covenants and
                 --------
agreements of the Borrowers contained herein, in any other Loan Document or made
in writing in connection herewith or therewith shall survive the execution and
delivery of this Agreement and the other Loan Documents, the making of Loans
hereunder and the issuance of the Demand Promissory Notes and shall continue in
full force and effect so long as any of the Loans is outstanding and until
payment in full of all of the Debt and the Borrowers' obligations hereunder or
thereunder.  The indemnity agreement contained in Section 7.12 of this Agreement
shall survive the termination of this Agreement.

                                      -25-
<PAGE>

          7.08.  Governing Law.  This Agreement, the Demand Promissory Notes,
                 -------------
the Security Documents, the other Loan Documents and the rights and obligations
of the parties hereto and thereto shall be deemed to be contracts under the laws
of the State of Michigan and for all purposes shall be governed by and construed
and enforced in accordance with the laws of the State of Michigan. The Borrowers
agree that any legal suit, action, or proceeding arising out of this Agreement,
any Security Documents, the Demand Promissory Notes or any other Loan Document
shall be instituted in any state or federal court in the County of Oakland,
State of Michigan and waives any objection which it may now or hereafter have to
the laying of venue of any such suit, action or proceeding in such jurisdiction.
The Borrowers further agree that service of process shall be properly served if
served personally or by registered mail return receipt requested at the address
set forth in Section 7.05.

          7.09.  WAIVER OF RIGHT TO TRIAL BY JURY.  THE BORROWERS HEREBY
                 --------------------------------
EXPRESSLY WAIVE ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE
OF ACTION (a) ARISING UNDER THIS AGREEMENT OR ANY OTHER DOCUMENT OR INSTRUMENT
ATTACHED HERETO, REFERRED TO HEREIN OR DELIVERED IN CONNECTION HEREWITH, OR (b)
IN ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE
BORROWERS WITH RESPECT TO THIS AGREEMENT OR ANY OTHER DOCUMENT OR INSTRUMENT
ATTACHED HERETO, REFERRED TO HEREIN OR DELIVERED IN CONNECTION HEREWITH, OR THE
TRANSACTIONS RELATED HERETO OR THERETO, IN EACH CASE WHETHER SOUNDING IN
CONTRACT OR TORT OR OTHERWISE; AND THE BORROWERS HEREBY AGREE AND CONSENT THAT
ANY SUCH CLAIM, DEMAND, ACTION OR CAUSE OF ACTION SHALL BE DECIDED BY COURT
TRIAL WITHOUT A JURY, AND THAT THE BANK MAY FILE AN ORIGINAL COUNTERPART OR A
COPY OF THIS SECTION WITH ANY COURT AS WRITTEN EVIDENCE OF THE CONSENT OF THE
BORROWERS TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY.

          7.10.  Successors and Assigns.  This Agreement shall be binding upon
                 ----------------------
and inure to the benefit of Lender, the Borrowers and their respective heirs,
personal representatives, successors and assigns, except that the Borrowers may
not assign or transfer their rights hereunder or any interest herein or delegate
their duties hereunder without the prior written consent of Lender.

          Lender may assign its rights hereunder and the other Loan Documents to
another bank or other entity without the consent of the Borrowers as part of any
transaction and Lender shall give the Borrowers prior notice thereof. Lender may
furnish any publicly available information concerning the Borrowers and, with
the prior written permission of the Borrowers, which consent shall not be
unreasonably withheld, any other information concerning the

                                      -26-
<PAGE>

Borrowers in the possession of Lender from time to time to assignees and
prospective assignees.

          7.11.  Severability.  If any term, provision, or restriction of this
                 ------------
Agreement is held to be invalid, void or unenforceable in any way in any
jurisdiction, the remainder of the terms, provisions, covenants and restrictions
of this Agreement shall remain in full force and effect in such jurisdiction and
shall in no way be affected, impaired or invalidated, and such invalidity,
voidness or unenforceability shall not affect the validity and enforceability of
such provision, covenant, or restriction in any other jurisdiction.  It is
hereby stipulated and declared to be the intention of the parties that they
would have executed the remaining terms, provisions, covenants and restrictions
without including any of such which may be hereafter declared invalid, void or
unenforceable.

          7.12.  Indemnity.  Each of the Borrowers agrees to indemnify Lender,
                 ---------
its directors, officers and employees and each legal entity if any, who controls
Lender (the "Indemnified Parties") and to hold each Indemnified Party harmless
from and against any and all claims, damages, liabilities and expenses
(including, without limitation, all reasonable fees of counsel with whom any
Indemnified Party may consult and all reasonable expenses of litigation or
preparation therefor) which any Indemnified Party may incur or which may be
asserted against any Indemnified Party in connection with or arising out of the
matters referred to herein, in any Security Document, or any other Loan Document
(including, without limitation, in any action at law or suit in equity in
relation to this Agreement, or any other Loan Document, commenced by a third
party, by any of the Borrowers unless such claims, damages, liabilities and
expenses result from gross negligence or willful misconduct on the part of the
Indemnified Party. The indemnity agreement contained in this Section 7.12 shall
survive the termination of this Agreement.  Promptly and upon receipt by an
Indemnified Party hereunder of notice of the commencement of any action, such
Indemnified Party shall, if a claim in respect thereof is to be made against any
of the Borrowers hereunder, notify the Borrowers in writing of the commencement
thereof.  The Borrowers may participate in the defense of any such action or
claim, at their expense, and no settlement thereof shall be made without the
approval of the Borrowers and the Indemnified Party.  The approval of the
Borrowers will not be unreasonably withheld.

          7.13.  Limitation of Liability.  The Borrowers acknowledge and agree
                 -----------------------
that Lender shall not be liable for any acts or omissions nor for any error of
judgment or mistake of fact or law other than as a sole and direct result of
Lender's gross

                                      -27-
<PAGE>

negligence or willful misconduct. In such event, Lender shall be liable to the
Borrowers only for actual damages caused by Lender's gross negligence or willful
misconduct. The Borrowers expressly agree that in no event will Lender be liable
for any indirect, special, consequential or punitive damages in connection with
or arising out of any of the Loan Documents. Notwithstanding any other provision
of this Agreement or any Loan Document, Lender shall not be liable for any
failure or inability to perform or any delay in performance hereunder or under
any other Loan Document if such failure, inability or delay is due to act of
God, war, civil or industrial disturbance, strikes, natural disaster, equipment
malfunction or any other cause which are beyond Lender's reasonable control. The
Borrowers shall give Lender written notice of any action or inaction by Lender
or any agent or attorney of Lender that may give rise to a claim against Lender
or any agent or attorney of Lender or that may be a defense to payment or
performance of and of the Debt for any reason, including commission of a tort
(subject, in any event, to the first sentence of this paragraph) or violation of
any contractual duty or duty implied by law. The Borrowers agree that unless
such notice is fully given as promptly as possible (and in any event within
thirty (30) days) after any of the Borrowers has knowledge, or with the exercise
of reasonable diligence should have had knowledge, of any such action or
inaction, the Borrowers shall not assert, and the Borrowers shall be deemed to
have waived, any claim or defense arising therefrom.

          7.14.  Marshaling; Payments Set Aside.  Lender shall not be under any
                 ------------------------------
obligation to marshall any assets in favor of the Borrowers or any other Person
or against or in payment of any or all of he Debt.  To the extent that any of
the Borrowers makes a payment or payments to Lender or Lender enforces its
security interests, or Lender exercises its rights of setoff, and such payment
or payments or the proceeds of such enforcement or setoff or any part thereof
are subsequently invalidated, declared to be fraudulent or preferential, set
aside, recovered from, disgorged by or are required to be refunded, repaid or
otherwise restored to the applicable Borrower a trustee, receiver or any other
Person under any Law, including without limitation any bankruptcy Law, state or
federal Law, common Law or equitable cause, then to the extent of any such
restoration, the obligation or part thereof originally intended to be satisfied
shall be revived and continued in full force and effect as if such payment had
not been made or such enforcement or setoff had not occurred.

          7.15.  Prior Understandings.  This Agreement supersedes all prior
                 --------------------
understandings and agreements, whether written or oral, among the parties hereto
relating to the transactions provided for herein.

                                      -28-
<PAGE>

          7.16.  Counterparts.  This Agreement may be executed in any number of
                 ------------
counterparts and by different parties hereto on separate counterparts, each of
which, when so executed and delivered, shall be an original, but all such
counterparts shall together constitute one and the same instrument.

          7.17.  Third Party Beneficiaries.  The provisions of this Agreement
                 -------------------------
are for the benefit of the executing parties hereto only and are not for the
benefit of any other Person.

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

                                   MERIDIAN NATIONAL CORPORATION,
                                   a Delaware corporation

                                   By: /s/ James L. Rosino
                                       -----------------------------------
                                       James L. Rosino,
                                       Its: Vice President - Finance

                                   OTTAWA RIVER STEEL CO.,
                                   an Ohio corporation

                                   By: /s/ James L. Rosino
                                       -----------------------------------
                                       James L. Rosino,
                                       Its: Vice President - Finance

                      [signatures continued on next page]

                                      -29-
<PAGE>

                         ENVIRONMENTAL PURIFICATION
                         INDUSTRIES COMPANY, an Ohio
                              general partnership

                              BY:  National Purification, Inc.,
                                   General Partner

                              By:  /s/ James L. Rosino
                                   ---------------------------------------
                                   James L. Rosino
                                   Its: Vice President - Finance

                              AND

                              BY:  MEPI Corp.,
                              General Partner

                              By:  /s/ James L. Rosino
                                   ---------------------------------------
                                   James L. Rosino
                                   Its: Vice President - Finance

                              MNP CORPORATION,
                              a Michigan corporation

                              By: /s/ Craig L. Stormer
                                  ----------------------------------------
                                  Craig L. Stormer
                                  Its: Vice President

                                      -30-

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