Document:

<PAGE>

                                                                    EXHIBIT 10.5

                                                                  CONFORMED COPY

                    SENIOR SUBORDINATED FACILITY AGREEMENT

                                    between

              IFCO INTERNATIONAL FOOD CONTAINER ORGANISATION GmbH
                                  as Borrower

                         IFCO EUROPE BETEILIGUNGS-GmbH
                                as IFCO Europe

                               BARCLAYS CAPITAL
                                  as Arranger

                          BHF BANK AKTIENGESELLSCHAFT
                              as Security Trustee

                                      and

                               BARCLAYS BANK PLC
                                   as Agent

                                Clifford Chance
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                                   CONTENTS

<TABLE>
<CAPTION>
      Clause                                                    Page No.
     <S>                                                        <C>
                                    Part 1

                                INTERPRETATION

     1.   Interpretation......................................        1

                                    Part 2

                                 THE FACILITY

     2.   The Facility........................................       22
     3.   Purpose.............................................       22
     4.   Conditions Precedent................................       22
     5.   Nature of Banks' Rights and Obligations.............       22

                                    Part 3

                          UTILISATION OF THE FACILITY

     6.   Utilisation of the Facility.........................       24

                                    Part 4

                                   INTEREST

     7.   Interest Periods....................................       25
     8.   Interest Rate and Payment...........................       26
     9.   Market Disruption...................................       26

                                    Part 5

                    REPAYMENT, PREPAYMENT AND CANCELLATION

     10.  Repayment...........................................       28
     11.  Prepayment..........................................       28
     12.  Intentionally left blank............................       30
</TABLE>
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<TABLE>
                                    Part 6

                           CHANGES IN CIRCUMSTANCES
     <S>                                                         <C>
     13.  Taxes................................................. 31
     14.  Tax Credits........................................... 32
     15.  Tax Receipts.......................................... 32
     16.  Increased Costs....................................... 32
     17.  Illegality............................................ 34
     18.  Mitigation............................................ 34

                                    Part 7

               REPRESENTATIONS, COVENANTS AND EVENTS OF DEFAULT

     19.  Representations....................................... 36
     20.  Financial Information................................. 40
     21.  Financial Condition................................... 44
     22.  Covenants............................................. 54
     23.  Events of Default..................................... 62

                                    Part 8

                        DEFAULT INTEREST AND INDEMNITY

     24.  Default Interest and Indemnity........................ 66

                                    Part 9

                                   PAYMENTS

     25.  Currency of Account and Payment....................... 68
     26.  Payments.............................................. 68
     27.  Set-Off............................................... 69
     28.  Redistribution of Payments............................ 69

                                    Part 10

                           FEES, COSTS AND EXPENSES

     29.  Fees.................................................. 71
     30.  Costs and Expenses.................................... 71

                                    Part 11

                               AGENCY PROVISIONS
</TABLE>
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<TABLE>
       <S>                                                                                                   <C>
       31.  The Agent, the Arranger and the Banks........................................................... 73

                                                      Part 12

                                             ASSIGNMENTS AND TRANSFERS

       32.  Benefit of Agreement............................................................................ 78
       33.  Assignments and Transfers by the Borrower....................................................... 78
       34.  Assignments and Transfers by Banks.............................................................. 78
       35.  Disclosure and Syndication...................................................................... 79

                                                      Part 13

                                                    MISCELLANEOUS

       36.  Calculations and Evidence of Debt............................................................... 81
       37.  Remedies, Waivers, Amendments and Consents...................................................... 81
       38.  Partial Invalidity.............................................................................. 82
       39.  Notices......................................................................................... 82
       40.  European Monetary Union......................................................................... 83
       41.  Intercreditor and Security Trust Agreement Acknowledgements and Undertakings.................... 83

                                                      Part 14

                                                 LAW AND JURISDICTION

       42.  Law............................................................................................. 86
       43.  Jurisdiction.................................................................................... 86

THE FIRST SCHEDULE
       The Banks and their Commitments...................................................................... 87

THE SECOND SCHEDULE
       Form of Transfer Certificate......................................................................... 88

THE THIRD SCHEDULE
       Conditions Precedent................................................................................. 91

THE FOURTH SCHEDULE
       Notice of Drawdown of Advances....................................................................... 96

THE FIFTH SCHEDULE
       Group Structure Chart................................................................................ 97
</TABLE>
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<TABLE>
<S>                                                                                                          <C>
THE SIXTH SCHEDULE
       Existing Indebtedness................................................................................ 98

THE SEVENTH SCHEDULE
       Material Intellectual Property....................................................................... 99
</TABLE>
<PAGE>

THIS AGREEMENT is made the 20 day of February 1998

BETWEEN

(1)  IFCO INTERNATIONAL FOOD CONTAINER ORGANISATION GmbH as borrower (the
     "Borrower");

(2)  IFCO EUROPE BETEILIGUNGS-GmbH ("IFCO Europe");

(3)  BARCLAYS CAPITAL as Arranger of the Facility (the "Arranger");

(4)  BHF BANK AKTIENGESELLSCHAFT as security trustee for the Beneficiaries (the
     "Security Trustee");

(5)  BARCLAYS BANK PLC as agent for the Banks (the "Agent"); and

(6)  THE FINANCIAL INSTITUTIONS named in the First Schedule (the "Banks").

NOW IT IS HEREBY AGREED as follows:

                                    Part 1

                                INTERPRETATION

1.   Interpretation

1.1  In this Agreement:

"Accountant's Report" means the report of C&L Deutsche Revision dated 10 October
1997 with a reliance letter in favour of the Security Trustee as security
trustee for the Beneficiaries from time to time;

"Accounting Principles" means accounting principles generally accepted in the
Relevant Jurisdiction in effect from time to time and consistently applied
Provided that, in respect of any consolidated financial statements of the Group,
"Accounting Principles" means accounting principles generally accepted in
Germany from time to time and consistently applied;

"Accounting Reference Period" means, in respect of any Group Entity, the
financial year or other period in respect of which the audited accounts of such
Group Entity are drawn up;

"Adjusted EBITDA" shall have the meaning ascribed to it in Clause 21.5;

"Advance" means, save as otherwise provided herein, the advance made or to be
made by the Banks hereunder;

"Apollo" means Apollo Verwaltungsgesellschaft mbH & Co.;

"Auditors" means any of Coopers & Lybrand, Price Waterhouse, Arthur Andersen,
KPMG, Ernst &
<PAGE>

Young or such other firm of auditors of international repute approved in writing
by the Agent (such approval not to be unreasonably withheld or delayed) and
being the auditors for the time being of all Group Entities;

"Authorised Signatory" in relation to either the Borrower or IFCO Europe and any
communication to be made, or any document to be executed or certified, by it,
means, at any time, any person:

       (i)   who is duly authorised at such time, in such manner as may be
             reasonably acceptable to the Agent, to make such communication, or
             to execute or certify such document on its behalf; and

       (ii)  in respect of whom the Agent has received a certificate signed by a
             director or other authorised officer of it, or by another of its
             Authorised Signatories, setting out the name and, where such person
             is authorised to execute or certify documents, signature of such
             person and confirming such person's authority to act as aforesaid;

"Available Commitment" means, in relation to a Bank at any time and save as
otherwise provided herein, such Bank's Commitment at such time less the
aggregate of its portion of the Loan at such time;

"Available Facility" means, at any time, the aggregate amount of the Available
Commitments of the Banks at such time;

"Bardusch" means Helmut Bardusch GmbH & Co;

"Bardusch Loan" means a loan from Bardusch to the Borrower dated 30 September
1997 in an amount of DM3,438,028.60 ;

"Beneficiaries" means the Agent, the Arranger, the Banks, each Hedge
Counterparty and the Security Trustee, and "Beneficiary" means any of them;

"Budget" means the consolidated budget of the Group for a financial year
delivered by the Borrower to the Agent pursuant to Clause 20.2;

"Business" means the business carried on by the Group at the date hereof;

"Business Plan" means the medium term profit and loss forecast for the Group
provided to the Banks in relation to the proposed Facility and the financial
model initialled by the Agent and the Borrower and designated by the Agent and
the Borrower as "the Business Plan";

"Capital Expenditure" shall have the meaning ascribed thereto in Clause 21.5;

"Cash Flow" shall have the meaning ascribed thereto in Clause 21.5;

"Commitment" means, in relation to any Bank at any time and save as otherwise
provided herein, the amount set opposite its name under the heading "Commitment"
in the First Schedule;

"Confidentiality Undertaking" means a confidentiality undertaking substantially
in the standard form
<PAGE>

from time to time of the LMA or in such other form as may be agreed between the
Borrower and the Agent;

"Contribution Contract" means the contribution contract dated 4 November/5
November 1997 between Schoeller Packaging Systems GmbH and IFCO Europe as set
out in the Seventh Schedule to the Investment Agreement;

"Current Assets" shall have the meaning ascribed thereto in Clause 21.5;

"Dangerous Substance" means any radioactive emissions and any solid, liquid or
gaseous matter which is dangerous or toxic to living things or which damages the
environment;

"Disclosure Letter" means the letter from the Borrower to the Agent dated the
date hereof in the agreed form;

"Drawdown Date" means, in relation to any Advance, the proposed date for the
making of such Advance;

"Duly Authorised Officer" means, in relation to any certification to be given by
or on behalf of either the Borrower or IFCO Europe, its Authorised Signatory
whose office and identity has been notified to the Agent where the Agent is
reasonably satisfied that such person is the appropriate person to give such
certification;

"EBITA" shall have the meaning ascribed thereto in Clause 21.5;

"EBITDA" shall have the meaning ascribed thereto in Clause 21.5;

"Encumbrance" includes any mortgage, charge, pledge, lien, hypothecation or
other encumbrance securing any obligation of any person or any other type of
preferential arrangement (including, without limitation, title transfer and
retention arrangements (other than those entered into in the ordinary course of
trading and liens and retention of title rights created by operation of law or
standard business terms), sale and leaseback, sale and purchase or deferred
purchase arrangements and the discounting or factoring of receivables on
recourse terms) having a similar effect or any other arrangement having
substantially the same economic effect as any of the foregoing;

"Environmental Approvals" means any permit, approval, identification number,
consent, licence or other authorisation required under any applicable
Environmental Laws;

"Environmental Claims" means any and all actions, suits, demands, demand
letters, claims, notices, investigations, proceedings, consent orders or consent
agreements relating in any way to any Environmental Law or any Environmental
Approval (hereafter "Claims"), including without limitation (a) any and all
Claims by governmental or regulatory authorities for enforcement, clean-up,
removal, response, remedial or other actions or damages pursuant to any
applicable Environmental Law and (b) any and all Claims by any third party
seeking damages, contribution, indemnification, cost recovery, compensation or
injunctive relief arising from alleged injury or threat to health, safety or the
environment;

"Environmental Laws" means all laws and regulations compliance with which is
mandatory for any
<PAGE>

Group Entity in any jurisdiction, relating to waste or contamination or
pollution of air, water (including ground water and underground water) or soil;

"Environmental Report" means the report of Environmental Resources Management
dated September 1997 with a reliance letter in favour of the Agent as agent for
the Beneficiaries from time to time;

"Event of Default" means any of those events specified in Clause 23.1;

"Excess Cash Flow" means, in respect of any Accounting Reference Period of the
Group ending on and after 31 December 1998, EBITDA for such Accounting Reference
Period adjusted as follows:

       (i)    deducting taxes paid during the relevant Accounting Reference
              Period;

       (ii)   deducting increases (or adding decreases) in Working Capital over
              the relevant Accounting Reference Period;

       (iii)  deducting Capital Expenditure;

       (iv)   deducting Total Debt Service;

       (v)    deducting the actual cash effect of extraordinary charges and
              adding the actual cash effect of extraordinary income under the
              Accounting Principles during the relevant Account Reference
              Period;

       (vi)   deducting the actual cash effect of currency losses and adding the
              actual cash effect of currency gains during the relevant
              Accounting Reference Period;

       (vii)  adding the actual cash effect of disposals (deducting any profit
              element and/or adding any loss made on) of any asset made during
              the relevant Accounting Reference Period permitted hereunder;

       (viii) plus any net increase or minus any net decrease in the capital
              element of any Permitted External Leasing entered into during such
              Accounting Reference Period;

       (ix)   less the sum of (a) DM5,000,000 after deducting (b) the amount of
              any taxes which are payable by any member of the Group in respect
              of the Investment and in respect of any potential tax liabilities
              identified in the Tax Report and which are not indemnified by SPS
              pursuant to the Investment Agreement,

       (without any double counting) each as determined by reference to the
       relevant audited consolidated financial statements of the Group delivered
       pursuant to the provisions of Clause 20.1;

"Existing Crates" means crates which are in existence at the date hereof and
which are the subject of the Leasing Facilities or which are manufactured after
the date hereof but for the sole purpose of replacing broken crates which are in
existence at the date hereof and which are the subject of Leasing Facilities and
which are otherwise dealt with in accordance with the terms of the Facility
Documents;
<PAGE>

"Existing Indebtedness" means the Pool Indebtedness, the SPS Shareholder Loan,
the Bardusch Loan, the Hanover Finanz Loan, the Schroder Loan and the
indebtedness under the Leasing Facilities;

"External Finance Lease" means any Finance Lease where the lessor is not a
member of the Group;

"Facility" means the term loan facility granted by the Banks to the Borrower
pursuant to Clause 2;

"Facility Documents" means this Agreement, the Intercreditor Agreement, the
Senior Subordinated Security Documents, the Security Trust Agreement, the
Hedging Agreements, the fee letters referred to in Clauses 29.1 and 29.2, any
documents evidencing the terms of any other agreement or document that may be
entered into or executed pursuant to or in connection with any of the foregoing
by the Borrower or IFCO Europe or any of them or entered into by any person
creating or evidencing security for the obligations of the Borrower hereunder
whether by way of personal covenant, charge, security interest, mortgage,
pledge, or otherwise or regulating the priorities of such security, and any
other agreement or document designated in writing as a "Facility Document" by
the Borrower and the Agent;

"Facility Office" means, in relation to the Agent or any Bank, the office
identified with its signature below (or, in the case of a Transferee, at the end
of the Transfer Certificate to which it is a party as Transferee) or such other
office as it may from time to time select;

"FIBOR" means, in relation to any Advance or unpaid sum and any specified
period, the rate per annum determined by the Agent to be equal to either:

(i)  the offered rate appearing on the relevant page (being currently page
     "22000") of the Telerate screen which displays interest rates for the
     currency in which such Advance or unpaid sum is denominated (or, if such
     page or such service shall cease to be available, such other page or such
     other service (as the case may be) for the purpose of displaying interest
     rates for such currency as the Agent, after consultation with the Banks and
     the Borrower, shall select) and for such specified period at or about 11.00
     a.m. on the Quotation Date for such specified period; or

(ii) if the Agent is unable to access the Telerate Screen or if no such display
     rate is then available for such currency or such specified period and, at
     such time, the Agent has not selected any alternative service as
     contemplated in (i) above, the arithmetic mean (rounded upwards, if
     necessary, to four decimal places) of the rates (as notified to the Agent)
     at which each of the Reference Banks was offering to prime banks in the
     Frankfurt Interbank Market deposits in the currency in which such Advance
     or unpaid sum is denominated and for such specified period at or about
     11.00 a.m. on the Quotation Date for such specified period,

and, for the purposes of this definition, "specified period" means the Interest
Period for such Advance or, as the case may be, the relevant period in respect
of which FIBOR falls to be determined in relation to such unpaid sum;

"Final Maturity Date" means 30 September 2005 provided that if such day is not a
business day the Final Maturity Date shall be the immediately preceding business
day;

"Finance Lease" means a contract between a lessor and a lessee for lease or hire
of a specific asset in
<PAGE>

respect of the financing of crates and/or plant and equipment;

"Financial Indebtedness" means in relation to any Group Entity at any time any
indebtedness incurred in respect of:

     (i)     the principal amount, and the capitalised element (if any), of
             money borrowed or raised and debit balances at banks and premiums
             if any and capitalised interest in respect thereof;

     (ii)    the principal and premiums (if any) and capitalised interest in
             respect of any debenture, bond, note, loan stock or similar
             instrument;

     (iii)   liabilities (including pursuant to counter-indemnities and
             reimbursement obligations) in respect of any letter of credit,
             standby letter of credit securing Financial Indebtedness arising
             under this definition, acceptance credit, bill discounting or note
             purchase facility and any receivables purchase, factoring or
             discounting arrangements (to the extent that such arrangement is
             with recourse to any Group Entity);

     (iv)    the capital value of any Finance Lease;

     (v)     the deferred purchase price of assets or services (except any such
             arrangement entered into in the ordinary course of trading and
             having a term not exceeding 180 days from the date on which the
             liability was originally incurred);

     (vi)    liabilities in respect of any foreign exchange agreement (other
             than foreign exchange agreements for spot delivery), currency or
             interest purchase or swap or other derivative transactions or
             similar arrangements (and the amount of the Financial Indebtedness
             in relation to any such transaction shall be calculated by
             reference to the mark-to-market valuation of such transaction at
             the relevant time);

     (vii)   all obligations to purchase, redeem, retire, defease or otherwise
             acquire for value any share capital of any person or any warrants,
             rights or options to acquire such share capital in respect of
             transactions which have the commercial effect of borrowing or which
             otherwise finance its or the Group's operations or capital
             requirements;

     (viii)  any other transactions having the commercial effect of borrowing
             entered into by such Group Entity; and

     (ix)    all Financial Indebtedness of other persons of the kinds referred
             to in paragraphs (i) to (viii) above guaranteed or indemnified
             directly or indirectly in any manner by such Group Entity, or
             having the commercial effect of being guaranteed or indemnified
             directly or indirectly by such Group Entity;

"Financial Quarter" shall have the meaning ascribed thereto in Clause 21.5;

"Financial Statements" shall be deemed to be a reference to the most recent
audited consolidated financial statements of the Group delivered pursuant to
paragraph (i) of Clause 20.1;
<PAGE>

"First Repayment Date" means 31 March 2005 provided that if such day is not a
business day the First Repayment Date shall be the immediately preceding
business day;

"Flotation" means the listing of any shares on any stock exchange or the grant
of permission to deal in any such shares on any recognised exchange;

"GBL" means GISO Verwaltungsgesellschaft mbH & Co. Behalterleasing KG;

"GE" means General Electric Erste Beteiligungs GmbH, a wholly owned subsidiary
of General Electric Capital Corporation;

"Group" means the Borrower and its subsidiaries from time to time;

"Group Entity" means any member of the Group;

"Growth Capital Expenditure" shall have the meaning ascribed thereto in Clause
28.5;

"Hannover Finanz Loan" means a loan from Hannover Finanz to the Borrower dated 7
November 1995 in an amount of DM5,000,000;

"Hedge Counterparty" means any Bank which is a party to an outstanding Hedging
Agreement with the Borrower from time to time;

"Hedging Agreements" means any agreements entered into from time to time by the
Borrower with a Bank in relation to Permitted Treasury Transactions entered into
as described in the Hedging Strategy Letter;

"Hedging Strategy Letter" means the letter addressed to the Agent from the
Borrower setting out the approved and agreed hedging strategy in agreed terms
(to include interest rate hedging as well as foreign exchange rate hedging);

"Information Memorandum" means the document concerning the Group and the
Investment dated October 1997 prepared by the Borrower in relation to this
transaction as the same may be updated from time to time with the agreement of
the Borrower and further circulated to certain banks or financial institutions
after the date hereof;

"Insurance Report" means the report regarding the insurances of each Group
Entity prepared by Burmester, Duncker & Joly, insurance brokers to the Borrower
and addressed to the Agent on behalf of the Beneficiaries dated 14 January 1998
(as the same may be updated on or about the date hereof);

"Instructing Group" means:

     (a)  whilst no Advances are outstanding hereunder, a Bank or group of Banks
          whose aggregate Commitments, calculated on the date on which the Agent
          seeks instructions from the Banks, amount (or, if each Bank's
          Commitment has been reduced to zero, did immediately before such
          reduction to zero, amount) in aggregate to more than sixty six and two
          thirds per cent. (66%) of the aggregate of the Total Commitments;
<PAGE>

     (b)  whilst at least one Advance is outstanding hereunder, a Bank or group
          of Banks to whom in aggregate more than sixty six and two thirds per
          cent. (66%) of the Loan is owed;

"Intellectual Property" means the Material Intellectual Property interests
together with any renewals or redesignations thereof and all other material
intellectual property now or in the future owned by any member of the Group;

"Intercreditor Agreement" means the intercreditor agreement entered into on or
before the date on which the first Advance is made hereunder between, inter alia
the Agent, the Security Trustee, the Hedge Counterparties, the Banks, the Senior
Agent and the Senior Lenders;

"Interest Period" means any of the periods determined pursuant to Clauses 7.1 to
7.4 (inclusive);

"Investment" means the investment of DM45,000,000 by way of equity in IFCO
Europe by GE in accordance with the Investment Agreement and the Contribution
Contract;

"Investa" means Investa Projektentwicklungs-und Verwaltungs GmbH;

"Investment Agreement" means the investment agreement (including all schedules
thereto) dated 21/22 August 1997 and amended by amendment agreements dated 15
October 1997 and 4/5 November 1997 between Christoph Schoeller, Schoeller
Packaging Systems GmbH, Andrea Schoeller, Martin Alexander Schoeller, Schoeller
KG, Schoeller Plast Industries GmbH, General Electric Erste Beteiligungs GmbH
and GE Capital Corporation;

"IT Schedule" means a schedule setting out the planned timetable for the
installation of an information technology system within the Group;

"Leasing Facilities" means the leasing facilities provided pursuant to
agreements dated 1 October 1995, 5 November 1996, 17 December 1996, 8 August
1997 and 30 September 1997 relating to a maximum aggregate amount of 4,980,770
crates between the Borrower and Bardusch and the leasing facility provided
pursuant to an agreement dated 1 October 1994 between Investa and the Borrower
relating to a maximum amount of 1,005,369 crates;

"Legal Due Diligence Report" means the legal due diligence report in relation to
the Investment prepared by Feddersen Laule Scherzberg & Ohle Hansen Ewerwahn
dated 17 October 1997 addressed to or with a reliance letter in favour of the
Agent for and on behalf of the Beneficiaries from time to time;

"Legal Opinions" means the opinions in the agreed form referred to in part F of
the Third Schedule and delivered on or before the date on which the first
Advance is made hereunder;

"Liabilities" shall have the meaning ascribed thereto in Clause 21.5;

"LMA" means the Loan Market Association;

"Loan" means the aggregate amount of the Advances for the time being outstanding
under the Facility;
<PAGE>

"Margin" means two point seven five per cent. (2.75%) per annum;

"Market Report" means the report of LEK dated 5 September 1997 with a reliance
letter in favour of the Agent as agent for the Beneficiaries from time to time;

"Material Adverse Effect" shall mean a material adverse effect on the business,
operations, liabilities, assets or condition (financial or otherwise) of any
Material Group Entity or on the ability of either of the Borrower or IFCO Europe
to perform its obligations under any of the Facility Documents;

"Material Group Entity" means the Borrower, IFCO Europe, GBL or any Group
Entity:

     (a)  having (when consolidated with the earnings before interest and tax or
          turnover or gross assets of its subsidiaries) more than five per cent.
          (5%) of the earnings before interest and tax or turnover or gross
          assets of the Group all as determined by reference to the most latest
          audited consolidated accounts of such Group Entity and the Group
          Provided that:

          (1)  in the case of a Group Entity acquired after the end of the
               financial period to which the latest relevant audited accounts
               relate, the reference to the latest audited accounts for the
               purposes of the calculation above shall, until audited accounts
               for the financial period in which the acquisition is made are
               published, be deemed to be a reference to such first-mentioned
               accounts as if such subsidiary had been shown in such accounts by
               reference to its own latest audited accounts, adjusted as deemed
               appropriate by the Auditors; and

          (2)  if, in the case of any subsidiary which itself has subsidiaries,
               no consolidated accounts are prepared and audited, its earnings
               before interest and tax or, as the case may be, gross assets
               shall be determined on the basis of pro forma consolidated
               accounts of the relevant subsidiary and its subsidiaries prepared
               for this purpose by the Auditors or the auditors for the time
               being of the relevant subsidiary; or

     (b)  not falling within paragraph (a) above but which, as a result of any
          intra-group transfer or re-organisation would, adopting either test
          referred to in paragraph (a) above and as if the accounts referred to
          in such paragraph had been drawn up immediately following such
          transfer or reorganisation, be a Material Group Entity Provided that
          such subsidiary shall only become a Material Group Entity upon the
          completion of such transfer or reorganisation,

and a report by the Auditors that in their opinion a subsidiary is or is not, or
was or was not, at any particular time or during any particular period a
Material Group Entity shall, in the absence of manifest error, be conclusive and
binding on all parties hereto;

"Material Intellectual Property" means the intellectual property specified in
the Ninth Schedule and any other Intellectual Property which is material to the
Group's business;
<PAGE>

"Material Leasing Agreements" means each of the Leasing Facilities and the
leasing agreements between the Borrower and GBL dated 1 January 1995, 31
December 1995, 31 October 1996, 1 January 1997, 1 July 1997 and 1 October 1997,
for an aggregate amount of 41,166,662 crates and any other leasing agreement or
contract entered into by the Borrower or any other Group Entity where the
duration of such agreement or contract is in excess of twelve months and the
capital amount of such leasing facility is in excess of DM1,000,000;

"MTS" means MTS Okologistik Verwaltungs GmbH;

"Net Disposal Proceeds" means the gross total proceeds of disposals, leases or
transfers of the right to receive any revenues or of any assets (including
marketable securities) of any Group Entity (other than disposals which
constitute Permitted Leasing or Permitted Factoring) which (when aggregated with
the proceeds of all other such disposals, leases or transfers by Group Entities)
exceed DM1,500,000 (or its equivalent) in any financial year of the Group less:

     (i)     out of pocket expenses properly incurred;

     (ii)    sales of stock and other disposals in the ordinary course of
             business;

     (iii)   the unpaid principal balance on the date of such disposal, lease or
             transfer of any Permitted Indebtedness secured by a Permitted
             Encumbrance on the asset disposed of, leased or transferred which
             must be repaid by the seller on such disposal (together with any
             premiums, interests or fees required to be paid in connection
             therewith);

     (iv)    any sale taxes paid or payable by the seller due to such sale; and

     (v)     any income, capital gains or other taxes incurred and required to
             be paid by the seller in connection with such disposal, lease or
             transfer as reasonably determined in good faith by the seller on
             the basis of the existing average tax rates applicable to the gain
             (if any) and after taking into account all available credits,
             deductions and allowances;

"Net Worth" shall have the meaning ascribed thereto in Clause 21.5;

"New Crates" means any crates not owned by any member of the Group at the date
hereof and which have not been used by the Borrower or any other member of the
Group for trading purposes;

"Non-Group Entity" means any person which is not a member of the Group;

"Notice of Drawdown" means a duly completed notice substantially in the form set
out in the Fourth Schedule;

"Original Financial Statements" means the audited consolidated financial
statements of the Group for its financial year ending 31 December 1996;
<PAGE>

"Patent" means the Patent relating to a plastic container, especially a
vegetable container with hinged sides (registered at the European Patent Office
under number EP93902215) and with the World Intellectual Property Organisation
under number PLT/EP93/00091;

"Permitted Crate Disposals" means any disposal of New Crates made for the
purposes of sale and leaseback arrangements forming part of any Permitted
Leasing transaction;

"Permitted Disposals" means in any financial year disposals of assets not being
Material Intellectual Property which are:

     (i)     disposals by a Group Entity in its ordinary course of trade;

     (ii)    disposals of assets and/or revenues for cash by a Group Entity
             where the value of the aggregate net consideration received in
             respect of all such disposals by Group Entities does not exceed
             DM2,500,000 or its equivalent in any one financial year; or

     (iii)   disposals which are Permitted Transactions, Permitted Crate
             Disposals or made pursuant to Permitted Factoring;

"Permitted Encumbrances" means:

     (i)     Encumbrances arising hereunder or under any of the Senior
             Subordinated Security Documents or Senior Security Documents;

     (ii)    any Encumbrance which the Agent, acting on the instructions of an
             Instructing Group, has at any time in writing agreed shall be a
             Permitted Encumbrance, provided that the amount secured thereby is
             not increased in amount or extended in terms of repayment date;

     (iii)   up to the date falling six months after the date hereof only, any
             Encumbrance securing up to a maximum of 3,300,000 Existing Crates
             created pursuant to the agreement dated 4 July/12 July 1996 between
             the Borrower and Rewe-Zentral AG, Koln, Cologne;

     (iv)    liens arising by operation of law in the ordinary course of
             business and not by reason of default and liens and retention
             rights created pursuant to standard business terms (and not by
             reason of default);

     (v)     any Encumbrance created in relation to the netting of Group bank
             account balances;

     (vi)    any retention of title to goods supplied to the relevant Group
             Entity where such retention is agreed in the ordinary course of its
             trading activities;

     (vii)   any Encumbrance constituted by a Finance Lease, hire purchase or
             conditional sale agreement, where the Financial Indebtedness
             arising under such arrangement constitutes Permitted Indebtedness;
             or
<PAGE>

     (viii)  any Encumbrance arising under condition 14 of the general business
             conditions of German banks with whom any Group Entity maintains a
             banking relationship in the ordinary course of business;

"Permitted Expenditure" means, in respect of any financial year of the Group,
(i) capital expenditure made in accordance with the Business Plan; (ii) capital
expenditure financed by way of lease financing falling within paragraph (vi) of
the definition of Permitted Indebtedness (to the extent not already included in
(i) above) and (iii) other capital expenditure in a maximum aggregate amount
equal to 50% of the Excess Cash Flow for the previous financial year (or its
equivalent) (or such greater figure as may be agreed to in writing by an
Instructing Group);

"Permitted External Leasing" means any leasing of crates under External Finance
Leases where the aggregate Financial Indebtedness created thereunder falls
within the provisions of sub-paragraph (vi) of the definition of Permitted
Indebtedness and where the number of Existing Crates leased thereunder does not
exceed (when aggregated with the number of Existing Crates leased under all such
other leasing transactions) 6,000,000;

"Permitted Factoring" means the non-recourse factoring arrangements between the
Borrower and DG Diskontbank GmbH as the same are in existence at the date hereof
or any other factoring arrangement made by the Borrower with any Bank provided
that the aggregate amount permitted to be outstanding at any relevant time under
all such factoring arrangements does not exceed DM80,000,000 or its equivalent
and in respect of which the Borrower has granted an assignment (in form and
substance satisfactory to the Agent) to the Security Trustee of all of the
Borrower's rights under such factoring agreement;

"Permitted Indebtedness" means:

     (i)     any Financial Indebtedness arising under the Facility Documents;

     (ii)    any Financial Indebtedness arising in respect of Senior Debt;

     (iii)   any Financial Indebtedness arising under Permitted Treasury
             Transactions;

     (iv)    any Financial Indebtedness arising in respect of Permitted
             Factoring;

     (v)     any Financial Indebtedness supported by a guarantee issued pursuant
             to the Senior Facility Agreement by the Fronting Bank (as defined
             in the Senior Facility Agreement) or by the Senior Agent on behalf
             of the Senior Lenders (or any of them);

     (vi)    any Financial Indebtedness arising under or in respect of any
             External Finance Lease where the amount of such Financial
             Indebtedness when aggregated with the Financial Indebtedness under
             or in respect of any other External Finance Lease does not exceed
             (subject to the provisions of Clause 18.2), (a) at any time on or
             before 1 January 1999, DM60,000,000 (or its equivalent) or (b) at
             any time after 1 January 1999, DM75,000,000 (or its equivalent);

     (vii)   any Financial Indebtedness arising under or pursuant to Permitted
             Internal Leasing;
<PAGE>

     (viii)  any Financial Indebtedness arising under any Permitted Loans; and

     (ix)    any Financial Indebtedness secured by a Permitted Encumbrance
             referred to in paragraph (ii) of the definition thereof;

"Permitted Internal Leasing" means any leasing of crates under a Finance Lease
where the Lessor is GBL and the Lessee thereunder is the Borrower and where the
terms of such leasing are substantially the same as the terms of the existing
leases between GBL and the Borrower referred to in the definition of Leasing
Facilities;

"Permitted Leasing" means Permitted External Leasing and Permitted Internal
Leasing;

"Permitted Loan" means:

     (i)     any loan made by the Borrower to GBL where the purpose of such loan
             is to facilitate Permitted Internal Leasing; and

     (ii)    any loan or other financial accommodation made by the Borrower to
             any of its employees provided that the amount of such loans to
             employees, when aggregated with the amount of loans made by other
             Group Entities to their employees, does not exceed DM500,000 (or
             its equivalent);

"Permitted Transactions" means the payment or declaration of any dividend,
return on capital, repayment of capital contributions or other distributions by
any Group Entity to the Borrower or to any other Group Entity for the purpose of
immediate distribution through other relevant Group Entities to the Borrower;

"Permitted Treasury Transactions" means the following Treasury Transactions:

     (i)     forward foreign exchange contracts for hedging currency exposures
             in the ordinary course of trade; and

     (ii)    transactions entered into in accordance with the Hedging Strategy
             Letter;

"Pool Indebtedness" means the indebtedness created pursuant to (i) agreements
dated 28 July 1995, 26 March/2 April 1997 and 24/30 June 1997 between the
Borrower and DG Bank Deutsche Genossenschaftsbank in an amount of DM32,000,000,
(ii) agreements dated 14 December 1995 and 14 March 1997 between the Borrower
and Deutsche Bank Aktiengesellschaft, Munich Branch in an amount of
DM24,500,000, (iii) an agreement dated 9 August 1995 between the Borrower and
Oldenburgische Landesbank in an amount of DM17,100,000 and (iv) an agreement
dated 20 December 1994 between the Borrower and Norddeutsche Hypotheken-und
Wechselbank AG in an amount of DM17,000,000;

"Potential Event of Default" means any event which would (but for the passage of
any period of time provided for in Clause 23.1, the giving of notice, the making
of any determination hereunder or any combination thereof) be an Event of
Default;
<PAGE>

"Proportion" means, in relation to a Bank at any time, the proportion borne, at
such time, by its Commitment to the Total Commitments (or, if all the Total
Commitments are then zero, by its Commitment to the Total Commitments
immediately prior to their reduction to zero);

"Qualifying Bank" means any bank or other financial institution in respect of
which the Borrower will not be obliged to make any withholding or deduction on
account of tax from payments of interest made to such bank under German law at
the date hereof (or, in the case of a Transferee, the date of the relevant
Transfer Certificate);

"Quarter Date" means each of 31 March, 30 June, 30 September and 31 December;

"Quotation Date" means, in relation to any period for which an interest rate is
to be determined hereunder, the day on which quotations would ordinarily be
given by prime banks in the Frankfurt Interbank Market for deposits in the
currency in relation to which such rate is to be determined for delivery on the
first day of that period  Provided that, if for any such period quotations would
ordinarily be given by prime banks in the Frankfurt Interbank Market for
deposits in such currency on more than one date, the Quotation Date for that
period shall be the last of those dates;

"Reference Banks" means the principal Frankfurt offices of Barclays Bank PLC or
such other bank or banks as may from time to time be agreed between the Borrower
and the Agent (acting on the instructions of an Instructing Group);

"Relevant Jurisdictions" means, in respect of any person, the jurisdiction of
the country in which such person is incorporated and, if different, where it is
resident or has its principal place of business, and each jurisdiction or state
in which it owns or leases property or otherwise conducts its business;

"Relevant Laws" means, in respect of any person, the laws of its Relevant
Jurisdictions;

"Relevant Period" shall, save as otherwise provided herein, have the meaning
ascribed thereto in Clause 21.5;

"Relevant Taxes" means, in relation to any payment which falls to be made by the
Borrower any present or future Taxes of any nature (other than Taxes imposed on
or measured by net income) now or hereafter imposed by the laws of (a) its
Relevant Jurisdictions, (b) any other jurisdiction from which, or through which,
such payment is made or any country to whose taxation laws the Borrower is at
the time of such payment subject, (c) any political sub-division of one or more
of its Relevant Jurisdictions or any other such jurisdictions or (d) any
federation or association of which one or more of its Relevant Jurisdictions or
any other such jurisdiction is or are, at the time of such payment, a member or
members;

"Repayment Date" means each of the First Repayment Date and the Final Maturity
Date;

"Replacement Capital Expenditure" shall have the meaning ascribed thereto in
Clause 21.5;

"Reports" means the Accountant's Report, the Legal Due Diligence Report, the
Environmental Report, the Tax Report, the Insurance Report and the Market
Report;

"Reservations" means the principle that equitable remedies are remedies which
may be granted or
<PAGE>

refused at the discretion of the court, the limitation of enforcement by laws
relating to bankruptcy, insolvency, liquidation, reorganisation, court schemes,
moratoria, administration and other laws generally affecting the rights of
creditors, the time barring of claims under any applicable limitation acts, the
possibility that a court may strike out provisions of a contract as being
invalid for reasons of oppression, undue influence or similar reasons and any
other reservations or qualifications of law (but not of fact) expressed in any
of the Legal Opinions;

"Rolling Basis" shall have the meaning ascribed thereto in Clause 21.5;

"Schroder Loan" means the loan from Schroder, Munchmeyer, Hengst & Co made
pursuant to an agreement dated 1/10 December 1993 to the Borrower in an amount
of DM1,000,000;

"Secured Obligations" in relation to any Senior Subordinated Security Document
has the meaning ascribed thereto in that Senior Subordinated Security Document;

"Security Trust Agreement" means the security trust agreement entered into on or
about the date hereof between, amongst others, the Borrower, the Beneficiaries,
the Security Trustee, the Agent, the Senior Agent and the Senior Lenders;

"Senior Agent" means the agent under the Senior Facility Agreement or any
refinancing thereof;

"Senior Debt" means at any time all amounts outstanding under the Senior
Facility Agreement at such time;

"Senior Facility" means the revolving and term loan facilities in an aggregate
amount of DM146,000,000 or any refinancing thereof made available to the
Borrower by the Senior Lenders;

"Senior Facility Agreement" means the agreement dated on or about the date
hereof pursuant to which the Senior Facility is made available to the Borrower
or any refinancing thereof;

"Senior Facility Documents" means the Senior Facility Agreement and any other
agreement or document that may be entered into or executed pursuant thereto or
in connection therewith or any refinancing thereof;

"Senior Interest Expense" shall have the meaning ascribed thereto in Clause
28.5;

"Senior Lenders" means each of the financial institutions party to the Senior
Facility Agreement as "Banks" and any bank becoming a party to the Senior
Facility Agreement pursuant to the provisions thereof or any lenders providing
the refinancing thereof;

"Senior Loan" means at any time the amount outstanding (whether actual or
contingent) in respect of principal under the Senior Facility Agreement at such
time;

"Senior Security Documents" has the meaning ascribed to that term in the Senior
Facility Agreement;

"Senior Subordinated Security Documents" means the documents, in the agreed
form, listed in paragraphs E1 and E2 of the Third Schedule together with any
other document entered into by any person creating or evidencing security for
all or any part of the obligations of the Borrower under any
<PAGE>

of the Facility Documents whether by way of personal covenant, charge, security
interest, mortgage, pledge or otherwise;

"SPI" means Schoeller Plast Industries GmbH;

"SPS" means Schoeller Packaging Systems Europe GmbH;

"SPS Shareholder Loan" means a loan from SPS to the Borrower made pursuant to an
agreement dated 21 November 1996 in an amount of DM37,500,000;

"Supply Agreement" means the supply agreement dated 4/5 November 1997 between
the Borrower and Schoeller Plast Industries GmbH together with the supplemental
agreements thereto dated 3 February 1998 and 11 February 1998 and any other
agreement which may, from time to time and with the approval of the Agent
(acting on the instructions of an Instructing Group) replace such agreement;

"Syndication" means the first transfer or assignment of rights, benefits and
obligations pursuant to Clause 34.1 by the Banks set out in the First Schedule;

"Tax Report" means the report of Arthur Andersen dated 18 September 1997
addressed to General Electric Capital Corporation entitled "Project Pineapple
Tax Due Diligence (Final Report)" together with confirmation that calculations
in relation to the VAT tax treatment are correctly integrated in the Business
Plan;

"Taxes" includes all present and future income and other taxes, levies,
assessments, imposts, deductions, charges, compulsory loans and withholdings
whatsoever together with interest thereon, additions to tax and penalties and
surcharges and fines with respect thereto, if any, and any payments made on or
in respect thereof and "Tax" and "Taxation" shall be construed accordingly;

"Termination Date" means 28 February 1998;

"Total Debt" shall have the meaning ascribed thereto in Clause 21.5;

"Total Commitments" means the aggregate for the time being of the Banks'
Commitments;

"Total Fixed Charges" shall have the meaning ascribed thereto in Clause 21.5;

"Total Interest Expense" shall have the meaning ascribed thereto in Clause 21.5;

"Transaction Costs" means all up-front fees, out-of-pocket costs and expenses,
stamp and registration Taxes or the equivalent in any jurisdiction incurred by
IFCO Europe or any Group Entity in connection with the Investment, the Facility,
the Senior Facility or the transactions entered into in accordance with the
Hedging Strategy Letter;

"Transfer Certificate" means a certificate substantially in the form set out in
the Second Schedule (with such amendments as may be approved by the Agent)
signed by a Bank and a Transferee whereby:

     (i)  such Bank seeks to transfer to such Transferee all or a part of such
          Bank's rights and
<PAGE>

          obligations under the Facility Documents upon and subject to the terms
          and conditions set out in Clause 34; and

     (ii) such Transferee undertakes to perform the obligations it will assume
          as a result of delivery of such certificate to the Agent as is
          contemplated in Clause 34.3;

"Transfer Date" means, in relation to any Transfer Certificate, the date for the
making of the transfer as specified in the schedule to such Transfer
Certificate;

"Transferee" means a person to which a Bank seeks to assign all or part of such
Bank's rights and by which all or part of such Bank's obligations hereunder are
assumed;

"Treasury Transaction" means any currency or interest purchase, cap or collar
agreement, forward rate agreements, interest rate or currency future or option
contract, foreign exchange or currency purchase or sale agreement and any
similar agreement, interest rate swap, currency swap or combined interest rate
and currency swap agreement and any other similar agreement entered into prior
to, on or after the date hereof by any Group Entity; and

"Working Capital" shall have the meaning ascribed thereto in Clause 21.5.

1.2  Any reference in this Agreement to:

"acting together in concert" means persons who pursuant to an agreement or
understanding (whether formal or informal) actively co-operate together with a
view to achieving a common objective or to control another body corporate;

"affiliate" of any person shall be construed as a reference to the ultimate
holding company of that person or an entity of which that person or its ultimate
holding company (a) has direct or indirect control or (b) owns directly or
indirectly more than fifty per cent. (50%) of the share capital or similar
rights of ownership;

the "Agent", the "Arranger", a "Beneficiary", the "Security Trustee", the
"Borrower", "IFCO Europe" or any "Bank" shall be construed so as to include its
and any subsequent successors, permitted Transferees and assigns in accordance
with their respective interests (and, for the avoidance of doubt, defining any
person as a "Bank" does not imply that such person is a bank for regulatory
purposes);

a document in "agreed form" or on "agreed terms" is if it is initialled for the
purposes of identification as such by or on behalf of the Borrower and the
Agent;

on "arm's-length terms" means on terms that are fair and reasonable to the
relevant Group Entity and no more or less favourable to the relevant person
(being the other party to the relevant transaction) than could reasonably be
expected to be obtained in a comparable arm's length transaction with a person
which is not an affiliate of the relevant Group Entity;

the "assets" of any person shall be construed as a reference to the whole or any
part of its business, undertakings, property, intellectual property, shares,
securities, debts, accounts, revenues (including any right to receive revenues),
goodwill, shareholdings and uncalled capital including premium
<PAGE>

whether now or hereafter acquired and any other assets whatsoever;

"Barclays Capital" shall be construed as a reference to Barclays Capital Group,
the investment banking division of Barclays Bank PLC;

a "business day" shall be construed as a reference to a day (other than a
Saturday or Sunday) on which banks are generally open for business in Frankfurt
and Munich;

a "Clause" shall, subject to any contrary indication, be construed as a
reference to a clause hereof;

"control" of a body corporate means:

     (i)  the power to:

          (a)  cast or control the casting of more than one-half of the maximum
               number of votes that might be cast at a general meeting of the
               body corporate; or

          (b)  appoint or remove all, or the majority, of the directors of the
               body corporate (and the relevant person or persons shall be
               deemed to have power to make such an appointment if:

               (1)  an individual cannot be appointed as a director of the body
                    corporate without the exercise by the relevant person or
                    persons of such power in the individual's favour; or

               (2)  an individual's appointment as a director of the body
                    corporate follows necessarily from the individual being a
                    director or other officer of any of the relevant person or
                    persons); or

          (c)  to give directions with respect to the operating and financial
               policies of the body corporate which the directors of the body
               corporate are obliged to comply with; or

     (ii) the holding of more than one-half of the issued share capital of the
          body corporate (excluding any part of that issued share capital that
          carries no right to participate beyond a specified amount in a
          distribution of either profits or capital);

"disposal" shall be construed as any sale, lease, transfer, conveyance,
assignment or other disposal (including, without limitation, any other
transaction or arrangement pursuant to which the economic or other commercial
benefit of the existing and/or remaining assets of the relevant person is lost
or materially diluted) and "dispose" shall be construed accordingly;

the "equivalent" on any given date in one currency (the "first currency") of an
amount denominated in another currency (the "second currency") is a reference to
the amount of the first currency which could be purchased with the amount of the
second currency at the rate of exchange quoted by the Agent at or about 11.00
a.m. Frankfurt time on such date (or such other time as may be appropriate) for
the purchase of the first currency with the second currency;
<PAGE>

a "holding company" of a legal person shall be construed as a reference to any
legal person of which the first-mentioned legal person is a subsidiary;

a "guarantee" means any guarantee, suretyship, bond, indemnity, letter of
credit, third party security or other legally binding assurance against
financial loss granted by one person in respect of any indebtedness of another
person, or any agreement to assume any indebtedness of any other person or to
supply funds or to invest in any manner whatsoever in such other person by
reason of or otherwise in relation to indebtedness of such other person;

"indebtedness" shall be construed so as to include any obligation (whether
incurred as principal or as surety) for the payment or repayment of money,
whether present or future, actual or contingent;

"legal person" shall be construed as a reference to any person having separate
legal personality under the jurisdiction of its incorporation or establishment;

"loans" shall be construed so as to include, without limitation, any transaction
or arrangement pursuant to which any Financial Indebtedness is or may be owed by
or to any Group Entity to or by any other person;

a "month" is a reference to a period starting on one day in a calendar month and
ending on the numerically corresponding day in the next calendar month save
that, where any such period would otherwise end on a day which is not a business
day, it shall end on the next business day, unless that day falls in the
calendar month succeeding that in which it would otherwise have ended, in which
case it shall end on the preceding business day Provided that, if a period
starts on the last business day in a calendar month or if there is no
numerically corresponding day in the month in which that period ends, that
period shall end on the last business day in that later month (and references to
"months" shall be construed accordingly);

a "Part" shall, subject to any contrary indication, be construed as a reference
to a part hereof;

a "person" shall be construed as a reference to any person, firm, company, body
corporate, corporation, government, state or agency of a state or any
association or partnership (whether or not having separate legal personality) of
two or more of the foregoing;

a "Schedule" shall, subject to any contrary indication, be construed as a
reference to a schedule hereto;

a "subsidiary" of a legal person shall be construed as a reference to any legal
person:

     (i)   which is controlled, directly or indirectly, by the first-mentioned
           legal person;

     (ii)  more than half the issued share capital (or equivalent right of
           ownership) of which is beneficially owned, directly or indirectly, by
           the first-mentioned legal person; or

     (iii) which is a subsidiary of another subsidiary of the first-mentioned
           legal person;

and, for these purposes, a legal person shall be treated as being controlled by
another if that other legal person is able to direct its affairs and/or to
control the composition of its board of directors or
<PAGE>

equivalent body;

"VAT" shall be construed as a reference to value added tax including any similar
tax which may be imposed in place thereof from time to time;

a "wholly-owned subsidiary" of a company or corporation shall be construed as a
reference to any company or corporation which has no other members except that
other company or corporation and that other company's or corporation's wholly-
owned subsidiaries or persons acting on behalf of that other company or
corporation or its wholly-owned subsidiaries; and

the "winding-up", "dissolution" or "administration" of a partnership, company or
corporation shall be construed so as to include any equivalent or analogous
proceedings under the law of the jurisdiction in which such company or
corporation or partnership is incorporated or any jurisdiction in which such
company or corporation carries on business including the seeking of liquidation,
winding-up, reorganisation, dissolution, administration, arrangement,
adjustment, protection or relief of debtors.

1.3  "DM" or "Deutsche Mark" denotes the lawful currency for the time being of
the Federal Republic of Germany (and, for the avoidance of doubt, such term
shall include, where appropriate and where such currency is the lawful currency
of the Federal Republic of Germany, the European Single Currency Unit (Euro)).

1.4  Save where the contrary is indicated:

     (i)   any reference in this Agreement to this Agreement, any other Facility
           Document or any other agreement or document shall be construed as a
           reference to this Agreement, such other Facility Document or, as the
           case may be, such other agreement or document as the same may have
           been, or may from time to time be, amended, varied, novated,
           supplemented or replaced;

     (ii)  any reference in this Agreement to a statute shall be construed as a
           reference to such statute as the same may have been, or may from time
           to time be, amended or re-enacted to the extent such amendment or re-
           enactment is substantially to the same effect as such statute on the
           date hereof;

     (iii) any reference in this Agreement to a time of day shall be construed
           as a reference to Frankfurt time.

1.5  Clause, Part and Schedule headings are for ease of reference only.

1.6  The general terms and conditions (Allgemeine Geschaftsbedingungen) of the
     Agent (as the same are in force from time to time) shall apply to this
     Agreement as if set out in full herein and as if any references to
     "customer" therein were a reference to the Borrower save that, where those
     terms and conditions conflict with the terms of this Agreement, the terms
     of this Agreement shall prevail  Provided that it is understood that,
     without limitation, Clause 19 of the Allgemeine Geschaftsbedingungen does
     not conflict with the terms of this Agreement.

1.7  This Agreement is subject to the terms of the Intercreditor Agreement and
     in any case where the terms of this Agreement and the terms of the
     Intercreditor Agreement conflict, the terms of the Intercreditor Agreement
     shall prevail.
<PAGE>

                                    Part 2

                                 THE FACILITY

2.   The Facility

The Banks grant to the Borrower, upon the terms and subject to the conditions
hereof, an amortising term loan facility in an amount of DM35,000,000 (the
"Facility").

3.   Purpose

3.1  The Facility is intended for the purpose of refinancing certain of the
Existing Indebtedness (not including any Leasing Facilities) and funding certain
of the costs of the Investment (the details and amounts of which have been
agreed with the Agent prior to making payment) and the Borrower shall apply
amounts drawn by it under the Facility accordingly.

3.2  Without prejudice to the obligations of the Borrower under this Clause 3,
none of the Beneficiaries shall be obliged to concern themselves with the
application of amounts raised by the Borrower hereunder.

4.   Conditions Precedent

Save as the Banks may otherwise agree, the Facility will not be available for
utilisation unless the Agent has received all of the documents and other
evidence listed in the Third Schedule (or the Agent has confirmed to the
Borrower in writing that it is satisfied that, subject only to the making of the
requested Advances, it will receive the same) in form and substance satisfactory
to the Agent and the Arranger.

5.   Nature of Banks' Rights and Obligations

5.1  The obligations of each Beneficiary under the Facility Documents are
several.

5.2  The failure by any Beneficiary to perform its obligations under the
Facility Documents shall not affect the obligations of the Borrower or IFCO
Europe towards any other party hereto or to any other Facility Document nor
shall any other party be liable for the failure by such Beneficiary to perform
its obligations under the Facility Documents.

5.3  The amounts outstanding at any time hereunder from the Borrower to any of
the other parties hereto shall be a separate and independent debt, and except as
otherwise stated herein each such party shall be entitled to protect and enforce
its individual rights arising out of the Facility Documents independently of any
other party, and it shall not be necessary for any party hereto to be joined as
an additional party in any proceedings for such purposes Provided that if any
Bank commences proceedings in respect of this Agreement it shall notify the
Agent as soon as practicable thereafter and the Agent shall notify the other
Banks accordingly.

5.4  No Bank shall be entitled to terminate its relationship with the Borrower
hereunder unless such termination is expressly permitted hereunder.

5.5  Where any Bank fails to perform its obligations hereunder, then such Bank
shall, at the request
<PAGE>

of the Borrower (and upon reasonable notice), transfer its participation
hereunder (at par value) to another bank or financial institution nominated by
the Borrower and acceptable to the Agent which is willing to participate in the
Facility Provided that such transfer is made in accordance with the terms hereof
(and in particular but without limitation, in accordance with the provisions of
Part 12 hereof).
<PAGE>

                                    Part 3

                          UTILISATION OF THE FACILITY

6.   Utilisation of the Facility

6.1  Save as otherwise provided herein, the Advance will be made by the Banks to
the Borrower, if:

     (i)   not later than 10.00 a.m. on the third business day (or such lesser
           period as the Agent may agree) before the proposed date for the
           making of the Advance, the Agent has received from the Borrower an
           irrevocable Notice of Drawdown therefor, receipt of which shall
           oblige the Borrower to borrow the amount therein requested in the
           currency (being Deutsche Mark) and on the date therein stated upon
           the terms and subject to the conditions contained herein;

     (ii)  the proposed date for the making of the Advance is a business day
           which is or precedes the Termination Date;

     (iii) none of the events described in Clause 9 have occurred in such a way
           that, in accordance with the provisions of that clause, would operate
           to prevent the Advance from being made;

     (iv)  the proposed amount of the Advance is equal to the amount of the
           Available Facility; and

     (v)   either:

           (a) no Event of Default or Potential Event of Default has occurred
               and is continuing and has not been waived or would result from
               the making of the Advances; and

           (b) the representations set out in Clause 19.1 are true on and as of
               the proposed date for the making of such Advance in all material
               respects,

           or each of the Banks agrees (notwithstanding any matter mentioned at
           (a) or (b) above) to participate in the making of the Advance.

6.2  Each Bank participating in the Facility will participate in the Advance
made pursuant to Clause 6.1 through its Facility Office in the proportion borne
by its Available Commitment to the Available Facility immediately prior to the
making of the Advance.

6.3  If a Bank's Available Commitment is reduced in accordance with the terms
hereof after the Agent has received a Notice of Drawdown then the amount of the
Advance shall be reduced accordingly.

6.4  Each Bank's Available Commitment shall be reduced to zero at the close of
business on the day on which the Advance is made.
<PAGE>

                                    Part 4

                                   INTEREST

7.   Interest Periods

7.1  The period for which an Advance is outstanding shall be divided into
successive periods each of which (other than the first) shall start on the last
day of the preceding such period.

7.2  The duration of each Interest Period shall, save as otherwise provided
herein, be one, three or six months (or such other period as the Borrower and
the Banks may agree), in each case as the Borrower may, by not less than three
business days' prior notice to the Agent, select (and the Agent shall promptly
notify the Banks participating in the Advance of the duration selected by the
Borrower) Provided that:

     (i)   if the Borrower fails to give such notice of its selection in
           relation to an Interest Period, the duration of that Interest Period
           shall, subject to (ii) and (iii) below, be three months;

     (ii)  any Interest Period which begins during or at the same time as any
           other Interest Period shall end at the same time as that other
           Interest Period; and

     (iii) any Interest Period in respect of the Advance which would otherwise
           end during the month preceding, or extend beyond, a Repayment Date
           shall be of such duration that it shall end on such Repayment Date.

7.3  The Borrower may, by not less than three business days' prior notice to the
Agent, direct that any Advance shall, at the beginning of any Interest Period
relating thereto, be divided into (and thereafter, save as otherwise provided
herein, treated in all respects as) two or more Advances having such amounts (in
aggregate, equalling the amount of the Advance being so divided) as shall be
specified by the Borrower in such notice  Provided that the Borrower shall not
be entitled to make such a direction if:

     (i)   as a result of so doing, there would be more than four outstanding
           Advances; or

     (ii)  any Advance thereby coming into existence would be in an amount of
           less than DM5,000,000

7.4  If following a direction under Clause 7.3 two or more Interest Periods in
respect of the Advance made to the Borrower end at the same time, then, on the
last day of those Interest Periods, the Advances to which such Interest Periods
relate shall be consolidated into (and thereafter, save as otherwise provided
herein, treated in all respect as) a single Advance.
<PAGE>

8.   Interest Rate and Payment

8.1  On the last day of each Interest Period relating to an Advance (and, if
such Interest Period is longer than six months, on the day falling six months
after the first day of such Interest Period and on the last day of each
successive period of six months during such Interest Period) the Borrower shall
pay accrued interest on such Advance.

8.2  The rate of interest on each Advance during each Interest Period relating
thereto shall be the rate per annum which is the sum of the Margin and FIBOR on
the Quotation Date therefor.

9.   Market Disruption

9.1  If, in relation to any Advance:

     (i)  the Agent determines that at or about 11.00 a.m. on the Quotation Date
          for an Interest Period in respect of such Advance FIBOR cannot be
          ascertained; or

     (ii) before the close of business in Frankfurt on the Quotation Date for an
          Interest Period in respect of such Advance, the Agent has been
          notified by a Bank or each of a group of Banks to whom in aggregate
          fifty per cent. or more of the Facility is (or, if an Advance were
          then made, would be) owed that the FIBOR rate does not accurately
          reflect the cost to it of obtaining such deposits in Deutschemark for
          the relevant period,

then, notwithstanding the provisions of Clauses 6, 7 and 8:

     (a)  the Agent shall promptly notify the Borrower and the Banks of such
          event; and

     (b)  where, in the opinion of the Agent, the events described in paragraph
          (i) or (ii) above have occurred pursuant to events in the banking
          market generally such that it is not feasible for such Advance to be
          made, the Advance shall not be made; and

     (c)  where paragraph (b) does not apply such Advance shall be made; and

     (d)  the rate of interest applicable to the Advances from time to time
          during the relevant Interest Periods shall be the rate per annum which
          is the sum of the Margin and the rate per annum determined by the
          Agent to be the weighted average (rounded to four decimal places) of
          the rates notified by each Bank to the Agent before the last day of
          such Interest Period to be those which express as a percentage rate
          per annum the cost to such Bank of funding from whatever sources it
          may select its portion of such Advance during such Interest Period;
          and

     (e)  if the Agent or the Borrower so requires, within five days of such
          notification the Agent and the Borrower shall enter into negotiations
          with a view to agreeing a substitute basis (1) for determining the
          rates of interest from time to time applicable to the Advances and/or
          (2) upon which the Advances may be made or maintained thereafter and
          any such substitute basis that is agreed shall take effect in
          accordance
<PAGE>

              with its terms and be binding on each party hereto.

9.2  Interest on an Advance during an Interest Period specified in Clause 9.1
shall be distributed by the Agent to the Banks in proportion to the amounts
which represent the cost to each Bank of funding its share of such Advance
during such Interest Period provided that any such interest which is
attributable to the Margin shall be distributed by the Agent to the Banks in
proportion to their respective participations in such Advance.
<PAGE>

                                    Part 5

                    REPAYMENT, PREPAYMENT AND CANCELLATION

10.  Repayment

10.1 The Borrower shall repay the Loan in two instalments by repaying on the
First Repayment Date, an amount of DM17,500,000 and by repaying on the Final
Maturity Date all amounts then outstanding in full.

11.  Prepayment

11.1 Subject to the terms of the Intercreditor Agreement, the Borrower may, if
it has given to the Agent not less than ten business days' prior written notice
to that effect, prepay the whole or any part of the Loan (being an amount such
that the Loan is reduced by at least DM1,000,000) on the last day of any
Interest Period relating thereto (or at any other time on payment of the
appropriate breakage costs and accrued interest in accordance with Clause 24.

11.2 The Borrower and IFCO Europe shall apply the following or procure that the
following are applied, within the time limits specified below, in repayment of
the Facility in the manner specified in Clause 11.4:

     (i)   within one month of delivery of the annual consolidated accounts
           under Clause 20.1 in each year, fifty per cent. (50%) of Excess Cash
           Flow of the Group for the financial year to which those consolidated
           accounts relate;

     (ii)  within fourteen business days of receipt, all Net Disposal Proceeds
           save to the extent that it is demonstrated to the reasonable
           satisfaction of the Agent that such Net Disposal Proceeds have been
           or will, within six months of their receipt be reinvested by the
           relevant member of the Group in assets within the Group which are of
           a similar nature to those which have been disposed of;

     (iii) within fourteen business days of receipt, the proceeds (net of costs
           and expenses associated with such claim together with transmission
           and foreign exchange costs and expenses) of any insurance claim
           received by any Group Entity, other than where such proceeds do not
           exceed DM1,000,000 (or its equivalent in any other currency) in
           aggregate or where such proceeds arise from claims under third party
           or public liability insurance policies and save to the extent that
           such proceeds are demonstrated to the reasonable satisfaction of the
           Agent to be paid to such Group Entity by way of reimbursement of such
           Group Entity for amounts applied by such Group Entity in respect of
           the damage or liability in relation to which such relevant insurance
           claim was made prior to receipt of such proceeds or to meet a
           liability in respect of which such monies were received or are,
           within a period of 12 months of receipt by the relevant Group Entity,
           demonstrated to the reasonable satisfaction of the Agent to be
           applied to the replacement and/or repair of the assets in respect of
           which the relevant insurance claim was made or to meet such
           liability;

     (iv)  within two business days of receipt, the net proceeds received by
           IFCO Europe or
<PAGE>

           any Group Entity as a result of any Flotation of its shares or any
           Flotation of the shares of any of its subsidiaries;

     (v)   within two business days of receipt, an amount equal to all amounts
           which are raised out of (a) any loans or other Financial Indebtedness
           (other than Permitted Loans and Permitted Indebtedness) raised by the
           Borrower or any other member of the Group and (b) the proceeds of any
           equity subscribed for in the Borrower save to the extent that
           proceeds of any capital increase need to be retained by the relevant
           company in order to comply with applicable companies law; and

     (vi)  within fourteen business days of receipt, an amount equal to all
           amounts paid by MTS to IFCO Europe by way of share dividends,

     provided that any requirement to make a prepayment hereunder shall be
     subject always to the terms of the Intercreditor Agreement.

11.3 Any amount prepaid pursuant to Clauses 11.2(iv) or 11.2(v) shall be
immediately applied by the Agent in accordance with Clause 11.4 and any other
amounts prepaid pursuant to Clause 11.2 shall, at the Borrower's option, either
be immediately applied by the Agent in accordance with Clause 11.4 (in which
case the Borrower shall also pay any amounts payable pursuant to Clause 24.4) or
shall be held by the Agent in an interest bearing account (which shall be
secured to the reasonable satisfaction of the Agent) and shall then be applied
by the Agent on the last day of the then relevant current Interest Periods in
accordance with the terms of Clause 11.4 and the Agent is authorised to purchase
with any amounts held by it hereunder, such other currencies as may be necessary
to enable it to make such applications.

11.4 Any amount prepaid pursuant to Clause 11.2 shall be applied against
outstandings under the Facility against instalments due on the remaining
Repayment Dates in inverse order of maturity.

11.5 If, at any time, any person other than the Borrower or IFCO Europe becomes
the owner of any shares in any member of the Group then the Agent may, by giving
five business days' notice, require the Facility to be prepaid in full and the
Borrower shall prepay the Loan in accordance with such notice.

11.6 Any prepayments shall be made together with accrued interest thereon and
all other amounts (including, without limitation, any amounts payable under
Clause 24.4) payable under this Agreement in relation to the amount prepaid
calculated up to the date of prepayment.

11.7 The Borrower shall not repay or prepay all or any part of the Loan except
at the times and in the manner expressly provided in this Agreement and shall
not be entitled to reborrow any such amount of the Loan repaid or prepaid.

11.8 Any notice of prepayment given by the Borrower pursuant to Clause 11.1
shall be irrevocable and shall specify the date upon which such prepayment is to
be made and the amount of such prepayment and shall oblige the Borrower to make
such prepayment on such date.

11.9 Nothing in this Clause 11 will permit any Group Entity to make any
disposal, sale, lease or transfer or undertake any other transaction not
otherwise permitted in accordance with the Facility
<PAGE>

Documents.

11.10 The rate of interest payable on any amounts held pursuant to Clause 11.3
pending application shall be the rate of interest then payable by the Agent to
its similar customers for deposits of similar amounts and duration.

12.   Intentionally left blank
<PAGE>

                                    Part 6

                           CHANGES IN CIRCUMSTANCES

13.  Taxes

13.1 All payments to be made by the Borrower to any person hereunder shall be
made free and clear of and without deduction for or on account of Tax except to
the extent that the Borrower is required to make such a payment subject to the
deduction or withholding of Tax.  If the Borrower is required to make any
payment to any person hereunder subject to any deduction or withholding on
account of any Relevant Tax then the sum payable by the Borrower in respect of
which such deduction or withholding is required to be made shall be increased to
the extent necessary to ensure that, after the making of the required deduction
or withholding, such person receives and retains (free from any liability in
respect of any such deduction or withholding) a net sum equal to the sum which
it would have received and so retained had no such deduction or withholding been
made or required to be made  Provided that the Borrower shall not be obliged to
increase any payment under this Clause 13.1 to any Bank not being or ceasing to
be a Qualifying Bank unless (i) the requirement to deduct or withhold would have
applied had such Bank been or continued to be a Qualifying Bank (in which case
the amount payable will not exceed the amount which would have been payable to a
Qualifying Bank) or (ii) such Bank is not or ceases to be a Qualifying Bank as a
result of a change of law or application of a double taxation treaty or
generally applied practice of the tax authorities in Germany required to make
such deduction or withholding.

13.2 Without prejudice to the provisions of Clause 13.1, if any person or the
Agent on its behalf is required to make any payment on account of Tax (not being
a tax imposed on the net income of its Facility Office by the jurisdiction in
which it is incorporated or in which its Facility Office is located) or
otherwise on or in relation to any sum received or receivable hereunder by such
person or the Agent on its behalf (including, without limitation, any sum
received or receivable under this Clause 13) or any liability in respect of any
such payment is asserted, imposed, levied or assessed against such person or the
Agent on its behalf, the Borrower shall, upon demand of the Agent, promptly
indemnify such person against such payment or liability, together with any
interest, penalties and expenses payable or incurred in connection therewith.

13.3 A Bank intending to make a claim pursuant to Clause 13.2 shall notify the
Agent of the event by reason of which it is entitled to do so, whereupon the
Agent shall notify the Borrower thereof showing reasonably detailed calculations
of such claim  Provided that nothing herein shall require such Bank to disclose
any confidential information relating to the organisation of its affairs.

13.4 Each Bank confirms that it is not its intention to require any support or
securities from any foreign shareholder of the Borrower or any related party of
any such shareholder (other than the Borrower itself and its affiliates) other
than where such support arises by operation of applicable law and confirms that,
to the best of its knowledge and belief as at the date hereof, it has not
required any such support or securities Provided that, if any such support or
securities are deemed to have been provided and this gives rise to a liability
for any member of the Group or any shareholder of any such member or any related
party, notwithstanding this expression of intention, no Bank shall be liable in
respect thereof and the Borrower agrees that it will not assert any claim
against any Bank in respect of any such liability.
<PAGE>

13.5 Each Bank confirms that, upon request from the Borrower, it will take such
steps as may be reasonable and practical in all the circumstances to support the
Borrower in providing evidence to the German tax authorities that no such
support or securities have been provided by any such foreign shareholders or
related parties, provided that no Bank shall be under any obligation to do
anything which would or might have an adverse effect upon its business,
operations or financial condition or the management of its Tax affairs and
provided further that nothing herein shall require any Bank to disclose any
confidential information relating to the organisation of its affairs.

14.  Tax Credits

14.1 If, following any increase in any sum payable under this Agreement under
Clause 13.1, any Beneficiary shall receive or be granted a credit against or
remission for any Tax payable by it, that Beneficiary shall, subject to the
Borrower having made any increased payment in accordance with Clause 30.1 and to
the extent that such Beneficiary can do so in its sole opinion without
prejudicing the retention of the amount of such credit or remission and without
prejudice to its right to obtain any other relief or allowance which may be
available to it and to conduct its own tax affairs as it thinks fit, reimburse
such amount as that Beneficiary shall in its absolute discretion certify to be
the proportion of such credit or remission as will leave that Beneficiary (after
such reimbursement) in no worse position than it would have been in had no
increase been required under Clause 30.1.

14.2 Nothing contained in this Agreement or any of the Facility Documents shall
oblige any Beneficiary to rearrange its tax affairs or to disclose any
information regarding its tax affairs and computations.

15.  Tax Receipts

15.1 If, at any time, the Borrower is required by law to make any deduction or
withholding from any sum payable by it hereunder (or if thereafter there is any
change in the rates at which or the manner in which such deductions or
withholdings are calculated), the Borrower shall promptly notify the Agent.

15.2 If the Borrower makes any payment hereunder in respect of which it is
required to make any deduction or withholding, it shall pay the full amount
required to be deducted or withheld to the relevant taxation or other authority
within the time allowed for such payment under applicable law and shall deliver
to the Agent for each Bank, within thirty days after it has made such payment to
the applicable authority, an original receipt (or a certified copy thereof)
issued by such authority evidencing the payment to such authority of all amounts
so required to be deducted or withheld in respect of that Bank's share of such
payment (or, if no such receipt is issued, evidence of such payment in form and
substance satisfactory to the Agent (acting reasonably)).

16.  Increased Costs

16.1 If, by reason of (i) any change in law after the date hereof or in its
interpretation or administration and/or (ii) compliance with any request from or
requirement of any central bank or other fiscal, monetary or other authority
after the date hereof (including, without limitation, a request or requirement
which affects the manner in which a Bank or any holding company of such Bank is
required to or does maintain capital resources having regard to such Bank's
obligations hereunder and to amounts owing to it hereunder) which, in either
case, affects banks such as the relevant Bank
<PAGE>

generally and with which it is customary for banks such as the relevant Bank to
comply:

     (a)  a Bank or any holding company of such Bank incurs a cost as a result
          of such Bank's having entered into and/or performing its obligations
          under the Facility Documents and/or assuming or maintaining a
          commitment under the Facility Documents and/or making one or more
          Advances hereunder;

     (b)  a Bank or any holding company of such Bank is unable to obtain the
          rate of return on its overall capital which it would have been able to
          obtain but for such Bank's having entered into and/or performing its
          obligations and/or assuming or maintaining a commitment under this
          Agreement;

     (c)  there is any increase in the cost to a Bank or any holding company of
          such Bank of funding or maintaining all or any of the Advances
          comprised in a class of Advances formed by or including the Advances
          made or to be made by such Bank hereunder; or

     (d)  a Bank or any holding company of such Bank becomes liable to make any
          payment on account of tax (not being a tax imposed on the net income
          of such Bank's Facility Office by the jurisdiction in which it is
          incorporated or in which its Facility Office is located) or otherwise
          on or calculated by reference to the amount of the Advances made or to
          be made by such Bank hereunder and/or to any sum received or
          receivable by it hereunder;

then the Borrower shall, from time to time on demand of the Agent, promptly pay
to the Agent for the account of that Bank amounts sufficient to indemnify that
Bank or any such holding company against, as the case may be, (1) such cost, (2)
such reduction in such rate of return (or such proportion of such reduction as
is, in the opinion of that Bank, attributable to its obligations hereunder), (3)
such increased cost (or such proportion of such increased cost as is, in the
opinion of that Bank, attributable to its funding or maintaining Advances
hereunder) or (4) such liability.

16.2 Clause 16.1 shall not apply so as to oblige the Borrower to compensate or
indemnify the Agent or any Bank for any cost, interest cost, liability or
reduction:

     (i)  resulting from the introduction of or any change in or in the
          interpretation or application by any relevant authority of, any law,
          regulation, directive or request relating to the deduction,
          withholding, payment or other imposition of any tax to which the
          provisions of Clause 13.1 and/or 13.2 apply; or

     (ii) resulting from any change, request or requirement relating to tax
          imposed on the overall net income of the Agent or any Bank by the
          jurisdiction in which it is incorporated or in which its Facility
          Office is located.

16.3 A Bank intending to make a claim pursuant to Clause 16.1 shall notify the
Agent of the event by reason of which it is entitled to do so, whereupon the
Agent shall notify the Borrower thereof showing reasonably detailed calculations
of such claim  Provided that nothing herein shall require such Bank to disclose
any confidential information relating to the organisation of its affairs.
<PAGE>

17.  Illegality

If, at any time after the date hereof, it is or becomes unlawful or contrary to
any request from or requirement of any applicable fiscal, monetary or other
authority which it is customary for banks to comply with for a Bank to make,
fund or allow to remain outstanding all or any of the Advances made or to be
made by it hereunder, then that Bank shall, promptly after becoming aware of the
same, deliver through the Agent to the Borrower a certificate to that effect
and, unless such illegality is avoided in accordance with Clause 18:

     (a)   such Bank shall not thereafter be obliged to participate in any
           Advances and the amount (if any) of its Commitment shall be reduced
           to zero on the earliest date required by law; and

     (b)   if the Agent on behalf of such Bank so requires, the Borrower shall
           on the earliest date required by law or, if earlier, the last day of
           the current Interest Period thereof, repay such Bank's share of any
           such outstanding Advances together with accrued interest thereon and
           all other amounts owing to such Bank.

18.  Mitigation

If circumstances arise in respect of the Agent or any Bank which would, or would
upon the giving of notice, result in:

     (i)   the reduction of its Commitment to zero pursuant to Clause 17;

     (ii)  the prepayment of its share of the Advances pursuant to Clause 17;

     (iii) an increase in the amount of any payment to be made to it for its
           account pursuant to Clause 13.1; or

     (iv)  a claim for indemnification pursuant to Clause 13.2 or 16.1

then, without in any way limiting, reducing or otherwise qualifying the
obligations of the Borrower under Clauses 13 to 17 inclusive, the Agent or such
Bank (as the case may be) shall, upon written request from the Borrower take
such steps as may be reasonable and practical in all the circumstances to
mitigate the effects of those circumstances including (without limitation)
submitting all forms required by a national taxation authority in connection
with the payment of gross sums under any applicable double tax treaty, the
transfer of its lending office to another jurisdiction or the assignment of all
its rights hereunder to and assumption of all its obligations hereunder by
another bank or financial institution acceptable to the Borrower (acting
reasonably) which is willing to participate in the Facility in its place,
provided that neither the Agent nor the Bank shall be under an obligation to
submit any such forms or to make any such transfer or assignment and transfer
if, in its reasonable opinion, it would or might have an adverse effect upon its
business, operations or financial condition or the management of its Tax
affairs.
<PAGE>

                                    Part 7

               REPRESENTATIONS, COVENANTS AND EVENTS OF DEFAULT

19.  Representations

19.1 Subject to the provisions of the Disclosure Letter, the Borrower hereby
represents to each of the Beneficiaries in respect of itself and in respect of
each other Group Entity (but in relation to any such other Group Entity to the
best of the Borrower's knowledge and belief (having made all due enquiries))
and, in the case of Clauses 19.1(i) to (iv) inclusive, Clauses 19.1(ix) to (xi)
inclusive, Clause 19.1(xiii) (but only in relation to the Facility Documents),
and Clause 19.1(xvi), IFCO Europe represents in respect of itself that:

     (i)   it is a corporation duly incorporated, validly existing and
           registered under the laws of the jurisdiction in which it is
           incorporated, capable of being sued in its own right and not subject
           to any immunity from any proceedings and has the power and all
           necessary governmental and other material consents, approvals,
           licences and authorisations under any applicable jurisdiction to own
           its property and assets and to carry on its business substantially as
           currently conducted;

     (ii)  subject to the Reservations it has the power to enter into and
           perform its obligations under each of the Facility Documents to which
           it is a party and has taken all necessary corporate and other action
           to authorise the execution, delivery and performance of each of the
           Facility Documents, to which it is a party;

     (iii) (subject to the Reservations) no limit on its powers will be exceeded
           as a result of the borrowings, granting of security or giving of
           guarantees contemplated by the Facility Documents to which it is a
           party and (subject to the Reservations) those documents constitute
           its legal, valid and binding and enforceable obligations;

     (iv)  the execution by it of each of the Facility Documents to which it is
           a party and the exercise by it of its rights and the performance of
           its obligations thereunder including, without limit, borrowing
           hereunder, granting any security or giving guarantees contemplated by
           the Facility Documents will not (a) result in the existence or
           imposition of nor oblige it or any Group Entity to create any
           Encumbrance (other than any Permitted Encumbrance) in favour of any
           person over all or any of its present or future revenues or assets
           (b) conflict in any material respect with any agreement, mortgage,
           bond or other instrument to which it is a party or which is binding
           upon it or any of its assets (c) conflict with its constitutive
           documents and rules and regulations or (d) (subject to the
           Reservations) conflict with any existing applicable law, regulation
           or official or judicial order in its jurisdiction of incorporation;

     (v)   no litigation, arbitration, administrative proceedings, or
           governmental or regulatory investigations, proceedings or disputes
           have been commenced or, to the best of its knowledge and belief
           (having made all due enquiries), threatened against any Group Entity
           or its respective assets or revenues nor, to its knowledge, are there
           any circumstances likely to give rise to any such litigation,
           arbitration, administrative
<PAGE>

            proceedings, or governmental or regulatory investigations,
            proceedings or disputes which in any such case might reasonably be
            expected to have a Material Adverse Effect;

     (vi)   neither it nor any member of the Group has any Financial
            Indebtedness (other than (i) Existing Indebtedness which will be
            repaid on the date on which the first Advance is made hereunder or
            (ii) Permitted Indebtedness) and no Encumbrances (other than
            Permitted Encumbrances) existing over all or any of its or their
            present or future revenues, undertakings or assets;

     (vii)  to the best of its knowledge and belief (having made all due
            enquiry) no Event of Default has occurred which has not been either
            remedied (or otherwise ceased to be continuing) or expressly waived
            in writing;

     (viii) the Information Memorandum, the Business Plan and any lists or other
            reports prepared by the Borrower and supplied to the Agent in
            connection herewith have been prepared after due and careful
            consideration and, to the best of its knowledge and belief (having
            made all due enquiry)

            (a) it is not aware of any material inaccuracy as to factual matters
                relating to the Group in the Reports, the Information Memorandum
                or the Business Plan;

            (b) it does not (as at the date thereof) disagree with nor regard as
                unreasonable or unattainable any of the forecasts or projections
                set out in the Reports, the Information Memorandum or the
                Business Plan;

            (c) the assumptions upon which the forecasts and projections
                contained in the Reports, the Information Memorandum and the
                Business Plan are based are in its opinion (having made all
                reasonable enquiries) fair and reasonable;

            (d) it is not aware of any significant facts or matters not stated
                in the Reports the Information Memorandum or the Business Plan,
                the omission of which in its reasonable opinion might make any
                statements contained therein misleading in any material respect;
                and

            (e) it has made full disclosure of all requested information
                relevant to the preparation of the Reports and the Information
                Memorandum to all the persons responsible for or involved in
                preparing the Reports and the Information Memorandum;

     (ix)   the Original Financial Statements and the latest Financial
            Statements delivered hereunder were prepared in accordance with the
            Accounting Principles and give (in conjunction with the notes
            thereto) a true and fair view of the financial condition of the
            Group at the date as of which they were prepared and the results of
            the Group's operations during the Accounting Reference Period then
            ended and any other accounts delivered under this Agreement fairly
            represent (or in the case of any management accounts the Borrower
            believes, acting reasonably, that they fairly represent) the
            financial condition of the Group at the date at which they were
<PAGE>

            prepared and the results of the Group's operations during the period
            to which such accounts relate;

     (x)    to the best of its knowledge and belief (having made all due
            enquiry) neither it nor any Group Entity, as at the date as of which
            any Financial Statements were prepared, failed to disclose or
            reserve against any liabilities (contingent or otherwise) material
            in relation to the Group as a whole nor any material unrealised
            anticipated losses of the Group (which were material to the Group as
            a whole) arising from commitments entered into by it which, in
            accordance with the Accounting Principles, it should have disclosed
            or reserved against;

     (xi)   there has been no material adverse change in the financial condition
            or business of the Group since 30 September 1997;

     (xii)  to the best of its knowledge and belief (having made all due
            enquiry), (a) it is and has been in full compliance in all material
            respects with all applicable Environmental Laws and (b) it has been
            and is in all material respects in compliance with the terms of all
            Environmental Approvals necessary for the ownership and operation of
            its facilities and businesses as presently owned and operated and as
            presently proposed to be owned and operated the failure to comply
            with which might reasonably be expected to have a Material Adverse
            Effect;

     (xiii) all necessary consents to the transactions constituted by the
            Investment, the Facility Documents and the Senior Facility Documents
            have been obtained where failure to obtain them might reasonably be
            expected to have any significant effect on the rights or
            entitlements of the Beneficiaries under this Agreement or the
            commercial value of the security granted pursuant to the Senior
            Subordinated Security Documents;

     (xiv)  to the best of its knowledge and belief (and in reliance upon
            information supplied by GE), all necessary consents, licences and
            other things (other than any necessary corporate action on the part
            of GE) have been obtained or carried out to enable GE to own
            (beneficially as well as legally) up to and including 100% of the
            shares in IFCO Europe;

     (xv)   to the best of its knowledge, information and belief the Material
            Group Entities have complied in all material respects with all
            Taxation laws in the jurisdiction of their incorporation and where
            they carry on their business;

     (xvi)  the claims of the Beneficiaries against it under any of the Facility
            Documents to which it is a party will rank at least pari passu with
            the claims of all its other unsecured and unsubordinated creditors
            save, in either case, those whose claims are preferred solely by any
            bankruptcy, insolvency, liquidation, merger or other similar laws of
            general application;

     (xvii) to the best of its knowledge and belief having made all due
            enquiries it is not in breach of or in default under any agreement
            to which it is a party or which is binding on it or any of its
            assets to an extent or in a manner which might reasonably be
            expected to have a Material Adverse Effect;
<PAGE>

     (xviii)   it is not aware of any matter which would materially affect the
               validity, subsistence or use of any of the Material Intellectual
               Property;

     (xix)     it has and each Group Entity has good title to or valid leases or
               licences of all of its assets necessary to carry on its business
               as presently conducted, the absence of which might reasonably be
               expected to have a Material Adverse Effect;

     (xx)      the Material Intellectual Property is, in the case of the
               Material Intellectual Property set out in the Ninth Schedule,
               owned by the Group Entity disclosed as the owner of such Material
               Intellectual Property in such Schedule, and in the case of any
               other Material Intellectual Property owned by the Borrower or
               such other Group Entity as has been disclosed in writing to the
               Agent;

     (xxi)     GBL has no creditors other than the Borrower and SPI and SPI is a
               creditor of GBL only to the extent of that part of the purchase
               price for the Patent which remains unpaid;

     (xxii)    there has been no significant amendment, variation or waiver of
               the terms of the Investment Agreement or the Supply Agreement
               save as approved in writing by the Agent and it is acknowledged
               that, for the avoidance of doubt, any amendment having the effect
               (in the opinion of the Banks) of reducing the extent of the
               rights and obligations of either GE or General Electric Capital
               Corporation under the Investment Agreement shall be considered to
               be significant;

     (xxiii)   it is not aware that any of the representations and warranties
               made in favour of General Electric Capital Corporation contained
               in the Investment Agreement were incorrect or untrue in any
               material respect when made;

     (xxiv)    all crate rental contracts entered into by the Borrower with
               growers are expressly governed by German law and all arrangements
               entered into by the Borrower with its subsidiaries in relation to
               crates are governed by German law;

     (xxv)     the chart showing the structure of the Group and set out in the
               Seventh Schedule is true, correct and accurate in all material
               respects;

     (xxvi)    the Existing Indebtedness is as set out in the Eighth Schedule
               and the definition of Leasing Facilities;

     (xxvii)   Apollo is a dormant company, has no assets and is not trading;
               and

     (xxviii)  at the date of this Agreement, the aggregate amount of all
               receivables owed to the Borrower is at least 70% of the aggregate
               amount of all receivables owed to the Group.
<PAGE>

19.2   The representations and warranties in Clause 19.1 and the Disclosure
Letter shall survive the execution hereof and the making of each Advance under
this Agreement and (save for the representation at Clause 19.1(xxviii)) shall be
repeated in the notification made by the Borrower to the Agent pursuant to
Clause 7.2 and (save for the representations contained in sub-clause (viii) of
Clause 19.1 (which shall only be repeated upon each date that any update of the
Information Memorandum is agreed with the Agent pursuant to Clause 22.10 and
then only in respect of such updated information)) on the first day of each
Interest Period and at the end of each successive period of six months ending
during an Interest Period, by reference to the facts and circumstances then
existing.

20.    Financial Information

20.1   So long as any of the Beneficiaries have any amounts outstanding to them
or are under any commitment, obligation or liability (whether actual or
contingent) to make Advances or provide other financial accommodation to the
Borrower under or pursuant to this Agreement or any other Facility Document the
Borrower shall:

       (i)  as soon as the same become available, but in any event within 120
            days after the end of each of its financial years deliver to the
            Agent:

            (a)  the audited consolidated financial statements (including
                 balance sheet (Bilanz), profit and loss (Gewinn-und
                 Verlustrechnung) and cash flow statements (Lagebericht
                 including Vermogens-und Finanzlange and KapitalfluBrechnung)
                 of IFCO Europe for such financial year Provided that if, at any
                 time, the difference between the consolidated financial
                 statements of IFCO Europe and the consolidated financial
                 statements of the Group (if such had been prepared at such
                 time) would represent something other than solely the capital
                 value of IFCO Europe at such time and its investment (if any)
                 in MTS or if the Agent (acting reasonably) requires, the
                 Borrower shall provide the audited consolidated financial
                 statements of the Group;

            (b)  the unconsolidated financial statements (including balance
                 sheet (Bilanz) and profit and loss (Gewinn-und verlustrechung))
                 of each Group Entity for such financial year (which shall be
                 audited where such financial statements are, in accordance with
                 applicable law, required to be audited);

            (c)  a certificate from a Duly Authorised Officer of the Borrower
                 (confirmed by a certificate from the Auditors) setting out in
                 reasonable detail the Excess Cash Flow calculation for such
                 financial year, together with a list of the then Material Group
                 Entities;

            (d)  a compliance certificate in a form reasonably acceptable to the
                 Agent issued by the Auditors certifying whether or not the
                 financial covenants in Clause 21 have been observed, supported
                 by reasonably detailed calculations and confirming that VAT has
                 been correctly treated by the Group during the financial year
                 to which such certification relates (the first such compliance
                 certificate to be provided in relation to the audited financial
                 statements for the Accounting Reference Period ending 31
                 December 1998);
<PAGE>

            (e)  a certificate of an Authorised Signatory of the Borrower
                 certifying that as of the date thereof and to the best of
                 his/her knowledge and belief (having made all due enquiry) no
                 Event of Default has occurred or, if it has occurred, a
                 description thereof and the action taken or proposed to be
                 taken to remedy it; and

            (f)  a comparison against the Budget for such period;

     (ii)   as soon as the same become available, but in any event within (x) in
            the case of each Financial Quarter falling before the first
            anniversary hereof, 60 days and (y) in any other case 45 days after
            the end of each Financial Quarter deliver to the Agent:

            (a)  the unaudited consolidated financial statements of the Group
                 for such period, including consolidated balance sheet (Bilanz),
                 consolidated profit and loss accounts (Gewinn-und
                 Verlustrechnung) and cash flow statements (Lagebericht and
                 Vermogens-und Finanzlange including Kapitalflussrechnung), and
                 a report on the business comprising a consolidated statement of
                 the revenues and expenditures of the Group, all such financial
                 statements to be in a format acceptable to the Agent;

            (b)  a compliance certificate in a form reasonably acceptable to the
                 Agent given on behalf of the Borrower by a Duly Authorised
                 Officer certifying whether or not the financial covenants in
                 Clause 21 have been observed supported by reasonably detailed
                 calculations;

            (c)  a written report of a Duly Authorised Officer of the Borrower
                 explaining in reasonable detail any material differences
                 between the actual performance of the Group during such
                 Financial Quarter and the performance of the Group forecast in
                 the budget for such period and providing a forecast of the
                 performance of the Group for the next twelve months; and

            (d)  a written report of a Duly Authorised Officer of the Borrower
                 setting out, in reasonable detail, an analysis of the status of
                 the crates over the previous four Financial Quarters including
                 details of crate breakages and the rate of turnover per crate
                 (including the number of cycles per crate for such Relevant
                 Period).

     (iii)  as soon as the same become available, but in any event within (x) in
            the case of each calendar month falling on or after 31 January 1998
            but before the first anniversary of the date hereof, 45 days and (y)
            in any other case 30 days after the end of each calendar month,
            deliver to the Agent:

            (a)  the management accounts of the Group (on a consolidated and
                 unconsolidated basis) for such calendar month (on a month-to-
                 month and cumulative basis and in a form reasonably acceptable
                 to the Agent) and providing a management commentary thereon as
                 to, inter alia, the Group's performance during such calendar
                 month and any material developments or proposals affecting the
                 Group or its business; and
<PAGE>

            (b)  a report containing sufficiently detailed information regarding
                 the extent (both as to volume and amount) of leasing which each
                 Group Entity (on a subsidiary by subsidiary basis) enters into
                 as principal with growers and the amount of receivables owing
                 to each such Group Entity; and

      (iv)  from time to time on the request of the Agent, furnish the Agent
            with such information about the business, operations, performance,
            prospects and financial condition of the Group or any Group Entity
            or any other information as the Agent or any Bank through the Agent
            may reasonably require, in particular all information and documents
            as may be required under Sections 13, 13(a) and 18 of the German
            Banking Act (Gesetz uber das Kreditwesen).

20.2  The Borrower shall, as soon as the same become available, and in any event
not later than 30 days before the beginning of any Accounting Reference Period
commencing with the financial year beginning 1 January 1999, deliver to the
Agent in sufficient copies for the Banks an annual Budget prepared by reference
to each month in respect of such financial year of the Group including:

      (i)   forecasts of projected disposals (including timing and amount
            thereof) of the Group for such Accounting Reference Period and for
            the next two succeeding Accounting Reference Periods;

      (ii)  projected annual profit and loss accounts for, and projected balance
            sheets and cash flow statements on a monthly basis for, such
            Accounting Reference Period and for the next two succeeding
            Accounting Reference Periods on a consolidated basis for the Group
            including a detailed working capital plan with an explanation of the
            assumptions made with respect to the Group's working capital
            requirements;

      (iii) a qualitative analysis and commentary from the management on its
            proposed activities for such Accounting Reference Period and for the
            next two succeeding Accounting Reference Periods and such financial
            years;

      (iv)  projections of Capital Expenditure; and

      (v)   targets for the turnover rate of the container pool and the average
            annual breakage rate

and the Borrower shall forthwith provide the Agent with details of any material
changes in the projections delivered under Clause 20.2 as soon as it becomes
aware of any such change.

20.3  The Borrower shall ensure that:

      (i)   each set of financial statements delivered by it pursuant to Clause
            20.1 and 20.2 is prepared in accordance with the Accounting
            Principles and (other than changes to the basis in order to accord
            with the Accounting Principles where an appropriate agreement has
            been reached in accordance with Clause 20.4) on the same basis as is
            used in the preparation of the Original Financial Statements
            together with an appropriate reconciliation statement in relation to
            financial statements not prepared in
<PAGE>

             accordance with the Accounting Principles and that each statement
             in respect of the Group is prepared on a consolidated and
             consolidating basis;

      (ii)   each set of financial statements delivered by it pursuant to Clause
             20.1(i), (ii) or (iii) is certified on behalf of the Borrower by an
             Authorised Signatory of the Borrower (a) (in the case of each set
             of financial statements delivered by it under Clause 20.1(i)) as
             giving (where such financial statements are audited) a true and
             fair view of the financial condition of the Group and each Group
             Entity as at the end of the period to which those financial
             statements related and of the results of its operations during such
             period or (where such financial statements are not audited) fairly
             represent the financial condition of the Group and each Group
             Entity as at the end of the period to which those financial
             statements related and of the results of its operations during such
             period and (b) (in the case of each set of financial statements
             delivered by it under Clause 20.1(ii) and (iii)) as being (to the
             best of his/her knowledge and belief) accurate in all material
             respects; and

      (iii)  each set of financial statements delivered by it pursuant to Clause
             20.1(i)(a) has been audited by the Auditors.

20.4  Without prejudice to the obligations contained in Clause 20.3(i), if any
accounts to be delivered under Clause 20.1 are prepared on a basis not
contemplated by Clause 20.3(i) or the Accounting Principles in effect on the
date as of which the Original Financial Statements were prepared (as
appropriate) change in a way that affects the financial covenants contained in
Clause 21 or the calculation of Excess Cash Flow:

      (i)    the Agent (acting on the instructions of an Instructing Group) and
             the Borrower shall, at the Agent's request, negotiate in good faith
             with a view to agreeing such amendments to the financial covenants
             in Clause 21 or the calculation of Excess Cash Flow and/or the
             definitions used therein as may be necessary to grant to the Banks
             protection comparable to that granted on the date hereof, and any
             amendments as agreed will have effect on the date agreed between
             the Agent and the Borrower; and

      (iii)  if no such agreement is reached within 30 days of the Agent's
             request, the Agent shall (if so requested by an Instructing Group)
             instruct independent accountants to determine any amendments to
             Clause 21 or the calculation of Excess Cash Flow which those
             accountants (acting as experts and not as arbitrators) consider
             appropriate to grant to the Banks protection comparable to that
             granted on the date hereof, which amendments shall be binding and
             shall take effect when so determined by those accountants. The
             reasonable cost and expenses of those accountants shall be for the
             account of the Borrower.

20.5  Each set of accounts, financial reports and other documents delivered to
the Agent under Clause 20 shall be delivered in sufficient copies for each Bank.

20.6  The Borrower shall promptly on the appointment of any replacement Auditors
execute and deliver a letter in the agreed form to authorise the Auditors to
confirm to and discuss with the Agent (upon or after the occurrence of an Event
of Default which is continuing unremedied and unwaived and having given the
Borrower an opportunity to attend such discussions) the factual accuracy of
<PAGE>

information related to or arising out of the annual audit of the Group by the
Auditors and the due application of the Accounting Principles to the audit
process and shall procure that the Auditors acknowledge such authorisation.
Under conditions that normally apply to audits in accordance with generally
accepted audit standards, the Borrower shall provide the Auditors with
unrestricted access to all and any information available to or in the possession
of the Borrower or any other Group Entity in this regard and shall otherwise
ensure that full co-operation is afforded to the Auditors.

20.7   The Borrower hereby undertakes to provide to the Agent on a monthly basis
(in sufficient copies for the Banks) information (in such form and containing
such details as the Agent may reasonably require) regarding the installation of
information technology systems within the Group and regarding the appointment of
a Chief Operations Co-ordinator for the Group and a Financial Controller for the
Group and, in any case, to ensure that a Chief Operations Co-ordinator for the
Group and a Financial Controller of the Group (in each case acceptable to IFCO
Europe) is appointed within three months of the date hereof and to ensure that
the information technology systems are installed in a timely fashion and in
accordance with the timetable set out in the IT Schedule.

20.8   The Borrower shall supply to the Agent in sufficient copies for the
       Banks:

       (i)   all documents despatched to the shareholders of the Borrower which
             are required to be sent to such shareholders by law without their
             specific request; and

       (ii)  all documents despatched by or on behalf of the Borrower to its
             creditors generally in their capacity as such,

in all cases at the same time as such documents are despatched.

20.9   The Borrower shall provide to the Agent, in sufficient copies for the
Banks, the annual Budget for 1998 prepared by reference to each month in respect
of the financial year of the Group ending on 31 December 1998 and containing all
of the information set out in Clauses 20.2 (i) to (v) inclusive by no later than
31 March 1988.

21.    Financial Condition

21.1   The Borrower shall ensure that:

(i)    Senior Interest Cover Ratio

       (a)   the ratio of EBITA to Senior Interest Expense, calculated on an
             Adjusted Rolling Basis, shall not, in respect of any Adjusted
             Relevant Period ending on each Financial Quarter set out below be
             less than the ratio set out below as applicable in relation to that
             Financial Quarter:

             Financial Quarter Ending                Ratio

             31 March 1998                           1.7:1
             30 June 1998                            2.3:1
             30 September 1998                       2.6:1
<PAGE>

     and

     (b)   the ratio of EBITA to Senior Interest Expense, calculated on a
           Rolling Basis, shall not in respect of any Relevant Period ending on
           each Financial Quarter be less than the ratio set out below as
           applicable in relation to that Financial Quarter:

           Financial Quarter Ending           Ratio

           31 December 1998                   3.0:1
           31 March 1999                      3.5:1
           30 June 1999                       4.0:1
           30 September 1999                  4.5:1
           31 December 1999                   4.7:1
           30 March 2000                        5:1

     and

     (c)   the ratio of EBITA to Senior Interest Expense, calculated on a
           Rolling Basis, shall not, in respect of any Relevant Period ending in
           each Financial Quarter beginning after 30 March 2000 be less than
           5:1;]

(ii) Total Interest Cover

     (a)   the ratio of EBITA to Total Interest Expense, calculated on an
           Adjusted Rolling Basis, shall not, in respect of any Adjusted
           Relevant Period ending on the last day of each Financial Quarter set
           out below be less than the ratio set out below as applicable in
           relation to that Financial Quarter:

           Financial Quarter Ending         Ratio

           31 March 1998                    1.2:1
           30 June 1998                     1.7:1
           30 September 1998                1.9:1

     and

     (b)   the ratio of EBITA to Total Interest Expense, calculated on a Rolling
           Basis, shall not, in respect of any Relevant Period ending on the
           last day of each Financial Quarter be less than the ratio set out
           below as applicable in relation to that Financial Quarter:

           Financial Quarter Ending            Ratio

           31 December 1998                    2.1:1
           31 March 1999                       2.5:1
           30 June 1999                        2.8:1
           30 September 1999                     3:1
           31 December 1999                      3:1
           30 March 2000                         4:1
<PAGE>

           30 June 2000                        4:1
           30 September 2000                   4:1
           31 December 2000                    4:1
           31 March 2001                       4:1
           30 June 2001                        4:1
           30 September 2001                   4:1
           31 December 2001                    4:1
           31 March 2002                       4:1
           30 June 2002                        4:1
           30 September 2002                   4:1
           31 December 2002                    4:1
           31 March 2003                       4:1
           30 June 2003                        4:1
           30 September 2003                   4:1
           31 December 2003                    4:1
           31 March 2004                       4:1
           30 June 2004                        4:1
           30 September 2004                   4:1
           31 December 2004                    4:1
           31 March 2005                       4:1
           30 June 2005                        4:1
           30 September 2005                   4:1

(iii)  Total Cash Cover

       (a) the ratio of Cash Flow in respect of any Adjusted Relevant Period to
           Total Debt Service shall not be less than 1.1:1.

       and

       (b) the ratio of Cash Flow in respect of any Relevant Period to Total
           Debt Service shall not be less than the amount set out below
           alongside such period:

           Financial Quarter Ending        Ratio

           31 December 1998                1.1:1
           31 March 1999                   1.1:1
           30 June 1999                    1.1:1
           30 September 1999               1.1:1
           31 December 1999                1.1:1
           30 March 2000                   1.1:1
           30 June 2000                    1.1:1
           30 September 2000               1.1:1
           31 December 2000                1.1:1
           31 March 2001                   1.1:1
           30 June 2001                    1.1:1
           30 September 2001               1.1:1
           31 December 2001                1.1:1
<PAGE>

           31 March 2002                   1.1:1
           30 June 2002                    1.1:1
           30 September 2002               1.1:1
           31 December 2002                1.1:1
           31 March 2003                   1.1:1
           30 June 2003                    1.1:1
           30 September 2003               1.1:1
           31 December 2003                1.1:1
           31 March 2004                   1.1:1
           30 June 2004                    1.1:1
           30 September 2004               1.1:1
           31 December 2004                1.1:1
           31 March 2005                   1.1:1
           30 June 2005                    1.1:1
           30 September 2005               1.1:1

(iv)  Net Worth

      the Net Worth of the Group shall not at any time during any period
      specified below be less than the amount set out below alongside such
      period:

      Financial Quarter Ending                Amount (DM,000,000)

           31 March 1998                             63.8
           30 June 1998                              64.4
           30 September 1998                         65.3
           31 December 1998                          66.5
           31 March 1999                             67.6
           30 June 1999                              69.0
           30 September 1999                         70.7
           31 December 1999                          72.3
           30 March 2000                             74.0
           30 June 2000                              75.0
           30 September 2000                         76.0
           31 December 2000                          77.5
           31 March 2001                             78.0
           30 June 2001                              79.0
           30 September 2001                         80.0
           31 December 2001                          80.0
           31 March 2002                             85.0
           30 June 2002                              90.0
           30 September 2002                         95.0
           31 December 2002                         100.0
           31 March 2003                            105.0
           30 June 2003                             110.0
           30 September 2003                        115.0
           31 December 2003                         120.0
           31 March 2004                            130.0
<PAGE>

          30 June 2004                                140.0
          30 September 2004                           160.0
          31 December 2004                            170.0
          31 March 2005                               180.0
          30 June 2005                                190.0
          30 September 2005                           200.0

(v)  Leverage

     (a)  the ratio of Total Debt on the last day of the Financial Quarter set
          out below to Annualised Adjusted EBITDA for the Adjusted Relevant
          Period shall not exceed the ratio set out below as applicable for that
          Financial Quarter;

          Financial Quarter Ending                    Ratio

          31 March 1998                               6.5:1
          30 June 1998                                5.8:1
          30 September 1998                           5.3:1

     and

     (b)  subject to clause 28.2 the ratio of Total Debt on the last day of the
          Financial Quarter set out below to Adjusted EBITDA for the Relevant
          Period shall not exceed the ratio set out below as applicable for that
          Financial Quarter;

          Financial Quarter Ending                    Ratio

          31 December 1998                            5.3:1
          31 March 1999                               4.7:1
          30 June 1999                                4.4:1
          30 September 1999                             4:1
          31 December 1999                              4:1
          30 March 2000                               3.7:1
          30 June 2000                                3.5:1
          30 September 2000                           3.4:1
          31 December 2000                            3.3:1
          31 March 2001                               3.1:1
          30 June 2001                                2.7:1
          30 September 2001                           2.6:1
          31 December 2001                            2.5:1
          31 March 2002                               2.5:1
          30 June 2002                                2.5:1
          30 September 2002                           2.5:1
          31 December 2002                            2.5:1
          31 March 2003                               2.5:1
          30 June 2003                                2.5:1
          30 September 2003                           2.5:1
          31 December 2003                            2.5:1
<PAGE>

          31 March 2004                               2.5:1
          30 June 2004                                2.5:1
          30 September 2004                           2.5:1
          31 December 2004                            2.5:1
          31 March 2005                               2.5:1
          30 June 2005                                2.5:1
          30 September 2005                           2.5:1

21.  If either:

     (a)  at the end of any Financial Quarter referred to below the number of
          CrateTurns Per Year calculated on a Rolling Basis exceeds, by ten per
          cent or more, the figure set out for such Financial Quarter in the
          Business Plan; or

     (b)  at the end of any Financial Quarter referred to below, the Breakage
          Rate set out in the Business Plan exceeds the actual Breakage Rate by
          ten per cent or more (calculated on a Rolling Basis), for such
          Financial Quarter;

     and, in either case,

     (c)  Adjusted EBITDA for the Relevant Period is greater than ten per cent
          of the Adjusted EBITDA for such Relevant Period set out in the
          Business Plan,

then the ratio for the relevant Financial Quarter set out in Clause 21.1(v)(b)
shall be adjusted so that the Borrower shall ensure that the ratio of Total Debt
on the last day of the Financial Quarter set out below during which the
conditions set out above have been met shall not exceed the ratio set out below
as applicable thereto:

          Financial Quarter Ending                    Ratio

          30 June 1999                                4.6:1
          30 September 1999                           4.5:1
          31 December 1999                            4.3:1
          30 March 2000                               4.0:1
          30 June 2000                                3.7:1
          30 September 2000                           3.5:1

21.3 (i)  The covenants contained in Clauses 21.1(i), (ii), (iii) and (v) will
          be tested as of the dates specified in those Clauses, by reference to
          the quarterly accounts delivered pursuant to Clause 20.1(ii) and by
          reference to the audited accounts delivered pursuant to Clause
          20.1(i).

     (ii) The covenant contained in Clause 21.1(iv) shall be complied with at
          all times and for this purpose Net Worth shall be subject to
          adjustment on a continuing basis by any losses or profits demonstrated
          by the monthly accounts delivered pursuant to Clause 20.1(iii), the
          quarterly accounts delivered pursuant to Clause 21.1(ii) and the
          audited accounts delivered pursuant to Clause 20.1(i).
<PAGE>

21.4  If, at any time the covenants contained in Clauses 21.1 are breached, the
Borrower shall ensure that no Capital Expenditure shall be made by any member of
the Group for so long as the covenants contained in those clauses (or any of
them) are not met and the Borrower shall provide a proposal to remedy such
breach in form and substance satisfactory to an Instructing Group.

21.5  The expressions used in Clause 20, this Clause 21 and in the definition of
Excess Cash Flow shall, subject as provided herein, be calculated by reference
to the Group and be construed in accordance with the Accounting Principles but
so that the capitalised terms used in such Clauses and in such definitions
shall, for the purposes of those Clauses and definitions have the following
meanings:

      (i)   "Adjusted EBITDA" means, in relation to any Relevant Period (or,
            where appropriate, Adjusted Relevant Period), EBITDA for such period
            plus the amount of rentals under Finance Leases during such Relevant
            Period less any Replacement Capital Expenditure made in that period;

      (ii)  "Adjusted Relevant Period" means, (a) in respect of the First
            Financial Quarter ending in 1998, such Financial Quarter, (b) in
            respect of the Second Financial Quarter ending in 1998, the period
            from 1 January 1998 to 30 June 1998 and (c) in respect of the third
            Financial Quarter ending in 1998, the period from 1 January 1998 to
            30 September 1998;

      (iii) "Adjusted Rolling Basis" refers to any calculation of a ratio or an
            amount made at the end of a Financial Quarter in respect of that
            Financial Quarter, or, where the relevant Financial Quarter is not
            the first Financial Quarter of 1998:

            (a)  where the calculation is made in relation to the second
                 Financial Quarter of 1998, that Financial Quarter and the
                 previous Financial Quarter; and

            (b)  where the calculation is made in relation to the third
                 Financial Quarter of 1998, that Financial Quarter and the
                 previous two Financial Quarters;

      (iv)  "Annualised Adjusted EBITDA" means:

            (a)  in relation to the Financial Quarter ending on 31 March 1998,
                 Adjusted EBITDA for such period multiplied by four;

            (b)  in relation to the Financial Quarter ending on 30 June 1998,
                 the sum of Adjusted EBITDA for such period divided by two and
                 multiplied by four; and

            (c)  in relation to the Financial Quarter ending on 30 September
                 1998, the sum of Adjusted EBITDA for such period divided by
                 three and multiplied by four;

      (v)   "Breakage Rate" means, in respect of any Relevant Period, the
            average number of crates which have been leased by any Group Entity
            to growers which are broken during a crate cycle expressed as a
            percentage of the number of completed crate cycles during such
            Relevant Period;
<PAGE>

     (vi)    "Capital Expenditure" means, in respect of any Relevant Period (or,
             where appropriate, Adjusted Relevant Period), Replacement Capital
             Expenditure, Growth Capital Expenditure and any other capital
             expenditure;

     (vii)   "Cash Flow" means, in respect of any Relevant Period or, where
             applicable, any Adjusted Relevant Period, EBITDA for such period
             adjusted as follows:

             (a)  deducting taxes paid during the relevant Accounting Reference
                  Period;

             (b)  deducting increases (or adding decreases) in Working Capital
                  over the relevant Accounting Reference Period;

             (c)  deducting Capital Expenditure;

             (d)  deducting the actual cash effect of extraordinary charges and
                  adding the actual cash effect of extraordinary income under
                  the Accounting Principles during the relevant Account
                  Reference Period;

             (e)  deducting the actual cash effect of currency losses and adding
                  the actual cash effect of currency gains during the relevant
                  Accounting Reference Period;

             (f)  adding the actual cash effect of disposals (deducting any
                  profit element and/or adding any loss made on) of any asset
                  made during the relevant Accounting Reference Period permitted
                  hereunder; and

             (f)  plus any net increase or minus any net decrease in the capital
                  element of any Permitted External Leasing entered into during
                  such Accounting Reference Period;

     (viii)  "Crate Turns Per Year" means, in respect of any Relevant Period,
             the average number of income generating completed crate cycles made
             by all crates owned by or leased to all Group Entities during such
             Relevant Period;

     (ix)    "Current Assets" means at any time the sum of Inventory, trade
             receivables, receivables from affiliates and other receivables,
             marketable securities and prepaid expenses, in each case as set out
             in sections 266(2)B and C of the Commercial Code (HGB), but
             excluding cash at bank and in hand;

     (x)     "EBIT" means for any Relevant Period (or, where appropriate,
             Adjusted Relevant Period), the consolidated earnings of the Group
             for such Relevant Period (or, where appropriate, Adjusted Relevant
             Period) before (or, if already taken into account in calculating
             the consolidated earnings of the Group, after adding back):

             (a)  any expense or income on account of income taxes and deferred
                  taxation;

             (b)  any interest (excluding the amount of rentals under Finance
                  Leases), commissions, discounts and other fees incurred by any
                  Group Entity in respect
<PAGE>

                  of Financial Indebtedness and of the costs relating to hedging
                  permitted under the Permitted Treasury Transactions;

             (c)  any interest earned by any Group Entity; and

             (d)  items treated as extraordinary income or charges under the
                  Accounting Principles;

     (xi)    "EBITA" means, in respect of any Relevant Period (or, where
             appropriate, Adjusted Relevant Period), EBIT for such Relevant
             Period (or, where appropriate, Adjusted Relevant Period) plus
             amortisation;

     (xii)   "EBITDA" means in respect of any Relevant Period (or, where
             appropriate, Adjusted Relevant Period), EBIT for such Relevant
             Period (or, where appropriate, Adjusted Relevant Period) plus
             depreciation and amortisation;

     (xiii)  "Financial Quarter" means each of those periods of approximately
             three calendar months in any financial year of the Group ending on
             any Quarter Date;

     (xiv)   "Growth Capital Expenditure" means, in respect of any Relevant
             Period (or, where appropriate, Adjusted Relevant Period),
             expenditure by a Group Entity in financing the purchase of crates
             which results in an increase in the number of crates owned by or
             leased to the Group;

     (xv)    "Liabilities" means at any time the sum of all liabilities
             (including trade creditors, accruals, amounts payable to affiliates
             and pension provisions and other provisions and liabilities
             (including, for the avoidance of doubt, any provisions made in
             respect of amounts representing deposits for crate rentals which
             are expected to be returned) and excluding any Financial
             Indebtedness) and prepayments and deferred income;

     (xvi)   "Net Worth" means the equity of the Borrower (including its
             subscribed capital, capital reserves, earnings reserves, profit or
             loss carried forward and annual surplus or deficit) in each case as
             set out in section 266(3)A of the Commercial Code (HGB) and as
             shown in the Borrower's consolidated balance sheet:

             (a)  less any dividend or other distribution declared, recommended
                  or made by any Group Entity to the extent such distribution is
                  not provided for in such accounts;

             (b)  less the cumulative amount of any writing up of the book value
                  of any assets of any Group Entity;

             (c)  less or plus (as the case may be) any amount attributable to
                  minority interests;

             (d)  not making any adjustments for any amounts positive or
                  negative attributable to goodwill or amortisation;

     (xvii)  "Relevant Period" means the period of four Financial Quarters
             ending on the date on
<PAGE>

               which the relevant calculation falls to be made;

     (xviii)   "Replacement Capital Expenditure" means, in respect of any
               Relevant Period, expenditure by a Group Entity on the improvement
               or replacement of crates (together with costs properly incurred
               in connection therewith) (which are necessary in order to
               maintain the total number of crates within the Group);

     (xix)     "Rolling Basis" refers to the calculation of a ratio or an amount
               made at the end of a Financial Quarter in respect of that
               Financial Quarter and the preceding three Financial Quarters;

     (xx)      "Senior Interest Expense" means, in respect of any Relevant
               Period, Total Interest Expense less such part of Total Interest
               Expense as is incurred in connection with the Senior Subordinated
               Facility Documents plus amounts paid and/or costs charged during
                                  ----
               the Relevant Period (or, where appropriate, Adjusted Relevant
               Period) relating to hedging arrangements entered into in
               connection with the obligations under the Facility Documents;

     (xxi)     "Total Debt" means, at any time, the aggregate of all Financial
               Indebtedness of the Group Entities at such time incurred under or
               pursuant to this Agreement, the Senior Facility Agreement or any
               Permitted External Leasing;

     (xxii)    "Total Debt Service" means in respect of any Relevant Period (or,
               where appropriate, Adjusted Relevant Period), the aggregate of:

               (a)  Total Interest Expense (excluding capitalised interest); and

               (b)  the aggregate of the scheduled repayments, prepayments or
                    other payments of principal hereunder; and

               (c)  any dividends on shares or similar payments made to
                    warrantholders by the Borrower (which for the avoidance of
                    doubt, is prohibited pursuant to Clause 22); and

     (xxiii)   "Total Interest Expense" means in respect of any Relevant Period
               (or, where appropriate, Adjusted Relevant Period), the aggregate
               (on a consolidated basis) of all interest, commission, fees and
               other charges incurred by all Group Entities in respect of
               Financial Indebtedness (other than Financial Indebtedness
               incurred pursuant to Permitted Leasing facilities and Financial
               Indebtedness incurred pursuant to Permitted Factoring) accruing
               or paid in the Relevant Period or Adjusted Relevant Period (as
               appropriate):

               (a)  less amounts received pursuant to interest hedging
                    arrangements entered into in connection with the obligations
                    under the Facility Documents and permitted as Permitted
                    Treasury Transactions; and

               (b)  plus amounts paid and/or costs charged during the relevant
                    period relating to hedging arrangements entered into in
                    connection with the obligations under
<PAGE>

                 the Facility Documents,

     (xxiv) "Working Capital" means on any date:

            (a)  Current Assets of the Group; less

            (b)  Liabilities of the Group.

22.  Covenants

22.1 The Borrower and (in the case of Clauses 22.1(i), (ii), (v), (xiv), (xvii)
and (xviii) only) IFCO Europe shall itself and (in the case of the Borrower)
shall (to the extent legally possible) procure that each Group Entity shall
(except as may be otherwise agreed in writing by an Instructing Group):

     (i)    do all such things as are necessary to maintain its existence as a
            legal person save for ceasing to exist by virtue of a solvent
            reorganisation which has previously been consented to by the Agent
            and the Banks;

     (ii)   obtain, comply with the terms of, promptly renew from time to time
            and do all that is necessary to maintain in full force and effect
            all authorisations, approvals, licences, consents and exemptions
            available and required under or by any applicable law or regulation
            to enable it to lawfully enter into and perform its obligations
            under the Facility Documents to which it is expressed to be party
            or, so far as it is possible to do so, to ensure the legality,
            validity or admissibility in evidence of such Facility Documents
            and, on request of the Agent, supply copies (certified by a director
            of the Borrower, IFCO Europe or relevant Group Entity (as
            appropriate) as true, complete and up to date), of any such
            authorisations, approvals, licences, consents and exemptions;

     (iii)  effect and maintain insurances on and in relation to its business,
            assets and rights of an insurable nature (against loss or damage by
            fire, storm, explosion and other consequential losses) and in
            relation to product and third party liability and for such amounts
            as a reasonably prudent person carrying on a similar business to
            that Group Entity might be expected to maintain and as may from time
            to time be required by the Agent (acting reasonably). The relevant
            Group Entity shall (if so requested in writing) supply the Agent
            with copies of all such insurance policies or certificates of
            insurance in respect thereof or such other evidence of the existence
            of such policies as may be reasonably acceptable to the Agent and
            shall, in any event, notify the Agent of any material changes to its
            insurance cover made from time to time. The Borrower shall certify
            (by way of a Certificate from a Duly Authorised Officer) within 30
            days of the end of each Accounting Reference Period that all
            insurance premiums for the Group have been paid in respect of such
            Accounting Reference Period and that all insurances for the Group
            are up to date;
<PAGE>

     (iv)   promptly inform the Agent of the occurrence of any Event of Default
            or Potential Event of Default upon becoming aware of the same and,
            upon receipt of a written request to that effect from the Agent,
            confirm to the Agent that, save as previously notified to the Agent
            or as notified in such confirmation, no Event of Default or
            Potential Event of Default has occurred and is continuing;

     (v)    ensure that, to the extent such action is legally possible, at all
            times the claims of the Beneficiaries against it under any of the
            Facility Documents to which it is expressed to be a party rank at
            least pari passu with the claims of all its other unsecured and
            unsubordinated creditors save, in each case, those whose claims are
            preferred by any bankruptcy, insolvency, liquidation or other
            similar laws of general application;

     (vi)   comply with all applicable laws, rules, regulations and orders and
            obtain and maintain all governmental and regulatory consents and
            approvals the failure to comply with which might reasonably be
            expected to have a Material Adverse Effect;

     (vii)  ensure that it has the right and is duly qualified to conduct its
            business as it is conducted from time to time in all applicable
            jurisdictions and does all things necessary to obtain, preserve and
            keep in full force and effect all rights including, without
            limitation, all rights which are necessary for the conduct of its
            business, the absence of which might reasonably be expected to have
            a Material Adverse Effect;

     (viii) duly and punctually pay and discharge (a) prior to the imposition of
            any material penalties in respect thereof, all Taxes, assessments
            and governmental charges imposed upon it or its assets and (b) all
            lawful claims which, if unpaid, would by law become Encumbrances
            upon its assets save to the extent payment thereof is being
            contested in good faith by the relevant Group Entity and where
            payment thereof can be lawfully withheld;

     (ix)   maintain and preserve all of its assets that are used or useful in
            the conduct of its business in good working order and condition,
            ordinary wear and tear excepted, where the failure to maintain or
            preserve might reasonably be expected to have a Material Adverse
            Effect;

     (x)    comply with all Environmental Laws and maintain and comply with the
            terms and conditions of all Environmental Approvals, in each case as
            may be necessary for the conduct of its business, the failure to
            comply with which might reasonably be expected to have a Material
            Adverse Effect;

     (xi)   maintain and preserve all of the Material Intellectual Property and
            use reasonable endeavours to maintain and preserve all other
            Intellectual Property which a prudent person carrying on a similar
            business to the Group would use;

     (xii)  procure that the Material Intellectual Property is registered with
            all appropriate registries and authorities (including, in the case
            of any patents) at the European and International Patent offices or
            other appropriate local registries in the name of the owner of such
            intellectual property and, in particular but without limiting the
<PAGE>

              generality of the foregoing, the Borrower shall, within four weeks
              of the date of this Agreement, submit all applications for
              registration and other documents or forms necessary to ensure that
              the Patent is registered in the name of GBL at Patent Offices in
              Germany, Austria, France, Switzerland, Denmark, Spain, the United
              Kingdom and Italy (and shall provide the Agent with confirmation
              of the submission of such applications and shall not withdraw any
              such applications) and shall do all things necessary, recommended
              or required (including, without limitation, co-operating to the
              fullest extent possible with such patent offices, answering all
              requisitions, paying all fees and submitting all documents
              required or requested) to ensure that the registrations are
              completed in a timely fashion and shall maintain or procure the
              maintenance of all such registrations and pay all fees and do all
              such other things as may be required to ensure the protection of
              such registrations;

     (xiii)   promptly notify the Agent upon the creation or acquisition of
              Material Intellectual Property and, at the request of the Agent,
              grant security in favour of the Security Trustee over all such
              Material Intellectual Property;

     (xiv)    at its own expense, take all such action as the Agent, or the
              Security Trustee, may require for the purpose of perfecting or
              protecting the Agent's and the pledgees' or Security Trustee's
              rights under and preserving the security interests intended to be
              created by any of the Facility Documents or for facilitating the
              realisation of any such security or any part thereof;

     (xv)     advise the Agent forthwith of the details of each litigation,
              arbitration or administrative proceeding pending or (to its
              knowledge) threatened against any Group Entity which may (together
              with any legal or other costs in connection therewith) result in a
              liability of such Group Entity in an amount in excess of
              DM1,000,000 or its equivalent;

     (xvi)    ensure that any one or more authorised representatives of the
              Agent will be allowed to have access to the assets, books and
              records of each Group Entity and to inspect the same at any time
              upon or after the occurrence of an Event of Default which is
              continuing unremedied and unwaived on the giving of reasonable
              notice;

     (xvii)   to the extent legally possible and as required by the Agent
              (acting on the instructions of an Instructing Group) and at the
              Borrower's expense (which, for the avoidance of doubt, may include
              the cost of obtaining legal opinions regarding such security in
              accordance with the requirements of the Agent or the terms of any
              Facility Document) from time to time (and, in the case of any
              shares in MTS, within five business days of acquiring the same
              (unless otherwise such requirement is waived by the Agent acting
              on the instructions of an Instructing Group)), create or procure
              the creation of such security over the shares or assets of MTS or
              any Group Entity in favour of the Beneficiaries where such company
              becomes a Group Entity or where it becomes necessary to replace
              any security which secured all or any of the obligations of the
              Borrower under the Facility Documents which has lapsed or become
              unenforceable;

     (xviii)  at its own expense, take all such action as the Agent or the
              Security Trustee (each acting on the instructions of an
              Instructing Group) may reasonably require for the purpose of
              perfecting or protecting the Beneficiaries' rights under, and
              preserving the
<PAGE>

              security interests intended to be created by, any of this
              Agreement and the Senior Subordinated Security Documents
              (including, where necessary, the provision of security over the
              shares of IFCO Contenedores S.A. or other Group Entities to secure
              the obligations of the Borrower under any Hedging Agreements not
              otherwise secured) or for facilitating the realisation of any such
              security or any part thereof Provided that this does not restrict
              the ability of the Borrower or any member of the Group to conduct
              its business or assets so pledged prior to an Event of Default in
              the ordinary course of business;

     (xix)    where any report provided pursuant to Clause 20.1(iii)(b) shows
              that the amount of receivables owing to the Borrower are less than
              70% of all receivables owing to the Group, provide or procure the
              provision to the Security Trustee on behalf of all the
              Beneficiaries at the Borrower's expense (which, for the avoidance
              of doubt, may include the cost of obtaining any legal opinions
              required by the Agent or pursuant to the Finance Documents) such
              additional security (including security over the receivables or
              other assets of individual Group Entities) as the Agent may
              specify;

     (xx)     ensure adequate contributions are made to pension schemes in
              respect of employees of the Group where such pension schemes are
              required in the Relevant Jurisdiction of such Group Entity; and

     (xxi)    promptly notify the Agent of any termination before the end of its
              usual contractual term of the Supply Agreement or any material
              adverse change to the Supply Agreement.

22.2 The Borrower shall not and shall procure that no Group Entity shall,
without the prior written consent of an Instructing Group (and, in the case of
Clauses 22.2(iv) and 22.2(v) only, IFCO Europe shall procure that the Borrower
shall not, without the prior written consent of an Instructing Group):

     (i)      create (or agree to create) or permit to subsist any Encumbrance
              over all or any of its present or future revenues or assets or
              undertaking other than a Permitted Encumbrance;

     (ii)     save for Permitted Transactions and Permitted Loans, make or
              provide any loans or give any guarantees or grant any credit or
              other financial accommodation to or for the benefit of any person
              (or agree so to do) whether or not such person is a Group Entity
              other than (a) trade credit granted in the ordinary course of
              trading provided that such trade credit is on arm's-length terms
              and upon terms usual for such trade or (b) loans made to IFCO
              Europe Provided that the amount of such loans does not exceed, in
              aggregate DM500,000 (or its equivalent);

     (iii)    incur, create or permit to subsist or have outstanding any
              Financial Indebtedness other than Permitted Indebtedness;

     (iv)     pay, make or declare any dividend, return on capital, repayment of
              capital contributions or other distribution or make any
              distribution of assets or any payment in respect of interest or
              principal or other payment whatsoever whether directly or
              indirectly to any warrantholder;
<PAGE>

     (v)     agree any amendment to or variation of any document delivered to
             the Agent pursuant to Clause 4 or waive any right thereunder nor
             alter any rights attaching to the authorised and issued share
             capital of any Group Entity which, in any such case, (in the
             opinion of the Banks) might reasonably be expected materially and
             adversely to affect the interests of the Banks (for avoidance of
             doubt, nothing in this Clause 22.2 (v) shall prevent GE or General
             Electric Capital Corporation from exercising any of its rights to
             increase its shareholding in IFCO Europe under the Investment
             Agreement in accordance with its terms);

     (vi)    enter into any receivables purchase, factoring or discounting
             arrangements other than Permitted Factoring;

     (vii)   enter into any Treasury Transactions other than Permitted Treasury
             Transactions;

     (viii)  incur any Replacement Capital Expenditure other than Permitted
             Expenditure;

     (ix)    enter into any Finance Leases with any Non-Group Entity other than
             Permitted External Leasing.

22.3 The Borrower undertakes that it shall itself and shall procure that each
Group Entity shall ensure that without prejudice to any other restriction
contained in any of the Facility Documents and save as permitted by an
Instructing Group:

     (i)     no account of any Non-Group Entity shall be included in any profit
             and loss pooling arrangements (Ergebnisabfuhrungs-und
             Beherrschungsvertag) or arrangements whereby credit or debit
             balances on accounts of one or more Group Entity may be netted
             against debit or credit balances on accounts in the name of other
             Group Entities;

     (ii)    no payment of principal or interest, charges, fees or other amounts
             on any loan or other financial accommodation made by any Non-Group
             Entity to any Group Entity shall be made other than such payments
             made in relation to Permitted Indebtedness Provided that, for the
             avoidance of doubt, payments of trade credit otherwise permitted
             hereunder by any Group Entity to Schoeller Plast Industries GmbH
             made pursuant to any arrangements for deferred payment or any such
             payments where the proceeds of such payment are immediately used
             (directly or indirectly) in the repayment of Existing Indebtedness
             which is required to be repaid pursuant to this Agreement may be
             made;

     (iii)   all arrangements made by any Group Entity with any other person
             (whether or not such person is a Group Entity) shall be on arm's
             length terms (and the Auditors shall confirm to the Agent annually
             that any such arrangements made during the year to which the
             relevant confirmation relates were made on arm's length terms).

22.4 (i)     The Borrower shall, within ninety (90) days of the date hereof
             enter into the Treasury Transactions envisaged by the Hedging
             Strategy Letter.
<PAGE>

     (ii)    The Borrower agrees and each Hedge Counterparty agrees that:

             (a) any Hedging Agreement to which it is at any time party
                 governing the terms of a hedging transaction will be in the
                 form of either the German Framework Contract for Financial
                 Markets (Rahmenvertrag fur Finanztermingeschafte) or the ISDA
                 1992 Master Agreement and will provide for "two way payments"
                 in the event of a termination of that hedging transaction
                 entered into under such Hedging Agreement whether upon a
                 termination event or an Event of Default (as defined herein),
                 meaning that the defaulting party under that Hedging Agreement
                 will be entitled to receive payment under the relevant
                 termination provisions if the net replacement value of all
                 terminated transactions effected under that Hedging Agreement
                 is in its favour;

             (b) if on termination of any hedging transaction under any Hedging
                 Agreement to which it is party a settlement amount or other
                 amount falls due from the Hedge Counterparty to the Borrower
                 then, if the security constituted by the Senior Subordinated
                 Security Documents has become enforceable, that amount shall be
                 paid by such Hedge Counterparty to the Security Trustee and
                 treated as proceeds of enforcement of the security conferred by
                 the Senior Subordinated Security Documents for application in
                 the order prescribed in the Security Trust Agreement and
                 Intercreditor Agreement;

             (c) until service of a notice by the Agent under Clause 30.1, no
                 Hedge Counterparty will exercise any right it might otherwise
                 have pursuant to any Hedging Agreement to terminate any hedging
                 transactions under such Hedging Agreement or to refuse to make
                 any payment due from it thereunder; and

             (d) each Hedge Counterparty shall, promptly after the Agent has
                 served a notice under Clause 23.1, exercise any and all rights
                 it may have to terminate the hedging transactions under each
                 Hedging Agreement to which it is party, unless the Agent
                 (acting on the instructions of an Instructing Group) otherwise
                 agrees or requires.

22.5 The Borrower shall give the Agent not less than 25 business days' prior
written notice of the intention of it or of its subsidiaries to:

     (i)     change its accounting reference date or financial year end;

     (ii)    pay, make or declare any dividend, return on capital, repayment of
             capital contributions or other distribution or make any
             distribution of assets or any payment in respect of interest or
             principal or other payment whatsoever (each such payment referred
             to herein as a "distribution") whether directly or indirectly to
             any shareholder save for Permitted Transactions or otherwise where
             the proceeds of such distribution are to be immediately utilised in
             the repayment of Existing Indebtedness which is intended to be
             repaid pursuant to the terms hereof or a prepayment hereunder;
<PAGE>

      (iii)  (a) issue or redeem or repurchase, purchase, defease or retire any
             shares other than pursuant to any Flotation of such shares or (b)
             alter any rights attaching to its issued shares in existence
             (including preference shares) at the date hereof which would
             increase amounts payable in respect of those shares or materially
             adversely affect the rights and interests of the Beneficiaries;

      (iv)   dispose of, by one or more transactions or series of transactions
             (whether related or not and whether involuntarily or voluntarily),
             the whole or any part of or any interest in its revenues, assets,
             business or undertaking other than Permitted Disposals;

      (v)    make any material changes to the general nature of the business of
             the Borrower or the Group on the date hereof, or carry on any other
             business which results in any change to the nature of such
             business.

22.6  The Agent shall be entitled within 10 business days of receipt of the
Borrower's notice under Clause 22.5 to request the Borrower to supply to the
Agent in sufficient copies for the Banks any relevant information in connection
with the proposed action or steps referred to in such notice.

22.7  The Agent shall notify the Borrower, within 10 business days of receipt of
the Borrower's notice under Clause 22.5, or if additional information has been
requested by the Agent within the prescribed time, within 10 business days of
receipt of such information, whether the proposed action or steps under Clause
22.5 is or is, in the reasonable opinion of the Agent, acting on the
instructions of an Instructing Group, likely to have a Material Adverse Effect.

22.8  If the proposed action or steps under Clause 22.5 is so considered by the
Agent to have a Material Adverse Effect and the relevant member of the Group
nevertheless takes such action or steps under Clause 22.5, the Agent shall be
entitled to make (and, if so instructed by an Instructing Group, shall make) the
declaration, request and/or instruction set out in Clause 23.1 and call for
repayment of the Advances and exercise the other rights in accordance with
Clause 23.2.

22.9  IFCO Europe hereby undertakes that it shall procure that so long as any
amount remains outstanding under any of the Facility Documents or the Senior
Facility Documents, MTS shall not utilise any Intellectual Property or other
property or assets owned, leased, licensed or otherwise made available to any
Group Entity.

22.10 The Borrower hereby undertakes to provide the Agent and the Arranger with
any information or other assistance they may require in updating the Information
Memorandum with a view to undertaking a Syndication of the Facility.

22.11 The Borrower shall, promptly upon becoming aware of the same, notify the
Agent (and provide the Agent with reasonable details) of any claims which are
made or any breach alleged pursuant to or in respect of any warranties and
indemnities contained in the Investment Agreement where the potential claim
exceeds DM1,000,000 (or its equivalent).

22.12 The Borrower shall not and shall procure that no Group Entity shall,
except with the prior written consent of the Banks:

      (i)    (a) purchase, subscribe for or otherwise acquire any shares (or
             other securities or any
<PAGE>

             interest therein) in, or incorporate, any other company or agree to
             do any of the foregoing, (b) purchase or otherwise acquire any
             assets (other than in the ordinary course of trading) or revenues
             or (without limitation to any of the foregoing) acquire any
             business or interest therein or (c) form or enter into any
             partnership, consortium, joint venture or other like arrangement or
             agree to do so; or

      (ii)   enter into any merger or consolidation with any other person other
             than as permitted pursuant to Clause 22.12(i),

and it is hereby acknowledged and agreed that where the Borrower makes any
request for consent pursuant to this Clause 22.12, the Banks and the Borrower
shall consult in good faith.

22.13 The Borrower shall procure that any Encumbrance created pursuant to the
agreement dated 4 July/12 July 1996 between the Borrower and Rewe-Zentral AG,
Koln, Cologne is released or discharged on or before the date falling six months
after the date hereof and that all assets subject to such Encumbrances are,
forthwith upon their release from such Encumbrance, secured in favour of the
Beneficiaries to the satisfaction of the Agent.

22.14 The Borrower shall ensure that any member of the Group which has any
interest in any crates or in any leasing or ancillary transactions relating to
crates shall provide effective security over such interest in favour of the
Security Trustee to the satisfaction of the Agent and shall notify the Agent
forthwith upon taking delivery of any New Crates or purchasing any crates from
any lessors (such notification to contain details as to the number, type and
identification of such crates or any other information the Agent may reasonably
require).

22.15 IFCO Europe shall procure that at least DM1,000,000 of additional capital
is invested by way of equity into the Borrower no later than 31 March 1998.

22.16 The Borrower shall procure that the only creditors of GBL remain, at all
times, the Borrower and SPI and, in the case of SPI, such company is a creditor
of GBL only to the extent of that part of the purchase price for the Patent
which remains unpaid at such time.

22.17 The Borrower shall provide security, in form and substance satisfactory to
the Security Trustee over any shares acquired by it in Gelog AG after the date
hereof and shall procure that any shares acquired by any of the directors of
Gelog AG are so secured in favour of the Security Trustee.

23.   Events of Default

23.1  If:

      (i)    the Borrower fails to pay any sum due from it under this Agreement
             at the time (or within three business days of the due date for
             payments therefor where such failure is due to a technical or
             administrative difficulty in payment of funds) and in the manner
             specified therein; or

      (ii)   any representation, warranty or statement made or repeated by
             either the Borrower, IFCO Europe or any other person granting
             security pursuant to the Facility Documents in any of the Facility
             Documents to which it is a party or in any notice or other
<PAGE>

             document, certificate or statement delivered by it pursuant thereto
             or in connection therewith is or proves to have been incorrect or
             misleading in any material respect when made or repeated and it is
             not remedied (if capable of being remedied) within 10 business days
             of the earlier of the Borrower's knowledge that such
             representation, warranty or statement was inaccurate or notice
             thereof to the Borrower by the Agent; or

     (iii)   the Borrower fails to perform or comply with any of the obligations
             expressed to be assumed by it in Clause 21; or

     (iv)    either the Borrower, IFCO Europe or any other person granting
             security pursuant to the Facility Documents fails duly to perform
             or comply with any other obligation expressed to be assumed by it
             in any of the Facility Documents to which it is a party and such
             failure is not remedied (if capable of being remedied) within 10
             business days of the earlier of the Borrower's knowledge of such
             failure or notice thereof to the Borrower by the Agent; or

     (v)     at any time the Borrower, IFCO Europe or any other person granting
             security pursuant to the Facility Documents no longer has the legal
             power to perform its obligations under the Facility Documents to
             which it is a party or to own its assets or to carry on its
             business substantially as presently conducted or at any time it is
             or becomes unlawful for either the Borrower, IFCO Europe or any
             other person granting security pursuant to the Facility Documents
             to conform or comply with any or all of its obligations under any
             Facility Document to which it is a party or any of the obligations
             of either of the Borrower, IFCO Europe or any other person granting
             security pursuant to the Facility Documents thereunder are not or
             cease to be legal, valid and binding and enforceable; or

     (vi)    any Financial Indebtedness (not being Financial Indebtedness owed
             solely by one Group Entity to another Group Entity) of IFCO Europe
             or any Group Entity or Group Entities in an amount in aggregate
             exceeding DM5,000,000 or its equivalent is not paid when due (or
             within any grace period originally provided), or is declared to be
             or otherwise becomes due and payable prior to its specified
             maturity or any creditor or creditors of IFCO Europe or any Group
             Entity or Group Entities become entitled to declare any such
             Financial Indebtedness due and payable prior to its specified
             maturity; or

     (vii)   any Material Group Entity shall cease or suspend or threaten to
             cease or suspend all or a material part of its operations or
             business; or

     (viii)  any Material Group Entity or IFCO Europe ceases or suspends
             generally payment of its debts or announces an intention so to do
             or is (or is deemed for the purposes of any law applicable to it to
             be) unable to pay its debts as they fall due, commences
             negotiations with any one or more of its creditors with a view to a
             general readjustment or rescheduling of its indebtedness or makes a
             general assignment for the benefit of or a composition with its
             creditors or a moratorium is declared in respect of any of the
             indebtedness of any Material Group Entity; or
<PAGE>

     (ix)    any Material Group Entity takes any corporate action or legal
             proceedings (which proceedings are not discharged of within 14 days
             provided such proceedings are contested in good faith) are started
             for its winding-up, dissolution or administration (or its
             equivalent in any other applicable jurisdiction) (other than
             pursuant to a solvent reorganisation previously approved in writing
             by an Instructing Group) or for the appointment of a liquidator,
             receiver, administrator, administrative receiver, trustee or
             similar officer of it or of any or all of its revenues and assets
             or any application is made or petition is lodged for the making of
             an administration order in relation to any Material Group Entity
             and not discharged within 14 days (provided such proceedings are
             contested in good faith) or any analogous proceedings shall be
             commenced against any Material Group Entity under the laws of any
             jurisdiction; or

     (x)     any execution or distress is levied against, or encumbrancer takes
             possession of the whole or any part of, the property, undertaking
             or assets of any Material Group Entity or any analogous proceedings
             shall be commenced against any Material Group Entity under the laws
             of any jurisdiction and not discharged within 14 days provided such
             proceedings are contested in good faith where such execution or
             distress has a Material Adverse Effect; or

     (xi)    any event occurs or proceedings are taken with respect to any
             Material Group Entity in any jurisdiction to which it is subject or
             in which it has assets which has an effect similar to or equivalent
             to any one of the events mentioned in sub-clauses (viii) to (x)
             inclusive to this Clause 23.1; or

     (xii)   the security created by any Encumbrance created by any Material
             Group Entity becomes enforceable and any steps are taken by the
             beneficiary of such Encumbrance to enforce the same; or

     (xiii)  all or a majority of the issued shares of any Material Group Entity
             or the whole or any part (not being a wholly immaterial part) of
             its revenues or assets is seized, nationalised, expropriated or
             compulsorily acquired; or

     (xiv)   GE ceases to hold at least 24% of the shares of IFCO Europe or, at
             any time, the level of control which GE holds in IFCO Europe is
             decreased or the shareholding which it holds in IFCO Europe at such
             time is decreased (other than where there is a dilution in the
             shareholding which GE has in IFCO Europe at any time which is less
             than five per cent of the total share capital issued by IFCO Europe
             at such time and (a) GE continues to hold at least 20% of the
             shares of IFCO Europe; (b) such dilution (in the opinion of an
             Instructing Group) does not reduce GE's rights and obligations
             under the Investment Agreement; (c) none of the obligations of any
             person under any of the Facility Documents would be affected by
             such dilution; (d) no previous dilution in GE's investment in IFCO
             Europe has occurred; and (e) the Borrower has given to the Agent at
             least ten business days' prior notice of such dilution and the
             Agent (acting on the instructions of an Instructing Group (acting
             reasonably)) has not informed the Borrower that it does not agree
             to such dilution; or

     (xv)    GE ceases to be a wholly-owned subsidiary of General Electric
             Capital Corporation; or
<PAGE>

     (xvi)   the Borrower is no longer a wholly-owned subsidiary of IFCO Europe;
             or

     (xvii)  any Facility Document or the security intended to be constituted by
             any of the Facility Documents is repudiated or the validity or
             applicability thereof to any sums due or to become due thereunder
             is disaffirmed by or on behalf of any party thereto; or

     (xviii) the Borrower's auditors qualify their annual audited report to the
             consolidated accounts of the Group in a manner which is, in the
             reasonable opinion of an Instructing Group, material in the context
             of the Facility; or

     (xix)   any Group Entity breaches any Environmental Law or any
             Environmental Claim is made or threatened against any Group Entity
             which, in either case, might reasonably be expected to have a
             Material Adverse Effect; or

     (xx)    any litigation, arbitration, administrative proceedings or
             governmental or regulatory investigations, proceedings or disputes
             are commenced or threatened against any Group Entity or its
             respective assets or revenues or there are any circumstances likely
             to give rise to any such litigation, arbitration, administrative
             proceedings or governmental or regulatory investigations,
             proceedings or disputes which is likely to be adversely determined
             and, if adversely determined, would be reasonably likely to have a
             Material Adverse Effect; or

     (xxi)   any circumstances occur or exist which (in the reasonable opinion
             of an Instructing Group) have a Material Adverse Effect; or

     (xxii)  any of the pledges over the shares or other security over MTS or
             any Group Entity forming part of the Senior Subordinated Security
             Documents ceases to be legal, valid and binding and this has not
             been remedied to the satisfaction of an Instructing Group within 10
             business days of the earlier of the Borrower's board of directors
             knowledge thereof or notice thereof to the Borrower by the Agent;
             or

     (xxiii) the average price of crates supplied pursuant to the Supply
             Agreement increases above the level of DM6.10 or there is any other
             alteration to the Supply Agreement where such alteration is, in the
             opinion of an Instructing Group, likely to have a Material Adverse
             Effect; or

     (xxiv)  there is a reduction in the level of shareholding (if any) which
             IFCO Europe has in MTS; or

     (xxv)   any Material Leasing Agreement is terminated by reason of a default
             (howsoever described) on the part of a Group Entity and such
             termination, in the opinion of an Instructing Group, has a Material
             Adverse Effect,

then, subject to the provisions of the Disclosure Letter and in any such case
and at any time thereafter the Agent may (and, if so instructed by an
Instructing Group, shall) by written notice to the Borrower:
<PAGE>

     (a)     declare that the Total Commitments shall be cancelled whereupon the
             same shall be cancelled and the Commitment of each Bank shall be
             reduced to zero; and/or

     (b)     declare the Advances to be immediately due and payable (whereupon
             the same shall become so payable together with accrued interest
             thereon and any other sums then owed by the Borrower hereunder) or
             declare the Advances to be due and payable on demand of the Agent;
             and/or

     (c)     subject to the provisions of the Intercreditor Agreement, exercise
             or direct the Security Trustee to exercise all rights and remedies
             of a mortgagee or a secured party at such time, whether or not
             applicable to the affected assets subject to the Senior
             Subordinated Security Documents, and otherwise the right to
             foreclose the Encumbrances granted herein or in any of the Senior
             Subordinated Security Documents by any available judicial procedure
             and/or to take possession of any or all of the assets subject to
             the Senior Subordinated Security Documents, the other security for
             the Advances and the books and records relating thereto, with or
             without judicial process. For the purposes of the preceding
             sentence, the Security Trustee may enter upon any or all of the
             premises where any of the assets subject to the Senior Subordinated
             Security Documents, such other security or books or records may be
             situated and take possession and remove the same therefrom.

23.2 If, pursuant to Clause 23.1, the Agent declares the Advances and/or any
other amount to be due and payable on demand of the Agent, then, and at any time
thereafter, the Agent may (and, if so instructed by an Instructing Group, shall)
by written notice to the Borrower:

     (i)     call for payment or repayment of the Advances and/or any other
             amount owing by the Borrower hereunder on such date as it may
             specify in such notice (whereupon the same shall become due and
             payable on such date together with accrued interest thereon) or
             withdraw its declaration with effect from such date as it may
             specify in such notice; and/or

     (ii)    select as the duration of any Interest Period which begins whilst
             such declaration remains in effect a period of six months or less;
             and/or

     (iii)   declare that the Senior Subordinated Security Documents (or any
             other them) shall have become enforceable subject to and in
             accordance with the provisions thereof.
<PAGE>

                                    Part 8

                        DEFAULT INTEREST AND INDEMNITY

24.   Default Interest and Indemnity

24.1  If any sum due and payable by the Borrower under the Facility Documents is
not paid on the due date therefor in accordance with the provisions of Clause 26
or if any sum due and payable by the Borrower under any judgment of any court in
connection therewith is not paid on the date of such judgment, the period
beginning on such due date or, as the case may be, the date of such judgment and
ending on the date upon which the obligation of the Borrower to pay such sum
(the balance thereof for the time being unpaid being herein referred to as an
"unpaid sum") is discharged shall be divided into successive periods, each of
which (other than the first) shall start on the last day of the preceding such
period and the duration of each of which shall (except as otherwise provided in
this Clause 24) be selected by the Agent having regard to when such unpaid sum
is likely to be paid.

24.2  During each such period relating thereto as is mentioned in Clause 24.1 an
unpaid sum shall bear interest or, insofar as it relates to unpaid interest,
shall give rise to a claim for lump sum damages, at the rate per annum which is
the sum from time to time of three per cent. per annum and FIBOR on the
Quotation Date therefor Provided that:

      (i)    if, for any such period, FIBOR cannot be determined, the rate of
             interest or, as the case may be, lump sum damages applicable to
             each Bank's portion of such unpaid sum shall be the rate per annum
             which is the sum of three per cent. per annum and the rate per
             annum notified to the Agent by such Bank as soon as practicable
             after the beginning of such period as being that which expresses as
             a percentage rate per annum the cost to such Bank of funding from
             whatever source it may select its portion of such unpaid sum for
             such period; and

      (iii)  if such unpaid sum is all or part of an Advance which became due
             and payable on a day other than the last day of the Interest Period
             in respect thereof (as the case may be), the first such period
             applicable thereto shall be of a duration equal to the unexpired
             portion of that Interest Period (as the case may be) and the rate
             of interest or, as the case may be, lump sum damages applicable
             thereto from time to time during such period shall be that which
             would have been applicable to it had it not so fallen due plus such
             rate as is necessary to increase the Margin that would be otherwise
             payable on such amount to three per cent. per annum.

24.3  Any interest or lump sum damages which shall have accrued under Clause
24.2 in respect of an unpaid sum shall be due and payable and shall be paid by
the Borrower at the end of the period by reference to which it is calculated or
on such other date or dates as the Agent may specify by written notice to the
Borrower.

24.4  If any Bank or the Agent on its behalf receives or recovers all or any
part of such Bank's share of an Advance otherwise than on the last day of the
Interest Period in respect thereof, the Borrower shall pay to the Agent on
demand for account of such Bank an amount equal to the amount (if any) by which
(i) the additional interest (excluding the Margin) which would have been payable
on the amount so received or recovered had it been received or recovered on the
last day of the Interest Period in
<PAGE>

respect thereof exceeds (ii) the amount of interest which in the opinion of the
Agent would have been payable to the Agent on the last day of the Interest
Period in respect thereof on the basis of the rate determined by the Agent to be
the arithmetic mean (rounded to four decimal places) of the rates specified by
each Reference Bank to the Agent at which each of the Reference Banks was
offering to prime banks in the Frankfurt Interbank Market deposits in the
currency of the amount so received or recovered equal to the amount so received
or recovered for a period starting on the third business day following the date
of such receipt or recovery and ending on the last day of the Interest Period in
respect thereof.

24.5  The Borrower undertakes to indemnify (to the extent that such indemnity
does not in any relevant jurisdiction contravene any law which restricts the
incurring of any obligation or liability by the Borrower in connection with the
Investment):

      (i)    each of the Beneficiaries against any cost, claim, loss, expense
             (including legal fees) or liability together with any VAT thereon,
             which any of them may sustain or incur as a consequence of the
             occurrence of any Event of Default or any default by the Borrower,
             IFCO Europe or any member of the Group or any of them in the
             performance of any of the obligations expressed to be assumed by
             them in any of the Facility Documents;

      (ii)   the Agent against any cost or loss it may suffer or incur as a
             result of its entering into or performing any foreign exchange
             contract for the purposes hereof; and

      (iii)  each Bank against any loss it may suffer as a result of its funding
             its portion of an Advance requested by any Borrower hereunder but
             not made available by reason of the operation of any one or more of
             the provisions hereof.

24.6  Any unpaid sum shall (for the purposes of this Clause 24 and Clause 16.1)
be treated as an advance and accordingly in this Clause 24 the term "Advance"
includes any unpaid sum and "Interest Period", in relation to an unpaid sum,
includes each such period relating thereto as is mentioned in Clause 24.1.
<PAGE>

                                    Part 9

                                   PAYMENTS

25.   Currency of Account and Payment

25.1  Deutsche Mark is the currency of account and payment for each and every
sum at any time due from the Borrower hereunder Provided that:

      (i)   each payment in respect of costs and expenses shall be made in the
            currency in which the same were incurred;

      (ii)  each payment pursuant to Clause 13.2 or Clause 16.1 shall be made in
            the currency specified by the party claiming thereunder; and

      (iii) any amount expressed to be payable in a currency other than Deutsche
            Mark shall be paid in that other currency.

25.2  If any sum due from the Borrower under any of the Facility Documents or
any order or judgment given or made in relation thereto has to be converted from
the currency (the "first currency") in which the same is payable thereunder or
under such order or judgment into another currency (the "second currency") for
the purpose of (i) making or filing a claim or proof against the Borrower, (ii)
obtaining an order or judgment in any court or other tribunal or (iii) enforcing
any order or judgment given or made in relation hereto, the Borrower shall
indemnify and hold harmless each of the persons to whom such sum is due from and
against any loss suffered as a result of any discrepancy between (a) the rate of
exchange used for such purpose to convert the sum in question from the first
currency into the second currency and (b) the rate or rates of exchange at which
such person may in the ordinary course of business purchase the first currency
with the second currency upon receipt of a sum paid to it in satisfaction, in
whole or in part, of any such order, judgment, claim or proof.

26.   Payments

26.1  On each date on which this Agreement requires an amount to be paid by the
Borrower or any of the Banks hereunder, the Borrower or, as the case may be,
such Bank shall make the same available to the Agent by payment in Deutsche Mark
(or, where applicable, Euro) in immediately available, freely transferable,
cleared funds to such account with such bank as the Agent shall have specified
for this purpose.

26.2  If, at any time, it shall become impracticable (by reason of any action of
any governmental authority or any change in law, exchange control regulations or
any similar event) for the Borrower to make any payments hereunder in the manner
specified in Clause 26.1, then the Borrower may agree with each or any of the
Banks alternative arrangements for the payment direct to such Bank of amounts
due to such Bank hereunder  Provided that, in the absence of any such agreement
with any Bank, the Borrower shall be obliged to make all payments due to such
Bank in the manner specified herein.  Upon reaching such agreement the Borrower
and such Bank shall immediately notify the Agent thereof and shall thereafter
promptly notify the Agent of all payments made direct to such Bank.

26.3  Save as otherwise provided herein, each payment received by the Agent for
the account of
<PAGE>

another person pursuant to Clause 26.1 shall be made available by the Agent to
the person for whose account such payment was received (in the case of a Bank,
for the account of the Facility Office) for value the same day by transfer to
such account of such person with such bank in the principal financial centre of
the country of the currency of such payment as such person shall have previously
notified to the Agent.

26.4  All payments required to be made by the Borrower hereunder shall be
calculated without reference to any set-off or counterclaim and shall be made
free and clear of and without any deduction for or on account of any set-off or
counterclaim.

26.5  Where a sum is to be paid hereunder to the Agent for account of another
person, the Agent shall not be obliged to make the same available to that other
person or to enter into or perform any exchange contract in connection therewith
until it has been able to establish to its satisfaction that it has actually
received such sum, but if it does so and it proves to be the case that it had
not actually received such sum, then the person to whom such sum or the proceeds
of such exchange contract was so made available shall on request refund the same
to the Agent together with an amount sufficient to indemnify the Agent against
any cost or loss it may have suffered or incurred by reason of its having paid
out such sum or the proceeds of such exchange contract prior to its having
received such sum.

27.   Set-Off

The Borrower authorises each Bank for so long as an Event of Default is
continuing to apply any credit balance to which the Borrower is entitled on any
account with that Bank in satisfaction of any sum due and payable from the
Borrower to such Bank hereunder but unpaid; for this purpose, each Bank is
authorised to purchase with the moneys standing to the credit of any such
account such other currencies as may be necessary to effect such application.
No Bank shall be obliged to exercise any right given to it by this Clause 27.

28.   Redistribution of Payments

28.1  If, at any time, the proportion which any Bank (a "Recovering Bank") has
received or recovered (whether by payment, the exercise of a right of set-off or
combination of accounts or otherwise) in respect of its portion of any payment
(a "relevant payment") to be made under this Agreement by the Borrower for
account of such Recovering Bank and one or more other Banks is greater (the
portion of such receipt or recovery giving rise to such excess proportion being
herein called an "excess amount") than the proportion thereof so received or
recovered by the Bank or Banks so receiving or recovering the smallest
proportion thereof, then:

      (i)   such Recovering Bank shall pay to the Agent an amount equal to such
            excess amount;

      (ii)  there shall thereupon fall due from the Borrower to such Recovering
            Bank an amount equal to the amount paid out by such Recovering Bank
            pursuant to paragraph (i) above, the amount so due being, for the
            purposes hereof, treated as if it were an unpaid part of such
            Recovering Bank's portion of such relevant payment; and

      (iii) the Agent shall treat the amount received by it from such Recovering
            Bank pursuant to paragraph (i) above as if such amount had been
            received by it from the Borrower in respect of such relevant payment
            and shall pay the same to the persons entitled thereto
<PAGE>

            (including such Recovering Bank) pro rata to their respective
            entitlements thereto.

28.2  If any sum (a "relevant sum") received or recovered by a Recovering Bank
in respect of any amount owing to it by the Borrower becomes repayable and is
repaid by such Recovering Bank, then:

      (i)   each Bank which has received a share of such relevant sum by reason
            of the implementation of Clause 28.1 shall, upon request of the
            Agent, pay to the Agent for account of such Recovering Bank an
            amount equal to its share of such relevant sum; and

      (ii)  there shall thereupon fall due from the Borrower to each such Bank
            an amount equal to the amount paid out by it pursuant to paragraph
            (i) above, the amount so due being, for the purposes hereof, treated
            as if it were the sum payable to such Bank against which such Bank's
            share of such relevant sum was applied.

28.3 If any Bank shall commence any action or proceeding in any court to enforce
its rights hereunder and, as a result thereof or in connection therewith, shall
receive any excess amount (as defined in Clause 28.1), then such Bank shall not
be required to share any portion of such excess amount with any Bank which has
the legal right to, but does not, join in such action or proceeding or commence
and diligently prosecute a separate action or proceeding to enforce its rights
in another court.
<PAGE>

                                    Part 10

                            FEES, COSTS AND EXPENSES

29.   Fees

29.1  The Borrower shall pay to the Arranger on the date hereof the underwriting
and arrangement fees specified in the letter dated the date hereof from the
Arranger to the Borrower at the times, and in the amounts, agreed in such
letter.

29.2  The Borrower shall pay to the Agent for its own account the agency fees
specified in the letter of even date herewith from the Agent to the Borrower at
the times, and in the amounts, agreed in such letter.

30.   Costs and Expenses

30.1  The Borrower shall pay to the Agent at the time and in the manner and
amount specified in the letter of even date herewith from the Agent to the
Borrower the amounts payable by it in respect of legal and other expenses
(including disbursements and printing costs) together with any VAT thereon
incurred by it in connection with the negotiation, preparation and execution of
the Facility Documents and the completion of the transactions herein and therein
contemplated.

30.2  The Borrower shall, from time to time on demand of the Agent, reimburse
the Beneficiaries for all reasonable costs and expenses (including legal fees)
together with any VAT thereon incurred in or in connection with any actual or
proposed amendment, waiver or restructuring of the Facility, or with the
preservation and/or enforcement of any of the rights of the Beneficiaries under
the Facility Documents or any of the documents referred to therein in any
jurisdiction.

30.3  The Borrower shall pay all stamp, registration and other taxes to which
the Facility Documents or any judgment given in connection herewith is or at any
time may be subject and shall, from time to time on demand in writing of the
Agent, indemnify the Beneficiaries against any liabilities, costs, claims and
expenses resulting from any failure to pay or any delay in paying any such tax.

30.4  The Borrower shall, from time to time on demand of the Agent (and without
prejudice to the provisions of Clause 30.2) compensate the Agent for the time
and expenditure, all costs and expenses (including telephone, fax, copying,
travel and personnel costs) reasonably incurred by the Agent in connection with
its taking such action as it may deem appropriate or in complying with any
instructions from an Instructing Group or any request by the Borrower or IFCO
Europe in connection with:

      (a)   the granting or proposed granting of any waiver or consent requested
            hereunder by the Borrower or IFCO Europe;

      (b)   any actual, potential or suspected breach by the Borrower or IFCO
            Europe of its obligations hereunder;

      (c)   the occurrence of any event which is an Event of Default or a
            Potential Event of Default; or
<PAGE>

      (d)   any amendment or proposed amendment hereto requested by the Borrower
            or IFCO Europe.

30.5  If the Borrower fails to perform any of its obligations under this Clause
30, each Bank shall, in its Proportion, indemnify each of the Beneficiaries
against any loss incurred by any of them as a result of such failure and the
Borrower shall forthwith reimburse each Bank for any payment duly made by it
pursuant to this Clause 30.5.
<PAGE>

                                    Part 11

                               AGENCY PROVISIONS

31.   The Agent, the Arranger and the Banks

31.1  The Arranger and each Bank hereby appoints the Agent to act as its agent
in connection with the Facility Documents and to exercise such rights, powers,
authorities and discretions as are specifically delegated to the Agent by the
terms of the Facility Documents together with all such rights, powers,
authorities and discretions as are reasonably incidental thereto Provided that
the Agent shall not be authorised to commence any legal actions or proceedings
on behalf of any Bank without such Bank's written consent. The Agent shall be
released from the restrictions set out in Section 181 of the German Civil Code.
The Agent can grant substitute powers of attorney and release any sub-agent from
such restrictions and revoke such substitute powers of attorney.

31.2  For the purposes of Part 11: "Agent's Liabilities" means all liabilities
(including any liability in respect of tax), costs, fees, charges, damages,
losses and expenses (including legal fees and expenses and, in each case, VAT or
any similar tax charged or chargeable in respect thereof):

      (i)   to which the Agent becomes subject by reason of it acting as agent
            under the Facility Documents; and

      (ii)  incurred by the Agent or any attorney, agent, delegate or other
            person appointed by the Agent under any Facility Document in
            relation to or arising out of the taking or holding of any of the
            security given or created by or pursuant to any of the Facility
            Documents or in the execution or purported execution of the rights,
            trust, powers, authorities, discretions and obligations vested in
            it,

      in each case under the Facility Documents or by law, including but not
      limited to those relating to all actions, proceedings, claims and demands
      in respect of any matter or thing done or omitted in any way relating to
      the Facility Documents and all amounts due to the Agent by way of
      remuneration for acting as agent or trustee (as the case may be) under any
      of the Facility Documents.

31.   The Agent may:

      (i)   assume that:

            (a)  any representation made by the Borrower or IFCO Europe or any
                 Group Entity in connection herewith or in connection with any
                 other Facility Document is true;

            (b)  no Event of Default or Potential Event of Default has occurred;

            (c)  neither the Borrower nor IFCO Europe nor any Group Entity is in
                 breach of or default under its obligations hereunder or under
                 any other Facility Document; and
<PAGE>

            (d)  any right, power, authority or discretion vested herein or in
                 any other Facility Document upon an Instructing Group, the
                 Banks or any other person or group of persons has not been
                 exercised,

            unless it has, in its capacity as agent for the Banks, received
            notice to the contrary from any other party hereto;

      (ii)  assume that the Facility Office of each Bank is that identified with
            its signature below (or, in the case of a Transferee, at the end of
            the Transfer Certificate to which it is a party as Transferee) until
            it has received from such Bank a notice designating some other
            office of such Bank to replace its Facility Office and act upon any
            such notice until the same is superseded by a further such notice;

      (iii) engage and pay for the advice or services of any lawyers,
            accountants, surveyors or other experts whose advice or services may
            to it seem necessary, expedient or desirable and rely upon any
            advice so obtained;

      (iv)  rely as to any matters of fact which might reasonably be expected to
            be within the knowledge of the Borrower upon a certificate signed by
            or on behalf of the Borrower;

      (v)   rely upon any communication or document believed by it to be
            genuine;

      (vi)  refrain from exercising any right, power or discretion vested in it
            as agent hereunder unless and until instructed by an Instructing
            Group as to whether or not such right, power or discretion is to be
            exercised and, if it is to be exercised, as to the manner in which
            it should be exercised; and

      (vii) refrain from acting in accordance with any instructions of an
            Instructing Group to begin any legal action or proceeding arising
            out of or in connection with any of the Facility Documents until it
            shall have received such security as it may require (whether by way
            of payment in advance or otherwise) for all costs, claims, losses,
            expenses (including legal fees) and liabilities together with any
            VAT thereon which it will or may expend or incur in complying with
            such instructions.

31.4  The Agent shall:

      (i)   promptly inform each Bank of the contents of any written notice or
            document received by it in its capacity as Agent from either of the
            Borrower or IFCO Europe or any Group Entity under any Facility
            Document;

      (ii)  promptly notify each Bank of the occurrence of any Event of Default
            or any default by either of the Borrower or IFCO Europe or any Group
            Entity in the due performance of or compliance with its obligations
            under any Facility Document of which the Agent has written notice
            from any other party hereto;

      (iii) save as otherwise provided herein, act as agent under the Facility
            Documents in accordance with any instructions given to it by an
            Instructing Group, which instructions shall be binding on the
            Beneficiaries; and
<PAGE>

      (iv)  if so instructed by an Instructing Group, refrain from exercising
            any right, power or discretion vested in it as agent under the
            Facility Documents.

31.5  Notwithstanding anything to the contrary expressed or implied herein
neither the Agent nor the Arranger shall:

      (i)   be bound to enquire as to:

            (a)  whether or not any representation made by either of the
                 Borrower or IFCO Europe or any Group Entity in connection with
                 any Facility Document is true;

            (b)  the occurrence or otherwise of any Event of Default or
                 Potential Event of Default;

            (c)  the performance by either of the Borrower or IFCO Europe or any
                 Group Entity of its obligations under any Facility Document; or

            (d)  any breach of or default by either of the Borrower or IFCO
                 Europe or any Group Entity of or under its obligations under
                 any of the Facility Documents;

      (ii)  be bound to account to any Bank for any sum or the profit element of
            any sum received by it for its own account;

      (iii) be bound to disclose to any other person any information relating to
            any Group Entity if such disclosure would or might in its opinion
            constitute a breach of any law or regulation or be otherwise
            actionable at the suit of any person;

      (iv)  be under any obligations other than those for which express
            provision is made herein.

31.6  Each Bank shall, from time to time on demand by the Agent, indemnify the
Agent, in its Proportion, against any and all costs, claims, losses, expenses
(including legal fees) and liabilities together with any VAT thereon which the
Agent may incur, otherwise than by reason of its own gross negligence or wilful
misconduct, in acting in its capacity as agent under any of the Facility
Documents.

31.7  Neither the Agent nor the Arranger accepts any responsibility for the
accuracy and/or completeness of the Reports, the Information Memorandum or the
Business Plan or any other information supplied by either of the Borrower or
IFCO Europe or any Group Entity in connection with any of the Facility Documents
(whether on, before or after the date hereof) or for the legality, validity,
effectiveness, adequacy or enforceability of the Facility Documents and neither
the Agent nor the Arranger shall be under any liability as a result of taking or
omitting to take any action (whether on, before or after the date hereof) in
relation to any of the Facility Documents, save in the case of its gross
negligence or wilful misconduct.

31.8  Each of the Banks agrees that it will not assert or seek to assert against
any director, officer or employee of the Agent or the Arranger any claim it
might have against any of them in respect of the matters referred to in Clause
31.7.
<PAGE>

31.9   Each of the Banks agrees that the liability of the Agent in performing
its duties hereunder shall be limited only to claims arising out of the Agent's
own gross negligence or wilful misconduct; further, with respect to any claim,
the Agent shall not be liable for any indirect or consequential loss or damage
suffered by any person.

31.10  The Agent and the Arranger may accept deposits from, lend money to and
generally engage in any kind of banking or other business with any Group Entity.

31.11  The Agent may resign its appointment hereunder at any time without
assigning any reason therefor by giving not less than thirty days' prior written
notice to that effect to each of the other parties hereto Provided that no such
resignation shall be effective until a successor for the Agent is appointed in
accordance with the succeeding provisions of this Clause 31.

31.12  If the Agent gives notice of its resignation pursuant to Clause 31.11,
then any reputable and experienced bank or other financial institution may after
consultation with the Borrower be appointed as a successor to such Agent by an
Instructing Group during the period of such notice but, if no such successor is
so appointed, the Agent may appoint such a successor itself.

31.13  If a successor to the Agent is appointed under the provisions of Clause
31.12, then (i) the retiring Agent shall be discharged from any further
obligation hereunder but shall remain entitled to the benefit of the provisions
of this Clause 31 and (ii) its successor and each of the other parties hereto
shall have the same rights and obligations amongst themselves as they would have
had if such successor had been a party hereto.

31.14  It is understood and agreed by each Bank that it has itself been, and
will continue to be, solely responsible for making its own independent appraisal
of and investigations into the financial condition, creditworthiness, condition,
affairs, status and nature of IFCO Europe and each Group Entity and,
accordingly, each Bank warrants to the Agent and the Arranger that it has not
relied on and will not hereafter rely on the Agent and the Arranger nor either
of them:

       (i)  to check or enquire on its behalf into the adequacy, accuracy or
            completeness of any information provided by either of the Borrower
            or IFCO Europe or any Group Entity in connection with any of the
            Facility Documents or the transactions therein contemplated (whether
            or not such information has been or is hereafter circulated to such
            Bank by the Agent and/or the Arranger); or

       (ii) to assess or keep under review on its behalf the financial
            condition, creditworthiness, condition, affairs, status or nature of
            IFCO Europe or any Group Entity.

31.15  In acting as Agent for the Banks, the Agent's agency divisions shall be
treated as a separate entity from any other of its divisions or departments and,
notwithstanding the foregoing provisions of this Clause 31, in the event that
the Agent should act for IFCO Europe or any Group Entity in any capacity in
relation to any other matter, any information given by IFCO Europe or such Group
Entity to the Agent in such other capacity may be treated as confidential by the
Agent.
<PAGE>

31.16  Notwithstanding anything to the contrary expressed or implied herein and
without prejudice to the provisions of Clause 31.15 the Agent shall not as
between itself and the Banks be bound to disclose to any Bank or other person
any information which is supplied by IFCO Europe or any Group Entity to the
Agent in its capacity as agent hereunder for the Banks and which is identified
by IFCO Europe or such Group Entity at the time it is so supplied as being
confidential information  Provided that the consent of IFCO Europe or the
relevant Group Entity to such disclosure shall not be required in relation to
any information which in the opinion of the Agent relates to an Event of Default
or Potential Event of Default or in respect of which the Banks have given a
confidentiality undertaking in a form satisfactory to the Agent and IFCO Europe
or the relevant Group Entity.

31.17  To the extent that the Agent or the Security Trustee receives or recovers
monies following the service of a notice in accordance with Clause 23.1 or 23.2
pursuant to or as a result of any breach of any Facility Document to be applied
in discharging any obligation (whether actual or contingent, present or future)
of the Borrower under any Facility Document and subject always to the terms of
the Intercreditor Agreement, such monies shall (without prejudice to the
respective rights of the Agent or the Security Trustee pursuant to any Facility
Document to credit any monies received by it to any suspense account) be applied
as between the Beneficiaries:

       (a)  first, in or towards payment of all costs and expenses incurred by
            the Agent and the Security Trustee in acting in those capacities
            under the Facility Documents;

       (b)  secondly, in or towards payment of any amounts which are due and
            payable at such time by the Borrower to any Beneficiary under any of
            the Facility Documents in respect of interest, guarantee commission,
            commitment commission and other fees pro rata to the respective
            entitlements of such Beneficiaries;

       (c)  thirdly, in or towards payment of any amounts which are due and
            payable at such time by the Borrower to any Beneficiary under any of
            the Facility Documents in respect of principal pro rata to the
            respective entitlements of such Beneficiaries;

       (d)  fourthly, in or towards payment of any other sums whatsoever then
            due and payable to the Beneficiaries pursuant to the Facility
            Documents pro rata to their respective entitlements;

       (e)  fifthly, if the Borrower is under no further actual or contingent
            liability hereunder, in payment to any person to whom the Security
            Trustee is obliged to pay in priority to the Borrower otherwise
            entitled thereto, to the extent it is so obliged; and

       (f)  sixthly, thereafter, in payment to the Borrower.
<PAGE>

                                    Part 12

                           ASSIGNMENTS AND TRANSFERS

32.   Benefit of Agreement

This Agreement shall be binding upon and enure to the benefit of each party
hereto and its or any subsequent successors, Transferees and assigns.

33.   Assignments and Transfers by the Borrower

The Borrower shall not be entitled to assign or transfer all or any of its
rights, benefits and obligations under any of the Facility Documents.

34.   Assignments and Transfers by Banks

34.1  Any Bank may at any time assign all or any of its rights and benefits
under the Facility Documents or assign and transfer in accordance with Clause
34.3 all or any of its rights, benefits and obligations to any Qualifying Bank
with (subject to Clause 34.7) the prior written consent of the Borrower (such
consent not to be unreasonably withheld).

34.2  If any Bank assigns all or any of its rights and benefits under the
Facility Documents in accordance with Clause 34.1 (but otherwise than in
accordance with Clause 34.3), then, unless and until the assignee has agreed
with the Agent and the other Banks that it shall be under the same obligations
towards each of them as it would have been under if it had been an original
party hereto or thereto as a Bank, the other Beneficiaries shall not be obliged
to recognise such assignee as having the rights against each of them which it
would have had if it had been such a party thereto.

34.3  If any Bank wishes to assign and transfer all or any of its rights and
benefits under any of the Facility Documents as contemplated in Clause 34.1,
then such assignment and transfer may (subject to the proviso to Clause 34.1) be
effected by the delivery to the Agent of a duly completed and duly executed
Transfer Certificate in which event, on the later of the Transfer Date specified
in such Transfer Certificate and the fourth business day after (or such earlier
business day endorsed by the Agent on such Transfer Certificate falling on or
after) the date of execution of such Transfer Certificate by the Agent:

      (i)    to the extent that in such Transfer Certificate the Bank party
             thereto seeks to transfer any of its obligations hereunder and/or
             under or in respect of the other Facility Documents, the Borrower,
             IFCO Europe and such Bank shall be released from further
             obligations towards one another hereunder and/or under or in
             respect of the other Facility Documents to such extent and their
             respective rights against one another shall to that extent be
             cancelled (such rights, benefits and obligations being referred to
             in this Clause as "discharged rights and obligations");
<PAGE>

      (ii)   to the extent that in such Transfer Certificate the Bank party
             thereto seeks to assign any of its rights and benefits hereunder
             and/or under or in respect of the other Facility Documents, they
             shall be so assigned and each of the Borrower and IFCO Europe
             agrees (subject to, in relation to the proposed transfer of the
             benefit of the Senior Subordinated Security Documents in such
             Transfer Certificate, compliance with relevant laws) that it is an
             effective assignment of such rights and benefits;

      (iii)  each of the Borrower, IFCO Europe and the Transferee party thereto
             shall assume obligations towards one another and/or acquire rights
             and benefits against one another which differ from such discharged
             rights and obligations only insofar as the Borrower, IFCO Europe
             and such Transferee have assumed and/or acquired the same in place
             of the Borrower, IFCO Europe and such Bank; and

      (iv)   the Beneficiaries shall acquire the same rights and benefits and
             assume the same obligations between themselves as they would have
             acquired and assumed had such Transferee been an original party
             hereto as a Bank with the rights, benefits and/or obligations
             acquired or assumed by it as a result of such transfer.

34.4  On the date upon which a transfer takes effect pursuant to Clause 34.3,
other than pursuant to the Syndication, the Transferee in respect of such
transfer shall pay to the Agent for its own account a transfer fee of DM3,000.

34.5  The Borrower shall from time to time at the request of the Agent promptly
execute any accession agreement to any of the Senior Subordinated Security
Documents and do any other act or thing or execute such further documents as
directed by the Agent in connection with the transfer of rights and benefits
under Clause 34.1.

34.6  Any transfer pursuant to Clause 34.3 of part of a Bank's Commitment shall
be in a minimum amount of DM5,000,000.

34.7  Any consent required to be given by a party under Clause 34.1 shall be
deemed to have been given unless such party shall have notified the requesting
party to the contrary within five business days of the request for such consent.

35.   Disclosure and Syndication

35.1  Any Bank may disclose to any person:-

      (a)  to (or through) whom such Bank assigns or transfer (or may
           potentially assign or transfer) all or any of its rights, benefits
           and obligations hereunder;

      (b)  with (or through) whom such Bank enters into (or may potentially
           enter into) any sub-participation in relation to, or any other
           transaction under which payments are to be made by reference to, the
           Facility Documents, the Borrower or IFCO Europe; or

      (c)  to whom information may be required to be disclosed by any applicable
           law or regulation,
<PAGE>

such information about the Borrower, IFCO Europe the Group and as such Bank
shall consider appropriate, provided that (in the case of (a) and (b) only) the
person to whom such information is to be given has entered into a
Confidentiality Undertaking.  If requested to do so by the Borrower, a Bank
shall inform the Borrower as to the identity of any person to whom it has given
such information.

35.2  The Borrower acknowledges that syndication of the Facility in accordance
with this Clause 35.2 may take place and undertakes to assist and co-operate
with the Arranger in such Syndication by, inter alia:

      (i)    expediting site visits at reasonable times upon reasonable notice
             by the Agent and persons who have been invited by the Arranger to
             participate in the Facility ("Invitees");

      (ii)   participating at reasonable times upon reasonable notice in
             presentations to the Banks and the Invitees concerning the
             Borrower, the Group Entities and their activities;

      (iii)  using all reasonable efforts (if necessary) to obtain appropriate
             authorisations from the Auditors, other accountants, consultants
             and professional advisers to release to the Banks and the Invitees
             any information, including the Reports;

      (iv)   refraining from making any statement, announcement or publication
             or doing any act or thing calculated to obstruct syndication of the
             Facility in any way other than as required by applicable law or
             good commercial practice; and

      (v)    if so requested by the Arranger, procuring the assistance of its
             directors and other officers in the updating of the Information
             Memorandum.

35.3  Each Bank confirms in favour of the Agent (on the date hereof, or, in the
case of a Bank which becomes a party hereto pursuant to a transfer or
assignment, on the date on which the relevant transfer or assignment becomes
effective) that either:

      (a)  it is not resident for tax purposes in the United Kingdom and is
           beneficially entitled to the Loan and the interest thereon; or

      (b)  it is a bank as defined for the purposes of Section 349 of ICTA and
           is beneficially entitled to the Loan and the interest thereon,

and each Bank in favour of the Agent agrees to notify the Agent if there is any
change in its position from that set out above.
<PAGE>

                                    Part 13

                                 MISCELLANEOUS

36.   Calculations and Evidence of Debt

36.1  Interest and fees shall accrue from day to day and shall be calculated on
the basis of a year of 360 days (or, in any case where market practice differs,
in accordance with market practice) and the actual number of days elapsed.

36.2  If on any occasion a Reference Bank or Bank fails to supply the Agent with
a quotation required of it under the foregoing provisions of this Agreement, the
rate for which such quotation was required shall be determined from those
quotations which are supplied to the Agent.

36.3  Each Bank shall maintain in accordance with its usual practice accounts
evidencing the amounts from time to time lent by and owing to it hereunder.

36.4  The Agent shall maintain on its books a control account or accounts in
which shall be recorded (i) the amount of any Advance made or arising hereunder
and each Bank's share therein, (ii) the amount of all principal, interest and
other sums due or to become due from the Borrower to any of the Banks hereunder
and each Bank's share therein and (iii) the amount of any sum received or
recovered by the Agent hereunder and each Bank's share therein.

36.5  In any legal action or proceeding arising out of or in connection with
this Agreement, the entries made in the accounts maintained pursuant to Clauses
36.3 and 36.4 shall, in the absence of manifest error, be conclusive evidence of
the existence and amounts of the obligations of the Borrower therein recorded.

36.6  A certificate of a Bank as to (i) the amount by which a sum payable to it
hereunder is to be increased under Clause 13.1 or (ii) the amount for the time
being required to indemnify it against any such cost, payment or liability as is
mentioned in Clause 13.2 or 16.1 shall, if supported by relevant documentation,
be conclusive for the purposes of this Agreement.

37.   Remedies, Waivers, Amendments and Consents

37.1  No failure to exercise, nor any delay in exercising, on the part of the
Agent and the Banks or any of them, any right or remedy hereunder shall operate
as a waiver thereof, nor shall any single or partial exercise of any right or
remedy prevent any further or other exercise thereof or the exercise of any
other right or remedy.  The rights and remedies herein provided are cumulative
and not exclusive of any rights or remedies provided by law.

37.2  The Agent may agree with the Borrower any amendment to or the modification
of the provisions of any of the Facility Documents or any schedule thereto,
which is necessary to correct a manifest error.

37.3  Subject to Clause 37.4, the Agent (acting on the instructions of an
Instructing Group) may agree with the Borrower any amendment to or modification
of the provisions of any of the Facility Documents or any schedule thereto, or
grant any waiver or consent in relation thereto.
<PAGE>

37.4  (a)  Any amendment, modification, waiver, variation or consent which
           relates to:

           (i)     the definitions of "Final Maturity Date", "Instructing Group"
                   or "Margin" in Clause 1.1;

           (ii)    Clauses 3, 34, 30, 11 or 8;

           (iii)   this Clause 37;

           (iv)    any extension of the date of payment for or a decrease in the
                   amount of, or a change in the currency of, any sum payable to
                   a Beneficiary under any of the Facility Documents;

           (v)     the priority of liabilities under the Facility Documents or
                   the order or manner in which liabilities are reduced
                   thereunder;

           (vi)    an amendment to any Senior Subordinated Security Document
                   which is, in the opinion of the Security Trustee and the
                   Agent, material;

           (vii)   the release of any asset which is the subject of the security
                   granted in favour of the Beneficiaries;

           (viii)  any increase in the Total Commitment of any Bank;

           (ix)    any provision which expressly contemplates the need for the
                   consent or approval of all the Banks,

           may be effected with (and only with) the consent of all the Banks.

      (b)  Any amendment, modification, waiver, variation or consent which
           relates to any provision of this Clause 37, Clause 33 or Part 11 or
           would otherwise affect any of the Agent's or the Security Trustee's
           rights hereunder or subject the Agent or the Security Trustee to any
           additional obligations hereunder may be affected with (and only with)
           the consent of the Agent and/or the Security Trustee (as applicable).

38.   Partial Invalidity

If, at any time, any provision hereof is or becomes illegal, invalid or
unenforceable in any respect under the law of any jurisdiction, neither the
legality, validity or enforceability of the remaining provisions hereof nor the
legality, validity or enforceability of such provision under the law of any
other jurisdiction shall in any way be affected or impaired thereby and the
relevant provision shall be replaced with a new provision reflecting the same
commercial intent of the parties, which provision shall be legal, valid and
enforceable under the law of the relevant jurisdiction.

39.   Notices

39.1  Each communication to be made under any of the Facility Documents shall be
made in writing
<PAGE>

but, unless otherwise stated, may be made by telex, facsimile or letter.

39.2  Any communication or document to be made or delivered by one person to
another pursuant to this Agreement shall (unless that other person has by
fifteen days' written notice to the Agent specified another address) be made or
delivered to that other person at the address telex or facsimile identified with
its signature below (or, in the case of a Transferee, at the end of the Transfer
Certificate to which it is a party as Transferee) and shall be deemed to have
been made or delivered when despatched, with appropriate answerback received (in
the case of any communication made by telex), when received (in the case of any
communications made by facsimile) or (in the case of any communication made by
letter) when left at that address or (as the case may be) ten days after being
deposited in the post postage prepaid in an envelope addressed to it at that
address  Provided that any communication or document to be made or delivered to
the Agent shall be effective only if the same is expressly marked for the
attention of the department or officer identified with the Agent's signature
below (or such other department or officer as the Agent shall from time to time
specify for this purpose).

39.3  Save where the Agent agrees otherwise each communication and document made
or delivered by one party to another pursuant to this Agreement shall be in the
English language or accompanied by a translation thereof into English certified
(by an officer of the person making or delivering the same) as being a true and
accurate translation thereof.

40.   European Monetary Union

40.1  The European Economic and Monetary Union (EMU) provides for the
introduction of a single currency (Euro) and the substitution of the national
currencies of the Member States participating in EMU.

40.2  On the date of the introduction of the single currency (Euro) for the
Federal Republic of Germany, the currency specified in this Agreement and the
currency specified for payments under this Agreement shall be substituted by the
single currency and the changeover into the single currency (Euro) shall take
place.  Conversions shall be based on the officially fixed conversion rate.

40.3  Neither the introduction of the single currency (Euro) nor the
substitution of the national currencies of the Member States participating in
the EMU nor the fixing of the official conversion rate for replacement nor any
economic consequences that arise from any of the aforementioned events or in
connection with the EMU shall give rise to any right to prematurely terminate,
contest, cancel, rescind, modify or renegotiate this Agreement or any of its
provisions or to raise any other objections and/or exceptions or to assert any
claims for compensation. The Agreement and all its provisions shall be continued
unchanged.

41.   Intercreditor and Security Trust Agreement Acknowledgements and
Undertakings

41.1  The Borrower and IFCO Europe hereby expressly authorise the Security
Trustee to enforce the security constituted by the Senior Subordinated Security
Documents in the manner provided for in the Facility Documents and irrevocably
waive any rights (and shall procure that each Group Entity providing security
hereunder shall waive such rights) which they may now or in the future have to
challenge or have set aside any arrangements relating to:
<PAGE>

      (a)  the placing of the proceeds of the enforcement of any security in a
           suspense account bearing interest at the applicable interest rate
           from time to time of the Security Trustee; or

      (b)  any other matter or thing regarding the order of enforcement of
           security and the priority of the application of the proceeds of such
           enforcement in accordance with the provisions of the Facility
           Documents.

41.2  The Borrower and IFCO Europe acknowledge and agree (and shall procure the
agreement of each Group Entity providing security hereunder) that, except as
otherwise provided in the Facility Documents, they shall have no right to be
consulted in relation to or to object to any enforcement or other action by the
Beneficiaries in relation to the Facility Documents and, for the avoidance of
doubt, none of the Beneficiaries shall incur any liability to IFCO Europe or any
Group Entity in relation to such action in the absence of fraud, wilful
misconduct or the failure by the Beneficiaries to comply with the standard of
care which could reasonably be expected to be given by any similar person in
similar circumstances.

41.3  The Borrower acknowledges each of the terms of the Intercreditor Agreement
and the Security Trust Agreement and undertakes and agrees to be bound by their
terms.

41.4  The Borrower and IFCO Europe hereby agree and acknowledges that the Senior
Liabilities (other than the Postponed Senior Liabilities) shall rank pari passu
between themselves and, whether secured or unsecured, shall rank in priority to
the Senior Subordinated Liabilities and that the Senior Subordinated Liabilities
shall rank in priority to the Postponed Senior Liabilities.

41.5  The Borrower undertakes that prior to the Senior Discharge Date it will
not, unless the Majority Lenders otherwise previously consent in writing:

      (i)    pay, prepay, redeem, purchase or otherwise acquire or satisfy in
             any manner (including by set-off or combination of accounts) the
             whole or any part of the Senior Subordinated Liabilities otherwise
             than pursuant to the terms of the Intercreditor Agreement;

      (ii)   (other than those created pursuant to the Senior Subordinated
             Facility Documents (as the same are in force at the date hereof) or
             otherwise permitted pursuant to the terms of the Intercreditor
             Agreement) create or permit to subsist any security interest over
             any of its assets for, or any guarantee, indemnity or other
             assurance against financial loss in respect of, any of the Senior
             Subordinated Liabilities;

      (iii)  make any Material Variation to any term of the Senior Subordinated
             Facility Documents (other than an extension to, or postponement of,
             a date for payment of any amount thereunder);

      (iv)   exercise any right or take any other action which would cause any
             amount (other than amounts referred to in Clause 9.1 of the
             Intercreditor Agreement) to become due and payable in connection
             with any of the Senior Subordinated Facility Documents or the
             Senior Subordinated Liabilities; or
<PAGE>

      (v)    take or omit to take any action whereby the subordination
             contemplated by the Intercreditor Agreement may be impaired.

41.6  The Borrower and IFCO Europe hereby consent, so long as any of the
Facility Documents remain subsisting, to the disclosure by any of the Agent, the
Senior Agent, the Security Trustee and the Lenders to each other of such
information concerning IFCO Europe or any member of the Group to such extent as
such persons see fit.

41.7  The Borrower agrees that, if the Senior Discharge Date would have occurred
on any date but for the fact that the Hedging Liabilities remain outstanding,
all outstanding Hedging Agreements in relation to any Hedge Counterparty shall
automatically terminate on that date unless the Agent agrees to the contrary.

41.8  Any capitalised term used in this Clause 41 and not defined herein shall
bear the meaning ascribed to it in the Intercreditor Agreement.
<PAGE>

                                    Part 14

                              LAW AND JURISDICTION

42.   Law

This Agreement shall be governed by, and shall be construed in accordance with,
German law.

43.   Jurisdiction

43.1  Each of the Borrower and IFCO Europe hereby irrevocably agrees for the
benefit of each of the Beneficiaries that the District Court (Landgericht) of
Frankfurt am Main shall have jurisdiction to hear and determine any suit, action
or proceeding, and to settle any disputes, which may arise out of or in
connection with this Agreement and, for such purposes, irrevocably submits to
the jurisdiction of such courts.

43.2  Each of the Borrower and IFCO Europe irrevocably waives any objection
which it might now or hereafter have to the courts referred to in Clause 43.1
being nominated as the forum to hear and determine any suit, action or
proceeding, and to settle any disputes, which may arise out of or in connection
with this Agreement and agrees not to claim that any such court is not a
convenient or appropriate forum.

43.3  The submission to the jurisdiction of the courts referred to in Clause
43.1 shall not (and shall not be construed so as to) limit the right of the
Beneficiaries or any of them to take proceedings against either of the Borrower
or IFCO Europe in any other court of competent jurisdiction nor shall the taking
of proceedings in any one or more jurisdictions preclude the taking of
proceedings in any other jurisdiction (whether concurrently or not) if and to
the extent permitted by applicable law.

43.4  Each of the parties hereto hereby waives trial by jury in any judicial
proceeding involving, directly or indirectly, any matter (whether sounding in
tort, contract or otherwise) in any way arising out of, related to, or connected
with any of the Facility Documents or the relationships established hereunder
and whether arising or asserted before or after the date hereof or before or
after the payment, observance and performance in full of such party's
obligations hereunder.

AS WITNESS the hands of the duly authorised representatives of the parties
hereto the day and year first before written.
<PAGE>

                               THE FIRST SCHEDULE

                        The Banks and their Commitments

The Banks                                         Commitment (DM)

Barclays Bank PLC                                    35,000,000
<PAGE>

                              THE SECOND SCHEDULE

                         Form of Transfer Certificate

To:    Barclays Bank PLC

                             TRANSFER CERTIFICATE

relating to the agreement (as from time to time amended, varied, novated or
supplemented, the "Facility Agreement") dated [          ] whereby a
DM35,000,000 term loan facility was made available to IFCO International Food
Container Organisation GmbH as Borrower by a bank or group of banks on whose
behalf Barclays Bank PLC acted as agent in connection therewith.

1.   Terms defined in the Facility Agreement shall, subject to any contrary
indication, have the same meanings herein.  The terms Bank, Transferee, Bank's
Participation and Amount Transferred are defined in the schedule hereto.

2.   The Bank (i) confirms that the Bank's Participation is an accurate summary
of its participation in the Facility Agreement and (ii) requests the Transferee
to accept and procure the assignment and transfer to the Transferee of a
percentage of the Bank's Participation (equal to the percentage that the Amount
Transferred is of the aggregate of the component amounts (as set out in the
schedule hereto) of the Bank's Participation) by counter-signing and delivering
this Transfer Certificate to the Agent at its address for the service of notices
specified in the Facility Agreement.

3.   The Transferee hereby requests the Agent to accept this Transfer
Certificate as being delivered to the Agent pursuant to and for the purposes of
Clause 34.3 of the Facility Agreement and the Bank hereby assigns its rights
under the Facility Documents (including the security pursuant to the Senior
Subordinated Security Documents) and transfers its obligations thereunder to the
extent set out in the schedule hereto so as to take effect in accordance with
the terms of the Facility Agreement thereof on the Transfer Date or on such
later date as may be determined in accordance with the terms thereof.

4.   The Transferee confirms that it has received a copy of the Facility
Documents together with such other information as it has required in connection
with this transaction and that it has not relied and will not hereafter rely on
the Bank to check or enquire on its behalf into the legality, validity,
effectiveness, adequacy, accuracy or completeness of any such information and
further agrees that it has not relied and will not rely on the Bank to assess or
keep under review on its behalf the financial condition, creditworthiness,
condition, affairs, status or nature of the Borrower or IFCO Europe or any Group
Entity.

5.   The Transferee hereby undertakes with the Bank and each of the other
parties to the Facility Agreement that it will perform in accordance with their
terms all those obligations which by the terms of the Facility Documents will be
assumed by it after delivery of this Transfer Certificate to the Agent and
satisfaction of the conditions (if any) subject to which this Transfer
Certificate is expressed to take effect.

7.   The Bank makes no representation or warranty and assumes no responsibility
with respect to
<PAGE>

the legality, validity, effectiveness, adequacy or enforceability of the
Facility Documents or any document relating thereto and assumes no
responsibility for the financial condition of the Borrower or IFCO Europe or any
Group Entity or for the performance and observance by the Borrower, IFCO Europe
or any Group Entity of any of their obligations under the Facility Documents or
any document relating thereto and any and all such conditions and warranties,
whether express or implied by law or otherwise, are hereby excluded.

8.   The Bank hereby gives notice that nothing herein or in the Facility
Documents (or any document relating thereto) shall oblige the Bank to (i) accept
a re-assignment or re-transfer from the Transferee of the whole or any part of
its rights, benefits and/or obligations under the Facility Documents transferred
pursuant hereto or (ii) support any losses directly or indirectly sustained or
incurred by the Transferee for any reason whatsoever including, without
limitation, the non-performance by the Borrower or IFCO Europe or any other
party to the Facility Documents (or any document relating thereto) of its
obligations under any such document.  The Transferee hereby acknowledges the
absence of any such obligation as is referred to in (i) or (ii) above.

9.   This Transfer Certificate and the rights and obligations of the parties
hereunder shall be governed by and construed in accordance with German law.

10.  The benefit of the Senior Subordinated Security Documents (subject to
compliance with applicable law) shall in respect of the Facility pass
automatically to the Transferee to the extent of the Amount Transferred in
respect thereof and the security granted thereby will be kept and administered
by the Agent for the benefit of the Transferee.

                                 The Schedule

1.   Bank:

2.   Transferee:

3.   Transfer Date:

4.   Bank's Participation:

     Commitment:       [            ]

                        Bank's Commitment      Bank's Portion of the Total Loan

5.   Amount Transferred:

                        Commitment Transferred         Loan Transferred
<PAGE>

     [Transferor Bank]                     [Transferee Bank]

     By:                                   By:

     Date:                                 Date:

                     Administrative Details of Transferee

     Address:

     Contact Name:

     Account(s) for Payments:

     Telex:

     Facsimile:

     Telephone:

*    The Transferee must also accede to the Intercreditor Agreement, the
     Security Trust Agreement and certain of the Senior Subordinated Security
     Documents by execution of relevant accession agreements.
<PAGE>

                              THE THIRD SCHEDULE

                             Conditions Precedent

A.   Corporate Documents

1.   In relation to each of SPI, MTS, the Borrower, IFCO Europe and each member
     of the Group (a "Member") which is party to a Facility Document:

     (a)  copies, certified by a director of each such company as being true,
          complete and up to date, of the constitutional documents including the
          certificate of incorporation or officially certified recent excerpts
          from the Commercial Register (Handelsregisterauszug) and articles of
          association of such company (or its equivalent in the relevant
          jurisdiction);

     (b)  copies, certified by a director of each of the Borrower, IFCO Europe
          and each such company or Member as being true, complete and up to
          date, of the necessary resolutions by the shareholders authorising the
          execution, delivery and performance of the Facility Documents and the
          terms and conditions thereof and authorising a named person or persons
          to sign each Facility Document and any documents to be delivered by
          the Borrower, IFCO Europe, SPI, MTS or Member (as the case may be)
          pursuant thereto; and

     (c)  a certificate of a duly authorised officer of the Borrower, IFCO
          Europe and each such Member or other company, setting out the names
          and signatures of the persons authorised to sign, on behalf of such
          person each Facility Document to which it is or is to be party and any
          document to be delivered by such person pursuant thereto.

2.   A copy, certified a true copy by the Borrower on behalf of the Borrower,
     IFCO Europe, SPI, MTS and each Group Entity of each such law, decree,
     material consent, licence, approval and authorisation as is necessary to
     render the Facility Documents legal, valid and binding, to make the
     Facility Documents admissible in evidence in its jurisdiction of
     incorporation and to enable each of the Borrower, IFCO Europe, SPI, MTS and
     the members of the Group to perform its obligations thereunder, and a copy
     of each such law, decree, material consent, licence, approval and other
     authorisation (other than any corporate authorisations) required to permit
     GE to own (beneficially as well as legally) 100% of the shares of IFCO
     Europe.

B.   Business Plan, Accounts, Supply Agreement and Reports

1.   The Business Plan in the agreed form.

2.   The Reports.

3.   The Supply Agreement together with all annexes thereto showing, inter alia,
     that (a) the maximum average price per crate will not, during the time at
     which any amount is outstanding hereunder, exceed DM6.10 and (b) the
     Borrower has purchased or has an option to purchase the crate manufacturing
     tools at a total price not exceeding their current market value.
<PAGE>

4.   Where any of the Reports are not addressed to the Agent or any Arranger for
     and on behalf of the Beneficiaries from time to time, in each case a
     reliance letter from the person who prepared such Report in an agreed form
     in favour of the Agent on behalf of the Beneficiaries from time to time.

5.   Original Financial Statements, the Financial Statements of the Group for
     the Financial Quarter ended 30 September 1997 and the Financial Statements
     of the Group for the eleven months ending 30 November 1997, in each case
     certified by a Duly Authorised Officer of the Borrower (such certification
     to include a confirmation that no material adverse change in the financial
     position or operating results of the Group during the period to which those
     financial statements relate).

C.   Investment Agreement and Related Matters

1.   A photocopy of an executed copy, certified by a director of the Borrower
     and a duly authorised officer of General Electric Capital Corporation as
     true, complete and up to date of the Investment Agreement and the
     Contribution Contract.

2.   Evidence (in the form of a confirmation from the Borrower and GE) that all
     conditions to the Investment have been satisfied without waiver, amendment,
     variation or modification.

3.   Confirmation from the Borrower and GE in the agreed terms, addressed to the
     Agent (on behalf of the Banks) that the Investment has been completed in
     accordance with the terms of the Investment Agreement and the Contribution
     Contract and that no material right or entitlement of IFCO Europe or GE
     (whether to receive documents or otherwise) thereunder has been waived or
     modified except with the written consent of the Agent.

4.   A certificate from a director of the Borrower certifying that no amendment
     (save as previously approved in writing by the Agent) has been made to the
     Investment Agreement, the Supply Agreement or the Contribution Contract and
     that such documents contain the full agreement of the parties thereto as to
     the matters set out therein relating to the Group.

5.   A certificate from an Authorised Signatory of the Borrower and each person
     granting an Encumbrance hereunder confirming that the constitutional
     documents of each of their subsidiaries whose shares are to be pledged
     pursuant to the Senior Subordinated Security Documents:

     either:

     (i)  do not contain any provisions allowing the Board of Directors or
          shareholders of the relevant subsidiary to refuse the transfer to and
          approval and registration of; and

     (ii) do not contain any pre-emption rights or other need for approvals of
          the transfer to,

     any persons as shareholders of the relevant subsidiary pursuant to any
     enforcement by the Security Trustee (acting on behalf of the Beneficiaries)
     of the security created by the relevant Senior Subordinated Security
     Document,
<PAGE>

     or

     that the relevant shareholders resolutions, consents and approvals have
     been obtained to the granting and enforcement of the Encumbrances (and that
     no corporate bar therefore exists to the enforcement of the Encumbrances).

6.   Confirmation from the Borrowers auditors that at least DM45,000,000 (less
     DM300,000 applied in respect of fees incurred in relation to the
     Investment) have been invested by GE into IFCO Europe in accordance with
     the Investment Agreement and that an amount of at least DM43,700,000 of
     such funds so invested by GE has been invested in the Borrower by IFCO
     Europe as an additional capital contribution into the capital reserves
     (Kapitalrucklage) of the Borrower.

D.   Senior Financing Documents

1.   Evidence that the aggregate of fully paid in equity capital of the Borrower
     is at least DM45,000,000 and that an advance will be made to the Borrower
     of DM76,000,000 on the date on which the first Advance will be made
     hereunder under the Senior Facility.

2.   A certified true, complete copy of the Senior Facility Documents duly
     executed by the parties hereto.

E.   Security and Priority Documents

1.   The following security documents, together with all documents to be
     delivered pursuant thereto:

     (a)  a pledge agreement pledging all shares in the Borrower dated on or
          about the date hereof by IFCO Europe;

     (b)  a pledge agreement (or other similar agreement) by each member of the
          Group of all of such member's shares in its subsidiaries (and the
          delivery (where appropriate) of Share Certificates for all shares in
          such subsidiary endorsed (where necessary) by the relevant Group
          Entity in blank to the Agent or an undertaking to deliver such Share
          Certificates forthwith to the Agent following their issue) and all
          documents ancillary thereto;

     (c)  a pledge agreement by Mr. Luitpold Roever in favour of the Security
          Trustee pledging all shares owned by him in GISO Verwaltungs
          Gesellschaft mbH and any other documents ancillary thereto;

     (d)  a share pledge from each of Mr T Maurer and Mr W Zingg in favour of
          the Security Trustee, pledging all shares owned by them in IFCO
          (Schweiz) A.G. and the delivery of all relevant share certificates to
          the Security Trustee and any other documents ancillary thereto;

     (e)  a share pledge from MTS Okologiskik GmbH in favour of the Security
          Trustee
<PAGE>

          pledging all shares owned by it in IFCO International Food Container
          Organisation S.r.l (and the delivery (if the Security Trustee
          requires) of all share certificates held by it) any other documents
          ancillary thereto;

     (f)  a share pledge from Schoeller Plast Industries GmbH in favour of the
          Security Trustee pledging all shares owned by it in IFCO International
          Food Container Organisation S.A.S. and the delivery (if the Security
          Trustee requires) of all Share Certificates in such company held by it
          or on its behalf any other documents ancillary thereto;

     (g)  an assignment of receivables (including an assignment of all factoring
          agreements and leasing agreements) by the Borrower and any other
          member of the Group specified by the Agent in accordance with normal
          German practice in the form of a Globalzession any other documents
          ancillary thereto;

     (h)  an agreement between SPI, GBL, the Borrower and the Security Trustee
          relating to licences granted in relation to the Patent and other
          ancillary items.

2.   Security in form and substance satisfactory to the Agent over all crates
     (including New Crates and any Existing Crates currently encumbered which
     are, pursuant to the terms hereof, to be released from such Encumbrance)
     owned by the Group (including security in respect of crates held at
     depots), the Material Intellectual Property and the Supply Agreement.

3.   The Intercreditor Agreement

4.   The Security Trust Agreement.

5.   Evidence that all existing Encumbrances over the assets or undertakings of
     each Group Entity other than Permitted Encumbrances have been released or
     discharged (or will be released or discharged on the making of the first
     Advance hereunder) and/or transferred to the Security Trustee.

F.   Legal Opinions

Legal Opinions of:

     (a)  lawyers acceptable to the Arranger in relation to the Borrower, IFCO
          Europe and each company providing security hereunder.

     (b)  Clifford Chance in relation to the laws of the Federal Republic of
          Germany addressed to the Agent on behalf of the Banks.

G.   Miscellaneous

1.   Evidence that all fees and reimburseable expenses payable to the Agent, the
     Security Trustee, the Arranger and/or the Banks in connection herewith
     shall be made out of the first Advance and that all costs in connection
     with the Investment have been paid or will be paid out of the proceeds of
     the first Advance.
<PAGE>

2.   The Hedging Strategy Letter.

3.   The fee letters referred to in Clauses 12, 29.1, 29.2 and 30.1.

4.   Estimated details of all Transaction Costs certified by a Duly Authorised
     Officer of the Borrower.

5.   Certified true copies of all of the Services Agreements (or similar
     agreement) of Messrs Gerland, Tofflinger and Benz.

6.   Information in the form of an update of the report prepared by General
     Electric Capital Corporation regarding the installation of Information
     Technology Systems within the Group including details of their current
     status and the IT Schedule.

7.   Evidence that the Existing Indebtedness (other than indebtedness under the
     Leasing Agreements) has been cancelled and/or repaid (or will, upon the
     making of the first Advance hereunder and under the Senior Facility be
     repaid).

8.   A letter from the Borrower addressed to the Auditors instructing them to
     co-operate with the Agent where the Agent approaches the Auditors for
     information regarding any Group Entity following the occurrence of an Event
     of Default which is continuing unremedied and unwaived and with the
     Borrower having been offered an opportunity to attend any such discussions
     and a letter from the Auditors addressed to the Borrower and the Agent
     confirming their acceptance of such instructions.

9.   A budget showing the forecast monthly profit and loss account for the
     financial year beginning 1 January 1998 including confirmation that VAT
     treatment is consistent with the advice set out in the Tax Report.

10.  A letter from GE Capital Corporation regarding the utilisation of any
     payments received by it relating to claims made by it following a breach of
     warranty or misrepresentation pursuant to the Investment Agreement in the
     prepayment of the Facility.

11.  Copies of each of the Material Leasing Agreements.

12.  A confirmation letter confirming, inter alia, the extent of External
     Finance Leases and that no objections to the European Commission's decision
     not to take anti-trust action against the Borrower have been received.
<PAGE>

                              THE FOURTH SCHEDULE

                        Notice of Drawdown of Advances

From:  IFCO International Food Container Organisation GmbH

To:    Barclays Bank PLC

Dear Sirs

1.     We refer to the agreement (as from time to time amended, varied, novated
or supplemented, the "Facility Agreement") between, amongst others, IFCO
International Food Container Organisation GmbH as Borrower and you as Agent
dated [            ] whereby a term facility of up to DM35,000,000 was made
available to the Borrower. Terms defined in the Facility Agreement shall have
the same meaning in this notice.

2.     We hereby give you notice that, pursuant to the Facility Agreement and
upon the terms and subject to the conditions contained therein, we wish an
Advance to be made to us as follows:

       (i)  Drawdown Date

       (ii) Interest Period.

3.     We confirm that subject to the provisions of the Disclosure Letter, at
the date hereof, the representations set out in Clause 19.1 (other than the
representations not required to be repeated pursuant to Clause 19.2) are true in
all material respects and no Event of Default or Potential Event of Default has
occurred and is continuing and has not been waived or would result from the
making of such Advance.

4.     The proceeds of this drawdown should be credited to the account of
[          ] numbered [           ] with [              ].

                                Yours faithfully

                        ...............................
                              for and on behalf of
              IFCO International Food Container Organisation GmbH
<PAGE>

                              THE FIFTH SCHEDULE

                             Group Structure Chart
<PAGE>

                              THE SIXTH SCHEDULE

                             Existing Indebtedness

     Description                                       Amount outstanding as at
                                                               19 February 1998
                                                                           (DM)

*A   Pool Indebtedness
     Payable to:

     *DG Bank Deutsche
     Genossenschaftsbank                                             30,000,000

     *Deutsche Bank
     Aktiengesellschaft, Munich Branch
                                                                     24,500,000

     *Oldenburgische Landesbank                                      17,000,000

     *Norddeutsche Hypotheken-und
     Wechsellbank AG                                                 17,000,000

*B   SPS Shareholder Loan

     Payable to SPS                                                  37,500,000

C    Bardusch Loan

     Payable to Bardusch                                              3,400,000

D    Hanover Finanz Loan

     Payable to Hanover Finanz                                        5,000,000

*E   Schroder Loan

     Payable to:
     Schroder, Munchmyer,
     Hugst & Co                                                         500,000
                                                               ----------------
     Total:                                                         134,900,000

--------------------------------------------------------------------------------
*    This Indebtedness is to be repaid on the date of the making of the first
                              Advance hereunder.
<PAGE>

                             THE SEVENTH SCHEDULE

                        Material Intellectual Property

Description of Property                      Owner of Intellectual Property

1.   European Patent entitled "Plastic       GBL
     Container, especially a vegetable
     container with hinged sides".
     Patent No: 0575594 (Europe).
     (European patent application no.
     EP93902215 which has now been
     granted).
     Registered in: Austria, Belgium,
     Switzerland, Germany, Denmark,
     Sweden, Spain, France, Great
     Britain, Greece, Italy, The
     Netherlands.
     Expiry: 2013

2.   International Patent No.                GBL
     International Patent
     PCT/EP93/00091 Registered in
     Norway (registered on
     02.07.1997), Poland (registered
     on 02.08.1996), Russia
     (registered on 27.06.1997),
     Czech Republic (registered on
     18.02.1997) with pending
     applications in Slovakian
     Republic, Hungary and Ukraine.
     Expiry: 2013

3.   German Patent Application No.           GBL
     P4201145.0 (pending)

4.   Utility Model (Gebrauchsmuster)         GBL
     Number: G9321234
     Expiry: 17.01.2002 (prolongation
     possible)
     Country: Germany

5.   Utility Model (Gebrauchsmuster)         GBL
     Number: G92189776
     Expiry: 17.01.2000 (prolongation
     possible)
     Country: Germany

6.   Design Protection (Geschmacksmuster)    GBL
     Number: M92086764
     Expiry: 16.11.2002
     Country: Germany

<PAGE>

7.  Trademarks                               GBL
    IFCO
    Registered in Benelux, Denmark,
    Germany, Finland, France,
    Greece, Great Britain, The
    Netherlands, Norway, Austria,
    Sweden, Switzerland and Spain
<PAGE>

                                EXECUTION PAGES

As Borrower

IFCO INTERNATIONAL FOOD CONTAINER ORGANISATION GmbH

By:             /s/ GUNTER GERLAND     /s/ DR. FRANK TOFFLINGER

Address:      Zugspitzstrasse 15
                     D-8209 Pullach
                     Germany

Telephone:    +49 89 744 91240
Facsimile:    +49 89 744 91239
Attention:    Dr Frank Tofflinger

Copy Notices:  Martin and Christoph Schoeller (Fax No: +4989 744 91298)

As IFCO Europe

IFCO EUROPE BETEILIGUNGS-GmbH

By:           /s/ MARTIN SCHOELLER

Address:      Zugspitzstrasse 15
                     D-8209 Pullach
                     Germany

Telephone:    +49 89 744 91240
Facsimile:    +49 89 744 91239
Attention:    Dr Frank Tofflinger
Copy Notices: Martin and Christoph Schoeller (Fax No: +4989 744 91298)

The Security Trustee

BHF BANK AKTIENGESELLSCHAFT

By:           /s/ GERD P. BIEDING      /s/ SIBYLLE BACH

Address:      Berliner Handels und Frankurter Bank
                       Bockenheimer Landstrasse 10
                       60323 Frankfurt am Main
                       Germany

Telephone:    +49 69 718 2644
Facsimile:    +49 69 718 4480
Attention:    Dr P Koch
<PAGE>

The Agent

BARCLAYS BANK PLC

By:         /s/ TIM TAYLOR

Address:        Bockenheimer Landstrasse 38-40
                    60323 Frankfurt am Main

Telephone:      + 4969 7161 1862
Facsimile:      + 4969 7161 1889
Attention:      Rolf-Peter Ruoff/Diva Cortellini

The Arranger

BARCLAYS CAPITAL

By:         /s/ TIM TAYLOR

Address:        5 The North Colonnade
                       Canary Wharf
                       London E14 4BB

Telephone:      +44 171 773 2358
Facsimile:      +44 171 773 4894
Attention:      Tim Taylor

The Banks

BARCLAYS BANK PLC

By:         /s/ TIM TAYLOR

Address:        Bockenheimer Landstrasse 38-40
                    60323 Frankfurt am Main

Telephone:      + 4969 7161 1862
Facsimile:      + 4969 7161 1889
Attention:      Rolf-Peter Ruoff/Diva Cortellini<PAGE>

                                                                    EXHIBIT 10.6

CONFORMED COPY

                            INTERCREDITOR AGREEMENT

                                    between

                          BHF BANK AKTIENGESELLSCHAFT
                     as Senior Agent and Security Trustee

                              THE SENIOR LENDERS
                                 named herein

                               BARCLAYS BANK PLC
                         as Senior Subordinated Agent

                        THE SENIOR SUBORDINATED LENDERS
                                 named herein

                                      and

                                    OTHERS

                                Clifford Chance
<PAGE>

                                   CONTENTS

<TABLE>
<CAPTION>
Clause                                                                     Page No.
<S>                                                                        <C>
1.   Interpretation and Definitions......................................    2
2.   Consent to the Finance Documents....................................    6
3.   Ranking (Schuldrechtliche Rangvereinbarung).........................    6
4.   Undertakings of the Senior Subordinated Agent and the Senior
     Subordinated Lenders................................................    6
5.   Undertakings in respect of the Hedging Liabilities..................    7
6.   Undertakings in respect of the Senior Liabilities...................    8
7.   Consents and Entrenched Provisions..................................    9
8.   The Hedging Liabilities.............................................   10
9.   Permitted Payments..................................................   10
10.  Subordination (Rangrucktrittsvereinbarung)..........................   12
11.  Enforcement (Durchsetzung der Anspruche und Verwertung
     der Sicherheiten)...................................................   15
12.  Appropriation (Anrechnung der erhaltenen Zahlungen).................   18
13.  Amendments (Anderungen).............................................   19
14.  Notices (Mitteilungen)..............................................   19
15.  Miscellaneous.......................................................   20
16.  Assignments and Transfers (Abtretungen, Schuldubernahme oder
     Vertragsubernahme)..................................................   21
17.  Transfers of Senior Liabilities to the Senior Subordinated Lenders..   21
18.  The Security Trustee................................................   22
19.  Governing Law (Rechtswahl)..........................................   22
20.  Jurisdiction (Gerichtsstand)........................................   23

SCHEDULE I

Form of Accession Agreement..............................................   24
</TABLE>
<PAGE>

THIS INTERCREDITOR AGREEMENT is made the 20th day of February 1998

BETWEEN:-

(1)  BHF BANK AKTIENGESELLSCHAFT as agent for the Senior Lenders under the
Senior Facility Agreement (the "Senior Agent") and as security agent and
security trustee (Treuhander) for the Beneficiaries (in this capacity, the
"Security Trustee");

(2)  THE FINANCIAL INSTITUTIONS whose names are set out as Initial Senior
Lenders on the execution pages to this Agreement (the "Initial Senior Lenders");

(3)  BARCLAYS BANK PLC as agent for the Senior Subordinated Lenders under the
Senior Subordinated Facility Agreement (the "Senior Subordinated Agent"); and

(4)  THE FINANCIAL INSTITUTION whose name is set out as initial mezzanine lender
on the execution pages to this Agreement (the "Initial Senior Subordinated
Lender");

WHEREAS:

(A)  By a senior facility agreement (the "Senior Facility Agreement") dated on
or about the date hereof made between, inter alia, the Senior Agent, the
Security Trustee, the Senior Lenders and IFCO International Food Container
Organisation GmbH (the "Borrower"), the Senior Lenders have agreed to make
available to the Borrowers term and revolving, loan facilities of such amounts
and on the terms referred to in the Senior Facility Agreement for the purposes
therein mentioned.

(B)  A Bank or Banks (as the terms are defined in the Senior Facility Agreement)
have agreed to or may enter into interest rate and/or currency hedging
agreements with the Borrower pursuant to and in accordance with the original
terms of the Agreed Hedging Strategy (such agreements together with any
additional agreements entered into by the Borrower in accordance with the
original terms of the Agreed Hedging Strategy being hereinafter referred to as
the "Hedging Agreements").

(C)  By a senior subordinated facility agreement (the "Senior Subordinated
Facility Agreement") dated on or about the date hereof made between, inter alia,
the Senior Subordinated Agent, the Security Trustee, the Initial Senior
Subordinated Lender and the Borrower, the Initial Senior Subordinated Lender has
agreed to make available to the Borrower (as defined therein) a mezzanine loan
facility of such amount and on the terms referred to in the Senior Subordinated
Facility Agreement for the purposes therein mentioned.

(D)  Pursuant to the Security Documents, security (the "Security") is to be
granted in favour of the Security Agent as trustee and/or in favour of the
Beneficiaries as security for the obligations of the Borrower under the Finance
Documents.

(E)  It has been agreed between the parties hereto that the claims of the
Beneficiaries against the Borrower under the Facility Agreements and the
<PAGE>

                                                                               2

Security Documents and the claims of each of the Hedge Counterparties under the
Hedging Agreements shall be regulated and/or subordinated in the manner set out
herein.

NOW THIS AGREEMENT WITNESSETH and IT IS HEREBY AGREED AND DECLARED as follows:

1.  Interpretation and Definitions

1.1    In this Agreement:

"Agreed Hedging Strategy" means the approved and agreed hedging strategy
contained in the Hedging Strategy Letter (as defined in the Senior Facility
Agreement);

"Accession Agreement" means an accession agreement substantially in the form set
out in Schedule I executed or to be executed by a person intending to become a
party hereto;

"Beneficiaries" means each of the Beneficiaries as defined in the Security Trust
Agreement and their respective successors, assigns and transferees from time to
time;

"Facility Agreements" means the Senior Facility Agreement and the Senior
Subordinated Facility Agreement and "Facility Agreement" shall mean either of
them;

"Finance Documents" means the Senior Facility Documents, the Senior Subordinated
Facility Documents and the Hedging Agreements;

"Hedge Counterparties" means each of the Banks (as that term is defined in each
of the Facility Agreements) which enters into a Hedging Agreement with the
Borrower and delivers an Accession Agreement to the Security Trustee;

"Hedging Liabilities" means all present and future sums, liabilities and
obligations whatsoever (actual or contingent) payable, owing, due or incurred by
the Borrower to any Hedge Counterparty pursuant to the terms of any Hedging
Agreement together with all Related Liabilities in relation thereto, as
determined by the relevant Hedge Counterparty and agreed by the Senior Agent
(or, after the Senior Discharge Date, the Senior Subordinated Agent) at any
given time;

"Lenders" means the Senior Lenders, the Hedge Counterparties and the Senior
Subordinated Lenders;

"Liabilities" means the Senior Liabilities and the Senior Subordinated
Liabilities;

"Majority Lenders" means, until the Senior Discharge Date, the Majority Senior
Lenders and, after the Senior Discharge Date, the Majority Senior Subordinated
Lenders;

"Majority Senior Subordinated Lenders" means an Instructing Group as defined in
the Senior Subordinated Facility Agreement;
<PAGE>

                                                                               3

"Majority Senior Lenders" means an Instructing Group as defined in the Senior
Facility Agreement;

"Material Variation" in relation to each of the Senior Facility Documents and
the Senior Subordinated Facility Documents means:-

(i)   increases in or a change in the basis on which interest accrues or is
payable (not being, for the avoidance of doubt, fluctuations of FIBOR) not
provided for by the original terms of the relevant document;

(ii)  alterations of the provisions relating to the amounts or currency or dates
of repayment or prepayment;

(iii) increases in the maximum commitments or principal amounts capable of being
outstanding thereunder as at the date hereof,

(iv)  changes in the basis on which fees, commissions or other like payments are
made or calculated (other than, for the avoidance of doubt, an increase in the
amount of any fees payable to the Senior Agent or the Senior Subordinated Agent
of up to DM1OO,000 per annum for each such agent following the occurrence of a
Senior Default or Senior Subordinated Default (as the case may be);

(v)   any amendment, variation or supplement whereby the Borrower becomes liable
to make an additional payment (or increase an existing payment) not provided for
by the original terms of the relevant document;

(vi)  any amendment, variation, waiver or release of or supplement in a manner
whereby the ranking and/or subordination arrangements provided for herein are
adversely affected; and

(vii) amendments, variations or supplements to the representations, covenants
and/or events of default other than those which do not impose any additional
obligations on any Group Entity;

"Postponed Senior Liabilities" means any Senior Liabilities (and Related
Liabilities relating thereto (other than as referred to in the further proviso
in Clause 6.1)) which do not have priority over the Senior Subordinated
Liabilities by reason of Clause 6.1.

"Related Liabilities" in relation to any of the Liabilities means:

(i)   any refinancing, novation (other than pursuant to transfer certificates
permitted by the Senior Facility Documents or the Senior Subordinated Facility
Documents), refunding, deferral or extension of any of those liabilities;

(ii)  any further advance which may be made under any agreement supplemental to
the relevant facilities agreement plus all interest, fees and costs in
connection therewith;

(iii) any claim for damages or restitution in the event of rescission of any
such liabilities or otherwise in connection with the relevant facilities
agreement;
<PAGE>

                                                                               4

(iv) any claim against the Borrower flowing from any recovery by the Borrower of
a payment or discharge in respect of those liabilities on the grounds of
preference or otherwise; and

(v)  any amounts (such as post-insolvency interest) which would be included in
any of the above but for any discharge, non-provability, unenforceability or
non-allowability of the same in any insolvency or other proceedings;

"Security Documents" means each of the Senior Security Documents (as that term
is defined in the Senior Facility Agreement) and the Senior Subordinated
Security Documents (as that term is defined in the Senior Subordinated Facility
Agreement);

"Security Trust Agreement" means the security trust agreement entered into on or
about the date hereof between, inter alia, the Beneficiaries, the Borrower, IFCO
Europe and the Security Trustee;

"Senior Discharge Date" means the date on which the Senior Liabilities (other
than the Postponed Senior Liabilities) have been repaid in full and all
commitments in respect thereof have been cancelled;

"Senior Default" means any event specified as an event of default in Clause 30.1
of the Senior Facility Agreement;

"Senior Facility Documents" shall have the meaning ascribed to the term
"Facility Documents" in the Senior Facility Agreement;

"Senior Lenders" means each Initial Senior Lender and any other Bank to whom any
Senior Liabilities become outstanding provided that such Bank has acceded to
this Agreement in accordance with Clause 16;

"Senior Liabilities" means all present and future sums, liabilities and
obligations whatsoever (actual or contingent) payable, owing, due or incurred by
the Borrower to any of the Beneficiaries under the Senior Facility Documents
together with all Related Liabilities in relation thereto (which, in the case of
the Hedging Agreements, shall be determined by the relevant Hedge Counterparty
and agreed by the Senior Agent at any given time);

"Senior Subordinated Beneficiaries" means each of the Beneficiaries as defined
in the Senior Subordinated Facility Agreement and their respective successors,
assigns and transferees from time to time;

"Senior Subordinated Default" means any event specified as an event of default
in Clause 23 of the Senior Subordinated Facility Agreement;

"Senior Subordinated Discharge Date" means the date on which all Senior
Subordinated Liabilities have been fully paid and discharged to the reasonable
satisfaction of the Senior Subordinated Agent, whether or not as a result of
enforcement;

"Senior Subordinated Facility Documents" shall have the meaning ascribed to the
term "Facility Documents" in the Senior Subordinated Facility Agreement;
<PAGE>

                                                                               5

"Senior Subordinated Lenders" means each Initial Senior Subordinated Lender and
any other Bank (as defined in the Senior Subordinated Facility Agreement) to
whom any Senior Subordinated Liabilities become outstanding Provided that such
Bank has acceded to this Agreement in accordance with Clause 16; and

"Senior Subordinated Liabilities" means all present and future sums, liabilities
and obligations whatsoever (actual or contingent) payable, owing, due or
incurred by the Borrower to any of the Senior Subordinated Beneficiaries under
the Senior Subordinated Facility Documents together with all Related Liabilities
in relation thereto.

1.2   Unless the context or the express provisions of this Agreement otherwise
require:

(i)    words importing the singular shall include the plural and vice versa;

(ii)   references herein to any act or statute shall include any modification
extension or reenactment thereof for the time being in force and shall also
include all instruments, orders, plans, regulations, permissions and directions
at any time deriving validity therefrom;

(iii)  references herein to all or any documents shall be construed as
references to those documents as the same may have been or may be from time to
time amended, supplemented or novated in accordance with their terms and, if
appropriate, the terms of this Agreement;

(iv)   any reference herein to a person shall include a company, partnership or
unincorporated association;

(v)    headings shall be ignored for the purposes of interpretation;

(vi)   references herein to a party, shall be construed so as to include their
respective successors in title, transferees and assigns and (where applicable)
to any replacement or additional trustee or agent as permitted by and in
accordance with the document governing the rights and obligations of such party
and subject to the applicable terms hereof;

(vii)  references to a "Clause" or "Schedule" shall, subject to any contrary
indication, be construed as a reference to a clause hereof or schedule hereto;

(viii) references to a "security interest" shall be construed as a reference to
a mortgage, charge (whether legal or equitable), pledge, lien, hypothecation or
other security interest of any kind whatsoever securing any obligation of any
person or any other type of preferential arrangement (including, without
limitation, title transfer and retention arrangements (other than those entered
into in the ordinary course of trading), sale and leaseback, sale and purchase
or deferred purchase arrangements and the discounting or factoring of
receivables on recourse terms) having a similar effect or any other arrangement
having substantially the same economic effect as any of the foregoing; and

(ix)   references to "assets" shall include properties and revenues.
<PAGE>

                                                                               6

1.3   Terms defined or to which a meaning is ascribed in the Senior Facility
Agreement shall, unless  otherwise defined herein or unless the context
otherwise requires, bear the same meaning herein.

2.  Consent to the Finance Documents

Subject to the terms of this Agreement, each of the parties hereto, for all
purposes, hereby consents to the entering into and performance of the Finance
Documents by the parties thereto.

3.  Ranking (Schuldrechtliche Rangvereinbarung)

3.1   Each of the Senior Agent, the Senior Subordinated Agent and the Lenders
hereby agrees, subject and without prejudice to the security constituted by
their respective security documents, and the Security Trustee acknowledges that
the Senior Liabilities (other than the Postponed Senior Liabilities) shall rank
pari passu between themselves and, whether secured or unsecured, shall rank in
priority to the Senior Subordinated Liabilities and that the Senior Subordinated
Liabilities shall rank in priority to the Postponed Senior Liabilities.

3.2   Save as otherwise provided herein the priorities referred to in Clause 3.1
will not be affected by any reduction or increase in the principal amount
secured by the Security made in accordance with the terms hereof or the original
terms of the Finance Documents or by any intermediate release of, reduction or
increase in, amendment or variation to any of the Finance Documents made in
accordance with the terms hereof or the original terms of the Finance Documents
or by any variation to, or satisfaction of, any of the Liabilities or any other
circumstances made in accordance with the terms hereof or the original terms of
the Finance Documents.

3.3   The provisions of Clause 3.1 above shall apply notwithstanding the order
in which or dates upon which the Finance Documents and this Agreement are
executed or any of them are registered or notice of them is given to any person
and shall apply regardless of the date upon which the relevant liabilities arise
and of whether any relevant Lender is obliged to advance monies included in the
relevant Liabilities and regardless of any fluctuations in the amount of any
relevant Liabilities outstanding.

3.4   If under the terms of any of the Finance Documents any assets or the
proceeds from any sale, conveyance, transfer or assignment of assets (whether or
not the subject of the security constituted by the Security Documents) or any
part thereof are required to be applied in mandatory prepayment of the
Liabilities then the prior written consent of none of the Lenders shall be
required for such application and such proceeds shall be applied in or towards
payment of the Liabilities in accordance with the terms of the Facility
Agreements and this Agreement.

4.  Undertakings of the Senior Subordinated Agent and the Senior Subordinated
Lenders

4.1   Each of the Senior Subordinated Agent and the Senior Subordinated Lenders
undertakes that it will not, prior to the Senior Discharge Date, unless the
Senior Agent (acting on the instructions of the Majority Lenders)
<PAGE>

                                                                               7

otherwise previously consents in writing (and subject to the right to take any
action permitted under Clause 11):

(i)   permit or require the Borrower to pay, prepay, redeem, purchase, defease
or otherwise acquire or satisfy in any manner (including by set-off or
combination of accounts) the whole or any part of the Senior Subordinated
Liabilities otherwise than pursuant to Clause 9.1 (except that the Senior
Subordinated Agent may, following the occurrence of a Senior Subordinated
Default, exercise any right it may have to accelerate the Borrower's obligations
in respect of the Senior Subordinated Liabilities to the extent permitted under
Clause 11);

(ii)  (other than under the Security Documents) take, accept or receive (unless
beyond its control) the benefit of any security interest, guarantee, indemnity
or other assurance against financial loss in respect of the Senior Subordinated
Liabilities from the Borrower, IFCO Europe or other member of the Group unless
(a) first or at the same time there is conferred on the Senior Lenders and the
Hedge Counterparties the benefit (ranking first in point of security ) of such
security interest, guarantee, indemnity or other assurance against financial
loss in such manner and such form as the Senior Agent may require or (b) the
Senior Agent shall have declined (acting on the instructions of the Majority
Lenders) to take the benefit of such security interest, guarantee, indemnity or
other assurance against financial loss and shall have notified such decision to
the Senior Subordinated Agent in writing and in any event (c) the Senior Agent
shall have received a legal opinion (obtained at the expense of the Borrower or,
to the extent the Borrower is not able to fund such expense, the Senior
Subordinated Lenders) in form and substance satisfactory to the Senior Agent
stating that the security interests constituted by the Security Documents and
the ranking created hereby will not thereby be prejudiced;

(iii) expressly agree to any Material Variation to the Senior Subordinated
Facility Documents or incur any Related Liabilities referred to in sub-
paragraphs (i) and (ii) of the definition thereof; or

(iv)  take or omit to take any action whereby the subordination contemplated by
this Agreement may be impaired.

4.2  The Senior Subordinated Agent shall, promptly upon becoming aware of the
same, notify the Senior Agent of the occurrence of a Senior Subordinated
Default.

4.3  The Senior Subordinated Agent will co-operate with the Senior Agent with a
view to reflecting the priority of the security conferred by the Security
Documents in any register or with any filing or registration authority and in
giving notice to insurers, debtors liable for receivables covered by the
Security Documents and other persons.

5.  Undertakings in respect of the Hedging Liabilities

5.1  Each of the Hedge Counterparties undertakes that it will not, unless the
Majority Senior Lenders and the Majority Senior Subordinated Lenders otherwise
consent in writing:
<PAGE>

                                                                               8

(i)   take, accept or receive the benefit of any security interest, guarantee,
indemnity or other assurance against financial loss in respect of the Hedging
Liabilities except pursuant to the Senior Security Documents (as defined in the
Senior Facility Agreement) or with the consent of the Senior Agent and the
Senior Subordinated Agent (acting reasonably) where the security constituted by
the Security Documents would not otherwise extend to the Hedging Liabilities; or

(ii)  agree to any amendment, supplement or novation (other than an amendment of
a minor or technical nature) in the terms of the Hedging Agreements.

5.2   If the Senior Discharge Date would have occurred on any date but for the
fact that the Hedging Liabilities only remain outstanding, all outstanding
hedging transactions under the Hedging Agreements in relation to any Hedge
Counterparty shall automatically terminate on that date unless the Senior
Subordinated Agent agrees to the contrary.

5.3   Each Hedge Counterparty will provide to the Security Trustee, the Senior
Agent and the Senior Subordinated Agent copies of all documents constituting the
Hedging Agreements as soon as reasonably practicable.

6.  Undertakings in respect of the Senior Liabilities

6.1   Each of the Senior Agent, the Senior Lenders, the Senior Subordinated
Agent and the Senior Subordinated Lenders agrees with each other that subject as
provided below unless the Majority Lenders and the Majority Senior Subordinated
Lenders otherwise consent in writing, neither the Senior Agent, the Senior
Lenders nor any of them will agree to any Material Variation (falling within
paragraphs (i) to (v) of the definition of "Material Variation") to the Senior
Facility Agreement or permit any Related Liabilities referred to in sub-
paragraphs (i) and (ii) of the definition thereof to arise (except for any
capitalisation (or lump sum damages) of or in respect of accrued interest)
Provided that, following the occurrence of a Senior Default which either
consists of a failure to pay an amount due to be paid under the Senior Facility
Documents or has been certified by the Senior Agent (acting on the instructions
of the Majority Senior Lenders) as being material in the opinion of the Majority
Senior Lenders, the Senior Lenders and the Senior Agent may agree to such a
Material Variation or permit such a Related Liability to arise to the extent
that the same consists of an increase in the maximum commitment or principal
amount capable of being outstanding thereunder provided that the aggregate
amount of any such increases does not exceed an amount equal to 10% of the
amount of such commitment or principal amount at the date hereof (or, where any
amortisations have actually been made at such time, 10% of the amount of the
commitment after the receipt of such amortisation amounts) plus interest and
commission thereon at the same rate as applicable under the original terms of
the Senior Facility Agreement.  It is hereby understood that any breach of the
provisions of this Clause by the Senior Agent or the Senior Lenders shall result
in any increased amount of the Senior Liabilities being ranked, for all purposes
of this Agreement and the Security Documents, immediately behind the Senior
Subordinated Liabilities and the other Senior Liabilities PROVIDED FURTHER THAT
the Senior Agent and the Senior Lenders shall be permitted to extend the date on
which any principal amount is to be paid under the Senior Facility Agreement
provided that it is not extended beyond the Final Maturity Date.
<PAGE>

                                                                               9

6.2   Each of the Senior Agent and the Senior Lenders undertakes that it will
not, prior to the Senior Subordinated Discharge Date, unless the Majority Senior
Subordinated Lenders otherwise consent in writing:

(i)   permit or require the Borrower to pay, repay, prepay, redeem, purchase or
otherwise acquire any of the Postponed Senior Liabilities.

(ii)  (other than under the Security Documents executed in favour of the
Security Trustee) take, accept or receive (unless beyond its control) the
benefit of any security interest, guarantee, indemnity or other assurance
against financial loss in respect of the Postponed Senior Liabilities (from the
Borrower, IFCO Europe or any other member of the Group) unless (a) first or at
the same time there is conferred on the Senior Subordinated Lenders the benefit
(ranking first in point of security) of such security interest, guarantee,
indemnity or other assurance against financial loss in such manner and such form
as the Senior Subordinated Agent may require or (b) the Senior Subordinated
Agent shall have declined to take the benefit of such security interest,
guarantee, indemnity or other assurance against financial loss and shall have
notified such decision to the Senior Agent in writing and in any event (c) the
Senior Subordinated Agent shall have received a legal opinion in form and
substance satisfactory to the Senior Subordinated Agent stating that the
security interests constituted by the Security Documents and the ranking created
hereby will not thereby be prejudiced;

(iii) discharge or seek to discharge all or any part of the Postponed Senior
Liabilities by set-off, any right of combination of accounts or otherwise; or

(iv)  take or omit any action whereby the ranking contemplated of the Postponed
Senior Liabilities by this Agreement may be impaired.

Provided that nothing in this Clause 6.2 shall prevent any enforcement of the
Security Documents by or on behalf of the Senior Agent and/or the Senior
Lenders.

6.3   Subject to the foregoing, the Senior Agent and the Senior Lenders, shall
be entitled to agree to an amendment, supplement or novation to the Senior
Facility Documents without prejudicing the priority created hereby.

6.4   The Senior Agent shall promptly upon becoming aware of the same notify the
Senior Subordinated Agent of the occurrence of a Senior Default.

7.  Consents and Entrenched Provisions

7.1   If the Security Trustee, the Senior Agent or the Senior Lenders (as the
case may be) or, after the Senior Discharge Date, the Security Trustee, the
Senior Subordinated Agent or the Senior Subordinated Lenders:

(i)   grants any consent, release, approval or waiver to the Borrower, IFCO
Europe or any Group Entity pursuant to the terms of any of the Finance
Documents;

(ii)  makes any determination under, or agrees any amendment, supplement or
novation to, any of the Finance Documents; or
<PAGE>

                                                                              10

(iii) waives any Senior Default or, after the Senior Discharge Date, any Senior
Subordinated Default;

then the Hedge Counterparties shall give or make (and to the extent possible
shall be deemed to have given or made), at the same time, a corresponding
consent, release, approval, determination, amendment, supplement, novation or
waiver, in each case in equivalent terms, for the purposes of the Finance
Documents to which they are a party and shall not be permitted to object to any
such action by the Senior Agent, the Security Trustee, the Senior Lenders, the
Senior Subordinated Agent or the Senior Subordinated Lenders (as the case may
be), or the Borrower, IFCO Europe or other Group Entity doing anything in
accordance with such action by the Senior Agent, the Security Trustee, the
Senior Lenders, the Senior Subordinated Agent or the Senior Subordinated Lenders
(as the case may be), by virtue of anything in the Finance Documents and shall
do all such things and execute or procure the execution of all such documents as
the Senior Agent or the Senior Subordinated Agent (as the case may be) may
reasonably require to give effect to the terms of this Clause.

7.2   None of the Senior Agent, the Security Trustee, the Senior Lenders, the
Senior Subordinated Agent or the Senior Subordinated Lenders (as the case may
be) shall be liable for any consent, release, approval, determination,
amendment, supplement, novation or waiver or other action given or taken under
Clause 7.1 to any of the Lenders or any other person.

8.  The Hedging Liabilities

Subject to Clause 11, and for so long as the Senior Liabilities (other than the
Hedging Liabilities) are outstanding, from and after the date hereof no Hedge
Counterparty nor any person on their behalf or appointed by any of them will
discharge, sue for or institute legal proceedings to recover all or any part of
the Hedging Liabilities nor petition or apply for or vote in favour of any
resolution for the winding-up, dissolution, administration of or voluntary
arrangement (Vergleich) in relation to the Borrower, IFCO Europe or any member
of the Group.

9.  Permitted Payments

9.1   (i)  Subject to (ii) and (iii) below, the Borrower may pay a Senior
Subordinated Liability and the Senior Subordinated Agent may receive for the
benefit of the Senior Subordinated Lenders payment of a Senior Subordinated
Liability to the extent that the payment or receipt is a payment or receipt of
interest, fees and expenses, and/or a payment, or receipt in respect of tax
gross-ups and other indemnities under the Senior Subordinated Facility Agreement
(except to the extent that any such indemnity payment or receipt would
constitute a payment or receipt of principal) or a payment made pursuant to
Clause 17 of the Senior Subordinated Facility Agreement and in any case, is made
in accordance with the terms of the Senior Subordinated Facility Documents as at
the date hereof (or as amended otherwise than in breach of Clause 4).

(ii)  If:
<PAGE>

                                                                              11

(a)  a Senior Default has occurred due to the non-payment of principal, interest
fees, expenses, costs or other amounts (other than in respect of a Postponed
Senior Liability) (a "Senior Payment Default") the Senior Agent shall promptly
notify the Senior Subordinated Agent thereof and thereafter the Senior Agent,
acting on the instructions of the Majority Senior Lenders, may (and if
instructed by the Majority Senior Lenders, shall) serve a written notice
(together with any notice under Clause 9. 1 (iii), a "Stop Notice") on the
Senior Subordinated Agent and the Borrower specifying, such Senior Payment
Default and suspending permitted payments; or

(b)  the Senior Agent has declared the Senior Liabilities due and payable or
otherwise accelerated payment of the Senior Liabilities,

then (following service of such Stop Notice or the making of such declaration or
acceleration) no payments may be made in respect of any Senior Subordinated
Liability until either:

(1)  the Senior Payment Default has been remedied or waived by or on behalf of
the Majority Senior Lenders in writing or has ceased to exist; or

(2)  the Senior Agent, acting on the instructions of the Majority Senior
Lenders, has by notice in writing to the Senior Subordinated Agent and the
Borrower cancelled the Stop Notice; or

(3)  the Senior Agent, acting on the instructions of the Majority Senior
Lenders, has cancelled or withdrawn its declaration or other premature
acceleration.

(iii) If any other Senior Default has occurred which the Senior Agent (acting on
the instructions of the Majority Senior Lenders) certifies in the relevant
notice to be material in the opinion of the Majority Senior Lenders, for a
period of 180 days from receipt by the Senior Subordinated Agent of a written
notice in respect thereof, no payments may be made in respect of any Senior
Subordinated Liability unless:

(a)  such Senior Default has been remedied or waived by or on behalf of the
Majority Senior Lenders in writing or has ceased to exist; or

(b)  the Senior Agent, acting on the instructions of the Majority Senior
Lenders, has by notice in writing to the Senior Subordinated Agent and the
Borrower cancelled the Stop Notice; or

(c)  the Senior Discharge Date has occurred.

(iv)  No more than one Stop Notice in relation to any Senior Default other than
a Senior Payment Default may be served in any consecutive 365 day period and no
Stop Notice may be delivered in relation to any Senior Default (other than a
Senior Payment Default) more than 30 days after the Senior Agent becomes
actually aware of such Senior Default.

(v)   No Senior Default (other than a Senior Payment Default) that existed or
was continuing on the date of service of any Stop Notice will be, or can be
made, the basis for the service of a subsequent Stop Notice, unless such
<PAGE>

                                                                              12

default has been cured or waived for a period of not less than 90 consecutive
days subsequent to the date of service of the first Stop Notice.

9.2   The failure to make a payment under the Senior Subordinated Facility
Documents by reason of any provision of this Agreement shall not be construed as
preventing the occurrence of a Senior Subordinated Default and the provisions of
this Clause 9 shall not prevent the Senior Subordinated Agent and/or the Senior
Subordinated Lenders taking any action permitted under Clause 11.

9.3   It is expressly agreed as between the Borrower and the Senior Subordinated
Lenders that the obligation to make any payment under the Senior Subordinated
Facility Documents not permitted to be paid under this Clause shall continue and
that default interest (or, insofar as it relates to unpaid interest, lump sum
damages) shall accrue thereon in accordance with the provisions of the Senior
Subordinated Facility Documents.  Any interest (or lump sum damages) so accrued
may only be paid in accordance with the provisions of this Clause 9.

9.4   If at any time whilst the Senior Liabilities or, after the Senior
Discharge Date, the Senior Subordinated Liabilities are or may be outstanding:

(i)   any Senior Subordinated Lender receives a payment or distribution in cash
or in kind of, or on account of, any of the Senior Subordinated Liabilities not
permitted by Clause 9. 1, as the case may be, or made in accordance with Clause
12; or

(ii)  the Borrower makes any payment or distribution in cash or in kind on
account of the purchase or other acquisition of any of the Senior Subordinated
Liabilities,

the receiving Senior Subordinated Lender will forthwith pay any and all such
amounts to the Security Trustee (Treuhander) for application in accordance with
Clause 12.

10.  Subordination (Rangrucktrittsvereinbarung)

10.1  Notwithstanding the terms of the Finance Documents it is agreed that:

(i)   all amounts payable under the Finance Documents; and

(ii)  any payment or distribution of any kind or character, whether in cash,
securities or other property which is payable or deliverable upon or with
respect to any of the Liabilities or any part thereof by IFCO Europe or any
Group Entity or its estate or any liquidator, receiver or like officer
consequent upon its winding-up

shall, unless otherwise stipulated in this Agreement, forthwith be paid or
delivered direct to the Security Trustee and shall be held by the Security
Trustee upon trust for application in accordance with Clause 12 PROVI]DED THAT
until the service of a notice under Clause 30. 1 (b) of the Senior Facility
Agreement in accordance with the terms of the relevant Facility Documents
payments in respect of the Senior Liabilities and (to the extent permitted under
the other terms hereof) the Senior Subordinated Liabilities shall
<PAGE>

                                                                              13

continue to be made in accordance with the terms of the relevant Finance
Documents.

10.2    If:

(i)   any distribution, division or application, partial or complete, voluntary
or involuntary, by operation of law or otherwise, of all or any part of the
assets of any Material Group Entity or IFCO Europe occurs by reason of the
liquidation, dissolution or other winding-up of such Material Group Entity (or
IFCO Europe) or its businesses (or its equivalent in any other applicable
jurisdiction) or any sale, receivership, or other insolvency proceeding
(Konkurs) or assignment for the benefit of creditors or any analogous
proceedings; or

(ii)  IFCO Europe or any Material Group Entity goes into liquidation or becomes
subject to any insolvency or rehabilitation proceeding (Konkurs),
administration, or voluntary arrangement (Vergleich) or any analogous
proceedings (which in any such case would be a Senior Default),

then and in any such event:

(a)  the Senior Subordinated Liabilities shall be postponed and subordinated to
the Senior Liabilities (other than the Postponed Senior Liabilities);

(b)  any payment or distribution of any kind or character and all and any rights
in respect thereof, whether in cash, securities or other property which is
payable or deliverable upon or with respect to the Senior Subordinated
Liabilities and the Senior Liabilities or any part thereof by the liquidator,
administrator, administrative receiver or receiver (or the equivalent thereof)
of such Group Entity (or, where applicable, IFCO Europe) or its estate shall
forthwith be paid or delivered to the Security Trustee (Treuhander) for
application in accordance with Clause 12; and

(c)  if the trust referred to in Clause 10.1 fails or cannot be given effect to
the Senior Lenders and the Senior Subordinated Lenders will pay an amount equal
to such payment or distribution received by it (net of reasonable costs and
expenses of making such payment) to the Security Trustee (Treuhander) for
application in accordance with Clause 12.

10.3  (i)  Each of the Lenders irrevocably authorises and empowers the Security
Trustee to demand, sue and prove for, collect and receive every payment or
distribution referred to in Clause 10.2(b) and give acquittance therefor and to
file claims and take such other proceedings, in the Security Trustee's own name,
the name of the relevant Lender, or otherwise as the Security Trustee may deem
necessary or advisable for the enforcement of the provisions of this Agreement
or otherwise to ensure the payment of debts in accordance with the priorities
set out herein.

(ii)  The Lenders will execute or procure the execution of and deliver to the
Security Trustee such powers of attorney, assignments or other instruments as
may reasonably be requested by the Security Trustee in order to enable the
Security Trustee to enforce any and all claims upon or with respect to the
Senior Liabilities, the Senior Subordinated Liabilities or any part thereof and
to collect and receive any and all payments or distributions which may be
<PAGE>

                                                                              14

payable or deliverable at any time upon or with respect to any of such
Liabilities or any part thereof to the extent that the relevant Lender has
failed to comply with its obligations hereunder after being requested to do so
by the Security Trustee, and the Security Trustee and/or the Senior Lenders and,
after the Senior Discharge Date, the Senior Subordinated Lenders have a claim on
the amount represented by such payment or distribution.

(iii) The liquidator or other insolvency representative or trustee of the
Borrower or its estate is authorised to apply any assets or moneys received by
him in accordance with the terms of this Agreement or as instructed by the
Security Trustee.

(iv)  Without prejudice to the foregoing provisions of this Clause or any other
provision hereof, nothing in this Agreement shall inhibit any of the Lenders
from claiming or proving in the liquidation of the Borrower for the amount of
the Senior Liabilities or the Senior Subordinated Liabilities owing to them.

10.4  (i)  If any amounts described in Clause 10.2(b) are received by any of the
Lenders or any person acting on their behalf with respect to the Senior
Liabilities, the Senior Subordinated Liabilities or any part thereof, the
relevant Lender(s) (or person acting on their behalf as aforesaid) will for so
long as any of the Senior Liabilities and, after the Senior Discharge Date, the
Senior Subordinated Liabilities and the Postponed Senior Liabilities are or may
be outstanding forthwith pay (and pending such payment shall hold the same on
trust for the Security Trustee for the purpose hereof) an amount equal to the
amount received by such Lender (net of reasonable costs and expenses of making
such payment) to the Security Trustee to be held on trust and to be applied in
accordance with the terms of Clause 12.

(ii)  If, following the occurrence of any of the events specified in Clause
10.2(i) or (ii) the Senior Liabilities or the Senior Subordinated Liabilities
are discharged in whole or in part by a set-off, the Lender receiving the
benefit of such set-off will forthwith pay (and, in each case, pending such
payment shall hold the same on trust for the Security Trustee for the purpose
hereof) an amount equal to the amount of the relevant Liabilities discharged by
the set-off (net of reasonable costs and expenses of making such payments or
effecting, such set-off) to the Security Trustee to be held on trust and to be
applied in accordance with the terms of Clause 12.

(iii) For the avoidance of doubt, no such payments, receipts or amounts in
respect of set off as described in paragraphs (i) or (ii) of this Clause shall,
as between the Borrower and its creditors, be deemed to constitute payment by
the Borrower to the relevant Lenders in respect of the relevant Liabilities.

10.5  Prior to the Senior Discharge Date, the Senior Subordinated Lenders shall
not make any claim for costs or damages in relation to the Reports without
offering to the Senior Agent and the Senior Lenders an opportunity to join in
such claim.  If the Senior Agent and the Senior Lenders join in such claim or
make an equivalent claim the proceeds of all such claims (net of all costs)
shall be treated as if they were proceeds of the Security Documents.  If the
Senior Agent and the Senior Lenders refuse to join in such claim or to make an
equivalent claim the Senior Subordinated Lenders may retain the
<PAGE>

                                                                              15

proceeds of their claim and, for the avoidance of doubt, in any case where the
Senior Agent and the Senior Lenders have joined such claim or made an equivalent
claim but have ceased to pursue such claim (and, if the Senior Lenders have
ceased such claim by reason of having made a settlement, the proceeds of such
settlement are retained by them), the Senior Subordinated Lenders may continue
such action and retain any proceeds of such continued action.

11.  Enforcement (Durchsetzung der Anspruche und Verwertung der Sicherheiten)

11.1  So long as any of the Senior Liabilities (other than the Hedging
Liabilities) or, after the Senior Discharge Date, the Senior Subordinated
Liabilities are or may be outstanding, the Hedge Counterparties shall not be
entitled, unless the Majority Lenders and the Majority Senior Subordinated
Lenders otherwise consent in writing:

(i)   to accelerate any of the Hedging, Liabilities, unless at the same time, or
prior to, such acceleration the Senior Liabilities (other than the Hedging,
Liabilities) have been accelerated; or

(ii)  in any manner to enforce any security conferred by any of the Security
Documents or to require any other person to enforce the same.

11.2  Prior to the Senior Discharge Date, none of the Senior Subordinated
Lenders will be entitled (except as expressly permitted by this Agreement)
unless the Senior Subordinated Agent has become, pursuant to the other
provisions of this Clause 11, entitled to enforce the Senior Subordinated
Liabilities and the Senior Subordinated Security Documents (as defined in the
Senior Subordinated Facility Agreement):

(i)   to accelerate any of the Senior Subordinated Liabilities or otherwise
declare any of the Senior Subordinated Liabilities prematurely due and payable
on or by reason of the occurrence of a Senior Subordinated Default or any other
circumstances howsoever described unless at the same time, or prior to, such
acceleration, the Senior Liabilities (or any of them) have been accelerated or
unless such declaration or acceleration is made upon advice of counsel solely in
order to protect the recoverability of the Senior Subordinated Liabilities; or

(ii)  in any manner to enforce any security conferred by any of the Security
Documents by sale, possession, appointment of a receiver or otherwise or to
require any other person to enforce the same; or

(iii) discharge, sue for or institute legal proceedings to recover all or any
part of the Senior Subordinated Liabilities; or

(iv)  petition or apply or vote in favour of any resolution for the winding-up,
dissolution, administration of or voluntary arrangement in relation to IFCO
Europe or any member of the Group,

Provided that, for the avoidance of doubt, the Senior Subordinated Agent and the
Senior Subordinated Lenders shall provided that there is no adverse effect on
the subordination contemplated hereunder be entitled to apply to a court
<PAGE>

                                                                              16

for injunctive relief, an order for specific performance or a declaratory order
on the interpretation of any of the Senior Subordinated Documents.

11.3  If any Senior Subordinated Default occurs (otherwise than as a direct
result of a breach by a Senior Subordinated Lender of its obligations under the
Senior Subordinated Facility Documents) and it is a Senior Subordinated Default
which the Senior Subordinated Agent (acting on the instructions of the Majority
Senior Subordinated Lenders) certifies to the Senior Lenders is material in the
opinion of the Majority Senior Subordinated Lenders, the Senior Subordinated
Agent may by written notice to the Senior Agent specifying the Senior
Subordinated Default (an "Enforcement Notice") request the Senior Agent to
inform the Senior Subordinated Agent whether the Senior Agent proposes to
instruct the Security Trustee to enforce the security conferred by the Security
Documents.

11.4  If the Senior Agent within 60 days of such notice informs the Senior
Subordinated Agent that it is proposed (on the instructions of the Majority
Lenders) to enforce the Security Documents or if the Senior Agent does not
respond within such 60 days, and subject to Clause 11.8, then promptly
thereafter the Senior Lenders will instruct the Security Trustee to enforce the
security (if the Senior Lenders are entitled to procure the enforcement of the
Security Documents at such time) and the Security Trustee will enforce the
Security Documents by the taking of such steps as it deems appropriate (in its
sole discretion) in accordance with its powers and duties failing which (or if
the Senior Lenders are not entitled to procure the enforcement of the Security
Documents at such time but subject always to Clause 11.8 and the other
provisions of this Agreement and the Facility Documents) the Senior Subordinated
Agent may exercise its rights of acceleration under the Senior Subordinated
Facility Agreement and instruct the Security Trustee to enforce the security and
the Security Trustee shall so enforce.  For the avoidance of doubt the Senior
Lenders confirm that they will not following the delivery of an Enforcement
Notice do anything which would render them not entitled to procure enforcement
of the Security Documents at that time.

11.5  If the Senior Agent informs the Senior Subordinated Agent within such 60
days that it is not proposed (on the instructions of the Majority Lenders) to
enforce the Security Documents, then, not earlier than 180 days after the
service of the Enforcement Notice (the "Standstill Period") and provided that
the same Senior Subordinated Default referred to in such Enforcement Notice is
continuing and subject to Clauses 11.7 and 11.8, the Senior Subordinated Agent
may declare the Senior Subordinated Liabilities due and payable, require the
Security Trustee to enforce the Security Documents by the taking of such steps
as it deems appropriate in accordance with its powers and duties and take such
other action as is available to them to recover the Senior Subordinated
Liabilities (subject to any proceeds thereof being paid to the Security Trustee
for distribution in accordance with Clause 12).

11.6  If, at any time before the Senior Discharge Date, a winding-up or
administration order is made in relation to IFCO Europe or any Group Entity or a
voluntary arrangement (Vergleich) or other analogous proceedings in relation to
IFCO Europe or any Group Entity is approved, then the Senior Subordinated Agent
may at any time thereafter notify the Senior Agent thereof and if the Senior
Agent determines that such event is material in the context of the business
carried on by the Group, then (subject to Clause 11.8) the Senior
<PAGE>

                                                                              17

Agent shall require the Security Trustee to enforce the Security Documents,
whereupon the Security Trustee shall promptly enforce the Security Documents (if
entitled to do so) by the taking of such steps as it deems appropriate (in its
sole discretion) in accordance with its powers and duties.

11.7  The Senior Subordinated Lenders may not make any demand on or take any
other action against the Borrower in relation to the Senior Subordinated
Liabilities in circumstances which would otherwise be permitted by this Clause
11 where both the following apply:

(i)   the Security Trustee (or any receiver appointed pursuant to any of the
Security Documents), acting on the instructions of the Majority Lenders and in
accordance with the terms hereof, confirms to the Senior Subordinated Agent in
writing that it is enforcing or taking steps to enforce security conferred by
any of the Security Documents over the shares of the Borrower by selling or
procuring the sale of all such shares which are subject to such security, and
has not subsequently notified the Senior Subordinated Agent to the contrary in
writing (and the Security Trustee undertakes to notify or procure that any such
receiver notifies the Senior Subordinated Agent promptly upon such enforcement
being discontinued); and

(ii)  the period elapsed from the date on which the Senior Subordinated Lenders
would have been permitted pursuant to this Clause 11 in the absence of this
Clause 11.7 to make a demand or otherwise take action against such Borrower in
relation to the Senior Subordinated Liabilities is less than 120 days (or such
shorter or longer period as the Senior Subordinated Agent (with the consent of
the Majority Senior Subordinated Lenders) may otherwise agree with the Senior
Agent (with the consent of the Majority Senior Lenders)).

11.8  It is hereby agreed by the Senior Lenders, the Senior Subordinated Lenders
and the Security Trustee that the Security Trustee will commence enforcement of
the Security upon the instruction of either the Majority Lenders or, where the
circumstances set out in this Clause 11 permit, at the request of the Senior
Subordinated Agent Provided that the manner of such enforcement shall be
determined by the Majority Lenders and Provided Further that the proceeds of any
such enforcement shall be held on trust by the Security Trustee and applied in
accordance with the provisions of Clause 12. Where practicable the Security
Trustee, the Senior Agent and the Senior Subordinated Agent shall consult in
relation to the enforcement process.

11.9  Each of the Senior Agent, the Senior Subordinated Agent and the Lenders
agrees that the subordination effected hereby shall be in addition to and shall
not prejudice or affect any security or any right or remedy of the Senior
Lenders and the Hedge Counterparties in respect of the Senior Liabilities, or
the Senior Subordinated Lenders and the Hedge Counterparties in respect of the
Senior Subordinated Liabilities and each of the Senior Lenders, the Hedge
Counterparties and the Senior Subordinated Lenders hereby agrees that:

(i)   subject to the other provisions of this Agreement, the obligations and
liabilities of each of the Borrower, or any other person, for or in respect of
the Senior Liabilities and/or the Senior Subordinated Liabilities, may, from
time to time, in whole or in part, be renewed, extended, amended, supplemented,
novated, accelerated, compromised, terminated, sold,
<PAGE>

                                                                              18

transferred, exchanged, waived or released Provided that no Group Entity shall
be bound by any change to the Senior Liabilities or the Senior Subordinated
Liabilities unless the same is made in accordance with the terms of this
Agreement and the Senior Facility Documents or the Senior Subordinated Facility
Documents (as the case may be);

(ii)  subject to the other provisions of this Agreement, the Senior Lenders, the
Hedge Counterparties and the Senior Subordinated Lenders may exercise or refrain
from exercising any right, remedy or power granted by the Security Documents,
the Facility Documents or the Senior Subordinated Facility Documents or any
other document creating, evidencing or otherwise related thereto or given
therefor (including, without limitation, the right to perfect any security
interest created in connection therewith);

(iii) subject to Clause 7. 1, any and all security interests at any time,
present or future, held, given or intended to be given for the Liabilities, and
any rights or remedies of the Senior Lenders, the Hedge Counterparties or the
Senior Subordinated Lenders in respect thereof may, from time to time, in whole
or in part, be exchanged, sold, transferred, released, modified, waived or
extended by the Senior Lenders, the Hedge Counterparties or the Senior
Subordinated Lenders (as the case may be);

(iv)  the Senior Agent, the Senior Lenders, the Hedge Counterparties, the Senior
Subordinated Agent and the Senior Subordinated Lenders (subject to the other
provisions hereof) shall be entitled to exercise their rights under the Senior
Facility Documents or, as the case may be, the Senior Subordinated Facility
Documents in such manner and at such time as they shall consider fit and,
subject as required by applicable German law, solely having regard to their own
interests (including, without limitation, incurring any obligation to marshal
security held) and, following any enforcement action against the Borrower, IFCO
Europe or any Group Entity or enforcement of the Security shall be entitled to
cease such enforcement; and

(v)   any balance or balances of funds with the Senior Lenders, the Hedge
Counterparties or the Senior Subordinated Lenders at any time standing to the
credit of any of the Borrower, IFCO Europe or any Group Entity may (subject to
the other provisions hereof), from time to time, in whole or in part, be
surrendered or released,

and that all of the above shall be without impairing, abridging, diminishing,
releasing or affecting the subordination of the Senior Subordinated Liabilities
to the Senior Liabilities provided herein and without any of the Senior Agent,
the Senior Lenders or the Hedge Counterparties incurring any liability to any of
the Senior Subordinated Lenders.

12.  Appropriation (Anrechnung der erhaltenen Zahlungen)

12.1  All amounts received by the Security Trustee and held on trust pursuant
to this Agreement, after providing for all of its outgoings, costs, charges,
expenses and liabilities in connection with acting as Security Trustee (and
after setting aside such sums as it considers (in its sole discretion) will or
may become payable in the future and which it considers will not or may not be
discharged out of future receipts from the enforcement of any Security) and
<PAGE>

                                                                              19

after providing for payments ranking in priority as a matter of law shall be
applied:

(i)   prior to the Senior Discharge Date, in or towards payment of the Senior
Liabilities (but excluding the Postponed Senior Liabilities) including, without
limitation any amounts required by way of cash collateral in respect thereof by
payment to the Senior Agent and each Hedge Counterparty in rate-able proportions
to the amounts then due to the Senior Lenders and the Hedge Counterparties (and
the Senior Agent shall apply any monies so received by it from the Security
Trustee in accordance with the terms of the Senior Facility Agreement);

(ii)  after the Senior Discharge Date in or towards payment of the Senior
Subordinated Liabilities by payment to the Senior Subordinated Agent and the
Hedge Counterparties in rateable proportions to the amounts then due to the
Senior Subordinated Lenders and the Hedge Counterparties (and the Senior
Subordinated Agent shall apply any monies so received by it from the Security
Trustee in accordance with the terms of the Senior Subordinated Facility
Agreement); and

(iii) after the Senior Subordinated Discharge Date in or towards payment to the
Senior Agent for distribution in accordance with the Senior Facility Agreement
for application towards the Postponed Senior Liabilities which are then due in
rateable proportions.

12.2   Any balance shall be held by the Security Trustee and shall be
subsequently applied in accordance with Clause 12.1 above as and when relevant
amounts become due and may be so applied.  Any balance held by the Security
Trustee after irrevocable discharge in full of the Liabilities including,
without limitation, any amounts required by way of cash collateral in respect
thereof, (as to which amounts the Security Trustee shall be entitled to rely on
a written certificate from the Senior Agent, the Hedge Counterparties and the
Senior Subordinated Agent (as the case may be)) shall (after providing for
payments ranking in priority as a matter of law) be paid in accordance with
Clause 12.1(ii) and (iii) above and otherwise to such person (in the reasonable
opinion of the Security Trustee) as may be entitled thereto.

13.  Amendments (Anderungen)

The provisions of this Agreement may not be amended (otherwise than in
accordance with the terms hereof) except by written agreement between the Senior
Agent (acting on the instructions of the Majority Senior Lenders), the Hedge
Counterparties, the Senior Subordinated Agent, (acting on the instructions of
the Majority Senior Subordinated Lenders) and the Security Trustee.  Any
amendment so made shall bind all the parties hereto

14.  Notices (Mitteilungen)

14.1   Each communication to be made hereunder shall be made in writing but,
unless otherwise stated, may be made by telex (provided answerback is received),
facsimile or letter.

14.2   Any communication or document to be made or delivered by one person to
another pursuant to or in connection with this Agreement shall (unless that
<PAGE>

                                                                              20

other person has by fifteen days' written notice to the one specified another
address) be made or delivered to that other person at the address telex or
facsimile identified with its signature below or in any Accession Agreement and
shall be deemed to have been made or delivered when despatched (and answerback
received) (in the case of any communication made by telex) when received (in the
case of communications made by facsimile) or (in the case of any communication
made by letter) when left at that address or (as the case may be) ten days after
being deposited in the post, postage prepaid, in an envelope addressed to it at
that address Provided that if such communication or document would otherwise be
deemed to have been received on a day which is not a business day it shall be
deemed to have been received on the next subsequent business day.

14.3   Each communication and document made or delivered by one party to another
pursuant to this Agreement shall be in the English language.

15.  Miscellaneous

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

15.2   The obligations of the parties who have executed this Agreement shall not
be affected by the fact that not all of the parties hereto have validly executed
this Agreement and such obligations shall be binding inter se.

15.3   If any provision of this Agreement is prohibited or unenforceable in any
jurisdiction in relation to any party hereto, such prohibition or
unenforceability shall not invalidate the remaining provisions hereof or affect
the validity or enforceability of such provision in any other jurisdiction or in
relation to any of the other parties hereto and the relevant provision shall be
replaced with a new provision reflecting the commercial intent of the parties,
which provision shall be legal, valid and enforceable under the law of the
relevant jurisdiction.

15.4   Each amount payable by any of the Hedge Counterparties or the Senior
Subordinated Lenders to the Senior Agent or the Security Trustee or, after the
Senior Discharge Date, payable to the Senior Subordinated Agent which is not
paid when due and payable shall carry interest until paid (as well before as
after judgement) payable on demand at a rate of interest as would equal the cost
to the Senior Agent, the Senior Subordinated Agent or, as the case may be, the
Security Trustee of borrowing such amount as determined by the Senior Agent, the
Senior Subordinated Agent or, as the case may be, the Security Trustee.

15.5   The Beneficiaries hereby acknowledge that the certificates of the Senior
Agent and the Senior Subordinated Agent concerning the amounts due to each
Beneficiary in respect of the payment obligations of the Borrower under the
Senior Facility Documents and the Senior Subordinated Facility Documents
respectively shall be binding upon each Beneficiary and Senior Subordinated
Beneficiary hereunder in the absence of manifest error.
<PAGE>

                                                                              21

15.6   The priority and subordination provisions of this Agreement are
cumulative.

15.7   This Agreement overrides anything in the Hedging Agreements and the
Senior Subordinated Facility Documents to the contrary.

15.8   The parties hereto confirm that this Agreement shall not constitute nor
create nor is it intended to constitute or create any security interest on the
part of the Senior Agent, the Senior Subordinated Agent or any of the Lenders.

15.9   Notwithstanding anything herein to the contrary, the Senior Agent agrees
that it will (so far and for such period as it considers it to be practicable in
the prevailing circumstances) consult with the Senior Subordinated Agent prior
to its granting any consent or waiver in relation to, or exercising any
discretion given to it pursuant to the terms of the Finance Documents or taking
any steps to accelerate or cancel the Senior Liabilities or enforce the Senior
Liabilities.

15.10  None of the Senior Agent, the Senior Subordinated Agent and the Security
Trustee may resign or be removed as specified in the Senior Facility Agreement
or, as the case may be, the Senior Subordinated Facility Agreement unless a
replacement Senior Agent, Senior Subordinated Agent or Security Trustee agrees
with all other parties hereto to become the replacement agent or, as the case
may be, trustee under this Agreement by execution of an Accession Agreement or
by such other method as may be approved by the Majority Lenders.

16.  Assignments and Transfers (Abtretungen, Schuldubernahme oder
Vertragsubernahme)

16.1   The parties hereto confirm that any person becoming a Lender or an Agent
(by the execution of a substitution or transfer certificate or otherwise) shall
be entitled to the benefit of the provisions contained herein as if it had been
originally named a party hereto.  Each party hereto makes an irrevocable offer,
without the need for any further action, to each such person which may be
accepted by such person becoming a Lender or Agent.  In addition each party
hereto (including parties subsequently becoming bound by this Agreement)
irrevocably authorises the Security Trustee to agree, on its behalf, with any
other person intended to become a party hereto as a Lender or Agent to the
execution of an Accession Agreement so as to make such person a party to this
Agreement as a Senior Lender, a Hedge Counterparty, a Senior Subordinated
Lender, a Senior Agent or a Senior Subordinated Agent and hereby expressly
consents to such person acceding hereto as such.  The parties hereto agree that
this authorisation and consent is given to secure the interests of the parties
under this Agreement and is accordingly irrevocable.

16.2   The parties hereto agree that none of the Lenders will assign or transfer
to any person the whole or any part of their rights or obligations in respect of
any of the Liabilities or any of the at Finance Documents or enter into any
Hedging Agreement unless permitted pursuant to the provisions of the Finance
Documents and the assignee, transferee or Hedge Counterparty, as the case may
be, previously or simultaneously agrees with the other parties hereto to be
bound by the provisions of this Agreement as if it was named herein and subject
to the same rights and obligations (mutatis mutandis) as the relevant
<PAGE>

                                                                              22

Lender and executes and delivers to the Security Trustee (with a copy to the
Senior Agent and the Senior Subordinated Agent) an Accession Agreement.

17.  Transfers of Senior Liabilities to the Senior Subordinated Lenders

17.1   If at any time and for so long as the Senior Subordinated Lenders are not
entitled to receive payments pursuant to Clause 9.1 or following the Final
Maturity Date, the Senior Subordinated Agent (acting on the instructions of all
the Senior Subordinated Lenders) shall be entitled to request that the Senior
Lenders shall transfer to them in accordance with Clause 38 of the Senior
Facility Agreement all (and not part only) of their rights and obligations in
respect of the Senior Liabilities whereupon:

(a)  to the extent that they are lawfully able to do so; and

(b)  upon receipt by the Senior Agent of the amounts referred to in Clause 17.2,

each of the Senior Lenders shall as soon as reasonably practicable after such
receipt so transfer all of its rights and obligations in respect of the Senior
Liabilities to such person or persons as the Senior Subordinated Agent shall
reasonably request.

17.2   In consideration of the Senior Lenders transferring their rights and
obligations in respect of the Senior Liabilities as provided for in Clause 17.1,
the Senior Subordinated Lenders (in such proportions as they may agree) shall
pay to the Senior Agent for the account of itself or the Senior Lenders (or, as
the case may be, to the Security Trustee) and in the currency in which the same
are outstanding or incurred:

(i)   an amount equal to all amounts then due to the Senior Lenders in respect
of the Senior Liabilities or outstanding in respect thereof (whether or not
due);

(ii)  an amount equal to all the costs which will be incurred by the Senior
Lenders (or any of them) in terminating any arrangements which they may have
made to fund such due or outstanding amounts; and

(iii) any fees, costs or expenses (including legal fees) which the Senior Agent
or the Senior Lenders or the Security Trustee or any of them may properly incur
in connection with effecting such transfer,

all as certified by the Senior Agent to the Senior Subordinated Agent within 10
business days of receipt of the request for such transfer.

18.  The Security Trustee

18.1   Each of the Senior Agent, the Senior Subordinated Agent, the Lenders and
the Hedge Counterparties hereby confirms the appointment of the Security Trustee
to act as its trustee in connection herewith and authorises the Security Trustee
to act on the instructions of the Majority Lenders save as otherwise provided in
this Agreement and, after the Senior Discharge Date, on the instructions of the
Majority Senior Subordinated Lenders and to exercise such rights, powers and
discretions as are specifically delegated to the
<PAGE>

                                                                              23

Security Trustee by the terms hereof and the Security Trust Agreement together
with all rights, powers and discretions as are reasonably incidental thereto or
necessary to give effect to the trusts hereby created.

18.2   Each of the Lenders agrees that each of the Senior Agent, the Senior
Subordinated Agent and the Security Trustee shall be entitled (to the extent
these may be relevant in connection with the obligations of the Security Trustee
hereunder) to the benefit of the protections and other provisions relating to
the scope of its duties and obligations contained in Clause 38 of Senior
Facility Agreement, Clause 31 of the Senior Subordinated Facility Agreement and
Clause 9 of the Security Trust Agreement as if they were included (mutatis
mutandis) herein provided that neither the Senior Agent, the Senior Subordinated
Agent nor the Security Trustee shall be deemed to be the agent of IFCO Europe or
any Group Entity.

18.3   Each party hereto relieves the Senior Agent to the full extent necessary
from the restrictions of Section 181 of the German Civil Code (BGB) to perform
its duties and obligations as Security Trustee hereunder.

19.  Governing Law (Rechtswahl)

19.1   This Agreement shall be governed by, construed and interpreted in
accordance with German law.

20.  Jurisdiction (Gerichtsstand)

20.1   Each of the parties hereto irrevocably agrees for the benefit of each of
the Beneficiaries that the District Court (Landgericht) of Frankfurt am Main
shall have jurisdiction to hear and determine any suit, action or proceeding,
and to settle any disputes, which may arise out of or in connection with this
Agreement and, for such purposes, irrevocably submits to the jurisdiction of
such courts.

20.2   Each party to this agreement irrevocably waives any objection which it
might now or hereafter have to the courts referred to in Clause 20.1 being
nominated as the forum to hear and determine any suit, action or proceeding, and
to settle any disputes, which may arise out of or in connection with this
Agreement and agrees not to claim that any such court is not a convenient or
appropriate forum.

IN WITNESS whereof this Agreement has been executed by the parties hereto the
day and year first above written.
<PAGE>

The Senior Agent

EXECUTED
by BHF BANK AKTIENGESELLSCHAFT, Head Office, Frankfurt/Main

By: /s/ GERD P. BIEDING            /s/ MICHAEL FOCKING

Address:   Max-Joseph - Strasse 6
           80333 Munchen
           Germany

Telephone: +49 89 55173-267
Facsimile: +49 89 55173-292
Attention: Jorg Salven

The Security Trustee

EXECUTED
by BHF BANK AKTIENGESELLSCHAFT

By:  /s/ GERD P. BIEDING           /s/ MICHAEL FOCKING

Address:   Bockenheimer Landestrasse 10
           60323 Frankfurt am Main
           Germany

Telephone:
Facsimile: +49 69 718 4480
Attention: Peter Koch

The Initial Senior Lenders

EXECUTED
by BARCLAYS BANK PLC

By: /s/ TIM TAYLOR

Address:   Bockenheimer Landstrasse 38-40
           60323 Frankfurt am Main
           Germany

Telephone: +49 69 7161-1862
Facsimile: +49 69 7161-1889
Attention: Rolf-Peter Ruoff/Diva Cortellini

<PAGE>

BHF BANK AKTIENGESELLSCHAFT, Head Office, Frankfurt/Main

By: /s/ GERD P. BIEDING            /s/ MICHAEL FOCKING

Address:   Max-Joseph - Strasse 6
           80333 Munchen
           Germany

Telephone: +49 89 55173-267
Facsimile: +49 89 55173-292
Attention: Jorg Salven

DG BANK DEUTSCHE GENOSSENSCHAFTSBANK

By:  /s/ ANDREAS THONHAUSER        /s/ MARKUS KASCH

Address:   Deurtenstrasse 16
           80268 Munich
           Germany

Telephone:
Facsimile: +49 89 21342-639
Attention: Mr. Markus Kasch

CREDITANSTALT AG

By: /s/ BETTINA STEINHAUER

Address:   Brienner Str. 9
           D-80333
           Munich
           Germany

Telephone:
Facsimile: +49 89 29074-588
Attention: Mr. Klaus Butscher

<PAGE>

DEUTSCHE BANK AKTIENGESELLSCHAFT, Munich Branch

By: /s/ BETTINA STEINHAUER

Address:   Unternehmen und Institutionen
           Riestrasse 25
           BE Munchen 80992
           Germany

Telephone:
Facsimile: +49 89 23902-033
Attention: Mr. Manfred Graeff

NORDDEUTSCHE HYPOTHEKEN-UND WECHSELBANK AG

By:  /s/ BETTINA STEINHAUER

Address:   Postflach 10
           Domstrasse 9
           20033 Hamburg
           Germany

Telephone:
Facsimile: +49 40 324-122
Attention: Mr. Klaus Bruning

OLDENBURGISCHE LANDESBANK AG

By: /s/ BETTINA STEINHAUER

Address:   Postflach 26
           26016 Oldenburg
           Germany

Telephone:
Facsimile: +49 44 1210-362
Attention: Mr. Heinrich Rawe

<PAGE>

The Senior Subordinated Agent

EXECUTED
by BARCLAYS BANK PLC

By: /s/ TIM TAYLOR

Address:   Bockenheimer Landstrasse 38-40
           60323 Frankfurt am Main
           Germany

Telephone: +49 69 7161-1862
Facsimile: +49 69 7161-1889
Attention: Rolf-Peter Ruoff/Diva Coutellini

The Initial Senior Subordinated Lender

EXECUTED
by BARCLAYS BANK PLC

By:  /s/ TIM TAYLOR

Address:   Bockenheimer Landstrasse 38-40
           60323 Frankfurt am Main
           Germany

Telephone: +49 69 7161-1862
Facsimile: +49 69 7161-1889
Attention: Rolf-Peter Ruoff/Diva Coutellini

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00001-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00001-of-00352.parquet"}]]